HF 1381

3rd Engrossment - 87th Legislature (2011 - 2012) Posted on 05/05/2011 02:03pm

A bill for an act
relating to education; providing for policy for prekindergarten through grade 12
education, including general education, education excellence, special programs,
facilities and technology, early childhood education, and student transportation;
amending Minnesota Statutes 2010, sections 11A.16, subdivision 5; 13.32,
subdivision 6; 119A.50, subdivision 3; 120A.22, subdivision 11; 120A.24;
120A.40; 120B.023, subdivision 2; 120B.11; 120B.12; 120B.30, subdivisions 1,
3, 4; 120B.31, subdivision 4; 120B.36, subdivisions 1, 2; 121A.15, subdivision
8; 121A.17, subdivision 3; 122A.09, subdivision 4; 122A.14, subdivision 3;
122A.16, as amended; 122A.18, subdivision 2; 122A.23, subdivision 2; 122A.40,
subdivisions 5, 11, by adding a subdivision; 122A.41, subdivisions 1, 2, 5a, 10,
14; 123B.143, subdivision 1; 123B.147, subdivision 3; 123B.41, subdivisions
2, 5; 123B.57; 123B.63, subdivision 3; 123B.71, subdivision 5; 123B.72,
subdivision 3; 123B.75, subdivision 5; 123B.88, by adding a subdivision;
123B.92, subdivisions 1, 5; 124D.091, subdivision 2; 124D.36; 124D.37;
124D.38, subdivision 3; 124D.385, subdivision 3; 124D.39; 124D.40; 124D.42,
subdivisions 6, 8; 124D.44; 124D.45, subdivision 2; 124D.52, subdivision 7;
124D.871; 125A.02, subdivision 1; 125A.15; 125A.51; 125A.79, subdivision
1; 126C.10, subdivision 8a; 126C.15, subdivision 2; 126C.41, subdivision 2;
127A.30, subdivision 1; 127A.42, subdivision 2; 127A.43; 127A.45, by adding a
subdivision; 171.05, subdivision 2; 171.17, subdivision 1; 171.22, subdivision
1; 181A.05, subdivision 1; Laws 2011, chapter 5, section 1; proposing coding
for new law in Minnesota Statutes, chapter 120B; repealing Minnesota Statutes
2010, sections 120A.26, subdivisions 1, 2; 124D.38, subdivisions 4, 5, 6;
125A.54; 126C.457.

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

ARTICLE 1

GENERAL EDUCATION

Section 1.

Minnesota Statutes 2010, section 11A.16, subdivision 5, is amended to read:

Subd. 5.

Calculation of income.

As of the end of each fiscal year, the state
board shall calculate the investment income earned by the permanent school fund. The
investment income earned by the fund shall equal the amount of interest on debt securities
deleted text begin and deleted text end new text begin , new text end dividends on equity securities new text begin , and interest earned on certified monthly earnings
before transfer to the Department of Education new text end . Gains and losses arising from the sale of
securities shall be apportioned as follows:

(a) If the sale of securities results in a net gain during a fiscal year, the gain shall
be apportioned in equal installments over the next ten fiscal years to offset net losses in
those years. If any portion of an installment is not needed to recover subsequent losses
identified in paragraph (b) it shall be added to the principal of the fund.

(b) If the sale of securities results in a net loss during a fiscal year, the net loss shall
be recovered first from the gains in paragraph (a) apportioned to that fiscal year. If these
gains are insufficient, any remaining net loss shall be recovered from interest and dividend
income in equal installments over the following ten fiscal years.

Sec. 2.

Minnesota Statutes 2010, section 123B.41, subdivision 2, is amended to read:

Subd. 2.

Textbook.

"Textbook" means any book or book substitute new text begin , including
electronic books as well as other printed materials delivered electronically, new text end which a
pupil uses as a text or text substitute in a particular class or program in the school
regularly attended and a copy of which is expected to be available for the individual use
of each pupil in this class or program. The term shall be limited to books, workbooks,
or manuals, whether bound or in loose-leaf form, new text begin as well as electronic books and other
printed materials delivered electronically, new text end intended for use as a principal source of study
material for a given class or a group of students. The term includes only such secular,
neutral and nonideological textbooks as are available, used by, or of benefit to Minnesota
public school pupils.

Sec. 3.

Minnesota Statutes 2010, section 123B.41, subdivision 5, is amended to read:

Subd. 5.

Individualized instructional or cooperative learning materials.

"Individualized instructional or cooperative learning materials" means educational
materials which:

(a) are designed primarily for individual pupil use or use by pupils in a cooperative
learning group in a particular class or program in the school the pupil regularly attends;

(b) are secular, neutral, nonideological and not capable of diversion for religious
use; and

(c) are available, used by, or of benefit to Minnesota public school pupils.

Subject to the requirements in clauses (a), (b), and (c), "individualized instructional
or cooperative learning materials" include, but are not limited to, the following if they
do not fall within the definition of "textbook" in subdivision 2: published materials;
periodicals; documents; pamphlets; photographs; reproductions; pictorial or graphic
works; prerecorded video programs; prerecorded tapes, cassettes and other sound
recordings; manipulative materials; desk charts; games; study prints and pictures; desk
maps; models; learning kits; blocks or cubes; flash cards; individualized multimedia
systems; prepared instructional computer software programs; choral and band sheet music;
new text begin electronic books and other printed materials delivered electronically; new text end and CD-Rom.

"Individualized instructional or cooperative learning materials" do not include
instructional equipment, instructional hardware, or ordinary daily consumable classroom
supplies.

Sec. 4.

Minnesota Statutes 2010, section 123B.63, subdivision 3, is amended to read:

Subd. 3.

Capital project levy referendum.

A district may levy the local tax
rate approved by a majority of the electors voting on the question to provide funds for
an approved project. The election must take place no more than five years before the
estimated date of commencement of the project. The referendum must be held on a date
set by the board. new text begin A district must meet the requirements of section 123B.71 for projects
funded under this section. If a review and comment is required under section 123B.71,
subdivision 8, new text end a referendum for a project not receiving a positive review and comment by
the commissioner deleted text begin under section 123B.71 deleted text end must be approved by at least 60 percent of the
voters at the election. The referendum may be called by the school board and may be held:

(1) separately, before an election for the issuance of obligations for the project
under chapter 475; or

(2) in conjunction with an election for the issuance of obligations for the project
under chapter 475; or

(3) notwithstanding section 475.59, as a conjunctive question authorizing both the
capital project levy and the issuance of obligations for the project under chapter 475. Any
obligations authorized for a project may be issued within five years of the date of the
election.

The ballot must provide a general description of the proposed project, state the
estimated total cost of the project, state whether the project has received a positive or
negative review and comment from the commissioner, state the maximum amount of the
capital project levy as a percentage of net tax capacity, state the amount that will be raised
by that local tax rate in the first year it is to be levied, and state the maximum number of
years that the levy authorization will apply.

The ballot must contain a textual portion with the information required in this
section and a question stating substantially the following:

"Shall the capital project levy proposed by the board of .......... School District
No. .......... be approved?"

If approved, the amount provided by the approved local tax rate applied to the net
tax capacity for the year preceding the year the levy is certified may be certified for the
number of years, not to exceed ten, approved.

In the event a conjunctive question proposes to authorize both the capital project
levy and the issuance of obligations for the project, appropriate language authorizing the
issuance of obligations must also be included in the question.

The district must notify the commissioner of the results of the referendum.

Sec. 5.

Minnesota Statutes 2010, section 123B.75, subdivision 5, is amended to read:

Subd. 5.

Levy recognition.

(a) For fiscal years 2009 and 2010, in June of each
year, the school district must recognize as revenue, in the fund for which the levy was
made, the lesser of:

(1) the sum of May, June, and July school district tax settlement revenue received in
that calendar year, plus general education aid according to section 126C.13, subdivision
4, received in July and August of that calendar year; or

(2) the sum of:

(i) 31 percent of the referendum levy certified according to section 126C.17, in
calendar year 2000; and

(ii) the entire amount of the levy certified in the prior calendar year according to
section 124D.86, subdivision 4, for school districts receiving revenue under sections
124D.86, subdivision 3, clauses (1), (2), and (3); 126C.41, subdivisions 1, 2, paragraph
(a), and 3, paragraphs (b), (c), and (d); 126C.43, subdivision 2; 126C.457; and 126C.48,
subdivision 6; plus

(iii) zero percent of the amount of the levy certified in the prior calendar year for the
school district's general and community service funds, plus or minus auditor's adjustments,
not including the levy portions that are assumed by the state, that remains after subtracting
the referendum levy certified according to section 126C.17 and the amount recognized
according to item (ii).

(b) For fiscal year 2011 and later years, in June of each year, the school district must
recognize as revenue, in the fund for which the levy was made, the lesser of:

(1) the sum of May, June, and July school district tax settlement revenue received in
that calendar year, plus general education aid according to section 126C.13, subdivision
4, received in July and August of that calendar year; or

(2) the sum of:

(i) the greater of 48.6 percent of the referendum levy certified according to section
126C.17 in the prior calendar year, or 31 percent of the referendum levy certified
according to section 126C.17 in calendar year 2000; plus

(ii) the entire amount of the levy certified in the prior calendar year according to
section new text begin 124D.4531, new text end 124D.86, subdivision 4, for school districts receiving revenue under
sections 124D.86, subdivision 3, clauses (1), (2), and (3); 126C.41, subdivisions 1, 2,
paragraph (a), and 3, paragraphs (b), (c), and (d); 126C.43, subdivision 2; deleted text begin 126C.457; deleted text end
and 126C.48, subdivision 6; plus

(iii) 48.6 percent of the amount of the levy certified in the prior calendar year for the
school district's general and community service funds, plus or minus auditor's adjustments,
not including the levy portions that are assumed by the state, that remains after subtracting
the referendum levy certified according to section 126C.17 and the amount recognized
according to item (ii).

Sec. 6.

Minnesota Statutes 2010, section 125A.79, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

For the purposes of this section, the definitions in this
subdivision apply.

(a) "Unreimbursed special education cost" means the sum of the following:

(1) expenditures for teachers' salaries, contracted services, supplies, equipment, and
transportation services eligible for revenue under section 125A.76; plus

(2) expenditures for tuition bills received under sections 125A.03 to 125A.24 and
125A.65 for services eligible for revenue under section 125A.76, subdivision 2; minus

(3) revenue for teachers' salaries, contracted services, supplies, equipment, and
transportation services under section 125A.76; minus

(4) tuition receipts under sections 125A.03 to 125A.24 and 125A.65 for services
eligible for revenue under section 125A.76, subdivision 2.

(b) "General revenue" new text begin for a school district new text end means deleted text begin the sum of the deleted text end general education
revenue according to section 126C.10, subdivision 1, excluding alternative teacher
compensation revenue, deleted text begin plus the total qualifying referendum revenue specified in paragraph
(e) minus deleted text end transportation sparsity revenue deleted text begin minus deleted text end new text begin and new text end total operating capital revenue. new text begin
"General revenue" for a charter school means the sum of the general education revenue
according to section 124D.11, subdivision 1, excluding alternative teacher compensation
revenue, referendum equalization aid, transportation sparsity revenue, and operating
capital revenue, and transportation revenue according to section 124D.11, subdivision 2.
new text end

(c) "Average daily membership" has the meaning given it in section 126C.05.

(d) "Program growth factor" means 1.02 for fiscal year 2012 and later.

deleted text begin (e) "Total qualifying referendum revenue" means two-thirds of the district's total
referendum revenue as adjusted according to section 127A.47, subdivision 7, paragraphs
(a) to (c), for fiscal year 2006, one-third of the district's total referendum revenue for fiscal
year 2007, and none of the district's total referendum revenue for fiscal year 2008 and later.
deleted 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. 7.

Minnesota Statutes 2010, section 126C.10, subdivision 8a, is amended to read:

Subd. 8a.

Sparsity revenue for school districts that close facilities.

A school
district that closes a school facility is eligible for elementary and secondary sparsity
revenue equal to the greater of the amounts calculated under subdivisions 6, 7, and 8 or
the total amount of sparsity revenue for the previous fiscal year if the school board of the
district has adopted a written resolution stating that the district intends to close the school
facility, but cannot proceed with the closure without the adjustment to sparsity revenue
authorized by this subdivision. The written resolution must be new text begin approved by the school
board and new text end filed with the commissioner of education deleted text begin at least 60 days deleted text end prior to the start of the
fiscal year for which aid under this subdivision is first requested.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for board resolutions approved by
the school board in fiscal year 2011 and later for sparsity revenue calculations in fiscal
year 2012 and later.
new text end

Sec. 8.

Minnesota Statutes 2010, section 126C.15, subdivision 2, is amended to read:

Subd. 2.

Building allocation.

(a) A district new text begin or cooperative new text end must allocate its
compensatory revenue to each school building in the district new text begin or cooperative new text end where
the children who have generated the revenue are served unless the school district new text begin or
cooperative new text end has received permission under Laws 2005, First Special Session chapter 5,
article 1, section 50, to allocate compensatory revenue according to student performance
measures developed by the school board.

(b) Notwithstanding paragraph (a), a district new text begin or cooperative new text end may allocate up to
five percent of the amount of compensatory revenue that the district receives to school
sites according to a plan adopted by the school board. The money reallocated under
this paragraph must be spent for the purposes listed in subdivision 1, but may be
spent on students in any grade, including students attending school readiness or other
prekindergarten programs.

(c) For the purposes of this section and section 126C.05, subdivision 3, "building"
means education site as defined in section 123B.04, subdivision 1.

(d) Notwithstanding section 123A.26, subdivision 1, compensatory revenue
generated by students served at a cooperative unit shall be paid to the cooperative unit.

(e) A district new text begin or cooperative new text end with school building openings, school building
closings, changes in attendance area boundaries, or other changes in programs or student
demographics between the prior year and the current year may reallocate compensatory
revenue among sites to reflect these changes. A district new text begin or cooperative new text end must report to the
department any adjustments it makes according to this paragraph and the department must
use the adjusted compensatory revenue allocations in preparing the report required under
section 123B.76, subdivision 3, paragraph (c).

Sec. 9.

Minnesota Statutes 2010, section 126C.41, subdivision 2, is amended to read:

Subd. 2.

Retired employee health benefits.

(a) A district may levy an amount up
to the amount the district is required by the collective bargaining agreement in effect
on March 30, 1992, to pay for health insurance or unreimbursed medical expenses for
licensed and nonlicensed employees who have terminated services in the employing
district and withdrawn from active teaching service or other active service, as applicable,
before July 1, 1992, and to pay for health insurance or unreimbursed medical expenses
for licensed and nonlicensed employees who have terminated services in the employing
district and withdrawn from active teaching service or other active service, as applicable
before July 1, 1998, only if a sunset clause is in effect for the current collective bargaining
agreement. The total amount of the levy each year may not exceed $600,000.

(b) In addition to the levy authority granted under paragraph (a), a school district
may levy for other postemployment benefits expenses new text begin actually paid during the previous
fiscal year new text end . For purposes of this subdivision, "postemployment benefits" means benefits
giving rise to a liability under Statement No. 45 of the Government Accounting Standards
Board. A district seeking levy authority under this subdivision must:

(1) create or have created an actuarial liability to pay postemployment benefits to
employees or officers after their termination of service;

(2) have a sunset clause in effect for the current collective bargaining agreement as
required by paragraph (a); and

(3) apply for the authority in the form and manner required by the commissioner
of education.

If the total levy authority requested under this paragraph exceeds the amount established
in paragraph (c), the commissioner must proportionately reduce each district's maximum
levy authority under this subdivision. new text begin The commissioner may subsequently adjust each
district's levy authority under this subdivision so long as the total levy authority does not
exceed the maximum levy authority for that year.
new text end

(c) The maximum levy authority under paragraph (b) must not exceed the following
amounts:

(1) $9,242,000 for taxes payable in 2010;

(2) $29,863,000 for taxes payable in 2011; and

(3) for taxes payable in 2012 and later, the maximum levy authority must not exceed
the sum of the previous year's authority and $14,000,000.

Sec. 10.

Minnesota Statutes 2010, section 127A.30, subdivision 1, is amended to read:

Subdivision 1.

Membership new text begin and terms new text end .

new text begin (a) new text end A state Permanent School Fund
Advisory Committee is established to advise the Department of Natural Resources on
the management of permanent school fund land, which is held in trust for the school
districts of the state.

new text begin (b) new text end The advisory committee must consist of the following persons or their
designees: the chairs of the education committees of the legislature, the chairs of the
legislative committees with jurisdiction over the K-12 education budget, the chairs of
the legislative committees with jurisdiction over the environment and natural resources
policy and budget, the chair of the senate Committee on Finance and the chair of the
house of representatives Committee on Ways and Means, new text begin one member of the house
of representatives of the minority party appointed by the minority leader, one senator
of the minority party appointed pursuant to the rules of the senate, new text end the commissioner
of education, one superintendent from a nonmetropolitan district, one superintendent
from a metropolitan area district, new text begin one person with expertise on school finance matters, new text end
one person with an expertise in forestry, one person with an expertise in minerals and
mining, one person with an expertise in real estate development, one person with
an expertise in renewable energy, one person with an expertise in finance and land
management, and one person with an expertise in natural resource conservation. The
school district superintendents new text begin and the member with expertise on school finance matters
new text end shall be appointed by the commissioner of education. The committee members with
areas of expertise in forestry, minerals and mining, real estate development, renewable
energy, finance and land management, and natural resource conservation shall be
appointed by the commissioner of natural resources. Members of the legislature shall be
given the opportunity to recommend candidates for vacancies on the committee to the
commissioners of education and natural resources. The advisory committee must also
include a nonvoting member appointed by the commissioner of natural resources.

new text begin (c) new text end The commissioner of natural resources shall provide administrative support to
the committee.

new text begin (d) new text end The members of the committee shall serve without compensation. The members
of the Permanent School Fund Advisory Committee shall elect their chair and are bound
by the provisions of sections 43A.38 and 116P.09, subdivision 6.

new text begin (e) The terms of members appointed by the commissioners of education and natural
resources are staggered four-year terms according to section 15.059, subdivision 2.
Members may be reappointed at the pleasure of the appointing authority. Members are
subject to removal according to section 15.059, subdivision 4.
new text end

new text begin (f) The other members of the Permanent School Fund Advisory Committee serve
at the pleasure of their respective appointing authorities and their terms expire upon the
appointment of their successors.
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. 11. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2010, section 126C.457, new text end new text begin is repealed.
new text end

ARTICLE 2

EDUCATION EXCELLENCE

Section 1.

Minnesota Statutes 2010, section 13.32, subdivision 6, is amended to read:

Subd. 6.

Admissions forms; remedial instruction.

(a) Minnesota postsecondary
education institutions, for purposes of reporting and research, may collect on the
1986-1987 admissions form, and disseminate to any public educational agency or
institution the following data on individuals: student sex, ethnic background, age, and
disabilities. The data shall not be required of any individual and shall not be used for
purposes of determining the person's admission to an institution.

(b) A school district that receives information under subdivision 3, paragraph (h)
from a postsecondary institution about an identifiable student shall maintain the data
as educational data and use that data to conduct studies to improve instruction. Public
postsecondary systems annually shall provide summary data to the Department of
Education indicating the extent and content of the remedial instruction received in each
system during the prior academic year by, and the results of assessment testing and the
academic performance of, students who graduated from a Minnesota school district within
two years before receiving the remedial instruction new text begin , and include as separate categories of
summary data the number and percentage of recent high school graduates who prepared
for postsecondary academic and career opportunities under section 120B.35, subdivision
3, paragraph (c), and the number of recent high school graduates who graduated as
students with disabilities new text end . The department shall evaluate the data and annually report its
findings to the education committees of the legislature.

(c) This section supersedes any inconsistent provision of law.

Sec. 2.

Minnesota Statutes 2010, section 120A.22, subdivision 11, is amended to read:

Subd. 11.

Assessment of performance.

(a) Each year the performance of
every child who is not enrolled in a public school must be assessed using a nationally
norm-referenced standardized achievement examination deleted text begin . The superintendent of the
district in which the child receives instruction and the person in charge of the child's
instruction must agree about the specific examination to be used and the administration
and location of the examination deleted text end new text begin or a nationally recognized college entrance exam new text end .

deleted text begin (b) To the extent the examination in paragraph (a) does not provide assessment in
all of the subject areas in subdivision 9, the parent must assess the child's performance
in the applicable subject area. This requirement applies only to a parent who provides
instruction and does not meet the requirements of subdivision 10, clause (1), (2), or (3).
deleted text end

deleted text begin (c) If the results of the assessments in paragraphs (a) and (b) indicate that the
child's performance on the total battery score is at or below the 30th percentile or one
grade level below the performance level for children of the same age, the parent must
obtain additional evaluation of the child's abilities and performance for the purpose of
determining whether the child has learning problems.
deleted text end

deleted text begin (d) deleted text end new text begin (b) new text end A child receiving instruction from a nonpublic school, person, or institution
that is accredited by an accrediting agency, recognized according to section 123B.445, or
recognized by the commissioner, is exempt from the requirements of this subdivision.

Sec. 3.

Minnesota Statutes 2010, section 120A.24, is amended to read:

120A.24 REPORTING.

Subdivision 1.

Reports to superintendent.

new text begin (a) new text end The person in charge of providing
instruction to a child must submit deleted text begin the following information deleted text end to the superintendent of the
district in which the child resides new text begin the name, birth date, and address of the child; the annual
tests intended to be used under section 120A.22, subdivision 11, if required; the name of
each instructor; and evidence of compliance with one of the requirements specified in
section 120A.22, subdivision 10 new text end :

(1) by October 1 of deleted text begin each deleted text end new text begin the first new text end school year deleted text begin , the name, birth date, and address
of each child receiving instruction deleted text end new text begin the child receives instruction after reaching the age
of seven new text end ;

deleted text begin (2) the name of each instructor and evidence of compliance with one of the
requirements specified in section 120A.22, subdivision 10;
deleted text end

deleted text begin (3) an annual instructional calendar; and
deleted text end

deleted text begin (4) for each child instructed by a parent who meets only the requirement of section
120A.22, subdivision 10, clause (6), a quarterly report card on the achievement of the
child in each subject area required in section 120A.22, subdivision 9.
deleted text end

new text begin (2) within 15 days of when a parent withdraws a child from public school after
age seven to homeschool;
new text end

new text begin (3) within 15 days of moving out of a district; and
new text end

new text begin (4) by October 1 after a new resident district is established.
new text end

new text begin (b) The person in charge of providing instruction to a child between the ages of
seven and 16 must submit, by October 1 of each school year, a letter of intent to continue
to provide instruction under this section for all students under the person's supervision and
any changes to the information required in paragraph (a) for each student.
new text end

new text begin (c) The superintendent may collect the required information under this section
through an electronic or Web-based format, but must not require electronic submission
of information under this section from the person in charge of reporting under this
subdivision.
new text end

Subd. 2.

Availability of documentation.

new text begin (a) new text end The person in charge of providing
instruction to a child must deleted text begin make available deleted text end new text begin maintain new text end documentation indicating that the
subjects required in section 120A.22, subdivision 9, are being taught new text begin and proof that the
tests under section 120A.22, subdivision 11, have been administered new text end . This documentation
must include class schedules, copies of materials used for instruction, and descriptions of
methods used to assess student achievement.

new text begin (b) The parent of a child who enrolls full time in public school after having been
enrolled in a home school under section 120A.22, subdivision 6, must provide the
enrolling public school or school district with the child's scores on any tests administered
to the child under section 120A.22, subdivision 11, and other education-related documents
the enrolling school or district requires to determine where the child is placed in school
and what course requirements apply. This paragraph does not apply to a shared-time
student who does not seek a public school diploma.
new text end

new text begin (c) The person in charge of providing instruction to a child must make the
documentation in this subdivision available to the county attorney when a case is
commenced under section 120A.26, subdivision 5; chapter 260C; or when diverted under
chapter 260A.
new text end

Subd. 3.

Exemptions.

A nonpublic school, person, or other institution that is
accredited by an accrediting agency, recognized according to section 123B.445, or
recognized by the commissioner, is exempt from the requirements in deleted text begin subdivisions 1 and deleted text end new text begin
subdivision new text end 2 deleted text begin , except for the requirement in subdivision 1, clause (1) deleted text end .

Subd. 4.

Reports to the state.

A superintendent must make an annual report to the
commissioner of education new text begin by December 1 of the total number of nonpublic schoolchildren
reported as residing in the district new text end . deleted text begin The report must include the following information:
deleted text end

deleted text begin (1) the number of children residing in the district attending nonpublic schools or
receiving instruction from persons or institutions other than a public school;
deleted text end

deleted text begin (2) the number of children in clause (1) who are in compliance with section 120A.22
and this section; and
deleted text end

deleted text begin (3) the number of children in clause (1) who the superintendent has determined are
not in compliance with section 120A.22 and this section.
deleted text end

new text begin Subd. 5. new text end

new text begin Obligations. new text end

new text begin Nothing in this section alleviates the obligations under
section 120A.22.
new text end

Sec. 4.

Minnesota Statutes 2010, section 120A.40, is amended to read:

120A.40 SCHOOL CALENDAR.

(a) Except for learning programs during summer, flexible learning year programs
authorized under sections 124D.12 to 124D.127, and learning year programs under section
124D.128, a district must not commence an elementary or secondary school year before
Labor Day, except as provided under paragraph (b). Days devoted to teachers' workshops
may be held before Labor Day. Districts that enter into cooperative agreements are
encouraged to adopt similar school calendars.

(b) A district may begin the school year on any day before Labor Day:

(1) to accommodate a construction or remodeling project of $400,000 or more
affecting a district school facility;

(2) if the district has an agreement under section 123A.30, 123A.32, or 123A.35
with a district that qualifies under clause (1); deleted text begin or
deleted text end

(3) if the district agrees to the same schedule with a school district in an adjoining
state new text begin ; or
new text end

new text begin (4) if the district canceled at least two instructional school days in at least two of the
previous five consecutive school years because of flooding 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. 5.

Minnesota Statutes 2010, section 120B.023, subdivision 2, is amended to read:

Subd. 2.

Revisions and reviews required.

(a) The commissioner of education must
revise and appropriately embed technology and information literacy standards consistent
with recommendations from school media specialists into the state's academic standards
and graduation requirements and implement a review cycle for state academic standards
and related benchmarks, consistent with this subdivision. During each review cycle, the
commissioner also must examine the alignment of each required academic standard and
related benchmark with the knowledge and skills students need for college readiness and
advanced work in the particular subject area.

(b) The commissioner in the 2006-2007 school year must revise and align the state's
academic standards and high school graduation requirements in mathematics to require
that students satisfactorily complete the revised mathematics standards, beginning in the
2010-2011 school year. Under the revised standards:

(1) students must satisfactorily complete an algebra I credit by the end of eighth
grade; and

(2) students scheduled to graduate in the 2014-2015 school year or later must
satisfactorily complete an algebra II credit or its equivalent.

The commissioner also must ensure that the statewide mathematics assessments
administered to students in grades 3 through 8 and 11 are aligned with the state academic
standards in mathematics, consistent with section 120B.30, subdivision 1, paragraph
(b). The commissioner must implement a review of the academic standards and related
benchmarks in mathematics beginning in the 2015-2016 school year.

(c) The commissioner in the 2007-2008 school year must revise and align the state's
academic standards and high school graduation requirements in the arts to require that
students satisfactorily complete the revised arts standards beginning in the 2010-2011
school year. The commissioner must implement a review of the academic standards and
related benchmarks in arts beginning in the 2016-2017 school year.

(d) The commissioner in the 2008-2009 school year must revise and align the state's
academic standards and high school graduation requirements in science to require that
students satisfactorily complete the revised science standards, beginning in the 2011-2012
school year. Under the revised standards, students scheduled to graduate in the 2014-2015
school year or later must satisfactorily complete a chemistry deleted text begin or deleted text end new text begin , new text end physics new text begin , or career and
technical education new text end credit. The commissioner must implement a review of the academic
standards and related benchmarks in science beginning in the 2017-2018 school year.

(e) The commissioner in the 2009-2010 school year must revise and align the state's
academic standards and high school graduation requirements in language arts to require
that students satisfactorily complete the revised language arts standards beginning in the
2012-2013 school year. The commissioner must implement a review of the academic
standards and related benchmarks in language arts beginning in the 2018-2019 school year.

(f) The commissioner in the 2010-2011 school year must revise and align the state's
academic standards and high school graduation requirements in social studies to require
that students satisfactorily complete the revised social studies standards beginning in the
2013-2014 school year. The commissioner must implement a review of the academic
standards and related benchmarks in social studies beginning in the 2019-2020 school year.

(g) School districts and charter schools must revise and align local academic
standards and high school graduation requirements in health, world languages, and career
and technical education to require students to complete the revised standards beginning
in a school year determined by the school district or charter school. School districts and
charter schools must formally establish a periodic review cycle for the academic standards
and related benchmarks in health, world languages, and career and technical education.

new text begin (h) The commissioner is prohibited from adopting common core state standards
in any subject and school year listed in any revision cycle under this section that were
developed with the participation of the National Governors Association and the Council
of Chief State School Officers.
new text end

Sec. 6.

Minnesota Statutes 2010, section 120B.11, is amended to read:

120B.11 SCHOOL DISTRICT PROCESS FOR REVIEWING CURRICULUM,
INSTRUCTION, AND STUDENT ACHIEVEMENT.

Subdivision 1.

Definitions.

For the purposes of this section and section 120B.10,
the following terms have the meanings given them.

(a) "Instruction" means methods of providing learning experiences that enable a
student to meet state and district academic standards and graduation requirements.

(b) "Curriculum" means district or school adopted programs and written plans for
providing students with learning experiences that lead to expected knowledge and skills new text begin
and college and career readiness new text end .

Subd. 2.

Adopting policies.

A school board shall deleted text begin have in place an adopted written deleted text end new text begin
adopt a new text end policy new text begin to support and improve teaching and learning new text end that includes deleted text begin the following deleted text end :

(1) district goals for instruction including the use of best new text begin teaching new text end practices, district
and school curriculum, and achievement for all student subgroups new text begin identified in section
120B.35, subdivision 3, paragraph (b), clause (2) new text end ;

(2) a process for evaluating each student's progress toward meeting new text begin state and local
new text end academic standards and identifying the strengths and weaknesses of instruction new text begin in pursuit
of student and school success new text end and curriculum affecting students' deleted text begin progress deleted text end new text begin academic
achievement and growth new text end ;

(3) a new text begin performance-based new text end system for periodically reviewing and evaluating new text begin the
effectiveness of new text end all instruction and curriculum new text begin that includes, among other measures
to improve teaching and learning, a performance-based system for annually evaluating
school principals under section 123B.147, subdivision 3 new text end ;

(4) a plan for improving instruction, curriculum, and student new text begin academic new text end achievement new text begin
and growth new text end ; and

(5) an education effectiveness plan aligned with deleted text begin section deleted text end new text begin sections 120B.023,
subdivision 2, and new text end 122A.625 that integrates new text begin high quality new text end instruction, new text begin rigorous new text end curriculum,
deleted text begin and deleted text end technology new text begin , and a collaborative professional culture that develops teacher quality,
performance, and effectiveness new text end .

Subd. 3.

District advisory committee.

Each school board shall establish an
advisory committee to ensure active community participation in all phases of planning and
improving the instruction and curriculum affecting state and district academic standards new text begin ,
consistent with subdivision 2 new text end . A district advisory committee, to the extent possible,
shall reflect the diversity of the district and its deleted text begin learning deleted text end new text begin school new text end sites, and shall include
teachers, parents, support staff, students, and other community residents. The district
may establish deleted text begin building deleted text end new text begin site new text end teams as subcommittees of the district advisory committee
under subdivision 4. The district advisory committee shall recommend to the school
board rigorous academic standards, student achievement goals and measures new text begin consistent
with section 120B.35 new text end , new text begin district new text end assessments, and program evaluations. deleted text begin Learning deleted text end new text begin School new text end
sites may expand upon district evaluations of instruction, curriculum, assessments, or
programs. Whenever possible, parents and other community residents shall comprise at
least two-thirds of advisory committee members.

Subd. 4.

deleted text begin Building deleted text end new text begin Site new text end team.

A school may establish a deleted text begin building deleted text end new text begin site new text end team to develop
and implement an education effectiveness plan to improve instruction, curriculum,
and student achievement new text begin at the school site, consistent with subdivision 2 new text end . The team
shall advise the board and the advisory committee about developing an instruction and
curriculum improvement plan that aligns curriculum, assessment of student progress in
meeting state and district academic standards, and instruction.

Subd. 5.

new text begin Local new text end report.

deleted text begin (a) By October 1 of each year, the school board shall use
standard statewide reporting procedures the commissioner develops and adopt a report
that includes the following:
deleted text end

deleted text begin (1) student achievement goals for meeting state academic standards;
deleted text end

deleted text begin (2) results of local assessment data, and any additional test data;
deleted text end

deleted text begin (3) the annual school district improvement plans including staff development goals
under section 122A.60;
deleted text end

deleted text begin (4) information about district and learning site progress in realizing previously
adopted improvement plans; and
deleted text end

deleted text begin (5) the amount and type of revenue attributed to each education site as defined
in section 123B.04.
deleted text end

deleted text begin (b) deleted text end new text begin Consistent with requirements for school performance report cards under section
120B.36, subdivision 1, new text end the school board shall publish a deleted text begin summary of the deleted text end report new text begin about
student achievement goals, local assessment outcomes, plans for improving curriculum
and instruction, and success in realizing previously adopted improvement plans new text end in the
local newspaper with the largest circulation in the district, by mail, or by electronic means
such as the district Web site. deleted text begin If electronic means are used, school districts must publish
notice of the report in a periodical of general circulation in the district. School districts
must make copies of the report available to the public on request.
deleted text end

deleted text begin (c) The title of the report shall contain the name and number of the school district and
read "Annual Report on Curriculum, Instruction, and Student Achievement." The report
must include at least the following information about advisory committee membership:
deleted text end

deleted text begin (1) the name of each committee member and the date when that member's term
expires;
deleted text end

deleted text begin (2) the method and criteria the school board uses to select committee members; and
deleted text end

deleted text begin (3) the date by which a community resident must apply to next serve on the
committee.
deleted text end

Subd. 6.

Student evaluation.

The school board annually shall provide high school
graduates or GED recipients who deleted text begin receive deleted text end new text begin received new text end a diploma or its equivalent from the
school district new text begin within the two previous school years new text end with an opportunity to report to the
board new text begin by electronic means new text end on the following:

(1) the quality of district instruction, curriculum, and services; new text begin and
new text end

(2) the quality of district delivery of instruction, curriculum, and services deleted text begin ;
deleted text end

deleted text begin (3) the utility of district facilities; and
deleted text end

deleted text begin (4) the effectiveness of district administration deleted text end .

new text begin For purposes of improving instruction and curriculum and consistent with section
13.32, subdivision 6, paragraph (b), the board must forward a summary of its evaluation
findings to the commissioner upon request.
new text end

Subd. 7.

Periodic report.

Each school district shall periodically ask affected
constituencies about their level of satisfaction with school. The district shall include the
results of this evaluation in the report required under subdivision 5.

Subd. 8.

Biennial evaluation; assessment program.

At least once every two years,
the district report new text begin under subdivision 5 new text end shall include an evaluation of the new text begin effectiveness of
new text end district testing programs deleted text begin , according to the following:
deleted text end

deleted text begin (1) written objectives of the assessment program;
deleted text end

deleted text begin (2) names of tests and grade levels tested;
deleted text end

deleted text begin (3) use of test results; and
deleted text end

deleted text begin (4) student achievement results compared to previous years deleted text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to reports on the 2011-2012 school year and later.
new text end

Sec. 7.

new text begin [120B.115] HELPING STUDENTS ACQUIRE GRADE-LEVEL
READING PROFICIENCY BY THE END OF GRADE 3.
new text end

new text begin Subdivision 1. new text end

new text begin Local literacy plan for students to achieve grade-level reading
proficiency. new text end

new text begin (a) The provisions in this section are designed to ensure every child succeeds
in reading at or above grade level by the end of grade 3, to identify and remediate students'
reading deficiencies in a timely manner, and to intervene effectively when students
experience reading difficulties so that they acquire the skills they need to make academic
progress throughout elementary and secondary school. Consistent with this section and
section 120B.12, school districts and charter schools must develop a local literacy plan
to monitor the reading proficiency of students in kindergarten through grade 3, inform
parents of their students' reading proficiency and growth, and set intervention strategies
to bring students to grade-level proficiency. Any student who is identified as not being
grade-level proficient in reading based on state or local reading assessments is a student
with a reading deficiency for purposes of this section.
new text end

new text begin (b) Consistent with its local literacy plan, school sites within the district and charter
schools annually must assess a student's reading proficiency and provide intensive reading
instruction to any student who in any grade, kindergarten through 3, is identified as having
a reading deficiency. Each September and May, and periodically throughout the school
year, school sites within a district and charter schools must transmit to each parent of
an enrolled student updated and timely information about that student's reading needs,
proficiency, and growth toward becoming a successful grade-level reader, and, where
applicable, information about interventions under subdivision 2, paragraph (c). Reading
assessments must identify the nature of a student's deficiency, the student's areas of
academic need, and strategies for providing the student with appropriate interventions,
support, and instruction. A student must continue to receive intensive, comprehensive,
scientifically based reading instruction in the five reading areas: phonemic awareness,
phonics, fluency, vocabulary, and comprehension; as defined in section 122A.06, until the
student achieves grade-level reading proficiency.
new text end

new text begin (c) Beginning in the 2014-2015 school year and later, school sites within a district
or a charter school must not promote to grade 4 a student who is unable to demonstrate
grade-level proficiency as measured by the statewide reading assessment in grade 3 or
locally determined reading assessments but may establish a good cause exception under
paragraph (f) to ensure a student is not unnecessarily retained in grade 3. At the start of
grade 3, a school site within a district or a charter school, consistent with its literacy plan
under paragraph (a), must give written notice to the parent of a student who demonstrates
a reading deficiency of the following:
new text end

new text begin (1) the student has been identified as having a reading deficiency;
new text end

new text begin (2) reading-related services currently being provided to the student;
new text end

new text begin (3) proposed supplemental instructional services and supports to be provided to the
student to remediate the student's identified reading deficiencies;
new text end

new text begin (4) that a student whose reading deficiencies are not remediated by the end of grade
3 must be retained in grade 3 unless a good cause exception applies;
new text end

new text begin (5) strategies for parents to use in helping their student succeed in becoming
grade-level proficient in reading;
new text end

new text begin (6) the educational risks of promoting a grade 3 student to grade 4 who is not
grade-level proficient in reading; and
new text end

new text begin (7) that the annual statewide reading assessment score is not the sole factor in
determining whether a student is promoted and that multiple assessments of a student's
reading proficiency, including additional evaluations, portfolio reviews, and local
assessments are available to help parents and the school site within the district or the
charter school jointly decide whether a student is reading at or above grade level and
ready to be promoted to grade 4.
new text end

new text begin The parent of a student who is not reading at grade level at the end of grade 3 and does
not qualify for a good cause exception may ask to meet with a school administrator, the
student's classroom teacher, and other qualified school professionals such as the school's
reading teacher or school counselor to consider whether to promote the student to grade
4 or retain the student in grade 3. A school site or charter school must comply with the
parent's meeting request in a timely manner and before the end of the current school year.
If, after the meeting, the parent objects to retaining the student, the parent must sign
a school form stating that the parent opposes retaining the student and understands the
educational risks of promoting a grade 3 student to grade 4 who is not grade-level reading
proficient and the school site or charter school must promote the otherwise qualified
student to grade 4.
new text end

new text begin (d) No district or charter school may assign a student to grade 4 based solely on the
student's age or any other factor that relates to keeping the student with the student's social
peers despite the student's reading deficiencies and constitutes social promotion. A student
must be promoted to grade 4 only after demonstrating mastery of the reading skills needed
to achieve academic success in grade 4 unless a good cause exception applies.
new text end

new text begin (e) Districts and charter schools must include in their literacy plan under paragraph
(a) specific criteria and policies for promoting midyear to grade 4 a student retained in
grade 3 who subsequently demonstrates grade-level reading proficiency.
new text end

new text begin (f) Under a good cause exception established by the district or charter school in its
literacy plan under paragraph (a), a student who does not demonstrate grade-level reading
proficiency on the statewide reading assessment by the end of grade 3 may be promoted to
grade 4 if the student is:
new text end

new text begin (1) a limited English proficient student who has not received instruction in an
English language learner program during two school years;
new text end

new text begin (2) an eligible child with disabilities whose individualized education program
indicates that participating in the statewide reading assessment program is not appropriate;
new text end

new text begin (3) a student who demonstrates grade-level reading proficiency on an alternative
locally approved standardized reading assessment or, using a student portfolio compiled
by the teacher for this purpose, demonstrates grade-level reading proficiency;
new text end

new text begin (4) an eligible child with disabilities who participates in statewide assessments
under an individualized education program or Section 504 plan that indicates that the
child has received intensive reading remediation for more than two school years, remains
substantially deficient in reading, and was previously retained in one or more grades in an
appropriate alternative placement, consistent with the student's individualized education
program; or
new text end

new text begin (5) a student who received intensive reading instruction for two or more school years,
continues to be substantially deficient in reading, and was previously retained for a total of
two school years in an appropriate alternative placement as part of the local literacy plan.
new text end

new text begin A student who is promoted to grade 4 under clause (5) must continue to be provided
specialized diagnostic information and specific research-based reading strategies during
the school day that are designed to improve the student's reading proficiency under
subdivision 2.
new text end

new text begin (g) To request that a student be promoted to grade 4 under paragraph (f), a teacher
must submit to the school principal or other person having administrative control of the
school either the student's progress monitoring plan, individualized education program,
report card, or student portfolio that demonstrates, based on the student's record, that it is
appropriate to promote the student. The principal or other chief school administrator must
review the evidence and, after consulting with the student's teacher and parent, determine
whether or not to promote the student. A principal employed by a school district must
notify the school superintendent of a decision to promote a student under this paragraph.
new text end

new text begin Subd. 2. new text end

new text begin Supporting success in reading proficiency for retained students.
new text end

new text begin (a) Using valid and reliable diagnostic assessments, school sites within a district or a
charter school must provide a student who is not meeting grade-level reading standards
under this section with intensive, comprehensive, scientifically based reading instruction
and interventions, consistent with section 122A.06, subdivision 4, until the student
demonstrates grade-level reading proficiency. The student must receive expanded
instructional time and interventions that accommodate the student's learning style and
provide intensive skill development in phonemic awareness, phonics, fluency, vocabulary,
and comprehension, consistent with sections 120B.12 and 122A.06.
new text end

new text begin (b) Beginning in the 2014-2015 school year, school sites within a district or a
charter school, in consultation with a student's parent, must review the student progress
monitoring plan for each student entering grade 3 who is unable to demonstrate grade-level
proficiency on the statewide reading assessment and who does not meet the criteria for a
good cause exception. The review must identify additional supports and services needed
to remediate students' reading deficiency and enable the students to attain grade-level
reading proficiency.
new text end

new text begin (c) School sites within districts and charter schools, consistent with their literacy
plan under subdivision 1, paragraph (a), must provide a student who is not a grade-level
reader or not promoted to grade 4 with intensive interventions to enhance the student's
ability to become a successful, grade-level reader. These interventions may include but
are not limited to:
new text end

new text begin (1) small group instruction;
new text end

new text begin (2) more frequent progress monitoring;
new text end

new text begin (3) tutoring or mentoring by an individual trained in scientifically based reading
instruction;
new text end

new text begin (4) extended school day, week, or year programs; and
new text end

new text begin (5) summer reading camps.
new text end

new text begin (d) A school site within a district or a charter school, consistent with its literacy plan
under subdivision 1, paragraph (a), must notify a parent in writing when a student is not
ready to be promoted because the student has a substantial reading deficiency and is
ineligible for a good cause exception under subdivision 1, paragraph (f). The notice must
indicate the interventions and supports that the school site or charter school will provide
to the student to remediate the student's reading deficiencies. The notice also must offer
parents at least one of the following instructional options for their student:
new text end

new text begin (1) supplemental tutoring in comprehensive, scientifically based reading instruction,
including tutoring before or after school;
new text end

new text begin (2) a read-at-home plan with parent-guided home reading; or
new text end

new text begin (3) a mentor or tutor with specialized reading training.
new text end

new text begin (e) The commissioner annually must analyze and publicly report data under this
subdivision and section 120B.36, subdivision 1, paragraph (f), on the number of students
retained on a school-by-school basis to indicate the extent of state and local progress in
enabling students to attain grade-level reading proficiency by the end of grade 3.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to students entering grade 3 in the 2014-2015 school year and later.
new text end

Sec. 8.

Minnesota Statutes 2010, section 120B.12, is amended to read:

120B.12 READING INTERVENTION.

Subdivision 1.

Literacy goal.

The legislature seeks to have Minnesota's children
able to read no later than the end of deleted text begin second deleted text end new text begin third new text end grade.

Subd. 2.

Identification; report.

deleted text begin For the 2002-2003 school year and later, deleted text end Each
school district new text begin and charter school new text end shall identify before the end of deleted text begin first deleted text end new text begin second new text end grade
students who are at risk of not deleted text begin learning to read deleted text end new text begin reading at or above grade level new text end before the
end of deleted text begin second deleted text end new text begin third new text end grade. The district new text begin and charter school new text end must use a locally adopted
assessment method new text begin , consistent with section 120B.115, subdivision 1, to assess a student's
reading proficiency and to intervene effectively when a student demonstrates reading
deficiencies new text end . The district new text begin and charter school new text end must annually report the new text begin assessment new text end results
deleted text begin of the assessment deleted text end to the commissioner by June 1 new text begin , consistent with section 120B.36,
subdivision 1, paragraph (f) new text end .

Subd. 3.

Intervention.

For each student identified under subdivision 2, the district
new text begin and charter school new text end shall provide a reading intervention method or program to assist the
student in reaching the goal of deleted text begin learning to read deleted text end new text begin reading at or above grade level new text end no later
than the end of deleted text begin second deleted text end new text begin third new text end grade. District intervention methods shall encourage parental
involvement and, where possible, collaboration with appropriate school and community
programs. Intervention methods may include, but are not limited to, requiring attendance
in summer school and intensified reading instruction that may require that the student be
removed from the regular classroom for part of the school day.

Subd. 4.

Staff development.

Each district new text begin and charter school new text end shall identify the staff
development needs to ensure that:

(1) elementary teachers are able to implement comprehensive, scientifically based,
and balanced reading instruction programs that have resulted in improved student
performance;

(2) elementary teachers who are instructing students identified under subdivision 2
are prepared to teach using the intervention methods or programs selected by the district
new text begin or charter school new text end for the identified students; and

(3) all licensed teachers employed by the district new text begin or charter school new text end have regular
opportunities to improve reading instruction.

Subd. 5.

Commissioner.

The commissioner shall recommend to districts new text begin and
charter schools new text end multiple assessment tools that will assist districts new text begin , charter schools, new text end and
teachers with identifying students under subdivision 2. The commissioner shall also
make available to districts new text begin and charter schools new text end examples of nationally recognized and
research-based instructional methods or programs that districts new text begin and charter schools new text end may
use to provide reading intervention according to this section new text begin and section 120B.115 new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to school districts on that date. For charter schools, this section is effective
for the 2014-2015 school year and later.
new text end

Sec. 9.

Minnesota Statutes 2010, section 120B.30, subdivision 1, is amended to read:

Subdivision 1.

Statewide testing.

(a) The commissioner, with advice from experts
with appropriate technical qualifications and experience and stakeholders, consistent with
subdivision 1a, shall include in the comprehensive assessment system, for each grade
level to be tested, state-constructed tests developed from and aligned with the state's
required academic standards under section 120B.021, include multiple choice questions,
and be administered annually to all students in grades 3 through 8. State-developed
high school tests aligned with the state's required academic standards under section
120B.021 and administered to all high school students in a subject other than writing
must include multiple choice questions. The commissioner shall establish one or more
months during which schools shall administer the tests to students each school year.
new text begin Schools that the commissioner identifies for stand-alone field testing or other national
sampling must participate as directed. Superintendents or charter school directors may
appeal in writing to the commissioner for an exemption from a field test based on undue
hardship. The commissioner's decision regarding the appeal is final. new text end For students enrolled
in grade 8 before the 2005-2006 school year, Minnesota basic skills tests in reading,
mathematics, and writing shall fulfill students' basic skills testing requirements for a
passing state notation. The passing scores of basic skills tests in reading and mathematics
are the equivalent of 75 percent correct for students entering grade 9 based on the first
uniform test administered in February 1998. Students who have not successfully passed
a Minnesota basic skills test by the end of the 2011-2012 school year must pass the
graduation-required assessments for diploma under paragraph (c).

(b) The state assessment system must be aligned to the most recent revision of
academic standards as described in section 120B.023 in the following manner:

(1) mathematics;

(i) grades 3 through 8 beginning in the 2010-2011 school year; and

(ii) high school level beginning in the 2013-2014 school year;

(2) science; grades 5 and 8 and at the high school level beginning in the 2011-2012
school year; and

(3) language arts and reading; grades 3 through 8 and high school level beginning in
the 2012-2013 school year.

(c) For students enrolled in grade 8 in the 2005-2006 school year and later, only the
following options shall fulfill students' state graduation test requirements:

(1) for reading and mathematics:

(i) obtaining an achievement level equivalent to or greater than proficient as
determined through a standard setting process on the Minnesota comprehensive
assessments in grade 10 for reading and grade 11 for mathematics or achieving a passing
score as determined through a standard setting process on the graduation-required
assessment for diploma in grade 10 for reading and grade 11 for mathematics or
subsequent retests;

(ii) achieving a passing score as determined through a standard setting process on the
state-identified language proficiency test in reading and the mathematics test for English
language learners or the graduation-required assessment for diploma equivalent of those
assessments for students designated as English language learners;

(iii) achieving an individual passing score on the graduation-required assessment
for diploma as determined by appropriate state guidelines for students with an individual
education plan or 504 plan;

(iv) obtaining achievement level equivalent to or greater than proficient as
determined through a standard setting process on the state-identified alternate assessment
or assessments in grade 10 for reading and grade 11 for mathematics for students with
an individual education plan; or

(v) achieving an individual passing score on the state-identified alternate assessment
or assessments as determined by appropriate state guidelines for students with an
individual education plan; and

(2) for writing:

(i) achieving a passing score on the graduation-required assessment for diploma;

(ii) achieving a passing score as determined through a standard setting process on
the state-identified language proficiency test in writing for students designated as English
language learners;

(iii) achieving an individual passing score on the graduation-required assessment
for diploma as determined by appropriate state guidelines for students with an individual
education plan or 504 plan; or

(iv) achieving an individual passing score on the state-identified alternate assessment
or assessments as determined by appropriate state guidelines for students with an
individual education plan.

(d) Students enrolled in grade 8 in any school year from the 2005-2006 school
year to the 2009-2010 school year who do not pass the mathematics graduation-required
assessment for diploma under paragraph (c) are eligible to receive a high school diploma
if they:

(1) complete with a passing score or grade all state and local coursework and credits
required for graduation by the school board granting the students their diploma;

(2) participate in district-prescribed academic remediation in mathematics; and

(3) fully participate in at least two retests of the mathematics GRAD test or until
they pass the mathematics GRAD test, whichever comes first. A school, district, or
charter school must place new text begin on the high school transcript new text end a student's deleted text begin highest deleted text end new text begin current pass
status for each subject that has a required graduation new text end assessment deleted text begin score for each of the
following assessments on the student's high school transcript: the mathematics Minnesota
Comprehensive Assessment, reading Minnesota Comprehensive Assessment, and writing
Graduation-Required Assessment for Diploma, and when applicable, the mathematics
Graduation-Required Assessment for Diploma and reading Graduation-Required
Assessment for Diploma deleted text end .

In addition, the school board granting the students their diplomas may formally
decide to include a notation of high achievement on the high school diplomas of those
graduating seniors who, according to established school board criteria, demonstrate
exemplary academic achievement during high school.

(e) The 3rd through 8th grade and high school test results shall be available to
districts for diagnostic purposes affecting student learning and district instruction and
curriculum, and for establishing educational accountability. The commissioner must
disseminate to the public the high school test results upon receiving those results.

(f) The 3rd through 8th grade and high school tests must be aligned with state
academic standards. The commissioner shall determine the testing process and the order
of administration. The statewide results shall be aggregated at the site and district level,
consistent with subdivision 1a.

(g) In addition to the testing and reporting requirements under this section, the
commissioner shall include the following components in the statewide public reporting
system:

(1) uniform statewide testing of all students in grades 3 through 8 and at the high
school level that provides appropriate, technically sound accommodations or alternate
assessments;

(2) educational indicators that can be aggregated and compared across school
districts and across time on a statewide basis, including average daily attendance, high
school graduation rates, and high school drop-out rates by age and grade level;

(3) state results on the American College Test; and

(4) state results from participation in the National Assessment of Educational
Progress so that the state can benchmark its performance against the nation and other
states, and, where possible, against other countries, and contribute to the national effort
to monitor achievement.

Sec. 10.

Minnesota Statutes 2010, section 120B.30, subdivision 3, is amended to read:

Subd. 3.

Reporting.

The commissioner shall report test deleted text begin data deleted text end new text begin results new text end publicly and
to stakeholders, including the performance achievement levels developed from students'
unweighted test scores in each tested subject and a listing of demographic factors that
strongly correlate with student performance. new text begin The test results must not include personally
identifiable information as defined in Code of Federal Regulations, title 34, section 99.3. new text end
The commissioner shall also report data that compares performance results among school
sites, school districts, Minnesota and other states, and Minnesota and other nations. The
commissioner shall disseminate to schools and school districts a more comprehensive
report containing testing information that meets local needs for evaluating instruction
and curriculum.

Sec. 11.

Minnesota Statutes 2010, section 120B.30, subdivision 4, is amended to read:

Subd. 4.

Access to tests.

new text begin Consistent with section 13.34, new text end the commissioner must
adopt and publish a policy to provide public and parental access for review of basic skills
tests, Minnesota Comprehensive Assessments, or any other such statewide test and
assessment new text begin which would not compromise the objectivity or fairness of the testing or
examination process new text end . Upon receiving a written request, the commissioner must make
available to parents or guardians a copy of their student's actual responses to the test
questions for their review.

Sec. 12.

Minnesota Statutes 2010, section 120B.31, subdivision 4, is amended to read:

Subd. 4.

deleted text begin Statistical adjustments; deleted text end Student performance data.

In developing
policies and assessment processes to hold schools and districts accountable for high levels
of academic standards under section 120B.021, the commissioner shall aggregate student
data over time to report student performance and growth levels measured at the school,
school district, and statewide level. When collecting and reporting the performance data,
the commissioner shall deleted text begin : (1) acknowledge the impact of significant demographic factors
such as residential instability, the number of single parent families, parents' level of
education, and parents' income level on school outcomes; and (2) deleted text end organize and report the
data so that state and local policy makers can understand the educational implications
of changes in districts' demographic profiles over time. Any report the commissioner
disseminates containing summary data on student performance must integrate student
performance and the demographic factors that strongly correlate with that performance.

Sec. 13.

Minnesota Statutes 2010, section 120B.36, subdivision 1, is amended to read:

Subdivision 1.

School performance report cards.

(a) The commissioner
shall report student academic performance under section 120B.35, subdivision 2; the
percentages of students showing low, medium, and high growth under section 120B.35,
subdivision 3, paragraph (b); school safety and student engagement and connection
under section 120B.35, subdivision 3, paragraph (d); rigorous coursework under
section 120B.35, subdivision 3, paragraph (c); two separate student-to-teacher ratios
that clearly indicate the definition of teacher consistent with sections 122A.06 and
122A.15 for purposes of determining these ratios; staff characteristics excluding salaries;
student enrollment demographics; district mobility; new text begin students' reading proficiency; new text end and
extracurricular activities. The report also must indicate a school's adequate yearly progress
status, and must not set any designations applicable to high- and low-performing schools
due solely to adequate yearly progress status.

(b) The commissioner shall develop, annually update, and post on the department
Web site school performance report cards.

(c) The commissioner must make available performance report cards by the
beginning of each school year.

(d) A school or district may appeal its adequate yearly progress status in writing to
the commissioner within 30 days of receiving the notice of its status. The commissioner's
decision to uphold or deny an appeal is final.

(e) School performance report card data are nonpublic data under section 13.02,
subdivision 9, until deleted text begin not later than ten days after the appeal procedure described in
paragraph (d) concludes deleted text end new text begin the commissioner publicly releases the data new text end . The deleted text begin department deleted text end new text begin
commissioner new text end shall annually post school performance report cards to deleted text begin its deleted text end new text begin the department's new text end
public Web site no later than September 1 new text begin , except that in the years when the report card
reflects new performance standards, the commissioner may post the school performance
report cards no later than October 1 if specifically authorized by the legislature to do so new text end .

new text begin (f) Consistent with this subdivision and sections 120B.115 and 120B.12, each school
site within a district and charter school must report to parents and the department on:
new text end

new text begin (1) on a grade-by-grade basis, the progress that students are making toward
achieving local and state expectations for attaining reading proficiency and growth;
new text end

new text begin (2) the effect of academic policies and procedures, including parent notification
among other policies and procedures, on promoting and retaining students based on
a student's reading proficiency;
new text end

new text begin (3) the number and percentage of students in each grade, 3 through 10, who do or do
not demonstrate proficiency on statewide reading assessments;
new text end

new text begin (4) the number and percentage of students promoted to grade 4 under section
120B.115, subdivision 1, paragraph (f); and
new text end

new text begin (5) changes in local literacy policies to increase the number of students in each
grade, 3 through 10, who demonstrate reading proficiency and growth.
new text end

new text begin Upon request, the department may provide school sites within a district and charter
schools with technical assistance to improve students' grade-level reading proficiency,
consistent with the data under this subdivision and sections 120B.115 and 120B.12.
new text end

new text begin (g) In developing policies and assessment processes to hold schools and districts
accountable for high levels of academic standards and achievement, the commissioner
shall acknowledge the impact of significant demographic factors such as residential
instability, the number of single parent families, parents' level of education, and parents'
income level on school outcomes under this subdivision so that state and local policy
makers can understand the educational implications of changes in districts' demographic
profiles over time.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin Paragraph (f) is effective for the 2014-2015 school year and
later and applies to reports prepared using data from the 2014-2015 school year and later.
Paragraph (g) is effective the day following final enactment.
new text end

Sec. 14.

Minnesota Statutes 2010, section 120B.36, subdivision 2, is amended to read:

Subd. 2.

Adequate yearly progress and other data.

All data the department
receives, collects, or creates to determine adequate yearly progress status under Public
Law 107-110, section 1116, set state growth targets, and determine student growth are
nonpublic data under section 13.02, subdivision 9, until deleted text begin not later than ten days after the
appeal procedure described in subdivision 1, paragraph (d), concludes deleted text end new text begin the commissioner
publicly releases the data new text end . Districts must provide parents sufficiently detailed summary
data to permit parents to appeal under Public Law 107-110, section 1116(b)(2). The
deleted text begin department deleted text end new text begin commissioner new text end shall annually post federal adequate yearly progress data and
state student growth data to deleted text begin its deleted text end new text begin the department's new text end public Web site no later than September
1 new text begin , except that in years when adequate yearly progress reflects new performance standards,
the commissioner may post federal adequate yearly progress data and state student growth
data no later than October 1 if specifically authorized by the legislature to do so new text end .

Sec. 15.

Minnesota Statutes 2010, section 121A.15, subdivision 8, is amended to read:

Subd. 8.

Report.

The administrator or other person having general control and
supervision of the elementary or secondary school shall file a report with the commissioner
on all persons enrolled in the school. The superintendent of each district shall file a report
with the commissioner for all persons within the district receiving instruction in a home
school in compliance with sections 120A.22 and 120A.24. The parent of persons receiving
instruction in a home school shall submit the statements as required by subdivisions 1, 2,
3, deleted text begin and deleted text end 4 new text begin , and 12 new text end to the superintendent of the district in which the person resides by October
1 of deleted text begin each school year deleted text end new text begin the first year of their homeschooling in Minnesota and the grade 7
year new text end . The school report must be prepared on forms developed jointly by the commissioner
of health and the commissioner of education and be distributed to the local districts by the
commissioner of health. The school report must state the number of persons attending the
school, the number of persons who have not been immunized according to subdivision 1 or
2, and the number of persons who received an exemption under subdivision 3, clause (c)
or (d). The school report must be filed with the commissioner of education within 60 days
of the commencement of each new school term. Upon request, a district must be given a
60-day extension for filing the school report. The commissioner of education shall forward
the report, or a copy thereof, to the commissioner of health who shall provide summary
reports to boards of health as defined in section 145A.02, subdivision 2. The administrator
or other person having general control and supervision of the child care facility shall file a
report with the commissioner of human services on all persons enrolled in the child care
facility. The child care facility report must be prepared on forms developed jointly by
the commissioner of health and the commissioner of human services and be distributed
to child care facilities by the commissioner of health. The child care facility report
must state the number of persons enrolled in the facility, the number of persons with no
immunizations, the number of persons who received an exemption under subdivision 3,
clause (c) or (d), and the number of persons with partial or full immunization histories.
The child care facility report must be filed with the commissioner of human services by
November 1 of each year. The commissioner of human services shall forward the report,
or a copy thereof, to the commissioner of health who shall provide summary reports to
boards of health as defined in section 145A.02, subdivision 2. The report required by this
subdivision is not required of a family child care or group family child care facility, for
prekindergarten children enrolled in any elementary or secondary school provided services
according to sections 125A.05 and 125A.06, nor for child care facilities in which at least
75 percent of children in the facility participate on a onetime only or occasional basis to a
maximum of 45 hours per child, per month.

Sec. 16.

Minnesota Statutes 2010, section 122A.09, subdivision 4, is amended to read:

Subd. 4.

License and rules.

(a) The board must adopt rules to license public school
teachers and interns subject to chapter 14.

(b) The board must adopt rules requiring a person to deleted text begin successfully complete deleted text end new text begin pass new text end a
skills examination in reading, writing, and mathematics as a requirement for initial teacher
licensure. Such rules must require college and universities offering a board-approved
teacher preparation program to deleted text begin provide deleted text end new text begin offer new text end remedial assistance to persons who did not
achieve a qualifying score on the skills examination, including those for whom English is
a second language.

(c) The board must adopt rules to approve teacher preparation programs. The board,
upon the request of a postsecondary student preparing for teacher licensure or a licensed
graduate of a teacher preparation program, shall assist in resolving a dispute between the
person and a postsecondary institution providing a teacher preparation program when the
dispute involves an institution's recommendation for licensure affecting the person or the
person's credentials. At the board's discretion, assistance may include the application
of chapter 14.

(d) The board must provide the leadership and shall adopt rules for the redesign of
teacher education programs to implement a research based, results-oriented curriculum
that focuses on the skills teachers need in order to be effective. The board shall implement
new systems of teacher preparation program evaluation to assure program effectiveness
based on proficiency of graduates in demonstrating attainment of program outcomes.

(e) The board must adopt rules requiring candidates for initial licenses to deleted text begin successfully
complete deleted text end new text begin pass new text end an examination of general pedagogical knowledge and examinations of
licensure-specific teaching skills. The rules shall be effective by September 1, 2001.
The rules under this paragraph also must require candidates for initial licenses to teach
prekindergarten or elementary students to deleted text begin successfully complete deleted text end new text begin pass new text end , as part of the
examination of licensure-specific teaching skills, test items assessing the candidates'
knowledge, skill, and ability in comprehensive, scientifically based reading instruction
under section 122A.06, subdivision 4, and their knowledge and understanding of the
foundations of reading development, the development of reading comprehension, and
reading assessment and instruction, and their ability to integrate that knowledge and
understanding.

(f) The board must adopt rules requiring teacher educators to work directly with
elementary or secondary school teachers in elementary or secondary schools to obtain
periodic exposure to the elementary or secondary teaching environment.

(g) The board must grant licenses to interns and to candidates for initial licenses.

(h) The board must design and implement an assessment system which requires a
candidate for an initial license and first continuing license to demonstrate the abilities
necessary to perform selected, representative teaching tasks at appropriate levels.

(i) The board must receive recommendations from local committees as established
by the board for the renewal of teaching licenses.

(j) The board must grant life licenses to those who qualify according to requirements
established by the board, and suspend or revoke licenses pursuant to sections 122A.20 and
214.10. The board must not establish any expiration date for application for life licenses.

(k) The board must adopt rules that require all licensed teachers who are renewing
their continuing license to include in their renewal requirements further preparation in
the areas of using positive behavior interventions and in accommodating, modifying, and
adapting curricula, materials, and strategies to appropriately meet the needs of individual
students and ensure adequate progress toward the state's graduation rule.

(l) In adopting rules to license public school teachers who provide health-related
services for disabled children, the board shall adopt rules consistent with license or
registration requirements of the commissioner of health and the health-related boards who
license personnel who perform similar services outside of the school.

(m) The board must adopt rules that require all licensed teachers who are renewing
their continuing license to include in their renewal requirements further reading
preparation, consistent with section 122A.06, subdivision 4. The rules do not take effect
until they are approved by law. Teachers who do not provide direct instruction including, at
least, counselors, school psychologists, school nurses, school social workers, audiovisual
directors and coordinators, and recreation personnel are exempt from this section.

(n) The board must adopt rules that require all licensed teachers who are renewing
their continuing license to include in their renewal requirements further preparation
in understanding the key warning signs of early-onset mental illness in children and
adolescents.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2012.
new text end

Sec. 17.

Minnesota Statutes 2010, section 122A.14, subdivision 3, is amended to read:

Subd. 3.

Rules for continuing education requirements.

The board shall
adopt rules establishing continuing education requirements that promote continuous
improvement and acquisition of new and relevant skills by school administrators. new text begin A
retired school principal who serves as a substitute principal or assistant principal for the
same person on a day-to-day basis for no more than 15 consecutive school days is not
subject to continuing education requirements as a condition of serving as a substitute
principal or assistant principal.
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. 18.

Minnesota Statutes 2010, section 122A.16, as amended by Laws 2011, chapter
5, section 2, is amended to read:

122A.16 HIGHLY QUALIFIED TEACHER DEFINED.

(a) A qualified teacher is one holding a valid license, under this chapter, to perform
the particular service for which the teacher is employed in a public school.

(b) For the purposes of the federal No Child Left Behind Act, a highly qualified
teacher is one who holds a valid license under this chapter, including under section
122A.245, among other sections deleted text begin , to perform the particular service for which the teacher is
employed in a public school or who meets the requirements of a highly objective uniform
state standard of evaluation (HOUSSE) deleted text end new text begin and is determined by local administrators as
having highly qualified status according to the approved Minnesota highly qualified plan.
Teachers delivering core content instruction must be deemed highly qualified at the local
level and reported to the state via the staff automated reporting system new text end .

deleted text begin All Minnesota teachers teaching in a core academic subject area, as defined by the
federal No Child Left Behind Act, in which they are not fully licensed may complete the
following HOUSSE process in the core subject area for which the teacher is requesting
highly qualified status by completing an application, in the form and manner described by
the commissioner, that includes:
deleted text end

deleted text begin (1) documentation of student achievement as evidenced by norm-referenced test
results that are objective and psychometrically valid and reliable;
deleted text end

deleted text begin (2) evidence of local, state, or national activities, recognition, or awards for
professional contribution to achievement;
deleted text end

deleted text begin (3) description of teaching experience in the teachers' core subject area in a public
school under a waiver, variance, limited license or other exception; nonpublic school; and
postsecondary institution;
deleted text end

deleted text begin (4) test results from the Praxis II content test;
deleted text end

deleted text begin (5) evidence of advanced certification from the National Board for Professional
Teaching Standards;
deleted text end

deleted text begin (6) evidence of the successful completion of course work or pedagogy courses; and
deleted text end

deleted text begin (7) evidence of the successful completion of high quality professional development
activities.
deleted text end

deleted text begin Districts must assign a school administrator to serve as a HOUSSE reviewer to
meet with teachers under this paragraph and, where appropriate, certify the teachers'
applications. Teachers satisfy the definition of highly qualified when the teachers receive
at least 100 of the total number of points used to measure the teachers' content expertise
under clauses (1) to (7). Teachers may acquire up to 50 points only in any one clause (1)
to (7). Teachers may use the HOUSSE process to satisfy the definition of highly qualified
for more than one subject area.
deleted text end

deleted text begin (c) Achievement of the HOUSSE criteria is not equivalent to a license. A teacher
must obtain permission from the Board of Teaching in order to teach in a public school.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for the 2011-2012 school year and
later.
new text end

Sec. 19.

Minnesota Statutes 2010, section 122A.18, subdivision 2, is amended to read:

Subd. 2.

Teacher and support personnel qualifications.

(a) The Board of
Teaching must issue licenses under its jurisdiction to persons the board finds to be
qualified and competent for their respective positions.

(b) The board must require a person to deleted text begin successfully complete deleted text end new text begin pass new text end an examination
of skills in reading, writing, and mathematics before being granted an initial teaching
license to provide direct instruction to pupils in prekindergarten, elementary, secondary, or
special education programs. The board must require colleges and universities offering
a board approved teacher preparation program to deleted text begin provide deleted text end new text begin offer new text end remedial assistance that
includes a formal diagnostic component to persons enrolled in their institution who did not
achieve a qualifying score on the skills examination, including those for whom English
is a second language. The colleges and universities must deleted text begin provide deleted text end new text begin offer new text end assistance in the
specific academic areas of deficiency in which the person did not achieve a qualifying
score. new text begin The board must issue a one-year license to teach in Minnesota to an otherwise
qualified person who completed his or her teacher preparation program outside the state of
Minnesota, during which time that person must take and pass the state skills examination
in reading, writing, and math. new text end School districts must deleted text begin provide similar deleted text end new text begin offer new text end , appropriate, and
timely remedial assistance that includes a formal diagnostic component and mentoring to
those persons employed by the district who completed their teacher deleted text begin education deleted text end new text begin preparation new text end
program outside the state of Minnesota, received a one-year license to teach in Minnesota
and did not achieve a qualifying score on the skills examination, including those persons
for whom English is a second language. The Board of Teaching shall report annually to
the education committees of the legislature on the total number of teacher candidates
during the most recent school year taking the skills examination, the number who achieve
a qualifying score on the examination, the number who do not achieve a qualifying score
on the examination, the distribution of all candidates' scores, the number of candidates
who have taken the examination at least once before, and the number of candidates who
have taken the examination at least once before and achieve a qualifying score.

deleted text begin (c) A person who has completed an approved teacher preparation program and
obtained a one-year license to teach, but has not successfully completed the skills
examination, may renew the one-year license for two additional one-year periods. Each
renewal of the one-year license is contingent upon the licensee:
deleted text end

deleted text begin (1) providing evidence of participating in an approved remedial assistance program
provided by a school district or postsecondary institution that includes a formal diagnostic
component in the specific areas in which the licensee did not obtain qualifying scores; and
deleted text end

deleted text begin (2) attempting to successfully complete the skills examination during the period
of each one-year license.
deleted text end

deleted text begin (d) deleted text end new text begin (c) new text end The Board of Teaching must grant continuing licenses only to those persons
who have met board criteria for granting a continuing license, which includes deleted text begin successfully
completing deleted text end new text begin passing new text end the skills examination in reading, writing, and mathematics.

deleted text begin (e) deleted text end new text begin (d) new text end All colleges and universities approved by the board of teaching to prepare
persons for teacher licensure must include in their teacher preparation programs a common
core of teaching knowledge and skills to be acquired by all persons recommended
for teacher licensure. This common core shall meet the standards developed by the
interstate new teacher assessment and support consortium in its 1992 "model standards for
beginning teacher licensing and development." Amendments to standards adopted under
this paragraph are covered by chapter 14. The board of teaching 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 paragraph during the
most recent school year.

Sec. 20.

Minnesota Statutes 2010, section 122A.23, subdivision 2, is amended to read:

Subd. 2.

Applicants licensed in other states.

(a) Subject to the requirements of
sections 122A.18, deleted text begin subdivision deleted text end new text begin subdivisions 2, paragraph (b), and new text end 8, and 123B.03, the
Board of Teaching must issue a teaching license or a temporary teaching license under
paragraphs (b) to (e) to an applicant who holds at least a baccalaureate degree from a
regionally accredited college or university and holds or held a similar out-of-state teaching
license that requires the applicant to successfully complete a teacher preparation program
approved by the issuing state, which includes field-specific teaching methods and student
teaching or essentially equivalent experience.

(b) The Board of Teaching must issue a teaching license to an applicant who:

(1) successfully completed all exams and human relations preparation components
required by the Board of Teaching; and

(2) holds or held an out-of-state teaching license to teach the same content field and
grade levels if the scope of the out-of-state license is no more than one grade level less
than a similar Minnesota license.

(c) The Board of Teaching, consistent with board rules, must issue up to three
one-year temporary teaching licenses to an applicant who holds or held an out-of-state
teaching license to teach the same content field and grade levels, where the scope of the
out-of-state license is no more than one grade level less than a similar Minnesota license,
but has not successfully completed all exams and human relations preparation components
required by the Board of Teaching.

(d) The Board of Teaching, consistent with board rules, must issue up to three
one-year temporary teaching licenses to an applicant who:

(1) successfully completed all exams and human relations preparation components
required by the Board of Teaching; and

(2) holds or held an out-of-state teaching license to teach the same content field
and grade levels, where the scope of the out-of-state license is no more than one grade
level less than a similar Minnesota license, but has not completed field-specific teaching
methods or student teaching or equivalent experience.

The applicant may complete field-specific teaching methods and student teaching
or equivalent experience by successfully participating in a one-year school district
mentorship program consistent with board-adopted standards of effective practice and
Minnesota graduation requirements.

(e) The Board of Teaching must issue a temporary teaching license for a term of
up to three years only in the content field or grade levels specified in the out-of-state
license to an applicant who:

(1) successfully completed all exams and human relations preparation components
required by the Board of Teaching; and

(2) holds or held an out-of-state teaching license where the out-of-state license is
more limited in the content field or grade levels than a similar Minnesota license.

(f) The Board of Teaching must not issue to an applicant more than three one-year
temporary teaching licenses under this subdivision.

(g) The Board of Teaching must not issue a license under this subdivision if the
applicant has not attained the additional degrees, credentials, or licenses required in a
particular licensure field.

Sec. 21.

Minnesota Statutes 2010, section 122A.40, subdivision 5, is amended to read:

Subd. 5.

Probationary period.

(a) The first three consecutive years of a
teacher's first teaching experience in Minnesota in a single district is deemed to be a
probationary period of employment, and deleted text begin after completion thereof, deleted text end the probationary period
in each district in which the teacher is thereafter employed new text begin also new text end shall be deleted text begin one year deleted text end new text begin three
consecutive years of teaching experience, except that for purposes of this provision,
the probationary period for principals and assistant principals shall be two consecutive
years new text end . The school board must adopt a plan for written evaluation of teachers during the
probationary period. Evaluation must occur at least three times each new text begin school new text end year for a
teacher performing services deleted text begin on 120 or more school days, at least two times each year for a
teacher performing services on 60 to 119 school days, and at least one time each year for a
teacher performing services on fewer than 60 school days deleted text end new text begin during that school year new text end . Days
devoted to parent-teacher conferences, teachers' workshops, and other staff development
opportunities and days on which a teacher is absent from school must not be included in
determining the number of school days on which a teacher performs services. Except as
otherwise provided in paragraph (b), during the probationary period any annual contract
with any teacher may or may not be renewed as the school board shall see fit. However,
the board must give any such teacher whose contract it declines to renew for the following
school year written notice to that effect before deleted text begin July deleted text end new text begin June new text end 1. If the teacher requests reasons
for any nonrenewal of a teaching contract, the board must give the teacher its reason in
writing, including a statement that appropriate supervision was furnished describing the
nature and the extent of such supervision furnished the teacher during the employment
by the board, within ten days after receiving such request. The school board may, after
a hearing held upon due notice, discharge a teacher during the probationary period for
cause, effective immediately, under section 122A.44.

(b) A board must discharge a probationary teacher, effective immediately, upon
receipt of notice under section 122A.20, subdivision 1, paragraph (b), that the teacher's
license has been revoked due to a conviction for child abuse or sexual abuse.

(c) A probationary teacher whose first three years of consecutive employment new text begin in
a district new text end are interrupted for active military service and who promptly resumes teaching
consistent with federal reemployment timelines for uniformed service personnel under
United States Code, title 38, section 4312(e), is considered to have a consecutive teaching
experience for purposes of paragraph (a).

(d) A probationary teacher must complete deleted text begin at least 60 deleted text end new text begin 120 new text end days of teaching service
each year during the probationary period. Days devoted to parent-teacher conferences,
teachers' workshops, and other staff development opportunities and days on which a
teacher is absent from school do not count as days of teaching service under this paragraph.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective June 30, 2011, and applies to all
probationary teacher employment contracts ratified or modified after that date.
new text end

Sec. 22.

Minnesota Statutes 2010, section 122A.40, is amended by adding a
subdivision to read:

new text begin Subd. 8a. new text end

new text begin Probationary period for principals hired internally. new text end

new text begin A two school year
probationary period is required for a licensed teacher employed by the board who is
subsequently employed by the board as a licensed school principal or assistant principal,
and an additional probationary period of two years is required for a licensed assistant
principal employed by the board who is subsequently employed by the board as a licensed
principal. A licensed teacher subsequently employed by the board as a licensed school
principal or assistant principal retains the teacher's continuing contract status as a licensed
teacher during the probationary period under this subdivision and has the right to return
to his or her previous position or an equivalent position, if available, if the teacher is
not promoted.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective June 30, 2011, and applies to all
contracts for internally hired licensed school principals and assistant principals ratified or
modified after that date.
new text end

Sec. 23.

Minnesota Statutes 2010, section 122A.40, subdivision 11, is amended to read:

Subd. 11.

Unrequested leave of absence.

new text begin (a) new text end The board may place on unrequested
leave of absence, without pay or fringe benefits, as many teachers as may be necessary
because of discontinuance of position, lack of pupils, financial limitations, or merger of
classes caused by consolidation of districts. The unrequested leave is effective at the close
of the school year. In placing teachers on unrequested leave, new text begin the board may exempt from
the effects of paragraphs (b) to (g) those teachers who teach in a Montessori or language
immersion program, provide instruction in an advanced placement course, or hold a
kindergarten through grade 12 instrumental vocal classroom music license and currently
serve as a choir, band, or orchestra director and who, in the superintendent's judgment,
meet a unique need in delivering curriculum. However, within the Montessori or language
immersion program, a teacher must be placed on unrequested leave of absence consistent
with paragraph (c). new text end The board is governed by the deleted text begin following deleted text end provisions deleted text begin : deleted text end new text begin of paragraphs
(b) to (g), consistent with this paragraph.
new text end

deleted text begin (a) deleted text end new text begin (b) new text end The board may place probationary teachers on unrequested leave first in
the inverse order of their employment. A teacher who has acquired continuing contract
rights must not be placed on unrequested leave of absence while probationary teachers
are retained in positions for which the teacher who has acquired continuing contract
rights is licensed deleted text begin ; deleted text end new text begin .
new text end

deleted text begin (b) deleted text end new text begin (c) new text end Teachers who have acquired continuing contract rights shall be placed on
unrequested leave of absence in fields in which they are licensed in the inverse order
in which they were employed by the school district. In the case of equal seniority, the
order in which teachers who have acquired continuing contract rights shall be placed on
unrequested leave of absence in fields in which they are licensed is negotiable deleted text begin ; deleted text end new text begin .
new text end

deleted text begin (c) deleted text end new text begin (d) new text end Notwithstanding the provisions of deleted text begin clause (b) deleted text end new text begin paragraph (c) new text end , a teacher is not
entitled to exercise any seniority when that exercise results in that teacher being retained
by the district in a field for which the teacher holds only a provisional license, as defined
by the board of teaching, unless that exercise of seniority results in the placement on
unrequested leave of absence of another teacher who also holds a provisional license in the
same field. The provisions of this clause do not apply to vocational education licenses deleted text begin ; deleted text end new text begin .
new text end

deleted text begin (d) deleted text end new text begin (e) new text end Notwithstanding deleted text begin clauses (a), (b) and (c) deleted text end new text begin paragraphs (b), (c), and (d) new text end , if the
placing of a probationary teacher on unrequested leave before a teacher who has acquired
continuing rights, the placing of a teacher who has acquired continuing contract rights
on unrequested leave before another teacher who has acquired continuing contract rights
but who has greater seniority, or the restriction imposed by the provisions of deleted text begin clause (c) deleted text end new text begin
paragraph (d) new text end would place the district in violation of its affirmative action program,
the district may retain the probationary teacher, the teacher with less seniority, or the
provisionally licensed teacher deleted text begin ; deleted text end new text begin .
new text end

deleted text begin (e) deleted text end new text begin (f) new text end Teachers placed on unrequested leave of absence must be reinstated to
the positions from which they have been given leaves of absence or, if not available,
to other available positions in the school district in fields in which they are licensed.
Reinstatement must be in the inverse order of placement on leave of absence. A teacher
must not be reinstated to a position in a field in which the teacher holds only a provisional
license, other than a vocational education license, while another teacher who holds a
nonprovisional license in the same field remains on unrequested leave. The order of
reinstatement of teachers who have equal seniority and who are placed on unrequested
leave in the same school year is negotiable deleted text begin ; deleted text end new text begin .
new text end

deleted text begin (f) deleted text end new text begin (g) new text end Appointment of a new teacher must not be made while there is available, on
unrequested leave, a teacher who is properly licensed to fill such vacancy, unless the
teacher fails to advise the school board within 30 days of the date of notification that a
position is available to that teacher who may return to employment and assume the duties
of the position to which appointed on a future date determined by the board deleted text begin ; deleted text end new text begin .
new text end

deleted text begin (g) deleted text end new text begin (h) new text end A teacher placed on unrequested leave of absence may engage in teaching
or any other occupation during the period of this leave deleted text begin ; deleted text end new text begin .
new text end

deleted text begin (h) deleted text end new text begin (i) new text end The unrequested leave of absence must not impair the continuing contract
rights of a teacher or result in a loss of credit for previous years of service deleted text begin ; deleted text end new text begin .
new text end

deleted text begin (i) deleted text end new text begin (j) new text end The unrequested leave of absence of a teacher who is placed on unrequested
leave of absence and who is not reinstated shall continue for a period of five years, after
which the right to reinstatement shall terminate. The teacher's right to reinstatement shall
also terminate if the teacher fails to file with the board by April 1 of any year a written
statement requesting reinstatement deleted text begin ; deleted text end new text begin .
new text end

deleted text begin (j) deleted text end new text begin (k) new text end The same provisions applicable to terminations of probationary or continuing
contracts in subdivisions 5 and 7 must apply to placement on unrequested leave of
absence deleted text begin ; deleted text end new text begin .
new text end

deleted text begin (k) deleted text end new text begin (l) new text end Nothing in this subdivision shall be construed to impair the rights of teachers
placed on unrequested leave of absence to receive unemployment benefits if otherwise
eligible.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective June 30, 2011, and applies to all
collective bargaining agreements ratified or modified after that date.
new text end

Sec. 24.

Minnesota Statutes 2010, section 122A.41, subdivision 1, is amended to read:

Subdivision 1.

Words, terms, and phrases.

Unless the language or context clearly
indicates that a different meaning is intended, the following words, terms, and phrases, for
the purposes of the following subdivisions in this section shall be defined as follows:

(a) Teachers. The term "teacher" includes every person regularly employed, as a
principal, or to give instruction in a classroom, or to superintend or supervise classroom
instruction, or as placement teacher and visiting teacher. Persons regularly employed as
counselors and school librarians shall be covered by these sections as teachers if licensed
as teachers or as school librarians.

(b) School board. The term "school board" includes a majority in membership
of any and all boards or official bodies having the care, management, or control over
public schools.

(c) Demote. The word "demote" means to reduce deleted text begin in rank or to transfer to a lower
branch of the service or to a position carrying a lower salary or deleted text end new text begin the new text end compensation new text begin a person
actually receives in the new position new text end .

(d) Nonprovisional license. For purposes of this section, "nonprovisional license"
shall mean an entrance, continuing, or life license.

new text begin EFFECTIVE DATE. new text end

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

Sec. 25.

Minnesota Statutes 2010, section 122A.41, subdivision 2, is amended to read:

Subd. 2.

Probationary period; discharge or demotion.

(a) All teachers in
the public schools in cities of the first class during the first three years of consecutive
employment shall be deemed to be in a probationary period of employment during which
period any annual contract with any teacher may, or may not, be renewed as the school
board, after consulting with the peer review committee charged with evaluating the
probationary teachers under subdivision 3, shall see fit. The school site management team
or the school board if there is no school site management team, shall adopt a plan for a
written evaluation of teachers during the probationary period according to subdivision
3. Evaluation by the peer review committee charged with evaluating probationary
teachers under subdivision 3 shall occur at least three times each new text begin school new text end year deleted text begin for a teacher
performing services on 120 or more school days, at least two times each year for a teacher
performing services on 60 to 119 school days, and at least one time each year for a
teacher performing services on fewer than 60 school days deleted text end . Days devoted to parent-teacher
conferences, teachers' workshops, and other staff development opportunities and days on
which a teacher is absent from school shall not be included in determining the number of
school days on which a teacher performs services. The school board may, during such
probationary period, discharge or demote a teacher for any of the causes as specified in
this code. A written statement of the cause of such discharge or demotion shall be given to
the teacher by the school board at least 30 days before such removal or demotion shall
become effective, and the teacher so notified shall have no right of appeal therefrom.

(b) A probationary teacher whose first three years of consecutive employment are
interrupted for active military service and who promptly resumes teaching consistent with
federal reemployment timelines for uniformed service personnel under United States
Code, title 38, section 4312(e), is considered to have a consecutive teaching experience
for purposes of paragraph (a).

(c) A probationary teacher must complete deleted text begin at least 60 deleted text end new text begin 120 new text end days of teaching service
each year during the probationary period. Days devoted to parent-teacher conferences,
teachers' workshops, and other staff development opportunities and days on which a
teacher is absent from school do not count as days of teaching service under this paragraph.

new text begin EFFECTIVE DATE. new text end

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

Sec. 26.

Minnesota Statutes 2010, section 122A.41, subdivision 5a, is amended to read:

Subd. 5a.

Probationary period for principals hired internally.

deleted text begin A board and
the exclusive representative of the school principals in the district may negotiate a plan
for a deleted text end new text begin A two school year new text end probationary period deleted text begin of up to two school years deleted text end new text begin is required new text end for
licensed teachers employed by the board who are subsequently employed by the board as
a licensed school principal or assistant principal and an additional probationary period of
deleted text begin up to deleted text end two years new text begin is required new text end for licensed assistant principals employed by the board who are
subsequently employed by the board as a licensed school principal. new text begin A licensed teacher
subsequently employed by the board as a licensed school principal or assistant principal
retains his or her continuing contract status as a licensed teacher during the probationary
period under this subdivision and has the right to return to his or her previous position or
an equivalent position, if available, if the teacher is not promoted.
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. 27.

Minnesota Statutes 2010, section 122A.41, subdivision 10, is amended to read:

Subd. 10.

Decision, when rendered.

The hearing must be concluded and a decision
in writing, stating the grounds on which it is based, rendered within 25 days after giving of
such notice. Where the hearing is before a school board the teacher may be discharged
or demoted upon the affirmative vote of a majority of the members of the board. If the
charges, or any of such, are found to be true, the board conducting the hearing must
discharge, demote, or suspend the teacher, as seems to be for the best interest of the school.
deleted text begin A teacher must not be discharged for either of the causes specified in subdivision 6, clause
(3), except during the school year, and then only upon charges filed at least four months
before the close of the school sessions of such school year.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2011, and applies to discharge
actions commenced on or after that date.
new text end

Sec. 28.

Minnesota Statutes 2010, section 122A.41, subdivision 14, is amended to read:

Subd. 14.

Services terminated by discontinuance or lack of pupils; preference
given.

(a) deleted text begin A teacher whose services are terminated on account of discontinuance of
position or lack of pupils must receive first consideration for other positions in the district
for which that teacher is qualified. deleted text end In the event it becomes necessary to discontinue
one or more positions, in making such discontinuance, teachers must new text begin receive first
consideration for other positions in the district for which that teacher is qualified and must
new text end be discontinued deleted text begin in any department deleted text end in the inverse order in which they were employed,
unless a board and the exclusive representative of teachers in the district negotiate a
plan providing otherwise.

(b) new text begin The board may exempt from the effects of paragraph (a) those teachers who
teach in a Montessori or language immersion program or provide instruction in an
advanced placement course and who, in the superintendent's judgment, meet a unique
need in delivering curriculum. However, within the Montessori or language immersion
program, a teacher shall be discontinued based on the inverse order in which the teacher
was employed.
new text end

new text begin (c) new text end Notwithstanding the provisions of clause (a), a teacher is not entitled to exercise
any seniority when that exercise results in that teacher being retained by the district in
a field for which the teacher holds only a provisional license, as defined by the Board
of Teaching, unless that exercise of seniority results in the termination of services, on
account of discontinuance of position or lack of pupils, of another teacher who also
holds a provisional license in the same field. The provisions of this clause do not apply
to vocational education licenses.

deleted text begin (c) deleted text end new text begin (d) new text end Notwithstanding the provisions of clause (a), a teacher must not be reinstated
to a position in a field in which the teacher holds only a provisional license, other than a
vocational education license, while another teacher who holds a nonprovisional license in
the same field is available for reinstatement.

new text begin EFFECTIVE DATE. new text end

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

Sec. 29.

Minnesota Statutes 2010, section 123B.143, subdivision 1, is amended to read:

Subdivision 1.

Contract; duties.

All districts maintaining a classified secondary
school must employ a superintendent who shall be an ex officio nonvoting member of the
school board. The authority for selection and employment of a superintendent must be
vested in the board in all cases. An individual employed by a board as a superintendent
shall have an initial employment contract for a period of time no longer than three years
from the date of employment. Any subsequent employment contract must not exceed a
period of three years. A board, at its discretion, may or may not renew an employment
contract. A board must not, by action or inaction, extend the duration of an existing
employment contract. Beginning 365 days prior to the expiration date of an existing
employment contract, a board may negotiate and enter into a subsequent employment
contract to take effect upon the expiration of the existing contract. A subsequent contract
must be contingent upon the employee completing the terms of an existing contract. If a
contract between a board and a superintendent is terminated prior to the date specified in
the contract, the board may not enter into another superintendent contract with that same
individual that has a term that extends beyond the date specified in the terminated contract.
A board may terminate a superintendent during the term of an employment contract for any
of the grounds specified in section 122A.40, subdivision 9 or 13. A superintendent shall
not rely upon an employment contract with a board to assert any other continuing contract
rights in the position of superintendent under section 122A.40. Notwithstanding the
provisions of sections 122A.40, subdivision 10 or 11, 123A.32, 123A.75, or any other law
to the contrary, no individual shall have a right to employment as a superintendent based
on order of employment in any district. If two or more districts enter into an agreement for
the purchase or sharing of the services of a superintendent, the contracting districts have
the absolute right to select one of the individuals employed to serve as superintendent
in one of the contracting districts and no individual has a right to employment as the
superintendent to provide all or part of the services based on order of employment in a
contracting district. The superintendent of a district shall perform the following:

(1) visit and supervise the schools in the district, report and make recommendations
about their condition when advisable or on request by the board;

(2) recommend to the board employment and dismissal of teachers;

(3) new text begin annually evaluate each school principal assigned responsibility for supervising
a school building within the district, consistent with section 123B.147, subdivision 3,
paragraph (b);
new text end

new text begin (4) new text end superintend school grading practices and examinations for promotions;

deleted text begin (4) deleted text end new text begin (5) new text end make reports required by the commissioner; and

deleted text begin (5) deleted text end new text begin (6) new text end perform other duties prescribed by the board.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for the 2013-2014 school year and
later.
new text end

Sec. 30.

Minnesota Statutes 2010, section 123B.147, subdivision 3, is amended to read:

Subd. 3.

Duties new text begin ; evaluation new text end .

new text begin (a) new text end The principal shall provide administrative,
supervisory, and instructional leadership services, under the supervision of the
superintendent of schools of the district and deleted text begin in accordance with deleted text end new text begin according to new text end the policies,
rules, and regulations of the new text begin school new text end board deleted text begin of education deleted text end , for the planning, management,
operation, and evaluation of the education program of the building or buildings to which
the principal is assigned.

new text begin (b) To enhance a principal's leadership skills and support and improve teaching
practices, school performance, and student achievement, a district must develop and
implement a performance-based system for annually evaluating school principals assigned
to supervise a school building within the district. The evaluation must be designed
to improve teaching and learning by supporting the principal in shaping the school's
professional environment and developing teacher quality, performance, and effectiveness.
The annual evaluation must:
new text end

new text begin (1) support and improve a principal's instructional leadership, organizational
management, and professional development, and strengthen the principal's capacity in the
areas of instruction, supervision, evaluation, and teacher development;
new text end

new text begin (2) include formative and summative evaluations;
new text end

new text begin (3) be consistent with a principal's job description, a district's long-term plans and
goals, and the principal's own professional multiyear growth plans and goals, all of which
must support the principal's leadership behaviors and practices, rigorous curriculum,
school performance, and high-quality instruction;
new text end

new text begin (4) include on-the-job observations and previous evaluations;
new text end

new text begin (5) allow surveys to help identify a principal's effectiveness, leadership skills and
processes, and strengths and weaknesses in exercising leadership in pursuit of school
success;
new text end

new text begin (6) use longitudinal data on student academic growth as an evaluation component
and incorporate district achievement goals and targets; and
new text end

new text begin (7) be linked to professional development that emphasizes improved teaching and
learning, curriculum and instruction, student learning, and a collaborative professional
culture.
new text end

new text begin The provisions of this paragraph are intended to provide districts with sufficient
flexibility to accommodate district needs and goals related to developing, supporting,
and evaluating principals.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for the 2013-2014 school year and
later.
new text end

Sec. 31.

Minnesota Statutes 2010, section 123B.88, is amended by adding a
subdivision to read:

new text begin Subd. 1a. new text end

new text begin Full-service school zones. new text end

new text begin The board may establish a full-service
school zone by adopting a written resolution and may provide transportation for students
attending a school in that full-service school zone. A full-service school zone may be
established for a school that is located in an area with higher than average crime or other
social and economic challenges and that provides education, health or human services, or
other parental support in collaboration with a city, county, state, or nonprofit agency. The
pupil transportation must be intended to stabilize enrollment and reduce mobility at the
school located in a full-service school zone.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2011.
new text end

Sec. 32.

Minnesota Statutes 2010, section 124D.091, subdivision 2, is amended to read:

Subd. 2.

Eligibility.

A district that offers a concurrent enrollment course according
to an agreement under section 124D.09, subdivision 10, is eligible to receive aid for the
costs of providing postsecondary courses at the high school. Beginning in fiscal year 2011,
districts only are eligible for aid if the college or university concurrent enrollment courses
offered by the district are accredited by the National Alliance of Concurrent Enrollment
Partnership, in the process of being accredited, or are shown by clear evidence to be of
comparable standard to accredited courses new text begin , or are technical courses within a recognized
career and technical education program of study approved by the commissioner of
education and the chancellor of the Minnesota State Colleges and Universities new text end .

Sec. 33.

Minnesota Statutes 2010, section 124D.36, is amended to read:

124D.36 CITATION; deleted text begin MINNESOTA YOUTHWORKS deleted text end new text begin SERVEMINNESOTA
INNOVATION new text end ACT.

Sections 124D.37 to 124D.45 shall be cited as the " deleted text begin Minnesota Youthworks deleted text end new text begin
ServeMinnesota Innovation new text end Act."

Sec. 34.

Minnesota Statutes 2010, section 124D.37, is amended to read:

124D.37 PURPOSE OF deleted text begin MINNESOTA YOUTHWORKS deleted text end new text begin SERVEMINNESOTA
INNOVATION new text end ACT.

The purposes of sections 124D.37 to 124D.45 are to:

(1) renew the ethic of civic responsibility in Minnesota;

(2) empower youth to improve their life opportunities through literacy, job
placement, and other essential skills;

(3) empower government to meet its responsibility to prepare young people to be
contributing members of society;

(4) help meet human, educational, environmental, and public safety needs,
particularly those needs relating to poverty;

(5) prepare a citizenry that is academically competent, ready for work, and socially
responsible;

(6) demonstrate the connection between youth and community service, community
service and education, and education and meaningful opportunities in the business
community;

(7) demonstrate the connection between providing opportunities for at-risk youth
and reducing crime rates and the social costs of troubled youth;

(8) create linkages for a comprehensive youth service and learning program in
Minnesota including school age programs, higher education programs, youth work
programs, and service corps programs; and

(9) coordinate federal and state activities that advance the purposes in this section.

Sec. 35.

Minnesota Statutes 2010, section 124D.38, subdivision 3, is amended to read:

Subd. 3.

Federal law.

"Federal law" means Public Law deleted text begin 101-610 deleted text end new text begin 111-13 new text end , as
amended, or any other federal law or program assisting youth community service,
work-based learning, or youth transition from school to work.

Sec. 36.

Minnesota Statutes 2010, section 124D.385, subdivision 3, is amended to read:

Subd. 3.

Duties.

(a) The commission shall:

(1) develop, with the assistance of the governor, the commissioner of education, and
affected state agencies, a comprehensive state plan to provide services under sections
124D.37 to 124D.45 and federal law;

(2) actively pursue public and private funding sources for services, including
funding available under federal law;

(3) administer the deleted text begin Youthworks deleted text end new text begin ServeMinnesota Innovation new text end grant program under
sections 124D.39 to 124D.44, including soliciting and approving grant applications from
eligible organizations, and administering individual postservice benefits;

(4) establish an evaluation plan for programs developed and services provided
under sections 124D.37 to 124D.45;

(5) report to the governor, commissioner of education, and legislature; and

(6) administer the federal AmeriCorps Program.

(b) Nothing in sections 124D.37 to 124D.45 precludes an organization from
independently seeking public or private funding to accomplish purposes similar to those
described in paragraph (a).

Sec. 37.

Minnesota Statutes 2010, section 124D.39, is amended to read:

124D.39 deleted text begin YOUTHWORKS deleted text end new text begin SERVEMINNESOTA INNOVATION new text end PROGRAM.

The deleted text begin Youthworks deleted text end new text begin ServeMinnesota Innovation new text end program is established new text begin to provide
funding for the commission to leverage federal and private funding new text end to fulfill the purposes
of section 124D.37. The deleted text begin Youthworks deleted text end new text begin ServeMinnesota Innovation new text end program must
supplement existing programs and services. The program must not displace existing
programs and services, existing funding of programs or services, or existing employment
and employment opportunities. No eligible organization may terminate, layoff, or reduce
the hours of work of an employee to place or hire a program participant. No eligible
organization may place or hire an individual for a project if an employee is on layoff from
the same or a substantially equivalent position.

Sec. 38.

Minnesota Statutes 2010, section 124D.40, is amended to read:

124D.40 deleted text begin YOUTHWORKS deleted text end new text begin SERVEMINNESOTA INNOVATION new text end GRANTS.

Subdivision 1.

Application.

An eligible organization interested in receiving a
grant under sections 124D.39 to 124D.44 may prepare and submit an application to the
commission. new text begin As part of the grant application process, the commission must establish
and publish grant application guidelines that: (1) are consistent with this subdivision,
section 124D.37, and Public Law 111-13; (2) include criteria for reviewing an applicant's
cost-benefit analysis; and (3) require grantees to use research-based measures of program
outcomes to generate valid and reliable data that are available to the commission for
evaluation and public reporting purposes.
new text end

Subd. 2.

Grant authority.

The commission must use any state appropriation and
any available federal funds, including any grant received under federal law, to award
grants to establish programs for deleted text begin Youthworks deleted text end new text begin ServeMinnesota Innovation new text end . At least one
grant each must be available for a metropolitan proposal, a rural proposal, and a statewide
proposal. If a portion of the suburban metropolitan area is not included in the metropolitan
grant proposal, the statewide grant proposal must incorporate at least one suburban
metropolitan area. In awarding grants, the commission may select at least one residential
proposal and one nonresidential proposal.

Sec. 39.

Minnesota Statutes 2010, section 124D.42, subdivision 6, is amended to read:

Subd. 6.

Program training.

The commission must, within available resources:

(1) orient each grantee organization in the nature, philosophy, and purpose of the
program; deleted text begin and
deleted text end

(2) build an ethic of community service through general community service
training deleted text begin . deleted text end new text begin ; and
new text end

new text begin (3) provide guidance on integrating performance-based measurement into program
models.
new text end

Sec. 40.

Minnesota Statutes 2010, section 124D.42, subdivision 8, is amended to read:

Subd. 8.

Minnesota reading corps program.

(a) A Minnesota reading corps
program is established to provide deleted text begin Americorps deleted text end new text begin ServeMinnesota Innovation new text end members with a
data-based problem-solving model of literacy instruction to use in helping to train local
Head Start program providers, other prekindergarten program providers, and staff in
schools with students in kindergarten through grade 3 to evaluate and teach early literacy
skills to children age 3 to grade 3.

(b) Literacy programs under this subdivision must comply with the provisions
governing literacy program goals and data use under section 119A.50, subdivision 3,
paragraph (b).

new text begin (c) The commission must submit a biennial report to the legislature that records
and evaluates literacy program data to determine the efficacy of the programs under this
subdivision.
new text end

Sec. 41.

Minnesota Statutes 2010, section 124D.44, is amended to read:

124D.44 MATCH REQUIREMENTS.

deleted text begin Youthworks deleted text end new text begin ServeMinnesota Innovation new text end grant funds must be used for the living
allowance, cost of employer taxes under sections 3111 and 3301 of the Internal Revenue
Code of 1986, workers' compensation coverage, health benefits new text begin , training and evaluation new text end
for each program participant, and administrative expenses, which must not exceed
deleted text begin five deleted text end new text begin seven new text end percent of total program costs. deleted text begin Youthworks grant funds may also be used to
supplement applicant resources to fund postservice benefits for program participants. deleted text end
Applicant resources, from sources and in a form determined by the commission, must
be used to provide for all other program costs deleted text begin , including the portion of the applicant's
obligation for postservice benefits that is not covered by state or federal grant funds and
such costs as supplies, materials, transportation, and salaries and benefits of those staff
directly involved in the operation, internal monitoring, and evaluation of the program deleted text end .

Sec. 42.

Minnesota Statutes 2010, section 124D.45, subdivision 2, is amended to read:

Subd. 2.

Interim report.

The commission must report deleted text begin semiannually deleted text end new text begin annually new text end to the
legislature with interim recommendations to change the program.

Sec. 43.

Minnesota Statutes 2010, section 124D.52, subdivision 7, is amended to read:

Subd. 7.

Performance tracking system.

(a) By July 1, 2000, each approved adult
basic education program must develop and implement a performance tracking system to
provide information necessary to comply with federal law and serve as one means of
assessing the effectiveness of adult basic education programs. new text begin For required reporting,
longitudinal studies, and program improvement, new text end the tracking system must be designed to
collect data on the following core outcomes for learners who have completed deleted text begin participation deleted text end new text begin
participating new text end in the adult basic education program:

(1) demonstrated improvements in literacy skill levels in reading, writing, speaking
the English language, numeracy, problem solving, English language acquisition, and
other literacy skills;

(2) placement in, retention in, or completion of postsecondary education, training,
unsubsidized employment, or career advancement; deleted text begin and
deleted text end

(3) receipt of a secondary school diploma or its recognized equivalent new text begin ; and
new text end

new text begin (4) reduction in participation in the diversionary work program, Minnesota family
investment program, and food support education and training program new text end .

(b) A district, group of districts, state agency, or private nonprofit organization
providing an adult basic education program may meet this requirement by developing a
tracking system based on either or both of the following methodologies:

(1) conducting a reliable follow-up survey; or

(2) submitting student information, including Social Security numbers for data
matching.

Data related to obtaining employment must be collected in the first quarter following
program completion or can be collected while the student is enrolled, if known. Data
related to employment retention must be collected in the third quarter following program
exit. Data related to any other specified outcome may be collected at any time during a
program year.

(c) When a student in a program is requested to provide the student's Social Security
number, the student must be notified in a written form easily understandable to the student
that:

(1) providing the Social Security number is optional and no adverse action may be
taken against the student if the student chooses not to provide the Social Security number;

(2) the request is made under section 124D.52, subdivision 7;

(3) if the student provides the Social Security number, it will be used to assess the
effectiveness of the program by tracking the student's subsequent career; and

(4) the Social Security number will be shared with the Department of Education;
Minnesota State Colleges and Universities; new text begin Office of Higher Education; Department of
Human Services; new text end and deleted text begin the deleted text end Department of Employment and Economic Development in
order to accomplish the purposes deleted text begin of this section deleted text end new text begin described in paragraph (a) new text end and will not be
used for any other purpose or reported to any other governmental entities.

(d) Annually a district, group of districts, state agency, or private nonprofit
organization providing programs under this section must forward the tracking data
collected to the Department of Education. For the purposes of longitudinal studies on the
employment status of former students under this section, the Department of Education
must forward the Social Security numbers to the Department of Employment and
Economic Development to electronically match the Social Security numbers of former
students with wage detail reports filed under section 268.044. The results of data matches
must, for purposes of this section and consistent with the requirements of the United
States Code, title 29, section 2871, of the Workforce Investment Act of 1998, be compiled
in a longitudinal form by the Department of Employment and Economic Development
and released to the Department of Education in the form of summary data that does not
identify the individual students. The Department of Education may release this summary
data. State funding for adult basic education programs must not be based on the number or
percentage of students who decline to provide their Social Security numbers or on whether
the program is evaluated by means of a follow-up survey instead of data matching.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies through the 2020-2021 school year.
new text end

Sec. 44.

Minnesota Statutes 2010, section 124D.871, is amended to read:

124D.871 MAGNET SCHOOL AND PROGRAM GRANTS.

(a) The commissioner of education, in consultation with the desegregation/integration
office under section 124D.892, shall award grants to school districts and chartered public
schools for planning and developing magnet schools and magnet programs.

(b) Grant recipients must use the grant money under paragraph (a) to establish
or operate a magnet school or a magnet program and provide all students with equal
educational opportunities. Grant recipients may expend grant money on:

(1) teachers who provide instruction or services to students in a magnet school
or magnet program;

(2) educational paraprofessionals who assist teachers in providing instruction or
services to students in a magnet school or magnet program;

(3) clerical support needed to operate a magnet school or magnet program;

(4) equipment, equipment maintenance contracts, materials, supplies, and other
property needed to operate a magnet school or magnet program;

(5) minor remodeling needed to operate a magnet school or magnet program;

(6) transportation for field trips that are part of a magnet school or magnet program
curriculum;

(7) program planning and staff and curriculum development for a magnet school
or magnet program; new text begin and
new text end

(8) disseminating information on magnet schools and magnet programs deleted text begin ; and deleted text end new text begin .
new text end

deleted text begin (9) indirect costs calculated according to the state's statutory formula governing
indirect costs.
deleted text end

Sec. 45.

Minnesota Statutes 2010, section 171.05, subdivision 2, is amended to read:

Subd. 2.

Person less than 18 years of age.

(a) Notwithstanding any provision
in subdivision 1 to the contrary, the department may issue an instruction permit to an
applicant who is 15, 16, or 17 years of age and who:

(1) has completed a course of driver education in another state, has a previously
issued valid license from another state, or is enrolled in either:

(i) a public, private, or commercial driver education program that is approved by
the commissioner of public safety and that includes classroom and behind-the-wheel
training; or

(ii) an approved behind-the-wheel driver education program when the student is
receiving full-time instruction in a home school within the meaning of sections 120A.22
and 120A.24, the student is working toward a homeschool diploma, deleted text begin the student's status
as a homeschool student has been certified by the superintendent of the school district in
which the student resides, and deleted text end the student is taking home-classroom driver training with
classroom materials approved by the commissioner of public safety new text begin , and the student's
parent has certified the student's homeschool and home-classroom driver training status on
the form approved by the commissioner new text end ;

(2) has completed the classroom phase of instruction in the driver education program;

(3) has passed a test of the applicant's eyesight;

(4) has passed a department-administered test of the applicant's knowledge of traffic
laws;

(5) has completed the required application, which must be approved by (i) either
parent when both reside in the same household as the minor applicant or, if otherwise,
then (ii) the parent or spouse of the parent having custody or, in the event there is no
court order for custody, then (iii) the parent or spouse of the parent with whom the minor
is living or, if items (i) to (iii) do not apply, then (iv) the guardian having custody of the
minor, (v) the foster parent or the director of the transitional living program in which the
child resides or, in the event a person under the age of 18 has no living father, mother,
or guardian, or is married or otherwise legally emancipated, then (vi) the applicant's
adult spouse, adult close family member, or adult employer; provided, that the approval
required by this clause contains a verification of the age of the applicant and the identity of
the parent, guardian, adult spouse, adult close family member, or adult employer; and

(6) has paid the fee required in section 171.06, subdivision 2.

(b) new text begin For the purposes of determining compliance with the certification in paragraph
(a), clause (1), item (ii), the commissioner may request verification of a student's
homeschool status from the superintendent of the school district in which the student
resides, and the superintendent shall provide that verification.
new text end

new text begin (c) new text end The instruction permit is valid for two years from the date of application and
may be renewed upon payment of a fee equal to the fee for issuance of an instruction
permit under section 171.06, subdivision 2.

Sec. 46.

Minnesota Statutes 2010, section 171.17, subdivision 1, is amended to read:

Subdivision 1.

Offenses.

(a) The department shall immediately revoke the license
of a driver upon receiving a record of the driver's conviction of:

(1) manslaughter resulting from the operation of a motor vehicle or criminal
vehicular homicide or injury under section 609.21;

(2) a violation of section 169A.20 or 609.487;

(3) a felony in the commission of which a motor vehicle was used;

(4) failure to stop and disclose identity and render aid, as required under section
169.09, in the event of a motor vehicle accident, resulting in the death or personal injury
of another;

(5) perjury or the making of a false affidavit or statement to the department under
any law relating to the new text begin application, new text end ownership new text begin , new text end or operation of a motor vehicle new text begin , including
on the certification required under section 171.05, subdivision 2, paragraph (a), clause (1),
item (ii), to issue an instruction permit to a homeschool student new text end ;

(6) except as this section otherwise provides, three charges of violating within a
period of 12 months any of the provisions of chapter 169 or of the rules or municipal
ordinances enacted in conformance with chapter 169, for which the accused may be
punished upon conviction by imprisonment;

(7) two or more violations, within five years, of the misdemeanor offense described
in section 169.444, subdivision 2, paragraph (a);

(8) the gross misdemeanor offense described in section 169.444, subdivision 2,
paragraph (b);

(9) an offense in another state that, if committed in this state, would be grounds for
revoking the driver's license; or

(10) a violation of an applicable speed limit by a person driving in excess of 100
miles per hour. The person's license must be revoked for six months for a violation of
this clause, or for a longer minimum period of time applicable under section 169A.53,
169A.54, or 171.174.

(b) The department shall immediately revoke the school bus endorsement of a driver
upon receiving a record of the driver's conviction of the misdemeanor offense described in
section 169.443, subdivision 7.

Sec. 47.

Minnesota Statutes 2010, section 171.22, subdivision 1, is amended to read:

Subdivision 1.

Violations.

With regard to any driver's license, including a
commercial driver's license, it shall be unlawful for any person:

(1) to display, cause or permit to be displayed, or have in possession, any fictitious
or fraudulently altered driver's license or Minnesota identification card;

(2) to lend the person's driver's license or Minnesota identification card to any other
person or knowingly permit the use thereof by another;

(3) to display or represent as one's own any driver's license or Minnesota
identification card not issued to that person;

(4) to use a fictitious name or date of birth to any police officer or in any application
for a driver's license or Minnesota identification card, or to knowingly make a false
statement, or to knowingly conceal a material fact, or otherwise commit a fraud in any
such application;

(5) to alter any driver's license or Minnesota identification card;

(6) to take any part of the driver's license examination for another or to permit
another to take the examination for that person;

(7) to make a counterfeit driver's license or Minnesota identification card;

(8) to use the name and date of birth of another person to any police officer for the
purpose of falsely identifying oneself to the police officer; deleted text begin or
deleted text end

(9) to display as a valid driver's license any canceled, revoked, or suspended driver's
license. A person whose driving privileges have been withdrawn may display a driver's
license only for identification purposes new text begin ; or
new text end

new text begin (10) to submit a false affidavit or statement to the department on the certification
required under section 171.05, subdivision 2, paragraph (a), clause (1), item (ii), to issue
an instruction permit to a homeschool student new text end .

Sec. 48.

Minnesota Statutes 2010, section 181A.05, subdivision 1, is amended to read:

Subdivision 1.

When issued.

Any minor 14 or 15 years of age who wishes to work
on school days during school hours shall first secure an employment certificate. The
certificate shall be issued only by the school district superintendent, the superintendent's
agent, deleted text begin or deleted text end some other person designated by the Board of Education new text begin , or by the person
in charge of providing instruction for students enrolled in nonpublic schools under
section 120A.22, subdivision 4 new text end . The employment certificate shall be issued only for
a specific position with a designated employer and shall be issued only in the following
circumstances:

(1) if a minor is to be employed in an occupation not prohibited by rules promulgated
under section 181A.09 and as evidence thereof presents a signed statement from the
prospective employer; and

(2) if the parent or guardian of the minor consents to the employment; and

(3) if the issuing officer believes the minor is physically capable of handling the job
in question and further believes the best interests of the minor will be served by permitting
the minor to work.

Sec. 49.

Laws 2011, chapter 5, section 1, the effective date, is amended to read:

EFFECTIVE DATE.

This section is effective the day following final enactment
and applies to individuals who complete a teacher preparation program deleted text begin by the end of deleted text end new text begin
beginning no later than new text end the 2013-2014 school year deleted text begin or later deleted text end . new text begin The Board of Teaching shall
submit to the kindergarten through grade 12 education finance and reform committees
of the legislature by April 1, 2012, a progress report on its implementation of teacher
performance assessment under paragraph (d).
new text end

Sec. 50. new text begin RECOMMENDATIONS ON COUNSELOR-TO-STUDENT RATIOS.
new text end

new text begin The commissioner must submit to the legislature by January 1, 2012,
recommendations for providing all public school students with access to licensed
counselors so that the counselor-to-student ratio in Minnesota public schools
approximately equals the average counselor-to-student ratio in public schools throughout
the United States, as determined by the American School Counselors Association. The
commissioner also must recommend appropriate professional-to-student ratios for licensed
school psychologists and licensed alcohol and chemical dependency counselors as
determined by the national association representing that particular group of professionals.
new text end

Sec. 51. new text begin 90-DAY GOOD FAITH EFFORT EXCEPTION.
new text end

new text begin Notwithstanding Minnesota Statutes, section 128C.07, subdivision 3, or other law
to the contrary, the Minnesota State High School League must work with Albany Senior
High in Independent School District No. 745, Albany, Melrose Secondary School in
Independent School District No. 740, Melrose, and New London-Spicer Senior High in
Independent School District No. 345, New London-Spicer, to help each school arrange an
interscholastic conference membership after a 90-day good faith attempt by the school to
join a conference.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies through December 31, 2011.
new text end

Sec. 52. new text begin IMPLEMENTING A PERFORMANCE-BASED EVALUATION
SYSTEM FOR PRINCIPALS.
new text end

new text begin (a) To implement the requirements of Minnesota Statutes, sections 123B.143,
subdivision 1, clause (3), and 123B.147, subdivision 3, paragraph (b), the commissioner of
education, the Minnesota Association of Secondary School Principals, and the Minnesota
Association of Elementary School Principals must convene a group of recognized and
qualified experts and interested stakeholders, including principals, superintendents,
teachers, school board members, and parents, among other stakeholders, to develop a
performance-based system model for annually evaluating school principals. In developing
the system model, the group must at least consider how principals develop and maintain:
new text end

new text begin (1) high standards for student performance;
new text end

new text begin (2) rigorous curriculum;
new text end

new text begin (3) quality instruction;
new text end

new text begin (4) a culture of learning and professional behavior;
new text end

new text begin (5) connections to external communities;
new text end

new text begin (6) systemic performance accountability; and
new text end

new text begin (7) leadership behaviors that create effective schools and improve school
performance, including how to plan for, implement, support, advocate for, communicate
about, and monitor continuous and improved learning.
new text end

new text begin The group also may consider whether to establish a multitiered evaluation system
that supports newly licensed principals in becoming highly skilled school leaders and
provides opportunities for advanced learning for more experienced school leaders.
new text end

new text begin (b) The commissioner, the Minnesota Association of Secondary School Principals,
and the Minnesota Association of Elementary School Principals must submit a
written report and all the group's working papers to the education committees of the
legislature by February 1, 2012, discussing the group's responses to paragraph (a) and its
recommendations for a performance-based system model for annually evaluating school
principals. The group convened under this section expires June 1, 2012.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to principal evaluations beginning in the 2013-2014 school year and later.
new text end

Sec. 53. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2010, sections 120A.26, subdivisions 1 and 2; and 124D.38,
subdivisions 4, 5, and 6, new text end new text begin are repealed.
new text end

ARTICLE 3

SPECIAL PROGRAMS

Section 1.

Minnesota Statutes 2010, section 125A.02, subdivision 1, is amended to
read:

Subdivision 1.

Child with a disability.

"Child with a disability" means a child
identified under federal and state special education law as deleted text begin having a hearing impairment,
blindness, visual disability, deleted text end new text begin deaf or hard-of-hearing, blind or visually impaired, deafblind,
or having a new text end speech or language impairment, new text begin a new text end physical deleted text begin disability deleted text end new text begin impairment new text end , other health
deleted text begin impairment deleted text end new text begin disability new text end , deleted text begin mental deleted text end new text begin developmental cognitive new text end disability, deleted text begin emotional/behavioral deleted text end new text begin an
emotional or behavioral new text end disorder, specific learning disability, autism new text begin spectrum disorder new text end ,
traumatic brain injury, new text begin or severe new text end multiple deleted text begin disabilities deleted text end new text begin impairments new text end , deleted text begin or deafblind disability deleted text end new text begin
and new text end who needs special education and related services, as determined by the rules of the
commissioner deleted text begin , is a child with a disability deleted text end . A licensed physician, an advanced practice
nurse, or a licensed psychologist is qualified to make a diagnosis and determination
of attention deficit disorder or attention deficit hyperactivity disorder for purposes of
identifying a child with a disability.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2011.
new text end

Sec. 2.

Minnesota Statutes 2010, section 125A.15, is amended to read:

125A.15 PLACEMENT IN ANOTHER DISTRICT; RESPONSIBILITY.

The responsibility for special instruction and services for a child with a disability
temporarily placed in another district for care and treatment shall be determined in the
following manner:

(a) The district of residence of a child shall be the district in which the child's parent
resides, if living, or the child's guardian deleted text begin , or the district designated by the commissioner if
neither parent nor guardian is living within the state deleted text end . new text begin If there is a dispute between school
districts regarding residency, the commissioner shall designate the district of residence.
new text end

(b) If a district other than the resident district places a pupil for care and treatment,
the district placing the pupil must notify and give the resident district an opportunity to
participate in the placement decision. When an immediate emergency placement of a
pupil is necessary and time constraints foreclose a resident district from participating in
the emergency placement decision, the district in which the pupil is temporarily placed
must notify the resident district of the emergency placement within 15 days. The resident
district has up to five business days after receiving notice of the emergency placement
to request an opportunity to participate in the placement decision, which the placing
district must then provide.

(c) When a child is temporarily placed for care and treatment in a day program
located in another district and the child continues to live within the district of residence
during the care and treatment, the district of residence is responsible for providing
transportation to and from the care and treatment program and an appropriate educational
program for the child. The resident district may establish reasonable restrictions on
transportation, except if a Minnesota court or agency orders the child placed at a day care
and treatment program and the resident district receives a copy of the order, then the
resident district must provide transportation to and from the program unless the court or
agency orders otherwise. Transportation shall only be provided by the resident district
during regular operating hours of the resident district. The resident district may provide the
educational program at a school within the district of residence, at the child's residence, or
in the district in which the day treatment center is located by paying tuition to that district.

(d) When a child is temporarily placed in a residential program for care and
treatment, the nonresident district in which the child is placed is responsible for providing
an appropriate educational program for the child and necessary transportation while the
child is attending the educational program; and must bill the district of the child's residence
for the actual cost of providing the program, as outlined in section 125A.11, except as
provided in paragraph (e). However, the board, lodging, and treatment costs incurred in
behalf of a child with a disability placed outside of the school district of residence by the
commissioner of human services or the commissioner of corrections or their agents, for
reasons other than providing for the child's special educational needs must not become the
responsibility of either the district providing the instruction or the district of the child's
residence. For the purposes of this section, the state correctional facilities operated on a
fee-for-service basis are considered to be residential programs for care and treatment.

(e) A privately owned and operated residential facility may enter into a contract
to obtain appropriate educational programs for special education children and services
with a joint powers entity. The entity with which the private facility contracts for special
education services shall be the district responsible for providing students placed in that
facility an appropriate educational program in place of the district in which the facility is
located. If a privately owned and operated residential facility does not enter into a contract
under this paragraph, then paragraph (d) applies.

(f) The district of residence shall pay tuition and other program costs, not including
transportation costs, to the district providing the instruction and services. The district of
residence may claim general education aid for the child as provided by law. Transportation
costs must be paid by the district responsible for providing the transportation and the state
must pay transportation aid to that district.

Sec. 3.

Minnesota Statutes 2010, section 125A.51, is amended to read:

125A.51 PLACEMENT OF CHILDREN WITHOUT DISABILITIES;
EDUCATION AND TRANSPORTATION.

The responsibility for providing instruction and transportation for a pupil without a
disability who has a short-term or temporary physical or emotional illness or disability, as
determined by the standards of the commissioner, and who is temporarily placed for care
and treatment for that illness or disability, must be determined as provided in this section.

(a) The school district of residence of the pupil is the district in which the pupil's
parent or guardian resides. new text begin If there is a dispute between school districts regarding
residency, the commissioner shall designate the district of residence.
new text end

(b) When parental rights have been terminated by court order, the legal residence
of a child placed in a residential or foster facility for care and treatment is the district in
which the child resides.

(c) Before the placement of a pupil for care and treatment, the district of residence
must be notified and provided an opportunity to participate in the placement decision.
When an immediate emergency placement is necessary and time does not permit
resident district participation in the placement decision, the district in which the pupil is
temporarily placed, if different from the district of residence, must notify the district
of residence of the emergency placement within 15 days of the placement. When a
nonresident district makes an emergency placement without first consulting with the
resident district, the resident district has up to five business days after receiving notice
of the emergency placement to request an opportunity to participate in the placement
decision, which the placing district must then provide.

(d) When a pupil without a disability is temporarily placed for care and treatment
in a day program and the pupil continues to live within the district of residence during
the care and treatment, the district of residence must provide instruction and necessary
transportation to and from the care and treatment program for the pupil. The resident
district may establish reasonable restrictions on transportation, except if a Minnesota court
or agency orders the child placed at a day care and treatment program and the resident
district receives a copy of the order, then the resident district must provide transportation
to and from the program unless the court or agency orders otherwise. Transportation shall
only be provided by the resident district during regular operating hours of the resident
district. The resident district may provide the instruction at a school within the district of
residence, at the pupil's residence, or in the case of a placement outside of the resident
district, in the district in which the day treatment program is located by paying tuition to
that district. The district of placement may contract with a facility to provide instruction
by teachers licensed by the state Board of Teaching.

(e) When a pupil without a disability is temporarily placed in a residential program
for care and treatment, the district in which the pupil is placed must provide instruction
for the pupil and necessary transportation while the pupil is receiving instruction, and in
the case of a placement outside of the district of residence, the nonresident district must
bill the district of residence for the actual cost of providing the instruction for the regular
school year and for summer school, excluding transportation costs.

(f) Notwithstanding paragraph (e), if the pupil is homeless and placed in a public or
private homeless shelter, then the district that enrolls the pupil under section 127A.47,
subdivision 2, shall provide the transportation, unless the district that enrolls the pupil
and the district in which the pupil is temporarily placed agree that the district in which
the pupil is temporarily placed shall provide transportation. When a pupil without a
disability is temporarily placed in a residential program outside the district of residence,
the administrator of the court placing the pupil must send timely written notice of the
placement to the district of residence. The district of placement may contract with a
residential facility to provide instruction by teachers licensed by the state Board of
Teaching. For purposes of this section, the state correctional facilities operated on a
fee-for-service basis are considered to be residential programs for care and treatment.

(g) The district of residence must include the pupil in its residence count of pupil
units and pay tuition as provided in section 123A.488 to the district providing the
instruction. Transportation costs must be paid by the district providing the transportation
and the state must pay transportation aid to that district. For purposes of computing state
transportation aid, pupils governed by this subdivision must be included in the disabled
transportation category if the pupils cannot be transported on a regular school bus route
without special accommodations.

Sec. 4. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2010, section 125A.54, new text end new text begin is repealed.
new text end

ARTICLE 4

FACILITIES AND TECHNOLOGY

Section 1.

Minnesota Statutes 2010, section 123B.57, is amended to read:

123B.57 CAPITAL EXPENDITURE; HEALTH AND SAFETY.

Subdivision 1.

Health and safety deleted text begin program deleted text end new text begin revenue application new text end .

(a) To receive
health and safety revenue for any fiscal year a district must submit to the commissioner
deleted text begin an deleted text end new text begin a capital expenditure health and safety revenue new text end application deleted text begin for aid and levy deleted text end by the
date determined by the commissioner. deleted text begin The application may be for hazardous substance
removal, fire and life safety code repairs, labor and industry regulated facility and
equipment violations, and health, safety, and environmental management, including
indoor air quality management. deleted text end The application must include a health and safety deleted text begin program deleted text end new text begin
budget new text end adopted new text begin and confirmed new text end by the school district board new text begin as being consistent with the
district's health and safety policy under subdivision 2 new text end . The deleted text begin program deleted text end new text begin budget new text end must include
the estimated cost deleted text begin , per building, deleted text end of the program new text begin per Uniform Financial Accounting and
Reporting Standards (UFARS) finance code, new text end by fiscal year. Upon approval through the
adoption of a resolution by each of an intermediate district's member school district
boards and the approval of the Department of Education, a school district may include
its proportionate share of the costs of health and safety projects for an intermediate
district in its application.

(b) Health and safety projects with an estimated cost of $500,000 or more per
site are not eligible for health and safety revenue. Health and safety projects with an
estimated cost of $500,000 or more per site that meet all other requirements for health and
safety funding, are eligible for alternative facilities bonding and levy revenue according
to section 123B.59. A school board shall not separate portions of a single project into
components to qualify for health and safety revenue, and shall not combine unrelated
projects into a single project to qualify for alternative facilities bonding and levy revenue.

new text begin (c) The commissioner of education shall not make eligibility for health and safety
revenue contingent on a district's compliance status, level of program development, or
training. The commissioner shall not mandate additional performance criteria such as
training, certifications, or compliance evaluations as a prerequisite for levy approval.
new text end

Subd. 2.

deleted text begin Contents of program deleted text end new text begin Health and safety policy new text end .

new text begin To qualify for health
and safety revenue, new text end a deleted text begin district deleted text end new text begin school board new text end must adopt a health and safety deleted text begin program deleted text end new text begin policy new text end .
The deleted text begin program deleted text end new text begin policy new text end must include deleted text begin plans, where applicable, for hazardous substance
removal, fire and life safety code repairs, regulated facility and equipment violations,
and deleted text end new text begin provisions for implementing a health and safety program that complies with new text end health,
safety, and environmental deleted text begin management, deleted text end new text begin regulations and best practices new text end including indoor
air quality management.

deleted text begin (a) A hazardous substance plan must contain provisions for the removal or
encapsulation of asbestos from school buildings or property, asbestos-related repairs,
cleanup and disposal of polychlorinated biphenyls found in school buildings or property,
and cleanup, removal, disposal, and repairs related to storing heating fuel or transportation
fuels such as alcohol, gasoline, fuel, oil, and special fuel, as defined in section 296A.01.
If a district has already developed a plan for the removal or encapsulation of asbestos as
required by the federal Asbestos Hazard Emergency Response Act of 1986, the district
may use a summary of that plan, which includes a description and schedule of response
actions, for purposes of this section. The plan must also contain provisions to make
modifications to existing facilities and equipment necessary to limit personal exposure
to hazardous substances, as regulated by the federal Occupational Safety and Health
Administration under Code of Federal Regulations, title 29, part 1910, subpart Z; or is
determined by the commissioner to present a significant risk to district staff or student
health and safety as a result of foreseeable use, handling, accidental spill, exposure, or
contamination.
deleted text end

deleted text begin (b) A fire and life safety plan must contain a description of the current fire and life
safety code violations, a plan for the removal or repair of the fire and life safety hazard,
and a description of safety preparation and awareness procedures to be followed until the
hazard is fully corrected.
deleted text end

deleted text begin (c) A facilities and equipment violation plan must contain provisions to correct
health and safety hazards as provided in Department of Labor and Industry standards
pursuant to section 182.655.
deleted text end

deleted text begin (d) A health, safety, and environmental management plan must contain a description
of training, record keeping, hazard assessment, and program management as defined
in section 123B.56.
deleted text end

deleted text begin (e) A plan to test for and mitigate radon produced hazards.
deleted text end

deleted text begin (f) A plan to monitor and improve indoor air quality.
deleted text end

Subd. 3.

Health and safety revenue.

A district's health and safety revenue
for a fiscal year equals the district's alternative facilities levy under section 123B.59,
subdivision 5, paragraph (b), plus the greater of zero or:

(1) the sum of (a) the total approved cost of the district's hazardous substance
plan for fiscal years 1985 through 1989, plus (b) the total approved cost of the district's
health and safety program for fiscal year 1990 through the fiscal year to which the levy
is attributable, excluding expenditures funded with bonds issued under section 123B.59
or 123B.62, or chapter 475; certificates of indebtedness or capital notes under section
123B.61; levies under section 123B.58, 123B.59, 123B.63, or 126C.40, subdivision 1 or
6; and other federal, state, or local revenues, minus

(2) the sum of (a) the district's total hazardous substance aid and levy for fiscal years
1985 through 1989 under sections 124.245 and 275.125, subdivision 11c, plus (b) the
district's health and safety revenue under this subdivision, for years before the fiscal year
to which the levy is attributable.

Subd. 4.

Health and safety levy.

To receive health and safety revenue, a district
may levy an amount equal to the district's health and safety revenue as defined in
subdivision 3 multiplied by the lesser of one, or the ratio of the quotient derived by
dividing the adjusted net tax capacity of the district for the year preceding the year the
levy is certified by the adjusted marginal cost pupil units in the district for the school year
to which the levy is attributable, to $2,935.

Subd. 5.

Health and safety aid.

A district's health and safety aid is the difference
between its health and safety revenue and its health and safety levy. If a district does not
levy the entire amount permitted, health and safety aid must be reduced in proportion to
the actual amount levied. Health and safety aid may not be reduced as a result of reducing
a district's health and safety levy according to section 123B.79.

Subd. 6.

Uses of health and safety revenue.

deleted text begin (a) deleted text end Health and safety revenue may be
used only for approved expenditures necessary deleted text begin to correct deleted text end new text begin for the correction of new text end fire and life
safety hazards deleted text begin , or for the deleted text end new text begin ; design, purchase, installation, maintenance, and inspection of
fire protection and alarm equipment; purchase or construction of appropriate facilities for
the storage of combustible and flammable materials; inventories and facility modifications
not related to a remodeling project to comply with lab safety requirements under section
121A.31; inspection, testing, repair, new text end removal or encapsulation new text begin , and disposal new text end of deleted text begin asbestos
from school buildings or property owned or being acquired by the district, asbestos-related
repairs, deleted text end new text begin asbestos-containing building materials; new text end cleanup and disposal of polychlorinated
biphenyls deleted text begin found in school buildings or property owned or being acquired by the district,
or the deleted text end new text begin ; cleanup and disposal of hazardous and infectious wastes; new text end cleanup, removal,
disposal, and repairs related to storing heating fuel or transportation fuels such as alcohol,
gasoline, fuel oil, and special fuel, as defined in section 296A.01 deleted text begin , Minnesota deleted text end new text begin ; correction of new text end
occupational safety and health administration regulated deleted text begin facility and equipment deleted text end hazards deleted text begin , deleted text end new text begin ; new text end
indoor air quality new text begin inspections, investigations, and testing; new text end mold abatement deleted text begin , deleted text end new text begin ; new text end upgrades or
replacement of mechanical ventilation systems to meet American Society of Heating,
Refrigerating and Air Conditioning Engineers standards and State Mechanical Code deleted text begin , deleted text end new text begin ;
design, materials, and installation of local exhaust ventilation systems, including required
make-up air for controlling regulated hazardous substances; correction of new text end Department
of Health Food Code deleted text begin and deleted text end new text begin violations; correction of new text end swimming pool hazards excluding
depth correction deleted text begin , deleted text end new text begin ; playground safety inspections, repair of unsafe outdoor playground
equipment, and the installation of impact surfacing materials; bleacher repair or rebuilding
to comply with the order of a building code inspector under section 326B.112; testing and
mitigation of elevated radon hazards; lead testing; copper in water testing; cleanup after
major weather-related disasters or flooding; reduction of excessive organic and inorganic
levels in wells and capping of abandoned wells; installation and testing of boiler backflow
valves to prevent contamination of potable water; vaccinations, titers, and preventative
supplies for bloodborne pathogen compliance; costs to comply with the Janet B. Johnson
Parents' Right to Know Act; automated external defibrillators and other emergency plan
equipment and supplies specific to the district's emergency action plan; new text end and health, safety,
and environmental management new text begin costs associated with implementing the district's health
and safety program including costs to establish and operate safety committees, in school
buildings or property owned or being acquired by the district new text end . Testing and calibration
activities are permitted for existing mechanical ventilation systems at intervals no less than
every five years. deleted text begin Health and safety revenue must not be used to finance a lease purchase
agreement, installment purchase agreement, or other deferred payments agreement. Health
and safety revenue must not be used for the construction of new facilities or the purchase
of portable classrooms, for interest or other financing expenses, or for energy efficiency
projects under section 123B.65. The revenue may not be used for a building or property or
part of a building or property used for postsecondary instruction or administration or for a
purpose unrelated to elementary and secondary education.
deleted text end

new text begin Subd. 6a. new text end

new text begin Restrictions on health and safety revenue. new text end

deleted text begin (b) deleted text end Notwithstanding
deleted text begin paragraph (a) deleted text end new text begin subdivision 6 new text end , health and safety revenue must not be used new text begin :
new text end

new text begin (1) to finance a lease purchase agreement, installment purchase agreement, or other
deferred payments agreement;
new text end

new text begin (2) for the construction of new facilities, remodeling of existing facilities, or the
purchase of portable classrooms;
new text end

new text begin (3) for interest or other financing expenses;
new text end

new text begin (4) for energy-efficiency projects under section 123B.65, for a building or property
or part of a building or property used for postsecondary instruction or administration or for
a purpose unrelated to elementary and secondary education;
new text end

new text begin (5) new text end for replacement of building materials or facilities including roof, walls, windows,
internal fixtures and flooring, nonhealth and safety costs associated with demolition of
facilities, structural repair or replacement of facilities due to unsafe conditions, violence
prevention and facility security, ergonomics, new text begin or public announcement systems and
emergency communication devices; or
new text end

new text begin (6) for new text end building and heating, ventilating and air conditioning supplies, maintenance,
and cleaning activities. All assessments, investigations, inventories, and support
equipment not leading to the engineering or construction of a project shall be included in
the health, safety, and environmental management costs in subdivision 8, paragraph (a).

new text begin Subd. 6b. new text end

new text begin Health and safety projects. new text end

new text begin (a) Health and safety revenue applications
defined in subdivision 1 must be accompanied by a description of each project for which
funding is being requested. Project descriptions must provide enough detail for an auditor
to determine if the work qualifies for revenue. For projects other than fire and life
safety projects, playground projects, and health, safety, and environmental management
activities, a project description does not need to include itemized details such as material
types, room locations, square feet, names, or license numbers. The commissioner
may request supporting information and shall approve only projects that comply with
subdivisions 6 and 8, as defined by the Department of Education.
new text end

new text begin (b) Districts may request funding for allowable projects based on self-assessments,
safety committee recommendations, insurance inspections, management assistance
reports, fire marshal orders, or other mandates. Notwithstanding subdivision 1, paragraph
(b), and subdivision 8, paragraph (b), for projects under $500,000, individual project
size for projects authorized by this subdivision is not limited and may include related
work in multiple facilities. Health and safety management costs from subdivision 8 may
be reported as a single project.
new text end

new text begin (c) All costs directly related to a project shall be reported in the appropriate Uniform
Financial Accounting and Reporting Standards (UFARS) finance code.
new text end

new text begin (d) For fire and life safety egress and all other projects exceeding $20,000, cited
under Minnesota Fire Code, a fire marshal plan review is required.
new text end

new text begin (e) Districts shall update project estimates with actual expenditures for each
fiscal year. If a project's final cost is significantly higher than originally approved, the
commissioner may request additional supporting information.
new text end

new text begin Subd. 6c. new text end

new text begin Appeals process. new text end

new text begin In the event a district is denied funding approval for
a project the district believes complies with subdivisions 6 and 8, and is not otherwise
excluded, a district may appeal the decision. All such requests must be in writing. The
commissioner shall respond in writing. A written request must contain the following:
project number; description and amount; reason for denial; unresolved questions for
consideration; reasons for reconsideration; and a specific statement of what action the
district is requesting.
new text end

Subd. 7.

Proration.

In the event that the health and safety aid available for any year
is prorated, a district having its aid prorated may levy an additional amount equal to the
amount not paid by the state due to proration.

Subd. 8.

Health, safety, and environmental management cost.

(a) new text begin "Health, safety,
and environmental management" is defined in section 123B.56.
new text end

new text begin (b) new text end A district's cost for health, safety, and environmental management is limited to
the lesser of:

(1) actual cost to implement their plan; or

(2) an amount determined by the commissioner, based on enrollment, building
age, and size.

deleted text begin (b) deleted text end new text begin (c) new text end The department may contract with regional service organizations, private
contractors, Minnesota Safety Council, or state agencies to provide management
assistance to school districts for health and safety capital projects. Management assistance
is the development of written programs for the identification, recognition and control of
hazards, and prioritization and scheduling of district health and safety capital projects.
The deleted text begin department deleted text end new text begin commissioner new text end shall not new text begin mandate management assistance or new text end exclude
private contractors from the opportunity to provide any health and safety services to
school districts.

deleted text begin (c) Notwithstanding paragraph (b), the department may approve revenue, up to
the limit defined in paragraph (a) for districts having an approved health, safety, and
environmental management plan that uses district staff to accomplish coordination and
provided services.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2011.
new text end

Sec. 2.

Minnesota Statutes 2010, section 123B.71, subdivision 5, is amended to read:

Subd. 5.

Final plans.

If a construction contract has not been awarded within two
years of approval, the approval shall not be valid. After approval, final plans and the
approval shall be deleted text begin filed with deleted text end new text begin made available, if requested, to new text end the commissioner of education.
If substantial changes are made to new text begin the initial new text end approved plans, documents reflecting
the changes shall be submitted to the commissioner for approval. Upon completing a
project, the school board shall certify to the commissioner that the project was completed
according to the approved plans.

Sec. 3.

Minnesota Statutes 2010, section 123B.72, subdivision 3, is amended to read:

Subd. 3.

Certification.

Prior to occupying or reoccupying a school facility affected
by this section, a school board or its designee shall submit a document prepared by a
system inspector to the building official or to the commissioner, verifying that the facility's
heating, ventilation, and air conditioning system has been installed and operates according
to design specifications and code, according to section 123B.71, subdivision 9, clause
deleted text begin (11) deleted text end new text begin (12) new text end . A systems inspector shall also verify that the facility's design will provide
the ability for monitoring of outdoor airflow and total airflow of ventilation systems in
new school facilities and that any heating, ventilation, or air conditioning system that is
installed or modified for a project subject to this section must provide a filtration system
with a current ASHRAE standard.

Sec. 4. new text begin HEALTH AND SAFETY POLICY.
new text end

new text begin Notwithstanding Minnesota Statutes, section 123B.57, subdivision 2, a school board
that has not yet adopted a health and safety policy by September 30, 2011, may submit an
application for health and safety revenue for taxes payable in 2012 in the form and manner
specified by the commissioner of education.
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 5

ACCOUNTING

Section 1.

Minnesota Statutes 2010, section 127A.42, subdivision 2, is amended to
read:

Subd. 2.

Violations of law.

The commissioner may reduce or withhold the district's
state aid for any school year whenever the board of the district authorizes or permits
violations of law within the district by:

(1) employing a teacher new text begin in a public school, including a charter school, new text end who does not
hold a valid teaching license or deleted text begin permit in a public school deleted text end new text begin have appropriate permission to
teach from the Board of Teaching new text end ;

(2) noncompliance with a mandatory rule of general application promulgated by the
commissioner in accordance with statute, unless special circumstances make enforcement
inequitable, impose an extraordinary hardship on the district, or the rule is contrary to
the district's best interests;

(3) the district's continued performance of a contract made for the rental of rooms
or buildings for school purposes or for the rental of any facility owned or operated by or
under the direction of any private organization, if the contract has been disapproved, the
time for review of the determination of disapproval has expired, and no proceeding for
review is pending;

(4) any practice which is a violation of sections 1 and 2 of article 13 of the
Constitution of the state of Minnesota;

(5) failure to reasonably provide for a resident pupil's school attendance under
Minnesota Statutes;

(6) noncompliance with state laws prohibiting discrimination because of race,
color, creed, religion, national origin, sex, age, marital status, status with regard to
public assistance or disability, as defined in sections 363A.08 to 363A.19 and 363A.28,
subdivision 10; or

(7) using funds contrary to the statutory purpose of the funds.

The reduction or withholding must be made in the amount and upon the procedure
provided in this section new text begin or, in the case of a violation under clause (1), using the procedure
provided in section 127A.43 new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2011.
new text end

Sec. 2.

Minnesota Statutes 2010, section 127A.43, is amended to read:

127A.43 DISTRICT EMPLOYMENT OF UNLICENSED TEACHERS; AID
REDUCTION.

When a district new text begin or charter school new text end employs one or more teachers who do not hold
a valid teaching license, state aid deleted text begin shall deleted text end new text begin may new text end be deleted text begin withheld deleted text end new text begin reduced new text end in the proportion that
the number of such teachers is to the total number of teachers employed by the district,
multiplied by 60 percent of the basic revenue, as defined in section 126C.10, subdivision
2, of the district for the year in which the employment occurred.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2011.
new text end

Sec. 3.

Minnesota Statutes 2010, section 127A.45, is amended by adding a subdivision
to read:

new text begin Subd. 17. new text end

new text begin Payment to creditors. new text end

new text begin Except where otherwise specifically authorized,
state education aid payments shall be made only to the school district, charter school, or
other education organization earning state aid revenues as a result of providing education
services.
new text end

ARTICLE 6

EARLY CHILDHOOD EDUCATION

Section 1.

Minnesota Statutes 2010, section 119A.50, subdivision 3, is amended to read:

Subd. 3.

Early childhood literacy programs.

(a) A research-based early childhood
literacy program premised on actively involved parents, ongoing professional staff
development, and high quality early literacy program standards is established to increase
the literacy skills of children participating in Head Start to prepare them to be successful
readers and to increase families' participation in providing early literacy experiences to
their children. Program providers must:

(1) work to prepare children to be successful learners;

(2) work to close the achievement gap for at-risk children;

(3) use an integrated approach to early literacy that daily offers a literacy-rich
classroom learning environment composed of books, writing materials, writing centers,
labels, rhyming, and other related literacy materials and opportunities;

(4) support children's home language while helping the children master English and
use multiple literacy strategies to provide a cultural bridge between home and school;

(5) use literacy mentors, ongoing literacy groups, and other teachers and staff to
provide appropriate, extensive professional development opportunities in early literacy
and classroom strategies for preschool teachers and other preschool staff;

(6) use ongoing data-based assessments that enable preschool teachers to understand,
plan, and implement literacy strategies, activities, and curriculum that meet children's
literacy needs and continuously improve children's literacy; and

(7) foster participation by parents, community stakeholders, literacy advisors, and
evaluation specialists.

Program providers are encouraged to collaborate with qualified, community-based
early childhood providers in implementing this program and to seek nonstate funds to
supplement the program.

(b) Program providers under paragraph (a) interested in extending literacy programs
to children in kindergarten through grade 3 may elect to form a partnership with an
eligible organization under section 124D.38, subdivision 2, or 124D.42, subdivision 6,
clause (3), schools enrolling children in kindergarten through grade 3, and other interested
and qualified community-based entities to provide ongoing literacy programs that offer
seamless literacy instruction focused on closing the literacy achievement gap. To close
the literacy achievement gap by the end of third grade, partnership members must agree
to use best efforts and practices and to work collaboratively to implement a seamless
literacy model from age three to grade 3, consistent with paragraph (a) new text begin and sections
120B.115, 120B.12, and 122A.06 new text end . Literacy programs under this paragraph must collect
and use literacy data to:

(1) evaluate children's literacy skills; and

(2) formulate specific intervention strategies to provide reading instruction to
children premised on the outcomes of formative and summative assessments and
research-based indicators of literacy development.

The literacy programs under this paragraph also must train teachers and other
providers working with children to use the assessment outcomes under clause (2) to
develop and use effective, long-term literacy coaching models that are specific to the
program providers.

deleted text begin (c) The commissioner must collect and evaluate literacy data on children from deleted text end deleted text begin age
three to grade 3 who participate in literacy programs deleted text end deleted text begin under this section deleted text end deleted text begin to deleted text end deleted text begin determine the
efficacy of early literacy programs on children's success in developing the deleted text end deleted text begin literacy skills
that they need for long-term academic success and the programs' success in deleted text end deleted text begin closing the
literacy achievement gap. Annually by February 1, the commissioner must deleted text end deleted text begin report to
the education policy and finance committees of the legislature on the ongoing deleted text end deleted text begin impact
of these programs.
deleted 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. 2.

Minnesota Statutes 2010, section 121A.17, subdivision 3, is amended to read:

Subd. 3.

Screening program.

(a) A screening program must include at least the
following components: developmental assessments, hearing and vision screening or
referral, immunization review and referral, the child's height and weight, identification
of risk factors that may influence learning, an interview with the parent about the child,
and referral for assessment, diagnosis, and treatment when potential needs are identified.
The district and the person performing or supervising the screening must provide a
parent or guardian with clear written notice that the parent or guardian may decline to
answer questions or provide information about family circumstances that might affect
development and identification of risk factors that may influence learning. new text begin The notice
must state "Early childhood developmental screening helps a school district identify
children who may benefit from district and community resources available to help in their
development. Early childhood developmental screening includes a vision screening that
helps detect potential eye problems but is not a substitute for a comprehensive eye exam
by an ophthalmologist or optometrist." new text end The notice must clearly state that declining to
answer questions or provide information does not prevent the child from being enrolled
in kindergarten or first grade if all other screening components are met. If a parent or
guardian is not able to read and comprehend the written notice, the district and the person
performing or supervising the screening must convey the information in another manner.
The notice must also inform the parent or guardian that a child need not submit to the
district screening program if the child's health records indicate to the school that the child
has received comparable developmental screening performed within the preceding 365
days by a public or private health care organization or individual health care provider.
The notice must be given to a parent or guardian at the time the district initially provides
information to the parent or guardian about screening and must be given again at the
screening location.

(b) All screening components shall be consistent with the standards of the state
commissioner of health for early developmental screening programs. A developmental
screening program must not provide laboratory tests or a physical examination to any
child. The district must request from the public or private health care organization or the
individual health care provider the results of any laboratory test or physical examination
within the 12 months preceding a child's scheduled screening.

(c) If a child is without health coverage, the school district must refer the child to an
appropriate health care provider.

(d) A board may offer additional components such as nutritional, physical and
dental assessments, review of family circumstances that might affect development, blood
pressure, laboratory tests, and health history.

(e) If a statement signed by the child's parent or guardian is submitted to the
administrator or other person having general control and supervision of the school that
the child has not been screened because of conscientiously held beliefs of the parent
or guardian, the screening is not required.

ARTICLE 7

STUDENT TRANSPORTATION

Section 1.

Minnesota Statutes 2010, section 123B.92, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

For purposes of this section and section 125A.76, the
terms defined in this subdivision have the meanings given to them.

(a) "Actual expenditure per pupil transported in the regular and excess transportation
categories" means the quotient obtained by dividing:

(1) the sum of:

(i) all expenditures for transportation in the regular category, as defined in paragraph
(b), clause (1), and the excess category, as defined in paragraph (b), clause (2), plus

(ii) an amount equal to one year's depreciation on the district's school bus fleet
and mobile units computed on a straight line basis at the rate of 15 percent per year for
districts operating a program under section 124D.128 for grades 1 to 12 for all students in
the district and 12-1/2 percent per year for other districts of the cost of the fleet, plus

(iii) an amount equal to one year's depreciation on the district's type III vehicles, as
defined in section 169.011, subdivision 71, which must be used a majority of the time for
pupil transportation purposes, computed on a straight line basis at the rate of 20 percent
per year of the cost of the type three school buses by:

(2) the number of pupils eligible for transportation in the regular category, as defined
in paragraph (b), clause (1), and the excess category, as defined in paragraph (b), clause (2).

(b) "Transportation category" means a category of transportation service provided to
pupils as follows:

(1) Regular transportation is:

(i) transportation to and from school during the regular school year for resident
elementary pupils residing one mile or more from the public or nonpublic school they
attend, and resident secondary pupils residing two miles or more from the public
or nonpublic school they attend, excluding desegregation transportation and noon
kindergarten transportation; but with respect to transportation of pupils to and from
nonpublic schools, only to the extent permitted by sections 123B.84 to 123B.87;

(ii) transportation of resident pupils to and from language immersion programs;

(iii) transportation of a pupil who is a custodial parent and that pupil's child between
the pupil's home and the child care provider and between the provider and the school, if
the home and provider are within the attendance area of the school;

(iv) transportation to and from or board and lodging in another district, of resident
pupils of a district without a secondary school; and

(v) transportation to and from school during the regular school year required under
subdivision 3 for nonresident elementary pupils when the distance from the attendance
area border to the public school is one mile or more, and for nonresident secondary pupils
when the distance from the attendance area border to the public school is two miles or
more, excluding desegregation transportation and noon kindergarten transportation.

For the purposes of this paragraph, a district may designate a licensed day care
facility, school day care facility, respite care facility, the residence of a relative, or the
residence of a person new text begin or other location new text end chosen by the pupil's parent or guardian, or an
after-school program for children operated by a political subdivision of the state, as the
home of a pupil for part or all of the day, if requested by the pupil's parent or guardian,
and if that facility, residence, or program is within the attendance area of the school the
pupil attends.

(2) Excess transportation is:

(i) transportation to and from school during the regular school year for resident
secondary pupils residing at least one mile but less than two miles from the public or
nonpublic school they attend, and transportation to and from school for resident pupils
residing less than one mile from school who are transported because of new text begin full-service school
zones, new text end extraordinary traffic, drug, or crime hazards; and

(ii) transportation to and from school during the regular school year required under
subdivision 3 for nonresident secondary pupils when the distance from the attendance area
border to the school is at least one mile but less than two miles from the public school
they attend, and for nonresident pupils when the distance from the attendance area border
to the school is less than one mile from the school and who are transported because of
new text begin full-service school zones, new text end extraordinary traffic, drug, or crime hazards.

(3) Desegregation transportation is transportation within and outside of the district
during the regular school year of pupils to and from schools located outside their normal
attendance areas under a plan for desegregation mandated by the commissioner or under
court order.

(4) "Transportation services for pupils with disabilities" is:

(i) transportation of pupils with disabilities who cannot be transported on a regular
school bus between home or a respite care facility and school;

(ii) necessary transportation of pupils with disabilities from home or from school to
other buildings, including centers such as developmental achievement centers, hospitals,
and treatment centers where special instruction or services required by sections 125A.03
to 125A.24, 125A.26 to 125A.48, and 125A.65 are provided, within or outside the district
where services are provided;

(iii) necessary transportation for resident pupils with disabilities required by sections
125A.12, and 125A.26 to 125A.48;

(iv) board and lodging for pupils with disabilities in a district maintaining special
classes;

(v) transportation from one educational facility to another within the district for
resident pupils enrolled on a shared-time basis in educational programs, and necessary
transportation required by sections 125A.18, and 125A.26 to 125A.48, for resident pupils
with disabilities who are provided special instruction and services on a shared-time basis
or if resident pupils are not transported, the costs of necessary travel between public
and private schools or neutral instructional sites by essential personnel employed by the
district's program for children with a disability;

(vi) transportation for resident pupils with disabilities to and from board and lodging
facilities when the pupil is boarded and lodged for educational purposes; and

(vii) services described in clauses (i) to (vi), when provided for pupils with
disabilities in conjunction with a summer instructional program that relates to the pupil's
individual education plan or in conjunction with a learning year program established
under section 124D.128.

For purposes of computing special education initial aid under section 125A.76,
subdivision 2, the cost of providing transportation for children with disabilities includes
(A) the additional cost of transporting a homeless student from a temporary nonshelter
home in another district to the school of origin, or a formerly homeless student from a
permanent home in another district to the school of origin but only through the end of the
academic year; and (B) depreciation on district-owned school buses purchased after July 1,
2005, and used primarily for transportation of pupils with disabilities, calculated according
to paragraph (a), clauses (ii) and (iii). Depreciation costs included in the disabled
transportation category must be excluded in calculating the actual expenditure per pupil
transported in the regular and excess transportation categories according to paragraph (a).

(5) "Nonpublic nonregular transportation" is:

(i) transportation from one educational facility to another within the district for
resident pupils enrolled on a shared-time basis in educational programs, excluding
transportation for nonpublic pupils with disabilities under clause (4);

(ii) transportation within district boundaries between a nonpublic school and a
public school or a neutral site for nonpublic school pupils who are provided pupil support
services pursuant to section 123B.44; and

(iii) late transportation home from school or between schools within a district for
nonpublic school pupils involved in after-school activities.

(c) "Mobile unit" means a vehicle or trailer designed to provide facilities for
educational programs and services, including diagnostic testing, guidance and counseling
services, and health services. A mobile unit located off nonpublic school premises is a
neutral site as defined in section 123B.41, subdivision 13.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2011.
new text end

Sec. 2.

Minnesota Statutes 2010, section 123B.92, subdivision 5, is amended to read:

Subd. 5.

District reports.

(a) Each district must report data to the department as
required by the department to account for transportation expenditures.

(b) Salaries and fringe benefits of district employees whose primary duties are
other than transportation, including central office administrators and staff, building
administrators and staff, teachers, social workers, school nurses, and instructional aides,
must not be included in a district's transportation expenditures, except that a district may
include salaries and benefits according to paragraph (c) for (1) an employee designated
as the district transportation director, (2) an employee providing direct support to the
transportation director, or (3) an employee providing direct transportation services such as
a bus driver or bus aide.

(c) Salaries and fringe benefits of the district employees listed in paragraph (b),
clauses (1), (2), and (3), who work part time in transportation and part time in other areas
must not be included in a district's transportation expenditures unless the district maintains
documentation of the employee's time spent on pupil transportation matters in the form
and manner prescribed by the department.

(d) Pupil transportation expenditures, excluding expenditures for capital outlay,
leased buses, student board and lodging, crossing guards, and aides on buses, must be
allocated among transportation categories based on cost-per-mile deleted text begin , deleted text end new text begin or new text end cost-per-student deleted text begin ,
cost-per-hour, or cost-per-route, deleted text end regardless of whether the transportation services are
provided on district-owned or contractor-owned school buses. Expenditures for school
bus driver salaries and fringe benefits may either be directly charged to the appropriate
transportation category or may be allocated among transportation categories based
on cost-per-mile deleted text begin , deleted text end new text begin or new text end cost-per-student deleted text begin , cost-per-hour, or cost-per-route deleted text end . Expenditures
by private contractors or individuals who provide transportation exclusively in one
transportation category must be charged directly to the appropriate transportation category.
Transportation services provided by contractor-owned school bus companies incorporated
under different names but owned by the same individual or group of individuals must be
treated as the same company for cost allocation purposes.

new text begin (e) Notwithstanding paragraph (d), districts contracting for transportation services
are exempt from the standard cost allocation method for authorized and nonauthorized
transportation categories if the district: (1) bids its contracts separately for authorized
and nonauthorized transportation categories and for special transportation separately
from regular and excess transportation; (2) receives bids or quotes from more than one
vendor for these transportation categories; and (3) the district's cost-per-mile does not
vary more than ten percent among categories, excluding the salaries and fringe benefits
of bus aides. If the costs reported by the district for contractor-owned operations vary
by more than ten percent among categories, the department shall require the district to
reallocate its transportation costs, excluding the salaries and fringe benefits of bus aides,
among all categories.
new text end