(1) As used in this section:

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(a) ‘Nonsponsoring school district board’ means the school district board that:

(A) Is the school district board of the school district in which a public charter school is operating, or proposes to operate, a school or a tutoring or testing facility; and

(B) Is not the sponsor of the public charter school.

(b) ‘Nonvirtual public charter school’ means a public charter school that:

(A) Is not a virtual public charter school; and

(B) Is not sponsored by the State Board of Education.

(c) ‘Sponsoring school district’ is the school district of the sponsor of a public charter school.

(2) If a public charter school is a nonvirtual public charter school, the governing body of the nonvirtual public charter school:

(a) Except as provided by paragraph (c) of this subsection, may operate a school that is not located in the sponsoring school district only if the governing body has received written permission from the nonsponsoring school district board. The governing body must receive written permission under this paragraph prior to the first day on which students will attend classes at the school.

(b) Except as provided by paragraph (d) of this subsection, may operate a tutoring or testing facility that is not located in the sponsoring school district only if the governing body has received written permission from the nonsponsoring school district board. The governing body must receive written permission under this paragraph prior to the first day the students will receive tutoring or testing at the facility.

(c) May operate a school that is not located in the sponsoring school district and without complying with the requirements of paragraph (a) of this subsection only if:

(A) For a school that began operating prior to June 6, 2023;

(i) The location of the school has not changed since June 6, 2023; and

(ii) Written notification is provided to the nonsponsoring school district board each time the charter for the public charter school is renewed.

(B) For a school that began operating after June 6, 2023, and prior to January 1, 2024:

(i) The governing body operating the school had entered into a charter for a public charter school in the sponsoring school district prior to January 1, 2023;

(ii) The school district in which the school will be located is adjacent to the sponsoring school district; and

(iii) Written notification is provided to the nonsponsoring school district board:

(I) Prior to the first day the students will attend classes at the school; and

(II) Each time the charter for the public charter school is renewed.

(d) May operate a tutoring or testing facility that is not located in the sponsoring school district and without complying with the requirements of paragraph (b) of this subsection only if:

(A) The public charter school began operating as a public charter school prior to January 1, 2023; and

(B) Written notification is provided to the nonsponsoring school district board each time the charter for the public charter school is renewed.

(3) If a public charter school is a virtual public charter school, the governing body:

(a) May not operate a school in a school district that is not the sponsoring school district.

(b) May operate administrative offices in a nonsponsoring school district only after the governing body provides written notification to the nonsponsoring school district board:

(A) Prior to the first day the administrative offices are open; and

(B) Each time the charter for the public charter school is renewed.

(c) May operate a tutoring or testing facility that is not located in the sponsoring school district only if the governing body provides written notification to the nonsponsoring school district board:

(A) Prior to the first day the students will receive tutoring or testing at the facility for a facility that began operating after June 6, 2023; and

(B) Each time the charter for the public charter school is renewed.

(4) If a public charter school is sponsored by the State Board of Education, the governing body of the public charter school may not operate a school or a testing or tutoring facility that is not located in the school district specified by the school’s charter.

(5) If the governing body of a public charter school does not comply with the provisions of this section, the nonsponsoring school district board may file a complaint with the Superintendent of Public Instruction. Upon receipt of a complaint, the superintendent shall schedule a contested case hearing pursuant to ORS § 183.413 to 183.470. Upon a determination that the governing body did not comply with the requirements of this section, the superintendent may withhold State School Fund moneys otherwise due to the public charter school under ORS § 338.155. The superintendent shall withhold moneys until the governing body is in compliance or until some other date determined by the superintendent. [2022 c.163 § 2]