In the early hours of Saturday morning, Indiana’s 2017 legislative session came to a close.

It ended with a plan to replace ISTEP, new rules for charter and voucher schools and a compromise on the state’s next two-year budget. Next, the bills all head to Gov. Eric Holcomb to be signed into law.

Earlier this week, lawmakers also came to agreements that would expand the state’s preschool program and make the next state superintendent appointed, rather than elected.

Here are the major education issues now under consideration to become law:

TESTING

A plan to replace the state’s hated ISTEP testing system with “ILEARN” was approved by lawmakers Friday.

The new test would be used for the first time in 2019, meaning ISTEP still has one more year of life. For the most part, the test plan in House Bill 1003 resembles what was recommended by the group of educators, lawmakers and policymakers charged with studying a test replacement.

There would be a new year-end test for elementary and middle school students, and high schools would give end-of-course exam in 10th grade English, ninth-grade biology, and algebra I. An optional end-of-course exam would be added for U.S. government, and the state would be required to test students in social studies once in fifth or eighth grade.

The plan does make potentially significant changes to the state’s graduation requirements. The bill would create a number of graduation “pathways” that the Indiana State Board of Education would flesh out. New options could include the SAT, ACT, industry certifications, or the ASVAB military entrance exam.

While teacher evaluations would still have to include ISTEP scores in some way, districts would have flexibility to decide specifically how to do that.

CHARTER SCHOOLS AND VOUCHERS

Two bills dealing with charter schools and vouchers that passed easily in the House and Senate would make it easier for struggling schools to get a second chance.

Rep. Bob Behning, the bill’s author, noted that public schools have the option to join “transformation zones” or “innovation networks” that allow them to avoid closure and make plans to improve, but charters and private schools don’t.

The bill that focuses on charter schools, House Bill 1382, would make changes to how the Indiana State Board of Education handles authorizers who want to renew charters for schools that have failed for four years in a row, among numerous other provisions. Even if the schools go beyond their four-year F-grade limit, authorizers can go to the state board to request a charter renewal.

The second, House Bill 1384, includes two proposals regarding private schools and vouchers. One would allow schools to waive D or F grades that prohibit the schools from accepting new voucher students. That waiver would be good for one year, and would be dependant upon the school’s ability to demonstrate that a majority of private school students made academic improvements in the prior year.

The bills would also …

  • Weakens the state’s “90 percent-10 percent” rule for licensing teachers in charter schools. Current Indiana law says that 90 percent of teachers must hold a traditional state teaching license, or be in the process of pursuing one, and 10 percent can hold an alternative teaching permit. Under the new language, the state’s specific charter school license appears to count toward the 90 percent, rather than the 10 percent as they have in the past (HB 1382).
  • Require the Indiana State Board of Education to consider a school’s rate of student turnover from year to year when it assigns A-F accountability grades and determine a definition for “high-mobility” schools (HB 1384).
  • Allow private schools to become accredited more quickly, and thus accept voucher students sooner (HB 1384).

STATE TAKEOVER

A plan that would have allowed the state to take control over finances and academics in Gary and Muncie has been significantly scaled back — and would release Muncie from academic takeover altogether.

The measure passed the Senate and House late Friday. While Muncie schools see some relief from earlier sanctions, Gary would be on track for the state takeover, although a few provisions called for by local lawmakers were added in — such as first considering a Gary or Lake County resident as the “emergency manager” in charge of the takeover.

Kenley said he specified in the compromise version of the bill that these measures are “not precedent for and may not be appropriate for addressing issues faced by other” districts.

Lawmakers came up with the takeover strategy to solve longstanding financial troubles in Gary Community Schools, which has racked up $100 million in debt and dwindled to fewer than 6,000 students. The district has also been labeled an F since 2011, with seven schools considered failing.

But Muncie educators and lawmakers made their opposition known when their C-rated district was added into Senate Bill 567 for its own significant debt issues.

The bill originally designated Gary and Muncie as “distressed political subdivisions” and moved them under the auspices of an emergency manager, a fiscal management board, and a chief academic officer. In the new plan, Gary would remain a distressed political subdivision, but Muncie would be considered a “fiscally impaired” district — a less harsh label that wouldn’t require the district to have a chief academic officer, but still places it under a stringent plan to shore up its finances.

SCHOOL FUNDING

The budget was the last bill to pass Friday night, with wide margins of support in both houses.

The two-year plan would increase funding by about 3.3 percent from 2017 to 2019, a boost of $345 million that brings total education spending to $14.2 billion over the next two years. The state also approved increased support for English-learners, students with severe special needs, and career and technical education.

All Marion County school districts will see increases to per-student funding and tuition support — the base amount provided by the state to educate children.

Indiana also recommitted to teacher bonus payments at $30 million per year, adjusting the formula so that high-performing teachers at struggling schools could see higher bonuses than they did last year.

PRESCHOOL

A preschool deal passed the House and Senate Friday morning that would expand the program to 15 additional counties, up to 20 from the current five.

The cost of the expansion will be $22 million per year, which is less than advocates had lobbied for but close to what House Republicans and Holcomb supported.

It includes controversial language allowing a new, limited voucher “pathway.” If a child used a preschool scholarship to go to a program at a private school that accepts vouchers, they could then automatically receive a voucher for kindergarten if they stay at the same school.

The compromise plan would set aside $1 million per year to allow families who use an “in-home” online preschool program to be reimbursed for their costs. Priority would be given to parents of children who live in counties with no high-quality preschool providers, and the state would agree to study the online programs.

STATE SUPERINTENDENT

Last week, House and Senate lawmakers approved a bill that would allow future governors to choose Indiana’s state superintendent.

The final version of House Bill 1005 includes a residency requirement and qualifications for the “secretary of education” position. It also delays the appointment until 2025, meaning Holcomb wouldn’t be around to make the pick and state Superintendent Jennifer McCormick could seek a second term.

You can find other education-related bills that passed this session here.