1. (1) At the conclusion of the Hearing, the Hearing Committee shall determine whether to propose to the State Board that a recommendation be made to the Department to:

   1. (a) Audit and investigate the LEA’s or public charter school’s academic programming and spending for the “F” rated school(s) in accordance with the criteria established in State Board Policy 1.600; or
   2. (b) Require the LEA or public charter school to develop, submit to the Department for approval, and implement a corrective action plan in accordance with the criteria established in State Board Policy 1.600.

2. (2) The Hearing Committee shall make its proposal to the State Board as follows:

   1. (a) For an LEA or public charter school appearing before the Hearing Committee for the first time:

      1. 1. A corrective action plan, as described in subparagraph (1)(b); or
      2. 2. No action.

   2. (b) For an LEA or public charter school appearing before the Hearing Committee for a second time:

      1. 1. An audit and investigation, as described in subparagraph (1)(a);
      2. 2. A corrective action plan, if not completed following the first appearance before the Hearing Committee; or
      3. 3. No action.

   3. (c) For an LEA or public charter school appearing before the Hearing Committee for the third time or more:

      1. 1. Completion of a new corrective action plan developed in consultation with, monitored, and evaluated by the Department;
      2. 2. Audit and investigation, which may be more narrowly tailored than the audit and investigation in subparagraph (1)(a), of the LEA’s or public charter school’s academic programming and spending; or
      3. 3. No action.
3. (3) At a meeting following the Hearings, the Hearing Committee shall provide to the State Board a report on the Hearing that includes the Hearing Committee’s proposal. The State Board shall vote to take no action or to recommend that the Department take one (1) of the corrective actions authorized by T.C.A. § 49-3-112(c).
4. (4) Within ten (10) calendar days of the State Board’s vote outlined in paragraph (3), the State Board’s executive director shall notify the Department and the LEA or the public charter school and its authorizer of the recommendation in writing.
5. (5) The Department shall notify the State Board and the LEA or public charter school and its authorizer of its decision and rationale whether to impose the recommended corrective action within thirty (30) calendar days of the State Board’s written notification.
6. (6) For any corrective action required by the Department that will incur a cost, the Department shall provide to the State Board documentation and the rationale for any apportioned costs between the Department and the LEA or public charter school. The apportionment shall be subject to State Board approval.
7. (7) LEAs and public charter schools shall report the outcomes of a corrective action, as requested by the Department. The Department shall annually update the State Board on the status of any corrective actions recommended by the State Board.

Authority: T.C.A. §§ 49-1-228, 49-1-302, and 49-3-112. Administrative History: New rules filed September 25, 2025; effective December 24, 2025.