Educational bankruptcy act.

SF 173, the "Educational Bankruptcy Act," proposes a process for declaring Wyoming school districts "educationally bankrupt" based on standardized test performance. It would allow the state superintendent or parents/guardians (with 12.5%+ signatures) to petition a court if a district meets specific academic criteria for two of the last three years (for larger districts) or three of the last four years (for smaller districts), such as 60%+ 3rd graders scoring below basic in English or 25%+ 10th graders scoring below basic in all three subjects. If declared bankrupt, the court would appoint trustees to oversee district restructuring, with modifications to teacher certification and potential dismissal of the case. The bill, which died in committee in March 2025, has not become law and remains a proposed framework.