ARTICLE 8. COMPLIANCE

R7-2-801. Compliance

R7-2-802. School and School District Compliance with the Uniform System of Financial Records and the Uniform System of Financial Records for Charter Schools

R7-2-803. Implementation of the Uniform System of Financial Records

R7-2-804. Compliance with federal statutes or regulations

R7-2-805. Education division general administrative regulations

R7-2-806. Repealed

R7-2-807. Repealed

R7-2-808. Pupil Participation in Extracurricular Activities

R7-2-809. Repealed

R7-2-801. Compliance

A. Procedures governing noncompliance with laws and rules by school districts.

1. Scope. Except as may be otherwise directed by federal or state statute or by rules adopted by the State Board of Education, this rule shall govern the procedure for determining noncompliance by school districts with laws and rules concerning school districts, the enforcement of which is the statutory responsibility of the State Board of Education or the Department of Education.

2. Preliminary notice of noncompliance and response:

a. The Department of Education, upon its own initiative or at the direction of the State Board of Education, shall inform school districts by written notice that the district is in possible noncompliance with laws or rules, the enforcement of which is the statutory responsibility of the Board or the Department.

b. A preliminary notice of possible noncompliance shall detail in writing the nature of the possible noncompliance and shall identify:

i. The law or rule which the school district may be violating; and

ii. The manner in which the school district may be in noncompliance with the identified law or rule.

c. A school district may submit a written response to the Department of Education within 20 days of receipt of a preliminary notice of noncompliance.

d. Nothing contained in this rule is intended to preclude a reasonable attempt between Department of Education personnel and school district personnel to resolve administratively possible noncompliance prior to sending a written preliminary notice of noncompliance.

3. Scheduling a formal hearing

a. Recommendation by the Department of Education

i. After giving a school district preliminary notice as provided in this rule, the Department of Education shall submit a written recommendation to the State Board of Education. This recommendation shall be submitted within 10 days after receipt of a written response from the school district or if no response is received within 30 days of the issuance of the preliminary notice. The Department shall recommend one of the following courses of action to be taken by the Board.

(1) A formal hearing should be scheduled before noncompliance is probable and achieving voluntary compliance within a reasonable period of time under the circumstances is unlikely; or

(2) A formal hearing should not be scheduled at this time because, although noncompliance is probable, achieving voluntary compliance within a reasonable period of time is likely; or

(3) A formal hearing should not be scheduled because the school district is in compliance with the law or rule in question.

ii. Any written response of the school district to the preliminary notice of noncompliance shall accompany the written recommendation of the Department of Education.

b. Within 30 days of receipt of the recommendation of the Department of Education, the State Board of Education shall either:

i. Schedule formal hearing;

ii. Postpone the decision to schedule a hearing for a stated time period not to exceed six months, or

iii. Dismiss the matter.

c. When the State Board of Education determines that a formal hearing is necessary, it shall be scheduled within 30 days after such determination, unless an extension of time is granted by the Board.

d. When a formal hearing is scheduled, the Board or its designee shall give notice of the hearing as provided in A.R.S. § 41-1009(A) and (B).

e. When the Board decides to postpone scheduling a formal hearing, the Board shall specify the extent of the postponement and the Department of Education shall report periodically, at least every 30 days, unless otherwise directed, with respect to progress by the school district toward compliance with the law or rule in question. At the end of the postponement period, the Board shall again make a determination whether to schedule a hearing, further postpone the determination, or dismiss the matter.

f. The Board may order further investigation by the Department of Education at any time, and admit into evidence any such report at any subsequent formal hearing.

4. Hearings held pursuant to this rule shall be conducted as provided in A.R.S. § 41-1010.

5. The Board's decision

a. A decision by the State Board of Education shall be determined by a majority of the members of the Board and shall be based upon substantial evidence.

b. A decision shall be rendered within 30 days after the hearing.

c. Within 30 days after a decision is reached, copies of the written decision shall be delivered to the parties personally or by certified mail.

d. The parties shall have the opportunity to provide proposed findings of fact and conclusions of law to the Board no later than five days after the decision of the Board is received.

6. Rehearing procedure

a. Any party aggrieved by a decision rendered by the Board may file with the Board, not later than 15 days after service of the decision, a written motion for rehearing or review of the decision, specifying the particular grounds therefor.

b. A motion to alter or amend a decision or order shall be filed not later than 15 days after service of the decision.

c. A motion for rehearing under this rule may be amended at any time before it is ruled upon by the Board.

d. A response may be filed within 10 days after service of such motion by any other party or by the Attorney General.

e. The Board may require the filing of written memoranda upon the issues raised in the motion and may provide for oral argument.

f. The Board may consolidate the hearing to consider the motion for rehearing with the requested rehearing.

g. A rehearing or review of the decision may be granted for any of the following causes materially affecting the moving party's rights:

i. Irregularity in the administrative proceedings of the agency or its hearing officer or the prevailing party, or any order, or abuse of discretion, whereby the moving party was deprived of a fair hearing;

ii. Misconduct of the Board of the prevailing party.

iii. Accident or surprise which could not have been prevented by ordinary prudence;

iv. Newly discovered material evidence which could not with reasonable diligence have been discovered and produced at the original hearing;

v. Excessive or insufficient penalty;

vi. Error in the admission or rejection of evidence or other errors of law occurring in the administrative hearing;

vii. The decision is not justified by the evidence or is contrary to law.

h. The Board may affirm or modify the decision or grant a rehearing to all or any of the parties and on all or part of the issues for any of the reasons set forth in subsection (7). An order granting a rehearing shall specify with particularity the ground or grounds on which the rehearing is granted, and the rehearing shall cover only those matters so specified.

i. Not later than 15 days after a decision is rendered, the Board may on its own initiative order a rehearing or a review of its decision for any reason for which it might have granted a rehearing on motion of a party. After giving the parties or their counsel notice and an opportunity to be heard on the matter, the Board may grant a motion for rehearing for a reason not stated in the motion. In either case, the order granting such a rehearing shall specify the grounds on which the order is based.

j. When a motion for rehearing is based upon affidavits, they shall be served with the motion. An opposing party may, within 10 days after such service, serve opposing affidavits, which period may be extended for an additional period not exceeding 20 days, by the Board for good cause shown, or by the parties by written stipulation. The Board may permit a reply affidavit by the moving party.

B. Waiver from administrative rules. Upon request of a school district acting either on its own behalf or on behalf of a school within the district's jurisdiction, the State Board of Education may grant a waiver exempting such district or school from specific administrative rules.

1. Requests

a. Requests for exemption from any State Board of Education rule shall include:

i. Evidence that the school or school district is currently in compliance with all state laws and State Board of Education rules;

ii. A statement identifying goals that will be accomplished and how the waiver will assist in enhancing school improvement;

iii. A three-year plan for school improvement;

iv. Identification of the specific rules for which the waiver is requested;

v. Evidence of a public hearing held by the school or school district which provided for parental and public involvement and input into the proposed three-year plan.

b. Requests for waiver may be granted by the State Board of Education for a period not to exceed three years. The State Board of Education may at any time rescind approved waivers at its discretion.

c. Requests for waiver may be submitted by a local governing board and shall be made through the State Superintendent of Public Instruction for consideration by the State Board of Education.

d. Local governing boards shall adopt policies and procedures which will allow their schools to request waivers from the State Board of Education and shall submit those policies and procedures to the Superintendent of Public Instruction prior to October 1, 1993. Those policies shall be consistent with the criteria specified in subsections (B)(1)(a) and (B)(3). Additionally, those policies shall provide that:

i. Requests for such waivers by schools be forwarded within 30 days of receipt by the governing board to the Superintendent of Public Instruction. Requests may include additional information as the governing board deems appropriate.

ii. Schools not be required to meet criteria other than those specified in subsection (B)(1)(a).

2. Reporting

a. Schools or school districts with State Board-approved waivers shall document progress obtained as a result of the waiver and report on or before June 30 of each year to the State Superintendent of Public Instruction.

b. A school district having a school with an approved waiver may report the effects that such waiver has had on the operation of the school district. Reports shall be submitted on or before June 30 of each year to the State Superintendent of Public Instruction.

c. The State Superintendent of Public Instruction shall report to the State Board of Education, on or before September 30 of each year, the status of those schools and school districts with approved waivers and, as a minimum, include the following:

i. The status of meeting the goals as stated in the three-year plan;

ii. Recommendations regarding approved continuance of the waiver, conditions for continuance of the waiver, revision of the three-year plan or rescission of the waiver.

3. Renewal. Upon request from a school district, on behalf of itself or a school within its jurisdiction, waivers may be approved by the State Board of Education for additional three-year periods. Requests shall be made through the State Superintendent of Public Instruction and requests from schools shall be forwarded by the local governing board to the State Superintendent of Public Instruction within 30 days from receipt.

Historical Note

Adopted effective February 27, 1980 (Supp. 80-1). Amended effective April 9, 1993 (Supp. 93-2).

R7-2-802. School and School District Compliance with the Uniform System of Financial Records and the Uniform System of Financial Records for Charter Schools

A. Upon receipt of a report from the Auditor General that a school or school district has failed to comply with the Uniform System of Financial Records ('USFR') or the Uniform System of Financial Records for Charter Schools ('USFRCS') within 90 days after having received a notice of noncompliance from the Auditor General, the State Board of Education ('Board') shall review the Auditor General's report to determine whether the school or school district is in noncompliance.

B. When the Board determines that a school or school district is in noncompliance with the USFR or USFRCS, it shall give written notice to the school or district of its determination. The written notice shall advise the school or district of the following:

1. The Superintendent of Public Instruction shall withhold distribution of state funds to the school or district until such time as the Auditor General reports compliance with the USFR or USFRCS unless a hearing is requested by the school or district.

2. The school or district has 10 days from the receipt of the written notice of noncompliance by the Board to submit a written request for a hearing.

3. If the school or district makes a timely request for a hearing, the hearing will be held pursuant to the hearing procedures specified in R7-2-701 et seq.

C. The Board's decision

1. The Board shall determine whether the school or school district was in compliance with the USFR or USFRCS within 90 days after having been informed of noncompliance by the Auditor General, and whether the district is in compliance with the USFR or USFRCS at the time of the hearing.

2. A decision by the Board shall be determined by a majority of the members of the Board and shall be based upon substantial evidence.

Historical Note

Adopted effective February 27, 1980 (Supp. 80-1). Amended subsections (A) and (E)(1) and (5) effective December 17, 1981 (Supp. 81-6). Amended effective December 31, 1998 (Supp. 98-4).

R7-2-803. Implementation of the Uniform System of Financial Records

All school districts shall implement the current version of the Uniform System of Financial Records, as prescribed by the Auditor General, in conjunction with the Department of Education. The Uniform System of Financial Records shall include standards to ensure that enrollment is determined by all school districts on a uniform basis.

Historical Note

Adopted effective November 10, 1980 (Supp. 80-6). Amended effective February 20, 1997 (Supp. 97-1).

R7-2-804. Compliance with federal statutes or regulations

A. This rule prescribes procedures to be used in filing and processing written complaints alleging the failure of a public agency or school district to comply with federal statutes or regulations applicable to federal education programs conducted and subject to Title 34, Code of Federal Regulations, § 76.780.

B. The Arizona Department of Education (Department) shall accept and investigate complaints provided that the complaint:

1. Is written and signed by the complaining party or his or her designated representative;

2. Sets forth the facts forming the basis of the complaint; the facts set forth in the complaint, if true, could constitute noncompliance by a public agency or school district;

C. Upon receipt of a complaint setting forth the criteria contained in (B), the Department shall immediately begin an impartial review which may include onsite investigations. If in the course of the review it is determined that the nature of the complaint is not a matter of noncompliance, the complainant will be so informed and advised of appropriate means of resolving the complaint.

D. A written decision with specific findings shall be issued by the Department within 60 calendar days of receipt of the written complaint. If corrective action is required, such action shall be designated in the decision and shall include the time line for correction and possible consequences for continued noncompliance. A copy of the written decision shall be sent to the complaining party and the agency involved on or before the expiration of the 60-day period. An extension of this timeline will be permitted only if exceptional circumstances exist with respect to a particular complaint.

E. If there appears to be a failure or refusal to comply with the applicable law or regulations, and if the noncompliance or refusal to comply cannot be corrected or avoided by informal means, compliance shall be effected by the Superintendent and the State Board of Education by any means authorized by law or by rule and regulation. The Superintendent shall retain jurisdiction over the issue of noncompliance with the law or regulations and shall retain jurisdiction over the implementation of any corrective action required. However, nothing herein shall preclude the availability of an informal resolution between the complainant and the agency or school district involved, nor shall this rule preclude the availability of any administrative hearing remedies to resolve such disputes or judicial review of such administrative remedies.

F. If, pursuant to an investigation by the Department, the Superintendent finds a failure to comply with applicable law or regulations, he or she shall so inform the agency or school district and compliance shall be obtained by informal means whenever possible. If corrective action is required, such action shall be designated in this decision and shall include the time lines for correction and the possible consequences for continued noncompliance.

G. A summary of each complaint received and investigated by the Department and the decision of the Superintendent shall be submitted annually to the State Board of Education for informational purposes only. Any personally identifiable information shall be deleted from the report to the State Board of Education.

H. The complainant may request the U.S. Department of Education to review the final decision of the Superintendent. The Department shall inform a complainant of the procedures for requesting a review by the U.S. Department of Education.

Historical Note

Adopted effective February 11, 1983 (Supp. 83-1). Amended subsection (B) effective March 13, 1986 (Supp. 86-2).

R7-2-805. Education division general administrative regulations

A. This rule prescribes procedures to be used for appealing a decision by the Arizona Department of Education (Department) relating to federal programs administered by the Department and subject to the Education Division General Administrative Regulations (EDGAR) Title 34, Code of Federal Regulations § 75 and 76.

B. A school district or public agency may request a hearing if it alleges that the Department violated a federal statute or regulation by:

1. Terminating further assistance for an approved project;

2. Ordering, in accordance with a final state audit resolution determination, the repayment of misspent or misapplied federal funds;

3. Disapproving or failing to approve the application or project in whole or in part; or

4. Failing to provide funds in amounts in accordance with the requirements of statutes and regulations.

5. Not approving the school district or public agency's proposal for funding.

C. When a school district or public agency requests a hearing, the Superintendent of Public Instruction (Superintendent) shall select a hearings appeals panel from Department staff other than those within the same division as the federal program area under which the appeal rose.

D. Hearing procedures

1. An applicant must request a hearing by notifying the Superintendent by certified mail of its decision to appeal a decision as set forth in subsection (B) of this rule. If the applicant is or represents a school district, authorization to seek a hearing must come from the Governing Board of that school district.

2. The request for hearing must set forth the nature of the complaint and the facts on which the complaint is based.

3. The applicant shall request a hearing within 30 days of the date notice of the Department action was sent. For purposes of this rule, the date of notice by the Department is the date of sending notice of the Department action.

4. A hearing shall be scheduled before the appeal panel within 30 days from the receipt of the request.

5. The appeals panel chairperson shall give at least 10 days' notice of the hearing date to the complainant.

6. The parties may submit written materials no later than five days prior to the hearing, such materials to consist of six copies.

7. At the hearing the parties may present evidence in writing and through witnesses and may be represented by counsel.

8. The length and order of the presentation may be determined by the appeals panel chairperson.

9. If the complainant or authorized representative fails to appear at the designated time, place and date of the hearing, the appeal shall be considered closed and the process terminated.

E. Decision. No later than five days after the hearing, the appeals panel shall forward to the Superintendent its recommendation relating to the school district or agency's request for review. Within 10 days after the hearing, the Superintendent shall issue his or her written ruling, including findings of fact and reasons for the ruling. If the Superintendent determines that the Department's action was contrary to the statutes and regulations that govern the applicable program, the Superintendent shall rescind the action.

F. Appeal. If the Superintendent does not rescind the Department action, the applicant may appeal to the U.S. Department of Education. The applicant shall file a notice of appeal with the U.S. Department of Education within 20 days after the applicant has been notified by the Superintendent of his or her decision by certified mail.

G. State Board of Education submission. The Superintendent shall annually submit to the State Board of Education as an informational item summaries of all decisions including the findings of fact of hearing procedures conducted pursuant to this rule for State Board of Education review.

Historical Note

Adopted effective June 24, 1983 (Supp. 83-3).

R7-2-806. Repealed

Historical Note

Adopted effective February 6, 1984 (Supp. 84-1). Section repealed by final rulemaking at 7 A.A.R. 182, effective December 15, 2000 (Supp. 00-4).

R7-2-807. Repealed

Historical Note

Adopted as an emergency effective August 2, 1984 pursuant to A.R.S. § 41-1003, valid for only 90 days (Supp. 84-4). Emergency expired. Permanent rule adopted effective November 27, 1984 (Supp. 84-6). Amended effective May 3, 1993 (Supp. 93-2). Repealed effective February 20, 1997 (Supp. 97-1).

R7-2-808. Pupil Participation in Extracurricular Activities

The following standards are effective for students in grade 6, if part of a middle school, and grades 7 through 12.

1. Definition Extracurricular activities are:

a. All interscholastic activities which are of a competitive nature and involve more than one school where a championship, winner, or rating is determined; and all those endeavors of a continuous and ongoing nature for which no credit is earned in meeting graduation or promotional requirements and are organized, planned, and sponsored by the district consistent with district policy.

b. Activities which are an integral part of a credit class shall be excepted from the rule.

2. Eligibility requirements and ineligibility.

a. Eligibility. To be eligible to participate in extracurricular activities, a student shall be required to:

i. Earn a passing grade in each course in which the student is enrolled; and

ii. Maintain satisfactory progress toward promotion or graduation.

b. Ineligibility. When it is determined that a student has failed to meet the requirements specified for eligibility, the student shall be declared ineligible to participate in extracurricular activities and shall remain ineligible until the requirements of eligibility are met.

i. The governing board shall establish the criteria for a passing grade and satisfactory progress toward promotion or graduation, taking into account the needs of children placed in special education programs pursuant to R7-2-401 et seq. Passing grades shall be determined on a cumulative basis, from the beginning of instruction to the recording of a final grade for the course.

ii. Every nine weeks or less, as determined by the governing board, district personnel shall review the progress of students to determine their eligibility status. If a student is declared ineligible, the student shall remain ineligible until a subsequent check is performed and it is determined that the student meets the eligibility requirements specified in subsection (2)(a).

3. Each governing board shall adopt a policy and implement a program pursuant to that policy to provide:

a. Oral or written preliminary notice to all district students and their parents or guardian of pending ineligibility;

b. Written notice to students and their parents or guardians when ineligibility has been determined;

c. Educational support services to students declared ineligible because of this rule, as well as those notified of pending ineligibility.

Historical Note

Adopted effective December 31, 1986 (Supp. 86-6). Amended subsection (B) and added a new subsection (D) effective February 17, 1988 (Supp. 88-1). Amended subsection (A) effective August 15, 1988 (Supp. 88-3). Amended effective April 28, 1989 (Supp. 89-2). Amended effective December 20, 1991 (Supp. 91-4). Section R7-2-808 repealed, new Section adopted effective July 10, 1992 (Supp. 92-3). Amended effective September 20, 1996 (Supp. 96-3). Amended effective December 22, 1997 (Supp. 97-4).

R7-2-809. Repealed

Historical Note

Adopted effective July 30, 1992 (Supp. 92-3). Amended effective April 9, 1993 (Supp. 93-2). Repealed effective February 20, 1997 (Supp. 97-1).