SF0173

Creates the Wyoming Educational Bankruptcy Act, allowing the state superintendent or parents to petition courts to place chronically low-performing school districts under court-appointed trustee management.

• Establishes the Wyoming Educational Bankruptcy Act as a legal framework for addressing educationally bankrupt school districts. (W.S. 21-2-1001)
• Allows the state superintendent to petition district court to declare a school district educationally bankrupt if it meets specified low-achievement criteria in two of three years (for districts with 800+ students) or three of four years (for smaller districts), based on statewide assessment scores in English language arts, mathematics, and science. (W.S. 21-2-1002(a))
• Authorizes parents and guardians representing at least 12.5% of a school district's enrollment to petition for educational bankruptcy by collecting signatures between March 1 and May 1, with petitions filed by May 1. (W.S. 21-2-1002(b))
• Requires the state superintendent to consider academic benefits, negative implications, cultural factors, and prior improvement efforts before petitioning for educational bankruptcy, and to post qualifying districts on the Department of Education website. (W.S. 21-2-1002(e), W.S. 21-2-1002(f))
• Mandates the state superintendent to report annually to the joint education interim committee on qualifying districts and whether bankruptcy limitations should be modified. (W.S. 21-2-1002(g))
• Requires district courts to hold hearings to determine if educational bankruptcy is in the best interest of students and, if approved, appoint a trustee to manage the district with authority to remove the superintendent and school board, though the board becomes advisory only. (W.S. 21-2-1003(a), W.S. 21-2-1003(b), W.S. 21-2-1003(c))
• Grants tribal business councils the right to intervene and submit improvement plans when Indian children comprise at least 50% of a school district's enrollment, with the trustee and court required to give deference to tribal council plans. (W.S. 21-2-1003(e))
• Establishes release criteria allowing district courts to remove a school from educational bankruptcy when fewer than 50% of third-graders score basic or below on English language arts and one additional achievement threshold is met, or after six years upon finding continued bankruptcy will not improve academics.