SB1361 - 552R

Be it enacted by the Legislature of the State of Arizona:

Section 1. Section 15-823, Arizona Revised Statutes, is amended to read:

START_STATUTE15-823. Admission; residents of other school districts; nonresidents of this state; tuition

A. Except as provided in subsections B, C, D, E, F, G and H of this section, children of nonresidents of this state may be admitted on payment of a reasonable tuition fixed by the governing board.

B. The governing board shall admit children of nonresident teaching and research faculty of community college districts and state universities and children of nonresident graduate or undergraduate students of community college districts and state universities whose parent's presence at the district or university is of international, national, state or local benefit without payment of tuition.

C. The governing board shall admit children who are residents of the United States but who are nonresidents of this state without payment of tuition if evidence indicates that the child's physical, mental, moral or emotional health is best served by placement with a grandparent, brother, sister, stepbrother, stepsister, aunt or uncle who is a resident within the school district, unless the governing board determines that the placement is solely for the purpose of obtaining an education in this state without payment of tuition.

D. The governing board may admit nonresident foreign students who are in exchange programs without payment of tuition or as it may otherwise prescribe.

E. Notwithstanding subsection D of this section, beginning in the 2016-2017 2022-2023 school year the governing board may admit the same number of nonresident foreign students who are in exchange programs and who are recipients of a J-1 visa pursuant to federal law, that is equal to the number of resident students enrolled in that local education agency who are currently participating in a foreign exchange program, as determined by the department, without the payment of tuition. Notwithstanding section 15-901, a school district or a charter school may include these students in the district's or charter school's student count and may obtain state funding for these students.

F. The governing board may admit children who are residents of the United States without payment of tuition if evidence indicates that because the parents are homeless or the child is abandoned, as defined in section 8-201, the child's physical, mental, moral or emotional health is best served by placement with a person who does not have legal custody of the child and who is a resident within the school district, unless the governing board determines that the placement is solely for the purpose of obtaining an education in this state without payment of tuition.

G. The governing board may admit children who are residents of the United States, but who are nonresidents of this state, without payment of tuition if all of the following conditions exist:

1. The child is a member of a federally recognized Indian tribe.

2. The child resides on Indian lands that are under the jurisdiction of the tribe of which the child is a member.

3. The area in the boundaries of the reservation where the child resides is located both in this state and in another state of the United States.

4. The governing board enters into an intergovernmental agreement with the governing board of the school district in another state in which the nonresident child resides. The intergovernmental agreement shall specify the number of nonresident children admitted in this state and the number of resident children that are admitted by the governing board in another state.

H. The governing board may admit children who are residents of the United States, but who are nonresidents of this state, without payment of tuition if all of the following conditions exist:

1. The child is enrolled in a year-round residential boarding academy located in this state specializing in intensive instruction and skill development in sports, music or acting.

2. The child's parents have executed a current notarized guardianship agreement covering the child while enrolled at the academy, which is a condition of enrollment at the academy and authorizes academy representatives to act on behalf of the child's parent or legal guardian in making all decisions on a daily basis as to the child's activities and needs for medical, educational and other personal issues.

I. The governing board shall charge reasonable tuition for the number of nonresident pupils who reside in another state and who are admitted by a governing board in this state pursuant to subsection G of this section that exceeds the number of resident pupils from this state who are admitted into a school district by the other state.

J. The governing board of a school district shall pay reasonable tuition for the number of resident pupils who reside in that school district and who are admitted by a school district in another state pursuant to subsection G of this section that exceeds the number of nonresident pupils from that other state who are admitted by the governing board into that school district in this state.

K. Children admitted under this section shall be counted or not counted as resident pupils as prescribed in section 15-824, subsection D.

L. Except as provided in subsections E, H and K of this section, a school district or a charter school shall not include pupils who are not residents of this state in the district's or charter school's student count and shall not obtain state funding for those pupils. END_STATUTE

Sec. 2. Section 15-825, Arizona Revised Statutes, is amended to read:

START_STATUTE15-825. Certificates of educational convenience; issuance; effect on enrollment records; reporting requirements

A. A pupil who is precluded by distance, or lack of adequate transportation facilities or a parent's or guardian's employment from attending a school in the school district or county of the pupil's residence or who resides in unorganized territory may apply to the county school superintendent pupil's school district of residence or, for a pupil who resides in unorganized territory, the school district of attendance for a certificate of educational convenience. If a pupil who resides in unorganized territory does not have a school district of attendance and seeks to apply for a certificate of educational convenience, the pupil's parent shall enroll the pupil in a school pursuant to article 1.1 of this chapter and apply to the school district that operates that school for a certificate of educational convenience. A school district that receives an application pursuant to this subsection shall submit the completed application to the county school superintendent electronically, in person or by regular mail. If it appears to the county school superintendent that it is not feasible for the pupil to attend a school in the school district or county of residence, the county school superintendent shall issue a certificate of educational convenience authorizing the pupil to attend a school in an adjoining school district or county, whether within or without this state. If a certificate of educational convenience is issued as provided in this subsection, the school enrollment of a pupil is as follows:

1. The school enrollment of a pupil who is precluded from attending a school in this state and who must attend school in another state, when certified to the county school superintendent by the official in charge of the school attended, is deemed for the purpose of determining student count to be enrollment in the school of the county or school district of the student's residence.

2. The school enrollment of a pupil from unorganized territory or from another school district is deemed for the purpose of determining student count to be enrollment in the school district of actual attendance.

B. The county school superintendent of any county in which a pupil is placed as described in this subsection shall issue a certificate of educational convenience for the pupil to attend school in the school district or adjoining school district to that in which the pupil is placed by an agency of this state or a state or federal court of competent jurisdiction in one of the following:

1. A state rehabilitation or corrective institution.

2. A foster home or child care agency or institution which that is licensed and supervised by the department of child safety or the department of health services.

3. A residential facility that is operated or supported by the department of economic security or the department of health services.

4. Under the supervision of the department of juvenile corrections, in a residence pursuant to the interstate compact on juveniles. Notwithstanding section 41-1959, the placing agency, department or institution shall provide the school district of attendance with the necessary information to enable the district to obtain a certificate of educational convenience pursuant to this subsection.

C. A pupil attending school under a certificate of educational convenience issued pursuant to subsection B of this section is deemed for the purpose of determining student count to be enrolled in the school district of attendance. The county school superintendent of any county shall not issue a certificate of educational convenience as provided in subsection B of this section if the pupil is placed in the same district of the pupil's parents' or legal guardians' residence or if the pupil is placed without a court order and the pupil's parents or legal guardians are not residents of this state.

D. If a certificate of educational convenience is issued as provided in subsection B of this section, or for a pupil whose parent or guardian is employed and domiciled by a state institution as prescribed by section 15-976, tuition may be charged as follows:

1. For group B children with disabilities:

(a) Who are from unorganized territory, whose parent or guardian is employed by a state institution as prescribed by section 15-976 or who have been issued a certificate of educational convenience pursuant to subsection B of this section, the superintendent of public instruction shall reimburse the district of attendance for the excess costs as provided in section 15-824, subsection E, paragraph 4.

(b) Who are from another school district, the school district of residence shall reimburse the district of attendance for the excess costs as provided in section 15-824, subsection E, paragraph 4.

2. For pupils who are precluded from attending a school in this state and who must attend a school in another state:

(a) If the pupil resides in a school district in this state, the district of residence shall pay the amount charged by the district of attendance.

(b) If the pupil resides in unorganized territory, the superintendent of public instruction shall pay the amount charged by the district of attendance.

E. The county school superintendent who issues a certificate of educational convenience shall notify the superintendent of public instruction of the issuance of the certificate. The superintendent of public instruction shall draw a warrant in favor of the school district of actual attendance for the amount charged, whether for common or high school attendance, as provided in section 15-824.

F. The total amount of state monies that may be spent in any fiscal year by the superintendent of public instruction for certificates of educational convenience shall not exceed the amount appropriated or authorized by section 35-173 for that purpose. This section does not impose a duty on an officer, agent or employee of this state to discharge a responsibility or to create any right in a person or group if the discharge or right would require an expenditure of state monies in excess of the expenditure authorized by legislative appropriation for that specific purpose.

G. On or before January 1 of each year, each county school superintendent shall report to the department of education the total number of certificates of educational convenience that the county school superintendent issued pursuant to subsection A of this section during the previous calendar year and the total number of certificates of educational convenience that the county school superintendent issued pursuant to subsection B of this section during the previous calendar year.

H. The department of education shall maintain the reports received under subsection G of this section. END_STATUTE

Sec. 3. Section 15-825.01, Arizona Revised Statutes, is amended to read:

START_STATUTE15-825.01. Certificates of educational convenience; pupils attending out-of-state schools

A. A school district is eligible to receive payment from state school monies for excess tuition if the following conditions are met:

1. The county school superintendent issues a certificate of educational convenience pursuant to section 15-825, subsection A, for one or more pupils who reside in the district to attend a school in an adjacent state which that is proximate to the school district when the pupils are precluded by distance, or lack of adequate transportation facilities or a parent's or guardian's employment from attending a school in the school district or county of the pupils' residence.

2. The superintendent of public instruction determines that the development of an interstate compact with another state or an intergovernmental agreement between the sending and receiving school districts, which provides for tuition-free attendance in the receiving district, is impracticable or not in the best interests of this state.

3. The total amount of tuition charged by the receiving district is greater than the equalization base amount as determined by section 15-971, subsection A, for all of the pupils for whom tuition is being paid pursuant to paragraph 1 of this subsection.

B. The excess tuition payment shall be calculated as follows:

1. Determine the amount of tuition being charged by the receiving district for pupils attending the district pursuant to subsection A, paragraph 1 of this section.

2. Determine the lesser of the amount determined in paragraph 1 of this subsection or the guaranteed tuition level. The guaranteed tuition level for the receiving district shall be determined for the tuitioned pupils by the department of education based upon on the receiving state's school finance formula or the actual costs of educating pupils in the receiving district, whichever is appropriate.

3. Subtract the equalization base amount as provided in subsection A, paragraph 3 of this section, from the amount determined in paragraph 2 of this subsection.

C. The excess tuition payment is exempt from the revenue control limit as provided in section 15-947.END_STATUTE