4. An individualized education program (IEP) has been completed for the child.

5. With certain exceptions, the child attended a public school in this state in the
previous school year.
The bill directs DPI to develop a document, for inclusion with an application,
comparing the rights of a child with a disability and his or her parent under state and
federal handicapped education law with the rights of a child with a disability under
the program created by this bill and federal handicapped education law.
A school that accepts a child under the program must notify DPI. Upon receipt
of the notice, DPI must notify the school board of the pupil's school district of
residence and determine the amount of the child's scholarship. The amount is the
lesser of the cost to the school the child is attending under the scholarship of
providing regular instruction, instructional and pupil support services, special
education and related services, and supplementary aids and services to the child,
plus the per pupil operating and debt service costs, or an amount equal to the
statewide cost per public school pupil plus the state aid per child with a disability.
If the child is attending for less than a full school term, DPI must prorate the amount
of the scholarship.
DPI pays the scholarship directly to the school or school district that the child
will attend. The scholarship continues while the child attends a school eligible to
participate in the program until he or she graduates from high school or until the end
of the school term in which he or she turns 21, whichever comes first.
Under the bill, the total amount appropriated as state school equalization aid
is reduced by the total amount of scholarships paid by DPI to schools and school
districts under the program, as described above. A pupil attending a private school,
a public school outside the pupil's school district of residence, or an independent
charter school under the program is not counted for state aid purposes by the pupil's
school district of residence.
Each private school participating in the program must comply with applicable
health and safety laws; hold a valid certificate of occupancy if the municipality in
which the school is located issues such certificates; comply with federal law that
prohibits discrimination against any person on the basis of race, color, or national
origin; conduct criminal background investigations of its employees and exclude
from employment any person not permitted to hold a teaching license as the result
of an offense and any person who might reasonably be believed to pose a threat to the
safety of others; provide to each applicant a profile of the school's special education
program; implement the child's most recent IEP; and comply with the restrictions on
the use of seclusion and physical restraint that currently apply to public and charter
schools.
The private school must also annually submit to DPI a school financial report
prepared by a certified public accountant. If the private school expects to receive at
least $50,000 in scholarships during a school year, it must either file a surety bond
with DPI or provide DPI with information demonstrating that it has the ability to
pay an amount equal to 25 percent of the total amount of scholarships that it expects
to receive.
The bill provides that if a child attends a private school under the program, his
or her school district of residence must provide transportation to and from the school

if the school is located at least two miles from the child's residence, the child resides
in the private school's attendance area, and the private school is situated within the
school district of residence or not more than five miles beyond the boundaries of the
school district.
If the child attends a public school under the program, the child's parent is
responsible for transporting the child to and from school unless transportation is
required in the child's IEP. If the latter applies, the school district that the child
attends is responsible for transporting the child. The bill allows a low-income pupil
to apply to DPI for reimbursement of transportation costs.
The bill authorizes DPI to bar a school from participating in the program if the
school intentionally and substantially misrepresents information required under
the bill, routinely fails to comply with financial standards, uses a pupil's scholarship
for any purpose other than educational purposes, or fails to refund any scholarship
overpayments to the state.
Finally, the bill directs the Legislative Audit Bureau to contract for a study of
the program. The results of the study must be reported to the legislature by January
9, 2017.
For further information see the state and local fiscal estimate, which will be
printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB682,1 1Section 1. 20.255 (2) (ac) of the statutes is amended to read:
AB682,3,42 20.255 (2) (ac) General equalization aids. The amounts in the schedule for the
3payment of educational aids under ss. 121.08, 121.09, 121.095, 121.105, and 121.137
4and subch. VI of ch. 121, less the amount appropriated under par. (az).
AB682,2 5Section 2. 20.255 (2) (az) of the statutes is created to read:
AB682,3,76 20.255 (2) (az) Special Needs Scholarship Program. A sum sufficient to pay the
7special needs scholarships under s. 115.7915.
AB682,3 8Section 3. 20.255 (2) (cy) of the statutes, as affected by 2013 Wisconsin Act 20,
9is amended to read:
AB682,4,210 20.255 (2) (cy) Aid for transportation; open enrollment and, course options, and
11special needs scholarships
. The amounts in the schedule to reimburse parents for

1the costs of transportation of pupils under ss. 115.7915, 118.51 (14) (b), and 118.52
2(11) (b).
AB682,4 3Section 4. 115.77 (1) of the statutes is amended to read:
AB682,4,74 115.77 (1) In sub. (1m) (a) to (d), except as provided in s. 118.51 (12) (a) and (b)
52., if a child with a disability is attending a public school in a nonresident school
6district under s. 115.7915, 118.51, or 121.84 (1) (a) or (4), "local educational agency"
7means the school district that the child is attending.
AB682,5 8Section 5. 115.791 (4) of the statutes is amended to read:
AB682,4,149 115.791 (4) Subject to s. 115.77 (1m) (d) and (e), this section does not require
10a local educational agency to pay the cost of education, including special education
11and related services, of a child with a disability at a private school or facility,
12including a child with a disability attending a private school under s. 115.7915,
if the
13local educational agency made a free appropriate public education available to the
14child and the child's parents elected to place the child in a private school or facility.
AB682,6 15Section 6. 115.7915 of the statutes is created to read:
AB682,4,17 16115.7915 Special Needs Scholarship Program. (1) Definition. In this
17section:
AB682,4,2018 (a) "Eligible school" means a public school located in this state but outside the
19pupil's school district of residence; a charter school located in this state, including a
20virtual charter school; or a private school located in this state.
AB682,4,2121 (b) "Services plan" has the meaning given in 34 CFR 300.37.
AB682,4,24 22(1m) Scholarship requirements. Beginning in the 2014-15 school year, a child
23with a disability shall receive a scholarship under this section to attend an eligible
24school if all of the following apply:
AB682,5,3
1(a) The child applied to attend a public school in one or more nonresident school
2districts under s. 118.51 for the same school year for which he or she is submitting
3an application under par. (f), and all of the following occurred:
AB682,5,74 1. The child was rejected by the school boards of all the nonresident school
5districts to which he or she applied under s. 118.51 (3) (a), (3m) (a), or (7); or was
6prohibited from attending public school in all the nonresident school districts to
7which he or she applied under s. 118.51 (3m) (d), (7), or (12) (b) 1.
AB682,5,98 2. If the child's parent appealed any school board decision under subd. 1., the
9department affirmed the decision.
AB682,5,1410 (b) The school district in which the eligible public school is located, the eligible
11charter school, or the eligible private school notified the department of its intent to
12participate in the program under this section. The notice shall specify the number
13of pupils who may participate in the program under this section for whom the school
14has space.
AB682,5,2215 (c) The eligible school, if a private school, is approved by the state
16superintendent under s. 118.165 (2) or is accredited by the Wisconsin North Central
17Association, Wisconsin Religious and Independent Schools Accreditation, the
18Independent Schools Association of the Central States, Wisconsin Evangelical
19Lutheran Synod School Accreditation, National Lutheran School Accreditation, the
20diocese or archdiocese within which the private school is located, or any other
21organization recognized by the National Council for Private School Accreditation, as
22of the August 1 preceding the school term for which the scholarship is awarded.
AB682,5,2423 (d) An individualized education program or services plan has been completed
24for the child.
AB682,6,3
1(e) The child attended a public school in this state for the entire school year
2immediately preceding the school year for which the child first receives a scholarship
3under this section.
AB682,6,94 (f) The child, or the child's parent on behalf of the child, has submitted an
5application to the eligible school, on a form prepared by the department, for a
6scholarship under this section to attend the eligible school. The application shall
7include the document developed by the department under sub. (2) (a). An application
8may be made, and a child may begin attending an eligible school under this section,
9at any time during the school year.
AB682,6,1110 (g) The child has been accepted by the school district in which the eligible public
11school is located, the eligible charter school, or the eligible private school.
AB682,6,15 12(1s) Acceptance of pupils. If an eligible school receives more applications
13under sub. (1m) (f) than the number of pupils specified in the notice under sub. (1m)
14(b), it shall select pupils on a random basis except that it may give preference to
15siblings of pupils who are already attending the eligible school.
AB682,6,21 16(2) Department duties. (a) 1. The department shall develop a document for
17inclusion with an application under sub. (1m) (f), and revise it as necessary,
18comparing the rights of a child with a disability and of his or her parent under this
19subchapter, other than this section, and 20 USC 1400 to 1482, with the rights of a
20child with a disability and of his or her parent under this section and 20 USC 1400
21to 1482.
AB682,7,222 2. Receipt by an applicant of the document developed under subd. 1.,
23acknowledged in a format prescribed by the department, constitutes notice that the
24applicant has been informed of his or her rights under this section and 20 USC 1400

1to 1482. Subsequent acceptance of a scholarship under this section constitutes the
2applicant's informed acknowledgment of the rights specified in the document.
AB682,7,53 (b) The governing body of an eligible school that accepts a child under sub. (1m)
4(g) shall notify the department. Upon being notified, the department shall do all of
5the following:
AB682,7,106 1. Notify the school board of the pupil's school district of residence that the pupil
7has been awarded a scholarship under this section. The school board shall, within
83 days of receiving the notice, provide the department and the governing body of the
9eligible school that accepted the pupil with a copy of the pupil's individualized
10education program.
AB682,7,1211 2. Determine the amount of the pupil's scholarship. The amount shall be the
12lesser of the following:
AB682,7,2013 a. Divide the sum of the statewide gross property tax levy for schools in the
14previous year and the total amount of general school aid appropriated under s.
1520.255 (2) (ac), (ar), and (bb) in the previous fiscal year by the total statewide
16membership, as defined in s. 121.004 (5), in the previous school year, and add to the
17quotient the result obtained by dividing the amount appropriated under s. 20.255 (2)
18(b) in the previous fiscal year by the total number of children with disabilities
19enrolled in public schools in the previous school year, as determined for federal aid
20purposes under 20 USC 1400 to 1482.
AB682,8,221 b. The cost to the school district in which the eligible public school is located,
22the eligible charter school, or the eligible private school of providing to the pupil
23regular instruction, instructional and pupil support services, special education and
24related services, and supplementary aids and services, other than costs under s.

1115.88 (3) and (4); and the operating and debt service cost per pupil, as described in
2s. 118.60 (4) (d).
AB682,8,43 3. Prorate the amount determined under subd. 2. for a pupil attending an
4eligible school for less than a full school term.
AB682,8,65 4. Notify the parent of the scholarship amount, as determined under subd. 2.
6or 3., accompanied by an explanation of how the amount was determined.
AB682,8,147 5. On behalf of the pupil's parent, pay the scholarship to the school district,
8charter school, or private school that the pupil attends from the appropriation under
9s. 20.255 (2) (az), except that the department may not pay a scholarship to a private
10school unless the pupil's parent has acknowledged receiving the private school's
11profile under sub. (4) (g) in the manner provided by the department. Except as
12provided in par. (c), the scholarship continues while the pupil attends an eligible
13school until the pupil graduates from high school or until the end of the school term
14in which the pupil attains the age of 21, whichever comes first.
AB682,8,1715 6. If the pupil is attending a private school under this section, pay the
16scholarship to the private school under subd. 5. according to the payment schedule
17specified in s. 119.23 (4) (c).
AB682,9,218 (c) If an individualized education program team, upon reevaluation of a child
19under sub. (3) (c), unanimously determines that the child is no longer a child with
20a disability, the child is ineligible to receive a special needs scholarship, as calculated
21under sub. (2) (b) 2., beginning in the school term following the determination. If the
22child continues to attend the private school, the department shall pay to the private
23school, on behalf of the pupil's parent, an amount equal to the appropriate amount
24paid per pupil to a private school participating in a parental choice program in the
25same school year under s. 118.60 or 119.23. The department shall make the payment

1from the appropriation under s. 20.255 (2) (az) according to the payment schedule
2specified in s. 119.23 (4) (c).
AB682,9,5 3(3) School board duties. (a) Annually, each school board shall notify the
4parents of each child with a disability enrolled in the school district of the program
5under this section.
AB682,9,96 (b) Upon the request of a parent of a pupil receiving a scholarship, the pupil's
7resident school district shall administer the appropriate examinations under s.
8118.30 to the pupil at no cost if the school attended by the pupil does not administer
9them.
AB682,9,1210 (c) If a child attends a private school under this section, the school board of the
11 child's school district of residence shall ensure that the child's individualized
12 education program team reevaluates the child as provided in s. 115.782 (4).
AB682,9,15 13(4) Private school duties. Each private school participating in the program
14under this section or receiving a payment under sub. (2) (c) shall do all of the
15following:
AB682,9,1716 (a) Comply with all health and safety laws or codes that apply to private
17schools.
AB682,9,2418 (b) Hold a valid certificate of occupancy, if required by the municipality in which
19the school is located. If the municipality in which the school is located does not issue
20certificates of occupancy, the private school shall obtain a certificate of occupancy
21issued by the local or regional governmental unit with authority to issue certificates
22of occupancy or submit to the department a letter or form from the municipality in
23which the private school is located that explains that the municipality does not issue
24certificates of occupancy.
AB682,9,2525(c) Comply with 42 USC 2000d.
AB682,10,4
1(d) Conduct criminal background investigations of its employees and exclude
2from employment any person not permitted to hold a teaching license as the result
3of an offense and any person who might reasonably be believed to pose a threat to the
4safety of others.
AB682,10,115 (e) Annually submit to the department a school financial information report,
6prepared by a certified public accountant, that complies with uniform financial
7accounting standards established by the department by rule. The report shall be
8accompanied by an auditor's statement that the report is free of material
9misstatements and fairly represents pupil costs. The report shall be limited in scope
10to those records that are necessary for the department to make payments to the
11private school.
AB682,10,1412 (f) If the private school expects to receive at least $50,000 in scholarships under
13this section during a school year, do one of the following before the beginning of the
14school year:
AB682,10,1715 1. File with the department a surety bond payable to the state in an amount
16equal to 25 percent of the total amount of scholarships expected to be received by the
17private school during the school year under this section.
AB682,10,2118 2. File with the department financial information demonstrating that the
19private school has the ability to pay an amount equal to the total amount of
20scholarships expected to be received by the private school during the school year
21under this section.
AB682,11,222 (g) Provide to each applicant under sub. (1m) (f) a profile of the private school's
23special education program, in a form prescribed by the department, that includes the
24methods of instruction that will be used by the school to provide special education

1and related services to the child and the qualifications of the teachers and other
2persons who will be providing special education and related services to the child.
AB682,11,73 (h) 1. Implement the child's most recent individualized education program or
4services plan, as modified by agreement between the private school and the child's
5parent, and related services agreed to by the private school and the child's parent
6that are not included in the child's individualized education program or services
7plan.
AB682,11,118 2. Provide a record of the implementation of the child's individualized
9education program or services plan under subd. 1., including an evaluation of the
10child's progress, to the school board of the school district in which the child resides
11in the form and manner prescribed by the department.
AB682,11,1312 (i) Regularly report to the parent of a child attending the private school and
13receiving a scholarship under this section on the child's progress.
AB682,11,16 14(5) Transportation. (a) Private school. Section 121.54 applies to the
15transportation of a pupil to and from the private school he or she is attending under
16this section.
AB682,11,1817 (b) Public school. Section 118.51 (14) applies to the transportation of a pupil
18to and from the public school he or she is attending under this section.
AB682,11,22 19(6) Penalties. (a) The department may bar a school district, charter school,
20or private school from participating in the program under this section if the
21department determines that the school district, charter school, or private school has
22done any of the following:
AB682,11,2423 1. Intentionally and substantially misrepresented information required under
24sub. (4).
AB682,11,2525 2. Routinely failed to comply with the standards under sub. (4) (e) or (f).
AB682,12,2
13. Used a pupil's scholarship for any purpose other than educational purposes
2or rebated, refunded, or shared a pupil's scholarship with a parent or pupil.
AB682,12,33 4. Failed to refund to the state, within 60 days, any scholarship overpayments.
AB682,12,94 (b) If the department bars a school district, charter school, or private school
5from participating in the program under this section, it shall notify all children
6eligible to participate in the program and their parents as quickly as possible. A
7pupil who is receiving a scholarship and attending a school district, charter school,
8or private school barred from the program may attend another participating school
9district, charter school, or private school under the scholarship.
AB682,12,12 10(7) Study. (a) The legislative audit bureau shall contract for a study of the
11program under this section with one or more researchers who have experience
12evaluating school choice programs. The study shall evaluate all of the following:
AB682,12,1413 1. The level of satisfaction with the program expressed by participating pupils
14and their parents.
AB682,12,1715 2. The percentage of participating pupils who were victimized because of their
16special needs at their resident school district and the percentage of such pupils at
17their participating school.
AB682,12,2018 3. The percentage of participating pupils who exhibited behavioral problems
19at their resident school district and the percentage of such pupils at their
20participating school.
AB682,12,2221 4. The average class size at participating pupils' resident school districts and
22at their participating schools.
AB682,12,2323 5. The fiscal impact of the program on the state and on resident school districts.
AB682,12,2524 (b) The contract under par. (a) shall require the researchers who conduct the
25study to do all of the following:
AB682,13,2
11. Apply appropriate analytical and behavioral science methodologies to
2ensure public confidence in the study.
AB682,13,33 2. Protect the identity of participating schools and pupils.
AB682,13,64 (c) The contract under par. (a) shall require that the results of the study be
5reported to the appropriate standing committees of the legislature under s. 13.172
6(3) by January 9, 2017.
AB682,13,8 7(8) Rules. The department shall promulgate rules to implement and
8administer this section, including rules relating to all of the following:
AB682,13,109 (a) The eligibility and participation of eligible schools, including timelines that
10maximize pupil and school participation.
AB682,13,1111 (b) The calculation and distribution of scholarships.
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