,i #aafth ,,congress #ast ,session ,h4 ,r4 #ggh ,,in ,,the ,,house ,,of ,,representatives ,january #bd1 #bjai,mr4 ,meadows introduced the following bill2 which was referred to the ,committee on ,oversight and ,reform ,a ,,bill ,to expand school choice in the ,district of ,columbia4 #a4 ,short title ,this ,act may be cited as the ,educational ,freedom ,accounts ,act4 #b4 ,definitions ,in this ,act3 7#a7 ,administering entity ,the term administering entity means the entity that receives the contract under section #c7;a7 for a fiscal year4 7#b7 ,chief financial officer ,the term chief financial officer means the ,chief ,financial ,officer of the ,district of ,columbia4 7#c7 ,eligible child ,the term eligible child means a child-- 7,a7 who is a resident of the ,district of ,columbia2 7,b7 who is eligible to receive a free public education in the ,district of ,columbia2 7,c7 who-- 7i7 was enrolled in a public school or preschool program of the ,district of ,columbia1 including a charter school1 during the previous school year2 7ii7 received an education savings account under this ,act for the preceding school year2 7iii7 received an opportunity scholarship under section #cjjg7;a7 of the ,scholarships for ,opportunity and ,results ,act for the preceding school year2 or 7iv7 is entering prekindergarten or kindergarten2 7,d7 whose parent chooses to not enroll the child in a public elementary school1 secondary school1 or prekindergarten program for the school year for which the child will receive a scholarship under section #d2 and 7,e7 whose parent does not submit a notification of home schooling described in section #ebjb of title #e1 ,code of the ,district of ,columbia ,regulations 7or any successor notification7 to the ,office of the ,state ,superintendent of ,education of the ,district of ,columbia for any year for which the parent enters into an agreement under section #d7;a77#b77;,b74 7#d7 ,institution of higher education ,the term institution of higher education has the meaning given the term in section #ajb of the ,higher ,education ,act of #aife 7#bj ,u4,s4,c4 #ajjb74 7#e7 ,parent ,the term parent means the guardian1 custodian1 or other person with the authority to act on behalf of a child4 7#f7 ,participating provider ,the term participating provider means an entity that-- 7,a7 is-- 7i7 a nonpublic school located in the ,district of ,columbia that provides education to prekindergarten1 elementary school1 or secondary school students2 7ii7 a public school1 including a charter school1 located in the ,district of ,columbia1 except only with respect to providing individual courses or extracurricular activities described in section #d7;c77#a77;,e7 or transportation described in section #d7;c77#a77;,i7 to such services2 7iii7 a tutor or tutoring facility2 7iv7 a nonpublic provider of distance or online learning2 7v7 a therapy center or other provider of special education or disability services2 7vi7 an institution of higher education located in the ,district of ,columbia2 or 7vii7 an entity that provides educational services or products2 7,b7 notifies the administering entity of the entity's intent to become a participating provider2 and 7,c7 agrees1 as a condition of receiving funds from an education savings account established under section #d1 to comply with the requirements of this ,act4 #c4 ,contract authorized 7a7 ,in general ,beginning with the #bjai-bjbj school year1 the ,chief ,financial ,officer shall carry out this ,act for each school year by awarding a contract to #a entity described in subsection 7b7 to enable the administering entity to carry out the program under section #d for all eligible children in the ,district of ,columbia4 7b7 ,eligibility ,in order to be eligible for a contract under this section1 an entity shall be-- 7#a7 exempt from ,federal income tax pursuant to #eja7;c77#c7 of the ,internal ,revenue ,code of #aihf2 7#b7 based within the ,district of ,columbia2 and 7#c7 able to demonstrate an ability to meet all requirements of this ,act4 7c7 ,application ,an eligible entity desiring a contract under this section shall submit an application to the ,chief ,financial ,officer at such time1 in such manner1 and containing such information as the ,chief ,financial ,officer may require4 7d7 ,administrative expenses ,from the amounts made available under the contract described in subsection 7a71 the administering entity may reserve an amount that is not greater than the sum of #e percent of the funds allocated under section #d7;a77#d7 for each eligible child with an education savings account1 to be used by the administering entity for the administrative expenses associated with the program under this ,act4 #d4 ,universal educational choice for ,district of ,columbia students 7a7 ,basic elements of parental choice in education 7#a7 ,educational choice ,except as provided in paragraph 7#f71 the parent of any eligible child may enter into an agreement under paragraph 7#b77;,b7 with the administering entity for any year during which the eligible child will be in a grade for which the ,district of ,columbia provides free public education4 7#b7 ,provision of education savings accounts 7,a7 ,in general ,beginning with the #bjai-bjbj school year1 the administering entity shall provide1 to each eligible child whose parent enters into or renews an agreement described in subparagraph 7,b7 with the administering entity for the school year1 an education savings account described in paragraph 7#c71 into which scholarship amounts for the year shall be deposited in accordance with paragraph 7#d74 7,b7 ,agreement ,the agreement required under this subparagraph shall be in a manner and on a form determined by the administering entity and shall provide that-- 7i7 the eligible child will receive an education savings account described in paragraph 7#c7 and the administering entity will deposit a scholarship into the account for each year that the agreement is in effect1 in accordance with paragraph 7#d72 7ii7 the eligible child may be educated pursuant to any of the methods described in subparagraphs 7,a7 through 7,g7 of subsection 7c77#a72 7iii7 the parent shall direct the use of the funds provided in the education savings account for educational expenses described in subsection 7c71 and the administering entity shall distribute such funds in accordance with paragraph 7#c77;,b72 7iv7 the parent agrees to the terms and conditions of the education savings account1 including any participation necessary for the accountability activities required under subsection 7d77#c72 and 7v7 with respect to an eligible child who is a child with a disability 7as defined in section #fjb of the ,individuals with ,disabilities ,education ,act 7#bj ,u4,s4,c4 #adja771 the parent agrees that participation in the program under this section shall have the same effect as parental placement of child under section #fab7;a77#aj77;,a7 of such ,act 7#bj ,u4,s4,c4 #adab7;a77#aj77;,a774 7#c7 ,education savings account ,an education savings account described in this paragraph means a parent-controlled account1 established exclusively for the purpose of paying for the educational expenses described in subsection 7c7 for an eligible child who is the designated beneficiary of the account1 that meets the following requirements3 7,a7 ,no funds shall be deposited into the account unless the funds are-- 7i7 a disbursement of an annual scholarship from the administering entity as provided under paragraph 7#b77;,a72 or 7ii7 a deposit of opportunity scholarship funds1 in accordance with section #cjjg7;a77#b7 of the ,scholarships for ,opportunity and ,results ,act 7sec4 #ch-ahec4jg7;a77#b71 ,d4,c4 ,official ,code74 7,b7 ,the funds in the account shall be distributed by the administering entity on behalf of the eligible child to #a or more participating providers1 upon direction by the parent1 at the appropriate time4 7,c7 ,except as provided in subparagraph 7,d71 any amount in the account that is attributable to a deposit provided under paragraph 7#b77;,a7 or a deposit of any opportunity scholarship funds awarded under section #cjjg of the ,scholarships for ,opportunity and ,results ,act 7sec4 #ch-ahec4jg1 ,d4,c4 ,official ,code7 may be paid or distributed out of the account only for the purpose of paying education expenses described in subsection 7c7 for the eligible child4 7,d7 ,any balance remaining in the account shall be returned to the ,chief ,financial ,officer on the last day of the period covered by an agreement described in paragraph 7#b77;,b7 if-- 7i7 such agreement is broken or ended by the parent during the agreement period2 7ii7 the parent of the eligible child does not renew the agreement for the eligible child for the immediately succeeding academic year2 7iii7 during the most recent year of the agreement1 the parents do not use any funds in the account for eligible expenses described in subsection 7c72 or 7iv7 the child no longer qualifies as an eligible child4 7#d7 ,amount of scholarship and transfer of funds 7,a7 ,transfer of funds ,by not later than ,august #a of each school year-- 7i7 the administering entity shall notify the ,chief ,financial ,officer of the total amount calculated under subparagraph 7,b7 to be provided under this ,act for scholarships to eligible children for such school year2 and 7ii7 the ,chief ,financial ,officer shall transfer such amount1 from any funds or revenues available to the ,district of ,columbia1 to the administering entity to enable the administering entity to pay for the scholarships and the administration expenses for the full fiscal year1 in accordance with subparagraphs 7,b7 and 7,d7 and section #c7;d74 7,b7 ,amount ,the total amount provided under this section for a full-year scholarship on behalf of an eligible child shall equal-- 7i7 in the case of an eligible child from a family with an income of not more than #ahe percent of the poverty level described in subparagraph 7,c7 or an eligible child who is a child with a disability1 as defined in section #fjb of the ,individuals with ,disabilities ,education ,act 7#bj ,u4,s4,c4 #adja71 #ij percent of the funds that would otherwise be allocated by the ,district of ,columbia ,public ,schools for such child1 as determined by the uniform per student funding formula defined in the ,district of ,columbia ,school ,reform ,act of #aiie 7sec4 #ch-hjd4ja1 ,d4,c4 ,official ,code72 7ii7 in the case of an eligible child from a family with an income of more than #ahe percent1 and not more than #cjj percent1 of such poverty level1 #he percent of the funds that would otherwise be allocated by the ,district of ,columbia ,public ,schools for such child as determined by such uniform per student funding formula2 and 7iii7 in the case of an eligible child from a family with an income that equals or exceeds #cjj percent of such poverty level1 #hj percent of the funds that would otherwise be allocated by the ,district of ,columbia ,public ,schools for such child as determined by such uniform per student funding formula4 7,c7 ,calculation of poverty level ,in determining the poverty level for purposes of this paragraph1 the administering entity shall use the criteria of poverty used by the ,bureau of the ,census in compiling the most recent decennial census1 as the criteria have been updated by increases in the ,consumer ,price ,index for ,all ,urban ,consumers1 published by the ,bureau of ,labor ,statistics4 7,d7 ,quarterly disbursement ,the administering entity shall distribute the amount of a scholarship provided under this section to an eligible child whose parent has entered into an agreement under paragraph 7#b77;,b7 into the eligible child's education savings account1 which may be through #d equal quarterly deposits or any other distribution schedule determined appropriate by the administering entity4 7#e7 ,ownership of the education savings account ,an education savings account established for an eligible child under this ,act1 and any funds deposited within the education savings account1 shall belong to the eligible child4 ,funds available in the education savings account shall be used as directed by a parent of the eligible child1 on behalf of the child1 for education expenses described in subsection 7c74 7#f7 ,interaction with opportunity scholarships ,notwithstanding paragraph 7#b77;,a7 or any other provision of this ,act1 a child who receives an opportunity scholarship under section #cjjg of the ,scholarships for ,opportunity and ,results ,act 7sec4 #ch-ahec4jg1 ,d4,c4 ,official ,code7 for a school year shall not be eligible for a scholarship under this ,act for the same school year4 ,upon the request of any parent of an eligible child who receives an opportunity scholarship and the completion of an agreement described in paragraph 7#b77;,b71 the ,secretary shall establish an education savings account described in paragraph 7#c7 for the child1 in order for the parent to deposit any amount of an opportunity scholarship under section #cjjg of the ,scholarships for ,opportunity and ,results ,act 7sec4 #ch-ahec4jg1 ,d4,c4 ,official ,code7 into the education savings account4 7b7 ,continued availability of funds ,any balance in an educational savings account established for an eligible child under this section that is not used during an academic year shall remain available in the education savings account of the eligible child for future education expenses described in subsection 7c71 as long as an agreement described in subsection 7a77#b77;,b7 remains in effect for the eligible child4 7c7 ,eligible education expenses 7#a7 ,in general ,funds available in an education savings account established under this section for an eligible child shall only be used on behalf of such child for #a or more of the following educational purposes3 7,a7 ,the costs of tuition and fees at a nonpublic school1 or distance education1 provided through a participating provider4 7,b7 ,tutoring services offered by a participating provider4 7,c7 ,the costs of curricula or online courses1 or virtual learning environments1 including any supplemental materials1 textbooks1 or supplies necessary to administer the curriculum or to complete the course1 offered by a participating provider or purchased for self-study4 7,d7 ,fees for any special education or related services provided through a participating provider4 7,e7 ,the costs of tuition and fees required to complete individual courses or extracurricular activities at a public school1 including a charter school1 within the ,district of ,columbia4 7,f7 ,the costs of tuition and fees required to complete any dual credit courses1 which are courses that qualify for both secondary and postsecondary education credit1 from a participating provider in the ,district of ,columbia4 7,g7 ,the costs of a career and technical education course offered by a participating provider4 7,h7 ,fees for any-- 7i7 national norm-referenced achievement examination2 7ii7 advanced placement or similar examination2 or 7iii7 standardized examination required for admission to an institution of higher education4 7,i7 ,transportation required for the eligible child to travel to and from a participating provider1 except that not more than #b1jjj per year from the education savings account may be used for this purpose4 7,j7 ,a contribution to a qualified tuition program 7as defined in section #ebi7;b7 of the ,internal ,revenue ,code of #aihf7 with respect to which the eligible child is a designated beneficiary or a contribution to a ,coverdell education savings account 7as defined in section #ecj7;b7 of such ,code7 with respect to which the eligible child is a designated beneficiary1 except that not more than a total of #b1jjj per year may be used for contributions under this subparagraph4 7,k7 ,any other education expenses approved and determined by the administering entity to be similar to the expenses described in subparagraphs 7,a7 through 7,j74 7#b7 ,rule of construction ,nothing in this subsection shall be construed to require an eligible child to attend a nonpublic school or a program of distance education described in paragraph 7#a77;,a7 in order to receive an academic scholarship under this section to be used for other eligible education expenses described in paragraph 7#a74 7d7 ,governmental and administering entity responsibilities 7#a7 ,no extension of regulatory authority ,the creation of the program under this ,act does not expand the regulatory authority of the ,mayor of the ,district of ,columbia1 the officers of the ,district of ,columbia1 the ,district of ,columbia ,public ,schools1 or the ,federal ,government to impose any additional regulations on nonpublic schools beyond the regulations necessary to enforce the requirements of this ,act4 7#b7 ,annual list of participating providers 7,a7 ,creation of list ,beginning in academic year #bjah-bjai1 and each year thereafter1 the administering entity shall ensure that all eligible children1 and their parents1 are informed of the schools participating in the program under this ,act for the next academic year by providing to the ,chief ,financial ,officer1 and making publicly available1 a list of participating providers each school year4 7,b7 ,inclusion on ,,cfo's website ,the ,chief ,financial ,officer shall ensure that the annual list of participating providers prepared by the administering entity under subparagraph 7,a7 is made publicly available on the website of the ,chief ,financial ,officer4 7#c7 ,updated information regarding educational expenses ,the administering entity shall timely notify parents of eligible children of any categories that the entity has determined are educational expenses under subsection 7c77#a77,k7 by providing notification through the parent handbook1 program website1 or other primary method used by the administering entity to educate parents about the program4 7#d7 ,accountability ,the administering entity and the ,chief ,financial ,officer shall take such steps as are necessary to ensure the proper implementation of this ,act1 including-- 7,a7 conducting periodic audits of education savings accounts established under this section2 7,b7 ensuring that the funds disbursed from education savings accounts are used appropriately and in accordance with this ,act2 7,c7 freezing or revoking the education savings account of an eligible child if fraud is detected2 7,d7 providing a process through which-- 7i7 parents whose expenses have been denied may ask the administering entity review and reverse the denial2 and 7ii7 the administering entity shall conduct a review and respond to the parental request to reverse the denial within #cj days2 and 7,e7 if appropriate1 referring parents or participating providers found to be using education savings account funds for unlawful purposes for criminal prosecution4 7#e7 ,exchange of records ,upon request by the administering entity1 the ,district of ,columbia ,public ,schools shall provide1 to any participating provider that is a school and that has admitted an eligible child who previously attended a public school1 a complete copy of the child's school records1 following the standard procedures established by the administering entity for purposes of the program under this ,act4 7e7 ,participating provider requirements and rights 7#a7 ,refund and rebate limitations 7,a7 ,general prohibition ,a participating provider that receives scholarship funds provided under this ,act for an eligible child shall not-- 7i7 refund or provide a rebate1 of all or any portion of such funds1 to the eligible child or a parent of the eligible child2 and 7ii7 share such funds with such eligible child or parent in any manner4 7,b7 ,refund procedures ,any refund that is needed for an item that is being returned or an item or service that has not been provided shall be provided to the administering entity and deposited into the education savings account from which the money refunded was originally paid4 7#b7 ,admissions ,a participating provider may enforce the admission requirements of the school or program offered by the provider and may accept the students best qualified to attend the school1 except that a participating school may not discriminate on the basis of race1 color1 national origin1 or sex1 in accordance with subsection 7f74 7#c7 ,transfer of documents ,each participating provider that is a school shall agree1 as a condition of participation in the program under this ,act1 to provide the complete academic records of an eligible child attending the school who receives an education savings account under this ,act to any other nonpublic school or public school to which the child transfers4 7f7 ,nondiscrimination and other provisions 7#a7 ,in general ,a participating provider shall not discriminate against program participants or applicants on the basis of race1 color1 national origin1 or sex4 7#b7 ,applicability and single sex schools1 classes1 or activities 7,a7 ,in general ,notwithstanding any other provision of law1 the prohibition of sex discrimination in paragraph 7#a7 shall not apply to a participating provider that is operated by1 supervised by1 controlled by1 or connected to a religious organization to the extent that the application of such paragraph is inconsistent with the religious tenets or beliefs of the participating provider4 7,b7 ,single sex schools1 classes1 or activities ,notwithstanding paragraph 7#a7 or any other provision of law1 a parent may choose and a participating provider may offer a single sex school1 class1 or activity4 7#c7 ,religiously affiliated participating providers 7,a7 ,in general ,notwithstanding any other provision of law1 a participating provider that is operated by1 supervised by1 controlled by1 or connected to a religious organization may exercise its right in matters of employment consistent with title ,,vii of the ,civil ,rights ,act of #aifd 7#db ,u4,s4,c4 #bjjj;e et seq471 including the exemptions in such title4 7,b7 ,maintenance of purpose ,notwithstanding any other provision of law1 funds made available through education savings accounts established under this section to eligible children1 which are used for a participating provider as a result of the choice of the parents of such children1 shall not1 consistent with the first amendment of the ,constitution of the ,united ,states-- 7i7 necessitate any change in the participating provider's teaching mission2 7ii7 require any participating provider to remove religious art1 icons1 scriptures1 or other symbols2 or 7iii7 preclude any participating provider from retaining religious terms in its name1 selecting its board members on a religious basis1 or including religious references in its mission statements and other chartering or governing documents4 7#d7 ,rules of construction 7,a7 ,treatment of assistance ,for purposes of any ,federal law1 assistance provided under this section shall be considered assistance to the child and shall not be considered assistance to the participating provider that enrolls the child in a school or program4 ,the amount of any scholarship under this section shall not be treated as income of the child or the parents of the child for purposes of ,federal tax laws or for determining eligibility for any other ,federal program4 7,b7 ,no ability to control the curriculum ,nothing in this section shall be construed to authorize any officer or employee of the ,federal ,government1 through grants1 contracts1 or other cooperative agreements1 to mandate1 direct1 or control the curriculum1 program of instruction1 instructional content1 specific academic standards1 assessments1 or allocation of resources1 of the ,district of ,columbia or of any school in the ,district of ,columbia4 7g7 ,transition ,the ,chief ,financial ,officer and the administering entity shall take steps to ensure a smooth transition to the program under this ,act1 in order to ensure that academic scholarships and education savings accounts under this section are available to eligible children attending nonpublic schools through participating providers beginning for the #bjai-bjbj school year4 ,the ,chief ,financial ,officer shall allow nonpublic schools to become participating providers beginning on ,september #a1 #bjah4 7h7 ,conforming amendment ,section #cjjg7;a77#b7 of the ,scholarships for ,opportunity and ,results ,act 7sec4 #ch-ahec4jg7;a77#b71 ,d4,c4 ,official ,code7 is amended by adding before the period at the end the following3 1 or deposited in an education savings account established under section #d of the ,educational ,freedom ,accounts ,act to be used for education expenses described in subsection 7c7 of such section4