Arizona SB 1100: STO report; DOR; posting deadline

Bill Text

Chapter 0010 - 542R - S Ver of SB1100 

 Senate Engrossed

 State of 
 Arizona

 Senate

 Fifty-fourth 
 Legislature

 Second Regular 
 Session

 2020

 CHAPTER 10

 SENATE BILL 1100

AN ACT

amending 
sections 43‑1506, 43-1603 and 43‑1604, Arizona Revised Statutes; 
relating to school tuition organizations.

(TEXT OF BILL BEGINS ON NEXT PAGE)

Be it enacted by the Legislature of the State of Arizona:

Section 1. Section 43-1506, Arizona Revised 
Statutes, is amended to read:

START_STATUTE43-1506. Annual report; posting

A. On or before September 30 
of each year, each school tuition organization shall report electronically to 
the department, in a form prescribed by the department, the following 
information, separately compiled and identified for the purposes of sections 20‑224.06, 
20‑224.07, 43‑1183 and 43‑1184:

1. The name, address and contact person of the 
school tuition organization.

2. The total number of contributions received during 
the previous fiscal year.

3. The total dollar amount of contributions received 
during the previous fiscal year.

4. The total number of children awarded educational 
scholarships or tuition grants during the previous fiscal year.

5. The total dollar amount of:

(a) Educational scholarships and tuition grants 
distributed during the previous fiscal year.

(b) Money Monies 
being held for identified students' scholarships and tuition grants in future 
years.

6. The cost of audits pursuant to section 43‑1507 
paid during the fiscal year.

7. The percentage and total dollar amount of 
educational scholarships and tuition grants awarded during the previous fiscal 
year to:

(a) Students whose family income meets the economic 
eligibility requirements established under the national school lunch and child 
nutrition acts (42 United States Code sections 1751 through 1785 1793) for free or reduced‑price lunches.

(b) Students whose family income exceeds the 
threshold prescribed by subdivision (a) of this paragraph but does not exceed 
one hundred eighty‑five percent of the economic eligibility requirements 
established under the national school lunch and child nutrition acts (42 United 
States Code sections 1751 through 1785 1793) 
for free or reduced‑price lunches.

8. For each school to which educational scholarships 
or tuition grants were awarded:

(a) The name and address of the school.

(b) The number of educational scholarships and 
tuition grants awarded during the previous fiscal year.

(c) The total dollar amount of educational 
scholarships and tuition grants awarded during the previous fiscal year.

9. The names, job titles and annual salaries of the 
three employees who receive the highest annual salaries from the school tuition 
organization.

B. The department shall post on its 
website a report of the information it receives pursuant to subsection A of 
this section on or before March 31 of the calendar year following the year in 
which the information is received. END_STATUTE

Sec. 2. Section 43-1603, Arizona Revised 
Statutes, is amended to read:

START_STATUTE43-1603. Operational requirements for school tuition organizations; 
notice; qualified schools

A. A certified school 
tuition organization must be established to receive contributions from 
taxpayers for the purposes of income tax credits under sections 43‑1089 
and 43‑1089.03 and to pay educational scholarships or tuition grants to 
allow students to attend any qualified school of their parents' choice.

B. To be eligible for 
certification and retain certification, the school tuition organization:

1. Must allocate at 
least ninety percent of its annual revenue from contributions made for the 
purposes of sections 43‑1089 and 43‑1089.03 for educational 
scholarships or tuition grants.

2. Shall not limit the 
availability of educational scholarships or tuition grants to only students of 
one school.

3. May allow donors to 
recommend student beneficiaries, but shall not award, designate or reserve 
scholarships solely on the basis of donor recommendations.

4. Shall not allow 
donors to designate student beneficiaries as a condition of any contribution to 
the organization, or facilitate, encourage or knowingly permit the exchange of 
beneficiary student designations in violation of section 43‑1089, 
subsection F, section 43‑1089.03, subsection F and section 
43‑1089.04, subsection E.

5. Shall include on the 
organization's website, if one exists, the percentage and total dollar amount 
of educational scholarships and tuition grants awarded during the previous 
fiscal year to:

(a) Students whose 
family income meets the economic eligibility requirements established under the 
national school lunch and child nutrition acts (42 United States Code sections 
1751 through 1785 1793) for free or 
reduced‑price lunches.

(b) Students whose 
family income exceeds the threshold prescribed by subdivision (a) of this 
paragraph but does not exceed one hundred eighty-five percent of the economic 
elig