A chartering authority shall:
A. evaluate charter applications;
B. actively pursue the utilization of charter schools to satisfy identified education needs and promote a diversity of educational choices;
C. approve charter applications that meet the requirements of the Charter Schools Act;
D. decline to approve charter applications that fail to meet the requirements of the Charter Schools Act or are otherwise inadequate;
E. negotiate and execute, in good faith, charter contracts that meet the requirements of the Charter Schools Act with each approved charter school;
F. monitor, in accordance with the requirements of the Charter Schools Act and the terms of the charter contract, the performance and legal compliance of charter schools under their authority;
G. determine whether a charter school merits suspension, revocation or nonrenewal; and
H. develop and maintain chartering policies and practices consistent with nationally recognized principles and standards for quality charter authorizing in all major areas of authorizing, including:
(1) organizational capacity and infrastructure;
(2) evaluating charter applications;
(3) performance contracting;
(4) charter school oversight and evaluation; and
(5) charter school suspension, revocation and renewal processes.