The bill introduced on February 19, 2026, seeks to amend the Code of West Virginia by establishing two new programs: the Charter School Direct Loan Program and the Charter School Credit Enhancement Program, both overseen by the West Virginia Economic Development Authority. These programs aim to support the growth of public charter schools by providing financial assistance for startup costs, operational expenses, and facility improvements. The bill defines key terms, such as "qualifying charter school," and outlines the authority's responsibilities, including setting participation standards and managing special revenue funds dedicated to these initiatives.

Additionally, the bill stipulates that loans issued to qualifying charter schools will be capped at $2 million per school and must be secured by promissory notes. The Charter School Credit Enhancement Program will help these schools secure favorable financing by replenishing their debt service reserve funds, with the authority assessing maintenance fees based on credit ratings. The bill also includes provisions for bondholder protections, 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 potential changes to this limit.

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