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AB1042,64,2 216. If a private school participating participated in the choice program under
22this section
in the previous school year and also accepts pupils participated in the
23program
under s. 115.7915 or 119.23 in the previous school year, the private school
24may submit one comprehensive financial audit to satisfy the requirements of this
25subdivision subsection and ss. s. 115.7915 (6) (e) and 119.23 (7) (am) 2m., whichever

1are applicable. The private school shall include in the comprehensive financial audit
2the information specified under s. 119.23 (7) (am) 2m
.
AB1042,156 3Section 156 . 118.60 (7) (am) 2m. b. of the statutes is renumbered 118.83 (5)
4(a) and amended to read:
AB1042,64,85 118.83 (5) Fiscal and internal control practices. (a) Evidence A
6participating private school shall submit evidence to the department
of sound fiscal
7and internal control practices, including evidence that the entity has the financial
8ability to continue operating,
as prescribed by the department by rule.
AB1042,64,18 9(b) A private school that participated in the choice program shall submit to the
10department reports completed by an independent auditor on the private school's
11compliance with fiscal and internal control requirements, as required by the
12department by rule.
An independent auditor engaged to evaluate the participating
13private school's fiscal and internal control practices shall conduct his or her the
14evaluation, including determining sample sizes, in accordance with attestation
15standards established by the American Institute of Certified Public Accountants.
16The independent auditor engaged to evaluate the private school's fiscal and internal
17control practice shall also review any concerns raised in the private school's
18management letter submitted under subd. 2m. a.
AB1042,64,22 19(c) The fact that a participating private school reports a negative reserve
20balance alone is not evidence that the participating private school does not have the
21financial ability to continue operating or that the participating private school does
22not follow sound fiscal and internal control practices.
AB1042,157 23Section 157 . 118.60 (7) (am) 2m. c. of the statutes is repealed.
AB1042,158 24Section 158 . 118.60 (7) (am) 3. of the statutes is renumbered 118.83 (3) and
25amended to read:
AB1042,65,11
1118.83 (3) Financial audit review. (a) By no later than February 15 the first
2weekday in March
or 120 days after the date on which the audit under subd. 2m. a.
3sub. (2) is received by the department, whichever is later, the department shall notify
4a private school participating that participated in the choice program under this
5section
in the previous school year whether or not additional information is required
6for the department to complete its review of the audit. Subject to subd. 3. b. par. (b),
7the department may request that an auditor provide additional information if the
8request is related to the department reviewing the audit. The department shall
9determine whether a the private school participating in the program under this
10section
has provided the information and met the requirements required under subd.
112m. a.
sub. (2) by the 3rd Friday in April 1 .
AB1042,65,1712 (b) Before the 3rd Friday in April 1 , the department may contact the auditor
13who prepared the audit under subd. 2m. a. sub. (2) only regarding matters that may
14impact the private school's financial statement by an amount that is greater than 1
15percent of the total amount the private school received under this section the choice
16program
for the previous school year and any items or information the department
17determines are missing from the audit.
AB1042,65,2118 (c) Notwithstanding subd. 3. a. and b. pars. (a) and (b), the department may
19communicate with an auditor as necessary for the purpose of assessing the financial
20viability of a participating private school participating in the program under this
21section
.
AB1042,65,2422 (d) An auditor who receives a written communication under this subdivision
23subsection shall respond to the department within 10 school days of receiving the
24written communication.
AB1042,159
1Section 159. 118.60 (7) (an) of the statutes is renumbered 118.83 (4) and
2amended to read:
AB1042,66,93 118.83 (4) Reserve balance. (a) A participating private school participating
4in the program under this section
shall maintain a cash and investment balance that
5is at least equal to its reserve balance. If a participating private school does not
6maintain a cash and investment balance that is at least equal to its reserve balance,
7the participating private school shall refund the reserve balance to the department.
8This subdivision does not apply to a school year that occurs during the public health
9emergency declared on March 12, 2020, by executive order 72.
AB1042,66,1610 (b) If a participating private school participating in the program under this
11section
has a reserve balance that is greater than 50 percent of the total amount the
12participating private school received under this section the choice program in the
13previous school year, the governing body of the participating private school shall
14approve a plan for how it will use the amount of the reserve balance that exceeds 50
15percent of the total amount the participating private school received under this
16section
the choice program in the previous school year.
AB1042,66,1917 (c) If a private school ceases to participate in or is barred from the choice
18program under this section and s. 119.23 and the private school's reserve balance is
19positive, the private school shall refund the reserve balance to the department.
AB1042,160 20Section 160 . 118.60 (7) (b) (intro.) and 2m. of the statutes are repealed.
AB1042,161 21Section 161 . 118.60 (7) (b) 1. of the statutes is renumbered 118.80 (6) and
22amended to read:
AB1042,67,223 118.80 (6) Third grade reading test. Administer Each participating private
24school shall administer
to any pupils attending the 3rd grade in the private school

1under this section the choice program a standardized reading test developed by the
2department.
AB1042,162 3Section 162 . 118.60 (7) (b) 2. of the statutes is renumbered 118.79 (3) and
4amended to read:
AB1042,67,65 118.79 (3) Academic standards. Adopt Each participating private school shall
6adopt
the pupil academic standards required under s. 118.30 (1g) (a) 4.
AB1042,163 7Section 163 . 118.60 (7) (b) 3. of the statutes is renumbered 118.81 (3) (intro.)
8and amended to read:
AB1042,67,129 118.81 (3) Teacher's aide educational requirements. (intro.) Ensure A
10participating private school shall ensure
that any teacher's aide employed by all of
11the participating private school has school's teacher's aides satisfy at least one of the
12following:
AB1042,67,13 13(a) The individual graduated from high school , been granted.
AB1042,67,15 14(b) The individual obtained a declaration of equivalency of high school
15graduation, been granted.
AB1042,67,17 16(c) The individual obtained a high school diploma by the administrator of a
17home-based private educational program, or been issued .
AB1042,67,19 18(d) The individual obtained a general educational development certificate of
19high school equivalency, or has.
AB1042,67,22 20(e) The individual obtained a degree or educational credential higher than a
21high school diploma, declaration of equivalency of high school graduation, or general
22educational development certificate of high school equivalency.
AB1042,164 23Section 164 . 118.60 (7) (b) 3m. of the statutes is renumbered 118.80 (3) and
24amended to read:
AB1042,68,13
1118.80 (3) Governing body meetings. Annually, The governing body of a
2participating private school shall annually
schedule at least 2 meetings at which
3members of the governing body of the participating private school will be present and
4at which pupils, and the parents or guardians of pupils, applying to attend the
5participating private school or attending the participating private school may meet
6and communicate with the members of the governing body. The private school shall,
7within
Within 30 days after the start of the school term, the governing body of a
8participating private school shall
notify the department in writing of the scheduled
9meeting dates and shall, at. At least 30 days before the each scheduled meeting date,
10the governing body of a participating private school shall notify in writing each pupil,
11or the parent or guardian of each minor pupil, applying to attend the participating
12private school or attending the participating private school of the meeting date, time,
13and place.
AB1042,165 14Section 165. 118.60 (7) (b) 4. to 6. of the statutes are renumbered 118.80 (9)
15(a) to (c) and amended to read:
AB1042,68,1916 118.80 (9) (a) Maintain A private school shall maintain progress records for
17each pupil attending the private school under this section the choice program while
18the pupil attends the private school and, except as provided under subd. 7. par. (d),
19for at least 5 years after the pupil ceases to attend the private school.
AB1042,68,2220 (b) Upon A private school shall, upon request, provide a pupil or the parent or
21guardian
of a minor pupil who is attending the private school under this section the
22choice program
with a copy of the pupil's progress records.
AB1042,69,223 (c) Issue A participating private school shall issue a high school diploma or
24certificate to each pupil who attends the participating private school under this

1section the choice program and satisfactorily completes the course of instruction and
2any other requirements necessary for high school graduation.
AB1042,166 3Section 166. 118.60 (7) (b) 7. a. and b. of the statutes are consolidated,
4renumbered 118.80 (9) (d) 1. and amended to read:
AB1042,69,245 118.80 (9) (d) 1. Except as provided in subd. 7. b., if the 2., if a private school
6ceases operating as a private school, the private school shall immediately transfer
7all of the progress records of each pupil who attended the private school under this
8section to
the choice program to the school board of the school district within which
9the pupil resides. The private school shall send written notice to each pupil, or to the
10parent or guardian of a minor pupil, of the transfer of progress records under this
11subd. 7. a. b.
If the private school is affiliated with an organization that will maintain
12the progress records of each pupil who attended the private school under this section
13the choice program for at least 5 years after the private school ceases operation as
14a private school, the private school may transfer a pupil's records to the organization
15if the pupil, or the parent or guardian of a minor pupil, consents in writing to the
16release of the progress records to the affiliated organization. The private school shall
17send to the department a copy of the consent form for each pupil who consents to the
18transfer of progress records under this subd. 7. b. subdivision. The written notice
19shall be signed by the pupil, or the parent or guardian of a minor pupil, and shall
20include the name, phone number, mailing address, and other relevant contact
21information of the organization that will maintain the progress records, and a
22declaration by the affiliated organization that the organization agrees to maintain
23the progress records for at least 5 years after the private school ceases operation as
24a private school.
AB1042,167
1Section 167. 118.60 (7) (c) of the statutes is renumbered 118.79 (4) and
2amended to read:
AB1042,70,73 118.79 (4) Religious activity; pupil exemption. A participating private school
4may not require a pupil attending the participating private school under this section
5the choice program to participate in any religious activity if the pupil's parent or
6guardian
submits to the pupil's teacher or the participating private school's principal
7a written request that the pupil be exempt from such activities.
AB1042,168 8Section 168. 118.60 (7) (d) (intro.) and 3. of the statutes are repealed.
AB1042,169 9Section 169. 118.60 (7) (d) 1. a. of the statutes is renumbered 118.75 (1) and
10amended to read:
AB1042,70,1211 118.75 (1) Definition. In this subdivision section, “municipality" has the
12meaning given in s. 5.02 (11).
AB1042,170 13Section 170. 118.60 (7) (d) 1. b. of the statutes is renumbered 118.75 (3) (a) and
14amended to read:
AB1042,70,1715 118.75 (3) (a) A copy of the participating private school's current certificate of
16occupancy issued by the municipality within which the participating private school
17is located.
AB1042,70,23 18(4) New location; certificate. If the participating private school moves to a
19new location, the participating private school shall submit a copy of the new
20certificate of occupancy issued by the municipality within which the participating
21private
school is located to the department before the attendance of pupils at the new
22location and before the next succeeding date specified in s. 121.05 (1) (a) September
23count date or the January count date, whichever occurs next
.
AB1042,71,4 24(3) (b) If the municipality within which the participating private school is
25located does not issue certificates of occupancy, the private school may submit a

1certificate of occupancy issued by the local or regional governmental unit with
2authority to issue certificates of occupancy or a letter or form from the municipality
3within which the participating private school is located that explains that the
4municipality does not issue certificates of occupancy.
AB1042,71,7 5(5) Temporary certificate. A temporary certificate of occupancy does not meet
6the requirement requirements of this subdivision. This subdivision applies only to
7a private school located in an eligible school district
section.
AB1042,171 8Section 171. 118.60 (7) (dr) of the statutes is renumbered 118.80 (9) (e) and
9amended to read:
AB1042,71,1510 118.80 (9) (e) A private school participating in the program under this section
11may elect to maintain an electronic copy of any application submitted on behalf of
12and any correspondence to or about a pupil attending the private school under this
13section
the choice program instead of a paper copy of the application and
14correspondence. The private school shall maintain electronic copies of pupil
15applications and correspondence for a period of at least 5 years.
AB1042,172 16Section 172 . 118.60 (7) (e) of the statutes is renumbered 118.80 (7) and
17amended to read:
AB1042,71,2218 118.80 (7) Pupil assessments. Each participating private school participating
19in the program under this section
shall administer the examinations required under
20s. 118.30 (1t) or examinations permitted under s. 118.301 (3) to pupils attending the
21participating private school under the choice program. The participating private
22school may administer additional standardized tests to such pupils.
AB1042,173 23Section 173 . 118.60 (7) (em) 1. and 2. of the statutes are renumbered 118.74
24(4) (b) and (c) and amended to read:
AB1042,72,8
1118.74 (4) (b) The governing body of each Each participating private school
2participating in the program under this section shall, subject to subd. 2. par. (c),
3annually, by the first weekday in August 1 , provide the department with evidence
4demonstrating that the participating private school remains accredited for the
5current school year as required under par. (ad) (a). The governing body participating
6private school
shall include as evidence of accreditation a notice prepared by an
7accrediting entity that confirms that the participating private school is accredited by
8that entity as of the date of the notice.
AB1042,72,109 (c) The governing body A participating private school shall immediately notify
10the department if its accreditation status changes.
AB1042,174 11Section 174 . 118.60 (7) (g) of the statutes is renumbered 118.80 (5) and
12amended to read:
AB1042,72,2313 118.80 (5) Air quality requirements. (a) By the first day of the 3rd month
14beginning after the month in which the department establishes the model
15management plan and practices for maintaining indoor environmental quality in
16public and private schools under s. 118.075 (3), or by
weekday in October 1 of a
17private school's first school year of participation in the choice program under this
18section, whichever is later
, the participating private school shall provide for the
19development of a plan for maintaining indoor environmental quality in the
20participating private school. Participating private schools may use the model
21management plan and practices for maintaining indoor environmental quality
22developed under s. 118.075 (3) when developing a plan required under this
23paragraph.
AB1042,73,524 (b) By the first day of the 12th month beginning after the month in which the
25department establishes the model management plan and practices for maintaining

1indoor environmental quality in public and private schools under s. 118.075 (3), or
2by the
beginning of the 2nd school year of participation in the choice program under
3this section, whichever is later, the
, a participating private school shall implement
4a plan for maintaining indoor environmental quality in the participating private
5school.
AB1042,73,86 (c) Each participating private school participating in the program under this
7section
shall provide a copy of the plan implemented under subd. 2. par. (b) to any
8person upon request.
AB1042,175 9Section 175 . 118.60 (7) (h) of the statutes is renumbered 118.81 (4) and
10amended to read:
AB1042,73,1611 118.81 (4) Background checks. Beginning in the 2018-19 school year, each
12Each participating private school participating in the program under this section
13shall conduct criminal background investigations of its employees and exclude from
14employment any person not permitted to hold a teaching license as the result of an
15offense and any person who might reasonably be believed to pose a threat to the
16safety of others.
AB1042,176 17Section 176 . 118.60 (7m) (a) (intro.), 1. and 2., (b) and (c) of the statutes are
18renumbered 118.76 (1) (intro.), (a) (intro.) and (b), (2) and (3), and 118.76 (1) (intro.),
19(a) (intro.) and (b), (2) (a) (intro.) and 2. and (b) and (3), as renumbered, are amended
20to read:
AB1042,73,2421 118.76 (1) Surety bond or budget requirement. (intro.) By the first weekday
22in
May 1 before the first school term that a private school participates in the choice
23program under this section or s. 119.23, a participating private school shall submit
24to the department one of the following:
AB1042,74,6
1(a) (intro.) A surety bond payable to the state in an amount equal to 25 percent
2of the total amount of payments the participating private school expects to receive
3under this section and s. 119.23 under the choice program during the first school year
4the private school participates in the program under this section. choice program.
5If a new private school selects this option to satisfy this subsection, the new private
6school shall provide an updated surety bond if all of the following apply:
AB1042,74,177 (b) A complete anticipated budget, on a form provided by the department, for
8the first fiscal period of participation in the choice program under this section and
9evidence of financial viability, as prescribed by the department by rule. The
10participating private school shall include in the budget the anticipated enrollments
11for all pupils enrolled in the participating private school and for pupils enrolled in
12the participating private school under this section the choice program; estimated
13revenues and costs; a schedule of anticipated beginning and ending net choice
14program assets; and a schedule of monthly cash flow requirements. The
15participating private school shall include in the budget contingent funding sources
16the participating private school will use in the event that actual enrollments are less
17than expected.
AB1042,74,21 18(2) (a) (intro.) If a participating private school submits a surety bond under par.
19(a) 1.
sub. (1) (a), the participating private school shall annually provide, by the first
20weekday in
May 1 , a surety bond payable to the state until the participating private
21school submits all of the following to the department:
AB1042,74,2522 2. Evidence of sound fiscal and internal control practices under sub. (7) (am)
232m. b.
s. 118.83 (5) for the school year in the financial audit submitted under subd.
241. a. and for the subsequent school year, neither of which indicates that does not
25contain evidence that the participating private school is not financially viable.
AB1042,75,4
1(b) A participating private school shall provide a surety bond under this
2paragraph subsection in an amount equal to 25 percent of the total amount of
3payments the private school expects to receive under this section and s. 119.23 the
4choice program
during the following school year.
AB1042,75,10 5(3) Budget review; financial viability. If a private school submits a complete
6anticipated budget under par. (a) 2. sub. (1) (b), the department shall determine
7whether the private school is financially viable by the first weekday in August 1. If
8the department determines that the private school is not financially viable, the
9private school is not eligible to participate in the choice program under this section
10or s. 119.23
in the current school year.
AB1042,177 11Section 177 . 118.60 (9) of the statutes is renumbered 118.74 (6) and amended
12to read:
AB1042,75,1613 118.74 (6) Failure to meet private school requirements; notification. If any
14an accrediting or preaccrediting entity determines during the accrediting or
15preaccrediting process that a participating private school does not meet all of the
16requirements under s. 118.165 (1), it shall report that failure to the department.
AB1042,178 17Section 178 . 118.60 (9m) of the statutes is renumbered 118.80 (4) (intro.) and
18amended to read:
AB1042,76,319 118.80 (4) Accountability report; posting. (intro.) Beginning in September
202016, and annually thereafter, the governing body of a private school participating
21in the program under this section that maintains an Internet site for the private
22school shall, if the private school is included in the most recent accountability report
23published under s. 115.385,
Annually, within 30 days after the department publishes
24the accountability report, under s. 115.385, a participating private school shall
25prominently link on the home page of that Internet site to the pages in that the

1participating private school's
most recent accountability report concerning the
2private school.
on the home page of the participating private school's website if all
3of the following apply:
AB1042,179 4Section 179 . 118.60 (10) (a) (intro.), 1., 2., 3., 5., 6., 7. and 8. of the statutes are
5renumbered 118.85 (1) (intro.), (a), (b), (c), (d), (e), (f) and (g) and amended to read:
AB1042,76,96 118.85 (1) Barred; current school year. (intro.) The state superintendent
7may issue an order barring a private school from participating in the choice program
8under this section in the current school year if the state superintendent determines
9that the private school has done any of the following:
AB1042,76,1210 (a) Intentionally or negligently misrepresented any information required
11under this section subchapter or any rule promulgated under this section
12subchapter.
AB1042,76,1513 (b) Failed to provide the notice or pay the fee required under sub. (2) (a) 3. s.
14118.73 (1)
, or provide the information required under sub. (7) (am) or (d) s. 118.75 or
15118.83
, by the date or within the period specified.
AB1042,76,1716 (c) Failed to refund to the state any overpayment made under sub. (4) or (4m)
17the choice program by the date specified by department rule.
AB1042,76,1818 (d) Failed to provide the information required under sub. (6m) or (6p) s. 118.78.
AB1042,76,2019 (e) Failed to comply with the requirements under sub. (7) (b), (c), or (h) or (7m)
20s. 118.76, 118.79 (3) or (4), 118.80 (3), (6), or (9) (d), or 118.81 (3) or (4).
AB1042,76,2121 (f) Violated sub. (7) (b) 4., 5., or 6. s. 118.80 (9) (a), (b), or (c).
AB1042,77,222 (g) Before the end of a 7-year period beginning on the date of an order issued
23by the state superintendent under this subsection section, s. 118.60, 2023 stats., or
24s. 119.23, 2023 stats.
, retained a disqualified person, for compensation or as a
25volunteer, as an owner, officer, director, trustee, administrator, person designated by

1the administrator to assist in processing pupil applications, or person responsible for
2administrative, financial, or pupil health and safety matters.
AB1042,180 3Section 180 . 118.60 (10) (am) of the statutes is renumbered 118.85 (2), and
4118.85 (2) (intro.), (a), (c) and (d), as renumbered, are amended to read:
AB1042,77,85 118.85 (2) Barred; following school year. (intro.) If the state superintendent
6determines that any of the following have occurred, he or she the state
7superintendent
may issue an order barring the a private school from participating
8in the choice program under this section in the following school year:
AB1042,77,109 (a) The private school has not complied with the requirements under sub. (7)
10(em)
s. 118.74 (4).
AB1042,77,1211 (c) The private school has not achieved accreditation within the period allowed
12under sub. (2) (a) 7. s. 118.74 (2) (b).
AB1042,77,1513 (d) The private school intentionally or negligently misrepresented any
14information required under this section subchapter or any rule promulgated under
15this section subchapter.
AB1042,181 16Section 181 . 118.60 (10) (ar) of the statutes is renumbered 118.85 (3) and
17amended to read:
AB1042,77,2518 118.85 (3) (a) If the state superintendent determines that a participating
19private school has failed to continuously maintain accreditation as required under
20sub. (7) (ad) s. 118.74 (4), that the governing body of the participating private school
21has withdrawn the participating private school from the accreditation process, or
22that the participating private school's accreditation has been revoked, denied, or
23terminated by an accrediting entity, the state superintendent shall issue an order
24barring the private school's participation in the choice program under this section at
25the end of the current school year.
AB1042,78,8
1(b) A private school whose participation in the choice program under this
2section
is barred under subd. 1. par. (a) may not participate in the choice program
3under this section or under s. 119.23 until the governing body of the private school
4demonstrates to the satisfaction of the department that it has obtained accreditation
5from an accrediting entity, provided the accreditation is from an entity other than the
6entity with which the private school failed to continuously maintain accreditation or,
7if the private school's accreditation was revoked, denied, or terminated, other than
8the entity that revoked, denied, or terminated the private school's accreditation.
AB1042,182 9Section 182 . 118.60 (10) (b) of the statutes is renumbered 118.85 (4) and
10amended to read:
AB1042,78,1511 118.85 (4) Health and safety of pupils. The state superintendent may issue
12an order immediately terminating a private school's participation in the choice
13program under this section if he or she the state superintendent determines that
14conditions at the private school present an imminent threat to the health or safety
15of pupils.
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