Chapter 690 Oregon Laws 2003

 

AN ACT

 

HB 3044

 

Relating to collection of amounts owed by students; creating new provisions; and amending ORS 339.260 and 339.270.

 

Be It Enacted by the People of the State of Oregon:

 

          SECTION 1. ORS 339.260 is amended to read:

          339.260. (1) [Any school district which is owed a fee or the property of which has been lost or willfully damaged or injured may withhold the grade reports, diploma or records of the student who owes the fee or is responsible for the loss or damage until the student or the parent or guardian of the student has paid the amount owed.] A school district shall withhold the grade reports, diploma and records of any student or former student who owes a debt of $50 or more to the school district. A school district may withhold the grade reports, diploma and records of any student or former student who owes a debt of less than $50 to the school district. A school district shall release the grade reports, diploma and records upon payment of the debt.

          [(2) When the student or the parent or guardian of the student is unable to pay the amount owed under subsection (1) of this section, the school district may waive the amount owed.]

          (2) A school district board shall adopt policies about how the school district shall collect from a student or the parent or guardian of the student any amount that is owed to a school district that is $50 or more by a student or former student of the school district. In addition, the school district board may adopt policies for the collection of debt owed to the school district that is less than $50.

          (3) The parent or guardian of such student shall be liable for damages as otherwise provided by law.

          (4) Notwithstanding subsections (1) and (2) of this section, a school district board may adopt policies that allow the school district to waive all or a portion of a debt owed to the school district by a student if:

          (a) The school district determines that the student or the parent or guardian of the student is unable to pay the debt;

          (b) The payment of the debt could impact the health or safety of the student;

          (c) The creation of the notice required by subsection (7) of this section would cost more than the potential total debt collected relating to the notice; or

          (d) There are mitigating circumstances as determined by the superintendent of the school district that preclude the collection of the debt.

          [(4)] (5) Notwithstanding [subsections (1) and (2)] subsection (1) of this section, a school district shall not withhold the education records of a student in the circumstances described in ORS 326.575 and applicable rules of the State Board of Education or when such records are requested for use in the appropriate placement of the student.

          [(5)] (6) Before any grade reports, diplomas or records are withheld under [subsections (1) or (2)] subsection (1) of this section or any debt is collected under subsection (2) of this section, a school district board [of directors shall adopt rules of procedure which] shall adopt policies that ensure that the rights of the student to due process are protected. The policies adopted under this subsection and subsection (2) of this section shall meet the requirements of subsections (7) and (8) of this section.

          (7) Prior to pursuing the collection of a debt owed to the school district by a student or former student or withholding any grade reports, diploma or records of a student or former student, the school district must give written or oral notice to the student and the parent or guardian of the student. The notice must state the reason the student owes money to the school district and the amount owed. The notice must inform the student and the parent or guardian of the student that the school district intends to withhold the grade reports, diploma and records of the student until the debt is paid. The notice must also state that the school district may pursue the matter through a private collection agency or other method available to the school district. A school district may give more than one notice to the student and the parent or guardian of the student.

          (8) Following a date that is at least 10 days after the date of the last notice given under subsection (7) of this section, if the student or the parent or guardian of the student has not paid the debt, the school district:

          (a) Shall, if the debt is $50 or more, withhold the grade reports, diploma and records of the student;

          (b) May, if the debt is less than $50, withhold the grade reports, diploma and records of the student; and

          (c) May pursue the matter through a private collection agency or other method available to the school district.

          [(6)] (9) Nothing in [subsection (1) of] this section is intended to prevent inspection of student education records by a parent or legal guardian pursuant to ORS 343.173, the rules of the State Board of Education and applicable state and federal law.

          (10) Each school district shall notify students about the provisions of this section and ORS 339.270 at least once each school year.

          (11) In any civil action by a school district against a student or parent or guardian of a student for the collection of a debt owed to the school district, if the school district is the prevailing party, the court shall award the school district costs and reasonable attorney fees.

 

          SECTION 2. ORS 339.270 is amended to read:

          339.270. (1) [The amount of damage to any school property shall be determined by procedures established by the district school board and they may be assessed against the pupil willfully causing the injury or damage and against the parent or parents having legal custody of the pupil or against the legal guardian of the pupil.] If a school district finds that a student is responsible for damaging school district property, the school district shall determine the reasonable cost of repairing or replacing the school district property. If the cost is $50 or more, the school district shall notify the student and the parent or guardian of the student about the cost and shall charge the student or the parent or guardian of the student for the cost of repairing or replacing the school district property. If the amount is not paid by the student or the parent or guardian of the student, or if other arrangements have not been made, within 10 days of receiving the notice under this subsection, the amount shall become a debt owed by the student or the parent or guardian of the student, and the school district shall withhold the grade reports, diploma and records of the student pursuant to ORS 339.260.

          (2) If the cost of repairing or replacing school district property is less than $50, the school district may proceed under this section to collect the debt.

          [(2)] (3) If the [assessed damages are] debt owed to the school district is not paid as demanded, the [district] school district board, in addition to any other remedy provided by law, may bring an action under this section against the [pupil and against the parent or parents having legal custody of the pupil or against the legal guardian of the pupil] student or parent or guardian of the student in a court of competent jurisdiction for the amount [of the assessed damages not to exceed $5,000] owed to the school district plus costs and reasonable attorney fees.

 

          SECTION 3. The amendments to ORS 339.260 and 339.270 by sections 1 and 2 of this 2003 Act apply to debt incurred by a student on or after July 1, 2004.

 

Approved by the Governor August 21, 2003

 

Filed in the office of Secretary of State August 21, 2003

 

Effective date January 1, 2004

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