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HF 2387

as introduced - 88th Legislature (2013 - 2014) Posted on 03/05/2014 04:15pm

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - as introduced

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A bill for an act
relating to education finance; eliminating the staff development mandate;
modifying the allocation of compensatory revenue; authorizing a school district
to publish its minutes and budget information on its Web site; removing a
requirement that certain notices be sent by first class mail; amending Minnesota
Statutes 2012, sections 123B.09, subdivision 10; 123B.10, subdivisions 1, 3;
Minnesota Statutes 2013 Supplement, sections 122A.61, subdivision 1; 126C.15,
subdivision 2; 126C.17, subdivision 9; repealing Minnesota Statutes 2012,
section 120A.40.

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

Section 1.

Minnesota Statutes 2013 Supplement, section 122A.61, subdivision 1,
is amended to read:


Subdivision 1.

Staff development revenue.

A district deleted text begin is required todeleted text end new text begin , at the
discretion of its board, may
new text end reserve an amount deleted text begin equal to at least two percentdeleted text end of the basic
revenue under section 126C.10, subdivision 2, for in-service education for programs
under section 120B.22, subdivision 2, for staff development plans, including plans for
challenging instructional activities and experiences under section 122A.60, and for
curriculum development and programs, other in-service education, teachers' evaluation,
teachers' workshops, teacher conferences, the cost of substitute teachers staff development
purposes, preservice and in-service education for special education professionals and
paraprofessionals, and other related costs for staff development efforts. deleted text begin A district may
annually waive the requirement to reserve their basic revenue under this section if a
majority vote of the licensed teachers in the district and a majority vote of the school board
agree to a resolution to waive the requirement. A district in statutory operating debt is
exempt from reserving basic revenue according to this section. Districts may expend an
additional amount of unreserved revenue for staff development based on their needs.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal years 2015
and later.
new text end

Sec. 2.

Minnesota Statutes 2012, section 123B.09, subdivision 10, is amended to read:


Subd. 10.

Publishing proceedings.

The board must deleted text begin causedeleted text end new text begin publishnew text end its official
proceedings deleted text begin to be publisheddeleted text end new text begin on its Web site ornew text end once in the official newspaper of the
district. Such publication shall be made within 30 days of the meeting at which such
proceedings occurred. new text begin For a board that chooses to publish its proceedings in the official
newspaper of the district,
new text end if the board determines that publication of a summary of the
proceedings would adequately inform the public of the substance of the proceedings, the
board may direct that only a summary be published, conforming to the requirements of
section 331A.01, subdivision 10.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2014.
new text end

Sec. 3.

Minnesota Statutes 2012, section 123B.10, subdivision 1, is amended to read:


Subdivision 1.

Budgets; form of notification.

(a) new text begin For purposes of this section,
"publish" means to post information on the district's Web site or publish information in the
official newspaper of the district.
new text end

new text begin (b) new text end Every board must publish revenue and expenditure budgets for the current year
and the actual revenues, expenditures, fund balances for the prior year and projected fund
balances for the current year in a form prescribed by the commissioner within one week
of the acceptance of the final audit by the board, or November 30, whichever is earlier.
The forms prescribed must be designed so that year to year comparisons of revenue,
expenditures and fund balances can be made.

deleted text begin (b)deleted text end new text begin (c)new text end A school board annually must notify the public of its revenue, expenditures,
fund balances, and other relevant budget information. The board must post the materials
in a conspicuous place on the district's official Web site, including a link to the district's
school report card on the Department of Education's Web sitedeleted text begin , anddeleted text end new text begin .
new text end

new text begin (d) The board must new text end publishnew text begin in the official newspaper of the districtnew text end a deleted text begin summary of
the information and
deleted text end new text begin notice listingnew text end the address of the district's official Web site deleted text begin where the
information can be found in a qualified newspaper of general circulation in the district
deleted text end new text begin and
stating that the district's budget information, including revenue, expenditures, and fund
balance, is available on the district's Web site
new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2014.
new text end

Sec. 4.

Minnesota Statutes 2012, section 123B.10, subdivision 3, is amended to read:


Subd. 3.

Budget inspection.

A statement must be included new text begin on the Web site or new text end in the
deleted text begin publicationdeleted text end new text begin official newspaper of the districtnew text end that the complete budget in detail may be
inspected by any resident of the district upon request to the chief school administrator.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2014.
new text end

Sec. 5.

Minnesota Statutes 2013 Supplement, section 126C.15, subdivision 2, is
amended to read:


Subd. 2.

Building allocation.

(a) A district or cooperative must allocatenew text begin at least 50
percent of
new text end its compensatory revenue to each school building in the district or cooperative
where the children who have generated the revenue are served unless the school district or
cooperative has received permission under Laws 2005, First Special Session chapter 5,
article 1, section 50, to allocate compensatory revenue according to student performance
measures developed by the school board.

(b) deleted text begin Notwithstanding paragraph (a),deleted text end A district or cooperative deleted text begin maydeleted text end new text begin shallnew text end allocate deleted text begin up to
five percent of
deleted text end the new text begin remaining new text end amount of compensatory revenue deleted text begin that the districtdeleted text end new text begin itnew text end receives
to school sites according to a plan adopted by the deleted text begin schooldeleted text end new text begin governingnew text end boarddeleted text begin , and adeleted text end new text begin of the
new text end district or cooperative deleted text begin may allocate up to an additional five percent of its compensatory
revenue for activities under subdivision 1, clause (10), according to a plan adopted by the
school board
deleted text end . The money reallocated under this paragraph must be spent for the purposes
listed in subdivision 1, but may be spent on students in any grade, including students
attending school readiness or other prekindergarten programs.

(c) For the purposes of this section and section 126C.05, subdivision 3, "building"
means education site as defined in section 123B.04, subdivision 1.

(d) Notwithstanding section 123A.26, subdivision 1, compensatory revenue
generated by students served at a cooperative unit shall be paid to the cooperative unit.

(e) A district or cooperative with school building openings, school building
closings, changes in attendance area boundaries, or other changes in programs or student
demographics between the prior year and the current year may reallocate compensatory
revenue among sites to reflect these changes. A district or cooperative must report to the
department any adjustments it makes according to this paragraph and the department must
use the adjusted compensatory revenue allocations in preparing the report required under
section 123B.76, subdivision 3, paragraph (c).

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal years 2015
and later.
new text end

Sec. 6.

Minnesota Statutes 2013 Supplement, section 126C.17, subdivision 9, is
amended to read:


Subd. 9.

Referendum revenue.

(a) The revenue authorized by section 126C.10,
subdivision 1
, may be increased in the amount approved by the voters of the district
at a referendum called for the purpose. The referendum may be called by the board.
The referendum must be conducted one or two calendar years before the increased levy
authority, if approved, first becomes payable. Only one election to approve an increase
may be held in a calendar year. Unless the referendum is conducted by mail under
subdivision 11, paragraph (a), the referendum must be held on the first Tuesday after the
first Monday in November. The ballot must state the maximum amount of the increased
revenue per adjusted pupil unit. The ballot may state a schedule, determined by the board,
of increased revenue per adjusted pupil unit that differs from year to year over the number
of years for which the increased revenue is authorized or may state that the amount shall
increase annually by the rate of inflation. For this purpose, the rate of inflation shall be the
annual inflationary increase calculated under subdivision 2, paragraph (b). The ballot may
state that existing referendum levy authority is expiring. In this case, the ballot may also
compare the proposed levy authority to the existing expiring levy authority, and express
the proposed increase as the amount, if any, over the expiring referendum levy authority.
The ballot must designate the specific number of years, not to exceed ten, for which the
referendum authorization applies. The ballot, including a ballot on the question to revoke
or reduce the increased revenue amount under paragraph (c), must abbreviate the term
"per adjusted pupil unit" as "per pupil." The notice required under section 275.60 may
be modified to read, in cases of renewing existing levies at the same amount per pupil
as in the previous year:

"BY VOTING "YES" ON THIS BALLOT QUESTION, YOU ARE VOTING
TO EXTEND AN EXISTING PROPERTY TAX REFERENDUM THAT IS
SCHEDULED TO EXPIRE."

The ballot may contain a textual portion with the information required in this
subdivision and a question stating substantially the following:

"Shall the increase in the revenue proposed by (petition to) the board of .........,
School District No. .., be approved?"

If approved, an amount equal to the approved revenue per adjusted pupil unit times
the adjusted pupil units for the school year beginning in the year after the levy is certified
shall be authorized for certification for the number of years approved, if applicable, or
until revoked or reduced by the voters of the district at a subsequent referendum.

(b) The board must prepare and deliver by deleted text begin first classdeleted text end mail at least deleted text begin 15deleted text end new text begin tennew text end days but
no more than 30 days before the day of the referendum to each taxpayer a notice of the
referendum and the proposed revenue increase. The board need not mail more than one
notice to any taxpayer. For the purpose of giving mailed notice under this subdivision,
owners must be those shown to be owners on the records of the county auditor or, in any
county where tax statements are mailed by the county treasurer, on the records of the county
treasurer. Every property owner whose name does not appear on the records of the county
auditor or the county treasurer is deemed to have waived this mailed notice unless the
owner has requested in writing that the county auditor or county treasurer, as the case may
be, include the name on the records for this purpose. The notice must project the anticipated
amount of tax increase in annual dollars for typical residential homesteads, agricultural
homesteads, apartments, and commercial-industrial property within the school district.

The notice for a referendum may state that an existing referendum levy is expiring
and project the anticipated amount of increase over the existing referendum levy in
the first year, if any, in annual dollars for typical residential homesteads, agricultural
homesteads, apartments, and commercial-industrial property within the district.

The notice must include the following statement: "Passage of this referendum will
result in an increase in your property taxes." However, in cases of renewing existing levies,
the notice may include the following statement: "Passage of this referendum extends an
existing operating referendum at the same amount per pupil as in the previous year."

(c) A referendum on the question of revoking or reducing the increased revenue
amount authorized pursuant to paragraph (a) may be called by the board. A referendum to
revoke or reduce the revenue amount must state the amount per deleted text begin resident marginal cost
deleted text end new text begin adjustednew text end pupil unit by which the authority is to be reduced. Revenue authority approved
by the voters of the district pursuant to paragraph (a) must be available to the school
district at least once before it is subject to a referendum on its revocation or reduction for
subsequent years. Only one revocation or reduction referendum may be held to revoke or
reduce referendum revenue for any specific year and for years thereafter.

(d) The approval of 50 percent plus one of those voting on the question is required to
pass a referendum authorized by this subdivision.

(e) At least 15 days before the day of the referendum, the district must submit a
copy of the notice required under paragraph (b) to the commissioner and to the county
auditor of each county in which the district is located. Within 15 days after the results
of the referendum have been certified by the board, or in the case of a recount, the
certification of the results of the recount by the canvassing board, the district must notify
the commissioner of the results of the referendum.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for notices mailed on or after July
1, 2014.
new text end

Sec. 7. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2012, section 120A.40, new text end new text begin is repealed.
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