67th Legislature HB 329.1
1 HOUSE BILL NO. 329
2 INTRODUCED BY S. VINTON, M. CUFFE, D. SKEES, D. SALOMON, D. KARY, T. MCGILLVRAY, D.
3 HOWARD, C. SMITH, J. WELBORN, B. HOVEN, M. BLASDEL, B. MOLNAR, C. GLIMM, D. LENZ, W. GALT,
4 S. BERGLEE, B. BROWN, K. HOLMLUND, W. MCKAMEY, V. RICCI, B. TSCHIDA, S. GUNDERSON, D.
5 LOGE, F. ANDERSON, L. SHELDON-GALLOWAY, J. TREBAS, C. KNUDSEN, W. SALES, T. WELCH, B.
6 BEARD, N. DURAM, R. KNUDSEN, K. BOGNER, J. KASSMIER, B. MERCER, T. MOORE, D. BEDEY, S.
7 GREEF, B. LER, B. PHALEN, F. NAVE, J. CARLSON, L. BREWSTER, K. ZOLNIKOV, B. MITCHELL, A.
8 REGIER, L. REKSTEN, P. FIELDER, E. HILL, J. SCHILLINGER, K. SEEKINS-CROWE, M. STROMSWOLD,
9 C. HINKLE, G. FRAZER, M. BINKLEY, R. MARSHALL, K. WHITMAN
10 BY REQUEST OF THE GOVERNOR
11
12 A BILL FOR AN ACT ENTITLED: “AN ACT GENERALLY REVISING LAWS RELATED TO ESTABLISHING
13 THE STUDENTS WITH SPECIAL NEEDS EQUAL OPPORTUNITY ACT AND THE MONTANA SPECIAL
14 NEEDS EQUAL OPPORTUNITY EDUCATION SAVINGS ACCOUNT PROGRAM; ESTABLISHING
15 REQUIREMENTS FOR ELIGIBILITY AND ALLOWABLE EXPENSES; PROVIDING RESPONSIBILITIES FOR
16 PARENTS, SCHOOL DISTRICTS, AND THE SUPERINTENDENT OF PUBLIC INSTRUCTION; CLARIFYING
17 THE AUTONOMY OF PARTICIPATING PRIVATE SCHOOLS; PROVIDING FOR FUNDING OF SPECIAL
18 NEEDS EQUAL OPPORTUNITY EDUCATION SAVINGS ACCOUNTS; ESTABLISHING THE SPECIAL
19 NEEDS EQUAL OPPORTUNITY EDUCATION SAVINGS TRUST; PROVIDING AN APPROPRIATION AND A
20 STATUTORY APPROPRIATION; PROVIDING RULEMAKING AUTHORITY; PROVIDING DEFINITIONS;
21 AMENDING SECTION 17-7-502, MCA; AND PROVIDING AN EFFECTIVE DATE.”
22
23 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:
24
25 NEW SECTION. Section 1. Short title. [Sections 1 through 10] may be cited as the "Students with
26 Special Needs Equal Opportunity Act".
27
28 NEW SECTION. Section 2. Montana special needs equal opportunity education savings
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1 account program -- findings and purposes. (1) There is a Montana special needs equal opportunity
2 education savings account program provided by the legislature as a desirable educational program pursuant to
3 Article X, section 1(3), of the Montana constitution, which gives authority to the legislature to provide for
4 educational programs and institutions in addition to a basic system of public schools that will fulfill the goal of
5 the people to have an overall system of education that offers equal opportunity for all to reach their full
6 educational potential.
7 (2) The legislature finds that expanding special needs educational opportunities within the state is a
8 valid public purpose to ensure equal educational opportunity for all children with special needs.
9 (3) The purposes of [sections 1 through 10] pursuant to Article X, section 1(1), of the Montana
10 constitution are to ensure that Montana children have access to educational opportunities that will develop each
11 child's full educational potential.
12
13 NEW SECTION. Section 3. Definitions. As used in [sections 1 through 10], the following definitions
14 apply:
15 (1) "District student amount" means the amount of money calculated by dividing a school district's
16 adopted general fund budget by the ANB on which the budget is based.
17 (2) "Eligible postsecondary institution" means an accredited postsecondary institution located in
18 Montana.
19 (3) "Montana special needs equal opportunity education savings account" or "account" means an
20 account within the trust established in [section 10] in which a payment under [section 9] is deposited on behalf
21 of a qualified student for the purpose of reimbursement for the purchase of allowable educational resources
22 pursuant to [section 4] for qualified students.
23 (4) "Parent" means a biological parent, adoptive parent, legal guardian, custodian, or other person
24 with legal authority to act on behalf of a qualified student, and whose parental rights have not been terminated.
25 (5) "Program" means the Montana special needs equal opportunity education savings account
26 program established in [section 2].
27 (6) "Qualified school" means a nonpublic school serving any combination of grades kindergarten
28 through 12 that:
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1 (a) is in compliance with applicable local health and safety regulations;
2 (b) holds a valid occupancy permit, if required by the municipality;
3 (c) does not discriminate on the basis of race, color, or national origin;
4 (d) requires that any employee who may have unsupervised access to children be subject to a
5 criminal history background check prior to employment pursuant to and in support of 42 U.S.C. 5119(a) and (c);
6 and
7 (e) meets the requirements for Montana nonpublic schools under 20-5-109.
8 (7) "Qualified student" means a resident of the state who:
9 (a) in the current school year:
10 (i) is identified as a "child with a disability" under the Individuals With Disabilities Education Act, 20
11 U.S.C. 1400, et seq.;
12 (ii) is identified as having a disability under Section 504 of the Rehabilitation Act of 1973, 29 U.S.C.
13 794; and
14 (iii) is between the ages of 5 and 19 on September 10; and
15 (b) is not currently enrolled in a school operating for the purpose of providing educational services to
16 youth in department of corrections commitment programs or in the Montana school for the deaf and blind; and
17 (c) (i) was counted during the previous school year for purposes of school district ANB funding;
18 (ii) was enrolled during the previous school year in a program listed in subsection (7)(b);
19 (iii) did not reside in the state in the previous school year; or
20 (iv) is eligible to enter a kindergarten program pursuant to 20-7-117.
21 (8) "Resident school district" means the school district in which a student resides.
22 (9) "Statewide average district student amount" means the statewide total of districts' adopted general
23 fund budgets divided by the statewide total ANB on which the budgets are based.
24
25 NEW SECTION. Section 4. Use of Montana special needs equal opportunity education savings
26 account -- allowable educational resources. (1) The superintendent of public instruction shall allow money
27 deposited in the Montana special needs equal opportunity education savings account to be used to reimburse
28 parents for the purchase of the following educational resources only for the benefit of the individual for whom
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1 the account was created:
2 (a) qualified school tuition, fees, textbooks, software, or other instructional materials or services;
3 (b) an educational program or course using electronic or offsite delivery methods, including but not
4 limited to tutoring, distance learning programs, online programs, and technology delivered learning programs;
5 (c) curriculum, including supplemental materials necessary for the curriculum;
6 (d) tutoring;
7 (e) educational therapies or services, including but not limited to occupational, behavioral, physical,
8 speech-language, and audiology therapies from licensed or certified practitioners or providers, including
9 licensed or certified paraprofessionals or educational aides;
10 (f) state or nationally recognized assessment tests, advanced placement exams, entrance
11 examinations at an eligible postsecondary institution, or other assessment instruments;
12 (g) services provided by a public school in the state, including individual classes and extracurricular
13 activities;
14 (h) eligible postsecondary institution tuition, books, online courses, or other fees;
15 (i) no more than $50 annually in consumable education supplies, such as paper, pens, and markers;
16 (j) transportation required for another allowable educational service;
17 (k) fees paid to a cooperative educational program; and
18 (l) any other educational expense approved by the superintendent of public instruction.
19 (2) Account funds may not be refunded, rebated, or shared with a parent or participating student in
20 any manner.
21 (3) A parent may pay for educational services or costs not covered by account funds.
22 (4) Nothing in [this act] shall be construed to require that a qualified student must be enrolled, full-time
23 or part-time, in either a private school or nonpublic online school.
24
25 NEW SECTION. Section 5. Parent responsibilities. (1) In order for a qualified student to participate
26 in the Montana special needs equal opportunity education savings account program during the time periods
27 designated by the superintendent of public instruction pursuant to [section 6], the superintendent of public
28 instruction shall require parents of qualified students who wish to participate in the program to notify the
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1 superintendent of public instruction and sign a contract with the superintendent of public instruction to do the
2 following:
3 (a) utilize account funds to procure allowable educational resources under [section 4] to develop the
4 student's full educational potential;
5 (b) release the resident school district from all obligations to educate the qualified student, including
6 any requirements that the district provide a free and appropriate education to the qualified student or develop
7 an individualized education program for the qualified student;
8 (c) submit to the superintendent of public instruction copies of receipts for allowable educational
9 resources for reimbursement;
10 (d) agree that the student will not be registered as home schooling under 20-5-109;
11 (e) if the qualified child is enrolled in a public school, immediately notify the superintendent of public
12 instruction; and
13 (f) if the student enrolls at a qualified school, ensure that the student;
14 (i) remains in attendance unless excused by the qualified school for illness or other good cause; and
15 (ii) complies with the qualified school's published policies.
16 (2) If a qualified student enrolls full-time in a public school district, the superintendent of public
17 instruction shall terminate payments for the student to the Montana special needs equal opportunity education
18 savings account.
19 (3) A signed contract under subsection (1) meets the requirements of compulsory enrollment
20 exemption under 20-5-109.
21
22 NEW SECTION. Section 6. Responsibilities of superintendent of public instruction --
23 rulemaking. (1) The superintendent of public instruction shall make information about the program accessible
24 through printed informational materials and the office of public instruction website to parents, students, and
25 school districts.
26 (2) The superintendent of public instruction shall ensure that parents of qualified students receive
27 notice that participation in the program is a parental placement under 20 U.S.C. 1412, Individuals With
28 Disabilities Education Act, along with an explanation of the rights that parentally placed students possess under
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1 the Individuals With Disabilities Education Act and any applicable state laws and regulations.
2 (3) The superintendent of public instruction may remove a qualified student from eligibility for an
3 account if the parent fails to comply with the terms of the contract signed pursuant to [section 5], knowingly
4 misuses account funds, or knowingly fails to comply with the terms of the contract with intent to defraud. If a
5 qualified student is removed from eligibility, the superintendent of public instruction shall suspend the student
6 from the program and shall notify the parent in writing that the student has been suspended and that no further
7 reimbursements from the account will be allowed. The notification shall specify the reason for the suspension
8 and state that the parent has 10 business days to respond and take corrective action. If the parent refuses or
9 fails within the 10-day period to contact the superintendent of public instruction or provide information or make a
10 report that is required for reinstatement, the superintendent of public instruction may remove the qualified
11 student from the program pursuant to this subsection. A parent may appeal the superintendent of public
12 instruction's decision pursuant to Title 2, chapter 4, part 6.
13 (4) The superintendent of public instruction may refer cases of substantial misuse of account funds to
14 the attorney general for investigation if the superintendent of public instruction obtains evidence of fraudulent
15 use of an account.
16 (5) The superintendent of public instruction shall establish rules necessary for administering the
17 program that are limited to the following:
18 (a) establishment of no fewer than two time periods each year during which a student's parent may
19 notify the superintendent of public instruction of the parent's desire for the student to participate in the program.
20 Each time period must be at least 1 month long. One period must be between September 1 and January 1, and
21 the other time period must be between March 1 and June 1, based on the superintendent of public instruction's
22 determination of school district and parent needs.
23 (b) verification of student eligibility pursuant to [section 3];
24 (c) creation of a parent contract pursuant to [section 5];
25 (d) notification of the resident school district of the student's participation in the program;
26 (e) calculation of the amount of the district student amount and the statewide average district student
27 amount;
28 (f) accounting guidance related to the money remitted by school districts under [section 9(2)];
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1 (g) establishment of participation agreements to create a trust interest in the special needs equal
2 opportunity education savings trust established in [section 10] and provide for participation in the program; and
3 (h) procedures for reimbursement for the purchase of allowable educational services from a student's
4 account.
5
6 NEW SECTION. Section 7. Responsibilities of public school districts -- student records. A
7 public school or school district that previously enrolled a qualified student participating in the Montana special
8 needs equal opportunity education savings account program shall provide a qualified school that has enrolled a
9 participating student with a complete copy of the student’s school records, while complying with 20 U.S.C.
10 1232g, the Family Educational Rights and Privacy Act of 1974.
11
12 NEW SECTION. Section 8. Qualified schools -- regulations. (1) The superintendent of public
13 instruction shall require qualified schools who enroll students who are participating in the special needs equal
14 opportunity education savings account program to submit quarterly reports of services provided to qualified
15 students as required under the program.
16 (2) A qualified school is not an agent of the state or federal government.
17 (3) The superintendent of public instruction or any other state agency may not regulate the
18 educational program of a qualified school that enrolls a qualified student, except as provided under 20-5-109.
19 (4) The creation of the Montana special needs equal opportunity education savings account program
20 does not expand the regulatory authority of the state, its officers, or a school district to impos