CHAPTER 11. LEGAL SETTLEMENT AND TRANSFER OF STUDENTS; TRANSFER TUITION
IC 20-26-11
Chapter 11. Legal Settlement and Transfer of Students; TransferTuition
IC 20-26-11-1
"Residence", "resides", and comparable terms
Sec. 1. As used in this chapter with respect to legal settlement,transfers, and the payment of tuition, the words "residence","resides", or other comparable language means a permanent andprincipal habitation that an individual uses for a home for a fixed orindefinite period, at which the individual remains when not calledelsewhere for work, studies, recreation, or other temporary or specialpurpose. These terms are not synonymous with legal domicile.Except as provided in section 2(3) of this chapter, where a courtorder grants an individual custody of a student, the residence of thestudent is where that individual resides.
As added by P.L.1-2005, SEC.10. Amended by P.L.13-2006, SEC.1.
IC 20-26-11-2
Legal settlement
Sec. 2. The legal settlement of a student is governed by thefollowing provisions:
(1) If the student:
(A) is less than eighteen (18) years of age; or
(B) is at least eighteen (18) years of age but is notemancipated;
the legal settlement of the student is in the attendance area ofthe school corporation where the student's parents reside.
(2) If the student's mother and father, in a situation to whichsubdivision (1) otherwise applies, are divorced or separated, thelegal settlement of the student is the school corporation whoseattendance area contains the residence of the parent with whomthe student is living, in the following situations:
(A) If a court order has not been made establishing thecustody of the student.
(B) Except as provided in subdivision (3), if both parentshave agreed on the parent or person with whom the studentwill live.
(C) If the parent granted custody of the student hasabandoned the student.
In the event of a dispute between the parents of the student, orbetween the parents and a student at least eighteen (18) years ofage, the legal settlement of the student shall be determined asotherwise provided in this section.
(3) If, in a situation in which subdivision (1) otherwise applies,the student's mother and father are divorced or separated, andif a court order grants the student's:
(A) mother;
(B) father; or
(C) both mother and father; custody of the student, the legal settlement of the student is theschool corporation whose attendance area contains theresidence of the mother or father, as elected under section 2.5(a)of this chapter. If the custodial parent (or the student, if at leasteighteen (18) years of age) does not make an election undersection 2.5(a) of this chapter, the legal settlement of the studentis the school corporation whose attendance area contains theresidence of the parent granted physical custody by the courtorder.
(4) If the legal settlement of a student, in a situation to whichsubdivision (1) otherwise applies, cannot reasonably bedetermined and the student is being supported by, cared for by,and living with some other individual, the legal settlement ofthe student is in the attendance area of that individual'sresidence, except where the parents of the student are able tosupport the student but have placed the student in the home ofanother individual, or allowed the student to live with anotherindividual, primarily for the purpose of attending school in theattendance area where the other individual resides. The schoolmay, if the facts are in dispute, condition acceptance of thestudent's legal settlement on the appointment of that individualas legal guardian or custodian of the student, and the date oflegal settlement will be fixed to coincide with thecommencement of the proceedings for the appointment of aguardian or custodian. However, if a student does not residewith the student's parents because the student's parents areunable to support the child and the child is not residing with anindividual other than a parent primarily to attend a particularschool, the student's legal settlement is where the studentresides, and the establishment of a legal guardianship may notbe required by the school. In addition, a legal guardianship orcustodianship established solely to attend school in a particularschool corporation does not affect the determination of the legalsettlement of the student under this chapter.
(5) If a student, to whom subdivision (1) would otherwiseapply, is married and living with a spouse, the legal settlementof that student is in the attendance area of the schoolcorporation where the student and the student's spouse reside.
(6) If the student's parents:
(A) are living outside the United States due to educationalpursuits or a job assignment;
(B) do not maintain a permanent home in any schoolcorporation in the United States; and
(C) have placed the student in the home of anotherindividual;
the legal settlement of the student is in the attendance areawhere the other individual resides.
(7) If the student is emancipated, the legal settlement is theattendance area of the school corporation of the student'sresidence. (8) If a student's legal settlement is changed after the studenthas begun attending school in a school corporation in anyschool year, the effective date of change may:
(A) at the election of:
(i) the parent;
(ii) the student, if the student is at least eighteen (18) yearsof age; or
(iii) a juvenile court conducting a proceeding underIC 31-34-20-5, IC 31-34-21-10, IC 31-37-19-26, orIC 31-37-20-6 (or IC 31-6-4-18.5 before its repeal);
be extended until the end of that semester; or
(B) at the discretion of the school, until the end of thatschool year.
However, that election, where a student has completed grade 11in any school year, shall extend to the end of the followingschool year in grade 12.
(9) If a juvenile court has:
(A) made findings of fact concerning the legal settlement ofa student under IC 31-34-20-5, IC 31-34-21-10,IC 31-37-19-26, or IC 31-37-20-6 (or IC 31-6-4-18.5 beforeits repeal); and
(B) jurisdiction over the student under IC 31-34 or IC 31-37;
the legal settlement of the student is the attendance areaspecified as the legal settlement in the latest findings of factissued by the juvenile court.
As added by P.L.1-2005, SEC.10. Amended by P.L.13-2006, SEC.2.
IC 20-26-11-2.5
Election to have legal settlement
Sec. 2.5. (a) In the case of a student described in section 2(3) ofthis chapter, the:
(1) parent granted physical custody by a court; or
(2) student, if the student is at least eighteen (18) years of age;
may, not later than fourteen (14) days before the first student day ofthe school year, elect for the student to have legal settlement in theschool corporation whose attendance area contains the residence ofthe student's mother or the school corporation whose attendance areacontains the residence of the student's father.
(b) An election under subsection (a) may be made only on ayearly basis.
(c) The parent or student who makes an election under subsection(a) is not required to pay transfer tuition.
As added by P.L.13-2006, SEC.3. Amended by P.L.141-2006,SEC.93.
IC 20-26-11-3
Forms concerning legal settlement
Sec. 3. The state superintendent shall prepare the form ofagreement to be used under section 2(2) of this chapter and a form tobe executed by any individual with whom the student is living under
section 2(2), 2(3), 2(4), or 2(6) of this chapter. The execution of theform by the individual and its continuance in force is a condition tothe application of section 2(2), 2(3), 2(4), or 2(6) of this chapter. Theform must contain an agreement of the individual that the individualshall, with respect to dealing with the school corporation and for allother purposes under this article, assume all the duties and be subjectto all the liabilities of a parent of the student in the same manner asif the individual were the student's parent. On the execution of thatform and for as long as it remains in force, the individual has theseduties and liabilities.
As added by P.L.1-2005, SEC.10. Amended by P.L.13-2006, SEC.4.
IC 20-26-11-4
Appeal from determination of legal settlement
Sec. 4. A student is emancipated when the student:
(1) furnishes the student's support from the student's ownresources;
(2) is not dependent in any material way on the student's parentsfor support;
(3) files or is required by applicable law to file a separate taxreturn; and
(4) maintains a residence separate from that of the student'sparents.
As added by P.L.1-2005, SEC.10.
IC 20-26-11-5
Transfer at request of parent or student; approval; appeal
Sec. 5. (a) The parents of any student, regardless of the student'sage, or the student after the student has become eighteen (18) yearsof age may request a transfer from a school corporation in which thestudent has a legal settlement to a transferee school corporation inIndiana or another state if the student may be better accommodatedin the public schools of the transferee corporation. Whether thestudent can be better accommodated depends on such matters as:
(1) crowded conditions of the transferee or transferorcorporation; and
(2) curriculum offerings at the high school level that areimportant to the vocational or academic aspirations of thestudent.
(b) The request for transfer must be made in writing to thetransferor corporation, which shall immediately mail a copy to thetransferee corporation. The request for transfer must be made at thetimes provided under rules adopted by the state board. The transferis effected if both the transferee and the transferor corporationsapprove the transfer not more than thirty (30) days after that mailing.If the transferor school corporation fails to act on the transfer requestwithin thirty (30) days after the request is received, the transfer isconsidered approved. The transfer is denied when either schoolcorporation: mails a written denial by certified mail to the requestingparents or student at their last known address. (c) If a request for transfer is denied under subsection (b), anappeal may be taken to the state board by the requesting parents orstudent, if commenced not more than ten (10) days after the denial.An appeal is commenced by mailing a notice of appeal by certifiedmail to the superintendent of each school corporation and the stateboard. The state superintendent shall develop forms for this purpose,and the transferor corporation shall assist the parents or student inthe mechanics of commencing the appeal. An appeal hearing mustcomply with section 15 of this chapter.
As added by P.L.1-2005, SEC.10. Amended by P.L.89-2005, SEC.3.
IC 20-26-11-6
Transfer tuition
Sec. 6. (a) A school corporation may accept a transferring studentwithout approval of the transferor corporation under section 5 of thischapter.
(b) A transfer may be accepted regardless of whether, as acondition of the transfer, the transferee school requires the requestingparents or student to pay transfer tuition in an amount determinedunder the formula established in section 13 of this chapter for thepayment of transfer tuition by a transferor school corporation.However, if the transferee school elects to charge transfer tuition, thetransferee school may not offset the amounts described in section13(b) STEP TWO (B) through section 13(b) STEP TWO (D) of thischapter from the amount charged to the requesting parents or student.
(c) When the transferee school elects to charge tuition to therequesting parents or student, the tuition determined undersubsection (b) must be paid by the parents or the student before theend of the school year in installments as determined by the transfereecorporation.
(d) Failure to pay a tuition installment that is agreed to by theparents or student and the transferee school corporation is a groundfor exclusion from school.
(e) If the transferee school elects not to charge transfer tuition tothe parents or student under this section, the transferee school maynot charge transfer tuition or fees to the transferor school.
As added by P.L.1-2005, SEC.10. Amended by P.L.30-2010, SEC.1.
IC 20-26-11-7
Transfers; students with disabilities
Sec. 7. (a) A school corporation may transfer a student with aphysical, emotional, or mental disability to a transferee corporationthat maintains special programs or facilities for children with thedisability of the transferred student.
(b) A transferee corporation may refuse the transfer undersubsection (a) by mailing a notice by certified mail to:
(1) the transferor corporation;
(2) the parents of the student; and
(3) the state board.
(c) If a transferee corporation refuses transfer under subsection
(b), the state board shall determine the question of granting a transferunder the procedures set out in section 15 of this chapter.
As added by P.L.1-2005, SEC.10.
IC 20-26-11-8
Payment of transfer tuition for students in public and privateinstitutions or in foster homes
Sec. 8. (a) A student who is placed in a state licensed private orpublic health care facility or child care facility:
(1) by or with the consent of the department of child services;
(2) by a court order; or
(3) by a child placing agency licensed by the department ofchild services;
may attend school in the school corporation in which the facility islocated. If the school corporation in which the facility is located isnot the school corporation in which the student has legal settlement,the school corporation in which the student has legal settlement shallpay the transfer tuition of the student.
(b) A student who is placed in a state licensed private or publichealth care or child care facility by a parent may attend school in theschool corporation in which the facility is located if:
(1) the placement is necessary for the student's physical oremotional health and well-being and, if the placement is in ahealth care facility, is recommended by a physician; and
(2) the placement is projected to be for not less than fourteen(14) consecutive calendar days or a total of twenty (20)calendar days.
The school corporation in which the student has legal settlementshall pay the transfer tuition of the student. The parent of the studentshall notify the school corporation in which the facility is located andthe school corporation of the student's legal settlement, ifidentifiable, of the placement. Not later than thirty (30) days afterthis notice, the school corporation of legal settlement shall either paythe transfer tuition of the transferred student or appeal the paymentby notice to the department. The acceptance or notice of appeal bythe school corporation must be given by certified mail to the parentor guardian of the student and any affected school corporation. In thecase of a student who is not identified as having a disability underIC 20-35, the state board shall make a determination on transfertuition according to the procedures in section 15 of this chapter. Inthe case of a student who has been identified as having a disabilityunder IC 20-35, the determination on transfer tuition shall be madeunder this subsection and the procedures adopted by the state boardunder IC 20-35-2-1(b)(5).
(c) A student who is placed in:
(1) an institution operated by the division of disability andrehabilitative services or the division of mental health andaddiction; or
(2) an institution, a public or private facility, a home, a grouphome, or an alternative family setting by the division of
disability and rehabilitative services or the division of mentalhealth and addiction;
may attend school in the school corporation in which the institutionis located. The state shall pay the transfer tuition of the student,unless another entity is required to pay the transfer tuition as a resultof a placement described in subsection (a) or (b) or another state isobligated to pay the transfer tuition.
(d) This subsection applies to a student who is placed:
(1) by or with the consent of the department of child services;
(2) by a court order; or
(3) by a child placing agency licensed by the department ofchild services;
in a foster family home or the home of a relative or other unlicensedcaretaker that is not located in the school corporation in which thestudent has legal settlement. The student may attend school in eitherthe school corporation in which the foster family home or other homeis located or the school corporation in which the student has legalsettlement. The department of child services and the student's fosterparents or caretaker shall make the determination concerning wherethe student attends school unless that determination is made by acourt that has jurisdiction over the student. If a licensed child placingagency is responsible for oversight of the foster family home inwhich the student is placed or for providing services to the student,the department of child services must consult with the licensed childplacing agency concerning the determination of, or therecommendations made to the court concerning, where the studentattends school. Except as provided in subsection (e), transfer tuitionis not required for the student.
(e) If a student to whom subsection (d) applies is attending schoolin a school corporation that is not the school corporation in which thestudent has legal settlement, the school corporation in which thestudent has legal settlement shall pay transfer tuition to the schoolcorporation in which the student is enrolled in school if all of thefollowing conditions apply:
(1) The student was previously placed in a child caringinstitution licensed under IC 31-27-3.
(2) While placed in the child caring institution, the student wasenrolled in a school that is:
(A) administered by the school corporation in which thechild caring institution is located; and
(B) located at the child caring institution.
(3) The student was moved from the child caring institution toa licensed foster family home supervised by the child caringinstitution either:
(A) with the approval of the department of child services andthe court having jurisdiction over the student in a case underIC 31-34; or
(B) by a court order in a case under IC 31-37.
(4) After moving from the child caring institution to the fosterfamily home, the student continues to attend the school located
at the child caring institution.
(5) The legal settlement of the student was determined by ajuvenile court under IC 31-34-20-5, IC 31-34-21-10,IC 31-37-19-26, or IC 31-37-20-6.
(f) A student:
(1) who is placed in a facility, home, or institution described insubsection (a), (b), or (c);
(2) to whom neither subsection (d) nor (e) applies; and
(3) for whom there is no other entity or person required to paytransfer tuition;
may attend school in the school corporation in which the facility,home, or institution is located. The department shall conduct aninvestigation and determine whether any other entity or person isrequired to pay transfer tuition. If the department determines that noother entity or person is required to pay transfer tuition, the stateshall pay the transfer tuition for the student out of the fundsappropriated for tuition support.
As added by P.L.1-2005, SEC.10. Amended by P.L.89-2005, SEC.4;P.L.231-2005, SEC.33; P.L.1-2006, SEC.331; P.L.141-2006,SEC.94; P.L.145-2006, SEC.148; P.L.99-2007, SEC.168;P.L.159-2007, SEC.1.
IC 20-26-11-9
Notice of legal settlement and placement
Sec. 9. (a) This section applies to each student:
(1) described in section 8(a) of this chapter;
(2) who is placed in a home or facility in Indiana that is outsidethe school corporation where the student has legal settlement;and
(3) for which the state is not obligated to pay transfer tuition.
(b) Not later than ten (10) days after the department of childservices or a probation department places or changes the placementof a student, the department of child services or probationdepartment that placed the student shall notify the school corporationwhere the student has legal settlement and the school corporationwhere the student will attend school of the placement or change ofplacement. Before June 30 of each year, the department of childservices or a probation department that places a student in a home orfacility shall notify the school corporation where a student has legalsettlement and the school corporation in which a student will attendschool if a student's placement will continue for the ensuing schoolyear. The notifications required under this subsection must be madeby:
(1) the department of child services, if the child is a child inneed of services; or
(2) if subdivision (1) does not apply, the court or other agencymaking the placement.
As added by P.L.1-2005, SEC.10. Amended by P.L.145-2006,SEC.149; P.L.146-2008, SEC.469; P.L.131-2009, SEC.3.
IC 20-26-11-10
Tuition for children of certain state employees and foreignexchange students
Sec. 10. (a) A student who is the child of a state employee whoresides on state owned property, resides on state owned property, oris the child of a full-time employee of a state educational institution,who resides on property owned or operated by the state educationalinstitution and used for educational, research, or public serviceprograms is considered a transferred student if:
(1) the student attends a public school in the school corporationlocated nearest to the student's residence within the county inwhich all or a part of either the state owned property, or theproperty owned or operated by the state supportedpostsecondary institution, is located; or
(2) the state owned property is the Soldiers' and Sailors'Children's Home and the student attends a public school in thecounty in which the home is located or in an adjacent county.
Transfer tuition for a student transferred under this subsection shallbe paid by the state. However, this subsection does not apply tochildren of state employees residing in student housing on propertyowned by any state educational institution.
(b) A foreign student visiting in Indiana under any studentexchange program approved by the state board is considered aresident student with legal settlement in the school corporation wherethe foreign exchange student resides. The student may attend aschool in the school corporation in which the family with whom thestudent is living resides. A school corporation that receives a foreignstudent may not be paid any transfer tuition. The school corporationshall include the foreign student in computations to determine theamount of state aid that it is entitled to receive.
As added by P.L.1-2005, SEC.10. Amended by P.L.2-2007, SEC.212.
IC 20-26-11-11
Tuition for suspended, expelled, or excluded emotionally disturbedstudents
Sec. 11. (a) A school corporation may enter into an agreementwith:
(1) a nonprofit corporation that operates a federally approvededucation program; or
(2) a nonprofit corporation that:
(A) is exempt from federal income taxation under Section501(c)(3) of the Internal Revenue Code;
(B) for its classroom instruction, employs teachers who arecertified by the department;
(C) employs other professionally and state licensed staff asappropriate; and
(D) educates children who:
(i) have been suspended, expelled, or excluded from apublic school in that school corporation and have beenfound to have an emotional disturbance; (ii) have been placed with the nonprofit corporation bycourt order;
(iii) have been referred by a local health department;
(iv) have been placed in a state licensed private or publichealth care or child care facility as described in section 8of this chapter; or
(v) have been placed by or with the consent of thedepartment under IC 20-35-6-2;
in order to provide a student with an individualized educationprogram that is the most suitable educational program available.
(b) If a school corporation that is a transferee corporation entersinto an agreement as described in subsection (a), the schoolcorporation shall pay to the nonprofit corporation an amount agreedupon that may not exceed the total of:
(1) the transfer tuition costs for the student that otherwisewould be payable to the transferee corporation; and
(2) a proportionate amount of any state or local distributions tothe transferee corporation that are computed in any part usingADM or any other student count in which the student isincluded, if the transferee corporation includes the student inthe transferee corporation's ADM for a school year.
(c) If a school corporation that is a transferor corporation entersinto an agreement as described in subsection (a), the schoolcorporation shall pay to the nonprofit corporation an amount agreedupon, which may not exceed the total of:
(1) the transfer tuition costs that otherwise would be payable toa transferee school corporation; and
(2) a proportionate amount of any state or local distributions tothe transferor corporation that are computed in any part usingADM or any other student count in which the student isincluded, if the transferor corporation includes the student inthe transferor corporation's ADM for a school year.
As added by P.L.1-2005, SEC.10. Amended by P.L.246-2005,SEC.131; P.L.99-2007, SEC.169; P.L.159-2007, SEC.2.
IC 20-26-11-12
Interstate transfers
Sec. 12. (a) If a student is transferred under section 5 of thischapter from a school corporation in Indiana to a public schoolcorporation in another state, the transferor corporation shall pay thetransferee corporation the full tuition fee charged by the transfereecorporation. However, the amount of the full tuition fee may notexceed the amount charged by the transferor corporation for the sameclass of school, or if the school does not have the same classification,the amount may not exceed the amount charged by thegeographically nearest school corporation in Indiana that has thesame classification.
(b) If a child is:
(1) placed by or with the consent of the department of childservices in an out-of-state institution or other facility; and (2) provided all educational programs and services by a publicschool corporation in the state where the child is placed,whether at the facility, the public school, or another location;
the department of child services shall pay to the public schoolcorporation in which the child is enrolled, the amount of transfertuition specified in subsection (c).
(c) The transfer tuition for which the department of child servicesis obligated under subsection (b) is equal to the following:
(1) The amount under a written agreement among thedepartment of child services, the institution or other facility,and the governing body of the public school corporation in theother state that specifies the amount and method of computingtransfer tuition.
(2) The full tuition fee charged by the transferee corporation, ifsubdivision (1) does not apply. However, the amount of the fulltuition fee must not exceed the amount charged by thetransferor corporation for the same class of school, or if theschool does not have the same classification, the amount mustnot exceed the amount charged by the geographically nearestschool corporation in Indiana that has the same classification.
(d) If a child is:
(1) placed by or with the consent of the department of childservices in an out-of-state institution or other facility; and
(2) provided:
(A) onsite educational programs and services either throughthe facility's employees or by contract with another personor organization that is not a public school corporation; or
(B) educational programs and services by a nonpublicschool;
the department of child services shall pay in an amount and in themanner specified in a written agreement between the department ofchild services and the institution or other facility.
(e) For purposes of IC 4-13-2, an agreement described insubsection (c) or (d) shall not be treated as a contract.
As added by P.L.1-2005, SEC.10. Amended by P.L.145-2006,SEC.150; P.L.146-2008, SEC.470.
IC 20-26-11-13
Determination of transfer tuition
Sec. 13. (a) As used in this section, the following terms have thefollowing meanings:
(1) "Class of school" refers to a classification of each school orprogram in the transferee corporation by the grades or specialprograms taught at the school. Generally, these classificationsare denominated as kindergarten, elementary school, middleschool or junior high school, high school, and special schoolsor classes, such as schools or classes for special education,career and technical education, or career education.
(2) "Special equipment" means equipment that during a schoolyear: (A) is used only when a child with disabilities is attendingschool;
(B) is not used to transport a child to or from a place wherethe child is attending school;
(C) is necessary for the education of each child withdisabilities that uses the equipment, as determined under theindividualized education program for the child; and
(D) is not used for or by any child who is not a child withdisabilities.
(3) "Student enrollment" means the following:
(A) The total number of students in kindergarten throughgrade 12 who are enrolled in a transferee school corporationon a date determined by the state board.
(B) The total number of students enrolled in a class ofschool in a transferee school corporation on a datedetermined by the state board.
However, a kindergarten student shall be counted under clauses(A) and (B) as one-half (1/2) student. The state board mayselect a different date for counts under this subdivision.However, the same date shall be used for all schoolcorporations making a count for the same class of school.
(b) Each transferee corporation is entitled to receive for eachschool year on account of each transferred student, except a studenttransferred under section 6 of this chapter, transfer tuition from thetransferor corporation or the state as provided in this chapter.Transfer tuition equals the amount determined under STEP THREEof the following formula:
STEP ONE: Allocate to each transfer student the capitalexpenditures for any special equipment used by the transferstudent and a proportionate share of the operating costs incurredby the transferee school for the class of school where thetransfer student is enrolled.
STEP TWO: If the transferee school included the transferstudent in the transferee school's ADM for a school year,allocate to the transfer student a proportionate share of thefollowing general fund revenues of the transferee school for,except as provided in clause (C), the calendar year in which theschool year ends:
(A) State tuition support distributions.
(B) Property tax levies under IC 20-45-7 and IC 20-45-8.
(C) Excise tax revenue (as defined in IC 20-43-1-12)received for deposit in the calendar year in which the schoolyear begins.
(D) Allocations to the transferee school under IC 6-3.5.
STEP THREE: Determine the greater of:
(A) zero (0); or
(B) the result of subtracting the STEP TWO amount fromthe STEP ONE amount.
If a child is placed in an institution or facility in Indiana by or withthe approval of the department of child services, the institution or
facility shall charge the department of child services for the use ofthe space within the institution or facility (commonly called capitalcosts) that is used to provide educational services to the child basedupon a prorated per student cost.
(c) Operating costs shall be determined for each class of schoolwhere a transfer student is enrolled. The operating cost for each classof school is based on the total expenditures of the transfereecorporation for the class of school from its general fund expendituresas specified in the classified budget forms prescribed by the stateboard of accounts. This calculation excludes:
(1) capital outlay;
(2) debt service;
(3) costs of transportation;
(4) salaries of board members;
(5) contracted service for legal expenses; and
(6) any expenditure that is made from extracurricular accountreceipts;
for the school year.
(d) The capital cost of special equipment for a school year is equalto:
(1) the cost of the special equipment; divided by
(2) the product of:
(A) the useful life of the special equipment, as determinedunder the rules adopted by the state board; multiplied by
(B) the number of students using the special equipmentduring at least part of the school year.
(e) When an item of expense or cost described in subsection (c)cannot be allocated to a class of school, it shall be prorated to allclasses of schools on the basis of the student enrollment of each classin the transferee corporation compared with the total studentenrollment in the school corporation.
(f) Operating costs shall be allocated to a transfer student for eachschool year by dividing:
(1) the transferee school corporation's operating costs for theclass of school in which the transfer student is enrolled; by
(2) the student enrollment of the class of school in which thetransfer student is enrolled.
When a transferred student is enrolled in a transferee corporation forless than the full school year of student attendance, the transfertuition shall be calculated by the part of the school year for which thetransferred student is enrolled. A school year of student attendanceconsists of the number of days school is in session for studentattendance. A student, regardless of the student's attendance, isenrolled in a transferee school unless the student is no longer entitledto be transferred because of a change of residence, the student hasbeen excluded or expelled from school for the balance of the schoolyear or for an indefinite period, or the student has been confirmed tohave withdrawn from school. The transferor and the transfereecorporation may enter into written agreements concerning theamount of transfer tuition due in any school year. If an agreement
cannot be reached, the amount shall be determined by the state board,and costs may be established, when in dispute, by the state board ofaccounts.
(g) A transferee school shall allocate revenues described insubsection (b) STEP TWO to a transfer student by dividing:
(1) the total amount of revenues received; by
(2) the ADM of the transferee school for the school year thatends in the calendar year in which the revenues are received.
However, for state tuition support distributions or any other statedistribution computed using less than the total ADM of the transfereeschool, the transferee school shall allocate the revenues to thetransfer student by dividing the revenues that the transferee schoolis eligible to receive in a calendar year by the student count used tocompute the state distribution.
(h) Instead of the payments provided in subsection (b), thetransferor corporation or state owing transfer tuition may enter intoa long term contract with the transferee corporation governing thetransfer of students. The contract may:
(1) be entered into for a period of not more than five (5) yearswith an option to renew;
(2) specify a maximum number of students to be transferred;and
(3) fix a method for determining the amount of transfer tuitionand the time of payment, which may be different from thatprovided in section 14 of this chapter.
(i) A school corporation may negotiate transfer tuition agreementswith a neighboring school corporation that can accommodateadditional students. Agreements under this section may:
(1) be for one (1) year or longer; and
(2) fix a method for determining the amount of transfer tuitionor time of payment that is different from the method, amount,or time of payment that is provided in this section or section 14of this chapter.
A school corporation may not transfer a student under this sectionwithout the prior approval of the child's parent.
As added by P.L.1-2005, SEC.10. Amended by P.L.2-2006, SEC.130;P.L.1-2007, SEC.144; P.L.234-2007, SEC.105; P.L.146-2008,SEC.471.
IC 20-26-11-14
Estimated transfer tuition payments; statements of amount;method of payment
Sec. 14. (a) Not later than March 1, a school corporation shallestimate the:
(1) transfer tuition payments that the school corporation isrequired to pay for students transferring from the schoolcorporation; and
(2) transfer tuition payments that the school corporation isentitled to receive on behalf of students transferring to theschool corporation.A school corporation shall send a preliminary statement of theamount of transfer tuition due to the state agency and to any schoolcorporation that owes transfer tuition to the school corporation.
(b) Not later than October 1 following the end of a school year, aschool corporation shall send a final statement of the amount oftransfer tuition due to the state agency and to any school corporationthat owes transfer tuition to the school corporation.
(c) A statement sent under subsection (a) or (b) must include thefollowing:
(1) A statement, to the extent known, of all transfer tuition costschargeable to the state or school corporation for the school yearending in the current calendar year.
(2) A statement of any transfer tuition costs chargeable to thestate or school corporation and not previously billed for theschool year ending in the immediately preceding calendar year.
(3) A statement of any transfer tuition costs previously billed tothe state or school corporation and not yet paid.
(d) Transfer tuition for each school year shall be paid by thetransferor corporation or state, if the entity is obligated to pay thetuition, in not more than four (4) installments. These installmentsmust be paid not later than October 30, January 10, April 10, andJuly 10 following the school year in which the obligation is incurred,unless another schedule is mutually agreed upon.
(e) Payment of operating costs shall be paid from and receipted tothe respective general funds of the transferor and transfereecorporations. Payment of capital costs shall be made by the transferorcorporation at its discretion from any fund or source and shall bereceipted by the transferee corporation at its discretion either to thecapital projects fund or to the debt service fund, or if the transfereecorporation has neither of these two (2) funds, to its general fund.
As added by P.L.1-2005, SEC.10.
IC 20-26-11-15
Determination by state board
Sec. 15. (a) The state board shall hear the following:
(1) All appeals from an order expelling a child underIC 20-33-8-17.
(2) All appeals provided in this chapter.
(3) All disputes on the following:
(A) Legal settlement.
(B) Right to transfer.
(C) Right to attend school in any school corporation.
(D) Amount of transfer tuition.
(E) Any other matter arising under this chapter.
The board shall hold a hearing on the timely written application ofany interested party.
(b) The state board shall make its determination under thefollowing procedure:
(1) A hearing shall be held on each matter presented.
(2) Each interested party, including where appropriate, the
parents, the student, the transferor corporation, the transfereecorporation, or the state, shall be given at least ten (10) daysnotice of the hearing by certified mail or by personal delivery.
(3) The date of giving the notice is the date of mailing ordelivery.
(4) Any interested party may appear at the hearing in person orby counsel, present evidence, cross-examine witnesses, andpresent in writing or orally summary statements of position.
(5) A written or recorded transcript of the hearing shall bemade.
(6) The hearing may be held by the state board or by a hearingexaminer appointed by it who must be a state employee.
(7) The hearing, at the option of the state board or hearingexaminer, may be held at any place in Indiana.
(8) The hearing examiner shall make written findings of factand recommendations.
(9) The determination of the state board must be made on thebasis of the record, summaries, and findings, but it is requiredto examine only those parts of the entire record as it considersnecessary.
(c) The hearing and proceedings are not governed by IC 4-21.5.
(d) The determination of the state board is final and binding onthe parties to the proceeding.
(e) A notice of the state board's determination shall be mailed toeach party by certified mail. An action to contest the validity of thedecision may not be instituted more than thirty (30) days after themailing of the notice.
As added by P.L.1-2005, SEC.10.
IC 20-26-11-16
Rules of implementation and enforcement; award to prevailingschool corporation
Sec. 16. (a) The provisions to implement this chapter, including:
(1) the calculation of transfer tuition;
(2) the credits for state distribution; and
(3) the time in the year when requests for transfer must be filed;
shall be implemented by rules adopted by the state board.
(b) The state board shall adopt rules for the enforcement of thepayment of transfer tuition. The enforcement may includewithholding state support from the transferor corporation for thebenefit of the transferee corporation, charging interest, penalties forlate payment, and the costs of collection.
(c) If a school corporation prevails at the final adjudication of:
(1) an administrative proceeding under this chapter; or
(2) a lawsuit against a school corporation;
to compel payment of transfer tuition owed by the school corporationunder this chapter, the administrative body or the court shall awardto the prevailing party the transfer tuition owed, if any, plusreasonable attorney's fees and interest as provided by law.
As added by P.L.1-2005, SEC.10.
IC 20-26-11-17
Tuition support reporting requirements
Sec. 17. (a) Each year before the date specified in the rulesadopted by the state board, a school corporation shall report theinformation specified in subsection (b) for each student:
(1) for whom tuition support is paid by another schoolcorporation;
(2) for whom tuition support is paid by the state; and
(3) who is enrolled in the school corporation but has theequivalent of a legal settlement in another state or country;
to the department.
(b) Each school corporation shall provide the followinginformation for each school year for each category of studentdescribed in subsection (a):
(1) The amount of tuition support and other support received forthe students described in subsection (a).
(2) The operating expenses, as determined under section 13 ofthis chapter, incurred for the students described in subsection(a).
(3) Special equipment expenditures that are directly related toeducating students described in subsection (a).
(4) The number of transfer students described in subsection (a).
(5) Any other information required under the rules adopted bythe state board after consultation with the office of the secretaryof family and social services.
(c) The information required under this section shall be reportedin the format and on the forms specified by the state board.
(d) Not later than November 30 of each year the department shallcompile the information required from school corporations under thissection and submit the compiled information in the form specified bythe office of the secretary of family and social services to the officeof the secretary of family and social services.
(e) Not later than December 31 of each year, the office of thesecretary of family and social services shall submit a report to themembers of the budget committee and the executive director of thelegislative services agency that compiles and analyzes theinformation required from school corporations under this section.The report must identify the types of state and local funding changesthat are needed to provide adequate state and local money to educatetransfer students. A report submitted under this subsection to theexecutive director of the legislative services agency must be in anelectronic format under IC 5-14-6.
As added by P.L.1-2005, SEC.10. Amended by P.L.146-2008,SEC.472.
IC 20-26-11-18
Joint liability of health care facility or child care institution fortransfer tuition
Sec. 18. (a) If a student:
(1) has legal settlement in the attendance area of a school
corporation in another state, when legal settlement isdetermined without regard to the appointment of a guardian inIndiana solely to facilitate the placement of the student in afacility described in subdivision (2);
(2) is placed in a state licensed private or public health carefacility, private or public child care institution, or treatmentcenter in Indiana by:
(A) the parent of the student; or
(B) a governmental entity in another state; and
(3) is enrolled in a school corporation in Indiana;
the state licensed private or public health care facility, private orpublic child care institution, or treatment center where the student isplaced, regardless of when the student is placed, is jointly liable withthe person placing the student for transfer tuition under this chapter.
(b) Notwithstanding subsection (a), a sole proprietorship, apartnership, an association, a corporation, a limited liabilitycompany, a fiduciary, an individual who is not the student's parent,or another entity in Indiana that accepts the placement of a studentwho:
(1) has legal settlement in the attendance area of a schoolcorporation in another state; and
(2) is enrolled in a school corporation in Indiana;
is the guarantor for the student's transfer tuition under this chapterunless there is another guarantor. The state board shall hear allappeals under this subsection in accordance with section 15 of thischapter.
As added by P.L.1-2005, SEC.10.
IC 20-26-11-19
Court ordered transfers; application
Sec. 19. (a) This section through section 29 of this chapterconcern the transfer of students for education from one (1) schoolcorporation (transferor corporation) to another school corporation(transferee corporation) in compliance with a court order asdescribed in this section. This chapter applies solely in a situationwhere a court of the United States or of Indiana in a suit to which thetransferor or transferee corporation or corporations are parties hasfound the following:
(1) A transferor corporation has violated the equal protectionclause of the Fourteenth Amendment to the Constitution of theUnited States by practicing de jure racial segregation of thestudents within its borders.
(2) A unitary school system within the meaning of theFourteenth Amendment cannot be implemented within theboundaries of the transferor corporation.
(3) The Fourteenth Amendment compels the court to order atransferor corporation to transfer its students for education toone (1) or more transferee corporations to effect a plan ofdesegregation in the transferor corporation that is acceptablewithin the meaning of the Fourteenth Amendment. (b) This chapter does not apply until all appeals from the order,whether taken by the transferor corporation, any transfereecorporation or any party to the action, have been exhausted or thetime for taking the appeals has expired, except where all stays of atransfer order pending appeal or further court action have beendenied.
As added by P.L.1-2005, SEC.10.
IC 20-26-11-20
Court ordered transfers; definitions
Sec. 20. (a) As used in sections 19 through 29 of this chapter,"class of school" refers to a classification of each school in thetransferee corporation by the grades taught therein (generallydenominated as elementary schools, middle schools or junior highschools, high schools, and special schools such as schools for specialeducation, career and technical education, or career education).Elementary schools include schools containing kindergarten, but forpurposes of this chapter, a kindergarten student shall be counted asone-half (1/2) student.
(b) As used in sections 19 through 29 of this chapter, "transfereecorporation" means the school corporation receiving students undera court order described in section 19 of this chapter.
(c) As used in sections 19 through 29 of this chapter, "transferorcorporation" means the school corporation transferring studentsunder a court order described in section 19 of this chapter.
(d) As used in sections 19 through 29 of this chapter, "transferredstudent" means any student transferred under a court order describedin section 19 of this chapter.
As added by P.L.1-2005, SEC.10. Amended by P.L.2-2006, SEC.131;P.L.234-2007, SEC.106.
IC 20-26-11-21
Court ordered transfers; governing body of transferee corporation
Sec. 21. (a) The governing body of a transferee corporation mayadd two (2) members, one (1) of whom must be a resident of thecontributing geographic area within the transferor corporation fromwhich students are being bused, to the transferee corporation'sgoverning body for each transferor corporation that the transfereecorporation serves. These members are in addition to the number ofmembers of the governing body who are residents of the transfereecorporation.
(b) Each member who is a resident of a contributing transferorcorporation added to the governing body of a transferee corporationby this section:
(1) shall be elected by a majority of all registered and eligiblevoters who vote in each applicable school board election in theschool corporation;
(2) must have the same qualifications, other than residency orproperty ownership, that are required for a member of thegoverning body who is a resident of the transferee corporation;
and
(3) serves for the same number of years as members of thegoverning body who are residents of the transferee corporation.
(c) The members of the governing body of the transfereecorporation shall appoint by majority vote the first additionalmembers of a governing body under this section. The membersappointed under this subsection serve until replacement members areelected under subsections (d) and (e).
(d) The first elected members of a governing body from atransferor corporation shall be elected at the first election after themembers are added under subsection (a):
(1) that occurs in the transferor corporation; and
(2) where one (1) or more members of the governing body ofthe transferor corporation are elected.
The election shall be conducted in the manner required by law for theconduct of elections of governing bodies of school corporations.
(e) This subsection applies to an additional member of agoverning body appointed under subsection (c) to whom subsection(d) does not apply. The first additional elected member of agoverning body must be elected at the first election after themembers are added under subsection (a) where one (1) or moremembers of the governing body of the transferee corporation areelected. The election