53F-6-402.  Utah Fits All Scholarship Program — Scholarship account application — Scholarship expenses — Program information.

(1)  There is established the Utah Fits All Scholarship Program under which, beginning March 1, 2024, a parent may apply to a program manager on behalf of the parent’s student to establish and maintain a scholarship account to cover the cost of a scholarship expense.

Terms Used In Utah Code 53F-6-402

  • Eligible student: means a student:
(a) who is eligible to participate in public school, in kindergarten, or grades 1 through 12;
(b) who is a resident of the state;
(c) who, during the school year for which the student is applying for a scholarship account:
(i) does not receive a scholarship under:
(A) the Carson Smith Scholarship Program established in Section 53F-4-302; or
(B) the Special Needs Opportunity Scholarship Program established in Section 53E-7-402; and
(ii) except for a student who is enrolled part-time in accordance with Section 53G-6-702, is not enrolled in an LEA upon receiving the scholarship;
(d) whose eligibility is not suspended or disqualified under Section 53F-6-401; and
(e) who completes, to maintain eligibility, the portfolio requirement described in Subsection 53F-6-402(3)(d). See Utah Code 53F-6-401
  • Federal poverty level: means the United States poverty level as defined by the most recently revised poverty income guidelines published by the United States Department of Health and Human Services in the Federal Register. See Utah Code 53F-6-401
  • Fraud: Intentional deception resulting in injury to another.
  • program: means the scholarship program established in Section 53F-6-402. See Utah Code 53F-6-401
  • Program manager: means an organization that:
    (a) is qualified as tax exempt under Section 501(c)(3), Internal Revenue Code;
    (b) is not affiliated with any international organization;
    (c) does not harvest data for the purpose of reproducing or distributing the data to other entities;
    (d) has no involvement in guiding or directing any curriculum or curriculum standards;
    (e) does not manage or otherwise administer a scholarship under:
    (i) the Carson Smith Scholarship Program established in Section 53F-4-302; or
    (ii) the Special Needs Opportunity Scholarship Program established in Section 53E-7-402; and
    (f) an agreement with the state board recognizes as a program manager, in accordance with this part. See Utah Code 53F-6-401
  • Qualifying provider: means one of the following entities that is not a public school and is autonomous and not an agent of the state, in accordance with Section 53F-6-406:
    (a) an eligible school that the program manager approves in accordance with Section 53F-6-408; or
    (b) an eligible service provider that the program manager approves in accordance with Section 53F-6-409. See Utah Code 53F-6-401
  • Scholarship account: means the account to which a program manager allocates funds for the payment of approved scholarship expenses in accordance with this part. See Utah Code 53F-6-401
  • Scholarship expense: means an expense described in Section 53F-6-402 that a parent or scholarship student incurs in the education of the scholarship student for a service or goods that a qualifying provider provides, including:
    (a) tuition and fees of a qualifying provider;
    (b) fees and instructional materials at a technical college;
    (c) tutoring services;
    (d) fees for after-school or summer education programs;
    (e) textbooks, curricula, or other instructional materials, including any supplemental materials or associated online instruction that a curriculum or a qualifying provider recommends;
    (f) educational software and applications;
    (g) supplies or other equipment related to a scholarship student's educational needs;
    (h) computer hardware or other technological devices that are intended primarily for a scholarship student's educational needs;
    (i) fees for the following examinations, or for a preparation course for the following examinations, that the program manager approves:
    (i) a national norm-referenced or standardized assessment described in Section 53F-6-410, an advanced placement examination, or another similar assessment;
    (ii) a state-recognized industry certification examination; and
    (iii) an examination related to college or university admission;
    (j) educational services for students with disabilities from a licensed or accredited practitioner or provider, including occupational, behavioral, physical, audiology, or speech-language therapies;
    (k) contracted services that the program manager approves and that an LEA provides, including individual classes, after-school tutoring services, transportation, or fees or costs associated with participation in extracurricular activities;
    (l) ride fees or fares for a fee-for-service transportation provider to transport the scholarship student to and from a qualifying provider, not to exceed $750 in a given school year;
    (m) expenses related to extracurricular activities, field trips, educational supplements, and other educational experiences; or
    (n) any other expense for a good or service that:
    (i) a parent or scholarship student incurs in the education of the scholarship student; and
    (ii) the program manager approves, in accordance with Subsection (4)(d). See Utah Code 53F-6-401
  • Scholarship funds: means :
    (a) funds that the Legislature appropriates for the program; and
    (b) interest that scholarship funds accrue. See Utah Code 53F-6-401
  • Scholarship student: means an eligible student, including a home-based scholarship student, for whom the program manager establishes and maintains a scholarship account in accordance with this part. See Utah Code 53F-6-401
  • State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
  • (2) 

    (a)  The program manager shall establish and maintain, in accordance with this part, scholarship accounts for eligible students.

    (b)  The program manager shall:

    (i)  determine that a student meets the requirements to be an eligible student; and

    (ii)  subject to Subsection (2)(c), each year the student is an eligible student, maintain a scholarship account for the scholarship student to pay for the cost of one or more scholarship expenses that the student or student’s parent incurs in the student’s education.

    (c)  Except as provided in Subsection (2)(d), each year, subject to this part and legislative appropriations, a scholarship student is eligible for no more than:

    (i)  for the 2024-2025 school year, $8,000; and

    (ii)  for each school year following the 2024-2025 school year, the maximum allowed amount under this Subsection (2)(c) in the previous year plus a percentage increase that is equal to the five-year rolling average inflationary factor described in Section 53F-2-405.

    (d)  If a scholarship student enrolls in an LEA part-time in accordance with Section 53G-6-702, the program manager shall prorate the amount of the award described in Subsection (2)(c) in proportion to the extent of the scholarship student’s partial enrollment in the LEA.

    (3) 

    (a)  A program manager shall establish a scholarship account on behalf of an eligible student who submits a timely application, unless the number of applications exceeds available scholarship funds for the school year.

    (b)  If the number of applications exceeds the available scholarship funds for a school year, the program manager shall select students on a random basis, except as provided in Subsection (6).

    (c)  An eligible student or a public education student shall submit an application for an initial scholarship or renewal for each school year that the student intends to receive scholarship funds.

    (d) 

    (i)  To maintain eligibility, a scholarship student or the scholarship student’s parent shall annually complete and deliver to the program manager a portfolio describing the scholarship student’s educational opportunities and achievements under the program for the given year.

    (ii)  The program manager may not disclose the content of a given scholarship student’s portfolio except to the scholarship student’s parent.

    (4) 

    (a)  An application for a scholarship account shall contain an acknowledgment by the student’s parent that the qualifying provider selected by the parent for the student’s enrollment or engagement is capable of providing education services for the student.

    (b)  A scholarship account application form shall contain the following statement:
         “I acknowledge that:

    (1)  A qualifying provider may not provide the same level of disability services that are provided in a public school;

    (2)  I will assume full financial responsibility for the education of my scholarship recipient if I agree to this scholarship account;

    (3)  Agreeing to establish this scholarship account has the same effect as a parental refusal to consent to services as described in 34 C.F.R. § 300.300, issued under the Individuals with Disabilities Education Act, 20 U.S.C. § 1400 et seq.; and

    (4)  My child may return to a public school at any time.”.

    (c)  Upon agreeing to establish a scholarship account, the parent assumes full financial responsibility for the education of the scholarship student, including the balance of any expense incurred at a qualifying provider or for goods that are not paid for by the scholarship student’s scholarship account.

    (d)  Agreeing to establish a scholarship account has the same effect as a parental refusal to consent to services as described in 34 C.F.R. § 300.300, issued under the Individuals with Disabilities Education Act, 20 U.S.C. § 1400 et seq.

    (e)  The creation of the program or establishment of a scholarship account on behalf of a student does not:

    (i)  imply that a public school did not provide a free and appropriate public education for a student; or

    (ii)  constitute a waiver or admission by the state.

    (5)  A program manager may not charge a scholarship account application fee.

    (6)  A program manager shall give an enrollment preference based on the following order of preference:

    (a)  to an eligible student who used a scholarship account in the previous school year;

    (b)  to an eligible student:

    (i)  who did not use a scholarship account in the previous school year; and

    (ii)  with a family income at or below 200% of the federal poverty level;

    (c)  to an eligible student who is a sibling of an eligible student who:

    (i)  uses a scholarship account at the time the sibling applies for a scholarship account; or

    (ii)  used a scholarship account in the school year immediately preceding the school year for which the sibling is applying for a scholarship account; and

    (d)  to an eligible student:

    (i)  who did not use a scholarship account in the previous school year; and

    (ii)  with a family income between 200% and 555% of the federal poverty level.

    (7) 

    (a)  Subject to Subsections (7)(b) through (e), a parent may use a scholarship account to pay for a scholarship expense that a parent or scholarship student incurs in the education of the scholarship student.

    (b)  A scholarship student or the scholarship student’s parent may not use a scholarship account for an expense that the student or parent does not incur in the education of the scholarship student, including:

    (i)  a rehabilitation program that is not primarily designed for an educational purpose; or

    (ii)  a travel expense other than a transportation expense described in Section 53F-6-401.

    (c)  The program manager may not:

    (i)  approve a scholarship expense for a service that a qualifying provider provides unless the program manager determines that the scholarship student or the scholarship student’s parent incurred the expense in the education of the scholarship student; or

    (ii)  reimburse a scholarship expense for a service or good that a provider that is not a qualifying provider provides unless:

    (A)  the parent or scholarship student submits a receipt that shows the cost and type of service or good and the name of provider; and

    (B)  the program manager determines that the parent or scholarship student incurred the expense in the education of the scholarship student.

    (d)  The parent of a scholarship student may not receive scholarship funds as payment for the parent’s time spent educating the parent’s child.

    (e)  Except for cases in which a scholarship student or the scholarship student’s parent is convicted of fraud in relation to scholarship funds, if a qualifying provider, scholarship student, or scholarship student’s parent repays an expenditure from a scholarship account for an expense that is not approved under this Subsection (7), the program manager shall credit the repaid amount back to the scholarship account balance within 30 days after the day on which the program manager receives the repayment.

    (8)  Notwithstanding any other provision of law, funds that the program manager disburses under this part to a scholarship account on behalf of a scholarship student do not constitute state taxable income to the parent of the scholarship student.

    (9)  The program manager shall prepare and disseminate information on the program to a parent applying for a scholarship account on behalf of a student, including the information that the program manager provides in accordance with Section 53F-6-405.

    (10)  On or before September 1, 2023, and as frequently as necessary to maintain the information, the state board shall provide information on the state board’s website, including:

    (a)  scholarship account information;

    (b)  information on the program manager, including the program manager’s contact information; and

    (c)  an overview of the program.

    Enacted by Chapter 1, 2023 General Session