<?xml version='1.0' encoding='utf-8'?>
<subtitle num="02" heading="Local School Administration" title_num="13A" title_heading="State Board of Education">
  <chapter num="01" heading="Local Boards of Education">
    <regulation prefix="Regulation" num=".01" heading="Rules for Meetings.">
      <text>The rules generally adopted by deliberative bodies for their government shall be observed by the local board of education. A motion or resolution may not be declared adopted without the concurrence of a majority of the whole board; namely: three members when the board consists of five, four members when the board consists of six or seven, and five members when the board consists of eight or nine.</text>
    </regulation>
    <regulation prefix="Regulation" num=".02" heading="Records and Reports.">
      <paragraph num="A.">
        <text>Minutes. The local superintendent shall keep accurate minutes of the proceedings of each meeting of the local board of education and, after the minutes have been duly approved at the first subsequent meeting, shall record the proceedings. This record shall be a public record.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Record of Hearings.</text>
        <paragraph num="(1)">
          <text>An accurate record of all hearings, disputes, or controversies shall be kept by the local superintendent in order that, if an appeal is taken, the record shall be submitted.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Unless waived by all the parties, a stenographic record of that part of the proceedings which involves the presentation of evidence shall be made at the expense of the local board of education. The record need not be transcribed, however, unless requested by a party to the controversy, by the local superintendent, by the local board, by the State Superintendent, or by the State Board, as the case may be. The cost of any typewritten transcript of any proceedings, or part of proceedings, shall be paid by the party or entity requesting it unless as provided in COMAR 13A.01.01.03C(3) and D(2).</text>
        </paragraph>
      </paragraph>
      <paragraph num="C.">
        <text>Annual School Budget. The annual school budget shall be submitted by the local board of education to the board of county commissioners or county council or the city council according to the form and procedures adopted by the State Board of Education and set forth in the “Financial Reporting Manual for Maryland Public Schools Revised 2009”, which is incorporated by reference. The forms and procedures in the manual shall apply to the annual school budgets beginning with fiscal year 2010.</text>
      </paragraph>
      <paragraph num="D.">
        <text>Annual School Financial Report. The annual school financial report shall be submitted by the local board of education to the State Board of Education according to the form and procedures adopted by the State Board of Education.</text>
      </paragraph>
      <paragraph num="E.">
        <text>Other Reports. The local school system shall submit all reports required of the local board of education by the State Board of Education or the State Superintendent of Schools.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".03" heading="Specific Responsibilities.">
      <paragraph num="A.">
        <text>Comprehensive Liability Insurance. The type and amount of liability insurance carried by the local boards of education shall conform to the requirements of Education Article, § 4-105, Annotated Code of Maryland.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Absence of Principal. The local board of education may designate or give the principal authority to designate a person as the highest official of the school when the principal is to be absent from the school.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".04" heading="Length of the School Year.">
      <paragraph num="A.">
        <text>Schools shall be open a minimum of 180 days per year. In implementing Education Article, §7-103, Annotated Code of Maryland, a waiver of the 180-day requirement will be granted by the State Board of Education to local school systems only when:</text>
        <paragraph num="(1)">
          <text>They demonstrate that sufficient effort has been made through calendar planning and modification; and</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Natural or civil disasters or severe weather conditions are sufficiently significant to warrant waiver.</text>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>The closing of individual schools does not require a waiver by the State Board of Education but may be granted by permission of the State Superintendent of Schools upon request of the local superintendent of schools.</text>
      </paragraph>
      <paragraph num="C.">
        <text>Whether or not a school system plans to apply for a waiver, after any school system closure, it must provide notice to the Maryland State Department of Education, within 10 days of reopening, of its plan to make up the missed school days, including the dates of the make-up days.</text>
      </paragraph>
      <paragraph num="D.">
        <text>Application for Waiver.</text>
        <paragraph num="(1)">
          <text>In the required written application for waiver of school days, it shall be demonstrated that:</text>
          <paragraph num="(a)">
            <text>The local school system developed a calendar which included days to be used to make up days lost. Depending upon past experience, this number could range from 3 to 10 days throughout the State. The local school system calendar shall have identified those potential make-up days which could have been used as student days when calendar modification becomes necessary; that is, make-up days, student vacation days, etc.</text>
          </paragraph>
          <paragraph num="(b)">
            <text>The local school system has modified its calendar by scheduling school on the make-up days provided in the original calendar and by extending the school year 3 days beyond the previously scheduled closing date.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(2)">
          <text>In considering this application, the State Board of Education may waive:</text>
          <paragraph num="(a)">
            <text>The final day needed to complete the 180-day schedule if that day falls on a Monday;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Additional days beyond those specified in §D(1)(b) of this regulation that would have to be added to the calendar to complete a 180-day schedule.</text>
          </paragraph>
        </paragraph>
      </paragraph>
    </regulation>
    <annotations>
      <annotation type="Authority">Education Article, §§2-205, 4-101, 4-105, 4-106, 5-101, 5-109, and 7-103, Annotated Code of Maryland</annotation>
      <annotation type="History" subtype="Administrative History">Effective date: January 27, 1971</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .02B adopted effective October 21, 1978 (5:21 Md. R. 1589)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .03B amended effective July 1, 1987 (14:10 Md. R. 1172)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .03E amended effective March 30, 1977 (4:7 Md. R. 580); June 15, 1979 (6:12 Md. R. 1052); May 2, 1980 (7:9 Md. R. 848); August 30, 1982 (9:17 Md. R. 1709)</annotation>
      <annotation type="History" subtype="Administrative History">Chapter revised effective January 15, 1989 (15:27 Md. R. 3130)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .01 amended effective July 31, 2017 (44:15 Md. R. 760)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .02C amended effective December 16, 1996 (23:25 Md. R. 1786); November 2, 1998 (25:22 Md. R. 1652); October 19, 2009 (36:21 Md. R. 1592)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .03B amended effective August 15, 1994 (21:16 Md. R. 1385)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .04 amended effective September 24, 2018 (45:19 Md. R. 865)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .04C amended effective September 25, 2017 (44:19 Md. R. 898)</annotation>
    </annotations>
  </chapter>
  <chapter num="02" heading="Emergency Plans">
    <regulation prefix="Regulation" num=".01" heading="Scope.">
      <text>This chapter sets forth the requirements for emergency plans that shall be developed and implemented by each local school system in Maryland.</text>
    </regulation>
    <regulation prefix="Regulation" num=".02" heading="Definitions.">
      <paragraph num="A.">
        <text>In this chapter, the following terms have the meaning indicated.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Terms Defined.</text>
        <paragraph num="(1)">
          <text>“Local school system” means any of the 24 local public school systems in the State.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>“School emergency plan” means a plan for each public school grounds within the local school system that addresses mitigation, prevention, preparation, response, and recovery to an emergency including responding to:</text>
          <paragraph num="(a)">
            <text>Violent or traumatic events on school grounds during regular school hours or during school-sponsored activities; or</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Events in the community that affect normal school functioning.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(3)">
          <text>“Central administration emergency plan” means a plan for each local school system and the SEED School that addresses mitigation, prevention, preparation, response, and recovery to an emergency including responding to:</text>
          <paragraph num="(a)">
            <text>Violent or traumatic events on school grounds during regular school hours or during school-sponsored activities; or</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Events in the community that affect normal school functioning.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(4)">
          <text>“Drill” means a formalized exercise by which school system personnel, school staff, or students rehearse the plan or portions of the plan.</text>
        </paragraph>
        <paragraph num="(5)">
          <text>“Mitigation” means a preventative action taken to reduce the loss of life or damage to property from all hazards.</text>
        </paragraph>
        <paragraph num="(6)">
          <text>“Public school grounds” means local school system owned or leased buildings, the SEED School, and the land that surrounds the school building.</text>
        </paragraph>
        <paragraph num="(7)">
          <text>“SEED School” means the residential boarding education program operated under the supervision of the Department.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".03" heading="Incorporation by Reference.">
      <text>The Maryland State Department of Education Emergency Planning Guidelines for Local School Systems and Schools (December 2019) is incorporated by reference.</text>
    </regulation>
    <regulation prefix="Regulation" num=".04" heading="Emergency Plan.">
      <paragraph num="A.">
        <text>In consultation with other health and safety officials in the local community, each local school system and the SEED School shall develop an emergency plan for all public school grounds to include maintenance, transportation, and central administration office under its jurisdiction that:</text>
        <paragraph num="(1)">
          <text>Deals with the contingencies of man-made, technological, and natural hazards;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Conforms to the requirements of this chapter; and</text>
        </paragraph>
        <paragraph num="(3)">
          <text>Aligns with the Maryland State Department of Education Emergency Planning Guidelines for Local School Systems and Schools (December 2019).</text>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>Each local school system and the SEED School shall ensure that:</text>
        <paragraph num="(1)">
          <text>Each school facility under its jurisdiction has a school emergency plan that is aligned with the criteria outlined in the MSDE Emergency Planning Guidelines for Local School Systems and Schools (December 2019) and that a copy of each school emergency plan is on file at the central administration office.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>A central administration emergency plan that is aligned with the criteria outlined in the MSDE Emergency Planning Guidelines for Local School Systems and Schools (December 2019) is on file in each school grounds under its jurisdiction.</text>
        </paragraph>
      </paragraph>
      <paragraph num="C.">
        <text>Each local school system and the SEED School shall develop and implement an annual schedule of drills for each school grounds within the system. In addition to fire drills, the following drills shall be conducted annually:</text>
        <paragraph num="(1)">
          <text>Evacuation;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Shelter in place;</text>
        </paragraph>
        <paragraph num="(3)">
          <text>Reverse evacuation;</text>
        </paragraph>
        <paragraph num="(4)">
          <text>Lock down;</text>
        </paragraph>
        <paragraph num="(5)">
          <text>Drop, cover, and hold; and</text>
        </paragraph>
        <paragraph num="(6)">
          <text>Severe weather.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".05" heading="Annual Certification.">
      <paragraph num="A.">
        <text>By September 30 of each year, each local superintendent of schools and the Head of the SEED School shall certify to the State Superintendent that the requirements of this chapter are being implemented.</text>
      </paragraph>
      <paragraph num="B.">
        <text>By September 30 of each year, each local superintendent of schools and the Head of the SEED School shall send a copy of the local school system’s central administration emergency plan to the State Superintendent of Schools, if updated from the previous year.</text>
      </paragraph>
    </regulation>
    <annotations>
      <annotation type="Authority">Education Article, §§2-205, 7-435, 7-1510, and 8-702, Annotated Code of Maryland;Federal Statutory Reference: 20 U.S.C. 7114 and 20 U.S.C. 7118</annotation>
      <annotation type="History" subtype="Administrative History">Effective date: January 6, 2005 (31:26 Md. R. 1864)</annotation>
      <annotation type="History" subtype="Administrative History">Chapter revised effective November 25, 2013 (40:23 Md. R. 1935)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .03 amended effective June 18, 2018 (45:12 Md. R. 618); June 29, 2020 (47:13 Md. R. 641)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .04A, B amended effective June 18, 2018 (45:12 Md. R. 618); June 29, 2020 (47:13 Md. R. 641)</annotation>
    </annotations>
  </chapter>
  <chapter num="03" heading="Local Administrative and Supervisory Staff">
    <regulation prefix="Regulation" num=".01" heading="Organization and Administration.">
      <paragraph num="A.">
        <text>Accommodations, Duties of Local Administrative and Supervisory Staff. The local board of education shall provide suitable space and equipment for the administrative and supervisory staff of the local superintendent. The administrative and supervisory staff shall spend their time performing duties consistent with their positions, or as may be assigned by the local superintendent.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Recommended Staffing.</text>
        <paragraph num="(1)">
          <text>The size of the school system will determine to some extent the degree of staff specialization, but every effort should be made to provide adequate instructional and pupil personnel services to both elementary and secondary schools.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>The recommended ratio of supervisory staff for instructional services to student enrollment is one general supervisor for each 1,000 students enrolled up to 2,000 and one general or special supervisor for each additional 1,200 students enrolled. For most school systems this ratio should provide supervisory staff for instructional services with special competence at both elementary and secondary levels in such areas as curriculum development, subject content, and specialized services, for example, reading, speech and hearing, the gifted, and the disabled.</text>
        </paragraph>
        <paragraph num="(3)">
          <text>The following ratio of pupil personnel staff to students enrolled is recommended: One person responsible for the supervision of the pupil personnel services for the first 2,500 students enrolled and one pupil personnel worker (visiting teacher, school social worker, or school psychologist) for each additional 2,500 students.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".02" heading="Annual Leave of Staff.">
      <text>Annual leave of not less than 15 working days shall be given to each local administrative and supervisory staff member employed on a 12-month basis, the time for which shall be determined by the local superintendent.</text>
    </regulation>
    <annotations>
      <annotation type="Authority">Education Article, §§2-205(m) and 6-201, Annotated Code of Maryland</annotation>
      <annotation type="History" subtype="Administrative History">Effective date: July 26, 1967</annotation>
      <annotation type="History" subtype="Administrative History">Chapter revised effective January 15, 1989 (15:27 Md. R. 3130)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .01B amended effective August 15, 1994 (21:16 Md. R. 1385)</annotation>
    </annotations>
  </chapter>
  <chapter num="04" heading="Tobacco-Free School Environment">
    <regulation prefix="Regulation" num=".01" heading="Scope.">
      <text>These regulations require each local school system to maintain a tobacco-free school environment.</text>
    </regulation>
    <regulation prefix="Regulation" num=".02" heading="Definitions.">
      <paragraph num="A.">
        <text>In this chapter, the following terms have the meanings indicated.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Terms Defined.</text>
        <paragraph num="(1)">
          <text>“Official school day” means the regular school day with a designated starting time and ending time as defined by the local school system.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>“School buildings” means local school system owned or leased buildings.</text>
        </paragraph>
        <paragraph num="(3)">
          <text>“School grounds” means local school system owned or leased land that surrounds a school building.</text>
        </paragraph>
        <paragraph num="(4)">
          <text>Tobacco.</text>
          <paragraph num="(a)">
            <text>“Tobacco” means products derived from the tobacco plant that are smoked, chewed, sniffed, or otherwise consumed.</text>
          </paragraph>
          <paragraph num="(b)">
            <text>“Tobacco” does not include nicotine replacement therapy.</text>
          </paragraph>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".03" heading="Tobacco Use.">
      <text>The sale or use of tobacco in any form is prohibited in school buildings at all times. In addition, the sale or use of tobacco in any form is prohibited on school grounds during the official school day.</text>
    </regulation>
    <regulation prefix="Regulation" num=".04" heading="Notification of a Tobacco-Free Environment.">
      <text>Each local school system shall post notification to students, staff, and the general public that school buildings and grounds are tobacco-free.</text>
    </regulation>
    <regulation prefix="Regulation" num=".05" heading="Tobacco-Free Guidelines.">
      <text>The State Department of Education shall develop guidelines to assist the local school systems in implementing a tobacco-free environment.</text>
    </regulation>
    <regulation prefix="Regulation" num=".06" heading="Smoking Cessation Classes.">
      <text>Each local school system is encouraged to make smoking cessation classes available to all employees.</text>
    </regulation>
    <regulation prefix="Regulation" num=".07" heading="Certification Procedures.">
      <text>By September 1, 1993, each local superintendent of schools shall certify in writing to the State Superintendent of Schools that the regulations in this chapter are implemented.</text>
    </regulation>
    <annotations>
      <annotation type="Authority">Education Article, §2-205, Annotated Code of Maryland</annotation>
      <annotation type="History" subtype="Administrative History">Effective date: November 9, 1992 (19:22 Md. R. 1988)</annotation>
    </annotations>
  </chapter>
  <chapter num="05" heading="Maintenance of Effort">
    <regulation prefix="Regulation" num=".01" heading="Scope.">
      <text>This chapter governs the nonrecurring cost exclusion to the maintenance of effort requirement for the receipt of the State's share of the foundation program as well as the process for obtaining a waiver from the maintenance of effort requirement.</text>
    </regulation>
    <regulation prefix="Regulation" num=".02" heading="Definitions.">
      <paragraph num="A.">
        <text>In this chapter, the following terms have the meanings indicated.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Terms Defined.</text>
        <paragraph num="(1)">
          <text>“Agreed on Waiver” means a waiver based on an agreement to reduce recurring costs pursuant to Education Article §5-202(d)(9).</text>
        </paragraph>
        <paragraph num="(2)">
          <text>“County” means the county governing body and includes the Mayor and City Council of Baltimore City.</text>
        </paragraph>
        <paragraph num="(3)">
          <text>“Department” means the State Department of Education.</text>
        </paragraph>
        <paragraph num="(4)">
          <text>“Education effort” means a county’s appropriation to the local school system divided by the county’s wealth, as defined in Education Article, §5-202(a)(14), Annotated Code of Maryland.</text>
        </paragraph>
        <paragraph num="(5)">
          <text>“Five-year moving average of education effort” means the simple average of a county’s education effort for the five preceding years.</text>
        </paragraph>
        <paragraph num="(6)">
          <text>“Highest local appropriation” means the total amount of a county's appropriation to the school operating budget for a fiscal year and includes all items related to the ongoing education functions of the public schools.</text>
        </paragraph>
        <paragraph num="(7)">
          <text>“Impeded Ability Waiver” means a waiver for a fiscal year pursuant to Education Article, §5-202(d)(8), Annotated Code of Maryland.</text>
        </paragraph>
        <paragraph num="(8)">
          <text>“Local board” means the local board of education and includes the Board of School Commissioners of Baltimore City.</text>
        </paragraph>
        <paragraph num="(9)">
          <text>“Local wealth per pupil” means a county’s wealth divided by the county’s full-time equivalent enrollment.</text>
        </paragraph>
        <paragraph num="(10)">
          <text>“Rebasing Waiver” means a waiver to rebase maintenance of effort permanently pursuant to Education Article, §5-202(d)(10), Annotated Code of Maryland.</text>
        </paragraph>
        <paragraph num="(11)">
          <text>“Statewide 5-year moving average of education effort” means the simple average of the 5-year moving average of education effort for the 24 local school systems.</text>
        </paragraph>
        <paragraph num="(12)">
          <text>“Supplemental” means expenditures that are in excess of the original appropriation to the regular school operating budget that qualify as nonrecurring costs.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".03" heading="Nonrecurring Cost Exclusion.">
      <paragraph num="A.">
        <text>Calculation.</text>
        <paragraph num="(1)">
          <text>The calculation of the county's highest local appropriation to its school operating budget for the prior fiscal year shall exclude a qualifying nonrecurring cost that is supplemental to the regular school operating budget in accordance with the format developed by the Department.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Qualifying nonrecurring costs shall be limited to:</text>
          <paragraph num="(a)">
            <text>Costs to establish new computer laboratories that include the cost for equipment, furniture, wiring, hardware, software, space renovations, and the initial up-front cost for staff development, and training but not ongoing costs such as maintenance, staff salaries, staff development, and training;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Costs for new technology that include the cost for equipment, furniture, wiring, hardware, software, space renovations, and the initial up-front cost for staff development, and training but not ongoing costs such as maintenance, staff salaries, staff development, and training;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>New instructional program start-up costs that include the cost for equipment, furniture, wiring, hardware, software, space renovations, textbooks, manipulatives, staff development, and training;</text>
          </paragraph>
          <paragraph num="(d)">
            <text>Books other than classroom textbooks to establish a new library collection and new books required in new and renovated schools;</text>
          </paragraph>
          <paragraph num="(e)">
            <text>Capital items with a useful life of 5 years or more that include the cost to acquire fixed assets other than land and buildings; and</text>
          </paragraph>
          <paragraph num="(f)">
            <text>Other unique one-time costs that the local board and county mutually agree to be one-time expenditures.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(3)">
          <text>An approved qualifying nonrecurring cost may not be included in the county's appropriation for purposes of satisfying the county's maintenance of effort requirement.</text>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>Procedure.</text>
        <paragraph num="(1)">
          <text>The county shall submit to the Department between January 1 and March 31 of the prior fiscal year, a written request to exclude qualifying nonrecurring costs that are supplemental to the regular school operating budget. The request shall include an explanation of why the cost qualifies as nonrecurring. Before submitting the written request, the county shall confer with the local board. The county shall send a copy of the written request to the local board.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>The Department shall inform the local board of education and the county within 30 days from receipt of the written request, but no later than May 1 of the prior fiscal year, whether the qualifying nonrecurring costs that are supplemental to the regular school operating budget are approved for exclusion from the calculation of the county's highest local appropriation to its school operating budget.</text>
        </paragraph>
        <paragraph num="(3)">
          <text>The county or the local board may appeal to the State Board within 15 days of the date of a decision to approve or reject a cost as nonrecurring.</text>
        </paragraph>
        <paragraph num="(4)">
          <text>The county may decide to appropriate additional funds to its school operating budget during a fiscal year. The county shall obtain written approval from the Department to classify any additional appropriation as a nonrecurring cost.</text>
        </paragraph>
        <paragraph num="(5)">
          <text>The provisions of this regulation do not apply to a county if the county is granted a waiver, in whole or in part, by the State Board of Education based on a determination that the county's fiscal condition significantly impedes the county's ability to fund the maintenance of effort requirement.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".04" heading="Waiver of Maintenance of Effort Requirement.">
      <paragraph num="A.">
        <text>Waiver Requests.</text>
        <paragraph num="(1)">
          <text>In order to qualify for a maintenance of effort waiver, a county shall make a request for a waiver in writing to the State Board of Education by the earlier of April 20 or the 7th day following the end of the legislative session of the fiscal year prior to the waiver year. The county shall send to the local board of education a copy of the waiver request.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>There are three types of waiver requests:</text>
          <paragraph num="(a)">
            <text>Impeded Ability Waiver;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Agreed on Waiver; and</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Rebasing Waiver.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(3)">
          <text>The State Board shall inform the county whether the waiver is approved or denied in whole or in part 30 days after receipt of an application or May 20 of the fiscal year prior to the waiver year, whichever is earlier.</text>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>Public Hearing.</text>
        <paragraph num="(1)">
          <text>Upon receipt of the waiver request, the State Superintendent of Schools shall provide a preliminary assessment of the waiver request to the State Board.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Upon receipt of the waiver request, the State Board shall schedule a public hearing.</text>
        </paragraph>
        <paragraph num="(3)">
          <text>Notice of the public hearing shall include the time allotment for oral presentation.</text>
        </paragraph>
        <paragraph num="(4)">
          <text>The State Board may identify and call upon expert witnesses.</text>
        </paragraph>
      </paragraph>
      <paragraph num="C.">
        <text>Standards for Granting Waivers.</text>
        <paragraph num="(1)">
          <text>For an Impeded Ability Waiver for a fiscal year, the county shall address whether the waiver request is contested and submit the amount of the waiver request and a full explanation of how each of the following factors impact and support the request for this waiver:</text>
          <paragraph num="(a)">
            <text>External environmental factors such as a loss of a major employer or industry affecting a county or a broad economic downturn affecting more than one county;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>A county’s tax base;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Rate of inflation relative to growth of the student population in the county;</text>
          </paragraph>
          <paragraph num="(d)">
            <text>Maintenance of effort requirement relative to the county’s statutory ability to raise revenues;</text>
          </paragraph>
          <paragraph num="(e)">
            <text>The county’s history of exceeding the required maintenance of effort amount;</text>
          </paragraph>
          <paragraph num="(f)">
            <text>An agreement between a county and a county board that a waiver should be granted;</text>
          </paragraph>
          <paragraph num="(g)">
            <text>Significant reductions in State aid to the county and municipalities of the county for the fiscal year for which a waiver is requested;</text>
          </paragraph>
          <paragraph num="(h)">
            <text>The number of waivers the county has received in the past 5 years;</text>
          </paragraph>
          <paragraph num="(i)">
            <text>The history of compensation adjustments for employees of the county board and county government; and</text>
          </paragraph>
          <paragraph num="(j)">
            <text>Other factors, upon request by the State Board.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(2)">
          <text>For an Agreed on Waiver based on an agreed-on reduction in recurring costs, the county must submit:</text>
          <paragraph num="(a)">
            <text>The amount of the agreed-on reduction in recurring costs by line item in the local board’s budget;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>The amount of the waiver request;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>A comparison of the requested appropriation level to the amount required by Education Article, §5-202(d)(1)(i), Annotated Code of Maryland;</text>
          </paragraph>
          <paragraph num="(d)">
            <text>The document that sets forth the mutual agreement between the county and the local board; and</text>
          </paragraph>
          <paragraph num="(e)">
            <text>If the reduction in recurring costs includes reductions in personnel or personnel costs, the document that reflects the agreement of the exclusive employee representative.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(3)">
          <text>For a Rebasing Waiver to rebase maintenance of effort permanently, the county shall:</text>
          <paragraph num="(a)">
            <text>Have obtained a waiver for a fiscal year under §C(1) of this regulation;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Submit the amount requested to be permanently rebased;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Demonstrate that the county education appropriation under Education Article, §5-202(d)(1)(ii), Annotated Code of Maryland, for the waiver year exceeds 100 percent of the Statewide 5-year moving average of education effort times a county’s local wealth; and</text>
          </paragraph>
          <paragraph num="(d)">
            <text>Submit a full explanation of whether and how:</text>
            <paragraph num="(i)">
              <text>The county is at its maximum taxing authority under the law;</text>
            </paragraph>
            <paragraph num="(ii)">
              <text>The county’s education appropriation is commensurate with the county’s wealth;</text>
            </paragraph>
            <paragraph num="(iii)">
              <text>The county’s history of exceeding the required maintenance of effort has made meeting the maintenance of effort requirement in future years unsustainable;</text>
            </paragraph>
            <paragraph num="(iv)">
              <text>The county has or has not received a rebasing waiver in the past 5 years; and</text>
            </paragraph>
            <paragraph num="(v)">
              <text>The factors set forth in §C(1)(a)—(i) of this regulation affect the county’s ongoing ability to meet the maintenance of effort requirement.</text>
            </paragraph>
          </paragraph>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".05" heading="Additional Maintenance of Effort for Low-Effort Counties.">
      <paragraph num="A.">
        <text>Procedure.</text>
        <paragraph num="(1)">
          <text>In each fiscal year in which a county’s prior year’s education effort is below 100 percent of the Statewide five-year moving average of education effort, the Department will designate the county as a low-effort county.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>The local board in a low-effort county shall adjust the maintenance of effort amount for the county by increasing the per-pupil amount by the lesser of:</text>
          <paragraph num="(a)">
            <text>A county’s increase in local wealth per pupil between the prior fiscal year and current fiscal year;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>The Statewide average increases in local wealth per pupil between the prior fiscal year and the current fiscal year; or</text>
          </paragraph>
          <paragraph num="(c)">
            <text>2.5 percent.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(3)">
          <text>If the number calculated pursuant to §A(2)(a) or (b) of this regulation is a negative number, the adjustment to the maintenance of effort amount shall be zero.</text>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>Calculations.</text>
        <paragraph num="(1)">
          <text>For the purpose of calculating the 5-year moving average of education effort, the Department’s calculation of wealth in each fiscal year included in the 5-year period shall be based on the amount the Comptroller certifies as net taxable income based on tax returns filed on or before:</text>
          <paragraph num="(a)">
            <text>September 1st for fiscal years 2015—2017; and</text>
          </paragraph>
          <paragraph num="(b)">
            <text>November 1st for fiscal year 2018 and each fiscal year thereafter.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(2)">
          <text>To calculate a county’s increase in local wealth per pupil, divide the current fiscal year’s local wealth per pupil by the prior fiscal year’s local wealth per pupil and subtract 1.</text>
        </paragraph>
        <paragraph num="(3)">
          <text>To calculate the Statewide average increase in local wealth per pupil, add together the 24 changes in local wealth per pupil as calculated in §B(2) of this regulation and divide by 24.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <annotations>
      <annotation type="Authority">Education Article, §§2-205 and 5-202, Annotated Code of Maryland</annotation>
      <annotation type="History" subtype="Administrative History">Effective date:</annotation>
      <annotation type="History" subtype="Administrative History">Regulations .01—.03 adopted as an emergency provision effective November 8, 1996 (23:24 Md. R. 1679)</annotation>
      <annotation type="History" subtype="Administrative History">Regulations .01—.04 adopted effective March 24, 1997 (24:6 Md. R. 486)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .01 amended effective June 30, 2008 (35:13 Md. R. 1180)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .02B amended effective July 20, 2015 (42:14 Md. R. 881)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .03B amended effective July 20, 2015 (42:14 Md. R. 881)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .04 amended effective July 20, 2015 (42:14 Md. R. 881)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .05 adopted effective July 20, 2015 (42:14 Md. R. 881)</annotation>
    </annotations>
  </chapter>
  <chapter num="06" heading="General Financial Aid to Local School Systems">
    <regulation prefix="Regulation" num=".01" heading="Scope.">
      <text>This chapter applies to enrollment collection requirements for the calculation of State financial assistance for the 24 public school systems in Maryland through the foundation program and the compensatory education, English learner education, special education, and transportation services grants.</text>
    </regulation>
    <regulation prefix="Regulation" num=".02" heading="Definitions.">
      <paragraph num="A.">
        <text>In this chapter, the following terms have the meanings indicated.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Terms Defined.</text>
        <paragraph num="(1)">
          <text>“Age 3” means that the student is 3 years old on the date specified in COMAR 13A.08.01.02.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>“Age 5” means that the student is 5 years old on the date specified in COMAR 13A.08.01.02.</text>
        </paragraph>
        <paragraph num="(3)">
          <text>“Age 6” means that the student is 6 years old on the date specified in COMAR 13A.08.01.02.</text>
        </paragraph>
        <paragraph num="(4)">
          <text>“Age 21” means that the student has not received a high school diploma and is not 21 years old on the first day of the school year.</text>
        </paragraph>
        <paragraph num="(5)">
          <text>“Attendance” means that a student is present at school on a regular school day and includes participation in school-sponsored activities as specified in COMAR 13A.08.01.01.</text>
        </paragraph>
        <paragraph num="(6)">
          <text>Bona Fide Resident.</text>
          <paragraph num="(a)">
            <text>“Bona fide resident of Maryland” means a student who:</text>
            <paragraph num="(i)">
              <text>Is living with a parent or guardian who resides in Maryland;</text>
            </paragraph>
            <paragraph num="(ii)">
              <text>Has been determined to be a bona fide resident of Maryland in accordance with local school system policies and procedures;</text>
            </paragraph>
            <paragraph num="(iii)">
              <text>Is from another country and attending school in Maryland under a program approved by the Department which provides for a tuition waiver; or</text>
            </paragraph>
            <paragraph num="(iv)">
              <text>Is homeless as defined by 42 U.S.C. §1302.</text>
            </paragraph>
          </paragraph>
          <paragraph num="(b)">
            <text>“Bona fide resident of Maryland” does not include a student who:</text>
            <paragraph num="(i)">
              <text>Lives in another state, but attends a public school in Maryland under a cooperative agreement with the local school system;</text>
            </paragraph>
            <paragraph num="(ii)">
              <text>Does not have a parent or legal guardian residing in Maryland, but is temporarily living in Maryland for the primary purpose of attending a public school, with such determination being made on a case-by-case basis by the local school superintendent; or</text>
            </paragraph>
            <paragraph num="(iii)">
              <text>Is a resident of another state, but is placed in a foster care home or residential facility in Maryland by an out-of-state agency, which is financially responsible for the student's education under Education Article, §4-122(e), Annotated Code of Maryland.</text>
            </paragraph>
          </paragraph>
        </paragraph>
        <paragraph num="(7)">
          <text>“Department” means the Maryland State Department of Education.</text>
        </paragraph>
        <paragraph num="(8)">
          <text>“Documented retention and dropout prevention interventions” means documented actions taken by the local school system to keep the student in school.</text>
        </paragraph>
        <paragraph num="(9)">
          <text>“Eligible for free and reduced price meals” means qualified for free or reduced price meals based on eligibility requirements established by the United States Department of Agriculture.</text>
        </paragraph>
        <paragraph num="(10)">
          <text>“Foundation program” means the product of the annual per pupil foundation amount and a local school system's full time equivalent enrollment as specified in Education Article, §5-202, Annotated Code of Maryland.</text>
        </paragraph>
        <paragraph num="(11)">
          <text>“Full-time equivalent student” means a student eligible for inclusion in the enrollment count of a local school system for calculation of State financial assistance through the foundation program.</text>
        </paragraph>
        <paragraph num="(12)">
          <text>“Local school system” means the public school system of a county and includes the Baltimore City Public School System.</text>
        </paragraph>
        <paragraph num="(13)">
          <text>“Regular day program” means both the general education and special education programs operated by a local school system.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".03" heading="State Financial Assistance under the Foundation Program.">
      <paragraph num="A.">
        <text>For the purpose of calculating State aid under the foundation program, a student, who is a bona fide resident of Maryland and who has age appropriate immunizations, may be included in the enrollment count of the local school system under the following circumstances:</text>
        <paragraph num="(1)">
          <text>A student may be counted as one full-time equivalent student if the student:</text>
          <paragraph num="(a)">
            <text>Is between age 5 and age 21;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Is enrolled in a regular public school day program, grades 1—12 or the equivalent; and</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Is present at least 1 day in September and has not been determined to have withdrawn on or before September 30;</text>
          </paragraph>
        </paragraph>
        <paragraph num="(2)">
          <text>A student may be counted as one full-time equivalent student if the student is enrolled, but not attending school in September for an extended period, provided that:</text>
          <paragraph num="(a)">
            <text>The student is between age 5 and age 16;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>The student is enrolled in a regular public school day school program, grades 1—12 or their equivalent;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>The school has documented retention and dropout prevention interventions with respect to the student; and</text>
          </paragraph>
          <paragraph num="(d)">
            <text>The school system has documentation of at least 1 day of attendance by the student in September on file;</text>
          </paragraph>
        </paragraph>
        <paragraph num="(3)">
          <text>A student with disabilities may be counted as one full-time equivalent student if the student:</text>
          <paragraph num="(a)">
            <text>Is disabled;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Is at least age 6 and under age 21;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Is enrolled in a special education program in the public school; and</text>
          </paragraph>
          <paragraph num="(d)">
            <text>Is present at least 1 day in September and has not been determined to have withdrawn on or before September 30;</text>
          </paragraph>
        </paragraph>
        <paragraph num="(4)">
          <text>A student may be counted as one full-time equivalent student if the student:</text>
          <paragraph num="(a)">
            <text>Is enrolled in a public school kindergarten program in Garrett County;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Is at least age 5; and</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Is present at least 1 day in September and has not been determined to have withdrawn on or before September 30;</text>
          </paragraph>
        </paragraph>
        <paragraph num="(5)">
          <text>A student may be counted as a fraction of a full-time equivalent student under Education Article, §5-202(a)(6)(ii), Annotated Code of Maryland, if the student:</text>
          <paragraph num="(a)">
            <text>Is at least age 5;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Is enrolled in a public school kindergarten program other than in Garrett County; and</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Is present at least 1 day in September and has not been determined to have withdrawn on or before September 30;</text>
          </paragraph>
        </paragraph>
        <paragraph num="(6)">
          <text>A student may be counted as one full-time equivalent student if the student:</text>
          <paragraph num="(a)">
            <text>Is a part-time student enrolled in a day public high school;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Is younger than age 21 and older than age 5 at the time of enrollment;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Is working to satisfy the completion of requirements for a high school diploma;</text>
          </paragraph>
          <paragraph num="(d)">
            <text>Is present at least 1 day in September and has not been determined to have withdrawn on or before September 30; and</text>
          </paragraph>
          <paragraph num="(e)">
            <text>Is under school supplied supervision or other instructional services to cover that period of time when not enrolled in credit courses but is engaged in school-approved activities and alternative programs for part of the regular school day;</text>
          </paragraph>
        </paragraph>
        <paragraph num="(7)">
          <text>A student may be counted as a 1/4 full-time equivalent student for each course taken carrying one unit of credit or fraction of a unit of credit up to a maximum of one full-time student if the student:</text>
          <paragraph num="(a)">
            <text>Is a part-time student enrolled in a day or evening public high school;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Is younger than age 21 and older than age 5 at the time of enrollment;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Is working to satisfy the completion requirements for a high school diploma; and</text>
          </paragraph>
          <paragraph num="(d)">
            <text>Is present at least 1 day in September and has not been determined to have withdrawn on or before September 30;</text>
          </paragraph>
        </paragraph>
        <paragraph num="(8)">
          <text>A student may be counted as one full-time equivalent student if the student:</text>
          <paragraph num="(a)">
            <text>Is between age 5 and age 21;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Is enrolled in a home and hospital program operated by a local school system; and</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Has received at least 1 day of service in September and has not been determined to have withdrawn on or before September 30; and</text>
          </paragraph>
        </paragraph>
        <paragraph num="(9)">
          <text>A student may be counted as one full-time equivalent student if the student:</text>
          <paragraph num="(a)">
            <text>Is between age 5 and age 21;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Is registered in a public school system grades 9—12, and also enrolled full-time in a state-approved institution of higher education and receives both high school and college credit for college courses completed; and</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Is under the supervision of the public school system for the purposes of:</text>
            <paragraph num="(i)">
              <text>Assuring that all graduation requirements are met;</text>
            </paragraph>
            <paragraph num="(ii)">
              <text>Planning the dual enrollment course work for the student; and</text>
            </paragraph>
            <paragraph num="(iii)">
              <text>If appropriate, providing and supervising participation in extracurricular activities at the public school;</text>
            </paragraph>
          </paragraph>
          <paragraph num="(d)">
            <text>Is taking four or more credit bearing courses in the early college public school program; and</text>
          </paragraph>
          <paragraph num="(e)">
            <text>Is under the supervision of the public school for the purposes of:</text>
            <paragraph num="(i)">
              <text>Assuring that all graduation requirements are met;</text>
            </paragraph>
            <paragraph num="(ii)">
              <text>Planning the dual enrollment course work of the student; and</text>
            </paragraph>
            <paragraph num="(iii)">
              <text>Providing and supervising participation in extracurricular activities at the public school, if appropriate.</text>
            </paragraph>
          </paragraph>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>For the purpose of calculating State aid under the foundation program, a student may not be included in the enrollment count of a local school system if:</text>
        <paragraph num="(1)">
          <text>The student is not present on or after September 30 or does not receive home and hospital services on or after September 30; and</text>
        </paragraph>
        <paragraph num="(2)">
          <text>The local school system determines before filing the end of November adjustment report that the student has withdrawn.</text>
        </paragraph>
      </paragraph>
      <paragraph num="C.">
        <text>The service providing local school system may include a student enrolled as the result of an out-of-county living arrangement under Education Article, §4-122, Annotated Code of Maryland, in its full-time equivalent enrollment for the purpose of calculating State aid under the foundation program if the student meets all other eligibility requirements.</text>
      </paragraph>
      <paragraph num="D.">
        <text>If a local school system provides services to a nonlocal resident student under Education Article, §4-121, Annotated Code of Maryland, the service providing local education agency may include the nonlocal resident student in its enrollment count for the purpose of calculating State aid under the foundation program if the student meets all other eligibility requirements.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".04" heading="State Financial Assistance under the Compensatory Education Grant.">
      <paragraph num="A.">
        <text>A student may be counted as eligible for State aid under the compensatory education grant if the student:</text>
        <paragraph num="(1)">
          <text>Is eligible for free and reduced price meals as of October 31 of the prior fiscal year;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Is between age 5 and age 21; and</text>
        </paragraph>
        <paragraph num="(3)">
          <text>Is enrolled in:</text>
          <paragraph num="(a)">
            <text>A regular public school day program in grades kindergarten—12; or</text>
          </paragraph>
          <paragraph num="(b)">
            <text>A home and hospital program operated by a local school system.</text>
          </paragraph>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>A student with disabilities may be counted as eligible for State aid under the compensatory education grant if the student:</text>
        <paragraph num="(1)">
          <text>Is eligible for free and reduced price meals as of October 31 of the prior fiscal year;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Is between age 5 and age 21; and</text>
        </paragraph>
        <paragraph num="(3)">
          <text>Is enrolled in a special education program in the public school.</text>
        </paragraph>
      </paragraph>
      <paragraph num="C.">
        <text>The service providing local school system may include a child enrolled as the result of an out-of-county living arrangement under Education Article, §4-122, Annotated Code of Maryland, in its free and reduced price meal enrollment count for the purpose of calculating State aid under the compensatory education grant if the student meets all other eligibility requirements.</text>
      </paragraph>
      <paragraph num="D.">
        <text>If a local school system provides services to a nonlocal resident student under Education Article, §4-121, Annotated Code of Maryland, the local school system shall include the nonlocal resident student in its enrollment count for the purpose of calculating State aid under the compensatory education grant if the student meets all other eligibility requirements.</text>
      </paragraph>
      <paragraph num="E.">
        <text>Each local school system shall submit a report to the Department each year which includes:</text>
        <paragraph num="(1)">
          <text>The number of individuals eligible to participate in the free and reduced price meal program as reported in the official count submitted under guidelines established by the United States Department of Agriculture;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>The number of individuals eligible to participate in the free and reduced price meal program, but not eligible for State aid under the compensatory education grant; and</text>
        </paragraph>
        <paragraph num="(3)">
          <text>The list of individuals eligible to participate in the free and reduced price meal program, but not eligible for State aid under the compensatory education grant, by school and unique student identifier.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".05" heading="State Financial Assistance Under the English Learner Education Grant.">
      <paragraph num="A.">
        <text>A student may be counted as eligible for State aid under the English learner education grant if the student:</text>
        <paragraph num="(1)">
          <text>Is between age 3 and age 21;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Is enrolled in a public school in a local school system; and</text>
        </paragraph>
        <paragraph num="(3)">
          <text>Is receiving English language acquisition services, as defined under Title III of the Federal Elementary and Secondary Education Act, through a local school system on October 31 of the prior fiscal year.</text>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>The service providing local school system may include a child enrolled as the result of an out-of-county living arrangement under Education Article, §4-122, Annotated Code of Maryland, in its enrollment count for the purpose of calculating State aid under the limited English proficiency grant if the student meets all other eligibility requirements.</text>
      </paragraph>
      <paragraph num="C.">
        <text>If a local school system provides services to a nonlocal resident student under Education Article, §4-121, Annotated Code of Maryland, the local school system may include the nonlocal resident student in its enrollment count for the purpose of calculating State aid under the limited English proficiency grant if the student meets all other eligibility requirements.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".06" heading="State Financial Assistance Under the Special Education Grant.">
      <paragraph num="A.">
        <text>A student may be counted as eligible for State aid under the special education grant if the student is:</text>
        <paragraph num="(1)">
          <text>Between age 3 and age 21;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Enrolled in a public school in a local school system unless the student is enrolled in or attending:</text>
          <paragraph num="(a)">
            <text>The Maryland School for the Blind;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>The Maryland School for the Deaf; or</text>
          </paragraph>
          <paragraph num="(c)">
            <text>An educational program operated by the State; and</text>
          </paragraph>
        </paragraph>
        <paragraph num="(3)">
          <text>Receiving special education services, as defined in the federal Individuals with Disabilities Education Act, on October 1 of the prior fiscal year.</text>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>The service providing local school system may include a student enrolled as the result of an out-of-county living arrangement, under Education Article, §4-122, Annotated Code of Maryland, in its enrollment count for the purpose of calculating State aid under the special education grant if the student meets all other eligibility requirements.</text>
      </paragraph>
      <paragraph num="C.">
        <text>If a local school system provides services to a nonlocal resident student, under Education Article, §4-121, Annotated Code of Maryland, the local school system may include the nonlocal resident student in its enrollment count for the purpose of calculating State aid under the special education grant if the student meets all other eligibility requirements.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".07" heading="State Financial Assistance Under the Transportation Services Grant.">
      <paragraph num="A.">
        <text>A student may be counted as eligible for State aid under the transportation services grant if:</text>
        <paragraph num="(1)">
          <text>The student is between age 3 and age 21;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>The student is enrolled in a public school, a school maintained by a State agency, or a nonpublic school;</text>
        </paragraph>
        <paragraph num="(3)">
          <text>Transportation services are identified as a related service for a free appropriate public education in the student's individualized education program or in the student’s Section 504 plan; and</text>
        </paragraph>
        <paragraph num="(4)">
          <text>The student is receiving services as of the last Friday in October of the prior fiscal year.</text>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>The service providing local school system may include a student enrolled as the result of an out-of-county living arrangement under Education Article, §4-122, Annotated Code of Maryland, in its count for the purpose of calculating State aid under the transportation services grant if the student meets all other eligibility requirements.</text>
      </paragraph>
      <paragraph num="C.">
        <text>If a local school system provides services to a nonlocal resident student under Education Article, §4-121, Annotated Code of Maryland, the local school system may include the nonlocal resident student in its enrollment count for the purpose of calculating State aid under the transportation services grant if the student meets all other eligibility requirements.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".08" heading="General Requirements.">
      <paragraph num="A.">
        <text>Each local school system shall submit enrollment count reports and financial reports annually to the Department on forms and by deadlines as prescribed by the State Superintendent of Schools.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Each local school system shall retain student records based on the guidelines and standards for the retention and disposition of student records as set forth in the Records Retention and Disposition Manual for Public Education (Revised 1999) in accordance with COMAR 14.18.02.</text>
      </paragraph>
    </regulation>
    <annotations>
      <annotation type="Authority">: Education Article, §§2-205, 5-202, 5-205—5-209, 5-212, 5-218, 5-222, 5-224, 5-225, 7-101, 7-101.1, 8-101—8-105, 8-403, and 8-404, Annotated Code of Maryland</annotation>
      <annotation type="History" subtype="Administrative History">Effective date: August 30, 1967</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .02 repealed effective May 10, 1982 (9:9 Md. R. 911)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .05 adopted effective August 10, 1979 (6:16 Md. R. 1331)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .06 adopted effective September 19, 1980 (7:19 Md. R. 1808) (Recodified from COMAR 13.02.06.10 to 13A.02.06.06)</annotation>
      <annotation type="History" subtype="Administrative History">Chapter revised effective January 15, 1989 (15:27 Md. R. 3130)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .02 repealed and new Regulation .02 adopted effective September 2, 1991 (18:17 Md. R. 1919)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .02F repealed effective August 15, 1994 (21:16 Md. R. 1385)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .03 repealed effective August 7, 1989 (16:15 Md. R. 1651)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .03 adopted effective October 5, 1998 (25:20 Md. R. 1532)</annotation>
      <annotation type="History" subtype="Administrative History">Regulations .01—.03 repealed and new Regulations .01—.08 adopted effective July 1, 2003 (30:8 Md. R. 542)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .01 amended effective October 16, 2023 (50:20 Md. R. 888)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .02B amended effective May 23, 2005 (32:10 Md. R. 925); September 11, 2006 (33:18 Md. R. 1506); April 23, 2007 (34:8 Md. R. 767); January 12, 2009 (36:1 Md. R. 23); January 9, 2012 (38:27 Md. R. 1765); May 23, 2016 (43:10 Md. R. 589); October 16, 2023 (50:20 Md. R. 888)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .03A amended effective November 8, 2004 (31:22 Md. R. 1596)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .03A amended as an emergency provision effective November 7, 2013 (40:24 Md. R. 2015); emergency status extended to August 13, 2014 (41:5 Md. R. 339); emergency status expired</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .03A amended effective September 29, 2014 (41:19 Md. R. 1080)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .04B amended effective November 8, 2004 (31:22 Md. R. 1596)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .05 amended effective October 16, 2023 (50:20 Md. R. 888)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .06A amended effective May 17, 2021 (48:10 Md. R. 401); October 16, 2023 (50:20 Md. R. 888)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .07 amended effective October 16, 2023 (50:20 Md. R. 888)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .07A amended effective June 30, 2008 (35:13 Md. R. 1181)</annotation>
    </annotations>
  </chapter>
  <chapter num="07" heading="Annual Audits of Financial Statements and Federal Awards">
    <regulation prefix="Regulation" num=".01" heading="Scope.">
      <text>These regulations implement the Education Article, §5-109, Annotated Code of Maryland, which requires each local board of education to provide for an annual audit of its financial statements. The regulations also implement the Single Audit Act of 1984 and the Single Audit Act Amendments of 1996 and the Office of Management and Budget Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations, which require State, local governments, and nonprofit organizations to provide for an annual audit of federal awards.</text>
    </regulation>
    <regulation prefix="Regulation" num=".02" heading="Definitions.">
      <paragraph num="A.">
        <text>In these regulations, the following terms have the meanings indicated.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Terms Defined.</text>
        <paragraph num="(1)">
          <text>“Department” means the Maryland State Department of Education.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>“Fiscal year” means the period beginning on July 1 of a calendar year and ending on June 30 of the next calendar year.</text>
        </paragraph>
        <paragraph num="(3)">
          <text>“Local board” means the board of education of a county and includes the Board of School Commissioners of Baltimore City.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".03" heading="Incorporation by Reference.">
      <paragraph num="A.">
        <text>In this chapter, the following documents are incorporated by reference.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Documents Incorporated.</text>
        <paragraph num="(1)">
          <text>Audit and Accounting Guide for State and Local Governments (2005 Edition—American Institute of Certified Public Accountants).</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Government Auditing Standards (2003 Revision—Comptroller General of the United States).</text>
        </paragraph>
        <paragraph num="(3)">
          <text>The Single Audit Act of 1984 (31 U.S.C. §§7501—7507, Public Law 98-502) and the Single Audit Act Amendments of 1996 (31 U.S.C. §§7501—7507, Public Law 104—156).</text>
        </paragraph>
        <paragraph num="(4)">
          <text>The Office of Management and Budget (OMB) Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations (62 FR 35278 (2003)).</text>
        </paragraph>
        <paragraph num="(5)">
          <text>Office of Management and Budget Circular A-133 Compliance Supplement (64 FR 26793 (2004)).</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".04" heading="Audits of Financial Statements.">
      <paragraph num="A.">
        <text>Audit Required. Each local board shall have an audit made of its financial statements for each fiscal year in accordance with this regulation.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Qualifications of Auditor. An independent certified public accountant, or a partnership or corporation of certified public accountants who hold a license or permit issued by the State Board of Public Accountancy shall perform the audit.</text>
      </paragraph>
      <paragraph num="C.">
        <text>Approval by State Superintendent of Schools. The local superintendent of schools shall submit to the State Superintendent of Schools for approval, by May 1 of the fiscal year to be audited, the name of the auditor.</text>
      </paragraph>
      <paragraph num="D.">
        <text>Standards. The auditor shall conduct the audit in accordance with generally accepted auditing standards and the requirements set forth in the following documents:</text>
        <paragraph num="(1)">
          <text>“Audit and Accounting Guide for State and Local Governments”; and</text>
        </paragraph>
        <paragraph num="(2)">
          <text>“Government Auditing Standards”.</text>
        </paragraph>
      </paragraph>
      <paragraph num="E.">
        <text>Report on Audit of Financial Statements. The audit reporting package shall include, at a minimum:</text>
        <paragraph num="(1)">
          <text>The auditor's opinion which states whether the local board's financial statements are presented fairly in accordance with generally accepted accounting principles;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Management's discussion and analysis of the local board's financial performance during the fiscal year;</text>
        </paragraph>
        <paragraph num="(3)">
          <text>Basic financial statements prepared in accordance with generally accepted accounting principles and current Government Accounting Standards Board pronouncements that provide at least the following information, if applicable:</text>
          <paragraph num="(a)">
            <text>Statement of net assets;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Statement of activities that presents expenses and revenues by individual functions and the corresponding change in net assets;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Governmental funds balance sheet;</text>
          </paragraph>
          <paragraph num="(d)">
            <text>Reconciliation of the governmental funds balance sheet to the statement of net assets;</text>
          </paragraph>
          <paragraph num="(e)">
            <text>Statement of revenues, expenditures, and changes in fund balances of governmental funds;</text>
          </paragraph>
          <paragraph num="(f)">
            <text>Reconciliation of the statement of revenues, expenditures, and changes in fund balances of governmental funds to the statement of activities;</text>
          </paragraph>
          <paragraph num="(g)">
            <text>Statement of net assets of proprietary funds;</text>
          </paragraph>
          <paragraph num="(h)">
            <text>Statement of revenues, expenses, and changes to fund net assets of proprietary funds;</text>
          </paragraph>
          <paragraph num="(i)">
            <text>Statement of cash flows of proprietary funds;</text>
          </paragraph>
          <paragraph num="(j)">
            <text>Statement of fiduciary net assets; and</text>
          </paragraph>
          <paragraph num="(k)">
            <text>Notes to the financial statements with all required disclosures;</text>
          </paragraph>
        </paragraph>
        <paragraph num="(4)">
          <text>Required supplemental information that includes, if not already included as part of the basic financial statements, budgetary comparison schedules for the General Fund and for each major special revenue fund that has a legally adopted budget;</text>
        </paragraph>
        <paragraph num="(5)">
          <text>The auditor's report on internal control over financial reporting and on compliance and other matters based on an audit of financial statements performed in accordance with Governmental Auditing Standards; and</text>
        </paragraph>
        <paragraph num="(6)">
          <text>The letter of recommendation submitted by the auditor to the management of the local board noting other matters involving the internal control over financial reporting, certain matters relating to compliance, or both.</text>
        </paragraph>
      </paragraph>
      <paragraph num="F.">
        <text>Submission of Report. The local superintendent of schools shall submit a copy of the audit reporting package required under §E of this regulation to the State Superintendent of Schools and the appropriate local authority by September 30 after the close of the fiscal year.</text>
      </paragraph>
      <paragraph num="G.">
        <text>Reconciliation. If there are any differences between the audited financial statements and the annual school financial report submitted pursuant to COMAR 13A.02.01.02D, the local superintendent of schools shall submit a report reconciling the differences to the State Superintendent of Schools by December 31 after the close of the fiscal year.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".05" heading="Audits of Federal Awards.">
      <paragraph num="A.">
        <text>Additional Audit Requirements and Standards. In addition to the requirements of Regulation .04 of this chapter, if a local board expends $500,000 or more in a fiscal year in federal awards, the local board shall have an audit made in accordance with the Single Audit Act of 1984 and the Single Audit Act Amendments of 1996 and the Office of Management and Budget (OMB) Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Submission of Report. The local superintendent of schools shall submit a copy of the audit reporting package required under §A of this regulation and responses to the findings noted therein to the State Superintendent of Schools and to the federally designated central clearinghouse within 30 days after receipt of the audit report, but not later than December 31 after the end of the fiscal year.</text>
      </paragraph>
      <paragraph num="C.">
        <text>Costs. Additional costs incurred by a local board in meeting the requirements of this regulation may be charged to federal awards as a direct expenditure provided that all standards are met. The percentage of costs charged to federal awards for this purpose may not exceed the percentage that federal funds expended represent of total funds expended by the local board during the fiscal year. The percentage may be exceeded if the costs are the subject of a separate and distinct billing supported with appropriate documentation that demonstrates higher actual costs. The cost of an audit of expenditures of federal awards of less than $500,000 in a fiscal year may not be charged to federal awards.</text>
      </paragraph>
      <paragraph num="D.">
        <text>Auditor Selection. If federal funds are used to pay for any of the costs of an audit, the local board shall follow the procurement standards prescribed by 34 CFR Part 74, Subpart P, “Procurement Standards”, and shall give small audit firms and audit firms owned and controlled by socially and economically disadvantaged individuals the maximum practicable opportunity to participate in contracts awarded.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".06" heading="Audit Resolution.">
      <paragraph num="A.">
        <text>Department Responsibilities. The Department shall review all audits of the local boards made pursuant to Regulations .04 and .05 this chapter, monitor the implementation of corrective action, and determine the amount of questioned costs to be disallowed.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Written Notice of Disallowed Costs. The Department shall give the local superintendent of schools written notice whenever it determines that any questioned costs are to be disallowed.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".07" heading="Fraudulent Acts.">
      <paragraph num="A.">
        <text>If the auditor becomes aware of any fraudulent acts, the auditor shall promptly notify the local superintendent of schools and prepare a separate written report.</text>
      </paragraph>
      <paragraph num="B.">
        <text>The local superintendent of schools shall promptly notify the Department of the fraudulent acts and any actions taken or proposed.</text>
      </paragraph>
      <paragraph num="C.">
        <text>Fraudulent acts include:</text>
        <paragraph num="(1)">
          <text>Fraudulent financial reporting;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Misappropriations of funds or other assets; and</text>
        </paragraph>
        <paragraph num="(3)">
          <text>Conflicts of interest.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".08" heading="Inspection and Retention of Records.">
      <paragraph num="A.">
        <text>Audit reports shall be made available by the local superintendent of schools for public inspection within 30 days after receipt of the audit report.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Audit reports and working papers shall be retained for 5 years unless the Department or appropriate federal agency notifies the local superintendent of schools in writing to retain the records for a longer period.</text>
      </paragraph>
      <paragraph num="C.">
        <text>Audit working papers shall be made available upon request to the Department or an appropriate federal agency.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".09" heading="Extensions of Time.">
      <paragraph num="A.">
        <text>The State Superintendent of Schools may extend the time periods in Regulations .04C and G and .05B of this chapter upon written request by the local superintendent of schools.</text>
      </paragraph>
      <paragraph num="B.">
        <text>A written request for extension of a time period shall be made at least 15 days before an act is required or report is due and shall state the reasons for requesting the extension.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".10" heading="Relation to Other Audit Requirements.">
      <text>These regulations do not limit the authority of local, State, or federal agencies to conduct additional audits necessary to carry out their responsibilities under any other law or regulation.</text>
    </regulation>
    <annotations>
      <annotation type="Authority">Education Article, §§2-205, 5-109, and 5-206, Annotated Code of Maryland</annotation>
      <annotation type="History" subtype="Administrative History">Effective date: January 28, 1970</annotation>
      <annotation type="History" subtype="Administrative History">Chapter revised effective June 7, 1983 (10:11 Md. R. 976)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .01E and F amended effective July 30, 1984 (11:15 Md. R. 1332)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .01, Annual Audit of Financial Accounts, repealed effective April 4, 1988 (15:7 Md. R. 850)</annotation>
      <annotation type="History" subtype="Administrative History">Regulations .01—.09, Annual Audits of Financial Statements and Federal Assistance Programs, adopted effective April 4, 1988 (15:7 Md. R. 850)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .03D amended effective October 16, 1989 (16:20 Md. R. 2181); August 3, 1992 (19:15 Md. R. 1392)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .03E—G amended effective August 15, 1994 (21:16 Md. R. 1386)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .04A amended effective August 3, 1992 (19:15 Md. R. 1392)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .04C amended effective August 15, 1994 (21:16 Md. R. 1386)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .04E amended effective October 16, 1989 (16:20 Md. R. 2181); August 15, 1994 (21:16 Md. R. 1386)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .04F, G amended effective August 15, 1994 (21:16 Md. R. 1386)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .05A amended effective August 15, 1994 (21:16 Md. R. 1386)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .08A amended effective August 15, 1994 (21:16 Md. R. 1386)</annotation>
      <annotation type="History" subtype="Administrative History">Chapter revised effective October 4, 1999 (26:20 Md. R. 1547)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .02B amended effective September 25, 2006 (33:19 Md. R. 1561)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .03B amended effective September 25, 2006 (33:19 Md. R. 1561); July 2, 2007 (34:13 Md. R. 1152)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .04 amended effective September 25, 2006 (33:19 Md. R. 1561)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .05 amended effective September 25, 2006 (33:19 Md. R. 1561)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .08 amended effective September 25, 2006 (33:19 Md. R. 1561)</annotation>
    </annotations>
  </chapter>
  <chapter num="08" heading="Recognition of Employee Organizations" reason="Repealed">
    <annotations>
      <annotation type="History" subtype="Administrative History">Effective date: March 26, 1969</annotation>
      <annotation type="History" subtype="Administrative History">Chapter revised effective June 25, 1975 (2:14 Md. R. 1016)</annotation>
      <annotation type="History" subtype="Administrative History">Chapter revised effective January 15, 1989 (15:27 Md. R. 3131)</annotation>
      <annotation type="History" subtype="Administrative History">Regulations .01A and .02, Forms 1 and 8 amended effective January 22, 1990 (17:1 Md. R. 71)</annotation>
      <annotation type="History" subtype="Administrative History">Regulations .01 and .02, Forms 1—10 amended effective March 29, 1993 (20:6 Md. R. 582)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .02, Form 5 amended effective October 15, 1990 (17:20 Md. R. 2429)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .02, Form 7 amended effective December 4, 1995 (22:24 Md. R. 1901)</annotation>
      <annotation type="History" subtype="Administrative History">Chapter repealed effective February 13, 2017 (44:3 Md. R. 189)</annotation>
    </annotations>
  </chapter>
  <chapter num="09" heading="Closing of Schools">
    <regulation prefix="Regulation" num=".01" heading="Adoption of Procedures to Govern School Closings.">
      <paragraph num="A.">
        <text>Each local board of education shall establish procedures to be used in making decisions on school closings.</text>
      </paragraph>
      <paragraph num="B.">
        <text>The procedures shall ensure, at a minimum, that consideration is given to the impact of the proposed closing on the following factors:</text>
        <paragraph num="(1)">
          <text>Student enrollment trends;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Age or condition of school buildings;</text>
        </paragraph>
        <paragraph num="(3)">
          <text>Transportation;</text>
        </paragraph>
        <paragraph num="(4)">
          <text>Educational programs;</text>
        </paragraph>
        <paragraph num="(5)">
          <text>Racial composition of student body;</text>
        </paragraph>
        <paragraph num="(6)">
          <text>Financial considerations;</text>
        </paragraph>
        <paragraph num="(7)">
          <text>Student relocation;</text>
        </paragraph>
        <paragraph num="(8)">
          <text>Impact on community in geographic attendance area for school proposed to be closed and school, or schools, to which students will be relocating.</text>
        </paragraph>
      </paragraph>
      <paragraph num="C.">
        <text>The procedures shall provide, at a minimum, for the following requirements:</text>
        <paragraph num="(1)">
          <text>A public hearing to permit concerned citizens an opportunity to submit their views orally or to submit written testimony or data on a proposed school closing. This includes the following:</text>
          <paragraph num="(a)">
            <text>The public hearing shall take place before any final decision by a local board of education to close a school;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Time limits on the submission of oral or written testimony and data shall be clearly defined in the notification of the public meeting.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(2)">
          <text>Adequate notice to parents and guardians of students in attendance at all schools that are being considered for closure by the local board of education. The following apply:</text>
          <paragraph num="(a)">
            <text>In addition to any regular means of notification used by a local school system, written notification of all schools that are under consideration for closing shall be advertised in at least two newspapers having general circulation in the geographic attendance area for the school or schools proposed to be closed, and the school or schools to which students will be relocating;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>The newspaper notification shall include the procedures that will be followed by the local board of education in making its final decision;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>The newspaper notification shall appear at least 2 weeks in advance of any public hearings held by the local school system on a proposed school closing.</text>
          </paragraph>
        </paragraph>
      </paragraph>
      <paragraph num="D.">
        <text>The final decision of a local board of education to close a school shall be announced at a public session and shall be in writing. The following apply:</text>
        <paragraph num="(1)">
          <text>The final decision shall include the rationale for the school closing and address the impact of the proposed closing on the factors set forth in Regulation .01B;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>There shall be notification of the final decision of the local board of education to the community in the geographic attendance area of the school proposed to be closed and school or schools to which students will be relocating;</text>
        </paragraph>
        <paragraph num="(3)">
          <text>The final decision shall include notification of the right to appeal to the State Board of Education as set forth in Regulation .03.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".02" heading="Date of Decision.">
      <text>Except in emergency circumstances, the decision to close a school shall be announced at least 90 days before the date the school is scheduled to be closed but not later than April 30 of any school year. An emergency circumstance is one where the decision to close a school because of unforeseen circumstances cannot be announced at least 90 days before the date a school is scheduled to close or before April 30 of any school year.</text>
    </regulation>
    <regulation prefix="Regulation" num=".03" heading="Appeal to State Board of Education.">
      <paragraph num="A.">
        <text>An appeal to the State Board of Education may be submitted in writing within 30 days after the decision of a local board of education.</text>
      </paragraph>
      <paragraph num="B.">
        <text>The State Board of Education will uphold the decision of the local board of education to close and consolidate a school unless the facts presented indicate its decision was arbitrary and unreasonable or illegal.</text>
      </paragraph>
    </regulation>
    <annotations>
      <annotation type="Authority">Education Article, §§2-205, 4-101, 4-119, and 4-205, Annotated Code of Maryland</annotation>
      <annotation type="History" subtype="Administrative History">Effective date: August 2, 1982 (9:15 Md. R. 1516)</annotation>
      <annotation type="History" subtype="Administrative History">Regulations .01 and .03 amended effective August 26, 1985 (12:17 Md. R. 1707); January 15, 1989 (15:27 Md. R. 3131)</annotation>
    </annotations>
  </chapter>
  <chapter num="10" heading="Maryland Public Charter School Program">
    <regulation prefix="Regulation" num=".01" heading="Purpose.">
      <text>The general purpose of the Maryland Public Charter School Program is to establish an alternative means within the existing public school system in order to provide innovative learning opportunities and creative educational approaches to improve the education of students.</text>
    </regulation>
    <regulation prefix="Regulation" num=".02" heading="Definitions.">
      <paragraph num="A.">
        <text>In this chapter, the following terms have the meanings indicated.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Terms Defined.</text>
        <paragraph num="(1)">
          <text>“Buy back” means a good or service that a public charter school elects to purchase from the local school system.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>“In-kind service” means a service offered by the local school system to a public charter school and accepted by the public charter school without charge.</text>
        </paragraph>
        <paragraph num="(3)">
          <text>“Public charter school” means a public school that:</text>
          <paragraph num="(a)">
            <text>Is nonsectarian in all its programs, policies, and operations;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Is a school to which parents choose to send their children;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Except as provided in Education Article, §§
                      9-102.
                      1,
                      9-102.
                      2, and
                      9-102.3, Annotated Code of Maryland, is open to all students on a space-available basis and admits students on a lottery basis if more students apply than can be accommodated;</text>
          </paragraph>
          <paragraph num="(d)">
            <text>Is a new public school or a conversion of an existing public school;</text>
          </paragraph>
          <paragraph num="(e)">
            <text>Provides a program of elementary or secondary education or both;</text>
          </paragraph>
          <paragraph num="(f)">
            <text>Operates in pursuit of a specific set of educational objectives;</text>
          </paragraph>
          <paragraph num="(g)">
            <text>Is tuition-free;</text>
          </paragraph>
          <paragraph num="(h)">
            <text>Is subject to federal and State laws prohibiting discrimination;</text>
          </paragraph>
          <paragraph num="(i)">
            <text>Is in compliance with all applicable health and safety laws;</text>
          </paragraph>
          <paragraph num="(j)">
            <text>Is in compliance with
                      Education Article, §9-107, Annotated Code of Maryland;</text>
          </paragraph>
          <paragraph num="(k)">
            <text>Operates under the supervision of the public chartering authority from which its charter is granted and in accordance with its charter and, except as provided in Education Article, §§
                      9-104.
                      1 and
                      9-106, Annotated Code of Maryland, the provisions of law and regulation governing other public schools;</text>
          </paragraph>
          <paragraph num="(l)">
            <text>Requires students to be physically present on school premises for a period of time substantially similar to that which other public school students spend on school premises; and</text>
          </paragraph>
          <paragraph num="(m)">
            <text>Is created in accordance with
                      Education Article, Title 9, Annotated Code of Maryland, this chapter, and the appropriate local board policy.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(4)">
          <text>“Special education adjustment” means an amount that:</text>
          <paragraph num="(a)">
            <text>Equals the difference between:</text>
            <paragraph num="(i)">
              <text>A local school system’s actual expenditures on special education services and special education transportation during the prior fiscal year; and</text>
            </paragraph>
            <paragraph num="(ii)">
              <text>The local, State, and federal revenue dedicated to those costs that the local school system received the prior fiscal year; and</text>
            </paragraph>
          </paragraph>
          <paragraph num="(b)">
            <text>Is allocated to meet the needs of students with disabilities in the local school system, including students with disabilities enrolled in public charter schools.</text>
          </paragraph>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".03" heading="Waivers for Public Charter Schools on Federal Military Bases.">
      <paragraph num="A.">
        <text>The State Board may grant a waiver from
                  Education Article, §9-102(3), Annotated Code of Maryland, to a public charter school if the public charter school:</text>
        <paragraph num="(1)">
          <text>Is located on property within a federal military base in the State; and</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Will admit students with parents who are not assigned to the base to at least 35 percent of its total available space as part of the initial cohort of students in a grade.</text>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>If a public charter school is granted a waiver under
                  §A of this regulation, subject to the requirement set forth in
                  §A(2) of this regulation, the public charter school shall:</text>
        <paragraph num="(1)">
          <text>Admit all students on a lottery basis in accordance with
                    Education Article, §9-102.2, Annotated Code of Maryland; and</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Take reasonable steps to maintain the 35 percent to 65 percent ratio intended as part of the initial cohort of students in a grade.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".04" heading="Admission of Students on a Lottery Basis.">
      <paragraph num="A.">
        <text>A public charter school may give greater weight to a student’s lottery status as part of a lottery held under
                  Education Article, §9-102(3), Annotated Code of Maryland, and in accordance with an application submitted under
                  Education Article, §9-104, Annotated Code of Maryland, if the student is:</text>
        <paragraph num="(1)">
          <text>Eligible for free or reduced price meals;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>A student with disabilities;</text>
        </paragraph>
        <paragraph num="(3)">
          <text>A student with limited English proficiency;</text>
        </paragraph>
        <paragraph num="(4)">
          <text>Homeless, as defined by the federal McKinney-Vento Homeless Assistance Act; or</text>
        </paragraph>
        <paragraph num="(5)">
          <text>A sibling of a student currently enrolled in the public charter school for which the sibling is applying.</text>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>Notwithstanding
                  Education Article, §9-102(3), Annotated Code of Maryland, a public charter school may give priority to the sibling of a student admitted through the lottery process or a currently enrolled student for any spaces in the school that become available throughout the school year.</text>
      </paragraph>
      <paragraph num="C.">
        <text>Geographic Attendance Area.</text>
        <paragraph num="(1)">
          <text>Subject to the approval of the public chartering authority, a public charter school may propose a geographic attendance area with a median income that is equal to or less than the median income of the county for the public charter school.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Subject to
                    §C(4) of this regulation, a public charter school may provide guaranteed placement through a lottery to students who live within the geographic attendance area for up to 35 percent, as proposed by the public charter school and approved by the public chartering authority, of the available space of the public charter school.</text>
        </paragraph>
        <paragraph num="(3)">
          <text>Subject to §§C(2) and (4) of this regulation, the public charter school shall:</text>
          <paragraph num="(a)">
            <text>Admit students on a lottery basis to its remaining available space; and</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Take reasonable steps to maintain the ratio intended under
                      §C(2) of this regulation as part of the initial cohort of students accepted through the lottery process.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(4)">
          <text>If a public charter school does not fill 100 percent of its available space under §§C(2) and (3) of this regulation, the public charter school may admit more than the percentage of students established under
                    §C(2) of this regulation from the geographic attendance area established under this regulation.</text>
        </paragraph>
      </paragraph>
      <paragraph num="D.">
        <text>Guaranteed Placement Through Lottery.</text>
        <paragraph num="(1)">
          <text>Subject to the approval of the public chartering authority,
                    §D(2) of this regulation, and
                    Education Article,  §9-104, Annotated Code of Maryland, a public charter school may provide guaranteed placement through a lottery to up to 35 percent, as proposed by the public charter school and approved by the public chartering authority, of the available space of the public charter school to students who attended a public charter school during the previous school year that is operated by the same operator.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>A public charter school shall qualify under
                    §D(1) of this regulation if:</text>
          <paragraph num="(a)">
            <text>The operator operates two or more public charter schools in the county; and</text>
          </paragraph>
          <paragraph num="(b)">
            <text>When combined, the public charter schools operated by the operator form an integrated multiyear academic program.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(3)">
          <text>Subject to
                    §D(1) of this regulation, the public charter school shall:</text>
          <paragraph num="(a)">
            <text>Admit students on a lottery basis to its remaining available space; and</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Take reasonable steps to maintain the ratio intended under
                      §D(1) of this regulation as part of the initial cohort of students accepted through the lottery process.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(4)">
          <text>If a public charter school does not fill 100 percent of its available space under §§D(1) and (3) of this regulation, the public charter school may admit more than the percentage of students established under
                    §D(1) of this regulation.</text>
        </paragraph>
      </paragraph>
      <paragraph num="E.">
        <text>Each local school system shall collaborate with the public charter schools in its jurisdiction to develop, or have the public charter schools develop, a process through which the parent or guardian of a student may apply for admission to every public charter school in the jurisdiction using a single application.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".05" heading="Waiver for Converted Public Charter Schools.">
      <paragraph num="A.">
        <text>A local board may grant a waiver from
                  Education Article, §9-102(3), Annotated Code of Maryland, to:</text>
        <paragraph num="(1)">
          <text>A converted public charter school that:</text>
          <paragraph num="(a)">
            <text>Subject to
                      §B of this regulation, provides guaranteed placement through a lottery to students who live within the geographic attendance area established by the local board;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Is a low-performing school as identified by the local board;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Is above the county average rate for the percentage of students who are eligible for free and reduced price meals; and</text>
          </paragraph>
          <paragraph num="(d)">
            <text>Meets a strategic need of the local school system, as identified in the local board’s public charter school policy developed under
                      Education Article, §9-110, Annotated Code of Maryland, that shall include at least one of the following elements:</text>
            <paragraph num="(i)">
              <text>Serving a high-need population;</text>
            </paragraph>
            <paragraph num="(ii)">
              <text>Increasing student performance;</text>
            </paragraph>
            <paragraph num="(iii)">
              <text>Increasing enrollment; or</text>
            </paragraph>
            <paragraph num="(iv)">
              <text>Increasing student diversity; or</text>
            </paragraph>
          </paragraph>
        </paragraph>
        <paragraph num="(2)">
          <text>A converted public charter school that is seeking renewal of an existing charter contract that was granted under
                    §A(1) of this regulation.</text>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>If a public charter school does not fill 100 percent of its available space under
                  §A(1) of this regulation, the public charter school shall admit students on a lottery basis to its remaining available space.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".06" heading="Chartering Authority.">
      <text>The public chartering authority for the granting of a charter shall be a local board of education.</text>
    </regulation>
    <regulation prefix="Regulation" num=".07" heading="Applications to Establish Public Charter Schools.">
      <paragraph num="A.">
        <text>Submission of Applications by Eligible Schools and Entities.</text>
        <paragraph num="(1)">
          <text>An application to establish a public charter school shall be submitted to the local board of the county in which the public charter school will be located.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>An application to establish a public charter school may be submitted to a local board by:</text>
          <paragraph num="(a)">
            <text>The staff of a public school;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>A parent or guardian of a student who attends a public school in the county;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>A nonsectarian nonprofit entity;</text>
          </paragraph>
          <paragraph num="(d)">
            <text>A nonsectarian institution of higher education in the State; or</text>
          </paragraph>
          <paragraph num="(e)">
            <text>Any combination of persons specified in
                      §A(2) of this regulation.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(3)">
          <text>An application shall include:</text>
          <paragraph num="(a)">
            <text>A plan to provide a rigorous program of instruction that includes an equivalent method for satisfying any requirements from which the public charter school operator intends to seek a waiver under
                      Education Article, §9-106, Annotated Code of Maryland; and</text>
          </paragraph>
          <paragraph num="(b)">
            <text>A description of how a weighted lottery or the provision of guaranteed placement will be implemented under Education Article, §§
                      9-102.
                      2 and
                      9-102.3, Annotated Code of Maryland.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(4)">
          <text>A public chartering authority may not grant a charter under this chapter to:</text>
          <paragraph num="(a)">
            <text>A private school;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>A parochial school;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>A home school; or</text>
          </paragraph>
          <paragraph num="(d)">
            <text>A school that operates fully online.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(5)">
          <text>Timeline for Decision.</text>
          <paragraph num="(a)">
            <text>Except as provided in
                      §A(5)(b) of this regulation, the local board shall review the application and render a decision within 120 days of receipt of the application and in accordance with the application procedures adopted by the local board.</text>
          </paragraph>
          <paragraph num="(b)">
            <text>For a restructured school:</text>
            <paragraph num="(i)">
              <text>The local board shall review the application and render a decision within 30 days of receipt of the application;</text>
            </paragraph>
            <paragraph num="(ii)">
              <text>The local board may apply to the State Board for an extension of up to 15 days;</text>
            </paragraph>
            <paragraph num="(iii)">
              <text>If an extension is not granted, and 30 days have elapsed, the decision may be appealed to the State Board in accordance with
                        Education Article, §4-205(c), Annotated Code of Maryland; and</text>
            </paragraph>
            <paragraph num="(iv)">
              <text>If an extension has been granted, and 45 days have elapsed, the decision may be appealed to the State Board in accordance with
                        Education Article, §4-205(c), Annotated Code of Maryland.</text>
            </paragraph>
          </paragraph>
        </paragraph>
        <paragraph num="(6)">
          <text>Contingent Approval.</text>
          <paragraph num="(a)">
            <text>A public chartering authority may approve an application to operate a public charter school on a contingent basis subject to the conditions of
                      §A(6)(b) of this regulation.</text>
          </paragraph>
          <paragraph num="(b)">
            <text>The contingent approval granted under
                      §A(6)(a) of this regulation may be contingent on:</text>
            <paragraph num="(i)">
              <text>A public charter school’s ability to meet any timelines established by the public chartering authority for the securing of a facility; and</text>
            </paragraph>
            <paragraph num="(ii)">
              <text>Final approval by the public chartering authority regarding the suitability of the facility secured by the public charter school.</text>
            </paragraph>
          </paragraph>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>Separate Consideration of Weighted Lottery Process.</text>
        <paragraph num="(1)">
          <text>If an application to establish a public charter school includes a description of the implementation of a weighted lottery that gives priority to students in a specific geographic attendance area in accordance with
                    Education Article, §9-102.2 or 9-102.3, Annotated Code of Maryland, the public chartering authority may approve or reject this provision separately from the application as a whole.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>A decision of a public chartering authority under
                    §B(1) of this regulation may not be appealed to the State Board.</text>
        </paragraph>
      </paragraph>
      <paragraph num="C.">
        <text>Inclusion of Staffing Model.</text>
        <paragraph num="(1)">
          <text>An application to establish a public charter school may include a staffing model, including provisions for staff recruitment, training, evaluation, and professional development.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>A public charter school may submit a staffing model with a renewal application or with an amendment to an existing charter.</text>
        </paragraph>
      </paragraph>
      <paragraph num="D.">
        <text>Denial of Application and Appeals.</text>
        <paragraph num="(1)">
          <text>If the local board denies an application to establish a public charter school, the applicant may appeal the decision to the State Board, in accordance with
                    Education Article, §4-205(c), Annotated Code of Maryland.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>The State Board shall render a decision within 120 days of the filing of an appeal.</text>
        </paragraph>
        <paragraph num="(3)">
          <text>If the local board denies an application to establish a public charter school and the State Board reverses the decision, the State Board shall remand the matter to the local board and may direct the local board to grant a charter and may, if necessary, mediate with the local board and the applicant to implement the charter.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".08" heading="Renewal of Certain Public Charter School Contracts.">
      <paragraph num="A.">
        <text>In this regulation, “eligible public charter school” means a public charter school that has been in existence for at least 5 years and demonstrates to the public chartering authority a history of:</text>
        <paragraph num="(1)">
          <text>Sound fiscal management; and</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Student achievement that exceeds the average in the local school system in which the public charter school is located on:</text>
          <paragraph num="(a)">
            <text>Statewide assessments; and</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Other measures developed by the State Board.</text>
          </paragraph>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>Submission of Application to Public Chartering Authority:</text>
        <paragraph num="(1)">
          <text>An eligible public charter school may submit to a public chartering authority:</text>
          <paragraph num="(a)">
            <text>An application for renewal of an existing charter contract that incorporates the provisions of
                      §D of this regulation; or</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Subject to
                      §B(2) of this regulation, an application for an addendum to an existing charter contract that incorporates the provisions of
                      §D of this regulation.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(2)">
          <text>An eligible public charter school may not submit an application under
                    §B(1)(b) of this regulation more than one time during the duration of an existing charter contract.</text>
        </paragraph>
      </paragraph>
      <paragraph num="C.">
        <text>If the public chartering authority determines that a public charter school is not an eligible public charter school, the public charter school may appeal the decision to the State Board in accordance with
                  Education Article, §4-205(c), Annotated Code of Maryland.</text>
      </paragraph>
      <paragraph num="D.">
        <text>If an eligible public charter school and a public chartering authority mutually agree to an alternative means by which the eligible public charter school will satisfy the intent of the policies of the public chartering authority, an eligible public charter school is exempt from:</text>
        <paragraph num="(1)">
          <text>Textbook, instructional program, curriculum, professional development, and scheduling requirements;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>A requirement to establish a school community council;</text>
        </paragraph>
        <paragraph num="(3)">
          <text>Except for Title I schools, a requirement to establish a school improvement plan;</text>
        </paragraph>
        <paragraph num="(4)">
          <text>Except for schools with a school activity fund, a requirement to provide school activity fund disclosure statements; and</text>
        </paragraph>
        <paragraph num="(5)">
          <text>Except for prekindergarten classes, class size or staffing ratios.</text>
        </paragraph>
      </paragraph>
      <paragraph num="E.">
        <text>A public chartering authority and an eligible public charter school may jointly develop and mutually agree to a communication process and supervision methodology that flows among the local board, the operator, and the administration of the eligible public charter school.</text>
      </paragraph>
      <paragraph num="F.">
        <text>Assignment of Staff.</text>
        <paragraph num="(1)">
          <text>An eligible public charter school may not be assigned a principal without the written consent of the operator of the eligible public charter school.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Staff Assignment and Transfer.</text>
          <paragraph num="(a)">
            <text>Staff members shall be assigned or transferred to an eligible public charter school if the staff member expresses in writing that the staff member wants to work in that eligible public charter school and the eligible public charter school requests in writing that the staff member be assigned or transferred to the eligible public charter school, provided there is an existing vacancy.</text>
          </paragraph>
          <paragraph num="(b)">
            <text>A transfer authorized under
                      §F(2)(a) of this regulation shall take place as designated by the agreement of the local bargaining unit in the local school system.</text>
          </paragraph>
        </paragraph>
      </paragraph>
      <paragraph num="G.">
        <text>Nothing in this regulation may be construed to take precedence over an agreement of a local bargaining unit in a local school system.</text>
      </paragraph>
      <paragraph num="H.">
        <text>Except as otherwise provided in this regulation, an eligible public charter school is subject to the provisions of this chapter.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".09" heading="Certification of Professional Staff Required.">
      <text>A member of the professional staff of a public charter school shall be subject to the same certification provisions established in regulations for the professional staff of other public schools.</text>
    </regulation>
    <regulation prefix="Regulation" num=".10" heading="Compliance with Laws and Regulations Governing Other Public Schools Required.">
      <paragraph num="A.">
        <text>Subject to
                  §B of this regulation, a public charter school shall comply with the provisions of law and regulation governing other public schools.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Waiver of Requirements. Subject to
                  §D of this regulation, a public charter school may seek a waiver of the requirements under
                  §A of this regulation from:</text>
        <paragraph num="(1)">
          <text>A local board for policies that are the policies of the local board; and</text>
        </paragraph>
        <paragraph num="(2)">
          <text>The State Board for policies that are the policies of the State Board.</text>
        </paragraph>
      </paragraph>
      <paragraph num="C.">
        <text>If a waiver is denied under this regulation, the local board or the State Board, as appropriate, shall provide the reason for the denial in writing to the public charter school.</text>
      </paragraph>
      <paragraph num="D.">
        <text>A waiver may not be granted from provisions of law or regulation relating to:</text>
        <paragraph num="(1)">
          <text>Audit requirements;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>The measurement of student academic achievement, including all assessments required for other public schools and other assessments mutually agreed upon by the public chartering authority and the public charter school; or</text>
        </paragraph>
        <paragraph num="(3)">
          <text>The health, safety, or civil rights of a student or an employee of the public charter school.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".11" heading="Students with Disabilities and Special Education Compliance Required.">
      <paragraph num="A.">
        <text>A public chartering authority may not grant a charter to a public charter school whose operation would be inconsistent with any public policy initiative, court order, or federal improvement plan governing special education that is applicable to the State.</text>
      </paragraph>
      <paragraph num="B.">
        <text>A public chartering authority shall ensure that the authorizing process for a public charter school and the charter application address the roles and responsibilities of the local board and the applicants and operators of the public charter school with respect to children with disabilities.</text>
      </paragraph>
      <paragraph num="C.">
        <text>The public chartering authority shall ensure that, prior to opening a public charter school, the operators of the school are informed of the human, fiscal, and organizational capacity needed to fulfill the school’s responsibilities related to children with disabilities.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".12" heading="Public Charter School Employees.">
      <paragraph num="A.">
        <text>Employees of a public charter schools:</text>
        <paragraph num="(1)">
          <text>Are public school employees, as defined in Education Article, §§
                    6-401(e) and
                    6-501(g), Annotated Code of Maryland;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Are employees of a public school employer, as defined in Education Article, §§
                    6-401(f) and
                    6-501(h), Annotated Code of Maryland, in the county in which the public charter school is located; and</text>
        </paragraph>
        <paragraph num="(3)">
          <text>Shall have the rights granted under Education Article, Title 6, Subtitles 4 and 5, Annotated Code of Maryland.</text>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>If a collective bargaining agreement under Education Article, Title 6, Subtitles 4 or 5, Annotated Code of Maryland, is already in existence in the county where a public charter school is located, the employee organization, public school employer, and the public charter school may mutually agree to negotiate amendments to the existing agreement to address the needs of the particular public charter school, including amendments to work days, work hours, school year, procedures for transfers that are consistent with the instructional mission of the school, and extra duty assignments.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".13" heading="Commensurate Funding.">
      <paragraph num="A.">
        <text>Formula.</text>
        <paragraph num="(1)">
          <text>A local board of education shall calculate commensurate funding for the public charter schools in its jurisdiction using a formula that complies with
                    Education Article, §9-109, Annotated Code of Maryland, and this regulation.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>The local board shall identify a preliminary total per pupil allocation for each public charter school by completing all of the following steps in order:</text>
          <paragraph num="(a)">
            <text>Identify all local, State, and federal revenue sources, consistent with
                      §A(3) of this regulation, contained in the local school system’s operating budget;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Identify the enrollment counts, consistent with
                      §A(4) of this regulation, for the local school system and each public charter school;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Divide each local, State, and federal revenue source that is not eligibility based by total enrollment;</text>
          </paragraph>
          <paragraph num="(d)">
            <text>Multiply the results from
                      §A(2)(c) of this regulation by the last enrollment count for each public charter school to determine the base per pupil allocation;</text>
          </paragraph>
          <paragraph num="(e)">
            <text>Divide each local, State, and federal revenue source that is eligibility based, with the exception of special education revenue and special education transportation revenue, by eligible enrollment;</text>
          </paragraph>
          <paragraph num="(f)">
            <text>Multiply the results from
                      §A(2)(e) of this regulation by the last enrollment count of eligible students for each public charter school to determine the eligibility per pupil allocation;</text>
          </paragraph>
          <paragraph num="(g)">
            <text>Add the results from §A(2)(d) and (f) of this regulation;</text>
          </paragraph>
          <paragraph num="(h)">
            <text>Determine the shared cost deduction rate by dividing the sum of the shared cost deductions in
                      §B of this regulation by all local, State, and federal revenue sources identified in
                      §A(2)(a) of this regulation;</text>
          </paragraph>
          <paragraph num="(i)">
            <text>Multiply the result from
                      §A(2)(g) of this regulation by the difference between 1.0 and the result in
                      §A(2)(h) of this regulation;</text>
          </paragraph>
          <paragraph num="(j)">
            <text>Identify the special education allocation, consistent with
                      §A(5) of this regulation, necessary to implement the individualized education programs of all students with disabilities enrolled at each public charter school;</text>
          </paragraph>
          <paragraph num="(k)">
            <text>Add the results from §§A(2)(i) and (j) of this regulation; and</text>
          </paragraph>
          <paragraph num="(l)">
            <text>Multiply the result from
                      §A(2)(k) of this regulation by the difference between 1.0 and the administrative fee in
                      §C of this regulation.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(3)">
          <text>Revenue Sources.</text>
          <paragraph num="(a)">
            <text>The preliminary total per pupil allocation shall be calculated using 100 percent of each revenue source.</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Any restrictions applicable to a revenue source shall continue to apply notwithstanding this regulation.</text>
          </paragraph>
          <paragraph num="(c)">
            <text>The concentration of poverty grant program established under
                      Education Article, §5-223, Annotated Code of Maryland, is not a revenue source for purposes of this regulation.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(4)">
          <text>Enrollment Counts.</text>
          <paragraph num="(a)">
            <text>The preliminary total per pupil allocation shall be determined using the following data points, as applicable, for the local school system and each public charter school during the prior school year:</text>
            <paragraph num="(i)">
              <text>The enrollment data collected on September 30 or an alternate date set by the Department; or</text>
            </paragraph>
            <paragraph num="(ii)">
              <text>For a public charter school that is new or expanding, or with the consent of the public charter school, the enrollment data projected by the local school system.</text>
            </paragraph>
          </paragraph>
          <paragraph num="(b)">
            <text>The final total per pupil allocation shall be adjusted, upward or downward, only one time based on the actual enrollment count for each public charter school during the school year.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(5)">
          <text>Special Education Allocation.</text>
          <paragraph num="(a)">
            <text>The special education allocation identified in
                      §A(2) of this regulation shall be determined by the local school system based on:</text>
            <paragraph num="(i)">
              <text>The special education revenue and special education transportation revenue for which each student enrolled in each public charter school is eligible;</text>
            </paragraph>
            <paragraph num="(ii)">
              <text>Any additional revenue that is necessary to provide the services documented in the individualized education program of each student enrolled in the public charter school; and</text>
            </paragraph>
            <paragraph num="(iii)">
              <text>Equivalent costs for services delivered in other schools within the local school system.</text>
            </paragraph>
          </paragraph>
          <paragraph num="(b)">
            <text>If a public charter school elects to delegate the management of special education to the local school system, the special education allocation amount shall be:</text>
            <paragraph num="(i)">
              <text>Excluded from the public charter school’s preliminary total per pupil allocation; and</text>
            </paragraph>
            <paragraph num="(ii)">
              <text>Expended by the local school system to serve the students with disabilities enrolled at the public charter school in accordance with their individualized education programs.</text>
            </paragraph>
          </paragraph>
          <paragraph num="(c)">
            <text>If a public charter school elects to manage special education directly, the special education allocation amount shall be:</text>
            <paragraph num="(i)">
              <text>Included in the public charter school’s preliminary total per pupil allocation; and</text>
            </paragraph>
            <paragraph num="(ii)">
              <text>Expended by the public charter school, including the option for buy backs, to serve the students with disabilities enrolled at the public charter school in accordance with their individualized education programs.</text>
            </paragraph>
          </paragraph>
          <paragraph num="(d)">
            <text>If a public charter school fails to timely complete corrective action required for special education noncompliance, the local school system may centralize management of special education with the approval of the Department.</text>
          </paragraph>
          <paragraph num="(e)">
            <text>If a public charter school student’s individualized education program can only be implemented in a non-public placement, the student is no longer considered part of the special education allocation at the public charter school.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(6)">
          <text>The local board shall identify a final total per pupil allocation for each public charter school after:</text>
          <paragraph num="(a)">
            <text>Negotiating with the public charter schools in good faith regarding in-kind services, buy backs, and the management of special education; and</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Subtracting the cost of the negotiated items from the preliminary total per pupil allocation.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(7)">
          <text>The local board shall provide each public charter school with a table showing:</text>
          <paragraph num="(a)">
            <text>The calculation of its preliminary total per pupil allocation, including:</text>
            <paragraph num="(i)">
              <text>The base per pupil allocation;</text>
            </paragraph>
            <paragraph num="(ii)">
              <text>The eligibility per pupil allocation;</text>
            </paragraph>
            <paragraph num="(iii)">
              <text>The special education allocation;</text>
            </paragraph>
            <paragraph num="(iv)">
              <text>The amount of the shared cost deductions; and</text>
            </paragraph>
            <paragraph num="(v)">
              <text>The amount the administrative fee;</text>
            </paragraph>
          </paragraph>
          <paragraph num="(b)">
            <text>The calculation of its final total per pupil allocation; and</text>
          </paragraph>
          <paragraph num="(c)">
            <text>To the extent practicable, the per pupil allocation of a comparable public school that is not a public charter school.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(8)">
          <text>Each public charter school shall provide the information necessary for the local school system to comply with reporting requirements in Education Article, §§
                    5-406 and
                    5-234, Annotated Code of Maryland.</text>
        </paragraph>
        <paragraph num="(9)">
          <text>Compliance Monitoring.</text>
          <paragraph num="(a)">
            <text>A local board with public charter schools in its jurisdiction shall include a review of compliance with this regulation in the annual audit required by
                      Education Article, §5-109, Annotated Code of Maryland.</text>
          </paragraph>
          <paragraph num="(b)">
            <text>The Department may periodically review the tables provided by the local board to the public charter schools under
                      §A(7) of this regulation to provide technical assistance and monitor compliance.</text>
          </paragraph>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>Shared Cost Deductions.</text>
        <paragraph num="(1)">
          <text>A local board may apply shared cost deductions when calculating commensurate funding under
                    §A of this regulation.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Each of the following shared cost deductions may be applied by a local board:</text>
          <paragraph num="(a)">
            <text>Retiree benefits;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Adult education;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Special education adjustment, not to exceed 10 percent of all local, State, and federal revenue sources identified in
                      §A(2)(a) of this regulation; and</text>
          </paragraph>
          <paragraph num="(d)">
            <text>If a public charter school occupies one of the local board’s buildings, debt service.</text>
          </paragraph>
        </paragraph>
      </paragraph>
      <paragraph num="C.">
        <text>Administrative Fee.</text>
        <paragraph num="(1)">
          <text>A local board may charge an administrative fee to each public charter school in its jurisdiction.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>The administrative fee shall account for the costs related to:</text>
          <paragraph num="(a)">
            <text>Implementation of
                      Education Article, §9-110(a), Annotated Code of Maryland;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Local superintendent and local board administration;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Special education and student services administration; and</text>
          </paragraph>
          <paragraph num="(d)">
            <text>Human resources administration.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(3)">
          <text>The administrative fee applied by a local board shall:</text>
          <paragraph num="(a)">
            <text>Not exceed 5 percent of each public charter school’s preliminary total per pupil allocation; and</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Be adequately documented, including the specific services rendered, in the table provided to each public charter school under
                      §A(7) of this regulation.</text>
          </paragraph>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".14" heading="Public Charter School Policies.">
      <paragraph num="A.">
        <text>Submission of Public Charter School Policy to the State Board.</text>
        <paragraph num="(1)">
          <text>Each local board shall develop a public charter school policy and provide it to the State Board.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>The policy required under
                    §A(1) of this regulation shall include guidelines and procedures regarding:</text>
          <paragraph num="(a)">
            <text>Evaluation of public charter schools;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Revocation of a charter;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Reporting requirements;</text>
          </paragraph>
          <paragraph num="(d)">
            <text>Financial, programmatic, or compliance audits of public charter schools; and</text>
          </paragraph>
          <paragraph num="(e)">
            <text>Calculation of commensurate funding, including the formula established under
                      Regulation .13 of this chapter.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(3)">
          <text>The policy required under
                    §A(1) of this regulation, including any updates or amendments made to the policy, shall be provided to the Department and made available on request and posted on the website of the local board.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".15" heading="School Sites or Buildings Available for Public Charter School Use.">
      <paragraph num="A.">
        <text>Notice of Availability of School Sites or Buildings.</text>
        <paragraph num="(1)">
          <text>If, with the approval of the State Superintendent, a local board determines that a school site or building no longer is needed for school purposes and after the county commissioners or county council have provided the required notice under
                    Education Article, §4-115, Annotated Code of Maryland, the local board shall inform the public charter schools in the county that the school site or building is available for occupation and use by a public charter school on the terms determined by the local board.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Each local board:</text>
          <paragraph num="(a)">
            <text>Shall establish a procedure to determine which public charter school may occupy and use an available school site or building if more than one public charter school notifies the local board of an interest in occupying and using a school site or building; and</text>
          </paragraph>
          <paragraph num="(b)">
            <text>May consider the utilization rate of surrounding school sites and buildings when authorizing a public charter school to occupy a school site or building.</text>
          </paragraph>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>A public charter school that occupies or uses a school site or building under
                  §A of this regulation may not sell, dispose of, or otherwise transfer the school site or building.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".16" heading="Property Tax Exemption.">
      <text>Any portion of a building or property occupied and used by a public charter school shall be exempt from property taxes under Tax—Property Article, §7-202, Annotated Code of Maryland, for the duration of the occupation and use of the building or property as a public charter school.</text>
    </regulation>
    <annotations>
      <annotation type="Authority">Education Article, §§
                2-205 and
                9-101—
                9-112, Annotated Code of Maryland</annotation>
      <annotation type="History" subtype="Administrative History">Effective date: May 25, 2026 (53:10 Md. R. 455)</annotation>
    </annotations>
  </chapter>
</subtitle>