AB1042: Bill Text

AB1042,,686 118.84 (4) (title) State aid reduction.

AB1042,235 Section 235. 118.84 (4) (a) 1. of the statutes is created to read:

AB1042,,688 118.84 (4) (a) 1. The pupil is a Racine pupil or a Wisconsin pupil.

AB1042,236 Section 236. 118.84 (7) of the statutes is created to read:

AB1042,,690 118.84 (7) Enrollment attestation reports. Beginning in the 2025-26 school year, a participating private school shall engage an independent auditor to complete an enrollment attestation report for the September count date and for the January count date. An independent auditor completing an enrollment attestation report under this subsection shall comply with the attestation standards established by the American Institute of Certified Public Accountants. Each enrollment attestation report shall identify at least all of the following:

AB1042,,691 (a) Pupils who were not eligible for a payment under this section but for whom the participating private school received a payment under this section.

AB1042,,692 (b) Pupils who have incorrect data in the department’s database who are attending the participating private school under the choice program.

AB1042,,693 (c) Pupils attending the participating private school under the choice program for whom the participating private school did not receive a payment under this section.

AB1042,237 Section 237. 118.85 (title) and (3) (title) of the statutes are created to read:

AB1042,,695 118.85 (title) Penalties for private schools. (3) (title) Accreditation.

AB1042,238 Section 238. 118.87 (6) of the statutes is created to read:

AB1042,,697 118.87 (6) Alternative count date. If pupils enrolled in a participating private school will not be in attendance at the participating private school on the 3rd Friday in September or the 2nd Friday in January because of a regularly scheduled holiday or for a reason approved by the governing body of the participating private school, upon request from the participating private school, designate an alternative count date.

AB1042,239 Section 239. 119.23 of the statutes, as affected by 2023 Wisconsin Act .... (this act), is repealed.

AB1042,240 Section 240. 119.23 (2) (a) 3. of the statutes is amended to read:

AB1042,,700 119.23 (2) (a) 3. Except as provided in par. (ag) 1., the The private school notified the state superintendent of its intent to participate in the program under this section or in the program under s. 118.60, and paid the nonrefundable annual fee set by the department, by January 10 of the previous school year. The notice shall specify the number of pupils participating in the program under this section and in the program under s. 118.60 for which the school has space. The department shall by rule set the fee charged under this subdivision at an amount such that the total fee revenue covers the costs of employing one full-time auditor to evaluate the financial information submitted by private schools under subs. (7) (am) and (d) 3. and (7m) (a) 2. and under s. 118.60 (7) (am) and (d) 3. and (7m) (a) 2.

AB1042,241 Section 241. 119.23 (2) (ag) 1. (intro.) and a. of the statutes are consolidated, renumbered 119.23 (2) (ag) 1. and amended to read:

AB1042,,702 119.23 (2) (ag) 1. By the first weekday in August 1 of the school year immediately preceding the school year in which the new private school intends to participate in the program under this section, complete and submit to the department the following, on forms provided by the department: a. A , a notice of intent to participate and agreement to comply with procedural requirements. If, at the time the new private school submits the information required under this subdivision, the new private school does not have a physical property within which the private school intends to operate, submit a mailing address of an administrator of the private school.

AB1042,242 Section 242. 119.23 (2) (ag) 1. b. and c. of the statutes are repealed.

AB1042,243 Section 243. 119.23 (2) (ag) 2. a. of the statutes is amended to read:

AB1042,,705 119.23 (2) (ag) 2. a. By August 1 the 3rd Monday in October of the school year immediately preceding the school year in which the new private school intends to participate in the program under this section, submit to the department the information under sub. (6p) (a) and (b).

AB1042,244 Section 244. 119.23 (2) (ag) 2. b. of the statutes is repealed.

AB1042,245 Section 245. 119.23 (2) (ag) 2. c. of the statutes is created to read:

AB1042,,708 119.23 (2) (ag) 2. c. By the 3rd Monday in October of the school year immediately preceding the school year in which the new private school intends to participate in the program under this section, provide a surety bond payable to the state in an amount equal to the greater of $25,000 or 25 percent of the total payment the new private school expects to receive under the program under this section during its first school year participating in the program on the basis of the information submitted under subd. 1.

AB1042,246 Section 246. 119.23 (2) (ag) 4. of the statutes is amended to read:

AB1042,,710 119.23 (2) (ag) 4. Notwithstanding the deadline to obtain preaccreditation under par. (a) 7. bg., by December 15 the 3rd Monday in October of the school year immediately preceding the school year in which the new private school intends to participate in the program under this section, obtain preaccreditation from a preaccrediting entity.

AB1042,247 Section 247. 119.23 (2) (ar) of the statutes is amended to read:

AB1042,,712 119.23 (2) (ar) By the first weekday in December 31 of the school year immediately preceding the school year in which a new private school intends to participate in the program under this section, the department shall notify the new private school in writing whether it has satisfied those requirements under par. (ag) that must be satisfied before December 31. If the department determines that the new private school has not satisfied those requirements, the new private school may not participate in the program under this section in the following school year, but may reinitiate the process under par. (ag) for the next following school year.

AB1042,248 Section 248. 119.33 (2) (b) 3. c. of the statutes is amended to read:

AB1042,,714 119.33 (2) (b) 3. c. The governing body of a nonsectarian private school participating in a the private school choice program under s. 118.60 or 119.23. The superintendent of schools may proceed under this subd. 3. c. only if one of the following applies: the performance on the most recent examinations administered under s. 118.30 (1s) or (1t) of pupils attending a school operated by the governing body exceeds the performance on the most recent examinations administered under s. 118.30 (1) of pupils attending the school being transferred to the governing body under this subdivision; or, in each of the 3 preceding consecutive accountability reports published under s. 115.385 (1), the performance category assigned to a school operated by the governing body exceeds the performance category assigned to the school being transferred to the governing body under this subdivision. If fewer than 3 accountability reports have been published for a private school described in this subd. 3. c., the superintendent of schools shall determine an alternative method for comparing the school’s performance.

AB1042,249 Section 249. 119.46 (1) of the statutes is amended to read:

AB1042,,716 119.46 (1) As part of the budget transmitted annually to the common council under s. 119.16 (8) (b), the board shall report the amount of money required for the ensuing school year to operate all public schools in the city under this chapter, including the schools transferred to the superintendent of schools opportunity schools and partnership program under s. 119.33 and to the opportunity schools and partnership program under subch. II, to repair and keep in order school buildings and equipment, including school buildings and equipment transferred to the superintendent of schools opportunity schools and partnership program under s. 119.33 and to the opportunity schools and partnership program under subch. II, to make material improvements to school property, and to purchase necessary additions to school sites. The report shall specify the amount of net proceeds from the sale or lease of city-owned property used for school purposes deposited in the immediately preceding school year into the school operations fund as specified under s. 119.60 (2m) (c) or (5) and the net proceeds from the sale of an eligible school building deposited in the immediately preceding school year into the school operations fund as specified under s. 119.61 (5). The amount included in the report for the purpose of supporting the pupils who reside in Milwaukee Parental Choice Program under s. 119.23 participating in the private school choice program shall be reduced by the amount of aid received by the board under s. 121.136 and by the amount specified in the notice received by the board under s. 121.137 (2). The common council shall levy and collect a tax upon all the property subject to taxation in the city, which shall be equal to the amount of money required by the board for the purposes set forth in this subsection, at the same time and in the same manner as other taxes are levied and collected. Such taxes shall be in addition to all other taxes which the city is authorized to levy. The taxes so levied and collected, any other funds provided by law and placed at the disposal of the city for the same purposes, and the moneys deposited in the school operations fund under ss. 119.60 (1), (2m) (c), and (5) and 119.61 (5) shall constitute the school operations fund.

AB1042,250 Section 250. 119.9002 (2) (d) 3. (intro.) of the statutes is amended to read:

AB1042,,718 119.9002 (2) (d) 3. (intro.) The governing body of a nonsectarian private school participating in a the private school choice program under s. 118.60 or 119.23. The commissioner may proceed under this subdivision only if one of the following applies:

AB1042,251 Section 251. 121.07 (2) (b) of the statutes is amended to read:

AB1042,,720 121.07 (2) (b) The number of pupils residing in the school district in the previous school year who were incoming choice pupils, as defined in s. 118.60 (4d) (a) 118.84 (4) (a), and for whom a payment was made under s. 118.60 (4) (bg) 118.84 (1) in the previous school year.

AB1042,252 Section 252. 121.08 (4) (b) (intro.) and 2. of the statutes are consolidated, renumbered 121.08 (4) (b) and amended to read:

AB1042,,722 121.08 (4) (b) The amount of state aid that the school district operating under ch. 119 is eligible to be paid from the appropriation under s. 20.255 (2) (ac) shall be reduced by the amount calculated as follows: 2. Multiply the amounts paid under s. 119.23 (4) and (4m) in the 2009-10 school year by 3.4 percent, and multiply by multiplying the amounts paid under s. 119.23 (4) and (4m) in the 2010-11 school year and 118.84 (1) and (2) for Milwaukee pupils, as defined in s. 118.70 (9), in each school year thereafter by 6.6 percent.

AB1042,253 Section 253. 121.08 (4) (b) 1. and 3. of the statutes are repealed.

AB1042,254 Section 254. 121.085 of the statutes is amended to read:

AB1042,,725 121.085 State aid; other reductions. (1) The department shall make state aid adjustments under s. 118.51 (16) and (17) before making a reduction under s. 115.7915 (4m) (f), 118.40 (2r) (g) or (2x) (f), or 118.60 (4d) (b) 118.84 (4) (b).

AB1042,,726 (2) For purposes of ss. 115.7915 (4m) (f) 2., 118.40 (2r) (g) 2. and (2x) (f) 2., and 118.60 (4d) (b) 2. 118.84 (4) (b) 2., a school district’s aid under s. 121.08 is insufficient to cover a reduction if, after making state aid adjustments under s. 118.51 (16) and (17), the amount of the school district’s aid under s. 121.08 is insufficient to cover all of the reductions under ss. 115.7915 (4m) (f) 1., 118.40 (2r) (g) 1. and (2x) (f) 1., and 118.60 (4d) (b) 1. 118.84 (4) (b) 1.

AB1042,,727 (3) The state superintendent shall ensure that the aid reductions under ss. 115.7915 (4m) (f) 1., 118.40 (2r) (g) 1. and (2x) (f) 1., and 118.60 (4d) (b) 1. 118.84 (4) (b) 1. lapse to the general fund.

AB1042,255 Section 255. 121.137 (2) of the statutes is amended to read:

AB1042,,729 121.137 (2) Annually, the department shall calculate the amount of the state aid reduction under s. 121.08 (4) (b) 2. in the current school year and shall notify the board, in writing, of the result.

AB1042,256 Section 256. 121.91 (2m) (c) 1. of the statutes is amended to read:

AB1042,,731 121.91 (2m) (c) 1. Divide the sum of the amount of state aid received in the previous school year and property taxes levied for the previous school year, excluding funds described under sub. (4) (c), by a number calculated by adding the number of pupils enrolled in the 3 previous school years, subtracting from that total the number of pupils attending private schools under s. 119.23, 2023 stats., in the 4th, 3rd and 2nd preceding school years, and dividing the remainder by 3.

AB1042,257 Section 257. 121.91 (2m) (c) 4. of the statutes is amended to read:

AB1042,,733 121.91 (2m) (c) 4. Multiply the result under subd. 3. by a number calculated by adding the number of pupils enrolled in the current and the 2 preceding school years, subtracting from that total the number of pupils attending private schools under s. 119.23, 2023 stats., in the 3 previous school years, and dividing the remainder by 3.

AB1042,258 Section 258. 121.91 (2m) (d) 1. of the statutes is amended to read:

AB1042,,735 121.91 (2m) (d) 1. Divide the sum of the amount of state aid received in the previous school year and property taxes levied for the previous school year, excluding funds described under sub. (4) (c), by a number calculated by adding the number of pupils enrolled in the 3 previous school years, subtracting from that total the number of pupils attending charter schools under s. 118.40 (2r) and private schools under s. 119.23, 2023 stats., in the 4th, 3rd and 2nd preceding school years and dividing the remainder by 3.

AB1042,259 Section 259. 121.91 (2m) (d) 4. of the statutes is amended to read:

AB1042,,737 121.91 (2m) (d) 4. Multiply the result under subd. 3. by a number calculated by adding the number of pupils enrolled in the current and the 2 preceding school years, subtracting from that total the number of pupils attending charter schools under s. 118.40 (2r) and private schools under s. 119.23, 2023 stats., in the 3 previous school years and dividing the remainder by 3.

AB1042,260 Section 260. 121.91 (4) (n) 1. of the statutes is amended to read:

AB1042,,739 121.91 (4) (n) 1. The limit otherwise applicable to a school district under sub. (2m) in any school year is increased by an amount equal to the amount determined for that school district under ss. 115.7915 (4m) (f) and 118.60 (4d) (b) 1. 118.84 (4) (b) 1.

AB1042,261 Section 261. 146.89 (1) (d) 2. of the statutes is amended to read:

AB1042,,741 146.89 (1) (d) 2. A private school, as defined in s. 115.001 (3r), that participates in the private school choice program under s. 118.60 or the Milwaukee Parental Choice Program under s. 119.23, as defined in s. 115.001 (3t), or that, pursuant to s. 115.999 (3), 119.33 (2) (c) 3., or 119.9002 (3) (c), is responsible for the operation and general management of a school transferred to an opportunity schools and partnership program under s. 119.33, subch. IX of ch. 115, or subch. II of ch. 119.

AB1042,262 Section 262. 146.89 (1) (g) 3. of the statutes is amended to read:

AB1042,,743 146.89 (1) (g) 3. A private school, as defined in s. 115.001 (3r), that participates in the private school choice program under s. 118.60 or the Milwaukee Parental Choice Program under s. 119.23, as defined in s. 115.001 (3t).

AB1042,263 Section 263. 938.49 (2) (b) of the statutes is amended to read:

AB1042,,745 938.49 (2) (b) Notify the juvenile’s last school district or, if the juvenile was last enrolled in a private school participating in the private school choice program under s. 118.60 or in the program under s. 119.23, as defined in s. 115.001 (3t), or, pursuant to s. 115.999 (3), 119.33 (2) (c) 3., or 119.9002 (3) (c), in a school under the operation and general management of the governing body of a private school, the private school or the governing body of a private school, in writing of its obligation under s. 118.125 (4).

AB1042,264 Section 264. 938.78 (2) (L) of the statutes is repealed.

AB1042,265 Section 265. Nonstatutory provisions.

AB1042,,748 (1) New schools; first participating in 2025-26 school year. If a new private school, as defined in s. 118.60 (1) (bn) or 119.23 (1) (ai), that applies to first participate in the program under s. 118.60 or 119.23 in the 2025-26 school year selects to provide a surety bond under s. 118.60 (7m) or 119.23 (7m), the new private school shall, by May 1, 2025, provide an updated surety bond if all of the following apply:

AB1042,,749 (a) The total payments the new private school expects to receive on the basis of the intent to participate provided under s. 118.60 (2) (a) 3. a. or 119.23 (2) (a) 3. exceeds the total expected choice program payments on the basis of the form provided under s. 118.60 (2) (ag) 2. c. or 119.23 (2) (ag) 2. c. by at least $50,000.

AB1042,,750 (b) The amount of the required surety bond based on the intent to participate that the new private school provided to the department of public instruction under s. 118.60 (2) (a) 3. a. or 119.23 (2) (a) 3. is more than $25,000.

AB1042,,751 (2) Intent to participate in the 2025-26 school year; virtual instruction. A private school that notifies the department of public instruction during the 2024-25 school year of its intent to participate in a program under s. 115.7915, 118.60, or 119.23 in the 2025-26 school year shall include all of the following in the notice of intent to participate:

AB1042,,752 (a) Whether or not the private school intends to offer virtual instruction in the 2025-26 school year.

AB1042,,753 (b) If the private school intends to offer virtual instruction in the 2025-26 school year, the amount and type of virtual instruction the private school intends to offer.

AB1042,,754 (3) Private school choice programs during the 2025-26 school year. During the 2025-26 school year, the department of public instruction shall administer the choice program, as defined in s. 118.70 (3), as the Milwaukee Parental Choice Program, the Racine Parental Choice Program, and the Wisconsin Parental Choice Program, as indicated by the notices of intent to participate in the 2025-26 school year received by the department during the 2024-25 school year.

AB1042,,755 (4) Pupil assessments exemption; 2025-26 school year. Notwithstanding s. 118.30 (1t), a private school participating in the choice program, as defined in s. 118.70 (3), at which fewer than 20 Milwaukee pupils, as defined in s. 118.70 (9), in grades 3 to 12 are attending under the choice program, is not required to administer the examinations required under s. 118.30 (1t). Notwithstanding s. 118.30 (1t), a private school participating in the choice program, as defined in s. 118.70 (3), at which fewer than a total of 20 Racine pupils, as defined in s. 118.70 (16), and Wisconsin pupils, as defined in s. 118.70 (20), in grades 3 to 12 are attending under the choice program, is not required to administer the examinations required under s. 118.30 (1t).

AB1042,,756 (5) Certificate of occupancy requirements; 2025-26 school year. Notwithstanding s. 118.75 (3), (4), and (5), in the 2025-26 school year, a private school participating in the Milwaukee Parental Choice Program under s. 119.23, 2023 stats., shall comply with s. 119.23 (7) (d) 1. b., 2023 stats., and a private school participating in a program under s. 118.60, 2023 stats., shall comply with s. 118.60 (7) (d) 1. b., 2023 stats.

AB1042,,757 (6) First time private school participants; 2025-26 school year. Notwithstanding s. 118.76 (5) and (6), a private school that first participates in the choice program, as defined in s. 118.70 (3), in the 2025-26 school year shall comply with the requirements under s. 118.76 (5) and (6) (b) by no later than August 1, 2025.

AB1042,,758 (7) Combined private schools. For purposes of s. 118.73 (2), a private school that submitted to the department of public instruction a notice of intent to participate only in the Milwaukee Parental Choice Program in the 2025-26 school year and participated only in the part of the choice program, as defined in s. 118.70 (3), administered by the department of public instruction as the Milwaukee Parental Choice Program in the 2025-26 school year is not considered to have participated in the choice program, as defined in s. 118.70 (3), in the 2025-26 school year.

AB1042,,759 (8) Private school choice program; positions. The authorized FTE positions for the department of public instruction are increased by 2.0 GPR positions, to be funded from the appropriation under s. 20.255 (1) (a).

AB1042,,760 (9) Emergency rules; private school choice program. Using the procedure under s. 227.24, the department of public instruction shall promulgate the rules required under subch. II of ch. 118 for the period before the effective date of the permanent rules promulgated under subch. II of ch. 118, but not to exceed the period authorized under s. 227.24 (1) (c), subject to extension under s. 227.24 (2). Notwithstanding s. 227.24 (1) (a), (2) (b), and (3), the department of public instruction is not required to provide evidence that promulgating a rule under this subsection as an emergency rule is necessary for the preservation of the public peace, health, safety, or welfare and is not required to provide a finding of emergency for a rule promulgated under this subsection.

AB1042,,761 (10) Emergency rules; special needs scholarship program. Using the procedure under s. 227.24, the department of public instruction shall promulgate the rules required under s. 115.7915 for the period before the effective date of the permanent rules promulgated under s. 115.7915, but not to exceed the period authorized under s. 227.24 (1) (c), subject to extension under s. 227.24 (2). Notwithstanding s. 227.24 (1) (a), (2) (b), and (3), the department of public instruction is not required to provide evidence that promulgating a rule under this subsection as an emergency rule is necessary for the preservation of the public peace, health, safety, or welfare and is not required to provide a finding of emergency for a rule promulgated under this subsection.

AB1042,266 Section 266. Initial applicability.

AB1042,,763 (1) Pupil applications. Section 118.72, as affected by this act, first applies to pupil applications to attend a participating private school under the choice program, as defined in s. 118.70 (3), in the 2026-27 school year.

AB1042,,764 (2) Private school eligibility. Section 118.73, as affected by this act, first applies to a private school that intends to participate in the choice program, as defined in s. 118.70 (3), in the 2026-27 school year.

AB1042,,765 (3) Certificate of occupancy. Section 118.75 (3), as affected by this act, first applies to a private school that first participates in the choice program, as defined in s. 118.70 (3), in the 2026-27 school year. Section 118.75 (4), as affected by this act, first applies to a participating private school that moves its location during the 2026-27 school year.

AB1042,267 Section 267. Effective dates. This act takes effect on July 1, 2025, except as follows:

AB1042,,767 (1) The treatment of ss. 118.60 (2) (a) 3. a. (by Section 89), (ag) 1. (intro.) and a. (by Section 101), b., and c., 2. a. (by Section 104), b., and c. (by Section 107), and 4. (by Section 109), and (ar) (by Section 112) and 119.23 (2) (a) 3. (by Section 240), (ag) 1. (intro.) and a. (by Section 241) and b. and c. (by Section 242), 2. a. (by Section 243), b. (by Section 244), and c. (by Section 245), and 4. (by Section 246), and (ar) (by Section 247) and Section 265 (1), (2), (8), (9), and (10) of this act take effect on the day after publication.

AB1042,,768 (end)