(1) Pursuant to the State Administrative Procedure Act, article 4 of title 24, C.R.S., the facility schools board shall promulgate rules for the creation and maintenance as provided in this section of a list of facility schools that are approved to receive reimbursement for providing educational services to students placed in the facility. In addition to the rules specified in this section, the facility schools board shall adopt such additional rules as may be necessary for the implementation of the list pursuant to this section.
(2) (a) The facility schools board by rule shall specify:
(I) The procedures by which a facility school may apply to the office for placement on the list of approved facility schools;
(II) The information that each facility school shall provide in the application;
(III) The reporting requirements for approved facility schools; and
(IV) The criteria that a facility school shall meet to be placed on the list of approved facility schools.
(b) The office shall review the applications received pursuant to subsection (2)(a) of this section and shall place on the list of approved facility schools those applicants that meet the criteria specified by rule of the facility schools board. The office shall notify each applicant regarding placement on the list of approved facility schools. If the office denies an applicant placement on the list, the office shall explain the basis for the denial. An applicant that is denied may reapply for placement on the list following correction of the cause for denial.
(3) An approved facility school shall comply with the following requirements in order to remain on the list of approved facility schools:
(a) Adopt and implement the curriculum and graduation requirements specified by the facility schools board pursuant to section 22-2-406 (1)(a) and (3);
(b) Demonstrate compliance with the accountability measures adopted by the facility schools board pursuant to section 22-2-406 (1)(b);
(b.5) Demonstrate compliance with the accountability and accreditation measures within the time frames adopted by the facility schools board pursuant to section 22-2-406 (4);
(c) Comply with the reporting and records tracking requirements specified by the office pursuant to section 22-2-405 (1)(d) and (2); and
(d) Comply with any other requirements specified by rule of the facility schools board.
(3.5) An approved facility school or facility may act as a school food authority pursuant to the provisions of the federal Richard B. Russell National School Lunch Act, 42 U.S.C. sec. 1751 et seq., or the federal Child Nutrition Act of 1966, 42 U.S.C. sec. 1771 et seq.
(4) The office shall periodically, as provided by rule of the facility schools board, review each approved facility school to determine whether the approved facility school is in compliance with the requirements specified in subsection (3) of this section. If the office determines that an approved facility school is out of compliance, the office shall give the approved facility school notice of the lack of compliance. If the approved facility school does not come into compliance within thirty days after receiving the notice, the office shall remove the facility school from the list of approved facility schools. A facility school that is removed from the list of approved facility schools may reapply for placement on the list as provided in subsection (2) of this section.
Source: L. 2008: Entire part added, p. 1380, � 1, effective May 27. L. 2023: (2)(a)(I), (2)(b), (3)(c), and (4) amended and (3)(b.5) added, (SB 23-219), ch. 88, p. 322, � 7, effective April 20. L. 2024: (3.5) added, (HB 24-1206), ch. 18, p. 46, � 1, effective March 12.
22-2-407.5. Facility schools - sustainable model of education for facility students - work group - created - membership - duties - reporting requirements - funding. (1) (a) On or before July 1, 2021, the department shall convene a work group of the stakeholders described in subsection (1)(b) of this section. The purpose of the work group is to develop and implement a sustainable model with capacity to meet the educational needs of children and youth in or at risk of out-of-home placement and children and youth who are at risk of educational failure due to challenging behavior, mental or behavioral health needs, or disabilities, regardless of the child's or youth's eligibility for special education services.
(b) The work group shall obtain input from parents and students who reflect the diversity of the state with regard to race, ethnicity, immigration status, income, and disability. The work group must include the following representatives:
(I) School districts;
(II) Boards of cooperative services;
(III) Special education directors;
(IV) Facility schools and facility school board members;
(V) The department of health care policy and financing;
(VI) The department of education;
(VII) The department of human services, including the division of youth services;
(VIII) County departments of human or social services;
(IX) Parents, guardians, and legal custodians of students with exceptionally severe or specialized needs; and
(X) Therapeutic facilities for students with exceptionally severe or specialized needs that are not approved facility schools.
(2) The work group shall:
(a) Define the target population of facility students;
(b) Analyze data to determine the educational needs of students in the target population;
(c) Analyze cost data for providing educational services to students in the target population;
(d) Evaluate existing capacity within the state, including, but not limited to, the location and number of desks in each facility school and other programs that currently serve students in the target population in Colorado;
(e) Evaluate other effective evidence-based options that currently exist in Colorado or in other states and that may be incorporated into the model to ensure the necessary capacity to serve students in the target population in the state;
(f) Identify barriers and develop solutions to address the development of additional capacity in educational programs in meeting the needs of students in the target population;
(g) Identify and analyze:
(I) The state's current capacity to provide appropriate instruction, support, and services to students in the target population;
(II) The current funding methodology for facility schools;
(III) The federal, state, local, and other sources of funding available to support the current educational options for serving students in the target population, including the restrictions on use of each type of funding;
(IV) The capacity and funding necessary to adequately serve and support students in the target population who will receive educational services through the model developed pursuant to this section; and
(V) The funding methodology and necessary resources to ensure long-term viability;
(h) Identify the outcomes that are to be evaluated pursuant to subsection (3) of this section; and
(i) Develop short-term strategies to address the lost capacity in facility schools.
(3) The educational options for the model must clearly define the roles of the department of education, the department of human services, the department of health care policy and financing, and the department of public health and environment in the model's continuum, which includes, but is not limited to, residential treatment, day treatment, and hospitals. The model must include a means by which to evaluate appropriate outcomes of the target population served in the continuum.
(4) (a) After analyzing the data required pursuant to subsection (2) of this section, and no later than October 1, 2022, the work group shall develop the model through which educational services will be made available to the target population. On or before October 1, 2022, the work group shall develop the implementation plan, including the deadlines for identified deliverables within the plan to ensure that implementation of the model can begin on or before July 1, 2023, and be fully implemented on or before July 1, 2027. Additionally, the work group shall develop a report identifying any necessary statutory changes for full implementation of the model, as well as any fiscal impact of the model's implementation.
(b) The work group shall submit the information required by this subsection (4) to the department on or before October 1, 2022. On or before November 1, 2022, the department shall submit a written report summarizing the work group's work, as required pursuant to this subsection (4), to the joint budget committee.
(c) The department may contract with an independent facilitator to support the work group and write the report required pursuant to this subsection (4), and an independent entity to perform the financial analysis required pursuant to subsection (2)(g) of this section.
(d) On or before December 31, 2022, the commissioner of education, as defined in section 22-2-102, shall present the report compiled pursuant to subsection (4)(b) of this section to the joint budget committee, including details of the model, the implementation plan and timeline, any fiscal impact of implementing the model, any necessary statutory changes, and any recommendations to increase Colorado's system to serve and its capacity to support students in the target population, including short-term strategies developed to address lost facility school capacity.
(e) (I) On or before October 1, 2023, and on or before each October 1 during the implementation phase of the model, the department shall submit a written report concerning the progress of the model's implementation, including, but not limited to, the status of each deliverable identified in the implementation plan, any modifications to the implementation plan, and any statutory changes and funding necessary in the upcoming fiscal year in order to successfully implement each phase of the model. The department shall draft the report with ongoing input from the work group. The department shall submit the reports to the education committees of the house of representatives and the senate, or their successor committees, the joint budget committee, and the state board. The office shall post the reports on the office's website.
(II) As part of the October 1, 2023, report required pursuant to subsection (4)(e)(I) of this section, the office shall include recommendations to change the method used for calculating tuition costs for approved facility schools as described in section 22-2-405 (5) of this section and identify next steps. The department shall state whether statutory or rule updates are required to implement changes to the methods for calculating tuition costs.
(III) (A) As part of the October 1, 2024, report required pursuant to subsection (4)(e)(I) of this section, the department shall include an update describing the tuition changes described in subsection (4)(e)(II) of this section that are adopted as of July 1, 2024, pursuant to section 22-2-405 (5).
(B) As part of the October 1, 2024, report required pursuant to subsection (4)(e)(I) of this section, the department shall include the report summarizing the implementation of the interagency resource guide described in section 22-2-410 (2).
(IV) As part of the October 1, 2026, report required pursuant to subsection (4)(e)(I) of this section, the department shall include the report summarizing the evaluation measures and recommendations described in section 22-2-405 (4).
(V) As part of the October 1, 2025, and October 1, 2026, reports required pursuant to subsection (4)(e)(I) of this section, the department shall include the report summarizing information submitted to the department, as described in section 22-2-411 (7), by eligible applicants who received grant money from the shared operational services grant program created in section 22-2-411 (2).
(5) The work group shall consult with the department of health care policy and financing pursuant to section 25.5-1-104 (6) on a plan to provide guidance to approved facility schools on the eligibility standards required to request and receive medicaid reimbursement funding for therapeutic services to the maximum extent possible to reduce reliance on school district revenue for therapeutic services.
Source: L. 2021: Entire section added, (SB 21-274), ch. 341, p. 2224, � 3, effective June 25. L. 2023: IP(1)(b), (1)(b)(VII), and (4)(e) amended and (1)(b)(IX), (1)(b)(X), and (5) added, (SB 23-219), ch. 88, p. 323, � 8, effective April 20. L. 2024: (4)(e)(IV) amended, (SB 24-188), ch. 235, p. 1476, � 13, effective May 23.
Cross references: For the legislative declaration in SB 21-274, see section 1 of chapter 341, Session Laws of Colorado 2021. For the legislative declaration in SB 24-188, see section 1 of chapter 235, Session Laws of Colorado 2024.