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FINANCIAL AND ECONOMIC LITERACY EDUCATION

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AMENDMENTS

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2019 GENERAL SESSION

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STATE OF UTAH

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Chief Sponsor: Jefferson Moss

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Senate Sponsor: Todd Weiler

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8     LONG TITLE
9     General Description:
10          This bill amends provisions related to financial and economic literacy education.
11     Highlighted Provisions:
12          This bill:
13          ▸     amends the definition of "financial and economic literacy concepts";
14          ▸     amends provisions related to standards related to financial literacy;
15          ▸     repeals and reenacts provisions related to:
16               •     a general financial literacy course; and
17               •     professional development related to financial literacy education;
18          ▸     repeals provisions related to a financial and economic literacy passport;
19          ▸     amends provisions related to the convening of a task force; and
20          ▸     makes technical and conforming changes.
21     Money Appropriated in this Bill:
22          None
23     Other Special Clauses:
24          None
25     Utah Code Sections Affected:
26     AMENDS:
27          53E-3-505, as last amended by Laws of Utah 2018, Chapter 22 and renumbered and
28     amended by Laws of Utah 2018, Chapter 1
29          53E-4-204, as renumbered and amended by Laws of Utah 2018, Chapter 1
30          53G-10-305, as enacted by Laws of Utah 2018, Chapter 3
31     

32     Be it enacted by the Legislature of the state of Utah:
33          Section 1. Section 53E-3-505 is amended to read:
34          53E-3-505. Financial and economic literacy education.
35          (1) As used in this section:
36          (a) "Financial and economic activities" include activities related to the topics listed in
37     Subsection (1)(b).
38          (b) "Financial and economic literacy concepts" include concepts related to the
39     following topics:
40          (i) basic budgeting;
41          (ii) saving and financial investments;
42          (iii) banking and financial services, including balancing a checkbook or a bank account
43     and online banking services;
44          (iv) career management, including earning an income;
45          (v) rights and responsibilities of renting or buying a home;
46          (vi) retirement planning;
47          (vii) loans and borrowing money, including interest, credit card debt, predatory
48     lending, and payday loans;
49          (viii) insurance;
50          (ix) federal, state, and local taxes;
51          (x) charitable giving;
52          [(xi) online commerce;]
53          [(xii)] (xi) identity fraud and theft;
54          [(xiii)] (xii) negative financial consequences of gambling;
55          [(xiv)] (xiii) bankruptcy;
56          [(xv) free markets and prices;] (xiv) economic systems, including a description of:
57          (A) a command system such as socialism or communism, a market system such as
58     capitalism, and a mixed system; and
59          (B) historic and current examples of the effects of each economic system on economic
60     growth;
61          [(xvi)] (xv) supply and demand;
62          [(xvii)] (xvi) monetary and fiscal policy;
63          [(xviii)] (xvii) effective business plan creation, including using economic analysis in
64     creating a plan;
65          [(xix)] (xviii) scarcity and choices;
66          [(xx)] (xix) opportunity cost and tradeoffs;
67          [(xxi)] (xx) productivity;
68          [(xxii)] (xxi) entrepreneurism; and
69          [(xxiii)] (xxii) economic reasoning.
70          [(c) "Financial and economic literacy passport" means a document that tracks mastery
71     of financial and economic literacy concepts and completion of financial and economic
72     activities in kindergarten through grade 12.]
73          [(d)] (c) "General financial literacy course" means the course of instruction [described
74     in Section 53E-4-204] administered by the state board under Subsection (3).
75          (2) The State Board of Education shall:
76          [(a) in cooperation with interested private and nonprofit entities:]
77          [(i) develop a financial and economic literacy passport that students may elect to
78     complete;]
79          [(ii) develop methods of encouraging parent and educator involvement in completion
80     of the financial and economic literacy passport; and]
81          [(iii) develop and implement appropriate recognition and incentives for students who
82     complete the financial and economic literacy passport, including:]
83          [(A) a financial and economic literacy endorsement on the student's diploma of
84     graduation;]
85          [(B) a specific designation on the student's official transcript; and]
86          [(C) any incentives offered by community partners;]
87          [(b)] (a) more fully integrate existing and new financial and economic literacy
88     education into instruction in kindergarten through grade 12 by:
89          (i) coordinating financial and economic literacy instruction with existing instruction in
90     other areas of the core standards for Utah public schools, such as mathematics and social
91     studies;
92          (ii) using curriculum mapping;
93          (iii) creating training materials and staff development programs that:
94          (A) highlight areas of potential coordination between financial and economic literacy
95     education and other core standards for Utah public schools concepts; and
96          (B) demonstrate specific examples of financial and economic literacy concepts as a
97     way of teaching other core standards for Utah public schools concepts; and
98          (iv) using appropriate financial and economic literacy assessments to improve financial
99     and economic literacy education and, if necessary, developing assessments;
100          [(c)] (b) work with interested public, private, and nonprofit entities to:
101          (i) identify, and make available to teachers, online resources for financial and
102     economic literacy education, including modules with interactive activities and turnkey
103     instructor resources;
104          (ii) coordinate school use of existing financial and economic literacy education
105     resources;
106          (iii) develop simple, clear, and consistent messaging to reinforce and link existing
107     financial literacy resources;
108          (iv) coordinate the efforts of school, work, private, nonprofit, and other financial
109     education providers in implementing methods of appropriately communicating to teachers,
110     students, and parents key financial and economic literacy messages; and
111          (v) encourage parents and students to establish higher education savings, including a
112     Utah Educational Savings Plan account;
113          [(d)] (c) in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking
114     Act, make rules to develop guidelines and methods for school districts and charter schools to
115     more fully integrate financial and economic literacy education into other core standards for
116     Utah public schools courses; and
117          (d) in cooperation with school districts, charter schools, and interested private and
118     nonprofit entities, provide opportunities for professional development in financial and
119     economic literacy concepts to teachers, including:
120          (i) a statewide learning community for financial and economic literacy;
121          (ii) summer workshops; and
122          (iii) online videos of experts in the field of financial and economic literacy education.
123          (3) The state board shall:
124          (a) administer a general financial literacy course in the same manner that the state
125     board administers other core standards for Utah public school courses for grades 9 through 12;
126          (b) adopt standards and objectives for the general financial literacy course that address:
127          (i) financial and economic literacy concepts;
128          (ii) the costs of going to college, student loans, scholarships, and the Free Application
129     for Federal Student Aid;
130          (iii) financial benefits of pursuing concurrent enrollment as defined in Section
131     53E-10-301; and
132          (iv) technology that relates to banking, savings, and financial products; and
133          [(e)] (c) (i) contract with a provider, through a request for proposals process, to develop
134     an online, end-of-course assessment for the general financial literacy course;
135          (ii) require a school district or charter school to administer an online, end-of-course
136     assessment to a student who takes the general financial literacy course; and
137          (iii) develop a plan, through the state superintendent of public instruction, to analyze
138     the results of an online, end-of-course assessment in general financial literacy that includes:
139          (A) an analysis of assessment results by standard; and
140          (B) average scores statewide and by school district and school[; and].
141          [(f) in cooperation with school districts, charter schools, and interested private and
142     nonprofit entities, provide opportunities for professional development in financial and
143     economic literacy to teachers, including:]
144          [(i) a statewide learning community for financial and economic literacy;]
145          [(ii) summer workshops; and]
146          [(iii) online videos of experts in the field of financial and economic literacy education.]
147          [(3)] (4) (a) The State Board of Education shall establish a task force to study and make
148     recommendations to the board on how to improve financial and economic literacy education in
149     the public school system.
150          (b) The task force membership shall include representatives of:
151          (i) the State Board of Education;
152          (ii) school districts and charter schools;
153          (iii) the State Board of Regents; and
154          (iv) private or public entities that teach financial education and share a commitment to
155     empower individuals and families to achieve economic stability, opportunity, and upward
156     mobility.
157          (c) The state board shall convene the task force [shall reconvene] at least once every
158     three years to review and recommend adjustments to the standards and objectives of the general
159     financial literacy course.
160          Section 2. Section 53E-4-204 is amended to read:
161          53E-4-204. Standards and graduation requirements.
162          (1) The State Board of Education shall establish rigorous core standards for Utah
163     public schools and graduation requirements under Section 53E-3-501 for grades 9 through 12
164     that:
165          (a) are consistent with state law and federal regulations; [and]
166          [(b) beginning no later than with the graduating class of 2008:]
167          [(i)] (b) use competency-based standards and assessments;
168          [(ii)] (c) include instruction that stresses general financial literacy from basic budgeting
169     to financial investments, including bankruptcy education and a general financial literacy
170     test-out option; and
171          [(iii)] (d) [increase] include graduation requirements in language arts, mathematics,
172     and science [to exceed the existing credit requirements of] that exceed 3.0 units in language
173     arts, 2.0 units in mathematics, and 2.0 units in science.
174          (2) The State Board of Education shall [also] establish competency-based standards
175     and assessments for elective courses.
176          [(3) On or before July 1, 2014, the State Board of Education shall adopt revised course
177     standards and objectives for the course of instruction in general financial literacy described in
178     Subsection (1)(b) that address:]
179          [(a) the costs of going to college, student loans, scholarships, and the Free Application
180     for Federal Student Aid (FAFSA); and]
181          [(b) technology that relates to banking, savings, and financial products.]
182          [(4) The State Board of Education shall administer the course of instruction in general
183     financial literacy described in Subsection (1)(b) in the same manner as other core standards for
184     Utah public schools courses for grades 9 through 12 are administered.]
185          Section 3. Section 53G-10-305 is amended to read:
186          53G-10-305. Financial education information.
187          A public school shall provide [the following], to the parents or guardian of a
188     kindergarten student during kindergarten enrollment[: (1) a financial and economic literacy
189     passport, as defined in Section 53E-3-505; and (2)], information about higher education
190     savings options, including information about opening a Utah Educational Savings Plan
191     account.