HB1259: HB1259 Education; prohibit virtual instruction to out-of-system students if the local school system has a College and Career Ready Performance Index below the state average

Georgia law allows some local school systems to enroll students who live in other districts (called out-of-system students) in virtual schools. This bill amends the Quality Basic Education Act (O.C.G.A. § 20-2-167.2) to add a new rule: a local school system cannot provide virtual instruction to out-of-system students in the current school year if the system or its virtual school has averaged below 65 on the College and Career Ready Performance Index (the state's school rating scale) over the previous two years. The bill also says out-of-system students cannot be counted when a local school system tries to qualify for equalization funds, which are state dollars meant to help lower-wealth districts. Any local school system enrolling out-of-system students must compile a full list of them twice a year, on October 1 and March 1. The changes would take effect July 1, 2027.

• Blocks a local school system from offering virtual instruction to out-of-system students if its College and Career Ready Performance Index averaged below 65 over the prior two school years.
• Prohibits counting out-of-system students toward a local school system's eligibility for equalization funds under O.C.G.A. § 20-2-165.
• Requires any local school system enrolling out-of-system students to compile a complete list of them as of October 1 and March 1 each year.
• Keeps existing rules requiring systems with virtual schools over 5 percent out-of-system enrollment to spend 90 percent of related funds on those students and report their achievement data.
• Confirms this Code section cannot be waived under Georgia's strategic waivers, charter system, charter school, or related waiver provisions.
• Sets the effective date of the changes as July 1, 2027.

Local school systems that run virtual schools, students who live in one district but take virtual classes through another (out-of-system students), and school system administrators who manage enrollment counts and equalization funding applications.

Local school systems with lower-performing virtual programs would lose the ability to enroll students from other districts, potentially shrinking their virtual programs and funding. Removing out-of-system students from equalization fund counts could reduce state aid for some districts.

• Section 1 revises O.C.G.A. § 20-2-167.2 to add a new performance requirement: a system averaging below 65 on the College and Career Ready Performance Index over the previous two years cannot provide virtual instruction to out-of-system students.
• Section 1 also adds subsection (c), barring out-of-system students from being counted for equalization fund eligibility under O.C.G.A. § 20-2-165.
• Section 1 requires systems enrolling out-of-system students to compile a complete list of them twice yearly, on October 1 and March 1.
• Existing subsection (b) requirements remain: systems with virtual schools over 5 percent out-of-system enrollment must spend 90 percent of related funds on those students and include their achievement data in performance reporting.
• Section 2 sets the effective date as July 1, 2027.
• Section 3 repeals conflicting laws.

1. 2026-03-31Senate Tabled (Senate)
2. 2026-03-31Senate Third Read (Senate)
3. 2026-03-27Senate Read Second Time (Senate)
4. 2026-03-27Senate Committee Favorably Reported By Substitute (Senate)
5. 2026-02-26Senate Read and Referred (Senate)
6. 2026-02-25House Passed/Adopted By Substitute (House)
7. 2026-02-25House Third Readers (House)
8. 2026-02-20House Committee Favorably Reported By Substitute (House)

• Matt Dubnik (R, HD-029)Primary sponsor
• Chris Erwin (R, HD-032)
• James Hatchett (R, HD-155)
• Todd Jones (R, HD-025)
• Billy Hickman (R, SD-004)

1. PassedHouse voteFebruary 25, 2026

   169 yea, 0 nay (3 not voting, 5 absent)

   Passage: House Vote #562

• virtual schools
• public school funding
• school performance ratings
• education policy
• equalization funds