The bill introduced on January 29, 2026, seeks to amend the Code of West Virginia by establishing two new programs under the West Virginia Economic Development Authority: the Charter School Direct Loan Program and the Charter School Credit Enhancement Program. These initiatives aim to support the growth and financial stability of public charter schools by providing funding for startup costs, operational expenses, and facility improvements. The bill outlines definitions for key terms, governance responsibilities, and the creation of special revenue funds to facilitate these programs.

The Charter School Direct Loan Program will enable qualifying charter schools to secure loans up to $2 million for construction and renovation expenses, while the Credit Enhancement Program will assist schools in obtaining favorable financing by replenishing their debt service reserve funds. The bill mandates that charter schools contribute to a reserve account when bonds are issued under the credit enhancement program, with the authority determining the contribution amounts. Additionally, it includes protections for bondholders, ensuring that the state cannot alter their rights until all obligations are met, and sets a bond issuance limit of $75 million for the credit enhancement program, with annual assessments to evaluate this limit.

Statutes affected:
Introduced Version: 18-5G-4a