HB650 - Education Options Act of 2012

• Establishes framework for "innovative schools" through school flexibility contracts allowing local school systems to seek exemptions from state laws and regulations in exchange for meeting academic and operational goals.

• Authorizes creation of public charter schools only in priority local school systems (persistently low-performing schools); requires nonprofit, nonreligious organizations to apply for start-up charters while only superintendents may apply for conversion charters.

• Creates Charter School Application Review Council with 11 members to authorize charter schools when local school boards deny applications or fail to act within 90 days; caps total charter schools statewide at 20.

• Specifies charter schools operate as local educational agencies with autonomy over finance, personnel, curriculum, and instruction; requires random student enrollment selection if capacity exceeded; prohibits religious practices and tuition charges.

• Provides charter schools per-pupil funding equivalent to traditional public schools including state and local allocations, special education funding, and federal Title I funds; exempts from most state laws and categorical funding restrictions but maintains accountability and civil rights requirements.