A.R.S. tit. 15 ch. 2 — Arizona Revised Statutes Title 15 Chapter 2 — State Governance Of Schools

15-201. State board of education; members; appointment; terms A. The state board of education shall be composed of the superintendent of public instruction, the president of a state university or a state college, four lay members, a president or chancellor of a community college district, a person who is an owner or administrator of a charter school, a superintendent of a high school district, a classroom teacher and a county school superintendent. A member who is a president of a state university or a state college shall not succeed himself. B. The governor shall appoint each member, other than the superintendent of public instruction, pursuant to section 38-211 for a term of four years beginning on the third Monday in January. 15-202. Meetings; majority required for validation; travel expenses; immunity A. The state board of education shall hold four regular meetings annually at times it directs. Special meetings may be held on the call of the presiding officer. B. Concurrence of a majority of all members of the board is necessary for validation of an act of the board. C. Members shall be allowed travel expenses and reimbursement for subsistence, as provided by title 38, chapter 4, article 2, to be paid on claims approved by the department of administration, as other claims against the state are paid, from the appropriation for the board authorized in the general appropriations bill. D. Members of the board are immune from personal liability with respect to all acts done and actions taken in good faith within the scope of their authority during duly constituted regular and special meetings with approval of a majority of all members of the board. 15-203. Powers and duties; definition A. The state board of education shall: 1. Exercise general supervision over and regulate the conduct of the public school system and adopt any rules and policies it deems necessary to accomplish this purpose. 2. Keep a record of its proceedings. 3. Make rules for its own government. 4. Determine the policy and work undertaken by it. 5. Subject to title 41, chapter 4, article 4, employ staff. 6. Prescribe and supervise the duties of its employees pursuant to title 41, chapter 4, article 4, if not otherwise prescribed by statute. 7. Delegate to the superintendent of public instruction the execution of board policies and rules. 8. Recommend to the legislature changes or additions to the statutes pertaining to schools. 9. Prepare, publish and distribute reports concerning the educational welfare of this state. 10. Prepare a budget for expenditures necessary for proper maintenance of the board and accomplishment of its purposes and present the budget to the legislature. 11. Aid in the enforcement of laws relating to schools. 12. Prescribe a minimum course of study in the common schools, minimum competency requirements for the promotion of pupils from the third grade and minimum course of study and competency requirements for the promotion of pupils from the eighth grade. The state board of education shall prepare a fiscal impact statement of any proposed changes to the minimum course of study or competency requirements and, on completion, shall send a copy to the director of the joint legislative budget committee and the director of the school facilities division within the department of administration. The state board of education shall not adopt any changes in the minimum course of study or competency requirements in effect on July 1, 1998 that will have a fiscal impact on school capital costs. 13. Prescribe minimum course of study and competency requirements for the graduation of pupils from high school. The state board of education shall prepare a fiscal impact statement of any proposed changes to the minimum course of study or competency requirements and, on completion, shall send a copy to the director of the joint legislative budget committee and the director of the school facilities division within the department of administration. The state board of education shall not adopt any changes in the minimum course of study or competency requirements in effect on July 1, 1998 that will have a fiscal impact on school capital costs. 14. Pursuant to section 15-501.01, supervise and control the certification of persons engaged in instructional work directly as any classroom, laboratory or other teacher or indirectly as a supervisory teacher, speech therapist, principal or superintendent in a school district, including school district preschool programs, or any other educational institution below the community college, college or university level, and prescribe rules for certification. 15. Adopt a list of approved tests for determining special education assistance to gifted pupils as defined in and as provided in chapter 7, article 4.1 of this title. The adopted tests shall provide separate scores for quantitative reasoning, verbal reasoning and nonverbal reasoning and shall be capable of providing reliable and valid scores at the highest ranges of the score distribution. 16. Adopt rules governing the methods for the administration of all proficiency examinations. 17. Adopt proficiency examinations for its use and determine the passing score for the proficiency examinations. 18. Include within its budget the cost of contracting for the purchase, distribution and scoring of the examinations as provided in paragraphs 16 and 17 of this subsection. 19. Supervise and control the qualifications of professional nonteaching school personnel and prescribe standards relating to qualifications. The standards shall not require the business manager of a school district to obtain certification from the state board of education. 20. Impose such disciplinary action, including disciplinary action pursuant to section 15-505 or the issuance of a letter of censure, suspension, suspension with conditions or revocation of a certificate, on a finding of immoral or unprofessional conduct. 21. Establish an assessment, data gathering and reporting system for pupil performance as prescribed in chapter 7, article 3 of this title, including qualifying examinations for the college credit by examination incentive program pursuant to section 15-249.06. 22. Adopt a rule to promote braille literacy pursuant to section 15-214. 23. Adopt rules prescribing procedures for the state board of education to investigate every written complaint alleging that a certificated person, a person seeking certification or a noncertificated person has engaged in immoral or unprofessional conduct. 24. For purposes of federal law, serve as the state board for vocational and technological education and meet at least four times each year solely to execute the powers and duties of the state board for vocational and technological education. 25. Develop and maintain a handbook for use in the schools of this state that provides guidance for the teaching of moral, civic and ethical education. The handbook shall promote existing curriculum frameworks and shall encourage school districts to recognize moral, civic and ethical values within instructional and programmatic educational development programs for the general purpose of instilling character and ethical principles in pupils in kindergarten programs and grades one through twelve. 26. Require pupils to recite the following passage from the declaration of independence for pupils in grades four through six at the commencement of the first class of the day in the schools, except that a pupil shall not be required to participate if the pupil or the pupil's parent or guardian objects: We hold these truths to be self-evident, that all men are created equal, that they are endowed by their creator with certain unalienable rights, that among these are life, liberty and the pursuit of happiness. That to secure these rights, governments are instituted among men, deriving their just powers from the consent of the governed. . . . 27. Adopt rules that provide for certification reciprocity pursuant to section 15-501.01. 28. Adopt rules that provide for the presentation of an honorary high school diploma to a person who has never obtained a high school diploma and who meets both of the following requirements: (a) Currently resides in this state. (b) Provides documented evidence from the department of veterans' services that the person enlisted in the armed forces of the United States and served in World War I, World War II, the Korean conflict or the Vietnam conflict. 29. Cooperate with the Arizona-Mexico commission in the governor's office and with researchers at universities in this state to collect data and conduct projects in the United States and Mexico on issues that are within the scope of the duties of the department of education and that relate to quality of life, trade and economic development in this state in a manner that will help the Arizona-Mexico commission to assess and enhance the economic competitiveness of this state and of the Arizona-Mexico region. 30. Adopt rules to define and provide guidance to schools as to the activities that would constitute immoral or unprofessional conduct of certificated and noncertificated persons. 31. Adopt guidelines to encourage pupils in grades nine, ten, eleven and twelve to volunteer for twenty hours of community service before graduation from high school. A school district that complies with the guidelines adopted pursuant to this paragraph is not liable for damages resulting from a pupil's participation in community service unless the school district is found to have demonstrated wanton or reckless disregard for the safety of the pupil and other participants in community service. For the purposes of this paragraph, "community service" may include service learning. The guidelines shall include the following: (a) A list of the general categories in which community service may be performed. (b) A description of the methods by which community service will be monitored. (c) A consideration of risk assessment for community service projects. (d) Orientation and notification procedures of community service opportunities for pupils entering grade nine, including the development of a notification form. The notification form shall be signed by the pupil and the pupil's parent or guardian, except that a pupil shall not be required to participate in community service if the parent or guardian notifies the principal of the pupil's school in writing that the parent or guardian does not wish the pupil to participate in community service. (e) Procedures for a pupil in grade nine to prepare a written proposal that outlines the type of community service that the pupil would like to perform and the goals that the pupil hopes to achieve as a result of community service. The pupil's written proposal shall be reviewed by a faculty advisor, a guidance counselor or any other school employee who is designated as the community service program coordinator for that school. The pupil may alter the written proposal at any time before performing community service. (f) Procedures for a faculty advisor, a guidance counselor or any other school employee who is designated as the community service program coordinator to evaluate and certify the completion of community service performed by pupils. 32. To facilitate the transfer of military personnel and their dependents to and from the public schools of this state, pursue, in cooperation with the Arizona board of regents, reciprocity agreements with other states concerning the transfer credits for military personnel and their dependents. A reciprocity agreement entered into pursuant to this paragraph shall: (a) Address procedures for each of the following: (i) Transferring student records. (ii) Awarding credit for completed coursework. (iii) Allowing a student to satisfy the graduation requirements prescribed in section 15-701.01 through the successful performance on comparable exit-level assessment instruments administered in another state. (b) Include appropriate criteria developed by the state board of education and the Arizona board of regents. 33. Adopt guidelines that school district governing boards shall use in identifying pupils who are eligible for gifted programs and in providing gifted education programs and services. The state board of education shall adopt any other guidelines and rules that it deems necessary in order to carry out the purposes of chapter 7, article 4.1 of this title. 34. For each of the alternative textbook formats of human-voiced audio, large-print and braille, designate alternative media producers to adapt existing standard print textbooks or to provide specialized textbooks, or both, for pupils with disabilities in this state. Each alternative media producer shall be capable of producing alternative textbooks in all relevant subjects in at least one of the alternative textbook formats. The board shall post the designated list of alternative media producers on its website. 35. Adopt a list of approved professional development training providers for use by school districts as provided in section 15-107, subsection J. The professional development training providers shall meet the training curriculum requirements determined by the state board of education in at least the areas of school finance, governance, employment, staffing, inventory and human resources, internal controls and procurement. 36. Adopt rules to prohibit a person who violates the notification requirements prescribed in section 15-183, subsection C, paragraph 8 or section 15-550, subsection D from certification pursuant to this title until the person is no longer charged or is acquitted of any offenses listed in section 41-1758.03, subsection B. The state board shall also adopt rules to prohibit a person who violates the notification requirements, certification surrender requirements or fingerprint clearance card surrender requirements prescribed in section 15-183, subsection C, paragraph 9 or section 15-550, subsection E from certification pursuant to this title for at least ten years after the date of the violation. 37. Adopt rules for the alternative certification of teachers of nontraditional foreign languages that allow for the passing of a nationally accredited test to substitute for the education coursework required for certification. 38. Adopt rules to define competency-based educational pathways for college and career readiness that may be used by schools. The rules shall include the following components: (a) The establishment of learning outcomes that will be expected for students in a particular subject, beginning with math. (b) A mechanism to allow pupils in grades seven through twelve who have demonstrated competency in a subject to immediately obtain credit for the mastery of that subject. The rules shall include a list of applicable subjects. 39. In consultation with the department of health services, the department of education, medical professionals, school health professionals, school administrators and an organization that represents school nurses in this state, adopt rules that prescribe the following for school districts and charter schools: (a) Annual training in the administration of epinephrine delivery systems for designated medical and nonmedical school personnel. The annual training prescribed in this subdivision is optional during any fiscal year in which a school does not stock epinephrine delivery systems at the school during that fiscal year. (b) Annual training for all school site personnel on the recognition of anaphylactic shock symptoms and the procedures to follow when anaphylactic shock occurs, following the national guidelines of the American academy of pediatrics. The annual training prescribed in this subdivision is optional during any fiscal year in which a school does not stock epinephrine delivery systems at the school during that fiscal year. (c) Procedures for the administration of epinephrine delivery systems in emergency situations. (d) Procedures for annually requesting a standing order for epinephrine delivery systems pursuant to section 15-157 from the chief medical officer of the department of health services, the chief medical officer of a county health department, a doctor of medicine licensed pursuant to title 32, chapter 13, a doctor of naturopathic medicine licensed pursuant to title 32, chapter 14 or a doctor of osteopathic medicine licensed pursuant to title 32, chapter 17. (e) Procedures for reporting the use of epinephrine delivery systems to the department of health services. 40. In consultation with the department of education, medical professionals, school health professionals, school administrators and an organization that represents school nurses in this state, adopt rules that prescribe the following for school districts and charter schools that elect to administer inhalers: (a) Annual training in the recognition of respiratory distress symptoms and the procedures to follow when respiratory distress occurs, in accordance with good clinical practice, and the administration of inhalers, as directed on the prescription protocol, by designated medical and nonmedical school personnel. (b) Requirements for school districts and charter schools that elect to administer inhalers to designate at least two employees at each school to be trained in the recognition of respiratory distress symptoms and the procedures to follow when respiratory distress occurs, in accordance with good clinical practice, and at least two employees at each school to be trained in the administration of inhalers, as directed on the prescription protocol. (c) Procedures for the administration of inhalers in emergency situations, as directed on the prescription protocol. (d) Procedures for annually requesting a standing order for inhalers and spacers or holding chambers pursuant to section 15-158 from the chief medical officer of a county health department, a physician licensed pursuant to title 32, chapter 13, 14 or 17 or a nurse practitioner licensed pursuant to title 32, chapter 15. (e) Procedures for notifying a parent once an inhaler has been administered. 41. Adopt rules for certification that allow substitute teachers who can demonstrate primary teaching responsibility in a classroom as defined by the state board of education to use the time spent in that classroom toward the required capstone experience for standard teaching certification. 42. For the purposes of Sandra Day O'Connor civics celebration day instruction under section 15-710.01, develop a list of recommended resources relating to civics education that align with the academic standards prescribed by the state board of education in social studies pursuant to sections 15-701 and 15-701.01. The state board shall establish a process that allows public schools to recommend resources for addition to the list. 43. Direct and oversee the work of all investigators related to investigating certificated persons, persons seeking certification and noncertificated persons for immoral or unprofessional conduct under this title and rules adopted pursuant to this title. The investigators shall be housed within and are employees of the state board of education. 44. Establish best practices for social media and cellular telephone use between students and school personnel, including teachers, coaches and counselors, and encourage school district governing boards and charter school governing bodies to adopt policies that implement these best practices. The state board of education shall make these best practices available to both public and private schools. 45. For the purposes of 9/11 education day instruction under section 15-710.02, develop a list of recommended resources relating to age-appropriate education on the terrorist attacks of September 11, 2001 that align with the academic standards prescribed by the state board pursuant to sections 15-701 and 15-701.01. The state board shall establish a process that allows public schools to recommend resources for addition to the list. B. The state board of education may: 1. Contract. 2. Sue and be sued. 3. Distribute and score the tests prescribed in chapter 7, article 3 of this title. 4. Provide for an advisory committee or hearing officers to conduct hearings and screenings to determine whether grounds exist to impose disciplinary action against a certificated person, whether grounds exist to reinstate a revoked or surrendered certificate, whether grounds exist to approve or deny an initial application for certification or a request for renewal of a certificate and whether grounds exist to impose or lift disciplinary action against a noncertificated person. The board may delegate its responsibility to conduct hearings and screenings to its advisory committee or hearing officers. Hearings shall be conducted pursuant to title 41, chapter 6, article 6. 5. Proceed with the disposal of any complaint requesting disciplinary action against a noncertificated person after the board has imposed disciplinary action pursuant to section 15-505 or against a person holding a certificate as prescribed in subsection A, paragraph 14 of this section after the suspension or expiration of the certificate or surrender of the certificate by the holder. 6. Assess costs and reasonable attorney fees against a person who files a frivolous complaint or who files a complaint in bad faith. Costs assessed pursuant to this paragraph shall not exceed the expenses incurred by the state board of education in the investigation of the complaint. 7. Issue subpoenas to compel the attendance and testimony of witnesses and production of documents or any physical evidence in connection with an investigation or hearing of an allegation that a certificated person, a person seeking certification or a noncertificated person has engaged in immoral or unprofessional conduct. If a subpoena issued by the board is disobeyed, the board may petition the superior court to enforce the subpoena. Any failure to obey an order of the court pursuant to this paragraph may be punished by the court as contempt. C. For the purposes of this section, "noncertificated person" has the same meaning prescribed in section 15-505. 15-204. Acceptance of gifts and grants; gifts and grants fund; use; unexpended monies A. The state board of education may accept gifts or grants of monies or real or personal property from public and private organizations, if the purpose of the gift or grant specified by the donor is approved by the board and is within the scope of the board's powers and duties. There is established a fund for the placement of such monies which shall be designated as the gift and grant fund. B. Any such monies received by the state board shall be placed in the appropriate gift and grant fund and expended for the purpose specified by the donor. C. If all or part of the monies accepted by the board from a donor are not expended prior to the end of the fiscal year in which the gift or grant was accepted, the balance of the amount donated shall remain in the gift or grant fund until needed for the purpose specified by the donor. 15-205. Education of Indians in state schools; contracts with department of interior A. The state board of education may enter into contracts with the department of the interior for the welfare and education of Indians in schools of this state, in accordance with the act of Congress approved April 16, 1934, as amended by the act of June 4, 1936. The board shall administer the expenditure of federal funds provided under such contracts. B. No contract as provided for in subsection A shall be binding on the school district affected until it is approved by the district governing board. 15-206. Federal grants for educational purposes; administration A. The state board of education may accept on behalf of this state from any federal agency monies which have been appropriated by act of Congress for defense in education, reduction of illiteracy, teaching of immigrants, employment and training, educational support services or other educational purpose. B. The state board of education shall not reserve funds for state use in excess of actual cost not to exceed ten per cent of the grants to this state for provision to school district governing boards under the elementary and secondary education act of 1965, as amended (20 United States Code sections 2911 through 2952 and 2971 through 2976). C. The state board of education, following regular educational fiscal procedure for counties, shall be the chief educational authority for administration and supervision of the expenditure of federal appropriations described in subsection A, and the state treasurer shall be trustee thereof. 15-207. Apportionment and expenditure of federal grants for educational purposes A. The state board of education shall apportion the monies described in section 15-206 for the aid of the school districts of this state to supplement monies otherwise provided therefor. B. Monies so apportioned shall be expended by the school districts for the purposes and in the manner set forth in the federal grant. In the absence of federal regulation the state board of education shall determine the purposes and methods of expenditure in accordance with section 15-206. The state board of education may, with the approval of the board of supervisors, authorize expenditure of monies received pursuant to section 15-206 in excess of the annual budgets of school districts. 15-208. Application by school district for apportionment of federal monies; hearing A. A school district which, by reason of an emergency, finds it necessary to expend monies in excess of its annual budget for any purpose set forth in section 15-206 may apply to the state board of education for an apportionment from federal funds available under section 15-207. B. The board shall conduct a hearing and an investigation concerning the application. If the hearing and investigation disclose that the district needs additional funds for the proper conduct of its school, the board may, in its discretion, apportion such monies as it deems necessary to the district. 15-209. Disbursement of apportioned federal funds If monies are apportioned to a school district pursuant to section 15-207, the state board of education shall direct the department of administration division of finance to draw a warrant for the amount apportioned, and the state treasurer shall pay the warrant upon presentation, as provided by law. The school district shall immediately deposit the monies with the county treasurer of the county in which the district is located, and the treasurer shall place it in the appropriate fund to the credit of the district. Thereafter the monies shall be disbursed by the county treasurer only on the voucher of the school district and the warrant of the county school superintendent. 15-210. Unlawful expenditure of federal monies If a school district expends or attempts to expend monies received pursuant to section 15-207 in a manner other than as directed by the state board of education or as provided by the federal grant, the state board of education shall immediately deliver to the county treasurer of the county in which such district is located written notice directing him to refuse to pay further warrants drawn against monies so provided in the fund prescribed in section 15-209. Copies of the notice shall be served upon the governing board of the school district and the county school superintendent. No further expenditures shall be made by the school district from such monies, and no further monies shall be apportioned or paid to the district until it has complied with the federal regulations and directions of the state board of education. Upon compliance to the satisfaction of the state board of education, the state board shall deliver written notice to the county treasurer and the county school superintendent and thereafter the monies may be expended as provided in section 15-206. 15-211. K-3 reading program; dyslexia specialist; dyslexia training; receipt and use of monies; additional funding; annual report A. The department of education shall administer a K-3 reading program to improve the reading proficiency of pupils in kindergarten programs and grades one, two and three in the public schools of this state. B. The department of education shall designate a dyslexia specialist for the department to provide school districts and charter schools with support and resources that are necessary to assist students with dyslexia. C. On or before July 1, 2022, each school district and charter school shall ensure that at least one kindergarten through third grade teacher, literacy coach or literacy specialist in each school has received training related to dyslexia that complies with the requirements prescribed in section 15-219. D. Each school district and charter school shall submit to the department of education a plan for improving the reading proficiency of the school district's or the charter school's pupils in kindergarten programs and grades one, two and three. The plan shall include baseline data on the reading proficiency of the school district's or the charter school's pupils in kindergarten programs and grades one, two and three and a budget for spending monies from both the K-3 support level weight and the K-3 reading support level weight established in section 15-943. Each school district and charter school shall annually submit to the department of education on or before October 1 an updated K-3 reading program plan that includes data on program expenditures and results. E. School districts and charter schools shall use monies generated by the K-3 reading support level weight established in section 15-943 only on instructional purposes based on the plan submitted pursuant to subsection D of this section intended to improve reading proficiency for pupils in kindergarten programs and grades one, two and three with particular emphasis on pupils in kindergarten programs and grades one and two. F. Each school district and charter school that is assigned a letter grade of C, D or F pursuant to section 15-241 or that has more than ten percent of its pupils in grade three who do not demonstrate sufficient reading skills as established by the state board of education according to the reading portion of the statewide assessment shall receive monies generated by the K-3 reading support level weight established in section 15-943 only after the K-3 reading program plan of the school district or charter school has been submitted, reviewed and recommended for approval by the department of education and approved by the state board. The state board must give approval to a school district or charter school before any portion of the monies generated by the K-3 reading support level weight may be distributed to the school district or charter school pursuant to this subsection. G. Pupils in a charter school that is in its first year of operation and that is sponsored by the state board of education, the state board for charter schools, a university under the jurisdiction of the Arizona board of regents, a community college district or a group of community college districts are eligible for the K-3 reading support level weight. H. The department of education shall solicit gifts, grants and donations from any lawful public or private source in order to provide additional funding for the K-3 reading program. I. The state board of education may establish rules and policies for the K-3 reading program, including: 1. The proper use of monies in accordance with subsection E of this section. 2. The distribution of monies by the department of education in accordance with subsection D of this section. 3. The compliance of reading proficiency plans submitted pursuant to subsection D of this section with section 15-704. J. Pursuant to subsection I of this section, the department of education shall develop program implementation guidance for school districts and charter schools to assist schools in administering an effective K-3 evidence-based reading program plan. This guidance shall include identifying and recommending appropriate program expenditures, providing technical oversight and assistance for annually updating reading program plans, selecting and adopting evidence-based reading curricula and providing and promoting teacher professional development that is based on evidence-based reading research. The department shall prioritize supports and interventions, including enrollment in reading trainings and professional development, for school districts and charter schools that have the highest percentage of pupils who do not demonstrate sufficient reading skills as established by the state board of education. The department shall deposit any monies received for offering reading trainings or professional development, including coaching, in the department of education professional development revolving fund established by section 15-237.01. K. On or before December 15, the department of education shall submit an annual report on the K-3 reading program to the governor, the president of the senate and the speaker of the house of representatives and shall provide a copy of this annual report to the secretary of state, the state board of education and the chairpersons of the education committees of the senate and the house of representatives. The report shall contain all of the following: 1. Information on the improvement of K-3 reading in this state, including achievement data statewide and achievement data at the school district and charter school level. The information pursuant to this paragraph shall include data and information on continued proficiency on the statewide assessment in subsequent grades. 2. A description of the activities of the department to support school districts and charter schools in improving K-3 reading. 3. Specific findings on methods by which the department may continue to improve support and assistance for school districts and charter schools in the administration of K-3 reading program plans. 4. Information and data on K-3 reading program plans throughout this state and the expenditure of K-3 reading monies by school districts and charter schools. 5. Data reported pursuant to section 15-701, subsection A, paragraph 2, subdivision (d). 15-212. Expenditure of private funds; exemption A. Prior to expenditure of any monies granted to the state board of education by a private organization, the superintendent of public instruction shall present a plan governing the expenditure of such funds to the state board of education for approval. B. Upon approval of the plan by the state board of education, the superintendent of public instruction may expend the private grants as provided in the plan. C. Any funds granted to the state board of education as a private grant shall be exempt from the provisions of section 35-190, relating to lapsing of appropriations. 15-213. Procurement practices of school districts and charter schools; violations; classification; definitions A. The state board of education shall adopt rules prescribing procurement practices for all school districts in this state as follows: 1. The state board shall submit to the auditor general proposed rules consistent with the procurement practices prescribed in title 41, chapter 23, modifying the provisions for public notice of invitation for bids, requests for proposals and requests for qualifications to allow a governing board to give public notice of the invitation for bids, requests for proposals and requests for qualifications by publication in the official newspaper of the county as prescribed in section 11-255, modifying the provisions relating to disposal of materials to comply with section 15-342, paragraph 18, providing for governing board delegation of procurement authority and modifying as necessary other provisions that the state board determines are not appropriate for school districts. The rules shall include provisions specifying that school districts are not required to engage in competitive bidding in order to make the decision to participate in programs pursuant to section 15-382 and that a program authorized by section 15-382 is not required to engage in competitive bidding for the services necessary to administer the program or for purchase of insurance or reinsurance. The rules shall include provisions specifying that school districts are not required to engage in competitive bidding in order to place a pupil in a private school that provides special education services if such a placement is prescribed in the pupil's individualized education program and the private school has been approved by the department of education division of special education pursuant to section 15-765, subsection D. This placement is not subject to rules adopted by the state board of education before November 24, 2009 pursuant to this section. The rules for procurement of construction projects shall include provisions specifying that surety bonds furnished as bid security and performance and payment bonds shall be executed and furnished as required by title 34, chapter 2 or 6, as applicable. The rules shall specify the total cost of a procurement that is subject to invitations for bids, requests for proposals and requests for clarification, using the aggregate dollar amount limits for procurements prescribed in section 41-2535. The rules must follow the prompt payment requirements prescribed in sections 41-2576 and 41-2577 except for external funding that has not yet been received. 2. The state board of education shall adopt rules for procurements involving construction not exceeding $150,000, which shall be known as the simplified school construction procurement program. At a minimum, the rules for a simplified construction procurement program shall require that: (a) Each county school superintendent maintain a list of persons who desire to receive solicitations to bid on construction projects to which additions shall be allowed throughout the year. (b) The list of persons be available for public inspection. (c) A performance bond and a payment bond as required by this section be provided for contracts for construction by contractors. (d) All bids for construction be opened at a public opening and the bids shall remain confidential until the public opening. (e) All persons desiring to submit bids be treated equitably and the information related to each project be available to all eligible persons. (f) Competition for construction projects under the simplified school construction procurement program be encouraged to the maximum extent possible. At a minimum, a school district shall submit information on each project to all persons listed with the county school superintendent by any school district within that county. (g) A provision, covenant, clause or understanding in, collateral to or affecting a construction contract that makes the contract subject to the laws of another state or that requires any litigation, arbitration or other dispute resolution proceeding arising from the contract to be conducted in another state is against this state's public policy and is void and unenforceable. 3. The state board of education shall adopt rules for the procurement of goods and information services by school districts and charter schools using electronic, online bidding. The rules adopted by the state board shall include the use of reverse auctions and shall be consistent with the procurement practices prescribed in title 41, chapter 23, article 13, modifying as necessary those provisions and the rules adopted pursuant to that article that the state board determines are not appropriate for school districts and charter schools. Until the rules are adopted, school districts and charter schools may procure goods and information services pursuant to title 41, chapter 23, article 13 using the rules adopted by the department of administration in implementing that article. 4. The state board shall adopt rules for the procurement by school districts of any materials, services, goods, construction or construction services that ensure maximum practicable competition as prescribed in section 41-2565 and shall require that a person: (a) That contracts for or purchases any materials, services, goods, construction or construction services in a manner contrary to the rules adopted by the state board pursuant to this section is personally liable for the recovery of all public monies paid plus twenty percent of that amount and legal interest from the date of payment and all costs and damages arising out of the violation as prescribed in section 41-2616. (b) That intentionally or knowingly contracts for or purchases any materials, services, goods, construction or construction services pursuant to a scheme or artifice to avoid the rules adopted by the state board pursuant to this section is guilty of a class 4 felony as prescribed in section 41-2616. (c) That prepares procurement specifications may not receive any direct or indirect benefit from using those specifications. (d) That serves on a selection committee for a procurement may not be a contractor or subcontractor under a contract awarded under the procurement or provide any specified professional services, construction, construction services, materials or other services under the contract. A person that serves on a selection committee for a procurement and that fails to disclose contact with a representative of a competing vendor or fails to provide required accurate information is subject to a civil penalty as prescribed in section 41-2616. 5. The state board shall adopt rules requiring school districts to obtain and maintain a record of proof that a construction or construction services provider that has been awarded a contract with the school district, or school purchasing cooperative, has a valid license to practice in this state. 6. The auditor general shall review the proposed rules to determine whether the rules are consistent with the procurement practices prescribed in title 41, chapter 23 and any modifications are required to adapt the procedures for school districts. 7. If the auditor general approves the proposed rules, the auditor general shall notify the state board in writing and the state board shall adopt such rules. 8. If the auditor general objects to the proposed rules, the auditor general shall notify the state board of the objections in writing and the state board, in adopting the rules, shall conform the proposed rules to meet the objections of the auditor general or revise the proposed rules to which an objection has been made and submit the revisions to the auditor general for approval. B. After the bids submitted in response to an invitation for bids are opened and the award is made or after the proposals or qualifications are submitted in response to a request for proposals or a request for qualifications and the award is made, the governing board shall make available for public inspection all information, all bids, proposals and qualifications submitted and all findings and other information considered in determining whose bid conforms to the invitation for bids and will be the most advantageous with respect to price, conformity to the specifications and other factors or whose proposal or qualifications are to be selected for the award, including the rationale for awarding a contract for any specified professional services, construction, construction services or materials to an entity selected from a qualified select bidders list or through a school purchasing cooperative. The invitation for bids, request for proposals or request for qualifications shall include a notice that all information and bids, proposals and qualifications submitted will be made available for public inspection. The rules adopted by the state board shall prohibit the use in connection with procurement of specifications in any way proprietary to one supplier unless the specification includes all of the following: 1. A statement of the reasons no other specification is practicable. 2. A description of the essential characteristics of the specified product. 3. A statement specifically allowing an acceptable alternative product to be supplied. C. A project or purchase may not be divided or sequenced into separate projects or purchases in order to avoid the limits prescribed by the state board under subsection A of this section. D. A contract for the procurement of construction or construction services shall include a provision that provides for negotiations between the school district and the contractor for the recovery of damages related to expenses incurred by the contractor for a delay for which the school district is responsible, that is unreasonable under the circumstances and that was not within the contemplation of the parties to the contract. This subsection does not void any provision in the contract that requires notice of delays, provides for arbitration or any other procedure for settlement or provides for liquidated damages. E. The auditor general may conduct discretionary reviews, investigations and audits of the financial and operational procurement activities of school districts, nonexempt charter schools and school purchasing cooperatives. The auditor general has final review and approval authority over all school district, nonexempt charter school and school purchasing cooperative audit contracts and any audit reports issued in accordance with this section. If the attorney general has reasonable cause to believe an employee of a school district or school purchasing cooperative, or an employee of an entity that has been awarded a contract by a school district or school purchasing cooperative, has engaged in, is engaging in or is about to engage in any practice or transaction that violates the rules adopted by the state board of education pursuant to this section, the attorney general may: 1. Require that person to file on forms prescribed by the attorney general a statement or report in writing and under oath as to all the facts and circumstances concerning a violation of the rules adopted by the state board pursuant to this section by that person and any other data and information deemed necessary by the attorney general. 2. Examine under oath any person in connection with a violation of the rules adopted by the state board pursuant to this section. F. In addition to the requirements of sections 15-914 and 15-914.01, school districts, nonexempt charter schools and school purchasing cooperatives, in connection with any audit conducted by a certified public accountant, shall contract for a systematic review of purchasing practices using methodology consistent with sampling guidelines established by the auditor general. The auditor general shall consider cost when establishing guidelines pursuant to this subsection and to the extent possible shall attempt to minimize the cost of the review. The purpose of the review is to determine whether the school district, nonexempt charter school or school purchasing cooperative is in compliance with the procurement laws and applicable procurement rules of this state. A copy of the review shall be submitted on completion to the auditor general. The auditor general may conduct discretionary reviews of school districts, nonexempt charter schools and school purchasing cooperatives that are not required to contract for independent audits. G. A school district school employee who has control over personnel actions may not take reprisal against a school district school employee for that employee's disclosure of information that is a matter of public concern, including a violation of this section, to a public body pursuant to title 38, chapter 3, article 9. H. The attorney general or county attorney has jurisdiction to enforce this section. The attorney general or county attorney may seek relief for any violation of this section through an appropriate civil or criminal action in superior court, including an action to enjoin a threatened or pending violation of this section and including an action to enforce compliance with any request for documents made by the auditor general pursuant to this section. I. The department of education shall enact policies and procedures for the acceptance and disposition of complaints from the public regarding school procurement practices and shall forward all school procurement complaints to the attorney general. Notwithstanding rules adopted by the state board, school districts shall not be required to prepare or submit an annual report on the benefits associated with the use of construction-manager-at-risk, design-build, qualified select bidders list and job-order-contracting methods. J. The state board of education shall adopt, and the auditor general shall review, rules authorizing school districts to procure construction services by construction-manager-at-risk, design-build, qualified select bidders list and job-order-contracting methods of project delivery. The rules shall not require school districts to obtain bid security for the construction-manager-at-risk method of project delivery. K. A school district or charter school may evaluate United States general services administration contracts for materials and services. The governing board or governing body may authorize purchases under a current contract for materials or services without complying with the requirements of the procurement rules adopted by the state board of education if the governing board or governing body determines in writing that all of the following apply: 1. The price for materials or services is equal to or less than the contractor's current federal supply contract price with the general services administration. 2. The contractor has indicated in writing that the contractor is willing to extend the current federal supply contract pricing, terms and conditions to the school district or charter school. 3. The purchase order adequately identifies the federal supply contract on which the order is based. 4. The purchase contract is cost effective and is in the best interests of the school district or charter school. L. Unless otherwise provided by law, multiterm contracts for materials or services and contracts for job-order-contracting construction services may be entered into if the duration of the contract and the conditions of renewal or extension, if any, are included in the invitation for bids or the request for proposals and if monies are available for the first fiscal period at the time the contract is executed. The duration of contracts for materials or services and contracts for job-order-contracting construction services are limited to not more than five years unless the governing board determines in writing before the procurement solicitation is issued that a contract of longer duration would be advantageous to the school district. Payment and performance obligations for succeeding fiscal periods are subject to the availability and appropriation of monies. M. Notwithstanding the rules adopted by the state board of education, the maximum dollar amount of an individual job order for job-order-contracting construction services is $1,000,000 or a higher or lower amount prescribed by the governing board in a policy adopted in a public meeting held pursuant to title 38, chapter 3, article 3.1. Requirements shall not be artificially divided or fragmented in order to constitute a job order that satisfies the requirements of this subsection. N. A person who supervises or participates in contracts, purchases, payments, claims or other financial transactions, or a person who supervises or participates in the planning, recommending, selecting or contracting for materials, services, goods, construction, or construction services of a school district or school purchasing cooperative is guilty of a class 6 felony if the person solicits, accepts or agrees to accept any personal gift or benefit with a value of $300 or more from a person or vendor that has secured or has taken steps to secure a contract, purchase, payment, claim or financial transaction with the school district or school purchasing cooperative. Soliciting, accepting or agreeing to accept any personal gift or benefit with a value of less than $300 is a class 1 misdemeanor. A gift or benefit does not include an item of nominal value such as a greeting card, t-shirt, mug or pen. O. Any person or vendor that has secured or has taken steps to secure a contract, purchase, payment, claim or financial transaction with a school district or school purchasing cooperative that offers, confers or agrees to confer any personal gift or benefit with a value of $300 or more on a person who supervises or participates in contracts, purchases, payments, claims or other financial transactions, or on a person who supervises or participates in planning, recommending, selecting or contracting for materials, services, goods, construction or construction services of a school district or school purchasing cooperative, is guilty of a class 6 felony. Offering, conferring or agreeing to confer any personal gift or benefit with a value of less than $300 is a class 1 misdemeanor. A gift or benefit does not include an item of nominal value such as a greeting card, t-shirt, mug or pen. P. Any person or vendor convicted under subsection O of this section may be suspended for up to six months or barred for up to three years by the director of the department of administration from doing business with school districts and school purchasing cooperatives. The director of the department of administration shall adopt rules, including administrative procedures, to suspend or bar any person from consideration for award of contracts pursuant to this section. Q. For the purposes of this section: 1. "Gift or benefit" means a payment, distribution, expenditure, advance, deposit or donation of monies, any intangible personal property or any kind of tangible personal or real property. Gift or benefit does not include either: (a) Food or beverage. (b) Expenses or sponsorships relating to a special event or function to which individuals listed in subsection N of this section are invited. 2. "Nonexempt charter school" means a charter school that is not exempted from procurement laws pursuant to section 15-183, subsection E, paragraph 6. 3. "School purchasing cooperative" means an entity that is engaged in cooperative purchasing as defined in section 41-2631. 4. "Total cost" means the cost of all materials and services, including the cost of labor performed by employees of the school district, for all construction as provided in subsection A of this section. 15-213.01. Procurement practices; guaranteed energy cost savings contracts; definitions A. Notwithstanding section 15-213, subsection A, a school district may contract for the procurement of a guaranteed energy cost savings contract with a qualified provider through a competitive sealed proposal process as provided by the procurement practices adopted by the state board of education. B. A school district may enter into a guaranteed energy cost savings contract with a qualified provider if it determines that the energy savings project pays for itself within the expected life, according to the manufacturer's equipment standards, of the energy cost savings measures implemented, the term of the financial agreement or twenty-five years, whichever is shortest, if the recommendations in the proposal are followed. The school district shall retain the cost savings achieved by a guaranteed energy cost savings contract, and these cost savings may be used to pay for the contract and project implementation. C. The school district shall use objective criteria in selecting the qualified provider, including the cost of the contract, the energy cost savings, the net projected energy savings, the quality of the technical approach, the quality of the project management plan, the financial solvency of the qualified provider and the experience of the qualified provider with projects of similar size and scope. The school district shall set forth each criterion with its respective numerical weighting in the request for proposal. D. In selecting a contractor to perform any construction work related to performing the guaranteed energy cost savings contract, the qualified provider may develop and use a prequalification process for contractors. These prequalifications may require the contractor to demonstrate that the contractor is adequately bonded to perform the work and that the contractor has not failed to perform on a prior job. E. A study shall be performed by the selected qualified provider in order to establish the exact scope of the guaranteed energy cost savings contract, the fixed cost savings guarantee amount and the methodology for determining actual savings. This report shall be reviewed and approved by the school district before the actual installation of any equipment. The qualified provider shall transmit a copy of the approved study to the division of school facilities within the department of administration and the department of administration. F. The guaranteed energy cost savings contract shall require that, in determining whether the projected energy savings calculations have been met, the energy savings shall be computed by comparing the energy baseline before installation or implementation of the energy cost savings measures with the energy consumed after installation or implementation of the energy cost savings measures. The qualified provider and the school district may agree to make modifications to the energy baseline only for any of the following: 1. Changes in utility rates. 2. Changes in the number of days in the utility billing cycle. 3. Changes in the square footage of the facility. 4. Changes in the operational schedule of the facility. 5. Changes in facility temperature. 6. Significant changes in the weather. 7. Significant changes in the amount of equipment or lighting used in the facility. 8. Significant changes in the nature or intensity of energy use, such as the change of classroom space to laboratory space. G. The information to develop the energy baseline shall be derived from historical energy costs or actual energy measurements or shall be calculated from energy measurements at the facility where energy cost savings measures are to be installed or implemented. The baseline shall be established before the installation or implementation of energy cost savings measures. H. At the qualified provider's expense, the proposal shall include an independent third-party validation of cost savings calculations associated with each proposed energy cost savings measure by a licensed, registered professional engineer, with credentials from the national association of energy engineers, who has demonstrated experience in energy analysis. The school district must approve the selection of the credentialed engineer. I. A school district, or two or more school districts, may enter into a financing agreement with a qualified provider or the financial institution, trustee or paying agent for the purchase and installation or implementation of energy cost savings measures. The guaranteed energy cost savings contract may provide for payments over a period of not more than the expected life, according to the manufacturer's equipment standards, of the energy cost savings measures implemented, the term of the financial agreement or twenty-five years, whichever is shortest. The contract shall provide that all payments, except obligations on ter