HF 1948

as introduced - 83rd Legislature (2003 - 2004) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to education finance; modifying the 
  1.3             referendum aid adjustment for open enrollment 
  1.4             students; altering the statewide property tax; 
  1.5             amending Minnesota Statutes 2003 Supplement, sections 
  1.6             127A.47, subdivision 7; 275.025, subdivision 1.  
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 2003 Supplement, section 
  1.9   127A.47, subdivision 7, is amended to read: 
  1.10     Subd. 7.  [ALTERNATIVE ATTENDANCE PROGRAMS.] The general 
  1.11  education aid for districts must be adjusted for each pupil 
  1.12  attending a nonresident district under sections 123A.05 to 
  1.13  123A.08, 124D.03, 124D.06, 124D.08, and 124D.68.  The 
  1.14  adjustments must be made according to this subdivision. 
  1.15     (a) General education aid paid to a resident district must 
  1.16  be reduced by an amount equal to the referendum equalization aid 
  1.17  attributable to the pupil in the resident district. 
  1.18     (b) General education aid paid to a district serving a 
  1.19  pupil in programs listed in this subdivision must be increased 
  1.20  by an amount equal to the greater of (1) the referendum 
  1.21  equalization aid attributable to the pupil in the nonresident 
  1.22  district.; or (2) the product of the district's open enrollment 
  1.23  concentration index, the maximum amount of referendum revenue in 
  1.24  the first tier, and the district's net open enrollment pupil 
  1.25  units for that year.  A district's open enrollment concentration 
  1.26  equals the greater of zero, or the lesser of 1.0, or the ratio 
  2.1   of the district's number of net open enrollment pupil units for 
  2.2   that year divided by its resident pupil units for that year to 
  2.3   .50.  
  2.4      (c) If the amount of the reduction to be made from the 
  2.5   general education aid of the resident district is greater than 
  2.6   the amount of general education aid otherwise due the district, 
  2.7   the excess reduction must be made from other state aids due the 
  2.8   district. 
  2.9      (d) The district of residence must pay tuition to a 
  2.10  district or an area learning center, operated according to 
  2.11  paragraph (e), providing special instruction and services to a 
  2.12  pupil with a disability, as defined in section 125A.02, or a 
  2.13  pupil, as defined in section 125A.51, who is enrolled in a 
  2.14  program listed in this subdivision.  The tuition must be equal 
  2.15  to (1) the actual cost of providing special instruction and 
  2.16  services to the pupil, including a proportionate amount for debt 
  2.17  service and for capital expenditure facilities and equipment, 
  2.18  and debt service but not including any amount for 
  2.19  transportation, minus (2) the amount of general education 
  2.20  revenue and special education aid but not including any amount 
  2.21  for transportation, attributable to that pupil, that is received 
  2.22  by the district providing special instruction and services. 
  2.23     (e) An area learning center operated by a service 
  2.24  cooperative, intermediate district, education district, or a 
  2.25  joint powers cooperative may elect through the action of the 
  2.26  constituent boards to charge the resident district tuition for 
  2.27  pupils rather than to have the general education revenue paid to 
  2.28  a fiscal agent school district.  Except as provided in paragraph 
  2.29  (d), the district of residence must pay tuition equal to at 
  2.30  least 90 percent of the district average general education 
  2.31  revenue per pupil unit minus an amount equal to the product of 
  2.32  the formula allowance according to section 126C.10, subdivision 
  2.33  2, times .0485, calculated without basic skills revenue and 
  2.34  transportation sparsity revenue, times the number of pupil units 
  2.35  for pupils attending the area learning center, plus the amount 
  2.36  of compensatory revenue generated by pupils attending the area 
  3.1   learning center. 
  3.2      [EFFECTIVE DATE.] This section is effective for revenue for 
  3.3   fiscal year 2005. 
  3.4      Sec. 2.  Minnesota Statutes 2003 Supplement, section 
  3.5   275.025, subdivision 1, is amended to read: 
  3.6      Subdivision 1.  [LEVY AMOUNT.] The state general levy is 
  3.7   levied against commercial-industrial property and seasonal 
  3.8   residential recreational property, as defined in this section.  
  3.9   The state general levy base amount is $592,000,000 for taxes 
  3.10  payable in 2002.  The base amount is increased by $2,000,000 for 
  3.11  taxes payable in 2005 and later.  For taxes payable in 
  3.12  subsequent years, the levy base amount is increased each year by 
  3.13  multiplying the levy base amount for the prior year by the sum 
  3.14  of one plus the rate of increase, if any, in the implicit price 
  3.15  deflator for government consumption expenditures and gross 
  3.16  investment for state and local governments prepared by the 
  3.17  Bureau of Economic Analysts of the United States Department of 
  3.18  Commerce for the 12-month period ending March 31 of the year 
  3.19  prior to the year the taxes are payable.  The tax under this 
  3.20  section is not treated as a local tax rate under section 469.177 
  3.21  and is not the levy of a governmental unit under chapters 276A 
  3.22  and 473F.  
  3.23     The commissioner shall increase or decrease the preliminary 
  3.24  or final rate for a year as necessary to account for errors and 
  3.25  tax base changes that affected a preliminary or final rate for 
  3.26  either of the two preceding years.  Adjustments are allowed to 
  3.27  the extent that the necessary information is available to the 
  3.28  commissioner at the time the rates for a year must be certified, 
  3.29  and for the following reasons: 
  3.30     (1) an erroneous report of taxable value by a local 
  3.31  official; 
  3.32     (2) an erroneous calculation by the commissioner; and 
  3.33     (3) an increase or decrease in taxable value for 
  3.34  commercial-industrial or seasonal residential recreational 
  3.35  property reported on the abstracts of tax lists submitted under 
  3.36  section 275.29 that was not reported on the abstracts of 
  4.1   assessment submitted under section 270.11, subdivision 2, for 
  4.2   the same year. 
  4.3   The commissioner may, but need not, make adjustments if the 
  4.4   total difference in the tax levied for the year would be less 
  4.5   than $100,000. 
  4.6      [EFFECTIVE DATE.] This section is effective for taxes 
  4.7   payable in 2005.