AZ SB1438

Requires the Department of Education to submit an annual report on or before September 1, 2023 and each year thereafter to the governor, legislature, and state board of education containing discipline data broken down by school district, charter school, and student subgroups.

Mandates the report include disciplinary rates for each discipline measure (in-school suspension, out-of-school suspension, expulsion, and law enforcement referrals) and rates of disciplinary disparity comparing subgroups to identify disparities in discipline across demographic groups.

Defines "subgroups" to include white, Asian, American Indian or Alaska native, African-American, Latino, Native Hawaiian or Pacific Islander, low-income, students with disabilities, and students performing at basic level or below on statewide assessments.

Requires the Department of Education to track progress in reducing disciplinary rates and disparities, identify successful strategies used by schools, assess corresponding gains in student academic achievement, and survey schools on implementation of evidence-based strategies including positive behavior interventions and support systems and restorative justice.

Amends pupil discipline provisions relating to definitions of "aggravating circumstances" and establishes new definitions for "disciplinary rate," "discipline measure," "rate of disciplinary disparity," and "subgroup."