1.1A bill for an act1.2relating to education; providing for human services and early childhood, family, 1.3and adult education; providing for child care assistance; regulating child care 1.4providers; requiring training of early childhood staff and child care providers; 1.5providing for Head Start; authorizing boards, task forces, and advisory groups; 1.6authorizing grants; providing for studies; requiring reports; appropriating money;1.7amending Minnesota Statutes 2006, sections 13.46, subdivision 2; 16D.13, 1.8subdivision 3; 119A.52; 119A.535; 119B.09, subdivisions 1, 7, by adding 1.9subdivisions; 119B.12; 119B.125, subdivision 2; 119B.13, subdivisions 1, 1.103a, 6, 7; 119B.21, subdivision 5; 124D.13, subdivisions 1, 2, 11, by adding a 1.11subdivision; 124D.135, subdivisions 1, 3, 5; 124D.16, subdivision 2; 124D.175; 1.12124D.531, subdivisions 1, 4; 124D.55; 124D.56, subdivisions 1, 2, 3; 245A.10, 1.13subdivision 2; 245A.16, subdivisions 1, 3; 245C.04, subdivision 1; 245C.05, 1.14subdivisions 4, 7, by adding a subdivision; 245C.08, subdivision 2; 245C.17, by 1.15adding a subdivision; 245C.21, by adding a subdivision; 245C.23, subdivision 2; 1.16256.017, subdivisions 1, 9; 270B.14, subdivision 1; proposing coding for new 1.17law in Minnesota Statutes, chapters 119A; 124D; repealing Minnesota Statutes 1.182006, sections 119B.08, subdivision 4; 124D.531, subdivision 5.1.19BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:1.20ARTICLE 11.21HUMAN SERVICES1.22    Section 1. Minnesota Statutes 2006, section 13.46, subdivision 2, is amended to read:1.23    Subd. 2. General. (a) Unless the data is summary data or a statute specifically 1.24provides a different classification, data on individuals collected, maintained, used, or 1.25disseminated by the welfare system is private data on individuals, and shall not be 1.26disclosed except:1.27    (1) according to section 
         13.05;1.28    (2) according to court order;1.29    (3) according to a statute specifically authorizing access to the private data;2.1    (4) to an agent of the welfare system, including a law enforcement person, attorney, 2.2or investigator acting for it in the investigation or prosecution of a criminal or civil 2.3proceeding relating to the administration of a program;2.4    (5) to personnel of the welfare system who require the data to verify an individual's 2.5identity; determine eligibility, amount of assistance, and the need to provide services to 2.6an individual or family across programs; evaluate the effectiveness of programs; and 2.7investigate suspected fraud;2.8    (6) to administer federal funds or programs;2.9    (7) between personnel of the welfare system working in the same program;2.10    (8) to the Department of Revenue to administer and evaluate tax refund or tax credit 2.11programs and to identify individuals who may benefit from these programs. The following 2.12information may be disclosed under this paragraph: an individual's and their dependent's 2.13names, dates of birth, Social Security numbers, income, addresses, and other data as 2.14required, upon request by the Department of Revenue. Disclosures by the commissioner 2.15of revenue to the commissioner of human services for the purposes described in this clause 2.16are governed by section 
         270B.14, subdivision 1. Tax refund or tax credit programs include, 2.17but are not limited to, the dependent care credit under section 
         290.067, the Minnesota 2.18working family credit under section 
         290.0671, the property tax refund and rental credit 2.19under section 
         290A.04, and the Minnesota education credit under section 
         290.0674;2.20    (9) between the Department of Human Services, the Department of Education, and 2.21the Department of Employment and Economic Development for the purpose of monitoring 2.22the eligibility of the data subject for unemployment benefits, for any employment or 2.23training program administered, supervised, or certified by that agency, for the purpose of 2.24administering any rehabilitation program or child care assistance program, whether alone 2.25or in conjunction with the welfare system, or to monitor and evaluate the Minnesota 2.26family investment program or the child care assistance program by exchanging data on 2.27recipients and former recipients of food support, cash assistance under chapter 256, 256D, 2.28256J, or 256K, child care assistance under chapter 119B, or medical programs under 2.29chapter 256B, 256D, or 256L;2.30    (10) to appropriate parties in connection with an emergency if knowledge of 2.31the information is necessary to protect the health or safety of the individual or other 2.32individuals or persons;2.33    (11) data maintained by residential programs as defined in section 
         245A.02 may 2.34be disclosed to the protection and advocacy system established in this state according 2.35to Part C of Public Law 98-527 to protect the legal and human rights of persons with 2.36developmental disabilities or other related conditions who live in residential facilities for 3.1these persons if the protection and advocacy system receives a complaint by or on behalf 3.2of that person and the person does not have a legal guardian or the state or a designee of 3.3the state is the legal guardian of the person;3.4    (12) to the county medical examiner or the county coroner for identifying or locating 3.5relatives or friends of a deceased person;3.6    (13) data on a child support obligor who makes payments to the public agency 3.7may be disclosed to the Minnesota Office of Higher Education to the extent necessary to 3.8determine eligibility under section 
         136A.121, subdivision 2, clause (5);3.9    (14) participant Social Security numbers and names collected by the telephone 3.10assistance program may be disclosed to the Department of Revenue to conduct an 3.11electronic data match with the property tax refund database to determine eligibility under 3.12section 
         237.70, subdivision 4a;3.13    (15) the current address of a Minnesota family investment program participant 3.14may be disclosed to law enforcement officers who provide the name of the participant 3.15and notify the agency that:3.16    (i) the participant:3.17    (A) is a fugitive felon fleeing to avoid prosecution, or custody or confinement after 3.18conviction, for a crime or attempt to commit a crime that is a felony under the laws of the 3.19jurisdiction from which the individual is fleeing; or3.20    (B) is violating a condition of probation or parole imposed under state or federal law;3.21    (ii) the location or apprehension of the felon is within the law enforcement officer's 3.22official duties; and3.23    (iii) the request is made in writing and in the proper exercise of those duties;3.24    (16) the current address of a recipient of general assistance or general assistance 3.25medical care may be disclosed to probation officers and corrections agents who are 3.26supervising the recipient and to law enforcement officers who are investigating the 3.27recipient in connection with a felony level offense;3.28    (17) information obtained from food support applicant or recipient households may 3.29be disclosed to local, state, or federal law enforcement officials, upon their written request, 3.30for the purpose of investigating an alleged violation of the Food Stamp Act, according 3.31to Code of Federal Regulations, title 7, section 272.1(c);3.32    (18) the address, Social Security number, and, if available, photograph of any 3.33member of a household receiving food support shall be made available, on request, to a 3.34local, state, or federal law enforcement officer if the officer furnishes the agency with the 3.35name of the member and notifies the agency that:3.36    (i) the member:4.1    (A) is fleeing to avoid prosecution, or custody or confinement after conviction, for a 4.2crime or attempt to commit a crime that is a felony in the jurisdiction the member is fleeing;4.3    (B) is violating a condition of probation or parole imposed under state or federal 4.4law; or4.5    (C) has information that is necessary for the officer to conduct an official duty related 4.6to conduct described in subitem (A) or (B);4.7    (ii) locating or apprehending the member is within the officer's official duties; and4.8    (iii) the request is made in writing and in the proper exercise of the officer's official 4.9duty;4.10    (19) the current address of a recipient of Minnesota family investment program, 4.11general assistance, general assistance medical care, or food support may be disclosed to 4.12law enforcement officers who, in writing, provide the name of the recipient and notify the 4.13agency that the recipient is a person required to register under section 
         243.166, but is not 4.14residing at the address at which the recipient is registered under section 
         243.166;4.15    (20) certain information regarding child support obligors who are in arrears may be 4.16made public according to section 
         518A.74;4.17    (21) data on child support payments made by a child support obligor and data on 4.18the distribution of those payments excluding identifying information on obligees may be 4.19disclosed to all obligees to whom the obligor owes support, and data on the enforcement 4.20actions undertaken by the public authority, the status of those actions, and data on the 4.21income of the obligor or obligee may be disclosed to the other party;4.22    (22) data in the work reporting system may be disclosed under section 
         256.998, 4.23subdivision 7
         ;4.24    (23) to the Department of Education for the purpose of matching Department of 4.25Education student data with public assistance data to determine students eligible for free 4.26and reduced price meals, meal supplements, and free milk according to United States 4.27Code, title 42, sections 1758, 1761, 1766, 1766a, 1772, and 1773; to allocate federal and 4.28state funds that are distributed based on income of the student's family; and to verify 4.29receipt of energy assistance for the telephone assistance plan;4.30    (24) the current address and telephone number of program recipients and emergency 4.31contacts may be released to the commissioner of health or a local board of health as 4.32defined in section 
         145A.02, subdivision 2, when the commissioner or local board of health 4.33has reason to believe that a program recipient is a disease case, carrier, suspect case, or at 4.34risk of illness, and the data are necessary to locate the person;4.35    (25) to other state agencies, statewide systems, and political subdivisions of this 4.36state, including the attorney general, and agencies of other states, interstate information 5.1networks, federal agencies, and other entities as required by federal regulation or law for 5.2the administration of the child support enforcement program;5.3    (26) to personnel of public assistance programs as defined in section 
         256.741, for 5.4access to the child support system database for the purpose of administration, including 5.5monitoring and evaluation of those public assistance programs;5.6    (27) to monitor and evaluate the Minnesota family investment program by 5.7exchanging data between the Departments of Human Services and Education, on 5.8recipients and former recipients of food support, cash assistance under chapter 256, 256D, 5.9256J, or 256K, child care assistance under chapter 119B, or medical programs under 5.10chapter 256B, 256D, or 256L;5.11    (28) to evaluate child support program performance and to identify and prevent 5.12fraud in the child support program by exchanging data between the Department of Human 5.13Services, Department of Revenue under section 
         270B.14, subdivision 1, paragraphs (a) 5.14and (b), without regard to the limitation of use in paragraph (c), Department of Health, 5.15Department of Employment and Economic Development, and other state agencies as is 5.16reasonably necessary to perform these functions; or5.17    (29) counties operating child care assistance programs under chapter 119B may 5.18disseminate data on program participants, applicants, and providers to the commissioner 5.19of education.5.20    (b) Information on persons who have been treated for drug or alcohol abuse may 5.21only be disclosed according to the requirements of Code of Federal Regulations, title 5.2242, sections 2.1 to 
         2.67.5.23    (c) Data provided to law enforcement agencies under paragraph (a), clause (15), 5.24(16), (17), or (18), or paragraph (b), are investigative data and are confidential or protected 5.25nonpublic while the investigation is active. The data are private after the investigation 5.26becomes inactive under section 
         13.82, subdivision 5, paragraph (a) or (b).5.27    (d) Mental health data shall be treated as provided in subdivisions 7, 8, and 9, but is 5.28not subject to the access provisions of subdivision 10, paragraph (b).5.29    For the purposes of this subdivision, a request will be deemed to be made in writing 5.30if made through a computer interface system.5.31    Sec. 2. Minnesota Statutes 2006, section 16D.13, subdivision 3, is amended to read:5.32    Subd. 3. Exclusion. A state agency may not charge interest under this section on 5.33overpayments of assistance benefits under the programs formerly codified in sections 5.34256.031
          to 
         256.0361, 
         256.72 to 
         256.87, and under chapters 119B, 256D, and 256I, or the 5.35federal food stamp program. Notwithstanding this prohibition, any debts that have been 6.1reduced to judgment under these programs are subject to the interest charges provided 6.2under section 
         549.09.6.3    Sec. 3. Minnesota Statutes 2006, section 119B.09, subdivision 1, is amended to read:6.4    Subdivision 1. General Eligibility requirements for all applicants for child 6.5care assistance. (a) Child care services must be available to families who need child 6.6care to find or keep employment or to obtain the training or education necessary to find 6.7employment and who:6.8    (1) have household income less than or equal to 250 percent of the federal poverty 6.9guidelines, adjusted for family size, and meet the requirements of section 
         119B.05; 6.10receive MFIP assistance; and are participating in employment and training services under 6.11chapter 256J or 256K; or6.12    (2) have household income less than or equal to 175 percent of the federal poverty 6.13guidelines, adjusted for family size, at program entry and less than 250 percent of the 6.14federal poverty guidelines, adjusted for family size, at program exit.; or6.15    (3) have household income less than or equal to 250 percent of the federal poverty 6.16guidelines, adjusted for family size, and were a family whose child care assistance was 6.17terminated due to insufficient funds under Minnesota Rules, part 3400.0183.6.18    (b) Child care services must be made available as in-kind services.6.19    (c) All applicants for child care assistance and families currently receiving child care 6.20assistance must be assisted and required to cooperate in establishment of paternity and 6.21enforcement of child support obligations for all children in the family as a condition 6.22of program eligibility. For purposes of this section, a family is considered to meet the 6.23requirement for cooperation when the family complies with the requirements of section 6.24256.741
         .6.25EFFECTIVE DATE.This section is effective July 1, 2008.6.26    Sec. 4. Minnesota Statutes 2006, section 119B.09, subdivision 7, is amended to read:6.27    Subd. 7. Date of eligibility for assistance. (a) The date of eligibility for child 6.28care assistance under this chapter is the later of the date the application was signed; the 6.29beginning date of employment, education, or training; the date the infant is born for 6.30applicants to the at-home infant care program; or the date a determination has been made 6.31that the applicant is a participant in employment and training services under Minnesota 6.32Rules, part 3400.0080, subpart 2a, or chapter 256J.6.33    (b) Payment ceases for a family under the at-home infant child care program when a 6.34family has used a total of 12 months of assistance as specified under section 
         119B.035. 7.1Payment of child care assistance for employed persons on MFIP is effective the date of 7.2employment or the date of MFIP eligibility, whichever is later. Payment of child care 7.3assistance for MFIP or DWP participants in employment and training services is effective 7.4the date of commencement of the services or the date of MFIP or DWP eligibility, 7.5whichever is later. Payment of child care assistance for transition year child care must be 7.6made retroactive to the date of eligibility for transition year child care. 7.7    (c) Notwithstanding paragraph (b), payment of child care assistance for participants 7.8eligible under section 119B.05, may only be made retroactively for a maximum of six 7.9months from the date of application for child care assistance.7.10EFFECTIVE DATE.This section is effective July 1, 2008.7.11    Sec. 5. Minnesota Statutes 2006, section 119B.09, is amended by adding a subdivision 7.12to read:7.13    Subd. 11.Payment of other child care expenses.Payment by a source other 7.14than the family, of part or all of a family's child care expenses not payable under this 7.15chapter, does not affect the family's eligibility for child care assistance, and the amount 7.16paid is excluded from the family's income, if the funds are paid directly to the family's 7.17child care provider on behalf of the family. Child care providers who accept third-party 7.18payments must maintain family-specific documentation of payment source, amount, type 7.19of expenses, and time period covered by the payment.7.20    Sec. 6. Minnesota Statutes 2006, section 119B.09, is amended by adding a subdivision 7.21to read:7.22    Subd. 13.Sliding fee.Child care services to families must be made available on 7.23a sliding fee basis.7.24    (a) The commissioner shall convert eligibility requirements in section 119B.09 and 7.25parent fee schedules in 119B.12 to state median income, based on a family size of three, 7.26adjusted for family size,  Subd. 2(a) shall be implemented July 1, 2008. The commissioner 7.27shall report to the 2008 legislature with the necessary statutory changes to codify this 7.28conversion to state median income. 7.29    Sec. 7. Minnesota Statutes 2006, section 119B.12, is amended to read:7.30119B.12 SLIDING FEE SCALE.7.31    Subdivision 1. Fee schedule. In setting the sliding fee schedule, the commissioner 7.32shall exclude from the amount of income used to determine eligibility an amount for 8.1federal and state income and Social Security taxes attributable to that income level 8.2according to federal and state standardized tax tables. The commissioner shall base the 8.3parent fee on the ability of the family to pay for child care. The fee schedule must be 8.4designed to use any available tax credits.8.5    PARENT FEE SCHEDULE.   The parent fee schedule is as follows: 

8.68.7Income Range (as a percent of the federal poverty guidelines)Co-payment (as a percentage of adjusted gross income)8.8 0-74.99%$0/month8.975.00-99.99%$5/month8.10100.00-104.99%2.61%8.11105.00-109.99%2.61%8.12110.00-114.99%2.61%8.13115.00-119.99%2.61%8.14120.00-124.99%2.91%8.15125.00-129.99%2.91%8.16130.00-134.99%2.91%8.17135.00-139.99%2.91%8.18140.00-144.99%3.21%8.19145.00-149.99%3.21%8.20150.00-154.99%3.21%8.21155.00-159.99%3.84%8.22160.00-164.99%3.84%8.23165.00-169.99%4.46%8.24170.00-174.99%4.76%8.25175.00-179.99%5.05%8.26180.00-184.99%5.65%8.27185.00-189.99%5.95%8.28190.00-194.99%6.24%8.29195.00-199.99%6.84%8.30200.00-204.99%7.58%8.31205.00-209.99%8.33%8.32210.00-214.99%9.20%8.33215.00-219.99%10.07%8.34220.00-224.99%10.94%8.35225.00-229.99%11.55%8.36230.00-234.99%12.16%8.37235.00-239.99%12.77%8.38240.00-244.99%13.38%8.39245.00-249.99%14.00%8.40250%ineligible

8.41    A family's monthly co-payment fee is the fixed percentage established for the 8.42income range multiplied by the highest possible income within that income range.9.1    Subd. 2. Parent fee. A family must be assessed a parent fee for each service period. 9.2A family's parent fee must be a fixed percentage of its annual gross income. Parent fees 9.3must apply to families eligible for child care assistance under sections 
         119B.03 and 9.4119B.05
         . Income must be as defined in section 
         119B.011, subdivision 15. The fixed 9.5percent is based on the relationship of the family's annual gross income to 100 percent 9.6of the annual federal poverty guidelines. Parent fees must begin at 75 percent of the 9.7poverty level. The minimum parent fees for families between 75 percent and 100 percent 9.8of poverty level must be $10 $5 per month. Parent fees must provide for graduated 9.9movement to full payment. Payment of part or all of a family's parent fee directly to the 9.10family's child care provider on behalf of the family by a source other than the family shall 9.11not affect the family's eligibility for child care assistance, and the amount paid shall be 9.12excluded from the family's income. Child care providers who accept third-party payments 9.13must maintain family specific documentation of payment source, amount, and time period 9.14covered by the payment.9.15EFFECTIVE DATE.(a) This section is effective July 1, 2007. 9.16    (b) Effective July 1, 2008, the parent fee scale for families with incomes greater than 9.17or equal to 100 percent of FPG shall be converted to state median income for a family size 9.18of three, adjusted for family size, as directed in section 119B.09, subdivision 2(a). 9.19    Sec. 8. Minnesota Statutes 2006, section 119B.125, subdivision 2, is amended to read:9.20    Subd. 2. Persons who cannot be authorized. (a) A person who meets any of the 9.21conditions under paragraphs (b) to (n) must not be authorized as a legal nonlicensed 9.22family child care provider. To determine whether any of the listed conditions exist, 9.23the county must request information about the provider from the Bureau of Criminal 9.24Apprehension, the juvenile courts, and social service agencies. When one of the listed 9.25entities does not maintain information on a statewide basis, the county must contact the 9.26entity in the county where the provider resides and any other county in which the provider 9.27previously resided in the past year. For purposes of this subdivision, a finding that a 9.28delinquency petition is proven in juvenile court must be considered a conviction in state 9.29district court. If a county has determined that a provider is able to be authorized in that 9.30county, and a family in another county later selects that provider, the provider is able to 9.31be authorized in the second county without undergoing a new background investigation 9.32unless one of the following conditions exists:9.33    (1) two years have passed since the first authorization;9.34    (2) another person age 13 or older has joined the provider's household since the 9.35last authorization;10.1    (3) a current household member has turned 13 since the last authorization; or10.2    (4) there is reason to believe that a household member has a factor that prevents 10.3authorization.10.4    (b) The person has been convicted of one of the following offenses or has admitted to 10.5committing or a preponderance of the evidence indicates that the person has committed an 10.6act that meets the definition of one of the following offenses: sections 
         609.185 to 
         609.195, 10.7murder in the first, second, or third degree; 
         609.2661 to 
         609.2663, murder of an unborn 10.8child in the first, second, or third degree; 
         609.322, solicitation, inducement, promotion 10.9of prostitution, or receiving profit from prostitution; 
         609.342 to 
         609.345, criminal sexual 10.10conduct in the first, second, third, or fourth degree; 
         609.352, solicitation of children to 10.11engage in sexual conduct; 
         609.365, incest; 
         609.377, felony malicious punishment of a 10.12child; 
         617.246, use of minors in sexual performance; 
         617.247, possession of pictorial 10.13representation of a minor; 
         609.2242 to 
         609.2243, felony domestic assault; a felony offense 10.14of spousal abuse; a felony offense of child abuse or neglect; a felony offense of a crime 10.15against children; or an attempt or conspiracy to commit any of these offenses as defined in 10.16Minnesota Statutes; or an offense in any other state or country where the elements are 10.17substantially similar to any of the offenses listed in this paragraph.10.18    (c) Less than 15 years have passed since the discharge of the sentence imposed for 10.19the offense and the person has received a felony conviction for one of the following 10.20offenses, or the person has admitted to committing or a preponderance of the evidence 10.21indicates that the person has committed an act that meets the definition of a felony 10.22conviction for one of the following offenses: sections 
         609.20 to 
         609.205, manslaughter in 10.23the first or second degree; 
         609.21, criminal vehicular homicide; 
         609.215, aiding suicide 10.24or aiding attempted suicide; 
         609.221 to 
         609.2231, assault in the first, second, third, or 10.25fourth degree; 
         609.224, repeat offenses of fifth degree assault; 
         609.228, great bodily 10.26harm caused by distribution of drugs; 
         609.2325, criminal abuse of a vulnerable adult; 10.27609.2335
         , financial exploitation of a vulnerable adult; 
         609.235, use of drugs to injure or 10.28facilitate a crime; 
         609.24, simple robbery; 
         617.241, repeat offenses of obscene materials 10.29and performances; 
         609.245, aggravated robbery; 
         609.25, kidnapping; 
         609.255, false 10.30imprisonment; 
         609.2664 to 
         609.2665, manslaughter of an unborn child in the first or 10.31second degree; 
         609.267 to 
         609.2672, assault of an unborn child in the first, second, or third 10.32degree; 
         609.268, injury or death of an unborn child in the commission of a crime; 
         609.27, 10.33coercion; 
         609.275, attempt to coerce; 
         609.324, subdivision 1, other prohibited acts, minor 10.34engaged in prostitution; 
         609.3451, repeat offenses of criminal sexual conduct in the fifth 10.35degree; 
         609.378, neglect or endangerment of a child; 
         609.52, theft; 
         609.521, possession of 10.36shoplifting gear; 
         609.561 to 
         609.563, arson in the first, second, or third degree; 
         609.582, 11.1burglary in the first, second, third, or fourth degree; 
         609.625, aggravated forgery; 
         609.63, 11.2forgery; 
         609.631, check forgery, offering a forged check; 
         609.635, obtaining signature 11.3by false pretenses; 
         609.66, dangerous weapon; 
         609.665, setting a spring gun; 
         609.67, 11.4unlawfully owning, possessing, or operating a machine gun; 
         609.687, adulteration; 
         609.71, 11.5riot; 
         609.713, terrorist threats; 
         609.749, harassment, stalking; 
         260C.301, termination of 11.6parental rights; 
         152.021 to 
         152.022 and 
         152.0262, controlled substance crime in the first 11.7or second degree; 
         152.023, subdivision 1, clause (3) or (4), or 
         152.023, subdivision 2, 11.8clause (4), controlled substance crime in third degree; 
         152.024, subdivision 1, clause 11.9(2), (3), or (4), controlled substance crime in fourth degree; 
         617.23, repeat offenses of 11.10indecent exposure; an attempt or conspiracy to commit any of these offenses as defined in 11.11Minnesota Statutes; or an offense in any other state or country where the elements are 11.12substantially similar to any of the offenses listed in this paragraph.11.13    (d) Less than ten years have passed since the discharge of the sentence imposed for 11.14the offense and the person has received a gross misdemeanor conviction for one of the 11.15following offenses or the person has admitted to committing or a preponderance of the 11.16evidence indicates that the person has committed an act that meets the definition of a gross 11.17misdemeanor conviction for one of the following offenses: sections 
         609.224, fifth degree 11.18assault; 
         609.2242 to 
         609.2243, domestic assault; 
         518B.01, subdivision 14, violation of 11.19an order for protection; 
         609.3451, fifth degree criminal sexual conduct; 
         609.746, repeat 11.20offenses of interference with privacy; 
         617.23, repeat offenses of indecent exposure; 11.21617.241
         , obscene materials and performances; 
         617.243, indecent literature, distribution; 11.22617.293
         , disseminating or displaying harmful material to minors; 
         609.71, riot; 
         609.66, 11.23dangerous weapons; 
         609.749, harassment, stalking; 
         609.224, subdivision 2, paragraph 11.24(c), fifth degree assault against a vulnerable adult by a caregiver; 
         609.23, mistreatment 11.25of persons confined; 
         609.231, mistreatment of residents or patients; 
         609.2325, criminal 11.26abuse of a vulnerable adult; 
         609.2335, financial exploitation of a vulnerable adult; 11.27609.233
         , criminal neglect of a vulnerable adult; 
         609.234, failure to report maltreatment of 11.28a vulnerable adult; 
         609.72, subdivision 3, disorderly conduct against a vulnerable adult; 11.29609.265
         , abduction; 
         609.378, neglect or endangerment of a child; 
         609.377, malicious 11.30punishment of a child; 
         609.324, subdivision 1a, other prohibited acts, minor engaged 11.31in prostitution; 
         609.33, disorderly house; 
         609.52, theft; 
         609.582, burglary in the first, 11.32second, third, or fourth degree; 
         609.631, check forgery, offering a forged check; 
         609.275, 11.33attempt to coerce; an attempt or conspiracy to commit any of these offenses as defined in 11.34Minnesota Statutes; or an offense in any other state or country where the elements are 11.35substantially similar to any of the offenses listed in this paragraph.12.1    (e) Less than seven years have passed since the discharge of the sentence imposed 12.2for the offense and the person has received a misdemeanor conviction for one of the 12.3following offenses or the person has admitted to committing or a preponderance of 12.4the evidence indicates that the person has committed an act that meets the definition 12.5of a misdemeanor conviction for one of the following offenses: sections 
         609.224, fifth 12.6degree assault; 
         609.2242, domestic assault; 
         518B.01, violation of an order for protection; 12.7609.3232
         , violation of an order for protection; 
         609.746, interference with privacy; 
         609.79, 12.8obscene or harassing telephone calls; 
         609.795, letter, telegram, or package opening, 12.9harassment; 
         617.23, indecent exposure; 
         609.2672, assault of an unborn child, third degree; 12.10617.293
         , dissemination and display of harmful materials to minors; 
         609.66, dangerous 12.11weapons; 
         609.665, spring guns; an attempt or conspiracy to commit any of these offenses 12.12as defined in Minnesota Statutes; or an offense in any other state or country where the 12.13elements are substantially similar to any of the offenses listed in this paragraph.12.14    (f) The person has been identified by the child protection agency in the county where 12.15the provider resides or a county where the provider has resided or by the statewide child 12.16protection database as a person found by a preponderance of evidence under section 12.17626.556
          to be responsible for physical or sexual abuse of a child within the last seven years.12.18    (g) The person has been identified by the adult protection agency in the county 12.19where the provider resides or a county where the provider has resided or by the statewide 12.20adult protection database as the person responsible for abuse or neglect of a vulnerable 12.21adult within the last seven years.12.22    (h) The person has refused to give written consent for disclosure of criminal history 12.23records.12.24    (i) The person has been denied a family child care license or has received a fine or a 12.25sanction as a licensed child care provider that has not been reversed on appeal.12.26    (j) The person has a family child care licensing disqualification that has not been 12.27set aside.12.28    (k) The person has admitted or a county has found that there is a preponderance of 12.29evidence that fraudulent information was given to the county for child care assistance 12.30application purposes or was used in submitting child care assistance bills for payment.12.31    (l) The person has been convicted of the crime of theft by wrongfully obtaining 12.32public assistance or has been found guilty of wrongfully obtaining public assistance by a 12.33federal court, state court, or an administrative hearing determination or waiver, through a 12.34disqualification consent agreement, as part of an approved diversion plan under section 12.35401.065, or a court-ordered stay with probationary or other conditions.13.1    (m) The person has a household member age 13 or older who has access to children 13.2during the hours that care is provided and who meets one of the conditions listed in 13.3paragraphs (b) to (l).13.4    (n) The person has a household member ages ten to 12 who has access to children 13.5during the hours that care is provided; information or circumstances exist which provide 13.6the county with articulable suspicion that further pertinent information may exist showing 13.7the household member meets one of the conditions listed in paragraphs (b) to (l); and the 13.8household member actually meets one of the conditions listed in paragraphs (b) to (l).13.9    Sec. 9. Minnesota Statutes 2006, section 119B.13, subdivision 1, is amended to read:13.10    Subdivision 1. Subsidy restrictions. (a) Beginning July 1, 2006 2007, the 13.11maximum rate paid for child care assistance in any county or multicounty region under the 13.12child care fund shall be the  rate for like-care arrangements in the county effective January13.13July 1, 2006, increased by six two percent.13.14    (b) Rate changes shall be implemented for services provided in September 200613.152007 unless a participant eligibility redetermination or a new provider agreement is 13.16completed between July 1, 2006 2007, and August 31, 2006 1, 2007.13.17    As necessary, appropriate notice of adverse action must be made according to 13.18Minnesota Rules, part 
         3400.0185, subparts 3 and 4.13.19    New cases approved on or after  July 1, 2006 2007, shall have the maximum rates 13.20under paragraph (a), implemented immediately.13.21    (c) Not less than once every two years, the commissioner shall survey rates 13.22charged by child care providers in Minnesota to determine the 75th percentile for 13.23like-care arrangements in counties. When the commissioner determines that, using the 13.24commissioner's established protocol, the number of providers responding to the survey is 13.25too small to determine the 75th percentile rate for like-care arrangements in a county or 13.26multicounty region, the commissioner may establish the 75th percentile maximum rate 13.27based on like-care arrangements in a county, region, or category that the commissioner 13.28deems to be similar.13.29    (d) A rate which includes a special needs rate paid under subdivision 3 or under 13.30a school readiness service agreement paid under section 30 may be in excess of the 13.31maximum rate allowed under this subdivision.13.32    (e) The department shall monitor the effect of this paragraph on provider rates. The 13.33county shall pay the provider's full charges for every child in care up to the maximum 13.34established. The commissioner shall determine the maximum rate for each type of care 14.1on an hourly, full-day, and weekly basis, including special needs and disability care. The 14.2half-day rates are effective beginning July 1, 2008.14.3    (f) When the provider charge is greater than the maximum provider rate allowed, 14.4the parent is responsible for payment of the difference in the rates in addition to any 14.5family co-payment fee.14.6    (g) All maximum provider rate changes shall be implemented on the Monday 14.7following the effective date of the maximum provider rate.14.8    Sec. 10. Minnesota Statutes 2006, section 119B.13, subdivision 3a, is amended to read:14.9    Subd. 3a. Provider rate differential for accreditation. A family child care 14.10provider or child care center shall be paid a 15 percent differential above the maximum 14.11rate established in subdivision 1, up to the actual provider rate, if the provider or center 14.12holds a current early childhood development credential or is accredited.  For a family 14.13child care provider, early childhood development credential and accreditation includes 14.14an individual who has earned a child development associate degree, a child development 14.15associate credential, a diploma in child development from a Minnesota state technical 14.16college, or a bachelor's or post baccalaureate degree in early childhood education from 14.17an accredited college or university, or who is accredited by the National Association for 14.18Family Child Care or the Competency Based Training and Assessment Program.  For a 14.19child care center, accreditation includes accreditation by the National Association for the 14.20Education of Young Children, the Council on Accreditation, the National Early Childhood 14.21Program Accreditation, the National School-Age Care Association, or the National Head 14.22Start Association Program of Excellence.  For Montessori programs, accreditation includes 14.23the American Montessori Society, Association of Montessori International-USA, or the 14.24National Center for Montessori Education.14.25    Sec. 11. Minnesota Statutes 2006, section 119B.13, subdivision 6, is amended to read:14.26    Subd. 6. Provider payments. (a) Counties or the state shall make vendor payments 14.27to the child care provider or pay the parent directly for eligible child care expenses.14.28    (b) If payments for child care assistance are made to providers, the provider shall 14.29bill the county for services provided within ten days of the end of the service period. If 14.30bills are submitted within ten days of the end of the service period, a county or the state 14.31shall issue payment to the provider of child care under the child care fund within 30 days 14.32of receiving a bill from the provider. Counties or the state may establish policies that 14.33make payments on a more frequent basis.15.1    (c) All billsIf a provider has received an authorization of care and has been issued a 15.2billing form for an eligible family, the bill must be submitted within 60 days of the last 15.3date of service on the bill. A county may pay a bill submitted more than 60 days after 15.4the last date of service if the provider shows good cause why the bill was not submitted 15.5within 60 days. Good cause must be defined in the county's child care fund plan under 15.6section 
         119B.08, subdivision 3, and the definition of good cause must include county 15.7error. A county may not pay any bill submitted more than a year after the last date of 15.8service on the bill. 15.9    (d) If a provider provided care for a time period without receiving an authorization 15.10of care and a billing form for an eligible family, payment of child care assistance may only 15.11be made retroactively for a maximum of six months from the date the provider is issued an 15.12authorization of care and a billing form.15.13    (d)(e) A county may stop payment issued to a provider or may refuse to pay a 15.14bill submitted by a provider if:15.15    (1) the provider admits to intentionally giving the county materially false information 15.16on the provider's billing forms; or15.17    (2) a county finds by a preponderance of the evidence that the provider intentionally 15.18gave the county materially false information on the provider's billing forms.15.19    (e)(f) A county's payment policies must be included in the county's child care plan 15.20under section 
         119B.08, subdivision 3. If payments are made by the state, in addition to 15.21being in compliance with this subdivision, the payments must be made in compliance 15.22with section 
         16A.124. 15.23    Sec. 12. Minnesota Statutes 2006, section 119B.13, subdivision 7, is amended to read:15.24    Subd. 7. Absent days. (a) Child care providers may not be reimbursed for more 15.25than 25 full-day absent days per child, excluding holidays, in a fiscal year, or for more 15.26than ten consecutive full-day absent days, unless the child has a documented medical 15.27condition that causes more frequent absences. Absences due to a documented medical 15.28condition of a parent or sibling who lives in the same residence as the child receiving 15.29child care assistance do not count against the 25-day absent day limit in a fiscal year. 15.30Documentation of medical conditions must be on the forms and submitted according to 15.31the timelines established by the commissioner. A public health nurse or school nurse 15.32may verify the illness in lieu of a medical practitioner. If a provider sends a child home 15.33early due to a medical reason including, but not limited to, fever or contagious illness, 15.34the child care center director or lead teacher may verify the illness in lieu of a medical 15.35practitioner. If a child attends for part of the time authorized to be in care in a day, but is 16.1absent for part of the time authorized to be in care in that same day, the absent time will be 16.2reimbursed but the time will not count toward the ten consecutive or 25 cumulative absent 16.3day limits. Children in families where at least one parent is under the age of 21, does not 16.4have a high school or general education development (GED) diploma, and is a student in a 16.5school district or another similar program that provides or arranges for child care, as well 16.6as parenting, social services, career and employment supports, and academic support to 16.7achieve high school graduation, may be exempt from the absent day limits upon request 16.8of the program and approval of the county. If a child attends part of an authorized day, 16.9payment to the provider must be for the full amount of care authorized for that day. Child 16.10care providers may only be reimbursed for absent days if the provider has a written policy 16.11for child absences and charges all other families in care for similar absences. 16.12    (b) Child care providers must be reimbursed for up to ten federal or state holidays 16.13or designated holidays per year when the provider charges all families for these days 16.14and the holiday or designated holiday falls on a day when the child is authorized to be 16.15in attendance. Parents may substitute other cultural or religious holidays for the ten 16.16recognized state and federal holidays. Holidays do not count toward the ten consecutive or 16.1725 cumulative absent day limits. 16.18    (c) A family or child care provider may not be assessed an overpayment for an 16.19absent day payment unless (1) there was an error in the amount of care authorized for the 16.20family, (2) all of the allowed full-day absent payments for the child have been paid, or (3) 16.21the family or provider did not timely report a change as required under law.16.22    (d) The provider and family must receive notification of the number of absent days 16.23used upon initial provider authorization for a family and when the family has used 15 16.24cumulative absent days. Upon statewide implementation of the Minnesota Electronic 16.25Child Care System, the provider and family authorization for a family and ongoing 16.26notification of the number of absent days used as of the date of the notification.16.27    (e) A county may pay for more absent days than the statewide absent day policy 16.28established under this subdivision, if current market practice in the county justifies 16.29payment for those additional days. County policies for payment of absent days in excess 16.30of the statewide absent day policy and justification for these county policies must be 16.31included in the county's child care fund plan under section 119B.08, subdivision 3.16.32    Sec. 13. Minnesota Statutes 2006, section 119B.21, subdivision 5, is amended to read:16.33    Subd. 5. Child care services grants. (a) A child care resource and referral program 16.34designated under section 
         119B.19, subdivision 1a, may award child care services grants 16.35for: 17.1    (1) creating new licensed child care facilities and expanding existing facilities, 17.2including, but not limited to, supplies, equipment, facility renovation, and remodeling;17.3    (2) improving licensed child care facility programs;17.4    (3) staff training and development services including, but not limited to, in-service 17.5training, curriculum development, accreditation, certification, consulting, resource centers, 17.6and program and resource materials, supporting effective teacher-child interactions, 17.7child-focused teaching, and content-driven classroom instruction;17.8    (4) interim financing;17.9    (5) capacity building through the purchase of appropriate technology to create, 17.10enhance, and maintain business management systems;17.11    (6) emergency assistance for child care programs;17.12    (7) new programs or projects for the creation, expansion, or improvement of 17.13programs that serve ethnic immigrant and refugee communities; and17.14    (8) targeted recruitment initiatives to expand and build the capacity of the child 17.15care system and to improve the quality of care provided by legal nonlicensed child care 17.16providers.17.17    (b) A child care resource and referral program designated under section 
         119B.19, 17.18subdivision 1a
         , may award child care services grants to: 17.19    (1) licensed providers;17.20    (2) providers in the process of being licensed;17.21    (3) corporations or public agencies that develop or provide child care services;17.22    (4) school-age care programs; or17.23    (5) any combination of clauses (1) to (4).17.24Unlicensed providers are only eligible for grants under paragraph (a), clause (7).17.25    (c) A recipient of a child care services grant for facility improvements, interim 17.26financing, or staff training and development must provide a 25 percent local match.17.27    Sec. 14. Minnesota Statutes 2006, section 245A.10, subdivision 2, is amended to read:17.28    Subd. 2. County fees for background studies and licensing inspections. (a) For 17.29purposes of family and group family child care licensing under this chapter, a county 17.30agency may charge a fee to an applicant or license holder to recover the actual cost of 17.31background studies, but in any case not to exceed $100 annually. A county agency may 17.32also charge alicense fee to an applicant or license holder to recover the actual cost of 17.33licensing inspections, but in any case not to exceed $150 annually$50 for a one-year 17.34license or $100 for a two-year license.18.1    (b) A county agency may charge a fee to a legal nonlicensed child care provider or 18.2applicant for authorization to recover the actual cost of background studies completed 18.3under section  
         119B.125, but in any case not to exceed $100 annually. 18.4    (c) Counties may elect to reduce or waive the fees in paragraph (a) or (b):18.5    (1) in cases of financial hardship;18.6    (2)  if the county has a shortage of providers in the county's area;18.7    (3) for new providers; or18.8    (4) for providers who have attained at least 16 hours of training before seeking 18.9initial licensure.18.10    (d) Counties may allow providers to pay the applicant fees in paragraph (a) or (b) on 18.11an installment basis for up to one year. If the provider is receiving child care assistance 18.12payments from the state, the provider may have the fees under paragraph (a) or (b) 18.13deducted from the child care assistance payments for up to one year and the state shall 18.14reimburse the county for the county fees collected in this manner.18.15EFFECTIVE DATE.This section is effective the day following final enactment.18.16    Sec. 15. Minnesota Statutes 2006, section 245A.16, subdivision 1, is amended to read:18.17    Subdivision 1. Delegation of authority to agencies. (a) County agencies and 18.18private agencies that have been designated or licensed by the commissioner to perform 18.19licensing functions and activities under section 
         245A.04andbackground studies for 18.20adult foster care, family adult day services, and child foster care under chapter 245C, to 18.21recommend denial of applicants under section 
         245A.05, to issue correction orders, to issue 18.22variances, and recommend a conditional license under section 
         245A.06, or to recommend 18.23suspending or revoking a license or issuing a fine under section 
         245A.07, shall comply 18.24with rules and directives of the commissioner governing those functions and with this 18.25section. The following variances are excluded from the delegation of variance authority 18.26and may be issued only by the commissioner:18.27    (1) dual licensure of family child care and child foster care, dual licensure of child 18.28and adult foster care, and adult foster care and family child care;18.29    (2) adult foster care maximum capacity;18.30    (3) adult foster care minimum age requirement;18.31    (4) child foster care maximum age requirement;18.32    (5) variances regarding disqualified individuals except that county agencies may 18.33issue variances under section 
         245C.30 regarding disqualified individuals when the county 18.34is responsible for conducting a consolidated reconsideration according to sections 
         245C.2519.1and 
         245C.27, subdivision 2, clauses (a) and (b), of a county maltreatment determination 19.2and a disqualification based on serious or recurring maltreatment; and19.3    (6) the required presence of a caregiver in the adult foster care residence during 19.4normal sleeping hours.19.5    (b) County agencies must report:19.6    (1) information about disqualification reconsiderations under sections 
         245C.2519.7and 
         245C.27, subdivision 2, clauses (a) and (b), and variances granted under paragraph 19.8(a), clause (5), to the commissioner at least monthly in a format prescribed by the 19.9commissioner; and19.10    (2) for relative child foster care applicants and license holders, the number of 19.11relatives, as defined in section 
         260C.007, subdivision 27, and household members of 19.12relatives who are disqualified under section 
         245C.14; the disqualifying characteristics 19.13under section 
         245C.15; the number of these individuals who requested reconsideration 19.14under section 
         245C.21; the number of set-asides under section 
         245C.22; and variances 19.15under section 
         245C.30 issued. This information shall be reported to the commissioner 19.16annually by January 15 of each year in a format prescribed by the commissioner.19.17    (c) For family day care programs, the commissioner may authorize licensing reviews 19.18every two years after a licensee has had at least one annual review.19.19    (d) For family adult day services programs, the commissioner may authorize 19.20licensing reviews every two years after a licensee has had at least one annual review.19.21    (e) A license issued under this section may be issued for up to two years.19.22    (f) The commissioner shall work with counties to determine the cost and propose 19.23an ongoing funding allocation from the general fund to cover the cost to counties 19.24to implement an annual license review for licensed family child care providers. 19.25The commissioner shall solicit input from counties to determine the outcome. The 19.26commissioner shall report to the committees of the house of representatives and senate 19.27having jurisdiction over early childhood programs by January 15, 2008, as to the costs 19.28and the funding allocation recommended for future use.19.29EFFECTIVE DATE.This section is effective January 1, 2008.19.30    Sec. 16. Minnesota Statutes 2006, section 245A.16, subdivision 3, is amended to read:19.31    Subd. 3. Recommendations to the commissioner. The county or private agency 19.32shall not make recommendations to the commissioner regarding licensure without first 19.33conducting an inspection, and for adult foster care, family adult day services, and child 19.34foster care, a background study of the applicant, and evaluation pursuant to chapter 245C. 19.35The county or private agency must forward its recommendation to the commissioner 20.1regarding the appropriate licensing action within 20 working days of receipt of a 20.2completed application.20.3EFFECTIVE DATE.This section is effective January 1, 2008.20.4    Sec. 17. Minnesota Statutes 2006, section 245C.04, subdivision 1, is amended to read:20.5    Subdivision 1. Licensed programs. (a) The commissioner shall conduct a 20.6background study of an individual required to be studied under section 
         245C.03, 20.7subdivision 1
         , at least upon application for initial license for all license types. 20.8    (b) The commissioner shall conduct a background study of an individual required 20.9to be studied under section 
         245C.03, subdivision 1, at reapplication for a license for 20.10family child care, child foster care, and adult foster care. 20.11    (c) The commissioner is not required to conduct a study of an individual at the time 20.12of reapplication for a license if the individual's background study was completed by the 20.13commissioner of human services for an adult foster care license holder that is also:20.14    (1) registered under chapter 144D; or20.15    (2) licensed to provide home and community-based services to people with 20.16disabilities at the foster care location and the license holder does not reside in the foster 20.17care residence; and20.18    (3) the following conditions are met:20.19    (i) a study of the individual was conducted either at the time of initial licensure or 20.20when the individual became affiliated with the license holder;20.21    (ii) the individual has been continuously affiliated with the license holder since 20.22the last study was conducted; and20.23    (iii) the last study of the individual was conducted on or after October 1, 1995.20.24    (d) From January 1, 2008, to December 31, 2009, the commissioner shall conduct 20.25a study of an individual required to be studied under section 245C.03, at the time of 20.26reapplication for a family child care license. The county shall collect and forward to the 20.27commissioner the information required under section 245C.05, subdivisions 1 and 5. The 20.28background study conducted by the commissioner under this paragraph must include a 20.29review of the information required under section 245C.08, subdivisions 1, paragraph 20.30(a), and 3.20.31    (e) The commissioner shall conduct a background study of an individual specified 20.32under section 245C.03, subdivision 1, paragraph (a), clauses (2) to (6), who is newly 20.33affiliated with a family child care license holder. The county shall collect and forward 20.34to the commissioner the information required under section 245C.05, subdivisions 1 20.35and 5. The background study conducted by the commissioner under this paragraph 21.1must include a review of the information required under section 245C.08, subdivisions 21.21, paragraph (a), and 3.21.3    (f) Applicants for licensure, license holders, and other entities as provided in this 21.4chapter must submit completed background study forms to the commissioner before 21.5individuals specified in section 
         245C.03, subdivision 1, begin positions allowing direct 21.6contact in any licensed program. 21.7    (e)(g) For purposes of this section, a physician licensed under chapter 147 is 21.8considered to be continuously affiliated upon the license holder's receipt from the 21.9commissioner of health or human services of the physician's background study results.21.10EFFECTIVE DATE.This section is effective January 1, 2008.21.11    Sec. 18. Minnesota Statutes 2006, section 245C.05, is amended by adding a 21.12subdivision to read:21.13    Subd. 2a.County agency.For background studies related to family child care, 21.14county agencies must collect the information under subdivision 1 and forward it to the 21.15commissioner.21.16EFFECTIVE DATE.This section is effective January 1, 2008.21.17    Sec. 19. Minnesota Statutes 2006, section 245C.05, subdivision 4, is amended to read:21.18    Subd. 4. Electronic transmission. For background studies conducted by the 21.19Department of Human Services, the commissioner shall implement a system for the 21.20electronic transmission of:21.21    (1) background study information to the commissioner; and21.22    (2) background study results to the license holder; and21.23    (3) background study results to county agencies for background studies conducted 21.24by the commissioner for family child care.21.25EFFECTIVE DATE.This section is effective January 1, 2008.21.26    Sec. 20. Minnesota Statutes 2006, section 245C.05, subdivision 7, is amended to read:21.27    Subd. 7. Probation officer and corrections agent. (a) A probation officer or 21.28corrections agent shall notify the commissioner of an individual's conviction if the 21.29individual is:21.30    (1) affiliated with a program or facility regulated by the Department of Human 21.31Services or Department of Health, a facility serving children or youth licensed by the 22.1Department of Corrections, or any type of home care agency or provider of personal care 22.2assistance services; and22.3    (2) convicted of a crime constituting a disqualification under section 
         245C.14. 22.4    (b) For the purpose of this subdivision, "conviction" has the meaning given it 22.5in section 
         609.02, subdivision 5. 22.6    (c) The commissioner, in consultation with the commissioner of corrections, shall 22.7develop forms and information necessary to implement this subdivision and shall provide 22.8the forms and information to the commissioner of corrections for distribution to local 22.9probation officers and corrections agents.22.10    (d) The commissioner shall inform individuals subject to a background study that 22.11criminal convictions for disqualifying crimes will be reported to the commissioner by the 22.12corrections system.22.13    (e) A probation officer, corrections agent, or corrections agency is not civilly or 22.14criminally liable for disclosing or failing to disclose the information required by this 22.15subdivision.22.16    (f) Upon receipt of disqualifying information, the commissioner shall provide the 22.17notice required under section 
         245C.17, as appropriate, to agencies on record as having 22.18initiated a background study or making a request for documentation of the background 22.19study status of the individual. 22.20    (g) This subdivision does not apply to family child care and child foster care 22.21programs.22.22EFFECTIVE DATE.This section is effective January 1, 2008.22.23    Sec. 21. Minnesota Statutes 2006, section 245C.08, subdivision 2, is amended to read:22.24    Subd. 2. Background studies conducted by a county or private agency. (a) For a 22.25background study conducted by a county or private agency for child foster care, and adult 22.26foster care, and family child care homes, the commissioner shall review:22.27    (1) information from the county agency's record of substantiated maltreatment 22.28of adults and the maltreatment of minors;22.29    (2) information from juvenile courts as required in subdivision 4 for individuals 22.30listed in section 
         245C.03, subdivision 1, clauses (2), (5), and (6);22.31    (3) information from the Bureau of Criminal Apprehension; and22.32    (4) arrest and investigative records maintained by the Bureau of Criminal 22.33Apprehension, county attorneys, county sheriffs, courts, county agencies, local police, the 22.34National Criminal Records Repository, and criminal records from other states.23.1    (b) If the individual has resided in the county for less than five years, the study shall 23.2include the records specified under paragraph (a) for the previous county or counties of 23.3residence for the past five years.23.4    (c) Notwithstanding expungement by a court, the county or private agency may 23.5consider information obtained under paragraph (a), clauses (3) and (4), unless the 23.6commissioner received notice of the petition for expungement and the court order for 23.7expungement is directed specifically to the commissioner.23.8EFFECTIVE DATE.This section is effective January 1, 2008.23.9    Sec. 22. Minnesota Statutes 2006, section 245C.17, is amended by adding a 23.10subdivision to read:23.11    Subd. 5.Notice to county agency.For studies on individuals related to a license to 23.12provide family child care, the commissioner shall also provide a notice of the background 23.13study results to the county or private agency that initiated the background study.23.14EFFECTIVE DATE.This section is effective January 1, 2008.23.15    Sec. 23. Minnesota Statutes 2006, section 245C.21, is amended by adding a 23.16subdivision to read:23.17    Subd. 1a.Submission of reconsideration request to county agency.(a) For 23.18disqualifications related to studies conducted by county agencies, and for disqualifications 23.19related to studies conducted by the commissioner for family child care, the individual shall 23.20submit the request for reconsideration to the county that initiated the background study.23.21    (b) A reconsideration request shall be submitted within the time frames specified in 23.22subdivision 2.23.23    (c) The county agency shall forward the individual's request for reconsideration and 23.24provide the commissioner with a recommendation whether to set aside the individual's 23.25disqualification.23.26EFFECTIVE DATE.This section is effective January 1, 2008.23.27    Sec. 24. Minnesota Statutes 2006, section 245C.23, subdivision 2, is amended to read:23.28    Subd. 2. Commissioner's notice of disqualification that is not set aside. (a) The 23.29commissioner shall notify the license holder of the disqualification and order the license 23.30holder to immediately remove the individual from any position allowing direct contact 23.31with persons receiving services from the license holder if:24.1    (1) the individual studied does not submit a timely request for reconsideration 24.2under section 
         245C.21; 24.3    (2) the individual submits a timely request for reconsideration, but the commissioner 24.4does not set aside the disqualification for that license holder under section 
         245C.22; 24.5    (3) an individual who has a right to request a hearing under sections 
         245C.27 and 24.6256.045
         , or 
         245C.28 and chapter 14 for a disqualification that has not been set aside, does 24.7not request a hearing within the specified time; or 24.8    (4) an individual submitted a timely request for a hearing under sections 
         245C.2724.9and 
         256.045, or 
         245C.28 and chapter 14, but the commissioner does not set aside the 24.10disqualification under section 
         245A.08, subdivision 5, or 
         256.045. 24.11    (b) If the commissioner does not set aside the disqualification under section 
         245C.22, 24.12and the license holder was previously ordered under section 
         245C.17 to immediately 24.13remove the disqualified individual from direct contact with persons receiving services or 24.14to ensure that the individual is under continuous, direct supervision when providing direct 24.15contact services, the order remains in effect pending the outcome of a hearing under 24.16sections 
         245C.27 and 
         256.045, or 
         245C.28 and chapter 14. 24.17    (c) For background studies related to family child care, the commissioner shall also 24.18notify the county that initiated the study of the results of the reconsideration.24.19EFFECTIVE DATE.This section is effective January 1, 2008.24.20    Sec. 25. Minnesota Statutes 2006, section 256.017, subdivision 1, is amended to read:24.21    Subdivision 1. Authority and purpose. The commissioner shall administer a 24.22compliance system for the Minnesota family investment program, the food stamp or food 24.23support program, emergency assistance, general assistance, medical assistance, general 24.24assistance medical care, emergency general assistance, Minnesota supplemental assistance, 24.25preadmission screening, and alternative care grants, and the child care assistance program24.26under the powers and authorities named in section 
         256.01, subdivision 2. The purpose of 24.27the compliance system is to permit the commissioner to supervise the administration of 24.28public assistance programs and to enforce timely and accurate distribution of benefits, 24.29completeness of service and efficient and effective program management and operations, 24.30to increase uniformity and consistency in the administration and delivery of public 24.31assistance programs throughout the state, and to reduce the possibility of sanctions and 24.32fiscal disallowances for noncompliance with federal regulations and state statutes. 24.33    The commissioner shall utilize training, technical assistance, and monitoring 24.34activities, as specified in section 
         256.01, subdivision 2, to encourage county agency 24.35compliance with written policies and procedures. 25.1    Sec. 26. Minnesota Statutes 2006, section 256.017, subdivision 9, is amended to read:25.2    Subd. 9. Timing and disposition of penalty and case disallowance funds. Quality 25.3control case penalty and administrative penalty amounts shall be disallowed or withheld 25.4from the next regular reimbursement made to the county agency for state and federal 25.5benefit reimbursements and federal administrative reimbursements for all programs 25.6covered in this section, according to procedures established in statute, but shall not be 25.7imposed sooner than 30 calendar days from the date of written notice of such penalties. 25.8Except for penalties withheld under the child care assistance program, all penalties 25.9must be deposited in the county incentive fund provided in section 
         256.018. Penalties 25.10withheld under the child care assistance program shall be reallocated to counties using the 25.11allocation formula under section 119B.03, subdivision 5. All penalties must be imposed 25.12according to this provision until a decision is made regarding the status of a written 25.13exception. Penalties must be returned to county agencies when a review of a written 25.14exception results in a decision in their favor. 25.15    Sec. 27. Minnesota Statutes 2006, section 270B.14, subdivision 1, is amended to read:25.16    Subdivision 1. Disclosure to commissioner of human services. (a) On the request 25.17of the commissioner of human services, the commissioner shall disclose return information 25.18regarding taxes imposed by chapter 290, and claims for refunds under chapter 290A, to 25.19the extent provided in paragraph (b) and for the purposes set forth in paragraph (c).25.20    (b) Data that may be disclosed are limited to data relating to the identity, 25.21whereabouts, employment, income, and property of a person owing or alleged to be owing 25.22an obligation of child support.25.23    (c) The commissioner of human services may request data only for the purposes of 25.24carrying out the child support enforcement program and to assist in the location of parents 25.25who have, or appear to have, deserted their children. Data received may be used only 25.26as set forth in section 
         256.978. 25.27    (d) The commissioner shall provide the records and information necessary to 25.28administer the supplemental housing allowance to the commissioner of human services.25.29    (e) At the request of the commissioner of human services, the commissioner of 25.30revenue shall electronically match the Social Security numbers and names of participants 25.31in the telephone assistance plan operated under sections 
         237.69 to 
         237.711, with those of 25.32property tax refund filers, and determine whether each participant's household income is 25.33within the eligibility standards for the telephone assistance plan. 25.34    (f) The commissioner may provide records and information collected under sections 25.35295.50
          to 
         295.59 to the commissioner of human services for purposes of the Medicaid 26.1Voluntary Contribution and Provider-Specific Tax Amendments of 1991, Public Law 26.2102-234. Upon the written agreement by the United States Department of Health and 26.3Human Services to maintain the confidentiality of the data, the commissioner may provide 26.4records and information collected under sections 
         295.50 to 
         295.59 to the Centers for 26.5Medicare and Medicaid Services section of the United States Department of Health and 26.6Human Services for purposes of meeting federal reporting requirements. 26.7    (g) The commissioner may provide records and information to the commissioner of 26.8human services as necessary to administer the early refund of refundable tax credits.26.9    (h) The commissioner may disclose information to the commissioner of human 26.10services necessary to verify income for eligibility and premium payment under the 26.11MinnesotaCare program, under section 
         256L.05, subdivision 2. 26.12    (i) The commissioner may disclose information to the commissioner of human 26.13services necessary to verify whether applicants or recipients for the Minnesota family 26.14investment program, general assistance, food support, and Minnesota supplemental aid 26.15program, and child care assistance have claimed refundable tax credits under chapter 290 26.16and the property tax refund under chapter 290A, and the amounts of the credits.26.17    Sec. 28. INSPECTION OF LEGAL UNLICENSED CHILD CARE PROVIDERS.26.18    The commissioner of human services, in consultation with the commissioners of 26.19health and education and the counties, shall develop and present recommendations to 26.20the legislature in January 2008 in order for each legally unlicensed child care provider 26.21receiving child care assistance funds to receive a onetime home visit to receive information 26.22on health and safety, and school readiness.26.23    Sec. 29. COMMISSIONER OF HUMAN SERVICES DUTIES; EARLY 26.24CHILDHOOD AND SCHOOL-AGE PROFESSIONAL DEVELOPMENT 26.25TRAINING.26.26    Subdivision 1.Development and implementation of an early childhood and 26.27school-age professional development system.(a) The commissioner of human services, 26.28in cooperation with the commissioners of education and health, shall develop and phase-in 26.29the implementation of a professional development system for practitioners serving 26.30children in early childhood and school-age programs. The system shall provide training 26.31options and supports for practitioners to voluntarily choose, as they complete or exceed 26.32existing licensing requirements.26.33    The system must, at a minimum, include the following features:27.1    (1) a continuum of training content based on the early childhood and school-age 27.2care practitioner core competencies that translates knowledge into improved practice to 27.3support children's school success;27.4    (2) training strategies that provide direct feedback about practice to practitioners 27.5through ongoing consultation, mentoring, or coaching with special emphasis on early 27.6literacy and early mathematics;27.7    (3) an approval process for trainers;27.8    (4) a professional development registry for early childhood and school-age care 27.9practitioners that will provide tracking and recognition of practitioner training/career 27.10development progress;27.11    (5) a career lattice that includes a range of professional development and educational 27.12opportunities that provide appropriate coursework and degree pathways;27.13    (6) development of a plan with public higher education institutions for an articulated 27.14system of education, training, and professional development that includes credit for prior 27.15learning and development of equivalences to two- and four-year degrees;27.16    (7) incentives and supports for early childhood and school-age care practitioners 27.17to seek additional training and education, including TEACH, other scholarships, and 27.18career guidance; and27.19    (8) coordinated and accessible delivery of training to early childhood and school-age 27.20care practitioners.27.21    (b) By January 1, 2008, the commissioner, in consultation with the organizations 27.22named in subdivision 2 shall develop additional opportunities in order to qualify more 27.23licensed family childcare providers under section 119B.13, subdivision 3a.27.24    (c) The commissioner of human services must evaluate the professional development 27.25system and make continuous improvements.27.26    (d) Beginning July 1, 2007, as appropriations permit, the commissioner shall 27.27phase-in the professional development system.27.28    Subd. 2.Two-hour early childhood training.By January 15, 2008, the 27.29commissioner of human services, with input from the Minnesota Licensed Family Child 27.30Care Association and the Minnesota Professional Development Council, shall identify 27.31trainings that qualify for the two-hour early childhood development training requirement 27.32for new child care practitioners under Minnesota Statutes, section 245A.14, subdivision 27.339a, paragraphs (a) and (b). For licensed family child care, the commissioner shall also 27.34seek the input of labor unions that serve licensed family child care providers, if the union 27.35has been recognized by a county to serve licensed family child care providers.28.1    Sec. 30. SCHOOL READINESS SERVICE AGREEMENTS.28.2    Subdivision 1.Overview.(a) Effective July 1, 2007, funds must be made available 28.3to allow the commissioner to pay higher rates to up to 50 child care providers who are 28.4deemed by the commissioner to meet the requirements of a school readiness service 28.5agreement (SRSA) provider and perform services that support school readiness for 28.6children and economic stability for parents.28.7    (b) A provider may be paid a rate above that currently allowed under Minnesota 28.8Statutes, section 119B.13, if:28.9    (1) the provider has entered into an SRSA with the commissioner; 28.10    (2) a family using that provider receives child care assistance under any provision in 28.11Minnesota Statutes, chapter 119B, except Minnesota Statutes, section 119B.035; 28.12    (3) the family using that provider meets the criteria in this section; and 28.13    (4) funding is available under this section.28.14    Subd. 2.Provider eligibility.(a) To be considered for an SRSA, a provider shall 28.15apply to the commissioner. To be eligible to apply for an SRSA, a provider shall:28.16    (1) be eligible for child care assistance payments under Minnesota Statutes, chapter 28.17119B;28.18    (2) have at least 25 percent of the children enrolled with the provider subsidized 28.19through the child care assistance program;28.20    (3) provide full-time, full-year child care services; and 28.21    (4) serve at least one child who is subsidized through the child care assistance 28.22program and who is expected to enter kindergarten within the following 30 months.28.23    (b) The commissioner may waive the 25 percent requirement in paragraph (a), clause 28.24(2), if necessary to achieve geographic distribution of SRSA providers and diversity of 28.25types of care provided by SRSA providers.28.26    (c) An eligible provider who would like to enter into an SRSA with the commissioner 28.27shall submit an SRSA application. To determine whether to enter into an SRSA with a 28.28provider, the commissioner shall evaluate the following factors:28.29    (1) the qualifications of the provider and the provider's staff;28.30    (2) the provider's staff-child ratios;28.31    (3) the provider's curriculum;28.32    (4) the provider's current or planned parent education activities;28.33    (5) the provider's current or planned social service and employment linkages;28.34    (6) the provider's child development assessment plan;28.35    (7) the geographic distribution needed for SRSA providers;28.36    (8) the inclusion of a variety of child care delivery models; and 29.1    (9) other related factors determined by the commissioner.29.2    Subd. 3.Family and child eligibility.(a) A family eligible to choose an SRSA 29.3provider for their children shall:29.4    (1) be eligible to receive child care assistance under any provision in Minnesota 29.5Statutes, chapter 119B, except Minnesota Statutes, section 119B.035; 29.6    (2) be in an authorized activity for an average of at least 35 hours per week when 29.7initial eligibility is determined; and 29.8    (3) include a child who has not yet entered kindergarten.29.9    (b) A family who is determined to be eligible to choose an SRSA provider remains 29.10eligible to be paid at a higher rate through the SRSA provider when the following 29.11conditions exist:29.12    (1) the child attends child care with the SRSA provider a minimum of 25 hours per 29.13week, on average;29.14    (2) the family has a child who has not yet entered kindergarten; and 29.15    (3) the family maintains eligibility under Minnesota Statutes, chapter 119B, except 29.16Minnesota Statutes, section 119B.035.29.17    (c) For the 12 months after initial eligibility has been determined, a decrease in 29.18the family's authorized activities to an average of less than 35 hours per week does not 29.19result in ineligibility for the SRSA rate.29.20    (d) A family that moves between counties but continues to use the same SRSA 29.21provider shall continue to receive SRSA funding for the increased payments.29.22    Subd. 4.Requirements of providers.An SRSA must include assessment, 29.23evaluation, and reporting requirements that promote the goals of improved school 29.24readiness and movement toward appropriate child development milestones. A provider 29.25who enters into an SRSA shall comply with the assessment, evaluation, and reporting 29.26requirements in the SRSA.29.27    Subd. 5.Relationship to current law.(a) The following provisions in Minnesota 29.28Statutes, chapter 119B, must be waived or modified for families receiving services under 29.29this section.29.30    (b) Notwithstanding Minnesota Statutes, section 119B.13, subdivisions 1 and 1a, 29.31maximum weekly rates under this section are 125 percent of the existing maximum 29.32weekly rate for like-care. Providers eligible for a differential rate under Minnesota 29.33Statutes, section 119B.13, subdivision 3a, remain eligible for the differential above the 29.34rate identified in this section. Only care for children who have not yet entered kindergarten 29.35may be paid at the maximum rate under this section. The provider's charge for service 30.1provided through an SRSA may not exceed the rate that the provider charges a private-pay 30.2family for like-care arrangements.30.3    (c) A family or child care provider may not be assessed an overpayment for care 30.4provided through an SRSA unless: 30.5    (1) there was an error in the amount of care authorized for the family; or 30.6    (2) the family or provider did not timely report a change as required under the law.30.7    (d) Care provided through an SRSA is authorized on a weekly basis.30.8    (e) Funds appropriated under this section to serve families eligible under Minnesota 30.9Statutes, section 119B.03, are not allocated through the basic sliding fee formula under 30.10Minnesota Statutes, section 119B.03. Funds appropriated under this section are used to 30.11offset increased costs when payments are made under SRSA's.30.12    (f) Notwithstanding Minnesota Statutes, section 119B.09, subdivision 6, the 30.13maximum amount of child care assistance that may be authorized for a child receiving 30.14care through an SRSA in a two-week period is 160 hours per child.30.15    Subd. 6.Establishment of service agreements.(a) The commissioner shall 30.16approve SRSA's for up to 50 providers that represent diverse parts of the state and a 30.17variety of child care delivery models. Entering into a service agreement does not guarantee 30.18that a provider will receive payment at a higher rate for families receiving child care 30.19assistance. A family eligible under this section shall choose a provider participating in an 30.20SRSA in order for a higher rate to be paid. Payments through SRSA's are also limited by 30.21the availability of SRSA funds.30.22    (b) Nothing in this section shall be construed to limit parent choice as defined in 30.23Minnesota Statutes, section 119B.09, subdivision 5.30.24    (c) The commissioner may allow for startup time for some providers if failing to 30.25do so would limit geographic diversity of SRSA providers or a variety of child care 30.26delivery models.30.27    Sec. 31. FAMILY, FRIEND, AND NEIGHBOR GRANT PROGRAM.30.28    Subdivision 1.Establishment.A family, friend, and neighbor (FFN) grant program 30.29is established to promote children's early literacy, healthy development, and school 30.30readiness, and to foster community partnerships to promote children's school readiness. 30.31The commissioner shall attempt to ensure that grants are made in all areas of the state. The 30.32commissioner of human services shall make grants available to fund: community-based 30.33organizations, nonprofit organizations, and Indian tribes working with FFN caregivers 30.34under subdivision 2, paragraph (a); and community-based partnerships to implement early 30.35literacy programs under subdivision 2, paragraph (b).31.1    Subd. 2.Program components.(a)(1) Grants that the commissioner awards under 31.2this section must be used by community-based organizations, nonprofit organizations, and 31.3Indian tribes working with FFN caregivers in local communities, cultural communities, 31.4and Indian tribes to:31.5    (i) provide training, support, and resources to FFN caregivers in order to improve 31.6and promote children's health, safety, nutrition, and school readiness;31.7    (ii) connect FFN caregivers and children's families with appropriate community 31.8resources that support the families' health, mental health, economic, and developmental 31.9needs;31.10    (iii) connect FFN caregivers and children's families to early childhood screening 31.11programs and facilitate referrals where appropriate;31.12    (iv) provide FFN caregivers and children's families with information about early 31.13learning guidelines from the Departments of Human Services and Education;31.14    (v) provide FFN caregivers and children's families with information about becoming 31.15a licensed family child care provider; and31.16    (vi) provide FFN caregivers and children's families with information about early 31.17learning allowances and enrollment opportunities in high quality community-based 31.18child-care and preschool programs.31.19    (2) Grants that the commissioner awards under this paragraph also may be used for:31.20    (i) health and safety and early learning kits for FFN caregivers;31.21    (ii) play-and-learn groups with FFN caregivers;31.22    (iii) culturally appropriate early childhood training for FFN caregivers;31.23    (iv) transportation for FFN caregivers and children's families to school readiness and 31.24other early childhood training activities;31.25    (v) other activities that promote school readiness;31.26    (vi) data collection and evaluation;31.27    (vii) staff outreach and outreach activities;31.28    (viii) translation needs; or31.29    (ix) administrative costs that equal up to 12 percent of the recipient's grant award.31.30    (b) Grants that the commissioner awards under this section also must be used to fund 31.31partnerships among Minnesota public and regional library systems, community-based 31.32organizations, nonprofit organizations, and Indian tribes to implement early literacy 31.33programs in low-income communities, including tribal communities, to:31.34    (1) purchase and equip early childhood read-mobiles that provide FFN caregivers 31.35and children's families with books, training, and early literacy activities;32.1    (2) provide FFN caregivers and children's families with translations of early 32.2childhood books, training, and early literacy activities in native languages; or32.3    (3) provide FFN caregivers and children's families with early literacy activities in 32.4local libraries.32.5    Subd. 3.Grant awards.Interested entities eligible to receive a grant under 32.6this section may apply to the commissioner in the form and manner the commissioner 32.7determines. The commissioner shall awards grants to eligible entities consistent with 32.8the requirements of this section.32.9    Subd. 4.Evaluation.The commissioner, in consultation with early childhood 32.10care and education experts at the University of Minnesota, must evaluate the impact of 32.11the grants under subdivision 2 on children's school readiness and submit a written report 32.12to the human services and education finance and policy committees of the legislature by 32.13February 15, 2010.32.14EFFECTIVE DATE.This section is effective the day following final enactment.32.15    Sec. 32. CHILD CARE PROVIDER STUDY.32.16    The commissioner of human services is directed to study the implications of 32.17restricting the use of state subsidies in center-based child care to centers meeting state 32.18quality standards under Minnesota Statutes, section 124D.175, paragraph (c), and to 32.19publish the results no later than January 1, 2010. The study must include:32.20    (1) the likelihood of there being sufficient child care providers meeting the standards;32.21    (2) the cost to bring providers up to the standards and how this cost would be funded;32.22    (3) how the standards and the ratings would be communicated to both parents and 32.23the general public; and32.24    (4) a determination whether a similar system could be implemented for 32.25non-center-based care.

32.26Sec. 33. SUMMARY OF APPROPRIATIONS.

32.27    The amounts shown in this section summarize direct appropriations, by fund, made 32.28in this article.

32.2920082009Total32.30General$124,092,000$125,126,000$249,218,00032.31Federal TANF9,478,00013,022,00022,500,00032.32Total$133,570,000$138,148,000$271,718,000

32.33Sec. 34. HUMAN SERVICES APPROPRIATIONS.

33.1    The sums shown in the columns marked "appropriations" are appropriated to the 33.2agencies and for the purposes specified in this article. The appropriations are from the 33.3general fund, or another named fund, and are available for the fiscal years indicated 33.4for each purpose. The figures "2008" and "2009" used in this article mean that the 33.5appropriations listed under them are available for the fiscal year ending June 30, 2008, or 33.6June 30, 2009, respectively. "The first year" is fiscal year 2008. "The second year" is fiscal 33.7year 2009. "The biennium" is fiscal years 2008 and 2009. Appropriations for the fiscal 33.8year ending June 30, 2007, are effective the day following final enactment.

33.9APPROPRIATIONS33.10Available for the Year33.11Ending June 3033.1220082009

33.13Sec. 35. HUMAN SERVICES$133,570,000$138,148,000

33.14Appropriations by Fund33.15General124,092,000125,126,00033.16Federal TANF9,478,00013,022,000

33.17The amounts that may be spent from this 33.18appropriation for each purpose are as follows:

33.19(a) Legal and Regulatory

33.20General232,000465,000

33.21Base Adjustment. The general fund base is 33.22decreased by $177,000 in fiscal year 2010 33.23and $353,000 in fiscal year 2011 for legal 33.24and regulatory.33.25Child Care Licensing. $697,000 is 33.26appropriated from the general fund to 33.27the commissioner of human services for 33.28the biennium beginning July 1, 2007, for 33.29purposes of completing background studies 33.30for family and group family child care 33.31providers under Minnesota Statutes, chapter 33.32245C. This appropriation shall become part 33.33of the base appropriation.

33.34(b) Revenues and Pass Through

34.1TANF9,478,00013,022,000

34.2TANF Transfer to Federal Child Care 34.3and Development Fund. The following 34.4TANF fund amounts are appropriated to 34.5the commissioner for the purposes of MFIP 34.6transition year child care under MFIP, 34.7Minnesota Statutes, section 119B.05:34.8(1) fiscal year 2008, $9,478,00034.9(2) fiscal year 2009, $13,022,00034.10(3) fiscal year 2010, $3,332,000 and34.11(4) fiscal year 2011, $4,668,000.34.12The commissioner shall authorize transfer 34.13of sufficient TANF funds to the federal 34.14child care and development fund to meet 34.15this appropriation and shall ensure that all 34.16transferred funds are expended according 34.17the federal child care and development fund 34.18regulations.

34.19(c) MFIP Child Care Assistance Grants

34.20General74,482,00073,134,000

34.2134.22(d) Basic Sliding Fee Child Care Assistance Grants

34.23General43,085,00045,468,000

34.24Base Adjustment. The general fund base is 34.25increased by $3,416,000 in fiscal year 2010 34.26and $1,359,000 in fiscal year 2011 for basic 34.27sliding fee child care assistance grants.

34.28(e) Child Care Development Grants

34.29General5,865,0005,865,000

34.30Child Care Services Grants. $5,000,000 34.31is appropriated from the general fund to 34.32the commissioner of human services for 35.1the biennium beginning July 1, 2007, for 35.2purposes of providing child care services 35.3grants under Minnesota Statutes, section 35.4119B.21, subdivision 5. This appropriation 35.5is for the 2008-2009 biennium only, and does 35.6not increase the base funding.35.7Early Childhood Professional 35.8Development System. $2,000,000 is 35.9appropriated from the general fund to 35.10the commissioner of human services for 35.11the biennium beginning July 1, 2007, for 35.12purposes of the early childhood professional 35.13development system, which increases the 35.14quality and continuum of professional 35.15development opportunities for child care 35.16practitioners. This appropriation is for the 35.172008-2009 biennium only, and does not 35.18increase the base funding.35.19Family, Friend, and Neighbor Grant 35.20Program. $750,000 in fiscal year 2008 and 35.21$750,000 in fiscal year 2009 are appropriated 35.22from the general fund to the commissioner 35.23of human services for the family, friend, 35.24and neighbor grant program in section 31. 35.25Any balance in the first year does not cancel 35.26but is available in the second year. This 35.27appropriation is for the 2008-2009 biennium 35.28only, and does not increase the base funding. 

35.29(f) Increased Provider Connections

35.30General100,000100,000

35.31These funds are part of the base.35.32Increased Child Care Provider 35.33Connections. (1) $200,000 is appropriated 35.34from the general fund to the commissioner of 35.35human services for the biennium beginning 36.1July 1, 2007, for the following purposes: 36.2$100,000 each year is for a grant to Hennepin 36.3County, and  $100,000 each year is for a grant 36.4to Ramsey County. The two counties shall 36.5each contract with a nonprofit organization 36.6to work with the contracting county 36.7and county-based licensed family child 36.8care providers to facilitate county-based 36.9information regarding family and children's 36.10resources and to make training and peer 36.11support available to licensed family child 36.12care providers consistent with clause (2). 36.13These appropriations are available until 36.14June 30, 2009, and shall not become part 36.15of base-level funding for the biennium 36.16beginning July 1, 2009.36.17(2) Programs to improve child care provider 36.18connections to county services shall be 36.19established in Hennepin and Ramsey 36.20counties to:36.21(i) improve county contact activities 36.22with county-licensed family child care 36.23providers that facilitate utilization of county 36.24educational, social service, public health, 36.25and economic assistance services by eligible 36.26families, parents, and children using licensed 36.27family child care; and36.28(ii) support licensed family child care 36.29providers to qualify as quality-rated child 36.30care providers through peer support and 36.31coaching networks. 36.32Hennepin and Ramsey Counties shall 36.33contract with a nonprofit organization under 36.34clause (1) that utilizes licensed family child 36.35care providers as contacts for families using 37.1licensed family child care and to provide 37.2peer support to licensed family child care 37.3providers.37.4(3) Hennepin and Ramsey Counties must 37.5evaluate the effect of increasing contact 37.6with county-based licensed family child 37.7care providers and report their findings to 37.8the appropriate legislative committees by 37.9February 15, 2010.

37.1037.11(g) Children and Economic Assistance Administration

37.12General304,000194,000

37.1337.14(h) Children and Economic Assistance Operations

37.15General124,000-0-

37.16    Sec. 36.  REPEALER.37.17Minnesota Statutes 2006, section 119B.08, subdivision 4, is repealed.37.18ARTICLE 237.19EARLY CHILDHOOD PROGRAMS37.20    Section 1. Minnesota Statutes 2006, section 119A.52, is amended to read:37.21119A.52 DISTRIBUTION OF APPROPRIATION.37.22    (a) The commissioner of education must distribute money appropriated for that 37.23purpose to federally designated Head Start programs to expand services and to serve 37.24additional low-income children. Migrant and Indian reservation programs must be initially 37.25allocated money based on the programs' share of federal funds. The remaining money 37.26must be initially allocated to the remaining local agencies based equally on the agencies' 37.27share of federal funds and on the proportion of eligible children in the agencies' service 37.28area who are not currently being served. A Head Start grantee program must be funded 37.29at a per child rate equal to its contracted, federally funded base level at the start of the 37.30fiscal year. In allocating funds under this paragraph, the commissioner of education 37.31must assure that each Head Start program in existence in 1993 is allocated no less 37.32funding in any fiscal year than was allocated to that program in fiscal year 1993. Before 37.33paying money to the programs, the commissioner must notify each program of its initial 38.1allocation, how the money must be used, and the number of low-income children to be 38.2served with the allocation based upon the federally funded per child rate. Each program 38.3must present a plan under section 
         119A.535. For any grantee program that cannot utilize 38.4its full allocation at the beginning of the fiscal year, the commissioner must reduce the 38.5allocation proportionately. Money available after the initial allocations are reduced must 38.6be redistributed to eligible grantees programs.38.7    (b) The commissioner must develop procedures to make payments to programs 38.8based upon the number of children reported to be enrolled during the required time 38.9period of program operations. Enrollment is defined by federal Head Start regulations. 38.10The procedures must include a reporting schedule, corrective action plan requirements, 38.11and financial consequences to be imposed on programs that do not meet full enrollment 38.12after the period of corrective action. Programs reporting chronic underenrollment, as 38.13defined by the commissioner, will have their subsequent program year allocation reduced 38.14proportionately. Funds made available by prorating payments and allocations to programs 38.15with reported underenrollment will be made available to the extent funds exist to fully 38.16enrolled Head Start programs through a form and manner prescribed by the department.38.17    Sec. 2. Minnesota Statutes 2006, section 119A.535, is amended to read:38.18119A.535 APPLICATION REQUIREMENTS.38.19    Eligible Head Start organizations must submit a plan to the department for approval 38.20on a form and in the manner prescribed by the commissioner. The plan must include:38.21    (1) the estimated number of low-income children and families the program will be 38.22able to serve;38.23    (2) a description of the program design and service delivery area which meets the 38.24needs of and encourages access by low-income working families;38.25    (3) a program design that ensures fair and equitable access to Head Start services for 38.26all populations and parts of the service area;38.27    (4) a plan for coordinating services to maximize assistance for child care costs 38.28available to families under chapter 119B providing Head Start services in conjunction with 38.29full-day child care programs to minimize child transitions, increase program intensity and 38.30duration, and improve child and family outcomes as required in section 119A.5411; and38.31    (5) identification of regular Head Start, early Head Start, full-day services identified 38.32in section 119A.5411, and innovative services based upon demonstrated needs to be 38.33provided.38.34    Sec. 3. [119A.5411] FULL-DAY REQUIREMENTS.39.1    The following phase-in of full-day services in Head Start programs or licensed child 39.2care as defined in chapter 245A is required: 39.3    (1) by fiscal year 2009, a minimum of 25 percent of the total state-funded enrollment 39.4throughout  the state must be provided in full-day services;39.5     (2) by fiscal year 2011, a minimum of 40 percent of the total state-funded enrollment 39.6throughout the state must be provided in full-day services; and39.7    (3) by fiscal year 2013, a minimum of 50 percent of the total state-funded enrollment 39.8throughout the state must be provided in full-day services.39.9    Head Start programs may provide full-day services as part of their own program 39.10model or through agreements with licensed full-day child care programs. If licensed child 39.11care providers do not exist in a geographic area, choose not to participate, cannot meet 39.12the federal Head Start performance standards after sufficient opportunity, or a Head Start 39.13program is unable to establish the full-day services as a part of their own program model, 39.14the Head Start program may request exemption from the commissioner.39.15    Sec. 4. Minnesota Statutes 2006, section 124D.13, subdivision 1, is amended to read:39.16    Subdivision 1. Establishment; purpose. A district that provides a community 39.17education program under sections 
         124D.18 and 
         124D.19 may establish an early childhood 39.18family education program. Two or more districts, each of which provides a community 39.19education program, may cooperate to jointly provide an early childhood family education 39.20program. The purpose of the early childhood family education program is to provide 39.21parenting education to support children's learning and development.39.22    Sec. 5. Minnesota Statutes 2006, section 124D.13, subdivision 2, is amended to read:39.23    Subd. 2. Program characteristics requirements. (a) Early childhood family 39.24education programs are programs for children in the period of life from birth to 39.25kindergarten, for the parents and other relatives of these children, and for expectant 39.26parents. To the extent that funds are insufficient to provide programs for all children, early 39.27childhood family education programs should emphasize programming for a child children39.28from birth to age three, and encourage parents and other relatives to for children at risk 39.29of not being ready for kindergarten and the children's parents. Program providers also 39.30are encouraged to involve four- and five-year-old children and their families in school 39.31readiness programs, and other public and nonpublic early learning programs.  A district 39.32may not limit participation to school district residents. Early childhood family education 39.33programs may include the following must provide:40.1    (1) programs to educate parents and other relatives about the physical, mental, 40.2and emotional development of children;40.3    (2) programs to enhance the skills of parents and other relatives in providing for their 40.4children's learning and development structured learning activities requiring interaction 40.5between children and their parents or relatives;40.6    (3) structured learning experiences activities for children and parents and other 40.7relatives that promote children's development and positive interaction with peers, which 40.8are held while parents or relatives attend parent education classes;40.9    (4) activities designed to detect children's physical, mental, emotional, or behavioral 40.10problems that may cause learning problems;40.11    (5) activities and materials designed to encourage self-esteem, skills, and behavior 40.12that prevent sexual and other interpersonal violence;40.13    (6) educational materials which may be borrowed for home use;40.14    (7) (4) information on related community resources;40.15    (8) programs to prevent (5) information, materials, and activities that support the 40.16safety of children, including prevention of  child abuse and neglect; and40.17    (9) other programs or activities to improve the health, development, and school 40.18readiness of children; or40.19    (10) activities designed to maximize development during infancy.40.20    (6) a community outreach plan to ensure participation by families who reflect the 40.21racial, cultural, and economic diversity of the school district.40.22    The programs must not include activities for children that do not require substantial 40.23involvement of the children's parents or other relatives. The programs program must be 40.24reviewed periodically to assure the instruction and materials are not racially, culturally, or 40.25sexually biased. The programs must encourage parents to be aware of practices that may 40.26affect equitable development of children.40.27    (b) For the purposes of this section, "relative" or "relatives" means noncustodial 40.28grandparents or other persons related to a child by blood, marriage, adoption, or foster 40.29placement, excluding parents.40.30EFFECTIVE DATE.This section is effective the day following final enactment.40.31    Sec. 6. Minnesota Statutes 2006, section 124D.13, subdivision 11, is amended to read:40.32    Subd. 11. Teachers and coordinators. A school board must employ necessary 40.33qualified teachers licensed in early childhood or parent education for its early childhood 40.34family education programs. Coordinators of early childhood family education programs 41.1shall meet, as a minimum, the licensure requirements for a teacher within the ECFE 41.2program.41.3    Sec. 7. Minnesota Statutes 2006, section 124D.13, is amended by adding a subdivision 41.4to read:41.5    Subd. 13.Plan and program data submission requirements.(a) An early 41.6childhood family education program must submit a biennial plan addressing the 41.7requirements of subdivision 2 for approval by the commissioner. The plan must also 41.8describe how the program provides parenting education and ensures participation of 41.9families representative of the school district. A school district must submit the plan for 41.10approval by the commissioner in the form and manner prescribed by the commissioner. 41.11One-half of districts, as determined by the commissioner, must first submit a biennial plan 41.12by April 1, 2009, and the remaining districts must first submit a plan by April 1, 2010.41.13    (b) Districts receiving early childhood family education revenue under section 41.14124D.135 must submit annual program data to the department by July 15 in the form and 41.15manner prescribed by the commissioner.41.16    (c) Beginning with levies for fiscal year 2011, a school district must submit its annual 41.17program data to the department before it may certify a levy under section 124D.135. 41.18Districts selected by the commissioner to submit a biennial plan by April 1, 2010, must 41.19also have an approved plan on file with the commissioner before certifying a levy under 41.20section 124D.135 for fiscal year 2011. Beginning with levies for fiscal year 2012, all 41.21districts must submit annual program data and have an approved biennial plan on file with 41.22the commissioner before certifying a levy under section 124D.135.41.23    Sec. 8. Minnesota Statutes 2006, section 124D.135, subdivision 1, is amended to read:41.24    Subdivision 1. Revenue. The revenue for early childhood family education 41.25programs for a school district equals  $112 for fiscal year 2007 and $120 for fiscal year 41.262008 and later, times the greater of:41.27    (1) 150; or41.28    (2) the number of people under five years of age residing in the district on October 1 41.29of the previous school year.41.30EFFECTIVE DATE.This section is effective for revenue for fiscal year 2008.41.31    Sec. 9. Minnesota Statutes 2006, section 124D.135, subdivision 3, is amended to read:41.32    Subd. 3. Early childhood family education levy.For fiscal year 2001 to obtain 41.33early childhood family education revenue, a district may levy an amount equal to the tax 42.1rate of .5282 percent times the adjusted tax capacity of the district for the year preceding 42.2the year the levy is certified. Beginning with levies for fiscal year 2002, By September 42.330 of each year, the commissioner shall establish a tax rate for early childhood family42.4education revenue that raises $21,027,000 for fiscal year 2002 and $22,135,000 in each42.5fiscal year 2003 and each subsequent year. If the amount of the early childhood family 42.6education levy would exceed the early childhood family education revenue, the early 42.7childhood family education levy must equal the early childhood family education revenue.42.8Beginning with levies for fiscal year 2011, a district may not certify an early childhood 42.9family education levy unless it has met the annual program data reporting and biennial 42.10plan requirements under section 124D.13, subdivision 13.42.11    Sec. 10. Minnesota Statutes 2006, section 124D.135, subdivision 5, is amended to read:42.12    Subd. 5. Use of revenue restricted.(a) Early childhood family education revenue 42.13may be used only for early childhood family education programs.42.14    (b) Not more than five percent of early childhood family education revenue, as 42.15defined in subdivision 7, may be used to administer early childhood family education 42.16programs.42.17    (c) An early childhood family education program may use up to ten percent of its 42.18early childhood family education revenue as defined in subdivision 1, including revenue 42.19from participant fees, for equipment that is used in the early childhood family education 42.20program. This revenue may only be used for the following purposes:42.21    (1) to purchase or lease computers and related materials; and42.22    (2) to purchase or lease equipment for instruction for participating children and 42.23their families.42.24    If a district anticipates an unusual circumstance requiring its early childhood family 42.25education program capital expenditures to exceed the ten percent limitation, prior approval 42.26to exceed the limit must be obtained in writing from the commissioner.42.27    Sec. 11. [124D.141] STATE ADVISORY BOARD ON SCHOOL READINESS.42.28    Subdivision 1.Establishment.A 13-member State Advisory Board on School 42.29Readiness is established in the Office of the Governor to advise the governor and the 42.30legislature on developing a coordinated, efficient, and cost-effective system for delivering 42.31throughout Minnesota early childhood programs that focus on early care and education, 42.32health care, and family support.42.33    Subd. 2.Board members; terms.(a) The advisory board includes the following 42.3413 members:43.1    (1) the commissioner of employment and economic development or the 43.2commissioner's designee;43.3    (2) the commissioner of health or the commissioner's designee;43.4    (3) the commissioner of education or the commissioner's designee;43.5    (4) the commissioner of human services or the commissioner's designee;43.6    (5) six public members, one of whom is the parent of a child currently enrolled 43.7in an early care and education program, five of whom are recognized experts in early 43.8care and education, one of whom is a higher education representative, one of whom is a 43.9licensed professional who currently provides student support services, and one of whom 43.10is a currently practicing early childhood educator, appointed jointly by the majority and 43.11minority leaders in the house of representatives and senate; and 43.12    (6) three public members who are community or business leaders, one of whom 43.13is a member of the Minnesota Early Learning Foundation board of directors under 43.14section 124D.175, appointed jointly by the speaker and minority leader in the house of 43.15representatives and the majority and minority leaders in the senate.43.16    (b) Members appointed by the speaker and minority leader in the house of 43.17representatives and the majority and minority leaders in the senate serve staggered 43.18three-year terms. Board members must nominate and elect a chair and other officers 43.19from among the public members. Members initially appointed to the board shall assign 43.20themselves by lot to terms of one, two, or three years. The chair must notify the governor 43.21on the assignment of these terms. The board shall meet regularly at the times and places 43.22the board determines. Meetings shall be called by the chair or at the written request of 43.23any three members. Members' terms, compensation, removal, and vacancies are governed 43.24by section 15.0575.43.25    Subd. 3.Duties.(a) The board shall recommend to the governor and the legislature:43.26    (1) the most effective method to improve the coordination and delivery of early care 43.27and education services that integrates child care, early care and education programs, 43.28and family support services and programs;43.29    (2) a multiyear plan for effectively and efficiently coordinating and integrating 43.30state services for early care and education, improving service delivery and standards 43.31of care, avoiding duplication and fragmentation of service, and enhancing public and 43.32private investment;43.33    (3) methods for measuring the quality, quantity, and effectiveness of early care and 43.34education programs throughout the state;43.35    (4) how to identify and measure school readiness indicators on a regular basis;44.1    (5) how to track, enhance, integrate, and coordinate federal, state, and local funds 44.2allocated for early care and education and related family support services;44.3    (6) policy changes to improve children's ability to start school ready to learn; and44.4    (7) how to provide technical assistance to community efforts that promote school 44.5readiness and encourage community organizations to collaborate in promoting school 44.6readiness.44.7    (b) In developing recommendations for the governor and the legislature under this 44.8section, the board must evaluate on an ongoing basis:44.9    (1) what government can do to enhance families' capacity to help themselves and 44.10others; and44.11    (2) the positive or negative effects of policies and programs recommended under this 44.12section on families affected by these programs.44.13    (c) The board shall convene policy work groups as necessary to make 44.14recommendations to the governor and the legislature on:44.15    (1) financing early childhood programs;44.16    (2) building a coordinated service delivery system based on an assessment of early 44.17childhood systems and available state and federal funding;44.18    (3) integrating a coordinated, collaborative health care component, including 44.19medical homes, parent education, family support, developmental health and early 44.20education, into early childhood programs and avoiding duplication of services;44.21    (4) enhancing the quality and measuring the cost of child care and preschool 44.22programs; and 44.23    (5) improving the wages, benefits, and supply of early childhood professionals.44.24    Subd. 4.Report.The task force annually by February 15 must report to the 44.25education policy and finance committees of the legislature on the recommendations the 44.26task force made during the preceding calendar year.44.27    Subd. 5.Board expiration.The State Advisory Board on School Readiness 44.28expires January 1, 2013.44.29EFFECTIVE DATE.This section is effective the day following final enactment.44.30    Sec. 12. Minnesota Statutes 2006, section 124D.16, subdivision 2, is amended to read:44.31    Subd. 2. Amount of aid. (a) A district is eligible to receive school readiness aid 44.32for eligible prekindergarten pupils enrolled in a school readiness program under section 44.33124D.15
          if the biennial plan required by section 
         124D.15, subdivision 3a, has been 44.34approved by the commissioner.45.1    (b) For fiscal year 2002 and thereafter, A district must receive school readiness aid 45.2equal to:45.3    (1) the number of four-year-old children in the district on October 1 for the previous 45.4school year times the ratio of 50 percent of the total school readiness aid entitlement for 45.5that year to the total number of four-year-old children reported to the commissioner for the 45.6previous school year; plus45.7    (2) the number of pupils enrolled in the school district from families eligible for the 45.8free or reduced school lunch program for the previous school year times the ratio of 50 45.9percent of the total school readiness aid entitlement for that year to the total number of 45.10pupils in the state from families eligible for the free or reduced school lunch program for 45.11the previous school year.45.12    (c) For fiscal year 2008 and later, the total statewide school readiness aid entitlement 45.13equals $10,095,000.45.14EFFECTIVE DATE.This section is effective for revenue for fiscal year 2008.45.15    Sec. 13. [124D.1625] EXPANDING DEPARTMENT DEVELOPMENTAL 45.16ASSESSMENT ADMINISTERED TO ENTERING KINDERGARTNERS.45.17    (a) The commissioner of education shall encourage school districts to implement the 45.18voluntary school readiness kindergarten assessment initiative in the 2008-2009 school 45.19year, to assess up to 30 percent of children.45.20    (b) The commissioner must report the assessment results for the current school year 45.21to the legislature by January 1 of the next year. 45.22EFFECTIVE DATE.This section is effective July 1, 2007.45.23    Sec. 14. [124D.163] TARGETED TRAINING OF EARLY CHILDHOOD 45.24PROFESSIONALS TO IMPROVE SCHOOL READINESS.45.25    Subdivision 1.Establishment; purpose.The commissioner of education shall 45.26provide a training program for the purpose of improving the school readiness of 45.27prekindergarten children.45.28    Subd. 2.Eligible participants.The training program is available to all staff in 45.29school readiness programs as defined in section 124D.15, Head Start programs as defined 45.30in section 119A.50, and child care centers as defined in chapter 245A. The commissioner 45.31of education shall cooperate with the commissioner of human services to identify child 45.32care center program and licensed family child care provider participants and implement 45.33the training program for them.46.1    Subd. 3.Training content.The commissioner shall develop three foundational 46.2and sequential training modules on child observation, child and program assessment, 46.3and curriculum planning.46.4    Subd. 4.Availability.To the extent practical, the training must be made available 46.5throughout the state on an ongoing basis. In addition to the geographic availability, the 46.6commissioner shall consider the availability of training to meet the needs of diverse 46.7cultural groups. Training materials may be translated and training may be delivered in 46.8other languages as determined by the commissioner. The training may be provided 46.9through a variety of methods that may include on-site and Web-based delivery.46.10    Sec. 15. [124D.165] EARLY CHILDHOOD SCHOLARSHIPS.46.11    Subdivision 1.Purpose.The commissioner must establish an early childhood 46.12scholarship fund to improve the school readiness of prekindergarten children at risk 46.13of being unprepared for kindergarten. Scholarships are available for the purpose of 46.14participating in an approved program as specified in subdivision 4 the year prior to 46.15kindergarten entrance.46.16    Subd. 2.Eligibility.A parent or legal guardian of a four-year-old child with a 46.17household income that does not exceed 185 percent of the federal poverty guidelines, 46.18adjusted for family size, is eligible to apply for an annual scholarship of up to $4,000 for 46.19each eligible child.46.20    Subd. 3.Scholarship application, award, and process.Parents or guardians 46.21meeting the eligibility requirements defined in subdivision 2 may apply for a scholarship 46.22certificate. Application must be made according to the form and manner prescribed by the 46.23commissioner. The certificates must be redeemable for instruction at an approved early 46.24childhood program, as specified in subdivision 4, for up to one year from the date of 46.25issue or until the child for whom the scholarship is designated enrolls in kindergarten, 46.26whichever occurs first. The commissioner shall annually award scholarship certificates to 46.27eligible applicants in the order applications are received until all funds available for the 46.28year have been obligated. Recipients may not transfer a scholarship certificate to another 46.29person. The parent or guardian may transfer the scholarship certificate to another approved 46.30early childhood program according to requirements established by the commissioner.46.31    Subd. 4.Program approval.A program must be approved by the commissioner 46.32to be eligible to receive state early childhood scholarship program funds on behalf of 46.33an enrolled scholarship certificate recipient. Early childhood programs must apply for 46.34approval in the form and manner prescribed by the commissioner and must be:46.35    (1) a federally designated Head Start program as defined in section 119A.50;47.1    (2) a school readiness program as defined in section 124D.15; or47.2    (3) a licensed child care program as defined in chapter 245A.47.3    The application must include evidence that the program provides research-based 47.4instruction to support school readiness. Programs must submit any program changes 47.5related to approval as they occur and must reapply for approval every three years.47.6    Subd. 5.Payments to approved programs.The commissioner shall issue 47.7payments of scholarship funds on a reimbursement basis to approved programs as defined 47.8in subdivision 4 for services provided that are comparable to service costs for program 47.9participants who do not receive a scholarship. Scholarship funds may not be used for 47.10services that are available at no cost to nonscholarship recipient families. Approved 47.11programs must maintain documentation of services provided and the commissioner shall 47.12verify information submitted by approved programs to ensure appropriate services were 47.13provided to eligible recipients for whom state early childhood scholarship funds are paid. 47.14Scholarship funds awarded to families receiving other forms of assistance, such as child 47.15care assistance, must be used to supplement and may not be used to supplant services 47.16provided through that assistance.47.17    Subd. 6.Scholarship not income for purposes of other publicly funded 47.18programs.Notwithstanding any law to the contrary, the receipt of a scholarship does not 47.19count as earned income for the purposes of medical assistance, MinnesotaCare, MFIP, 47.20child care assistance, or Head Start programs.47.21    Sec. 16. Minnesota Statutes 2006, section 124D.175, is amended to read:47.22124D.175 MINNESOTA EARLY LEARNING FOUNDATION.47.23    (a) The commissioner must make a grant to the Minnesota Early Learning 47.24Foundation to may implement an early childhood development grant program for 47.25low-income and other challenged families that increases the effectiveness and expands 47.26the capacity of public and nonpublic early childhood development programs, which may 47.27include child care programs, and leads to improved early childhood parent education and 47.28children's kindergarten readiness. The program must may include:47.29    (1) grant awards to existing early childhood development program providers that 47.30also provide parent education programs and to qualified providers proposing to implement 47.31pilot programs for this same purpose;47.32    (2) grant awards to enable low-income families to participate in these programs;47.33    (3) grant awards to improve overall programmatic quality; and47.34    (4) an evaluation of the programmatic and financial efficacy of all these programs, 47.35which may be performed using measures of services, staffing, and management systems 48.1that provide consistent information about system performance, show trends, confirm 48.2successes, and identify potential problems in early childhood development programs.48.3This grant program must not supplant existing early childhood development programs 48.4or child care funds.48.5    (b) The commissioner must   make a grant to a private nonprofit, section 501(c)(3) 48.6organization to implement the requirements of paragraph (a).  The private nonprofit 48.7organization must be governed by a board of directors composed of members from the 48.8public and nonpublic sectors, where the nonpublic sector members compose a simple 48.9majority of board members and where the public sector members are state and local 48.10government officials, kindergarten through grade 12 or postsecondary educators, and early 48.11childhood providers appointed by the governor. Membership on the board of directors 48.12by a state agency official are work duties for the official and are not a conflict of interest 48.13under section 43A.38. The board of directors must appoint an executive director and must 48.14seek advice from geographically and ethnically diverse parents of young children and 48.15representatives of early childhood development providers, kindergarten through grade 12 48.16and postsecondary educators, public libraries, and the business sector.48.17     The board of directors is subject to the open meeting law under chapter 13D. 48.18All other terms and conditions under which board members serve and operate must be 48.19described in the articles and bylaws of the organization. The private nonprofit organization 48.20is not a state agency and is not subject to laws governing public agencies except the 48.21provisions of chapter 13, salary limits under section 15A.0815, subdivision 2, and audits 48.22by the legislative auditor under chapter 3 apply.48.23    (c) (b) In addition to the duties under paragraph (a), the Minnesota Early Learning 48.24Foundation (MELF) shall evaluate the effectiveness of the a voluntary NorthStar quality 48.25Improvement and rating system. The NorthStar Quality Improvement and Rating System48.26 quality rating system must:48.27    (1) provide consumer information for parents on child care and early education 48.28program quality and ratings;48.29    (2) set indicators to identify quality in care and early education settings, including 48.30licensed family child care and centers, tribal providers and programs,  and Head Start 48.31and school-age programs, and identify quality programs through ratings and ongoing 48.32monitoring of programs;48.33    (3) provide funds resources and incentives for provider improvement grants and 48.34quality achievement grants;48.35    (4) require participating providers to incorporate the state's early learning standards 48.36in their curriculum activities and develop appropriate child assessments aligned with the 49.1kindergarten readiness assessment implement a curriculum and child assessments that 49.2align with the kindergarten through grade 2 standards;49.3    (5) provide accountability for the NorthStar Quality Improvement and Rating 49.4System's effectiveness in improving child outcomes and kindergarten readiness an 49.5evaluation of the quality rating system; and49.6    (6) align current and new state investments to improve the quality of child care 49.7with the NorthStar quality Improvement and rating system framework, by providing 49.8accountability and informed parent choice.49.9    (c) The Minnesota Early Learning Foundation shall report back to the legislature by 49.10January 15, 2008, annually on the progress being made under this paragraph paragraphs 49.11(a) and (b).49.12    (d) This section expires June 30, 2011 2012. If no state appropriation is made for 49.13purposes of this section, the commissioner must not implement paragraphs (a) and (b).49.14    (e) A legislative advisory task force shall be established to meet with MELF 49.15regarding pilot projects for scholarship programs, and regarding other programs and pilot 49.16projects of a similar nature conducted in Minnesota or elsewhere. The task force shall 49.17have eight members, appointed as follows: two members from the majority party of the 49.18house of representatives, appointed by the speaker, one of whom shall be designated 49.19the house of representatives cochair, and two from nonmajority members of the house 49.20of representatives, appointed by the speaker with advice from the minority leader; two 49.21members from the majority party in the senate, one of whom shall be designated the 49.22senate cochair, and two from nonmajority members of the senate, appointed by the 49.23senate subcommittee on committees.  Appointments shall be balanced geographically, 49.24with at least two members from substantially suburban districts and four members from 49.25nonmetropolitan districts. The task force shall meet at least twice per year.49.26    Sec. 17. [124D.2211] AFTER-SCHOOL COMMUNITY LEARNING 49.27PROGRAMS.49.28    Subdivision 1.Establishment.A competitive statewide after-school community 49.29learning grant program is established to provide grants to community or nonprofit 49.30organizations, political subdivisions, for-profit or nonprofit child care centers, or 49.31school-based programs that serve youth after school or during nonschool hours. The 49.32commissioner shall develop criteria for after-school community learning programs.49.33    Subd. 2.Program outcomes.The expected outcomes of the after-school 49.34community learning programs are to increase:49.35    (1) school connectedness of participants;50.1    (2) academic achievement of participating students in one or more core academic 50.2areas;50.3    (3) the capacity of participants to become productive adults; and50.4    (4) prevent truancy from school and prevent juvenile crime.50.5    Subd. 3.Grants.An applicant shall submit an after-school community learning 50.6program proposal to the commissioner. The submitted plan must include:50.7    (1) collaboration with and leverage of existing community resources that have 50.8demonstrated effectiveness;50.9    (2) outreach to children and youth; and50.10    (3) involvement of local governments, including park and recreation boards or 50.11schools, unless no government agency is appropriate.50.12    Proposals will be reviewed and approved by the commissioner.50.13    Sec. 18. Minnesota Statutes 2006, section 124D.531, subdivision 1, is amended to read:50.14    Subdivision 1. State total adult basic education aid. (a) The state total adult basic 50.15education aid for fiscal year 2005 is $36,509,000. The state total adult basic education 50.16aid for fiscal year 2006  equals $36,587,000 plus any amount that is not paid for during 50.17the previous fiscal year, as a result of adjustments under subdivision 4, paragraph (a), or 50.18section 
         124D.52, subdivision 3. The state total adult basic education aid for fiscal year 50.192007 equals $37,673,000 plus any amount that is not paid for during the previous fiscal 50.20year, as a result of adjustments under subdivision 4, paragraph (a), or section 
         124D.52, 50.21subdivision 3
         . The state total adult basic education aid for fiscal year 2008 equals 50.22$40,650,000, plus any amount that is not paid during the previous fiscal year as a result of 50.23adjustments under subdivision 4, paragraph (a), or section 124D.52, subdivision 3. The 50.24state total adult basic education aid for later fiscal years equals:50.25    (1) the state total adult basic education aid for the preceding fiscal year plus any 50.26amount that is not paid for during the previous fiscal year, as a result of adjustments under 50.27subdivision 4, paragraph (a), or section 
         124D.52, subdivision 3; times50.28    (2) the lesser of:50.29    (i) 
         1.03; or50.30    (ii) the greater of 
         1.00 or the ratio of the state total contact hours in the first prior 50.31program year to the state total contact hours in the second prior program year.50.32    Beginning in fiscal year 2002, two percent of the state total adult basic education 50.33aid must be set aside for adult basic education supplemental service grants under section 50.34124D.522
         .51.1    (b) The state total adult basic education aid, excluding basic population aid, equals 51.2the difference between the amount computed in paragraph (a), and the state total basic 51.3population aid under subdivision 2.51.4    Sec. 19. Minnesota Statutes 2006, section 124D.531, subdivision 4, is amended to read:51.5    Subd. 4. Adult basic education program aid limit. (a) Notwithstanding 51.6subdivisions 2 and 3, the total adult basic education aid for a program per prior year 51.7contact hour must not exceed $21 $22 per prior year contact hour computed under 51.8subdivision 3, clause (2).51.9    (b) For fiscal year 2004, the aid for a program under subdivision 3, clause (2), 51.10adjusted for changes in program membership, must not exceed the aid for that program 51.11under subdivision 3, clause (2), for fiscal year 2003 by more than the greater of eight 51.12percent or $10,000.51.13    (c) For fiscal year 2005, the aid for a program under subdivision 3, clause (2), 51.14adjusted for changes in program membership, must not exceed the sum of the aid for that 51.15program under subdivision 3, clause (2), and Laws 2003, First Special Session chapter 9, 51.16article 9, section 8, paragraph (a), for the preceding fiscal year by more than the greater of 51.17eight percent or $10,000.51.18    (d) For fiscal yearyears 2006 and later 2007, the aid for a program under subdivision 51.193, clause (2), adjusted for changes in program membership, must not exceed the aid for 51.20that program under subdivision 3, clause (2), for the first preceding fiscal year by more 51.21than the greater of eight percent or $10,000.51.22    (e) For fiscal year 2008, the aid for a program under subdivision 3, clause (2), 51.23adjusted for changes in program membership, shall not be limited.51.24    (f) For fiscal year 2009 and later, the aid for a program under subdivision 3, clause 51.25(2), adjusted for changes in program membership, must not exceed the aid for that 51.26program under subdivision 3, clause (2), for the first preceding fiscal year by more than 51.27the greater of 11 percent or $10,000.51.28    (e) (g) Adult basic education aid is payable to a program for unreimbursed costs 51.29occurring in the program year as defined in section 
         124D.52, subdivision 3.51.30    (f) (h) Any adult basic education aid that is not paid to a program because of the 51.31program aid limitation under paragraph (a) must be added to the state total adult basic 51.32education aid for the next fiscal year under subdivision 1. Any adult basic education aid 51.33that is not paid to a program because of the program aid limitations under paragraph (b), 51.34(c), or (d), must be reallocated among programs by adjusting the rate per contact hour 51.35under subdivision 3, clause (2).52.1    Sec. 20. Minnesota Statutes 2006, section 124D.55, is amended to read:52.2124D.55 GENERAL EDUCATION DEVELOPMENT (GED) TEST FEES.52.3    (a) The commissioner shall pay 6075 percent of the fee that is charged to an eligible 52.4individual for the full battery of a general education development (GED) test, but not 52.5more than $20$75 for an eligible individual.52.6    (b) Notwithstanding paragraph (a), the commissioner shall pay 100 percent of the 52.7initial fee for an eligible individual who is homeless or precariously housed, as determined 52.8by the commissioner.52.9    Sec. 21. Minnesota Statutes 2006, section 124D.56, subdivision 1, is amended to read:52.10    Subdivision 1. Revenue amount. A district that is eligible according to section 52.11124D.20, subdivision 2
         , may receive revenue for a program for adults with disabilities. 52.12Revenue for the program for adults with disabilities for a district or a group of districts 52.13equals the lesser of: 52.14    (1) the actual expenditures for approved programs and budgets; or52.15    (2) $60,000 $75,000.52.16EFFECTIVE DATE.This section is effective for revenue for fiscal year 2008.52.17    Sec. 22. Minnesota Statutes 2006, section 124D.56, subdivision 2, is amended to read:52.18    Subd. 2. Aid. Program aid for adults with disabilities equals the lesser of:52.19    (1) one-half of the actual expenditures for approved programs and budgets; or52.20    (2) $30,000 $37,500.52.21EFFECTIVE DATE.This section is effective for revenue for fiscal year 2008.52.22    Sec. 23. Minnesota Statutes 2006, section 124D.56, subdivision 3, is amended to read:52.23    Subd. 3. Levy. A district may levy for a program for adults with disabilities an 52.24amount up to the amount designatednot to exceed the difference between the revenue 52.25amount calculated in subdivision 1 and the aid amount calculated in subdivision 2. In the 52.26case of a program offered by a group of districts, the levy amount must be apportioned 52.27among the districts according to the agreement submitted to the department.52.28EFFECTIVE DATE.This section is effective for revenue for fiscal year 2008.52.29    Sec. 24. EARLY CHILDHOOD COMMUNITY HUB PLANNING AND 52.30IMPLEMENTATION GRANTS.53.1    Subdivision 1.Establishment.(a) A two-year grant program is established to 53.2increase children's school readiness and success using early childhood community hubs. 53.3An early childhood community hub must promote children's school readiness from before 53.4birth to kindergarten by coordinating and improving families' access to:53.5    (1) community early care and education services;53.6    (2) school;53.7    (3) health services; and53.8    (4) other family support services that stabilize, support, and assist families in 53.9meeting their children's health and developmental needs.53.10    (b) The commissioner of education shall designate at least four hubs to be established 53.11under this section. One hub must be located in a rural area of the state, one must be in a 53.12suburban area, and one must be in an urban area. The commissioner shall consider other 53.13demographic and cultural factors to ensure that hubs are selected in diverse areas of the 53.14state, and shall ensure that a significant number of participants in each area are eligible 53.15for free or reduced-price lunch.53.16    Subd. 2.Eligibility; application.(a) An applicant for a grant must be a school 53.17district, a consortium of school districts, or a tribal school interested in collaborating with 53.18community-based early childhood care and education providers to maximize the services 53.19available to eligible families.53.20    (b) An interested applicant must submit a plan to the commissioner of education, 53.21in the form and manner the commissioner determines, to implement an early childhood 53.22community hub that is located in a public school, a tribal school, or other appropriate 53.23community location. An applicant must include in the plan a community-based assessment 53.24of the existing resources and needs for providing high quality early care and education 53.25services, health and mental health services, and other social services that support healthy 53.26families and safe neighborhoods. A district superintendent or a designated representative, 53.27or a tribal school principal or a designated representative, must oversee the community 53.28collaboration.53.29    Subd. 3.Program components.(a) Grant recipients must:53.30    (1) provide for an ongoing assessment of local resources and needs for high quality 53.31early care and education services, health and mental health services, and other social 53.32services that support safe neighborhoods and healthy families;53.33    (2) develop and implement, in consultation with an advisory committee under 53.34subdivision 4, a plan to improve the healthy development and school readiness of children 53.35from before birth to kindergarten;54.1    (3) develop collaborative partnerships among school-based early childhood 54.2programs, kindergarten teachers and other school officials, community-based Head 54.3Start and child care programs including licensed centers, family child care homes, 54.4and unlicensed family friend and neighbor caregivers, early intervention interagency 54.5committees, and other appropriate partners that:54.6    (i) use the Minnesota child care resource and referral network to provide parents 54.7with information on quality early care and education services and financial aid options for 54.8their children from birth to kindergarten;54.9    (ii) provide high quality early care and education settings for children from birth to 54.10kindergarten;54.11    (iii) connect families to health, mental health, adult basic education, English 54.12language learning, family literacy programs, and other relevant social services; and54.13    (iv) promote shared professional development activities in early care and education 54.14settings that integrate curriculum, assessment, and instruction and are aligned with 54.15kindergarten through grade 12 standards;54.16    (4) provide meaningful kindergarten transition services for families that begin one 54.17school year before a child enters kindergarten;54.18    (5) develop and implement an evaluation plan to determine the effectiveness of the 54.19collaboration, the level of parent satisfaction, and children's kindergarten readiness before 54.20and after participating in the program; and54.21    (6) assign an unduplicated MARSS number to each child participating in the 54.22program.54.23    (b) An applicant must agree to contract with a qualified person to coordinate the hub 54.24who, at a minimum, must have:54.25    (1) a bachelor's degree in early childhood development or a related field;54.26    (2) experience working with low-income families from diverse cultural communities; 54.27and54.28    (3) experience working with state and community school readiness providers.54.29    (c) An applicant must agree to provide a 15 percent local match for any grant money 54.30it receives, of which five percent may be in-kind contributions. A grant recipient must 54.31use the grant, including the local match, to supplement but not supplant existing early 54.32childhood initiatives in the community.54.33    Subd. 4.Advisory committees.Each early childhood community hub grantee must 54.34have an advisory committee, which may be a preexisting early childhood committee or 54.35a newly formed early childhood advisory committee. A newly formed early childhood 55.1advisory committee must include at least the following members selected by the school 55.2administrator who oversees the community collaboration:55.3    (1) 30 percent parents;55.4    (2) the school administrator who oversees the community collaboration;55.5    (3) licensed teachers for kindergarten through grade 3;55.6    (4) licensed child care providers that include family child care and center-based 55.7providers;55.8    (5) Head Start providers;55.9    (6) early childhood family education and school readiness providers;55.10    (7) early childhood special education providers;55.11    (8) a child care resource and referral agency;55.12    (9) community business leaders;55.13    (10) an early intervention interagency committee liaison;55.14    (11) other appropriate community members serving young children and their 55.15families; and55.16    (12) an official from a county-recognized labor organization that serves as a partner 55.17with licensed family day care providers.55.18    Subd. 5.Evaluation.The commissioner must provide for an evaluation of this 55.19grant program and must recommend to the education policy and finance committees of 55.20the legislature by February 15, 2010, whether or not to expand the program throughout 55.21the state.55.22EFFECTIVE DATE.This section is effective July 1, 2007.55.23    Sec. 25. NEIGHBORHOOD CIRCULATORS GRANT.55.24    Subdivision 1.Grant.To the extent possible, St. Paul shall attempt to provide free, 55.25accessible neighborhood transportation that promotes youth community engagement by 55.26connecting youth to enriching, learning, and development experiences after school and 55.27on Saturdays. The circulator shall link learning sites such as libraries, parks, recreational 55.28centers, and other local organizations during nonschool hours.55.29    Subd. 2.Project goals.The neighborhood circulators shall:55.30    (1) increase children's opportunities for learning and development in 55.31neighborhood-based activities after school and on Saturdays;55.32    (2) strengthen the neighborhood as a place for children's learning and development;55.33    (3) promote the development and education of children;55.34    (4) reduce truancy;56.1    (5) foster cooperation and coordination among public and private youth service 56.2providers; and 56.3    (6) improve the visibility of the neighborhood network of youth programs.56.4    Subd. 3.Report.The grant holders shall report to the legislative committees having 56.5jurisdiction over early education and kindergarten through grade 12 education programs 56.6on how the St. Paul neighborhood circulators achieved the project goals of improving 56.7educational outcomes for children in the city.56.8    Sec. 26. PROVISIONAL QUALITY RATING SYSTEM, LICENSED CHILD 56.9CARE.56.10    For fiscal year 2009 only, a licensed child care program shall receive a provisional 56.11quality rating system approval if the provider certifies to the Department of Human 56.12Services that it uses curricula and child assessment instruments approved by the 56.13Department of Human Services, provides opportunities for parent involvement and parent 56.14education, proves a program with sufficient intensity and duration to improve school 56.15readiness of participating children, and meets other criteria determined necessary by the 56.16commissioner of human services. 56.17    Sec. 27. PROVISIONAL QUALITY RATING SYSTEM, SCHOOL READINESS.56.18    For fiscal year 2009 only, a school readiness program shall receive a provisional 56.19quality rating system approval if the provider certifies to the Department of Education 56.20that it uses curricula and child assessment instruments approved by the Department of 56.21Education, provides opportunities for parent involvement and parent education, proves a 56.22program with sufficient intensity and duration to improve school readiness of participating 56.23children, and meets other criteria determined necessary by the commissioner of education. 56.24    Sec. 28. SCHOLARSHIP DEMONSTRATION PROJECTS.56.25    Subdivision 1.Early childhood allowance.The commissioners of human services 56.26and education shall establish two scholarship demonstration projects to be conducted in 56.27partnership with the Minnesota Early Learning Foundation to promote children's school 56.28readiness. The demonstration projects shall be designed and evaluated by the Minnesota 56.29Early Learning Foundation in consultation with the legislative advisory group. The 56.30programs shall be conducted in nonurban areas outside the seven-county metropolitan area. 56.31    Subd. 2.Family eligibility.Parents or legal guardians with incomes less than or 56.32equal to 185 percent of the federal poverty guidelines are eligible to receive allowances to 56.33pay for their children's education in a quality early education program, in an amount not 57.1to exceed $4,000 per child per year. The allowance must be used during the 12 months 57.2following receipt of the allowance by the claimant for a child who is age 3 or 4 on August 57.331, to pay for services designed to promote school readiness in a quality early education 57.4setting. A quality program is one that meets the standards in subdivision 3. 57.5    Subd. 3.Quality standards.(a) A quality early care and education setting is any 57.6service or program that receives a quality rating from the Department of Human Services 57.7under the Minnesota Early Learning Foundation quality rating system administered by 57.8the Department of Human Services and agrees to accept a prekindergarten education 57.9allowance to pay for services. For fiscal year 2008 and 2009 only, a provider may satisfy 57.10the quality rating system requirements and be deemed eligible to participate in this 57.11program if the provider has received a provisional quality rating system approval from 57.12either the Department of Human Services or the Department of Education.57.13    (b) For the purposes of receiving a provisional quality rating, a child care program or 57.14provider must be approved by the commissioner of human services and a school readiness 57.15program or a Head Start program must be approved by the commissioner of education. 57.16Programs and providers must apply for approval in the form and manner prescribed by the 57.17commissioners. To receive approval, the commissioners must determine that applicants:57.18    (1) use research-based curricula that are aligned with the education standards under 57.19Minnesota Statutes, section 120B.021, instruction, and child assessment instruments 57.20approved by the Department of Education and the Department of Human Services, in 57.21consultation with the Minnesota Early Learning Foundation;57.22    (2) provide a program of sufficient intensity and duration to improve the school 57.23readiness of participating children;57.24    (3) provide opportunities for parent involvement; and57.25    (4) meet other research-based criteria determined necessary by the commissioners.57.26    (c) For 2008 and 2009, notwithstanding paragraph (b), Head Start programs 57.27meeting Head Start performance standards and accredited child care centers are granted 57.28a provisional quality rating for the purposes of receiving a prekindergarten education 57.29allowance under this statute.57.30    (d) A provider deemed eligible to receive a prekindergarten education allowance 57.31under paragraphs (a) to (c) may use the allowance to enhance services above the current 57.32quality levels, increase the duration of services provided, or expand the number of children 57.33to whom services are provided.57.34    (e) For fiscal years 2008 and 2009 only, when no quality program is available, a 57.35recipient may direct the prekindergarten education allowance to a provider or program for 57.36school readiness quality improvements that will make the provider or program eligible 58.1for a quality rating according to the quality rating system. Allowable expenditures that 58.2will increase the capacity of the provider or program to help children be ready for school 58.3include purchase of curricula and assessment tools, training on the use of curriculum and 58.4assessment tools, purchase of materials to improve the learning environment, or other 58.5expenditures approved by the commissioner of human services for child care providers 58.6and the commissioner of education for school readiness programs.58.7    Subd. 4.Eligibility; applications.The Department of Human Services and 58.8Department of Education shall, in cooperation with the Minnesota Early Learning 58.9Foundation, develop an application process for eligible families. Eligible families 58.10must have incomes less than or equal to 185 percent of the federal poverty guidelines. 58.11Allowances paid to families under this program may not be counted as earned income 58.12for the purposes of medical assistance, MinnesotaCare, MFIP, child care assistance, or 58.13Head Start programs.58.14    Subd. 5.Expenditures.This program shall operate during fiscal years 2008 and 58.152009.58.16EFFECTIVE DATE.This section is effective the day following final enactment 58.17and its provisions sunset on January 1, 2012.58.18    Sec. 29. GRANT PROGRAM TO PROMOTE THE HEALTHY DEVELOPMENT 58.19OF CHILDREN AND YOUTH WITHIN THEIR COMMUNITIES.58.20    (a) The commissioner of education must contract with the Search Institute to help 58.21local communities develop, expand, and maintain the tools, training, and resources needed 58.22to foster positive child and youth development and effectively engage young people in 58.23their communities. The Search Institute must educate individuals and community-based 58.24organizations to adequately understand and meet the development needs of their children 58.25and youth, use best practices to promote the healthy development of children and youth, 58.26share best program practices with other interested communities, and create electronic and 58.27other opportunities for communities to share experiences in and resources for promoting 58.28the healthy development of children and youth. 58.29    (b) The commissioner of education must provide for an evaluation of the 58.30effectiveness of this program and must recommend to the education policy and finance 58.31committees of the legislature by February 15, 2010, whether or not to make the program 58.32available statewide. The Search Institute annually must report to the commissioner of 58.33education on the services it provided and the grant money it expended under this section.58.34EFFECTIVE DATE.This section is effective the day following final enactment.59.1    Sec. 30. APPROPRIATION.59.2    Subdivision 1.Department of Education.The sums indicated in this section are 59.3appropriated from the general fund to the Department of Education for the fiscal years 59.4designated.59.5    Subd. 2.Early childhood family education aid.For early childhood family 59.6education aid under Minnesota Statutes, section 124D.135:

59.7$21,053,000.....200859.8$21,800,000.....2009

59.9    The 2008 appropriation includes $1,801,000 for 2007 and $19,252,000 for 2008.59.10    The 2009 appropriation includes $2,139,000 for 2008 and $19,661,000 for 2009.59.11    Subd. 3.Targeted training of early childhood professionals.For the targeted 59.12training of early childhood professionals under Minnesota Statutes, section 124D.163:

59.13$155,000.....200859.14$70,000.....2009

59.15    Any balance in the first year does not cancel but is available in the second year. The 59.16base for this program in fiscal year 2010 and later is $70,000.59.17    Subd. 4.Early childhood community hub planning and implementation grants.59.18    For planning and implementation grants under section 24:

59.19$1,000,000.....200859.20$1,000,000.....2009

59.21    This is a onetime appropriation.59.22    Subd. 5.Early childhood scholarships.For early childhood scholarships under 59.23section 15:

59.24$392,000.....200859.25$2,108,000.....2009

59.26    These appropriations are onetime.59.27    Subd. 6.School readiness.For revenue for school readiness programs under 59.28Minnesota Statutes, sections 124D.15 and 124D.16:

59.29$9,995,000.....200859.30$10,095,000.....2009

59.31    The 2008 appropriation includes $909,000 for 2007 and $9,086,000 for 2008.59.32    The 2009 appropriation includes $1,009,000 for 2008 and $9,086,000 for 2009.60.1    Subd. 7.State Advisory Board on School Readiness.For the State Advisory 60.2Board on School Readiness under section 11:

60.3$46,000.....200860.4$40,000.....2009

60.5    These appropriations are added to the base.60.6    Subd. 8.Lifetrack Resources.For a contract with Lifetrack Resources to provide a 60.7program in Ramsey County to expand school readiness and home visiting services for 60.8children from birth to kindergarten who are at risk of or have been diagnosed with mental 60.9illness or developmental delays due to fetal alcohol or drug exposure, child neglect, or 60.10abuse, and their families in order to ensure the children's school readiness:

60.11$500,000.....200860.12$500,000.....2009

60.13    This appropriation does not increase base funding.60.14    Subd. 9.Minnesota Learning Resource Center.For a grant to A Chance to 60.15Grow/New Visions for the Minnesota Learning Resource Center's comprehensive training 60.16program for education professionals charged with helping children acquire learning 60.17readiness skills:

60.18$75,000.....200860.19$75,000.....2009

60.20    Any balance in the first year does not cancel but is available in the second year.60.21    The Minnesota Learning Resource Center shall issue a report by January 15, 2009, to 60.22the committees of the house of representatives and senate responsible for early childhood 60.23programs. The report shall describe the conduct of the training provided to the A Chance 60.24to Grow/New Visions program, and any findings or lessons learned that might prove 60.25useful to the training of education professionals or the improvement of learning readiness 60.26services for children from such training.60.27    Subd. 10.Healthy development of children and youth.For contracting with the 60.28Search Institute to promote the healthy development of children and youth within their 60.29communities under section 29:

60.30$250,000.....200860.31$250,000.....2009

60.32    The commissioner may expend up to five percent of the appropriation to provide 60.33for a program evaluation.60.34    Any balance in the first year does not cancel but is available in the second year.61.1    Subd. 11.Health and developmental screening aid.For health and developmental 61.2screening aid under Minnesota Statutes, sections 121A.17 and 121A.19:

61.3$3,159,000.....200861.4$3,330,000.....2009

61.5    The 2008 appropriation includes $293,000 for 2007 and $2,866,000 for 2008.61.6    The 2009 appropriation includes $318,000 for 2008 and $3,012,000 for 2009.61.7    Subd. 12.Educate parents partnership.For the educate parents partnership 61.8under Minnesota Statutes, section 124D.129:

61.9$50,000.....200861.10$50,000.....2009

61.11    Subd. 13.Kindergarten entrance assessment initiative and intervention 61.12program.For the kindergarten entrance assessment initiative and intervention program 61.13under Minnesota Statutes, section 124D.162:

61.14$584,000.....200861.15$776,000.....2009

61.16    Subd. 14.Head Start programs.For Head Start programs under Minnesota 61.17Statutes, section 119A.52:

61.18$20,100,000.....200861.19$20,100,000.....2009

61.20    Of these amounts, up to 10 percent of the funds allocated to local Head Start 61.21programs annually may be used for innovative services designed either to target Head 61.22Start resources to particular at-risk groups of children or to provide services in addition 61.23to those currently allowable under federal Head Start regulations. Head Start programs 61.24must submit a plan for innovative services as part of the application process described 61.25under Minnesota Statutes, section 119A.535.61.26    Subd. 15.Community education aid.For community education aid under 61.27Minnesota Statutes, section 124D.20:

61.28$1,307,000.....200861.29$816,000.....2009

61.30    The 2008 appropriation includes $195,000 for 2007 and $1,112,000 for 2008.61.31    The 2009 appropriation includes $123,000 for 2008 and $693,000 for 2009.61.32    Subd. 16.Adults with disabilities program aid.For adults with disabilities 61.33programs under Minnesota Statutes, section 124D.56:

62.1$881,000.....200862.2$900,000.....2009

62.3    The 2008 appropriation includes $71,000 for 2007 and $810,000 for 2008.62.4    The 2009 appropriation includes $90,000 for 2008 and $810,000 for 2009.62.5    School districts operating existing adults with disabilities programs that are not fully 62.6funded shall receive full funding for the program beginning in fiscal year 2008 before the 62.7commissioner awards grants to other districts.62.8    Subd. 17.Hearing-impaired adults.For programs for hearing-impaired adults 62.9under Minnesota Statutes, section 124D.57:

62.10$70,000.....200862.11$70,000.....2009

62.12    Subd. 18.School-age care revenue.For extended day aid under Minnesota 62.13Statutes, section 124D.22:

62.14$1,000.....200862.15$1,000.....2009

62.16    The 2008 appropriation includes $0 for 2007 and $1,000 for 2008.62.17    The 2009 appropriation includes $0 for 2008 and $1,000 for 2009.62.18    Subd. 19.Neighborhood circulators.For a grant to the city of St. Paul 62.19neighborhood circulators for the yearly management of two neighborhood circulators:

62.20$175,000.....2008

62.21    Subd. 20.After-school community learning grants.For after-school community 62.22learning grants:

62.23$2,500,000.....200862.24$2,500,000.....2009

62.25    The commissioner may hire one full-time equivalent staff person to administer the 62.26statewide after-school community learning grant program. This is a onetime appropriation 62.27and does not accrue to the agency base.62.28    Subd. 21.City of St. Paul.For a grant to the city of St. Paul:

62.29$100,000.....200862.30$100,000.....2009

62.31    Any balance in the first year does not cancel but is available in the second year.62.32    This is a onetime appropriation.63.1    The grant must be used to increase professional development opportunities and 63.2program support for park and recreation staff and library staff who interact with children 63.3and families. Staff shall receive training in how to incorporate age-appropriate skill 63.4building and intentional learning opportunities into existing programming offered by the 63.5city. 63.6    At the completion of the project, the city of St. Paul shall evaluate the success of 63.7the program in improving educational outcomes for children in the city and report its 63.8findings to the chairs of the legislative committees with jurisdiction over early childhood 63.9and kindergarten through grade 12 education programs.63.10    Subd. 22.Children and youth healthy development grant.For children and youth 63.11healthy development grant under section 29:

63.12$250,000.....200863.13$250,000.....2009

63.14    These appropriations are onetime.63.15    Subd. 23.Adult basic education aid.For adult basic education aid under 63.16Minnesota Statutes, section 124D.531:

63.17$37,486,000.....200763.18$40,344,000.....200863.19$41,748,000.....2009

63.20    The 2007 appropriation includes $3,654,000 for 2006 and $33,832,000 for 2007.63.21    The 2008 appropriation includes $3,759,000 for 2007 and $36,585,000 for 2008.63.22    The 2009 appropriation includes $4,065,000 for 2008 and $37,683,000 for 2009.63.23    Subd. 24.GED test fees.For GED test fees under Minnesota Statutes, section 63.24124D.55:

63.25$300,000.....200863.26$200,000.....2009

63.27    $100,000 in fiscal year 2008 is for GED test fees for homeless persons.63.28    Any balance in the first year does not cancel but is available in the second year.63.29    Subd. 25.Adult literacy grants for recent immigrants.For adult literacy grants 63.30for recent immigrants to Minnesota under Laws 2006, chapter 282, article 2, section 26:

63.31$1,250,000.....2008

63.32EFFECTIVE DATE.Subdivision 23 is effective the day following final enactment.64.1    Sec. 31. DEPARTMENT OF HEALTH.64.2    $100,000 in fiscal year 2008 and $100,000 in fiscal year 2009 are appropriated from 64.3the general fund to the commissioner of health for lead hazard reduction.64.4    Sec. 32. MINNESOTA EARLY LEARNING FOUNDATION.64.5    $1,250,000 in fiscal year 2008 and $1,250,000 in fiscal year 2009 are appropriated 64.6from the general fund to the Minnesota Early Learning Foundation for the scholarship 64.7demonstration projects in section 28. Any balance in the first year does not cancel but 64.8is available in the second year.64.9    Sec. 33.  REPEALER.64.10Minnesota Statutes 2006, section 124D.531, subdivision 5, is repealed.