Stricken language would be deleted from and underlined language would be added to the law as it existed prior to this session of the General Assembly.
Act 1180 of the Regular Session

A Bill

For An Act To Be Entitled

*SAG121*

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(v) Administrative salary and benefit expenditures The school district budget for the ensuing year, which shall be posted on the

website within thirty (30) days following the date required to be submitted
to the Department of Education; and

                        (vi)  Teacher salary expenditures A financial
breakdown of monthly expenses of the school district;

                        (vii)  Salary schedules for all employees, including
extended contract and supplementary pay amounts;

(viii) Current contract information with all school district employees, except that social security numbers, telephone numbers,

personal addresses, or signatures shall not be published;
                        (ix)  The annual budget of the school district; and

                        (x)  The annual school district statistical report;

and

                  (B)  Each school district's personnel policies required
under § 6-17-201 et seq.;.

(C)(i) Information from the school district's contracts with school district employees and school district salary schedules.

(ii) Each school district or the school district's education service cooperative, if the education service cooperative maintains

the school district's website, shall publish on the school district's website:

(a) The school district's current contract information with all school district employees, except that no social

security numbers, phone numbers, personal addresses, or signatures shall be
published; and

(b) The school district salary schedules, including the salary schedules for regular licensed employees, supplemental

and extended contract schedules, and classified employee schedules; and (D) The annual budget of each school district.

(2) Information and data required to be made available and easily accessible on the school district's website under this section shall be the actual data for the two (2) previous school years and the projected budgeted information for the current school year.

      (b)  The department Department of Education shall make the information
and data required by this section available and easily accessible on the

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department's website by including direct links to the websites of all
Arkansas school districts on the department's website.

SECTION 2. Arkansas Code § 6-13-620 is amended to read as follows: 6-13-620. Powers and duties.
The board of directors of each school district in the state shall be is

charged with the following powers and required to perform the following duties in order to provide no less than a general, suitable, and efficient system of free public schools:

            (1)  Have the care and custody of the schoolhouse, grounds, and
other property belonging to the school district and shall keep it in good
repair and in sanitary and sightly condition;

(2) Lease sixteenth section lands located in the school district, individually or in conjunction with the other boards of directors of other school districts interested in the sixteenth section, as the case may be;

            (3)  Purchase buildings or rent schoolhouses and sites therefor
and sell, rent, or exchange the sites or schoolhouses;

(4)(A) Employ teachers and other employees necessary for the proper conduct of the public schools of the school district and make written contracts with teachers and all other employees in the form prescribed by the State Board of Education.

                  (B)  There shall be three (3) copies of each contract made:
                        (i)  One (1) copy to be retained by the school

district board of directors;
                        (ii)  One (1) copy to be given to the employee; and

(iii)(a) One (1) copy to be forwarded to the county treasurer if the county treasurer serves as treasurer for the school

district.

                              (b)(1)  A county treasurer acting as treasurer
for a public school district shall destroy teacher contracts that have been

filed in his or her office for more than two (2) years.
(2)(A) Within thirty (30) days of the

date a school district replaces a county treasurer with its own school district treasurer, the county treasurer shall destroy all teacher contracts filed in his or her office.

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(B) The county treasurer shall provide written notice to the school district of the date it will destroy the

records.

                                    (3)  The county treasurer shall destroy
teacher contracts in a manner thatwill protect the confidentiality of

personally identifiable information including the name, residence address,
and social security number of the teacher who is a party to the contract.
                  (C)  The issuing of annual contracts to personnel other

than substitute teachers employed on a daily basis and teachers shall be in writing and shall recite the duration of employment, specific duties, and annual salary;

            (5)  See that all subjects for study prescribed by the state
board or by law for all grades of schools in their school district are
taught;

(6) Visit classrooms frequently, but no less than annually, in the schools in their school district while children are present, see to the welfare of the pupils, encourage them in their studies, and assist the teachers in the work so far as they can;

            (7)  Prepare and publish the school district's budget for the
ensuing year, in accordance with § 6-13-622;

(8) Issue warrants on the county treasurer, when the county treasurer serves as treasurer of the school district, in accordance with the provisions of this act for the payment of salaries due teachers and other employees and for any other lawful purposes and state in the warrants the consideration for which each is drawn, provided that the issuance of the warrants for the purposes set out in subdivision (10) of this section shall be governed by the penalty therein set out. The warrant shall be in the form approved by the state board;

(9) Obtain from the county collector and county treasurer information from time to time as to the state of finances of their school district and keep their expenditures safely within the means of the school district;

(10)(A) Buy and pay for out of school district school funds supplies such as fuel, crayons, charts, globes, dictionaries, etc. which may be necessary for the efficient operation of the schools, provided, no warrants shall be issued by any school board of directors for the payment of

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the supplies or services set out in this subdivision (10) until the supplies
or services shall have been delivered to the school.

(B) If any school board of directors or any part of the directors of any school board of directors in the State of Arkansas shall issue warrants in payment of supplies or services prior to the delivery of the supplies or services to the school and if the school district suffers any loss because of the failure of the seller to deliver the supplies or services or because of the defective quality of the supplies or services or for any other reason, then the directors shall be personally liable to the school district for the total amount of loss suffered by the school district;

(11)(A) If in any school district it should be apparent that the schools cannot be operated for the remainder of the school year without incurring more indebtedness than that represented by outstanding bonds and those that may be issued for buildings, equipment for the school buildings, purchasing sites, and repairing school buildings or the improvement of sites, it shall be the duty of the school board of directors to close the school and cease paying the teachers for the remainder of that fiscal year. Each contract made with the teachers shall be subject to that contingency, and the school district shall not be liable for teachers' salaries for the time the school is so closed.

                  (B)  Should any director participate in keeping a school
open and incurring additional expenses which would cause increased

indebtedness of the school district prohibited in this subdivision (11), he
or she shall be liable personally for the amount of the additional
indebtedness.

                  (C)  However, in cases of emergency, the state board may
grant special permission to a school district to create temporary current
indebtedness.

(D) Nothing herein shall prevent any school board of directors from borrowing money from banks, from individuals, or from next year's revenue in order to provide funds in such amount that the maximum nonbonded indebtedness of its school district so incurred shall not be greater than the maximum nonbonded indebtedness of the school district was at any time during the preceding fiscal year.

(E) If any nonbonded debt is funded by the issuance of bonds, the amount so funded shall not be considered in determining the

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maximum amount of nonbonded indebtedness during the preceding fiscal year; (12) Do all other things necessary and lawful for the conduct of

efficient free public schools in the school district;
            (13)  Publish on the school district's website if the school

district has a website:
                  (A)  Minutes of regular and special meetings of the school

board of directors;
                  (B)  The budget for the ensuing year;

district;

      (C)  Financial breakdown of monthly expenses of the school

      (D)  Salary schedule for all employees;
      (E)  The school district's yearly audit; and
      (F)  The annual statistical report; and

(14)  If a school district does not have a website, then:
      (A)  On or before July 1, 2003, the school district's

education service cooperative shall develop a website for the school
district; or

                  (B)  The education service cooperative shall enter into an
agreement with a local city, county, or other local governmental agency to
have the school district's information as required in subdivision (13) of
this section published on an existing local city, county, or other local
governmental agency's website.

            (1)  Attend meetings of the school board;
            (2)  Determine the mission and direction of the school district;
            (3)  Adhere to state and federal laws governing public schools;
            (4)  Enact, enforce, and obey school district policies;
            (5)(A)  Employ staff, including:

                        (i)(a)  A superintendent of schools to oversee the
day-to-day operations of the school district.

                              (b)  A superintendent shall be evaluated
annually or no less often than prior to any extension of his or her

employment contract.

                              (c)  Superintendents and assistant
superintendents may be employed under contract terms and conditions that

incorporate all elements prescribed by the State Board of Education.
                        (ii)(a)  School district employees under initial

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written employment contracts in the form prescribed by the State Board of
Education, not including day- to-day substitutes.

                              (b)  The employment contract shall:
                                    (1)  State the duration of employment,

specific duties of the employee, and the annual salary or hourly wage of the employee, and projected annual earnings in the case of nonexempt employees under applicable state and federal law; and

                                    (2)  Incorporate all personnel policies
adopted by June 30 to be in effect on July 1 of the following employee

contract year, subject to the requirements and exceptions contained in §§ 6-
17-204 and 6-17-205.

(B) Copies of initial written employment contracts and renewed written employment contracts issued in accordance with §§ 6-17-1506 and 6-17-1703 shall be distributed as follows:

                        (i)  One (1) copy to be given to the employee;
                        (ii)  One (1) copy to be retained by the school board

of directors; and

                        (iii)  One (1) copy to be retained by the school
district’s treasurer or bookkeeper;

            (6)  Understand and oversee school district finances required by
law to ensure alignment with the school district’s academic and facility
needs and goals, including without limitation:

                  (A)  Reviewing, adopting, and publishing the school
district’s budget;

                  (B)  Overseeing and monitoring the school district
finances, including:

                        (i)  Revenues;
                        (ii)  Expenditures;
                        (iii)  Investments;
                        (iv)  Debts;
                        (v)  Obligations;
                        (vi)  Inventory; and
                        (vii)  Real property;

(C) Borrowing money as necessary, but in no case shall the school board of directors permit the school district to end the fiscal year with a negative legal balance;

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                  (D)  Entering into contracts for goods and services
necessary to operate the school district;

                  (E)  Buying, selling, renting, and leasing real property
and personal property on behalf of the school district;

                  (F)  Receiving, reviewing, and approving each annual
financial audit report and presenting it to the public;

            (7)  Ensure that:
                  (A)  Necessary and sufficient facilities are built or

obtained, furnished, and maintained;
                  (B)  All properties belonging to the district are managed

and maintained for the benefit of the school district;
            (8)  Approve the selection of curriculum and ensuring students

are offered and taught the courses of study and educational content required by the State Board of Education;

            (9)  Visit district schools and classrooms when students are
present no less than annually and attend some events and functions.

(10) Obtain the training and professional development necessary to serve as active and informed members of the school board of directors; and (11) Do all other things necessary and lawful for the conduct of

efficient free public schools in the school district.

SECTION 3. Arkansas Code § 6-17-204 is amended to read as follows: 6-17-204. Incorporation into teachers' contracts.
(a) The personnel policies of all school districts shall be considered

to be incorporated as terms of the certified personnel contracts and shall be binding upon the certified personnel and the school district.

(b)(1) Any changes or additions to the personnel policies shall not be considered a part of certified personnel contracts until the next fiscal year.

(2)(A) Any changes or additions to the personnel policies may take effect before the next fiscal year only if the changes or additions are approved by a majority of the certified personnel employed by the school district voting by secret ballot.

                  (B)  The voting and counting shall be conducted by the
personnel policy committee.

(3) All changes or additions to the personnel policies or new

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personnel policies shall be made in accordance with this subchapter. (c)(1)(A) A school district may adopt a uniform policy, in accordance

with this subchapter, limiting the number of past years' experience for which all newly employed certified personnel will receive credit on the salary schedule.

(B) The policy shall be written so that a prospective certified employee can determine his or her placement on the salary schedule. Notwithstanding the provisions listed in subsection (b) of this section, any change or addition to the personnel policies adopted by the school board of directors on or before June 30 each year to ensure compliance with state or federal law or regulation shall be considered a part of certified personnel contracts on July 1 of the same calendar year.

(2) Any changes or additions to the personnel policies adopted by the school board of directors between May 1 and June 30 each year that are not required to ensure compliance with state or federal law or regulation shall be considered a part of certified personnel contracts on July 1 of the same calendar year if:

(A) A notice of the change is sent, no later than five (5) working days after final board action, by first class letter to the address on record in the personnel file of each affected employee; and

                  (B)  The notice of change includes:
                        (i)(a)  The new or modified policy.

                              (b)  A modified policy shall be provided in a
form that clearly shows additions underlined and deletions stricken; and
                        (ii)(a)  A provision that states that due to the

policy change, each continuing employee under contract shall have the power to unilaterally exercise the power of rescission within a period of thirty (30) days after the school board of directors takes final action, by providing to the school board of directors a notice of rescission, in the form of a letter of resignation, during the period of thirty (30) days.

(b) For continuing contract employees covered under the Teacher Fair Dismissal Act of 1983, the power of rescission in this

section shall be in addition to the power of rescission provided under § 6-
17-1506.

(2)(d)(1) A school district shall adopt, in accordance with this subchapter, a supplement to the salary schedule for those certified licensed

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staff employed longer than the period covered by the salary schedule and for duties in addition to certified licensed employees' regular teaching assignments.

(3)(2) Compensation policies approved by the personnel policy committee shall not apply to the chief administrator who is charged with administration of salary policy for all employees.

            (4)(3)  No certified person A licensed employee may not waive
payment according to the salary schedule.

(d)(e) Under the provisions of The Educator's Compensation Act of 2001, § 6-17-2101 et seq. [Repealed], §§ 6-5-307(a), and § 6-20-412, no a school district shall be is prohibited from paying certified staff a licensed employee additional salary increases as a supplement to the salary schedule even though the certified staff licensed employee is not employed an additional time period longer than the period covered by the salary schedule or required to perform duties in addition to the certified employees' licensed employee’s regular teaching assignments.

SECTION 4. NOT TO BE CODIFIED. The document attached hereto titled "Prologue" contains the findings concerning the history of school board functions. The document, "Prologue", shall be filed in the journals of the House and Senate.

/s/ Cook

APPROVED:  4/7/2009