S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   4458
 
                        2023-2024 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 16, 2023
                                ___________
 
 Introduced  by  M.  of  A.  BENEDETTO  --  read once and referred to the
   Committee on Education
 
 AN ACT to amend the education law and the state finance law, in relation
   to charter schools
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section  1.  Subdivision  1  of  section 2851 of the education law, as
 amended by chapter 101 of the laws  of  2010,  is  amended  to  read  as
 follows:
   1.  An  application  to establish a charter school may be submitted by
 teachers, parents, school administrators,  community  residents  or  any
 combination  thereof.  Such application may be filed in conjunction with
 a college, university, museum, educational  institution,  not-for-profit
 corporation  exempt from taxation under paragraph 3 of subsection (c) of
 section 501 of the internal  revenue  code  or  for-profit  business  or
 corporate  entity  authorized to do business in New York state. Provided
 however, for-profit business or corporate entities shall not be eligible
 to submit an application to  establish  a  charter  school  pursuant  to
 subdivision  nine-a  of  section  twenty-eight hundred fifty-two of this
 article, or operate or manage a charter  school  for  a  charter  issued
 pursuant to subdivision nine-a of section twenty-eight hundred fifty-two
 of  this  article. For charter schools established in conjunction with a
 for-profit OR NOT-FOR-PROFIT business or corporate entity,  the  charter
 shall specify the extent of the entity's participation in the management
 and operation of the school.
   §  2.  Paragraph (h) of subdivision 2 of section 2851 of the education
 law, as added by chapter 4 of the laws of 1998, is amended  to  read  as
 follows:
   (h)  The  rules  and procedures by which students may be disciplined[,
 including but not limited to expulsion or suspension  from  the  school,
 which  shall be consistent with the requirements of due process and with

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD07966-01-3
              

 A. 4458                             2

 federal laws and regulations governing the placement  of  students  with
 disabilities] SHALL BE IN ACCORDANCE WITH THE PROVISIONS OF SUBDIVISIONS
 TWO-A,  THREE AND THREE-A OF SECTION THIRTY-TWO HUNDRED FOURTEEN OF THIS
 CHAPTER.  THE  CHARTERS  OF  ALL  CHARTER SCHOOLS THAT WERE ISSUED ON OR
 BEFORE JULY FIRST, TWO THOUSAND TWENTY-THREE SHALL BE DEEMED AMENDED  TO
 REQUIRE  COMPLIANCE WITH THE PROCEDURES SET FORTH IN SUBDIVISIONS TWO-A,
 THREE AND  THREE-A  OF  SECTION  THIRTY-TWO  HUNDRED  FOURTEEN  OF  THIS
 CHAPTER.
   §  3.  Paragraph (e) of subdivision 4 of section 2851 of the education
 law, as added by chapter 101 of the laws of 2010, is amended to read  as
 follows:
   (e)  The  means  by  which  the charter school will meet or exceed THE
 enrollment [and retention targets as prescribed by the board of  regents
 or  the board of trustees of the state university of New York, as appli-
 cable, of students with disabilities,  English  language  learners,  and
 students  who  are  eligible  applicants  for the free and reduced price
 lunch program which shall be considered by the charter entity  prior  to
 approving such charter school's application for renewal. When developing
 such  targets,  the  board  of  regents and the board of trustees of the
 state university of New York  shall  ensure  (1)  that  such  enrollment
 targets  are  comparable to the enrollment figures of such categories of
 students attending the public schools within the school district, or  in
 a  city  school district in a city having a population of one million or
 more inhabitants, the community school district, in  which  the  charter
 school is located; and (2) that such retention targets are comparable to
 the  rate  of  retention  of  such  categories of students attending the
 public schools within the school district, or in a city school  district
 in  a  city  having a population of one million or more inhabitants, the
 community school district, in which the proposed charter school would be
 located] REQUIREMENTS OF SUBPARAGRAPH (II) OF PARAGRAPH (B) OF  SUBDIVI-
 SION TWO OF SECTION TWENTY-EIGHT HUNDRED FIFTY-FOUR OF THIS ARTICLE.
   § 4. Subdivision 2 of section 2852 of the education law, as amended by
 section  2  of  part D2 of chapter 57 of the laws of 2007, is amended to
 read as follows:
   2. An application for a charter school shall not  be  approved  unless
 the charter entity finds IN WRITING that:
   (a) the charter school described in the application meets the require-
 ments  set  out in this article and all other applicable laws, rules and
 regulations;
   (b) the applicant can demonstrate the ability to operate the school in
 an educationally and fiscally sound manner;
   (c) granting the application is likely to improve student learning and
 achievement and materially further the purposes set out  in  subdivision
 two of section twenty-eight hundred fifty of this article; and
   (d)  in  a  school  district  where  the  total enrollment of resident
 students attending charter schools in the base year is greater than five
 percent of the total public school enrollment of the school district  in
 the  base  year  (i)  granting  the application would have a significant
 educational benefit to the students  expected  to  attend  the  proposed
 charter  school  [or]  AND (ii) the school district in which the charter
 school will be located consents to such application.
   In reviewing applications, the charter entity is  encouraged  to  give
 preference  to  applications  that demonstrate the capability to provide
 comprehensive learning experiences to students identified by the  appli-
 cants  as  at  risk of academic failure.  UPON MAKING A DETERMINATION OF
 WHETHER AN APPLICATION FOR A CHARTER SCHOOL SHALL BE APPROVED, THE CHAR-
 A. 4458                             3
 
 TER ENTITY SHALL PROVIDE DETAILED WRITTEN FINDINGS RELATED  TO  EACH  OF
 THE  REQUIREMENTS  IN THIS SUBDIVISION, WHICH SHALL BE MADE AVAILABLE TO
 THE CHARTER SCHOOL APPLICANT, BOARD OF REGENTS AND THE  SCHOOL  DISTRICT
 IN WHICH THE PROPOSED CHARTER SCHOOL WOULD BE LOCATED.
   § 5. Subdivision 5 of section 2852 of the education law, as amended by
 chapter 101 of the laws of 2010, is amended to read as follows:
   5. (A) Upon approval of an application by a charter entity, the appli-
 cant  and  charter entity shall enter into a proposed agreement allowing
 the applicants to organize and operate a charter  school.  Such  written
 agreement, known as the charter, shall include [(a)] (I) the information
 required by subdivision two of section twenty-eight hundred fifty-one of
 this  article,  as modified or supplemented during the approval process,
 [(b)] (II) in the case of charters to be issued pursuant to  subdivision
 nine-a  of this section, information required by such subdivision, [(c)]
 (III) A PROVISION PROHIBITING THE CHARTER  SCHOOL  FROM  ENTERING  INTO,
 RENEWING  OR EXTENDING ANY AGREEMENT WITH A FOR-PROFIT OR NOT-FOR-PROFIT
 CORPORATE OR OTHER BUSINESS ENTITY FOR THE ADMINISTRATION, MANAGEMENT OR
 OPERATION OF THE CHARTER SCHOOL UNLESS THE AGREEMENT REQUIRES SUCH ENTI-
 TY TO PROVIDE STATE AND LOCAL OFFICERS HAVING THE  POWER  TO  AUDIT  THE
 CHARTER  SCHOOL  PURSUANT  TO  THIS  ARTICLE WITH ACCESS TO THE ENTITY'S
 RECORDS RELATING TO THE COSTS OF, AND FEES FOR, PROVIDING SUCH  SERVICES
 TO THE SCHOOL, (IV) any other terms or conditions required by applicable
 laws,  rules  and  regulations,  and [(d)] (V) any other terms or condi-
 tions, not inconsistent with law, agreed upon by the applicant  and  the
 charter  entity.  In  addition,  the  charter shall include the specific
 commitments of the charter entity relating to its obligations to oversee
 and supervise the charter school. Within five days after entering into a
 proposed charter, the charter entity other than  the  board  of  regents
 shall submit to the board of regents a copy of the charter, the applica-
 tion and supporting documentation for final approval and issuance by the
 board  of  regents  in accordance with subdivisions five-a and five-b of
 this section.
   (B) NO CHARTER SCHOOL HAVING A CHARTER THAT WAS ISSUED AND APPROVED ON
 OR BEFORE THE EFFECTIVE DATE OF THIS PARAGRAPH SHALL ENTER  INTO,  RENEW
 OR  EXTEND  THE  DURATION OF ANY AGREEMENT WITH A FOR-PROFIT OR NOT-FOR-
 PROFIT CORPORATE  OR  OTHER  BUSINESS  ENTITY  FOR  THE  ADMINISTRATION,
 MANAGEMENT  OR  OPERATION  OF  THE  CHARTER  SCHOOL UNLESS THE AGREEMENT
 REQUIRES SUCH ENTITY TO PROVIDE STATE  AND  LOCAL  OFFICERS  HAVING  THE
 POWER  TO  AUDIT THE CHARTER SCHOOL PURSUANT TO THIS ARTICLE WITH ACCESS
 TO THE ENTITY'S RECORDS RELATING TO THE COSTS OF, AND FEES FOR,  PROVID-
 ING  SUCH SERVICES TO THE SCHOOL. ANY AGREEMENT ENTERED INTO, RENEWED OR
 EXTENDED IN VIOLATION OF THIS SECTION SHALL BE  NULL,  VOID  AND  WHOLLY
 UNENFORCEABLE,  AND  A  VIOLATION  OF  THIS SECTION SHALL BE GROUNDS FOR
 REVOCATION OR TERMINATION OF A CHARTER PURSUANT TO SECTION  TWENTY-EIGHT
 HUNDRED FIFTY-FIVE OF THIS ARTICLE.
   §  6.  Subparagraph (i) of paragraph (b) of subdivision 9-a of section
 2852 of the education law, as amended by section 2 of subpart A of  part
 B of chapter 20 of the laws of 2015, is amended to read as follows:
   (i)  that the proposed charter school would meet or exceed THE enroll-
 ment [and retention targets, as prescribed by the board  of  regents  or
 the  board  of trustees of the state university of New York, as applica-
 ble, of students  with  disabilities,  English  language  learners,  and
 students  who  are  eligible  applicants  for the free and reduced price
 lunch program. When developing such targets, the board  of  regents  and
 the  board of trustees of the state university of New York, shall ensure
 (1) that such  enrollment  targets  are  comparable  to  the  enrollment
 A. 4458                             4

 figures  of  such  categories  of  students attending the public schools
 within the school district, or in a  city  school  district  in  a  city
 having  a  population  of one million or more inhabitants, the community
 school  district, in which the proposed charter school would be located;
 and (2) that such retention  targets  are  comparable  to  the  rate  of
 retention  of  such  categories of students attending the public schools
 within the school district, or in a  city  school  district  in  a  city
 having  a  population  of one million or more inhabitants, the community
 school district, in which the proposed charter school would be  located]
 REQUIREMENTS OF SUBPARAGRAPH (II) OF PARAGRAPH (B) OF SUBDIVISION TWO OF
 SECTION TWENTY-EIGHT HUNDRED FIFTY-FOUR OF THIS ARTICLE; and
   §  7.  Section  2853  of  the education law is amended by adding a new
 subdivision 2-b to read as follows:
   2-B. IN ANY CASE WHERE A CHARTER SCHOOL ENTERS INTO, RENEWS OR EXTENDS
 ANY AGREEMENT WITH A FOR-PROFIT OR NOT-FOR-PROFIT BUSINESS OR  CORPORATE
 ENTITY  FOR  THE  ADMINISTRATION,  MANAGEMENT  OR OPERATION OF A CHARTER
 SCHOOL, THE CHARTER SCHOOL IS REQUIRED TO HAVE A  FORMAL  CONTRACT  WITH
 SUCH  ENTITY.  ANY  SUCH  CONTRACT SHALL BE REVIEWED AND APPROVED BY THE
 CHARTER ENTITY.
   § 8. Paragraph (a) of subdivision 3 of section 2853 of  the  education
 law,  as  amended by chapter 101 of the laws of 2010, is amended to read
 as follows:
   (a) A charter school may be located in  part  of  an  existing  public
 school  building,  in space provided on a private work site, in a public
 building or in any other suitable location. Provided, however, before  a
 charter  school  may  be  located  in  part of an existing public school
 building, the charter entity shall provide  notice  to  the  parents  or
 guardians  of the students then enrolled in the existing school building
 and shall hold a public hearing for purposes of discussing the  location
 of  the  charter  school.  ALL  CONTRACTS  ENTERED  INTO BY SUCH CHARTER
 SCHOOL, OR ANY EDUCATION CORPORATION  ORGANIZED  TO  OPERATE  A  CHARTER
 SCHOOL,  OR ANY OTHER PUBLIC ENTITY, INCLUDING THE STATE, A PUBLIC BENE-
 FIT CORPORATION, MUNICIPAL CORPORATION, OR ANY PRIVATE ENTITY ACTING  ON
 BEHALF  OF  ANY  OF  THESE  ENTITIES, INVOLVING THE CONSTRUCTION, RECON-
 STRUCTION, DEMOLITION, EXCAVATION, REHABILITATION,  REPAIR,  RENOVATION,
 OR  ALTERATION  OF  ANY  CHARTER SCHOOL FACILITY SHALL BE SUBJECT TO THE
 REQUIREMENTS OF SECTION ONE HUNDRED THREE OF THE GENERAL  MUNICIPAL  LAW
 AND  ARTICLES EIGHT AND NINE OF THE LABOR LAW. A charter school may own,
 lease or rent its space.
   § 9. The opening paragraph and subparagraph  1  of  paragraph  (e)  of
 subdivision  3 of section 2853 of the education law, as added by section
 5 of part BB of chapter 56 of the laws of 2014, are amended to  read  as
 follows:
   [In]  EXCEPT  AS  PROVIDED  IN SUBPARAGRAPH SEVEN OF THIS PARAGRAPH, a
 city school district in a city having a population  of  one  million  or
 more  inhabitants,  charter  schools  that first commence instruction or
 that require additional space due to an expansion of grade level, pursu-
 ant to this article, approved by their charter entity for the two  thou-
 sand  fourteen--two  thousand  fifteen  school  year  or  thereafter and
 request co-location in a public school building AND DEMONSTRATES TO  THE
 CITY SCHOOL DISTRICT THAT THE CHARTER SCHOOL DOES NOT HAVE THE FINANCIAL
 CAPACITY  TO  PROCURE  ADEQUATE  FACILITIES  shall be provided access to
 facilities pursuant to this paragraph  for  such  charter  schools  that
 first  commence  instruction  or that require additional space due to an
 expansion of grade level, pursuant to this article,  approved  by  their
 charter entity for those grades newly provided.
 A. 4458                             5
 
   (1) Notwithstanding any other provision of law to the contrary, within
 the  later  of  (i) five months after a charter school's written request
 for co-location and (ii) PROVIDED THAT  A  CHARTER  SCHOOL  DEMONSTRATES
 THAT  IT  LACKS  THE  FINANCIAL CAPACITY TO PROCURE ADEQUATE FACILITIES,
 thirty  days after the charter school's charter is approved by its char-
 ter entity, the city school district shall either: (A) offer at no  cost
 to  the  charter  school  a co-location site in a public school building
 approved by the board of education as provided by law, or (B) offer  the
 charter school space in a privately owned or other publicly owned facil-
 ity  at  the  expense  of the city school district and at no cost to the
 charter school FOR THREE YEARS.  The space must be reasonable, appropri-
 ate and comparable and in the community school district to be served  by
 the charter school and otherwise in reasonable proximity.
   §  10. Paragraph (e) of subdivision 3 of section 2853 of the education
 law is amended by adding a new subparagraph 7 to read as follows:
   (7)(A) NO CHARTER SCHOOL THAT, EITHER ALONE OR IN COMBINATION WITH ANY
 CHARTER AFFILIATE, HAS ANY DIRECT OR INDIRECT INTEREST  IN,  OR  MAY  BE
 ENTITLED TO RECEIVE ANY BENEFICIAL INTEREST FROM, ANY ASSET OR ASSETS OF
 ANY  KIND  OR  NATURE  THAT ALONE OR COMBINED HAVE A VALUE EXCEEDING ONE
 MILLION DOLLARS, SHALL BE OFFERED OR ENTITLED TO RECEIVE:  (I) A  CO-LO-
 CATION SITE IN A PUBLIC SCHOOL BUILDING AT NO COST; OR (II) A SPACE IN A
 PRIVATELY  OR  PUBLICLY OWNED FACILITY AT THE EXPENSE OF THE CITY SCHOOL
 DISTRICT.
   (B) NOTHING IN THIS SUBPARAGRAPH SHALL PROHIBIT A CHARTER SCHOOL  FROM
 RECEIVING A CO-LOCATION IN A PUBLIC BUILDING AT FAIR MARKET VALUE UNLESS
 DOING SO WOULD NEGATIVELY IMPACT THE SIZE OF CLASSES IN ANY OTHER SCHOOL
 IN THE BUILDING.
   (C)  AS  USED IN THIS SUBPARAGRAPH THE TERM "CHARTER AFFILIATE" MEANS:
 (I) ANY ENTITY THAT IS DIRECTLY OR INDIRECTLY CONTROLLED BY, IN  CONTROL
 OF,  OR UNDER COMMON CONTROL WITH, THE CHARTER SCHOOL OR (II) ANY ENTITY
 THAT PROVIDES MANAGEMENT, FUNDRAISING OR  OTHER  ADMINISTRATIVE  SUPPORT
 SERVICES TO THE CHARTER SCHOOL.
   §  11. Paragraph (c) of subdivision 4 of section 2853 of the education
 law, as amended by section 1 of part BB of chapter 56  of  the  laws  of
 2014, is amended to read as follows:
   (c)  A charter school may contract with the governing body of a public
 college or university for the use of a school building and grounds,  the
 operation  and maintenance thereof. Any such contract shall provide such
 services or facilities at [cost] FAIR MARKET VALUE.  [A school  district
 shall  permit  any  charter school granted approval to co-locate, to use
 such services and facilities without cost.]
   § 12. Section 2853 of the education law is amended  by  adding  3  new
 subdivisions 5, 6 and 7 to read as follows:
   5. DISCLOSURE. (A) A CHARTER SCHOOL SHALL REPORT:
   (I)  BY THE FIFTEENTH DAY OF FEBRUARY OF EACH CALENDAR YEAR, THE NAME,
 ADDRESS AND TOTAL COMPENSATION PAID TO EACH PERSON SERVING AS A  CHARTER
 EXECUTIVE IN THE PREVIOUS CALENDAR YEAR; AND
   (II)  WITHIN THIRTY DAYS OF RECEIPT, THE NAME AND ADDRESS OF ANY INDI-
 VIDUAL, CORPORATION, ASSOCIATION, OR ENTITY  PROVIDING  A  CONTRIBUTION,
 GIFT,  LOAN,  ADVANCE  OR DEPOSIT OF ONE THOUSAND DOLLARS OR MORE TO THE
 CHARTER SCHOOL OR CHARTER AFFILIATE AND THE AMOUNT OF EACH SUCH CONTRIB-
 UTION, GIFT, LOAN, ADVANCE OR DEPOSIT.
   (B) IF A CHARTER SCHOOL EITHER ALONE  OR  TOGETHER  WITH  ANY  CHARTER
 AFFILIATE  HAS ANY DIRECT OR INDIRECT INTEREST IN, OR MAY BE ENTITLED TO
 RECEIVE ANY BENEFICIAL INTEREST IN, ANY ASSET OR ASSETS OF ANY  KIND  OR
 A. 4458                             6
 
 NATURE,  ALONE  OR  TOGETHER,  WITH  A  VALUE  IN  EXCESS OF ONE MILLION
 DOLLARS, THE CHARTER SCHOOL SHALL:
   (I)  ENSURE  THAT  THE  FINANCIAL STATEMENTS OF THE CHARTER SCHOOL AND
 EACH CHARTER AFFILIATE CONFORM TO AND ARE REPORTED ACCORDING TO GENERAL-
 LY ACCEPTED ACCOUNTING PRINCIPLES; AND
   (II) ENSURE THAT THE FINANCIAL STATEMENTS OF THE  CHARTER  SCHOOL  AND
 ANY  CHARTER AFFILIATE ARE AUDITED IN ACCORDANCE WITH GENERALLY ACCEPTED
 AUDITING STANDARDS BY AN INDEPENDENT CERTIFIED PUBLIC ACCOUNTANT  OR  AN
 INDEPENDENT PUBLIC ACCOUNTANT, THAT SUCH AUDIT RECEIVES AN "UNQUALIFIED"
 OPINION  AS  TO,  AMONG OTHER THINGS, COMPLIANCE WITH GENERALLY ACCEPTED
 ACCOUNTING PRINCIPLES AND THAT  SUCH  AUDIT  IS  COMPLETED  WITHIN  NINE
 MONTHS OF THE CONCLUSION OF THE FISCAL YEAR.
   (C)  IF  A  CHARTER  SCHOOL  EITHER ALONE OR TOGETHER WITH ANY CHARTER
 AFFILIATE HAS ANY DIRECT OR INDIRECT INTEREST IN, OR MAY BE ENTITLED  TO
 RECEIVE  ANY  BENEFICIAL INTEREST IN, ANY ASSET OR ASSETS OF ANY KIND OR
 NATURE, ALONE OR TOGETHER,  WITH  A  VALUE  IN  EXCESS  OF  ONE  MILLION
 DOLLARS,  IT  SHALL ALSO REPORT BY THE FIFTEENTH DAY OF FEBRUARY OF EACH
 ENSUING CALENDAR YEAR THE FOLLOWING:
   (I) THE MOST RECENT AUDITED FINANCIAL STATEMENTS OF THE CHARTER SCHOOL
 AND ANY CHARTER AFFILIATE WHICH SHALL CONFORM TO AND BE REPORTED ACCORD-
 ING TO GENERALLY ACCEPTED ACCOUNTING PRINCIPLES;
   (II) THE MOST RECENT AUDITOR'S REPORT ON THE FINANCIAL  STATEMENTS  OF
 THE CHARTER SCHOOL AND ANY CHARTER AFFILIATE;
   (III)  THE "UNQUALIFIED" OPINION RECEIVED FROM THE AUDITOR OF THE MOST
 RECENT FINANCIAL STATEMENTS AS TO, AMONG OTHER THINGS,  COMPLIANCE  WITH
 GENERALLY ACCEPTED ACCOUNTING PRINCIPLES; AND
   (IV)  ANY COMPENSATION OR REMUNERATION, WHETHER PAID OR GIVEN, INCLUD-
 ING BUT NOT LIMITED TO SALARY, BONUS, AND DEFERRED COMPENSATION AND  ANY
 BENEFIT  HAVING  MONETARY  VALUE,  INCLUDING BUT NOT LIMITED TO, PERQUI-
 SITES, FRINGE BENEFITS, EMPLOYER CONTRIBUTIONS TO  DEFINED  CONTRIBUTION
 RETIREMENT  PLANS AND OTHER RETIREMENT OR SEVERANCE BENEFITS RECEIVED BY
 A CHARTER EXECUTIVE FROM ANY SOURCE.
   (D)(I) EACH REPORT REQUIRED BY THIS SUBDIVISION SHALL  BE  ACCOMPANIED
 BY  A STATEMENT, UNDER OATH, BY THE CHAIRPERSON OF THE SCHOOL'S BOARD OF
 TRUSTEES OR OTHER APPROPRIATE MEMBER OF THE  BOARD  OF  TRUSTEES,  THAT,
 AFTER  THE  DUE INQUIRY, THE REPORTS ARE TRUE AND CORRECT TO THE BEST OF
 HIS OR HER KNOWLEDGE AND HAVE  BEEN  PROVIDED  TO  EACH  MEMBER  OF  THE
 SCHOOL'S BOARD OF TRUSTEES.
   (II) A CHARTER SCHOOL TO WHICH PARAGRAPHS (B) AND (C) OF THIS SUBDIVI-
 SION DO NOT APPLY SHALL, BY THE FIFTEENTH DAY OF FEBRUARY OF EACH CALEN-
 DAR  YEAR, SUBMIT A STATEMENT AS PART OF ITS REPORT PURSUANT TO SUBPARA-
 GRAPH (II) OF PARAGRAPH (A) OF THIS  SUBDIVISION,  UNDER  OATH,  BY  THE
 CHAIRPERSON  OF  THE  SCHOOL'S  BOARD  OF  TRUSTEES OR OTHER APPROPRIATE
 MEMBER OF THE BOARD OF TRUSTEES, THAT, AFTER THE DUE INQUIRY, THE  CHAR-
 TER  SCHOOL EITHER ALONE OR TOGETHER WITH ANY CHARTER AFFILIATE DOES NOT
 HAVE ANY DIRECT OR INDIRECT INTEREST IN OR MAY BE  ENTITLED  TO  RECEIVE
 ANY  BENEFICIAL  INTEREST  IN ANY ASSET OR ASSETS OF ANY KIND OR NATURE,
 ALONE OR TOGETHER, WITH A VALUE IN EXCESS OF ONE MILLION DOLLARS.
   (E) ANY REPORT REQUIRED PURSUANT TO THIS SUBDIVISION SHALL BE MADE  TO
 THE  BOARD  OF REGENTS, THE SCHOOL'S CHARTER ENTITY, AND THE COMPTROLLER
 OF THE CITY OF NEW YORK FOR CHARTER SCHOOLS LOCATED IN NEW YORK CITY AND
 THE COMPTROLLER OF THE STATE OF NEW YORK  FOR  CHARTER  SCHOOLS  LOCATED
 OUTSIDE OF THE CITY OF NEW YORK. THE COMMISSIONER SHALL ENSURE THAT SUCH
 REPORT IS MADE PUBLICLY AVAILABLE VIA THE DEPARTMENT'S OFFICIAL INTERNET
 WEBSITE WITHIN FIVE DAYS OF ITS RECEIPT.
 A. 4458                             7
 
   (F)  A  CHARTER SCHOOL'S FAILURE TO COMPLY WITH THE PROVISIONS OF THIS
 SUBDIVISION SHALL BE A VERY SIGNIFICANT FACTOR  IN  DETERMINING  WHETHER
 THE CHARTER ENTITY OR THE BOARD OF REGENTS TERMINATES THE SCHOOL'S CHAR-
 TER.
   (G) AS USED IN THIS SUBDIVISION:
   (I) "TOTAL COMPENSATION" SHALL INCLUDE: (A) ANY COMPENSATION OR REMUN-
 ERATION, WHETHER PAID OR GIVEN, BY OR ON BEHALF OF THE CHARTER SCHOOL OR
 ANY CHARTER AFFILIATE, FOR SERVICES RENDERED TO, ON BEHALF OF, OR AT THE
 REQUEST  OF  THE  CHARTER  SCHOOL,  INCLUDING BUT NOT LIMITED TO SALARY,
 BONUS, AND DEFERRED COMPENSATION AND (B)  ANY  BENEFIT  HAVING  MONETARY
 VALUE  PROVIDED  BY  OR  ON  BEHALF OF THE CHARTER SCHOOL OR ANY CHARTER
 AFFILIATE, INCLUDING BUT NOT LIMITED TO, PERQUISITES,  FRINGE  BENEFITS,
 EMPLOYER  CONTRIBUTIONS  TO  DEFINED  CONTRIBUTION  RETIREMENT PLANS AND
 OTHER RETIREMENT OR SEVERANCE BENEFITS.
   (II) "CHARTER AFFILIATE" MEANS: (A) ANY ENTITY THAT  IS,  DIRECTLY  OR
 INDIRECTLY,  CONTROLLED  BY, IN CONTROL OF, OR UNDER COMMON CONTROL WITH
 THE CHARTER SCHOOL OR (B) ANY ENTITY OR AFFILIATE THEREOF THAT  PROVIDES
 MANAGEMENT, FUNDRAISING, OR OTHER ADMINISTRATIVE SUPPORT SERVICES TO THE
 CHARTER SCHOOL.
   (III)  "CHARTER  EXECUTIVE"  MEANS: (A) AN OFFICER, DIRECTOR, TRUSTEE,
 CONSULTANT, SUPERVISORY EMPLOYEE OF A CHARTER SCHOOL OR  CHARTER  AFFIL-
 IATE  OR  (B)  ANYONE  WHO EXERTS OPERATIONAL OR MANAGERIAL INFLUENCE OR
 CONTROL OVER THE SCHOOL INCLUDING, BUT  NOT  LIMITED  TO,  INFLUENCE  OR
 CONTROL OVER THE SCHOOL THROUGH A CHARTER MANAGEMENT COMPANY.
   6.  EXECUTIVE  COMPENSATION.  (A)  NO CHARTER SCHOOL SHALL PROVIDE ANY
 COMPENSATION TO ANY INDIVIDUAL WHO IS ALSO AN OFFICER,  DIRECTOR,  TRUS-
 TEE, CONSULTANT, OR EMPLOYEE OF A CHARTER AFFILIATE OR TO ANY INDIVIDUAL
 WHO  EXERTS  OPERATIONAL  OR  MANAGERIAL  INFLUENCE  OR CONTROL OVER THE
 SCHOOL THROUGH A CHARTER AFFILIATE.
   (B)(I) NO CHARTER SCHOOL OR CHARTER AFFILIATE SHALL PERMIT  THE  TOTAL
 COMPENSATION  RECEIVED  BY  A  CHARTER  EXECUTIVE TO BE GREATER THAN ONE
 HUNDRED NINETY-NINE THOUSAND DOLLARS PER ANNUM, INCLUDING NOT ONLY STATE
 FUNDS AND STATE-AUTHORIZED PAYMENTS BUT ALSO ANY OTHER SOURCES OF  FUND-
 ING,  AND GREATER THAN THE SEVENTY-FIFTH PERCENTILE OF THAT COMPENSATION
 PROVIDED TO CHARTER EXECUTIVES OF  OTHER  CHARTER  SCHOOLS  AND  CHARTER
 AFFILIATES  WITHIN THE SAME OR COMPARABLE GEOGRAPHIC AREA AS ESTABLISHED
 BY A COMPENSATION SURVEY IDENTIFIED,  PROVIDED,  OR  RECOGNIZED  BY  THE
 DEPARTMENT AND THE DIRECTOR OF THE DIVISION OF THE BUDGET.
   (II)  IF THE DEPARTMENT AND THE DIRECTOR OF THE DIVISION OF THE BUDGET
 FIND GOOD CAUSE AFTER CONSIDERING THE FACTORS SET FORTH IN  SUBPARAGRAPH
 (IV) OF THIS PARAGRAPH, A WAIVER OF THE LIMIT ON TOTAL COMPENSATION THAT
 A  CHARTER EXECUTIVE MAY RECEIVE MAY BE GRANTED, PROVIDED, HOWEVER, THAT
 IN NO EVENT SHALL  THE  TOTAL  COMPENSATION  EXCEED  ONE  HUNDRED  FIFTY
 PERCENT  OF  LEVEL  I OF THE FEDERAL GOVERNMENT'S RATES OF BASIC PAY FOR
 THE EXECUTIVE SCHEDULE  PROMULGATED  BY  THE  UNITED  STATES  OFFICE  OF
 PERSONNEL MANAGEMENT.
   (III)  THE  APPLICATION  FOR  A WAIVER MUST BE FILED NO LATER THAN THE
 FIFTEENTH DAY OF FEBRUARY OF THE YEAR FOR WHICH THE  WAIVER  IS  SOUGHT.
 THE APPLICATION SHALL BE TRANSMITTED IN THE MANNER AND FORM SPECIFIED BY
 THE  DEPARTMENT AND THE DIRECTOR OF THE DIVISION OF THE BUDGET. A WAIVER
 MAY BE ONLY FOR THE SINGLE CALENDAR YEAR IN WHICH IT IS GRANTED.
   (IV) THE FOLLOWING FACTORS, IN ADDITION TO ANY OTHER  DEEMED  RELEVANT
 BY  THE DEPARTMENT AND THE DIRECTOR OF THE DIVISION OF THE BUDGET, SHALL
 BE CONSIDERED IN THE DETERMINATION OF WHETHER GOOD CAUSE EXISTS TO GRANT
 A WAIVER:
 A. 4458                             8
 
   (A) THE EXTENT TO WHICH THE EXECUTIVE COMPENSATION THAT IS THE SUBJECT
 OF THE WAIVER REQUEST IS COMPARABLE TO THAT GIVEN TO COMPARABLE  CHARTER
 EXECUTIVES OF CHARTER SCHOOLS OR CHARTER AFFILIATES OF THE SAME SIZE AND
 WITHIN THE SAME OR COMPARABLE GEOGRAPHIC AREA;
   (B)  THE EXTENT TO WHICH THE CHARTER SCHOOL WOULD BE UNABLE TO PROVIDE
 EDUCATIONAL SERVICES AT THE SAME  LEVELS  OF  QUALITY  AND  AVAILABILITY
 WITHOUT A WAIVER OF THE LIMIT ON TOTAL COMPENSATION THAT A CHARTER EXEC-
 UTIVE MAY RECEIVE;
   (C)  THE NATURE, SIZE, AND COMPLEXITY OF THE CHARTER SCHOOL OR CHARTER
 AFFILIATE'S OPERATIONS;
   (D) THE CHARTER SCHOOL OR  CHARTER  AFFILIATE'S  REVIEW  AND  APPROVAL
 PROCESS  FOR  THE  TOTAL COMPENSATION THAT IS THE SUBJECT OF THE WAIVER,
 INCLUDING WHETHER SUCH PROCESS INVOLVED A REVIEW  AND  APPROVAL  BY  THE
 BOARD OF TRUSTEES OF THE SCHOOL, WHETHER SUCH REVIEW WAS CONDUCTED BY AT
 LEAST  TWO  INDEPENDENT DIRECTORS OR INDEPENDENT MEMBERS OF THE BOARD OF
 TRUSTEES, WHETHER SUCH REVIEW INCLUDED AN  ASSESSMENT  OF  COMPARABILITY
 DATA  INCLUDING  A COMPENSATION SURVEY, AND A CONTEMPORANEOUS SUBSTANTI-
 ATION OF THE DELIBERATION AND DECISION  TO  APPROVE  THE  TOTAL  COMPEN-
 SATION;
   (E) THE QUALIFICATIONS AND EXPERIENCE POSSESSED BY OR REQUIRED FOR THE
 CHARTER EXECUTIVE'S POSITION; AND
   (F)  THE  CHARTER  SCHOOL  OR  CHARTER AFFILIATE'S EFFORTS, IF ANY, TO
 SECURE A CHARTER EXECUTIVE WITH THE SAME LEVELS  OF  EXPERIENCE,  EXPER-
 TISE,  AND  SKILLS  FOR  THE  POSITION OF THE CHARTER EXECUTIVE AT LOWER
 LEVELS OF COMPENSATION.
   (V) TO BE CONSIDERED, AN APPLICATION FOR SUCH A  WAIVER  SHALL  COMPLY
 WITH THIS PARAGRAPH IN ITS ENTIRETY.
   (VI) UNLESS ADDITIONAL INFORMATION HAS BEEN REQUESTED BUT NOT RECEIVED
 FROM  THE  CHARTER  SCHOOL  OR CHARTER AFFILIATE, A DECISION ON A TIMELY
 SUBMITTED WAIVER APPLICATION SHALL  BE  PROVIDED  NO  LATER  THAN  SIXTY
 CALENDAR DAYS AFTER SUBMISSION OF THE APPLICATION.
   (VII)  IF  GRANTED,  A  WAIVER  TO A CHARTER EXECUTIVE SHALL REMAIN IN
 EFFECT FOR THE CALENDAR YEAR IT  IS  ISSUED  IN,  BUT  SHALL  BE  DEEMED
 REVOKED IF:
   (A)  THE  TOTAL  COMPENSATION  THAT  IS  THE  SUBJECT  OF  THE  WAIVER
 INCREASES; OR
   (B) NOTICE OF REVOCATION IS PROVIDED TO THE CHARTER EXECUTIVE  AT  THE
 DISCRETION  OF THE DEPARTMENT AS A RESULT OF ADDITIONAL RELEVANT CIRCUM-
 STANCES.
   (VIII) INFORMATION PROVIDED IN CONNECTION WITH  A  WAIVER  APPLICATION
 SHALL  BE  SUBJECT  TO  PUBLIC DISCLOSURE PURSUANT TO ARTICLE SIX OF THE
 PUBLIC OFFICERS LAW.
   (IX) WHERE A WAIVER IS GRANTED, THE DEPARTMENT SHALL MAKE IT  PUBLICLY
 AVAILABLE  VIA  THE  DEPARTMENT'S  OFFICIAL INTERNET WEBSITE WITHIN FIVE
 DAYS.
   (C) NO CHARTER SCHOOL SHALL USE FUNDS  RECEIVED  PURSUANT  TO  SECTION
 TWENTY-EIGHT HUNDRED FIFTY-SIX OF THIS ARTICLE OR ALLOW A CHARTER AFFIL-
 IATE  TO  USE  FUNDS RECEIVED FROM THE CHARTER SCHOOL TO PROVIDE A TOTAL
 COMPENSATION TO A CHARTER EXECUTIVE GREATER THAN ONE HUNDRED NINETY-NINE
 THOUSAND DOLLARS PER ANNUM.
   (D) FAILURE TO COMPLY WITH THE PROVISIONS OF  THIS  SUBDIVISION  SHALL
 RESULT  IN  THE  ASSESSMENT  OF A PENALTY AGAINST THE PAYOR IN AN AMOUNT
 EQUAL TO THE AMOUNT OF COMPENSATION PAID OR  PROVIDED  IN  VIOLATION  OF
 THIS SUBDIVISION.
   (E)  A  CHARTER SCHOOL'S FAILURE TO COMPLY WITH THE PROVISIONS OF THIS
 SUBDIVISION SHALL BE A VERY SIGNIFICANT FACTOR  IN  DETERMINING  WHETHER
 A. 4458                             9
 
 THE CHARTER ENTITY OR THE BOARD OF REGENTS TERMINATES THE SCHOOL'S CHAR-
 TER.
   (F) AS USED IN THIS SUBDIVISION:
   (I) "TOTAL COMPENSATION" SHALL INCLUDE: (A) ANY COMPENSATION OR REMUN-
 ERATION, WHETHER PAID OR GIVEN, BY OR ON BEHALF OF THE CHARTER SCHOOL OR
 ANY CHARTER AFFILIATE, FOR SERVICES RENDERED TO, ON BEHALF OF, OR AT THE
 REQUEST  OF  THE  CHARTER  SCHOOL,  INCLUDING BUT NOT LIMITED TO SALARY,
 BONUS, AND DEFERRED COMPENSATION AND (B)  ANY  BENEFIT  HAVING  MONETARY
 VALUE  PROVIDED  BY  OR  ON  BEHALF OF THE CHARTER SCHOOL OR ANY CHARTER
 AFFILIATE, INCLUDING BUT NOT LIMITED TO, PERQUISITES,  FRINGE  BENEFITS,
 EMPLOYER  CONTRIBUTIONS  TO  DEFINED  CONTRIBUTION  RETIREMENT PLANS AND
 OTHER RETIREMENT OR SEVERANCE BENEFITS.
   (II) "CHARTER AFFILIATE" MEANS: (A) ANY ENTITY THAT  IS,  DIRECTLY  OR
 INDIRECTLY,  CONTROLLED  BY, IN CONTROL OF, OR UNDER COMMON CONTROL WITH
 THE CHARTER SCHOOL OR (B) ANY ENTITY OR AFFILIATE THEREOF THAT  PROVIDES
 MANAGEMENT, FUNDRAISING, OR OTHER ADMINISTRATIVE SUPPORT SERVICES TO THE
 CHARTER SCHOOL.
   (III)  "CHARTER  EXECUTIVE"  MEANS: (A) AN OFFICER, DIRECTOR, TRUSTEE,
 CONSULTANT, SUPERVISORY EMPLOYEE OF A CHARTER SCHOOL OR  CHARTER  AFFIL-
 IATE  OR  (B)  ANYONE  WHO EXERTS OPERATIONAL OR MANAGERIAL INFLUENCE OR
 CONTROL OVER THE SCHOOL INCLUDING, BUT IS NOT LIMITED TO,  INFLUENCE  OR
 CONTROL OVER THE SCHOOL THROUGH A CHARTER MANAGEMENT COMPANY.
   7.  NOTIFICATION  OF  DISENROLLMENT.    WITHIN FIVE BUSINESS DAYS OF A
 STUDENT WHO WAS ENROLLED BY THE CHARTER SCHOOL CEASING TO BE ENROLLED, A
 CHARTER SCHOOL SHALL NOTIFY THE SUPERINTENDENT OF THE DISTRICT IN  WHICH
 THE CHARTER SCHOOL IS LOCATED OR, FOR CHARTER SCHOOLS LOCATED WITHIN THE
 GEOGRAPHIC  AREA  SERVED  BY THE CITY SCHOOL DISTRICT OF THE CITY OF NEW
 YORK, THE CHANCELLOR OF THE CITY SCHOOL DISTRICT  OF  THE  CITY  OF  NEW
 YORK, OF THE NAME OF SUCH STUDENT.
   § 13. Subparagraph 5 of paragraph (e) of subdivision 3 of section 2853
 of  the  education law, as amended by section 11 of part A of chapter 54
 of the laws of 2016, clause (B) as amended by section 5 of part  YYY  of
 chapter 59 of the laws of 2017, is amended to read as follows:
   (5) For a new charter school whose charter is granted or for an exist-
 ing  charter  school  whose  expansion  of grade level, pursuant to this
 article, is approved by their charter entity, if the appeal results in a
 determination in favor of the charter school, FOR  SIX  YEARS  the  city
 school  district  shall pay the charter school (A) FOR THE INITIAL THREE
 YEARS IN WHICH AID IS PAYABLE, an amount attributable to the grade level
 expansion or the formation of the new charter school that  is  equal  to
 the lesser of:
   [(A)]  (I)  the  actual  rental cost of an alternative privately owned
 site selected by the charter school or
   [(B)] (II) thirty percent of the product of the charter school's basic
 tuition for the current school year and [(i)]  (I)  for  a  new  charter
 school  that  first  commences  instruction  on or after July first, two
 thousand fourteen, the charter  school's  current  year  enrollment;  or
 [(ii)] (II) for a charter school which expands its grade level, pursuant
 to this article, the positive difference of the charter school's enroll-
 ment in the current school year minus the charter school's enrollment in
 the school year prior to the first year of the expansion; AND
   (B)  IN  THE  FOURTH  YEAR,  THE CITY SCHOOL DISTRICT SHALL PAY NINETY
 PERCENT MULTIPLIED BY THE AMOUNT CALCULATED PURSUANT TO  CLAUSE  (A)  OF
 THIS SUBPARAGRAPH; AND
 A. 4458                            10
 
   (C)  IN  THE  FIFTH  YEAR,  THE  CITY  SCHOOL DISTRICT SHALL PAY SIXTY
 PERCENT MULTIPLIED BY THE AMOUNT CALCULATED PURSUANT TO  CLAUSE  (A)  OF
 THIS SUBPARAGRAPH; AND
   (D)  IN  THE  SIXTH  YEAR,  THE  CITY SCHOOL DISTRICT SHALL PAY THIRTY
 PERCENT MULTIPLIED BY THE AMOUNT CALCULATED PURSUANT TO  CLAUSE  (A)  OF
 THIS SUBPARAGRAPH.
   §  14. Paragraph (b) of subdivision 1 of section 2854 of the education
 law, as amended by section 10-b of part A of chapter 56 of the  laws  of
 2014, is amended to read as follows:
   (b)  A  charter  school  shall  meet the same health and safety, civil
 rights, and student assessment requirements applicable to  other  public
 schools,  except  as  otherwise specifically provided in this article. A
 charter school shall be exempt from all  other  state  and  local  laws,
 rules,  regulations  or  policies  governing  public or private schools,
 boards  of  education,  school  districts  and  political  subdivisions,
 including  those  relating  to  school personnel and students, except as
 specifically provided in the school's charter or in this article.  Noth-
 ing in this subdivision shall  affect  the  requirements  of  compulsory
 education  of  minors  established  by part one of article sixty-five of
 this chapter, NOR SHALL ANYTHING IN THIS SUBDIVISION AFFECT THE REQUIRE-
 MENTS OF THE CHARTER SCHOOL TO COMPLY WITH SECTION ONE HUNDRED THREE  OF
 THE  GENERAL  MUNICIPAL LAW AND ARTICLES EIGHT AND NINE OF THE LABOR LAW
 WITH RESPECT TO  THE  CONSTRUCTION,  RECONSTRUCTION,  DEMOLITION,  EXCA-
 VATION, REHABILITATION, REPAIR, RENOVATION, OR ALTERATION OF ANY CHARTER
 SCHOOL FACILITY.
   §  15. Subdivision 2 of section 2854 of the education law, as added by
 chapter 4 of the laws of 1998, paragraph (a) as amended by  chapter  101
 of  the  laws  of  2010,  and  paragraph  (b) as amended by section 3 of
 subpart A of part B of chapter 20 of the laws of  2015,  is  amended  to
 read as follows:
   2.  Admissions;  enrollment; students.   (a) A charter school shall be
 nonsectarian in its programs, admission policies, employment  practices,
 and  all other operations and shall not charge tuition or fees; provided
 that a charter school may require the payment of fees on the same  basis
 and  to  the same extent as other public schools. A charter school shall
 not discriminate against any student, employee or any  other  person  on
 the  basis  of  ethnicity, national origin, gender, or disability or any
 other ground that would be unlawful if done by a  school.  Admission  of
 students  shall  not  be  limited  on the basis of intellectual ability,
 measures of achievement or aptitude, athletic ability, disability, race,
 creed, gender, national origin, religion, or ancestry; provided,  howev-
 er,  that  nothing  in  this  article  shall be construed to prevent the
 establishment of  a  single-sex  charter  school  or  a  charter  school
 designed to provide expanded learning opportunities for students at-risk
 of  academic  failure or students with disabilities and English language
 learners; and provided, further, that the charter  school  shall  demon-
 strate  good faith efforts to attract and retain [a comparable] AN EQUAL
 or greater enrollment of students with  disabilities,  English  language
 learners,  and  students  who  are  eligible applicants for the free and
 reduced price lunch program when compared to the enrollment figures  for
 such  students  in  the  school  district in which the charter school is
 located. A charter shall not be issued to any school that would be whol-
 ly or in part under the control or direction of  any  religious  denomi-
 nation,  or  in  which  any  denominational  tenet  or doctrine would be
 taught.
 A. 4458                            11
 
   (b) (I) Any child who is qualified under the laws of  this  state  for
 admission  to  a  public  school is qualified for admission to a charter
 school. Applications for admission to a charter school shall be  submit-
 ted on a uniform application form created by the department and shall be
 made  available by a charter school in languages predominately spoken in
 the community in which such charter school is located.  [The]
   (II) A CHARTER SCHOOL SHALL ENROLL AND CONTINUALLY KEEP  ENROLLED  THE
 MINIMUM  NUMBER  OF  STUDENTS  IN  EACH OF THE FOLLOWING CATEGORIES: (A)
 STUDENTS WHO ARE ENGLISH LANGUAGE LEARNERS AS DEFINED IN REGULATIONS  OF
 THE  COMMISSIONER,  (B)  STUDENTS WHO RECEIVE OR ARE MANDATED TO RECEIVE
 ANY SPECIAL EDUCATION SERVICE, (C) STUDENTS WHO HAVE  INDIVIDUAL  EDUCA-
 TION PLANS THAT MANDATE THEY RECEIVE SERVICES FOR AT LEAST SIXTY PERCENT
 OF  THE  SCHOOL  DAY OUTSIDE THE GENERAL EDUCATION SETTING, (D) STUDENTS
 WHO ARE ELIGIBLE TO RECEIVE FREE LUNCH IN ACCORDANCE WITH TITLE I OF THE
 ELEMENTARY AND SECONDARY EDUCATION ACT, AND (E) STUDENTS WHO  RESIDE  IN
 TEMPORARY  OR  TRANSITIONAL  HOUSING.  THE  MINIMUM NUMBER OF STUDENTS A
 CHARTER SCHOOL MUST ENROLL AND CONTINUALLY KEEP ENROLLED  IN  EACH  SUCH
 CATEGORY  SHALL  BE  THE NUMBER OF STUDENTS THAT, AS A PERCENTAGE OF THE
 STUDENTS AUTHORIZED TO BE SERVED BY THE CHARTER SCHOOL IN  ITS  CHARTER,
 IS EQUAL TO THE PERCENTAGE OF STUDENTS IN EACH CATEGORY THAT NON-CHARTER
 PUBLIC  SCHOOLS  IN  THE  DISTRICT  WHERE  THE CHARTER SCHOOL IS LOCATED
 ENROLLED IN THE PRECEDING JUNE IN ALL OF THE GRADES COMBINED  WHICH  ARE
 SERVED BY THE CHARTER SCHOOL. FOR PURPOSES OF THIS SUBPARAGRAPH, FOR THE
 CITY  SCHOOL  DISTRICT  OF THE CITY OF NEW YORK, DISTRICT SHALL MEAN THE
 COMMUNITY SCHOOL DISTRICT  AND  SHALL  INCLUDE  ALL  NON-CHARTER  PUBLIC
 SCHOOLS,  EXCEPT  THOSE IN DISTRICT SEVENTY-FIVE, GEOGRAPHICALLY LOCATED
 IN THE COMMUNITY SCHOOL DISTRICT.
   (III) PRIOR TO A CHARTER SCHOOL SELECTING OR  ENROLLING  STUDENTS  FOR
 THE  NEXT SCHOOL YEAR, THE COMMISSIONER SHALL PROVIDE THE CHARTER SCHOOL
 WITH THE MINIMUM NUMBER OF STUDENTS IT MUST ENROLL AND CONTINUALLY  KEEP
 ENROLLED  IN  EACH  CATEGORY PURSUANT TO SUBPARAGRAPH (II) OF THIS PARA-
 GRAPH. THE MINIMUM NUMBER OF STUDENTS EACH CHARTER  SCHOOL  MUST  ENROLL
 AND  CONTINUALLY KEEP ENROLLED IN EACH CATEGORY PURSUANT TO SUBPARAGRAPH
 (II) OF THIS PARAGRAPH SHALL BE MADE PUBLIC BY THE COMMISSIONER NO LATER
 THAN FIVE BUSINESS DAYS AFTER  IT  HAS  BEEN  PROVIDED  TO  THE  CHARTER
 SCHOOL.
   (IV) A CHARTER school shall enroll each eligible student who submits a
 timely  application  by  the  first day of April each year[,] unless the
 number of applications exceeds the capacity of the grade level or build-
 ing OR WOULD CAUSE THE CHARTER SCHOOL TO BE BELOW THE MINIMUM NUMBER  OF
 STUDENTS  IT  MUST ENROLL AND CONTINUALLY KEEP ENROLLED IN EACH CATEGORY
 PURSUANT TO SUBPARAGRAPH (II) OF THIS PARAGRAPH. In such cases, students
 shall be accepted from among applicants by a random  selection  process,
 provided[,  however,]  that SEPARATE RANDOM SELECTION PROCESSES SHALL BE
 CONDUCTED FOR STUDENTS THAT ARE NOT IN ANY CATEGORY SET FORTH IN SUBPAR-
 AGRAPH (II) OF THIS PARAGRAPH AND FOR  STUDENTS  IN  EACH  CATEGORY  SET
 FORTH  IN SUBPARAGRAPH (II) OF THIS PARAGRAPH SUCH THAT A CHARTER SCHOOL
 ENROLLS AT LEAST THE MINIMUM NUMBER OF  STUDENTS  REQUIRED  PURSUANT  TO
 SUBPARAGRAPH (II) OF THIS PARAGRAPH.
   (V)  WHERE  A  CHARTER  SCHOOL  DOES  NOT ENROLL THE MINIMUM NUMBER OF
 STUDENTS IT MUST ENROLL AND CONTINUALLY KEEP ENROLLED IN  EACH  CATEGORY
 SET  FORTH  IN  SUBPARAGRAPH  (II) OF THIS PARAGRAPH, THE CHARTER SCHOOL
 SHALL HOLD OPEN A SUFFICIENT NUMBER OF ENROLLMENT SPACES SUCH THAT IT IS
 POSSIBLE FOR THE CHARTER SCHOOL, CONSISTENT WITH ITS CHARTER, TO  SUBSE-
 QUENTLY  ENROLL  THE NUMBER OF STUDENTS REQUIRED BY SUBPARAGRAPH (II) OF
 THIS PARAGRAPH.
 A. 4458                            12
 
   (VI) A CHARTER SCHOOL MAY PROVIDE an enrollment preference  [shall  be
 provided] to pupils returning to the charter school in the second or any
 subsequent  year of operation and pupils residing in the school district
 in which the charter school is located, and siblings of  pupils  already
 enrolled  in the charter school PROVIDED THAT THE CHARTER SCHOOL ENROLLS
 AND CONTINUALLY KEEPS ENROLLED THE MINIMUM NUMBER OF  STUDENTS  REQUIRED
 IN  EACH  CATEGORY  PURSUANT  TO SUBPARAGRAPH (II) OF THIS PARAGRAPH AND
 HOLDS OPEN THE NUMBER OF ENROLLMENT SPACES AS REQUIRED  BY  SUBPARAGRAPH
 (V)  OF  THIS PARAGRAPH.  Preference may also be provided to children of
 employees of the charter  school  or  charter  management  organization,
 PROVIDED  THAT THE CHARTER SCHOOL ENROLLS AND CONTINUALLY KEEPS ENROLLED
 THE MINIMUM NUMBER OF STUDENTS REQUIRED IN  EACH  CATEGORY  PURSUANT  TO
 SUBPARAGRAPH (II) OF THIS PARAGRAPH AND HOLDS OPEN THE NUMBER OF ENROLL-
 MENT  SPACES  AS  REQUIRED  BY  SUBPARAGRAPH  (V)  OF THIS PARAGRAPH AND
 provided FURTHER that such children of employees may constitute no  more
 than fifteen percent of the charter school's total enrollment.
   (VII)  FOR  PURPOSES  OF THIS PARAGRAPH, IF A STUDENT WITHDRAWS FROM A
 CHARTER SCHOOL AS A RESULT OF A  VOLUNTARY  DECISION  OF  THE  STUDENT'S
 PARENT OR GUARDIAN AND, AS A DIRECT RESULT, THE CHARTER SCHOOL NO LONGER
 HAS THE MINIMUM NUMBER OF STUDENTS IN EACH CATEGORY REQUIRED PURSUANT TO
 SUBPARAGRAPH  (II) OF THIS PARAGRAPH, THE CHARTER SCHOOL SHALL NEVERTHE-
 LESS BE CONSIDERED TO HAVE CONTINUALLY KEPT ENROLLED THE MINIMUM  NUMBER
 OF  STUDENTS  REQUIRED BY SUBPARAGRAPH (II) OF THIS PARAGRAPH IF, WITHIN
 THIRTY DAYS OF THE STUDENT BEING WITHDRAWN, THE CHARTER SCHOOL  REPLACES
 THE  STUDENT  THAT  WAS WITHDRAWN WITH A DIFFERENT STUDENT SUCH THAT THE
 CHARTER SCHOOL HAS THE MINIMUM  NUMBER  OF  STUDENTS  IN  EACH  CATEGORY
 REQUIRED  PURSUANT  TO  SUBPARAGRAPH  (II)  OF  THIS PARAGRAPH, PROVIDED
 HOWEVER, THAT THIS SUBPARAGRAPH SHALL  NOT  APPLY  (A)  IF  THE  CHARTER
 SCHOOL WAS ALREADY IN VIOLATION OF THE REQUIREMENTS OF SUBPARAGRAPH (II)
 OF  THIS  PARAGRAPH  AT THE TIME THE STUDENT WAS WITHDRAWN OR (B) IF THE
 DECISION OF THE STUDENT'S PARENT OR GUARDIAN WAS SUBSTANTIALLY MOTIVATED
 BY ANY ACTION OR INACTION OF THE CHARTER SCHOOL, OR ANY OF ITS AGENTS OR
 EMPLOYEES, THAT WAS IN VIOLATION OF ANY LAW, RULE, OR REGULATION.
   (VIII) (A) A CHARTER SCHOOL SHALL REPORT THE NAMES OF ANY  PARENTS  OR
 GUARDIANS  OF STUDENTS WHO ARE ON A WAITLIST FOR ENROLLMENT IN THE CHAR-
 TER SCHOOL TO THE SUPERINTENDENT OF THE DISTRICT IN  WHICH  THE  CHARTER
 SCHOOL  IS LOCATED OR, FOR CHARTER SCHOOLS LOCATED WITHIN THE GEOGRAPHIC
 AREA SERVED BY THE CITY SCHOOL DISTRICT OF THE CITY  OF  NEW  YORK,  THE
 CHANCELLOR  OF THE CITY SCHOOL DISTRICT OF THE CITY OF NEW YORK, WHETHER
 EACH SUCH STUDENT IS IN ONE OF THE CATEGORIES SET FORTH IN  SUBPARAGRAPH
 (II) OF THIS PARAGRAPH AND, IF SO, WHICH ONE.
   (B)  A  CHARTER  SCHOOL  THAT, AT ANY TIME, DOES NOT HAVE ENROLLED THE
 MINIMUM NUMBER OF STUDENTS REQUIRED IN EACH CATEGORY PURSUANT TO SUBPAR-
 AGRAPH (II) OF THIS PARAGRAPH SHALL NOTIFY  THE  SUPERINTENDENT  OF  THE
 DISTRICT  IN WHICH THE CHARTER SCHOOL IS LOCATED OR, FOR CHARTER SCHOOLS
 LOCATED WITHIN THE GEOGRAPHIC AREA SERVED BY THE CITY SCHOOL DISTRICT OF
 THE CITY OF NEW YORK, THE CHANCELLOR OF THE CITY SCHOOL DISTRICT OF  THE
 CITY OF NEW YORK, WITHIN FIVE DAYS OF THE DATE OF THE SCHOOL BEING BELOW
 THE  MINIMUM  NUMBER  OF  STUDENTS.  A  SEPARATE  NOTIFICATION  SHALL BE
 PROVIDED EACH TIME A CHARTER SCHOOL'S ENROLLMENT FALLS BELOW THE MINIMUM
 IN ANY CATEGORY PURSUANT TO SUBPARAGRAPH (II) OF THIS PARAGRAPH.
   (C) WHERE THE SUPERINTENDENT OF THE DISTRICT OR THE CHANCELLOR OF  THE
 CITY  SCHOOL  DISTRICT  OF  THE  CITY  OF NEW YORK RECEIVES NOTIFICATION
 PURSUANT TO CLAUSE (B) OF THIS SUBPARAGRAPH, HE OR SHE SHALL FIRST OFFER
 THE ENROLLMENT SPACES TO ANY PARENTS OR GUARDIANS OF STUDENTS WHO ARE IN
 A CATEGORY IN WHICH THE CHARTER SCHOOL IS BELOW THE MINIMUM SET FORTH IN
 A. 4458                            13
 
 SUBPARAGRAPH (II) OF THIS PARAGRAPH WHO ARE ON  THE  SCHOOL'S  WAITLIST,
 THEN  TO  ANY  PARENTS OR GUARDIANS OF STUDENTS WHO ARE IN A CATEGORY IN
 WHICH THE CHARTER SCHOOL IS BELOW THE MINIMUM SET FORTH IN  SUBPARAGRAPH
 (II) OF THIS PARAGRAPH WHO ARE ON THE WAITLIST OF ANOTHER CHARTER SCHOOL
 IN  THE  DISTRICT IN WHICH THE CHARTER SCHOOL IS LOCATED OR, FOR CHARTER
 SCHOOLS LOCATED WITHIN THE GEOGRAPHIC AREA SERVED  BY  THE  CITY  SCHOOL
 DISTRICT OF THE CITY OF NEW YORK GEOGRAPHICALLY LOCATED IN THE COMMUNITY
 SCHOOL  DISTRICT, AND THEN TO ANY OTHER PARENTS OR GUARDIANS OF STUDENTS
 WHO ARE IN A CATEGORY IN WHICH THE CHARTER SCHOOL IS BELOW  THE  MINIMUM
 SET  FORTH  IN  SUBPARAGRAPH  (II)  OF  THIS PARAGRAPH WHO RESIDE IN THE
 DISTRICT; SUCH PROCESS OF ENROLLMENT OFFERS  SHALL  CONTINUE  UNTIL  THE
 CHARTER  SCHOOL  IS NO LONGER BELOW SUCH MINIMUM IN ANY CATEGORY OR SUCH
 SUPERINTENDENT OR CHANCELLOR CERTIFIES THERE ARE NO SUCH STUDENTS  SEEK-
 ING ENROLLMENT.
   (D) OFFERS MADE PURSUANT TO THIS SUBPARAGRAPH SHALL BE MADE IN WRITING
 IN  THE  PARENT  OR GUARDIAN'S PRIMARY LANGUAGE.  WHERE AN OFFER IS MADE
 PURSUANT TO THIS SUBPARAGRAPH AND THE PARENT OR  GUARDIAN  ACCEPTS,  THE
 CHARTER SCHOOL SHALL ENROLL THE STUDENT WITHIN FIVE CALENDAR DAYS OF THE
 OFFER BEING ACCEPTED.
   (IX) (A) FOR EACH MONTH DURING THE SCHOOL YEAR, A CHARTER SCHOOL SHALL
 REPORT  THE NUMBER OF STUDENTS THEN ENROLLED, AS OF THE FIRST DAY OF THE
 MONTH, IN EACH CATEGORY SET FORTH IN SUBPARAGRAPH (II) OF THIS PARAGRAPH
 AND THE NUMBER OF STUDENTS THEN ENROLLED, AS OF THE  FIRST  DAY  OF  THE
 MONTH, THAT ARE IN NONE OF THE CATEGORIES SET FORTH IN SUBPARAGRAPH (II)
 OF THIS PARAGRAPH.
   (B)  REPORTS  PURSUANT TO THIS SUBPARAGRAPH SHALL BE MADE TO THE BOARD
 OF REGENTS, THE SCHOOL'S CHARTER ENTITY, THE COMPTROLLER OF THE CITY  OF
 NEW  YORK  FOR  CHARTER  SCHOOLS  LOCATED IN NEW YORK CITY AND THE COMP-
 TROLLER OF THE STATE OF NEW YORK FOR CHARTER SCHOOLS LOCATED OUTSIDE  OF
 THE  CITY  OF  NEW YORK, AND THE SUPERINTENDENT OF THE DISTRICT IN WHICH
 THE CHARTER SCHOOL IS LOCATED OR, FOR CHARTER SCHOOLS LOCATED WITHIN THE
 GEOGRAPHIC AREA SERVED BY THE CITY SCHOOL DISTRICT OF THE  CITY  OF  NEW
 YORK,  THE  CHANCELLOR  OF  THE  CITY SCHOOL DISTRICT OF THE CITY OF NEW
 YORK. THE COMMISSIONER SHALL ENSURE THAT SUCH REPORT  IS  MADE  PUBLICLY
 AVAILABLE  VIA  SUCH  DEPARTMENT'S OFFICIAL INTERNET WEBSITE WITHIN FIVE
 DAYS OF ITS RECEIPT.
   (C) REPORTS PURSUANT TO THIS SUBPARAGRAPH SHALL BE MADE ON  THE  FIFTH
 DAY OF THE ENSUING MONTH DURING THE SCHOOL YEAR AND SHALL BE ACCOMPANIED
 BY  A STATEMENT, UNDER OATH, BY THE CHAIRPERSON OF THE SCHOOL'S BOARD OF
 TRUSTEES OR OTHER APPROPRIATE MEMBER OF THE  BOARD  OF  TRUSTEES,  THAT,
 AFTER  THE  DUE  INQUIRY, THE REPORTS ARE TRUE AND CORRECT AND HAVE BEEN
 PROVIDED TO EACH MEMBER OF THE SCHOOL'S BOARD OF TRUSTEES.
   (X) The commissioner shall establish regulations to require  that  the
 random  selection  [process]  PROCESSES conducted pursuant to this para-
 graph be performed in a transparent and equitable manner and to  require
 that the time and place of the random selection process be publicized in
 a manner consistent with the requirements of section one hundred four of
 the  public  officers  law and be open to the public. [For] EXCEPT WHERE
 ANOTHER DEFINITION IS PROVIDED, FOR the purposes of this  paragraph  and
 paragraph  (a)  of  this  subdivision,  the school district in which the
 charter school is located shall mean, for the city  school  district  of
 the city of New York, the community district in which the charter school
 is located.
   (XI)  THE COMMISSIONER MAY, BY REGULATION, REQUIRE THE BOARD OF EDUCA-
 TION OF EACH SCHOOL DISTRICT  OR  THE  CHANCELLOR  OF  THE  CITY  SCHOOL
 DISTRICT  OF THE CITY OF NEW YORK TO PROVIDE TO HIM OR HER SUCH INFORMA-
 A. 4458                            14
 
 TION AS IS NECESSARY TO CALCULATE THE MINIMUM NUMBER OF STUDENTS A CHAR-
 TER SCHOOL MUST ENROLL AND CONTINUALLY HAVE ENROLLED PURSUANT TO SUBPAR-
 AGRAPH (II) OF THIS PARAGRAPH. SUCH INFORMATION SHALL BE MADE PUBLIC  BY
 THE COMMISSIONER WITHIN FIVE BUSINESS DAYS OF RECEIPT.
   (XII)(A)  IF  A  CHARTER SCHOOL FAILS TO ENROLL THE NUMBER OF STUDENTS
 REQUIRED BY SUBPARAGRAPH (II) OF THIS PARAGRAPH THE  APPROPRIATE  SCHOOL
 DISTRICT  SHALL  WITHHOLD  FROM  THE  CHARTER SCHOOL'S FUNDING AN AMOUNT
 EQUAL TO THE ADDITIONAL PER PUPIL FUNDING THE CHARTER SCHOOL WOULD  HAVE
 RECEIVED  HAD EACH STUDENT NOT ENROLLED AS REQUIRED BY SUBPARAGRAPH (II)
 OF THIS PARAGRAPH BEEN ENROLLED.
   (B) MONEY WITHHELD BY THE SCHOOL  DISTRICT  IN  ACCORDANCE  WITH  THIS
 SUBPARAGRAPH  SHALL  BE RETURNED TO THE COMMISSIONER FOR DISTRIBUTION TO
 EACH OF THE SCHOOL DISTRICTS, USING AN EQUITABLE FORMULA  DETERMINED  BY
 THE  COMMISSIONER, PROVIDED THE CHARTER SCHOOL OR SCHOOLS FROM WHICH THE
 MONIES ARE WITHHELD SHALL NOT BE ENTITLED TO THE  RETURN  OF  ANY  MONEY
 WITHHELD  PURSUANT  TO  THIS  SUBPARAGRAPH OR ANY ADDITIONAL MONIES AS A
 RESULT OF THE COMMISSIONER'S DISTRIBUTION  OF  FUNDS  PURSUANT  TO  THIS
 SUBPARAGRAPH.
   (XIII) (A) NO CHARTER SCHOOL SHALL FIRST COMMENCE INSTRUCTION IF IT IS
 OPERATED  BY,  MANAGED BY, AFFILIATED WITH, IN THE SAME CHAIN AS, SHARES
 THE SAME MANAGEMENT COMPANY AS, OR HAS ANY COMMON CHARTER APPLICANT  AS,
 A  SCHOOL  THAT HAS BEEN IN VIOLATION, WITHIN THE LAST TWO YEARS, OF THE
 ENROLLMENT REQUIREMENTS OF SUBPARAGRAPH (II) OF THIS PARAGRAPH.
   (B) NO CHARTER SCHOOL SHALL EXPAND BEYOND  THE  GRADES  WITH  ENROLLED
 STUDENTS, EVEN IF SUCH EXPANSION IS AUTHORIZED BY ITS CHARTER, IF IT HAS
 BEEN IN VIOLATION, WITHIN THE LAST TWO YEARS, OF THE ENROLLMENT REQUIRE-
 MENTS OF SUBPARAGRAPH (II) OF THIS PARAGRAPH.
   (C) A CHARTER SCHOOL THAT DOES NOT HAVE ENROLLED THE MINIMUM NUMBER OF
 STUDENTS AS REQUIRED BY SUBPARAGRAPH (II) OF THIS PARAGRAPH SHALL NOT BE
 OFFERED  OR  ENTITLED  PURSUANT TO PARAGRAPH (E) OF SUBDIVISION THREE OF
 SECTION TWENTY-EIGHT HUNDRED FIFTY-THREE OF THIS ARTICLE (1) A  CO-LOCA-
 TION  SITE  IN  A  PUBLIC  SCHOOL  BUILDING AT NO COST OR (2) SPACE IN A
 PRIVATELY OWNED OR OTHER PUBLICLY OWNED FACILITY AT THE EXPENSE  OF  THE
 CITY  SCHOOL DISTRICT. A CHARTER SCHOOL THAT HAS ALREADY BEEN CO-LOCATED
 IN A PUBLIC SCHOOL BUILDING OR GIVEN SPACE IN A PRIVATELY OWNED OR OTHER
 PUBLICLY OWNED FACILITY PURSUANT TO THIS PARAGRAPH  AND  THEN  FAILS  TO
 CONTINUALLY  HAVE ENROLLED THE REQUIRED MINIMUM NUMBER OF STUDENTS SHALL
 BE REQUIRED TO PAY THE FAIR MARKET VALUE OF SUCH SPACE FOR  SUCH  PERIOD
 OF TIME OF NON-COMPLIANCE.
   (XIV)  THE  PROVISIONS  OF  THIS PARAGRAPH SHALL BE ENFORCEABLE BY THE
 COMMISSIONER OR BY A COURT OF COMPETENT JURISDICTION.  ANY  EMPLOYEE  OF
 THE SCHOOL DISTRICT IN WHICH THE CHARTER SCHOOL IS LOCATED OR THE PARENT
 OR  GUARDIAN  OF  A  STUDENT ATTENDING THE DISTRICT IN WHICH THE CHARTER
 SCHOOL IS LOCATED SHALL HAVE STANDING TO ENFORCE THE PROVISIONS OF  THIS
 PARAGRAPH.
   (XV)  A CHARTER SCHOOL'S FAILURE TO COMPLY WITH THE PROVISIONS OF THIS
 PARAGRAPH SHALL BE A VERY SIGNIFICANT FACTOR IN DETERMINING WHETHER  THE
 CHARTER ENTITY OR THE BOARD OF REGENTS TERMINATES THE SCHOOL'S CHARTER.
   (B-1)  PRIOR  TO  SUBMISSION OF ENROLLMENT COUNTS TO A SCHOOL DISTRICT
 PURSUANT TO SUBDIVISION ONE OF SECTION TWENTY-EIGHT HUNDRED FIFTY-SIX OF
 THIS ARTICLE, ON OR AFTER OCTOBER FIRST  OF  THE  TWO  THOUSAND  TWENTY-
 THREE--TWO  THOUSAND  TWENTY-FOUR  SCHOOL YEAR AND OCTOBER FIRST OF EACH
 SCHOOL YEAR THEREAFTER, A CHARTER SCHOOL SHALL  DETERMINE  WHETHER  THAT
 SCHOOL  DISTRICT IS THE SCHOOL DISTRICT OF RESIDENCE OF EACH STUDENT FOR
 WHOM ENROLLMENT IS CLAIMED. SUCH RESIDENCY DETERMINATION SHALL  BE  MADE
 IN ACCORDANCE WITH THE REGULATIONS OF THE COMMISSIONER AND THE RESIDENCY
 A. 4458                            15
 
 POLICY  OF  THE  SCHOOL DISTRICT IN WHICH THE CHARTER SCHOOL IS LOCATED,
 PROVIDED THAT THE CHARTER SCHOOL MAY FULFILL SUCH REQUIREMENT BY REQUIR-
 ING THAT THE PARENTS OR OTHER  PERSONS  IN  PARENTAL  RELATION  REGISTER
 THEIR  CHILD  WITH  THE  SCHOOL  DISTRICT  THEY HAVE IDENTIFIED AS THEIR
 SCHOOL DISTRICT OF RESIDENCE.   NOTWITHSTANDING ANY OTHER  PROVISION  OF
 LAW  TO  THE CONTRARY, THE PARENTS OR OTHER PERSONS IN PARENTAL RELATION
 SHALL NOT BE REQUIRED  TO  ANNUALLY  PROVE  THEIR  CONTINUED  RESIDENCY,
 PROVIDED THAT THEY EITHER ANNUALLY CERTIFY TO THE CHARTER SCHOOL AND THE
 SCHOOL  DISTRICT  OF  RESIDENCE  THAT THEIR RESIDENCY HAS NOT CHANGED OR
 NOTIFY THE CHARTER SCHOOL AND THE SCHOOL DISTRICT THAT  THEIR  RESIDENCY
 HAS  CHANGED AND THAT A NEW SCHOOL DISTRICT OF RESIDENCE SHOULD BE IDEN-
 TIFIED PURSUANT TO THIS PARAGRAPH.  UPON  MAKING  A  RESIDENCY  DETERMI-
 NATION,  A  CHARTER  SCHOOL MAKING ITS OWN RESIDENCY DETERMINATION SHALL
 PROMPTLY SUBMIT ITS PROOF OF RESIDENCE TO THE SCHOOL DISTRICT IDENTIFIED
 AS THE DISTRICT OF RESIDENCE FOR PURPOSES OF ENROLLMENT OF  THE  STUDENT
 IN  SUCH  SCHOOL  DISTRICT IN ACCORDANCE WITH SUBDIVISION ONE OF SECTION
 TWENTY-EIGHT HUNDRED FIFTY-SIX OF THIS ARTICLE,  AND  THE  PROVISION  OF
 SERVICES  PURSUANT  TO  SUBDIVISION FOUR OF SECTION TWENTY-EIGHT HUNDRED
 FIFTY-THREE OF THIS ARTICLE. IN THE EVENT OF A DISPUTE OVER THE RESIDEN-
 CY OF A STUDENT, THE SCHOOL DISTRICT SHALL MAKE ITS OWN RESIDENCY DETER-
 MINATION PURSUANT TO THE REGULATIONS OF THE COMMISSIONER AFTER CONSIDER-
 ING THE PROOF OF RESIDENCY SUBMITTED BY THE  CHARTER  SCHOOL,  AND  SUCH
 DETERMINATION  MAY BE APPEALED TO THE COMMISSIONER BY THE CHARTER SCHOOL
 OR BY THE PARENT OR OTHER PERSON IN PARENTAL RELATION OR  BOTH  PURSUANT
 TO  SECTION  THREE  HUNDRED  TEN OF THIS CHAPTER. DURING THE PENDENCY OF
 SUCH APPEAL,  THE  STUDENT  SHALL  BE  DEEMED  ENROLLED  IN  THE  SCHOOL
 DISTRICT,  SHALL BE ENTITLED TO SERVICES PURSUANT TO SUBDIVISION FOUR OF
 SECTION TWENTY-EIGHT HUNDRED FIFTY-THREE OF THIS ARTICLE, AND THE SCHOOL
 DISTRICT SHALL BE LIABLE FOR CHARTER SCHOOL TUITION, PROVIDED THAT  UPON
 A  FINAL DETERMINATION IN SUCH APPEAL THAT THE STUDENT IS NOT A RESIDENT
 OF THE SCHOOL DISTRICT, THE SCHOOL DISTRICT MAY DEDUCT THE COST OF  SUCH
 TUITION  AND  SERVICES  FROM FUTURE PAYMENTS DUE THE CHARTER SCHOOL. THE
 PROVISIONS OF THIS PARAGRAPH SHALL NOT APPLY TO CHARTER SCHOOLS  LOCATED
 IN A CITY HAVING A POPULATION OF ONE MILLION OR MORE.
   (c) A charter school shall serve one or more of the grades one through
 twelve,  and  shall  limit  admission  to pupils within the grade levels
 served. Nothing herein shall prohibit a charter school from establishing
 a kindergarten program.
   (d) A student may withdraw from a  charter  school  at  any  time  and
 enroll in a public school. [A charter school may refuse admission to any
 student  who  has  been expelled or suspended from a public school until
 the period of  suspension  or  expulsion  from  the  public  school  has
 expired, consistent with the requirements of due process]
   (I)  A  STUDENT  MAY ONLY BE DISCIPLINED, SUSPENDED OR EXPELLED FROM A
 CHARTER SCHOOL IN ACCORDANCE WITH THE APPLICABLE PROVISIONS OF  SUBDIVI-
 SIONS  TWO-A,  THREE, AND THREE-A OF SECTION THIRTY-TWO HUNDRED FOURTEEN
 OF THIS CHAPTER. EVERY CHARTER SCHOOL SHALL DEVELOP A CODE OF CONDUCT IN
 ACCORDANCE WITH THE PROVISIONS OF SECTION TWENTY-EIGHT  HUNDRED  ONE  OF
 THIS TITLE.
   (II)  EVERY  CHARTER  SCHOOL  SHALL  SUBMIT  A  DETAILED ANNUAL REPORT
 REGARDING DISCIPLINARY MEASURES IMPOSED ON STUDENTS. THE REPORT SHALL BE
 SUBMITTED TO THE CHARTER ENTITY AND THE BOARD OF REGENTS AS PART OF  THE
 ANNUAL  REPORT  REQUIRED  PURSUANT TO SUBDIVISION TWO OF SECTION TWENTY-
 EIGHT HUNDRED FIFTY-SEVEN OF THIS ARTICLE. THE REPORT SHALL BE IN A FORM
 PRESCRIBED BY THE COMMISSIONER, AND SHALL INCLUDE, BUT  NOT  BE  LIMITED
 TO,  NUMBER  OF  CLASSROOM  REMOVALS,  NUMBER  OF IN-SCHOOL SUSPENSIONS,
 A. 4458                            16
 
 NUMBER OF OUT-OF-SCHOOL  SUSPENSIONS,  NUMBER  OF  EXPULSIONS,  AND  THE
 ACTION  THE  STUDENT TOOK THAT LED TO EACH DISCIPLINARY MEASURE IMPOSED.
 SUCH DATA SHALL BE DISAGGREGATED BY RACE/ETHNICITY, STATUS AS A  STUDENT
 WITH A DISABILITY AND STATUS AS AN ENGLISH LANGUAGE LEARNER.  THE REPORT
 SHALL BE POSTED ON THE DEPARTMENT'S WEBSITE.
   (III) FOR THE PURPOSES OF THIS SUBDIVISION:
   (A)  THE TERM "SUPERINTENDENT," "SUPERINTENDENT OF SCHOOLS," "DISTRICT
 SUPERINTENDENT OF SCHOOLS," OR "COMMUNITY SUPERINTENDENT,"  AS  USED  IN
 SUBDIVISION  THREE  OF SECTION THIRTY-TWO HUNDRED FOURTEEN OF THIS CHAP-
 TER, AS SUCH TERMS RELATE TO CHARTER SCHOOLS SHALL MEAN THE  CHAIRPERSON
 OF THE BOARD OF TRUSTEES OF THE CHARTER SCHOOL OR THE CHIEF SCHOOL OFFI-
 CER OF THE CHARTER SCHOOL; AND
   (B)  THE  TERM "BOARD OF EDUCATION" OR "BOARD," AS USED IN SUBDIVISION
 THREE OF SECTION THIRTY-TWO HUNDRED FOURTEEN OF THIS  CHAPTER,  AS  SUCH
 TERMS  RELATE TO CHARTER SCHOOLS SHALL MEAN THE BOARD OF TRUSTEES OF THE
 CHARTER SCHOOL.
   § 16. Subdivision 1 of section 2855 of the education law,  as  amended
 by chapter 101 of the laws of 2010, is amended to read as follows:
   1.  The charter entity, or the board of regents, may terminate a char-
 ter upon any of the following grounds:
   (a) When a charter school's outcome  on  student  assessment  measures
 adopted  by  the board of regents falls below the level that would allow
 the commissioner to revoke the registration of  another  public  school,
 and  student achievement on such measures has not shown improvement over
 the preceding three school years;
   (b) [Serious violations] A VIOLATION of law;
   (c) [Material and substantial] A violation of the charter[,  including
 fiscal mismanagement];
   (d)  When  the public employment relations board makes a determination
 that the charter school [demonstrates a practice and  pattern  of  egre-
 gious  and  intentional  violations  of] HAS VIOLATED subdivision one of
 section two hundred nine-a of the civil service law involving  interfer-
 ence  with or discrimination against employee rights under article four-
 teen of the civil service law; or THE  NATIONAL  LABOR  RELATIONS  BOARD
 CREATED  PURSUANT TO SUBCHAPTER II OF CHAPTER SEVEN OF TITLE TWENTY-NINE
 OF THE UNITED STATES CODE, OR ANY PERSON OR ENTITY TO WHOM THE  NATIONAL
 LABOR  RELATIONS  BOARD  HAS  LAWFULLY  DELEGATED ITS AUTHORITY, MAKES A
 DETERMINATION THAT THE CHARTER SCHOOL HAS  VIOLATED  SECTION  158(A)  OF
 TITLE TWENTY-NINE OF THE UNITED STATES CODE; OR
   (e) [Repeated failure to comply with the requirement to meet or exceed
 enrollment  and retention targets of students with disabilities, English
 language learners, and students who are eligible applicants for the free
 and reduced price lunch program pursuant to targets established  by  the
 board of regents or the board of trustees of the state university of New
 York,  as applicable. Provided, however, if no grounds for terminating a
 charter are established pursuant to this section other than pursuant  to
 this  paragraph,  and  the  charter school demonstrates that it has made
 extensive  efforts  to  recruit  and  retain  such  students,  including
 outreach  to parents and families in the surrounding communities, widely
 publicizing the lottery for such school,  and  efforts  to  academically
 support such students in such charter school, then the charter entity or
 board  of  regents  may retain such charter.] FAILURE TO COMPLY WITH THE
 REQUIREMENTS OF PARAGRAPH (B) OF SUBDIVISION TWO OF SECTION TWENTY-EIGHT
 HUNDRED FIFTY-FOUR OF THIS ARTICLE; OR
 A. 4458                            17
 
   (F) FAILURE TO COMPLY WITH THE DATA REPORTING REQUIREMENTS  PRESCRIBED
 IN SUBDIVISIONS TWO AND TWO-A OF SECTION TWENTY-EIGHT HUNDRED FIFTY-SEV-
 EN OF THIS ARTICLE.
   §  17. Subdivision 3 of section 2855 of the education law, as added by
 chapter 4 of the laws of 1998, is amended to read as follows:
   3. (A) In addition to  the  provisions  of  subdivision  two  of  this
 section,  the charter entity or the board of regents may place a charter
 school falling within the provisions of subdivision one of this  section
 on  probationary status to allow the implementation of a remedial action
 plan.  The failure of a charter school to  comply  with  the  terms  and
 conditions of a remedial action plan may result in summary revocation of
 the school's charter.
   (B) A CHARTER SCHOOL THAT IS PLACED ON PROBATIONARY STATUS SHALL ANNU-
 ALLY  NOTIFY  THE PARENTS OR GUARDIANS OF ALL STUDENTS AND APPLICANTS OF
 THE PLACEMENT.  THE INITIAL NOTICE SHALL BE DISTRIBUTED WITHIN TWO WEEKS
 OF BEING PLACED ON PROBATIONARY STATUS. SUCH NOTICE SHALL BE WRITTEN AND
 DELIVERED VIA MAIL. THE DEPARTMENT SHALL IDENTIFY ALL CHARTER SCHOOLS ON
 PROBATIONARY STATUS ON THE DEPARTMENT'S WEBSITE AND SHALL ALSO POST  THE
 REMEDIAL ACTION PLAN.
   §  18. Subdivision 4 of section 2855 of the education law, as added by
 chapter 4 of the laws of 1998, is amended to read as follows:
   4. (A) Any individual or group may bring a complaint to the  board  of
 trustees  of  a charter school alleging a violation of the provisions of
 this article, the charter, or any other provision of law relating to the
 management or operation of the charter school. If, after presentation of
 the complaint to the board of trustees of a charter school, the individ-
 ual or group determines that such board has not adequately addressed the
 complaint, they may present that complaint to the charter entity,  which
 shall  investigate  and respond. If, after presentation of the complaint
 to the charter entity, the individual or group determines that the char-
 ter entity has not adequately addressed the complaint, they may  present
 that  complaint  to  the  board  of regents, which shall investigate and
 respond. The charter entity and the board  of  regents  shall  have  the
 power  and  the  duty  to  issue  appropriate remedial orders to charter
 schools under their jurisdiction to effectuate the  provisions  of  this
 section.
   (B)  AT  THE  BEGINNING  OF  EACH  SCHOOL YEAR, A CHARTER SCHOOL SHALL
 PROVIDE THE PARENT OR GUARDIAN OF EACH STUDENT ENROLLED IN  THE  CHARTER
 SCHOOL  INFORMATION  DETAILING  THE  PROCESS BY WHICH A COMPLAINT CAN BE
 BROUGHT AGAINST THE CHARTER SCHOOL PURSUANT TO  PARAGRAPH  (A)  OF  THIS
 SUBDIVISION.  IN  ADDITION TO DETAILING THE PROCESS BY WHICH A COMPLAINT
 CAN BE BROUGHT, THE INFORMATION  PROVIDED  SHALL  INCLUDE,  BUT  NOT  BE
 LIMITED  TO  THE  CONTACT  INFORMATION  FOR THE BOARD OF TRUSTEES OF THE
 CHARTER SCHOOL IN WHICH THE STUDENT IS ENROLLED, THE CONTACT INFORMATION
 FOR THE CHARTER ENTITY OF THE CHARTER SCHOOL, AND THE  CONTACT  INFORMA-
 TION  FOR THE BOARD OF REGENTS, IF THE BOARD OF REGENTS IS NOT THE CHAR-
 TER ENTITY. SUCH INFORMATION SHALL ALSO BE POSTED AND  UPDATED  ANNUALLY
 ON THE CHARTER SCHOOL'S WEBSITE.
   §  19.  Subdivisions  2 and 3 of section 2856 of the education law are
 renumbered subdivisions 3 and 4 and a new subdivision 2 is added to read
 as follows:
   2. IN THE EVENT THAT IN ANY SCHOOL  YEAR  A  CHARTER  SCHOOL  RECEIVES
 COMBINED  PAYMENTS  FROM ANY LOCAL, STATE, OR FEDERAL SOURCE THAT EXCEED
 EXPENDITURES FOR SUCH SCHOOL YEAR RELATED TO THE OPERATION OF SUCH CHAR-
 TER SCHOOL BY SEVEN PERCENT, THEN ANY EXCESS  FUNDS  ABOVE  SUCH  AMOUNT
 A. 4458                            18
 
 SHALL BE RETURNED PROPORTIONATELY TO ALL SCHOOL DISTRICTS THAT HAVE PAID
 TUITION TO SUCH CHARTER SCHOOL.
   §  20. Subdivision 3 of section 2856 of the education law, as added by
 chapter 4 of the laws of 1998 and as renumbered by section  nineteen  of
 this act, is amended to read as follows:
   3.  (A)  In  the  event  of the failure of the school district to make
 payments required by this section, the state  comptroller  shall  deduct
 from  any state funds which become due to such school district an amount
 equal to the unpaid obligation. The comptroller shall pay over such  sum
 to  the  charter  school  upon  certification  of  the commissioner. The
 commissioner shall promulgate regulations to implement the provisions of
 this subdivision.
   (B) AT LEAST THIRTY DAYS PRIOR TO  SUBMISSION  OF  A  REQUEST  FOR  AN
 INTERCEPT  OF STATE FUNDS PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION,
 THE CHARTER SCHOOL SHALL PROVIDE THE SCHOOL DISTRICT OF RESIDENCE WITH A
 LIST OF STUDENTS WHOSE TUITION IS PROPOSED TO BE INCLUDED IN THE  INTER-
 CEPT AND DOCUMENTATION OF ANY SPECIAL EDUCATION SERVICES PROVIDED BY THE
 CHARTER  SCHOOL,  THE  COST OF WHICH WOULD BE INCLUDED IN THE INTERCEPT.
 IF THE SCHOOL DISTRICT OBJECTS TO INCLUSION OF THE TUITION  OR  COST  OF
 SERVICES IN THE INTERCEPT, THE SCHOOL DISTRICT SHALL PROVIDE THE CHARTER
 SCHOOL  WITH  A  WRITTEN  STATEMENT  OF ITS REASONS FOR OBJECTING TO THE
 INTERCEPT THAT IDENTIFIES THE STUDENTS WHOSE COSTS ARE  IN  DISPUTE  AND
 THE  CHARTER  SCHOOL SHALL SCHEDULE A RESOLUTION SESSION FOR THE PURPOSE
 OF RESOLVING THE DISPUTE, WHICH SHALL BE HELD WITHIN FIVE BUSINESS  DAYS
 OF  RECEIPT  OF THE SCHOOL DISTRICT'S OBJECTION. EACH PARTY SHALL ENSURE
 THAT THEIR REPRESENTATIVES WHO ATTEND THE RESOLUTION ARE  FULLY  AUTHOR-
 IZED  TO  BIND  THE SCHOOL DISTRICT OR CHARTER SCHOOL, AND ANY AGREEMENT
 REACHED AT THE RESOLUTION SESSION SHALL BE FINAL AND BINDING  UPON  BOTH
 PARTIES.  IN  THE  EVENT THE SCHOOL DISTRICT DOES NOT NOTIFY THE CHARTER
 SCHOOL OF ITS OBJECTIONS WITHIN TEN DAYS OF ITS RECEIPT OF THE  LIST  OF
 STUDENTS  OR  FAILS  TO  PARTICIPATE IN A RESOLUTION SESSION, THE SCHOOL
 DISTRICT SHALL BE DEEMED TO HAVE WAIVED ITS OBJECTIONS TO THE  INTERCEPT
 AND  THE  CHARTER  SCHOOL  SHALL  NOT  BE REQUIRED TO OFFER A RESOLUTION
 SESSION. IF THE PARTIES ARE UNABLE TO REACH AGREEMENT  AT  A  RESOLUTION
 SESSION,  THEY  MAY AGREE TO SCHEDULE ADDITIONAL RESOLUTION SESSIONS OR,
 IF ONE OF THE PARTIES INFORMS THE OTHER THAT AGREEMENT IS NOT  POSSIBLE,
 THE  DISPUTE MAY BE RAISED BY THE DISTRICT AS A CHARTER SCHOOL COMPLAINT
 PURSUANT TO SUBDIVISION FOUR OF SECTION TWENTY-EIGHT HUNDRED  FIFTY-FIVE
 OF THIS ARTICLE, OR, IF THE DISPUTE CONCERNS THE RESIDENCY OF A STUDENT,
 AN  APPEAL MAY BE BROUGHT PURSUANT TO PARAGRAPH (C) OF THIS SUBDIVISION.
 THE DEPARTMENT SHALL NOT PROCESS AN INTERCEPT FOR TUITION OR THE COST OF
 SERVICES OF A STUDENT WHOSE COSTS  ARE  IN  DISPUTE  UNTIL  THE  CHARTER
 SCHOOL  NOTIFIES  THE DEPARTMENT THAT A RESOLUTION SESSION HAS BEEN HELD
 AND NO AGREEMENT HAS BEEN REACHED, OR  THAT  NO  RESOLUTION  SESSION  IS
 REQUIRED  BECAUSE THE SCHOOL DISTRICT FAILED TO PROVIDE TIMELY NOTICE OR
 FAILED TO PARTICIPATE IN A SCHEDULED RESOLUTION SESSION.
   (C) IN THE EVENT OF A DISPUTE OVER THE RESIDENCY  OF  A  STUDENT,  THE
 SCHOOL  DISTRICT  SHALL MAKE ITS OWN RESIDENCY DETERMINATION PURSUANT TO
 THE REGULATIONS OF THE COMMISSIONER AFTER CONSIDERING THE PROOF OF RESI-
 DENCY SUBMITTED BY THE CHARTER SCHOOL, AND  SUCH  DETERMINATION  MAY  BE
 APPEALED  TO  THE COMMISSIONER BY THE CHARTER SCHOOL OR BY THE PARENT OR
 OTHER PERSON IN PARENTAL RELATION OR  BOTH  PURSUANT  TO  SECTION  THREE
 HUNDRED  TEN  OF  THIS  CHAPTER. DURING THE PENDENCY OF SUCH APPEAL, THE
 STUDENT SHALL BE DEEMED ENROLLED IN THE SCHOOL DISTRICT, SHALL BE  ENTI-
 TLED  TO  SERVICES  PURSUANT TO SUBDIVISION FOUR OF SECTION TWENTY-EIGHT
 HUNDRED FIFTY-THREE OF THIS ARTICLE, AND THE SCHOOL  DISTRICT  SHALL  BE
 A. 4458                            19
 
 LIABLE  FOR  CHARTER SCHOOL TUITION, PROVIDED THAT UPON A FINAL DETERMI-
 NATION IN SUCH APPEAL THAT THE STUDENT IS NOT A RESIDENT OF  THE  SCHOOL
 DISTRICT,  THE  SCHOOL  DISTRICT MAY DEDUCT THE COST OF SUCH TUITION AND
 SERVICES FROM FUTURE PAYMENTS DUE THE CHARTER SCHOOL.
   §  21.  Subdivision 2 of section 2857 of the education law, as amended
 by chapter 101 of the laws of 2010, is amended and a new subdivision 2-a
 is added to read as follows:
   2. Each charter school shall submit to the charter entity and  to  the
 board  of regents an annual report. Such report shall be issued no later
 than the first day of August of each year for the preceding school  year
 and shall be made publicly available by such date and shall be posted on
 BOTH  the  charter school's [website] AND THE DEPARTMENT'S WEBSITES. The
 annual report shall be in such  form  as  shall  be  prescribed  by  the
 commissioner and shall include at least the following components:
   (a)  a charter school report card, which shall include measures of the
 comparative academic and fiscal performance of the school, as prescribed
 by the commissioner in regulations adopted for such purpose. Such  meas-
 ures  shall  include,  but  not be limited to, graduation rates, dropout
 rates, performance of students  on  standardized  tests,  college  entry
 rates,  total  spending per pupil and administrative spending per pupil.
 Such measures shall be presented in a format that is  easily  comparable
 to  similar public schools. In addition, the charter school shall ensure
 that such information is easily accessible to  the  community  including
 making  it  publicly available by transmitting it to local newspapers of
 general circulation and making it available for distribution at board of
 trustee meetings[.];
   (b) discussion of the progress made towards achievement of  the  goals
 set forth in the charter[.];
   (c)  a  certified  financial  statement  setting forth, by appropriate
 categories, the revenues and expenditures for the preceding school year,
 including a copy of the most recent  independent  fiscal  audit  of  the
 school  and  any  audit conducted by the comptroller of the state of New
 York[.];
   (d) efforts taken by the charter school in the existing  school  year,
 and  a  plan  for  efforts to be taken in the succeeding school year, to
 meet or exceed THE enrollment [and retention targets set by the board of
 regents or the board of trustees of the state university of New York, as
 applicable, of students with disabilities,  English  language  learners,
 and  students who are eligible applicants for the free and reduced price
 lunch program established pursuant to paragraph (e) of subdivision  four
 of section twenty-eight hundred fifty-one of this article.] REQUIREMENTS
 OF  SUBPARAGRAPH  (II)  OF  PARAGRAPH  (B) OF SUBDIVISION TWO OF SECTION
 TWENTY-EIGHT HUNDRED FIFTY-FOUR OF THIS ARTICLE;
   (E) FOR ANY CHARTER SCHOOL THAT CONTRACTS WITH A MANAGEMENT COMPANY OR
 ANY OTHER ENTITY  THAT  PROVIDES  SERVICES  TO  THE  CHARTER  SCHOOL,  A
 DETAILED  STATEMENT  OF  SERVICES  PROVIDED TO THE CHARTER SCHOOL BY THE
 MANAGEMENT COMPANY AND/OR ANY OTHER ENTITY AND THE  AMOUNT  THE  CHARTER
 SCHOOL  PAYS  FOR  SUCH  SERVICES.  THE DEPARTMENT SHALL POST THE ANNUAL
 REPORTS SUBMITTED BY CHARTER SCHOOLS ON THE DEPARTMENT'S WEBSITE; AND
   (F) A NOTICE OF ANY RELATIONSHIP THAT MAY EXIST BETWEEN ANY MEMBER  OF
 A  CHARTER  SCHOOL'S  BOARD  OF TRUSTEES OR CHARTER SCHOOL STAFF AND ANY
 FOR-PROFIT OR NOT-FOR-PROFIT CORPORATE OR OTHER BUSINESS ENTITY THAT  IS
 RESPONSIBLE  FOR  THE  ADMINISTRATION,  MANAGEMENT  OR OPERATION OF SUCH
 CHARTER SCHOOL OR RELATED VENDOR.
 A. 4458                            20
 
   2-A. EACH CHARTER  SCHOOL  SHALL  POST  CONTACT  INFORMATION  FOR  THE
 SCHOOL'S  BOARD  OF TRUSTEES AS WELL AS THE NAME AND CONTACT INFORMATION
 OF THE SCHOOL'S CHARTER ENTITY ON THE WEBSITE OF THE CHARTER SCHOOL.
   §  22.  Subdivision  7  of  section 179-q of the state finance law, as
 added by chapter 166 of the laws of 1991, is amended to read as follows:
   7. "Not-for-profit organization" or "organization"  means  a  domestic
 corporation  incorporated  pursuant  to or otherwise subject to the not-
 for-profit corporation law, a charitable  organization  registered  with
 the  secretary  of  state, a special act corporation created pursuant to
 chapter four hundred sixty-eight of the laws of eighteen  hundred  nine-
 ty-nine,  as amended, a special act corporation formed pursuant to chap-
 ter two hundred fifty-six of the laws of nineteen hundred seventeen,  as
 amended,  a  corporation  authorized  pursuant  to  an  act  of congress
 approved January fifth,  nineteen  hundred  five,  (33  stat.  599),  as
 amended, a corporation established by merger of charitable organizations
 pursuant  to  an  order of the supreme court, New York county dated July
 twenty-first, nineteen hundred eighty-six and filed in the department of
 state on July twenty-ninth, nineteen hundred  eighty-six,  or  a  corpo-
 ration  having  tax  exempt status under section 501(c)(3) of the United
 States Internal revenue code, and shall further be deemed  to  mean  and
 include  any  federation of charitable organizations. PROVIDED, HOWEVER,
 THAT A PUBLIC EDUCATIONAL ENTITY WITHIN THE MEANING OF SECTION  SEVENTY-
 ONE  OF  PART  C OF CHAPTER FIFTY-SEVEN OF THE LAWS OF TWO THOUSAND FOUR
 SHALL NOT BE DEEMED A "NOT-FOR-PROFIT  ORGANIZATION"  OR  "ORGANIZATION"
 FOR PURPOSES OF THIS ARTICLE.
   § 23. This act shall take effect immediately.