Engrossments
Introduction		Posted on 03/17/2014
1st Engrossment		Posted on 03/27/2014
2nd Engrossment		Posted on 03/28/2014

A bill for an act
relating to education; providing funding and policy modifications for early
childhood, kindergarten through grade 12, and adult education, including
general education, education excellence, special education, facilities, nutrition,
community education, self-sufficiency and lifelong learning, and state agencies;
making forecast adjustments; appropriating money; amending Minnesota
Statutes 2012, sections 121A.19; 122A.40, subdivision 13; 122A.41, subdivision
6; 122A.415, subdivision 1; 123A.05, subdivision 2; 123A.485; 123A.64;
123B.71, subdivisions 8, 9; 124D.09, subdivisions 9, 13; 124D.111, by adding
a subdivision; 124D.16, subdivision 2; 124D.522; 124D.531, subdivision 3;
124D.59, subdivision 2; 125A.76, subdivision 2; 126C.10, subdivisions 25, 26;
127A.45, subdivisions 2, 3; 127A.49, subdivisions 2, 3; 129C.10, subdivision 3,
by adding a subdivision; Minnesota Statutes 2013 Supplement, sections 123B.53,
subdivisions 1, 5; 123B.54; 123B.75, subdivision 5; 124D.11, subdivision 1;
124D.111, subdivision 1; 124D.165, subdivision 5; 124D.531, subdivision 1;
124D.65, subdivision 5; 124D.862, subdivisions 1, 2; 125A.0942; 125A.11,
subdivision 1; 125A.76, subdivisions 1, 2a, 2b, 2c; 125A.79, subdivisions 1, 5,
8; 126C.05, subdivision 15; 126C.10, subdivisions 2, 2a, 2d, 24, 31; 126C.17,
subdivisions 6, 7b, 9, 9a; 126C.44; 126C.48, subdivision 8; 127A.47, subdivision
7; Laws 2012, chapter 263, section 1; Laws 2013, chapter 116, article 1, section
58, subdivisions 2, 3, 4, 5, 6, 7, 11; article 3, section 37, subdivisions 3, 4, 5, 6, 8,
11, 15, 20; article 4, section 9, subdivision 2; article 5, section 31, subdivisions
2, 3, 4, 8; article 6, section 12, subdivisions 2, 3, 4, 5, 6; article 7, section 21,
subdivisions 2, 3, 4, 6, 7, 9; article 8, section 5, subdivisions 2, 3, 4, 10, 11, 14;
article 9, sections 1, subdivision 2; 2; proposing coding for new law in Minnesota
Statutes, chapters 123A; 123B; 124D; 129C; repealing Minnesota Statutes 2012,
section 123B.71, subdivision 1.

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

ARTICLE 1

GENERAL EDUCATION

Section 1.

Minnesota Statutes 2012, section 123A.05, subdivision 2, is amended to read:

Subd. 2.

Reserve revenue.

Each district that is a member of an area learning center
or alternative learning program must reserve revenue in an amount equal to the sum of
(1) at least 90 new text begin and no more than 100 new text end percent of the district average general education
revenue per new text begin adjusted new text end pupil unit minus an amount equal to the product of the formula
allowance according to section 126C.10, subdivision 2, times deleted text begin .0485deleted text end new text begin .0466new text end , calculated
without basic skills revenue and transportation sparsity revenue, times the number of
pupil units attending an area learning center or alternative learning program under this
section, plus (2) the amount of basic skills revenue generated by pupils attending the area
learning center or alternative learning program. The amount of reserved revenue under
this subdivision may only be spent on program costs associated with the area learning
center or alternative learning program.

new text begin EFFECTIVE DATE. new text end

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

Sec. 2.

Minnesota Statutes 2013 Supplement, section 123B.75, subdivision 5, is
amended to read:

Subd. 5.

Levy recognition.

For fiscal year deleted text begin 2011deleted text end new text begin 2014new text end and later years, in June of
each year, the school district must recognize as revenue, in the fund for which the levy
was made, the lesser of:

(1) the sum of May, June, and July school district tax settlement revenue received in
that calendar year, plus general education aid according to section 126C.13, subdivision
4, received in July and August of that calendar year; or

(2) the sum of:

(i) deleted text begin the greater of 48.6 percent of the referendum levy certified according to section
126C.17 in the prior calendar year, ordeleted text end 31 percent of the referendum levy certified
according to section 126C.17 in calendar year 2000; plus

(ii) the entire amount of the levy certified in the prior calendar year according
to section 124D.4531deleted text begin , 124D.86, subdivision 4, for school districts receiving revenue
under sections 124D.86, subdivision 3, clauses (1), (2), and (3)deleted text end ; 124D.862, for Special
School District No. 1, Minneapolis, Independent School District No. 625, St. Paul, and
Independent School District No. 709, Duluth; 126C.41, subdivisions 1, 2, paragraph (a),
and 3, paragraphs (b), (c), and (d); 126C.43, subdivision 2; and 126C.48, subdivision 6deleted text begin ; plus
deleted text end

deleted text begin (iii) 48.6 percent of the amount of the levy certified in the prior calendar year for the
school district's general and community service funds, plus or minus auditor's adjustments,
that remains after subtracting the referendum levy certified according to section 126C.17
and the amount recognized according to item (ii)deleted text end .

Sec. 3.

Minnesota Statutes 2012, section 124D.09, subdivision 9, is amended to read:

Subd. 9.

Enrollment priority.

A postsecondary institution shall give priority to its
postsecondary students when enrolling 10th, 11th, and 12th grade pupils in its courses.
A postsecondary institution may provide information about its programs to a secondary
school or to a pupil or parent and it may advertise or otherwise recruit or solicit a
secondary pupil to enroll in its programs on educational and programmatic grounds only.
An institution must not enroll secondary pupils, for postsecondary enrollment options
purposes, in remedial, developmental, or other courses that are not college levelnew text begin except
when a student eligible to participate in the graduation incentives program under section
124D.68 enrolls full time in a middle or early college program specifically designed to
allow the student to earn dual high school and college credit. In this case, the student shall
receive developmental college credit and not college credit for completing remedial or
developmental coursesnew text end . Once a pupil has been enrolled in a postsecondary course under
this section, the pupil shall not be displaced by another student.

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 124D.09, subdivision 13, is amended to read:

Subd. 13.

Financial arrangements.

For a pupil enrolled in a course under this
section, the department must make payments according to this subdivision for courses that
were taken for secondary credit.

The department must not make payments to a school district or postsecondary
institution for a course taken for postsecondary credit only. The department must not
make payments to a postsecondary institution for a course from which a student officially
withdraws during the first 14 days of the quarter or semester or who has been absent from
the postsecondary institution for the first 15 consecutive school days of the quarter or
semester and is not receiving instruction in the home or hospital.

A postsecondary institution shall receive the following:

(1) for an institution granting quarter credit, the reimbursement per credit hour shall
be an amount equal to 88 percent of the product of the formula allowance minus deleted text begin $415
deleted text end new text begin $425new text end , multiplied by deleted text begin 1.3deleted text end new text begin 1.2new text end , and divided by 45; or

(2) for an institution granting semester credit, the reimbursement per credit hour
shall be an amount equal to 88 percent of the product of the general revenue formula
allowance minus deleted text begin $415deleted text end new text begin $425new text end , multiplied by deleted text begin 1.3deleted text end new text begin 1.2new text end , and divided by 30.

The department must pay to each postsecondary institution 100 percent of the
amount in clause (1) or (2) within 30 days of receiving initial enrollment information
each quarter or semester. If changes in enrollment occur during a quarter or semester,
the change shall be reported by the postsecondary institution at the time the enrollment
information for the succeeding quarter or semester is submitted. At any time the
department notifies a postsecondary institution that an overpayment has been made, the
institution shall promptly remit the amount due.

new text begin EFFECTIVE DATE. new text end

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

Sec. 5.

Minnesota Statutes 2013 Supplement, section 124D.11, subdivision 1, is
amended to read:

Subdivision 1.

General education revenue.

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 new text begin declining enrollment revenue,
local optional revenue, new text end basic skills revenue, extended time revenue, pension adjustment
revenue, transition revenue, and transportation sparsity revenue, plus new text begin declining enrollment
revenue, new text end basic skills revenue, extended time revenue, pension adjustment revenue, and
transition revenue as though the school were a school district. The general education
revenue for each extended time pupil unit equals $4,794.

new text begin EFFECTIVE DATE. new text end

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

Sec. 6.

Minnesota Statutes 2012, section 124D.59, subdivision 2, is amended to read:

Subd. 2.

English learner.

(a) "English learner" means a pupil in kindergarten
through grade 12 who meets the following requirements:

(1) the pupil, as declared by a parent or guardian first learned a language other than
English, comes from a home where the language usually spoken is other than English, or
usually speaks a language other than English; and

(2) the pupil is determined by new text begin a valid assessment measuring the pupil's English
language proficiency and by new text end developmentally appropriate measures, which might include
observations, teacher judgment, parent recommendations, or developmentally appropriate
assessment instruments, to lack the necessary English skills to participate fully in
new text begin academic new text end classes taught in English.

(b) deleted text begin Notwithstanding paragraph (a),deleted text end A pupil new text begin enrolled in a Minnesota public school
new text end in deleted text begin gradesdeleted text end new text begin any gradenew text end 4 through 12 who deleted text begin was enrolled in a Minnesota public school on
the dates duringdeleted text end new text begin innew text end the previous school year deleted text begin when a commissioner provideddeleted text end new text begin took a
commissioner-providednew text end assessment deleted text begin that measuresdeleted text end new text begin measuringnew text end the pupil's emerging
academic English deleted text begin was administereddeleted text end , shall deleted text begin notdeleted text end be counted as an English learner in
calculating English learner pupil units under section 126C.05, subdivision 17, and shall deleted text begin not
deleted text end generate state English learner aid under section 124D.65, subdivision 5, deleted text begin unlessdeleted text end new text begin ifnew text end the pupil
scored below the state cutoff score or is otherwise counted as a nonproficient participant
on deleted text begin andeleted text end new text begin thenew text end assessment measuring new text begin the pupil's new text end emerging academic English deleted text begin provided by the
commissioner during the previous school yeardeleted text end new text begin , or, in the judgment of the pupil's classroom
teachers, consistent with section 124D.61, clause (1), the pupil is unable to demonstrate
academic language proficiency in English, including oral academic language, sufficient to
successfully and fully participate in the general core curriculum in the regular classroomnew text end .

(c) Notwithstanding paragraphs (a) and (b), a pupil in kindergarten through grade
12 shall not be counted as an English learner in calculating English learner pupil units
under section 126C.05, subdivision 17, and shall not generate state English learner aid
under section 124D.65, subdivision 5, if:

(1) the pupil is not enrolled during the current fiscal year in an educational program
for English learners deleted text begin in accordance withdeleted text end new text begin undernew text end sections 124D.58 to 124D.64; or

(2) the pupil has generated deleted text begin fivedeleted text end new text begin six new text end or more years of average daily membership in
Minnesota public schools since July 1, 1996.

new text begin EFFECTIVE DATE. new text end

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

Sec. 7.

Minnesota Statutes 2013 Supplement, section 124D.65, subdivision 5, is
amended to read:

Subd. 5.

School district EL revenue.

deleted text begin (a)deleted text end A district's English learner programs
revenue equals the product of (1) deleted text begin $704deleted text end new text begin $726new text end times (2) the greater of 20 or the adjusted
average daily membership of eligible English learners enrolled in the district during the
current fiscal year.

deleted text begin (b) A pupil ceases to generate state English learner aid in the school year following
the school year in which the pupil attains the state cutoff score on a commissioner-provided
assessment that measures the pupil's emerging academic English.
deleted text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 8.

new text begin [124D.695] APPROVED RECOVERY PROGRAM FUNDING.
new text end

new text begin Subdivision 1. new text end

new text begin Approved recovery program. new text end

new text begin "Approved recovery program" means
a course of instruction offered by a recovery school that provides academic services,
assistance with recovery, and continuing care to students recovering from substance abuse
or dependency. A recovery program may be offered in a transitional academic setting
designed to meet graduation requirements. A recovery program must be approved by the
commissioner of education. The commissioner may specify the manner and form of the
application for the approval of a recovery school or recovery program.
new text end

new text begin Subd. 2. new text end

new text begin Eligibility. new text end

new text begin An approved recovery program is eligible for an annual
recovery program grant of up to $125,000 to pay for a portion of the costs of recovery
program support staff under this section. "Recovery program support staff" means licensed
alcohol and chemical dependency counselors, licensed school counselors, licensed school
psychologists, licensed school nurses, and licensed school social workers.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 9.

Minnesota Statutes 2013 Supplement, section 126C.05, subdivision 15, is
amended to read:

Subd. 15.

Learning year pupil units.

(a) When a pupil is enrolled in a learning
year program under section 124D.128, an area learning center or an alternative learning
program approved by the commissioner under sections 123A.05 and 123A.06, or a
contract alternative program under section 124D.68, subdivision 3, paragraph (d), or
subdivision 4, for more than 1,020 hours in a school year for a secondary student, more
than 935 hours in a school year for an elementary student, more than 850 hours in a school
year for a kindergarten student without a disability in an all-day kindergarten program,
or more than 425 hours in a school year for a half-day kindergarten student without a
disability, that pupil may be counted as more than one pupil in average daily membership
for purposes of section 126C.10, subdivision 2a. The amount in excess of one pupil must
be determined by the ratio of the number of hours of instruction provided to that pupil in
excess of: (i) the greater of 1,020 hours or the number of hours required for a full-time
secondary pupil in the district to 1,020 for a secondary pupil; (ii) the greater of 935 hours
or the number of hours required for a full-time elementary pupil in the district to 935 for
an elementary pupil in grades 1 through 6; new text begin and new text end (iii) the greater of deleted text begin 425deleted text end new text begin 850new text end hours or the
number of hours required for a full-time kindergarten student without a disability in the
district to deleted text begin 425deleted text end new text begin 850new text end for a kindergarten student without a disabilitydeleted text begin ; and (iv) the greater of
425 hours or the number of hours required for a half-time kindergarten student without a
disability in the district to 425 for a half-day kindergarten student without a disabilitydeleted text end .
Hours that occur after the close of the instructional year in June shall be attributable to
the following fiscal year. A student in kindergarten or grades 1 through 12 must not be
counted as more than 1.2 pupils in average daily membership under this subdivision.

(b)(i) To receive general education revenue for a pupil in an area learning center
or alternative learning program that has an independent study component, a district
must meet the requirements in this paragraph. The district must develop, for the pupil,
a continual learning plan consistent with section 124D.128, subdivision 3. Each school
district that has an area learning center or alternative learning program must reserve
revenue in an amount equal to at least 90 new text begin and not more than 100 new text end percent of the district
average general education revenue per pupil unit, minus an amount equal to the product
of the formula allowance according to section 126C.10, subdivision 2, times .0466,
calculated without basic skills and transportation sparsity revenue, times the number of
pupil units generated by students attending an area learning center or alternative learning
program. The amount of reserved revenue available under this subdivision may only be
spent for program costs associated with the area learning center or alternative learning
program. Basic skills revenue generated according to section 126C.10, subdivision 4, by
pupils attending the eligible program must be allocated to the program.

(ii) General education revenue for a pupil in a state-approved alternative program
without an independent study component must be prorated for a pupil participating for
less than a full year, or its equivalent. The district must develop a continual learning plan
for the pupil, consistent with section 124D.128, subdivision 3. Each school district that
has an area learning center or alternative learning program must reserve revenue in an
amount equal to at least 90 new text begin and not more than 100 new text end percent of the district average general
education revenue per pupil unit, minus an amount equal to the product of the formula
allowance according to section 126C.10, subdivision 2, times .0466, calculated without
basic skills and transportation sparsity revenue, times the number of pupil units generated
by students attending an area learning center or alternative learning program. The amount
of reserved revenue available under this subdivision may only be spent for program costs
associated with the area learning center or alternative learning program. Basic skills
revenue generated according to section 126C.10, subdivision 4, by pupils attending the
eligible program must be allocated to the program.

(iii) General education revenue for a pupil in a state-approved alternative program
that has an independent study component must be paid for each hour of teacher contact
time and each hour of independent study time completed toward a credit or graduation
standards necessary for graduation. Average daily membership for a pupil shall equal the
number of hours of teacher contact time and independent study time divided by 1,020.

(iv) For a state-approved alternative program having an independent study
component, the commissioner shall require a description of the courses in the program, the
kinds of independent study involved, the expected learning outcomes of the courses, and
the means of measuring student performance against the expected outcomes.

Sec. 10.

Minnesota Statutes 2013 Supplement, section 126C.10, subdivision 2, is
amended to read:

Subd. 2.

Basic revenue.

For fiscal year 2014, the basic revenue for each district
equals the formula allowance times the adjusted marginal cost pupil units for the school
year. For fiscal year 2015 and later, the basic revenue for each district equals the formula
allowance times the adjusted pupil units for the school year. The formula allowance for
fiscal year 2013 is $5,224. The formula allowance for fiscal year 2014 is $5,302. The
formula allowance for fiscal year 2015 and later is deleted text begin $5,806deleted text end new text begin $5,864new text end .

new text begin EFFECTIVE DATE. new text end

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

Sec. 11.

Minnesota Statutes 2013 Supplement, section 126C.10, subdivision 2a,
is amended to read:

Subd. 2a.

Extended time revenue.

(a) new text begin A school district's extended time revenue for
fiscal year 2014 is equal to the product of $4,601 and the sum of the adjusted marginal
cost pupil units of the district for each pupil in average daily membership in excess of 1.0
and less than 1.2 according to section 126C.05, subdivision 8. new text end A school district's extended
time revenue new text begin for fiscal year 2015 and later new text end is equal to the product of $5,017 and the sum
of the adjusted pupil units of the district for each pupil in average daily membership in
excess of 1.0 and less than 1.2 according to section 126C.05, subdivision 8.

(b) A school district's extended time revenue may be used for extended day
programs, extended week programs, summer school, and other programming authorized
under the learning year program.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to revenue for fiscal year 2014 and later.
new text end

Sec. 12.

Minnesota Statutes 2013 Supplement, section 126C.10, subdivision 24,
is amended to read:

Subd. 24.

Equity revenue.

(a) A school district qualifies for equity revenue if:

(1) the school district's adjusted pupil unit amount of basic revenue, transition
revenue, and referendum revenue is less than the value of the school district at or
immediately above the 95th percentile of school districts in its equity region for those
revenue categories; and

(2) the school district's administrative offices are not located in a city of the first
class on July 1, 1999.

(b) Equity revenue for a qualifying district that receives referendum revenue under
section 126C.17, subdivision 4, equals the product of (1) the district's adjusted pupil
units for that year; times (2) the sum of (i) $14, plus (ii) $80, times the school district's
equity index computed under subdivision 27.

(c) Equity revenue for a qualifying district that does not receive referendum revenue
under section 126C.17, subdivision 4, equals the product of the district's adjusted pupil
units for that year times $14.

(d) A school district's equity revenue is increased by the greater of zero or an amount
equal to the district's deleted text begin residentdeleted text end new text begin adjustednew text end pupil units times the difference between ten percent
of the statewide average amount of referendum revenue per deleted text begin residentdeleted text end new text begin adjustednew text end pupil unit for
that year and the district's referendum revenue per deleted text begin residentdeleted text end new text begin adjustednew text end pupil unit. A school
district's revenue under this paragraph must not exceed $100,000 for that year.

(e) A school district's equity revenue for a school district located in the metro equity
regionnew text begin or a school district with its administrative offices located in any Minnesota county
in the Minneapolis-St. Paul-Bloomington Metropolitan Statistical Area delineated in
2009 by the United States Census Bureaunew text end equals the amount computed in paragraphs (b),
(c), and (d) multiplied by 1.25.

(f) A school district's additional equity revenue equals $50 times its adjusted pupil
units.

new text begin EFFECTIVE DATE. new text end

new text begin The changes in paragraph (d) are effective for revenue for
fiscal year 2015 and later. The changes in paragraph (e) are effective for revenue for
fiscal years 2017 and later.
new text end

Sec. 13.

Minnesota Statutes 2012, section 126C.10, subdivision 25, is amended to read:

Subd. 25.

Regional equity gap.

The regional equity gap equals the difference
between the value of the school district at or immediately above the fifth percentile of
adjusted general revenue per adjusted deleted text begin marginal costdeleted text end pupil unit and the value of the school
district at or immediately above the 95th percentile of adjusted general revenue per
adjusted deleted text begin marginal costdeleted text end pupil unit.

new text begin EFFECTIVE DATE. new text end

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

Sec. 14.

Minnesota Statutes 2012, section 126C.10, subdivision 26, is amended to read:

Subd. 26.

District equity gap.

A district's equity gap equals the greater of zero
or the difference between the district's adjusted general revenue and the value of the
school district at or immediately above the regional 95th percentile of adjusted general
revenue per adjusted deleted text begin marginal costdeleted text end pupil unit.

new text begin EFFECTIVE DATE. new text end

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

Sec. 15.

Minnesota Statutes 2013 Supplement, section 126C.10, subdivision 31,
is amended to read:

Subd. 31.

Transition revenue.

(a) A district's transition allowance equals the
sum of the transition revenue the district would have received for fiscal year 2015 under
Minnesota Statutes 2012, section 126C.10, subdivisions 31, 31a, and 31c, and the greater
of zero or the difference between:

(1) the sum of:

(i) the general education revenue the district would have received for fiscal year
2015 according to Minnesota Statutes 2012, section 126C.10;

(ii) the integration revenue the district received for fiscal year 2013 under Minnesota
Statutes 2012, section 124D.86;

(iii) the pension adjustment the district would have received for fiscal year 2015
under Minnesota Statutes 2012, section 127A.50;

(iv) the special education aid the district would have received for fiscal year 2015
under Minnesota Statutes 2012, section 125A.76; and

(v) the special education excess cost aid the district would have received for fiscal
year 2015 under Minnesota Statutes 2012, section 125A.79; and

(2) the sum of the district's:

(i) general education revenue for fiscal year 2015 excluding transition revenue
under this section;

(ii) achievement and integration revenue for fiscal year 2015 under section
124D.862; deleted text begin and
deleted text end

(iii) special education aid for fiscal year 2015 under section 125A.76; and

new text begin (iv) alternative teacher compensation revenue for fiscal year 2015 under section
122A.415,
new text end

divided by the number of adjusted pupil units for fiscal year 2015.

(b) A district's transition revenue for fiscal year 2015 and later equals the product of
the district's transition allowance times the district's adjusted pupil units.

new text begin EFFECTIVE DATE. new text end

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

Sec. 16.

Minnesota Statutes 2013 Supplement, section 126C.17, subdivision 6, is
amended to read:

Subd. 6.

Referendum equalization levy.

(a) deleted text begin For fiscal year 2003 and later,
deleted text end A district's referendum equalization levy equals the sum of the first tier referendum
equalization levy, the second tier referendum equalization levy, and the third tier
referendum equalization levy.

(b) A district's first tier referendum equalization levy equals the district's first tier
referendum equalization revenue times the lesser of one or the ratio of the district's
referendum market value per resident pupil unit to $880,000.

(c) A district's second tier referendum equalization levy equals the district's second
tier referendum equalization revenue times the lesser of one or the ratio of the district's
referendum market value per resident pupil unit to $510,000.

(d) A district's third tier referendum equalization levy equals the district's third
tier referendum equalization revenue times the lesser of one or the ratio of the district's
referendum market value per resident pupil unit to $290,000.

Sec. 17.

Minnesota Statutes 2013 Supplement, section 126C.17, subdivision 7b,
is amended to read:

Subd. 7b.

Referendum aid guarantee.

(a) Notwithstanding subdivision 7, new text begin the sum
of new text end a district's referendum equalization aid new text begin and location equity aid under section 126C.10,
subdivision 2e, new text end for fiscal year 2015 must not be less than the sum of the referendum
equalization aid the district would have received for fiscal year 2015 under Minnesota
Statutes 2012, section 126C.17, subdivision 7, and the adjustment the district would have
received under Minnesota Statutes 2012, section 127A.47, subdivision 7, paragraphs
(a), (b), and (c).

(b) Notwithstanding subdivision 7, new text begin the sum of new text end referendum equalization aid new text begin and
location equity aid under section 126C.10, subdivision 2e, new text end for fiscal year 2016 and later,
for a district qualifying for additional aid under paragraph (a) for fiscal year 2015, must
not be less than the product of (1) the district's referendum equalization aid for fiscal year
2015, times (2) the lesser of one or the ratio of the district's referendum revenue for that
school year to the district's referendum revenue for fiscal year 2015, times (3) the lesser
of one or the ratio of the district's referendum market value used for fiscal year 2015
referendum equalization calculations to the district's referendum market value used for
that year's referendum equalization calculations.

new text begin EFFECTIVE DATE. new text end

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

Sec. 18.

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 first class mail at least 15 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 revenue for fiscal year 2015
and later.
new text end

Sec. 19.

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

Subd. 9a.

Board-approved referendum allowance.

Notwithstanding subdivision
9, a school district may convert up to $300 per adjusted pupil unit of referendum authority
from voter approved to board approved by a board vote. A district with less than $300 per
adjusted pupil unit of referendum authority new text begin after the local optional revenue subtraction
under subdivision 1 new text end may authorize new referendum authority up to the difference between
$300 per adjusted pupil unit and the district's referendum authority. The board may
authorize this levy for up to five years and may subsequently reauthorize that authority
in increments of up to five years.

new text begin EFFECTIVE DATE. new text end

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

Sec. 20.

Minnesota Statutes 2013 Supplement, section 126C.44, is amended to read:

126C.44 SAFE SCHOOLS LEVY.

(a) Each district may make a levy on all taxable property located within the district
for the purposes specified in this section. The maximum amount which may be levied for
all costs under this section shall be equal to $36 multiplied by the district's adjusted pupil
units for the school year. The proceeds of the levy must be reserved and used for directly
funding the following purposes or for reimbursing the cities and counties who contract
with the district for the following purposes:

(1) to pay the costs incurred for the salaries, benefits, and transportation costs of
peace officers and sheriffs for liaison in services in the district's schools;

(2) to pay the costs for a drug abuse prevention program as defined in section
609.101, subdivision 3, paragraph (e), in the elementary schools;

(3) to pay the costs for a gang resistance education training curriculum in the
district's schools;

(4) to pay the costs for security in the district's schools and on school property;

(5) to pay the costs for other crime prevention, drug abuse, student and staff safety,
voluntary opt-in suicide prevention tools, and violence prevention measures taken by
the school district;

(6) to pay costs for licensed school counselors, licensed school nurses, licensed
school social workers, licensed school psychologists, and licensed alcohol and chemical
dependency counselors to help provide early responses to problems;

(7) to pay for facility security enhancements including laminated glass, public
announcement systems, emergency communications devices, and equipment and facility
modifications related to violence prevention and facility security;

(8) to pay for costs associated with improving the school climate; or

(9) to pay costs for colocating and collaborating with mental health professionals
who are not district employees or contractors.

(b) For expenditures under paragraph (a), clause (1), the district must initially
attempt to contract for services to be provided by peace officers or sheriffs with the
police department of each city or the sheriff's department of the county within the district
containing the school receiving the services. If a local police department or a county
sheriff's department does not wish to provide the necessary services, the district may
contract for these services with any other police or sheriff's department located entirely or
partially within the school district's boundaries.

(c) A school district that is a member of an intermediate school district may
include in its authority under this section the costs associated with safe schools activities
authorized under paragraph (a) for intermediate school district programs. This authority
must not exceed deleted text begin $10deleted text end new text begin $15 new text end times the adjusted deleted text begin marginal costdeleted text end pupil units of the member
districts. This authority is in addition to any other authority authorized under this section.
Revenue raised under this paragraph must be transferred to the intermediate school district.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for taxes payable in 2015 and later.
new text end

Sec. 21.

Minnesota Statutes 2012, section 127A.45, subdivision 2, is amended to read:

Subd. 2.

Definitions.

(a) "Other district receipts" means payments by county
treasurers pursuant to section 276.10, apportionments from the school endowment fund
pursuant to section 127A.33, apportionments by the county auditor pursuant to section
127A.34, subdivision 2, and payments to school districts by the commissioner of revenue
pursuant to chapter 298.

(b) "Cumulative amount guaranteed" means the product of

(1) the cumulative disbursement percentage shown in subdivision 3; times

(2) the sum of

(i) the current year aid payment percentage of the estimated aid and credit
entitlements paid according to subdivision 13; plus

(ii) 100 percent of the entitlements paid according to subdivisions 11 and 12; plus

(iii) the other district receipts.

(c) "Payment date" means the date on which state payments to districts are made
by the electronic funds transfer method. If a payment date falls on a Saturday, a Sunday,
or a weekday which is a legal holiday, the payment shall be made on the immediately
preceding business day. The commissioner may make payments on dates other than
those listed in subdivision 3, but only for portions of payments from any preceding
payment dates which could not be processed by the electronic funds transfer method due
to documented extenuating circumstances.

(d) The current year aid payment percentage equals deleted text begin 73 in fiscal year 2010 and 70 in
fiscal year 2011, and 60deleted text end deleted text begin in fiscal years 2012 and laterdeleted text end new text begin 90new text end .

Sec. 22.

Minnesota Statutes 2012, section 127A.45, subdivision 3, is amended to read:

Subd. 3.

Payment dates and percentages.

(a) The commissioner shall pay to a
district on the dates indicated an amount computed as follows: the cumulative amount
guaranteed minus the sum of (1) the district's other district receipts through the current
payment, and (2) the aid and credit payments through the immediately preceding payment.
For purposes of this computation, the payment dates and the cumulative disbursement
percentages are as follows:

	Payment date	Percentage
Payment 1	July 15:	5.5
Payment 2	July 30:	8.0
Payment 3	August 15:	17.5
Payment 4	August 30:	20.0
Payment 5	September 15:	22.5
Payment 6	September 30:	25.0
Payment 7	October 15:	27.0
Payment 8	October 30:	30.0
Payment 9	November 15:	32.5
Payment 10	November 30:	36.5
Payment 11	December 15:	42.0
Payment 12	December 30:	45.0
Payment 13	January 15:	50.0
Payment 14	January 30:	54.0
Payment 15	February 15:	58.0
Payment 16	February 28:	63.0
Payment 17	March 15:	68.0
Payment 18	March 30:	74.0
Payment 19	April 15:	78.0
Payment 20	April 30:	85.0
Payment 21	May 15:	90.0
Payment 22	May 30:	95.0
Payment 23	June 20:	100.0

(b) In addition to the amounts paid under paragraph (a), the commissioner shall pay
to a school district new text begin or charter school new text end on the dates indicated an amount computed as follows:

Payment 3	August 15: the final adjustment for the prior fiscal year for the state paid property tax credits established in section 273.1392
Payment 4	August 30: 30 percent of the final adjustment for the prior fiscal year for all aid entitlements except state paid property tax credits
Payment 6	September 30: 40 percent of the final adjustment for the prior fiscal year for all aid entitlements except state paid property tax credits
Payment 8	October 30: 30 percent of the final adjustment for the prior fiscal year for all aid entitlements except state paid property tax credits

(c) new text begin Notwithstanding paragraph (b), if the current year aid payment percentage
under subdivision 2, paragraph (d), is less than 90, new text end in addition to the amounts paid under
paragraph (a), the commissioner shall pay to a charter school on the dates indicated an
amount computed as follows:

Payment 1	July 15: 75 percent of the final adjustment for the prior fiscal year for all aid entitlements
Payment 8	October 30: 25 percent of the final adjustment for the prior fiscal year for all aid entitlements

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2015.
new text end

Sec. 23.

Minnesota Statutes 2013 Supplement, section 127A.47, subdivision 7, is
amended to read:

Subd. 7.

Alternative attendance programs.

(a) The general education aid and
special education aid for districts must be adjusted for each pupil attending a nonresident
district under sections 123A.05 to 123A.08, 124D.03, 124D.08, and 124D.68. The
adjustments must be made according to this subdivision.

(b) For purposes of this subdivision, the "unreimbursed cost of providing special
education and services" means the difference between: (1) the actual cost of providing
special instruction and services, including special transportation and unreimbursed
building lease and debt service costs for facilities used primarily for special education, for
a pupil with a disability, as defined in section 125A.02, or a pupil, as defined in section
125A.51, who is enrolled in a program listed in this subdivision, minus (2) if the pupil
receives special instruction and services outside the regular classroom for more than
60 percent of the school day, the amount of general education revenue and referendum
equalization aid new text begin as defined in section 125A.11, subdivision 1, paragraph (c), new text end attributable
to that pupil for the portion of time the pupil receives special instruction and services
outside of the regular classroom, excluding portions attributable to district and school
administration, district support services, operations and maintenance, capital expenditures,
and pupil transportation, minus (3) special education aid under section 125A.76
attributable to that pupil, that is received by the district providing special instruction and
services. For purposes of this paragraph, general education revenue and referendum
equalization aid attributable to a pupil must be calculated using the serving district's
average general education revenue and referendum equalization aid per adjusted pupil unit.

(c) For fiscal year 2015 and later, special education aid paid to a resident district
must be reduced by an amount equal to 90 percent of the unreimbursed cost of providing
special education and services.

(d) Notwithstanding paragraph (c), special education aid paid to a resident district
must be reduced by an amount equal to 100 percent of the unreimbursed cost of special
education and services provided to students at an intermediate district, cooperative, or
charter school where the percent of students eligible for special education services is at
least 70 percent of the charter school's total enrollment.

(e) Special education aid paid to the district or cooperative providing special
instruction and services for the pupil, or to the fiscal agent district for a cooperative,
must be increased by the amount of the reduction in the aid paid to the resident district
under paragraphs (c) and (d). If the resident district's special education aid is insufficient
to make the full adjustment, the remaining adjustment shall be made to other state aids
due to the district.

(f) An area learning center operated by a service cooperative, intermediate district,
education district, or a joint powers cooperative may elect through the action of the
constituent boards to charge the resident district tuition for pupils rather than to have the
general education revenue paid to a fiscal agent school district. Except as provided in
paragraph (e), the district of residence must pay tuition equal to at least 90 new text begin and no more
than 100 new text end percent of the district average general education revenue per pupil unit minus
an amount equal to the product of the formula allowance according to section 126C.10,
subdivision 2, times .0466, calculated without compensatory revenue and transportation
sparsity revenue, times the number of pupil units for pupils attending the area learning
center.

new text begin EFFECTIVE DATE. new text end

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

Sec. 24.

Laws 2012, chapter 263, section 1, is amended to read:

Section 1. INNOVATIVE DELIVERY OF EDUCATION SERVICES AND
SHARING OF DISTRICT RESOURCES; PILOT PROJECT.

Subdivision 1.

Establishment; requirements for participation.

(a) A deleted text begin five-year
deleted text end pilot project deleted text begin for the 2013-2014 through 2017-2018 school yearsdeleted text end is established to improve
student and school outcomes by allowing groups of school districts to work together to
provide innovative education programs and activities and share district resources.new text begin The
pilot project may last until June 30, 2018, or for up to five years, whichever is less, except
that innovation partnerships formed during the period of the pilot project may continue
past June 30, 2018, with the agreement of the partnership members.
new text end

(b) To participate in this pilot project to improve student and school outcomes, a
group of two or more school districts must collaborate with school staff and receive formal
school board approval to form a partnership. The partnership must develop a plan to
provide challenging programmatic options for students, create professional development
opportunities for educators, increase student engagement and connection and challenging
learning opportunities for students, or demonstrate efficiencies in delivering financial and
other services. The plan must establish:

(1) collaborative educational goals and objectives;

(2) strategies and processes to implement those goals and objectives, including a
budget process with periodic expenditure reviews;

(3) valid and reliable measures to evaluate progress in realizing the goals and
objectives;

(4) an implementation timeline; and

(5) other applicable conditions, regulations, responsibilities, duties, provisions, fee
schedules, and legal considerations needed to fully implement the plan.

A partnership may invite additional districts to join the partnership during the pilot
project term after notifying the commissioner.

(c) A partnership of interested districts must apply by February 1deleted text begin , 2013,deleted text end new text begin of any year
new text end to the education commissioner in the form and manner the commissioner determines,
consistent with this section. The application must contain the formal approval adopted by
the school board in each district to participate in the plan.

(d) Notwithstanding other law to the contrary, a participating school district under
this section continues to: receive revenue and maintain its taxation authority; be organized
and governed by an elected school board with general powers under Minnesota Statutes,
section 123B.02; and be subject to employment agreements under Minnesota Statutes,
chapter 122A, and Minnesota Statutes, section 179A.20; and district employees continue
to remain employees of the employing school district.

Subd. 2.

Commissioner's role.

Interested groups of school districts must submit
a completed application to the commissioner by March 1deleted text begin , 2013,deleted text end new text begin of any yearnew text end in the form
and manner determined by the commissioner. The education commissioner must convene
an advisory panel composed of a teacher appointed by Education Minnesota, a school
principal appointed by the Minnesota Association of Secondary School Principals, a
school board member appointed by the Minnesota School Boards Association, and a
school superintendent appointed by the Minnesota Association of School Administrators
to advise the commissioner on applicants' qualifications to participate in this pilot project.
The commissioner deleted text begin must select between three anddeleted text end new text begin may select up tonew text end six qualified applicants
under subdivision 1 by April 1deleted text begin , 2013,deleted text end new text begin of any yearnew text end to participate in this pilot project,
ensuring an equitable geographical distribution of project participants to the extent
practicable. The commissioner must select only those applicants that fully comply with
the requirements in subdivision 1. The commissioner must terminate a project participant
that fails to effectively implement the goals and objectives contained in its application and
according to its stated timeline.

Subd. 3.

Pilot project evaluation.

Participating school districts must submit pilot
project data to the commissioner in the form and manner determined by the commissioner.
The education commissioner must analyze participating districts' progress in realizing
their educational goals and objectives to work together in providing innovative education
programs and activities and sharing resources. The commissioner must include the
analysis of best practices in a report to the legislative committees with jurisdiction over
kindergarten through grade 12 education finance and policy on the efficacy of this pilot
project. The commissioner deleted text begin maydeleted text end new text begin shallnew text end submit an interim project report deleted text begin at any timedeleted text end new text begin by
February 1, 2016,new text end and must submit a final report to the legislature by February 1, deleted text begin 2018
deleted text end new text begin 2019new text end , recommending whether or not to continue or expand the pilot project.

Sec. 25.

Laws 2012, chapter 263, section 1, the effective date, is amended to read:

EFFECTIVE DATE.

This section is effective the day following final enactment
deleted text begin and applies to the 2013-2014 through 2017-2018 school yearsdeleted text end .

Sec. 26.

Laws 2013, chapter 116, article 1, section 58, subdivision 2, is amended to read:

Subd. 2.

General education aid.

For general education aid under Minnesota
Statutes, section 126C.13, subdivision 4:

	$	deleted text begin 6,051,766,000 deleted text end new text begin 6,851,972,000 new text end	.....	2014
	$	deleted text begin 6,370,640,000 deleted text end new text begin 6,495,698,000 new text end	.....	2015

The 2014 appropriation includes deleted text begin $781,842,000deleted text end new text begin $780,709,000new text end for 2013 and
deleted text begin $5,269,924,000deleted text end new text begin $6,071,263,000new text end for 2014.

The 2015 appropriation includes deleted text begin $823,040,000deleted text end new text begin $589,097,000new text end for 2014 and
deleted text begin $5,547,600,000deleted text end new text begin $5,906,601,000new text end for 2015.

Sec. 27. new text begin APPROPRIATIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Department of Education. new text end

new text begin The sums indicated in this section are
appropriated from the general fund to the Department of Education for the fiscal years
designated.
new text end

new text begin Subd. 2. new text end

new text begin Recovery program grants. new text end

new text begin For recovery program grants under Minnesota
Statutes, section 124D.695:
new text end

500,000

.....

2015

Sec. 28. new text begin REVISOR'S INSTRUCTION.
new text end

new text begin In Minnesota Statutes, the revisor of statutes shall change the term "location equity"
to "local optional."
new text end

ARTICLE 2

EDUCATION EXCELLENCE

Section 1.

Minnesota Statutes 2012, section 122A.40, subdivision 13, is amended to
read:

Subd. 13.

Immediate discharge.

(a) Except as otherwise provided in paragraph
(b), a board may discharge a continuing-contract teacher, effective immediately, upon any
of the following grounds:

(1) immoral conduct, insubordination, or conviction of a felony;

(2) conduct unbecoming a teacher which requires the immediate removal of the
teacher from classroom or other duties;

(3) failure without justifiable cause to teach without first securing the written release
of the school board;

(4) gross inefficiency which the teacher has failed to correct after reasonable written
notice;

(5) willful neglect of duty; or

(6) continuing physical or mental disability subsequent to a 12 months leave of
absence and inability to qualify for reinstatement in accordance with subdivision 12.

For purposes of this paragraph, conduct unbecoming a teacher includes an unfair
discriminatory practice described in section 363A.13.

Prior to discharging a teacher under this paragraph, the board must notify the teacher
in writing and state its ground for the proposed discharge in reasonable detail. Within
ten days after receipt of this notification the teacher may make a written request for a
hearing before the board and it shall be granted before final action is taken. The board
may suspend a teacher with pay pending the conclusion of the hearing and determination
of the issues raised in the hearing after charges have been filed which constitute ground for
discharge. If a teacher has been charged with a felony and the underlying conduct that
is the subject of the felony charge is a ground for a proposed immediate discharge, the
suspension pending the conclusion of the hearing and determination of the issues may be
without pay. If a hearing under this paragraph is held, the board must reimburse the teacher
for any salary or compensation withheld if the final decision of the board or the arbitrator
does not result in a penalty to or suspension, termination, or discharge of the teacher.

(b) A board must discharge a continuing-contract teacher, effective immediately,
upon receipt of notice under section 122A.20, subdivision 1, paragraph (b), that the
teacher's license has been revoked due to a conviction for child abuse or sexual abuse.

new text begin (c) When a teacher is discharged under paragraph (b) or when the commissioner
makes a final determination of child maltreatment involving a teacher under section
626.556, subdivision 11, the school principal or other person having administrative
control of the school must include in the teacher's employment record the information
contained in the record of the disciplinary action or the final maltreatment determination,
consistent with the definition of public data under section 13.41, subdivision 5, and must
provide the Board of Teaching and the licensing division at the department with the
necessary and relevant information to enable the Board of Teaching and the department's
licensing division to fulfill their statutory and administrative duties related to issuing,
renewing, suspending, or revoking a teacher's license. Information received by the Board
of Teaching or the licensing division at the department under this paragraph is governed
by section 13.41 or other applicable law governing data of the receiving entity. In addition
to the background check required under section 123B.03, a school board or other school
hiring authority must contact the Board of Teaching and the department to determine
whether the teacher's license has been suspended or revoked, consistent with the discharge
and final maltreatment determinations identified in this paragraph.
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

Sec. 2.

Minnesota Statutes 2012, section 122A.41, subdivision 6, is amended to read:

Subd. 6.

Grounds for discharge or demotion.

(a) Except as otherwise provided
in paragraph (b), causes for the discharge or demotion of a teacher either during or after
the probationary period must be:

(1) immoral character, conduct unbecoming a teacher, or insubordination;

(2) failure without justifiable cause to teach without first securing the written release
of the school board having the care, management, or control of the school in which the
teacher is employed;

(3) inefficiency in teaching or in the management of a school, consistent with
subdivision 5, paragraph (b);

(4) affliction with active tuberculosis or other communicable disease must be
considered as cause for removal or suspension while the teacher is suffering from such
disability; or

(5) discontinuance of position or lack of pupils.

For purposes of this paragraph, conduct unbecoming a teacher includes an unfair
discriminatory practice described in section 363A.13.

(b) A probationary or continuing-contract teacher must be discharged immediately
upon receipt of notice under section 122A.20, subdivision 1, paragraph (b), that the
teacher's license has been revoked due to a conviction for child abuse or sexual abuse.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 3.

Minnesota Statutes 2012, section 122A.415, subdivision 1, is amended to read:

Subdivision 1.

Revenue amount.

(a) A school district, intermediate school district,
school site, or charter school that meets the conditions of section 122A.414 and submits an
application approved by the commissioner is eligible for alternative teacher compensation
revenue.

(b) For school district and intermediate school district applications, the commissioner
must consider only those applications to participate that are submitted jointly by a
district and the exclusive representative of the teachers. The application must contain an
alternative teacher professional pay system agreement that:

(1) implements an alternative teacher professional pay system consistent with
section 122A.414; and

(2) is negotiated and adopted according to the Public Employment Labor Relations
Act under chapter 179A, except that notwithstanding section 179A.20, subdivision 3, a
district may enter into a contract for a term of two or four years.

Alternative teacher compensation revenue for a qualifying school district or site in
which the school board and the exclusive representative of the teachers agree to place
teachers in the district or at the site on the alternative teacher professional pay system
equals $260 times the number of pupils enrolled at the district or site on October 1 of
the previous fiscal year. Alternative teacher compensation revenue for a qualifying
intermediate school district must be calculated under deleted text begin section 126C.10, subdivision 34
deleted text end new text begin subdivision 4new text end , paragraphs (a) and (b).

(c) For a newly combined or consolidated district, the revenue shall be computed
using the sum of pupils enrolled on October 1 of the previous year in the districts entering
into the combination or consolidation. The commissioner may adjust the revenue computed
for a site using prior year data to reflect changes attributable to school closings, school
openings, or grade level reconfigurations between the prior year and the current year.

(d) The revenue is available only to school districts, intermediate school districts,
school sites, and charter schools that fully implement an alternative teacher professional
pay system by October 1 of the current school year.

new text begin EFFECTIVE DATE. new text end

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

Sec. 4.

Minnesota Statutes 2013 Supplement, section 124D.862, subdivision 1, is
amended to read:

Subdivision 1.

Initial achievement and integration revenue.

(a) An eligible
district's initial achievement and integration revenue equals new text begin the lesser of 100.3 percent of
the district's expenditures under the budget approved by the commissioner under section
124D.861, subdivision 3, paragraph (c), excluding expenditures used to generate incentive
revenue under subdivision 2, or new text end the sum of (1) $350 times the district's adjusted pupil
units for that year times the ratio of the district's enrollment of protected students for the
previous school year to total enrollment for the previous school year and (2) the greater of
zero or 66 percent of the difference between the district's integration revenue for fiscal
year 2013 and the district's integration revenue for fiscal year 2014 under clause (1).

(b) In each year, 0.3 percent of each district's initial achievement and integration
revenue is transferred to the department for the oversight and accountability activities
required under this section and section 124D.861.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to revenue for fiscal year 2014 and later.
new text end

Sec. 5.

Minnesota Statutes 2013 Supplement, section 124D.862, subdivision 2, is
amended to read:

Subd. 2.

Incentive revenue.

An eligible school district's maximum incentive
revenue equals $10 per adjusted pupil unit. deleted text begin In order to receive this revenue, a district must
bedeleted text end new text begin A district's incentive revenue equals the lesser of the maximum incentive revenue
or the district's expenditures fornew text end implementing a voluntary plan to reduce racial and
economic enrollment disparities through intradistrict and interdistrict activities that have
been approved as a part of the district's achievement and integration plannew text begin under the budget
approved by the commissioner under section 124D.861, subdivision 3, paragraph (c)new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to revenue for fiscal year 2014 and later.
new text end

Sec. 6.

Laws 2013, chapter 116, article 3, section 37, subdivision 11, is amended to read:

Subd. 11.

Concurrent enrollment program.

For concurrent enrollment programs
under Minnesota Statutes, section 124D.091:

	$	2,000,000	.....	2014
	$	deleted text begin 2,000,000 deleted text end new text begin 3,897,000 new text end	.....	2015

If the appropriation is insufficient, the commissioner must proportionately reduce
the aid payment to each district.

Any balance in the first year does not cancel but is available in the second year.new text begin The
annual base budget for this program is $2,000,000 for fiscal years 2016 and 2017.
new text end

Sec. 7.

Laws 2013, chapter 116, article 3, section 37, subdivision 15, is amended to read:

Subd. 15.

Early childhood literacy programs.

For early childhood literacy
programs under Minnesota Statutes, section 119A.50, subdivision 3:

	$	4,125,000	.....	2014
	$	deleted text begin 4,125,000 deleted text end new text begin 4,625,000 new text end	.....	2015

Up to $4,125,000 deleted text begin eachdeleted text end new text begin in the first new text end year new text begin and $4,625,000 in the second year new text end is for
leveraging federal and private funding to support AmeriCorps members serving in the
Minnesota Reading Corps program established by ServeMinnesota, including costs
associated with the training and teaching of early literacy skills to children age three
to grade 3 and the evaluation of the impact of the program under Minnesota Statutes,
sections 124D.38, subdivision 2, and 124D.42, subdivision 6.new text begin Up to $500,000 in fiscal
year 2015 must be used to support priority and focus schools as defined by the Department
of Education and to expand kindergarten programming.
new text end

Any balance in the first year does not cancel but is available in the second year.

Sec. 8. new text begin BETTER ALIGNING MINNESOTA'S ALTERNATIVE TEACHER
PROFESSIONAL PAY SYSTEM AND TEACHER DEVELOPMENT AND
EVALUATION PROGRAM.
new text end

new text begin To better align Minnesota's alternative teacher professional pay system under
Minnesota Statutes, sections 122A.413 to 122A.416, and Minnesota's teacher development
and evaluation program under Minnesota Statutes, sections 122A.40, subdivision 8, and
122A.41, subdivision 5, and effect and fund an improved alignment of this system and
program, the commissioner of education must consult with stakeholders, including, but
not limited to, representatives of the Minnesota Association of School Administrators,
the Minnesota Association of Secondary School Principals, the Minnesota Elementary
School Principals' Association, Education Minnesota, Schools for Equity in Education, the
Minnesota Business Partnership, the Minnesota Chamber of Commerce, the Minnesota
School Boards Association, the Department of Education, the College of Education
and Human Development at the University of Minnesota, the Minnesota Association
of the Colleges for Teacher Education, licensed elementary and secondary school
teachers employed in school districts with an alternative teacher professional pay system
agreement and licensed elementary and secondary school teachers employed in school
districts without an alternative teacher professional pay system agreement, where one or
more of these teachers may be a master teacher, peer evaluator, in another teacher leader
position, or national board certified teacher, a teacher or school administrator employed in
a Minnesota charter school with an alternative teacher professional pay system agreement
and a teacher or school administrator employed in a Minnesota charter school without an
alternative teacher professional pay system agreement, a parent or guardian of a student
currently enrolled in a Minnesota public school, the Association of Metropolitan School
Districts, and the Minnesota Rural Education Association. The commissioner also must
consult with members of the house of representatives and members of the senate.
new text end

new text begin The commissioner, by February 1, 2015, must submit to the education policy and
finance committees of the legislature written recommendations on better aligning and
financing the alternative teacher professional pay system and teacher development and
evaluation program.
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

Sec. 9. new text begin CAREER AND TECHNICAL EDUCATION PROGRAM INVENTORY.
new text end

new text begin (a) The commissioner of education must consult with experts knowledgeable about
secondary and postsecondary career and technical education programs to determine the
content and status of particular career and technical education programs in Minnesota
school districts, including cooperating districts under Minnesota Statutes, 123A.33,
subdivision 2, integration districts, and postsecondary institutions partnering with school
districts or offering courses through PSEO or career and technical programs and the rates
of student participation and completion for these various programs, including: agriculture,
food, and natural resources; architecture and construction; arts, audiovisual technology,
and communications; business management and administration; computer science; family
and consumer science; finance; health science; hospitality and tourism; human services;
information technology; manufacturing; marketing; science, technology, engineering, and
mathematics; and transportation, distribution, and logistics.
new text end

new text begin (b) To accomplish paragraph (a) and to understand the current role of local school
districts and postsecondary institutions in providing career and technical education
programs, the commissioner of education, in consultation with experts, also must examine
the extent to which secondary and postsecondary education programs offer students a
progression of coordinated, nonduplicative courses that adequately prepare students to
successfully complete a career and technical education program.
new text end

new text begin (c) The commissioner of education must submit a report by February 1, 2015,
to the education policy and finance committees of the legislature, consistent with this
section, and include information about each district's dedicated equipment, resources, and
relationships with postsecondary institutions and the local business community.
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

Sec. 10. new text begin APPROPRIATIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Department of Education. new text end

new text begin The sums indicated in this section are
appropriated from the general fund to the Department of Education for the fiscal years
designated.
new text end

new text begin Subd. 2. new text end

new text begin Career and technical program inventory. new text end

new text begin For the career and technical
program inventory program under section 9:
new text end

150,000

.....

2015

new text begin This is a onetime appropriation.
new text end

new text begin Subd. 3. new text end

new text begin Teacher Professional Pay System and Teacher Evaluation Program
alignment. new text end

new text begin For the alignment and reporting activities under section 8:
new text end

25,000

.....

2015

ARTICLE 3

SPECIAL EDUCATION

Section 1.

Minnesota Statutes 2013 Supplement, section 125A.0942, is amended to read:

125A.0942 STANDARDS FOR RESTRICTIVE PROCEDURES.

Subdivision 1.

Restrictive procedures plan.

(a) Schools that intend to use
restrictive procedures shall maintain and make publicly accessible in an electronic format
on a school or district Web site or make a paper copy available upon request describing a
restrictive procedures plan for children with disabilities that at least:

(1) lists the restrictive procedures the school intends to use;

(2) describes how the school will implement a range of positive behavior strategies
and provide links to mental health services;

(3) new text begin describes how the school will provide training on de-escalation techniques,
consistent with section 122A.09, subdivision 4, paragraph (k);
new text end

new text begin (4) new text end describes how the school will monitor and review the use of restrictive
procedures, including:

(i) conducting post-use debriefings, consistent with subdivision 3, paragraph (a),
clause (5); and

(ii) convening an oversight committee to undertake a quarterly review of the use
of restrictive procedures based on patterns or problems indicated by similarities in the
time of day, day of the week, duration of the use of a procedure, the individuals involved,
or other factors associated with the use of restrictive procedures; the number of times a
restrictive procedure is used schoolwide and for individual children; the number and types
of injuries, if any, resulting from the use of restrictive procedures; whether restrictive
procedures are used in nonemergency situations; the need for additional staff training; and
proposed actions to minimize the use of restrictive procedures; and

deleted text begin (4)deleted text end new text begin (5)new text end includes a written description and documentation of the training staff
completed under subdivision 5.

(b) Schools annually must publicly identify oversight committee members who
must at least include:

(1) a mental health professional, school psychologist, or school social worker;

(2) an expert in positive behavior strategies;

(3) a special education administrator; and

(4) a general education administrator.

Subd. 2.

Restrictive procedures.

(a) Restrictive procedures may be used only
by a licensed special education teacher, school social worker, school psychologist,
behavior analyst certified by the National Behavior Analyst Certification Board, a person
with a master's degree in behavior analysis, other licensed education professional,
paraprofessional under section 120B.363, or mental health professional under section
245.4871, subdivision 27, who has completed the training program under subdivision 5.

(b) A school shall make reasonable efforts to notify the parent on the same day a
restrictive procedure is used on the child, or if the school is unable to provide same-day
notice, notice is sent within two days by written or electronic means or as otherwise
indicated by the child's parent under paragraph deleted text begin (d)deleted text end new text begin (f)new text end .

(c) The district must hold a meeting of the individualized education program team,
conduct or review a functional behavioral analysis, review data, consider developing
additional or revised positive behavioral interventions and supports, consider actions to
reduce the use of restrictive procedures, and modify the individualized education program
or behavior intervention plan as appropriate. The district must hold the meeting: within
ten calendar days after district staff use restrictive procedures on two separate school
days within 30 calendar days or a pattern of use emerges and the child's individualized
education program or behavior intervention plan does not provide for using restrictive
procedures in an emergency; or at the request of a parent or the district after restrictive
procedures are used. The district must review use of restrictive procedures at a child's
annual individualized education program meeting when the child's individualized
education program provides for using restrictive procedures in an emergency.

(d) If the individualized education program team under paragraph (c) determines
that existing interventions and supports are ineffective in reducing the use of restrictive
procedures or the district uses restrictive procedures on a child on ten or more school days
during the same school year, the team, as appropriate, either must consult with other
professionals working with the child; consult with experts in behavior analysis, mental
health, communication, or autism; consult with culturally competent professionals;
review existing evaluations, resources, and successful strategies; or consider whether to
reevaluate the child.

(e) At the individualized education program meeting under paragraph (c), the team
must review any known medical or psychological limitations, including any medical
information the parent provides voluntarily, that contraindicate the use of a restrictive
procedure, consider whether to prohibit that restrictive procedure, and document any
prohibition in the individualized education program or behavior intervention plan.

(f) An individualized education program team may plan for using restrictive
procedures and may include these procedures in a child's individualized education
program or behavior intervention plan; however, the restrictive procedures may be used
only in response to behavior that constitutes an emergency, consistent with this section.
The individualized education program or behavior intervention plan shall indicate how the
parent wants to be notified when a restrictive procedure is used.

Subd. 3.

Physical holding or seclusion.

(a) Physical holding or seclusion may be
used only in an emergency. A school that uses physical holding or seclusion shall meet the
following requirements:

(1) physical holding or seclusion is the least intrusive intervention that effectively
responds to the emergency;

(2) physical holding or seclusion is not used to discipline a noncompliant child;

(3) physical holding or seclusion ends when the threat of harm ends and the staff
determines the child can safely return to the classroom or activity;

(4) staff directly observes the child while physical holding or seclusion is being used;

(5) each time physical holding or seclusion is used, the staff person who implements
or oversees the physical holding or seclusion documents, as soon as possible after the
incident concludes, the following information:

(i) a description of the incident that led to the physical holding or seclusion;

(ii) why a less restrictive measure failed or was determined by staff to be
inappropriate or impractical;

(iii) the time the physical holding or seclusion began and the time the child was
released; and

(iv) a brief record of the child's behavioral and physical status;

(6) the room used for seclusion must:

(i) be at least six feet by five feet;

(ii) be well lit, well ventilated, adequately heated, and clean;

(iii) have a window that allows staff to directly observe a child in seclusion;

(iv) have tamperproof fixtures, electrical switches located immediately outside the
door, and secure ceilings;

(v) have doors that open out and are unlocked, locked with keyless locks that
have immediate release mechanisms, or locked with locks that have immediate release
mechanisms connected with a fire and emergency system; and

(vi) not contain objects that a child may use to injure the child or others;

(7) before using a room for seclusion, a school must:

(i) receive written notice from local authorities that the room and the locking
mechanisms comply with applicable building, fire, and safety codes; and

(ii) register the room with the commissioner, who may view that room; and

(8) until August 1, 2015, a school district may use prone restraints with children
age five or older if:

(i) the district has provided to the department a list of staff who have had specific
training on the use of prone restraints;

(ii) the district provides information on the type of training that was provided and
by whom;

(iii) only staff who received specific training use prone restraints;

(iv) each incident of the use of prone restraints is reported to the department within
five working days on a form provided by the department; and

(v) the district, before using prone restraints, must review any known medical or
psychological limitations that contraindicate the use of prone restraints.

The department must collect data on districts' use of prone restraints and publish the data
in a readily accessible format on the department's Web site on a quarterly basis.

(b) By deleted text begin March 1, 2014deleted text end new text begin February 1, 2015, and annually thereafternew text end , stakeholders must
recommend to the commissioner specific and measurable implementation and outcome
goals for reducing the use of restrictive procedures and the commissioner must submit to
the legislature a report on districts' progress in reducing the use of restrictive procedures
that recommends how to further reduce these procedures and eliminate the use of prone
restraints. The statewide plan includes the following components: measurable goals; the
resources, training, technical assistance, mental health services, and collaborative efforts
needed to significantly reduce districts' use of prone restraints; and recommendations
to clarify and improve the law governing districts' use of restrictive procedures. The
commissioner must consult with interested stakeholders when preparing the report,
including representatives of advocacy organizations, special education directors, teachers,
paraprofessionals, intermediate school districts, school boards, day treatment providers,
county social services, state human services department staff, mental health professionals,
and autism experts. By June 30 each year, districts must report summary data on their
use of restrictive procedures to the department, in a form and manner determined by the
commissioner.new text begin The summary data must include information about the use of restrictive
procedures, including use of reasonable force under section 121A.582.
new text end

Subd. 4.

Prohibitions.

The following actions or procedures are prohibited:

(1) engaging in conduct prohibited under section 121A.58;

(2) requiring a child to assume and maintain a specified physical position, activity,
or posture that induces physical pain;

(3) totally or partially restricting a child's senses as punishment;

(4) presenting an intense sound, light, or other sensory stimuli using smell, taste,
substance, or spray as punishment;

(5) denying or restricting a child's access to equipment and devices such as walkers,
wheelchairs, hearing aids, and communication boards that facilitate the child's functioning,
except when temporarily removing the equipment or device is needed to prevent injury
to the child or others or serious damage to the equipment or device, in which case the
equipment or device shall be returned to the child as soon as possible;

(6) interacting with a child in a manner that constitutes sexual abuse, neglect, or
physical abuse under section 626.556;

(7) withholding regularly scheduled meals or water;

(8) denying access to bathroom facilities; and

(9) physical holding that restricts or impairs a child's ability to breathe, restricts or
impairs a child's ability to communicate distress, places pressure or weight on a child's
head, throat, neck, chest, lungs, sternum, diaphragm, back, or abdomen, or results in
straddling a child's torso.

Subd. 5.

Training for staff.

(a) To meet the requirements of subdivision 1, staff
who use restrictive procedures, including paraprofessionals, shall complete training in
the following skills and knowledge areas:

(1) positive behavioral interventions;

(2) communicative intent of behaviors;

(3) relationship building;

(4) alternatives to restrictive procedures, including techniques to identify events and
environmental factors that may escalate behavior;

(5) de-escalation methods;

(6) standards for using restrictive procedures only in an emergency;

(7) obtaining emergency medical assistance;

(8) the physiological and psychological impact of physical holding and seclusion;

(9) monitoring and responding to a child's physical signs of distress when physical
holding is being used;

(10) recognizing the symptoms of and interventions that may cause positional
asphyxia when physical holding is used;

(11) district policies and procedures for timely reporting and documenting each
incident involving use of a restricted procedure; and

(12) schoolwide programs on positive behavior strategies.

(b) The commissioner, after consulting with the commissioner of human services,
must develop and maintain a list of training programs that satisfy the requirements of
paragraph (a). The commissioner also must develop and maintain a list of experts to
help individualized education program teams reduce the use of restrictive procedures.
The district shall maintain records of staff who have been trained and the organization
or professional that conducted the training. The district may collaborate with children's
community mental health providers to coordinate trainings.

Subd. 6.

Behavior supportsnew text begin ; reasonable forcenew text end .

new text begin (a) new text end School districts are encouraged
to establish effective schoolwide systems of positive behavior interventions and supports.

new text begin (b)new text end Nothing in this section or section 125A.0941 precludes the use of reasonable
force under sections 121A.582; 609.06, subdivision 1; and 609.379.new text begin For the 2014-2015
school year and later, districts must collect and submit to the commissioner summary
data, consistent with subdivision 3, paragraph (b), on district use of reasonable force
that is consistent with the definition of physical holding or seclusion for a child with a
disability under this section.
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

Sec. 2.

Minnesota Statutes 2013 Supplement, section 125A.11, subdivision 1, is
amended to read:

Subdivision 1.

Nonresident tuition rate; other costs.

(a) For fiscal year 2015 and
later, when a school district provides special instruction and services for a pupil with
a disability as defined in section 125A.02 outside the district of residence, excluding
a pupil for whom an adjustment to special education aid is calculated according to
section 127A.47, subdivision 7, paragraphs (b) to (d), special education aid paid to the
resident district must be reduced by an amount equal to (1) the actual cost of providing
special instruction and services to the pupil, including a proportionate amount for special
transportation and unreimbursed building lease and debt service costs for facilities used
primarily for special education, plus (2) the amount of general education revenue and
referendum equalization aid attributable to that pupil, calculated using the resident district's
average general education revenue and referendum equalization aid per adjusted pupil
unit excluding basic skills revenue, elementary sparsity revenue and secondary sparsity
revenue, minus (3) the amount of special education aid for children with a disability
under section 125A.76 received on behalf of that child, minus (4) if the pupil receives
special instruction and services outside the regular classroom for more than 60 percent
of the school day, the amount of general education revenue and referendum equalization
aid, excluding portions attributable to district and school administration, district support
services, operations and maintenance, capital expenditures, and pupil transportation,
attributable to that pupil for the portion of time the pupil receives special instruction
and services outside of the regular classroom, calculated using the resident district's
average general education revenue and referendum equalization aid per adjusted pupil unit
excluding basic skills revenue, elementary sparsity revenue and secondary sparsity revenue
and the serving district's basic skills revenue, elementary sparsity revenue and secondary
sparsity revenue per adjusted pupil unit. Notwithstanding clauses (1) and (4), for pupils
served by a cooperative unit without a fiscal agent school district, the general education
revenue and referendum equalization aid attributable to a pupil must be calculated using
the resident district's average general education revenue and referendum equalization aid
excluding compensatory revenue, elementary sparsity revenue, and secondary sparsity
revenue. Special education aid paid to the district or cooperative providing special
instruction and services for the pupil must be increased by the amount of the reduction in
the aid paid to the resident district. Amounts paid to cooperatives under this subdivision
and section 127A.47, subdivision 7, shall be recognized and reported as revenues and
expenditures on the resident school district's books of account under sections 123B.75
and 123B.76. If the resident district's special education aid is insufficient to make the full
adjustment, the remaining adjustment shall be made to other state aid due to the district.

(b) Notwithstanding paragraph (a) and section 127A.47, subdivision 7, paragraphs
(b) to (d), a charter school where more than 30 percent of enrolled students receive special
education and related services, a site approved under section 125A.515, an intermediate
district, a special education cooperative, or a school district that served as the applicant
agency for a group of school districts for federal special education aids for fiscal year
2006 may apply to the commissioner for authority to charge the resident district an
additional amount to recover any remaining unreimbursed costs of serving pupils with
a disability. The application must include a description of the costs and the calculations
used to determine the unreimbursed portion to be charged to the resident district. Amounts
approved by the commissioner under this paragraph must be included in the tuition billings
or aid adjustments under paragraph (a), or section 127A.47, subdivision 7, paragraphs
(b) to (d), as applicable.

(c) For purposes of this subdivision and section 127A.47, subdivision 7, deleted text begin paragraphs
(d) and (e)deleted text end new text begin paragraph (b)new text end , "general education revenue and referendum equalization aid"
means the sum of the general education revenue according to section 126C.10, subdivision
1, new text begin excluding the local optional levy according to section 126C.10, subdivision 2e, paragraph
(c), new text end plus the referendum equalization aid according to section 126C.17, subdivision 7.

new text begin EFFECTIVE DATE. new text end

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

Sec. 3.

Minnesota Statutes 2013 Supplement, section 125A.76, subdivision 1, is
amended to read:

Subdivision 1.

Definitions.

(a) For the purposes of this section and section 125A.79,
the definitions in this subdivision apply.

(b) "Basic revenue" has the meaning given it in section 126C.10, subdivision 2.
For the purposes of computing basic revenue pursuant to this section, each child with a
disability shall be counted as prescribed in section 126C.05, subdivision 1.

(c) "Essential personnel" means teachers, cultural liaisons, related services, and
support services staff providing services to students. Essential personnel may also include
special education paraprofessionals or clericals providing support to teachers and students
by preparing paperwork and making arrangements related to special education compliance
requirements, including parent meetings and individualized education programs. Essential
personnel does not include administrators and supervisors.

(d) "Average daily membership" has the meaning given it in section 126C.05.

(e) "Program growth factor" means 1.046 for fiscal years 2012 deleted text begin thoughdeleted text end new text begin throughnew text end 2015,
1.0 for fiscal year 2016, 1.046 for fiscal year 2017, and the product of 1.046 and the
program growth factor for the previous year for fiscal year 2018 and later.

(f) "Nonfederal special education expenditure" means all direct expenditures that
are necessary and essential to meet the district's obligation to provide special instruction
and services to children with a disability according to sections 124D.454, 125A.03 to
125A.24, 125A.259 to 125A.48, and 125A.65 as submitted by the district and approved by
the department under section 125A.75, subdivision 4, excluding expenditures:

(1) reimbursed with federal funds;

(2) reimbursed with other state aids under this chapter;

(3) for general education costs of serving students with a disability;

(4) for facilities;

(5) for pupil transportation; and

(6) for postemployment benefits.

(g) "Old formula special education expenditures" means expenditures eligible for
revenue under Minnesota Statutes 2012, section 125A.76, subdivision 2.

new text begin (h) new text end For the Minnesota State Academy for the Deaf and the Minnesota State Academy
for the Blind, expenditures new text begin under paragraphs (f) and (g) new text end are limited to the salary and
fringe benefits of one-to-one instructional and behavior management aides new text begin and one-to-one
licensed, certified professionals new text end assigned to a child attending the academy, if the aides new text begin or
professionals new text end are required by the child's individualized education program.

deleted text begin (h)deleted text end new text begin (i)new text end "Cross subsidy reduction aid percentage" means 1.0 percent for fiscal year
2014 and 2.27 percent for fiscal year 2015.

deleted text begin (i)deleted text end new text begin (j)new text end "Cross subsidy reduction aid limit" means $20 for fiscal year 2014 and $48
for fiscal year 2015.

deleted text begin (j)deleted text end new text begin (k)new text end "Special education aid increase limit" means $80 for fiscal year 2016, $100
for fiscal year 2017, and, for fiscal year 2018 and later, the sum of the special education
aid increase limit for the previous fiscal year and $40.

new text begin EFFECTIVE DATE. new text end

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

Sec. 4.

Minnesota Statutes 2012, section 125A.76, subdivision 2, is amended to read:

Subd. 2.

Special education initial aid.

The special education initial aid equals the
sum of the following amounts computed using current year data:

(1) 68 percent of the salary of each essential person employed in the district's program
for children with a disability during the fiscal year, whether the person is employed by one
or more districts or a Minnesota correctional facility operating on a fee-for-service basis;

(2) for the Minnesota State Academy for the Deaf or the Minnesota State Academy
for the Blind, 68 percent of the salary of each deleted text begin one to onedeleted text end new text begin one-to-onenew text end instructional and
behavior management aidenew text begin and one-to-one licensed, certified professionalnew text end assigned to
a child attending the academy, if the aides new text begin or professionals new text end are required by the child's
individualized education program;

(3) for special instruction and services provided to any pupil by contracting with
public, private, or voluntary agencies other than school districts, in place of special
instruction and services provided by the district, 52 percent of the difference between
the amount of the contract and the general education revenue, excluding basic skills
revenue and alternative teacher compensation revenue, and referendum equalization aid
attributable to a pupil, calculated using the resident district's average general education
revenue and referendum equalization aid per adjusted pupil unit for the fraction of the
school day the pupil receives services under the contract. This includes children who
are residents of the state, receive services under this subdivision and subdivision 1, and
are placed in a care and treatment facility by court action in a state that does not have a
reciprocity agreement with the commissioner under section 125A.155 as provided for in
section 125A.79, subdivision 8;

(4) for special instruction and services provided to any pupil by contracting for
services with public, private, or voluntary agencies other than school districts, that are
supplementary to a full educational program provided by the school district, 52 percent of
the amount of the contract for that pupil;

(5) for supplies and equipment purchased or rented for use in the instruction of
children with a disability, an amount equal to 47 percent of the sum actually expended by
the district, or a Minnesota correctional facility operating on a fee-for-service basis, but
not to exceed an average of $47 in any one school year for each child with a disability
receiving instruction;

(6) for fiscal years 1997 and later, special education base revenue shall include
amounts under clauses (1) to (5) for special education summer programs provided during
the base year for that fiscal year;

(7) the cost of providing transportation services for children with disabilities under
section 123B.92, subdivision 1, paragraph (b), clause (4); and

(8) the district's transition-disabled program initial aid according to section
124D.454, subdivision 3.

The department shall establish procedures through the uniform financial accounting
and reporting system to identify and track all revenues generated from third-party billings
as special education revenue at the school district level; include revenue generated from
third-party billings as special education revenue in the annual cross-subsidy report; and
exclude third-party revenue from calculation of excess cost aid to the districts.

new text begin EFFECTIVE DATE. new text end

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

Sec. 5.

Minnesota Statutes 2013 Supplement, section 125A.76, subdivision 2a, is
amended to read:

Subd. 2a.

Special education initial aid.

For fiscal year 2016 and later, a district's
special education initial aid equals the sum of:

(1) the deleted text begin lesserdeleted text end new text begin leastnew text end of 62 percent of the district's old formula special education
expenditures for the prior fiscal year, new text begin excluding pupil transportation expenditures, new text end 50
percent of the district's nonfederal special education expenditures for the prior year,
new text begin excluding pupil transportation expenditures, new text end or 56 percent of the product of the sum of the
following amounts, computed using prior fiscal year data, and the program growth factor:

(i) the product of the district's average daily membership served and the sum of:

(A) $450; plus

(B) $400 times the ratio of the sum of the number of pupils enrolled on October 1
who are eligible to receive free lunch plus one-half of the pupils enrolled on October 1
who are eligible to receive reduced-price lunch to the total October 1 enrollment; plus

(ii) $10,400 times the December 1 child count for the primary disability areas of
autism spectrum disorders, developmental delay, and severely multiply impaired; plus

(iii) $18,000 times the December 1 child count for the primary disability areas of
deaf and hard-of-hearing and emotional or behavioral disorders; plus

(iv) $27,000 times the December 1 child count for the primary disability areas of
developmentally cognitive mild-moderate, developmentally cognitive severe-profound,
physically impaired, visually impaired, and deafblind; plus

(2) the cost of providing transportation services for children with disabilities under
section 123B.92, subdivision 1, paragraph (b), clause (4).

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2016
and later.
new text end

Sec. 6.

Minnesota Statutes 2013 Supplement, section 125A.76, subdivision 2b, is
amended to read:

Subd. 2b.

Cross subsidy reduction aid.

For fiscal years 2014 and 2015, the cross
subsidy reduction aid for a school district, not including a charter school, equals the
lesser of (a) the product of the cross subsidy reduction aid limit and the district's average
daily membership served or (b) new text begin the sum of new text end the product of the cross subsidy reduction aid
percentage, the district's average daily membership served, and the sum of:

(1) $450; plus

(2) $400 times the ratio of the sum of the number of pupils enrolled on October 1
who are eligible to receive free lunch plus one-half of the pupils enrolled on October 1
who are eligible to receive reduced-price lunch to the total October 1 enrollment; plus

(3) .008 times the district's average daily membership served; plusnew text begin the product of the
cross subsidy aid percentage and the sum of:
new text end

(i) $10,100 times the December 1 child count for the primary disability areas of
autism spectrum disorders, developmental delay, and severely multiply impaired; plus

(ii) $17,500 times the December 1 child count for the primary disability areas of
deaf and hard-of-hearing and emotional or behavioral disorders; plus

(iii) $26,000 times the December 1 child count for the primary disability areas of
developmentally cognitive mild-moderate, developmentally cognitive severe-profound,
physically impaired, visually impaired, and deafblind.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to revenue for fiscal year 2014 and later.
new text end

Sec. 7.

Minnesota Statutes 2013 Supplement, section 125A.76, subdivision 2c, is
amended to read:

Subd. 2c.

Special education aid.

(a) For fiscal year 2014 and fiscal year 2015, a
district's special education aid equals the sum of the district's special education deleted text begin initialdeleted text end aid
under subdivision 5, the district's cross subsidy reduction aid under subdivision 2b, and
the district's excess cost aid under section 125A.79, subdivision 7.

(b) For fiscal year 2016 and later, a district's special education aid equals the sum of
the district's special education initial aid under subdivision 2a and the district's excess cost
aid under section 125A.79, subdivision 5.

(c) Notwithstanding paragraph (b), for fiscal year 2016, the special education aid for
a school district must not exceed the sum of the special education aid the district would
have received for fiscal year 2016 under Minnesota Statutes 2012, sections 125A.76
and 125A.79, as adjusted according to Minnesota Statutes 2012, sections 125A.11 and
127A.47, subdivision 7, and the product of the district's average daily membership served
and the special education aid increase limit.

(d) Notwithstanding paragraph (b), for fiscal year 2017 and later, the special education
aid for a school district must not exceed the sum of: (i) the product of the district's average
daily membership served and the special education aid increase limit and (ii) the product
of the sum of the special education aid the district would have received for fiscal year 2016
under Minnesota Statutes 2012, sections 125A.76 and 125A.79, as adjusted according
to Minnesota Statutes 2012, sections 125A.11 and 127A.47, subdivision 7, the ratio of
the district's average daily membership served for the current fiscal year to the district's
average daily membership served for fiscal year 2016, and the program growth factor.

(e) Notwithstanding paragraph (b), for fiscal year 2016 and later the special education
aid for a school district, not including a charter school, must not be less than the lesser of
(1) the district's nonfederal special education expenditures for that fiscal year or (2) the
product of the sum of the special education aid the district would have received for fiscal
year 2016 under Minnesota Statutes 2012, sections 125A.76 and 125A.79, as adjusted
according to Minnesota Statutes 2012, sections 125A.11 and 127A.47, subdivision 7, the
ratio of the district's adjusted daily membership for the current fiscal year to the district's
average daily membership for fiscal year 2016, and the program growth factor.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to revenue for fiscal year 2014 and later.
new text end

Sec. 8.

Minnesota Statutes 2013 Supplement, section 125A.79, subdivision 1, is
amended to read:

Subdivision 1.

Definitions.

For the purposes of this section, the definitions in this
subdivision apply.

(a) "Unreimbursed old formula special education expenditures" means:

(1) old formula special education expenditures for the prior fiscal year; minus

(2) new text begin for fiscal years 2014 and 2015, the sum of the special education aid under section
125A.76, subdivision 5, for the prior fiscal year and the cross subsidy reduction aid under
section 125A.76, subdivision 2b, and for fiscal year 2016 and later, the new text end special education
initial aid under section 125A.76, subdivision 2a; minus

(3) the amount of general education revenuenew text begin , excluding local optional revenue, plus
local optional aidnew text end and referendum equalization aid for the prior fiscal year attributable
to pupils receiving special instruction and services outside the regular classroom for
more than 60 percent of the school day for the portion of time the pupils receive special
instruction and services outside the regular classroom, excluding portions attributable to
district and school administration, district support services, operations and maintenance,
capital expenditures, and pupil transportation.

(b) "Unreimbursed nonfederal special education expenditures" means:

(1) nonfederal special education expenditures for the prior fiscal year; minus

(2) special education initial aid under section 125A.76, subdivision 2a; minus

(3) new text begin for fiscal year 2016 and later, new text end the amount of general education revenue and
referendum equalization aid for the prior fiscal year attributable to pupils receiving
special instruction and services outside the regular classroom for more than 60 percent of
the school day for the portion of time the pupils receive special instruction and services
outside of the regular classroom, excluding portions attributable to district and school
administration, district support services, operations and maintenance, capital expenditures,
and pupil transportation.

(c) "General revenue" for a school district means the sum of the general education
revenue according to section 126C.10, subdivision 1, excluding alternative teacher
compensation revenue, deleted text begin minusdeleted text end transportation sparsity revenue deleted text begin minusdeleted text end new text begin , local optional
revenue, andnew text end total operating capital revenue. "General revenue" for a charter school means
the sum of the general education revenue according to section 124D.11, subdivision 1, and
transportation revenue according to section 124D.11, subdivision 2, excluding alternative
teacher compensation revenue, deleted text begin minusdeleted text end referendum equalization aid deleted text begin minusdeleted text end new text begin ,new text end transportation
sparsity revenue deleted text begin minusdeleted text end new text begin , andnew text end operating capital revenue.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to revenue for fiscal year 2014 and later.
new text end

Sec. 9.

Minnesota Statutes 2013 Supplement, section 125A.79, subdivision 5, is
amended to read:

Subd. 5.

deleted text begin Initialdeleted text end Excess cost aid.

For fiscal year 2016 and later, a district's deleted text begin initial
deleted text end excess cost aid equals the greater of:

(1) 56 percent of the difference between (i) the district's unreimbursed nonfederal
special education expenditures and (ii) 7.0 percent of the district's general revenue;

(2) 62 percent of the difference between (i) the district's unreimbursed old formula
special education expenditures and (ii) 2.5 percent of the district's general revenue; or

(3) zero.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2016
and later.
new text end

Sec. 10.

Minnesota Statutes 2013 Supplement, section 125A.79, subdivision 8, is
amended to read:

Subd. 8.

Out-of-state tuition.

For children who are residents of the state, receive
services under section 125A.76, subdivisions 1 and 2, and are placed in a care and
treatment facility by court action in a state that does not have a reciprocity agreement with
the commissioner under section 125A.155, the resident school district shall deleted text begin submit the
balancedeleted text end new text begin receive special education out-of-state tuition aid equal to the amountnew text end of the tuition
bills, minus new text begin (1) new text end the general education revenue, excluding basic skills revenuenew text begin and the local
optional levy attributable to the pupil, calculated using the resident district's average
general education revenue per adjusted pupil unitnew text end , deleted text begin anddeleted text end new text begin (2) thenew text end referendum equalization aid
attributable to the pupil, calculated using the resident district's deleted text begin average general education
revenue anddeleted text end referendum equalization aid per adjusted pupil unit deleted text begin minusdeleted text end new text begin , and (3)new text end the special
education deleted text begin contracted services initial revenuedeleted text end new text begin aid new text end attributable to the pupil.

new text begin EFFECTIVE DATE. new text end

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

Sec. 11.

Laws 2013, chapter 116, article 5, section 31, subdivision 8, is amended to read:

Subd. 8.

Special education paperwork cost savings.

new text begin (a) new text end Fornew text begin the contract to
customize a statewide online reporting system and effectnew text end special education paperwork
cost savings:

1,763,000

.....

2014

For a transfer to MNIT. This appropriation is available in fiscal year 2015 deleted text begin if notdeleted text end new text begin and
must benew text end expendednew text begin according to this subdivision for online due process reportingnew text end .

new text begin (b) To ensure a strong focus on outcomes for children with disabilities informs
federal and state compliance and accountability requirements and to increase opportunities
for special educators and related-services providers to focus on teaching children with
disabilities, the commissioner must customize a streamlined, user-friendly statewide
online system, with a single model online form, for effectively and efficiently collecting
and reporting required special education-related data to individuals with a legitimate
educational interest and who are authorized by law to access the data.
new text end

new text begin (c) The commissioner must consult with qualified experts, including information
technology specialists, licensed special education teachers and directors of special
education, related-services providers, third-party vendors, a designee of the commissioner
of human services, parents of children with disabilities, representatives of advocacy groups
representing children with disabilities, and representatives of school districts and special
education cooperatives on integrating, field testing, customizing, and sustaining this simple,
easily accessible, efficient, and effective online data system for uniform statewide reporting
of required due process compliance data. Among other outcomes, the system must:
new text end

new text begin (1) reduce special education teachers' paperwork burden and thereby increase the
teachers' opportunities to focus on teaching children;
new text end

new text begin (2) to the extent authorized by chapter 13 or other applicable state or federal law
governing access to and dissemination of educational records, provide for efficiently
and effectively transmitting the records of all transferring children with disabilities,
including highly mobile and homeless children with disabilities, among others, and avoid
fragmented service delivery;
new text end

new text begin (3) address language and other barriers and disparities that prevent parents from
understanding and communicating information about the needs of their children with
disabilities; and
new text end

new text begin (4) help continuously improve the interface among the online systems serving
children with disabilities in order to maintain and reinforce the children's ability to learn.
new text end

new text begin (d) The commissioner must use the federal Office of Special Education Programs
model forms for the (1) individualized education program, (2) notice of procedural
safeguards, and (3) prior written notice that are consistent with Part B of IDEA to integrate
and customize a state-sponsored universal special education online case management
system, consistent with the requirements of state law and this subdivision for customizing
a statewide online reporting system. The commissioner must use a request for proposal
process to contract for the technology and software needed for customizing the online
system in order for the system to be fully functional, consistent with the requirements of
this subdivision. This online system must be made available to school districts without
charge beginning in the 2015-2016 school year. All actions in which data in the system
are entered, updated, accessed, or shared or disseminated outside of the system, must be
recorded in a data audit trail. The audit trail must identify the user responsible for the
action, and the date and time the action occurred. Data contained in the audit trail maintain
the same classification as the underlying data that was affected by the action, and may be
accessed by the responsible authority at any time for purposes of auditing the system's
user activity and security safeguards. For the 2015-2016 through 2017-2018 school years,
school districts may use this online system or may contract with an outside vendor for
compliance reporting. Beginning in the 2018-2019 school year and later, school districts
must use this online system for compliance reporting.
new text end

new text begin (e) Consistent with this subdivision, the commissioner must establish a public
Internet Web interface to provide information to educators, parents, and the public about
the form and content of required special education reports, to respond to queries from
educators, parents, and the public about specific aspects of special education reports and
reporting, and to use the information garnered from the interface to streamline and revise
special education reporting on the online system under this subdivision. The public Internet
Web interface must not provide access to the educational records of any individual child.
new text end

new text begin (f) The commissioner annually by February 1 must submit to the legislature a report
on the status, recent changes, and sustainability of the online system under this subdivision.
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

Sec. 12. new text begin RULEMAKING AUTHORITY; SPECIAL EDUCATION TASK FORCE
RECOMMENDATIONS.
new text end

new text begin The commissioner of education must use the expedited rulemaking process under
Minnesota Statutes, section 14.389, including subdivision 5, to make the rule changes
recommended by the Special Education Case Load and Rule Alignment Task Force in
its 2014 report entitled "Recommendations for Special Education Case Load and Rule
Alignment" submitted to the legislature on February 15, 2014.
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

Sec. 13. new text begin APPROPRIATION.
new text end

new text begin Subdivision 1. new text end

new text begin Department of Education. new text end

new text begin The sums indicated in this section are
appropriated from the general fund to the Department of Education for the fiscal years
designated.
new text end

new text begin Subd. 2. new text end

new text begin Department assistance. new text end

new text begin For the commissioner of education to assist
school districts in meeting the needs of children who have experienced a high use of prone
restraints, consistent with Minnesota Statutes 2013 Supplement, section 125A.0942:
new text end

250,000

.....

2015

new text begin The commissioners of education and human services, or their designees, must
discuss coordinating use of funds and personnel available for this purpose within their
respective departments. This is a onetime appropriation.
new text end

ARTICLE 4

FACILITIES

Section 1.

new text begin [123A.482] JOINT POWERS COOPERATIVE FACILITY.
new text end

new text begin Subdivision 1. new text end

new text begin Schools may be jointly operated. new text end

new text begin Two or more school districts may
agree to jointly operate a secondary facility. The districts may choose to operate the
facility according to a joint powers agreement under section 123A.78 or 471.59.
new text end

new text begin Subd. 2. new text end

new text begin Expanded program offerings. new text end

new text begin A jointly operated secondary program
seeking funding under section 123A.485 must demonstrate to the commissioner's
satisfaction that the jointly operated program provides enhanced learning opportunities and
broader curriculum offerings to the students attending that program. The commissioner
must approve or disapprove a cooperative secondary program within 60 days of receipt of
an application.
new text end

new text begin Subd. 3. new text end

new text begin Transfer of employees. new text end

new text begin If an employee is transferred between two
employer members of the joint powers agreement under this section, the employee's
length of service under section 122A.40, subdivision 5, remains uninterrupted. The
employee shall receive credit on the receiving district's salary schedule for the employee's
educational attainment and years of continuous service in the sending district, or shall
receive a comparable salary, whichever is greater. The employee shall receive credit for
accrued sick leave and rights to severance benefits as if the employee had been employed
by the receiving district during the employee's years of employment in the sending district.
new text end

new text begin Subd. 4. new text end

new text begin Revenue. new text end

new text begin An approved program that is jointly operated under this section
is eligible for aid under section 123A.485 and qualifies for a facilities grant under sections
123A.44 to 123A.446.
new text end

new text begin Subd. 5. new text end

new text begin Duty to maintain elementary and secondary schools met. new text end

new text begin A school
district operating a joint facility under this section meets the requirements of section
123A.64.
new text end

new text begin Subd. 6. new text end

new text begin Estimated market value limit exclusion. new text end

new text begin Bonds for a cooperative facility
operated under this section issued by a member school district are not subject to the net
debt limit under section 475.53, subdivision 4.
new text end

new text begin Subd. 7. new text end

new text begin Allocation of levy authority for joint facility. new text end

new text begin For purposes of determining
each member district's school levy, a jointly operated secondary program may allocate
program costs to each member district according to the joint powers agreement and each
member district may include those costs in its tax levy. The joint powers agreement may
choose to allocate costs on any basis adopted as part of the joint powers agreement.
new text end

new text begin Subd. 8. new text end

new text begin Effect of consolidation. new text end

new text begin The joint powers agreement may allow member
school districts that choose to consolidate to continue to certify levies separately based on
each component district's characteristics.
new text end

new text begin Subd. 9. new text end

new text begin Bonds. new text end

new text begin A joint powers district formed under this section may issue bonds
according to section 123A.78 or its member districts may issue bonds individually after
complying with this subdivision. The joint powers board must submit the project for
review and comment under section 123B.71. The joint powers board must hold a hearing
on the proposal. If the bonds are not issued under section 123A.78, each member district
of the joint powers district must submit the question of authorizing borrowing of funds for
the project to the voters of the district at a special election. The question submitted shall
state the total amount of funding needed from that district. The member district may issue
the bonds according to chapter 475 and certify the levy required by section 475.61 only if
a majority of those voting on the question in that district vote in the affirmative and only
after the board has adopted a resolution pledging the full faith and credit of that unit. The
resolution must irrevocably commit that unit to pay an agreed-upon share of any debt levy
shortages that, together with other funds available, would allow the member school board
to pay the principal and interest on the obligations. The clerk of the joint powers board
must certify the vote of any bond elections to the commissioner. Bonds issued under this
section first qualify for debt service equalization aid in fiscal year 2018.
new text end

new text begin Subd. 10. new text end

new text begin Election. new text end

new text begin A district entering into a joint powers agreement under this
section may conduct a referendum seeking approval for a new facility. This election may
be held separately or at the same time as a bond election under subdivision 9. If the
election is held at the same time, the questions may be asked separately or as a conjunctive
question. The question must be approved by a majority of those voting on the question.
If asked separately and the question fails, a district may not proceed with the sale of
bonds according to subdivision 9.
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

Sec. 2.

Minnesota Statutes 2012, section 123A.485, is amended to read:

123A.485 CONSOLIDATION TRANSITION deleted text begin REVENUEdeleted text end new text begin AIDnew text end .

Subdivision 1.

Eligibility and use.

A district that new text begin operates a cooperative facility
under section 123A.482 or that new text end has been reorganized after June 30, 1994, under section
123A.48 is eligible for consolidation transition deleted text begin revenue. Revenue is equal to the sum of
deleted text end aid deleted text begin under subdivision 2 and levy under subdivision 3deleted text end . Consolidation transition deleted text begin revenue
deleted text end new text begin aidnew text end may only be used according to this section. Revenue must be used for the following
purposes and may be distributed among these purposes at the discretion of the districtnew text begin or
the governing board of the cooperative facilitynew text end :

(1) to offer early retirement incentives as provided by section 123A.48, subdivision
23;

(2) to reduce operating debt as defined in section 123B.82;

(3) to enhance learning opportunities for students in the reorganized district; deleted text begin and
deleted text end

(4) new text begin to repay building debt; or
new text end

new text begin (5) new text end for other costs incurred in the reorganization.

Revenue received and utilized under clause (3) or deleted text begin (4)deleted text end new text begin (5)new text end may be expended for
operating, facilities, and/or equipment.

Subd. 2.

Aid.

deleted text begin (a)deleted text end Consolidation transition aid is equal to deleted text begin $200deleted text end new text begin $300new text end times the
number of deleted text begin residentdeleted text end new text begin adjustednew text end pupil units in the deleted text begin newly createddeleted text end new text begin cooperative facility under
section 123A.482 or the consolidatednew text end district deleted text begin in the year of consolidation and $100 times
the number of resident pupil units in the first year following the year of consolidation
deleted text end new text begin under section 123A.48new text end . deleted text begin The number of pupil units used to calculate aiddeleted text end deleted text begin in either year
shall not exceed 1,000 for districts consolidating July 1, 1994, and 1,500 for districts
consolidating July 1, 1995, and thereafterdeleted text end new text begin A district may receive aid under this section for
not more than five years except as provided in subdivision 4new text end .

deleted text begin (b) If the total appropriation for consolidation transition aid for any fiscal year, plus
any amount transferred under section 127A.41, subdivision 8, is insufficient to pay all
districts the full amount of aid earned, the department must first pay the districts in the first
year following the year of consolidation the full amount of aid earned and distribute any
remaining funds to the newly created districts in the first year of consolidation.
deleted text end

Subd. 3.

Levy.

If the aid available in subdivision 2 is insufficient to cover the costs
of the district under section 123A.48, subdivision 23, the district may levy the difference
over a period of time not to exceed three years.

Subd. 4.

New districts.

If a district new text begin enters into a cooperative secondary facilities
program or new text end consolidates with another district that has received aid under section 123A.39,
subdivision 3, or 123A.485 for a combination or consolidation taking effect within
six years of the effective date of the new consolidationnew text begin or the start of the cooperative
secondary facilities programnew text end , only the pupil units in the district or districts not previously
new text begin cooperating ornew text end reorganized must be counted for aid purposes under subdivision 2. If
two or more districts consolidate and all districts received aid under subdivision 2 for a
consolidation taking effect within six years of the effective date of the new consolidation,
only one quarter of the pupil units in the newly created district must be used to determine
aid under subdivision 2.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for state aid for fiscal year 2017
and later.
new text end

Sec. 3.

Minnesota Statutes 2012, section 123A.64, is amended to read:

123A.64 DUTY TO MAINTAIN ELEMENTARY AND SECONDARY
SCHOOLS.

Each district must maintain classified elementary and secondary schools, grades 1
through 12, unless the district is exempt according to section 123A.61 or 123A.62, has
made an agreement with another district or districts as provided in sections 123A.30,
123A.32, or sections 123A.35 to 123A.43, or 123A.17, subdivision 7, deleted text begin ordeleted text end has received a
grant under sections 123A.441 to 123A.446new text begin , or has formed a cooperative under section
123A.482new text end . A district that has an agreement according to sections 123A.35 to 123A.43 or
123A.32 must operate a school with the number of grades required by those sections. A
district that has an agreement according to section 123A.30 or 123A.17, subdivision 7, or
has received a grant under sections 123A.441 to 123A.446 must operate a school for the
grades not included in the agreement, but not fewer than three grades.

Sec. 4.

Minnesota Statutes 2013 Supplement, section 123B.53, subdivision 1, is
amended to read:

Subdivision 1.

Definitions.

(a) For purposes of this section, the eligible debt service
revenue of a district is defined as follows:

(1) the amount needed to produce between five and six percent in excess of the
amount needed to meet when due the principal and interest payments on the obligations
of the district for eligible projects according to subdivision 2, including the amounts
necessary for repayment of energy loans according to section 216C.37 or sections 298.292
to 298.298, debt service loans and capital loans, lease purchase payments under section
126C.40, subdivision 2, alternative facilities levies under section 123B.59, subdivision
5, paragraph (a), minus

(2) the amount of debt service excess levy reduction for that school year calculated
according to the procedure established by the commissioner.

(b) The obligations in this paragraph are excluded from eligible debt service revenue:

(1) obligations under section 123B.61;

(2) the part of debt service principal and interest paid from the taconite environmental
protection fund or Douglas J. Johnson economic protection trustnew text begin , excluding the portion of
taconite payments from the Iron Range school consolidation and cooperatively operated
school account under section 298.28, subdivision 7anew text end ;

(3) obligations issued under Laws 1991, chapter 265, article 5, section 18, as
amended by Laws 1992, chapter 499, article 5, section 24; deleted text begin and
deleted text end

(4) obligations under section 123B.62new text begin ; and
new text end

new text begin (5) obligations equalized under section 123B.535new text end .

(c) For purposes of this section, if a preexisting school district reorganized under
sections 123A.35 to 123A.43, 123A.46, and 123A.48 is solely responsible for retirement
of the preexisting district's bonded indebtedness, capital loans or debt service loans, debt
service equalization aid must be computed separately for each of the preexisting districts.

(d) For purposes of this section, the adjusted net tax capacity determined according
to sections 127A.48 and 273.1325 shall be adjusted to include the tax capacity of property
generally exempted from ad valorem taxes under section 272.02, subdivision 64.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for fiscal year 2017 and later.
new text end

Sec. 5.

Minnesota Statutes 2013 Supplement, section 123B.53, subdivision 5, is
amended to read:

Subd. 5.

Equalized debt service levy.

(a) The equalized debt service levy of a
district equals the sum of the first tier equalized debt service levy and the second tier
equalized debt service levy.

(b) A district's first tier equalized debt service levy equals the district's first tier debt
service equalization revenue times the lesser of one or the ratio of:

(1) the quotient derived by dividing the adjusted net tax capacity of the district for
the year before the year the levy is certified by the adjusted pupil units in the district for
the school year ending in the year prior to the year the levy is certified; to

(2) deleted text begin $3,550deleted text end new text begin $4,970new text end .

(c) A district's second tier equalized debt service levy equals the district's second tier
debt service equalization revenue times the lesser of one or the ratio of:

(2) deleted text begin $7,900deleted text end new text begin $8,000new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2016
and later.
new text end

Sec. 6.

new text begin [123B.535] NATURAL DISASTER DEBT SERVICE EQUALIZATION.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the eligible natural
disaster debt service revenue of a district is defined as the amount needed to produce
between five and six percent in excess of the amount needed to meet when due the
principal and interest payments on the obligations of the district that would otherwise
qualify under section 123B.53 under the following conditions:
new text end

new text begin (1) the district was impacted by a natural disaster event or area occurring January
1, 2005, or later, as declared by the President of the United States of America, which is
eligible for Federal Emergency Management Agency payments;
new text end

new text begin (2) the natural disaster caused $500,000 or more in damages to school district
buildings; and
new text end

new text begin (3) the repair and replacement costs are not covered by insurance payments or
Federal Emergency Management Agency payments.
new text end

new text begin (b) For purposes of this section, the adjusted net tax capacity equalizing factor
equals the quotient derived by dividing the total adjusted net tax capacity of all school
districts in the state for the year before the year the levy is certified by the total number of
adjusted pupil units in the state for the year prior to the year the levy is certified.
new text end

new text begin (c) For purposes of this section, the adjusted net tax capacity determined according
to sections 127A.48 and 273.1325 shall be adjusted to include the tax capacity of property
generally exempted from ad valorem taxes under section 272.02, subdivision 64.
new text end

new text begin Subd. 2. new text end

new text begin Notification. new text end

new text begin A district eligible for natural disaster debt service
equalization revenue under subdivision 1 must notify the commissioner of the amount of
its intended natural disaster debt service revenue calculated under subdivision 1 for all
bonds sold prior to the notification by July 1 of the calendar year the levy is certified.
new text end

new text begin Subd. 3. new text end

new text begin Natural disaster debt service equalization revenue. new text end

new text begin The debt service
equalization revenue of a district equals the greater of zero or the eligible debt service
revenue, minus the greater of zero or the difference between:
new text end

new text begin (1) the amount raised by a levy of ten percent times the adjusted net tax capacity
of the district; and
new text end

new text begin (2) the district's eligible debt service revenue under section 123B.53.
new text end

new text begin Subd. 4. new text end

new text begin Equalized natural disaster debt service levy. new text end

new text begin A district's equalized
natural disaster debt service levy equals the district's natural disaster debt service
equalization revenue times the lesser of one or the ratio of:
new text end

new text begin (1) the quotient derived by dividing the adjusted net tax capacity of the district for
the year before the year the levy is certified by the adjusted pupil units in the district for
the school year ending in the year prior to the year the levy is certified; to
new text end

new text begin (2) 300 percent of the statewide adjusted net tax capacity equalizing factor.
new text end

new text begin Subd. 5. new text end

new text begin Natural disaster debt service equalization aid. new text end

new text begin A district's natural
disaster debt service equalization aid equals the difference between the district's natural
disaster debt service equalization revenue and the district's equalized natural disaster
debt service levy.
new text end

new text begin Subd. 6. new text end

new text begin Natural disaster debt service equalization aid payment schedule. new text end

new text begin Debt
service equalization aid must be paid according to section 127A.45, subdivision 10.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for taxes payable in 2016 and
revenue for fiscal year 2017 and later.
new text end

Sec. 7.

Minnesota Statutes 2013 Supplement, section 123B.54, is amended to read:

123B.54 DEBT SERVICE APPROPRIATION.

(a) The amount necessary to make debt service equalization aid payments under
deleted text begin sectiondeleted text end new text begin sectionsnew text end 123B.53 new text begin and 123B.535 new text end is annually appropriated from the general fund to
the commissioner of education.

(b) The appropriations in paragraph (a) must be reduced by the amount of any
money specifically appropriated for the same purpose in any year from any state fund.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2017
and later.
new text end

Sec. 8.

Minnesota Statutes 2012, section 123B.71, subdivision 8, is amended to read:

Subd. 8.

Review and comment.

A school district, a special education cooperative,
or a cooperative unit of government, as defined in section 123A.24, subdivision 2, must not
initiate an installment contract for purchase or a lease agreement, hold a referendum for
bonds, nor solicit bids for new construction, expansion, or remodeling of an educational
facility that requires an expenditure in excess of $500,000 per school site if it has a capital
loan outstanding, or deleted text begin $1,400,000deleted text end new text begin $2,000,000new text end per school site if it does not have a capital
loan outstanding, prior to review and comment by the commissioner. deleted text begin The commissioner
may exemptdeleted text end A facility new text begin addition, new text end maintenance projectnew text begin , or remodeling projectnew text end funded new text begin only
new text end with general education deleted text begin aid and levydeleted text end new text begin revenue, deferred maintenance revenuenew text end , alternative
facilities bonding and levy programnew text begin revenue, lease levy proceeds, capital facilities bond
proceedsnew text end , or health and safety revenuenew text begin is exemptnew text end from this provision deleted text begin after reviewing a
written request from a school district describing the scope of workdeleted text end .new text begin A capital project under
section 123B.63 addressing only technology is exempt from this provision if the district
submits a school board resolution stating that funds approved by the voters will be used
only as authorized in section 126C.10, subdivision 14.new text end A school board shall not separate
portions of a single project into components to avoid the requirements of this subdivision.

Sec. 9.

Minnesota Statutes 2012, section 123B.71, subdivision 9, is amended to read:

Subd. 9.

Information required.

A school board proposing to constructnew text begin , expand,
or remodelnew text end a facility deleted text begin described indeleted text end new text begin that requires a review and comment undernew text end subdivision
8 shall submit to the commissioner a proposal containing information including at least
the following:

(1) the geographic area and population to be served, preschool through grade 12
student enrollments for the past five years, and student enrollment projections for the
next five years;

(2) a list of existing facilities by year constructed, their uses, and an assessment of
the extent to which alternate facilities are available within the school district boundaries
and in adjacent school districts;

(3) a list of the specific deficiencies of the facility that demonstrate the need for a
new or renovated facility to be provided,new text begin the process used to determine the deficiencies, a
list of those deficiencies that will and will not be addressed by the proposed project,new text end and a
list of the specific benefits that the new or renovated facility will provide to the students,
teachers, and community users served by the facility;

deleted text begin (4) the relationship of the project to any priorities established by the school district,
educational cooperatives that provide support services, or other public bodies in the
service area;
deleted text end

deleted text begin (5) a description of the pedestrian, bicycle, and transit connections between the
school and nearby residential areas that make it easier for children, teachers, and parents
to get to the school by walking, bicycling, and taking transit;
deleted text end

deleted text begin (6) a specification of how the project maximizes the opportunity for cooperative use
of existing park, recreation, and other public facilities and whether and how the project
will increase collaboration with other governmental or nonprofit entities;
deleted text end

deleted text begin (7)deleted text end new text begin (4)new text end a description of the project, including the specification of site and outdoor
space acreage and square footage allocations for classrooms, laboratories, and support
spaces; estimated expenditures for the major portions of the project; and the dates the
project will begin and be completed;

deleted text begin (8)deleted text end new text begin (5)new text end a specification of the source of financing the projectnew text begin , including applicable
statutory citationsnew text end ; the scheduled date for a bond issue or school board action; a schedule
of payments, including debt service equalization aid; and the effect of a bond issue on
local property taxes by the property class and valuation;

deleted text begin (9) an analysis of how the proposed new or remodeled facility will affect school
district operational or administrative staffing costs, and how the district's operating budget
will cover any increased operational or administrative staffing costs;
deleted text end

deleted text begin (10) a description of the consultation with local or state transportation officials
on multimodal school site access and safety issues, and the ways that the project will
address those issues;
deleted text end

deleted text begin (11) a description of how indoor air quality issues have been considered and a
certification that the architects and engineers designing the facility will have professional
liability insurance;
deleted text end

deleted text begin (12) as required under section 123B.72, for buildings coming into service after July 1,
2002, a certification that the plans and designs for the extensively renovated or new facility's
heating, ventilation, and air conditioning systems will meet or exceed code standards; will
provide for the monitoring of outdoor airflow and total airflow of ventilation systems; and
will provide an indoor air quality filtration system that meets ASHRAE standard 52.1;
deleted text end

deleted text begin (13) a specification of any desegregation requirements that cannot be met by any
other reasonable means;
deleted text end

deleted text begin (14) a specification of how the facility will utilize environmentally sustainable
school facility design concepts;
deleted text end

deleted text begin (15) a description of how the architects and engineers have considered the American
National Standards Institute Acoustical Performance Criteria, Design Requirements
and Guidelines for Schools of the maximum background noise level and reverberation
times; and
deleted text end

deleted text begin (16) any existing information from the relevant local unit of government about the
cumulative costs to provide infrastructure to serve the school, such as utilities, sewer,
roads, and sidewalks.
deleted text end

new text begin (6) documents obligating the school district and contractors to comply with items (i)
to (vii) in planning and executing the project:
new text end

new text begin (i) section 471.346 governing municipal contracts;
new text end

new text begin (ii) sustainable design;
new text end

new text begin (iii) school facility commissioning under section 123B.72 certifying the plans and
designs for the heating, ventilating, air conditioning, and air filtration for an extensively
renovated or new facility meet or exceed current code standards, including the ASHRAE
air filtration standard 52.1;
new text end

new text begin (iv) American National Standards Institute Acoustical Performance Criteria, Design
Requirements and Guidelines for Schools on maximum background noise level and
reverberation times;
new text end

new text begin (v) State Fire Code;
new text end

new text begin (vi) chapter 326B governing building codes; and
new text end

new text begin (vii) consultation with affected government units about the impact of the project
on utilities, roads, sewers, sidewalks, retention ponds, school bus and automobile traffic,
access to mass transit, and safe access for pedestrians and cyclists.
new text end

Sec. 10.

Minnesota Statutes 2013 Supplement, section 126C.10, subdivision 2d,
is amended to read:

Subd. 2d.

Declining enrollment revenue.

new text begin (a) new text end A school district's declining
enrollment revenue equals the greater of zero or the product of: (1) 28 percent of the
formula allowance for that year and (2) the difference between the adjusted pupil units for
the preceding year and the adjusted pupil units for the current year.

new text begin (b) Notwithstanding paragraph (a), for fiscal years 2015, 2016, and 2017 only, a pupil
enrolled at the Crosswinds school shall not generate declining enrollment revenue for the
district or charter school in which the pupil was last counted in average daily membership.
new text end

Sec. 11.

Minnesota Statutes 2013 Supplement, section 126C.48, subdivision 8, is
amended to read:

Subd. 8.

Taconite payment and other reductions.

(1) Reductions in levies
pursuant to subdivision 1 must be made prior to the reductions in clause (2).

(2) Notwithstanding any other law to the contrary, districts that have revenue
pursuant to sections 298.018; 298.225; 298.24 to 298.28, except an amount distributed
under sections 298.26; 298.28, subdivision 4, paragraphs (c), clause (ii), and (d); 298.34
to 298.39; 298.391 to 298.396; 298.405; 477A.15; and any law imposing a tax upon
severed mineral values must reduce the levies authorized by this chapter and chapters
120B, 122A, 123A, 123B, 124A, 124D, 125A, and 127A by 95 percent of the sum of the
previous year's revenue specified under this clause and the amount attributable to the same
production year distributed to the cities and townships within the school district under
section 298.28, subdivision 2, paragraph (c).

(3) The amount of any voter approved referendum, facilities down payment, and
debt levies shall not be reduced by more than 50 percent under this subdivisionnew text begin , except
that payments under section 298.28, subdivision 7a, may reduce the debt service levy by
more than 50 percentnew text end . In administering this paragraph, the commissioner shall first reduce
the nonvoter approved levies of a district; then, if any payments, severed mineral value
tax revenue or recognized revenue under paragraph (2) remains, the commissioner shall
reduce any voter approved referendum levies authorized under section 126C.17; then, if
any payments, severed mineral value tax revenue or recognized revenue under paragraph
(2) remains, the commissioner shall reduce any voter approved facilities down payment
levies authorized under section 123B.63 and then, if any payments, severed mineral value
tax revenue or recognized revenue under paragraph (2) remains, the commissioner shall
reduce any voter approved debt levies.

(4) Before computing the reduction pursuant to this subdivision of the health and
safety levy authorized by sections 123B.57 and 126C.40, subdivision 5, the commissioner
shall ascertain from each affected school district the amount it proposes to levy under
each section or subdivision. The reduction shall be computed on the basis of the amount
so ascertained.

(5) To the extent the levy reduction calculated under paragraph (2) exceeds the
limitation in paragraph (3), an amount equal to the excess must be distributed from the
school district's distribution under sections 298.225, 298.28, and 477A.15 in the following
year to the cities and townships within the school district in the proportion that their
taxable net tax capacity within the school district bears to the taxable net tax capacity of
the school district for property taxes payable in the year prior to distribution. No city or
township shall receive a distribution greater than its levy for taxes payable in the year prior
to distribution. The commissioner of revenue shall certify the distributions of cities and
towns under this paragraph to the county auditor by September 30 of the year preceding
distribution. The county auditor shall reduce the proposed and final levies of cities and
towns receiving distributions by the amount of their distribution. Distributions to the cities
and towns shall be made at the times provided under section 298.27.

Sec. 12.

Minnesota Statutes 2012, section 127A.49, subdivision 2, is amended to read:

Subd. 2.

Abatements.

Whenever by virtue of chapter 278, sections 270C.86,
375.192, or otherwise, the net tax capacity or referendum market value of any district for
any taxable year is changed after the taxes for that year have been spread by the county
auditor and the local tax rate as determined by the county auditor based upon the original
net tax capacity is applied upon the changed net tax capacities, the county auditor shall,
prior to February 1 of each year, certify to the commissioner of education the amount of
any resulting net revenue loss that accrued to the district during the preceding year. Each
year, the commissioner shall pay an abatement adjustment to the district in an amount
calculated according to the provisions of this subdivision. This amount shall be deducted
from the amount of the levy authorized by section 126C.46. The amount of the abatement
adjustment must be the product of:

(1) the net revenue loss as certified by the county auditor, times

(2) the ratio of:

(i) the sum of the amounts of the district's certified levy in the third preceding year
according to the following:

(A) section 123B.57, if the district received health and safety aid according to that
section for the second preceding year;

(B) section 124D.20, if the district received aid for community education programs
according to that section for the second preceding year;

(C) section 124D.135, subdivision 3, if the district received early childhood family
education aid according to section 124D.135 for the second preceding year;

(D) section 126C.17, subdivision 6, if the district received referendum equalization
aid according to that section for the second preceding year;

(E) section 126C.10, subdivision 13a, if the district received operating capital aid
according to section 126C.10, subdivision 13b, in the second preceding year;

(F) section 126C.10, subdivision 29, if the district received equity aid according to
section 126C.10, subdivision 30, in the second preceding year;

(G) section 126C.10, subdivision 32, if the district received transition aid according
to section 126C.10, subdivision 33, in the second preceding year;

(H) section 123B.53, subdivision 5, if the district received debt service equalization
aid according to section 123B.53, subdivision 6, in the second preceding year;

new text begin (I) section 123B.535, subdivision 4, if the district received natural disaster debt
service equalization aid according to section 123B.535, subdivision 5, in the second
preceding year;
new text end

deleted text begin (I)deleted text end new text begin (J)new text end section 124D.22, subdivision 3, if the district received school-age care aid
according to section 124D.22, subdivision 4, in the second preceding year;

deleted text begin (J)deleted text end new text begin (K)new text end section 123B.591, subdivision 3, if the district received deferred maintenance
aid according to section 123B.591, subdivision 4, in the second preceding year; and

deleted text begin (K)deleted text end new text begin (L)new text end section 126C.10, subdivision 35, if the district received alternative teacher
compensation equalization aid according to section 126C.10, subdivision 36, paragraph
(a), in the second preceding year; to

(ii) the total amount of the district's certified levy in the third preceding December,
plus or minus auditor's adjustments.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2017
and later.
new text end

Sec. 13.

Minnesota Statutes 2012, section 127A.49, subdivision 3, is amended to read:

Subd. 3.

Excess tax increment.

(a) If a return of excess tax increment is made to a
district pursuant to sections 469.176, subdivision 2, and 469.177, subdivision 9, or upon
decertification of a tax increment district, the school district's aid and levy limitations
must be adjusted for the fiscal year in which the excess tax increment is paid under the
provisions of this subdivision.

(b) An amount must be subtracted from the district's aid for the current fiscal year
equal to the product of:

(1) the amount of the payment of excess tax increment to the district, times

(2) the ratio of:

(i) the sum of the amounts of the district's certified levy for the fiscal year in which
the excess tax increment is paid according to the following:

(A) section 123B.57, if the district received health and safety aid according to that
section for the second preceding year;

(B) section 124D.20, if the district received aid for community education programs
according to that section for the second preceding year;

(C) section 124D.135, subdivision 3, if the district received early childhood family
education aid according to section 124D.135 for the second preceding year;

(D) section 126C.17, subdivision 6, if the district received referendum equalization
aid according to that section for the second preceding year;

(E) section 126C.10, subdivision 13a, if the district received operating capital aid
according to section 126C.10, subdivision 13b, in the second preceding year;

(F) section 126C.10, subdivision 29, if the district received equity aid according to
section 126C.10, subdivision 30, in the second preceding year;

(G) section 126C.10, subdivision 32, if the district received transition aid according
to section 126C.10, subdivision 33, in the second preceding year;

(H) section 123B.53, subdivision 5, if the district received debt service equalization
aid according to section 123B.53, subdivision 6, in the second preceding year;

(ii) the total amount of the district's certified levy for the fiscal year, plus or minus
auditor's adjustments.

(c) An amount must be subtracted from the school district's levy limitation for the
next levy certified equal to the difference between:

(1) the amount of the distribution of excess increment; and

(2) the amount subtracted from aid pursuant to clause (a).

If the aid and levy reductions required by this subdivision cannot be made to the aid
for the fiscal year specified or to the levy specified, the reductions must be made from
aid for subsequent fiscal years, and from subsequent levies. The school district must use
the payment of excess tax increment to replace the aid and levy revenue reduced under
this subdivision.

(d) This subdivision applies only to the total amount of excess increments received
by a district for a calendar year that exceeds $25,000.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2017
and later.
new text end

Sec. 14.

Minnesota Statutes 2012, section 129C.10, subdivision 3, is amended to read:

Subd. 3.

Powers and duties of board.

(a) The board has the powers necessary for
the care, management, and control of the Perpich Center for Arts Education new text begin and any other
school authorized in this chapter, new text end and all deleted text begin itsdeleted text end new text begin theirnew text end real and personal property. The powers
shall include, but are not limited to, those listed in this subdivision.

(b) The board may employ and discharge necessary employees, and contract for
other services to ensure the efficient operation of the Center for Arts Educationnew text begin and any
other school authorized in this chapternew text end .

(c) The board may receive and award grants. The board may establish a charitable
foundation and accept, in trust or otherwise, any gift, grant, bequest, or devise for
educational purposes and hold, manage, invest, and dispose of them and the proceeds
and income of them according to the terms and conditions of the gift, grant, bequest, or
devise and its acceptance. The board must adopt internal procedures to administer and
monitor aids and grants.

(d) The board may establish or coordinate evening, continuing education, extension,
and summer programs for teachers and pupils.

(e) The board may identify pupils who have artistic talent, either demonstrated or
potential, in dance, literary arts, media arts, music, theater, and visual arts, or in more
than one art form.

(f) The board must educate pupils with artistic talent by providing:

(1) an interdisciplinary academic and arts program for pupils in the 11th and 12th
grades. The total number of pupils accepted under this clause and clause (2) shall not
exceed 310;

(2) additional instruction to pupils for a 13th grade. Pupils eligible for this
instruction are those enrolled in 12th grade who need extra instruction and who apply
to the board, or pupils enrolled in the 12th grade who do not meet learner outcomes
established by the board;

(3) intensive arts seminars for one or two weeks for pupils in grades 9 to 12;

(4) summer arts institutes for pupils in grades 9 to 12;

(5) artist mentor and extension programs in regional sites; and

(6) teacher education programs for indirect curriculum delivery.

(g) The board may determine the location for the Perpich Center for Arts Education
and any additional facilities related to the center, including the authority to lease a
temporary facility.

(h) The board must plan for the enrollment of pupils on an equal basis from each
congressional district.

(i) The board may establish task forces as needed to advise the board on policies and
issues. The task forces expire as provided in section 15.059, subdivision 6.

(j) The board may request the commissioner of education for assistance and services.

(k) The board may enter into contracts with other public and private agencies
and institutions for residential and building maintenance services if it determines that
these services could be provided more efficiently and less expensively by a contractor
than by the board itself. The board may also enter into contracts with public or private
agencies and institutions, school districts or combinations of school districts, or service
cooperatives to provide supplemental educational instruction and services.

(l) The board may provide or contract for services and programs by and for the
Center for Arts Education, including a store, operating in connection with the center;
theatrical events; and other programs and services that, in the determination of the board,
serve the purposes of the center.

(m) The board may provide for transportation of pupils to and from the Center for
Arts Education for all or part of the school year, as the board considers advisable and
subject to its rules. Notwithstanding any other law to the contrary, the board may charge a
reasonable fee for transportation of pupils. Every driver providing transportation of pupils
under this paragraph must possess all qualifications required by the commissioner of
education. The board may contract for furnishing authorized transportation under rules
established by the commissioner of education and may purchase and furnish gasoline to a
contract carrier for use in the performance of a contract with the board for transportation
of pupils to and from the Center for Arts Education. When transportation is provided,
scheduling of routes, establishment of the location of bus stops, the manner and method of
transportation, the control and discipline of pupils, and any other related matter is within
the sole discretion, control, and management of the board.

(n) The board may provide room and board for its pupils. If the board provides room
and board, it shall charge a reasonable fee for the room and board. The fee is not subject
to chapter 14 and is not a prohibited fee according to sections 123B.34 to 123B.39.

(o) The board may establish and set fees for services and programs. If the board sets
fees not authorized or prohibited by the Minnesota public school fee law, it may do so
without complying with the requirements of section 123B.38.

(p) The board may apply for all competitive grants administered by agencies of the
state and other government or nongovernment sources.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 15.

Minnesota Statutes 2012, section 129C.10, is amended by adding a
subdivision to read:

new text begin Subd. 5a. new text end

new text begin Interdistrict voluntary integration magnet program. new text end

new text begin Notwithstanding
Minnesota Rules, parts 3535.0110 and 3535.0150, the board may establish and operate
an interdistrict integration magnet program according to section 129C.30. For fiscal year
2016 and later, the board must have an approved achievement and integration plan and
budget under section 124D.861.
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

Sec. 16.

new text begin [129C.30] CROSSWINDS INTEGRATION MAGNET SCHOOL.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) The following terms having the meanings given
them for this chapter.
new text end

new text begin (b) "Board" means the board of directors of the Perpich Center for Arts Education.
new text end

new text begin (c) "Crosswinds school" means the Crosswinds school in Woodbury operated during
the 2012-2013 school year by Joint Powers District No. 6067, East Metro Integration
District.
new text end

new text begin Subd. 2. new text end

new text begin Board to operate the Crosswinds school. new text end

new text begin The board may operate the
Crosswinds school with the powers and duties granted to it under this chapter. A student
may apply to the Crosswinds school under section 124D.03 and the Crosswinds school
may accept students under that section.
new text end

new text begin Subd. 3. new text end

new text begin General education funding. new text end

new text begin General education revenue must be paid to
the Crosswinds 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, basic skills revenue,
extended time revenue, pension adjustment revenue, transition revenue, and transportation
sparsity revenue, plus declining enrollment, basic skills revenue, extended time revenue,
pension adjustment revenue, and transition revenue as though the school were a school
district. The general education revenue for each extended time pupil unit equals $4,794.
new text end

new text begin Subd. 4. new text end

new text begin Special education funding. new text end

new text begin Special education aid must be paid to the
Crosswinds school according to sections 125A.76 and 125A.79, as though it were a
school district. The special education aid paid to the Crosswinds school shall be adjusted
as follows:
new text end

new text begin (1) if the Crosswinds school does not receive general education revenue on behalf of
the student according to subdivision 3, the aid shall be adjusted as provided in section
125A.11; or
new text end

new text begin (2) if the Crosswinds school receives general education revenue on behalf of the
student according to subdivision 3, the aid shall be adjusted as provided in section
127A.47, subdivision 7, paragraphs (b) to (d).
new text end

new text begin Subd. 5. new text end

new text begin Pupil transportation. new text end

new text begin (a) For fiscal year 2015 only, a member district of
Joint Powers District No. 6067, East Metro Integration District, must transport pupils
enrolled at the Crosswinds school in the same manner as they were transported in fiscal
year 2014.
new text end

new text begin (b) Pupil transportation expenses under this section are reimbursable under section
124D.87.
new text end

new text begin Subd. 6. new text end

new text begin Achievement and integration aid. new text end

new text begin For fiscal year 2016 and later, the
Crosswinds school is eligible for achievement and integration aid under section 124D.862
as if it were a school district.
new text end

new text begin Subd. 7. new text end

new text begin Other aids, grants, revenue. new text end

new text begin (a) The Crosswinds school is eligible to
receive other aids, grants, and revenue according to chapters 120A to 129C as though it
were a district.
new text end

new text begin (b) Notwithstanding paragraph (a), the Crosswinds school may not receive aid, a
grant, or revenue if a levy is required to obtain the money, or if the aid, grant, or revenue
replaces levy revenue that is not general education revenue, except as otherwise provided
in this section.
new text end

new text begin (c) Federal aid received by the state must be paid to the school if it qualifies for
the aid as though it were a school district.
new text end

new text begin (d) In the year-end report to the commissioner of education, the Crosswinds school
shall report the total amount of funds received from grants and other outside sources.
new text end

new text begin Subd. 8. new text end

new text begin Year-round programming. new text end

new text begin The Crosswinds school may operate as a
flexible learning year program under sections 124D.12 to 124D.127.
new text end

new text begin Subd. 9. new text end

new text begin Data requirements. new text end

new text begin The commissioner of education shall require the
Crosswinds school to follow the budget and accounting procedures required for school
districts and the Crosswinds school shall report all data to the Department of Education in
the form and manner required by the commissioner.
new text end

Sec. 17.

Laws 2013, chapter 116, article 6, section 12, subdivision 5, is amended to read:

Subd. 5.

Equity in telecommunications access.

For equity in telecommunications
access:

	$	3,750,000	.....	2014
	$	deleted text begin 3,750,000 deleted text end new text begin 8,750,000 new text end	.....	2015

If the appropriation amount is insufficient, the commissioner shall reduce the
reimbursement rate in Minnesota Statutes, section 125B.26, subdivisions 4 and 5, and the
revenue for fiscal years 2014 and 2015 shall be prorated.

Any balance in the first year does not cancel but is available in the second year.
new text begin The base appropriation for this program for fiscal years 2016 and 2017 is $8,750,000
for each year.
new text end

Sec. 18. new text begin HARAMBEE COMMUNITY SCHOOL TRANSITION.
new text end

new text begin Subdivision 1. new text end

new text begin Facilities. new text end

new text begin Notwithstanding the appropriations of state general
obligation bond proceeds in Laws 1994, chapter 643, section 14, subdivision 7, to Joint
Powers District No. 6067, East Metro Integration District, to acquire and better the
Harambee community school, in Maplewood, the real and personal property of the
Harambee school, may be conveyed to Independent School District No. 623, Roseville,
for operation of a multidistrict integration facility that serves students in any grade from
early education through grade 12.
new text end

new text begin Subd. 2. new text end

new text begin Student enrollment. new text end

new text begin A student enrolled in the Harambee community
school during the 2013-2014 school year may continue to enroll in the Harambee
community school in any subsequent year. For the 2014-2015 school year and later, other
students may apply for enrollment under Minnesota Statutes, section 124D.03.
new text end

new text begin Subd. 3. new text end

new text begin Compensatory revenue; literacy aid; alternative compensation
revenue. new text end

new text begin For the 2014-2015 school year only, the Department of Education must calculate
compensatory revenue, literacy aid, and alternative compensation revenue for the
Harambee community school based on the October 1, 2013, enrollment counts.
new text end

new text begin Subd. 4. new text end

new text begin Year-round programming. new text end

new text begin Harambee community school may operate as
a flexible learning year program under Minnesota Statutes, sections 124D.12 to 124D.127.
new text end

new text begin Subd. 5. new text end

new text begin Pupil transportation. new text end

new text begin The board may transport pupils enrolled in the
2013-2014 school year to and from the Harambee community school in succeeding school
years regardless of the students' districts of residence. Pupil transportation expenses under
this section are reimbursable under Minnesota Statutes, section 124D.87.
new text end

Sec. 19. new text begin TRANSITION REQUIREMENTS; CROSSWINDS SCHOOL.
new text end

new text begin Subdivision 1. new text end

new text begin Transfer. new text end

new text begin Notwithstanding the appropriation of state general
obligation bond proceeds in Laws 1998, chapter 404, section 5, subdivision 5; Laws 1999,
chapter 240, article 1, section 3; Laws 2000, chapter 492, article 1, section 5, subdivision
2; Laws 2001, First Special Session chapter 12, section 2, subdivision 2; and Laws
2005, chapter 20, article 1, section 5, subdivision 3, to acquire and better the Crosswinds
school facilities by the Joint Powers District No. 6067, East Metro Integration District,
in Woodbury, the Crosswinds school may be conveyed to the Perpich Center for Arts
Education for use as an east metropolitan area integration magnet school.
new text end

new text begin Subd. 2. new text end

new text begin Student enrollment. new text end

new text begin Any student enrolled in the Crosswinds school
during the 2013-2014 school year may continue to enroll in the Crosswinds school in
any subsequent year. For the 2014-2015 school year and later, a student may apply for
enrollment to the school under Minnesota Statutes, section 124D.03.
new text end

new text begin Subd. 3. new text end

new text begin Compensatory revenue, literacy aid, and alternative compensation
revenue. new text end

new text begin For the 2014-2015 school year only, the Department of Education must calculate
compensatory revenue, literacy aid, and alternative compensation revenue for the
Crosswinds school based on the October 1, 2013, enrollment counts at that site.
new text end

new text begin Subd. 4. new text end

new text begin Title 1 funding. new text end

new text begin To the extent possible, the Department of Education
must qualify the Crosswinds school for Title 1, and, if applicable, other federal funding
as if the program were still operated by Joint Powers District No. 6067, East Metro
Integration District.
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

Sec. 20. new text begin LEASE LEVY; TRANSPORTATION HUB FOR ROSEMOUNT-APPLE
VALLEY-EAGAN SCHOOL DISTRICT.
new text end

new text begin Notwithstanding Minnesota Statutes, section 126C.40, subdivision 1, Independent
School District No. 196, Rosemount-Apple Valley-Eagan, may lease a transportation
hub under Minnesota Statutes, section 126C.40, subdivision 1. Levy authority under
this section shall not exceed the total levy authority under Minnesota Statutes, section
126C.40, subdivision 1, paragraph (e).
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for taxes payable in 2015 and later.
new text end

Sec. 21. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2012, section 123B.71, subdivision 1, new text end new text begin is repealed.
new text end

ARTICLE 5

NUTRITION

Section 1.

Minnesota Statutes 2013 Supplement, section 124D.111, subdivision 1,
is amended to read:

Subdivision 1.

School lunch aid computation.

Each school year, the state must
pay participants in the national school lunch program the amount of 12.5 cents for each
full paiddeleted text begin , reduced-price,deleted text end and free student lunch new text begin and 52.5 cents for each reduced-price
lunch new text end served to students.

new text begin EFFECTIVE DATE. new text end

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

Sec. 2.

Minnesota Statutes 2012, section 124D.111, is amended by adding a
subdivision to read:

new text begin Subd. 4. new text end

new text begin No fees. new text end

new text begin A participant that receives school lunch aid under this section
must make lunch available without charge to all participating students who qualify for
free or reduced-price meals. The participant must also ensure that any reminders for
payment of outstanding student meal balances do not demean or stigmatize any child
participating in the school lunch program.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 3.

Laws 2013, chapter 116, article 7, section 21, subdivision 2, is amended to read:

Subd. 2.

School lunch.

For school lunch aid according to Minnesota Statutes,
section 124D.111, and Code of Federal Regulations, title 7, section 210.17:

	$	deleted text begin 13,032,000 deleted text end new text begin 12,417,000 new text end	.....	2014
	$	deleted text begin 13,293,000 deleted text end new text begin 16,185,000 new text end	.....	2015

ARTICLE 6

EARLY EDUCATION, COMMUNITY EDUCATION, SELF-SUFFICIENCY
AND LIFELONG LEARNING

Section 1.

Minnesota Statutes 2012, section 121A.19, is amended to read:

121A.19 DEVELOPMENTAL SCREENING AID.

Each school year, the state must pay a district for each child or student screened by
the district according to the requirements of section 121A.17. The amount of state aid
for each child or student screened shall be: (1) deleted text begin $75deleted text end new text begin $80new text end for a child screened at age three;
(2) deleted text begin $50deleted text end new text begin $55new text end for a child screened at age four; (3) $40 for a child screened at age five or
six prior to kindergarten; and (4) $30 for a student screened within 30 days after first
enrolling in a public school kindergarten if the student has not previously been screened
according to the requirements of section 121A.17. If this amount of aid is insufficient,
the district may permanently transfer from the general fund an amount that, when added
to the aid, is sufficient. Developmental screening aid shall not be paid for any student
who is screened more than 30 days after the first day of attendance at a public school
kindergarten, except if a student transfers to another public school kindergarten within
30 days after first enrolling in a Minnesota public school kindergarten program. In this
case, if the student has not been screened, the district to which the student transfers may
receive developmental screening aid for screening that student when the screening is
performed within 30 days of the transfer date.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for state aid for fiscal year 2015
and later.
new text end

Sec. 2.

Minnesota Statutes 2012, section 124D.16, subdivision 2, is amended to read:

Subd. 2.

Amount of aid.

(a) A district is eligible to receive school readiness aid
for eligible prekindergarten pupils enrolled in a school readiness program under section
124D.15 if the biennial plan required by section 124D.15, subdivision 3a, has been
approved by the commissioner.

(b) deleted text begin For fiscal year 2002 and thereafter,deleted text end A district must receive school readiness aid
equal to:

(1) the number of four-year-old children in the district on October 1 for the previous
school year times the ratio of 50 percent of the total school readiness aid for that year to
the total number of four-year-old children reported to the commissioner for the previous
school year; plus

(2) the number of pupils enrolled in the school district from families eligible for the
free or reduced school lunch program for the previous school year times the ratio of
50 percent of the total school readiness aid for that year to the total number of pupils
in the state from families eligible for the free or reduced school lunch program for the
previous school year.

new text begin (c) For fiscal year 2015 and later, total school readiness aid equals $12,000,000.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for state aid for fiscal year 2015
and later.
new text end

Sec. 3.

Minnesota Statutes 2013 Supplement, section 124D.165, subdivision 5, is
amended to read:

Subd. 5.

Report required.

The commissioner shall contract with an independent
contractor to evaluate the early learning scholarship program. The evaluation must
include recommendations regarding the appropriate scholarship amount, efficiency, and
effectiveness of the administration, and impact on kindergarten readiness.new text begin By January
15, 2016, the commissioner shall submit a written copy of the evaluation to the chairs
and ranking minority members of the legislative committees and divisions with primary
jurisdiction over kindergarten through grade 12 education.
new text end

Sec. 4.

Minnesota Statutes 2012, section 124D.522, is amended to read:

124D.522 ADULT BASIC EDUCATION SUPPLEMENTAL SERVICE
GRANTS.

(a) The commissioner, in consultation with the policy review task force under
section 124D.521, may make grants to nonprofit organizations to provide services that
are not offered by a district adult basic education program or that are supplemental to
either the statewide adult basic education program, or a district's adult basic education
program. The commissioner may make grants for: staff development for adult basic
education teachers and administrators; training for volunteer tutors; training, services, and
materials for serving disabled students through adult basic education programs; statewide
promotion of adult basic education services and programs; development and dissemination
of instructional and administrative technology for adult basic education programs;
programs which primarily serve communities of color; adult basic education distance
learning projects, including television instruction programs; and other supplemental
services to support the mission of adult basic education and innovative delivery of adult
basic education services.

(b) The commissioner must establish eligibility criteria and grant application
procedures. Grants under this section must support services throughout the state, focus on
educational results for adult learners, and promote outcome-based achievement through
adult basic education programs. Beginning in fiscal year 2002, the commissioner may
make grants under this section from the state total adult basic education aid set aside for
supplemental service grants under section 124D.531. Up to one-fourth of the appropriation
for supplemental service grants must be used for grants for adult basic education programs
to encourage and support innovations in adult basic education instruction and service
delivery. A grant to a single organization cannot exceed deleted text begin 20deleted text end new text begin 40new text end percent of the total
supplemental services aid. Nothing in this section prevents an approved adult basic
education program from using state or federal aid to purchase supplemental services.

Sec. 5.

Minnesota Statutes 2013 Supplement, section 124D.531, subdivision 1, is
amended to read:

Subdivision 1.

State total adult basic education aid.

(a) The state total adult basic
education aid for fiscal year 2011 equals $44,419,000, plus any amount that is not paid
during the previous fiscal year as a result of adjustments under subdivision 4, paragraph
(a), or section 124D.52, subdivision 3. The state total adult basic education aid for later
fiscal years equals:

(1) the state total adult basic education aid for the preceding fiscal year plus any
amount that is not paid for during the previous fiscal year, as a result of adjustments under
subdivision 4, paragraph (a), or section 124D.52, subdivision 3; times

(2) the lesser of:

(i) deleted text begin 1.025deleted text end new text begin 1.03new text end ; or

(ii) the average growth in state total contact hours over the prior ten program years.

deleted text begin Beginning in fiscal year 2002, twodeleted text end new text begin Threenew text end percent of the state total adult basic
education aid must be set aside for adult basic education supplemental service grants
under section 124D.522.

(b) The state total adult basic education aid, excluding basic population aid, equals
the difference between the amount computed in paragraph (a), and the state total basic
population aid under subdivision 2.

new text begin EFFECTIVE DATE. new text end

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

Sec. 6.

Minnesota Statutes 2012, section 124D.531, subdivision 3, is amended to read:

Subd. 3.

Program revenue.

Adult basic education programs established under
section 124D.52 and approved by the commissioner are eligible for revenue under this
subdivision. For fiscal year 2001 and later, adult basic education revenue for each
approved program equals the sum of:

(1) the basic population aid under subdivision 2 for districts participating in the
program during the current program year; plus

(2) 84 percent times the amount computed in subdivision 1, paragraph (b), times the
ratio of the contact hours for students participating in the program during the first prior
program year to the state total contact hours during the first prior program year; plus

(3) eight percent times the amount computed in subdivision 1, paragraph (b), times
the ratio of the enrollment of English learners during the second prior school year in
districts participating in the program during the current program year to the state total
enrollment of English learners during the second prior school year in districts participating
in adult basic education programs during the current program year; plus

(4) eight percent times the amount computed in subdivision 1, paragraph (b), times
the ratio of the latest federal census count of the number of adults aged deleted text begin 20deleted text end new text begin 25new text end or older
with no diploma residing in the districts participating in the program during the current
program year to the latest federal census count of the state total number of adults aged deleted text begin 20
deleted text end new text begin 25new text end or older with no diploma residing in the districts participating in adult basic education
programs during the current program year.

Sec. 7.

Laws 2013, chapter 116, article 8, section 5, subdivision 2, is amended to read:

Subd. 2.

School readiness.

For revenue for school readiness programs under
Minnesota Statutes, sections 124D.15 and 124D.16:

	$	deleted text begin 10,095,000 deleted text end new text begin 10,458,000 new text end	.....	2014
	$	deleted text begin 10,159,000 deleted text end new text begin 11,809,000 new text end	.....	2015

The 2014 appropriation includes $1,372,000 for 2013 and deleted text begin $8,723,000deleted text end new text begin $9,086,000
new text end for 2014.

The 2015 appropriation includes deleted text begin $1,372,000deleted text end new text begin $1,009,000new text end for 2014 and deleted text begin $8,787,000
deleted text end new text begin $10,800,000new text end for 2015.

Sec. 8.

Laws 2013, chapter 116, article 8, section 5, subdivision 4, is amended to read:

Subd. 4.

Health and developmental screening aid.

For health and developmental
screening aid under Minnesota Statutes, sections 121A.17 and 121A.19:

	$	3,421,000	.....	2014
	$	deleted text begin 3,344,000 deleted text end new text begin 3,569,000 new text end	.....	2015

The 2014 appropriation includes $474,000 for 2013 and $2,947,000 for 2014.

The 2015 appropriation includes $463,000 for 2014 and deleted text begin $2,881,000deleted text end new text begin $3,106,000
new text end for 2015.

Sec. 9.

Laws 2013, chapter 116, article 8, section 5, subdivision 14, is amended to read:

Subd. 14.

Adult basic education aid.

For adult basic education aid under
Minnesota Statutes, section 124D.531:

	$	deleted text begin 47,005,000 deleted text end new text begin 48,782,000 new text end	.....	2014
	$	deleted text begin 48,145,000 deleted text end new text begin 48,415,000 new text end	.....	2015

The 2014 appropriation includes $6,284,000 for 2013 and deleted text begin $40,721,000deleted text end new text begin $42,498,000
new text end for 2014.

The 2015 appropriation includes deleted text begin $6,409,000deleted text end new text begin $4,722,000new text end for 2014 and deleted text begin $41,736,000
deleted text end new text begin $43,693,000new text end for 2015.

Sec. 10. new text begin APPROPRIATIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Department of Education. new text end

new text begin The sums indicated in this section are
appropriated from the general fund to the Department of Education for the fiscal years
designated.
new text end

new text begin Subd. 2. new text end

new text begin Northside Achievement Zone. new text end

new text begin (a) For a grant to the Northside
Achievement Zone:
new text end

1,132,000

.....

2015

new text begin (b) Funds appropriated in this subdivision are to reduce multigenerational poverty
and the educational achievement gap through increased enrollment of families within
the zone, and may be used for Northside Achievement Zone programming and services
consistent with federal Promise Neighborhood program agreements and requirements.
new text end

new text begin (c) The Northside Achievement Zone shall submit a report by October 1, 2015, to
the chairs of the legislative committees with jurisdiction over early childhood through
grade 12 education policy and finance that, at a minimum, summarizes program activities,
specifies performance measures, and analyzes program outcomes.
new text end

new text begin (d) The base appropriation for fiscal years 2016 and 2017 is $1,132,000 for each year.
new text end

new text begin Subd. 3. new text end

new text begin St. Paul Promise Neighborhood. new text end

new text begin (a) For a grant to the St. Paul Promise
Neighborhood:
new text end

1,132,000

.....

2015

new text begin (b) Funds appropriated in this subdivision are to reduce multigenerational poverty
and the educational achievement gap through increased enrollment of families within the
zone, and may be used for St. Paul Promise Neighborhood programming and services
consistent with federal Promise Neighborhood program agreements and requirements.
new text end

new text begin (c) The St. Paul Promise Neighborhood shall submit a report by October 1, 2015, to
the chairs of the legislative committees with jurisdiction over early childhood through
grade 12 education policy and finance that, at a minimum, summarizes program activities,
specifies performance measures, and analyzes program outcomes.
new text end

new text begin (d) The base appropriation for fiscal years 2016 and 2017 is $1,132,000 for each year.
new text end

ARTICLE 7

STATE AGENCIES

Section 1.

Laws 2013, chapter 116, article 9, section 1, subdivision 2, is amended to read:

Subd. 2.

Department.

(a) For the Department of Education:

	$	20,058,000	.....	2014
	$	deleted text begin 19,308,000 deleted text end new text begin 19,716,000 new text end	.....	2015

Any balance in the first year does not cancel but is available in the second year.

(b) $260,000 each year is for the Minnesota Children's Museum.

(d) $50,000 each year is for the Duluth Children's Museum.

(e) $618,000 deleted text begin eachdeleted text end new text begin in fiscal year 2014 and $718,000 in fiscalnew text end year deleted text begin isdeleted text end new text begin 2015 only are
new text end for the Board of Teaching. Any balance in the first year does not cancel but is available
in the second year.

(f) $167,000 deleted text begin eachdeleted text end new text begin in fiscal year 2014 and $225,000 in fiscalnew text end year deleted text begin isdeleted text end new text begin 2015 arenew text end for
the Board of School Administrators. Any balance in the first year does not cancel but
is available in the second year.

(g) new text begin $75,000 in fiscal year 2015 only is for The Works Museum.
new text end

new text begin (h) $50,000 in fiscal year 2015 only is for a grant to the Headwaters Science Center
for hands-on science, technology, engineering, and math (STEM) education.
new text end

new text begin (i) $25,000 each year is for innovation pilot grants under Laws 2012, chapter 263,
section 1.
new text end

new text begin (j) new text end The expenditures of federal grants and aids as shown in the biennial budget
document and its supplements are approved and appropriated and shall be spent as
indicated.

deleted text begin (h)deleted text end new text begin (k)new text end None of the amounts appropriated under this subdivision may be used for
Minnesota's Washington, D.C. office.

deleted text begin (i)deleted text end new text begin (l)new text end $250,000 each year is for the School Finance Division to enhance financial
data analysis.

deleted text begin (j)deleted text end new text begin (m)new text end $750,000 in fiscal year 2014 only is for departmental costs associated with
teacher development and evaluation. Any balance in the first year does not cancel and
is available in the second year.

Sec. 2.

Laws 2013, chapter 116, article 9, section 2, is amended to read:

Sec. 2. APPROPRIATIONS; MINNESOTA STATE ACADEMIES.

The sums indicated in this section are appropriated from the general fund to the
Minnesota State Academies for the Deaf and the Blind for the fiscal years designated:

	$	11,749,000	.....	2014
	$	deleted text begin 11,664,000 deleted text end new text begin 11,964,000 new text end	.....	2015

$85,000 of the fiscal year 2014 appropriation is for costs associated with upgrading
kitchen facilities. Any balance in the first year does not cancel but is available in the
second year.

Sec. 3. new text begin APPROPRIATION; RESPONSES TO HEALTH INSURANCE
TRANSPARENCY ACT BID REQUESTS.
new text end

new text begin (a) $294,000 is appropriated for fiscal year 2015 from the general fund to the
commissioner of management and budget to comply with the requirements relating to
health insurance transparency similar to those proposed in House File 2180, if enacted in
the 2014 regular legislative session. This is a onetime appropriation.
new text end

new text begin (b) If a bill meeting the requirements of paragraph (a) is enacted, the commissioner
of management and budget shall report by January 15, 2015, to the legislative chairs
and ranking minority members with jurisdiction over state government finance on the
ongoing costs incurred by the public employees insurance program in compliance with
the requirements of the health insurance transparency act and may request additional
appropriations, if necessary.
new text end

ARTICLE 8

FORECAST ADJUSTMENTS

A. GENERAL EDUCATION

Section 1.

Laws 2013, chapter 116, article 1, section 58, subdivision 3, is amended to
read:

Subd. 3.

Enrollment options transportation.

For transportation of pupils attending
postsecondary institutions under Minnesota Statutes, section 124D.09, or for transportation
of pupils attending nonresident districts under Minnesota Statutes, section 124D.03:

	$	deleted text begin 44,000 deleted text end new text begin 37,000 new text end	.....	2014
	$	deleted text begin 48,000 deleted text end new text begin 40,000 new text end	.....	2015

Sec. 2.

Laws 2013, chapter 116, article 1, section 58, subdivision 4, is amended to read:

Subd. 4.

Abatement revenue.

For abatement aid under Minnesota Statutes, section
127A.49:

	$	deleted text begin 2,747,000 deleted text end new text begin 2,876,000 new text end	.....	2014
	$	deleted text begin 3,136,000 deleted text end new text begin 3,103,000 new text end	.....	2015

The 2014 appropriation includes $301,000 for 2013 and deleted text begin $2,446,000deleted text end new text begin $2,575,000
new text end for 2014.

The 2015 appropriation includes deleted text begin $385,000deleted text end new text begin $286,000new text end for 2014 and deleted text begin $2,751,000
deleted text end new text begin $2,817,000new text end for 2015.

Sec. 3.

Laws 2013, chapter 116, article 1, section 58, subdivision 5, is amended to read:

Subd. 5.

Consolidation transition.

For districts consolidating under Minnesota
Statutes, section 123A.485:

	$	deleted text begin 472,000 deleted text end new text begin 585,000 new text end	.....	2014
	$	deleted text begin 480,000 deleted text end new text begin 254,000 new text end	.....	2015

The 2014 appropriation includes $40,000 for 2013 and deleted text begin $432,000deleted text end new text begin $545,000new text end for 2014.

The 2015 appropriation includes deleted text begin $68,000deleted text end new text begin $60,000new text end for 2014 and deleted text begin $412,000deleted text end new text begin $194,000
new text end for 2015.

Sec. 4.

Laws 2013, chapter 116, article 1, section 58, subdivision 6, is amended to read:

Subd. 6.

Nonpublic pupil education aid.

For nonpublic pupil education aid under
Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:

	$	deleted text begin 15,582,000 deleted text end new text begin 16,068,000 new text end	.....	2014
	$	deleted text begin 16,169,000 deleted text end new text begin 16,074,000 new text end	.....	2015

The 2014 appropriation includes $2,099,000 for 2013 and deleted text begin $13,483,000deleted text end new text begin $13,969,000
new text end for 2014.

The 2015 appropriation includes deleted text begin $2,122,000deleted text end new text begin $1,552,000new text end for 2014 and deleted text begin $14,047,000
deleted text end new text begin $14,522,000new text end for 2015.

Sec. 5.

Laws 2013, chapter 116, article 1, section 58, subdivision 7, is amended to read:

Subd. 7.

Nonpublic pupil transportation.

For nonpublic pupil transportation aid
under Minnesota Statutes, section 123B.92, subdivision 9:

	$	deleted text begin 18,565,000 deleted text end new text begin 18,566,000 new text end	.....	2014
	$	deleted text begin 18,946,000 deleted text end new text begin 17,646,000 new text end	.....	2015

The 2014 appropriation includes $2,668,000 for 2013 and deleted text begin $15,897,000deleted text end new text begin $15,898,000
new text end for 2014.

The 2015 appropriation includes deleted text begin $2,502,000deleted text end new text begin $1,766,000new text end for 2014 and deleted text begin $16,444,000
deleted text end new text begin $15,880,000new text end for 2015.

Sec. 6.

Laws 2013, chapter 116, article 1, section 58, subdivision 11, is amended to read:

Subd. 11.

Career and technical aid.

For career and technical aid under Minnesota
Statutes, section 124D.4531, subdivision 1b:

	$	deleted text begin 4,320,000 deleted text end new text begin 3,959,000 new text end	.....	2014
	$	deleted text begin 5,680,000 deleted text end new text begin 5,172,000 new text end	.....	2015

The 2014 appropriation includes $0 for 2014 and deleted text begin $4,320,000deleted text end new text begin $3,959,000new text end for 2015.

The 2015 appropriation includes deleted text begin $680,000deleted text end new text begin $439,000new text end for 2014 and deleted text begin $5,000,000
deleted text end new text begin $4,733,000new text end for 2015.

B. EDUCATION EXCELLENCE

Sec. 7.

Laws 2013, chapter 116, article 3, section 37, subdivision 3, is amended to read:

Subd. 3.

Achievement and integration aid.

For achievement and integration aid
under Minnesota Statutes, section 124D.862:

	$	deleted text begin 58,911,000 deleted text end new text begin 55,609,000 new text end	.....	2014
	$	deleted text begin 68,623,000 deleted text end new text begin 62,692,000 new text end	.....	2015

The 2014 appropriation includes $0 for 2013 and deleted text begin $58,911,000deleted text end new text begin $55,609,000new text end for 2014.

The 2015 appropriation includes deleted text begin $9,273,000deleted text end new text begin $6,178,000new text end for 2014 and deleted text begin $59,350,000
deleted text end new text begin $56,514,000new text end for 2015.

Sec. 8.

Laws 2013, chapter 116, article 3, section 37, subdivision 4, is amended to read:

Subd. 4.

Literacy incentive aid.

For literacy incentive aid under Minnesota
Statutes, section 124D.98:

	$	deleted text begin 52,514,000 deleted text end new text begin 50,998,000 new text end	.....	2014
	$	deleted text begin 53,818,000 deleted text end new text begin 47,458,000 new text end	.....	2015

The 2014 appropriation includes $6,607,000 for 2013 and deleted text begin $45,907,000deleted text end new text begin $44,391,000
new text end for 2014.

The 2015 appropriation includes deleted text begin $7,225,000deleted text end new text begin $4,932,000new text end for 2014 and deleted text begin $46,593,000
deleted text end new text begin $42,526,000new text end for 2015.

Sec. 9.

Laws 2013, chapter 116, article 3, section 37, subdivision 5, is amended to read:

Subd. 5.

Interdistrict desegregation or integration transportation grants.

For
interdistrict desegregation or integration transportation grants under Minnesota Statutes,
section 124D.87:

	$	deleted text begin 13,968,000 deleted text end new text begin 13,521,000 new text end	.....	2014
	$	deleted text begin 14,712,000 deleted text end new text begin 14,248,000 new text end	.....	2015

Sec. 10.

Laws 2013, chapter 116, article 3, section 37, subdivision 6, is amended to read:

Subd. 6.

Success for the future.

For American Indian success for the future grants
under Minnesota Statutes, section 124D.81:

	$	deleted text begin 2,137,000 deleted text end new text begin 2,214,000 new text end	.....	2014
	$	2,137,000	.....	2015

The 2014 appropriation includes $290,000 for 2013 and deleted text begin $1,847,000deleted text end new text begin $1,924,000
new text end for 2014.

The 2015 appropriation includes deleted text begin $290,000deleted text end new text begin $213,000new text end for 2014 and deleted text begin $1,847,000
deleted text end new text begin $1,924,000new text end for 2015.

Sec. 11.

Laws 2013, chapter 116, article 3, section 37, subdivision 8, is amended to read:

Subd. 8.

Tribal contract schools.

For tribal contract school aid under Minnesota
Statutes, section 124D.83:

	$	deleted text begin 2,080,000 deleted text end new text begin 2,144,000 new text end	.....	2014
	$	deleted text begin 2,230,000 deleted text end new text begin 2,152,000 new text end	.....	2015

The 2014 appropriation includes $266,000 for 2013 and deleted text begin $1,814,000deleted text end new text begin $1,878,000
new text end for 2014.

The 2015 appropriation includes deleted text begin $285,000deleted text end new text begin $208,000new text end for 2014 and deleted text begin $1,945,000
deleted text end new text begin $1,944,000new text end for 2015.

Sec. 12.

Laws 2013, chapter 116, article 3, section 37, subdivision 20, is amended to
read:

Subd. 20.

Alternative compensation.

For alternative teacher compensation aid
under Minnesota Statutes, section 122A.415, subdivision 4:

60,340,000
71,599,000

.....

2015

The 2015 appropriation includes $0 for 2014 and deleted text begin $59,711,000deleted text end new text begin $71,599,000new text end for 2015.

C. CHARTER SCHOOLS

Sec. 13.

Laws 2013, chapter 116, article 4, section 9, subdivision 2, is amended to read:

Subd. 2.

Charter school building lease aid.

For building lease aid under Minnesota
Statutes, section 124D.11, subdivision 4:

	$	deleted text begin 54,484,000 deleted text end new text begin 54,763,000 new text end	.....	2014
	$	deleted text begin 59,533,000 deleted text end new text begin 58,294,000 new text end	.....	2015

The 2014 appropriation includes $6,819,000 for 2013 and deleted text begin $47,665,000deleted text end new text begin $47,944,000
new text end for 2014.

The 2015 appropriation includes deleted text begin $7,502,000deleted text end new text begin $5,327,000new text end for 2014 and deleted text begin $52,031,000
deleted text end new text begin $52,967,000new text end for 2015.

D. SPECIAL PROGRAMS

Sec. 14.

Laws 2013, chapter 116, article 5, section 31, subdivision 2, is amended to read:

Subd. 2.

Special education; regular.

For special education aid under Minnesota
Statutes, section 125A.75:

	$	deleted text begin 997,725,000 deleted text end new text begin 1,038,514,000 new text end	.....	2014
	$	deleted text begin 1,108,211,000 deleted text end new text begin 1,111,641,000 new text end	.....	2015

The 2014 appropriation includes $118,232,000 for 2013 and deleted text begin $802,884,000
deleted text end new text begin $920,282,000new text end for 2014.

The 2015 appropriation includes deleted text begin $169,929,000deleted text end new text begin $129,549,000new text end for 2014 and
deleted text begin $938,282,000deleted text end new text begin $982,092,000new text end for 2015.

Sec. 15.

Laws 2013, chapter 116, article 5, section 31, subdivision 3, is amended to read:

Subd. 3.

Aid for children with disabilities.

For aid under Minnesota Statutes,
section 125A.75, subdivision 3, for children with disabilities placed in residential facilities
within the district boundaries for whom no district of residence can be determined:

	$	deleted text begin 1,655,000 deleted text end new text begin 1,548,000 new text end	.....	2014
	$	deleted text begin 1,752,000 deleted text end new text begin 1,674,000 new text end	.....	2015

If the appropriation for either year is insufficient, the appropriation for the other
year is available.

Sec. 16.

Laws 2013, chapter 116, article 5, section 31, subdivision 4, is amended to read:

Subd. 4.

Travel for home-based services.

For aid for teacher travel for home-based
services under Minnesota Statutes, section 125A.75, subdivision 1:

	$	deleted text begin 345,000 deleted text end new text begin 351,000 new text end	.....	2014
	$	deleted text begin 355,000 deleted text end new text begin 346,000 new text end	.....	2015

The 2014 appropriation includes $45,000 for 2013 and deleted text begin $300,000deleted text end new text begin $306,000new text end for 2014.

The 2015 appropriation includes deleted text begin $47,000deleted text end new text begin $33,000new text end for 2014 and deleted text begin $308,000deleted text end new text begin $313,000
new text end for 2015.

E. FACILITIES AND TECHNOLOGY

Sec. 17.

Laws 2013, chapter 116, article 6, section 12, subdivision 2, is amended to read:

Subd. 2.

Health and safety revenue.

For health and safety aid according to
Minnesota Statutes, section 123B.57, subdivision 5:

	$	deleted text begin 463,000 deleted text end new text begin 473,000 new text end	.....	2014
	$	deleted text begin 434,000 deleted text end new text begin 651,000 new text end	.....	2015

The 2014 appropriation includes $26,000 for 2013 and deleted text begin $437,000deleted text end new text begin $447,000new text end for 2014.

The 2015 appropriation includes deleted text begin $68,000deleted text end new text begin $49,000new text end for 2014 and deleted text begin $366,000deleted text end new text begin $602,000
new text end for 2015.

Sec. 18.

Laws 2013, chapter 116, article 6, section 12, subdivision 3, is amended to read:

Subd. 3.

Debt service equalization.

For debt service aid according to Minnesota
Statutes, section 123B.53, subdivision 6:

	$	deleted text begin 19,083,000 deleted text end new text begin 19,778,000 new text end	.....	2014
	$	deleted text begin 25,060,000 deleted text end new text begin 22,591,000 new text end	.....	2015

The 2014 appropriation includes $2,397,000 for 2013 and deleted text begin $16,686,000deleted text end new text begin $17,381,000
new text end for 2014.

The 2015 appropriation includes deleted text begin $2,626,000deleted text end new text begin $1,931,000new text end for 2014 and deleted text begin $22,434,000
deleted text end new text begin $20,660,000new text end for 2015.

Sec. 19.

Laws 2013, chapter 116, article 6, section 12, subdivision 4, is amended to read:

Subd. 4.

Alternative facilities bonding aid.

For alternative facilities bonding aid,
according to Minnesota Statutes, section 123B.59, subdivision 1:

	$	deleted text begin 19,287,000 deleted text end new text begin 19,982,000 new text end	.....	2014
	$	19,287,000	.....	2015

The 2014 appropriation includes $2,623,000 for 2013 and deleted text begin $16,664,000deleted text end new text begin $17,359,000
new text end for 2014.

The 2015 appropriation includes deleted text begin $2,623,000deleted text end new text begin $1,928,000new text end for 2014 and deleted text begin $16,664,000
deleted text end new text begin $17,359,000new text end for 2015.

Sec. 20.

Laws 2013, chapter 116, article 6, section 12, subdivision 6, is amended to read:

Subd. 6.

Deferred maintenance aid.

For deferred maintenance aid, according to
Minnesota Statutes, section 123B.591, subdivision 4:

	$	deleted text begin 3,564,000 deleted text end new text begin 3,858,000 new text end	.....	2014
	$	deleted text begin 3,730,000 deleted text end new text begin 4,024,000 new text end	.....	2015

The 2014 appropriation includes $456,000 for 2013 and deleted text begin $3,108,000deleted text end new text begin $3,402,000
new text end for 2014.

The 2015 appropriation includes deleted text begin $489,000deleted text end new text begin $378,000new text end for 2014 and deleted text begin $3,241,000
deleted text end new text begin $3,646,000new text end for 2015.

F. NUTRITION AND LIBRARIES

Sec. 21.

Laws 2013, chapter 116, article 7, section 21, subdivision 3, is amended to read:

Subd. 3.

School breakfast.

For traditional school breakfast aid under Minnesota
Statutes, section 124D.1158:

	$	deleted text begin 5,711,000 deleted text end new text begin 5,308,000 new text end	.....	2014
	$	deleted text begin 6,022,000 deleted text end new text begin 5,607,000 new text end	.....	2015

Sec. 22.

Laws 2013, chapter 116, article 7, section 21, subdivision 4, is amended to read:

Subd. 4.

Kindergarten milk.

For kindergarten milk aid under Minnesota Statutes,
section 124D.118:

	$	deleted text begin 1,039,000 deleted text end new text begin 992,000 new text end	.....	2014
	$	deleted text begin 1,049,000 deleted text end new text begin 1,002,000 new text end	.....	2015

Sec. 23.

Laws 2013, chapter 116, article 7, section 21, subdivision 6, is amended to read:

Subd. 6.

Basic system support.

For basic system support grants under Minnesota
Statutes, section 134.355:

	$	deleted text begin 13,570,000 deleted text end new text begin 14,058,000 new text end	.....	2014
	$	deleted text begin 13,570,000 deleted text end new text begin 13,570,000 new text end	.....	2015

The 2014 appropriation includes $1,845,000 for 2013 and deleted text begin $11,725,000deleted text end new text begin $12,213,000
new text end for 2014.

The 2015 appropriation includes deleted text begin $1,845,000deleted text end new text begin $1,357,000new text end for 2014 and deleted text begin $11,725,000
deleted text end new text begin $12,213,000new text end for 2015.

Sec. 24.

Laws 2013, chapter 116, article 7, section 21, subdivision 7, is amended to read:

Subd. 7.

Multicounty, multitype library systems.

For grants under Minnesota
Statutes, sections 134.353 and 134.354, to multicounty, multitype library systems:

	$	deleted text begin 1,300,000 deleted text end new text begin 1,346,000 new text end	.....	2014
	$	1,300,000	.....	2015

The 2014 appropriation includes $176,000 for 2013 and deleted text begin $1,124,000deleted text end new text begin $1,170,000
new text end for 2014.

The 2015 appropriation includes deleted text begin $176,000deleted text end new text begin $130,000new text end for 2014 and deleted text begin $1,124,000
deleted text end new text begin $1,170,000new text end for 2015.

Sec. 25.

Laws 2013, chapter 116, article 7, section 21, subdivision 9, is amended to read:

Subd. 9.

Regional library telecommunications aid.

For regional library
telecommunications aid under Minnesota Statutes, section 134.355:

	$	deleted text begin 2,300,000 deleted text end new text begin 2,382,000 new text end	.....	2014
	$	2,300,000	.....	2015

The 2014 appropriation includes $312,000 for 2013 and deleted text begin $1,988,000deleted text end new text begin $2,070,000
new text end for 2014.

The 2015 appropriation includes deleted text begin $312,000deleted text end new text begin $230,000new text end for 2014 and deleted text begin $1,988,000
deleted text end new text begin $2,070,000new text end for 2015.

G. EARLY CHILDHOOD EDUCATION, SELF-SUFFICIENCY,
AND LIFELONG LEARNING

Sec. 26.

Laws 2013, chapter 116, article 8, section 5, subdivision 3, is amended to read:

Subd. 3.

Early childhood family education aid.

For early childhood family
education aid under Minnesota Statutes, section 124D.135:

	$	deleted text begin 22,078,000 deleted text end new text begin 22,797,000 new text end	.....	2014
	$	deleted text begin 22,425,000 deleted text end new text begin 22,001,000 new text end	.....	2015

The 2014 appropriation includes $3,008,000 for 2013 and deleted text begin $19,070,000deleted text end new text begin $19,789,000
new text end for 2014.

The 2015 appropriation includes deleted text begin $3,001,000deleted text end new text begin $2,198,000new text end for 2014 and deleted text begin $19,424,000
deleted text end new text begin $19,803,000new text end for 2015.

Sec. 27.

Laws 2013, chapter 116, article 8, section 5, subdivision 10, is amended to read:

Subd. 10.

Community education aid.

For community education aid under
Minnesota Statutes, section 124D.20:

	$	deleted text begin 935,000 deleted text end new text begin 955,000 new text end	.....	2014
	$	deleted text begin 1,056,000 deleted text end new text begin 1,060,000 new text end	.....	2015

The 2014 appropriation includes $118,000 for 2013 and deleted text begin $817,000deleted text end new text begin $837,000new text end for 2014.

The 2015 appropriation includes deleted text begin $128,000deleted text end new text begin $93,000new text end for 2014 and deleted text begin $928,000deleted text end new text begin $967,000
new text end for 2015.

Sec. 28.

Laws 2013, chapter 116, article 8, section 5, subdivision 11, is amended to read:

Subd. 11.

Adults with disabilities program aid.

For adults with disabilities
programs under Minnesota Statutes, section 124D.56:

	$	deleted text begin 710,000 deleted text end new text begin 735,000 new text end	.....	2014
	$	710,000	.....	2015

The 2014 appropriation includes $96,000 for 2013 and deleted text begin $614,000deleted text end new text begin $639,000new text end for 2014.

The 2015 appropriation includes deleted text begin $96,000deleted text end new text begin $71,000new text end for 2014 and deleted text begin $614,000deleted text end new text begin $639,000
new text end for 2015.

HF 3171

Bill Text Versions

Current Version - 2nd Engrossment

ARTICLE 1

GENERAL EDUCATION

Section 1.

Subd. 2.

Reserve revenue.

new text begin EFFECTIVE DATE. new text end

Sec. 2.

Subd. 5.

Levy recognition.

Sec. 3.

Subd. 9.

Enrollment priority.

new text begin EFFECTIVE DATE. new text end

Sec. 4.

Subd. 13.

Financial arrangements.

new text begin EFFECTIVE DATE. new text end

Sec. 5.

Subdivision 1.

General education revenue.

new text begin EFFECTIVE DATE. new text end

Sec. 6.

Subd. 2.

English learner.

new text begin EFFECTIVE DATE. new text end

Sec. 7.

Subd. 5.

School district EL revenue.

new text begin EFFECTIVE DATE. new text end

Sec. 8.

new text begin [124D.695] APPROVED RECOVERY PROGRAM FUNDING. new text end

new text begin Subdivision 1. new text end

new text begin Approved recovery program. new text end

new text begin Subd. 2. new text end

new text begin Eligibility. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 9.

Subd. 15.

Learning year pupil units.

Sec. 10.

Subd. 2.

Basic revenue.

new text begin EFFECTIVE DATE. new text end

Sec. 11.

Subd. 2a.

Extended time revenue.

new text begin EFFECTIVE DATE. new text end

Sec. 12.

Subd. 24.

Equity revenue.

new text begin EFFECTIVE DATE. new text end

Sec. 13.

Subd. 25.

Regional equity gap.

new text begin EFFECTIVE DATE. new text end

Sec. 14.

Subd. 26.

District equity gap.

new text begin EFFECTIVE DATE. new text end

Sec. 15.

Subd. 31.

Transition revenue.

new text begin EFFECTIVE DATE. new text end

Sec. 16.

Subd. 6.

Referendum equalization levy.

Sec. 17.

Subd. 7b.

Referendum aid guarantee.

new text begin EFFECTIVE DATE. new text end

Sec. 18.

Subd. 9.

Referendum revenue.

new text begin EFFECTIVE DATE. new text end

Sec. 19.

Subd. 9a.

Board-approved referendum allowance.

new text begin [124D.695] APPROVED RECOVERY PROGRAM FUNDING.
new text end

Section 1. INNOVATIVE DELIVERY OF EDUCATION SERVICES AND
SHARING OF DISTRICT RESOURCES; PILOT PROJECT.

Sec. 27. new text begin APPROPRIATIONS.
new text end

Sec. 28. new text begin REVISOR'S INSTRUCTION.
new text end

Sec. 8. new text begin BETTER ALIGNING MINNESOTA'S ALTERNATIVE TEACHER
PROFESSIONAL PAY SYSTEM AND TEACHER DEVELOPMENT AND
EVALUATION PROGRAM.
new text end

Sec. 9. new text begin CAREER AND TECHNICAL EDUCATION PROGRAM INVENTORY.
new text end

Sec. 10. new text begin APPROPRIATIONS.
new text end