(a) The transfer of a student under this part is prohibited when:
- (1) Either the resident district or the receiving district is under a desegregation-related court order; and
- (2) The transfer in question would violate the court order.
- (b) Each form filed with the Division of Elementary and Secondary Education reporting a legal student transfer must be accompanied by an affidavit signed by each member of both school district boards of directors stating that the transfer does not violate the prohibition in subsection (a) of this section.
(c)
- (1) If the transfer fails to comply with subsection (a) of this section, the division shall withhold from each district state aid in an amount equal to that to be generated by the student in question in the respective districts.
(2)
- (A) State aid shall be withheld from the resident district under this subsection for the school year in which the transfer occurred.
- (B) If the resident district has received state aid for the student prior to the transfer, the state aid provided in the following school year shall be reduced by the amount of aid generated by the student in the year that the student was transferred.
(3) State aid shall be withheld from the nonresident district under this subsection for:
- (A) The initial school year in which the district would otherwise receive aid for that student; and
- (B) Each subsequent year in which the requirements of subsection (b) of this section are unsatisfied.
- (d) A student who transfers under this part may complete all remaining school years at the receiving district so long as the student continues to attend school in the district.
(e) A student who transfers under this part shall not be:
- (1) Denied participation in an extracurricular activity at the nonresident school district to which he or she transfers based exclusively on his or her decision to transfer to the nonresident school district; or
- (2) Disciplined in any manner based on the exercise of his or her right to transfer to another nonresident school district under this part.
(f) If a school district denies a legal transfer under this part or conditions a legal transfer on the acceptance of a tuition agreement, which has the effect of denying the petition, the school district shall notify the petitioner that the:
- (1) Actions of the school board may be appealed to the State Board of Education by filing a petition for appeal with the division in accordance with 6 CAR § 37-106(b); and
- (2) Appeal must be filed or postmarked within ten (10) days.