Title of Regulation: 8VAC20-23. Licensure Regulations for School Personnel (adding 8VAC20-23-615).

Statutory Authority: § 22.1-298.1 of the Code of Virginia.

Public Hearing Information: No public hearing is currently scheduled.

Public Comment Deadline: April 15, 2022.

Agency Contact: Patty Pitts, Assistant Superintendent for Teacher Education and Licensure, Department of Education, James Monroe Building, 101 North 14th Street, Richmond, VA 23219, telephone (804) 371-2522, or email patty.pitts@doe.virginia.gov.

Basis: Section 22.1-16 of the Code of Virginia gives the State Board of Education authority to promulgate regulations to carry out its statutory powers and duties. Pursuant to § 22.1-298.2 of the Code of Virginia, the board has the authority to prescribe by regulation the requirements for accreditation and approval of education preparation programs. Section 22.1-200.03 of the Code of Virginia requires the board to develop and approve objectives for economics education and financial literacy to be required of all students at the middle and high school levels.

Purpose: Students who gain knowledge and skills in economics and personal finance are more productive citizens in society. This regulatory change is offered to protect the health, safety, and welfare of citizens by helping to address gaps in teacher preparation and training. Students who gain knowledge and skills in economics and personal finance are more productive citizens in society.

Substance: Currently, no specific endorsement has been established in the Licensure Regulations for School Personnel (8VAC20-23) and the Regulations Governing the Review and Approval of Education Programs in Virginia (8VAC20-543) to teach courses in economics and personal finance. Teachers holding valid Virginia licenses with endorsements in specific areas of agricultural education, business and information technology, family and consumer sciences, history and social science, marketing, and mathematics may teach the courses. The regulatory action (standard procedure) is to establish an add-on endorsement to teach economics and personal finance. The add-on endorsement will expand the number of teachers who may teach economics and personal finance. The add-on endorsement will expand the number of teachers who may teach economics and personal finance and ensure that such teachers have completing training in economics and personal finance.

Upon the effective date of the establishment of the Economics and Personal Finance (Add-on Endorsement), individuals who hold a teaching license may be eligible for the economics and personal finance add-on endorsement if the individual (i) completed one year of successful teaching experience in Virginia as the teacher of record in economics and personal finance prior to the effective date of this endorsement; and (ii) receives the recommendation from the Virginia school division superintendent where the individual is employed at the time of the request.

Individuals who are teaching in Virginia public schools and meet grandfathering requirements will receive the Economics and Personal Finance at no additional cost. The $50 fee to apply for an additional endorsement would be waived because these individuals currently may teach economics and personal finance with the endorsements on their license.

A transition period of two years should be implemented from the effective date of the Economics and Personal Finance (Add-on Endorsement) for individuals to complete the requirements to add the endorsement. As of the effective date of the Economics and Personal Finance (Add-on Endorsement), those currently teaching the course and those receiving the endorsement through grandfathering, will be endorsed to teach the course.

Issues: The primary advantage of this regulatory change is the assurance that those teachers trained in Virginia approved educator programs or licensed by the State Board of Education will be even better-equipped to teach courses in economics and personal finance to students who take the course. This in turn, will provide the knowledge and life skills students will need to make sound financial decisions.

While this does add a few new training requirements for individuals in the profession, the agency and educational partners understand the importance and necessity of these changes. Additionally, the impact the relevant changes will have on approved educator preparation programs will be marginal as many have already begun to incorporate these types of instruction or training opportunities into their course maps.

As a result of this regulatory action, the Commonwealth can expect to benefit from future cohorts of students who have a more complete understanding of financial literacy. No disadvantages to the agency or Commonwealth have been identified.

Department of Planning and Budget's Economic Impact Analysis:

Summary of the Proposed Amendments to Regulation. The Board of Education (Board) proposes to establish in the Licensure Regulations for School Personnel an add-on endorsement to teach economics and personal finance.¹

Background. In order to earn a Standard or Advanced Studies Diploma, public high school students must pass a course on economics and personal finance. Currently, there is no specific endorsement in the Licensure Regulations for School Personnel and the Regulations Governing the Review and Approval of Education Programs in Virginia to teach courses in economics and personal finance. According to the Department of Education (DOE), teachers holding valid Virginia licenses with endorsements in specific areas of agricultural education, business and information technology, family and consumer sciences, history and social science, marketing, and mathematics may teach the courses.²

The proposed Economics and Personal Finance (Add-On Endorsement) is as follows:

Endorsement requirement. The candidates shall have:

1. Earned a baccalaureate degree from a regionally accredited college or university and hold a license (Collegiate Professional License, Postgraduate Professional License, or a Provisional License leading to a Collegiate Professional or Postgraduate Professional License) issued by the Virginia Board of Education with a teaching endorsement; and

2. Completed an approved teacher preparation program in economics and personal finance (add-on endorsement); or completed the following requirements:

a. Six semester hours of economics or a non-college credit institute in economics. The non-college credit institute in economics must be a minimum of 45 clock hours and offered by a Virginia school division or a regionally accredited college or university. The institute must include the economics content set forth in the Virginia Standards of Learning for economics and personal finance and be approved by the Department of Education; and

b. Three semester hours of personal finance or a non-college credit institute in finance. The non-college credit institution in finance must be a minimum of 45 clock hours and offered by a Virginia school division or a regionally accredited college or university. The institute must include the personal finance content set forth in the Standards of Learning for economics and personal finance and be approved by the Department of Education.

The proposed text does not specify whether or not the Economics and Personal Finance (Add-On Endorsement) would be required for teaching courses in economics and personal finance. According to DOE, two years after the effective date of this regulatory action, the endorsement would be required to teach the courses.³ Also according to DOE, there would be grandfathering such that upon the effective date of the establishment of the Economics and Personal Finance (Add-on Endorsement), individuals who hold a teaching license (Collegiate Professional, Postgraduate Professional License, or a Provisional License leading to a Collegiate Professional or Postgraduate Professional License) may be eligible for the economics and personal finance add-on endorsement if the individual:

completed one year of successful teaching experience [satisfactory performance rating on summative evaluation] in Virginia as the teacher of record in economics and personal finance prior to the effective date of this endorsement; and

receives the recommendation from the Virginia school division superintendent where the individual is employed at the time of the request.

Estimated Benefits and Costs. Though the proposed establishment of the Economics and Personal Finance (Add-On Endorsement) does not directly affect who may teach economics and personal finance courses, as stated above DOE has indicated that the endorsement would effectively be required to teach such courses two years after the effective date of this regulatory action. Other than for the teachers who are grandfathered in to receive the endorsement, earning the endorsement would require six semester hours of economics or 45 clock hours from a non-college credit institute in economics, and three semester hours of personal finance or of 45 clock hours from a non-college credit institute in finance.⁴ This would provide much greater assurance that future teachers of economics and personal finance courses would be knowledgeable in the subject matter that they are teaching. This in turn would likely have a positive impact on students obtaining and retaining economics and personal finance knowledge and skills, perhaps positively affecting their productivity, job prospects, and personal finances.

The Virginia Council on Economic Education (VCEE)⁵ is a nonprofit organization that through its VCEE institutes and workshops provides professional development opportunities for teachers to assist them in teaching economics and personal finance at no cost to the teachers or school divisions. VCEE supports a statewide network of Centers for Economic Education located at the following universities: Christopher Newport University, George Mason University, James Madison University, Old Dominion University, University of Lynchburg, University of Mary Washington, University of Virginia's College at Wise, Virginia Commonwealth University, and Virginia Tech.⁶ Institutes held at these Centers provide training and resources, and staff help facilitate efforts with local school divisions. The free training available through these institutes would likely meet at least a significant portion of the requirements for the endorsement and would likely greatly reduce the cost of obtaining the endorsement. It may thus be possible to earn the endorsement without paying for course fees, but candidates would still incur the cost of their time (90 clock hours if obtaining through the institutes). Additionally, according to DOE, there would be a $50 fee to add the endorsement.⁷

Businesses and Other Entities Affected. The proposed amendments affect the 132 local school divisions in the Commonwealth, the high schools within those school divisions, the 1,220 teachers of economics and personal finance courses,⁸ and future teachers of teachers of economics and personal finance courses. No school divisions or high schools appear to be disproportionately affected.

Small Businesses⁹ Affected. The proposal does not appear to substantively directly affect small businesses.

Localities¹⁰ Affected.¹¹ The proposal affects all Virginia localities in that all localities have students and staff associated with public high schools. No localities appear to be disproportionately affected. The proposal would not likely substantively increase costs for local governments.

Projected Impact on Employment. The proposal does not appear to substantively affect total employment.

Effects on the Use and Value of Private Property. The proposal does not appear to substantively affect the use and value of private property nor real estate development costs.

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¹In a concurrent action, the Board is proposing to add the Economics and Personal Finance (Add-on Endorsement) to the Regulations Governing the Review and Approval of Education Programs in Virginia. See https://townhall.virginia.gov/L/ViewAction.cfm?actionid=5420

²See https://www.doe.virginia.gov/instruction/economics_personal_finance/resources/faq.shtml

³DOE stated that this would be through a Superintendent's Memo and possibly further regulatory action.

⁴Another proposed option to earn the endorsement is "Completed an approved teacher preparation program in economics and personal finance (add-on endorsement)." No such programs currently exist. A concurrent action would enable the existence of such programs. See https://townhall.virginia.gov/L/ViewAction.cfm?actionid=5420

⁵See https://vcee.org/about-vcee/

⁶See https://vcee.org/about-vcee/centers/

⁷Those who receive the endorsement through grandfathering would be exempt from the fee, according to DOE.

⁸DOE indicated that in the 2019-2020 school year there were 1,220 teachers of economics and personal finance courses.

⁹Pursuant to § 2.2-4007.04 of the Code of Virginia, small business is defined as "a business entity, including its affiliates, that (i) is independently owned and operated and (ii) employs fewer than 500 full-time employees or has gross annual sales of less than $6 million."

¹⁰"Locality" can refer to either local governments or the locations in the Commonwealth where the activities relevant to the regulatory change are most likely to occur.

¹¹Section 2.2-4007.04 defines "particularly affected" as bearing disproportionate material impact.

Agency's Response to Economic Impact Analysis: The agency concurs with the economic impact analysis completed by the Department of Planning and Budget.

Summary:

The proposed amendment establishes an add-on endorsement to teach economics and personal finance.

8VAC20-23-615. Economics and personal finance (add-on endorsement).

Endorsement requirement. The candidates shall have:

1. Earned a baccalaureate degree from a regionally accredited college or university and hold a license (Collegiate Professional License, Postgraduate Professional License, or a Provisional License leading to a Collegiate Professional or Postgraduate Professional License) issued by the State Board of Education with a teaching endorsement; and

2. Completed an approved teacher preparation program in economics and personal finance (add-on endorsement); or completed the following requirements:

a. Six semester hours of economics or a non-college credit institute in economics. The non-college credit institute in economics must be a minimum of 45 clock hours and offered by a Virginia school division or a regionally accredited college or university. The institute must include the economics content set forth in the Virginia Standards of Learning for economics and personal finance and be approved by the Department of Education; and

b. Three semester hours of personal finance or a non-college credit institute in finance. The non-college credit institution in finance must be a minimum of 45 clock hours and offered by a Virginia school division or a regionally accredited college or university. The institute must include the personal finance content set forth in the Standards of Learning for economics and personal finance and be approved by the Department of Education.