Chapter 303 Oregon Laws 2003

AN ACT

HB 2744

Relating to education; creating new provisions; amending ORS 327.506, 329.005, 329.007, 329.025, 329.035, 329.045, 329.075, 329.447, 329.465, 329.475, 329.485, 329.492, 329.855, 329.860 and 338.115 and section 27, chapter 660, Oregon Laws 1995; repealing ORS 329.487 and section 7, chapter 1029, Oregon Laws 1999, and section 2, chapter 443, Oregon Laws 2001; and declaring an emergency.

Be It Enacted by the People of the State of Oregon:

SECTION 1. ORS 329.005 is amended to read:

329.005. (1) This chapter shall be known as the Oregon Educational Act for the 21st Century.

(2) The Department of Education shall be the coordinating agency for furthering implementation of this chapter. This chapter shall be subject to review by the Legislative Assembly [until the year 2001 for purposes of evaluating progress toward achieving the various mandates of this chapter and also effecting any necessary changes].

(3) The appropriate legislative interim committee shall:

(a) Develop the form and content expected of the ongoing review described in this section;

(b) Notify the appropriate agencies of expectations; and

(4) This review outline may be changed as needed in succeeding years.

SECTION 2. ORS 329.007 is amended to read:

329.007. As used in this chapter, unless the context requires otherwise:

(1) “Academic content standards” or “academic standards” means expectations of student knowledge and skills [in identified content areas] adopted by the State Board of Education under ORS 329.045.

(2) “Administrator” includes all persons whose duties require an administrative license.

(3) “Board” or “state board” means the State Board of Education.

(4) “Community learning center” means a school-based or school-linked program providing informal meeting places and coordination for community activities, adult education, child care, information and referral and other services as described in ORS 329.157. “Community learning center” includes, but is not limited to, a community school program as defined in ORS 336.505, family resource centers as described in ORS 417.725, full service schools, lighted schools and 21st century community learning centers.

[(5) “Content areas” includes mathematics, science, history, geography, economics, civics, English, second languages, the arts and physical education. English includes, but is not limited to, reading and writing. The arts include, but are not limited to, literary arts, performing arts and visual arts. History, geography, economics and civics include, but are not limited to, Oregon Studies.]

[(6)] (5) “Department” means the Department of Education.

[(7)] (6) “District planning committee” means a committee composed of teachers, administrators, school board members and public members established for the purposes of ORS 329.537 to 329.605.

(7) “English” includes, but is not limited to, reading and writing.

(8) “History, geography, economics and civics” includes, but is not limited to, Oregon Studies.

[(8)] (9) “Oregon Studies” means history, geography, economics and civics specific to the State of Oregon. Oregon Studies instruction in Oregon government shall include municipal, county, tribal and state government, as well as the electoral and legislative processes.

[(9)] (10) “Parents” means parents or guardians of students who are covered by this chapter.

(11) “Public charter school” has the meaning given that term in ORS 338.005.

[(10)] (12) “School district” means a school district as defined in ORS 332.002, an education service district, a state-operated school or any legally constituted combination of such entities.

[(11)] (13) “School Improvement and Professional Development program” means a formal plan submitted by a school district and approved by the Department of Education according to criteria specified in ORS 329.675 to 329.745 and 329.790 to 329.820.

[(12)] (14) “Second languages” means any foreign language or American Sign Language.

[(13)] (15) “Teacher” means any licensed employee of a school district who has direct responsibility for instruction, coordination of educational programs or supervision of students and who is compensated for such services from public funds. “Teacher” does not include a school nurse, as defined in ORS 342.455, or a person whose duties require an administrative license.

(16) “The arts” includes, but is not limited to, literary arts, performing arts and visual arts.

[(14)] (17) “21st Century Schools Council” means a council established pursuant to ORS 329.704.

[(15)] (18) “Work-related learning experiences” means opportunities in which all students may participate in high quality programs that provide industry related and subject matter related learning experiences that prepare students for further education, future employment and lifelong learning.

SECTION 3. ORS 329.025 is amended to read:

329.025. It is the intent of the Legislative Assembly to maintain a system of public elementary and secondary schools that allows students, parents, teachers, administrators, school district boards and the State Board of Education to be accountable for the development and improvement of the public school system. The public school system shall have the following characteristics:

(1) Provides equal and open access and educational opportunities for all students in the state regardless of their linguistic background, culture, race, gender, capability or geographic location;

(2) Assumes that all students can learn and establishes high, specific skill and knowledge expectations and recognizes individual differences at all instructional levels;

(3) Provides special education, compensatory education, linguistically and culturally appropriate education and other specialized programs to all students who need those services;

(4) Provides students with a solid foundation in the skills of reading, writing, problem solving and communication;

(5) Provides opportunities for students to learn, think, reason, retrieve information, use technology and work effectively alone and in groups;

(6) Provides for rigorous academic content standards and instruction in mathematics, science, English, history, geography, economics, civics, [and English] physical education, health, the arts and second languages;

(7) Provides students an educational background to the end that they will function successfully in a constitutional republic, a participatory democracy and a multicultural nation and world;

[(8) Provides students with instruction in, but not limited to, health, physical education, second languages and the arts;]

[(9)] (8) Provides students with the knowledge and skills that will provide the opportunities to succeed in the world of work, as members of families and as citizens;

[(10)] (9) Provides students with the knowledge, skills and positive attitude that lead to an active, healthy lifestyle;

[(11)] (10) Provides students with the knowledge and skills to take responsibility for their decisions and choices;

[(12)] (11) Provides opportunities for students to learn through a variety of teaching strategies;

[(13)] (12) Emphasizes involvement of parents and the community in the total education of students;

[(14)] (13) Transports children safely to and from school;

[(15)] (14) Ensures that the funds allocated to schools reflect the uncontrollable differences in costs facing each district;

[(16)] (15) Ensures that local schools have adequate control of how funds are spent to best meet the needs of students in their communities; and

[(17)] (16) Provides for a safe, educational environment.

SECTION 4. ORS 329.035 is amended to read:

329.035. The Legislative Assembly declares that:

(1) The State of Oregon believes that all students can learn and should be held to rigorous academic content standards and expected to succeed.

(2) Access to a quality education must be provided for all of Oregon’s youth regardless of linguistic background, culture, race, gender, capability or geographic location.

(3) A restructured educational system is necessary to achieve the state’s goals of the best educated citizens in the nation and the world.

(4) The specific objectives of this chapter and ORS 329.905 to 329.975 are:

(a) To achieve the highest standards of academic content and performance;

(b) In addition to a diploma, to establish the Certificates of Initial Mastery and Advanced Mastery as evidence of new high academic standards of performance for all students;

(c) To establish alternative learning environments and services for students who experience difficulties in achieving state or local academic standards;

(d) To establish early childhood programs and academic professional technical programs as part of a comprehensive educational system; and

(e) To establish partnerships among business, labor and the educational community in the development of standards for academic professional technical [indorsements] endorsements and provide work-related learning experiences necessary to achieve those standards.

SECTION 5. ORS 329.045 is amended to read:

329.045. (1) In order to achieve the goals contained in ORS 329.025 and 329.035, the State Board of Education shall regularly and periodically review and revise its Common Curriculum Goals. This includes Essential Learning Skills and rigorous academic content standards in mathematics, science, English, history, geography, economics, civics, [English and] physical education, health, the arts and second languages. School districts and public charter schools shall maintain control over course content, format, materials and teaching methods [but shall ensure that students receive instruction in the academic content areas]. The rigorous academic content standards shall reflect the knowledge and skills necessary for achieving [Certificates] the Certificate of Initial Mastery, the Certificate of Initial Mastery subject area endorsements, the Certificate of Advanced Mastery and diplomas pursuant to ORS 329.025 and as described in ORS 329.447. The regular review shall involve teachers and other educators, parents of students and other citizens and shall provide ample opportunity for public comment.

(2) The State Board of Education shall continually review all adopted academic content standards and shall raise the standards [in academic content areas] for mathematics, science, English, history, geography, economics, civics, physical education, health, the arts and second languages to the highest levels possible.

[(3) The Common Curriculum Goals reviewed and revised by the board under subsection (1) of this section shall also include goals in health. In accordance with the Common Curriculum Goals, school districts shall offer instruction in content areas and health.]

(3) School districts and public charter schools shall offer students instruction in mathematics, science, English, history, geography, economics, civics, physical education, health, the arts and second languages that meets the academic content standards adopted by the State Board of Education and meets the requirements adopted by the State Board of Education and the board of the school district or public charter school.

SECTION 6. ORS 329.075 is amended to read:

329.075. (1) The State Board of Education shall adopt rules, in accordance with ORS 183.025 and 183.310 to 183.550, as necessary for the statewide implementation of this chapter. The rules shall be prepared in consultation with appropriate representatives from the educational and business and labor communities.

(2) The Department of Education shall be responsible for coordinating research, planning and public discussion so that activities necessary to the implementation of this chapter can be achieved. Actions by the department to fulfill this responsibility and to increase student achievement may include, but are not limited to:

(a) Updating Common Curriculum Goals to meet rigorous academic content standards;

(b) Developing criterion-referenced assessments including performance-based, content-based and other assessment mechanisms to test knowledge and skills;

(c) Establishing criteria for Certificates of Initial Mastery and Advanced Mastery[, and for benchmarks at grades 3, 5, 8 and 10];

(d) Establishing criteria for early childhood improvement programs;

(e) Amending the application process for school improvement grants;

(f) Researching and developing public school choice plans;

(g) Working with the Education and Workforce Policy Advisor and the Department of Community Colleges and Workforce Development to develop no fewer than six broad career [indorsement] endorsement areas of study; and

(h) Establishing criteria for learning options that may include alternative learning centers.

(3) The State Board of Education shall create, by rule, a process for school districts to initiate and propose pilot programs. The rules shall include a process for waivers of rules and regulations and a process for approval of the proposed pilot programs.

(4) The Department of Education shall make school districts and the public aware of public school choice options available within our current public education framework.

(5) The Department of Education shall:

(a) Evaluate pilot programs developed pursuant to ORS 329.690 using external evaluators to provide data that specify the educational effectiveness, implementation requirements and costs of the programs and to describe what training, funding and related factors are required to replicate pilot programs that are shown to be effective;

(b) Present to the State Board of Education and the appropriate legislative committee an annual evaluation of all pilot programs; and

(6) As used in this section:

(a) “Criterion-referenced assessment” means testing of the knowledge or ability of a student with respect to some standard.

(b) “Content-based assessment” means testing of the understanding of a student of a predetermined body of knowledge.

(c) “Performance-based assessment” means testing of the ability of a student to use knowledge and skills to create a complex or multifaceted product or complete a complex task.

SECTION 7. ORS 329.447 is amended to read:

329.447. (1) School districts shall continue to issue diplomas to students as evidence that students have completed their public school education. At or before grade 12, a diploma shall be conferred upon all students completing the requirements established by the State Board of Education and the school districts. In addition to the diploma, school districts shall make the following [shall be] available:

[(1)] (a) A certificate, to be conferred upon students who with additional services and accommodations do not meet the standards for the Certificate of Initial Mastery [standards].

[(2)] (b) Certificate of Initial Mastery, to be conferred upon all students meeting state and local standards and requirements [required] for the Certificate of Initial Mastery in particular subjects pursuant to ORS 329.465.

[(3)] (c) Certificate of Advanced Mastery, to be conferred upon all students meeting state and local standards and requirements for the Certificate of Advanced Mastery in one of the areas pursuant to ORS 329.475.

[(4)] (d) Career [indorsements] endorsements, which are focus areas that identify a high quality career related course of study which informs students about future choices and simultaneously prepares them for further education, lifelong learning and employment.

(2) In addition to the diploma, certificates and career endorsements required by subsection (1) of this section, school districts may offer Certificate of Initial Mastery subject area endorsements, to be conferred upon all students meeting state and local standards and requirements for a subject area endorsement pursuant to ORS 329.465.

SECTION 8. ORS 329.465 is amended to read:

329.465. [(1) By the end of the 1995-1996 school year, the State Board of Education shall revise and adopt standards and requirements for the Certificate of Initial Mastery and design a plan that enables school districts to phase in academic standards so that students have opportunities to obtain a Certificate of Initial Mastery by no later than the 1998-1999 school year, in the manner designated in the state board’s plan.]

(1) The State Board of Education shall adopt academic content standards and requirements for the Certificate of Initial Mastery and for Certificate of Initial Mastery subject area endorsements.

(2) The State Board of Education shall prescribe the academic content standards, pursuant to ORS 329.025 and 329.035, that a student must meet in order to obtain [a] the Certificate of Initial Mastery or a Certificate of Initial Mastery subject area endorsement. The Certificate of Initial Mastery and the Certificate of Initial Mastery subject area endorsements shall be based on a series of performance-based assessments and content assessments benchmarked to mastery levels [at approximately grades 3, 5, 8 and 10]. The assessment methods shall include work samples and tests [and may include portfolios]. The state board shall establish a certificate for students who, with additional services and accommodations, do not meet the standards for the Certificate of Initial Mastery [standards]. Students shall be allowed to collect credentials over a period of years, culminating in a project or exhibition that demonstrates attainment of the required knowledge and skills that have been measured by a variety of valid assessment methods.

(3) Requirements for the Certificate of Initial Mastery or a Certificate of Initial Mastery subject area endorsement shall:

(a) Ensure that students have the necessary knowledge and demonstrate the skills to read, write, problem solve, reason and communicate;

(b) Ensure that students have the opportunity to demonstrate the ability to learn, think, retrieve information and use technology;

(c) Ensure that students have the opportunity to demonstrate that they can work effectively as individuals and as an individual in group settings; and

(d) Ensure that student assessment is based on academic content standards [in mathematics, science, history, geography, economics, civics, English, second languages, the arts and physical education].

[(4) Prior to July 1, 1997, school districts shall submit plans to the Department of Education setting forth the steps the district will take to ensure that its programs meet the requirements necessary for students to obtain a Certificate of Initial Mastery. Each district’s plan shall demonstrate how alternative learning program options will be available for students working toward a Certificate of Initial Mastery and a diploma.]

(4)(a) The state board shall establish the minimum number of work samples that a student must complete in each subject to receive the Certificate of Initial Mastery or to receive a Certificate of Initial Mastery subject area endorsement.

(b) If a school district receives the approval of the Department of Education, the school district may require a student, as part of the requirements for the Certificate of Initial Mastery or a Certificate of Initial Mastery subject area endorsement, to complete a greater number of work samples for a particular subject than the minimum number established by the state board.

(5) The state board shall adopt requirements for the Certificate of Initial Mastery in mathematics, science and English. Each school district shall implement the Certificate of Initial Mastery in mathematics, science and English.

(6) In addition, the state board shall adopt requirements for Certificate of Initial Mastery subject area endorsements in history, geography, economics, civics, physical education, health, the arts and second languages. A school district may offer to the students of the school district a Certificate of Initial Mastery subject area endorsement in any of the following:

(a) History, geography, economics and civics.

(b) Physical education.

(c) Health.

(d) The arts.

(e) Second languages.

(7) A student may receive a Certificate of Initial Mastery subject area endorsement only if the student has received the Certificate of Initial Mastery.

(8) The state board or a school district may not make the creation of a student portfolio a requirement for the Certificate of Initial Mastery or a Certificate of Initial Mastery subject area endorsement.

[(5)] (9) The provisions of this section may be applied individually as appropriate to students enrolled in special education programs under ORS chapter 343.

[(6)] (10) The Department of Education shall develop procedures to accommodate out-of-state students, students taught by a parent, legal guardian or private teacher as described in ORS 339.030, private school students transferring into public schools and migrant children from other states and countries.

[(7)] (11) Nothing in this section is intended to apply the Certificates of Mastery programs or standards to private school students or students taught by a parent, legal guardian or private teacher as described in ORS 339.030.

SECTION 9. ORS 329.475 is amended to read:

329.475. (1) After the State Board of Education adopts standards and rules for the Certificate of Advanced Mastery, each school district shall institute programs that allow students to qualify for a Certificate of Advanced Mastery with [indorsements] career endorsements that prepare students for post-secondary academic pursuits and professional technical careers.

(2) School districts may implement the programs in a public education institution such as a public school, education service district, community college, public professional technical school or institution of higher education, or any combination thereof, that enrolls the student and meets the requirements of the State Board of Education.

(3) The programs must provide a combination of work-related learning experiences and study in accordance with ORS 329.855. The program shall include a comprehensive educational component that meets rigorous academic standards.

(4) All courses necessary for a Certificate of Advanced Mastery shall be available to all students.

(5) The State Board of Education shall adopt a framework for the Certificate of Advanced Mastery programs and timelines for implementation of the programs for the school districts to follow as resources become available to the school districts. The Department of Education may provide technical assistance to assist school districts in the implementation of the Certificate of Advanced Mastery programs.

(6) In establishing the requirements for Certificates of Advanced Mastery with [indorsements] career endorsements, the State Board of Education shall adopt rules that facilitate movement among the [indorsements] endorsements and shall encourage public school choice and mobility so as to enhance a student’s opportunities for a full range of educational experiences.

(7) The public education institution shall be reimbursed for the student’s tuition by the district in which the student resides pursuant to ORS 339.115 and rules of the State Board of Education, in an amount not to exceed the student’s tuition or the amount the district receives for the student from state funds, whichever is less. A school district shall not receive state funds for the student in an amount that exceeds the student’s tuition. Any adult who wishes to pursue an [indorsement] endorsement, or any student having earned the Certificate of Advanced Mastery or a diploma or who has attained 19 years of age and who wishes to continue a program, may do so by paying tuition. As used in this section, “public education institution” does not include a public school to which a student has transferred under ORS 329.485.

(8) Programs developed under this section shall meet the highest academic standards possible and provide students with opportunities for a broad range of quality work-related learning experiences.

(9) A high school diploma issued by a private or out-of-state secondary school as signifying successful completion of grade 12 shall be considered equivalent to a high school diploma issued by an Oregon public school.

SECTION 10. ORS 329.485 is amended to read:

329.485. (1)(a) The Department of Education shall implement statewide a valid and reliable assessment system for all students that meets technical adequacy standards. The assessment system[, to be completed by the year 2000,] shall include criterion-referenced assessments including performance-based assessments, content-based assessments, as those terms are defined in ORS 329.075, and other valid methods to measure the academic content standards and to identify students who meet or exceed the standards for each mastery level leading to the Certificate of Initial Mastery, Certificate of Initial Mastery subject area endorsements and the Certificate of Advanced Mastery. [However, until this plan is operational, assessment shall continue at grades 3, 5, 8 and 10.]

(b) The Department of Education shall develop the statewide assessment system in mathematics, science, English, history, geography, economics and civics.[:]

[(A) Mathematics, to be implemented by the 1995-1996 school year.]

[(B) English, to be implemented by the 1996-1997 school year.]

[(C) Science, to be implemented by the 1997-1998 school year.]

[(D) History, geography, economics and civics, to be implemented by the 1998-1999 school year.]

[(2) Prior to full statewide implementation of the assessment system pursuant to subsection (1) of this section, the State Board of Education by rule shall establish criteria for determining whether students have demonstrated the knowledge and skills necessary to perform successfully at each level in the manner described in ORS 329.465, 329.475 and 329.855.]

(2) School districts and public charter schools shall implement the statewide assessment system in mathematics, science and English. In addition, school districts and public charter schools may implement the statewide assessment system in history, geography, economics and civics.

(3) An assessment shall be administered to students on or after March 1 of a school year if the assessment is:

(a)(A) A mathematics assessment that tests problem solving skills; or

(B) An English assessment that tests writing skills; and

(b) Administered as part of the statewide assessment [in grades 3, 5 or 8].

(4) The State Board of Education shall establish by rule a process for granting a waiver to a school district of the testing dates established by the Department of Education for the statewide assessment. The rules adopted by the board shall include the criteria for a waiver.

(5) Each year the resident district shall be accountable for determining the student’s progress toward achieving the academic content standards [at grades 3, 5, 8 and 10]. Progress toward the academic content standards shall be measured in a manner that clearly enables the student and parents to know whether the student is making progress toward meeting or exceeding the academic content standards [at grades 3, 5, 8 and 10]. In addition, the district shall adopt a grading system based on the local school district board adopted course content of the district’s curriculum. The grading system shall clearly enable the student and parents to know how well the student is achieving course requirements.

(6) If a student has not met or has exceeded all of the academic content standards [at grades 3, 5, 8 and 10], the school district shall make additional services or alternative educational or public school options available to the student.

(7) If the student to whom additional services or alternative educational options have been made available does not meet or exceed the academic content standards within one year, the school district, with the consent of the parents, shall make an appropriate placement, which may include an alternative education program or the transfer of the student to another public school in the district or to a public school in another district that agrees to accept the student. The district that receives the student shall be entitled to payment. The payment shall consist of:

(a) An amount equal to the district expenses from its local revenues for each student in average daily membership, payable by the resident district in the same year; and

(b) Any state and federal funds the attending district is entitled to receive payable as provided in ORS 339.133 (2).

SECTION 11. ORS 329.492 is amended to read:

329.492. (1) The Department of Education shall develop academic content standards for Oregon Studies [by the 2001-2002 school year]. The department shall consult with the Oregon Historical Society in the development of the academic content standards in Oregon Studies and in the preparation of materials to support teacher training and classroom instruction in Oregon Studies. The materials shall include a balanced presentation of the relevant contributions to society by men and women of African-American, Hispanic, Native American, Asian-American and other racial groups in Oregon.

(2) The Oregon Historical Society may use any public funds allocated to the Oregon Historical Society for the purposes of this section. In addition, the Oregon Historical Society may raise additional funds from private sources for the purposes of this section.

SECTION 12. ORS 329.855 is amended to read:

329.855. (1) The Department of Education, the Department of Community Colleges and Workforce Development and the Oregon University System in consultation with the Education and Workforce Policy Advisor shall develop comprehensive education and training programs in accordance with ORS 329.475 for two-year to six-year academic professional technical [indorsements] endorsements, associate degrees and baccalaureate degrees.

(2) There may be established a process for industrial certification and a sequence of advanced certification that could be obtained throughout a person’s career.

(3) Work groups, including teachers, community members and representatives of business and labor, may be appointed to offer specialized information concerning knowledge and skill requirements for occupations.

(4) No fewer than six broad career categories shall be identified, with additional categories added in future years. The education and training curriculum and achievement standards for each occupation and trade selected for students to achieve [indorsements] endorsements, associate degrees or baccalaureate degrees in the occupational categories selected shall be developed and available for school districts, community colleges and other training sites.

(5) In addition to academic content, the curriculum developed for [indorsements] endorsements, associate degrees and baccalaureate degrees shall ensure that every student has the option of a high quality career related course of study that provides the student with experience in and understanding of future career choices. Career related studies shall include a structured series of real or simulated activities that in combination with rigorous academic studies shall simultaneously prepare students for further education, lifelong learning and employment. These activities shall include but not be limited to:

(a) Job shadowing;

(b) Workplace mentoring;

(d) School based enterprises;

(e) Structured work experiences;

(f) Cooperative work and study programs;

(g) On-the-job training;

(h) Apprenticeship programs; or

(i) Other school-to-work opportunities.

(6) In considering where a student can most effectively and economically obtain the knowledge and skills required for the [indorsement] endorsement or post-secondary study, the Education and Workforce Policy Advisor may recommend integrating two-plus-two programs, apprenticeship programs and any other state or federal job training program.

(7) Until full statewide implementation, school districts are encouraged to use Certificate of Advanced Mastery programs that are currently being developed, but modified, if necessary, to best fit their students’ and community’s needs.

SECTION 13. ORS 329.860 is amended to read:

329.860. (1) The Department of Education in consultation with the Department of Community Colleges and Workforce Development and the Education and Workforce Policy Advisor shall develop models for school districts of alternative learning options that may include Learning Centers designed to assist students who have left school in [obtaining the] meeting the academic content standards required for the Certificate of Initial Mastery through the use of teaching strategies, technology and curricula that emphasize the latest research and best practice.

(2) The Learning Centers may also provide for the integration of existing local and community programs that provide any part of the services needed to assist individuals in [obtaining the] meeting the academic content standards for the Certificate of Initial Mastery.

(3) The centers may promote means of identifying, coordinating and integrating existing resources and may include:

(a) Child care services during school hours;

(b) After-school child care;

(d) Parent and child education;

(e) English as a second language or bilingual services for limited proficiency students;

(f) Health services or referral to health services;

(g) Housing assistance;

(h) Employment counseling, training and placement;

(i) Summer and part-time job development;

(j) Drug and alcohol abuse counseling; and

(k) Family crisis and mental health counseling.

(4) Education service districts, school districts or schools, or any combination thereof, may contact any eligible elementary or secondary school student and the student’s family if the student has ceased to attend school to encourage the student’s enrollment in an education program that may include alternative learning options. If the student or the family cannot be located, the name and last-known address shall be reported to the school nearest the address. The school shall attempt to determine if that student or family is being provided services by this state and shall seek to assist the student or family in any appropriate manner.

SECTION 14. ORS 327.506 is amended to read:

327.506. (1) The quality goals for the state’s system of kindergarten through grade 12 public education include those established under ORS 329.007, 329.015, 329.025, 329.035, 329.045, 329.065, 329.465[,] and 329.475 [and 329.487].

(2) Each biennium the Quality Education Commission shall determine the amount of moneys sufficient to ensure that the state’s system of kindergarten through grade 12 public education meets the quality goals.

(3) In determining the amount of moneys sufficient to meet the quality goals, the commission shall identify best practices that lead to high student performance and the costs of implementing those best practices in the state’s kindergarten through grade 12 public schools. Those best practices shall be based on research, data, professional judgment and public values.

(4) Prior to August 1 of each even-numbered year, the commission shall issue a report to the Governor and the Legislative Assembly that identifies:

(a) Current practices in the state’s system of kindergarten through grade 12 public education, the costs of continuing those practices and the expected student performance under those practices; and

(b) The best practices for meeting the quality goals, the costs of implementing the best practices and the expected student performance under the best practices.

(5) In addition, the commission shall provide in the report issued under subsection (4) of this section at least two alternatives for meeting the quality goals. The alternatives may use different approaches for meeting the quality goals or use a phased implementation of best practices for meeting the quality goals.

SECTION 15. ORS 338.115 is amended to read:

338.115. (1) Statutes and rules that apply to school district boards, school districts or other public schools shall not apply to public charter schools. However, the following laws shall apply to public charter schools:

(a) Federal law;

(b) ORS 192.410 to 192.505 (public records law);

(d) ORS 297.405 to 297.555 and 297.990 (Municipal Audit Law);

(e) ORS 181.539, 326.603, 326.607 and 342.232 (criminal records checks);

(f) ORS 337.150 (textbooks);

(g) ORS 339.141, 339.147 and 339.155 (tuition and fees);

(h) ORS 659.850 and 659.855 (discrimination);

(i) ORS 30.260 to 30.300 (tort claims);

(j) Health and safety statutes and rules;

(k) Any statute or rule that is listed in the charter;

(L) The statewide assessment system developed by the Department of Education for mathematics, science and English under ORS 329.485 (1);

(m) ORS 329.045 [(1)] (academic content [areas] standards and instruction);

(n) Any statute or rule that establishes requirements for instructional time provided by a school during each day or during a year;

(o) ORS 339.250 (12) (prohibition on infliction of corporal punishment); and

(p) This chapter.

(2) Notwithstanding subsection (1) of this section, a charter may specify that statutes and rules that apply to school district boards, school districts and other public schools may apply to a public charter school.

(3) If a statute or rule applies to a public charter school, then the terms “school district” and “public school” shall include public charter school as those terms are used in that statute or rule.

(4) A public charter school shall not violate the Establishment Clause of the First Amendment to the United States Constitution or section 5, Article I of the Oregon Constitution, or be religion based.

(5) A public charter school shall maintain an active enrollment of at least 25 students.

(6) A public charter school may sue or be sued as a separate legal entity.

(7) The sponsor, members of the governing board of the sponsor acting in their official capacity and employees of a sponsor acting in their official capacity are immune from civil liability with respect to all activities related to a public charter school within the scope of their duties or employment.

(8) A public charter school may enter into contracts and may lease facilities and services from a school district, education service district, state institution of higher education, other governmental unit or any person or legal entity.

(9) A public charter school may not levy taxes or issue bonds under which the public incurs liability.

(10) A public charter school may receive and accept gifts, grants and donations from any source for expenditure to carry out the lawful functions of the school.

(11) The school district in which the public charter school is located shall offer a high school diploma, certificate, Certificate of Initial Mastery or Certificate of Advanced Mastery to any public charter school student who meets the district’s and state’s standards for a high school diploma, certificate, Certificate of Initial Mastery or Certificate of Advanced Mastery. If the school district offers a Certificate of Initial Mastery subject area endorsement to students who attend school in the district, then the school district shall offer the endorsement to any public charter school student who meets the district’s and state’s standards for the endorsement.

(12) A high school diploma, certificate, Certificate of Initial Mastery, Certificate of Initial Mastery subject area endorsement or Certificate of Advanced Mastery issued by a public charter school shall grant to the holder the same rights and privileges as a high school diploma, certificate, Certificate of Initial Mastery, Certificate of Initial Mastery subject area endorsement or Certificate of Advanced Mastery issued by a nonchartered public school.

(13) Prior to beginning operation, the public charter school shall show proof of insurance to the sponsor as specified in the charter.

(14) A public charter school may receive services from an education service district in the same manner as a nonchartered public school in the school district in which the public charter school is located.

SECTION 16. Section 27, chapter 660, Oregon Laws 1995, as amended by section 2, chapter 353, Oregon Laws 1997, is amended to read:

Sec. 27. [(1) Prior to March 1, 1999, the Department of Education shall submit standards and rules for the Certificate of Advanced Mastery adopted by the State Board of Education pursuant to ORS 329.475 to the Legislative Assembly.]

[(2)] (1) Pursuant to the standards and rules adopted by the State Board of Education, each school district prior to September 1, [2004] 2008, shall institute programs that allow students to qualify for the Certificate of Advanced Mastery. However, a school district [shall] is not [be] required to award any Certificate of Advanced Mastery prior to September 1, [2004] 2008.

[(3)] (2) The Department of Education shall establish incentive programs to encourage school districts to implement the Certificate of Advanced Mastery prior to September 1, [2004] 2008. The incentive programs shall provide a variety of models for implementation of the Certificate of Advanced Mastery in school districts that vary in size and location in the state. The incentive programs shall also provide a variety of models for career [indorsement] endorsement areas.

[(4)] (3) Notwithstanding subsection [(2)] (1) of this section, school districts shall demonstrate continued progress toward development and implementation of the Certificate of Advanced Mastery prior to statewide implementation.

SECTION 17. ORS 329.487 and section 7, chapter 1029, Oregon Laws 1999, and section 2, chapter 443, Oregon Laws 2001, are repealed.

SECTION 18. (1) The amendments to ORS 327.506, 329.005, 329.007, 329.025, 329.035, 329.045, 329.075, 329.447, 329.465, 329.475, 329.485, 329.492, 329.855, 329.860 and 338.115 by sections 1 to 15 of this 2003 Act and the repeal of ORS 329.487 and section 7, chapter 1029, Oregon Laws 1999, and section 2, chapter 443, Oregon Laws 2001, by section 17 of this 2003 Act first apply to the 2003-2004 school year.

(2) Notwithstanding subsection (1) of this section, the amendments to ORS 329.045, 329.485 and 338.115 by sections 5, 10 and 15 of this 2003 Act first apply to public charter schools that enter into a charter with a sponsor, amend a charter or renew a charter on or after the effective date of this 2003 Act.

(3) Notwithstanding subsection (1) of this section, the amendments to ORS 327.506, 329.005, 329.007, 329.025, 329.035, 329.075, 329.447, 329.465, 329.475, 329.492, 329.855 and 329.860 by sections 1 to 4, 6 to 9 and 11 to 14 of this 2003 Act and the repeal of ORS 329.487 and section 7, chapter 1029, Oregon Laws 1999, and section 2, chapter 443, Oregon Laws 2001, by section 17 of this 2003 Act first apply to public charter schools that enter into a charter with a sponsor, amend a charter or renew a charter on or after the effective date of this 2003 Act if a provision of the charter of the public charter school applies the statute or session law to the public charter school.

SECTION 19. This 2003 Act being necessary for the immediate preservation of the public peace, health and safety, an emergency is declared to exist, and this 2003 Act takes effect July 1, 2003.

Approved by the Governor June 11, 2003

Filed in the office of Secretary of State June 11, 2003

Effective date July 1, 2003

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