HB889: Economics education & financial literacy; Bd. of Education to develop online course of instruction.

HOUSE BILL NO. 889

Offered January 8, 2014
Prefiled January 8, 2014
A BILL to amend and reenact § 22.1-200.03 of the Code of Virginia, relating to economics education and financial literacy; online course of instruction.
Patron-- Comstock

Committee Referral Pending

Be it enacted by the General Assembly of Virginia:

1. That § 22.1-200.03 of the Code of Virginia is amended and reenacted as follows:

§ 22.1-200.03. Economics education and financial literacy required in middle and high school grades; Board of Education to establish objectives for economic education and financial literacy.

A. As used in this section:

"Financial institution" means a bank, savings and loan association, savings bank, or credit union authorized to conduct business in the Commonwealth.

"High school" includes grades nine through 12.

"Middle school" includes grades six through eight.

By July 1, 2006, instruction B. Instruction in the principles of the American economic system shall be required in the public middle and high schools of the Commonwealth to promote economics education and financial literacy of students and to further the development of knowledge, skills, and attitudes needed for responsible citizenship in a constitutional democracy.

B. C. The Board of Education shall develop and approve objectives for economics education and financial literacy at the middle and high school levels, that shall be required of all students, and shall provide for the systematic infusion of economic principles in the relevant Standards of Learning, and in career and technical education programs. The objectives shall include, but not be limited to, personal living and finances; personal and business money management skills; opening an account in a financial institution and judging the quality of a financial institution's services; balancing a checkbook; completing a loan application; the implications of an inheritance; the basics of personal insurance policies; consumer rights and responsibilities; dealing with salesmen and merchants; debt management; managing retail and credit card debt; state and federal tax computation; local tax assessments; computation of interest rates by various mechanisms; understanding simple contracts; and learning how to contest an incorrect bill.

C. D. To facilitate the objectives of economics education and financial literacy through practical experiences, the Department shall confer with the State Corporation Commission's Bureau of Financial Institutions, and financial and relevant professional organizations in the development of guidelines for such literacy objectives. The guidelines shall include, but not be limited to, (i) rules and policies governing the establishment, operation, and dissolution of school banks and school credit unions; (ii) written agreements between partnering public schools and financial institutions, including the disposition of funds donated or other financial contributions provided by the partnering financial institution; and (iii) such other matters as the Department may deem appropriate.

D. E. The Board shall not be required to evaluate student achievement concerning economics education and financial literacy objectives in the Standards of Learning assessments required by § 22.1-253.13:3.

E. For the purposes of this section, "at-risk and disadvantaged students" means students having socioeconomic or cultural risk factors that research indicates may negatively influence academic achievement or may hinder an individual in reaching his life goals.

For the purposes of this section, "financial institution" means a bank, savings and loan association, savings bank, or credit union authorized to conduct business in the Commonwealth.

For the purposes of this section, "high school" includes grades nine through 12.

For the purposes of this section, "middle school" includes grades six through eight.

F. The Board of Education shall develop an online course of instruction and assessment in the objectives of economics education and financial literacy. Each local school board shall offer the online course of instruction and assessment to public middle and high school students as an alternative to classroom instruction in the objectives of economics education and financial literacy.

2. That the Board of Education shall develop an online course of instruction and assessment in the objectives of economics education and financial literacy no later than July 1, 2016, and each local school board shall offer the online course of instruction and assessment to public middle and high school students beginning in the 2016-2017 school year.