1. The state educational agency, or local educational agency that receives federal funds under section 8546 of the Elementary and Secondary Education Act [20 U.S.C. 7926] shall prohibit any individual who is a school employee, contractor, or agent, or any state educational agency or local educational agency, from assisting a school employee, contractor, or agent in obtaining a new job, apart from the routine transmission of administrative and personnel files, if the individual or agency knows, there is confirmation, or there is an investigation underway based on a claim the school employee, contractor, or agent engaged in sexual misconduct regarding a minor or student in violation of law. 2. Subsection 1 does not apply if: a. The information has been properly reported to a law enforcement agency with jurisdiction over the alleged misconduct and any other authorities as required by federal, state, or local law; and b. (1) The matter has been officially closed or the prosecutor or police with jurisdiction over the alleged misconduct has investigated the allegations and notified school officials that there is insufficient information to establish probable cause that the school employee, contractor, or agent engaged in sexual misconduct regarding a minor or student in violation of the law; (2) The school employee, contractor, or agent has been charged with, and acquitted or otherwise exonerated of the alleged misconduct; or (3) The case or investigation remains open and there have been no charges filed against, or indictment of, the school employee, contractor, or agent within one year of the date on which the information was reported to a law enforcement agency.
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