20-11-118. Charter contract revocation and school closure or charter contract nonrenewal. (1) A charter contract may be subject to nonrenewal or revocation if the authorizer determines that the community choice school:

Terms Used In Montana Code 20-11-118

  • Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
  • Authorizer: means the commission or a local school board approved as an authorizer by the commission. See Montana Code 20-11-103
  • Charter contract: means a fixed-term, renewable contract between a community choice school and an authorizer that outlines the roles, powers, responsibilities, and performance expectations for each party to the contract. See Montana Code 20-11-103
  • choice school: means a public school that:

    (a)has autonomy over decisions, including but not limited to matters concerning finance, board governance, personnel, scheduling, curriculum, and instruction;

    (b)is governed by a governing board;

    (c)is established and operated under the terms of a charter contract between the school's governing board and its authorizer;

    (d)is a school in which parents choose to enroll their children;

    (e)is a school that admits students based on capacity and then on the basis of a lottery if more students apply for admission than can be accommodated;

    (f)provides a program of education that may include any or all grades from kindergarten through grade 12 and vocational education programs;

    (g)operates in pursuit of a specific set of educational objectives as defined in its charter contract;

    (h)operates under the oversight of its authorizer in accordance with its charter contract; and

    (i)establishes graduation requirements and has authority to award degrees and issue diplomas. See Montana Code 20-11-103

  • Commission: means the community choice school commission provided for in 20-11-106. See Montana Code 20-11-103
  • Contract: A legal written agreement that becomes binding when signed.
  • Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
  • fund: means a separate detailed account of receipts and expenditures for a specific purpose as authorized by law or by the superintendent of public instruction under the provisions of subsection (2). See Montana Code 20-9-201
  • Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
  • Oversight: Committee review of the activities of a Federal agency or program.
  • Property: means real and personal property. See Montana Code 1-1-205
  • school: means an institution for the teaching of children that is established and maintained under the laws of the state of Montana at public expense. See Montana Code 20-6-501
  • State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See Montana Code 1-1-201
  • Student: means a child who is eligible for attendance in a public school in the state. See Montana Code 20-11-103
  • Testimony: Evidence presented orally by witnesses during trials or before grand juries.
  • Traditional public school: means a traditional public school that is under the direct management, governance, and control of a local school board or the state. See Montana Code 20-11-103
  • Writing: includes printing. See Montana Code 1-1-203

(a)committed a material and substantial violation of any of the terms, conditions, standards, or procedures required under this part or the charter contract and from which the choice school was not exempted;

(b)failed to meet or make sufficient progress toward the performance expectations set forth in the charter contract;

(c)failed to meet public safety standards; or

(d)failed to meet generally accepted standards of fiscal management.

(2)An authorizer shall develop revocation and nonrenewal processes that:

(a)provide the charter contract holders with timely notification of the prospect of revocation or nonrenewal and of the reasons for the possible closure;

(b)allow the charter contract holders a reasonable amount of time in which to prepare a response;

(c)provide the charter contract holders an opportunity to submit documents and testimony at a hearing to challenge the rationale for the closure recommendation and in support of the continuation of the school;

(d)allow the charter contract holders to be represented by counsel and call witnesses on their behalf;

(e)permit the recording of the proceedings; and

(f)provide for a final determination conveyed in writing to the charter contract holders.

(3)If an authorizer revokes or denies renewal of a charter contract, the authorizer shall clearly state, by resolution of its governing body, the reasons for the revocation or nonrenewal.

(4)Within 10 days of taking action to renew, not renew, or revoke a charter contract, the authorizer shall report to the commission the action taken and at the same time shall provide a copy of the report to the choice school. The report must include a copy of the resolution of the authorizer’s governing body setting forth the action taken and reasons for the decision and providing assurances of compliance with all the requirements set forth in this part. The authorizer’s decision is appealable to the commission in writing within 30 days of the commission’s receipt of the authorizer’s report.

(5)(a) Prior to a choice school closure, an authorizer shall develop a choice school closure protocol to ensure timely notification to parents, orderly transition of students and student records to new schools, and proper disposition of school funds, property, and assets in accordance with the requirements of this part. The protocol must specify responsible parties, transition and closure timelines, and a delineation of the respective duties of the choice school and the authorizer.

(b)The authorizer shall oversee the closure and work with the closing choice school to ensure a smooth and orderly closure and transition for students and parents.

(c)In the event of a choice school closure for any reason, the nonrestricted distributable assets of the choice school must be distributed first to satisfy outstanding payroll obligations for employees of the choice school, then to creditors of the choice school, then to resident school districts of students previously attending the closed choice school on a prorated per-pupil basis, and then to the state general fund. If the assets of the choice school are insufficient to pay all obligations, the prioritization of the distribution of assets may be determined by a court of law.

(d)If a closing choice school was converted from an existing traditional public school, the closing choice school is not responsible for any financial obligation or debt of the previously existing traditional public school unless the choice school assumed the debt or obligation at the time of conversion.

(6)Transfer of a charter contract, and of oversight of that choice school from one authorizer to another before the expiration of the charter contract term, may occur only if the authorizer violates the provisions of 20-11-108 or by special petition to the commission by a choice school or its authorizer. The commission shall consider a petition for transfer on a case-by-case basis and may grant transfer requests in response to special circumstances and to evidence that the transfer would serve the best interests of the community choice school’s students.