Enrolled Copy S.B. 44
1 ALTERNATIVE EDUCATION SCHOLARSHIP COMBINATION
2024 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Lincoln Fillmore House Sponsor: Candice B. Pierucci
2
3 LONG TITLE
4 General Description:
5 This bill combines the Carson Smith Scholarship and Special Needs Opportunity
6 Scholarship Programs.
7 Highlighted Provisions:
8 This bill:
9 ▸ renames the Special Needs Opportunity Scholarship program;
10 ▸ allows for home school students and preschool aged students to receive a scholarship;
11 ▸ adds expenses with a qualifying provider to allowable scholarship expenses;
12 ▸ provides regulatory autonomy for a qualifying school, qualifying provider, and home
13 school student;
14 ▸ allows scholarships to be used for services from eligible service providers and
15 establishes an approval process;
16 ▸ directs the reallocation of unused funds in the Carson Smith Scholarship Program;
17 ▸ phases out new applications for the Carson Smith Scholarship Program after the
18 2023-2024 school year; and
19 ▸ makes technical changes.
20 Money Appropriated in this Bill:
21 None
22 Other Special Clauses:
23 This bill provides a special effective date.
24 Utah Code Sections Affected:
25 AMENDS:
26 53E-1-202.1, as enacted by Laws of Utah 2020, Fourth Special Session, Chapter 3
27 53E-7-401, as last amended by Laws of Utah 2023, Chapter 190
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28 53E-7-402, as last amended by Laws of Utah 2023, Chapter 190 and last amended by
29 Coordination Clause, Laws of Utah 2023, Chapter 190
30 53E-7-403, as enacted by Laws of Utah 2020, Fourth Special Session, Chapter 3
31 53E-7-404, as last amended by Laws of Utah 2022, Chapter 262
32 53E-7-405, as last amended by Laws of Utah 2023, Chapters 190, 353
33 53E-7-406, as enacted by Laws of Utah 2020, Fourth Special Session, Chapter 3
34 53E-7-407, as last amended by Laws of Utah 2022, Chapter 262
35 53E-7-408, as last amended by Laws of Utah 2023, Chapter 353
36 53F-4-302, as last amended by Laws of Utah 2019, Chapter 186
37 53F-4-304, as last amended by Laws of Utah 2020, Chapter 408
38 53F-6-401, as enacted by Laws of Utah 2023, Chapter 1
39 59-7-109.1, as enacted by Laws of Utah 2020, Fourth Special Session, Chapter 3
40 59-7-625, as last amended by Laws of Utah 2022, Chapter 262
41 59-10-1041, as last amended by Laws of Utah 2022, Chapter 262
42 67-3-1, as last amended by Laws of Utah 2023, Chapters 16, 330, 353, and 480
43 ENACTS:
44 53E-7-408.5, Utah Code Annotated 1953
45
46 Be it enacted by the Legislature of the state of Utah:
47 Section 1. Section 53E-1-202.1 is amended to read:
48 53E-1-202.1 . Report to the Public Education Appropriations Subcommittee on
49 the Carson Smith Opportunity Scholarship Program.
50 (1) Beginning in 2021, the State Board of Education shall, in accordance with Section
51 68-3-14, annually submit the report described in Section 53E-7-404 to the Public
52 Education Appropriations Subcommittee.
53 (2) This section supersedes any conflicting provisions of Utah law.
54 Section 2. Section 53E-7-401 is amended to read:
55 53E-7-401 . Definitions.
56 As used in this part:
57 (1) "The Carson Smith Opportunity Scholarship Program" or "program" means the program
58 established in Section 53E-7-402.
59 (2) "Eligible student" means:
60 (a) a student who:
61 (i) is :
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62 (A) eligible to participate in public school, in kindergarten, or grades 1 through 12;
63 (B) enrolled in a qualifying school as defined in Subsection (11);
64 (C) a home-based scholarship student as defined in Subsection (6); or
65 (D) at least three years old before September 2 of the year the scholarship is
66 awarded;
67 (ii) is a resident of the state;
68 (iii) has a qualified disability identified under 20 U.S.C. Sec. 140(3) as determined by:
69 (A) having an IEP within the previous three years; or
70 (B) a multidisciplinary team evaluation described in Subsection (7); and
71 [(A) has an IEP; or]
72 [(B) is determined by a multidisciplinary evaluation team to be eligible for
73 services under 20 U.S.C. Sec. 1401(3); and]
74 (iv) during the school year for which the student is applying for the scholarship, is
75 not:
76 (A) a student who receives a scholarship under the Carson Smith Scholarship
77 Program created in Section 53F-4-302; or
78 (B) enrolled as a public school student; or
79 (b) a student who:
80 (i) meets the requirement of Subsections [(1)(a)(i) and (ii)] (2)(a)(i) and (ii); and
81 (ii) is a sibling of and resides in the same household as a student described in
82 Subsection [(1)(a)] (2)(a) if:
83 (A) the student described in Subsection [(1)(a)] (2)(a) is a scholarship student and
84 has verified enrollment or intent to enroll at a qualifying school or participate
85 in services provided by a qualifying provider; and
86 (B) the sibling is applying for a scholarship to attend the same qualifying school
87 or participate in the same services provided by a qualifying provider.
88 [(2)] (3) (a) "Employee" means an individual working in a position in which the
89 individual's salary, wages, pay, or compensation, including as a contractor, is paid
90 from:
91 (i) program donations to a scholarship granting organization; or
92 (ii) scholarship money allocated to a qualifying school or qualifying provider by a
93 scholarship granting organization under Section 53E-7-405.
94 (b) "Employee" does not include an individual who volunteers at the scholarship
95 granting organization [or] , qualifying school, or qualifying provider.
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96 [(3)] (4) "Family income" means the annual income of the parent, parents, legal guardian, or
97 legal guardians with whom a scholarship student lives.
98 [(4)] (5) "Federal poverty level" means the poverty level as defined by the most recently
99 revised poverty income guidelines published by the United States Department of Health
100 and Human Services in the Federal Register.
101 [(5)] (6) "Home-based scholarship student" means a student who:
102 (a) is eligible to participate in public school, in kindergarten or grades 1 through 12;
103 (b) is excused from enrollment in an LEA in accordance with Section 53G-6-204 to
104 attend a home school; and
105 (c) receives a benefit from a scholarship under the program.
106 (7) "Multidisciplinary evaluation team" means two or more individuals:
107 (a) who are qualified in two or more separate disciplines or professions; and
108 (b) who evaluate a child.
109 [(6)] (8) "Officer" means:
110 (a) a member of the board of a scholarship granting organization [or] , qualifying school,
111 or qualifying provider; or
112 (b) the chief administrative officer of a scholarship granting organization [or] , qualifying
113 school, or qualifying provider.
114 [(7)] (9) "Program donation" means a donation to the program under Section 53E-7-405.
115 [(8)] (10) "Qualifying provider" means:
116 (a) an entity that:
117 (i) is not a public school and is autonomous and not an agent of the state, in
118 accordance with Section 53E-7-406; and
119 (ii) meets the requirement described in Section 53E-7-403; and
120 (b) is an eligible service provider approved by the scholarship granting organization in
121 accordance with Section 53E-7-408.5.
122 (11) "Qualifying school" means a private school that:
123 (a) provides kindergarten, elementary, or secondary education;
124 (b) is approved by the state board under Section 53E-7-408; and
125 (c) meets the requirements described in Section 53E-7-403.
126 [(9)] (12) "Relative" means a father, mother, husband, wife, son, daughter, sister, brother,
127 uncle, aunt, nephew, niece, first cousin, mother-in-law, father-in-law, brother-in-law,
128 sister-in-law, son-in-law, or daughter-in-law.
129 [(10)] (13) "Scholarship" means a grant awarded to an eligible student:
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130 (a) by a scholarship granting organization out of program donations; and
131 (b) for the purpose of paying for a scholarship expense.
132 [(11)] (14) "Scholarship expense" means an expense that a parent or eligible student incurs
133 in the education of the eligible student for goods or a service that a qualifying school or
134 qualifying provider provides or facilitates, including:
135 (a) published tuition and fees of a qualifying school or qualifying provider;
136 (b) fees and instructional materials at a technical college;
137 (c) tutoring services;
138 (d) fees for after-school or summer education programs;
139 (e) textbooks, curricula, or other instructional materials, including any supplemental
140 materials or associated online instruction that a curriculum, qualifying provider, or a
141 qualifying school recommends;
142 (f) educational software and applications;
143 (g) supplies or other equipment related to an eligible student's educational needs;
144 (h) computer hardware or other technological devices that are intended primarily for an
145 eligible student's educational needs;
146 (i) fees for the following examinations, or for a preparation course for the following
147 examinations, that the scholarship granting organization approves:
148 (i) a national norm-referenced or standardized assessment described in Section
149 53F-6-410, an advanced placement examination, or another similar assessment;
150 (ii) a state-recognized industry certification examination; and
151 (iii) an examination related to college or university admission;
152 (j) educational services for students with disabilities from a licensed or accredited
153 practitioner or provider, including occupational, behavioral, physical, audiology, or
154 speech-language therapies;
155 (k) contracted services that the scholarship granting organization approves and that an
156 LEA provides, including individual classes, after-school tutoring services,
157 transportation, or fees or costs associated with participation in extracurricular
158 activities;
159 (l) ride fees or fares for a fee-for-service transportation provider to transport the eligible
160 student to and from a qualifying school or qualifying provider, not to exceed $750 in
161 a given school year;
162 (m) expenses related to extracurricular activities, field trips, educational supplements,
163 and other educational experiences; or
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164 (n) the scholarship granting organization approves in accordance with Subsection
165 53E-7-405(3).
166 [(12)] (15) "Scholarship granting organization" means an organization that is:
167 (a) qualified as tax exempt under Section 501(c)(3), Internal Revenue Code; and
168 (b) recognized through an agreement with the state board as a scholarship granting
169 organization, as described in Section 53E-7-404.
170 [(13)] (16) "Scholarship student" means an eligible student, including a home-based
171 scholarship student, who receives a scholarship under this part.
172 [(14) "Special Needs Opportunity Scholarship Program" or "program" means the program
173 established in Section 53E-7-402.]
174 [(15)] (17) "Value of the weighted pupil unit" means the amount established each year in the
175 enacted public education budget that is multiplied by the number of weighted pupil units
176 to yield the funding level for the basic state-supported school program.
177 Section 3. Section 53E-7-402 is amended to read:
178 53E-7-402 . Carson Smith Opportunity Scholarship Program.
179 (1) There is established the [Special Needs] Carson Smith Opportunity Scholarship Program
180 under which a parent may apply to a scholarship granting organization on behalf of the
181 parent's student for a scholarship to help cover the cost of a scholarship expense.
182 (2) (a) A scholarship granting organization shall award, in accordance with this part,
183 scholarships to eligible students.
184 (b) In awarding scholarships, a scholarship granting organization shall give priority to an
185 eligible student described in Subsection 53E-7-401(1)(a) by:
186 (i) establishing an August 10 deadline for an eligible student described in Subsection
187 53E-7-401(1)(b) to apply for a scholarship; and
188 (ii) awarding a scholarship to an eligible student described in Subsection [53E-7-401
189 (1)(b)] 53E-7-401(2)(b) only if funds exist after awarding scholarships to all
190 eligible students described in Subsection [53E-7-401(1)(a)] 53E-7-401(2)(a) who
191 have applied and qualify.
192 (c) Subject to available funds, a scholarship awarded to an eligible student described in
193 Subsection[ 53E-7-401(1)(b) ] 53E-7-401(2)(b) shall be for a similar term as a
194 scholarship awarded to the eligible student's sibling.
195 (3) A scholarship granting organization shall determine a full-year scholarship award to pay
196 for the cost of one or more scholarship expenses in an amount not more than:
197 (a) for an eligible student described in Subsection [53E-7-401(1)(a)] 53E-7-401(2)(a)
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198 who is:
199 (i) in kindergarten through grade 12 and whose family income is:
200 (A) at or below 185% of the federal poverty level, the value of the weighted pupil
201 unit multiplied by 2.5; [or]
202 (B) except as provided in Subsection (3)(a)(i)(C), above 185% of the federal
203 poverty level, the value of the weighted pupil unit multiplied by two; or
204 (C) above 185% of the federal poverty level and the eligible student would have
205 received an average of 180 minutes per day or more of special education
206 services in a public school before transferring to a private school, the value of
207 the weighted pupil unit multiplied by 2.5; or
208 [(b)] (ii) in preschool, the value of the weighted pupil unit; or
209 (b) for an eligible student described in Subsection [53E-7-401(1)(b)] 53E-7-401(2)(b),
210 half the value of the weighted pupil unit.
211 (4) Eligibility for a scholarship as determined by a multidisciplinary evaluation team under
212 this program does not establish eligibility for an IEP under the Individuals with
213 Disabilities Education Act, Subchapter II, 20 U.S.C. Secs. 1400 to 1419, and is not
214 binding on any LEA that is required to provide an IEP under the Individuals with
215 Disabilities Education Act.
216 (5) The scholarship granting organizations shall prepare and disseminate information on the
217 program to a parent applying for a scholarship on behalf of a student.
218 Section 4. Section 53E-7-403 is amended to read:
219 53E-7-403 . Qualifying school and qualifying provider requirements.
220 (1) A qualifying school or qualifying provider shall:
221 (a) notify a scholarship granting organization of the qualifying school's or qualifying
222 provider's intention to participate in the program;
223 (b) submit evidence to the scholarship granting organization that the qualifying school
224 has been approved by the state board under Section 53E-7-408; and
225 (c) submit a signed affidavit to the scholarship granting organization that the qualifying
226 school or qualifying provider will comply with the requirements of this part.
227 (2) A qualifying school or qualifying provider shall comply with 42 U.S.C. Sec. 1981, and
228 meet state and local health and safety laws and codes.
229 (3) Before the beginning of the school year immediately following a school year in which a
230 qualifying school or qualifying provider receives scholarship money equal to or more
231 than [$100,000] $500,000, the qualifying school or qualifying provider shall file with a