SF 1740

1st Unofficial Engrossment - 94th Legislature (2025 - 2026)

Posted on 05/17/2025 02:27 p.m.

A bill for an act
relating to education; making changes to kindergarten through grade 12 education;
modifying provisions for general education, education excellence, charter schools,
education innovation, special education, health and nutrition, and state agencies;
amending Minnesota Statutes 2024, sections 13.32, subdivision 5; 120B.021,
subdivision 3; 120B.35, subdivision 3; 121A.22, subdivision 2; 121A.2205;
121A.2207; 122A.092, subdivision 2; 122A.441; 122A.70, subdivision 6;
124D.085; 124D.09, subdivisions 5, 5a, 9; 124D.093, subdivisions 3, 4; 124D.094,
subdivision 1; 124D.119, subdivision 5; 124D.162, subdivision 4; 124D.42,
subdivision 9; 124D.52, subdivision 2; 127A.21, subdivisions 1, 1a, 4, 5, by adding
subdivisions; 127A.49, subdivision 3; 136A.1276, subdivision 4; 268.19,
subdivision 1; proposing coding for new law in Minnesota Statutes, chapter 125A.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1

GENERAL EDUCATION

Section 1.

Minnesota Statutes 2024, section 124D.09, subdivision 5, is amended to read:

Subd. 5.

Authorization; notification.

(a) Notwithstanding any other law to the contrary,
an 11th or 12th grade pupil enrolled in a new text begin district, a charter new text end school new text begin , new text end or an American
Indian-controlled Tribal contract or grant school eligible for aid under section 124D.83,
except a foreign exchange pupil enrolled in a district under a cultural exchange program,
may apply to an eligible institution, as defined in subdivision 3, to enroll in nonsectarian
courses offered by that postsecondary institution.

(b) If an institution accepts a secondary pupil for enrollment under this section, the
institution shall send written notice to the pupil, the pupil's school or school district, and
the commissioner. The notice must indicate the course and hours of enrollment of that pupil.
The institution must notify the pupil's school as soon as practicable if the pupil withdraws
from the enrolled course. The institution must also notify the pupil's school as soon as
practicable if the pupil has been absent from a course for ten consecutive days on which
classes are held, based upon the postsecondary institution's academic calendar, and the pupil
is not receiving instruction in their home or hospital or other facility.

(c) If the pupil enrolls in a course for postsecondary credit, the institution must notify new text begin :
new text end

new text begin (1) new text end the pupil about payment in the customary manner used by the institution deleted text begin . deleted text end new text begin ; and
new text end

new text begin (2) the pupil's school as soon as practicable if the pupil withdraws from the course or
stops attending the course.
new text end

Sec. 2.

Minnesota Statutes 2024, section 124D.09, subdivision 5a, is amended to read:

Subd. 5a.

Authorization; career or technical education.

A 10th, 11th, or 12th grade
pupil enrolled in a district new text begin , a charter school, new text end or an American Indian-controlled tribal contract
or grant school eligible for aid under section 124D.83, except a foreign exchange pupil
enrolled in a district under a cultural exchange program, may enroll in a career or technical
education course offered by a Minnesota state college or university. A 10th grade pupil
applying for enrollment in a career or technical education course under this subdivision
must have received a passing score on the 8th grade Minnesota Comprehensive Assessment
in reading as a condition of enrollment. A current 10th grade pupil who did not take the 8th
grade Minnesota Comprehensive Assessment in reading may substitute another reading
assessment accepted by the enrolling postsecondary institution. A secondary pupil may
enroll in the pupil's first postsecondary options enrollment course under this subdivision.
A student who is refused enrollment by a Minnesota state college or university under this
subdivision may apply to an eligible institution offering a career or technical education
course. The postsecondary institution must give priority to its students according to
subdivision 9. If a secondary student receives a grade of "C" or better in the career or
technical education course taken under this subdivision, the postsecondary institution must
allow the student to take additional postsecondary courses for secondary credit at that
institution, not to exceed the limits in subdivision 8. A "career or technical course" is a
course that is part of a career and technical education program that provides individuals
with coherent, rigorous content aligned with academic standards and relevant technical
knowledge and skills needed to prepare for further education and careers in current and
emerging professions and provide technical skill proficiency, an industry recognized
credential, and a certificate, a diploma, or an associate degree.

Sec. 3.

Minnesota Statutes 2024, section 124D.09, subdivision 9, is amended to read:

Subd. 9.

Enrollment priority.

(a) A postsecondary institution must give priority to its
postsecondary students when enrolling pupils in grades 10, 11, and 12 in its courses. A
postsecondary institution may provide information about its programs to a secondary school
or to a pupil or parent and it may advertise or otherwise recruit or solicit a secondary pupil
to enroll in its programs on educational and programmatic grounds only deleted text begin except deleted text end ,
notwithstanding other law to the contrary deleted text begin , and for the 2014-2015 through 2019-2020 school
years only, an eligible postsecondary institution may advertise or otherwise recruit or solicit
a secondary pupil residing in a school district with 700 students or more in grades 10, 11,
and 12, to enroll in its programs on educational, programmatic, or financial grounds deleted text end .

(b) An institution must not enroll secondary pupils, for postsecondary enrollment options
purposes, in remedial, developmental, or other courses that are not college level except
when a student eligible to participate and enrolled in the graduation incentives program
under section 124D.68 enrolls full time in a middle or early college program. A middle or
early college program must be specifically designed to allow the student to earn dual high
school and college credit with a well-defined pathway to allow the student to earn a
postsecondary degree or credential. In this case, the student must receive developmental
college credit and not college credit for completing remedial or developmental courses.

(c) Once a pupil has been enrolled in any postsecondary course under this section, the
pupil must not be displaced by another student.

(d) If a postsecondary institution enrolls a secondary school pupil in a course under this
section, the postsecondary institution also must enroll in the same course an otherwise
enrolled and qualified postsecondary student who qualifies as a veteran under section
197.447, and demonstrates to the postsecondary institution's satisfaction that the institution's
established enrollment timelines were not practicable for that student.

(e) A postsecondary institution must allow secondary pupils to enroll in online courses
under this section consistent with the institution's policy regarding postsecondary pupil
enrollment in online courses.

Sec. 4.

Minnesota Statutes 2024, section 124D.094, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

(a) For purposes of this section, the following terms have
the meanings given.

(b) "Blended instruction" means a form of digital instruction that occurs when a student
learns part time in a supervised physical setting and part time through online instruction
under paragraph (f).

(c) "Digital instruction" means instruction facilitated by technology that offers students
an element of control over the time, place, path, or pace of learning and includes blended
and online instruction.

(d) "Enrolling district" means the school district or charter school in which a student is
enrolled under section deleted text begin 120A.22, subdivision 4 deleted text end new text begin 120A.05, subdivision 8, or chapter 124E new text end .

(e) "Online course syllabus" means a written document that identifies the state academic
standards taught and assessed in a supplemental online course under paragraph (j); course
content outline; required course assessments; instructional methods; communication
procedures with students, guardians, and the enrolling district under paragraph (d); and
supports available to the student.

(f) "Online instruction" means a form of digital instruction that occurs when a student
learns primarily through digital technology away from a supervised physical setting.

(g) "Online instructional site" means a site that offers courses using online instruction
under paragraph (f) and may enroll students receiving online instruction under paragraph
(f).

(h) "Online teacher" means an employee of the enrolling district under paragraph (d) or
the supplemental online course provider under paragraph (k) who holds the appropriate
licensure under Minnesota Rules, chapter 8710, and is trained to provide online instruction
under paragraph (f).

(i) "Student" means a Minnesota resident enrolled in a school defined under section
120A.22, subdivision 4, in kindergarten through grade 12 up to the age of 21.

(j) "Supplemental online course" means an online learning course taken in place of a
course provided by the student's enrolling district under paragraph (d).

(k) "Supplemental online course provider" means a school district, an intermediate school
district, new text begin a state-operated school, new text end an organization of two or more school districts operating
under a joint powers agreement, or a charter school located in Minnesota that is authorized
by the Department of Education to provide supplemental online courses under paragraph
(j).

Sec. 5.

Minnesota Statutes 2024, section 124D.52, subdivision 2, is amended to read:

Subd. 2.

Program approval.

(a) To receive aid under this section, a district, the
Department of Corrections, a private nonprofit organization, or a consortium including
districts, nonprofit organizations, or both must submit an application by June 1 describing
the program, on a form provided by the department. The program must be approved by the
commissioner according to the following criteria:

(1) how the needs of different levels of learning and English language proficiency will
be met;

(2) for continuing programs, an evaluation of results;

(3) anticipated number and education level of participants;

(4) coordination with other resources and services;

(5) participation in a consortium, if any, and money available from other participants;

(6) management and program design;

(7) volunteer training and use of volunteers;

(8) staff development services;

(9) program sites and schedules;

(10) program expenditures that qualify for aid;

(11) program ability to provide data related to learner outcomes as required by law; and

(12) a copy of the memorandum of understanding described in subdivision 1 submitted
to the commissioner.

(b) Adult basic education programs may be approved under this subdivision for up to
deleted text begin five deleted text end new text begin six new text end years. deleted text begin Five-year deleted text end new text begin Six-year new text end program approval must be granted to an applicant who
has demonstrated the capacity to:

(1) offer comprehensive learning opportunities and support service choices appropriate
for and accessible to adults at all basic skill and English language levels of need;

(2) provide a participatory and experiential learning approach based on the strengths,
interests, and needs of each adult, that enables adults with basic skill needs to:

(i) identify, plan for, and evaluate their own progress toward achieving their defined
educational and occupational goals;

(ii) master the basic academic reading, writing, and computational skills, as well as the
problem-solving, decision making, interpersonal effectiveness, and other life and learning
skills they need to function effectively in a changing society;

(iii) locate and be able to use the health, governmental, and social services and resources
they need to improve their own and their families' lives; and

(iv) continue their education, if they desire, to at least the level of secondary school
completion, with the ability to secure and benefit from continuing education that will enable
them to become more employable, productive, and responsible citizens;

(3) plan, coordinate, and develop cooperative agreements with community resources to
address the needs that the adults have for support services, such as transportation, English
language learning, flexible course scheduling, convenient class locations, and child care;

(4) collaborate with business, industry, labor unions, and employment-training agencies,
as well as with family and occupational education providers, to arrange for resources and
services through which adults can attain economic self-sufficiency;

(5) provide sensitive and well trained adult education personnel who participate in local,
regional, and statewide adult basic education staff development events to master effective
adult learning and teaching techniques;

(6) participate in regional adult basic education peer program reviews and evaluations;

(7) submit accurate and timely performance and fiscal reports;

(8) submit accurate and timely reports related to program outcomes and learner follow-up
information; and

(9) spend adult basic education aid on adult basic education purposes only, which are
specified in sections 124D.518 to 124D.531.

(c) The commissioner shall require each district to provide notification by February 1,
of its intent to apply for funds under this section as a single district or as part of a consortium.
A district receiving funds under this section must notify the commissioner by February 1
of its intent to change its application status for applications due the following June 1.

Sec. 6. new text begin SCHOOL START DATE FOR THE 2026-2027 AND 2027-2028 SCHOOL
YEARS ONLY.
new text end

new text begin Notwithstanding Minnesota Statutes, section 120A.40, paragraph (a), or other law to
the contrary, for the 2026-2027 and 2027-2028 school years only, a school board may vote
to begin the school year on September 1 or later. Nothing in this section limits a district's
authority to begin the school year on any day before Labor Day under section 120A.40,
paragraph (b).
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

ARTICLE 2

EDUCATION EXCELLENCE

Section 1.

Minnesota Statutes 2024, section 120B.35, subdivision 3, is amended to read:

Subd. 3.

State growth measures; other state measures.

(a)(1) The state's educational
assessment system measuring individual students' educational growth is based on indicators
of current achievement that show growth relative to an individual student's prior achievement.
Indicators of achievement and prior achievement must be based on highly reliable statewide
or districtwide assessments.

(2) For purposes of paragraphs (b), (c), and (d), the commissioner must analyze and
report separate categories of information using the student categories identified under the
federal Elementary and Secondary Education Act, as most recently reauthorized, and, in
addition to "other" for each race and ethnicity, and the Karen community, seven of the most
populous Asian and Pacific Islander groups, three of the most populous Native groups,
seven of the most populous Hispanic/Latino groups, and five of the most populous Black
and African Heritage groups as determined by the total Minnesota population based on the
most recent American Community Survey; English learners under section 124D.59; home
language; free or reduced-price meals; and all students enrolled in a Minnesota public school
who are currently or were previously in foster care, except that such disaggregation and
cross tabulation is not required if the number of students in a category is insufficient to yield
statistically reliable information or the results would reveal personally identifiable information
about an individual student.

(b) The commissioner, in consultation with a stakeholder group that includes assessment
and evaluation directors, district staff, experts in culturally responsive teaching, and
researchers, must implement an appropriate growth model that compares the difference in
students' achievement scores over time, and includes criteria for identifying schools and
school districts that demonstrate academic progress or progress toward English language
proficiency. The model may be used to advance educators' professional development and
replicate programs that succeed in meeting students' diverse learning needs. Data on
individual teachers generated under the model are personnel data under section 13.43. The
model must allow users to:

(1) report student growth consistent with this paragraph; and

(2) for all student categories, report and compare aggregated and disaggregated state
student growth and, under section 120B.11, subdivision 2, clause (2), student learning and
outcome data using the student categories identified under the federal Elementary and
Secondary Education Act, as most recently reauthorized, and other student categories under
paragraph (a), clause (2).

The commissioner must report measures of student growth and, under section 120B.11,
subdivision 2, clause (2), student learning and outcome data, consistent with this paragraph,
including the English language development, academic progress, and oral academic
development of English learners and their native language development if the native language
is used as a language of instruction, and include data on all pupils enrolled in a Minnesota
public school course or program who are currently or were previously counted as an English
learner under section 124D.59. new text begin In addition, the commissioner must report language
development outcomes of the target language of instruction other than English for all students
who are in a dual language immersion program or who are enrolled in a Minnesota public
school course or program in which the objective is improving or maintaining the students'
native language.
new text end

(c) When reporting student performance under section 120B.36, subdivision 1, the
commissioner annually, beginning July 1, 2011, must report two core measures indicating
the extent to which current high school graduates are being prepared for postsecondary
academic and career opportunities:

(1) a preparation measure indicating the number and percentage of high school graduates
in the most recent school year who completed course work important to preparing them for
postsecondary academic and career opportunities, consistent with the core academic subjects
required for admission to Minnesota's public colleges and universities as determined by the
Office of Higher Education under chapter 136A; and

(2) a rigorous coursework measure indicating the number and percentage of high school
graduates in the most recent school year who successfully completed one or more
college-level advanced placement, international baccalaureate, postsecondary enrollment
options including concurrent enrollment, other rigorous courses of study under section
120B.021, subdivision 1a, or industry certification courses or programs.

When reporting the core measures under clauses (1) and (2), the commissioner must also
analyze and report separate categories of information using the student categories identified
under the federal Elementary and Secondary Education Act, as most recently reauthorized,
and other student categories under paragraph (a), clause (2).

(d) When reporting student performance under section 120B.36, subdivision 1, the
commissioner annually, beginning July 1, 2014, must report summary data on school safety
and students' engagement and connection at school, consistent with the student categories
identified under paragraph (a), clause (2). The summary data under this paragraph are
separate from and must not be used for any purpose related to measuring or evaluating the
performance of classroom teachers. The commissioner, in consultation with qualified experts
on student engagement and connection and classroom teachers, must identify highly reliable
variables that generate summary data under this paragraph. The summary data may be used
at school, district, and state levels only. Any data on individuals received, collected, or
created that are used to generate the summary data under this paragraph are nonpublic data
under section 13.02, subdivision 9.

(e) For purposes of statewide educational accountability, the commissioner must identify
and report measures that demonstrate the success of learning year program providers under
sections 123A.05 and 124D.68, among other such providers, in improving students'
graduation outcomes. The commissioner, beginning July 1, 2015, must annually report
summary data on:

(1) the four- and six-year graduation rates of students under this paragraph;

(2) the percent of students under this paragraph whose progress and performance levels
are meeting career and college readiness benchmarks under section 120B.307; and

(3) the success that learning year program providers experience in:

(i) identifying at-risk and off-track student populations by grade;

(ii) providing successful prevention and intervention strategies for at-risk students;

(iii) providing successful recuperative and recovery or reenrollment strategies for off-track
students; and

(iv) improving the graduation outcomes of at-risk and off-track students.

The commissioner may include in the annual report summary data on other education
providers serving a majority of students eligible to participate in a learning year program.

(f) The commissioner, in consultation with recognized experts with knowledge and
experience in assessing the language proficiency and academic performance of all English
learners enrolled in a Minnesota public school course or program who are currently or were
previously counted as an English learner under section 124D.59, must identify and report
appropriate and effective measures to improve current categories of language difficulty and
assessments, and monitor and report data on students' English proficiency levels, program
placement, and academic language development, including oral academic language.

(g) When reporting four- and six-year graduation rates, the commissioner or school
district must disaggregate the data by student categories according to paragraph (a), clause
(2).

(h) A school district must inform parents and guardians that volunteering information
on student categories not required by the most recent reauthorization of the Elementary and
Secondary Education Act is optional and will not violate the privacy of students or their
families, parents, or guardians. The notice must state the purpose for collecting the student
data.

Sec. 2.

Minnesota Statutes 2024, section 122A.441, is amended to read:

122A.441 SHORT-CALL new text begin EMERGENCY new text end SUBSTITUTE TEACHER deleted text begin PILOT deleted text end
PROGRAM.

(a) A school district or charter school and applicant may jointly request the Professional
Educator Licensing and Standards Board approve an application for a short-call new text begin emergency new text end
substitute teaching license. The application information must sufficiently demonstrate the
following:

(1) the applicant:

(i) holds a minimum of an associate's degree or equivalent and has or will receive
substitute training from the school district or charter school; or

(ii) holds a minimum of a high school diploma or equivalent and has been employed as
an education support personnel or paraprofessional within the district or charter school for
at least one academic year; and

(2) the school district or charter school has obtained the results of a background check
completed in accordance with section 123B.03.

(b) The Professional Educator Licensing and Standards Board may issue a temporary
teaching license under this section pending a background check under section 122A.18,
subdivision 8, and may immediately suspend or revoke the license upon receiving background
check information. An applicant submitting an application for a short-call substitute teaching
license in accordance with section 122A.18, subdivision 7a, paragraph (a), must not be
required to complete a joint application with a district and must not be issued a license
pending a background check under section 122A.18, subdivision 8.

(c) The board may prioritize short-call new text begin emergency new text end substitute teaching license applications
to expedite the review process.

(d) A school district or charter school must provide a new text begin short-call emergency new text end substitute
teacher who receives a new text begin short-call emergency new text end substitute teaching license deleted text begin through the pilot
program deleted text end with substitute teacher training. The board may remove a school district or charter
school from the deleted text begin pilot deleted text end new text begin short-call emergency substitute teaching new text end program for failure to provide
the required training.

(e) A school district or charter school must not require an employee to apply for a new text begin
short-call emergency new text end substitute teaching license, or retaliate against an employee that does
not apply for a new text begin short-call emergency new text end substitute teaching license under deleted text begin the pilot program deleted text end new text begin this
section new text end .

(f) A school district or charter school must compensate an employee working as a
short-call new text begin emergency new text end substitute teacher under deleted text begin the pilot program deleted text end new text begin this section new text end with the greater
of deleted text begin $200 per day deleted text end new text begin the short-call substitute teacher rate of pay in the district new text end or the employee's
regular rate of pay.

deleted text begin (g) This section expires on June 30, 2025.
deleted text end

new text begin (g) A district may employ a short-call emergency substitute teacher for no more than
ten consecutive school days in a single assignment. A district solicitation for short-call
emergency substitute teacher applicants must disclose the duration of the short-call
emergency substitute teacher position.
new text end

new text begin (h) For each teacher assignment, a district may use a short-call emergency substitute
teacher to fill the assignment for no more than ten consecutive school days at a time.
new text end

new text begin (i) A district may employ a short-call emergency substitute teacher to fill an assignment
that a short-call emergency substitute teacher previously filled as long as at least 30 calendar
days have passed between the last day of the previous assignment and the first day of a
subsequent assignment.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 3.

Minnesota Statutes 2024, section 124D.162, subdivision 4, is amended to read:

Subd. 4.

Implementation.

The requirements under this section must be phased in over
deleted text begin three deleted text end new text begin four new text end school years with all school districts and charter schools complying beginning
with the deleted text begin 2025-2026 deleted text end new text begin 2026-2027 new text end school year.

Sec. 4.

Minnesota Statutes 2024, section 124D.42, subdivision 9, is amended to read:

Subd. 9.

Minnesota math corps program.

(a) A Minnesota math corps program is
established to deleted text begin give deleted text end new text begin provide new text end ServeMinnesota AmeriCorps members new text begin with new text end a data-based
problem-solving model of mathematics instruction deleted text begin useful for deleted text end new text begin to use in new text end providing elementary
and middle school students and their teachers with instructional support new text begin . Minnesota math
corps must use evidence-based instructional support to evaluate and accelerate student
learning on foundational mathematics skills that enable students new text end to meet state academic
standards in mathematics new text begin and long-term proficiency expectations for the workforce new text end .

(b) The commission must submit a biennial report to the committees of the legislature
with jurisdiction over kindergarten through grade 12 education that records and evaluates
program data to determine the efficacy of the programs under this subdivision.

new text begin (c) For purposes of this subdivision, "evidence-based" means the instruction or curriculum
is based on reliable, trustworthy, and valid evidence and has demonstrated a record of
success in increasing student competency and proficiency in mathematics and numeracy.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2025.
new text end

ARTICLE 3

CHARTER SCHOOLS

Section 1. new text begin REVISOR INSTRUCTION.
new text end

new text begin The revisor of statutes shall renumber the section of Minnesota Statutes listed in column
A with the number listed in column B. The revisor shall also make necessary cross-reference
changes consistent with the renumbering. The revisor shall also make any technical and
other changes necessitated by the renumbering and cross-reference changes in this act.
new text end

	new text begin Column A new text end	new text begin Column B new text end
	new text begin 124E.16, subdivision 3 new text end	new text begin 124E.27 new text end

ARTICLE 4

EDUCATION INNOVATION

Section 1.

Minnesota Statutes 2024, section 124D.085, is amended to read:

124D.085 EXPERIENTIAL AND APPLIED LEARNING OPPORTUNITIES FOR
STUDENTS.

(a) To strengthen the alignment between career and college ready curriculum and state
and local academic standards and increase students' opportunities for participating in applied
and experiential learning in a nontraditional setting, school districts are encouraged to
provide programs such as new text begin :
new text end

new text begin (1) new text end magnet schools deleted text begin , deleted text end new text begin ;
new text end

new text begin (2) new text end language immersion programs deleted text begin , deleted text end new text begin ;
new text end

new text begin (3) new text end project-based learning deleted text begin , deleted text end new text begin ;
new text end

new text begin (4) new text end accelerated learning deleted text begin , deleted text end new text begin ;
new text end

new text begin (5) new text end college prep schools deleted text begin , deleted text end new text begin ;
new text end

new text begin (6) new text end career and technical education deleted text begin , deleted text end new text begin ;
new text end

new text begin (7) new text end Montessori schools deleted text begin , deleted text end new text begin ;
new text end

new text begin (8) new text end military schools deleted text begin , deleted text end new text begin ;
new text end

new text begin (9) new text end work-based schools deleted text begin , deleted text end new text begin ; new text end and

new text begin (10) new text end place-based learning.

new text begin (b) new text end Districts may provide such programs independently or in cooperation with other
districts, at a school single site, for particular grades, or throughout the district. In addition
to meeting the other accountability measures under chapter 120B, districts may declare that
a student meets or exceeds specific academic standards required for graduation under the
rigorous course of study waiver in section 120B.021, subdivision 1a, where appropriate.

deleted text begin (b) deleted text end new text begin (c) new text end The board of a district that chooses to participate must publicly adopt and review
a plan for providing a program under this section. The plan must: define the program and
its structure; describe the enrollment process; identify measures and processes for regularly
assessing, evaluating, and publicly reporting on program efficacy and use summary data to
show student progress and outcomes; and establish a data-informed public process for
modifying and revising the plan as needed. A district must publish its plan contents and
evaluation outcomes on the district website.

deleted text begin (c) deleted text end new text begin (d) new text end For purposes of further integrating experiential and applied learning into career
and college ready curricula, the commissioner may request program information from
providing districts under this section new text begin , but is not authorized to approve or deny any school
board-adopted program provided under this section new text end .

Sec. 2.

Minnesota Statutes 2024, section 124D.093, subdivision 3, is amended to read:

Subd. 3.

deleted text begin Application deleted text end new text begin Board approval new text end process.

deleted text begin The commissioner must determine the
form and manner of application for a school to be designated a P-TECH school. deleted text end The
deleted text begin application deleted text end new text begin school board plan for adopting a P-TECH program new text end must contain at least the
following information:

(1) the written agreement between a public school, a higher education institution under
section 124D.09, subdivision 3, paragraph (a), and a business partner to jointly develop and
support a P-TECH school;

(2) a proposed school design consistent with subdivisions 1 and 2;

(3) a description of how the P-TECH school supports the needs of the economic
development region in which the P-TECH school is to be located;

(4) a description of the facilities to be used by the P-TECH school;

(5) a description of proposed budgets, curriculum, transportation plans, and other
operating procedures for the P-TECH school;

(6) the process by which students will be enrolled in the P-TECH school;

(7) the qualifications required for individuals employed in the P-TECH school; and

(8) any additional information that the deleted text begin commissioner requires deleted text end new text begin board determines is
appropriate new text end .

Sec. 3.

Minnesota Statutes 2024, section 124D.093, subdivision 4, is amended to read:

Subd. 4.

deleted text begin Approval deleted text end new text begin Grant new text end process.

(a) new text begin When an appropriation is available, new text end the
commissioner of education must appoint an advisory committee to review the new text begin grant
new text end applications and to recommend approval for those applications that meet the requirements
of this section. The commissioner of education has final authority over new text begin grant new text end application
approvals.

(b) To the extent practicable, the commissioner must ensure an equitable geographic
distribution of new text begin grants for new text end approved P-TECH schools.

new text begin (c) Nothing in this subdivision may be construed to authorize the commissioner to
approve or deny a locally adopted P-TECH plan.
new text end

Sec. 4. new text begin REVISOR INSTRUCTION.
new text end

new text begin (a) The revisor of statutes shall renumber the provisions of Minnesota Statutes and laws
listed in column A to the references listed in column B. The revisor shall also make necessary
cross-reference changes in Minnesota Statutes and Minnesota Rules consistent with the
renumbering in this instruction.
new text end

	new text begin Column A new text end	new text begin Column B new text end
	new text begin Laws 2017, First Special Session chapter 5, article 2, section 52 new text end	new text begin 124F.01 new text end
	new text begin 124D.085 new text end	new text begin 124F.02 new text end
	new text begin 124D.093 new text end	new text begin 124F.03 new text end
	new text begin 124D.4535 new text end	new text begin 124F.04 new text end
	new text begin 124D.46 new text end	new text begin 124F.05 new text end
	new text begin 124D.47 new text end	new text begin 124F.06 new text end
	new text begin 124D.48 new text end	new text begin 124F.07 new text end
	new text begin 124D.49 new text end	new text begin 124F.08 new text end
	new text begin 124D.50 new text end	new text begin 124F.09 new text end

new text begin (b) Paragraph (a) is intended to be a reorganization of statutes relating to Education
Innovation in Minnesota Statutes, chapter 124F, and not intended to change the meaning
or prior interpretation of those laws.
new text end

ARTICLE 5

SPECIAL EDUCATION

Section 1.

new text begin [125A.092] STATE COMPLAINT PROCESS.
new text end

new text begin Subdivision 1. new text end

new text begin Filing a state complaint. new text end

new text begin (a) An organization or individual may file a
signed, written complaint with the Department of Education, Office of General Counsel,
Dispute Resolution.
new text end

new text begin (b) The complaint must include:
new text end

new text begin (1) a statement that a public agency, lead agency, or early intervention services provider
has violated a requirement of Part B or Part C of the federal Individuals with Disabilities
Education Act;
new text end

new text begin (2) the facts on which the statement is based;
new text end

new text begin (3) the signature and contact information for the complainant;
new text end

new text begin (4) if alleging violations with respect to a specific child:
new text end

new text begin (i) the name and address of the residence of the child;
new text end

new text begin (ii) the name of the school the child is attending, or the name of the early intervention
services provider serving the child; and
new text end

new text begin (iii) in the case of a homeless child or youth within the meaning of section 725(2) of the
McKinney-Vento Homeless Assistance Act, United States Code, title 42, section 11434(a)(2),
the available contact information for the child and the name of the school the child is
attending;
new text end

new text begin (5) a description of the nature of the problem of the child, including facts relating to the
problem; and
new text end

new text begin (6) a proposed resolution of the problem to the extent known and available to the party
at the time the complaint is filed.
new text end

new text begin (c) The complaint must allege a violation that occurred not more than one year prior to
the date that the complaint is received.
new text end

new text begin (d) The party filing the complaint must forward a copy of the complaint to the local
educational agency, public agency, or early intervention services provider serving the child
at the same time the party files the complaint with the Department of Education.
new text end

new text begin Subd. 2. new text end

new text begin Remedies. new text end

new text begin In resolving a complaint in which the Department of Education has
found a failure to provide appropriate services, the Department of Education, pursuant to
its general supervisory authority under Part B and Part C of the federal Individuals with
Disabilities Education Act, must address:
new text end

new text begin (1) the failure to provide appropriate services, including corrective action appropriate
to address the needs of the child, compensatory services, or monetary reimbursement; and
new text end

new text begin (2) appropriate future provision of services for all children with disabilities.
new text end

new text begin Subd. 3. new text end

new text begin Time limit and procedures. new text end

new text begin (a) Within 60 days after a complaint is filed, the
Department of Education must:
new text end

new text begin (1) carry out an independent on-site investigation if the Department of Education
determines that an investigation is necessary;
new text end

new text begin (2) give the complainant the opportunity to submit additional information, either orally
or in writing, about the allegations in the complaint;
new text end

new text begin (3) provide the public agency, lead agency, or early intervention services provider with
the opportunity to respond to the complaint, including at a minimum:
new text end

new text begin (i) at the discretion of the Department of Education, a proposal to resolve the complaint;
and
new text end

new text begin (ii) an opportunity for a parent who has filed a complaint and the public agency, lead
agency, or early intervention services provider to voluntarily engage in mediation consistent
with section 125A.091, subdivision 9;
new text end

new text begin (4) review all relevant information and make an independent determination as to whether
the public agency, lead agency, or early intervention services provider is violating a
requirement of Part B or Part C of the federal Individuals with Disabilities Education Act;
and
new text end

new text begin (5) issue a written decision to the complainant that addresses each allegation in the
complaint and contains:
new text end

new text begin (i) findings of fact and conclusions; and
new text end

new text begin (ii) the reasons for the Department of Education's final decision.
new text end

new text begin (b) An extension of the time limit is allowed only if:
new text end

new text begin (1) exceptional circumstances exist with respect to a particular complaint; or
new text end

new text begin (2) the parent, individual, or organization and the local educational agency, public agency,
or early intervention services provider involved agree to extend the time to engage in
mediation pursuant to section 125A.091, subdivision 9, or a facilitated team meeting pursuant
to section 125A.091, subdivision 11.
new text end

new text begin Subd. 4. new text end

new text begin Complaints and due process hearings. new text end

new text begin (a) If a written complaint is received
that is also the subject of a due process hearing under section 125A.091, subdivision 12, or
that contains multiple issues of which one or more are part of that hearing, the Department
of Education must set aside any part of the complaint that is being addressed in the due
process hearing until the conclusion of the hearing. Any issue in the complaint that is not
a part of the due process action must be resolved using the time limit and procedures
described in paragraphs (c) and (d).
new text end

new text begin (b) If an issue raised in a complaint filed under this section has previously been decided
in a due process hearing involving the same parties:
new text end

new text begin (1) the due process hearing decision is binding on that issue; and
new text end

new text begin (2) the Department of Education must inform the complainant to that effect.
new text end

new text begin (c) If the local educational agency, public agency, or early intervention services provider
fails to implement the due process hearing decision, an individual or organization may file
a state complaint with the Department of Education alleging the agency or provider's failure
to implement the due process hearing decision.
new text end

ARTICLE 6

HEALTH AND NUTRITION

Section 1.

Minnesota Statutes 2024, section 121A.22, subdivision 2, is amended to read:

Subd. 2.

Exclusions.

In addition, this section does not apply to drugs or medicine that
are:

(1) purchased without a prescription;

(2) used by a pupil who is 18 years old or older;

(3) used in connection with services for which a minor may give effective consent,
including section 144.343, subdivision 1, and any other law;

(4) used in situations in which, in the judgment of the school personnel, including a
licensed nurse, who are present or available, the risk to the pupil's life or health is of such
a nature that drugs or medicine should be given without delay;

(5) used off the school grounds;

(6) used in connection with athletics or extra curricular activities;

(7) used in connection with activities that occur before or after the regular school day;

(8) provided or administered by a public health agency to prevent or control an illness
or a disease outbreak as provided for in sections 144.05 and 144.12;

(9) prescription asthma or reactive airway disease medications self-administered by a
pupil with an asthma inhaler, consistent with section 121A.221, if the district has received
a written authorization from the pupil's parent permitting the pupil to self-administer the
medication, the inhaler is properly labeled for that student, and the parent has not requested
school personnel to administer the medication to the pupil. The parent must submit written
authorization for the pupil to self-administer the medication each school year; or

(10) epinephrine deleted text begin auto-injectors deleted text end new text begin delivery systems new text end , consistent with section 121A.2205, if
the parent and prescribing medical professional annually inform the pupil's school in writing
that (i) the pupil may possess the epinephrine or (ii) the pupil is unable to possess the
epinephrine and requires immediate access to epinephrine deleted text begin auto-injectors deleted text end new text begin delivery systems new text end
that the parent provides properly labeled to the school for the pupil as needed.

Sec. 2.

Minnesota Statutes 2024, section 121A.2205, is amended to read:

121A.2205 POSSESSION AND USE OF EPINEPHRINE deleted text begin AUTO-INJECTORS deleted text end new text begin
DELIVERY SYSTEMS new text end ; MODEL POLICY.

Subdivision 1.

Definitions.

As used in this section:

(1) "administer" means the direct application of an epinephrine deleted text begin auto-injector deleted text end new text begin delivery
system new text end to the body of an individual;

(2) "epinephrine deleted text begin auto-injector deleted text end new text begin delivery system new text end " means a deleted text begin device that automatically injects
a premeasured dose of epinephrine deleted text end new text begin medication product approved by the United States Food
and Drug Administration that automatically delivers a single, premeasured dose of
epinephrine to prevent or treat a life-threatening allergic reaction new text end ; and

(3) "school" means a public school under section 120A.22, subdivision 4, or a nonpublic
school, excluding a home school, under section 120A.22, subdivision 4, that is subject to
the federal Americans with Disabilities Act.

Subd. 2.

Plan for use of epinephrine deleted text begin auto-injectors deleted text end new text begin delivery systems new text end .

(a) At the start
of each school year or at the time a student enrolls in school, whichever is first, a student's
parent, school staff, including those responsible for student health care, and the prescribing
medical professional must develop and implement an individualized written health plan for
a student who is prescribed epinephrine deleted text begin auto-injectors deleted text end new text begin delivery systems new text end that enables the
student to:

(1) possess epinephrine deleted text begin auto-injectors deleted text end new text begin delivery systems new text end ; or

(2) if the parent and prescribing medical professional determine the student is unable to
possess the epinephrine, have immediate access to epinephrine deleted text begin auto-injectors deleted text end new text begin delivery
systems new text end in close proximity to the student at all times during the instructional day.

The plan must designate the school staff responsible for implementing the student's
health plan, including recognizing anaphylaxis and administering epinephrine deleted text begin auto-injectors deleted text end new text begin
delivery systems new text end when required, consistent with section 121A.22, subdivision 2, clause
(10). This health plan may be included in a student's 504 plan.

(b) Other nonpublic schools are encouraged to develop and implement an individualized
written health plan for students requiring epinephrine deleted text begin auto-injectors deleted text end new text begin delivery systems new text end ,
consistent with this section and section 121A.22, subdivision 2, clause (10).

(c) A school district and its agents and employees are immune from liability for any act
or failure to act, made in good faith, in implementing this section and section 121A.2207.

(d) The deleted text begin education deleted text end commissioner new text begin of education, in collaboration with the commissioner
of health, new text end may develop and transmit to interested schools a model policy and individualized
health plan form consistent with this section and federal 504 plan requirements. The policy
and form may:

(1) assess a student's ability to safely possess epinephrine deleted text begin auto-injectors deleted text end new text begin delivery systems new text end ;

(2) identify staff training needs related to recognizing anaphylaxis and administering
epinephrine when needed;

(3) accommodate a student's need to possess or have immediate access to epinephrine
deleted text begin auto-injectors deleted text end new text begin delivery systems new text end in close proximity to the student at all times during the
instructional day; and

(4) ensure that the student's parent provides properly labeled epinephrine deleted text begin auto-injectors deleted text end new text begin
delivery systems new text end to the school for the student as needed.

(e) Additional epinephrine deleted text begin auto-injectors deleted text end new text begin delivery systems new text end may be available in school
first aid kits.

(f) The school board of the school district must define instructional day for the purposes
of this section.

Sec. 3.

Minnesota Statutes 2024, section 121A.2207, is amended to read:

121A.2207 LIFE-THREATENING ALLERGIES IN SCHOOLS; STOCK SUPPLY
OF EPINEPHRINE deleted text begin AUTO-INJECTORS deleted text end new text begin DELIVERY SYSTEMS new text end .

Subdivision 1.

Districts and schools permitted to maintain supply.

(a) Notwithstanding
section 151.37, districts and schools may obtain and possess epinephrine deleted text begin auto-injectors deleted text end new text begin
delivery systems new text end to be maintained and administered by school personnel, including a licensed
nurse, to a student or other individual if, in good faith, it is determined that person is
experiencing anaphylaxis regardless of whether the student or other individual has a
prescription for an epinephrine deleted text begin auto-injector deleted text end new text begin delivery system new text end . The administration of an
epinephrine deleted text begin auto-injector deleted text end new text begin delivery system new text end in accordance with this section is not the practice
of medicine.

(b) Registered nurses may administer epinephrine deleted text begin auto-injectors deleted text end new text begin delivery systems new text end in a
school setting according to a condition-specific protocol as authorized under section 148.235,
subdivision 8. Notwithstanding any limitation in sections 148.171 to 148.285, licensed
practical nurses may administer epinephrine deleted text begin auto-injectors deleted text end new text begin delivery systems new text end in a school
setting according to a condition-specific protocol that does not reference a specific patient
and that specifies the circumstances under which the epinephrine deleted text begin auto-injector deleted text end new text begin delivery
system new text end is to be administered, when caring for a patient whose condition falls within the
protocol.

Subd. 2.

Arrangements with manufacturers.

A district or school may enter into
arrangements with manufacturers of epinephrine deleted text begin auto-injectors deleted text end new text begin delivery systems new text end to obtain
epinephrine deleted text begin auto-injectors deleted text end new text begin delivery systems new text end at fair-market, free, or reduced prices. A third
party, other than a manufacturer or supplier, may pay for a school's supply of epinephrine
deleted text begin auto-injectors deleted text end new text begin delivery systems new text end .

new text begin Subd. 3. new text end

new text begin Standing order for distribution and condition-specific protocol. new text end

new text begin The
commissioner of health must provide a district or school with a standing order for distribution
of epinephrine delivery systems under sections 148.235, subdivision 8, and 151.37,
subdivision 2.
new text end

Sec. 4.

Minnesota Statutes 2024, section 124D.119, subdivision 5, is amended to read:

Subd. 5.

Summer Food Service Program locations.

Consistent with Code of Federal
Regulations, title 7, deleted text begin section 225.6(d)(1)(ii) deleted text end new text begin part 225 new text end , the Department of Education must not
approve a new Summer Food Service Program open site that is within a half-mile radius of
an existing Summer Food Service Program open site. The department may approve a new
Summer Food Service Program open site within a half-mile radius only if the new program
will not be serving the same group of children for the same meal type or if there are safety
issues that could present barriers to participation.

ARTICLE 7

STATE AGENCIES

Section 1.

Minnesota Statutes 2024, section 13.32, subdivision 5, is amended to read:

Subd. 5.

Directory information.

(a) Educational data designated as directory information
is public data on individuals to the extent required under federal law. Directory information
must be designated pursuant to the provisions of:

(1) this subdivision; and

(2) United States Code, title 20, section 1232g, and Code of Federal Regulations, title
34, section 99.37, which were in effect on January 3, 2012.

(b) When conducting the directory information designation and notice process required
by federal law, an educational agency or institution shall give parents and students notice
of the right to refuse to let the agency or institution designate specified data about the student
as directory information. This notice may be given by any means reasonably likely to inform
the parents and students of the right.

(c) An educational agency or institution may not designate a student's home address,
telephone number, email address, or other personal contact information as directory
information under this subdivision. This paragraph does not apply to a postsecondary
institution.

(d) When requested, educational agencies or institutions must share personal student
contact information and directory information, whether public or private, with the Minnesota
Department of Education, as required for federal reporting purposes.

(e) When requested, new text begin and in accordance with requirements for parental consent in the
Code of Federal Regulations, title 34, section 300.622 (b)(2), and part 99, new text end educational
agencies or institutions may share personal student contact information and directory
information for students served in special education with postsecondary transition planning
and services under section 125A.08, paragraph (b), clause (1), whether public or private,
with the Department of Employment and Economic Development, as required for
coordination of services to students with disabilities under sections 125A.08, paragraph (b),
clause (1); 125A.023; and 125A.027.

Sec. 2.

Minnesota Statutes 2024, section 120B.021, subdivision 3, is amended to read:

Subd. 3.

Rulemaking.

(a) The commissioner, consistent with the requirements of this
section and section 120B.022, must adopt statewide rules under deleted text begin section 14.389 deleted text end new text begin chapter 14 new text end
for implementing statewide rigorous core academic standards in language arts, mathematics,
science, social studies, physical education, and the arts.

(b) The commissioner must adopt statewide rules for implementing statewide rigorous
core academic standards in health.

Sec. 3.

Minnesota Statutes 2024, section 122A.092, subdivision 2, is amended to read:

Subd. 2.

Requirements for board approval.

Teacher preparation programs must
demonstrate the following to obtain board approval:

(1) the program has implemented a research-based, results-oriented curriculum that
focuses on the skills teachers need in order to be effective;

(2) the program provides a student teaching program;

(3) the program demonstrates effectiveness based on proficiency of graduates in
demonstrating attainment of program outcomes;

(4) the program includes a common core of teaching knowledge and skills. This common
core shall meet the standards developed by the Interstate New Teacher Assessment and
Support Consortium deleted text begin in its 1992 model standards deleted text end for beginning teacher licensing and
development. Amendments to standards adopted under this clause are subject to chapter
14 deleted text begin . The Professional Educator Licensing and Standards Board shall report annually to the
education committees of the legislature on the performance of teacher candidates on common
core assessments of knowledge and skills under this clause during the most recent school
year deleted text end ;

(5) the program includes instruction on the knowledge and skills needed to provide
appropriate instruction to English learners to support and accelerate their academic literacy,
including oral academic language and achievement in content areas in a regular classroom
setting; and

(6) the program includes culturally competent training in instructional strategies consistent
with section 120B.30, subdivision 8.

Sec. 4.

Minnesota Statutes 2024, section 122A.70, subdivision 6, is amended to read:

Subd. 6.

Report.

By September 30 of each year after receiving a grant, recipients must
submit a report to the Professional Educator Licensing and Standards Board on program
efforts that describes mentoring and induction activities and assesses the impact of these
programs on teacher effectiveness and retention. The board must publish a summary report
for the public and submit the report to the committees of the legislature with jurisdiction
over kindergarten through grade 12 education policy and finance in accordance with section
3.302 by November 30 of each new text begin even-numbered new text end year.

Sec. 5.

Minnesota Statutes 2024, section 127A.21, subdivision 1, is amended to read:

Subdivision 1.

Establishment of Office of the Inspector General; powers; duties.

The
commissioner must establish within the department an Office of the Inspector General. The
inspector general shall report directly to the commissioner. The Office of the Inspector
General is charged with protecting the integrity of the department and the state by detecting
and preventing fraud, new text begin theft, new text end waste, and abuse in department programs. The Office of the
Inspector General must conduct independent and objective investigations to promote the
integrity of the department's programs and operations. When fraud new text begin , theft, new text end or other misuse
of public funds is detected, the Office of the Inspector General must report it to the
appropriate law enforcement entity and collaborate and cooperate with law enforcement to
assist in the investigation and any subsequent civil and criminal prosecution.

Sec. 6.

Minnesota Statutes 2024, section 127A.21, subdivision 1a, is amended to read:

Subd. 1a.

Definitions.

(a) For purposes of this section, the following terms have the
meanings given.

(b) "Abuse" means actions that may, directly or indirectly, result in unnecessary costs
to department programs. Abuse may involve paying for items or services when there is no
legal entitlement to that payment deleted text begin . deleted text end new text begin , or behavior that is deficient or improper when compared
with behavior that a prudent person would consider a reasonable and necessary business
practice given the facts and circumstances.
new text end

(c) "Department program" means a program funded by the Department of Education
that involves the transfer or disbursement of public funds or other resources to a program
participant. "Department program" includes state and federal aids or grants received by a
school district or charter school or other program participant.

new text begin (d) "Excluded" means removed by any means from a program administered by a
Minnesota state agency or federal agency.
new text end

deleted text begin (d) deleted text end new text begin (e) new text end "Fraud" means an intentional or deliberate act to deprive another of property or
money or to acquire property or money by deception or other unfair means. Fraud includes
intentionally submitting false information to the department for the purpose of new text begin either new text end
obtaining a greater compensation or benefit than that to which the deleted text begin person deleted text end new text begin program participant new text end
is legally entitled new text begin or hiding the misuse of funds new text end . deleted text begin Fraud also includes failure to correct errors
in the maintenance of records in a timely manner after a request by the department. deleted text end new text begin Fraud
also includes acts that constitute a crime against any program, or attempts or conspiracies
to commit those crimes, including but not limited to the following:
new text end

new text begin (1) theft in violation of section 609.52;
new text end

new text begin (2) perjury in violation of section 609.48; and
new text end

new text begin (3) aggravated forgery and forgery in violation of sections 609.625 and 609.63.
new text end

deleted text begin (e) deleted text end new text begin (f) new text end "Investigation" means an audit, investigation, proceeding, or inquiry by the Office
of the Inspector General related to a program participant in a department program.

deleted text begin (f) deleted text end new text begin (g) new text end "Program participant" means any entity or person, including associated new text begin entities
or new text end persons, that receives, disburses, or has custody of funds or other resources transferred
or disbursed under a department program. new text begin Associated persons or entities include but are not
limited to vendors or other entities or persons that contract with recipients of department
program funds.
new text end

new text begin (h) "Theft" means the act defined in section 609.52, subdivision 2.
new text end

deleted text begin (g) deleted text end new text begin (i) new text end "Waste" means practices that, directly or indirectly, result in unnecessary costs
to department programs, such as misusing resources. new text begin Waste includes an attempt or act using
or expending resources carelessly, extravagantly, or to no purpose.
new text end

deleted text begin (h) deleted text end new text begin (j) new text end For purposes of this section, neither "fraud," new text begin "theft," new text end "waste," nor "abuse" includes
decisions on instruction, curriculum, personnel, or other discretionary policy decisions made
by a school district, charter school, cooperative unit as defined by section 123A.24,
subdivision 2, or any library, library system, or library district defined in section 134.001.

Sec. 7.

Minnesota Statutes 2024, section 127A.21, subdivision 4, is amended to read:

Subd. 4.

Access to records.

(a) For purposes of an investigation, and regardless of the
data's classification under chapter 13, the Office of the Inspector General shall have access
to all relevant books, accounts, documents, data, and property related to department programs
that are maintained by a program participant, charter school, or government entity as defined
by section 13.02.

(b) Notwithstanding paragraph (a), the Office of the Inspector General must issue a
subpoena under subdivision 3 in order to access routing and account numbers to which
Department of Education funds have been disbursed.

(c) Records requested by the Office of the Inspector General under this subdivision shall
be provided in a format, place, and time frame reasonably requested by the Office of the
Inspector General.

(d) The department may enter into specific agreements with other state agencies related
to records requests by the Office of the Inspector General.

new text begin (e) In an investigation, program participants must give the Office of the Inspector General
immediate access without prior notice to any locations of potential record storage and the
records themselves, whether physical or electronic, during regular business hours, and to
any records related to a department program. Denying the Office of the Inspector General
access to requested records is cause for immediate suspension of payment.
new text end

new text begin (f) The Office of the Inspector General, at its own expense, may photocopy or otherwise
duplicate any record related to a department program. Photocopying or electronic duplication
shall be done on the program participant's premises when immediate access is requested,
unless removal is specifically permitted by the program participant. If requested, a program
participant must help the Office of the Inspector General duplicate any department program
record or other records related to a department program's operation, including hard copies
or electronically stored data, on the day when access is requested.
new text end

Sec. 8.

Minnesota Statutes 2024, section 127A.21, subdivision 5, is amended to read:

Subd. 5.

Sanctions; appeal.

(a) This subdivision does not authorize any sanction that
reduces, pauses, or otherwise interrupts state or federal aid to a school district, charter school,
cooperative unit as defined by section 123A.24, subdivision 2, or any library, library system,
or library district defined in section 134.001.

(b) The inspector general may recommend that the commissioner impose appropriate
temporary sanctions, including withholding of payments under the department program, on
a program participant pending an investigation by the Office of the Inspector General if:

(1) during the course of an investigation, the Office of the Inspector General finds credible
indicia of fraud, waste, or abuse by the program participant;

(2) there has been a criminal, civil, or administrative adjudication of fraud, new text begin theft, new text end waste,
or abuse against the program participant in Minnesota or in another state or jurisdiction;

(3) the program participant was receiving funds under any contract or registered in any
program administered by another Minnesota state agency, a government agency in another
state, or a federal agency, and was excluded from that contract or program for reasons
credibly indicating fraud, waste, or abuse by the program participant; or

(4) the program participant has a pattern of noncompliance with an investigation.

(c) If an investigation finds, by a preponderance of the evidence, fraud, new text begin theft, new text end waste, or
abuse by a program participant, the inspector general may, after reviewing all facts and
evidence and when acting judiciously on a case-by-case basis, recommend that the
commissioner impose appropriate sanctions on the program participant.

(d) Unless prohibited by law, the commissioner has the authority to implement
recommendations by the inspector general, including imposing appropriate sanctions,
temporarily or otherwise, on a program participant. Sanctions may include ending program
participation, stopping disbursement of funds or resources, monetary recovery, and
termination of department contracts with the participant for any current or future department
program or contract. A sanction may be imposed for up to the longest period permitted by
state or federal law. Sanctions authorized under this subdivision are in addition to other
remedies and penalties available under law.

(e) If the commissioner imposes sanctions on a program participant under this subdivision,
the commissioner must notify the participant in writing within seven business days of
imposing the sanction, unless requested in writing by a law enforcement agency to
temporarily delay issuing the notice to prevent disruption of an ongoing law enforcement
agency investigation. A notice of sanction must state:

(1) the sanction being imposed;

(2) the general allegations that form the basis for the sanction;

(3) the duration of the sanction;

(4) the department programs to which the sanction applies; and

(5) how the program participant may appeal the sanction pursuant to paragraph (e).

(f) A program participant sanctioned under this subdivision may, within 30 days after
the date the notice of sanction was mailed to the participant, appeal the determination by
requesting in writing that the commissioner initiate a contested case proceeding under
chapter 14. The scope of any contested case hearing is limited to the sanction imposed under
this subdivision. An appeal request must specify with particularity each disputed item, the
reason for the dispute, and must include the name and contact information of the person or
entity that may be contacted regarding the appeal.

(g) The commissioner shall lift sanctions imposed under this subdivision if the Office
of the Inspector General determines there is insufficient evidence of fraud, new text begin theft, new text end waste, or
abuse by the program participant. The commissioner must notify the participant in writing
within seven business days of lifting the sanction.

Sec. 9.

Minnesota Statutes 2024, section 127A.21, is amended by adding a subdivision to
read:

new text begin Subd. 8. new text end

new text begin Immunity and confidentiality. new text end

new text begin (a) A person who makes a good faith report
is immune from any civil liability that might otherwise arise from reporting or participating
in the investigation. Nothing in this subdivision affects an individual's or entity's
responsibility for any monetary recovery under existing law or contractual obligation when
receiving public funds.
new text end

new text begin (b) For purposes of this subdivision, "person" means a natural person.
new text end

new text begin (c) After an investigation is complete, the reporter's name and any identifying information
must be kept confidential. The subject of the report may compel disclosure of the reporter's
name only with the consent of the reporter or upon a written finding by a district court that
the report was false and there is evidence that the report was made in bad faith. This
subdivision does not alter disclosure responsibilities or obligations under the Rules of
Criminal Procedure, except that when the identity of the reporter is relevant to a criminal
prosecution the district court shall conduct an in-camera review before determining whether
to order disclosure of the reporter's identity.
new text end

Sec. 10.

Minnesota Statutes 2024, section 127A.21, is amended by adding a subdivision
to read:

new text begin Subd. 9. new text end

new text begin Limits on receiving public funds; prohibition. new text end

new text begin (a) This subdivision does not
authorize any action that reduces, pauses, or otherwise interrupts state or federal aid to a
school district, charter school, cooperative unit as defined in section 123A.24, subdivision
2, or any library, library system, or library district defined in section 134.001.
new text end

new text begin (b) For purposes of this subdivision, "program participant" includes individuals or persons
who have an ownership interest in, control of, or the ability to control a program participant
in a department program.
new text end

new text begin (c) If a program participant is excluded from a department program, the inspector general
shall notify the commissioner, who shall:
new text end

new text begin (1) prohibit the excluded program participant from enrolling in, receiving grant money
from, or registering in any other program administered by the commissioner; and
new text end

new text begin (2) disenroll or disqualify the excluded program participant from any other program
administered by the commissioner.
new text end

new text begin (d) If a program participant enrolled, licensed, or receiving funds under any contract or
program administered by a Minnesota state agency or federal agency is excluded from that
program, the inspector general shall notify the commissioner, who may:
new text end

new text begin (1) prohibit the excluded program participant from enrolling in, becoming licensed,
receiving grant money from, or registering in any other program administered by the
commissioner; and
new text end

new text begin (2) disenroll or disqualify the excluded program participant from any other program
administered by the commissioner.
new text end

new text begin (e) The duration of a prohibition, disenrollment, revocation, suspension, or
disqualification under paragraph (c) must last for the longest applicable sanction or
disqualifying period in effect for the program participant permitted by state or federal law.
The duration of a prohibition, disenrollment, revocation, suspension, or disqualification
under paragraph (d) may last up until the longest applicable sanction or disqualifying period
in effect for the program participant as permitted by state or federal law.
new text end

Sec. 11.

Minnesota Statutes 2024, section 127A.21, is amended by adding a subdivision
to read:

new text begin Subd. 10. new text end

new text begin Notice. new text end

new text begin Within five days of taking an action against a program participant
under subdivision 9, paragraph (c) or (d), the commissioner must send notice of the action
to the program participant. The notice must state:
new text end

new text begin (1) the basis for the action;
new text end

new text begin (2) the effective date of the action;
new text end

new text begin (3) the right to appeal the action; and
new text end

new text begin (4) the requirements and procedures for reinstatement.
new text end

Sec. 12.

Minnesota Statutes 2024, section 127A.21, is amended by adding a subdivision
to read:

new text begin Subd. 11. new text end

new text begin Appeal. new text end

new text begin (a) Upon receipt of a notice under subdivision 10, a program
participant may request a contested case hearing, as defined in section 14.02, subdivision
3, by filing with the commissioner a written request of appeal. The appeal request must be
received by the commissioner no later than 30 days after the date the notification was mailed
to the program participant.
new text end

new text begin (b) The appeal request must specify: (1) each disputed item and the reason for the dispute;
(2) the authority in statute or rule upon which the program participant relies for each disputed
item; (3) the name and address of the person or entity with whom contacts may be made
regarding the appeal; and (4) other information required by the commissioner.
new text end

new text begin (c) Unless timely and proper appeal is received by the commissioner, the action of the
commissioner shall be considered final and binding on the effective date of the action as
stated in the notice under subdivision 10, clause (2).
new text end

Sec. 13.

Minnesota Statutes 2024, section 127A.21, is amended by adding a subdivision
to read:

new text begin Subd. 12. new text end

new text begin Withholding of payments. new text end

new text begin (a) This subdivision does not authorize withholding
of payments that reduces, pauses, or otherwise interrupts state or federal aid to a school
district, charter school, cooperative unit as defined in section 123A.24, subdivision 2, or
any library, library system, or library district defined in section 134.001.
new text end

new text begin (b) Except as otherwise provided by state or federal law, the inspector general shall
notify and recommend to the commissioner to withhold payments to a program participant
in any program administered by the commissioner, to the extent permitted under federal
law, if the commissioner determines there is a credible allegation of fraud or theft for which
an investigation is pending for a program administered by the department, a Minnesota state
agency, or a federal agency.
new text end

new text begin (c) Allegations are considered credible when they have indicia of reliability and the
inspector general has reviewed the evidence and acts on a case-by-case basis. A credible
allegation of fraud is an allegation that has been verified by the commissioner from any
source, including but not limited to:
new text end

new text begin (1) fraud hotline complaints;
new text end

new text begin (2) claims data mining; and
new text end

new text begin (3) patterns identified through provider audits, civil false claims cases, and investigations.
new text end

new text begin (d) The commissioner must send notice of the withholding of payments within five days
of taking such action. The notice must: (1) state that payments are being withheld according
to this paragraph; (2) set forth the general allegations as to the reasons for the withholding
action, but need not disclose any specific information concerning an ongoing investigation;
(3) state that the withholding is for a temporary period and cite the circumstances under
which withholding will be terminated; and (4) inform the program participant of the right
to submit written evidence for consideration by the commissioner.
new text end

new text begin (e) The withholding of payments shall not continue after the commissioner determines
there is insufficient evidence of fraud by the program participant or after legal proceedings
relating to the alleged fraud are completed, unless the commissioner has sent notice under
subdivision 5 of the intention to take an additional action related to the program participant's
participation in a program administered by the commissioner.
new text end

new text begin (f) The withholding of payments is a temporary action and shall not be subject to appeal
under this subdivision or chapter 14.
new text end

Sec. 14.

Minnesota Statutes 2024, section 127A.49, subdivision 3, is amended to read:

Subd. 3.

Excess tax increment.

(a) new text begin The county auditor must, prior to February 1 of each
year, certify to the commissioner of education the amount of any excess tax increment that
accrued to the district during the preceding year. new text end If a return of excess tax increment is made
to a district pursuant to sections 469.176, subdivision 2, and 469.177, subdivision 9, or upon
decertification of a tax increment district, the school district's aid and levy limitations must
be adjusted for the fiscal year in which the excess tax increment is paid under the provisions
of this subdivision.

(b) An amount must be subtracted from the district's aid for the current fiscal year equal
to the product of:

(1) the amount of the payment of excess tax increment to the district in the preceding
year, times

(2) the ratio of:

(i) the sum of the amounts of the district's certified levy in the third preceding year
according to the following:

(A) section 123B.57, if the district received health and safety aid according to that section
for the second preceding year;

(B) section 124D.20, if the district received aid for community education programs
according to that section for the second preceding year;

(C) section 142D.11, subdivision 3, if the district received early childhood family
education aid according to section 142D.11 for the second preceding year;

(D) section 126C.17, subdivision 6, if the district received referendum equalization aid
according to that section for the second preceding year;

(E) section 126C.10, subdivision 13a, if the district received operating capital aid
according to section 126C.10, subdivision 13b, in the second preceding year;

(F) section 126C.10, subdivision 29, if the district received equity aid according to
section 126C.10, subdivision 30, in the second preceding year;

(G) section 126C.10, subdivision 32, if the district received transition aid according to
section 126C.10, subdivision 33, in the second preceding year;

(H) section 123B.53, subdivision 5, if the district received debt service equalization aid
according to section 123B.53, subdivision 6, in the second preceding year;

(I) section 123B.535, subdivision 4, if the district received natural disaster debt service
equalization aid according to section 123B.535, subdivision 5, in the second preceding year;

(J) section 124D.22, subdivision 3, if the district received school-age care aid according
to section 124D.22, subdivision 4, in the second preceding year; and

(K) section 122A.415, subdivision 5, if the district received alternative teacher
compensation equalization aid according to section 122A.415, subdivision 6, paragraph (a),
in the second preceding year; to

(ii) the total amount of the district's certified levy in the third preceding year, plus or
minus auditor's adjustments.

(c) An amount must be subtracted from the school district's levy limitation for the next
levy certified equal to the difference between:

(1) the amount of the distribution of excess increment; and

(2) the amount subtracted from aid pursuant to clause (a).

If the aid and levy reductions required by this subdivision cannot be made to the aid for
the fiscal year specified or to the levy specified, the reductions must be made from aid for
subsequent fiscal years, and from subsequent levies. The school district must use the payment
of excess tax increment to replace the aid and levy revenue reduced under this subdivision.

(d) This subdivision applies only to the total amount of excess increments received by
a district for a calendar year that exceeds $25,000.

Sec. 15.

Minnesota Statutes 2024, section 136A.1276, subdivision 4, is amended to read:

Subd. 4.

Report.

An alternative teacher preparation program receiving a grant under
this section must submit a report to the commissioner and the Professional Educator Licensing
and Standards Board on the grantee's ability to fill teacher shortage areas and positively
impact student achievement where data are available and do not identify individual teachers.
A grant recipient must submit the report required under this subdivision by January 31,
2018, and each deleted text begin even-numbered deleted text end new text begin subsequent new text end year deleted text begin thereafter deleted text end new text begin this particular grant receives
allocated funding new text end . The report must include disaggregated data regarding:

(1) the racial and ethnic diversity of teachers and teacher candidates licensed through
the program; and

(2) program participant placement.

Sec. 16.

Minnesota Statutes 2024, section 268.19, subdivision 1, is amended to read:

Subdivision 1.

Use of data.

(a) Except as provided by this section, data gathered from
any person under the administration of the Minnesota Unemployment Insurance Law are
private data on individuals or nonpublic data not on individuals as defined in section 13.02,
subdivisions 9 and 12, and may not be disclosed except according to a district court order
or section 13.05. A subpoena is not considered a district court order. These data may be
disseminated to and used by the following agencies without the consent of the subject of
the data:

(1) state and federal agencies specifically authorized access to the data by state or federal
law;

(2) any agency of any other state or any federal agency charged with the administration
of an unemployment insurance program;

(3) any agency responsible for the maintenance of a system of public employment offices
for the purpose of assisting individuals in obtaining employment;

(4) the public authority responsible for child support in Minnesota or any other state in
accordance with section 518A.83;

(5) human rights agencies within Minnesota that have enforcement powers;

(6) the Department of Revenue to the extent necessary for its duties under Minnesota
laws;

(7) public and private agencies responsible for administering publicly financed assistance
programs for the purpose of monitoring the eligibility of the program's recipients;

(8) the Department of Labor and Industry and the Commerce Fraud Bureau in the
Department of Commerce for uses consistent with the administration of their duties under
Minnesota law;

(9) the Department of Human Services and the Office of Inspector General and its agents
within the Department of Human Services, including county fraud investigators, for
investigations related to recipient or provider fraud and employees of providers when the
provider is suspected of committing public assistance fraud;

(10) the Department of Human Services for the purpose of evaluating medical assistance
services and supporting program improvement;

(11) local and state welfare agencies for monitoring the eligibility of the data subject
for assistance programs, or for any employment or training program administered by those
agencies, whether alone, in combination with another welfare agency, or in conjunction
with the department or to monitor and evaluate the statewide Minnesota family investment
program and other cash assistance programs, the Supplemental Nutrition Assistance Program,
and the Supplemental Nutrition Assistance Program Employment and Training program by
providing data on recipients and former recipients of Supplemental Nutrition Assistance
Program (SNAP) benefits, cash assistance under chapter 256, 256D, 256J, or 256K, child
care assistance under chapter 142E, or medical programs under chapter 256B or 256L or
formerly codified under chapter 256D;

(12) local and state welfare agencies for the purpose of identifying employment, wages,
and other information to assist in the collection of an overpayment debt in an assistance
program;

(13) local, state, and federal law enforcement agencies for the purpose of ascertaining
the last known address and employment location of an individual who is the subject of a
criminal investigation;

(14) the United States Immigration and Customs Enforcement has access to data on
specific individuals and specific employers provided the specific individual or specific
employer is the subject of an investigation by that agency;

(15) the Department of Health for the purposes of epidemiologic investigations;

(16) the Department of Corrections for the purposes of case planning and internal research
for preprobation, probation, and postprobation employment tracking of offenders sentenced
to probation and preconfinement and postconfinement employment tracking of committed
offenders;

(17) the state auditor to the extent necessary to conduct audits of job opportunity building
zones as required under section 469.3201;

(18) the Office of Higher Education for purposes of supporting program improvement,
system evaluation, and research initiatives including the Statewide Longitudinal Education
Data System; deleted text begin and
deleted text end

(19) the Family and Medical Benefits Division of the Department of Employment and
Economic Development to be used as necessary to administer chapter 268B deleted text begin . deleted text end new text begin ; and
new text end

new text begin (20) the Department of Education Office of the Inspector General for investigations
related to fraud, theft, waste, and abuse or other misuse of public funds by a program
participant in a department program pursuant to chapter 127A.21.
new text end

(b) Data on individuals and employers that are collected, maintained, or used by the
department in an investigation under section 268.182 are confidential as to data on individuals
and protected nonpublic data not on individuals as defined in section 13.02, subdivisions 3
and 13, and must not be disclosed except under statute or district court order or to a party
named in a criminal proceeding, administrative or judicial, for preparation of a defense.

(c) Data gathered by the department in the administration of the Minnesota unemployment
insurance program must not be made the subject or the basis for any suit in any civil
proceedings, administrative or judicial, unless the action is initiated by the department.