1.1 	A bill for an act
1.2 	relating to higher education; regulating tuition and fees paid by Wisconsin 
1.3 	reciprocity students attending the University of Minnesota;amending Minnesota 
1.4 	Statutes 2006, section 136A.08, subdivision 3.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. Minnesota Statutes 2006, section 136A.08, subdivision 3, is amended to 
1.7 	read:
1.8 		Subd. 3.Wisconsin. (a) A higher education reciprocity agreement with the state 
1.9 	of Wisconsin may include provision for the transfer of funds between Minnesota and 
1.10 	Wisconsin. If this provision is included, the amount of funds to be transferred shall be 
1.11 	determined according to a formula which is mutually acceptable to the office and a duly 
1.12 	designated agency representing Wisconsin. The formula shall recognize differences in 
1.13 	tuition rates between the two states and the number of students attending institutions 
1.14 	in each state under the agreement. Any payments to Minnesota by Wisconsin shall be 
1.15 	deposited by the office in the general fund of the state treasury. The amount required for 
1.16 	the payments shall be certified by the director of the office to the commissioner of finance 
1.17 	annually.
1.18 	(b) Commencing with the fall term of the 2008-2009 academic year for students 
1.19 	attending the University of Minnesota on or after that term, a Wisconsin resident meeting 
1.20 	tuition reciprocity requirements must pay a tuition rate that is at least equal to the resident 
1.21 	tuition rate. This section does not prohibit charging a higher tuition to a Wisconsin 
1.22 	resident. Increased tuition revenue generated by this paragraph shall be retained by the 
1.23 	campus attended by the Wisconsin resident.
2.1 	(c) The University of Minnesota may give preference to Minnesota residents when 
2.2 	admitting students.

2.3 	Sec. 2. PHASE-IN.
 2.4 	The requirement in Minnesota Statutes, section 136A.08, subdivision 3, that a 
2.5 	Wisconsin resident attending the University of Minnesota be charged a tuition rate at least 
2.6 	equal to the resident rate shall be phased in commencing with the fall 2007-2008 term 
2.7 	so that the difference between the tuition rate for Wisconsin residents and Minnesota 
2.8 	residents attending the University of Minnesota is reduced by 50 percent for the 2007-2008 
2.9 	academic year. This section applies if a Wisconsin resident is charged a lower tuition 
2.10 	rate than a Minnesota resident. This section does not prohibit a higher tuition rate for a 
2.11 	Wisconsin resident than a Minnesota resident attending the University of Minnesota. Any 
2.12 	increase in tuition revenue generated by this section shall be retained by the campus 
2.13 	attended by the Wisconsin resident.

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