HF 227

as introduced - 82nd Legislature (2001 - 2002) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to education finance; reinstating categorical 
  1.3             transportation funding; modifying nonpublic 
  1.4             transportation aid; adding bus purchase aid; adding 
  1.5             excess fuel cost adjustment aid; modifying 
  1.6             transportation sparsity formula; appropriating money; 
  1.7             amending Minnesota Statutes 2000, sections 123B.92, 
  1.8             subdivisions 1, 9, and by adding subdivisions; 
  1.9             125A.76, subdivision 2; and 126C.10, subdivision 18; 
  1.10            proposing coding for new law in Minnesota Statutes, 
  1.11            chapter 123B. 
  1.12  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.13     Section 1.  Minnesota Statutes 2000, section 123B.92, 
  1.14  subdivision 1, is amended to read: 
  1.15     Subdivision 1.  [DEFINITIONS.] For purposes of this section 
  1.16  and section 125A.76, the terms defined in this subdivision have 
  1.17  the meanings given to them. 
  1.18     (a) "Actual expenditure per pupil transported in the 
  1.19  regular and excess transportation categories" means the quotient 
  1.20  obtained by dividing: 
  1.21     (1) the sum of: 
  1.22     (i) all expenditures for transportation in the regular 
  1.23  category, as defined in paragraph (b), clause (1), and the 
  1.24  excess category, as defined in paragraph (b), clause (2), plus 
  1.25     (ii) an amount equal to one year's depreciation on the 
  1.26  district's school bus fleet and mobile units computed on a 
  1.27  straight line basis at the rate of 15 percent per year for 
  1.28  districts operating a program under section 124D.128 for grades 
  2.1   1 to 12 for all students in the district and 12-1/2 percent per 
  2.2   year for other districts of the cost of the fleet, plus 
  2.3      (iii) an amount equal to one year's depreciation on the 
  2.4   district's type three school buses, as defined in section 
  2.5   169.01, subdivision 6, clause (5), which must be used a majority 
  2.6   of the time for pupil transportation purposes, computed on a 
  2.7   straight line basis at the rate of 20 percent per year of the 
  2.8   cost of the type three school buses by: 
  2.9      (2) the number of pupils eligible for transportation in the 
  2.10  regular category, as defined in paragraph (b), clause (1), and 
  2.11  the excess category, as defined in paragraph (b), clause (2).  
  2.12     (b) "Transportation category" means a category of 
  2.13  transportation service provided to pupils as follows:  
  2.14     (1) Regular transportation is:  
  2.15     (i) transportation to and from school during the regular 
  2.16  school year for resident elementary pupils residing one mile or 
  2.17  more from the public or nonpublic school they attend, and 
  2.18  resident secondary pupils residing two miles or more from the 
  2.19  public or nonpublic school they attend, excluding desegregation 
  2.20  transportation and noon kindergarten transportation; but with 
  2.21  respect to transportation of pupils to and from nonpublic 
  2.22  schools, only to the extent permitted by sections 123B.84 to 
  2.23  123B.87; 
  2.24     (ii) transportation of resident pupils to and from language 
  2.25  immersion programs; 
  2.26     (iii) transportation of a pupil who is a custodial parent 
  2.27  and that pupil's child between the pupil's home and the child 
  2.28  care provider and between the provider and the school, if the 
  2.29  home and provider are within the attendance area of the school; 
  2.30  and 
  2.31     (iv) transportation to and from or board and lodging in 
  2.32  another district, of resident pupils of a district without a 
  2.33  secondary school. 
  2.34     For the purposes of this paragraph, a district may 
  2.35  designate a licensed day care facility, respite care facility, 
  2.36  the residence of a relative, or the residence of a person chosen 
  3.1   by the pupil's parent or guardian as the home of a pupil for 
  3.2   part or all of the day, if requested by the pupil's parent or 
  3.3   guardian, and if that facility or residence is within the 
  3.4   attendance area of the school the pupil attends. 
  3.5      (2) Excess transportation is transportation to and from 
  3.6   school during the regular school year for secondary pupils 
  3.7   residing at least one mile but less than two miles from the 
  3.8   public or nonpublic school they attend, and transportation to 
  3.9   and from school for pupils residing less than one mile from 
  3.10  school who are transported because of extraordinary traffic, 
  3.11  drug, or crime hazards. 
  3.12     (3) Desegregation transportation is transportation within 
  3.13  and outside of the district during the regular school year of 
  3.14  pupils to and from schools located outside their normal 
  3.15  attendance areas under a plan for desegregation mandated by the 
  3.16  commissioner or under court order.  
  3.17     (4) "Transportation services for pupils with disabilities" 
  3.18  is: 
  3.19     (i) transportation of pupils with disabilities who cannot 
  3.20  be transported on a regular school bus between home or a respite 
  3.21  care facility and school; 
  3.22     (ii) necessary transportation of pupils with disabilities 
  3.23  from home or from school to other buildings, including centers 
  3.24  such as developmental achievement centers, hospitals, and 
  3.25  treatment centers where special instruction or services required 
  3.26  by sections 125A.03 to 125A.24, 125A.26 to 125A.48, and 125A.65 
  3.27  are provided, within or outside the district where services are 
  3.28  provided; 
  3.29     (iii) necessary transportation for resident pupils with 
  3.30  disabilities required by sections 125A.12, and 125A.26 to 
  3.31  125A.48; 
  3.32     (iv) board and lodging for pupils with disabilities in a 
  3.33  district maintaining special classes; 
  3.34     (v) transportation from one educational facility to another 
  3.35  within the district for resident pupils enrolled on a 
  3.36  shared-time basis in educational programs, and necessary 
  4.1   transportation required by sections 125A.18, and 125A.26 to 
  4.2   125A.48, for resident pupils with disabilities who are provided 
  4.3   special instruction and services on a shared-time basis; 
  4.4      (vi) transportation for resident pupils with disabilities 
  4.5   to and from board and lodging facilities when the pupil is 
  4.6   boarded and lodged for educational purposes; and 
  4.7      (vii) services described in clauses (i) to (vi), when 
  4.8   provided for pupils with disabilities in conjunction with a 
  4.9   summer instructional program that relates to the pupil's 
  4.10  individual education plan or in conjunction with a learning year 
  4.11  program established under section 124D.128. 
  4.12     (5) "Nonpublic nonregular transportation" is: 
  4.13     (i) transportation from one educational facility to another 
  4.14  within the district for resident pupils enrolled on a 
  4.15  shared-time basis in educational programs, excluding 
  4.16  transportation for nonpublic pupils with disabilities under 
  4.17  clause (4); 
  4.18     (ii) transportation within district boundaries between a 
  4.19  nonpublic school and a public school or a neutral site for 
  4.20  nonpublic school pupils who are provided pupil support services 
  4.21  pursuant to section 123B.44; and 
  4.22     (iii) late transportation home from school or between 
  4.23  schools within a district for nonpublic school pupils involved 
  4.24  in after-school activities. 
  4.25     (c) "Mobile unit" means a vehicle or trailer designed to 
  4.26  provide facilities for educational programs and services, 
  4.27  including diagnostic testing, guidance and counseling services, 
  4.28  and health services.  A mobile unit located off nonpublic school 
  4.29  premises is a neutral site as defined in section 123B.41, 
  4.30  subdivision 13. 
  4.31     Sec. 2.  Minnesota Statutes 2000, section 123B.92, 
  4.32  subdivision 9, is amended to read: 
  4.33     Subd. 9.  [NONPUBLIC PUPIL TRANSPORTATION AID.] (a) A 
  4.34  district's nonpublic pupil transportation aid for the 1996-1997 
  4.35  and later school years for transportation services for nonpublic 
  4.36  school pupils according to sections 123B.88, 123B.84 to 123B.86, 
  5.1   and this section, equals the sum of the amounts computed in 
  5.2   paragraphs (b) and (c) (1) the district's actual expenditures 
  5.3   for all nonpublic transportation during the second preceding 
  5.4   school year; times (2) the ratio of the formula allowance 
  5.5   pursuant to section 126C.10, subdivision 2, for the current 
  5.6   school year to the formula allowance pursuant to section 
  5.7   126C.10, subdivision 2, for the second preceding school year.  
  5.8   This aid does not limit the obligation to transport pupils under 
  5.9   sections 123B.84 to 123B.87. 
  5.10     (b) For regular and excess transportation according to 
  5.11  subdivision 1, paragraph (b), clauses (1) and (2), an amount 
  5.12  equal to the product of: 
  5.13     (1) the district's actual expenditure per pupil transported 
  5.14  in the regular and excess transportation categories during the 
  5.15  second preceding school year; times 
  5.16     (2) the number of nonpublic school pupils residing in the 
  5.17  district who receive regular or excess transportation service or 
  5.18  reimbursement for the current school year; times 
  5.19     (3) the ratio of the formula allowance pursuant to section 
  5.20  126C.10, subdivision 2, for the current school year to the 
  5.21  formula allowance pursuant to section 126C.10, subdivision 2, 
  5.22  for the second preceding school year. 
  5.23     (c) For nonpublic nonregular transportation according to 
  5.24  subdivision 1, paragraph (b), clause (5), an amount equal to the 
  5.25  product of: 
  5.26     (1) the district's actual expenditure for nonpublic 
  5.27  nonregular transportation during the second preceding school 
  5.28  year; times 
  5.29     (2) the ratio of the formula allowance pursuant to section 
  5.30  126C.10, subdivision 2, for the current school year to the 
  5.31  formula allowance pursuant to section 126C.10, subdivision 2, 
  5.32  for the second preceding school year. 
  5.33     (d) Notwithstanding the amount of the formula allowance for 
  5.34  fiscal years 2000, 2001, and 2002 in section 126C.10, 
  5.35  subdivision 2, the commissioner shall use the amount of the 
  5.36  formula allowance for the current year plus $87 in determining 
  6.1   the nonpublic pupil transportation revenue in paragraphs (b) and 
  6.2   (c) for fiscal year 2000, and the amount of the formula 
  6.3   allowance less $110 in determining the nonpublic pupil 
  6.4   transportation revenue in paragraphs (b) and (c) for fiscal 
  6.5   years 2001 and 2002. 
  6.6      Sec. 3.  Minnesota Statutes 2000, section 123B.92, is 
  6.7   amended by adding a subdivision to read: 
  6.8      Subd. 11.  [TRANSPORTATION FORMULA ALLOWANCE; PREDICTED 
  6.9   BASE COST.] A district's predicted base cost equals the result 
  6.10  of the following computation: 
  6.11     (1) Multiply the transportation formula allowance by the 
  6.12  district's sparsity index, as defined in section 126C.10, 
  6.13  subdivision 17, paragraph (a), raised to the one-fourth power.  
  6.14  The transportation formula allowance is $620 for the 2001-2002 
  6.15  base year. 
  6.16     (2) Multiply the result in clause (1) by the district's 
  6.17  density index, as defined in section 126C.10, subdivision 17, 
  6.18  paragraph (b), raised to the one-half power. 
  6.19     (3) Multiply the result in clause (2) by the district's 
  6.20  contract transportation index, as defined in Minnesota Statutes 
  6.21  1996, section 124.225, subdivision 1, paragraph (l), raised to 
  6.22  the 1/20 power.  
  6.23     Sec. 4.  Minnesota Statutes 2000, section 123B.92, is 
  6.24  amended by adding a subdivision to read: 
  6.25     Subd. 12.  [BASE YEAR SOFTENING FORMULA.] Each district's 
  6.26  predicted base cost determined according to subdivision 11 must 
  6.27  be adjusted as provided in this subdivision to determine the 
  6.28  district's adjusted predicted base cost for that year.  The 
  6.29  adjusted predicted base cost equals 50 percent of the district's 
  6.30  base cost plus 50 percent of the district's predicted base cost, 
  6.31  but the adjusted predicted base cost cannot be less than 80 
  6.32  percent, nor more than 105 percent, of the base cost. 
  6.33     Sec. 5.  Minnesota Statutes 2000, section 123B.92, is 
  6.34  amended by adding a subdivision to read: 
  6.35     Subd. 13.  [INFLATION FACTORS.] The adjusted predicted base 
  6.36  cost determined for a district under subdivision 12 for the base 
  7.1   year must be increased by five percent to determine the 
  7.2   district's transportation allowance for the current school year. 
  7.3      Sec. 6.  Minnesota Statutes 2000, section 123B.92, is 
  7.4   amended by adding a subdivision to read: 
  7.5      Subd. 14.  [ELIGIBLE CATEGORIES.] Eligible categories for 
  7.6   aid under this section include: 
  7.7      (1) transportation to and from school during the regular 
  7.8   school year for resident elementary pupils residing one mile or 
  7.9   more from the public school they attend and resident secondary 
  7.10  pupils residing two miles or more from the public school they 
  7.11  attend, excluding special education and desegregation 
  7.12  transportation; and 
  7.13     (2) hazardous transportation for extraordinary traffic, 
  7.14  crime, or drug hazards if (i) the local school board adopts a 
  7.15  plan for hazardous transportation, and (ii) the plan is approved 
  7.16  by the department of children, families, and learning.  
  7.17     Sec. 7.  Minnesota Statutes 2000, section 123B.92, is 
  7.18  amended by adding a subdivision to read: 
  7.19     Subd. 15.  [TRANSPORTATION AID.] (a) A district's 
  7.20  transportation aid, excluding special education and 
  7.21  desegregation transportation, equals the product of: 
  7.22     (1) the district's predicted base cost under subdivision 12 
  7.23  in eligible categories under subdivision 14 during the second 
  7.24  preceding school year; times 
  7.25     (2) the number of pupils eligible for transportation 
  7.26  services residing in the district; times 
  7.27     (3) the ratio of the formula allowance pursuant to section 
  7.28  126C.10, subdivision 2, for the current school year to the 
  7.29  formula allowance pursuant to section 126C.10, subdivision 2, 
  7.30  for the second preceding school year. 
  7.31     (b) If the total appropriation for transportation aid for 
  7.32  any fiscal year is insufficient to pay all districts the full 
  7.33  amount of aid earned, the department of children, families, and 
  7.34  learning must reduce each district's aid in proportion to the 
  7.35  number of resident pupils in average daily membership in the 
  7.36  district to the state total average daily membership. 
  8.1      (c) Transportation aid must be reserved and used for pupil 
  8.2   transportation services. 
  8.3      Sec. 8.  Minnesota Statutes 2000, section 123B.92, is 
  8.4   amended by adding a subdivision to read: 
  8.5      Subd. 16.  [RESERVED REVENUE FOR TRANSPORTATION SAFETY.] A 
  8.6   district must reserve an amount equal to the greater of $500 or 
  8.7   $1.50 times the average daily membership for each school year to 
  8.8   provide student transportation safety programs under section 
  8.9   123B.90.  This revenue may only be used if the district complies 
  8.10  with the reporting requirements of section 123B.90, 169.4582, or 
  8.11  171.321, subdivision 5. 
  8.12     Sec. 9.  Minnesota Statutes 2000, section 123B.92, is 
  8.13  amended by adding a subdivision to read: 
  8.14     Subd. 17.  [BUS PURCHASE AID.] A school district's bus 
  8.15  purchase aid is equal to ten percent of the purchase price of a 
  8.16  school district's owned or contracted fleet.  Each school 
  8.17  district must reserve and use bus purchase aid for school bus 
  8.18  purchases or other transportation purposes. 
  8.19     Sec. 10.  [123B.922] [EXCESS FUEL COST ADJUSTMENT.] 
  8.20     (a) Excess fuel costs are all fuel costs above an annual 
  8.21  average of $1.109 per gallon, including all applicable taxes.  
  8.22  The department of children, families, and learning must 
  8.23  reimburse each district for all excess fuel costs. 
  8.24     (b) The annual average cost of fuel is equal to: 
  8.25     (1) the total fuel costs of a district for the previous 
  8.26  school year; divided by 
  8.27     (2) the total number of gallons consumed by the district in 
  8.28  the previous year. 
  8.29     Sec. 11.  Minnesota Statutes 2000, section 125A.76, 
  8.30  subdivision 2, is amended to read: 
  8.31     Subd. 2.  [SPECIAL EDUCATION BASE REVENUE.] (a) The special 
  8.32  education base revenue equals the sum of the following amounts 
  8.33  computed using base year data: 
  8.34     (1) 68 percent of the salary of each essential person 
  8.35  employed in the district's program for children with a 
  8.36  disability during the fiscal year, not including the share of 
  9.1   salaries for personnel providing health-related services counted 
  9.2   in clause (8), whether the person is employed by one or more 
  9.3   districts or a Minnesota correctional facility operating on a 
  9.4   fee-for-service basis; 
  9.5      (2) for the Minnesota state academy for the deaf or the 
  9.6   Minnesota state academy for the blind, 68 percent of the salary 
  9.7   of each instructional aide assigned to a child attending the 
  9.8   academy, if that aide is required by the child's individual 
  9.9   education plan; 
  9.10     (3) for special instruction and services provided to any 
  9.11  pupil by contracting with public, private, or voluntary agencies 
  9.12  other than school districts, in place of special instruction and 
  9.13  services provided by the district, 52 percent of the difference 
  9.14  between the amount of the contract and the basic revenue of the 
  9.15  district for that pupil for the fraction of the school day the 
  9.16  pupil receives services under the contract; 
  9.17     (4) for special instruction and services provided to any 
  9.18  pupil by contracting for services with public, private, or 
  9.19  voluntary agencies other than school districts, that are 
  9.20  supplementary to a full educational program provided by the 
  9.21  school district, 52 percent of the amount of the contract for 
  9.22  that pupil; 
  9.23     (5) for supplies and equipment purchased or rented for use 
  9.24  in the instruction of children with a disability, not including 
  9.25  the portion of the expenses for supplies and equipment used to 
  9.26  provide health-related services counted in clause (8), an amount 
  9.27  equal to 47 percent of the sum actually expended by the 
  9.28  district, or a Minnesota correctional facility operating on a 
  9.29  fee-for-service basis, but not to exceed an average of $47 in 
  9.30  any one school year for each child with a disability receiving 
  9.31  instruction; 
  9.32     (6) for fiscal years 1997 and later, special education base 
  9.33  revenue shall include amounts under clauses (1) to (5) for 
  9.34  special education summer programs provided during the base year 
  9.35  for that fiscal year; and 
  9.36     (7) for fiscal years 1999 and later, the cost of providing 
 10.1   transportation services for children with disabilities under 
 10.2   section 123B.92, subdivision 1, paragraph (b), clause (4). 
 10.3      The department shall establish procedures through the 
 10.4   uniform financial accounting and reporting system to identify 
 10.5   and track all revenues generated from third-party billings as 
 10.6   special education revenue at the school district level; include 
 10.7   revenue generated from third-party billings as special education 
 10.8   revenue in the annual cross-subsidy report; and exclude 
 10.9   third-party revenue from calculation of excess cost aid to the 
 10.10  districts.; and 
 10.11     (8) for fiscal year 2002 and later, school districts must 
 10.12  receive $10,000 for each additional specially equipped school 
 10.13  bus, as defined in sections 169.4501 and 169.4504, necessary to 
 10.14  transport children with disabilities purchased the previous 
 10.15  school year.  School districts must notify the department of 
 10.16  children, families, and learning by June 30 of each year in 
 10.17  order to receive reimbursement for specially equipped buses. 
 10.18     (b) If requested by a school district operating a special 
 10.19  education program during the base year for less than the full 
 10.20  fiscal year, or a school district in which is located a 
 10.21  Minnesota correctional facility operating on a fee-for-service 
 10.22  basis for less than the full fiscal year, the commissioner may 
 10.23  adjust the base revenue to reflect the expenditures that would 
 10.24  have occurred during the base year had the program been operated 
 10.25  for the full fiscal year. 
 10.26     (c) Notwithstanding paragraphs (a) and (b), the portion of 
 10.27  a school district's base revenue attributable to a Minnesota 
 10.28  correctional facility operating on a fee-for-service basis 
 10.29  during the facility's first year of operating on a 
 10.30  fee-for-service basis shall be computed using current year data. 
 10.31     Sec. 12.  Minnesota Statutes 2000, section 126C.10, 
 10.32  subdivision 18, is amended to read: 
 10.33     Subd. 18.  [TRANSPORTATION SPARSITY REVENUE ALLOWANCE.] (a) 
 10.34  A district's transportation sparsity allowance equals the 
 10.35  greater of zero or the result of the following computation: 
 10.36     (i) Multiply the formula allowance according to subdivision 
 11.1   2, by .1469 .2000. 
 11.2      (ii) Multiply the result in clause (i) by the district's 
 11.3   sparsity index raised to the 26/100 29/100 power. 
 11.4      (iii) Multiply the result in clause (ii) by the district's 
 11.5   density index raised to the 13/100 16/100 power. 
 11.6      (iv) Multiply the formula allowance according to 
 11.7   subdivision 2, by .0485 .0540. 
 11.8      (v) Subtract the result in clause (iv) from the result in 
 11.9   clause (iii). 
 11.10     (b) Transportation sparsity revenue is equal to the 
 11.11  transportation sparsity allowance times the adjusted marginal 
 11.12  cost pupil units. 
 11.13     Sec. 13.  [APPROPRIATION.] 
 11.14     $....... in fiscal year 2002 and $....... in fiscal year 
 11.15  2003 are appropriated from the general fund to the commissioner 
 11.16  of children, families, and learning for transportation aid under 
 11.17  Minnesota Statutes, section 123B.92, subdivision 15. 
 11.18     Sec. 14.  [EFFECTIVE DATE.] 
 11.19     Sections 1 to 13 are effective July 1, 2001.