Arkansas Code § 6-20-1909 - Department Fiscal Distress Actions

(a) In addressing school districts in fiscal distress, the Commissioner of Education may:

(1) Remove permanently, reassign, or suspend on a temporary basis the superintendent of the school district and:

(A) Appoint an individual in place of the superintendent to administratively operate the school district under the supervision and approval of the commissioner; and

(B) Compensate nondepartment agents operating the school district from school district funding;

(2) Suspend or remove some or all of the current board of directors and call for the election of a new board of directors for the school district, in which case the school district shall reimburse the county board of election commissioners for election costs as otherwise recognized by law;

(3) Require the school district to operate without a board of directors under the supervision of the local superintendent or an individual or panel appointed by the commissioner;

(4) Waive the application of Arkansas law or the corresponding State Board of Eduction rules, with the exception of:

(A) The Teacher Fair Dismissal Act of 1983, § 6-17-1501 et seq.; and

(B) The Public School Employee Fair Hearing Act, § 6-17-1701 et seq.;

(5) Petition the state board for the annexation, consolidation, or reconstitution of the school district;

(6) In the absence of a school district board of directors, assume all authority of the board of directors as designated by the state board as may be necessary for the day-to-day governance of the school district;

(7) (A) Return the administration of the school district to the former board of directors or to a newly elected board of directors if:

(i) The Department of Education certifies in writing to the state board and to the school district that the school district has corrected all issues that caused the classification of fiscal distress; and

(ii) The state board determines the school district has corrected all issues that caused the classification of fiscal distress.

(B) If the commissioner calls for an election of a new school district board of directors, the school district shall reimburse the county board of election commissioners for election costs as otherwise required by law;

(8) Otherwise reconstitute the school district; or

(9) Take any other action allowed by law that is deemed necessary to assist a school district in removing the classification of fiscal distress.

(b) The department may impose various reporting requirements on the school district.

(c) The department shall monitor the fiscal operations and accounts of the school district.

(d) The department shall require school district staff and employees to obtain fiscal instruction or training in areas of fiscal concern for the school district.

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Last modified: November 15, 2016