A BILL TO BE ENTITLED
AN ACT to make the K‑12 educational system more flexible, adaptable, and accountable in order to foster innovation, creativity, and workforce development for a changing economy.
The General Assembly of North Carolina enacts:
SECTION 1.(a)  Chapter 115C of the General Statutes is amended by adding a new subchapter to read:
"Subchapter 3A. Innovation through Local Schools.
"Article 7A.
"Curriculum Implementation Plans.
"§ 115C‑26.1.  Purpose of subchapter.
(a)	The purpose of this Article is to make the K‑12 educational system more flexible, adaptable, and accountable in order to foster innovation, creativity, and workforce development for a changing economy. To create flexibility and innovation, it is the intent of the General Assembly that the public schools:
(1)	Move away from a top‑down model of administration of curriculum to a bottom‑up approach that involves local parents, businesses, school boards, and superintendents in tailoring curriculum to meet local economic needs and the needs of students.
(2)	Receive limited direction from the Department of Public Instruction that deals primarily with basic functions and collection of statewide data, thus allowing an environment of new and different ideas across the State.
(3)	Measure accountability primarily at the local level but administer nationally accepted tests to permit comparisons with other states.
"§ 115C‑26.2.  Curriculum implementation plans.
(a)	Local school administrative units shall develop curriculum implementation plans that include the following:
(1)	The mission and belief statements of the local school administrative unit. – The local board of education, in coordination with the superintendent, shall develop an overall mission statement for the local school administrative unit. The schools, in coordination with the superintendent, shall develop belief statements based on local needs, the student population served by those schools, and the concerns of parents.
(2)	Curriculum. – The local school administrative unit, under the direction of the superintendent, shall develop curriculum in addition to the basic State curriculum. The curriculum implementation plan shall include:
a.	A description of locally developed courses, the students to be served in those courses, and the anticipated academic outcomes.
b.	A plan for alternative learning programs or alternative schools developed in accordance with G.S. 115C‑105.47A.
c.	Any plan developed in accordance with Part 7 of Article 16 of Chapter 115C of the General Statutes to provide extended services programs that will expand students' opportunities for educational success through high‑quality, integrated access to instructional programming during nonschool hours.
(3)	Instruction. – The local school administrative unit shall be responsible for instructional models used in its schools. The local school administrative unit shall provide training and staff development for its personnel that aligns with its mission and belief statements and shall report to the Department of Public Instruction on that training and staff development.
(4)	Formative/summative assessment and evaluation. – The formative/summative assessment and evaluation component of the plan shall include:
a.	Summative assessments for subjects taught in unit. These assessments may vary based on the needs of the individual schools and programs.
b.	Administration of the following tests:
1.	A nationally accepted test adopted by the State Board of Education in accordance with G.S. 115C‑174.11(c) to all students in grades three and five.
2.	The Pre‑ACT test in grades eight, 10, and 11.
3.	The ACT test in high school.
	The local school administrative unit shall report the results of these tests to the State Superintendent of Public Instruction.
c.	A system for evaluating teachers, principals, and other personnel designed by the superintendent. Under the plan, local supplements may be used to create and implement a merit‑based pay system.
(5)	Resources/capital improvement plan/budget. – The resources/capital improvement plan/budget shall include the following:
a.	A report on student population and growth predictions, numbers of teachers and their job descriptions, central office staff members and their job descriptions, numbers of support personnel and their job descriptions, and other relevant information.
b.	A report on supplies/equipment in the system, including books, technical equipment, and program specific equipment.
c.	A current capital improvement plan that includes the condition of buildings and plans for improvements such as remodels, upgrades, and new construction.
d.	A long‑range plan for meeting school facility needs, developed and submitted to the State Board of Education in accordance with G.S. 115C‑521(a).
e.	A comprehensive policy for inventory control for school technology.
f.	A line item budget prepared in accordance with Part 2 of Article 31 of Chapter 115C of the General Statutes.
(6)	Community communications. – Community communications shall consist of:
a.	A report on methods used by the local school administrative unit to communicate with the public, such as press releases, phone trees, public forums, and e‑mails.
b.	A plan for improving communication to gain stakeholder support.
c.	A plan for increased community involvement in the public schools and community use of public school facilities. The plan shall include guidelines, programs, and policies to do the following:
1.	Encourage the use of public school facilities by governmental, charitable, or civic organizations for activities within the community.
2.	Utilize the talents and abilities of volunteers within the community for the enhancement of public school programs, including tutoring, counseling, and cultural programs and projects.
3.	Increase communications between the staff and faculty of the public schools, other community institutions and agencies, and citizens in the community.
4.	Develop and utilize community‑based academic booster organizations.
5.	Implement policies and procedures for approving the use of volunteer organizations and for approving the use of individual volunteers.
6.	Implement policies and procedures designed to make information available to parents and students about tutoring and other academic support services that are available to students in the community or through school volunteers or other community organizations.
d.	An annual report on acts of violence in the schools.
(7)	Statement of local economic impact. – The statement of local economic impact shall include:
a.	A report on economic issues facing the community and the manner in which these issues were determined.
b.	A report on programs developed to address these issues.
c.	The process developed to facilitate integration of these local economic issues into all course work.
(8)	Reflections. – The reflections shall be reviewed annually and shall include:
a.	An analysis of local student performance and national test data that includes areas needing improvement and strategies for addressing them.
b.	Ideas for future programing.
"§ 115C‑26.3.  Responsibilities of the local board of education with regard to the curriculum innovation plan.
The local board of education shall:
(1)	Develop a curriculum innovation plan every five years in collaboration with the local superintendent and update the plan annually with any significant modifications.
(2)	Involve the community, including parents, educators, the business community, and others in the development of the plan and updates to the plan.
(3)	Submit the plan to the county commissioners.
(4)	Ensure that the plan is readily available to the general public.
(5)	Submit the plan to the State Board of Education for approval.
(6)	Ensure that the plan is appropriately administered by the superintendent.
"§ 115C‑26.4.  Approval of the curriculum innovation plan by the State Board of Education; audit of plan implementation by the Department of Public Instruction; revocation of plans.
(a)	The State Board of Education shall approve a curriculum innovation plan unless the Board, in its discretion, determines the plan is not instructionally sound. If the Board does not approve the plan, it shall make findings regarding the deficiencies in the plan and give the local school administrative unit an opportunity to modify and resubmit it for approval.
(b)	At the request of a local school administrative unit, the Department of Public Instruction may provide technical assistance on the development or implementation of a curriculum implementation plan.
(c)	The Superintendent of Public Instruction shall send an auditing team to a local school administrative unit (i) at the request of the State Board of Education, (ii) as otherwise required by law, or (iii) in the Superintendent's discretion.
(d)	The State Board of Education may revoke its approval of a curriculum implementation plan if the local school administrative unit is not properly implementing the plan, test results indicate that the plan is not working, there are fiscal irregularities in the local school administrative unit, or otherwise in the discretion of the Board.
The powers given to the Board and the auditing team under G.S. 115C‑105.38 and G.S. 115C‑105.39 apply to any local school administrative unit for which approval is revoked."
SECTION 1.(b)  Local boards of education shall implement curriculum implementation plans beginning with the 2014‑2015 school year.
SECTION 2.  G.S. 115C‑11(e) is repealed.
SECTION 3.  G.S. 115C‑12 reads as rewritten:
"§ 115C‑12.  Powers and duties of the Board generally.
The general supervision and administration of the free public school system shall be vested in the State Board of Education. The State Board of Education shall establish policy for the system of free public schools, subject to laws enacted by the General Assembly. The powers and duties of the State Board of Education are defined as follows:
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(1a)	To Submit a Budget Request to the Director of the Budget. – The Board shall submit a budget request to the Director of the Budget in accordance with G.S. 143C‑3‑3. In addition to the information requested by the Director of the Budget, the Board shall provide an analysis relating each of its requests.
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(9)	Miscellaneous Powers and Duties. – All the powers and duties exercised by the State Board of Education shall be in conformity with the Constitution and subject to such laws as may be enacted from time to time by the General Assembly. Among such duties are:
a.	To certify and regulate the grade and salary of teachers and other school employees.
	c.	To adopt rules requiring each local school administrative unit to implement the standard course of study in every school in the State.		
c1.	To issue an annual "report card" for the State and for each local school administrative unit, assessing each unit's efforts to improve student performance based on the growth in performance of the students in each school and taking into account progress over the previous years' level of performance and the State's performance in comparison with other states. This assessment shall take into account factors that have been shown to affect student performance and that the State Board considers relevant to assess the State's efforts to improve student performance. As a part of the annual "report card" for each local school administrative unit, the State Board shall award an overall numerical school performance score on a scale of zero to 100 and a corresponding letter grade of A, B, C, D, or F earned by each school within the local school administrative unit. The school performance score and grade shall reflect student performance assessments, college and workplace readiness measures, and graduation rates. For schools serving students in any grade from kindergarten to eighth grade, separate performance scores and grades shall also be awarded based on the school performance in reading and mathematics respectively. The annual "report card" for schools serving students in third grade also shall include the number and percentage of third grade students who (i) take and pass the alternative assessment of reading comprehension; (ii) were retained in third grade for not demonstrating reading proficiency as indicated in G.S. 115C‑83.7(a); and (iii) were exempt from mandatory third grade retention by category of exemption as listed in G.S. 115C‑83.7(b).
c2.	Repealed by Session Laws 1995 (Regular Session, 1996), c. 716, s. 1.
		d.	To formulate rules and regulations for the enforcement of the compulsory attendance law.
	(9a),	(9b)  Repealed by Session Laws 2005‑458, s. 1, effective October 2, 2005.
(9c)	Power to Develop Content Standards and Exit Standards. – The Board shall develop content standards and the standard course of study in the core academic areas of reading, writing, mathematics, science, history, geography, and civics. A full review of available and relevant academic content standards that are rigorous, specific, sequenced, clear, focused, and measurable, whenever possible, shall be a part of the process of the development of content standards. The content standards developed in the core academic areas shall (i) reflect high expectations for students and an in‑depth mastery of the content; (ii) be clearly grounded in the content of each academic area; (iii) be defined grade‑by‑grade and course‑by‑course; (iv) be understandable to parents and teachers; (v) be developed in full recognition of the time available to teach the core academic areas at each grade level; and (vi) be measureable for accountability purposes.
The Board may develop exit standards that will be required for high school graduation.
The State Board of Education shall work in collaboration with the Board of Governors of The University of North Carolina to ensure that teacher and school administrator degree programs, ongoing professional development, and other university activity in the State's public schools align with the State Board's priorities.
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	(16)	Power with Regard to Salary Schedules. – The Board shall provide for sick leave with pay for all public school employees in accordance with the provisions of this Chapter and shall promulgate rules and regulations providing for necessary substitutes on account of sick leave and other teacher absences.
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(18)	Duty to Develop and Implement a Uniform Education Reporting System for Collecting Fiscal and Personnel Information. –
a.	The State Board of Education shall adopt standards and procedures for local school administrative units to provide timely, accurate, and complete fiscal and personnel information, including payroll information, on all school personnel.	c.	The State Board of Education shall comply with the provisions of G.S. 116‑11(10a) to plan and implement an exchange of information between the public schools and the institutions of higher education in the State. The State Board of Education shall require local boards of education to provide to the parents of children at a school all information except for confidential information received about that school from institutions of higher education pursuant to G.S. 116‑11(10a) and to make that information available to the general public.
d.	The State Board of Education shall modify the Uniform Education Reporting System to provide clear, accurate, and standard information on the use of funds at the unit and school level. The plan shall provide information that will enable the General Assembly to determine State, local, and federal expenditures for personnel at the unit and school level. The plan also shall allow the tracking of expenditures for textbooks, educational supplies and equipment, capital outlay, at‑risk students, and other purposes. The revised Uniform Education Reporting System shall be implemented beginning with the 1999‑2000 school year.
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	(23)	Power to Adopt Eligibility Rules for Interscholastic Athletic Competition. – The State Board of Education shall adopt rules governing interscholastic athletic activities conducted by local boards of education, including eligibility for student participation. With regard to middle schools and high schools, the rules shall provide for the following:
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c.	Each local school administrative unit shall develop a venue specific emergency action plan to deal with serious injuries and acute medical conditions in which the condition of the patient may deteriorate rapidly. The plan shall include a delineation of roles, methods of communication, available emergency equipment, and access to and plan for emergency transport. This plan must be (i) in writing, (ii) reviewed by an athletic trainer licensed in North Carolina,  (iii) distributed to all appropriate personnel, (iv) posted conspicuously at all venues, and (v) reviewed and rehearsed annually by all licensed athletic trainers, first responders, coaches, school nurses, athletic directors, and volunteers for interscholastic athletic activities.
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The State Board of Education may authorize a designated organization to apply and enforce the Board's rules governing participation in interscholastic athletic activities at the high school level.
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	(30a)	Duty to Assist Schools in Meeting Adequate Yearly Progress. – The State Board of Education shall:
a.	Identify which schools are meeting adequate yearly progress with subgroups as specified in the No Child Left Behind Act of 2001;
b.	Study the instructional, administrative, and fiscal practices and policies employed by the schools selected by the State Board of Education that are meeting adequate yearly progress specified in the No Child Left Behind Act of 2001; and
	d.	Offer technical assistance based on these assistance models to local school administrative units not meeting adequate yearly progress, giving priority to those local school administrative units with high concentrations of schools that are not meeting adequate yearly progress. The State Board of Education shall determine the number of local school administrative units that can be served effectively in the first two years. This technical assistance shall include peer assistance and professional development by teachers, support personnel, and administrators in schools with subgroups that are meeting adequate yearly progress.
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	(38)	Repealed by Session Laws 2012‑194, s. 55(a), effective July 17, 2012.
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SECTION 4.  G.S. 115C‑16 and G.S. 115C‑17 are repealed.
SECTION 5.  G.S. 115C‑21 reads as rewritten:
"§ 115C‑21.  Powers and duties generally.
(a)	Administrative Duties. – Subject to the direction, control, and approval of the State Board of Education, it shall be the duty of the Superintendent of Public Instruction:
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	(7)	Repealed by Session Laws 1995, c. 72, s. 2.
(b)	Duties as Secretary to the State Board of Education. – Subject to the direction, control, and approval of the State Board of Education, it shall be the duty of the Superintendent of Public Instruction:
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SECTION 6.  G.S. 115C‑39 is repealed.
SECTION 7.  G.S. 115C‑47 reads as rewritten:
"§ 115C‑47.  Powers and duties generally.
In addition to the powers and duties designated in G.S. 115C‑36, local boards of education shall have the power or duty:
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(8)	To Sponsor or Conduct Educational Research. – Local boards of education are authorized to sponsor or conduct educational research and special projects that may improve the school system under their jurisdictions. Such research or projects may be conducted during the summer months and the board may use any available funds for such purposes.
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(10)	To Assure Appropriate Class Size. – It shall be the responsibility of local boards of education to assure that the class size and teaching load requirements set forth in G.S. 115C‑301 are met. Any teacher who believes that the requirements of G.S. 115C‑301 have not been met shall make a report to the principal and superintendent, and the superintendent shall immediately determine whether the requirements have in fact not been met. If the superintendent determines the requirements have not been met, he shall make a report to the next local board of education meeting. The local board of education shall take action to meet the requirements of the statute.		
		At the end of the second month of each school year, the local board of education, through the superintendent, shall file a report with the State Board of Education, in a format prescribed by the State Board of Education, describing the organization of each school, the duties of each teacher, the size of each class, and the teaching load of each teacher. As of February 1 each year, local boards of education, through the superintendent, shall report all exceptions to individual class size and daily teaching load maximums that exist at that time.
		In addition to assuring that the requirements of G.S. 115C‑301 are met, each local board of education shall also have the duty to provide an adequate number of classrooms to meet the requirements of that statute.
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	(18)	To Minimize Unnecessary Paperwork. – 		Prior to the beginning of each school year, each local board of education shall identify all reports, including local school required reports, that are required at the local level for the school year and shall, to the maximum extent possible, eliminate any duplicate or obsolete reporting requirements and consolidate remaining reporting requirements. No additional reports shall be required at the local level after the beginning of the school year without the prior approval of the local board of education.
		Prior to the beginning of each school year, each local board of education shall also identify software protocols such as NC Wise that could be used to minimize repetitious data entry by teachers and shall make them available to teachers.
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		(32)	To Refer All Students Who Drop Out of the Public Schools to Appropriate Services. – Local boards of education shall refer all students who drop out of the public schools to appropriate services.(32a)	To Establish Alternative Learning Programs and Develop Policies and Guidelines. – Each local board of education shall establish at least one alternative learning program and shall adopt guidelines for assigning students to alternative learning programs. These guidelines shall include (i) a description of the programs and services to be provided, (ii) a process for ensuring that an assignment is appropriate for the student and that the student's parents are involved in the decision, and (iii) strategies for providing alternative learning programs, when feasible and appropriate, for students who are subject to long term suspension or expulsion. Local boards also shall adopt policies that define what constitutes an alternative school and an alternative learning program.
Local school administrative units shall use (i) the teachers allocated for students assigned to alternative learning programs pursuant to the regular teacher allotment and (ii) the teachers allocated for students assigned to alternative learning programs only to serve the needs of these students.
Local school administrative units shall report to the State Board of Education on how funds in the Alternative Schools/At‑Risk Student allotment are spent.
						
(33)	Local boards of education shall have authority to procure supplementary instructional materials, whether or not the materials contain commercial advertising, pursuant to the provisions of G.S. 115C‑98(b).
						(34a)	To Encourage High School to Work Partnerships. – Each local board of education shall encourage high schools and local businesses to partner, specifically target students who may not seek higher education, and facilitate high school to work partnerships. Local businesses shall be encouraged to work with local high schools to create opportunities for students to complete a job shadow, internship, or apprenticeship. Students may also be encouraged to tour the local business or clinic, meet with employees, and participate in career and technical student organizations. Waiver forms may be developed in collaboration with participating businesses for the protection of both the students and the businesses.
				
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…(61)	To Adopt Policies Directing Guidance Counselors to Advise Ninth Graders on Completing Coursework for College Entry in Three Years. – Local boards of education shall also adopt policies directing school guidance counselors to make ninth grade students aware of the potential to complete the high school courses required for college entry in a three‑year period.
(62)	To Develop Recommended Programs for Use in Schools on Memorial Day. – Local boards of education shall develop recommended instructional programs that enable students to gain a better understanding of the meaning and importance of Memorial Day. All schools, especially schools that hold school on Memorial Day, shall instruct students on the significance of Memorial Day."
SECTION 8.  Article 6 of Chapter 115C of the General Statutes is repealed.
SECTION 9.  G.S. 115C‑67 through G.S. 115C‑68.3 are repealed.
SECTION 10.  G.S. 115C‑81 reads as rewritten:
"§ 115C‑81.  Basic Education Program.
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(a3)	Alcohol and Drug Education Program to Be Recommended and Implemented:
(1)	A comprehensive education program that includes alcohol and drug use prevention education must be available to every child in North Carolina schools in kindergarten through high school.
			(5)	Local boards of education may select supplemental alcohol and drug use prevention education materials from the list maintained by the State Board of Education, or develop their own supplemental materials.
(6)	Local boards of education shall implement alcohol and drug use prevention education as a primary part of their comprehensive health education program.
(7)	Local boards of education will provide for ongoing evaluation of drug use prevention education resources.(8)	Local boards of education must implement an approved drug and alcohol education prevention program for kindergarten through sixth grade by the 1990‑91 school year, and for seventh grade through twelfth grade by the 1991‑92 school year.
(9)	Repealed by Session Laws 2005‑155, s. 2, effective July 5, 2005.
(10)	Local school districts, will provide for staff development to train educators and support personnel to implement a comprehensive alcohol and drug use prevention education program.
(11)	Sequential, age‑appropriate instruction will be provided that has the following features:
a.	Reaches all students in all grades;
b.	Presents a clear and consistent message that the use of alcohol and illicit drugs and the misuse of other drugs is unhealthy and harmful;
c.	Reflects current research and theory;
d.	Includes all abusable substances;
e.	Utilizes information that is current and accurate;
f.	Involves students in active "hands‑on" learning experiences;
g.	Integrates substance abuse education with other health and social issues and other subject and skill areas of the North Carolina Basic Education Program and Standard Course of Study;
h.	Promotes understanding and respect for the law and values of society;
i.	Encourages health, safe, and responsible attitudes and behaviors;
j.	Includes strategies to involve parents, family members, and the community;
k.	Includes information on intervention and treatment services;
l.	Is continually open to revision, expansion and improvement.
(a4)	Conflict Resolution and Mediation Models: The State Board of Education shall develop a list of recommended conflict resolution and mediation materials, models, and curricula that address responsible decision making, the causes and effects of school violence and harassment, cultural diversity, and nonviolent methods for resolving conflict, including peer mediation and shall make the list available to local school administrative units and school buildings by the beginning of the 1994‑95 school year. In developing this list, the Board shall emphasize materials, models, and curricula that currently are being used in North Carolina.(b)	The Basic Education Program shall include course requirements and descriptions similar in format to materials previously contained in the standard course of study and it shall provide:
(1)	A core curriculum for all students that takes into account the special needs of children;
(2)	A set of competencies, by grade level, for each curriculum area;
(3)	A list of materials for use in providing the curriculum;
(4)	Standards for student performance and promotion based on the mastery of competencies, including standards for graduation, that take into account children with disabilities and, in particular, include appropriate modifications;
(5)	A program of remedial education;
(6)	Required support programs;
(7)	A definition of the instructional day;
(8)	Class size recommendations and requirements;
(9)	Prescribed staffing allotment ratios;
(10)	Material and equipment allotment ratios; and
(11)	Facilities guidelines that reflect educational program appropriateness, long‑term cost efficiency, and safety considerations.	The State Board shall not adopt or enforce any rule that requires Algebra I as a graduation standard or as a requirement for a high school diploma for any student whose individualized education program (i) identifies the student as learning disabled in the area of mathematics and (ii) states that this learning disability will prevent the student from mastering Algebra I.
The State Board shall not require any student to prepare a high school graduation project as a condition of graduation from high school; local boards of education may, however, require their students to complete a high school graduation project.
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(e1)	School Health Education Program to Be Developed and Administered.
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(2)	The State Board of Education shall supervise the development of a statewide comprehensive school health education program including curriculum development, in‑service training provision and promotion of collegiate training, learning material review, and assessment and evaluation of local programs in the same manner as for other programs. The State Board of Education shall adopt objectives for the instruction of the subject areas listed in subdivision (1) of this subsection that are appropriate for each grade level. In addition, the State Board shall approve materials incorporating these objectives that local school administrative units may purchase with State funds. The State Board of Education, through the Department of Public Instruction, shall, on a regular basis, review materials related to these objectives, and distribute these reviews to local school administrative units for their information.
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(5)	The State Board of Education shall make available to all local school administrative units for review by the parents and legal guardians of students enrolled at that unit any State‑developed objectives for instruction, the list of reviewed materials, and any other State‑developed or approved materials that pertain to or are intended to impart information or promote discussion or understanding in regard to the prevention of sexually transmitted diseases, including HIV/AIDS, to the avoidance of out‑of‑wedlock pregnancy, or to the reproductive health and safety education curriculum. The review period shall extend for at least 60 days before use.
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(g)	Civic Literacy. –
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	(5)	The local boards of education shall provide or cause to be provided curriculum content for the semester course required in subdivision (1) of this subsection and teacher training to ensure that the intent and provisions of this subsection are carried out. The curriculum content established shall include a review of the contributions made by Americans of all races.
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(h)	Character Education. – Each local board of education shall develop and implement character education instruction with input from the local community. The instruction shall be incorporated into the standard curriculum and should address the following traits or others, in the discretion of the local school administrative unit:
(1)	Courage. – Having the determination to do the right thing even when others don't and the strength to follow your conscience rather than the crowd; and attempting difficult things that are worthwhile.
(2)	Good judgment. – Choosing worthy goals and setting proper priorities; thinking through the consequences of your actions; and basing decisions on practical wisdom and good sense.
(3)	Integrity. – Having the inner strength to be truthful, trustworthy, and honest in all things; acting justly and honorably.
(4)	Kindness. – Being considerate, courteous, helpful, and understanding of others; showing care, compassion, friendship, and generosity; and treating others as you would like to be treated.
(5)	Perseverance. – Being persistent in the pursuit of worthy objectives in spite of difficulty, opposition, or discouragement; and exhibiting patience and having the fortitude to try again when confronted with delays, mistakes, or failures.
(6)	Respect. – Showing high regard for authority, for other people, for self, for property, and for country; and understanding that all people have value as human beings.
(7)	Responsibility. – Being dependable in carrying out obligations and duties; showing reliability and consistency in words and conduct; being accountable for your own actions; and being committed to active involvement in your community.
(8)	Self‑Discipline. – Demonstrating hard work and commitment to purpose; regulating yourself for improvement and restraining from inappropriate behaviors; being in proper control of your words, actions, impulses, and desires; choosing abstinence from premarital sex, drugs, alcohol, and other harmful substances and behaviors; and doing your best in all situations.
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(i)	Both the standard course of study and the Basic Education Program shall include the requirement that the public schools provide instruction in personal financial literacy for all students. Each student shall receive personal financial literacy instruction that shall include (i) the true cost of credit, (ii) choosing and managing a credit card, (iii) borrowing money for an automobile or other large purchase, (iv) home mortgages, (v) credit scoring and credit reports, and (vi) other relevant financial literacy issues.
Each local school administrative unit shall determine the other components of personal financial literacy that will be covered in the curriculum.…."
SECTION 11.  G.S. 115C‑81.1 reads as rewritten:
"§ 115C‑81.1.  Basic Education Program Funds not to supplant Local funds for schools.
It is the intent of the General Assembly that budget funds appropriated by the General Assembly for vocational and technical education programs and clerical personnel to implement the Basic Education Program be used to supplement and not supplant existing State and local funding for the public schools. Therefore, to the extent that local school administrative units receive additional State funds for vocational and technical education programs and clerical personnel positions that were previously funded in whole or in part with nonstate funds, the local governments shall continue to spend for public school operating or capital purposes in the local school administrative units the amount of money they would have spent to provide the vocational and technical education programs and the school clerical personnel previously funded with nonstate funds.
"SECTION 12.  G.S. 115C‑83.6(a) reads as rewritten:
"(a)	Kindergarten, first, second, and third grade students shall be assessed with valid, reliable, formative, and diagnostic reading assessments. Difficulty with reading development identified through administration of formative and diagnostic assessments shall be addressed with instructional supports and services."
SECTION 12A.  G.S. 115C‑83.7(b) reads as rewritten:
"(b)	Students may be exempt from mandatory retention in third grade for good cause but shall continue to receive instructional supports and services and reading interventions appropriate for their age and reading level. Good cause exemptions shall be limited to the following:
(1)	Limited English Proficient students with less than two years of instruction in an English as a Second Language program.
(2)	Students with disabilities, as defined in G.S. 115C‑106.3(1), whose individualized education program indicates the use of alternative assessments and reading interventions.
(3)	Students who demonstrate reading proficiency appropriate for third grade students on an alternative assessment approved by the State Board of Education. Teachers may administer the alternative assessment following the administration of the State‑approved standardized test of reading comprehension typically given to third grade students at the end of the school year, or after a student's participation in the local school administrative unit's summer reading camp.
(4)	Students who demonstrate, through a student reading portfolio, reading proficiency appropriate for third grade students. Teachers may submit the student reading portfolio at the end of the school year or after a student's participation in the local school administrative unit's summer reading camp.(5)	Students who have (i) received reading intervention and (ii) previously been retained more than once in kindergarten, first, second, or third grades."
SECTION 13.  G.S.115C‑83.10 reads as rewritten:
"§ 115C‑83.10.  Accountability measures.
(a)	Each local board of education shall publish annually on a Web site maintained by that local school administrative unit and report in writing to the State Board of Education by July 1 of each year the following information on the prior school year:
(1)	The number and percentage of third grade students demonstrating and not demonstrating reading proficiency on the State‑approved standardized test of reading comprehension administered to third grade students.
(2)	The number and percentage of third grade students who take and pass the alternative assessment of reading comprehension.
(3)	The number and percentage of third grade students retained for not demonstrating reading proficiency.
(4)	The number and percentage of third grade students exempt from mandatory third grade retention by category of exemption as listed in G.S. 115C‑83.7(b).
(b)	Each local board of education shall report annually in writing to the State Board of Education by July 1 of each year a description of all reading interventions provided to students who have been retained under G.S. 115C‑83.7(a).
(c)	The State Board of Education shall compile annually this information and submit a State‑level summary to the Governor, the President Pro Tempore of the Senate, the Speaker of the House of Representatives, and the Joint Legislative Education Oversight Committee by October 1 of each year, beginning with the 2014‑2015 school year.
(d)	The State Board of Education and the Department of Public Instruction shall provide technical assistance as needed to aid local school administrative units to implement all provisions of this Part."
SECTION 14.  G.S. 115C‑84.2(a) reads as rewritten:
"(a)	School Calendar. – Each local board of education shall adopt a school calendar consisting of 215 days all of which shall fall within the fiscal year. A school calendar shall include the following:
(1)	(See notes) A minimum of 185 days or 1,025 hours of instruction covering at least nine calendar months. The local board shall designate when the instructional days shall occur. The number of instructional hours in an instructional day may vary according to local board policy and does not have to be uniform among the schools in the administrative unit. Local boards may approve curriculum implementation plans that include days with varying amounts of instructional time. If school is closed early due to inclement weather, the day and the scheduled amount of instructional hours may count towards the required minimum to the extent allowed by State Board policy. The school calendar shall include a plan for making up days and instructional hours missed when schools are not opened due to inclement weather.
(1a)	Repealed by Session Laws 2004‑180, s. 1, effective August 9, 2004.
(2)	A minimum of 10 annual vacation leave days.
(3)	The same or an equivalent number of legal holidays occurring within the school calendar as those designated by the State Personnel Commission for State employees.
(4)	Repealed by Session Laws 2011‑145, s. 7.29(a), effective July 1, 2011.
(5)	The remaining days scheduled by the local board in consultation with each school's principal for use as teacher workdays, additional instructional days, or other lawful purposes. Days may be scheduled and planned for different purposes for different personnel and there is no requirement to schedule the same dates for all personnel. In order to make up days for school closing because of inclement weather, the local board may designate any of the days in this subdivision as additional make‑up days to be scheduled after the last day of student attendance.
Local boards and individual schools are encouraged to use the calendar flexibility in order to meet the annual performance standards. Local boards of education shall consult with parents and the employed public school personnel in the development of the school calendar.
Local boards shall designate at least two days scheduled under subdivision (5) of this subsection as days on which teachers may take accumulated vacation leave. Local boards may designate the remaining days scheduled in subdivision (5) of this subsection as days on which teachers may take accumulated vacation leave, but local boards shall give teachers at least 14 calendar days' notice before requiring a teacher to work instead of taking vacation leave on any of these days. A teacher may elect to waive this notice requirement for one or more of these days."
SECTION 15.  G.S. 115C‑85 through G.S. 115C‑91 are repealed.
SECTION 16.  G.S. 115C‑92 reads as rewritten:"§ 115C‑92.  Procedure for adoption and change of textbook.
The local board of education, after consultation with the superintendent, shall select and adopt textbooks. The superintendent may at any time communicate to the local board of education that a particular book is unsatisfactory for the schools, whereupon the board may call for a new selection and adoption. If the board votes to change a textbook, it shall give the publisher 90 days' notice prior to May 1, after which it may adopt a new book or books on the subject for which a book is sought."
SECTION 17.  G.S. 115C‑93 is repealed.
SECTION 18.  G.S. 115C‑94 reads as rewritten:
"§ 115C‑94.  Publishers to register.
Any publisher who submits books for adoption by a local board of education shall register in the office of the Superintendent of Public Instruction the names of all agents or other employees authorized to represent that company in  the State, and this registration list shall be open to the public for inspection."
SECTION 19.  G.S. 115C‑95 is repealed.
SECTION 20.  G.S. 115C‑96 reads as rewritten:
"§ 115C‑96.  Powers and duties of local boards of education in regard to textbooks.
The children of the public elementary and secondary schools of the State shall be provided with free basic textbooks within the appropriation of the General Assembly for that purpose. Each local board of education shall administer a fund and establish rules and regulations necessary to:
(1)	Acquire by contract such basic textbooks as are or may be on the adopted list of the State of North Carolina which the Board finds necessary to meet the needs of the State public school system and to carry out the provisions of this Part.
	(3)	Provide for the free use, with proper care and return, of elementary and secondary basic textbooks. The title of said books shall be vested in the State."
SECTION 21.  G.S. 115C‑98 reads as rewritten:
"§ 115C‑98.  Local boards of education to provide for local operation of the textbook program, the selection and procurement of instructional materials.
(a)	Local boards of education shall adopt rules concerning the local operation of the textbook program.
(b)	Local boards of education shall adopt written policies concerning the procedures to be followed in their local school administrative units for the selection and procurement of textbooks, digital learning hardware and software, supplementary textbooks, library books, periodicals, audiovisual materials, and other instructional materials needed for instructional purposes in the public schools of their units.
Local boards of education shall have sole authority to select and procure instructional materials, whether or not the materials contain commercial advertising, to determine if the materials are related to and within the limits of the prescribed curriculum, and to determine when the materials may be presented to students during the school day. Supplementary materials and contracts for supplementary materials are not subject to approval by the State Board of Education.
(b1)	The superintendent may establish a community media advisory committee to investigate and evaluate challenges from parents, teachers, and members of the public to textbooks and supplementary instructional materials on the grounds that they are educationally unsuitable, pervasively vulgar, or inappropriate to the age, maturity, or grade level of the students. The local board, at all times, has sole authority and discretion to determine whether a challenge has merit and whether challenged material should be retained or removed.
(b2)	Local boards may 	select, procure, and use textbooks for use throughout the local school administrative unit for selected grade levels and courses.
	All textbook contracts made under this subsection shall include a clause granting to the local board of education the license to produce braille, large print, and audiocassette tape copies of the textbooks for use in the local school administrative unit.
(c)	Funds allocated by the State Board of Education or appropriated in the current expense or capital outlay budgets of the local school administrative units, may be used for the above‑stated purposes."
SECTION 22.  G.S. 115C‑102 reads as rewritten:
"§ 115C‑102.  Right to purchase; disposal of textbooks and materials.
(a)	Any parent, guardian, or person in loco parentis may purchase any instructional material needed for any child in the public schools of the State from the board of education of the local school administrative unit in which the child is enrolled.(b)	Notwithstanding Article 3A of Chapter 143 of the General Statutes, G.S. 143‑49(4), or any other provision of law,  local boards of education may dispose of discontinued instructional material, including textbooks."
SECTION 23.  G.S. 115C‑102.6A(c) reads as rewritten:
"(c)	Components of the State school technology plan shall include at least the following:
…
	…."
SECTION 24.(a)  Part 5 of Article 8 of Chapter 115C of the General Statutes is repealed.
SECTION 24.(b)  The Governor shall give notice in writing to the governors of all party states to the Compact for Education that the State of North Carolina has repealed the Compact and is withdrawing from the Compact.
SECTION 25.  Article 8B of Chapter 115C of the General Statutes reads as rewritten:
"Article 8B.
"School‑Based Management and Accountability Program.
"Part 1. Implementation of Program.
"§ 115C‑105.20.  School‑Based Management and Accountability Program.
(a)	The General Assembly believes that all children can learn. It is the intent of the General Assembly that the mission of the public school community is to challenge with high expectations each child to learn, to achieve, and to fulfill his or her potential.
(b)	In order to support local boards of education and schools that are not meeting either the goals of their curriculum implementation plans or their academic performance standards, the State Board of Education shall adopt guidelines, including guidelines to:
(1)	Assist local boards and schools in the development, modification, and implementation of their curriculum implementation plans.
(2)	Recognize the schools that meet or exceed their goals.
(3)	Identify schools that are not meeting the goals set out in their curriculum implementation plans and low‑performing schools under G.S. 115C‑105.37, and create auditing teams that the Board may assign to such schools. The auditing teams should consist of currently practicing teachers and staff, representatives of institutions of higher education, school administrators, and others the State Board considers appropriate.
(4)	Enable auditing teams to make appropriate recommendations under G.S. 115C‑105.38.
(5)	Establish a process to resolve disputes between local boards and schools in the development and implementation of curriculum implementation plans under G.S. 115C‑105.27. This process shall provide for final resolution of the disputes.
"§ 115C‑105.21.  Local participation in the Program.
(a)	Local school administrative units shall participate in the School‑Based Management and Accountability Program in accordance with their curriculum implementation plan.
(b)	The School‑Based Management and Accountability Program shall provide increased local control of schools with the goal of improving student performance. Local boards of education:
(1)	Are allowed increased flexibility in the expenditure of State funds, in accordance with G.S. 115C‑105.25; and
(2)	May be granted waivers of certain State laws, regulations, and policies that inhibit their ability to reach local accountability goals, in accordance with G.S. 115C‑105.26.
	
"Part 2. School‑Based Management.
"§ 115C‑105.25.  Budget flexibility.
(a)	Consistent with improving student performance, a local board shall provide maximum flexibility to schools in the use of funds to enable the schools to accomplish their goals.
(b)	Subject to the following limitations, local boards of education may transfer and may approve transfers of funds between funding allotment categories:
(1)	In accordance with a curriculum implementation plan, State funds allocated for teacher assistants may be transferred only for personnel (i) to serve students only in kindergarten through third grade, or (ii) to serve students primarily in kindergarten through third grade when the personnel are assigned to an elementary school to serve the whole school. Funds allocated for teacher assistants may be transferred to reduce class size or to reduce the student‑teacher ratio in kindergarten through third grade so long as the affected teacher assistant positions are not filled when the plan is amended or approved by the building‑level staff entitled to vote on the plan or the affected teacher assistant positions are not expected to be filled on the date the plan is to be implemented. Any State funds appropriated for teacher assistants that were converted to certificated teachers before July 1, 1995, in accordance with Section 1 of Chapter 986 of the 1991 Session Laws, as rewritten by Chapter 103 of the 1993 Session Laws, may continue to be used for certificated teachers.
			(4)	Funds allocated for children with disabilities, for students with limited English proficiency, and for driver's education shall not be transferred.
(5)	Funds allocated for classroom teachers may be transferred only for teachers of exceptional children, for teachers of at‑risk students, and for authorized purposes under the textbooks allotment category and the classroom materials/instructional supplies/equipment allotment category.
(5a)	Positions allocated for classroom teachers may be converted to dollar equivalents to contract for visiting international exchange teachers. These positions shall be converted at the statewide average salary for classroom teachers, including benefits. The converted funds shall be used only to cover the costs associated with bringing visiting international exchange teachers to the local school administrative unit through a State‑approved visiting international exchange teacher program and supporting the visiting exchange teachers.
(6)	Funds allocated for vocational education may be transferred only in accordance with any rules that the State Board of Education considers appropriate to ensure compliance with federal regulations.
(7)	Funds allocated for career development shall be used in accordance with Section 17.3 of Chapter 324 of the 1995 Session Laws.
(8)	Funds allocated for academically or intellectually gifted students may be used only (i) for academically or intellectually gifted students; (ii) to implement the plan developed under G.S. 115C‑150.7; or (iii) in accordance with an accepted curriculum implementation plan, for any purpose so long as that school demonstrates it is providing appropriate services to academically or intellectually gifted students assigned to that school in accordance with the local plan developed under G.S. 115C‑150.7.
(9)	Funds allocated in the Alternative Schools/At‑Risk Student allotment shall be spent only for alternative learning programs, at‑risk students, and school safety programs.
"§ 115C‑105.26.  Waivers of State laws, rules, or policies.
(a)	When included as part of a curriculum implementation plan, local boards of education shall submit requests for waivers of State laws, rules, or policies to the State Board of Education. A request for a waiver shall (i) identify the school making the request, (ii) identify the State laws, rules, or policies that inhibit the school's ability to improve student performance, (iii) set out with specificity the circumstances under which the waiver may be used, and (iv) explain how the requested waiver will permit the school to improve student performance. Except as provided in subsection (c) of this section, the State Board shall grant waivers only for the specific schools for which they are requested and shall be used only under the specific circumstances for which they are requested.
(b)	When requested as part of a curriculum implementation plan, the State Board of Education may grant waivers of:
(1)	State laws pertaining to class size and teacher certification; and
(2)	State rules and policies, except those pertaining to public school State salary schedules and employee benefits for school employees, the instructional program that must be offered under the Basic Education Program, the system of employment for public school teachers and administrators set out in G.S. 115C‑287.1 and G.S. 115C‑325, health and safety codes, compulsory attendance, the minimum lengths of the school day and year, and the Uniform Education Reporting System.
(c)	The State Board also may grant requests received from local boards for waivers of State laws, rules, or policies that affect the organization, duties, and assignment of central office staff only. However, none of the duties to be performed under G.S. 115C‑436 may be waived.
(c1)	The State Board also may grant requests received from local boards for waivers of State laws, rules, or policies that require that each local school administrative unit provide at least one alternative school or at least one alternative learning program.
(d)	Notwithstanding subsections (b) and (c) of this section, the State Board shall not grant waivers of G.S. 115C‑12(16)b. regarding the placement of State‑allotted office support personnel, teacher assistants, and custodial personnel on the salary schedule adopted by the State Board.
(e)	Notwithstanding subsection (b) of this section, the State Board may grant requests received from local boards for waivers of State laws, rules, or policies pertaining to the placement of principals on the State salary schedule for public school administrators in order to provide financial incentives to encourage principals to accept employment in a school that has been identified as low‑performing under G.S. 115C‑105.37. The State Board shall act on requests under this subsection at the first Board meeting following receipt of each request.
(f)	Except as provided in subsection (e) of this section, the State Board shall act within 60 days of receipt of all requests for waivers under this section.
(g)	The State Board shall, on a regular basis, review all waivers it has granted to determine whether any rules should be repealed or modified or whether the Board should recommend to the General Assembly the repeal or modification of any laws.
"														""§ 115C‑105.32.  Parent involvement programs and conflict resolution programs as part of curriculum implementation plans.
A school is encouraged to include a comprehensive parent involvement program as part of its curriculum implementation plan. A school is encouraged to review its need for a comprehensive conflict resolution program as part of the development of its curriculum implementation plan.
"§ 115C‑105.33.  Safe and orderly schools.
The State Board may provide an auditing team, established under G.S. 115C‑105.38, to a school in order to promote or restore safety and an orderly learning environment at that school if 	the local board of education or superintendent requests that the State Board provide an auditing team to a school and the State Board determines that the school needs assistance from the auditing team.
	If an auditing team is assigned to a school under this section, the team shall spend a sufficient amount of time at the school to assess the problems at the school, assist school personnel with resolving those problems, and work with school personnel and others to develop a long‑term plan for restoring and maintaining safety and an orderly learning environment at the school. The auditing team also shall make recommendations to the local board of education and the superintendent on actions the board and the superintendent should consider taking to resolve problems at the school. These recommendations shall be in writing and are public records. If an auditing team is assigned to a school under this section, the powers given to the State Board and the auditing team under G.S. 115C‑105.38 and G.S. 115C‑105.39 shall apply as if the school had been identified as low‑performing under this Article.
"Part 3. School‑Based Accountability.
"§ 115C‑105.35.  Annual performance goals.
(a)	The School‑Based Management and Accountability Program developed by the local school administrative unit in its curriculum implementation plan shall (i) focus on student performance in the basics of reading, mathematics, and communications skills in elementary and middle schools, (ii) focus on student performance in courses required for graduation and on other measures required by the State Board in the high schools, and (iii) hold schools accountable for the educational growth of their students. As part of this evaluation, the Board shall, where available, review the historical trend data on student academic performance on State tests. To the extent that the historical trend data suggest that the current standards for student performance may not be appropriate in a local school administrative unit, the State Board of Education shall assign an auditing team to the unit.		"		"§ 115C‑105.37.  Identification of low‑performing schools.
(a)	The State Board of Education shall design and implement a procedure to identify low‑performing schools on an annual basis. Low‑performing schools are those in which there is a failure to meet the minimum growth standards based on the tests administered pursuant to G.S. 115C‑174.11, as defined by the State Board, and a majority of students are performing below grade level.
(a1)	By July 10 of each year, each local school administrative unit shall do a preliminary analysis of test results to determine which of its schools the State Board may identify as low‑performing under this section. The superintendent then shall proceed under G.S. 115C‑105.39. In addition, within 30 days of the initial identification of a school as low‑performing by the local school administrative unit or the State Board, whichever occurs first, the superintendent shall submit to the local board a preliminary plan for appropriately implementing the curriculum implementation plan or modifying it to address the needs of that school, including how the superintendent and other central office administrators will work with the school and monitor the school's progress. Within 30 days of its receipt of this plan, the local board shall vote to approve, modify, or reject this plan. Before the board makes this vote, it shall make the plan available to the public, including the personnel assigned to that school and the parents and guardians of the students who are assigned to the school, and shall allow for written comments. The board shall submit the plan to the State Board within five days of the board's vote. The State Board shall review the plan expeditiously and, if appropriate, may offer recommendations to modify the plan. The local board shall consider any recommendations made by the State Board.
	"§ 115C‑105.37A.  Continually low‑performing schools; definition; assistance and intervention; reassignment of students.
(a)	Definition of Continually Low‑Performing Schools. – A continually low‑performing school is a school that has received State‑mandated assistance and has been designated by the State Board as low performing for at least two of three consecutive years. If the State Board identifies a school as continually low performing,		 the curriculum implementation plan for the local school administrative unit must be reviewed and reapproved by the State Board of Education.
(b)	Assistance to Schools That Are Low Performing for Two Years. – If a school that has received State‑mandated assistance is designated by the State Board as low performing for two consecutive years or for two of three consecutive years, the State Board shall provide a series of progressive assistance and intervention strategies to that school. These strategies shall be designed to improve student achievement and to maintain student achievement at appropriate levels and may include, to the extent that funds are available for this purpose, assistance such as reductions in class size, extension of teacher and assistant principal contracts, extension of the instructional year, and grant‑based assistance.
(c)	Intervention in Schools That Are Low Performing for Three or More Years. – The State Board of Education shall develop and implement a series of actions for providing assistance and intervention to schools that have previously received State‑mandated assistance and have been designated by the State Board as low performing for three or more consecutive years or for at least three out of four years. These actions shall be the least intrusive actions that are consistent with the need to improve student achievement at each such school and shall be adapted to the unique characteristics of each such school and the effectiveness of other actions developed or implemented to improve student achievement at each such school.
"§ 115C‑105.37B.  Reform of continually low‑performing schools.
(a)	Notwithstanding any other provision of this Article, the State Board of Education is authorized to approve a local board of education's request to reform any school in its administrative unit which the State Board of Education has identified as one of the continually low‑performing schools in North Carolina.
If the State Board of Education approves a local board of education's request to reform a school, the State Board of Education may authorize the local board of education to adopt one of the following models, which shall be included in the annual update to its curriculum implementation plan, in accordance with State Board of Education requirements:
(1)	Transformation model, which would address the following four specific areas critical to transforming a continually low‑performing school:
a.	Developing and increasing teacher and school leader effectiveness.
b.	Comprehensive instructional reform strategies.
c.	Increasing learning time and creating community‑oriented schools.
d.	Providing operational flexibility and sustained support.
(2)	Restart model, in which the State Board of Education would authorize the local board of education to operate the school with the same exemptions from statutes and rules as a charter school authorized under Part 6A of Article 16 of this Chapter, or under the management of an educational management organization that has been selected through a rigorous review process. A school operated under this subdivision remains under the control of the local board of education, and employees assigned to the school are employees of the local school administrative unit with the protections provided by G.S. 115C‑325.
(3)	Turnaround model, which would involve, among other actions, replacing the principal, if the principal has been in that position for at least three years, and rehiring no more than fifty percent (50%) of the school's staff, adopting a new governance structure at the school consistent with this Article, and implementing an instructional program aligned with the Standard Course of Study.
(4)	School closure model, in which a local school administrative unit would close the school consistent with G.S. 115C‑72 and enroll the students who attended the school in other, higher‑achieving schools in the local school administrative unit consistent with Article 25 of this Chapter.
(b)	The State Board of Education shall adopt rules to develop requirements for the models for school reform established in subsection (a) of this section.
(c)	The State Board shall establish a procedure to implement this section. This procedure shall include annual reporting requirements from local boards that are authorized to use one of the models under this section and shall include a procedure for removing or continuing the authorization.
(d)	Nothing in this section shall be construed to limit the authority of a local board of education as otherwise provided in this Chapter.
"§ 115C‑105.38.  Auditing teams; review by State Board.
(a)	The State Board of Education may assign an auditing team to any school identified as low‑performing under this Article, to any other school that requests an assistance team and that the State Board determines would benefit from an assistance team, or to any other school or local school administrative unit that the State Board deems necessary. The State Board shall give priority to low‑performing schools in which the educational performance of the students is declining. The Department of Public Instruction shall, with the approval of the State Board, provide staff as needed and requested by an assistance team.
(b)	When assigned to an identified low‑performing school, an assistance team shall:
(1)	Review and investigate all facets of school operations and assist in developing recommendations for improving student performance at that school.
(2)	Evaluate at least semiannually the personnel assigned to the school and make findings and recommendations concerning their performance.
(3)	Collaborate with school staff, central offices, and local boards of education in the design, implementation, and monitoring of a plan that, if fully implemented, can reasonably be expected to alleviate problems and improve student performance at that school.
(4)	Make recommendations as the school develops and implements this plan.
(5)	Review the school's progress.
(6)	Report, as appropriate, to the local board of education, the community, and the State Board on the school's progress. If an assistance team determines that the curriculum implementation plan is impeding student performance at a school, the team may recommend to the local board that it vacate the relevant portions of that plan and direct the local school administrative unit to revise those portions.
(b1)	Report to the State Board of Education if a school and its local board of education are not responsive to the team's recommendations. A copy of that report shall be made available to the local board, and the local board shall have an opportunity to respond. Notwithstanding G.S. 115C‑36 and other provisions of this Chapter, if the State Board confirms that the school and local board have failed to take appropriate steps to improve student performance at that school or to remedy what the State Board deems to be serious deficiencies in the curriculum implementation plan or its implementation, the State Board shall assume all powers and duties previously conferred upon that local board and that school and shall have general control and supervision of all matters pertaining to that school until student performance at the school meets or exceeds the standards set for the school. The State Board may, as it considers appropriate, delegate any powers and duties to that local board or school before the school meets or exceeds those standards.
(c)	If a school fails to improve student performance or to remedy the deficiencies in the curriculum implementation plan or is implementation after assistance is provided under this section, the auditing team may recommend that the assistance continues or that the State Board take further action under G.S. 115C‑105.39.
(d)	The State Board shall annually review the progress made in identified low‑performing schools.
"														"§ 115C‑105.39.  Dismissal or removal of personnel; appointment of interim superintendent.
(a)	Within 30 days of the initial identification of a school as low‑performing, whether by the local school administrative unit under G.S. 115C‑105.37(a1) or by the State Board under G.S. 115C‑105.37(a), the superintendent shall take one of the following actions concerning the school's principal: (i) recommend to the local board that the principal be retained in the same position, (ii) recommend to the local board that the principal be retained in the same position and a plan of remediation should be developed, (iii) recommend to the local board that the principal be transferred, or (iv) proceed under G.S. 115C‑325 to dismiss or demote the principal. The principal may be retained in the same position without a plan for remediation only if the principal was in that position for no more than two years before the school is identified as low‑performing. The principal shall not be transferred to another principal position unless (i) it is in a school classification in which the principal previously demonstrated at least 2 years of success, (ii) there is a plan to evaluate and provide remediation to the principal for at least one year following the transfer to assure the principal does not impede student performance at the school to which the principal is being transferred; and (iii) the parents of the students at the school to which the principal is being transferred are notified. The principal shall not be transferred to another low‑performing school in the local school administrative unit. If the superintendent intends to recommend demotion or dismissal, the superintendent shall notify the local board. Within 15 days of (i) receiving notification that the superintendent intends to proceed under G.S. 115C‑325, or (ii) its decision concerning the superintendent's recommendation, but no later than September 30, the local board shall submit to the State Board a written notice of the action taken and the basis for that action. If the State Board does not assign an assistance team to that school or if the State Board assigns an assistance team to that school and the superintendent proceeds under G.S. 115C‑325 to dismiss or demote the principal, then the State Board shall take no further action. If the State Board assigns an assistance team to the school and the superintendent is not proceeding under G.S. 115C‑325 to dismiss or demote the principal, then the State Board shall vote to accept, reject, or modify the local board's recommendations. The State Board shall notify the local board of its action within five days. If the State Board rejects or modifies the local board's recommendations and does not recommend dismissal of the principal, the State Board's notification shall include recommended action concerning the principal's assignment or terms of employment. Upon receipt of the State Board's notification, the local board shall implement the State Board's recommended action concerning the principal's assignment or terms of employment unless the local board asks the State Board to reconsider that recommendation. The State Board shall provide an opportunity for the local board to be heard before the State Board acts on the local board's request for a reconsideration. The State Board shall vote to affirm or modify its original recommended action and shall notify the local board of its action within five days. Upon receipt of the State Board's notification, the local board shall implement the State Board's final recommended action concerning the principal's assignment or terms of employment. If the State Board rejects or modifies the local board's action and recommends dismissal of the principal, the State Board shall proceed under G.S. 115C‑325(q)(1).
(b)	The State Board shall proceed under G.S. 115C‑325(q)(2) for the dismissal of teachers, assistant principals, directors, and supervisors assigned to a school identified as low‑performing in accordance with G.S. 115C‑325(q)(2).
(c)	The State Board may appoint an interim superintendent in a local school administrative unit:
(1)	Upon the identification of more than half the schools in that unit as low‑performing under G.S. 115C‑105.37; or
(2)	Upon the recommendation from an assistance team assigned to a school located in that unit that has been identified as low‑performing under G.S. 115C‑105.37. This recommendation shall be based upon a finding that the superintendent has failed to cooperate with the assistance team or has otherwise hindered that school's ability to improve.
The State Board may assign any of the powers and duties of the local superintendent and the local finance officer to the interim superintendent that the Board considers are necessary or appropriate to improve student performance in the local school administrative unit. The interim superintendent shall perform all of these assigned powers and duties. The State Board of Education may terminate the contract of any local superintendent entered into on or after July 1, 1996, when it appoints an interim superintendent. The Administrative Procedure Act shall apply to that decision. Neither party to that contract is entitled to damages.
(d)	In the event the State Board has appointed an interim superintendent and the State Board determines that the local board of education has failed to cooperate with the interim superintendent or has otherwise hindered the ability to improve student performance in that local school administrative unit or in a school in that unit, the State Board may suspend any of the powers and duties of the local board of education that the State Board considers are necessary or appropriate to improve student performance in the local school administrative unit. The State Board shall perform all of these assigned powers and duties for a period of time to be specified by the State Board.
(e)	If the State Board suspends any of the powers and duties of the local board of education under subsection (d) of this section and subsequently determines it is necessary to change the governance of the local school administrative unit in order to improve student performance, the State Board may recommend this change to the General Assembly, which shall consider, at its next session, the future governance of the identified local school administrative unit.
(f)	The State Board may also proceed under this section to dismiss or remove personnel if it finds that there are serious deficiencies in a curriculum implementation plan or its implementation.
"
"		"
SECTION 26.  G.S. 115C‑105.46 is repealed.
SECTION 27.  G.S. 115C‑105.47A reads as rewritten:
"§ 115C‑105.47A.  Plans to establish alternative learning programs or alternative schools.
(a)	Before establishing any alternative learning program or alternative school, the local school administrative unit shall develop a plan to implement the program or school that includes all of the following:
(1)	The educational and behavioral goals for students assigned to the program or school.
(2)	The policies and procedures for the operation of the program or school. The policies and procedures shall address the assignment of students to the program or school.
(3)	Identified strategies that will be used to improve student achievement and behavior.
(4)	Documentation that similar programs and schools in or out of the State, or both, have demonstrated success in improving the academic achievement and behavior of students assigned to them.
(5)	The estimated actual cost of operating the program or school. To the extent practicable, this shall include the cost of:
a.	Staffing the program or school with teachers who have at least four years' teaching experience and who have received an overall rating of at least above standard on a formal evaluation and are certified in the areas and grade levels being taught;
b.	Providing optimum learning environments, resources and materials, and high quality, ongoing professional development that will ensure students who are placed in the program or school are provided enhanced educational opportunities in order to achieve their full potential;
c.	Providing support personnel, including school counselors, psychiatrists, clinical psychologists, social workers, nurses, and other professionals to help students and their families work out complex issues and problems;
d.	Maintaining safe and orderly learning environments; and
e.	Providing transitional supports for students exiting the program or school and reentering the referring school.
(6)	Documented support of school personnel and the community for the implementation of the program or school.
(b)	The local school administrative unit shall include the plan in the curriculum component of its curriculum implementation plan."
SECTION 28.  G.S. 115C‑105.48(a) reads as rewritten:
"(a)	Prior to referring a student to an alternative school or an alternative learning program, the referring school shall:
(1)	Document the procedures that were used to identify the student as being at risk of academic failure or as being disruptive or disorderly.
(2)	Provide the reasons for referring the student to an alternative school or an alternative learning program.
(3)	Provide to the alternative school or alternative learning program all relevant student records, including anecdotal information.
(4)	Review the reasons for referring the student to an alternative school or an alternative learning program and all relevant student records, including anecdotal information, with the parents of the student."
SECTION 29.  G.S. 115C‑152 reads as rewritten:
"§ 115C‑152.  Definitions.
The State Board of Education shall provide appropriate definitions to vocational and technical education programs, services, and activities in grades 6‑12 not otherwise included in this Part. Local boards of education may provide appropriate definitions to other vocational and technical education programs, services, and activities in grades 6‑12 not otherwise included in this Part and may implement them to the extent they are consistent with federal law and the terms of federal grants. As used in this Part, unless the context requires otherwise:
(1)	"Career development; introductory" means an instructional program, service, or activity designed to familiarize individuals with the broad range of occupations for which special skills are required and the requisites for careers in such occupations.
(2)	"Comprehensive vocational and technical education" means instructional programs, services, or activities directly related to preparation for and placement in employment, for advanced technical preparation, or for the making of informed and meaningful educational and occupational choices.
(3)	"Occupational skill development" means a program, service, or activity designed to prepare individuals for paid or unpaid employment as semiskilled or skilled workers, technicians, or professional‑support personnel in recognized occupations and in new and emerging occupations including occupations or a trade, technical, business, health, office, homemaking, homemaking‑related, agricultural, marketing, and other nature. Instruction is designed to fit individuals for initial employment in a specific occupation or a cluster of closely related occupations in an occupational field. This instruction includes education in technology, manipulative skills, theory, auxiliary information, application of academic skills, and other associated knowledges.
(4)	"Preparation for advanced education" means a program, service, or activity designed to prepare individuals for participation in advanced or highly skilled post‑secondary and technical education programs leading to employment in specific occupations or a cluster of closely related occupations and for participation in vocational and technical education teacher education programs."
SECTION 30.  G.S. 115C‑174.11 reads as rewritten:
"§ 115C‑174.11.  Components of the testing program.
	(b)	Repealed by Session Laws 2009‑451, s. 7.20(c), effective July 1, 2009.
(c)	Annual Testing Program. –
(1)	The State Board of Education shall require local boards of education to administer the following tests:
a.	Nationally accepted tests for all students in grades three and five that are designed to measure progress toward reading, communication skills, and mathematics.
b.	The Pre‑ACT test in grades eight through 11. Students who do not pass the Pre‑ACT in eighth grade shall be provided remedial instruction in the ninth grade.
c.	The ACT test in grades nine through 12.
d.	Other tests required by federal law.
		
	(d)	Except as provided in subsection (c) of this section, the State Board of Education shall not require the public schools to administer any standardized tests except for those required by federal law.
The State Board of Education shall adopt and provide to local school administrative units all tests required by federal law."
SECTION 31.  G.S. 115C‑174.12 reads as rewritten:
"§ 115C‑174.12.  Responsibilities of agencies.
(a)	The State Board of Education shall establish policies and guidelines necessary for minimizing the time students spend taking tests administered through State and local testing programs, for minimizing the frequency of field testing at any one school, and for otherwise carrying out the provisions of this Article.
			
The State Board of Education's policies regarding the testing of children with disabilities shall (i) provide broad accommodations and alternate methods of assessment that are consistent with a child's individualized education program and section 504 (29 U.S.C. § 794) plans, (ii) prohibit the use of statewide tests as the sole determinant of decisions about a child's graduation or promotion, and (iii) provide parents with information about the Statewide Testing Program and options for students with disabilities. The State Board shall report its proposed policies and proposed changes in policies to the Joint Legislative Education Oversight Committee prior to adoption.
(b)	The Superintendent of Public Instruction shall be responsible for the statewide administration of the testing program provided by this Article.
	
…."
SECTION 32.  G.S. 115C‑174.18 is repealed.
SECTION 33.  G.S. 115C‑203 through G.S. 115C‑209 are repealed.
SECTION 34.  Article 13A of Chapter 115C of the General Statutes is repealed.
SECTION 35.  G.S. 115C‑231 is repealed.
SECTION 36.  G.S. 115C‑233 reads as rewritten:
"§ 115C‑233.  Operation of summer schools.
Each local school administrative unit may establish and maintain summer schools. Such summer schools as may be established shall be administered by local boards of education. The standards so developed shall specify the requirements for approved curriculum, the qualifications of the personnel, the length of the session, and the conditions under which students may be granted credit for courses pursued during a summer school. In determining the eligibility of students for admission to summer schools, boards of education shall be governed by Article 9 of this Chapter, and G.S. 115C‑366(b) and 115C‑367 to 115C‑370. Boards of education of local school administrative units may provide for summer schools from State funds made available for that purpose, funds appropriated to the local school administrative unit by the tax‑levying authority, and from any other revenues available for the purpose."
SECTION 37.  G.S. 115C‑238.31(a) reads as rewritten:
"(a)	Local school administrative units are encouraged to implement extended services programs that will expand students' opportunities for educational success through high‑quality, integrated access to instructional programming during nonschool hours. Extended services programs may be incorporated into the curriculum component of curriculum implementation plans developed in accordance with G.S. 115C‑26.2. Calendar alternatives include, but are not limited to, after‑school hours, before‑school hours, evening school, Saturday school, summer school, and year‑round school. Instructional programming may include, but is not limited to, tutoring, direct instruction, enrichment activities, study skills, and reinforcement projects."
SECTION 38.  G.S. 115C‑238.33 is repealed.
SECTION 39.  G.S. 115C‑238.50 reads as rewritten:"§ 115C‑238.50.  Purpose.
(a)	The purpose of this Part is to authorize local boards of education to jointly establish with one or more boards of trustees cooperative innovative programs in high schools and colleges or universities that will expand students' opportunities for educational success through high quality instructional programming.
			
(b)	All the cooperative innovative high school programs established under this Part shall be included in the local school administrative units' curriculum implementation plans. The plans shall:
(1)	Enable students to concurrently obtain a high school diploma and begin or complete an associate degree program, master a certificate or vocational program, or earn up to two years of college credit.
…
(f)	Students are eligible to attend these programs as early as ninth grade."
SECTION 40.  G.S. 115C‑238.50A reads as rewritten:
"§ 115C‑238.50A.  Definitions.
The following definitions apply in this Part:
…
(1a)	Cooperative innovative high school. – A high school approved by the local board of education and the applicable governing Board that meets the following criteria:
	b.	It partners with an institution of higher education to enable students to concurrently obtain a high school diploma and begin or complete an associate degree program, master a certificate or vocational program, or earn up to two years of college credit.
c.	It is located on the campus of the partner institution of higher education, unless the governing Board or the local board of trustees for a private North Carolina college specifically waives the requirement through adoption of a formal resolution.
(1b)	Cooperative innovative high school allotment. – Funds appropriated by the General Assembly to provide additional resources to approved cooperative innovative high schools.
…."
SECTION 41.  G.S. 115C‑238.51 and G.S. 115C‑238.51A are repealed.
SECTION 42.  G.S. 115C‑238.52(b) is repealed.
SECTION 43.  G.S. 115C‑238.53 reads as rewritten:
"§ 115C‑238.53.  Operation of cooperative innovative high schools.
(a)	A cooperative innovative high school is accountable to the local board of education.
(b)	A cooperative innovative high school shall operate under the terms of a written agreement signed by the local board of education, local board of trustees, and applicable governing Board. The agreement may be for a term of no longer than five school years.
…
(f)	Except as provided in this Part and under the terms of the agreement, cooperative innovative high schools	shall have the same exemptions from statutes and rules as charter schools operating under Part 6A of this Article, other than those pertaining to personnel.
	"
SECTION 44.  G.S. 115C‑238.54 reads as rewritten:"§ 115C‑238.54.  Funds for cooperative innovative high schools.
…
(e)	The local board of education and the local board of trustees are strongly encouraged to seek funds from sources other than State, federal, and local appropriations.
…
(g)	Students in cooperative innovative high schools that have a community college as their partner institution of higher education and were approved by a local board of education shall be included in calculations of budget full‑time equivalent students for the North Carolina Community College System only to the extent that the General Assembly appropriates funds for this purpose.
…
(i)	The State Board of Education shall reimburse private North Carolina colleges for tuition for courses taken by students at cooperative innovative high schools that have a private North Carolina college as their partner institution of higher education and were approved under G.S. 115C‑238.51A(c). Tuition payments (i) shall not exceed the average per pupil amount appropriated by the General Assembly under The University of North Carolina Need‑Based Financial Aid Program and (ii) shall be made only to the extent that the General Assembly appropriates funds for this purpose."
SECTION 45.  G.S. 115C‑238.55 reads as rewritten:
"§ 115C‑238.55.  Evaluation of cooperative innovative high schools.
The governing Boards shall evaluate the success of students in cooperative innovative high schools approved under this Part. Success shall be measured by tests administered in accordance with G.S. 115C-174.11. The Boards shall jointly report by January 15 of each year to all entities providing funds to the schools on the evaluation of these schools."
SECTION 46.  G.S. 115C‑238.61 reads as rewritten:
"§ 115C‑238.61.  Definitions.
The following definitions apply in this Part:
	(2)	Participating units. – A local school administrative unit whose local board of education has adopted a resolution to create a regional school.
(3)	Principal. – The principal of a regional school.
(4)	Regional school. – A school created pursuant to G.S. 115C‑238.62 which includes all of grades nine through twelve and may include grades six through eight.
(5)	Regional school board of directors or board of directors. – The governing board of a regional school appointed pursuant to G.S. 115C‑238.63."
SECTION 47.  G.S. 115C‑238.62(c) reads as rewritten:
"(c)	Expansion of Regional School. – A local board of education may adopt a resolution stating its intent to join an existing regional school, which shall include the name of the regional school and the names of all other local boards of education which have previously adopted resolutions to create the regional school. The local board of education shall file a copy of the resolution with the State Board of Education. Following receipt of the request and with the approval of the regional school board of directors, the local board may join the existing regional school."
SECTION 48.  G.S. 115C‑238.63(a)(4) reads as rewritten:
"(4)	Parent of a child attending the school. – The other members of the board shall appoint a member to the board of directors from among the parents of children attending the school. That member shall serve a term of four years or until the child of the parent no longer attends the regional school, whichever is sooner."
SECTION 49.  G.S. 115C‑238.66(1)a. reads as rewritten:
"a.	The board of directors shall establish the standard course of study for the regional school. This course of study shall set forth the subjects to be taught in each grade and the texts and other educational materials on each subject to be used in each grade. The board of directors shall design its programs to meet at least the basic standards adopted by the State Board of Education and the student performance standards contained in this Chapter."
SECTION 50.  G.S. 115C‑238.68(2) reads as rewritten:
"(2)	Teachers. – The board of directors shall employ and contract with necessary teachers to perform the particular service for which they are employed in the school. At least fifty percent (50%) of teachers employed by the board of directors shall hold teacher certificates."
SECTION 51.  G.S. 115C‑238.69 is repealed.
SECTION 52.  G.S. 115C‑264.2 reads as rewritten:
"§ 115C‑264.2.  Vending machine sales.
(a)	Each school may, with the approval of the local board of education, sell to students beverages in vending machines during the school day so long as 	soft drinks are not sold (i) during the breakfast and lunch periods, (ii) at elementary schools, or (iii) contrary to the requirements of the National School Lunch Program.
						"
SECTION 53.  G.S. 115C‑271 reads as rewritten:
"§ 115C‑271.  Selection by local board of education, term of office.
(a)	It is the policy of the State that each local board of education has the sole discretion to elect a superintendent of schools. At a minimum, each candidate for superintendent shall have leadership, management, and administrative experience. It is the duty of each local board to elect a superintendent who is qualified. If a local board elects a superintendent who is not qualified or who cannot qualify under this section, then the election and contract are null and void, and the board shall elect a person who is qualified.
…
(d)	A local board may terminate the superintendent's contract before the contract term of employment has expired.
					"
SECTION 54.  G.S. 115C‑276 reads as rewritten:
"§ 115C‑276.  Duties of superintendent.
…
(j)	To Elect School Personnel. – It shall be the duty of the superintendent to elect all principals, teachers, and other school personnel in the administrative unit.
(j1)	To Employ Assistant Superintendents and Supervisors. – The superintendent shall have the authority to employ assistant superintendents and supervisors pursuant to the provisions of G.S. 115C‑278 and G.S. 115C‑284(g).
(j2)	To Make Rules Concerning the Conduct and Duties of Personnel. – The superintendent shall have full power to make all just and needful rules and regulations governing the conduct of teachers, principals, and supervisors, the kind of reports they shall make, and their duties in the care of school property.
(j3)	To Adopt Rules and Policies Limiting the Noninstructional Duties of Teachers. – The superintendent shall adopt rules and policies limiting the noninstructional duties assigned to teachers. A superintendent may temporarily suspend the policies for individual schools upon a finding that there is a compelling reason the policies should not be implemented. These policies shall ensure that:
(1)	Teachers with initial certification are not assigned extracurricular activities unless they request the assignments in writing and that other noninstructional duties assigned to these teachers are minimized thus allowing these teachers an opportunity to develop into skilled professionals;
(2)	Teachers with 27 or more years of experience are not assigned extracurricular activities unless they request the assignments in writing and that other noninstructional duties assigned to these teachers are minimized thus allowing these teachers an opportunity to informally share their experience and expertise with their colleagues;
(3)	The noninstructional duties of all teachers are limited to the extent possible given federal, State, and local laws, rules, and policies and that the noninstructional duties required of teachers are distributed equitably among employees.
(j4)	To Approve the Assignment of Duties to an Assistant Principal. – The superintendent shall permit certain duties of the principal to be assigned to an assistant or acting principal pursuant to the provisions of G.S. 115C‑289.
(j5)	To Provide for Training of Teachers. – The superintendent is authorized to provide for the training of teachers as provided in G.S. 115C‑300.
(j6)	To Determine the Hours of Employment for Teacher Assistants. – The superintendent shall determine the hours of employment for teacher assistants.…
(q)	To Assign School Principals. – The superintendent shall have the authority to assign principals to school buildings.…
(s)	To Provide for Annual Evaluations and Mandatory Improvement Plans. – The superintendent shall provide for the development and implementation of annual evaluations of all licensed employees. The superintendent shall determine whether all principals and assistant principals who evaluate licensed employees are trained in the proper administration of the employee evaluations and the development of appropriate mandatory improvement plans. The superintendent also shall arrange for principals and assistant principals who evaluate licensed employees to receive the appropriate training.
…
(u)	To Encourage High Schools to Designate a Career Development Coordinator. – The superintendent shall encourage high schools to designate the Career Development Coordinator or other designee of the local Career and Technical Education administrator to be the point person for local businesses to contact. If the person selected is a teacher, the teacher shall work with the principal and the local Career and Technical Education administrator to find time in the school day to contact businesses and develop opportunities for students. The high school shall include a variety of trades and skilled labor positions for students to interact with and shadow and shall encourage students who may be interested in a job shadowing opportunity to pursue and set up the job shadow.
The superintendent shall develop a policy with provisions for students who are absent from school while doing a job shadow to make up the work. Students shall not be counted as absent when participating in these work‑based learning opportunities or in Career and Technical Education student organization activities. Local boards may determine maximum numbers of days to be used for job shadowing activities.
(v)	To Adopt Policies Regarding the Use of Unlicensed Health Care Personnel to Perform the Technical Aspects of Medication Administration to Students. – The superintendent may adopt policies permitting schools to use unlicensed health care personnel to perform the technical aspects of medication administration to students. If the superintendent adopts such policies, the policies and procedures shall be consistent with the requirements of Article 9A of Chapter 90 of the General Statutes and shall include the following:
(1)	Training and competency evaluation of medication aides as provided for under G.S. 131E‑270.
(2)	Requirements for listing under the Medication Aide Registry as provided for under G.S. 131E‑271.
(3)	Requirements for supervision of medication aides by licensed health professionals or appropriately qualified supervisory personnel consistent with Articles 5, 6, 10, and 16 of Chapter 131E of the General Statutes."
SECTION 55.  G.S. 115C‑277 is repealed.
SECTION 56.  G.S. 115C‑278 reads as rewritten:
"§ 115C‑278.  Assistant superintendent and associate superintendent.
The superintendent shall have authority to employ an assistant superintendent, in addition to those that may be furnished by the State when, in the discretion of the board of education, the schools of the administrative unit can thereby be more efficiently and more economically operated and when funds for the same are provided in the current expense fund budget. The duties of such assistant superintendent shall be assigned by the superintendent.
The superintendent may employ assistant or associate superintendents for a term of from one to four years. The term may not, however, exceed the expiration date of the superintendent's contract, unless the remaining time of the superintendent's contract is less than one year. If there is less than one year remaining on the superintendent's contract, the assistant or associate superintendent shall be given a contract through the next school year.
The term of employment shall be stated in a written contract which shall be entered into between the board of education and the assistant or associate superintendent, a copy of which shall be filed with the Superintendent of Public Instruction as a matter of information. The assistant or associate superintendent may not be dismissed during the term to which he is elected except for misconduct of such a nature as to indicate he is unfit to continue in his position, incompetence, neglect of duty, or failure or refusal to carry out validly assigned duties."
SECTION 57.  G.S. 115C‑284 reads as rewritten:
"§ 115C‑284.  Method of selection and requirements.
(a)	Principals and supervisors shall be employed by the superintendent.
(b)	In the city administrative units, principals shall be employed by the superintendent of city schools.
(b1)	To qualify for certification as a school administrator, an individual must meet all of the following requirements:
(1)	Submit a complete application to the local school administrative unit.
	(3)	Have a bachelor's degree from an accredited college or accredited university.
					…
				…
		(d)	Repealed by Session Laws 1989, c. 385, s. 1.
		(f)	The allotment of classified principals shall be one principal for each duly constituted school with seven or more state‑allotted teachers.
(g)	The superintendent shall have authority to employ supervisors in addition to those that may be furnished by the State when, in the discretion of the board of education, the schools of the local school administrative unit can thereby be more efficiently and more economically operated and when funds for the same are provided in the current expense fund budget. The duties of such supervisors shall be assigned by the superintendent.
	"
SECTION 58.  G.S. 115C‑285(a)(2) reads as rewritten:
"(2)	Supervisors and classified principals paid on an hourly or other basis whether paid from State or from local funds may accumulate annual vacation leave days as follows: annual leave may be accumulated without any applicable maximum until June 30 of each year. On June 30 of each year, any supervisor or principals with more than 30 days of accumulated leave shall have the excess accumulation converted to sick leave so that only 30 days are carried forward to July 1 of the same year. All vacation leave taken by the employee will be upon the authorization of his immediate supervisor and under policies established by the local board of education. An employee shall be paid in a lump sum for accumulated annual leave not to exceed a maximum of 240 hours or 30 days when separated from service due to resignation, dismissal, reduction in force, death, or service retirement. Upon separation from service due to service retirement, any annual vacation leave over 30 days will convert to sick leave and may be used for creditable service at retirement in accordance with G.S. 135‑4(e). If the last day of terminal leave falls on the last workday in the month, payment shall be made for the remaining nonworkdays in that month. Employees retiring on disability retirement may exhaust annual leave rather than be paid in a lump sum. The provisions of this subdivision shall be accomplished without additional State and local funds being appropriated for this purpose."SECTION 59.  G.S. 115C‑286.1 reads as rewritten:
"§ 115C‑286.1.  Evaluations of principals.
Superintendents shall evaluate all principals and assistant principals at least once each year. Either the superintendent or the superintendent's designee shall conduct the evaluations.
The local board shall develop an evaluation that is properly validated and that includes the local board's standards and criteria."
SECTION 60.  G.S. 115C‑287.1 reads as rewritten:
"§ 115C‑287.1.  Method of employment of principals, assistant principals, supervisors, and directors.
(a)	(1)	Beginning July 1, 1995, all persons employed as school administrators shall be employed pursuant to this section.
(2)	Notwithstanding G.S. 115C‑287.1(a)(1), the following school administrators shall be employed pursuant to G.S. 115C‑325:
a.	School administrators who, as of July 1, 1995, are serving in a principal or supervisor position with career status in that position; and
b.	School administrators who, as of July 1, 1995, are serving in a principal or supervisor position and who are eligible to achieve career status on or before June 30, 1997.
A school administrator shall cease to be employed pursuant to G.S. 115C‑325 if the school administrator: (i) voluntarily relinquishes career status or the opportunity to achieve career status through promotion, resignation, or otherwise; or (ii) is dismissed or demoted or whose contract is not renewed pursuant to G.S. 115C‑325.
(3)	For purposes of this section, school administrator means a:
a.	Principal;
b.	Assistant principal;
c.	Supervisor; or
d.	Director,
whose major function includes the direct or indirect supervision of teaching or of any other part of the instructional program.
(4)	Nothing in this section shall be construed to confer career status on any assistant principal or director, or to make an assistant principal eligible for career status as an assistant principal or a director eligible for career status as a director.
(b)	Superintendents shall employ school administrators who are ineligible for career status as provided in G.S. 115C‑325(c)(3). The initial contract between a school administrator and a local board of education shall be for two to four years, ending on June 30 of the final 12 months of the contract. In the case of a subsequent contract between a principal or assistant principal and a local school administrative unit, the contract shall be for a term of four years. In the case of an initial contract between a school administrator and a local board of education, the first year of the contract may be for a period of less than 12 months provided the contract becomes effective on or before September 1. A local school administrative unit may, with the written consent of the school administrator, extend, renew, or offer a new school administrator's contract at any time after the first 12 months of the contract so long as the term of the new, renewed, or extended contract does not exceed four years. Rolling annual contract renewals are not allowed. Nothing in this section shall be construed to prohibit the filling of an administrative position on an interim or temporary basis.
(c)	The term of employment shall be stated in a written contract that shall be entered into between the local board of education and the school administrator. The school administrator shall not be dismissed or demoted during the term of the contract except for the grounds and by the procedure by which a career teacher may be dismissed or demoted as set forth in G.S. 115C‑325.
(d)	
If a superintendent decides not offer a new, renewed, or extended school administrator's contract to a school administrator, the superintendent shall give the school administrator written notice of his or her decision and the reasons for his or her decision no later than May 1 of the final year of the contract. The superintendent's reasons may not be arbitrary, capricious, discriminatory, personal, or political. No action by the superintendent or further notice to the school administrator shall be necessary unless the school administrator files with the superintendent a written request, within 10 days of receipt of the superintendent's decision, for a hearing before the local board. Failure to file a timely request for a hearing shall result in a waiver of the right to appeal the superintendent's decision. If a school administrator files a timely request for a hearing, the local board shall conduct a hearing pursuant to the provisions of G.S. 115C‑45(c) and make a final decision on whether to offer the school administrator a new, renewed, or extended school administrator's contract.
If, after the hearing, the local board decides not to offer the school administrator a new, renewed, or extended school administrator's contract, the local board shall notify the school administrator of its decision by June 1 of the final year of the contract. A decision not to offer the school administrator a new, renewed, or extended contract may be for any cause that is not arbitrary, capricious, discriminatory, personal, or political. The local board's decision not to offer the school administrator a new, renewed, or extended school administrator's contract is subject to judicial review in accordance with Article 4 of Chapter 150B of the General Statutes.
(e)	Repealed by Session Laws 1995, c. 369, s. 1.
(f)	If the superintendent or the local board of education fails to notify a school administrator by June 1 of the final year of the contract that the school administrator will not be offered a new school administrator's contract, the school administrator shall be entitled to 30 days of additional employment or severance pay beyond the date the school administrator receives written notice that a new contract will not be offered.
(g)	If, prior to appointment as a school administrator, the school administrator held career status as a teacher in the local school administrative unit in which he or she is employed as a school administrator, a school administrator shall retain career status as a teacher if the school administrator is not offered a new, renewed, or extended contract by the local board of education, unless the school administrator voluntarily relinquished that right or is dismissed or demoted pursuant to G.S. 115C‑325.
(h)	An individual who holds a provisional assistant principal's certificate and who is employed as an assistant principal under G.S. 115C‑284(c) shall be considered a school administrator for purposes of this section. Notwithstanding subsection (b) of this section, a local school administrative unit may enter into one‑year contracts with a school administrator who holds a provisional assistant principal's certificate. If the school administrator held career status as a teacher in the local school administrative unit prior to being employed as an assistant principal and the State Board for any reason does not extend the school administrator's provisional assistant principal's certificate, the school administrator shall retain career status as a teacher unless the school administrator voluntarily relinquished that right or is dismissed or demoted under G.S. 115C‑325. Nothing in this subsection or G.S. 115C‑284(c) shall be construed to require a local school administrative unit to extend or renew the contract of a school administrator who holds a provisional assistant principal's certificate."
SECTION 61.  G.S. 115C‑288 reads as rewritten:
"§ 115C‑288.  Powers and duties of principal.
…
	…
(h)	To Make Available School Budgets. – The principal shall maintain a copy of the school's current budget and shall allow parents of children in the school and other interested persons to review and obtain such documents in accordance with Chapter 132 of the General Statutes.
…
	…."
SECTION 62.  G.S. 115C‑289(a) reads as rewritten:
"(a)	Any duty or responsibility assigned to a principal by statute, State Board of Education regulation, or by the superintendent may be assigned by the principal to an assistant principal or to an acting principal designated by a principal."
SECTION 63.(a)  G.S. 115C‑296.2 is repealed.
SECTION 63.(b)  This section is effective when it becomes law, except that employees who achieve certification from the National Board for Professional Teaching Standards (NBPTS) prior to October 1, 2013, shall be paid on the NBPTS salary schedule so long as they maintain NBPTS certification.
SECTION 64.  G.S. 115C‑295.5 and G.S. 115C‑295.6 are repealed.
SECTION 65.  G.S. 115C‑299(a) reads as rewritten:
"(a)	Teachers shall be employed by the local superintendent."
SECTION 66.  G.S. 115C‑310 is repealed.
SECTION 67.  G.S. 115C‑315 reads as rewritten:
"§ 115C‑315.  Hiring of school personnel.
(a)	School Custodians. – School custodians shall be employed by the superintendent.
(b)	Employment by the Superintendent. – School personnel shall be employed by the superintendent.
It is the policy of the State of North Carolina to encourage and provide for the most efficient and cost‑effective method of meeting the needs of local school administrative units for noncertified support personnel. To this end, the State Board of Education shall recommend to the General Assembly by November 1, 1984, a system using factors and formulas to determine the total number of noncertified support personnel allotted to local school administrative units. The recommended system for allotting noncertified support personnel shall include the proposed State's funding obligation for these positions and shall be developed in consultation with school‑based support personnel or their representatives.
…."
SECTION 68.  G.S. 115C‑335(a) reads as rewritten:
"(a)	Development of Performance Standards. –Local boards of education, shall revise and develop uniform performance standards and criteria to be used in evaluating certified public school employees, including school administrators. These standards and criteria shall include improving student achievement, employee skills, and employee knowledge. The standards and criteria for school administrators also shall include building‑level gains in student learning and effectiveness in providing for school safety and enforcing student discipline. The guidelines shall include criteria for evaluating a superintendent's effectiveness in providing safe schools and enforcing student discipline."
SECTION 69.  G.S. 115C‑375.4 is repealed.
SECTION 70.  G.S. 115C‑407.15(a) reads as rewritten:
"(a)	As used in this Article, "bullying or harassing behavior" is any pattern of gestures or written, electronic, or verbal communications, or any physical act or any threatening communication, that takes place on school property, at any school‑sponsored function, or on a school bus, and that:
(1)	Places a student or school employee in actual and reasonable fear of harm to his or her person or damage to his or her property; or
(2)	Creates or is certain to create a hostile environment by substantially interfering with or impairing a student's educational performance, opportunities, or benefits. For purposes of this section, "hostile environment" means that the victim subjectively views the conduct as bullying or harassing behavior and the conduct is objectively severe or pervasive enough that a reasonable person would agree that it is bullying or harassing behavior.
"SECTION 71.  G.S. 115C‑409(a) reads as rewritten:
"(a)	The Board, with the prior approval of the General Assembly, is authorized to accept, receive, use or reallocate to local school administrative units any federal funds, or aids, that may be appropriated now or hereafter by the federal government for the encouragement and improvement of any phase of the free public school program which, in the judgment of the Board, will be beneficial to the operation of the schools. However, the Board is not authorized to accept any such funds upon any condition that the public schools of this State shall be operated contrary to any provisions of the Constitution or statutes of this State."
SECTION 72.  G.S. 115C‑451 reads as rewritten:
"§ 115C‑451.  Reports to State Board of Education; failure to comply with School Budget Act.
(a)	The State Board of Education shall have authority to require local school administrative units to make such reports as it may deem advisable with respect to the financial operation of the public schools.
(b)	The State Board of Education shall be responsible for assuring that local boards of education comply with State laws and regulations regarding the budgeting, management, and expenditure of funds. When a local board of education willfully or negligently fails or refuses to comply with these laws and regulations, the State Board of Education shall issue a warning to the local board of education and direct it to take remedial action. In addition, the State Board may suspend the flexibility given to the local board under G.S. 115C‑105.21A and may require the local board to use funds during the term of suspension only for the purposes for which they were allotted or for other purposes with the specific approval from the State Board. In addition, the State Board of Education shall not approve the curriculum implementation plan of a local school administrative unit that willfully or negligently fails or refuses to comply with these laws and regulations and shall revoke its approval of the plan for any such unit for which it has approved a plan.
(c)	If the local board of education, after warning, persists in willfully or negligently failing or refusing to comply with these laws and regulations, the State Board of Education shall by resolution assume control of the financial affairs of the local board of education and shall appoint an administrator to exercise the powers assumed. The adoption of a resolution shall have the effect of divesting the local board of education of its powers as to the adoption of budgets, expenditure of money, and all other financial powers conferred upon the local board of education by law."
SECTION 73.  G.S. 115C‑521 reads as rewritten:
"§ 115C‑521.  Erection of school buildings.
(a)	It shall be the duty of local boards of education to provide classroom facilities adequate to meet the requirements of G.S. 115C‑47(10) and 115C‑301. Local boards of education shall submit their long‑range plans for meeting school facility needs to the State Board of Education by January 1, 1988, and every five years thereafter. In developing these plans, local boards of education shall consider the costs and feasibility of renovating old school buildings instead of replacing them.
(b)	It shall be the duty of the boards of education of the several local school administrative school units of the State to make provisions for the public school term by providing adequate school buildings equipped with suitable school furniture and apparatus. The needs and the cost of those buildings, equipment, and apparatus, shall be presented each year when the school budget is submitted to the respective tax‑levying authorities. The boards of commissioners shall be given a reasonable time to provide the funds which they, upon investigation, shall find to be necessary for providing their respective units with buildings suitably equipped, and it shall be the duty of the several boards of county commissioners to provide funds for the same.
Upon determination by a local board of education that the existing permanent school building does not have sufficient classrooms to house the pupil enrollment anticipated for the school, the local board of education may acquire and use as temporary classrooms for the operation of the school. These units shall comply with all applicable requirements of the North Carolina State Building Code and of the local building and electrical codes applicable to the area in which the school is located. These units shall also be anchored in a manner required to assure their structural safety in severe weather. The acquisition and installation of these units shall be subject in all respects to the provisions of Chapter 143 of the General Statutes. The provisions of Chapter 87, Article 1, of the General Statutes, shall not apply to persons, firms or corporations engaged in the sale or furnishing to local boards of education and the delivery and installation upon school sites of classroom trailers as a single building unit or of relocatable or mobile classrooms delivered in less than four units or sections.
(c)	The building of all new school buildings and the repairing of all old school buildings shall be under the control and direction of, and by contract with, the board of education for which the building and repairing is done. No local board of education shall contract for more money than is made available for the erection of a new building. However, this subsection shall not be construed so as to prevent boards of education from investing any money in buildings that are being constructed pursuant to a continuing contract of construction as provided for in G.S. 115C‑441(c). All contracts for buildings shall be in writing and all buildings shall be inspected, received, and approved by the local superintendent and the architect before full payment is made therefor. Nothing in this subsection shall prohibit boards of education from repairing and altering buildings with the help of janitors and other regular employees of the board.
In the design and construction of new school buildings and in the renovation of existing school buildings that are required to be designed by an architect or engineer under G.S. 133‑1.1, the local board of education shall participate in the planning. In the design and construction of new school facilities and in the repair and renovation of existing school facilities, the local board of education shall consider the placement and design of windows to use the climate of North Carolina for both light and ventilation in case of power shortages.	(d)	Local boards of education shall make no contract for the erection of any school building unless the site upon which it is located is owned in fee simple by the board: Provided, that the board of education of a local school administrative unit, with the approval of the board of county commissioners, may appropriate funds to aid in the establishment of a school facility and the operation thereof in an adjoining local school administrative unit when a written agreement between the boards of education of the administrative units involved has been reached and the same recorded in the minutes of the boards, whereby children from the administrative unit making the appropriations shall be entitled to attend the school so established.
In all cases where title to property has been vested in the trustees of a special charter district which has been abolished and has not been reorganized, title to the property shall be vested in the local board of education of the county embracing the former special charter district.
	"SECTION 74.  G.S. 115C‑522(a) reads as rewritten:
"(a)	It shall be the duty of local boards of education to purchase or exchange all supplies, equipment, and materials, and these purchases shall be made in accordance with Article 8 of Chapter 143 of the General Statutes. Title to instructional supplies, office supplies, fuel and janitorial supplies, enumerated in the current expense fund budget and purchased out of State funds, shall be taken in the name of the local board of education which shall be responsible for the custody and replacement: Provided, that no contracts shall be made by any local school administrative unit for purchases unless provision has been made in the budget of the unit to pay for the purchases, unless surplus funds are on hand to pay for the purchases, or unless the contracts are made pursuant to G.S. 115C‑47(28) and G.S. 115C‑528 and adequate funds are available to pay in the current fiscal year the sums obligated for the current fiscal year. The State Board of Education shall adopt rules regarding equipment standards for supplies, equipment, and materials related to student transportation. The State Board may adopt guidelines for any commodity that needs safety features. If a commodity that needs safety features is available on statewide term contract, any guidelines adopted by the State Board must at a minimum meet the safety standards of the statewide term contract. Compliance with Article 8 of Chapter 143 of the General Statutes is not mandatory for the purchase of published books, manuscripts, maps, pamphlets, and periodicals.
(1)	Where competition is available, local school administrative units may utilitze:
a.	The E‑Quote service of the NC E‑Procurement system as one means of solicitation in seeking informal bids for purchases subject to the bidding requirements of G.S. 143‑131; and
b.	The Division of Purchase and Contract's electronic Interactive Purchasing System as one means of advertising formal bids on purchases subject to the bidding requirements of G.S. 143‑129 and applicable rules regarding advertising. This sub‑subdivision does not prohibit a local school administrative unit from using other methods of advertising.
c.	Any other system, in the discretion of the local board.
(2)	In order to provide an efficient transition of purchasing procedures, the Secretary of the Department of Administration and the local school administrative units shall establish a local school administrative unit purchasing user group. The user group shall be comprised of a proportionate number of representatives from the Department of Administration and local school administrative unit purchasing and finance officers. The user group shall examine any issues that may arise between the Department of Administration and local school administrative units, including the new relationship between the Department and the local school administrative units, the appropriate exchange of information, the continued efficient use of E‑Procurement, appropriate bid procedures, and any other technical assistance that may be necessary for the purchase of supplies and materials."
SECTION 75.  G.S. 115C‑526 reads as rewritten:
"§ 115C‑526.  Reward for information leading to arrest of persons damaging school property.
Local boards of education are authorized and empowered to offer and pay rewards in an amount not exceeding five thousand dollars ($5,000) for information leading to the arrest and conviction of any  persons who willfully deface, damage, destroy or commit acts of vandalism or larceny of, the property belonging to the public school system under the jurisdiction of and administered by any local board of education."
SECTION 76.  G.S. 115C‑528(a) reads as rewritten:
"(a)	Local boards of education may purchase or finance the purchase of automobiles; school buses; mobile classroom units; food service equipment, photocopiers; and computers, computer hardware, computer software, and related support services by lease purchase contracts and installment purchase contracts as provided in this section."SECTION 77.  Section 3 of S.L. 2006‑232, as rewritten by Section 1 of S.L. 2011‑234, reads as rewritten:
"SECTION 3. This act is effective when it becomes law and is repealed effective July 1, 2013."
SECTION 78.  G.S. 115C‑546.2 reads as rewritten:
"§ 115C‑546.2.  Allocations from the Fund; uses; expenditures; reversion to General Fund; matching requirements.
(a)	Monies credited to the Fund by the Secretary of Revenue pursuant to G.S. 115C‑546.1(b) shall be allocated to the counties on a per average daily membership basis according to the average daily membership for the budget year as determined and certified by the State Board of Education. Interest earned on funds allocated to each county shall be allocated to that county.
(b)	Counties shall use monies in the Fund for capital outlay projects including the planning, construction, reconstruction, enlargement, improvement, repair, or renovation of public school buildings and for the purchase of land for public school buildings; for equipment to implement a local school technology plan that is approved pursuant to G.S. 115C‑102.6C; or for both. Monies used to implement a local school technology plan shall be transferred to the State School Technology Fund and allocated by that Fund to the local school administrative unit for equipment.
As used in this section, "public school buildings" only includes facilities for individual schools that are used for instructional and related purposes and does not include centralized administration, maintenance, or other facilities.
In the event a county finds that it does not need all or part of the funds allocated to it for capital outlay projects including the planning, construction, reconstruction, enlargement, improvement, repair, or renovation of public school buildings, for the purchase of land for public school buildings, or for equipment to implement a local school technology plan, the unneeded funds allocated to that county may be used to retire any indebtedness incurred by the county for public school facilities.
In the event a county finds that its public school building needs and its school technology needs can be met in a more timely fashion through the allocation of financial resources previously allocated for purposes other than school building needs or school technology needs and not restricted for use in meeting public school building needs or school technology needs, the county commissioners may, with the concurrence of the affected local Board of Education, use those financial resources to meet school building needs and school technology needs and may allocate the funds it receives under this Article for purposes other than school building needs or school technology needs to the extent that financial resources were redirected from such purposes. The concurrence described herein shall be secured in advance of the allocation of the previously unrestricted financial resources and shall be on a form prescribed by the Local Government Commission.
	(d)	Monies transferred into the Fund in accordance with Chapter 18C of the General Statutes shall be allocated for capital projects for school construction projects on a per average daily membership basis.					(3)	No county shall have to provide matching funds required under subsection (c) of this section.
(4)	A county may use monies in this Fund to pay for school construction projects in local school administrative units and to retire indebtedness incurred for school construction projects.
	 For July 1, 2013, through June 30, 2016, a county at the request of a local school administrative unit may use monies in this Fund to pay for digital learning needs such as school connectivity, digital textbooks and instructional resources, or digital devices in local school administrative units. A county that uses these funds for digital learning needs shall also use a portion of the funds to ensure high‑quality, ongoing professional development for teachers.
Effective July 1, 2016, a county, at the request of a local school administrative unit, may use monies in this Fund for digital learning needs only if the State Board of Education determines that the local school administrative unit has demonstrated consistent improvement and growth in student outcomes."
SECTION 79.  There is appropriated from the General Fund to the Department of Public Instruction the sum of two million two hundred thousand dollars ($2,200,000) for the 2013‑2014 fiscal year and the sum of two million two hundred thousand dollars ($2,200,000) for the 2014‑2015 fiscal year. These funds shall be used to assist local school administrative units in the development and implementation of their curriculum implementation plans, to monitor the implementation of those plans, and for auditing teams, in accordance with this act.
SECTION 80.  Except as otherwise provided, this act is effective when it becomes law and applies beginning with the 2013‑2014 school year.