HF 1000

as introduced - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

A bill for an act
relating to education finance; creating more account flexibility for consolidating
school districts; authorizing a fund balance adjustment for Independent School
District No. 2899, Plainview-Elgin-Millville; amending Minnesota Statutes
2006, section 123B.79, subdivision 8.

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

Section 1.

Minnesota Statutes 2006, section 123B.79, subdivision 8, is amended to read:

Subd. 8.

Account transfer for reorganizing districts.

A district that has
reorganized according to sections 123A.35 to 123A.43, 123A.46, or 123A.48, or has
conducted a successful referendum on the question of combination under section
123A.37, subdivision 2, or consolidation under section 123A.48, subdivision 15, or has
been assigned an identification number by the commissioner under section 123A.48,
subdivision 16, may make permanent transfers between any of the funds new text begin or accounts new text end in
the newly created or enlarged district with the exception of the debt redemption fund,
food service fund, and health and safety account of the capital expenditure fund. Fund
transfers under this section may be made for up to one year prior to the effective date of
combination or consolidation new text begin by the consolidating boards new text end and during the year following
the effective date of reorganization new text begin by the consolidated board. The newly formed board of
the combined district may adopt a resolution on or before August 30, of the year of the
reorganization authorizing a transfer among accounts or funds of the previous independent
school districts, which transfer or transfers shall be reported in the affected districts'
audited financial statements for the year immediately preceding the consolidation new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007.
new text end

Sec. 2. new text begin PLAINVIEW-ELGIN-MILLVILLE; FUND BALANCE
CALCULATIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Fiscal year 2007. new text end

new text begin Notwithstanding Minnesota Statutes, sections
124D.135, subdivision 8, or 124D.16, subdivision 6, Independent School District No.
2899, Plainview-Elgin-Millville, is not subject to an early childhood family education
revenue or school readiness revenue reduction for excess fund balance for fiscal year 2007.
new text end

new text begin Subd. 2. new text end

new text begin Fiscal years 2008 and 2009. new text end

new text begin Upon receipt of appropriate documentation
from Independent School District No. 2899, Plainview-Elgin-Millville, the Department of
Education must adjust the district's three-year adjusted average fund balances required
under Minnesota Statutes, sections 124D.135, 124D.16 and 124D.20. The Department
shall adjust the fiscal year 2006 account balances reported by former Independent School
Districts Nos. 806, Elgin-Millville, and 810, Plainview, to reflect any permanent account
of fund transfers made under Minnesota Statutes, section 123B.79.
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