Minnesota Legislature
HF 420
as introduced - 87th Legislature (2011 - 2012) Posted on 02/09/2011 08:57am
Current Version - as introduced
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A bill for an act
relating to education finance; streamlining the health and safety revenue program;
amending Minnesota Statutes 2010, section 123B.57.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
Minnesota Statutes 2010, section 123B.57, is amended to read:
123B.57 CAPITAL EXPENDITURE; HEALTH AND SAFETY.
Subdivision 1.
Health and safety deleted text begin programdeleted text end new text begin revenue applicationnew text end .
(a) To receive
health and safety revenue for any fiscal year a district must submit to the commissioner
deleted text begin andeleted text end new text begin a capital expenditure health and safety revenuenew text end application deleted text begin for aid and levydeleted text end by the
date determined by the commissioner. deleted text begin The application may be for hazardous substance
removal, fire and life safety code repairs, labor and industry regulated facility and
equipment violations, and health, safety, and environmental management, including
indoor air quality management.deleted text end The application must include a health and safety deleted text begin programdeleted text end new text begin
budgetnew text end adopted new text begin and confirmed new text end by the school district boardnew text begin as being consistent with the
district's health and safety policy under subdivision 2new text end . The deleted text begin programdeleted text end new text begin budgetnew text end must include
the estimated costdeleted text begin , per building,deleted text end of the program new text begin per Uniform Financial Accounting and
Reporting Standards (UFARS) finance code new text end by fiscal year. Upon approval through the
adoption of a resolution by each of an intermediate district's member school district
boards and the approval of the Department of Education, a school district may include
its proportionate share of the costs of health and safety projects for an intermediate
district in its application.
(b) Health and safety projects with an estimated cost of $500,000 or more per
site are not eligible for health and safety revenue. Health and safety projects with an
estimated cost of $500,000 or more per site that meet all other requirements for health and
safety funding, are eligible for alternative facilities bonding and levy revenue according
to section 123B.59. A school board shall not separate portions of a single project into
components to qualify for health and safety revenue, and shall not combine unrelated
projects into a single project to qualify for alternative facilities bonding and levy revenue.
new text begin
(c) The commissioner of education shall not make eligibility for health and safety
revenue contingent on a district's compliance status, level of program development, or
training. The commissioner shall not mandate additional performance criteria such as
training, certifications, or compliance evaluations as a prerequisite for levy approval.
new text end
Subd. 2.
deleted text begin Contents of programdeleted text end new text begin Health and safety policynew text end .
new text begin To qualify for health
and safety revenue, new text end a deleted text begin districtdeleted text end new text begin school boardnew text end must adopt a health and safety deleted text begin programdeleted text end new text begin policynew text end .
The deleted text begin programdeleted text end new text begin policynew text end must include deleted text begin plans, where applicable, for hazardous substance
removal, fire and life safety code repairs, regulated facility and equipment violations,
anddeleted text end new text begin provisions for implementing a health and safety program that complies withnew text end health,
safety, and environmental deleted text begin management,deleted text end new text begin regulations and best practices, new text end including indoor
air quality management.
deleted text begin
(a) A hazardous substance plan must contain provisions for the removal or
encapsulation of asbestos from school buildings or property, asbestos-related repairs,
cleanup and disposal of polychlorinated biphenyls found in school buildings or property,
and cleanup, removal, disposal, and repairs related to storing heating fuel or transportation
fuels such as alcohol, gasoline, fuel, oil, and special fuel, as defined in section 296A.01.
If a district has already developed a plan for the removal or encapsulation of asbestos as
required by the federal Asbestos Hazard Emergency Response Act of 1986, the district
may use a summary of that plan, which includes a description and schedule of response
actions, for purposes of this section. The plan must also contain provisions to make
modifications to existing facilities and equipment necessary to limit personal exposure
to hazardous substances, as regulated by the federal Occupational Safety and Health
Administration under Code of Federal Regulations, title 29, part 1910, subpart Z; or is
deleted text end
deleted text begin
determined by the commissioner to present a significant risk to district staff or student
health and safety as a result of foreseeable use, handling, accidental spill, exposure, or
contamination.
deleted text end
deleted text begin
(b) A fire and life safety plan must contain a description of the current fire and life
safety code violations, a plan for the removal or repair of the fire and life safety hazard,
and a description of safety preparation and awareness procedures to be followed until the
hazard is fully corrected.
deleted text end
deleted text begin
(c) A facilities and equipment violation plan must contain provisions to correct
health and safety hazards as provided in Department of Labor and Industry standards
pursuant to section 182.655.
deleted text end
deleted text begin
(d) A health, safety, and environmental management plan must contain a description
of training, record keeping, hazard assessment, and program management as defined
in section 123B.56.
deleted text end
deleted text begin
(e) A plan to test for and mitigate radon produced hazards.
deleted text end
deleted text begin
(f) A plan to monitor and improve indoor air quality.
deleted text end
Subd. 3.
Health and safety revenue.
A district's health and safety revenue
for a fiscal year equals the district's alternative facilities levy under section 123B.59,
subdivision 5, paragraph (b), plus the greater of zero or:
(1) the sum of (a) the total approved cost of the district's hazardous substance
plan for fiscal years 1985 through 1989, plus (b) the total approved cost of the district's
health and safety program for fiscal year 1990 through the fiscal year to which the levy
is attributable, excluding expenditures funded with bonds issued under section 123B.59
or 123B.62, or chapter 475; certificates of indebtedness or capital notes under section
123B.61; levies under section 123B.58, 123B.59, 123B.63, or 126C.40, subdivision 1 or
6; and other federal, state, or local revenues, minus
(2) the sum of (a) the district's total hazardous substance aid and levy for fiscal years
1985 through 1989 under sections 124.245 and 275.125, subdivision 11c, plus (b) the
district's health and safety revenue under this subdivision, for years before the fiscal year
to which the levy is attributable.
Subd. 4.
Health and safety levy.
To receive health and safety revenue, a district
may levy an amount equal to the district's health and safety revenue as defined in
subdivision 3 multiplied by the lesser of one, or the ratio of the quotient derived by
dividing the adjusted net tax capacity of the district for the year preceding the year the
levy is certified by the adjusted marginal cost pupil units in the district for the school year
to which the levy is attributable, to $2,935.
Subd. 5.
Health and safety aid.
A district's health and safety aid is the difference
between its health and safety revenue and its health and safety levy. If a district does not
levy the entire amount permitted, health and safety aid must be reduced in proportion to
the actual amount levied. Health and safety aid may not be reduced as a result of reducing
a district's health and safety levy according to section 123B.79.
Subd. 6.
Uses of health and safety revenue.
deleted text begin (a)deleted text end Health and safety revenue may
be used only for approved expenditures necessary deleted text begin to correctdeleted text end new text begin for the correction of new text end fire
and life safety hazardsdeleted text begin , or for thedeleted text end new text begin ; design, purchase, installation, maintenance, and
inspection of fire protection and alarm equipment; purchase or construction of appropriate
facilities for the storage of combustible and flammable materials; inventories and facility
modifications not related to a remodeling project to comply with lab safety requirements
under section 121A.31; inspection, testing, repair,new text end removal or encapsulationnew text begin , and disposalnew text end
of deleted text begin asbestos from school buildings or property owned or being acquired by the district,
asbestos-related repairs,deleted text end new text begin asbestos-containing building materials;new text end cleanup and disposal
of polychlorinated biphenyls deleted text begin found in school buildings or property owned or being
acquired by the district, or thedeleted text end new text begin ; cleanup and disposal of hazardous and infectious wastes;new text end
cleanup, removal, disposal, and repairs related to storing heating fuel or transportation
fuels such as alcohol, gasoline, fuel oil, and special fuel, as defined in section 296A.01deleted text begin ,
Minnesotadeleted text end new text begin ; correction ofnew text end occupational safety and health administration regulated deleted text begin facility
and equipmentdeleted text end hazardsdeleted text begin ,deleted text end new text begin ;new text end indoor air quality new text begin inspections, investigations, and testing; new text end mold
abatementdeleted text begin ,deleted text end new text begin ;new text end upgrades or replacement of mechanical ventilation systems to meet American
Society of Heating, Refrigerating and Air Conditioning Engineers standards and State
Mechanical Codedeleted text begin ,deleted text end new text begin ; design, materials, and installation of local exhaust ventilation systems,
including required make-up air for controlling regulated hazardous substances; correction
of new text end Department of Health Food Code deleted text begin anddeleted text end new text begin violations; correction ofnew text end swimming pool hazards
excluding depth correctiondeleted text begin ,deleted text end new text begin ; playground safety inspections and the installation of impact
surfacing materials; bleacher repair or rebuilding to comply with the order of a building
code inspector under section 326B.112; testing and mitigation of elevated radon hazards;
lead in water, paint, soil, and toys testing; copper in water testing; cleanup after major
weather-related disasters or flooding; reduction of excessive organic and inorganic levels
in wells and well capping of abandoned wells; installation and testing of boiler backflow
valves to prevent contamination of potable water; vaccinations, titers, and preventative
supplies for bloodborne pathogen compliance; costs to comply with the Janet B. Johnson
Parents' Right To Know Act;new text end and health, safety, and environmental managementnew text begin costs
associated with implementing the district's health and safety program, including costs
to establish and operate safety committees, in school buildings or property owned or
being acquired by the districtnew text end . Testing and calibration activities are permitted for existing
mechanical ventilation systems at intervals no less than every five years. deleted text begin Health and safety
revenue must not be used to finance a lease purchase agreement, installment purchase
agreement, or other deferred payments agreement. Health and safety revenue must not
be used for the construction of new facilities or the purchase of portable classrooms,
for interest or other financing expenses, or for energy efficiency projects under section
123B.65. The revenue may not be used for a building or property or part of a building or
property used for postsecondary instruction or administration or for a purpose unrelated
to elementary and secondary education.
deleted text end
new text begin Subd. 6a. new text end
new text begin Restrictions on health and safety revenue. new text end
deleted text begin (b)deleted text end Notwithstanding
deleted text begin paragraph (a)deleted text end new text begin subdivision 6new text end , health and safety revenue must not be useddeleted text begin deleted text end new text begin : (1) to finance a
lease purchase agreement, installment purchase agreement, or other deferred payments
agreement; (2) for the construction of new facilities, remodeling of existing facilities, or
the purchase of portable classrooms; (3) for interest or other financing expenses; (4) for
energy efficiency projects under section 123B.65 for a building or property or part of a
building or property used for postsecondary instruction or administration or for a purpose
unrelated to elementary and secondary education; (5) new text end for replacement of building materials
or facilities including roof, walls, windows, internal fixtures and flooring, nonhealth and
safety costs associated with demolition of facilities, structural repair or replacement of
facilities due to unsafe conditions, violence prevention and facility security, ergonomicsdeleted text begin , deleted text end new text begin ;
or (6) for new text end building and heating, ventilating and air conditioning supplies, maintenance, and
cleaning activities. All assessments, investigations, inventories, and support equipment
not leading to the engineering or construction of a project shall be included in the health,
safety, and environmental management costs in subdivision 8, paragraph (a).
new text begin Subd. 6b. new text end
new text begin Health and safety projects. new text end
new text begin
(a) Health and safety revenue applications
defined in subdivision 1 must be accompanied by a description of each project for which
funding is being requested. Project descriptions must provide enough detail for an auditor
to determine if the work qualifies for revenue. For projects other than fire and life
safety projects, playground projects, and health, safety, and environmental management
activities, a project description does not need to include itemized details such as material
types, room locations, square feet, names, or license numbers. The commissioner shall
approve only projects that comply with subdivisions 6 and 8, as defined by the Department
of Education.
new text end
new text begin
(b) Districts may request funding for allowable projects based on self-assessments,
safety committee recommendations, insurance inspections, management assistance
reports, fire marshal orders, or other mandates. Notwithstanding subdivision 1, paragraph
(b), and subdivision 8, paragraph (b), for projects under $500,000, individual project
size for projects authorized by this subdivision is not limited and may include related
work in multiple facilities. Health and safety management costs from subdivision 8 may
be reported as a single project.
new text end
new text begin
(c) All costs directly related to a project shall be reported in the appropriate Uniform
Financial Accounting and Reporting Standards (UFARS) finance code.
new text end
new text begin
(d) For fire and life safety egress and all other projects exceeding $20,000 and cited
under Minnesota Fire Code, a fire marshal plan review is required.
new text end
new text begin
(e) Districts shall update project estimates with actual expenditures for each
fiscal year. If a project's final cost is significantly higher than originally approved, the
commissioner may request additional supporting information.
new text end
new text begin Subd. 6c. new text end
new text begin Appeals process. new text end
new text begin
In the event a district is denied funding approval for
a project the district believes complies with subdivisions 6 and 8, and is not otherwise
excluded, a district may appeal the decision. All such requests must be in writing. The
commissioner shall respond in writing. A written request must contain project number,
description and amount, reason for denial, unresolved questions for consideration, reasons
for reconsideration, and a specific statement of what action the district is requesting.
new text end
Subd. 7.
Proration.
In the event that the health and safety aid available for any year
is prorated, a district having its aid prorated may levy an additional amount equal to the
amount not paid by the state due to proration.
Subd. 8.
Health, safety, and environmental management cost.
(a) new text begin "Health, safety,
and environmental management" is defined in section 123B.56.
new text end
new text begin (b) new text end A district's cost for health, safety, and environmental management is limited to
the lesser of:
(1) actual cost to implement their plan; or
(2) an amount determined by the commissioner, based on enrollment, building
age, and size.
deleted text begin (b)deleted text end new text begin (c)new text end The department may contract with regional service organizations, private
contractors, Minnesota Safety Council, or state agencies to provide management
assistance to school districts for health and safety capital projects. Management assistance
is the development of written programs for the identification, recognition and control of
hazards, and prioritization and scheduling of district health and safety capital projects.
The deleted text begin departmentdeleted text end new text begin commissionernew text end shall not new text begin mandate management assistance or new text end exclude
private contractors from the opportunity to provide any health and safety services to
school districts.
deleted text begin
(c) Notwithstanding paragraph (b), the department may approve revenue, up to
the limit defined in paragraph (a) for districts having an approved health, safety, and
environmental management plan that uses district staff to accomplish coordination and
provided services.
deleted text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective July 1, 2011.
new text end
Sec. 2. new text begin HEALTH AND SAFETY POLICY.
new text end
new text begin
Notwithstanding Minnesota Statutes, section 123B.57, subdivision 2, a school board
that has not yet adopted a health and safety policy by September 30, 2011, may submit an
application for health and safety revenue for taxes payable in 2012 in the form and manner
specified by the commissioner of education.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end