The bill amends section 1001.42 of the Florida Statutes to establish new requirements for district school boards regarding contracts with third-party entities that handle student data. It mandates that all such contracts include specific language emphasizing Florida's parental consent laws, which prohibit the collection or dissemination of a child's personal information without the explicit consent of a parent or guardian. Additionally, the bill requires school districts to ensure that third-party entities disclose any student information collection or dissemination and to only proceed with data collection after obtaining the necessary opt-in agreements from parents or guardians. Furthermore, any agreements related to student data must be published on the school district's website for transparency.

The bill also outlines consequences for third-party entities that violate these provisions, including the termination of their contracts within five days of a violation being determined. Such entities would be prohibited from contracting with any school district in Florida following a violation. School districts are tasked with reporting these violations to the Department of Education, which must then publish the violation on its website for a minimum of six months. The act is set to take effect on July 1, 2025.