IC 20-24-3
    Chapter 3. Establishment of Charter Schools

IC 20-24-3-1
Sponsor may grant charter
    
Sec. 1. A sponsor may grant a charter to an organizer to operatea charter school under this article.
As added by P.L.1-2005, SEC.8.

IC 20-24-3-2
Prohibition against sponsor granting charter to for-profitorganizer
    
Sec. 2. A sponsor may not grant a charter to a for-profit organizer.
As added by P.L.1-2005, SEC.8.

IC 20-24-3-3
Organizer's dissolution; disposition of remaining assets and funds
    
Sec. 3. The organizer's constitution, charter, articles, or bylawsmust contain a clause providing that upon dissolution:
        (1) all remaining assets, except funds specified in subdivision(2), shall be used for nonprofit educational purposes; and
        (2) remaining funds received from the department shall bereturned to the department not more than thirty (30) days afterdissolution.
As added by P.L.1-2005, SEC.8.

IC 20-24-3-4
Proposal to establish charter school; required contents
    
Sec. 4. (a) An organizer may submit to the sponsor a proposal toestablish a charter school.
    (b) A proposal must contain at least the following information:
        (1) Identification of the organizer.
        (2) A description of the organizer's organizational structure andgovernance plan.
        (3) The following information for the proposed charter school:
            (A) Name.
            (B) Purposes.
            (C) Governance structure.
            (D) Management structure.
            (E) Educational mission goals.
            (F) Curriculum and instructional methods.
            (G) Methods of pupil assessment.
            (H) Admission policy and criteria, subject to IC 20-24-5.
            (I) School calendar.
            (J) Age or grade range of students to be enrolled.
            (K) A description of staff responsibilities.
            (L) A description and the address of the physical plant.
            (M) Budget and financial plans.
            (N) Personnel plan, including methods for selection,retention, and compensation of employees.            (O) Transportation plan.
            (P) Discipline program.
            (Q) Plan for compliance with any applicable desegregationorder.
            (R) The date when the charter school is expected to:
                (i) begin school operations; and
                (ii) have students attending the charter school.
            (S) The arrangement for providing teachers and other staffwith health insurance, retirement benefits, liabilityinsurance, and other benefits.
        (4) The manner in which the sponsor must conduct an annualaudit of the program operations of the charter school.
    (c) This section does not waive, limit, or modify the provisions of:
        (1) IC 20-29 in a charter school where the teachers have chosento organize under IC 20-29; or
        (2) an existing collective bargaining agreement fornoncertificated employees (as defined in IC 20-29-2-11).
As added by P.L.1-2005, SEC.8.

IC 20-24-3-5
Establishment of charter school in a consolidated city; approval oflegislative body required
    
Sec. 5. (a) This section applies only to a sponsor that is theexecutive of a consolidated city.
    (b) Before issuing a charter, the sponsor must receive the approvalof a majority of the members of the legislative body (as defined inIC 36-1-2-9) of the consolidated city for the establishment of acharter school. The sponsor may issue charters for charter schoolslocated in the consolidated city.
As added by P.L.1-2005, SEC.8.

IC 20-24-3-6
Granting of charter; provision of noncharter school required
    
Sec. 6. (a) Except as provided in subsection (b), if a governingbody grants a charter to establish a charter school, the governingbody must provide a noncharter school that students of the same ageor grade levels may attend.
    (b) The department may waive the requirement that a governingbody provide a noncharter school under subsection (a) upon therequest of the governing body.
As added by P.L.1-2005, SEC.8.

IC 20-24-3-7
Revocation of charter
    
Sec. 7. The sponsor may revoke the charter of a charter schoolthat does not, by the date specified in the charter:
        (1) begin school operations; and
        (2) have students attending the charter school.
As added by P.L.1-2005, SEC.8.
IC 20-24-3-8
Attendance by more than 50% of students in school corporation;department approval required
    
Sec. 8. Before granting a charter under which more than fiftypercent (50%) of the students in a school corporation will attend acharter school, the governing body of the school corporation mustreceive the approval of the department.
As added by P.L.1-2005, SEC.8.

IC 20-24-3-9
Notification of acceptance or rejection of proposal
    
Sec. 9. A sponsor must notify an organizer that submits a proposalunder section 4 of this chapter of the:
        (1) acceptance of the proposal; or
        (2) rejection of the proposal;
not later than seventy-five (75) days after the organizer submits theproposal.
As added by P.L.1-2005, SEC.8. Amended by P.L.169-2005, SEC.13.

IC 20-24-3-10
Department notification; annual report by department
    
Sec. 10. (a) A sponsor must notify the department of thefollowing:
        (1) Receipt of a proposal.
        (2) Acceptance of a proposal.
        (3) Rejection of a proposal, including the reasons for therejection.
    (b) The department shall annually do the following:
        (1) Compile the information received under subsection (a) intoa report.
        (2) Submit the report in an electronic format under IC 5-14-6 tothe legislative council.
As added by P.L.1-2005, SEC.8.

IC 20-24-3-11
Rejection of proposal; amendment or submission to anothersponsor; appeal
    
Sec. 11. If a sponsor rejects a charter school proposal, theorganizer may:
        (1) amend the charter school proposal and resubmit the proposalto the same sponsor;
        (2) submit a charter school proposal to another sponsor; or
        (3) appeal the decision to the charter school review panelestablished by section 12 of this chapter.
As added by P.L.1-2005, SEC.8.

IC 20-24-3-12
Charter school review panel; composition; meeting to considerproposal; permissible findings
    
Sec. 12. (a) This section applies if the sponsor rejects a proposal.    (b) The organizer may appeal the decision of the sponsor to thecharter school review panel established by subsection (c).
    (c) The charter school review panel is established. The membersof the panel are as follows:
        (1) The governor or the governor's designee.
        (2) The state superintendent, who shall chair the panel.
        (3) A member of the state board appointed by the statesuperintendent.
        (4) A person with financial management experience appointedby the governor.
        (5) A community leader with knowledge of charter schoolissues appointed jointly by the governor and the statesuperintendent.
A member shall serve a two (2) year term and may be reappointed tothe panel upon expiration of the member's term.
    (d) All decisions of the panel shall be determined by a majorityvote of the panel's members.
    (e) Upon the request of an organizer, the panel shall meet toconsider the organizer's proposal and the sponsor's reasons forrejecting the proposal. The panel must allow the organizer andsponsor to participate in the meeting.
    (f) After the panel meets under subsection (e), the panel shallmake one (1) of the following findings and issue the finding to theorganizer and the sponsor:
        (1) A finding that supports the sponsor's rejection of theproposal.
        (2) A finding that:
            (A) recommends that the organizer amend the proposal; and
            (B) specifies the changes to be made in the proposal if theorganizer elects to amend the proposal.
        (3) A finding that approves the proposal.
The panel shall issue the finding not later than forty-five (45) daysafter the panel receives the request for review.
    (g) If the panel makes a finding described in subsection (f)(1), thefinding is final.
    (h) If the panel makes a finding described in subsection (f)(2), theorganizer may amend the proposal according to the panel'srecommendations and resubmit the proposal directly to the panel.
    (i) If the panel makes a finding described in subsection (f)(3), theproposal is considered conditionally approved. The approval shall beconsidered final upon delivery to the panel of written notice from theorganizer and an eligible sponsor that the sponsor has agreed to serveas a sponsor for the proposal approved by the panel.
    (j) Proposals approved under this section shall not be countedunder any numerical limits placed upon a sponsor or set of sponsors.
As added by P.L.1-2005, SEC.8.

IC 20-24-3-13
Monitoring of number of schools approved by universities
    
Sec. 13. (a) The department shall monitor the number of charter

schools approved by universities.
    (b) Not more than six (6) months after twenty (20) charter schoolshave been approved by universities, the department shall issue areport to the charter school review panel identifying:
        (1) the purpose and organization of all charter schoolssponsored by universities;
        (2) the procedure by which charter schools have been approvedand monitored by university sponsors; and
        (3) recommendations regarding the future of universitysponsorships.
    (c) The report issued under subsection (b) shall be submitted in anelectronic format under IC 5-14-6 to the legislative council.
As added by P.L.1-2005, SEC.8.

IC 20-24-3-14
University sponsors; board of trustees responsible; public meetingrequired
    
Sec. 14. (a) This section applies to university sponsors.
    (b) Except as provided in subsection (c), the ultimateresponsibility for choosing to sponsor a charter school andresponsibilities for maintaining sponsorship rest with the university'sboard of trustees.
    (c) The university's board of trustees may vote to assignsponsorship authority and sponsorship responsibilities to anotherperson or entity that functions under the direction of the university'sboard. A decision made under this subsection shall be communicatedin writing to the department and the charter school review panel.
    (d) Before a university may sponsor a charter school, theuniversity must conduct a public meeting with public notice in thecounty where the charter school will be located.
As added by P.L.1-2005, SEC.8.

IC 20-24-3-15
Schools sponsored by mayor of consolidated city; limits on numberof schools sponsored
    
Sec. 15. (a) This section applies to charter schools sponsored bythe mayor of a consolidated city.
    (b) The number of charter schools may not be more than five (5)during the 2001 calendar year.
    (c) During each year after calendar year 2001, the maximumnumber of charter schools is increased by five (5).
    (d) The limits resulting from subsections (b) and (c) arecumulative from year to year. However, there may not be anyaccumulation during the period beginning January 1, 2003, andending December 31, 2005.
As added by P.L.1-2005, SEC.8.

IC 20-24-3-16
Service as organizer and sponsor prohibited
    
Sec. 16. An entity or multiple divisions of the same entity may not

serve simultaneously as both the organizer and the sponsor of thesame charter school.
As added by P.L.1-2005, SEC.8.