Bill Summary – FastDemocracy

LEGISLATIVE GENERAL COUNSEL                                              H.B. 546
Approved for Filing: J.V. Hulten 6
          6 02-13-24 1:27 PM 6
                              PUBLIC EDUCATION MODIFICATIONS
                                       2024 GENERAL SESSION
                                            STATE OF UTAH
                               Chief Sponsor: Karen M. Peterson
                                  Senate Sponsor: ____________
 6
 LONG TITLE
 General Description:
         This bill creates additional corrective action options for the State Board of Education
 (state board) to utilize.
 Highlighted Provisions:
         This bill:
         < creates a process for the state board to follow when addressing violations of the law;
         < establishes additional corrective actions the state board may use; and
         < makes technical changes.
 Money Appropriated in this Bill:
         None
 Other Special Clauses:
         This bill provides a special effective date.
 Utah Code Sections Affected:
 AMENDS:
         53E-3-401, as last amended by Laws of Utah 2020, Chapters 253, 408
23
 Be it enacted by the Legislature of the state of Utah:
         Section 1. Section 53E-3-401 is amended to read:
                                                                                                        H.B. 546
         53E-3-401. Powers of the state board -- Adoption of rules -- Enforcement --
 Attorney.
     *HB0546*
       H.B. 546                                                                     02-13-24 1:27 PM
          (1) As used in this section:
          (a) "Education entity" means:
          (i) an entity that receives a distribution of state funds through a grant program managed
 by the state board under this public education code;
          (ii) an entity that enters into a contract with the state board to provide an educational
 good or service;
          (iii) a school district;
          (iv) a charter school; or
          (v) a regional education service agency, as that term is defined in Section 53G-4-410.
          (b) "Educational good or service" means a good or service that is required or regulated
 under:
          (i) this public education code; or
          (ii) a rule, made in accordance with Title 63G, Chapter 3, Utah Administrative
 Rulemaking Act, and authorized under this public education code.
          (2) (a) The state board has general control and supervision of the state's public
 education system.
          (b) "General control and supervision" as used in Utah Constitution, Article X, Section
 3, means directed to the whole system.
          (3) The state board may not govern, manage, or operate school districts, institutions,
 and programs, unless granted that authority by statute.
          (4) (a) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
 the state board may make rules to execute the state board's duties and responsibilities under the
 Utah Constitution and state law.
          (b) The state board may delegate the state board's statutory duties and responsibilities
 to state board employees.
          (5) (a) The state board may sell any interest it holds in real property upon a finding by
 the state board that the property interest is surplus.
          (b) The state board may use the money it receives from a sale under Subsection (5)(a)
 for capital improvements, equipment, or materials, but not for personnel or ongoing costs.
          (c) If the property interest under Subsection (5)(a) was held for the benefit of an agency
 or institution administered by the state board, the money may only be used for purposes related
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       02-13-24 1:27 PM                                                                             H.B. 546
 to the agency or institution.
          (d) The state board shall advise the Legislature of any sale under Subsection (5)(a) and
 related matters during the next following session of the Legislature.
          (6) The state board shall develop policies and procedures related to federal educational
 programs in accordance with Part 8, Implementing Federal or National Education Programs.
          (7) On or before December 31, 2010, the state board shall review mandates or
 requirements provided for in state board rule to determine whether certain mandates or
 requirements could be waived to remove funding pressures on public schools on a temporary
 basis.
          (8) [(a)] Notwithstanding Subsection (13):
          (a) If an education entity violates [this public education code or] rules authorized under
 this public education code, the state board may, in accordance with the rules described in
 Subsection (8)(c):
          (i) require the education entity to enter into a corrective action agreement with the state
 board;
          (ii) temporarily or permanently withhold state funds from the education entity;
          (iii) require the education entity to pay a penalty; or
          (iv) require the education entity to reimburse specified state funds to the state board.
          (b) Except for temporarily withheld funds, if the state board collects state funds under
 Subsection (8)(a), the state board shall pay the funds into the Uniform School Fund.
          (c) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
 state board shall make rules:
          (i) that require notice and an opportunity to be heard for an education entity affected by
 a state board action described in Subsection (8)(a); and
          (ii) to administer this Subsection (8).
          (d) (i) An individual may bring a violation of statute or state board rule to the attention
 of the state board in accordance with a process described in rule adopted by the state board.
          (ii) If the state board identifies a violation of statute or state board rule as a result of the
 process described in Subsection (8)(d)(i), the state board may take action in accordance with
 this section.
          (e) The state board shall report criminal conduct of an education entity to the district
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        H.B. 546                                                                      02-13-24 1:27 PM
 attorney of the county where the education entity is located.
         (9) The state board may audit the use of state funds by an education entity that receives
 those state funds as a distribution from the state board.
         (10) The state board may require, by rule made in accordance with Title 63G, Chapter
 3, Utah Administrative Rulemaking Act, that if an LEA contracts with a third party contractor
 for an educational good or service, the LEA shall require in the contract that the third party
 contractor shall provide, upon request of the LEA, information necessary for the LEA to verify
 that the educational good or service complies with:
         (a) this public education code; and
         (b) state board rule authorized under this public education code.
         (11) (a) The state board may appoint an attorney to provide legal advice to the state
 board and coordinate legal affairs for the state board and the state board's employees.
         (b) An attorney described in Subsection (11)(a) shall cooperate with the Office of the
 Attorney General.
         (c) An attorney described in Subsection (11)(a) may not:
         (i) conduct litigation;
         (ii) settle claims covered by the Risk Management Fund created in Section 63A-4-201;
 or
         (iii) issue formal legal opinions.
         (12) The state board shall ensure that any training or certification that an employee of
 the public education system is required to complete under this title or by rule complies with
 Title 63G, Chapter 22, State Training and Certification Requirements.
         (13) (a) The state board shall establish a process to receive complaints regarding an
 education entity violating state statute, including reviewing the complaint to determine if the
 complaint constitutes a potential violation of state statute.
         (b) If a complaint is found to constitute a potential violation of state statute, the state
 board shall:
         (i) authorize an investigation; and
         (ii) have the results and any corresponding evidence reviewed in a state board meeting.
         (c) In reviewing the complaint of a potential violation and the corresponding evidence,
 the state board shall:
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        02-13-24 1:27 PM                                                                          H.B. 546
         (i) take no further action and close the matter if the state board determines the
 complaint and evidence does not constitute a violation; or
         (ii) if the state board determines the complaint and evidence constitutes a violation,
 require the educational entity that is the subject of the complaint to:
         (A) hold a review of the complaint at a public meeting of the educational entity's local
 governing board by a certain date;
         (B) at the meeting described in Subsection (13)(c)(ii)(A):
         (I) review any findings from an internal investigation the educational entity conducts;
 and
         (II) determine a course of action, if any, to remedy the violation including any remedies
 suggested by the state board; and
         (C) require the educational entity to report the educational entity's findings or remedies
 to a violation as described in Subsection (13)(c)(ii)(B) to the state board.
         (d) After the report described in Subsection (13)(c)(ii)(C) is given, the state board shall
 vote in a meeting of the state board to:
         (i) take no further action and close the matter; or
         (ii) take further corrective action, including:
         (A) withholding funds;
         (B) if applicable, opening a UPPAC investigation described in Section 53E-6-506;
         (C) requiring additional reporting or monitoring;
         (D) referring the complaint, evidence, and findings to the attorney general's office or
 district attorney's office;
         (E) requiring the educational entity to hire a third party provider to provide services the
 state board determines necessary;
         (F) requiring reimbursement for the educational entity in lieu of future allocations from
 the state board;
         (G) requiring a follow-up investigation;
         (H) if the violation relates to finances, referring the violation and corresponding
 evidence to the state auditor or the legislative auditor general; or
         (I) requesting additional evidence of compliance.
         (e) The state board shall set a required deadline for the educational entity to perform
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        H.B. 546                                                                    02-13-24 1:27 PM
 the corrective actions the state board chooses.
        (f) The state board shall require the superintendent to provide regular updates on the
 superintendent's monitoring and corrective action activities to the state board's audit
 committee.
        (14) The state board shall ensure any complaint, investigation, and corrective action
 described under Subsection (13) shall be done in accordance with:
        (a) 53E, Chapter 9, Part 2, Student Privacy;
        (b) 53E, Chapter 9, Part 3, Student Data Protection;
        (c) the Family Educational Rights and Privacy Act, 20 U.S.C. Sec. 1232g; and
        (d) any other state or federal law protecting the privacy of an employee of an
 educational entity.
        Section 2. Effective date.
        This bill takes effect on July 1, 2024.
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Statutes affected: 
Introduced: 53E-3-401