1.1 	A bill for an act
1.2 	relating to education; modifying career and technical
1.3 	levy; providing for rulemaking; appropriating money;
1.4 	amending Minnesota Statutes 2004, section 126C.457;
1.5 	proposing coding for new law in Minnesota Statutes,
1.6 	chapter 124D.
1.7 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.8 	Section 1. [124D.4531] CAREER AND TECHNICAL LEVY.
1.9 		Subdivision 1.Career and technical levy. (a) A district
1.10 	with a career and technical program approved under this section
1.11 	for the fiscal year in which the levy is certified may levy an
1.12 	amount equal to the lesser of:
1.13 	(1) $80 times the district's average daily membership in
1.14 	grades 10 through 12 for the fiscal year in which the levy is
1.15 	certified; or 
1.16 	(2) 25 percent of approved expenditures in the fiscal year
1.17 	in which the levy is certified for the following:
1.18 	(i) salaries paid to essential, licensed personnel
1.19 	providing direct instructional services to students in that
1.20 	fiscal year for services rendered in the district's approved
1.21 	career and technical education programs;
1.22 	(ii) contracted services provided by a public or private
1.23 	agency other than a Minnesota school district or cooperative
1.24 	center under subdivision 7;
1.25 	(iii) necessary travel between instructional sites by
1.26 	licensed career and technical education personnel;
2.1 	(iv) necessary travel by licensed career and technical
2.2 	education personnel for vocational student organization
2.3 	activities held within the state for instructional purposes;
2.4 	(v) curriculum development activities that are part of a
2.5 	five-year plan for improvement based on program assessment;
2.6 	(vi) necessary travel by licensed career and technical
2.7 	education personnel for noncollegiate credit-bearing
2.8 	professional development; and 
2.9 	(vii) specialized vocational instructional supplies.
2.10 	(b) Up to ten percent of a district's career and technical
2.11 	levy may be spent on equipment purchases.  Districts using the
2.12 	career and technical levy for equipment purchases must report to
2.13 	the department on the improved learning opportunities for
2.14 	students that result from the investment in equipment.
2.15 	(c) The district must recognize the full amount of this
2.16 	levy as revenue for the fiscal year in which it is certified.
2.17 		Subd. 2.Allocation from cooperative centers and
2.18 	intermediate districts. For purposes of this section, a
2.19 	cooperative center or an intermediate district must allocate its
2.20 	approved expenditures for career and technical education
2.21 	programs among participating districts.
2.22 		Subd. 3.Levy guarantee. Notwithstanding subdivision 1,
2.23 	the career and technical education levy for a district is not
2.24 	less than the lesser of:
2.25 	(1) the district's career and technical education levy
2.26 	authority for the previous fiscal year; or 
2.27 	(2) 100 percent of the approved expenditures for career and
2.28 	technical programs included in subdivision 1, paragraph (b), for
2.29 	the fiscal year in which the levy is certified.
2.30 		Subd. 4.Compliance with rules. (a) Levy authority must
2.31 	be granted under this section only for services rendered or for
2.32 	costs incurred in career and technical education programs
2.33 	approved by the commissioner and operated in accordance with
2.34 	rules adopted by the commissioner.  The rules must not require
2.35 	any minimum number of administrative staff, any minimum period
2.36 	of coordination time or extended employment for career and
3.1 	technical education personnel, or the availability of vocational
3.2 	student activities or organizations for a career and technical
3.3 	education program to qualify for this levy.  Levy authority
3.4 	shall be granted only for services rendered and for costs
3.5 	incurred by essential, licensed personnel, or approved
3.6 	paraprofessionals who meet the requirements for licensure
3.7 	pursuant to the rules of the Minnesota Board of Teaching.
3.8 	For the purposes of this paragraph, "licensed personnel"
3.9 	means persons holding a valid career and technical license
3.10 	issued by the commissioner.  If an average of five or fewer
3.11 	secondary full-time equivalent students are enrolled per teacher
3.12 	in an approved postsecondary program at Intermediate District
3.13 	No. 287, 916, or 917, "licensed personnel" means persons holding
3.14 	a valid vocational license issued by the commissioner or the
3.15 	Board of Trustees of the Minnesota State Colleges and
3.16 	Universities.
3.17 	(b) Notwithstanding section 127A.42, the commissioner may
3.18 	modify or withdraw the program or levy authority under this
3.19 	section without proceeding under section 127A.42, at any time.
3.20 	To do so, the commissioner must determine that the program does
3.21 	not comply with rules of the Department of Education or that any
3.22 	facts concerning the program or its budget differ from the facts
3.23 	in the district's approved application.
3.24 		Subd. 5.Limit. The commissioner may reduce the levy
3.25 	under this section for a career and technical education program
3.26 	that receives funds from any other source.  A district or center
3.27 	must not receive a total amount of levy authority pursuant to
3.28 	this section which, when added to funds from other sources, will
3.29 	provide the program an amount for salaries and travel which
3.30 	exceeds 100 percent of the amount of its expenditures for
3.31 	salaries and travel in the program.
3.32 		Subd. 6.Levy for contracted services. In addition to
3.33 	the provisions of subdivisions 4 and 5, a school district or
3.34 	cooperative center may contract with a public or private agency
3.35 	other than a Minnesota school district or cooperative center for
3.36 	the provision of career and technical education services.  The
4.1 	commissioner must adopt rules relating to program approval
4.2 	procedures and criteria for these contracts and levy authority
4.3 	must be granted only for contracts approved by the
4.4 	commissioner.  The district or cooperative center contracting
4.5 	for these services must be construed to be providing the
4.6 	services.
4.7 		Subd. 7.District reports. Each district or cooperative
4.8 	center must report data to the department for all career and
4.9 	technical education programs as required by the department to
4.10 	implement the career and technical levy formula.
4.11 	
EFFECTIVE DATE. This section is effective for taxes
4.12 	payable in 2008.

4.13 	Sec. 2. Minnesota Statutes 2004, section 126C.457, is
4.14 	amended to read:
4.15 	126C.457 CAREER AND TECHNICAL LEVY.
4.16 	For taxes payable in 2006 and 2007,a school district may
4.17 	levy an amount equal to the greater of (1) $10,000, or (2) the
4.18 	district's fiscal year 2001 entitlement for career and technical
4.19 	aid under Minnesota Statutes 2000, section 124D.453.  The
4.20 	district must recognize the full amount of this levy as revenue
4.21 	for the fiscal year in which it is certified.  Revenue received
4.22 	under this section must be reserved and used only for career and
4.23 	technical programs.

4.24 	Sec. 3. CAREER AND TECHNICAL EDUCATION PROGRAM RULES.
 4.25 	By January 1, 2007, the commissioner of education must
4.26 	adopt rules for approval of career and technical education
4.27 	programs consistent with Minnesota Statutes, section 124D.4531,
4.28 	subdivisions 4 and 6, that emphasize emerging workforce skills.
4.29 	Program approval for fiscal year 2008 and later must be based on
4.30 	the rules.

4.31 	Sec. 4. APPROPRIATIONS.
 4.32 		Subdivision 1.Department. The sums indicated in this
4.33 	section are appropriated from the general fund to the Department
4.34 	of Education for the fiscal years designated.
4.35 		Subd. 2.Career and technical education grants. For
4.36 	career and technical education grants:
5.1 	$1,000,000 .....2006 
5.2 	$1,000,000 .....2007 
5.3 	This appropriation is for grants to school districts to
5.4 	establish emerging technology demonstration programs for
5.5 	students in grades 7 through 9.  The commissioner shall
5.6 	prescribe the form and manner of grant applications, and shall
5.7 	make up to 20 grant awards each year of the biennium.  The grant
5.8 	award process must take into consideration regional
5.9 	distribution, district instructional history with emerging
5.10 	technologies, plans to link the program with high school
5.11 	emerging technology programs, ability to provide local matching
5.12 	funds, and plans to serve as a demonstration program.
5.13 	Any balance in the first year does not cancel but is
5.14 	available in the second year.  This is a onetime appropriation.