1.1 	A bill for an act
1.2 	relating to state government; providing for funding and policy in early childhood, 
1.3 	kindergarten through grade 12, and adult education, including general education, 
1.4 	education excellence, standards and assessments, charter schools, special 
1.5 	education, facilities and technology, nutrition and accounting, libraries, early 
1.6 	childhood education, prevention, self-sufficiency and lifelong learning, state 
1.7 	agencies, and forecast adjustments; modifying an income tax credit; modifying 
1.8 	a sales tax exemption; requiring rulemaking; requiring reports; appropriating 
1.9 	money;amending Minnesota Statutes 2014, sections 5A.03; 13.32, subdivision 
1.10 	5; 120B.02, subdivision 2; 120B.021, subdivision 4; 120B.022, subdivisions 1, 
1.11 	1a, 1b; 120B.024, subdivision 2; 120B.11, subdivision 9; 120B.12, subdivision 
1.12 	4a; 120B.125; 120B.13, subdivision 4; 120B.30, subdivisions 1, 1a, 3, 4, by 
1.13 	adding subdivisions; 120B.31, subdivision 4; 120B.36, subdivision 1; 121A.17, 
1.14 	subdivisions 3, 5; 122A.09, subdivision 4, by adding subdivisions; 122A.14, 
1.15 	subdivision 3, by adding a subdivision; 122A.18, subdivision 2, by adding 
1.16 	a subdivision; 122A.20, subdivision 1; 122A.21, subdivision 2; 122A.23; 
1.17 	122A.245, subdivisions 1, 3, 7; 122A.30; 122A.31, subdivisions 1, 2; 122A.40, 
1.18 	subdivisions 8, 13; 122A.41, subdivisions 5, 6; 122A.413, subdivisions 1, 2; 
1.19 	122A.414, subdivisions 1, 1a, 2, 2a, 2b, 3; 122A.415; 122A.60; 122A.61, 
1.20 	subdivision 1; 122A.69; 123A.24, subdivision 1; 123B.53, subdivisions 1, 
1.21 	4; 123B.57; 123B.77, subdivision 3; 123B.88, subdivision 1; 124D.041, 
1.22 	subdivisions 1, 2; 124D.09, subdivisions 5, 5a, 8, 9, 12; 124D.10, subdivisions 1, 
1.23 	3, 4, 8, 12, 14, by adding a subdivision; 124D.11, subdivisions 1, 5, 9, by adding 
1.24 	subdivisions; 124D.12; 124D.122; 124D.15, subdivision 5; 124D.16, subdivision 
1.25 	2; 124D.165, subdivision 2; 124D.73, subdivisions 3, 4; 124D.74, subdivisions 1, 
1.26 	6; 124D.75, subdivisions 1, 3, 9; 124D.76; 124D.78; 124D.79, subdivisions 1, 2; 
1.27 	124D.791, subdivision 4; 124D.81; 124D.98; 125A.01; 125A.023, subdivisions 
1.28 	3, 4; 125A.027; 125A.03; 125A.08; 125A.085; 125A.0942, subdivision 3; 
1.29 	125A.11, subdivision 1; 125A.21; 125A.28; 125A.63, subdivisions 2, 3, 4, 5; 
1.30 	125A.75, subdivision 9; 125A.76, subdivisions 1, 2c; 125A.79, subdivisions 1, 
1.31 	5; 125B.26, subdivision 2; 126C.01, subdivision 2; 126C.10, subdivisions 1, 
1.32 	2, 2a, 13a; 126C.13, subdivisions 3a, 4; 126C.15, subdivisions 1, 2; 126C.17, 
1.33 	subdivisions 1, 2; 126C.48, subdivision 8; 127A.05, subdivision 6; 127A.353, 
1.34 	subdivision 2; 127A.45, subdivision 3; 127A.47, subdivision 7; 127A.49, 
1.35 	subdivision 1; 134.355, subdivisions 8, 9, 10; 135A.101, by adding a subdivision; 
1.36 	290.0671, subdivisions 1, 6a; 297A.70, subdivision 2; Laws 2013, chapter 116, 
1.37 	article 1, section 58, subdivisions 2, as amended, 3, as amended, 4, as amended, 5, 
1.38 	as amended, 6, as amended, 7, as amended, 11, as amended; article 3, sections 35, 
1.39 	subdivision 2; 37, subdivisions 3, as amended, 4, as amended, 5, as amended, 20, 
2.1 	as amended; article 4, section 9, subdivision 2, as amended; article 5, section 31, 
2.2 	subdivisions 2, as amended, 3, as amended, 4, as amended; article 6, section 12, 
2.3 	subdivisions 2, as amended, 6, as amended; article 7, sections 19; 21, subdivisions 
2.4 	2, as amended, 3, as amended, 4, as amended; article 8, section 5, subdivisions 
2.5 	3, as amended, 4, as amended, 14, as amended; Laws 2014, chapter 312, article 
2.6 	16, sections 15; 16, subdivision 7; proposing coding for new law in Minnesota 
2.7 	Statutes, chapters 120B; 123B; 124D; 125A; 136D; repealing Minnesota Statutes 
2.8 	2014, sections 120B.128; 123B.59; 123B.591; 125A.63, subdivision 1; 126C.12, 
2.9 	subdivision 6; 126C.13, subdivisions 3a, 3b, 3c; 126C.41, subdivision 1.
2.10 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

2.11 	ARTICLE 1
2.12 	GENERAL EDUCATION

2.13 	Section 1. Minnesota Statutes 2014, section 124D.11, subdivision 1, is amended to read:
2.14 		Subdivision 1.General education revenue. (a) General education revenue must 
2.15 	be paid to a charter school as though it were a district. The general education revenue 
2.16 	for each adjusted pupil unit is the state average general education revenue per pupil 
2.17 	unit, plus the referendum equalization aid allowance in the pupil's district of residence, 
2.18 	minus an amount equal to the product of the formula allowance according to section 
2.19 	126C.10, subdivision 2, times .0466, calculated without declining enrollment revenue, 
2.20 	local optional revenue, basic skills revenue, extended time revenue, pension adjustment 
2.21 	revenue, transition revenue, and transportation sparsity revenue, plus declining enrollment 
2.22 	revenue, basic skills revenue, extended time revenue, pension adjustment revenue, and 
2.23 	transition revenue as though the school were a school district.
2.24 	(b) For a charter school operating an extended day, extended week, or summer 
2.25 	program, the general education revenue for each extended time pupil unit equals $4,794 
2.26 	in paragraph (a) is increased by an amount equal to 25 percent of the statewide average 
2.27 	extended support revenue per pupil unit.

2.28 	EFFECTIVE DATE. This section is effective for fiscal year 2016 and later.

2.29 	Sec. 2. Minnesota Statutes 2014, section 124D.12, is amended to read:
2.30 	124D.12 PURPOSE OF FLEXIBLE LEARNING YEAR PROGRAMS.
2.31 	Sections 124D.12 to 124D.127 authorize districts to evaluate, plan and employ 
2.32 	the use of flexible learning year programs. It is anticipated that the open selection of 
2.33 	the type of flexible learning year operation from a variety of alternatives will allow 
2.34 	each district seeking to utilize this concept to suitably fulfill the educational needs of 
2.35 	its pupils. These alternatives must include, but not be limited to, various 45-15 plans, 
2.36 	four-quarter plans, quinmester plans, extended learning year plans, and flexible all-year 
3.1 	plans, and four-day week plans. A school district with an approved four-day week plan 
3.2 	in the 2014-2015 school year may continue under a four-day week plan through the end 
3.3 	of the 2019-2020 school year. Future approvals are contingent upon meeting the school 
3.4 	district's performance goals established in the district's plan under section 120B.11. 
3.5 	The commissioner must give a school district one school year's notice before revoking 
3.6 	approval of their flexible learning year program.

3.7 	EFFECTIVE DATE. This section is effective the day following final enactment.

3.8 	Sec. 3. Minnesota Statutes 2014, section 124D.122, is amended to read:
3.9 	124D.122 ESTABLISHMENT OF FLEXIBLE LEARNING YEAR PROGRAM.
3.10 	The board of any district or a consortium of districts, with the approval of the 
3.11 	commissioner, may establish and operate a flexible learning year program in one or more of 
3.12 	the day or residential facilities for children with a disability within the district. Consortiums 
3.13 	may use a single application and evaluation process, though results, public hearings, and 
3.14 	board approvals must be obtained for each district as required under appropriate sections. 
3.15 	The commissioner must approve or disapprove of a flexible learning year application 
3.16 	within 45 business days of receiving the application. If the commissioner disapproves the 
3.17 	application, they must give the district or consortium detailed reasons for the disapproval.

3.18 	Sec. 4. Minnesota Statutes 2014, section 126C.10, subdivision 1, is amended to read:
3.19 		Subdivision 1.General education revenue. (a) For fiscal years 2013 and 2014, the 
3.20 	general education revenue for each district equals the sum of the district's basic revenue, 
3.21 	extended time revenue, gifted and talented revenue, small schools revenue, basic skills 
3.22 	revenue, secondary sparsity revenue, elementary sparsity revenue, transportation sparsity 
3.23 	revenue, total operating capital revenue, equity revenue, alternative teacher compensation 
3.24 	revenue, and transition revenue.
3.25 	(b) For fiscal year 2015 and later, The general education revenue for each district 
3.26 	equals the sum of the district's basic revenue, extended time revenue, gifted and 
3.27 	talented revenue, declining enrollment revenue, local optional revenue, small schools 
3.28 	revenue, basic skills revenue, secondary sparsity revenue, elementary sparsity revenue, 
3.29 	transportation sparsity revenue, total operating capital revenue, equity revenue, pension 
3.30 	adjustment revenue, and transition revenue.

3.31 	Sec. 5. Minnesota Statutes 2014, section 126C.10, subdivision 2, is amended to read:
4.1 		Subd. 2.Basic revenue. For fiscal year 2014, the basic revenue for each district 
4.2 	equals the formula allowance times the adjusted marginal cost pupil units for the school 
4.3 	year. For fiscal year 2015 and later, The basic revenue for each district equals the formula 
4.4 	allowance times the adjusted pupil units for the school year. The formula allowance for 
4.5 	fiscal year 2013 is $5,224. The formula allowance for fiscal year 2014 is $5,302. The 
4.6 	formula allowance for fiscal year 2015 and later is $5,831. The formula allowance for 
4.7 	fiscal year 2016 is $5,918. The formula allowance for fiscal year 2017 and later is $6,036.

4.8 	Sec. 6. Minnesota Statutes 2014, section 126C.10, subdivision 2a, is amended to read:
4.9 		Subd. 2a.Extended time revenue. (a) A school district's extended time revenue for 
4.10 	fiscal year 2014 is equal to the product of $4,601 and the sum of the adjusted marginal 
4.11 	cost pupil units of the district for each pupil in average daily membership in excess of 1.0 
4.12 	and less than 1.2 according to section 126C.05, subdivision 8. A school district's extended 
4.13 	time revenue for fiscal year 2015 and later is equal to the product of $5,017 $5,117 and the 
4.14 	sum of the adjusted pupil units of the district for each pupil in average daily membership 
4.15 	in excess of 1.0 and less than 1.2 according to section 126C.05, subdivision 8.
4.16 	(b) A school district's extended time revenue may be used for extended day 
4.17 	programs, extended week programs, summer school, vacation break academies such as 
4.18 	spring break academies and summer term academies, and other programming authorized 
4.19 	under the learning year program.

4.20 	EFFECTIVE DATE. This section is effective for fiscal year 2016 and later.

4.21 	Sec. 7. Minnesota Statutes 2014, section 126C.10, subdivision 13a, is amended to read:
4.22 		Subd. 13a.Operating capital levy. To obtain operating capital revenue for fiscal 
4.23 	year 2015 and later, a district may levy an amount not more than the product of its operating 
4.24 	capital revenue for the fiscal year times the lesser of one or the ratio of its adjusted net tax 
4.25 	capacity per adjusted marginal cost pupil unit to the operating capital equalizing factor. The 
4.26 	operating capital equalizing factor equals $14,500 for fiscal years 2015 and 2016, $14,740 
4.27 	for fiscal year 2017, $17,473 for fiscal year 2018, and $20,510 for fiscal year 2019 and later.

4.28 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2016 and 
4.29 	later.

4.30 	Sec. 8. Minnesota Statutes 2014, section 126C.13, subdivision 3a, is amended to read:
4.31 		Subd. 3a.Student achievement rate. The commissioner must establish the student 
4.32 	achievement rate by July 1 September 30 of each year for levies payable in the following 
5.1 	year. The student achievement rate must be a rate, rounded up to the nearest hundredth of 
5.2 	a percent, that, when applied to the adjusted net tax capacity for all districts, raises the 
5.3 	amount specified in this subdivision. The student achievement rate must be the rate that 
5.4 	raises $20,000,000 for fiscal year 2015 and later years, 2016, and 2017 and $10,000,000 
5.5 	for fiscal year 2018. The student achievement rate may not be changed due to changes or 
5.6 	corrections made to a district's adjusted net tax capacity after the rate has been established.

5.7 	EFFECTIVE DATE. This section is effective the day following final enactment.

5.8 	Sec. 9. Minnesota Statutes 2014, section 126C.13, subdivision 4, is amended to read:
5.9 		Subd. 4.General education aid. (a) For fiscal years 2013 and 2014 only, a district's 
5.10 	general education aid is the sum of the following amounts:
5.11 	(1) general education revenue, excluding equity revenue, total operating capital 
5.12 	revenue, alternative teacher compensation revenue, and transition revenue;
5.13 	(2) operating capital aid under section 126C.10, subdivision 13b;
5.14 	(3) equity aid under section 126C.10, subdivision 30;
5.15 	(4) alternative teacher compensation aid under section 126C.10, subdivision 36;
5.16 	(5) transition aid under section 126C.10, subdivision 33;
5.17 	(6) shared time aid under section 126C.01, subdivision 7;
5.18 	(7) referendum aid under section 126C.17, subdivisions 7 and 7a; and
5.19 	(8) online learning aid according to section 124D.096.
5.20 	(b) For fiscal year 2015 and later, a district's general education aid equals:
5.21 	(1) general education revenue, excluding operating capital revenue, equity revenue, 
5.22 	local optional revenue, and transition revenue, minus the student achievement levy, 
5.23 	multiplied times the ratio of the actual amount of student achievement levy levied to the 
5.24 	permitted student achievement levy; plus
5.25 	(2) operating capital aid under section 126C.10, subdivision 13b;
5.26 	(2) (3) equity aid under section 126C.10, subdivision 30; plus
5.27 	(3) (4) transition aid under section 126C.10, subdivision 33; plus
5.28 	(4) (5) shared time aid under section 126C.10, subdivision 7; plus
5.29 	(5) (6) referendum aid under section 126C.17, subdivisions 7 and 7a; plus
5.30 	(6) (7) online learning aid under section 124D.096; plus
5.31 	(7) (8) local optional aid according to section 126C.10, subdivision 2d, paragraph (d).

5.32 	EFFECTIVE DATE. This section is effective for fiscal year 2015 and later.

5.33 	Sec. 10. Minnesota Statutes 2014, section 126C.15, subdivision 2, is amended to read:
6.1 		Subd. 2.Building allocation. (a) A district or cooperative must allocate its 
6.2 	compensatory revenue to each school building in the district or cooperative where 
6.3 	the children who have generated the revenue are served unless the school district or 
6.4 	cooperative has received permission under Laws 2005, First Special Session chapter 5, 
6.5 	article 1, section 50, to allocate compensatory revenue according to student performance 
6.6 	measures developed by the school board.
6.7 	(b) Notwithstanding paragraph (a), a district or cooperative may allocate up to five 
6.8 	50 percent of the amount of compensatory revenue that the district receives to school 
6.9 	sites according to a plan adopted by the school board, and a district or cooperative may 
6.10 	allocate up to an additional five percent of its compensatory revenue for activities under 
6.11 	subdivision 1, clause (10), according to a plan adopted by the school board. The money 
6.12 	reallocated under this paragraph must be spent for the purposes listed in subdivision 1, but 
6.13 	may be spent on students in any grade, including students attending school readiness or 
6.14 	other prekindergarten programs.
6.15 	(c) For the purposes of this section and section 126C.05, subdivision 3, "building" 
6.16 	means education site as defined in section 123B.04, subdivision 1.
6.17 	(d) Notwithstanding section 123A.26, subdivision 1, compensatory revenue 
6.18 	generated by students served at a cooperative unit shall be paid to the cooperative unit.
6.19 	(e) A district or cooperative with school building openings, school building 
6.20 	closings, changes in attendance area boundaries, or other changes in programs or student 
6.21 	demographics between the prior year and the current year may reallocate compensatory 
6.22 	revenue among sites to reflect these changes. A district or cooperative must report to the 
6.23 	department any adjustments it makes according to this paragraph and the department must 
6.24 	use the adjusted compensatory revenue allocations in preparing the report required under 
6.25 	section 123B.76, subdivision 3, paragraph (c).

6.26 	EFFECTIVE DATE. This section is effective July 1, 2015.

6.27 	Sec. 11. Minnesota Statutes 2014, section 126C.17, subdivision 1, is amended to read:
6.28 		Subdivision 1.Referendum allowance. (a) A district's initial referendum allowance 
6.29 	equals the result of the following calculations:
6.30 	(1) multiply the referendum allowance the district would have received for fiscal 
6.31 	year 2015 under Minnesota Statutes 2012, section 126C.17, subdivision 1, based on 
6.32 	elections held before July 1, 2013, by the resident marginal cost pupil units the district 
6.33 	would have counted for fiscal year 2015 under Minnesota Statutes 2012, section 126C.05;
7.1 	(2) add to the result of clause (1) the adjustment the district would have received 
7.2 	under Minnesota Statutes 2012, section 127A.47, subdivision 7, paragraphs (a), (b), and 
7.3 	(c), based on elections held before July 1, 2013;
7.4 	(3) divide the result of clause (2) by the district's adjusted pupil units for fiscal 
7.5 	year 2015;
7.6 	(4) add to the result of clause (3) any additional referendum allowance per adjusted 
7.7 	pupil unit authorized by elections held between July 1, 2013, and December 31, 2013;
7.8 	(5) add to the result in clause (4) any additional referendum allowance resulting from 
7.9 	inflation adjustments approved by the voters prior to January 1, 2014;
7.10 	(6) subtract from the result of clause (5), the sum of a district's actual local optional 
7.11 	levy and local optional aid under section 126C.10, subdivision 2e, divided by the adjusted 
7.12 	pupil units of the district for that school year; and
7.13 	(7) if the result of clause (6) is less than zero, set the allowance to zero.
7.14 	(b) A district's referendum allowance equals the sum of the district's initial 
7.15 	referendum allowance, plus any new referendum allowance authorized between July 1, 
7.16 	2013, and December 31, 2013, under subdivision 9a, plus any additional referendum 
7.17 	allowance per adjusted pupil unit authorized after December 31, 2013, minus any 
7.18 	allowances expiring in fiscal year 2016 or later, provided that the allowance may not be 
7.19 	less than zero. For a district with more than one referendum allowance for fiscal year 
7.20 	2015 under Minnesota Statutes 2012, section 126C.17, the allowance calculated under 
7.21 	paragraph (a), clause (3), must be divided into components such that the same percentage 
7.22 	of the district's allowance expires at the same time as the old allowances would have 
7.23 	expired under Minnesota Statutes 2012, section 126C.17. For a district with more than one 
7.24 	allowance for fiscal year 2015 that expires in the same year, the reduction under paragraph 
7.25 	(a), clause (6), to offset local optional revenue shall be made first from any allowances that 
7.26 	do not have an inflation adjustment approved by the voters.

7.27 	EFFECTIVE DATE. This section is effective the day following final enactment for 
7.28 	fiscal year 2015 and later.

7.29 	Sec. 12. Minnesota Statutes 2014, section 126C.17, subdivision 2, is amended to read:
7.30 		Subd. 2.Referendum allowance limit. (a) Notwithstanding subdivision 1, for 
7.31 	fiscal year 2015 and later, a district's referendum allowance must not exceed the annual 
7.32 	inflationary increase as calculated under paragraph (b) times the greatest of:
7.33 	(1) $1,845;
7.34 	(2) the sum of the referendum revenue the district would have received for fiscal 
7.35 	year 2015 under Minnesota Statutes 2012, section 126C.17, subdivision 4, based on 
8.1 	elections held before July 1, 2013, and the adjustment the district would have received 
8.2 	under Minnesota Statutes 2012, section 127A.47, subdivision 7, paragraphs (a), (b), and 
8.3 	(c), based on elections held before July 1, 2013, divided by the district's adjusted pupil 
8.4 	units for fiscal year 2015;
8.5 	(3) the product of the referendum allowance limit the district would have received 
8.6 	for fiscal year 2015 under Minnesota Statutes 2012, section 126C.17, subdivision 2, and 
8.7 	the resident marginal cost pupil units the district would have received for fiscal year 2015 
8.8 	under Minnesota Statutes 2012, section 126C.05, subdivision 6, plus the adjustment the 
8.9 	district would have received under Minnesota Statutes 2012, section 127A.47, subdivision 
8.10 	7, paragraphs (a), (b), and (c), based on elections held before July 1, 2013, divided by 
8.11 	the district's adjusted pupil units for fiscal year 2015; minus $424 for a district receiving 
8.12 	local optional revenue under section 126C.10, subdivision 2d, paragraph (a), minus 
8.13 	$212 for a district receiving local optional revenue under section 126C.10, subdivision 
8.14 	2d, paragraph (b); or
8.15 	(4) for a newly reorganized district created after July 1, 2013, the referendum 
8.16 	revenue authority for each reorganizing district in the year preceding reorganization 
8.17 	divided by its adjusted pupil units for the year preceding reorganization.
8.18 	(b) For purposes of this subdivision, for fiscal year 2016 and later, "inflationary 
8.19 	increase" means one plus the percentage change in the Consumer Price Index for urban 
8.20 	consumers, as prepared by the United States Bureau of Labor Standards, for the current 
8.21 	fiscal year to fiscal year 2015. For fiscal year 2016 and later, for purposes of paragraph (a), 
8.22 	clause (3), the inflationary increase equals one-fourth of the percentage increase in the 
8.23 	formula allowance for that year compared with the formula allowance for fiscal year 2015.

8.24 	EFFECTIVE DATE. This section is effective the day following final enactment for 
8.25 	fiscal year 2015 and later.

8.26 	Sec. 13. Minnesota Statutes 2014, section 126C.48, subdivision 8, is amended to read:
8.27 		Subd. 8.Taconite payment and other reductions. (1) Reductions in levies 
8.28 	pursuant to subdivision 1 must be made prior to the reductions in clause (2).
8.29 	(2) Notwithstanding any other law to the contrary, districts that have revenue 
8.30 	pursuant to sections 298.018; 298.225; 298.24 to 298.28, except an amount distributed 
8.31 	under sections 298.26; 298.28, subdivision 4, paragraphs (c), clause (ii), and (d); 298.34 to 
8.32 	298.39; 298.391 to 298.396; 298.405; 477A.15; and any law imposing a tax upon severed 
8.33 	mineral values must reduce the levies authorized by this chapter and chapters 120B, 122A, 
8.34 	123A, 123B, 124A, 124D, 125A, and 127A, excluding the student achievement levy 
8.35 	under section 126C.13, subdivision 3b, by 95 percent of the sum of the previous year's 
9.1 	revenue specified under this clause and the amount attributable to the same production 
9.2 	year distributed to the cities and townships within the school district under section 298.28, 
9.3 	subdivision 2, paragraph (c).
9.4 	(3) The amount of any voter approved referendum, facilities down payment, and 
9.5 	debt levies shall not be reduced by more than 50 percent under this subdivision, except 
9.6 	that payments under section 298.28, subdivision 7a, may reduce the debt service levy by 
9.7 	more than 50 percent. In administering this paragraph, the commissioner shall first reduce 
9.8 	the nonvoter approved levies of a district; then, if any payments, severed mineral value 
9.9 	tax revenue or recognized revenue under paragraph (2) remains, the commissioner shall 
9.10 	reduce any voter approved referendum levies authorized under section 126C.17; then, if 
9.11 	any payments, severed mineral value tax revenue or recognized revenue under paragraph 
9.12 	(2) remains, the commissioner shall reduce any voter approved facilities down payment 
9.13 	levies authorized under section 123B.63 and then, if any payments, severed mineral value 
9.14 	tax revenue or recognized revenue under paragraph (2) remains, the commissioner shall 
9.15 	reduce any voter approved debt levies.
9.16 	(4) Before computing the reduction pursuant to this subdivision of the health and 
9.17 	safety levy authorized by sections 123B.57 and 126C.40, subdivision 5, the commissioner 
9.18 	shall ascertain from each affected school district the amount it proposes to levy under 
9.19 	each section or subdivision. The reduction shall be computed on the basis of the amount 
9.20 	so ascertained.
9.21 	(5) To the extent the levy reduction calculated under paragraph (2) exceeds the 
9.22 	limitation in paragraph (3), an amount equal to the excess must be distributed from the 
9.23 	school district's distribution under sections 298.225, 298.28, and 477A.15 in the following 
9.24 	year to the cities and townships within the school district in the proportion that their 
9.25 	taxable net tax capacity within the school district bears to the taxable net tax capacity of 
9.26 	the school district for property taxes payable in the year prior to distribution. No city or 
9.27 	township shall receive a distribution greater than its levy for taxes payable in the year prior 
9.28 	to distribution. The commissioner of revenue shall certify the distributions of cities and 
9.29 	towns under this paragraph to the county auditor by September 30 of the year preceding 
9.30 	distribution. The county auditor shall reduce the proposed and final levies of cities and 
9.31 	towns receiving distributions by the amount of their distribution. Distributions to the cities 
9.32 	and towns shall be made at the times provided under section 298.27.

9.33 	Sec. 14. [136D.41] LISTED DISTRICTS MAY FORM INTERMEDIATE 
9.34 	DISTRICT.
10.1 	Notwithstanding any other law to the contrary, two or more of the Independent School 
10.2 	Districts Nos. 108, 110, 111, and 112 of Carver County, Independent School Districts Nos. 
10.3 	716, 717, 719, 720, and 721 of Scott County, and Independent School District No. 2905 of 
10.4 	Le Sueur County, whether or not contiguous, may enter into agreements to accomplish 
10.5 	jointly and cooperatively the acquisition, betterment, construction, maintenance, and 
10.6 	operation of facilities for, and instruction in, special education, career and technical 
10.7 	education, adult basic education, and alternative education. Each school district that 
10.8 	becomes a party to such an agreement is a "participating school district" for purposes 
10.9 	of sections 136D.41 to 136D.49. The agreement may provide for the exercise of these 
10.10 	powers by a joint school board created as set forth in sections 136D.41 to 136D.49.

10.11 	Sec. 15. [136D.42] JOINT SCHOOL BOARD; MEMBERS; BYLAWS.
10.12 		Subdivision 1.Board. The agreement shall provide for a joint school board 
10.13 	representing the parties to the agreement. The agreement shall specify the name of the 
10.14 	board, the number and manner of election or appointment of its members, their terms and 
10.15 	qualifications, and other necessary and desirable provisions.
10.16 		Subd. 2.Bylaws. The board may adopt bylaws specifying the duties and powers of 
10.17 	its officers and the meeting dates of the board, and containing such other provisions as 
10.18 	may be usual and necessary for the efficient conduct of the business of the board.

10.19 	Sec. 16. [136D.43] STATUS OF JOINT SCHOOL BOARD.
10.20 		Subdivision 1.Public agency. The joint school board shall be a public agency of the 
10.21 	participating school districts and may receive and disburse federal and state funds made 
10.22 	available to it or to the participating school districts.
10.23 		Subd. 2.Liability. No participating school district shall have individual liability 
10.24 	for the debts and obligations of the board, nor shall any individual serving as a member 
10.25 	of the board have such liability.
10.26 		Subd. 3.Tax exempt. Any properties, real or personal, acquired, owned, leased, 
10.27 	controlled, used, or occupied by the board for its purposes shall be exempt from taxation 
10.28 	by the state or any of its political subdivisions.

10.29 	Sec. 17. [136D.44] JOINT BOARD HAS ALL POWERS OF MEMBER 
10.30 	DISTRICTS.
10.31 	To effectuate the agreement, the joint school board shall have all the powers granted 
10.32 	by law to any or all of the participating school districts.

11.1 	Sec. 18. [136D.45] AGREEMENT APPROVAL; NOTICE; PETITION; 
11.2 	REFERENDUM.
11.3 		Subdivision 1.Resolution. The agreement shall, before it becomes effective, be 
11.4 	approved by a resolution adopted by the school board of each school district named therein.
11.5 		Subd. 2.When effective. Each resolution shall be published once in a newspaper 
11.6 	published in the district, if there is one, or in a newspaper having general circulation in the 
11.7 	district, and shall become effective 30 days after publication, unless within the 30-day 
11.8 	period a petition for referendum on the resolution is filed with the school board, signed by 
11.9 	qualified voters of the school district equal in number to five percent of the number of 
11.10 	voters voting at the last annual school district election. In such case, the resolution shall 
11.11 	not become effective until approved by a majority of the voters voting thereon at a regular 
11.12 	or special election. The agreement may provide conditions under which it shall become 
11.13 	effective even though it may not be approved in all districts.

11.14 	Sec. 19. [136D.46] DISTRICT CONTRIBUTIONS, DISBURSEMENTS, 
11.15 	CONTRACTS.
11.16 	The participating school districts may contribute funds to the board. Disbursements 
11.17 	shall be made by the board in accordance with sections 123B.14, 123B.143, and 123B.147. 
11.18 	The board shall be subject to section 123B.52, subdivisions 1, 2, 3, and 5.

11.19 	Sec. 20. [136D.47] TERM OF AGREEMENT.
11.20 	The agreement shall state the term of its duration and may provide for the method of 
11.21 	termination and distribution of assets after payment of all liabilities of the joint school 
11.22 	board.

11.23 	Sec. 21. [136D.48] NON-POSTSECONDARY PROGRAMS; LICENSED 
11.24 	DIRECTION.
11.25 	The board may also provide any other educational programs or other services 
11.26 	requested by a participating district. However, these programs and services may not be 
11.27 	postsecondary programs or services. Academic offerings shall be provided only under the 
11.28 	direction of properly licensed academic supervisory personnel.

11.29 	Sec. 22. [136D.49] OTHER MEMBERSHIP AND POWERS.
11.30 	In addition to the districts listed in sections 136D.21, 136D.41, 136D.71, and 
11.31 	136D.81, the agreement of an intermediate school district established under this chapter 
11.32 	may provide for the membership of other school districts and cities, counties, and other 
12.1 	governmental units as defined in section 471.59. In addition to the powers listed in 
12.2 	sections 136D.25, 136D.73, and 136D.84, an intermediate school board may provide the 
12.3 	services defined in section 123A.21, subdivisions 7 and 8.

12.4 	Sec. 23. COMPENSATORY REVENUE; INTERMEDIATE DISTRICT.
 12.5 	For the 2015-2016 school year only, for an intermediate district formed under 
12.6 	Minnesota Statutes, section 136D.41, the department must calculate compensatory 
12.7 	revenue based on the October 1, 2014, enrollment counts for the South Metro Educational 
12.8 	Cooperative.

12.9 	Sec. 24. SCHOOL DISTRICT LEVY ADJUSTMENTS.
 12.10 		Subdivision 1.Tax rate adjustment. The commissioner of education must adjust 
12.11 	each school district tax rate established under Minnesota Statutes, chapters 120B to 127A, 
12.12 	by multiplying the rate by the ratio of the statewide total tax capacity for assessment year 
12.13 	2014, as it existed prior to the passage of Regular Session 2015, House File No. 848, or 
12.14 	a similarly styled bill passed in a special session to the statewide total tax capacity for 
12.15 	assessment year 2014.
12.16 		Subd. 2.Equalizing factors. The commissioner of education must adjust each 
12.17 	school district equalizing factor established under Minnesota Statutes, chapters 120B to 
12.18 	127A, by dividing the equalizing factor by the ratio of the statewide total tax capacity for 
12.19 	assessment year 2014, as it existed prior to the passage of Regular Session 2015, House 
12.20 	File No. 848, or a similarly styled bill passed in a special session, to the statewide total tax 
12.21 	capacity for assessment year 2014.

12.22 	Sec. 25. APPROPRIATIONS.
 12.23 		Subdivision 1.Department of Education. The sums indicated in this section are 
12.24 	appropriated from the general fund to the Department of Education for the fiscal years 
12.25 	designated.
12.26 		Subd. 2.General education aid. For general education aid under Minnesota 
12.27 	Statutes, section 126C.13, subdivision 4:

12.28		$ 
	6,595,541,000
	.....
	2016
	
12.29		$
	6,723,884,000
	.....
	2017
	
12.30 	The 2016 appropriation includes $622,908,000 for 2015 and $5,972,634,000 for 
12.31 	2016.
13.1 	The 2017 appropriation includes $635,618,000 for 2016 and $6,088,266,000 for 
13.2 	2017.
13.3 		Subd. 3.Enrollment options transportation. For transportation of pupils attending 
13.4 	postsecondary institutions under Minnesota Statutes, section 124D.09, or for transportation 
13.5 	of pupils attending nonresident districts under Minnesota Statutes, section 124D.03:

13.6		$
	39,000
	.....
	2016
	
13.7		$
	42,000
	.....
	2017
	
13.8 		Subd. 4.Abatement revenue. For abatement aid under Minnesota Statutes, section 
13.9 	127A.49:

13.10		$
	2,740,000
	.....
	2016
	
13.11		$
	2,932,000
	.....
	2017
	
13.12 	The 2016 appropriation includes $278,000 for 2015 and $2,462,000 for 2016.
13.13 	The 2017 appropriation includes $273,000 for 2016 and $2,659,000 for 2017.
13.14 		Subd. 5.Consolidation transition. For districts consolidating under Minnesota 
13.15 	Statutes, section 123A.485:

13.16		$
	292,000
	.....
	2016
	
13.17		$
	165,000
	.....
	2017
	
13.18 	The 2016 appropriation includes $22,000 for 2015 and $270,000 for 2016.
13.19 	The 2017 appropriation includes $30,000 for 2016 and $135,000 for 2017.
13.20 		Subd. 6.Nonpublic pupil education aid. For nonpublic pupil education aid under 
13.21 	Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:

13.22		$
	16,756,000
	.....
	2016
	
13.23		$
	17,309,000
	.....
	2017
	
13.24 	The 2016 appropriation includes $1,575,000 for 2015 and $15,181,000 for 2016.
13.25 	The 2017 appropriation includes $1,686,000 for 2016 and $15,623,000 for 2017.
13.26 		Subd. 7.Nonpublic pupil transportation. For nonpublic pupil transportation aid 
13.27 	under Minnesota Statutes, section 123B.92, subdivision 9:

13.28		$
	17,322,000
	.....
	2016
	
13.29		$
	17,228,000
	.....
	2017
	
13.30 	The 2016 appropriation includes $1,816,000 for 2015 and $15,506,000 for 2016.
13.31 	The 2017 appropriation includes $1,722,000 for 2016 and $15,506,000 for 2017.
14.1 		Subd. 8.One-room schoolhouse. For a grant to Independent School District No. 
14.2 	690, Warroad, to operate the Angle Inlet School:

14.3		$
	65,000
	.....
	2016
	
14.4		$
	65,000
	.....
	2017
	
14.5 		Subd. 9.Compensatory revenue pilot project. For grants for participation in the 
14.6 	compensatory revenue pilot program under Laws 2005, First Special Session chapter 5, 
14.7 	article 1, section 50, as amended by Laws 2007, chapter 146, article 1, section 21:

14.8		$
	2,325,000
	.....
	2016
	
14.9		$
	2,325,000
	.....
	2017
	
14.10 	Of this amount, $1,500,000 in each year is for a grant to Independent School District 
14.11 	No. 11, Anoka-Hennepin; $75,000 in each year is for a grant to Independent School 
14.12 	District No. 286, Brooklyn Center; $210,000 in each year is for a grant to Independent 
14.13 	School District No. 279, Osseo; $150,000 in each year is for a grant to Independent 
14.14 	School District No. 281, Robbinsdale; $160,000 in each year is for a grant to Independent 
14.15 	School District No. 535, Rochester; $65,000 in each year is for a grant to Independent 
14.16 	School District No. 833, South Washington; and $150,000 in each year is for a grant to 
14.17 	Independent School District No. 241, Albert Lea.
14.18 	If a grant to a specific school district is not awarded, the commissioner may increase 
14.19 	the aid amounts to any of the remaining participating school districts.
14.20 		Subd. 10.Career and technical aid. For career and technical aid under Minnesota 
14.21 	Statutes, section 124D.4531, subdivision 1b:

14.22		$
	5,420,000
	.....
	2016
	
14.23		$
	4,405,000
	.....
	2017
	
14.24 	The 2016 appropriation includes $574,000 for 2015 and $4,846,000 for 2016.
14.25 	The 2017 appropriation includes $538,000 for 2016 and $3,867,000 for 2017.

14.26 	Sec. 26.  REPEALER.
 14.27 	(a) Minnesota Statutes 2014, sections 126C.12, subdivision 6; and 126C.41, 
14.28 	subdivision 1, are repealed.
14.29 	(b) Minnesota Statutes 2014, section 126C.13, subdivisions 3a, 3b, and 3c, are 
14.30 	repealed for taxes payable in 2018.

15.1 	ARTICLE 2
15.2 	EDUCATION EXCELLENCE

15.3 	Section 1. Minnesota Statutes 2014, section 13.32, subdivision 5, is amended to read:
15.4 		Subd. 5.Directory information. Information designated as directory information 
15.5 	pursuant to the provisions of United States Code, title 20, section 1232g and Code of 
15.6 	Federal Regulations, title 34, section 99.37 which are in effect on January 1, 20073, 
15.7 	2012, is public data on individuals, to the extent required under federal law. When 
15.8 	conducting the directory information designation and notice process required by federal 
15.9 	law, an educational agency or institution shall give parents and students notice of the 
15.10 	right to refuse to let the agency or institution designate any or all data about the student 
15.11 	as directory information. This notice may be given by any means reasonably likely to 
15.12 	inform the parents and students of the right.

15.13 	EFFECTIVE DATE. This section is effective the day following final enactment.

15.14 	Sec. 2. Minnesota Statutes 2014, section 120B.022, subdivision 1a, is amended to read:
15.15 		Subd. 1a.Foreign language and culture; proficiency certificates. (a) World 
15.16 	languages teachers and other school staff should develop and implement world languages 
15.17 	programs that acknowledge and reinforce the language proficiency and cultural awareness 
15.18 	that non-English language speakers already possess, and encourage students' proficiency 
15.19 	in multiple world languages. Programs under this section must encompass indigenous 
15.20 	American Indian languages and cultures, among other world languages and cultures. The 
15.21 	department shall consult with postsecondary institutions in developing related professional 
15.22 	development opportunities for purposes of this section.
15.23 	(b) Any Minnesota public, charter, or nonpublic school may award Minnesota 
15.24 	World Language Proficiency Certificates or Minnesota World Language Proficiency High 
15.25 	Achievement Certificates, consistent with this subdivision.
15.26 	(c) The Minnesota World Language Proficiency Certificate recognizes students who 
15.27 	demonstrate listening, speaking, reading, and writing language skills at the American 
15.28 	Council on the Teaching of Foreign Languages' Intermediate-Low level on a valid and 
15.29 	reliable assessment tool. For languages listed as Category 3 by the United States Foreign 
15.30 	Service Institute or Category 4 by the United States Defense Language Institute, the 
15.31 	standard is Intermediate-Low for listening and speaking and Novice-High for reading 
15.32 	and writing.
15.33 	(d) The Minnesota World Language Proficiency High Achievement Certificate 
15.34 	recognizes students who demonstrate listening, speaking, reading, and writing language 
16.1 	skills at the American Council on the Teaching of Foreign Languages' Pre-Advanced level 
16.2 	for K-12 learners on a valid and reliable assessment tool. For languages listed as Category 
16.3 	3 by the United States Foreign Service Institute or Category 4 by the United States 
16.4 	Defense Language Institute, the standard is Pre-Advanced for listening and speaking and 
16.5 	Intermediate-Mid for reading and writing.

16.6 	Sec. 3. Minnesota Statutes 2014, section 120B.022, subdivision 1b, is amended to read:
16.7 		Subd. 1b.State bilingual and multilingual seals. (a) Consistent with efforts to 
16.8 	strive for the world's best workforce under sections 120B.11 and 124D.10, subdivision 8, 
16.9 	paragraph (u), and close the academic achievement and opportunity gap under sections 
16.10 	124D.861 and 124D.862, voluntary state bilingual and multilingual seals are established 
16.11 	to recognize high school graduates students who demonstrate level 3 an advanced low 
16.12 	level or an intermediate high level of functional native proficiency in listening, speaking, 
16.13 	reading, and writing on either the Foreign Services Institute language assessments aligned 
16.14 	with American Council on the Teaching of Foreign Languages' (ACTFL) proficiency 
16.15 	tests guidelines or on equivalent valid and reliable assessments in one or more languages 
16.16 	in addition to English. American Sign Language is a language other than English for 
16.17 	purposes of this subdivision and a world language for purposes of subdivision 1a.
16.18 	(b) In addition to paragraph (a), to be eligible to receive a seal:
16.19 	(1) students must satisfactorily complete all required English language arts credits; 
16.20 	and
16.21 	(2) students whose primary language is other than English must demonstrate mastery 
16.22 	of Minnesota's English language proficiency standards.
16.23 	(c) Consistent with this subdivision, a high school graduatestudent who 
16.24 	demonstrates an intermediate high ACTFL level of functional native proficiency in one 
16.25 	language in addition to English is eligible to receive the state bilingual gold seal. A high 
16.26 	school graduatestudent who demonstrates an intermediate high ACTFL level of functional 
16.27 	native proficiency in more than one language in addition to English is eligible to receive 
16.28 	the state multilingual gold seal. A high school student who demonstrates an advanced low 
16.29 	ACTFL level of functional proficiency in one language in addition to English is eligible 
16.30 	to receive the state bilingual platinum seal. A high school student who demonstrates 
16.31 	an advanced-low ACTFL level of functional proficiency in more than one language in 
16.32 	addition to English is eligible to receive the state multilingual platinum seal.
16.33 	(d) School districts and charter schools, in consultation with regional centers of 
16.34 	excellence under section 120B.115, must may give students periodic opportunities to 
16.35 	demonstrate their level of proficiency in listening, speaking, reading, and writing in a 
17.1 	language in addition to English. Where valid and reliable assessments are unavailable, 
17.2 	a school district or charter school may rely on a licensed foreign language immersion 
17.3 	teacher or a nonlicensed community expert under section 122A.25 evaluators trained in 
17.4 	assessing under ACTFL proficiency guidelines to assess a student's level of foreign, 
17.5 	heritage, or indigenous language proficiency under this section. School districts and 
17.6 	charter schools must maintain appropriate records to identify high school graduates 
17.7 	students eligible to receive the state bilingual or multilingual seal gold and platinum seals. 
17.8 	The school district or charter school must affix the appropriate seal to the transcript of 
17.9 	each high school graduatestudent who meets the requirements of this subdivision and 
17.10 	may affix the seal to the student's diploma. A school district or charter school must not 
17.11 	charge the high school graduatestudent a fee for this seal.
17.12 	(e) A school district or charter school may award elective course credits in world 
17.13 	languages to a student who demonstrates the requisite proficiency in a language other 
17.14 	than English under this section.
17.15 	(f) A school district or charter school may award community service credit to a 
17.16 	student who demonstrates level 3 an intermediate high or advanced low ACTFL level of 
17.17 	functional native proficiency in listening, speaking, reading, and writing in a language 
17.18 	other than English and who participates in community service activities that are integrated 
17.19 	into the curriculum, involve the participation of teachers, and support biliteracy in the 
17.20 	school or local community.
17.21 	(g) The commissioner must develop a Web page for the electronic delivery of these 
17.22 	seals. The commissioner must list on the Web page those assessments that are equivalent 
17.23 	to the Foreign Services Institute language aligned to ACTFL proficiency tests guidelines.
17.24 	(h) By August 1, 2015, the colleges and universities of the Minnesota State Colleges 
17.25 	and Universities system must award foreign language credits to a student who receives a 
17.26 	state bilingual seal or a state multilingual seal under this subdivision and mayestablish 
17.27 	criteria to translate the seals into college credits based on the world language course 
17.28 	equivalencies identified by the Minnesota State Colleges and Universities faculty and 
17.29 	staff and, upon request from an enrolled student, the Minnesota State Colleges and 
17.30 	Universities may award foreign language credits to a student who receives a Minnesota 
17.31 	World Language Proficiency Certificate or a Minnesota World Language Proficiency 
17.32 	High Achievement Certificate under subdivision 1a. A student who demonstrated the 
17.33 	requisite level of language proficiency in grade 10, 11, or 12 to receive a seal or certificate 
17.34 	and is enrolled in a Minnesota State Colleges and Universities institution must request 
17.35 	college credits for the student's seal or proficiency certificate within three academic years 
18.1 	after graduating from high school. The University of Minnesota is encouraged to award 
18.2 	students foreign language academic credits consistent with this paragraph.

18.3 	EFFECTIVE DATE. This section is effective the day following final enactment and 
18.4 	applies beginning with students graduating in the 2014-2015 school year who demonstrate 
18.5 	the requisite language proficiency in grade 10, 11, or 12.

18.6 	Sec. 4. Minnesota Statutes 2014, section 120B.12, subdivision 4a, is amended to read:
18.7 		Subd. 4a.Local literacy plan. (a) Consistent with this section, a school district 
18.8 	must adopt a local literacy plan to have every child reading at or above grade level no 
18.9 	later than the end of grade 3, including English learners. The plan must be consistent with 
18.10 	section 122A.06, subdivision 4, and include the following:
18.11 	(1) a process to assess students' level of reading proficiency, and data to support the 
18.12 	effectiveness of an assessment used to screen and identify a student's level of reading 
18.13 	proficiency;
18.14 	(2) a process to notify and involve parents, intervene with;
18.15 	(3) a description of how schools in the district will determine the proper reading 
18.16 	intervention strategy for a student and the process for intensifying or modifying the 
18.17 	reading strategy in order to obtain measurable reading progress;
18.18 	(4) evidence-based intervention methods for students who are not reading at or 
18.19 	above grade level, and identify and meet and progress monitoring to provide information 
18.20 	on the effectiveness of the intervention; and
18.21 	(5) identification of staff development needs, including a program to meet those 
18.22 	needs.
18.23 	(b) The district must post its literacy plan on the official school district Web site.

18.24 	EFFECTIVE DATE. This section is effective for fiscal year 2016 and later.

18.25 	Sec. 5. Minnesota Statutes 2014, section 120B.13, subdivision 4, is amended to read:
18.26 		Subd. 4.Rigorous course taking information; AP, IB, and PSEO. The 
18.27 	commissioner shall submit the following information on rigorous course taking, 
18.28 	disaggregated by student subgroup, school district, and postsecondary institution, to the 
18.29 	education committees of the legislature each year by February 1:
18.30 	(1) the number of pupils enrolled in postsecondary enrollment options under section 
18.31 	124D.09, including concurrent enrollment, career and technical education courses offered 
18.32 	as a concurrent enrollment course, advanced placement, and international baccalaureate 
18.33 	courses in each school district;
19.1 	(2) the number of teachers in each district attending training programs offered by the 
19.2 	college board, International Baccalaureate North America, Inc., or Minnesota concurrent 
19.3 	enrollment programs;
19.4 	(3) the number of teachers in each district participating in support programs;
19.5 	(4) recent trends in the field of postsecondary enrollment options under section 
19.6 	124D.09, including concurrent enrollment, advanced placement, and international 
19.7 	baccalaureate programs;
19.8 	(5) expenditures for each category in this section and under sections 124D.09 and 
19.9 	124D.091, including career and technical education courses offered as a concurrent 
19.10 	enrollment course; and
19.11 	(6) other recommendations for the state program or the postsecondary enrollment 
19.12 	options under section 124D.09, including concurrent enrollment.

19.13 	Sec. 6. Minnesota Statutes 2014, section 120B.30, subdivision 3, is amended to read:
19.14 		Subd. 3.Reporting. The commissioner shall report test results publicly and to 
19.15 	stakeholders, including the performance achievement levels developed from students' 
19.16 	unweighted test scores in each tested subject and a listing of demographic factors that 
19.17 	strongly correlate with student performance, including student homelessness, as data are 
19.18 	available, among other factors. The test results must not include personally identifiable 
19.19 	information as defined in Code of Federal Regulations, title 34, section 99.3. The 
19.20 	commissioner shall also report data that compares performance results among school 
19.21 	sites, school districts, Minnesota and other states, and Minnesota and other nations. The 
19.22 	commissioner shall disseminate to schools and school districts a more comprehensive 
19.23 	report containing testing information that meets local needs for evaluating instruction and 
19.24 	curriculum. The commissioner shall disseminate to charter school authorizers a more 
19.25 	comprehensive report containing testing information that contains anonymized data where 
19.26 	cell count data are sufficient to protect student identity and that meets the authorizer's 
19.27 	needs in fulfilling its obligations under section 124D.10.

19.28 	EFFECTIVE DATE. This section is effective the day following final enactment 
19.29 	and applies to school year reports for the 2015-2016 school year and later.

19.30 	Sec. 7. Minnesota Statutes 2014, section 120B.31, subdivision 4, is amended to read:
19.31 		Subd. 4. Student performance data. In developing policies and assessment 
19.32 	processes to hold schools and districts accountable for high levels of academic standards 
19.33 	under section 120B.021, the commissioner shall aggregate student data over time to 
19.34 	report student performance and growth levels measured at the school, school district, and 
20.1 	statewide level. When collecting and reporting the performance data, the commissioner 
20.2 	shall organize and report the data so that state and local policy makers can understand the 
20.3 	educational implications of changes in districts' demographic profiles over time, including 
20.4 	student homelessness, as data are available, among other demographic factors. Any report 
20.5 	the commissioner disseminates containing summary data on student performance must 
20.6 	integrate student performance and the demographic factors that strongly correlate with 
20.7 	that performance.

20.8 	EFFECTIVE DATE. This section is effective the day following final enactment 
20.9 	and applies to school year reports for the 2015-2016 school year and later.

20.10 	Sec. 8. Minnesota Statutes 2014, section 120B.36, subdivision 1, is amended to read:
20.11 		Subdivision 1.School performance reports. (a) The commissioner shall report 
20.12 	student academic performance under section 120B.35, subdivision 2; the percentages of 
20.13 	students showing low, medium, and high growth under section 120B.35, subdivision 
20.14 	3, paragraph (b); school safety and student engagement and connection under section 
20.15 	120B.35, subdivision 3, paragraph (d); rigorous coursework under section 120B.35, 
20.16 	subdivision 3, paragraph (c); the percentage of students under section 120B.35, 
20.17 	subdivision 3, paragraph (b), clause (2), whose progress and performance levels are 
20.18 	meeting career and college readiness benchmarks under sections 120B.30, subdivision 1, 
20.19 	and 120B.35, subdivision 3, paragraph (e); longitudinal data on the progress of eligible 
20.20 	districts in reducing disparities in students' academic achievement and realizing racial 
20.21 	and economic integration under section 124D.861; the acquisition of English, and 
20.22 	where practicable, native language academic literacy, including oral academic language, 
20.23 	and the academic progress of English learners under section 124D.59, subdivisions 
20.24 	2 and 2a; two separate student-to-teacher ratios that clearly indicate the definition of 
20.25 	teacher consistent with sections 122A.06 and 122A.15 for purposes of determining these 
20.26 	ratios; staff characteristics excluding salaries; student enrollment demographics; student 
20.27 	homelessness and district mobility; and extracurricular activities. The report also must 
20.28 	indicate a school's adequate yearly progress status under applicable federal law, and must 
20.29 	not set any designations applicable to high- and low-performing schools due solely to 
20.30 	adequate yearly progress status.
20.31 	(b) The commissioner shall develop, annually update, and post on the department 
20.32 	Web site school performance reports.
20.33 	(c) The commissioner must make available performance reports by the beginning 
20.34 	of each school year.
21.1 	(d) A school or district may appeal its adequate yearly progress status in writing to 
21.2 	the commissioner within 30 days of receiving the notice of its status. The commissioner's 
21.3 	decision to uphold or deny an appeal is final.
21.4 	(e) School performance data are nonpublic data under section 13.02, subdivision 9, 
21.5 	until the commissioner publicly releases the data. The commissioner shall annually post 
21.6 	school performance reports to the department's public Web site no later than September 1, 
21.7 	except that in years when the reports reflect new performance standards, the commissioner 
21.8 	shall post the school performance reports no later than October 1.

21.9 	EFFECTIVE DATE. This section is effective the day following final enactment 
21.10 	and applies to school year reports for the 2015-2016 school year and later.

21.11 	Sec. 9. Minnesota Statutes 2014, section 122A.09, subdivision 4, is amended to read:
21.12 		Subd. 4.License and rules. (a) The board must adopt rules to license public school 
21.13 	teachers and interns subject to chapter 14.
21.14 	(b) The board must adopt rules requiring a personrequire all candidates for teacher 
21.15 	licensure to passdemonstrate a passing score on a board-adopted skills examination 
21.16 	in reading, writing, and mathematics or attain either a composite score composed of 
21.17 	the average of the scores in English and writing, reading, and mathematics on the ACT 
21.18 	Plus Writing recommended by the board, or an equivalent composite score composed 
21.19 	of the average of the scores in critical reading, mathematics, and writing on the SAT 
21.20 	recommended by the board, as a requirement for initial teacher licensure, except that the 
21.21 	board may issue up to twofour temporary, one-year teaching licenses to an otherwise 
21.22 	qualified candidate who has not yet passed the board-adopted skills exam or attained the 
21.23 	requisite composite score on the ACT Plus Writing or SAT. Such rulesThe board must 
21.24 	require college and universities offering a board-approved teacher preparation program 
21.25 	to provide remedial assistance to persons who did not achieve a qualifying score on the 
21.26 	board-adopted skills examination or attain the requisite composite score on the ACT Plus 
21.27 	Writing or SAT, including those for whom English is a second language. The requirement 
21.28 	to pass a board-adopted reading, writing, and mathematics skills examination or attain the 
21.29 	requisite composite score on the ACT Plus Writing or SAT does not apply to nonnative 
21.30 	English speakers, as verified by qualified Minnesota school district personnel or Minnesota 
21.31 	higher education faculty, who, after meeting the content and pedagogy requirements 
21.32 	under this subdivision, apply for a teaching license to provide direct instruction in their 
21.33 	native language or world language instruction under section 120B.022, subdivision 1. A 
21.34 	teacher candidate's official ACT Plus Writing or SAT composite score report to the board 
21.35 	must not be more than ten years old at the time of licensure The Board of Teaching and 
22.1 	the entity administering the content, pedagogy, and skills examinations must allow any 
22.2 	individual who produces documentation of a disability in the form of an evaluation, 504 
22.3 	plan, or individual education program (IEP) to receive the same testing accommodations 
22.4 	on the content, pedagogy, and skills examinations that the applicant received during their 
22.5 	secondary or postsecondary education.
22.6 	(c) The board must adopt rules to approve teacher preparation programs. The board, 
22.7 	upon the request of a postsecondary student preparing for teacher licensure or a licensed 
22.8 	graduate of a teacher preparation program, shall assist in resolving a dispute between the 
22.9 	person and a postsecondary institution providing a teacher preparation program when the 
22.10 	dispute involves an institution's recommendation for licensure affecting the person or the 
22.11 	person's credentials. At the board's discretion, assistance may include the application 
22.12 	of chapter 14.
22.13 	(d) The board must provide the leadership and adopt rules for the redesign of teacher 
22.14 	education programs to implement a research based, results-oriented curriculum that 
22.15 	focuses on the skills teachers need in order to be effective. Among other components, 
22.16 	teacher preparation programs are encouraged to provide a school-year-long student 
22.17 	teaching program that combines clinical opportunities with academic coursework and 
22.18 	in-depth student teaching experiences to offer students ongoing mentorship, coaching, 
22.19 	and assessment, help to prepare a professional development plan, and structured 
22.20 	learning experiences. The board shall implement new systems of teacher preparation 
22.21 	program evaluation to assure program effectiveness based on proficiency of graduates in 
22.22 	demonstrating attainment of program outcomes. Teacher preparation programs including 
22.23 	alternative teacher preparation programs under section 122A.245, among other programs, 
22.24 	must include a content-specific, board-approved, performance-based assessment that 
22.25 	measures teacher candidates in three areas: planning for instruction and assessment; 
22.26 	engaging students and supporting learning; and assessing student learning. The board's 
22.27 	redesign rules must include creating flexible, specialized teaching licenses, credentials, 
22.28 	and other endorsement forms to increase students' participation in language immersion 
22.29 	programs, world language instruction, career development opportunities, work-based 
22.30 	learning, early college courses and careers, career and technical programs, Montessori 
22.31 	schools, and project and place-based learning, among other career and college ready 
22.32 	learning offerings.
22.33 	(e) The board must adopt rules requiring candidates for initial licenses to pass an 
22.34 	examination of general pedagogical knowledge and examinations of licensure-specific 
22.35 	teaching skills. The rules shall be effective by September 1, 2001. The rules under this 
22.36 	paragraph also must require candidates for initial licenses to teach prekindergarten or 
23.1 	elementary students to pass, as part of the examination of licensure-specific teaching 
23.2 	skills, test items assessing the candidates' knowledge, skill, and ability in comprehensive, 
23.3 	scientifically based reading instruction under section 122A.06, subdivision 4, and their 
23.4 	knowledge and understanding of the foundations of reading development, the development 
23.5 	of reading comprehension, and reading assessment and instruction, and their ability to 
23.6 	integrate that knowledge and understanding.
23.7 	(f) The board must adopt rules requiring teacher educators to work directly with 
23.8 	elementary or secondary school teachers in elementary or secondary schools to obtain 
23.9 	periodic exposure to the elementary or secondary teaching environment.
23.10 	(g) The board must grant licenses to interns and to candidates for initial licenses 
23.11 	based on appropriate professional competencies that are aligned with the board's licensing 
23.12 	system and students' diverse learning needs. All teacher candidates must have preparation 
23.13 	in English language development and content instruction for English learners in order to be 
23.14 	able to effectively instruct the English learners in their classrooms. The board must include 
23.15 	these licenses in a statewide differentiated licensing system that creates new leadership 
23.16 	roles for successful experienced teachers premised on a collaborative professional culture 
23.17 	dedicated to meeting students' diverse learning needs in the 21st century, recognizes the 
23.18 	importance of cultural and linguistic competencies, including the ability to teach and 
23.19 	communicate in culturally competent and aware ways, and formalizes mentoring and 
23.20 	induction for newly licensed teachers provided through a teacher support framework.
23.21 	(h) The board must design and implement an assessment system which requires a 
23.22 	candidate for an initial license and first continuing license to demonstrate the abilities 
23.23 	necessary to perform selected, representative teaching tasks at appropriate levels.
23.24 	(i) The board must receive recommendations from local committees as established 
23.25 	by the board for the renewal of teaching licenses. The board must require licensed teachers 
23.26 	who are renewing a continuing license to include in the renewal requirements further 
23.27 	preparation in English language development and specially designed content instruction 
23.28 	in English for English learners.
23.29 	(j) The board must grant life licenses to those who qualify according to requirements 
23.30 	established by the board, and suspend or revoke licenses pursuant to sections 122A.20 and 
23.31 	214.10. The board must not establish any expiration date for application for life licenses.
23.32 	(k) The board must adopt rules that require all licensed teachers who are renewing 
23.33 	their continuing license to include in their renewal requirements further preparation in 
23.34 	the areas of using positive behavior interventions and in accommodating, modifying, and 
23.35 	adapting curricula, materials, and strategies to appropriately meet the needs of individual 
23.36 	students and ensure adequate progress toward the state's graduation rule.
24.1 	(l) In adopting rules to license public school teachers who provide health-related 
24.2 	services for disabled children, the board shall adopt rules consistent with license or 
24.3 	registration requirements of the commissioner of health and the health-related boards who 
24.4 	license personnel who perform similar services outside of the school.
24.5 	(m) The board must adopt rules that require all licensed teachers who are renewing 
24.6 	their continuing license to include in their renewal requirements further reading 
24.7 	preparation, consistent with section 122A.06, subdivision 4. The rules do not take effect 
24.8 	until they are approved by law. Teachers who do not provide direct instruction including, at 
24.9 	least, counselors, school psychologists, school nurses, school social workers, audiovisual 
24.10 	directors and coordinators, and recreation personnel are exempt from this section.
24.11 	(n) The board must adopt rules that require all licensed teachers who are renewing 
24.12 	their continuing license to include in their renewal requirements further preparation, 
24.13 	first, in understanding the key warning signs of early-onset mental illness in children 
24.14 	and adolescents and then, during subsequent licensure renewal periods, preparation may 
24.15 	include providing a more in-depth understanding of students' mental illness trauma, 
24.16 	accommodations for students' mental illness, parents' role in addressing students' mental 
24.17 	illness, Fetal Alcohol Spectrum Disorders, autism, the requirements of section 125A.0942 
24.18 	governing restrictive procedures, and de-escalation methods, among other similar topics.
24.19 	(o) The board must adopt rules by January 1, 2016, to license applicants under 
24.20 	sections 122A.23 and 122A.245. The rules must permit applicants to demonstrate their 
24.21 	qualifications through the board's recognition of a teaching license from another state 
24.22 	in a similar content field, completion of a state-approved teacher preparation program, 
24.23 	teaching experience as the teacher of record in a similar licensure field, depth of content 
24.24 	knowledge, depth of content methods or general pedagogy, subject-specific professional 
24.25 	development and contribution to the field, or classroom performance as determined by 
24.26 	documented student growth on normed assessments or documented effectiveness on 
24.27 	evaluations. The rules must adopt criteria for determining a "similar content field" and 
24.28 	"similar licensure area."

24.29 	EFFECTIVE DATE. This section is effective the day following final enactment 
24.30 	and applies to all candidates seeking initial teacher licensure, including those holding a 
24.31 	temporary, one-year teaching license.

24.32 	Sec. 10. Minnesota Statutes 2014, section 122A.09, is amended by adding a 
24.33 	subdivision to read:
24.34 		Subd. 4a.Teacher and administrator preparation and performance data; 
24.35 	report. (a) The Board of Teaching and the Board of School Administrators, in cooperation 
25.1 	with the Minnesota Association of Colleges of Teacher Education and Minnesota colleges 
25.2 	and universities offering board-adopted teacher or administrator preparation programs, 
25.3 	annually must collect and report summary data on teacher and administrator preparation 
25.4 	and performance outcomes, consistent with this subdivision. The Board of Teaching 
25.5 	and the Board of School Administrators annually by June 1 must update and post the 
25.6 	reported summary preparation and performance data on teachers and administrators from 
25.7 	the preceding school years on a Web site hosted jointly by the boards.
25.8 	(b) Publicly reported summary data on teacher preparation programs must include: 
25.9 	student entrance requirements for each Board of Teaching-approved program, including 
25.10 	grade point average for enrolling students in the preceding year; the average board-adopted 
25.11 	skills examination or ACT or SAT scores of students entering the program in the preceding 
25.12 	year; summary data on faculty qualifications, including at least the content areas of faculty 
25.13 	undergraduate and graduate degrees and their years of experience either as kindergarten 
25.14 	through grade 12 classroom teachers or school administrators; the average time resident 
25.15 	and nonresident program graduates in the preceding year needed to complete the program; 
25.16 	the current number and percent of students by program who graduated, received a standard 
25.17 	Minnesota teaching license, and were hired to teach full time in their licensure field in a 
25.18 	Minnesota district or school in the preceding year; the number of content area credits and 
25.19 	other credits by undergraduate program that students in the preceding school year needed 
25.20 	to complete to graduate; students' pass rates on skills and subject matter exams required for 
25.21 	graduation in each program and licensure area in the preceding school year; survey results 
25.22 	measuring student and graduate satisfaction with the program in the preceding school 
25.23 	year; a standard measure of the satisfaction of school principals or supervising teachers 
25.24 	with the student teachers assigned to a school or supervising teacher; and information 
25.25 	under paragraphs (d) and (e). Program reporting must be consistent with subdivision 11.
25.26 	(c) Publicly reported summary data on administrator preparation programs 
25.27 	approved by the Board of School Administrators must include: summary data on faculty 
25.28 	qualifications, including at least the content areas of faculty undergraduate and graduate 
25.29 	degrees and their years of experience either as kindergarten through grade 12 classroom 
25.30 	teachers or school administrators; the average time program graduates in the preceding 
25.31 	year needed to complete the program; the current number and percent of students who 
25.32 	graduated, received a standard Minnesota administrator license, and were employed as an 
25.33 	administrator in a Minnesota school district or school in the preceding year; the number of 
25.34 	credits by graduate program that students in the preceding school year needed to complete 
25.35 	to graduate; survey results measuring student, graduate, and employer satisfaction with 
26.1 	the program in the preceding school year; and information under paragraphs (f) and (g). 
26.2 	Program reporting must be consistent with section 122A.14, subdivision 10.
26.3 	(d) School districts annually by October 1 must report to the Board of Teaching 
26.4 	the following information for all teachers who finished the probationary period and 
26.5 	accepted a continuing contract position with the district from September 1 of the previous 
26.6 	year through August 31 of the current year: the effectiveness category or rating of the 
26.7 	teacher on the summative evaluation under section 122A.40, subdivision 8, or 122A.41, 
26.8 	subdivision 5; the licensure area in which the teacher primarily taught during the 
26.9 	three-year evaluation cycle; and the teacher preparation program preparing the teacher in 
26.10 	the teacher's primary areas of instruction and licensure.
26.11 	(e) School districts annually by October 1 must report to the Board of Teaching the 
26.12 	following information for all probationary teachers in the district who were released or 
26.13 	whose contracts were not renewed from September 1 of the previous year through August 
26.14 	31 of the current year: the licensure areas in which the probationary teacher taught; and 
26.15 	the teacher preparation program preparing the teacher in the teacher's primary areas of 
26.16 	instruction and licensure.
26.17 	(f) School districts annually by October 1 must report to the Board of School 
26.18 	Administrators the following information for all school principals and assistant principals 
26.19 	who finished the probationary period and accepted a continuing contract position with the 
26.20 	district from September 1 of the previous year through August 31 of the current year: the 
26.21 	effectiveness category or rating of the principal or assistant principal on the summative 
26.22 	evaluation under section 123B.147, subdivision 3; and the principal preparation program 
26.23 	providing instruction to the principal or assistant principal.
26.24 	(g) School districts annually by October 1 must report to the Board of School 
26.25 	Administrators all probationary school principals and assistant principals in the district 
26.26 	who were released or whose contracts were not renewed from September 1 of the previous 
26.27 	year through August 31 of the current year.

26.28 	EFFECTIVE DATE. This section is effective July 1, 2016.

26.29 	Sec. 11. Minnesota Statutes 2014, section 122A.09, is amended by adding a 
26.30 	subdivision to read:
26.31 		Subd. 11.Teacher preparation program reporting. By December 31, 2018, and 
26.32 	annually thereafter, the Board of Teaching shall report and publish on its Web site the 
26.33 	cumulative summary results of at least three consecutive years of data reported to the board 
26.34 	under subdivision 4a, paragraph (b). Where the data are sufficient to yield statistically 
27.1 	reliable information and the results would not reveal personally identifiable information 
27.2 	about an individual teacher, the board shall report the data by teacher preparation program.

27.3 	Sec. 12. Minnesota Statutes 2014, section 122A.14, subdivision 3, is amended to read:
27.4 		Subd. 3.Rules for continuing education requirements. The board shall 
27.5 	adopt rules establishing continuing education requirements that promote continuous 
27.6 	improvement and acquisition of new and relevant skills by school administrators. 
27.7 	Continuing education programs, among other things, must provide school administrators 
27.8 	with information and training about building coherent and effective English learner 
27.9 	strategies that include relevant professional development, accountability for student 
27.10 	progress, students' access to the general curriculum, and sufficient staff capacity to effect 
27.11 	these strategies. A retired school principal who serves as a substitute principal or assistant 
27.12 	principal for the same person on a day-to-day basis for no more than 15 consecutive 
27.13 	school days is not subject to continuing education requirements as a condition of serving 
27.14 	as a substitute principal or assistant principal.

27.15 	EFFECTIVE DATE. This section is effective the day following final enactment.

27.16 	Sec. 13. Minnesota Statutes 2014, section 122A.14, is amended by adding a 
27.17 	subdivision to read:
27.18 		Subd. 10.Principal preparation program reporting. By December 31, 2018, and 
27.19 	annually thereafter, the Board of School Administrators shall report and publish on its 
27.20 	Web site the cumulative summary results of three years of data reported to the board under 
27.21 	section 122A.09, subdivision 4a, paragraph (c), for each principal preparation program.

27.22 	Sec. 14. Minnesota Statutes 2014, section 122A.18, subdivision 2, is amended to read:
27.23 		Subd. 2.Teacher and support personnel qualifications. (a) The Board of Teaching 
27.24 	must issue licenses under its jurisdiction to persons the board finds to be qualified and 
27.25 	competent for their respective positions, including those meeting the standards adopted 
27.26 	under section 122A.09, subdivision 4, paragraph (o).
27.27 	(b) The board must require a person to pass ancandidate for teacher licensure to 
27.28 	demonstrate a passing score on a board-adopted examination of skills in reading, writing, 
27.29 	and mathematics or attain either a composite score composed of the average of the scores in 
27.30 	English and writing, reading, and mathematics on the ACT Plus Writing recommended by 
27.31 	the board, or an equivalent composite score composed of the average of the scores in critical 
27.32 	reading, mathematics, and writing on the SAT recommended by the board, before being 
27.33 	granted an initial teaching license to provide direct instruction to pupils in prekindergarten, 
28.1 	elementary, secondary, or special education programs, except that the board may issue up 
28.2 	to twofour temporary, one-year teaching licenses to an otherwise qualified candidate who 
28.3 	has not yet passed thea board-adopted skills exam or attained the requisite composite score 
28.4 	on the ACT Plus Writing or SAT. At the request of the employing school district or charter 
28.5 	school, the Board of Teaching may issue a restricted license to an otherwise qualified 
28.6 	teacher not passing or demonstrating a passing score on a board-adopted skills examination 
28.7 	in reading, writing, and math. For purposes of this section, the restricted license issued by 
28.8 	the board is limited to the current subject or content matter the teacher is employed to teach 
28.9 	and limited to the district or charter school requesting the restricted license. If the board 
28.10 	denies the request, it must provide a detailed response to the school administrator as to the 
28.11 	reasons for the denial. The board must require colleges and universities offering a board 
28.12 	approved teacher preparation program to make available upon request remedial assistance 
28.13 	that includes a formal diagnostic component to persons enrolled in their institution who 
28.14 	did not achieve a qualifying score on thea board-adopted skills examination or attain the 
28.15 	requisite composite ACT Plus Writing or SAT score, including those for whom English is 
28.16 	a second language. The colleges and universities must make available assistance in the 
28.17 	specific academic areas of candidates' deficiency. School districts may make available 
28.18 	upon request similar, appropriate, and timely remedial assistance that includes a formal 
28.19 	diagnostic component to those persons employed by the district who completed their 
28.20 	teacher education program, who did not achieve a qualifying score on thea board-adopted 
28.21 	skills examination, or attain the requisite composite ACT Plus Writing or SAT score, 
28.22 	and who received a temporary license to teach in Minnesota. The Board of Teaching 
28.23 	shall report annually to the education committees of the legislature on the total number 
28.24 	of teacher candidates during the most recent school year taking thea board-adopted 
28.25 	skills examination, the number who achieve a qualifying score on the examination, the 
28.26 	number who do not achieve a qualifying score on the examination, the distribution of all 
28.27 	candidates' scores, the number of candidates who have taken the examination at least once 
28.28 	before, and the number of candidates who have taken the examination at least once before 
28.29 	and achieve a qualifying score, and the candidates who have not attained the requisite 
28.30 	composite ACT Plus Writing or SAT score or have not passed a content or pedagogy 
28.31 	exam, disaggregated by categories of race, ethnicity, and eligibility for financial aid.
28.32 	(c) The Board of Teaching must grant continuing licenses only to those persons who 
28.33 	have met board criteria for granting a continuing license, which includes passing thea 
28.34 	board-adopted skills examination in reading, writing, and mathematics or attaining the 
28.35 	requisite composite ACT Plus Writing or SAT score consistent with paragraph (b), and the 
28.36 	exceptions in section 122A.09, subdivision 4, paragraph (b), that are consistent with this 
29.1 	paragraph. The requirement to pass a board-adopted reading, writing, and mathematics 
29.2 	skills examination, or attain the requisite composite score on the ACT Plus Writing or SAT 
29.3 	does not apply to nonnative English speakers, as verified by qualified Minnesota school 
29.4 	district personnel or Minnesota higher education faculty, who, after meeting the content and 
29.5 	pedagogy requirements under this subdivision, apply for a teaching license to provide direct 
29.6 	instruction in their native language or world language instruction under section 120B.022, 
29.7 	subdivision 1. A teacher candidate's official ACT Plus Writing or SAT composite score 
29.8 	report to the board must not be more than ten years old at the time of licensure.
29.9 	(d) All colleges and universities approved by the board of teaching to prepare persons 
29.10 	for teacher licensure must include in their teacher preparation programs a common core 
29.11 	of teaching knowledge and skills to be acquired by all persons recommended for teacher 
29.12 	licensure. Among other requirements, teacher candidates must demonstrate the knowledge 
29.13 	and skills needed to provide appropriate instruction to English learners to support and 
29.14 	accelerate their academic literacy, including oral academic language, and achievement in 
29.15 	content areas in a regular classroom setting. This common core shall meet the standards 
29.16 	developed by the interstate new teacher assessment and support consortium in its 1992 
29.17 	"model standards for beginning teacher licensing and development." Amendments to 
29.18 	standards adopted under this paragraph are covered by chapter 14. The board of teaching 
29.19 	shall report annually to the education committees of the legislature on the performance 
29.20 	of teacher candidates on common core assessments of knowledge and skills under this 
29.21 	paragraph during the most recent school year.

29.22 	Sec. 15. Minnesota Statutes 2014, section 122A.18, is amended by adding a 
29.23 	subdivision to read:
29.24 		Subd. 4a.Limited provisional licenses. The board may grant two-year provisional 
29.25 	licenses to a licensure candidate in a field in which they were not previously licensed or in a 
29.26 	field in which a shortage of licensed teachers exists. A shortage is defined as an inadequate 
29.27 	supply of licensed personnel in a given licensure area as determined by the commissioner.

29.28 	Sec. 16. Minnesota Statutes 2014, section 122A.20, subdivision 1, is amended to read:
29.29 		Subdivision 1.Grounds for revocation, suspension, or denial. (a) The Board of 
29.30 	Teaching or Board of School Administrators, whichever has jurisdiction over a teacher's 
29.31 	licensure, may, on the written complaint of the school board employing a teacher, a teacher 
29.32 	organization, or any other interested person, refuse to issue, refuse to renew, suspend, or 
29.33 	revoke a teacher's license to teach for any of the following causes:
29.34 	(1) immoral character or conduct;
30.1 	(2) failure, without justifiable cause, to teach for the term of the teacher's contract;
30.2 	(3) gross inefficiency or willful neglect of duty;
30.3 	(4) failure to meet licensure requirements; or
30.4 	(5) fraud or misrepresentation in obtaining a license.
30.5 	The written complaint must specify the nature and character of the charges.
30.6 	(b) The Board of Teaching or Board of School Administrators, whichever 
30.7 	has jurisdiction over a teacher's licensure, shall refuse to issue, refuse to renew, or 
30.8 	automatically revoke a teacher's license to teach without the right to a hearing upon 
30.9 	receiving a certified copy of a conviction showing that the teacher has been convicted 
30.10 	of child abuse, as defined in section 609.185, sex trafficking in the first degree under 
30.11 	section 609.322, subdivision 1, sex trafficking in the second degree under section 609.322, 
30.12 	subdivision 1a, engaging in hiring, or agreeing to hire a minor to engage in prostitution 
30.13 	under section 609.324, subdivision 1, sexual abuse under section 609.342, 609.343, 
30.14 	609.344, 609.345, 609.3451, subdivision 3, or 617.23, subdivision 3, solicitation of 
30.15 	children to engage in sexual conduct or communication of sexually explicit materials 
30.16 	to children under section 609.352, interference with privacy under section 609.746 or 
30.17 	stalking under section 609.749 and the victim was a minor, using minors in a sexual 
30.18 	performance under section 617.246, or possessing pornographic works involving a minor 
30.19 	under section 617.247, or any other offense not listed in this paragraph that requires the 
30.20 	person to register as a predatory offender under section 243.166, or a crime under a similar 
30.21 	law of another state or the United States. The board shall send notice of this licensing 
30.22 	action to the district in which the teacher is currently employed.
30.23 	(c) A person whose license to teach has been revoked, not issued, or not renewed 
30.24 	under paragraph (b), may petition the board to reconsider the licensing action if the 
30.25 	person's conviction for child abuse or sexual abuse is reversed by a final decision of the 
30.26 	Court of Appeals or the Supreme Court or if the person has received a pardon for the 
30.27 	offense. The petitioner shall attach a certified copy of the appellate court's final decision or 
30.28 	the pardon to the petition. Upon receiving the petition and its attachment, the board shall 
30.29 	schedule and hold a disciplinary hearing on the matter under section 214.10, subdivision 2, 
30.30 	unless the petitioner waives the right to a hearing. If the board finds that, notwithstanding 
30.31 	the reversal of the petitioner's criminal conviction or the issuance of a pardon, the 
30.32 	petitioner is disqualified from teaching under paragraph (a), clause (1), the board shall 
30.33 	affirm its previous licensing action. If the board finds that the petitioner is not disqualified 
30.34 	from teaching under paragraph (a), clause (1), it shall reverse its previous licensing action.
30.35 	(d) For purposes of this subdivision, the Board of Teaching is delegated the authority 
30.36 	to suspend or revoke coaching licenses.

31.1 	Sec. 17. Minnesota Statutes 2014, section 122A.21, subdivision 2, is amended to read:
31.2 		Subd. 2.Licensure via portfolio. (a) An eligible candidate may use licensure 
31.3 	via portfolio to obtain an initial licensure or to add a licensure field, consistent with the 
31.4 	applicable Board of Teaching licensure rules.
31.5 	(b) A candidate for initial licensure must submit to the Educator Licensing Division 
31.6 	at the department one portfolio demonstrating pedagogical competence and one portfolio 
31.7 	demonstrating content competence.
31.8 	(c) A candidate seeking to add a licensure field must submit to the Educator 
31.9 	Licensing Division at the department one portfolio demonstrating content competence.
31.10 	(d) The Board of Teaching must notify a candidate who submits a portfolio under 
31.11 	paragraph (b) or (c) within 90 calendar days after the portfolio is received whether or not 
31.12 	the portfolio was approved. If the portfolio was not approved, the board must immediately 
31.13 	inform the candidate how to revise the portfolio to successfully demonstrate the requisite 
31.14 	competence. The candidate may resubmit a revised portfolio at any time and the Educator 
31.15 	Licensing Division at the department must approve or disapprove the portfolio within 
31.16 	60 calendar days of receiving it.
31.17 	(e) A candidate must pay to the executive secretary of the Board of Teaching a 
31.18 	$300 fee for the first portfolio submitted for review and a $200 fee for any portfolio 
31.19 	submitted subsequently. The fees must be paid to the executive secretary of the Board of 
31.20 	Teaching. The revenue generated from the fee must be deposited in an education licensure 
31.21 	portfolio account in the special revenue fund. The fees set by the Board of Teaching are 
31.22 	nonrefundable for applicants not qualifying for a license. The Board of Teaching may 
31.23 	waive or reduce fees for candidates based on financial need.

31.24 	EFFECTIVE DATE. This section is effective the day following final enactment and 
31.25 	applies to all portfolios submitted to the Educator Licensing Division at the department 
31.26 	after that date.

31.27 	Sec. 18. Minnesota Statutes 2014, section 122A.23, is amended to read:
31.28 	122A.23 APPLICANTS TRAINED IN OTHER STATES.
31.29 		Subdivision 1.Preparation equivalency. When a license to teach is authorized to 
31.30 	be issued to any holder of a diploma or a degree of a Minnesota state university, or of the 
31.31 	University of Minnesota, or of a liberal arts university, or a technical training institution, 
31.32 	such license may also, in the discretion of the Board of Teaching or the commissioner of 
31.33 	education, whichever has jurisdiction, be issued to any holder of a diploma or a degree 
31.34 	of a teacher training institution of equivalent rank and standing of any other state. The 
32.1 	diploma or degree must be granted by virtue of completing a coursecoursework in teacher 
32.2 	preparation essentially equivalent in content to that required by such Minnesota state 
32.3 	university or the University of Minnesota or a liberal arts university in Minnesota or a 
32.4 	technical training institution as preliminary to the granting of a diploma or a degree of the 
32.5 	same rank and class. For purposes of granting a Minnesota teaching license to a person 
32.6 	who receives a diploma or degree from a state-accredited, out-of-state teacher training 
32.7 	program leading to licensure, the Board of Teaching must establish criteria and streamlined 
32.8 	procedures by January 1, 2016, to recognize the experience and professional credentials of 
32.9 	the person holding the out-of-state diploma or degree and allow that person to demonstrate 
32.10 	to the board the person's qualifications for receiving a Minnesota teaching license based 
32.11 	on performance measures the board adopts by January 1, 2016, under this section.
32.12 		Subd. 2.Applicants licensed in other states. (a) Subject to the requirements 
32.13 	of sections 122A.18, subdivision 8, and 123B.03, the Board of Teaching must issue a 
32.14 	teaching license or a temporary teaching license under paragraphs (b) (c) to (e)(f) to an 
32.15 	applicant who holds at least a baccalaureate degree from a regionally accredited college 
32.16 	or university and holds or held a similaran out-of-state teaching license that requires the 
32.17 	applicant to successfully complete a teacher preparation program approved by the issuing 
32.18 	state, which includes either (1) field-specific teaching methods and, student teaching, or 
32.19 	essentially equivalent experience, or (2) at least two years of teaching experience as the 
32.20 	teacher of record in a similar licensure field.
32.21 	(b) The Board of Teaching may issue a standard license on the basis of teaching 
32.22 	experience and examination requirements only.
32.23 	(c) The Board of Teaching must issue a teaching license to an applicant who:
32.24 	(1) successfully completed all exams and human relations preparation components 
32.25 	required by the Board of Teaching; and
32.26 	(2) holds or held an out-of-state teaching license to teach the samea similar content 
32.27 	field and grade levels if the scope of the out-of-state license is no more than two grade 
32.28 	levels less than a similar Minnesota license, and either (i) has completed field-specific 
32.29 	teaching methods, student teaching, or equivalent experience, or (ii) has at least two years 
32.30 	of teaching experience as the teacher of record in a similar licensure field.
32.31 	(c)(d) The Board of Teaching, consistent with board rules and paragraph (h) (i), 
32.32 	must issue up to three four one-year temporary teaching licenses to an applicant who holds 
32.33 	or held an out-of-state teaching license to teach the samea similar content field and grade 
32.34 	levels, where the scope of the out-of-state license is no more than two grade levels less 
32.35 	than a similar Minnesota license, but has not successfully completed all exams and human 
32.36 	relations preparation components required by the Board of Teaching.
33.1 	(d)(e) The Board of Teaching, consistent with board rules, must issue up to three 
33.2 	four one-year temporary teaching licenses to an applicant who:
33.3 	(1) successfully completed all exams and human relations preparation components 
33.4 	required by the Board of Teaching; and
33.5 	(2) holds or held an out-of-state teaching license to teach the samea similar content 
33.6 	field and grade levels, where the scope of the out-of-state license is no more than two 
33.7 	grade levels less than a similar Minnesota license, but has not completed field-specific 
33.8 	teaching methods or student teaching or equivalent experience.
33.9 	The applicant may complete field-specific teaching methods and student teaching 
33.10 	or equivalent experience by successfully participating in a one-year school district 
33.11 	mentorship program consistent with board-adopted standards of effective practice and 
33.12 	Minnesota graduation requirements.
33.13 	(e)(f) The Board of Teaching must issue a temporary restricted teaching license 
33.14 	for a term of up to three years only in the content field or grade levels specified in the 
33.15 	out-of-state license to an applicant who:
33.16 	(1) successfully completed all exams and human relations preparation components 
33.17 	required by the Board of Teaching; and
33.18 	(2) holds or held an out-of-state teaching license where the out-of-state license is 
33.19 	more limited in the content field or grade levels than a similar Minnesota license.
33.20 	(f)(g) The Board of Teaching must not issue to an applicant more than three 
33.21 	one-year temporary teaching licenses under this subdivision may issue a two-year limited 
33.22 	provisional license to an applicant under this subdivision to teach in a shortage area, 
33.23 	consistent with section 122A.18, subdivision 4a.
33.24 	(g)(h) The Board of Teaching must notmay issue a license under this subdivision if 
33.25 	the applicant has not attained the additional degrees, credentials, or licenses required in 
33.26 	a particular licensure field and the applicant can demonstrate competency by obtaining 
33.27 	qualifying scores on the board-adopted skills examination in reading, writing, and 
33.28 	mathematics, and on applicable board-adopted rigorous content area and pedagogy 
33.29 	examinations under section 122A.09, subdivision 4, paragraphs (a) and (e).
33.30 	(h)(i) The Board of Teaching must require an applicant for a teaching license 
33.31 	or a temporary teaching license under this subdivision to pass a board-adopted skills 
33.32 	examination in reading, writing, and mathematics or demonstrate, consistent with section 
33.33 	122A.09, subdivision 4, the applicant's attainment of either the requisite composite ACT 
33.34 	Plus Writing or SAT score before the board issues the license unless, notwithstanding 
33.35 	other provisions of this subdivision, an applicable board-approved National Association of 
34.1 	State Directors of Teacher Education interstate reciprocity agreement exists to allow fully 
34.2 	certified teachers from other states to transfer their certification to Minnesota.
34.3 		Subd. 3.Teacher licensure agreements with adjoining states. (a) Notwithstanding 
34.4 	any other law to the contrary, the Board of Teaching must enter into a National Association 
34.5 	of State Directors of Teacher Education and Certification (NASDTEC) interstate 
34.6 	agreement and other interstate agreements for teacher licensure to allow fully certified 
34.7 	teachers from adjoining states to transfer their certification to Minnesota. The board must 
34.8 	enter into these interstate agreements only after determining that the rigor of the teacher 
34.9 	licensure or certification requirements in the adjoining state is commensurate with the 
34.10 	rigor of Minnesota's teacher licensure requirements. The board may limit an interstate 
34.11 	agreement to particular content fields or grade levels based on established priorities or 
34.12 	identified shortages. This subdivision does not apply to out-of-state applicants holding 
34.13 	only a provisional teaching license.
34.14 	(b) The Board of Teaching must work with designated authorities in adjoining states 
34.15 	to establish interstate teacher licensure agreements under this section.

34.16 	EFFECTIVE DATE. This section is effective August 1, 2015.

34.17 	Sec. 19. Minnesota Statutes 2014, section 122A.245, subdivision 1, is amended to read:
34.18 		Subdivision 1.Requirements. (a) To improve academic excellence, improve ethnic 
34.19 	and cultural diversity in the classroom, and close the academic achievement gap, the 
34.20 	Board of Teaching must approve qualified teacher preparation programs under this section 
34.21 	that are a means to acquire a two-year limited-term license, which the board may renew 
34.22 	one time for an additional one-year term, and to prepare for acquiring a standard license. 
34.23 	The following entities are eligible to participate under this section:
34.24 	(1) a school district or, charter school, or nonprofit corporation organized under 
34.25 	chapter 317A for an education-related purpose that forms a partnership with a college or 
34.26 	university that has a board-approved alternative teacher preparation program; or
34.27 	(2) a school district or charter school, after consulting with a college or university 
34.28 	with a board-approved teacher preparation program, that forms a partnership with a 
34.29 	nonprofit corporation organized under chapter 317A for an education-related purpose that 
34.30 	has a board-approved teacher preparation program.
34.31 	(b) Before participating in this program becoming a teacher of record, a candidate 
34.32 	must:
34.33 	(1) have a bachelor's degree with a 3.0 or higher grade point average unless the 
34.34 	board waives the grade point average requirement based on board-adopted criteria adopted 
34.35 	by January 1, 2016;
35.1 	(2) pass thedemonstrate a passing score on a board-adopted reading, writing, and 
35.2 	mathematics skills examination under section 122A.09, subdivision 4, paragraph (b); and
35.3 	(3) obtain qualifying scores on applicable board-approved rigorous content area and 
35.4 	pedagogy examinations under section 122A.09, subdivision 4, paragraph (e).
35.5 	(c) The Board of Teaching must issue a two-year limited-term license to a person 
35.6 	who enrolls in an alternative teacher preparation program.

35.7 	EFFECTIVE DATE. This section is effective the day following final enactment.

35.8 	Sec. 20. Minnesota Statutes 2014, section 122A.245, subdivision 3, is amended to read:
35.9 		Subd. 3.Program approval; disapproval. (a) The Board of Teaching must approve 
35.10 	alternative teacher preparation programs under this section based on board-adopted 
35.11 	criteria that reflect best practices for alternative teacher preparation programs, consistent 
35.12 	with this section. 
35.13 	(b) The board must permit teacher candidates to demonstrate mastery of pedagogy 
35.14 	and content standards in school-based settings and through other nontraditional means. 
35.15 	"Nontraditional means" must include a portfolio of previous experiences, teaching 
35.16 	experience, educator evaluations, certifications marking the completion of education 
35.17 	training programs, and essentially equivalent demonstrations. 
35.18 	(c) The board must use nontraditional criteria to determine the qualifications of 
35.19 	program instructors.
35.20 	(d) The board may permit instructors to hold a baccalaureate degree only.
35.21 	(b)(e) If the Board of Teaching determines that a teacher preparation program under 
35.22 	this section does not meet the requirements of this section, it may revoke its approval 
35.23 	of the program after it notifies the program provider of any deficiencies and gives the 
35.24 	program provider an opportunity to remedy the deficiencies.

35.25 	Sec. 21. Minnesota Statutes 2014, section 122A.245, subdivision 7, is amended to read:
35.26 		Subd. 7.Standard license. The Board of Teaching must issue a standard license 
35.27 	to an otherwise qualified teacher candidate under this section who successfully performs 
35.28 	throughout a program under this section, successfully completes all requiredobtains 
35.29 	qualifying scores on applicable board-adopted rigorous skills, pedagogy, and content 
35.30 	area examinations under section 122A.09, subdivision 4, paragraphs (a) and (e), and is 
35.31 	recommended for licensure under subdivision 5 or successfully demonstrates to the board 
35.32 	qualifications for licensure under subdivision 6.

36.1 	Sec. 22. Minnesota Statutes 2014, section 122A.30, is amended to read:
36.2 	122A.30 EXEMPTION FOR TECHNICAL COLLEGE EDUCATION 
36.3 	INSTRUCTORS.
36.4 	(a) Notwithstanding section 122A.15, subdivision 1, and upon approval of the local 
36.5 	employer school board, a person who teaches in a part-time vocational or career and 
36.6 	technical education program not more than 61 hours per fiscal year is exempt from a 
36.7 	license requirement. Nothing in this section shall exclude licensed career and technical 
36.8 	educators from the definition of "teacher" in section 122A.40, 122A.41, or 179A.03.
36.9 	(b) This section expires June 30, 2020.

36.10 	EFFECTIVE DATE. This section is effective the day following final enactment 
36.11 	and applies to all technical education instructors hired after that date.

36.12 	Sec. 23. Minnesota Statutes 2014, section 122A.40, subdivision 8, is amended to read:
36.13 		Subd. 8.Development, evaluation, and peer coaching for continuing contract 
36.14 	teachers. (a) To improve student learning and success, a school board and an exclusive 
36.15 	representative of the teachers in the district, consistent with paragraph (b), may develop 
36.16 	a teacher evaluation and peer review process for probationary and continuing contract 
36.17 	teachers through joint agreement. If a school board and the exclusive representative of the 
36.18 	teachers do not agree to an annual teacher evaluation and peer review process, then the 
36.19 	school board and the exclusive representative of the teachers must implement the state 
36.20 	teacher evaluation plan under paragraph (c). The process must include having trained 
36.21 	observers serve as peer coaches or having teachers participate in professional learning 
36.22 	communities, consistent with paragraph (b).
36.23 	(b) To develop, improve, and support qualified teachers and effective teaching 
36.24 	practices and improve student learning and success, the annual evaluation process for 
36.25 	teachers:
36.26 	(1) must, for probationary teachers, provide for all evaluations required under 
36.27 	subdivision 5;
36.28 	(2) must establish a three-year professional review cycle for each teacher that 
36.29 	includes an individual growth and development plan, a peer review process, and at least 
36.30 	one summative evaluation performed by a qualified and trained evaluator such as a school 
36.31 	administrator. For the years when a tenured teacher is not evaluated by a qualified and 
36.32 	trained evaluator, the teacher must be evaluated by a peer review;
36.33 	(3) must be based on professional teaching standards established in rule;
37.1 	(4) must coordinate staff development activities under sections 122A.60 and 
37.2 	122A.61 with this evaluation process and teachers' evaluation outcomes;
37.3 	(5) may provide time during the school day and school year for peer coaching and 
37.4 	teacher collaboration;
37.5 	(6) may include job-embedded learning opportunities such as professional learning 
37.6 	communities;
37.7 	(7) may include mentoring and induction programs;
37.8 	(8) must include an option for teachers to develop and present a portfolio 
37.9 	demonstrating evidence of reflection and professional growth, consistent with section 
37.10 	122A.18, subdivision 4, paragraph (b), and include teachers' own performance assessment 
37.11 	based on student work samples and examples of teachers' work, which may include video 
37.12 	among other activities for the summative evaluation;
37.13 	(9) must use data from valid and reliable assessments aligned to state and local 
37.14 	academic standards and must use state and local measures of student growth and literacy 
37.15 	that may include value-added models or student learning goals to determine 35 percent of 
37.16 	teacher evaluation results;
37.17 	(10) must use longitudinal data on student engagement and connection, and other 
37.18 	student outcome measures explicitly aligned with the elements of curriculum for which 
37.19 	teachers are responsible, including academic literacy, oral academic language, and 
37.20 	achievement of content areas of English learners;
37.21 	(11) must require qualified and trained evaluators such as school administrators to 
37.22 	perform summative evaluations and ensure school districts and charter schools provide for 
37.23 	effective evaluator training specific to teacher development and evaluation;
37.24 	(12) must give teachers not meeting professional teaching standards under clauses 
37.25 	(3) through (11) support to improve through a teacher improvement process that includes 
37.26 	established goals and timelines; and
37.27 	(13) must discipline a teacher for not making adequate progress in the teacher 
37.28 	improvement process under clause (12) that may include a last chance warning, 
37.29 	termination, discharge, nonrenewal, transfer to a different position, a leave of absence, or 
37.30 	other discipline a school administrator determines is appropriate.
37.31 	Data on individual teachers generated under this subdivision are personnel data 
37.32 	under section 13.43. The observation and interview notes of peer coaches may only be 
37.33 	disclosed to other school officials with the consent of the teacher being coached.
37.34 	(c) The department, in consultation with parents who may represent parent 
37.35 	organizations and teacher and administrator representatives appointed by their respective 
37.36 	organizations, representing the Board of Teaching, the Minnesota Association of School 
38.1 	Administrators, the Minnesota School Boards Association, the Minnesota Elementary 
38.2 	and Secondary Principals Associations, Education Minnesota, and representatives of 
38.3 	the Minnesota Assessment Group, the Minnesota Business Partnership, the Minnesota 
38.4 	Chamber of Commerce, and Minnesota postsecondary institutions with research expertise 
38.5 	in teacher evaluation, must create and publish a teacher evaluation process that complies 
38.6 	with the requirements in paragraph (b) and applies to all teachers under this section and 
38.7 	section 122A.41 for whom no agreement exists under paragraph (a) for an annual teacher 
38.8 	evaluation and peer review process. The teacher evaluation process created under this 
38.9 	subdivision does not create additional due process rights for probationary teachers under 
38.10 	subdivision 5.
38.11 	(d) Consistent with the measures of teacher effectiveness under this subdivision:
38.12 	(1) for students in kindergarten through grade 4, a school administrator must not 
38.13 	place or approve the placement of a student in the classroom of a teacher who is in the 
38.14 	improvement process referenced in paragraph (b), clause (12), or has not had a summative 
38.15 	evaluation if, in the prior year, that student was in the classroom of a teacher who received 
38.16 	discipline pursuant to paragraph (b), clause (13), unless no other teacher at the school 
38.17 	teaches that grade; and
38.18 	(2) for students in grades 5 through 12, a school administrator must not place 
38.19 	or approve the placement of a student in the classroom of a teacher who is in the 
38.20 	improvement process referenced in paragraph (b), clause (12), or has not had a summative 
38.21 	evaluation if, in the prior year, that student was in the classroom of a teacher who received 
38.22 	discipline pursuant to paragraph (b), clause (13), unless no other teacher at the school 
38.23 	teaches that subject area and grade.
38.24 	All data created and used under this paragraph retains its classification under chapter 13.

38.25 	Sec. 24. Minnesota Statutes 2014, section 122A.40, subdivision 13, is amended to read:
38.26 		Subd. 13.Immediate discharge. (a) Except as otherwise provided in paragraph 
38.27 	(b), a board may discharge a continuing-contract teacher, effective immediately, upon any 
38.28 	of the following grounds:
38.29 	(1) immoral conduct, insubordination, or conviction of a felony;
38.30 	(2) conduct unbecoming a teacher which requires the immediate removal of the 
38.31 	teacher from classroom or other duties;
38.32 	(3) failure without justifiable cause to teach without first securing the written release 
38.33 	of the school board;
38.34 	(4) gross inefficiency which the teacher has failed to correct after reasonable written 
38.35 	notice;
39.1 	(5) willful neglect of duty; or
39.2 	(6) continuing physical or mental disability subsequent to a 12 months leave of 
39.3 	absence and inability to qualify for reinstatement in accordance with subdivision 12.
39.4 	For purposes of this paragraph, conduct unbecoming a teacher includes an unfair 
39.5 	discriminatory practice described in section 363A.13.
39.6 	Prior to discharging a teacher under this paragraph, the board must notify the teacher 
39.7 	in writing and state its ground for the proposed discharge in reasonable detail. Within 
39.8 	ten days after receipt of this notification the teacher may make a written request for a 
39.9 	hearing before the board and it shall be granted before final action is taken. The board 
39.10 	may suspend a teacher with pay pending the conclusion of the hearing and determination 
39.11 	of the issues raised in the hearing after charges have been filed which constitute ground for 
39.12 	discharge. If a teacher has been charged with a felony and the underlying conduct that 
39.13 	is the subject of the felony charge is a ground for a proposed immediate discharge, the 
39.14 	suspension pending the conclusion of the hearing and determination of the issues may be 
39.15 	without pay. If a hearing under this paragraph is held, the board must reimburse the teacher 
39.16 	for any salary or compensation withheld if the final decision of the board or the arbitrator 
39.17 	does not result in a penalty to or suspension, termination, or discharge of the teacher.
39.18 	(b) A board must discharge a continuing-contract teacher, effective immediately, 
39.19 	upon receipt of notice under section 122A.20, subdivision 1, paragraph (b), that the 
39.20 	teacher's license has been revoked due to a conviction for child abuse or, as defined in 
39.21 	section 609.185; sex trafficking in the first degree under section 609.322, subdivision 1; 
39.22 	sex trafficking in the second degree under section 609.322, subdivision 1a; engaging 
39.23 	in hiring or agreeing to hire a minor to engage in prostitution under section 609.324, 
39.24 	subdivision 1; sexual abuse under section 609.342, 609.343, 609.344, 609.345, 609.3451, 
39.25 	subdivision 3, or 617.23, subdivision 3; solicitation of children to engage in sexual 
39.26 	conduct or communication of sexually explicit materials to children under section 
39.27 	609.352; interference with privacy under section 609.746 or stalking under section 
39.28 	609.749 and the victim was a minor; using minors in a sexual performance under section 
39.29 	617.246; possessing pornographic works involving a minor under section 617.247; or 
39.30 	any other offense not listed in this paragraph that requires the person to register as a 
39.31 	predatory offender under section 243.166, or a crime under a similar law of another state 
39.32 	or the United States.
39.33 	(c) When a teacher is discharged under paragraph (b) or when the commissioner 
39.34 	makes a final determination of child maltreatment involving a teacher under section 
39.35 	626.556, subdivision 11, the school principal or other person having administrative 
39.36 	control of the school must include in the teacher's employment record the information 
40.1 	contained in the record of the disciplinary action or the final maltreatment determination, 
40.2 	consistent with the definition of public data under section 13.41, subdivision 5, and must 
40.3 	provide the Board of Teaching and the licensing division at the department with the 
40.4 	necessary and relevant information to enable the Board of Teaching and the department's 
40.5 	licensing division to fulfill their statutory and administrative duties related to issuing, 
40.6 	renewing, suspending, or revoking a teacher's license. Information received by the Board 
40.7 	of Teaching or the licensing division at the department under this paragraph is governed 
40.8 	by section 13.41 or other applicable law governing data of the receiving entity. In addition 
40.9 	to the background check required under section 123B.03, a school board or other school 
40.10 	hiring authority must contact the Board of Teaching and the department to determine 
40.11 	whether the teacher's license has been suspended or revoked, consistent with the discharge 
40.12 	and final maltreatment determinations identified in this paragraph. Unless restricted by 
40.13 	federal or state data practices law or by the terms of a collective bargaining agreement, 
40.14 	the responsible authority for a school district must disseminate to another school district 
40.15 	private personnel data on a current or former teacher employee or contractor of the district, 
40.16 	including the results of background investigations, if the requesting school district seeks 
40.17 	the information because the subject of the data has applied for employment with the 
40.18 	requesting school district.

40.19 	EFFECTIVE DATE. This section is effective the day following final enactment.

40.20 	Sec. 25. Minnesota Statutes 2014, section 122A.41, subdivision 5, is amended to read:
40.21 		Subd. 5.Development, evaluation, and peer coaching for continuing contract 
40.22 	teachers. (a) To improve student learning and success, a school board and an exclusive 
40.23 	representative of the teachers in the district, consistent with paragraph (b), may develop an 
40.24 	annual teacher evaluation and peer review process for probationary and nonprobationary 
40.25 	teachers through joint agreement. If a school board and the exclusive representative of 
40.26 	the teachers in the district do not agree to an annual teacher evaluation and peer review 
40.27 	process, then the school board and the exclusive representative of the teachers must 
40.28 	implement the state teacher evaluation plan developed under paragraph (c). The process 
40.29 	must include having trained observers serve as peer coaches or having teachers participate 
40.30 	in professional learning communities, consistent with paragraph (b).
40.31 	(b) To develop, improve, and support qualified teachers and effective teaching 
40.32 	practices and improve student learning and success, the annual evaluation process for 
40.33 	teachers:
40.34 	(1) must, for probationary teachers, provide for all evaluations required under 
40.35 	subdivision 2;
41.1 	(2) must establish a three-year professional review cycle for each teacher that 
41.2 	includes an individual growth and development plan, a peer review process, and at least 
41.3 	one summative evaluation performed by a qualified and trained evaluator such as a school 
41.4 	administrator;
41.5 	(3) must be based on professional teaching standards established in rule;
41.6 	(4) must coordinate staff development activities under sections 122A.60 and 
41.7 	122A.61 with this evaluation process and teachers' evaluation outcomes;
41.8 	(5) may provide time during the school day and school year for peer coaching and 
41.9 	teacher collaboration;
41.10 	(6) may include job-embedded learning opportunities such as professional learning 
41.11 	communities;
41.12 	(7) may include mentoring and induction programs;
41.13 	(8) must include an option for teachers to develop and present a portfolio 
41.14 	demonstrating evidence of reflection and professional growth, consistent with section 
41.15 	122A.18, subdivision 4, paragraph (b), and include teachers' own performance assessment 
41.16 	based on student work samples and examples of teachers' work, which may include video 
41.17 	among other activities for the summative evaluation;
41.18 	(9) must use data from valid and reliable assessments aligned to state and local 
41.19 	academic standards and must use state and local measures of student growth and literacy 
41.20 	that may include value-added models or student learning goals to determine 35 percent of 
41.21 	teacher evaluation results;
41.22 	(10) must use longitudinal data on student engagement and connection and other 
41.23 	student outcome measures explicitly aligned with the elements of curriculum for which 
41.24 	teachers are responsible, including academic literacy, oral academic language, and 
41.25 	achievement of English learners;
41.26 	(11) must require qualified and trained evaluators such as school administrators to 
41.27 	perform summative evaluations and ensure school districts and charter schools provide for 
41.28 	effective evaluator training specific to teacher development and evaluation;
41.29 	(12) must give teachers not meeting professional teaching standards under clauses 
41.30 	(3) through (11) support to improve through a teacher improvement process that includes 
41.31 	established goals and timelines; and
41.32 	(13) must discipline a teacher for not making adequate progress in the teacher 
41.33 	improvement process under clause (12) that may include a last chance warning, 
41.34 	termination, discharge, nonrenewal, transfer to a different position, a leave of absence, or 
41.35 	other discipline a school administrator determines is appropriate.
42.1 	Data on individual teachers generated under this subdivision are personnel data 
42.2 	under section 13.43. The observation and interview notes of peer coaches may only be 
42.3 	disclosed to other school officials with the consent of the teacher being coached.
42.4 	(c) The department, in consultation with parents who may represent parent 
42.5 	organizations and teacher and administrator representatives appointed by their respective 
42.6 	organizations, representing the Board of Teaching, the Minnesota Association of School 
42.7 	Administrators, the Minnesota School Boards Association, the Minnesota Elementary 
42.8 	and Secondary Principals Associations, Education Minnesota, and representatives of 
42.9 	the Minnesota Assessment Group, the Minnesota Business Partnership, the Minnesota 
42.10 	Chamber of Commerce, and Minnesota postsecondary institutions with research expertise 
42.11 	in teacher evaluation, must create and publish a teacher evaluation process that complies 
42.12 	with the requirements in paragraph (b) and applies to all teachers under this section and 
42.13 	section 122A.40 for whom no agreement exists under paragraph (a) for an annual teacher 
42.14 	evaluation and peer review process. The teacher evaluation process created under this 
42.15 	subdivision does not create additional due process rights for probationary teachers under 
42.16 	subdivision 2.
42.17 	(d) Consistent with the measures of teacher effectiveness under this subdivision:
42.18 	(1) for students in kindergarten through grade 4, a school administrator must not 
42.19 	place or approve the placement of a student in the classroom of a teacher who is in the 
42.20 	improvement process referenced in paragraph (b), clause (12), or has not had a summative 
42.21 	evaluation if, in the prior year, that student was in the classroom of a teacher who received 
42.22 	discipline pursuant to paragraph (b), clause (13), unless no other teacher at the school 
42.23 	teaches that grade; and
42.24 	(2) for students in grades 5 through 12, a school administrator must not place 
42.25 	or approve the placement of a student in the classroom of a teacher who is in the 
42.26 	improvement process referenced in paragraph (b), clause (12), or has not had a summative 
42.27 	evaluation if, in the prior year, that student was in the classroom of a teacher who received 
42.28 	discipline pursuant to paragraph (b), clause (13), unless no other teacher at the school 
42.29 	teaches that subject area and grade.
42.30 	All data created and used under this paragraph retains its classification under chapter 13.

42.31 	Sec. 26. Minnesota Statutes 2014, section 122A.41, subdivision 6, is amended to read:
42.32 		Subd. 6.Grounds for discharge or demotion. (a) Except as otherwise provided 
42.33 	in paragraph (b), causes for the discharge or demotion of a teacher either during or after 
42.34 	the probationary period must be:
42.35 	(1) immoral character, conduct unbecoming a teacher, or insubordination;
43.1 	(2) failure without justifiable cause to teach without first securing the written release 
43.2 	of the school board having the care, management, or control of the school in which the 
43.3 	teacher is employed;
43.4 	(3) inefficiency in teaching or in the management of a school, consistent with 
43.5 	subdivision 5, paragraph (b);
43.6 	(4) affliction with a communicable disease must be considered as cause for removal 
43.7 	or suspension while the teacher is suffering from such disability; or
43.8 	(5) discontinuance of position or lack of pupils.
43.9 	For purposes of this paragraph, conduct unbecoming a teacher includes an unfair 
43.10 	discriminatory practice described in section 363A.13.
43.11 	(b) A probationary or continuing-contract teacher must be discharged immediately 
43.12 	upon receipt of notice under section 122A.20, subdivision 1, paragraph (b), that the 
43.13 	teacher's license has been revoked due to a conviction for child abuse or, as defined in 
43.14 	section 609.185; sex trafficking in the first degree under section 609.322, subdivision 1; 
43.15 	sex trafficking in the second degree under section 609.322, subdivision 1a; engaging 
43.16 	in hiring or agreeing to hire a minor to engage in prostitution under section 609.324, 
43.17 	subdivision 1; sexual abuse under section 609.342, 609.343, 609.344, 609.345, 609.3451, 
43.18 	subdivision 3, or 617.23, subdivision 3; solicitation of children to engage in sexual 
43.19 	conduct or communication of sexually explicit materials to children under section 
43.20 	609.352; interference with privacy under section 609.746 or stalking under section 
43.21 	609.749 and the victim was a minor; using minors in a sexual performance under section 
43.22 	617.246; possessing pornographic works involving a minor under section 617.247; or 
43.23 	any other offense not listed in this paragraph that requires the person to register as a 
43.24 	predatory offender under section 243.166, or a crime under a similar law of another state 
43.25 	or the United States.
43.26 	(c) When a teacher is discharged under paragraph (b) or when the commissioner 
43.27 	makes a final determination of child maltreatment involving a teacher under section 
43.28 	626.556, subdivision 11, the school principal or other person having administrative 
43.29 	control of the school must include in the teacher's employment record the information 
43.30 	contained in the record of the disciplinary action or the final maltreatment determination, 
43.31 	consistent with the definition of public data under section 13.41, subdivision 5, and must 
43.32 	provide the Board of Teaching and the licensing division at the department with the 
43.33 	necessary and relevant information to enable the Board of Teaching and the department's 
43.34 	licensing division to fulfill their statutory and administrative duties related to issuing, 
43.35 	renewing, suspending, or revoking a teacher's license. Information received by the Board 
43.36 	of Teaching or the licensing division at the department under this paragraph is governed 
44.1 	by section 13.41 or other applicable law governing data of the receiving entity. In addition 
44.2 	to the background check required under section 123B.03, a school board or other school 
44.3 	hiring authority must contact the Board of Teaching and the department to determine 
44.4 	whether the teacher's license has been suspended or revoked, consistent with the discharge 
44.5 	and final maltreatment determinations identified in this paragraph. Unless restricted by 
44.6 	federal or state data practices law or by the terms of a collective bargaining agreement, 
44.7 	the responsible authority for a school district must disseminate to another school district 
44.8 	private personnel data on a current or former teacher employee or contractor of the district, 
44.9 	including the results of background investigations, if the requesting school district seeks 
44.10 	the information because the subject of the data has applied for employment with the 
44.11 	requesting school district.

44.12 	EFFECTIVE DATE. This section is effective the day following final enactment.

44.13 	Sec. 27. Minnesota Statutes 2014, section 122A.413, subdivision 1, is amended to read:
44.14 		Subdivision 1.Qualifying plan. A district or, intermediate school district, or a 
44.15 	cooperative unit, as defined in section 123A.24, subdivision 2, may develop an educational 
44.16 	improvement plan for the purpose of qualifying for the alternative teacher professional pay 
44.17 	system under section 122A.414. The plan must include measures for improving school 
44.18 	district, intermediate school district, cooperative, school site, teacher, and individual 
44.19 	student performance.

44.20 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
44.21 	later.

44.22 	Sec. 28. Minnesota Statutes 2014, section 122A.413, subdivision 2, is amended to read:
44.23 		Subd. 2.Plan components. The educational improvement plan must be approved 
44.24 	by the school board or governing board and have at least these elements:
44.25 	(1) assessment and evaluation tools to measure student performance and progress, 
44.26 	including the academic literacy, oral academic language, and achievement of English 
44.27 	learners, among other measures;
44.28 	(2) performance goals and benchmarks for improvement;
44.29 	(3) measures of student attendance and completion rates;
44.30 	(4) a rigorous research and practice-based professional development system, based 
44.31 	on national and state standards of effective teaching practice applicable to all students 
44.32 	including English learners with varied needs under section 124D.59, subdivisions 2 and 
45.1 	2a, and consistent with section 122A.60, that is aligned with educational improvement and 
45.2 	designed to achieve ongoing and schoolwide progress and growth in teaching practice;
45.3 	(5) measures of student, family, and community involvement and satisfaction;
45.4 	(6) a data system about students and their academic progress that provides parents 
45.5 	and the public with understandable information;
45.6 	(7) a teacher induction and mentoring program for probationary teachers that 
45.7 	provides continuous learning and sustained teacher support; and
45.8 	(8) substantial participation by the exclusive representative of the teachers in 
45.9 	developing the plan.

45.10 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
45.11 	later.

45.12 	Sec. 29. Minnesota Statutes 2014, section 122A.414, subdivision 1, is amended to read:
45.13 		Subdivision 1.Restructured pay system. A restructured alternative teacher 
45.14 	professional pay system is established under subdivision 2 to provide incentives to 
45.15 	encourage teachers to improve their knowledge and instructional skills in order to improve 
45.16 	student learning and for school districts, intermediate school districts, cooperative units, 
45.17 	as defined in section 123A.24, subdivision 2, and charter schools to recruit and retain 
45.18 	highly qualified teachers, encourage highly qualified teachers to undertake challenging 
45.19 	assignments, and support teachers' roles in improving students' educational achievement.

45.20 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
45.21 	later.

45.22 	Sec. 30. Minnesota Statutes 2014, section 122A.414, subdivision 1a, is amended to read:
45.23 		Subd. 1a.Transitional planning year. (a) To be eligible to participate in an 
45.24 	alternative teacher professional pay system, a school district, intermediate school district, 
45.25 	or site, at least one school year before it expects to fully implement an alternative pay 
45.26 	system, must:
45.27 	(1) submit to the department a letter of intent executed by the school district or, 
45.28 	intermediate school district and the exclusive representative of the teachers to complete a 
45.29 	plan preparing for full implementation, consistent with subdivision 2, that may include, 
45.30 	among other activities, training to evaluate teacher performance, a restructured school 
45.31 	day to develop integrated ongoing site-based professional development activities, release 
45.32 	time to develop an alternative pay system agreement, and teacher and staff training on 
45.33 	using multiple data sources; and
46.1 	(2) agree to use up to two percent of basic revenue for staff development purposes, 
46.2 	consistent with sections 122A.60 and 122A.61, to develop the alternative teacher 
46.3 	professional pay system agreement under this section.
46.4 	(b) To be eligible to participate in an alternative teacher professional pay system, a 
46.5 	charter school, at least one school year before it expects to fully implement an alternative 
46.6 	pay system, must:
46.7 	(1) submit to the department a letter of intent executed by the charter school and the 
46.8 	charter school board of directors;
46.9 	(2) submit the record of a formal vote by the teachers employed at the charter 
46.10 	school indicating at least 70 percent of all teachers agree to implement the alternative 
46.11 	pay system; and
46.12 	(3) agree to use up to two percent of basic revenue for staff development purposes, 
46.13 	consistent with sections 122A.60 and 122A.61, to develop the alternative teacher 
46.14 	professional pay system.
46.15 	(c) To be eligible to participate in an alternative teacher professional pay system, 
46.16 	a cooperative, excluding intermediate school districts at least one school year before it 
46.17 	expects to fully implement an alternative pay system, must:
46.18 	(1) submit to the department a letter of intent executed by the governing board 
46.19 	of the cooperative; and
46.20 	(2) submit the record of a formal vote by the teachers employed by the cooperative 
46.21 	indicating at least 70 percent of all teachers agree to implement the alternative pay system.
46.22 	(c) (d) The commissioner may waive the planning year if the commissioner 
46.23 	determines, based on the criteria under subdivision 2, that the school district, intermediate 
46.24 	school district, cooperative, site or charter school is ready to fully implement an alternative 
46.25 	pay system.

46.26 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
46.27 	later.

46.28 	Sec. 31. Minnesota Statutes 2014, section 122A.414, subdivision 2, is amended to read:
46.29 		Subd. 2.Alternative teacher professional pay system. (a) To participate in this 
46.30 	program, a school district, intermediate school district, school site, or charter school must 
46.31 	have an educational improvement plan under section 122A.413 and an alternative teacher 
46.32 	professional pay system agreement under paragraph (b). A charter school participant also 
46.33 	must comply with subdivision 2a.
46.34 	(b) The alternative teacher professional pay system agreement must:
47.1 	(1) describe how teachers can achieve career advancement and additional 
47.2 	compensation;
47.3 	(2) describe how the school district, intermediate school district, school site, or 
47.4 	charter school will provide teachers with career advancement options that allow teachers 
47.5 	to retain primary roles in student instruction and facilitate site-focused professional 
47.6 	development that helps other teachers improve their skills;
47.7 	(3) reform the "steps and lanes" salary schedule, prevent any teacher's compensation 
47.8 	paid before implementing the pay system from being reduced as a result of participating in 
47.9 	this system, base at least 60 percent of any compensation increase on teacher performance 
47.10 	using:
47.11 	(i) schoolwide student achievement gains under section 120B.35 or locally selected 
47.12 	standardized assessment outcomes, or both;
47.13 	(ii) measures of student growth and literacy that may include value-added models 
47.14 	or student learning goals, consistent with section 122A.40, subdivision 8, clause (9), or 
47.15 	122A.41, subdivision 5, clause (9), and other measures that include the academic literacy, 
47.16 	oral academic language, and achievement of English learners under section 122A.40, 
47.17 	subdivision 8, clause (10), or 122A.41, subdivision 5, clause (10); and
47.18 	(iii) an objective evaluation program under section 122A.40, subdivision 8, 
47.19 	paragraph (b), clause (2), or 122A.41, subdivision 5, paragraph (b), clause (2);
47.20 	(4) provide for participation in job-embedded learning opportunities such as 
47.21 	professional learning communities to improve instructional skills and learning that are 
47.22 	aligned with student needs under section 122A.413, consistent with the staff development 
47.23 	plan under section 122A.60 and led during the school day by trained teacher leaders 
47.24 	such as master or mentor teachers;
47.25 	(5) allow any teacher in a participating school district, intermediate school district, 
47.26 	school site, or charter school that implements an alternative pay system to participate in 
47.27 	that system without any quota or other limit; and
47.28 	(6) encourage collaboration rather than competition among teachers.
47.29 	(c) The alternative teacher professional pay system may:
47.30 	(1) include a hiring bonus or other added compensation for teachers who are 
47.31 	identified as effective or highly effective under the local teacher professional review 
47.32 	cycle and work in a hard-to-fill position or in a hard-to-staff school such as a school with 
47.33 	a majority of students whose families meet federal poverty guidelines, a geographically 
47.34 	isolated school, or a school identified by the state as eligible for targeted programs or 
47.35 	services for its students; and
48.1 	(2) include incentives for teachers to obtain a master's degree or other advanced 
48.2 	certification in their content field of licensure, pursue the training or education necessary 
48.3 	to obtain an additional licensure in shortage areas identified by the district or charter 
48.4 	school, or help fund a "grow your own" new teacher initiative.

48.5 	EFFECTIVE DATE. This section is effective the day following final enactment 
48.6 	and applies to agreements approved or renegotiated after that date.

48.7 	Sec. 32. Minnesota Statutes 2014, section 122A.414, subdivision 2a, is amended to read:
48.8 		Subd. 2a.Charter school applications; cooperative applications. (a) For charter 
48.9 	school applications, the board of directors of a charter school that satisfies the conditions 
48.10 	under subdivisions 2 and 2b must submit to the commissioner an application that contains:
48.11 	(1) an agreement to implement an alternative teacher professional pay system 
48.12 	under this section;
48.13 	(2) a resolution by the charter school board of directors adopting the agreement; and
48.14 	(3) the record of a formal vote by the teachers employed at the charter school 
48.15 	indicating that at least 70 percent of all teachers agree to implement the alternative 
48.16 	teacher professional pay system, unless the charter school submits an alternative teacher 
48.17 	professional pay system agreement under this section before the first year of operation.
48.18 	Alternative compensation revenue for a qualifying charter school must be calculated 
48.19 	under section 126C.10, subdivision 34, paragraphs (a) and (b).
48.20 	(b) For cooperative unit applications, excluding intermediate school districts, the 
48.21 	governing board of a cooperative unit that satisfies the conditions under subdivisions 2 
48.22 	and 2b must submit to the commissioner an application that contains:
48.23 	(1) an agreement to implement an alternative teacher professional pay system 
48.24 	under this section;
48.25 	(2) a resolution by the governing board adopting the agreement; and
48.26 	(3) the record of a formal vote by the teachers employed at the cooperative unit 
48.27 	indicating that at least 70 percent of all teachers agree to implement the alternative teacher 
48.28 	professional pay system.

48.29 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
48.30 	later.

48.31 	Sec. 33. Minnesota Statutes 2014, section 122A.414, subdivision 2b, is amended to 
48.32 	read:
49.1 		Subd. 2b.Approval process. (a) Consistent with the requirements of this section and 
49.2 	sections 122A.413 and 122A.415, the department must prepare and transmit to interested 
49.3 	school districts, intermediate school districts, cooperatives, school sites, and charter 
49.4 	schools a standard form for applying to participate in the alternative teacher professional 
49.5 	pay system. The commissioner annually must establish three dates as deadlines by which 
49.6 	interested applicants must submit an application to the commissioner under this section. 
49.7 	An interested school district, intermediate school district, cooperative, school site, or 
49.8 	charter school must submit to the commissioner a completed application executed by the 
49.9 	district superintendent and the exclusive bargaining representative of the teachers if the 
49.10 	applicant is a school district, intermediate school district, or school site, or executed by 
49.11 	the charter school board of directors if the applicant is a charter school or executed by 
49.12 	the governing board if the applicant is a cooperative unit. The application must include 
49.13 	the proposed alternative teacher professional pay system agreement under subdivision 
49.14 	2. The department must review a completed application within 30 days of the most 
49.15 	recent application deadline and recommend to the commissioner whether to approve or 
49.16 	disapprove the application. The commissioner must approve applications on a first-come, 
49.17 	first-served basis. The applicant's alternative teacher professional pay system agreement 
49.18 	must be legally binding on the applicant and the collective bargaining representative before 
49.19 	the applicant receives alternative compensation revenue. The commissioner must approve 
49.20 	or disapprove an application based on the requirements under subdivisions 2 and 2a.
49.21 	(b) If the commissioner disapproves an application, the commissioner must give the 
49.22 	applicant timely notice of the specific reasons in detail for disapproving the application. 
49.23 	The applicant may revise and resubmit its application and related documents to the 
49.24 	commissioner within 30 days of receiving notice of the commissioner's disapproval and 
49.25 	the commissioner must approve or disapprove the revised application, consistent with this 
49.26 	subdivision. Applications that are revised and then approved are considered submitted on 
49.27 	the date the applicant initially submitted the application.

49.28 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
49.29 	later.

49.30 	Sec. 34. Minnesota Statutes 2014, section 122A.414, subdivision 3, is amended to read:
49.31 		Subd. 3.Report; continued funding. (a) Participating districts, intermediate school 
49.32 	districts, cooperatives, school sites, and charter schools must report on the implementation 
49.33 	and effectiveness of the alternative teacher professional pay system, particularly 
49.34 	addressing each requirement under subdivision 2 and make annual recommendations by 
49.35 	June 15 to their school boards. The school board or, board of directors, or governing board 
50.1 	shall transmit a copy of the report with a summary of the findings and recommendations 
50.2 	of the district, intermediate school district, cooperative, school site, or charter school to 
50.3 	the commissioner in the form and manner determined by the commissioner.
50.4 	(b) If the commissioner determines that a school district, intermediate school district, 
50.5 	cooperative, school site, or charter school that receives alternative teacher compensation 
50.6 	revenue is not complying with the requirements of this section, the commissioner 
50.7 	may withhold funding from that participant. Before making the determination, the 
50.8 	commissioner must notify the participant of any deficiencies and provide the participant 
50.9 	an opportunity to comply.

50.10 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
50.11 	later.

50.12 	Sec. 35. Minnesota Statutes 2014, section 122A.415, is amended to read:
50.13 	122A.415 ALTERNATIVE COMPENSATION REVENUE.
50.14 		Subdivision 1.Revenue amount. (a) A school district, intermediate school district, 
50.15 	cooperative unit as defined in section 123A.24, subdivision 2, school site, or charter 
50.16 	school that meets the conditions of section 122A.414 and submits an application approved 
50.17 	by the commissioner is eligible for alternative teacher compensation revenue.
50.18 	(b) For school district and intermediate school district applications, the commissioner 
50.19 	must consider only those applications to participate that are submitted jointly by a 
50.20 	district and the exclusive representative of the teachers. The application must contain an 
50.21 	alternative teacher professional pay system agreement that:
50.22 	(1) implements an alternative teacher professional pay system consistent with 
50.23 	section 122A.414; and
50.24 	(2) is negotiated and adopted according to the Public Employment Labor Relations 
50.25 	Act under chapter 179A, except that notwithstanding section 179A.20, subdivision 3, a 
50.26 	district may enter into a contract for a term of two or four years.
50.27 	Alternative teacher compensation revenue for a qualifying school district or site in 
50.28 	which the school board and the exclusive representative of the teachers agree to place 
50.29 	teachers in the district or at the site on the alternative teacher professional pay system equals 
50.30 	$260 times the number of pupils enrolled at the district or site on October 1 of the previous 
50.31 	fiscal year. Alternative teacher compensation revenue for a qualifying intermediate school 
50.32 	district or cooperative must be calculated under subdivision 4, paragraph (a) (b).
50.33 	(c) For a newly combined or consolidated district, the revenue shall be computed 
50.34 	using the sum of pupils enrolled on October 1 of the previous year in the districts entering 
51.1 	into the combination or consolidation. The commissioner may adjust the revenue computed 
51.2 	for a site using prior year data to reflect changes attributable to school closings, school 
51.3 	openings, or grade level reconfigurations between the prior year and the current year.
51.4 	(d) The revenue is available only to school districts, intermediate school districts, 
51.5 	cooperatives, school sites, and charter schools that fully implement an alternative teacher 
51.6 	professional pay system by October 1 of the current school year.
51.7 		Subd. 3.Revenue timing. (a) Districts, intermediate school districts, cooperatives, 
51.8 	school sites, or charter schools with approved applications must receive alternative 
51.9 	compensation revenue for each school year that the district, intermediate school district, 
51.10 	cooperative, school site, or charter school implements an alternative teacher professional 
51.11 	pay system under this subdivision and section 122A.414. For fiscal year 2007 and later, 
51.12 	A qualifying district, intermediate school district, cooperative, school site, or charter 
51.13 	school that received alternative teacher compensation aid for the previous fiscal year 
51.14 	must receive at least an amount of alternative teacher compensation revenue equal to the 
51.15 	lesser of the amount it received for the previous fiscal year or the amount it qualifies 
51.16 	for under subdivision 1 for the current fiscal year if the district, intermediate school 
51.17 	district, cooperative, school site, or charter school submits a timely application and the 
51.18 	commissioner determines that the district, intermediate school district, cooperative, school 
51.19 	site, or charter school continues to implement an alternative teacher professional pay 
51.20 	system, consistent with its application under this section.
51.21 	(b) The commissioner shall approve applications that comply with subdivision 1, 
51.22 	and section 122A.414, subdivisions 2, paragraph (b), and 2a, if the applicant is a charter 
51.23 	school or cooperative, in the order in which they are received, select applicants that 
51.24 	qualify for this program, notify school districts, intermediate school districts, cooperatives, 
51.25 	school sites, and charter schools about the program, develop and disseminate application 
51.26 	materials, and carry out other activities needed to implement this section.
51.27 	(c) For fiscal year 2008 and later, the portion of the state total basic alternative 
51.28 	teacher compensation aid entitlement allocated to charter schools must not exceed the 
51.29 	product of $3,374,000 times the ratio of the state total charter school enrollment for the 
51.30 	previous fiscal year to the state total charter school enrollment for fiscal year 2007. 
51.31 	Additional basic alternative teacher compensation aid may be approved for charter schools 
51.32 	after August 1, not to exceed the charter school limit for the following fiscal year, if 
51.33 	the basic alternative teacher compensation aid entitlement for school districts based on 
51.34 	applications approved by August 1 does not expend the remaining amount under the limit.
51.35 		Subd. 4.Basic alternative teacher compensation aid. (a) For fiscal year 2015 and 
51.36 	later, The basic alternative teacher compensation aid for a school with a plan approved 
52.1 	under section 122A.414, subdivision 2b, equals 65 percent of the alternative teacher 
52.2 	compensation revenue under subdivision 1. The basic alternative teacher compensation 
52.3 	aid for an intermediate school district or a charter school with a plan approved under 
52.4 	section 122A.414, subdivisions 2a and 2b, if the recipient is a charter school, equals $260 
52.5 	times the number of pupils enrolled in the school on October 1 of the previous year, or 
52.6 	on October 1 of the current year for a charter school in the first year of operation, times 
52.7 	the ratio of the sum of the alternative teacher compensation aid and alternative teacher 
52.8 	compensation levy for all participating school districts to the maximum alternative teacher 
52.9 	compensation revenue for those districts under subdivision 1.
52.10 	(b) Notwithstanding paragraph (a) and subdivision 1, the state total basic alternative 
52.11 	teacher compensation aid entitlement must not exceed $75,636,000$88,118,000 for fiscal 
52.12 	year 2015 2017 and later. The commissioner must limit the amount of alternative teacher 
52.13 	compensation aid approved under this section so as not to exceed these limits. Basic 
52.14 	alternative teacher compensation aid for an intermediate district or other cooperative unit 
52.15 	equals $3,000 times the number of licensed teachers employed by the intermediate district 
52.16 	or cooperative unit on October 1 of the previous school year.
52.17 		Subd. 5.Alternative teacher compensation levy. For fiscal year 2015 and later, 
52.18 	The alternative teacher compensation levy for a district receiving basic alternative teacher 
52.19 	compensation aid equals the product of (1) the difference between the district's alternative 
52.20 	teacher compensation revenue and the district's basic alternative teacher compensation 
52.21 	aid, times (2) the lesser of one or the ratio of the district's adjusted net tax capacity per 
52.22 	adjusted pupil unit to $6,100.
52.23 		Subd. 6.Alternative teacher compensation equalization aid. (a) For fiscal year 
52.24 	2015 and later, A district's alternative teacher compensation equalization aid equals the 
52.25 	district's alternative teacher compensation revenue minus the district's basic alternative 
52.26 	teacher compensation aid minus the district's alternative teacher compensation levy. If a 
52.27 	district does not levy the entire amount permitted, the alternative teacher compensation 
52.28 	equalization aid must be reduced in proportion to the actual amount levied.
52.29 	(b) A district's alternative teacher compensation aid equals the sum of the 
52.30 	district's basic alternative teacher compensation aid and the district's alternative teacher 
52.31 	compensation equalization aid.

52.32 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
52.33 	later.

53.1 	Sec. 36. Minnesota Statutes 2014, section 122A.60, is amended to read:
53.2 	122A.60 STAFF DEVELOPMENT PROGRAM.
53.3 		Subdivision 1.Staff development committee. (a) A school board must use the 
53.4 	revenue authorized in section 122A.61 for in-service education for programs under section 
53.5 	120B.22, subdivision 2, or for staff development:
53.6 	(1) teacher development and evaluation plans under this section 122A.40, 
53.7 	subdivision 8, or 122A.41, subdivision 5;
53.8 	(2) principal development and evaluation under section 123B.147, subdivision 3;
53.9 	(3) in-service education programs under section 120B.22, subdivision 2; and
53.10 	(4) other staff development needs. 
53.11 	(b) The board must establish an advisory staff development committee to develop 
53.12 	the plan, assist site professional development teams in developing a site plan consistent 
53.13 	with the goals of the plan, and evaluate staff development efforts at the site level. A 
53.14 	majority of the advisory committee and the site professional development team must be 
53.15 	teachers representing various grade levels, subject areas, and special education. The 
53.16 	advisory committee must also include nonteaching staff, parents, and administrators.
53.17 		Subd. 1a.Effective staff development activities. (a) Staff development activities 
53.18 	must:
53.19 	(1) focus on the school classroom and research-based strategies that improve student 
53.20 	learning;
53.21 	(2) provide opportunities for teachers to practice and improve their instructional 
53.22 	skills over time;
53.23 	(3) provide opportunities for teachers to use student data as part of their daily work 
53.24 	to increase student achievement;
53.25 	(4) enhance teacher content knowledge and instructional skills, including to 
53.26 	accommodate the delivery of digital and blended learning and curriculum and engage 
53.27 	students with technology;
53.28 	(5) align with state and local academic standards;
53.29 	(6) provide opportunities to build professional relationships, foster collaboration 
53.30 	among principals and staff who provide instruction, and provide opportunities for 
53.31 	teacher-to-teacher mentoring;
53.32 	(7) align with the plan of the district or site for an alternative teacher professional 
53.33 	pay system;
53.34 	(8) provide teachers of English learners, including English as a second language and 
53.35 	content teachers, with differentiated instructional strategies critical for ensuring students' 
53.36 	long-term academic success; the means to effectively use assessment data on the academic 
54.1 	literacy, oral academic language, and English language development of English learners; 
54.2 	and skills to support native and English language development across the curriculum; and
54.3 	(9) provide opportunities for staff to learn about current workforce trends, the 
54.4 	connections between workforce trends and postsecondary education, and training options, 
54.5 	including career and technical education options.
54.6 	Staff development activities may include curriculum development and curriculum training 
54.7 	programs, and activities that provide teachers and other members of site-based teams 
54.8 	training to enhance team performance. The school district also may implement other 
54.9 	staff development activities required by law and activities associated with professional 
54.10 	teacher compensation models.
54.11 	(b) Release time provided for teachers to supervise students on field trips and school 
54.12 	activities, or independent tasks not associated with enhancing the teacher's knowledge 
54.13 	and instructional skills, such as preparing report cards, calculating grades, or organizing 
54.14 	classroom materials, may not be counted as staff development time that is financed with 
54.15 	staff development reserved revenue under section 122A.61.
54.16 		Subd. 2.Contents of plan. The plan must include the staff development outcomes 
54.17 	under section 122A.40, subdivision 8, or 122A.41, subdivision 5, and section 123B.147, 
54.18 	subdivision 3, the means to achieve the outcomes, and procedures for evaluating progress 
54.19 	at each school site toward meeting education and staff development outcomes, consistent 
54.20 	with relicensure requirements under section 122A.18, subdivision 4. The plan also must:
54.21 	(1) support stable and productive professional communities achieved through 
54.22 	ongoing and schoolwide progress and growth in teaching practice;
54.23 	(2) emphasize coaching, professional learning communities, classroom action 
54.24 	research, and other job-embedded models;
54.25 	(3) maintain a strong subject matter focus premised on students' learning goals, 
54.26 	consistent with section 120B.125;
54.27 	(4) ensure specialized preparation and learning about issues related to teaching 
54.28 	English learners and students with special needs by focusing on long-term systemic efforts 
54.29 	to improve educational services and opportunities and raise student achievement; and
54.30 	(5) reinforce national and state standards of effective teaching practice.
54.31 		Subd. 3.Staff development outcomes. The advisory staff development committee 
54.32 	must adopt a staff development plan, consistent with section 122A.40, subdivision 8, or 
54.33 	122A.41, subdivision 5, for developing and evaluating teachers and for improving student 
54.34 	achievement outcomes and with section 123B.147, subdivision 3, for strengthening 
54.35 	principals' capacity in areas of instruction, supervision, evaluation, and teacher 
54.36 	development. The plan must be consistent with education outcomes that the school board 
55.1 	determines. The plan must include ongoing staff development activities that contribute 
55.2 	toward continuous improvement in achievement of achieving the following goals:
55.3 	(1) improve student achievement of state and local education standards in all areas of 
55.4 	the curriculum, including areas of regular academic and applied and experiential learning, 
55.5 	by using research-based best practices methods;
55.6 	(2) effectively meet the needs of a diverse student population, including at-risk 
55.7 	children, children with disabilities, English learners, and gifted children, within the regular 
55.8 	classroom, applied and experiential learning settings, and other settings;
55.9 	(3) provide an inclusive curriculum for a racially, ethnically, linguistically, and 
55.10 	culturally diverse student population that is consistent with the state education diversity 
55.11 	rule and the district's education diversity plan;
55.12 	(4) improve staff collaboration and develop mentoring and peer coaching programs 
55.13 	for teachers new to the school or district;
55.14 	(5) effectively teach and model violence prevention policy and curriculum that 
55.15 	address early intervention alternatives, issues of harassment, and teach nonviolent 
55.16 	alternatives for conflict resolution;
55.17 	(6) effectively deliver digital and blended learning and curriculum and engage 
55.18 	students with technology; and
55.19 	(7) provide teachers and other members of site-based management teams with 
55.20 	appropriate management and financial management skills.
55.21 		Subd. 4.Staff development report. (a) By October 15 of each year, the district and 
55.22 	site staff development committees shall write and submit a report of staff development 
55.23 	activities and expenditures for the previous year, in the form and manner determined by 
55.24 	the commissioner. The report, signed by the district superintendent and staff development 
55.25 	chair, must include assessment and evaluation data indicating progress toward district and 
55.26 	site staff development goals based on teaching and learning outcomes, including the 
55.27 	percentage of teachers and other staff involved in instruction who participate in effective 
55.28 	staff development activities under subdivision 3.
55.29 	(b) The report must break down expenditures for:
55.30 	(1) curriculum development and curriculum training programs; and
55.31 	(2) staff development training models, workshops, and conferences, and the cost of 
55.32 	releasing teachers or providing substitute teachers for staff development purposes.
55.33 	The report also must indicate whether the expenditures were incurred at the district 
55.34 	level or the school site level, and whether the school site expenditures were made possible 
55.35 	by grants to school sites that demonstrate exemplary use of allocated staff development 
56.1 	revenue. These expenditures must be reported using the uniform financial and accounting 
56.2 	and reporting standards.
56.3 	(c) The commissioner shall report the staff development progress and expenditure 
56.4 	data to the house of representatives and senate committees having jurisdiction over 
56.5 	education by February 15 each year.

56.6 	EFFECTIVE DATE. This section is effective for the 2016-2017 school year and 
56.7 	later.

56.8 	Sec. 37. Minnesota Statutes 2014, section 122A.61, subdivision 1, is amended to read:
56.9 		Subdivision 1.Staff development revenue. A district is required to reserve 
56.10 	an amount equal to at least two percent of the basic revenue under section 126C.10, 
56.11 	subdivision 2, for:
56.12 	(1) teacher development and evaluation under sections 122A.40, subdivision 8, or 
56.13 	122A.41, subdivision 5;
56.14 	(2) principal development and evaluation under section 123B.147, subdivision 3;
56.15 	(3) professional development under section 122A.60; and
56.16 	(4) in-service education for programs under section 120B.22, subdivision 2,.
56.17 	To the extent extra funds remain, staff development revenue may be used for 
56.18 	staff development plans, including plans for challenging instructional activities and 
56.19 	experiences under section 122A.60, and for curriculum development and programs, 
56.20 	other in-service education, teachers' mentoring under section 122A.70 and evaluation, 
56.21 	teachers' workshops, teacher conferences, the cost of substitute teachers staff development 
56.22 	purposes, preservice and in-service education for special education professionals and 
56.23 	paraprofessionals, and other related costs for staff development efforts. A district may 
56.24 	annually waive the requirement to reserve their basic revenue under this section if a 
56.25 	majority vote of the licensed teachers in the district and a majority vote of the school board 
56.26 	agree to a resolution to waive the requirement. A district in statutory operating debt is 
56.27 	exempt from reserving basic revenue according to this section. Districts may expend an 
56.28 	additional amount of unreserved revenue for staff development based on their needs.

56.29 	EFFECTIVE DATE. This section is effective for the 2016-2017 school year and 
56.30 	later.

56.31 	Sec. 38. Minnesota Statutes 2014, section 122A.69, is amended to read:
56.32 	122A.69 PRACTICE OR STUDENT TEACHERS.
57.1 	The Board of Teaching may, by agreements with teacher preparingpreparation 
57.2 	institutions, arrange for classroom experience in the district for practice or student 
57.3 	teachers who have completed not less thanat least two years of an approved teacher 
57.4 	educationpreparation program. Such practice and student teachers must be provided with 
57.5 	appropriate supervisionappropriately supervised by a fully qualified teacher under rules 
57.6 	promulgated adopted by the board. A practice or student teacher must be placed with a 
57.7 	cooperating licensed teacher who has at least three years of teaching experience and is 
57.8 	not in the improvement process under section 122A.40, subdivision 8, paragraph (b), 
57.9 	clause (12), or 122A.41, subdivision 5, paragraph (b), clause (12). Practice and student 
57.10 	teachers are deemed employees of the school district in which they are rendering services 
57.11 	for purposes of workers' compensation; liability insurance, if provided for other district 
57.12 	employees in accordance withunder section 123B.23; and legal counsel in accordance 
57.13 	with the provisions of under section 123B.25.

57.14 	EFFECTIVE DATE. This section is effective for the 2015-2016 school year and 
57.15 	later.

57.16 	Sec. 39. Minnesota Statutes 2014, section 124D.09, subdivision 5, is amended to read:
57.17 		Subd. 5.Authorization; notification. Notwithstanding any other law to the 
57.18 	contrary, an 11th or 12th grade pupil enrolled in a school or an American Indian-controlled 
57.19 	tribal contract or grant school eligible for aid under section 124D.83, except a foreign 
57.20 	exchange pupil enrolled in a district under a cultural exchange program, may apply to an 
57.21 	eligible institution, as defined in subdivision 3, to enroll in nonsectarian courses offered by 
57.22 	that postsecondary institution. Notwithstanding any other law to the contrary, a 9th or 10th 
57.23 	grade pupil enrolled in a district or an American Indian-controlled tribal contract or grant 
57.24 	school eligible for aid under section 124D.83, except a foreign exchange pupil enrolled in 
57.25 	a district under a cultural exchange program, may apply to enroll in nonsectarian courses 
57.26 	offered under subdivision 10, if after all 11th and 12th grade students have applied for a 
57.27 	course, additional students are necessary to offer the course (1) the school district and the 
57.28 	eligible postsecondary institution providing the course agree to the student's enrollment 
57.29 	or (2) the course is a world language course currently available to 11th and 12th grade 
57.30 	students, and consistent with section 120B.022 governing world language standards, 
57.31 	certificates, and seals. If an institution accepts a secondary pupil for enrollment under this 
57.32 	section, the institution shall send written notice to the pupil, the pupil's school or school 
57.33 	district, and the commissioner within ten days of acceptance. The notice must indicate 
57.34 	the course and hours of enrollment of that pupil. If the pupil enrolls in a course for 
58.1 	postsecondary credit, the institution must notify the pupil about payment in the customary 
58.2 	manner used by the institution.

58.3 	Sec. 40. Minnesota Statutes 2014, section 124D.09, subdivision 5a, is amended to read:
58.4 		Subd. 5a.Authorization; career or technical education. A 10th, 11th, or 12th 
58.5 	grade pupil enrolled in a district or an American Indian-controlled tribal contract or grant 
58.6 	school eligible for aid under section 124D.83, except a foreign exchange pupil enrolled in 
58.7 	a district under a cultural exchange program, may enroll in a career or technical education 
58.8 	course offered by a Minnesota state college or university. A 10th grade pupil applying 
58.9 	for enrollment in a career or technical education course under this subdivision must have 
58.10 	received a passing score on the 8th grade Minnesota Comprehensive Assessment in 
58.11 	reading as a condition of enrollment. A current 10th grade pupil who did not take the 8th 
58.12 	grade Minnesota Comprehensive Assessment in reading may substitute another reading 
58.13 	assessment accepted by the enrolling postsecondary institution. A secondary pupil may 
58.14 	enroll in the pupil's first postsecondary options enrollment course under this subdivision. 
58.15 	A student who is refused enrollment by a Minnesota state college or university under this 
58.16 	subdivision may apply to an eligible institution offering a career or technical education 
58.17 	course. The postsecondary institution must give priority to its students according to 
58.18 	subdivision 9. If a secondary student receives a grade of "C" or better in the career or 
58.19 	technical education course taken under this subdivision, the postsecondary institution 
58.20 	must allow the student to take additional postsecondary courses for secondary credit at 
58.21 	that institution, not to exceed the limits in subdivision 8. A "career or technical course" is 
58.22 	a course that is part of a career and technical education program that provides individuals 
58.23 	with coherent, rigorous content aligned with academic standards and relevant technical 
58.24 	knowledge and skills needed to prepare for further education and careers in current and 
58.25 	emerging professions and provide technical skill proficiency, an industry recognized 
58.26 	credential, and a certificate, a diploma, or an associate degree.

58.27 	Sec. 41. Minnesota Statutes 2014, section 124D.09, subdivision 8, is amended to read:
58.28 		Subd. 8.Limit on participation. A pupil who first enrolls in grade 9 may not 
58.29 	enroll in postsecondary courses under this section for secondary credit for more than 
58.30 	the equivalent of four academic years. A pupil who first enrolls in grade 10 may not 
58.31 	enroll in postsecondary courses under this section for secondary credit for more than 
58.32 	the equivalent of three academic years. A pupil who first enrolls in grade 11 may not 
58.33 	enroll in postsecondary courses under this section for secondary credit for more than the 
58.34 	equivalent of two academic years. A pupil who first enrolls in grade 12 may not enroll in 
59.1 	postsecondary courses under this section for secondary credit for more than the equivalent 
59.2 	of one academic year. If a pupil in grade 9, 10, 11, or 12 first enrolls in a postsecondary 
59.3 	course for secondary credit during the school year, the time of participation shall be 
59.4 	reduced proportionately. If a pupil is in a learning year or other year-round program and 
59.5 	begins each grade in the summer session, summer sessions shall not be counted against 
59.6 	the time of participation. If a school district determines a pupil is not on track to graduate, 
59.7 	the limit on participation does not apply to that pupil. A pupil who has graduated from 
59.8 	high school cannot participate in a program under this section. A pupil who has completed 
59.9 	course requirements for graduation but who has not received a diploma may participate in 
59.10 	the program under this section.

59.11 	Sec. 42. Minnesota Statutes 2014, section 124D.09, subdivision 9, is amended to read:
59.12 		Subd. 9.Enrollment priority. (a) A postsecondary institution shall give priority to 
59.13 	its postsecondary students when enrolling 10th, 11th, and 12th grade pupils in its courses. 
59.14 	A postsecondary institution may provide information about its programs to a secondary 
59.15 	school or to a pupil or parent and it may advertise or otherwise recruit or solicit a secondary 
59.16 	pupil to enroll in its programs on educational and programmatic grounds only except, 
59.17 	notwithstanding other law to the contrary, and for the 2014-2015 through 2019-2020 
59.18 	school years only, an eligible postsecondary institution may advertise or otherwise recruit 
59.19 	or solicit a secondary pupil residing in a school district with 700 students or more in grades 
59.20 	10, 11, and 12, to enroll in its programs on educational, programmatic, or financial grounds. 
59.21 	(b) An institution must not enroll secondary pupils, for postsecondary enrollment 
59.22 	options purposes, in remedial, developmental, or other courses that are not college level 
59.23 	except when a student eligible to participate and enrolled in the graduation incentives 
59.24 	program under section 124D.68 enrolls full time in a middle or early college program. A 
59.25 	middle or early college program must be specifically designed to allow the student to earn 
59.26 	dual high school and college credit with a well-defined pathway to allow the student to earn 
59.27 	a postsecondary degree or credential. In this case, the student shall receive developmental 
59.28 	college credit and not college credit for completing remedial or developmental courses. 
59.29 	(c) Once a pupil has been enrolled in any postsecondary course under this section, 
59.30 	the pupil shall not be displaced by another student.
59.31 	(b) (d) If a postsecondary institution enrolls a secondary school pupil in a course 
59.32 	under this section, the postsecondary institution also must enroll in the same course an 
59.33 	otherwise enrolled and qualified postsecondary student who qualifies as a veteran under 
59.34 	section 197.447, and demonstrates to the postsecondary institution's satisfaction that the 
59.35 	institution's established enrollment timelines were not practicable for that student.

60.1 	Sec. 43. Minnesota Statutes 2014, section 124D.09, subdivision 12, is amended to read:
60.2 		Subd. 12.Credits.  A pupil must not audit a course under this section.
60.3 	A district shall grant academic credit to a pupil enrolled in a course for secondary 
60.4 	credit if the pupil successfully completes the course. Seven quarter or four semester 
60.5 	college credits equal at least one full year of high school credit. Fewer college credits may 
60.6 	be prorated. A district must also grant academic credit to a pupil enrolled in a course for 
60.7 	postsecondary credit if secondary credit is requested by a pupil. If no comparable course is 
60.8 	offered by the district, the district must, as soon as possible, notify the commissioner, who 
60.9 	shall determine the number of credits that shall be granted to a pupil who successfully 
60.10 	completes a course. If a comparable course is offered by the district, the school board 
60.11 	shall grant a comparable number of credits to the pupil. If there is a dispute between the 
60.12 	district and the pupil regarding the number of credits granted for a particular course, the 
60.13 	pupil may appeal the board's decision to the commissioner. The commissioner's decision 
60.14 	regarding the number of credits shall be final.
60.15 	The secondary credits granted to a pupil must be counted toward the graduation 
60.16 	requirements and subject area requirements of the district. Evidence of successful 
60.17 	completion of each course and secondary credits granted must be included in the pupil's 
60.18 	secondary school record. A pupil shall provide the school with a copy of the pupil's grade 
60.19 	in each course taken for secondary credit under this section. Upon the request of a pupil, 
60.20 	the pupil's secondary school record must also include evidence of successful completion 
60.21 	and credits granted for a course taken for postsecondary credit. In either case, the record 
60.22 	must indicate that the credits were earned at a postsecondary institution.
60.23 	If a pupil enrolls in a postsecondary institution after leaving secondary school, the 
60.24 	postsecondary institution must award postsecondary credit for any course successfully 
60.25 	completed for secondary credit at that institution. Other postsecondary institutions may 
60.26 	award, after a pupil leaves secondary school, postsecondary credit for any courses 
60.27 	successfully completed under this section. An institution may not charge a pupil for 
60.28 	the award of credit.
60.29 	The Board of Trustees of the Minnesota State Colleges and Universities and 
60.30 	the Board of Regents of the University of Minnesota must, and private nonprofit and 
60.31 	proprietary postsecondary institutions should, award postsecondary credit for any 
60.32 	successfully completed courses in a program certified by the National Alliance of 
60.33 	Concurrent Enrollment Partnerships offered according to an agreement under subdivision 
60.34 	10. Consistent with section 135A.101, subdivision 3, all MnSCU institutions must give 
60.35 	full credit to a secondary pupil who completes for postsecondary credit a postsecondary 
60.36 	course or program that is part or all of a goal area or a transfer curriculum at a MnSCU 
61.1 	institution when the pupil enrolls in a MnSCU institution after leaving secondary school. 
61.2 	Once one MnSCU institution certifies as completed a secondary student's postsecondary 
61.3 	course or program that is part or all of a goal area or a transfer curriculum, every MnSCU 
61.4 	institution must consider the student's course or program for that goal area or the transfer 
61.5 	curriculum as completed.

61.6 	EFFECTIVE DATE. This section is effective for the 2015-2016 school year and 
61.7 	later.

61.8 	Sec. 44. [124D.231] FULL-SERVICE COMMUNITY SCHOOLS.
61.9 		Subdivision 1.Definitions. For the purposes of this section, the following terms 
61.10 	have the meanings given them.
61.11 	(a) "Community organization" means a nonprofit organization that has been in 
61.12 	existence for three years or more and serves persons within the community surrounding 
61.13 	the covered school site on education and other issues.
61.14 	(b) "Community school consortium" means a group of schools and community 
61.15 	organizations that propose to work together to plan and implement community school 
61.16 	programming.
61.17 	(c) "Community school programming" means services, activities, and opportunities 
61.18 	described under subdivision 2, paragraph (g).
61.19 	(d) "High-quality child care or early childhood education programming" means 
61.20 	educational programming for preschool-aged children that is grounded in research, 
61.21 	consistent with best practices in the field, and provided by licensed teachers.
61.22 	(e) "School site" means a school site at which an applicant has proposed or has been 
61.23 	funded to provide community school programming.
61.24 	(f) "Site coordinator" is an individual who is responsible for aligning programming 
61.25 	with the needs of the school community identified in the baseline analysis.
61.26 		Subd. 2.Full-service community school program. (a) The commissioner shall 
61.27 	provide funding to eligible school sites to plan, implement, and improve full-service 
61.28 	community schools. Eligible school sites must meet one of the following criteria:
61.29 	(1) the school is on a development plan for continuous improvement under section 
61.30 	120B.35, subdivision 2; or
61.31 	(2) the school is in a district that has an achievement and integration plan approved 
61.32 	by the commissioner of education under sections 124D.861 and 124D.862.
61.33 	(b) An eligible school site may receive up to $100,000 annually. School sites 
61.34 	receiving funding under this section shall hire or contract with a partner agency to hire a 
61.35 	site coordinator to coordinate services at each covered school site.
62.1 	(c) Implementation funding of up to $20,000 must be available for up to one year for 
62.2 	planning for school sites. At the end of this period, the school must submit a full-service 
62.3 	community school plan, pursuant to paragraph (g).
62.4 	(d) The commissioner shall dispense the funds to schools with significant populations 
62.5 	of students receiving free or reduced-price lunches. Schools with significant homeless and 
62.6 	highly mobile students shall also be a priority. The commissioner must also dispense the 
62.7 	funds in a manner to ensure equity among urban, suburban, and greater Minnesota schools.
62.8 	(e) A school site must establish a school leadership team responsible for developing 
62.9 	school-specific programming goals, assessing program needs, and overseeing the process 
62.10 	of implementing expanded programming at each covered site. The school leadership team 
62.11 	shall have between 12 to 15 members and shall meet the following requirements:
62.12 	(1) at least 30 percent of the members are parents and 30 percent of the members 
62.13 	are teachers at the school site and must include the school principal and representatives 
62.14 	from partner agencies; and
62.15 	(2) the school leadership team must be responsible for overseeing the baseline 
62.16 	analyses under paragraph (f). A school leadership team must have ongoing responsibility 
62.17 	for monitoring the development and implementation of full service community school 
62.18 	operations and programming at the school site and shall issue recommendations to schools 
62.19 	on a regular basis and summarized in an annual report. These reports shall also be made 
62.20 	available to the public at the school site and on school and district Web sites.
62.21 	(f) School sites must complete a baseline analysis prior to beginning programming 
62.22 	as a full-service community school. The analysis shall include:
62.23 	(1) a baseline analysis of needs at the school site, led by the school leadership team, 
62.24 	which shall include the following elements:
62.25 	(i) identification of challenges facing the school;
62.26 	(ii) analysis of the student body, including:
62.27 	(A) number and percentage of students with disabilities and needs of these students;
62.28 	(B) number and percentage of students who are English learners and the needs of 
62.29 	these students;
62.30 	(C) number of students who are homeless or highly mobile; and 
62.31 	(D) number and percentage of students receiving free or reduced-price lunch and 
62.32 	the needs of these students; and
62.33 	(iii) analysis of enrollment and retention rates for students with disabilities, 
62.34 	English learners, homeless and highly mobile students, and students receiving free or 
62.35 	reduced-price lunch;
63.1 	(iv) analysis of suspension and expulsion data, including the justification for such 
63.2 	disciplinary actions and the degree to which particular populations, including, but not 
63.3 	limited to, students of color, students with disabilities, students who are English learners, 
63.4 	and students receiving free or reduced-price lunch are represented among students subject 
63.5 	to such actions;
63.6 	(v) analysis of school achievement data disaggregated by major demographic 
63.7 	categories, including, but not limited to, race, ethnicity, English learner status, disability 
63.8 	status, and free or reduced-price lunch status;
63.9 	(vi) analysis of current parent engagement strategies and their success; and
63.10 	(vii) evaluation of the need for and availability of wraparound services, including, 
63.11 	but not limited to:
63.12 	(A) mechanisms for meeting students' social, emotional, and physical health needs, 
63.13 	which may include coordination of existing services as well as the development of new 
63.14 	services based on student needs; and
63.15 	(B) strategies to create a safe and secure school environment and improve school 
63.16 	climate and discipline, such as implementing a system of positive behavioral supports, and 
63.17 	taking additional steps to eliminate bullying;
63.18 	(2) a baseline analysis of community assets and a strategic plan for utilizing 
63.19 	and aligning identified assets. This analysis should include, but is not limited to, a 
63.20 	documentation of individuals in the community, faith-based organizations, community and 
63.21 	neighborhood associations, colleges, hospitals, libraries, businesses, and social service 
63.22 	agencies who may be able to provide support and resources; and
63.23 	(3) a baseline analysis of needs in the community surrounding the school, led by 
63.24 	the school leadership team, including, but not limited to:
63.25 	(i) the need for high-quality, full-day child care and early childhood education 
63.26 	programs;
63.27 	(ii) the need for physical and mental health care services for children and adults; and
63.28 	(iii) the need for job training and other adult education programming.
63.29 	(g) Each school site receiving funding under this section must establish at least two 
63.30 	of the following types of programming:
63.31 	(1) early childhood:
63.32 	(i) early childhood education; and
63.33 	(ii) child care services;
63.34 	(2) academic:
63.35 	(i) academic support and enrichment activities, including expanded learning time;
63.36 	(ii) summer or after-school enrichment and learning experiences;
64.1 	(iii) job training, internship opportunities, and career counseling services;
64.2 	(iv) programs that provide assistance to students who have been truant, suspended, 
64.3 	or expelled; and
64.4 	(v) specialized instructional support services;
64.5 	(3) parental involvement:
64.6 	(i) programs that promote parental involvement and family literacy, including the 
64.7 	Reading First and Early Reading First programs authorized under part B of title I of the 
64.8 	Elementary and Secondary Education Act of 1965, United States Code, title 20, section 
64.9 	6361, et seq.;
64.10 	(ii) parent leadership development activities; and
64.11 	(iii) parenting education activities;
64.12 	(4) mental and physical health:
64.13 	(i) mentoring and other youth development programs, including peer mentoring and 
64.14 	conflict mediation;
64.15 	(ii) juvenile crime prevention and rehabilitation programs;
64.16 	(iii) home visitation services by teachers and other professionals;
64.17 	(iv) developmentally appropriate physical education;
64.18 	(v) nutrition services;
64.19 	(vi) primary health and dental care; and
64.20 	(vii) mental health counseling services;
64.21 	(5) community involvement:
64.22 	(i) service and service-learning opportunities;
64.23 	(ii) adult education, including instruction in English as a second language; and
64.24 	(iii) homeless prevention services;
64.25 	(6) positive discipline practices; and
64.26 	(7) other programming designed to meet school and community needs identified in 
64.27 	the baseline analysis and reflected in the full-service community school plan.
64.28 	(h) The school leadership team at each school site must develop a full-service 
64.29 	community school plan detailing the steps the school leadership team will take, including:
64.30 	(1) timely establishment and consistent operation of the school leadership team;
64.31 	(2) maintenance of attendance records in all programming components;
64.32 	(3) maintenance of measurable data showing annual participation and the impact 
64.33 	of programming on the participating children and adults;
64.34 	(4) documentation of meaningful and sustained collaboration between the school 
64.35 	and community stakeholders, including local governmental units, civic engagement 
64.36 	organizations, businesses, and social service providers;
65.1 	(5) establishment and maintenance of partnerships with institutions, such as 
65.2 	universities, hospitals, museums, or not-for-profit community organizations to further the 
65.3 	development and implementation of community school programming;
65.4 	(6) ensuring compliance with the district nondiscrimination policy; and
65.5 	(7) plan for school leadership team development.
65.6 		Subd. 3.Full-service community school review. (a) Every three years, a 
65.7 	full-service community school site must submit to the commissioner, and make available 
65.8 	at the school site and online, a report describing efforts to integrate community school 
65.9 	programming at each covered school site and the effect of the transition to a full-service 
65.10 	community school on participating children and adults. This report shall include, but 
65.11 	is not limited to, the following:
65.12 	(1) an assessment of the effectiveness of the school site in development or 
65.13 	implementing the community school plan;
65.14 	(2) problems encountered in the design and execution of the community school 
65.15 	plan, including identification of any federal, state, or local statute or regulation impeding 
65.16 	program implementation;
65.17 	(3) the operation of the school leadership team and its contribution to successful 
65.18 	execution of the community school plan;
65.19 	(4) recommendations for improving delivery of community school programming 
65.20 	to students and families;
65.21 	(5) the number and percentage of students receiving community school programming 
65.22 	who had not previously been served;
65.23 	(6) the number and percentage of nonstudent community members receiving 
65.24 	community school programming who had not previously been served;
65.25 	(7) improvement in retention among students who receive community school 
65.26 	programming;
65.27 	(8) improvement in academic achievement among students who receive community 
65.28 	school programming;
65.29 	(9) changes in student's readiness to enter school, active involvement in learning and 
65.30 	in their community, physical, social and emotional health, and student's relationship with 
65.31 	the school and community environment;
65.32 	(10) an accounting of anticipated local budget savings, if any, resulting from the 
65.33 	implementation of the program;
65.34 	(11) improvements to the frequency or depth of families' involvement with their 
65.35 	children's education;
65.36 	(12) assessment of community stakeholder satisfaction;
66.1 	(13) assessment of institutional partner satisfaction;
66.2 	(14) the ability, or anticipated ability, of the school site and partners to continue to 
66.3 	provide services in the absence of future funding under this section;
66.4 	(15) increases in access to services for students and their families; and
66.5 	(16) the degree of increased collaboration among participating agencies and private 
66.6 	partners.
66.7 	(b) Reports submitted under this section shall be evaluated by the commissioner with 
66.8 	respect to the following criteria:
66.9 	(1) the effectiveness of the school or the community school consortium in 
66.10 	implementing the full-service community school plan, including the degree to which 
66.11 	the school site navigated difficulties encountered in the design and operation of the 
66.12 	full-service community school plan, including identification of any federal, state, or local 
66.13 	statute or regulation impeding program implementation;
66.14 	(2) the extent to which the project has produced lessons about ways to improve 
66.15 	delivery of community school programming to students;
66.16 	(3) the degree to which there has been an increase in the number or percentage of 
66.17 	students and nonstudents receiving community school programming;
66.18 	(4) the degree to which there has been an improvement in retention of students and 
66.19 	improvement in academic achievement among students receiving community school 
66.20 	programming;
66.21 	(5) local budget savings, if any, resulting from the implementation of the program;
66.22 	(6) the degree of community stakeholder and institutional partner engagement;
66.23 	(7) the ability, or anticipated ability, of the school site and partners to continue to 
66.24 	provide services in the absence of future funding under this section;
66.25 	(8) increases in access to services for students and their families; and
66.26 	(9) the degree of increased collaboration among participating agencies and private 
66.27 	partners.

66.28 	Sec. 45. Minnesota Statutes 2014, section 124D.73, subdivision 3, is amended to read:
66.29 		Subd. 3.Advisory task force Tribal Nations Education Committee. "Advisory 
66.30 	task force" "Tribal Nations Education Committee" means the state advisory task force 
66.31 	committee established through tribal directive that the commissioner consults with 
66.32 	on American Indian education programs, policy, and all matters related to educating 
66.33 	Minnesota's American Indian students.

66.34 	Sec. 46. Minnesota Statutes 2014, section 124D.73, subdivision 4, is amended to read:
67.1 		Subd. 4.Participating school; American Indian school. "Participating school" 
67.2 	and "American Indian school" mean a school that:
67.3 	(1) is not operated by a school district; and
67.4 	(2) is eligible for a grant under federal Title IV of the Indian VII of the Elementary 
67.5 	and Secondary Education Act for the education of American Indian children.

67.6 	Sec. 47. Minnesota Statutes 2014, section 124D.74, subdivision 1, is amended to read:
67.7 		Subdivision 1.Program described. American Indian education programs are 
67.8 	programs in public elementary and secondary schools, nonsectarian nonpublic, community, 
67.9 	tribal, charter, or alternative schools enrolling American Indian children designed to:
67.10 	(1) support postsecondary preparation for pupils;
67.11 	(2) support the academic achievement of American Indian students with identified 
67.12 	focus to improve reading and mathematic skills;
67.13 	(3) make the curriculum more relevant to the needs, interests, and cultural heritage 
67.14 	of American Indian pupils;
67.15 	(4) provide positive reinforcement of the self-image of American Indian pupils;
67.16 	(5) develop intercultural awareness among pupils, parents, and staff; and
67.17 	(6) supplement, not supplant, state and federal educational and cocurricular programs.
67.18 	Program components may include: development of support components for students in 
67.19 	the areas of services designed to increase completion and graduation rates of American 
67.20 	Indian students must emphasize academic achievement, retention, and attendance; 
67.21 	development of support components services for staff, including in-service training and 
67.22 	technical assistance in methods of teaching American Indian pupils; research projects, 
67.23 	including experimentation with innovative teaching approaches and evaluation of 
67.24 	methods of relating to American Indian pupils; provision of personal and vocational 
67.25 	career counseling to American Indian pupils; modification of curriculum, instructional 
67.26 	methods, and administrative procedures to meet the needs of American Indian pupils; and 
67.27 	supplemental instruction in American Indian language, literature, history, and culture. 
67.28 	Districts offering programs may make contracts for the provision of program components 
67.29 	services by establishing cooperative liaisons with tribal programs and American Indian 
67.30 	social service agencies. These programs may also be provided as components of early 
67.31 	childhood and family education programs.

67.32 	Sec. 48. Minnesota Statutes 2014, section 124D.74, subdivision 6, is amended to read:
67.33 		Subd. 6.Nonverbal courses and extracurricular activities. In predominantly 
67.34 	nonverbal subjects, such as art, music, and physical education, American Indian children 
68.1 	shall participate fully and on an equal basis with their contemporaries peers in school 
68.2 	classes provided for these subjects. Every school district or participating school shall 
68.3 	ensure to children enrolled in American Indian education programs an equal and 
68.4 	meaningful opportunity to participate fully with other children in all extracurricular 
68.5 	activities. This subdivision shall not be construed to prohibit instruction in nonverbal 
68.6 	subjects or extracurricular activities which relate to the cultural heritage of the American 
68.7 	Indian children, or which are otherwise necessary to accomplish the objectives described 
68.8 	in sections 124D.71 to 124D.82.

68.9 	Sec. 49. Minnesota Statutes 2014, section 124D.75, subdivision 1, is amended to read:
68.10 		Subdivision 1.American Indian language and culture education licenses. The 
68.11 	Board of Teaching, in consultation with the Tribal Nations Education Committee, must 
68.12 	grant initial and continuing teaching licenses in American Indian language and culture 
68.13 	education that bear the same duration as other initial and continuing licenses. The board 
68.14 	must grant licenses to persons who present satisfactory evidence that they:
68.15 	(1) possess competence in an American Indian language or possess unique 
68.16 	qualifications relative to or knowledge and understanding of American Indian history 
68.17 	and culture; or
68.18 	(2) possess a bachelor's degree or other academic degree approved by the board or 
68.19 	meet such requirements as to course of study and training as the board may prescribe, or 
68.20 	possess such relevant experience as the board may prescribe.
68.21 	This evidence may be presented by affidavits, tribal resolutions, or by such other 
68.22 	methods as the board may prescribe. Individuals may present applications for licensure on 
68.23 	their own behalf or these applications may be submitted by the superintendent or other 
68.24 	authorized official of a school district, participating school, or an American Indian school.

68.25 	Sec. 50. Minnesota Statutes 2014, section 124D.75, subdivision 3, is amended to read:
68.26 		Subd. 3.Resolution or letter. All persons applying for a license under this section 
68.27 	must submit to the board a resolution or letter of support signed by an American Indian 
68.28 	tribal government or its designee. All persons holding a license under this section on July 
68.29 	1, 1995, must have on file or file with the board a resolution or letter of support signed by 
68.30 	a tribal government or its designee by January 1, 1996, or the next renewal date of the 
68.31 	license thereafter.

68.32 	Sec. 51. Minnesota Statutes 2014, section 124D.75, subdivision 9, is amended to read:
69.1 		Subd. 9.Affirmative efforts in hiring. In hiring for all positions in these programs, 
69.2 	school districts and participating schools shall give preference to and make affirmative 
69.3 	efforts to seek, recruit, and employ persons who share the culture of the American Indian 
69.4 	children who are enrolled in the program. The district or participating school shall must 
69.5 	provide procedures for the involvement of the parent advisory committees in designing 
69.6 	the procedures for the recruitment, screening and selection of applicants. This subdivision 
69.7 	shall not be construed to limit the school board's authority to hire and discharge personnel.

69.8 	Sec. 52. Minnesota Statutes 2014, section 124D.76, is amended to read:
69.9 	124D.76 TEACHERS AIDES; COMMUNITY COORDINATORS, INDIAN 
69.10 	HOME/SCHOOL LIAISONS, PARAPROFESSIONALS.
69.11 	In addition to employing American Indian language and culture education teachers, 
69.12 	each district or participating school providing programs pursuant to sections 124D.71 to 
69.13 	124D.82 may employ teachers' aides paraprofessionals. Teachers' aides Paraprofessionals 
69.14 	must not be employed for the purpose of supplanting American Indian language and 
69.15 	culture education teachers.
69.16 	Any district or participating school which conducts American Indian education 
69.17 	programs pursuant to sections 124D.71 to 124D.82 must employ one or more full-time 
69.18 	or part-time community coordinators or Indian home/school liaisons if there are 100 or 
69.19 	more American Indian students enrolled in the program district. Community coordinators 
69.20 	shall promote communication understanding, and cooperation between the schools and the 
69.21 	community and shall visit the homes of children who are to be enrolled in an American 
69.22 	Indian education program in order to convey information about the program.

69.23 	Sec. 53. Minnesota Statutes 2014, section 124D.78, is amended to read:
69.24 	124D.78 PARENT AND COMMUNITY PARTICIPATION.
69.25 		Subdivision 1.Parent committee. School boards and American Indian schools 
69.26 	must provide for the maximum involvement of parents of children enrolled in education 
69.27 	programs, programs for elementary and secondary grades, special education programs, 
69.28 	and support services. Accordingly, the board of a school district in which there are ten 
69.29 	or more American Indian children students enrolled and each American Indian school 
69.30 	must establish a an American Indian education parent advisory committee. If a committee 
69.31 	whose membership consists of a majority of parents of American Indian children has been 
69.32 	or is established according to federal, tribal, or other state law, that committee may serve 
69.33 	as the committee required by this section and is subject to, at least, the requirements of 
69.34 	this subdivision and subdivision 2.
70.1 	The American Indian education parent advisory committee must develop its 
70.2 	recommendations in consultation with the curriculum advisory committee required by 
70.3 	section 120B.11, subdivision 3. This committee must afford parents the necessary 
70.4 	information and the opportunity effectively to express their views concerning all aspects 
70.5 	of American Indian education and the educational needs of the American Indian children 
70.6 	enrolled in the school or program. The committee must also address the need for adult 
70.7 	education programs for American Indian people in the community. The school board or 
70.8 	American Indian school must ensure that programs are planned, operated, and evaluated 
70.9 	with the involvement of and in consultation with parents of children students served by 
70.10 	the programs.
70.11 		Subd. 2.Resolution of concurrence. Prior to December March 1, the school 
70.12 	board or American Indian school must submit to the department a copy of a resolution 
70.13 	adopted by the American Indian education parent advisory committee. The copy must be 
70.14 	signed by the chair of the committee and must state whether the committee concurs with 
70.15 	the educational programs for American Indian children students offered by the school 
70.16 	board or American Indian school. If the committee does not concur with the educational 
70.17 	programs, the reasons for nonconcurrence and recommendations shall be submitted with 
70.18 	the resolution. By resolution, the board must respond in writing within 60 days, in cases 
70.19 	of nonconcurrence, to each recommendation made by the committee and state its reasons 
70.20 	for not implementing the recommendations.
70.21 		Subd. 3.Membership. The American Indian education parent advisory committee 
70.22 	must be composed of parents of children eligible to be enrolled in American Indian 
70.23 	education programs; secondary students eligible to be served; American Indian language 
70.24 	and culture education teachers and aides paraprofessionals; American Indian teachers; 
70.25 	counselors; adult American Indian people enrolled in educational programs; and 
70.26 	representatives from community groups. A majority of each committee must be parents 
70.27 	of children enrolled or eligible to be enrolled in the programs. The number of parents 
70.28 	of American Indian and non-American Indian children shall reflect approximately the 
70.29 	proportion of children of those groups enrolled in the programs.
70.30 		Subd. 4.Alternate committee. If the organizational membership or the board 
70.31 	of directors of an American Indian school consists of parents of children attending the 
70.32 	school, that membership or board may serve also as the American Indian education parent 
70.33 	advisory committee.

70.34 	Sec. 54. Minnesota Statutes 2014, section 124D.79, subdivision 1, is amended to read:
71.1 		Subdivision 1.American Indian community involvement. The commissioner 
71.2 	must provide for the maximum involvement of the state committees on American Indian 
71.3 	education Tribal Nations Education Committee, parents of American Indian children, 
71.4 	secondary students eligible to be served, American Indian language and culture education 
71.5 	teachers, American Indian teachers, teachers' aides paraprofessionals, representatives of 
71.6 	community groups, and persons knowledgeable in the field of American Indian education, 
71.7 	in the formulation of policy and procedures relating to the administration of sections 
71.8 	124D.71 to 124D.82. The commissioner must annually hold a field hearing on Indian 
71.9 	education to gather input from American Indian educators, parents, and students on the 
71.10 	state of American Indian education in Minnesota. Results of the hearing must be made 
71.11 	available to all 11 tribal nations for review and comment.

71.12 	Sec. 55. Minnesota Statutes 2014, section 124D.79, subdivision 2, is amended to read:
71.13 		Subd. 2.Technical assistance. The commissioner shall provide technical assistance 
71.14 	to districts, schools and postsecondary institutions for preservice and in-service training 
71.15 	for teachers, American Indian education teachers and teacher's aides, paraprofessionals 
71.16 	specifically designed to implement culturally responsive teaching methods, culturally 
71.17 	based curriculum development, testing and testing mechanisms, and the development of 
71.18 	materials for American Indian education programs.

71.19 	Sec. 56. Minnesota Statutes 2014, section 124D.791, subdivision 4, is amended to read:
71.20 		Subd. 4.Duties; powers. The Indian education director shall:
71.21 	(1) serve as the liaison for the department with the Tribal Nations Education 
71.22 	Committee, the 11 reservations tribal communities in Minnesota, the Minnesota Chippewa 
71.23 	tribe, and the Minnesota Indian Affairs Council, and the Urban Advisory Council;
71.24 	(2) evaluate the state of American Indian education in Minnesota;
71.25 	(3) engage the tribal bodies, community groups, parents of children eligible to be 
71.26 	served by American Indian education programs, American Indian administrators and 
71.27 	teachers, persons experienced in the training of teachers for American Indian education 
71.28 	programs, the tribally controlled schools, and other persons knowledgeable in the field of 
71.29 	American Indian education and seek their advice on policies that can improve the quality 
71.30 	of American Indian education;
71.31 	(4) advise the commissioner on American Indian education issues, including:
71.32 	(i) issues facing American Indian students;
71.33 	(ii) policies for American Indian education;
72.1 	(iii) awarding scholarships to eligible American Indian students and in administering 
72.2 	the commissioner's duties regarding awarding of American Indian postsecondary 
72.3 	preparationeducation grants to school districts; and
72.4 	(iv) administration of the commissioner's duties under sections 124D.71 to 124D.82 
72.5 	and other programs for the education of American Indian people;
72.6 	(5) propose to the commissioner legislative changes that will improve the quality 
72.7 	of American Indian education;
72.8 	(6) develop a strategic plan and a long-term framework for American Indian 
72.9 	education, in conjunction with the Minnesota Indian Affairs Council, that is updated every 
72.10 	five years and implemented by the commissioner, with goals to:
72.11 	(i) increase American Indian student achievement, including increased levels of 
72.12 	proficiency and growth on statewide accountability assessments;
72.13 	(ii) increase the number of American Indian teachers in public schools;
72.14 	(iii) close the achievement gap between American Indian students and their more 
72.15 	advantaged peers;
72.16 	(iv) increase the statewide graduation rate for American Indian students; and
72.17 	(v) increase American Indian student placement in postsecondary programs and 
72.18 	the workforce; and
72.19 	(7) keep the American Indian community informed about the work of the department 
72.20 	by reporting to the Tribal Nations Education Committee at each committee meeting.

72.21 	Sec. 57. Minnesota Statutes 2014, section 124D.81, is amended to read:
72.22 	124D.81 CONTINUATION OF AMERICAN INDIAN EDUCATION GRANTS 
72.23 	AID.
72.24 		Subdivision 1.Grants; Procedures. Each fiscal year the commissioner of education 
72.25 	must make grants to no fewer than six American Indian education programs. At least 
72.26 	three programs must be in urban areas and at least three must be on or near reservations. 
72.27 	The board of a local district, a participating school or a group of boards may develop a 
72.28 	proposal for grants in support of American Indian education programs. Proposals A 
72.29 	school district, charter school, or American Indian-controlled tribal contract or grant 
72.30 	school enrolling at least 20 American Indian students on October 1 of the previous school 
72.31 	year, receiving federal Title 7 funding, and operating an American Indian education 
72.32 	program according to section 124D.74 is eligible for Indian education aid if it meets the 
72.33 	requirements of this section. Programs may provide for contracts for the provision of 
72.34 	program components by nonsectarian nonpublic, community, tribal, charter, or alternative 
72.35 	schools. The commissioner shall prescribe the form and manner of application for grants 
73.1 	aids, and no grant aid shall be made for a proposal program not complying with the 
73.2 	requirements of sections 124D.71 to 124D.82.
73.3 		Subd. 2.Plans. Each To qualify for aid, an eligible district, charter school, or 
73.4 	participating tribal contract school submitting a proposal under subdivision 1 must 
73.5 	develop and submit with the proposal a plan for approval by the Indian education director 
73.6 	which that shall:
73.7 	(a) Identify the measures to be used to meet the requirements of sections 124D.71 to 
73.8 	124D.82;
73.9 	(b) Identify the activities, methods and programs to meet the identified educational 
73.10 	needs of the children to be enrolled in the program;
73.11 	(c) Describe how district goals and objectives as well as the objectives of sections 
73.12 	124D.71 to 124D.82 are to be achieved;
73.13 	(d) Demonstrate that required and elective courses as structured do not have a 
73.14 	discriminatory effect within the meaning of section 124D.74, subdivision 5;
73.15 	(e) Describe how each school program will be organized, staffed, coordinated, 
73.16 	and monitored; and
73.17 	(f) Project expenditures for programs under sections 124D.71 to 124D.82.
73.18 		Subd. 2a.American Indian education aid. (a) The American Indian education 
73.19 	aid for an eligible district or tribal contract school equals the greater of (1) the sum of 
73.20 	$20,000 plus the product of $63 times the difference between the number of American 
73.21 	Indian students enrolled on October 1 of the previous school year and 20; or (2) if the 
73.22 	district or school received a grant under this section for fiscal year 2015, the amount 
73.23 	of the grant for fiscal year 2015.
73.24 	(b) Notwithstanding paragraph (a), the American Indian education aid must not 
73.25 	exceed the district or tribal contract school's actual expenditure according to the approved 
73.26 	plan under subdivision 2.
73.27 		Subd. 3.Additional requirements. Each district receiving a grant aid under this 
73.28 	section must each year conduct a count of American Indian children in the schools 
73.29 	of the district; test for achievement; identify the extent of other educational needs of 
73.30 	the children to be enrolled in the American Indian education program; and classify the 
73.31 	American Indian children by grade, level of educational attainment, age and achievement. 
73.32 	Participating schools must maintain records concerning the needs and achievements of 
73.33 	American Indian children served.
73.34 		Subd. 4.Nondiscrimination; testing. In accordance with recognized professional 
73.35 	standards, all testing and evaluation materials and procedures utilized for the identification, 
73.36 	testing, assessment, and classification of American Indian children must be selected and 
74.1 	administered so as not to be racially or culturally discriminatory and must be valid for the 
74.2 	purpose of identifying, testing, assessing, and classifying American Indian children.
74.3 		Subd. 5.Records. Participating schools and districts must keep records and afford 
74.4 	access to them as the commissioner finds necessary to ensure that American Indian 
74.5 	education programs are implemented in conformity with sections 124D.71 to 124D.82. 
74.6 	Each school district or participating school must keep accurate, detailed, and separate 
74.7 	revenue and expenditure accounts for pilot American Indian education programs funded 
74.8 	under this section.
74.9 		Subd. 6.Money from other sources. A district or participating school providing 
74.10 	American Indian education programs shall be eligible to receive moneys for these programs 
74.11 	from other government agencies and from private sources when the moneys are available.
74.12 		Subd. 7.Exceptions. Nothing in sections 124D.71 to 124D.82 shall be construed as 
74.13 	prohibiting a district or school from implementing an American Indian education program 
74.14 	which is not in compliance with sections 124D.71 to 124D.82 if the proposal and plan for 
74.15 	that program is not funded pursuant to this section.

74.16 	EFFECTIVE DATE. This section is effective for revenue for fiscal year 2016 
74.17 	and later.

74.18 	Sec. 58. Minnesota Statutes 2014, section 124D.98, is amended to read:
74.19 	124D.98 LITERACY INCENTIVE AID.
74.20 		Subdivision 1.Literacy incentive aid. In fiscal year 2013 and later, A district's 
74.21 	literacy incentive aid equals the sum of the proficiency aid under subdivision 2, and the 
74.22 	growth aid under subdivision 3.
74.23 		Subd. 2.Proficiency aid. In fiscal year 2013 and later, The proficiency aid for 
74.24 	each school in a district that has submitted to the commissioner its local literacy plan 
74.25 	under section 120B.12, subdivision 4a, is equal to the product of the school's proficiency 
74.26 	allowance times the number of third grade pupils at the school on October 1 of the previous 
74.27 	fiscal year. A school's proficiency allowance is equal to the percentage of students in 
74.28 	each building that meet or exceed proficiency on the third grade reading Minnesota 
74.29 	Comprehensive Assessment, averaged across the previous three test administrations, 
74.30 	times $530.
74.31 		Subd. 3.Growth aid. In fiscal year 2013 and later, The growth aid for each school 
74.32 	in a district that has submitted to the commissioner its local literacy plan under section 
74.33 	120B.12, subdivision 4a, is equal to the product of the school's growth allowance times 
74.34 	the number of fourth grade pupils enrolled at the school on October 1 of the previous 
75.1 	fiscal year. A school's growth allowance is equal to the percentage of students at that 
75.2 	school making medium or high growth, under section 120B.299, on the fourth grade 
75.3 	reading Minnesota Comprehensive Assessment, averaged across the previous three test 
75.4 	administrations, times $530.

75.5 	EFFECTIVE DATE. This section is effective for fiscal year 2016 and later.

75.6 	Sec. 59. Minnesota Statutes 2014, section 126C.15, subdivision 1, is amended to read:
75.7 		Subdivision 1.Use of revenue. The basic skills revenue under section 126C.10, 
75.8 	subdivision 4, must be reserved and used to meet the educational needs of pupils who 
75.9 	enroll under-prepared to learn and whose progress toward meeting state or local content 
75.10 	or performance standards is below the level that is appropriate for learners of their age. 
75.11 	Basic skills revenue may also be used for programs designed to prepare children and their 
75.12 	families for entry into school whether the student first enrolls in kindergarten or first grade. 
75.13 	Any of the following may be provided to meet these learners' needs:
75.14 	(1) direct instructional services under the assurance of mastery program according 
75.15 	to section 124D.66;
75.16 	(2) remedial instruction in reading, language arts, mathematics, other content areas, 
75.17 	or study skills to improve the achievement level of these learners;
75.18 	(3) additional teachers and teacher aides to provide more individualized instruction 
75.19 	to these learners through individual tutoring, lower instructor-to-learner ratios, or team 
75.20 	teaching;
75.21 	(4) a longer school day or week during the regular school year or through a summer 
75.22 	program that may be offered directly by the site or under a performance-based contract 
75.23 	with a community-based organization;
75.24 	(5) comprehensive and ongoing staff development consistent with district and site 
75.25 	plans according to section 122A.60 and to implement plans under section 120B.12, 
75.26 	subdivision 4a, for teachers, teacher aides, principals, and other personnel to improve 
75.27 	their ability to identify the needs of these learners and provide appropriate remediation, 
75.28 	intervention, accommodations, or modifications;
75.29 	(6) instructional materials, digital learning, and technology appropriate for meeting 
75.30 	the individual needs of these learners;
75.31 	(7) programs to reduce truancy, encourage completion of high school, enhance 
75.32 	self-concept, provide health services, provide nutrition services, provide a safe and secure 
75.33 	learning environment, provide coordination for pupils receiving services from other 
75.34 	governmental agencies, provide psychological services to determine the level of social, 
76.1 	emotional, cognitive, and intellectual development, and provide counseling services, 
76.2 	guidance services, and social work services;
76.3 	(8) bilingual programs, bicultural programs, and programs for English learners;
76.4 	(9) all-day kindergarten;
76.5 	(10) early education programs, parent-training programs, school readiness programs, 
76.6 	kindergarten programs for four-year-olds, voluntary home visits under section 124D.13, 
76.7 	subdivision 4, and other outreach efforts designed to prepare children for kindergarten;
76.8 	(11) extended school day and extended school year programs; and
76.9 	(12) substantial parent involvement in developing and implementing remedial 
76.10 	education or intervention plans for a learner, including learning contracts between the 
76.11 	school, the learner, and the parent that establish achievement goals and responsibilities of 
76.12 	the learner and the learner's parent or guardian.

76.13 	EFFECTIVE DATE. This section is effective for fiscal year 2016 and later.

76.14 	Sec. 60. Minnesota Statutes 2014, section 135A.101, is amended by adding a 
76.15 	subdivision to read:
76.16 		Subd. 3.Minnesota transfer curriculum. Notwithstanding section 135A.08 or 
76.17 	other law to the contrary, all MnSCU institutions must give full credit to a secondary pupil 
76.18 	who completes for postsecondary credit a postsecondary course or program that is part or 
76.19 	all of a goal area or a transfer curriculum at a MnSCU institution when the pupil enrolls 
76.20 	in a MnSCU institution after leaving secondary school. Once one MnSCU institution 
76.21 	certifies as completed a secondary student's postsecondary course or program that is part 
76.22 	or all of a goal area or a transfer curriculum, every MnSCU institution must consider the 
76.23 	student's course or program for that goal area or the transfer curriculum as completed. 

76.24 	EFFECTIVE DATE. This section is effective August 1, 2015.

76.25 	Sec. 61. Laws 2013, chapter 116, article 3, section 35, subdivision 2, is amended to read:
76.26 		Subd. 2.Achievement and integration levy. For fiscal year 2014 only, a district's 
76.27 	achievement and integration levy equals the lesser of the district's achievement and 
76.28 	integration revenue for that year or the amount the district was authorized to levy under 
76.29 	Laws 2011, First Special Session chapter 11, article 2, section 49, paragraph (f).

76.30 	EFFECTIVE DATE. This section is effective the day following final enactment.

76.31 	Sec. 62. Laws 2014, chapter 312, article 16, section 15, is amended to read:
76.32 	Sec. 15. TEACHER DEVELOPMENT AND EVALUATION REVENUE.
 77.1 	(a) For fiscal year 2015 only, teacher development and evaluation revenue for a 
77.2 	school district, intermediate school district, educational cooperative, education district, 
77.3 	or charter school with any school site that does not have an alternative professional pay 
77.4 	system agreement under Minnesota Statutes, section 122A.414, subdivision 2, equals $302 
77.5 	times the number of full-time equivalent teachers employed on October 1 of the previous 
77.6 	school year in each school site without an alternative professional pay system under 
77.7 	Minnesota Statutes, section 122A.414, subdivision 2. Except for charter schools, revenue 
77.8 	under this section must be reserved for teacher development and evaluation activities 
77.9 	consistent with Minnesota Statutes, section 122A.40, subdivision 8, or Minnesota Statutes, 
77.10 	section 122A.41, subdivision 5. For the purposes of this section, "teacher" has the 
77.11 	meaning given it in Minnesota Statutes, section 122A.40, subdivision 1, or Minnesota 
77.12 	Statutes, section 122A.41, subdivision 1.
77.13 	(b) Notwithstanding paragraph (a), the state total teacher development and 
77.14 	evaluation revenue entitlement must not exceed $10,000,000 $10,022,000 for fiscal year 
77.15 	2015. The commissioner must limit the amount of revenue under this section so as not 
77.16 	to exceed this limit.

77.17 	EFFECTIVE DATE. This section is effective retroactively from July 1, 2014.

77.18 	Sec. 63. Laws 2014, chapter 312, article 16, section 16, subdivision 7, is amended to 
77.19 	read:
77.20 		Subd. 7.Teacher development and evaluation. For teacher development and 
77.21 	evaluation revenue.

77.22
77.23		$
	9,000,000 
9,020,000
	.....
	2015
	
77.24 	The 2015 appropriation includes $0 for 2014 and $9,000,000 $9,020,000 for 2015. 
77.25 	This is a onetime appropriation and is available until expended the end of fiscal year 2017.

77.26 	EFFECTIVE DATE. This section is effective the day following final enactment.

77.27 	Sec. 64. TRANSFER CURRICULUM REPORT.
 77.28 	By February 1, 2016, the chancellor of the Minnesota State Colleges and 
77.29 	Universities must prepare and submit to the K-12 and higher education committees of 
77.30 	the legislature a report describing the implementation of the transfer curriculum policy 
77.31 	for postsecondary enrollment options program students under Minnesota Statutes, 
77.32 	sections 124D.09, subdivision 12, and 135A.101, subdivision 3, and how to standardize 
78.1 	Advanced Placement, International Baccalaureate, and college-level exam program course 
78.2 	equivalencies across all state colleges and universities.

78.3 	EFFECTIVE DATE. This section is effective the day following final enactment.

78.4 	Sec. 65. EXAMINING AND DEVELOPING STATEWIDE SWIMMING 
78.5 	RESOURCES.
 78.6 	(a) The commissioner of education must use existing budgetary resources to 
78.7 	inventory and report to the education committees of the legislature by February 1, 2016, 
78.8 	on the extent of existing resources and best practices available for swimming instruction 
78.9 	in Minnesota public schools.
78.10 	(b) The commissioner of education must establish a work group of interested 
78.11 	stakeholders, including the commissioner or commissioner's designee, the commissioner 
78.12 	of health or the commissioner's designee, and representatives of K-12 physical education 
78.13 	teachers, K-12 school administrators, the Minnesota school boards association, nonprofit 
78.14 	fitness and recreational organizations, public parks and recreation departments, and 
78.15 	other stakeholders, including community members underserved and disproportionately 
78.16 	impacted by the current distribution of swimming resources, interested in swimming 
78.17 	instruction and activities identified by the commissioner of education, to determine 
78.18 	and report to the education committees of the legislature by February 1, 2016, on the 
78.19 	curriculum, resources, personnel, and other costs needed to make swimming instruction 
78.20 	available in all Minnesota public schools for children beginning at an early age. The work 
78.21 	group must consider the substance of the report under paragraph (a) in preparing its report.

78.22 	EFFECTIVE DATE. This section is effective the day following final enactment.

78.23 	Sec. 66. SCHOOL START DATE FOR THE 2015-2016 SCHOOL YEAR ONLY.
 78.24 	Notwithstanding Minnesota Statutes, section 120A.40, or other law to the contrary, 
78.25 	for the 2015-2016 school year only, school districts may begin the school year on 
78.26 	September 1.

78.27 	EFFECTIVE DATE. This section is effective the day following final enactment for 
78.28 	the 2015-2016 school year only.

78.29 	Sec. 67. DEVELOPMENTAL COURSE TAKING; REPORT.
 78.30 	The commissioner of education, in consultation with the commissioner of the Office 
78.31 	of Higher Education, the chancellor of the Minnesota State Colleges and Universities, 
79.1 	and the president of the University of Minnesota, shall collect and report the following 
79.2 	information to the legislature by January 1, 2016:
79.3 	(1) the tuition costs incurred by students enrolled in noncredit-bearing college 
79.4 	courses at the University of Minnesota and the Minnesota State Colleges and Universities 
79.5 	for developmental or remedial purposes for the 2014-2015 and preceding four school 
79.6 	years; and
79.7 	(2) for the same time period, the Minnesota high schools who graduated the students 
79.8 	in clause (1), the aggregate number of students from each high school in clause (1), and 
79.9 	the tuition cost under clause (1) for students from each high school.

79.10 	Sec. 68. RECOMMENDATIONS ON SERVICE-LEARNING.
 79.11 	The Board of Teaching may make recommendations to the legislature on teacher 
79.12 	preparation and licensure requirements in the area of service-learning, consistent with 
79.13 	Minnesota Statutes, section 124D.50, and the definition of service-learning in the federal 
79.14 	National and Community Service Act, as amended, and submit the recommendations 
79.15 	to the legislature by February 15, 2016. The board must consult with representatives 
79.16 	of teacher preparation programs and institutions, school-based and community-based 
79.17 	service-learning practitioners and experts, licensed teachers, students with service-learning 
79.18 	experience, and other interested stakeholders in developing the recommendations.

79.19 	Sec. 69. APPROPRIATIONS.
 79.20 		Subdivision 1.Department of Education. The sums indicated in this section are 
79.21 	appropriated from the general fund to the Department of Education for the fiscal years 
79.22 	designated.
79.23 		Subd. 2.Alternative compensation. For alternative teacher compensation aid 
79.24 	under Minnesota Statutes, section 122A.415, subdivision 4:

79.25		$
	78,331,000
	.....
	2016
	
79.26		$
	87,147,000
	.....
	2017
	
79.27 	The 2016 appropriation includes $7,766,000 for 2015 and $70,565,000 for 2016.
79.28 	The 2017 appropriation includes $7,840,000 for 2016 and $79,307,000 for 2017.
79.29 		Subd. 3.Achievement and integration aid. For achievement and integration aid 
79.30 	under Minnesota Statutes, section 124D.862:

79.31		$
	65,539,000
	.....
	2016
	
79.32		$
	68,745,000
	.....
	2017
	
79.33 	The 2016 appropriation includes $6,382,000 for 2015 and $59,157,000 for 2016.
79.34 	The 2017 appropriation includes $6,573,000 for 2016 and $62,172,000 for 2017.
80.1 		Subd. 4.Literacy incentive aid. For literacy incentive aid under Minnesota 
80.2 	Statutes, section 124D.98:

80.3		$
	44,552,000
	.....
	2016
	
80.4		$
	45,508,000
	.....
	2017
	
80.5 	The 2016 appropriation includes $4,683,000 for 2015 and $39,869,000 for 2016.
80.6 	The 2017 appropriation includes $4,429,000 for 2016 and $41,079,000 for 2017.
80.7 		Subd. 5.Interdistrict desegregation or integration transportation grants. For 
80.8 	interdistrict desegregation or integration transportation grants under Minnesota Statutes, 
80.9 	section 124D.87:

80.10		$
	15,023,000
	.....
	2016
	
80.11		$
	15,825,000
	.....
	2017
	
80.12 		Subd. 6.Reading Corps. For grants to serve Minnesota for the Minnesota Reading 
80.13 	Corps under Minnesota Statutes, section 124D.42, subdivision 8:

80.14		$
	6,125,000
	.....
	2016
	
80.15		$
	6,125,000
	.....
	2017
	
80.16 	Any balance in the first year does not cancel but is available in the second year.
80.17 		Subd. 7.Tribal contract schools. For tribal contract school aid under Minnesota 
80.18 	Statutes, section 124D.83:

80.19		$
	2,157,000
	.....
	2016
	
80.20		$
	2,273,000
	.....
	2017
	
80.21 	The 2016 appropriation includes $204,000 for 2015 and $1,953,000 for 2016.
80.22 	The 2017 appropriation includes $216,000 for 2016 and $2,057,000 for 2017.
80.23 		Subd. 8.Compensatory revenue pilot program. For grants for participation in the 
80.24 	compensatory revenue pilot program under Laws 2005, First Special Session chapter 5, 
80.25 	article 1, section 50, as amended by Laws 2007, chapter 146, article 1, section 21:

80.26		$
	2,325,000
	.....
	2016
	
80.27		$
	2,325,000
	.....
	2017
	
80.28 	(a) In fiscal years 2016 and 2017, grants shall be awarded in the following amounts: 
80.29 	$1,500,000 is for a grant to Independent School District No. 11, Anoka-Hennepin; 
80.30 	$75,000 is for a grant to Independent School District No. 286, Brooklyn Center; $210,000 
80.31 	is for a grant to Independent School District No. 279, Osseo; $160,000 is for a grant to 
80.32 	Independent School District No. 281, Robbinsdale; $165,000 is for a grant to Independent 
80.33 	School District No. 535, Rochester; $65,000 is for a grant to Independent School District 
80.34 	No. 833, South Washington; and $150,000 is for a grant to Independent School District No. 
81.1 	241, Albert Lea. If a grant to a specific school district is not awarded, the commissioner 
81.2 	may increase the aid amounts to any of the remaining participating school districts. 
81.3 	(b) The commissioner of education must submit a report by February 15, 2016, to the 
81.4 	education committees of the legislature evaluating the effectiveness of the pilot program.
81.5 		Subd. 9.Concurrent enrollment program. For concurrent enrollment programs 
81.6 	under Minnesota Statutes, section 124D.091:

81.7		$
	$4,000,000
	.....
	2016
	
81.8		$
	$4,000,000
	.....
	2017
	
81.9 	If the appropriation is insufficient, the commissioner must proportionately reduce 
81.10 	the aid payment to each district.
81.11 	Any balance in the first year does not cancel but is available in the second year.
81.12 		Subd. 10.Success for the future. For American Indian success for the future grants 
81.13 	under Minnesota Statutes, section 124D.81:

81.14		$
	213,000
	.....
	2016
	
81.15		$
	0
	.....
	2017
	
81.16 	The 2016 appropriation includes $213,000 for 2015 and $0 for 2016.
81.17 		Subd. 11.American Indian education aid. For American Indian education aid 
81.18 	under Minnesota Statutes, section 124D.81, subdivision 2a:

81.19		$
	3,513,000
	.....
	2016
	
81.20		$
	3,726,000
	.....
	2017
	
81.21 		Subd. 12.Collaborative urban educator. For the collaborative urban educator 
81.22 	grant program:

81.23		$
	780,000
	.....
	2016
	
81.24		$
	780,000
	.....
	2017
	
81.25 	Grants shall be awarded in equal amounts: $195,000 each year is for the Southeast 
81.26 	Asian teacher program at Concordia University, St. Paul; $195,000 each year is for the 
81.27 	collaborative urban educator program at the University of St. Thomas; $195,000 each year 
81.28 	is for the Center for Excellence in Urban Teaching at Hamline University; and $195,00 
81.29 	each year is for the East Africa Student to Teacher program at Augsburg College.
81.30 	Any balance in the first year does not cancel but is available in the second year.
81.31 	Each institution shall prepare for the legislature, by January 15 of each year, a 
81.32 	detailed report regarding the funds used. The report must include the number of teachers 
81.33 	prepared as well as the diversity for each cohort of teachers produced.
81.34 		Subd. 13.ServeMinnesota program. For funding ServeMinnesota programs under 
81.35 	Minnesota Statutes, sections 124D.37 to 124D.45:

82.1		$
	900,000
	.....
	2016
	
82.2		$
	900,000
	.....
	2017
	
82.3 	A grantee organization may provide health and child care coverage to the dependents 
82.4 	of each participant enrolled in a full-time ServeMinnesota program to the extent such 
82.5 	coverage is not otherwise available.
82.6 		Subd. 14.Student organizations. For student organizations:

82.7		$
	725,000
	.....
	2016
	
82.8		$
	725,000
	.....
	2017
	
82.9 	$46,000 each year is for student organizations serving health occupations (HOSA).
82.10 	$100,000 each year is for student organizations serving trade and industry 
82.11 	occupations (Skills USA, secondary and postsecondary).
82.12 	$95,000 each year is for student organizations serving business occupations (BPA, 
82.13 	secondary and postsecondary).
82.14 	$193,000 each year is for student organizations serving agriculture occupations 
82.15 	(FFA, PAS).
82.16 	$142,000 each year is for student organizations serving family and consumer science 
82.17 	occupations (FCCLA).
82.18 	$109,000 each year is for student organizations serving marketing occupations 
82.19 	(DECA and DECA collegiate).
82.20 	$40,000 each year is for the Minnesota Foundation for Student Organizations.
82.21 	Any balance in the first year does not cancel but is available in the second year.
82.22 		Subd. 15.Museums and Education Centers. For grants to museums and education 
82.23 	centers:

82.24		$
	351,000
	.....
	2016
	
82.25		$
	351,000
	.....
	2017
	
82.26 	(a) $260,000 each year is for the Minnesota Children's Museum.
82.27 	(b) $50,000 each year is for the Duluth Children's Museum.
82.28 	(c) $41,000 each year is for the Minnesota Academy of Science.
82.29 	Any balance in the first year does not cancel but is available in the second year.
82.30 		Subd. 16.Teacher development and evaluation. For teacher development and 
82.31 	evaluation revenue:

82.32		$
	1,002,000
	.....
	2016
	
82.33 	The 2016 appropriation includes $1,002,000 for 2016 and $0 for 2017. This is a 
82.34 	onetime appropriation and is available in the second year.
83.1 		Subd. 17.Starbase MN. For a grant to Starbase MN for rigorous science, 
83.2 	technology, engineering, and math (STEM) program providing students in grades 4 to 
83.3 	6 with a multisensory learning experience and a hands-on curriculum in an aerospace 
83.4 	environment using state-of-the-art technology:

83.5		$
	924,000
	.....
	2016
	
83.6		$
	-0-
	.....
	2017
	
83.7 	This appropriation does not cancel but is available in the second year of the biennium.
83.8 	The base appropriation for this appropriation in fiscal year 2018 is $500,000.
83.9 	All unspent funds, estimated at $924,000 from the Starbase appropriation under 
83.10 	Laws 2013, chapter 116, article 3, section 37, subdivision 22, are canceled to the general 
83.11 	fund on June 30, 2015.
83.12 		Subd. 18.Recovery program grants. For recovery program grants under 
83.13 	Minnesota Statutes, section 124D.695:

83.14		$
	500,000
	.....
	2016
	
83.15		$
	500,000
	.....
	2017
	
83.16 	Any balance in the first year does not cancel and is available in the second year.
83.17 		Subd. 19.Full-service community schools. For full-service community schools 
83.18 	under Minnesota Statutes, section 124D.231:

83.19		$
	250,000
	.....
	2016
	
83.20		$
	250,000
	.....
	2017
	
83.21 	This is a onetime appropriation. Any balance in the first year does not cancel but 
83.22 	is available in the second year.
83.23 		Subd. 20.Minnesota math corps program. For the Minnesota math corps program 
83.24 	under Minnesota Statutes, section 124D.42, subdivision 9:

83.25		$
	250,000
	.....
	2016
	
83.26		$
	250,000
	.....
	2017
	
83.27 	Any unexpended balance in the first year does not cancel but is available in the 
83.28 	second year.
83.29 		Subd. 21.American Indian teacher preparation grants. For joint grants to assist 
83.30 	American Indian people to become teachers under Minnesota Statutes, section 122A.63:

83.31		$
	190,000
	.....
	2016
	
83.32		$
	190,000
	.....
	2017
	
83.33 		Subd. 22.Civic education grants. For grants to the Minnesota Civic Education 
83.34 	Coalition, Kids Voting St. Paul, Learning Law and Democracy Foundation, and YMCA 
83.35 	Youth in Government to provide civic education programs for Minnesota youth age 18 
84.1 	and younger. Civic education is the study of constitutional principles and the democratic 
84.2 	foundation of our national, state, and local institutions, and the study of political processes 
84.3 	and structures of government, grounded in the understanding of constitutional government 
84.4 	under the rule of law.

84.5		$
	125,000
	.....
	2016
	
84.6		$
	125,000
	.....
	2017
	
84.7 	Any balance in the first year does not cancel but is available in the second year.
84.8 		Subd. 23.Minnesota Principals' Academy. For a grant to the University of 
84.9 	Minnesota College of Education and Human Development, for the operation of the 
84.10 	Minnesota Principals' Academy:

84.11		$
	150,000
	.....
	2016
	
84.12		$
	150,000
	.....
	2017
	
84.13 	Any balance in the first year does not cancel but is available in the second year. 
84.14 		Subd. 24.Race 2 Reduce. For grants to support expanded Race 2 Reduce water 
84.15 	conservation programming in Minnesota schools:

84.16		$
	81,000
	.....
	2016
	
84.17		$
	69,000
	.....
	2017
	
84.18 	In the first year, $28,000 is for H2O for Life; $38,000 is for Independent School 
84.19 	District No. 624, White Bear Lake; and $15,000 is for Independent School District 
84.20 	No. 832, Mahtomedi. In the second year, $32,000 is for H2O for Life; $22,000 is for 
84.21 	Independent School District No. 624, White Bear Lake; and $15,000 is for Independent 
84.22 	School District No. 832, Mahtomedi.
84.23 	Any balance in the first year does not cancel but is available in the second year. The 
84.24 	base appropriation for fiscal year 2018 and later is $0.
84.25 		Subd. 25.Northwestern Online College in the High School program. For the 
84.26 	Northwestern Online College in the High School program:

84.27		$
	50,000
	.....
	2016
	
84.28		$
	50,000
	.....
	2017
	
84.29 	This is a onetime appropriation. Any balance from the first year may carry forward 
84.30 	into the second year.

84.31 	ARTICLE 3
84.32 	STANDARDS AND ASSESSMENTS

84.33 	Section 1. Minnesota Statutes 2014, section 120B.02, subdivision 2, is amended to read:
85.1 		Subd. 2.Graduation requirements. To graduate from high school, students must 
85.2 	demonstrate to their enrolling school district or school their satisfactory completion of the 
85.3 	credit requirements under section 120B.024 and their understanding of academic standards 
85.4 	on a nationally normed college entrance exam. A school district must adopt graduation 
85.5 	requirements that meet or exceed state graduation requirements established in law or rule.

85.6 	EFFECTIVE DATE. This section is effective and applies to students entering grade 
85.7 	8 in the 2012-2013 school year and later.

85.8 	Sec. 2. Minnesota Statutes 2014, section 120B.021, subdivision 4, is amended to read:
85.9 		Subd. 4.Revisions and reviews required. (a) The commissioner of education must 
85.10 	revise and appropriately embed technology and information literacy standards consistent 
85.11 	with recommendations from school media specialists into the state's academic standards 
85.12 	and graduation requirements and implement a ten-year cycle to review and, consistent 
85.13 	with the review, revise state academic standards and related benchmarks, consistent with 
85.14 	this subdivision. During each ten-year review and revision cycle, the commissioner also 
85.15 	must examine the alignment of each required academic standard and related benchmark 
85.16 	with the knowledge and skills students need for career and college readiness and advanced 
85.17 	work in the particular subject area. The commissioner must include the contributions of 
85.18 	Minnesota American Indian tribes and communities as related to the academic standards 
85.19 	during the review and revision of the required academic standards.
85.20 	(b) The commissioner must ensure that the statewide mathematics assessments 
85.21 	administered to students in grades 3 through 8 and 11 are aligned with the state academic 
85.22 	standards in mathematics, consistent with section 120B.30, subdivision 1, paragraph 
85.23 	(b). The commissioner must implement a review of the academic standards and related 
85.24 	benchmarks in mathematics beginning in the 2015-2016 2020-2021 school year and 
85.25 	every ten years thereafter.
85.26 	(c) The commissioner must implement a review of the academic standards and related 
85.27 	benchmarks in arts beginning in the 2016-2017 school year and every ten years thereafter.
85.28 	(d) The commissioner must implement a review of the academic standards and 
85.29 	related benchmarks in science beginning in the 2017-2018 school year and every ten 
85.30 	years thereafter.
85.31 	(e) The commissioner must implement a review of the academic standards and 
85.32 	related benchmarks in language arts beginning in the 2018-2019 school year and every 
85.33 	ten years thereafter.
86.1 	(f) The commissioner must implement a review of the academic standards and 
86.2 	related benchmarks in social studies beginning in the 2019-2020 school year and every 
86.3 	ten years thereafter.
86.4 	(g) School districts and charter schools must revise and align local academic 
86.5 	standards and high school graduation requirements in health, world languages, and career 
86.6 	and technical education to require students to complete the revised standards beginning 
86.7 	in a school year determined by the school district or charter school. School districts and 
86.8 	charter schools must formally establish a periodic review cycle for the academic standards 
86.9 	and related benchmarks in health, world languages, and career and technical education.

86.10 	EFFECTIVE DATE. This section is effective the day following final enactment.

86.11 	Sec. 3. Minnesota Statutes 2014, section 120B.022, subdivision 1, is amended to read:
86.12 		Subdivision 1.Elective standards.  A district must establish its own standards in the 
86.13 	following subject areas:
86.14 	(1) career and technical education; and.
86.15 	(2) A district must use the current world languages standards developed by the 
86.16 	American Council on the Teaching of Foreign Languages.
86.17 	A school district must offer courses in all elective subject areas.

86.18 	Sec. 4. Minnesota Statutes 2014, section 120B.024, subdivision 2, is amended to read:
86.19 		Subd. 2.Credit equivalencies. (a) A one-half credit of economics taught in a 
86.20 	school's agriculture education or business department may fulfill a one-half credit in 
86.21 	social studies under subdivision 1, clause (5), if the credit is sufficient to satisfy all of the 
86.22 	academic standards in economics.
86.23 	(b) An agriculture science or career and technical education credit may fulfill the 
86.24 	credit in chemistry or physics or the elective science credit required under subdivision 1, 
86.25 	clause (4), if the credit meets the state chemistry or physics, or district biology physical 
86.26 	science, life science, earth and space science, chemistry, or physics academic standards or 
86.27 	a combination of these academic standards as approved by the district. An agriculture or 
86.28 	career and technical education credit may fulfill the credit in chemistry or physics required 
86.29 	under subdivision 1, clause (4), if the credit meets the state chemistry or physics academic 
86.30 	standards as approved by the district. A student must satisfy either all of the chemistry 
86.31 	academic standards or all of the physics academic standards prior to graduation. An 
86.32 	agriculture science or career and technical education credit may not fulfill the required 
86.33 	biology credit under subdivision 1, clause (4).
87.1 	(c) A career and technical education credit may fulfill a mathematics or arts credit 
87.2 	requirement under subdivision 1, clause (2) or (6).
87.3 	(d) An agriculture education teacher is not required to meet the requirements of 
87.4 	Minnesota Rules, part 3505.1150, subpart 1, item B, to meet the credit equivalency 
87.5 	requirements of paragraph (b) above.
87.6 	(e) A computer science credit may fulfill a mathematics credit requirement under 
87.7 	subdivision 1, clause (2), if the credit meets state academic standards in mathematics.
87.8 	(f) A Project Lead the Way credit may fulfill a science or mathematics credit 
87.9 	requirement under subdivision 1, clause (2) or (4), if the credit meets the state academic 
87.10 	standards in science or mathematics.

87.11 	EFFECTIVE DATE. This section is effective for the 2015-2016 school year and 
87.12 	later.

87.13 	Sec. 5. Minnesota Statutes 2014, section 120B.11, subdivision 9, is amended to read:
87.14 		Subd. 9.Annual evaluation. (a) The commissioner must identify effective 
87.15 	strategies, practices, and use of resources by districts and school sites in striving for the 
87.16 	world's best workforce. The commissioner must assist districts and sites throughout the 
87.17 	state in implementing these effective strategies, practices, and use of resources.
87.18 	(b) The commissioner must identify those districts in any consecutive three-year 
87.19 	period not making sufficient progress toward improving teaching and learning for all 
87.20 	students, including English learners with varied needs, consistent with section 124D.59, 
87.21 	subdivisions 2 and 2a, and striving for the world's best workforce. The commissioner, in 
87.22 	collaboration with the identified district, may require the district to use up to two percent 
87.23 	of its basic general education revenue per fiscal year during the proximate three school 
87.24 	years to implement commissioner-specified strategies and practices, consistent with 
87.25 	paragraph (a), to improve and accelerate its progress in realizing its goals under this 
87.26 	section. In implementing this section, the commissioner must consider districts' budget 
87.27 	constraints and legal obligations.
87.28 	(c) The commissioner shall report by January 25 of each year to the committees of 
87.29 	the legislature having jurisdiction over kindergarten through grade 12 education the list of 
87.30 	school districts that have not submitted their report to the commissioner under subdivision 
87.31 	5 and the list of school districts not achieving their performance goals established in 
87.32 	their plan under subdivision 2.

88.1 	Sec. 6. Minnesota Statutes 2014, section 120B.125, is amended to read:
88.2 	120B.125 PLANNING FOR STUDENTS' SUCCESSFUL TRANSITION 
88.3 	TO POSTSECONDARY EDUCATION AND EMPLOYMENT; PERSONAL 
88.4 	LEARNING PLANS.
88.5 	(a) Consistent with sections 120B.128,120B.13, 120B.131, 120B.132, 120B.14, 
88.6 	120B.15, 120B.30, subdivision 1, paragraph (c), 125A.08, and other related sections, 
88.7 	school districts, beginning in the 2013-2014 school year, must assist all students by no 
88.8 	later than grade 9 to explore their educational, college, and career interests, aptitudes, and 
88.9 	aspirations and develop a plan for a smooth and successful transition to postsecondary 
88.10 	education or employment. All students' plans must:
88.11 	(1) provide a comprehensive plan to prepare for and complete a career and college 
88.12 	ready curriculum by meeting state and local academic standards and developing career and 
88.13 	employment-related skills such as team work, collaboration, creativity, communication, 
88.14 	critical thinking, and good work habits;
88.15 	(2) emphasize academic rigor and high expectations;
88.16 	(3) help students identify interests, aptitudes, aspirations, and personal learning 
88.17 	styles that may affect their career and college ready goals and postsecondary education 
88.18 	and employment choices;
88.19 	(4) set appropriate career and college ready goals with timelines that identify 
88.20 	effective means for achieving those goals;
88.21 	(5) help students access education and career options;
88.22 	(6) integrate strong academic content into career-focused courses and applied and 
88.23 	experiential learning opportunities and integrate relevant career-focused courses and 
88.24 	applied and experiential learning opportunities into strong academic content;
88.25 	(7) help identify and access appropriate counseling and other supports and assistance 
88.26 	that enable students to complete required coursework, prepare for postsecondary education 
88.27 	and careers, and obtain information about postsecondary education costs and eligibility 
88.28 	for financial aid and scholarship;
88.29 	(8) help identify collaborative partnerships among prekindergarten through grade 
88.30 	12 schools, postsecondary institutions, economic development agencies, and local and 
88.31 	regional employers that support students' transition to postsecondary education and 
88.32 	employment and provide students with applied and experiential learning opportunities; and
88.33 	(9) be reviewed and revised at least annually by the student, the student's parent or 
88.34 	guardian, and the school or district to ensure that the student's course-taking schedule keeps 
88.35 	the student making adequate progress to meet state and local academic standards and high 
89.1 	school graduation requirements and with a reasonable chance to succeed with employment 
89.2 	or postsecondary education without the need to first complete remedial course work.
89.3 	(b) A school district may develop grade-level curricula or provide instruction that 
89.4 	introduces students to various careers, but must not require any curriculum, instruction, 
89.5 	or employment-related activity that obligates an elementary or secondary student to 
89.6 	involuntarily select or pursue a career, career interest, employment goals, or related job 
89.7 	training.
89.8 	(c) Educators must possess the knowledge and skills to effectively teach all English 
89.9 	learners in their classrooms. School districts must provide appropriate curriculum, 
89.10 	targeted materials, professional development opportunities for educators, and sufficient 
89.11 	resources to enable English learners to become career and college ready.
89.12 	(d) When assisting students in developing a plan for a smooth and successful 
89.13 	transition to postsecondary education and employment, districts must recognize the unique 
89.14 	possibilities of each student and ensure that the contents of each student's plan reflect the 
89.15 	student's unique talents, skills, and abilities as the student grows, develops, and learns.

89.16 	Sec. 7. Minnesota Statutes 2014, section 120B.30, subdivision 1, is amended to read:
89.17 		Subdivision 1.Statewide testing.  (a) The commissioner, with advice from experts 
89.18 	with appropriate technical qualifications and experience and stakeholders, consistent 
89.19 	with subdivision 1a, shall include in the comprehensive assessment system, for each 
89.20 	grade level to be tested, state-constructed tests developed as computer-adaptive reading 
89.21 	and mathematics assessments for students that are aligned with the state's required 
89.22 	academic standards under section 120B.021, include multiple choice questions, and are 
89.23 	administered annually to all students in grades 3 through 7 8. Reading and mathematics 
89.24 	assessments for all students in grade 8 must be aligned with the state's required reading and 
89.25 	mathematics standards, be administered annually, and include multiple choice questions. 
89.26 	State-developed high school tests aligned with the state's required academic standards 
89.27 	under section 120B.021 and administered to all high school students in a subject other than 
89.28 	writing must include multiple choice questions. The commissioner shall establish one or 
89.29 	more months during which schools shall administer the tests to students each school year.
89.30 	(1) Students enrolled in grade 8 through the 2009-2010 school year are eligible 
89.31 	to be assessed under (i) the graduation-required assessment for diploma in reading, 
89.32 	mathematics, or writing under Minnesota Statutes 2012, section 120B.30, subdivision 1, 
89.33 	paragraphs (c), clauses (1) and (2), and (d), (ii) the WorkKeys job skills assessment, (iii) 
89.34 	the Compass college placement test, (iv) the ACT assessment for college admission, or (v) 
89.35 	a nationally recognized armed services vocational aptitude test.
90.1 	(2) Students enrolled in grade 8 in the 2010-2011 or 2011-2012 school year are 
90.2 	eligible to be assessed under (i) the graduation-required assessment for diploma in reading, 
90.3 	mathematics, or writing under Minnesota Statutes 2012, section 120B.30, subdivision 
90.4 	1, paragraph (c), clauses (1) and (2), (ii) the WorkKeys job skills assessment, (iii) the 
90.5 	Compass college placement test, (iv) the ACT assessment for college admission, or (v) a 
90.6 	nationally recognized armed services vocational aptitude test.
90.7 	(3) For students under clause (1) or (2), a school district may substitute a score from 
90.8 	an alternative, equivalent assessment to satisfy the requirements of this paragraph.
90.9 	(b) The state assessment system must be aligned to the most recent revision of 
90.10 	academic standards as described in section 120B.023 in the following manner:
90.11 	(1) mathematics;
90.12 	(i) grades 3 through 8 beginning in the 2010-2011 school year; and
90.13 	(ii) high school level beginning in the 2013-2014 school year;
90.14 	(2) science; grades 5 and 8 and at the high school level beginning in the 2011-2012 
90.15 	school year; and
90.16 	(3) language arts and reading; grades 3 through 8 and high school level beginning in 
90.17 	the 2012-2013 school year.
90.18 	(c) For students enrolled in grade 8 in the 2012-2013 school year and later, students' 
90.19 	state graduation requirements, based on a longitudinal, systematic approach to student 
90.20 	education and career planning, assessment, instructional support, and evaluation, include 
90.21 	the following:
90.22 	(1) demonstrate understanding of required academic standards an opportunity to 
90.23 	participate on a nationally normed college entrance exam, in grade 11 or grade 12;
90.24 	(2) achievement and career and college readiness tests in mathematics, reading, and 
90.25 	writing, consistent with paragraph (e) (j) and to the extent available, to monitor students' 
90.26 	continuous development of and growth in requisite knowledge and skills; analyze 
90.27 	students' progress and performance levels, identifying students' academic strengths and 
90.28 	diagnosing areas where students require curriculum or instructional adjustments, targeted 
90.29 	interventions, or remediation; and, based on analysis of students' progress and performance 
90.30 	data, determine students' learning and instructional needs and the instructional tools and 
90.31 	best practices that support academic rigor for the student; and
90.32 	(3) consistent with this paragraph and section 120B.125, age-appropriate exploration 
90.33 	and planning activities and career assessments to encourage students to identify personally 
90.34 	relevant career interests and aptitudes and help students and their families develop a 
90.35 	regularly reexamined transition plan for postsecondary education or employment without 
90.36 	need for postsecondary remediation.
91.1 	Based on appropriate state guidelines, students with an individualized education program 
91.2 	may satisfy state graduation requirements by achieving an individual score on the 
91.3 	state-identified alternative assessments.
91.4 	(d) Expectations of schools, districts, and the state for career or college readiness 
91.5 	under this subdivision must be comparable in rigor, clarity of purpose, and rates of student 
91.6 	completion. A student under paragraph (c), clause (2), must receive targeted, relevant, 
91.7 	academically rigorous, and resourced instruction, which may include a targeted instruction 
91.8 	and intervention plan focused on improving the student's knowledge and skills in core 
91.9 	subjects so that the student has a reasonable chance to succeed in a career or college 
91.10 	without need for postsecondary remediation. Consistent with sections 120B.13, 124D.09, 
91.11 	124D.091, 124D.49, and related sections, an enrolling school or district must actively 
91.12 	encourage a student in grade 11 or 12 who is identified as academically ready for a career 
91.13 	or college to participate in courses and programs awarding college credit to high school 
91.14 	students. Students are not required to achieve a specified score or level of proficiency on 
91.15 	an assessment under this subdivision to graduate from high school.
91.16 	(d) To improve the secondary and postsecondary outcomes of all students, the 
91.17 	alignment between secondary and postsecondary education programs and Minnesota's 
91.18 	workforce needs, and the efficiency and cost-effectiveness of secondary and postsecondary 
91.19 	programs, the commissioner, after consulting with the chancellor of the Minnesota State 
91.20 	Colleges and Universities and using a request for proposal process, shall contract for a 
91.21 	series of assessments that are consistent with this subdivision, aligned with state academic 
91.22 	standards, and include career and college readiness benchmarks. Mathematics, reading, 
91.23 	and writing assessments for students in grades 8 and 10 must be predictive of a nationally 
91.24 	normed assessment for career and college readiness. This
91.25 	(e) Though not a high school graduation requirement, students are encouraged to 
91.26 	participate in a nationally recognized college entrance exam. With funding provided by 
91.27 	the state, a district must pay the cost, one time, for an interested student in grade 11 or 12 
91.28 	to take a nationally recognized assessment must be a college entrance exam and given to 
91.29 	students in grade 11 before graduating. This series of assessments must include a college 
91.30 	placement diagnostic exam and contain career exploration elements. A student must be 
91.31 	able to take the exam under this paragraph at the student's high school during the school 
91.32 	day and at any one of the multiple exam administrations available to students in the district.
91.33 	(f) The commissioner and the chancellor of the Minnesota State Colleges and 
91.34 	Universities must collaborate in aligning instruction and assessments for adult basic 
91.35 	education students and English learners to provide the students with diagnostic information 
91.36 	about any targeted interventions, accommodations, modifications, and supports they 
92.1 	need so that assessments and other performance measures are accessible to them and 
92.2 	they may seek postsecondary education or employment without need for postsecondary 
92.3 	remediation. When administering formative or summative assessments used to measure 
92.4 	the academic progress, including the oral academic development, of English learners 
92.5 	and inform their instruction, schools must ensure that the assessments are accessible to 
92.6 	the students and students have the modifications and supports they need to sufficiently 
92.7 	understand the assessments.
92.8 	(1) (g) Districts and schools, on an annual basis, must use the career exploration 
92.9 	elements in these assessments to help students, beginning no later than grade 9, and their 
92.10 	families explore and plan for postsecondary education or careers based on the students' 
92.11 	interests, aptitudes, and aspirations. Districts and schools must use timely regional labor 
92.12 	market information and partnerships, among other resources, to help students and their 
92.13 	families successfully develop, pursue, review, and revise an individualized plan for 
92.14 	postsecondary education or a career. This process must help increase students' engagement 
92.15 	in and connection to school, improve students' knowledge and skills, and deepen students' 
92.16 	understanding of career pathways as a sequence of academic and career courses that lead 
92.17 	to an industry-recognized credential, an associate's degree, or a bachelor's degree and are 
92.18 	available to all students, whatever their interests and career goals.
92.19 	(2) Students in grade 10 or 11 not yet academically ready for a career or college based 
92.20 	on their growth in academic achievement between grades 8 and 10 must take the college 
92.21 	placement diagnostic exam before taking the college entrance exam under clause (3). 
92.22 	Students, their families, the school, and the district can then use the results of the college 
92.23 	placement diagnostic exam for targeted instruction, intervention, or remediation and 
92.24 	improve students' knowledge and skills in core subjects sufficient for a student to graduate 
92.25 	and have a reasonable chance to succeed in a career or college without remediation.
92.26 	(3) All students except those eligible for alternative assessments must be given the 
92.27 	college entrance part of these assessments in grade 11. (h) A student under this clause 
92.28 	who demonstrates attainment of required state academic standards, which include career 
92.29 	and college readiness benchmarks, on these high school assessments under subdivision 1a 
92.30 	is academically ready for a career or college and is encouraged to participate in courses 
92.31 	awarding college credit to high school students. Such courses and programs may include 
92.32 	sequential courses of study within broad career areas and technical skill assessments 
92.33 	that extend beyond course grades.
92.34 	(4) (i) As appropriate, students through grade 12 must continue to participate in 
92.35 	targeted instruction, intervention, or remediation and be encouraged to participate in 
92.36 	courses awarding college credit to high school students.
93.1 	(5) A study to determine the alignment between these assessments and state 
93.2 	academic standards under this chapter must be conducted. Where alignment exists, the 
93.3 	commissioner must seek federal approval to, and immediately upon receiving approval, 
93.4 	replace the federally required assessments referenced under subdivision 1a and section 
93.5 	120B.35, subdivision 2, with assessments under this paragraph.
93.6 	(e) (j) In developing, supporting, and improving students' academic readiness for a 
93.7 	career or college, schools, districts, and the state must have a continuum of empirically 
93.8 	derived, clearly defined benchmarks focused on students' attainment of knowledge and 
93.9 	skills so that students, their parents, and teachers know how well students must perform to 
93.10 	have a reasonable chance to succeed in a career or college without need for postsecondary 
93.11 	remediation. The commissioner, in consultation with local school officials and educators, 
93.12 	and Minnesota's public postsecondary institutions must ensure that the foundational 
93.13 	knowledge and skills for students' successful performance in postsecondary employment 
93.14 	or education and an articulated series of possible targeted interventions are clearly 
93.15 	identified and satisfy Minnesota's postsecondary admissions requirements.
93.16 	(f) (k) For students in grade 8 in the 2012-2013 school year and later, a school, 
93.17 	district, or charter school must record on the high school transcript a student's progress 
93.18 	toward career and college readiness, and for other students as soon as practicable.
93.19 	(g) (l) The school board granting students their diplomas may formally decide to 
93.20 	include a notation of high achievement on the high school diplomas of those graduating 
93.21 	seniors who, according to established school board criteria, demonstrate exemplary 
93.22 	academic achievement during high school.
93.23 	(h) (m) The 3rd through 7th 8th grade computer-adaptive assessment results and grade 
93.24 	8 and high school test results shall be available to districts for diagnostic purposes affecting 
93.25 	student learning and district instruction and curriculum, and for establishing educational 
93.26 	accountability. The commissioner must establish empirically derived benchmarks on 
93.27 	adaptive assessments in grades 3 through 7 8 that reveal a trajectory toward career and 
93.28 	college readiness. The commissioner must disseminate to the public the computer-adaptive 
93.29 	assessments, grade 8, and high school test results upon receiving those results.
93.30 	(i) (n) The grades 3 through 7 8 computer-adaptive assessments and grade 8 and 
93.31 	high school tests must be aligned with state academic standards. The commissioner shall 
93.32 	determine the testing process and the order of administration. The statewide results shall 
93.33 	be aggregated at the site and district level, consistent with subdivision 1a.
93.34 	(j) (o) The commissioner shall include the following components in the statewide 
93.35 	public reporting system:
94.1 	(1) uniform statewide computer-adaptive assessments of all students in grades 3 
94.2 	through 7 8 and testing at the grade 8 and high school levels that provides appropriate, 
94.3 	technically sound accommodations or alternate assessments;
94.4 	(2) educational indicators that can be aggregated and compared across school 
94.5 	districts and across time on a statewide basis, including average daily attendance, high 
94.6 	school graduation rates, and high school drop-out rates by age and grade level;
94.7 	(3) state results on the American College Test; and
94.8 	(4) state results from participation in the National Assessment of Educational 
94.9 	Progress so that the state can benchmark its performance against the nation and other 
94.10 	states, and, where possible, against other countries, and contribute to the national effort 
94.11 	to monitor achievement.
94.12 	(k) (p) For purposes of statewide accountability, "career and college ready" means a 
94.13 	high school graduate has the knowledge, skills, and competencies to successfully pursue a 
94.14 	career pathway, including postsecondary credit leading to a degree, diploma, certificate, or 
94.15 	industry-recognized credential and employment. Students who are career and college ready 
94.16 	are able to successfully complete credit-bearing coursework at a two- or four-year college 
94.17 	or university or other credit-bearing postsecondary program without need for remediation.
94.18 	(l) (q) For purposes of statewide accountability, "cultural competence," "cultural 
94.19 	competency," or "culturally competent" means the ability and will to interact effectively 
94.20 	with people of different cultures, native languages, and socioeconomic backgrounds.

94.21 	EFFECTIVE DATE. This section is effective for the 2015-2016 school year and 
94.22 	later.

94.23 	Sec. 8. Minnesota Statutes 2014, section 120B.30, subdivision 1a, is amended to read:
94.24 		Subd. 1a.Statewide and local assessments; results. (a) For purposes of this 
94.25 	section, the following definitions have the meanings given them.
94.26 	(1) "Computer-adaptive assessments" means fully adaptive assessments.
94.27 	(2) "Fully adaptive assessments" include test items that are on-grade level and items 
94.28 	that may be above or below a student's grade level.
94.29 	(3) "On-grade level" test items contain subject area content that is aligned to state 
94.30 	academic standards for the grade level of the student taking the assessment.
94.31 	(4) "Above-grade level" test items contain subject area content that is above the 
94.32 	grade level of the student taking the assessment and is considered aligned with state 
94.33 	academic standards to the extent it is aligned with content represented in state academic 
94.34 	standards above the grade level of the student taking the assessment. Notwithstanding 
95.1 	the student's grade level, administering above-grade level test items to a student does not 
95.2 	violate the requirement that state assessments must be aligned with state standards.
95.3 	(5) "Below-grade level" test items contain subject area content that is below the 
95.4 	grade level of the student taking the test and is considered aligned with state academic 
95.5 	standards to the extent it is aligned with content represented in state academic standards 
95.6 	below the student's current grade level. Notwithstanding the student's grade level, 
95.7 	administering below-grade level test items to a student does not violate the requirement 
95.8 	that state assessments must be aligned with state standards.
95.9 	(b) The commissioner must use fully adaptive mathematics and reading assessments 
95.10 	for grades 3 through 7 beginning in the 2015-2016 school year and later 8.
95.11 	(c) For purposes of conforming with existing federal educational accountability 
95.12 	requirements, the commissioner must develop and implement computer-adaptive reading 
95.13 	and mathematics assessments for grades 3 through 7 8, state-developed grade 8 and 
95.14 	high school reading and mathematics tests aligned with state academic standards, a 
95.15 	high school writing test aligned with state standards when it becomes available, and 
95.16 	science assessments under clause (2) that districts and sites must use to monitor student 
95.17 	growth toward achieving those standards. The commissioner must not develop statewide 
95.18 	assessments for academic standards in social studies, health and physical education, and 
95.19 	the arts. The commissioner must require:
95.20 	(1) annual computer-adaptive reading and mathematics assessments in grades 3 
95.21 	through 7 8, and grade 8 and high school reading, writing, and mathematics tests; and
95.22 	(2) annual science assessments in one grade in the grades 3 through 5 span, the 
95.23 	grades 6 through 8 span, and a life sciences assessment in the grades 9 through 12 span, 
95.24 	and the commissioner must not require students to achieve a passing score on high school 
95.25 	science assessments as a condition of receiving a high school diploma.
95.26 	(d) The commissioner must ensure that for annual computer-adaptive assessments:
95.27 	(1) individual student performance data and achievement reports are available 
95.28 	within three school days of when students take an assessment except in a year when an 
95.29 	assessment reflects new performance standards;
95.30 	(2) growth information is available for each student from the student's first 
95.31 	assessment to each proximate assessment using a constant measurement scale;
95.32 	(3) parents, teachers, and school administrators are able to use elementary and 
95.33 	middle school student performance data to project students' secondary and postsecondary 
95.34 	achievement; and
95.35 	(4) useful diagnostic information about areas of students' academic strengths and 
95.36 	weaknesses is available to teachers and school administrators for improving student 
96.1 	instruction and indicating the specific skills and concepts that should be introduced and 
96.2 	developed for students at given performance levels, organized by strands within subject 
96.3 	areas, and aligned to state academic standards.
96.4 	(e) The commissioner must ensure that all state tests administered to elementary and 
96.5 	secondary students measure students' academic knowledge and skills and not students' 
96.6 	values, attitudes, and beliefs.
96.7 	(f) Reporting of state assessment results must:
96.8 	(1) provide timely, useful, and understandable information on the performance of 
96.9 	individual students, schools, school districts, and the state;
96.10 	(2) include a growth indicator of student achievement; and
96.11 	(3) determine whether students have met the state's academic standards.
96.12 	(g) Consistent with applicable federal law, the commissioner must include 
96.13 	appropriate, technically sound accommodations or alternative assessments for the very 
96.14 	few students with disabilities for whom statewide assessments are inappropriate and 
96.15 	for English learners.
96.16 	(h) A school, school district, and charter school must administer statewide 
96.17 	assessments under this section, as the assessments become available, to evaluate student 
96.18 	progress toward career and college readiness in the context of the state's academic 
96.19 	standards. A school, school district, or charter school may use a student's performance 
96.20 	on a statewide assessment as one of multiple criteria to determine grade promotion or 
96.21 	retention. A school, school district, or charter school may use a high school student's 
96.22 	performance on a statewide assessment as a percentage of the student's final grade in a 
96.23 	course, or place a student's assessment score on the student's transcript.

96.24 	Sec. 9. Minnesota Statutes 2014, section 120B.30, is amended by adding a subdivision 
96.25 	to read:
96.26 		Subd. 1b.Special and extenuating circumstances. The Department of Education 
96.27 	shall develop a list of circumstances in which a student may be unable to test. The list 
96.28 	shall include but not be limited to: students transferring to Minnesota from another state, 
96.29 	students transferring from nonpublic to public school and students hospitalized. Students 
96.30 	unable to participate in statewide assessment due to a circumstance on the list authorized 
96.31 	under this subdivision shall not be penalized for missing the opportunity to take a test.

96.32 	Sec. 10. Minnesota Statutes 2014, section 120B.30, subdivision 4, is amended to read:
96.33 		Subd. 4.Access to tests. Consistent with section 13.34, the commissioner must 
96.34 	adopt and publish a policy to provide public and parental access for review of basic 
97.1 	skills tests, Minnesota Comprehensive Assessments, or any other such statewide test 
97.2 	and assessment developed assessments which would not compromise the objectivity or 
97.3 	fairness of the testing or examination process. Upon receiving a written request, the 
97.4 	commissioner must make available to parents or guardians a copy of their student's actual 
97.5 	responses to the test questions for their review.

97.6 	Sec. 11. Minnesota Statutes 2014, section 120B.30, is amended by adding a subdivision 
97.7 	to read:
97.8 		Subd. 6.Commissioner-ordered suspension of assessments. In the event that it 
97.9 	becomes necessary for the commissioner to order the suspension of assessments under 
97.10 	this section because of service disruptions, technical interruptions, or any other reason 
97.11 	beyond the control of school districts, the commissioner must immediately notify the chair 
97.12 	and ranking member of the legislative committees with jurisdiction over kindergarten 
97.13 	through grade 12 education.

97.14 	Sec. 12. [120B.301] LIMITS ON LOCAL TESTING.
97.15 	(a) For students in grades 1 through 6, the cumulative total amount of time spent 
97.16 	taking locally adopted districtwide or schoolwide assessments must not exceed ten hours 
97.17 	per school year. For students in grades 7 through 12, the cumulative total amount of time 
97.18 	spent taking locally adopted districtwide or schoolwide assessments must not exceed 11 
97.19 	hours per school year. For purposes of this paragraph, International Baccalaureate and 
97.20 	Advanced Placement exams are not considered locally adopted assessments.
97.21 	(b) A district or charter school is exempt from the requirements of paragraph (a), 
97.22 	if the district or charter school, in consultation with the exclusive representative of the 
97.23 	teachers or other teachers if there is no exclusive representative of the teachers, decides 
97.24 	to exceed a time limit in paragraph (a) and includes in the report required under section 
97.25 	120B.11, subdivision 5.

97.26 	EFFECTIVE DATE. This section is effective the day following final enactment.

97.27 	Sec. 13. INTERRUPTED TESTS; TEST DATA.
 97.28 	(a) The commissioner of education must contract with a qualified independent 
97.29 	contractor to determine whether students' 2015 Minnesota Comprehensive Assessments 
97.30 	mathematics, reading, and science test results under Minnesota Statutes, section 120B.30, 
97.31 	are sufficiently robust or were sufficiently invariant to observed disruptions of the test 
97.32 	administration to accurately reflect students' achievement on these tests.
98.1 	(b) For purposes of Minnesota Statutes, section 120B.36, and section 122A.40, 
98.2 	subdivision 9, or 122A.41, subdivision 5, and notwithstanding other law to the contrary, 
98.3 	a school district may decide, consistent with the concern under paragraph (a) about 
98.4 	incomplete data from interrupted tests, to not report student test results for the 2014-2015 
98.5 	school year.

98.6 	EFFECTIVE DATE. This section is effective the day following final enactment.

98.7 	Sec. 14. REPORT ON MCA CONTRACTOR PERFORMANCE.
 98.8 	By February 10, 2016, the commissioner of education must report to the legislative 
98.9 	committee with jurisdiction over education finance and policy describing the performance 
98.10 	of the contractor providing the Minnesota Comprehensive Assessments to the state, 
98.11 	including any payment adjusted to reflect the contractor's failure to perform according to 
98.12 	the terms of the state contract, findings from the qualified independent contractor under 
98.13 	section 13, and any other information about online administration of the Minnesota 
98.14 	Comprehensive assessments the commissioner wishes to include in the report.

98.15 	Sec. 15. APPROPRIATIONS.
 98.16 		Subdivision 1.Department. The sums indicated in this section are appropriated 
98.17 	from the general fund to the Department of Education for the fiscal years designated.
98.18 		Subd. 2.Statewide testing and reporting system. For the statewide testing and 
98.19 	reporting system under Minnesota Statutes, section 120B.30:

98.20		$
	11,204,000
	.....
	2016
	
98.21		$
	10,892,000
	.....
	2017
	
98.22 	Any balance in the first year does not cancel but is available in the second year.
98.23 		Subd. 3.ACT test reimbursement. To reimburse districts for students who qualify 
98.24 	under Minnesota Statutes, section 120B.30, subdivision 1, paragraph (e), for onetime 
98.25 	payment of their ACT examination fee:

98.26		$
	3,011,000
	.....
	2016
	
98.27		$
	3,011,000
	.....
	2017
	
98.28 	The Department of Education must reimburse districts for their onetime payments 
98.29 	on behalf of students.

98.30 	Sec. 16.  REPEALER.
 98.31 	Minnesota Statutes 2014, section 120B.128, is repealed.

99.1 	ARTICLE 4
99.2 	CHARTER SCHOOLS

99.3 	Section 1. Minnesota Statutes 2014, section 124D.10, subdivision 1, is amended to read:
99.4 		Subdivision 1.Purposes. (a) The primary purpose of this section is to improve all 
99.5 	pupil learning and all student achievement. Additional purposes include to:
99.6 	(1) increase learning opportunities for all pupils;
99.7 	(2) encourage the use of different and innovative teaching methods;
99.8 	(3) measure learning outcomes and create different and innovative forms of 
99.9 	measuring outcomes;
99.10 	(4) establish new forms of accountability for schools; or
99.11 	(5) create new professional opportunities for teachers, including the opportunity to 
99.12 	be responsible for the learning program at the school site.
99.13 	(b) This section does not provide a means to keep open a school that a school board 
99.14 	decides to close. However, a school board may endorse or authorize the establishing of 
99.15 	a charter school to replace the school the board decided to close. Applicants seeking a 
99.16 	charter under this circumstance must demonstrate to the authorizer that the charter sought 
99.17 	is substantially different in purpose and program from the school the board closed and 
99.18 	that the proposed charter satisfies the requirements of this subdivision. If the school 
99.19 	board that closed the school authorizes the charter, it must document in its affidavit to the 
99.20 	commissioner that the charter is substantially different in program and purpose from 
99.21 	the school it closed.
99.22 	(c) An authorizer shall not approve an application submitted by a charter school 
99.23 	developer under subdivision 4, paragraph (a), if the application does not comply with this 
99.24 	subdivision. The commissioner shall not approve an affidavit submitted by an authorizer 
99.25 	under subdivision 4, paragraph (b), if the affidavit does not comply with this subdivision.

99.26 	Sec. 2. Minnesota Statutes 2014, section 124D.10, subdivision 3, is amended to read:
99.27 		Subd. 3.Authorizer. (a) For purposes of this section, the terms defined in this 
99.28 	subdivision have the meanings given them.
99.29 	"Application" to receive approval as an authorizer means the proposal an eligible 
99.30 	authorizer submits to the commissioner under paragraph (c) (d) before that authorizer is 
99.31 	able to submit any affidavit to charter to a school.
99.32 	"Application" under subdivision 4 means the charter school business plan a 
99.33 	school developer submits to an authorizer for approval to establish a charter school that 
99.34 	documents the school developer's mission statement, school purposes, program design, 
100.1 	financial plan, governance and management structure, and background and experience, 
100.2 	plus any other information the authorizer requests. The application also shall include a 
100.3 	"statement of assurances" of legal compliance prescribed by the commissioner.
100.4 	"Affidavit" means a written statement the authorizer submits to the commissioner 
100.5 	for approval to establish a charter school under subdivision 4 attesting to its review and 
100.6 	approval process before chartering a school.
100.7 	(b) The following organizations may authorize one or more charter schools:
100.8 	(1) a school board, intermediate school district school board, or education district 
100.9 	organized under sections 123A.15 to 123A.19;
100.10 	(2) a charitable organization under section 501(c)(3) of the Internal Revenue Code 
100.11 	of 1986, excluding a nonpublic sectarian or religious institution; any person other than a 
100.12 	natural person that directly or indirectly, through one or more intermediaries, controls, 
100.13 	is controlled by, or is under common control with the nonpublic sectarian or religious 
100.14 	institution; and any other charitable organization under this clause that in the federal IRS 
100.15 	Form 1023, Part IV, describes activities indicating a religious purpose, that:
100.16 	(i) is a member of the Minnesota Council of Nonprofits or the Minnesota Council on 
100.17 	Foundations;
100.18 	(ii) is registered with the attorney general's office; and
100.19 	(iii) is incorporated in the state of Minnesota and has been operating continuously 
100.20 	for at least five years but does not operate a charter school;
100.21 	(3) a Minnesota private college, notwithstanding clause (2), that grants two- or 
100.22 	four-year degrees and is registered with the Minnesota Office of Higher Education under 
100.23 	chapter 136A; community college, state university, or technical college governed by the 
100.24 	Board of Trustees of the Minnesota State Colleges and Universities; or the University 
100.25 	of Minnesota;
100.26 	(4) a nonprofit corporation subject to chapter 317A, described in section 317A.905, 
100.27 	and exempt from federal income tax under section 501(c)(6) of the Internal Revenue Code 
100.28 	of 1986, may authorize one or more charter schools if the charter school has operated 
100.29 	for at least three years under a different authorizer and if the nonprofit corporation has 
100.30 	existed for at least 25 years; or
100.31 	(5) single-purpose authorizers formed as charitable, nonsectarian organizations 
100.32 	under section 501(c)(3) of the Internal Revenue Code of 1986 and incorporated in the state 
100.33 	of Minnesota under chapter 317A as a corporation with no members or under section 
100.34 	322B.975 as a nonprofit limited liability company for the sole purpose of chartering schools.
100.35 	(c) Eligible organizations interested in being approved as an authorizer under this 
100.36 	paragraph must submit a proposal to the commissioner that includes the provisions 
101.1 	of paragraph (c) (d) and a five-year financial plan. Such authorizers shall consider and 
101.2 	approve charter school applications using the criteria provided in subdivision 4 and shall 
101.3 	not limit the applications it solicits, considers, or approves to any single curriculum, 
101.4 	learning program, or method.
101.5 	(c) (d) An eligible authorizer under this subdivision must apply to the commissioner 
101.6 	for approval as an authorizer before submitting any affidavit to the commissioner to charter 
101.7 	a school. The application for approval as a charter school authorizer must demonstrate 
101.8 	the applicant's ability to implement the procedures and satisfy the criteria for chartering a 
101.9 	school under this section. The commissioner must approve or disapprove an application 
101.10 	within 45 business days of the application deadline. If the commissioner disapproves 
101.11 	the application, the commissioner must notify the applicant of the specific deficiencies 
101.12 	in writing and the applicant then has 20 business days to address the deficiencies to the 
101.13 	commissioner's satisfaction. After the 20 business days expire, the commissioner has 15 
101.14 	business days to make a final decision to approve or disapprove the application. Failing to 
101.15 	address the deficiencies to the commissioner's satisfaction makes an applicant ineligible to 
101.16 	be an authorizer. The commissioner, in establishing criteria for approval, must consider 
101.17 	the applicant's:
101.18 	(1) capacity and infrastructure;
101.19 	(2) application criteria and process;
101.20 	(3) contracting process;
101.21 	(4) ongoing oversight and evaluation processes; and
101.22 	(5) renewal criteria and processes.
101.23 	(d) (e) An applicant must include in its application to the commissioner to be an 
101.24 	approved authorizer at least the following:
101.25 	(1) how chartering schools is a way for the organization to carry out its mission;
101.26 	(2) a description of the capacity of the organization to serve as an authorizer, 
101.27 	including the personnel who will perform the authorizing duties, their qualifications, the 
101.28 	amount of time they will be assigned to this responsibility, and the financial resources 
101.29 	allocated by the organization to this responsibility;
101.30 	(3) a description of the application and review process the authorizer will use to 
101.31 	make decisions regarding the granting of charters;
101.32 	(4) a description of the type of contract it will arrange with the schools it charters 
101.33 	that meets the provisions of subdivision 6;
101.34 	(5) the process to be used for providing ongoing oversight of the school consistent 
101.35 	with the contract expectations specified in clause (4) that assures that the schools chartered 
101.36 	are complying with both the provisions of applicable law and rules, and with the contract;
102.1 	(6) a description of the criteria and process the authorizer will use to grant expanded 
102.2 	applications under subdivision 4, paragraph (j) (s);
102.3 	(7) the process for making decisions regarding the renewal or termination of 
102.4 	the school's charter based on evidence that demonstrates the academic, organizational, 
102.5 	and financial competency of the school, including its success in increasing student 
102.6 	achievement and meeting the goals of the charter school agreement; and
102.7 	(8) an assurance specifying that the organization is committed to serving as an 
102.8 	authorizer for the full five-year term.
102.9 	(e) (f) A disapproved applicant under this section may resubmit an application 
102.10 	during a future application period.
102.11 	(f) (g) If the governing board of an approved authorizer votes to withdraw as 
102.12 	an approved authorizer for a reason unrelated to any cause under subdivision 23, the 
102.13 	authorizer must notify all its chartered schools and the commissioner in writing by July 15 
102.14 	of its intent to withdraw as an authorizer on June 30 in the next calendar year, regardless 
102.15 	of when the authorizer's five-year term of approval ends. The commissioner may approve 
102.16 	the transfer of a charter school to a new authorizer under this paragraph after the new 
102.17 	authorizer submits an affidavit to the commissioner.
102.18 	(g) (h) The authorizer must participate in department-approved training.
102.19 	(h) (i) The commissioner shall review an authorizer's performance every five years 
102.20 	in a manner and form determined by the commissioner and may review an authorizer's 
102.21 	performance more frequently at the commissioner's own initiative or at the request of a 
102.22 	charter school operator, charter school board member, or other interested party. The 
102.23 	commissioner, after completing the review, shall transmit a report with findings to the 
102.24 	authorizer.
102.25 	(j) If, consistent with this section, the commissioner finds that an authorizer has not 
102.26 	fulfilled the requirements of this section, the commissioner may subject the authorizer 
102.27 	to corrective action, which may include terminating the contract with the charter school 
102.28 	board of directors of a school it chartered. The commissioner must notify the authorizer 
102.29 	in writing of any findings that may subject the authorizer to corrective action and 
102.30 	the authorizer then has 15 business days to request an informal hearing before the 
102.31 	commissioner takes corrective action. If the commissioner terminates a contract between 
102.32 	an authorizer and a charter school under this paragraph, the commissioner may assist the 
102.33 	charter school in acquiring a new authorizer.
102.34 	(i) (k) The commissioner may at any time take corrective action against an 
102.35 	authorizer, including terminating an authorizer's ability to charter a school for:
103.1 	(1) failing to demonstrate the criteria under paragraph (c) (d) under which the 
103.2 	commissioner approved the authorizer;
103.3 	(2) violating a term of the chartering contract between the authorizer and the charter 
103.4 	school board of directors;
103.5 	(3) unsatisfactory performance as an approved authorizer; or
103.6 	(4) any good cause shown that provides the commissioner a legally sufficient reason 
103.7 	to take corrective action against an authorizer.

103.8 	Sec. 3. Minnesota Statutes 2014, section 124D.10, subdivision 4, is amended to read:
103.9 		Subd. 4.Formation of school. (a) An authorizer, after receiving an application from 
103.10 	a school developer, may charter a licensed teacher under section 122A.18, subdivision 
103.11 	1, or a group of individuals that includes one or more licensed teachers under section 
103.12 	122A.18, subdivision 1, to operate a school subject to the commissioner's approval of the 
103.13 	authorizer's affidavit under paragraph (b) (d).
103.14 	(b) The school must be organized and operated as a nonprofit corporation under 
103.15 	chapter 317A and the provisions under the applicable chapter shall apply to the school 
103.16 	except as provided in this section.
103.17 	(c) Notwithstanding sections 465.717 and 465.719, a school district, subject to this 
103.18 	section and section 124D.11, may create a corporation for the purpose of establishing a 
103.19 	charter school.
103.20 	(b) (d) Before the operators may establish and operate a school, the authorizer must 
103.21 	file an affidavit with the commissioner stating its intent to charter a school. An authorizer 
103.22 	must file a separate affidavit for each school it intends to charter. An authorizer must file 
103.23 	an affidavit by May 1 to be able to charter a new school in the next school year after the 
103.24 	commissioner approves the authorizer's affidavit at least 14 months before July 1 of the 
103.25 	year the new charter school plans to serve students. The affidavit must state the terms and 
103.26 	conditions under which the authorizer would charter a school and how the authorizer 
103.27 	intends to oversee the fiscal and student performance of the charter school and to comply 
103.28 	with the terms of the written contract between the authorizer and the charter school 
103.29 	board of directors under subdivision 6. The commissioner must approve or disapprove 
103.30 	the authorizer's affidavit within 60 business days of receipt of the affidavit. If the 
103.31 	commissioner disapproves the affidavit, the commissioner shall notify the authorizer of 
103.32 	the deficiencies in the affidavit and the authorizer then has 20 business days to address the 
103.33 	deficiencies. The commissioner must notify the authorizer of final approval or disapproval 
103.34 	within 15 business days after receiving the authorizer's response to the deficiencies in the 
103.35 	affidavit. If the authorizer does not address deficiencies to the commissioner's satisfaction, 
104.1 	the commissioner's disapproval is final. Failure to obtain commissioner approval precludes 
104.2 	an authorizer from chartering the school that is the subject of this affidavit.
104.3 	(c) (e) The authorizer may prevent an approved charter school from opening for 
104.4 	operation if, among other grounds, the charter school violates this section or does not meet 
104.5 	the ready-to-open standards that are part of the authorizer's oversight and evaluation 
104.6 	process or are stipulated in the charter school contract.
104.7 	(d) (f) The operators authorized to organize and operate a school, before entering 
104.8 	into a contract or other agreement for professional or other services, goods, or facilities, 
104.9 	must incorporate as a nonprofit corporation under chapter 317A and.
104.10 	(g) The operators authorized to organize and operate a school, before entering into a 
104.11 	contract or other agreement for professional or other services, goods, or facilities, must 
104.12 	establish a board of directors composed of at least five members who are not related parties 
104.13 	until a timely election for members of the ongoing charter school board of directors is 
104.14 	held according to the school's articles and bylaws under paragraph (f) (l). A charter school 
104.15 	board of directors must be composed of at least five members who are not related parties.
104.16 	(h) Staff members employed at the school, including teachers providing instruction 
104.17 	under a contract with a cooperative, members of the board of directors, and all parents 
104.18 	or legal guardians of children enrolled in the school are the voters eligible to elect the 
104.19 	members of the school's board of directors. A charter school must notify eligible voters of 
104.20 	the school board election dates at least 30 days before the election.
104.21 	(i) Board of director meetings must comply with chapter 13D.
104.22 	(e) (j) A charter school shall publish and maintain on the school's official Web site: 
104.23 	(1) the minutes of meetings of the board of directors, and of members and committees 
104.24 	having any board-delegated authority, for at least one calendar year from the date 
104.25 	of publication; (2) directory information for members of the board of directors and 
104.26 	committees having board-delegated authority; and (3) identifying and contact information 
104.27 	for the school's authorizer. Identifying and contact information for the school's authorizer 
104.28 	must be included in other school materials made available to the public.
104.29 	(k) Upon request of an individual, the charter school must also make available in 
104.30 	a timely fashion financial statements showing all operations and transactions affecting 
104.31 	income, surplus, and deficit during the school's last annual accounting period; and a 
104.32 	balance sheet summarizing assets and liabilities on the closing date of the accounting 
104.33 	period. A charter school also must include that same information about its authorizer in 
104.34 	other school materials that it makes available to the public.
104.35 	(f) (l) Every charter school board member shall attend annual training throughout 
104.36 	the member's term on the board. All new board members shall attend initial training on 
105.1 	the board's role and responsibilities, employment policies and practices, and financial 
105.2 	management. A new board member who does not begin the required initial training within 
105.3 	six months after being seated and complete that training within 12 months of being seated 
105.4 	on the board is automatically ineligible to continue to serve as a board member. The 
105.5 	school shall include in its annual report the training attended by each board member 
105.6 	during the previous year.
105.7 	(g) (m) The ongoing board must be elected before the school completes its third 
105.8 	year of operation. Board elections must be held during the school year but may not be 
105.9 	conducted on days when the school is closed for holidays, breaks, or vacations.
105.10 	(n) The charter school board of directors shall be composed of at least five nonrelated 
105.11 	members and include: (i) at least one licensed teacher employed as a teacher at the school 
105.12 	or providing instruction under contract between the charter school and a cooperative; (ii) 
105.13 	at least one parent or legal guardian of a student enrolled in the charter school who is not 
105.14 	an employee of the charter school; and (iii) at least one interested community member 
105.15 	who resides in Minnesota and is not employed by the charter school and does not have a 
105.16 	child enrolled in the school. The board may include a majority of teachers described in 
105.17 	this paragraph or parents or community members, or it may have no clear majority. The 
105.18 	chief financial officer and the chief administrator may only serve as ex-officio nonvoting 
105.19 	board members. No charter school employees shall serve on the board other than teachers 
105.20 	under item (i). Contractors providing facilities, goods, or services to a charter school shall 
105.21 	not serve on the board of directors of the charter school.
105.22 	(o) Board bylaws shall outline the process and procedures for changing the board's 
105.23 	governance structure, consistent with chapter 317A. A board may change its governance 
105.24 	structure only:
105.25 	(1) by a majority vote of the board of directors and a majority vote of the licensed 
105.26 	teachers employed by the school as teachers, including licensed teachers providing 
105.27 	instruction under a contract between the school and a cooperative; and
105.28 	(2) with the authorizer's approval.
105.29 	Any change in board governance structure must conform with the composition of 
105.30 	the board established under this paragraph.
105.31 	(h) (p) The granting or renewal of a charter by an authorizer must not be conditioned 
105.32 	upon the bargaining unit status of the employees of the school.
105.33 	(i) (q) The granting or renewal of a charter school by an authorizer must not be 
105.34 	contingent on the charter school being required to contract, lease, or purchase services 
105.35 	from the authorizer.
106.1 	(r) Any potential contract, lease, or purchase of service from an authorizer must 
106.2 	be disclosed to the commissioner, accepted through an open bidding process, and be a 
106.3 	separate contract from the charter contract. The school must document the open bidding 
106.4 	process. An authorizer must not enter into a contract to provide management and financial 
106.5 	services for a school that it authorizes, unless the school documents that it received at 
106.6 	least two competitive bids.
106.7 	(j) (s) A charter school may apply to the authorizer to amend the school charter to 
106.8 	expand the operation of the school to additional grades or sites that would be students' 
106.9 	primary enrollment site beyond those defined in the original affidavit approved by the 
106.10 	commissioner. After approving the school's application, the authorizer shall submit a 
106.11 	supplementary affidavit in the form and manner prescribed by the commissioner. The 
106.12 	authorizer must file a supplement affidavit by October 1 to be eligible to expand in the next 
106.13 	school year. The supplementary affidavit must document that the school has demonstrated 
106.14 	to the satisfaction of the authorizer the following:
106.15 	(1) the need for the expansion with supporting long-range enrollment projections;
106.16 	(2) a longitudinal record of demonstrated student academic performance and growth 
106.17 	on statewide assessments under chapter 120B or on other academic assessments that 
106.18 	measure longitudinal student performance and growth approved by the charter school's 
106.19 	board of directors and agreed upon with the authorizer;
106.20 	(3) a history of sound school finances and a finance plan to implement the expansion 
106.21 	in a manner to promote the school's financial sustainability; and
106.22 	(4) board capacity and an administrative and management plan to implement its 
106.23 	expansion.
106.24 	(k) (t) The commissioner shall have 30 business days to review and comment on the 
106.25 	supplemental affidavit. The commissioner shall notify the authorizer in writing of any 
106.26 	deficiencies in the supplemental affidavit and the authorizer then has 20 business days to 
106.27 	address, to the commissioner's satisfaction, any deficiencies in the supplemental affidavit. 
106.28 	The commissioner must notify the authorizer of final approval or disapproval within 15 
106.29 	business days after receiving the authorizer's response to the deficiencies in the affidavit. 
106.30 	The school may not expand grades or add sites until the commissioner has approved the 
106.31 	supplemental affidavit. The commissioner's approval or disapproval of a supplemental 
106.32 	affidavit is final.

106.33 	Sec. 4. Minnesota Statutes 2014, section 124D.10, subdivision 8, is amended to read:
106.34 		Subd. 8.Federal, state, and local requirements. (a) A charter school shall meet all 
106.35 	federal, state, and local health and safety requirements applicable to school districts.
107.1 	(b) A school must comply with statewide accountability requirements governing 
107.2 	standards and assessments in chapter 120B.
107.3 	(c) A school authorized by a school board may be located in any district, unless the 
107.4 	school board of the district of the proposed location disapproves by written resolution.
107.5 	(d) A charter school must be nonsectarian in its programs, admission policies, 
107.6 	employment practices, and all other operations. An authorizer may not authorize a charter 
107.7 	school or program that is affiliated with a nonpublic sectarian school or a religious 
107.8 	institution. 
107.9 	(e) A charter school student must be released for religious instruction, consistent 
107.10 	with section 120A.22, subdivision 12, clause (3).
107.11 	(e) (f) Charter schools must not be used as a method of providing education or 
107.12 	generating revenue for students who are being home-schooled. This paragraph does not 
107.13 	apply to shared time aid under section 126C.19.
107.14 	(f) (g) The primary focus of a charter school must be to provide a comprehensive 
107.15 	program of instruction for at least one grade or age group from five through 18 years of 
107.16 	age. Instruction may be provided to people older than 18 years of age. A charter school 
107.17 	may offer a free or fee-based preschool or prekindergarten that meets high-quality early 
107.18 	learning instructional program standards that are aligned with Minnesota's early learning 
107.19 	standards for children. The hours a student is enrolled in a fee-based prekindergarten 
107.20 	program do not generate pupil units under section 126C.05 and must not be used to 
107.21 	calculate general education revenue under section 126C.10. A charter school with at least 
107.22 	90 percent of enrolled students who are eligible for special education services and have 
107.23 	a primary disability of deaf or hard-of-hearing may enroll prekindergarten pupils with a 
107.24 	disability under section 126C.05, subdivision 1, paragraph (a), and must comply with the 
107.25 	federal Individuals with Disabilities Education Act under Code of Federal Regulations, 
107.26 	title 34, section 300.324, subsection (2), clause (iv).
107.27 	(g) (h) Except as provided in paragraph (g), a charter school may not charge tuition.
107.28 	(h) (i) A charter school is subject to and must comply with chapter 363A and section 
107.29 	121A.04.
107.30 	(i) (j) Once a student is enrolled in the school, the student is considered enrolled 
107.31 	in the school until the student formally withdraws or is expelled under the Pupil Fair 
107.32 	Dismissal Act in sections 121A.40 to 121A.56. A charter school is subject to and must 
107.33 	comply with the Pupil Fair Dismissal Act, sections 121A.40 to 121A.56, and.
107.34 	(k) A charter school is subject to and must comply with the Minnesota Public School 
107.35 	Fee Law, sections 123B.34 to 123B.39.
108.1 	(j) (l) A charter school is subject to the same financial audits, audit procedures, and 
108.2 	audit requirements as a district, except as required under subdivision 6a. Audits must be 
108.3 	conducted in compliance with generally accepted governmental auditing standards, the 
108.4 	federal Single Audit Act, if applicable, and section 6.65. A charter school is subject 
108.5 	to and must comply with sections 15.054; 118A.01; 118A.02; 118A.03; 118A.04; 
108.6 	118A.05; 118A.06; 471.38; 471.391; 471.392; and 471.425. The audit must comply with 
108.7 	the requirements of sections 123B.75 to 123B.83, except to the extent deviations are 
108.8 	necessary because of the program at the school. Deviations must be approved by the 
108.9 	commissioner and authorizer. The Department of Education, state auditor, legislative 
108.10 	auditor, or authorizer may conduct financial, program, or compliance audits. A charter 
108.11 	school determined to be in statutory operating debt under sections 123B.81 to 123B.83 
108.12 	must submit a plan under section 123B.81, subdivision 4.
108.13 	(k) (m) A charter school is a district for the purposes of tort liability under chapter 466.
108.14 	(l) (n) A charter school must comply with chapters 13 and 13D; and sections 
108.15 	120A.22, subdivision 7; 121A.75; and 260B.171, subdivisions 3 and 5.
108.16 	(m) (o) A charter school is subject to the Pledge of Allegiance requirement under 
108.17 	section 121A.11, subdivision 3.
108.18 	(n) (p) A charter school offering online courses or programs must comply with 
108.19 	section 124D.095.
108.20 	(o) (q) A charter school and charter school board of directors are subject to chapter 
108.21 	181.
108.22 	(p) (r) A charter school must comply with section 120A.22, subdivision 7, governing 
108.23 	the transfer of students' educational records and sections 138.163 and 138.17 governing 
108.24 	the management of local records.
108.25 	(q) (s) A charter school that provides early childhood health and developmental 
108.26 	screening must comply with sections 121A.16 to 121A.19.
108.27 	(r) (t) A charter school that provides school-sponsored youth athletic activities 
108.28 	must comply with section 121A.38.
108.29 	(s) (u) A charter school is subject to and must comply with continuing truant 
108.30 	notification under section 260A.03.
108.31 	(t) (v) A charter school must develop and implement a teacher evaluation and 
108.32 	peer review process under section 122A.40, subdivision 8, paragraph (b), clauses (2) to 
108.33 	(13). The teacher evaluation process in this paragraph does not create any additional 
108.34 	employment rights for teachers.
109.1 	(u) (w) A charter school must adopt a policy, plan, budget, and process, consistent 
109.2 	with section 120B.11, to review curriculum, instruction, and student achievement and 
109.3 	strive for the world's best workforce.
109.4 	(v) (x) A charter school must comply with section 121A.031 governing policies on 
109.5 	prohibited conduct.
109.6 	(w) (y) A charter school must comply with all pupil transportation requirements in 
109.7 	section 123B.88, subdivision 1. A charter school must not require parents to surrender 
109.8 	their rights to pupil transportation under section 123B.88, subdivision 2.

109.9 	EFFECTIVE DATE. This section is effective the day following final enactment 
109.10 	except the provision under paragraph (g) allowing prekindergarten deaf or hard-of-hearing 
109.11 	pupils to enroll in a charter school is effective only if the commissioner of education 
109.12 	determines there is no added cost attributable to the pupil.

109.13 	Sec. 5. Minnesota Statutes 2014, section 124D.10, subdivision 12, is amended to read:
109.14 		Subd. 12.Pupils with a disability. A charter school must comply with sections 
109.15 	125A.02, 125A.03 to 125A.24, and125A.65, and 125A.75 and rules relating to the 
109.16 	education of pupils with a disability as though it were a district. A charter school enrolling 
109.17 	prekindergarten pupils with a disability under subdivision 8, paragraph (g), must comply 
109.18 	with sections 125A.259 to 125A.48 and rules relating to the Interagency Early Intervention 
109.19 	System as though it were a school district.

109.20 	EFFECTIVE DATE. This section is effective for fiscal year 2016 and later.

109.21 	Sec. 6. Minnesota Statutes 2014, section 124D.10, subdivision 14, is amended to read:
109.22 		Subd. 14.Annual public reports. (a) A charter school must publish an annual 
109.23 	report approved by the board of directors. The annual report must at least include 
109.24 	information on school enrollment, student attrition, governance and management, staffing, 
109.25 	finances, academic performance, innovative practices and implementation, and future 
109.26 	plans. A charter school may combine this report with the reporting required under section 
109.27 	120B.11. A charter school must post the annual report on the school's official Web site. A 
109.28 	charter school must also distribute the annual report by publication, mail, or electronic 
109.29 	means to its authorizer, school employees, and parents and legal guardians of students 
109.30 	enrolled in the charter school. The reports are public data under chapter 13.
109.31 	(b) The commissioner shall establish specifications for an authorizer's annual public 
109.32 	report that is part of the system to evaluate authorizer performance under subdivision 
110.1 	3, paragraph (h). The report shall at least include key indicators of school academic, 
110.2 	operational, and financial performance.

110.3 	Sec. 7. Minnesota Statutes 2014, section 124D.10, is amended by adding a subdivision 
110.4 	to read:
110.5 		Subd. 24a.Merger. (a) Two or more charter schools may merge under chapter 
110.6 	317A. The effective date of a merger must be July 1. The merged school must continue 
110.7 	under the identity of one of the merging schools. A new charter contract under subdivision 
110.8 	6 must be executed by July 1. The authorizer must submit to the commissioner a copy of 
110.9 	the new signed charter contract within ten business days of its execution.
110.10 	(b) Each merging school must submit a separate year-end report for the previous year 
110.11 	for that school only. After the final fiscal year of the premerger schools is closed out, the 
110.12 	fund balances and debts from the merging schools must be transferred to the merged school.
110.13 	(c) For its first year of operation, the merged school is eligible to receive aid from 
110.14 	programs requiring approved applications equal to the sum of the aid of all of the merging 
110.15 	schools. For aids based on prior year data, the merged school is eligible to receive aid for 
110.16 	its first year of operation based on the combined data of all of the merging schools.

110.17 	Sec. 8. Minnesota Statutes 2014, section 124D.11, subdivision 9, is amended to read:
110.18 		Subd. 9.Payment of aids to charter schools. (a) Notwithstanding section 
110.19 	127A.45, subdivision 3, if the current year aid payment percentage under section 
110.20 	127A.45, subdivision 2, paragraph (d), is 90 or greater, aid payments for the current 
110.21 	fiscal year to a charter school shall be of an equal amount on each of the 24 payment 
110.22 	dates. Notwithstanding section 127A.45, subdivision 3, if the current year aid payment 
110.23 	percentage under section 127A.45, subdivision 2, paragraph (d), is less than 90, aid 
110.24 	payments for the current fiscal year to a charter school shall be of an equal amount on 
110.25 	each of the 16 payment dates in July through February.
110.26 	(b) Notwithstanding paragraph (a) and section 127A.45, for a charter school ceasing 
110.27 	operation on or prior to June 30 of a school year, for the payment periods occurring after 
110.28 	the school ceases serving students, the commissioner shall withhold the estimated state aid 
110.29 	owed the school. The charter school board of directors and authorizer must submit to the 
110.30 	commissioner a closure plan under chapter 308A or 317A, and financial information about 
110.31 	the school's liabilities and assets. After receiving the closure plan, financial information, 
110.32 	an audit of pupil counts, documentation of lease expenditures, and monitoring of special 
110.33 	education expenditures, the commissioner may release cash withheld and may continue 
110.34 	regular payments up to the current year payment percentages if further amounts are 
111.1 	owed. If, based on audits and monitoring, the school received state aid in excess of the 
111.2 	amount owed, the commissioner shall retain aid withheld sufficient to eliminate the aid 
111.3 	overpayment. For a charter school ceasing operations prior to, or at the end of, a school 
111.4 	year, notwithstanding section 127A.45, subdivision 3, preliminary final payments may 
111.5 	be made after receiving the closure plan, audit of pupil counts, monitoring of special 
111.6 	education expenditures, documentation of lease expenditures, and school submission of 
111.7 	Uniform Financial Accounting and Reporting Standards (UFARS) financial data for the 
111.8 	final year of operation. Final payment may be made upon receipt of audited financial 
111.9 	statements under section 123B.77, subdivision 3.
111.10 	(c) If a charter school fails to comply with the commissioner's directive to return, 
111.11 	for cause, federal or state funds administered by the department, the commissioner may 
111.12 	withhold an amount of state aid sufficient to satisfy the directive.
111.13 	(d) If, within the timeline under section 471.425, a charter school fails to pay the state 
111.14 	of Minnesota, a school district, intermediate school district, or service cooperative after 
111.15 	receiving an undisputed invoice for goods and services, the commissioner may withhold 
111.16 	an amount of state aid sufficient to satisfy the claim and shall distribute the withheld 
111.17 	aid to the interested state agency, school district, intermediate school district, or service 
111.18 	cooperative. An interested state agency, school district, intermediate school district, or 
111.19 	education cooperative shall notify the commissioner when a charter school fails to pay an 
111.20 	undisputed invoice within 75 business days of when it received the original invoice.
111.21 	(e) Notwithstanding section 127A.45, subdivision 3, and paragraph (a), 80 percent 
111.22 	of the start-up cost aid under subdivision 8 shall be paid within 45 days after the first day 
111.23 	of student attendance for that school year.
111.24 	(f) (e) In order to receive state aid payments under this subdivision, a charter school 
111.25 	in its first three years of operation must submit a school calendar in the form and manner 
111.26 	requested by the department and a quarterly report to the Department of Education. The 
111.27 	report must list each student by grade, show the student's start and end dates, if any, 
111.28 	with the charter school, and for any student participating in a learning year program, 
111.29 	the report must list the hours and times of learning year activities. The report must be 
111.30 	submitted not more than two weeks after the end of the calendar quarter to the department. 
111.31 	The department must develop a Web-based reporting form for charter schools to use 
111.32 	when submitting enrollment reports. A charter school in its fourth and subsequent year of 
111.33 	operation must submit a school calendar and enrollment information to the department in 
111.34 	the form and manner requested by the department.
112.1 	(g) (f) Notwithstanding sections 317A.701 to 317A.791, upon closure of a charter 
112.2 	school and satisfaction of creditors, cash and investment balances remaining shall be 
112.3 	returned to the state.
112.4 	(h) (g) A charter school must have a valid, signed contract under section 124D.10, 
112.5 	subdivision 6, on file at the Department of Education at least 15 days prior to the date of 
112.6 	first payment of state aid for the fiscal year.
112.7 	(i) (h) State aid entitlements shall be computed for a charter school only for the 
112.8 	portion of a school year for which it has a valid, signed contract under section 124D.10, 
112.9 	subdivision 6.

112.10 	Sec. 9. APPROPRIATIONS.
 112.11 		Subdivision 1.Department. The sums indicated in this section are appropriated 
112.12 	from the general fund to the Department of Education for the fiscal years designated.
112.13 		Subd. 2.Charter school building lease aid. For building lease aid under Minnesota 
112.14 	Statutes, section 124D.11, subdivision 4: 

112.15		$
	66,787,000
	.....
	2016
	
112.16		$
	73,603,000
	.....
	2017
	
112.17 	The 2016 appropriation includes $6,032,000 for 2015 and $60,755,000 for 2016.
112.18 	The 2017 appropriation includes $6,750,000 for 2016 and $66,853,000 for 2017.

112.19 	Sec. 10. REVISOR'S INSTRUCTION.
 112.20 	The revisor of statutes shall renumber the provisions of Minnesota Statutes listed 
112.21 	in column A to the references listed in column B. The revisor of statutes may alter the 
112.22 	renumbering to incorporate statutory changes made during the 2015 regular legislative 
112.23 	session. The revisor shall also make necessary cross-reference changes in Minnesota 
112.24 	Statutes and Minnesota Rules consistent with the renumbering in this instruction and the 
112.25 	relettering of paragraphs in sections 1 to 8.

112.26		Column A
	Column B
	
112.27		124D.10, subd. 1, paragraph (a)
	124E.01, subd. 1
	
112.28		124D.10, subd. 1, paragraph (b)
	124E.06, subd. 3, paragraph (d)
	
112.29		124D.10, subd. 1, paragraph (c)
	124E.06, subd. 1, paragraph (b)
	
112.30		124D.10, subd. 2
	124E.01, subd. 2
	
112.31		124D.10, subd. 3, paragraph (a)
	124E.02, paragraph (a)
	
112.32		124D.10, subd. 3, paragraph (b)
	124E.05, subd. 1
	
112.33		124D.10, subd. 3, paragraph (c)
	124E.05, subd. 2, paragraph (a)
	
112.34		124D.10, subd. 3, paragraph (d)
	124E.05, subd. 3, paragraph (a)
	
112.35		124D.10, subd. 3, paragraph (e)
	124E.05, subd. 4
	
113.1		124D.10, subd. 3, paragraph (f)
	124E.05, subd. 3, paragraph (b)
	
113.2		124D.10, subd. 3, paragraph (g)
	124E.05, subd. 7
	
113.3		124D.10, subd. 3, paragraph (h)
	124E.05, subd. 2, paragraph (b)
	
113.4		124D.10, subd. 3, paragraph (i)
	124E.05, subd. 5
	
113.5		124D.10, subd. 3, paragraph (j)
	124E.05, subd. 6, paragraph (a)
	
113.6		124D.10, subd. 3, paragraph (k)
	124E.05, subd. 6, paragraph (b)
	
113.7		124D.10, subd. 4, paragraph (a)
	124E.06, subd. 1, paragraph (a)
	
113.8		124D.10, subd. 4, paragraph (b)
	124E.06, subd. 2, paragraph (a)
	
113.9		124D.10, subd. 4, paragraph (c)
	124E.06, subd. 2, paragraph (c)
	
113.10		124D.10, subd. 4, paragraph (d)
	124E.06, subd. 4
	
113.11		124D.10, subd. 4, paragraph (e)
	124E.06, subd. 3, paragraph (g)
	
113.12		124D.10, subd. 4, paragraph (f)
	124E.06, subd. 2, paragraph (b)
	
113.13		124D.10, subd. 4, paragraph (g)
	124E.07, subd. 1
	
113.14		124D.10, subd. 4, paragraph (h)
	124E.07, subd. 5
	
113.15		124D.10, subd. 4, paragraph (i)
	124E.07, subd. 8, paragraph (a)
	
113.16		124D.10, subd. 4, paragraph (j)
	124E.07, subd. 8, paragraph (b)
	
113.17		124D.10, subd. 4, paragraph (k)
	124E.17, subd. 2
	
113.18		124D.10, subd. 4, paragraph (l)
	124E.07, subd. 7
	
113.19		124D.10, subd. 4, paragraph (m)
	124E.07, subd. 2
	
113.20		124D.10, subd. 4, paragraph (n)
	124E.07, subd. 3, paragraph (a)
	
113.21		124D.10, subd. 4, paragraph (o)
	124E.07, subd. 4
	
113.22		124D.10, subd. 4, paragraph (p)
	124E.10, subd. 2, paragraph (c)
	
113.23		124D.10, subd. 4, paragraph (q)
	124E.10, subd. 2, paragraph (b)
	
113.24		124D.10, subd. 4, paragraph (r)
	124E.10, subd. 2, paragraph (a)
	
113.25		124D.10, subd. 4, paragraph (s)
	124E.06, subd. 5, paragraph (a)
	
113.26		124D.10, subd. 4, paragraph (t)
	124E.06, subd. 5, paragraph (b)
	
113.27		124D.10, subd. 4a, paragraph (a)
	124E.07, subd. 3, paragraph (b)
	
113.28		124D.10, subd. 4a, paragraph (b)
	124E.14, paragraph (a)
	
113.29		124D.10, subd. 4a, paragraph (c)
	124E.07, subd. 3, paragraph (c)
	
113.30		124D.10, subd. 4a, paragraph (d)
	124E.07, subd. 3, paragraph (d)
	
113.31		124D.10, subd. 4a, paragraph (e)
	124E.14, paragraph (b)
	
113.32		124D.10, subd. 4a, paragraph (f)
	124E.14, paragraph (c)
	
113.33		124D.10, subd. 5
	124E.06, subd. 6
	
113.34		124D.10, subd. 6
	124E.10, subd. 1, paragraph (a)
	
113.35
113.36		124D.10, subd. 6a
	124E.16, subd. 1, paragraphs (b) to 
(e)
	
113.37		124D.10, subd. 7
	124E.03, subd. 1
	
113.38		124D.10, subd. 8, paragraph (a)
	124E.03, subd. 2, paragraph (a)
	
113.39		124D.10, subd. 8, paragraph (b)
	124E.03, subd. 2, paragraph (b)
	
113.40		124D.10, subd. 8, paragraph (c)
	124E.06, subd. 3, paragraph (e)
	
113.41		124D.10, subd. 8, paragraph (d)
	124E.06, subd. 3, paragraph (b)
	
113.42		124D.10, subd. 8, paragraph (e)
	124E.03, subd. 4, paragraph (a)
	
113.43		124D.10, subd. 8, paragraph (f)
	124E.06, subd. 3, paragraph (c)
	
113.44		124D.10, subd. 8, paragraph (g)
	124E.06, subd. 3, paragraph (a)
	
114.1		124D.10, subd. 8, paragraph (h)
	124E.06, subd. 3, paragraph (f)
	
114.2		124D.10, subd. 8, paragraph (i)
	124E.03, subd. 4, paragraph (b)
	
114.3		124D.10, subd. 8, paragraph (j)
	124E.11, paragraph (g)
	
114.4		124D.10, subd. 8, paragraph (k)
	124E.03, subd. 2, paragraph (c)
	
114.5		124D.10, subd. 8, paragraph (l)
	124E.16, subd. 1, paragraph (a)
	
114.6		124D.10, subd. 8, paragraph (m)
	124E.03, subd. 2, paragraph (d)
	
114.7		124D.10, subd. 8, paragraph (n)
	124E.03, subd. 5, paragraph (a)
	
114.8		124D.10, subd. 8, paragraph (o)
	124E.03, subd. 2, paragraph (e)
	
114.9		124D.10, subd. 8, paragraph (p)
	124E.03, subd. 7, paragraph (a)
	
114.10		124D.10, subd. 8, paragraph (q)
	124E.03, subd. 2, paragraph (f)
	
114.11		124D.10, subd. 8, paragraph (r)
	124E.03, subd. 5, paragraph (b)
	
114.12		124D.10, subd. 8, paragraph (s)
	124E.03, subd. 7, paragraph (b)
	
114.13		124D.10, subd. 8, paragraph (t)
	124E.03, subd. 7, paragraph (c)
	
114.14		124D.10, subd. 8, paragraph (u)
	124E.03, subd. 2, paragraph (g)
	
114.15		124D.10, subd. 8, paragraph (v)
	124E.03, subd. 2, paragraph (h)
	
114.16		124D.10, subd. 8, paragraph (w)
	124E.03, subd. 2, paragraph (i)
	
114.17		124D.10, subd. 8, paragraph (x)
	124E.03, subd. 4, paragraph (c)
	
114.18		124D.10, subd. 8, paragraph (y)
	124E.15, paragraph (a)
	
114.19		124D.10, subd. 8a
	124E.25, subd. 3, paragraph (a)
	
114.20		124D.10, subd. 8b
	124E.25, subd. 3, paragraph (b)
	
114.21		124D.10, subd. 9
	124E.11, paragraphs (a) to (f)
	
114.22		124D.10, subd. 10
	124E.10, subd. 1, paragraph (b)
	
114.23		124D.10, subd. 11, paragraph (a)
	124E.12, subd. 1
	
114.24		124D.10, subd. 11, paragraph (b)
	124E.12, subd. 2
	
114.25		124D.10, subd. 11, paragraph (c)
	124E.07, subd. 6
	
114.26		124D.10, subd. 11, paragraph (d)
	124E.12, subd. 5
	
114.27		124D.10, subd. 12
	124E.03, subd. 3
	
114.28		124D.10, subd. 13
	124E.03, subd. 6
	
114.29		124D.10, subd. 14
	124E.16, subd. 2
	
114.30
114.31		124D.10, subd. 15, paragraphs (a) 
to (e)
	124E.10, subd. 3, paragraphs (a) to 
(e)
	
114.32		124D.10, subd. 15, paragraph (f)
	124E.05, subd. 8
	
114.33		124D.10, subd. 16
	124E.15, paragraphs (b) to (d)
	
114.34		124D.10, subd. 17
	124E.13, subd. 1
	
114.35		124D.10, subd. 17a
	124E.13, subd. 3
	
114.36		124D.10, subd. 17b
	124E.13, subd. 4
	
114.37		124D.10, subd. 19
	124E.17, subd. 1
	
114.38		124D.10, subd. 20
	124E.12, subd. 6
	
114.39		124D.10, subd. 21
	124E.12, subd. 3
	
114.40		124D.10, subd. 22
	124E.12, subd. 4
	
114.41
114.42		124D.10, subd. 23, paragraphs (a) 
and (b)
	124E.10, subd. 4, paragraphs (a) and 
(b)
	
114.43		124D.10, subd. 23, paragraph (c)
	124E.10, subd. 5
	
114.44		124D.10, subd. 23, paragraph (d)
	124E.10, subd. 4, paragraph (c)
	
115.1		124D.10, subd. 23a, paragraph (a)
	124E.13, subd. 2, paragraph (a)
	
115.2		124D.10, subd. 23a, paragraph (b)
	124E.02, paragraph (b)
	
115.3		124D.10, subd. 23a, paragraph (c)
	124E.13, subd. 2, paragraph (b)
	
115.4		124D.10, subd. 23a, paragraph (d)
	124E.13, subd. 2, paragraph (c)
	
115.5		124D.10, subd. 24
	124E.10, subd. 6
	
115.6		124D.10, subd. 25
	124E.09
	
115.7		124D.10, subd. 27
	124E.08
	
115.8		124D.11, subd. 1
	124E.20, subd.1
	
115.9		124D.11, subd. 2
	124E.23
	
115.10		124D.11, subd. 3
	124E.20, subd. 2
	
115.11		124D.11, subd. 4
	124E.22
	
115.12		124D.11, subd. 5
	124E.21
	
115.13		124D.11, subd. 6
	124E.24
	
115.14		124D.11, subd. 7
	124E.26
	
115.15		124D.11, subd. 9, paragraph (a)
	124E.25, subd. 1, paragraph (a)
	
115.16		124D.11, subd. 9, paragraph (b)
	124E.25, subd. 1, paragraph (b)
	
115.17		124D.11, subd. 9, paragraph (c)
	124E.25, subd. 4, paragraph (a)
	
115.18		124D.11, subd. 9, paragraph (d)
	124E.25, subd. 4, paragraph (b)
	
115.19		124D.11, subd. 9, paragraph (e)
	124E.25, subd. 2, paragraph (a)
	
115.20		124D.11, subd. 9, paragraph (f)
	124E.25, subd. 1, paragraph (c)
	
115.21		124D.11, subd. 9, paragraph (g)
	124E.25, subd. 2, paragraph (b)
	
115.22		124D.11, subd. 9, paragraph (h)
	124E.25, subd. 2, paragraph (c)

115.23 	ARTICLE 5
115.24 	SPECIAL EDUCATION

115.25 	Section 1. Minnesota Statutes 2014, section 122A.31, subdivision 1, is amended to read:
115.26 		Subdivision 1.Requirements for American sign language/English interpreters.
 115.27 	(a) In addition to any other requirements that a school district establishes, any person 
115.28 	employed to provide American sign language/English interpreting or sign transliterating 
115.29 	services on a full-time or part-time basis for a school district after July 1, 2000, must:
115.30 	(1) hold current interpreter and transliterator certificates awarded by the Registry 
115.31 	of Interpreters for the Deaf (RID), or the general level interpreter proficiency certificate 
115.32 	awarded by the National Association of the Deaf (NAD), or a comparable state 
115.33 	certification from the commissioner of education; and
115.34 	(2) satisfactorily complete an interpreter/transliterator training program affiliated 
115.35 	with an accredited educational institution.
115.36 	(b) New graduates of an interpreter/transliterator program affiliated with an 
115.37 	accredited education institution shall be granted a two-year provisional certificate by 
115.38 	the commissioner. During the two-year provisional period, the interpreter/transliterator 
116.1 	must develop and implement an education plan in collaboration with a mentor under 
116.2 	paragraph (c).
116.3 	(c) A mentor of a provisionally certified interpreter/transliterator must be an 
116.4 	interpreter/transliterator who has either NAD level IV or V certification or RID 
116.5 	certified interpreter and certified transliterator certification and have at least three 
116.6 	years interpreting/transliterating experience in any educational setting. The mentor, in 
116.7 	collaboration with the provisionally certified interpreter/transliterator, shall develop and 
116.8 	implement an education plan designed to meet the requirements of paragraph (a), clause 
116.9 	(1), and include a weekly on-site mentoring process.
116.10 	(d) Consistent with the requirements of this paragraph, a person holding a 
116.11 	provisional certificate may apply to the commissioner for one time-limited extension. 
116.12 	The commissioner, in consultation with the Commission of Deaf, DeafBlind and 
116.13 	Hard-of-Hearing Minnesotans, must grant the person a time-limited extension of the 
116.14 	provisional certificate based on the following documentation:
116.15 	(1) letters of support from the person's mentor, a parent of a pupil the person serves, 
116.16 	the special education director of the district in which the person is employed, and a 
116.17 	representative from the regional service center of the deaf and hard-of-hearing;
116.18 	(2) records of the person's formal education, training, experience, and progress on 
116.19 	the person's education plan; and
116.20 	(3) an explanation of why the extension is needed.
116.21 	As a condition of receiving the extension, the person must comply with a plan 
116.22 	and the accompanying time line for meeting the requirements of this subdivision. A 
116.23 	committee composed of the director of the Minnesota Resource Center Serving Deaf and 
116.24 	Hard-of-Hearing, or the director's designee deaf and hard-of-hearing state specialist, a 
116.25 	representative of the Minnesota Association of Deaf Citizens, a representative of the 
116.26 	Minnesota Registry of Interpreters of the Deaf, and other appropriate persons selected 
116.27 	by the commissioner must develop the plan and time line for the person receiving the 
116.28 	extension.
116.29 	(e) A school district may employ only an interpreter/transliterator who has been 
116.30 	certified under paragraph (a) or (b), or for whom a time-limited extension has been 
116.31 	granted under paragraph (d).

116.32 	Sec. 2. Minnesota Statutes 2014, section 122A.31, subdivision 2, is amended to read:
116.33 		Subd. 2.Oral or cued speech transliterators. (a) In addition to any other 
116.34 	requirements that a school district establishes, any person employed to provide oral 
116.35 	transliterating or cued speech transliterating services on a full-time or part-time basis for a 
117.1 	school district after July 1, 2000, must hold a current applicable transliterator certificate 
117.2 	awarded by the national certifying association or comparable state certification from 
117.3 	the commissioner of education.
117.4 	(b) To provide oral or cued speech transliterator services on a full-time or part-time 
117.5 	basis, a person employed in a school district must comply with paragraph (a). The 
117.6 	commissioner shall grant a nonrenewable, two-year certificate to a school district on behalf 
117.7 	of a person who has not yet attained a current applicable transliterator certificate under 
117.8 	paragraph (a). A person for whom a nonrenewable, two-year certificate is issued must 
117.9 	work under the direction of a licensed teacher who is skilled in language development 
117.10 	of individuals who are deaf or hard-of-hearing. A person for whom a nonrenewable, 
117.11 	two-year certificate is issued also must enroll in a state-approved training program and 
117.12 	demonstrate progress towards the certification required under paragraph (a) sufficient for 
117.13 	the person to be certified at the end of the two-year period.
117.14 	(c) Consistent with the requirements of this paragraph, a person holding a 
117.15 	provisional certificate may apply to the commissioner for one time-limited extension. The 
117.16 	commissioner, in consultation with the Commission Serving Deaf and Hard-of-Hearing 
117.17 	People, must grant the person a time-limited extension of the provisional certificate based 
117.18 	on the following documentation:
117.19 	(1) letters of support from the person's mentor, a parent of a pupil the person serves, 
117.20 	the special education director of the district in which the person is employed, and a 
117.21 	representative from the regional service center of the deaf and hard-of-hearing;
117.22 	(2) records of the person's formal education, training, experience, and progress on 
117.23 	the person's education plan; and
117.24 	(3) an explanation of why the extension is needed.
117.25 	As a condition of receiving the extension, the person must comply with a plan 
117.26 	and the accompanying time line for meeting the requirements of this subdivision. A 
117.27 	committee composed of the director of the Minnesota Resource Center Serving Deaf and 
117.28 	Hard-of-Hearing, or the director's designee deaf and hard-of-hearing state specialist, a 
117.29 	representative of the Minnesota Association of Deaf Citizens, a representative of the 
117.30 	Minnesota Registry of Interpreters of the Deaf, and other appropriate persons selected 
117.31 	by the commissioner must develop the plan and time line for the person receiving the 
117.32 	extension.

117.33 	Sec. 3. Minnesota Statutes 2014, section 123B.88, subdivision 1, is amended to read:
117.34 		Subdivision 1.Providing transportation. The board may provide for the 
117.35 	transportation of pupils to and from school and for any other purpose. The board may 
118.1 	also provide for the transportation of pupils to schools in other districts for grades and 
118.2 	departments not maintained in the district, including high school, at the expense of the 
118.3 	district, when funds are available therefor and if agreeable to the district to which it is 
118.4 	proposed to transport the pupils, for the whole or a part of the school year, as it may 
118.5 	deem advisable, and subject to its rules. In any district, the board must arrange for the 
118.6 	attendance of all pupils living two miles or more from the school, except pupils whose 
118.7 	transportation privileges have been voluntarily surrendered under subdivision 2, or 
118.8 	whose privileges have been revoked under section 123B.91, subdivision 1, clause (6), or 
118.9 	123B.90, subdivision 2. The district may provide for the transportation of or the boarding 
118.10 	and rooming of the pupils who may be more economically and conveniently provided for 
118.11 	by that means. Arrangements for attendance may include a requirement that parents or 
118.12 	guardians request transportation before it is provided. The board must provide necessary 
118.13 	transportation to and from the home of consistent with section 123B.92, subdivision 1, 
118.14 	paragraph (b), clause (4), for a child with a disability not yet enrolled in kindergarten 
118.15 	when for the provision of special instruction and services under sections 125A.03 to 
118.16 	125A.24, 125A.26 to 125A.48, and 125A.65are provided in a location other than in 
118.17 	the child's home. Special instruction and services for a child with a disability not yet 
118.18 	enrolled in kindergarten include an individualized education program team placement 
118.19 	in an early childhood program when that placement is necessary to address the child's 
118.20 	level of functioning and needs. When transportation is provided, scheduling of routes, 
118.21 	establishment of the location of bus stops, manner and method of transportation, control 
118.22 	and discipline of school children, the determination of fees, and any other matter relating 
118.23 	thereto must be within the sole discretion, control, and management of the board. The 
118.24 	district may provide for the transportation of pupils or expend a reasonable amount 
118.25 	for room and board of pupils whose attendance at school can more economically and 
118.26 	conveniently be provided for by that means or who attend school in a building rented or 
118.27 	leased by a district within the confines of an adjacent district.

118.28 	Sec. 4. Minnesota Statutes 2014, section 124D.11, subdivision 1, is amended to read:
118.29 		Subdivision 1.General education revenue. (a) General education revenue must 
118.30 	be paid to a charter school as though it were a district. The general education revenue 
118.31 	for each adjusted pupil unit is the state average general education revenue per pupil 
118.32 	unit, plus the referendum equalization aid allowance in the pupil's district of residence, 
118.33 	minus an amount equal to the product of the formula allowance according to section 
118.34 	126C.10, subdivision 2, times .0466, calculated without declining enrollment revenue, 
118.35 	local optional revenue, basic skills revenue, extended time revenue, pension adjustment 
119.1 	revenue, transition revenue, and transportation sparsity revenue, plus declining enrollment 
119.2 	revenue, basic skills revenue, extended time revenue, pension adjustment revenue, and 
119.3 	transition revenue as though the school were a school district. The general education 
119.4 	revenue for each extended time pupil unit equals $4,794.
119.5 	(b) Notwithstanding paragraph (a), the general education revenue for an eligible 
119.6 	special education charter school as defined in subdivision 5a equals the sum of the 
119.7 	amount determined under paragraph (a) and the school's unreimbursed cost as defined in 
119.8 	subdivision 5a for educating students not eligible for special education services.

119.9 	Sec. 5. Minnesota Statutes 2014, section 124D.11, subdivision 5, is amended to read:
119.10 		Subd. 5.Special education aid. (a) Except as provided in subdivision 2, special 
119.11 	education aid must be paid to a charter school according to section 125A.76, as though 
119.12 	it were a school district.
119.13 	(b) For fiscal year 2015 and later, the special education aid paid to the charter school 
119.14 	shall be adjusted as follows:
119.15 	(1) if the charter school does not receive general education revenue on behalf of 
119.16 	the student according to subdivision 1, the aid shall be adjusted as provided in section 
119.17 	125A.11; or
119.18 	(2) if the charter school receives general education revenue on behalf of the student 
119.19 	according to subdivision 1, the aid shall be adjusted as provided in section 127A.47, 
119.20 	subdivision 7, paragraphs (b) to (d) (e).

119.21 	EFFECTIVE DATE. This section is effective for fiscal year 2016 and later.

119.22 	Sec. 6. Minnesota Statutes 2014, section 124D.11, is amended by adding a subdivision 
119.23 	to read:
119.24 		Subd. 5a.Definitions. (a) For purposes of subdivision 5b, the terms in this 
119.25 	subdivision have the meanings given.
119.26 	(b) "Unreimbursed costs" means the difference between the total cost of educating 
119.27 	students at the school and the total of state and federal aids and grants, excluding aid under 
119.28 	subdivision 1, paragraph (b), and subdivision 5b.
119.29 	(c) "Eligible special education charter school" means a charter school:
119.30 	(1) where the percent of students eligible for special education services equals at 
119.31 	least 90 percent of the charter school's total enrollment; and
119.32 	(2) that submits to the commissioner a preliminary annual budget by June 15 prior 
119.33 	to the start of the fiscal year and a revised budget by January 15 of the current fiscal 
120.1 	year detailing its unreimbursed costs for educating students eligible and not eligible for 
120.2 	special education services.

120.3 	EFFECTIVE DATE. This section is effective for fiscal year 2016 and later.

120.4 	Sec. 7. Minnesota Statutes 2014, section 124D.11, is amended by adding a subdivision 
120.5 	to read:
120.6 		Subd. 5b.Special education aid for eligible special education charter schools.
 120.7 	(a) Notwithstanding subdivision 5, the special education aid for an eligible special 
120.8 	education charter school equals the sum of the school's special education aid under 
120.9 	subdivision 5, paragraph (a), and the school's approved unreimbursed cost for educating 
120.10 	students eligible for special education services.
120.11 	(b) The commissioner must review the budget data submitted by an eligible special 
120.12 	education charter school under subdivision 5a and notify the school of the approved 
120.13 	unreimbursed cost to be used for current aid payments within 30 days of receiving the 
120.14 	budget from the school.
120.15 	(c) For purposes of section 127A.45, subdivision 13, the aid under this subdivision 
120.16 	is not subject to the 97.4 percent current fiscal year special education aid entitlement 
120.17 	provision.
120.18 	(d) Final aid payments must be calculated using the actual unreimbursed costs as 
120.19 	determined by the department based on year-end financial and student data submitted by 
120.20 	the charter school.

120.21 	EFFECTIVE DATE. This section is effective for fiscal year 2016 and later.

120.22 	Sec. 8. Minnesota Statutes 2014, section 125A.01, is amended to read:
120.23 	125A.01 DEFINITIONS.
120.24 		Subdivision 1.General application. For purposes of this chapter, the words defined 
120.25 	in section 120A.05 have the same meaning.
120.26 		Subd. 2.Dyslexia. "Dyslexia" means a specific learning disability that is 
120.27 	neurological in origin. It is characterized by difficulties with accurate or fluent recognition 
120.28 	of words and by poor spelling and decoding abilities. These difficulties typically result 
120.29 	from a deficit in the phonological component of language that is often unexpected in 
120.30 	relation to other cognitive abilities and the provision of effective classroom instruction. 
120.31 	Secondary consequences may include problems in reading comprehension and reduced 
120.32 	reading experience that can impede the growth of vocabulary and background knowledge.
121.1 	Students who have a dyslexia diagnosis must meet the state and federal eligibility 
121.2 	criteria in order to qualify for special education services.

121.3 	Sec. 9. Minnesota Statutes 2014, section 125A.023, subdivision 3, is amended to read:
121.4 		Subd. 3.Definitions. For purposes of this section and section 125A.027, the 
121.5 	following terms have the meanings given them:
121.6 	(a) "Health plan" means:
121.7 	(1) a health plan under section 62Q.01, subdivision 3;
121.8 	(2) a county-based purchasing plan under section 256B.692;
121.9 	(3) a self-insured health plan established by a local government under section 
121.10 	471.617; or
121.11 	(4) self-insured health coverage provided by the state to its employees or retirees.
121.12 	(b) For purposes of this section, "health plan company" means an entity that issues 
121.13 	a health plan as defined in paragraph (a).
121.14 	(c) "Interagency intervention service system" means a system that coordinates 
121.15 	services and programs required in state and federal law to meet the needs of eligible 
121.16 	children with disabilities ages birth three through 21, including:
121.17 	(1) services provided under the following programs or initiatives administered 
121.18 	by state or local agencies:
121.19 	(i) the maternal and child health program under title V of the Social Security Act;
121.20 	(ii) the Minnesota children with special health needs program under sections 144.05 
121.21 	and 144.07;
121.22 	(iii) the Individuals with Disabilities Education Act, Part B, section 619, and Part 
121.23 	C as amended;
121.24 	(iv) medical assistance under title 42, chapter 7, of the Social Security Act;
121.25 	(v) developmental disabilities services under chapter 256B;
121.26 	(vi) the Head Start Act under title 42, chapter 105, of the Social Security Act;
121.27 	(vii) vocational rehabilitation services provided under chapters 248 and 268A and 
121.28 	the Rehabilitation Act of 1973;
121.29 	(viii) Juvenile Court Act services provided under sections 260.011 to 260.91; 
121.30 	260B.001 to 260B.446; and 260C.001 to 260C.451;
121.31 	(ix) Minnesota Comprehensive Children's Mental Health Act under section 245.487;
121.32 	(x) the community health services grants under sections 145.88 to 145.9266;
121.33 	(xi) the Local Public Health Act under chapter 145A; and
121.34 	(xii) the Vulnerable Children and Adults Act, sections 256M.60 to 256M.80;
121.35 	(2) service provision and funding that can be coordinated through:
122.1 	(i) the children's mental health collaborative under section 245.493;
122.2 	(ii) the family services collaborative under section 124D.23;
122.3 	(iii) the community transition interagency committees under section 125A.22; and
122.4 	(iv) the interagency early intervention committees under section 125A.259;
122.5 	(3) financial and other funding programs to be coordinated including medical 
122.6 	assistance under title 42, chapter 7, of the Social Security Act, the MinnesotaCare program 
122.7 	under chapter 256L, Supplemental Social Security Income, Developmental Disabilities 
122.8 	Assistance, and any other employment-related activities associated with the Social 
122.9 	Security Administration; and services provided under a health plan in conformity with an 
122.10 	individual family service plan or an individualized education program or an individual 
122.11 	interagency intervention plan; and
122.12 	(4) additional appropriate services that local agencies and counties provide on 
122.13 	an individual need basis upon determining eligibility and receiving a request from (i) 
122.14 	the interagency early intervention committee school board or county board and (ii) the 
122.15 	child's parent.
122.16 	(d) "Children with disabilities" has the meaning given in section 125A.02.
122.17 	(e) A "standardized written plan" means those individual services or programs, with 
122.18 	accompanying funding sources, available through the interagency intervention service 
122.19 	system to an eligible child other than the services or programs described in the child's 
122.20 	individualized education program or the child's individual family service plan.

122.21 	Sec. 10. Minnesota Statutes 2014, section 125A.023, subdivision 4, is amended to read:
122.22 		Subd. 4.State Interagency Committee. (a) The commissioner of education, on 
122.23 	behalf of the governor, shall convene an interagency committee to develop and implement 
122.24 	a coordinated, multidisciplinary, interagency intervention service system for children ages 
122.25 	three to 21 with disabilities. The commissioners of commerce, education, health, human 
122.26 	rights, human services, employment and economic development, and corrections shall 
122.27 	each appoint two committee members from their departments; and the Association of 
122.28 	Minnesota Counties, Minnesota School Boards Association, the Minnesota Administrators 
122.29 	of Special Education, and the School Nurse Association of Minnesota shall each appoint 
122.30 	one committee member. The committee shall select a chair from among its members.
122.31 	(b) The committee shall:
122.32 	(1) identify and assist in removing state and federal barriers to local coordination of 
122.33 	services provided to children with disabilities;
122.34 	(2) identify adequate, equitable, and flexible funding sources to streamline these 
122.35 	services;
123.1 	(3) develop guidelines for implementing policies that ensure a comprehensive and 
123.2 	coordinated system of all state and local agency services, including multidisciplinary 
123.3 	assessment practices for children with disabilities ages three to 21, including:
123.4 	(i) develop, consistent with federal law, a standardized written plan for providing 
123.5 	services to a child with disabilities;
123.6 	(ii) identify how current systems for dispute resolution can be coordinated;
123.7 	(iii) develop an evaluation process to measure the success of state and local 
123.8 	interagency efforts in improving the quality and coordination of services to children with 
123.9 	disabilities ages three to 21; and
123.10 	(iv) develop guidelines to assist the governing boards of the interagency early 
123.11 	intervention committees school boards and county boards in carrying out the duties 
123.12 	assigned in section 125A.027, subdivision 1, paragraph (b); and
123.13 	(4) carry out other duties necessary to develop and implement within communities 
123.14 	a coordinated, multidisciplinary, interagency intervention service system for children 
123.15 	with disabilities.
123.16 	(c) The committee shall consult on an ongoing basis with the state Special Education 
123.17 	Advisory Panel and the governor's Interagency Coordinating Council in carrying out 
123.18 	its duties under this section, including assisting the governing school boards of the 
123.19 	interagency early intervention committees and county boards.

123.20 	Sec. 11. Minnesota Statutes 2014, section 125A.027, is amended to read:
123.21 	125A.027 INTERAGENCY EARLY INTERVENTION COMMITTEE 
123.22 	RESPONSIBILITIES LOCAL AGENCY COORDINATION RESPONSIBILITIES.
123.23 		Subdivision 1.Additional duties School board and county board responsibilities.
 123.24 	(a) It is the joint responsibility of school and county boards to coordinate, provide, and 
123.25 	pay for appropriate services and to facilitate payment for services from public and private 
123.26 	sources. Appropriate services for children eligible under section 125A.02 and receiving 
123.27 	services from two or more public agencies of which one is the public school must be 
123.28 	determined in consultation with parents, physicians, and other education, medical health, 
123.29 	and human services providers. The services provided must conform with a standardized 
123.30 	written plan for each eligible child ages three to 21.
123.31 	(b) Appropriate services include those services listed on a child's standardized 
123.32 	written plan. These services are those that are required to be documented on a plan under 
123.33 	federal and state law or rule.
123.34 	(c) School and county boards shall coordinate interagency services. Service 
123.35 	responsibilities for eligible children, ages three to 21, may be established in interagency 
124.1 	agreements or joint powers board agreements. In addition, interagency agreements or 
124.2 	joint powers board agreements may be developed to establish agency responsibility that 
124.3 	ensures that coordinated interagency services are coordinated, provided, and paid for and 
124.4 	that payment is facilitated from public and private sources. School boards must provide, 
124.5 	pay for, and facilitate payment for special education services as required under sections 
124.6 	125A.03 and 125A.06. County boards must provide, pay for, and facilitate payment for 
124.7 	those programs over which they have service and fiscal responsibility as referenced in 
124.8 	section 125A.023, subdivision 3, paragraph (c), clause (1).
124.9 		Subd. 1a.Local governance structure. (a) The governing school boards of 
124.10 	the interagency early intervention committees and county boards are responsible for 
124.11 	developing and implementing interagency policies and procedures to coordinate services 
124.12 	at the local level for children with disabilities ages three to 21 under guidelines established 
124.13 	by the state interagency committee under section 125A.023, subdivision 4. Consistent 
124.14 	with the requirements in this section and section 125A.023, the governing school boards 
124.15 	of the interagency early intervention committees and county boards may organize as a 
124.16 	joint powers board under section 471.59 or enter into an interagency agreement that 
124.17 	establishes a governance structure.
124.18 	(b) The governing board of each interagency early intervention committee as defined 
124.19 	in section 125A.30, paragraph (a), which may include a juvenile justice professional, shall:
124.20 	(1) identify state and federal barriers to local coordination of services provided to 
124.21 	children with disabilities;
124.22 	(2) implement policies that ensure a comprehensive and coordinated system of all 
124.23 	state and local agency services, including practices on multidisciplinary assessment, 
124.24 	standardized written plans, dispute resolution, and system evaluation for children with 
124.25 	disabilities ages three to 21;
124.26 	(3) coordinate services and facilitate payment for services from public and private 
124.27 	institutions, agencies, and health plan companies; and
124.28 	(4) share needed information consistent with state and federal data practices 
124.29 	requirements.
124.30 		Subd. 2.Appropriate and necessary services. (a) Parents, physicians, other health 
124.31 	care professionals including school nurses, and education and human services providers 
124.32 	jointly must determine appropriate and necessary services for eligible children with 
124.33 	disabilities ages three to 21. The services provided to the child under this section must 
124.34 	conform with the child's standardized written plan. The governing school board of an 
124.35 	interagency early intervention committee or county board must provide those services 
124.36 	contained in a child's individualized education program and those services for which a 
125.1 	legal obligation exists. Nothing in this section creates an additional right of appeal beyond 
125.2 	the rights granted under sections 125A.091, 125A.25, and 256.045.
125.3 	(b) Nothing in this section or section 125A.023 increases or decreases the obligation 
125.4 	of the state, county, regional agency, local school district, or local agency or organization 
125.5 	to pay for education, health care, or social services.
125.6 	(c) A health plan may not exclude any medically necessary covered service solely 
125.7 	because the service is or could be identified in a child's individual family service plan, 
125.8 	individualized education program, a plan established under section 504 of the federal 
125.9 	Rehabilitation Act of 1973, or a student's individual health plan. This paragraph reaffirms 
125.10 	the obligation of a health plan company to provide or pay for certain medically necessary 
125.11 	covered services, and encourages a health plan company to coordinate this care with any 
125.12 	other providers of similar services. Also, a health plan company may not exclude from a 
125.13 	health plan any medically necessary covered service such as an assessment or physical 
125.14 	examination solely because the resulting information may be used for an individualized 
125.15 	education program or a standardized written plan.
125.16 		Subd. 4.Responsibilities of school and county boards. (a) It is the joint 
125.17 	responsibility of school and county boards to coordinate, provide, and pay for appropriate 
125.18 	services, and to facilitate payment for services from public and private sources. 
125.19 	Appropriate service for children eligible under section 125A.02 and receiving service 
125.20 	from two or more public agencies of which one is the public school must be determined in 
125.21 	consultation with parents, physicians, and other education, medical health, and human 
125.22 	services providers. The services provided must be in conformity with a standardized 
125.23 	written plan for each eligible child ages 3 to 21.
125.24 	(b) Appropriate services include those services listed on a child's standardized 
125.25 	written plan. These services are those that are required to be documented on a plan under 
125.26 	federal and state law or rule.
125.27 	(c) School and county boards shall coordinate interagency services. Service 
125.28 	responsibilities for eligible children, ages 3 to 21, may be established in interagency 
125.29 	agreements or joint powers board agreements. In addition, interagency agreements or joint 
125.30 	powers board agreements may be developed to establish agency responsibility that assures 
125.31 	that coordinated interagency services are coordinated, provided, and paid for, and that 
125.32 	payment is facilitated from public and private sources. School boards must provide, 
125.33 	pay for, and facilitate payment for special education services as required under sections 
125.34 	125A.03 and 125A.06. County boards must provide, pay for, and facilitate payment for 
125.35 	those programs over which they have service and fiscal responsibility as referenced in 
125.36 	section 125A.023, subdivision 3, paragraph (c), clause (1).

126.1 	Sec. 12. Minnesota Statutes 2014, section 125A.08, is amended to read:
126.2 	125A.08 INDIVIDUALIZED EDUCATION PROGRAMS.
126.3 	(a) At the beginning of each school year, each school district shall have in effect, for 
126.4 	each child with a disability, an individualized education program.
126.5 	(b) As defined in this section, every district must ensure the following:
126.6 	(1) all students with disabilities are provided the special instruction and services 
126.7 	which are appropriate to their needs. Where the individualized education program team 
126.8 	has determined appropriate goals and objectives based on the student's needs, including 
126.9 	the extent to which the student can be included in the least restrictive environment, 
126.10 	and where there are essentially equivalent and effective instruction, related services, or 
126.11 	assistive technology devices available to meet the student's needs, cost to the district may 
126.12 	be among the factors considered by the team in choosing how to provide the appropriate 
126.13 	services, instruction, or devices that are to be made part of the student's individualized 
126.14 	education program. The individualized education program team shall consider and 
126.15 	may authorize services covered by medical assistance according to section 256B.0625, 
126.16 	subdivision 26. The student's needs and the special education instruction and services to 
126.17 	be provided must be agreed upon through the development of an individualized education 
126.18 	program. The program must address the student's need to develop skills to live and 
126.19 	work as independently as possible within the community. The individualized education 
126.20 	program team must consider positive behavioral interventions, strategies, and supports 
126.21 	that address behavior needs for children with attention deficit disorder or attention deficit 
126.22 	hyperactivity disorder. During grade 9, the program must address the student's needs for 
126.23 	transition from secondary services to postsecondary education and training, employment, 
126.24 	community participation, recreation, and leisure and home living. In developing the 
126.25 	program, districts must inform parents of the full range of transitional goals and related 
126.26 	services that should be considered. The program must include a statement of the needed 
126.27 	transition services, including a statement of the interagency responsibilities or linkages or 
126.28 	both before secondary services are concluded;
126.29 	(2) children with a disability under age five and their families are provided special 
126.30 	instruction and services appropriate to the child's level of functioning and needs;
126.31 	(3) children with a disability and their parents or guardians are guaranteed procedural 
126.32 	safeguards and the right to participate in decisions involving identification, assessment 
126.33 	including assistive technology assessment, and educational placement of children with a 
126.34 	disability;
127.1 	(4) eligibility and needs of children with a disability are determined by an initial 
127.2 	evaluation or reevaluation, which may be completed using existing data under United 
127.3 	States Code, title 20, section 33, et seq.;
127.4 	(5) to the maximum extent appropriate, children with a disability, including those 
127.5 	in public or private institutions or other care facilities, are educated with children who 
127.6 	are not disabled, and that special classes, separate schooling, or other removal of children 
127.7 	with a disability from the regular educational environment occurs only when and to the 
127.8 	extent that the nature or severity of the disability is such that education in regular classes 
127.9 	with the use of supplementary services cannot be achieved satisfactorily;
127.10 	(6) in accordance with recognized professional standards, testing and evaluation 
127.11 	materials, and procedures used for the purposes of classification and placement of children 
127.12 	with a disability are selected and administered so as not to be racially or culturally 
127.13 	discriminatory; and
127.14 	(7) the rights of the child are protected when the parents or guardians are not known 
127.15 	or not available, or the child is a ward of the state.
127.16 	(c) For all paraprofessionals employed to work in programs for whose role in part 
127.17 	is to provide direct support to students with disabilities, the school board in each district 
127.18 	shall ensure that:
127.19 	(1) before or immediately uponbeginning at the time of employment, each 
127.20 	paraprofessional developsmust develop sufficient knowledge and skills in emergency 
127.21 	procedures, building orientation, roles and responsibilities, confidentiality, vulnerability, 
127.22 	and reportability, among other things, to begin meeting the needs, especially 
127.23 	disability-specific and behavioral needs, of the students with whom the paraprofessional 
127.24 	works;
127.25 	(2) annual training opportunities are available required to enable the paraprofessional 
127.26 	to continue to further develop the knowledge and skills that are specific to the students 
127.27 	with whom the paraprofessional works, including understanding disabilities, the unique 
127.28 	and individual needs of each student according to the student's disability and how the 
127.29 	disability affects the student's education and behavior, following lesson plans, and 
127.30 	implementing follow-up instructional procedures and activities; and
127.31 	(3) a districtwide process obligates each paraprofessional to work under the ongoing 
127.32 	direction of a licensed teacher and, where appropriate and possible, the supervision of a 
127.33 	school nurse.

127.34 	Sec. 13. [125A.083] STUDENT INFORMATION SYSTEMS; TRANSFERRING 
127.35 	RECORDS.
128.1 	To efficiently and effectively meet federal and state compliance and accountability 
128.2 	requirements using an online case management reporting system, school districts may 
128.3 	contract only for a student information system that is Schools Interoperability Framework 
128.4 	compliant and compatible with the online system for compliance reporting under section 
128.5 	125A.085 beginning in the 2018-2019 school year and later. A district's information  
128.6 	system under this section must facilitate the seamless transfer of student records for 
128.7 	a student with disabilities who transfers between school districts, including records 
128.8 	containing the student's evaluation report, service plan, and other due process forms and 
128.9 	information, regardless of what information system any one district uses.

128.10 	EFFECTIVE DATE. This section is effective the day following final enactment 
128.11 	and applies to all district contracts with student information system vendors entered into 
128.12 	or modified after that date.

128.13 	Sec. 14. Minnesota Statutes 2014, section 125A.085, is amended to read:
128.14 	125A.085 ONLINE REPORTING OF REQUIRED DATA.
128.15 	(a) To ensure a strong focus on outcomes for children with disabilities informs 
128.16 	federal and state compliance and accountability requirements and to increase opportunities 
128.17 	for special educators and related-services providers to focus on teaching children with 
128.18 	disabilities, the commissioner must customize a streamlined, user-friendly statewide 
128.19 	online system, with a single model online form, for effectively and efficiently collecting 
128.20 	and reporting required special education-related data to individuals with a legitimate 
128.21 	educational interest and who are authorized by law to access the data.
128.22 	(b) The commissioner must consult with qualified experts, including information 
128.23 	technology specialists, licensed special education teachers and directors of special 
128.24 	education, related-services providers, third-party vendors, a designee of the commissioner 
128.25 	of human services, parents of children with disabilities, representatives of advocacy groups 
128.26 	representing children with disabilities, and representatives of school districts and special 
128.27 	education cooperatives on integrating, field testing, customizing, and sustaining this simple, 
128.28 	easily accessible, efficient, and effective online data system for uniform statewide reporting 
128.29 	of required due process compliance data. Among other outcomes, the system must:
128.30 	(1) reduce special education teachers' paperwork burden and thereby increase the 
128.31 	teachers' opportunities to focus on teaching children;
128.32 	(2) to the extent authorized by chapter 13 or other applicable state or federal law 
128.33 	governing access to and dissemination of educational records, provide for efficiently 
128.34 	and effectively transmitting the records of all transferring children with disabilities, 
129.1 	including highly mobile and homeless children with disabilities, among others, and avoid 
129.2 	fragmented service delivery;
129.3 	(3) address language and other barriers and disparities that prevent parents from 
129.4 	understanding and communicating information about the needs of their children with 
129.5 	disabilities; and
129.6 	(4) help continuously improve the interface among the online systems serving 
129.7 	children with disabilities in order to maintain and reinforce the children's ability to learn.
129.8 	(c) The commissioner must use the federal Office of Special Education Programs 
129.9 	model forms for the (1) individualized education program, (2) notice of procedural 
129.10 	safeguards, and (3) prior written notice that are consistent with Part B of IDEA to integrate 
129.11 	and customize a state-sponsored universal special education online case management 
129.12 	system, consistent with the requirements of state law and this section for customizing a 
129.13 	statewide online reporting system. The commissioner must use a request for proposal 
129.14 	process to contract for the technology and software needed for customizing the online 
129.15 	system in order for the system to be fully functional, consistent with the requirements of 
129.16 	this section. This online system must be made available to school districts without charge 
129.17 	beginning in the 2015-2016 school year. For the 2015-2016 through 2017-2018and later 
129.18 	school years, school districts may use this online system or may contract with an outside 
129.19 	vendor for compliance reporting. Beginning in the 2018-2019 school year and later, 
129.20 	school districts must use this online system for compliance reporting.
129.21 	(d) All data on individuals maintained in the statewide reporting system are 
129.22 	classified as provided in chapter 13 or other applicable state or federal law. An authorized 
129.23 	individual's ability to enter, update, or access data must be limited through the use of 
129.24 	role-based access codes corresponding to that individual's official duties or training level, 
129.25 	and the statutory authorization that grants access for a particular purpose. Any action 
129.26 	in which data in the system are entered, updated, accessed, or shared or disseminated 
129.27 	outside of the system must be recorded in an audit trail. The audit trail must identify the 
129.28 	specific user responsible for the action, the date and time the action occurred, and the 
129.29 	purpose for the action. Data contained in the audit trail maintain the same classification 
129.30 	as the underlying data affected by the action, provided the responsible authority makes 
129.31 	the data available to a student or the student's parent upon request, and the responsible 
129.32 	authority may access the data to audit the system's user activity and security safeguards. 
129.33 	Before entering data on a student, the responsible authority must provide the student or the 
129.34 	student's parent written notice of the data practices rights and responsibilities required 
129.35 	by this section and a reasonable opportunity to refuse consent to have the student's data 
129.36 	included in the system. Upon receiving the student or the student's parent written refusal 
130.1 	to consent, the school district must not enter data on that student into the system and must 
130.2 	delete any existing data on that student currently in the system.
130.3 	(e) Consistent with this section, the commissioner must establish a public Internet 
130.4 	Web interface to provide information to educators, parents, and the public about the form 
130.5 	and content of required special education reports, to respond to queries from educators, 
130.6 	parents, and the public about specific aspects of special education reports and reporting, 
130.7 	and to use the information garnered from the interface to streamline and revise special 
130.8 	education reporting on the online system under this section. The public Internet Web 
130.9 	interface must have a prominently linked page describing the rights and responsibilities 
130.10 	of students and parents whose data are included in the statewide reporting system, and 
130.11 	include information on the data practices rights of students and parents provided by this 
130.12 	section and a form students or parents may use to refuse consent to have a student's data 
130.13 	included in the system. The public Internet Web interface must not provide access to the 
130.14 	educational records of any individual child.
130.15 	(f) The commissioner annually by February 1 must submit to the legislature a report 
130.16 	on the status, recent changes, and sustainability of the online system under this section.

130.17 	Sec. 15. Minnesota Statutes 2014, section 125A.0942, subdivision 3, is amended to 
130.18 	read:
130.19 		Subd. 3.Physical holding or seclusion. (a) Physical holding or seclusion may be 
130.20 	used only in an emergency. A school that uses physical holding or seclusion shall meet the 
130.21 	following requirements:
130.22 	(1) physical holding or seclusion is the least intrusive intervention that effectively 
130.23 	responds to the emergency;
130.24 	(2) physical holding or seclusion is not used to discipline a noncompliant child;
130.25 	(3) physical holding or seclusion ends when the threat of harm ends and the staff 
130.26 	determines the child can safely return to the classroom or activity;
130.27 	(4) staff directly observes the child while physical holding or seclusion is being used;
130.28 	(5) each time physical holding or seclusion is used, the staff person who implements 
130.29 	or oversees the physical holding or seclusion documents, as soon as possible after the 
130.30 	incident concludes, the following information:
130.31 	(i) a description of the incident that led to the physical holding or seclusion;
130.32 	(ii) why a less restrictive measure failed or was determined by staff to be 
130.33 	inappropriate or impractical;
130.34 	(iii) the time the physical holding or seclusion began and the time the child was 
130.35 	released; and
131.1 	(iv) a brief record of the child's behavioral and physical status;
131.2 	(6) the room used for seclusion must:
131.3 	(i) be at least six feet by five feet;
131.4 	(ii) be well lit, well ventilated, adequately heated, and clean;
131.5 	(iii) have a window that allows staff to directly observe a child in seclusion;
131.6 	(iv) have tamperproof fixtures, electrical switches located immediately outside the 
131.7 	door, and secure ceilings;
131.8 	(v) have doors that open out and are unlocked, locked with keyless locks that 
131.9 	have immediate release mechanisms, or locked with locks that have immediate release 
131.10 	mechanisms connected with a fire and emergency system; and
131.11 	(vi) not contain objects that a child may use to injure the child or others;
131.12 	(7) before using a room for seclusion, a school must:
131.13 	(i) receive written notice from local authorities that the room and the locking 
131.14 	mechanisms comply with applicable building, fire, and safety codes; and
131.15 	(ii) register the room with the commissioner, who may view that room; and
131.16 	(8) until August 1, 2015, a school district may use prone restraints with children 
131.17 	age five or older if:
131.18 	(i) the district has provided to the department a list of staff who have had specific 
131.19 	training on the use of prone restraints;
131.20 	(ii) the district provides information on the type of training that was provided and 
131.21 	by whom;
131.22 	(iii) only staff who received specific training use prone restraints;
131.23 	(iv) each incident of the use of prone restraints is reported to the department within 
131.24 	five working days on a form provided by the department; and
131.25 	(v) the district, before using prone restraints, must review any known medical or 
131.26 	psychological limitations that contraindicate the use of prone restraints.
131.27 	The department must collect data on districts' use of prone restraints and publish the data 
131.28 	in a readily accessible format on the department's Web site on a quarterly basis.
131.29 	(b) By February 1, 2015, and annually thereafter, stakeholders must may, as 
131.30 	necessary, recommend to the commissioner specific and measurable implementation and 
131.31 	outcome goals for reducing the use of restrictive procedures and the commissioner must 
131.32 	submit to the legislature a report on districts' progress in reducing the use of restrictive 
131.33 	procedures that recommends how to further reduce these procedures and eliminate 
131.34 	the use of prone restraints. The statewide plan includes the following components: 
131.35 	measurable goals; the resources, training, technical assistance, mental health services, and 
131.36 	collaborative efforts needed to significantly reduce districts' use of prone restraints; and 
132.1 	recommendations to clarify and improve the law governing districts' use of restrictive 
132.2 	procedures. The commissioner must consult with interested stakeholders when preparing 
132.3 	the report, including representatives of advocacy organizations, special education directors, 
132.4 	teachers, paraprofessionals, intermediate school districts, school boards, day treatment 
132.5 	providers, county social services, state human services department staff, mental health 
132.6 	professionals, and autism experts. By June 30 each year, districts must report summary 
132.7 	data on their use of restrictive procedures to the department, in a form and manner 
132.8 	determined by the commissioner. The summary data must include information about the 
132.9 	use of restrictive procedures, including use of reasonable force under section 121A.582.

132.10 	EFFECTIVE DATE. This section is effective the day following final enactment.

132.11 	Sec. 16. Minnesota Statutes 2014, section 125A.11, subdivision 1, is amended to read:
132.12 		Subdivision 1.Nonresident tuition rate; other costs. (a) For fiscal year 2015 and 
132.13 	later, when a school district provides special instruction and services for a pupil with 
132.14 	a disability as defined in section 125A.02 outside the district of residence, excluding 
132.15 	a pupil for whom an adjustment to special education aid is calculated according to 
132.16 	section 127A.47, subdivision 7, paragraphs (b) to (d), special education aid paid to the 
132.17 	resident district must be reduced by an amount equal to (1) the actual cost of providing 
132.18 	special instruction and services to the pupil, including a proportionate amount for special 
132.19 	transportation and unreimbursed building lease and debt service costs for facilities used 
132.20 	primarily for special education, plus (2) the amount of general education revenue and 
132.21 	referendum equalization aid attributable to that pupil, calculated using the resident district's 
132.22 	average general education revenue and referendum equalization aid per adjusted pupil 
132.23 	unit excluding basic skills revenue, elementary sparsity revenue and secondary sparsity 
132.24 	revenue, minus (3) the amount of special education aid for children with a disability 
132.25 	under section 125A.76 received on behalf of that child, minus (4) if the pupil receives 
132.26 	special instruction and services outside the regular classroom for more than 60 percent 
132.27 	of the school day, the amount of general education revenue and referendum equalization 
132.28 	aid, excluding portions attributable to district and school administration, district support 
132.29 	services, operations and maintenance, capital expenditures, and pupil transportation, 
132.30 	attributable to that pupil for the portion of time the pupil receives special instruction 
132.31 	and services outside of the regular classroom, calculated using the resident district's 
132.32 	average general education revenue and referendum equalization aid per adjusted pupil unit 
132.33 	excluding basic skills revenue, elementary sparsity revenue and secondary sparsity revenue 
132.34 	and the serving district's basic skills revenue, elementary sparsity revenue and secondary 
132.35 	sparsity revenue per adjusted pupil unit. Notwithstanding clauses (1) and (4), for pupils 
133.1 	served by a cooperative unit without a fiscal agent school district, the general education 
133.2 	revenue and referendum equalization aid attributable to a pupil must be calculated using 
133.3 	the resident district's average general education revenue and referendum equalization aid 
133.4 	excluding compensatory revenue, elementary sparsity revenue, and secondary sparsity 
133.5 	revenue. Special education aid paid to the district or cooperative providing special 
133.6 	instruction and services for the pupil must be increased by the amount of the reduction in 
133.7 	the aid paid to the resident district. Amounts paid to cooperatives under this subdivision 
133.8 	and section 127A.47, subdivision 7, shall be recognized and reported as revenues and 
133.9 	expenditures on the resident school district's books of account under sections 123B.75 
133.10 	and 123B.76. If the resident district's special education aid is insufficient to make the full 
133.11 	adjustment, the remaining adjustment shall be made to other state aid due to the district.
133.12 	(b) Notwithstanding paragraph (a), when a charter school receiving special education 
133.13 	aid under section 124D.11, subdivision 5b, provides special instruction and services for 
133.14 	a pupil with a disability as defined in section 125A.02, excluding a pupil for whom an 
133.15 	adjustment to special education aid is calculated according to section 127A.46, subdivision 
133.16 	7, paragraphs (b) to (e), special education aid paid to the resident district must be reduced 
133.17 	by an amount equal to that calculated under paragraph (a) as if the charter school received 
133.18 	aid under section 124D.11, subdivision 5. Notwithstanding paragraph (a), special education 
133.19 	aid paid to the charter school providing special instruction and services for the pupil must 
133.20 	not be increased by the amount of the reduction in the aid paid to the resident district.
133.21 	(c) Notwithstanding paragraph (a) and section 127A.47, subdivision 7, paragraphs 
133.22 	(b) to (d), a charter school where more than 30 percent of enrolled students receive special 
133.23 	education and related services, a site approved under section 125A.515, an intermediate 
133.24 	district, a special education cooperative, or a school district that served as the applicant 
133.25 	agency for a group of school districts for federal special education aids for fiscal year 
133.26 	2006 may apply to the commissioner for authority to charge the resident district an 
133.27 	additional amount to recover any remaining unreimbursed costs of serving pupils with 
133.28 	a disability. The application must include a description of the costs and the calculations 
133.29 	used to determine the unreimbursed portion to be charged to the resident district. Amounts 
133.30 	approved by the commissioner under this paragraph must be included in the tuition billings 
133.31 	or aid adjustments under paragraph (a), or section 127A.47, subdivision 7, paragraphs 
133.32 	(b) to (d), as applicable.
133.33 	(c) (d)  For purposes of this subdivision and section 127A.47, subdivision 7, 
133.34 	paragraph (b), "general education revenue and referendum equalization aid" means 
133.35 	the sum of the general education revenue according to section 126C.10, subdivision 1, 
134.1 	excluding the local optional levy according to section 126C.10, subdivision 2e, paragraph 
134.2 	(c), plus the referendum equalization aid according to section 126C.17, subdivision 7.

134.3 	EFFECTIVE DATE. This section is effective for fiscal year 2016 and later.

134.4 	Sec. 17. Minnesota Statutes 2014, section 125A.21, is amended to read:
134.5 	125A.21 THIRD-PARTY PAYMENT.
134.6 		Subdivision 1.Obligation to pay. Nothing in sections 125A.03 to 125A.24 and 
134.7 	125A.65 relieves an insurer or similar third party from an otherwise valid obligation to 
134.8 	pay, or changes the validity of an obligation to pay, for services rendered to a child with 
134.9 	a disability, and the child's family. A school district shall pay the nonfederal share of 
134.10 	medical assistance services provided according to section 256B.0625, subdivision 26. 
134.11 	Eligible expenditures must not be made from federal funds or funds used to match other 
134.12 	federal funds. Any federal disallowances are the responsibility of the school district. A 
134.13 	school district may pay or reimburse co-payments, coinsurance, deductibles, and other 
134.14 	enrollee cost-sharing amounts, on behalf of the student or family, in connection with 
134.15 	health and related services provided under an individual educational plan or individualized 
134.16 	family service plan.
134.17 		Subd. 2.Third-party reimbursement. (a) Beginning July 1, 2000, districts 
134.18 	shall seek reimbursement from insurers and similar third parties for the cost of services 
134.19 	provided by the district whenever the services provided by the district are otherwise 
134.20 	covered by the child's health coverage. Districts shall request, but may not require, the 
134.21 	child's family to provide information about the child's health coverage when a child with a 
134.22 	disability begins to receive services from the district of a type that may be reimbursable, 
134.23 	and shall request, but may not require, updated information after that as needed.
134.24 	(b) For children enrolled in medical assistance under chapter 256B or MinnesotaCare 
134.25 	under chapter 256L who have no other health coverage, a district shall provide an initial 
134.26 	and annual written notice to the enrolled child's parent or legal representative of its intent 
134.27 	to seek reimbursement from medical assistance or MinnesotaCare for the individualized 
134.28 	education program or individualized family service plan health-related services provided 
134.29 	by the district. The initial notice must give the child's parent or legal representative the 
134.30 	right to request a copy of the child's education records on the health-related services that 
134.31 	the district provided to the child and disclosed to a third-party payer.
134.32 	(c) The district shall give the parent or legal representative annual written notice of:
135.1 	(1) the district's intent to seek reimbursement from medical assistance or 
135.2 	MinnesotaCare for individualized education program or individualized family service plan 
135.3 	health-related services provided by the district;
135.4 	(2) the right of the parent or legal representative to request a copy of all records 
135.5 	concerning individualized education program or individualized family service plan 
135.6 	health-related services disclosed by the district to any third party; and
135.7 	(3) the right of the parent or legal representative to withdraw consent for disclosure 
135.8 	of a child's records at any time without consequence.
135.9 	The written notice shall be provided as part of the written notice required by Code of 
135.10 	Federal Regulations, title 34, section 300.504 or 303.520. The district must ensure that the 
135.11 	parent of a child with a disability is given notice, in understandable language, of federal and 
135.12 	state procedural safeguards available to the parent under this paragraph and paragraph (b).
135.13 	(d) In order to access the private health care coverage of a child who is covered by 
135.14 	private health care coverage in whole or in part, a district must:
135.15 	(1) obtain annual written informed consent from the parent or legal representative, in 
135.16 	compliance with subdivision 5; and
135.17 	(2) inform the parent or legal representative that a refusal to permit the district 
135.18 	or state Medicaid agency to access their private health care coverage does not relieve 
135.19 	the district of its responsibility to provide all services necessary to provide free and 
135.20 	appropriate public education at no cost to the parent or legal representative.
135.21 	(e) If the commissioner of human services obtains federal approval to exempt 
135.22 	covered individualized education program or individualized family service plan 
135.23 	health-related services from the requirement that private health care coverage refuse 
135.24 	payment before medical assistance may be billed, paragraphs (b), (c), and (d) shall also 
135.25 	apply to students with a combination of private health care coverage and health care 
135.26 	coverage through medical assistance or MinnesotaCare.
135.27 	(f) In the event that Congress or any federal agency or the Minnesota legislature 
135.28 	or any state agency establishes lifetime limits, limits for any health care services, 
135.29 	cost-sharing provisions, or otherwise provides that individualized education program or 
135.30 	individualized family service plan health-related services impact benefits for persons 
135.31 	enrolled in medical assistance or MinnesotaCare, the amendments to this subdivision 
135.32 	adopted in 2002 are repealed on the effective date of any federal or state law or regulation 
135.33 	that imposes the limits. In that event, districts must obtain informed consent consistent 
135.34 	with this subdivision as it existed prior to the 2002 amendments and subdivision 5, before 
135.35 	seeking reimbursement for children enrolled in medical assistance under chapter 256B or 
135.36 	MinnesotaCare under chapter 256L who have no other health care coverage.
136.1 		Subd. 3.Use of reimbursements. Of the reimbursements received, districts may:
136.2 	(1) retain an amount sufficient to compensate the district for its administrative costs 
136.3 	of obtaining reimbursements;
136.4 	(2) regularly obtain from education- and health-related entities training and other 
136.5 	appropriate technical assistance designed to improve the district's ability to access 
136.6 	third-party payments for individualized education program or individualized family 
136.7 	service plan health-related services; or
136.8 	(3) reallocate reimbursements for the benefit of students with individualized 
136.9 	education programs or individual individualized family service plans in the district.
136.10 		Subd. 4.Parents not obligated to use health coverage. To the extent required by 
136.11 	federal law, a school district may not require parents of children with disabilities, if they 
136.12 	would incur a financial cost, to use private or public health coverage to pay for the services 
136.13 	that must be provided under an individualized education program or individualized 
136.14 	family service plan.
136.15 		Subd. 5.Informed consent. When obtaining informed consent, consistent with 
136.16 	sections 13.05, subdivision 4a; 256B.77, subdivision 2, paragraph (p); and Code of 
136.17 	Federal Regulations, title 34, parts 99 and, 300, and 303, to bill health plans for covered 
136.18 	services, the school district must notify the legal representative (1) that the cost of the 
136.19 	person's private health insurance premium may increase due to providing the covered 
136.20 	service in the school setting, (2) that the school district may pay certain enrollee health 
136.21 	plan costs, including but not limited to, co-payments, coinsurance, deductibles, premium 
136.22 	increases or other enrollee cost-sharing amounts for health and related services required 
136.23 	by an individual service plan, or individual individualized family service plan, and (3) that 
136.24 	the school's billing for each type of covered service may affect service limits and prior 
136.25 	authorization thresholds. The informed consent may be revoked in writing at any time 
136.26 	by the person authorizing the billing of the health plan.
136.27 		Subd. 6.District obligation to provide service. To the extent required by federal 
136.28 	law, no school district may deny, withhold, or delay any service that must be provided 
136.29 	under an individualized education program or individualized family service plan because 
136.30 	a family has refused to provide informed consent to bill a health plan for services or a 
136.31 	health plan company has refused to pay any, all, or a portion of the cost of services billed.
136.32 		Subd. 7.District disclosure of information. A school district may disclose 
136.33 	information contained in a student's individualized education program, consistent with 
136.34 	section 13.32, subdivision 3, paragraph (a), and Code of Federal Regulations, title 34, 
136.35 	parts 99 and, 300, and 303; including records of the student's diagnosis and treatment, to a 
136.36 	health plan company only with the signed and dated consent of the student's parent, or 
137.1 	other legally authorized individual. The school district shall disclose only that information 
137.2 	necessary for the health plan company to decide matters of coverage and payment. A 
137.3 	health plan company may use the information only for making decisions regarding 
137.4 	coverage and payment, and for any other use permitted by law.

137.5 	Sec. 18. Minnesota Statutes 2014, section 125A.28, is amended to read:
137.6 	125A.28 STATE INTERAGENCY COORDINATING COUNCIL.
137.7 	An Interagency Coordinating Council of at least 17, but not more than 25 members is 
137.8 	established, in compliance with Public Law 108-446, section 641. The members must be 
137.9 	appointed by the governor and reasonably represent the population of Minnesota. Council 
137.10 	members must elect the council chair, who may not be a representative of the Department 
137.11 	of Education. The council must be composed of at least five parents, including persons 
137.12 	of color, of children with disabilities under age 12, including at least three parents of a 
137.13 	child with a disability under age seven, five representatives of public or private providers 
137.14 	of services for children with disabilities under age five, including a special education 
137.15 	director, county social service director, local Head Start director, and a community health 
137.16 	services or public health nursing administrator, one member of the senate, one member of 
137.17 	the house of representatives, one representative of teacher preparation programs in early 
137.18 	childhood-special education or other preparation programs in early childhood intervention, 
137.19 	at least one representative of advocacy organizations for children with disabilities under 
137.20 	age five, one physician who cares for young children with special health care needs, one 
137.21 	representative each from the commissioners of commerce, education, health, human 
137.22 	services, a representative from the state agency responsible for child care, foster care, 
137.23 	mental health, homeless coordinator of education of homeless children and youth, and a 
137.24 	representative from Indian health services or a tribal council. Section 15.059, subdivisions 
137.25 	2 to 4, apply to the council. The council must meet at least quarterly.
137.26 	The council must address methods of implementing the state policy of developing 
137.27 	and implementing comprehensive, coordinated, multidisciplinary interagency programs of 
137.28 	early intervention services for children with disabilities and their families.
137.29 	The duties of the council include recommending policies to ensure a comprehensive 
137.30 	and coordinated system of all state and local agency services for children under age five 
137.31 	with disabilities and their families. The policies must address how to incorporate each 
137.32 	agency's services into a unified state and local system of multidisciplinary assessment 
137.33 	practices, individual intervention plans, comprehensive systems to find children in need of 
137.34 	services, methods to improve public awareness, and assistance in determining the role of 
137.35 	interagency early intervention committees.
138.1 	On the date that Minnesota Part C Annual Performance Report is submitted to 
138.2 	Within 30 days of receiving the annual determination from the federal Office of Special 
138.3 	Education on the Minnesota Part C Annual Performance Report, the council must 
138.4 	recommend to the governor and the commissioners of education, health, human services, 
138.5 	commerce, and employment and economic development policies for a comprehensive 
138.6 	and coordinated system.
138.7 	Annually, the council must prepare and submit a report to the governor and the 
138.8 	secretary of the federal Department of Education on the status of early intervention 
138.9 	services and programs for infants and toddlers with disabilities and their families under 
138.10 	the Individuals with Disabilities Education Act, United States Code, title 20, sections 
138.11 	1471 to 1485 (Part C, Public Law 102-119), as operated in Minnesota. The Minnesota 
138.12 	Part C annual performance report may serve as the report.
138.13 	Notwithstanding any other law to the contrary, the State Interagency Coordinating 
138.14 	Council does not expire unless federal law no longer requires the existence of the council 
138.15 	or committee.

138.16 	Sec. 19. Minnesota Statutes 2014, section 125A.63, subdivision 2, is amended to read:
138.17 		Subd. 2.Programs. (a) The resource centers department must offer summer 
138.18 	institutes or other training programs throughout the state for deaf or hard-of-hearing, blind 
138.19 	or visually impaired, and multiply disabled pupils. The resource centers department must 
138.20 	also offer workshops for teachers, and leadership development for teachers.
138.21 	A program (b) Training and workshop programs offered through the resource centers 
138.22 	under paragraph (a) must help promote and develop education programs offered by school 
138.23 	districts or other organizations. The program programs must assist school districts or other 
138.24 	organizations to develop innovative programs.

138.25 	Sec. 20. Minnesota Statutes 2014, section 125A.63, subdivision 3, is amended to read:
138.26 		Subd. 3.Programs by nonprofits. The resource centers department may contract 
138.27 	to have nonprofit organizations provide programs through the resource centers under 
138.28 	subdivision 2.

138.29 	Sec. 21. Minnesota Statutes 2014, section 125A.63, subdivision 4, is amended to read:
138.30 		Subd. 4.Advisory committees. (a) The commissioner shall establish an advisory 
138.31 	committeecommittees for each resource center the deaf and hard-of-hearing and for the 
138.32 	blind and visually impaired. The advisory committees shall develop recommendations 
139.1 	regarding the resource centers and submit an annual report to the commissioner on the 
139.2 	form and in the manner prescribed by the commissioner.
139.3 	(b) The advisory committeefor the Resource Centercommittees for the deaf and 
139.4 	hard of hearing and for the blind and visually impaired shall meet periodically at least four 
139.5 	times per year and each submit an annual report to the commissioner, the education policy 
139.6 	and finance committees of the legislature, and the Commission of Deaf, DeafBlind, and 
139.7 	Hard of Hearing Hard-of-Hearing Minnesotans. The report reports must, at least:
139.8 	(1) identify and report the aggregate, data-based education outcomes for children 
139.9 	with the primary disability classification of deaf and hard of hearing or of blind and 
139.10 	visually impaired, consistent with the commissioner's child count reporting practices, the 
139.11 	commissioner's state and local outcome data reporting system by district and region, and 
139.12 	the school performance report cards under section 120B.36, subdivision 1; and
139.13 	(2) describe the implementation of a data-based plan for improving the education 
139.14 	outcomes of deaf and hard of hearing or blind and visually impaired children that is 
139.15 	premised on evidence-based best practices, and provide a cost estimate for ongoing 
139.16 	implementation of the plan.

139.17 	Sec. 22. Minnesota Statutes 2014, section 125A.63, subdivision 5, is amended to read:
139.18 		Subd. 5.Statewide hearing loss early education intervention coordinator. (a) 
139.19 	The coordinator shall:
139.20 	(1) collaborate with the early hearing detection and intervention coordinator for the 
139.21 	Department of Health, the director of the Department of Education Resource Center for 
139.22 	Deaf and Hard-of-Hearing deaf and hard-of-hearing state specialist, and the Department 
139.23 	of Health Early Hearing Detection and Intervention Advisory Council;
139.24 	(2) coordinate and support Department of Education early hearing detection and 
139.25 	intervention teams;
139.26 	(3) leverage resources by serving as a liaison between interagency early intervention 
139.27 	committees; part C coordinators from the Departments of Education, Health, and 
139.28 	Human Services; Department of Education regional low-incidence facilitators; service 
139.29 	coordinators from school districts; Minnesota children with special health needs in the 
139.30 	Department of Health; public health nurses; child find; Department of Human Services 
139.31 	Deaf and Hard-of-Hearing Services Division; and others as appropriate;
139.32 	(4) identify, support, and promote culturally appropriate and evidence-based early 
139.33 	intervention practices for infants with hearing loss, and provide training, outreach, and use 
139.34 	of technology to increase consistency in statewide service provision;
140.1 	(5) identify culturally appropriate specialized reliable and valid instruments to assess 
140.2 	and track the progress of children with hearing loss and promote their use;
140.3 	(6) ensure that early childhood providers, parents, and members of the individual 
140.4 	family service and intervention plan are provided with child progress data resulting from 
140.5 	specialized assessments;
140.6 	(7) educate early childhood providers and teachers of the deaf and hard-of-hearing 
140.7 	to use developmental data from specialized assessments to plan and adjust individual 
140.8 	family service plans; and
140.9 	(8) make recommendations that would improve educational outcomes to the early 
140.10 	hearing detection and intervention committee, the commissioners of education and health, 
140.11 	the Commission of Deaf, DeafBlind and Hard-of-Hearing Minnesotans, and the advisory 
140.12 	council of the Minnesota Department of Education Resource Center for the deaf and 
140.13 	hard-of-hearing.
140.14 	(b) The Department of Education must provide aggregate data regarding outcomes 
140.15 	of deaf and hard-of-hearing children who receive early intervention services within the 
140.16 	state in accordance with the state performance plan.

140.17 	Sec. 23. Minnesota Statutes 2014, section 125A.76, subdivision 1, is amended to read:
140.18 		Subdivision 1.Definitions. (a) For the purposes of this section and section 125A.79, 
140.19 	the definitions in this subdivision apply.
140.20 	(b) "Basic revenue" has the meaning given it in section 126C.10, subdivision 2. 
140.21 	For the purposes of computing basic revenue pursuant to this section, each child with a 
140.22 	disability shall be counted as prescribed in section 126C.05, subdivision 1.
140.23 	(c) "Essential personnel" means teachers, cultural liaisons, related services, and 
140.24 	support services staff providing services to students. Essential personnel may also include 
140.25 	special education paraprofessionals or clericals providing support to teachers and students 
140.26 	by preparing paperwork and making arrangements related to special education compliance 
140.27 	requirements, including parent meetings and individualized education programs. Essential 
140.28 	personnel does not include administrators and supervisors.
140.29 	(d) "Average daily membership" has the meaning given it in section 126C.05.
140.30 	(e) "Program growth factor" means 1.046 for fiscal years 2012 through 2015, 1.0 
140.31 	for fiscal year 2016, 1.046 for fiscal year 2017, and the product of 1.046 and the program 
140.32 	growth factor for the previous year for fiscal year 2018 and later.
140.33 	(f) "Nonfederal special education expenditure" means all direct expenditures that 
140.34 	are necessary and essential to meet the district's obligation to provide special instruction 
140.35 	and services to children with a disability according to sections 124D.454, 125A.03 to 
141.1 	125A.24, 125A.259 to 125A.48, and 125A.65 as submitted by the district and approved by 
141.2 	the department under section 125A.75, subdivision 4, excluding expenditures:
141.3 	(1) reimbursed with federal funds;
141.4 	(2) reimbursed with other state aids under this chapter;
141.5 	(3) for general education costs of serving students with a disability;
141.6 	(4) for facilities;
141.7 	(5) for pupil transportation; and
141.8 	(6) for postemployment benefits.
141.9 	(g) "Old formula special education expenditures" means expenditures eligible for 
141.10 	revenue under Minnesota Statutes 2012, section 125A.76, subdivision 2.
141.11 	(h) For the Minnesota State Academy for the Deaf and the Minnesota State Academy 
141.12 	for the Blind, expenditures under paragraphs (f) and (g) are limited to the salary and 
141.13 	fringe benefits of one-to-one instructional and behavior management aides and one-to-one 
141.14 	licensed, certified professionals assigned to a child attending the academy, if the aides or 
141.15 	professionals are required by the child's individualized education program.
141.16 	(i) "Cross subsidy reduction aid percentage" means 1.0 percent for fiscal year 2014 
141.17 	and 2.27 percent for fiscal year 2015.
141.18 	(j) "Cross subsidy reduction aid limit" means $20 for fiscal year 2014 and $48 
141.19 	for fiscal year 2015.
141.20 	(k) "Special education aid increase limit" means $80 for fiscal year 2016, $100 for 
141.21 	fiscal year 2017, and, for fiscal year 2018 and later, the sum of the special education aid 
141.22 	increase limit for the previous fiscal year and $40.
141.23 	(l) "District" means a school district, a charter school, or a cooperative unit as 
141.24 	defined in section 123A.24, subdivision 2. Notwithstanding section 123A.26, cooperative 
141.25 	units as defined in section 123A.24, subdivision 2, are eligible to receive special education 
141.26 	aid under this section and section 125A.79.

141.27 	EFFECTIVE DATE. This section is effective for fiscal year 2016 and later.

141.28 	Sec. 24. Minnesota Statutes 2014, section 125A.76, subdivision 2c, is amended to read:
141.29 		Subd. 2c.Special education aid. (a) For fiscal year 2014 and fiscal year 2015, a 
141.30 	district's special education aid equals the sum of the district's special education aid under 
141.31 	subdivision 5, the district's cross subsidy reduction aid under subdivision 2b, and the 
141.32 	district's excess cost aid under section 125A.79, subdivision 7.
141.33 	(b) For fiscal year 2016 and later, a district's special education aid equals the sum of 
141.34 	the district's special education initial aid under subdivision 2a and the district's excess cost 
141.35 	aid under section 125A.79, subdivision 5.
142.1 	(c) Notwithstanding paragraph (b), for fiscal year 2016, the special education aid for 
142.2 	a school district must not exceed the sum of the special education aid the district would 
142.3 	have received for fiscal year 2016 under Minnesota Statutes 2012, sections 125A.76 
142.4 	and 125A.79, as adjusted according to Minnesota Statutes 2012, sections 125A.11 and 
142.5 	127A.47, subdivision 7, and the product of the district's average daily membership served 
142.6 	and the special education aid increase limit.
142.7 	(d) Notwithstanding paragraph (b), for fiscal year 2017 and later, the special education 
142.8 	aid for a school district must not exceed the sum of: (i) the product of the district's average 
142.9 	daily membership served and the special education aid increase limit and (ii) the product 
142.10 	of the sum of the special education aid the district would have received for fiscal year 2016 
142.11 	under Minnesota Statutes 2012, sections 125A.76 and 125A.79, as adjusted according 
142.12 	to Minnesota Statutes 2012, sections 125A.11 and 127A.47, subdivision 7, the ratio of 
142.13 	the district's average daily membership served for the current fiscal year to the district's 
142.14 	average daily membership served for fiscal year 2016, and the program growth factor.
142.15 	(e) Notwithstanding paragraph (b), for fiscal year 2016 and later the special 
142.16 	education aid for a school district, not including a charter school or cooperative unit as 
142.17 	defined in section 123A.24, must not be less than the lesser of (1) the district's nonfederal 
142.18 	special education expenditures for that fiscal year or (2) the product of the sum of the 
142.19 	special education aid the district would have received for fiscal year 2016 under Minnesota 
142.20 	Statutes 2012, sections 125A.76 and 125A.79, as adjusted according to Minnesota Statutes 
142.21 	2012, sections 125A.11 and 127A.47, subdivision 7, the ratio of the district's adjusted 
142.22 	daily membership for the current fiscal year to the district's average daily membership for 
142.23 	fiscal year 2016, and the program growth factor.
142.24 	(f) Notwithstanding subdivision 2a and section 125A.79, a charter school in its first 
142.25 	year of operation shall generate special education aid based on current year data. A newly 
142.26 	formed cooperative unit as defined in section 123A.24 may apply to the commissioner 
142.27 	for approval to generate special education aid for its first year of operation based on 
142.28 	current year data, with an offsetting adjustment to the prior year data used to calculate aid 
142.29 	for programs at participating school districts or previous cooperatives that were replaced 
142.30 	by the new cooperative.

142.31 	Sec. 25. Minnesota Statutes 2014, section 125A.79, subdivision 1, is amended to read:
142.32 		Subdivision 1.Definitions. For the purposes of this section, the definitions in this 
142.33 	subdivision apply.
142.34 	(a) "Unreimbursed old formula special education expenditures" means:
142.35 	(1) old formula special education expenditures for the prior fiscal year; minus
143.1 	(2) for fiscal years 2014 and 2015, the sum of the special education aid under section 
143.2 	125A.76, subdivision 5, for the prior fiscal year and the cross subsidy reduction aid under 
143.3 	section 125A.76, subdivision 2b, and for fiscal year 2016 and later, the special education 
143.4 	initial aid under section 125A.76, subdivision 2a; minus
143.5 	(3) for fiscal year 2016 and later, the amount of general education revenue, excluding 
143.6 	local optional revenue, plus local optional aid and referendum equalization aid for the 
143.7 	prior fiscal year attributable to pupils receiving special instruction and services outside the 
143.8 	regular classroom for more than 60 percent of the school day for the portion of time the 
143.9 	pupils receive special instruction and services outside the regular classroom, excluding 
143.10 	portions attributable to district and school administration, district support services, 
143.11 	operations and maintenance, capital expenditures, and pupil transportation.
143.12 	(b) "Unreimbursed nonfederal special education expenditures" means:
143.13 	(1) nonfederal special education expenditures for the prior fiscal year; minus
143.14 	(2) special education initial aid under section 125A.76, subdivision 2a; minus
143.15 	(3) the amount of general education revenue and referendum equalization aid for the 
143.16 	prior fiscal year attributable to pupils receiving special instruction and services outside the 
143.17 	regular classroom for more than 60 percent of the school day for the portion of time the 
143.18 	pupils receive special instruction and services outside of the regular classroom, excluding 
143.19 	portions attributable to district and school administration, district support services, 
143.20 	operations and maintenance, capital expenditures, and pupil transportation.
143.21 	(c) "General revenue" for a school district means the sum of the general education 
143.22 	revenue according to section 126C.10, subdivision 1, excluding transportation sparsity 
143.23 	revenue, local optional revenue, and total operating capital revenue. "General revenue" 
143.24 	for a charter school means the sum of the general education revenue according to section 
143.25 	124D.11, subdivision 1, and transportation revenue according to section 124D.11, 
143.26 	subdivision 2, excluding referendum equalization aid, transportation sparsity revenue, and 
143.27 	operating capital revenue.

143.28 	Sec. 26. Minnesota Statutes 2014, section 125A.79, subdivision 5, is amended to read:
143.29 		Subd. 5. Excess cost aid. For fiscal year 2016 and later, a district's excess cost 
143.30 	aid equals the greater of:
143.31 	(1) 56 percent of the difference between (i) the district's unreimbursed nonfederal 
143.32 	special education expenditures and (ii) 7.0 percent of the product of the ratio of $5,831 to 
143.33 	the formula allowance for the current year and the district's general revenue;
144.1 	(2) 62 percent of the difference between (i) the district's unreimbursed old formula 
144.2 	special education expenditures and (ii) 2.5 percent of the product of the ratio of $5,831 to 
144.3 	the formula allowance for the current year and the district's general revenue; or
144.4 	(3) zero.

144.5 	Sec. 27. Minnesota Statutes 2014, section 127A.45, subdivision 3, is amended to read:
144.6 		Subd. 3.Payment dates and percentages. (a) The commissioner shall pay to a 
144.7 	district on the dates indicated an amount computed as follows: the cumulative amount 
144.8 	guaranteed minus the sum of (1) the district's other district receipts through the current 
144.9 	payment, and (2) the aid and credit payments through the immediately preceding payment. 
144.10 	For purposes of this computation, the payment dates and the cumulative disbursement 
144.11 	percentages are as follows:

144.12		Payment date
	Percentage
		
144.13	Payment 1
	July 15:
	5.5
		
144.14	Payment 2
	July 30:
	8.0
		
144.15	Payment 3
	August 15:
	17.5
		
144.16	Payment 4
	August 30:
	20.0
		
144.17	Payment 5
	September 15:
	22.5
		
144.18	Payment 6
	September 30:
	25.0
		
144.19	Payment 7
	October 15:
	27.0
		
144.20	Payment 8
	October 30:
	30.0
		
144.21	Payment 9
	November 15:
	32.5
		
144.22	Payment 10
	November 30:
	36.5
		
144.23	Payment 11
	December 15:
	42.0
		
144.24	Payment 12
	December 30:
	45.0
		
144.25	Payment 13
	January 15:
	50.0
		
144.26	Payment 14
	January 30:
	54.0
		
144.27	Payment 15
	February 15:
	58.0
		
144.28	Payment 16
	February 28:
	63.0
		
144.29	Payment 17
	March 15:
	68.0
		
144.30	Payment 18
	March 30:
	74.0
		
144.31	Payment 19
	April 15:
	78.0
		
144.32	Payment 20
	April 30:
	85.0
		
144.33	Payment 21
	May 15:
	90.0
		
144.34	Payment 22
	May 30:
	95.0
		
144.35	Payment 23
	June 20:
	100.0
		
144.36 	(b) In addition to the amounts paid under paragraph (a), the commissioner shall pay 
144.37 	to a school district or charter school on the dates indicated an amount computed as follows:

145.1
145.2	Payment 3
	August 15: the final adjustment for the prior fiscal year for the state paid 
property tax credits established in section 273.1392
	
145.3
145.4	Payment 4
	August 30: 30 percent of the final adjustment for the prior fiscal year for 
all aid entitlements except state paid property tax credits
	
145.5
145.6	Payment 6
	September 30: 40 percent of the final adjustment for the prior fiscal year 
for all aid entitlements except state paid property tax credits
	
145.7
145.8	Payment 8
	October 30: 30 percent of the final adjustment for the prior fiscal year 
for all aid entitlements except state paid property tax credits
	
145.9 	(c) Notwithstanding paragraph (b), if the current year aid payment percentage 
145.10 	under subdivision 2, paragraph (d), is less than 90, in addition to the amounts paid under 
145.11 	paragraph (a), the commissioner shall pay to a charter school on the dates indicated an 
145.12 	amount computed as follows:

145.13
145.14	Payment 1
	July 15: 75 percent of the final adjustment for the prior fiscal year for 
all aid entitlements
	
145.15
145.16	Payment 8
	October 30: 25 percent of the final adjustment for the prior fiscal year 
for all aid entitlements
	
145.17 	(d) Notwithstanding paragraph (b), if a charter school is an eligible special education 
145.18 	charter school under section 124D.11, subdivision 5a, in addition to the amounts paid 
145.19 	under paragraph (a), the commissioner shall pay to a charter school on the dates indicated 
145.20 	an amount computed as follows:

145.21
145.22	Payment 1
	July 15: 75 percent of the final adjustment for the prior fiscal year for 
all aid entitlements
	
145.23
145.24	Payment 8
	October 30: 25 percent of the final adjustment for the prior fiscal year 
for all aid entitlements

145.25 	Sec. 28. Minnesota Statutes 2014, section 127A.47, subdivision 7, is amended to read:
145.26 		Subd. 7.Alternative attendance programs. (a) The general education aid and 
145.27 	special education aid for districts must be adjusted for each pupil attending a nonresident 
145.28 	district under sections 123A.05 to 123A.08, 124D.03, 124D.08, and 124D.68. The 
145.29 	adjustments must be made according to this subdivision.
145.30 	(b) For purposes of this subdivision, the "unreimbursed cost of providing special 
145.31 	education and services" means the difference between: (1) the actual cost of providing 
145.32 	special instruction and services, including special transportation and unreimbursed building 
145.33 	lease and debt service costs for facilities used primarily for special education, for a pupil 
145.34 	with a disability, as defined in section 125A.02, or a pupil, as defined in section 125A.51, 
145.35 	who is enrolled in a program listed in this subdivision, minus (2) if the pupil receives 
145.36 	special instruction and services outside the regular classroom for more than 60 percent of 
145.37 	the school day, the amount of general education revenue and referendum equalization aid 
145.38 	as defined in section 125A.11, subdivision 1, paragraph (c) (d), attributable to that pupil 
146.1 	for the portion of time the pupil receives special instruction and services outside of the 
146.2 	regular classroom, excluding portions attributable to district and school administration, 
146.3 	district support services, operations and maintenance, capital expenditures, and pupil 
146.4 	transportation, minus (3) special education aid under section 125A.76 attributable to 
146.5 	that pupil, that is received by the district providing special instruction and services. For 
146.6 	purposes of this paragraph, general education revenue and referendum equalization aid 
146.7 	attributable to a pupil must be calculated using the serving district's average general 
146.8 	education revenue and referendum equalization aid per adjusted pupil unit.
146.9 	(c) For fiscal year 2015 and later, special education aid paid to a resident district 
146.10 	must be reduced by an amount equal to 90 percent of the unreimbursed cost of providing 
146.11 	special education and services.
146.12 	(d) Notwithstanding paragraph (c), special education aid paid to a resident district 
146.13 	must be reduced by an amount equal to 100 percent of the unreimbursed cost of special 
146.14 	education and services provided to students at an intermediate district, cooperative, or 
146.15 	charter school where the percent of students eligible for special education services is at 
146.16 	least 70 percent of the charter school's total enrollment.
146.17 	(e) Notwithstanding paragraph (c), special education aid paid to a resident district 
146.18 	must be reduced under paragraph (d) for students at a charter school receiving special 
146.19 	education aid under section 124D.11, subdivision 5b, calculated as if the charter school 
146.20 	received special education aid under section 124D.11, subdivision 5.
146.21 	(e) (f) Special education aid paid to the district or cooperative providing special 
146.22 	instruction and services for the pupil, or to the fiscal agent district for a cooperative, must 
146.23 	be increased by the amount of the reduction in the aid paid to the resident district under 
146.24 	paragraphs (c) and (d). If the resident district's special education aid is insufficient to make 
146.25 	the full adjustment under paragraphs (c), (d), and (e), the remaining adjustment shall be 
146.26 	made to other state aids due to the district.
146.27 	(g) Notwithstanding paragraph (a), general education aid paid to the resident district 
146.28 	of a nonspecial education student for whom an eligible special education charter school 
146.29 	receives general education aid under section 124D.11, subdivision 1, paragraph (b), must 
146.30 	be reduced by an amount equal to the difference between the general education aid 
146.31 	attributable to the student under section 124D.11, subdivision 1, paragraph (b), and the 
146.32 	general education aid that the student would have generated for the charter school under 
146.33 	section 124D.11, subdivision 1, paragraph (a). For purposes of this paragraph, "nonspecial 
146.34 	education student" means a student who does not meet the definition of pupil with a 
146.35 	disability, as defined in section 125A.02 or the definition of a pupil in section 125A.51.
147.1 	(f) (h) An area learning center operated by a service cooperative, intermediate 
147.2 	district, education district, or a joint powers cooperative may elect through the action of 
147.3 	the constituent boards to charge the resident district tuition for pupils rather than to have 
147.4 	the general education revenue paid to a fiscal agent school district. Except as provided in 
147.5 	paragraph (e) (f), the district of residence must pay tuition equal to at least 90 and no more 
147.6 	than 100 percent of the district average general education revenue per pupil unit minus 
147.7 	an amount equal to the product of the formula allowance according to section 126C.10, 
147.8 	subdivision 2, times .0466, calculated without compensatory revenue, local optional 
147.9 	revenue, and transportation sparsity revenue, times the number of pupil units for pupils 
147.10 	attending the area learning center.

147.11 	EFFECTIVE DATE. This section is effective for fiscal year 2016 and later.

147.12 	Sec. 29. SPECIAL EDUCATION EVALUATION.
 147.13 		Subdivision 1.Special education teachers' compliance with legal requirements.
 147.14 	The Department of Education must identify ways to give teachers working with eligible 
147.15 	children with disabilities sufficient written and online resources to make informed decisions 
147.16 	about how to effectively comply with legal requirements related to providing special 
147.17 	education programs and services, including writing individualized education programs and 
147.18 	related documents, among other requirements. The department  must work collaboratively 
147.19 	with teachers working with eligible children with disabilities, other school and district staff, 
147.20 	and representatives of affected organizations, including Education Minnesota, Minnesota 
147.21 	School Boards Association, and Minnesota Administrators of Special Education, among 
147.22 	others, to identify obstacles to and solutions for teachers' confusion about complying with 
147.23 	legal requirements governing special education programs and services. The department 
147.24 	must work with schools and districts to provide staff development training to better 
147.25 	comply with applicable legal requirements while meeting the educational needs and 
147.26 	improving the educational progress of eligible children with disabilities.
147.27 		Subd. 2.Efficiencies to reduce paperwork. The Department of Education, in 
147.28 	collaboration with teachers and administrators working with eligible children with 
147.29 	disabilities in schools and districts, must identify strategies to effectively decrease the 
147.30 	amount of time teachers spend completing paperwork for special education programs and 
147.31 	services, evaluate whether the strategies are cost-effective, and determine whether other 
147.32 	schools and districts are able to effectively use the strategies given available staff and 
147.33 	resources. Where an evaluation shows that particular paperwork reduction strategies are 
147.34 	cost-effective without undermining the purpose of the paperwork or the integrity of special 
148.1 	education requirements, the department must electronically disseminate and promote the 
148.2 	strategies to other schools and districts throughout the state.
148.3 		Subd. 3.Special education forms; reading level. The Department of Education 
148.4 	must determine the current reading level of its special education forms, establish a target 
148.5 	reading level for such forms, and, based on that target level, determine whether alternative 
148.6 	forms are needed to accommodate the lexical and sublexical cognitive processes of 
148.7 	individual form users and readers. The department must work with interested special 
148.8 	education stakeholders and reading experts in making the determinations and identification 
148.9 	required in this subdivision.

148.10 	EFFECTIVE DATE. This section is effective the day following final enactment.

148.11 	Sec. 30. APPROPRIATIONS.
 148.12 		Subdivision 1.Department of Education. The sums indicated in this section are 
148.13 	appropriated from the general fund to the Department of Education for the fiscal years 
148.14 	designated.
148.15 		Subd. 2.Special education; regular. For special education aid under Minnesota 
148.16 	Statutes, section 125A.75:

148.17		$
	1,170,877,000
	.....
	2016
	
148.18		$
	1,229,758,000
	.....
	2017
	
148.19 	The 2016 appropriation includes $137,932,000 for 2015 and $1,032,945,000 for 
148.20 	2016.
148.21 	The 2017 appropriation includes $145,407,000 for 2016 and $1,084,351,000 for 
148.22 	2017.
148.23 		Subd. 3.Travel for home-based services. For aid for teacher travel for home-based 
148.24 	services under Minnesota Statutes, section 125A.75, subdivision 1:

148.25		$
	361,000
	.....
	2016
	
148.26		$
	371,000
	.....
	2017
	
148.27 	The 2016 appropriation includes $35,000 for 2015 and $326,000 for 2016.
148.28 	The 2017 appropriation includes $36,000 for 2016 and $335,000 for 2017.
148.29 		Subd. 4.Special education out-of-state tuition. For special education out-of-state 
148.30 	tuition according to Minnesota Statutes, section 125A.79, subdivision 8:

148.31		$
	250,000
	.....
	2016
	
148.32		$
	250,000
	.....
	2017
	
149.1 		Subd. 5.Aid for children with disabilities. For aid under Minnesota Statutes, 
149.2 	section 125A.75, subdivision 3, for children with disabilities placed in residential facilities 
149.3 	within the district boundaries for whom no district of residence can be determined:

149.4		$
	1,406,000
	.....
	2016
	
149.5		$
	1,629,000
	.....
	2017
	
149.6 	If the appropriation for either year is insufficient, the appropriation for the other 
149.7 	year is available.
149.8 		Subd. 6.Court-placed special education revenue. For reimbursing serving school 
149.9 	districts for unreimbursed eligible expenditures attributable to children placed in the serving 
149.10 	school district by court action under Minnesota Statutes, section 125A.79, subdivision 4:

149.11		$
	56,000
	.....
	2016
	
149.12		$
	57,000
	.....
	2017

149.13 	Sec. 31.  REPEALER.
 149.14 	Minnesota Statutes 2014, section 125A.63, subdivision 1, is repealed.

149.15 	ARTICLE 6
149.16 	FACILITIES AND TECHNOLOGY

149.17 	Section 1. Minnesota Statutes 2014, section 123B.53, subdivision 1, is amended to read:
149.18 		Subdivision 1.Definitions. (a) For purposes of this section, the eligible debt service 
149.19 	revenue of a district is defined as follows:
149.20 	(1) the amount needed to produce between five and six percent in excess of the 
149.21 	amount needed to meet when due the principal and interest payments on the obligations of 
149.22 	the district for eligible projects according to subdivision 2, including the amounts necessary 
149.23 	for repayment of energy loans according to section 216C.37 or sections 298.292 to 298.298, 
149.24 	debt service loans and, capital loans, and lease purchase payments under section 126C.40, 
149.25 	subdivision 2, alternative facilities levies under section 123B.59, subdivision 5, paragraph 
149.26 	(a), excluding long-term facilities maintenance levies under section 123B.595, minus
149.27 	(2) the amount of debt service excess levy reduction for that school year calculated 
149.28 	according to the procedure established by the commissioner.
149.29 	(b) The obligations in this paragraph are excluded from eligible debt service revenue:
149.30 	(1) obligations under section 123B.61;
149.31 	(2) the part of debt service principal and interest paid from the taconite environmental 
149.32 	protection fund or Douglas J. Johnson economic protection trust, excluding the portion of 
150.1 	taconite payments from the Iron Range school consolidation and cooperatively operated 
150.2 	school account under section 298.28, subdivision 7a;
150.3 	(3) obligations issued under Laws 1991, chapter 265, article 5, section 18, as 
150.4 	amended by Laws 1992, chapter 499, article 5, section 24;
150.5 	(4) obligations under section 123B.62; and
150.6 	(5) obligations equalized under section 123B.535.
150.7 	(c) For purposes of this section, if a preexisting school district reorganized under 
150.8 	sections 123A.35 to 123A.43, 123A.46, and 123A.48 is solely responsible for retirement 
150.9 	of the preexisting district's bonded indebtedness, capital loans or debt service loans, debt 
150.10 	service equalization aid must be computed separately for each of the preexisting districts.
150.11 	(d) For purposes of this section, the adjusted net tax capacity determined according 
150.12 	to sections 127A.48 and 273.1325 shall be adjusted to include the tax capacity of property 
150.13 	generally exempted from ad valorem taxes under section 272.02, subdivision 64.

150.14 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
150.15 	later.

150.16 	Sec. 2. Minnesota Statutes 2014, section 123B.53, subdivision 4, is amended to read:
150.17 		Subd. 4.Debt service equalization revenue. (a) The debt service equalization 
150.18 	revenue of a district equals the sum of the first tier debt service equalization revenue and 
150.19 	the second tier debt service equalization revenue.
150.20 	(b) The first tier debt service equalization revenue of a district equals the greater 
150.21 	of zero or the eligible debt service revenue minus the amount raised by a levy of 15.74 
150.22 	percent times the adjusted net tax capacity of the district minus the second tier debt service 
150.23 	equalization revenue of the district.
150.24 	(c) The second tier debt service equalization revenue of a district equals the greater 
150.25 	of zero or the eligible debt service revenue, excluding alternative facilities levies under 
150.26 	section 123B.59, subdivision 5, minus the amount raised by a levy of 26.24 percent times 
150.27 	the adjusted net tax capacity of the district.

150.28 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
150.29 	later.

150.30 	Sec. 3. Minnesota Statutes 2014, section 123B.57, is amended to read:
150.31 	123B.57 CAPITAL EXPENDITURE; HEALTH AND SAFETY.
150.32 		Subdivision 1.Health and safety revenue application. (a) To receive health 
150.33 	and safety revenue for any fiscal year a district must submit to the commissioner a 
151.1 	capital expenditure health and safety revenue application by the date determined by the 
151.2 	commissioner. The application must include a health and safety budget adopted and 
151.3 	confirmed by the school district board as being consistent with the district's health and 
151.4 	safety policy under subdivision 2. The budget must include the estimated cost of the 
151.5 	program per Uniform Financial Accounting and Reporting Standards (UFARS) finance 
151.6 	code, by fiscal year. Upon approval through the adoption of a resolution by each of an 
151.7 	intermediate district's member school district boards and the approval of the Department 
151.8 	of Education, a school district may include its proportionate share of the costs of health 
151.9 	and safety projects for an intermediate district in its application.
151.10 	(b) Health and safety projects with an estimated cost of $500,000 or more per 
151.11 	site are not eligible for health and safety revenue. Health and safety projects with an 
151.12 	estimated cost of $500,000 or more per site that meet all other requirements for health and 
151.13 	safety funding, are eligible for alternative facilities bonding and levy revenue according 
151.14 	to section 123B.59. A school board shall not separate portions of a single project into 
151.15 	components to qualify for health and safety revenue, and shall not combine unrelated 
151.16 	projects into a single project to qualify for alternative facilities bonding and levy revenue.
151.17 	(c) The commissioner of education shall not make eligibility for health and safety 
151.18 	revenue contingent on a district's compliance status, level of program development, or 
151.19 	training. The commissioner shall not mandate additional performance criteria such as 
151.20 	training, certifications, or compliance evaluations as a prerequisite for levy approval.
151.21 		Subd. 2.Health and safety policy. To qualify for health and safety revenue, a 
151.22 	school board must adopt a health and safety policy. The policy must include provisions 
151.23 	for implementing a health and safety program that complies with health, safety, and 
151.24 	environmental regulations and best practices including indoor air quality management.
151.25 		Subd. 3.Health and safety revenue. A district's health and safety revenue 
151.26 	for a fiscal year equals the district's alternative facilities levy under section 123B.59, 
151.27 	subdivision 5, paragraph (b), plus the greater of zero or:
151.28 	(1) the sum of (a) the total approved cost of the district's hazardous substance 
151.29 	plan for fiscal years 1985 through 1989, plus (b) the total approved cost of the district's 
151.30 	health and safety program for fiscal year 1990 through the fiscal year to which the levy 
151.31 	is attributable, excluding expenditures funded with bonds issued under section 123B.59 
151.32 	or 123B.62, or chapter 475; certificates of indebtedness or capital notes under section 
151.33 	123B.61; levies under section 123B.58, 123B.59, 123B.63, or 126C.40, subdivision 1 or 
151.34 	6; and other federal, state, or local revenues, minus
151.35 	(2) the sum of (a) the district's total hazardous substance aid and levy for fiscal years 
151.36 	1985 through 1989 under sections 124.245 and 275.125, subdivision 11c, plus (b) the 
152.1 	district's health and safety revenue under this subdivision, for years before the fiscal year 
152.2 	to which the levy is attributable.
152.3 		Subd. 4.Health and safety levy. To receive health and safety revenue, a district 
152.4 	may levy an amount equal to the district's health and safety revenue as defined in 
152.5 	subdivision 3 multiplied by the lesser of one, or the ratio of the quotient derived by 
152.6 	dividing the adjusted net tax capacity of the district for the year preceding the year the 
152.7 	levy is certified by the adjusted pupil units in the district for the school year to which 
152.8 	the levy is attributable, to $3,165.
152.9 		Subd. 5.Health and safety aid. A district's health and safety aid is the difference 
152.10 	between its health and safety revenue and its health and safety levy. If a district does not 
152.11 	levy the entire amount permitted, health and safety aid must be reduced in proportion to 
152.12 	the actual amount levied. Health and safety aid may not be reduced as a result of reducing 
152.13 	a district's health and safety levy according to section 123B.79.
152.14 		Subd. 6.Uses of Health and safety revenue capital projects. (a) Health and 
152.15 	safety revenue may be used only for approved capital projects may include expenditures 
152.16 	necessary for the correction of fire and life safety hazards; design, purchase, installation, 
152.17 	maintenance, and inspection of fire protection and alarm equipment; purchase or 
152.18 	construction of appropriate facilities for the storage of combustible and flammable 
152.19 	materials; inventories and facility modifications not related to a remodeling project 
152.20 	to comply with lab safety requirements under section 121A.31; inspection, testing, 
152.21 	repair, removal or encapsulation, and disposal of asbestos-containing building materials; 
152.22 	cleanup and disposal of polychlorinated biphenyls; cleanup and disposal of hazardous and 
152.23 	infectious wastes; cleanup, removal, disposal, and repairs related to storing heating fuel or 
152.24 	transportation fuels such as alcohol, gasoline, fuel oil, and special fuel, as defined in section 
152.25 	296A.01; correction of occupational safety and health administration regulated hazards; 
152.26 	indoor air quality inspections, investigations, and testing; mold abatement; upgrades or 
152.27 	replacement of mechanical ventilation systems to meet American Society of Heating, 
152.28 	Refrigerating and Air Conditioning Engineers standards and State Mechanical Code; 
152.29 	design, materials, and installation of local exhaust ventilation systems, including required 
152.30 	make-up air for controlling regulated hazardous substances; correction of Department of 
152.31 	Health Food Code violations; correction of swimming pool hazards excluding depth 
152.32 	correction; playground safety inspections, repair of unsafe outdoor playground equipment, 
152.33 	and the installation of impact surfacing materials; bleacher repair or rebuilding to comply 
152.34 	with the order of a building code inspector under section 326B.112; testing and mitigation 
152.35 	of elevated radon hazards; lead testing; copper in water testing; cleanup after major 
152.36 	weather-related disasters or flooding; reduction of excessive organic and inorganic levels 
153.1 	in wells and capping of abandoned wells; installation and testing of boiler backflow valves 
153.2 	to prevent contamination of potable water; vaccinations, titers, and preventative supplies 
153.3 	for bloodborne pathogen compliance; costs to comply with the Janet B. Johnson Parents' 
153.4 	Right to Know Act; automated external defibrillators and other emergency plan equipment 
153.5 	and supplies specific to the district's emergency action plan; compliance with the National 
153.6 	Emission Standards for Hazardous Air Pollutants for school generators established by the 
153.7 	United States Environmental Protection Agency; and health, safety, and environmental 
153.8 	management costs associated with implementing the district's health and safety program 
153.9 	including costs to establish and operate safety committees, in school buildings or property 
153.10 	owned or being acquired by the district. Testing and calibration activities are permitted for 
153.11 	existing mechanical ventilation systems at intervals no less than every five years.
153.12 	(b) For fiscal years 2014 through 2017, a school district must not include expenses 
153.13 	related to emission compliance projects for school generators in its health and safety 
153.14 	revenue capital projects unless it reduces its approved spending on other qualified health 
153.15 	and safety projects by the same amount.
153.16 		Subd. 6a.Restrictions on health and safety revenue.  Notwithstanding subdivision 
153.17 	6, health and safety revenue must not be used:
153.18 	(1) to finance a lease purchase agreement, installment purchase agreement, or other 
153.19 	deferred payments agreement;
153.20 	(2) for the construction of new facilities, remodeling of existing facilities, or the 
153.21 	purchase of portable classrooms;
153.22 	(3) for interest or other financing expenses;
153.23 	(4) for energy-efficiency projects under section 123B.65, for a building or property 
153.24 	or part of a building or property used for postsecondary instruction or administration or for 
153.25 	a purpose unrelated to elementary and secondary education;
153.26 	(5) for replacement of building materials or facilities including roof, walls, windows, 
153.27 	internal fixtures and flooring, nonhealth and safety costs associated with demolition of 
153.28 	facilities, structural repair or replacement of facilities due to unsafe conditions, violence 
153.29 	prevention and facility security, ergonomics, or public announcement systems and 
153.30 	emergency communication devices; or
153.31 	(6) for building and heating, ventilating and air conditioning supplies, maintenance, 
153.32 	and cleaning activities. All assessments, investigations, inventories, and support 
153.33 	equipment not leading to the engineering or construction of a project shall be included in 
153.34 	the health, safety, and environmental management costs in subdivision 8, paragraph (a).
153.35 		Subd. 6b.Health and safety projects. (a) Health and safety revenue applications 
153.36 	defined in subdivision 1 must be accompanied by a description of each project for which 
154.1 	funding is being requested. Project descriptions must provide enough detail for an auditor 
154.2 	to determine if the work qualifies for revenue. For projects other than fire and life 
154.3 	safety projects, playground projects, and health, safety, and environmental management 
154.4 	activities, a project description does not need to include itemized details such as material 
154.5 	types, room locations, square feet, names, or license numbers. The commissioner 
154.6 	may request supporting information and shall approve only projects that comply with 
154.7 	subdivisions 6 and 8, as defined by the Department of Education.
154.8 	(b) Districts may request funding for allowable projects based on self-assessments, 
154.9 	safety committee recommendations, insurance inspections, management assistance 
154.10 	reports, fire marshal orders, or other mandates. Notwithstanding subdivision 1, paragraph 
154.11 	(b), and subdivision 8, paragraph (b), for projects under $500,000, individual project 
154.12 	size for projects authorized by this subdivision is not limited and may include related 
154.13 	work in multiple facilities. Health and safety management costs from subdivision 8 may 
154.14 	be reported as a single project.
154.15 	(c) All costs directly related to a project shall be reported in the appropriate Uniform 
154.16 	Financial Accounting and Reporting Standards (UFARS) finance code.
154.17 	(d) For fire and life safety egress and all other projects exceeding $20,000, cited 
154.18 	under the Minnesota Fire Code, a fire marshal plan review is required.
154.19 	(e) Districts shall update project estimates with actual expenditures for each 
154.20 	fiscal year. If a project's final cost is significantly higher than originally approved, the 
154.21 	commissioner may request additional supporting information.
154.22 		Subd. 6c.Appeals process. In the event a district is denied funding approval for 
154.23 	a project the district believes complies with subdivisions 6 and 8, and is not otherwise 
154.24 	excluded, a district may appeal the decision. All such requests must be in writing. The 
154.25 	commissioner shall respond in writing. A written request must contain the following: 
154.26 	project number; description and amount; reason for denial; unresolved questions for 
154.27 	consideration; reasons for reconsideration; and a specific statement of what action the 
154.28 	district is requesting.
154.29 		Subd. 7.Proration. In the event that the health and safety aid available for any year 
154.30 	is prorated, a district having its aid prorated may levy an additional amount equal to the 
154.31 	amount not paid by the state due to proration.
154.32 		Subd. 8.Health, safety, and environmental management cost. (a) "Health, safety, 
154.33 	and environmental management" is defined in section 123B.56.
154.34 	(b) A district's cost for health, safety, and environmental management is limited to 
154.35 	the lesser of:
154.36 	(1) actual cost to implement their plan; or
155.1 	(2) an amount determined by the commissioner, based on enrollment, building 
155.2 	age, and size.
155.3 	(c) The department may contract with regional service organizations, private 
155.4 	contractors, Minnesota Safety Council, or state agencies to provide management 
155.5 	assistance to school districts for health and safety capital projects. Management assistance 
155.6 	is the development of written programs for the identification, recognition and control of 
155.7 	hazards, and prioritization and scheduling of district health and safety capital projects. The 
155.8 	commissioner shall not mandate management assistance or exclude private contractors 
155.9 	from the opportunity to provide any health and safety services to school districts.

155.10 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
155.11 	later.

155.12 	Sec. 4. [123B.595] LONG-TERM FACILITIES MAINTENANCE REVENUE.
155.13 		Subdivision 1.Long-term facilities maintenance revenue. (a) For fiscal year 
155.14 	2017 only, long-term facilities maintenance revenue equals the greater of (1) $193 times 
155.15 	the district's adjusted pupil units times the lesser of one or the ratio of the district's 
155.16 	average building age to 35 years, plus the cost approved by the commissioner for indoor 
155.17 	air quality, fire alarm and suppression, and asbestos abatement projects under section 
155.18 	123B.57, subdivision 6, with an estimated cost of $100,000 or more per site or (2) the 
155.19 	sum of the amount the district would have qualified for under Minnesota Statutes 2014, 
155.20 	section 123B.57, Minnesota Statutes 2014, section 123B.59, and Minnesota Statutes 
155.21 	2014, section 123B.591.
155.22 	(b) For fiscal year 2018 only, long-term facilities maintenance revenue equals the 
155.23 	greater of (1) $292 times the district's adjusted pupil units times the lesser of one or the 
155.24 	ratio of the district's average building age to 35 years, plus the cost approved by the 
155.25 	commissioner for indoor air quality, fire alarm and suppression, and asbestos abatement 
155.26 	projects under section 123B.57, subdivision 6, with an estimated cost of $100,000 or more 
155.27 	per site or (2) the sum of the amount the district would have qualified for under Minnesota 
155.28 	Statutes 2014, section 123B.57, Minnesota Statutes 2014, section 123B.59, and Minnesota 
155.29 	Statutes 2014, section 123B.591.
155.30 	(c) For fiscal year 2019 and later, long-term facilities maintenance revenue equals 
155.31 	the greater of (1) $380 times the district's adjusted pupil units times the lesser of one or 
155.32 	the ratio of the district's average building age to 35 years, plus the cost approved by the 
155.33 	commissioner for indoor air quality, fire alarm and suppression, and asbestos abatement 
155.34 	projects under section 123B.57, subdivision 6, with an estimated cost of $100,000 or more 
155.35 	per site or (2) the sum of the amount the district would have qualified for under Minnesota 
156.1 	Statutes 2014, section 123B.57, Minnesota Statutes 2014, section 123B.59, and Minnesota 
156.2 	Statutes 2014, section 123B.591.
156.3 		Subd. 2.Long-term facilities maintenance revenue for a charter school. (a) 
156.4 	For fiscal year 2017 only, long-term facilities maintenance revenue for a charter school 
156.5 	equals $34 times the adjusted pupil units.
156.6 	(b) For fiscal year 2018 only, long-term facilities maintenance revenue for a charter 
156.7 	school equals $85 times the adjusted pupil units.
156.8 	(c) For fiscal year 2019 and later, long-term facilities maintenance revenue for a 
156.9 	charter school equals $132 times the adjusted pupil units.
156.10 		Subd. 3.Intermediate districts and other cooperative units. Upon approval 
156.11 	through the adoption of a resolution by each member district school board of an 
156.12 	intermediate district or other cooperative units under section 123A.24, subdivision 2, 
156.13 	and the approval of the commissioner of education, a school district may include in its 
156.14 	authority under this section a proportionate share of the long-term maintenance costs 
156.15 	of the intermediate district or cooperative unit. The cooperative unit may issue bonds 
156.16 	to finance the project costs or levy for the costs, using long-term maintenance revenue 
156.17 	transferred from member districts to make debt service payments or pay project costs. 
156.18 	Authority under this subdivision is in addition to the authority for individual district 
156.19 	projects under subdivision 1.
156.20 		Subd. 4.Facilities plans. (a) To qualify for revenue under this section, a school 
156.21 	district or intermediate district, not including a charter school, must have a ten-year facility 
156.22 	plan adopted by the school board and approved by the commissioner. The plan must include 
156.23 	provisions for implementing a health and safety program that complies with health, safety, 
156.24 	and environmental regulations and best practices, including indoor air quality management.
156.25 	(b) The district must annually update the plan, biennially submit a facility 
156.26 	maintenance plan to the commissioner, and indicate whether the district will issue bonds 
156.27 	to finance the plan or levy for the costs.
156.28 	(c) For school districts issuing bonds to finance the plan, the plan must include a 
156.29 	debt service schedule demonstrating that the debt service revenue required to pay the 
156.30 	principal and interest on the bonds each year will not exceed the projected long-term 
156.31 	facilities revenue for that year.
156.32 		Subd. 5.Bond authorization. (a) A school district may issue general obligation 
156.33 	bonds under this section to finance facilities plans approved by its board and the 
156.34 	commissioner. Chapter 475, except sections 475.58 and 475.59, must be complied with. 
156.35 	The authority to issue bonds under this section is in addition to any bonding authority 
156.36 	authorized by this chapter or other law. The amount of bonding authority authorized 
157.1 	under this section must be disregarded in calculating the bonding or net debt limits of this 
157.2 	chapter, or any other law other than section 475.53, subdivision 4.
157.3 	(b) At least 20 days before the earliest of solicitation of bids, the issuance of bonds, 
157.4 	or the final certification of levies under subdivision 6, the district must publish notice 
157.5 	of the intended projects, the amount of the bond issue, and the total amount of district 
157.6 	indebtedness.
157.7 	(c) The portion of revenue under this section for bonded debt must be recognized 
157.8 	in the debt service fund.
157.9 		Subd. 6.Levy authorization. A district may levy for costs related to an approved 
157.10 	plan under subdivision 4 as follows:
157.11 	(1) if the district has indicated to the commissioner that bonds will be issued, the 
157.12 	district may levy for the principal and interest payments on outstanding bonds issued 
157.13 	under subdivision 5 after reduction for any aid receivable under subdivision 9; 
157.14 	(2) if the district has indicated to the commissioner that the plan will be funded 
157.15 	through levy, the district may levy according to the schedule approved in the plan after 
157.16 	reduction for any aid receivable under subdivision 9; or
157.17 	(3) if the debt service revenue for a district required to pay the principal and interest 
157.18 	on bonds issued under subdivision 5 exceeds the district's long-term facilities maintenance 
157.19 	revenue for the same fiscal year, the district's general fund levy must be reduced by the 
157.20 	amount of the excess.
157.21 		Subd. 7.Long-term facilities maintenance equalization revenue. (a) For fiscal 
157.22 	year 2017 only, a district's long-term facilities maintenance equalization revenue equals 
157.23 	the lesser of (1) $193 times the adjusted pupil units or (2) the district's revenue under 
157.24 	subdivision 1.
157.25 	(b) For fiscal year 2018 only, a district's long-term facilities maintenance 
157.26 	equalization revenue equals the lesser of (1) $292 times the adjusted pupil units or (2) 
157.27 	the district's revenue under subdivision 1.
157.28 	(c) For fiscal year 2019 and later, a district's long-term facilities maintenance 
157.29 	equalization revenue equals the lesser of (1) $380 times the adjusted pupil units or (2) 
157.30 	the district's revenue under subdivision 1.
157.31 		Subd. 8.Long-term facilities maintenance equalized levy. For fiscal year 2017 
157.32 	and later, a district's long-term facilities maintenance equalized levy equals the district's 
157.33 	long-term facilities maintenance revenue minus the greater of:
157.34 	(1) the lesser of the district's long-term facilities maintenance revenue or the amount 
157.35 	of aid the district received for fiscal year 2015 under Minnesota Statutes 2014, section 
157.36 	123B.59, subdivision 6; or
158.1 	(2) the district's long-term facilities maintenance equalization revenue times the 
158.2 	greater of (i) zero or (ii) one minus the ratio of its adjusted net tax capacity per adjusted 
158.3 	pupil unit in the year preceding the year the levy is certified to 123 percent of the state 
158.4 	average adjusted net tax capacity per adjusted pupil unit in the year preceding the year 
158.5 	the levy is certified.
158.6 		Subd. 9.Long-term facilities maintenance equalized aid. For fiscal year 2017 
158.7 	and later, a district's long-term facilities maintenance equalized aid equals its long-term 
158.8 	facilities maintenance revenue minus its long-term facilities maintenance equalized levy 
158.9 	times the ratio of the actual amount levied to the permitted levy.
158.10 		Subd. 10.Allowed uses for long-term facilities maintenance revenue. (a) A 
158.11 	district may use revenue under this section for any of the following:
158.12 	(1) deferred capital expenditures and maintenance projects necessary to prevent 
158.13 	further erosion of facilities;
158.14 	(2) increasing accessibility of school facilities; or
158.15 	(3) health and safety capital projects under section 123B.57.
158.16 	(b) A charter school may use revenue under this section for any purpose related 
158.17 	to the school.
158.18 		Subd. 11.Restrictions on long-term facilities maintenance revenue.
 158.19 	Notwithstanding subdivision 11, long-term facilities maintenance revenue may not be used:
158.20 	(1) for the construction of new facilities, remodeling of existing facilities, or the 
158.21 	purchase of portable classrooms;
158.22 	(2) to finance a lease purchase agreement, installment purchase agreement, or other 
158.23 	deferred payments agreement;
158.24 	(3) for energy-efficiency projects under section 123B.65, for a building or property 
158.25 	or part of a building or property used for postsecondary instruction or administration or for 
158.26 	a purpose unrelated to elementary and secondary education; or
158.27 	(4) for violence prevention and facility security, ergonomics, or emergency 
158.28 	communication devices.
158.29 		Subd. 12.Reserve account. The portion of long-term facilities maintenance 
158.30 	revenue not recognized under subdivision 5, paragraph (c), must be maintained in a 
158.31 	reserve account within the general fund.

158.32 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
158.33 	later.

158.34 	Sec. 5. Minnesota Statutes 2014, section 125B.26, subdivision 2, is amended to read:
159.1 		Subd. 2.E-rates. To be eligible for aid under this section, a district, charter school, 
159.2 	or intermediate school district is required to file an e-rate application either separately or 
159.3 	through its telecommunications access cluster and have a current technology plan on file 
159.4 	with the department. Discounts received on telecommunications expenditures shall be 
159.5 	reflected in the costs submitted to the department for aid under this section.

159.6 	Sec. 6. Minnesota Statutes 2014, section 126C.01, subdivision 2, is amended to read:
159.7 		Subd. 2.Adjusted net tax capacity. (a) Except as provided in paragraph (b), 
159.8 	"adjusted net tax capacity" means the net tax capacity of the taxable property of the 
159.9 	district as adjusted by the commissioner of revenue under sections 127A.48 and 273.1325. 
159.10 	The adjusted net tax capacity for any given calendar year must be used to compute levy 
159.11 	limitations for levies certified in the succeeding calendar year and aid for the school year 
159.12 	beginning in the second succeeding calendar year.
159.13 	(b) For purposes of the long-term maintenance facilities equalization levy under 
159.14 	section 123B.595, subdivision 8, "adjusted net tax capacity" means the value described in 
159.15 	paragraph (a) reduced by 50 percent of the value of class 2a agricultural land determined 
159.16 	under that paragraph before the application of the growth limit under section 127A.48, 
159.17 	subdivision 7.

159.18 	EFFECTIVE DATE. This section is effective for taxes payable in 2016 and later.

159.19 	Sec. 7. Minnesota Statutes 2014, section 297A.70, subdivision 2, is amended to read:
159.20 		Subd. 2.Sales to government. (a) All sales, except those listed in paragraph (b), 
159.21 	to the following governments and political subdivisions, or to the listed agencies or 
159.22 	instrumentalities of governments and political subdivisions, are exempt:
159.23 	(1) the United States and its agencies and instrumentalities;
159.24 	(2) school districts, local governments, the University of Minnesota, state universities, 
159.25 	community colleges, technical colleges, state academies, the Perpich Minnesota Center for 
159.26 	Arts Education, and an instrumentality of a political subdivision that is accredited as an 
159.27 	optional/special function school by the North Central Association of Colleges and Schools;
159.28 	(3) hospitals and nursing homes owned and operated by political subdivisions of 
159.29 	the state of tangible personal property and taxable services used at or by hospitals and 
159.30 	nursing homes;
159.31 	(4) notwithstanding paragraph (d), the sales and purchases by the Metropolitan 
159.32 	Council of vehicles and repair parts to equip operations provided for in section 473.4051
159.33 	are exempt through December 31, 2016;
160.1 	(5) other states or political subdivisions of other states, if the sale would be exempt 
160.2 	from taxation if it occurred in that state; and
160.3 	(6) public libraries, public library systems, multicounty, multitype library systems 
160.4 	as defined in section 134.001, county law libraries under chapter 134A, state agency 
160.5 	libraries, the state library under section 480.09, and the Legislative Reference Library.
160.6 	(b) This exemption does not apply to the sales of the following products and services:
160.7 	(1) building, construction, or reconstruction materials purchased by a contractor 
160.8 	or a subcontractor as a part of a lump-sum contract or similar type of contract with a 
160.9 	guaranteed maximum price covering both labor and materials for use in the construction, 
160.10 	alteration, or repair of a building or facility;
160.11 	(2) construction materials purchased by tax exempt entities or their contractors to 
160.12 	be used in constructing buildings or facilities which will not be used principally by the 
160.13 	tax exempt entities;
160.14 	(3) the leasing of a motor vehicle as defined in section 297B.01, subdivision 11, 
160.15 	except for leases entered into by the United States or its agencies or instrumentalities;
160.16 	(4) lodging as defined under section 297A.61, subdivision 3, paragraph (g), clause 
160.17 	(2), and prepared food, candy, soft drinks, and alcoholic beverages as defined in section 
160.18 	297A.67, subdivision 2, except for lodging, prepared food, candy, soft drinks, and alcoholic 
160.19 	beverages purchased directly by the United States or its agencies or instrumentalities; or
160.20 	(5) goods or services purchased by a local government as inputs to a liquor store, gas 
160.21 	or electric utility, solid waste hauling service, solid waste recycling service, landfill, golf 
160.22 	course, marina, campground, cafe, or laundromat.
160.23 	(c) As used in this subdivision, "school districts" means public school entities and 
160.24 	districts of every kind and nature organized under the laws of the state of Minnesota, and 
160.25 	any instrumentality of a school district, as defined in section 471.59.
160.26 	(d) For purposes of the exemption granted under this subdivision, "local 
160.27 	governments" has the following meaning:
160.28 	(1) for the period prior to January 1, 2016 2017, local governments means statutory 
160.29 	or home rule charter cities, counties, and townships; and
160.30 	(2) for the period of January 1, 2016, to December 31, 2016, local governments 
160.31 	means statutory or home rule charter cities, counties, and townships; special districts as 
160.32 	defined under section 6.465, except for the Metropolitan Council under sections 473.123 
160.33 	to 473.549; any instrumentality of a statutory or home rule charter city, county, or 
160.34 	township as defined in section 471.59; and any joint powers board or organization created 
160.35 	under section 471.59; and
161.1 	(3) (2) beginning January 1, 2017, local governments means statutory or home rule 
161.2 	charter cities, counties, and townships; special districts as defined under section 6.465; any 
161.3 	instrumentality of a statutory or home rule charter city, county, or township as defined in 
161.4 	section 471.59; and any joint powers board or organization created under section 471.59.

161.5 	EFFECTIVE DATE. This section is effective the day following final enactment.

161.6 	Sec. 8. COMMISSIONER OF EDUCATION; 1:1 DEVICE PROGRAM 
161.7 	GUIDELINES.
 161.8 	The commissioner of education must research existing 1:1 device programs in 
161.9 	Minnesota and across the country to determine best practices for Minnesota schools 
161.10 	implementing 1:1 device programs. By February 15, 2016, the commissioner must 
161.11 	develop and publish guidelines to ensure maximum effectiveness of 1:1 device programs 
161.12 	and make a report on the research findings to the committees of the legislature with 
161.13 	jurisdiction over kindergarten through grade 12 education.

161.14 	Sec. 9. FAIR SCHOOL CRYSTAL TRANSITION.
 161.15 		Subdivision 1.Student enrollment. A student enrolled in the FAIR School 
161.16 	Crystal during the 2014-2015 school year and a student accepted for enrollment during 
161.17 	the 2015-2016 school year may continue to enroll in the FAIR School Crystal in any 
161.18 	year through the 2019-2020 school year. For the 2015-2016 school year and later, other 
161.19 	students may apply for enrollment under Minnesota Statutes, section 124D.03.
161.20 		Subd. 2.Compensatory revenue; literacy aid; alternative compensation 
161.21 	revenue. For the 2015-2016 school year only, the Department of Education must calculate 
161.22 	compensatory revenue, literacy aid, and alternative compensation revenue for the FAIR 
161.23 	School Crystal based on the October 1, 2014, enrollment counts.
161.24 		Subd. 3.Pupil transportation. The district may transport a pupil enrolled in 
161.25 	the 2014-2015 school year and a pupil accepted for enrollment during the 2015-2016 
161.26 	school year to and from the FAIR School Crystal in succeeding school years regardless 
161.27 	of the pupil's district of residence. Pupil transportation expenses under this section are 
161.28 	reimbursable under Minnesota Statutes, section 124D.87.

161.29 	EFFECTIVE DATE. This section is effective the day following the date on which 
161.30 	the real and personal property of the FAIR School Crystal in Crystal is conveyed to 
161.31 	Independent School District No. 281, Robbinsdale.

161.32 	Sec. 10. FAIR SCHOOL DOWNTOWN TRANSITION.
 162.1 		Subdivision 1.Student enrollment. A student enrolled in the FAIR School 
162.2 	downtown during the 2014-2015 school year and a student accepted for enrollment during 
162.3 	the 2015-2016 school year may continue to enroll in the FAIR School downtown in any 
162.4 	year through the 2018-2019 school year. For the 2015-2016 school year and later, other 
162.5 	students may apply for enrollment under Minnesota Statutes, section 124D.03.
162.6 		Subd. 2.Compensatory revenue; literacy aid; alternative compensation 
162.7 	revenue. For the 2015-2016 school year only, the Department of Education must calculate 
162.8 	compensatory revenue, literacy aid, and alternative compensation revenue for the FAIR 
162.9 	School downtown based on the October 1, 2014, enrollment counts.
162.10 		Subd. 3.Pupil transportation. The district may transport a pupil enrolled in the 
162.11 	2014-2015 school year and a pupil accepted for enrollment during the 2015-2016 school 
162.12 	year to and from the FAIR School downtown in succeeding school years regardless of 
162.13 	the pupil's district of residence. Pupil transportation expenses under this section are 
162.14 	reimbursable under Minnesota Statutes, section 124D.87.

162.15 	EFFECTIVE DATE. This section is effective the day following the date on which 
162.16 	the real and personal property of the FAIR School downtown in Minneapolis is conveyed 
162.17 	to Special School District No. 1, Minneapolis.

162.18 	Sec. 11. INFORMATION TECHNOLOGY CERTIFICATION PARTNERSHIP.
 162.19 		Subdivision 1.Request for proposals. The commissioner of education shall issue 
162.20 	a request for proposals no later than July 1, 2015, and award a contract no later than 
162.21 	September 1, 2015, to a provider for the program under subdivision 3.
162.22 		Subd. 2.Eligible schools. A school district, intermediate district, or charter school 
162.23 	is eligible to participate in the program under this section, as long as funds are available. 
162.24 		Subd. 3.Program description; provider duties. (a) The provider must partner 
162.25 	with eligible schools to make available a program to teach information technology skills 
162.26 	and competencies that are essential for career and college readiness. By December 1, 
162.27 	2015, the provider must contact each eligible school and indicate how the school can 
162.28 	access program services under this section. 
162.29 	(b) The provider shall recruit up to 200 schools to participate in the program as long 
162.30 	as funds are available. The provider must engage schools on a first-come, first-served 
162.31 	basis, except that no more than half of the total funds available may be used to deliver the 
162.32 	program to schools located in the seven-county metropolitan area.
162.33 	(c) The provider shall deliver to each participating school:
162.34 	(1) a research-based information technology curriculum;
162.35 	(2) online access to the curriculum;
163.1 	(3) instructional software for classroom and student use;
163.2 	(4) training for teachers who will be using the curriculum or instructional software;
163.3 	(5) industry-recognized certification of skills and competencies in a broad array of 
163.4 	information technology-related skill areas; and
163.5 	(6) project management, deployment, and program support, including, but not 
163.6 	limited to, integration with academic standards under Minnesota Statutes, section 
163.7 	120B.021 or 120B.022.
163.8 		Subd. 4.Department support. The Department of Education must make support 
163.9 	available to the provider, including acting as the primary liaison between schools and the 
163.10 	provider and providing direction and oversight, consistent with the purposes of this section.
163.11 		Subd. 5.Report required. By February 1, 2018, the provider and commissioner 
163.12 	must jointly develop and deliver to the committees of the legislature with jurisdiction over 
163.13 	kindergarten through grade 12 education, a summary report on program activities and 
163.14 	outcomes, including a description of the number and location of participating schools and 
163.15 	students, and the number and type of certifications earned by students.

163.16 	Sec. 12. CANCELLATION OF PREVIOUS BIENNIUM APPROPRIATION.
 163.17 	The appropriation made by Laws 2014, chapter 312, article 16, section 16, 
163.18 	subdivision 5, is canceled.

163.19 	EFFECTIVE DATE. This section is effective the day following final enactment.

163.20 	Sec. 13. APPROPRIATIONS.
 163.21 		Subdivision 1.Department of Education. The sums indicated in this section are 
163.22 	appropriated  from the general fund to the Department of Education for the fiscal years 
163.23 	designated.
163.24 		Subd. 2.Long-term maintenance equalization aid. For long-term maintenance 
163.25 	equalization aid under Minnesota Statutes, section 123B.595:

163.26		$
	0
	.....
	2016
	
163.27		$ 
	52,088,000
	.....
	2017
	
163.28 	The 2017 appropriation includes $0 for 2016 and $52,088,000 for 2017.
163.29 		Subd. 3.Debt service equalization. For debt service aid according to Minnesota 
163.30 	Statutes, section 123B.53, subdivision 6:

163.31		$
	20,349,000
	.....
	2016
	
163.32		$
	22,171,000
	.....
	2017
	
164.1 	The 2016 appropriation includes $2,295,000 for 2015 and $18,054,000 for 2016.
164.2 	The 2017 appropriation includes $2,005,000 for 2016 and $20,166,000 for 2017.
164.3 		Subd. 4.Alternative facilities bonding aid. For alternative facilities bonding aid, 
164.4 	according to Minnesota Statutes, section 123B.59, subdivision 1:

164.5		$
	19,287,000
	.....
	2016
	
164.6		$
	1,928,000
	.....
	2017
	
164.7 	The 2016 appropriation includes $1,928,000 for 2015 and $17,359,000 for 2016.
164.8 	The 2017 appropriation includes $1,928,000 for 2016 and $0 for 2017.
164.9 		Subd. 5.Equity in telecommunications access. For equity in telecommunications 
164.10 	access:

164.11		$
	3,750,000
	.....
	2016
	
164.12		$
	3,750,000
	.....
	2017
	
164.13 	If the appropriation amount is insufficient, the commissioner shall reduce the 
164.14 	reimbursement rate in Minnesota Statutes, section 125B.26, subdivisions 4 and 5, and the 
164.15 	revenue for fiscal years 2016 and 2017 shall be prorated.
164.16 	Any balance in the first year does not cancel but is available in the second year.
164.17 		Subd. 6.Deferred maintenance aid. For deferred maintenance aid, according to 
164.18 	Minnesota Statutes, section 123B.591, subdivision 4:

164.19		$
	3,520,000
	.....
	2016
	
164.20		$
	345,000
	.....
	2017
	
164.21 	The 2016 appropriation includes $409,000 for 2015 and $3,111,000 for 2016.
164.22 	The 2017 appropriation includes $345,000 for 2016 and $0 for 2017.
164.23 		Subd. 7.Health and safety revenue. For health and safety aid according to 
164.24 	Minnesota Statutes, section 123B.57, subdivision 5:

164.25		$
	501,000
	.....
	2016
	
164.26		$
	48,000
	.....
	2017
	
164.27 	The 2016 appropriation includes $66,000 for 2015 and $435,000 for 2016.
164.28 	The 2017 appropriation includes $48,000 for 2016 and $0 for 2017.
164.29 		Subd. 8.Information technology certification partnership. For an information 
164.30 	technology certification partnership:

164.31		$
	500,000
	.....
	2016
	
164.32		$
	0
	.....
	2017
	
165.1 	This is a onetime appropriation. Any balance in the first year does not cancel but is 
165.2 	available in the second year. Of this appropriation, five percent is for departmental costs 
165.3 	related to providing support for the information technology certification partnership.
165.4 		Subd. 9.Innovative Technology Cooperative. For a grant to the Innovative 
165.5 	Technology Cooperative under Minnesota Statutes, section 123A.215, to provide 
165.6 	professional development related to technology:

165.7		$
	150,000
	.....
	2016
	
165.8		$
	150,000
	.....
	2017
	
165.9 	Any balance in the first year does not cancel but is available in the second year. The base 
165.10 	for this program in fiscal year 2018 is $0.

165.11 	Sec. 14.  REPEALER.
 165.12 	Minnesota Statutes 2014, sections 123B.59; and 123B.591, are repealed.

165.13 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
165.14 	later.

165.15 	ARTICLE 7
165.16 	NUTRITION AND ACCOUNTING

165.17 	Section 1. Minnesota Statutes 2014, section 123A.24, subdivision 1, is amended to read:
165.18 		Subdivision 1.Distribution of assets and liabilities. (a) If a district withdraws 
165.19 	from a cooperative unit defined in subdivision 2, the distribution of assets and assignment 
165.20 	of liabilities to the withdrawing district shall be determined according to this subdivision.
165.21 	(b) The withdrawing district remains responsible for its share of debt incurred by the 
165.22 	cooperative unit according to section 123B.02, subdivision 3. The district and cooperative 
165.23 	unit may mutually agree, through a board resolution by each, to terms and conditions of 
165.24 	the distribution of assets and the assignment of liabilities.
165.25 	(c) If the cooperative unit and the district cannot agree on the terms and conditions, 
165.26 	the commissioner shall resolve the dispute by determining the district's proportionate share 
165.27 	of assets and liabilities based on the district's enrollment, financial contribution, usage, or 
165.28 	other factor or combination of factors determined appropriate by the commissioner. If the 
165.29 	dispute requires the commissioner to involve an administrative law judge, any fees due 
165.30 	to the Office of Administrative Hearings must be equally split between the district and 
165.31 	cooperative unit. The assets must be disbursed to the withdrawing district in a manner 
165.32 	that minimizes financial disruption to the cooperative unit.
166.1 	(d) Assets related to an insurance pool shall not be disbursed to a member district 
166.2 	under paragraph (c).

166.3 	EFFECTIVE DATE. This section is effective the day following final enactment.

166.4 	Sec. 2. Minnesota Statutes 2014, section 123B.77, subdivision 3, is amended to read:
166.5 		Subd. 3.Statement for comparison and correction. (a) By November 30 of the 
166.6 	calendar year of the submission of the unaudited financial data, the district must provide to 
166.7 	the commissioner audited financial data for the preceding fiscal year. The audit must be 
166.8 	conducted in compliance with generally accepted governmental auditing standards, the 
166.9 	federal Single Audit Act, and the Minnesota legal compliance guide issued by the Office 
166.10 	of the State Auditor. An audited financial statement prepared in a form which will allow 
166.11 	comparison with and correction of material differences in the unaudited financial data 
166.12 	shall be submitted to the commissioner and the state auditor by December 31. The audited 
166.13 	financial statement must also provide a statement of assurance pertaining to uniform 
166.14 	financial accounting and reporting standards compliance and a copy of the management 
166.15 	letter submitted to the district by the school district's auditor.
166.16 	(b) By February 15 1 of the calendar year following the submission of the unaudited 
166.17 	financial data, the commissioner shall convert the audited financial data required by this 
166.18 	subdivision into the consolidated financial statement format required under subdivision 1a 
166.19 	and publish the information on the department's Web site.

166.20 	Sec. 3. Minnesota Statutes 2014, section 125A.75, subdivision 9, is amended to read:
166.21 		Subd. 9.Litigation costs; annual report. (a) By November 30 of each year, 
166.22 	a school district must annually report the district's special education litigation costs, 
166.23 	including attorney fees and costs of due process hearings, to the commissioner of 
166.24 	education, consistent with the Uniform Financial Accounting and Reporting Standards.
166.25 	(b) By January 15 February 1 of each year, the commissioner shall report school 
166.26 	district special education litigation costs to the house of representatives and the senate 
166.27 	committees having jurisdiction over kindergarten through grade 12 education finance.

166.28 	Sec. 4. Minnesota Statutes 2014, section 127A.05, subdivision 6, is amended to read:
166.29 		Subd. 6.Survey of districts. The commissioner of education shall survey the state's 
166.30 	school districts and teacher preparation programs and report to the education committees 
166.31 	of the legislature by January 15 February 1 of each odd-numbered year on the status of 
166.32 	teacher early retirement patterns, the teacher shortage, and the substitute teacher shortage, 
166.33 	including patterns and shortages in subject areas and regions of the state. The report must 
167.1 	also include how districts are making progress in hiring teachers and substitutes in the 
167.2 	areas of shortage and a five-year projection of teacher demand for each district.

167.3 	Sec. 5. Minnesota Statutes 2014, section 127A.49, subdivision 1, is amended to read:
167.4 		Subdivision 1.Omissions. No adjustments to any aid payments made pursuant 
167.5 	to this chapter or chapters 120B, 122A, 123A, 123B, 124D, 125A, and 126C resulting 
167.6 	from omissions in district reports, except those adjustments determined by the legislative 
167.7 	auditor, shall be made for any school year after December 30 15 of the next school year, 
167.8 	unless otherwise specifically provided by law.

167.9 	Sec. 6. Laws 2013, chapter 116, article 7, section 19, is amended to read:
167.10 	Sec. 19. FUND TRANSFER; FISCAL YEARS YEAR 2014 AND 2015 
167.11 	THROUGH FISCAL YEAR 2017 ONLY.
 167.12 	(a) Notwithstanding Minnesota Statutes, section 123B.80, subdivision 3, for fiscal 
167.13 	years year 2014 and 2015 through fiscal year 2017 only, the commissioner must approve 
167.14 	a request for a fund transfer if the transfer does not increase state aid obligations to the 
167.15 	district or result in additional property tax authority for the district. This section does not 
167.16 	permit transfers from the community service fund, the food service fund, or the reserved 
167.17 	account for staff development under section 122A.61.
167.18 	(b) A school board may approve a fund transfer under paragraph (a) only after 
167.19 	adopting a resolution stating the fund transfer will not diminish instructional opportunities 
167.20 	for students.

167.21 	EFFECTIVE DATE. This section is effective the day following final enactment.

167.22 	Sec. 7. APPROPRIATIONS.
 167.23 		Subdivision 1.Department of Education. The sums indicated in this section are 
167.24 	appropriated from the general fund to the Department of Education for the fiscal years 
167.25 	designated.
167.26 		Subd. 2.School lunch. For school lunch aid according to Minnesota Statutes, 
167.27 	section 124D.111, and Code of Federal Regulations, title 7, section 210.17:

167.28		$
	15,661,000
	.....
	2016
	
167.29		$
	15,818,000
	.....
	2017
	
167.30 		Subd. 3.School breakfast. For traditional school breakfast aid under Minnesota 
167.31 	Statutes, section 124D.1158:

168.1		$
	9,731,000
	.....
	2016
	
168.2		$
	10,361,000
	.....
	2017
	
168.3 		Subd. 4.Kindergarten milk. For kindergarten milk aid under Minnesota Statutes, 
168.4 	section 124D.118:

168.5		$
	942,000
	.....
	2016
	
168.6		$
	942,000
	.....
	2017
	
168.7 		Subd. 5.Summer school service replacement aid. For summer food service 
168.8 	replacement aid under Minnesota Statutes, section 124D.119:

168.9		$
	150,000
	.....
	2016
	
168.10		$
	150,000
	.....
	2017

168.11 	ARTICLE 8
168.12 	LIBRARIES

168.13 	Section 1. Minnesota Statutes 2014, section 134.355, subdivision 8, is amended to read:
168.14 		Subd. 8.Eligibility. A regional public library system may apply for regional library 
168.15 	telecommunications aid. The aid must be used for data and video access maintenance, 
168.16 	equipment, or installation of telecommunication lines. on behalf of itself and member 
168.17 	public libraries. The aid must be used for connections and other eligible nonvoice related 
168.18 	e-rate program category one services. Aid may be used for e-rate program category two 
168.19 	services as identified in the Federal Communication Commission's eligible services list 
168.20 	for the current and preceding four funding years, if sufficient funds remain once category 
168.21 	one needs are met in each funding year. To be eligible, a regional public library system 
168.22 	must be officially designated by the commissioner of education as a regional public library 
168.23 	system as defined in section 134.34, subdivision 3, and each of its participating cities and 
168.24 	counties must meet local support levels defined in section 134.34, subdivision 1. A public 
168.25 	library building that receives aid under this section must be open a minimum of 20 hours 
168.26 	per week. Exceptions to the minimum open hours requirement may be granted by the 
168.27 	Department of Education on request of the regional public library system for the following 
168.28 	circumstances: short-term closing for emergency maintenance and repairs following a 
168.29 	natural disaster; in response to exceptional economic circumstances; building repair or 
168.30 	maintenance that requires public services areas to be closed; or to adjust hours of public 
168.31 	service to respond to documented seasonal use patterns.

168.32 	Sec. 2. Minnesota Statutes 2014, section 134.355, subdivision 9, is amended to read:
169.1 		Subd. 9.Telecommunications aid. An application for regional library 
169.2 	telecommunications aid must, at a minimum, contain information to document the 
169.3 	following:
169.4 	(1) the connections are adequate and employ an open network architecture that 
169.5 	will ensure interconnectivity and interoperability with school districts, postsecondary 
169.6 	education, or other governmental agencies;
169.7 	(2) that the connection is established through the most cost-effective means and that 
169.8 	the regional library has explored and coordinated connections through school districts, 
169.9 	postsecondary education, or other governmental agencies;
169.10 	(3) that the regional library system has and member libraries included in the 
169.11 	application have filed or are included in an e-rate application; and
169.12 	(4) other information, as determined by the commissioner of education, to ensure 
169.13 	that connections are coordinated, efficient, and cost-effective, take advantage of discounts, 
169.14 	and meet applicable state standards.
169.15 	The library system may include costs associated with cooperative arrangements with 
169.16 	postsecondary institutions, school districts, and other governmental agencies.

169.17 	Sec. 3. Minnesota Statutes 2014, section 134.355, subdivision 10, is amended to read:
169.18 		Subd. 10.Award of funds. The commissioner of education shall develop an 
169.19 	application and a reporting form and procedures for regional library telecommunications 
169.20 	aid. Aid shall be based on actual costs of including, but not limited to, connections, as 
169.21 	documented in e-rate funding commitment decision letters for category one services and 
169.22 	acceptable documentation for category two services and funds available for this purpose. 
169.23 	The commissioner shall make payments directly to the regional public library system.

169.24 	Sec. 4. APPROPRIATIONS.
 169.25 		Subdivision 1.Department of Education. The sums indicated in this section are 
169.26 	appropriated from the general fund to the Department of Education for the fiscal years 
169.27 	designated.
169.28 		Subd. 2.Basic system support. For basic system support aid under Minnesota 
169.29 	Statutes, section 134.355:

169.30		$
	13,570,000
	.....
	2016
	
169.31		$
	13,570,000
	.....
	2017
	
169.32 	The 2016 appropriation includes $1,357,000 for 2015 and $12,213,000 for 2016.
169.33 	The 2017 appropriation includes $1,357,000 for 2016 and $12,213,000 for 2017.
170.1 		Subd. 3.Multicounty, multitype library systems. For aid under Minnesota 
170.2 	Statutes, sections 134.353 and 134.354, to multicounty, multitype library systems:

170.3		$
	1,300,000
	.....
	2016
	
170.4		$
	1,300,000
	.....
	2017
	
170.5 	The 2016 appropriation includes $130,000 for 2015 and $1,170,000 for 2016.
170.6 	The 2017 appropriation includes $130,000 for 2016 and $1,170,000 for 2017.
170.7 		Subd. 4.Electronic library for Minnesota. For statewide licenses to online 
170.8 	databases selected in cooperation with the Minnesota Office of Higher Education for 
170.9 	school media centers, public libraries, state government agency libraries, and public 
170.10 	or private college or university libraries:

170.11		$
	900,000
	.....
	2016
	
170.12		$
	900,000
	.....
	2017
	
170.13 	Any balance in the first year does not cancel but is available in the second year.
170.14 		Subd. 5.Regional library telecommunications aid. For regional library 
170.15 	telecommunications aid under Minnesota Statutes, section 134.355:

170.16		$
	2,300,000
	.....
	2016
	
170.17		$
	2,300,000
	.....
	2017
	
170.18 	The 2016 appropriation includes $230,000 for 2015 and $2,070,000 for 2016.
170.19 	The 2017 appropriation includes $230,000 for 2016 and $2,070,000 for 2017.

170.20 	ARTICLE 9
170.21 	EARLY CHILDHOOD EDUCATION

170.22 	Section 1. Minnesota Statutes 2014, section 121A.17, subdivision 5, is amended to read:
170.23 		Subd. 5.Developmental screening program information. (a) The board must 
170.24 	inform each resident family with a child eligible to participate in the developmental 
170.25 	screening program, and a charter school that provides screening must inform families 
170.26 	that apply for admission to the charter school, about the availability of the program and 
170.27 	the state's requirement that a child receive a developmental screening or provide health 
170.28 	records indicating that the child received a comparable developmental screening from a 
170.29 	public or private health care organization or individual health care provider not later than 
170.30 	30 days after the first day of attending kindergarten in a public school. A school district 
170.31 	must inform all resident families with eligible children under age seven, and a charter 
170.32 	school that provides screening must inform families that apply for admission to the charter 
170.33 	school, that their children may receive a developmental screening conducted either by the 
171.1 	school district or by a public or private health care organization or individual health care 
171.2 	provider and that the screening is not required if a statement signed by the child's parent 
171.3 	or guardian is submitted to the administrator or other person having general control and 
171.4 	supervision of the school that the child has not been screened.
171.5 	(b) A school district that enrolls students from an adjoining state under section 
171.6 	124D.041 may inform a nonresident child whose family resides at a Minnesota address as 
171.7 	assigned by the United States Postal Service about the availability of the developmental 
171.8 	screening program and may provide screening under this section to that child.

171.9 	EFFECTIVE DATE. This section is effective for revenue for fiscal year 2016 
171.10 	and later.

171.11 	Sec. 2. Minnesota Statutes 2014, section 124D.041, subdivision 1, is amended to read:
171.12 		Subdivision 1.Agreements. (a) The commissioner may enter into an agreement 
171.13 	with the designated authority from an adjoining state to establish an enrollment options 
171.14 	program between Minnesota and the adjoining state. Any agreement entered into pursuant 
171.15 	to this section must specify the following:
171.16 	(1) for students who are not residents of Minnesota, the enrollment options program 
171.17 	applies only to a student whose resident school district borders Minnesota;
171.18 	(2) the commissioner must negotiate equal, reciprocal rates with the designated 
171.19 	authority from the adjoining state;
171.20 	(3) if the adjoining state sends more students to Minnesota than Minnesota sends to 
171.21 	the adjoining state, the adjoining state must pay the state of Minnesota the rate agreed 
171.22 	upon under clause (2) for the excess number of students sent to Minnesota;
171.23 	(4) if Minnesota sends more students to the adjoining state than the adjoining state 
171.24 	sends to Minnesota, the state of Minnesota will pay the adjoining state the rate agreed 
171.25 	upon under clause (2) for the excess number of students sent to the adjoining state;
171.26 	(5) the application procedures for the enrollment options program between 
171.27 	Minnesota and the adjoining state;
171.28 	(6) the reasons for which an application for the enrollment options program between 
171.29 	Minnesota and the adjoining state may be denied; and
171.30 	(7) that a Minnesota school district is not responsible for transportation for any 
171.31 	resident student attending school in an adjoining state under the provisions of this section. 
171.32 	A Minnesota school district may, at its discretion, provide transportation services for 
171.33 	such a student.
171.34 	(b) Any agreement entered into pursuant to this section may specify additional 
171.35 	terms relating to any student in need of special education and related services pursuant 
172.1 	to chapter 125A, including early childhood special education services. Any additional 
172.2 	terms must apply equally to both states.

172.3 	EFFECTIVE DATE. This section is effective July 1, 2015.

172.4 	Sec. 3. Minnesota Statutes 2014, section 124D.041, subdivision 2, is amended to read:
172.5 		Subd. 2.Pupil accounting. (a) Any student from an adjoining state enrolled in 
172.6 	Minnesota pursuant to this section is included in the receiving school district's average 
172.7 	daily membership and pupil units according to section 126C.05 as if the student were 
172.8 	a resident of another Minnesota school district attending the receiving school district 
172.9 	under section 124D.03.
172.10 	(b) Any Minnesota resident student enrolled in an adjoining state pursuant to this 
172.11 	section is included in the resident school district's average daily membership and pupil 
172.12 	units according to section 126C.05 as if the student were a resident of the district attending 
172.13 	another Minnesota school district under section 124D.03.
172.14 	(c) A prekindergarten child from an adjoining state whose family resides at a 
172.15 	Minnesota address as assigned by the United States Postal Service and is receiving early 
172.16 	childhood special education services from a Minnesota school district is considered 
172.17 	enrolled in a Minnesota school district.

172.18 	EFFECTIVE DATE. This section is effective July 1, 2015.

172.19 	Sec. 4. Minnesota Statutes 2014, section 124D.15, subdivision 5, is amended to read:
172.20 		Subd. 5.Services with new or existing providers. A district may contract 
172.21 	with a charter school or community-based organization to provide eligible children 
172.22 	developmentally appropriate services that meet the program requirements in subdivision 
172.23 	3. In the alternative, a district may pay tuition or fees to place an eligible child in an 
172.24 	existing program. A district may establish a new program where no existing, reasonably 
172.25 	accessible program meets the program requirements in subdivision 3. Districts must 
172.26 	submit a copy of each contract to the commissioner with the biennial plan. Services may 
172.27 	be provided in a site-based program or in the home of the child or a combination of both. 
172.28 	The district may not restrict participation to district residents.

172.29 	EFFECTIVE DATE. This section is effective for fiscal year 2017 and later.

172.30 	Sec. 5. Minnesota Statutes 2014, section 124D.16, subdivision 2, is amended to read:
172.31 		Subd. 2.Amount of aid. (a) A district is eligible to receive school readiness aid 
172.32 	for eligible prekindergarten pupils enrolled in a school readiness program under section 
173.1 	124D.15 if the biennial plan required by section 124D.15, subdivision 3a, has been 
173.2 	approved by the commissioner.
173.3 	(b) A district must receive school readiness aid equal to:
173.4 	(1) the number of four-year-old children in the district on October 1 for the previous 
173.5 	school year times the ratio of 50 percent of the total school readiness aid for that year to 
173.6 	the total number of four-year-old children reported to the commissioner for the previous 
173.7 	school year; plus
173.8 	(2) the number of pupils enrolled in the school district from families eligible for the 
173.9 	free or reduced school lunch program for the previous school year times the ratio of 
173.10 	50 percent of the total school readiness aid for that year to the total number of pupils 
173.11 	in the state from families eligible for the free or reduced school lunch program for the 
173.12 	previous school year.
173.13 	(c) For fiscal year 2015 and later, The total school readiness aid entitlement equals 
173.14 	$12,170,000 $23,558,000 for fiscal year 2016 and $33,683,000 for fiscal year 2017 and 
173.15 	later.

173.16 	Sec. 6. Minnesota Statutes 2014, section 124D.165, subdivision 2, is amended to read:
173.17 		Subd. 2.Family eligibility. (a) For a family to receive an early learning scholarship, 
173.18 	parents or guardians must meet the following eligibility requirements:
173.19 	(1) have a child three or four years of age on September 1 of the current school year, 
173.20 	who has not yet started kindergarten; and
173.21 	(2) have income equal to or less than 185 percent of federal poverty level income 
173.22 	in the current calendar year, or be able to document their child's current participation in 
173.23 	the free and reduced-price lunch program or child and adult care food program, National 
173.24 	School Lunch Act, United States Code, title 42, sections 1751 and 1766; the Food 
173.25 	Distribution Program on Indian Reservations, Food and Nutrition Act, United States 
173.26 	Code, title 7, sections 2011-2036; Head Start under the federal Improving Head Start for 
173.27 	School Readiness Act of 2007; Minnesota family investment program under chapter 256J; 
173.28 	child care assistance programs under chapter 119B; the supplemental nutrition assistance 
173.29 	program; or placement in foster care under section 260C.212.
173.30 	(b) Notwithstanding the other provisions of this section, a parent under age 21 who 
173.31 	is pursuing a high school or general education equivalency diploma is eligible for an early 
173.32 	learning scholarship if the parent has a child age zero to five years old and meets the 
173.33 	income eligibility guidelines in this subdivision.
174.1 	(c) Any siblings between the ages zero to five years old of a child who has been 
174.2 	awarded a scholarship under this section must be awarded a scholarship upon request, 
174.3 	provided the sibling attends the same program as long as funds are available.
174.4 	(d) A child who has received a scholarship under this section must continue to 
174.5 	receive a scholarship each year until that child is eligible for kindergarten under section 
174.6 	120A.20 and as long as funds are available.
174.7 	(e) Early learning scholarships may not be counted as earned income for the 
174.8 	purposes of medical assistance under chapter 256B, MinnesotaCare under chapter 256L, 
174.9 	Minnesota family investment program under chapter 256J, child care assistance programs 
174.10 	under chapter 119B, or Head Start under the federal Improving Head Start for School 
174.11 	Readiness Act of 2007.
174.12 	(f) A child from an adjoining state whose family resides at a Minnesota address as 
174.13 	assigned by the United States Postal Service, who has received developmental screening 
174.14 	under sections 121A.16 to 121A.19, who intends to enroll in a Minnesota school district, 
174.15 	and whose family meets the criteria of paragraph (a) is eligible for an early learning 
174.16 	scholarship under this section.

174.17 	EFFECTIVE DATE. This section is effective July 1, 2015.

174.18 	Sec. 7. Minnesota Statutes 2014, section 125A.03, is amended to read:
174.19 	125A.03 SPECIAL INSTRUCTION FOR CHILDREN WITH A DISABILITY.
174.20 	(a) As defined in paragraph (b), every district must provide special instruction and 
174.21 	services, either within the district or in another district, for all children with a disability, 
174.22 	including providing required services under Code of Federal Regulations, title 34, section 
174.23 	300.121, paragraph (d), to those children suspended or expelled from school for more than 
174.24 	ten school days in that school year, who are residents of the district and who are disabled 
174.25 	as set forth in section 125A.02. For purposes of state and federal special education laws, 
174.26 	the phrase "special instruction and services" in the state Education Code means a free 
174.27 	and appropriate public education provided to an eligible child with disabilities. "Free 
174.28 	appropriate public education" means special education and related services that:
174.29 	(1) are provided at public expense, under public supervision and direction, and 
174.30 	without charge;
174.31 	(2) meet the standards of the state, including the requirements of the Individuals 
174.32 	with Disabilities Education Act, Part B or C;
174.33 	(3) include an appropriate preschool, elementary school, or secondary school 
174.34 	education; and
175.1 	(4) are provided to children ages three through 21 in conformity with an 
175.2 	individualized education program that meets the requirements of the Individuals with 
175.3 	Disabilities Education Act, subpart A, sections 300.320 to 300.324, and provided to 
175.4 	infants and toddlers in conformity with an individualized family service plan that meets 
175.5 	the requirements of the Individuals with Disabilities Education Act, subpart A, sections 
175.6 	303.300 to 303.346.
175.7 	(b) Notwithstanding any age limits in laws to the contrary, special instruction and 
175.8 	services must be provided from birth until July 1 after the child with a disability becomes 
175.9 	21 years old but shall not extend beyond secondary school or its equivalent, except as 
175.10 	provided in section 124D.68, subdivision 2. Local health, education, and social service 
175.11 	agencies must refer children under age five who are known to need or suspected of 
175.12 	needing special instruction and services to the school district. Districts with less than the 
175.13 	minimum number of eligible children with a disability as determined by the commissioner 
175.14 	must cooperate with other districts to maintain a full range of programs for education 
175.15 	and services for children with a disability. This section does not alter the compulsory 
175.16 	attendance requirements of section 120A.22.
175.17 	(c) At the board's discretion, a school district that participates in a reciprocity 
175.18 	agreement with a neighboring state under section 124D.041 may enroll and provide 
175.19 	special instruction and services to a child from an adjoining state whose family resides 
175.20 	at a Minnesota address as assigned by the United States Postal Service if the district has 
175.21 	completed child identification procedures for that child to determine the child's eligibility 
175.22 	for special education services, and the child has received developmental screening under 
175.23 	sections 121A.16 to 121A.19.

175.24 	EFFECTIVE DATE. This section is effective July 1, 2015.

175.25 	Sec. 8. APPROPRIATIONS.
 175.26 		Subdivision 1.Department of Education. The sums indicated in this section are 
175.27 	appropriated from the general fund to the Department of Education for the fiscal years 
175.28 	designated.
175.29 		Subd. 2.School readiness. For revenue for school readiness programs under 
175.30 	Minnesota Statutes, sections 124D.15 and 124D.16:

175.31		$
	22,420,000
	.....
	2016
	
175.32		$
	32,670,000
	.....
	2017
	
175.33 	The 2016 appropriation includes $1,217,000 for 2015 and $21,203,000 for 2016.
175.34 	The 2017 appropriation includes $2,355,000 for 2016 and $30,315,000 for 2017.
176.1 		Subd. 3.Early learning scholarships. For the early learning scholarship program 
176.2 	under Minnesota Statutes, section 124D.165:

176.3		$
	38,134,000
	.....
	2016
	
176.4		$
	48,384,000
	.....
	2017
	
176.5 	Up to $950,000 each year is for administration of this program.
176.6 	Any balance in the first year does not cancel but is available in the second year.
176.7 		Subd. 4.Head Start program. For Head Start programs under Minnesota Statutes, 
176.8 	section 119A.52:

176.9		$
	20,100,000
	.....
	2016
	
176.10		$
	20,100,000
	.....
	2017
	
176.11 		Subd. 5.Early childhood family education aid. For early childhood family 
176.12 	education aid under Minnesota Statutes, section 124D.135:

176.13		$
	28,220,000
	.....
	2016
	
176.14		$
	29,915,000
	.....
	2017
	
176.15 	The 2016 appropriation includes $2,713,000 for 2015 and $25,507,000 for 2016.
176.16 	The 2017 appropriation includes $2,834,000 for 2016 and $27,081,000 for 2017.
176.17 		Subd. 6.Developmental screening aid. For developmental screening aid under 
176.18 	Minnesota Statutes, sections 121A.17 and 121A.19:

176.19		$
	3,363,000
	.....
	2016
	
176.20		$
	3,369,000
	.....
	2017
	
176.21 	The 2016 appropriation includes $338,000 for 2015 and $3,025,000 for 2016.
176.22 	The 2017 appropriation includes $336,000 for 2016 and $3,033,000 for 2017.
176.23 		Subd. 7.Parent-child home program. For a grant to the parent-child home 
176.24 	program:

176.25		$
	350,000
	.....
	2016
	
176.26		$
	350,000
	.....
	2017
	
176.27 	The grant must be used for an evidence-based and research-validated early childhood 
176.28 	literacy and school readiness program for children ages 16 months to four years at its 
176.29 	existing suburban program location. The program must include urban and rural program 
176.30 	locations for fiscal years 2016 and 2017. 
176.31 		Subd. 8.Kindergarten entrance assessment initiative and intervention 
176.32 	program. For the kindergarten entrance assessment initiative and intervention program 
176.33 	under Minnesota Statutes, section 124D.162:

177.1		$
	281,000
	.....
	2016
	
177.2		$
	281,000
	.....
	2017
	
177.3 		Subd. 9.Quality Rating System. For transfer to the commissioner of human 
177.4 	services for the purposes of expanding the Quality Rating and Improvement System under 
177.5 	Minnesota Statutes, section 124D.142, in greater Minnesota and increasing supports for 
177.6 	providers participating in the Quality Rating and Improvement System:

177.7		$
	1,200,000
	.....
	2016
	
177.8		$
	2,300,000
	.....
	2017
	
177.9 	Any balance in the first year does not cancel but is available in the second year. The 
177.10 	base for this program in fiscal year 2018 and later is $1,750,000.
177.11 		Subd. 10.Early childhood programs at tribal schools. For early childhood 
177.12 	family education programs at tribal contract schools under Minnesota Statutes, section 
177.13 	124D.83, subdivision 4:

177.14		$
	68,000
	.....
	2016
	
177.15		$
	68,000
	.....
	2017
	
177.16 		Subd. 11.Educate parents partnership. For the educate parents partnership under 
177.17 	Minnesota Statutes, section 124D.129:

177.18		$
	49,000
	.....
	2016
	
177.19		$
	49,000
	.....
	2017

177.20 	ARTICLE 10
177.21 	PREVENTION

177.22 	Section 1. Minnesota Statutes 2014, section 121A.17, subdivision 3, is amended to read:
177.23 		Subd. 3.Screening program. (a) A screening program must include at least the 
177.24 	following components: developmental assessments, hearing and vision screening or 
177.25 	referral, immunization review and referral, the child's height and weight, the date of the 
177.26 	child's most recent comprehensive vision examination, if any, identification of risk factors 
177.27 	that may influence learning, an interview with the parent about the child, and referral for 
177.28 	assessment, diagnosis, and treatment when potential needs are identified. The district and 
177.29 	the person performing or supervising the screening must provide a parent or guardian 
177.30 	with clear written notice that the parent or guardian may decline to answer questions 
177.31 	or provide information about family circumstances that might affect development and 
177.32 	identification of risk factors that may influence learning. The notice must state "Early 
178.1 	childhood developmental screening helps a school district identify children who may 
178.2 	benefit from district and community resources available to help in their development. 
178.3 	Early childhood developmental screening includes a vision screening that helps detect 
178.4 	potential eye problems but is not a substitute for a comprehensive eye exam." The notice 
178.5 	must clearly state that declining to answer questions or provide information does not 
178.6 	prevent the child from being enrolled in kindergarten or first grade if all other screening 
178.7 	components are met. If a parent or guardian is not able to read and comprehend the written 
178.8 	notice, the district and the person performing or supervising the screening must convey 
178.9 	the information in another manner. The notice must also inform the parent or guardian 
178.10 	that a child need not submit to the district screening program if the child's health records 
178.11 	indicate to the school that the child has received comparable developmental screening 
178.12 	performed within the preceding 365 days by a public or private health care organization or 
178.13 	individual health care provider. The notice must be given to a parent or guardian at the 
178.14 	time the district initially provides information to the parent or guardian about screening 
178.15 	and must be given again at the screening location.
178.16 	(b) All screening components shall be consistent with the standards of the state 
178.17 	commissioner of health for early developmental screening programs. A developmental 
178.18 	screening program must not provide laboratory tests or a physical examination to any 
178.19 	child. The district must request from the public or private health care organization or the 
178.20 	individual health care provider the results of any laboratory test or physical examination 
178.21 	within the 12 months preceding a child's scheduled screening. For the purposes of this 
178.22 	section, "comprehensive vision examination" means a vision examination performed by 
178.23 	an optometrist or ophthalmologist.
178.24 	(c) If a child is without health coverage, the school district must refer the child to an 
178.25 	appropriate health care provider.
178.26 	(d) A board may offer additional components such as nutritional, physical and 
178.27 	dental assessments, review of family circumstances that might affect development, blood 
178.28 	pressure, laboratory tests, and health history.
178.29 	(e) If a statement signed by the child's parent or guardian is submitted to the 
178.30 	administrator or other person having general control and supervision of the school that 
178.31 	the child has not been screened because of conscientiously held beliefs of the parent 
178.32 	or guardian, the screening is not required.

178.33 	Sec. 2. COMPREHENSIVE VISION EXAMINATION REPORT.
 178.34 	By January 15, 2017, the commissioner must submit to the committees of the 
178.35 	legislature with jurisdiction over kindergarten through grade 12 education a report 
179.1 	describing the number and proportion of children in each school district who report having 
179.2 	had a comprehensive vision examination, disaggregated by age at the time of early 
179.3 	childhood developmental screening under Minnesota Statutes, section 121A.17.

179.4 	Sec. 3. APPROPRIATIONS.
 179.5 		Subdivision 1.Department of Education. The sums indicated in this section are 
179.6 	appropriated from the general fund to the Department of Education for the fiscal years 
179.7 	designated.
179.8 		Subd. 2.Community education aid. For community education aid under 
179.9 	Minnesota Statutes, section 124D.20:

179.10		$
	788,000
	.....
	2016
	
179.11		$
	554,000
	.....
	2017
	
179.12 	The 2016 appropriation includes $107,000 for 2015 and $681,000 for 2016.
179.13 	The 2017 appropriation includes $75,000 for 2016 and $479,000 for 2017.
179.14 		Subd. 3.Adults with disabilities program aid. For adults with disabilities 
179.15 	programs under Minnesota Statutes, section 124D.56:

179.16		$
	710,000
	.....
	2016
	
179.17		$
	710,000
	.....
	2017
	
179.18 	The 2016 appropriation includes $71,000 for 2015 and $639,000 for 2016.
179.19 	The 2017 appropriation includes $71,000 for 2016 and $639,000 for 2017.
179.20 		Subd. 4.Hearing-impaired adults. For programs for hearing-impaired adults 
179.21 	under Minnesota Statutes, section 124D.57:

179.22		$
	70,000
	.....
	2016
	
179.23		$
	70,000
	.....
	2017
	
179.24 		Subd. 5.School-age care revenue. For extended day aid under Minnesota Statutes, 
179.25 	section 124D.22:

179.26		$
	1,000
	.....
	2016
	
179.27		$
	1,000
	.....
	2017
	
179.28 	The 2016 appropriation includes $0 for 2015 and $1,000 for 2016.
179.29 	The 2017 appropriation includes $0 for 2016 and $1,000 for 2017.

180.1 	ARTICLE 11
180.2 	SELF-SUFFICIENCY AND LIFELONG LEARNING

180.3 	Section 1. Minnesota Statutes 2014, section 290.0671, subdivision 1, is amended to read:
180.4 		Subdivision 1.Credit allowed. (a) An individual who is a resident of Minnesota is 
180.5 	allowed a credit against the tax imposed by this chapter equal to a percentage of earned 
180.6 	income. To receive a credit, a taxpayer must be eligible for a credit under section 32 of the 
180.7 	Internal Revenue Code.
180.8 	(b) For individuals with no qualifying children, the credit equals 2.10 percent of the 
180.9 	first $6,180 of earned income. The credit is reduced by 2.01 percent of earned income 
180.10 	or adjusted gross income, whichever is greater, in excess of $8,130, but in no case is 
180.11 	the credit less than zero.
180.12 	(c) For individuals with one qualifying child, the credit equals 9.35 percent of the 
180.13 	first $11,120 of earned income. The credit is reduced by 6.02 percent of earned income 
180.14 	or adjusted gross income, whichever is greater, in excess of $21,190, but in no case is 
180.15 	the credit less than zero.
180.16 	(d) For individuals with two or more qualifying children, the credit equals 11 percent 
180.17 	of the first $18,240 of earned income. The credit is reduced by 10.82 percent of earned 
180.18 	income or adjusted gross income, whichever is greater, in excess of $25,130, but in no 
180.19 	case is the credit less than zero.
180.20 	(e) For a nonresident or part-year resident, the credit must be allocated based on the 
180.21 	percentage calculated under section 290.06, subdivision 2c, paragraph (e).
180.22 	(f) For a person who was a resident for the entire tax year and has earned income 
180.23 	not subject to tax under this chapter, including income excluded under section 290.01, 
180.24 	subdivision 19b, clause (9), the credit must be allocated based on the ratio of federal 
180.25 	adjusted gross income reduced by the earned income not subject to tax under this chapter 
180.26 	over federal adjusted gross income. For purposes of this paragraph, the subtractions 
180.27 	for military pay under section 290.01, subdivision 19b, clauses (10) and (11), are not 
180.28 	considered "earned income not subject to tax under this chapter."
180.29 	For the purposes of this paragraph, the exclusion of combat pay under section 112 
180.30 	of the Internal Revenue Code is not considered "earned income not subject to tax under 
180.31 	this chapter."
180.32 	(g) For tax years beginning after December 31, 2007, and before December 31, 
180.33 	2010, and for tax years beginning after December 31, 2017, the $8,130 in paragraph (b), 
180.34 	the $21,190 in paragraph (c), and the $25,130 in paragraph (d), after being adjusted for 
180.35 	inflation under subdivision 7, are each increased by $3,000 for married taxpayers filing joint 
181.1 	returns. For tax years beginning after December 31, 2008, the commissioner shall annually 
181.2 	adjust the $3,000 by the percentage determined pursuant to the provisions of section 1(f) 
181.3 	of the Internal Revenue Code, except that in section 1(f)(3)(B), the word "2007" shall be 
181.4 	substituted for the word "1992." For 2009, the commissioner shall then determine the 
181.5 	percent change from the 12 months ending on August 31, 2007, to the 12 months ending on 
181.6 	August 31, 2008, and in each subsequent year, from the 12 months ending on August 31, 
181.7 	2007, to the 12 months ending on August 31 of the year preceding the taxable year. The 
181.8 	earned income thresholds as adjusted for inflation must be rounded to the nearest $10. If the 
181.9 	amount ends in $5, the amount is rounded up to the nearest $10. The determination of the 
181.10 	commissioner under this subdivision is not a rule under the Administrative Procedure Act.
181.11 	(h)(1) For tax years beginning after December 31, 2012, and before January 1, 2014, 
181.12 	the $5,770 in paragraph (b), the $15,080 in paragraph (c), and the $17,890 in paragraph (d), 
181.13 	after being adjusted for inflation under subdivision 7, are increased by $5,340 for married 
181.14 	taxpayers filing joint returns; and (2) for tax years beginning after December 31, 2013, and 
181.15 	before January 1, 2018, the $8,130 in paragraph (b), the $21,190 in paragraph (c), and the 
181.16 	$25,130 in paragraph (d), after being adjusted for inflation under subdivision 7, are each 
181.17 	increased by $5,000 for married taxpayers filing joint returns. For tax years beginning 
181.18 	after December 31, 2010, and before January 1, 2012, and for tax years beginning after 
181.19 	December 31, 2013, and before January 1, 2018, the commissioner shall annually adjust 
181.20 	the $5,000 by the percentage determined pursuant to the provisions of section 1(f) of 
181.21 	the Internal Revenue Code, except that in section 1(f)(3)(B), the word "2008" shall be 
181.22 	substituted for the word "1992." For 2011, the commissioner shall then determine the 
181.23 	percent change from the 12 months ending on August 31, 2008, to the 12 months ending on 
181.24 	August 31, 2010, and in each subsequent year, from the 12 months ending on August 31, 
181.25 	2008, to the 12 months ending on August 31 of the year preceding the taxable year. The 
181.26 	earned income thresholds as adjusted for inflation must be rounded to the nearest $10. If the 
181.27 	amount ends in $5, the amount is rounded up to the nearest $10. The determination of the 
181.28 	commissioner under this subdivision is not a rule under the Administrative Procedure Act.
181.29 	(i) The commissioner shall construct tables showing the amount of the credit at 
181.30 	various income levels and make them available to taxpayers. The tables shall follow 
181.31 	the schedule contained in this subdivision, except that the commissioner may graduate 
181.32 	the transition between income brackets.

181.33 	EFFECTIVE DATE. This section is effective for taxable years beginning after 
181.34 	December 31, 2014.

181.35 	Sec. 2. Minnesota Statutes 2014, section 290.0671, subdivision 6a, is amended to read:
182.1 		Subd. 6a.TANF appropriation for working family credit expansion. (a) On 
182.2 	an annual basis the commissioner of revenue, with the assistance of the commissioner 
182.3 	of human services, shall calculate the value of the refundable portion of the Minnesota 
182.4 	Working Family Credit provided under this section that qualifies for payment with funds 
182.5 	from the federal Temporary Assistance for Needy Families (TANF) block grant. Of this 
182.6 	total amount, the commissioner of revenue shall estimate the portion entailed by the 
182.7 	expansion of the credit rates provided in Laws 2000, chapter 490, article 4, section 17, 
182.8 	for individuals with qualifying children over the rates provided in Laws 1999, chapter 
182.9 	243, article 2, section 12.
182.10 	(b) An amount sufficient to pay the refunds entailed by the expansion of the credit 
182.11 	rates provided in Laws 2000, chapter 490, article 4, section 17, for individuals with 
182.12 	qualifying children over the rates provided in Laws 1999, chapter 243, article 2, section 
182.13 	12, as estimated in paragraph (a), is appropriated to the commissioner of human services 
182.14 	from the federal Temporary Assistance for Needy Families (TANF) block grant funds, for 
182.15 	transfer to the commissioner of revenue for deposit in the general fund.

182.16 	EFFECTIVE DATE. This section is effective retroactively for transfers in fiscal 
182.17 	year 2015 and thereafter.

182.18 	Sec. 3. APPROPRIATIONS.
 182.19 		Subdivision 1.Department of Education. The sums indicated in this section are 
182.20 	appropriated from the general fund to the Department of Education for the fiscal years 
182.21 	designated.
182.22 		Subd. 2.Adult basic education aid. For adult basic education aid under Minnesota 
182.23 	Statutes, section 124D.531:

182.24		$
	49,118,000
	.....
	2016
	
182.25		$
	50,592,000
	.....
	2017
	
182.26 	The 2016 appropriation includes $4,782,000 for 2015 and $44,336,000 for 2016.
182.27 	The 2017 appropriation includes $4,926,000 for 2016 and $45,666,000 for 2017.
182.28 		Subd. 3.GED tests. For payment of 60 percent of the costs of GED tests under 
182.29 	Minnesota Statutes, section 124D.55:

182.30		$
	125,000
	.....
	2016
	
182.31		$
	125,000
	.....
	2017

183.1 	ARTICLE 12
183.2 	STATE AGENCIES

183.3 	Section 1. Minnesota Statutes 2014, section 5A.03, is amended to read:
183.4 	5A.03 ORGANIZATION APPLICATION FOR REGISTRATION.
183.5 		Subdivision 1.Placing high school students in Minnesota. (a) An application for 
183.6 	registration as an international student exchange visitor placement organization must be 
183.7 	submitted in the form prescribed by the secretary of state. The application must include:
183.8 	(1) evidence that the organization meets the standards established by the secretary of 
183.9 	state by rule;
183.10 	(2) the name, address, and telephone number of the organization, its chief executive 
183.11 	officer, and the person within the organization who has primary responsibility for 
183.12 	supervising placements within the state;
183.13 	(3) the organization's unified business identification number, if any;
183.14 	(4) the organization's Office of Exchange Coordination and Designation, United 
183.15 	States Department of State number, if any;
183.16 	(5) evidence of Council on Standards for International Educational Travel listing, if 
183.17 	any;
183.18 	(6) whether the organization is exempt from federal income tax; and
183.19 	(7) a list of the organization's placements in Minnesota for the previous academic 
183.20 	year including the number of students placed, their home countries, the school districts in 
183.21 	which they were placed, and the length of their placements.
183.22 	(b) The application must be signed by the chief executive officer of the organization 
183.23 	and the person within the organization who has primary responsibility for supervising 
183.24 	placements within Minnesota. If the secretary of state determines that the application is 
183.25 	complete, the secretary of state shall file the application and the applicant is registered.
183.26 	(c) Organizations that have registered shall inform the secretary of state of any 
183.27 	changes in the information required under paragraph (a), clause (1), within 30 days of the 
183.28 	change. There is no fee to amend a registration.
183.29 	(d) Registration under this chapter is valid for one year. The registration may be 
183.30 	renewed annually. The fee to renew a registration is $50 per year.
183.31 	(e) Organizations registering for the first time in Minnesota must pay an initial 
183.32 	registration fee of $150.
183.33 	(f) Fees collected by the secretary of state under this section must be deposited in the 
183.34 	state treasury and credited to the general fund.
184.1 		Subd. 2.Placing Minnesota students in travel abroad programs. (a) A school 
184.2 	district or charter school with enrolled students who participate in a foreign exchange or 
184.3 	study or other travel abroad program under a written agreement between the district or 
184.4 	charter school and the program provider must use a form developed by the Department 
184.5 	of Education to annually report to the department by November 1 the following data 
184.6 	from the previous school year:
184.7 	(1) the number of Minnesota student deaths that occurred while Minnesota students 
184.8 	were participating in the foreign exchange or study or other travel abroad program and 
184.9 	that resulted from Minnesota students participating in the program;
184.10 	(2) the number of Minnesota students hospitalized due to accidents and the illnesses 
184.11 	that occurred while Minnesota students were participating in the foreign exchange or study 
184.12 	or other travel abroad program and that resulted from Minnesota students participating 
184.13 	in the program; and
184.14 	(3) the name and type of the foreign exchange or study or other travel abroad 
184.15 	program and the city or region where the reported death, hospitalization due to accident, 
184.16 	or the illness occurred.
184.17 	(b) School districts and charter schools must ask but must not require enrolled 
184.18 	eligible students and the parents or guardians of other enrolled students who complete 
184.19 	a foreign exchange or study or other travel abroad program to disclose the information 
184.20 	under paragraph (a).
184.21 	(c) When reporting the data under paragraph (a), a school district or charter school 
184.22 	may supplement the data with a brief explanatory statement. The Department of Education 
184.23 	annually must aggregate and publish the reported data on the department Web site in 
184.24 	a format that facilitates public access to the aggregated data and include links to both 
184.25 	the United States Department of State's Consular Information Program that informs the 
184.26 	public of conditions abroad that may affect students' safety and security and the publicly 
184.27 	available reports on sexual assaults and other criminal acts affecting students participating 
184.28 	in a foreign exchange or study or other travel abroad program.
184.29 	(d) School districts and charter schools with enrolled students who participate in 
184.30 	foreign exchange or study or other travel abroad programs under a written agreement 
184.31 	between the district or charter school and the program provider are encouraged to adopt 
184.32 	policies supporting the programs and to include program standards in their policies to 
184.33 	ensure students' health and safety.
184.34 	(e) To be eligible under this subdivision to provide a foreign exchange or study or 
184.35 	other travel abroad program to Minnesota students enrolled in a school district or charter 
184.36 	school, a program provider annually must register with the secretary of state and provide 
185.1 	the following information on a form developed by the secretary of state: the name, 
185.2 	address, and telephone number of the program provider, its chief executive officer, and 
185.3 	the person within the provider's organization who is primarily responsible for supervising 
185.4 	programs within the state; the program provider's unified business identification number, 
185.5 	if any; whether the program provider is exempt from federal income tax; a list of the 
185.6 	program provider's placements in foreign countries for the previous school year including 
185.7 	the number of Minnesota students placed, where Minnesota students were placed, and 
185.8 	the length of their placement; the terms and limits of the medical and accident insurance 
185.9 	available to cover participating students and the process for filing a claim; and the 
185.10 	signatures of the program provider's chief executive officer and the person primarily 
185.11 	responsible for supervising Minnesota students' placements in foreign countries. If the 
185.12 	secretary of state determines the registration is complete, the secretary of state shall file the 
185.13 	registration and the program provider is registered. Registration with the secretary of state 
185.14 	must not be considered or represented as an endorsement of the program provider by the 
185.15 	secretary of state. The secretary of state annually must publish on its Web site aggregated 
185.16 	data under paragraph (c) received from the Department of Education.
185.17 	(f) Program providers, annually by August 1, must provide the data required under 
185.18 	paragraph (a), clauses (1) to (3), to the districts and charter schools with enrolled students 
185.19 	participating in the provider's program.
185.20 	(g) The Department of Education must publish the information it has under 
185.21 	paragraph (c), but it is not responsible for any errors or omissions in the information 
185.22 	provided to it by a school district or charter school. A school district or charter school is 
185.23 	not responsible for omissions in the information provided to it by students and programs.

185.24 	EFFECTIVE DATE. This section is effective for the 2015-2016 school year and 
185.25 	later.

185.26 	Sec. 2. Minnesota Statutes 2014, section 127A.353, subdivision 2, is amended to read:
185.27 		Subd. 2.Qualifications. The governor shall select the school trust lands director on 
185.28 	the basis of outstanding professional qualifications and knowledge of finance, business 
185.29 	practices, minerals, forest and real estate management, and the fiduciary responsibilities 
185.30 	of a trustee to the beneficiaries of a trust. The school trust lands director serves in the 
185.31 	unclassified service for a term of four years. The first term shall end on December 31, 
185.32 	2016 2020. The governor may remove the school trust lands director for cause. If a 
185.33 	director resigns or is removed for cause, the governor shall appoint a director for the 
185.34 	remainder of the term.

186.1 	Sec. 3. APPROPRIATIONS; DEPARTMENT OF EDUCATION.
 186.2 		Subdivision 1.Department of Education. Unless otherwise indicated, the sums 
186.3 	indicated in this section are appropriated from the general fund to the Department of 
186.4 	Education for the fiscal years designated.
186.5 		Subd. 2.Department. (a) For the Department of Education:

186.6		$ 
	20,805,000
	.....
	2016
	
186.7		$ 
	21,253,000
	.....
	2017
	
186.8 	Of these amounts: 
186.9 	(1) $718,000 each year is for the Board of Teaching;
186.10 	(2) $228,000 in fiscal year 2016 and $231,000 in fiscal year 2017 are for the Board 
186.11 	of School Administrators;
186.12 	(3) $1,000,000 each year is for Regional Centers of Excellence under Minnesota 
186.13 	Statutes, section 120B.115;
186.14 	(4) $500,000 each year is for the School Safety Technical Assistance Center under 
186.15 	Minnesota Statutes, section 127A.052; and
186.16 	(5) $250,000 each year is for the School Finance Division to enhance financial 
186.17 	data analysis.
186.18 	(b) Any balance in the first year does not cancel but is available in the second year. 
186.19 	(c) None of the amounts appropriated under this subdivision may be used for 
186.20 	Minnesota's Washington, D.C. office.
186.21 	(d) The expenditures of federal grants and aids as shown in the biennial budget 
186.22 	document and its supplements are approved and appropriated and shall be spent as 
186.23 	indicated.
186.24 	(e) This appropriation includes funds for information technology project services and 
186.25 	support subject to the provisions of Minnesota Statutes, section 16E.0466. Any ongoing 
186.26 	information technology costs will be incorporated into the service level agreement and 
186.27 	will be paid to the Office of MN.IT Services by the Department of Education under the 
186.28 	rates and mechanism specified in that agreement.
186.29 	(f) The agency's base budget in fiscal year 2018 is $21,427,000. The agency's base 
186.30 	budget in fiscal year 2019 is $21,405,000.

186.31 	Sec. 4. APPROPRIATIONS; MINNESOTA STATE ACADEMIES.
 186.32 	(a) The sums indicated in this section are appropriated from the general fund to the 
186.33 	Minnesota State Academies for the Deaf and the Blind for the fiscal years designated:

187.1		$
	12,853,000
	.....
	2016
	
187.2		$
	12,819,000
	.....
	2017
	
187.3 	(b) Of the amounts appropriated in paragraph (a), $708,000 in fiscal year 2016 and 
187.4 	$490,000 in fiscal year 2017 are for technology enhancements and may be used for: 
187.5 	(1) computer hardware; (2) computer software; (3) connectivity, communications, and 
187.6 	infrastructure; (4) assistive technology; (5) access to electronic books and other online 
187.7 	materials, licenses, and subscriptions; and (6) technology staff and training costs.
187.8 	(c) Any balance in the first year does not cancel but is available in the second year.
187.9 	(d) The agency's budget base in fiscal year 2018 is $12,804,000.
187.10 	(e) The agency's budget base in fiscal year 2019 is $12,786,000.

187.11 	Sec. 5. APPROPRIATIONS; PERPICH CENTER FOR ARTS EDUCATION.
 187.12 	(a) The sums in this section are appropriated from the general fund to the Perpich 
187.13 	Center for Arts Education for the fiscal years designated:

187.14		$
	6,872,000
	.....
	2016
	
187.15		$
	6,973,000
	.....
	2017
	
187.16 	(b) Any balance in the first year does not cancel but is available in the second year.

187.17 	ARTICLE 13
187.18 	FORECAST ADJUSTMENTS
187.19 	A. GENERAL EDUCATION

187.20 	Section 1. Laws 2013, chapter 116, article 1, section 58, subdivision 2, as amended 
187.21 	by Laws 2013, chapter 144, section 7, and Laws 2014, chapter 312, article 15, section 
187.22 	26, is amended to read:
187.23 		Subd. 2.General education aid. For general education aid under Minnesota 
187.24 	Statutes, section 126C.13, subdivision 4:

187.25		$
	6,851,419,000
	.....
	2014
	
187.26
187.27		$
	6,464,199,000
6,443,330,000
	.....
	2015
	
187.28 	The 2014 appropriation includes $780,156,000 for 2013 and $6,071,263,000 for 
187.29 	2014.
187.30 	The 2015 appropriation includes $589,095,000 $586,824,000 for 2014 and 
187.31 	$5,875,104,000 $5,856,506,000 for 2015.

188.1 	Sec. 2. Laws 2013, chapter 116, article 1, section 58, subdivision 3, as amended by 
188.2 	Laws 2014, chapter 312, article 22, section 1, is amended to read:
188.3 		Subd. 3.Enrollment options transportation. For transportation of pupils attending 
188.4 	postsecondary institutions under Minnesota Statutes, section 124D.09, or for transportation 
188.5 	of pupils attending nonresident districts under Minnesota Statutes, section 124D.03:

188.6		$
	37,000
	.....
	2014
	
188.7
188.8		$
	40,000
36,000
	.....
	2015

188.9 	Sec. 3. Laws 2013, chapter 116, article 1, section 58, subdivision 4, as amended by 
188.10 	Laws 2014, chapter 312, article 22, section 2, is amended to read:
188.11 		Subd. 4.Abatement revenue. For abatement aid under Minnesota Statutes, section 
188.12 	127A.49:

188.13		$
	2,876,000
	.....
	2014
	
188.14
188.15		$
	3,103,000
2,796,000
	.....
	2015
	
188.16 	The 2014 appropriation includes $301,000 for 2013 and $2,575,000 for 2014.
188.17 	The 2015 appropriation includes $286,000 for 2014 and $2,817,000 $2,510,000 
188.18 	for 2015.

188.19 	Sec. 4. Laws 2013, chapter 116, article 1, section 58, subdivision 5, as amended by 
188.20 	Laws 2014, chapter 312, article 22, section 3, is amended to read:
188.21 		Subd. 5.Consolidation transition. For districts consolidating under Minnesota 
188.22 	Statutes, section 123A.485:

188.23		$
	585,000
	.....
	2014
	
188.24
188.25		$
	254,000
263,000
	.....
	2015
	
188.26 	The 2014 appropriation includes $40,000 for 2013 and $545,000 for 2014.
188.27 	The 2015 appropriation includes $60,000 for 2014 and $194,000 $203,000 for 2015.

188.28 	Sec. 5. Laws 2013, chapter 116, article 1, section 58, subdivision 6, as amended by 
188.29 	Laws 2014, chapter 312, article 15, section 27, is amended to read:
188.30 		Subd. 6.Nonpublic pupil education aid. For nonpublic pupil education aid under 
188.31 	Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:

188.32		$
	15,867,000
	.....
	2014
	
188.33
188.34		$
	16,132,000
15,569,000
	.....
	2015
	
189.1 	The 2014 appropriation includes $1,898,000 for 2013 and $13,969,000 for 2014.
189.2 	The 2015 appropriation includes $1,552,000 $1,394,000 for 2014 and $14,580,000 
189.3 	$14,175,000 for 2015.

189.4 	Sec. 6. Laws 2013, chapter 116, article 1, section 58, subdivision 7, as amended by 
189.5 	Laws 2014, chapter 312, article 15, section 28, is amended to read:
189.6 		Subd. 7.Nonpublic pupil transportation. For nonpublic pupil transportation aid 
189.7 	under Minnesota Statutes, section 123B.92, subdivision 9:

189.8		$
	18,500,000
	.....
	2014
	
189.9189.10
		$
	17,710,000
18,118,000
	.....
	2015
	
189.11 	The 2014 appropriation includes $2,602,000 for 2013 and $15,898,000 for 2014.
189.12 	The 2015 appropriation includes $1,766,000 for 2014 and $15,944,000 $16,352,000 
189.13 	for 2015.

189.14 	Sec. 7. Laws 2013, chapter 116, article 1, section 58, subdivision 11, as amended by 
189.15 	Laws 2014, chapter 312, article 22, section 4, is amended to read:
189.16 		Subd. 11.Career and technical aid. For career and technical aid under Minnesota 
189.17 	Statutes, section 124D.4531, subdivision 1b:

189.18		$
	3,959,000
	.....
	2014
	
189.19
189.20		$
	5,172,000
5,617,000
	.....
	2015
	
189.21 	The 2014 appropriation includes $0 for 2013 and $3,959,000 for 2014.
189.22 	The 2015 appropriation includes $439,000 $445,000 for 2014 and $4,733,000 
189.23 	$5,172,000 for 2015.
189.24 	B. EDUCATION EXCELLENCE

189.25 	Sec. 8. Laws 2013, chapter 116, article 3, section 37, subdivision 3, as amended by 
189.26 	Laws 2014, chapter 312, article 22, section 5, is amended to read:
189.27 		Subd. 3.Achievement and integration aid. For achievement and integration aid 
189.28 	under Minnesota Statutes, section 124D.862:

189.29		$
	55,609,000
	.....
	2014
	
189.30
189.31		$
	62,692,000
63,831,000
	.....
	2015
	
189.32 	The 2014 appropriation includes $0 for 2013 and $55,609,000 for 2014.
190.1 	The 2015 appropriation includes $6,178,000 $6,386,000 for 2014 and $56,514,000 
190.2 	$57,445,000 for 2015.

190.3 	Sec. 9. Laws 2013, chapter 116, article 3, section 37, subdivision 4, as amended by 
190.4 	Laws 2014, chapter 312, article 22, section 6, is amended to read:
190.5 		Subd. 4.Literacy incentive aid. For literacy incentive aid under Minnesota 
190.6 	Statutes, section 124D.98:

190.7		$
	50,998,000
	.....
	2014
	
190.8
190.9		$
	47,458,000
44,839,000
	.....
	2015
	
190.10 	The 2014 appropriation includes $6,607,000 for 2013 and $44,391,000 for 2014.
190.11 	The 2015 appropriation includes $4,932,000 for 2014 and $42,526,000 $39,907,000 
190.12 	for 2015.

190.13 	Sec. 10. Laws 2013, chapter 116, article 3, section 37, subdivision 5, as amended by 
190.14 	Laws 2014, chapter 312, article 22, section 7, is amended to read:
190.15 		Subd. 5.Interdistrict desegregation or integration transportation grants. For 
190.16 	interdistrict desegregation or integration transportation grants under Minnesota Statutes, 
190.17 	section 124D.87:

190.18		$
	13,521,000
	.....
	2014
	
190.19
190.20		$
	14,248,000
14,261,000
	.....
	2015

190.21 	Sec. 11. Laws 2013, chapter 116, article 3, section 37, subdivision 20, as amended by 
190.22 	Laws 2013, chapter 144, section 10, and Laws 2014, chapter 312, article 22, section 9, 
190.23 	is amended to read:
190.24 		Subd. 20.Alternative compensation. For alternative teacher compensation aid 
190.25 	under Minnesota Statutes, section 122A.415, subdivision 4:

190.26
190.27		$
	71,599,000
69,899,000
	.....
	2015
	
190.28 	The 2015 appropriation includes $0 for 2014 and $71,599,000 $69,899,000 for 2015.
190.29 	C. CHARTER SCHOOLS

190.30 	Sec. 12. Laws 2013, chapter 116, article 4, section 9, subdivision 2, as amended by 
190.31 	Laws 2014, chapter 312, article 22, section 10, is amended to read:
191.1 		Subd. 2.Charter school building lease aid. For building lease aid under Minnesota 
191.2 	Statutes, section 124D.11, subdivision 4: 

191.3		$
	54,625,000
	.....
	2014
	
191.4
191.5		$
	58,294,000
59,565,000
	.....
	2015
	
191.6 	The 2014 appropriation includes $6,681,000 for 2013 and $47,944,000 for 2014.
191.7 	The 2015 appropriation includes $5,327,000 $5,270,000 for 2014 and $52,967,000 
191.8 	$54,295,000 for 2015.
191.9 	D. SPECIAL PROGRAMS

191.10 	Sec. 13. Laws 2013, chapter 116, article 5, section 31, subdivision 2, as amended by 
191.11 	Laws 2013, chapter 144, section 14, and Laws 2014, chapter 312, article 22, section 
191.12 	11, is amended to read:
191.13 		Subd. 2.Special education; regular. For special education aid under Minnesota 
191.14 	Statutes, section 125A.75:

191.15		$
	1,038,465,000
	.....
	2014
	
191.16
191.17		$
	1,111,641,000
1,109,144,000
	.....
	2015
	
191.18 	The 2014 appropriation includes $118,183,000 for 2013 and $920,282,000 for 2014.
191.19 	The 2015 appropriation includes $129,549,000 $129,317,000 for 2014 and 
191.20 	$982,092,000 $979,827,000 for 2015.

191.21 	Sec. 14. Laws 2013, chapter 116, article 5, section 31, subdivision 3, as amended by 
191.22 	Laws 2014, chapter 312, article 22, section 12, is amended to read:
191.23 		Subd. 3.Aid for children with disabilities. For aid under Minnesota Statutes, 
191.24 	section 125A.75, subdivision 3, for children with disabilities placed in residential facilities 
191.25 	within the district boundaries for whom no district of residence can be determined:

191.26		$
	1,548,000
	.....
	2014
	
191.27
191.28		$
	1,674,000
1,367,000
	.....
	2015
	
191.29 	If the appropriation for either year is insufficient, the appropriation for the other 
191.30 	year is available.

191.31 	Sec. 15. Laws 2013, chapter 116, article 5, section 31, subdivision 4, as amended by 
191.32 	Laws 2014, chapter 312, article 22, section 13, is amended to read:
192.1 		Subd. 4.Travel for home-based services. For aid for teacher travel for home-based 
192.2 	services under Minnesota Statutes, section 125A.75, subdivision 1:

192.3		$
	351,000
	.....
	2014
	
192.4
192.5		$
	346,000
351,000
	.....
	2015
	
192.6 	The 2014 appropriation includes $45,000 for 2013 and $306,000 for 2014.
192.7 	The 2015 appropriation includes $33,000 for 2014 and $313,000 $318,000 for 2015.
192.8 	E. FACILITIES AND TECHNOLOGY

192.9 	Sec. 16. Laws 2013, chapter 116, article 6, section 12, subdivision 2, as amended by 
192.10 	Laws 2014, chapter 312, article 22, section 15, is amended to read:
192.11 		Subd. 2.Health and safety revenue. For health and safety aid according to 
192.12 	Minnesota Statutes, section 123B.57, subdivision 5:

192.13		$
	471,000
	.....
	2014
	
192.14
192.15		$
	651,000
649,000
	.....
	2015
	
192.16 	The 2014 appropriation includes $24,000 for 2013 and $447,000 for 2014.
192.17 	The 2015 appropriation includes $49,000 for 2014 and $602,000 $600,000 for 2015.

192.18 	Sec. 17. Laws 2013, chapter 116, article 6, section 12, subdivision 6, as amended by 
192.19 	Laws 2014, chapter 312, article 22, section 18, is amended to read:
192.20 		Subd. 6.Deferred maintenance aid. For deferred maintenance aid, according to 
192.21 	Minnesota Statutes, section 123B.591, subdivision 4:

192.22		$
	3,877,000
	.....
	2014
	
192.23
192.24		$
	4,024,000
4,067,000
	.....
	2015
	
192.25 	The 2014 appropriation includes $475,000 for 2013 and $3,402,000 for 2014.
192.26 	The 2015 appropriation includes $378,000 for 2014 and $3,646,000 $3,689,000 
192.27 	for 2015.
192.28 	F. NUTRITION AND LIBRARIES

192.29 	Sec. 18. Laws 2013, chapter 116, article 7, section 21, subdivision 2, as amended by 
192.30 	Laws 2014, chapter 312, article 19, section 5, is amended to read:
192.31 		Subd. 2.School lunch. For school lunch aid according to Minnesota Statutes, 
192.32 	section 124D.111, and Code of Federal Regulations, title 7, section 210.17:

193.1		$
	12,417,000
	.....
	2014
	
193.2
193.3		$
	16,185,000
15,506,000
	.....
	2015

193.4 	Sec. 19. Laws 2013, chapter 116, article 7, section 21, subdivision 3, as amended by 
193.5 	Laws 2014, chapter 312, article 19, section 6, is amended to read:
193.6 		Subd. 3.School breakfast. For traditional school breakfast aid under Minnesota 
193.7 	Statutes, section 124D.1158:

193.8		$
	5,308,000
	.....
	2014
	
193.9193.10
		$
	6,176,000
9,168,000
	.....
	2015

193.11 	Sec. 20. Laws 2013, chapter 116, article 7, section 21, subdivision 4, as amended by 
193.12 	Laws 2014, chapter 312, article 22, section 19, is amended to read:
193.13 		Subd. 4.Kindergarten milk. For kindergarten milk aid under Minnesota Statutes, 
193.14 	section 124D.118:

193.15		$
	992,000
	.....
	2014
	
193.16
193.17		$
	1,002,000
942,000
	.....
	2015
	
193.18 	G. EARLY CHILDHOOD EDUCATION, SELF-SUFFICIENCY, 
193.19 	AND LIFELONG LEARNING

193.20 	Sec. 21. Laws 2013, chapter 116, article 8, section 5, subdivision 3, as amended by 
193.21 	Laws 2014, chapter 312, article 20, section 17, is amended to read:
193.22 		Subd. 3.Early childhood family education aid. For early childhood family 
193.23 	education aid under Minnesota Statutes, section 124D.135:

193.24		$
	22,797,000
	.....
	2014
	
193.25
193.26		$
	26,651,000
26,623,000
	.....
	2015
	
193.27 	The 2014 appropriation includes $3,008,000 for 2013 and $19,789,000 for 2014.
193.28 	The 2015 appropriation includes $2,198,000 for 2014 and $24,453,000 $24,425,000 
193.29 	for 2015.

193.30 	Sec. 22. Laws 2013, chapter 116, article 8, section 5, subdivision 4, as amended by 
193.31 	Laws 2014, chapter 312, article 22, section 23, is amended to read:
193.32 		Subd. 4.Health and developmental screening aid. For health and developmental 
193.33 	screening aid under Minnesota Statutes, sections 121A.17 and 121A.19:

194.1		$
	3,524,000
	.....
	2014
	
194.2
194.3		$
	3,330,000
3,390,000
	.....
	2015
	
194.4 	The 2014 appropriation includes $471,000 for 2013 and $3,053,000 for 2014.
194.5 	The 2015 appropriation includes $339,000 for 2014 and $2,991,000 $3,051,000 
194.6 	for 2015.

194.7 	Sec. 23. Laws 2013, chapter 116, article 8, section 5, subdivision 14, as amended by 
194.8 	Laws 2014, chapter 312, article 20, section 20, is amended to read:
194.9 		Subd. 14.Adult basic education aid. For adult basic education aid under 
194.10 	Minnesota Statutes, section 124D.531:

194.11		$
	48,776,000
	.....
	2014
	
194.12
194.13		$
	48,415,000
47,750,000
	.....
	2015
	
194.14 	The 2014 appropriation includes $6,278,000 for 2013 and $42,498,000 for 2014.
194.15 	The 2015 appropriation includes $4,722,000 $4,712,000 for 2014 and $43,693,000 
194.16 	$43,038,000 for 2015.