2023 Oklahoma Statutes
Title 70. Schools
§70-3-137. Duration of contract - Performance report – Renewal – Termination - School closure.

A. An initial contract between a charter school or virtual charter school and its sponsor approved on or after July 1, 2024, shall be effective for five (5) years from the first day of operation. After completing an initial five-year term, a charter contract may be renewed for up to ten-year terms of duration, although the sponsor may vary the term based on the performance, demonstrated capacities, and particular circumstances of each charter school or virtual charter school. A sponsor may grant renewal with specific conditions for necessary improvements to a charter school or virtual charter school.

B. Prior to the beginning of the final year of the contract term of a charter school or virtual charter school, the sponsor shall issue a performance report and charter renewal application guidance to the charter school and its governing board or the virtual charter school and its governing board. The performance report shall summarize the performance record to date of the charter school or virtual charter school based on the data required by the Oklahoma Charter Schools Act, the annual performance framework evaluation, a review of the contract with an educational management organization if the charter school or virtual charter school contracts with an educational management organization, and the charter contract. The performance review shall take into consideration the percentage of at-risk students enrolled in the charter school or virtual charter school. The performance report shall provide notice of any weaknesses, concerns, violations, or deficiencies perceived by the sponsor concerning the charter school or virtual charter school that may jeopardize its position in seeking renewal if not timely rectified. If there are weaknesses, concerns, violations, or deficiencies the sponsor may require a charter school or virtual charter school to develop a corrective action plan and corresponding timeline to remedy any weaknesses, concerns, violations, or deficiencies. If the sponsor requires a corrective action plan, the charter school or virtual charter school shall have forty-five (45) days to respond to the performance report and submit any corrections or clarifications for the report. If the charter school or virtual charter school does not substantially complete the corrective action plan, the sponsor may choose to revoke or not renew the charter contract pursuant to the requirements of this section.

C. 1. Prior to the beginning of the final year of a charter contract term, the charter school or virtual charter school may apply for renewal of the contract with the sponsor including the Statewide Charter School Board. The renewal application guidance shall, at a minimum, provide an opportunity for the charter school or virtual charter school to:

• a.present additional evidence, beyond the data contained in the performance report, supporting its case for charter renewal,
• b.describe improvements undertaken or planned for the school, and
• c.detail the plan for the next charter term for the school.

2. The renewal application guidance shall include or refer explicitly to the criteria that will guide the renewal decisions of the sponsor, which shall be based on the performance framework set forth in the charter contract and consistent with the Oklahoma Charter Schools Act.

D. The sponsor may deny the request for renewal if it determines the charter school or virtual charter school has failed to complete the obligations of the contract or comply with the provisions of the Oklahoma Charter Schools Act. A sponsor shall give written notice of its intent to deny the request for renewal at least eight (8) months prior to expiration of the contract. In making charter renewal decisions, a sponsor shall:

1. Ground decisions on evidence of the performance of the charter school or virtual charter school over the term of the charter contract in accordance with the performance framework set forth in the charter contract and shall take into consideration the percentage of at-risk students enrolled in the school;

2. Grant renewal to charter schools or virtual charter schools that have achieved the standards, targets, and performance expectations as stated in the charter contract and are organizationally and fiscally viable and have been faithful to the terms of the contract and applicable law;

3. Ensure that data used in making renewal decisions are available to the school and the public; and

4. Provide a public report summarizing the evidence used as the basis for each decision.

E. If the Statewide Charter School Board denies a request for renewal, the Board may, if requested by the charter school or virtual charter school, proceed to binding arbitration as provided for in subsection G of Section 3-134 of this title.

F. A sponsor may terminate a contract during the term of the contract for failure to meet the requirements for student performance contained in the contract and performance framework, failure to meet the standards of fiscal management, violations of the law, or other good cause. The sponsor shall give at least ninety (90) days’ written notice to the governing board of the charter school or virtual charter school prior to terminating the contract. The governing board may request, in writing, an informal hearing before the sponsor within fourteen (14) days of receiving notice. The sponsor shall conduct an informal hearing before taking action.

G. Beginning July 1, 2024, and subject to the provisions of this section, a charter school sponsor authorized by subsection A of Section 3-132 of this title with a charter contract that includes more than one charter school site may terminate or not renew a charter school contract for a specific charter school site.

H. 1. Beginning in the 2016-2017 school year, the State Board of Education shall identify charter schools and virtual charter schools in the state that are ranked in the bottom five percent (5%) of all public schools as determined pursuant to Section 1210.545 of this title.

2. At the time of its charter renewal, based on an average of the current year and the two (2) prior operating years, a sponsor may close a charter school site or virtual charter school identified as being among the bottom five percent (5%) of public schools in the state. The average of the current year and two (2) prior operating years shall be calculated by using the percentage ranking for each year divided by three, as determined by this subsection.

3. If there is a change to the calculation described in Section 1210.545 of this title that results in a charter school site or virtual charter school that was not ranked in the bottom five percent (5%) being ranked in the bottom five percent (5%), then the sponsor shall use the higher of the two rankings to calculate the ranking of the charter school site or virtual charter school.

• 4. aA charter school or virtual charter school that is closed by its sponsor pursuant to this subsection shall not be granted a subsequent charter contract.

5. The requirements of this subsection shall not apply to a charter school or virtual charter school that has been designated by the State Department of Education as implementing an alternative education program.

6. In making a charter school site or virtual charter school closure decision, the sponsor shall consider the following:

• a.enrollment of students with special challenges such as drug or alcohol addiction, prior withdrawal from school, prior incarceration, or other special circumstances,
• b.high mobility of the student population resulting from the specific purpose of the charter school or virtual charter school,
• c.annual improvement in the performance of students enrolled in the charter school or virtual charter school compared with the performance of students enrolled in the charter school or virtual charter school in the immediately preceding school year, and
• d.whether a majority of students attending the charter school or virtual charter school under consideration for closure would likely revert to attending public schools with lower academic achievement, as demonstrated pursuant to Section 1210.545 of this title.

7. If at least twenty-five percent (25%) of the charter schools chartered by one sponsor are closed within a five-year period pursuant to this subsection, the authority of the sponsor to sponsor new charter schools may be suspended by the Statewide Charter School Board until the Board approves the sponsor to sponsor new charter schools. A determination made pursuant to this paragraph shall identify the deficiencies that, if corrected, will result in the approval of the sponsor to sponsor new charter schools.

I. If a sponsor terminates a contract or the charter school or virtual charter school is closed, the closure shall be conducted in accordance with the following protocol:

1. Within two (2) calendar weeks of a final closure determination, the sponsor shall meet with the governing board and leadership of the charter school or virtual charter school to establish a transition team composed of school staff, applicant staff, and others designated by the applicant that will attend to the closure including the transfer of students, student records, and school funds;

2. The sponsor and transition team shall communicate regularly and effectively with families of students enrolled in the charter school or virtual charter school, as well as with school staff and other stakeholders, to keep them apprised of key information regarding the closure of the school and their options and risks;

3. The sponsor and transition team shall ensure that current instruction of students enrolled in the charter school or virtual charter school continues per the charter contract for the remainder of the school year;

4. The sponsor and transition team shall ensure that all necessary and prudent notifications are issued to agencies, employees, insurers, contractors, creditors, debtors, and management organizations; and

5. The governing board of the charter school or virtual charter school shall continue to meet as necessary to take actions needed to wind down school operations, manage school finances, allocate resources, and facilitate all aspects of closure.

J. A sponsor including the Statewide Charter School Board shall develop revocation and nonrenewal processes that are consistent with the Oklahoma Charter Schools Act and that:

1. Provide the charter school or virtual charter school with a timely notification of the prospect of revocation or nonrenewal and of the reasons for possible closure;

2. Allow the charter school or virtual charter school a reasonable amount of time in which to prepare a response;

3. Provide the charter school or virtual charter school with an opportunity to submit documents and give testimony in a public hearing challenging the rationale for closure and in support of the continuation of the school at an orderly proceeding held for that purpose and prior to taking any final nonrenewal or revocation decision related to the school;

4. Allow the charter school or virtual charter school access to representation by counsel to call witnesses on its behalf;

5. Permit the recording of the proceedings; and

6. After a reasonable period for deliberation, require a final determination be made and conveyed in writing to the charter school or virtual charter school.

K. If a sponsor revokes or does not renew a charter contract, the sponsor shall clearly state in a resolution the reasons for the revocation or nonrenewal. If a charter is revoked or nonrenewed, the charter school or virtual charter school shall disclose the revocation or nonrenewal in any subsequent application.

L. If a charter contract is not renewed, the governing board of the charter school may submit an application to a proposed new sponsor as provided for in Section 3-134 of this title.

M. If a charter contract is not renewed or is terminated according to this section, a student who attended the charter school or virtual charter school may enroll in the resident school district of the student or may apply for a transfer in accordance with the Education Open Transfer Act.

Added by Laws 1999, c. 320, § 12, eff. July 1, 1999. Amended by Laws 2003, c. 434, § 6; Laws 2004, c. 472, § 1, emerg. eff. June 7, 2004; Laws 2007, c. 257, § 3; Laws 2015, c. 170, § 4; Laws 2016, c. 42, § 1, eff. July 1, 2016; Laws 2023, c. 323, § 8, eff. July 1, 2024.