S.B. 40 Enrolled

1

FINANCIAL AND ECONOMIC LITERACY AMENDMENTS
2 2014 GENERAL SESSION
3 STATE OF UTAH
4 Chief Sponsor: Patricia W. Jones
5 House Sponsor: Rich Cunningham
6
7 LONG TITLE
8 General Description:
9 This bill modifies provisions relating to financial and economic literacy education.
10 Highlighted Provisions:
11 This bill:
12 . requires the State Board of Education to:
13 . contract with a provider to develop an online, end-of-course assessment for the
14 general financial literacy course;
15 . require a school district or charter school to administer an online, end-of-course
16 assessment to a student who takes the general financial literacy course;
17 . identify, and make available to teachers, online resources for financial and
18 economic literacy education;
19 . in cooperation with school districts, charter schools, and interested private or
20 nonprofit entities, provide professional development opportunities in financial
21 and economic literacy to teachers;
22 . adopt course standards or objectives for the general financial literacy course that
23 address certain topics;
24 . implement a teacher endorsement in general financial literacy; and
25 . administer the general financial literacy course in the same manner as other core
26 curriculum courses for grades 9 through 12 are administered;
27 . modifies duties of a financial and economic literacy task force established by the
28 State Board of Education; and
29 . makes technical amendments.

30 Money Appropriated in this Bill:
31 This bill appropriates in fiscal year 2015:
32 . to the State Board of Education - Utah State Office of Education - Initiative
33 Programs as a one-time appropriation:
34 . from the Education Fund, $75,000;
35 . to the State Board of Education - Utah State Office of Education - Initiative
36 Programs as an ongoing appropriation:
37 . from the Education Fund, $100,000;
38 . to the State Board of Education - State Office of Education as a one-time
39 appropriation:
40 . from the Education Fund, $75,000; and
41 . to the State Board of Education - State Office of Education as an ongoing
42 appropriation:
43 . from the Education Fund, $200,000.
44 Other Special Clauses:
45 This bill takes effect on July 1, 2014.
46 Utah Code Sections Affected:
47 AMENDS:
48 53A-13-108 , as last amended by Laws of Utah 2012, Chapter 398
49 53A-13-110 , as last amended by Laws of Utah 2013, Chapter 226
50
51 Be it enacted by the Legislature of the state of Utah:
52 Section 1. Section 53A-13-108 is amended to read:
53 53A-13-108. Curriculum and graduation requirements.
54 (1) The State Board of Education shall establish rigorous curriculum and graduation
55 requirements under Section 53A-1-402 [, and consistent with state and federal regulations,] for
56 grades 9 through 12 that[,]:
57 (a) are consistent with state law and federal regulations; and

58 (b) beginning no later than with the graduating class of 2008 [shall]:
59 [(a)] (i) use competency-based standards and assessments;
60 [(b)] (ii) include instruction that stresses general financial literacy from basic budgeting
61 to financial investments, including bankruptcy education and a general financial literacy
62 test-out option; and
63 [(c)] (iii) increase graduation requirements in language arts, mathematics, and science
64 to exceed the existing credit requirements of 3.0 units in language arts, 2.0 units in
65 mathematics, and 2.0 units in science.
66 (2) The State Board of Education shall also establish competency-based standards and
67 assessments for elective courses.
68 (3) On or before July 1, 2014, the State Board of Education shall adopt revised course
69 standards and objectives for the course of instruction in general financial literacy described in
70 Subsection (1)(b) that address:
71 (a) the costs of going to college, student loans, scholarships, and the Free Application
72 for Federal Student Aid (FAFSA); and
73 (b) technology that relates to banking, savings, and financial products.
74 (4) The State Board of Education shall administer the course of instruction in general
75 financial literacy described in Subsection (1)(b) in the same manner as other core curriculum
76 courses for grades 9 through 12 are administered.
77 Section 2. Section 53A-13-110 is amended to read:
78 53A-13-110. Financial and economic literacy education.
79 (1) As used in this section:
80 (a) "Financial and economic activities" include activities related to the topics listed in
81 Subsection (1)(b).
82 (b) "Financial and economic literacy concepts" include concepts related to the
83 following topics:
84 (i) basic budgeting;
85 (ii) saving and financial investments;

86 (iii) banking and financial services, including balancing a checkbook or a bank account
87 and online banking services;
88 (iv) career management, including earning an income;
89 (v) rights and responsibilities of renting or buying a home;
90 (vi) retirement planning;
91 (vii) loans and borrowing money, including interest, credit card debt, predatory
92 lending, and payday loans;
93 (viii) insurance;
94 (ix) federal, state, and local taxes;
95 (x) charitable giving;
96 (xi) online commerce;
97 (xii) identity fraud and theft;
98 (xiii) negative financial consequences of gambling;
99 (xiv) bankruptcy;
100 (xv) free markets and prices;
101 (xvi) supply and demand;
102 (xvii) monetary and fiscal policy;
103 (xviii) effective business plan creation, including using economic analysis in creating a
104 plan;
105 (xix) scarcity and choices;
106 (xx) opportunity cost and tradeoffs;
107 (xxi) productivity;
108 (xxii) entrepreneurism; and
109 (xxiii) economic reasoning.
110 (c) "Financial and economic literacy passport" means a document that tracks mastery
111 of financial and economic literacy concepts and completion of financial and economic
112 activities in kindergarten through grade 12.
113 (d) "General financial literacy course" means the course of instruction described in

114 Section 53A-13-108 .
115 (2) The State Board of Education shall:
116 (a) in cooperation with interested private and nonprofit entities:
117 (i) develop a financial and economic literacy passport that students may elect to
118 complete;
119 (ii) develop methods of encouraging parent and educator involvement in completion of
120 the financial and economic literacy passport; and
121 (iii) develop and implement appropriate recognition and incentives for students who
122 complete the financial and economic literacy passport, including:
123 (A) a financial and economic literacy endorsement on the student's diploma of
124 graduation;
125 (B) a specific designation on the student's official transcript; and
126 (C) any incentives offered by community partners;
127 (b) more fully integrate existing and new financial and economic literacy education
128 into instruction in kindergarten through grade 12 by:
129 (i) coordinating financial and economic literacy instruction with existing instruction in
130 other core curriculum areas such as mathematics and social studies;
131 (ii) using curriculum mapping;
132 (iii) creating training materials and staff development programs that:
133 (A) highlight areas of potential coordination between financial and economic literacy
134 education and other core curriculum concepts; and
135 (B) demonstrate specific examples of financial and economic literacy concepts as a
136 way of teaching other core curriculum concepts; and
137 (iv) using appropriate financial and economic literacy assessments to improve financial
138 and economic literacy education and, if necessary, developing assessments;
139 (c) work with interested public, private, and nonprofit entities to:
140 (i) identify, and make available to teachers, online resources for financial and
141 economic literacy education, including modules with interactive activities and turnkey

142 instructor resources;
143 [(i)] (ii) coordinate school use of existing financial and economic literacy education
144 resources;
145 [(ii)] (iii) develop simple, clear, and consistent messaging to reinforce and link existing
146 financial literacy resources;
147 [(iii)] (iv) coordinate the efforts of school, work, private, nonprofit, and other financial
148 education providers in implementing methods of appropriately communicating to teachers,
149 students, and parents key financial and economic literacy messages; and
150 [(iv)] (v) encourage parents and students to establish higher education savings,
151 including a Utah Educational Savings Plan account; [and]
152 (d) in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
153 make rules to develop guidelines and methods for school districts and charter schools to more
154 fully integrate financial and economic literacy education into other core curriculum courses[.];
155 (e) (i) contract with a provider, through a request for proposals process, to develop an
156 online, end-of-course assessment for the general financial literacy course;
157 (ii) require a school district or charter school to administer an online, end-of-course
158 assessment to a student who takes the general financial literacy course; and
159 (iii) develop a plan, through the state superintendent of public instruction, to analyze
160 the results of an online, end-of-course assessment in general financial literacy that includes:
161 (A) an analysis of assessment results by standard; and
162 (B) average scores statewide and by school district and school;
163 (f) in cooperation with school districts, charter schools, and interested private and
164 nonprofit entities, provide opportunities for professional development in financial and
165 economic literacy to teachers, including:
166 (i) a statewide learning community for financial and economic literacy;
167 (ii) summer workshops; and
168 (iii) online videos of experts in the field of financial and economic literacy education;
169 and

170 (g) implement a teacher endorsement in general financial literacy that includes course
171 work in financial planning, credit and investing, consumer economics, personal budgeting, and
172 family economics.
173 (3) A public school shall provide the following to the parents or guardian of a
174 kindergarten student during kindergarten enrollment:
175 (a) a financial and economic literacy passport; and
176 (b) information about higher education savings options, including information about
177 opening a Utah Educational Savings Plan account.
178 (4) (a) The State Board of Education shall establish a task force to study and make
179 recommendations to the board on how to improve financial and economic literacy education in
180 the public school system.
181 (b) The task force membership shall include representatives of:
182 (i) the State Board of Education;
183 (ii) school districts and charter schools; and
184 (iii) private or public entities that teach financial education and share a commitment to
185 empower individuals and families to achieve economic stability, opportunity, and upward
186 mobility.
187 (c) In 2013, the task force shall:
188 (i) review and recommend modifications to the course standards and objectives of the
189 general financial literacy course described in Section 53A-13-108 to ensure the course
190 standards and objectives reflect current and relevant content consistent with the financial and
191 economic literacy concepts listed in Subsection (1)(b);
192 (ii) study the development of an online assessment of students' competency in financial
193 and economic literacy that may be used to:
194 (A) measure student learning growth and proficiency in financial and economic
195 literacy; and
196 (B) assess the effectiveness of instruction in financial and economic literacy;
197 (iii) consider the development of a rigorous, online only, course to fulfill the general

198 financial literacy curriculum and graduation requirements specified in Section 53A-13-108 ;
199 (iv) identify opportunities for teaching financial and economic literacy through an
200 integrated school curriculum and in the regular course of school work;
201 (v) study and make recommendations for educator license endorsements for teachers of
202 financial and economic literacy;
203 (vi) identify efficient and cost-effective methods of delivering professional
204 development in financial and economic literacy content and instructional methods; and
205 (vii) study how financial and economic literacy education may be enhanced through
206 community partnerships.
207 (d) The task force shall reconvene every [two] three years to review and recommend
208 adjustments to the course standards and objectives of the general financial literacy course.
209 (e) The State Board of Education shall make a report to the Education Interim
210 Committee no later than the committee's November 2013 meeting summarizing the findings
211 and recommendations of the task force and actions taken by the board in response to the task
212 force's findings and recommendations.
213 Section 3. Appropriation.
214 Under the terms and conditions of Title 63J, Chapter 1, Budgetary Procedures Act, for
215 the fiscal year beginning July 1, 2014, and ending June 30, 2015, the following sums of money
216 are appropriated from resources not otherwise appropriated, or reduced from amounts
217 previously appropriated, out of the funds or accounts indicated. These sums of money are in
218 addition to any amounts previously appropriated for fiscal year 2015.
219 To State Board of Education - Utah State Office of Education - Initiative Programs
220 From Education Fund, One-time

$75,000

221 From Education Fund

$100,000

222 Schedule of Programs:
223 Financial and Economic Literacy $175,000
224 The Legislature intends that the Utah State Office of Education use the appropriation
225 for Financial and Economic Literacy for the development and delivery of an online test for the

226 general financial literacy course.
227 To State Board of Education - State Office of Education
228 From Education Fund, One-time

$75,000

229 From Education Fund

$200,000

230 Schedule of Programs:
231 Teaching and Learning $275,000
232 The Legislature intends that the State Office of Education use the appropriation for
233 Teaching and Learning for the improvement of financial and economic literacy education,
234 including professional development for educators, the endorsement of teachers who teach the
235 general financial literacy course, and the development of curriculum resources.
236 Section 4. Effective date.
237 This bill takes effect on July 1, 2014.