To propose changes related to the Scholarship Funding Organization’s (SFO) administration of the Gardiner Scholarship Program and removal of language no longer addressed in corresponding statute. The rule is consistent with section 1002.385, F.S.

 

DEPARTMENT OF EDUCATION

State Board of Education

RULE NO.:RULE TITLE:

6A-6.0961Gardiner Scholarship Program

PURPOSE AND EFFECT: To propose changes related to the Scholarship Funding Organization’s (SFO) administration of the Gardiner Scholarship Program and removal of language no longer addressed in corresponding statute. The rule is consistent with section 1002.385, F.S.

SUMMARY: Clarify that if a SFO returns funds for a student, the SFO must include the administrative fee if no reimbursements were made for expenditures that occurred in the fiscal year in which the scholarship was awarded. Clarify that a SFO is no longer required to provide a student’s grade level in the quarterly reports that SFOs must submit to the department. Remove the complaint and inquiry provisions as it will be addressed in a separate rule that applies to all scholarship programs authorized under Chapter 1002, F.S.

SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS AND LEGISLATIVE RATIFICATION:

The Agency has determined that this will not have an adverse impact on small business or likely increase directly or indirectly regulatory costs in excess of $200,000 in the aggregate within one year after the implementation of the rule. A SERC has not been prepared by the Agency.

The Agency has determined that the proposed rule is not expected to require legislative ratification based on the statement of estimated regulatory costs or if no SERC is required, the information expressly relied upon and described herein: No requirement for SERC was triggered pursuant to section 120.541(1), F.S., and is not expected to require legislative ratification. There would be no economic impact from this amendment and the adverse impact or regulatory costs, if any, does not exceed nor would be expected to exceed any one of the economic analysis criteria set forth in section 120.541(2)(a), F.S.

Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.

RULEMAKING AUTHORITY: 1002.385, F.S.

LAW IMPLEMENTED: 1002.385, F.S.

A HEARING WILL BE HELD AT THE DATE, TIME AND PLACE SHOWN BELOW:

DATE AND TIME: July 18, 2018, 9:00 a.m.

PLACE: Omni Orlando Resort at ChampionsGate, Congressional Room, 1500 Masters Blvd., ChampionsGate, FL 33896.

THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: Adam Miller, Executive Director, Office of Independent Education and Parental Choice, 325 W. Gaines Street, Suite 1044, Tallahassee, Florida 32399-0400; [phone]; [e-mail].

 

THE FULL TEXT OF THE PROPOSED RULE IS:

 

6A-6.0961 Gardiner Scholarship Program.

The Gardiner Scholarship Program will be implemented as required by section 1002.385, F.S., to allow nonprofit scholarship-funding organizations to provide the option for a parent to better meet the individual educational needs of his or her eligible child by establishing an account for the funding of eligible expenditures.

(1) through (3) No change.

(4) Scholarship payments. The following provisions relate to the distribution of funds from the Department of Education to an eligible nonprofit scholarship-funding organization.

(a) through (e) No change.

(f) Eligible nonprofit scholarship-funding organizations are responsible for the return of all scholarship funds to the Department that were received in error or associated with a scholarship account that has been closed pursuant to section 1002.385(6)(b), F.S. Funds returned must include the administrative fee if no reimbursements were made for expenditures that occurred in the fiscal year in which the scholarship was awarded. If the Department identifies scholarship funds that must be returned, it shall send a letter via both regular and certified mail requesting the return of the funds. The letter shall state the reason the funds are being requested, the student or students involved, instructions on returning the funds, and the procedure to be followed if the eligible nonprofit scholarship-funding organization believes that return of the funds is being requested in error or wishes to provide additional information related to the requested funds. The Department’s letter may also require the eligible nonprofit scholarship-funding organization to provide an explanation for how the funds were erroneously obtained.

1. through 3. No Change.

(5) Quarterly Reports: Four (4) times a year, no later than October 30, January 30, April 30, and July 30 of each year, an eligible nonprofit scholarship-funding organization shall submit in a format to be specified by the Department an electronic list of all participating scholarship students, providers of services, and participating private schools. For purposes of the quarterly report, a participating scholarship student is one whose scholarship account has been funded in the current fiscal year.

(a) The list shall include the following information:

1. Demographic information for each student, including name, date of birth, grade level, gender, race, and county of residence;

2. through 5. No change.

(b) through (c) No change.

(6) Complaint process. The following process is established to allow individuals to notify the Department of any violation by parents, providers, private schools, eligible nonprofit scholarship-funding organizations, or school districts of laws or rules related to scholarship program participation.

(a) Persons interested in filing a complaint should contact the Department through the toll-free hotline [phone], established pursuant to section 1002.395, F.S., or through the Department’s website at www.floridaschoolchoice.org.

(b) An initial complaint shall include the complainant’s name, phone number, address, and details of the situation.

(c) After receipt of the initial complaint, the Department shall offer to provide a formal complaint form to the complainant.

(d) To register a formal complaint, the complainant may complete the formal complaint form, or submit a written complaint that includes the information in paragraph (6)(b), sign it, and mail or fax it to the Department within thirty (30) days of making the initial complaint.

(e) Upon receipt of a formal complaint, the Department shall review the complaint. If the complaint alleges a violation of applicable law or rule, the Department shall conduct an inquiry, as described in subsection (7) of this rule, or refer the matter to the appropriate agency for investigation. If the complaint does not allege a violation of applicable law or rule, the Department may close the complaint.

(f) The Department shall notify the complainant of the final result of all formal complaints.

(7) Inquiry Process. If an inquiry is made as to the conduct of an individual or entity participating in the program:

(a) A letter of inquiry will be delivered using regular and certified mail that alerts the individual or entity to the inquiry and provides the opportunity to respond. The letter of inquiry shall detail any alleged violations of program rules or law, the response required, any documentation requested, and the deadline for responding to the department. A copy of the letter of inquiry shall be provided to the appropriate nonprofit scholarship-funding organization.

(b) If there is a failure to respond to a letter of inquiry within fifteen (15) days by:

1. A parent, then the Department shall notify the appropriate nonprofit scholarship-funding organization of the nature of the inquiry and the parent’s failure to respond to the letter of inquiry. The nonprofit scholarship-funding organization may use that information to reconsider its determination of student eligibility. The Commissioner may take action as prescribed under subsection (8) of this rule.

2. A private school, then the Commissioner shall proceed with the noncompliance procedures related to the Commissioner’s authority established pursuant to section 1002.385(10), F.S., and this rule.

3. A nonprofit scholarship-funding organization, then the Commissioner shall proceed with the noncompliance procedures related to the Commissioner’s authority established pursuant to section 1002.385(10), F.S., and this rule.

4. A school district, then the Commissioner shall take any actions allowable under law to compel school district compliance with program requirements and to ameliorate the effect of the violation as appropriate.

(c) The Department shall review the response to the letter of inquiry; and:

1. If satisfied that no violation of laws or rules related to scholarship program participation occurred, notify the eligible student, approved provider, nonprofit scholarship-funding organization, private school, or school district and complainant that the inquiry will be closed.

2. If more information is needed, request additional information related to the inquiry from the complainant, eligible student, approved provider, nonprofit scholarship-funding organization, private school, or school district.

3. If a violation of laws or rules related to scholarship program participation has been committed by:

a. A parent, then the Department shall notify the appropriate nonprofit scholarship-funding organization of the findings and shall initiate the process prescribed under subsection (8) of this rule.

b. A private school, then the Commissioner shall proceed with the noncompliance procedures related to the Commissioner’s authority established pursuant to section 1002.385(10), F.S., and this rule.

c. A nonprofit scholarship-funding organization, then the Commissioner shall proceed with the noncompliance procedures related to the Commissioner’s authority established pursuant to section 1002.385(10), F.S., and this rule.

d. A school district, then the Commissioner shall take any actions allowable under law to compel school district compliance with program requirements and to ameliorate the effect of the violation as appropriate.

(d) The Department may at any point in the process set forth in this rule refer an inquiry to the Department’s Office of Inspector General or another appropriate agency for investigation.

(e) Notwithstanding any other provisions of this rule, the Commissioner may at any point during the inquiry process exercise the authority given under section 1002.385(10), F.S., and this rule.

(8) Commissioner’s duties. The Commissioner may suspend or revoke participation in the scholarship program.

(a) If the Commissioner issues a notice of noncompliance:

1. Eligible students, nonprofit scholarship-funding organizations, and private schools shall be given no fewer than five (5) days from the date of the notice, as determined by the Commissioner, to demonstrate compliance;

2. The notice shall state the reasons for the noncompliance, provide instructions on how to demonstrate compliance, and give a deadline for demonstrating compliance to the Commissioner;

3. The eligible student, nonprofit scholarship-funding organization, or private school’s participation status shall be unaffected by the above notice of noncompliance process; and,

4. A copy of the notice shall be provided to the appropriate nonprofit scholarship-funding organization.

(b) Upon issuance of a notice of noncompliance the Commissioner may suspend payments to the non-profit scholarship funding organization until the non-profit scholarship funding organization has demonstrated compliance.

(c) If the Commissioner issues a notice of proposed action suspending or revoking an eligible student, nonprofit scholarship-funding organization, or private school’s participation:

1. The notice shall state the reasons for the action and specify the eligible student, approved provider, nonprofit scholarship-funding organization, or private school’s right to appeal;

2. The eligible student, approved provider, nonprofit scholarship-funding organization, or private school’s participation status shall be unaffected until the proposed action becomes final and all relevant appeals have expired; and,

3. A copy of the notice shall be provided to the appropriate nonprofit scholarship-funding organization.

(d) If the Commissioner suspends or revokes an authorized use of program funds:

1. The Commissioner shall issue a notice of agency action to the eligible student, nonprofit scholarship-funding organization, or private school;

2. The notice shall state the reasons for the action and the rights the eligible student, nonprofit scholarship-funding organization, or private school has to appeal;

3. The eligible student, nonprofit scholarship-funding organization, or private school participation status will be adjusted so that it will be unable to participate in the program; and,

4. A copy of the notice shall be provided to the appropriate nonprofit scholarship-funding organization.

Rulemaking Authority 1001.02, 1002.385(18) FS. Law Implemented 1002.385 FS. History–New 11-4-14, Amended 7-26-16,____.

 

NAME OF PERSON ORIGINATING PROPOSED RULE: Adam Miller, Executive Director, Office of Independent Education and Parental Choice.

NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: Pam Stewart, Commissioner, Department of Education.

DATE PROPOSED RULE APPROVED BY AGENCY HEAD: June 13, 2018

DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAR: May 18, 2018.