HF 1612

as introduced - 90th Legislature (2017 - 2018) Posted on 03/27/2017 11:42am

A bill for an act
relating to education finance; fully funding pupil transportation services;
appropriating money; amending Minnesota Statutes 2016, sections 124E.20,
subdivision 1; 124E.23; 126C.10, subdivisions 1, 18.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2016, section 124E.20, subdivision 1, is amended to read:

Subdivision 1.

Revenue calculation.

(a) General education revenue must be paid to a
charter school as though it were a district. The general education revenue for each adjusted
pupil unit is the state average general education revenue per pupil unit, plus the referendum
equalization aid allowance in the pupil's district of residence, minus an amount equal to the
product of the formula allowance according to section 126C.10, subdivision 2, times .0466,
calculated without declining enrollment revenue, local optional revenue, basic skills revenue,
extended time revenue, pension adjustment revenue, transition revenue, and transportation
deleted text begin sparsity deleted text end revenue, plus declining enrollment revenue, basic skills revenue, pension adjustment
revenue, and transition revenue as though the school were a school district.

(b) For a charter school operating an extended day, extended week, or summer program,
the general education revenue in paragraph (a) is increased by an amount equal to 25 percent
of the statewide average extended time revenue per adjusted pupil unit.

(c) Notwithstanding paragraph (a), the general education revenue for an eligible special
education charter school as defined in section 124E.21, subdivision 2, equals the sum of
the amount determined under paragraph (a) and the school's unreimbursed cost as defined
in section 124E.21, subdivision 2, for educating students not eligible for special education
services.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2018 and later.
new text end

Sec. 2.

Minnesota Statutes 2016, section 124E.23, is amended to read:

124E.23 TRANSPORTATION deleted text begin REVENUE deleted text end new text begin AID new text end .

Transportation deleted text begin revenue deleted text end new text begin aid new text end must be paid to a charter school that provides transportation
services according to section 124E.15, according to this section. deleted text begin Transportation aid shall
equal transportation revenue.
deleted text end

In addition to the revenue under section 124E.20, a charter school providing transportation
services must receive general education aid equal to deleted text begin the sum of the product of (1) an amount
equal to the product of the formula allowance according to section 126C.10, subdivision 2,
times .0466, plus the transportation sparsity allowance for the school district in which the
charter school is located times (2) the adjusted pupil units, plus the product of $223 times
the extended time pupil units deleted text end new text begin its transportation revenue under section 126C.10, subdivision
18 new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2018 and later.
new text end

Sec. 3.

Minnesota Statutes 2016, section 126C.10, subdivision 1, is amended to read:

Subdivision 1.

General education revenue.

The general education revenue for each
district equals the sum of the district's basic revenue, extended time revenue, gifted and
talented revenue, declining enrollment revenue, local optional revenue, small schools
revenue, basic skills revenue, secondary sparsity revenue, elementary sparsity revenue,
transportation deleted text begin sparsity deleted text end revenue, total operating capital revenue, equity revenue, pension
adjustment revenue, and transition revenue.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2018 and later.
new text end

Sec. 4.

Minnesota Statutes 2016, section 126C.10, subdivision 18, is amended to read:

Subd. 18.

Transportation deleted text begin sparsity deleted text end revenue deleted text begin allowance deleted text end .

(a) new text begin A district's transportation
revenue equals the sum of its transportation sparsity revenue and its pupil transportation
cost revenue.
new text end

new text begin (b) new text end A district's transportation sparsity allowance equals the greater of zero or the result
of the following computation:

(i) Multiply the formula allowance according to subdivision 2, by .141.

(ii) Multiply the result in clause (i) by the district's sparsity index raised to the 26/100
power.

(iii) Multiply the result in clause (ii) by the district's density index raised to the 13/100
power.

(iv) Multiply the formula allowance according to subdivision 2, by .0466.

(v) Subtract the result in clause (iv) from the result in clause (iii).

deleted text begin (b) deleted text end new text begin (c) new text end Transportation sparsity revenue is equal to the transportation sparsity allowance
times the adjusted pupil units.

new text begin (d) A district's pupil transportation cost revenue equals the greater of zero or the difference
between:
new text end

new text begin (1) the district's total cost for regular and excess pupil transportation under section
123B.92, subdivision 1, paragraph (b), including depreciation, for the previous year; and
new text end

new text begin (2) the sum of:
new text end

new text begin (i) 4.66 percent of the district's basic revenue for the previous fiscal year;
new text end

new text begin (ii) transportation sparsity revenue under paragraph (c); and
new text end

new text begin (iii) the district's charter school transportation adjustment for the previous year.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2018 and later.
new text end