1.1 	A bill for an act
1.2 	relating to education finance; providing funding and policy for early childhood 
1.3 	and family, prekindergarten through grade 12, and adult education, including 
1.4 	general education, education excellence, charter schools, special education, early 
1.5 	childhood education, self-sufficiency, lifelong learning, and state agencies; 
1.6 	appropriating money;amending Minnesota Statutes 2014, sections 13.321, 
1.7 	by adding a subdivision; 120B.021, subdivisions 1, 3; 120B.115; 120B.232; 
1.8 	120B.30, subdivision 2, by adding a subdivision; 120B.31, by adding a 
1.9 	subdivision; 120B.35; 120B.36, as amended; 122A.61, by adding a subdivision; 
1.10 	122A.63, subdivision 1; 123B.04, subdivision 2, by adding a subdivision; 
1.11 	123B.53, subdivision 5; 123B.535; 124D.091, subdivisions 2, 3; 124D.1158, 
1.12 	subdivisions 3, 4; 124D.135, subdivision 6, by adding subdivisions; 124D.59, 
1.13 	by adding a subdivision; 124D.68, subdivision 2; 126C.05, subdivision 3; 
1.14 	126C.10, subdivisions 2d, 24; 127A.45, subdivision 6a; Minnesota Statutes 2015 
1.15 	Supplement, sections 120A.41; 120B.021, subdivision 4; 120B.31, subdivision 
1.16 	4; 120B.36, subdivision 1; 122A.21, subdivision 2; 122A.415, subdivision 4; 
1.17 	122A.61, subdivision 1; 123B.595, subdivision 1; 124D.231, subdivision 2; 
1.18 	124D.59, subdivision 2; 124E.10, by adding a subdivision; 125A.08; 125A.11, 
1.19 	subdivision 1; 125A.21, subdivision 3; 125A.76, subdivision 2c; 125A.79, 
1.20 	subdivision 1; 126C.05, subdivision 1; 126C.10, subdivision 13a; 127A.47, 
1.21 	subdivision 7; Laws 2011, First Special Session chapter 11, article 4, section 8; 
1.22 	Laws 2012, chapter 263, sections 1, as amended; 2; Laws 2015, First Special 
1.23 	Session chapter 3, article 1, section 27, subdivisions 2, 4, 5, 6, 7, 9; article 2, 
1.24 	section 70, subdivisions 2, 3, 4, 5, 6, 7, 9, 11, 12, 15, 19, 21, 24; article 3, 
1.25 	section 15, subdivision 3; article 4, sections 4; 9, subdivision 2; article 5, section 
1.26 	30, subdivisions 2, 3, 5; article 6, section 13, subdivisions 2, 3, 6, 7; article 7, 
1.27 	section 7, subdivisions 2, 3, 4; article 9, section 8, subdivisions 5, 6, 7; article 10, 
1.28 	section 3, subdivision 2; article 11, section 3, subdivision 2; article 12, section 
1.29 	4, subdivision 2; proposing coding for new law in Minnesota Statutes, chapters 
1.30 	120B; 122A; 124D; 125B; 136A.
1.31 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

2.1 	ARTICLE 1
2.2 	GENERAL EDUCATION

2.3 	Section 1. Minnesota Statutes 2015 Supplement, section 120A.41, is amended to read:
2.4 	120A.41 LENGTH OF SCHOOL YEAR; HOURS OF INSTRUCTION.
2.5 	A school board's annual school calendar must include at least 425 hours of 
2.6 	instruction for a kindergarten student without a disability, 935 hours of instruction for a 
2.7 	student in grades 1 through 6, and 1,020 hours of instruction for a student in grades 7 
2.8 	through 12, not including summer school. The school calendar for all-day kindergarten 
2.9 	must include at least 850 hours of instruction for the school year. The school calendar for 
2.10 	a prekindergarten student under section 124D.151, if offered by the district, must include 
2.11 	at least 350 hours of instruction for the school year. A school board's annual calendar 
2.12 	must include at least 165 days of instruction for a student in grades 1 through 11 unless a 
2.13 	four-day week schedule has been approved by the commissioner under section 124D.126.

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

2.16 	Sec. 2. Minnesota Statutes 2014, section 124D.1158, subdivision 3, is amended to read:
2.17 		Subd. 3.Program reimbursement. Each school year, the state must reimburse 
2.18 	each participating school 30 cents for each reduced-price breakfast, 55 cents for each fully 
2.19 	paid breakfast served to students in grades 1 to 12, and $1.30 for each fully paid breakfast 
2.20 	served to a prekindergarten student enrolled in an approved voluntary prekindergarten 
2.21 	program under section 124D.151 or a kindergarten student.

2.22 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
2.23 	later.

2.24 	Sec. 3. Minnesota Statutes 2014, section 124D.1158, subdivision 4, is amended to read:
2.25 		Subd. 4.No fees. A school that receives school breakfast aid under this section 
2.26 	must make breakfast available without charge to all participating students in grades 1 
2.27 	to 12 who qualify for free or reduced-price meals and to all prekindergarten students 
2.28 	enrolled in an approved voluntary prekindergarten program under section 124D.151 and 
2.29 	all kindergarten students.

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

3.1 	Sec. 4. [124D.151] VOLUNTARY PREKINDERGARTEN PROGRAM.
3.2 		Subdivision 1.Establishment; purpose. A district, a charter school, a group of 
3.3 	districts, a group of charter schools, or a group of districts and charter schools may 
3.4 	establish a voluntary prekindergarten program. The purpose of a voluntary prekindergarten 
3.5 	program is to prepare children for success as they enter kindergarten in the following year.
3.6 		Subd. 2.Program requirements. (a) A voluntary prekindergarten program 
3.7 	provider must:
3.8 	(1) measure each child's cognitive and social skills using a formative measure 
3.9 	aligned to the state's early learning standards when the child enters and again before the 
3.10 	child leaves the program, screening and progress monitoring measures, and others from 
3.11 	the state-approved menu of kindergarten entry profile measures;
3.12 	(2) provide comprehensive program content including the implementation of 
3.13 	curriculum, assessment, and instructional strategies aligned with the state early learning 
3.14 	standards, and kindergarten through third grade academic standards;
3.15 	(3) provide instructional content and activities that are of sufficient length and 
3.16 	intensity to address learning needs including offering a program with at least 350 hours of 
3.17 	instruction per school year for a prekindergarten student;
3.18 	(4) provide voluntary prekindergarten instructional staff salaries comparable to the 
3.19 	salaries of local kindergarten through grade 12 instructional staff;
3.20 	(5) coordinate appropriate kindergarten transition with families, community-based 
3.21 	prekindergarten programs, and school district kindergarten programs;
3.22 	(6) involve parents in program planning and transition planning by implementing 
3.23 	parent engagement strategies that include culturally and linguistically responsive activities 
3.24 	in prekindergarten through third grade that are aligned with early childhood family 
3.25 	education under section 124D.13;
3.26 	(7) coordinate with relevant community-based services, including health and social 
3.27 	service agencies, to ensure children have access to comprehensive services;
3.28 	(8) coordinate with all relevant school district programs and services including early 
3.29 	childhood special education, homeless students, and English learners;
3.30 	(9) ensure staff-to-child ratios of one-to-ten and a maximum group size of 20 children;
3.31 	(10) provide high-quality coordinated professional development, training, and 
3.32 	coaching for both school district and community-based early learning providers that 
3.33 	is informed by a measure of adult-child interactions and enables teachers to be highly 
3.34 	knowledgeable in early childhood curriculum content, assessment, native and English 
3.35 	language development programs, and instruction; and
4.1 	(11) implement strategies that support the alignment of professional development, 
4.2 	instruction, assessments, and prekindergarten through grade three curricula.
4.3 	(b) A voluntary prekindergarten program must ensure that all classroom teachers 
4.4 	have an early childhood license issued by the Board of Teaching, or special permission, 
4.5 	by the 2022-2023 school year and later.
4.6 	(c) Districts and charter schools must include their strategy for implementing and 
4.7 	measuring the impact of their voluntary prekindergarten program under section 120B.11 
4.8 	and provide results in their world's best workforce annual summary to the commissioner 
4.9 	of education.
4.10 		Subd. 3.Mixed delivery of services. A district or charter school may contract 
4.11 	with a charter school, Head Start or child care centers, family child care programs 
4.12 	licensed under section 245A.03, or a community-based organization to provide eligible 
4.13 	children with developmentally appropriate services that meet the program requirements in 
4.14 	subdivision 2. Components of a mixed-delivery plan include strategies for recruitment, 
4.15 	contracting, and monitoring of fiscal compliance and program quality.
4.16 		Subd. 4.Eligibility. A child who is four years of age as of September 1 in the 
4.17 	calendar year in which the school year commences is eligible to participate in a voluntary 
4.18 	prekindergarten program free of charge. Each eligible child must complete a health and 
4.19 	developmental screening within 90 days of program enrollment under sections 121A.16 to 
4.20 	121A.19, and provide documentation of required immunizations under section 121A.15.
4.21 		Subd. 5.Application process; priority for high poverty schools. (a) To qualify 
4.22 	for program approval for fiscal year 2017, a district or charter school must submit an 
4.23 	application to the commissioner by July 1, 2016. To qualify for program approval for 
4.24 	fiscal year 2018 and later, a district or charter school must submit an application to the 
4.25 	commissioner by January 30 of the fiscal year prior to the fiscal year in which the program 
4.26 	will be implemented. The application must include:
4.27 	(1) a description of the proposed program, including the number of hours per week 
4.28 	the program will be offered at each school site or mixed-delivery location;
4.29 	(2) an estimate of the number of eligible children to be served in the program at each 
4.30 	school site or mixed-delivery location; and
4.31 	(3) a statement of assurances signed by the superintendent or charter school director 
4.32 	that the proposed program meets the requirements of subdivision 2.
4.33 	(b) The commissioner must review all applications submitted for fiscal year 2017 by 
4.34 	August 1, 2016, and must review all applications submitted for fiscal year 2018 and later 
4.35 	by March 1 of the fiscal year in which the applications are received and determine whether 
4.36 	each application meets the requirements of paragraph (a).
5.1 	(c) The commissioner must divide all applications for new or expanded programs 
5.2 	meeting the requirements of paragraph (a) into four groups as follows: the Minneapolis and 
5.3 	St. Paul school districts; other school districts located in the metropolitan equity region as 
5.4 	defined in section 126C.10, subdivision 28; school districts located in the rural equity region 
5.5 	as defined in section 126C.10, subdivision 28; and charter schools. Within each group, the 
5.6 	applications must be ordered by rank using a sliding scale based on the following criteria:
5.7 	(1) concentration of kindergarten students eligible for free or reduced-price lunches 
5.8 	by school site on October 1 of the previous school year. For school district programs to be 
5.9 	operated at locations that do not have free and reduced-price lunch concentration data for 
5.10 	kindergarten programs for October 1 of the previous school year, including mixed-delivery 
5.11 	programs, the school district average concentration of kindergarten students eligible for 
5.12 	free or reduced-price lunches must be used for the rank ordering;
5.13 	(2) presence or absence of a three- or four-star Parent Aware rated program within 
5.14 	the school district or close proximity of the district. School sites with the highest 
5.15 	concentration of kindergarten students eligible for free or reduced-price lunches that 
5.16 	do not have a three- or four-star Parent Aware program within the district or close 
5.17 	proximity of the district shall receive the highest priority, and school sites with the lowest 
5.18 	concentration of kindergarten students eligible for free or reduced-price lunches that have 
5.19 	a three- or four-star Parent Aware rated program within the district or close proximity of 
5.20 	the district shall receive the lowest priority. If a tie exists in the rank order of applications 
5.21 	under this paragraph, the commissioner must give priority among the tied applications to 
5.22 	the applicant with the highest proportion of prekindergarten classroom teachers with an 
5.23 	early childhood license issued by the Board of Teaching.
5.24 	(d) The aid available for the program as specified in subdivision 6, paragraph (b), 
5.25 	must initially be allocated among the four groups based on each group's percentage share 
5.26 	of the statewide kindergarten enrollment on October 1 of the previous school year. Within 
5.27 	each group, the available aid must be allocated among school sites in priority order until 
5.28 	that region's share of the aid limit is reached. If the aid limit is not reached for all groups, 
5.29 	the remaining amount must be allocated to the highest priority school sites, as designated 
5.30 	under this section, not funded in the initial allocation on a statewide basis.
5.31 	(e) Once a school site is approved for aid under this subdivision, it shall remain 
5.32 	eligible for aid if it continues to meet program requirements, regardless of changes in the 
5.33 	concentration of students eligible for free or reduced-price lunches.
5.34 	(f) If the total aid entitlement approved based on applications submitted under 
5.35 	paragraph (a) is less than the aid entitlement limit under subdivision 6, paragraph (b), 
5.36 	the commissioner must notify all school districts and charter schools of the amount that 
6.1 	remains available within 30 days of the initial application deadline under paragraph (a), 
6.2 	and complete a second round of allocations based on applications received within 60 days 
6.3 	of the initial application deadline.
6.4 	(g) Procedures for approving applications submitted under paragraph (f) shall be the 
6.5 	same as specified in paragraphs (a) to (d), except that the allocations shall be made to the 
6.6 	highest priority school sites not funded in the initial allocation on a statewide basis.
6.7 		Subd. 6.Program and aid entitlement limits. (a) Notwithstanding section 
6.8 	126C.05, subdivision 1, paragraph (d), the pupil units for a voluntary prekindergarten 
6.9 	program for an eligible school district or charter school must not exceed 60 percent of the 
6.10 	kindergarten pupil units for that school district or charter school under section 126C.05, 
6.11 	subdivision 1, paragraph (e).
6.12 	(b) In reviewing applications under subdivision 5, the commissioner must limit the 
6.13 	estimated state aid entitlement approved under this section to $27,092,000 for fiscal year 
6.14 	2017, $33,095,000 for fiscal year 2018, and $40,203,000 for fiscal year 2019 and later. If 
6.15 	the actual state aid entitlement based on final data exceeds the limit in any year, the aid of 
6.16 	the participating districts must be prorated so as not to exceed the limit.

6.17 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
6.18 	later.

6.19 	Sec. 5. Minnesota Statutes 2015 Supplement, section 124D.59, subdivision 2, is 
6.20 	amended to read:
6.21 		Subd. 2.English learner. (a) "English learner" means a pupil in kindergarten 
6.22 	through grade 12 or a prekindergarten student enrolled in an approved voluntary 
6.23 	prekindergarten program under section 124D.151 who meets the requirements under 
6.24 	subdivision 2a or the following requirements:
6.25 	(1) the pupil, as declared by a parent or guardian first learned a language other than 
6.26 	English, comes from a home where the language usually spoken is other than English, or 
6.27 	usually speaks a language other than English; and
6.28 	(2) the pupil is determined by a valid assessment measuring the pupil's English 
6.29 	language proficiency and by developmentally appropriate measures, which might include 
6.30 	observations, teacher judgment, parent recommendations, or developmentally appropriate 
6.31 	assessment instruments, to lack the necessary English skills to participate fully in 
6.32 	academic classes taught in English.
6.33 	(b) A pupil enrolled in a Minnesota public school in any grade 4 through 12 who in 
6.34 	the previous school year took a commissioner-provided assessment measuring the pupil's 
6.35 	emerging academic English, shall be counted as an English learner in calculating English 
7.1 	learner pupil units under section 126C.05, subdivision 17, and shall generate state English 
7.2 	learner aid under section 124D.65, subdivision 5, if the pupil scored below the state cutoff 
7.3 	score or is otherwise counted as a nonproficient participant on the assessment measuring 
7.4 	the pupil's emerging academic English, or, in the judgment of the pupil's classroom 
7.5 	teachers, consistent with section 124D.61, clause (1), the pupil is unable to demonstrate 
7.6 	academic language proficiency in English, including oral academic language, sufficient to 
7.7 	successfully and fully participate in the general core curriculum in the regular classroom.
7.8 	(c) Notwithstanding paragraphs (a) and (b), a pupil in kindergarten prekindergarten 
7.9 	under section 124D.151,  through grade 12 shall not be counted as an English learner in 
7.10 	calculating English learner pupil units under section 126C.05, subdivision 17, and shall 
7.11 	not generate state English learner aid under section 124D.65, subdivision 5, if:
7.12 	(1) the pupil is not enrolled during the current fiscal year in an educational program 
7.13 	for English learners under sections 124D.58 to 124D.64; or
7.14 	(2) the pupil has generated seven or more years of average daily membership in 
7.15 	Minnesota public schools since July 1, 1996.

7.16 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
7.17 	later.

7.18 	Sec. 6. Minnesota Statutes 2014, section 124D.68, subdivision 2, is amended to read:
7.19 		Subd. 2.Eligible pupils. (a) A pupil under the age of 21 or who meets the 
7.20 	requirements of section 120A.20, subdivision 1, paragraph (c), is eligible to participate in 
7.21 	the graduation incentives program, if the pupil:
7.22 	(1) performs substantially below the performance level for pupils of the same age 
7.23 	in a locally determined achievement test;
7.24 	(2) is behind in satisfactorily completing coursework or obtaining credits for 
7.25 	graduation;
7.26 	(3) is pregnant or is a parent;
7.27 	(4) has been assessed as chemically dependent;
7.28 	(5) has been excluded or expelled according to sections 121A.40 to 121A.56;
7.29 	(6) has been referred by a school district for enrollment in an eligible program or 
7.30 	a program pursuant to section 124D.69;
7.31 	(7) is a victim of physical or sexual abuse;
7.32 	(8) has experienced mental health problems;
7.33 	(9) has experienced homelessness sometime within six months before requesting a 
7.34 	transfer to an eligible program;
7.35 	(10) speaks English as a second language or is an English learner; or
8.1 	(11) has withdrawn from school or has been chronically truant; or
8.2 	(12) is being treated in a hospital in the seven-county metropolitan area for cancer or 
8.3 	other life threatening illness or is the sibling of an eligible pupil who is being currently 
8.4 	treated, and resides with the pupil's family at least 60 miles beyond the outside boundary 
8.5 	of the seven-county metropolitan area.
8.6 	(b) For the 2016-2017 school year only, a pupil otherwise qualifying under 
8.7 	paragraph (a) who is at least 21 years of age and not yet 22 years of age and is an English 
8.8 	learner with an interrupted formal education according to section 124D.59, subdivision 2a, 
8.9 	is eligible to participate in the graduation incentives program under section 124D.68 and 
8.10 	in concurrent enrollment courses offered under section 124D.09, subdivision 10, and is 
8.11 	funded in the same manner as other pupils under this section.

8.12 	Sec. 7. Minnesota Statutes 2015 Supplement, section 126C.05, subdivision 1, is 
8.13 	amended to read:
8.14 		Subdivision 1.Pupil unit. Pupil units for each Minnesota resident pupil under the 
8.15 	age of 21 or who meets the requirements of section 120A.20, subdivision 1, paragraph 
8.16 	(c), in average daily membership enrolled in the district of residence, in another district 
8.17 	under sections 123A.05 to 123A.08, 124D.03, 124D.08, or 124D.68; in a charter school 
8.18 	under chapter 124E; or for whom the resident district pays tuition under section 123A.18, 
8.19 	123A.22, 123A.30, 123A.32, 123A.44, 123A.488, 123B.88, subdivision 4, 124D.04, 
8.20 	124D.05, 125A.03 to 125A.24, 125A.51, or 125A.65, shall be counted according to this 
8.21 	subdivision.
8.22 	(a) A prekindergarten pupil with a disability who is enrolled in a program approved 
8.23 	by the commissioner and has an individualized education program is counted as the ratio 
8.24 	of the number of hours of assessment and education service to 825 times 1.0 with a 
8.25 	minimum average daily membership of 0.28, but not more than 1.0 pupil unit.
8.26 	(b) A prekindergarten pupil who is assessed but determined not to be disabled is 
8.27 	counted as the ratio of the number of hours of assessment service to 825 times 1.0.
8.28 	(c) A kindergarten pupil with a disability who is enrolled in a program approved 
8.29 	by the commissioner is counted as the ratio of the number of hours of assessment and 
8.30 	education services required in the fiscal year by the pupil's individualized education 
8.31 	program to 875, but not more than one.
8.32 	(d) A prekindergarten pupil who is not included in paragraph (a) or (b) and is 
8.33 	enrolled in an approved voluntary prekindergarten program under section 124D.151 is 
8.34 	counted as the ratio of the number of hours of instruction to 850 times 1.0, but not more 
8.35 	than 0.6 pupil units.
9.1 	(d) (e) A kindergarten pupil who is not included in paragraph (c) is counted as 1.0 
9.2 	pupil unit if the pupil is enrolled in a free all-day, every day kindergarten program available 
9.3 	to all kindergarten pupils at the pupil's school that meets the minimum hours requirement in 
9.4 	section 120A.41, or is counted as .55 pupil unit, if the pupil is not enrolled in a free all-day, 
9.5 	every day kindergarten program available to all kindergarten pupils at the pupil's school.
9.6 	(e) (f) A pupil who is in any of grades 1 to 6 is counted as 1.0 pupil unit.
9.7 	(f) (g) A pupil who is in any of grades 7 to 12 is counted as 1.2 pupil units.
9.8 	(g) (h) A pupil who is in the postsecondary enrollment options program is counted 
9.9 	as 1.2 pupil units.

9.10 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
9.11 	later.

9.12 	Sec. 8. Minnesota Statutes 2014, section 126C.05, subdivision 3, is amended to read:
9.13 		Subd. 3.Compensation revenue pupil units. Compensation revenue pupil units 
9.14 	for fiscal year 1998 and thereafter must be computed according to this subdivision.
9.15 	(a) The compensation revenue concentration percentage for each building in a 
9.16 	district equals the product of 100 times the ratio of:
9.17 	(1) the sum of the number of pupils enrolled in the building eligible to receive free 
9.18 	lunch plus one-half of the pupils eligible to receive reduced priced lunch on October 
9.19 	1 of the previous fiscal year; to
9.20 	(2) the number of pupils enrolled in the building on October 1 of the previous fiscal 
9.21 	year.
9.22 	(b) The compensation revenue pupil weighting factor for a building equals the 
9.23 	lesser of one or the quotient obtained by dividing the building's compensation revenue 
9.24 	concentration percentage by 80.0.
9.25 	(c) The compensation revenue pupil units for a building equals the product of:
9.26 	(1) the sum of the number of pupils enrolled in the building eligible to receive free 
9.27 	lunch and one-half of the pupils eligible to receive reduced priced lunch on October 1 
9.28 	of the previous fiscal year; times
9.29 	(2) the compensation revenue pupil weighting factor for the building; times
9.30 	(3) .60.
9.31 	(d) Notwithstanding paragraphs (a) to (c), for voluntary prekindergarten programs 
9.32 	under section 124D.151, charter schools, and contracted alternative programs in the 
9.33 	first year of operation, compensation revenue pupil units shall be computed using data 
9.34 	for the current fiscal year. If the voluntary prekindergarten program, charter school, or 
9.35 	contracted alternative program begins operation after October 1, compensatory revenue 
10.1 	pupil units shall be computed based on pupils enrolled on an alternate date determined by 
10.2 	the commissioner, and the compensation revenue pupil units shall be prorated based on 
10.3 	the ratio of the number of days of student instruction to 170 days.
10.4 	(e) The percentages in this subdivision must be based on the count of individual 
10.5 	pupils and not on a building average or minimum.

10.6 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
10.7 	later.

10.8 	Sec. 9. Minnesota Statutes 2014, section 126C.10, subdivision 2d, is amended to read:
10.9 		Subd. 2d.Declining enrollment revenue. (a) A school district's declining 
10.10 	enrollment revenue equals the greater of zero or the product of: (1) 28 percent of the 
10.11 	formula allowance for that year and (2) the difference between the adjusted pupil units for 
10.12 	the preceding year and the adjusted pupil units for the current year.
10.13 	(b) Notwithstanding paragraph (a), for fiscal years 2015, 2016, and 2017 only, a pupil 
10.14 	enrolled at the Crosswinds school shall not generate declining enrollment revenue for the 
10.15 	district or charter school in which the pupil was last counted in average daily membership.
10.16 	(c) Notwithstanding paragraph (a), for fiscal years 2017, 2018, and 2019 only, 
10.17 	prekindergarten pupil units under section 126C.05, subdivision 1, paragraph (d), must be 
10.18 	excluded from the calculation of declining enrollment revenue.

10.19 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
10.20 	later.

10.21 	Sec. 10. Minnesota Statutes 2015 Supplement, section 126C.10, subdivision 13a, 
10.22 	is amended to read:
10.23 		Subd. 13a.Operating capital levy. To obtain operating capital revenue, a district 
10.24 	may levy an amount not more than the product of its operating capital revenue for the 
10.25 	fiscal year times the lesser of one or the ratio of its adjusted net tax capacity per adjusted 
10.26 	pupil unit to the operating capital equalizing factor. The operating capital equalizing factor 
10.27 	equals $14,500 for fiscal years 2015 and 2016, $14,740 $16,680 for fiscal year 2017, 
10.28 	$17,473 $21,523 for fiscal year 2018, and $20,510 $27,678 for fiscal year 2019 and later.

10.29 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
10.30 	later.

10.31 	Sec. 11. Minnesota Statutes 2014, section 126C.10, subdivision 24, is amended to read:
10.32 		Subd. 24.Equity revenue. (a) A school district qualifies for equity revenue if:
11.1 	(1) the school district's adjusted pupil unit amount of basic revenue, transition 
11.2 	revenue, and referendum revenue is less than the value of the school district at or 
11.3 	immediately above the 95th percentile of school districts in its equity region for those 
11.4 	revenue categories; and
11.5 	(2) the school district's administrative offices are not located in a city of the first 
11.6 	class on July 1, 1999.
11.7 	(b) Equity revenue for a qualifying district that receives referendum revenue under 
11.8 	section 126C.17, subdivision 4, equals the product of (1) the district's adjusted pupil 
11.9 	units for that year; times (2) the sum of (i) $14, plus (ii) $80, times the school district's 
11.10 	equity index computed under subdivision 27.
11.11 	(c) Equity revenue for a qualifying district that does not receive referendum revenue 
11.12 	under section 126C.17, subdivision 4, equals the product of the district's adjusted pupil 
11.13 	units for that year times $14.
11.14 	(d) A school district's equity revenue is increased by the greater of zero or an amount 
11.15 	equal to the district's adjusted pupil units times the difference between ten percent of the 
11.16 	statewide average amount of referendum revenue per adjusted pupil unit for that year and 
11.17 	the district's referendum revenue per adjusted pupil unit. A school district's revenue under 
11.18 	this paragraph must not exceed $100,000 for that year.
11.19 	(e) A school district's equity revenue for a school district located in the metro equity 
11.20 	region with any of its area located within Anoka, Carver, Dakota, Hennepin, Ramsey, 
11.21 	Scott, or Washington County equals the amount computed in paragraphs (b), (c), and (d) 
11.22 	multiplied by 1.25.
11.23 	(f) A school district's additional equity revenue equals $50 times its adjusted pupil 
11.24 	units.

11.25 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2018 and 
11.26 	later.

11.27 	Sec. 12. Laws 2011, First Special Session chapter 11, article 4, section 8, is amended to 
11.28 	read:
11.29 	Sec. 8. EARLY REPAYMENT.
 11.30 	(a) A school district that received a maximum effort capital loan prior to January 
11.31 	1, 1997, may repay the full outstanding original principal on its capital loan prior to 
11.32 	July 1, 2012, and the liability of the district on the loan is satisfied and discharged and 
11.33 	interest on the loan ceases.
11.34 	(b) A school district with an outstanding capital loan balance that received a 
11.35 	maximum effort capital loan prior to January 1, 2007, may repay to the commissioner of 
12.1 	education by November 30, 2016, the full outstanding original principal on its capital 
12.2 	loan and the liability of the district on the loan is satisfied and discharged and interest 
12.3 	on the loan ceases.

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

12.5 	Sec. 13. Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 
12.6 	2, is amended to read:
12.7 		Subd. 2.General education aid. For general education aid under Minnesota 
12.8 	Statutes, section 126C.13, subdivision 4:

12.912.10
		$  
	6,624,310,000
6,649,435,000
	.....
	2016
	
12.11
12.12		$ 
	6,761,574,000
6,815,589,000
	.....
	2017
	
12.13 	The 2016 appropriation includes $622,908,000 for 2015 and $6,001,405,000
12.14 	$6,026,527,000 for 2016.
12.15 	The 2017 appropriation includes $638,812,000 $641,412,000 for 2016 and 
12.16 	$6,122,762,000 $6,174,177,000 for 2017.

12.17 	Sec. 14. Laws 2015, First Special Session chapter 3, article 7, section 7, subdivision 2, 
12.18 	is amended to read:
12.19 		Subd. 2.School lunch. For school lunch aid according to Minnesota Statutes, 
12.20 	section 124D.111, and Code of Federal Regulations, title 7, section 210.17:

12.21
12.22		$
	15,661,000
16,251,000
	.....
	2016
	
12.23
12.24		$
	15,818,000
16,775,000
	.....
	2017

12.25 	Sec. 15. Laws 2015, First Special Session chapter 3, article 7, section 7, subdivision 3, 
12.26 	is amended to read:
12.27 		Subd. 3.School breakfast. For traditional school breakfast aid under Minnesota 
12.28 	Statutes, section 124D.1158:

12.29
12.30		$
	9,731,000
9,457,000
	.....
	2016
	
12.31
12.32		$
	10,361,000
10,365,000
	.....
	2017

12.33 	Sec. 16. RECIPROCITY AGREEMENT EXEMPTION; HENDRICKS.
 13.1 	Notwithstanding Minnesota Statutes, sections 124D.04, subdivision 6, paragraph 
13.2 	(b); 124D.041, subdivision 3, paragraph (b); and 124D.05, subdivision 2a, the provisions 
13.3 	of Minnesota Statutes, section 124D.041, and the agreement shall not apply to Independent 
13.4 	School District No. 402, Hendricks.

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

13.7 	ARTICLE 2
13.8 	EDUCATION EXCELLENCE

13.9 	Section 1. Minnesota Statutes 2014, section 13.321, is amended by adding a 
13.10 	subdivision to read:
13.11 		Subd. 11.Student-user privacy requirements. Section 125B.27 governs privacy 
13.12 	and information practices of online educational services.

13.13 	Sec. 2. Minnesota Statutes 2014, section 120B.021, subdivision 1, is amended to read:
13.14 		Subdivision 1.Required academic standards. (a) The following subject areas 
13.15 	are required for statewide accountability:
13.16 	(1) language arts;
13.17 	(2) mathematics;
13.18 	(3) science;
13.19 	(4) social studies, including history, geography, economics, and government and 
13.20 	citizenship;
13.21 	(5) physical education;
13.22 	(6) health, for which locally developed academic standards apply; and
13.23 	(7) the arts, for which statewide or locally developed academic standards apply, as 
13.24 	determined by the school district. Public elementary and middle schools must offer at least 
13.25 	three and require at least two of the following four arts areas: dance; music; theater; and 
13.26 	visual arts. Public high schools must offer at least three and require at least one of the 
13.27 	following five arts areas: media arts; dance; music; theater; and visual arts.
13.28 	(b) For purposes of applicable federal law, the academic standards for language arts, 
13.29 	mathematics, and science apply to all public school students, except the very few students 
13.30 	with extreme cognitive or physical impairments for whom an individualized education 
13.31 	program team has determined that the required academic standards are inappropriate. An 
13.32 	individualized education program team that makes this determination must establish 
13.33 	alternative standards.
14.1 	(c) The department must adopt the most recent National Association of Sport and 
14.2 	Physical Education kindergarten through grade 12 standards and benchmarks for physical 
14.3 	education as the required physical education academic standards. The department may 
14.4 	modify and adapt the national standards to accommodate state interest. The modification 
14.5 	and adaptations must maintain the purpose and integrity of the national standards. The 
14.6 	department must make available sample assessments for school districts to assess students' 
14.7 	mastery of the physical education standards beginning in the 2018-2019 school year.
14.8 	(c)(d) District efforts to develop, implement, or improve instruction or curriculum 
14.9 	as a result of the provisions of this section must be consistent with sections 120B.10, 
14.10 	120B.11, and 120B.20.

14.11 	Sec. 3. Minnesota Statutes 2014, section 120B.021, subdivision 3, is amended to read:
14.12 		Subd. 3.Rulemaking. The commissioner, consistent with the requirements of 
14.13 	this section and section 120B.022, must adopt statewide rules under section 14.389 for 
14.14 	implementing statewide rigorous core academic standards in language arts, mathematics, 
14.15 	science, social studies, physical education, and the arts. After the rules authorized under 
14.16 	this subdivision are initially adopted, the commissioner may not amend or repeal these 
14.17 	rules nor adopt new rules on the same topic without specific legislative authorization. The 
14.18 	academic standards for language arts, mathematics, and the arts must be implemented for 
14.19 	all students beginning in the 2003-2004 school year. The academic standards for science 
14.20 	and social studies must be implemented for all students beginning in the 2005-2006 school 
14.21 	year.

14.22 	Sec. 4. Minnesota Statutes 2015 Supplement, section 120B.021, subdivision 4, is 
14.23 	amended to read:
14.24 		Subd. 4.Revisions and reviews required. (a) The commissioner of education must 
14.25 	revise and appropriately embed technology and information literacy standards consistent 
14.26 	with recommendations from school media specialists into the state's academic standards 
14.27 	and graduation requirements and implement a ten-year cycle to review and, consistent 
14.28 	with the review, revise state academic standards and related benchmarks, consistent with 
14.29 	this subdivision. During each ten-year review and revision cycle, the commissioner also 
14.30 	must examine the alignment of each required academic standard and related benchmark 
14.31 	with the knowledge and skills students need for career and college readiness and advanced 
14.32 	work in the particular subject area. The commissioner must include the contributions of 
14.33 	Minnesota American Indian tribes and communities as related to the academic standards 
14.34 	during the review and revision of the required academic standards.
15.1 	(b) The commissioner must ensure that the statewide mathematics assessments 
15.2 	administered to students in grades 3 through 8 and 11 are aligned with the state academic 
15.3 	standards in mathematics, consistent with section 120B.30, subdivision 1, paragraph 
15.4 	(b). The commissioner must implement a review of the academic standards and related 
15.5 	benchmarks in mathematics beginning in the 2020-2021 school year and every ten years 
15.6 	thereafter.
15.7 	(c) The commissioner must implement a review of the academic standards and related 
15.8 	benchmarks in arts beginning in the 2016-2017 school year and every ten years thereafter.
15.9 	(d) The commissioner must implement a review of the academic standards and 
15.10 	related benchmarks in science beginning in the 2017-2018 school year and every ten 
15.11 	years thereafter.
15.12 	(e) The commissioner must implement a review of the academic standards and 
15.13 	related benchmarks in language arts beginning in the 2018-2019 school year and every 
15.14 	ten years thereafter.
15.15 	(f) The commissioner must implement a review of the academic standards and 
15.16 	related benchmarks in social studies beginning in the 2019-2020 school year and every 
15.17 	ten years thereafter.
15.18 	(g) The commissioner must implement a review of the academic standards and 
15.19 	related benchmarks in physical education beginning in the 2024-2025 school year and 
15.20 	every ten years thereafter.
15.21 	(h) School districts and charter schools must revise and align local academic 
15.22 	standards and high school graduation requirements in health, world languages, and career 
15.23 	and technical education to require students to complete the revised standards beginning 
15.24 	in a school year determined by the school district or charter school. School districts and 
15.25 	charter schools must formally establish a periodic review cycle for the academic standards 
15.26 	and related benchmarks in health, world languages, and career and technical education.

15.27 	Sec. 5. [120B.026] PHYSICAL EDUCATION.
15.28 		Subdivision 1.Exclusion from class; recess. A student may be excused from a 
15.29 	physical education class if the student submits written information signed by a physician 
15.30 	stating that physical activity will jeopardize the student's health. A student may be 
15.31 	excused from a physical education class if being excused meets the child's unique and 
15.32 	individualized needs according to the child's individualized education program, federal 
15.33 	504 plan, or individualized health plan. A student may be excused if a parent or guardian 
15.34 	requests an exemption on religious grounds. A student with a disability must be provided 
15.35 	with modifications or adaptations that allow physical education class to meet their needs. 
16.1 	Schools are strongly encouraged not to exclude students in kindergarten through grade 
16.2 	5 from recess due to punishment or disciplinary action.
16.3 		Subd. 2.Teachers. Physical education must be taught by teachers who are licensed 
16.4 	to teach physical education. A physical education teacher shall be adequately prepared 
16.5 	and regularly participate in professional development activities under section 122A.60.

16.6 	Sec. 6. Minnesota Statutes 2014, section 120B.232, is amended to read:
16.7 	120B.232 CHARACTER DEVELOPMENT EDUCATION.
16.8 		Subdivision 1.Character development education. (a) The legislature encourages 
16.9 	districts to integrate or offer instruction on character education including, but not limited 
16.10 	to, character qualities such as attentiveness, truthfulness, respect for authority, diligence, 
16.11 	gratefulness, self-discipline, patience, forgiveness, respect for others, peacemaking, and 
16.12 	resourcefulness. Instruction should be integrated into a district's existing programs, 
16.13 	curriculum, or the general school environment. The commissioner shall provide assistance 
16.14 	at the request of a district to develop character education curriculum and programs.
16.15 	(b) Character development education under paragraph (a) may include a voluntary 
16.16 	elementary, middle, and high school program that incorporates the history and values of 
16.17 	Congressional Medal of Honor recipients and may be offered as part of the social studies, 
16.18 	English language arts, or other curriculum, as a schoolwide character building and veteran 
16.19 	awareness initiative, or as an after-school program, among other possibilities.
16.20 		Subd. 1a.Staff development; continuing education. (a) Staff development 
16.21 	opportunities under section 122A.60 may include training in character development 
16.22 	education that incorporates the history and values of Congressional Medal of Honor 
16.23 	recipients under subdivision 1, paragraph (b), and is provided without cost to the interested 
16.24 	school or district.
16.25 	(b) Local continuing education and relicensure committees or other local relicensure 
16.26 	committees under section 122A.18, subdivision 4, are encouraged to approve up to six 
16.27 	clock hours of continuing education for licensed teachers who complete the training in 
16.28 	character development education under paragraph (a).
16.29 		Subd. 2.Funding sources. The commissioner must first use federal funds for 
16.30 	character development education programs to the extent available under United States 
16.31 	Code, title 20, section 7247. Districts may accept funds from private and other public 
16.32 	sources for character development education programs developed and implemented under 
16.33 	this section, including programs funded through the Congressional Medal of Honor 
16.34 	Foundation, among other sources.

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

17.2 	Sec. 7. Minnesota Statutes 2014, section 120B.30, subdivision 2, is amended to read:
17.3 		Subd. 2.Department of Education assistance. (a) The Department of Education 
17.4 	shall contract for professional and technical services according to competitive solicitation 
17.5 	procedures under chapter 16C for purposes of this section.
17.6 	(b) A proposal submitted under this section must include disclosures containing:
17.7 	(1) comprehensive information regarding test administration monitoring practices; 
17.8 	and
17.9 	(2) data privacy safeguards for student information to be transmitted to or used 
17.10 	by the proposing entity.
17.11 	Information provided in the proposal is not security information or trade secret information 
17.12 	for purposes of section 13.37.

17.13 	Sec. 8. Minnesota Statutes 2014, section 120B.30, is amended by adding a subdivision 
17.14 	to read:
17.15 		Subd. 6.Database. The commissioner shall establish a reporting system for 
17.16 	teachers, administrators, and students to report service disruptions and technical 
17.17 	interruptions. The information reported through this system shall be maintained in a 
17.18 	database accessible through the department's Web site.

17.19 	Sec. 9. Minnesota Statutes 2015 Supplement, section 120B.31, subdivision 4, is 
17.20 	amended to read:
17.21 		Subd. 4. Student performance data. In developing policies and assessment 
17.22 	processes to hold schools and districts accountable for high levels of academic standards 
17.23 	under section 120B.021, the commissioner shall aggregate and disaggregate student 
17.24 	data over time to report summary student performance and growth levels and, under 
17.25 	section 120B.11, subdivision 2, clause (2), student learning and outcome data measured 
17.26 	at the school, school district, and statewide level. When collecting and reporting the 
17.27 	performance data, The commissioner shall use the student categories identified under 
17.28 	the federal Elementary and Secondary Education Act, as most recently reauthorized, 
17.29 	to organize and report the data so that state and local policy makers can understand 
17.30 	the educational implications of changes in districts' demographic profiles over time, 
17.31 	including student categories of homelessness; ethnicity; race; home language; immigrant; 
17.32 	refugee status; English language learners under section 124D.59; free or reduced-price 
17.33 	lunch; and other categories designated by federal law, as data are available, among other 
18.1 	demographic factors. Any report the commissioner disseminates containing summary data 
18.2 	on student performance must integrate student performance and the demographic factors 
18.3 	that strongly correlate with that performance.

18.4 	EFFECTIVE DATE. This section is effective for the 2017-2018 school year and 
18.5 	later.

18.6 	Sec. 10. Minnesota Statutes 2014, section 120B.31, is amended by adding a 
18.7 	subdivision to read:
18.8 		Subd. 6.Test preparation costs.  The department must annually compile and 
18.9 	publish data relating to expenditures by school districts for preparation of all assessments 
18.10 	administered pursuant to section 120B.30, including the costs of materials and staff time.

18.11 	Sec. 11. Minnesota Statutes 2014, section 120B.35, is amended to read:
18.12 	120B.35 STUDENT ACADEMIC ACHIEVEMENT AND GROWTH.
18.13 		Subdivision 1.School and Student indicators of growth and achievement.
 18.14 	The commissioner must develop and implement a system for measuring and reporting 
18.15 	academic achievement and individual student growth, consistent with the statewide 
18.16 	educational accountability and reporting system. The system components must measure 
18.17 	and separately report the adequate yearly progress of schools and the growth of individual 
18.18 	students: students' current achievement in schools under subdivision 2; and individual 
18.19 	students' educational growth over time under subdivision 3. The system also must include 
18.20 	statewide measures of student academic growth that identify schools with high levels 
18.21 	of growth, and also schools with low levels of growth that need improvement. When 
18.22 	determining a school's effect, The data must include both statewide measures of student 
18.23 	achievement and, to the extent annual tests are administered, indicators of achievement 
18.24 	growth that take into account a student's prior achievement. Indicators of achievement and 
18.25 	prior achievement must be based on highly reliable statewide or districtwide summative, 
18.26 	interim, or formative assessments. Indicators that take into account a student's prior 
18.27 	achievement must not be used to disregard a school's low achievement or to exclude a 
18.28 	school from a program to improve low achievement levels.
18.29 		Subd. 2.Federal Expectations for student academic achievement. (a) Each 
18.30 	school year, a school district must determine if the student achievement levels at each 
18.31 	school site meet federal expectations. If student achievement levels at a school site do 
18.32 	not meet federal expectations and the site has not made adequate yearly progress for two 
18.33 	consecutive school years, beginning with the 2001-2002 school year, the district must 
19.1 	work with the school site to adopt a plan to raise student achievement levels to meet 
19.2 	federal expectations. The commissioner of education shall establish student academic 
19.3 	achievement levels to comply with this paragraph.
19.4 	(b) School sites identified as not meeting federal expectations must develop 
19.5 	continuous improvement plans in order to meet federal expectations for student academic 
19.6 	achievement. The department, at a district's request, must assist the district and the school 
19.7 	site sites in developing a plan to improve student achievement. The plan must include 
19.8 	parental involvement components.
19.9 	(c) The commissioner must:
19.10 	(1) assist school sites and districts identified as not meeting federal expectations; and
19.11 	(2) provide technical assistance to schools that integrate student achievement 
19.12 	measures into the school continuous improvement plan.
19.13 	(d) The commissioner shall establish and maintain a continuous improvement Web 
19.14 	site designed to make aggregated and disaggregated student growth and, under section 
19.15 	120B.11, subdivision 2, clause (2), student learning and outcome data on every school 
19.16 	and district available to parents, teachers, administrators, community members, and the 
19.17 	general public, consistent with this section.
19.18 		Subd. 3.State growth target; other state measures. (a) The state's educational 
19.19 	assessment system measuring individual students' educational growth is based on 
19.20 	indicators of achievement growth that show an individual student's prior achievement. 
19.21 	Indicators of achievement and prior achievement must be based on highly reliable 
19.22 	statewide or districtwide summative, interim, or formative assessments.
19.23 	(b) The commissioner, in consultation with a stakeholder group that includes 
19.24 	assessment and evaluation directors, district staff, experts in culturally responsive teaching, 
19.25 	and researchers, must implement a model that uses a value-added growth indicator and 
19.26 	includes criteria for identifying schools and school districts that demonstrate medium and 
19.27 	high growth under section 120B.299, subdivisions 8 and 9, and may recommend other 
19.28 	value-added measures under section 120B.299, subdivision 3. The model may be used 
19.29 	to advance educators' professional development and replicate programs that succeed in 
19.30 	meeting students' diverse learning needs. Data on individual teachers generated under the 
19.31 	model are personnel data under section 13.43. The model must allow users to:
19.32 	(1) report student growth consistent with this paragraph; and
19.33 	(2) for all student categories, report and compare aggregated and disaggregated state 
19.34 	student growth and, under section 120B.11, subdivision 2, clause (2), student learning 
19.35 	and outcome data using the nine student categories identified under the federal 2001 No 
19.36 	Child Left Behind Act and two student gender categories of male and female, respectively, 
20.1 	following appropriate reporting practices to protect nonpublic student data Elementary 
20.2 	and Secondary Education Act, as most recently reauthorized, and, in addition to the Karen 
20.3 	community, other student categories as determined by the total Minnesota population 
20.4 	at or above the 1,000-person threshold based on the most recent decennial census, 
20.5 	including ethnicity; race; refugee status; English language learners under section 124D.59; 
20.6 	home language; free or reduced-price lunch; immigrant; and all students enrolled in a 
20.7 	Minnesota public school who are currently or were previously in foster care, except that 
20.8 	such disaggregation and cross tabulation is not required if the number of students in a 
20.9 	category is insufficient to yield statistically reliable information or the results would reveal 
20.10 	personally identifiable information about an individual student.
20.11 	The commissioner must report measures of student growth and, under section 
20.12 	120B.11, subdivision 2, clause (2), student learning and outcome data, consistent with 
20.13 	this paragraph, including the English language development, academic progress, and oral 
20.14 	academic development of English learners and their native language development if the 
20.15 	native language is used as a language of instruction, and include data on all pupils enrolled 
20.16 	in a Minnesota public school course or program who are currently or were previously 
20.17 	counted as an English learner under section 124D.59.
20.18 	(c) When reporting student performance under section 120B.36, subdivision 1, the 
20.19 	commissioner annually, beginning July 1, 2011, must report two core measures indicating 
20.20 	the extent to which current high school graduates are being prepared for postsecondary 
20.21 	academic and career opportunities:
20.22 	(1) a preparation measure indicating the number and percentage of high school 
20.23 	graduates in the most recent school year who completed course work important to 
20.24 	preparing them for postsecondary academic and career opportunities, consistent with 
20.25 	the core academic subjects required for admission to Minnesota's public colleges and 
20.26 	universities as determined by the Office of Higher Education under chapter 136A; and
20.27 	(2) a rigorous coursework measure indicating the number and percentage of high 
20.28 	school graduates in the most recent school year who successfully completed one or more 
20.29 	college-level advanced placement, international baccalaureate, postsecondary enrollment 
20.30 	options including concurrent enrollment, other rigorous courses of study under section 
20.31 	120B.021, subdivision 1a, or industry certification courses or programs.
20.32 	When reporting the core measures under clauses (1) and (2), the commissioner must also 
20.33 	analyze and report separate categories of information using the nine student categories 
20.34 	identified under the federal 2001 No Child Left Behind Act and two student gender 
20.35 	categories of male and female, respectively, following appropriate reporting practices 
20.36 	to protect nonpublic student data. Elementary and Secondary Education Act, as most 
21.1 	recently reauthorized, and, in addition to the Karen community, other student categories 
21.2 	as determined by the total Minnesota population at or above the 1,000-person threshold 
21.3 	based on the most recent decennial census, including ethnicity; race; refugee status; 
21.4 	English language learners under section 124D.59; home language; free or reduced-price 
21.5 	lunch; immigrant; and all students enrolled in a Minnesota public school who are currently 
21.6 	or were previously enrolled in foster care, except that such disaggregation and cross 
21.7 	tabulation is not required if the number of students in a category is insufficient to yield 
21.8 	statistically reliable information or the results would reveal personally identifiable 
21.9 	information about an individual student.
21.10 	(d) When reporting student performance under section 120B.36, subdivision 1, the 
21.11 	commissioner annually, beginning July 1, 2014, must report summary data on school 
21.12 	safety and students' engagement and connection at school. The commissioner must 
21.13 	also analyze and report separate categories of information using the student categories 
21.14 	identified under the federal Elementary and Secondary Education Act, as most recently 
21.15 	reauthorized, and, in addition to the Karen community, other student categories as 
21.16 	determined by the total Minnesota population at or above the 1,000-person threshold based 
21.17 	on the most recent decennial census, including ethnicity; race; English language learners 
21.18 	under section 124D.59; home language; free or reduced-price lunch; immigrant; refugee 
21.19 	status; and all students enrolled in a Minnesota public school who are currently or were 
21.20 	previously enrolled in foster care, except that such disaggregation and cross tabulation 
21.21 	is not required if the number of students in a category is insufficient to yield statistically 
21.22 	reliable information or the results would reveal personally identifiable information about 
21.23 	an individual student. The summary data under this paragraph are separate from and 
21.24 	must not be used for any purpose related to measuring or evaluating the performance 
21.25 	of classroom teachers. The commissioner, in consultation with qualified experts on 
21.26 	student engagement and connection and classroom teachers, must identify highly reliable 
21.27 	variables that generate summary data under this paragraph. The summary data may be 
21.28 	used at school, district, and state levels only. Any data on individuals received, collected, 
21.29 	or created that are used to generate the summary data under this paragraph are nonpublic 
21.30 	data under section 13.02, subdivision 9.
21.31 	(e) For purposes of statewide educational accountability, the commissioner must 
21.32 	identify and report measures that demonstrate the success of learning year program 
21.33 	providers under sections 123A.05 and 124D.68, among other such providers, in improving 
21.34 	students' graduation outcomes. The commissioner, beginning July 1, 2015, must annually 
21.35 	report summary data on:
21.36 	(1) the four- and six-year graduation rates of students under this paragraph;
22.1 	(2) the percent of students under this paragraph whose progress and performance 
22.2 	levels are meeting career and college readiness benchmarks under section 120B.30, 
22.3 	subdivision 1; and
22.4 	(3) the success that learning year program providers experience in:
22.5 	(i) identifying at-risk and off-track student populations by grade;
22.6 	(ii) providing successful prevention and intervention strategies for at-risk students;
22.7 	(iii) providing successful recuperative and recovery or reenrollment strategies for 
22.8 	off-track students; and
22.9 	(iv) improving the graduation outcomes of at-risk and off-track students.
22.10 	The commissioner may include in the annual report summary data on other education 
22.11 	providers serving a majority of students eligible to participate in a learning year program.
22.12 	(f) The commissioner, in consultation with recognized experts with knowledge and 
22.13 	experience in assessing the language proficiency and academic performance of all English 
22.14 	learners enrolled in a Minnesota public school course or program who are currently or were 
22.15 	previously counted as an English learner under section 124D.59, must identify and report 
22.16 	appropriate and effective measures to improve current categories of language difficulty and 
22.17 	assessments, and monitor and report data on students' English proficiency levels, program 
22.18 	placement, and academic language development, including oral academic language.
22.19 		Subd. 4.Improving schools. Consistent with the requirements of this section, 
22.20 	beginning June 20, 2012, the commissioner of education must annually report to the 
22.21 	public and the legislature best practices implemented in those schools that demonstrate 
22.22 	high growth compared to the state growth target.
22.23 		Subd. 5.Improving graduation rates for students with emotional or behavioral 
22.24 	disorders. (a) A district must develop strategies in conjunction with parents of students 
22.25 	with emotional or behavioral disorders and the county board responsible for implementing 
22.26 	sections 245.487 to 245.4889 to keep students with emotional or behavioral disorders in 
22.27 	school, when the district has a drop-out rate for students with an emotional or behavioral 
22.28 	disorder in grades 9 through 12 exceeding 25 percent.
22.29 	(b) A district must develop a plan in conjunction with parents of students with 
22.30 	emotional or behavioral disorders and the local mental health authority to increase the 
22.31 	graduation rates of students with emotional or behavioral disorders. A district with a 
22.32 	drop-out rate for children with an emotional or behavioral disturbance in grades 9 through 
22.33 	12 that is in the top 25 percent of all districts shall submit a plan for review and oversight 
22.34 	to the commissioner.

22.35 	EFFECTIVE DATE. This section is effective for the 2017-2018 school year and 
22.36 	later.

23.1 	Sec. 12. Minnesota Statutes 2014, section 120B.36, as amended by Laws 2015, First 
23.2 	Special Session chapter 3, article 2, section 8, is amended to read:
23.3 	120B.36 SCHOOL ACCOUNTABILITY; APPEALS PROCESS.
23.4 		Subdivision 1.School performance reports. (a) The commissioner shall report 
23.5 	student academic performance data under section 120B.35, subdivision subdivisions 
23.6 	2, paragraph (b), and 3; the percentages of students showing low, medium, and high 
23.7 	growth under section 120B.35, subdivision 3, paragraph (b); school safety and student 
23.8 	engagement and connection under section 120B.35, subdivision 3, paragraph (d); rigorous 
23.9 	coursework under section 120B.35, subdivision 3, paragraph (c); the percentage of 
23.10 	students under section 120B.35, subdivision 3, paragraph (b), clause (2), whose progress 
23.11 	and performance levels are meeting career and college readiness benchmarks under 
23.12 	sections 120B.30, subdivision 1, and 120B.35, subdivision 3, paragraph (e); longitudinal 
23.13 	data on the progress of eligible districts in reducing disparities in students' academic 
23.14 	achievement and realizing racial and economic integration under section 124D.861; 
23.15 	the acquisition of English, and where practicable, native language academic literacy, 
23.16 	including oral academic language, and the academic progress of all English learners 
23.17 	under section 124D.59, subdivisions 2 and 2a enrolled in a Minnesota public school 
23.18 	course or program who are currently or were previously counted as an English learner 
23.19 	under section 124D.59; two separate student-to-teacher ratios that clearly indicate the 
23.20 	definition of teacher consistent with sections 122A.06 and 122A.15 for purposes of 
23.21 	determining these ratios; staff characteristics excluding salaries; student enrollment 
23.22 	demographics; all students enrolled in a Minnesota public school course or program who 
23.23 	are currently or were previously in foster care, student homelessness, and district mobility; 
23.24 	and extracurricular activities. The report also must indicate a school's adequate yearly 
23.25 	progress status under applicable federal law, and must not set any designations applicable 
23.26 	to high- and low-performing schools due solely to adequate yearly progress status.
23.27 	(b) The commissioner shall develop, annually update, and post on the department 
23.28 	Web site school performance reports.
23.29 	(c) The commissioner must make available performance reports by the beginning 
23.30 	of each school year.
23.31 	(d) A school or district may appeal its adequate yearly progress status in writing to 
23.32 	the commissioner within 30 days of receiving the notice of its status. The commissioner's 
23.33 	decision to uphold or deny an appeal is final.
23.34 	(e) School performance data are nonpublic data under section 13.02, subdivision 9, 
23.35 	until the commissioner publicly releases the data. The commissioner shall annually post 
23.36 	school performance reports to the department's public Web site no later than September 1, 
24.1 	except that in years when the reports reflect new performance standards, the commissioner 
24.2 	shall post the school performance reports no later than October 1.
24.3 		Subd. 2.Adequate yearly student progress and other data. All data the 
24.4 	department receives, collects, or creates to determine adequate yearly progress status 
24.5 	under Public Law 107-110, section 1116, set state growth targets, and determine student 
24.6 	growth, learning, and outcomes under section 120B.35 are nonpublic data under section 
24.7 	13.02, subdivision 9, until the commissioner publicly releases the data. Districts must 
24.8 	provide parents sufficiently detailed summary data to permit parents to appeal under 
24.9 	Public Law 107-110, section 1116(b)(2). The commissioner shall annually post federal 
24.10 	adequate yearly progress data and state student growth, learning, and outcome data to the 
24.11 	department's public Web site no later than September 1, except that in years when adequate 
24.12 	yearly progress reflects new performance standards, the commissioner shall post federal 
24.13 	adequate yearly progress data and state student growth data no later than October 1.

24.14 	EFFECTIVE DATE. This section is effective for the 2017-2018 school year and 
24.15 	later.

24.16 	Sec. 13. Minnesota Statutes 2015 Supplement, section 120B.36, subdivision 1, is 
24.17 	amended to read:
24.18 		Subdivision 1.School performance reports. (a) The commissioner shall report 
24.19 	student academic performance under section 120B.35, subdivision 2; the percentages of 
24.20 	students showing low, medium, and high growth under section 120B.35, subdivision 
24.21 	3, paragraph (b); school safety and student engagement and connection under section 
24.22 	120B.35, subdivision 3, paragraph (d); rigorous coursework under section 120B.35, 
24.23 	subdivision 3, paragraph (c); the percentage of students under section 120B.35, subdivision 
24.24 	3, paragraph (b), clause (2), whose progress and performance levels are meeting career 
24.25 	and college readiness benchmarks under sections 120B.30, subdivision 1, and 120B.35, 
24.26 	subdivision 3, paragraph (e); longitudinal data on the progress of eligible districts in 
24.27 	reducing disparities in students' academic achievement and realizing racial and economic 
24.28 	integration under section 124D.861; the acquisition of English, and where practicable, 
24.29 	native language academic literacy, including oral academic language, and the academic 
24.30 	progress of English learners under section 124D.59, subdivisions 2 and 2a; the weekly 
24.31 	amount of time students in kindergarten through grade 8 are scheduled to spend in physical 
24.32 	education class, the percent of students in kindergarten through grade 12 who receive a 
24.33 	passing grade in physical education, and the number of required physical education credits 
24.34 	high school students must complete to graduate; two separate student-to-teacher ratios that 
24.35 	clearly indicate the definition of teacher consistent with sections 122A.06 and 122A.15 
25.1 	for purposes of determining these ratios; staff characteristics excluding salaries; student 
25.2 	enrollment demographics; student homelessness and district mobility; and extracurricular 
25.3 	activities. The report also must indicate a school's adequate yearly progress status 
25.4 	under applicable federal law, and must not set any designations applicable to high- and 
25.5 	low-performing schools due solely to adequate yearly progress status.
25.6 	(b) The commissioner shall develop, annually update, and post on the department 
25.7 	Web site school performance reports.
25.8 	(c) The commissioner must make available performance reports by the beginning 
25.9 	of each school year.
25.10 	(d) A school or district may appeal its adequate yearly progress status in writing to 
25.11 	the commissioner within 30 days of receiving the notice of its status. The commissioner's 
25.12 	decision to uphold or deny an appeal is final.
25.13 	(e) School performance data are nonpublic data under section 13.02, subdivision 9, 
25.14 	until the commissioner publicly releases the data. The commissioner shall annually post 
25.15 	school performance reports to the department's public Web site no later than September 1, 
25.16 	except that in years when the reports reflect new performance standards, the commissioner 
25.17 	shall post the school performance reports no later than October 1.

25.18 	EFFECTIVE DATE. This section is effective the day following final enactment 
25.19 	and applies to reports for the 2017-2018 school year and later.

25.20 	Sec. 14. Minnesota Statutes 2015 Supplement, section 122A.21, subdivision 2, is 
25.21 	amended to read:
25.22 		Subd. 2.Licensure via portfolio. (a) An eligible candidate may use licensure via 
25.23 	portfolio to obtain an initial licensure or to add a licensure field, consistent with applicable 
25.24 	Board of Teaching licensure rules.
25.25 	(b) A candidate for initial licensure must submit to the Educator Licensing Division 
25.26 	at the department one portfolio demonstrating pedagogical competence and one portfolio 
25.27 	demonstrating content competence.
25.28 	(c) A candidate seeking to add a licensure field must submit to the Educator 
25.29 	Licensing Division at the department one portfolio demonstrating content competence.
25.30 	(d) The Board of Teaching must notify a candidate who submits a portfolio under 
25.31 	paragraph (b) or (c) within 90 calendar days after the portfolio is received whether or not 
25.32 	the portfolio was approved. If the portfolio was not approved, the board must immediately 
25.33 	inform the candidate how to revise the portfolio to successfully demonstrate the requisite 
25.34 	competence. The candidate may resubmit a revised portfolio at any time and the Educator 
26.1 	Licensing Division at the department must approve or disapprove the portfolio within 
26.2 	60 calendar days of receiving it.
26.3 	(e) A candidate must pay to the executive secretary of the Board of Teaching a $300 
26.4 	fee for the first portfolio submitted for review and a $200 fee for any portfolio submitted 
26.5 	subsequently. The fees must be paid to the executive secretary of the Board of Teaching. 
26.6 	The revenue generated from the fee must be is deposited in an education licensure 
26.7 	portfolio account in the special revenue fund and is appropriated to the commissioner of 
26.8 	education for licensure via portfolio expenditures. The fees set by the Board of Teaching 
26.9 	are nonrefundable for applicants not qualifying for a license. The Board of Teaching may 
26.10 	waive or reduce fees for candidates based on financial need.

26.11 	Sec. 15. Minnesota Statutes 2015 Supplement, section 122A.415, subdivision 4, 
26.12 	is amended to read:
26.13 		Subd. 4.Basic alternative teacher compensation aid. (a) The basic alternative 
26.14 	teacher compensation aid for a school with a plan approved under section 122A.414, 
26.15 	subdivision 2b, equals 65 percent of the alternative teacher compensation revenue under 
26.16 	subdivision 1. The basic alternative teacher compensation aid for a charter school with a 
26.17 	plan approved under section 122A.414, subdivisions 2a and 2b, equals $260 times the 
26.18 	number of pupils enrolled in the school on October 1 of the previous year, or on October 
26.19 	1 of the current year for a charter school in the first year of operation, times the ratio of 
26.20 	the sum of the alternative teacher compensation aid and alternative teacher compensation 
26.21 	levy for all participating school districts to the maximum alternative teacher compensation 
26.22 	revenue for those districts under subdivision 1.
26.23 	(b) Notwithstanding paragraph (a) and subdivision 1, the state total basic alternative 
26.24 	teacher compensation aid entitlement must not exceed $88,118,000 for fiscal year 2017 
26.25 	and later. The commissioner must limit the amount of alternative teacher compensation 
26.26 	aid approved under this section so as not to exceed these limits $75,840,000 for fiscal year 
26.27 	2016. Basic alternative teacher compensation aid for an intermediate district or other 
26.28 	cooperative unit equals $3,000 times the number of licensed teachers employed by the 
26.29 	intermediate district or cooperative unit on October 1 of the previous school year.

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

26.31 	Sec. 16. Minnesota Statutes 2015 Supplement, section 122A.61, subdivision 1, is 
26.32 	amended to read:
27.1 		Subdivision 1.Staff development revenue for school districts. A district is 
27.2 	required to reserve an amount equal to at least two percent of the basic revenue under 
27.3 	section 126C.10, subdivision 2, for:
27.4 	(1) teacher development and evaluation under section 122A.40, subdivision 8, or 
27.5 	122A.41, subdivision 5;
27.6 	(2) principal development and evaluation under section 123B.147, subdivision 3;
27.7 	(3) professional development under section 122A.60; and
27.8 	(4) in-service education for programs under section 120B.22, subdivision 2.
27.9 	To the extent extra funds remain, staff development revenue may be used for 
27.10 	staff development plans, including plans for challenging instructional activities and 
27.11 	experiences under section 122A.60, and for curriculum development and programs, other 
27.12 	in-service education, teachers' mentoring under section 122A.70 and evaluation, teachers' 
27.13 	workshops, teacher conferences, the cost of substitute teachers for staff development 
27.14 	purposes, preservice and in-service education for special education professionals and 
27.15 	paraprofessionals, and other related costs for staff development efforts. A district may 
27.16 	annually waive the requirement to reserve their basic revenue under this section if a 
27.17 	majority vote of the licensed teachers in the district and a majority vote of the school board 
27.18 	agree to a resolution to waive the requirement. A district in statutory operating debt is 
27.19 	exempt from reserving basic revenue according to this section. Districts may expend an 
27.20 	additional amount of unreserved revenue for staff development based on their needs.

27.21 	EFFECTIVE DATE. This section is effective for revenue for fiscal year 2017 
27.22 	and later.

27.23 	Sec. 17. Minnesota Statutes 2014, section 122A.61, is amended by adding a 
27.24 	subdivision to read:
27.25 		Subd. 1a.Staff development aid for intermediate school districts and other 
27.26 	cooperative units. (a) An intermediate school district or other cooperative unit providing 
27.27 	instruction to students in federal instructional settings of level 4 or higher qualifies for 
27.28 	staff development aid equal to $675 times the full-time equivalent number of licensed 
27.29 	instructional staff, related services staff, and nonlicensed classroom aides employed by the 
27.30 	intermediate school district or other cooperative unit during the previous fiscal year.
27.31 	(b) Staff development aid received under this subdivision must be used for activities 
27.32 	related to enhancing services to students who may have challenging behaviors or mental 
27.33 	health issues or be suffering from trauma. Specific qualifying staff development activities 
27.34 	include but are not limited to:
27.35 	(1) proactive behavior management;
28.1 	(2) personal safety training;
28.2 	(3) de-escalation techniques;
28.3 	(4) adaptation of published curriculum and pedagogy for students with complex 
28.4 	learning and behavioral needs; and
28.5 	(5) other staff development activities specific to the population in this paragraph.
28.6 	(c) The aid received under this subdivision must be reserved and spent only on 
28.7 	the activities specified in this subdivision.

28.8 	EFFECTIVE DATE. This section is effective for revenue for fiscal year 2017 
28.9 	and later.

28.10 	Sec. 18. Minnesota Statutes 2014, section 122A.63, subdivision 1, is amended to read:
28.11 		Subdivision 1.Establishment. (a) A grant program is established to assist American 
28.12 	Indian people to become teachers and to provide additional education for American Indian 
28.13 	teachers. The commissioner may award a joint grant to each of the following:
28.14 	(1) the Duluth campus of the University of Minnesota and Independent School 
28.15 	District No. 709, Duluth;
28.16 	(2) Bemidji State University and Independent School District No. 38, Red Lake;
28.17 	(3) Moorhead State University and one of the school districts located within the 
28.18 	White Earth Reservation; and
28.19 	(4) Augsburg College, Independent School District No. 625, St. Paul, and Special 
28.20 	School District No. 1, Minneapolis.
28.21 	(b) If additional funds are available, the commissioner may award additional joint 
28.22 	grants to other postsecondary institutions and school districts.

28.23 	Sec. 19. Minnesota Statutes 2014, section 123B.04, subdivision 2, is amended to read:
28.24 		Subd. 2.Agreement. (a) The school board and a school site may enter into an 
28.25 	agreement under this section solely to develop and implement an individualized learning 
28.26 	and achievement contract under subdivision 4.
28.27 	(b) Upon the request of 60 percent of the licensed employees of a site or a school 
28.28 	site decision-making team, the school board shall enter into discussions to reach an 
28.29 	agreement concerning the governance, management, or control of the school. A school 
28.30 	site decision-making team may include the school principal, teachers in the school or their 
28.31 	designee, other employees in the school, representatives of pupils in the school, or other 
28.32 	members in the community. A school site decision-making team must include at least one 
28.33 	parent of a pupil in the school. For purposes of formation of a new site, a school site 
28.34 	decision-making team may be a team of teachers that is recognized by the board as a site. 
29.1 	The school site decision-making team shall include the school principal or other person 
29.2 	having general control and supervision of the school. The site decision-making team 
29.3 	must reflect the diversity of the education site. At least one-half of the members shall be 
29.4 	employees of the district, unless an employee is the parent of a student enrolled in the school 
29.5 	site, in which case the employee may elect to serve as a parent member of the site team.
29.6 	(c) School site decision-making agreements must delegate powers, duties, and 
29.7 	broad management responsibilities to site teams and involve staff members, students as 
29.8 	appropriate, and parents in decision making.
29.9 	(d) An agreement shall include a statement of powers, duties, responsibilities, and 
29.10 	authority to be delegated to and within the site.
29.11 	(e) An agreement may include:
29.12 	(1) an achievement contract according to subdivision 4;
29.13 	(2) a mechanism to allow principals, a site leadership team, or other persons having 
29.14 	general control and supervision of the school, to make decisions regarding how financial 
29.15 	and personnel resources are best allocated at the site and from whom goods or services 
29.16 	are purchased;
29.17 	(3) a mechanism to implement parental involvement programs under section 
29.18 	124D.895 and to provide for effective parental communication and feedback on this 
29.19 	involvement at the site level;
29.20 	(4) a provision that would allow the team to determine who is hired into licensed 
29.21 	and nonlicensed positions;
29.22 	(5) a provision that would allow teachers to choose the principal or other person 
29.23 	having general control;
29.24 	(6) an amount of revenue allocated to the site under subdivision 3; and
29.25 	(7) any other powers and duties determined appropriate by the board.
29.26 	An agreement may assign such powers, duties, and management responsibilities to 
29.27 	the licensed teachers at a school site to create teacher-governed schools and qualify the 
29.28 	district and site for a grant under subdivision 2a.
29.29 	The school board of the district remains the legal employer under clauses (4) and (5).
29.30 	(f) Any powers or duties not delegated to the school site management team in the 
29.31 	school site management agreement shall remain with the school board.
29.32 	(g) Approved agreements shall be filed with the commissioner. If a school board 
29.33 	denies a request or the school site and school board fail to reach an agreement to enter 
29.34 	into a school site management agreement, the school board shall provide a copy of the 
29.35 	request and the reasons for its denial to the commissioner.
30.1 	(h) A site decision-making grant program is established, consistent with this 
30.2 	subdivision, to allow sites to implement an agreement that at least:
30.3 	(1) notwithstanding subdivision 3, allocates to the site all revenue that is attributable 
30.4 	to the students at that site;
30.5 	(2) includes a provision, consistent with current law and the collective bargaining 
30.6 	agreement in effect, that allows the site team to decide who is selected from within the 
30.7 	district for licensed and nonlicensed positions at the site and to make staff assignments 
30.8 	in the site; and
30.9 	(3) includes a completed performance agreement under subdivision 4.
30.10 	The commissioner shall establish the form and manner of the application for a grant 
30.11 	and annually, at the end of each fiscal year, report to the house of representatives and 
30.12 	senate committees having jurisdiction over education on the progress of the program.

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

30.14 	Sec. 20. Minnesota Statutes 2014, section 123B.04, is amended by adding a 
30.15 	subdivision to read:
30.16 		Subd. 2a.Teacher-governed schools. (a) Consistent with subdivision 2 allowing 
30.17 	a school board to agree to assign powers, duties, and management responsibilities to a 
30.18 	school site, and subject to an agreement between the interested school board and the 
30.19 	exclusive representative of the teachers, a grant program is established to encourage 
30.20 	licensed teachers employed at a school site to explore and develop organizational models 
30.21 	for teaching and learning, provide curriculum and corresponding formative, interim, and 
30.22 	summative assessments, measure and evaluate teacher performance, assign teaching 
30.23 	positions and restructure instructional work, provide professional development to support 
30.24 	teachers restructuring their work, allocate revenue, assert autonomy and leadership, and 
30.25 	pursue other such policies, strategies, and activities for creating teacher-governed schools.
30.26 	(b) The commissioner, after receiving the approved agreement filed by the 
30.27 	parties under subdivision 2, paragraph (g), shall award planning and start-up grants 
30.28 	on a first-come, first-served basis until appropriated funds are expended, distributing 
30.29 	the grants throughout Minnesota to the extent practicable and consistent with this 
30.30 	subdivision. Subject to the content and projected expenditures of the parties' agreement, 
30.31 	the commissioner shall award grants to eligible districts as follows:
30.32 	(1) a planning grant of up to $20,000 during the first year of the parties' agreement; and
30.33 	(2) an implementation grant of up to $100,000 during each of the next two years 
30.34 	of the parties' agreement.
31.1 	A grant recipient that terminates an agreement before the end of a school year must return 
31.2 	a pro rata portion of the grant to the commissioner, the amount of which the commissioner 
31.3 	must determine based upon the number of school days remaining in the school year after 
31.4 	the agreement is terminated. Grant recipients are encouraged to seek matching funds or 
31.5 	in-kind contributions from nonstate sources to supplement the grant awards.
31.6 	(c) A school district receiving a grant must transmit to the commissioner in an 
31.7 	electronic format and post on its Web site by the end of the school year readily accessible 
31.8 	information about recommended best practices based on its experience and progress under 
31.9 	this section. The commissioner must make information about these recommended best 
31.10 	practices readily available to interested districts and schools throughout Minnesota.

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

31.12 	Sec. 21. Minnesota Statutes 2014, section 124D.091, subdivision 2, is amended to read:
31.13 		Subd. 2.Eligibility. A district that offers a concurrent enrollment course according 
31.14 	to an agreement under section 124D.09, subdivision 10, is eligible to receive aid for the 
31.15 	costs of providing postsecondary courses at the high school. Beginning in fiscal year 2011, 
31.16 	Districts only are eligible for aid if the college or university concurrent enrollment courses 
31.17 	offered by the district are accredited by the National Alliance of Concurrent Enrollment 
31.18 	Partnership, in the process of being accredited, or are shown by clear evidence to be of 
31.19 	comparable standard to accredited courses, or are technical courses within a recognized 
31.20 	career and technical education program of study approved by the commissioner of 
31.21 	education and the chancellor of the Minnesota State Colleges and Universities.

31.22 	Sec. 22. Minnesota Statutes 2014, section 124D.091, subdivision 3, is amended to read:
31.23 		Subd. 3.Aid; tuition reimbursement. (a) An eligible district shall receive $150 
31.24 	$300 per pupil enrolled in a concurrent enrollment course. The money must be used 
31.25 	to defray the cost of delivering the course at the high school. The commissioner shall 
31.26 	establish application procedures and deadlines for receipt of aid payments.
31.27 	(b) Notwithstanding paragraph (a), by mutual agreement of the school board and the 
31.28 	exclusive representative of the teachers, up to 25 percent of the aid under this subdivision 
31.29 	may be reserved to offset tuition paid to an accredited higher education institution for 
31.30 	coursework necessary for secondary teachers to meet a postsecondary institution's 
31.31 	accrediting body's requirements to teach concurrent enrollment courses.
31.32 	(c) A teacher receiving tuition reimbursement under this subdivision must repay the 
31.33 	school district if the teacher does not complete the training. If 50 percent or more of a 
31.34 	teacher's tuition is reimbursed by the school district, the teacher must continue to teach in 
32.1 	the school district for two years after receiving an endorsement under section 122A.09, 
32.2 	subdivision 12, or repay the district for the tuition reimbursement.

32.3 	Sec. 23. Minnesota Statutes 2015 Supplement, section 124D.231, subdivision 2, 
32.4 	is amended to read:
32.5 		Subd. 2.Full-service community school program. (a) The commissioner shall 
32.6 	provide funding to eligible school sites to plan, implement, and improve full-service 
32.7 	community schools. Eligible school sites must meet one of the following criteria:
32.8 	(1) the school is on a development plan for continuous improvement under section 
32.9 	120B.35, subdivision 2; or
32.10 	(2) the school is in a district that has an achievement and integration plan approved 
32.11 	by the commissioner of education under sections 124D.861 and 124D.862.
32.12 	(b) An eligible school site may receive up to $100,000 $150,000 annually. School 
32.13 	sites receiving funding under this section shall hire or contract with a partner agency to 
32.14 	hire a site coordinator to coordinate services at each covered school site.
32.15 	(c) Of grants awarded, implementation funding of up to $20,000 must be available 
32.16 	for up to one year for planning for school sites. At the end of this period, the school must 
32.17 	submit a full-service community school plan, pursuant to paragraph (g). If the site decides 
32.18 	not to use planning funds, the plan must be submitted with the application.
32.19 	(d) The commissioner shall dispense the funds to consider additional school factors 
32.20 	when dispensing funds including: schools with significant populations of students 
32.21 	receiving free or reduced-price lunches. Schools with; significant homeless and highly 
32.22 	mobile students shall also be a priority. The commissioner must also dispense the funds in a 
32.23 	manner to ensurerates; and equity among urban, suburban, and greater Minnesota schools.
32.24 	(e) A school site must establish a school leadership team responsible for developing 
32.25 	school-specific programming goals, assessing program needs, and overseeing the process 
32.26 	of implementing expanded programming at each covered site. The school leadership team 
32.27 	shall have between 12 to 15 members and shall meet the following requirements:
32.28 	(1) at least 30 percent of the members are parents and 30 percent of the members 
32.29 	are teachers at the school site and must include the school principal and representatives 
32.30 	from partner agencies; and
32.31 	(2) the school leadership team must be responsible for overseeing the baseline 
32.32 	analyses under paragraph (f). A school leadership team must have ongoing responsibility 
32.33 	for monitoring the development and implementation of full-service community school 
32.34 	operations and programming at the school site and shall issue recommendations to schools 
33.1 	on a regular basis and summarized in an annual report. These reports shall also be made 
33.2 	available to the public at the school site and on school and district Web sites.
33.3 	(f) School sites must complete a baseline analysis prior to beginning programming 
33.4 	as a full-service community school. The analysis shall include:
33.5 	(1) a baseline analysis of needs at the school site, led by the school leadership team, 
33.6 	which shall include the following elements:
33.7 	(i) identification of challenges facing the school;
33.8 	(ii) analysis of the student body, including:
33.9 	(A) number and percentage of students with disabilities and needs of these students;
33.10 	(B) number and percentage of students who are English learners and the needs of 
33.11 	these students;
33.12 	(C) number of students who are homeless or highly mobile; and
33.13 	(D) number and percentage of students receiving free or reduced-price lunch and the 
33.14 	needs of these students;
33.15 	(iii) analysis of enrollment and retention rates for students with disabilities, 
33.16 	English learners, homeless and highly mobile students, and students receiving free or 
33.17 	reduced-price lunch;
33.18 	(iv) analysis of suspension and expulsion data, including the justification for such 
33.19 	disciplinary actions and the degree to which particular populations, including, but not 
33.20 	limited to, students of color, students with disabilities, students who are English learners, 
33.21 	and students receiving free or reduced-price lunch are represented among students subject 
33.22 	to such actions;
33.23 	(v) analysis of school achievement data disaggregated by major demographic 
33.24 	categories, including, but not limited to, race, ethnicity, English learner status, disability 
33.25 	status, and free or reduced-price lunch status;
33.26 	(vi) analysis of current parent engagement strategies and their success; and
33.27 	(vii) evaluation of the need for and availability of wraparound services, including, 
33.28 	but not limited to:
33.29 	(A) mechanisms for meeting students' social, emotional, and physical health needs, 
33.30 	which may include coordination of existing services as well as the development of new 
33.31 	services based on student needs; and
33.32 	(B) strategies to create a safe and secure school environment and improve school 
33.33 	climate and discipline, such as implementing a system of positive behavioral supports, and 
33.34 	taking additional steps to eliminate bullying;
33.35 	(2) a baseline analysis of community assets and a strategic plan for utilizing 
33.36 	and aligning identified assets. This analysis should include, but is not limited to, a 
34.1 	documentation of individuals in the community, faith-based organizations, community and 
34.2 	neighborhood associations, colleges, hospitals, libraries, businesses, and social service 
34.3 	agencies who may be able to provide support and resources; and
34.4 	(3) a baseline analysis of needs in the community surrounding the school, led by 
34.5 	the school leadership team, including, but not limited to:
34.6 	(i) the need for high-quality, full-day child care and early childhood education 
34.7 	programs;
34.8 	(ii) the need for physical and mental health care services for children and adults; and
34.9 	(iii) the need for job training and other adult education programming.
34.10 	(g) Each school site receiving funding under this section must establish at least two 
34.11 	of the following types of programming:
34.12 	(1) early childhood:
34.13 	(i) early childhood education; and
34.14 	(ii) child care services;
34.15 	(2) academic:
34.16 	(i) academic support and enrichment activities, including expanded learning time;
34.17 	(ii) summer or after-school enrichment and learning experiences;
34.18 	(iii) job training, internship opportunities, and career counseling services;
34.19 	(iv) programs that provide assistance to students who have been truant, suspended, 
34.20 	or expelled; and
34.21 	(v) specialized instructional support services;
34.22 	(3) parental involvement:
34.23 	(i) programs that promote parental involvement and family literacy, including the 
34.24 	Reading First and Early Reading First programs authorized under part B of title I of the 
34.25 	Elementary and Secondary Education Act of 1965, United States Code, title 20, section 
34.26 	6361, et seq.;
34.27 	(ii) parent leadership development activities; and
34.28 	(iii) parenting education activities;
34.29 	(4) mental and physical health:
34.30 	(i) mentoring and other youth development programs, including peer mentoring and 
34.31 	conflict mediation;
34.32 	(ii) juvenile crime prevention and rehabilitation programs;
34.33 	(iii) home visitation services by teachers and other professionals;
34.34 	(iv) developmentally appropriate physical education;
34.35 	(v) nutrition services;
34.36 	(vi) primary health and dental care; and
35.1 	(vii) mental health counseling services;
35.2 	(5) community involvement:
35.3 	(i) service and service-learning opportunities;
35.4 	(ii) adult education, including instruction in English as a second language; and
35.5 	(iii) homeless prevention services;
35.6 	(6) positive discipline practices; and
35.7 	(7) other programming designed to meet school and community needs identified in 
35.8 	the baseline analysis and reflected in the full-service community school plan.
35.9 	(h) The school leadership team at each school site must develop a full-service 
35.10 	community school plan detailing the steps the school leadership team will take, including:
35.11 	(1) timely establishment and consistent operation of the school leadership team;
35.12 	(2) maintenance of attendance records in all programming components;
35.13 	(3) maintenance of measurable data showing annual participation and the impact 
35.14 	of programming on the participating children and adults;
35.15 	(4) documentation of meaningful and sustained collaboration between the school 
35.16 	and community stakeholders, including local governmental units, civic engagement 
35.17 	organizations, businesses, and social service providers;
35.18 	(5) establishment and maintenance of partnerships with institutions, such as 
35.19 	universities, hospitals, museums, or not-for-profit community organizations to further the 
35.20 	development and implementation of community school programming;
35.21 	(6) ensuring compliance with the district nondiscrimination policy; and
35.22 	(7) plan for school leadership team development.

35.23 	Sec. 24. Minnesota Statutes 2014, section 124D.59, is amended by adding a 
35.24 	subdivision to read:
35.25 		Subd. 9.English learner data. When data on English learners are reported for 
35.26 	purposes of educational accountability, English learner data must include all pupils 
35.27 	enrolled in a Minnesota public school course or program who are currently or were 
35.28 	previously counted as an English learner under this section. Reported data must be 
35.29 	disaggregated by currently counted and previously counted English learners.

35.30 	EFFECTIVE DATE. This section is effective for the 2017-2018 school year and 
35.31 	later.

35.32 	Sec. 25. [125B.27] STUDENT-USER PRIVACY IN EDUCATION RIGHTS.
35.33 		Subdivision 1.Definitions. (a) The definitions in this subdivision and section 13.32, 
35.34 	subdivision 1, apply to this section.
36.1 	(b) "Online educational service" means a Web site, online service or application, or 
36.2 	mobile application that a student or the student's parent or legal guardian can access via 
36.3 	the Internet for school purposes. Online educational service includes a cloud computing 
36.4 	service.
36.5 	(c) "Operator" means, to the extent it is operating in this capacity, a person who 
36.6 	operates an online educational service with actual knowledge that it is used primarily for 
36.7 	school purposes and was designed and marketed for these purposes. Operator includes 
36.8 	a vendor.
36.9 	(d) "Protected information" means personally identifiable information or materials 
36.10 	or information that is linked to personally identifiable information or materials, in any 
36.11 	media or format that is not publicly available, and:
36.12 	(1) is created or provided by a student or the student's parent or legal guardian to an 
36.13 	operator in the course of the use of the operator's site, service, or application for school 
36.14 	purposes;
36.15 	(2) is created or provided by an employee or agent of the school to an operator in the 
36.16 	course of the use of the operator's site, service, or application for school purposes; or
36.17 	(3) is gathered by an operator through the operation of an online educational service 
36.18 	and personally identifies a student, including but not limited to information in the student's 
36.19 	educational record or e-mail, first and last name, home address, telephone number, e-mail 
36.20 	address, or other information that allows physical or online contact, discipline records, 
36.21 	test results, special education data, juvenile records, grades, evaluations, criminal records, 
36.22 	health records, Social Security number, biometric information, disabilities, socioeconomic 
36.23 	information, food purchases, political affiliations, religious information, text messages, 
36.24 	documents, student identifiers, search activity, photos, voice recordings, or geolocation 
36.25 	information.
36.26 	(e) "School purposes" means purposes that (1) are directed by or customarily take 
36.27 	place at the direction of the school, teacher, or school district or aid in the administration 
36.28 	of school activities, including instruction in the classroom or at home, administrative 
36.29 	activities, and collaboration between students, school personnel, or parents or legal 
36.30 	guardians, or (2) are for the use and benefit of the school.
36.31 	(f) "Student" means a student in prekindergarten through grade 12.
36.32 	(g) "Vendor" means a person who enters into a contract with a school to provide an 
36.33 	online educational service.
36.34 	(h) "Targeted advertising" means presenting advertisements to a student where 
36.35 	the advertisement is selected based on information obtained or inferred over time from 
36.36 	that student's online behavior, usage of applications, or covered information. It does not 
37.1 	include advertising to a student at an online location based upon that student's current 
37.2 	visit to that location, or in response to that student's request for information or feedback, 
37.3 	without the retention of that student's online activities or requests over time for the 
37.4 	purpose of targeting subsequent ads.
37.5 		Subd. 2.Prohibited activities; targeted advertising; creation of student profiles; 
37.6 	sale or unauthorized disclosure of information. (a) An operator must not engage in 
37.7 	any of the following activities:
37.8 	(1)(i) targeted advertising on the operator's online educational service; or
37.9 	(ii) targeted advertising on any other site, service, or application when the targeting 
37.10 	of the advertising is based upon information, including protected information and unique 
37.11 	identifiers, that the operator has acquired or created because of the use of that operator's 
37.12 	online educational service;
37.13 	(2) gather, use, or share information, including persistent unique identifiers, acquired 
37.14 	or created by the operator's online educational service, to create a profile about a student, 
37.15 	except in furtherance of school purposes. "Create a profile" does not include the collection 
37.16 	and retention of account information that remains under the control of the student, the 
37.17 	student's parent or guardian, or kindergarten through grade 12 school;
37.18 	(3) sell a student's information, including protected information. This prohibition 
37.19 	does not apply to the purchase, merger, or other type of acquisition of an operator by 
37.20 	another person, provided that the operator or successor continues to be subject to this 
37.21 	section with respect to previously acquired student information or to national assessment 
37.22 	providers if the provider secures the express written consent of the parent or student, given 
37.23 	in response to clear and conspicuous notice, solely to provide access to employment, 
37.24 	educational scholarships or financial aid, or postsecondary educational opportunities; or
37.25 	(4) disclose protected information, unless the disclosure:
37.26 	(i) is made in furtherance of the educational purpose of the site, service, or 
37.27 	application, provided the recipient of the protected information must not further disclose 
37.28 	the information unless done to allow or improve operability and functionality of the 
37.29 	operator's online educational service;
37.30 	(ii) is legally required to comply with subdivision 3;
37.31 	(iii) is made to ensure legal and regulatory compliance, to respond to or participate 
37.32 	in judicial process, or to protect the safety of users or others or the security or integrity 
37.33 	of the site;
37.34 	(iv) is for a school, educational, or employment purpose requested by the student 
37.35 	or the student's parent or guardian, provided that the information is not used or further 
37.36 	disclosed for any other purposes; or
38.1 	(v) is made pursuant to a contract between the operator and a service provider. A 
38.2 	contract must prohibit the service provider from using protected information for any 
38.3 	purpose other than providing the contracted service to, or on behalf of, the operator; 
38.4 	prohibit the service provider from disclosing protected information provided by the 
38.5 	operator to third parties; and require the service provider to implement and maintain 
38.6 	reasonable security procedures and practices as provided in subdivision 3.
38.7 	(b) This subdivision does not prohibit the operator's use of information for 
38.8 	maintaining, developing, supporting, improving, or diagnosing the operator's site, service, 
38.9 	or application.
38.10 		Subd. 3.Security procedures and practices. An operator shall:
38.11 	(1) implement and maintain reasonable security procedures and practices appropriate 
38.12 	to the nature of the protected information designed to protect that information from 
38.13 	unauthorized access, destruction, use, modification, or disclosure; and
38.14 	(2) delete a student's protected information within a reasonable period of time 
38.15 	and in any case within 60 days if the school requests deletion of data under the control 
38.16 	of the school.
38.17 		Subd. 4.Permissible disclosures. Notwithstanding subdivision 2, paragraph (a), 
38.18 	clause (4), an operator may use or disclose protected information of a student under the 
38.19 	following circumstances:
38.20 	(1) if other provisions of federal or state law require the operator to disclose the 
38.21 	information and the operator complies with the requirements of federal or state law in 
38.22 	protecting and disclosing that information;
38.23 	(2) as long as no covered information is used for advertising or to create a profile on 
38.24 	the student for purposes other than educational purposes, for legitimate research purposes:
38.25 	(i) as required by state or federal law and subject to the restrictions under applicable 
38.26 	law; or
38.27 	(ii) as allowed by state or federal law and in furtherance of educational purposes or 
38.28 	postsecondary educational purposes; and
38.29 	(3) to a state or local educational agency, including schools and school districts, for 
38.30 	school purposes as permitted by state or federal law.
38.31 		Subd. 5.Use of information by operator.  This section does not prohibit an 
38.32 	operator from doing any of the following:
38.33 	(1) using protected information within the operator's site, service, or application or 
38.34 	other sites, services, or applications owned by the operator to improve educational products; 
38.35 	(2) using protected information that is not associated with an identified student to 
38.36 	demonstrate the effectiveness of the operator's products or services, including marketing;
39.1 	(3) sharing aggregate information that does not directly, indirectly, or in combination 
39.2 	with other information identify a student for the development and improvement of 
39.3 	educational sites, services, or applications;
39.4 	(4) using recommendation engines to recommend to a student either of the following:
39.5 	(i) additional content relating to an educational, other learning, or employment 
39.6 	opportunity purpose within an online site, service, or application if the recommendation is 
39.7 	not determined in whole or in part by payment or other consideration from a third party; or
39.8 	(ii) additional services relating to an educational, other learning, or employment 
39.9 	opportunity purpose within an online site, service, or application if the recommendation is 
39.10 	not determined in whole or in part by payment or other consideration from a third party; or
39.11 	(5) responding to a student's request for information or for feedback without the 
39.12 	information or response being determined in whole or in part by payment or other 
39.13 	consideration from a third party.
39.14 		Subd. 6.Certain activities not affected. (a) This section does not limit the 
39.15 	authority of a law enforcement agency to obtain information from an operator as 
39.16 	authorized by law or pursuant to a court order.
39.17 	(b) This section does not limit the ability of an operator to use student information, 
39.18 	including protected information, for adaptive learning or customized student learning 
39.19 	purposes.
39.20 	(c) This section does not apply to general audience Web sites, general audience 
39.21 	online services, general audience online applications, or general audience mobile 
39.22 	applications, even if log-in credentials created for an operator's online educational service 
39.23 	may be used to access those general audience Web sites, services, or applications.
39.24 	(d) This section does not limit Internet service providers from providing Internet 
39.25 	connectivity to schools or students and their families.
39.26 	(e) This section does not prohibit an operator of a Web site, online service, online 
39.27 	application, or mobile application from the general marketing of educational products to 
39.28 	parents or legal guardians so long as the marketing is not based on the use of protected 
39.29 	information obtained by the operator through the provision of services governed by this 
39.30 	section.
39.31 	(f) This section does not impose a duty upon a provider of an electronic store, gateway, 
39.32 	marketplace, or other means of purchasing or downloading software or applications to 
39.33 	review or enforce compliance with this section on those applications or software.
39.34 	(g) This section does not impose a duty on a provider of an interactive computer 
39.35 	service, as defined in United States Code, title 47, section 230, to review or enforce 
39.36 	compliance with this section by third-party content providers.
40.1 	(h) This section does not impede the ability of students to download, transfer, export, 
40.2 	or otherwise save or maintain their own data or documents.

40.3 	Sec. 26. [136A.1275] GRANTS TO STUDENT TEACHERS IN SHORTAGE 
40.4 	AREAS.
40.5 		Subdivision 1.Establishment. The commissioner of the Office of Higher Education 
40.6 	must establish a grant program for student teachers.
40.7 		Subd. 2.Eligibility.  In order to receive a grant, the applicant must:
40.8 	(1) be enrolled in a Minnesota teacher preparation program at an eligible institution 
40.9 	that would enable the applicant, upon graduation, to teach in a Minnesota school district 
40.10 	in a shortage area. "Shortage area" has the same meaning given in section 122A.18, 
40.11 	subdivision 4a;
40.12 	(2) be a teacher candidate completing a student-teacher requirement by teaching in a 
40.13 	shortage area; and
40.14 	(3) demonstrate financial need in the form and manner prescribed by the 
40.15 	commissioner of the Office of Higher Education.
40.16 		Subd. 3.Administration. The office must determine the time and manner of 
40.17 	applications. The office must determine the stipend amount based on the money available 
40.18 	and the number of eligible applicants each academic year.

40.19 	Sec. 27. Laws 2012, chapter 263, section 1, as amended by Laws 2014, chapter 312, 
40.20 	article 15, section 24, is amended to read:
40.21 	Section 1. INNOVATIVE DELIVERY OF EDUCATION SERVICES AND 
40.22 	SHARING OF SCHOOL OR DISTRICT RESOURCES; PILOT PROJECT.
 40.23 		Subdivision 1.Establishment; requirements for participation. (a) A pilot project 
40.24 	is established to improve student and, career and college readiness, and  school outcomes 
40.25 	by allowing groups ofone or more school districts or charter schools to work together or 
40.26 	with postsecondary institutions or employers to:
40.27 	(1) provide innovative education programs and activities that are consistent with 
40.28 	Minnesota Statutes, section 124D.52, subdivision 9, governing the standard adult high 
40.29 	school diploma, or with Minnesota Statutes, section 124D.085, governing experiential and 
40.30 	applied learning opportunities;
40.31 	(2) conduct research with rigorous methodology on these innovative education 
40.32 	programs and activities that may include career and college readiness assessments and 
40.33 	interim assessments that comply with the federal Every Student Succeeds Act; and
41.1 	(3) share district or school and other resources, with the goal of improving students' 
41.2 	career and college readiness as defined under Minnesota Statutes, section 120B.30, 
41.3 	subdivision 1, paragraph (p), and consistent with the requirements of the world's best 
41.4 	workforce under Minnesota Statutes, section 120B.11. 
41.5 	The pilot project may last until June 30, 2018 2021, or for up to five years, whichever is less 
41.6 	earlier, except that innovation partnerships formed during the period of the pilot project 
41.7 	may continue past June 30, 2018 2021, with the agreement of the partnership members.
41.8 	(b) To participate in this pilot project to improve student and, school, and career and 
41.9 	college readiness outcomes, a group of two or more school districts or charter schools, one 
41.10 	or more school districts and charter schools, one or more school districts or charter schools 
41.11 	and postsecondary institutions, or one or more school districts or charter schools and 
41.12 	employers must collaborate with school staff and, postsecondary faculty, or employees, 
41.13 	as appropriate, to form a partnership, prepare a plan, and complete an application to 
41.14 	participate in a pilot project. A school district partner must receive formal school board 
41.15 	approval to form a partnership and a charter school partner must receive formal approval 
41.16 	from its board of directors to form a partnership. The partnership must develop a plan to 
41.17 	provide challenging programmatic options for students, create professional development 
41.18 	opportunities for educators, increase student engagement and connection and challenging 
41.19 	learning opportunities for students, or demonstrate efficiencies in delivering financial and 
41.20 	other services. The plan evaluations must provide for a rigorous evaluation premised on 
41.21 	returns on investment, program effectiveness, or beat-the-odds analysis and may offer 
41.22 	career and college readiness assessments or other interim assessments.
41.23 	(c) An interested partnership may structure its application and plan to: 
41.24 	(1) reduce duplicative assessments that educators and psychometricians identify as 
41.25 	less useful for informing instruction or identifying and diagnosing areas where students 
41.26 	require targeted interventions under Minnesota Statutes, section 120B.30, subdivision 1, 
41.27 	paragraphs (c), clause (2), and (d);
41.28 	(2) establish expectations for career and college readiness under Minnesota Statutes, 
41.29 	section 120B.30, subdivision 1, paragraphs (d) and (g);
41.30 	(3) use fully adaptive, on and off-grade assessments under Minnesota Statutes, 
41.31 	section 120B.30, subdivision 1;
41.32 	(4) provide students with predictive information to enable them to successfully 
41.33 	explore and realize their educational, career, and college interests, aptitudes, and 
41.34 	aspirations under Minnesota Statutes, section 120B.125;
42.1 	(5) use career and college readiness assessments or other interim or formative 
42.2 	assessments highly correlated with the Minnesota comprehensive assessments in reading 
42.3 	and math;
42.4 	(6) notwithstanding Minnesota Statutes, section 120B.024, allow a student to use a 
42.5 	course in applied mathematics or STEM as an equivalent to algebra II; or
42.6 	(7) include student assessment data under this section in the district's annual world's 
42.7 	best workforce report, consistent with Minnesota Statutes, section 120B.11, subdivisions 5 
42.8 	and 9, paragraph (a).
42.9 	Notwithstanding Minnesota Statutes, section 120B.30, or any other law to the 
42.10 	contrary, a participating school district or charter school may use alternative assessments 
42.11 	under this paragraph in place of the Minnesota comprehensive assessments administered 
42.12 	in high school. A participating school district or charter school, whose approved program 
42.13 	under this section lasts longer than four years for a high school student, may count those 
42.14 	students in the four-year graduation rate upon completion of all state and local graduation 
42.15 	requirements even though the student continues in an innovative postsecondary program. 
42.16 	Notwithstanding other law to the contrary, a participating school district or charter school 
42.17 	may take attendance only once per school day so long as the district or charter school 
42.18 	ensures that students in attendance are not otherwise identified as truant. The plan must 
42.19 	establish include:
42.20 	(1) collaborative educational goals and objectives;
42.21 	(2) strategies and processes to implement those goals and objectives, including a 
42.22 	budget process with periodic expenditure reviews;
42.23 	(3) valid and reliable measures to evaluate progress in realizing the goals and 
42.24 	objectives;
42.25 	(4) an implementation timeline; and
42.26 	(5) other applicable conditions, regulations, responsibilities, duties, provisions, fee 
42.27 	schedules, and legal considerations needed to fully implement the plan.
42.28 	A partnership may invite additional districts eligible partners to join the partnership 
42.29 	during the pilot project term after notifying and must notify the commissioner when 
42.30 	additional partners intend to join the partnership. The commissioner may reject the 
42.31 	addition of an eligible partner if the addition causes the state to become out of compliance 
42.32 	with federal requirements.
42.33 	(c) (d) A school district member or a charter school member of an interested 
42.34 	partnership of interested districts must apply by February 1 of any year submit an 
42.35 	application to the education commissioner in the form and manner the commissioner 
42.36 	determines, consistent with the requirements of this section. The application must contain 
43.1 	the formal approval adopted by the school board in each district or by the charter school 
43.2 	board of directors to participate in the plan.
43.3 	(d) (e) Notwithstanding other law to the contrary, a participating school district 
43.4 	under this section continues to: receive revenue and maintain its taxation authority; be 
43.5 	organized and governed by an elected school board with general powers under Minnesota 
43.6 	Statutes, section 123B.02; and be subject to employment agreements under Minnesota 
43.7 	Statutes, chapter 122A, and Minnesota Statutes, section 179A.20; and district employees 
43.8 	continue to remain employees of the employing school district.
43.9 	(f) Participating school district and charter schools must submit a biennial evaluation 
43.10 	by February 1 in each odd-numbered year to the chairs and the ranking minority members 
43.11 	of the legislative committees with primary jurisdiction over kindergarten through grade 
43.12 	12 education and the education commissioner that includes longitudinal data under 
43.13 	Minnesota Statutes, section 127A.70, subdivision 2, paragraph (b), governing SLEDS, 
43.14 	and is premised on return on investment, program effectiveness, or beat-the-odds analysis 
43.15 	in the context of students' career and college readiness.
43.16 		Subd. 2.Commissioner's role. Interested groups of school districts partnerships 
43.17 	must submit a completed application to the commissioner by March 1 of any year in the 
43.18 	form and manner determined by the commissioner, consistent with the requirements of this 
43.19 	section. For 2016 only, the school district member or charter school member must submit 
43.20 	an application by July 1. The education commissioner must convene an advisory panel 
43.21 	composed of a teacher appointed by Education Minnesota, a school principal appointed 
43.22 	by the Minnesota Association of Secondary School Principals, a school board member 
43.23 	appointed by the Minnesota School Boards Association, a researcher appointed by the 
43.24 	commissioner of the Office of Higher Education, a researcher appointed by the University 
43.25 	of Minnesota Educational Psychology Department, and a school superintendent appointed 
43.26 	by the Minnesota Association of School Administrators to advise the commissioner on 
43.27 	applicants' qualifications to participate in this pilot project. The commissioner may 
43.28 	select, for the period encompassing the 2016-2017 through 2020-2021 school years, must 
43.29 	authorize up to sixeight qualified applicants under subdivision 1 by April 1 of any year to 
43.30 	participate in this pilot project, ensuring seeking an equitable geographical distribution of 
43.31 	project participants to the extent practicable. The commissioner may approve no more 
43.32 	than two partnerships applying to conduct research using alternative measures in place of 
43.33 	the Minnesota comprehensive assessments under subdivision 1, paragraph (c), clause (7), 
43.34 	and those partnerships may include up to three school districts or charter schools. The 
43.35 	commissioner must selectauthorize only those applicants that fully comply with the 
43.36 	requirements in subdivision 1. The commissioner must terminate a project participant that 
44.1 	fails to effectively implement the goals and objectives contained in its application and 
44.2 	according to its stated timeline.
44.3 		Subd. 3.Pilot project evaluation. Participating school districts and charter 
44.4 	schools must submit pilot project data to the education commissioner in the form and 
44.5 	manner determined by the commissioner and the legislature, consistent with this section. 
44.6 	Consistent with Minnesota Statutes, section 13.05, on the duties of state agencies regarding 
44.7 	the use and dissemination of data on individuals, the education commissioner must analyze 
44.8 	the data on participating districts' progress and on participating charter schools' progress 
44.9 	in realizing their educational goals and objectives to work together in providing provide 
44.10 	innovative education programs and activities and sharing share resources to improve 
44.11 	students' career and college readiness. The commissioner must include the analysis of 
44.12 	best practices in a report to the legislative committees with jurisdiction over kindergarten 
44.13 	through grade 12 education finance and policy on the efficacy of this pilot project. The 
44.14 	commissioner shall submit an interim project report by February 1, 2016 March 30, 2019, 
44.15 	and must submit a final report to the legislature by February 1, 2019, recommending 
44.16 	whether or not to continue or expand the pilot project 2022.

44.17 	EFFECTIVE DATE. This section is effective the day following final enactment 
44.18 	and applies to those applications submitted to the commissioner after that date. Districts 
44.19 	already approved for an innovation zone pilot project may continue to operate under Laws 
44.20 	2012, chapter 263, section 1, as amended by Laws 2014, chapter 312, article 15, section 24.

44.21 	Sec. 28. Laws 2012, chapter 263, section 2, is amended to read:
44.22 	Sec. 2. APPROPRIATION.
 44.23 	$25,000 is appropriated in fiscal year 2013 from the general fund to the commissioner 
44.24 	of education for the review of applicants, selection of participants, and evaluation of 
44.25 	the pilot projects authorized in section 1. The base for the Department of Education is 
44.26 	increased by $25,000 for fiscal year 2014 through fiscal year 2018 2021.

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

44.28 	Sec. 29. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 
44.29 	2, is amended to read:
44.30 		Subd. 2.Alternative compensation. For alternative teacher compensation aid 
44.31 	under Minnesota Statutes, section 122A.415, subdivision 4:

45.1
45.2		$
	78,331,000
78,656,000
	.....
	2016
	
45.3
45.4		$
	87,147,000
98,159,000
	.....
	2017
	
45.5 	The 2016 appropriation includes $7,766,000 for 2015 and $70,565,000 $70,890,000
45.6 	for 2016.
45.7 	The 2017 appropriation includes $7,840,000 $7,876,000 for 2016 and $79,307,000
45.8 	$90,283,000 for 2017.

45.9 	Sec. 30. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 
45.10 	3, is amended to read:
45.11 		Subd. 3.Achievement and integration aid. For achievement and integration aid 
45.12 	under Minnesota Statutes, section 124D.862:

45.13
45.14		$
	65,539,000
65,439,000
	.....
	2016
	
45.15
45.16		$
	68,745,000
69,372,000
	.....
	2017
	
45.17 	The 2016 appropriation includes $6,382,000 for 2015 and $59,157,000 $59,057,000
45.18 	for 2016.
45.19 	The 2017 appropriation includes $6,573,000 $6,561,000 for 2016 and $62,172,000
45.20 	$62,811,000 for 2017.

45.21 	Sec. 31. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 
45.22 	6, is amended to read:
45.23 		Subd. 6.Reading Corps. For grants to ServeMinnesota for the Minnesota Reading 
45.24 	Corps under Minnesota Statutes, section 124D.42, subdivision 8:

45.25		$
	6,125,000
	.....
	2016
	
45.26
45.27		$
	6,125,000
9,125,000
	.....
	2017
	
45.28 	Any balance in the first year does not cancel but is available in the second year. The 
45.29 	base appropriation for fiscal year 2018 and later years is $5,625,000.

45.30 	Sec. 32. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 
45.31 	9, is amended to read:
45.32 		Subd. 9.Concurrent enrollment program. For concurrent enrollment programs 
45.33 	under Minnesota Statutes, section 124D.091:

46.1		$
	$4,000,000
	.....
	2016
	
46.2
46.3		$
	$4,000,000 
6,250,000
	.....
	2017
	
46.4 	If the appropriation is insufficient, the commissioner must proportionately reduce 
46.5 	the aid payment to each district.
46.6 	Any balance in the first year does not cancel but is available in the second year. The 
46.7 	base for this appropriation in fiscal year 2018 is $5,000,000.

46.8 	Sec. 33. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 
46.9 	12, is amended to read:
46.10 		Subd. 12.Collaborative urban educator. For the collaborative urban educator 
46.11 	grant program:

46.12		$
	780,000
	.....
	2016
	
46.13
46.14		$
	780,000 
1,090,000
	.....
	2017
	
46.15 	Grants shall be awarded in equal amounts: $195,000$272,500 each year is for the 
46.16 	Southeast Asian teacher program at Concordia University, St. Paul; $195,000$272,500 
46.17 	each year is for the collaborative urban educator program at the University of St. Thomas; 
46.18 	$195,000$272,500 each year is for the Center for Excellence in Urban Teaching at 
46.19 	Hamline University; and $195,00$272,500 each year is for the East Africa Student to 
46.20 	Teacher program at Augsburg College.
46.21 	Any balance in the first year does not cancel but is available in the second year.
46.22 	Each institution shall prepare for the legislature, by January 15 of each year, a 
46.23 	detailed report regarding the funds used. The report must include the number of teachers 
46.24 	prepared as well as the diversity for each cohort of teachers produced. The report must 
46.25 	also include the graduation rate for each cohort of teacher candidates, the placement rate 
46.26 	for each graduating cohort of teacher candidates, and the retention rate for each graduating 
46.27 	cohort of teacher candidates, among other program outcomes.

46.28 	Sec. 34. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 
46.29 	15, is amended to read:
46.30 		Subd. 15.Museums and Education Centers. For grants to museums and education 
46.31 	centers:

46.32		$
	351,000
	.....
	2016
	
46.33
46.34		$
	351,000
701,000
	.....
	2017
	
47.1 	(a) $260,000 each year is in fiscal year 2016 and $560,000 in fiscal year 2017 are for 
47.2 	the Minnesota Children's Museum. The base amount in fiscal year 2018 is $260,000.
47.3 	(b) $50,000 each year is for the Duluth Children's Museum.
47.4 	(c) $41,000 each year is for the Minnesota Academy of Science.
47.5 	(d) $50,000 each year is for the Headwaters Science Center for hands-on science, 
47.6 	technology, engineering, and math (STEM) education.
47.7 	Any balance in the first year does not cancel but is available in the second year.
47.8 	The base in fiscal year 2018 is $401,000.

47.9 	Sec. 35. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 
47.10 	19, is amended to read:
47.11 		Subd. 19.Full-service community schools. For full-service community schools 
47.12 	under Minnesota Statutes, section 124D.231:

47.13		$
	250,000
	.....
	2016
	
47.14
47.15		$
	250,000 
2,450,000
	.....
	2017
	
47.16 	This is a onetime appropriation.  Up to $100,000 each year is for administration of this 
47.17 	program. Any balance in the first year does not cancel but is available in the second year.

47.18 	Sec. 36. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 
47.19 	21, is amended to read:
47.20 		Subd. 21.American Indian teacher preparation grants. For joint grants to assist 
47.21 	American Indian people to become teachers under Minnesota Statutes, section 122A.63:

47.22		$
	190,000
	.....
	2016
	
47.23
47.24		$
	190,000
1,250,000
	.....
	2017

47.25 	Sec. 37. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 
47.26 	24, is amended to read:
47.27 		Subd. 24.Race 2 Reduce. For grants to support expanded Race 2 Reduce water 
47.28 	conservation programming in Minnesota schools:

47.29		$
	81,000
	.....
	2016
	
47.30
47.31		$
	69,000
219,000
	.....
	2017
	
47.32 	In the first year, $28,000 is for H2O for Life; $38,000 is for Independent School 
47.33 	District No. 624, White Bear Lake; and $15,000 is for Independent School District No. 
47.34 	832, Mahtomedi. In the second year, $32,000 $102,000 is for H2O for Life; $22,000
48.1 	$70,000 is for Independent School District No. 624, White Bear Lake; and $15,000
48.2 	$47,000 is for Independent School District No. 832, Mahtomedi.
48.3 	Any balance in the first year does not cancel but is available in the second year. The 
48.4 	base appropriation for fiscal year 2018 and later is $0.

48.5 	Sec. 38. Laws 2015, First Special Session chapter 3, article 3, section 15, subdivision 
48.6 	3, is amended to read:
48.7 		Subd. 3.ACT testCollege entrance examination reimbursement. To reimburse 
48.8 	districts for students who qualify under Minnesota Statutes, section 120B.30, subdivision 
48.9 	1, paragraph (e), for onetime payment of their ACTcollege entrance examination fee:

48.10		$
	3,011,000
	.....
	2016
	
48.11		$
	3,011,000
	.....
	2017
	
48.12 	The Department of Education must reimburse districts for their onetime payments 
48.13 	on behalf of students. Any balance in the first year does not cancel but is available in the 
48.14 	second year. This appropriation is available until October 1, 2017. For examinations taken 
48.15 	before July 1, 2016, the department may reimburse districts only for ACT examination fees.

48.16 	Sec. 39. AGRICULTURAL EDUCATOR GRANTS.
 48.17 		Subdivision 1.Grant program established. A grant program is established to 
48.18 	support school districts in paying agricultural education teachers for work over the 
48.19 	summer with high school students in extended projects.
48.20 		Subd. 2.Application. The commissioner of education shall develop the form and 
48.21 	method for applying for the grants. The commissioner shall develop criteria for determining 
48.22 	the allocation of the grants, including appropriate goals for the use of the grants.
48.23 		Subd. 3.Grant awards. Grant funding under this section must be matched 
48.24 	by funding from the school district for the agricultural education teacher's summer 
48.25 	employment. Grant funding for each teacher is limited to the one-half share of 40 working 
48.26 	days.
48.27 		Subd. 4.Reports. School districts that receive grant funds shall report to the 
48.28 	commissioner of education no later than December 31 of each year regarding the number 
48.29 	of teachers funded by the grant program and the outcomes compared to the goals 
48.30 	established in the grant application. The Department of Education shall develop the 
48.31 	criteria necessary for the reports.

48.32 	Sec. 40. EXCELLENCE IN TEACHING INCENTIVE GRANTS.
 49.1 	The Board of Teaching shall award a onetime incentive grant of $2,000 to any 
49.2 	Minnesota teacher who achieves National Board Certification after June 30, 2016, as long 
49.3 	as funds are available. A teacher may apply for a grant in the form and manner determined 
49.4 	by the Board of Teaching. The grants must be awarded on a first-come, first-served basis.

49.5 	Sec. 41. OUTDOOR PLACE-BASED EDUCATION ADVISORY GROUP.
 49.6 		Subdivision 1.Definitions. For purposes of this section, "outdoor place-based 
49.7 	education" means the process of using the local community and outdoor environment as 
49.8 	a starting point to teach concepts in language arts, mathematics, social studies, science, 
49.9 	history, and other subjects across the curriculum.
49.10 		Subd. 2.Advisory group creation. The outdoor place-based education advisory 
49.11 	group consists of the following 14 members:
49.12 	(1) the commissioner or director of the following agencies or their designees: 
49.13 	(i) the Department of Education; 
49.14 	(ii) the Department of Natural Resources; and
49.15 	(iii) the Minnesota Historical Society;
49.16 	(2) 11 public members who have demonstrated an interest in outdoor skills and 
49.17 	education:
49.18 	(i) one member appointed by Education Minnesota;
49.19 	(ii) one member appointed by the Minnesota Rural Education Association;
49.20 	(iii) one member appointed by the Minnesota School Boards Association;
49.21 	(iv) one member appointed by the Minnesota Association of Charter Schools;
49.22 	(v) one member appointed by the Parks and Trails Council of Minnesota;
49.23 	(vi) one public member appointed by the majority leader of the senate;
49.24 	(vii) one public member appointed by the minority leader of the senate;
49.25 	(viii) one public member appointed by the speaker of the house;
49.26 	(ix) one public member appointed by the minority leader of the house of 
49.27 	representatives; and
49.28 	(x) two public members appointed by the governor.
49.29 		Subd. 3.Advisory group duties; report required. (a) The advisory group must 
49.30 	develop recommendations for the design and implementation of a statewide outdoor 
49.31 	place-based education plan for students in prekindergarten through grade 12. The advisory 
49.32 	group must report proposed recommendations to the chairs and ranking minority members 
49.33 	of the legislative committees with primary jurisdiction over kindergarten through grade 12 
49.34 	education policy by February 15, 2017.
49.35 	(b) The report required under this subdivision must, at a minimum:
50.1 	(1) recommend strategies for the integration of outdoor place-based education in 
50.2 	each of the subject areas required for statewide accountability under Minnesota Statutes, 
50.3 	section 120B.021, subdivision 1, including any staff development required to support 
50.4 	such integration;
50.5 	(2) identify grades or grade ranges in which outdoor place-based education may 
50.6 	have the greatest impact, given limited staff and financial resources;
50.7 	(3) recommend an assessment instrument that districts may use in order to evaluate 
50.8 	the impact of outdoor place-based education; and
50.9 	(4) estimate the financial and human resources required to implement the 
50.10 	recommendations on a statewide basis.
50.11 		Subd. 4.Administrative provisions. (a) The commissioner of education or the 
50.12 	commissioner's designee must convene the initial meeting of the advisory group by 
50.13 	September 15, 2016. Upon request of the advisory group, the commissioner must provide 
50.14 	meeting space and administrative services for the advisory group. The members of the 
50.15 	advisory group must elect a chair or cochairs from the members of the advisory group at 
50.16 	the initial meeting.
50.17 	(b) Public members of the advisory group serve without compensation, but may be 
50.18 	reimbursed for travel expenses.
50.19 	(c) The advisory group expires February 15, 2017, or upon submission of the report 
50.20 	required under this section, whichever is earlier.
50.21 		Subd. 5.Deadline for appointments and designations. The appointments and 
50.22 	designations authorized under this section must be completed by August 15, 2016.

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

50.24 	Sec. 42. PARAPROFESSIONAL PATHWAY TO TEACHER LICENSURE.
 50.25 	The commissioner of education must establish a grant program for school districts 
50.26 	to design, establish, and maintain a paraprofessional pathway to teacher licensure or 
50.27 	a grow your own new teacher program. The programs must allow a current school 
50.28 	district paraprofessional to pursue their teaching license while still being employed by 
50.29 	the school district. A school district may apply in the form and manner prescribed by 
50.30 	the commissioner.

50.31 	Sec. 43. SUPPORT OUR STUDENTS GRANT PROGRAM.
 50.32 		Subdivision 1.Definitions. For the purposes of this section, the following terms 
50.33 	have the meanings given them:
51.1 	(1) "student support services personnel" includes individuals licensed to serve as a 
51.2 	school counselor, school psychologist, school social worker, school nurse, or chemical 
51.3 	dependency counselor in Minnesota; and
51.4 	(2) "new position" means a student support services personnel full-time or part-time 
51.5 	position not under contract by a school at the start of the 2015-2016 school year.
51.6 		Subd. 2.Purpose. The purpose of the support our students grant program is to:
51.7 	(1) address shortages of student support services personnel within Minnesota schools;
51.8 	(2) decrease caseloads for existing student support services personnel to ensure 
51.9 	effective services;
51.10 	(3) ensure that students receive effective academic guidance and integrated and 
51.11 	comprehensive services to improve kindergarten through grade 12 school outcomes and 
51.12 	career and college readiness;
51.13 	(4) ensure that student support services personnel serve within the scope and practice 
51.14 	of their training and licensure;
51.15 	(5) fully integrate learning supports, instruction, and school management within a 
51.16 	comprehensive approach that facilitates interdisciplinary collaboration; and
51.17 	(6) improve school safety and school climate to support academic success and 
51.18 	career and college readiness.
51.19 		Subd. 3.Grant eligibility and application. (a) A school district, charter school, 
51.20 	intermediate school district, or other cooperative unit is eligible to apply for a six-year 
51.21 	matching grant under this section.
51.22 	(b) The commissioner of education shall specify the form and manner of the grant 
51.23 	application. In awarding grants, the commissioner must give priority to schools in 
51.24 	which student support services personnel positions do not currently exist. To the extent 
51.25 	practicable, the commissioner must award grants equally between applicants in metro 
51.26 	counties and nonmetro counties. Additional criteria must include at least the following:
51.27 	(1) existing student support services personnel caseloads;
51.28 	(2) school demographics;
51.29 	(3) Title 1 revenue;
51.30 	(4) Minnesota student survey data;
51.31 	(5) graduation rates; and
51.32 	(6) postsecondary completion rates.
51.33 		Subd. 4.Allowed uses; match requirements. A grant under this section must be 
51.34 	used to hire a new position. A school that receives a grant must match the grant with local 
51.35 	funds in each year of the grant. In each of the first four years of the grant, the local match 
51.36 	equals $1 for every $1 awarded in the same year. In years five and six of the grant, the 
52.1 	local match equals $3 for every $1 awarded in the same year. The local match may not 
52.2 	include federal reimbursements attributable to the new position.
52.3 		Subd. 5.Report required.  By February 1 following any fiscal year in which it 
52.4 	received a grant, a school must submit a written report to the commissioner indicating 
52.5 	how the new positions affected two or more of the following measures:
52.6 	(1) school climate;
52.7 	(2) attendance rates;
52.8 	(3) academic achievement;
52.9 	(4) career and college readiness; and
52.10 	(5) postsecondary completion rates.

52.11 	Sec. 44. TEACHER DEVELOPMENT AND EVALUATION AID.
 52.12 	(a) For fiscal year 2017 only, teacher development and evaluation aid for a school 
52.13 	district, intermediate school district, educational cooperative, education district, or charter 
52.14 	school with any school site that does not have an alternative professional pay system 
52.15 	agreement under Minnesota Statutes, section 122A.414, subdivision 2, equals $400.68 
52.16 	times the number of full-time equivalent teachers employed on October 1 of the previous 
52.17 	school year in each school site without an alternative professional pay system under 
52.18 	Minnesota Statutes, section 122A.414, subdivision 2. Except for charter schools, aid under 
52.19 	this section must be reserved for teacher development and evaluation activities consistent 
52.20 	with Minnesota Statutes, section 122A.40, subdivision 8, or 122A.41, subdivision 5. 
52.21 	For the purposes of this section, "teacher" has the meaning given in Minnesota Statutes, 
52.22 	section 122A.40, subdivision 1, or 122A.41, subdivision 1.
52.23 	(b) Notwithstanding paragraph (a), the state total teacher development and evaluation 
52.24 	aid entitlement must not exceed $10,000,000 for fiscal year 2017. The commissioner must 
52.25 	limit the amount of aid under this section so as not to exceed this limit.
52.26 	(c) One hundred percent of the teacher development and evaluation aid must be 
52.27 	paid in fiscal year 2017.

52.28 	Sec. 45. APPROPRIATIONS.
 52.29 		Subdivision 1.Department of Education. The sums indicated in this section are 
52.30 	appropriated from the general fund to the Department of Education for the fiscal years 
52.31 	designated.
52.32 		Subd. 2.Teacher development and evaluation. For teacher development and 
52.33 	evaluation aid:

53.1		$
	10,000,000
	.....
	2017
	
53.2 	This is a onetime appropriation.
53.3 		Subd. 3.Support our students grants. For support our students grants:

53.4		$	
13,100,000
	.....
	2017
	
53.5 	This is a onetime appropriation.
53.6 	Notwithstanding Minnesota Statutes, section 16A.28, this appropriation is available 
53.7 	until June 30, 2023. The commissioner may not allot more than $2,600,000 of this 
53.8 	appropriation before July 1, 2019. Up to $100,000 of this appropriation may be retained 
53.9 	by the commissioner for administration of the grant program. Any balance remaining after 
53.10 	June 30, 2023, shall cancel to the general fund.
53.11 		Subd. 4.Paraprofessional pathway to teacher licensure. For grants to school 
53.12 	districts for grow your own new teacher programs:

53.13		$
	2,250,000
	.....
	2017
	
53.14 	The base in fiscal year 2018 is $2,250,000.
53.15 		Subd. 5.Minnesota Council on Economic Education. For a grant to the 
53.16 	Minnesota Council on Economic Education to provide staff development to teachers 
53.17 	for the implementation of the state graduation standards in learning areas relating to 
53.18 	economic education:

53.19		$
	250,000
	.....
	2017
	
53.20 	The commissioner, in consultation with the council, shall develop expected results 
53.21 	of staff development, eligibility criteria for participants, an evaluation procedure, and 
53.22 	guidelines for direct and in-kind contributions by the council.
53.23 	This is a onetime appropriation.
53.24 		Subd. 6.Education Innovation Partners Cooperative Center. For a matching 
53.25 	grant to Education Innovation Partners Cooperative Center, No. 6091-50, to provide 
53.26 	research-based professional development services, on-site training, and leadership 
53.27 	coaching to teachers and other school staff:

53.28		$
	500,000
	.....
	2017
	
53.29 	A grant under this subdivision must be matched with money or in-kind contributions 
53.30 	from nonstate sources. This is a onetime appropriation.
53.31 		Subd. 7.Teacher-governed school grants. For grants to teacher-governed schools 
53.32 	under Minnesota Statutes, section 123B.04, subdivision 2a:

54.1		$
	500,000
	.....
	2017
	
54.2 	This is a onetime appropriation.
54.3 		Subd. 8.Outdoor place-based education program. For an outdoor place-based 
54.4 	education literature review:

54.5		$	
35,000
	.....
	2017
	
54.6 	The commissioner, in collaboration with outdoor place-based education providers, 
54.7 	shall provide for a literature review of the existing evidence of the effect of outdoor 
54.8 	place-based education on educational outcomes and development of core competencies 
54.9 	that lead to career and college success and deliver the literature review to the outdoor 
54.10 	place-based education advisory group no later than November 15, 2016. This is a onetime 
54.11 	appropriation. For purposes of this subdivision, "outdoor place-based education" means 
54.12 	the process of using the local community and outdoor environment as a starting point to 
54.13 	teach concepts in language arts, mathematics, social studies, science, history, and other 
54.14 	subjects across the curriculum.
54.15 		Subd. 9.Outdoor place-based education advisory group. For the outdoor 
54.16 	place-based education advisory group:

54.17		$
	50,000
	.....
	2017
	
54.18 	This is a onetime appropriation.
54.19 		Subd. 10.Staff development aid for cooperative units. For payment of staff 
54.20 	development aid to intermediate school districts and other cooperative units under 
54.21 	Minnesota Statutes, section 122A.61, subdivision 1a:

54.22		$
	1,493,000
	.....
	2017
	
54.23 		Subd. 11.Student teachers in shortage areas. For transfer to the commissioner of 
54.24 	the Office of Higher Education for the purpose of providing grants to student teachers in 
54.25 	shortage areas under Minnesota Statutes, section 136A.1275:

54.26		$
	2,000,000
	.....
	2017
	
54.27 	Any balance in the first year does not cancel but is available in the second year.
54.28 		Subd. 12.Singing-based pilot program to improve student reading. (a) For a 
54.29 	grant to pilot a research-supported, computer-based educational program that uses singing 
54.30 	to improve the reading ability of students in grades three to five:

54.31		$
	300,000
	.....
	2017
	
55.1 	(b) The commissioner of education shall award a grant to a 501(c)(3) nonprofit 
55.2 	organization to implement in at least three Minnesota school districts, charter schools, 
55.3 	or school sites, a research-supported, computer-based educational program that uses 
55.4 	singing to improve the reading ability of students in grades three to five. The grantee shall 
55.5 	be responsible for selecting participating school sites; providing any required hardware 
55.6 	and software, including software licenses, for the duration of the grant period; providing 
55.7 	technical support, training, and staff to install required project hardware and software; 
55.8 	providing on-site professional development and instructional monitoring and support for 
55.9 	school staff and students; administering pre- and post-intervention reading assessments; 
55.10 	evaluating the impact of the intervention; and other project management services as 
55.11 	required. To the extent practicable, the grantee must select participating schools in urban, 
55.12 	suburban, and greater Minnesota, and give priority to schools in which a high proportion 
55.13 	of students do not read proficiently at grade level and are eligible for free or reduced-price 
55.14 	lunch.
55.15 	(c) By February 15, 2017, the grantee must submit a report detailing expenditures 
55.16 	and outcomes of the grant to the commissioner of education and the chairs and 
55.17 	ranking minority members of the legislative committees with primary jurisdiction over 
55.18 	kindergarten through grade 12 education policy and finance.
55.19 	(d) This is a onetime appropriation.
55.20 		Subd. 13.Agricultural educator grants. For agricultural educator grants:

55.21		$
	250,000
	.....
	2017
	
55.22 	This is a onetime appropriation.

55.23 	ARTICLE 3
55.24 	CHARTER SCHOOLS

55.25 	Section 1. Minnesota Statutes 2015 Supplement, section 124E.10, is amended by 
55.26 	adding a subdivision to read:
55.27 		Subd. 7.School closures. (a) Upon the final decision to close a charter school, 
55.28 	whether by voluntary action of the charter school's board of directors, nonrenewal 
55.29 	or termination of the charter contract by the authorizer, or termination of the charter 
55.30 	contract by the commissioner, the board of directors shall appoint a school closure trustee, 
55.31 	approved by the authorizer, within 15 business days of the final decision. The board of 
55.32 	directors or the authorizer may require the trustee to post a bond, in a sum and nature 
55.33 	reflective of the school's current condition and situation.
56.1 	(b) The trustee must be a resident of Minnesota, possess a bachelor's or postgraduate 
56.2 	degree in accounting, law, nonprofit management, educational administration, or other 
56.3 	appropriate field, and have at least five years of work experience in their degree area. The 
56.4 	trustee must submit to a state and federal criminal background check, must not have 
56.5 	been convicted of a felony or other crime involving moral turpitude, and must not have 
56.6 	been found liable in a civil court for fraud, breach of fiduciary duty, civil theft, or similar 
56.7 	misconduct. The trustee must not be under investigation or pending criminal prosecution 
56.8 	for a felony or other crime. The trustee must not have a history of wage garnishment by 
56.9 	the Internal Revenue Service or the state and must not have filed for bankruptcy.
56.10 	(c) The trustee must not have been an employee or contractor of the charter school 
56.11 	during the previous five years and must not have an immediate family member who is 
56.12 	an employee or contractor of the charter school or who serves on the charter school's 
56.13 	board of directors. The trustee must be independent and have no material interest adverse 
56.14 	to the school.
56.15 	(d) The trustee shall have the responsibility to activate and execute the closure plan 
56.16 	for the charter school outlined in the school's charter contract, including the transfer 
56.17 	of student records required by subdivision 6, and the reporting of financial and student 
56.18 	data to the department necessary for the release of final aid payments under section 
56.19 	124E.25, subdivision 1, paragraph (b). Upon the appointment of the trustee, the trustee 
56.20 	must approve all school expenditures before payment and shall be a required signatory 
56.21 	on all school accounts and payments made by the school. The trustee has the authority 
56.22 	to void and seek reimbursement of any and all extraordinary payments of the school 
56.23 	to individuals, contractors, or corporations made within 90 business days of the final 
56.24 	decision to close. If during the closure process it is determined by the charter school's 
56.25 	board of directors or the authorizer that the trustee is not performing the closure duties in 
56.26 	an efficient and effective manner, the authorizer may appoint a new trustee.
56.27 	(e) The trustee shall be entitled to immunity provided by common law for acts or 
56.28 	omissions within the scope of the trustee's appointment. The trustee is not exempt from an 
56.29 	illegal or criminal act, nor any act that is a result of malfeasance or misfeasance.
56.30 	(f) A charter school closure fund shall be established and managed by the Department 
56.31 	of Education. The Department of Education may charge the fund a management fee 
56.32 	commensurate with the annual activity in the fund. The Department of Education must 
56.33 	issue an annual report on the income and expenditures of the fund by September 30 to all 
56.34 	charter schools. The fund shall be financed by a per capita pupil fee paid by all charter 
56.35 	schools. Until the fund reaches a cap of $200,000, the per capita pupil fee shall be $1 per 
56.36 	pupil annually. Upon the fund reaching the $200,000 cap, the annual per capita pupil fee 
57.1 	shall equal the per pupil amount needed to maintain the fund at $200,000. The Department 
57.2 	of Education shall have the power to deduct the annual fee from a charter school aid 
57.3 	payment in the month of February based on the number of pupils enrolled in charter 
57.4 	schools on October 1 of the previous year, and transfer the funding to the charter school 
57.5 	closure fund. When an authorizer ceases to authorize schools, the authorizer shall transfer 
57.6 	any remaining balance from authorizer fees to the fund.
57.7 	(g) Funds from the charter school closure fund may only be authorized and used for 
57.8 	the following expenses: the cost of the external audits necessary for the school closure 
57.9 	process; the cost of liability insurance for the school corporation during the closure 
57.10 	process; legal costs for the dissolution of the school corporation; and the trustee's fee, 
57.11 	negotiated upon appointment. The charter school closure fund shall not be used for any 
57.12 	other expenses related to the closed school and may only be requested after all other 
57.13 	school funds and assets of the closed school have been expended. No more than $70,000 
57.14 	may be expended from the fund for an individual school closure process. The trustee may 
57.15 	request funding to cover the authorized expenditures, except for the trustee's fee, which 
57.16 	must be requested by the charter school's board of directors or the authorizer if the board 
57.17 	of directors is nonoperative.
57.18 	(h) If a charter school board of directors files for bankruptcy upon the final decision 
57.19 	to close the school, the bankruptcy trustee appointed by the bankruptcy court shall have 
57.20 	the authority to activate and execute the closure plan in the charter school contract.

57.21 	Sec. 2. Minnesota Statutes 2014, section 127A.45, subdivision 6a, is amended to read:
57.22 		Subd. 6a.Cash flow adjustment. The board of directors of any charter school 
57.23 	serving fewer than 200 students where the percent of students eligible for special 
57.24 	education services equals at least 90 percent of the charter school's total enrollment 
57.25 	eligible special education charter school under section 124E.21, subdivision 2, may 
57.26 	request that the commissioner of education accelerate the school's cash flow under this 
57.27 	section. The commissioner must approve a properly submitted request within 30 days of 
57.28 	its receipt. The commissioner must accelerate the school's regular special education aid 
57.29 	payments according to the schedule in the school's request and modify the payments to the 
57.30 	school under subdivision 3 accordingly. A school must not receive current payments of 
57.31 	regular special education aid exceeding 90 percent of its estimated aid entitlement for the 
57.32 	fiscal year. The commissioner must delay the special education aid payments to all other 
57.33 	school districts and charter schools in proportion to each district or charter school's total 
57.34 	share of regular special education aid such that the overall aid payment savings from the 
57.35 	aid payment shift remains unchanged for any fiscal year.

58.1 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
58.2 	later.

58.3 	Sec. 3. Laws 2015, First Special Session chapter 3, article 4, section 4, the effective 
58.4 	date, is amended to read:

58.5 	EFFECTIVE DATE. This section is effective the day following final enactment 
58.6 	except the provision under paragraph (g) allowing prekindergarten deaf or hard-of-hearing 
58.7 	pupils to enroll in a charter school is effective only if the commissioner of education 
58.8 	determines there is no added cost attributable to the pupil for the 2016-2017 school year 
58.9 	and later.

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

58.11 	Sec. 4. Laws 2015, First Special Session chapter 3, article 4, section 9, subdivision 2, 
58.12 	is amended to read:
58.13 		Subd. 2.Charter school building lease aid. For building lease aid under Minnesota 
58.14 	Statutes, section 124D.11, subdivision 4 124E.22: 

58.15
58.16		$
	66,787,000
63,540,000
	.....
	2016
	
58.17
58.18		$
	73,603,000
70,132,000
	.....
	2017
	
58.19 	The 2016 appropriation includes $6,032,000 for 2015 and $60,755,000 $57,508,000
58.20 	for 2016.
58.21 	The 2017 appropriation includes $6,750,000 $6,389,000 for 2016 and $66,853,000
58.22 	$63,743,000 for 2017.

58.23 	ARTICLE 4
58.24 	SPECIAL EDUCATION

58.25 	Section 1. Minnesota Statutes 2015 Supplement, section 125A.08, is amended to read:
58.26 	125A.08 INDIVIDUALIZED EDUCATION PROGRAMS.
58.27 	(a) At the beginning of each school year, each school district shall have in effect, for 
58.28 	each child with a disability, an individualized education program.
58.29 	(b) As defined in this section, every district must ensure the following:
58.30 	(1) all students with disabilities are provided the special instruction and services 
58.31 	which are appropriate to their needs. Where the individualized education program team 
58.32 	has determined appropriate goals and objectives based on the student's needs, including the 
59.1 	extent to which the student can be included in the least restrictive environment, and where 
59.2 	there are essentially equivalent and effective instruction, related services, or assistive 
59.3 	technology devices available to meet the student's needs, cost to the district may be among 
59.4 	the factors considered by the team in choosing how to provide the appropriate services, 
59.5 	instruction, or devices that are to be made part of the student's individualized education 
59.6 	program. The individualized education program team shall consider and may authorize 
59.7 	services covered by medical assistance according to section 256B.0625, subdivision 26. 
59.8 	When a school district makes a determination of other health disability under Minnesota 
59.9 	Rules, part 3525.1335, subparts 1, and 2, item A, subitem (1), the student's individualized 
59.10 	education program team must seek written and signed documentation by a licensed health 
59.11 	provider within the scope of the provider's practice of a medically diagnosed chronic or 
59.12 	acute health condition. The student's needs and the special education instruction and 
59.13 	services to be provided must be agreed upon through the development of an individualized 
59.14 	education program. The program must address the student's need to develop skills to 
59.15 	live and work as independently as possible within the community. The individualized 
59.16 	education program team must consider positive behavioral interventions, strategies, 
59.17 	and supports that address behavior needs for children. During grade 9, the program 
59.18 	must address the student's needs for transition from secondary services to postsecondary 
59.19 	education and training, employment, community participation, recreation, and leisure 
59.20 	and home living. In developing the program, districts must inform parents of the full 
59.21 	range of transitional goals and related services that should be considered. The program 
59.22 	must include a statement of the needed transition services, including a statement of the 
59.23 	interagency responsibilities or linkages or both before secondary services are concluded;
59.24 	(2) children with a disability under age five and their families are provided special 
59.25 	instruction and services appropriate to the child's level of functioning and needs;
59.26 	(3) children with a disability and their parents or guardians are guaranteed procedural 
59.27 	safeguards and the right to participate in decisions involving identification, assessment 
59.28 	including assistive technology assessment, and educational placement of children with a 
59.29 	disability;
59.30 	(4) eligibility and needs of children with a disability are determined by an initial 
59.31 	evaluation or reevaluation, which may be completed using existing data under United 
59.32 	States Code, title 20, section 33, et seq.;
59.33 	(5) to the maximum extent appropriate, children with a disability, including those 
59.34 	in public or private institutions or other care facilities, are educated with children who 
59.35 	are not disabled, and that special classes, separate schooling, or other removal of children 
59.36 	with a disability from the regular educational environment occurs only when and to the 
60.1 	extent that the nature or severity of the disability is such that education in regular classes 
60.2 	with the use of supplementary services cannot be achieved satisfactorily;
60.3 	(6) in accordance with recognized professional standards, testing and evaluation 
60.4 	materials, and procedures used for the purposes of classification and placement of children 
60.5 	with a disability are selected and administered so as not to be racially or culturally 
60.6 	discriminatory; and
60.7 	(7) the rights of the child are protected when the parents or guardians are not known 
60.8 	or not available, or the child is a ward of the state.
60.9 	(c) For all paraprofessionals employed to work in programs whose role in part is 
60.10 	to provide direct support to students with disabilities, the school board in each district 
60.11 	shall ensure that:
60.12 	(1) before or beginning at the time of employment, each paraprofessional must 
60.13 	develop sufficient knowledge and skills in emergency procedures, building orientation, 
60.14 	roles and responsibilities, confidentiality, vulnerability, and reportability, among other 
60.15 	things, to begin meeting the needs, especially disability-specific and behavioral needs, of 
60.16 	the students with whom the paraprofessional works;
60.17 	(2) annual training opportunities are required to enable the paraprofessional to 
60.18 	continue to further develop the knowledge and skills that are specific to the students with 
60.19 	whom the paraprofessional works, including understanding disabilities, the unique and 
60.20 	individual needs of each student according to the student's disability and how the disability 
60.21 	affects the student's education and behavior, following lesson plans, and implementing 
60.22 	follow-up instructional procedures and activities; and
60.23 	(3) a districtwide process obligates each paraprofessional to work under the ongoing 
60.24 	direction of a licensed teacher and, where appropriate and possible, the supervision of a 
60.25 	school nurse.

60.26 	Sec. 2. Minnesota Statutes 2015 Supplement, section 125A.11, subdivision 1, is 
60.27 	amended to read:
60.28 		Subdivision 1.Nonresident tuition rate; other costs. (a) For fiscal year 2015 and 
60.29 	later, when a school district provides special instruction and services for a pupil with 
60.30 	a disability as defined in section 125A.02 outside the district of residence, excluding 
60.31 	a pupil for whom an adjustment to special education aid is calculated according to 
60.32 	section 127A.47, subdivision 7, paragraphs (b) to (d), special education aid paid to the 
60.33 	resident district must be reduced by an amount equal to (1) the actual cost of providing 
60.34 	special instruction and services to the pupil, including a proportionate amount for special 
60.35 	transportation and unreimbursed building lease and debt service costs for facilities 
61.1 	used primarily for special education, plus (2) the amount of general education revenue, 
61.2 	excluding local optional revenue, plus local optional aid and referendum equalization aid 
61.3 	attributable to that pupil, calculated using the resident district's average general education 
61.4 	revenue and referendum equalization aid per adjusted pupil unit excluding basic skills 
61.5 	revenue, elementary sparsity revenue and secondary sparsity revenue, minus (3) the 
61.6 	amount of special education aid for children with a disability under section 125A.76 
61.7 	received on behalf of that child, minus (4) if the pupil receives special instruction and 
61.8 	services outside the regular classroom for more than 60 percent of the school day, the 
61.9 	amount of general education revenue and referendum equalization aid, excluding portions 
61.10 	attributable to district and school administration, district support services, operations and 
61.11 	maintenance, capital expenditures, and pupil transportation, attributable to that pupil 
61.12 	for the portion of time the pupil receives special instruction and services outside of the 
61.13 	regular classroom, calculated using the resident district's average general education 
61.14 	revenue and referendum equalization aid per adjusted pupil unit excluding basic skills 
61.15 	revenue, elementary sparsity revenue and secondary sparsity revenue and the serving 
61.16 	district's basic skills revenue, elementary sparsity revenue and secondary sparsity revenue 
61.17 	per adjusted pupil unit. Notwithstanding clauses (1) and (4), for pupils served by a 
61.18 	cooperative unit without a fiscal agent school district, the general education revenue and 
61.19 	referendum equalization aid attributable to a pupil must be calculated using the resident 
61.20 	district's average general education revenue and referendum equalization aid excluding 
61.21 	compensatory revenue, elementary sparsity revenue, and secondary sparsity revenue. 
61.22 	Special education aid paid to the district or cooperative providing special instruction and 
61.23 	services for the pupil must be increased by the amount of the reduction in the aid paid 
61.24 	to the resident district. Amounts paid to cooperatives under this subdivision and section 
61.25 	127A.47, subdivision 7, shall be recognized and reported as revenues and expenditures on 
61.26 	the resident school district's books of account under sections 123B.75 and 123B.76. If 
61.27 	the resident district's special education aid is insufficient to make the full adjustment, the 
61.28 	remaining adjustment shall be made to other state aid due to the district.
61.29 	(b) Notwithstanding paragraph (a), when a charter school receiving special education 
61.30 	aid under section 124E.21, subdivision 3, provides special instruction and services for 
61.31 	a pupil with a disability as defined in section 125A.02, excluding a pupil for whom an 
61.32 	adjustment to special education aid is calculated according to section 127A.46, subdivision 
61.33 	7, paragraphs (b) to (e), special education aid paid to the resident district must be reduced 
61.34 	by an amount equal to that calculated under paragraph (a) as if the charter school received 
61.35 	aid under section 124E.21, subdivision 1. Notwithstanding paragraph (a), special education 
62.1 	aid paid to the charter school providing special instruction and services for the pupil must 
62.2 	not be increased by the amount of the reduction in the aid paid to the resident district.
62.3 	(c) Notwithstanding paragraph (a) and section 127A.47, subdivision 7, paragraphs 
62.4 	(b) to (d),:
62.5 	(1) an intermediate district or a special education cooperative may recover 
62.6 	unreimbursed costs of serving pupils with a disability, including building lease, debt 
62.7 	service, and indirect costs necessary for the general operation of the organization, by 
62.8 	billing membership fees and nonmember access fees to the resident district;
62.9 	(2) a charter school where more than 30 percent of enrolled students receive special 
62.10 	education and related services, a site approved under section 125A.515, an intermediate 
62.11 	district, or a special education cooperative, or a school district that served as the applicant 
62.12 	agency for a group of school districts for federal special education aids for fiscal year 2006
62.13 	may apply to the commissioner for authority to charge the resident district an additional 
62.14 	amount to recover any remaining unreimbursed costs of serving pupils with a disability.;
62.15 	(3) the billing under clause (1) or application under clause (2) must include a 
62.16 	description of the costs and the calculations used to determine the unreimbursed portion to 
62.17 	be charged to the resident district. Amounts approved by the commissioner under this 
62.18 	paragraph clause (2)  must be included in the tuition billings or aid adjustments under 
62.19 	paragraph (a), or section 127A.47, subdivision 7, paragraphs (b) to (d), as applicable.
62.20 	(d) For purposes of this subdivision and section 127A.47, subdivision 7, paragraph 
62.21 	(b), "general education revenue and referendum equalization aid" means the sum of the 
62.22 	general education revenue according to section 126C.10, subdivision 1, excluding the 
62.23 	local optional levy according to section 126C.10, subdivision 2e, paragraph (c), plus the 
62.24 	referendum equalization aid according to section 126C.17, subdivision 7.

62.25 	Sec. 3. Minnesota Statutes 2015 Supplement, section 125A.21, subdivision 3, is 
62.26 	amended to read:
62.27 		Subd. 3.Use of reimbursements. Of the reimbursements received, districts may
62.28 	School districts must reserve third-party revenue and must spend the reimbursements 
62.29 	received only to:
62.30 	(1) retain an amount sufficient to compensate the district for its administrative costs 
62.31 	of obtaining reimbursements;
62.32 	(2) regularly obtain from education- and health-related entities training and other 
62.33 	appropriate technical assistance designed to improve the district's ability to access 
62.34 	third-party payments for individualized education program or individualized family 
62.35 	service plan health-related services; or
63.1 	(3) reallocate reimbursements for the benefit of students with individualized 
63.2 	education programs or individualized family service plans in the district.

63.3 	Sec. 4. Minnesota Statutes 2015 Supplement, section 125A.76, subdivision 2c, is 
63.4 	amended to read:
63.5 		Subd. 2c.Special education aid. (a) For fiscal year 2014 and fiscal year 2015, a 
63.6 	district's special education aid equals the sum of the district's special education aid under 
63.7 	subdivision 5, the district's cross subsidy reduction aid under subdivision 2b, and the 
63.8 	district's excess cost aid under section 125A.79, subdivision 7.
63.9 	(b) For fiscal year 2016 and later, a district's special education aid equals the sum of 
63.10 	the district's special education initial aid under subdivision 2a and the district's excess cost 
63.11 	aid under section 125A.79, subdivision 5.
63.12 	(c) Notwithstanding paragraph (b), for fiscal year 2016, the special education aid for 
63.13 	a school district must not exceed the sum of the special education aid the district would 
63.14 	have received for fiscal year 2016 under Minnesota Statutes 2012, sections 125A.76 
63.15 	and 125A.79, as adjusted according to Minnesota Statutes 2012, sections 125A.11 and 
63.16 	127A.47, subdivision 7, and the product of the district's average daily membership served 
63.17 	and the special education aid increase limit.
63.18 	(d) Notwithstanding paragraph (b), for fiscal year 2017 and later, the special education 
63.19 	aid for a school district must not exceed the sum of: (i) the product of the district's average 
63.20 	daily membership served and the special education aid increase limit and (ii) the product 
63.21 	of the sum of the special education aid the district would have received for fiscal year 2016 
63.22 	under Minnesota Statutes 2012, sections 125A.76 and 125A.79, as adjusted according 
63.23 	to Minnesota Statutes 2012, sections 125A.11 and 127A.47, subdivision 7, the ratio of 
63.24 	the district's average daily membership served for the current fiscal year to the district's 
63.25 	average daily membership served for fiscal year 2016, and the program growth factor.
63.26 	(e) Notwithstanding paragraph (b), for fiscal year 2016 and later the special 
63.27 	education aid for a school district, not including a charter school or cooperative unit as 
63.28 	defined in section 123A.24, must not be less than the lesser of (1) the district's nonfederal 
63.29 	special education expenditures for that fiscal year or (2) the product of the sum of the 
63.30 	special education aid the district would have received for fiscal year 2016 under Minnesota 
63.31 	Statutes 2012, sections 125A.76 and 125A.79, as adjusted according to Minnesota Statutes 
63.32 	2012, sections 125A.11 and 127A.47, subdivision 7, the ratio of the district's adjusted 
63.33 	daily membership for the current fiscal year to the district's average daily membership for 
63.34 	fiscal year 2016, and the program growth factor.
64.1 	(f) Notwithstanding subdivision 2a and section 125A.79, a charter school in its first 
64.2 	year of operation shall generate special education aid based on current year data. A newly 
64.3 	formed cooperative unit as defined in section 123A.24 may apply to the commissioner 
64.4 	for approval to generate special education aid for its first year of operation based on 
64.5 	current year data, with an offsetting adjustment to the prior year data used to calculate aid 
64.6 	for programs at participating school districts or previous cooperatives that were replaced 
64.7 	by the new cooperative.
64.8 	(g) The department shall establish procedures through the uniform financial 
64.9 	accounting and reporting system to identify and track all revenues generated from 
64.10 	third-party billings as special education revenue at the school district level; include revenue 
64.11 	generated from third-party billings as special education revenue in the annual cross-subsidy 
64.12 	report; and exclude third-party revenue from calculation of excess cost aid to the districts.

64.13 	Sec. 5. Minnesota Statutes 2015 Supplement, section 125A.79, subdivision 1, is 
64.14 	amended to read:
64.15 		Subdivision 1.Definitions. For the purposes of this section, the definitions in this 
64.16 	subdivision apply.
64.17 	(a) "Unreimbursed old formula special education expenditures" means:
64.18 	(1) old formula special education expenditures for the prior fiscal year; minus
64.19 	(2) for fiscal years 2014 and 2015, the sum of the special education aid under section 
64.20 	125A.76, subdivision 5, for the prior fiscal year and the cross subsidy reduction aid under 
64.21 	section 125A.76, subdivision 2b, and for fiscal year 2016 and later, the special education 
64.22 	initial aid under section 125A.76, subdivision 2a; minus
64.23 	(3) for fiscal year 2016 and later, the amount of general education revenue, excluding 
64.24 	local optional revenue, plus local optional aid and referendum equalization aid for the 
64.25 	prior fiscal year attributable to pupils receiving special instruction and services outside the 
64.26 	regular classroom for more than 60 percent of the school day for the portion of time the 
64.27 	pupils receive special instruction and services outside the regular classroom, excluding 
64.28 	portions attributable to district and school administration, district support services, 
64.29 	operations and maintenance, capital expenditures, and pupil transportation.
64.30 	(b) "Unreimbursed nonfederal special education expenditures" means:
64.31 	(1) nonfederal special education expenditures for the prior fiscal year; minus
64.32 	(2) special education initial aid under section 125A.76, subdivision 2a; minus
64.33 	(3) the amount of general education revenue, excluding local optional revenue, plus 
64.34 	local optional aid, and referendum equalization aid for the prior fiscal year attributable 
64.35 	to pupils receiving special instruction and services outside the regular classroom for 
65.1 	more than 60 percent of the school day for the portion of time the pupils receive special 
65.2 	instruction and services outside of the regular classroom, excluding portions attributable to 
65.3 	district and school administration, district support services, operations and maintenance, 
65.4 	capital expenditures, and pupil transportation.
65.5 	(c) "General revenue" for a school district means the sum of the general education 
65.6 	revenue according to section 126C.10, subdivision 1, excluding transportation sparsity 
65.7 	revenue, local optional revenue, and total operating capital revenue. "General revenue" 
65.8 	for a charter school means the sum of the general education revenue according to section 
65.9 	124E.20, subdivision 1, and transportation revenue according to section 124E.23, 
65.10 	excluding referendum equalization aid, transportation sparsity revenue, and operating 
65.11 	capital revenue.

65.12 	Sec. 6. Minnesota Statutes 2015 Supplement, section 127A.47, subdivision 7, is 
65.13 	amended to read:
65.14 		Subd. 7.Alternative attendance programs. (a) The general education aid and 
65.15 	special education aid for districts must be adjusted for each pupil attending a nonresident 
65.16 	district under sections 123A.05 to 123A.08, 124D.03, 124D.08, and 124D.68. The 
65.17 	adjustments must be made according to this subdivision.
65.18 	(b) For purposes of this subdivision, the "unreimbursed cost of providing special 
65.19 	education and services" means the difference between: (1) the actual cost of providing 
65.20 	special instruction and services, including special transportation and unreimbursed 
65.21 	building lease and debt service costs for facilities used primarily for special education, for 
65.22 	a pupil with a disability, as defined in section 125A.02, or a pupil, as defined in section 
65.23 	125A.51, who is enrolled in a program listed in this subdivision, minus (2) if the pupil 
65.24 	receives special instruction and services outside the regular classroom for more than 
65.25 	60 percent of the school day, the amount of general education revenue, excluding local 
65.26 	optional revenue, plus local optional aid and referendum equalization aid as defined in 
65.27 	section 125A.11, subdivision 1, paragraph (d), attributable to that pupil for the portion of 
65.28 	time the pupil receives special instruction and services outside of the regular classroom, 
65.29 	excluding portions attributable to district and school administration, district support 
65.30 	services, operations and maintenance, capital expenditures, and pupil transportation, 
65.31 	minus (3) special education aid under section 125A.76 attributable to that pupil, that is 
65.32 	received by the district providing special instruction and services. For purposes of this 
65.33 	paragraph, general education revenue and referendum equalization aid attributable to a 
65.34 	pupil must be calculated using the serving district's average general education revenue 
65.35 	and referendum equalization aid per adjusted pupil unit.
66.1 	(c) For fiscal year 2015 and later, special education aid paid to a resident district 
66.2 	must be reduced by an amount equal to 90 percent of the unreimbursed cost of providing 
66.3 	special education and services.
66.4 	(d) Notwithstanding paragraph (c), special education aid paid to a resident district 
66.5 	must be reduced by an amount equal to 100 percent of the unreimbursed cost of special 
66.6 	education and services provided to students at an intermediate district, cooperative, or 
66.7 	charter school where the percent of students eligible for special education services is at 
66.8 	least 70 percent of the charter school's total enrollment.
66.9 	(e) Notwithstanding paragraph (c), special education aid paid to a resident district 
66.10 	must be reduced under paragraph (d) for students at a charter school receiving special 
66.11 	education aid under section 124E.21, subdivision 3, calculated as if the charter school 
66.12 	received special education aid under section 124E.21, subdivision 1.
66.13 	(f) Special education aid paid to the district or cooperative providing special 
66.14 	instruction and services for the pupil, or to the fiscal agent district for a cooperative, must 
66.15 	be increased by the amount of the reduction in the aid paid to the resident district under 
66.16 	paragraphs (c) and (d). If the resident district's special education aid is insufficient to make 
66.17 	the full adjustment under paragraphs (c), (d), and (e), the remaining adjustment shall be 
66.18 	made to other state aids due to the district.
66.19 	(g) Notwithstanding paragraph (a), general education aid paid to the resident district 
66.20 	of a nonspecial education student for whom an eligible special education charter school 
66.21 	receives general education aid under section 124E.20, subdivision 1, paragraph (c), must 
66.22 	be reduced by an amount equal to the difference between the general education aid 
66.23 	attributable to the student under section 124E.20, subdivision 1, paragraph (c), and the 
66.24 	general education aid that the student would have generated for the charter school under 
66.25 	section 124E.20, subdivision 1, paragraph (a). For purposes of this paragraph, "nonspecial 
66.26 	education student" means a student who does not meet the definition of pupil with a 
66.27 	disability as defined in section 125A.02 or the definition of a pupil in section 125A.51.
66.28 	(h) An area learning center operated by a service cooperative, intermediate district, 
66.29 	education district, or a joint powers cooperative may elect through the action of the 
66.30 	constituent boards to charge the resident district tuition for pupils rather than to have the 
66.31 	general education revenue paid to a fiscal agent school district. Except as provided in 
66.32 	paragraph (f), the district of residence must pay tuition equal to at least 90 and no more 
66.33 	than 100 percent of the district average general education revenue per pupil unit minus 
66.34 	an amount equal to the product of the formula allowance according to section 126C.10, 
66.35 	subdivision 2, times .0466, calculated without compensatory revenue, local optional 
67.1 	revenue, and transportation sparsity revenue, times the number of pupil units for pupils 
67.2 	attending the area learning center.

67.3 	Sec. 7. Laws 2015, First Special Session chapter 3, article 5, section 30, subdivision 2, 
67.4 	is amended to read:
67.5 		Subd. 2.Special education; regular. For special education aid under Minnesota 
67.6 	Statutes, section 125A.75:

67.7
67.8		$ 
	1,170,929,000
1,183,619,000
	.....
	2016
	
67.967.10
		$ 
	1,229,706,000
1,247,108,000
	.....
	2017
	
67.11 	The 2016 appropriation includes $137,932,000 for 2015 and $1,032,997,000
67.12 	$1,045,687,000 for 2016.
67.13 	The 2017 appropriation includes $145,355,000 $147,202,000 for 2016 and 
67.14 	$1,084,351,000 $1,099,906,000 for 2017.

67.15 	Sec. 8. APPROPRIATIONS.
 67.16 		Subdivision 1.Department of Education. The sums indicated in this section are 
67.17 	appropriated from the general fund to the Department of Education for the fiscal years 
67.18 	designated.
67.19 		Subd. 2.Restrictive procedures work group. To implement the recommendations 
67.20 	from the restrictive procedures work group under Minnesota Statutes, section 125A.0942:

67.21		$
	500,000
	.....
	2017

67.22 	ARTICLE 5
67.23 	FACILITIES AND TECHNOLOGY

67.24 	Section 1. Minnesota Statutes 2014, section 123B.53, subdivision 5, is amended to read:
67.25 		Subd. 5.Equalized debt service levy. (a) The equalized debt service levy of a 
67.26 	district equals the sum of the first tier equalized debt service levy and the second tier 
67.27 	equalized debt service levy.
67.28 	(b) A district's first tier equalized debt service levy equals the district's first tier debt 
67.29 	service equalization revenue times the lesser of one or the ratio of:
67.30 	(1) the quotient derived by dividing the adjusted net tax capacity of the district for 
67.31 	the year before the year the levy is certified by the adjusted pupil units in the district for 
67.32 	the school year ending in the year prior to the year the levy is certified; to
68.1 	(2) $3,400 in fiscal year 2016 and, $4,430 in fiscal year 2017, and the greater of 
68.2 	$4,430 or 55.33 percent of the initial equalizing factor in fiscal year 2018 and later.
68.3 	(c) A district's second tier equalized debt service levy equals the district's second tier 
68.4 	debt service equalization revenue times the lesser of one or the ratio of:
68.5 	(1) the quotient derived by dividing the adjusted net tax capacity of the district for 
68.6 	the year before the year the levy is certified by the adjusted pupil units in the district for 
68.7 	the school year ending in the year prior to the year the levy is certified; to
68.8 	(2) $8,000 in fiscal years 2016 and 2017, and the greater of $8,000 or 99.91 percent 
68.9 	of the initial equalizing factor in fiscal year 2018 and later.
68.10 	(d) For the purposes of this subdivision, the initial equalizing factor equals the 
68.11 	quotient derived by dividing the total adjusted net tax capacity of all school districts in the 
68.12 	state for the year before the year the levy is certified by the total number of adjusted pupil 
68.13 	units in all school districts in the state in the year before the year the levy is certified.

68.14 	Sec. 2. Minnesota Statutes 2014, section 123B.535, is amended to read:
68.15 	123B.535 NATURAL DISASTER ENHANCED DEBT SERVICE 
68.16 	EQUALIZATION.
68.17 		Subdivision 1.Definitions; eligibility. (a) For purposes of this section, the eligible 
68.18 	natural disaster enhanced debt service revenue of a district is defined as the amount 
68.19 	needed to produce between five and six percent in excess of the amount needed to meet 
68.20 	when due the principal and interest payments on the obligations of the district eligible 
68.21 	under paragraphs (b) and (c) that would otherwise qualify under section 123B.53under 
68.22 	the following conditions:.
68.23 	(b) A district that has been negatively affected by a natural disaster qualifies for 
68.24 	enhanced debt service equalization under this section if:
68.25 	(1) the district was impacted by a natural disaster event or area occurring January 
68.26 	1, 2005, or later, as declared by the President of the United States of America, which is 
68.27 	eligible for Federal Emergency Management Agency payments;
68.28 	(2) the natural disaster caused $500,000 or more in damages to school district 
68.29 	buildings; and
68.30 	(3) the repair and replacement costs are not covered by insurance payments or 
68.31 	Federal Emergency Management Agency payments.
68.32 	(c) A district that consolidated on or after July 1, 2016, with an approved 
68.33 	consolidation plat and plan under section 123A.48 that included building or remodeling 
68.34 	school facilities is eligible for enhanced debt service equalization under this section.
69.1 	(b) (d) For purposes of this section, the adjusted net tax capacity equalizing factor 
69.2 	equals the quotient derived by dividing the total adjusted net tax capacity of all school 
69.3 	districts in the state for the year before the year the levy is certified by the total number of 
69.4 	adjusted pupil units in the state for the year prior to the year the levy is certified.
69.5 	(c) (e) For purposes of this section, the adjusted net tax capacity determined 
69.6 	according to sections 127A.48 and 273.1325 shall be adjusted to include the tax capacity of 
69.7 	property generally exempted from ad valorem taxes under section 272.02, subdivision 64.
69.8 		Subd. 2.Notification. A district eligible for natural disaster enhanced debt service 
69.9 	equalization revenue under subdivision 1 must notify the commissioner of the amount of 
69.10 	its intended natural disaster enhanced debt service revenue calculated under subdivision 1 
69.11 	for all bonds sold prior to the notification by July 1 of the calendar year the levy is certified.
69.12 		Subd. 3.Natural disaster Enhanced debt service equalization revenue. The 
69.13 	enhanced debt service equalization revenue of a district that qualifies under subdivision 1, 
69.14 	paragraph (b) or (c), equals the greater of zero or the eligible debt service revenue, minus 
69.15 	the greater of zero or the difference between:
69.16 	(1) the amount raised by a levy of ten percent times the adjusted net tax capacity 
69.17 	of the district; and
69.18 	(2) the district's eligible debt service revenue under section 123B.53.
69.19 		Subd. 4.Equalized natural disaster enhanced debt service levy. A district's 
69.20 	equalized natural disaster enhanced debt service levy equals the district's natural disaster 
69.21 	enhanced debt service equalization revenue times the lesser of one or the ratio of:
69.22 	(1) the quotient derived by dividing the adjusted net tax capacity of the district for 
69.23 	the year before the year the levy is certified by the adjusted pupil units in the district for 
69.24 	the school year ending in the year prior to the year the levy is certified; to
69.25 	(2) 300 percent of the statewide adjusted net tax capacity equalizing factor.
69.26 		Subd. 5.Natural disaster Enhanced debt service equalization aid. A district's 
69.27 	natural disaster enhanced debt service equalization aid equals the difference between the 
69.28 	district's natural disaster enhanced debt service equalization revenue and the district's 
69.29 	equalized natural disaster enhanced debt service levy.
69.30 		Subd. 6.Natural disaster Enhanced debt service equalization aid payment 
69.31 	schedule. Enhanced debt service equalization aid must be paid according to section 
69.32 	127A.45, subdivision 10.

69.33 	EFFECTIVE DATE. This section is effective for taxes payable in 2017 and later.

69.34 	Sec. 3. Minnesota Statutes 2015 Supplement, section 123B.595, subdivision 1, is 
69.35 	amended to read:
70.1 		Subdivision 1.Long-term facilities maintenance revenue. (a) For fiscal year 
70.2 	2017 only, long-term facilities maintenance revenue equals the greater of (1) the sum of 
70.3 	(i) $193 times the district's adjusted pupil units times the lesser of one or the ratio of the 
70.4 	district's average building age to 35 years, plus the cost approved by the commissioner 
70.5 	for indoor air quality, fire alarm and suppression, and asbestos abatement projects under 
70.6 	section 123B.57, subdivision 6, with an estimated cost of $100,000 or more per site, 
70.7 	plus (ii) for a school district with an approved voluntary prekindergarten program under 
70.8 	section 124D.151, the cost approved by the commissioner for remodeling existing 
70.9 	instructional space to accommodate prekindergarten instruction,  or (2) the sum of (i) the 
70.10 	amount the district would have qualified for under Minnesota Statutes 2014, section 
70.11 	123B.57, Minnesota Statutes 2014, section 123B.59, and Minnesota Statutes 2014, section 
70.12 	123B.591., and (ii) for a school district with an approved voluntary prekindergarten 
70.13 	program under section 124D.151, the cost approved by the commissioner for remodeling 
70.14 	existing instructional space to accommodate prekindergarten instruction.
70.15 	(b) For fiscal year 2018 only, long-term facilities maintenance revenue equals the 
70.16 	greater of (1) the sum of (i) $292 times the district's adjusted pupil units times the lesser 
70.17 	of one or the ratio of the district's average building age to 35 years, plus (ii) the cost 
70.18 	approved by the commissioner for indoor air quality, fire alarm and suppression, and 
70.19 	asbestos abatement projects under section 123B.57, subdivision 6, with an estimated cost 
70.20 	of $100,000 or more per site, plus (iii) for a school district with an approved voluntary 
70.21 	prekindergarten program under section 124D.151, the cost approved by the commissioner 
70.22 	for remodeling existing instructional space to accommodate prekindergarten instruction,
70.23 	or (2) the sum of (i) the amount the district would have qualified for under Minnesota 
70.24 	Statutes 2014, section 123B.57, Minnesota Statutes 2014, section 123B.59, and Minnesota 
70.25 	Statutes 2014, section 123B.591., and (ii) for a school district with an approved voluntary 
70.26 	prekindergarten program under section 124D.151, the cost approved by the commissioner 
70.27 	for remodeling existing instructional space to accommodate prekindergarten instruction.
70.28 	(c) For fiscal year 2019 and later, long-term facilities maintenance revenue equals 
70.29 	the greater of (1) the sum of (i) $380 times the district's adjusted pupil units times the 
70.30 	lesser of one or the ratio of the district's average building age to 35 years, plus (ii) the cost 
70.31 	approved by the commissioner for indoor air quality, fire alarm and suppression, and 
70.32 	asbestos abatement projects under section 123B.57, subdivision 6, with an estimated cost 
70.33 	of $100,000 or more per site, plus (iii) for a school district with an approved voluntary 
70.34 	prekindergarten program under section 124D.151, the cost approved by the commissioner 
70.35 	for remodeling existing instructional space to accommodate prekindergarten instruction,
70.36 	or (2) the sum of (i) the amount the district would have qualified for under Minnesota 
71.1 	Statutes 2014, section 123B.57, Minnesota Statutes 2014, section 123B.59, and Minnesota 
71.2 	Statutes 2014, section 123B.591., and (ii) for a school district with an approved voluntary 
71.3 	prekindergarten program under section 124D.151, the cost approved by the commissioner 
71.4 	for remodeling existing instructional space to accommodate prekindergarten instruction.

71.5 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2017 and 
71.6 	later.

71.7 	Sec. 4. Laws 2015, First Special Session chapter 3, article 6, section 13, subdivision 2, 
71.8 	is amended to read:
71.9 		Subd. 2.Long-term maintenance equalization aid. For long-term maintenance 
71.10 	equalization aid under Minnesota Statutes, section 123B.595:

71.11		$
	0
	.....
	2016
	
71.12
71.13		$ 
	52,088,000
52,844,000
	.....
	2017
	
71.14 	The 2017 appropriation includes $0 for 2016 and $52,088,000 $52,844,000 for 2017.

71.15 	Sec. 5. GENERATION CONNECT AID.
 71.16 	(a) For fiscal year 2017 only, generation connect aid for a school district or charter 
71.17 	school equals $10.88 times the adjusted pupil units for the school year. Aid under this 
71.18 	section may be used for any allowable purpose under Minnesota Statutes, section 126C.10, 
71.19 	subdivision 14, or Minnesota Statutes, section 124E.20, subdivision 2.
71.20 	(b) One hundred percent of the aid in this section must be paid in fiscal year 2017.

71.21 	Sec. 6. APPROPRIATION.
 71.22 		Subdivision 1.Department of Education. The sum indicated in this section is 
71.23 	appropriated from the general fund to the Department of Education for the fiscal year 
71.24 	designated.
71.25 		Subd. 2.Generation connect aid. For generation connect aid:

71.26		$	
10,104,000
	.....
	2017
	
71.27 	This is a onetime appropriation.
71.28 		Subd. 3.Regional office of career and technical education. For a grant to 
71.29 	the SW/WC Service Cooperative to establish a regional office of career and technical 
71.30 	education:

71.31		$ 
	70,000
	.....
	2017
	
72.1 	The regional office of career and technical education must:
72.2 	(1) facilitate the development of highly trained and knowledgeable students who 
72.3 	are equipped with technical and workplace skills needed by regional employers, in 
72.4 	collaborative participation with three or more school districts;
72.5 	(2) improve access to career and technical education programs for students who 
72.6 	attend sparsely populated rural school districts by developing public/private partnerships 
72.7 	with business and industry leaders and by increasing coordination of high school and 
72.8 	postsecondary program options; and
72.9 	(3) increase family and student awareness of the availability and benefit of career 
72.10 	and technical education courses and training opportunities.
72.11 	This is a onetime appropriation.
72.12 		Subd. 4.Regional career and technical education advisory committee. For a 
72.13 	grant to the SW/WC Service Cooperative for a regional career and technical education 
72.14 	advisory committee:

72.15		$
	280,000
	.....
	2017
	
72.16 	Eligible uses of this grant are:
72.17 	(1) capital start-up costs for such items as determined by the committee including, 
72.18 	but not limited to, a mobile welding lab, medical equipment and lab, and industrial 
72.19 	kitchen equipment;
72.20 	(2) informational materials for students, families, and residents of the region that 
72.21 	communicate the relationship between career and technical education programs, labor 
72.22 	market needs, and well-paying employment;
72.23 	(3) incentive and training grants to develop career and technical education 
72.24 	instructors; and
72.25 	(4) transportation reimbursement grants to provide equitable opportunities 
72.26 	throughout the region for students to participate in career and technical education.
72.27 	This is a onetime appropriation.

72.28 	ARTICLE 6
72.29 	EARLY CHILDHOOD EDUCATION

72.30 	Section 1. Minnesota Statutes 2014, section 124D.135, subdivision 6, is amended to 
72.31 	read:
72.32 		Subd. 6.Home visiting levy revenue. (a) A district that is eligible to levy for 
72.33 	early childhood family education under subdivision 3 and that enters into a collaborative 
73.1 	agreement to provide education services and social services to families with young 
73.2 	children may levy an amount equal to $1.60 is eligible for home visiting revenue.
73.3 	(b) Total home visiting revenue for a district equals $3 times the number of people 
73.4 	under five years of age residing in the district on September 1 of the last school year. Levy 
73.5 	Revenue under this subdivision must not be included as revenue under subdivision 1. The 
73.6 	revenue must be used for home visiting programs under section 124D.13, subdivision 4.

73.7 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2018 and 
73.8 	later.

73.9 	Sec. 2. Minnesota Statutes 2014, section 124D.135, is amended by adding a 
73.10 	subdivision to read:
73.11 		Subd. 6a.Home visiting levy. To obtain home visiting revenue, a district may levy 
73.12 	an amount not more than the product of its home visiting revenue for the fiscal year times 
73.13 	the lesser of one or the ratio of its adjusted net tax capacity per adjusted pupil unit to the 
73.14 	home visiting equalizing factor. The home visiting equalizing factor equals $17,250 for 
73.15 	fiscal year 2018 and later.

73.16 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2018 and 
73.17 	later.

73.18 	Sec. 3. Minnesota Statutes 2014, section 124D.135, is amended by adding a 
73.19 	subdivision to read:
73.20 		Subd. 6b.Home visiting aid. A district's home visiting aid equals its home visiting 
73.21 	revenue minus its home visiting levy times the ratio of the actual amount levied to the 
73.22 	permitted levy.

73.23 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2018 and 
73.24 	later.

73.25 	Sec. 4. [124D.173] HELP ME GROW SYSTEM.
73.26 		Subdivision 1.Purpose. The purpose of this section is to develop and implement 
73.27 	a comprehensive, statewide, coordinated system of early identification, referral, and 
73.28 	follow-up for children, prenatal through age eight, and their families.
73.29 		Subd. 2.Establishment and administration. The commissioner of education shall 
73.30 	provide funding and shall work collaboratively through interagency agreements with the 
73.31 	commissioners of human services and health to implement this section and maintain 
73.32 	annual affiliate status with the Help Me Grow National Center.
74.1 		Subd. 3.Duties. (a) The Help Me Grow system shall coordinate sectors, including 
74.2 	child health, early learning and education, and family supports by:
74.3 	(1) providing child health care provider outreach to support early detection, 
74.4 	intervention, and knowledge about local resources;
74.5 	(2) identifying and providing access to detection tools used to identify young 
74.6 	children at risk for developmental and behavioral problems; and
74.7 	(3) linking children and families to appropriate community-based services.
74.8 	(b) The Help Me Grow system shall provide community outreach that includes 
74.9 	support for, and participation in, the Help Me Grow system, including disseminating 
74.10 	information on the system and compiling and maintaining a resource directory that 
74.11 	includes, but is not limited to:
74.12 	(1) primary and specialty medical care providers;
74.13 	(2) early childhood education and child care programs;
74.14 	(3) developmental disabilities assessment and intervention programs;
74.15 	(4) mental health services;
74.16 	(5) family and social support programs;
74.17 	(6) child advocacy and legal services;
74.18 	(7) public health services and resources; and
74.19 	(8) other appropriate early childhood information.
74.20 	(c) The Help Me Grow system shall develop a centralized access point for parents 
74.21 	and professionals to obtain information, resources, and other support services.
74.22 	(d) The Help Me Grow system shall collect data to increase understanding of all 
74.23 	aspects of the current and ongoing system under this section, including identification of 
74.24 	gaps in service, barriers to finding and receiving appropriate service, and lack of resources.
74.25 		Subd. 4.Review. The Department of Education shall annually review and by 
74.26 	February 1 report to the chairs and the ranking minority members of the legislative 
74.27 	committees with jurisdiction over early childhood education the following:
74.28 	(1) outcomes achieved by this system;
74.29 	(2) alignment with overall early childhood goals and objectives; and
74.30 	(3) impacts on young children.

74.31 	Sec. 5. Laws 2015, First Special Session chapter 3, article 9, section 8, subdivision 7, 
74.32 	is amended to read:
74.33 		Subd. 7.Parent-child home program. For a grant to the parent-child home 
74.34 	program:

75.1		$
	350,000
	.....
	2016
	
75.2
75.3		$
	350,000
1,350,000
	.....
	2017
	
75.4 	The grant must be used for an evidence-based and research-validated early 
75.5 	childhood literacy and school readiness program for children ages 16 months to four 
75.6 	years at its existing suburban program location. The program must include urban and 
75.7 	rural program locations for fiscal years 2016 and 2017. The base for fiscal year 2018 
75.8 	and later is $1,000,000.

75.9 	Sec. 6. APPROPRIATIONS.
 75.10 		Subdivision 1.Department of Education. The sums indicated in this section are 
75.11 	appropriated from the general fund to the Department of Education for the fiscal years 
75.12 	designated.
75.13 		Subd. 2.Help Me Grow. For implementation of the Help Me Grow system under 
75.14 	Minnesota Statutes, section 124D.173:

75.15		$
	1,000,000
	.....
	2017
	
75.16 	This is a onetime appropriation.
75.17 		Subd. 3.Minnesota Learning Resource Center. For a grant to A Chance to 
75.18 	Grow for the Minnesota Learning Resource Center's comprehensive training program 
75.19 	for education professionals charged with helping children in prekindergarten programs 
75.20 	through grade 3 acquire basic reading and math skills:

75.21		$
	300,000
	.....
	2017
	
75.22 	This is a onetime appropriation.

75.23 	ARTICLE 7
75.24 	SELF-SUFFICIENCY AND LIFELONG LEARNING

75.25 	Section 1. AFTER-SCHOOL COMMUNITY LEARNING GRANTS.
 75.26 		Subdivision 1.Grant program established. A competitive grant program is 
75.27 	established to support community-based organizations, schools, political subdivisions, or 
75.28 	child care centers that service young people in kindergarten through grade 12 after school 
75.29 	or during nonschool hours. Grants must be used to offer a broad array of enrichment 
75.30 	activities that promote positive youth development, including art, music, community 
75.31 	engagement, literacy, technology education, health, agriculture, and recreation programs.
76.1 		Subd. 2.Application. The commissioner of education shall develop the form 
76.2 	and method for applying for the grants. The application must include information on 
76.3 	the applicant's outreach to children and youth that qualify for free or reduced-price 
76.4 	lunch and two-year measurable goals and activities linked to research or best practices. 
76.5 	The commissioner shall develop criteria for determining the allocation of the grants and 
76.6 	appropriate goals for the use of the grants including:
76.7 	(1) increasing access to protective factors that build young people's capacity to 
76.8 	become productive adults, such as connections to a caring adult;
76.9 	(2) developing children's skills and behaviors necessary to succeed in postsecondary 
76.10 	education and career opportunities; and
76.11 	(3) encouraging attendance and improving performance in school.
76.12 		Subd. 3.Grant awards. To the extent practicable, the selection of applicants 
76.13 	shall result in an equitable distribution of grant awards among geographic areas within 
76.14 	Minnesota, including rural, suburban, and urban communities. The commissioner shall 
76.15 	also give priority to programs that collaborate with and leverage existing community 
76.16 	resources that have demonstrated effectiveness.

76.17 	Sec. 2. APPROPRIATIONS.
 76.18 		Subdivision 1.Department of Education. The sums indicated in this section are 
76.19 	appropriated from the general fund to the Department of Education for the fiscal years 
76.20 	designated.
76.21 		Subd. 2.After-school community learning grants. For after-school community 
76.22 	learning grants:

76.23		$
	500,000
	.....
	2017
	
76.24 	Up to seven percent of the appropriation in each fiscal year may be used for 
76.25 	administration, evaluation, and technical assistance, including partnering with the 
76.26 	Minnesota Afterschool Network, Ignite Afterschool, and other appropriate entities to 
76.27 	ensure implementation of strategies statewide to ensure the provision of high quality, 
76.28 	research-driven learning opportunities.
76.29 	This is a onetime appropriation.

77.1 	ARTICLE 8
77.2 	STATE AGENCIES

77.3 	Section 1. Minnesota Statutes 2014, section 120B.115, is amended to read:
77.4 	120B.115 REGIONAL CENTERS OF EXCELLENCE.
77.5 	(a) Regional centers of excellence are established to assist and support school 
77.6 	boards, school districts, school sites, and charter schools in implementing research-based 
77.7 	interventions and practices to increase the students' achievement within a region. 
77.8 	The centers must develop partnerships with local and regional service cooperatives, 
77.9 	postsecondary institutions, integrated school districts, the department, children's mental 
77.10 	health providers, or other local or regional entities interested in providing a cohesive 
77.11 	and consistent regional delivery system that serves all schools equitably. Centers must 
77.12 	assist school districts, school sites, and charter schools in developing similar partnerships. 
77.13 	Center support may include assisting school districts, school sites, and charter schools 
77.14 	with common principles of effective practice, including:
77.15 	(1) defining measurable education goals under sections 120B.022, subdivisions 1a 
77.16 	and 1b, and 120B.11, subdivision 2;
77.17 	(2) implementing evidence-based practices, including applied and experiential 
77.18 	learning, contextualized learning, competency-based curricula and assessments, and other 
77.19 	nontraditional learning opportunities, among other practices;
77.20 	(3) engaging in data-driven decision-making;
77.21 	(4) providing multilayered levels of support;
77.22 	(5) supporting culturally responsive teaching and learning aligning the development 
77.23 	of academic English proficiency, state and local academic standards, and career and 
77.24 	college readiness benchmarks;
77.25 	(6) engaging parents, families, youth, and local community members in programs 
77.26 	and activities at the school district, school site, or charter school that foster collaboration 
77.27 	and shared accountability for the achievement of all students; and
77.28 	(7) translating district forms and other information such as a multilingual glossary of 
77.29 	commonly used education terms and phrases.
77.30 	Centers must work with school site leadership teams to build the expertise and experience 
77.31 	to implement programs that close the achievement gap, provide effective and differentiated 
77.32 	programs and instruction for different types of English learners, including English learners 
77.33 	with limited or interrupted formal schooling and long-term English learners under section 
77.34 	124D.59, subdivisions 2 and 2a, increase students' progress and growth toward career and 
77.35 	college readiness, and increase student graduation rates.
78.1 	(b) The department must assist the regional centers of excellence to meet staff, 
78.2 	facilities, and technical needs, provide the centers with programmatic support, and work 
78.3 	with the centers to establish a coherent statewide system of regional support, including 
78.4 	consulting, training, and technical support, to help school boards, school districts, school 
78.5 	sites, and charter schools effectively and efficiently implement the world's best workforce 
78.6 	goals under section 120B.11 and other state and federal education initiatives, including 
78.7 	secondary and postsecondary career pathways and technical education.
78.8 	(c) The department must employ a literacy/dyslexia specialist at one regional 
78.9 	center to be determined by the commissioner, and a literacy/dyslexia specialist at the 
78.10 	department, to provide technical assistance for dyslexia and related disorders and to 
78.11 	serve as the primary source of information and support for schools in addressing the 
78.12 	needs of students with dyslexia and related disorders. The literacy/dyslexia specialist 
78.13 	shall also act to increase professional awareness and instructional competencies. For 
78.14 	purposes of this paragraph, a literacy/dyslexia specialist is a dyslexia therapist, licensed 
78.15 	psychologist, certified psychometrist, licensed speech-language pathologist, or certified 
78.16 	dyslexia training specialist who has a minimum of three years of field experience in 
78.17 	screening, identifying, and treating dyslexia and related disorders. A literacy/dyslexia 
78.18 	specialist shall be highly trained in dyslexia and related disorders, and in using scientific, 
78.19 	evidence-based interventions and treatment, which incorporate multisensory, systematic, 
78.20 	sequential teaching strategies in the areas of phonics, phonemic awareness, vocabulary, 
78.21 	fluency, and comprehension.

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

78.24 	Sec. 2. [122A.34] CERTIFICATE OF ADVANCED PROFESSIONAL STUDY.
78.25 	(a) The Board of Teaching shall adopt rules for a process for approving certificates 
78.26 	of advanced professional study. A certificate of advanced professional study is a credential 
78.27 	available only to a teacher with a full license in at least one discipline that allows for 
78.28 	teaching without further waiver or variance when a licensure program in the discipline 
78.29 	does not exist in Minnesota, or when a teacher with a full license in the discipline cannot 
78.30 	be found. The certificate of advanced professional study must:
78.31 	(1) have fewer requirements than the full license in the discipline;
78.32 	(2) set the specific qualifications required to attain it; and
78.33 	(3) maintain professional standards for teaching in that discipline.
78.34 	(b) The rules adopted under paragraph (a) must limit certificates of advanced 
78.35 	professional study to:
79.1 	(1) disciplines in which at least one geographic area of the state has a demonstrated 
79.2 	shortage of fully licensed teachers; and
79.3 	(2) emerging disciplines where full licenses or licensure programs do not exist 
79.4 	in Minnesota.

79.5 	Sec. 3. Laws 2015, First Special Session chapter 3, article 12, section 4, subdivision 2, 
79.6 	is amended to read:
79.7 		Subd. 2.Department. (a) For the Department of Education:

79.8
79.9		$  
	21,246,000
21,276,000
	.....
	2016
	
79.10
79.11		$  
	21,973,000
28,584,000
	.....
	2017
	
79.12 	Of these amounts: 
79.13 	(1) $718,000 each year$748,000 in fiscal year 2016 and zero in fiscal year 2017 is 
79.14 	for the Board of Teaching. Any balance in the first year does not cancel, but is available 
79.15 	in the second year;
79.16 	(2) $228,000 in fiscal year 2016 and $231,000 in fiscal year 2017 are for the Board 
79.17 	of School Administrators;
79.18 	(3) $1,000,000 each year is for Regional Centers of Excellence under Minnesota 
79.19 	Statutes, section 120B.115;
79.20 	(4) $500,000 each year is for the School Safety Technical Assistance Center under 
79.21 	Minnesota Statutes, section 127A.052; 
79.22 	(5) $250,000 each year is for the School Finance Division to enhance financial 
79.23 	data analysis; and
79.24 	(6) $441,000 in fiscal year 2016 and $720,000 in fiscal year 2017 is for implementing 
79.25 	Laws 2014, chapter 272, article 1, Minnesota's Learning for English Academic Proficiency 
79.26 	and Success Act, as amended;
79.27 	(7) $2,750,000 in fiscal year 2017 only is for implementation of schoolwide 
79.28 	Positive Behavioral Interventions and Supports (PBIS) in schools and districts throughout 
79.29 	Minnesota to reduce the use of restrictive procedures and increase use of positive 
79.30 	practices. This is a onetime appropriation;
79.31 	(8) $2,750,000 in fiscal year 2017 only is for Department of Education information 
79.32 	technology enhancements and security. This is a onetime appropriation;
79.33 	(9) $250,000 in fiscal year 2017 and later is for employing literacy/dyslexia 
79.34 	specialists under  Minnesota Statutes, section 120B.115, paragraph (c). The commissioner 
79.35 	must employ a literacy/dyslexia specialist at the department as soon as practicable, but 
80.1 	no later than September 1, 2016. The commissioner must employ the literacy/dyslexia 
80.2 	specialist at one or more regional centers no later than January 1, 2017; and
80.3 	(10) $200,000 in fiscal year 2017 only is for the Children's Cabinet system redesign 
80.4 	report to the legislature. This is a onetime appropriation.
80.5 	(b) Any balance in the first year does not cancel but is available in the second year. 
80.6 	(c) None of the amounts appropriated under this subdivision may be used for 
80.7 	Minnesota's Washington, D.C. office.
80.8 	(d) The expenditures of federal grants and aids as shown in the biennial budget 
80.9 	document and its supplements are approved and appropriated and shall be spent as 
80.10 	indicated.
80.11 	(e) This appropriation includes funds for information technology project services and 
80.12 	support subject to the provisions of Minnesota Statutes, section 16E.0466. Any ongoing 
80.13 	information technology costs will be incorporated into the service level agreement and 
80.14 	will be paid to the Office of MN.IT Services by the Department of Education under the 
80.15 	rates and mechanism specified in that agreement.
80.16 	(f) The agency's base budget in fiscal year 2018 is $21,973,000 $22,371,000. The 
80.17 	agency's base budget in fiscal year 2019 is $21,948,000.

80.18 	Sec. 4. SYSTEM REDESIGN; HOMELESS CHILDREN SUPPORTS.
 80.19 	(a) The Children's Cabinet must create a plan for a cross-agency system that provides 
80.20 	support for a family that is homeless, especially with children up to four years of age, to 
80.21 	access available services. The Children's Cabinet shall create the plan in consultation 
80.22 	with the Department of Education, the Department of Human Services, the Department 
80.23 	of Health, the Minnesota Housing Finance Agency, and stakeholders including counties, 
80.24 	school districts, and nonprofits. The redesigned system must address issues including:
80.25 	(1) implementation methodology that addresses differences in service delivery in 
80.26 	rural versus urban settings;
80.27 	(2) a training pipeline to increase qualified staff for service providers, including 
80.28 	staff of color;
80.29 	(3) statewide entry and intake forms to assess and identify the educational and 
80.30 	developmental needs of the child;
80.31 	(4) a support plan that follows the child even after the child is no longer homeless;
80.32 	(5) a common data system that allows for easier sharing of data and the plan 
80.33 	components for each child between local entities;
80.34 	(6) identifying and supporting a community outreach system;
81.1 	(7) personalizing assistance for a child who is homeless and the child's family to 
81.2 	help  the child and the family navigate systems and resources;
81.3 	(8) transportation options to access services; and
81.4 	(9) methods to ensure that all state-funded programs and services for a child who is 
81.5 	homeless are adequately staffed with personnel who are trained on the specifics of the 
81.6 	program and receive professional development to handle complex, intergenerational 
81.7 	trauma.
81.8 	(b) The Children's Cabinet must report findings and recommendations regarding 
81.9 	the plan, along with draft legislation, to the chairs and ranking minority members of 
81.10 	the legislative committees having jurisdiction over early childhood through grade 12 
81.11 	education, housing, and human services policy by January 23, 2017.

81.12 	Sec. 5. APPROPRIATIONS; BOARD OF TEACHING.
 81.13 	(a) The sums indicated in this section are appropriated from the general fund to the 
81.14 	Board of Teaching for the fiscal years designated:

81.15		$
	1,500,000
	.....
	2017
	
81.16 	Of these amounts:
81.17 	(1) $302,000 in fiscal year 2017 is for implementation of certificates of advanced 
81.18 	professional study. The base appropriation in fiscal year 2018 and thereafter is $50,000 
81.19 	each year;
81.20 	(2) $150,000 in fiscal year 2017 only is for Excellence in Teaching incentive grants. 
81.21 	This is a onetime appropriation and is available until expended; and
81.22 	(3) $80,000 in fiscal year 2017 and later is for a contract for an electronic statewide 
81.23 	school teacher and administrator job board. The job board must allow school districts 
81.24 	to post job openings for prekindergarten through grade 12 teaching and administrative 
81.25 	positions. Notwithstanding Minnesota Statutes, section 16E.0466, the board is not 
81.26 	required to consult with the Office of MN.IT Services nor transfer any of this appropriation 
81.27 	to the Office of MN.IT Services.
81.28 	(b) This appropriation includes funds for information technology project services 
81.29 	and support subject to Minnesota Statutes, section 16E.0466. Any ongoing information 
81.30 	technology costs will be incorporated into an interagency agreement and will be paid to 
81.31 	the Office of MN.IT Services by the Board of Teaching under the mechanism specified 
81.32 	in that agreement.
81.33 	(c) The board's base budget for fiscal year 2018 and later is $1,098,000.

82.1 	ARTICLE 9
82.2 	FORECAST ADJUSTMENTS
82.3 	A. GENERAL EDUCATION

82.4 	Section 1. Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 
82.5 	4, is amended to read:
82.6 		Subd. 4.Abatement revenue. For abatement aid under Minnesota Statutes, section 
82.7 	127A.49:

82.8
82.9		$
	2,740,000
3,051,000
	.....
	2016
	
82.10
82.11		$
	2,932,000
3,425,000
	.....
	2017
	
82.12 	The 2016 appropriation includes $278,000 for 2015 and $2,462,000 $2,773,000
82.13 	for 2016.
82.14 	The 2017 appropriation includes $273,000 $308,000 for 2016 and $2,659,000
82.15 	$3,117,000 for 2017.

82.16 	Sec. 2. Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 5, 
82.17 	is amended to read:
82.18 		Subd. 5.Consolidation transition. For districts consolidating under Minnesota 
82.19 	Statutes, section 123A.485:

82.20
82.21		$
	292,000
22,000
	.....
	2016
	
82.22
82.23		$
	165,000
0
	.....
	2017
	
82.24 	The 2016 appropriation includes $22,000 for 2015 and $270,000 $0 for 2016.
82.25 	The 2017 appropriation includes $30,000 $0 for 2016 and $135,000 $0 for 2017.

82.26 	Sec. 3. Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 6, 
82.27 	is amended to read:
82.28 		Subd. 6.Nonpublic pupil education aid. For nonpublic pupil education aid under 
82.29 	Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:

82.30
82.31		$ 
	16,881,000
16,759,000
	.....
	2016
	
82.32
82.33		$ 
	17,460,000
17,235,000
	.....
	2017
	
83.1 	The 2016 appropriation includes $1,575,000 for 2015 and $15,306,000 $15,184,000
83.2 	for 2016.
83.3 	The 2017 appropriation includes $1,700,000 $1,687,000 for 2016 and $15,760,000
83.4 	$15,548,000 for 2017.

83.5 	Sec. 4. Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 7, 
83.6 	is amended to read:
83.7 		Subd. 7.Nonpublic pupil transportation. For nonpublic pupil transportation aid 
83.8 	under Minnesota Statutes, section 123B.92, subdivision 9:

83.983.10
		$ 
	17,654,000
17,673,000
	.....
	2016
	
83.11
83.12		$ 
	17,792,000
18,103,000
	.....
	2017
	
83.13 	The 2016 appropriation includes $1,816,000 for 2015 and $15,838,000 $15,857,000
83.14 	for 2016.
83.15 	The 2017 appropriation includes $1,759,000 $1,761,000 for 2016 and $16,033,000
83.16 	$16,342,000 for 2017.

83.17 	Sec. 5. Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 9, 
83.18 	is amended to read:
83.19 		Subd. 9.Career and technical aid. For career and technical aid under Minnesota 
83.20 	Statutes, section 124D.4531, subdivision 1b:

83.21
83.22		$
	5,420,000
5,922,000
	.....
	2016
	
83.23
83.24		$
	4,405,000
4,262,000
	.....
	2017
	
83.25 	The 2016 appropriation includes $574,000 for 2015 and $4,846,000 $5,348,000
83.26 	for 2016.
83.27 	The 2017 appropriation includes $538,000 $517,000 for 2016 and $3,867,000
83.28 	$3,745,000 for 2017.
83.29 	B. EDUCATION EXCELLENCE

83.30 	Sec. 6. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 4, 
83.31 	is amended to read:
83.32 		Subd. 4.Literacy incentive aid. For literacy incentive aid under Minnesota 
83.33 	Statutes, section 124D.98:

84.1
84.2		$
	44,552,000
44,538,000
	.....
	2016
	
84.3
84.4		$
	45,508,000
45,855,000
	.....
	2017
	
84.5 	The 2016 appropriation includes $4,683,000 for 2015 and $39,869,000 $39,855,000
84.6 	for 2016.
84.7 	The 2017 appropriation includes $4,429,000 $4,428,000 for 2016 and $41,079,000
84.8 	$41,427,000 for 2017.

84.9 	Sec. 7. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 5, 
84.10 	is amended to read:
84.11 		Subd. 5.Interdistrict desegregation or integration transportation grants. For 
84.12 	interdistrict desegregation or integration transportation grants under Minnesota Statutes, 
84.13 	section 124D.87:

84.14
84.15		$
	15,023,000
14,423,000
	.....
	2016
	
84.16
84.17		$
	15,825,000
15,193,000
	.....
	2017

84.18 	Sec. 8. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 7, 
84.19 	is amended to read:
84.20 		Subd. 7.Tribal contract schools. For tribal contract school aid under Minnesota 
84.21 	Statutes, section 124D.83:

84.22
84.23		$ 
	4,340,000
3,539,000
	.....
	2016
	
84.24
84.25		$ 
	5,090,000
3,715,000
	.....
	2017
	
84.26 	The 2016 appropriation includes $204,000 for 2015 and $4,136,000 $3,335,000
84.27 	for 2016.
84.28 	The 2017 appropriation includes $459,000 $370,000 for 2016 and $4,631,000
84.29 	$3,345,000 for 2017.

84.30 	Sec. 9. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 
84.31 	11, is amended to read:
84.32 		Subd. 11.American Indian education aid. For American Indian education aid 
84.33 	under Minnesota Statutes, section 124D.81, subdivision 2a:

85.1
85.2		$ 
	7,868,000
7,740,000
	.....
	2016
	
85.3
85.4		$ 
	8,875,000
8,878,000
	.....
	2017
	
85.5 	The 2016 appropriation includes $0 for 2015 and $7,868,000 $7,740,000 for 2016.
85.6 	The 2017 appropriation includes $874,000 $860,000 for 2016 and $8,001,000
85.7 	$8,018,000 for 2017.
85.8 	C. SPECIAL PROGRAMS

85.9 	Sec. 10. Laws 2015, First Special Session chapter 3, article 5, section 30, subdivision 
85.10 	3, is amended to read:
85.11 		Subd. 3.Travel for home-based services. For aid for teacher travel for home-based 
85.12 	services under Minnesota Statutes, section 125A.75, subdivision 1:

85.13
85.14		$
	361,000
416,000
	.....
	2016
	
85.15
85.16		$
	371,000
435,000
	.....
	2017
	
85.17 	The 2016 appropriation includes $35,000 for 2015 and $326,000 $381,000 for 2016.
85.18 	The 2017 appropriation includes $36,000 $42,000 for 2016 and $335,000 $393,000
85.19 	for 2017.

85.20 	Sec. 11. Laws 2015, First Special Session chapter 3, article 5, section 30, subdivision 
85.21 	5, is amended to read:
85.22 		Subd. 5.Aid for children with disabilities. For aid under Minnesota Statutes, 
85.23 	section 125A.75, subdivision 3, for children with disabilities placed in residential facilities 
85.24 	within the district boundaries for whom no district of residence can be determined:

85.25
85.26		$
	1,406,000
1,307,000
	.....
	2016
	
85.27
85.28		$
	1,629,000
1,516,000
	.....
	2017
	
85.29 	If the appropriation for either year is insufficient, the appropriation for the other 
85.30 	year is available.
85.31 	D. FACILITIES AND TECHNOLOGY

85.32 	Sec. 12. Laws 2015, First Special Session chapter 3, article 6, section 13, subdivision 
85.33 	3, is amended to read:
86.1 		Subd. 3.Debt service equalization. For debt service aid according to Minnesota 
86.2 	Statutes, section 123B.53, subdivision 6:

86.3		$
	20,349,000
	.....
	2016
	
86.4
86.5		$
	22,171,000
22,926,000
	.....
	2017
	
86.6 	The 2016 appropriation includes $2,295,000 for 2015 and $18,054,000 for 2016.
86.7 	The 2017 appropriation includes $2,005,000 for 2016 and $20,166,000 $20,921,000
86.8 	for 2017.

86.9 	Sec. 13. Laws 2015, First Special Session chapter 3, article 6, section 13, subdivision 
86.10 	6, is amended to read:
86.11 		Subd. 6.Deferred maintenance aid. For deferred maintenance aid, according to 
86.12 	Minnesota Statutes, section 123B.591, subdivision 4:

86.13
86.14		$
	3,520,000
3,523,000
	.....
	2016
	
86.15		$
	345,000
	.....
	2017
	
86.16 	The 2016 appropriation includes $409,000 for 2015 and $3,111,000 $3,114,000
86.17 	for 2016.
86.18 	The 2017 appropriation includes $345,000 for 2016 and $0 for 2017.

86.19 	Sec. 14. Laws 2015, First Special Session chapter 3, article 6, section 13, subdivision 
86.20 	7, is amended to read:
86.21 		Subd. 7.Health and safety revenue. For health and safety aid according to 
86.22 	Minnesota Statutes, section 123B.57, subdivision 5:

86.23
86.24		$
	501,000
588,000
	.....
	2016
	
86.25
86.26		$
	48,000
57,000
	.....
	2017
	
86.27 	The 2016 appropriation includes $66,000 for 2015 and $435,000 $522,000 for 2016.
86.28 	The 2017 appropriation includes $48,000 $57,000 for 2016 and $0 for 2017.
86.29 	E. NUTRITION

86.30 	Sec. 15. Laws 2015, First Special Session chapter 3, article 7, section 7, subdivision 4, 
86.31 	is amended to read:
86.32 		Subd. 4.Kindergarten milk. For kindergarten milk aid under Minnesota Statutes, 
86.33 	section 124D.118:

87.1
87.2		$
	942,000
788,000
	.....
	2016
	
87.3
87.4		$
	942,000
788,000
	.....
	2017
	
87.5 	F. EARLY CHILDHOOD EDUCATION, SELF-SUFFICIENCY, 
87.6 	AND LIFELONG LEARNING

87.7 	Sec. 16. Laws 2015, First Special Session chapter 3, article 9, section 8, subdivision 5, 
87.8 	is amended to read:
87.9 		Subd. 5.Early childhood family education aid. For early childhood family 
87.10 	education aid under Minnesota Statutes, section 124D.135:

87.11
87.12		$ 
	28,444,000
27,948,000
	.....
	2016
	
87.13
87.14		$ 
	29,939,000
29,336,000
	.....
	2017
	
87.15 	The 2016 appropriation includes $2,713,000 for 2015 and $25,731,000 $25,235,000
87.16 	for 2016.
87.17 	The 2017 appropriation includes $2,858,000 $2,803,000 for 2016 and $27,081,000
87.18 	$26,533,000 for 2017.

87.19 	Sec. 17. Laws 2015, First Special Session chapter 3, article 9, section 8, subdivision 6, 
87.20 	is amended to read:
87.21 		Subd. 6.Developmental screening aid. For developmental screening aid under 
87.22 	Minnesota Statutes, sections 121A.17 and 121A.19:

87.23
87.24		$
	3,363,000
3,477,000
	.....
	2016
	
87.25
87.26		$
	3,369,000
3,488,000
	.....
	2017
	
87.27 	The 2016 appropriation includes $338,000 for 2015 and $3,025,000 $3,139,000
87.28 	for 2016.
87.29 	The 2017 appropriation includes $336,000 $348,000 for 2016 and $3,033,000
87.30 	$3,140,000 for 2017.

87.31 	Sec. 18. Laws 2015, First Special Session chapter 3, article 10, section 3, subdivision 
87.32 	2, is amended to read:
87.33 		Subd. 2.Community education aid. For community education aid under 
87.34 	Minnesota Statutes, section 124D.20:

88.1
88.2		$
	788,000
790,000
	.....
	2016
	
88.3
88.4		$
	554,000
553,000
	.....
	2017
	
88.5 	The 2016 appropriation includes $107,000 for 2015 and $681,000 $683,000 for 2016.
88.6 	The 2017 appropriation includes $75,000 for 2016 and $479,000 $478,000 for 2017.

88.7 	Sec. 19. Laws 2015, First Special Session chapter 3, article 11, section 3, subdivision 
88.8 	2, is amended to read:
88.9 		Subd. 2.Adult basic education aid. For adult basic education aid under Minnesota 
88.10 	Statutes, section 124D.531:

88.11
88.12		$
	49,118,000
48,231,000
	.....
	2016
	
88.13
88.14		$
	50,592,000
49,683,000
	.....
	2017
	
88.15 	The 2016 appropriation includes $4,782,000 for 2015 and $44,336,000 $43,449,000
88.16 	for 2016.
88.17 	The 2017 appropriation includes $4,926,000 $4,827,000 for 2016 and $45,666,000
88.18 	$44,856,000 for 2017.