1.1 	A bill for an act
1.2 	relating to higher education; modifying tuition for Wisconsin students attending 
1.3 	the University of Minnesota; amending Minnesota Statutes 2004, section 
1.4 	136A.08, subdivision 3.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. Minnesota Statutes 2004, section 136A.08, subdivision 3, is amended to 
1.7 	read:
1.8 		Subd. 3.Wisconsin. (a) A higher education reciprocity agreement with the state 
1.9 	of Wisconsin may include provision for the transfer of funds between Minnesota and 
1.10 	Wisconsin. If this provision is included, the amount of funds to be transferred shall be 
1.11 	determined according to a formula which is mutually acceptable to the office and a duly 
1.12 	designated agency representing Wisconsin. The formula shall recognize differences in 
1.13 	tuition rates between the two states and the number of students attending institutions 
1.14 	in each state under the agreement. Any payments to Minnesota by Wisconsin shall be 
1.15 	deposited by the office in the general fund of the state treasury. The amount required for 
1.16 	the payments shall be certified by the director of the office to the commissioner of finance 
1.17 	annually.
1.18 	(b) Beginning with the fall term of the 2009-2010 academic year, any Wisconsin 
1.19 	resident who attends the University of Minnesota under the reciprocity agreement in 
1.20 	paragraph (a) must pay a tuition rate that is at least equal to the tuition rate for Minnesota 
1.21 	residents attending the University of Minnesota.  Each University of Minnesota campus 
1.22 	must retain any increased tuition revenue generated by this paragraph that is attributable to 
1.23 	Wisconsin students enrolled at the campus.

2.1 	Sec. 2. RESIDENT TUITION PHASE-IN.
 2.2 	The requirements of section 1 that a Wisconsin student attending the University of 
2.3 	Minnesota must pay tuition that is at least equal to the tuition rate for Minnesota residents 
2.4 	attending the University of Minnesota must be phased in over a four-year period.  If the 
2.5 	tuition for a Wisconsin resident attending a campus of the University of Minnesota under 
2.6 	a reciprocity agreement is greater than the tuition rate for a Minnesota resident attending 
2.7 	the same campus, the difference between the tuition rates is reduced by 25 percent each 
2.8 	year beginning with the fall term of the 2006-2007 academic year. By the fall term of 
2.9 	2009-2010, the tuition rate paid by a Wisconsin student must at least equal the resident 
2.10 	tuition rate for a Minnesota student. Nothing in this section prohibits a higher tuition rate 
2.11 	for a Wisconsin resident attending the University of Minnesota. Beginning with fiscal year 
2.12 	2007, each University of Minnesota campus must retain any increased tuition revenue 
2.13 	generated by this section that is attributable to Wisconsin students enrolled at the campus.

2.14 	Sec. 3. EFFECTIVE DATE.
 2.15 	Sections 1 and 2 are effective the day following final enactment.