Senate Bill 706 Summary

• Establishes the Passport Scholarship Program providing tax credits (60% of contributions) to taxpayers who donate to educational assistance organizations that grant scholarships to students in unaccredited school districts, with annual tax credit allocation capped at $40 million adjusted for inflation.

• Creates new pathways for students in unaccredited districts to transfer to accredited districts with tuition and transportation paid by their home district, or to attend charter schools, virtual schools, or nonpublic schools using passport scholarships.

• Modifies governance of unaccredited districts through the "Hinson Plan," allowing accredited neighboring districts to annex unaccredited district territory or establishing alternative governing structures determined by the state board of education.

• Implements charter school and virtual school enrollment options for unaccredited district students and establishes a clearinghouse to coordinate student transfers in metropolitan and large urban unaccredited districts.

• Reforms teacher employment provisions to base reduction-in-force decisions on performance evaluations rather than seniority, and establishes principal selection of teachers based on demonstrated effectiveness rather than other criteria.