House committee substitute makes the following changes to the 2nd edition.

Clarifies that in awarding credit for salary purposes to teachers, principals, and assistant principals, the State Board of Education (SBE)is to award one full year of experience credit for each two years of full-time relevant non-teaching work experience completed (was, non-teaching work experience obtained) while on active military duty in the US Armed Forces and before earning a bachelor's degree (was, by individuals without a bachelor's degree). Awards one full year of experience credit for every two years of full-time instructional or leadership training while on active military duty in the Armed Forces, regardless of the academic degree held while participating in the training (was, limited relevant non-teaching work experience that could be credited for salary purposes for military veterans to five years).

Directs the SBE to include in the specific criteria developed for determining the relevance of non-teaching work experience earned while on active military duty a process for reviewing and accepting military transcripts and corresponding American Council for Education (CE) recommendations for awarding academic and experiential credit.

Requires the SBE to study (1) the costs and benefits of providing student teaching stipends to persons pursuing a teacher or school administrator licensewho served in the military and are retiredor were honorably discharged and (2) the potential reductions in teacher and school administrator licensure requirements for individuals who are certified master instructors. Directs the SBE to report the results of the study to the Joint Legislative Education Oversight Committee by December 9, 2013.

The House committee substitute to the 1st edition makes the following changes. Deletes the provisions of the 1st edition and replaces it with the following. Requires the State Board of Education (SBoE) to establish rules for awarding credit for salary purposes to principals, assistant principals, and teachers who served in the US Armed Forces and who have retired or who have received an Honorable Discharge. Specifies what is to be included in the rules, including how much credit to be awarded for each year of relevant nonteaching experience. Requires the SBoE to establish specific criteria within the rules for determining the relevance of nonteaching work experience that is to be credited towards an individual's total license experience rating for salary purposes and specifies components that are to be included in the criteria. Requires the SBoE to report to the Joint Legislative Education Oversight Committee by December 1, 2013, on the rules. Effective when the act becomes law and applies to military veterans employed by local school administrative units in the 2014-15 school year and beyond. Amends the act's long title.