CHARTER Act

Protection of Student Resources: The bill aims to ensure that school revenue is not used to extract profit for for-profit entities, which is intended to keep publicly funded resources from being depleted (Section 2(a)(2); Section 2(b)(7)).

Improved Stewardship of Public Funds: By prohibiting contracts where for-profit entities operate or oversee schools to exert influence, the bill seeks to ensure taxpayers that public funds are being responsibly stewarded (Section 2(a)(2); Section 2(b)(8)).

Focus on Educational Needs: The purpose of the act is to ensure charter schools best serve the educational needs of students by limiting the influence of for-profit management (Section 2(a)(2)).

Restrictions on Management Options: Charter schools and their management organizations would be prohibited from entering into contracts with for-profit entities for essential administration tasks such as curriculum development, budget management, or faculty management (Section 3(a)(1)).

Constraint on Contractual Relationships: The bill prohibits schools from having a charter management organization or other nonprofit entity enter into a contract with a for-profit entity for the administration of the school (Section 3(a)(1)).