1.    The board of a school district or governing board of a nonpublic school that operates a physical school plant may adopt a policy to allow students to engage in virtual instruction and in the case of a school district, qualify for average daily membership in the district. A resident school district may not deny open enrollment to an approved virtual school.

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2.    A student or a student’s family member may not receive any item, service, or thing of value not given in exchange for fair market consideration from a vendor providing instruction or support under this section.

3.    The superintendent of public instruction shall adopt rules governing policies under this section. A policy adopted by a school district under this section must comply with the rules adopted by the superintendent of public instruction.

4.    The superintendent of public instruction shall provide an annual report to either the legislative management or the legislative assembly. In odd-numbered years, the report must be made to the legislative assembly. In even-numbered years, the report must be made to the legislative management. The annual report must:

a.    Contain a comparison of the academic performance of students participating in virtual instruction against students not participating in virtual instruction under this section; and

b.    Use the statewide prekindergarten through grade twelve strategic vision framework goals.

5.    If the superintendent of public instruction does not have access to academic performance reports of a school district’s virtual instruction subgroup because of the low group size, the district shall provide the annual report required under this section for the district’s comparison data.

6.    Students enrolled in an approved virtual school do not generate school district sized weighting factors pursuant to section 15.1-27-03.2.