SB 2374 Summary

• Requires charter schools to maintain financial records on a fiscal year basis and conduct annual financial audits by certified public accounting firms, with audit reports due to the panel by December 31 of the following fiscal year.

• Places charter schools that fail to maintain records or conduct audits on immediate probationary status and establishes a 30-day appeal process; failure to appeal within 30 days results in automatic charter revocation.

• Requires a two-thirds vote of panel members to revoke a charter and allows schools 30 calendar days after revocation to facilitate orderly student transfers before closure.

• Authorizes the state to claim first right to all assets and facilities of a revoked charter school at no cost.

• Suspends general fund appropriations to probationary charter schools and makes them ineligible for further general funds until the panel removes probationary status.