Unless otherwise specifically stated herein, the term:

1. (1)

   1. (A) “Administrator” means any:

      1. (i) Superintendent;
      2. (ii) Assistant superintendent or his or her equivalent;
      3. (iii) Open-enrollment public charter school director;
      4. (iv) School district treasurer;
      5. (v) Business manager; or
      6. (vi) Other individual responsible for entity-wide purchasing.

   2. (B)

      1. (i) The determining factor for being considered an “administrator” for the purposes of this part is the actual or implied authority of an individual to make purchases on behalf of the entire organization.
      2. (ii) This definition excludes many building principals, whose purchasing authority is often limited to their own school, but could include athletic directors or others.
      3. (iii) Classified employees serving in food services, business/accounting, or other capacities may also be considered “administrators” when they exercise autonomous system-wide purchasing authority;
2. (2) “Board” means local school boards or other governing bodies of public educational entities;
3. (3) “Board of Education” means the State Board of Education;
4. (4) “Board member” means any board member, director, or other member of a governing body of a public educational entity;

5. (5) “Commissioner” means:

   1. (A) The Commissioner of Elementary and Secondary Education; or
   2. (B) His or her designee;
6. (6) “Commodities” means all supplies, goods, material, equipment, computers, software, machinery, facilities, personal property, and services, other than personal and professional services, purchased for or on behalf of a public educational entity;

7. (7)

   1. (A) “Compensation or other benefits” means any monetary or nonmonetary gain, including without limitation salary, fringe benefits, gratuities, and bonuses received by:

      1. (i) Owners;
      2. (ii) Officers;
      3. (iii) Directors;
      4. (iv) Trustees;
      5. (v) Partners;
      6. (vi) Managerial employees; or
      7. (vii) Other executive level employees.

   2. (B) The definition does not include compensation or other benefits received by the following individuals:

      1. (i) Nonmanagerial or nonexecutive level employees;
      2. (ii) Clerical or other similar hourly compensated employees;
      3. (iii) Individuals who own five percent (5%) or less interest in a company or entity; and
      4. (iv) Individuals who own stock or other equity holdings in any publicly held company;

8. (8) “Contract” means any transaction or agreement for the purchase, lease, transfer, or use of real property or personal property and personal or professional services, including but not limited to:

   1. (A) Motor vehicles;
   2. (B) Equipment;
   3. (C) Commodities;
   4. (D) Materials;
   5. (E) Services;
   6. (F) Computers or other electronics;
   7. (G) Construction;
   8. (H) Capital improvements;
   9. (I) Deposits; and
   10. (J) Investments;
9. (9) “Contract disclosure form” means the form herein incorporated and attached to this part as Appendix Form B;
10. (10) “Day” means a working day in which the Department of Education is open to transact official governmental business;
11. (11) “Department” means the Department of Education;
12. (12) “Directly” or “directly interested” means receiving compensation or other benefits personally or to an individual’s household from the person, business, or entity contracting with the public educational entity;

13. (13) “Emergency purchase” means purchases mandated by unforeseen and unavoidable circumstances in which:

    1. (A) Human life, health, or public property is in immediate jeopardy; and

    2. (B) The expenditure is necessary to preserve:

       1. (i) Life;
       2. (ii) Health; or
       3. (iii) Public property;
14. (14) “Employee” means a full-time employee or part-time employee of a public educational entity;
15. (15) “Employment contract” means an agreement or contract between an employer and an employee in which the terms and conditions of the employment are provided;

16. (16) “Family” or “family members” means:

    1. (A) An individual’s spouse;

    2. (B) Children of the:

       1. (i) Individual; or
       2. (ii) Individual’s spouse;

    3. (C) The spouse of a child of the:

       1. (i) Individual; or
       2. (ii) Individual’s spouse;

    4. (D) Parents of the:

       1. (i) Individual; or
       2. (ii) Individual’s spouse;

    5. (E) Brothers and sisters of the:

       1. (i) Individual; or
       2. (ii) Individual’s spouse;

    6. (F) Anyone living or residing in the same residence or household with the:

       1. (i) Individual; or
       2. (ii) Individual’s spouse; or

    7. (G) Anyone acting or serving as an agent of the:

       1. (i) Individual; or
       2. (ii) Individual’s spouse;

17. (17)

    1. (A) "Financial interest” in a business or other entity means:

       1. (i) Ownership of more than a five percent (5%) interest;

       2. (ii) Holding a position as:

          1. (a) (a) Officer;
          2. (b) (b) Director;
       3. (c) (c) Trustee;

       4. (d) (d) Partner; or

          1. (e) (e) Other top level management; or
       5. (iii) Being an employee, agent, independent contractor, or having any other arrangement in which the individual’s compensation is based in whole or in part on transactions with the public educational entity.

    2. (B) “Financial interest” does not include:

       1. (i) The ownership of stock or other equity holdings in any publicly held company; or
       2. (ii) Clerical or other similar hourly compensated employees;
18. (18) “Gratuity” means a payment, loan, subscription, advance, deposit of money, travel, services, or anything having a present market value of one hundred dollars ($100) or more unless consideration of substantially equal or greater value is received;
19. (19) “Indirectly” or “indirectly interested” means that a family member, business, or other entity in which the individual or family member has a financial interest will receive compensation or benefits;

20. (20) “Initially employed” means:

    1. (A) Employed in either an interim or permanent position for the first time or following a severance in employment with the school district; or

    2. (B) A change in the terms and conditions of any existing contract, excluding:

       1. (i) Any renewal of a teacher contract under Arkansas Code § 6-17-1506;
       2. (ii) Renewal of a noncertified employee’s contract that is required by law; or
       3. (iii) Movement of an employee on the salary schedule that does not require the public educational entity’s board action;

21. (21)

    1. (A) “Public educational entity” means:

       1. (i) Arkansas public school districts;
       2. (ii) Charter schools;
       3. (iii) Education service cooperatives; or
       4. (iv) Any publicly supported entity having supervision over public educational entities.
    2. (B) “Public educational entity” does not include institutions of higher education;

22. (22)

    1. (A) “Unusual and limited circumstances” means without limitation those circumstances that are:

       1. (i) Uncommon;
       2. (ii) Rare; and
       3. (iii) Restricted.
    2. (B) For the purposes of employment contracts, unusual and limited circumstances may include without limitation a shortage of qualified candidates.

    3. (C) For contracts and transactions other than employment contracts, unusual and limited circumstances may include without limitation the selected vendor:

       1. (i) Being the only vendor within a reasonable distance offering the required services; or
       2. (ii) Offering the lowest bid for prices or services as compared to two (2) or more other bidders; and
23. (23) “Written resolution” means the form herein incorporated and attached to this part as Appendix Form C.