A BILL TO BE ENTITLED
AN ACT to add certain waivers for local school administrative units from KINDERGARTEN THROUGH third grade class size requirements with an adjustment to the eligibility for funds for program enhancement teacher positions for kindergarten through fifth grade.
The General Assembly of North Carolina enacts:
SECTION 1.  G.S. 115C‑301 reads as rewritten:
"§ 115C‑301.  Allocation of teachers; class size.
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(c2)	Program Enhancement Teacher Allotment for Kindergarten Through Fifth Grade. –
(1)	Definitions. – For the purposes of this section, "program enhancement" refers to any of the following:
a.	Arts disciplines, including dance, music, theater, and the visual arts.
b.	Physical education and health programs.
c.	World languages.
d.	Other supplemental classes as defined by the State Board of Education.
(2)	Allotment ratio calculation. – The allotment ratio for kindergarten through fifth grade program enhancement teachers shall be one teacher per 191 students.
(3)	Appropriation. – Beginning with the 2019‑2020 fiscal year, there is appropriated from the General Fund to the Department of Public Instruction for the allotment for program enhancement teachers for kindergarten through fifth grade an amount equal to the percentage of the total funds required to allot program enhancement teacher positions for kindergarten through fifth grade on a basis of one teacher per 191 students for each fiscal year as follows:
Fiscal Year	Appropriation
2019‑2020	50%
2020‑2021	75%
2021‑2022 and each subsequent fiscal year thereafter	100%.
When developing the base budget, as defined by G.S. 143C‑1‑1, for each fiscal year specified in this subdivision, the Director of the Budget shall include the appropriated amount for that fiscal year.
(4)	K‑3 class size waivers. – A local board of education granted a waiver for all kindergarten through third grade class sizes in a local school administrative unit by the State Board of Education pursuant to subdivision (6) of subsection (g) of this section shall not be eligible for funds from the allotment for program enhancement teacher positions for kindergarten through fifth grade for the fiscal year in which the local board of education receives the waiver. The local school administrative unit may use classroom teacher positions to hire program enhancement teachers. However, effective July 1, 2021, notwithstanding the limitations on the use of classroom teacher positions under G.S. 115C‑301(a1) and G.S. 115C‑105.25(b)(5a), a local board of education shall only be permitted to use the allotment for classroom teachers for kindergarten through twelfth grade to hire program enhancement teachers in kindergarten through fifth grade for the fiscal year in which the local board of education receives the waiver.
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(g)	Waivers and Allotment Adjustments. – Local boards of education shall report exceptions to the class size requirements set out for kindergarten through third grade and significant increases in class size at other grade levels to the State Board and shall request allotment adjustments at any grade level, waivers from the requirements for kindergarten through third grade, or both. Within 45 days of receipt of reports, the State Board of Education, within funds available, may allot additional positions at any grade level. The State Board shall not grant waivers for excess class size in kindergarten through third grade, except under the following circumstances:
(1)	Emergencies or acts of God that impact the availability of classroom space or facilities.
(2)	An unanticipated increase in student population of an individual school in excess of two percent (2%) of the average daily membership of that school.
(3)	Organizational problems in geographically isolated local school administrative units in which the average daily membership is less than one and one‑half per square mile.
(4)	Classes organized for a solitary curricular area.
(5)	A charter school closure.
(6)	For a waiver that would apply to all kindergarten through third grade classes in a local school administrative unit for one or more of the following circumstances:
a.	A shortage of qualified, licensed teachers available to teach in a grade level for the number of classrooms required at each school.
b.	Inadequate classroom space or facilities that would require facility expansion, construction, or relocation.
The State Board shall report on all waivers to the Joint Legislative Commission on Governmental Operations within 30 days of the grant of the waiver. The report shall include the local school administrative unit, school, and class or classes for which the waiver was granted, the statutory grounds for the waiver, and the terms of the waiver. A waiver for excess class size in kindergarten through third grade shall not become effective until the State Board submits the report to the Joint Legislative Commission on Governmental Operations.
Upon notification from the State Board that the reported exception does not qualify for an allotment adjustment or a waiver, the local board of education shall take action to correct the exception within 30 days. Within 60 days of notification by the State Board, the Superintendent of Public Instruction shall request an updated report from the local board of education on the size of each class in kindergarten through third grade for each school within the local school administrative unit. If the Superintendent of Public Instruction finds that a local board of education is continuing to exceed class size requirements, the State Board may impose the penalty set forth in subsection (j) of this section until such time the schools in the unit meet the class size requirements for kindergarten through third grade.
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SECTION 2.  This act is effective when it becomes law. Section 1 of this act applies beginning with the 2019‑2020 school year until the end of the 2022‑2023 school year. Section 1 of this act expires June 30, 2023.