SEC. SEC.4303.
GRANTS TO SUPPORT HIGH-QUALITY CHARTER SCHOOLS
Section Summary
ESSA
SEC. 4303. <<NOTE: 20 USC 7221b.>> GRANTS TO SUPPORT HIGH-
QUALITY CHARTER SCHOOLS.
``(a) State Entity Defined.--For purposes of this section, the term
`State entity' means--
``(1) a State educational agency;
``(2) a State charter school board;
``(3) a Governor of a State; or
``(4) a charter school support organization.
``(b) Program Authorized.--From the amount available under section
4302(b)(3), the Secretary shall award, on a competitive basis, grants to
State entities having applications approved under subsection (f) to
enable such entities to--
``(1) award subgrants to eligible applicants to enable
eligible applicants to--
``(A) open and prepare for the operation of new
charter schools;
``(B) open and prepare for the operation of
replicated high-quality charter schools; or
``(C) expand high-quality charter schools; and
``(2) provide technical assistance to eligible applicants
and authorized public chartering agencies in carrying out the
activities described in paragraph (1), and work with authorized
public chartering agencies in the State to improve authorizing
quality, including developing capacity for, and conducting,
fiscal oversight and auditing of charter schools.
``(c) State Entity Uses of Funds.--
``(1) In general.--A State entity receiving a grant under
this section shall--
``(A) use not less than 90 percent of the grant
funds to award subgrants to eligible applicants, in
accordance with the quality charter school program
described in the State entity's application pursuant to
subsection (f), for the purposes described in subsection
(b)(1);
``(B) reserve not less than 7 percent of such funds
to carry out the activities described in subsection
(b)(2); and
``(C) reserve not more than 3 percent of such funds
for administrative costs, which may include technical
assistance.
``(2) Contracts and grants.--A State entity may use a grant
received under this section to carry out the activities
described in subsection (b)(2) directly or through grants,
contracts, or cooperative agreements.
``(3) Rule of construction.--
``(A) Use of lottery.--Nothing in this Act shall
prohibit the Secretary from awarding grants to State
entities, or prohibit State entities from awarding
subgrants to eligible applicants, that use a weighted
lottery to give slightly better chances for admission to
all, or a subset of, educationally disadvantaged
students if--
``(i) the use of weighted lotteries in favor
of such students is not prohibited by State law,
and such State law is consistent with laws
described in section 4310(2)(G); and
[[Page 129 STAT. 1996]]
``(ii) such weighted lotteries are not used
for the purpose of creating schools exclusively to
serve a particular subset of students.
``(B) Students with special needs.--Nothing in this
paragraph shall be construed to prohibit schools from
specializing in providing specific services for students
with a demonstrated need for such services, such as
students who need specialized instruction in reading,
spelling, or writing.
``(d) Program Periods; Peer Review; Distribution of Subgrants;
Waivers.--
``(1) Program periods.--
``(A) Grants.--A grant awarded by the Secretary to a
State entity under this section shall be for a period of
not more than 5 years.
``(B) Subgrants.--A subgrant awarded by a State
entity under this section shall be for a period of not
more than 5 years, of which an eligible applicant may
use not more than 18 months for planning and program
design.
``(2) Peer review.--The Secretary, and each State entity
awarding subgrants under this section, shall use a peer-review
process to review applications for assistance under this
section.
``(3) Grant awards.--
``(A) In general.--The Secretary--
``(i) shall for each fiscal year for which
funds are appropriated under section 4311--
``(I) award not less than 3 grants
under this section; and
``(II) fully obligate the first 2
years of funds appropriated for the
purpose of awarding grants under this
section in the first fiscal year for
which such grants are awarded; and
``(ii) prior to the start of the third year of
the grant period and each succeeding year of each
grant awarded under this section to a State
entity--
``(I) shall review--
``(aa) whether the State
entity is using the grant funds
for the agreed upon uses of
funds; and
``(bb) whether the full
amount of the grant will be
needed for the remainder of the
grant period; and
``(II) may, as determined necessary
based on that review, terminate or
reduce the amount of the grant and
reallocate the remaining grant funds to
other State entities--
``(aa) by using such funds
to award grants under this
section to other State entities;
or
``(bb) in a fiscal year in
which the amount of such
remaining funds is insufficient
to award grants under item (aa),
in accordance with subparagraph
(B).
``(B) Remaining funding.--For a fiscal year for
which there are remaining grant funds under this
paragraph, but the amount of such funds is insufficient
to award a grant to a State entity under this section,
the Secretary shall use such remaining grants funds--
[[Page 129 STAT. 1997]]
``(i) to supplement funding for grants under
section 4305(a)(2), but not to supplant--
``(I) the funds reserved under
section 4305(a)(2); and
``(II) funds otherwise reserved
under section 4302(b)(2) to carry out
national activities under section 4305;
``(ii) to award grants to State entities to
carry out the activities described in subsection
(b)(1) for the next fiscal year; or
``(iii) to award one year of a grant under
subsection (b)(1) to a high-scoring State entity,
in an amount at or above the minimum amount the
State entity needs to be successful for such year.
``(4) Diversity of projects.--Each State entity awarding
subgrants under this section shall award subgrants in a manner
that, to the extent practicable and applicable, ensures that
such subgrants--
``(A) are distributed throughout different areas,
including urban, suburban, and rural areas; and
``(B) will assist charter schools representing a
variety of educational approaches.
``(5) Waivers.--The Secretary may waive any statutory or
regulatory requirement over which the Secretary exercises
administrative authority, except any such requirement relating
to the elements of a charter school described in section
4310(2), if--
``(A) the waiver is requested in an approved
application under this section; and
``(B) the Secretary determines that granting such
waiver will promote the purpose of this part.
``(e) Limitations.--
``(1) Grants.--No State entity may receive a grant under
this section for use in a State in which a State entity is
currently using a grant received under this section.
``(2) Subgrants.--An eligible applicant may not receive more
than 1 subgrant under this section for each individual charter
school for a 5-year period, unless the eligible applicant
demonstrates to the State entity that such individual charter
school has at least 3 years of improved educational results for
students enrolled in such charter school with respect to the
elements described in subparagraphs (A) and (D) of section
4310(8).
``(f) Applications.--A State entity desiring to receive a grant
under this section shall submit an application to the Secretary at such
time and in such manner as the Secretary may require. The application
shall include the following:
``(1) Description of program.--A description of the State
entity's objectives in running a quality charter school program
under this section and how the objectives of the program will be
carried out, including--
``(A) a description of how the State entity will--
``(i) support the opening of charter schools
through the startup of new charter schools and, if
applicable, the replication of high-quality
charter schools, and the expansion of high-quality
charter schools (including the proposed number of
new charter schools to be
[[Page 129 STAT. 1998]]
opened, high-quality charter schools to be opened
as a result of the replication of a high-quality
charter school, or high-quality charter schools to
be expanded under the State entity's program);
``(ii) inform eligible charter schools,
developers, and authorized public chartering
agencies of the availability of funds under the
program;
``(iii) work with eligible applicants to
ensure that the eligible applicants access all
Federal funds that such applicants are eligible to
receive, and help the charter schools supported by
the applicants and the students attending those
charter schools--
``(I) participate in the Federal
programs in which the schools and
students are eligible to participate;
``(II) receive the commensurate
share of Federal funds the schools and
students are eligible to receive under
such programs; and
``(III) meet the needs of students
served under such programs, including
students with disabilities and English
learners;
``(iv) ensure that authorized public
chartering agencies, in collaboration with
surrounding local educational agencies where
applicable, establish clear plans and procedures
to assist students enrolled in a charter school
that closes or loses its charter to attend other
high-quality schools;
``(v) in the case of a State entity that is
not a State educational agency--
``(I) work with the State
educational agency and charter schools
in the State to maximize charter school
participation in Federal and State
programs for which charter schools are
eligible; and
``(II) work with the State
educational agency to operate the State
entity's program under this section, if
applicable;
``(vi) ensure that each eligible applicant
that receives a subgrant under the State entity's
program--
``(I) is using funds provided under
this section for one of the activities
described in subsection (b)(1); and
``(II) is prepared to continue to
operate charter schools funded under
this section in a manner consistent with
the eligible applicant's application for
such subgrant once the subgrant funds
under this section are no longer
available;
``(vii) support--
``(I) charter schools in local
educational agencies with a significant
number of schools identified by the
State for comprehensive support and
improvement under section
1111(c)(4)(D)(i); and
``(II) the use of charter schools to
improve struggling schools, or to turn
around struggling schools;
``(viii) work with charter schools on--
[[Page 129 STAT. 1999]]
``(I) recruitment and enrollment
practices to promote inclusion of all
students, including by eliminating any
barriers to enrollment for educationally
disadvantaged students (who include
foster youth and unaccompanied homeless
youth); and
``(II) supporting all students once
they are enrolled to promote retention,
including by reducing the overuse of
discipline practices that remove
students from the classroom;
``(ix) share best and promising practices
between charter schools and other public schools;
``(x) ensure that charter schools receiving
funds under the State entity's program meet the
educational needs of their students, including
children with disabilities and English learners;
``(xi) support efforts to increase charter
school quality initiatives, including meeting the
quality authorizing elements described in
paragraph (2)(D);
``(xii)(I) in the case of a State entity not
described in subclause (II), a description of how
the State entity will provide oversight of
authorizing activity, including how the State will
help ensure better authorizing, such as by
establishing authorizing standards that may
include approving, monitoring, and re-approving or
revoking the authority of an authorized public
chartering agency based on the performance of the
charter schools authorized by such agency in the
areas of student achievement, student safety,
financial and operational management, and
compliance with all applicable statutes and
regulations; and
``(II) in the case of a State entity described
in subsection (a)(4), a description of how the
State entity will work with the State to support
the State's system of technical assistance and
oversight, as described in subclause (I), of the
authorizing activity of authorized public
chartering agencies; and
``(xiii) work with eligible applicants receiving a
subgrant under the State entity's program to support the
opening of new charter schools or charter school models
described in clause (i) that are high schools;
``(B) a description of the extent to which the State
entity--
``(i) is able to meet and carry out the
priorities described in subsection (g)(2);
``(ii) is working to develop or strengthen a
cohesive statewide system to support the opening
of new charter schools and, if applicable, the
replication of high-quality charter schools, and
the expansion of high-quality charter schools; and
``(iii) is working to develop or strengthen a
cohesive strategy to encourage collaboration
between charter schools and local educational
agencies on the sharing of best practices;
``(C) a description of how the State entity will
award subgrants, on a competitive basis, including--
[[Page 129 STAT. 2000]]
``(i) a description of the application each
eligible applicant desiring to receive a subgrant
will be required to submit, which application
shall include--
``(I) a description of the roles and
responsibilities of eligible applicants,
partner organizations, and charter
management organizations, including the
administrative and contractual roles and
responsibilities of such partners;
``(II) a description of the quality
controls agreed to between the eligible
applicant and the authorized public
chartering agency involved, such as a
contract or performance agreement, how a
school's performance in the State's
accountability system and impact on
student achievement (which may include
student academic growth) will be one of
the most important factors for renewal
or revocation of the school's charter,
and how the State entity and the
authorized public chartering agency
involved will reserve the right to
revoke or not renew a school's charter
based on financial, structural, or
operational factors involving the
management of the school;
``(III) a description of how the
autonomy and flexibility granted to a
charter school is consistent with the
definition of a charter school in
section 4310;
``(IV) a description of how the
eligible applicant will solicit and
consider input from parents and other
members of the community on the
implementation and operation of each
charter school that will receive funds
under the State entity's program;
``(V) a description of the eligible
applicant's planned activities and
expenditures of subgrant funds to
support the activities described in
subsection (b)(1), and how the eligible
applicant will maintain financial
sustainability after the end of the
subgrant period; and
``(VI) a description of how the
eligible applicant will support the use
of effective parent, family, and
community engagement strategies to
operate each charter school that will
receive funds under the State entity's
program; and
``(ii) a description of how the State entity
will review applications from eligible applicants;
``(D) in the case of a State entity that partners
with an outside organization to carry out the State
entity's quality charter school program, in whole or in
part, a description of the roles and responsibilities of
the partner;
``(E) a description of how the State entity will
ensure that each charter school receiving funds under
the State entity's program has considered and planned
for the transportation needs of the school's students;
``(F) a description of how the State in which the
State entity is located addresses charter schools in the
State's open meetings and open records laws; and
[[Page 129 STAT. 2001]]
``(G) a description of how the State entity will
support diverse charter school models, including models
that serve rural communities.
``(2) Assurances.--Assurances that--
``(A) each charter school receiving funds through
the State entity's program will have a high degree of
autonomy over budget and operations, including autonomy
over personnel decisions;
``(B) the State entity will support charter schools
in meeting the educational needs of their students, as
described in paragraph (1)(A)(x);
``(C) the State entity will ensure that the
authorized public chartering agency of any charter
school that receives funds under the State entity's
program adequately monitors each charter school under
the authority of such agency in recruiting, enrolling,
retaining, and meeting the needs of all students,
including children with disabilities and English
learners;
``(D) the State entity will provide adequate
technical assistance to eligible applicants to meet the
objectives described in clause (viii) of paragraph
(1)(A) and subparagraph (B) of this paragraph;
``(E) the State entity will promote quality
authorizing, consistent with State law, such as through
providing technical assistance to support each
authorized public chartering agency in the State to
improve such agency's ability to monitor the charter
schools authorized by the agency, including by--
``(i) assessing annual performance data of the
schools, including, as appropriate, graduation
rates, student academic growth, and rates of
student attrition;
``(ii) reviewing the schools' independent,
annual audits of financial statements prepared in
accordance with generally accepted accounting
principles, and ensuring that any such audits are
publically reported; and
``(iii) holding charter schools accountable to
the academic, financial, and operational quality
controls agreed to between the charter school and
the authorized public chartering agency involved,
such as through renewal, non-renewal, or
revocation of the school's charter;
``(F) the State entity will work to ensure that
charter schools are included with the traditional public
schools in decisionmaking about the public school system
in the State; and
``(G) the State entity will ensure that each charter
school receiving funds under the State entity's program
makes publicly available, consistent with the
dissemination requirements of the annual State report
card under section 1111(h), including on the website of
the school, information to help parents make informed
decisions about the education options available to their
children, including--
``(i) information on the educational program;
``(ii) student support services;
[[Page 129 STAT. 2002]]
``(iii) parent contract requirements (as
applicable), including any financial obligations
or fees;
``(iv) enrollment criteria (as applicable);
and
``(v) annual performance and enrollment data
for each of the subgroups of students, as defined
in section 1111(c)(2), except that such
disaggregation of performance and enrollment data
shall not be required in a case in which the
number of students in a group is insufficient to
yield statically reliable information or the
results would reveal personally identifiable
information about an individual student.
``(3) Requests for waivers.--Information about waivers,
including--
``(A) a request and justification for waivers of any
Federal statutory or regulatory provisions that the
State entity believes are necessary for the successful
operation of the charter schools that will receive funds
under the State entity's program under this section or,
in the case of a State entity defined in subsection
(a)(4), a description of how the State entity will work
with the State to request such necessary waivers, where
applicable; and
``(B) a description of any State or local rules,
generally applicable to public schools, that will be
waived, or otherwise not apply to such schools.
``(g) Selection Criteria; Priority.--
``(1) Selection criteria.--The Secretary shall award grants
to State entities under this section on the basis of the quality
of the applications submitted under subsection (f), after taking
into consideration--
``(A) the degree of flexibility afforded by the
State's charter school law and how the State entity will
work to maximize the flexibility provided to charter
schools under such law;
``(B) the ambitiousness of the State entity's
objectives for the quality charter school program
carried out under this section;
``(C) the likelihood that the eligible applicants
receiving subgrants under the program will meet those
objectives and improve educational results for students;
``(D) the State entity's plan to--
``(i) adequately monitor the eligible
applicants receiving subgrants under the State
entity's program;
``(ii) work with the authorized public
chartering agencies involved to avoid duplication
of work for the charter schools and authorized
public chartering agencies; and
``(iii) provide technical assistance and
support for--
``(I) the eligible applicants
receiving subgrants under the State
entity's program; and
``(II) quality authorizing efforts
in the State; and
``(E) the State entity's plan to solicit and
consider input from parents and other members of the
community on the implementation and operation of charter
schools in the State.
[[Page 129 STAT. 2003]]
``(2) Priority.--In awarding grants under this section, the
Secretary shall give priority to a State entity to the extent
that the entity meets the following criteria:
``(A) The State entity is located in a State that--
``(i) allows at least one entity that is not a
local educational agency to be an authorized
public chartering agency for developers seeking to
open a charter school in the State; or
``(ii) in the case of a State in which local
educational agencies are the only authorized
public chartering agencies, the State has an
appeals process for the denial of an application
for a charter school.
``(B) The State entity is located in a State that
ensures equitable financing, as compared to traditional
public schools, for charter schools and students in a
prompt manner.
``(C) The State entity is located in a State that
provides charter schools one or more of the following:
``(i) Funding for facilities.
``(ii) Assistance with facilities acquisition.
``(iii) Access to public facilities.
``(iv) The ability to share in bonds or mill
levies.
``(v) The right of first refusal to purchase
public school buildings.
``(vi) Low- or no-cost leasing privileges.
``(D) The State entity is located in a State that
uses best practices from charter schools to help improve
struggling schools and local educational agencies.
``(E) The State entity supports charter schools that
serve at-risk students through activities such as
dropout prevention, dropout recovery, or comprehensive
career counseling services.
``(F) The State entity has taken steps to ensure
that all authorizing public chartering agencies
implement best practices for charter school authorizing.
``(h) Local Uses of Funds.--An eligible applicant receiving a
subgrant under this section shall use such funds to support the
activities described in subsection (b)(1), which shall include one or
more of the following activities:
``(1) Preparing teachers, school leaders, and specialized
instructional support personnel, including through paying the
costs associated with--
``(A) providing professional development; and
``(B) hiring and compensating, during the eligible
applicant's planning period specified in the application
for subgrant funds that is required under this section,
one or more of the following:
``(i) Teachers.
``(ii) School leaders.
``(iii) Specialized instructional support
personnel.
``(2) Acquiring supplies, training, equipment (including
technology), and educational materials (including developing and
acquiring instructional materials).
``(3) Carrying out necessary renovations to ensure that a
new school building complies with applicable statutes and
regulations, and minor facilities repairs (excluding
construction).
[[Page 129 STAT. 2004]]
``(4) Providing one-time, startup costs associated with
providing transportation to students to and from the charter
school.
``(5) Carrying out community engagement activities, which
may include paying the cost of student and staff recruitment.
``(6) Providing for other appropriate, non-sustained costs
related to the activities described in subsection (b)(1) when
such costs cannot be met from other sources.
``(i) Reporting Requirements.--Each State entity receiving a grant
under this section shall submit to the Secretary, at the end of the
third year of the 5-year grant period (or at the end of the second year
of the grant period if the grant is less than 5 years), and at the end
of such grant period, a report that includes the following:
``(1) The number of students served by each subgrant awarded
under this section and, if applicable, the number of new
students served during each year of the period of the subgrant.
``(2) A description of how the State entity met the
objectives of the quality charter school program described in
the State entity's application under subsection (f), including--
``(A) how the State entity met the objective of
sharing best and promising practices described in
subsection (f)(1)(A)(ix) in areas such as instruction,
professional development, curricula development, and
operations between charter schools and other public
schools; and
``(B) if known, the extent to which such practices
were adopted and implemented by such other public
schools.
``(3) The number and amount of subgrants awarded under this
section to carry out activities described in each of
subparagraphs (A) through (C) of subsection (b)(1).
``(4) A description of--
``(A) how the State entity complied with, and
ensured that eligible applicants complied with, the
assurances included in the State entity's application;
and
``(B) how the State entity worked with authorized
public chartering agencies, and how the agencies worked
with the management company or leadership of the schools
that received subgrant funds under this section, if
applicable.
NCLB Text
Previously not included in NCLB.
