This bill proposes significant updates to the Arizona Revised Statutes concerning charter schools, introducing new compliance requirements for open meeting and public records laws. It mandates that notices, agendas, and minutes be posted on both the charter school's and the state board for charter schools' websites. Additionally, starting January 1, 2026, charter schools will be prohibited from contracting with for-profit organizations, and they will be required to conduct annual independent audits of financial statements, including the disclosure of salaries and management fees. In the event of a charter school closure, any assets acquired with public funds must be returned to the state unless they are used for a new campus of the same school.

The bill also enhances governance and transparency by requiring charter holder governing boards to have at least three members with restrictions on immediate family members serving simultaneously. It mandates charter school sponsors to publicly post detailed operational and financial information, and it addresses procurement policies to ensure compliance with federal requirements. Furthermore, the bill introduces new definitions, clarifies the meaning of "gift or benefit," and removes outdated language regarding nonexempt charter schools. It enhances the auditor general's authority to access records and participate in hearings related to audit findings, while establishing the "Charter School Transparency and Accountability Act" to emphasize its focus on improving accountability in charter schools.

Statutes affected:
Introduced Version: 15-181, 15-183, 15-183.02, 15-184, 15-189.02, 15-189.03, 15-189.08, 15-213, 15-914.02, 41-1279.03, 41-1279.04, 15-185, 41-1750, 92-544, 15-505, 15-512, 41-1758.03, 114-95, 108-446, 15-550, 15-203, 15-741.01, 1-216, 15-341, 15-914, 11-952.01, 41-621.01, 41-1092.08, 3-365, 15-808, 15-154, 15-771, 15-421, 15-189.0, 11-255, 15-342, 15-382, 15-765, 41-2535, 41-2576, 41-2577, 41-2565, 41-2616, 15-914.01, 41-2631, 42-6106, 42-6107, 28-6392, 28-6533