Summary: The Transparency in Charter School Spending Act requires charter schools to comply with open meetings and public records laws, disclose salaries and large contracts, and report potential conflicts of interest.
This model is based largely on Michigan House Bill 5852 (2014). A much more detailed model bill is available from the National Education Policy Center (NEPC) here, and there’s an excellent policy discussion of the subject from NEPC here.
SECTION 1. SHORT TITLE
This Act shall be called the “Transparency in Charter School Finance Act.”
SECTION 2. PURPOSE
This law is enacted to ensure that the public knows how public funds are being spent by charter schools.
SECTION 3. TRANSPARENCY
After section XXX, the following new section XXX shall be inserted:
(A) Open Meetings and Public Records – A charter school and the board of directors that governs the charter school are subject to the [Public Records Act, citation].
(B) Salaries and contracts – In addition to the requirements of [public records act citation], the charter school shall disclose for every fiscal year:
(C) Potential conflicts of interest – If a charter school makes payments to any business entity that exceeds $1,000 in any fiscal year, the charter school shall disclose if any of its directors, officers or employees, or any member of their family, have a financial interest in such business. For purposes of this subsection:
SECTION 4. EFFECTIVE DATE
This law shall become effective on July 1, 20XX.