Sec. 9.5. (a) The governing body of a school that has been placed in the lowest two (2) categories or designations may submit a plan to the state board to create a transformation zone within the school corporation. A plan may be developed with the assistance of the department. After June 30, 2021, the state board may not use the establishment of a transformation zone under this section as an intervention in a particular school corporation to improve school performance.

     (b) The state board shall grant the designation as a transformation zone unless the state board concludes that the submitted plan does not substantially meet the criteria set forth in this section. All plans must be submitted to the state board not later than April 15, 2016, or April 15 each year thereafter. All plans must be approved or denied by the state board not later than July 1 of the first year of implementation.

     (c) Each plan must include the following information:

(1) An organizational chart that demonstrates that the leader of the transformation zone reports directly to the school corporation’s superintendent.

(2) A description of the innovations the school corporation will implement, which may include:

(A) innovations in school staffing;

(B) curriculum and nonmandated assessments;

(C) class scheduling;

(D) the length of the school day or year;

(E) the use of financial and other resources;

(F) teacher recruitment, employment, and compensation; and

(G) other innovations.

(3) The objective annual student performance and growth or improvement performance gains that the school corporation expects to achieve over the next five (5) years.

(4) A budget demonstrating financial sustainability of the transformation zone.

(5) A description of any regulatory or district policy requirements, subject to the state board’s approval, that would need to be waived for the school corporation to implement the transformation zone.

     (d) Subject to subsection (e), a school within the transformation zone is not subject to IC 20-29 unless the school corporation voluntarily recognizes an exclusive representative under IC 20-29-5-2. If the school corporation voluntarily recognizes an exclusive representative under IC 20-29-5-2, the school corporation may authorize a school within the transformation zone to opt out of bargaining allowable subjects or discussing discussion items by specifying the excluded items on the notice required under IC 20-29-5-2(b). Such notice must be provided to the education employment relations board at the time of the notice’s posting.

     (e) Subsection (d) applies only to a school that has been designated as a transformation zone following the third consecutive year in the lowest performance category or designation.

     (f) For any collective bargaining agreement under IC 20-29 entered into after June 30, 2022, a governing body is not bound by its collective bargaining agreement for employees of a transformation zone established under this section. Employees of a transformation zone may organize and create a separate bargaining unit to collectively bargain with the entity operating the transformation zone under IC 20-29. The entity operating the transformation zone is considered the school employer for purposes of IC 20-29.

     (g) All plans approved under this chapter shall be sent by the state board to the education employment relations board not later than fifteen (15) days after the plan’s approval.

As added by P.L.223-2015, SEC.14. Amended by P.L.211-2021, SEC.31; P.L.140-2022, SEC.3.