(a) For purposes of this section:
(1) “Applicant” means an individual who is applying for initial employment as a fiscal officer of an educational entity;
(2) “Educational entity” means:
(A) A school district;
(B) An open-enrollment public charter school; or
(C) An education service cooperative;
(3) “Fiscal officer” means any licensed or nonlicensed employee of an educational entity who has any right, duty, or responsibility to access funds of an educational entity in excess of five thousand dollars ($5,000), specifically including without limitation superintendents, fiscal officers, and bookkeepers; and
(4) “Fraudulent act” means an act:
(A) Performed willfully and with the specific intent to deceive or cheat for the purpose of either causing some financial loss to another or bringing about some financial gain to the actor; and
(B) For which the actor has pleaded guilty or nolo contendere or has been found guilty by any court in this state, by a court in another state, or by a federal court.
(b)
(1)
(A) Upon making application for employment in a position as a fiscal officer of an educational entity, the board of directors of the educational entity shall require the employment applicant to authorize release to the Division of Elementary and Secondary Education the results of statewide and nationwide criminal records checks by the Identification Bureau of the Division of Arkansas State Police.
(B) Unless the employing educational entity's board of directors has taken action to pay for the cost of criminal background checks required by this section, the employment applicant shall be responsible for the payment of any fee associated with the criminal records check.
(2)
(A) The criminal background check shall conform to the applicable federal standards and include the taking of the employment applicant's or currently employed fiscal officer's fingerprints.
(B) At the conclusion of the criminal records check required by this section, the Identification Bureau may maintain the fingerprints in the automated fingerprint identification system.
(3)
(A) Any information received by the Division of Elementary and Secondary Education from the Identification Bureau or the Department of Human Services pursuant to this section shall not be available for examination except by the affected applicant for employment or his or her duly authorized representative, and no record, file, or document shall be removed from the custody of the Division of Elementary and Secondary Education.
(B) Any information made available to the affected employment applicant or fiscal officer shall be information pertaining to that applicant only.
(C) Rights of privilege and confidentiality established under this section shall not extend to any document created for purposes other than the background check.
(4) The Division of Elementary and Secondary Education shall promptly inform the board of directors of the educational entity whether or not the affected employment applicant is eligible for employment as provided in this subsection.
(c)
(1) No person shall be eligible for employment as a fiscal officer by an educational entity if the results of the criminal records check released to the Division of Elementary and Secondary Education by the applicant reveal that the applicant has pleaded guilty or nolo contendere to or has been found guilty of a fraudulent act but only after an opportunity for a hearing before the State Board of Education upon reasonable notice in writing.
(2) However, the board of directors of an educational entity is authorized to offer provisional employment to the affected applicant pending receipt of eligibility information from the Division of Elementary and Secondary Education.
(d)
(1) The superintendent or director of an educational entity shall report to the state board the name of any fiscal officer who is currently employed or was employed during the two (2) previous school years by the educational entity who has pleaded guilty or nolo contendere to or has been found guilty of a fraudulent act.
(2) A superintendent or director who knowingly fails to report information as required by this subsection may be subject to sanctions imposed by the state board.
(e) A prosecuting attorney who prosecutes a person who he or she knows is an educational entity employee in a case in which the employee has pleaded guilty or nolo contendere to or has been found guilty of a fraudulent act shall report the name of the employee and the nature of the crime to the educational entity in which the person is employed and to the state board.
(f) An educational entity shall dismiss from employment a fiscal officer who pleads guilty or nolo contendere to or has been found guilty of a fraudulent act but only after the fiscal officer has an opportunity for a hearing before the state board upon reasonable notice in writing.
(g)
(1) The state board shall be entitled to consider:
(A) The age of the fiscal officer at the time the criminal act occurred;
(B) The length of time since the conviction;
(C) Whether the fiscal officer has pleaded guilty or nolo contendere to or has been found guilty of any other criminal violation since the original conviction;
(D) Whether the original conviction was expunged or pardoned; and
(E) Any other relevant facts.
(2) The state board after conducting a hearing and issuing a decision in writing may determine not to prevent the employment or not to require the termination of employment of the fiscal officer as required in subsections (c) and (f) of this section.