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--- version:Introduced Version+++ version:(document, no version)@@ -1,678 +1,773 @@-REFERENCE TITLE: CTEDs; ADM; apportionment; responsibilities--State of Arizona--House of Representatives-+CH+3/17/2026+(602) 926-3848++ARIZONA HOUSE OF REPRESENTATIVES+FLOOR AMENDMENT EXPLANATION+57th Legislature, 2nd Regular Session+Majority Research Staff++HB 4034: CTEDs; ADM; apportionment; responsibilities+GRESS FLOOR AMENDMENT+Expenditure Reporting and Requirements+1. Requires, rather than allows, a career technical education district (CTED)+board to monitor how monies distributed by the CTED are used.+2. Removes the authorization for a CTED board to review and audit each+participating school district's and charter school's use of monies that are+distributed by the CTED as prescribed.+3. Replaces the requirement for a school district or charter school that receives+CTED monies submit to the CTED board financial records, documentation or+information requested by the CTED board with the requirement that the+CTED board maintain any financial records, documentation or information+4. Requires a CTED board to submit to each school district an annual report+relating to CTED expenditures as specified.+5. Directs a CTED board, on request from a participating school district, to+provide additional expenditure information and details.+Capital Plan Requirements+6. Prohibits a school district that is part of a CTED from carrying forward more+than 25% of any CTED monies for any career technical education (CTE)+purpose, as determined by the school district.+7. Allows a school district to apply to the CTED board to use more than 25% of+any monies received from a CTED by submitting a capital plan to the CTED+board with the application.+8. Details requirements that must be met for a school district to spend more than+25% of the monies that it receives from a CTED in any fiscal year.+Intergovernmental Agreement (IGA) or Written Contract Requirements+9. Specifies the IGA or other written contract must be executed by July 1 of the+first year in which a satellite campus CTE course or program will be offered.+10. Deletes the requirement that the IGA or other written contract specify how the+costs of delivering a CTE program or course must be calculated.++Amendment explanation prepared by Chase Houser+Page 2+_________________________________________+11. S+pecifies circumstances in which a school district or charter school may use+funding generated by CTE programs or courses if average daily membership is+insufficient to pay for the costs of delivering of other CTE program or course.+12. Details mediation requirements that must be included in an IGA or other+written contract.+Satellite Campus CTE Program or Course Approval+13. Instructs the CTE Division of the Arizona Department of Education (Division),+if the Division determines a CTE satellite campus course does not meet the+criteria for approval, to provide to the CTED board a written determination+that includes the reasons for the Division's determination.+14. Requires the CTED board and Division to determine whether to approve each+request to add satellite campus CTE programs or courses within ______ days+after receiving the request.+15. Stipulates that if the CTED board does approve a request to add satellite+campus CTE programs or courses, the CTED board must provide to the+member school district or charter school a written determination that includes+the reasons for the CTED board's determination.+16. Allows a participating school district or charter school to amend a request that+is not approved to address the reasons for the disapproval.+17. Requires the CTED board to consider an amended request that is submitted in+the same manner as an initial request.Fifty-seventh Legislature--Second Regular Session--2026--HB 4034--Introduced by--Representative- Gress--AN-ACT--amending section 15-393, Arizona-Revised Statutes; relating to career technical education districts.--(TEXT OF BILL BEGINS ON NEXT PAGE)--Be it enacted by the Legislature of the State of Arizona:--Section 1. Section 15-393, Arizona Revised-Statutes, is amended to read:--START_STATUTE15-393. Career technical education district governing board; report;-definitions--A. The management and-control of a career technical education district are vested in the career-technical education district governing board, including the content and quality-of the courses offered by the district, the quality of teachers who provide-instruction on behalf of the district, the salaries of teachers who provide-instruction on behalf of the district, the funding for the-district's average daily membership and the reimbursement of other-entities for the facilities used by the district. This section does-not restrict a school district from offering any career and technical education-course that does not qualify for funding as a career technical education course-or career technical education district program. Unless the governing-boards of the school districts participating in the formation of the career-technical education district vote to implement an alternative election system-as provided in subsection B of this section, the career technical education-board consists of five members elected from five single member districts formed-within the career technical education district.� The single member district-election system shall be submitted as part of the plan for the career technical-education district pursuant to section 15-392 and shall be established in-the plan as follows:--1. The governing boards of-the school districts participating in the formation of the career technical-education district shall define the boundaries of the single member districts-so that the single member districts are as nearly equal in population as is-practicable, except that if the career technical education district lies in-part in each of two or more counties, at least one single member district may-be entirely within each of the counties comprising the career technical-education district if this district design is consistent with the obligation to-equalize the population among single member districts.--2. The boundaries of each-single member district shall follow election precinct boundary lines, as far as-practicable, in order to avoid further segmentation of the precincts.--3. A person who is a-registered voter of this state and who has been a resident of the single member-district for at least one year immediately preceding the date of the election-is eligible for election to the office of career technical education board-member from the single member district. The terms of office of the-members of the career technical education board shall be as prescribed in-section 15-427, subsection B.� An employee of a career technical-education district or the spouse of an employee shall not hold membership on a-governing board of a career technical education district by which the employee-is employed. A member of one school district governing board or-career technical education district governing board is ineligible to be a-candidate for nomination or election to or serve simultaneously as a member of-any other governing board, except that a member of a governing board may be a-candidate for nomination or election for any other governing board if the-member is serving in the last year of a term of office. A member of-a governing board shall resign the member's seat on the governing board before-becoming a candidate for nomination or election to the governing board of any-other school district or career technical education district, unless the member-of the governing board is serving in the last year of a term of-office. Members of a career technical education district governing-board are subject to the conflict of interest requirements prescribed in-section 38-503.--4. Nominating petitions-shall be signed by the number of qualified electors of the single member-district as provided in section 16-322.--B. The governing boards of-the school districts participating in the formation of the career technical-education district may vote to implement any other alternative election system-for the election of career technical education district board-members. If an alternative election system is selected, it shall be-submitted as part of the plan for the career technical education district-pursuant to section 15-392, and the implementation of the system shall be-as approved by the United States justice department.--C. Career technical-education districts are subject to the following provisions of this title:--1. Chapter 1, articles 1,-2, 3, 4, 5 and 6.--2. Sections 15-208,-15-210, 15-213 and 15-234.--3. Articles 2, 3 and 5 of-this chapter.--4. Section 15-361.--5. Chapter 4, articles 1,-2 and 5.--6. Chapter 5, articles 1-and 3.--7. Sections 15-701.01,-15-722, 15-723, 15-724, 15-727, 15-728, 15-729-and 15-730.--8. Chapter 7, article 5.--9. Chapter 8, articles 1,-3 and 4.--10. Sections 15-828-and 15-829.--11. Chapter 9, article 1,-article 6, except for section 15-995, and article 7.--12. Sections 15-941,-15-943.01, 15-953 and 15-973.--13. Sections 15-1101-and 15-1104.--14. Chapter 10, articles-2, 3, 4 and 8.--D. Notwithstanding-subsection C of this section, the following apply to a career technical-education district:--1. A career technical education district may issue-bonds for the purposes specified in section 15-1021 and in chapter 4,-article 5 of this title to an amount in the aggregate, including the existing-indebtedness, not exceeding one percent of the net assessed value of the full-cash value of the property within the career technical education district. For-the purposes of this paragraph, "full cash value" and "net-assessed value" have the same meanings prescribed in section 42-11001.--2. The number of governing-board members for a career technical education district shall be as prescribed-in subsection A of this section.--3. The student count for-the first year of operation of a career technical education district as-provided in this article shall be determined as follows:--(a) Determine the-estimated student count for career technical education district classes that-will operate in the first year of operation.� This estimate shall be based on-actual registration of pupils as of March 30 scheduled to attend classes that-will be operated by the career technical education district. The-student count for the school district of residence of the pupils registered at-the career technical education district shall be adjusted. The-adjustment shall cause the school district of residence to reduce the student-count for the pupil to reflect the courses to be taken at the career technical-education district.� The school district of residence shall review and approve-the adjustment of its own student count as provided in this subdivision before-the pupils from the school district can be added to the student count of the-career technical education district.--(b) The student count for-the new career technical education district shall be the student count as-determined in subdivision (a) of this paragraph.--(c) For the first year of-operation, the career technical education district shall revise the student-count to the actual average daily membership as prescribed in section 15-901,-subsection A, paragraph 1 for students attending classes in the career-technical education district. A career technical education district-shall revise its student count, the base support level as provided in section-15-943.02, the revenue control limit as provided in section 15-944.01-and the district additional assistance as provided in section 15-962.01-before May 15. A career technical education district that-overestimated its student count shall revise its budget before May-15. A career technical education district that underestimated its-student count may revise its budget before May 15.--(d) After March 15 of the-first year of operation, the school district of residence shall adjust its-student count by reducing it to reflect the courses actually taken at the-career technical education district. The school district of-residence shall revise its student count, the base support level as provided in-section 15-943, the revenue control limit as provided in section 15-944-and the district additional assistance as provided in section 15-962.01-prior to May 15. A district that underestimated the student count-for students attending the career technical education district shall revise its-budget before May 15. A district that overestimated the student-count for students attending the career technical education district may revise-its budget before May 15.--(e) The procedures for implementing this paragraph-shall be as prescribed in the uniform system of financial records.--For the purposes of this paragraph,-"school district of residence" means the school district that-included the pupil in its average daily membership for the year before the-first year of operation of the career technical education district and that-would have included the pupil in its student count for the purposes of-computing its base support level for the fiscal year of the first year of-operation of the career technical education district if the pupil had not-enrolled in the career technical education district.--4. A student includes any person enrolled in the-career technical education district without regard to the person's age or high-school graduation status, except that:--(a) A student in a kindergarten program or in any of-grades one through eight who enrolls in courses offered by the career technical-education district shall not be included in the career technical education-district's student count or average daily membership.--(b) A student in a kindergarten program or in any of-grades one through eight who is enrolled in career and technical education-courses shall not be funded in whole or in part with monies provided by a-career technical education district, except that a pupil in grade eight may be-funded with monies generated by the $.05 qualifying tax rate authorized in+Gress+Second Regular Session H.B. 4034+GRESS FLOOR AMENDMENT+HOUSE OF REPRESENTATIVES AMENDMENTS TO H.B. 4034+(Reference to EDUCATION Committee amendment)+The bill as proposed to be amended is reprinted as follows: 1+Section 1. Section 15-393, Arizona Revised Statutes, is amended to 2+read: 3+15-393. Career technical education boards; report; 4+definitions 5+A.+The management and control of a career technical education6+district are vested in the career technical education [district governing] 7+board, including the content and quality of the courses offered by the 8+district, the quality of teachers who provide instruction on behalf of the 9+district, the salaries of teachers who provide instruction on behalf of 10+the district, THE FUNDING FOR THE DISTRICT'S AVERAGE DAILY MEMBERSHIP and 11+the reimbursement of other entities for the facilities used by the 12+district. This section does not restrict a school district from offering 13+any career and technical education course that does not qualify for 14+funding as a career technical education course or career technical 15+education district program. Unless the governing boards of the school 16+Amendment instruction key:+[GREEN UPPERCASE UNDERLINING IN BRACKETS] indicates that the amendment is adding text to+statute+or previously enacted session law.+[Green lowercase underlining in brackets] indicates that the amendment is adding text to new+session law or is restoring previously stricken text to existing statute.+[GREEN UPPERCASE STRIKEOUT IN BRACKETS] indicates that the amendment is removing new text from+statute or previously enacted session law.+[Green lowercase strikeout in brackets] indicates that the amendment is removing text from+existing statute, previously enacted session law or new session law.+<<Double green carets enclosing an entire section>> indicates that the amendment is adding the+section to the bill.+<<Green strikeout with double green carets enclosing an entire section>> indicates that the+amendment is removing the section to the bill.+{{ORANGE UPPERCASE UNDERLINING IN DOUBLE CURLY BRACKETS}} indicates that the amendment to an+amendment is adding text to statute or previously enacted session law.+{{Orange lowercase underlining in double curly brackets}} indicates that the amendment to an+amendment is adding text to new session law or is restoring previously stricken text to+existing statute.+{{ORANGE UPPERCASE STRIKEOUT IN DOUBLE CURLY BRACKETS}} indicates that the amendment to an+amendment is removing new text from statute or previously enacted session law.+{{Orange lowercase strikeout in double curly brackets}} indicates that the amendment to an+amendment is removing text from existing statute, previously enacted session law or new+session law.+≤≤Double orange underlined carets enclosing an entire section≥≥ indicate that the amendment to+an amendment is adding the section to the bill.+≤≤Orange strikeout with double orange underlined carets enclosing an entire section≥≥+indicates that the amendment to an amendment is removing the section from the bill.+House Amendments to H.B. 4034++-2-+districts participating in the formation of the career technical education 1+district vote to implement an alternative election system as provided in 2+subsection B of this section, the career technical education board 3+consists of five members elected from five single member districts formed 4+within the career technical education district. The single member 5+district election system shall be submitted as part of the plan for the 6+career technical education district pursuant to section 15-392 and shall 7+be established in the plan as follows: 8+1. The governing boards of the school districts participating in 9+the formation of the career technical education district shall define the 10+boundaries of the single member districts so that the single member 11+districts are as nearly equal in population as is practicable, except that 12+if the career technical education district lies in part in each of two or 13+more counties, at least one single member district may be entirely within 14+each of the counties comprising the career technical education district if 15+this district design is consistent with the obligation to equalize the 16+population among single member districts. 17+2. The boundaries of each single member district shall follow 18+election precinct boundary lines, as far as practicable, in order to avoid 19+further segmentation of the precincts. 20+3. A person who is a registered voter of this state and who has 21+been a resident of the single member district for at least one year 22+immediately preceding the date of the election is eligible for election to 23+the office of career technical education board member from the single 24+member district. The terms of office of the members of the career 25+technical education board shall be as prescribed in section 15-427, 26+subsection B. An employee of a career technical education district or the 27+spouse of an employee shall not hold membership on a governing board of a 28+career technical education district by which the employee is employed. A 29+member of one school district governing board or career technical 30+education [district governing] board is ineligible to be a candidate for+31+nomination or election to or serve simultaneously as a member of any other 32+governing board, except that a member of a governing board may be a 33+candidate for nomination or election for any other governing board if the 34+member is serving in the last year of a term of office. A member of a 35+governing board shall resign the member's seat on the governing board 36+before becoming a candidate for nomination or election to the governing 37+board of any other school district or career technical education district, 38+unless the member of the governing board is serving in the last year of a 39+term of office. Members of a career technical education [district 40+governing] board are subject to the conflict of interest requirements 41+prescribed in section 38-503. 42+4. Nominating petitions shall be signed by the number of qualified 43+electors of the single member district as provided in section 16-322. 44+B. The governing boards of the school districts participating in 45+the formation of the career technical education district may vote to 46+implement any other alternative election system for the election of career 47+technical education [district] board members. If an alternative election 48+system is selected, it shall be submitted as part of the plan for the 49+House Amendments to H.B. 4034++-3-+career technical education district pursuant to section 15-392, and the 1+implementation of the system shall be as approved by the United States 2+justice department. 3+C. Career technical education districts are subject to the 4+following provisions of this title: 5+1. Chapter 1, articles 1, 2, 3, 4, 5 and 6. 6+2. Sections 15-208, 15-210, 15-213 and 15-234. 7+3. Articles 2, 3 and 5 of this chapter. 8+4. Section 15-361. 9+5. Chapter 4, articles 1, 2 and 5. 10+6. Chapter 5, articles 1 and 3. 11+7. Sections 15-701.01, 15-722, 15-723, 15-724, 15-727, 15-728, 12+15-729 and 15-730. 13+8. Chapter 7, article 5. 14+9. Chapter 8, articles 1, 3 and 4. 15+10. Sections 15-828 and 15-829. 16+11. Chapter 9, article 1, article 6, except for section 15-995, and 17+article 7. 18+12. Sections 15-941, 15-943.01, 15-953 and 15-973. 19+13. Sections 15-1101 and 15-1104. 20+14. Chapter 10, articles 2, 3, 4 and 8. 21+D. Notwithstanding subsection C of this section, the following 22+apply to a career technical education district: 23+1. A career technical education district may issue bonds for the 24+purposes specified in section 15-1021 and in chapter 4, article 5 of this 25+title to an amount in the aggregate, including the existing indebtedness, 26+not exceeding one percent of the net assessed value of the full cash value 27+of the property within the career technical education district. For the 28+purposes of this paragraph, "full cash value" and "net assessed value" 29+have the same meanings prescribed in section 42-11001. 30+2. The number of governing board members for a career technical 31+education district shall be as prescribed in subsection A of this section. 32+3. The student count for the first year of operation of a career 33+technical education district as provided in this article shall be 34+determined as follows: 35+(a) Determine the estimated student count for career technical 36+education district classes that will operate in the first year of 37+operation. This estimate shall be based on actual registration of pupils 38+as of March 30 scheduled to attend classes that will be operated by the 39+career technical education district. The student count for the school 40+district of residence of the pupils registered at the career technical 41+education district shall be adjusted. The adjustment shall cause the 42+school district of residence to reduce the student count for the pupil to 43+reflect the courses to be taken at the career technical education 44+district. The school district of residence shall review and approve the 45+adjustment of its own student count as provided in this subdivision before 46+the pupils from the school district can be added to the student count of 47+the career technical education district. 48+House Amendments to H.B. 4034++-4-+(b) The student count for the new career technical education 1+district shall be the student count as determined in subdivision (a) of 2+this paragraph. 3+(c) For the first year of operation, the career technical education 4+district shall revise the student count to the actual average daily 5+membership as prescribed in section 15-901, subsection A, paragraph 1 for 6+students attending classes in the career technical education district. A 7+career technical education district shall revise its student count, the 8+base support level as provided in section 15-943.02, the revenue control 9+limit as provided in section 15-944.01 and the district additional 10+assistance as provided in section 15-962.01 before May 15. A career 11+technical education district that overestimated its student count shall 12+revise its budget before May 15. A career technical education district 13+that underestimated its student count may revise its budget before May 15. 14+(d) After March 15 of the first year of operation, the school 15+district of residence shall adjust its student count by reducing it to 16+reflect the courses actually taken at the career technical education 17+district. The school district of residence shall revise its student 18+count, the base support level as provided in section 15-943, the revenue 19+control limit as provided in section 15-944 and the district additional 20+assistance as provided in section 15-962.01 prior to May 15. A district 21+that underestimated the student count for students attending the career 22+technical education district shall revise its budget before May 15. A 23+district that overestimated the student count for students attending the 24+career technical education district may revise its budget before May 15. 25+(e) The procedures for implementing this paragraph shall be as 26+prescribed in the uniform system of financial records. 27+For the purposes of this paragraph, "school district of residence" means 28+the school district that included the pupil in its average daily 29+membership for the year before the first year of operation of the career 30+technical education district and that would have included the pupil in its 31+student count for the purposes of computing its base support level for the 32+fiscal year of the first year of operation of the career technical 33+education district if the pupil had not enrolled in the career technical 34+education district. 35+4. A student includes any person enrolled in the career technical 36+education district without regard to the person's age or high school 37+graduation status, except that: 38+(a) A student in a kindergarten program or in any of grades one 39+through eight who enrolls in courses offered by the career technical 40+education district shall not be included in the career technical education 41+district's student count or average daily membership. 42+(b) A student in a kindergarten program or in any of grades one 43+through eight who is enrolled in career and technical education courses 44+shall not be funded in whole or in part with monies provided by a career 45+technical education district, except that a pupil in grade eight may be 46+funded with monies generated by the $.05 qualifying tax rate authorized in 47subsection F of this section.--(c) A student who has graduated from high school or-received a general equivalency diploma or who is over twenty-one years of-age shall not be included in the student count of the career technical-education district for the purposes of chapter 9, articles 3, 4 and 5 of this-title.--5. A career technical education district may operate-for more than one hundred eighty days per year, or less, with the equivalent-number of hours of instruction.--6. A career technical education district may use the-carryforward provisions of section 15-943.01.--7. A school district that is part of a career-technical education district shall use any monies received pursuant to this-article to supplement and not supplant base year career and technical education-courses, and directly related equipment and facilities, except that a school-district that is part of a career technical education district and that has-used monies received pursuant to this article to supplant career and technical-education courses that were offered before the first year that the school district-participated in the career technical education district or the first year that-the school district used monies received pursuant to this article or that used-the monies for purposes other than for career and technical education courses-shall use one hundred percent of the monies received pursuant to this article-to supplement and not supplant base year career and technical education-courses. Each applicable school district shall provide a report to-the career technical education board and the department of education outlining-the required maintenance of effort and how monies were used to supplement and-not supplant base year career and technical education courses and directly-related equipment and facilities. The career-technical education board may monitor, review and audit each participating-school district's and each charter school's use of monies that are distributed-by the career technical education district pursuant to this article to ensure-that the school district or charter school uses the monies to supplement and-not supplant federal, state or local funding for career and technical-education.� Each school district and charter school that receives monies-pursuant to this article shall submit to the career technical EDUCATION BOARD-any financial records, documentation or information requested by the board that-is reasonably necessary for the oversight authorized by this paragraph.--8. A career technical education district shall use-any monies received pursuant to this article to enhance and not supplant career-and technical education courses and directly related equipment and facilities.--9. A career technical education district or a school-district that is part of a career technical education district or a charter-school shall only include pupils in grades nine through twelve and pupils in-the school year immediately following graduation in the calculation of student-count or average daily membership if the pupils are enrolled in courses that-are approved jointly by the governing board of the career technical education-district and each participating school district or charter school for satellite-courses taught within the participating school district or charter school, or-approved solely by the career technical education district for centrally-located courses. Funding may be provided for not more than four-years for the same student. Student count and average daily-membership from courses that are not part of an approved program for career and-technical education shall not be included in student count and average daily-membership of a career technical education district.--10. A career technical education district may build,-maintain and provide housing facilities and support services for students who-are in foster care or who meet the definition of unaccompanied youth as defined-in the McKinney-Vento homeless assistance act (P.L. 100-77; 101-Stat. 482; 42 United States Code section 11434a).--E. The career technical education board shall-appoint a superintendent as the executive officer of the career technical-education district.--F. Taxes may be levied for the support of the career-technical education district as prescribed in chapter 9, article 6 of this-title, except that a career technical education district shall not levy a-property tax pursuant to law that exceeds $.05 per $100 assessed valuation-except for bond monies pursuant to subsection D, paragraph 1 of this section.�-Such taxes shall be obtained from a levy of taxes on the taxable property used-for secondary tax purposes.--G. The schools in the career technical education-district are available to all persons who reside in the career technical-education district and to pupils whose school district of residence within this-state is paying tuition on behalf of the pupils to a district of attendance-that is a member of the career technical education district, subject to the-rules for admission prescribed by the career technical education board.--H. The career technical education board may collect-tuition for adult students and the attendance of pupils who are residents of-school districts that are not participating in the career technical education-district pursuant to arrangements made between the governing board of the-school district and the career technical education board.--I. The career technical education board may accept-gifts, grants, federal monies, tuition and other allocations of monies to-erect, repair and equip buildings and for the cost of operating the schools of-the career technical education district.--J. One member of the career technical education-board shall be selected chairperson. The chairperson shall be-selected annually on a rotation basis from among the participating school-districts. The chairperson of the career technical education board-shall be a voting member.--K. A career technical education board may enter into-agreements to provide for administrative, operational and educational services-and facilities with either:--1. A community college district.--2. A university under the jurisdiction of the-Arizona board of regents only if the community college district, if any, for-each county in which the career technical education district is located is not-able to offer the course or program in the next school year.� For the purposes-of this paragraph, a community college district is not able to offer a course-or program if both of the following apply:--(a) On or before November 1 of each year, the career-technical education board notifies the president or chancellor of the community-college district in writing that the career technical education district seeks-to offer one or more courses or programs, or both, that are both:--(i) Not offered through an existing agreement-between the career technical education board and the community college-district.--(ii) Are Available through a-university under the jurisdiction of the Arizona board of regents.--(b) The president or chancellor of the community-college district either:--(i) Not later than thirty days after the president-or chancellor receives the notice pursuant to subdivision (a) of this-paragraph, notifies the superintendent of the career technical education-district in writing that no community college district is able to offer the-course or program in the next school year.--(ii) Fails to respond to the superintendent of the-career technical education district within thirty days after the president or-chancellor of the community college district receives the notice pursuant to-subdivision (a) of this paragraph.--L. Any agreement between the governing board of a-career technical education district and another career technical education-district, a school district, a charter school, a university or a community-college district shall be in the form of an intergovernmental agreement or-other written contract.� The auditor general shall modify the uniform system of-financial records and budget forms in accordance with this subsection.� The-intergovernmental agreement or other written contract shall completely and-accurately specify each of the following:--1. The financial provisions of the intergovernmental-agreement or other written contract and the format for the billing of all-services.--2. The accountability provisions of the-intergovernmental agreement or other written contract.--3. The responsibilities of each career technical-education district, each school district, each charter school, each university-and each community college district that is a party to the intergovernmental-agreement or other written contract.--4. The type of instruction that will be provided-under the intergovernmental agreement or other written contract, including-individualized education programs pursuant to section 15-763.--5. The quality of the instruction, as-determined by the career technical education district governing board,-that will be provided under the intergovernmental agreement or other written-contract.--6. The transportation services that will be provided-under the intergovernmental agreement or other written contract and the manner-in which transportation costs will be paid.--7. The amount that the career technical education-district will contribute to a course and the amount of support required by the-school district, the charter school, the university or the community college.--8. That, the-services provided by if the average daily membership-generated by a program or course is insufficient to pay for the costs of-delivering the program or course, the career technical education-district, the school district, the charter school, the university or the-community college district be proportionally calculated in the-cost of delivering the service shall pay a proportional-share of the cost of delivery, as calculated by the career technical education-district governing board.--9. That the payment for services shall not exceed-the cost of the services provided.--10. That the career technical education district-will provide the following minimum services for all member districts:--(a) Professional development of career and technical-teachers in the career technical education district who are teaching programs-or courses at a satellite campus.--(b) Ongoing evaluation and support of satellite-campus programs and courses to ensure quality and compliance.--11. An itemized listing of other goods and services-that are provided to the member district and that are paid for by the retention-of satellite campus student funding.--M. A member school district or charter school may-not submit requests to approve or add satellite campus career technical-education district programs or courses directly to the career and technical-education division of the department of education but shall submit all-appropriate application documentation and materials for programs or courses to-the career technical education district. On approval from the career-technical education board, a career technical education district shall only-submit requests to approve or add satellite campus career technical education-district programs or courses directly to the career and technical education-division of the department of education, which shall determine whether the-criteria prescribed in section 15-391, paragraphs 2 and 4 have been met.�-If the career and technical education division of the department of education-determines that a course does not meet the criteria for approval as a career-technical education course, the governing board of the career technical-education district may appeal this decision to the state board of education-acting as the state board of vocational education.--N. Notwithstanding any other law, the average daily-membership for a pupil who is enrolled in a career technical education course-and who does not meet the criteria specified in subsection P, Q or R of this-section shall be 0.25 for each course, except the sum of the average daily-membership shall not exceed the limits prescribed by subsection D, P, Q or R of-this section, as applicable.--O. If a career and technical education course or-program is provided on a satellite campus, the sum of the average daily-membership, as provided in section 15-901, subsection A, paragraph 1, for-that pupil in the school district or charter school and career technical-education district shall not exceed 1.25.� The school district or charter-school and the career technical education district shall determine the apportionment-of the average daily membership for that pupil between the school district or-charter school and the career technical education district,-except that at least 0.25 of the average daily membership for that pupil must-be allocated to the career technical education district unless an-intergovernmental agreement or written contract between the school district or-charter school and the career technical education district pursuant to-subsection L of this section prescribes a different apportionment. A-pupil who attends a course or program at a satellite campus and who is not-enrolled in the school district or charter school where the satellite campus is-located may generate the average daily membership of up to 0.25 for one hundred-fifty instructional hours of enrollment for instruction received during any-hour of the day, during any day of the week and at any time between July 1 and-June 30 of each fiscal year pursuant to this subsection if the pupil is-enrolled in a school district that is a member district in the same career-technical education district.--P. The sum of the average daily membership of a-pupil who is enrolled in both the school district and career technical-education course or career technical education program provided by a community-college or university pursuant to subsection K of this section or at a-centralized campus shall not exceed 1.75. The average daily-membership for a pupil who is enrolled in a career technical education course-or career technical education program provided by a community college or university-shall be 0.25 for the accumulation of every three community college or-university credits for which a student is enrolled in career technical-education courses. The member school district and the career-technical education district shall determine the apportionment of the average-daily membership and student enrollment for that pupil between the member-school district and the career technical education district, except that the-amount apportioned shall not exceed 1.0 for either entity.� Notwithstanding any-other law, the average daily membership for a pupil who is in grade nine, ten,-eleven or twelve or in the school year immediately following graduation and who-is enrolled in a course that meets for at least one hundred fifty minutes per-class period at a centralized campus shall be 0.75. To qualify for-funding pursuant to this subsection, a centralized campus shall offer programs-and courses to all eligible students in each member district of the career-technical education district. Students in an approved career-technical education program may generate an average daily membership of up to-1.75 for instruction received during any hour of the day, during any day of the-week and at any time between July 1 and June 30 of each fiscal year. Average-daily membership shall not be calculated on the one hundredth day of-instruction for the purposes of this section. Average daily-membership shall be calculated by dividing the instructional hours of-enrollment by six hundred hours, except that:--1. At least one hundred fifty hours and less than-three hundred hours equals 0.25 average daily membership.--2. At least three hundred hours and less than four-hundred fifty hours equals 0.5 average daily membership.--3. At least four hundred fifty hours and less than-six hundred hours equals 0.75 average daily membership.--4. At least six hundred hours equals 1.0 average-daily membership.--Q. The average daily membership for a pupil who is-in grade nine, ten, eleven or twelve or in the school year immediately-following graduation and who is enrolled in a course that meets for at least-one hundred fifty minutes per class period at a leased centralized campus shall-not exceed 0.75. Students in an approved career technical education-program provided by a leased centralized campus may generate an average daily-membership for instruction received during any hour of the day, during any day-of the week and at any time between July 1 and June 30 of each fiscal-year. Average daily membership shall be calculated by dividing the-instructional hours of enrollment by six hundred hours, except that:--1. At least one hundred fifty hours and less than-three hundred hours equals 0.25 average daily membership.--2. At least three hundred hours and less than four-hundred fifty hours equals 0.5 average daily membership.--3. At least four hundred fifty hours and less than-six hundred hours equals 0.75 average daily membership.--4. At least six hundred hours equals 1.0 average-daily membership.--R. The sum of the average daily membership, as-provided in section 15-901, subsection A, paragraph 1, of a pupil who is-enrolled in both the school district and in career technical education courses-provided at a leased centralized campus shall not exceed 1.75 if all of the-following conditions are met:--1. The course qualifies as a career technical-education course.--2. The course is offered to all eligible students in-each member district of the career technical education district and enrolls-students from multiple high schools.--3. The career technical education district program-in which the course is included addresses a specific industry need and has been-developed in cooperation with that industry, or the leased facility is a state-or federal asset that would otherwise be unused or underutilized.--4. The lease is established at fair market value if-the lease is executed for a facility located on the site of a member district-and was approved by the joint committee on capital review, except that a lease-that was executed or renewed before December 31, 2012 is not subject to-approval by the joint committee on capital review.--S. A student who is enrolled in an accommodation-school may be treated as a student of the school district in which the student-physically resides for the purposes of enrollment in a career technical-education district and shall be included in the calculation of average daily-membership for either the career technical education district or the-accommodation school, or both.--T. Notwithstanding any other law, the student count-for a career technical education district shall be is equivalent to the career technical education district's-average daily membership. Students in an approved career technical-education program provided by a satellite campus, centralized campus or leased-centralized campus may generate an average daily membership subject to the-limits prescribed by subsections D, N, O, P, Q and R of this section, as-applicable, for instruction received during any hour of the day, during any day-of the week and at any time between July 1 and June 30 of each fiscal-year. Average daily membership shall not be calculated on the one-hundredth day of instruction for the purposes of this section. The-department may not restrict the instructional time by limiting the particular-days of the week or time of the fiscal year for instruction to occur.� The career technical education district board is responsible for any-funding related to the career technical education district's average daily-membership.--U. A school district or charter school may not-prohibit or discourage students who are enrolled in that school district or-charter school from attending courses offered by a career technical education-district, including requiring students to generate a full 1.0 average daily-membership or to enroll in more courses than are needed to graduate before-enrolling in and attending programs or courses offered by a career technical-education district.--V. The governing board of the career technical-education district may contract with any charter school that is located within-the boundaries of the career technical education district to allow that charter-school to offer career and technical education courses or programs as a satellite-campus.--W. Beginning in 2020 and every five years-thereafter, the career and technical education division of the department of-education shall review career technical education district programs and career-technical education courses to ensure compliance, quality and-eligibility. Any program or course deemed to not meet the-requirements set forth by law shall not be funded for the current school year-and shall be removed from the approved program and course list for the purposes-of funding. The career and technical education division may-establish a staggered schedule for reviewing each career technical education-district.--X. Notwithstanding subsection D, paragraphs 4 and 9-and subsections P, Q and R of this section, for a student in grade nine,-funding shall be provided pursuant to this section only if the student reaches-the fortieth day of grade eleven enrolled in an approved career technical-education program and meets the requirements prescribed in subsection Z of this-section. At that time funding shall be provided for that student for-grade nine and for any subsequent year in which the student is eligible for-funding pursuant to this section.--Y. On or before September 1 of each year, the office-of economic opportunity in collaboration with the department of education shall-compile an in-demand regional education list of the approved career technical-education programs that lead to a career path in high demand with median-to-high-wage-jobs in that region. The office of economic opportunity shall-incorporate industry feedback as part of developing the in-demand regional-educational list. The office of economic opportunity shall submit-the in-demand regional education list to the Arizona career and technical-education quality commission for review and approval.--Z. Notwithstanding subsection D, paragraphs 4 and 9-and subsections P, Q and R of this section, for a student in grade nine or in-the school year immediately following graduation, funding shall be provided-pursuant to this section only if the student is enrolled in a program that was-included on the in-demand regional education list compiled pursuant to-subsection Y of this section for that student's region for the year in which-the student began the program.--AA. For the purposes of this section:--1. "Base year" means the complete school-year in which voters of a school district elected to join a career technical-education district.--2. "Centralized campus" means a facility-that is owned and operated by a career technical education district to offer-career technical education district programs or career technical education-courses.--3. "Lease" means a written agreement in-which the right to occupy or use real property is conveyed from one person or-entity to another person or entity for a specified period of time.--4. "Leased centralized campus" means a-facility that is leased and operated by a career technical education district-to offer career technical education district programs or career technical-education courses.--5. "Satellite campus" means a facility-that is owned or operated by a school district or charter school to offer-career technical education district programs or career technical education-courses. END_STATUTE+48+House Amendments to H.B. 4034++-5-+(c) A student who has graduated from high school or received a 1+general equivalency diploma or who is over twenty-one years of age shall 2+not be included in the student count of the career technical education 3+district for the purposes of chapter 9, articles 3, 4 and 5 of this title. 4+5. A career technical education district may operate for more than 5+one hundred eighty days per year, or less, with the equivalent number of 6+hours of instruction. 7+6. A career technical education district may use the carryforward 8+provisions of section 15-943.01. 9+7. A school district that is part of a career technical education 10+district shall use any monies received pursuant to this article to 11+supplement and not supplant base year career and technical education 12+courses, and directly related equipment and facilities, except that a 13+school district that is part of a career technical education district and 14+that has used monies received pursuant to this article to supplant career 15+and technical education courses that were offered before the first year 16+that the school district participated in the career technical education 17+district or the first year that the school district used monies received 18+pursuant to this article or that used the monies for purposes other than 19+for career and technical education courses shall use one hundred percent 20+of the monies received pursuant to this article to supplement and not 21+supplant base year career and technical education courses. Each 22+applicable school district shall provide a report to the career technical 23+education board and the department of education outlining the required 24+maintenance of effort and how monies were used to supplement and not 25+supplant base year career and technical education courses and directly 26+related equipment and facilities. THE CAREER TECHNICAL EDUCATION BOARD 27+{{MAY}} {{SHALL}} MONITOR{{, REVIEW AND AUDIT EACH PARTICIPATING SCHOOL+28+DISTRICT'S AND EACH CHARTER SCHOOL'S USE OF}} {{HOW}} MONIES THAT ARE 29+DISTRIBUTED BY THE CAREER TECHNICAL EDUCATION DISTRICT PURSUANT TO THIS 30+ARTICLE {{TO ENSURE THAT THE SCHOOL DISTRICT OR CHARTER SCHOOL USES THE 31+MONIES TO SUPPLEMENT AND NOT SUPPLANT FEDERAL, STATE OR LOCAL FUNDING FOR 32+CAREER AND TECHNICAL EDUCATION}} {{ARE USED}}. {{EACH SCHOOL DISTRICT AND 33+CHARTER SCHOOL THAT RECEIVES MONIES PURSUANT TO THIS ARTICLE SHALL SUBMIT 34+TO}} THE CAREER TECHNICAL EDUCATION BOARD {{SHALL MAINTAIN}} ANY FINANCIAL 35+RECORDS, DOCUMENTATION OR INFORMATION {{REQUESTED BY THE [CAREER TECHNICAL 36+EDUCATION] BOARD}} THAT IS REASONABLY NECESSARY FOR THE {{OVERSIGHT 37+AUTHORIZED BY}} {{PURPOSES OF}} THIS PARAGRAPH. [THE CAREER TECHNICAL 38+EDUCATION BOARD SHALL SUBMIT TO EACH {{PARTICIPATING}} SCHOOL DISTRICT 39+{{THAT IS PART OF THE CAREER TECHNICAL EDUCATION DISTRICT A QUARTERLY}} 40+{{AN ANNUAL}} REPORT THAT INCLUDES THE AGGREGATE CAREER TECHNICAL 41+EDUCATION DISTRICT EXPENDITURES AND THE CAREER TECHNICAL EDUCATION 42+DISTRICT EXPENDITURES {{FOR THE BENEFIT OF}} {{THAT DIRECTLY SUPPORT 43+CAREER TECHNICAL EDUCATION COURSES OR PROGRAMS THAT ARE PROVIDED AT}} EACH 44+PARTICIPATING SCHOOL DISTRICT.] {{ON REQUEST FROM A PARTICIPATING SCHOOL 45+DISTRICT, THE CAREER TECHNICAL EDUCATION BOARD SHALL PROVIDE ADDITIONAL 46+INFORMATION AND DETAILS ABOUT THE EXPENDITURES.}} 47+House Amendments to H.B. 4034++-6-+8. A career technical education district shall use any monies 1+received pursuant to this article to enhance and not supplant career and 2+technical education courses and directly related equipment and facilities. 3+9. A career technical education district or a school district that 4+is part of a career technical education district or a charter school shall 5+only include pupils in grades nine through twelve and pupils in the school 6+year immediately following graduation in the calculation of student count 7+or average daily membership if the pupils are enrolled in courses that are 8+approved jointly by the governing board of the career technical education 9+district and each participating school district or charter school for 10+satellite courses taught within the participating school district or 11+charter school, or approved solely by the career technical education 12+district for centrally located courses. Funding may be provided for not 13+more than four years for the same student. Student count and average 14+daily membership from courses that are not part of an approved program for 15+career and technical education shall not be included in student count and 16+average daily membership of a career technical education district. 17+10. A career technical education district may build, maintain and 18+provide housing facilities and support services for students who are in 19+foster care or who meet the definition of unaccompanied youth as defined 20+in the McKinney-Vento homeless assistance act (P.L. 100-77; 101 Stat. 482; 21+42 United States Code section 11434a). 22+{{11. NOTWITHSTANDING PARAGRAPH 7 OF THIS SUBSECTION, A SCHOOL+23+DISTRICT THAT IS PART OF A CAREER TECHNICAL EDUCATION DISTRICT MAY CARRY 24+FORWARD NOT MORE THAN TWENTY-FIVE PERCENT OF ANY MONIES RECEIVED PURSUANT 25+TO THIS ARTICLE FOR ANY PURPOSE RELATED TO CAREER TECHNICAL EDUCATION, AS 26+DETERMINED BY THE SCHOOL DISTRICT. A SCHOOL DISTRICT MAY APPLY TO THE 27+CAREER TECHNICAL EDUCATION BOARD TO USE MORE THAN TWENTY-FIVE PERCENT OF 28+ANY MONIES RECEIVED PURSUANT TO THIS ARTICLE BY SUBMITTING A CAPITAL PLAN 29+TO THE CAREER TECHNICAL EDUCATION BOARD WITH THE APPLICATION. THE SCHOOL 30+DISTRICT MAY SPEND MORE THAN TWENTY-FIVE PERCENT OF THE MONIES THAT THE 31+SCHOOL DISTRICT RECEIVES PURSUANT TO THIS ARTICLE IN ANY FISCAL YEAR ONLY 32+IF BOTH OF THE FOLLOWING REQUIREMENTS ARE MET: 33+(a) THE CAREER TECHNICAL EDUCATION BOARD APPROVES THE SCHOOL 34+DISTRICT'S CAPITAL PLAN BEFORE THE EXCESS EXPENDITURES OCCUR. 35+(b) ALL EXCESS EXPENDITURES ARE PURSUANT TO THE CAPITAL PLAN.}} 36+E. The career technical education board shall appoint a 37+superintendent as the executive officer of the career technical education 38+district. 39+F. Taxes may be levied for the support of the career technical 40+education district as prescribed in chapter 9, article 6 of this title, 41+except that a career technical education district shall not levy a 42+property tax pursuant to law that exceeds $.05 per $100 assessed valuation 43+except for bond monies pursuant to subsection D, paragraph 1 of this 44+section. Such taxes shall be obtained from a levy of taxes on the taxable 45+property used for secondary tax purposes. 46+G. The schools in the career technical education district are 47+available to all persons who reside in the career technical education 48+district and to pupils whose school district of residence within this 49+House Amendments to H.B. 4034++-7-+state is paying tuition on behalf of the pupils to a district of 1+attendance that is a member of the career technical education district, 2+subject to the rules for admission prescribed by the career technical 3+education board. 4+H. The career technical education board may collect tuition for 5+adult students and the attendance of pupils who are residents of school 6+districts that are not participating in the career technical education 7+district pursuant to arrangements made between the governing board of the 8+school district and the career technical education board. 9+I. The career technical education board may accept gifts, grants, 10+federal monies, tuition and other allocations of monies to erect, repair 11+and equip buildings and for the cost of operating the schools of the 12+career technical education district. 13+J. One member of the career technical education board shall be 14+selected chairperson. The chairperson shall be selected annually on a 15+rotation basis from among the participating school districts. The 16+chairperson of the career technical education board shall be a voting 17+member. 18+K. A career technical education board may enter into agreements to 19+provide for administrative, operational and educational services and 20+facilities with either: 21+1. A community college district. 22+2. A university under the jurisdiction of the Arizona board of 23+regents only if the community college district, if any, for each county in 24+which the career technical education district is located is not able to 25+offer the course or program in the next school year. For the purposes of 26+this paragraph, a community college district is not able to offer a course 27+or program if both of the following apply: 28+(a) On or before November 1 of each year, the career technical 29+education board notifies the president or chancellor of the community 30+college district in writing that the career technical education district 31+seeks to offer one or more courses or programs, or both, that are BOTH: 32+(i) Not offered through an existing agreement between the career 33+technical education board and the community college district. 34+(ii) Are Available through a university under the jurisdiction of+35+the Arizona board of regents. 36+(b) The president or chancellor of the community college district 37+either: 38+(i) Not later than thirty days after the president or chancellor 39+receives the notice pursuant to subdivision (a) of this paragraph, 40+notifies the superintendent of the career technical education district in 41+writing that no community college district is able to offer the course or 42+program in the next school year. 43+(ii) Fails to respond to the superintendent of the career technical 44+education district within thirty days after the president or chancellor of 45+the community college district receives the notice pursuant to subdivision 46+(a) of this paragraph. 47+L. Any agreement between {{the governing board of}} a career 48+technical education {{district}} {{BOARD}} and another career technical 49+House Amendments to H.B. 4034++-8-+education {{district}} {{BOARD}}, a school district, a charter school, a+1+university or a community college district shall be in the form of an 2+intergovernmental agreement or other written contract [THAT IS EXECUTED ON 3+OR BEFORE JULY 1 OF THE FIRST YEAR IN WHICH {{A CAREER TECHNICAL EDUCATION 4+COURSE OR PROGRAM WILL BE OFFERED AT A SATELLITE CAMPUS PURSUANT TO}} THE 5+AGREEMENT OR CONTRACT {{IS EFFECTIVE}}]. The auditor general shall modify 6+the uniform system of financial records and budget forms in accordance 7+with this subsection. The intergovernmental agreement or other written 8+contract shall completely and accurately specify each of the following: 9+1. The financial provisions of the intergovernmental agreement or 10+other written contract and the format for the billing of all services. 11+2. The accountability provisions of the intergovernmental agreement 12+or other written contract. 13+3. The responsibilities of each career technical education 14+district, each school district, each charter school, each university and 15+each community college district that is a party to the intergovernmental 16+agreement or other written contract. 17+4. The type of instruction that will be provided under the 18+intergovernmental agreement or other written contract, including 19+individualized education programs pursuant to section 15-763. 20+5. The quality of [the instruction, AS DETERMINED BY THE CAREER 21+TECHNICAL EDUCATION DISTRICT GOVERNING BOARD,] [EACH INSTRUCTOR, INCLUDING 22+THE MINIMUM QUALIFICATIONS, RELEVANT INDUSTRY EXPERIENCE AND 23+INDUSTRY-RELEVANT PROFESSIONAL DEVELOPMENT,] that will be provided under 24+the intergovernmental agreement or other written contract. [THE SCHOOL 25+DISTRICT, THE CHARTER SCHOOL, THE UNIVERSITY OR THE COMMUNITY COLLEGE 26+DISTRICT SHALL OVERSEE THE EVALUATION OF THE INSTRUCTOR UNLESS THE 27+INTERGOVERNMENTAL AGREEMENT OR WRITTEN CONTRACT PROVIDES OTHERWISE.] 28+6. The transportation services that will be provided under the 29+intergovernmental agreement or other written contract and the manner in 30+which transportation costs will be paid. 31+7. The amount that the career technical education district will 32+contribute to a course and the amount of support required by the school 33+district, the charter school, the university or the community college. 34+{{8. That[,] [the services provided by] [IF THE AVERAGE DAILY 35+MEMBERSHIP GENERATED BY A PROGRAM OR COURSE IS INSUFFICIENT TO PAY FOR THE 36+COSTS OF DELIVERING THE PROGRAM OR COURSE,] the career technical education 37+district, the school district, the charter school, the university or the 38+community college district [be proportionally calculated in the cost of 39+delivering the service] [SHALL PAY A PROPORTIONAL SHARE OF THE COST OF 40+DELIVERY, AS CALCULATED BY THE CAREER TECHNICAL EDUCATION DISTRICT 41+GOVERNING BOARD].}} 42+{{9.}} {{8.}} That the payment for services shall not exceed the 43+cost of the services provided. [IF THE AVERAGE DAILY MEMBERSHIP THAT IS 44+GENERATED BY A {{SATELLITE}} PROGRAM OR COURSE IS INSUFFICIENT TO PAY FOR 45+THE COSTS OF DELIVERING THE PROGRAM OR COURSE {{AT THE SCHOOL DISTRICT OR 46+CHARTER SCHOOL}}, THE PARTICIPATING SCHOOL DISTRICT {{OR CHARTER SCHOOL}} 47+MAY USE FUNDING THAT IS GENERATED BY OTHER {{CAREER TECHNICAL EDUCATION}} 48+PROGRAMS OR COURSES AND THAT EXCEEDS THE COSTS OF DELIVERING THE OTHER 49+House Amendments to H.B. 4034++-9-+{{CAREER TECHNICAL EDUCATION}} PROGRAMS OR COURSES TO PAY FOR THE+1+SHORTFALL.] 2+{{10.}} {{9.}} That the career technical education district will 3+provide the following minimum services for all member districts: 4+(a) Professional development of career and technical teachers in 5+the career technical education district who are teaching programs or 6+courses at a satellite campus. 7+(b) Ongoing evaluation and support of satellite campus programs and 8+courses to ensure quality and compliance. 9+{{11.}} {{10.}} An itemized listing of other goods and services 10+that are provided to the member district and that are paid for by the 11+retention of satellite campus student funding. 12+[{{12.}} {{11.}} THAT ANY PARTY TO THE INTERGOVERNMENTAL AGREEMENT 13+OR WRITTEN CONTRACT MAY {{FILE A COMPLAINT WITH THE STATE BOARD OF 14+VOCATIONAL EDUCATION UNDER RULES ADOPTED BY THE STATE BOARD OF EDUCATION 15+ACTING AS THE STATE BOARD OF VOCATIONAL EDUCATION REGARDING A DISPUTE 16+ARISING FROM THE INTERGOVERNMENTAL AGREEMENT OR WRITTEN CONTRACT. THE 17+STATE BOARD OF EDUCATION SHALL RESOLVE ANY COMPLAINT THAT IS SUBMITTED 18+PURSUANT TO THIS PARAGRAPH NOT LATER THAN THIRTY DAYS AFTER IT RECEIVES 19+THE COMPLAINT AND ANY REQUIRED DOCUMENTATION}} {{BRING AN ACTION AGAINST 20+ANOTHER PARTY UNDER THE AGREEMENT OR CONTRACT ONLY AFTER PARTICIPATING IN 21+GOOD FAITH IN MEDIATION THAT IS ADMINISTERED BY A TRAINED AND IMPARTIAL 22+MEDIATOR. EACH PARTY IS RESPONSIBLE FOR PAYING ANY COSTS INCURRED BY THE 23+PARTY FOR THE MEDIATION, INCLUDING COSTS INCURRED FOR LEGAL 24+REPRESENTATION, AND THE PARTY'S PRO RATA SHARE OF THE MEDIATION FEES}}. 25+{{13.}} {{12.}} THAT IF A CAREER TECHNICAL EDUCATION DISTRICT AND 26+A SCHOOL DISTRICT DO NOT AGREE TO A SPECIFIED APPORTIONMENT ON OR BEFORE 27+JULY 1, THE STATE BOARD OF EDUCATION ACTING AS THE STATE BOARD OF 28+VOCATIONAL EDUCATION SHALL MEDIATE THE DISPUTE AND DETERMINE THE 29+APPORTIONMENT FOR THE SCHOOL YEAR NOT LATER THAN AUGUST 1.] 30+M. A member school district or charter school may not submit 31+requests to approve or add satellite campus career technical education 32+district programs or courses directly to the career and technical 33+education division of the department of education but shall submit all 34+appropriate application documentation and materials for programs or 35+courses to the career technical education district. On approval from the 36+career technical education board, a career technical education district 37+shall only submit requests to approve or add satellite campus career 38+technical education district programs or courses directly to the career 39+and technical education division of the department of education, which 40+shall determine whether the criteria prescribed in section 15-391, 41+paragraphs 2 and 4 have been met. If the career and technical education 42+division of the department of education determines that a course does not 43+meet the criteria for approval as a career technical education course, 44+{{the governing board of}} {{THE DIVISION SHALL PROVIDE TO}} the career 45+technical education {{district}} {{BOARD A WRITTEN DETERMINATION THAT 46+INCLUDES THE REASONS FOR THE DIVISION'S DETERMINATION, AND THE CAREER 47+TECHNICAL EDUCATION BOARD}} may appeal {{this decision}} {{THE 48+DETERMINATION}} to the state board of education acting as the state board 49+House Amendments to H.B. 4034++-10-+of vocational education. [THE CAREER TECHNICAL EDUCATION BOARD AND THE+1+CAREER AND TECHNICAL EDUCATION DIVISION OF THE DEPARTMENT OF EDUCATION 2+SHALL ACCEPT AND CONSIDER REQUESTS PURSUANT TO THIS SUBSECTION FROM JULY 1 3+THROUGH JUNE 30 OF EACH YEAR {{AND SHALL DETERMINE WHETHER TO APPROVE EACH 4+REQUEST NOT LATER THAN _____ DAYS AFTER RECEIVING THE REQUEST. IF THE 5+CAREER TECHNICAL EDUCATION BOARD DOES NOT APPROVE A REQUEST, THE CAREER 6+TECHNICAL EDUCATION BOARD SHALL PROVIDE TO THE MEMBER SCHOOL DISTRICT OR 7+CHARTER SCHOOL A WRITTEN DETERMINATION THAT INCLUDES THE REASONS FOR THE 8+CAREER TECHNICAL EDUCATION BOARD'S DETERMINATION. A PARTICIPATING SCHOOL 9+DISTRICT OR CHARTER SCHOOL MAY AMEND A REQUEST THAT IS NOT APPROVED 10+PURSUANT TO THIS SUBSECTION TO ADDRESS THE REASONS FOR THE DISAPPROVAL. 11+THE CAREER TECHNICAL EDUCATION BOARD SHALL CONSIDER AN AMENDED REQUEST 12+THAT IS SUBMITTED PURSUANT TO THIS SUBSECTION IN THE SAME MANNER AS AN 13+INITIAL REQUEST}}.] 14+N. Notwithstanding any other law, the average daily membership for 15+a pupil who is enrolled in a career technical education course and who 16+does not meet the criteria specified in subsection P, Q or R of this 17+section shall be 0.25 for each course, except the sum of the average daily 18+membership shall not exceed the limits prescribed by subsection D, P, Q or 19+R of this section, as applicable. 20+O. If a career and technical education course or program is 21+provided on a satellite campus, the sum of the average daily membership, 22+as provided in section 15-901, subsection A, paragraph 1, for that pupil 23+in the school district or charter school and career technical education 24+district shall not exceed 1.25. [The school district or charter school 25+and the career technical education district shall determine the 26+apportionment] Of the [1.25] average daily membership [, A MAXIMUM OF 1.0 27+SHALL BE ATTRIBUTED TO THE SCHOOL DISTRICT OR CHARTER SCHOOL AND A MAXIMUM 28+OF 0.25 SHALL BE ATTRIBUTED TO THE CAREER TECHNICAL EDUCATION DISTRICT, 29+UNLESS OTHERWISE APPORTIONED PURSUANT TO AN INTERGOVERNMENTAL AGREEMENT.] 30+[for that pupil between the school district or charter school and the 31+career technical education district, EXCEPT THAT AT LEAST 0.25 OF THE 32+AVERAGE DAILY MEMBERSHIP FOR THAT PUPIL MUST BE ALLOCATED TO THE CAREER 33+TECHNICAL EDUCATION DISTRICT UNLESS AN INTERGOVERNMENTAL AGREEMENT OR 34+WRITTEN CONTRACT BETWEEN] THE SCHOOL DISTRICT OR CHARTER SCHOOL AND THE 35+CAREER TECHNICAL EDUCATION DISTRICT [SHALL DETERMINE THE] [PURSUANT TO 36+SUBSECTION L OF THIS SECTION PRESCRIBES A DIFFERENT] APPORTIONMENT [OF THE 37+0.25 AVERAGE DAILY MEMBERSHIP PURSUANT TO A FULLY EXECUTED 38+INTERGOVERNMENTAL AGREEMENT. IN THE ABSENCE OF A FULLY EXECUTED 39+INTERGOVERNMENTAL AGREEMENT, THE SCHOOL DISTRICT OR CHARTER SCHOOL SHALL 40+NOT REPORT AN AVERAGE DAILY MEMBERSHIP FOR A SATELLITE CAMPUS COURSE OR 41+PROGRAM, AND AVERAGE DAILY MEMBERSHIP SHALL NOT BE GENERATED FOR THAT 42+COURSE OR PROGRAM] . A pupil who attends a course or program at a 43+satellite campus and who is not enrolled in the school district or charter 44+school where the satellite campus is located may generate the average 45+daily membership of up to 0.25 for one hundred fifty instructional hours 46+of enrollment for instruction received during any hour of the day, during 47+any day of the week and at any time between July 1 and June 30 of each 48+fiscal year pursuant to this subsection if the pupil is enrolled in a 49+House Amendments to H.B. 4034++-11-+school district that is a member district in the same career technical 1+education district. 2+P. The sum of the average daily membership of a pupil who is 3+enrolled in both the school district and career technical education course 4+or career technical education program provided by a community college or 5+university pursuant to subsection K of this section or at a centralized 6+campus shall not exceed 1.75. The average daily membership for a pupil 7+who is enrolled in a career technical education course or career technical 8+education program provided by a community college or university shall be 9+0.25 for the accumulation of every three community college or university 10+credits for which a student is enrolled in career technical education 11+courses. The member school district and the career technical education 12+district shall determine the apportionment of the average daily membership 13+and student enrollment for that pupil between the member school district 14+and the career technical education district, except that the amount 15+apportioned shall not exceed 1.0 for either entity. Notwithstanding any 16+other law, the average daily membership for a pupil who is in grade nine, 17+ten, eleven or twelve or in the school year immediately following 18+graduation and who is enrolled in a course that meets for at least one 19+hundred fifty minutes per class period at a centralized campus shall be 20+0.75. To qualify for funding pursuant to this subsection, a centralized 21+campus shall offer programs and courses to all eligible students in each 22+member district of the career technical education district. Students in 23+an approved career technical education program may generate an average 24+daily membership of up to 1.75 for instruction received during any hour of 25+the day, during any day of the week and at any time between July 1 and 26+June 30 of each fiscal year. Average daily membership shall not be 27+calculated on the one hundredth day of instruction for the purposes of 28+this section. Average daily membership shall be calculated by dividing 29+the instructional hours of enrollment by six hundred hours, except that: 30+1. At least one hundred fifty hours and less than three hundred 31+hours equals 0.25 average daily membership. 32+2. At least three hundred hours and less than four hundred fifty 33+hours equals 0.5 average daily membership. 34+3. At least four hundred fifty hours and less than six hundred 35+hours equals 0.75 average daily membership. 36+4. At least six hundred hours equals 1.0 average daily membership. 37+Q. The average daily membership for a pupil who is in grade nine, 38+ten, eleven or twelve or in the school year immediately following 39+graduation and who is enrolled in a course that meets for at least one 40+hundred fifty minutes per class period at a leased centralized campus 41+shall not exceed 0.75. Students in an approved career technical education 42+program provided by a leased centralized campus may generate an average 43+daily membership for instruction received during any hour of the day, 44+during any day of the week and at any time between July 1 and June 30 of 45+each fiscal year. Average daily membership shall be calculated by 46+dividing the instructional hours of enrollment by six hundred hours, 47+except that: 48+House Amendments to H.B. 4034++-12-+1. At least one hundred fifty hours and less than three hundred 1+hours equals 0.25 average daily membership. 2+2. At least three hundred hours and less than four hundred fifty 3+hours equals 0.5 average daily membership. 4+3. At least four hundred fifty hours and less than six hundred 5+hours equals 0.75 average daily membership. 6+4. At least six hundred hours equals 1.0 average daily membership. 7+R. The sum of the average daily membership, as provided in section 8+15-901, subsection A, paragraph 1, of a pupil who is enrolled in both the 9+school district and in career technical education courses provided at a 10+leased centralized campus shall not exceed 1.75 if all of the following 11+conditions are met: 12+1. The course qualifies as a career technical education course. 13+2. The course is offered to all eligible students in each member 14+district of the career technical education district and enrolls students 15+from multiple high schools. 16+3. The career technical education district program in which the 17+course is included addresses a specific industry need and has been 18+developed in cooperation with that industry, or the leased facility is a 19+state or federal asset that would otherwise be unused or underutilized. 20+4. The lease is established at fair market value if the lease is 21+executed for a facility located on the site of a member district and was 22+approved by the joint committee on capital review, except that a lease 23+that was executed or renewed before December 31, 2012 is not subject to 24+approval by the joint committee on capital review. 25+S. A student who is enrolled in an accommodation school may be 26+treated as a student of the school district in which the student 27+physically resides for the purposes of enrollment in a career technical 28+education district and shall be included in the calculation of average 29+daily membership for either the career technical education district or the 30+accommodation school, or both. 31+T. Notwithstanding any other law, the student count for a career 32+technical education district shall be IS equivalent to the career+33+technical education district's average daily membership. Students in an 34+approved career technical education program provided by a satellite 35+campus, centralized campus or leased centralized campus may generate an 36+average daily membership subject to the limits prescribed by subsections 37+D, N, O, P, Q and R of this section, as applicable, for instruction 38+received during any hour of the day, during any day of the week and at any 39+time between July 1 and June 30 of each fiscal year. Average daily 40+membership shall not be calculated on the one hundredth day of instruction 41+for the purposes of this section. The department may not restrict the 42+instructional time by limiting the particular days of the week or time of 43+the fiscal year for instruction to occur. THE CAREER TECHNICAL EDUCATION 44+[DISTRICT] BOARD IS RESPONSIBLE FOR ANY FUNDING RELATED TO THE CAREER 45+TECHNICAL EDUCATION DISTRICT'S AVERAGE DAILY MEMBERSHIP. 46+U. A school district or charter school may not prohibit or 47+discourage students who are enrolled in that school district or charter 48+school from attending courses offered by a career technical education 49+House Amendments to H.B. 4034++-13-+district, including requiring students to generate a full 1.0 average 1+daily membership or to enroll in more courses than are needed to graduate 2+before enrolling in and attending programs or courses offered by a career 3+technical education district. 4+V. The governing board of the career technical education district 5+may contract with any charter school that is located within the boundaries 6+of the career technical education district to allow that charter school to 7+offer career and technical education courses or programs as a satellite 8+campus. 9+W. Beginning in 2020 and every five years thereafter, the career 10+and technical education division of the department of education shall 11+review career technical education district programs and career technical 12+education courses to ensure compliance, quality and eligibility. Any 13+program or course deemed to not meet the requirements set forth by law 14+shall not be funded for the current school year and shall be removed from 15+the approved program and course list for the purposes of funding. The 16+career and technical education division may establish a staggered schedule 17+for reviewing each career technical education district. 18+X. Notwithstanding subsection D, paragraphs 4 and 9 and subsections 19+P, Q and R of this section, for a student in grade nine, funding shall be 20+provided pursuant to this section only if the student reaches the fortieth 21+day of grade eleven enrolled in an approved career technical education 22+program and meets the requirements prescribed in subsection Z of this 23+section. At that time funding shall be provided for that student for 24+grade nine and for any subsequent year in which the student is eligible 25+for funding pursuant to this section. 26+Y. On or before September 1 of each year, the office of economic 27+opportunity in collaboration with the department of education shall 28+compile an in-demand regional education list of the approved career 29+technical education programs that lead to a career path in high demand 30+with median-to-high-wage jobs in that region. The office of economic 31+opportunity shall incorporate industry feedback as part of developing the 32+in-demand regional educational list. The office of economic opportunity 33+shall submit the in-demand regional education list to the Arizona career 34+and technical education quality commission for review and approval. 35+Z. Notwithstanding subsection D, paragraphs 4 and 9 and subsections 36+P, Q and R of this section, for a student in grade nine or in the school 37+year immediately following graduation, f unding shall be provided pursuant 38+to this section only if the student is enrolled in a program that was 39+included on the in-demand regional education list compiled pursuant to 40+subsection Y of this section for that student's region for the year in 41+which the student began the program. 42+AA. For the purposes of this section: 43+1. "Base year" means the complete school year in which voters of a 44+school district elected to join a career technical education district. 45+2. "Centralized campus" means a facility that is owned and operated 46+by a career technical education district to offer career technical 47+education district programs or career technical education courses. 48+House Amendments to H.B. 4034++-14-+3. "Lease" means a written agreement in which the right to occupy 1+or use real property is conveyed from one person or entity to another 2+person or entity for a specified period of time. 3+4. "Leased centralized campus" means a facility that is leased and 4+operated by a career technical education district to offer career 5+technical education district programs or career technical education 6+courses. 7+5. "Satellite campus" means a facility that is owned or operated by 8+a school district or charter school to offer career technical education 9+district programs or career technical education courses. 10++Enroll and engross to conform 11+Amend title to conform 12++MATT GRESS++4034FloorGRESS.docx+03/17/2026+09:40 AM+H: CH/ra+130WEZDGV++4034FloorGRESS.docx+03/16/2026+11:26 AM+C: VS+130MTISZZ
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