0001| SENATE BILL 60 | 0002| 43RD LEGISLATURE - STATE OF NEW MEXICO - SECOND SESSION, 1998 | 0003| INTRODUCED BY | 0004| MARK L. BOITANO | 0005| | 0006| | 0007| | 0008| | 0009| | 0010| AN ACT | 0011| RELATING TO EDUCATION; CHANGING THE ESTABLISHMENT OF CHARTER | 0012| SCHOOLS; DEFINING THE DUTIES AND POWERS OF CHARTER SCHOOLS; | 0013| PROVIDING FOR EDUCATIONAL RETIREMENT COVERAGE FOR EMPLOYEES OF | 0014| CHARTER SCHOOLS; ESTABLISHING THE CHARTER SCHOOL STIMULUS | 0015| FUND; AMENDING, REPEALING AND ENACTING SECTIONS OF THE NMSA | 0016| 1978; MAKING AN APPROPRIATION. | 0017| | 0018| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO: | 0019| Section 1. Section 22-8A-2 NMSA 1978 (being Laws 1993, | 0020| Chapter 227, Section 2) is amended to read: | 0021| "22-8A-2. DEFINITIONS.--As used in the Charter Schools | 0022| Act: | 0023| A. "charter school" means an individual school | 0024| within a school district, authorized by the state board or by | 0025| a local school board to develop and implement an alternative | - 1 - 0001| educational curriculum and authorized by law to develop and | 0002| utilize a school-based budget; ~~[and]~~ | 0003| B. "governing board" means the governing | 0004| structure stated in the charter of a charter school with | 0005| administrative and financial authority; | 0006| C. "person" means an individual or legal entity; | 0007| and | 0008| ~~[B.]~~ D. "state board" means the state board of | 0009| education." | 0010| Section 2. Section 22-8A-3 NMSA 1978 (being Laws 1993, | 0011| Chapter 227, Section 3) is amended to read: | 0012| "22-8A-3. PURPOSE.--The purpose of the Charter Schools | 0013| Act is to ~~[enable individual schools to restructure their~~ | 0014| ~~educational curriculum to encourage the use of different and~~ | 0015| ~~innovative teaching methods and to enable individual schools~~ | 0016| ~~to be responsible for site-based budgeting and expenditures]~~ | 0017| increase learning opportunities for students and to improve | 0018| student learning by encouraging the use of different and | 0019| innovative teaching methods, provide additional academic | 0020| choices for parents and students, require measurement of | 0021| learning outcomes and establish new forms of accountability | 0022| and professional opportunities for both schools and teachers | 0023| through the use of site-based learning programs and site-based | 0024| budgeting and expenditures." | 0025| Section 3. A new section of the Charter Schools Act is | - 2 - 0001| enacted to read: | 0002| "[NEW MATERIAL] PROPOSAL--AUTHORIZATION.-- | 0003| A. A proposal for a new charter school may be made | 0004| by a person, teacher or parent. | 0005| B. A charter school may organize as a nonprofit | 0006| corporation pursuant to the Nonprofit Corporation Act. | 0007| C. The state board and the local school board have | 0008| the authority to approve charter schools. | 0009| D. A charter school applicant may apply to the | 0010| state board or to a local school board for a charter. | 0011| Applications must be filed by October 1 to be eligible for | 0012| consideration for the following school year. | 0013| E. When the state board or a local school board | 0014| receives an application for a charter school, it shall review | 0015| the application for a charter school and must, by majority | 0016| vote, approve or deny an application and grant the charter no | 0017| later than sixty days after receipt of the application. | 0018| F. An application, made to a local school board, | 0019| proposing to convert an existing public school into a charter | 0020| school shall demonstrate the support of at least sixty-five | 0021| percent of the teachers employed at the school and the support | 0022| of at least sixty-five percent of the parents whose children | 0023| are enrolled at the school. | 0024| G. Upon approval of a charter application, the | 0025| initial start-up must be consistent with the beginning of the | - 3 - 0001| school year. | 0002| H. The state board may authorize the existence of | 0003| no more than twenty-five charter schools per year. A local | 0004| school board may authorize the existence of no more than ten | 0005| charter schools per year in each school district that has | 0006| fifty thousand or more students and no more than five charter | 0007| schools per year in each school district that has fewer than | 0008| fifty thousand students. A local school board shall have the | 0009| right to request an increase in the number of charter schools | 0010| located within its district from the state board. The state | 0011| board, by majority vote, may approve more than twenty-five | 0012| charter schools per year. | 0013| I. A charter school shall not exist for a term | 0014| that exceeds ten years." | 0015| Section 4. A new section of the Charter Schools Act is | 0016| enacted to read: | 0017| "[NEW MATERIAL] APPEAL OF LOCAL SCHOOL BOARD | 0018| DECISIONS.-- | 0019| A. An applicant or any other person may appeal any | 0020| denial, conditional approval, nonrenewal or revocation of an | 0021| application by the local school board to the state board no | 0022| later than thirty days after the issuance of the local school | 0023| board's decision. The appeal and review process by the state | 0024| board shall be held within sixty days of receipt of the notice | 0025| of appeal and, after reasonable public notice, the state | - 4 - 0001| board, at a public hearing that may be held in the school | 0002| district in which the proposed charter school has applied for | 0003| a charter, shall review the decision of the local school board | 0004| and make its findings. | 0005| B. If the state board finds that the local school | 0006| board's decision was contrary to the best interests of the | 0007| students, school district or community, the state board shall | 0008| approve the charter or remand the decision to the local school | 0009| board with written instructions for reconsideration that shall | 0010| include specific recommendations. | 0011| C. Within thirty days following the remand of a | 0012| decision to the local school board and after reasonable public | 0013| notice, the local school board, at a public hearing, shall | 0014| reconsider its decision using the specific recommendations | 0015| provided by the state board and decide whether to approve the | 0016| charter. | 0017| D. If the local school board again denies, refuses | 0018| to renew or revokes a charter or unilaterally imposes | 0019| conditions unacceptable to the charter school or the charter | 0020| applicant, a second notice of appeal may be filed with the | 0021| state board within thirty days following the issuance of the | 0022| local school board's final decision. | 0023| E. Within thirty days following receipt of the | 0024| second notice of appeal and after reasonable public notice, | 0025| the state board, at a public hearing, shall determine whether | - 5 - 0001| the final decision of the local school board was contrary to | 0002| the best interests of the students, school district or | 0003| community. | 0004| F. If the state board finds that the local school | 0005| board's decision is contrary to the best interests of the | 0006| students, school district or community, the state board shall | 0007| approve the charter. The decision of the state board shall be | 0008| final and not subject to further appeal." | 0009| Section 5. A new section of the Charter Schools Act is | 0010| enacted to read: | 0011| "[NEW MATERIAL] APPEAL OF STATE BOARD DECISIONS.-- | 0012| A. If the state board denies, conditionally | 0013| approves, does not renew or revokes an application that was | 0014| made directly to the state board, the state board shall | 0015| provide a written explanation of the denial, conditional | 0016| approval, nonrenewal or revocation and recommendations for | 0017| revision of the application. | 0018| B. The applicant may resubmit or request | 0019| reconsideration of its application or a revised application to | 0020| the state board within sixty days after receipt of the denial, | 0021| conditional approval, nonrenewal or revocation. | 0022| C. No later than thirty days after receipt of the | 0023| resubmission or request for reconsideration, the state board, | 0024| after reasonable public notice, shall hold a public hearing | 0025| and shall approve or disapprove the charter. | - 6 - 0001| D. If an application has not previously been | 0002| submitted and considered by a local school board and the state | 0003| board denies, conditionally approves, does not renew or | 0004| revokes it, the applicant may submit the application to a | 0005| local school board for approval." | 0006| Section 6. A new section of the Charter Schools Act is | 0007| enacted to read: | 0008| "[NEW MATERIAL] ELIGIBLE STUDENTS.-- | 0009| A. A charter school shall enroll all eligible | 0010| students who are residents of New Mexico and who submit a | 0011| timely application, unless the number of applications exceeds | 0012| the capacity of a program, class, grade level or building. In | 0013| that case, all applicants shall be admitted in the order in | 0014| which their completed applications were received, unless the | 0015| school district and the charter school agree otherwise and | 0016| state it in the charter. | 0017| B. A charter school may limit the enrollment | 0018| process only to target the following student populations: | 0019| (1) students within specific age groups or | 0020| grade levels; or | 0021| (2) students considered at risk of academic | 0022| failure, including those with scores in the lower quartiles on | 0023| the reading and mathematics sections of state tests or a grade | 0024| point average below 2.0 for grades nine through twelve." | 0025| Section 7. A new section of the Charter Schools Act is | - 7 - 0001| enacted to read: | 0002| "[NEW MATERIAL] PUBLIC STATUS--ACCREDITATION--RULES.-- | 0003| A. A charter school, not including a charter | 0004| school that is organized as a nonprofit corporation pursuant | 0005| to the Nonprofit Corporation Act, shall be a public school and | 0006| is part of the state's system of public education. | 0007| B. A charter school shall be nonsectarian in its | 0008| programs, admissions policies, employment practices and | 0009| operations and shall have no religious affiliation. | 0010| C. A charter school that is approved by the local | 0011| school board shall be accountable to the local school board | 0012| for meeting the performance goals agreed upon in its charter. | 0013| A charter school that is approved by the state board shall be | 0014| accountable to the state board for meeting the performance | 0015| goals agreed upon in its charter. | 0016| D. A charter school shall not charge tuition or | 0017| fees, except those fees normally charged by other public | 0018| schools. A charter school may accept gifts, donations or | 0019| grants of any kind and spend the funds under conditions | 0020| prescribed by the donor, unless the gift, donation or grant is | 0021| subject to any condition contrary to law or to the terms of | 0022| the contract between the charter school and the local school | 0023| board | 0024| E. A charter school shall comply with rules | 0025| promulgated by the state department of public education and by | - 8 - 0001| the children, youth and families department that deal with | 0002| health, safety and civil rights. A charter school shall not | 0003| be required to comply with other rules that apply to other | 0004| public schools, local school boards or school districts. | 0005| F. A charter school shall have an annual financial | 0006| audit by an independent accounting firm. | 0007| G. A charter school shall ensure that | 0008| transportation is not a barrier to equal access for all | 0009| students residing within the attendance area as defined in its | 0010| charter. | 0011| H. Transportation costs of students in grades | 0012| kindergarten through twelve attending a charter school, not | 0013| including a charter school that is organized as a nonprofit | 0014| corporation pursuant to the Nonprofit Corporation Act, and | 0015| residing in the defined attendance area for that school and of | 0016| three- and four-year-old children who meet the state board | 0017| approved criteria and definition of developmentally disabled | 0018| shall be included in any and all reports, submissions and | 0019| calculations by the charter school to the state transportation | 0020| director and the state superintendent for the purpose of | 0021| developing an appropriate transportation system for the | 0022| charter school and receiving payments from the transportation | 0023| distribution of the public school fund as provided in Sections | 0024| 22-8-26 through 22-8-30 NMSA 1978 and Sections 22-16-1 through | 0025| 22-16-11 NMSA 1978. | - 9 - 0001| I. A charter school, including a charter school | 0002| that is organized as a nonprofit corporation pursuant to the | 0003| Nonprofit Corporation Act, may contract with the school | 0004| district to participate in the school district transportation | 0005| system. | 0006| J. If the local school board is providing programs | 0007| or services to students funded by federal funds, an eligible | 0008| student enrolled in a charter school in that school district | 0009| shall be provided federal funds for the same level of service | 0010| provided to a student in other public schools operated by the | 0011| local school board. | 0012| K. Any administrative fee charged by the school | 0013| district relating to a charter school shall be limited to no | 0014| more than the actual cost of administering the contract | 0015| between the charter school and the school district or five | 0016| percent of the state equalization guarantee distribution for | 0017| students attending the charter school, whichever is less. | 0018| L. One hundred percent of all federal funds, other | 0019| state funds, gifts, donations or other funds for which the | 0020| charter school or students attending the charter school are | 0021| eligible shall be received and administered by the charter | 0022| school, not including a charter school organized as a | 0023| nonprofit corporation pursuant to the Nonprofit Corporation | 0024| Act. A charter school organized as a nonprofit corporation | 0025| pursuant to the Nonprofit Corporation Act shall contract with | - 10 - 0001| a school district to administer these funds. | 0002| M. A charter school may contract with a school | 0003| district to provide other administrative, educational or | 0004| support services, including personnel and benefits management, | 0005| financial management and maintenance. | 0006| N. A charter school shall comply with Section | 0007| 22-1-6 NMSA 1978. | 0008| O. A charter school shall be accredited by the | 0009| state board, the independent schools association of the | 0010| southwest, New Mexico north central association, national | 0011| association for the education of young children, Navajo north | 0012| central association or any other accrediting body approved by | 0013| the state board. | 0014| P. A school that has been in existence fewer than | 0015| two academic years must apply for accreditation upon approval | 0016| of its charter and acceptance of students with an anticipated | 0017| date of accreditation of not later than the end of the second | 0018| academic year during which the school has accepted students. | 0019| Q. A charter school may request a waiver of the | 0020| state department of public education accreditation standards | 0021| from the state board. The state board must have good cause to | 0022| deny the request. | 0023| R. Charter schools shall not be used as a method | 0024| of providing education or generating revenue for students who | 0025| are being home schooled, except that parents who home school | - 11 - 0001| their children shall not be prohibited from participation in | 0002| the formation of or enrolling their children in charter | 0003| schools in accordance with the Charter Schools Act. | 0004| S. Academic credits earned by a student at a | 0005| charter school shall be transferable to a public school. | 0006| T. A charter school is a legal entity and may | 0007| contract, sue or be sued." | 0008| Section 8. A new section of the Charter Schools Act is | 0009| enacted to read: | 0010| "[NEW MATERIAL] CREATION OF THE CHARTER.-- | 0011| A. The charter shall contain a list of the major | 0012| issues that will face the proposed charter school. | 0013| B. The charter shall be signed by the governing | 0014| body of the charter school and the chartering authority, | 0015| following a public hearing to ensure community input. | 0016| C. The charter shall address the following | 0017| criteria for approval: | 0018| (1) the charter school's mission; | 0019| (2) a description of the student population | 0020| that will be served, including the ages and grades of the | 0021| students; | 0022| (3) a comprehensive plan for implementing an | 0023| alternative educational curriculum at the school, including a | 0024| description of the charter school's educational program; | 0025| mechanisms to ensure that effective school characteristics are | - 12 - 0001| present, promoted and improved upon; student performance | 0002| standards of achievement and the method of measurement that | 0003| will be used; and student assessment tools to identify | 0004| educational strengths and needs; | 0005| (4) evidence that an adequate number of | 0006| parents, teachers or pupils support the formation of a charter | 0007| school; and | 0008| (5) a detailed description of the proposed | 0009| governance structure of the charter school, including: | 0010| (a) whether the charter school shall be | 0011| organized as a nonprofit corporation pursuant to the Nonprofit | 0012| Corporation Act; | 0013| (b) the structure of the governing body | 0014| of the charter school, which must include the direct | 0015| involvement of the parents of students enrolled in the school, | 0016| educational professionals employed in the school and the | 0017| community at large; | 0018| (c) methods for resolving disputes | 0019| between the governing body and the school district; | 0020| (d) admissions procedures and dismissal | 0021| procedures; | 0022| (e) documentation that a charter school | 0023| will provide group health insurance and other risk-related | 0024| coverage pursuant to the Public School Insurance Authority Act | 0025| or that a charter school organized as a nonprofit corporation | - 13 - 0001| pursuant to the Nonprofit Corporation Act shall provide group | 0002| health insurance and other risk-related coverage; | 0003| (f) a detailed description of the | 0004| financial and administrative management of the school; | 0005| (g) the term of the charter, including | 0006| provisions for cancellation of the charter if insufficient | 0007| progress has been made in attaining the student achievement | 0008| objectives and if it is not likely that such objectives can be | 0009| met before expiration of the charter or if other provisions of | 0010| this act have not been met; | 0011| (h) a detailed description of | 0012| facilities to be used and their location; | 0013| (i) a detailed description of the | 0014| qualifications to be required of the teachers; | 0015| (j) a timetable for implementing the | 0016| charter; | 0017| (k) a detailed description of the | 0018| alternative arrangements for students and teachers enrolled or | 0019| employed in an existing public school that is converting to a | 0020| charter school if they do not choose to attend or teach in the | 0021| charter school; and | 0022| (l) whether the charter school, not | 0023| including charter schools organized as nonprofit corporations | 0024| pursuant to the Nonprofit Corporations Act, chooses to | 0025| participate pursuant to the Educational Retirement Act. | - 14 - 0001| D. A charter may be renewed in increments of five, | 0002| seven or ten years by mutual agreement of the parties. | 0003| E. A charter may be modified or amended with the | 0004| approval of both parties to the agreement." | 0005| Section 9. A new section of the Charter Schools Act is | 0006| enacted to read: | 0007| "[NEW MATERIAL] FINANCING.-- | 0008| A. The amount of state support that follows the | 0009| eligible student to a charter school that is not organized as | 0010| a nonprofit corporation pursuant to the Nonprofit Corporation | 0011| Act shall be computed by applying the equalization formula | 0012| components pursuant to the Public School Finance Act, | 0013| including the size adjustment for the school district and | 0014| school in which the student enrolls. | 0015| B. Money shall be distributed through the state | 0016| department of public education in the school districts to the | 0017| charter schools." | 0018| Section 10. A new section of the Charter Schools Act is | 0019| enacted to read: | 0020| "[NEW MATERIAL] HIRING PRACTICES--EMPLOYEES.-- | 0021| A. A charter school shall hire its own employees. | 0022| B. A teacher who is employed by a charter school | 0023| and who was previously an employee at a school district shall | 0024| be considered to be on a one-year leave of absence from the | 0025| school district. The leave of absence shall commence on the | - 15 - 0001| initial date of employment for the charter school. Upon | 0002| request of the teacher, the one-year leave of absence shall be | 0003| renewed for up to two additional one-year periods with the | 0004| mutual agreement of the teacher and the school district. The | 0005| agreement to grant a leave of absence shall be granted absent | 0006| good cause. | 0007| C. During the period of time that a teacher is on | 0008| a leave of absence from the school district and is actively | 0009| employed by the charter school, the teacher shall not lose his | 0010| certification or salary status. | 0011| D. During the period of time that a teacher is on | 0012| a leave of absence from the school district and is actively | 0013| employed by a charter school that is not organized as a | 0014| nonprofit corporation pursuant to the Nonprofit Corporation | 0015| Act, the teacher shall not lose retirement or other benefits | 0016| previously granted to the teacher. A teacher who is on a | 0017| leave of absence from the school district and is actively | 0018| employed by a charter school that is organized as a nonprofit | 0019| corporation pursuant to the Nonprofit Corporation Act shall | 0020| lose retirement benefits for that period of time. | 0021| E. A leave of absence shall not be considered a | 0022| break in service with the school district with which the | 0023| teacher was previously employed. | 0024| F. A teacher who is on a leave of absence and | 0025| actively teaching at a charter school and who submits an | - 16 - 0001| employment application to the school district where the | 0002| teacher was employed immediately prior to employment in the | 0003| charter school shall be given employment preference by the | 0004| school district if: | 0005| (1) the teacher's employment application is | 0006| submitted to the school district within three years after | 0007| ceasing employment with the school district; and | 0008| (2) a suitable position is available in the | 0009| school district. | 0010| G. An employee of a charter school who has been | 0011| employed longer than three years by a charter school who | 0012| receives notice of termination or intent not to reemploy may | 0013| appeal the decision within five working days of service of | 0014| written notice of termination or intent not to reemploy. An | 0015| employee of a charter school may make a written request for an | 0016| appeal to the governing board of the charter school. | 0017| H. The written request shall specify the grounds | 0018| on which it is contended that the decision to terminate or not | 0019| reemploy is without just cause and shall include a statement | 0020| of the facts that the employee believes support his | 0021| contention. | 0022| I. The governing board of the charter school shall | 0023| meet to hear the employee's statement in no less than five and | 0024| no more than fifteen working days after the governing board | 0025| receives the statement. | - 17 - 0001| J. The governing board shall notify the employee | 0002| of its decision in writing within five working days of the | 0003| conclusion of the meeting. | 0004| K. An employee who is still aggrieved by a | 0005| decision of the governing board of the charter school may give | 0006| written notice of his intent to appeal the decision to an | 0007| independent arbitration board within five working days of | 0008| receipt of the decision of the governing board. | 0009| L. Within fifteen working days of receipt of the | 0010| notice of appeal to an independent arbitration board, a board | 0011| shall be formed made up of one person chosen by the employee, | 0012| one person chosen by the governing board of the charter school | 0013| and a third person chosen by the employee and the governing | 0014| board. | 0015| M. Not more than thirty working days from filing | 0016| the written notice of intent to appeal, the employee shall | 0017| submit a written statement of the facts and specify the | 0018| grounds on which it is contended that the decision of the | 0019| governing board was in error. | 0020| N. Not more than thirty working days from receipt | 0021| of the written notice of intent to appeal the decision of the | 0022| governing board, the governing board shall submit a written | 0023| statement of the facts and the basis for its decision to the | 0024| independent arbitration board. | 0025| O. The independent arbitration board shall meet | - 18 - 0001| with the employee and the governing board not more than | 0002| fifteen days after having received the written statement of | 0003| both parties. | 0004| P. The independent arbitration board shall render | 0005| its decision in writing not more than five working days from | 0006| the meeting with the employee and the governing board. The | 0007| decision of the independent arbitration board shall be final. | 0008| Q. Employees of a charter school shall have the | 0009| right to organize and bargain collectively with the governing | 0010| board of the charter school." | 0011| Section 11. A new section of the Charter Schools Act is | 0012| enacted to read: | 0013| "[NEW MATERIAL] CHARTER SCHOOL STIMULUS FUND.-- | 0014| A. The "charter schools stimulus fund" is created | 0015| in the state treasury to provide financial support to charter | 0016| school applicants and charter schools that are not existing | 0017| public schools, including charter schools organized as | 0018| nonprofit corporations pursuant to the Nonprofit Corporation | 0019| Act that contract with the state department of public | 0020| education or a local school board to provide services as a | 0021| charter school, for start-up costs and costs associated with | 0022| renovating or remodeling existing buildings and structures. | 0023| The fund shall consist of money appropriated by the | 0024| legislature and grants, gifts, devises and donations from any | 0025| public or private source. Money in the fund shall not revert | - 19 - 0001| at the end of a fiscal year. The state department of public | 0002| education shall administer the fund, and money in the fund is | 0003| appropriated to the department. | 0004| B. The state board shall adopt rules to implement | 0005| the provisions of this section. Money in the fund shall be | 0006| distributed to qualifying charter school applicants and | 0007| charter schools as follows: | 0008| (1) a qualifying charter school may be | 0009| awarded an initial grant of up to one hundred thousand dollars | 0010| ($100,000) during or before the first year of the charter | 0011| school's operation. If the charter school or charter school | 0012| applicant receives an initial grant and fails to begin | 0013| operating a charter school within the next eighteen months, | 0014| the charter school or charter school applicant shall | 0015| immediately reimburse the state department of public education | 0016| for the amount of the grant plus interest calculated at a rate | 0017| of ten percent per year; and | 0018| (2) charter schools or applicants for charter | 0019| schools that receive an initial grant may apply for an | 0020| additional grant of up to fifty thousand dollars ($50,000). | 0021| If a charter school or charter school applicant receives an | 0022| additional grant and fails to begin operating a charter school | 0023| within the next eighteen months, the applicant shall | 0024| immediately reimburse the state department of public education | 0025| for the amount of the grant plus interest calculated at a rate | - 20 - 0001| of ten percent per year." | 0002| Section 12. A new section of the Charter Schools Act is | 0003| enacted to read: | 0004| "[NEW MATERIAL] AVAILABLE DISTRICT SPACE.--Charter | 0005| schools may request the use of vacant or available school | 0006| district facilities. Use of the facilities must be permitted | 0007| by the school district at no rental cost to the charter school | 0008| that is not organized as a nonprofit corporation pursuant to | 0009| the Nonprofit Corporation Act, subject to any reasonable | 0010| consideration for the health, safety or comfort of the | 0011| students. The school district shall rent facilities to a | 0012| charter school that is organized as a nonprofit corporation | 0013| pursuant to the Nonprofit Corporation Act for a reasonable | 0014| cost." | 0015| Section 13. A new section of the Charter Schools Act is | 0016| enacted to read: | 0017| "[NEW MATERIAL] INFORMATION.--The state department of | 0018| public education shall embark on a public awareness campaign | 0019| through the school districts and the media to inform the | 0020| public about how to form and operate a charter school and how | 0021| to enroll in charter schools once they are created." | 0022| Section 14. A new section of the Charter Schools Act is | 0023| enacted to read: | 0024| "[NEW MATERIAL] EXEMPTION.--Charter schools established | 0025| prior to January 1, 1998 shall continue to be governed by the | - 21 - 0001| provisions of their charters and the law in effect at the time | 0002| their charters were established unless otherwise agreed by the | 0003| charter school and a chartering authority. Charters in | 0004| existence prior to January 1, 1998 may be extended without | 0005| modification as provided in the original charter and the law | 0006| in effect at the time the charter was established." | 0007| Section 15. Section 13-1-99 NMSA 1978 (being Laws 1984, | 0008| Chapter 65, Section 72, as amended) is amended to read: | 0009| "13-1-99. EXCLUDED FROM CENTRAL PURCHASING THROUGH THE | 0010| STATE PURCHASING AGENT.--Excluded from the requirement of | 0011| procurement through the state purchasing agent but not from | 0012| the requirements of the Procurement Code are the following: | 0013| A. procurement of professional services; | 0014| B. small purchases having a value not exceeding | 0015| two hundred fifty dollars ($250); | 0016| C. emergency procurement; | 0017| D. procurement of highway construction or | 0018| reconstruction by the state highway and transportation | 0019| department; | 0020| E. procurement by the judicial branch of state | 0021| government; | 0022| F. procurement by the legislative branch of state | 0023| government; | 0024| G. procurement by the boards of regents of state | 0025| educational institutions named in Article 12, Section 11 of | - 22 - 0001| the constitution of New Mexico; | 0002| H. procurement of information processing resources | 0003| procured through the ~~[commission]~~ office on information | 0004| and communication management; | 0005| I. procurement by the state fair commission of | 0006| tangible personal property, services and construction under | 0007| five thousand dollars ($5,000); | 0008| J. purchases from the instructional material fund; | 0009| K. procurement by all local public bodies; | 0010| L. procurement by regional education cooperatives; | 0011| ~~[and]~~ | 0012| M. procurement by each state health care | 0013| institution that provides direct patient care and that is, or | 0014| a part of which is, medicaid certified and participating in | 0015| the New Mexico medicaid program; and | 0016| N. procurement by charter schools that are not | 0017| organized as nonprofit corporations pursuant to the Nonprofit | 0018| Corporation Act." | 0019| Section 16. Section 22-2-6.3 NMSA 1978 (being Laws 1986, | 0020| Chapter 94, Section 3, as amended) is amended to read: | 0021| "22-2-6.3. DEFINITIONS.--As used in the Public School | 0022| Insurance Authority Act: | 0023| A. "authority" means the public school insurance | 0024| authority; | 0025| B. "board" means the board of directors of the | - 23 - 0001| public school insurance authority; | 0002| C. "director" means the director of the public | 0003| school insurance authority; | 0004| D. "educational entities" means state educational | 0005| institutions as enumerated in Article 12, Section 11 of the | 0006| constitution of New Mexico and other state diploma, degree- | 0007| granting and certificate-granting post-secondary educational | 0008| institutions and charter schools that are not organized as | 0009| nonprofit corporations pursuant to the Nonprofit Corporation | 0010| Act; | 0011| E. "fund" means the public school insurance fund; | 0012| F. "group health insurance" means coverage | 0013| ~~[which]~~ that includes but is not limited to life | 0014| insurance, accidental death and dismemberment, medical care | 0015| and treatment, dental care, eye care and other coverages as | 0016| determined by the authority; | 0017| G. "risk-related coverage" means coverage | 0018| ~~[which]~~ that includes but is not limited to property and | 0019| casualty, general liability, auto and fleet, ~~[workmen's]~~ | 0020| workers' compensation and other casualty insurance; and | 0021| H. "school district" means a school district as | 0022| defined in Subsection ~~[J]~~ K of Section 22-1-2 NMSA 1978, | 0023| excluding any school district with a student enrollment in | 0024| excess of sixty thousand students." | 0025| Section 17. Section 22-11-2 NMSA 1978 (being Laws 1967, | - 24 - 0001| Chapter 16, Section 126, as amended) is amended to read: | 0002| "22-11-2. DEFINITIONS.--As used in the Educational | 0003| Retirement Act: | 0004| A. "member" means any employee, except for a | 0005| participant coming within the provisions of the Educational | 0006| Retirement Act; | 0007| B. "regular member" means: | 0008| (1) a person regularly employed as a | 0009| teaching, nursing or administrative employee of a state | 0010| educational institution, except for: | 0011| (a) a participant; or | 0012| (b) all employees of a general hospital | 0013| or outpatient clinics thereof operated by a state educational | 0014| institution named in Article 12, Section 11 of the | 0015| constitution of New Mexico; | 0016| (2) a person regularly employed as a | 0017| teaching, nursing or administrative employee of a junior | 0018| college or community college created pursuant to Chapter 21, | 0019| Article 13 NMSA 1978; | 0020| (3) a person regularly employed as a | 0021| teaching, nursing or administrative employee of a technical | 0022| and vocational institute created pursuant to the Technical and | 0023| Vocational Institute Act; | 0024| (4) a person regularly employed as a | 0025| teaching, nursing or administrative employee of the New Mexico | - 25 - 0001| boys' school, the New Mexico girls' school, the Los Lunas | 0002| medical center or a school district or as a certified school | 0003| instructor of a state institution or agency providing an | 0004| educational program and holding a standard or substandard | 0005| certificate issued by the state board; | 0006| (5) a person regularly employed by the | 0007| department of education or the board holding a standard or | 0008| substandard certificate issued by the state board at the time | 0009| of commencement of such employment; | 0010| (6) a member classified as a regular member | 0011| in accordance with the regulations of the board; | 0012| (7) a person regularly employed by the New | 0013| Mexico activities association holding a standard certificate | 0014| issued by the state board at the time of commencement of such | 0015| employment; ~~[or]~~ | 0016| (8) a person regularly employed by a regional | 0017| education cooperative holding a standard certificate issued by | 0018| the state board at the time of commencement of such | 0019| employment; or | 0020| (9) a person regularly employed by a charter | 0021| school that is not organized as a nonprofit corporation | 0022| pursuant to the Nonprofit Corporation Act and that elects in | 0023| its charter to be covered pursuant to the Educational | 0024| Retirement Act; | 0025| C. "provisional member" means a person not | - 26 - 0001| eligible to be a regular member but who is employed by a local | 0002| administrative unit designated in Subsection B of this | 0003| section; provided, however, that employees of a general | 0004| hospital or outpatient clinics thereof operated by a state | 0005| educational institution named in Article 12, Section 11 of the | 0006| constitution of New Mexico are not provisional members; | 0007| D. "local administrative unit" means an employing | 0008| agency however constituted that is directly responsible for | 0009| the payment of compensation for the employment of members or | 0010| participants; | 0011| E. "beneficiary" means a person having an | 0012| insurable interest in the life of a member or a participant | 0013| designated by written instrument duly executed by the member | 0014| or participant and filed with the director to receive a | 0015| benefit pursuant to the Educational Retirement Act that may be | 0016| received by someone other than the member or participant; | 0017| F. "employment" means employment by a local | 0018| administrative unit that qualifies a person to be a member or | 0019| participant; | 0020| G. "service employment" means employment that | 0021| qualifies a person to be a regular member; | 0022| H. "provisional service employment" means | 0023| employment that qualifies a person to be a provisional member; | 0024| I. "prior employment" means employment performed | 0025| prior to the effective date of the Educational Retirement Act | - 27 - 0001| that would be service employment or provisional service | 0002| employment if performed thereafter; | 0003| J. "service credit" means that period of time with | 0004| which a member is accredited for the purpose of determining | 0005| his eligibility for and computation of retirement or | 0006| disability benefits; | 0007| K. "earned service credit" means that period of | 0008| time during which a member was engaged in employment or prior | 0009| employment with which he is accredited for the purpose of | 0010| determining his eligibility for retirement or disability | 0011| benefits; | 0012| L. "allowed service credit" means that period of | 0013| time during which a member has performed certain nonservice | 0014| employment with which he may be accredited, as provided in the | 0015| Educational Retirement Act, for the purpose of computing | 0016| retirement or disability benefits; | 0017| M. "retirement benefit" means an annuity paid | 0018| monthly to members whose employment has been terminated by | 0019| reason of their age; | 0020| N. "disability benefit" means an annuity paid | 0021| monthly to members whose employment has been terminated by | 0022| reason of a disability; | 0023| O. "board" means the educational retirement board; | 0024| P. "fund" means the educational retirement fund; | 0025| Q. "director" means the educational retirement | - 28 - 0001| director; | 0002| R. "medical authority" means a medical doctor | 0003| within the state or as provided in Subsection D of Section | 0004| 22-11-36 NMSA 1978 either designated or employed by the board | 0005| to examine and report on the physical condition of applicants | 0006| for or recipients of disability benefits; | 0007| S. "actuary" means a person trained and regularly | 0008| engaged in the occupation of calculating present and projected | 0009| monetary assets and liabilities under annuity or insurance | 0010| programs; | 0011| T. "actuarial equivalent" means a sum paid as a | 0012| current or deferred benefit that is equal in value to a | 0013| regular benefit, computed upon the basis of interest rates and | 0014| mortality tables; | 0015| U. "contributory employment" means employment for | 0016| which contributions have been made by both a member and a | 0017| local administrative unit pursuant to the Educational | 0018| Retirement Act; | 0019| V. "qualifying state educational institution" | 0020| means the university of New Mexico, New Mexico state | 0021| university, New Mexico institute of mining and technology, New | 0022| Mexico highlands university, eastern New Mexico university and | 0023| western New Mexico university; | 0024| W. "participant" means: | 0025| (1) a person regularly employed as a faculty | - 29 - 0001| or professional employee of a qualifying state educational | 0002| institution who first becomes employed with such an | 0003| educational institution on or after July 1, 1991 and who | 0004| elects, pursuant to Section 22-11-47 NMSA 1978, to participate | 0005| in the alternative retirement plan; and | 0006| (2) a person regularly employed who performs | 0007| research or other services pursuant to a contract between a | 0008| qualifying state educational institution and the United States | 0009| government or any of its agencies who elects, pursuant to | 0010| Section 22-11-47 NMSA 1978, to participate in the alternative | 0011| retirement plan, provided that the research or other services | 0012| are performed outside the state; | 0013| X. "salary" means the compensation or wages paid | 0014| to a member or participant by any local administrative unit | 0015| for services rendered; and | 0016| Y. "alternative retirement plan" means the | 0017| retirement plan provided for in Sections 22-11-47 through | 0018| 22-11-52 NMSA 1978." | 0019| Section 18. Section 22-11-19 NMSA 1978 (being Laws 1967, | 0020| Chapter 16, Section 142, as amended) is amended to read: | 0021| "22-11-19. REGULAR OR PROVISIONAL MEMBERSHIP--OPTIONAL | 0022| COVERAGE.-- | 0023| A. Any person qualified to be a regular or | 0024| provisional member covered by a retirement program established | 0025| for federal civil service employees shall have six months | - 30 - 0001| after the commencement of employment to file a written notice | 0002| with the director of his election not to be covered by the | 0003| Educational Retirement Act. If the person so elects, he may | 0004| withdraw any contributions made pursuant to the Educational | 0005| Retirement Act. | 0006| B. Any person qualified to be a regular or | 0007| provisional member and who was employed by a regional | 0008| education cooperative on July 1, 1993 shall have the right to | 0009| exempt himself from Educational Retirement Act coverage within | 0010| thirty days, and such exemption shall be irrevocable as long | 0011| as the person is employed by a regional cooperative. | 0012| C. Any person qualified to be a regular or | 0013| provisional member and who was employed by a charter school | 0014| that is not organized as a nonprofit corporation pursuant to | 0015| the Nonprofit Corporation Act that elects to be covered | 0016| pursuant to the Educational Retirement Act on and after July | 0017| 1, 1998 shall have the right to exempt himself from | 0018| Educational Retirement Act coverage within thirty days, and | 0019| such exemption shall be irrevocable as long as the person is | 0020| employed by a charter school." | 0021| Section 19. Section 22-11-19.2 NMSA 1978 (being Laws | 0022| 1993, Chapter 232, Section 9) is amended to read: | 0023| "22-11-19.2. REGULAR OR PROVISIONAL MEMBERSHIP--REGIONAL | 0024| EDUCATION COOPERATIVES.--Any person employed by a regional | 0025| education cooperative or a charter school that is not | - 31 - 0001| organized as a nonprofit corporation pursuant to the Nonprofit | 0002| Corporation Act and that elects in its charter to participate | 0003| in the Educational Retirement Act and qualified to be a | 0004| regular or provisional member shall have the right to acquire | 0005| earned service credit for periods of employment with the | 0006| regional education cooperative or charter school when the | 0007| member was neither covered nor retired under the Educational | 0008| Retirement Act, under the following conditions: | 0009| A. both the member and the administrative unit | 0010| contributions, at the rates in effect during the periods of | 0011| employment and applied to earnings of the member during such | 0012| periods, are paid to the fund, together with interest, at a | 0013| rate equal to the board's actuarial earnings assumption rate | 0014| at the time of purchase; | 0015| B. both member and administrative unit | 0016| contributions, together with interest, are paid by the member; | 0017| or | 0018| C. the member tenders payment of his | 0019| contributions, together with interest, and the local | 0020| administrative unit by which he was employed may, but shall | 0021| not be obligated to, pay the administrative unit | 0022| contributions, together with interest." | 0023| Section 20. REPEAL.--Sections 22-8A-4 through 22-8A-7 | 0024| (being Laws 1993, Chapter 227, Sections 4 through 7) are | 0025| repealed. | - 32 - 0001| |