1.1                          A bill for an act 
  1.2             relating to state government; families and early 
  1.3             childhood education; kindergarten through grade 12; 
  1.4             providing for general education; special programs; 
  1.5             lifework development; facilities and technology; 
  1.6             education excellence; other programs; nutrition 
  1.7             programs; libraries; children and family support 
  1.8             programs; community and systems change; prevention and 
  1.9             intervention; self-sufficiency and lifelong learning; 
  1.10            state agencies; appropriating money; amending 
  1.11            Minnesota Statutes 1998, sections 13.46, subdivision 
  1.12            2; 16B.405, subdivision 2; 119A.01; 119B.01, 
  1.13            subdivisions 2, 10, 12, 13, 15, 16, and 17; 119B.02, 
  1.14            subdivision 1, and by adding a subdivision; 119B.03, 
  1.15            subdivisions 3, 4, and 9; 119B.04, subdivision 1; 
  1.16            119B.05, subdivision 1; 119B.061; 119B.07; 119B.08, 
  1.17            subdivision 3; 119B.09, subdivisions 1, 3, 5, and 7; 
  1.18            119B.10, subdivision 1; 119B.12, subdivision 2; 
  1.19            119B.13; 119B.14; 119B.15; 120A.24, subdivision 1; 
  1.20            121.8355, by adding a subdivision; 122A.26, by adding 
  1.21            a subdivision; 123A.05, subdivision 2; 123A.48, 
  1.22            subdivision 10; 123B.92, subdivision 9; 124C.55, by 
  1.23            adding a subdivision; 124D.11, subdivisions 1, 6, and 
  1.24            by adding a subdivision; 124D.19, subdivision 11; 
  1.25            124D.22; 124D.453, subdivisions 3 and 5; 124D.454, 
  1.26            subdivision 5; 124D.53, subdivision 3; 124D.54, 
  1.27            subdivision 1; 124D.65, subdivision 4; 124D.86, 
  1.28            subdivision 6; 124D.88, subdivision 3; 124D.94, 
  1.29            subdivisions 3, 6, and 7; 125A.76, subdivisions 1 and 
  1.30            4; 125A.79, subdivisions 1, 2, and by adding 
  1.31            subdivisions; 125B.05, subdivision 3; 126C.05, 
  1.32            subdivision 15; 126C.10, subdivisions 1, 2, 4, and by 
  1.33            adding a subdivision; 126C.12; 126C.13, subdivision 2; 
  1.34            126C.15; 126C.17, subdivision 5; 126C.46; 127A.45, 
  1.35            subdivision 2; 127A.47, subdivisions 7 and 8; and 
  1.36            466.01, subdivision 1; Laws 1992, chapter 499, article 
  1.37            7, section 31, as amended; and Laws 1996, chapter 412, 
  1.38            article 1, section 35; proposing coding for new law in 
  1.39            Minnesota Statutes, chapter 124D; repealing Minnesota 
  1.40            Statutes 1998, sections 119A.04, subdivision 5; 
  1.41            119A.46; 119B.01, subdivision 12a; 119B.03, 
  1.42            subdivision 7; 119B.05, subdivision 6; 119B.075; 
  1.43            119B.17; 122A.31; 123B.64, subdivisions 1, 2, 3, and 
  1.44            4; 123B.89; 123B.90; 123B.91; 123B.92, subdivisions 2, 
  1.45            4, 6, 7, 8, and 10; 124D.112; 124D.14; 124D.22; 
  1.46            124D.24; 124D.25; 124D.26; 124D.27; 124D.28; 124D.29; 
  2.1             124D.30; 124D.453, subdivision 1; 124D.65, subdivision 
  2.2             3; 124D.70; 124D.90; 125A.09; 125A.76, subdivision 6; 
  2.3             125A.77; 125A.79, subdivision 3 and 127A.41, 
  2.4             subdivisions 8 and 9; 134.155; 136A.233; Laws 1995, 
  2.5             First Special Session chapter 3, article 3, section 
  2.6             11; Laws 1997, First Special Session chapter 4, 
  2.7             article 1, section 62, subdivision 5; Laws 1997, First 
  2.8             Special Session chapter 4, article 2, section 51, 
  2.9             subdivision 10; Laws 1997, First Special Session 
  2.10            chapter 4, article 3, section 5; and article 8, 
  2.11            section 5; and Laws 1998, chapter 398, article 2, 
  2.12            section 57. 
  2.13  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  2.14                             ARTICLE 1 
  2.15                         GENERAL EDUCATION 
  2.16     Section 1.  Minnesota Statutes 1998, section 123B.92, 
  2.17  subdivision 9, is amended to read: 
  2.18     Subd. 9.  [NONPUBLIC PUPIL TRANSPORTATION AID.] (a) A 
  2.19  district's nonpublic pupil transportation aid for the 1996-1997 
  2.20  and later school years for transportation services for nonpublic 
  2.21  school pupils according to sections 123B.88, 123B.84 to 123B.86, 
  2.22  and this section, equals the sum of the amounts computed in 
  2.23  paragraphs (b) and (c).  This aid does not limit the obligation 
  2.24  to transport pupils under sections 123B.84 to 123B.87. 
  2.25     (b) For regular and excess transportation according to 
  2.26  subdivision 1, paragraph (b), clauses (1) and (2), an amount 
  2.27  equal to the product of: 
  2.28     (1) the district's actual expenditure per pupil transported 
  2.29  in the regular and excess transportation categories during the 
  2.30  second preceding school year; times 
  2.31     (2) the number of nonpublic school pupils residing in the 
  2.32  district who receive regular or excess transportation service or 
  2.33  reimbursement for the current school year; times 
  2.34     (3) the ratio of the formula allowance pursuant to section 
  2.35  126C.10, subdivision 2, for the current school year to the 
  2.36  formula allowance pursuant to section 126C.10, subdivision 2, 
  2.37  for the second preceding school year. 
  2.38     (c) For nonpublic nonregular transportation according to 
  2.39  subdivision 1, paragraph (b), clause (5), an amount equal to the 
  2.40  product of: 
  2.41     (1) the district's actual expenditure for nonpublic 
  3.1   nonregular transportation during the second preceding school 
  3.2   year; times 
  3.3      (2) the ratio of the formula allowance pursuant to section 
  3.4   126C.10, subdivision 2, for the current school year to the 
  3.5   formula allowance pursuant to section 126C.10, subdivision 2, 
  3.6   for the second preceding school year. 
  3.7      (d) Notwithstanding the amount of the formula allowance for 
  3.8   fiscal years 1997 and 1998 2000, 2001, and 2002 in section 
  3.9   126C.10, subdivision 2, the commissioner shall use the amount of 
  3.10  the formula allowance for the current year less $300 plus $130 
  3.11  in determining the nonpublic pupil transportation revenue in 
  3.12  paragraphs (b) and (c) for fiscal years 1997 and 1998 year 2000, 
  3.13  and the amount of the formula allowance less $67 in determining 
  3.14  the nonpublic pupil transportation revenue in paragraphs (b) and 
  3.15  (c) for fiscal years 2001 and 2002. 
  3.16     Sec. 2.  Minnesota Statutes 1998, section 126C.05, 
  3.17  subdivision 15, is amended to read: 
  3.18     Subd. 15.  [LEARNING YEAR PUPIL UNITS.] (a) When a pupil is 
  3.19  enrolled in a learning year program under section 124D.128, an 
  3.20  area learning center under sections 123A.05 and 123A.06, an 
  3.21  alternative program approved by the commissioner, or a contract 
  3.22  alternative program under section 124D.68, subdivision 3, 
  3.23  paragraph (d), or subdivision 3a, for more than 1,020 1,038 
  3.24  hours in a school year for a secondary student, more than 
  3.25  935 952 hours in a school year for an elementary student, or 
  3.26  more than 425 433 hours in a school year for a kindergarten 
  3.27  student without a disability, that pupil may be counted as more 
  3.28  than one pupil in average daily membership.  The amount in 
  3.29  excess of one pupil must be determined by the ratio of the 
  3.30  number of hours of instruction provided to that pupil in excess 
  3.31  of:  (i) the greater of 1,020 1,038 hours or the number of hours 
  3.32  required for a full-time secondary pupil in the district 
  3.33  to 1,020 1,038 for a secondary pupil; (ii) the greater of 935 
  3.34  952 hours or the number of hours required for a full-time 
  3.35  elementary pupil in the district to 935 952 for an elementary 
  3.36  pupil in grades 1 through 6; and (iii) the greater of 425 433 
  4.1   hours or the number of hours required for a full-time 
  4.2   kindergarten student without a disability in the district to 425 
  4.3   433 for a kindergarten student without a disability.  Hours that 
  4.4   occur after the close of the instructional year in June shall be 
  4.5   attributable to the following fiscal year.  A kindergarten 
  4.6   student must not be counted as more than 1.2 pupils in average 
  4.7   daily membership under this subdivision. 
  4.8      (b)(i) To receive general education revenue for a pupil in 
  4.9   an alternative program that has an independent study component, 
  4.10  a district must meet the requirements in this paragraph.  The 
  4.11  district must develop, with the pupil, a continual learning plan 
  4.12  for the pupil.  A district must allow a minor pupil's parent or 
  4.13  guardian to participate in developing the plan, if the parent or 
  4.14  guardian wants to participate.  The plan must identify the 
  4.15  learning experiences and expected outcomes needed for 
  4.16  satisfactory credit for the year and for graduation.  The plan 
  4.17  must be updated each year.  Each school district that has a 
  4.18  state-approved public alternative program must reserve revenue 
  4.19  in an amount equal to at least 90 percent of the district 
  4.20  average general education revenue per pupil unit less 
  4.21  compensatory revenue per pupil unit times the number of pupil 
  4.22  units generated by students attending a state-approved public 
  4.23  alternative program.  The amount of reserved revenue available 
  4.24  under this subdivision may only be spent for program costs 
  4.25  associated with the state-approved public alternative program.  
  4.26  Compensatory revenue must be allocated according to section 
  4.27  126C.15, subdivision 2. 
  4.28     (ii) General education revenue for a pupil in an approved 
  4.29  alternative program without an independent study component must 
  4.30  be prorated for a pupil participating for less than a full year, 
  4.31  or its equivalent.  Each school district that has a 
  4.32  state-approved public alternative program must reserve revenue 
  4.33  in an amount equal to at least 90 percent of the district 
  4.34  average general education revenue per pupil unit less 
  4.35  compensatory revenue per pupil unit times the number of pupil 
  4.36  units generated by students attending a state-approved public 
  5.1   alternative program.  The amount of reserved revenue available 
  5.2   under this subdivision may only be spent for program costs 
  5.3   associated with the state-approved public alternative program.  
  5.4   Compensatory revenue must be allocated according to section 
  5.5   126C.15, subdivision 2.  
  5.6      (iii) General education revenue for a pupil in an approved 
  5.7   alternative program that has an independent study component must 
  5.8   be paid for each hour of teacher contact time and each hour of 
  5.9   independent study time completed toward a credit or graduation 
  5.10  standards necessary for graduation.  Average daily membership 
  5.11  for a pupil shall equal the number of hours of teacher contact 
  5.12  time and independent study time divided by 1,020. 
  5.13     (iv) For an alternative program having an independent study 
  5.14  component, the commissioner shall require a description of the 
  5.15  courses in the program, the kinds of independent study involved, 
  5.16  the expected learning outcomes of the courses, and the means of 
  5.17  measuring student performance against the expected outcomes.  
  5.18     Sec. 3.  Minnesota Statutes 1998, section 126C.10, 
  5.19  subdivision 1, is amended to read: 
  5.20     Subdivision 1.  [GENERAL EDUCATION REVENUE.] For fiscal 
  5.21  year 1999 2000 and thereafter, the general education revenue for 
  5.22  each district equals the sum of the district's basic 
  5.23  revenue, class size reduction revenue, basic skills revenue, 
  5.24  training and experience revenue, secondary sparsity revenue, 
  5.25  elementary sparsity revenue, transportation sparsity revenue, 
  5.26  total operating capital revenue, graduation standards 
  5.27  implementation revenue, transition revenue, and supplemental 
  5.28  revenue. 
  5.29     Sec. 4.  Minnesota Statutes 1998, section 126C.10, 
  5.30  subdivision 2, is amended to read: 
  5.31     Subd. 2.  [BASIC REVENUE.] The basic revenue for each 
  5.32  district equals the formula allowance times the sum of the 
  5.33  resident pupil units plus .25 times the pupil units for 
  5.34  prekindergarten pupils with a disability under section 126C.05, 
  5.35  subdivision 1, paragraph (a), for the school year.  The formula 
  5.36  allowance for fiscal year 1997 is $3,505.  The formula allowance 
  6.1   for fiscal year 1998 is $3,581 and.  The formula allowance for 
  6.2   fiscal year 1999 and fiscal year 2000 is $3,530.  The formula 
  6.3   allowance for fiscal year 2000 is $3,618.  The formula allowance 
  6.4   for fiscal year 2001 and subsequent fiscal years 
  6.5   is $3,597 $3,779. 
  6.6      Sec. 5.  Minnesota Statutes 1998, section 126C.10, 
  6.7   subdivision 4, is amended to read: 
  6.8      Subd. 4.  [BASIC SKILLS REVENUE.] For fiscal year 1999 and 
  6.9   thereafter, a school district's basic skills revenue equals the 
  6.10  sum of: 
  6.11     (1) compensatory revenue under subdivision 3; plus 
  6.12     (2) limited English proficiency revenue according to 
  6.13  section 124D.65, subdivision 5; plus 
  6.14     (3) $190 times the limited English proficiency pupil units 
  6.15  according to section 126C.05, subdivision 17; plus 
  6.16     (4) the lesser of:  (i) $22.50 times the number of adjusted 
  6.17  pupil units in kindergarten to grade 8; or (ii) the amount of 
  6.18  district money provided to match basic skills revenue for the 
  6.19  purposes described in section 126C.15. 
  6.20     Sec. 6.  Minnesota Statutes 1998, section 126C.10, is 
  6.21  amended by adding a subdivision to read: 
  6.22     Subd. 23.  [CLASS SIZE REDUCTION REVENUE.] The class size 
  6.23  reduction revenue for a district with an approved plan under 
  6.24  section 126C.12, subdivision 6, equals the sum of $185 times the 
  6.25  average daily membership in regular kindergarten plus $370 times 
  6.26  the average daily membership in grades 1 through 3. 
  6.27     Sec. 7.  Minnesota Statutes 1998, section 126C.12, is 
  6.28  amended to read: 
  6.29     126C.12 [CLASS SIZE REDUCTION AND LEARNING AND DEVELOPMENT 
  6.30  REVENUE AMOUNT AND USE.] 
  6.31     Subdivision 1.  [REVENUE.] Of a district's general 
  6.32  education revenue an amount equal to the sum of (1) the class 
  6.33  size reduction revenue under section 126C.10, subdivision 23, 
  6.34  plus (2) the sum of the number of elementary fund balance pupils 
  6.35  in average daily membership defined in section 126C.05, 
  6.36  subdivision 5, and one-half of the number of kindergarten fund 
  7.1   balance pupils in average daily membership as defined in section 
  7.2   126C.05, subdivision 5, times .06 for fiscal year 1995 and 
  7.3   thereafter times the formula allowance must be reserved 
  7.4   according to this section. 
  7.5      Subd. 2.  [INSTRUCTOR DEFINED DEFINITIONS.] Primary 
  7.6   instructor (a) "Classroom teacher" means a public employee 
  7.7   licensed by the board of teaching who is authorized to teach all 
  7.8   subjects to children in kindergarten through grade 6 and whose 
  7.9   duties are full-time regular classroom instruction, excluding a 
  7.10  teacher for whom federal aids are received or for whom 
  7.11  categorical aids are received pursuant to sections section 
  7.12  125A.76 and 125A.77 or who is an itinerant teacher or provides 
  7.13  instruction outside of the regular classroom.  Except as 
  7.14  provided in section 122A.68, subdivision 6, instructor classroom 
  7.15  teacher does not include supervisory and support personnel, 
  7.16  except school social workers as defined in section 122A.15.  An 
  7.17  instructor A classroom teacher whose duties are less than 
  7.18  full-time instruction must be included as an equivalent only for 
  7.19  the number of hours of instruction in grades kindergarten 
  7.20  through 6 grade 3.  
  7.21     (b) "Class size" means the district wide ratio of the 
  7.22  number of full-time students in grades kindergarten through 3 
  7.23  served at least 40 percent of the time in regular classrooms to 
  7.24  the number of full-time classroom teachers in grades 
  7.25  kindergarten through 3, determined as of October 1. 
  7.26     Subd. 3.  [INSTRUCTION CONTACT TIME.] Instruction may be 
  7.27  provided by a primary instructor, classroom teacher or by a team 
  7.28  of instructors, or by teacher resident supervised by a primary 
  7.29  instructor classroom teachers.  The district must 
  7.30  maximize instructor classroom teacher to learner average 
  7.31  instructional contact time. 
  7.32     Subd. 4.  [REVENUE USE.] (a) Revenue must be used according 
  7.33  to either paragraph (b) or (c). 
  7.34     (b) Revenue must be used to reduce and maintain the 
  7.35  district's instructor to learner ratios average class size in 
  7.36  kindergarten through grade 6 3 to a level of 1 to 17 on 
  8.1   average.  The district must prioritize the use of the revenue to 
  8.2   attain this level initially in kindergarten and grade 1 and then 
  8.3   through the subsequent grades as revenue is available.  
  8.4      (c) The revenue may be used to prepare and use an 
  8.5   individualized learning plan for each learner.  A district must 
  8.6   not increase the district wide instructor-to-learner ratios 
  8.7   class sizes in other grades as a result of 
  8.8   reducing instructor-to-learner ratios class sizes in 
  8.9   kindergarten through grade 6 3.  Revenue may not be used to 
  8.10  provide instructor preparation time or to provide the district's 
  8.11  share of revenue required under section 124D.67.  A district may 
  8.12  use a portion of the revenue reserved under this section to 
  8.13  employ up to the same number of full-time equivalent education 
  8.14  assistants or aides as the district employed during the 
  8.15  1992-1993 school year under Minnesota Statutes 1992, section 
  8.16  124.331, subdivision 2 instructors not meeting the definition of 
  8.17  a classroom teacher under subdivision 2 as the district employed 
  8.18  during the 1998-1999 school year under this section. 
  8.19     Subd. 5.  [ADDITIONAL REVENUE USE.] If the board of a 
  8.20  district determines that the district has achieved and is 
  8.21  maintaining the instructor-to-learner ratios class sizes 
  8.22  specified in subdivision 4 and is using individualized learning 
  8.23  plans, or has received a waiver from the commissioner under 
  8.24  subdivision 6, the board may use the revenue to reduce class 
  8.25  sizes in grades 4 through 6, provide full-day kindergarten, 
  8.26  employ additional education assistants or aides, improve program 
  8.27  offerings, purchase instructional material and, services, or 
  8.28  technology, provide staff development needed for 
  8.29  reduced instructor-to-learner ratios. If additional revenue 
  8.30  remains, the district must use the revenue to improve program 
  8.31  offerings, including programs provided through interactive 
  8.32  television, throughout the district or other general education 
  8.33  purposes class sizes, or for other strategies to improve student 
  8.34  achievement, according to the district's plan approved under 
  8.35  subdivision 6. 
  8.36     Subd. 6.  [APPROVED PLAN.] (a) A district is eligible for 
  9.1   class size reduction revenue under section 126C.10, subdivision 
  9.2   23, if the school board adopts a biennial class size reduction, 
  9.3   learning and development plan, and the plan is approved by the 
  9.4   commissioner. 
  9.5      (b) The plan must include the actual class size as defined 
  9.6   in subdivision 2, paragraph (b), for kindergarten through grade 
  9.7   3 for fiscal year 1999, the number of additional classroom 
  9.8   teachers to be employed each year of the biennium to reduce 
  9.9   class size below the fiscal year 1999 level, and the proposed 
  9.10  class size for kindergarten through grade 3 for each year of the 
  9.11  biennium.  The plan must also include a budget summary for the 
  9.12  class size reduction and learning and development revenue in the 
  9.13  format prescribed by the commissioner in consultation with 
  9.14  districts and a statement of assurance that the expenditures 
  9.15  under the plan supplement, not supplant, programs provided by 
  9.16  the district during fiscal year 1999 using other revenue sources.
  9.17     (c) The first priority for the use of class size reduction 
  9.18  revenue must be to reduce the district average class size from 
  9.19  the district's fiscal year 1999 level to 17 for kindergarten 
  9.20  through grade 3.  If the district faces classroom space 
  9.21  constraints, the board must consider all available options for 
  9.22  increasing the amount of classroom space available for 
  9.23  kindergarten through grade 3, including reallocating existing 
  9.24  space through changes in the grade levels assigned to school 
  9.25  buildings, and increasing overall space through building leases, 
  9.26  additions, or new construction. 
  9.27     (d) If the district has achieved a class size of 17 for 
  9.28  reading and math instruction in kindergarten through grade 3 and 
  9.29  there are exceptional circumstances, including unavoidable 
  9.30  classroom space constraints, statutory operating debt, or the 
  9.31  loss of operating referendum authority, a district may apply to 
  9.32  the commissioner for a waiver from the requirement that the 
  9.33  class size reduction revenue be used first to reduce the 
  9.34  district average class size from the district's fiscal year 1999 
  9.35  level to 17 for kindergarten through grade 3 by describing in 
  9.36  its plan the rationale for the waiver. 
 10.1      (e) A district's biennial class size reduction, learning 
 10.2   development plan must be submitted to the commissioner by August 
 10.3   15 of each odd-numbered year. 
 10.4      Subd. 7.  [ANNUAL REPORT.] By August 15 each year, a 
 10.5   district receiving class size reduction revenue must submit a 
 10.6   report to the commissioner in the manner prescribed by the 
 10.7   commissioner in consultation with districts.  The report must 
 10.8   include the district's class size as defined in subdivision 2, 
 10.9   paragraph (b), for kindergarten through grade 3 and a summary of 
 10.10  the district's actual expenditures by program component for the 
 10.11  preceding fiscal year.  In the district's report required under 
 10.12  section 120B.11, subdivision 5, districts receiving revenue 
 10.13  under this section shall include data measuring the impact of 
 10.14  class size reduction on student achievement. 
 10.15     Sec. 8.  Minnesota Statutes 1998, section 126C.13, 
 10.16  subdivision 2, is amended to read: 
 10.17     Subd. 2.  [GENERAL EDUCATION LEVY.] To obtain general 
 10.18  education revenue, excluding transition revenue and supplemental 
 10.19  revenue, a district may levy an amount not to exceed the general 
 10.20  education tax rate times the adjusted net tax capacity of the 
 10.21  district for the preceding year.  If the amount of the general 
 10.22  education levy would exceed the general education revenue, 
 10.23  excluding transition revenue and supplemental revenue, the 
 10.24  general education levy must be determined according to 
 10.25  subdivision 3.  
 10.26     Sec. 9.  Minnesota Statutes 1998, section 126C.15, is 
 10.27  amended to read: 
 10.28     126C.15 [COMPENSATORY EDUCATION BASIC SKILLS REVENUE.] 
 10.29     Subdivision 1.  [USE OF THE REVENUE.] The compensatory 
 10.30  education basic skills revenue under section 126C.10, 
 10.31  subdivision 3 4, and the portion of the transition revenue 
 10.32  adjustment under section 126C.10, subdivision 20, attributable 
 10.33  to the compensatory transition allowance under section 126C.10, 
 10.34  subdivision 19, paragraph (b), must be reserved and used to meet 
 10.35  the educational needs of pupils who enroll under-prepared to 
 10.36  learn and whose progress toward meeting state or local content 
 11.1   or performance standards is below the level that is appropriate 
 11.2   for learners of their age.  Any of the following may be provided 
 11.3   to meet these learners' needs: 
 11.4      (1) direct instructional services under the assurance of 
 11.5   mastery program according to section 124D.66; 
 11.6      (2) remedial instruction in reading, language arts, 
 11.7   mathematics, other content areas, or study skills to improve the 
 11.8   achievement level of these learners; 
 11.9      (3) additional teachers and teacher aides to provide more 
 11.10  individualized instruction to these learners through individual 
 11.11  tutoring, lower instructor-to-learner ratios, or team teaching; 
 11.12     (4) a longer school day or week during the regular school 
 11.13  year or through a summer program that may be offered directly by 
 11.14  the site or under a performance-based contract with a 
 11.15  community-based organization; 
 11.16     (5) comprehensive and ongoing staff development consistent 
 11.17  with district and site plans according to section 122A.60, for 
 11.18  teachers, teacher aides, principals, and other personnel to 
 11.19  improve their ability to identify the needs of these learners 
 11.20  and provide appropriate remediation, intervention, 
 11.21  accommodations, or modifications; 
 11.22     (6) instructional materials and technology appropriate for 
 11.23  meeting the individual needs of these learners; 
 11.24     (7) programs to reduce truancy, encourage completion of 
 11.25  high school, enhance self-concept, provide health services, 
 11.26  provide nutrition services, provide a safe and secure learning 
 11.27  environment, provide coordination for pupils receiving services 
 11.28  from other governmental agencies, provide psychological services 
 11.29  to determine the level of social, emotional, cognitive, and 
 11.30  intellectual development, and provide counseling services, 
 11.31  guidance services, and social work services; 
 11.32     (8) bilingual programs, bicultural programs, and programs 
 11.33  for learners of limited English proficiency; 
 11.34     (9) all day kindergarten; 
 11.35     (10) extended school day and extended school year programs; 
 11.36     (11) substantial parent involvement in developing and 
 12.1   implementing remedial education or intervention plans for a 
 12.2   learner, including learning contracts between the school, the 
 12.3   learner, and the parent that establish achievement goals and 
 12.4   responsibilities of the learner and the learner's parent or 
 12.5   guardian; and 
 12.6      (12) other methods to increase achievement, as needed.  
 12.7      Subd. 2.  [BUILDING ALLOCATION.] (a) A district must 
 12.8   allocate its compensatory revenue to each school building in the 
 12.9   district where the children who have generated the revenue are 
 12.10  served. 
 12.11     (b) Notwithstanding paragraph (a), for fiscal years 1999 
 12.12  and 2000, upon approval by the commissioner, a district may 
 12.13  allocate up to five percent of the amount of compensatory 
 12.14  revenue that the district would have received under section 
 12.15  126C.10, subdivision 3, for fiscal year 1998 to school sites 
 12.16  according to a plan adopted by the school board. 
 12.17     (c) For the purposes of this section and section 126C.05, 
 12.18  subdivision 3, "building" means education site as defined in 
 12.19  section 123B.04, subdivision 1. 
 12.20     (d) If the pupil is served at a site other than one owned 
 12.21  and operated by the district, the revenue shall be paid to the 
 12.22  district and used for services for pupils who generate the 
 12.23  revenue. 
 12.24     Subd. 3.  [RECOMMENDATION.] A school site decision-making 
 12.25  team, as defined in section 123B.04, subdivision 3, paragraph 
 12.26  (a), or the instruction and curriculum advisory committee under 
 12.27  section 120B.11, if the school has no school site decision team, 
 12.28  shall recommend how the compensatory education revenue will be 
 12.29  used to carry out the purpose of this section. 
 12.30     Subd. 4.  [SEPARATE ACCOUNTS.] Each district that 
 12.31  receives compensatory education basic skills revenue shall 
 12.32  maintain separate accounts to identify expenditures for salaries 
 12.33  and programs related to basic skills revenue. 
 12.34     Subd. 5.  [ANNUAL EXPENDITURE REPORT.] Each year a district 
 12.35  that receives compensatory education basic skills revenue must 
 12.36  submit a report identifying the expenditures it incurred to meet 
 13.1   the needs of eligible learners under subdivision 1.  The report 
 13.2   must conform to uniform financial and reporting standards 
 13.3   established for this purpose. 
 13.4      Sec. 10.  Minnesota Statutes 1998, section 126C.17, 
 13.5   subdivision 5, is amended to read: 
 13.6      Subd. 5.  [REFERENDUM EQUALIZATION REVENUE.] (a) A 
 13.7   district's referendum equalization revenue equals $350 the 
 13.8   referendum equalization allowance times the district's resident 
 13.9   pupil units for that year.  
 13.10     (b) The referendum equalization allowance equals $350 for 
 13.11  fiscal year 2000, $415 for fiscal year 2001, $455 for fiscal 
 13.12  year 2002, and $465 for fiscal year 2003 and later. 
 13.13     (c) Referendum equalization revenue must not exceed a 
 13.14  district's total referendum revenue for that year. 
 13.15     Sec. 11.  Minnesota Statutes 1998, section 127A.45, 
 13.16  subdivision 2, is amended to read: 
 13.17     Subd. 2.  [DEFINITIONS.] (a) The term "other district 
 13.18  receipts" means payments by county treasurers pursuant to 
 13.19  section 276.10, apportionments from the school endowment fund 
 13.20  pursuant to section 127A.33, apportionments by the county 
 13.21  auditor pursuant to section 127A.34, subdivision 2, and payments 
 13.22  to school districts by the commissioner of revenue pursuant to 
 13.23  chapter 298.  
 13.24     (b) The term "cumulative amount guaranteed" means the sum 
 13.25  of the following: 
 13.26     (1) one-third of the final adjustment payment according to 
 13.27  subdivision 9; plus 
 13.28     (2) the product of 
 13.29     (i) (1) the cumulative disbursement percentage shown in 
 13.30  subdivision 3; times 
 13.31     (ii) (2) the sum of 
 13.32     (i) 90 percent of the estimated aid and credit entitlements 
 13.33  paid according to subdivision 13; plus 
 13.34     (ii) 100 percent of the entitlements paid according to 
 13.35  subdivisions 11 and 12; plus 
 13.36     (iii) the other district receipts; plus 
 14.1      (iv) the final adjustment payment according to subdivision 
 14.2   9.  
 14.3      (c) The term "payment date" means the date on which state 
 14.4   payments to districts are made by the electronic funds transfer 
 14.5   method.  If a payment date falls on a Saturday, a Sunday, or a 
 14.6   weekday which is a legal holiday, the payment shall be made on 
 14.7   the immediately following business day.  The commissioner may 
 14.8   make payments on dates other than those listed in subdivision 3, 
 14.9   but only for portions of payments from any preceding payment 
 14.10  dates which could not be processed by the electronic funds 
 14.11  transfer method due to documented extenuating circumstances.  
 14.12     Sec. 12.  Minnesota Statutes 1998, section 127A.47, 
 14.13  subdivision 7, is amended to read: 
 14.14     Subd. 7.  [ALTERNATIVE ATTENDANCE PROGRAMS.] The general 
 14.15  education aid for districts must be adjusted for each pupil 
 14.16  attending a nonresident district under sections 123A.05 to 
 14.17  123A.08, 124D.03, 124D.06, 124D.07, 124D.08, and 124D.68.  The 
 14.18  adjustments must be made according to this subdivision. 
 14.19     (a) General education aid paid to a resident district must 
 14.20  be reduced by an amount equal to the general education 
 14.21  revenue and referendum equalization revenue exclusive of basic 
 14.22  skills revenue attributable to the pupil in the resident 
 14.23  district. 
 14.24     (b) General education aid paid to a district serving a 
 14.25  pupil in programs listed in this subdivision must be increased 
 14.26  by an amount equal to the general education revenue and 
 14.27  referendum equalization revenue exclusive of basic skills 
 14.28  revenue attributable to the pupil in the nonresident district.  
 14.29     (c) If the amount of the reduction to be made from the 
 14.30  general education aid of the resident district is greater than 
 14.31  the amount of general education aid otherwise due the district, 
 14.32  the excess reduction must be made from other state aids due the 
 14.33  district. 
 14.34     (d) The district of residence must pay tuition to a 
 14.35  district or an area learning center, operated according to 
 14.36  paragraph (e), providing special instruction and services to a 
 15.1   pupil with a disability, as defined in section 125A.02, or a 
 15.2   pupil, as defined in section 125A.51, who is enrolled in a 
 15.3   program listed in this subdivision.  The tuition must be equal 
 15.4   to (1) the actual cost of providing special instruction and 
 15.5   services to the pupil, including a proportionate amount for debt 
 15.6   service and for capital expenditure facilities and equipment, 
 15.7   and debt service but not including any amount for 
 15.8   transportation, minus (2) the amount of general education aid 
 15.9   and special education aid, attributable to that pupil, that is 
 15.10  received by the district providing special instruction and 
 15.11  services. 
 15.12     (e) An area learning center operated by a service 
 15.13  cooperative, intermediate district, education district, or a 
 15.14  joint powers cooperative may elect through the action of the 
 15.15  constituent boards to charge tuition for pupils rather than to 
 15.16  calculate general education aid adjustments under paragraph (a), 
 15.17  (b), or (c).  The tuition must be equal to the greater of the 
 15.18  average general education revenue per pupil unit attributable to 
 15.19  the pupil, or the actual cost of providing the instruction, 
 15.20  excluding transportation costs, if the pupil meets the 
 15.21  requirements of section 125A.02 or 125A.51. 
 15.22     Sec. 13.  Minnesota Statutes 1998, section 127A.47, 
 15.23  subdivision 8, is amended to read: 
 15.24     Subd. 8.  [CHARTER SCHOOLS.] (a) The general education aid 
 15.25  for districts must be adjusted for each pupil attending a 
 15.26  charter school under section 124D.10.  The adjustments must be 
 15.27  made according to this subdivision. 
 15.28     (b) General education aid paid to a resident district must 
 15.29  be reduced by an amount equal to the general education 
 15.30  revenue and referendum equalization revenue exclusive of basic 
 15.31  skills revenue attributable to the pupil in the resident 
 15.32  district. 
 15.33     (c) General education aid paid to a district in which a 
 15.34  charter school not providing transportation according to section 
 15.35  124D.10, subdivision 16, is located must be increased by an 
 15.36  amount equal to the product of:  (1) the sum of an amount equal 
 16.1   to the product of the formula allowance according to section 
 16.2   126C.10, subdivision 2, times .0485, plus the transportation 
 16.3   sparsity allowance for the district, plus the transportation 
 16.4   transition allowance for the district; times (2) the pupil units 
 16.5   attributable to the pupil.  
 16.6      (d) If the amount of the reduction to be made from the 
 16.7   general education aid of the resident district is greater than 
 16.8   the amount of general education aid otherwise due the district, 
 16.9   the excess reduction must be made from other state aids due the 
 16.10  district. 
 16.11     Sec. 14.  Laws 1996, chapter 412, article 1, section 35, is 
 16.12  amended to read: 
 16.13     Sec. 35.  [REPEALER.] 
 16.14     Laws 1993, chapter 224, article 1, section 34, subdivision 
 16.15  1, is repealed.  Section 8 is repealed July 1, 1999. 
 16.16     Sec. 15.  Laws 1992, chapter 499, article 7, section 31, as 
 16.17  amended by Laws 1998, chapter 398, article 1, section 39, is 
 16.18  amended to read: 
 16.19     Sec. 31.  [REPEALER.] 
 16.20     Minnesota Statutes 1990, sections 124A.02, subdivision 24; 
 16.21  124A.23, subdivisions 2 and 3; 124A.26, subdivisions 2 and 3; 
 16.22  124A.27; 124A.28; and 124A.29, subdivision 2; and Minnesota 
 16.23  Statutes 1991 Supplement, sections 124A.02, subdivisions 16 and 
 16.24  23; 124A.03, subdivisions 1b, 1c, 1d, 1e, 1f, 1g, 1h, and 1i; 
 16.25  124A.04; 124A.22, subdivisions 2, 3, 4, 4a, 4b, 8, and 9; 
 16.26  124A.23, subdivisions 1, 4, and 5; 124A.24; 124A.26, subdivision 
 16.27  1; and 124A.29, subdivision 1, are repealed effective June 30, 
 16.28  2001 2002; Laws 1991, chapter 265, article 7, section 35, is 
 16.29  repealed. 
 16.30     Sec. 16.  [APPROPRIATIONS.] 
 16.31     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 16.32  LEARNING.] The sums indicated in this section are appropriated 
 16.33  from the general fund to the department of children, families, 
 16.34  and learning for the fiscal years designated.  
 16.35     Subd. 2.  [GENERAL AND SUPPLEMENTAL EDUCATION AID.] For 
 16.36  general and supplemental education aid:  
 17.1        $2,994,870,000    .....     2000
 17.2        $3,109,552,000    .....     2001
 17.3      The 2000 appropriation includes $271,839,000 for 1999 and 
 17.4   $2,723,031,000 for 2000.  
 17.5      The 2001 appropriation includes $292,309,000 for 2000 and 
 17.6   $2,817,243,000 for 2001.  
 17.7      Subd. 3.  [TRANSPORTATION SAFETY.] For student 
 17.8   transportation safety aid according to Minnesota Statutes, 
 17.9   section 123B.92, subdivision 4: 
 17.10       $146,000       .....     2000 
 17.11     The 2000 appropriation includes $146,000 for 1999.  
 17.12     Subd. 4.  [TRANSPORTATION AID FOR ENROLLMENT OPTIONS.] For 
 17.13  transportation of pupils attending post-secondary institutions 
 17.14  according to Minnesota Statutes, section 124D.09, or for 
 17.15  transportation of pupils attending nonresident districts 
 17.16  according to Minnesota Statutes, section 124D.03: 
 17.17       $102,000       .....     2000
 17.18       $102,000       .....     2001
 17.19     Any balance in the first year does not cancel but is 
 17.20  available in the second year. 
 17.21     Subd. 5.  [DISTRICT COOPERATION REVENUE.] For district 
 17.22  cooperation revenue aid: 
 17.23       $5,567,000     .....     2000
 17.24       $  522,000     .....     2001
 17.25     The 2000 appropriation includes $869,000 for 1999 and 
 17.26  $4,698,000 for 2000. 
 17.27     The 2001 appropriation includes $522,000 for 2000 and $0 
 17.28  for 2001. 
 17.29     Subd. 6.  [LITIGATION COSTS.] For paying the costs a 
 17.30  district incurs under Minnesota Statutes, section 125A.75, 
 17.31  subdivision 8: 
 17.32       $500,000     .....     2000 
 17.33       $500,000     .....     2001 
 17.34     Subd. 7.  [COURT-PLACED SPECIAL EDUCATION REVENUE.] For 
 17.35  reimbursing serving school districts for unreimbursed eligible 
 17.36  expenditures attributable to children placed in the serving 
 18.1   school district by court action under Minnesota Statutes, 
 18.2   section 125A.79, subdivision 4: 
 18.3        $350,000     .....     2000 
 18.4        $350,000     .....     2001 
 18.5      Subd. 8.  [AGENCY ASSISTANCE FOR CLASS SIZE.] For the 
 18.6   department of children, families, and learning to assist school 
 18.7   districts in implementing Minnesota Statutes, section 126C.12: 
 18.8        $150,000     .....     2000 
 18.9        $150,000     .....     2001 
 18.10     Sec. 17.  [REPEALER.] 
 18.11     (a) Minnesota Statutes 1998, sections 123B.89; 123B.90; 
 18.12  123B.91; 123B.92, subdivisions 2, 6, 7, 8, and 10; and 127A.41, 
 18.13  subdivisions 8 and 9, are repealed.  Laws 1997, First Special 
 18.14  Session chapter 4, article 1, section 62, subdivision 5, is 
 18.15  repealed. 
 18.16     (b) Minnesota Statutes 1998, sections 123B.64, subdivision 
 18.17  4; and 123B.92, subdivision 4, are repealed effective for 
 18.18  revenue for fiscal year 2000. 
 18.19     (c) Minnesota Statutes 1998, section 123B.64, subdivisions 
 18.20  1, 2, and 3, are repealed effective for revenue for fiscal year 
 18.21  2001. 
 18.22                             ARTICLE 2 
 18.23                          SPECIAL PROGRAMS 
 18.24     Section 1.  Minnesota Statutes 1998, section 123A.05, 
 18.25  subdivision 2, is amended to read: 
 18.26     Subd. 2.  [RESERVE REVENUE.] Each district that is a member 
 18.27  of an area learning center must reserve revenue in an amount 
 18.28  equal to at least 90 percent of the district average general 
 18.29  education revenue less compensatory per pupil unit minus an 
 18.30  amount equal to the product of the formula allowance according 
 18.31  to section 126C.10, subdivision 2, times .0485, calculated 
 18.32  without basic skills revenue unit, transportation sparsity 
 18.33  revenue, and the transportation portion of the transition 
 18.34  revenue adjustment, times the number of pupil units attending an 
 18.35  area learning center program under this section.  The amount of 
 18.36  reserved revenue under this subdivision may only be spent on 
 19.1   program costs associated with the area learning center.  
 19.2   Compensatory revenue must be allocated according to section 
 19.3   126C.15, subdivision 2.  
 19.4      Sec. 2.  Minnesota Statutes 1998, section 124D.453, 
 19.5   subdivision 3, is amended to read: 
 19.6      Subd. 3.  [SECONDARY VOCATIONAL AID.] A district's 
 19.7   secondary vocational education aid for a fiscal year 2000 equals 
 19.8   the lesser of: 
 19.9      (a) $80 $42 times the district's average daily membership 
 19.10  in grades 10 to 12; or 
 19.11     (b) 25 percent of approved expenditures for the following: 
 19.12     (1) salaries paid to essential, licensed personnel 
 19.13  providing direct instructional services to students in that 
 19.14  fiscal year for services rendered in the district's approved 
 19.15  secondary vocational education programs; 
 19.16     (2) contracted services provided by a public or private 
 19.17  agency other than a Minnesota school district or cooperative 
 19.18  center under subdivision 7; 
 19.19     (3) necessary travel between instructional sites by 
 19.20  licensed secondary vocational education personnel; 
 19.21     (4) necessary travel by licensed secondary vocational 
 19.22  education personnel for vocational student organization 
 19.23  activities held within the state for instructional purposes; 
 19.24     (5) curriculum development activities that are part of a 
 19.25  five-year plan for improvement based on program assessment; 
 19.26     (6) necessary travel by licensed secondary vocational 
 19.27  education personnel for noncollegiate credit bearing 
 19.28  professional development; and 
 19.29     (7) specialized vocational instructional supplies. 
 19.30     (c) Up to ten percent of a district's secondary vocational 
 19.31  aid may be spent on equipment purchases.  Districts using 
 19.32  secondary vocational aid for equipment purchases must report to 
 19.33  the department on the improved learning opportunities for 
 19.34  students that result from the investment in equipment.  
 19.35     Sec. 3.  Minnesota Statutes 1998, section 124D.453, 
 19.36  subdivision 5, is amended to read: 
 20.1      Subd. 5.  [AID GUARANTEE.] Notwithstanding subdivision 3, 
 20.2   the secondary vocational education aid for a district is not 
 20.3   less than the lesser of: 
 20.4      (a) 95 50 percent of the secondary vocational education aid 
 20.5   the district received for the previous fiscal year; or 
 20.6      (b) 40 percent of the approved expenditures for secondary 
 20.7   vocational programs included in subdivision 3, paragraph (b). 
 20.8      Sec. 4.  Minnesota Statutes 1998, section 124D.454, 
 20.9   subdivision 5, is amended to read: 
 20.10     Subd. 5.  [STATE TOTAL SCHOOL-TO-WORK PROGRAM-DISABLED 
 20.11  REVENUE.] The state total school-to-work program-disabled 
 20.12  revenue for fiscal year 1998 2000 equals $8,924,000 $7,127,000.  
 20.13  The state total school-to-work program-disabled revenue for 
 20.14  fiscal year 1999 2001 equals $8,976,000 $8,967,000.  The state 
 20.15  total school-to-work program-disabled revenue for later fiscal 
 20.16  years equals:  
 20.17     (1) the state total school-to-work program-disabled revenue 
 20.18  for the preceding fiscal year; times 
 20.19     (2) the program growth factor; times 
 20.20     (3) the ratio of the state total average daily membership 
 20.21  for the current fiscal year to the state total average daily 
 20.22  membership for the preceding fiscal year. 
 20.23     Sec. 5.  Minnesota Statutes 1998, section 124D.65, 
 20.24  subdivision 4, is amended to read: 
 20.25     Subd. 4.  [STATE TOTAL LEP REVENUE.] (a) The state total 
 20.26  limited English proficiency programs revenue for fiscal 
 20.27  year 1998 2000 equals $14,629,000 $27,454,000.  The state total 
 20.28  limited English proficiency programs revenue for fiscal 
 20.29  year 1999 2001 equals $16,092,000 $31,752,000.  
 20.30     (b) The state total limited English proficiency programs 
 20.31  revenue for later fiscal years equals: 
 20.32     (1) the state total limited English proficiency programs 
 20.33  revenue for the preceding fiscal year; times 
 20.34     (2) the program growth factor under section 125A.76 
 20.35  subdivision 1; times 
 20.36     (3) the ratio of the state total number of pupils with 
 21.1   limited English proficiency for the current fiscal year to the 
 21.2   state total number of pupils with limited English proficiency 
 21.3   for the preceding fiscal year. 
 21.4      Sec. 6.  Minnesota Statutes 1998, section 124D.86, 
 21.5   subdivision 6, is amended to read: 
 21.6      Subd. 6.  [ALTERNATIVE ATTENDANCE PROGRAMS.] (a) The 
 21.7   integration aid under subdivision 5 must be adjusted for each 
 21.8   pupil attending a nonresident district or a charter school under 
 21.9   sections 123A.05 to 123A.08, 124D.03, 124D.06, 124D.07, and 
 21.10  124D.08, and 124D.10 if the enrollment of the pupil in the 
 21.11  nonresident district or a charter school contributes to 
 21.12  desegregation or integration purposes.  The adjustments must be 
 21.13  made according to this subdivision.  
 21.14     (b) Aid paid to the district of the pupil's residence must 
 21.15  be reduced by an amount equal to the revenue per resident pupil 
 21.16  unit of the resident district times the number of resident pupil 
 21.17  units attributable to the pupil for the time the pupil is 
 21.18  enrolled in a nonresident district or a charter school that has 
 21.19  elected to provide transportation under section 124D.10, 
 21.20  subdivision 16.  Aid paid to the district of the pupil's 
 21.21  residence must be reduced by an amount equal to the revenue per 
 21.22  resident pupil unit of the resident district, minus the amount 
 21.23  per pupil unit specified for the resident district in section 
 21.24  123B.92, subdivision 8, times the number of resident pupil units 
 21.25  attributable to the pupil for the time the pupil is enrolled in 
 21.26  a charter school that has elected not to provide transportation 
 21.27  under section 124D.10, subdivision 16. 
 21.28     (c) Aid paid to a district serving nonresidents or a 
 21.29  charter school must be increased by an amount equal to the aid 
 21.30  reduction to the resident district under paragraphs (b) and (d). 
 21.31     (d) If the amount of the reduction to be made from the aid 
 21.32  of a district is greater than the amount of aid otherwise due 
 21.33  the district, the excess reduction must be made from other state 
 21.34  aids due the district. 
 21.35     Sec. 7.  Minnesota Statutes 1998, section 125A.76, 
 21.36  subdivision 1, is amended to read: 
 22.1      Subdivision 1.  [DEFINITIONS.] For the purposes of this 
 22.2   section and section 125A.77, the definitions in this subdivision 
 22.3   apply. 
 22.4      (a) "Base year" for fiscal year 1998 and later fiscal years 
 22.5   means the second fiscal year preceding the fiscal year for which 
 22.6   aid will be paid. 
 22.7      (b) "Basic revenue" has the meaning given it in section 
 22.8   126C.10, subdivision 2.  For the purposes of computing basic 
 22.9   revenue pursuant to this section, each child with a disability 
 22.10  shall be counted as prescribed in section 126C.05, subdivision 1.
 22.11     (c) "Essential personnel" means teachers, related services, 
 22.12  and support services staff providing direct services to students.
 22.13     (d) "Average daily membership" has the meaning given it in 
 22.14  section 126C.05. 
 22.15     (e) "Program growth factor" means 1.00 1.02 for fiscal year 
 22.16  2000 2002 and later. 
 22.17     (f) "Aid percentage factor" means 60 percent for fiscal 
 22.18  year 1996, 70 percent for fiscal year 1997, 80 percent for 
 22.19  fiscal year 1998, 90 percent for fiscal year 1999, and 100 
 22.20  percent for fiscal years 2000 and later. 
 22.21     (g) "Levy percentage factor" means 100 minus the aid 
 22.22  percentage factor for that year. 
 22.23     Sec. 8.  Minnesota Statutes 1998, section 125A.76, 
 22.24  subdivision 4, is amended to read: 
 22.25     Subd. 4.  [STATE TOTAL SPECIAL EDUCATION REVENUE AID.] The 
 22.26  state total special education revenue aid for fiscal year 1998 
 22.27  2000 equals $358,542,000 $463,000,000.  The state total special 
 22.28  education revenue aid for fiscal year 1999 2001 equals 
 22.29  $435,322,000 $474,000,000.  The state total special 
 22.30  education revenue aid for later fiscal years equals:  
 22.31     (1) the state total special education revenue aid for the 
 22.32  preceding fiscal year; times 
 22.33     (2) the program growth factor; times 
 22.34     (3) the ratio of the state total average daily membership 
 22.35  for the current fiscal year to the state total average daily 
 22.36  membership for the preceding fiscal year. 
 23.1      Sec. 9.  Minnesota Statutes 1998, section 125A.79, 
 23.2   subdivision 1, is amended to read: 
 23.3      Subdivision 1.  [DEFINITIONS.] For the purposes of this 
 23.4   section, the definitions in this subdivision apply. 
 23.5      (a) "Unreimbursed special education cost" means the sum of 
 23.6   the following: 
 23.7      (1) expenditures for teachers' salaries, contracted 
 23.8   services, supplies, equipment, and transportation services 
 23.9   eligible for revenue under section 125A.76; plus 
 23.10     (2) expenditures for tuition bills received under sections 
 23.11  125A.03 to 125A.24 and 125A.65 for services eligible for revenue 
 23.12  under sections 125A.76, subdivision 2, and 124.3202, subdivision 
 23.13  1; minus 
 23.14     (3) revenue for teachers' salaries, contracted services, 
 23.15  supplies, and equipment under sections 124.3202 and 124A.76; 
 23.16  minus 
 23.17     (4) tuition receipts under sections 125A.03 to 125A.24 and 
 23.18  125A.65 for services eligible for revenue under sections 
 23.19  124.3202, subdivision 1, and 124A.76, subdivision 2. 
 23.20     (b) "General revenue" means for fiscal year 1996, the sum 
 23.21  of the general education revenue according to section 126C.10, 
 23.22  subdivision 1, as adjusted according to section 127A.47, 
 23.23  subdivision 7, plus the total referendum revenue according to 
 23.24  section 126C.17, subdivision 4.  For fiscal years 1997 and 
 23.25  later, "general revenue" means the sum of the general education 
 23.26  revenue according to section 126C.10, subdivision 1, as adjusted 
 23.27  according to section 127A.47, subdivision 7, plus the total 
 23.28  referendum revenue minus transportation sparsity revenue minus 
 23.29  total operating capital revenue.  
 23.30     (c) "Average daily membership" has the meaning given it in 
 23.31  section 126C.05. 
 23.32     (d) "Program growth factor" means 1.044 for fiscal year 
 23.33  2002 and 1.02 for fiscal year 2003 and later. 
 23.34     Sec. 10.  Minnesota Statutes 1998, section 125A.79, 
 23.35  subdivision 2, is amended to read: 
 23.36     Subd. 2.  [EXCESS COST REVENUE AID, FISCAL YEARS 2000 AND 
 24.1   2001.] For 1997 and later fiscal years 2000 and 2001, a 
 24.2   district's special education excess cost revenue aid equals the 
 24.3   greatest of: 
 24.4      (a) 70 percent of the difference between (1) the district's 
 24.5   unreimbursed special education cost and (2) 5.7 4.36 percent for 
 24.6   fiscal year 1997 and later years of the district's general 
 24.7   revenue; 
 24.8      (b) 70 percent of the difference between (1) the increase 
 24.9   in the district's unreimbursed special education cost between 
 24.10  the base year as defined in section 125A.76, subdivision 1, and 
 24.11  the current year and (2) 1.6 percent of the district's general 
 24.12  revenue; or 
 24.13     (c) zero. 
 24.14     Sec. 11.  Minnesota Statutes 1998, section 125A.79, is 
 24.15  amended by adding a subdivision to read: 
 24.16     Subd. 5.  [INITIAL EXCESS COST AID.] For fiscal years 2002 
 24.17  and later, a district's initial excess cost aid equals the 
 24.18  greatest of: 
 24.19     (1) 70 percent of the difference between (i) the district's 
 24.20  unreimbursed special education cost and (ii) 4.36 percent of the 
 24.21  district's general revenue; 
 24.22     (2) 70 percent of the difference between (i) the increase 
 24.23  in the district's unreimbursed special education cost between 
 24.24  the base year as defined in section 125A.76, subdivision 1, and 
 24.25  the current year and (ii) 1.6 percent of the district's general 
 24.26  revenue; or 
 24.27     (3) zero. 
 24.28     Sec. 12.  Minnesota Statutes 1998, section 125A.79, is 
 24.29  amended by adding a subdivision to read: 
 24.30     Subd. 6.  [STATE TOTAL SPECIAL EDUCATION EXCESS COST 
 24.31  AID.] The state total special education excess cost aid for 
 24.32  fiscal year 2002 and later fiscal years equals: 
 24.33     (1) the state total special education excess cost aid for 
 24.34  the preceding fiscal year; times 
 24.35     (2) the program growth factor; times 
 24.36     (3) the ratio of the state total average daily membership 
 25.1   for the current fiscal year to the state total average daily 
 25.2   membership for the preceding fiscal year. 
 25.3      Sec. 13.  Minnesota Statutes 1998, section 125A.79, is 
 25.4   amended by adding a subdivision to read: 
 25.5      Subd. 7.  [DISTRICT SPECIAL EDUCATION EXCESS COST AID.] A 
 25.6   district's special education excess cost aid for fiscal year 
 25.7   2002 and later equals the state total special education excess 
 25.8   cost aid times the ratio of the district's initial excess cost 
 25.9   aid to the state total initial excess cost aid. 
 25.10     Sec. 14.  [APPROPRIATIONS.] 
 25.11     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 25.12  LEARNING.] The sums indicated in this section are appropriated 
 25.13  from the general fund to the department of children, families, 
 25.14  and learning for the fiscal years designated.  
 25.15     Subd. 2.  [AMERICAN INDIAN LANGUAGE AND CULTURE PROGRAMS.] 
 25.16  For grants to American Indian language and culture education 
 25.17  programs according to Minnesota Statutes, section 124D.81, 
 25.18  subdivision 1: 
 25.19       $730,000     .....     2000
 25.20       $730,000     .....     2001
 25.21     The 2000 appropriation includes $73,000 for 1999 and 
 25.22  $657,000 for 2000.  
 25.23     The 2001 appropriation includes $73,000 for 2000 and 
 25.24  $657,000 for 2001.  
 25.25     Any balance in the first year does not cancel but is 
 25.26  available in the second year. 
 25.27     Subd. 3.  [AMERICAN INDIAN EDUCATION.] (a) For certain 
 25.28  American Indian education programs in school districts: 
 25.29       $175,000     .....     2000
 25.30       $175,000     .....     2001
 25.31     The 2000 appropriation includes $17,000 for 1999 and 
 25.32  $158,000 for 2000.  
 25.33     The 2001 appropriation includes $17,000 for 2000 and 
 25.34  $158,000 for 2001.  
 25.35     (b) These appropriations are available for expenditure with 
 25.36  the approval of the commissioner of the department of children, 
 26.1   families, and learning. 
 26.2      (c) The commissioner must not approve the payment of any 
 26.3   amount to a school district or school under this subdivision 
 26.4   unless that school district or school is in compliance with all 
 26.5   applicable laws of this state. 
 26.6      (d) Up to the following amounts may be distributed to the 
 26.7   following schools and school districts for each fiscal year:  
 26.8   $54,800 Pine Point School; $9,800 to independent school district 
 26.9   No. 166, Cook county; $14,900 to independent school district No. 
 26.10  432, Mahnomen; $14,200 to independent school district No. 435, 
 26.11  Waubun; $42,200 to independent school district No. 707, Nett 
 26.12  Lake; and $39,100 to independent school district No. 38, Red 
 26.13  Lake.  These amounts must be spent only for the benefit of 
 26.14  American Indian pupils and to meet established state educational 
 26.15  standards or statewide requirements. 
 26.16     (e) Before a district or school can receive money under 
 26.17  this subdivision, the district or school must submit, to the 
 26.18  commissioner, evidence that it has complied with the uniform 
 26.19  financial accounting and reporting standards act, Minnesota 
 26.20  Statutes, sections 123B.75 to 123B.83. 
 26.21     Subd. 4.  [AMERICAN INDIAN POST-SECONDARY PREPARATION 
 26.22  GRANTS.] For American Indian post-secondary preparation grants 
 26.23  according to Minnesota Statutes, section 124D.85: 
 26.24       $982,000     .....     2000
 26.25       $982,000     .....     2001
 26.26     Any balance in the first year does not cancel but is 
 26.27  available in the second year. 
 26.28     Subd. 5.  [AMERICAN INDIAN SCHOLARSHIPS.] For American 
 26.29  Indian scholarships according to Minnesota Statutes, section 
 26.30  124D.84: 
 26.31       $1,875,000   .....     2000 
 26.32       $1,875,000   .....     2001 
 26.33     Any balance in the first year does not cancel but is 
 26.34  available in the second year. 
 26.35     Subd. 6.  [INDIAN TEACHER PREPARATION GRANTS.] (a) For 
 26.36  joint grants to assist Indian people to become teachers: 
 27.1        $190,000     .....     2000 
 27.2        $190,000     .....     2001 
 27.3      (b) Up to $70,000 each year is for a joint grant to the 
 27.4   University of Minnesota at Duluth and the Duluth school district.
 27.5      (c) Up to $40,000 each year is for a joint grant to each of 
 27.6   the following: 
 27.7      (1) Bemidji state university and the Red Lake school 
 27.8   district; 
 27.9      (2) Moorhead state university and a school district located 
 27.10  within the White Earth reservation; and 
 27.11     (3) Augsburg college, independent school district No. 625, 
 27.12  St. Paul, and the Minneapolis school district. 
 27.13     (d) Money not used for students at one location may be 
 27.14  transferred for use at another location. 
 27.15     (e) Any balance in the first year does not cancel but is 
 27.16  available in the second year. 
 27.17     Subd. 7.  [TRIBAL CONTRACT SCHOOLS.] For tribal contract 
 27.18  school aid according to Minnesota Statutes, section 124D.83: 
 27.19       $2,706,000  .....     2000
 27.20       $2,791,000  .....     2001
 27.21     The 2000 appropriation includes $283,000 for 1999 and 
 27.22  $2,423,000 for 2000. 
 27.23     The 2001 appropriation includes $269,000 for 2000 and 
 27.24  $2,522,000 for 2001. 
 27.25     Subd. 8.  [EARLY CHILDHOOD PROGRAMS AT TRIBAL SCHOOLS.] For 
 27.26  early childhood family education programs at tribal contract 
 27.27  schools: 
 27.28       $68,000     .....     2000 
 27.29       $68,000     .....     2001 
 27.30     Subd. 9.  [MAGNET SCHOOL GRANTS.] For magnet school and 
 27.31  program grants: 
 27.32       $1,750,000  .....     2000 
 27.33       $1,750,000  .....     2001 
 27.34     These amounts may be used for magnet school programs 
 27.35  according to Minnesota Statutes, section 124D.88. 
 27.36     Subd. 10.  [INTEGRATION PROGRAMS.] For grants according to: 
 28.1   minority fellowship grants according to Laws 1994, chapter 647, 
 28.2   article 8, section 29; minority teacher incentives according to 
 28.3   Minnesota Statutes, section 122A.65; teachers of color grants 
 28.4   according to Minnesota Statutes, section 122A.64; and cultural 
 28.5   exchange grants according to Minnesota Statutes, section 124D.89:
 28.6        $1,000,000     .....     2000
 28.7        $1,000,000     .....     2001
 28.8      Any balance in the first year does not cancel but is 
 28.9   available in the second year. 
 28.10     In awarding teacher of color grants, priority must be given 
 28.11  to districts that have students who are currently in the process 
 28.12  of completing their academic program. 
 28.13     Subd. 11.  [SPECIAL EDUCATION AID.] For special education 
 28.14  aid according to Minnesota Statutes, section 125A.75: 
 28.15       $456,030,000   .....     2000 
 28.16       $472,900,000   .....     2001 
 28.17     The 2000 appropriation includes $39,315,000 for 1999 and 
 28.18  $416,715,000 for 2000.  
 28.19     The 2001 appropriation includes $46,300,000 for 2000 and 
 28.20  $426,600,000 for 2001.  
 28.21     Subd. 12.  [AID FOR CHILDREN WITH A DISABILITY.] For aid 
 28.22  according to Minnesota Statutes, section 125A.75, subdivision 3, 
 28.23  for children with a disability placed in residential facilities 
 28.24  within the district boundaries for whom no district of residence 
 28.25  can be determined: 
 28.26       $644,000     .....     2000 
 28.27       $644,000     .....     2001 
 28.28     If the appropriation for either year is insufficient, the 
 28.29  appropriation for the other year is available.  Any balance in 
 28.30  the first year does not cancel but is available in the second 
 28.31  year. 
 28.32     Subd. 13.  [TRAVEL FOR HOME-BASED SERVICES.] For aid for 
 28.33  teacher travel for home-based services according to Minnesota 
 28.34  Statutes, section 125A.75, subdivision 1: 
 28.35       $133,000     .....     2000 
 28.36       $139,000     .....     2001 
 29.1      The 2000 appropriation includes $11,000 for 1999 and 
 29.2   $122,000 for 2000.  
 29.3      The 2001 appropriation includes $13,000 for 2000 and 
 29.4   $126,000 for 2001.  
 29.5      Subd. 14.  [SPECIAL EDUCATION EXCESS COST AID.] For excess 
 29.6   cost aid: 
 29.7        $56,788,000    .....     2000 
 29.8        $75,636,000    .....     2001 
 29.9      The 2000 appropriation includes $4,693,000 for 1999 and 
 29.10  $52,095,000 for 2000.  
 29.11     The 2001 appropriation includes $5,788,000 for 2000 and 
 29.12  $69,848,000 for 2001. 
 29.13     Subd. 15.  [SCHOOL-TO-WORK PROGRAMS; STUDENTS WITH 
 29.14  DISABILITIES.] For aid for school-to-work programs for pupils 
 29.15  with disabilities according to Minnesota Statutes, section 
 29.16  124D.454: 
 29.17       $7,223,000     .....     2000 
 29.18       $8,783,000     .....     2001 
 29.19     The 2000 appropriation includes $808,000 for 1999 and 
 29.20  $6,415,000 for 2000.  
 29.21     The 2001 appropriation includes $712,000 for 2000 and 
 29.22  $8,071,000 for 2001.  
 29.23     Subd. 16.  [SPECIAL PROGRAMS EQUALIZATION AID.] For special 
 29.24  education levy equalization aid according to Minnesota Statutes, 
 29.25  section 125A.77: 
 29.26       $126,000      .....     2000
 29.27     The 2000 appropriation includes $126,000 for 1999 and $0 
 29.28  for 2000.  
 29.29     Subd. 17.  [INTEGRATION AID.] For integration aid: 
 29.30       $36,418,000   .....     2000 
 29.31       $43,127,000   .....     2001 
 29.32     The 2000 appropriation includes $2,902,000 for 1999 and 
 29.33  $33,516,000 for 2000. 
 29.34     The 2001 appropriation includes $3,717,000 for 2000 and 
 29.35  $39,410,000 for 2001.  
 29.36     Subd. 18.  [ADDITIONAL REVENUE FOR HOMELESS STUDENTS.] For 
 30.1   additional revenue for homeless students according to Minnesota 
 30.2   Statutes, section 124D.70: 
 30.3        $4,000        .....     2000
 30.4      The 2000 appropriation includes $4,000 for 1999 and $0 for 
 30.5   2000. 
 30.6      Subd. 19.  [INTERDISTRICT DESEGREGATION OR INTEGRATION 
 30.7   TRANSPORTATION GRANTS.] For interdistrict desegregation or 
 30.8   integration transportation grants under Minnesota Statutes, 
 30.9   section 124D.87: 
 30.10       $970,000       .....     2000
 30.11       $970,000       .....     2001
 30.12     Any balance in the first year does not cancel but is 
 30.13  available in the second year. 
 30.14     Sec. 15.  [REPEALER.] 
 30.15     Minnesota Statutes 1998, sections 122A.31; 124D.65, 
 30.16  subdivision 3; 124D.70; 125A.09; 125A.76, subdivision 6; 
 30.17  125A.77; and 125A.79, subdivision 3, are repealed.  Laws 1995, 
 30.18  First Special Session chapter 3, article 3, section 11; Laws 
 30.19  1997, First Special Session chapter 4, article 2, section 51, 
 30.20  subdivision 10; and Laws 1998, chapter 398, article 2, section 
 30.21  57, are repealed. 
 30.22                             ARTICLE 3 
 30.23                        LIFEWORK DEVELOPMENT 
 30.24     Section 1.  [APPROPRIATIONS.] 
 30.25     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 30.26  LEARNING.] The sums indicated in this section are appropriated 
 30.27  from the general fund to the department of children, families, 
 30.28  and learning for the fiscal years designated. 
 30.29     Subd. 2.  [SECONDARY VOCATIONAL EDUCATION AID.] For 
 30.30  secondary vocational education aid according to Minnesota 
 30.31  Statutes, section 124D.453: 
 30.32       $7,973,000     .....     2000 
 30.33       $  881,000     .....     2001 
 30.34     The 2000 appropriation includes $1,160,000 for 1999 and 
 30.35  $6,813,000 for 2000.  
 30.36     The 2001 appropriation includes $881,000 for 2000 and $0 
 31.1   for 2001.  
 31.2      Subd. 3.  [YOUTHWORKS PROGRAM.] For funding youthworks 
 31.3   programs according to Minnesota Statutes, sections 124D.37 to 
 31.4   124D.45: 
 31.5        $1,788,000     .....     2000 
 31.6        $1,788,000     .....     2001 
 31.7      A grantee organization may provide health and child care 
 31.8   coverage to the dependents of each participant enrolled in a 
 31.9   full-time youth works program to the extent such coverage is not 
 31.10  otherwise available. 
 31.11     Any balance in the first year does not cancel but is 
 31.12  available in the second year. 
 31.13     Subd. 4.  [EDUCATION AND EMPLOYMENT TRANSITIONS PROGRAM 
 31.14  GRANTS.] For education and employment transitions programming 
 31.15  under Minnesota Statutes, section 124D.46: 
 31.16       $5,900,000    .....      2000
 31.17       $8,600,000    .....      2001 
 31.18     Of this appropriation, $100,000 each year is for ISEEK. 
 31.19     Subd. 5.  [LEARN AND EARN GRADUATION ACHIEVEMENT PROGRAM.] 
 31.20  For the learn and earn graduation achievement program according 
 31.21  to Minnesota Statutes, section 124D.32: 
 31.22       $950,000       .....     2000
 31.23       $950,000       .....     2001
 31.24     Any balance in the first year does not cancel but is 
 31.25  available in the second year. 
 31.26     Sec. 2.  [REPEALER.] 
 31.27     Minnesota Statutes 1998, sections 124D.453, subdivision 1; 
 31.28  and 136A.233, are repealed. 
 31.29                             ARTICLE 4 
 31.30                     FACILITIES AND TECHNOLOGY 
 31.31     Section 1.  Minnesota Statutes 1998, section 124C.55, is 
 31.32  amended by adding a subdivision to read: 
 31.33     Subd. 10.  [CONTINUING DISCLOSURE AGREEMENTS.] The 
 31.34  commissioner of finance may enter into written agreements or 
 31.35  contracts relating to the continuing disclosure of information 
 31.36  necessary to facilitate the issuance of debt obligations by 
 32.1   school districts in accordance with federal securities laws, 
 32.2   rules, and regulations, including securities and exchange 
 32.3   commission rules and regulations, section 240.15c2-12.  Such 
 32.4   agreements or contracts may be in any form deemed reasonable and 
 32.5   in the best interests of the state by the commissioner of 
 32.6   finance. 
 32.7      Sec. 2.  Minnesota Statutes 1998, section 124D.88, 
 32.8   subdivision 3, is amended to read: 
 32.9      Subd. 3.  [GRANT APPLICATION PROCESS.] (a) Any group of 
 32.10  school districts that meets the criteria required under 
 32.11  paragraph (b)(i) may apply for a magnet school grant in an 
 32.12  amount not to exceed $15,000,000 for the approved costs or 
 32.13  expansion of a magnet school facility. 
 32.14     (b)(i) Any group of districts that submits an application 
 32.15  for a grant shall submit a proposal to the commissioner for 
 32.16  review and comment under section 123B.71, and the commissioner 
 32.17  shall prepare a review and comment on the proposed magnet school 
 32.18  facility, regardless of the amount of the capital expenditure 
 32.19  required to design, acquire, construct, remodel, improve, 
 32.20  furnish, or equip the facility.  The commissioner must not 
 32.21  approve an application for a magnet school grant for any 
 32.22  facility unless the facility receives a favorable review and 
 32.23  comment under section 123B.71 and the participating districts: 
 32.24     (1) establish a joint powers board under section 471.59 to 
 32.25  represent all participating districts and govern the magnet 
 32.26  school facility; 
 32.27     (2) design the planned magnet school facility to meet the 
 32.28  applicable requirements contained in Minnesota Rules, chapter 
 32.29  3535; 
 32.30     (3) submit a statement of need, including reasons why the 
 32.31  magnet school will facilitate integration and improve learning; 
 32.32     (4) prepare an educational plan that includes input from 
 32.33  both community and professional staff; and 
 32.34     (5) develop an education program that will improve learning 
 32.35  opportunities for students attending the magnet school. 
 32.36     (ii) The districts may develop a plan that permits social 
 33.1   service, health, and other programs serving students and 
 33.2   community residents to be located within the magnet school 
 33.3   facility.  The commissioner shall consider this plan when 
 33.4   preparing a review and comment on the proposed facility.  
 33.5      (c) When two or more districts enter into an agreement 
 33.6   establishing a joint powers board to govern the magnet school 
 33.7   facility, all member districts shall have the same powers.  
 33.8      (d) A joint powers board of participating school districts 
 33.9   established under paragraphs (b) and (c) that intends to apply 
 33.10  for a grant must adopt a resolution stating the costs of the 
 33.11  proposed project, the purpose for which the debt is to be 
 33.12  incurred, and an estimate of the dates when the contracts for 
 33.13  the proposed project will be completed.  A copy of the 
 33.14  resolution must accompany any application for a state grant 
 33.15  under this section. 
 33.16     (e)(i) The commissioner shall examine and consider all 
 33.17  grant applications.  If the commissioner finds that any joint 
 33.18  powers district is not a qualified grant applicant, the 
 33.19  commissioner shall promptly notify that joint powers board.  The 
 33.20  commissioner shall make awards to no more than two qualified 
 33.21  applicants whose applications have been on file with the 
 33.22  commissioner more than 30 days.  
 33.23     (ii) A grant award is subject to verification by the joint 
 33.24  powers board under paragraph (f).  A grant award must not be 
 33.25  made until the participating districts determine the site of the 
 33.26  magnet school facility.  If the total amount of the approved 
 33.27  applications exceeds the amount of grant funding that is or can 
 33.28  be made available, the commissioner shall allot the available 
 33.29  amount equally between the approved applicant districts.  The 
 33.30  commissioner shall promptly certify to each qualified joint 
 33.31  powers board the amount, if any, of the grant awarded to it. 
 33.32     (f) Each grant must be evidenced by a contract between the 
 33.33  joint powers board and the state acting through the 
 33.34  commissioner.  The contract obligates the state to pay to the 
 33.35  joint powers board an amount computed according to paragraph 
 33.36  (e)(ii) and a schedule, and terms and conditions acceptable to 
 34.1   the commissioner of finance. 
 34.2      (g) Notwithstanding the provisions of section 123B.02, 
 34.3   subdivision 3, the joint powers and its individual members may 
 34.4   enter into long-term lease agreements as part of the magnet 
 34.5   school program.  
 34.6      Sec. 3.  [APPROPRIATIONS.] 
 34.7      Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 34.8   LEARNING.] The sums indicated in this section are appropriated 
 34.9   from the general fund to the department of children, families, 
 34.10  and learning for the fiscal years designated.  
 34.11     Subd. 2.  [HEALTH AND SAFETY AID.] For health and safety 
 34.12  aid according to Minnesota Statutes, section 123B.57, 
 34.13  subdivision 5: 
 34.14       $17,615,000    .....     2000 
 34.15       $18,000,000    .....     2001 
 34.16     The 2000 appropriation includes $1,415,000 for 1999 and 
 34.17  $16,200,000 for 2000.  
 34.18     The 2001 appropriation includes $1,800,000 for 2000 and 
 34.19  $16,200,000 for 2001.  
 34.20     Subd. 3.  [DEBT SERVICE AID.] For debt service aid 
 34.21  according to Minnesota Statutes, section 123B.53, subdivision 6: 
 34.22       $33,289,000    .....     2000
 34.23       $32,071,000    .....     2001
 34.24     The 2000 appropriation includes $3,842,000 for 1999 and 
 34.25  $29,447,000 for 2000. 
 34.26     The 2001 appropriation includes $3,271,000 for 2000 and 
 34.27  $28,800,000 for 2001. 
 34.28     Subd. 4.  [INTERACTIVE TELEVISION (ITV) AID.] For 
 34.29  interactive television (ITV) aid under Minnesota Statutes, 
 34.30  section 126C.40, subdivision 4: 
 34.31       $4,197,000     .....     2000
 34.32       $2,851,000     .....     2001
 34.33     The 2000 appropriation includes $405,000 for 1999 and 
 34.34  $3,792,000 for 2000. 
 34.35     The 2001 appropriation includes $421,000 for 2000 and 
 34.36  $2,430,000 for 2001. 
 35.1      Subd. 5.  [ALTERNATIVE FACILITIES BONDING AID.] For 
 35.2   alternative facilities bonding aid, according to Minnesota 
 35.3   Statutes, section 123B.59, subdivision 1: 
 35.4        $18,855,000    .....     2000 
 35.5        $19,271,000    .....     2001 
 35.6      The 2000 appropriation includes $1,635,000 for 2000 and 
 35.7   $17,220,000 for 2001. 
 35.8      The 2001 appropriation includes $1,913,000 for 2000 and 
 35.9   $17,358,000 for 2001. 
 35.10                             ARTICLE 5 
 35.11                        EDUCATION EXCELLENCE 
 35.12     Section 1.  Minnesota Statutes 1998, section 124D.11, 
 35.13  subdivision 1, is amended to read: 
 35.14     Subdivision 1.  [GENERAL EDUCATION REVENUE.] General 
 35.15  education revenue must be paid to a charter school as though it 
 35.16  were a district.  The general education revenue for each pupil 
 35.17  unit is the state average general education revenue per pupil 
 35.18  unit minus an amount equal to the product of the formula 
 35.19  allowance according to section 126C.10, subdivision 2, times 
 35.20  .0485, calculated without basic skills revenue, transportation 
 35.21  sparsity revenue, and the transportation portion of the 
 35.22  transition revenue adjustment, plus basic skills revenue as 
 35.23  though the school were a school district, plus an amount equal 
 35.24  to the lesser of the referendum equalization allowance under 
 35.25  section 126C.17, subdivision 5, paragraph (b), or the referendum 
 35.26  equalization revenue per pupil unit for the district in which 
 35.27  the charter school is located. 
 35.28     Sec. 2.  Minnesota Statutes 1998, section 124D.11, 
 35.29  subdivision 6, is amended to read: 
 35.30     Subd. 6.  [OTHER AID, GRANTS, REVENUE.] (a) A charter 
 35.31  school is eligible to receive other aids, grants, and revenue 
 35.32  according to chapters 120A to 129C, as though it were a district.
 35.33  except that, notwithstanding section 127A.45, subdivision 3, the 
 35.34  payments must be of an equal amount on each of the 23 payment 
 35.35  dates unless a charter school is in its first year of operation 
 35.36  in which case it shall receive on its first payment date ten 
 36.1   percent of its cumulative amount guaranteed for the year and 22 
 36.2   payments of an equal amount thereafter the sum of which shall be 
 36.3   90 percent of the cumulative amount guaranteed.  However, it 
 36.4      (b) Notwithstanding paragraph (a), a charter school may not 
 36.5   receive aid, a grant, or revenue if a levy is required to obtain 
 36.6   the money, except as otherwise provided in this section.  
 36.7      (c) Federal aid received by the state must be paid to the 
 36.8   school, if it qualifies for the aid as though it were a school 
 36.9   district. 
 36.10     (b) (d) A charter school may receive money from any source 
 36.11  for capital facilities needs.  In the year-end report to the 
 36.12  state board of education, the charter school shall report the 
 36.13  total amount of funds received from grants and other outside 
 36.14  sources. 
 36.15     Sec. 3.  Minnesota Statutes 1998, section 124D.11, is 
 36.16  amended by adding a subdivision to read: 
 36.17     Subd. 9.  [PAYMENT OF AIDS TO CHARTER SCHOOLS.] (a) 
 36.18  Notwithstanding section 127A.45, subdivision 3, aid payments for 
 36.19  the current fiscal year to a charter school not in its first 
 36.20  year of operation shall be of an equal amount on each of the 23 
 36.21  payment dates.  A charter school in its first year of operation 
 36.22  shall receive, on its first payment date, ten percent of its 
 36.23  cumulative amount guaranteed for the year and 22 payments of an 
 36.24  equal amount thereafter the sum of which shall be 90 percent of 
 36.25  the cumulative amount guaranteed. 
 36.26     (b) Notwithstanding section 127A.45, subdivision 3, and 
 36.27  paragraph (a), 90 percent of the start-up cost aid under 
 36.28  subdivision 8 shall be paid within 30 days of receipt of a fall 
 36.29  enrollment report from the charter school. 
 36.30     Sec. 4.  [124D.129] [EXTENDED INSTRUCTION PROGRAM GRANTS.] 
 36.31     Subdivision 1.  [ESTABLISHMENT.] A grant program is 
 36.32  established to provide additional instructional time to ensure 
 36.33  the pupils are successful on the basic skills test. 
 36.34     Subd. 2.  [ELIGIBILITY.] A district is eligible for a grant 
 36.35  under this section if it does not have access to an area 
 36.36  learning center, a public alternative program, a contracted 
 37.1   alternative program, or a learning year site.  Grants will be 
 37.2   provided if the school board adopts a biennial plan for extended 
 37.3   day, week, or year programs that is approved by the commissioner 
 37.4   of children, families, and learning. 
 37.5      Subd. 3.  [APPLICATION PROCESS.] To obtain a grant for 
 37.6   providing an extended day, year, or week program, a district 
 37.7   must submit an application to the commissioner in the form and 
 37.8   manner and according to the time line established by the 
 37.9   commissioner.  The grant application must describe how the 
 37.10  applicant will:  
 37.11     (1) identify pupils to participate in the extended 
 37.12  instruction; 
 37.13     (2) structure the additional learning time provided for the 
 37.14  pupils; 
 37.15     (3) evaluate student success as a result of the program 
 37.16  based on test scores; 
 37.17     (4) provide alternative methods of instruction; and 
 37.18     (5) describe barriers that prohibit the district from 
 37.19  accessing an area learning center, a public alternative program, 
 37.20  a contracted alternative program, or establishing a learning 
 37.21  year site.  
 37.22     The grant application must also include any additional 
 37.23  information as required by the commissioner. 
 37.24     Subd. 4.  [REVENUE.] (a) The revenue for a district with an 
 37.25  approved application equals the product of the extended 
 37.26  instruction pupil units times the general education formula 
 37.27  allowance under section 126C.10, subdivision 2. 
 37.28     (b) For an elementary pupil, the extended instruction pupil 
 37.29  units shall equal the ratio of the number of hours the pupil is 
 37.30  enrolled in the extended instruction program during the fiscal 
 37.31  year to 952 hours times 1.06. 
 37.32     (c) For a secondary pupil, the extended instruction pupil 
 37.33  units shall equal the ratio of the number of hours the pupil is 
 37.34  enrolled in the extended instruction program during the fiscal 
 37.35  year to 1038 hours times 1.3. 
 37.36     Sec. 5.  Minnesota Statutes 1998, section 125B.05, 
 38.1   subdivision 3, is amended to read: 
 38.2      Subd. 3.  [SOFTWARE DEVELOPMENT.] The commissioner may 
 38.3   charge school districts or cooperative units for the actual cost 
 38.4   of software development used by the district or cooperative 
 38.5   unit.  Any amount received is annually appropriated to the 
 38.6   department of children, families, and learning for this 
 38.7   purpose.  A school district, charter school, or cooperative unit 
 38.8   may not implement a payroll financial, student, or staff 
 38.9   software system after June 30, 1994, until the system has been 
 38.10  reviewed by the department to ensure that it provides the 
 38.11  required data elements and format. 
 38.12     Sec. 6.  [APPROPRIATIONS.] 
 38.13     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 38.14  LEARNING.] The sums indicated in this section are appropriated 
 38.15  from the general fund to the department of children, families, 
 38.16  and learning for the fiscal years designated. 
 38.17     Subd. 2.  [STATEWIDE TESTING.] For supporting 
 38.18  implementation of the graduation standards: 
 38.19       $10,000,000    .....     2000 
 38.20       $10,000,000    .....     2001 
 38.21     Any balance in the first year does not cancel but is 
 38.22  available in the second year. 
 38.23     Subd. 3.  [ADVANCED PLACEMENT AND INTERNATIONAL 
 38.24  BACCALAUREATE PROGRAMS.] For the state advanced placement and 
 38.25  international baccalaureate programs: 
 38.26       $1,875,000     .....     2000 
 38.27       $1,875,000     .....     2001 
 38.28     Notwithstanding Minnesota Statutes, section 120B.13, 
 38.29  subdivisions 1 and 2, $375,000 each year is for teachers to 
 38.30  attend subject matter summer training programs and follow-up 
 38.31  support workshops approved by the advanced placement or 
 38.32  international baccalaureate programs.  The amount of the subsidy 
 38.33  for each teacher attending an advanced placement or 
 38.34  international baccalaureate summer training program or workshop 
 38.35  shall be the same.  The commissioner shall determine the payment 
 38.36  process and the amount of the subsidy. 
 39.1      Notwithstanding Minnesota Statutes, section 120B.13, 
 39.2   subdivision 3, in each year to the extent of available 
 39.3   appropriations, the commissioner shall pay all examination fees 
 39.4   for all students sitting for an advanced placement examination, 
 39.5   international baccalaureate examination, or both.  If this 
 39.6   amount is not adequate, the commissioner may pay less than the 
 39.7   full examination fee. 
 39.8      Any balance in the first year does not cancel but is 
 39.9   available in the second year. 
 39.10     Subd. 4.  [COLLABORATIVE URBAN EDUCATOR PROGRAMS.] For 
 39.11  grants to collaborative urban educator programs that prepare and 
 39.12  license people of color to teach: 
 39.13       $500,000        .....     2000
 39.14       $500,000        .....     2001 
 39.15     Any balance in the first year does not cancel but is 
 39.16  available in the second year.  These appropriations are one-time 
 39.17  only. 
 39.18     Subd. 5.  [CHARTER SCHOOL BUILDING LEASE AID.] For building 
 39.19  lease aid according to Minnesota Statutes, section 124D.11, 
 39.20  subdivision 4: 
 39.21       $2,470,000     .....     2000 
 39.22       $2,954,000     .....     2001 
 39.23     The 2000 appropriation includes $184,000 for 1999 and 
 39.24  $2,286,000 for 2000. 
 39.25     The 2001 appropriation includes $254,000 for 2000 and 
 39.26  $2,700,000 for 2001.  
 39.27     Subd. 6.  [CHARTER SCHOOL START-UP GRANTS.] For charter 
 39.28  school start-up cost aid under Minnesota Statutes, section 
 39.29  124D.11: 
 39.30       $1,789,000     .....     2000 
 39.31       $1,877,000     .....     2001 
 39.32     The 2000 appropriation includes $100,000 for 1999 and 
 39.33  $1,689,000 for 2000.  
 39.34     The 2001 appropriation includes $188,000 for 1999 and 
 39.35  $1,689,000 for 2001. 
 39.36     Any balance in the first year does not cancel but is 
 40.1   available in the second year.  This appropriation may also be 
 40.2   used for grants to convert existing schools into charter schools.
 40.3      Subd. 7.  [LEARNING ACADEMY.] For training and staff 
 40.4   development for learning academies: 
 40.5        $500,000        .....     2000
 40.6        $500,000        .....     2001 
 40.7      Any balance in the first year does not cancel but is 
 40.8   available in the second year. 
 40.9      Subd. 8.  [ST. PAUL COMMUNITY-BASED SCHOOL PROGRAM.] For a 
 40.10  grant to independent school district No. 625, St. Paul, for the 
 40.11  operation of a community-based school program.  The school 
 40.12  district must report to the legislature on the academic and 
 40.13  social results of this program by January 15, 2000. 
 40.14       $3,000,000     .....     2000 
 40.15     Any balance in the first year does not cancel but is 
 40.16  available in the second year.  This appropriation is one-time 
 40.17  only. 
 40.18     Subd. 9.  [CONNECTING HIGHER EDUCATION TO K-12 
 40.19  EDUCATION.] For a grant to the University of Minnesota for 
 40.20  development and implementation of regional partnership centers 
 40.21  to connect K-12 schools with higher education research and 
 40.22  resources. 
 40.23       $900,000       .....     2000 
 40.24     This appropriation is one-time only. 
 40.25     Subd. 10.  [RESIDENTIAL ACADEMIES OPERATING COSTS.] For 
 40.26  operating costs associated with the three residential academies 
 40.27  created under Laws 1998, chapter 398, article 5, sections 46 and 
 40.28  54, subdivision 3: 
 40.29       $  900,000     .....     2000 
 40.30       $2,000,000     .....     2001 
 40.31     Any balance in the first year does not cancel but is 
 40.32  available in the second year. 
 40.33     Subd. 11.  [EXTENDED INSTRUCTION GRANTS.] For extended 
 40.34  instruction grants under Minnesota Statutes, section 124D.129: 
 40.35       $1,800,000     .....     2000 
 40.36       $2,000,000     .....     2001 
 41.1      Any balance in the first year does not cancel but is 
 41.2   available in the second year. 
 41.3      Sec. 7.  [REPEALER.] 
 41.4      Minnesota Statutes 1998, section 124D.90, is repealed. 
 41.5                              ARTICLE 6 
 41.6                            OTHER PROGRAMS 
 41.7      Section 1.  Minnesota Statutes 1998, section 120A.24, 
 41.8   subdivision 1, is amended to read: 
 41.9      Subdivision 1.  [REPORTS TO SUPERINTENDENT.] The person in 
 41.10  charge of providing instruction to a child must submit the 
 41.11  following information to the superintendent of the district in 
 41.12  which the child resides: 
 41.13     (1) by October 1 of each school year, the name, age birth 
 41.14  date, and address of each child receiving instruction; 
 41.15     (2) the name of each instructor and evidence of compliance 
 41.16  with one of the requirements specified in section 120A.22, 
 41.17  subdivision 10; 
 41.18     (3) an annual instructional calendar; and 
 41.19     (4) for each child instructed by a parent who meets only 
 41.20  the requirement of section 120A.22, subdivision 10, clause (6), 
 41.21  a quarterly report card on the achievement of the child in each 
 41.22  subject area required in section 120A.22, subdivision 9. 
 41.23     Sec. 2.  Minnesota Statutes 1998, section 122A.26, is 
 41.24  amended by adding a subdivision to read: 
 41.25     Subd. 3.  [ENGLISH AS A SECOND LANGUAGE.] Notwithstanding 
 41.26  subdivision 2, a person who possesses a bachelor's or master's 
 41.27  degree in English as a second language, applied linguistics, 
 41.28  bilingual education or who possesses a related degree as 
 41.29  approved by the commissioner of children, families, and 
 41.30  learning, shall be permitted to teach English as a second 
 41.31  language in an adult basic education program which receives 
 41.32  funding under section 124D.53.  A person employed under this 
 41.33  provision shall be required to meet the continuing education 
 41.34  requirements specified under the board of teaching continuing 
 41.35  education rule in Minnesota Rules, part 8700.0900.  The required 
 41.36  continuing education clock hours must be relevant to the field 
 42.1   of adult basic education. 
 42.2      Sec. 3.  Minnesota Statutes 1998, section 123A.48, 
 42.3   subdivision 10, is amended to read: 
 42.4      Subd. 10.  [DISTRICT BOARD ADOPTION OF PROPOSED PLAT.] The 
 42.5   board of any independent district maintaining a secondary 
 42.6   school, the board of any common district maintaining a secondary 
 42.7   school, all or part of whose land is included in the proposed 
 42.8   new district, must, within 45 days of the approval of the plat 
 42.9   by the commissioner, either adopt or reject the plan as proposed 
 42.10  in the approved plat.  If the board of any such district 
 42.11  entitled to act on the petition rejects the proposal, the 
 42.12  proceedings are terminated and dismissed.  If any board fails to 
 42.13  act on the plat within the time allowed, the proceedings are 
 42.14  terminated.  If any school board is unable to obtain a majority 
 42.15  of its members votes to accept or reject the plat and plan, a 
 42.16  petition of residents of the district unable to obtain a 
 42.17  majority of votes equal to 20 percent of the votes cast in the 
 42.18  last school election in that district may be submitted to the 
 42.19  county auditor requesting a public vote to accept or reject the 
 42.20  plat and plan.  The vote shall be scheduled on the next 
 42.21  available election date.  The county auditor shall notify the 
 42.22  commissioner of the scheduled vote and certify the results of 
 42.23  the election to the commission.  Other affected school boards 
 42.24  that approve the plat and plan may chose to hold an election.  
 42.25  If elections are conducted in each affected school district, 
 42.26  results shall be separate and a majority vote to approve the 
 42.27  plat and plan must be reached in each of the affected 
 42.28  districts.  If the plat and plan are rejected by the voters, a 
 42.29  new plat and plan cannot be submitted, except by school board 
 42.30  resolution in a district where the plat and plan were rejected, 
 42.31  until January 1 of the year following the next school board 
 42.32  election.  
 42.33     Sec. 4.  Minnesota Statutes 1998, section 126C.46, is 
 42.34  amended to read: 
 42.35     126C.46 [ABATEMENT LEVY.] 
 42.36     (a) Each year, a school district may levy an amount to 
 43.1   replace the net revenue lost to abatements that have occurred 
 43.2   under chapter 278, section 270.07, 375.192, or otherwise.  The 
 43.3   maximum abatement levy is the sum of: 
 43.4      (1) the amount of the net revenue loss determined under 
 43.5   section 127A.49, subdivision 2, that is not paid in state aid 
 43.6   including any aid amounts not paid due to proration; 
 43.7      (2) the difference of (i) the amount of any abatements that 
 43.8   have been reported by the county auditor for the first six 
 43.9   months of the calendar year during which the abatement levy is 
 43.10  certified that the district chooses to levy, (ii) less any 
 43.11  amount actually levied under this clause that was certified in 
 43.12  the previous calendar year for the first six months of the 
 43.13  previous calendar year; and 
 43.14     (3) an amount equal to any interest paid on abatement 
 43.15  refunds.  
 43.16     (b) A district may spread this levy over a period not to 
 43.17  exceed three two years.  With the approval of the commissioner, 
 43.18  a district may spread this levy over a period not to exceed 
 43.19  three years. 
 43.20     By July 15, the county auditor shall separately report the 
 43.21  abatements that have occurred during the first six calendar 
 43.22  months of that year to the commissioner and each district 
 43.23  located within the county. 
 43.24     Sec. 5.  Minnesota Statutes 1998, section 124D.94, 
 43.25  subdivision 3, is amended to read: 
 43.26     Subd. 3.  [BOARD OF DIRECTORS.] The board of directors of 
 43.27  the foundation shall consist of the commissioner of children, 
 43.28  families, and learning, a member of the state board of education 
 43.29  selected by the state board who shall serve as chair and 20 
 43.30  members to be appointed by the governor.  Of the 20 members 
 43.31  appointed by the governor, eight shall represent a variety of 
 43.32  education groups and 12 shall represent a variety of business 
 43.33  groups.  The commissioner of children, families, and learning 
 43.34  shall serve as secretary for the board of directors and provide 
 43.35  administrative support to the foundation.  An executive 
 43.36  committee of the foundation board composed of the board officers 
 44.1   and chairs of board committees, may only advise and make 
 44.2   recommendations to the foundation board. 
 44.3      Sec. 6.  Minnesota Statutes 1998, section 124D.94, 
 44.4   subdivision 6, is amended to read: 
 44.5      Subd. 6.  [CONTRACTS.] The foundation board shall review 
 44.6   and approve each contract of the board.  Each contract of the 
 44.7   foundation board shall be subject to the same review and 
 44.8   approval procedures as a contract of the state board of 
 44.9   education department of children, families, and learning. 
 44.10     Sec. 7.  Minnesota Statutes 1998, section 124D.94, 
 44.11  subdivision 7, is amended to read: 
 44.12     Subd. 7.  [FOUNDATION STAFF.] (a) The state board 
 44.13  foundation board with review by the commissioner shall appoint 
 44.14  the executive director and other staff who shall perform duties 
 44.15  and have responsibilities solely related to the foundation.  
 44.16     (b) As part of the annual plan of work, the foundation, 
 44.17  under the direction of with review by the state 
 44.18  board commissioner, may appoint up to three employees.  The 
 44.19  employees appointed under this paragraph are not state employees 
 44.20  under chapter 43A, but are covered under section 3.736.  At the 
 44.21  foundation board's discretion, the employees may participate in 
 44.22  the state health and state insurance plans for employees in 
 44.23  unclassified service.  The employees shall be supervised by the 
 44.24  executive director. 
 44.25     Sec. 8.  [APPROPRIATIONS.] 
 44.26     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 44.27  LEARNING.] The sums indicated in this section are appropriated 
 44.28  from the general fund to the department of children, families, 
 44.29  and learning for the fiscal years designated.  
 44.30     Subd. 2.  [ABATEMENT AID.] For abatement aid according to 
 44.31  Minnesota Statutes, section 127A.49:  
 44.32       $10,752,000    .....     2000 
 44.33       $ 9,689,000    .....     2001 
 44.34     The 2000 appropriation includes $1,352,000 for 1999 and 
 44.35  $9,400,000 for 2000.  
 44.36     The 2001 appropriation includes $1,044,000 for 2000 and 
 45.1   $8,645,000 for 2001.  
 45.2      Subd. 3.  [NONPUBLIC PUPIL AID.] For nonpublic pupil 
 45.3   education aid according to Minnesota Statutes, sections 123.79 
 45.4   and 123B.40 to 123B.43: 
 45.5        $10,954,000    .....      2000 
 45.6        $11,578,000    .....      2001 
 45.7      The 2000 appropriation includes $970,000 for 1999 and 
 45.8   $9,984,000 for 2000. 
 45.9      The 2001 appropriation includes $1,109,000 for 2000 and 
 45.10  $10,469,000 for 2001. 
 45.11     Subd. 4.  [CONSOLIDATION TRANSITION AID.] For districts 
 45.12  consolidating under Minnesota Statutes, section 123A.485: 
 45.13       $716,000       .....     2000
 45.14       $670,000       .....     2001
 45.15     The 2000 appropriation includes $113,000 for 1999 and 
 45.16  $603,000 for 2000. 
 45.17     The 2001 appropriation includes $67,000 for 2000 and 
 45.18  $603,000 for 2001. 
 45.19     Any balance in the first year does not cancel but is 
 45.20  available in the second year. 
 45.21     Subd. 5.  [NONPUBLIC PUPIL TRANSPORTATION.] For nonpublic 
 45.22  pupil transportation aid under Minnesota Statutes, section 
 45.23  123B.92, subdivision 9: 
 45.24       $16,877,000    .....     2000 
 45.25       $17,919,000    .....     2001 
 45.26     The 2000 appropriation includes $1,848,000 for 2000 and 
 45.27  $15,029,000 for 2001. 
 45.28     The 2001 appropriation includes $1,669,000 for 2000 and 
 45.29  $16,250,000 for 2001. 
 45.30     Sec. 9.  [REPEALER.] 
 45.31     Minnesota Statutes 1998, sections 124D.24; 124D.25; 
 45.32  124D.26; 124D.27; 124D.28; 124D.29; and 124D.30, are repealed. 
 45.33                             ARTICLE 7 
 45.34                         NUTRITION PROGRAMS 
 45.35     Section 1.  [124D.1155] [FAST BREAK TO LEARNING GRANTS.] 
 45.36     Subdivision 1.  [ESTABLISHMENT.] A grant program is 
 46.1   established to ensure that all children have an opportunity to 
 46.2   eat a nutritious breakfast each school day and that barriers 
 46.3   such as social stigma of poverty, facilities, or transportation 
 46.4   do not impede student access to nutritious food. 
 46.5      Subd. 2.  [ELIGIBILITY.] An applicant for a grant must be a 
 46.6   public elementary school that participates in the federal school 
 46.7   breakfast and lunch programs.  First priority will be given to 
 46.8   schools where at least 33 percent of the lunches the school 
 46.9   served to children during the preceding school year were 
 46.10  provided free or at a reduced price.  Second priority will be 
 46.11  given to all other public elementary schools. 
 46.12     Subd. 3.  [APPLICATION PROCESS.] To obtain a grant to 
 46.13  receive reimbursement for providing breakfasts to all children, 
 46.14  a public elementary school must submit an application to the 
 46.15  commissioner of children, families, and learning in the form and 
 46.16  manner the commissioner prescribes.  The application must 
 46.17  describe how the applicant will encourage all children in the 
 46.18  school to participate in the breakfast program.  The applicant 
 46.19  must also demonstrate to the commissioner that the applicant 
 46.20  will collect a $1 local match of funding for every $3 of state 
 46.21  funding the applicant receives.  The applicant must raise the 
 46.22  local match by charging student households not eligible for 
 46.23  federal free or reduced price meals.  The applicant can 
 46.24  determine the method for charging student households for school 
 46.25  breakfast however it must include a consideration of the 
 46.26  household's ability to pay.  The applicant cannot collect local 
 46.27  funds from student households for school breakfast that exceeds 
 46.28  the difference between the revenue from federal and state aids 
 46.29  and the actual cost of providing the breakfast.  The 
 46.30  commissioner may require additional information from the 
 46.31  applicant. 
 46.32     Subd. 4.  [GRANT AWARDS.] The commissioner shall award 
 46.33  grants to the 41 grant recipients under Laws 1997, First Special 
 46.34  Session chapter 4, article 6, section 19, and then according to 
 46.35  need as determined by the percentage of students enrolled in the 
 46.36  school who are eligible for federal free or reduced price meals 
 47.1   and that meet the requirements of subdivisions 2 and 3 until 
 47.2   funding under this section is expended.  The commissioner shall 
 47.3   determine the amount of the grant using average statewide 
 47.4   statistics and individual school statistics adjusted for other 
 47.5   state and federal reimbursements.  Grant recipients must use the 
 47.6   proceeds to provide breakfast to school children every day 
 47.7   school is in session. 
 47.8      Subd. 5.  [EXPIRATION.] This section expires June 30, 2004. 
 47.9      Sec. 2.  [APPROPRIATIONS.] 
 47.10     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 47.11  LEARNING.] The sums indicated in this section are appropriated 
 47.12  from the general fund to the department of children, families, 
 47.13  and learning for the fiscal years designated. 
 47.14     Subd. 2.  [SCHOOL LUNCH AND FOOD STORAGE AID.] (a) For 
 47.15  school lunch aid according to Minnesota Statutes, section 
 47.16  124D.111, and Code of Federal Regulations, title 7, section 
 47.17  210.17, and for food storage and transportation costs for United 
 47.18  States Department of Agriculture donated commodities; and for a 
 47.19  temporary transfer to the commodity processing revolving fund to 
 47.20  provide cash flow to permit schools and other recipients of 
 47.21  donated commodities to take advantage of volume processing rates 
 47.22  and for school milk aid according to Minnesota Statutes, section 
 47.23  124D.118:  
 47.24       $7,770,000     .....     2000 
 47.25       $7,770,000     .....     2001 
 47.26     (b) Any unexpended balance remaining from the 
 47.27  appropriations in this subdivision shall be prorated among 
 47.28  participating schools based on the number of free, reduced, and 
 47.29  fully paid federally reimbursable student lunches served during 
 47.30  that school year.  
 47.31     (c) If the appropriation amount attributable to either year 
 47.32  is insufficient, the rate of payment for each fully paid student 
 47.33  lunch shall be reduced and the aid for that year shall be 
 47.34  prorated among participating schools so as not to exceed the 
 47.35  total authorized appropriation for that year.  
 47.36     (d) Any temporary transfer processed in accordance with 
 48.1   this subdivision to the commodity processing fund will be 
 48.2   returned by June 30 in each year so that school lunch aid and 
 48.3   food storage costs can be fully paid as scheduled.  
 48.4      (e) Not more than $800,000 of the amount appropriated each 
 48.5   year may be used for school milk aid. 
 48.6      (f) The commissioner may reduce other future aid and grant 
 48.7   payments due to school districts and other organizations for the 
 48.8   costs of processing and storage of commodities used by the 
 48.9   district or organization. 
 48.10     Subd. 3.  [SCHOOL BREAKFAST OUTREACH.] To initiate school 
 48.11  breakfast programs under Minnesota Statutes, section 124D.115, 
 48.12  at school sites not currently providing a school breakfast 
 48.13  program or at schools that initiated a school breakfast program 
 48.14  during the 1996-1997 school year: 
 48.15       $15,000        .....     2000 
 48.16       $15,000        .....     2001 
 48.17     Subd. 4.  [SUMMER FOOD SERVICE REPLACEMENT AID.] For summer 
 48.18  food service replacement aid under Minnesota Statutes, section 
 48.19  124D.119: 
 48.20       $150,000       .....     2000 
 48.21       $150,000       .....     2001 
 48.22     Subd. 5.  [FAST BREAK TO LEARNING GRANTS.] For fast break 
 48.23  to learning grants under Minnesota Statutes, section 124D.1155: 
 48.24       $2,956,000     .....     2000 
 48.25       $2,956,000     .....     2001 
 48.26     Any balance in the first year does not cancel but is 
 48.27  available in the second year. 
 48.28     Sec. 3.  [REPEALER.] 
 48.29     Minnesota Statutes 1998, section 124D.112, is repealed. 
 48.30                             ARTICLE 8 
 48.31                             LIBRARIES 
 48.32     Section 1.  [APPROPRIATIONS.] 
 48.33     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 48.34  LEARNING.] The sums indicated in this section are appropriated 
 48.35  from the general fund to the department of children, families, 
 48.36  and learning for the fiscal years designated.  
 49.1      Subd. 2.  [BASIC SUPPORT GRANTS.] For basic support grants 
 49.2   according to Minnesota Statutes, sections 134.32 to 134.35: 
 49.3        $8,495,000      .....     2000 
 49.4        $8,570,000      .....     2001 
 49.5      The 2000 appropriation includes $782,000 for 1999 and 
 49.6   $7,713,000 for 2000.  
 49.7      The 2001 appropriation includes $857,000 for 2000 and 
 49.8   $7,713,000 for 2001.  
 49.9      Subd. 3.  [MULTICOUNTY, MULTITYPE LIBRARY SYSTEMS.] For 
 49.10  grants according to Minnesota Statutes, sections 134.353 and 
 49.11  134.354, to multicounty, multitype library systems: 
 49.12       $903,000       .....     2000 
 49.13       $903,000       .....     2001 
 49.14     The 2000 appropriation includes $90,000 for 1999 and 
 49.15  $813,000 for 2000.  
 49.16     The 2001 appropriation includes $90,000 for 2000 and 
 49.17  $813,000 for 2001. 
 49.18     Subd. 4.  [REGIONAL LIBRARY TELECOMMUNICATIONS AID.] For 
 49.19  grants to regional public library systems under Minnesota 
 49.20  Statutes, section 125B.20, subdivision 3: 
 49.21       $1,700,000     .....     2000 
 49.22       $1,700,000     .....     2001 
 49.23     Any balance in the first year does not cancel but is 
 49.24  available in the second year. 
 49.25     Sec. 2.  [REPEALER.] 
 49.26     Minnesota Statutes 1998, section 134.155, is repealed.  
 49.27  Laws 1997, First Special Session chapter 4, article 3, section 
 49.28  5; and article 8, section 5, are repealed. 
 49.29                             ARTICLE 9 
 49.30                CHILDREN AND FAMILY SUPPORT PROGRAMS 
 49.31     Section 1.  Minnesota Statutes 1998, section 13.46, 
 49.32  subdivision 2, is amended to read: 
 49.33     Subd. 2.  [GENERAL.] (a) Unless the data is summary data or 
 49.34  a statute specifically provides a different classification, data 
 49.35  on individuals collected, maintained, used, or disseminated by 
 49.36  the welfare system is private data on individuals, and shall not 
 50.1   be disclosed except:  
 50.2      (1) according to section 13.05; 
 50.3      (2) according to court order; 
 50.4      (3) according to a statute specifically authorizing access 
 50.5   to the private data; 
 50.6      (4) to an agent of the welfare system, including a law 
 50.7   enforcement person, attorney, or investigator acting for it in 
 50.8   the investigation or prosecution of a criminal or civil 
 50.9   proceeding relating to the administration of a program; 
 50.10     (5) to personnel of the welfare system who require the data 
 50.11  to determine eligibility, amount of assistance, and the need to 
 50.12  provide services of additional programs to the individual; 
 50.13     (6) to administer federal funds or programs; 
 50.14     (7) between personnel of the welfare system working in the 
 50.15  same program; 
 50.16     (8) the amounts of cash public assistance and relief paid 
 50.17  to welfare recipients in this state, including their names, 
 50.18  social security numbers, income, addresses, and other data as 
 50.19  required, upon request by the department of revenue to 
 50.20  administer the property tax refund law, supplemental housing 
 50.21  allowance, early refund of refundable tax credits, and the 
 50.22  income tax.  "Refundable tax credits" means the dependent care 
 50.23  credit under section 290.067, the Minnesota working family 
 50.24  credit under section 290.0671, the property tax refund under 
 50.25  section 290A.04, and, if the required federal waiver or waivers 
 50.26  are granted, the federal earned income tax credit under section 
 50.27  32 of the Internal Revenue Code; 
 50.28     (9) between the department of human services, department of 
 50.29  children, families, and learning, and the Minnesota department 
 50.30  of economic security for the purpose of monitoring the 
 50.31  eligibility of the data subject for reemployment insurance, for 
 50.32  any employment or training program administered, supervised, or 
 50.33  certified by that agency, for the purpose of administering any 
 50.34  rehabilitation program or child care assistance program, whether 
 50.35  alone or in conjunction with the welfare system, or to monitor 
 50.36  and evaluate the statewide Minnesota family investment program 
 51.1   by exchanging data on recipients and former recipients of food 
 51.2   stamps, cash assistance under chapter 256, 256D, 256J, or 256K, 
 51.3   child care assistance under chapter 119B, or medical programs 
 51.4   under chapter 256B, 256D, or 256L; 
 51.5      (10) to appropriate parties in connection with an emergency 
 51.6   if knowledge of the information is necessary to protect the 
 51.7   health or safety of the individual or other individuals or 
 51.8   persons; 
 51.9      (11) data maintained by residential programs as defined in 
 51.10  section 245A.02 may be disclosed to the protection and advocacy 
 51.11  system established in this state according to Part C of Public 
 51.12  Law Number 98-527 to protect the legal and human rights of 
 51.13  persons with mental retardation or other related conditions who 
 51.14  live in residential facilities for these persons if the 
 51.15  protection and advocacy system receives a complaint by or on 
 51.16  behalf of that person and the person does not have a legal 
 51.17  guardian or the state or a designee of the state is the legal 
 51.18  guardian of the person; 
 51.19     (12) to the county medical examiner or the county coroner 
 51.20  for identifying or locating relatives or friends of a deceased 
 51.21  person; 
 51.22     (13) data on a child support obligor who makes payments to 
 51.23  the public agency may be disclosed to the higher education 
 51.24  services office to the extent necessary to determine eligibility 
 51.25  under section 136A.121, subdivision 2, clause (5); 
 51.26     (14) participant social security numbers and names 
 51.27  collected by the telephone assistance program may be disclosed 
 51.28  to the department of revenue to conduct an electronic data match 
 51.29  with the property tax refund database to determine eligibility 
 51.30  under section 237.70, subdivision 4a; 
 51.31     (15) the current address of a recipient of aid to families 
 51.32  with dependent children or Minnesota family investment 
 51.33  program-statewide may be disclosed to law enforcement officers 
 51.34  who provide the name of the recipient and notify the agency that:
 51.35     (i) the recipient: 
 51.36     (A) is a fugitive felon fleeing to avoid prosecution, or 
 52.1   custody or confinement after conviction, for a crime or attempt 
 52.2   to commit a crime that is a felony under the laws of the 
 52.3   jurisdiction from which the individual is fleeing; or 
 52.4      (B) is violating a condition of probation or parole imposed 
 52.5   under state or federal law; 
 52.6      (ii) the location or apprehension of the felon is within 
 52.7   the law enforcement officer's official duties; and 
 52.8      (iii)  the request is made in writing and in the proper 
 52.9   exercise of those duties; 
 52.10     (16) the current address of a recipient of general 
 52.11  assistance or general assistance medical care may be disclosed 
 52.12  to probation officers and corrections agents who are supervising 
 52.13  the recipient and to law enforcement officers who are 
 52.14  investigating the recipient in connection with a felony level 
 52.15  offense; 
 52.16     (17) information obtained from food stamp applicant or 
 52.17  recipient households may be disclosed to local, state, or 
 52.18  federal law enforcement officials, upon their written request, 
 52.19  for the purpose of investigating an alleged violation of the 
 52.20  Food Stamp Act, according to Code of Federal Regulations, title 
 52.21  7, section 272.1(c); 
 52.22     (18) the address, social security number, and, if 
 52.23  available, photograph of any member of a household receiving 
 52.24  food stamps shall be made available, on request, to a local, 
 52.25  state, or federal law enforcement officer if the officer 
 52.26  furnishes the agency with the name of the member and notifies 
 52.27  the agency that:  
 52.28     (i) the member: 
 52.29     (A) is fleeing to avoid prosecution, or custody or 
 52.30  confinement after conviction, for a crime or attempt to commit a 
 52.31  crime that is a felony in the jurisdiction the member is 
 52.32  fleeing; 
 52.33     (B) is violating a condition of probation or parole imposed 
 52.34  under state or federal law; or 
 52.35     (C) has information that is necessary for the officer to 
 52.36  conduct an official duty related to conduct described in subitem 
 53.1   (A) or (B); 
 53.2      (ii) locating or apprehending the member is within the 
 53.3   officer's official duties; and 
 53.4      (iii) the request is made in writing and in the proper 
 53.5   exercise of the officer's official duty; 
 53.6      (19) certain information regarding child support obligors 
 53.7   who are in arrears may be made public according to section 
 53.8   518.575; 
 53.9      (20) data on child support payments made by a child support 
 53.10  obligor and data on the distribution of those payments excluding 
 53.11  identifying information on obligees may be disclosed to all 
 53.12  obligees to whom the obligor owes support, and data on the 
 53.13  enforcement actions undertaken by the public authority, the 
 53.14  status of those actions, and data on the income of the obligor 
 53.15  or obligee may be disclosed to the other party; 
 53.16     (21) data in the work reporting system may be disclosed 
 53.17  under section 256.998, subdivision 7; 
 53.18     (22) to the department of children, families, and learning 
 53.19  for the purpose of matching department of children, families, 
 53.20  and learning student data with public assistance data to 
 53.21  determine students eligible for free and reduced price meals, 
 53.22  meal supplements, and free milk according to United States Code, 
 53.23  title 42, sections 1758, 1761, 1766, 1766a, 1772, and 1773; to 
 53.24  produce accurate numbers of students receiving aid to families 
 53.25  with dependent children or Minnesota family investment 
 53.26  program-statewide as required by section 126C.06; to allocate 
 53.27  federal and state funds that are distributed based on income of 
 53.28  the student's family; and to verify receipt of energy assistance 
 53.29  for the telephone assistance plan; 
 53.30     (23) the current address and telephone number of program 
 53.31  recipients and emergency contacts may be released to the 
 53.32  commissioner of health or a local board of health as defined in 
 53.33  section 145A.02, subdivision 2, when the commissioner or local 
 53.34  board of health has reason to believe that a program recipient 
 53.35  is a disease case, carrier, suspect case, or at risk of illness, 
 53.36  and the data are necessary to locate the person; 
 54.1      (24) to other state agencies, statewide systems, and 
 54.2   political subdivisions of this state, including the attorney 
 54.3   general, and agencies of other states, interstate information 
 54.4   networks, federal agencies, and other entities as required by 
 54.5   federal regulation or law for the administration of the child 
 54.6   support enforcement program; 
 54.7      (25) to personnel of public assistance programs as defined 
 54.8   in section 256.741, for access to the child support system 
 54.9   database for the purpose of administration, including monitoring 
 54.10  and evaluation of those public assistance programs; or 
 54.11     (26) to monitor and evaluate the statewide Minnesota family 
 54.12  investment program by exchanging data between the departments of 
 54.13  human services and children, families, and learning, on 
 54.14  recipients and former recipients of food stamps, cash assistance 
 54.15  under chapter 256, 256D, 256J, or 256K, child care assistance 
 54.16  under chapter 119B, or medical programs under chapter 256B, 
 54.17  256D, or 256L.  
 54.18     (b) Information on persons who have been treated for drug 
 54.19  or alcohol abuse may only be disclosed according to the 
 54.20  requirements of Code of Federal Regulations, title 42, sections 
 54.21  2.1 to 2.67. 
 54.22     (c) Data provided to law enforcement agencies under 
 54.23  paragraph (a), clause (15), (16), (17), or (18), or paragraph 
 54.24  (b), are investigative data and are confidential or protected 
 54.25  nonpublic while the investigation is active.  The data are 
 54.26  private after the investigation becomes inactive under section 
 54.27  13.82, subdivision 5, paragraph (a) or (b). 
 54.28     (d) Mental health data shall be treated as provided in 
 54.29  subdivisions 7, 8, and 9, but is not subject to the access 
 54.30  provisions of subdivision 10, paragraph (b). 
 54.31     Sec. 2.  Minnesota Statutes 1998, section 119B.01, 
 54.32  subdivision 2, is amended to read: 
 54.33     Subd. 2.  [APPLICANT.] "Child care fund applicants" means 
 54.34  all parents, stepparents, legal guardians, or eligible 
 54.35  relative caretakers caregivers who reside in the household 
 54.36  family that applies for child care assistance under the child 
 55.1   care fund. 
 55.2      Sec. 3.  Minnesota Statutes 1998, section 119B.01, 
 55.3   subdivision 10, is amended to read: 
 55.4      Subd. 10.  [FAMILY.] "Family" means parents, stepparents, 
 55.5   guardians and their spouses, or other eligible 
 55.6   relative caretakers caregivers and their spouses, and their 
 55.7   blood related dependent children and adoptive siblings under the 
 55.8   age of 18 years living in the same home including children 
 55.9   temporarily absent from the household in settings such as 
 55.10  schools, foster care, and residential treatment facilities or 
 55.11  parents, stepparents, guardians and their spouses, or other 
 55.12  relative caregivers and their spouses temporarily absent from 
 55.13  the household in settings such as schools, military service, or 
 55.14  rehabilitation programs.  When a minor parent or parents and 
 55.15  his, her, or their child or children are living with other 
 55.16  relatives, and the minor parent or parents apply for a child 
 55.17  care subsidy, "family" means only the minor parent or parents 
 55.18  and the their child or children.  An adult may be considered a 
 55.19  dependent member of the family unit if 50 percent of the adult's 
 55.20  support is being provided by the parents, stepparents, guardians 
 55.21  and their spouses, or eligible relative caretakers and their 
 55.22  spouses, residing in the same household.  An adult age 18 or 
 55.23  older who meets this definition of family and is a full-time 
 55.24  high school student and can reasonably be expected to graduate 
 55.25  before age 19 may be considered a dependent member of the family 
 55.26  unit. 
 55.27     Sec. 4.  Minnesota Statutes 1998, section 119B.01, 
 55.28  subdivision 12, is amended to read: 
 55.29     Subd. 12.  [INCOME.] "Income" means earned or unearned 
 55.30  income received by all family members, including public 
 55.31  assistance cash benefits and at-home infant care subsidy 
 55.32  payments, unless specifically excluded.  The following are 
 55.33  excluded from income:  funds used to pay for health insurance 
 55.34  premiums for family members, Supplemental Security Income, 
 55.35  scholarships, work-study income, and grants that cover costs or 
 55.36  reimbursement for tuition, fees, books, and educational 
 56.1   supplies; student loans for tuition, fees, books, supplies, and 
 56.2   living expenses; state and federal earned income tax credits; 
 56.3   in-kind income such as food stamps, energy assistance, foster 
 56.4   care assistance, medical assistance, child care assistance, and 
 56.5   housing subsidies; earned income of full or part-time secondary 
 56.6   school students up to the age of 19, who have not earned a high 
 56.7   school or general equivalency diploma including earnings from 
 56.8   summer employment; grant awards under the family subsidy 
 56.9   program; nonrecurring lump sum income only to the extent that it 
 56.10  is earmarked and used for the purpose for which it is paid; and 
 56.11  any income assigned to the public authority according to section 
 56.12  256.74 or 256.741, if enacted. 
 56.13     Sec. 5.  Minnesota Statutes 1998, section 119B.01, 
 56.14  subdivision 13, is amended to read: 
 56.15     Subd. 13.  [PROVIDER.] "Provider" means a child care 
 56.16  license holder who operates a family day child care home, a 
 56.17  group family day child care home, a day child care center, a 
 56.18  nursery school, a day nursery, an extended day school age child 
 56.19  care program; a legal nonlicensed license exempt extended day 
 56.20  school age child care program which operates under the auspices 
 56.21  of a local school board or a park or recreation board of the 
 56.22  first class that has adopted school age child care standards 
 56.23  guidelines which meet or exceed standards guidelines recommended 
 56.24  by the state department of children, families, and learning, or 
 56.25  a legal nonlicensed caregiver registered provider who is at 
 56.26  least 18 years of age, and who is not a member of the 
 56.27  AFDC Minnesota family investment program assistance unit or a 
 56.28  member of the family receiving child care assistance under this 
 56.29  chapter.  
 56.30     Sec. 6.  Minnesota Statutes 1998, section 119B.01, 
 56.31  subdivision 15, is amended to read: 
 56.32     Subd. 15.  [AFDC MINNESOTA FAMILY INVESTMENT 
 56.33  PROGRAM.] "AFDC" means the aid to families with dependent 
 56.34  children program under sections 256.72 to 256.87; "Minnesota 
 56.35  family investment program" means the state's TANF program under 
 56.36  Public Law Number 104-193, title I, and includes the MFIP 
 57.1   program under sections 256.031 to 256.0361 and 256.0475 to 
 57.2   256.049; the MFIP-S program under chapter 256J; and the work 
 57.3   first program under chapter 256K, whichever program is in effect.
 57.4      Sec. 7.  Minnesota Statutes 1998, section 119B.01, 
 57.5   subdivision 16, is amended to read: 
 57.6      Subd. 16.  [TRANSITION YEAR FAMILIES.] "Transition year 
 57.7   families" means families who have received AFDC assistance under 
 57.8   the Minnesota family investment program, or who were eligible to 
 57.9   receive AFDC assistance under the Minnesota family investment 
 57.10  program after choosing to discontinue receipt of the cash 
 57.11  portion of MFIP-S MFIP assistance under section 256J.31, 
 57.12  subdivision 12, for at least three of the last six months before 
 57.13  losing eligibility for AFDC Minnesota family investment program 
 57.14  due to increased hours of employment, or increased income from 
 57.15  employment or child or spousal support or families participating 
 57.16  in work first under chapter 256K who meet the requirements of 
 57.17  section 256K.07. 
 57.18     Sec. 8.  Minnesota Statutes 1998, section 119B.01, 
 57.19  subdivision 17, is amended to read: 
 57.20     Subd. 17.  [CHILD CARE FUND.] "Child care fund" means a 
 57.21  program under this chapter providing:  
 57.22     (1) financial assistance for child care to parents engaged 
 57.23  in employment or the short-term provision of at-home infant care 
 57.24  for their own child, job search, or education and training 
 57.25  leading to employment or an at-home infant care subsidy; and 
 57.26     (2) grants to develop, expand, and improve the access and 
 57.27  availability of child care services statewide. 
 57.28     Sec. 9.  Minnesota Statutes 1998, section 119B.02, 
 57.29  subdivision 1, is amended to read: 
 57.30     Subdivision 1.  [CHILD CARE SERVICES.] The commissioner 
 57.31  shall develop standards for county and human services boards to 
 57.32  provide child care services to enable eligible families to 
 57.33  participate in employment, training, or education programs.  
 57.34  Within the limits of available appropriations, the commissioner 
 57.35  shall distribute money to counties to reduce the costs of child 
 57.36  care for eligible families.  The commissioner shall adopt rules 
 58.1   to govern the program in accordance with this section.  The 
 58.2   rules must establish a sliding schedule of fees for parents 
 58.3   receiving child care services.  The rules shall provide that 
 58.4   funds received as a lump sum payment of child support arrearages 
 58.5   shall not be counted as income to a family in the month received 
 58.6   but shall be prorated over the 12 months following receipt and 
 58.7   added to the family income during those months.  In the rules 
 58.8   adopted under this section, county and human services boards 
 58.9   shall be authorized to establish policies for payment of child 
 58.10  care spaces for absent children, when the payment is required by 
 58.11  the child's regular provider.  The rules shall not set a maximum 
 58.12  number of days for which absence payments can be made, but 
 58.13  instead shall direct the county agency to set limits and pay for 
 58.14  absences according to the prevailing market practice in the 
 58.15  county.  County policies for payment of absences shall be 
 58.16  subject to the approval of the commissioner.  The commissioner 
 58.17  shall maximize the use of federal money in section 256.736 under 
 58.18  Public Law Number 104-193, titles I and VI, and other programs 
 58.19  that provide federal or state reimbursement for child care 
 58.20  services for low-income families who are in education, training, 
 58.21  job search, or other activities allowed under those programs.  
 58.22  Money appropriated under this section must be coordinated with 
 58.23  the programs that provide federal reimbursement for child care 
 58.24  services to accomplish this purpose.  Federal reimbursement 
 58.25  obtained must be allocated to the county that spent money for 
 58.26  child care that is federally reimbursable under programs that 
 58.27  provide federal reimbursement for child care services.  The 
 58.28  counties shall use the federal money to expand child care 
 58.29  services.  The commissioner may adopt rules under chapter 14 to 
 58.30  implement and coordinate federal program requirements. 
 58.31     Sec. 10.  Minnesota Statutes 1998, section 119B.02, is 
 58.32  amended by adding a subdivision to read: 
 58.33     Subd. 3.  [SUPERVISION OF COUNTIES.] The commissioner shall 
 58.34  supervise child care programs administered by the counties 
 58.35  through standard-setting, technical assistance to the counties, 
 58.36  approval of county plans, and distribution of public money for 
 59.1   services.  The commissioner shall provide training and other 
 59.2   support services to assist counties in planning for and 
 59.3   implementing child care assistance programs.  The commissioner 
 59.4   shall adopt rules under chapter 14 that establish minimum 
 59.5   administrative and service standards for the provision of child 
 59.6   care services by county boards of commissioners.  
 59.7      Sec. 11.  Minnesota Statutes 1998, section 119B.03, 
 59.8   subdivision 3, is amended to read: 
 59.9      Subd. 3.  [ELIGIBLE RECIPIENTS.] Families that meet the 
 59.10  eligibility requirements under sections 119B.07, 119B.09, except 
 59.11  AFDC recipients, MFIP recipients, work first recipients, and 
 59.12  transition year families, and 119B.10 are eligible for child 
 59.13  care assistance under the basic sliding fee program.  Families 
 59.14  enrolled in the basic sliding fee program shall be continued 
 59.15  until they are no longer eligible.  Child care assistance 
 59.16  provided through the child care fund is considered assistance to 
 59.17  the parent. 
 59.18     Sec. 12.  Minnesota Statutes 1998, section 119B.03, 
 59.19  subdivision 4, is amended to read: 
 59.20     Subd. 4.  [FUNDING PRIORITY.] (a) First priority for child 
 59.21  care assistance under the basic sliding fee program must be 
 59.22  given to eligible non-AFDC non-Minnesota family investment 
 59.23  program families who do not have a high school or general 
 59.24  equivalency diploma or who need remedial and basic skill courses 
 59.25  in order to pursue employment or to pursue education leading to 
 59.26  employment.  Within this priority, the following subpriorities 
 59.27  must be used: 
 59.28     (1) child care needs of minor parents; 
 59.29     (2) child care needs of parents under 21 years of age; and 
 59.30     (3) child care needs of other parents within the priority 
 59.31  group described in this paragraph. 
 59.32     (b) Second priority must be given to parents who have 
 59.33  completed their AFDC Minnesota family investment program or work 
 59.34  first transition year. 
 59.35     (c) Third priority must be given to families who are 
 59.36  eligible for portable basic sliding fee assistance through the 
 60.1   portability pool under subdivision 9. 
 60.2      Sec. 13.  Minnesota Statutes 1998, section 119B.03, 
 60.3   subdivision 9, is amended to read: 
 60.4      Subd. 9.  [PORTABILITY POOL.] (a) The commissioner shall 
 60.5   establish a pool of up to five percent of the annual 
 60.6   appropriation for the basic sliding fee program to provide 
 60.7   continuous child care assistance for eligible families who move 
 60.8   between Minnesota counties.  At the end of each allocation 
 60.9   period, any unspent funds in the portability pool must be added 
 60.10  to the funds available for reallocation used for assistance 
 60.11  under the basic sliding fee program.  If expenditures from the 
 60.12  portability pool exceed the amount of money available, the 
 60.13  reallocation pool must be reduced to cover these shortages. 
 60.14     (b) To be eligible for portable basic sliding fee 
 60.15  assistance, a family that has moved from a county in which it 
 60.16  was receiving basic sliding fee assistance to a county with a 
 60.17  waiting list for the basic sliding fee program must: 
 60.18     (1) meet the income and eligibility guidelines for the 
 60.19  basic sliding fee program; and 
 60.20     (2) notify the new county of residence within 30 days of 
 60.21  moving and apply for basic sliding fee assistance in the new 
 60.22  county of residence. 
 60.23     (c) The receiving county must: 
 60.24     (1) accept administrative responsibility for applicants for 
 60.25  portable basic sliding fee assistance at the end of the two 
 60.26  months of assistance under the Unitary Residency act; 
 60.27     (2) continue basic sliding fee assistance for the lesser of 
 60.28  six months or until the family is able to receive assistance 
 60.29  under the county's regular basic sliding program; and 
 60.30     (3) notify the commissioner through the quarterly reporting 
 60.31  process of any family that meets the criteria of the portable 
 60.32  basic sliding fee assistance pool. 
 60.33     Sec. 14.  Minnesota Statutes 1998, section 119B.04, 
 60.34  subdivision 1, is amended to read: 
 60.35     Subdivision 1.  [COMMISSIONER TO ADMINISTER PROGRAM.] The 
 60.36  commissioner of children, families, and learning is authorized 
 61.1   and directed to receive, administer, and expend funds available 
 61.2   under the child care and development fund under Public Law 
 61.3   Number 104-193, Title I VI.  
 61.4      Sec. 15.  Minnesota Statutes 1998, section 119B.05, 
 61.5   subdivision 1, is amended to read: 
 61.6      Subdivision 1.  [ELIGIBLE RECIPIENTS.] Families eligible 
 61.7   for child care assistance under the AFDC Minnesota family 
 61.8   investment program child care program are: 
 61.9      (1) persons receiving services under sections 256.031 to 
 61.10  256.0361 and 256.047 to 256.048; 
 61.11     (2) AFDC Minnesota family investment program recipients who 
 61.12  are employed or in job search and meet the requirements of 
 61.13  section 119B.10; 
 61.14     (3) (2) persons who are members of transition year families 
 61.15  under section 119B.01, subdivision 16; 
 61.16     (4) members of the control group for the STRIDE evaluation 
 61.17  conducted by the Manpower Demonstration Research Corporation; 
 61.18     (5) AFDC caretakers who are participating in the STRIDE and 
 61.19  non-STRIDE AFDC child care program; 
 61.20     (6) (3) families who are participating in employment 
 61.21  orientation or job search, or other employment or training 
 61.22  activities that are included in an approved employability 
 61.23  development plan under chapter 256K; and 
 61.24     (7) MFIP-S (4) MFIP families who are participating in work 
 61.25  activities as required in their job search support or employment 
 61.26  plan, or in appeals, hearings, assessments, or orientations 
 61.27  according to chapter 256J.  Child care assistance to support 
 61.28  work activities as described in section 256J.49 must be 
 61.29  available according to sections 119A.54, 119B.01, subdivision 8, 
 61.30  124D.13, 256E.08, and 611A.32 and titles IVA, IVB, IVE, and XX 
 61.31  of the Social Security Act. 
 61.32     Sec. 16.  Minnesota Statutes 1998, section 119B.061, is 
 61.33  amended to read: 
 61.34     119B.061 [AT-HOME INFANT CHILD CARE PROGRAM.] 
 61.35     Subdivision 1.  [ESTABLISHMENT.] Beginning July 1, 1998, a 
 61.36  family receiving or eligible to in which a parent provides care 
 62.1   for the family's infant child may receive a subsidy in lieu of 
 62.2   assistance if the family is eligible for, or is receiving 
 62.3   assistance under the basic sliding fee program is eligible for 
 62.4   assistance for a parent to provide short-term child care for the 
 62.5   family's infant child.  An eligible family must meet the 
 62.6   eligibility factors under section 119B.09, the income criteria 
 62.7   under section 119B.12, and the requirements of this section.  
 62.8   The commissioner shall establish a pool of up to seven percent 
 62.9   of the annual appropriation for the basic sliding fee program to 
 62.10  provide assistance under the at-home infant child care program.  
 62.11  At the end of the fiscal year, any unspent funds must be used 
 62.12  for assistance under the basic sliding fee program. 
 62.13     Subd. 2.  [ELIGIBLE FAMILIES.] A family with an infant 
 62.14  under the age of one year is eligible for assistance if: 
 62.15     (1) the family is not receiving MFIP-S MFIP, other cash 
 62.16  assistance, or other child care assistance; 
 62.17     (2) the family has not previously received all of the 
 62.18  one-year exemption from the work requirement for infant care 
 62.19  under the MFIP-S MFIP program; 
 62.20     (3) the family has not previously received a lifelong total 
 62.21  of 12 months of assistance under this section; and 
 62.22     (4) the family is participating in the basic sliding fee 
 62.23  program or, for the first child in a family, provides 
 62.24  verification of employment participation in an authorized 
 62.25  activity at the time of application and meets the program 
 62.26  requirements. 
 62.27     Subd. 3.  [ELIGIBLE PARENT.] Only A family is eligible for 
 62.28  assistance under this section if one parent, in a two-parent 
 62.29  family, is eligible for assistance cares for the family's infant 
 62.30  child.  The eligible parent must: 
 62.31     (1) be over the age of 18; 
 62.32     (2) provide care for the infant full-time care for the 
 62.33  child in the child's home; and 
 62.34     (3) provide child care for any other children in the family 
 62.35  that who are eligible for child care assistance under chapter 
 62.36  119B. 
 63.1      Subd. 4.  [ASSISTANCE.] (a) A family is limited to a 
 63.2   lifetime total of 12 months of assistance under this section.  
 63.3   The maximum rate of assistance must be at 75 percent of the rate 
 63.4   established under section 119B.13 for care of infants in 
 63.5   licensed family day care in the applicant's county of 
 63.6   residence.  Assistance must be calculated to reflect the copay 
 63.7   requirement and the family's income level. 
 63.8      (b) A participating family must continue to report income 
 63.9   and other family changes as specified in the county's plan under 
 63.10  section 119B.08, subdivision 3.  The family must treat any 
 63.11  assistance received under this section as unearned income. 
 63.12     (c) Participation in the at-home infant child care program 
 63.13  must be considered participation in the basic sliding fee 
 63.14  program for purposes of continuing eligibility under section 
 63.15  119B.03, subdivision 3. 
 63.16     (d) The time that a family that receives assistance under 
 63.17  this section is ineligible for must be deducted from the 
 63.18  one-year exemption from work requirements under the MFIP-S MFIP 
 63.19  program. 
 63.20     (e) Assistance under this section does not establish an 
 63.21  employer-employee relationship between any member of the 
 63.22  assisted family and the county or state. 
 63.23     Subd. 5.  [IMPLEMENTATION.] By July 1, 1998, the 
 63.24  commissioner shall implement the at-home infant child care 
 63.25  program under this section.  The commissioner shall evaluate 
 63.26  this program and report the impact to the legislature by January 
 63.27  1, 2000.  The evaluation must include data on the number of 
 63.28  families participating in the program; the number of families 
 63.29  continuing to pursue employment or education while participating 
 63.30  in the program; the average income of families prior to, during, 
 63.31  and after participation in the program; family size; and single 
 63.32  parent and two-parent status. 
 63.33     Sec. 17.  Minnesota Statutes 1998, section 119B.07, is 
 63.34  amended to read: 
 63.35     119B.07 [USE OF MONEY.] 
 63.36     Money for persons listed in sections 119B.03, subdivision 
 64.1   3, and 119B.05, subdivision 1, shall be used to reduce the costs 
 64.2   of child care for students, including the costs of child care 
 64.3   for students while employed if enrolled in an eligible education 
 64.4   program at the same time and making satisfactory progress 
 64.5   towards completion of the program.  Counties may not limit the 
 64.6   duration of child care subsidies for a person in an employment 
 64.7   or educational program, except when the person is found to be 
 64.8   ineligible under the child care fund eligibility standards.  Any 
 64.9   limitation must be based on a person's employability plan in the 
 64.10  case of an AFDC a Minnesota family investment program recipient, 
 64.11  and county policies included in the child care allocation plan.  
 64.12  The maximum length of time a student is eligible for child care 
 64.13  assistance under the child care fund for education and training 
 64.14  is no more than the time necessary to complete the credit 
 64.15  requirements for an associate or baccalaureate degree as 
 64.16  determined by the educational institution, excluding basic or 
 64.17  remedial education programs needed to prepare for post-secondary 
 64.18  education or employment.  To be eligible, the student must be in 
 64.19  good standing and be making satisfactory progress toward the 
 64.20  degree.  Time limitations for child care assistance do not apply 
 64.21  to basic or remedial educational programs needed to prepare for 
 64.22  post-secondary education or employment.  These programs 
 64.23  include:  high school, general equivalency diploma, and English 
 64.24  as a second language.  Programs exempt from this time limit must 
 64.25  not run concurrently with a post-secondary program.  High school 
 64.26  students who are participating in a post-secondary options 
 64.27  program and who receive a high school diploma issued by the 
 64.28  school district are exempt from the time limitations while 
 64.29  pursuing a high school diploma.  Financially eligible students 
 64.30  who have received child care assistance for one academic year 
 64.31  shall be provided child care assistance in the following 
 64.32  academic year if funds allocated under sections 119B.03 and 
 64.33  119B.05 are available.  If an AFDC a Minnesota family investment 
 64.34  program recipient who is receiving AFDC Minnesota family 
 64.35  investment program child care assistance under this chapter 
 64.36  moves to another county, continues to participate in educational 
 65.1   or training programs authorized in their employability 
 65.2   development plans, and continues to be eligible for AFDC 
 65.3   Minnesota family investment program child care assistance under 
 65.4   this chapter, the AFDC caretaker Minnesota family investment 
 65.5   program caregiver must receive continued child care assistance 
 65.6   from the county responsible for their current employability 
 65.7   development plan, without interruption according to Minnesota 
 65.8   Statutes, section 256G.07. 
 65.9      Sec. 18.  Minnesota Statutes 1998, section 119B.08, 
 65.10  subdivision 3, is amended to read: 
 65.11     Subd. 3.  [CHILD CARE FUND PLAN.] Effective January 1, 
 65.12  1992, the county will include the plan required under this 
 65.13  subdivision in its biennial community social services plan 
 65.14  required in this section, for the group described in section 
 65.15  256E.03, subdivision 2, paragraph (h).  The commissioner shall 
 65.16  establish the dates by which the county must submit these the 
 65.17  child care fund plans.  The county and designated administering 
 65.18  agency shall submit to the commissioner an annual child care 
 65.19  fund allocation plan.  The plan shall include: 
 65.20     (1) a narrative of the total program for child care 
 65.21  services, including all policies and procedures that affect 
 65.22  eligible families and are used to administer the child care 
 65.23  funds; 
 65.24     (2) the methods used by the county to inform eligible 
 65.25  groups of the availability of child care assistance and related 
 65.26  services; 
 65.27     (3) the provider rates paid for all children by provider 
 65.28  type; 
 65.29     (4) the county prioritization policy for all eligible 
 65.30  groups families under the basic sliding fee program and AFDC 
 65.31  child care program; and 
 65.32     (5) other information as requested by the department to 
 65.33  ensure compliance with the child care fund statutes and rules 
 65.34  promulgated by the commissioner. 
 65.35     The commissioner shall notify counties within 60 days of 
 65.36  the date the plan is submitted whether the plan is approved or 
 66.1   the corrections or information needed to approve the plan.  The 
 66.2   commissioner shall withhold a county's allocation until it has 
 66.3   an approved plan.  Plans not approved by the end of the second 
 66.4   quarter after the plan is due may result in a 25 percent 
 66.5   reduction in allocation.  Plans not approved by the end of the 
 66.6   third quarter after the plan is due may result in a 100 percent 
 66.7   reduction in the allocation to the county.  Counties are to 
 66.8   maintain services despite any reduction in their allocation due 
 66.9   to plans not being approved. 
 66.10     Sec. 19.  Minnesota Statutes 1998, section 119B.09, 
 66.11  subdivision 1, is amended to read: 
 66.12     Subdivision 1.  [GENERAL ELIGIBILITY REQUIREMENTS FOR ALL 
 66.13  APPLICANTS FOR CHILD CARE ASSISTANCE.] (a) Child care services 
 66.14  must be available to families who need child care to find or 
 66.15  keep employment or to obtain the training or education necessary 
 66.16  to find employment and who: 
 66.17     (1) meet the requirements of section 119B.05; receive aid 
 66.18  to families with dependent children, MFIP-S, or work first, 
 66.19  whichever is in effect MFIP; and are receiving participating in 
 66.20  employment and training services under section 256.736 or 
 66.21  chapter 256J or 256K; 
 66.22     (2) have household income below the eligibility levels for 
 66.23  aid to families with dependent children Minnesota family 
 66.24  investment program; or 
 66.25     (3) have household income within a range established by the 
 66.26  commissioner. 
 66.27     (b) Child care services for the families receiving aid to 
 66.28  families with dependent children must be made available as 
 66.29  in-kind services, to cover any difference between the actual 
 66.30  cost and the amount disregarded under the aid to families with 
 66.31  dependent children program.  Child care services to families 
 66.32  whose incomes are below the threshold of eligibility for aid to 
 66.33  families with dependent children, but are not AFDC caretakers, 
 66.34  must be made available with the same copayment required of AFDC 
 66.35  caretakers or MFIP-S caregivers. 
 66.36     (c) All applicants for child care assistance and families 
 67.1   currently receiving child care assistance must be assisted and 
 67.2   required to cooperate in establishment of paternity and 
 67.3   enforcement of child support obligations for all children in the 
 67.4   family as a condition of program eligibility.  For purposes of 
 67.5   this section, a family is considered to meet the requirement for 
 67.6   cooperation when the family complies with the requirements of 
 67.7   section 256.741, if enacted. 
 67.8      Sec. 20.  Minnesota Statutes 1998, section 119B.09, 
 67.9   subdivision 3, is amended to read: 
 67.10     Subd. 3.  [PRIORITIES; ALLOCATIONS.] If a county projects 
 67.11  that its child care allocation is insufficient to meet the needs 
 67.12  of all eligible groups, it may prioritize among the groups that 
 67.13  remain to be served after the county has complied with the 
 67.14  priority requirements of section 119B.03.  Counties that have 
 67.15  established a priority for non-AFDC non-Minnesota family 
 67.16  investment plan families beyond those established under section 
 67.17  119B.03 must submit the policy in the annual allocation child 
 67.18  care fund plan. 
 67.19     Sec. 21.  Minnesota Statutes 1998, section 119B.09, 
 67.20  subdivision 7, is amended to read: 
 67.21     Subd. 7.  [ELIGIBILITY FOR ASSISTANCE.] The date of 
 67.22  eligibility for child care assistance under this chapter is the 
 67.23  later of the date the application was signed; the beginning date 
 67.24  of employment, education, or training; or the date a 
 67.25  determination has been made that the applicant is a participant 
 67.26  in employment and training services under Minnesota Rules, part 
 67.27  3400.0080, subpart 2a, section 256.736, or chapter 256J or 
 67.28  256K.  The date of eligibility for the basic sliding fee at-home 
 67.29  infant child care program is the later of the date the infant is 
 67.30  born or, in a county with a basic sliding fee wait list, the 
 67.31  date the family applies for at-home infant child care.  Payment 
 67.32  ceases for a family under the at-home infant child care program 
 67.33  when a family has used a total of 12 months of assistance as 
 67.34  specified under section 119B.061.  Payment of child care 
 67.35  assistance for employed persons on AFDC MFIP is effective the 
 67.36  date of employment or the date of AFDC MFIP eligibility, 
 68.1   whichever is later.  Payment of child care assistance for MFIP-S 
 68.2   MFIP or work first participants in employment and training 
 68.3   services is effective the date of commencement of the services 
 68.4   or the date of MFIP-S MFIP or work first eligibility, whichever 
 68.5   is later.  Payment of child care assistance for transition year 
 68.6   child care must be made retroactive to the date of eligibility 
 68.7   for transition year child care. 
 68.8      Sec. 22.  Minnesota Statutes 1998, section 119B.09, 
 68.9   subdivision 5, is amended to read: 
 68.10     Subd. 5.  [PROVIDER CHOICE.] Parents may choose child care 
 68.11  providers as defined under section 119B.01, subdivision 13, that 
 68.12  best meet the needs of their family.  Counties shall make 
 68.13  resources available to parents in choosing quality child care 
 68.14  services.  Counties may shall require a parent to sign a release 
 68.15  stating their knowledge and responsibilities in choosing a legal 
 68.16  provider described under section 119B.01, subdivision 13, and a 
 68.17  release to allow transfer of the registered provider's name and 
 68.18  address to the child care resource and referral agency.  When a 
 68.19  county knows that a particular provider is unsafe, or that the 
 68.20  circumstances of the child care arrangement chosen by the parent 
 68.21  are unsafe, the county may deny a child care subsidy.  The 
 68.22  county shall not deny a child care subsidy to a child care 
 68.23  provider with a valid license under section 245A.03.  A county 
 68.24  may not restrict access to a general category of provider 
 68.25  allowed under section 119B.01, subdivision 13. 
 68.26     Nonlicensed providers who meet the licensure exemptions 
 68.27  defined in section 245A.03, subdivision 2, must be registered.  
 68.28  Counties shall provide each nonlicensed, registered provider 
 68.29  with health and safety information, which shall include 
 68.30  information about immunizations.  Nonlicensed, registered 
 68.31  providers shall keep immunization records in accordance with 
 68.32  section 121A.15 and have these records available to the county 
 68.33  upon request.  Parents shall provide their child's immunization 
 68.34  records to their nonlicensed, registered provider.  The child 
 68.35  must have received the age appropriate immunizations or have 
 68.36  commenced a schedule of immunizations within 90 days following 
 69.1   the first day of child care with the nonlicensed, registered 
 69.2   provider.  In addition to other registration requirements, the 
 69.3   parent and provider must comply with state and local health 
 69.4   ordinances, including the required child immunizations, and 
 69.5   building and fire codes applicable to the premises where child 
 69.6   care is provided. 
 69.7      Counties may choose to have additional registration 
 69.8   requirements.  These additional requirements must be identified 
 69.9   in the county's child care fund allocation plan, as described in 
 69.10  section 119B.08, subdivision 3.  If a county has identified 
 69.11  successful completion of a criminal background check, Federal 
 69.12  Bureau of Investigation record check, or both, as an additional 
 69.13  health and safety check in the child care fund allocation plan 
 69.14  as a provider registration requirement, the county may request a 
 69.15  criminal history background check from the superintendent of the 
 69.16  bureau of criminal apprehension, the Federal Bureau of 
 69.17  Investigation, or both. 
 69.18     When the county has reasonable cause to believe that 
 69.19  further pertinent information may exist on the nonlicensed 
 69.20  provider, the subject shall provide a set of classifiable 
 69.21  fingerprints obtained from an authorized law enforcement 
 69.22  agency.  For purposes of requiring fingerprints, the county 
 69.23  shall be considered to have reasonable cause under, but not 
 69.24  limited to, the following circumstances: 
 69.25     (1) information from the bureau of criminal apprehension 
 69.26  indicates that the subject is a multistate offender; 
 69.27     (2) information from the bureau of criminal apprehension 
 69.28  indicates that multistate offender status is undetermined; or 
 69.29     (3) the county has received a report from the subject or 
 69.30  third party indicating that the subject has a criminal history 
 69.31  in a jurisdiction other than Minnesota. 
 69.32     Sec. 23.  Minnesota Statutes 1998, section 119B.10, 
 69.33  subdivision 1, is amended to read: 
 69.34     Subdivision 1.  [ASSISTANCE FOR PERSONS SEEKING AND 
 69.35  RETAINING EMPLOYMENT.] (a) Persons who are seeking employment 
 69.36  and who are eligible for assistance under this section are 
 70.1   eligible to receive up to 240 hours of child care assistance per 
 70.2   calendar year.  
 70.3      (b) Employed persons who work at least an average of 
 70.4   20 hours and full-time students who work at least an average of 
 70.5   ten hours a week and receive at least a minimum wage for all 
 70.6   hours worked are eligible for continued child care 
 70.7   assistance for employment.  Child care assistance during 
 70.8   employment must be authorized as provided in paragraphs (c) and 
 70.9   (d). 
 70.10     (c) When the caregiver person works for an hourly wage and 
 70.11  the hourly wage is equal to or greater than the applicable 
 70.12  minimum wage, child care assistance shall be provided for the 
 70.13  actual hours of employment, break, and mealtime during the 
 70.14  employment and travel time up to two hours per day. 
 70.15     (d) When the caregiver person does not work for an hourly 
 70.16  wage, child care assistance must be provided for the lesser of: 
 70.17     (1) the amount of child care determined by dividing gross 
 70.18  earned income by the applicable minimum wage, up to one hour 
 70.19  every eight hours for meals and break time, plus up to two hours 
 70.20  per day for travel time; or 
 70.21     (2) the amount of child care equal to the actual amount of 
 70.22  child care used during employment, including break and mealtime 
 70.23  during employment, and travel time up to two hours per day. 
 70.24     Sec. 24.  Minnesota Statutes 1998, section 119B.12, 
 70.25  subdivision 2, is amended to read: 
 70.26     Subd. 2.  [PARENT FEE.] A family's monthly parent fee must 
 70.27  be a fixed percentage of its annual gross income.  Parent fees 
 70.28  must apply to families eligible for child care assistance under 
 70.29  sections 119B.03 and 119B.05.  Income must be as defined in 
 70.30  section 119B.01, subdivision 12.  The fixed percent is based on 
 70.31  the relationship of the family's annual gross income to 100 
 70.32  percent of state median income.  Beginning January 1, 1998, 
 70.33  parent fees must begin at 75 percent of the poverty level.  The 
 70.34  minimum parent fees for families between 75 percent and 100 
 70.35  percent of poverty level must be $5 per month.  Parent fees for 
 70.36  families with incomes at or above the poverty level must not 
 71.1   decrease due to the addition of family members after the 
 71.2   family's initial eligibility determination.  Parent fees must be 
 71.3   established in rule and must provide for graduated movement to 
 71.4   full payment. 
 71.5      Sec. 25.  Minnesota Statutes 1998, section 119B.13, is 
 71.6   amended to read: 
 71.7      119B.13 [CHILD CARE RATES.] 
 71.8      Subdivision 1.  [SUBSIDY RESTRICTIONS.] Effective July 1, 
 71.9   1991, The maximum rate paid for child care assistance under the 
 71.10  child care fund is the maximum rate eligible for federal 
 71.11  reimbursement.  The rate may not exceed the 75th percentile rate 
 71.12  for like-care arrangements in the county as surveyed by the 
 71.13  commissioner.  A rate which includes a provider bonus paid under 
 71.14  subdivision 2 or a special needs rate paid under subdivision 3 
 71.15  may be in excess of the maximum rate allowed under this 
 71.16  subdivision.  The department of children, families, and learning 
 71.17  shall monitor the effect of this paragraph on provider rates.  
 71.18  The county shall pay the provider's full charges for every child 
 71.19  in care up to the maximum established.  The commissioner shall 
 71.20  determine the maximum rate for each type of care, including 
 71.21  special needs and handicapped care.  Not less than once every 
 71.22  two years, the county shall evaluate rates market practices for 
 71.23  payment of absent spaces absences and shall establish policies 
 71.24  for payment of absent days that reflect current market practice. 
 71.25     When the provider charge is greater than the maximum 
 71.26  provider rate allowed, the parent is responsible for payment of 
 71.27  the difference in the rates in addition to any family copayment 
 71.28  fee. 
 71.29     Subd. 2.  [PROVIDER RATE BONUS FOR ACCREDITATION.] 
 71.30  Currently accredited child care centers shall be paid a ten 
 71.31  percent bonus above the maximum rate established in subdivision 
 71.32  1, up to the actual provider rate.  A family day care 
 71.33  provider or child care center shall be paid a ten percent bonus 
 71.34  above the maximum rate established in subdivision 1, if the 
 71.35  provider or center holds a current early childhood development 
 71.36  credential approved by the commissioner, up to the actual 
 72.1   provider rate.  For purposes of this subdivision, "accredited" 
 72.2   means accredited by the National Association for the Education 
 72.3   of Young Children. 
 72.4      Subd. 3.  [PROVIDER RATE FOR CARE OF CHILDREN WITH 
 72.5   HANDICAPS OR SPECIAL NEEDS.] Counties shall reimburse providers 
 72.6   for the care of children with handicaps or special needs, at a 
 72.7   special rate to be set approved by the county for care of these 
 72.8   children, subject to the approval of the commissioner. 
 72.9      Subd. 4.  [RATES CHARGED TO PUBLICLY SUBSIDIZED FAMILIES.] 
 72.10  Child care providers receiving reimbursement under this chapter 
 72.11  may not charge a rate to clients receiving assistance under this 
 72.12  chapter that is higher than the private, full-paying client rate.
 72.13     Subd. 5.  [PROVIDER NOTICE.] The county shall inform both 
 72.14  the family receiving assistance under this chapter and the child 
 72.15  care provider of the payment amount and how and when payment 
 72.16  will be received.  If the county sends a family a notice that 
 72.17  child care assistance will be terminated, the county shall 
 72.18  inform the provider that unless the family requests to continue 
 72.19  to receive assistance pending an appeal, child care payments 
 72.20  will no longer be made.  The notice to the vendor provider must 
 72.21  not contain any private data on the family or information on why 
 72.22  payment will no longer be made. 
 72.23     Subd. 6.  [PROVIDER PAYMENTS.] Counties shall make vendor 
 72.24  payments to the child care provider or pay the parent directly 
 72.25  for eligible child care expenses.  If payments for child care 
 72.26  assistance are made to providers, The provider or parent shall 
 72.27  bill the county for services provided within ten days of the end 
 72.28  of the month of service.  If bills are submitted in accordance 
 72.29  with the provisions of this subdivision, a county shall issue 
 72.30  payment to the provider of for child care assistance under the 
 72.31  child care fund within 30 days of receiving an invoice from the 
 72.32  provider.  Counties may establish policies that make payments on 
 72.33  a more frequent basis.  A county's payment policies must be 
 72.34  included in the county's child care plan under section 119B.08, 
 72.35  subdivision 3. 
 72.36     Sec. 26.  Minnesota Statutes 1998, section 119B.14, is 
 73.1   amended to read: 
 73.2      119B.14 [EXTENSION OF EMPLOYMENT OPPORTUNITIES.] 
 73.3      The county board shall insure that child care services 
 73.4   available to eligible residents are well advertised and that 
 73.5   everyone who receives or applies for aid to families with 
 73.6   dependent children assistance under the MFIP program is informed 
 73.7   of training and employment opportunities and programs, including 
 73.8   child care assistance and child care resource and referral 
 73.9   services. 
 73.10     Sec. 27.  Minnesota Statutes 1998, section 119B.15, is 
 73.11  amended to read: 
 73.12     119B.15 [ADMINISTRATIVE EXPENSES.] 
 73.13     The commissioner shall use up to 1/21 of the state and 
 73.14  federal funds available for the basic sliding fee program and 
 73.15  1/21 of the state and federal funds available for the AFDC MFIP 
 73.16  child care program for payments to counties for administrative 
 73.17  expenses. 
 73.18     Sec. 28.  Minnesota Statutes 1998, section 121.8355, is 
 73.19  amended by adding a subdivision to read: 
 73.20     Subd. 2b.  [INSURANCE.] The commissioner of children, 
 73.21  families, and learning may designate one collaborative to act as 
 73.22  a lead collaborative for purposes of obtaining liability 
 73.23  coverage for participating collaboratives. 
 73.24     Sec. 29.  Minnesota Statutes 1998, section 124D.19, 
 73.25  subdivision 11, is amended to read: 
 73.26     Subd. 11.  [EXTENDED DAY SCHOOL-AGE CARE PROGRAMS.] (a) A 
 73.27  school board may offer, as part of a community education 
 73.28  program, an extended day a school-age care program for children 
 73.29  from kindergarten through grade 6 for the purpose of expanding 
 73.30  students' learning opportunities.  If the school board chooses 
 73.31  not to offer a school-age care program, it may allow an 
 73.32  appropriate insured community group, for profit entity or 
 73.33  nonprofit organization to use available school facilities for 
 73.34  the purpose of offering a school-age care program. 
 73.35     (b) A school-age care program must include the following: 
 73.36     (1) adult supervised programs while school is not in 
 74.1   session; 
 74.2      (2) parental involvement in program design and direction; 
 74.3      (3) partnerships with the kindergarten through grade 12 
 74.4   system, and other public, private, or nonprofit entities; and 
 74.5      (4) opportunities for trained secondary school pupils to 
 74.6   work with younger children in a supervised setting as part of a 
 74.7   community service program.; and 
 74.8      (5) access to available school facilities, including the 
 74.9   gymnasium, sports equipment, computer labs, and media centers, 
 74.10  when not otherwise in use as part of the operation of the 
 74.11  school.  The school district may establish reasonable rules 
 74.12  relating to access to these facilities and may require that: 
 74.13     (i) the organization request access to the facilities and 
 74.14  prepare and maintain a schedule of proposed use; 
 74.15     (ii) the organization provide evidence of adequate 
 74.16  insurance to cover the activities to be conducted in the 
 74.17  facilities; and 
 74.18     (iii) the organization prepare and maintain a plan 
 74.19  demonstrating the adequacy and training of staff to supervise 
 74.20  the use of the facilities. 
 74.21     (b) (c) The district may charge a sliding fee based upon 
 74.22  family income for extended day school-age care programs.  The 
 74.23  district may receive money from other public or private sources 
 74.24  for the extended day school-age care program.  The board of the 
 74.25  district must develop standards for school-age child care 
 74.26  programs.  Districts must adopt standards within one year after 
 74.27  the district first offers services under a program authorized by 
 74.28  this subdivision.  The state board of education may not adopt 
 74.29  rules for extended day school-age care programs. 
 74.30     (c) (d) The district shall maintain a separate account 
 74.31  within the community services fund for all funds related to the 
 74.32  extended day school-age care program. 
 74.33     (e) A district is encouraged to coordinate the school-age 
 74.34  care program with its special education, vocational education, 
 74.35  adult basic education, early childhood family education 
 74.36  programs, kindergarten through grade 12 instruction and 
 75.1   curriculum services, youth development and youth service 
 75.2   agencies, and with related services provided by other 
 75.3   governmental agencies and nonprofit agencies. 
 75.4      Sec. 30.  Minnesota Statutes 1998, section 124D.22, is 
 75.5   amended to read: 
 75.6      124D.22 [EXTENDED DAY SCHOOL-AGE CARE REVENUE.] 
 75.7      Subdivision 1.  [ELIGIBILITY.] A district that offers an 
 75.8   extended day school-age care program according to section 
 75.9   124D.19, subdivision 11, is eligible for extended day school-age 
 75.10  care revenue for the additional costs of providing services to 
 75.11  children with disabilities or to children experiencing family or 
 75.12  related problems of a temporary nature who participate in 
 75.13  the extended day school-age care program. 
 75.14     Subd. 2.  [EXTENDED DAY SCHOOL-AGE CARE REVENUE.] The 
 75.15  extended day school-age care revenue for an eligible district 
 75.16  equals the approved additional cost of providing services to 
 75.17  children with disabilities or children experiencing family or 
 75.18  related problems of a temporary nature who participate in 
 75.19  the extended day school-age care program.  
 75.20     Subd. 3.  [EXTENDED DAY SCHOOL-AGE CARE LEVY.] To obtain 
 75.21  extended day school-age care revenue, a school district may levy 
 75.22  an amount equal to the district's extended day school-age care 
 75.23  revenue as defined in subdivision 2 multiplied by the lesser of 
 75.24  one, or the ratio of the quotient derived by dividing the 
 75.25  adjusted net tax capacity of the district for the year before 
 75.26  the year the levy is certified by the resident pupil units in 
 75.27  the district for the school year to which the levy is 
 75.28  attributable, to $3,767.  
 75.29     Subd. 4.  [EXTENDED DAY SCHOOL-AGE CARE AID.] A district's 
 75.30  extended day school-age care aid is the difference between 
 75.31  its extended day school-age care revenue and its extended 
 75.32  day school-age care levy.  If a district does not levy the 
 75.33  entire amount permitted, extended day school-age care aid must 
 75.34  be reduced in proportion to the actual amount levied. 
 75.35     Sec. 31.  Minnesota Statutes 1998, section 466.01, 
 75.36  subdivision 1, is amended to read: 
 76.1      Subdivision 1.  [MUNICIPALITY.] For the purposes of 
 76.2   sections 466.01 to 466.15, "municipality" means any city, 
 76.3   whether organized under home rule charter or otherwise, any 
 76.4   county, town, public authority, public corporation, nonprofit 
 76.5   firefighting corporation that has associated with it a relief 
 76.6   association as defined in section 424A.001, subdivision 4, 
 76.7   special district, school district, however organized, county 
 76.8   agricultural society organized pursuant to chapter 38, joint 
 76.9   powers board or organization created under section 471.59 or 
 76.10  other statute, public library, regional public library system, 
 76.11  multicounty multitype library system, the following local 
 76.12  collaboratives whose plans have been approved by the children's 
 76.13  cabinet:  family services collaborative collaboratives 
 76.14  established under section 124D.23, children's mental health 
 76.15  collaboratives established under sections 245.491 to 245.496, or 
 76.16  a collaborative established by the merger of a children's mental 
 76.17  health collaborative and a family services collaborative, other 
 76.18  political subdivision, or community action agency. 
 76.19     Sec. 32.  [APPROPRIATIONS.] 
 76.20     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 76.21  LEARNING.] The sums indicated in this section are appropriated 
 76.22  from the general fund to the department of children, families, 
 76.23  and learning for the fiscal years designated.  
 76.24     Subd. 2.  [LEARNING READINESS PROGRAM REVENUE.] For revenue 
 76.25  for learning readiness programs according to Minnesota Statutes, 
 76.26  sections 124D.15 and 124D.16: 
 76.27       $10,395,000    .....     2000
 76.28       $10,395,000    .....     2001
 76.29     The 2000 appropriation includes $1,040,000 for 1999 and 
 76.30  $9,355,000 for 2000. 
 76.31     The 2001 appropriation includes $1,040,000 for 2000 and 
 76.32  $9,355,000 for 2001.  
 76.33     Any balance in the first year does not cancel but is 
 76.34  available in the second year. 
 76.35     Subd. 3.  [EARLY CHILDHOOD FAMILY EDUCATION AID.] For early 
 76.36  childhood family education aid according to Minnesota Statutes, 
 77.1   section 124D.135: 
 77.2        $17,991,000    .....     2000 
 77.3        $19,240,000    .....     2001
 77.4      The 2000 appropriation includes $1,390,000 for 1999 and 
 77.5   $16,601,000 for 2000.  
 77.6      The 2001 appropriation includes $1,844,000 for 2000 and 
 77.7   $17,396,000 for 2001.  
 77.8      Any balance in the first year does not cancel but is 
 77.9   available in the second year. 
 77.10     Subd. 4.  [HEALTH AND DEVELOPMENTAL SCREENING AID.] For 
 77.11  health and developmental screening aid according to Minnesota 
 77.12  Statutes, sections 121A.17 and 121A.19: 
 77.13       $3,050,000     .....     2000 
 77.14       $3,050,000     .....     2001 
 77.15     The 2000 appropriation includes $155,000 for 1999 and 
 77.16  $2,895,000 for 2000.  
 77.17     The 2001 appropriation includes $305,000 for 2000 and 
 77.18  $2,745,000 for 2001.  
 77.19     Any balance in the first year does not cancel but is 
 77.20  available in the second year. 
 77.21     Subd. 5.  [WAY TO GROW.] For grants for existing way to 
 77.22  grow programs according to Minnesota Statutes, section 124D.17:  
 77.23       $475,000       .....     2000
 77.24       $475,000       .....     2001
 77.25     Any balance in the first year does not cancel but is 
 77.26  available in the second year. 
 77.27     Subd. 6.  [HEAD START PROGRAM.] For Head Start programs 
 77.28  according to Minnesota Statutes, section 119A.52: 
 77.29       $18,375,000    .....     2000
 77.30       $18,375,000    .....     2001
 77.31     Any balance in the first year does not cancel but is 
 77.32  available in the second year. 
 77.33     Subd. 7.  [EXTENDED DAY AID.] For extended day aid 
 77.34  according to Minnesota Statutes, section 124D.22: 
 77.35       $274,000       .....     2000 
 77.36       $216,000       .....     2001
 78.1      The 2000 appropriation includes $30,000 for 1999 and 
 78.2   $244,000 for 2000. 
 78.3      The 2001 appropriation includes $27,000 for 2000 and 
 78.4   $189,000 for 2001. 
 78.5      Any balance in the first year does not cancel but is 
 78.6   available in the second year. 
 78.7      Subd. 8.  [BASIC SLIDING FEE CHILD CARE.] For child care 
 78.8   assistance according to Minnesota Statutes, section 119B.03: 
 78.9        $20,751,000    .....     2000 
 78.10       $20,751,000    .....     2001
 78.11     Any balance in the first year does not cancel but is 
 78.12  available the second year. 
 78.13     Subd. 9.  [MFIP CHILD CARE.] For child care assistance 
 78.14  according to Minnesota Statutes, section 119B.05: 
 78.15       $91,709,000    .....     2000 
 78.16       $93,512,000    .....     2001
 78.17     Any balance in the first year does not cancel but is 
 78.18  available in the second year. 
 78.19     Subd. 10.  [CHILD CARE DEVELOPMENT.] For child care 
 78.20  development grants according to Minnesota Statutes, section 
 78.21  119B.21: 
 78.22       $1,865,000      .....     2000
 78.23       $1,865,000      .....     2001
 78.24     Any balance in the first year does not cancel but is 
 78.25  available in the second year. 
 78.26     Sec. 33.  [FEDERAL TANF TRANSFERS.] 
 78.27     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, and 
 78.28  LEARNING.] The sums indicated in this section are transferred 
 78.29  from the federal TANF fund to the child care and development 
 78.30  fund and appropriated to the department of children, families, 
 78.31  and learning for the fiscal years designated. 
 78.32     Subd. 2.  [BASIC SLIDING FEE CHILD CARE.] For child care 
 78.33  assistance according to Minnesota Statutes, section 119B.03:  
 78.34       $30,000,000    .....     2000 
 78.35       $30,000,000    .....     2001 
 78.36     Sec. 34.  [REPEALER.] 
 79.1      Minnesota Statutes 1998, sections 119B.01, subdivision 12a; 
 79.2   119B.03, subdivision 7; 119B.05, subdivision 6; 119B.075; 
 79.3   119B.17; and 124D.14, are repealed.  
 79.4                              ARTICLE 10 
 79.5                     COMMUNITY AND SYSTEMS CHANGE 
 79.6      Section 1.  [APPROPRIATIONS.] 
 79.7      Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 79.8   LEARNING.] The sums indicated in this section are appropriated 
 79.9   from the general fund to the department of children, families, 
 79.10  and learning for the fiscal years designated. 
 79.11     Subd. 2.  [FAMILY COLLABORATIVES.] For family 
 79.12  collaboratives according to Laws 1995, First Special Session 
 79.13  chapter 3, article 4, section 29, subdivision 10: 
 79.14       $6,825,000     .....     2000
 79.15       $6,825,000     .....     2001
 79.16     No new family services collaboratives shall be funded with 
 79.17  this appropriation after June 30, 1999. 
 79.18     Any balance in the first year does not cancel but is 
 79.19  available in the second year. 
 79.20     Subd. 3.  [COMMUNITY EDUCATION AID.] For community 
 79.21  education aid according to Minnesota Statutes, section 124D.20: 
 79.22       $14,136,000    .....     2000 
 79.23       $14,696,000    .....     2001 
 79.24     The 2000 appropriation includes $161,000 for 1999 and 
 79.25  $13,975,000 for 2000.  
 79.26     The 2001 appropriation includes $1,552,000 for 2000 and 
 79.27  $13,144,000 for 2001.  
 79.28     Any balance the first year does not cancel but is available 
 79.29  in the second year. 
 79.30     Subd. 4.  [ADULTS WITH DISABILITIES PROGRAM AID.] For 
 79.31  adults with disabilities programs according to Minnesota 
 79.32  Statutes, section 124D.56: 
 79.33       $670,000       .....     2000 
 79.34       $670,000       .....     2001 
 79.35     Any balance in the first year does not cancel but is 
 79.36  available in the second year. 
 80.1      Subd. 5.  [HEARING-IMPAIRED ADULTS.] For programs for 
 80.2   hearing-impaired adults according to Minnesota Statutes, section 
 80.3   124D.57: 
 80.4        $70,000        .....     2000
 80.5        $70,000        .....     2001
 80.6      Any balance in the first year does not cancel but is 
 80.7   available in the second year. 
 80.8                              ARTICLE 11
 80.9                     PREVENTION AND INTERVENTION
 80.10     Section 1.  [APPROPRIATIONS.] 
 80.11     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 80.12  LEARNING.] The sums indicated in this section are appropriated 
 80.13  from the general fund to the department of children, families, 
 80.14  and learning for the fiscal years designated.  
 80.15     Subd. 2.  [VIOLENCE PREVENTION EDUCATION GRANTS.] For 
 80.16  violence prevention education grants according to Minnesota 
 80.17  Statutes, section 120B.23: 
 80.18       $1,450,000     .....     2000
 80.19       $1,450,000     .....     2001
 80.20     Any balance in the first year does not cancel but is 
 80.21  available in the second year. 
 80.22     Subd. 3.  [ABUSED CHILDREN.] For abused children programs 
 80.23  according to Minnesota Statutes, section 119A.21: 
 80.24       $945,000       .....     2000 
 80.25       $945,000       .....     2001 
 80.26     Any balance in the first year does not cancel but is 
 80.27  available in the second year. 
 80.28     Subd. 4.  [CHILDREN'S TRUST FUND.] For children's trust 
 80.29  fund according to Minnesota Statutes, sections 119A.12 and 
 80.30  119A.13: 
 80.31       $225,000       .....     2000
 80.32       $225,000       .....     2001
 80.33     Any balance in the first year does not cancel but is 
 80.34  available in the second year. 
 80.35     Subd. 5.  [AFTER SCHOOL ENRICHMENT GRANTS.] For after 
 80.36  school enrichment grants according to Laws 1996, chapter 412, 
 81.1   article 4, section 30: 
 81.2        $5,760,000     .....     2000
 81.3        $5,760,000     .....     2001
 81.4      Of this amount, $200,000 each year is for programs that 
 81.5   make state armories available to communities for youth 
 81.6   recreational and enrichment activities. 
 81.7      Any balance in the first year does not cancel but is 
 81.8   available in the second year. 
 81.9      Subd. 6.  [ALCOHOL-IMPAIRED DRIVER.] (a) For grants with 
 81.10  funds received under Minnesota Statutes, section 171.29, 
 81.11  subdivision 2, paragraph (b), clause (4): 
 81.12       $200,000       .....     2000
 81.13       $200,000       .....     2001
 81.14     (b) These appropriations are from the alcohol-impaired 
 81.15  driver account of the special revenue fund to the department of 
 81.16  children, families, and learning for chemical abuse prevention 
 81.17  grants.  
 81.18     Sec. 2.  [REPEALER.] 
 81.19     Minnesota Statutes 1998, section 124D.22, is repealed. 
 81.20                             ARTICLE 12 
 81.21               SELF-SUFFICIENCY AND LIFELONG LEARNING 
 81.22     Section 1.  Minnesota Statutes 1998, section 16B.405, 
 81.23  subdivision 2, is amended to read: 
 81.24     Subd. 2.  [SOFTWARE SALE FUND.] (a) Except as provided in 
 81.25  paragraph (b), proceeds of the sale or licensing of software 
 81.26  products or services by the commissioner must be credited to the 
 81.27  intertechnologies revolving fund.  If a state agency other than 
 81.28  the department of administration has contributed to the 
 81.29  development of software sold or licensed under this section, the 
 81.30  commissioner may reimburse the agency by discounting computer 
 81.31  services provided to that agency. 
 81.32     (b) Proceeds of the sale or licensing of software products 
 81.33  or services developed by the pollution control agency, or custom 
 81.34  developed by a vendor for the agency, must be credited to the 
 81.35  environmental fund. 
 81.36     (c) Proceeds of the sale or licensing of software products 
 82.1   or services developed by the department of children, families, 
 82.2   and learning, or custom developed by a vendor for the agency, to 
 82.3   support the achieved savings assessment program, must be 
 82.4   credited to the weatherization program to support weatherization 
 82.5   activities. 
 82.6      Sec. 2.  Minnesota Statutes 1998, section 124D.53, 
 82.7   subdivision 3, is amended to read: 
 82.8      Subd. 3.  [AID.] Adult basic education aid for each 
 82.9   approved program equals 65 percent of the general education 
 82.10  formula allowance $2,295 for fiscal year 2000 and $2,338 for 
 82.11  fiscal year 2001 and later fiscal years times the number of 
 82.12  full-time equivalent students in its adult basic education 
 82.13  program. 
 82.14     Sec. 3.  Minnesota Statutes 1998, section 124D.54, 
 82.15  subdivision 1, is amended to read: 
 82.16     Subdivision 1.  [AID ELIGIBILITY.] For fiscal years 1998 
 82.17  and later, Adult high school graduation aid for eligible pupils 
 82.18  age 21 or over, equals 65 percent of the general education 
 82.19  formula allowance $2,295 for fiscal year 2000 and $2,338 for 
 82.20  fiscal year 2001 and later fiscal years times 1.30 times the 
 82.21  average daily membership under section 126C.05, subdivision 12.  
 82.22  Adult high school graduation aid must be paid in addition to any 
 82.23  other aid to the district.  Pupils age 21 or over may not be 
 82.24  counted by the district for any purpose other than adult high 
 82.25  school graduation aid. 
 82.26     Sec. 4.  [APPROPRIATIONS.] 
 82.27     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 82.28  LEARNING.] The sums indicated in this section are appropriated 
 82.29  from the general fund to the department of children, families, 
 82.30  and learning for the fiscal years designated. 
 82.31     Subd. 2.  [MINNESOTA ECONOMIC OPPORTUNITY GRANTS.] For 
 82.32  Minnesota economic opportunity grants: 
 82.33       $8,514,000    .....     2000
 82.34       $8,514,000    .....     2001
 82.35     Any balance in the first year does not cancel but is 
 82.36  available in the second year. 
 83.1      Subd. 3.  [TRANSITIONAL HOUSING PROGRAMS.] For transitional 
 83.2   housing programs according to Minnesota Statutes, section 
 83.3   119A.43: 
 83.4        $1,642,000     .....     2000
 83.5        $1,642,000     .....     2001
 83.6      Any balance in the first year does not cancel but is 
 83.7   available in the second year. 
 83.8      Subd. 4.  [FOOD BANK PROGRAM.] For foodshelf programs 
 83.9   according to Minnesota Statutes, section 119A.44: 
 83.10       $1,228,000     .....     2000
 83.11       $1,228,000     .....     2001
 83.12     Any balance in the first year does not cancel but is 
 83.13  available in the second year. 
 83.14     Subd. 5.  [ADULT BASIC EDUCATION AID.] For adult basic 
 83.15  education aid according to Minnesota Statutes, section 124D.52 
 83.16  in fiscal year 2000 and Minnesota Statutes, section 124D.53 in 
 83.17  fiscal year 2001:  
 83.18       $19,104,000    .....     2000
 83.19       $22,545,000    .....     2001 
 83.20     The 2000 appropriation includes $1,227,000 for 1999 and 
 83.21  $17,877,000 for 2000.  
 83.22     The 2001 appropriation includes $1,986,000 for 2000 and 
 83.23  $20,559,000 for 2001.  
 83.24     Subd. 6.  [ADULT GRADUATION AID.] For adult graduation aid 
 83.25  according to Minnesota Statutes, section 124D.54: 
 83.26       $4,264,000     .....     2000
 83.27       $4,852,000     .....     2001
 83.28     The 2000 appropriation includes $258,000 for 1999 and 
 83.29  $4,006,000 for 2000.  
 83.30     The 2001 appropriation includes $445,000 for 2000 and 
 83.31  $4,407,000 for 2001.  
 83.32     Subd. 7.  [GED TESTS.] For payment of 60 percent of the 
 83.33  costs of GED tests according to Laws 1993, chapter 224, article 
 83.34  4, section 44, subdivision 10: 
 83.35       $125,000       .....     2000
 83.36       $125,000       .....     2001
 84.1      Any balance in the first year does not cancel but is 
 84.2   available in the second year. 
 84.3      Sec. 5.  [REPEALER.] 
 84.4      Minnesota Statutes 1998, section 119A.46, is repealed. 
 84.5                              ARTICLE 13 
 84.6                            STATE AGENCIES 
 84.7      Section 1.  Minnesota Statutes 1998, section 119A.01, is 
 84.8   amended to read: 
 84.9      119A.01 [ABOLISHMENT; ESTABLISHMENT; PURPOSE; AND GOALS.] 
 84.10     Subdivision 1.  [ABOLISHMENT.] The position of commissioner 
 84.11  of education and the department of education are abolished.  The 
 84.12  employees of the department of education are transferred to the 
 84.13  department of education, children, and families, and learning 
 84.14  under section 15.039, subdivision 7. 
 84.15     Subd. 2.  [ESTABLISHMENT.] The department of education, 
 84.16  children, and families, and learning is established. 
 84.17     Subd. 3.  [PURPOSE.] The purpose in creating of the 
 84.18  department is to increase the capacity of Minnesota communities 
 84.19  to measurably improve the well-being of children and families by:
 84.20     (1) adopting goals for and exercising general supervision 
 84.21  over a general and uniform system of public education as 
 84.22  provided in the Minnesota Constitution, article XIII, section 1, 
 84.23  and according to the provisions of chapters 120A to 129C and 
 84.24  other related education provisions under law; 
 84.25     (2) coordinating and integrating state funded and locally 
 84.26  administered family and children programs; 
 84.27     (2) (3) improving flexibility in the design, funding, and 
 84.28  delivery of programs affecting children and families; 
 84.29     (3) (4) providing greater focus on strategies designed to 
 84.30  prevent problems affecting the well-being of children and 
 84.31  families; 
 84.32     (4) (5) enhancing local decision making, collaboration, and 
 84.33  the development of new governance models; 
 84.34     (5) (6) improving public accountability through the 
 84.35  provision of research, information, and the development of 
 84.36  measurable program outcomes; 
 85.1      (6) (7) increasing the capacity of communities to respond 
 85.2   to the whole child by improving the ability of families to gain 
 85.3   access to services; 
 85.4      (7) (8) encouraging all members of a community to nurture 
 85.5   all the children in the community; 
 85.6      (8) (9) supporting parents in their dual roles as 
 85.7   breadwinners and parents; and 
 85.8      (9) (10) reducing the condition of poverty for families and 
 85.9   children through comprehensive, community-based strategies. 
 85.10     Sec. 2.  [TRANSFER OF PROGRAMS.] 
 85.11     The powers and duties of the department of children, 
 85.12  families, and learning with respect to drug policy and violence 
 85.13  prevention under Minnesota Statutes 1998, sections 119A.25, 
 85.14  119A.26, 119A.27, 119A.28, 119A.29, 119A.31, 119A.32, 119A.33, 
 85.15  and 119A.34, are transferred to the department of public safety 
 85.16  under Minnesota Statutes, section 15.039. 
 85.17     Sec. 3.  [EXEMPTION TO LABOR DAY SCHOOL START RESTRICTION.] 
 85.18     Notwithstanding Minnesota Statutes, section 120A.40, 
 85.19  subdivision 1, the Lola and Rudy Perpich Minnesota Center for 
 85.20  Arts Education may begin the 1999-2000 and 2000-2001 school 
 85.21  years any day prior to Labor Day. 
 85.22     Sec. 4.  [APPROPRIATIONS; DEPARTMENT OF CHILDREN, FAMILIES, 
 85.23  AND LEARNING.] 
 85.24     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 85.25  LEARNING.] The sums indicated in this section are appropriated 
 85.26  from the general fund to the department of children, families, 
 85.27  and learning for the fiscal years designated. 
 85.28     Subd. 2.  [DEPARTMENT.] For the department of children, 
 85.29  families, and learning: 
 85.30       $33,267,000    .....      2000
 85.31       $30,867,000    .....      2001
 85.32     (a) Any balance in the first year does not cancel but is 
 85.33  available in the second year. 
 85.34     (b) $21,000 each year is from the trunk highway fund. 
 85.35     (c) $634,000 in 2000 and $642,000 in 2001 is for the 
 85.36  academic excellence foundation. 
 86.1      (d) $165,000 in 2000 is for the state board of education. 
 86.2      (e) $687,000 in 2000 and $692,000 in 2001 is for the board 
 86.3   of teaching. 
 86.4      (f) The expenditures of federal grants and aids as shown in 
 86.5   the biennial budget document and its supplements are approved 
 86.6   and appropriated and shall be spent as indicated. 
 86.7      (g) At least $50,000 is to ensure compliance with state and 
 86.8   federal laws prohibiting discrimination because of race, 
 86.9   religion, or sex.  The department shall use the appropriation to 
 86.10  provide state-level leadership on equal education opportunities 
 86.11  which promote elimination of discriminatory practices in the 
 86.12  areas of race, religion, and sex in public schools and public 
 86.13  educational agencies under its general supervision and on 
 86.14  activities including, at least, compliance monitoring and 
 86.15  voluntary compliance when local school district deficiencies are 
 86.16  found. 
 86.17     (h) Notwithstanding Minnesota Statutes, section 15.53, 
 86.18  subdivision 2, the commissioner of children, families, and 
 86.19  learning may contract with a school district for a period no 
 86.20  longer than five consecutive years to work in the development or 
 86.21  implementation of the graduation rule.  The commissioner may 
 86.22  contract for services and expertise as necessary.  The contracts 
 86.23  are not subject to Minnesota Statutes, sections 16B.06 to 16B.08.
 86.24     (i) $2,000,000 in 2000 is for litigation costs and may only 
 86.25  be used for those purposes.  These appropriations are one-time 
 86.26  only. 
 86.27     (j) The department must provide a written update of their 
 86.28  strategic plan for technology to the department of finance and 
 86.29  the office of technology by April 1, 2000. 
 86.30     Sec. 5.  [APPROPRIATIONS; LOLA AND RUDY PERPICH MINNESOTA 
 86.31  CENTER FOR ARTS EDUCATION.] 
 86.32     The sums indicated in this section are appropriated from 
 86.33  the general fund to the center for arts education for the fiscal 
 86.34  years designated: 
 86.35       $7,189,000     .....     2000
 86.36       $7,350,000     .....     2001
 87.1      Of each year's appropriation, $154,000 is to fund artist 
 87.2   and arts organization participation in the education residency 
 87.3   and education technology projects, $75,000 is for school support 
 87.4   for the residency project, $121,000 is for further development 
 87.5   of the partners:  arts and school for students (PASS) program, 
 87.6   including pilots, and $220,000 is to fund the center for arts 
 87.7   education base for asset preservation and facility repair.  The 
 87.8   guidelines for the education residency project and the pass 
 87.9   program shall be developed and defined by the center for arts 
 87.10  education in cooperation with the Minnesota arts board.  The 
 87.11  Minnesota arts board shall participate in the review and 
 87.12  allocation process.  The center for arts education and the 
 87.13  Minnesota arts board shall cooperate to fund these projects. 
 87.14     Any balance in the first year does not cancel but is 
 87.15  available in the second year. 
 87.16     Sec. 6.  [APPROPRIATIONS; FARIBAULT ACADEMIES.] 
 87.17     The sums indicated in this section are appropriated from 
 87.18  the general fund to the Faribault academies for the deaf and the 
 87.19  blind for the fiscal years designated:  
 87.20       $10,110,000    .....     2000
 87.21       $10,329,000    .....     2001 
 87.22     Any balance in the first year does not cancel but is 
 87.23  available in the second year. 
 87.24     Of this appropriation, $75,000 in each fiscal year is 
 87.25  appropriated in the department base for asset preservation and 
 87.26  facility repair.  
 87.27     Sec. 7.  [REVISOR INSTRUCTION.] 
 87.28     (a) In the next and subsequent editions of Minnesota 
 87.29  Statutes and Minnesota Rules, all references to the commissioner 
 87.30  of children, families, and learning shall be changed to the 
 87.31  commissioner of education, children, and families and all 
 87.32  references to the department of children, families, and learning 
 87.33  shall be changed to the department of education, children, and 
 87.34  families. 
 87.35     (b) In the next and subsequent editions of Minnesota 
 87.36  Statutes the revisor shall renumber each section in column A 
 88.1   with the corresponding number in column B.  The revisor shall 
 88.2   correct all cross-references to be consistent with the 
 88.3   renumbering. 
 88.4              Column A               Column B
 88.5              119A.25                299A.291
 88.6              119A.26                299A.292
 88.7              119A.27                299A.293
 88.8              119A.28                299A.294
 88.9              119A.29                299A.295
 88.10             119A.31                299A.296
 88.11             119A.32                299A.297
 88.12             119A.33                299A.298
 88.13             119A.34                299A.299
 88.14     Sec. 8.  [REPEALER.] 
 88.15     Minnesota Statutes 1998, section 119A.04, subdivision 5, is 
 88.16  repealed.