1.1 	A bill for an act
1.2 	relating to education finance; increasing funding for special education programs; 
1.3 	reducing the special education cross subsidy; eliminating the state caps on special 
1.4 	education funding; appropriating money;amending Minnesota Statutes 2012, 
1.5 	sections 125A.76, subdivision 4; 125A.79, subdivision 6.
1.6 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7 	Section 1. Minnesota Statutes 2012, section 125A.76, subdivision 4, is amended to read:
1.8 		Subd. 4.State total special education aid. The state total special education 
1.9 	aid equals ~~$529,247,000 for fiscal year 2007, $694,063,000 for fiscal year 2008,~~ 
1.10 	~~$719,470,000 for fiscal year 2009, $735,693,000~~ $870,072,000 for fiscal year ~~2010,~~
1.11 	 2013 and ~~$786,586,000~~ $966,000,000 for fiscal year ~~2011~~ 2014. The state total special 
1.12 	education aid ~~for later~~ is uncapped for fiscal years ~~equals:~~
1.13 	~~(1) the state total special education aid for the preceding fiscal year; times~~
1.14 	~~(2) the program growth factor; times~~
1.15 	~~(3) the greater of one, or the ratio of the state total average daily membership for~~ 
1.16 	~~the current fiscal year to the state total average daily membership for the preceding fiscal~~ 
1.17 	~~year~~ 2015 and later.

1.18 	EFFECTIVE DATE. This section is effective for revenue for fiscal year 2014 
1.19 	and later.

1.20 	Sec. 2. Minnesota Statutes 2012, section 125A.79, subdivision 6, is amended to read:
1.21 		Subd. 6.State total special education excess cost aid. The state total special 
1.22 	education excess cost aid equals ~~$104,700,000 for fiscal year 2007, $110,641,000 for~~ 
1.23 	~~fiscal year 2008, $110,918,000 for fiscal year 2009, $110,847,000~~ $116,640,000 for 
2.1 	fiscal year ~~2010,~~ 2013 and ~~$110,892,000~~ $121,415,000 for fiscal year ~~2011~~ 2014. The 
2.2 	state total special education excess cost aid ~~for~~ is uncapped for fiscal year 2015 and later 
2.3 	fiscal years ~~equals:~~
2.4 	~~(1) the state total special education excess cost aid for the preceding fiscal year; times~~
2.5 	~~(2) the program growth factor; times~~
2.6 	~~(3) the greater of one, or the ratio of the state total average daily membership for the~~ 
2.7 	~~current fiscal year to the state total average daily membership for the preceding fiscal year~~.

2.8 	EFFECTIVE DATE. This section is effective for revenue for fiscal year 2014 
2.9 	and later.

2.10 	Sec. 3. APPROPRIATIONS.
 2.11 		Subdivision 1.Department of Education. The sums indicated in this section are 
2.12 	appropriated from the general fund to the Department of Education for the fiscal years 
2.13 	designated.
2.14 		Subd. 2.Special education; regular. For special education aid under Minnesota 
2.15 	Statutes, section 125A.75:

2.16 | | $ | 949,212,000 | ..... | 2014
2.17 | | $ | 1,043,005,000 | ..... | 2015
2.18 	The 2014 appropriation includes $152,262,000 for 2013 and $796,950,000 for 2014.
2.19 	The 2015 appropriation includes $169,050,000 for 2014 and $873,955,000 for 2015.
2.20 		Subd. 3.Special education; excess costs. For excess cost aid under Minnesota 
2.21 	Statutes, section 125A.79, subdivision 7:

2.22 | | $ | 119,555,000 | ..... | 2014
2.23 | | $ | 127,550,000 | ..... | 2015
2.24 	The 2014 appropriation includes $45,431,000 for 2013 and $74,124,000 for 2014.
2.25 	The 2015 appropriation includes $47,291,000 for 2014 and $80,259,000 for 2015.