(b)

1. (1) A school district shall submit a petition for a waiver to the state board no later than February 1 prior to the school year in which the waiver will take effect.

2. (2) The petition for waiver shall include:

   1. (A) The average daily membership of the school district in the current school year;
   2. (B) A statement that the school district is not in probationary status for any violation of the Rules Governing Standards for Accreditation of Arkansas Public Schools and School Districts, 6 CAR pt. 61;
   3. (C) A copy of the school district’s current year budget and any fiscal audit conducted within the previous two (2) years; and
   4. (D) A statement of assurance that the school district is not currently classified in:

(i) Academic distress;

1. (ii) Fiscal distress; or

   1. (iii) Facilities distress.

      1. (c) The state board shall render a decision to either grant or reject a petition for waiver that is received by a school district within forty-five (45) days of receipt.
      2. (d) The state board shall grant a petition for a waiver if it is demonstrated by the school district that:

2. (1) The school district is not currently classified in:

   1. (A) Academic distress;
   2. (B) Fiscal distress; or
   3. (C) Facilities distress;
3. (2) The school district is not in probationary status for a violation of the Rules Governing Standards for Accreditation of Arkansas Public Schools and School Districts, 6 CAR pt. 61;
4. (3) The academic facilities owned and operated by the school district are adequate as evidenced by the school district’s facilities master plan; and
5. (4) It is in the best interest of the students in the school district to keep the school district open due to the length of potential time spent on the bus by a student traveling to and from school should the school district be administratively reorganized, as assured by the school board of directors of the school district requesting the waiver.

(e)

1. (1) The state board may revoke a waiver that has been granted to a school district at any time if it is found that the conditions under Arkansas Code § 6-13-1613(b)(2)(A) and subsection (d) of this section change.

2. (2) A hearing shall be conducted using the following procedures:

   1. (A) All persons wishing to testify before the state board shall first be placed under oath by the Chair of the State Board of Education;

   2. (B)

      1. (i) The spokesperson or spokespersons for the division shall have a total of twenty (20) minutes to present the division’s remarks.
      2. (ii) The state board may allow more than twenty (20) minutes if necessary;

   3. (C)

      1. (i) The spokesperson or spokespersons for the district shall have a total of twenty (20) minutes to present the district’s remarks.
      2. (ii) The state board may allow more than twenty (20) minutes if necessary;

   4. (D)

      1. (i) The spokesperson or spokespersons for the division shall have a total of ten (10) minutes to present closing remarks to the state board.
      2. (ii) The state board may allow more than ten (10) minutes if necessary;

   5. (E)

      1. (i) The spokesperson or spokespersons for the district shall have a total of ten (10) minutes to present closing remarks to the state board.
      2. (ii) The state board may allow more than ten (10) minutes if necessary;
   6. (F) The state board shall then discuss, deliberate, and vote upon the matter of revoking the school districts’ waiver;
   7. (G) If it deems necessary, the state board may take the matter under advisement and announce its decision at a later date, provided that all discussions, deliberations, and votes upon the matter take place in a public hearing; and
   8. (H) The state board shall issue a written order concerning the matter.