AN ACT

 

1Amending the act of March 10, 1949 (P.L.30, No.14), entitled "An
2act relating to the public school system, including certain 
3provisions applicable as well to private and parochial 
4schools; amending, revising, consolidating and changing the 
5laws relating thereto," <-in preliminary provisions, providing 
6for public school web accountability and transparency; in 
7grounds and buildings, further providing for approval by 
8department of plans of buildings and exceptions, providing 
9for accountability and reducing costs in construction 
10process, further providing for limitation on new applications 
11for Department of Education approval of public school 
12building projects; in terms and courses of study, <-adding 
13winter <-providing for payments or reimbursements relating to 
14secretary declaration of weather emergency provisions <-and 
15further providing for days schools not to be kept open.;<- and, 
16in reimbursements by Commonwealth and between school 
17districts, further providing for definitions, for approved 
18reimbursable rental for leases, hereafter approved and 
19approved reimbursable sinking fund charges on indebtedness, 
20for payments on account of leases hereafter approved and on 
21account of sinking fund charges on indebtedness for school 
22building hereafter constructed and for payments on account of 
23building costs, providing for lump sum reimbursement for 
24construction or reconstruction.

25The General Assembly Finds and declares as follows:

26(1) It is important that public schools operate as
27efficiently as possible and are responsible in their use of

1taxpayer funds.

2(2) It is important that school districts have the
3flexibility to plan for the school year in response to
4potential weather emergencies while ensuring consistent
5Commonwealth subsidy.

6(3) It is important that the school construction
7reimbursement process operate in an efficient and timely
8manner in order to provide school districts with revenue
9stability, and that this process encourage fiscal
10responsibility.

11(4) It is the purpose of this act to provide for
12increased efficiencies, flexibility in planning and revenue
13stability for public schools, and to encourage public schools
14to be fiscally responsible.

15(5) This act will:

16(i) Provide for a searchable, public Internet
17website that will allow taxpayers to monitor public
18school efficiency by reviewing public school receipts,
19expenditures and performance.

20(ii) Provide for revenue certainty and flexibility
21in planning for school districts by ensuring that school
22districts that satisfy the minimum instructional day
23requirement through alternative means will not suffer a
24loss of Commonwealth subsidy as a result of weather
25emergencies.

26(iii) Modernize the school construction 
27reimbursement process so as to allow school districts to 
28apply for reimbursement more efficiently, provide for 
29increased transparency in the school construction 
30reimbursement process, provide for more timely school
 

1construction reimbursement, and encourage school 
2districts to utilize funds for school construction in a 
3responsible and cost-effective manner.

4The General Assembly of the Commonwealth of Pennsylvania
5hereby enacts as follows:

<-6Section 1. Sections 1501.7(a), (b), (d), (g) and (h) and
71502(c) of the act of March 10, 1949 (P.L.30, No.14), known as
8the Public School Code of 1949, amended or added May 6, 1966
9(P.L.150, No.28), are amended to read:

10Section 1501.7. Weather [Emergency] Emergencies of 1996 and
112014.--(a) This section applies only to the school year 1995-
121996 as a result of the weather emergency of 1996 and to the
13school year 2013-2014 as a result of the weather emergency of
142014.

15(b) All school entities shall keep open for at least one
16hundred eighty (180) days of instruction for students by using
17all available days through June 30, 1996, for the school year
181995-1996 and all available days through June 30, 2014, for the
19school year 2013-2014 and by using the provisions of this
20section and section 1502(c).

21* * *

22(d) For purposes of computing instructional time pursuant to
23this section, the Secretary of Education shall calculate
24instructional days or time related to the weather emergency of
251996 or 2014 prior to calculating any other lost instructional
26time.

27* * *

28(g) No temporary professional or professional employe of any
29school closed by reason of the weather emergency of 1996 or 2014
30shall receive more or less compensation than that to which the

1employe would otherwise have been entitled to receive from the
2school entity had the weather emergency of 1996 or 2014 not
3occurred.

4(h) No school entity which was closed because of the weather
5emergency of 1996 or 2014 and which makes a good faith effort,
6as determined by the Secretary of Education, to meet the
7requirements of this section shall receive less subsidy payments
8or reimbursements than it would otherwise be entitled to receive
9for the school year 1995-1996 had the weather emergency of 1996
10not occurred or for the school year 2013-2014 had the weather
11emergency of 2014 not occurred.

12* * *

13Section 1502. Days Schools not to be Kept Open.--* * *

14(c) For the school [year] years 1995-1996 and 2013-2014
15only, the board of school directors of a school district,
16intermediate unit or area vocational-technical school and the
17board of trustees of a charter school shall have the option of
18rescheduling instructional days on Saturday, but for not more
19than one Saturday per month, to make up instructional days lost
20from the adopted school calendar because school was closed as a
21result of the weather emergency of 1996 or 2014, respectively.
22In those cases where a board of school directors or board of
23trustees chooses to reschedule instructional days on Saturdays
24in accordance with the provisions of this section, schools
25within such board's jurisdiction shall not schedule tests or
26examinations on these Saturdays. Notwithstanding the provisions
27of subsection (a) or section 1719-A(12), if the board of school
28directors or board of trustees reschedules an instructional day
29on Saturday, the schools may be open the following Monday. The
30chief executive officer of a charter school shall excuse

1students from school attendance as provided in section 1501.7(e)
2and (f).

3Section 2. This act shall take effect immediately.

<-4Section 1. Article I of the act of March 10, 1949 (P.L.30, 
5No.14), known as the Public School Code of 1949, is amended by 
6adding a subarticle heading to read:

7(a) General Provisions.

8Section 2. Article I of the act is amended by adding a
9subarticle to read:

10(b) Public School Web Accountability

11and Transparency (SchoolWATCH).

12Section 151. Scope of subarticle.

13This subarticle shall be known and may be cited as the Public
14School Web Accountability and Transparency (SchoolWATCH) Law.

15Section 152. Definitions.

16The following words and phrases when used in this subarticle
17shall have the meanings given to them in this section unless the
18context clearly indicates otherwise:

19"Administrative staff." Employees of a public school entity
20that include, but are not limited to, superintendents, assistant
21superintendents, deputy superintendents, principals, assistant
22principals, supervisors, managers, directors and coordinators.

23"Advisory committee." The advisory committee established in
24section 155.

25"Area vocational-technical school." As defined in section
261841.

27"Charter school." As defined in section 1703-A.

28"Charter school entity." A charter school, cyber charter
29school or regional charter school as defined in section 1703-A.

30"Cyber charter school." As defined in section 1703-A.

1"Department." The Department of Education of the
2Commonwealth.

3"Entity." Any of the following:

4(1) A corporation, association, limited liability
5company or limited liability partnership.

6(2) An individual who is not an employee of the public
7school entity.

8(3) Any other legal business entity, including a
9nonprofit, a grantee, a contractor and a sole proprietor.

10(4) Any political subdivision or other local government
11entity.

12"Expenditure and performance measure." An annual measure
13developed by the department in consultation with the advisory
14committee that compares the public school entity instructional
15expenditures for each public school entity to that public school
16entity's student academic performance. The measure shall
17include, but not be limited to, academic growth as measured by
18the Pennsylvania Value-Added Assessment System.

19"Funding action or expenditure." A payment by a public
20school entity to include:

21(1) A grant.

22(2) A loan.

23(3) Reimbursement.

24(4) Payment made pursuant to the purchase of goods and
25services, excluding employee salaries, or to a construction
26or other contract.

27(5) Payment of debt service.

28(6) Payments made pursuant to a formula.

29(7) Payments to political subdivisions or other local
30government entities.

1"Funding source." A public school entity's general fund or
2special funds.

3"Public school entity." Any of the following:

4(1) An area vocational-technical school, as defined in
5section 1841.

6(2) A school district, as defined in section 102.

7(3) A charter school entity.

8"Public school entity instructional expenditures."
9Expenditures made from the General Fund for instructional and
10support services by the public school entity as reported on the
11public school entity's most recent annual financial report, to
12be determined by the department in consultation with the
13advisory committee. The term shall include, but not be limited
14to, all functions related to instruction and support services
15pursuant to the Manual of Accounting and Related Financial
16Procedures.

17"Regional charter school." As defined in section 1703-A.

18"SchoolWATCH." The searchable, public Internet website to be
19established by the department under this subarticle.

20"Secretary." The Secretary of Education of the Commonwealth.

21Section 153. Annual financial reports to be posted.

22Within 90 days of the effective date of this subarticle, and
23by December 31 of each year thereafter, the department shall
24post on its publicly accessible Internet website, as the first
25phase of a searchable, public Internet website to be called
26SchoolWATCH, the most recent annual financial reports for each
27public school entity submitted to the secretary pursuant to
28section 218(a). The department shall post SchoolWATCH in a
29location and in a manner that is easily accessible to the public
30and shall include on SchoolWATCH all explanatory references that

1may be necessary to assist website users in understanding the
2content of public school entities' annual financial reports.

3Section 154. Annual budgets to be posted.

4(a) Filing.--Within 11 months of the effective date of this
5subarticle, and by September 1 of each year thereafter, each
6public school entity shall file with the department an
7electronic copy of its most recent final adopted budget.

8(b) Posting.--Within one year of the effective date of this
9subarticle, and by October 1 of each year thereafter, the
10department shall post on SchoolWATCH, as the second phase of
11SchoolWATCH, the final adopted budgets for each public school
12entity filed with the department pursuant to subsection (a) and
13shall include on SchoolWATCH all explanatory references that may
14be necessary to assist website users in understanding the
15content of public school entities' final adopted budgets.

16Section 155. Searchable database.

17(a) Development.--

18(1) Within 45 days of the effective date of this
19subarticle, the department shall convene an advisory
20committee to develop plans for the department's development
21and establishment of the following:

22(i) the third phase of SchoolWATCH, which shall
23consist of a searchable database detailing certain
24information concerning receipts and expenditures by
25public school entities; and

26(ii) the fourth phase of SchoolWATCH, under which
27the expenditure and performance measure for each public
28school entity shall be added to the searchable database.

29(2) The advisory committee shall consist of the
30following:

1(i) The following members, to be appointed by the
2secretary in consultation with education associations
3representing school districts, charter school entities
4and area vocational-technical schools:

5(A) Five school district business managers.

6(B) Three charter school entity business
7managers.

8(C) Three area vocational-technical school
9business managers.

10(ii) The chairman and minority chairman of the
11Education Committee of the Senate.

12(iii) The chairman and minority chairman of the
13Education Committee of the House of Representatives.

14(iv) Two members who shall be selected by the
15secretary from among the citizens of this Commonwealth.

16(3) The following shall apply to the advisory committee:

17(i) The advisory committee shall:

18(A) Develop a plan for the department's
19establishment of a searchable, public Internet
20database, which shall impose no additional cost on
21public school entities, that the department shall
22establish, place online and fully implement as the
23third phase of SchoolWATCH within two years of the
24effective date of this subarticle, provided that the
25department may extend the implementation date for the
26third phase of SchoolWATCH by one year by publishing
27notice of the extension in the Pennsylvania Bulletin
28within two years of the effective date of this
29subarticle.

30(B) Determine the manner and frequency of

1reporting to the department by public school
2entities, which shall be no less frequent than
3quarterly.

4(C) Within nine months of the effective date of
5this subarticle, issue a report to the Governor and
6the General Assembly setting forth a plan for the
7department's development of the Internet database
8that the department is required to establish pursuant
9to subclause (A).

10(ii) The advisory committee may consider including 
11on the Internet database individual salary information
12for employees who are not administrative staff.

13(iii) In developing a plan for the department's
14establishment of the Internet database, the advisory
15committee shall consider the following:

16(A) How the Internet database established under
17this act can be coordinated with existing databases
18and electronic reporting systems.

19(B) Whether any current public school entity
20reporting requirements that may be duplicated by the
21reporting requirements of this act may be eliminated.

22(C) Development of an efficient and transparent
23method for the department and public school entities
24to comply with the reporting requirements of this
25subarticle.

26(iv) The department shall provide the advisory
27committee with administrative and technical support,
28including the assistance of department information
29technology and budget staff, meeting space and any other
30assistance required by the advisory committee to carry

1out its duties under this subarticle.

2(b) Internet database contents.--

3(1) The Internet database the department is required to
4establish pursuant to subsection (a) shall provide only the
5following information for each public school entity, unless
6the provision of such information conflicts with other
7Federal or State law:

8(i) The name and business address of the public
9school entity.

10(ii) The total amount of funding received by the
11public school entity from, and broken down by, each of
12the following sources and deposited in the public school
13entity's general fund or special fund during the previous
14reporting period:

15(A) Federal.

16(B) State.

17(C) Local.

18(D) Private.

19(iii) The name of the entity receiving a payment
20from the public school entity pursuant to a funding
21action or expenditure.

22(iv) A general description and the amount of each
23funding action or expenditure.

24(v) The funding source for each funding action or
25expenditure.

26(vi) A counter to show the number of times the
27Internet website is accessed.

28(vii) A link to each public school entity's Internet
29website, where available.

30(viii) The total number of individuals employed by

1each public school entity as of the last day of the
2previous reporting period who are not administrative
3staff and the aggregate compensation, as defined in
4section 303(a)(1)(i) of the act of March 4, 1971 (P.L.6,
5No.2), known as the Tax Reform Code of 1971, paid by the
6public school entity to such individuals.

7(ix) For each individual employed by a public school
8entity as administrative staff, the following:

9(A) Name.

10(B) Position or title.

11(C) Current annual salary, based on the
12employee's pay schedule and current salary.

13(D) Any additional compensation received by the
14individual and the basis for such compensation,
15including, but not limited to, duties as a coach or
16activity advisor.

17(E) Compensation, as defined in section 303(a)
18(1)(i) of the Tax Reform Code of 1971, paid by the
19public school entity.

20(x) Copies of all currently effective contracts
21between the public school entity and any union.

22(2) Notwithstanding any other provision of this act,
23records determined by the department to be not subject to
24disclosure under the act of February 14, 2008 (P.L.6, No.3),
25known as the Right-to-Know Law, shall not be included on the
26Internet database.

27(3) The Internet database shall allow the public to
28search for and aggregate information at no cost to the
29public.

30(4) Information posted on SchoolWATCH, including annual

1financial reports, final adopted budgets and information
2included in the database, shall remain on SchoolWATCH for a
3period of no less than eight years from the date of posting.

4(5) The Internet database shall not provide any
5additional information that is not specifically required or
6permitted under this subarticle.

7Section 156. Expenditure and performance measures to be posted.

8Within four years of the effective date of this subarticle,
9the department, in consultation with the advisory committee,
10shall do all of the following:

11(1) Develop the expenditure and performance measure. In
12developing the expenditure and performance measure, the
13department and the advisory committee shall:

14(i) Consult with school district superintendents,
15charter school entity administrators, area vocational-
16technical school chief administrative officers and
17curriculum directors representing school districts,
18charter school entities and area vocational-technical
19schools.

20(ii) Use data submitted by each public school entity
21on its most recent annual financial report and relevant
22academic performance data as determined by the department
23in consultation with the advisory committee.

24(iii) Not require public school entities to report
25any additional data.

26(2) Include on the Internet database, as the fourth
27phase of SchoolWATCH, the expenditure and performance measure
28for each public school entity, which the department shall
29update annually.

30Section 157. Administration.

1(a) Public school entity requirements.--

2(1) Upon the implementation of the SchoolWATCH Internet
3website required to be developed pursuant to this subarticle,
4each public school entity shall:

5(i) Provide the department with all information
6regarding Federal, State, local and private funding
7received and all funding actions or expenditures as
8required under this act and at such times, which shall be
9at least quarterly, as directed by the department in
10consultation with the advisory committee.

11(ii) Provide the department with complement and
12employment compensation information as required under
13this subarticle and at such times, which shall be at
14least quarterly, as directed by the department in
15consultation with the advisory committee.

16(iii) Provide the department with copies of all
17union contracts as required under this subarticle and at
18such times, which shall be at least quarterly, as
19directed by the department in consultation with the
20advisory committee.

21(2) Notwithstanding paragraph (1), a public school
22entity shall not be required to provide the department with
23information required to be posted on SchoolWATCH where the
24department is able to obtain such information from other
25sources, including from other reports by public school
26entities.

27(b) Accuracy.--Each public school entity is responsible for
28verifying the accuracy and completeness of information submitted
29to the department.

30(c) Format.--Each public school entity shall compile,

1maintain and report the information required to be posted under
2sections 154, 155(b) and 156 in a manner and on a reporting
3schedule prescribed by the department, in consultation with the
4advisory committee.

5(d) Additional information.--

6(1) A public school entity shall not be required to
7provide any additional information that is not specifically
8required or permitted under this subarticle.

9(2) No public school entity shall be required to provide
10additional information beyond the information required to be
11provided by any other public school entity.

12(e) Penalty.--The following shall apply:

13(1) When a school district fails to comply with the
14provisions of this subarticle, the secretary shall withhold
15State appropriations due the school district pursuant to
16section 2552 until the secretary determines that the school
17district is in compliance with the provisions of this
18subarticle. When the secretary determines that the school
19district is in compliance with the provisions of this
20subarticle, the secretary shall make payment to the school
21district of the funds withheld pursuant to this paragraph.
22The department shall provide 30 days' notice to the school 
23district prior to the withholding. If the school district 
24becomes compliant during the 30-day period, no funds shall be 
25withheld.

26(2) When a charter school entity fails to comply with
27this subarticle, the secretary shall direct the school
28district of residence of each student enrolled in the charter
29school entity to transfer any payments required under section
301725-A(a) to the department to be held in escrow until the

1secretary determines that the charter school entity is in
2compliance with this subarticle. Where, pursuant to section
31725-A(a)(5), the secretary deducts payments required under
4section 1725-A(a) from State payments made to the school
5district, the department shall hold such deducted amounts in
6escrow until the secretary determines that the charter school
7entity is in compliance with the provisions of this
8subarticle. When the secretary determines that the charter
9school entity is in compliance with the provisions of this
10subarticle, the secretary shall order the department to make
11payment of the funds held in escrow to the charter school
12entity. The department shall provide 30 days' notice to the 
13charter school entity prior to directing a school district of 
14residence to transfer required payments to the department or 
15holding deducted amounts in escrow under this paragraph. If 
16the charter school entity becomes compliant during the 30-day 
17period, no funds shall be transferred to the department or 
18held in escrow.

19(3) When an area vocational-technical school fails to
20comply with the provisions of this subarticle, the secretary
21shall direct the school districts participating in the
22vocational-technical school pursuant to section 1850.1 to
23transfer any payments required under Article XVIII to the
24department to be held in escrow until the secretary
25determines that the area vocational-technical school is in
26compliance with the provisions of this subarticle. When the
27secretary determines that the area vocational-technical
28school is in compliance with the provisions of this
29subarticle, the secretary shall order the department to make
30payment of the funds held in escrow to the area vocational-


1technical school. The department shall provide 30 days' 
2notice to the area vocational-technical school prior to 
3directing a school district to transfer required payments to 
4the department or holding funds in escrow under this 
5paragraph. If the area vocational-technical school becomes 
6compliant during the 30-day period, no funds shall be 
7transferred to the department or held in escrow.

8(4) All decisions by the secretary under this subsection
9shall be appealable to the court of common pleas of the
10county in which the public school entity is located. No funds
11shall be withheld, transferred to the department or held in
12escrow under paragraph (1), (2) or (3) until all appeals are
13exhausted.

14Section 158. Report to Governor and General Assembly.

15The department shall prepare an annual report containing
16statistical information on the usage and performance of the
17Internet website. The report shall describe frequency of user
18access of the Internet website, types of data being accessed and
19Internet website performance. The report shall be submitted to
20the Governor, the chairman and minority chairman of the
21Appropriations Committee of the Senate, the chairman and
22minority chairman of the Appropriations Committee of the House
23of Representatives, the chairman and minority chairman of the
24Education Committee of the Senate and the chairman and minority
25chairman of the Education Committee of the House of
26Representatives within two years of the date on which the
27Internet website has been implemented, and by March 30 of each
28year thereafter.

29Section 3. Section 731 of the act, amended June 27, 1973
30(P.L.75, No.34) and June 30, 2011 (P.L.112, No.24), is amended

1to read:

2Section 731. Approval by Department of Plans, etc., of
3Buildings; Exceptions.--(a) The Department of Education, with
4respect to construction or reconstruction of public school
5buildings, shall have the power and its duties shall be:

6(1) To review all projects, plans and specifications for
7school building construction or reconstruction, and to make
8recommendations thereon to the General Assembly and the
9Governor: Provided, however, That approval of the Department of 
10Education shall not be required for projects, plans and 
11specifications for school construction projects for which 
12reimbursement from the Commonwealth is not requested;

13(2) To assist school districts in preplanning construction
14and reconstruction projects, and offer such architectural,
15engineering and financial advice as will enable the project to
16comply with the standards prescribed by the State Board of
17Education;

18(3) To hold hearings on any or all projects and subpoena
19witnesses, administer oaths, take testimony and compel the
20production of documents relevant to any investigation;

21(4) To act as liaison between the public, local school
22officials, the General Assembly, and the Governor on school
23building construction and reconstruction projects;

24(5) To receive and investigate complaints from the public or
25other source concerning any school building construction or
26reconstruction project;

27(6) To conduct investigations on any phase of school
28building construction or reconstruction projects.

29(7) To provide for an electronic database on its publicly
30accessible Internet website for the purpose of providing public

1access to information on public school construction and
2reconstruction projects, building purchases and charter school
3lease reimbursements submitted for the approval of, or approved
4by, the Department of Education. The electronic database shall
5indicate the date each application for reimbursement was
6submitted to the Department of Education and the date of
7approval for each step of the reimbursement process as outlined
8in section 731.2 of this act. The Department of Education shall
9establish the database no later than six (6) months after the
10effective date of this clause.

11(b) The Department of Education shall employ engineers,
12architects, financial advisors, and such other staff personnel
13as may be necessary for the proper performance of the duties of
14the Department with respect to construction or reconstruction of
15public school buildings.

16(c) No public school building shall be contracted for,
17constructed, or reconstructed, in any school district of the
18second, third, or fourth class until the plans and
19specifications therefor have been approved by the Department of
20Education[.

21When ordinary repairs are proposed, such as plastering,
22painting, replacement of floors, improvement of school grounds,
23repairing or providing walks, roadways or retaining walls, the
24cost of which in districts of the second class or in districts
25of the third and fourth class will not exceed fifteen thousand
26dollars ($15,000) per building, no approval shall be required.
27Where any structural change is involved, such as moving or
28adding doors, windows, partitions, making additions or any
29excavations, or any work which may affect the safety or health
30of the pupils, or any work which comes under the jurisdiction of

1another department of the Commonwealth, approval of the
2Department of Education shall be required regardless of the cost
3of such structural change.]: Provided, however, That approval of 
4the Department of Education shall not be required for projects, 
5plans and specifications for school construction projects for 
6which reimbursement from the Commonwealth is not requested.

7(d) No school building shall be purchased by any school
8district until such purchase shall have been approved by the
9Department of Education. Such approval shall not be given unless
10the school building to be purchased and any approved structural
11changes or renovations meet the standards required to operate
12public school buildings of a similar age currently in use in the
13Commonwealth.

14Section 4. The act is amended by adding a section to read:

15Section 731.2. Accountability and Reducing Costs in
16Construction Process.--(a) No later than July 1, 2016, the
17department shall develop and implement a process, including
18standardized forms and procedures, which shall be used by school
19districts to apply for Commonwealth reimbursement for school
20construction and reconstruction projects and which shall be
21known as the Accountability and Reducing Costs in Construction
22Process. In developing the Accountability and Reducing Costs in
23Construction Process, the department shall separate the process
24into five (5) benchmark steps of department approval which shall
25be labeled one (1) through five (5) and shall minimally include
26the following:

27(1) Step 1 shall consist of the following:

28(i) project description;

29(ii) project justification; and

30(iii) a technical schematic design review conference with

1the department.

2(2) Step 2 shall consist of the following:

3(i) site acquisition, if applicable to the project;

4(ii) project accounting based on cost estimates; and

5(iii) a conference with the department to review completed
6construction documents, including bid specifications, drawings
7for the project and documentation regarding the fulfillment of
8State and local agency requirements.

9(3) Step 3 shall consist of the following:

10(i) project accounting based on costs for actual
11construction bids for which contracts shall be awarded; and

12(ii) project financing, including financing method and the
13calculation of the temporary reimbursable percent for the
14project. In calculating the temporary reimbursable percent, the
15department shall factor in a five (5) percentage point reduction
16which shall be utilized until the calculation of the permanent
17reimbursable percent is completed in Step 4.

18Approval through Step 3 shall initiate project reimbursement
19from the Commonwealth.

20(4) Step 4 shall consist of the following:

21(i) interim reporting of project modifications, including
22the reporting of change orders and supplemental contracts; and

23(ii) project accounting based on the final costs of a
24project after completion of the following:

25(A) construction of the project; and

26(B) payment for all construction or reconstruction work,
27unless the department has granted an exception.

28The calculation of the permanent reimbursable percent for a
29project shall take place during Step 4.

30(5) Step 5 shall consist of project refinancing, where

1applicable, to allow for the restructuring, refinancing or
2refunding of existing indebtedness.

3(b) (1) Except as provided for in paragraph (2), school
4districts shall be reimbursed by the department in the order in
5which their projects received approval for Commonwealth
6reimbursement by the department.

7(2) The Secretary of Education may prioritize the
8reimbursement of a school construction or reconstruction project
9of a school district declared to be in financial recovery status
10under Article VI-A of this act. Projects that are given priority
11under this paragraph shall be reimbursed before all other
12projects.

13(c) (1) School districts shall develop a complete
14districtwide facility study of all district educational
15facilities, including the district administrative offices. The
16study shall be completed prior to, and within five (5) years of,
17the initial date of submission to the department of an
18application for Commonwealth reimbursement of a school
19construction or reconstruction project.

20(2) The study shall provide an appraisal as to each
21facility's ability to meet current and planned education program
22requirements, the degree to which the present facilities meet
23reasonably current construction standards, and an estimated cost
24of necessary repairs and improvements.

25(3) The study shall be submitted to the department along
26with an initial application for Commonwealth reimbursement of a
27school construction or reconstruction project.

28(4) The department shall not grant to school districts any
29exceptions, waivers or variances to the provisions of this
30subsection.

1(d) (1) In order to receive Commonwealth reimbursement for
2the construction of a new building, a school district shall,
3within Step 1 of the Accountability and Reducing Costs in
4Construction Process provided for in subsection (a), complete
5and submit to the department a cost-benefit analysis of the
6project that compares the construction of the proposed new
7building to the expansion or renovation of an existing building
8for the same purpose.

9(2) If the cost of a new building exceeds that of the
10expansion or renovation of an existing building for the same
11purpose, the school district shall only be eligible for
12Commonwealth reimbursement for the new building if substantial
13evidence is presented which demonstrates the necessity of a new
14building and how a new building would better meet the needs of
15the school district and its students than a building expansion
16or renovation.

17(3) A determination by the department that insufficient
18evidence was provided to demonstrate the necessity of a new
19building rather than a building expansion or renovation shall be
20appealable by a school district under 2 Pa.C.S. (relating to
21administrative law and procedure).

22(4) The department shall not grant to school districts any
23exceptions, waivers or variances to the provisions of this
24subsection.

25(e) (1) School districts shall not be eligible for
26Commonwealth reimbursement of school construction or
27reconstruction project costs for any existing building which is
28less than thirty (30) years old or for which a Commonwealth
29reimbursable project has been approved by the department within
30the preceding thirty (30) years. The thirty (30) year period

1between eligible Commonwealth reimbursable projects for a school
2building shall be calculated from the bid opening date of the
3previous Commonwealth reimbursable project to the bid opening
4date of the proposed Commonwealth reimbursable project.

5(2) The department shall not grant to school districts any
6exceptions, waivers or variances to the provisions of this
7subsection except in the case of an emergency. For the purposes
8of this paragraph, an emergency shall include a natural
9disaster, fire, flood, mold contamination or an extraordinary
10and unanticipated increase in student enrollment.

11(f) (1) School districts shall not be eligible for
12Commonwealth reimbursement of school construction or
13reconstruction project costs for any existing building where the
14cost of expansion or renovation of the building, excluding costs
15for building purchase, movable fixtures and equipment, asbestos
16abatement, roof replacement, site development and architect
17fees, is less than forty (40) percent of the replacement value
18of the entire building.

19(2) The provisions of this subsection shall not apply to
20area vocational-technical school construction or reconstruction
21projects.

22(3) The department shall not grant to school districts any
23exceptions, waivers or variances to the provisions of this
24subsection.

25(g) The department shall, where possible and appropriate,
26automate the Accountability and Reducing Costs in Construction
27Process to allow school districts to submit plans and documents
28relating to reimbursement for a school construction or
29reconstruction project electronically.

30(h) A school district shall not be required to submit any

1school construction or reconstruction project plans, drawings,
2bid specifications or other documents to the department on
3microfilm as a condition of receiving Commonwealth reimbursement
4for a construction or reconstruction project.

5(i) A school district shall not be required to resubmit to
6the department any completed plans, drawings, bid specifications
7or other documents for a school construction or reconstruction
8project for which the department received a completed initial
9application by October 1, 2012, due to the implementation of
10this section.

11(j) Subsections (c), (d), (e) and (f) shall not apply to any
12school construction or reconstruction project for which a
13completed initial school construction or reconstruction project
14application was submitted to the department by October 1, 2012.

15(k) No later than twelve (12) months after the effective
16date of this section, the department shall develop such rules
17and guidelines as may be necessary to implement this section:
18Provided, however, That the department shall not create steps of
19approval in addition to those provided for under subsection (a)
20and shall not require more than one school board resolution at
21each step.

22(l) For the purposes of this section, the term "department"
23shall mean the Department of Education of the Commonwealth.

24Section 5. Section 732.1(b) of the act, amended July 9, 2013
25(P.L.408, No.59), is amended and the section is amended by
26adding a subsection to read:

27Section 732.1. Limitation on New Applications for Department
28of Education Approval of Public School Building Projects.--* * *

29(b) (1) The Department of Education shall, in consultation
30with school district officials and the General Assembly, conduct

1a review of the Department of Education's current process
2through which public school building projects are reviewed and
3approved for Commonwealth reimbursement. The review shall
4incorporate an analysis of impacting local factors, including,
5but not limited to, tax effort and building requirements, and
6shall make recommendations to the chair and minority chair of
7the Appropriations Committee of the Senate, the chair and
8minority chair of the Education Committee of the Senate, the
9chair and minority chair of the Appropriations Committee of the
10House of Representatives and the chair and minority chair of the
11Education Committee of the House of Representatives by May 1,
122013. The Department of Education shall also conduct a Statewide
13analysis of school facilities and future capital needs and shall
14submit a preliminary report on that analysis by May 1, 2014.

15(2) The Statewide analysis shall be completed and submitted
16to the chairman and minority chairman of the Appropriations
17Committee of the Senate, the chairman and minority chairman of
18the Education Committee of the Senate, the chairman and minority
19chairman of the Appropriations Committee of the House of
20Representatives and the chairman and minority chairman of the
21Education Committee of the House of Representatives no later
22than May 1, 2016.

23(c) (1) Any school district that began a school
24construction or reconstruction project during the time in which
25the Department of Education was not accepting or approving new
26school construction and reconstruction project applications for
27reimbursement pursuant to subsection (a) shall remain eligible
28and may apply for Commonwealth reimbursement for those school
29construction or reconstruction projects following the expiration
30of the limitation provided for under subsection (a).

1(2) No later than twelve (12) months after the effective
2date of this section the department shall develop such rules and
3guidelines as may be necessary to implement this subsection.

4Section 6. The act is amended by adding a section to read:

5Section 1505. Payments or Reimbursements Relating to
6Secretary Declaration of Weather Emergency Provisions.--(a)
7Beginning in the 2014-2015 school year and in each school year
8thereafter, the Secretary of Education may, at his discretion,
9issue a weather emergency declaration on a school district,
10county or Statewide basis under which a school entity may
11satisfy the one hundred eighty (180) instructional day per
12school year requirement in section 1501 of this act by one or
13more of the following options:

14(1) Approving, by majority vote of the governing board of
15the school entity, a school year with a minimum of nine hundred
16(900) hours of instruction at the elementary level and nine
17hundred ninety (990) hours of instruction at the secondary level
18in lieu of one hundred eighty (180) instructional days.

19(2) Approving, by majority vote of the governing board of
20the school entity, the scheduling of additional instructional
21days on Saturdays to complete one hundred eighty (180)
22instructional days or nine hundred (900) hours of instruction at
23the elementary level and nine hundred ninety (990) hours of
24instruction at the secondary level: Provided, however, that a
25school entity shall not schedule more than one Saturday per
26month as an instructional day and shall not schedule tests or
27other examinations on a Saturday. Where a school entity chooses
28to schedule an instructional day on Saturday under the
29provisions of this paragraph, the following shall apply:

30(i) The school entity may schedule a regular instructional

1day on the following Monday.

2(ii) The school entity shall, upon the written request of a
3parent or guardian, excuse a student from school attendance if
4the student has the opportunity to receive a program of advanced
5instruction, to participate in academic or skills competition or
6to engage in leadership development activities. The request
7shall identify and describe the instruction, competition or
8leadership development activities and the dates and hours for
9which the absence is requested. The parent or guardian shall,
10following each such absence, furnish in writing to the school
11entity a statement attesting to the student's participation,
12including the dates and hours of such participation.

13(iii) The school entity shall, upon the written notification
14of a parent or guardian, excuse a student from school attendance
15to observe or participate in a religious activity or function. A
16student's absence from school pursuant to this subparagraph
17shall be considered an instructional day and shall not be
18recorded as an absence on the student's attendance record or on
19the record of any group or class of which the student is a
20member. There shall be no penalty attached for any such absences
21pursuant to this subparagraph.

22(b) A school entity shall notify the department, on a form
23to be developed by the department, of any decision to use the
24options provided for under subsection (a) to satisfy the one
25hundred eighty (180) instructional day per school year
26requirement.

27(c) No school entity shall receive less subsidy payments or
28reimbursements than it would otherwise be entitled to receive by
29the decision to use the options provided under subsection (a).

30(d) As used in this section, the following words and phrases

1shall have the meanings given to them in this subsection unless
2the context clearly indicates otherwise:

3"Department" shall mean the Department of Education of the
4Commonwealth.

5"School entity" shall mean a school district, area
6vocational-technical school, intermediate unit, charter school,
7regional charter school or cyber charter school.

8Section 7. Section 2501 of the act is amended by adding a
9definition to read:

10Section 2501. Definitions.--For the purposes of this article
11the following terms shall have the following meanings:

12* * *

13(31) "Department." The Department of Education of the
14Commonwealth.

15Section 8. Section 2574(b.1), (c.4) and (c.6) of the act,
16amended or added July 13, 2005 (P.L.226, No.46) and July 11,
172006 (P.L.1092, No.114), are amended to read:

18Section 2574. Approved Reimbursable Rental for Leases
19Hereafter Approved and Approved Reimbursable Sinking Fund
20Charges on Indebtedness.--* * *

21[(b.1) For school buildings constructed and based on an
22approved school facility design received from the Department of
23Education's school facility design clearinghouse, for which the
24general construction contract is awarded subsequent to January
251, 2005, and for approved school building projects for which the
26general construction contract was awarded but for which a lease
27or general obligation bond resolution was not approved by the
28Department of Education prior to January 1, 2005, the approved
29building construction cost shall additionally include the
30product of the rated pupil capacity as determined by the

1Department of Education at the time the project is approved and
2(i) four hundred seventy dollars ($470) in the case of
3elementary schools, (ii) six hundred twenty dollars ($620) in
4the case of secondary schools, (iii) an amount in the case of
5combined elementary-secondary schools obtained by multiplying
6the rated elementary pupil capacity by four hundred seventy
7dollars ($470) and the rated secondary pupil capacity by six
8hundred twenty dollars ($620) and dividing the sum by the total
9rated pupil capacity.]

10* * *

11[(c.4) For school buildings for which the general
12construction contract is awarded on or after January 1, 2005,
13and for approved school building projects for which the general
14construction contract was awarded but for which a lease or
15general obligation bond resolution was not approved by the
16Department of Education prior to January 1, 2005, and where the
17school building receives a silver, gold or platinum
18certification from the United States Green Building Council's
19Leadership in Energy and Environmental Design Green Building
20Rating System or two, three or four Globes under the Green
21Building Initiative's Green Globes Green Building Rating System
22on or after January 1, 2005, the Department of Education shall
23adjust the approved building construction cost to additionally
24include the product of the rated pupil capacity as determined by
25the Department of Education at the time the project is approved
26and (i) four hundred seventy dollars ($470) in the case of
27elementary schools, (ii) six hundred twenty dollars ($620) in
28the case of secondary schools, (iii) an amount in the case of
29combined elementary-secondary schools obtained by multiplying
30the rated elementary pupil capacity by four hundred seventy

1dollars ($470) and the rated secondary pupil capacity by six
2hundred twenty dollars ($620) and dividing the sum by the total
3rated pupil capacity. The Department of Education in
4consultation with the Governor's Green Government Council shall
5issue guidelines to carry out this section.]

6* * *

7[(c.6) If a school district receives reimbursement for a
8school construction project under this section, the school
9district, upon request by the Department of Education, shall do
10all of the following:

11(i) Provide information required by the department to
12determine whether the school construction project meets criteria
13established by the department for certification as an approved
14school facility design for purposes of the department's school
15facility design clearinghouse.

16(ii) Authorize the department, in its discretion, to certify
17the school construction project as an approved school facility
18design and to include information about the certified project in
19the department's school facility design clearinghouse.]

20* * *

21Section 9. Section 2575(a) of the act, amended July 12, 1968
22(P.L.192, No.96), is amended and the section is amended by
23adding a subsection to read:

24Section 2575. Payments on Account of Leases Hereafter
25Approved and on Account of Sinking Fund Charges on Indebtedness
26for School Buildings Hereafter Constructed.--(a) (1) The
27Commonwealth shall pay annually to each school district erecting
28or sharing in the erection of a building or buildings under the
29provisions of the Public School Building Authority Act, the
30Municipality Authority Act, section 758 [of the Public School

1Code of 1949,] or section 791 of [the Public School Code of
21949,] this act on account of buildings for which the lease is
3approved on or after March 22, 1956, or through the incurring of
4indebtedness by the issuance of general obligation bonds on
5account of buildings for which the general construction contract
6is awarded on or after March 22, 1956, an amount to be
7determined by multiplying the district's capital account
8reimbursement fraction computed for the year 1967 or aid ratio
9whichever is larger by the approved reimbursable rental or
10approved reimbursable sinking fund charge.

11(2) The provisions of this subsection shall only apply to
12school construction or reconstruction projects for which a
13completed initial school construction or reconstruction project
14application was submitted to the Department of Education by
15October 1, 2012.

16(a.1) (1) The Commonwealth shall pay annually to each
17school district erecting or sharing in the erection of a
18building or buildings under the provisions of the Public School
19Building Authority Act, the Municipality Authority Act or
20section 758 or 791 of this act, on account of buildings for
21which the lease is approved on or after October 1, 2012, or
22through the incurring of indebtedness by the issuance of general
23obligation bonds on account of buildings for which the general
24construction contract is awarded on or after October 1, 2012, an
25amount to be determined by multiplying the district's aid ratio
26by the approved reimbursable rental or approved reimbursable
27sinking fund charge.

28(2) The provisions of this subsection shall only apply to
29school construction or reconstruction projects for which a
30completed initial school construction or reconstruction project

1application was submitted to the Department of Education after
2October 1, 2012.

3* * *

4Section 10. Section 2575.1 of the act, amended July 9, 1992
5(P.L.392, No.85), is amended to read:

6Section 2575.1. Payments on Account of Building Costs.--(a)
7(1) The Commonwealth shall pay to any school district making a
8preliminary payment on account of the approved building
9construction or approved renovation cost as authorized by
10section 783 or by clause (4) of section 790 or by clause (5) of
11section 791 of this act, an amount determined by multiplying the
12district's capital account reimbursement fraction computed for
13the year 1967 or aid ratio whichever is larger by the amount of
14the payment made by the school district.

15(2) The provisions of this subsection shall only apply to
16school construction or reconstruction projects for which a
17completed initial school construction or reconstruction project
18application was submitted to the Department of Education by
19October 1, 2012.

20(a.1) (1) The Commonwealth shall pay to any school district
21making a preliminary payment on account of the approved building
22construction or approved renovation cost as authorized by
23section 783 or by clause (4) of section 790 or by clause (5) of
24section 791 of this act, an amount determined by multiplying the
25district's aid ratio by the amount of the payment made by the
26school district.

27(2) The provisions of this subsection shall only apply to
28school construction or reconstruction projects for which a
29completed initial school construction or reconstruction project
30application was submitted to the Department of Education after

1October 1, 2012.

2(b) (1) Whenever any school district provides the full
3payment on account of approved building construction or approved
4renovation cost without incurring debt, or without assuming a
5lease, the Commonwealth shall pay to such school district an
6amount determined by multiplying the district's capital account
7reimbursement fraction computed for the year 1967 or aid ratio
8whichever is larger by the amount of the payment made by the
9school district.

10(2) The provisions of this subsection shall only apply to
11school construction or reconstruction projects for which a
12completed initial school construction or reconstruction project
13application was submitted to the Department of Education by
14October 1, 2012.

15(b.1) (1) Whenever any school district provides the full
16payment on account of approved building construction or approved
17renovation cost without incurring debt, or without assuming a
18lease, the Commonwealth shall pay to such school district an
19amount determined by multiplying the district's aid ratio by the
20amount of the payment made by the school district.

21(2) The provisions of this subsection shall only apply to
22school construction or reconstruction projects for which a
23completed initial school construction or reconstruction project
24application was submitted to the Department of Education after
25October 1, 2012.

26(c) The payment required by this section shall be made for
27the year in which the school district made its payment on
28account of the approved building construction or approved
29renovation cost.

30Section 11. The act is amended by adding a section to read:

1Section 2581. Lump Sum Reimbursement for Construction or
2Reconstruction.--(a) The department may, at any time, upon the
3availability of sufficient funds and the mutual agreement of the
4department and a school district, provide an immediate lump sum
5payment to the school district as full reimbursement for a
6construction or reconstruction project that has received all 
7required approvals from the department for Commonwealth 
8reimbursement. The lump sum payment provided for under this
9section shall be no greater than seventy-five percent (75%) of
10the total allowable construction or reconstruction reimbursement
11provided for under Article XXV of this act for which the school
12district is eligible: Provided, however, That such payments
13shall not include reimbursement for interest incurred by a
14school district. A school district that does not agree to a lump 
15sum payment under this section shall remain eligible for the 
16total allowable construction or reconstruction reimbursement 
17provided for under Article XXV of this act.

18(b) Each agreement for lump sum reimbursement under this
19section shall require the school district receiving a lump sum
20payment to relinquish any current claim to the total allowable
21construction or reconstruction reimbursement provided for under
22Article XXV of this act for which the school district is
23eligible in exchange for the immediate lump sum payment of a
24lesser amount.

25(c) The department shall make the opportunity for a lump sum
26payment available to school districts in the order in which each 
27school district construction or reconstruction project receives 
28approval for Commonwealth reimbursement by the department. A 
29school district that does not agree to a lump sum payment under 
30this section shall retain its place in the order in which the
 

1department reimburses school districts.

2(d) No later than twelve (12) months after the effective
3date of this section, the department shall develop such rules
4and guidelines as may be necessary to implement this section.

5Section 12. For the 2014-2015 fiscal year and each fiscal
6year thereafter, the State Public School Building Authority
7shall assist all school districts with refinancing projects that
8are currently receiving State reimbursement for a portion of
9their school construction costs to make additional funds
10available through which to provide State reimbursement to
11projects that have not yet begun receiving State reimbursement.

12Section 13. This act shall take effect in 60 days.