HF 2

as introduced - 90th Legislature, 2017 1st Special Session (2017 - 2017) Posted on 05/31/2017 11:34am

A bill for an act
relating to education finance; providing funding in early childhood, kindergarten
through grade 12, and adult education, including general education, education
excellence, teachers, special education, facilities and technology, nutrition, libraries,
early childhood and family support, community education and prevention,
self-sufficiency and lifelong learning, and state agencies; making forecast
adjustments; restructuring Minnesota's teacher licensing system; establishing and
transferring all teacher licensing and support personnel licensing and credentialing
authority to the Professional Educator Licensing and Standards Board; providing
for rulemaking; requiring a report; appropriating money; amending Minnesota
Statutes 2016, sections 43A.08, subdivisions 1, 1a; 120A.22, subdivision 9;
120A.41; 120B.021, subdivisions 1, 3; 120B.022, subdivision 1b; 120B.12,
subdivisions 2, 2a, 3; 120B.125; 120B.132; 120B.22, subdivision 2; 120B.23,
subdivision 3; 120B.232, subdivision 1; 120B.30, subdivision 1; 120B.31,
subdivisions 4, 4a, by adding a subdivision; 120B.35, subdivision 3; 120B.36,
subdivision 1; 121A.22, subdivision 2; 121A.221; 122A.14, subdivision 9; 122A.18,
subdivisions 7c, 8; 122A.21, subdivisions 1, 2, by adding a subdivision; 122A.40,
subdivision 10; 122A.41, by adding a subdivision; 122A.414, subdivision 2;
122A.415, subdivision 4; 122A.416; 123A.30, subdivision 6; 123A.73, subdivision
2; 123B.41, subdivisions 2, 5a; 123B.52, subdivision 1, by adding a subdivision;
123B.595, subdivisions 1, 4; 123B.71, subdivisions 11, 12; 123B.92, subdivision
1; 124D.03, subdivision 5a; 124D.05, subdivision 3; 124D.09, subdivisions 3, 5,
10, 12, 13, by adding subdivisions; 124D.1158, subdivisions 3, 4; 124D.165,
subdivisions 1, 2, 3, 4; 124D.52, subdivision 7; 124D.549; 124D.55; 124D.59,
subdivision 2; 124D.68, subdivision 2; 124D.695; 124D.83, subdivision 2; 124E.03,
subdivision 2; 124E.05, subdivision 7; 124E.11; 124E.22; 125A.083; 125A.0941;
125A.11, subdivision 1; 125A.21, subdivision 2; 125A.515; 125A.56, subdivision
1; 125A.74, subdivision 1; 125A.76, subdivision 2c; 126C.05, subdivisions 1, 8;
126C.10, subdivisions 2, 2a, 3, 13a, by adding a subdivision; 126C.17, subdivision
9; 127A.45, subdivision 10; 129C.10, subdivisions 1, 4; 129C.105; 134.31,
subdivision 2; 136A.1791, subdivisions 1, 2, 9; 256B.0625, subdivision 26; 256J.08,
subdivisions 38, 39; 297A.70, subdivision 2; Laws 2015, First Special Session
chapter 3, article 1, section 27, subdivisions 2, as amended, 3, 4, as amended, 6,
as amended, 7, as amended, 9, as amended; article 2, section 70, subdivisions 2,
as amended, 3, as amended, 4, as amended, 5, as amended, 7, as amended, 11, as
amended; article 4, section 9, subdivision 2, as amended; article 5, section 30,
subdivisions 2, as amended, 3, as amended, 5, as amended, 6; article 6, section 13,
subdivisions 2, as amended, 3, as amended; article 7, section 7, subdivisions 2, as
amended, 3, as amended, 4, as amended; article 9, section 8, subdivisions 5, as
amended, 6, as amended; article 10, section 3, subdivision 2, as amended; article
11, section 3, subdivision 2, as amended; Laws 2016, chapter 189, article 25,
sections 58; 62, subdivisions 7, 11, 17; article 30, section 25, subdivision 5;
proposing coding for new law in Minnesota Statutes, chapters 120A; 120B; 121A;
122A; 124D; 129C; 136A; repealing Minnesota Statutes 2016, sections 122A.40,
subdivision 11; 122A.41, subdivision 14; 123A.73, subdivision 3; 124D.151;
124D.73, subdivision 2; 125A.75, subdivision 7; 125A.76, subdivision 2b; 129C.10,
subdivision 5a; 129C.30; Minnesota Rules, part 3500.3100, subpart 4.

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

ARTICLE 1

GENERAL EDUCATION

Section 1.

Minnesota Statutes 2016, section 120A.41, is amended to read:

120A.41 LENGTH OF SCHOOL YEAR; HOURS OF INSTRUCTION.

(a) A school board's annual school calendar must include at least 425 hours of instruction
for a kindergarten student without a disability, 935 hours of instruction for a student in
grades 1 through 6, and 1,020 hours of instruction for a student in grades 7 through 12, not
including summer school. The school calendar for all-day kindergarten must include at least
850 hours of instruction for the school year. The school calendar for a prekindergarten
student under section 124D.151, if offered by the district, must include at least 350 hours
of instruction for the school year. A school board's annual calendar must include at least
165 days of instruction for a student in grades 1 through 11 unless a four-day week schedule
has been approved by the commissioner under section 124D.126.

(b) A school board's annual school calendar may include plans for up to five days of
instruction provided through online instruction due to inclement weather. The inclement
weather plans must be developed according to section 120A.414.

Sec. 2.

[120A.414] E-LEARNING DAYS.

Subdivision 1.

Days.

"E-learning day" means a school day where a school offers full
access to online instruction provided by students' individual teachers due to inclement
weather. A school district or charter school that chooses to have e-learning days may have
up to five e-learning days in one school year. An e-learning day is counted as a day of
instruction and included in the hours of instruction under section 120A.41.

Subd. 2.

Plan.

A school board may adopt an e-learning day plan after consulting with
the exclusive representative of the teachers. A charter school may adopt an e-learning day
plan after consulting with its teachers. The plan must include accommodations for students
without Internet access at home and for digital device access for families without the
technology or an insufficient amount of technology for the number of children in the
household. A school's e-learning day plan must provide accessible options for students with
disabilities under chapter 125A.

Subd. 3.

Annual notice.

A school district or charter school must notify parents and
students of the e-learning day plan at the beginning of the school year.

Subd. 4.

Daily notice.

On an e-learning day declared by the school, a school district or
charter school must notify parents and students at least two hours prior to the normal school
start time that students need to follow the e-learning day plan for that day.

Subd. 5.

Teacher access.

Each student's teacher must be accessible both online and by
telephone during normal school hours on an e-learning day to assist students and parents.

EFFECTIVE DATE.

This section is effective for the 2017-2018 school year and later.

Sec. 3.

Minnesota Statutes 2016, section 121A.22, subdivision 2, is amended to read:

Subd. 2.

Exclusions.

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

(1) purchased without a prescription;

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

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

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

(5) used off the school grounds;

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

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

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

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

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

Sec. 4.

Minnesota Statutes 2016, section 121A.221, is amended to read:

121A.221 POSSESSION AND USE OF ASTHMA INHALERS BY ASTHMATIC
STUDENTS.

(a) Consistent with section 121A.22, subdivision 2, clause (9), in a school district that
employs a school nurse or provides school nursing services under another arrangement, the
school nurse or other appropriate party must assess the student's knowledge and skills to
safely possess and use an asthma inhaler in a school setting and enter into the student's
school health record a plan to implement safe possession and use of asthma inhalers.

(b) Consistent with section 121A.22, subdivision 2, clause (9), in a school that does not
have a school nurse or school nursing services, the student's parent or guardian must submit
written verification from the prescribing professional that documents an assessment of the
student's knowledge and skills to safely possess and use an asthma inhaler in a school setting
has been completed.

Sec. 5.

Minnesota Statutes 2016, section 123B.41, subdivision 2, is amended to read:

Subd. 2.

Textbook.

(a) "Textbook" means any book or book substitute, including
electronic books as well as other printed materials delivered electronically, 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. Textbook includes an online book with an annual subscription cost.

(b) For purposes of calculating the annual nonpublic pupil aid entitlement for textbooks,
the term shall be limited to books, workbooks, or manuals, whether bound or in loose-leaf
form, as well as electronic books and other printed materials delivered electronically,
intended for use as a principal source of study material for a given class or a group of
students.

(c) For purposes of sections 123B.40 to 123B.48, the terms "textbook" and "software
or other educational technology" include only such secular, neutral, and nonideological
materials as are available, used by, or of benefit to Minnesota public school pupils.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2018 and later.

Sec. 6.

Minnesota Statutes 2016, section 123B.41, subdivision 5a, is amended to read:

Subd. 5a.

Software or other educational technology.

For purposes of sections 123B.42
and 123B.43, "software or other educational technology" includes software, programs,
applications, hardware, and any other electronic educational technology. Software or other
educational technology includes course registration fees for advanced placement courses
delivered online.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2018 and later.

Sec. 7.

Minnesota Statutes 2016, 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 or other location 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 full-service school zones, 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 full-service
school zones, 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
122.10who 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;

(vii) transportation of pupils for a curricular field trip activity on a school bus equipped
with a power lift when the power lift is required by a student's disability or section 504 plan;
and

(viii) services described in clauses (i) to (vii), when provided for pupils with disabilities
in conjunction with a summer instructional program that relates to the pupil's individualized
education program 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, the cost
of providing transportation for children with disabilities includes (A) the additional cost of
transporting a student in a shelter care facility as defined in section 260C.007, subdivision
30, 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). For purposes of subitem (A), a school
district may transport a child who does not have a school of origin to the same school
attended by that child's sibling, if the siblings are homeless or in a shelter care facility.

(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.

EFFECTIVE DATE.

This section is effective retroactively from December 10, 2016.

Sec. 8.

Minnesota Statutes 2016, section 126C.05, subdivision 8, is amended to read:

Subd. 8.

Average daily membership.

(a) Membership for pupils in grades kindergarten
through 12 and for prekindergarten pupils with disabilities shall mean the number of pupils
on the current roll of the school, counted from the date of entry until withdrawal. The date
of withdrawal shall mean the day the pupil permanently leaves the school or the date it is
officially known that the pupil has left or has been legally excused. However, a pupil,
regardless of age, who has been absent from school for 15 consecutive school days during
the regular school year or for five consecutive school days during summer school or
intersession classes of flexible school year programs without receiving instruction in the
home or hospital shall be dropped from the roll and classified as withdrawn. Nothing in this
section shall be construed as waiving the compulsory attendance provisions cited in section
120A.22. Average daily membership equals the sum for all pupils of the number of days
of the school year each pupil is enrolled in the district's schools divided by the number of
days the schools are in session or are providing e-learning days due to inclement weather.
Days of summer school or intersession classes of flexible school year programs are only
included in the computation of membership for pupils with a disability not appropriately
served primarily in the regular classroom. A student must not be counted as more than 1.2
pupils in average daily membership under this section and section 126C.10, subdivision 2a,
paragraph (b). When the initial total average daily membership exceeds 1.2 for a pupil
enrolled in more than one school district during the fiscal year, each district's average daily
membership must be reduced proportionately.

(b) A student must not be counted as more than one pupil in average daily membership
except for purposes of section 126C.10, subdivision 2a.

Sec. 9.

Minnesota Statutes 2016, section 126C.10, subdivision 2, is amended to read:

Subd. 2.

Basic revenue.

The basic revenue for each district equals the formula allowance
times the adjusted pupil units for the school year. The formula allowance for fiscal year
2015 is $5,831. The formula allowance for fiscal year 2016 is $5,948. The formula allowance
for fiscal year 2017 and later is $6,067. The formula allowance for fiscal year 2018 is $6,188.
The formula allowance for fiscal year 2019 and later is $6,312.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2018 and later.

Sec. 10.

Minnesota Statutes 2016, section 126C.10, subdivision 2a, is amended to read:

Subd. 2a.

Extended time revenue.

(a) A school district's extended time revenue is equal
to the product of $5,117 and the sum of the adjusted pupil units of the district for each pupil
in average daily membership in excess of 1.0 and less than 1.2 according to section 126C.05,
subdivision 8.

(b) Extended time revenue for pupils placed in an on-site education program at the Prairie
Lakes Education Center or the Lake Park School, located within the borders of Independent
School District No. 347, Willmar, for instruction provided after the end of the preceding
regular school year and before the beginning of the following regular school year equals
membership hours divided by the minimum annual instructional hours in section 126C.05,
subdivision 15, not to exceed 0.20, times the pupil unit weighting in section 126C.05,
subdivision 1, times $5,117.

(c) A school district's extended time revenue may be used for extended day programs,
extended week programs, summer school, vacation break academies such as spring break
academies and summer term academies, and other programming authorized under the
learning year program.

EFFECTIVE DATE.

This section is effective for revenue for fiscal year 2018 and later.

Sec. 11.

Minnesota Statutes 2016, section 126C.10, subdivision 3, is amended to read:

Subd. 3.

Compensatory education revenue.

(a) For fiscal year 2014, the compensatory
education revenue for each building in the district equals the formula allowance minus $415
times the compensation revenue pupil units computed according to section 126C.05,
subdivision 3. For fiscal year 2015 and later, The compensatory education revenue for each
building in the district equals the formula allowance minus $839 times the compensation
revenue pupil units computed according to section 126C.05, subdivision 3. A district's
compensatory revenue equals the sum of its compensatory revenue for each building in the
district and the amounts designated under Laws 2015, First Special Session chapter 3, article
2, section 70, subdivision 8, for fiscal year 2017. Revenue shall be paid to the district and
must be allocated according to section 126C.15, subdivision 2.

(b) When the district contracting with an alternative program under section 124D.69
changes prior to the start of a school year, the compensatory revenue generated by pupils
attending the program shall be paid to the district contracting with the alternative program
for the current school year, and shall not be paid to the district contracting with the alternative
program for the prior school year.

(c) When the fiscal agent district for an area learning center changes prior to the start of
a school year, the compensatory revenue shall be paid to the fiscal agent district for the
current school year, and shall not be paid to the fiscal agent district for the prior school year.

(d) Of the amount of revenue under this subdivision, 1.7 percent for fiscal year 2018,
3.5 percent for fiscal year 2019, and for fiscal year 2020 and later, 3.5 percent plus the
percentage change in the formula allowance from fiscal year 2019, must be used for extended
time activities under subdivision 2a, paragraph (c).

EFFECTIVE DATE.

This section is effective for revenue for fiscal year 2018 and later.

Sec. 12.

Minnesota Statutes 2016, section 126C.10, subdivision 13a, is amended to read:

Subd. 13a.

Operating capital levy.

To obtain operating capital revenue, a district may
levy an amount not more than the product of its operating capital revenue for the fiscal year
times the lesser of one or the ratio of its adjusted net tax capacity per adjusted pupil unit to
the operating capital equalizing factor. The operating capital equalizing factor equals $15,740
for fiscal year 2017, $19,972 $20,548 for fiscal year 2018, and $22,912 $24,241 for fiscal
year 2019, and $22,912 for fiscal year 2020 and later.

Sec. 13.

Minnesota Statutes 2016, section 126C.10, is amended by adding a subdivision
to read:

Subd. 18a.

Pupil transportation adjustment.

(a) An independent, common, or special
school district's transportation sparsity revenue under Minnesota Statutes, section 126C.10,
subdivision 18, is increased by the greater of zero or 46 percent of the difference between:

(1) the lesser of the district's total cost for regular and excess pupil transportation under
section 123B.92, subdivision 1, paragraph (b), including depreciation, for the previous fiscal
year or 105 percent of the district's total cost for the second previous fiscal year; and

(2) the sum of:

(i) 4.66 percent of the district's basic revenue for the previous fiscal year;

(ii) transportation sparsity revenue under Minnesota Statutes, section 126C.10, subdivision
18, for the previous fiscal year; and

(iii) the district's charter school transportation adjustment for the previous fiscal year.

(b) A charter school's pupil transportation adjustment equals the school district per pupil
adjustment under paragraph (a).

EFFECTIVE DATE.

This section is effective for revenue for fiscal year 2018 and later.

Sec. 14.

Minnesota Statutes 2016, section 126C.17, subdivision 9, is amended to read:

Subd. 9.

Referendum revenue.

(a) The revenue authorized by section 126C.10,
subdivision 1, may be increased in the amount approved by the voters of the district at a
referendum called for the purpose. The referendum may be called by the board. The
referendum must be conducted one or two calendar years before the increased levy authority,
if approved, first becomes payable. Only one election to approve an increase may be held
in a calendar year. Unless the referendum is conducted by mail under subdivision 11,
paragraph (a), the referendum must be held on the first Tuesday after the first Monday in
November. The ballot must state the maximum amount of the increased revenue per adjusted
pupil unit. The ballot may state a schedule, determined by the board, of increased revenue
per adjusted pupil unit that differs from year to year over the number of years for which the
increased revenue is authorized or may state that the amount shall increase annually by the
rate of inflation. For this purpose, the rate of inflation shall be the annual inflationary increase
calculated under subdivision 2, paragraph (b). The ballot may state that existing referendum
levy authority is expiring. In this case, the ballot may also compare the proposed levy
authority to the existing expiring levy authority, and express the proposed increase as the
amount, if any, over the expiring referendum levy authority. The ballot must designate the
specific number of years, not to exceed ten, for which the referendum authorization applies.
The ballot, including a ballot on the question to revoke or reduce the increased revenue
amount under paragraph (c), must abbreviate the term "per adjusted pupil unit" as "per
pupil." The notice required under section 275.60 may be modified to read, in cases of
renewing existing levies at the same amount per pupil as in the previous year:

"BY VOTING "YES" ON THIS BALLOT QUESTION, YOU ARE VOTING TO
EXTEND AN EXISTING PROPERTY TAX REFERENDUM THAT IS SCHEDULED
TO EXPIRE."

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

"Shall the increase in the revenue proposed by (petition to) the board of ......., School
District No. .., be approved?"

If approved, an amount equal to the approved revenue per adjusted pupil unit times the
adjusted pupil units for the school year beginning in the year after the levy is certified shall
be authorized for certification for the number of years approved, if applicable, or until
revoked or reduced by the voters of the district at a subsequent referendum.

(b) The board must prepare and deliver by first class mail at least 15 days but no more
than 30 days before the day of the referendum to each taxpayer a notice of the referendum
and the proposed revenue increase. The board need not mail more than one notice to any
taxpayer. For the purpose of giving mailed notice under this subdivision, owners must be
those shown to be owners on the records of the county auditor or, in any county where tax
statements are mailed by the county treasurer, on the records of the county treasurer. Every
property owner whose name does not appear on the records of the county auditor or the
county treasurer is deemed to have waived this mailed notice unless the owner has requested
in writing that the county auditor or county treasurer, as the case may be, include the name
on the records for this purpose. The notice must project the anticipated amount of tax increase
in annual dollars for typical residential homesteads, agricultural homesteads, apartments,
and commercial-industrial property within the school district.

The notice for a referendum may state that an existing referendum levy is expiring and
project the anticipated amount of increase over the existing referendum levy in the first
year, if any, in annual dollars for typical residential homesteads, agricultural homesteads,
apartments, and commercial-industrial property within the district.

The notice must include the following statement: "Passage of this referendum will result
in an increase in your property taxes." However, in cases of renewing existing levies, the
notice may include the following statement: "Passage of this referendum extends an existing
operating referendum at the same amount per pupil as in the previous year."

(c) A referendum on the question of revoking or reducing the increased revenue amount
authorized pursuant to paragraph (a) may be called by the board. A referendum to revoke
or reduce the revenue amount must state the amount per adjusted pupil unit by which the
authority is to be reduced. Revenue authority approved by the voters of the district pursuant
to paragraph (a) must be available to the school district at least once before it is subject to
a referendum on its revocation or reduction for subsequent years. Only one revocation or
reduction referendum may be held to revoke or reduce referendum revenue for any specific
year and for years thereafter.

(d) The approval of 50 percent plus one of those voting on the question is required to
pass a referendum authorized by this subdivision.

(e) At least 15 days before the day of the referendum, the district must submit a copy of
the notice required under paragraph (b) to the commissioner and to the county auditor of
each county in which the district is located. Within 15 days after the results of the referendum
have been certified by the board, or in the case of a recount, the certification of the results
of the recount by the canvassing board, the district must notify the commissioner of the
results of the referendum.

EFFECTIVE DATE.

This section is effective August 1, 2017.

Sec. 15.

Minnesota Statutes 2016, section 127A.41, subdivision 3, is amended to read:

Subd. 3.

Audits.

The commissioner shall establish procedures for conducting and shall
conduct audits of district records and files for the purpose of verifying district pupil counts,
levy limitations, and aid entitlements. The commissioner shall establish procedures for
selecting and shall select districts to be audited. Disparities, if any, between pupil counts,
levy limitations, or aid entitlements determined by audit of district records and files and
data reported by districts in reports, claims and other documents shall be reviewed by the
commissioner who shall order increases or decreases accordingly. Whenever possible, the
commissioner shall audit at least 25 districts each year pursuant to this subdivision.
Procedures adopted under this subdivision are not subject to chapter 14, including section
14.386, and may differ from the procedures under section 127A.42.

EFFECTIVE DATE.

This section is effective July 1, 2017.

Sec. 16.

Minnesota Statutes 2016, section 127A.45, subdivision 10, is amended to read:

Subd. 10.

Payments to school nonoperating funds.

Each fiscal year state general fund
payments for a district nonoperating fund must be made at the current year aid payment
percentage of the estimated entitlement during the fiscal year of the entitlement. This amount
shall be paid in 12 six equal monthly installments from July through December. The amount
of the actual entitlement, after adjustment for actual data, minus the payments made during
the fiscal year of the entitlement must be paid prior to October 31 of the following school
year. The commissioner may make advance payments of debt service equalization aid and
state-paid tax credits for a district's debt service fund earlier than would occur under the
preceding schedule if the district submits evidence showing a serious cash flow problem in
the fund. The commissioner may make earlier payments during the year and, if necessary,
increase the percent of the entitlement paid to reduce the cash flow problem.

Sec. 17. NEVIS SCHOOL DISTRICT; LEVY ADJUSTMENT.

Notwithstanding Minnesota Statutes, section 126C.48, Independent School District No.
308, Nevis, at the discretion of its school board, may spread any levy adjustment remaining
from the conversion of its operating referendum revenue over three or fewer years beginning
with school property taxes for taxes payable in 2018.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 18. EAGLE VALLEY SCHOOL DISTRICT DISSOLUTION;
REORGANIZATION; BONDS.

Subdivision 1.

Reorganization operating debt determined.

Independent School District
No. 2759, Eagle Valley, must estimate its reorganization operating debt according to
Minnesota Statutes, section 123B.82, and submit that amount to the commissioner of
education for approval. The commissioner of education may adjust this amount based on
any other school funding and pupil information available to the commissioner. The
commissioner may apportion the total operating debt between Independent School District
Nos. 786, Bertha-Hewitt, and 787, Browerville.

Subd. 2.

Bond sale; Bertha-Hewitt.

Independent School District No. 786, Bertha-Hewitt,
may issue general obligation bonds without an election under Minnesota Statutes, chapter
475, in an amount not to exceed the reorganization operating debt approved by the
commissioner of education under subdivision 1 for that district. The bonds must be repaid
within six years of issuance.

Subd. 3.

Bond sale; Browerville.

Independent School District No. 787, Browerville,
may issue general obligation bonds without an election under Minnesota Statutes, chapter
475, in an amount not to exceed the reorganization operating debt approved by the
commissioner of education under subdivision 1 for that district. The bonds must be repaid
within six years of issuance.

Subd. 4.

Repayment.

The bonded debt issued under this section remains payable by the
taxable property located within the boundaries of former Independent School District No.
2759, Eagle Valley.

Subd. 5.

Reorganization operating debt levy.

A school district that otherwise is eligible
to levy for reorganization operating debt amounts of the former Independent School District
No. 2759, Eagle Valley, may levy under Minnesota Statutes, section 123A.73, subdivision
9, only upon approval of the commissioner of education and only for that portion of the
reorganization operating debt not already included under subdivision 1.

Subd. 6.

Adjustments.

The commissioner may adjust the assignment of assets and
liabilities under Minnesota Statutes, section 123A.46, to reflect the funds raised by the bonds
authorized under this section.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 19. APPROPRIATIONS.

Subdivision 1.

Department of Education.

The sums indicated in this section are
appropriated from the general fund to the Department of Education for the fiscal years
designated.

Subd. 2.

General education aid.

For general education aid under Minnesota Statutes,
section 126C.13, subdivision 4:

	$	7,032,051,000	.....	2018
	$	7,227,809,000	.....	2019

The 2018 appropriation includes $686,828,000 for 2017 and $6,345,223,000 for 2018.

The 2019 appropriation includes $705,024,000 for 2018 and $6,522,785,000 for 2019.

Subd. 3.

Enrollment options transportation.

For transportation of pupils attending
postsecondary institutions under Minnesota Statutes, section 124D.09, or for transportation
of pupils attending nonresident districts under Minnesota Statutes, section 124D.03:

	$	29,000	.....	2018
	$	31,000	.....	2019

Subd. 4.

Abatement aid.

For abatement aid under Minnesota Statutes, section 127A.49:

	$	2,374,000	.....	2018
	$	2,163,000	.....	2019

The 2018 appropriation includes $262,000 for 2017 and $2,112,000 for 2018.

The 2019 appropriation includes $234,000 for 2018 and $1,929,000 for 2019.

Subd. 5.

Consolidation transition aid.

For districts consolidating under Minnesota
Statutes, section 123A.485:

	$	185,000	.....	2018
	$	382,000	.....	2019

The 2018 appropriation includes $0 for 2017 and $185,000 for 2018.

The 2019 appropriation includes $20,000 for 2018 and $362,000 for 2019.

Subd. 6.

Nonpublic pupil education aid.

For nonpublic pupil education aid under
Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:

	$	18,197,000	.....	2018
	$	19,225,000	.....	2019

The 2018 appropriation includes $1,687,000 for 2017 and $16,510,000 for 2018.

The 2019 appropriation includes $1,834,000 for 2018 and $17,391,000 for 2019.

Subd. 7.

Nonpublic pupil transportation.

For nonpublic pupil transportation aid under
Minnesota Statutes, section 123B.92, subdivision 9:

	$	18,372,000	.....	2018
	$	18,541,000	.....	2019

The 2018 appropriation includes $1,835,000 for 2017 and $16,537,000 for 2018.

The 2019 appropriation includes $1,837,000 for 2018 and $16,704,000 for 2019.

Subd. 8.

One-room schoolhouse.

For a grant to Independent School District No. 690,
Warroad, to operate the Angle Inlet School:

	$	65,000	.....	2018
	$	65,000	.....	2019

Subd. 9.

Career and technical aid.

For career and technical aid under Minnesota
Statutes, section 124D.4531, subdivision 1b:

	$	4,561,000	.....	2018
	$	4,125,000	.....	2019

The 2018 appropriation includes $476,000 for 2017 and $4,085,000 for 2018.

The 2019 appropriation includes $453,000 for 2018 and $3,672,000 for 2019.

Sec. 20. REPEALER.

Minnesota Statutes 2016, section 124D.73, subdivision 2, is repealed.

ARTICLE 2

EDUCATION EXCELLENCE

Section 1.

Minnesota Statutes 2016, section 120A.22, subdivision 9, is amended to read:

Subd. 9.

Curriculum Knowledge and skills.

Instruction must be provided in at least
the following subject areas:

(1) basic communication skills including reading and writing, literature, and fine arts;

(2) mathematics and science;

(3) social studies including history, geography, and economics, government, and
citizenship; and

(4) health and physical education.

Instruction, textbooks, and materials must be in the English language. Another language
may be used pursuant to sections 124D.59 to 124D.61.

Sec. 2.

Minnesota Statutes 2016, section 120B.021, subdivision 1, is amended to read:

Subdivision 1.

Required academic standards.

(a) The following subject areas are
required for statewide accountability:

(1) language arts;

(2) mathematics;

(3) science;

(4) social studies, including history, geography, economics, and government and
citizenship that includes civics consistent with section 120B.02, subdivision 3;

(5) physical education;

(6) health, for which locally developed academic standards apply; and

(7) the arts, for which statewide or locally developed academic standards apply, as
determined by the school district. Public elementary and middle schools must offer at least
three and require at least two of the following four arts areas: dance; music; theater; and
visual arts. Public high schools must offer at least three and require at least one of the
following five arts areas: media arts; dance; music; theater; and visual arts.

(b) For purposes of applicable federal law, the academic standards for language arts,
mathematics, and science apply to all public school students, except the very few students
with extreme cognitive or physical impairments for whom an individualized education
program team has determined that the required academic standards are inappropriate. An
individualized education program team that makes this determination must establish
alternative standards.

(c) Beginning in the 2016-2017 school year, The department must adopt the most recent
National Association of Sport and Physical Education SHAPE America (Society of Health
and Physical Educators) kindergarten through grade 12 standards and benchmarks for
physical education as the required physical education academic standards. The department
may modify and adapt the national standards to accommodate state interest. The modification
and adaptations must maintain the purpose and integrity of the national standards. The
department must make available sample assessments, which school districts may use as an
alternative to local assessments, to assess students' mastery of the physical education
standards beginning in the 2018-2019 school year.

(d) A school district may include child sexual abuse prevention instruction in a health
curriculum, consistent with paragraph (a), clause (6). Child sexual abuse prevention
instruction may include age-appropriate instruction on recognizing sexual abuse and assault,
boundary violations, and ways offenders groom or desensitize victims, as well as strategies
to promote disclosure, reduce self-blame, and mobilize bystanders. A school district may
provide instruction under this paragraph in a variety of ways, including at an annual assembly
or classroom presentation. A school district may also provide parents information on the
warning signs of child sexual abuse and available resources.

(d) (e) District efforts to develop, implement, or improve instruction or curriculum as a
result of the provisions of this section must be consistent with sections 120B.10, 120B.11,
and 120B.20.

Sec. 3.

Minnesota Statutes 2016, section 120B.021, subdivision 3, is amended to read:

Subd. 3.

Rulemaking.

The commissioner, consistent with the requirements of this section
and section 120B.022, must adopt statewide rules under section 14.389 for implementing
statewide rigorous core academic standards in language arts, mathematics, science, social
studies, physical education, and the arts. After the rules authorized under this subdivision
are initially adopted, the commissioner may not amend or repeal these rules nor adopt new
rules on the same topic without specific legislative authorization. The academic standards
for language arts, mathematics, and the arts must be implemented for all students beginning
in the 2003-2004 school year. The academic standards for science and social studies must
be implemented for all students beginning in the 2005-2006 school year.

Sec. 4.

Minnesota Statutes 2016, section 120B.022, subdivision 1b, is amended to read:

Subd. 1b.

State bilingual and multilingual seals.

(a) Consistent with efforts to strive
for the world's best workforce under sections 120B.11 and 124E.03, subdivision 2, paragraph
(i), and close the academic achievement and opportunity gap under sections 124D.861 and
124D.862, voluntary state bilingual and multilingual seals are established to recognize high
school students in any school district, charter school, or nonpublic school who demonstrate
an advanced-low level or an intermediate high level of functional proficiency in listening,
speaking, reading, and writing on either assessments aligned with American Council on the
Teaching of Foreign Languages' (ACTFL) proficiency guidelines or on equivalent valid
and reliable assessments in one or more languages in addition to English. American Sign
Language is a language other than English for purposes of this subdivision and a world
language for purposes of subdivision 1a.

(b) In addition to paragraph (a), to be eligible to receive a seal:

(1) students must satisfactorily complete all required English language arts credits; and

(2) students must demonstrate mastery of Minnesota's English language proficiency
standards.

(c) Consistent with this subdivision, a high school student who demonstrates an
intermediate high ACTFL level of functional proficiency in one language in addition to
English is eligible to receive the state bilingual gold seal. A high school student who
demonstrates an intermediate high ACTFL level of functional native proficiency in more
than one language in addition to English is eligible to receive the state multilingual gold
seal. A high school student who demonstrates an advanced-low ACTFL level of functional
proficiency in one language in addition to English is eligible to receive the state bilingual
platinum seal. A high school student who demonstrates an advanced-low ACTFL level of
functional proficiency in more than one language in addition to English is eligible to receive
the state multilingual platinum seal.

(d) School districts and charter schools may give students periodic opportunities to
demonstrate their level of proficiency in listening, speaking, reading, and writing in a
language in addition to English. Where valid and reliable assessments are unavailable, a
school district or charter school may rely on evaluators trained in assessing under ACTFL
proficiency guidelines to assess a student's level of foreign, heritage, or indigenous language
proficiency under this section. School districts and charter schools must maintain appropriate
records to identify high school students eligible to receive the state bilingual or multilingual
gold and platinum seals. The school district or charter school must affix the appropriate seal
to the transcript of each high school student who meets the requirements of this subdivision
and may affix the seal to the student's diploma. A school district or charter school must not
charge the high school student a fee for this seal.

(e) A school district or charter school may award elective course credits in world
languages to a student who demonstrates the requisite proficiency in a language other than
English under this section.

(f) A school district or charter school may award community service credit to a student
who demonstrates an intermediate high or advanced-low ACTFL level of functional
proficiency in listening, speaking, reading, and writing in a language other than English
and who participates in community service activities that are integrated into the curriculum,
involve the participation of teachers, and support biliteracy in the school or local community.

(g) The commissioner must list on the Web page those assessments that are aligned to
ACTFL proficiency guidelines.

(h) By August 1, 2015, the colleges and universities of the Minnesota State Colleges
and Universities system must establish criteria to translate the seals into college credits
based on the world language course equivalencies identified by the Minnesota State Colleges
and Universities faculty and staff and, upon request from an enrolled student, the Minnesota
State Colleges and Universities may award foreign language credits to a student who receives
a Minnesota World Language Proficiency Certificate under subdivision 1a. A student who
demonstrated the requisite level of language proficiency in grade 10, 11, or 12 to receive a
seal or certificate and is enrolled in a Minnesota State Colleges and Universities institution
must request college credits for the student's seal or proficiency certificate within three
academic years after graduating from high school. The University of Minnesota is encouraged
to award students foreign language academic credits consistent with this paragraph.

Sec. 5.

Minnesota Statutes 2016, section 120B.12, subdivision 2, is amended to read:

Subd. 2.

Identification; report.

(a) Each school district shall identify before the end of
kindergarten, grade 1, and grade 2 students who are not reading at grade level before the
end of the current school year and shall identify students in grade 3 or higher who
demonstrate a reading difficulty to a classroom teacher. Reading assessments in English,
and in the predominant languages of district students where practicable, must identify and
evaluate students' areas of academic need related to literacy. The district also must monitor
the progress and provide reading instruction appropriate to the specific needs of English
learners. The district must use a locally adopted, developmentally appropriate, and culturally
responsive assessment and annually report summary assessment results to the commissioner
by July 1. The district also must annually report to the commissioner by July 1 a summary
of the district's efforts to screen and identify students with:

(1) dyslexia, using screening tools such as those recommended by the department's
dyslexia and literacy specialist; or

(2) convergence insufficiency disorder to the commissioner by July 1.

(b) A student identified under this subdivision must be provided with alternate instruction
under section 125A.56, subdivision 1.

Sec. 6.

Minnesota Statutes 2016, section 120B.12, subdivision 2a, is amended to read:

Subd. 2a.

Parent notification and involvement.

Schools, at least annually, must give
the parent of each student who is not reading at or above grade level timely information
about:

(1) the student's reading proficiency as measured by a locally adopted assessment;

(2) reading-related services currently being provided to the student and the student's
progress; and

(3) strategies for parents to use at home in helping their student succeed in becoming
grade-level proficient in reading in English and in their native language.

A district may not use this section to deny a student's right to a special education
evaluation.

Sec. 7.

Minnesota Statutes 2016, section 120B.12, subdivision 3, is amended to read:

Subd. 3.

Intervention.

(a) For each student identified under subdivision 2, the district
shall provide reading intervention to accelerate student growth and reach the goal of reading
at or above grade level by the end of the current grade and school year. If a student does
not read at or above grade level by the end of grade 3, the district must continue to provide
reading intervention until the student reads at grade level. District intervention methods
shall encourage family engagement and, where possible, collaboration with appropriate
school and community programs. Intervention methods may include, but are not limited to,
requiring attendance in summer school, intensified reading instruction that may require that
the student be removed from the regular classroom for part of the school day, extended-day
programs, or programs that strengthen students' cultural connections.

(b) A school district or charter school is strongly encouraged to provide a personal
learning plan for a student who is unable to demonstrate grade-level proficiency, as measured
by the statewide reading assessment in grade 3. The district or charter school must determine
the format of the personal learning plan in collaboration with the student's educators and
other appropriate professionals. The school must develop the learning plan in consultation
with the student's parent or guardian. The personal learning plan must address knowledge
gaps and skill deficiencies through strategies such as specific exercises and practices during
and outside of the regular school day, periodic assessments, and reasonable timelines. The
personal learning plan may include grade retention, if it is in the student's best interest. A
school must maintain and regularly update and modify the personal learning plan until the
student reads at grade level. This paragraph does not apply to a student under an
individualized education program.

Sec. 8.

[120B.122] DYSLEXIA SPECIALIST.

Subdivision 1.

Purpose.

The department must employ a dyslexia specialist to provide
technical assistance for dyslexia and related disorders and to serve as the primary source of
information and support for schools in addressing the needs of students with dyslexia and
related disorders. The dyslexia specialist shall also act to increase professional awareness
and instructional competencies to meet the educational needs of students with dyslexia or
identified with risk characteristics associated with dyslexia and shall develop implementation
guidance and make recommendations to the commissioner consistent with section 122A.06,
subdivision 4, to be used to assist general education teachers and special education teachers
to recognize educational needs and to improve literacy outcomes for students with dyslexia
or identified with risk characteristics associated with dyslexia, including recommendations
related to increasing the availability of online and asynchronous professional development
programs and materials.

Subd. 2.

Definition.

For purposes of this section, a "dyslexia specialist" means a dyslexia
therapist, licensed psychologist, licensed speech-language pathologist, or certified dyslexia
training specialist who has a minimum of three years of field experience in screening,
identifying, and treating dyslexia and related disorders.

Subd. 3.

Requirements.

A dyslexia specialist shall be highly trained in dyslexia and
related disorders and in using interventions and treatments that are evidence-based,
multisensory, direct, explicit, structured, and sequential in the areas of phonics, phonemic
awareness, vocabulary, fluency, and comprehension.

Sec. 9.

Minnesota Statutes 2016, section 120B.125, is amended to read:

120B.125 PLANNING FOR STUDENTS' SUCCESSFUL TRANSITION TO
POSTSECONDARY EDUCATION AND EMPLOYMENT; PERSONAL LEARNING
PLANS.

(a) Consistent with sections 120B.13, 120B.131, 120B.132, 120B.14, 120B.15, 120B.30,
subdivision 1, paragraph (c), 125A.08, and other related sections, school districts, beginning
in the 2013-2014 school year, must assist all students by no later than grade 9 to explore
their educational, college, and career interests, aptitudes, and aspirations and develop a plan
for a smooth and successful transition to postsecondary education or employment. All
students' plans must:

(1) provide a comprehensive plan to prepare for and complete a career and college ready
curriculum by meeting state and local academic standards and developing career and
employment-related skills such as team work, collaboration, creativity, communication,
critical thinking, and good work habits;

(2) emphasize academic rigor and high expectations and inform the student, and the
student's parent or guardian if the student is a minor, of the student's achievement level
score on the Minnesota Comprehensive Assessments that are administered during high
school;

(3) help students identify interests, aptitudes, aspirations, and personal learning styles
that may affect their career and college ready goals and postsecondary education and
employment choices;

(4) set appropriate career and college ready goals with timelines that identify effective
means for achieving those goals;

(5) help students access education and career options;

(6) integrate strong academic content into career-focused courses and applied and
experiential learning opportunities and integrate relevant career-focused courses and applied
and experiential learning opportunities into strong academic content;

(7) help identify and access appropriate counseling and other supports and assistance
that enable students to complete required coursework, prepare for postsecondary education
and careers, and obtain information about postsecondary education costs and eligibility for
financial aid and scholarship;

(8) help identify collaborative partnerships among prekindergarten through grade 12
schools, postsecondary institutions, economic development agencies, and local and regional
employers that support students' transition to postsecondary education and employment and
provide students with applied and experiential learning opportunities; and

(9) be reviewed and revised at least annually by the student, the student's parent or
guardian, and the school or district to ensure that the student's course-taking schedule keeps
the student making adequate progress to meet state and local academic standards and high
school graduation requirements and with a reasonable chance to succeed with employment
or postsecondary education without the need to first complete remedial course work.

(b) A school district may develop grade-level curricula or provide instruction that
introduces students to various careers, but must not require any curriculum, instruction, or
employment-related activity that obligates an elementary or secondary student to involuntarily
select or pursue a career, career interest, employment goals, or related job training.

(c) Educators must possess the knowledge and skills to effectively teach all English
learners in their classrooms. School districts must provide appropriate curriculum, targeted
materials, professional development opportunities for educators, and sufficient resources
to enable English learners to become career and college ready.

(d) When assisting students in developing a plan for a smooth and successful transition
to postsecondary education and employment, districts must recognize the unique possibilities
of each student and ensure that the contents of each student's plan reflect the student's unique
talents, skills, and abilities as the student grows, develops, and learns.

(e) If a student with a disability has an individualized education program (IEP) or
standardized written plan that meets the plan components of this section, the IEP satisfies
the requirement and no additional transition plan is needed.

(f) Students who do not meet or exceed Minnesota academic standards, as measured by
the Minnesota Comprehensive Assessments that are administered during high school, shall
be informed that admission to a public school is free and available to any resident under 21
years of age or who meets the requirements of section 120A.20, subdivision 1, paragraph
(c). A student's plan under this section shall continue while the student is enrolled.

EFFECTIVE DATE.

This section is effective July 1, 2017.

Sec. 10.

Minnesota Statutes 2016, section 120B.132, is amended to read:

120B.132 RAISED ACADEMIC ACHIEVEMENT; ADVANCED PLACEMENT
AND INTERNATIONAL BACCALAUREATE PROGRAMS.

Subdivision 1.

Establishment; eligibility.

A program is established to raise kindergarten
through grade 12 academic achievement through increased student participation in
preadvanced placement, advanced placement, and international baccalaureate programs,
consistent with section 120B.13. Schools and charter schools eligible to participate under
this section:

(1) must have a three-year plan approved by the local school board to establish a new
international baccalaureate program leading to international baccalaureate authorization,
expand an existing program that leads to international baccalaureate authorization, or expand
an existing authorized international baccalaureate program; or

(2) must have a three-year plan approved by the local school board to create a new or
expand an existing program to implement the college board advanced placement courses
and exams or preadvanced placement initiative; and

(3) must propose to further raise students' academic achievement by:

(i) increasing the availability of and all students' access to advanced placement or
international baccalaureate courses or programs;

(ii) expanding the breadth of advanced placement or international baccalaureate courses
or programs that are available to students;

(iii) increasing the number and the diversity of the students who participate in advanced
placement or international baccalaureate courses or programs and succeed;

(iv) providing low-income and other disadvantaged students with increased access to
advanced placement or international baccalaureate courses and programs; or

(v) increasing the number of high school students, including low-income and other
disadvantaged students, who receive college credit by successfully completing advanced
placement or international baccalaureate courses or programs and achieving satisfactory
scores on related exams.

Subd. 2.

Application and review process; funding priority.

(a) Charter schools and
school districts in which eligible schools under subdivision 1 are located may apply to the
commissioner, in the form and manner the commissioner determines, for competitive funding
to further raise students' academic achievement. The application must detail the specific
efforts the applicant intends to undertake in further raising students' academic achievement,
consistent with subdivision 1, and a proposed budget detailing the district or charter school's
current and proposed expenditures for advanced placement, preadvanced placement, and
international baccalaureate courses and programs. The proposed budget must demonstrate
that the applicant's efforts will support implementation of advanced placement, preadvanced
placement, and international baccalaureate courses and programs. Expenditures for
administration must not exceed five percent of the proposed budget. The commissioner may
require an applicant to provide additional information.

(b) When reviewing applications, the commissioner must determine whether the applicant
satisfied all the requirements in this subdivision and subdivision 1. The commissioner may
give funding priority to an otherwise qualified applicant that demonstrates:

(1) a focus on developing or expanding preadvanced placement, advanced placement,
or international baccalaureate courses or programs or increasing students' participation in,
access to, or success with the courses or programs, including the participation, access, or
success of low-income and other disadvantaged students;

(2) a compelling need for access to preadvanced placement, advanced placement, or
international baccalaureate courses or programs;

(3) an effective ability to actively involve local business and community organizations
in student activities that are integral to preadvanced placement, advanced placement, or
international baccalaureate courses or programs;

(4) access to additional public or nonpublic funds or in-kind contributions that are
available for preadvanced placement, advanced placement, or international baccalaureate
courses or programs; or

(5) an intent to implement activities that target low-income and other disadvantaged
students.; or

(6) an intent to increase the advanced placement and international baccalaureate course
offerings in science, technology, engineering, and math to low-income and other
disadvantaged students.

Subd. 3.

Funding; permissible funding uses.

(a) The commissioner shall award grants
to applicant school districts and charter schools that meet the requirements of subdivisions
1 and 2. The commissioner must award grants on an equitable geographical basis to the
extent feasible and consistent with this section. Grant awards must not exceed the lesser of:

(1) $85 times the number of pupils enrolled at the participating sites on October 1 of the
previous fiscal year; or

(2) the approved supplemental expenditures based on the budget submitted under
subdivision 2. For charter schools in their first year of operation, the maximum funding
award must be calculated using the number of pupils enrolled on October 1 of the current
fiscal year. The commissioner may adjust the maximum funding award computed using
prior year data for changes in enrollment attributable to school closings, school openings,
grade level reconfigurations, or school district reorganizations between the prior fiscal year
and the current fiscal year; or

(3) $150,000 per district or charter school.

(b) School districts and charter schools that submit an application and receive funding
under this section must use the funding, consistent with the application, to:

(1) provide teacher training and instruction to more effectively serve students, including
low-income and other disadvantaged students, who participate in preadvanced placement,
advanced placement, or international baccalaureate courses or programs;

(2) further develop preadvanced placement, advanced placement, or international
baccalaureate courses or programs;

(3) improve the transition between grade levels to better prepare students, including
low-income and other disadvantaged students, for succeeding in preadvanced placement,
advanced placement, or international baccalaureate courses or programs;

(4) purchase books and supplies;

(5) pay course or program fees;

(6) increase students' participation in and success with preadvanced placement, advanced
placement, or international baccalaureate courses or programs;

(7) expand students' access to preadvanced placement, advanced placement, or
international baccalaureate courses or programs through online learning;

(8) hire appropriately licensed personnel to teach additional advanced placement or
international baccalaureate courses or programs; or

(9) engage in other activity directly related activities to expanding expand low-income
or disadvantaged students' access to, participation in, and success with preadvanced
placement, advanced placement, or international baccalaureate courses or programs,
including. Other activities may include but are not limited to preparing and disseminating
promotional materials to low-income and other disadvantaged students and their families.

Subd. 4.

Grants; annual reports.

(a) Each school district and charter school that receives
a grant under this section annually must collect demographic and other student data to
demonstrate and measure the extent to which the district or charter school raised students'
academic achievement under this program and must report the data to the commissioner in
the form and manner the commissioner determines. The commissioner annually by February
15 must make summary data about this program available to the education policy and finance
committees of the legislature.

(b) Each school district and charter school that receives a grant under this section annually
must report to the commissioner, consistent with the Uniform Financial Accounting and
Reporting Standards, its actual expenditures for advanced placement, preadvanced placement,
and international baccalaureate courses and programs. The report must demonstrate that
the school district or charter school has maintained its effort from other sources for advanced
placement, preadvanced placement, and international baccalaureate courses and programs
compared with the previous fiscal year, and the district or charter school has expended all
grant funds, consistent with its approved budget.

(c) Notwithstanding any law to the contrary, a grant under this section is available for
three years from the date of the grant if the district or charter school meets the annual
benchmarks in its plan under subdivision 1.

Sec. 11.

Minnesota Statutes 2016, section 120B.22, subdivision 2, is amended to read:

Subd. 2.

In-service training.

Each district is encouraged to provide training for district
staff and school board members to help on the following:

(1) helping students identify violence in the family and the community so that students
may learn to resolve conflicts in effective, nonviolent ways;

(2) responding to a disclosure of child sexual abuse in a supportive, appropriate manner;
and

(3) complying with mandatory reporting requirements under section 626.556.

The in-service training must be ongoing and involve experts familiar with sexual abuse,
domestic violence, and personal safety issues.

Sec. 12.

Minnesota Statutes 2016, section 120B.23, subdivision 3, is amended to read:

Subd. 3.

Grant awards.

(a) The commissioner may award grants for a violence
prevention education program to eligible applicants as defined in subdivision 2. Grant
amounts may not exceed $3 per resident pupil unit in the district or group of districts in the
prior school year. Grant recipients should be geographically distributed throughout the state.

(b) School districts and charter schools may accept funds from private and other public
sources for child sexual abuse prevention programs developed and implemented under
sections 120B.021, subdivision 1, paragraph (d), and 120B.234, including federal funding
under the Every Student Succeeds Act.

Sec. 13.

Minnesota Statutes 2016, section 120B.232, subdivision 1, is amended to read:

Subdivision 1.

Character development education.

(a) Character education is the shared
responsibility of parents, teachers, and members of the community. The legislature
encourages districts to integrate or offer instruction on character education including, but
not limited to, character qualities such as attentiveness, truthfulness, respect for authority,
diligence, gratefulness, self-discipline, patience, forgiveness, respect for others, peacemaking,
and resourcefulness. Instruction should be integrated into a district's existing programs,
curriculum, or the general school environment. To the extent practicable, instruction should
be integrated into positive behavioral intervention strategies, under section 122A.627. The
commissioner shall provide assistance at the request of a district to develop character
education curriculum and programs.

(b) Character development education under paragraph (a) may include a voluntary
elementary, middle, and high school program that incorporates the history and values of
Congressional Medal of Honor recipients and may be offered as part of the social studies,
English language arts, or other curriculum, as a schoolwide character building and veteran
awareness initiative, or as an after-school program, among other possibilities.

Sec. 14.

[120B.234] CHILD SEXUAL ABUSE PREVENTION EDUCATION.

Subdivision 1.

Purpose.

The purpose of this section, which may be cited as "Erin's
Law," is to encourage districts to integrate or offer instruction on child sexual abuse
prevention to students and training to all school personnel on recognizing and preventing
sexual abuse and sexual violence.

Subd. 2.

Curriculum.

School districts may consult with other federal, state, or local
agencies and community-based organizations, including the Child Information Gateway
Web site maintained by the United States Department of Health and Human Services, to
identify research-based tools, curricula, and programs to prevent child sexual abuse for use
under section 120B.021, subdivision 1, paragraph (d).

Subd. 3.

Other state programs.

The child sexual abuse prevention instruction provided
under this section is part of preventing sexual violence against children, which includes,
but is not limited to, the following activities:

(1) training on mandated reporting requirements provided on the Department of
Education's Web site;

(2) the Code of Ethics for Minnesota Teachers; and

(3) consultation by the commissioner of education with the commissioners of health,
human services, and public safety, and other state agencies to prevent violence against
children.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 15.

Minnesota Statutes 2016, 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 as computer-adaptive reading and mathematics
assessments for students that are aligned with the state's required academic standards under
section 120B.021, include multiple choice questions, and are 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.

(1) Students enrolled in grade 8 through the 2009-2010 school year are eligible to be
assessed under (i) the graduation-required assessment for diploma in reading, mathematics,
or writing under Minnesota Statutes 2012, section 120B.30, subdivision 1, paragraphs (c),
clauses (1) and (2), and (d), (ii) the WorkKeys job skills assessment, (iii) the Compass
college placement test, (iv) the ACT assessment for college admission, (v) a nationally
recognized armed services vocational aptitude test.

(2) Students enrolled in grade 8 in the 2010-2011 or 2011-2012 school year are eligible
to be assessed under (i) the graduation-required assessment for diploma in reading,
mathematics, or writing under Minnesota Statutes 2012, section 120B.30, subdivision 1,
paragraph (c), clauses (1) and (2), (ii) the WorkKeys job skills assessment, (iii) the Compass
college placement test, (iv) the ACT assessment for college admission, (v) a nationally
recognized armed services vocational aptitude test.

(3) For students under clause (1) or (2), a school district may substitute a score from an
alternative, equivalent assessment to satisfy the requirements of this paragraph.

(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 2012-2013 school year and later, students'
state graduation requirements, based on a longitudinal, systematic approach to student
education and career planning, assessment, instructional support, and evaluation, include
the following:

(1) an opportunity to participate on a nationally normed college entrance exam, in grade
11 or grade 12;

(2) achievement and career and college readiness in mathematics, reading, and writing,
consistent with paragraph (k) and to the extent available, to monitor students' continuous
development of and growth in requisite knowledge and skills; analyze students' progress
and performance levels, identifying students' academic strengths and diagnosing areas where
students require curriculum or instructional adjustments, targeted interventions, or
remediation; and, based on analysis of students' progress and performance data, determine
students' learning and instructional needs and the instructional tools and best practices that
support academic rigor for the student; and

(3) (2) consistent with this paragraph and section 120B.125, age-appropriate exploration
and planning activities and career assessments to encourage students to identify personally
relevant career interests and aptitudes and help students and their families develop a regularly
reexamined transition plan for postsecondary education or employment without need for
postsecondary remediation.

Based on appropriate state guidelines, students with an individualized education program
may satisfy state graduation requirements by achieving an individual score on the
state-identified alternative assessments.

(d) Expectations of schools, districts, and the state for career or college readiness under
this subdivision must be comparable in rigor, clarity of purpose, and rates of student
completion.

A student under paragraph (c), clause (2) (1), must receive targeted, relevant, academically
rigorous, and resourced instruction, which may include a targeted instruction and intervention
plan focused on improving the student's knowledge and skills in core subjects so that the
student has a reasonable chance to succeed in a career or college without need for
postsecondary remediation. Consistent with sections 120B.13, 124D.09, 124D.091, 124D.49,
and related sections, an enrolling school or district must actively encourage a student in
grade 11 or 12 who is identified as academically ready for a career or college to participate
in courses and programs awarding college credit to high school students. Students are not
required to achieve a specified score or level of proficiency on an assessment under this
subdivision to graduate from high school.

(e) Though not a high school graduation requirement, students are encouraged to
participate in a nationally recognized college entrance exam. To the extent state funding
for college entrance exam fees is available, a district must pay the cost, one time, for an
interested student in grade 11 or 12 who is eligible for a free or reduced-price meal, to take
a nationally recognized college entrance exam before graduating. A student must be able
to take the exam under this paragraph at the student's high school during the school day and
at any one of the multiple exam administrations available to students in the district. A district
may administer the ACT or SAT or both the ACT and SAT to comply with this paragraph.
If the district administers only one of these two tests and a free or reduced-price meal eligible
student opts not to take that test and chooses instead to take the other of the two tests, the
student may take the other test at a different time or location and remains eligible for the
examination fee reimbursement. Notwithstanding sections 123B.34 to 123B.39, a school
district may require a student that is not eligible for a free or reduced-price meal to pay the
cost of taking a nationally recognized college entrance exam. The district must waive the
cost for a student unable to pay.

(f) The commissioner and the chancellor of the Minnesota State Colleges and Universities
must collaborate in aligning instruction and assessments for adult basic education students
and English learners to provide the students with diagnostic information about any targeted
interventions, accommodations, modifications, and supports they need so that assessments
and other performance measures are accessible to them and they may seek postsecondary
education or employment without need for postsecondary remediation. When administering
formative or summative assessments used to measure the academic progress, including the
oral academic development, of English learners and inform their instruction, schools must
ensure that the assessments are accessible to the students and students have the modifications
and supports they need to sufficiently understand the assessments.

(g) Districts and schools, on an annual basis, must use career exploration elements to
help students, beginning no later than grade 9, and their families explore and plan for
postsecondary education or careers based on the students' interests, aptitudes, and aspirations.
Districts and schools must use timely regional labor market information and partnerships,
among other resources, to help students and their families successfully develop, pursue,
review, and revise an individualized plan for postsecondary education or a career. This
process must help increase students' engagement in and connection to school, improve
students' knowledge and skills, and deepen students' understanding of career pathways as
a sequence of academic and career courses that lead to an industry-recognized credential,
an associate's degree, or a bachelor's degree and are available to all students, whatever their
interests and career goals.

(h) A student who demonstrates attainment of required state academic standards, which
include career and college readiness benchmarks, on high school assessments under
subdivision 1a is academically ready for a career or college and is encouraged to participate
in courses awarding college credit to high school students. Such courses and programs may
include sequential courses of study within broad career areas and technical skill assessments
that extend beyond course grades.

(i) As appropriate, students through grade 12 must continue to participate in targeted
instruction, intervention, or remediation and be encouraged to participate in courses awarding
college credit to high school students.

(j) In developing, supporting, and improving students' academic readiness for a career
or college, schools, districts, and the state must have a continuum of empirically derived,
clearly defined benchmarks focused on students' attainment of knowledge and skills so that
students, their parents, and teachers know how well students must perform to have a
reasonable chance to succeed in a career or college without need for postsecondary
remediation. The commissioner, in consultation with local school officials and educators,
and Minnesota's public postsecondary institutions must ensure that the foundational
knowledge and skills for students' successful performance in postsecondary employment
or education and an articulated series of possible targeted interventions are clearly identified
and satisfy Minnesota's postsecondary admissions requirements.

(k) For students in grade 8 in the 2012-2013 school year and later, a school, district, or
charter school must record on the high school transcript a student's progress toward career
and college readiness, and for other students as soon as practicable.

(l) The school board granting 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.

(m) The 3rd through 8th grade computer-adaptive assessment results 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 establish empirically derived benchmarks on adaptive assessments in
grades 3 through 8. The commissioner, in consultation with the chancellor of the Minnesota
State Colleges and Universities, must establish empirically derived benchmarks on the high
school tests that reveal a trajectory toward career and college readiness consistent with
section 136F.302, subdivision 1a. The commissioner must disseminate to the public the
computer-adaptive assessments and high school test results upon receiving those results.

(n) The grades 3 through 8 computer-adaptive assessments 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.

(o) The commissioner shall include the following components in the statewide public
reporting system:

(1) uniform statewide computer-adaptive assessments of all students in grades 3 through
8 and testing at the high school levels 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.

(p) For purposes of statewide accountability, "career and college ready" means a high
school graduate has the knowledge, skills, and competencies to successfully pursue a career
pathway, including postsecondary credit leading to a degree, diploma, certificate, or
industry-recognized credential and employment. Students who are career and college ready
are able to successfully complete credit-bearing coursework at a two- or four-year college
or university or other credit-bearing postsecondary program without need for remediation.

(q) For purposes of statewide accountability, "cultural competence," "cultural
competency," or "culturally competent" means the ability and will of families and educators
to interact effectively with people of different cultures, native languages, and socioeconomic
backgrounds.

Sec. 16.

Minnesota Statutes 2016, section 120B.31, is amended by adding a subdivision
to read:

Subd. 3a.

Rollout sites; report.

The commissioner of education shall designate up to
six school districts or charter schools as rollout sites.

(a) The rollout sites should represent urban school districts, suburban school districts,
nonurban school districts, and charter schools. The commissioner shall designate rollout
sites and notify the schools by August 1, 2017, and the designated school districts or charter
schools shall have the right to opt in or out as rollout sites by September 1, 2017.

(b) The commissioner must consult stakeholders and review the American Community
Survey to develop recommendations for best practices for disaggregated data. Stakeholders
consulted under this paragraph include at least:

(1) the rollout sites;

(2) parent groups; and

(3) community representatives.

(c) The commissioner shall report to the legislative committees having jurisdiction over
kindergarten through grade 12 education policy and finance by February 1, 2018. The
commissioner may research best practices from other states that have disaggregated data
beyond the requirements of the most recent reauthorization of the Elementary and Secondary
Education Act. The commissioner must consult with the stakeholders on how to measure
a student's background as an immigrant or a refugee and provide a recommendation in the
report on how to include the data in the statewide rollout. The recommendations may address:

(1) the most meaningful use of disaggregated data, including but not limited to which
reports should include further disaggregated data;

(2) collection of additional student characteristics, including but not limited to ensuring
enhanced enrollment forms:

(i) provide context and the objective of additional data;

(ii) are designed to convey respect and acknowledgment of the sensitive nature of the
additional data; and

(iii) are designed to collect data consistent with user feedback;

(3) efficient data-reporting approaches when reporting additional information to the
department;

(4) the frequency by which districts and schools must update enrollment forms to meet
the needs of the state's changing racial and ethnic demographics; and

(5) the criteria for determining additional data. This recommendation should include a
recommendation for frequency of reviews and updates of the additional data and should
also identify the approach of updating any additional census data and data on new enrollees.
This recommendation must consider additional student groups that may face education
disparities and must take into account maintaining student privacy and providing
nonidentifiable student level data.

EFFECTIVE DATE.

This section is effective for the 2018-2019 school year and later.

Sec. 17.

Minnesota Statutes 2016, section 120B.31, subdivision 4, is amended to read:

Subd. 4.

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 and disaggregate student data over time to
report summary student performance and growth levels and, under section 120B.11,
subdivision 2, clause (2), student learning and outcome data measured at the school, school
district, and statewide level. The commissioner shall use the student categories identified
under the federal Elementary and Secondary Education Act, as most recently reauthorized,
and student categories of:

(1) homelessness,;

(2) ethnicity, under section 120B.35, subdivision 3, paragraph (a), clause (2);

(3) race, under section 120B.35, subdivision 3, paragraph (a), clause (2);

(4) home language, immigrant, refugee status,;

(5) English learners under section 124D.59,;

(6) free or reduced-price lunch,; and

(7) other categories designated by federal law to 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 as data are available.

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.

EFFECTIVE DATE.

This section is effective for the 2019-2020 school year and later.

Sec. 18.

Minnesota Statutes 2016, section 120B.31, subdivision 4a, is amended to read:

Subd. 4a.

Student participation.

(a) The commissioner shall must create and publish
a form for parents and guardians to complete if they refuse to have their student participate
in state or locally required standardized testing. The form must state why there are state
academic standards, indicate which tests are aligned with state standards, and what
consequences, if any, the school or student may face if a student does not participate in state
or locally required standardized testing. This form must ask parents to indicate a reason for
their refusal that:

(1) explains the need for state academic standards;

(2) identifies the state assessments that are aligned with state standards;

(3) identifies the consequences, if any, the school or student may face if a student does
not participate in state or locally required standardized assessments;

(4) states that students who receive a college ready benchmark on the high school
Minnesota Comprehensive Assessment are not required to take a remedial, noncredit course
at a Minnesota state college or university in the corresponding subject area;

(5) summarizes the provisions in section 120B.301, paragraphs (a) and (c); and

(6) notifies a parent of the right to not have the parent's child participate in the state and
locally required academic assessments, and asks a parent that chooses to not have a child
participate in the assessments the basis for the decision.

(b) A school district must post the form created by the commissioner on the district Web
site and include it in the district's student handbook.

EFFECTIVE DATE.

This section is effective for the 2017-2018 school year and later.

Sec. 19.

Minnesota Statutes 2016, section 120B.35, subdivision 3, is amended to read:

Subd. 3.

State growth target; other state measures.

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

(2) For purposes of paragraphs (b), (c), and (d), the commissioner must analyze and
report separate categories of information using the student categories identified under the
federal Elementary and Secondary Education Act, as most recently reauthorized, and, in
addition to "other" for each race and ethnicity, and the Karen community, other student
categories as determined by the total Minnesota population at or above the 1,000-person
threshold based on the most recent decennial census, including ethnicity; race; refugee status
seven of the most populous Asian and Pacific Islander groups, three of the most populous
Native groups, seven of the most populous Hispanic/Latino groups, and five of the most
populous Black and African Heritage groups as determined by the total Minnesota population
based on the most recent American Community Survey; English learners under section
124D.59; home language; free or reduced-price lunch; immigrant; and all students enrolled
in a Minnesota public school who are currently or were previously in foster care, except
that such disaggregation and cross tabulation is not required if the number of students in a
category is insufficient to yield statistically reliable information or the results would reveal
personally identifiable information about an individual student.

(b) The commissioner, in consultation with a stakeholder group that includes assessment
and evaluation directors, district staff, experts in culturally responsive teaching, and
researchers, must implement a model that uses a value-added growth indicator and includes
criteria for identifying schools and school districts that demonstrate medium and high growth
under section 120B.299, subdivisions 8 and 9, and may recommend other value-added
measures under section 120B.299, subdivision 3. The model may be used to advance
educators' professional development and replicate programs that succeed in meeting students'
diverse learning needs. Data on individual teachers generated under the model are personnel
data under section 13.43. The model must allow users to:

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

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

The commissioner must report measures of student growth and, under section 120B.11,
subdivision 2, clause (2), student learning and outcome data, consistent with this paragraph,
including the English language development, academic progress, and oral academic
development of English learners and their native language development if the native language
is used as a language of instruction, and include data on all pupils enrolled in a Minnesota
public school course or program who are currently or were previously counted as an English
learner under section 124D.59.

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

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

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

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

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

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

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

(2) the percent of students under this paragraph whose progress and performance levels
are meeting career and college readiness benchmarks under section 120B.30, subdivision
1; and

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

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

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

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

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

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

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

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

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

EFFECTIVE DATE.

This section is effective for the 2018-2019 school year and later
for rollout sites under Minnesota Statutes, section 120B.31, subdivision 3a. This section is
effective for the 2019-2020 school year and later for all other schools.

Sec. 20.

Minnesota Statutes 2016, section 120B.36, subdivision 1, is amended to read:

Subdivision 1.

School performance reports and public reporting.

(a) The commissioner
shall report student academic performance data under section 120B.35, subdivisions 2 and
3; 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); the percentage of students under section 120B.35, subdivision
3, paragraph (b), clause (2), whose progress and performance levels are meeting career and
college readiness benchmarks under sections 120B.30, subdivision 1, and 120B.35,
subdivision 3, paragraph (e); longitudinal data on the progress of eligible districts in reducing
disparities in students' academic achievement and realizing racial and economic integration
under section 124D.861; the acquisition of English, and where practicable, native language
academic literacy, including oral academic language, and the academic progress of all
English learners enrolled in a Minnesota public school course or program who are currently
or were previously counted as English learners under section 124D.59; 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; foster care status, including all students enrolled
in a Minnesota public school course or program who are currently or were previously in
foster care, student homelessness, and district mobility; and extracurricular activities. The
report also must indicate a school's status under applicable federal law.

(b) The school performance report for a school site and a school district must include
school performance reporting information and calculate proficiency rates as required by the
most recently reauthorized Elementary and Secondary Education Act.

(c) The commissioner shall develop, annually update, and post on the department Web
site school performance reports consistent with paragraph (a) and section 120B.11.

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

(d) (e) A school or district may appeal its results in a form and manner determined by
the commissioner and consistent with federal law. The commissioner's decision to uphold
or deny an appeal is final.

(e) (f) School performance data are nonpublic data under section 13.02, subdivision 9,
until the commissioner publicly releases the data. The commissioner shall annually post
school performance reports to the department's public Web site no later than September 1,
except that in years when the reports reflect new performance standards, the commissioner
shall post the school performance reports no later than October 1.

EFFECTIVE DATE.

This section is effective for the 2017-2018 school year and later.

Sec. 21.

Minnesota Statutes 2016, section 122A.40, subdivision 10, is amended to read:

Subd. 10.

Negotiated unrequested leave of absence.

The school board and the exclusive
bargaining representative of the teachers may must negotiate a plan providing for unrequested
leave of absence without pay or fringe benefits for 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. Failing to successfully negotiate such a plan,
the provisions of subdivision 11 shall apply. The negotiated plan must not include provisions
which would result in the exercise of seniority by a teacher holding a provisional license,
other than a vocational education license, contrary to the provisions of subdivision 11,
paragraph (c), or the reinstatement of a teacher holding a provisional license, other than a
vocational education license, contrary to the provisions of subdivision 11, paragraph (e).
The provisions of section 179A.16 do not apply for the purposes of this subdivision.

EFFECTIVE DATE.

This section is effective for collective bargaining agreements
effective July 1, 2019, and thereafter.

Sec. 22.

Minnesota Statutes 2016, section 122A.41, is amended by adding a subdivision
to read:

Subd. 14a.

Negotiated unrequested leave of absence.

The school board and the exclusive
bargaining representative of the teachers must negotiate a plan providing for unrequested
leave of absence without pay or fringe benefits for 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.

EFFECTIVE DATE.

This section is effective for collective bargaining agreements
effective July 1, 2019, and thereafter.

Sec. 23.

Minnesota Statutes 2016, section 122A.414, subdivision 2, is amended to read:

Subd. 2.

Alternative teacher professional pay system.

(a) To participate in this program,
a school district, an intermediate school district consistent with paragraph (d), a school site,
or a charter school must have a world's best workforce plan under section 120B.11 and an
alternative teacher professional pay system agreement under paragraph (b). A charter school
participant also must comply with subdivision 2a.

(b) The alternative teacher professional pay system agreement must:

(1) describe how teachers can achieve career advancement and additional compensation;

(2) describe how the school district, intermediate school district, school site, or charter
school will provide teachers with career advancement options that allow teachers to retain
primary roles in student instruction and facilitate site-focused professional development
that helps other teachers improve their skills;

(3) reform the "steps and lanes" salary schedule, prevent any teacher's compensation
paid before implementing the pay system from being reduced as a result of participating in
this system, base at least 60 percent of any compensation increase on teacher performance
using:

(i) schoolwide student achievement gains under section 120B.35 or locally selected
standardized assessment outcomes, or both;

(ii) measures of student growth and literacy that may include value-added models or
student learning goals, consistent with section 122A.40, subdivision 8, paragraph (b), clause
(9), or 122A.41, subdivision 5, paragraph (b), clause (9), and other measures that include
the academic literacy, oral academic language, and achievement of English learners under
section 122A.40, subdivision 8, paragraph (b), clause (10), or 122A.41, subdivision 5,
paragraph (b), clause (10); and

(iii) an objective evaluation program under section 122A.40, subdivision 8, paragraph
(b), clause (2), or 122A.41, subdivision 5, paragraph (b), clause (2);

(4) provide for participation in job-embedded learning opportunities such as professional
learning communities to improve instructional skills and learning that are aligned with
student needs under section 120B.11, consistent with the staff development plan under
section 122A.60 and led during the school day by trained teacher leaders such as master or
mentor teachers;

(5) allow any teacher in a participating school district, intermediate school district, school
site, or charter school that implements an alternative pay system to participate in that system
without any quota or other limit; and

(6) encourage collaboration rather than competition among teachers.

(c) The alternative teacher professional pay system may:

(1) include a hiring bonus or other added compensation for to provide students with
equitable access to teachers who, consistent with section 120B.11, subdivision 2, clause
(3):

(i) are identified as effective or highly effective under the local teacher professional
review cycle and or, when being considered for hire as first-year teachers, have demonstrated
skills during student teaching for being highly effective at closing achievement gaps;

(ii) work in a high-need or hard-to-fill position; or

(iii) are hired to work in a hard-to-staff school such as a school with a majority of students
whose families meet federal poverty guidelines, a geographically isolated school, or a school
identified by the state as eligible for targeted programs or services for its students; and

(2) include incentives for teachers to obtain a master's degree or other advanced
certification with at least 18 credits in their content field of licensure required for teaching
concurrent enrollment or college in the schools courses, or to pursue the training or education
necessary to obtain an additional licensure in shortage areas identified by the district or
charter school,; or

(3) help fund a "grow your own" Grow Your Own new teacher initiative involving
nonlicensed educational professionals, including paraprofessionals and cultural liaisons.

(d) An intermediate school district under this subdivision must demonstrate in a form
and manner determined by the commissioner that it uses the aid it receives under this section
for activities identified in the alternative teacher professional pay system agreement.

Sec. 24.

Minnesota Statutes 2016, section 122A.415, subdivision 4, is amended to read:

Subd. 4.

Basic alternative teacher compensation aid.

(a) The basic alternative teacher
compensation aid for a school with a plan approved under section 122A.414, subdivision
2b, equals 65 percent of the alternative teacher compensation revenue under subdivision 1.
The basic alternative teacher compensation aid for a charter school with a plan approved
under section 122A.414, subdivisions 2a and 2b, equals $260 times the number of pupils
enrolled in the school on October 1 of the previous year, or on October 1 of the current year
for a charter school in the first year of operation, times the ratio of the sum of the alternative
teacher compensation aid and alternative teacher compensation levy for all participating
school districts to the maximum alternative teacher compensation revenue for those districts
under subdivision 1.

(b) Notwithstanding paragraph (a) and subdivision 1, the state total basic alternative
teacher compensation aid entitlement must not exceed $75,840,000 for fiscal year 2016 and
$88,118,000 for fiscal year 2017 and later. The commissioner must limit the amount of
alternative teacher compensation aid approved under this section so as not to exceed these
limits by not approving new participants or by prorating the aid among participating districts,
intermediate school districts, school sites, and charter schools. The commissioner may also
reallocate a portion of the allowable aid for the biennium from the second year to the first
year to meet the needs of approved participants.

(c) Basic alternative teacher compensation aid for an intermediate district or other
cooperative unit equals $3,000 times the number of licensed teachers employed by the
intermediate district or cooperative unit on October 1 of the previous school year.

Sec. 25.

[122A.417] ALTERNATIVE TEACHER COMPENSATION REVENUE
FOR ST. CROIX RIVER EDUCATION DISTRICT.

Notwithstanding section 122A.415, subdivision 4, paragraph (c), the St. Croix River
Education District, No. 6009-61, is eligible to receive alternative teacher compensation
revenue based on its staffing as of October 1 of the previous fiscal year as reported to the
department in a manner determined by the commissioner. To qualify for alternative teacher
compensation revenue, the St. Croix River Education District must meet all the requirements
of sections 122A.414 and 122A.415 that apply to cooperative units, must report its staffing
as of October 1 of each year to the department in a manner determined by the commissioner,
and must annually report to the department by November 30 its expenditures for the
alternative teacher professional pay system consistent with the uniform financial accounting
and reporting standards.

Sec. 26.

[122A.627] POSITIVE BEHAVIORAL INTERVENTIONS AND SUPPORTS.

"Positive behavioral interventions and supports" or "PBIS" means an evidence-based
framework for preventing problem behavior, providing instruction and support for positive
and prosocial behaviors, and supporting social, emotional, and behavioral needs for all
students. Schoolwide implementation of PBIS requires training, coaching, and evaluation
for school staff to consistently implement the key components that make PBIS effective for
all students, including:

(1) establishing, defining, teaching, and practicing three to five positively stated
schoolwide behavioral expectations that are representative of the local community and
cultures;

(2) developing and implementing a consistent system used by all staff to provide positive
feedback and acknowledgment for students who display schoolwide behavioral expectations;

(3) developing and implementing a consistent and specialized support system for students
who do not display behaviors representative of schoolwide positive expectations;

(4) developing a system to support decisions based on data related to student progress,
effective implementation of behavioral practices, and screening for students requiring
additional behavior supports;

(5) using a continuum of evidence-based interventions that is integrated and aligned to
support academic and behavioral success for all students; and

(6) using a team-based approach to support effective implementation, monitor progress,
and evaluate outcomes.

Consistent with section 120B.232, subdivision 1, character education curriculum and
programs may be used to support implementation of the key components of PBIS.

Sec. 27.

Minnesota Statutes 2016, section 124D.03, subdivision 5a, is amended to read:

Subd. 5a.

Lotteries.

If a school district has more applications than available seats at a
specific grade level, it must hold an impartial lottery following the January 15 deadline to
determine which students will receive seats. The district must give priority to enrolling
siblings of currently enrolled students, students whose applications are related to an approved
integration and achievement plan, and children of the school district's staff must receive
priority in the lottery., and students residing in that part of a municipality, defined under
section 469.1812, subdivision 3, where:

(1) the student's resident district does not operate a school building;

(2) the municipality is located partially or fully within the boundaries of at least five
school districts;

(3) the nonresident district in which the student seeks to enroll operates one or more
school buildings within the municipality; and

(4) no other nonresident, independent, special, or common school district operates a
school building within the municipality.

The process for the school district lottery must be established in school district policy,
approved by the school board, and posted on the school district's Web site.

EFFECTIVE DATE.

This section is effective for lotteries conducted beginning July
1, 2017.

Sec. 28.

Minnesota Statutes 2016, section 124D.09, subdivision 3, is amended to read:

Subd. 3.

Definitions.

For purposes of this section, the following terms have the meanings
given to them.

(a) "Eligible institution" means a Minnesota public postsecondary institution, a private,
nonprofit two-year trade and technical school granting associate degrees, an opportunities
industrialization center accredited by the North Central Association of Colleges and Schools,
or a private, residential, two-year or four-year, liberal arts, degree-granting college or
university located in Minnesota.

(b) "Course" means a course or program.

(c) "Concurrent enrollment" means nonsectarian courses in which an eligible pupil under
subdivision 5 or 5b enrolls to earn both secondary and postsecondary credits, are taught by
a secondary teacher or a postsecondary faculty member, and are offered at a high school
for which the district is eligible to receive concurrent enrollment program aid under section
124D.091.

Sec. 29.

Minnesota Statutes 2016, section 124D.09, subdivision 5, is amended to read:

Subd. 5.

Authorization; notification.

Notwithstanding any other law to the contrary,
an 11th or 12th grade pupil enrolled in a school or an American Indian-controlled tribal
contract or grant school eligible for aid under section 124D.83, except a foreign exchange
pupil enrolled in a district under a cultural exchange program, may apply to an eligible
institution, as defined in subdivision 3, to enroll in nonsectarian courses offered by that
postsecondary institution. Notwithstanding any other law to the contrary, a 9th or 10th grade
pupil enrolled in a district or an American Indian-controlled tribal contract or grant school
eligible for aid under section 124D.83, except a foreign exchange pupil enrolled in a district
under a cultural exchange program, may apply to enroll in nonsectarian courses offered
under subdivision 10, if (1) the school district and the eligible postsecondary institution
providing the course agree to the student's enrollment or (2) the course is a world language
course currently available to 11th and 12th grade students, and consistent with section
120B.022 governing world language standards, certificates, and seals. If an institution
accepts a secondary pupil for enrollment under this section, the institution shall send written
notice to the pupil, the pupil's school or school district, and the commissioner within ten
days of acceptance. The notice must indicate the course and hours of enrollment of that
pupil. If the pupil enrolls in a course for postsecondary credit, the institution must notify
the pupil about payment in the customary manner used by the institution.

Sec. 30.

Minnesota Statutes 2016, section 124D.09, is amended by adding a subdivision
to read:

Subd. 5b.

Authorization; 9th or 10th grade pupil.

Notwithstanding any other law to
the contrary, a 9th or 10th grade pupil enrolled in a district or an American Indian-controlled
tribal contract or grant school eligible for aid under section 124D.83, except a foreign
exchange pupil enrolled in a district under a cultural exchange program, may apply to enroll
in nonsectarian courses offered under subdivision 10, if:

(1) the school district and the eligible postsecondary institution providing the course
agree to the student's enrollment; or

(2) the course is a world language course currently available to 11th and 12th grade
students, and consistent with section 120B.022 governing world language standards,
certificates, and seals.

Sec. 31.

Minnesota Statutes 2016, section 124D.09, subdivision 10, is amended to read:

Subd. 10.

Courses according to agreements.

(a) An eligible pupil, according to
subdivision 5, may enroll in a nonsectarian course taught by a secondary teacher or a
postsecondary faculty member and offered at a secondary school, or another location,
according to an agreement between a public school board and the governing body of an
eligible public postsecondary system or an eligible private postsecondary institution, as
defined in subdivision 3. All provisions of this section shall apply to a pupil, public school
board, district, and the governing body of a postsecondary institution, except as otherwise
provided.

(b) To encourage students, especially American Indian students and students of color,
to consider teaching as a profession, participating schools, school districts, and postsecondary
institutions are encouraged to develop and offer an "Introduction to Teaching" or
"Introduction to Education" course under this subdivision. An institution that receives a
grant to develop a course under this paragraph must annually report to the commissioner
in a form and manner determined by the commissioner on the participation rates of students
in courses under this paragraph, including the number of students who apply for admission
to colleges or universities with teacher preparation programs.

Sec. 32.

Minnesota Statutes 2016, section 124D.09, is amended by adding a subdivision
to read:

Subd. 11a.

Access to building and technology.

(a) A school district must allow a student
enrolled in a course under this section to remain at the school site during regular school
hours.

(b) A school district must adopt a policy that provides a student enrolled in a course
under this section with reasonable access during regular school hours to a computer and
other technology resources that the student needs to complete coursework for a postsecondary
enrollment course.

Sec. 33.

Minnesota Statutes 2016, section 124D.09, subdivision 12, is amended to read:

Subd. 12.

Credits; grade point average weighting policy.

(a) A pupil must not audit
a course under this section.

(b) A district shall grant academic credit to a pupil enrolled in a course for secondary
credit if the pupil successfully completes the course. Seven quarter or four semester college
credits equal at least one full year of high school credit. Fewer college credits may be
prorated. A district must also grant academic credit to a pupil enrolled in a course for
postsecondary credit if secondary credit is requested by a pupil. If no comparable course is
offered by the district, the district must, as soon as possible, notify the commissioner, who
shall determine the number of credits that shall be granted to a pupil who successfully
completes a course. If a comparable course is offered by the district, the school board shall
grant a comparable number of credits to the pupil. If there is a dispute between the district
and the pupil regarding the number of credits granted for a particular course, the pupil may
appeal the board's decision to the commissioner. The commissioner's decision regarding
the number of credits shall be final.

(c) A school board must adopt a policy regarding weighted grade point averages for any
high school or dual enrollment course. The policy must state whether the district offers
weighted grades. A school board must annually publish on its Web site a list of courses for
which a student may earn a weighted grade.

(d) The secondary credits granted to a pupil must be counted toward the graduation
requirements and subject area requirements of the district. Evidence of successful completion
of each course and secondary credits granted must be included in the pupil's secondary
school record. A pupil shall provide the school with a copy of the pupil's grade in each
course taken for secondary credit under this section. Upon the request of a pupil, the pupil's
secondary school record must also include evidence of successful completion and credits
granted for a course taken for postsecondary credit. In either case, the record must indicate
that the credits were earned at a postsecondary institution.

(e) If a pupil enrolls in a postsecondary institution after leaving secondary school, the
postsecondary institution must award postsecondary credit for any course successfully
completed for secondary credit at that institution. Other postsecondary institutions may
award, after a pupil leaves secondary school, postsecondary credit for any courses
successfully completed under this section. An institution may not charge a pupil for the
award of credit.

(f) The Board of Trustees of the Minnesota State Colleges and Universities and the
Board of Regents of the University of Minnesota must, and private nonprofit and proprietary
postsecondary institutions should, award postsecondary credit for any successfully completed
courses in a program certified by the National Alliance of Concurrent Enrollment Partnerships
offered according to an agreement under subdivision 10. Consistent with section 135A.101,
subdivision 3, all MnSCU institutions must give full credit to a secondary pupil who
completes for postsecondary credit a postsecondary course or program that is part or all of
a goal area or a transfer curriculum at a MnSCU institution when the pupil enrolls in a
MnSCU institution after leaving secondary school. Once one MnSCU institution certifies
as completed a secondary student's postsecondary course or program that is part or all of a
goal area or a transfer curriculum, every MnSCU institution must consider the student's
course or program for that goal area or the transfer curriculum as completed.

Sec. 34.

Minnesota Statutes 2016, section 124D.09, subdivision 13, is amended to read:

Subd. 13.

Financial arrangements.

For a pupil enrolled in a course under this section,
the department must make payments according to this subdivision for courses that were
taken for secondary credit.

The department must not make payments to a school district or postsecondary institution
for a course taken for postsecondary credit only. The department must not make payments
to a postsecondary institution for a course from which a student officially withdraws during
the first 14 days of the quarter or semester or who has been absent from the postsecondary
institution for the first 15 consecutive school days of the quarter or semester and is not
receiving instruction in the home or hospital.

A postsecondary institution shall receive the following:

(1) for an institution granting quarter credit, the reimbursement per credit hour shall be
an amount equal to 88 percent of the product of the formula allowance minus $425, multiplied
by 1.2, and divided by 45; or

(2) for an institution granting semester credit, the reimbursement per credit hour shall
be an amount equal to 88 percent of the product of the general revenue formula allowance
minus $425, multiplied by 1.2, and divided by 30.

The department must pay to each postsecondary institution 100 percent of the amount
in clause (1) or (2) within 30 45 days of receiving initial enrollment information each quarter
or semester. If changes in enrollment occur during a quarter or semester, the change shall
be reported by the postsecondary institution at the time the enrollment information for the
succeeding quarter or semester is submitted. At any time the department notifies a
postsecondary institution that an overpayment has been made, the institution shall promptly
remit the amount due.

Sec. 35.

[124D.4535] INNOVATIVE DELIVERY OF CAREER AND TECHNICAL
EDUCATION PROGRAMS; SHARING OF DISTRICT RESOURCES.

Subdivision 1.

Establishment; requirements for participation.

(a) A program is
established to improve student, career and college readiness, and school outcomes by
allowing groups of school districts to work together in partnership with local and regional
postsecondary institutions and programs, community institutions, and other private, public,
for-profit, and nonprofit workplace partners, to:

(1) provide innovative education programs and activities that integrate core academic
and career and technical subjects in students' programs of study through coordinated
secondary and postsecondary career and technical programs leading to an industry
certification or other credential;

(2) provide embedded professional development for program participants;

(3) use performance assessments in authentic settings to measure students' technical
skills and progress toward attaining an industry certification or other credential; and

(4) efficiently share district, institution, and workplace resources.

(b) To participate in this program to improve student, career and college readiness, and
school outcomes, a group of two or more school districts must collaborate with school staff
and project partners and receive formal school board approval to form a partnership. The
partnership must develop a plan to provide challenging programmatic options for students
under paragraph (a); create professional development opportunities for educators and other
program participants; increase student engagement and connection and challenging learning
opportunities for diverse populations of students that are focused on employability skills
and technical, job-specific skills related to a specific career pathway; or demonstrate
efficiencies in delivering financial and other services needed to realize plan goals and
objectives. The plan must include:

(1) collaborative education goals and objectives;

(2) strategies and processes to implement those goals and objectives, including a budget
process with periodic expenditure reviews;

(3) valid and reliable measures including performance assessments in authentic settings
and progress toward attaining an industry certification or other credential, among other
measures, to evaluate progress in realizing plan goals and objectives;

(4) an implementation timeline; and

(5) other applicable conditions, regulations, responsibilities, duties, provisions, fee
schedules, and legal considerations needed to fully implement the plan.

A partnership may invite additional districts or other participants under paragraph (a) to
join the partnership after notifying the commissioner.

(c) A partnership of interested districts must submit an application to the commissioner
of education in the form and manner the commissioner determines, consistent with the
requirements of this section. The application must contain the formal approval adopted by
the school board in each district to participate in the plan.

(d) Notwithstanding any other law to the contrary, a participating school district under
this section continues to: receive revenue and maintain its taxation authority; be organized
and governed by an elected school board with general powers under section 123B.02; and
be subject to employment agreements under chapter 122A and section 179A.20; and district
employees continue to remain employees of the employing school district.

(e) Participating districts must submit a biennial report by February 1 in each
odd-numbered year to the education committees of the legislature and the commissioner of
education that includes performance assessment, high school graduation, and career and
technical certification data to show the success of the partnership in preparing diverse
populations of students for careers and jobs.

Subd. 2.

Commissioner's role.

The commissioner of education must convene an advisory
panel to advise the commissioner on applicants' qualifications to participate in this program.
The commissioner must ensure an equitable geographical distribution of program participants
to the extent practicable. The commissioner must select only those applicants that fully
comply with subdivision 1. The commissioner may terminate a program participant that
fails to effectively implement the goals and objectives contained in its application and
according to its stated timeline.

EFFECTIVE DATE.

(a) This section is effective the day following final enactment
and applies to those applications submitted after that date.

(b) Districts already approved for an innovation zone pilot project under Laws 2012,
chapter 263, section 1, as amended by Laws 2014, chapter 312, article 15, section 24, may
continue to operate.

Sec. 36.

Minnesota Statutes 2016, section 124D.68, subdivision 2, is amended to read:

Subd. 2.

Eligible pupils.

(a) A pupil under the age of 21 or who meets the requirements
of section 120A.20, subdivision 1, paragraph (c), is eligible to participate in the graduation
incentives program, if the pupil:

(1) performs substantially below the performance level for pupils of the same age in a
locally determined achievement test;

(2) is behind in satisfactorily completing coursework or obtaining credits for graduation;

(3) is pregnant or is a parent;

(4) has been assessed as chemically dependent;

(5) has been excluded or expelled according to sections 121A.40 to 121A.56;

(6) has been referred by a school district for enrollment in an eligible program or a
program pursuant to section 124D.69;

(7) is a victim of physical or sexual abuse;

(8) has experienced mental health problems;

(9) has experienced homelessness sometime within six months before requesting a
transfer to an eligible program;

(10) speaks English as a second language or is an English learner; or

(11) has withdrawn from school or has been chronically truant; or

(12) is being treated in a hospital in the seven-county metropolitan area for cancer or
other life threatening illness or is the sibling of an eligible pupil who is being currently
treated, and resides with the pupil's family at least 60 miles beyond the outside boundary
of the seven-county metropolitan area.

(b) For the 2016-2017 school year fiscal years 2017 and 2018 only, a pupil otherwise
qualifying under paragraph (a) who is at least 21 years of age and not yet 22 years of age,
is an English learner with an interrupted formal education according to section 124D.59,
subdivision 2a, and was in an early middle college program during the previous school year
is eligible to participate in the graduation incentives program under section 124D.68 and
in concurrent enrollment courses offered under section 124D.09, subdivision 10, and is
funded in the same manner as other pupils under this section.

Sec. 37.

Minnesota Statutes 2016, section 124D.695, is amended to read:

124D.695 APPROVED RECOVERY PROGRAM FUNDING.

Subdivision 1.

Approved recovery program.

"Approved recovery program" means a
course of instruction offered by a recovery school that provides academic services, assistance
with recovery, and continuing care to students recovering from substance abuse or
dependency. A recovery program may be offered in a transitional academic setting designed
to meet graduation requirements. A recovery program must be approved by the commissioner
of education. The commissioner may specify the manner and form of the application for
the approval of a recovery school or recovery program. The commissioner must also approve
any unreimbursed pupil transportation costs incurred by students participating in an approved
recovery program.

Subd. 2.

Eligibility.

(a) An approved recovery program is eligible for an annual recovery
program grant of up to $125,000 to pay for a portion of the costs of under this section for
recovery program support staff under this section and approved pupil transportation expenses.

(b) "Recovery program support staff" means licensed alcohol and chemical dependency
counselors, licensed school counselors, licensed school psychologists, licensed school
nurses, and licensed school social workers.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 38.

Minnesota Statutes 2016, section 124D.83, subdivision 2, is amended to read:

Subd. 2.

Revenue amount.

An American Indian-controlled tribal contract or grant school
that is located on a reservation within the state and that complies with the requirements in
subdivision 1 is eligible to receive tribal contract or grant school aid. The amount of aid is
derived by:

(1) multiplying the formula allowance under section 126C.10, subdivision 2, less $170,
times the difference between (i) the resident pupil units as defined in section 126C.05,
subdivision 6, in average daily membership, excluding section 126C.05, subdivision 13,
and (ii) the number of pupils for the current school year, weighted according to section
126C.05, subdivision 1, receiving benefits under section 123B.42 or 123B.44 or for which
the school is receiving reimbursement under section 124D.69;

(2) adding to the result in clause (1) an amount equal to the product of the formula
allowance under section 126C.10, subdivision 2, less $300 times the tribal contract
compensation revenue pupil units;

(3) subtracting from the result in clause (2) the amount of money allotted to the school
by the federal government through Indian School Equalization Program of the Bureau of
Indian Affairs, according to Code of Federal Regulations, title 25, part 39, subparts A to E,
for the basic program as defined by section 39.11, paragraph (b), for the base rate as applied
to kindergarten through twelfth grade, excluding small school adjustments and additional
weighting, but not money allotted through subparts F to L for contingency funds, school
board training, student training, interim maintenance and minor repair, interim administration
cost, prekindergarten, and operation and maintenance, and the amount of money that is
received according to section 124D.69;

(4) dividing the result in clause (3) by the sum of the resident pupil units in average daily
membership, excluding section 126C.05, subdivision 13, plus the tribal contract compensation
revenue pupil units; and

(5) multiplying the sum of the resident pupil units, including section 126C.05, subdivision
13, in average daily membership plus the tribal contract compensation revenue pupil units
by the lesser of $3,230 for fiscal years 2016 and 2017 or to 2019 and $1,500 for fiscal year
2018 2020 and later or the result in clause (4).

Sec. 39.

Minnesota Statutes 2016, section 124E.03, subdivision 2, is amended to read:

Subd. 2.

Certain federal, state, and local requirements.

(a) A charter school shall
meet all federal, state, and local health and safety requirements applicable to school districts.

(b) A school must comply with statewide accountability requirements governing standards
and assessments in chapter 120B.

(c) A charter school must comply with the Minnesota Public School Fee Law, sections
123B.34 to 123B.39.

(d) A charter school is a district for the purposes of tort liability under chapter 466.

(e) A charter school must comply with the Pledge of Allegiance requirement under
section 121A.11, subdivision 3.

(f) A charter school and charter school board of directors must comply with chapter 181
governing requirements for employment.

(g) A charter school must comply with continuing truant notification under section
260A.03.

(h) A charter school must develop and implement a teacher evaluation and peer review
process under section 122A.40, subdivision 8, paragraph (b), clauses (2) to (13), and place
students in classrooms in accordance with section 122A.40, subdivision 8, paragraph (d).
The teacher evaluation process in this paragraph does not create any additional employment
rights for teachers.

(i) A charter school must adopt a policy, plan, budget, and process, consistent with
section 120B.11, to review curriculum, instruction, and student achievement and strive for
the world's best workforce.

(j) A charter school is subject to and must comply with the Pupil Fair Dismissal Act,
sections 121A.40 to 121A.56.

Sec. 40.

Minnesota Statutes 2016, section 124E.05, subdivision 7, is amended to read:

Subd. 7.

Withdrawal.

If the governing board of an approved authorizer votes to withdraw
as an approved authorizer for a reason unrelated to any cause under section 124E.10,
subdivision 4, the authorizer must notify all its chartered schools and the commissioner in
writing by March 1 of its intent to withdraw as an authorizer on June 30 in the next calendar
year, regardless of when the authorizer's five-year term of approval ends. Upon notification
of the schools and commissioner, the authorizer must provide a letter to the school for
distribution to families of students enrolled in the school that explains the decision to
withdraw as an authorizer. The commissioner may approve the transfer of a charter school
to a new authorizer under section 124E.10, subdivision 5.

Sec. 41.

Minnesota Statutes 2016, section 124E.11, is amended to read:

124E.11 ADMISSION REQUIREMENTS AND ENROLLMENT.

(a) A charter school, including its preschool or prekindergarten program established
under section 124E.06, subdivision 3, paragraph (b), may limit admission to:

(1) pupils within an age group or grade level;

(2) pupils who are eligible to participate in the graduation incentives program under
section 124D.68; or

(3) residents of a specific geographic area in which the school is located when the
majority of students served by the school are members of underserved populations.

(b) A charter school, including its preschool or prekindergarten program established
under section 124E.06, subdivision 3, paragraph (b), shall enroll an eligible pupil who
submits a timely application, unless the number of applications exceeds the capacity of a
program, class, grade level, or building. In this case, pupils must be accepted by lot. The
charter school must develop and publish, including on its Web site, a lottery policy and
process that it must use when accepting pupils by lot.

(c) A charter school shall give enrollment preference to a sibling of an enrolled pupil
and to a foster child of that pupil's parents and may give preference for enrolling children
of the school's staff before accepting other pupils by lot. A charter school that is located in
Duluth township in St. Louis County and admits students in kindergarten through grade 6
must give enrollment preference to students residing within a five-mile radius of the school
and to the siblings of enrolled children. A charter school may give enrollment preference
to children currently enrolled in the school's free preschool or prekindergarten program
under section 124E.06, subdivision 3, paragraph (a), who are eligible to enroll in kindergarten
in the next school year.

(d) A person shall not be admitted to a charter school (1) as a kindergarten pupil, unless
the pupil is at least five years of age on September 1 of the calendar year in which the school
year for which the pupil seeks admission commences; or (2) as a first grade student, unless
the pupil is at least six years of age on September 1 of the calendar year in which the school
year for which the pupil seeks admission commences or has completed kindergarten; except
that a charter school may establish and publish on its Web site a policy for admission of
selected pupils at an earlier age, consistent with the enrollment process in paragraphs (b)
and (c).

(e) Except as permitted in paragraph (d), a charter school, including its preschool or
prekindergarten program established under section 124E.06, subdivision 3, paragraph (b),
may not limit admission to pupils on the basis of intellectual ability, measures of achievement
or aptitude, or athletic ability and may not establish any criteria or requirements for admission
that are inconsistent with this section.

(f) The charter school shall not distribute any services or goods of value to students,
parents, or guardians as an inducement, term, or condition of enrolling a student in a charter
school.

(g) Once a student is enrolled in the school, the student is considered enrolled in the
school until the student formally withdraws or is expelled under the Pupil Fair Dismissal
Act in sections 121A.40 to 121A.56. A charter school is subject to and must comply with
the Pupil Fair Dismissal Act, sections 121A.40 to 121A.56.

(h) A charter school with at least 90 percent of enrolled students who are eligible for
special education services and have a primary disability of deaf or hard-of-hearing may
enroll prekindergarten pupils with a disability under section 126C.05, subdivision 1,
paragraph (a), and must comply with the federal Individuals with Disabilities Education
Act under Code of Federal Regulations, title 34, section 300.324, subsection (2), clause
(iv).

Sec. 42.

Minnesota Statutes 2016, section 124E.22, is amended to read:

124E.22 BUILDING LEASE AID.

(a) When a charter school finds it economically advantageous to rent or lease a building
or land for any instructional purpose and it determines that the total operating capital revenue
under section 126C.10, subdivision 13, is insufficient for this purpose, it may apply to the
commissioner for building lease aid. The commissioner must review and either approve or
deny a lease aid application using the following criteria:

(1) the reasonableness of the price based on current market values;

(2) the extent to which the lease conforms to applicable state laws and rules; and

(3) the appropriateness of the proposed lease in the context of the space needs and
financial circumstances of the charter school. The commissioner must approve aid only for
a facility lease that has (i) a sum certain annual cost and (ii) a closure clause to relieve the
charter school of its lease obligations at the time the charter contract is terminated or not
renewed. The closure clause under item (ii) must not be constructed or construed to relieve
the charter school of its lease obligations in effect before the charter contract is terminated
or not renewed.

(b) A charter school must not use the building lease aid it receives for custodial,
maintenance service, utility, or other operating costs.

(c) The amount of annual building lease aid for a charter school shall not exceed the
lesser of (1) 90 percent of the approved cost or (2) the product of the charter school building
lease aid pupil units served for the current school year times $1,314.

(d) A charter school's building lease aid pupil units equals the sum of the charter school
pupil units under section 126C.05 and the pupil units for the portion of the day that the
charter school's enrolled students are participating in the Postsecondary Enrollment Options
Act under section 124D.09 and not otherwise included in the pupil count under section
126C.05.

EFFECTIVE DATE.

This section is effective for fiscal year 2018 and later.

Sec. 43.

Minnesota Statutes 2016, section 125A.56, subdivision 1, is amended to read:

Subdivision 1.

Requirement.

(a) Before a pupil is referred for a special education
evaluation, the district must conduct and document at least two instructional strategies,
alternatives, or interventions using a system of scientific, research-based instruction and
intervention in academics or behavior, based on the pupil's needs, while the pupil is in the
regular classroom. The pupil's teacher must document the results. A special education
evaluation team may waive this requirement when it determines the pupil's need for the
evaluation is urgent. This section may not be used to deny a pupil's right to a special
education evaluation.

(b) A school district shall use alternative intervention services, including the assurance
of mastery program under section 124D.66, or an early intervening services program under
subdivision 2 to serve at-risk pupils who demonstrate a need for alternative instructional
strategies or interventions.

(c) A student identified as being unable to read at grade level under section 120B.12,
subdivision 2, paragraph (a), must be provided with alternate instruction under this
subdivision that is multisensory, systematic, sequential, cumulative, and explicit.

Sec. 44.

[136A.1276] ALTERNATIVE TEACHER PREPARATION GRANT
PROGRAM.

Subdivision 1.

Definitions.

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

(b) "Alternative teacher preparation program" means an alternative teacher preparation
program under section 122A.245, subdivision 2, or an experimental teacher preparation
program under section 122A.09, subdivision 10.

(c) "Commissioner" means the commissioner of the Office of Higher Education.

(d) "Program" means a teacher preparation curriculum leading to specific licensure areas.

(e) "Shortage area" means:

(1) licensure fields and economic development regions reported by the commissioner
of education as experiencing a teacher shortage; and

(2) economic development regions where there is a shortage of licensed teachers who
reflect the racial or ethnic diversity of students in the region.

(f) "Unit" means an institution or defined subdivision of the institution that has primary
responsibility for overseeing and delivering teacher preparation programs.

Subd. 2.

Establishment; eligibility.

(a) The commissioner, in consultation with the
Board of Teaching, must establish and administer a program annually awarding grants to
eligible alternative teacher preparation programs consistent with this section.

(b) To be eligible to receive a grant, an alternative teacher preparation program must
certify that it:

(1) is working to fill Minnesota's teacher shortage areas; and

(2) is a school district, charter school, or nonprofit corporation organized under chapter
317A or under section 501(c)(3) of the Internal Revenue Code of 1986 for an
education-related purpose that has been operating continuously for at least three years in
Minnesota or any other state.

(c) The commissioner must give priority to applicants based in Minnesota when awarding
grants under this section.

Subd. 3.

Use of grants.

(a) An alternative teacher preparation program receiving a grant
under this section must use the grant to:

(1) establish initial unit approval to become an alternative teacher preparation program;

(2) expand alternative teacher preparation programs by expanding program approval to
other licensure areas identified as shortage areas by the commissioner of education;

(3) recruit, select, and train teachers who reflect the racial or ethnic diversity of students
in Minnesota; or

(4) establish professional development programs for teachers who have obtained teaching
licenses through alternative teacher preparation programs.

An alternative teacher preparation program may expend grant funds on regional management
and operations, development, and central support services, including financial support and
support for technology and human services.

(b) An alternative teacher preparation program may use grant funds awarded under this
section as a match for nonstate funds, subject to paragraph (a).

(c) Appropriations made to this program do not cancel and are available until expended.

Subd. 4.

Report.

An alternative teacher preparation program receiving a grant under
this section must submit a report to the commissioner and the Board of Teaching on the
grantee's ability to fill teacher shortage areas and positively impact student achievement
where data are available and do not identify individual teachers. A grant recipient must
submit the report required under this subdivision by January 31, 2018, and each
even-numbered year thereafter. The report must include disaggregated data regarding:

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

(2) program participant placement.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2018 and later.

Sec. 45.

Minnesota Statutes 2016, section 136A.1791, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

(a) The terms used in this section have the meanings given
them in this subdivision.

(b) "Qualified educational loan" means a government, commercial, or foundation loan
for actual costs paid for tuition and reasonable educational and living expenses related to a
teacher's preparation or further education.

(c) "School district" means an independent school district, special school district,
intermediate district, education district, special education cooperative, service cooperative,
a cooperative center for vocational education, or a charter school located in Minnesota.

(d) "Teacher" means an individual holding a teaching license issued by the licensing
division in the Department of Education on behalf of the Board of Teaching who is employed
by a school district to provide classroom instruction in a teacher shortage area.

(e) "Teacher shortage area" means:

(1) the licensure fields and economic development regions reported by the commissioner
of education as experiencing a teacher shortage.; and

(2) economic development regions where there is a shortage of licensed teachers who
reflect the racial or ethnic diversity of students in the region as reported by the commissioner
of education.

(f) "Commissioner" means the commissioner of the Office of Higher Education unless
indicated otherwise.

EFFECTIVE DATE.

This section is effective August 1, 2017.

Sec. 46.

Minnesota Statutes 2016, section 136A.1791, subdivision 2, is amended to read:

Subd. 2.

Program established; administration.

The commissioner shall establish and
administer a teacher shortage loan forgiveness program. A teacher is eligible for the program
if the teacher is teaching in a licensure field and in an economic development region with
an identified teacher shortage area under subdivision 3 and complies with the requirements
of this section.

EFFECTIVE DATE.

This section is effective August 1, 2017.

Sec. 47.

Minnesota Statutes 2016, section 136A.1791, subdivision 9, is amended to read:

Subd. 9.

Annual reporting.

By February 1 of each year, the commissioner must report
to the chairs of the K-12 kindergarten through grade 12 and higher education committees
of the legislature on the number of individuals who received loan forgiveness under this
section, the race or ethnicity of the teachers participating in the program, the licensure areas
and economic development regions in which the teachers taught, the average amount paid
to a teacher participating in the program, and other summary data identified by the
commissioner as outcome indicators.

EFFECTIVE DATE.

This section is effective August 1, 2017.

Sec. 48.

Laws 2016, chapter 189, article 25, section 58, is amended to read:

Sec. 58. NORTHWEST REGIONAL PARTNERSHIP STATEWIDE
CONCURRENT ENROLLMENT TEACHER TRAINING PROGRAM.

Subdivision 1.

Definition.

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

(b) "Northwest Regional Partnership" means a voluntary association of the Lakes Country
Service Cooperative, the Northwest Service Cooperative, and Minnesota State
University-Moorhead that works together to provide coordinated higher learning opportunities
for teachers.

(c) "State Partnership" means a voluntary association of the Northwest Regional
Partnership and the Metropolitan Educational Cooperative Service Unit.

(d) "Eligible postsecondary institution" means a public or private postsecondary institution
that awards graduate credits.

(e) "Eligible teacher" means a licensed teacher of secondary school courses for
postsecondary credit.

Subd. 2.

Establishment.

(a) Lakes Country Service Cooperative, in consultation with
the Northwest Service Cooperative, may develop a continuing education program to allow
eligible teachers to attain the requisite graduate credits necessary to be qualified to teach
secondary school courses for postsecondary credit.

(b) If established, the State Partnership must contract with one or more eligible
postsecondary institutions to establish a continuing education credit program to allow eligible
teachers to attain sufficient graduate credits to qualify to teach secondary school courses
for postsecondary credit. Members of the State Partnership must work to eliminate duplication
of service and develop the continuing education credit program efficiently and
cost-effectively.

Subd. 3.

Curriculum development.

Minnesota State University-Moorhead may develop
The continuing education program must use flexible delivery models, such as an online
education curriculum to, that allow eligible secondary school teachers to attain graduate
credit at a reduced credit rate. Information about the curriculum, including course length
and course requirements, must be posted on the Web site of the eligible institution offering
the course at least two weeks before eligible teachers are required to register for courses in
the continuing education program.

Subd. 4.

Funding for course development; scholarships; stipends.

(a) Lakes Country
Service Cooperative, in consultation with the other members of the Northwest Regional
Partnership, shall:

(1) provide funding for course development for up to 18 credits in applicable
postsecondary subject areas;

(2) provide scholarships for eligible teachers to enroll in the continuing education
program; and

(3) develop criteria for awarding educator stipends on a per-credit basis to incentivize
participation in the continuing education program.

(b) If established, the State Partnership must:

(1) provide funding for course development for up to 18 credits in applicable
postsecondary subject areas;

(2) provide scholarships for eligible teachers to enroll in the continuing education
program; and

(3) develop criteria for awarding educator stipends on a per-credit basis to incentivize
participation in the continuing education program.

Subd. 5.

Participant eligibility.

Participation in the continuing education program is
reserved for teachers of secondary school courses for postsecondary credit. Priority must
be given to teachers employed by a school district that is a member of the Lakes Country
Service Cooperative or Northwest Service Cooperative. Teachers employed by a school
district that is not a member of the Lakes Country Service Cooperative or Northwest Service
Cooperative may participate in the continuing education program as space allows. A teacher
participating in this program is ineligible to participate in other concurrent enrollment teacher
training grant programs.

Subd. 6.

Private funding.

The partnership partnerships may receive private resources
to supplement the available public money. All money received in fiscal year 2017 shall be
administered by the Lakes Country Service Cooperative. All money received in fiscal year
2018 and later shall be administered by the State Partnership.

Subd. 7.

Report required.

(a) The Northwest Regional Partnership must submit an
annual a report by January 15 of each year, 2018, on the progress of its activities to the
legislature, commissioner of education, and Board of Trustees of the Minnesota State
Colleges and Universities. The annual report shall contain a financial report for the preceding
year. The first report is due no later than January 15, 2018.

(b) If established, the State Partnership must submit an annual joint report to the
legislature and the Office of Higher Education by January 15 of each year on the progress
of its activities. The report must include the number of teachers participating in the program,
the geographic location of the teachers, the number of credits earned, and the subject areas
of the courses in which participants earned credit. The report must include a financial report
for the preceding year.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 49.

Laws 2016, chapter 189, article 25, section 62, subdivision 7, is amended to read:

Subd. 7.

Education Innovation Partners Cooperative Center.

(a) For a matching
grant to Education Innovation Partners Cooperative Center, No. 6091-50, to provide
research-based professional development services, on-site training, and leadership coaching
to teachers and other school staff:

	$	500,000 90,000	.....	2017
	$	410,000	.....	2018

(b) $410,000 of the $500,000 appropriation in Laws 2016, chapter 189, article 25, section
62, subdivision 7, is canceled to the state general fund on June 30, 2017.

(c) A grant under this subdivision must be matched with money or in-kind contributions
from nonstate sources. This is a onetime appropriation. This appropriation is available until
June 30, 2019.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 50.

Laws 2016, chapter 189, article 25, section 62, subdivision 11, is amended to
read:

Subd. 11.

Student teachers in shortage areas.

For transfer to the commissioner of the
Office of Higher Education for the purpose of providing grants to student teachers in shortage
areas under Minnesota Statutes, section 136A.1275:

$

2,800,000

.....

2017

Of this amount, up to two percent is for administration of the student teacher grant
program in expectation that the Office of Higher Education will begin to disburse grants
no later than September 1, 2017. This is a onetime appropriation. This appropriation is
available until June 30, 2019.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 51. AGRICULTURAL EDUCATOR GRANTS.

Subdivision 1.

Grant program established.

A grant program is established to support
school districts in paying agricultural education teachers for work over the summer with
high school students in extended programs.

Subd. 2.

Application.

The commissioner of education shall develop the form and method
for applying for the grants. The commissioner shall develop criteria for determining the
allocation of the grants, including appropriate goals for the use of the grants.

Subd. 3.

Grant awards.

Grant funding under this section must be matched by funding
from the school district for the agricultural education teacher's summer employment. Grant
funding for each teacher is limited to the one-half share of 40 working days.

Subd. 4.

Reports.

School districts that receive grant funds shall report to the
commissioner of education no later than December 31 of each year regarding the number
of teachers funded by the grant program and the outcomes compared to the goals established
in the grant application. The Department of Education shall develop the criteria necessary
for the reports.

Sec. 52. INNOVATION RESEARCH ZONES PILOT PROGRAM.

Subdivision 1.

Establishment; requirements for participation; research zone plans.

(a) The innovation research zone pilot program is established to improve student and school
outcomes consistent with the world's best workforce requirements under Minnesota Statutes,
section 120B.11. Innovation zone partnerships allow school districts and charter schools to
research and implement innovative education programming models designed to better
prepare students for the world of the 21st century.

(b) One or more school districts or charter schools may join together to form an innovation
zone partnership. The partnership may include other nonschool partners, including
postsecondary institutions, other units of local government, nonprofit organizations, and
for-profit organizations. An innovation zone plan must be collaboratively developed in
concert with the school's instructional staff.

(c) An innovation research zone partnership must research and implement innovative
education programs and models that are based on proposed hypotheses. An innovation zone
plan may include an emerging practice not yet supported by peer-reviewed research.
Examples of innovation zone research may include, but are not limited to:

(1) personalized learning, allowing students to excel at their own pace and according to
their interests, aspirations, and unique needs;

(2) the use of competency outcomes rather than seat time and course completion to fulfill
standards, credits, and other graduation requirements;

(3) multidisciplinary, real-world, inquiry-based, and student-directed models designed
to make learning more engaging and relevant, including documenting and validating learning
that takes place beyond the school day and school walls;

(4) models of instruction designed to close the achievement gap, including new models
for age three to grade 3 models, English as a second language models, early identification
and prevention of mental health issues, and others;

(5) new partnerships between secondary schools and postsecondary institutions,
employers, or career training institutions enabling students to complete industry certifications,
postsecondary education credits, and other credentials;

(6) new methods of collaborative leadership including the expansion of schools where
teachers have larger professional roles;

(7) new ways to enhance parental and community involvement in learning;

(8) new models of professional development for educators, including embedded
professional development; or

(9) new models in other areas such as whole child instruction, social-emotional skill
development, technology-based or blended learning, parent and community involvement,
professional development and mentoring, and models that increase the return on investment.

(d) An innovation zone plan submitted to the commissioner must describe:

(1) how the plan will improve student and school outcomes consistent with the world's
best workforce requirements under Minnesota Statutes, section 120B.11;

(2) the role of each partner in the zone;

(3) the research methodology used for each proposed action in the plan;

(4) the exemptions from statutes and rules in subdivision 2 that the research zone
partnership will use;

(5) a description of how teachers and other educational staff from the affected school
sites will be included in the planning and implementation process;

(6) a detailed description of expected outcomes and graduation standards;

(7) a timeline for implementing the plan and assessing the outcomes; and

(8) how results of the plan will be disseminated.

The governing board for each partner must approve the innovation zone plan.

(e) Upon unanimous approval of the initial innovation zone partners and approval of the
commissioner of education, the innovation zone partnership may extend membership to
other partners. A new partner's membership is effective 30 days after the innovation zone
partnership notifies the commissioner of the proposed change in membership unless the
commissioner disapproves the new partner's membership.

(f) Notwithstanding any other law to the contrary, a school district or charter school
participating in an innovation zone partnership under this section continues to receive all
revenue and maintains its taxation authority in the same manner as before its participation
in the innovation zone partnership. The innovation zone school district and charter school
partners remain organized and governed by their respective school boards with general
powers under Minnesota Statutes, chapter 123B or 124E, and remain subject to any
employment agreements under Minnesota Statutes, chapters 122A and 179A. School district
and charter school employees participating in an innovation zone partnership remain
employees of their respective school district or charter school.

(g) An innovation zone partnership may submit its plan at any time to the commissioner
in the form and manner specified by the commissioner. The commissioner must approve
or reject the plan after reviewing the recommendation of the Innovation Research Zone
Advisory Panel. An initial innovation zone plan that has been rejected by the commissioner
may be resubmitted to the commissioner after the innovation zone partnership has modified
the plan to meet each individually identified objection.

Subd. 2.

Exemptions from laws and rules.

(a) Notwithstanding any other law to the
contrary, an innovation zone partner with an approved plan is exempt from each of the
following state education laws and rules specifically identified in its plan:

(1) any law or rule from which a district-created, site-governed school under Minnesota
Statutes, section 123B.045, is exempt;

(2) any statute or rule from which the commissioner has exempted another district or
charter school, as identified in the list published on the Department of Education's Web site
under subdivision 4, paragraph (b);

(3) online learning program approval under Minnesota Statutes, section 124D.095,
subdivision 7, if the school district or charter school offers a course or program online
combined with direct access to a teacher for a portion of that course or program;

(4) restrictions on extended time revenue under Minnesota Statutes, section 126C.10,
subdivision 2a, for a student who meets the criteria of Minnesota Statutes, section 124D.68,
subdivision 2; and

(5) any required hours of instruction in any class or subject area for a student who is
meeting all competencies consistent with the graduation standards described in the innovation
zone plan.

(b) The exemptions under this subdivision must not be construed as exempting an
innovation zone partner from the Minnesota Comprehensive Assessments.

Subd. 3.

Innovation Research Zone Advisory Panel.

(a) The commissioner must
establish and convene an Innovation Research Zone Advisory Panel to review all innovation
zone plans submitted for approval.

(b) The panel must be composed of nine members. One member must be appointed by
each of the following organizations: Educators for Excellence, Education Minnesota,
Minnesota Association of Secondary School Principals, Minnesota Elementary School
Principals' Association, Minnesota Association of School Administrators, Minnesota School
Boards Association, Minnesota Association of Charter Schools, and the Office of Higher
Education. The commissioner must appoint one member with expertise in evaluation and
research.

Subd. 4.

Commissioner approval.

(a) Upon recommendation of the Innovation Research
Zone Advisory Panel, the commissioner may approve up to three innovation zone plans in
the seven-county metropolitan area and up to three in greater Minnesota. If an innovation
zone partnership fails to implement its innovation zone plan as described in its application
and according to the stated timeline, upon recommendation of the Innovation Research
Zone Advisory Panel, the commissioner must alert the partnership members and provide
the opportunity to remediate. If implementation continues to fail, the commissioner must
suspend or terminate the innovation zone plan.

(b) The commissioner must publish a list of the exemptions the commissioner has granted
to a district or charter school on the Department of Education's Web site by July 1, 2017.
The list must be updated annually.

Subd. 5.

Project evaluation, dissemination, and report to legislature.

Each research
zone partnership must submit project data to the commissioner in the form and manner
provided for in the approved application. At least once every two years, the commissioner
must analyze each innovation zone's progress in realizing the objectives of the innovation
zone partnership's plan. The commissioner must summarize and categorize innovation zone
plans and submit a report to the legislative committees having jurisdiction over education
by February 1 of each odd-numbered year in accordance with Minnesota Statutes, section
3.195.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 53. COMMISSIONER OF EDUCATION MUST SUBMIT ESSA PLAN TO
LEGISLATURE.

Subdivision 1.

ESSA plan.

The commissioner of education must submit the state plan
developed pursuant to the Elementary and Secondary Education Act of 1965, as amended
by the Every Student Succeeds Act, United States Code, title 20, section 6311, to the
education policy and finance committees of the legislature at least 30 days before submitting
the plan to the United States Department of Education.

Subd. 2.

Alignment with World's Best Workforce measures.

The state plan must be
consistent and aligned, to the extent practicable, with the performance accountability
measures required under Minnesota Statutes, section 120B.11, subdivision 1a, to create a
single accountability system for all public schools.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 54. EDUCATIONAL STABILITY FOR STUDENTS IN FOSTER CARE.

Subdivision 1.

Establishment.

A pilot project is established to provide incentives for
school districts and county governments to develop partnership agreements and implement
transportation plans to help keep foster care students enrolled in their school of origin when
a student is placed in a foster care setting outside the school of origin's boundaries.

Subd. 2.

Qualifying plans.

A school district must submit an application in the form and
manner prescribed by the commissioner of education to participate in the program. To
qualify for participation, one or more school districts and the local child welfare agency
must have a written interagency agreement that describes the local plan for ensuring
educational stability for foster care students. The parties to the agreement must seek Title
IV-E reimbursement for eligible students and eligible transportation costs. The plan must
describe:

(1) how transportation services will be arranged and provided; and

(2) how local transportation costs will be paid for if pilot project funds are insufficient
to cover all costs.

Subd. 3.

Pilot project; funding.

The commissioner must reimburse partnerships with
qualifying plans under subdivision 2 at the end of the school year based on allowable
expenditures and reimbursements and compliance with other reporting requirements. If the
available appropriation is insufficient to fully fund all qualifying plans, the commissioner
may prorate the available funds statewide among all school districts with qualifying plans.

Subd. 4.

Report.

By February 1, 2018, the commissioner of education shall report on
the pilot project to the legislative committees with jurisdiction over early childhood through
grade 12 education. The report must include, at a minimum, the number of local agreements
entered into for this project along with the number of school districts and counties
participating in the agreements, baseline data showing the number of foster care students
who were able to remain in their school of origin and the changes in the ratio over the time
of the pilot project, data on expenditures for school stability transportation and federal
reimbursements received for the pilot project with a midyear projection of end-of-year costs
and revenues, and projected costs for statewide implementation of the program.

Sec. 55. RURAL CAREER AND TECHNICAL EDUCATION CONSORTIUM
GRANTS.

Subdivision 1.

Definition.

"Rural career and technical education (CTE) consortium"
means a voluntary collaboration of a service cooperative and other regional public and
private partners, including school districts and higher education institutions, that work
together to provide career and technical education opportunities within the service
cooperative's multicounty service area.

Subd. 2.

Establishment.

(a) A rural CTE consortium shall:

(1) focus on the development of courses and programs that encourage collaboration
between two or more school districts;

(2) develop new career and technical programs that focus on the industry sectors that
fuel the rural regional economy;

(3) facilitate the development of highly trained and knowledgeable students who are
equipped with technical and workplace skills needed by regional employers;

(4) improve access to career and technical education programs for students who attend
sparsely populated rural school districts by developing public and private partnerships with
business and industry leaders and by increasing coordination of high school and
postsecondary program options;

(5) increase family and student awareness of the availability and benefit of career and
technical education courses and training opportunities; and

(6) provide capital start-up costs for items including but not limited to a mobile welding
lab, medical equipment and lab, and industrial kitchen equipment.

(b) In addition to the requirements in paragraph (a), a rural CTE consortium may:

(1) address the teacher shortage crisis in career and technical education through incentive
funding and training programs; and

(2) provide transportation reimbursement grants to provide equitable opportunities
throughout the region for students to participate in career and technical education.

Subd. 3.

Rural career and technical education advisory committee.

In order to be
eligible for a grant under this section, a service cooperative must establish a rural career
and technical education advisory committee to advise the cooperative on the administration
of the rural CTE consortium.

Subd. 4.

Private funding.

A rural CTE consortium may receive other sources of funds
to supplement state funding. All funds received shall be administered by the service
cooperative that is a member of the consortium.

Subd. 5.

Reporting requirements.

A rural CTE consortium must submit an annual
report on the progress of its activities to the commissioner of education and the legislative
committees with jurisdiction over secondary and postsecondary education. The annual report
must contain a financial report for the preceding fiscal year. The first report is due no later
than January 15, 2019.

Subd. 6.

Grant recipients.

For fiscal years 2018 and 2019, the commissioner shall
award a two-year grant to the consortium that is a collaboration of the Southwest/West
Central Service Cooperative (SWWC), Southwest Minnesota State University, Minnesota
West Community and Technical College, Ridgewater College, and other regional public
and private partners. For fiscal years 2020 and 2021, the commissioner shall award a two-year
grant to an applicant consortium that includes the South Central Service Cooperative or
Southeast Service Cooperative and a two-year grant to an applicant consortium that includes
the Northwest Service Cooperative or Northeast Service Cooperative.

Sec. 56. INTERMEDIATE SCHOOL DISTRICT MENTAL HEALTH INNOVATION
GRANT PROGRAM; APPROPRIATION.

(a) $2,450,000 in fiscal year 2018 and $2,450,000 in fiscal year 2019 are appropriated
from the general fund to the commissioner of human services for a grant program to fund
innovative projects to improve mental health outcomes for youth attending a qualifying
school unit.

(b) A "qualifying school unit" means an intermediate district organized under Minnesota
Statutes, section 136D.01, or a service cooperative organized under Minnesota Statutes,
section 123A.21, subdivision 1, paragraph (a), clause (2), that provides instruction to students
in a setting of federal instructional level 4 or higher. Grants under paragraph (a) must be
awarded to eligible applicants such that the services are proportionately provided among
qualifying school units. The commissioner shall calculate the share of the appropriation to
be used in each qualifying school unit by dividing the qualifying school unit's average daily
membership in a setting of federal instructional level 4 or higher for fiscal year 2016 by the
total average daily membership in a setting of federal instructional level 4 or higher for the
same year for all qualifying school units.

(c) An eligible applicant is an entity that has demonstrated capacity to serve the youth
identified in paragraph (a) and that is:

(1) certified under Minnesota Rules, parts 9520.0750 to 9520.0870;

(2) a community mental health center under Minnesota Statutes, section 256B.0625,
subdivision 5;

(3) an Indian health service facility or facility owned and operated by a tribe or tribal
organization operating under United States Code, title 25, section 5321; or

(4) a provider of children's therapeutic services and supports as defined in Minnesota
Statutes, section 256B.0943.

(d) An eligible applicant must employ or contract with at least two licensed mental health
professionals as defined in Minnesota Statutes, section 245.4871, subdivision 27, clauses
(1) to (6), who have formal training in evidence-based practices.

(e) A qualifying school unit must submit an application to the commissioner in the form
and manner specified by the commissioner. The commissioner may approve an application
that describes models for innovative projects to serve the needs of the schools and students.
The commissioner may provide technical assistance to the qualifying school unit. The
commissioner shall then solicit grant project proposals and award grant funding to the
eligible applicants whose project proposals best meet the requirements of this section and
most closely adhere to the models created by the intermediate districts and service
cooperatives.

(f) To receive grant funding, an eligible applicant must obtain a letter of support for the
applicant's grant project proposal from each qualifying school unit the eligible applicant is
proposing to serve. An eligible applicant must also demonstrate the following:

(1) the ability to seek third-party reimbursement for services;

(2) the ability to report data and outcomes as required by the commissioner; and

(3) the existence of partnerships with counties, tribes, substance use disorder providers,
and mental health service providers, including providers of mobile crisis services.

(g) Grantees shall obtain all available third-party reimbursement sources as a condition
of receiving grant funds. For purposes of this grant program, a third-party reimbursement
source does not include a public school as defined in Minnesota Statutes, section 120A.20,
subdivision 1.

(h) The base budget for this program is $0. This appropriation is available until June 30,
2020.

Sec. 57. APPROPRIATIONS.

Subdivision 1.

Department of Education.

The sums indicated in this section are
appropriated from the general fund to the Department of Education for the fiscal years
designated.

Subd. 2.

Achievement and integration aid.

For achievement and integration aid under
Minnesota Statutes, section 124D.862:

	$	71,249,000	.....	2018
	$	73,267,000	.....	2019

The 2018 appropriation includes $6,725,000 for 2017 and $64,524,000 for 2018.

The 2019 appropriation includes $7,169,000 for 2018 and $66,098,000 for 2019.

Subd. 3.

Literacy incentive aid.

For literacy incentive aid under Minnesota Statutes,
section 124D.98:

	$	47,264,000	.....	2018
	$	47,763,000	.....	2019

The 2018 appropriation includes $4,597,000 for 2017 and $42,667,000 for 2018.

The 2019 appropriation includes $4,740,000 for 2018 and $43,023,000 for 2019.

Subd. 4.

Interdistrict desegregation or integration transportation grants.

For
interdistrict desegregation or integration transportation grants under Minnesota Statutes,
section 124D.87:

	$	13,337,000	.....	2018
	$	14,075,000	.....	2019

Subd. 5.

Tribal contract schools.

For tribal contract school aid under Minnesota Statutes,
section 124D.83:

	$	3,623,000	.....	2018
	$	4,018,000	.....	2019

The 2018 appropriation includes $323,000 for 2017 and $3,300,000 for 2018.

The 2019 appropriation includes $366,000 for 2018 and $3,652,000 for 2019.

Subd. 6.

American Indian education aid.

For American Indian education aid under
Minnesota Statutes, section 124D.81, subdivision 2a:

	$	9,244,000	.....	2018
	$	9,464,000	.....	2019

The 2018 appropriation includes $886,000 for 2017 and $8,358,000 for 2018.

The 2019 appropriation includes $928,000 for 2018 and $8,536,000 for 2019.

Subd. 7.

Early childhood literacy programs.

(a) For early childhood literacy programs
under Minnesota Statutes, section 119A.50, subdivision 3:

	$	6,950,000	.....	2018
	$	6,950,000	.....	2019

(b) Up to $6,950,000 each year is for leveraging federal and private funding to support
AmeriCorps members serving in the Minnesota reading corps program established by
ServeMinnesota, including costs associated with training and teaching early literacy skills
to children ages three to grade 3 and evaluating the impact of the program under Minnesota
Statutes, sections 124D.38, subdivision 2, and 124D.42, subdivision 6.

(c) Any balance in the first year does not cancel but is available in the second year.

(d) The base for fiscal year 2020 is $7,950,000.

Subd. 8.

Concurrent enrollment program.

For concurrent enrollment programs under
Minnesota Statutes, section 124D.091:

	$	4,000,000	.....	2018
	$	4,000,000	.....	2019

If the appropriation is insufficient, the commissioner must proportionately reduce the
aid payment to each district.

Any balance in the first year does not cancel but is available in the second year.

Subd. 9.

Expanded concurrent enrollment grants.

For grants to institutions offering
"Introduction to Teaching" or "Introduction to Education" college in the schools courses
under Minnesota Statutes, section 124D.09, subdivision 10, paragraph (b):

	$	375,000	.....	2018
	$	375,000	.....	2019

The department may retain up to five percent of the appropriation amount to monitor
and administer the grant program.

Subd. 10.

ServeMinnesota program.

For funding ServeMinnesota programs under
Minnesota Statutes, sections 124D.37 to 124D.45:

	$	900,000	.....	2018
	$	900,000	.....	2019

A grantee organization may provide health and child care coverage to the dependents
of each participant enrolled in a full-time ServeMinnesota program to the extent such
coverage is not otherwise available.

Subd. 11.

Student organizations.

For student organizations:

	$	725,000	.....	2018
	$	725,000	.....	2019

(a) $46,000 each year is for student organizations serving health occupations (HOSA).

(b) $100,000 each year is for student organizations serving trade and industry occupations
(Skills USA, secondary and postsecondary).

(c) $95,000 each year is for student organizations serving business occupations (BPA,
secondary and postsecondary).

(d) $193,000 each year is for student organizations serving agriculture occupations (FFA,
PAS).

(e) $142,000 in fiscal years 2018 and 2019 is for student organizations serving family
and consumer science occupations (FCCLA). Notwithstanding Minnesota Rules, part
3505.1000, subparts 28 and 31, the student organizations serving FCCLA shall continue to
serve students younger than grade 9. Beginning in fiscal year 2020, the amount is $185,000.

(f) $109,000 each year is for student organizations serving marketing occupations (DECA
and DECA collegiate).

(g) $40,000 each year is for the Minnesota Foundation for Student Organizations.

(h) Any balance in the first year does not cancel but is available in the second year.

(i) The base for fiscal year 2020 and later is $768,000.

Subd. 12.

Museums and education centers.

For grants to museums and education
centers:

	$	460,000	.....	2018
	$	460,000	.....	2019

(a) $319,000 each year is for the Minnesota Children's Museum. Of the amount in this
paragraph, $50,000 in each year is for the Minnesota Children's Museum, Rochester.

(b) $50,000 each year is for the Duluth Children's Museum.

(c) $41,000 each year is for the Minnesota Academy of Science.

(d) $50,000 each year is for the Headwaters Science Center.

Any balance in the first year does not cancel but is available in the second year.

Subd. 13.

Minnesota Center for the Book programming.

For grants to the entity
designated by the Library of Congress as the Minnesota Center for the Book to provide
statewide programming related to the Minnesota Book Awards and for additional
programming throughout the state related to the Center for the Book designation:

	$	50,000	.....	2018
	$	50,000	.....	2019

The base for fiscal year 2020 is $0.

Subd. 14.

Singing-based pilot program to improve student reading.

(a) For a grant
to pilot a research-supported, computer-based educational program that uses singing to
improve the reading ability of students in grades 2 through 5:

	$	500,000	.....	2018
	$	0	.....	2019

(b) The commissioner of education shall award a grant to the Rock 'n' Read Project to
implement a research-supported, computer-based educational program that uses singing to
improve the reading ability of students in grades 2 through 5. The grantee shall be responsible
for selecting participating school sites; providing any required hardware and software,
including software licenses, for the duration of the grant period; providing technical support,
training, and staff to install required project hardware and software; providing on-site
professional development and instructional monitoring and support for school staff and
students; administering preintervention and postintervention reading assessments; evaluating
the impact of the intervention; and other project management services as required. To the
extent practicable, the grantee must select participating schools in urban, suburban, and
greater Minnesota, and give priority to schools in which a high proportion of students do
not read proficiently at grade level and are eligible for free or reduced-price lunch.

(c) By February 15, 2019, the grantee must submit a report detailing expenditures and
outcomes of the grant to the commissioner of education and the chairs and ranking minority
members of the legislative committees with primary jurisdiction over kindergarten through
grade 12 education policy and finance.

(d) This is a onetime appropriation.

Subd. 15.

Starbase MN.

(a) For a grant to Starbase MN for a rigorous science,
technology, engineering, and math (STEM) program providing students in grades 4 through
6 with a multisensory learning experience and a hands-on curriculum in an aerospace
environment using state-of-the-art technology:

	$	1,350,000	.....	2018
	$	0	.....	2019

(b) Any balance in the first year does not cancel but is available in the second year. The
base for fiscal year 2020 is $500,000.

(c) All unspent funds, estimated at $850,000 the Starbase MN appropriation under Laws
2015, First Special Session chapter 3, article 2, section 70, subdivision 17, are canceled the
day following final enactment.

Subd. 16.

Recovery program grants.

For recovery program grants under Minnesota
Statutes, section 124D.695:

	$	750,000	.....	2018
	$	750,000	.....	2019

Any balance in the first year does not cancel but is available in the second year.

Subd. 17.

Minnesota math corps program.

For the Minnesota math corps program
under Minnesota Statutes, section 124D.42, subdivision 9:

	$	500,000	.....	2018
	$	500,000	.....	2019

Any balance in the first year does not cancel but is available in the second year.

Subd. 18.

Civic education grants.

For grants to the Minnesota Civic Education Coalition,
Minnesota Civic Youth, Learning Law and Democracy Foundation, and YMCA Youth in
Government to provide civic education programs for Minnesota youth age 18 and younger.
Civic education is the study of constitutional principles and the democratic foundation of
our national, state, and local institutions, and the study of political processes and structures
of government, grounded in the understanding of constitutional government under the rule
of law.

	$	125,000	.....	2018
	$	125,000	.....	2019

Any balance in the first year does not cancel but is available in the second year. The
budget base for this program is $0.

Subd. 19.

Minnesota Principals Academy.

(a) For grants to the University of Minnesota
College of Education and Human Development for the operation of the Minnesota Principals
Academy:

	$	200,000	.....	2018
	$	200,000	.....	2019

(b) Of these amounts, $50,000 must be used to pay the costs of attendance for principals
and school leaders from schools identified for intervention under the state's accountability
system as implemented to comply with the federal Every Student Succeeds Act. To the
extent funds are available, the Department of Education is encouraged to use up to $200,000
of federal Title II funds to support additional participation in the Principals Academy by
principals and school leaders from schools identified for intervention under the state's
accountability system as implemented to comply with the federal Every Student Succeeds
Act.

(c) Any balance in the first year does not cancel but is available in the second year.

Subd. 20.

Educational stability for students living in foster care.

For a pilot project
to promote educational stability for students living in foster care:

$

1,000,000

.....

2018

Up to five percent of the appropriation may be used for state and local administrative
costs such as reporting, technical support, and establishing a Title IV-E reimbursement
claiming process. This is a onetime appropriation. This appropriation is available until June
30, 2019.

Subd. 21.

Charter school building lease aid.

For building lease aid under Minnesota
Statutes, section 124E.22:

	$	73,341,000	.....	2018
	$	78,802,000	.....	2019

The 2018 appropriation includes $6,850,000 for 2017 and $66,491,000 for 2018.

The 2019 appropriation includes $7,387,000 for 2018 and $71,415,000 for 2019.

Subd. 22.

Race 2 Reduce.

(a) For grants to support expanded Race 2 Reduce water
conservation programming in Minnesota schools:

	$	307,000	.....	2018
	$	0	.....	2019

(b) $143,000 is for H2O for Life; $98,000 is for Independent School District No. 624,
White Bear Lake; and $66,000 is for Independent School District No. 832, Mahtomedi.

(c) The appropriation is available until June 30, 2019. The base for fiscal year 2020 is
$0.

Subd. 23.

Paraprofessional pathway to teacher licensure.

(a) For grants to school
districts for Grow Your Own new teacher programs:

	$	1,500,000	.....	2018
	$	1,500,000	.....	2019

(b) The grants are for school districts with more than 30 percent minority students for
a Board of Teaching-approved nonconventional teacher residency pilot program. The
program must provide tuition scholarships or stipends to enable school district employees
or community members affiliated with a school district who seek an education license to
participate in a nonconventional teacher preparation program. School districts that receive
funds under this subdivision are strongly encouraged to recruit candidates of color and
American Indian candidates to participate in the Grow Your Own new teacher programs.
Districts or schools providing financial support may require a commitment as determined
by the district to teach in the district or school for a reasonable amount of time that does
not exceed five years.

(c) School districts and charter schools may also apply for grants to develop innovative
expanded Grow Your Own programs that encourage secondary school students to pursue
teaching, including developing and offering dual-credit postsecondary course options in
schools for "Introduction to Teaching" or "Introduction to Education" courses consistent
with Minnesota Statutes, section 124D.09, subdivision 10.

(d) Programs must annually report to the commissioner by the date determined by the
commissioner on their activities under this section, including the number of participants,
the percentage of participants who are of color or who are American Indian, and an
assessment of program effectiveness, including participant feedback, areas for improvement,
the percentage of participants continuing to pursue teacher licensure, and the number of
participants hired in the school or district as teachers after completing preparation programs.

(e) The department may retain up to three percent of the appropriation amount to monitor
and administer the grant program.

(f) Any balance in the first year does not cancel but is available in the second year.

Subd. 24.

Statewide testing and reporting system.

For the statewide testing and
reporting system under Minnesota Statutes, section 120B.30:

	$	10,892,000	.....	2018
	$	10,892,000	.....	2019

Any balance in the first year does not cancel but is available in the second year.

Subd. 25.

College entrance examination reimbursement.

To reimburse districts for
students who qualify under Minnesota Statutes, section 120B.30, subdivision 1, paragraph
(e), for payment of their college entrance examination fee:

	$	1,511,000	.....	2018
	$	1,511,000	.....	2019

The commissioner must reimburse school districts for their costs for free or reduced-price
meal eligible students who take the ACT or SAT test under Minnesota Statutes, section
120B.30, subdivision 1.

Any balance in the first year does not cancel but is available in the second year.

Subd. 26.

Alternative teacher compensation aid.

For alternative teacher compensation
aid under Minnesota Statutes, section 122A.415, subdivision 4:

	$	89,863,000	.....	2018
	$	89,623,000	.....	2019

The 2018 appropriation includes $8,917,000 for 2017 and $80,946,000 for 2018.

The 2019 appropriation includes $8,994,000 for 2018 and $80,629,000 for 2019.

Subd. 27.

Collaborative urban and greater Minnesota educators of color program
grants.

(a) For collaborative urban and greater Minnesota educators of color program grants:

	$	1,000,000	.....	2018
	$	1,000,000	.....	2019

(b) Grants shall be awarded in equal amounts: $195,000 each year is for the Southeast
Asian Teacher program at Concordia University, St. Paul; $195,000 each year is for the
Collaborative Urban Educator program at the University of St. Thomas; $195,000 each year
is for the Center for Excellence in Urban Teaching at Hamline University; and $195,000
each year is for the East Africa Student to Teacher program at Augsburg College.

(c) By January 15 of each year, each institution shall prepare for the legislature a detailed
report regarding the funds used to recruit, retain, and induct teacher candidates who are of
color or who are American Indian. The report must include the total number of teacher
candidates of color, disaggregated by race or ethnic group, who are recruited to the institution,
are newly admitted to the licensure program, are enrolled in the licensure program, have
completed student teaching, have graduated, and are licensed and newly employed as
Minnesota teachers in their licensure field. The total number of teacher candidates who are
of color or who are American Indian at each stage from recruitment to licensed teaching
must be reported as a percentage of total candidates seeking the same licensure at the
institution. The report must include the graduation rate for each cohort of teacher candidates,
the placement rate for each graduating cohort of teacher candidates, and the retention rate
for each graduating cohort of teacher candidates, among other program outcomes.

(d) The commissioner must establish a competitive grant process to award $220,000
each year to Board of Teaching-approved teacher preparation programs, including alternative
teacher preparation programs. The competitive process must award grants based on program
benchmarks, including licensure rates, participation rates, and on-time graduation rates.

(e) For fiscal year 2020 and later, the commissioner must award all collaborative urban
educator grants through the competitive grant program.

(f) Any balance in the first year does not cancel but is available in the second year.

Subd. 28.

Examination fees; teacher training and support programs.

(a) For students'
advanced placement and international baccalaureate examination fees under Minnesota
Statutes, section 120B.13, subdivision 3, and the training and related costs for teachers and
other interested educators under Minnesota Statutes, section 120B.13, subdivision 1:

	$	4,500,000	.....	2018
	$	4,500,000	.....	2019

(b) The advanced placement program shall receive 75 percent of the appropriation each
year and the international baccalaureate program shall receive 25 percent of the appropriation
each year. The department, in consultation with representatives of the advanced placement
and international baccalaureate programs selected by the Advanced Placement Advisory
Council and International Baccalaureate Minnesota, respectively, shall determine the amounts
of the expenditures each year for examination fees and training and support programs for
each program.

(c) Notwithstanding Minnesota Statutes, section 120B.13, subdivision 1, at least $500,000
each year is for teachers to attend subject matter summer training programs and follow-up
support workshops approved by the advanced placement or international baccalaureate
programs. The amount of the subsidy for each teacher attending an advanced placement or
international baccalaureate summer training program or workshop shall be the same. The
commissioner shall determine the payment process and the amount of the subsidy.

(d) The commissioner shall pay all examination fees for all students of low-income
families under Minnesota Statutes, section 120B.13, subdivision 3, and to the extent of
available appropriations, shall also pay examination fees for students sitting for an advanced
placement examination, international baccalaureate examination, or both.

Any balance in the first year does not cancel but is available in the second year.

Subd. 29.

Grants to increase science, technology, engineering, and math course
offerings.

For grants to schools to encourage low-income and other underserved students
to participate in advanced placement and international baccalaureate programs according
to Minnesota Statutes, section 120B.132:

	$	250,000	.....	2018
	$	250,000	.....	2019

Any balance in the first year does not cancel but is available in the second year.

Subd. 30.

Agricultural educator grants.

For agricultural educator grants under section
51:

	$	250,000	.....	2018
	$	250,000	.....	2019

Any balance in the first year does not cancel but is available in the second year.

Subd. 31.

American Indian teacher preparation grants.

For joint grants to assist
American Indian people to become teachers under Minnesota Statutes, section 122A.63:

	$	460,000	.....	2018
	$	460,000	.....	2019

Subd. 32.

African American Registry.

(a) For grants to the African American Registry
for the Teacher's Forum:

	$	100,000	.....	2018
	$	100,000	.....	2019

(b) The African American Registry must use the grant funds to establish partnerships
with Metropolitan State University and the University of St. Thomas to improve the cultural
competency of candidates seeking a first teaching license. By January 15 of each year, the
African American Registry shall submit to the legislature a detailed report regarding the
funds used. The report must include the number of teachers prepared. The base in fiscal
year 2020 is $0.

Subd. 33.

Rural career and technical education consortium.

(a) For rural career and
technical education consortium grants:

	$	1,500,000	.....	2018
	$	1,500,000	.....	2019

This appropriation is available until June 30, 2022. If the appropriation in the first year
is insufficient, the 2019 appropriation is available.

(b) The base in fiscal year 2020 is $3,000,000.

Subd. 34.

Sanneh Foundation.

(a) For a grant to the Sanneh Foundation to provide
all-day, in-school, and before- and after-school academic and behavioral interventions for
low-performing and chronically absent students with a focus on low-income students and
students of color throughout the school year and during the summer to decrease absenteeism,
encourage school engagement, and improve grades and graduation rates.

$

1,000,000

.....

2018

(b) Funds appropriated in this section must be used to establish and provide services in
schools where the Sanneh Foundation does not currently operate, and must not be used for
programs operating in schools as of June 30, 2017.

(c) This is a onetime appropriation. Any balance in the first year does not cancel but is
available in the second year.

Subd. 35.

Alternative teacher preparation grant program.

(a) For transfer to the
commissioner of the Office of Higher Education for alternative teacher preparation program
grants under Minnesota Statutes, section 136A.1276:

	$	750,000	.....	2018
	$	0	.....	2019

(b) Any balance in the first year does not cancel but is available in the second year.

Subd. 36.

Teacher shortage loan forgiveness.

(a) For transfer to the commissioner of
the Office of Higher Education for the loan forgiveness program under Minnesota Statutes,
section 136A.1791:

	$	500,000	.....	2018
	$	0	.....	2019

(b) The commissioner may use no more than three percent of this appropriation to
administer the program under this subdivision.

(c) Any balance in the first year does not cancel but is available in the second year.

Subd. 37.

Statewide concurrent enrollment teacher training program.

For the
statewide concurrent enrollment teacher training program under Laws 2016, chapter 189,
article 25, section 58, as amended:

	$	375,000	.....	2018
	$	375,000	.....	2019

Any balance in the first year does not cancel but is available in the second year.

Sec. 58. REPEALER.

Minnesota Statutes 2016, sections 122A.40, subdivision 11; and 122A.41, subdivision
14, are repealed effective July 1, 2019.

ARTICLE 3

TEACHER LICENSURE

Section 1.

Minnesota Statutes 2016, section 120B.363, subdivision 1, is amended to read:

Subdivision 1.

Rulemaking.

The Professional Educator Licensing and Standards Board
of Teaching must adopt rules to implement a statewide credential for education
paraprofessionals who assist a licensed teacher in providing student instruction. Any
paraprofessional holding this credential or working in a local school district after meeting
a state-approved local assessment is considered to be highly qualified under federal law.
Under this subdivision, the Professional Educator Licensing and Standards Board of
Teaching, in consultation with the commissioner, must adopt qualitative criteria for approving
local assessments that include an evaluation of a paraprofessional's knowledge of reading,
writing, and math and the paraprofessional's ability to assist in the instruction of reading,
writing, and math. The commissioner must approve or disapprove local assessments using
these criteria. The commissioner must make the criteria available to the public.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 2.

Minnesota Statutes 2016, section 122A.17, is amended to read:

122A.17 VALIDITY OF CERTIFICATES OR LICENSES.

(a) A rule adopted by the Board of Teaching or the Professional Educator Licensing and
Standards Board must not affect the validity of certificates or licenses to teach in effect on
July 1, 1974, or the rights and privileges of the holders thereof, except that any such
certificate or license may be suspended or revoked for any of the causes and by the procedures
specified by law.

(b) All teacher licenses in effect on January 1, 2018, shall remain valid for one additional
year after the date the license is scheduled to expire.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 3.

Minnesota Statutes 2016, section 122A.18, subdivision 1, is amended to read:

Subdivision 1.

Authority to license.

(a) The Professional Educator Licensing and
Standards Board of Teaching must license teachers, as defined in section 122A.15,
subdivision 1, except for supervisory personnel, as defined in section 122A.15, subdivision
2. issue the following teacher licenses to candidates who meet the qualifications prescribed
by this chapter:

(1) Tier 1 license under section 122A.181;

(2) Tier 2 license under section 122A.182;

(3) Tier 3 license under section 122A.183; and

(4) Tier 4 license under section 122A.184.

(b) The Board of School Administrators must license supervisory personnel as defined
in section 122A.15, subdivision 2, except for athletic coaches.

(c) Licenses under the jurisdiction of the Board of Teaching, the Board of School
Administrators, and the commissioner of education must be issued through the licensing
section of the department.

(d) (c) The Professional Educator Licensing and Standards Board of Teaching and the
Department of Education must enter into a data sharing agreement to share:

(1) educational data at the E-12 level for the limited purpose of program approval and
improvement for teacher education programs. The program approval process must include
targeted redesign of teacher preparation programs to address identified E-12 student areas
of concern; and

(2) data in the staff automated reporting system for the limited purpose of managing and
processing funding to school districts and other entities.

(e) (d) The Board of School Administrators and the Department of Education must enter
into a data sharing agreement to share educational data at the E-12 level for the limited
purpose of program approval and improvement for education administration programs. The
program approval process must include targeted redesign of education administration
preparation programs to address identified E-12 student areas of concern.

(f) (e) For purposes of the data sharing agreements under paragraphs (d) (c) and (e) (d),
the Professional Educator Licensing and Standards Board of Teaching, Board of School
Administrators, and Department of Education may share private data, as defined in section
13.02, subdivision 12, on teachers and school administrators. The data sharing agreements
must not include educational data, as defined in section 13.32, subdivision 1, but may include
summary data, as defined in section 13.02, subdivision 19, derived from educational data.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 4.

Minnesota Statutes 2016, section 122A.18, subdivision 2, is amended to read:

Subd. 2.

Teacher and Support personnel qualifications.

(a) The Professional Educator
Licensing and Standards Board of Teaching must issue licenses and credentials under its
jurisdiction to persons the board finds to be qualified and competent for their respective
positions, including those meeting the standards adopted under section 122A.09, subdivision
4, paragraph (n) support personnel positions in accordance with section 120B.36.

(b) The board must require a candidate for teacher licensure to demonstrate a passing
score on a board-adopted examination of skills in reading, writing, and mathematics, before
being granted a professional five-year teaching license to provide direct instruction to pupils
in prekindergarten, elementary, secondary, or special education programs, except that the
board may issue up to four temporary, one-year teaching licenses to an otherwise qualified
candidate who has not yet passed a board-adopted skills exam. At the request of the
employing school district or charter school, the Board of Teaching may issue an initial
professional one-year teaching license to an otherwise qualified teacher not passing or
demonstrating a passing score on a board-adopted skills examination in reading, writing,
and mathematics. For purposes of this section, the initial professional one-year teaching
license issued by the board is limited to the current subject or content matter the teacher is
employed to teach and limited to the district or charter school requesting the initial
professional one-year teaching license. If the board denies the request, it must provide a
detailed response to the school administrator as to the reasons for the denial. The board
must require colleges and universities offering a board approved teacher preparation program
to make available upon request remedial assistance that includes a formal diagnostic
component to persons enrolled in their institution who did not achieve a qualifying score
on a board-adopted skills examination, including those for whom English is a second
language. The colleges and universities must make available assistance in the specific
academic areas of candidates' deficiency. School districts may make available upon request
similar, appropriate, and timely remedial assistance that includes a formal diagnostic
component to those persons employed by the district who completed their teacher education
program, who did not achieve a qualifying score on a board-adopted skills examination,
and who received an initial professional one-year teaching license to teach in Minnesota.
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 a
board-adopted skills examination, the number who achieve a qualifying score on the
examination, the number who do not achieve a qualifying score on the examination, and
the candidates who have not passed a content or pedagogy exam, disaggregated by categories
of race, ethnicity, and eligibility for financial aid.

(c) The Board of Teaching must grant professional five-year teaching licenses only to
those persons who have met board criteria for that license, which includes passing a
board-adopted skills examination in reading, writing, and mathematics, and the exceptions
in section 122A.09, subdivision 4, paragraph (b), that are consistent with this paragraph.
The requirement to pass a board-adopted reading, writing, and mathematics skills
examination, does not apply to nonnative English speakers, as verified by qualified Minnesota
school district personnel or Minnesota higher education faculty, who, after meeting the
content and pedagogy requirements under this subdivision, apply for a professional five-year
teaching license to provide direct instruction in their native language or world language
instruction under section 120B.022, subdivision 1.

(d) 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. Among other requirements, teacher candidates must demonstrate the knowledge
and skills needed to provide appropriate instruction to English learners to support and
accelerate their academic literacy, including oral academic language, and achievement in
content areas in a regular classroom setting. 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.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 5.

Minnesota Statutes 2016, section 122A.18, subdivision 2b, is amended to read:

Subd. 2b.

Reading specialist.

Not later than July 1, 2002, The Professional Educator
Licensing and Standards Board of Teaching must adopt rules providing for reading teacher
licensure.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 6.

Minnesota Statutes 2016, section 122A.18, subdivision 7a, is amended to read:

Subd. 7a.

Permission to substitute teach.

(a) The Professional Educator Licensing and
Standards Board of Teaching may allow a person who otherwise qualifies for a Tier 1 license
in accordance with section 122A.181, subdivision 2, or is enrolled in and making satisfactory
progress in a board-approved teacher program and who has successfully completed student
teaching to be employed as a short-call substitute teacher.

(b) The Professional Educator Licensing and Standards Board of Teaching may issue a
lifetime qualified short-call or long-call substitute teaching license to a person who:

(1) was a qualified teacher under section 122A.16 while holding a professional five-year
Tier 3 or Tier 4 teaching license issued by the board, under sections 122A.183 and 122A.184,
respectively, and receives a retirement annuity from the Teachers Retirement Association
or the St. Paul Teachers Retirement Fund Association;

(2) holds an out-of-state teaching license and receives a retirement annuity as a result
of the person's teaching experience; or

(3) held a professional five-year Tier 3 or Tier 4 teaching license issued by the board,
under sections 122A.183 and 122A.184, respectively, taught at least three school years in
an accredited nonpublic school in Minnesota, and receives a retirement annuity as a result
of the person's teaching experience.

A person holding a lifetime qualified short-call or long-call substitute teaching license is
not required to complete continuing education clock hours. A person holding this license
may reapply to the board for either:

(i) a professional five-year Tier 3 or Tier 4 teaching license under sections 122A.183
and 122A.184, respectively, and must again complete continuing education clock hours one
school year after receiving the professional five-year Tier 3 or Tier 4 teaching license; or

(ii) a Tier 1 license under section 122A.181, provided that the candidate has a bachelor's
degree, an associate's degree, or an appropriate professional credential in the content area
the candidate will teach, in accordance with section 122A.181, subdivision 2.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 7.

Minnesota Statutes 2016, section 122A.18, subdivision 7c, is amended to read:

Subd. 7c.

Temporary military license.

The Professional Educator Licensing and
Standards Board of Teaching shall establish a temporary license in accordance with section
197.4552 for teaching. The fee for a temporary license under this subdivision shall be $87.90
for an online application or $86.40 for a paper application. The board must provide candidates
for a license under this subdivision with information regarding the tiered licensure system
provided in sections 122A.18 to 122A.184.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 8.

Minnesota Statutes 2016, section 122A.18, subdivision 8, is amended to read:

Subd. 8.

Background checks.

(a) The Professional Educator Licensing and Standards
Board of Teaching and the commissioner of education the Board of School Administrators
must request a criminal history background check from the superintendent of the Bureau
of Criminal Apprehension on all first-time teaching applicants for licenses under their
jurisdiction. Applicants must include with their licensure applications:

(1) an executed criminal history consent form, including fingerprints; and

(2) a money order or cashier's check payable to the Bureau of Criminal Apprehension
for the fee for conducting the criminal history background check.

(b) The superintendent of the Bureau of Criminal Apprehension shall perform the
background check required under paragraph (a) by retrieving criminal history data as defined
in section 13.87 and shall also conduct a search of the national criminal records repository.
The superintendent is authorized to exchange fingerprints with the Federal Bureau of
Investigation for purposes of the criminal history check. The superintendent shall recover
the cost to the bureau of a background check through the fee charged to the applicant under
paragraph (a).

(c) The Professional Educator Licensing and Standards Board of Teaching or the
commissioner of education Board of School Administrators may issue a license pending
completion of a background check under this subdivision, but must notify the individual
and the school district or charter school employing the individual that the individual's license
may be revoked based on the result of the background check.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 9.

Minnesota Statutes 2016, section 122A.18, is amended by adding a subdivision to
read:

Subd. 10.

Licensure via portfolio.

(a) The Professional Educator Licensing and Standards
Board must adopt rules establishing a process for an eligible candidate to obtain any teacher
license under subdivision 1, or to add a licensure field, via portfolio. The portfolio licensure
application process must be consistent with the requirements in this subdivision.

(b) A candidate for a license must submit to the board one portfolio demonstrating
pedagogical competence and one portfolio demonstrating content competence.

(c) A candidate seeking to add a licensure field must submit to the board one portfolio
demonstrating content competence for each licensure field the candidate seeks to add.

(d) The board must notify a candidate who submits a portfolio under paragraph (b) or
(c) within 90 calendar days after the portfolio is received whether or not the portfolio is
approved. If the portfolio is not approved, the board must immediately inform the candidate
how to revise the portfolio to successfully demonstrate the requisite competence. The
candidate may resubmit a revised portfolio at any time and the board must approve or
disapprove the revised portfolio within 60 calendar days of receiving it.

(e) A candidate must pay to the board a $300 fee for the first portfolio submitted for
review and a $200 fee for any portfolio submitted subsequently. The revenue generated
from the fee must be deposited in an education licensure portfolio account in the special
revenue fund. The fees are nonrefundable for applicants not qualifying for a license. The
board may waive or reduce fees for candidates based on financial need.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 10.

[122A.181] TIER 1 LICENSE.

Subdivision 1.

Application requirements.

The Professional Educator Licensing and
Standards Board must approve a request from a district or charter school to issue a Tier 1
license in a specified content area to a candidate if:

(1) the candidate meets the professional requirement in subdivision 2;

(2) the district or charter school affirms that the candidate has the necessary skills and
knowledge to teach in the specified content area; and

(3) the district or charter school demonstrates that:

(i) a criminal background check under section 122A.18, subdivision 8, has been completed
on the candidate; and

(ii) the district or charter school has posted the teacher position but was unable to hire
an acceptable teacher with a Tier 2, 3, or 4 license for the position.

Subd. 2.

Professional requirements.

(a) A candidate for a Tier 1 license must have a
bachelor's degree to teach a class or course outside a career and technical education or career
pathways course of study.

(b) A candidate for a Tier 1 license must have one of the following credentials in a
relevant content area to teach a class in a career and technical education or career pathways
course of study:

(1) an associate's degree;

(2) a professional certification; or

(3) five years of relevant work experience.

Subd. 3.

Term of license and renewal.

(a) The Professional Educator Licensing and
Standards Board must issue an initial Tier 1 license for a term of one year. A Tier 1 license
may be renewed subject to paragraphs (b) and (c). The board may submit written comments
to the district or charter school that requested the renewal regarding the candidate.

(b) The Professional Educator Licensing and Standards Board must renew a Tier 1
license if:

(1) the district or charter school requesting the renewal demonstrates that it has posted
the teacher position but was unable to hire an acceptable teacher with a Tier 2, 3, or 4 license
for the position;

(2) the teacher holding the Tier 1 license took a content examination in accordance with
section 122A.185 and submitted the examination results to the teacher's employing district
or charter school within one year of the board approving the request for the initial Tier 1
license; and

(3) the teacher holding the Tier 1 license participated in cultural competency training
consistent with section 120B.30, subdivision 1, paragraph (q), within one year of the board
approving the request for the initial Tier 1 license.

The requirement in clause (2) does not apply to a teacher that teaches a class in a career and
technical education or career pathways course of study.

(c) A Tier 1 license must not be renewed more than three times, unless the requesting
district or charter school can show good cause for additional renewals. A Tier 1 license
issued to teach (1) a class or course in a career and technical education or career pathway
course of study or (2) in a shortage area, as defined in section 122A.06, subdivision 6, may
be renewed without limitation.

Subd. 4.

Application.

The Professional Educator Licensing and Standards Board must
accept applications for a Tier 1 teaching license beginning July 1 of the school year for
which the license is requested and must issue or deny the Tier 1 teaching license within 30
days of receiving the completed application.

Subd. 5.

Limitations on license.

(a) A Tier 1 license is limited to the content matter
indicated on the application for the initial Tier 1 license under subdivision 1, paragraph (a),
clause (2), and limited to the district or charter school that requested the initial Tier 1 license.

(b) A Tier 1 license does not bring an individual within the definition of a teacher for
purposes of section 122A.40, subdivision 1, or 122A.41, subdivision 1, clause (a).

(c) A Tier 1 license does not bring an individual within the definition of a teacher under
section 179A.03, subdivision 18.

Subd. 6.

Mentorship and evaluation.

(a) A teacher holding a Tier 1 license must
participate in the employing district or charter school's mentorship program and professional
development.

(b) A teacher holding a Tier 1 license must participate in an evaluation aligned, to the
extent practicable, with the evaluation under section 122A.40, subdivision 8, or 122A.41,
subdivision 5.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 11.

[122A.182] TIER 2 LICENSE.

Subdivision 1.

Requirements.

(a) The Professional Educator Licensing and Standards
Board must approve a request from a district or charter school to issue a Tier 2 license in a
specified content area to a candidate if:

(1) the candidate meets the educational or professional requirements in paragraph (b)
or (c);

(2) the candidate:

(i) has completed the coursework required under subdivision 2;

(ii) is enrolled in a Minnesota-approved teacher preparation program; or

(iii) has a master's degree in the specified content area; and

(3) the district or charter school demonstrates that a criminal background check under
section 122A.18, subdivision 8, has been completed on the candidate.

(b) A candidate for a Tier 2 license must have a bachelor's degree to teach a class outside
a career and technical education or career pathways course of study.

(c) A candidate for a Tier 2 license must have one of the following credentials in a
relevant content area to teach a class or course in a career and technical education or career
pathways course of study:

(1) an associate's degree;

(2) a professional certification; or

(3) five years of relevant work experience.

Subd. 2.

Coursework.

(a) A candidate for a Tier 2 license must meet the coursework
requirement by demonstrating completion of two of the following:

(1) at least eight upper division or graduate-level credits in the relevant content area;

(2) field-specific methods of training, including coursework;

(3) at least two years of teaching experience in a similar content area in any state, as
determined by the board;

(4) a passing score on the pedagogy and content exams under section 122A.185; or

(5) completion of a state-approved teacher preparation program.

(b) For purposes of paragraph (a), "upper division" means classes normally taken at the
junior or senior level of college which require substantial knowledge and skill in the field.
Candidates must identify the upper division credits that fulfill the requirement in paragraph
(a), clause (1).

Subd. 3.

Term of license and renewal.

The Professional Educator Licensing and
Standards Board must issue an initial Tier 2 license for a term of two years. A Tier 2 license
may be renewed three times. Before a Tier 2 license is renewed for the first time, a teacher
holding a Tier 2 license must participate in cultural competency training consistent with
section 120B.30, subdivision 1, paragraph (q). The board must issue rules setting forth the
conditions for additional renewals after the initial license has been renewed three times.

Subd. 4.

Application.

The Professional Educator Licensing and Standards Board must
accept applications for a Tier 2 teaching license beginning July 1 of the school year for
which the license is requested and must issue or deny the Tier 2 teaching license within 30
days of receiving the completed application.

Subd. 5.

Limitations on license.

(a) A Tier 2 license is limited to the content matter
indicated on the application for the initial Tier 2 license under subdivision 1, paragraph (a),
and limited to the district or charter school that requested the initial Tier 2 license.

(b) A Tier 2 license shall not be construed to bring an individual within the definition
of a teacher for purposes of section 122A.40, subdivision 1, or 122A.41, subdivision 1,
clause (a).

Subd. 6.

Application toward probationary period.

(a) The time that a teacher works
under a Tier 2 license must be credited towards the teacher's three-year probationary period
under section 122A.40, subdivision 5, or 122A.41, subdivision 2.

(b) The time credited towards the probationary period under paragraph (a) must not
exceed two years.

(c) The three years of the probationary period, including any time credited under this
subdivision, must run consecutively, consistent with section 122A.40, subdivision 5, or
section 122A.41, subdivision 2.

Subd. 7.

Mentorship and evaluation.

(a) A teacher holding a Tier 2 license must
participate in the employing district or charter school's mentorship and evaluation program,
including an individual growth and development plan that includes cultural competency
under section 120B.30, subdivision 1, paragraph (q).

(b) A teacher holding a Tier 2 license must participate in an evaluation aligned, to the
extent practicable, with the evaluation under section 122A.40, subdivision 8, or section
122A.41, subdivision 5.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 12.

[122A.183] TIER 3 LICENSE.

Subdivision 1.

Requirements.

(a) The Professional Educator Licensing and Standards
Board must issue a Tier 3 license to a candidate who provides information sufficient to
demonstrate all of the following:

(1) the candidate meets the educational or professional requirements in paragraphs (b)
and (c);

(2) the candidate has obtained a passing score on the required licensure exams under
section 122A.185; and

(3) the candidate has completed the coursework required under subdivision 2.

(b) A candidate for a Tier 3 license must have a bachelor's degree to teach a class or
course outside a career and technical education or career pathways course of study.

(c) A candidate for a Tier 3 license must have one of the following credentials in a
relevant content area to teach a class or course in a career and technical education or career
pathways course of study:

(1) an associate's degree;

(2) a professional certification; or

(3) five years of relevant work experience.

In consultation with the Governor's Workforce Development Council established under
section 116L.665, the board must establish a list of qualifying certifications, and may add
additional professional certifications in consultation with school administrators, teachers,
and other stakeholders.

Subd. 2.

Coursework.

A candidate for a Tier 3 license must meet the coursework
requirement by demonstrating one of the following:

(1) completion of a Minnesota-approved teacher preparation program;

(2) completion of a state-approved teacher preparation program that includes field-specific
student teaching equivalent to field-specific student teaching in Minnesota-approved teacher
preparation programs. The field-specific student teaching requirement does not apply to a
candidate that has two years of teaching experience;

(3) submission of a content-specific licensure portfolio;

(4) a professional teaching license from another state, evidence that the candidate's
license is in good standing, and two years of teaching experience; or

(5) three years of teaching experience under a Tier 2 license and evidence of summative
teacher evaluations that did not result in placing or otherwise keeping the teacher on an
improvement process pursuant to section 122A.40, subdivision 8, or section 122A.41,
subdivision 5.

Subd. 3.

Term of license and renewal.

The Professional Educator Licensing and
Standards Board must issue an initial Tier 3 license for a term of three years. A Tier 3 license
may be renewed every three years without limitation.

Subd. 4.

Mentorship and evaluation.

A teacher holding a Tier 3 license must participate
in the employing district or charter school's mentorship and evaluation program, including
an individual growth and development plan.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 13.

[122A.184] TIER 4 LICENSE.

Subdivision 1.

Requirements.

The Professional Educator Licensing and Standards
Board must issue a Tier 4 license to a candidate who provides information sufficient to
demonstrate all of the following:

(1) the candidate meets all requirements for a Tier 3 license under section 122A.183,
and has completed a teacher preparation program under section 122A.183, subdivision 2,
clause (1) or (2);

(2) the candidate has at least three years of teaching experience in Minnesota;

(3) the candidate has obtained a passing score on all required licensure exams under
section 122A.185; and

(4) the candidate's most recent summative teacher evaluation did not result in placing
or otherwise keeping the teacher in an improvement process pursuant to section 122A.40,
subdivision 8, or 122A.41, subdivision 5.

Subd. 2.

Term of license and renewal.

The Professional Educator Licensing and
Standards Board must issue an initial Tier 4 license for a term of five years. A Tier 4 license
may be renewed every five years without limitation.

Subd. 3.

Mentorship and evaluation.

A teacher holding a Tier 4 license must participate
in the employing district or charter school's mentorship and evaluation program, including
an individual growth and development plan.

Subd. 4.

Five-year license.

A five-year license issued by the commissioner of education
before the effective date of this section must be treated as a Tier 4 license established under
this section and section 122A.18. An expired five-year license issued by the commissioner
of education before the effective date of this section fulfills the requirements of subdivision
1 for purposes of future licensure by the Professional Educator Licensing and Standards
Board.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 14.

[122A.185] TEACHER LICENSURE ASSESSMENT.

Subdivision 1.

Tests.

(a) The Professional Educator Licensing and Standards Board
must adopt rules requiring a candidate to demonstrate a passing score on a board-adopted
examination of skills in reading, writing, and mathematics before being granted a Tier 4
teaching license under section 122A.184 to provide direct instruction to pupils in elementary,
secondary, or special education programs. Candidates may obtain a Tier 1, Tier 2, or Tier
3 license to provide direct instruction to pupils in elementary, secondary, or special education
programs if candidates meet the other requirements in section 122A.181, 122A.182, or
122A.183, respectively.

(b) The board must adopt rules requiring candidates for Tier 3 and Tier 4 licenses to
pass an examination of general pedagogical knowledge and examinations of licensure field
specific content. The content examination requirement does not apply if no relevant content
exam exists.

(c) Candidates for initial Tier 3 and Tier 4 licenses to teach elementary students must
pass test items assessing the candidates' knowledge, skill, and ability in comprehensive,
scientifically based reading instruction under section 122A.06, subdivision 4, knowledge
and understanding of the foundations of reading development, development of reading
comprehension and reading assessment and instruction, and the ability to integrate that
knowledge and understanding into instruction strategies under section 122A.06, subdivision
4.

(d) The requirement to pass a board-adopted reading, writing, and mathematics skills
examination does not apply to nonnative English speakers, as verified by qualified Minnesota
school district personnel or Minnesota higher education faculty, who, after meeting the
content and pedagogy requirements under this subdivision, apply for a teaching license to
provide direct instruction in their native language or world language instruction under section
120B.022, subdivision 1.

Subd. 2.

Passing scores.

The board must establish passing scores in all examinations
required for licensure.

Subd. 3.

Testing accommodations.

The board and the entity administering the content,
pedagogy, and skills examinations must allow any individual who produces documentation
of a disability in the form of an evaluation, 504 plan, or individual education program (IEP)
to receive the same testing accommodations on the content, pedagogy, and skills examinations
that the applicant received during the applicant's secondary or postsecondary education.

Subd. 4.

Remedial assistance.

(a) A board-approved teacher preparation program must
make available upon request remedial assistance that includes a formal diagnostic component
to persons enrolled in their institution who did not achieve a qualifying score on a
board-adopted skills examination, including those for whom English is a second language.
The teacher preparation programs must make available assistance in the specific academic
areas of candidates' deficiency.

(b) School districts may make available upon request similar, appropriate, and timely
remedial assistance that includes a formal diagnostic component to those persons employed
by the district who completed their teacher education program, who did not achieve a
qualifying score on a board-adopted skills examination, and who received a Tier 1, Tier 2,
or Tier 3 license under sections 122A.181, 122A.182, or 122A.183, respectively, to teach
in Minnesota.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 15.

[122A.187] EXPIRATION AND RENEWAL.

Subdivision 1.

License form requirements.

Each license issued under this chapter must
bear the date of issue and the name of the state-approved teacher training provider or
alternative teaching program, as applicable. Licenses must expire and be renewed according
to rules adopted by the Professional Educator Licensing and Standards Board or the Board
of School Administrators. The rules adopted by the Professional Educator Licensing and
Standards Board for renewing a Tier 3 or Tier 4 license under sections 122A.183 and
122A.184, respectively, must include showing satisfactory evidence of successful teaching
or administrative experience for at least one school year during the period covered by the
license in grades or subjects for which the license is valid or completing such additional
preparation as required under this section, or as the Professional Educator Licensing and
Standards Board prescribes. The Board of School Administrators shall establish requirements
for renewing the licenses of supervisory personnel except athletic coaches. The Professional
Educator Licensing and Standards Board shall establish requirements for renewing the
licenses of athletic coaches.

Subd. 2.

Local committees.

The Professional Educator Licensing and Standards Board
must receive recommendations from local committees as established by the board for the
renewal of teaching licenses.

Subd. 3.

Professional growth.

(a) Applicants for license renewal for a Tier 3 or Tier 4
license under sections 122A.183 and 122A.184, respectively, who have been employed as
a teacher during the renewal period of the expiring license, as a condition of license renewal,
must present to their local continuing education and relicensure committee or other local
relicensure committee evidence of work that demonstrates professional reflection and growth
in best teaching practices, including among other things, cultural competence in accordance
with section 120B.30, subdivision 1, paragraph (q), and practices in meeting the varied
needs of English learners, from young children to adults under section 124D.59, subdivisions
2 and 2a. A teacher may satisfy the requirements of this paragraph by submitting the teacher's
most recent summative evaluation or improvement plan under section 122A.40, subdivision
8, or 122A.41, subdivision 5.

(b) The Professional Educator Licensing and Standards Board must ensure that its teacher
relicensing requirements include paragraph (a).

Subd. 4.

Behavior interventions.

The Professional Educator Licensing and Standards
Board must adopt rules that require all licensed teachers who are renewing a Tier 3 or Tier
4 teaching license under sections 122A.183 and 122A.184, respectively, to include in the
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.

Subd. 5.

Reading preparation.

The Professional Educator Licensing and Standards
Board must adopt rules that require all licensed teachers who are renewing a Tier 3 or Tier
4 teaching license under sections 122A.183 and 122A.184, respectively, to include in the
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.

Subd. 6.

Mental illness.

The Professional Educator Licensing and Standards Board must
adopt rules that require all licensed teachers renewing a Tier 3 or Tier 4 teaching license
under sections 122A.183 and 122A.184, respectively, to include in the renewal requirements
at least one hour of suicide prevention best practices in each licensure renewal period based
on nationally recognized evidence-based programs and practices, among the continuing
education credits required to renew a license under this subdivision, and further preparation,
first, in understanding the key warning signs of early-onset mental illness in children and
adolescents and then, during subsequent licensure renewal periods, preparation may include
providing a more in-depth understanding of students' mental illness trauma, accommodations
for students' mental illness, parents' roles in addressing students' mental illness, Fetal Alcohol
Spectrum Disorders, autism, the requirements of section 125A.0942 governing restrictive
procedures, and de-escalation methods, among other similar topics.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 16.

[122A.188] LICENSURE DENIAL; APPEAL.

Subdivision 1.

Denial letter.

(a) The Professional Educator Licensing and Standards
Board must inform a candidate within 30 days of receiving a completed application whether
the candidate's application for an initial teaching license or renewal of license has been
approved or denied. A completed application must include all supporting information and
the results of the background check or conduct determination by the board. When an
application is denied, the notification letter must inform the candidate of the process for
seeking review of the denial and of the appeals process provided in this section, including
all deadlines for seeking review of the denial decision and filing an appeal. The notification
letter must identify each licensure requirement the candidate failed to meet.

(b) For purposes of this section, "denial" means denial of an initial license or a denial
of a renewal license. Denial of an initial license includes a grant of a license that is a lower
tier than the candidate applied for and denial of application for an additional field of licensure.

Subd. 2.

Review of denial.

A candidate whose license application is denied may seek
review of the denial by submitting a letter to the Professional Educator Licensing and
Standards Board within 30 calendar days of receipt of the denial letter. The candidate may
include any documentation necessary to demonstrate that the candidate meets the licensure
requirements. The board must review the denial within 60 calendar days of receipt of the
letter seeking review. If the board affirms the denial, the board must send the candidate a
letter identifying each licensure requirement the candidate failed to meet and informing the
candidate of the appeal process provided under this section.

Subd. 3.

Appeal.

A candidate whose application for license or license renewal has been
denied under subdivisions 1 and 2 may appeal the decision by filing a written request with
the Professional Educator Licensing and Standards Board within 30 days of notice that the
board has affirmed the denial of license. The board must then initiate a contested case under
the Administrative Procedure Act, sections 14.001 to 14.69.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 17.

Minnesota Statutes 2016, section 122A.19, is amended to read:

122A.19 BILINGUAL AND ENGLISH AS A SECOND LANGUAGE TEACHERS;
LICENSES.

Subdivision 1.

Bilingual and English as a second language licenses.

The Professional
Educator Licensing and Standards Board of Teaching, hereinafter the board, must grant
teaching licenses in bilingual education and English as a second language to persons who
present satisfactory evidence that they:

(a) (1) possess competence and communicative skills in English and in another language;

(b) (2) possess a bachelor's degree or other academic degree approved by the board, and
meet such requirements as to course of study and training as the board may prescribe,
consistent with subdivision 4.; and

(3) meet all other requirements for a teaching license provided in sections 122A.18 to
122A.184.

Subd. 2.

Persons holding general teaching licenses.

The board may license a person
who holds a general teaching license in any tier under sections 122A.181 to 122A.184,
respectively, and who presents the board with satisfactory evidence of competence and
communicative skills in a language other than English under this section.

Subd. 4.

Teacher preparation programs.

(a) For the purpose of licensing bilingual
and English as a second language teachers, the board may approve programs at colleges or
universities designed for their training. These

(b) Programs that prepare English as a second language teachers must provide instruction
in implementing research-based practices designed specifically for English learners. The
programs must focus on developing English learners' academic language proficiency in
English, including oral academic language, giving English learners meaningful access to
the full school curriculum, developing culturally relevant teaching practices appropriate for
immigrant students, and providing more intensive instruction and resources to English
learners with lower levels of academic English proficiency and varied needs, consistent
with section 124D.59, subdivisions 2 and 2a.

Subd. 5.

Persons eligible for employment.

Any person licensed under this section is
eligible for employment by a school board as a teacher in a bilingual education or English
as a second language program in which the language for which the person is licensed is
taught or used as a medium of instruction. A board may prescribe only those additional
qualifications for teachers licensed under this section that are approved by the board of
teaching.

Subd. 6.

Affirmative efforts in hiring.

In hiring for all bilingual education program
positions, districts must give preference to and make affirmative efforts to seek, recruit, and
employ persons who (1) are native speakers of the language which is the medium of
instruction in the bilingual education program or share a native language with the majority
of their students, and (2) share the culture of the English learners enrolled in the program.
The district shall provide procedures for involving the parent advisory committees in
designing the procedures for recruiting, screening, and selecting applicants. This section
must not be construed to limit the school board's authority to hire and discharge personnel.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 18.

Minnesota Statutes 2016, section 122A.20, is amended to read:

122A.20 SUSPENSION OR REVOCATION OF LICENSES.

Subdivision 1.

Grounds for revocation, suspension, or denial.

(a) The Professional
Educator Licensing and Standards Board of Teaching or Board of School Administrators,
whichever has jurisdiction over a teacher's licensure, may, on the written complaint of the
school board employing a teacher, a teacher organization, or any other interested person,
refuse to issue, refuse to renew, suspend, or revoke a teacher's license to teach for any of
the following causes:

(1) immoral character or conduct;

(2) failure, without justifiable cause, to teach for the term of the teacher's contract;

(3) gross inefficiency or willful neglect of duty;

(4) failure to meet licensure requirements; or

(5) fraud or misrepresentation in obtaining a license.

The written complaint must specify the nature and character of the charges.

(b) The Professional Educator Licensing and Standards Board of Teaching or Board of
School Administrators, whichever has jurisdiction over a teacher's licensure, shall refuse
to issue, refuse to renew, or automatically revoke a teacher's license to teach without the
right to a hearing upon receiving a certified copy of a conviction showing that the teacher
has been convicted of child abuse, as defined in section 609.185, sex trafficking in the first
degree under section 609.322, subdivision 1, sex trafficking in the second degree under
section 609.322, subdivision 1a, engaging in hiring, or agreeing to hire a minor to engage
in prostitution under section 609.324, subdivision 1, sexual abuse under section 609.342,
609.343, 609.344, 609.345, 609.3451, subdivision 3, or 617.23, subdivision 3, solicitation
of children to engage in sexual conduct or communication of sexually explicit materials to
children under section 609.352, interference with privacy under section 609.746 or stalking
under section 609.749 and the victim was a minor, using minors in a sexual performance
under section 617.246, possessing pornographic works involving a minor under section
617.247, or any other offense not listed in this paragraph that requires the person to register
as a predatory offender under section 243.166, or a crime under a similar law of another
state or the United States. The board shall send notice of this licensing action to the district
in which the teacher is currently employed.

(c) A person whose license to teach has been revoked, not issued, or not renewed under
paragraph (b), may petition the board to reconsider the licensing action if the person's
conviction for child abuse or sexual abuse is reversed by a final decision of the Court of
Appeals or the Supreme Court or if the person has received a pardon for the offense. The
petitioner shall attach a certified copy of the appellate court's final decision or the pardon
to the petition. Upon receiving the petition and its attachment, the board shall schedule and
hold a disciplinary hearing on the matter under section 214.10, subdivision 2, unless the
petitioner waives the right to a hearing. If the board finds that, notwithstanding the reversal
of the petitioner's criminal conviction or the issuance of a pardon, the petitioner is disqualified
from teaching under paragraph (a), clause (1), the board shall affirm its previous licensing
action. If the board finds that the petitioner is not disqualified from teaching under paragraph
(a), clause (1), it shall reverse its previous licensing action.

(d) For purposes of this subdivision, the Professional Educator Licensing and Standards
Board of Teaching is delegated the authority to suspend or revoke coaching licenses.

Subd. 2.

Mandatory reporting.

(a) A school board must report to the Professional
Educator Licensing and Standards Board of Teaching, the Board of School Administrators,
or the Board of Trustees of the Minnesota State Colleges and Universities, whichever has
jurisdiction over the teacher's or administrator's license, when its teacher or administrator
is discharged or resigns from employment after a charge is filed with the school board under
section 122A.41, subdivisions 6, clauses (1), (2), and (3), and 7, or after charges are filed
that are grounds for discharge under section 122A.40, subdivision 13, paragraph (a), clauses
(1) to (5), or when a teacher or administrator is suspended or resigns while an investigation
is pending under section 122A.40, subdivision 13, paragraph (a) clauses (1) to (5); 122A.41,
subdivisions 6, clauses (1), (2), and (3), and 7; or 626.556, or when a teacher or administrator
is suspended without an investigation under section 122A.41, subdivisions 6, paragraph (a),
clauses (1), (2), and (3), and 7; or 626.556. The report must be made to the appropriate
licensing board within ten days after the discharge, suspension, or resignation has occurred.
The licensing board to which the report is made must investigate the report for violation of
subdivision 1 and the reporting board must cooperate in the investigation. Notwithstanding
any provision in chapter 13 or any law to the contrary, upon written request from the licensing
board having jurisdiction over the license, a board or school superintendent shall provide
the licensing board with information about the teacher or administrator from the district's
files, any termination or disciplinary proceeding, any settlement or compromise, or any
investigative file. Upon written request from the appropriate licensing board, a board or
school superintendent may, at the discretion of the board or school superintendent, solicit
the written consent of a student and the student's parent to provide the licensing board with
information that may aid the licensing board in its investigation and license proceedings.
The licensing board's request need not identify a student or parent by name. The consent
of the student and the student's parent must meet the requirements of chapter 13 and Code
of Federal Regulations, title 34, section 99.30. The licensing board may provide a consent
form to the district. Any data transmitted to any board under this section is private data
under section 13.02, subdivision 12, notwithstanding any other classification of the data
when it was in the possession of any other agency.

(b) The licensing board to which a report is made must transmit to the Attorney General's
Office any record or data it receives under this subdivision for the sole purpose of having
the Attorney General's Office assist that board in its investigation. When the Attorney
General's Office has informed an employee of the appropriate licensing board in writing
that grounds exist to suspend or revoke a teacher's license to teach, that licensing board
must consider suspending or revoking or decline to suspend or revoke the teacher's or
administrator's license within 45 days of receiving a stipulation executed by the teacher or
administrator under investigation or a recommendation from an administrative law judge
that disciplinary action be taken.

(c) The Professional Educator Licensing and Standards Board and Board of School
Administrators must report to the appropriate law enforcement authorities a revocation,
suspension, or agreement involving a loss of license, relating to a teacher or administrator's
inappropriate sexual conduct with a minor. For purposes of this section, "law enforcement
authority" means a police department, county sheriff, or tribal police department. A report
by the Professional Educator Licensing and Standards Board to appropriate law enforcement
authorities does not diminish, modify, or otherwise affect the responsibilities of a school
board or any person mandated to report abuse under section 626.556.

Subd. 3.

Immunity from liability.

A school board, its members in their official capacity,
and employees of the district run by the board are immune from civil or criminal liability
for reporting or cooperating as required under subdivision 2, if their actions required under
subdivision 2 are done in good faith and with due care.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 19.

Minnesota Statutes 2016, section 122A.23, subdivision 3, is amended to read:

Subd. 3.

Teacher licensure agreements with adjoining states.

(a) Notwithstanding
any other law to the contrary, the Professional Educator Licensing and Standards Board of
Teaching must enter into a National Association of State Directors of Teacher Education
and Certification (NASDTEC) interstate agreement and other interstate agreements for
teacher licensure to allow fully certified teachers from adjoining states to transfer their
certification to Minnesota. The board must enter into these interstate agreements only after
determining that the rigor of the teacher licensure or certification requirements in the
adjoining state is commensurate with the rigor of Minnesota's teacher licensure requirements.
The board may limit an interstate agreement to particular content fields or grade levels based
on established priorities or identified shortages. This subdivision does not apply to
out-of-state applicants holding only a provisional teaching license.

(b) The Professional Educator Licensing and Standards Board of Teaching must work
with designated authorities in adjoining states to establish interstate teacher licensure
agreements under this section.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 20.

[122A.2451] ALTERNATIVE TEACHER PREPARATION PROVIDERS
AND PROGRAMS.

Subdivision 1.

Definitions.

(a) "Provider" or "unit" means an eligible entity that seeks
or has obtained approval for an alternative teacher preparation program consistent with this
section.

(b) "Program" means content provided by a provider that leads toward licensure in a
specific content area.

Subd. 2.

Purpose.

To provide alternative pathways towards Minnesota teacher licensure
outside of the traditional means, improve ethnic and cultural diversity in the classroom, and
to close the achievement gap, the Professional Educator Licensing and Standards Board
must approve qualified teacher preparation providers and programs under this section that
are a means to acquire a Tier 2 license under section 122A.182 and prepare for acquiring a
Tier 3 license under section 122A.183.

Subd. 3.

Eligibility.

A school district, charter school, or nonprofit corporation organized
under chapter 317A for an education-related purpose is eligible to participate under this
section. An eligible entity may apply for provider and program approval simultaneously.

Subd. 4.

Provider approval.

An eligible entity must be approved as a provider before
being approved to provide programs towards licensure. The Professional Educator Licensing
and Standards Board must approve eligible entities under subdivision 3 that meet the
following requirements:

(1) has evidence and history of fiscal solvency, capacity, and operation;

(2) has evidence of necessary infrastructure to provide accurate, timely, and secure data
for the purposes of admission, candidate monitoring, testing, background checks, and license
recommendations;

(3) has policies and procedures in place ensuring the security of candidate records under
the federal Family Educational Rights and Privacy Act; and

(4) has the instructional capacity or ability to obtain the instructional capacity to provide
an adequate instructional phase under subdivision 5.

Subd. 5.

Program approval.

The board must approve programs offered by approved
providers based on nontraditional criteria. An approved program must have the following
characteristics:

(1) an instructional phase that provides intensive preparation and classroom experience
that is commensurate with the scope of licensure standards defined under rule, before the
teacher candidate assumes classroom responsibilities;

(2) a research-based and results-oriented approach focused on best teaching practices
to increase student proficiency and growth measured against state academic standards;

(3) a strategy to combine pedagogy and best teaching practices to better inform teacher
candidates' classroom instruction;

(4) provide assessment, supervision, and evaluation of teacher candidates to determine
their specific needs throughout the program, and to support efforts to successfully complete
the program;

(5) provide intensive and ongoing professional learning opportunities that accelerate
teacher candidates' professional growth, support student learning, and provide a workplace
orientation, professional staff development, mentoring and peer review, focused on standards
of professional practice and continuous professional growth; and

(6) a process to review a candidate's final proficiency of required licensure content
standards that leads to potential candidate recommendation by the provider to the board for
a Tier 3 teaching license under subdivision 8.

Subd. 6.

Nontraditional means; program instructors.

(a) The board must permit
alternative teacher preparation providers and teacher candidates to demonstrate pedagogy
and content standard proficiency in school-based programs and through other nontraditional
means. Nontraditional means may include previous work experiences, teaching experiences,
educator evaluations, industry-recognized certifications, and other essentially equivalent
demonstrations.

(b) The board must use nontraditional criteria to determine qualifications of program
instructors, including permitting instructors to hold a baccalaureate degree only.

Subd. 7.

Program disapproval, suspension.

If the board determines that a teacher
preparation provider or licensure program fails to meet or is deficient in any of the
requirements of subdivision 5, it may suspend or revoke the approval of the provider or
program after it notifies the provider of the deficiencies and gives the provider an opportunity
to remedy the deficiencies.

Subd. 8.

Candidate program completion; teacher licensure.

(a) A candidate that
completes an approved program must apply for a license under the tiered licensure system
according to sections 122A.181 to 122A.184.

(b) A person who successfully completes another state's alternative teacher preparation
licensure program may apply to the Professional Educator Licensing and Standards Board
for a Tier 3 license under section 122A.183.

Subd. 9.

Reports.

(a) An approved alternative teacher preparation provider must report
to the Professional Educator Licensing and Standards Board on items that are defined in
statute regarding program candidates, completion, and effectiveness or other items that are
required under section 122A.09.

(b) The Professional Educator Licensing and Standards Board must submit a biennial
report on the alternative teacher preparation program and providers to legislative committees
having jurisdiction over kindergarten through grade 12 education policy and finance by
January 15 of each odd-numbered year.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 21.

Minnesota Statutes 2016, section 122A.26, subdivision 2, is amended to read:

Subd. 2.

Exceptions.

A person who teaches in a community education program which
qualifies for aid pursuant to section 124D.52 shall continue to meet licensure requirements
as a teacher. A person who teaches in an early childhood and family education program
which is offered through a community education program and which qualifies for community
education aid pursuant to section 124D.20 or early childhood and family education aid
pursuant to section 124D.135 shall continue to meet licensure requirements as a teacher. A
person who teaches in a community education course which is offered for credit for
graduation to persons under 18 years of age shall continue to meet licensure requirements
as a teacher. A person who teaches a driver training course which is offered through a
community education program to persons under 18 years of age shall be licensed by the
Professional Educator Licensing and Standards Board of Teaching or be subject to section
171.35. A license which is required for an instructor in a community education program
pursuant to this subdivision shall not be construed to bring an individual within the definition
of a teacher for purposes of section 122A.40, subdivision 1, or 122A.41, subdivision 1,
clause (a).

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 22.

Minnesota Statutes 2016, section 122A.28, is amended to read:

122A.28 TEACHERS OF DEAF AND HARD-OF-HEARING STUDENTS;
LICENSURE REQUIREMENTS.

Subdivision 1.

K-12 license to teach deaf and hard-of-hearing students; relicensure.

(a) The Professional Educator Licensing and Standards Board of Teaching must review and
determine appropriate licensure requirements for a candidate for a license or an applicant
for a continuing license to teach deaf and hard-of-hearing students in prekindergarten through
grade 12. In addition to other requirements, a candidate must demonstrate the minimum
level of proficiency in American sign language as determined by the board.

(b) Among other relicensure requirements, each teacher under this section must complete
30 continuing education clock hours on hearing loss topics, including American Sign
Language, American Sign Language linguistics, or deaf culture, in each licensure renewal
period.

Subd. 2.

Licensure for teaching oral/aural deaf education programs.

(a) The
Professional Educator Licensing and Standards Board of Teaching shall adopt a separate
licensure rule for a candidate for a license or an applicant for a continuing license to teach
in oral/aural deaf education programs or to provide services, including itinerant oral/aural
deaf education services, to deaf and hard-of-hearing students in prekindergarten through
grade 12.

(b) The board shall design rule requirements for teaching oral/aural deaf education in
collaboration with representatives of parents and educators of deaf and hard-of-hearing
students, postsecondary programs preparing teachers of deaf and hard-of-hearing students,
and the Department of Education.

(c) Rule requirements for teaching oral/aural deaf education shall reflect best practice
research in oral/aural deaf education. Advanced competencies in teaching deaf and
hard-of-hearing students through oral/aural modes shall be included.

(d) Licensure requirements for teachers of oral/aural deaf education must include
minimum competency in American sign language, but are not subject to the guidelines
established in Laws 1993, chapter 224, article 3, section 32, as amended by Laws 1998,
chapter 398, article 2, section 47. The signed communication proficiency interview shall
not be required for teachers licensed to teach deaf and hard-of-hearing students through
oral/aural deaf education methods.

(e) Requirements for teachers or oral/aural deaf education shall include appropriate
continuing education requirements for renewing this licensure.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 23.

Minnesota Statutes 2016, section 122A.29, is amended to read:

122A.29 TEACHERS OF BLIND AND VISUALLY IMPAIRED STUDENTS;
LICENSURE REQUIREMENTS.

Teachers licensed in the education of blind and visually impaired students must
demonstrate competence in reading and writing Braille. The Professional Educator Licensing
and Standards Board of Teaching, at such time as a valid and reliable test is available, shall
adopt a rule to assess these competencies that is consistent with the standards of the National
Library Services for the Blind and Physically Handicapped.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 24.

Minnesota Statutes 2016, section 122A.30, is amended to read:

122A.30 EXEMPTION FOR CAREER AND TECHNICAL EDUCATION
INSTRUCTORS.

(a) Notwithstanding section 122A.15, subdivision 1, and upon approval of the local
employer school board, a person who teaches in a part-time vocational or career and technical
education program is exempt from a license requirement. Nothing in this section shall
exclude licensed career and technical educators from the definition of "teacher" in section
122A.40, 122A.41, or 179A.03.

(b) This section expires June 30, 2020. After this section expires, persons who teach in
a part-time vocational or career and technical education program may apply for a teaching
license provided in sections 122A.18 to 122A.184.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 25.

Minnesota Statutes 2016, section 124D.13, subdivision 11, is amended to read:

Subd. 11.

Teachers.

A school board must employ necessary licensed teachers for its
early childhood family education programs. The Board of Teaching, at its discretion, may
grant an applicant a variance under this subdivision, consistent with sections 122A.09,
subdivision 10, and 122A.25, and Board of Teaching rules.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 26.

Minnesota Statutes 2016, section 124D.454, subdivision 12, is amended to read:

Subd. 12.

Compliance with rules.

Aid must be paid under this section only for services
rendered or for costs incurred in career and technical education programs approved by the
commissioner and operated in accordance with rules promulgated by the commissioner.
This aid shall be paid only for services rendered and for costs incurred by essential, licensed
personnel who meet the requirements for licensure pursuant to the rules of the Minnesota
Professional Educator Licensing and Standards Board of Teaching. Licensed personnel
means persons holding a valid career and technical license issued by the commissioner
Professional Educator Licensing and Standards Board under section 122A.30. If an average
of five or fewer secondary full-time equivalent students are enrolled per teacher in an
approved postsecondary program at Intermediate District No. 287, 916, or 917, licensed
personnel means persons holding a valid vocational license issued by the commissioner or
the Board of Trustees of the Minnesota State Colleges and Universities. Notwithstanding
section 127A.42, the commissioner may modify or withdraw the program or aid approval
and withhold aid under this section without proceeding under section 127A.42 at any time.
To do so, the commissioner must determine that the program does not comply with rules
of the Department of Education or that any facts concerning the program or its budget differ
from the facts in the district's approved application.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 27.

Minnesota Statutes 2016, section 124D.75, subdivision 1, is amended to read:

Subdivision 1.

American Indian language and culture education licenses.

The
Professional Educator Licensing and Standards Board of Teaching, in consultation with the
Tribal Nations Education Committee, must grant initial and continuing teaching licenses
in American Indian language and culture education that bear the same duration as other
initial and continuing licenses. The board must grant licenses to persons who present
satisfactory evidence that they:

(1) possess competence in an American Indian language or possess unique qualifications
relative to or knowledge and understanding of American Indian history and culture; or

(2) possess a bachelor's degree or other academic degree approved by the board or meet
such requirements as to course of study and training as the board may prescribe, or possess
such relevant experience as the board may prescribe.

This evidence may be presented by affidavits, tribal resolutions, or by such other methods
as the board may prescribe. Individuals may present applications for licensure on their own
behalf or these applications may be submitted by the superintendent or other authorized
official of a school district, participating school, or an American Indian school.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 28.

Minnesota Statutes 2016, section 124D.75, subdivision 6, is amended to read:

Subd. 6.

Persons eligible for employment; exemptions.

Any person licensed under
this section shall be eligible for employment by a school board or a participating school as
a teacher in an American Indian education program in which the American Indian language
or culture in which the person is licensed is taught. A school district or participating school
may prescribe only those additional qualifications for teachers licensed under this section
as are approved by the Professional Educator Licensing and Standards Board of Teaching.
Any school board or participating school upon request may be exempted from the licensure
requirements of this section in the hiring of one or more American Indian language and
culture education teachers for any school year in which compliance would, in the opinion
of the commissioner Professional Educator Licensing and Standards Board, create a hardship
in the securing of the teachers.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 29.

Minnesota Statutes 2016, section 125A.67, subdivision 2, is amended to read:

Subd. 2.

Teacher standards.

A teacher or administrator at the academies is subject to
the licensure standards of the Professional Educator Licensing and Standards Board of
Teaching or the commissioner of education. An administrator at the academies is subject
to the licensure standards of the Board of School Administrators.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 30.

Minnesota Statutes 2016, section 136A.1791, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

(a) The terms used in this section have the meanings given
them in this subdivision.

(b) "Qualified educational loan" means a government, commercial, or foundation loan
for actual costs paid for tuition and reasonable educational and living expenses related to a
teacher's preparation or further education.

(c) "School district" means an independent school district, special school district,
intermediate district, education district, special education cooperative, service cooperative,
a cooperative center for vocational education, or a charter school located in Minnesota.

(d) "Teacher" means an individual holding a teaching license issued by the licensing
division in the Department of Education on behalf of the Board of Teaching Professional
Educator Licensing and Standards Board who is employed by a school district to provide
classroom instruction in a teacher shortage area.

(e) "Teacher shortage area" means the licensure fields and economic development regions
reported by the commissioner of education as experiencing a teacher shortage.

(f) "Commissioner" means the commissioner of the Office of Higher Education unless
indicated otherwise.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 31. TEACHER OF SPECIAL EDUCATION LICENSE REVIEW.

The Professional Educator Licensing and Standards Board must conduct a review of all
the available teacher of special education licenses and determine the options for
cross-categorical licenses for teachers of special education. The board must report its findings
and draft legislation, if needed, to the legislative committees having jurisdiction over
kindergarten through grade 12 education by December 14, 2018.

Sec. 32. RULE CHANGE; ACADEMIC AND BEHAVIORAL STRATEGIST
LICENSURE.

No later than September 1, 2017, the Board of Teaching must amend Minnesota Rules,
part 8710.5050, subpart 4, so that academic and behavioral strategist continuing licenses
under that part may be issued and renewed according to rules of the Board of Teaching
governing continuing licenses and without requiring the candidate to hold or be recommended
for licensure in any other licensure field. The board shall use the good cause exemption
under Minnesota Statutes, section 14.388, subdivision 1, clause (3), to adopt rules under
this section, and Minnesota Statutes, section 14.386, does not apply except as provided in
Minnesota Statutes, section 14.388.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 33. LICENSES UNDER JURISDICTION OF THE BOARD OF TEACHING.

Subdivision 1.

One-year license.

A one-year license issued by the commissioner of
education before the effective date of this section must be treated as a Tier 1 license
established under Minnesota Statutes, sections 122A.18 and 122A.181.

Subd. 2.

Two-year license.

A two-year license issued by the commissioner of education
before the effective date of this section must be treated as a Tier 2 license established under
Minnesota Statutes, sections 122A.18 and 122A.182.

Subd. 3.

Five-year license.

A five-year license must be treated in accordance with
Minnesota Statutes, section 122A.184, subdivision 4.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 34. PERMISSIONS, WAIVERS, EXCEPTIONS, AND VARIANCES.

The Professional Educator Licensing and Standards Board may grant an extension of
up to one year for a permission, waiver, variance, or temporary limited license in effect on
January 1, 2018.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 35. TEACHERS OF ENGLISH AS A SECOND LANGUAGE.

(a) Notwithstanding the teacher's field of licensure, a teacher may provide content
instruction in a district or charter school until the end of the 2018-2019 school year if the
teacher:

(1) held a kindergarten through grade 12 English as a second language (ESL) license
during the 2016-2017 school year;

(2) provided content instruction as a highly qualified teacher under the No Child Left
Behind Act to English language learners, as defined under Minnesota Statutes, section
124D.59; and

(3) taught in a classroom where both state content standards and English language
development standards were satisfied.

(b) For the 2019-2020 school year and later, a teacher with an ESL license must meet
all applicable licensing requirements in chapter 122A and rules adopted by the Professional
Educator Licensing and Standards Board.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 36. REPEALER.

(a) Minnesota Statutes 2016, sections 122A.14, subdivision 5; and 122A.162, are repealed
effective January 1, 2018.

(b) Minnesota Statutes 2016, sections 122A.163; 122A.18, subdivisions 2a, 3, 3a, 4, 4a,
6, 7, and 7b; 122A.21, subdivision 2; 122A.23, subdivisions 1 and 2; 122A.245; and 122A.25,
are repealed effective July 1, 2018.

ARTICLE 4

SPECIAL EDUCATION

Section 1.

Minnesota Statutes 2016, section 125A.083, is amended to read:

125A.083 STUDENT INFORMATION SYSTEMS; TRANSFERRING RECORDS.

(a) To efficiently and effectively meet federal and state compliance and accountability
requirements using an online case management reporting system, beginning July 1, 2018,
a school district may contract only for a student information system that is Schools
Interoperability Framework compliant.

(b) Beginning on July 1 of the fiscal year following the year that the commissioner of
education certifies to the legislature under paragraph (c) that a compatible compliant system
exists, a school district must use an online system for compliance reporting under section
125A.085. A district's information system under this section must facilitate the seamless
transfer of student records for a student with disabilities who transfers between school
districts, including records containing the student's evaluation report, service plan, and other
due process forms and information, regardless of what information system any one district
uses.

(c) As a part of the annual report required under section 125A.085, paragraph (f), the
commissioner must specify whether a compatible compliant system exists and if so, list
each vendor's systems that meet the criteria in paragraph (b).

Sec. 2.

Minnesota Statutes 2016, section 125A.0941, is amended to read:

125A.0941 DEFINITIONS.

(a) The following terms have the meanings given them.

(b) "Emergency" means a situation where immediate intervention is needed to protect
a child or other individual from physical injury. Emergency does not mean circumstances
such as: a child who does not respond to a task or request and instead places his or her head
on a desk or hides under a desk or table; a child who does not respond to a staff person's
request unless failing to respond would result in physical injury to the child or other
individual; or an emergency incident has already occurred and no threat of physical injury
currently exists.

(c) "Physical holding" means physical intervention intended to hold a child immobile
or limit a child's movement, where body contact is the only source of physical restraint, and
where immobilization is used to effectively gain control of a child in order to protect a child
or other individual from physical injury. The term physical holding does not mean physical
contact that:

(1) helps a child respond or complete a task;

(2) assists a child without restricting the child's movement;

(3) is needed to administer an authorized health-related service or procedure; or

(4) is needed to physically escort a child when the child does not resist or the child's
resistance is minimal.

(d) "Positive behavioral interventions and supports" means interventions and strategies
to improve the school environment and teach children the skills to behave appropriately,
including the key components under section 122A.627.

(e) "Prone restraint" means placing a child in a face down position.

(f) "Restrictive procedures" means the use of physical holding or seclusion in an
emergency. Restrictive procedures must not be used to punish or otherwise discipline a
child.

(g) "Seclusion" means confining a child alone in a room from which egress is barred.
Egress may be barred by an adult locking or closing the door in the room or preventing the
child from leaving the room. Removing a child from an activity to a location where the
child cannot participate in or observe the activity is not seclusion.

Sec. 3.

Minnesota Statutes 2016, section 125A.11, subdivision 1, is amended to read:

Subdivision 1.

Nonresident tuition rate; other costs.

(a) For fiscal year 2015 and later,
when a school district provides special instruction and services for a pupil with a disability
as defined in section 125A.02 outside the district of residence, excluding a pupil for whom
an adjustment to special education aid is calculated according to section 127A.47, subdivision
7, paragraphs (b) to (d), special education aid paid to the resident district must be reduced
by an amount equal to (1) the actual cost of providing special instruction and services to
the pupil, including a proportionate amount for special transportation, plus (2) the amount
of general education revenue, excluding local optional revenue, plus local optional aid and
referendum equalization aid attributable to that pupil, calculated using the resident district's
average general education revenue and referendum equalization aid per adjusted pupil unit
excluding basic skills revenue, elementary sparsity revenue and secondary sparsity revenue,
minus (3) the amount of special education aid for children with a disability under section
125A.76 received on behalf of that child, minus (4) if the pupil receives special instruction
and services outside the regular classroom for more than 60 percent of the school day, the
amount of general education revenue and referendum equalization aid, excluding portions
attributable to district and school administration, district support services, operations and
maintenance, capital expenditures, and pupil transportation, attributable to that pupil for
the portion of time the pupil receives special instruction and services outside of the regular
classroom, calculated using the resident district's average general education revenue and
referendum equalization aid per adjusted pupil unit excluding basic skills revenue, elementary
sparsity revenue and secondary sparsity revenue and the serving district's basic skills revenue,
elementary sparsity revenue and secondary sparsity revenue per adjusted pupil unit.
Notwithstanding clauses (1) and (4), for pupils served by a cooperative unit without a fiscal
agent school district, the general education revenue and referendum equalization aid
attributable to a pupil must be calculated using the resident district's average general
education revenue and referendum equalization aid excluding compensatory revenue,
elementary sparsity revenue, and secondary sparsity revenue. Special education aid paid to
the district or cooperative providing special instruction and services for the pupil must be
increased by the amount of the reduction in the aid paid to the resident district. If the resident
district's special education aid is insufficient to make the full adjustment, the remaining
adjustment shall be made to other state aid due to the district.

(b) Notwithstanding paragraph (a), when a charter school receiving special education
aid under section 124E.21, subdivision 3, provides special instruction and services for a
pupil with a disability as defined in section 125A.02, excluding a pupil for whom an
adjustment to special education aid is calculated according to section 127A.47, subdivision
7, paragraphs (b) to (e), special education aid paid to the resident district must be reduced
by an amount equal to that calculated under paragraph (a) as if the charter school received
aid under section 124E.21, subdivision 1. Notwithstanding paragraph (a), special education
aid paid to the charter school providing special instruction and services for the pupil must
not be increased by the amount of the reduction in the aid paid to the resident district.

(c) Notwithstanding paragraph (a) and section 127A.47, subdivision 7, paragraphs (b)
to (d):

(1) an intermediate district or a special education cooperative may recover unreimbursed
costs of serving pupils with a disability, including building lease, debt service, and indirect
costs necessary for the general operation of the organization, by billing membership fees
and nonmember access fees to the resident district;

(2) a charter school where more than 30 percent of enrolled students receive special
education and related services, a site approved under section 125A.515, an intermediate
district, a site constructed according to Laws 1992, chapter 558, section 7, subdivision 7,
to meet the educational needs of court-placed adolescents, or a special education cooperative
may apply to the commissioner for authority to charge the resident district an additional
amount to recover any remaining unreimbursed costs of serving pupils with a disability;

(3) the billing under clause (1) or application under clause (2) must include a description
of the costs and the calculations used to determine the unreimbursed portion to be charged
to the resident district. Amounts approved by the commissioner under clause (2) must be
included in the aid adjustments under paragraph (a), or section 127A.47, subdivision 7,
paragraphs (b) to (d), as applicable.

(d) For purposes of this subdivision and section 127A.47, subdivision 7, paragraph (b),
"general education revenue and referendum equalization aid" means the sum of the general
education revenue according to section 126C.10, subdivision 1, excluding the local optional
levy according to section 126C.10, subdivision 2e, paragraph (c), plus the referendum
equalization aid according to section 126C.17, subdivision 7.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 4.

Minnesota Statutes 2016, section 125A.21, subdivision 2, is amended to read:

Subd. 2.

Third-party reimbursement.

(a) Beginning July 1, 2000, districts shall seek
reimbursement from insurers and similar third parties for the cost of services provided by
the district whenever the services provided by the district are otherwise covered by the
child's health coverage. Districts shall request, but may not require, the child's family to
provide information about the child's health coverage when a child with a disability begins
to receive services from the district of a type that may be reimbursable, and shall request,
but may not require, updated information after that as needed.

(b) For children enrolled in medical assistance under chapter 256B or MinnesotaCare
under chapter 256L who have no other health coverage, a district shall provide an initial
and annual written notice to the enrolled child's parent or legal representative of its intent
to seek reimbursement from medical assistance or MinnesotaCare for:

(1) the evaluations required as part of the individualized education program process or
individualized family service plan process; and

(2) health-related services provided by the district according to the individualized
education program or individualized family service plan.

The initial notice must give the child's parent or legal representative the right to request a
copy of the child's education records on the health-related services that the district provided
to the child and disclosed to a third-party payer.

(c) The district shall give the parent or legal representative annual written notice of:

(1) the district's intent to seek reimbursement from medical assistance or MinnesotaCare
for evaluations required as part of the individualized education program process or
individualized family service plan process, and for health-related services provided by the
district according to the individualized education program or individualized family service
plan;

(2) the right of the parent or legal representative to request a copy of all records
concerning individualized education program or individualized family service plan
health-related services disclosed by the district to any third party; and

(3) the right of the parent or legal representative to withdraw consent for disclosure of
a child's records at any time without consequence.

The written notice shall be provided as part of the written notice required by Code of Federal
Regulations, title 34, section 300.504 or 303.520. The district must ensure that the parent
of a child with a disability is given notice, in understandable language, of federal and state
procedural safeguards available to the parent under this paragraph and paragraph (b).

(d) In order to access the private health care coverage of a child who is covered by private
health care coverage in whole or in part, a district must:

(1) obtain annual written informed consent from the parent or legal representative, in
compliance with subdivision 5; and

(2) inform the parent or legal representative that a refusal to permit the district or state
Medicaid agency to access their private health care coverage does not relieve the district of
its responsibility to provide all services necessary to provide free and appropriate public
education at no cost to the parent or legal representative.

(e) If the commissioner of human services obtains federal approval to exempt covered
individualized education program or individualized family service plan health-related
services from the requirement that private health care coverage refuse payment before
medical assistance may be billed, paragraphs (b), (c), and (d) shall also apply to students
with a combination of private health care coverage and health care coverage through medical
assistance or MinnesotaCare.

(f) In the event that Congress or any federal agency or the Minnesota legislature or any
state agency establishes lifetime limits, limits for any health care services, cost-sharing
provisions, or otherwise provides that individualized education program or individualized
family service plan health-related services impact benefits for persons enrolled in medical
assistance or MinnesotaCare, the amendments to this subdivision adopted in 2002 are
repealed on the effective date of any federal or state law or regulation that imposes the
limits. In that event, districts must obtain informed consent consistent with this subdivision
as it existed prior to the 2002 amendments and subdivision 5, before seeking reimbursement
for children enrolled in medical assistance under chapter 256B or MinnesotaCare under
chapter 256L who have no other health care coverage.

EFFECTIVE DATE.

This section is effective August 1, 2017.

Sec. 5.

Minnesota Statutes 2016, section 125A.515, is amended to read:

125A.515 PLACEMENT OF STUDENTS; APPROVAL OF EDUCATION
PROGRAM.

Subdivision 1.

Approval of on-site education programs.

The commissioner shall
approve on-site education programs for placement of children and youth in residential
facilities including detention centers, before being licensed by the Department of Human
Services or the Department of Corrections. Education programs in these facilities shall
conform to state and federal education laws including the Individuals with Disabilities
Education Act (IDEA). This section applies only to placements in children's residential
facilities licensed by the Department of Human Services or the Department of Corrections.
For purposes of this section, "on-site education program" means the educational services
provided directly on the grounds of the care and treatment children's residential facility to
children and youth placed for care and treatment.

Subd. 3.

Responsibilities for providing education.

(a) The district in which the children's
residential facility is located must provide education services, including special education
if eligible, to all students placed in a facility.

(b) For education programs operated by the Department of Corrections, the providing
district shall be the Department of Corrections. For students remanded to the commissioner
of corrections, the providing and resident district shall be the Department of Corrections.

Subd. 3a.

Students without a disability from other states.

A school district is not
required to provide education services under this section to a student who:

(1) is not a resident of Minnesota;

(2) does not have an individualized education program; and

(3) does not have a tuition arrangement or agreement to pay the cost of education from
the placing authority.

Subd. 4.

Education services required.

(a) Education services must be provided to a
student beginning within three business days after the student enters the care and treatment
children's residential facility. The first four days of the student's placement may be used to
screen the student for educational and safety issues.

(b) If the student does not meet the eligibility criteria for special education, regular
education services must be provided to that student.

Subd. 5.

Education programs for students placed in children's residential facilities.

(a) When a student is placed in a children's residential facility approved under this section
that has an on-site education program, the providing district, upon notice from the care and
treatment children's residential facility, must contact the resident district within one business
day to determine if a student has been identified as having a disability, and to request at
least the student's transcript, and for students with disabilities, the most recent individualized
education program (IEP) and evaluation report, and to determine if the student has been
identified as a student with a disability. The resident district must send a facsimile copy to
the providing district within two business days of receiving the request.

(b) If a student placed under this section has been identified as having a disability and
has an individualized education program in the resident district:

(1) the providing agency must conduct an individualized education program meeting to
reach an agreement about continuing or modifying special education services in accordance
with the current individualized education program goals and objectives and to determine if
additional evaluations are necessary; and

(2) at least the following people shall receive written notice or documented phone call
to be followed with written notice to attend the individualized education program meeting:

(i) the person or agency placing the student;

(ii) the resident district;

(iii) the appropriate teachers and related services staff from the providing district;

(iv) appropriate staff from the children's residential facility;

(v) the parents or legal guardians of the student; and

(vi) when appropriate, the student.

(c) For a student who has not been identified as a student with a disability, a screening
must be conducted by the providing districts as soon as possible to determine the student's
educational and behavioral needs and must include a review of the student's educational
records.

Subd. 6.

Exit report summarizing educational progress.

If a student has been placed
in a facility under this section for 15 or more business days, the providing district must
prepare an exit report summarizing the regular education, special education, evaluation,
educational progress, and service information and must send the report to the resident district
and the next providing district if different, the parent or legal guardian, and any appropriate
social service agency. For students with disabilities, this report must include the student's
IEP.

Subd. 7.

Minimum educational services required.

When a student is placed in a
children's residential facility approved under this section, at a minimum, the providing
district is responsible for:

(1) the education necessary, including summer school services, for a student who is not
performing at grade level as indicated in the education record or IEP; and

(2) a school day, of the same length as the school day of the providing district, unless
the unique needs of the student, as documented through the IEP or education record in
consultation with treatment providers, requires an alteration in the length of the school day.

Subd. 8.

Placement, services, and due process.

When a student's treatment and
educational needs allow, education shall be provided in a regular educational setting. The
determination of the amount and site of integrated services must be a joint decision between
the student's parents or legal guardians and the treatment and education staff. When
applicable, educational placement decisions must be made by the IEP team of the providing
district. Educational services shall be provided in conformance with the least restrictive
environment principle of the Individuals with Disabilities Education Act. The providing
district and care and treatment children's residential facility shall cooperatively develop
discipline and behavior management procedures to be used in emergency situations that
comply with the Minnesota Pupil Fair Dismissal Act and other relevant state and federal
laws and regulations.

Subd. 9.

Reimbursement for education services.

(a) Education services provided to
students who have been placed under this section are reimbursable in accordance with
special education and general education statutes.

(b) Indirect or consultative services provided in conjunction with regular education
prereferral interventions and assessment provided to regular education students suspected
of being disabled and who have demonstrated learning or behavioral problems in a screening
are reimbursable with special education categorical aids.

(c) Regular education, including screening, provided to students with or without
disabilities is not reimbursable with special education categorical aids.

Subd. 10.

Students unable to attend school but not covered under this section.

Students who are absent from, or predicted to be absent from, school for 15 consecutive or
intermittent days, and placed at home or in facilities not licensed by the Departments of
Corrections or Human Services are entitled to regular and special education services
consistent with this section or Minnesota Rules, part 3525.2325. These students include
students with and without disabilities who are home due to accident or illness, in a hospital
or other medical facility, or in a day treatment center.

Sec. 6.

Minnesota Statutes 2016, section 125A.74, subdivision 1, is amended to read:

Subdivision 1.

Eligibility.

A district may enroll as a provider in the medical assistance
program and receive medical assistance payments for covered evaluations and special
education services provided to persons eligible for medical assistance under chapter 256B.
To receive medical assistance payments, the district must pay the nonfederal share of medical
assistance services provided according to section 256B.0625, subdivision 26, and comply
with relevant provisions of state and federal statutes and regulations governing the medical
assistance program.

EFFECTIVE DATE.

This section is effective August 1, 2017.

Sec. 7.

Minnesota Statutes 2016, section 125A.76, subdivision 2c, is amended to read:

Subd. 2c.

Special education aid.

(a) For fiscal year 2016 and later, a district's special
education aid equals the sum of the district's special education initial aid under subdivision
2a and the district's excess cost aid under section 125A.79, subdivision 5.

(b) Notwithstanding paragraph (a), for fiscal year 2016, the special education aid for a
school district must not exceed the sum of the special education aid the district would have
received for fiscal year 2016 under Minnesota Statutes 2012, sections 125A.76 and 125A.79,
as adjusted according to Minnesota Statutes 2012, sections 125A.11 and 127A.47, subdivision
7, and the product of the district's average daily membership served and the special education
aid increase limit.

(c) Notwithstanding paragraph (a), for fiscal year 2017 and later, the special education
aid for a school district must not exceed the sum of: (i) the product of the district's average
daily membership served and the special education aid increase limit and (ii) the product
of the sum of the special education aid the district would have received for fiscal year 2016
under Minnesota Statutes 2012, sections 125A.76 and 125A.79, as adjusted according to
Minnesota Statutes 2012, sections 125A.11 and 127A.47, subdivision 7, the ratio of the
district's average daily membership served for the current fiscal year to the district's average
daily membership served for fiscal year 2016, and the program growth factor.

(d) Notwithstanding paragraph (a), for fiscal year 2016 and later the special education
aid for a school district, not including a charter school or cooperative unit as defined in
section 123A.24, must not be less than the lesser of (1) the district's nonfederal special
education expenditures for that fiscal year or (2) the product of the sum of the special
education aid the district would have received for fiscal year 2016 under Minnesota Statutes
2012, sections 125A.76 and 125A.79, as adjusted according to Minnesota Statutes 2012,
sections 125A.11 and 127A.47, subdivision 7, the ratio of the district's adjusted daily
membership for the current fiscal year to the district's average daily membership for fiscal
year 2016, and the program growth factor.

(e) Notwithstanding subdivision 2a and section 125A.79, a charter school in its first year
of operation shall generate special education aid based on current year data. A newly formed
cooperative unit as defined in section 123A.24 may apply to the commissioner for approval
to generate special education aid for its first year of operation based on current year data,
with an offsetting adjustment to the prior year data used to calculate aid for programs at
participating school districts or previous cooperatives that were replaced by the new
cooperative. The department shall establish procedures to adjust the prior year data and
fiscal year 2016 old formula aid used in calculating special education aid to exclude costs
that have been eliminated for districts where programs have closed or where a substantial
portion of the program has been transferred to a cooperative unit.

(f) The department shall establish procedures through the uniform financial accounting
and reporting system to identify and track all revenues generated from third-party billings
as special education revenue at the school district level; include revenue generated from
third-party billings as special education revenue in the annual cross-subsidy report; and
exclude third-party revenue from calculation of excess cost aid to the districts.

EFFECTIVE DATE.

This section is effective for revenue for fiscal year 2018 and later.

Sec. 8.

Minnesota Statutes 2016, section 256B.0625, subdivision 26, is amended to read:

Subd. 26.

Special education services.

(a) Medical assistance covers evaluations necessary
in making a determination for eligibility for individualized education program and
individualized family service plan services and for medical services identified in a recipient's
individualized education program and individualized family service plan and covered under
the medical assistance state plan. Covered services include occupational therapy, physical
therapy, speech-language therapy, clinical psychological services, nursing services, school
psychological services, school social work services, personal care assistants serving as
management aides, assistive technology devices, transportation services, health assessments,
and other services covered under the medical assistance state plan. Mental health services
eligible for medical assistance reimbursement must be provided or coordinated through a
children's mental health collaborative where a collaborative exists if the child is included
in the collaborative operational target population. The provision or coordination of services
does not require that the individualized education program be developed by the collaborative.

The services may be provided by a Minnesota school district that is enrolled as a medical
assistance provider or its subcontractor, and only if the services meet all the requirements
otherwise applicable if the service had been provided by a provider other than a school
district, in the following areas: medical necessity, physician's orders, documentation,
personnel qualifications, and prior authorization requirements. The nonfederal share of costs
for services provided under this subdivision is the responsibility of the local school district
as provided in section 125A.74. Services listed in a child's individualized education program
are eligible for medical assistance reimbursement only if those services meet criteria for
federal financial participation under the Medicaid program.

(b) Approval of health-related services for inclusion in the individualized education
program does not require prior authorization for purposes of reimbursement under this
chapter. The commissioner may require physician review and approval of the plan not more
than once annually or upon any modification of the individualized education program that
reflects a change in health-related services.

(c) Services of a speech-language pathologist provided under this section are covered
notwithstanding Minnesota Rules, part 9505.0390, subpart 1, item L, if the person:

(1) holds a masters degree in speech-language pathology;

(2) is licensed by the Minnesota Board of Teaching as an educational speech-language
pathologist; and

(3) either has a certificate of clinical competence from the American Speech and Hearing
Association, has completed the equivalent educational requirements and work experience
necessary for the certificate or has completed the academic program and is acquiring
supervised work experience to qualify for the certificate.

(d) Medical assistance coverage for medically necessary services provided under other
subdivisions in this section may not be denied solely on the basis that the same or similar
services are covered under this subdivision.

(e) The commissioner shall develop and implement package rates, bundled rates, or per
diem rates for special education services under which separately covered services are grouped
together and billed as a unit in order to reduce administrative complexity.

(f) The commissioner shall develop a cost-based payment structure for payment of these
services. Only costs reported through the designated Minnesota Department of Education
data systems in distinct service categories qualify for inclusion in the cost-based payment
structure. The commissioner shall reimburse claims submitted based on an interim rate, and
shall settle at a final rate once the department has determined it. The commissioner shall
notify the school district of the final rate. The school district has 60 days to appeal the final
rate. To appeal the final rate, the school district shall file a written appeal request to the
commissioner within 60 days of the date the final rate determination was mailed. The appeal
request shall specify (1) the disputed items and (2) the name and address of the person to
contact regarding the appeal.

(g) Effective July 1, 2000, medical assistance services provided under an individualized
education program or an individual family service plan by local school districts shall not
count against medical assistance authorization thresholds for that child.

(h) Nursing services as defined in section 148.171, subdivision 15, and provided as an
individualized education program health-related service, are eligible for medical assistance
payment if they are otherwise a covered service under the medical assistance program.
Medical assistance covers the administration of prescription medications by a licensed nurse
who is employed by or under contract with a school district when the administration of
medications is identified in the child's individualized education program. The simple
administration of medications alone is not covered under medical assistance when
administered by a provider other than a school district or when it is not identified in the
child's individualized education program.

EFFECTIVE DATE.

This section is effective August 1, 2017.

Sec. 9.

Laws 2016, chapter 189, article 25, section 62, subdivision 17, is amended to read:

Subd. 17.

Southwest Minnesota State University special education teacher education
program.

(a) For the Southwest Minnesota State University special education teacher
education program to support Minnesota resident residents working toward licensure in an
online program, including persons currently employed as:

(1) special education paraprofessionals working toward licensure in an online program;

(2) teachers without a special education license working on a variance; or

(3) individuals teaching with a community expert license:

	$	385,000 132,000	.....	2017
	$	253,000	.....	2018

(b) $253,000 of the $385,000 appropriation in Laws 2016, chapter 189, article 25, section
62, subdivision 17, is canceled to the state general fund on June 30, 2017.

The base for this program in fiscal year 2018 is $0. (c) The 2018 appropriation is available
until June 30, 2019.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 10. SPECIAL EDUCATION ASSISTIVE TECHNOLOGY STUDY.

Subdivision 1.

Study.

The commissioner of education must examine the use of assistive
technology in Minnesota school districts. The commissioner may examine financial data,
survey school officials, and use other methods to collect data on the use of assistive
technology by Minnesota's students. The commissioner must consult with the Minnesota
Assistive Technology Advisory Council and other interested organizations to determine the
scope and focus of the study.

Subd. 2.

Data reporting.

The commissioner must examine the federally required uniform
financial accounting and reporting standards object codes and, if necessary, recommend
changes to better capture school district spending on assistive technology. The commissioner
must examine approaches to collecting additional student-level assistive technology data
through the electronic data reporting system.

Subd. 3.

Assistive technology manual.

The commissioner must examine the department's
assistive technology manual, and determine whether to prepare a revised manual.

Subd. 4.

Report.

The commissioner of education must report to the chairs and ranking
minority members of the legislative committees with jurisdiction over kindergarten through
grade 12 education by February 15, 2018, on the use of assistive technology by Minnesota's
students and recommend statutory changes to encourage individualized education programs
and individualized family service plans to incorporate a child-centered assistive technology
plan.

Sec. 11. SPECIAL EDUCATION ADJUSTMENT; MONTICELLO SCHOOL
DISTRICT.

Notwithstanding Minnesota Statutes, sections 125A.76 and 127A.45, special education
aid payments to Independent School District No. 882, Monticello, must be increased by
$800,000 in fiscal year 2018 to mitigate cash flow problems created by an unforeseeable
reduction in the district's special education aid for fiscal year 2016 as a result of the combined
effects of converting from a host district cooperative to a joint powers cooperative and
implementation of a new special education aid formula in the same fiscal year. Special
education aid payments to Independent School District No. 882, Monticello, must be reduced
by the same amount in fiscal year 2019 to offset the fiscal year 2018 increase.

Sec. 12. APPROPRIATIONS.

Subdivision 1.

Department of Education.

The sums indicated in this section are
appropriated from the general fund to the Department of Education for the fiscal years
designated.

Subd. 2.

Special education; regular.

For special education aid under Minnesota Statutes,
section 125A.75:

	$	1,341,161,000	.....	2018
	$	1,426,827,000	.....	2019

The 2018 appropriation includes $156,403,000 for 2017 and $1,184,758 for 2018.

The 2019 appropriation includes $131,639,000 for 2018 and $1,295,188 for 2019.

Subd. 3.

Aid for children with disabilities.

For aid under Minnesota Statutes, section
125A.75, subdivision 3, for children with disabilities placed in residential facilities within
the district boundaries for whom no district of residence can be determined:

	$	1,597,000	.....	2018
	$	1,830,000	.....	2019

If the appropriation for either year is insufficient, the appropriation for the other year is
available.

Subd. 4.

Travel for home-based services.

For aid for teacher travel for home-based
services under Minnesota Statutes, section 125A.75, subdivision 1:

	$	508,000	.....	2018
	$	532,000	.....	2019

The 2018 appropriation includes $48,000 for 2017 and $460,000 for 2018.

The 2019 appropriation includes $51,000 for 2018 and $481,000 for 2019.

Subd. 5.

Court-placed special education revenue.

For reimbursing serving school
districts for unreimbursed eligible expenditures attributable to children placed in the serving
school district by court action under Minnesota Statutes, section 125A.79, subdivision 4:

	$	46,000	.....	2018
	$	47,000	.....	2019

Subd. 6.

Special education out-of-state tuition.

For special education out-of-state
tuition under Minnesota Statutes, section 125A.79, subdivision 8:

	$	250,000	.....	2018
	$	250,000	.....	2019

Sec. 13. REPEALER.

Minnesota Statutes 2016, sections 125A.75, subdivision 7; and 125A.76, subdivision
2b, are repealed effective for fiscal year 2018 and later.

ARTICLE 5

FACILITIES AND TECHNOLOGY

Section 1.

[121A.335] LEAD IN SCHOOL DRINKING WATER.

Subdivision 1.

Model plan.

The commissioners of health and education shall jointly
develop a model plan to require school districts to accurately and efficiently test for the
presence of lead in water in public school buildings serving students in kindergarten through
grade 12. To the extent possible, the commissioners shall base the plan on the standards
established by the United States Environmental Protection Agency. The plan may be based
on the technical guidance in the Department of Health's document, "Reducing Lead in
Drinking Water: A Technical Guidance for Minnesota's School and Child Care Facilities."

Subd. 2.

School plans.

By July 1, 2018, the board of each school district or charter
school must adopt the commissioners' model plan or develop and adopt an alternative plan
to accurately and efficiently test for the presence of lead in water in school buildings serving
prekindergarten students and students in kindergarten through grade 12.

Subd. 3.

Frequency of testing.

The plan under subdivision 2 must include a testing
schedule for every building serving prekindergarten through grade 12 students. The schedule
must require that each building be tested at least once every five years. A school district
must begin testing school buildings by July 1, 2018, and complete testing of all buildings
that serve students within five years.

Subd. 4.

Ten-year facilities plan.

A school district may include lead testing and
remediation as a part of its ten-year facilities plan under section 123B.595.

Subd. 5.

Reporting.

A school district that has tested its buildings for the presence of
lead shall make the results of the testing available to the public for review and must notify
parents of the availability of the information.

EFFECTIVE DATE.

This section is effective July 1, 2017.

Sec. 2.

Minnesota Statutes 2016, section 123A.73, subdivision 2, is amended to read:

Subd. 2.

Involuntary Dissolution; referendum revenue.

As of the effective date of
the voluntary or involuntary dissolution of a district and its attachment to one or more
existing districts pursuant to sections 123A.60 or 123A.64 to 123A.72, the authorization
for any referendum revenue previously approved by the voters of the dissolved district in
that district pursuant to section 126C.17, subdivision 9, or its predecessor or successor
provision, is canceled. The authorization for any referendum revenue previously approved
by the voters of a district to which all or part of the dissolved district is attached shall not
be affected by the attachment and shall apply to the entire area of the district as enlarged
by the attachment.

EFFECTIVE DATE.

This section is effective retroactively from January 1, 2017.

Sec. 3.

Minnesota Statutes 2016, section 123B.595, subdivision 1, is amended to read:

Subdivision 1.

Long-term facilities maintenance revenue.

(a) For fiscal year 2017
only, long-term facilities maintenance revenue equals the greater of (1) the sum of (i) $193
times the district's adjusted pupil units times the lesser of one or the ratio of the district's
average building age to 35 years, plus the cost approved by the commissioner for indoor
air quality, fire alarm and suppression, and asbestos abatement projects under section
123B.57, subdivision 6, with an estimated cost of $100,000 or more per site, plus (ii) for a
school district with an approved voluntary prekindergarten program under section 124D.151,
the cost approved by the commissioner for remodeling existing instructional space to
accommodate prekindergarten instruction, or (2) the sum of (i) the amount the district would
have qualified for under Minnesota Statutes 2014, section 123B.57, Minnesota Statutes
2014, section 123B.59, and Minnesota Statutes 2014, section 123B.591, and (ii) for a school
district with an approved voluntary prekindergarten program under section 124D.151, the
cost approved by the commissioner for remodeling existing instructional space to
accommodate prekindergarten instruction.

(b) For fiscal year 2018 only, long-term facilities maintenance revenue equals the greater
of (1) the sum of (i) $292 times the district's adjusted pupil units times the lesser of one or
the ratio of the district's average building age to 35 years, plus (ii) the cost approved by the
commissioner for indoor air quality, fire alarm and suppression, and asbestos abatement
projects under section 123B.57, subdivision 6, with an estimated cost of $100,000 or more
per site, plus (iii) for a school district with an approved voluntary prekindergarten program
under section 124D.151, the cost approved by the commissioner for remodeling existing
instructional space to accommodate prekindergarten instruction, or (2) the sum of (i) the
amount the district would have qualified for under Minnesota Statutes 2014, section 123B.57,
Minnesota Statutes 2014, section 123B.59, and Minnesota Statutes 2014, section 123B.591,
and (ii) for a school district with an approved voluntary prekindergarten program under
section 124D.151, the cost approved by the commissioner for remodeling existing
instructional space to accommodate prekindergarten instruction.

(c) For fiscal year 2019 and later, long-term facilities maintenance revenue equals the
greater of (1) the sum of (i) $380 times the district's adjusted pupil units times the lesser of
one or the ratio of the district's average building age to 35 years, plus (ii) the cost approved
by the commissioner for indoor air quality, fire alarm and suppression, and asbestos
abatement projects under section 123B.57, subdivision 6, with an estimated cost of $100,000
or more per site, plus (iii) for a school district with an approved voluntary prekindergarten
program under section 124D.151, the cost approved by the commissioner for remodeling
existing instructional space to accommodate prekindergarten instruction, or (2) the sum of
(i) the amount the district would have qualified for under Minnesota Statutes 2014, section
123B.57, Minnesota Statutes 2014, section 123B.59, and Minnesota Statutes 2014, section
123B.591, and (ii) for a school district with an approved voluntary prekindergarten program
under section 124D.151, the cost approved by the commissioner for remodeling existing
instructional space to accommodate prekindergarten instruction.

(d) Notwithstanding paragraphs (a), (b), and (c), a school district that qualified for
eligibility under Minnesota Statutes 2014, section 123B.59, subdivision 1, paragraph (a),
for fiscal year 2010 remains eligible for funding under this section as a district that would
have qualified for eligibility under Minnesota Statutes 2014, section 123B.59, subdivision
1, paragraph (a), for fiscal year 2017 and later.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 4.

Minnesota Statutes 2016, section 123B.595, subdivision 4, is amended to read:

Subd. 4.

Facilities plans.

(a) To qualify for revenue under this section, a school district
or intermediate district, not including a charter school, must have a ten-year facility plan
adopted by the school board and approved by the commissioner. The plan must include
provisions for implementing a health and safety program that complies with health, safety,
and environmental regulations and best practices, including indoor air quality management
and remediation of lead hazards.

(b) The district must annually update the plan, submit the plan to the commissioner for
approval by July 31, and indicate whether the district will issue bonds to finance the plan
or levy for the costs.

(c) For school districts issuing bonds to finance the plan, the plan must include a debt
service schedule demonstrating that the debt service revenue required to pay the principal
and interest on the bonds each year will not exceed the projected long-term facilities revenue
for that year.

EFFECTIVE DATE.

This section is effective for revenue for fiscal year 2018 and later.

Sec. 5.

Minnesota Statutes 2016, section 123B.71, subdivision 11, is amended to read:

Subd. 11.

Review of proposals.

In reviewing each proposal, the commissioner shall
submit to the school board, within 60 days of receiving the proposal, the review and comment
about the educational and economic advisability of the project. The commissioner must
include comments from residents of the school district in the review and comment. The
review and comment shall be based on information submitted with the proposal and other
information the commissioner determines is necessary. If the commissioner submits a
negative review and comment for a portion of a proposal, the review and comment shall
clearly specify which portion of the proposal received a negative review and comment and
which portion of the proposal received a positive review and comment.

Sec. 6.

Minnesota Statutes 2016, section 123B.71, subdivision 12, is amended to read:

Subd. 12.

Publication.

(a) At least 20 days but not more than 60 days before a referendum
for bonds or solicitation of bids for a project that has received a positive or unfavorable
review and comment under section 123B.70, the school board shall publish a summary of
the commissioner's review and comment of that project in the legal newspaper of the district.
The school board must hold a public meeting to discuss the commissioner's review and
comment before the referendum for bonds. Supplementary information shall be available
to the public.

(b) The publication requirement in paragraph (a) does not apply to alternative facilities
projects approved under section 123B.59 123B.595.

Sec. 7.

Minnesota Statutes 2016, section 129C.10, subdivision 1, is amended to read:

Subdivision 1.

Governance.

(a) The board of the Perpich Center for Arts Education
shall consist of 15 16 persons., including the commissioner of education or a person
designated by the commissioner of education who must serve as an ex officio member.
The remaining 15 members of the board shall be appointed by the governor with the advice
and consent of the senate. At least one member must be appointed from each congressional
district.

(b) All board members must complete board training requirements consistent with section
127A.19.

Sec. 8.

Minnesota Statutes 2016, section 129C.10, subdivision 4, is amended to read:

Subd. 4.

Employees.

(a)(1) The board must appoint a director of the Center for Arts
Education who shall serve in the unclassified service. The director must hold a Minnesota
superintendent license.

(2) The board must employ, upon recommendation of the director, a coordinator of
resource programs who shall serve in the unclassified service.

(3) The board must employ, upon recommendation of the director, up to six department
chairs who shall serve in the unclassified service. The chairs shall be licensed teachers
unless no licensure exists for the subject area or discipline for which the chair is hired.

(4) The board may employ other necessary employees, upon recommendation of the
director.

(5) The board must employ, upon recommendation of the director, an executive secretary
for the director, who shall serve in the unclassified service.

(6) All persons employed as teachers must hold Minnesota teaching licenses in their
respective fields or be approved by the Board of Teaching.

(b) The employees hired under this subdivision and other necessary employees hired by
the board shall be state employees in the executive branch.

Sec. 9.

Minnesota Statutes 2016, section 129C.105, is amended to read:

129C.105 BOARD MEETINGS BY TELEPHONE OR OTHER ELECTRONIC
MEANS.

(a) Notwithstanding section 13D.01 and if complying with section 13D.02 is impractical,
the Board of the Perpich Center for Arts Education may conduct a meeting of its members
by telephone or other electronic means when:

(1) all members of the board participating in the meeting, wherever the members' physical
locations, can hear one another and all discussion and testimony;

(2) members of the public present at the regular meeting location of the board can hear
all discussion and testimony and all votes of members of the board;

(3) at least one member of the board is physically present at the regular meeting location;
and

(4) all votes are conducted by roll call, so each member's vote on each issue can be
identified and recorded.

(b) Each member of the board participating in a meeting by telephone or other electronic
means is considered present at the meeting for purposes of determining a quorum and
participating in all proceedings.

(c) If telephone or other electronic means is used to conduct a meeting, the board, to the
extent practical, shall allow a person to monitor the meeting electronically from a remote
location. The board may require the person making such a connection to pay for documented
marginal costs that the board incurs as a result of the additional connection.

(d) If telephone or other electronic means is used to conduct a regular, special, or
emergency meeting, the board shall provide notice of the regular meeting location, of the
fact that some members may participate by telephone or other electronic means, and of the
provisions of paragraph (c). The timing and method of providing notice is governed by
section 13D.04.

(e) The board must publish minutes of all meetings on the center's Web site.

Sec. 10.

[129C.27] ANNUAL DIRECTOR REPORT.

The director must report the following to the education committees of the legislature by
January 15 of each year in accordance with section 3.195:

(1) outreach activities, including the number of districts, teachers, and administrators
that have participated in outreach programs;

(2) the impact of the center's outreach activities;

(3) enrollment trends, including the number of students from each congressional district
admitted to the Perpich Arts High School and efforts to increase enrollment by 20 percent
by 2019; and

(4) students' academic achievement, including performance on standard assessments,
graduation rates, and the number of students enrolled in postsecondary education.

EFFECTIVE DATE.

This section is effective July 1, 2017.

Sec. 11.

Laws 2016, chapter 189, article 30, section 25, subdivision 5, is amended to read:

Subd. 5.

Early repayment aid incentive.

(a) For incentive grants for a district that
repays the full outstanding original principal on its capital loan by November 30, 2016,
under Laws 2011, First Special Session chapter 11, article 4, section 8, as amended by this
act:

$

2,200,000 2,350,000

.....

2017

(b) Of this amount, $150,000 is for a grant to Independent School District No. 36,
Kelliher; $180,000 is for a grant to Independent School District No. 95, Cromwell; $495,000
is for a grant to Independent School District No. 299, Caledonia; $220,000 is for a grant to
Independent School District No. 306, Laporte; $150,000 is for a grant to Independent School
District No. 362, Littlefork; $650,000 is for a grant to Independent School District No. 682,
Roseau; and $505,000 is for a grant to Independent School District No. 2580, East Central.

(c) The grant may be used for any school-related purpose.

(d) The base appropriation for 2022 is zero.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 12. DISPOSITION OF CROSSWINDS SCHOOL; PROCEEDS OF SALE.

(a) Notwithstanding the appropriation of state general obligation bond proceeds in Laws
1998, chapter 404, section 5, subdivision 5; Laws 1999, chapter 240, article 1, section 3;
Laws 2000, chapter 492, article 1, section 5, subdivision 2; Laws 2001, First Special Session
chapter 12, section 2, subdivision 2; and Laws 2005, chapter 20, article 1, section 5,
subdivision 3, to acquire and better the Crosswinds school facilities by the Joint Powers
District No. 6067, East Metro Integration District, in Woodbury, the Crosswinds school
may be conveyed or sold by the commissioner of administration in accordance with
Minnesota Statutes, sections 16B.281 to 16B.287.

(b) As soon as practicable following July 1, 2017, and consistent with Minnesota Statutes,
sections 16A.695 and 16B.281 to 16B.287, and constraints on the disposition of
bond-financed property, the commissioner of administration shall offer the Crosswinds
school property for sale. Before offering the Crosswinds school property for sale, the
commissioner of administration must determine that the property is no longer needed to
carry out the governmental program for which it was acquired or constructed.

EFFECTIVE DATE.

This section is effective July 1, 2017.

Sec. 13. TRANSITION REQUIREMENTS; CROSSWINDS SCHOOL.

For the 2017-2018 school year only, for a school district or charter school enrolling
pupils at the Crosswinds school, the Department of Education must calculate compensatory
revenue, literacy aid, and alternative compensation revenue for the Crosswinds school based
on the October 1, 2016, enrollment counts at that site.

EFFECTIVE DATE.

This section is effective July 1, 2017.

Sec. 14. APPROPRIATIONS.

Subdivision 1.

Department of Education.

The sums indicated in this section are
appropriated from the general fund to the Department of Education for the fiscal years
designated.

Subd. 2.

Debt service equalization aid.

For debt service equalization aid under
Minnesota Statutes, section 123B.53, subdivision 6:

	$	24,908,000	.....	2018
	$	22,360,000	.....	2019

The 2018 appropriation includes $2,324,000 for 2017 and $22,584,000 for 2018.

The 2019 appropriation includes $2,509,000 for 2018 and $19,851,000 for 2019.

Subd. 3.

Long-term facilities maintenance equalized aid.

For long-term facilities
maintenance equalized aid under Minnesota Statutes, section 123B.595, subdivision 9:

	$	80,179,000	.....	2018
	$	103,460,000	.....	2019

The 2018 appropriation includes $5,815,000 for 2017 and $74,364,000 for 2018.

The 2019 appropriation includes $8,262,000 for 2018 and $95,198,000 for 2019.

Subd. 4.

Equity in telecommunications access.

For equity in telecommunications
access:

	$	3,750,000	.....	2018
	$	3,750,000	.....	2019

If the appropriation amount is insufficient, the commissioner shall reduce the
reimbursement rate in Minnesota Statutes, section 125B.26, subdivisions 4 and 5, and the
revenue for fiscal years 2018 and 2019 shall be prorated.

Any balance in the first year does not cancel but is available in the second year.

Subd. 5.

Early repayment aid incentive.

(a) For incentive grants for a district that
repays the full outstanding original principal on its capital loan by November 30, 2016,
under Laws 2011, First Special Session chapter 11, article 4, section 8, as amended by Laws
2016, chapter 189, article 30, section 22:

	$	2,350,000	.....	2018
	$	2,350,000	.....	2019

(b) Of this amount, $150,000 is for a grant to Independent School District No. 36,
Kelliher; $180,000 is for a grant to Independent School District No. 95, Cromwell; $495,000
is for a grant to Independent School District No. 299, Caledonia; $220,000 is for a grant to
Independent School District No. 306, Laporte; $150,000 is for a grant to Independent School
District No. 362, Littlefork; $650,000 is for a grant to Independent School District No. 682,
Roseau; and $505,000 is for a grant to Independent School District No. 2580, East Central.

(c) The grant may be used for any school-related purpose.

(d) The base for 2022 is $0.

Sec. 15. REPEALER.

(a) Minnesota Statutes 2016, section 123A.73, subdivision 3, is repealed retroactively
from January 1, 2017.

(b) Minnesota Statutes 2016, sections 129C.10, subdivision 5a; and 129C.30, are repealed
effective July 1, 2017.

ARTICLE 6

NUTRITION

Section 1.

Minnesota Statutes 2016, section 123B.52, subdivision 1, is amended to read:

Subdivision 1.

Contracts.

A contract for work or labor, or for the purchase of furniture,
fixtures, or other property, except books registered under the copyright laws and information
systems software, or for the construction or repair of school houses, the estimated cost or
value of which shall exceed that specified in section 471.345, subdivision 3, must not be
made by the school board without first advertising for bids or proposals by two weeks'
published notice in the official newspaper. This notice must state the time and place of
receiving bids and contain a brief description of the subject matter.

Additional publication in the official newspaper or elsewhere may be made as the board
shall deem necessary.

After taking into consideration conformity with the specifications, terms of delivery,
and other conditions imposed in the call for bids, every such contract for which a call for
bids has been issued must be awarded to the lowest responsible bidder, be duly executed
in writing, and be otherwise conditioned as required by law. The person to whom the contract
is awarded shall give a sufficient bond to the board for its faithful performance.
Notwithstanding section 574.26 or any other law to the contrary, on a contract limited to
the purchase of a finished tangible product, a board may require, at its discretion, a
performance bond of a contractor in the amount the board considers necessary. A record
must be kept of all bids, with names of bidders and amount of bids, and with the successful
bid indicated thereon. A bid containing an alteration or erasure of any price contained in
the bid which is used in determining the lowest responsible bid must be rejected unless the
alteration or erasure is corrected as provided in this section. An alteration or erasure may
be crossed out and the correction thereof printed in ink or typewritten adjacent thereto and
initialed in ink by the person signing the bid. In the case of identical low bids from two or
more bidders, the board may, at its discretion, utilize negotiated procurement methods with
the tied low bidders for that particular transaction, so long as the price paid does not exceed
the low tied bid price. In the case where only a single bid is received, the board may, at its
discretion, negotiate a mutually agreeable contract with the bidder so long as the price paid
does not exceed the original bid. If no satisfactory bid is received, the board may readvertise.
Standard requirement price contracts established for supplies or services to be purchased
by the district must be established by competitive bids. Such standard requirement price
contracts may contain escalation clauses and may provide for a negotiated price increase
or decrease based upon a demonstrable industrywide or regional increase or decrease in the
vendor's costs. Either party to the contract may request that the other party demonstrate
such increase or decrease. The term of such contracts must not exceed two years with an
option on the part of the district to renew for an additional two years, except as provided in
subdivision 7. Contracts for the purchase of perishable food items, except milk for school
lunches and vocational training programs, in any amount may be made by direct negotiation
by obtaining two or more written quotations for the purchase or sale, when possible, without
advertising for bids or otherwise complying with the requirements of this section or section
471.345, subdivision 3. All quotations obtained shall be kept on file for a period of at least
one year after receipt.

Every contract made without compliance with the provisions of this section shall be
void. Except in the case of the destruction of buildings or injury thereto, where the public
interest would suffer by delay, contracts for repairs may be made without advertising for
bids.

EFFECTIVE DATE.

This section is effective for contracts entered into on or after July
1, 2017.

Sec. 2.

Minnesota Statutes 2016, section 123B.52, is amended by adding a subdivision to
read:

Subd. 7.

Food service contracts.

A contract between a school board and a food service
management company that complies with Code of Federal Regulations, title 7, section
210.16, may be renewed annually after its initial term for not more than four additional
years.

EFFECTIVE DATE.

This section is effective for contracts entered into on or after July
1, 2017.

Sec. 3. APPROPRIATIONS.

Subdivision 1.

Department of Education.

The sums indicated in this section are
appropriated from the general fund to the Department of Education for the fiscal years
designated.

Subd. 2.

School lunch.

For school lunch aid under Minnesota Statutes, section 124D.111,
and Code of Federal Regulations, title 7, section 210.17:

	$	16,721,000	.....	2018
	$	17,223,000	.....	2019

Subd. 3.

School breakfast.

For traditional school breakfast aid under Minnesota Statutes,
section 124D.1158:

	$	10,601,000	.....	2018
	$	11,359,000	.....	2019

Subd. 4.

Kindergarten milk.

For kindergarten milk aid under Minnesota Statutes,
section 124D.118:

	$	758,000	.....	2018
	$	758,000	.....	2019

Subd. 5.

Summer school food service replacement aid.

For summer school food service
replacement aid under Minnesota Statutes, section 124D.119:

	$	150,000	.....	2018
	$	150,000	.....	2019

ARTICLE 7

LIBRARIES

Section 1.

Minnesota Statutes 2016, section 134.31, subdivision 2, is amended to read:

Subd. 2.

Advice and instruction.

The Department of Education shall give advice and
instruction to the managers of any public library or to any governing body maintaining a
library or empowered to do so by law upon any matter pertaining to the organization,
maintenance, or administration of libraries. The department may also give advice and
instruction, as requested, to postsecondary educational institutions, school districts or charter
schools, state agencies, governmental units, nonprofit organizations, or private entities. It
shall assist, to the extent possible, in the establishment and organization of library service
in those areas where adequate services do not exist, and may aid in improving previously
established library services. The department shall also provide assistance to school districts,
regional library systems, and member libraries interested in offering joint library services
at a single location.

Sec. 2. APPROPRIATIONS.

Subdivision 1.

Department of Education.

The sums indicated in this section are
appropriated from the general fund to the Department of Education for the fiscal years
designated.

Subd. 2.

Basic system support.

For basic system support aid under Minnesota Statutes,
section 134.355:

	$	13,570,000	.....	2018
	$	13,570,000	.....	2019

The 2018 appropriation includes $1,357,000 for 2017 and $12,213,000 for 2018.

The 2019 appropriation includes $1,357,000 for 2018 and $12,213,000 for 2019.

Subd. 3.

Multicounty, multitype library systems.

For aid under Minnesota Statutes,
sections 134.353 and 134.354, to multicounty, multitype library systems:

	$	1,300,000	.....	2018
	$	1,300,000	.....	2019

The 2018 appropriation includes $130,000 for 2017 and $1,170,000 for 2018.

The 2019 appropriation includes $130,000 for 2018 and $1,170,000 for 2019.

Subd. 4.

Electronic library for Minnesota.

For statewide licenses to online databases
selected in cooperation with the Minnesota Office of Higher Education for school media
centers, public libraries, state government agency libraries, and public or private college or
university libraries:

	$	900,000	.....	2018
	$	900,000	.....	2019

Any balance in the first year does not cancel but is available in the second year.

Subd. 5.

Regional library telecommunications aid.

For regional library
telecommunications aid under Minnesota Statutes, section 134.355:

	$	2,300,000	.....	2018
	$	2,300,000	.....	2019

The 2018 appropriation includes $230,000 for 2017 and $2,070,000 for 2018.

The 2019 appropriation includes $230,000 for 2018 and $2,070,000 for 2019.

ARTICLE 8

EARLY CHILDHOOD AND FAMILY SUPPORT

Section 1.

Minnesota Statutes 2016, section 124D.151, subdivision 5, is amended to read:

Subd. 5.

Application process; priority for high poverty schools.

(a) To qualify for
program approval for fiscal year 2017, a district or charter school must submit an application
to the commissioner by July 1, 2016. To qualify for program approval for fiscal year 2018
and later, a district or charter school must submit an application to the commissioner by
January 30 of the fiscal year prior to the fiscal year in which the program will be
implemented. The application must include:

(1) a description of the proposed program, including the number of hours per week the
program will be offered at each school site or mixed-delivery location;

(2) an estimate of the number of eligible children to be served in the program at each
school site or mixed-delivery location; and

(3) a statement of assurances signed by the superintendent or charter school director that
the proposed program meets the requirements of subdivision 2.

(b) The commissioner must review all applications submitted for fiscal year 2017 by
August 1, 2016, and must review all applications submitted for fiscal year 2018 and later
by March 1 of the fiscal year in which the applications are received and determine whether
each application meets the requirements of paragraph (a).

(c) The commissioner must divide all applications for new or expanded voluntary
prekindergarten programs under this section meeting the requirements of paragraph (a) and
school readiness plus programs into four groups as follows: the Minneapolis and St. Paul
school districts; other school districts located in the metropolitan equity region as defined
in section 126C.10, subdivision 28; school districts located in the rural equity region as
defined in section 126C.10, subdivision 28; and charter schools. Within each group, the
applications must be ordered by rank using a sliding scale based on the following criteria:

(1) concentration of kindergarten students eligible for free or reduced-price lunches by
school site on October 1 of the previous school year. A school site may contract to partner
with a community based provider or Head Start under subdivision 3 or establish an early
childhood center and use the concentration of kindergarten students eligible for free or
reduced price meals from a specific school site as long as those eligible children are
prioritized and guaranteed services at the mixed-delivery site or early education center. For
school district programs to be operated at locations that do not have free and reduced-price
lunch concentration data for kindergarten programs for October 1 of the previous school
year, including mixed-delivery programs, the school district average concentration of
kindergarten students eligible for free or reduced-price lunches must be used for the rank
ordering;

(2) presence or absence of a three- or four-star Parent Aware rated program within the
school district or close proximity of the district. School sites with the highest concentration
of kindergarten students eligible for free or reduced-price lunches that do not have a three-
or four-star Parent Aware program within the district or close proximity of the district shall
receive the highest priority, and school sites with the lowest concentration of kindergarten
students eligible for free or reduced-price lunches that have a three- or four-star Parent
Aware rated program within the district or close proximity of the district shall receive the
lowest priority; and

(3) whether the district has implemented a mixed delivery system.

(d) The aid available limit on participation for the program programs as specified in
subdivision 6, paragraph (b), must initially be allocated among the four groups based on
each group's percentage share of the statewide kindergarten enrollment on October 1 of the
previous school year. Within each group, the available aid participation limit for fiscal years
2018 and 2019 must first be allocated to school sites approved for aid in the previous year
to ensure that those sites are funded for the same number of participants as approved for
the previous year. The remainder of the participation limit for each group must be allocated
among school sites in priority order until that region's share of the aid participation limit
is reached. If the aid participation limit is not reached for all groups, the remaining amount
must be allocated to the highest priority school sites, as designated under this section, not
funded in the initial allocation on a statewide basis. For fiscal year 2020 and later, the
participation limit must first be allocated to school sites approved for aid in fiscal year 2017,
and then to school sites approved for aid in fiscal year 2018 based on the statewide rankings
under paragraph(c).

(e) Once a school site or a mixed delivery site under subdivision 3 is approved for aid
under this subdivision, it shall remain eligible for aid if it continues to meet program
requirements, regardless of changes in the concentration of students eligible for free or
reduced-price lunches.

(f) If the total aid entitlement number of participants approved based on applications
submitted under paragraph (a) is less than the aid entitlement participation limit under
subdivision 6, paragraph (b), the commissioner must notify all school districts and charter
schools of the amount that remains available within 30 days of the initial application deadline
under paragraph (a), and complete a second round of allocations based on applications
received within 60 days of the initial application deadline.

(g) Procedures for approving applications submitted under paragraph (f) shall be the
same as specified in paragraphs (a) to (d), except that the allocations shall be made to the
highest priority school sites not funded in the initial allocation on a statewide basis.

EFFECTIVE DATE.

This section is effective for fiscal year 2018 and later.

Sec. 2.

Minnesota Statutes 2016, section 124D.151, subdivision 6, is amended to read:

Subd. 6.

Program and aid entitlement Participation limits.

(a) Notwithstanding section
126C.05, subdivision 1, paragraph (d), the pupil units for a voluntary prekindergarten
program for an eligible school district or charter school must not exceed 60 percent of the
kindergarten pupil units for that school district or charter school under section 126C.05,
subdivision 1, paragraph (e).

(b) In reviewing applications under subdivision 5, the commissioner must limit the
estimated state aid entitlement approved under this section to $27,092,000 for fiscal year
2017, $27,239,000 for fiscal year 2018, and $26,399,000 for fiscal year 2019 and later. If
the actual state aid entitlement based on final data exceeds the limit in any year, the aid of
the participating districts must be prorated so as not to exceed the limit.

(c) The commissioner must limit the total number of funded participants in the voluntary
prekindergarten program under this section to not more than 3,160.

(d) Notwithstanding paragraph (c), the commissioner must limit the total number of
participants in the voluntary prekindergarten and school readiness plus programs to not
more than 6,160 participants for fiscal year 2018 and 7,160 participants for fiscal year 2019.

EFFECTIVE DATE.

This section is effective for revenue for fiscal year 2018 and later.

Sec. 3.

Minnesota Statutes 2016, section 124D.165, subdivision 1, is amended to read:

Subdivision 1.

Establishment; purpose.

There is established an early learning
scholarships program in order to increase close the opportunity gap by increasing access to
high-quality early childhood programs for children ages three to five.

EFFECTIVE DATE.

This section is effective July 1, 2017.

Sec. 4.

Minnesota Statutes 2016, section 124D.165, subdivision 2, is amended to read:

Subd. 2.

Family eligibility.

(a) For a family to receive an early learning scholarship,
parents or guardians must meet the following eligibility requirements:

(1) have a an eligible child three or four years of age on September 1 of the current
school year, who has not yet started kindergarten; and

(2) have income equal to or less than 185 percent of federal poverty level income in the
current calendar year, or be able to document their child's current participation in the free
and reduced-price lunch program or child and adult care food program, National School
Lunch Act, United States Code, title 42, sections 1751 and 1766; the Food Distribution
Program on Indian Reservations, Food and Nutrition Act, United States Code, title 7, sections
2011-2036; Head Start under the federal Improving Head Start for School Readiness Act
of 2007; Minnesota family investment program under chapter 256J; child care assistance
programs under chapter 119B; the supplemental nutrition assistance program; or placement
in foster care under section 260C.212.

(b) Notwithstanding the other provisions of this section, a parent under age 21 who is
pursuing a high school or general education equivalency diploma is eligible for an early
learning scholarship if the parent has a child age zero to five years old and meets the income
eligibility guidelines in this subdivision.

(c) Any siblings between the ages zero to (b) An "eligible child" means a child who has
not yet enrolled in kindergarten and is:

(1) at least three but not yet five years of age on September 1 of the current school year;

(2) a sibling from birth to age five years old of a child who has been awarded a
scholarship under this section must be awarded a scholarship upon request, provided the
sibling attends the same program as long as funds are available;

(3) the child of a parent under age 21 who is pursuing a high school degree or a course
of study for a high school equivalency test; or

(4) homeless, in foster care, or in need of child protective services.

(d) (c) A child who has received a scholarship under this section must continue to receive
a scholarship each year until that child is eligible for kindergarten under section 120A.20
and as long as funds are available.

(e) (d) Early learning scholarships may not be counted as earned income for the purposes
of medical assistance under chapter 256B, MinnesotaCare under chapter 256L, Minnesota
family investment program under chapter 256J, child care assistance programs under chapter
119B, or Head Start under the federal Improving Head Start for School Readiness Act of
2007.

(f) (e) A child from an adjoining state whose family resides at a Minnesota address as
assigned by the United States Postal Service, who has received developmental screening
under sections 121A.16 to 121A.19, who intends to enroll in a Minnesota school district,
and whose family meets the criteria of paragraph (a) is eligible for an early learning
scholarship under this section.

EFFECTIVE DATE.

This section is effective July 1, 2017.

Sec. 5.

Minnesota Statutes 2016, section 124D.165, subdivision 3, is amended to read:

Subd. 3.

Administration.

(a) The commissioner shall establish application timelines
and determine the schedule for awarding scholarships that meets operational needs of eligible
families and programs. The commissioner must give highest priority to applications from
children who:

(1) have a parent under age 21 who is pursuing a high school diploma or a course of
study for a high school equivalency test;

(2) are in foster care or otherwise in need of protection or services; or

(3) have experienced homelessness in the last 24 months, as defined under the federal
McKinney-Vento Homeless Assistance Act, United States Code, title 42, section 11434a.

The commissioner may prioritize applications on additional factors including family
income, geographic location, and whether the child's family is on a waiting list for a publicly
funded program providing early education or child care services.

(b) For fiscal years 2014 and 2015 only, scholarships may not exceed $5,000 per year
for each eligible child. For fiscal year 2016 and later, The commissioner shall establish a
target for the average scholarship amount per child based on the results of the rate survey
conducted under section 119B.02.

(c) A four-star rated program that has children eligible for a scholarship enrolled in or
on a waiting list for a program beginning in July, August, or September may notify the
commissioner, in the form and manner prescribed by the commissioner, each year of the
program's desire to enhance program services or to serve more children than current funding
provides. The commissioner may designate a predetermined number of scholarship slots
for that program and notify the program of that number. For fiscal year 2018 and later, the
statewide amount of funding directly designated by the commissioner must not exceed the
funding directly designated for fiscal year 2017. Beginning July 1, 2016, a school district
or Head Start program qualifying under this paragraph may use its established registration
process to enroll scholarship recipients and may verify a scholarship recipient's family
income in the same manner as for other program participants.

(d) A scholarship is awarded for a 12-month period. If the scholarship recipient has not
been accepted and subsequently enrolled in a rated program within ten months of the
awarding of the scholarship, the scholarship cancels and the recipient must reapply in order
to be eligible for another scholarship. A child may not be awarded more than one scholarship
in a 12-month period.

(e) A child who receives a scholarship who has not completed development screening
under sections 121A.16 to 121A.19 must complete that screening within 90 days of first
attending an eligible program.

(f) For fiscal year 2017 and later, a school district or Head Start program enrolling
scholarship recipients under paragraph (c) may apply to the commissioner, in the form and
manner prescribed by the commissioner, for direct payment of state aid. Upon receipt of
the application, the commissioner must pay each program directly for each approved
scholarship recipient enrolled under paragraph (c) according to the metered payment system
or another schedule established by the commissioner.

Sec. 6.

Minnesota Statutes 2016, section 124D.165, subdivision 4, is amended to read:

Subd. 4.

Early childhood program eligibility.

(a) In order to be eligible to accept an
early learning scholarship, a program must:

(1) participate in the quality rating and improvement system under section 124D.142;
and

(2) beginning July 1, 2016 2020, have a three- or four-star rating in the quality rating
and improvement system.

(b) Any program accepting scholarships must use the revenue to supplement and not
supplant federal funding.

(c) Notwithstanding paragraph (a), all Minnesota early learning foundation scholarship
program pilot sites are eligible to accept an early learning scholarship under this section.

Sec. 7.

Minnesota Statutes 2016, section 124D.59, subdivision 2, is amended to read:

Subd. 2.

English learner.

(a) "English learner" means a pupil in kindergarten through
grade 12 or a prekindergarten student enrolled in an approved voluntary prekindergarten
program under section 124D.151 or a school readiness plus program who meets the
requirements under subdivision 2a or the following requirements:

(1) the pupil, as declared by a parent or guardian first learned a language other than
English, comes from a home where the language usually spoken is other than English, or
usually speaks a language other than English; and

(2) the pupil is determined by a valid assessment measuring the pupil's English language
proficiency and by developmentally appropriate measures, which might include observations,
teacher judgment, parent recommendations, or developmentally appropriate assessment
instruments, to lack the necessary English skills to participate fully in academic classes
taught in English.

(b) A pupil enrolled in a Minnesota public school in any grade 4 through 12 who in the
previous school year took a commissioner-provided assessment measuring the pupil's
emerging academic English, shall be counted as an English learner in calculating English
learner pupil units under section 126C.05, subdivision 17, and shall generate state English
learner aid under section 124D.65, subdivision 5, if the pupil scored below the state cutoff
score or is otherwise counted as a nonproficient participant on the assessment measuring
the pupil's emerging academic English, or, in the judgment of the pupil's classroom teachers,
consistent with section 124D.61, clause (1), the pupil is unable to demonstrate academic
language proficiency in English, including oral academic language, sufficient to successfully
and fully participate in the general core curriculum in the regular classroom.

(c) Notwithstanding paragraphs (a) and (b), a pupil in prekindergarten under section
124D.151, through grade 12 shall not be counted as an English learner in calculating English
learner pupil units under section 126C.05, subdivision 17, and shall not generate state English
learner aid under section 124D.65, subdivision 5, if:

(1) the pupil is not enrolled during the current fiscal year in an educational program for
English learners under sections 124D.58 to 124D.64; or

(2) the pupil has generated seven or more years of average daily membership in Minnesota
public schools since July 1, 1996.

Sec. 8.

Minnesota Statutes 2016, section 126C.05, subdivision 1, is amended to read:

Subdivision 1.

Pupil unit.

Pupil units for each Minnesota resident pupil under the age
of 21 or who meets the requirements of section 120A.20, subdivision 1, paragraph (c), in
average daily membership enrolled in the district of residence, in another district under
sections 123A.05 to 123A.08, 124D.03, 124D.08, or 124D.68; in a charter school under
chapter 124E; or for whom the resident district pays tuition under section 123A.18, 123A.22,
123A.30, 123A.32, 123A.44, 123A.488, 123B.88, subdivision 4, 124D.04, 124D.05, 125A.03
to 125A.24, 125A.51, or 125A.65, shall be counted according to this subdivision.

(a) A prekindergarten pupil with a disability who is enrolled in a program approved by
the commissioner and has an individualized education program is counted as the ratio of
the number of hours of assessment and education service to 825 times 1.0 with a minimum
average daily membership of 0.28, but not more than 1.0 pupil unit.

(b) A prekindergarten pupil who is assessed but determined not to be disabled is counted
as the ratio of the number of hours of assessment service to 825 times 1.0.

(c) A kindergarten pupil with a disability who is enrolled in a program approved by the
commissioner is counted as the ratio of the number of hours of assessment and education
services required in the fiscal year by the pupil's individualized education program to 875,
but not more than one.

(d) A prekindergarten pupil who is not included in paragraph (a) or (b) and is enrolled
in an approved voluntary prekindergarten program under section 124D.151 is counted as
the ratio of the number of hours of instruction to 850 times 1.0, but not more than 0.6 pupil
units.

(e) A kindergarten pupil who is not included in paragraph (c) is counted as 1.0 pupil
unit if the pupil is enrolled in a free all-day, every day kindergarten program available to
all kindergarten pupils at the pupil's school that meets the minimum hours requirement in
section 120A.41, or is counted as .55 pupil unit, if the pupil is not enrolled in a free all-day,
every day kindergarten program available to all kindergarten pupils at the pupil's school.

(f) A pupil who is in any of grades 1 to 6 is counted as 1.0 pupil unit.

(g) A pupil who is in any of grades 7 to 12 is counted as 1.2 pupil units.

(h) A pupil who is in the postsecondary enrollment options program is counted as 1.2
pupil units.

(i) For fiscal years 2018 and 2019 only, a prekindergarten pupil who;

(1) is not included in paragraphs (a), (b), or (d);

(2) is enrolled in a school readiness plus program; and

(3) has one or more of the risk factors specified by the eligibility requirements for a
school readiness plus program;

is counted as the ratio of the number of hours of instruction to 850 times 1.0, but not
more than 0.6 pupil units. A pupil qualifying under this paragraph must be counted in the
same manner as a voluntary prekindergarten student for all general education and other
school funding formulas.

EFFECTIVE DATE.

Paragraph (i) of this section expires at the end of fiscal year 2019.

Sec. 9. SCHOOL READINESS PLUS PROGRAM.

Subdivision 1.

Establishment; purpose.

A district, a charter school, or a group of
districts and charter schools may establish a school readiness plus program for children age
four to kindergarten entrance. The purpose of a school readiness plus program is to prepare
children for success as they enter kindergarten in the following year.

Subd. 2.

Program Requirements.

A school readiness plus program provider must:

(1) assess each child's cognitive and language skills with a comprehensive child
assessment instrument when the child enters and again before the child leaves the program
to improve program planning and implementation, communicate with parents, and promote
kindergarten readiness;

(2) provide comprehensive program content and intentional instructional practice aligned
with the state early childhood learning guidelines and kindergarten standards and based on
early childhood research and professional practice that is focused on children's cognitive,
social, emotional, and physical skills and development and prepares children for the transition
to kindergarten, including early literacy and language skills;

(3) coordinate appropriate kindergarten transition with parents and kindergarten teachers;

(4) involve parents in program planning and decision making;

(5) coordinate with relevant community-based services;

(6) cooperate with adult basic education programs and other adult literacy programs;

(7) ensure staff-to-child ratios of one-to-ten and a maximum group size of 20 children
with at least one licensed teacher;

(8) have teachers knowledgeable in early childhood curriculum content, assessment,
native and English language development programs, and instruction; and

(9) provide instructional content and activities that are of sufficient length and intensity
to address learning needs including offering a program with at least 350 hours of instruction
per school year.

Subd. 3.

Mixed delivery of services.

A district or charter school may contract with a
charter school, Head Start or child care center, family child care program licensed under
Minnesota Statutes section 245A.03, or a community-based organization to provide eligible
children with developmentally appropriate services that meet the program requirements in
subdivision 2.

Subd. 4.

Eligibility.

(a) A child who is four years of age as of September 1 in the calendar
year in which the school year commences and has one or more of the risk factors under
paragraph (b) is eligible to participate in a school readiness plus program free of charge. A
child who is four years of age as of September 1 in the calendar year in which the school
year commences and does not have one or more of the risk factors under paragraph (b) may
participate on a fee-for-service basis. A district must adopt a sliding fee schedule based on
a family's income but must waive a fee for a participant unable to pay. School districts and
charter schools must use school readiness plus aid for eligible children. Each eligible child
must complete a health and developmental screening within 90 days of program enrollment
under Minnesota Statutes sections 121A.16 to 121A.19, and provide documentation of
required immunizations under section 121A.15.

(b) An at-risk four-year-old child may participate in the school readiness plus program
free of charge if the child:

(1) qualifies for free or reduced price lunch;

(2) is an English language learner;

(3) is homeless;

(4) has an individualized education program, or individual interagency intervention plan;

(5) is identified through health and developmental screening under Minnesota Statutes,
sections 121A.16 to 121.19, with a potential risk factor that may influence learning; or

(6) is in foster care.

Subd. 5.

Application process; priority for high poverty schools.

(a) For 2017-2018
school year, a school district or charter school that did not apply to participate in a voluntary
prekindergarten program under Minnesota Statutes, section 124D.151, may apply to the
commissioner by July 1, 2017 to participate in a school readiness plus program in the form
and manner specified by the commissioner. By June 15, 2017, the commissioner must notify
districts and charter schools of the availability of additional money for voluntary
prekindergarten and school readiness plus programs. A school district or charter school that
previously applied to participate in a voluntary prekindergarten program may amend its
application by July 1, 2017 to apply instead for school readiness plus. The commissioner
must review all applications for school readiness plus and notify applicant districts and
charter schools by August 1, 2017 whether they have been selected for participation.

(b) For the 2018-2019 school year, a school district or charter school may apply to the
commissioner by January 30, 2018, to participate in school readiness plus in the form and
manner specified by the commissioner.

(c) A district or charter school submitting an application under this section must include:
(1) a description of the proposed program, including the number of hours per week the
program will be offered at each school site or mixed-delivery location; (2) an estimate of
the number of eligible children to be served in the program at each school site or
mixed-delivery location; (3) the number of children being served that will be new to the
program; and (4) a statement of assurances signed by the superintendent or charter school
director that the proposed program meets the requirements of subdivision 2.

(d) The commissioner must award funding for school readiness plus programs across
school districts and charter schools in the same manner as for the voluntary prekindergarten
program.

(e) A school site or mixed-delivery site approved for aid under this subdivision remains
eligible for aid if the site continues to meet program requirements, regardless of changes in
the concentration of students eligible for free or reduced-price lunches.

Subd. 6.

No supplanting.

For a site first qualifying in fiscal year 2018 or 2019, mixed
delivery revenue, including voluntary prekindergarten and school readiness plus program
revenue, must be used to supplement not supplant existing state, federal, and local revenue
for prekindergarten activities.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 10. APPROPRIATIONS.

Subdivision 1.

Department of Education.

The sums indicated in this section are
appropriated from the general fund to the Department of Education for the fiscal years
designated.

Subd. 2.

School readiness.

For revenue for school readiness programs under Minnesota
Statutes, sections 124D.15 and 124D.16:

	$	33,683,000	.....	2018
	$	33,683,000	.....	2019

The 2018 appropriation includes $3,368,000 for 2017 and $30,315,000 for 2018.

The 2019 appropriation includes $3,368,000 for 2018 and $30,315,000 for 2019.

Subd. 3.

Mixed delivery prekindergarten programs.

(a) For mixed delivery
prekindergarten programs and school readiness plus programs:

	$	21,429,000	.....	2018
	$	28,571,000	.....	2019

(b) The fiscal year 2018 appropriation includes $0 for 2017 and $21,429,000 for 2018.

(c) The fiscal year 2019 appropriation includes $2,381,000 for 2018 and $26,190,000
for 2019.

(d) The commissioner must proportionately allocate the amounts appropriated in this
subdivision among each education funding program affected by the enrollment of mixed
delivery system prekindergarten pupils.

(e) The appropriation under this subdivision is reduced by any other amounts specifically
appropriated for those purposes.

Subd. 4.

Early learning scholarships.

(a) For the early learning scholarship program
under Minnesota Statutes, section 124D.165:

	$	70,209,000	.....	2018
	$	70,209,000	.....	2019

(b) Up to $950,000 each year is for administration of this program.

(c) Any balance in the first year does not cancel but is available in the second year.

(d) The base for fiscal year 2020 is $70,709,000.

Subd. 5.

Head Start program.

For Head Start programs under Minnesota Statutes,
section 119A.52:

	$	25,100,000	.....	2018
	$	25,100,000	.....	2019

Subd. 5.

Early childhood family education aid.

For early childhood family education
aid under Minnesota Statutes, section 124D.135:

	$	30,405,000	.....	2018
	$	31,977,000	.....	2019

The 2018 appropriation includes $2,904,000 for 2017 and $27,501,000 for 2018.

The 2019 appropriation includes $3,055,000 for 2018 and $28,922,000 for 2019.

Subd. 6.

Developmental screening aid.

For developmental screening aid under
Minnesota Statutes, sections 121A.17 and 121A.19:

	$	3,606,000	.....	2018
	$	3,629,000	.....	2019

The 2018 appropriation includes $358,000 for 2017 and $3,248,000 for 2018.

The 2019 appropriation includes $360,000 for 2018 and $3,269,000 for 2019.

Subd. 7.

Parent-child home program.

For a grant to the parent-child home program:

	$	900,000	.....	2018
	$	900,000	.....	2019

The grant must be used for an evidence-based and research-validated early childhood
literacy and school readiness program for children ages 16 months to four years at its existing
suburban program location. The program must include urban and rural program locations
for fiscal years 2018 and 2019.

The base for this program for fiscal year 2020 and later is $900,000.

Subd. 8.

Kindergarten entrance assessment initiative and intervention program.

For the kindergarten entrance assessment initiative and intervention program under Minnesota
Statutes, section 124D.162:

	$	281,000	.....	2018
	$	281,000	.....	2019

Subd. 9.

Quality rating and improvement system.

(a) For transfer to the commissioner
of human services for the purposes of expanding the quality rating and improvement system
under Minnesota Statutes, section 124D.142, in greater Minnesota and increasing supports
for providers participating in the quality rating and improvement system:

	$	1,750,000	.....	2018
	$	1,750,000	.....	2019

(b) The amounts in paragraph (a) must be in addition to any federal funding under the
child care and development block grant authorized under Public Law 101-508 in that year
for the system under Minnesota Statutes, section 124D.142.

(c) Any balance in the first year does not cancel but is available in the second year.

(d) The base for this program in fiscal year 2020 and later is $1,750,000.

Subd. 10.

Early childhood programs at tribal schools.

For early childhood family
education programs at tribal contract schools under Minnesota Statutes, section 124D.83,
subdivision 4:

	$	68,000	.....	2018
	$	68,000	.....	2019

Subd. 11.

Educate parents partnership.

For the educate parents partnership under
Minnesota Statutes, section 124D.129:

	$	49,000	.....	2018
	$	49,000	.....	2019

Subd. 12.

Home visiting aid.

For home visiting aid under Minnesota Statutes, section
124D.135:

	$	527,000	.....	2018
	$	571,000	.....	2019

The 2018 appropriation includes $0 for 2017 and $527,000 for 2018.

The 2019 appropriation includes $58,000 for 2018 and $513,000 for 2019.

ARTICLE 9

COMMUNITY EDUCATION AND PREVENTION

Section 1.

[124D.99] EDUCATION PARTNERSHIPS COALITION FUND.

Subdivision 1.

Program establishment.

The commissioner of education shall establish
a program supporting a coalition of coordinated, aligned education partnerships as specified
in this section, for a comprehensive network of evidence-based support services designed
to close opportunity gaps by improving educational and developmental outcomes of children
and their families within communities experiencing poverty and impediments to economic
viability.

Subd. 2.

Definitions.

(a) For purposes of this section the terms defined in this subdivision
have the meanings given them.

(b) "Tier 1 grant" means a sustaining grant for the ongoing operation, stability, and
expansion of existing education partnership program locations.

(c) "Tier 2 grant" means an implementation grant for expanding activity in education
partnership program locations.

Subd. 3.

Administration; design.

(a) The commissioner shall establish program
requirements, an application process and timeline for each tier of grants specified in
subdivision 4, criteria for evaluation of applications, and a grant awards process. The
commissioner's process must minimize administrative costs, minimize burdens for applicants
and grant recipients, and provide a framework that permits flexibility in program design
and implementation among grant recipients.

(b) To the extent practicable, the commissioner shall design the program to align with
programs implemented or proposed by organizations in Minnesota that:

(1) identify and increase the capacity of organizations that are focused on achieving
data-driven, locally controlled positive outcomes for children and youth throughout an entire
neighborhood or geographic area through programs such as Strive Together, Promise
Neighborhood, and the Education Partnerships Coalition members;

(2) build a continuum of educational family and community supports with academically
rigorous schools at the center;

(3) maximize program efficiencies by integrating programmatic activities and eliminating
administrative barriers;

(4) develop local infrastructure needed to sustain and scale up proven and effective
solutions beyond the initial neighborhood or geographic area; and

(5) utilize appropriate outcome measures based on unique community needs and interests
and apply rigorous evaluation on a periodic basis to be used to both monitor outcomes and
allow for continuous improvements to systems.

(c) A grant recipient's supportive services programming must address:

(1) kindergarten readiness and youth development;

(2) grade 3 reading proficiency;

(3) high school graduation;

(4) postsecondary educational attainment;

(5) physical and mental health;

(6) development of career skills and readiness;

(7) parental engagement and development;

(8) community engagement and programmatic alignment; and

(9) reduction of remedial education.

(d) The commissioner, in consultation with grant recipients, must:

(1) develop and revise core indicators of progress toward outcomes specifying impacts
for each tier identified under subdivision 4;

(2) establish a reporting system for grant recipients to measure program outcomes using
data sources and program goals; and

(3) evaluate effectiveness based on the core indicators established by each partnership
for each tier.

Subd. 4.

Requirements.

A grant recipient's program in the planning, development, or
implementation phase must include:

(1) integrated supportive services programming, as specified in paragraph (b), within a
specific community or geographic area for all ages of children and youth and their families
within that area, provided that services may be phased in to all ages over time; and

(2) a system for evaluating goals and outcomes as provided under subdivision 3,
paragraph (c).

Subd. 5.

Grants.

The commissioner shall award Tier 1 and Tier 2 grants to qualifying
recipients that can demonstrate a nonstate source of funds, including in-kind contributions.

Subd. 6.

Legislative report.

By December 15 of each odd-numbered year, the
commissioner shall submit a report on the education partnership program to the chairs and
ranking minority members of the legislative committees having jurisdiction over kindergarten
through grade 12 education, early childhood education, economic development, and human
services. At a minimum, the report must summarize grantee activities, identify grant
recipients and awards, analyze program performance measures and outcomes, and make
any recommendations for legislative changes.

EFFECTIVE DATE.

This section is effective July 1, 2017, and subdivision 6 applies
to reports due starting in calendar year 2019.

Sec. 2. APPROPRIATIONS.

Subdivision 1.

Department of Education.

The sums indicated in this section are
appropriated from the general fund to the Department of Education for the fiscal years
designated.

Subd. 2.

Community education aid.

For community education aid under Minnesota
Statutes, section 124D.20:

	$	483,000	.....	2018
	$	393,000	.....	2019

The 2018 appropriation includes $53,000 for 2017 and $430,000 for 2018.

The 2019 appropriation includes $47,000 for 2018 and $346,000 for 2019.

Subd. 3.

Adults with disabilities program aid.

For adults with disabilities programs
under Minnesota Statutes, section 124D.56:

	$	710,000	.....	2018
	$	710,000	.....	2019

The 2018 appropriation includes $71,000 for 2017 and $639,000 for 2018.

The 2019 appropriation includes $71,000 for 2018 and $639,000 for 2019.

Subd. 4.

Hearing-impaired adults.

For programs for hearing-impaired adults under
Minnesota Statutes, section 124D.57:

	$	70,000	.....	2018
	$	70,000	.....	2019

Subd. 5.

School-age care aid.

For school-age care aid under Minnesota Statutes, section
124D.22:

	$	1,000	.....	2018
	$	1,000	.....	2019

The 2018 appropriation includes $0 for 2017 and $1,000 for 2018.

The 2019 appropriation includes $0 for 2018 and $1,000 for 2019.

Subd. 6.

Tier 1 grants.

(a) For education partnership program Tier 1 sustaining grants
under Minnesota Statutes, section 124D.99:

	$	2,600,000	.....	2018
	$	2,600,000	.....	2019

(b) Of the amounts in paragraph (a), $1,300,000 each year is for the Northside
Achievement Zone and $1,300,000 each year is for the St. Paul Promise Neighborhood.

(c) The base funding for Tier 1 sustaining grants is $2,600,000.

(d) Any balance in the first year does not cancel but is available in the second year.

Subd. 7.

Tier 2 implementing grants.

(a) For Tier 2 implementing grants under
Minnesota Statutes, section 124D.99:

	$	480,000	.....	2018
	$	480,000	.....	2019

(b) For fiscal years 2018 and 2019 only, $160,000 each year is for the Northfield Healthy
Community Initiative in Northfield; $160,000 is for the Jones Family Foundation for the
Every Hand Joined program in Red Wing; and $160,000 is for the United Way of Central
Minnesota for the Partners for Student Success program.

(c) The base funding for Tier 2 implementing grants is $480,000. The commissioner
must competitively award all grants under this subdivision for fiscal year 2020 and later.

(d) Any balance in the first year does not cancel but is available in the second year.

ARTICLE 10

SELF-SUFFICIENCY AND LIFELONG LEARNING

Section 1.

Minnesota Statutes 2016, 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. For required reporting, longitudinal studies,
and program improvement, the tracking system must be designed to collect data on the
following core outcomes for learners, including English learners, who have completed
participating 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;

(3) receipt of a secondary school diploma or its recognized equivalent; and

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

(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 collected 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 of the specified outcome outcomes 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; Office of Higher Education; Department of
Human Services; and Department of Employment and Economic Development in order to
accomplish the purposes described in paragraph (a) 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 Workforce Innovation and Opportunity Act, 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.

Sec. 2.

Minnesota Statutes 2016, section 124D.549, is amended to read:

124D.549 GENERAL EDUCATION DEVELOPMENT (GED) TESTS RULES;
COMMISSIONER COMMISSIONER-SELECTED HIGH SCHOOL EQUIVALENCY
TEST.

The commissioner may amend rules to reflect changes in the national minimum standard
score for passing the general education development (GED) tests, in consultation with adult
basic education stakeholders, must select a high school equivalency test. The commissioner
may issue a high school equivalency diploma to a Minnesota resident 19 years of age or
older who has not earned a high school diploma, who has not previously been issued a
general education development (GED) certification, and who has exceeded or achieved a
minimum passing score on the equivalency test established by the publisher. The
commissioner of education may waive the minimum age requirement if supportive evidence
is provided by an employer or a recognized education or rehabilitation provider.

Sec. 3.

Minnesota Statutes 2016, section 124D.55, is amended to read:

124D.55 GENERAL EDUCATION DEVELOPMENT (GED)
COMMISSIONER-SELECTED HIGH SCHOOL EQUIVALENCY TEST FEES.

The commissioner shall pay 60 percent of the fee that is charged to an eligible individual
for the full battery of general education development (GED) the commissioner-selected
high school equivalency tests, but not more than $40 for an eligible individual.

For fiscal year 2017 only, the commissioner shall pay 100 percent of the fee charged to
an eligible individual for the full battery of general education development (GED) tests, but
not more than the cost of one full battery of tests per year for any individual.

Sec. 4.

Minnesota Statutes 2016, section 256J.08, subdivision 38, is amended to read:

Subd. 38.

Full-time student.

"Full-time student" means a person who is enrolled in a
graded or ungraded primary, intermediate, secondary, GED commissioner of
education-selected high school equivalency preparatory, trade, technical, vocational, or
postsecondary school, and who meets the school's standard for full-time attendance.

Sec. 5.

Minnesota Statutes 2016, section 256J.08, subdivision 39, is amended to read:

Subd. 39.

General educational development or GED Commissioner of
education-selected high school equivalency.

"General educational development" or "GED"
"Commissioner of education-selected high school equivalency" means the general educational
development high school equivalency certification issued by the commissioner of education
as an equivalent to a secondary school diploma under Minnesota Rules, part 3500.3100,
subpart 4 section 124D.549.

Sec. 6. APPROPRIATIONS.

Subdivision 1.

Department of Education.

The sums indicated in this section are
appropriated from the general fund to the Department of Education for the fiscal years
designated.

Subd. 2.

Adult basic education aid.

For adult basic education aid under Minnesota
Statutes, section 124D.531:

	$	50,010,000	.....	2018
	$	51,497,000	.....	2019

The 2018 appropriation includes $4,881,000 for 2017 and $45,129,000 for 2018.

The 2019 appropriation includes $5,014,000 for 2018 and $46,483,000 for 2019.

Subd. 3.

High school equivalency tests.

For payment of 60 percent of the costs of the
commissioner-selected high school equivalency tests under Minnesota Statutes, section
124D.55:

	$	125,000	.....	2018
	$	125,000	.....	2019

Sec. 7. REVISOR'S INSTRUCTION.

In Minnesota Statutes and Minnesota Rules, the revisor of statutes shall substitute the
term "commissioner-selected high school equivalency" or similar term for "general education
development," "GED," or similar terms for wherever the term refers to the tests or programs
leading to a certification issued by the commissioner of education as an equivalency to a
secondary diploma.

Sec. 8. REPEALER.

Minnesota Rules, part 3500.3100, subpart 4, is repealed.

ARTICLE 11

STATE AGENCIES

Section 1.

Minnesota Statutes 2016, section 122A.14, subdivision 9, is amended to read:

Subd. 9.

Fee.

Each person licensed by the Board of School Administrators shall pay
the board a fee of $75, collected each fiscal year. When transmitting notice of the license
fee, the board also must notify the licensee of the penalty for failing to pay the fee within
the time specified by the board. The board may provide a lower fee for persons on retired
or inactive status. After receiving notice from the board, any licensed school administrator
who does not pay the fee in the given fiscal year shall have all administrative licenses held
by the person automatically suspended, without the right to a hearing, until the fee has been
paid to the board. If the board suspends a licensed school administrator for failing to pay
the fee, it must immediately notify the district currently employing the school administrator
of the school administrator's suspension. The executive secretary shall deposit the fees in
the educator licensure account in the special revenue fund in the state treasury.

EFFECTIVE DATE.

This section is effective July 1, 2019.

Sec. 2.

[122A.175] SPECIAL REVENUE FUND ACCOUNTS; EDUCATOR
LICENSURE AND BACKGROUND CHECKS.

Subdivision 1.

Educator licensure account.

An educator licensure account is created
in the special revenue fund. Applicant licensure fees received by the Department of
Education, the Board of Teaching, or the Board of School Administrators must be deposited
in the educator licensure account. Any funds appropriated from this account that remain
unexpended at the end of the biennium cancel to the educator licensure account in the special
revenue fund.

Subd. 2.

Background check account.

An educator licensure background check account
is created in the special revenue fund. The Department of Education, the Board of Teaching,
and the Board of School Administrators must deposit all payments submitted by license
applicants for criminal background checks conducted by the Bureau of Criminal
Apprehension in the educator licensure background check account. Amounts in the account
are annually appropriated to the commissioner of education for payment to the superintendent
of the Bureau of Criminal Apprehension for the costs of background checks on applicants
for licensure.

EFFECTIVE DATE.

This section is effective July 1, 2019.

Sec. 3.

Minnesota Statutes 2016, section 122A.18, subdivision 7c, is amended to read:

Subd. 7c.

Temporary military license.

The Board of Teaching shall establish a
temporary license in accordance with section 197.4552 for teaching. The fee for a temporary
license under this subdivision shall be $87.90 for an online application or $86.40 for a paper
application. The board must deposit the fees received from applicants in the educator
licensure account in the special revenue fund.

EFFECTIVE DATE.

This section is effective July 1, 2019.

Sec. 4.

Minnesota Statutes 2016, section 122A.18, subdivision 8, is amended to read:

Subd. 8.

Background checks.

(a) The Board of Teaching and the commissioner of
education must request a criminal history background check from the superintendent of the
Bureau of Criminal Apprehension on all first-time teaching applicants for licenses under
their jurisdiction. Applicants must include with their licensure applications:

(1) an executed criminal history consent form, including fingerprints; and

(2) a money order or cashier's check payable to the Bureau of Criminal Apprehension
for the fee for conducting payment to conduct the criminal history background check. The
Board of Teaching and the commissioner of education must deposit payments received
under this subdivision in the educator licensure background check account in the special
revenue fund.

(b) The superintendent of the Bureau of Criminal Apprehension shall perform the
background check required under paragraph (a) by retrieving criminal history data as defined
in section 13.87 and shall also conduct a search of the national criminal records repository.
The superintendent is authorized to exchange fingerprints with the Federal Bureau of
Investigation for purposes of the criminal history check. The superintendent shall recover
the cost to the bureau of a background check through the fee charged to the applicant under
paragraph (a).

(c) The Board of Teaching or the commissioner of education may issue a license pending
completion of a background check under this subdivision, but must notify the individual
that the individual's license may be revoked based on the result of the background check.

EFFECTIVE DATE.

This section is effective July 1, 2019.

Sec. 5.

Minnesota Statutes 2016, section 122A.21, subdivision 1, is amended to read:

Subdivision 1.

Licensure applications.

Each applicant submitting an application for
the issuance, renewal, or extension of to the Board of Teaching to issue, renew, or extend
a teaching license to teach, including applications for licensure via portfolio under subdivision
2, must be accompanied by include a processing fee of $57. The processing fee for a teacher's
license and for the licenses of supervisory personnel must be paid to the executive secretary
of the appropriate board and deposited in the educator licensure account in the special
revenue fund. The executive secretary of the board shall deposit the fees with the
commissioner of management and budget. The fees as set by the board are nonrefundable
for applicants not qualifying for a license. However, a fee must be refunded by the
commissioner of management and budget must refund a fee in any case in which the applicant
already holds a valid unexpired license. The board may waive or reduce fees for applicants
who apply at the same time for more than one license.

EFFECTIVE DATE.

This section is effective July 1, 2019.

Sec. 6.

Minnesota Statutes 2016, section 122A.21, subdivision 2, is amended to read:

Subd. 2.

Licensure via portfolio.

(a) An eligible candidate may use licensure via portfolio
to obtain a professional five-year teaching license or to add a licensure field, consistent with
applicable Board of Teaching licensure rules.

(b) A candidate for a professional five-year teaching license must submit to the Educator
Licensing Division at the department one portfolio demonstrating pedagogical competence
and one portfolio demonstrating content competence.

(c) A candidate seeking to add a licensure field must submit to the Educator Licensing
Division at the department one portfolio demonstrating content competence.

(d) The Board of Teaching must notify a candidate who submits a portfolio under
paragraph (b) or (c) within 90 calendar days after the portfolio is received whether or not
the portfolio was approved. If the portfolio was not approved, the board must immediately
inform the candidate how to revise the portfolio to successfully demonstrate the requisite
competence. The candidate may resubmit a revised portfolio at any time and the Educator
Licensing Division at the department must approve or disapprove the portfolio within 60
calendar days of receiving it.

(e) A candidate must pay to the executive secretary of the Board of Teaching a $300 fee
for the first portfolio submitted for review and a $200 fee for any portfolio submitted
subsequently. The revenue generated from Board of Teaching executive secretary must
deposit the fee must be deposited in an education the educator licensure portfolio account
in the special revenue fund. The fees set by the Board of Teaching are nonrefundable for
applicants not qualifying for a license. The Board of Teaching may waive or reduce fees
for candidates based on financial need.

EFFECTIVE DATE.

This section is effective July 1, 2019.

Sec. 7.

Minnesota Statutes 2016, section 122A.21, is amended by adding a subdivision to
read:

Subd. 3.

Annual appropriations.

(a) The amounts collected under subdivision 2 and
deposited in the educator licensure account in the special revenue fund are annually
appropriated to the Board of Teaching.

(b) The appropriations in paragraph (a) must be reduced by the amount of any money
specifically appropriated for the same purposes in any year from any state fund.

EFFECTIVE DATE.

This section is effective July 1, 2019.

Sec. 8. TRANSFERS.

Subdivision 1.

Portfolio account.

On July 1, 2019, the commissioner of management
and budget shall transfer any balances in the educator licensure portfolio account in the
special revenue fund to the educator licensure account in the special revenue fund.

Subd. 2.

Background check.

Any balance in an account that holds fees collected under
Minnesota Statutes, section 122A.18, subdivision 8, is transferred to the educator licensure
background check account in the special revenue fund under Minnesota Statutes, section
122A.175, subdivision 2. On July 2, 2019, $80,000 is transferred from the educator licensure
background check account in the special revenue fund to the educator licensure account in
the special revenue fund.

Sec. 9. APPROPRIATIONS; DEPARTMENT OF EDUCATION.

Subdivision 1.

Department of Education.

Unless otherwise indicated, the sums indicated
in this section are appropriated from the general fund to the Department of Education for
the fiscal years designated.

Subd. 2.

Department.

(a) For the Department of Education:

	$	27,158,000	.....	2018
	$	24,874,000	.....	2019

Of these amounts:

(1) $231,000 each year is for the Board of School Administrators, and beginning in fiscal
year 2020, the amount indicated is from the educator licensure account in the special revenue
fund;

(2) $1,000,000 each year is for regional centers of excellence under Minnesota Statutes,
section 120B.115;

(3) $500,000 each year is for the school safety technical assistance center under Minnesota
Statutes, section 127A.052;

(4) $250,000 each year is for the School Finance Division to enhance financial data
analysis;

(5) $720,000 each year is for implementing Minnesota's Learning for English Academic
Proficiency and Success Act under Laws 2014, chapter 272, article 1, as amended;

(6) $2,750,000 in fiscal year 2018 and $500,000 in fiscal year 2019 are for the Department
of Education's mainframe update;

(7) $123,000 each year is for a dyslexia specialist; and

(8) $2,000,000 each year is for legal fees and costs associated with litigation.

(b) Any balance in the first year does not cancel but is available in the second year.

(c) None of the amounts appropriated under this subdivision may be used for Minnesota's
Washington, D.C. office.

(d) The expenditures of federal grants and aids as shown in the biennial budget document
and its supplements are approved and appropriated and shall be spent as indicated.

(e) This appropriation includes funds for information technology project services and
support subject to the provisions of Minnesota Statutes, section 16E.0466. Any ongoing
information technology costs will be incorporated into the service level agreement and will
be paid to the Office of MN.IT Services by the Department of Education under the rates
and mechanism specified in that agreement.

(f) The agency's base is $22,054,000 for fiscal year 2020 and $21,965,000 for 2021.

Sec. 10. APPROPRIATIONS; BOARD OF TEACHING.

Subdivision 1.

Board of Teaching.

(a) The sums indicated in this section are appropriated
from the general fund to the Board of Teaching or any successor organization for the fiscal
years designated:

	$	3,481,000	.....	2018
	$	3,493,000	.....	2019

(b) This appropriation includes funds for information technology project services and
support subject to Minnesota Statutes, section 16E.0466. Any ongoing information
technology costs will be incorporated into an interagency agreement and will be paid to the
Office of MN.IT Services by the Board of Teaching under the mechanism specified in that
agreement.

(c) Any balance in the first year does not cancel but is available in the second year.

(d) Beginning in fiscal year 2020, the amounts indicated are appropriated from the
educator licensure account in the special revenue fund or, if the amount in the educator
licensure account is insufficient, from the general fund to the Board of Teaching or any
successor organization. If a successor organization is established, the Department of
Administration must provide administrative support to the successor organization under
Minnesota Statutes, section 16B.371. The commissioner of administration must assess the
board for services provided under this section.

(e) The base for fiscal year 2020 is $2,734,000 and $2,709,000 for fiscal year 2021.

Subd. 2.

Licensure by portfolio.

For licensure by portfolio:

	$	34,000	.....	2018
	$	34,000	.....	2019

This appropriation is from the educator licensure portfolio account in the special revenue
fund.

Sec. 11. APPROPRIATIONS; MINNESOTA STATE ACADEMIES.

(a) The sums indicated in this section are appropriated from the general fund to the
Minnesota State Academies for the Deaf and the Blind for the fiscal years designated:

	$	14,026,000	.....	2018
	$	14,352,000	.....	2019

(b) Any balance in the first year does not cancel but is available in the second year.

(c) The base for fiscal year 2020 and later is $13,186,000.

Sec. 12. APPROPRIATIONS; PERPICH CENTER FOR ARTS EDUCATION.

(a) The sums in this section are appropriated from the general fund to the Perpich Center
for Arts Education for the fiscal years designated:

	$	8,173,000	.....	2018
	$	6,973,000	.....	2019

(b) Of the amounts appropriated in paragraph (a), $370,000 is for fiscal years 2018 or
2019 only for arts integration and Turnaround Arts programs.

(c) $1,200,000 in fiscal year 2018 is for severance payments related to the closure of
Crosswinds school and is available until June 30, 2019.

ARTICLE 12

PROFESSIONAL EDUCATOR LICENSING AND STANDARDS BOARD

Section 1.

Minnesota Statutes 2016, section 122A.06, is amended to read:

122A.06 DEFINITIONS.

Subdivision 1.

Scope.

For the purpose of sections 122A.05 to 122A.09 122A.093, the
terms defined in this section have the meanings given them, unless another meaning is
clearly indicated.

Subd. 2.

Teacher.

"Teacher" means a classroom teacher or other similar professional
employee required to hold a license from the Professional Educator Licensing and Standards
Board of Teaching.

Subd. 3.

Board.

"Board" means the Professional Educator Licensing and Standards
Board of Teaching.

Subd. 4.

Comprehensive, scientifically based reading instruction.

(a) "Comprehensive,
scientifically based reading instruction" includes a program or collection of instructional
practices that is based on valid, replicable evidence showing that when these programs or
practices are used, students can be expected to achieve, at a minimum, satisfactory reading
progress. The program or collection of practices must include, at a minimum, effective,
balanced instruction in all five areas of reading: phonemic awareness, phonics, fluency,
vocabulary development, and reading comprehension.

Comprehensive, scientifically based reading instruction also includes and integrates
instructional strategies for continuously assessing, evaluating, and communicating the
student's reading progress and needs in order to design and implement ongoing interventions
so that students of all ages and proficiency levels can read and comprehend text, write, and
apply higher level thinking skills. For English learners developing literacy skills, districts
are encouraged to use strategies that teach reading and writing in the students' native language
and English at the same time.

(b) "Fluency" is the ability of students to read text with speed, accuracy, and proper
expression.

(c) "Phonemic awareness" is the ability of students to notice, think about, and manipulate
individual sounds in spoken syllables and words.

(d) "Phonics" is the understanding that there are systematic and predictable relationships
between written letters and spoken words. Phonics instruction is a way of teaching reading
that stresses learning how letters correspond to sounds and how to apply this knowledge in
reading and spelling.

(e) "Reading comprehension" is an active process that requires intentional thinking
during which meaning is constructed through interactions between text and reader.
Comprehension skills are taught explicitly by demonstrating, explaining, modeling, and
implementing specific cognitive strategies to help beginning readers derive meaning through
intentional, problem-solving thinking processes.

(f) "Vocabulary development" is the process of teaching vocabulary both directly and
indirectly, with repetition and multiple exposures to vocabulary items. Learning in rich
contexts, incidental learning, and use of computer technology enhance the acquiring of
vocabulary.

(g) Nothing in this subdivision limits the authority of a school district to select a school's
reading program or curriculum.

Subd. 5.

Field.

A "field" or "subject area" means the content area in which a teacher
may become licensed to teach.

Subd. 6.

Shortage area.

"Shortage area" means:

(1) licensure fields and economic development regions reported by the commissioner
of education or the Professional Educator Licensing and Standards Board as experiencing
a teacher shortage; and

(2) economic development regions where there is a shortage of licensed teachers who
reflect the racial or ethnic diversity of students in the region.

Subd. 7.

Teacher preparation program.

"Teacher preparation program" means a
program approved by the Professional Educator Licensing and Standards Board for the
purpose of preparing individuals for a specific teacher licensure field in Minnesota. Teacher
preparation programs include traditional programs delivered by postsecondary institutions,
alternative teacher preparation programs, and nonconventional teacher preparation programs.

Subd. 8.

Teacher preparation program provider.

"Teacher preparation program
provider" or "unit" means an entity that has primary responsibility for overseeing and
delivering a teacher preparation program.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 2.

Minnesota Statutes 2016, section 122A.07, is amended to read:

122A.07 BOARD OF TEACHING PROFESSIONAL EDUCATOR LICENSING
AND STANDARDS BOARD MEMBERSHIP.

Subdivision 1.

Appointment of members.

The Professional Educator Licensing and
Standards Board of Teaching consists of 11 members appointed by the governor, with the
advice and consent of the senate. Membership terms, compensation of members, removal
of members, the filling of membership vacancies, and fiscal year and reporting requirements
are as provided in sections 214.07 to 214.09. No member may be reappointed for more than
one additional term.

Subd. 2.

Eligibility; board composition.

Except for the representatives of higher
education and the public, to be eligible for appointment to the Board of Teaching a person
must be a teacher currently teaching in a Minnesota school and fully licensed for the position
held and have at least five years teaching experience in Minnesota, including the two years
immediately preceding nomination and appointment. Each nominee, other than a public
nominee, must be selected on the basis of professional experience and knowledge of teacher
education, accreditation, and licensure. The board must be composed of:

(1) six teachers who are currently teaching in a Minnesota school or who were teaching
at the time of the appointment and who do not qualify under clause (2) or (3), at least four
of whom must be teaching in a public school;, have at least five years of teaching experience,
and were not serving in an administrative function at a school district or school when
appointed. The six teachers must include the following:

(i) one teacher in a charter school;

(ii) one teacher from the seven-county metropolitan area, as defined in section 473.121,
subdivision 2;

(iii) one teacher from outside the seven-county metropolitan area;

(iv) one teacher from a related service category licensed by the board;

(v) one special education teacher; and

(vi) one teacher from a teacher preparation program;

(2) one higher education representative, who must be a faculty member preparing teachers
one superintendent that alternates each term between a superintendent from the seven-county
metropolitan area, as defined in section 473.121, subdivision 2, and a superintendent from
outside the metropolitan area;

(3) one school administrator district human resources director; and

(4) three members of the public, two of whom must be present or former members of
school boards one administrator of a cooperative unit under section 123A.24, subdivision
2, who oversees a special education program;

(5) one principal that alternates each term between an elementary and a secondary school
principal; and

(6) one member of the public that may be a current or former school board member.

Subd. 2a.

First appointments.

(a) The governor shall nominate all members to the
Professional Educator Licensing and Standards Board. The terms of the initial board members
must be as follows:

(1) two members must be appointed for terms that expire January 1, 2019;

(2) three members must be appointed for terms that expire January 1, 2020;

(3) three members must be appointed for terms that expire January 1, 2021; and

(4) three members must be appointed for terms that expire January 1, 2022.

(b) Members of the Board of Teaching as of January 1, 2017, are ineligible for first
appointments to the Professional Educator Licensing and Standards Board for four years
from the effective date of this section, except that two members of the Board of Teaching
as of January 1, 2017, are eligible for appointment under paragraph (a), clause (1).

Subd. 3.

Vacant position.

With the exception of a teacher who retires from teaching
during the course of completing a board term, the position of a member who leaves Minnesota
or whose employment status changes to a category different from that from which appointed
is deemed vacant.

Subd. 4.

Administration, Terms, compensation; removal; vacancies.

The provision
of staff, administrative services and office space; the review and processing of complaints;
the setting of fees; the selection and duties of an executive secretary director to serve the
board; and other provisions relating to board operations not provided in this chapter are as
provided in chapter 214. Membership terms, except as provided in subdivision 2a,
compensation of members, removal of members, the filling of membership vacancies, and
fiscal year and reporting requirements are as provided in sections 214.07 to 214.09.

Subd. 4a.

Administration.

(a) The executive director of the board shall be the chief
administrative officer for the board but shall not be a member of the board. The executive
director shall maintain the records of the board, account for all fees received by the board,
supervise and direct employees servicing the board, and perform other services as directed
by the board.

(b) The Department of Administration must provide administrative support in accordance
with section 16B.371. The commissioner of administration must assess the board for services
it provides under this section.

(c) The Department of Education must provide suitable offices and other space to the
board at reasonable cost until January 1, 2020. Thereafter, the board may contract with
either the Department of Education or the Department of Administration for the provision
of suitable offices and other space, joint conference and hearing facilities, and examination
rooms.

Subd. 5.

District reimbursement for costs of substitute teachers.

The Professional
Educator Licensing and Standards Board may reimburse local school districts for the costs
of substitute teachers employed when regular teachers are providing professional assistance
to the state by serving on the board or on a committee or task force appointed by the board
and charged to make recommendations concerning standards for teacher licensure in this
state.

EFFECTIVE DATE.

This section is effective September 1, 2017.

Sec. 3.

Minnesota Statutes 2016, section 122A.08, is amended to read:

122A.08 MEETINGS.

Subdivision 1.

Meetings.

The Professional Educator Licensing and Standards Board of
Teaching must meet regularly at the times and places as the board determines. Meetings
must be called by the chair or at the written request of any eight members.

Subd. 2.

Executive secretary director.

The Professional Educator Licensing and
Standards Board of Teaching must have an executive secretary director who is in the
unclassified civil service and who is not a member of the board. The executive director must
fulfill the duties provided in section 122A.09, subdivision 6. The board must review the
performance of the executive director and set the salary of the executive director, not to
exceed the limit for a position listed in section 15A.0815, subdivision 2.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 4.

Minnesota Statutes 2016, section 122A.09, subdivision 1, is amended to read:

Subdivision 1.

Code of ethics.

The Professional Educator Licensing and Standards
Board of Teaching must develop by rule a code of ethics covering standards of professional
teaching practices, including areas of ethical conduct and professional performance and
methods of enforcement.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 5.

Minnesota Statutes 2016, section 122A.09, subdivision 2, is amended to read:

Subd. 2.

Advise members of profession.

The Professional Educator Licensing and
Standards Board must act in an advisory capacity to members of the profession in matters
of interpretation of the code of ethics.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 6.

Minnesota Statutes 2016, section 122A.09, subdivision 3, is amended to read:

Subd. 3.

Election of chair and officers.

The Professional Educator Licensing and
Standards Board shall elect a chair and such other officers as it may deem necessary.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 7.

Minnesota Statutes 2016, section 122A.09, subdivision 4, is amended to read:

Subd. 4.

License and rules Licensing.

(a) The Professional Educator Licensing and
Standards Board must adopt rules to license public school teachers and interns subject to
chapter 14. license teachers, as defined in section 122A.15, subdivision 1, except for
supervisory personnel, as defined in section 122A.15, subdivision 2. The board must not
delegate its authority to make all licensing decisions with respect to candidates for teacher
licensure. The board must evaluate candidates for compliance with statutory or rule
requirements for licensure and develop licensure verification requirements.

(b) The board must require all candidates for teacher licensure to demonstrate a passing
score on a board-adopted skills examination in reading, writing, and mathematics, as a
requirement for an initial professional five-year teaching license, except that the board may
issue up to four initial professional one-year teaching licenses to an otherwise qualified
candidate who has not yet passed the board-adopted skills exam. The board must require
colleges and universities offering a board-approved teacher preparation program to provide
remedial assistance to persons who did not achieve a qualifying score on the board-adopted
skills examination, including those for whom English is a second language. The requirement
to pass a board-adopted reading, writing, and mathematics skills examination does not apply
to nonnative English speakers, as verified by qualified Minnesota school district personnel
or Minnesota higher education faculty, who, after meeting the content and pedagogy
requirements under this subdivision, apply for a teaching license to provide direct instruction
in their native language or world language instruction under section 120B.022, subdivision
1. The Board of Teaching and the entity administering the content, pedagogy, and skills
examinations must allow any individual who produces documentation of a disability in the
form of an evaluation, 504 plan, or individual education program (IEP) to receive the same
testing accommodations on the content, pedagogy, and skills examinations that the applicant
received during their secondary or postsecondary education.

(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 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. Among other components, teacher
preparation programs may use the Minnesota State Colleges and Universities program model
to provide a school-year-long student teaching program that combines clinical opportunities
with academic coursework and in-depth student teaching experiences to offer students
ongoing mentorship, coaching, and assessment, help to prepare a professional development
plan, and structured learning experiences. 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. Teacher preparation programs
including alternative teacher preparation programs under section 122A.245, among other
programs, must include a content-specific, board-approved, performance-based assessment
that measures teacher candidates in three areas: planning for instruction and assessment;
engaging students and supporting learning; and assessing student learning. The board's
redesign rules must include creating flexible, specialized teaching licenses, credentials, and
other endorsement forms to increase students' participation in language immersion programs,
world language instruction, career development opportunities, work-based learning, early
college courses and careers, career and technical programs, Montessori schools, and project
and place-based learning, among other career and college ready learning offerings.

(e) The board must adopt rules requiring candidates for professional five-year teaching
licenses to pass 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 pass, 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 professional five-year
teaching licenses based on appropriate professional competencies that are aligned with the
board's licensing system and students' diverse learning needs. All teacher candidates must
have preparation in English language development and content instruction for English
learners in order to be able to effectively instruct the English learners in their classrooms.
The board must include these licenses in a statewide differentiated licensing system that
creates new leadership roles for successful experienced teachers premised on a collaborative
professional culture dedicated to meeting students' diverse learning needs in the 21st century,
recognizes the importance of cultural and linguistic competencies, including the ability to
teach and communicate in culturally competent and aware ways, and formalizes mentoring
and induction for newly licensed teachers provided through a teacher support framework.

(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. The board must require a licensed teacher
who is renewing a professional five-year teaching license to include in the renewal
requirements further preparation in English language development and specially designed
content instruction in English for English learners.

(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
professional five-year teaching licenses 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
professional five-year teaching licenses 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
professional five-year teaching licenses to include in their renewal requirements at least
one hour of suicide prevention best practices in each licensure renewal period that are based
on nationally recognized evidence-based programs and practices, among the continuing
education credits required to renew a license under this paragraph, and further preparation,
first, in understanding the key warning signs of early-onset mental illness in children and
adolescents and then, during subsequent licensure renewal periods, preparation may include
providing a more in-depth understanding of students' mental illness trauma, accommodations
for students' mental illness, parents' role in addressing students' mental illness, Fetal Alcohol
Spectrum Disorders, autism, the requirements of section 125A.0942 governing restrictive
procedures, and de-escalation methods, among other similar topics.

(o) The board must adopt rules by January 1, 2016, to license applicants under sections
122A.23 and 122A.245. The rules must permit applicants to demonstrate their qualifications
through the board's recognition of a teaching license from another state in a similar content
field, completion of a state-approved teacher preparation program, teaching experience as
the teacher of record in a similar licensure field, depth of content knowledge, depth of
content methods or general pedagogy, subject-specific professional development and
contribution to the field, or classroom performance as determined by documented student
growth on normed assessments or documented effectiveness on evaluations. The rules must
adopt criteria for determining a "similar content field" and "similar licensure area."

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 8.

Minnesota Statutes 2016, section 122A.09, subdivision 4a, is amended to read:

Subd. 4a.

Teacher and administrator preparation and performance data; report
Reports.

(a) The Board of Teaching and the Board of School Administrators, in cooperation
with the Minnesota Association of Colleges of Teacher Education and Minnesota colleges
and universities offering board-adopted teacher or administrator preparation programs,
annually must collect and report summary data on teacher and administrator preparation
and performance outcomes, consistent with this subdivision. The Board of Teaching and
the Board of School Administrators annually by June 1 must update and post the reported
summary preparation and performance data on teachers and administrators from the preceding
school years on a Web site hosted jointly by the boards. The Professional Educator Licensing
and Standards Board must provide reports in accordance with section 122A.091.

(b) Publicly reported summary data on teacher preparation programs must include:
student entrance requirements for each Board of Teaching-approved program, including
grade point average for enrolling students in the preceding year; the average board-adopted
skills examination or ACT or SAT scores of students entering the program in the preceding
year; summary data on faculty qualifications, including at least the content areas of faculty
undergraduate and graduate degrees and their years of experience either as kindergarten
through grade 12 classroom teachers or school administrators; the average time resident
and nonresident program graduates in the preceding year needed to complete the program;
the current number and percent of students by program who graduated, received a standard
Minnesota teaching license, and were hired to teach full time in their licensure field in a
Minnesota district or school in the preceding year; the number of content area credits and
other credits by undergraduate program that students in the preceding school year needed
to complete to graduate; students' pass rates on skills and subject matter exams required for
graduation in each program and licensure area in the preceding school year; survey results
measuring student and graduate satisfaction with the program in the preceding school year;
a standard measure of the satisfaction of school principals or supervising teachers with the
student teachers assigned to a school or supervising teacher; and information under
paragraphs (d) and (e). Program reporting must be consistent with subdivision 11.

(c) Publicly reported summary data on administrator preparation programs approved by
the Board of School Administrators must include: summary data on faculty qualifications,
including at least the content areas of faculty undergraduate and graduate degrees and their
years of experience either as kindergarten through grade 12 classroom teachers or school
administrators; the average time program graduates in the preceding year needed to complete
the program; the current number and percent of students who graduated, received a standard
Minnesota administrator license, and were employed as an administrator in a Minnesota
school district or school in the preceding year; the number of credits by graduate program
that students in the preceding school year needed to complete to graduate; survey results
measuring student, graduate, and employer satisfaction with the program in the preceding
school year; and information under paragraphs (f) and (g). Program reporting must be
consistent with section 122A.14, subdivision 10.

(d) School districts annually by October 1 must report to the Board of Teaching the
following information for all teachers who finished the probationary period and accepted
a continuing contract position with the district from September 1 of the previous year through
August 31 of the current year: the effectiveness category or rating of the teacher on the
summative evaluation under section 122A.40, subdivision 8, or 122A.41, subdivision 5;
the licensure area in which the teacher primarily taught during the three-year evaluation
cycle; and the teacher preparation program preparing the teacher in the teacher's primary
areas of instruction and licensure.

(e) School districts annually by October 1 must report to the Board of Teaching the
following information for all probationary teachers in the district who were released or
whose contracts were not renewed from September 1 of the previous year through August
31 of the current year: the licensure areas in which the probationary teacher taught; and the
teacher preparation program preparing the teacher in the teacher's primary areas of instruction
and licensure.

(f) School districts annually by October 1 must report to the Board of School
Administrators the following information for all school principals and assistant principals
who finished the probationary period and accepted a continuing contract position with the
district from September 1 of the previous year through August 31 of the current year: the
effectiveness category or rating of the principal or assistant principal on the summative
evaluation under section 123B.147, subdivision 3; and the principal preparation program
providing instruction to the principal or assistant principal.

(g) School districts annually by October 1 must report to the Board of School
Administrators all probationary school principals and assistant principals in the district who
were released or whose contracts were not renewed from September 1 of the previous year
through August 31 of the current year.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 9.

Minnesota Statutes 2016, section 122A.09, subdivision 6, is amended to read:

Subd. 6.

Register of persons licensed.

The executive secretary director of the
Professional Educator Licensing and Standards Board of Teaching shall must keep a record
of the proceedings of and a register of all persons licensed pursuant to the provisions of this
chapter. The register must show the name, address, license number and the renewal of the
license. The board must on July 1, of each year or as soon thereafter as is practicable, compile
a list of such duly licensed teachers and transmit a copy of the list to the board. A copy of
the register must be available during business hours at the office of the board to any interested
person.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 10.

Minnesota Statutes 2016, section 122A.09, subdivision 7, is amended to read:

Subd. 7.

Commissioner's assistance; Professional Educator Licensing and Standards
Board money.

The commissioner shall provide all necessary materials and assistance for
the transaction of the business of the Board of Teaching and All moneys received by the
Professional Educator Licensing and Standards Board of Teaching shall be paid into the
state treasury as provided by law. The expenses of administering sections 120B.363, 122A.01,
122A.05 to 122A.09, 122A.15, 122A.16, 122A.17, 122A.18, 122A.181, 122A.182, 122A.183,
122A.184, 122A.185, 122A.186, 122A.187, 122A.188, 122A.20, 122A.21, 122A.22,
122A.23, 122A.2451, 122A.26, 122A.30, 122A.40, 122A.41, 122A.42, 122A.45, 122A.49,
122A.54, 122A.55, 122A.56, 122A.57, and 122A.58 which are incurred by the Professional
Educator Licensing and Standards Board of Teaching shall be paid for from appropriations
made to the Professional Educator Licensing and Standards Board of Teaching.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 11.

Minnesota Statutes 2016, section 122A.09, subdivision 9, is amended to read:

Subd. 9.

Professional Educator Licensing and Standards Board may must adopt
rules.

(a) The Professional Educator Licensing and Standards Board of Teaching may must
adopt rules subject to the provisions of chapter 14 to implement sections 120B.363, 122A.05
to 122A.09, 122A.092, 122A.16, 122A.17, 122A.18, 122A.181, 122A.182, 122A.183,
122A.184, 122A.185, 122A.186, 122A.187, 122A.188, 122A.20, 122A.21, and 122A.23,
122A.26, 122A.28, and 122A.29.

(b) The board must adopt rules relating to fields of licensure, including a process for
granting permission to a licensed teacher to teach in a field that is different from the teacher's
field of licensure without change to the teacher's license tier level.

(c) The board must adopt rules relating to the grade levels that a licensed teacher may
teach.

(d) If a rule adopted by the board is in conflict with a session law or statute, the law or
statute prevails. Terms adopted in rule must be clearly defined and must not be construed
to conflict with terms adopted in statute or session law.

(e) The board must include a description of a proposed rule's probable effect on teacher
supply and demand in the board's statement of need and reasonableness under section 14.131.

(f) The board must adopt rules only under the specific statutory authority.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 12.

Minnesota Statutes 2016, section 122A.09, subdivision 10, is amended to read:

Subd. 10.

Permissions.

(a) Notwithstanding subdivision 9 and sections 14.055 and
14.056, the Professional Educator Licensing and Standards Board of Teaching may grant
waivers to its rules upon application by a school district or a charter school for purposes of
implementing experimental programs in learning or management.

(b) To enable a school district or a charter school to meet the needs of students enrolled
in an alternative education program and to enable licensed teachers instructing those students
to satisfy content area licensure requirements, the Professional Educator Licensing and
Standards Board of Teaching annually may permit a licensed teacher teaching in an
alternative education program to instruct students in a content area for which the teacher is
not licensed, consistent with paragraph (a).

(c) A special education license permission issued by the Professional Educator Licensing
and Standards Board of Teaching for a primary employer's low-incidence region is valid
in all low-incidence regions.

(d) The Board of Teaching may issue a one-year professional license under paragraph
(a), which the board may renew two times, to allow a person holding a full credential from
the American Montessori Society, a diploma from Association Montessori Internationale,
or a certificate of completion from a program accredited by the Montessori Accreditation
Council for Teacher Education to teach in a Montessori program operated by a school district
or charter school.

(e) The Board of Teaching may grant a one-year waiver, renewable two times, to allow
individuals who hold a bachelor's degree from an accredited postsecondary institution,
demonstrate occupational competency based on at least three years of full-time work
experience in business or industry, and enroll and make satisfactory progress in an alternative
preparation program leading to certification as a career and technical education instructor
to teach career and technical education courses offered by a school district or charter school.
(d) A candidate that has obtained career and technical education certification may apply for
a Tier 1 license under section 122A.181. Consistent with this paragraph and section 136F.361,
the Professional Educator Licensing and Standards Board of Teaching must strongly
encourage approved college or university-based teacher preparation programs and institutions
throughout Minnesota to develop alternative pathways for certifying and licensing high
school career and technical education instructors and teachers, allowing such candidates to
meet certification and licensure standards that demonstrate their content knowledge,
classroom experience, and pedagogical practices and their qualifications based on a
combination of occupational testing, professional certification or licensure, and long-standing
work experience.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 13.

[122A.091] REPORTS.

Subdivision 1.

Teacher and administrator preparation and performance data;
report.

(a) The Professional Educator Licensing and Standards Board and the Board of
School Administrators, in cooperation with board-adopted teacher or administrator
preparation programs, annually must collect and report summary data on teacher and
administrator preparation and performance outcomes, consistent with this subdivision. The
Professional Educator Licensing and Standards Board and the Board of School Administrators
annually by June 1 must update and post the reported summary preparation and performance
data on teachers and administrators from the preceding school years on a Web site hosted
jointly by the boards.

(b) Publicly reported summary data on teacher preparation programs must include:

(1) student entrance requirements for each Professional Educator Licensing and Standards
Board-approved program, including grade point average for enrolling students in the
preceding year;

(2) the average board-adopted skills examination or ACT or SAT scores of students
entering the program in the preceding year;

(3) summary data on faculty qualifications, including at least the content areas of faculty
undergraduate and graduate degrees and their years of experience either as kindergarten
through grade 12 classroom teachers or school administrators;

(4) the average time resident and nonresident program graduates in the preceding year
needed to complete the program;

(5) the current number and percentage of students by program who graduated, received
a standard Minnesota teaching license, and were hired to teach full time in their licensure
field in a Minnesota district or school in the preceding year disaggregated by race, except
when disaggregation would not yield statistically reliable results or would reveal personally
identifiable information about an individual;

(6) the number of content area credits and other credits by undergraduate program that
students in the preceding school year needed to complete to graduate;

(7) students' pass rates on skills and subject matter exams required for graduation in
each program and licensure area in the preceding school year;

(8) survey results measuring student and graduate satisfaction with the program in the
preceding school year disaggregated by race, except when disaggregation would not yield
statistically reliable results or would reveal personally identifiable information about an
individual;

(9) a standard measure of the satisfaction of school principals or supervising teachers
with the student teachers assigned to a school or supervising teacher; and

(10) information under subdivision 3, paragraphs (a) and (b).

Program reporting must be consistent with subdivision 2.

(c) Publicly reported summary data on administrator preparation programs approved by
the Board of School Administrators must include:

(1) summary data on faculty qualifications, including at least the content areas of faculty
undergraduate and graduate degrees and the years of experience either as kindergarten
through grade 12 classroom teachers or school administrators;

(2) the average time program graduates in the preceding year needed to complete the
program;

(3) the current number and percentage of students who graduated, received a standard
Minnesota administrator license, and were employed as an administrator in a Minnesota
school district or school in the preceding year disaggregated by race, except when
disaggregation would not yield statistically reliable results or would reveal personally
identifiable information about an individual;

(4) the number of credits by graduate program that students in the preceding school year
needed to complete to graduate;

(5) survey results measuring student, graduate, and employer satisfaction with the
program in the preceding school year disaggregated by race, except when disaggregation
would not yield statistically reliable results or would reveal personally identifiable
information about an individual; and

(6) information under subdivision 3, paragraphs (c) and (d).

Program reporting must be consistent with section 122A.14, subdivision 10.

Subd. 2.

Teacher preparation program reporting.

(a) By December 31, 2018, and
annually thereafter, the Professional Educator Licensing and Standards Board shall report
and publish on its Web site the cumulative summary results of at least three consecutive
years of data reported to the board under subdivision 1, paragraph (b). Where the data are
sufficient to yield statistically reliable information and the results would not reveal personally
identifiable information about an individual teacher, the board shall report the data by teacher
preparation program.

(b) The Professional Educator Licensing and Standards Board must report annually to
the chairs and ranking minority members of the legislative committees with jurisdiction
over kindergarten through grade 12 education, the following information:

(1) the total number of teacher candidates during the most recent school year taking a
board-adopted skills examination;

(2) the number who achieve a qualifying score on the examination;

(3) the number who do not achieve a qualifying score on the examination; and

(4) the candidates who have not passed a content or pedagogy exam.

The information reported under this paragraph must be disaggregated by categories of race,
ethnicity, and eligibility for financial aid. The report must be submitted in accordance with
section 3.195.

Subd. 3.

School district reports.

(a) School districts annually by October 1 must report
to the Professional Educator Licensing and Standards Board the following information for
all teachers who finished the probationary period and accepted a continuing contract position
with the district from September 1 of the previous year through August 31 of the current
year:

(1) the effectiveness category or rating of the teacher on the summative evaluation under
section 122A.40, subdivision 8, or 122A.41, subdivision 5;

(2) the licensure area in which the teacher primarily taught during the three-year
evaluation cycle; and

(3) the teacher preparation program preparing the teacher in the teacher's primary areas
of instruction and licensure.

(b) School districts annually by October 1 must report to the Professional Educator
Licensing and Standards Board the following information for all probationary teachers in
the district who were released or whose contracts were not renewed from September 1 of
the previous year through August 31 of the current year:

(1) the licensure areas in which the probationary teacher taught; and

(2) the teacher preparation program preparing the teacher in the teacher's primary areas
of instruction and licensure.

(c) School districts annually by October 1 must report to the Board of School
Administrators the following information for all school principals and assistant principals
who finished the probationary period and accepted a continuing contract position with the
district from September 1 of the previous year through August 31 of the current year:

(1) the effectiveness category or rating of the principal or assistant principal on the
summative evaluation under section 123B.147, subdivision 3; and

(2) the principal preparation program providing instruction to the principal or assistant
principal.

(d) School districts annually by October 1 must report to the Board of School
Administrators all probationary school principals and assistant principals in the district who
were released or whose contracts were not renewed from September 1 of the previous year
through August 31 of the current year.

Subd. 4.

State reports.

The Professional Educator Licensing and Standards Board must
prepare reports in accordance with section 214.07.

Subd. 5.

Survey of districts.

(a) The Professional Educator Licensing and Standards
Board must survey the state's school districts and teacher preparation programs and report
to the education committees of the legislature by February 1, 2019, and each odd-numbered
year thereafter, on the status of teacher early retirement patterns, the access to effective and
more diverse teachers who reflect the students under section 120B.35, subdivision 3,
paragraph (b), clause (2), enrolled in a district or school, the teacher shortage, and the
substitute teacher shortage, including patterns and shortages in licensure field areas and the
economic development regions of the state.

(b) The report must also include:

(1) aggregate data on teachers' self-reported race and ethnicity;

(2) data on how districts are making progress in hiring teachers and substitute teachers
in the areas of shortage; and

(3) a five-year projection of teacher demand for each district, taking into account the
students under section 120B.35, subdivision 3, paragraph (b), clause (2), expected to enroll
in the district during that five-year period.

Subd. 6.

Implementation report.

By January 1, 2019, the Professional Educator
Licensing and Standards Board must prepare a report to the legislature on the implementation
of the teacher licensure system established under sections 122A.18 to 122A.184. The report
must include the number of applicants for licensure in each tier, the number of applications
granted and denied, summary data on the reasons applications were denied, and the status
of the board's rulemaking process for all licensure related rules.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 14.

[122A.092] TEACHER PREPARATION PROGRAMS.

Subdivision 1.

Rules.

The board must adopt rules to approve teacher preparation
programs, including alternative teacher preparation programs under section 122A.2451,
nonconventional programs, and Montessori teacher training programs.

Subd. 2.

Requirements for board approval.

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

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

(2) the program provides a student teaching program;

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

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

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

(6) the program includes culturally competent training in instructional strategies consistent
with section 120B.30, subdivision 1, paragraph (q).

Subd. 3.

Specialized credentials.

The board must adopt rules creating flexible,
specialized teaching licenses, credentials, and other endorsement forms to increase students'
participation in language immersion programs, world language instruction, career
development opportunities, work-based learning, early college courses and careers, career
and technical programs, Montessori schools, and project- and place-based learning, among
other career and college readiness learning offerings.

Subd. 4.

Teacher educators.

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 and secondary teaching environments.

Subd. 5.

Reading strategies.

(a) All colleges and universities approved by the
Professional Educator Licensing and Standards Board to prepare persons for classroom
teacher licensure must include in their teacher preparation programs research-based best
practices in reading, consistent with section 122A.06, subdivision 4, that enables the licensure
candidate to teach reading in the candidate's content areas. Teacher candidates must be
instructed in using students' native languages as a resource in creating effective differentiated
instructional strategies for English learners developing literacy skills. These colleges and
universities also must prepare early childhood and elementary teacher candidates for Tier
3 and Tier 4 teaching licenses under sections 122A.183 and 122A.184, respectively, for the
portion of the examination under section 122A.185, subdivision 1, paragraph (c), covering
assessment of reading instruction.

(b) Board-approved teacher preparation programs for teachers of elementary education
must require instruction in applying comprehensive, scientifically based, and balanced
reading instruction programs that:

(1) teach students to read using foundational knowledge, practices, and strategies
consistent with section 122A.06, subdivision 4, so that all students achieve continuous
progress in reading; and

(2) teach specialized instruction in reading strategies, interventions, and remediations
that enable students of all ages and proficiency levels to become proficient readers.

(c) Nothing in this section limits the authority of a school district to select a school's
reading program or curriculum.

Subd. 6.

Technology strategies.

All colleges and universities approved by the
Professional Educator Licensing and Standards Board to prepare persons for classroom
teacher licensure must include in their teacher preparation programs the knowledge and
skills teacher candidates need to engage students with technology and deliver digital and
blended learning and curriculum.

Subd. 7.

Student teaching program.

A teacher preparation program may provide a
year-long student teaching program that combines clinical opportunities with academic
coursework and in-depth student teaching experiences to offer students:

(1) ongoing mentorship;

(2) coaching;

(3) assessment;

(4) help to prepare a professional development plan; and

(5) structured learning experiences.

Subd. 8.

Existing programs.

The approval of teacher preparation programs approved
by the Board of Teaching before the effective date of this section must remain in effect
unless and until the Professional Educator Licensing and Standards Board denies approval
or reapproves the program.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 15.

[122A.093] FRAUD; GROSS MISDEMEANOR.

A person who claims to be a licensed teacher without a valid existing license issued by
the board or any person who employs fraud or deception in applying for or securing a license
is guilty of a gross misdemeanor.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 16.

Minnesota Statutes 2016, section 122A.22, is amended to read:

122A.22 DISTRICT VERIFICATION OF TEACHER LICENSES.

No person shall be accounted a qualified teacher until the school district or charter school
contracting with the person for teaching services verifies through the Minnesota education
licensing system available on the department Professional Educator Licensing and Standards
Board Web site that the person is a qualified teacher, consistent with sections 122A.16 and
122A.44, subdivision 1.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 17.

Minnesota Statutes 2016, section 127A.05, subdivision 6, is amended to read:

Subd. 6.

Survey of districts.

The commissioner of education shall survey the state's
school districts and teacher preparation programs and report to the education committees
of the legislature by February 1 of each odd-numbered year until 2018 on the status of
teacher early retirement patterns, the access to effective and more diverse teachers who
reflect the students under section 120B.35, subdivision 3, paragraph (b), clause (2), enrolled
in a district or school, the teacher shortage, and the substitute teacher shortage, including
patterns and shortages in subject areas and the economic development regions of the state.
The report must also include: aggregate data on teachers' self-reported race and ethnicity;
data on how districts are making progress in hiring teachers and substitutes in the areas of
shortage; and a five-year projection of teacher demand for each district, taking into account
the students under section 120B.35, subdivision 3, paragraph (b), clause (2), expected to
enroll in the district during that five-year period.

Sec. 18.

Minnesota Statutes 2016, section 214.04, subdivision 1, is amended to read:

Subdivision 1.

Services provided.

The commissioner of education with respect to the
Board of Teaching; the commissioner of public safety with respect to the Board of Private
Detective and Protective Agent Services; the Board of Peace Officer Standards and Training;
and the commissioner of revenue with respect to the Board of Assessors, shall provide
suitable offices and other space, joint conference and hearing facilities, examination rooms,
and the following administrative support services: purchasing service, accounting service,
advisory personnel services, consulting services relating to evaluation procedures and
techniques, data processing, duplicating, mailing services, automated printing of license
renewals, and such other similar services of a housekeeping nature as are generally available
to other agencies of state government. Investigative services shall be provided the boards
by employees of the Office of Attorney General. The commissioner of health with respect
to the health-related licensing boards shall provide mailing and office supply services and
may provide other facilities and services listed in this subdivision at a central location upon
request of the health-related licensing boards. The commissioner of commerce with respect
to the remaining non-health-related licensing boards shall provide the above facilities and
services at a central location for the remaining non-health-related licensing boards. The
legal and investigative services for the boards shall be provided by employees of the attorney
general assigned to the departments servicing the boards. Notwithstanding the foregoing,
the attorney general shall not be precluded by this section from assigning other attorneys
to service a board if necessary in order to insure competent and consistent legal
representation. Persons providing legal and investigative services shall to the extent
practicable provide the services on a regular basis to the same board or boards.

EFFECTIVE DATE.

This section is effective July 1, 2018.

Sec. 19.

Minnesota Statutes 2016, section 214.045, is amended to read:

214.045 COORDINATION WITH PROFESSIONAL EDUCATOR LICENSING
AND STANDARDS BOARD OF TEACHING.

The commissioner of health and the health-related licensing boards must coordinate
with the Professional Educator Licensing and Standards Board of Teaching when modifying
licensure requirements for regulated persons in order to have consistent regulatory
requirements for personnel who perform services in schools.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 20. TRANSFER OF POWERS.

(a) The creation of the Professional Educator Licensing and Standards Board shall be
considered a transfer by law of the responsibilities of the Board of Teaching and the
Minnesota Department of Education with respect to licensure and credentialing of teachers
and school personnel to the Professional Educator Licensing and Standards Board for
purposes of Minnesota Statutes, section 15.039. All classified and unclassified positions
associated with the responsibilities being transferred to the Professional Educator Licensing
and Standards Board are transferred with their incumbents to the new agency pursuant to
Minnesota Statutes, section 15.039, subdivision 7, except as otherwise provided in Minnesota
Statutes, section 122A.07.

(b) The responsibilities of the Minnesota Department of Education with respect to
licensure of school administrators are transferred by law to the Board of School
Administrators for purposes of section 15.039.

(c) The responsibilities of the Minnesota Department of Education with respect to the
survey of districts under section 127A.05, subdivision 6, and the staff automated reporting
(STAR) system, are transferred by law to the Professional Educator Licensing and Standards
Board for purposes of section 15.039.

(d) The Professional Educator Licensing and Standards Board must review all rules
adopted by the Board of Teaching and amend or repeal rules not consistent with statute.
The Professional Educator Licensing and Standards Board must review all teacher preparation
programs approved by the Board of Teaching to determine whether the approved programs
meet the needs of schools in Minnesota.

EFFECTIVE DATE.

This section is effective January 1, 2018.

Sec. 21. FIRST APPOINTMENTS TO THE PROFESSIONAL EDUCATOR
LICENSING AND STANDARDS BOARD.

(a) The governor shall make appointments to the Professional Educator Licensing and
Standards Board by September 1, 2017, for terms that begin January 1, 2018. The governor
shall designate one member of the board to convene the first meeting by February 1, 2018,
and to act as chair until the board elects a chair at its first meeting. The first superintendent
appointed under Minnesota Statutes, section 122A.07, subdivision 2, clause (2), must be
from outside the metropolitan area. The governor is encouraged to consider eligible
candidates that have previously served on the Board of Teaching for appointment to the
Professional Educator Licensing and Standards Board.

(b) The terms of the first members appointed to the board do not count towards the term
limit under Minnesota Statutes, section 122A.07, subdivision 1, if the term expires before
2022.

(c) Beginning October 2, 2017, the board members appointed by the governor under
paragraph (a) may informally organize and prepare for their terms. The appointee representing
the superintendent member must convene the first transition meeting. At the first meeting,
the appointees must select a chairperson to lead the transition meetings. Between October
2, 2017, and January 1, 2018, the board members must begin the selection process for the
executive director under Minnesota Statutes, section 122A.08, subdivision 2. The board
members' transition meetings are subject to the Open Meeting Law under Minnesota Statutes,
chapter 13D.

Sec. 22. REVISOR INSTRUCTION.

In Minnesota Statutes and Minnesota Rules, the revisor of statutes shall substitute the
term "Professional Educator Licensing and Standards Board" for "Board of Teaching"
wherever the term refers to the powers, duties, and responsibilities of the Board of Teaching.
The revisor shall also make grammatical changes related to the change in terms.

Sec. 23. REPEALER.

Minnesota Statutes 2016, section 122A.09, subdivisions 5, 8, and 11, are repealed.

EFFECTIVE DATE.

This section is effective January 1, 2018.

ARTICLE 13

FORECAST ADJUSTMENTS

A. GENERAL EDUCATION

Section 1.

Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision
2, as amended by Laws 2016, chapter 189, article 27, section 17, is amended to read:

Subd. 2.

General education aid.

For general education aid under Minnesota Statutes,
section 126C.13, subdivision 4:

	$	6,649,435,000	.....	2016
	$	6,815,372,000 6,848,521,000	.....	2017

The 2016 appropriation includes $622,908,000 for 2015 and 6,026,524,000 for 2016.

The 2017 appropriation includes $641,412,000 for 2016 and $6,173,962,000
$6,207,109,000 for 2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 2.

Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 3, is
amended to read:

Subd. 3.

Enrollment options transportation.

For transportation of pupils attending
postsecondary institutions under Minnesota Statutes, section 124D.09, or for transportation
of pupils attending nonresident districts under Minnesota Statutes, section 124D.03:

	$	39,000	.....	2016
	$	42,000 26,000	.....	2017

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 3.

Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 4, as
amended by Laws 2016, chapter 189, article 34, section 1, is amended to read:

Subd. 4.

Abatement revenue.

For abatement aid under Minnesota Statutes, section
127A.49:

	$	3,051,000	.....	2016
	$	3,425,000 2,666,000	.....	2017

The 2016 appropriation includes $278,000 for 2015 and $2,773,000 for 2016.

The 2017 appropriation includes $308,000 for 2016 and $3,117,000 $2,358,000 for
2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 4.

Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 6, as
amended by Laws 2016, chapter 189, article 34, section 3, is amended to read:

Subd. 6.

Nonpublic pupil education aid.

For nonpublic pupil education aid under
Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:

	$	16,759,000	.....	2016
	$	17,235,000 16,879,000	.....	2017

The 2016 appropriation includes $1,575,000 for 2015 and $15,184,000 for 2016.

The 2017 appropriation includes $1,687,000 for 2016 and $15,548,000 $15,192,000 for
2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 5.

Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 7, as
amended by Laws 2016, chapter 189, article 34, section 4, is amended to read:

Subd. 7.

Nonpublic pupil transportation.

For nonpublic pupil transportation aid under
Minnesota Statutes, section 123B.92, subdivision 9:

	$	17,673,000	.....	2016
	$	18,103,000 18,278,000	.....	2017

The 2016 appropriation includes $1,816,000 for 2015 and $15,857,000 for 2016.

The 2017 appropriation includes $1,761,000 for 2016 and $16,342,000 $16,517,000 for
2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 6.

Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 9, as
amended by Laws 2016, chapter 189, article 34, section 5, is amended to read:

Subd. 9.

Career and technical aid.

For career and technical aid under Minnesota
Statutes, section 124D.4531, subdivision 1b:

	$	5,922,000	.....	2016
	$	4,262,000 4,806,000	.....	2017

The 2016 appropriation includes $574,000 for 2015 and $5,348,000 for 2016.

The 2017 appropriation includes $517,000 for 2016 and $3,745,000 $4,289,000 for
2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

B. EDUCATION EXCELLENCE

Sec. 7.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 2, as
amended by Laws 2016, chapter 189, article 25, section 44, is amended to read:

Subd. 2.

Alternative compensation.

For alternative teacher compensation aid under
Minnesota Statutes, section 122A.415, subdivision 4:

	$	78,907,000	.....	2016
	$	89,049,000 88,137,000	.....	2017

The 2016 appropriation includes $7,766,000 for 2015 and $71,141,000 for 2016.

The 2017 appropriation includes $7,876,000 for 2016 and $81,173,000 $80,261,000 for
2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 8.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 3, as
amended by Laws 2016, chapter 189, article 25, section 45, is amended to read:

Subd. 3.

Achievement and integration aid.

For achievement and integration aid under
Minnesota Statutes, section 124D.862:

	$	65,439,000	.....	2016
	$	69,372,000 67,091,000	.....	2017

The 2016 appropriation includes $6,382,000 for 2015 and $59,057,000 for 2016.

The 2017 appropriation includes $6,561,000 for 2016 and $62,811,000 $60,530,000 for
2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 9.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 4, as
amended by Laws 2016, chapter 189, article 34, section 6, is amended to read:

Subd. 4.

Literacy incentive aid.

For literacy incentive aid under Minnesota Statutes,
section 124D.98:

	$	44,538,000	.....	2016
	$	45,855,000 45,803,000	.....	2017

The 2016 appropriation includes $4,683,000 for 2015 and $39,855,000 for 2016.

The 2017 appropriation includes $4,428,000 for 2016 and $41,427,000 $41,375,000 for
2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 10.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 5,
as amended by Laws 2016, chapter 189, article 34, section 7, is amended to read:

Subd. 5.

Interdistrict desegregation or integration transportation grants.

For
interdistrict desegregation or integration transportation grants under Minnesota Statutes,
section 124D.87:

	$	14,423,000	.....	2016
	$	15,193,000 13,496,000	.....	2017

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 11.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 7,
as amended by Laws 2016, chapter 189, article 34, section 8, is amended to read:

Subd. 7.

Tribal contract schools.

For tribal contract school aid under Minnesota Statutes,
section 124D.83:

	$	3,539,000	.....	2016
	$	3,715,000 3,278,000	.....	2017

The 2016 appropriation includes $204,000 for 2015 and $3,335,000 for 2016.

The 2017 appropriation includes $370,000 for 2016 and $3,345,000 $2,908,000 for
2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 12.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 11,
as amended by Laws 2016, chapter 189, article 34, section 9, is amended to read:

Subd. 11.

American Indian education aid.

For American Indian education aid under
Minnesota Statutes, section 124D.81, subdivision 2a:

	$	7,740,000	.....	2016
	$	8,878,000 8,838,000	.....	2017

The 2016 appropriation includes $0 for 2015 and $7,740,000 for 2016.

The 2017 appropriation includes $860,000 for 2016 and $8,018,000 $7,978,000 for
2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 13.

Laws 2015, First Special Session chapter 3, article 4, section 9, subdivision 2, as
amended by Laws 2016, chapter 189, article 28, section 10, is amended to read:

Subd. 2.

Charter school building lease aid.

For building lease aid under Minnesota
Statutes, section 124E.22:

	$	63,540,000	.....	2016
	$	70,132,000 68,046,000	.....	2017

The 2016 appropriation includes $6,032,000 for 2015 and $57,508,000 for 2016.

The 2017 appropriation includes $6,389,000 for 2016 and $63,743,000 $61,657,000 for
2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

C. SPECIAL EDUCATION

Sec. 14.

Laws 2015, First Special Session chapter 3, article 5, section 30, subdivision 2,
as amended by Laws 2016, chapter 189, article 29, section 15, is amended to read:

Subd. 2.

Special education; regular.

For special education aid under Minnesota Statutes,
section 125A.75:

	$	1,183,619,000	.....	2016
	$	1,247,107,000 1,258,250,000	.....	2017

The 2016 appropriation includes $137,932,000 for 2015 and $1,045,687,000 for 2016.

The 2017 appropriation includes $147,202,000 for 2016 and $1,099,905,000
$1,111,048,000 for 2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 15.

Laws 2015, First Special Session chapter 3, article 5, section 30, subdivision 3,
as amended by Laws 2016, chapter 189, article 34, section 10, is amended to read:

Subd. 3.

Travel for home-based services.

For aid for teacher travel for home-based
services under Minnesota Statutes, section 125A.75, subdivision 1:

	$	416,000	.....	2016
	$	435,000 482,000	.....	2017

The 2016 appropriation includes $35,000 for 2015 and $381,000 for 2016.

The 2017 appropriation includes $42,000 for 2016 and $393,000 $440,000 for 2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 16.

Laws 2015, First Special Session chapter 3, article 5, section 30, subdivision 5,
as amended by Laws 2016, chapter 189, article 34, section 11, is amended to read:

Subd. 5.

Aid for children with disabilities.

For aid under Minnesota Statutes, section
125A.75, subdivision 3, for children with disabilities placed in residential facilities within
the district boundaries for whom no district of residence can be determined:

	$	1,307,000	.....	2016
	$	1,516,000 1,390,000	.....	2017

If the appropriation for either year is insufficient, the appropriation for the other year is
available.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 17.

Laws 2015, First Special Session chapter 3, article 5, section 30, subdivision 6,
is amended to read:

Subd. 6.

Court-placed special education revenue.

For reimbursing serving school
districts for unreimbursed eligible expenditures attributable to children placed in the serving
school district by court action under Minnesota Statutes, section 125A.79, subdivision 4:

	$	56,000	.....	2016
	$	57,000 45,000	.....	2017

EFFECTIVE DATE.

This section is effective the day following final enactment.

D. FACILITIES AND TECHNOLOGY

Sec. 18.

Laws 2015, First Special Session chapter 3, article 6, section 13, subdivision 2,
as amended by Laws 2016, chapter 189, article 30, section 23, is amended to read:

Subd. 2.

Long-term facilities maintenance equalization equalized aid.

For long-term
facilities maintenance equalization equalized aid under Minnesota Statutes, section 123B.595:

	$	0	.....	2016
	$	52,844,000 50,571,000	.....	2017

The 2017 appropriation includes $0 for 2016 and $52,844,000 $50,571,000 for 2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 19.

Laws 2015, First Special Session chapter 3, article 6, section 13, subdivision 3,
as amended by Laws 2016, chapter 189, article 34, section 12, is amended to read:

Subd. 3.

Debt service equalization.

For debt service aid according to Minnesota Statutes,
section 123B.53, subdivision 6:

	$	20,349,000	.....	2016
	$	22,926,000 20,406,000	.....	2017

The 2016 appropriation includes $2,295,000 for 2015 and $18,054,000 for 2016.

The 2017 appropriation includes $2,005,000 for 2016 and $20,921,000 $18,401,000 for
2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

E. NUTRITION

Sec. 20.

Laws 2015, First Special Session chapter 3, article 7, section 7, subdivision 2, as
amended by Laws 2016, chapter 189, article 27, section 18, is amended to read:

Subd. 2.

School lunch.

For school lunch aid according to Minnesota Statutes, section
124D.111, and Code of Federal Regulations, title 7, section 210.17:

	$	16,251,000	.....	2016
	$	16,775,000 16,234,000	.....	2017

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 21.

Laws 2015, First Special Session chapter 3, article 7, section 7, subdivision 3, as
amended by Laws 2016, chapter 189, article 27, section 19, is amended to read:

Subd. 3.

School breakfast.

For traditional school breakfast aid under Minnesota Statutes,
section 124D.1158:

	$	9,457,000	.....	2016
	$	10,365,000 9,869,000	.....	2017

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 22.

Laws 2015, First Special Session chapter 3, article 7, section 7, subdivision 4, as
amended by Laws 2016, chapter 189, article 34, section 15, is amended to read:

Subd. 4.

Kindergarten milk.

For kindergarten milk aid under Minnesota Statutes,
section 124D.118:

	$	788,000	.....	2016
	$	788,000 758,000	.....	2017

EFFECTIVE DATE.

This section is effective the day following final enactment.

F. EARLY CHILDHOOD EDUCATION

Sec. 23.

Laws 2015, First Special Session chapter 3, article 9, section 8, subdivision 5, as
amended by Laws 2016, chapter 189, article 34, section 16, is amended to read:

Subd. 5.

Early childhood family education aid.

For early childhood family education
aid under Minnesota Statutes, section 124D.135:

	$	27,948,000	.....	2016
	$	29,336,000 28,944,000	.....	2017

The 2016 appropriation includes $2,713,000 for 2015 and $25,235,000 for 2016.

The 2017 appropriation includes $2,803,000 for 2016 and $26,533,000 $26,141,000 for
2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 24.

Laws 2015, First Special Session chapter 3, article 9, section 8, subdivision 6, as
amended by Laws 2016, chapter 189, article 34, section 17, is amended to read:

Subd. 6.

Developmental screening aid.

For developmental screening aid under
Minnesota Statutes, sections 121A.17 and 121A.19:

	$	3,477,000	.....	2016
	$	3,488,000 3,573,000	.....	2017

The 2016 appropriation includes $338,000 for 2015 and $3,139,000 for 2016.

The 2017 appropriation includes $348,000 for 2016 and $3,140,000 $3,225,000 for
2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 25.

Laws 2015, First Special Session chapter 3, article 10, section 3, subdivision 2,
as amended by Laws 2016, chapter 189, article 34, section 18, is amended to read:

Subd. 2.

Community education aid.

For community education aid under Minnesota
Statutes, section 124D.20:

	$	790,000	.....	2016
	$	553,000 555,000	.....	2017

The 2016 appropriation includes $107,000 for 2015 and $683,000 for 2016.

The 2017 appropriation includes $75,000 for 2016 and $478,000 $480,000 for 2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

G. SELF-SUFFICIENCY AND LIFELONG LEARNING

Sec. 26.

Laws 2015, First Special Session chapter 3, article 11, section 3, subdivision 2,
as amended by Laws 2016, chapter 189, article 34, section 19, is amended to read:

Subd. 2.

Adult basic education aid.

For adult basic education aid under Minnesota
Statutes, section 124D.531:

	$	48,231,000	.....	2016
	$	49,683,000 48,762,000	.....	2017

The 2016 appropriation includes $4,782,000 for 2015 and $43,449,000 for 2016.

The 2017 appropriation includes $4,827,000 for 2016 and $44,856,000 $43,935,000 for
2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

APPENDIX

Repealed Minnesota Statutes: 17-4725

122A.09 DUTIES.

Subd. 5.

Commissioner's representative to comment on proposed rule.

Before the Board of Teaching adopts any rule that must be submitted to public hearing, a representative of the commissioner shall appear before the Board of Teaching and at the hearing required under section 14.14, subdivision 1, to comment on the cost and educational implications of that proposed rule.

Subd. 8.

Fraud; gross misdemeanor.

A person who claims to be a licensed teacher without a valid existing license issued by the board or any person who employs fraud or deception in applying for or securing a license is guilty of a gross misdemeanor.

Subd. 11.

Teacher preparation program reporting.

By December 31, 2018, and annually thereafter, the Board of Teaching shall report and publish on its Web site the cumulative summary results of at least three consecutive years of data reported to the board under subdivision 4a, paragraph (b). Where the data are sufficient to yield statistically reliable information and the results would not reveal personally identifiable information about an individual teacher, the board shall report the data by teacher preparation program.

122A.14 DUTIES OF BOARD OF SCHOOL ADMINISTRATORS.

Subd. 5.

Commissioner's representative to comment on proposed rule.

Before adopting any rule that must be submitted to public hearing, a representative of the commissioner of education shall appear before the board and at any hearing required under section 14.14, subdivision 1, to comment on the cost and educational implications of the proposed rule.

122A.162 LICENSURE RULES.

The commissioner may make rules relating to licensure of school personnel not licensed by the Board of Teaching or Board of School Administrators.

122A.163 TEACHER RULE VARIANCES; COMMISSIONER.

Notwithstanding any law to the contrary, and only upon receiving the agreement of the State Board of Teaching or Board of School Administrators, whichever has jurisdiction over the licensure, the commissioner of education may grant a variance to rules governing licensure of persons licensed by the Board of Teaching or Board of School Administrators, whichever has jurisdiction.

122A.18 BOARD TO ISSUE LICENSES.

Subd. 2a.

Reading strategies.

(a) All colleges and universities approved by the Board of Teaching to prepare persons for classroom teacher licensure must include in their teacher preparation programs research-based best practices in reading, consistent with section 122A.06, subdivision 4, that enable the licensure candidate to know how to teach reading in the candidate's content areas. Teacher candidates must be instructed in using students' native languages as a resource in creating effective differentiated instructional strategies for English learners developing literacy skills. These colleges and universities also must prepare early childhood and elementary teacher candidates for professional five-year teaching licenses for the portion of the examination under section 122A.09, subdivision 4, paragraph (e), covering assessment of reading instruction.

(b) Board-approved teacher preparation programs for teachers of elementary education must require instruction in applying comprehensive, scientifically based, and balanced reading instruction programs that:

(1) teach students to read using foundational knowledge, practices, and strategies consistent with section 122A.06, subdivision 4, so that all students achieve continuous progress in reading; and

(2) teach specialized instruction in reading strategies, interventions, and remediations that enable students of all ages and proficiency levels to become proficient readers.

(c) Nothing in this section limits the authority of a school district to select a school's reading program or curriculum.

Subd. 3.

Supervisory and coach qualifications; code of ethics.

The commissioner of education must issue licenses under its jurisdiction to persons the commissioner finds to be qualified and competent for their respective positions under the rules it adopts. The commissioner of education may develop, by rule, a code of ethics for supervisory personnel covering standards of professional practices, including areas of ethical conduct and professional performance and methods of enforcement.

Subd. 3a.

Technology strategies.

All colleges and universities approved by the Board of Teaching to prepare persons for classroom teacher licensure must include in their teacher preparation programs the knowledge and skills teacher candidates need to deliver digital and blended learning and curriculum and engage students with technology.

Subd. 4.

Expiration and renewal.

(a) Each license the Department of Education issues through its licensing section must bear the date of issue and the name of the state-approved teacher training provider. Licenses must expire and be renewed according to the respective rules the Board of Teaching, the Board of School Administrators, or the commissioner of education adopts. Requirements for renewing a license must include showing satisfactory evidence of successful teaching or administrative experience for at least one school year during the period covered by the license in grades or subjects for which the license is valid or completing such additional preparation as the Board of Teaching prescribes. The Board of School Administrators shall establish requirements for renewing the licenses of supervisory personnel except athletic coaches. The State Board of Teaching shall establish requirements for renewing the licenses of athletic coaches.

(b) Applicants for license renewal who have been employed as a teacher during the renewal period of their expiring license, as a condition of license renewal, must present to their local continuing education and relicensure committee or other local relicensure committee evidence of work that demonstrates professional reflection and growth in best teaching practices, including among other things, practices in meeting the varied needs of English learners, from young children to adults under section 124D.59, subdivisions 2 and 2a. The applicant must include a reflective statement of professional accomplishment and the applicant's own assessment of professional growth showing evidence of:

(1) support for student learning;

(2) use of best practices techniques and their applications to student learning;

(3) collaborative work with colleagues that includes examples of collegiality such as attested-to committee work, collaborative staff development programs, and professional learning community work; or

(4) continual professional development that may include (i) job-embedded or other ongoing formal professional learning or (ii) for teachers employed for only part of the renewal period of their expiring license, other similar professional development efforts made during the relicensure period.

The Board of Teaching must ensure that its teacher relicensing requirements also include this paragraph.

(c) The Board of Teaching shall offer alternative options for license renewal for teachers who are accepted into and complete the National Board for Professional Teaching Standards certification process, and offer additional continuing relicensure options for teachers who earn National Board for Professional Teaching Standards certification. Continuing relicensure requirements for teachers who do not maintain National Board for Professional Teaching Standards certification are those the board prescribes, consistent with this section.

Subd. 4a.

Limited provisional licenses.

The board may grant two-year provisional licenses to licensure candidates in a field in which they were not previously licensed or in a field in which a shortage of licensed teachers exists. A shortage is defined as an inadequate supply of licensed personnel in a given licensure area as determined by the commissioner.

Subd. 6.

Human relations.

The Board of Teaching shall accept training programs completed through Peace Corps, VISTA, or Teacher Corps in lieu of completing the human relations component of the training program for purposes of issuing or renewing a teaching license.

Subd. 7.

Limited provisional licenses.

The Board of Teaching may grant provisional licenses, which shall be valid for two years, in fields in which licenses were not issued previously or in fields in which a shortage of licensed teachers exists. A shortage is defined as a lack of or an inadequate supply of licensed personnel within a given licensure area in a school district that has notified the Board of Teaching of the shortage and has applied to the Board of Teaching for provisional licenses for that district's licensed staff.

Subd. 7b.

Temporary limited licenses; personnel variances.

(a) The Board of Teaching must accept applications for a temporary limited teaching license beginning July 1 of the school year for which the license is requested and must issue or deny the temporary limited teaching license within 30 days of receiving the complete application.

(b) The Board of Teaching must accept applications for a personnel variance beginning July 1 of the school year for which the variance is requested and must issue or deny the personnel variance within 30 days of receiving the complete application.

122A.21 TEACHERS' AND ADMINISTRATORS' LICENSES; FEES.

Subd. 2.

Licensure via portfolio.

(a) An eligible candidate may use licensure via portfolio to obtain a professional five-year teaching license or to add a licensure field, consistent with applicable Board of Teaching licensure rules.

(b) A candidate for a professional five-year teaching license must submit to the Educator Licensing Division at the department one portfolio demonstrating pedagogical competence and one portfolio demonstrating content competence.

(c) A candidate seeking to add a licensure field must submit to the Educator Licensing Division at the department one portfolio demonstrating content competence.

(d) The Board of Teaching must notify a candidate who submits a portfolio under paragraph (b) or (c) within 90 calendar days after the portfolio is received whether or not the portfolio was approved. If the portfolio was not approved, the board must immediately inform the candidate how to revise the portfolio to successfully demonstrate the requisite competence. The candidate may resubmit a revised portfolio at any time and the Educator Licensing Division at the department must approve or disapprove the portfolio within 60 calendar days of receiving it.

(e) A candidate must pay to the executive secretary of the Board of Teaching a $300 fee for the first portfolio submitted for review and a $200 fee for any portfolio submitted subsequently. The revenue generated from the fee must be deposited in an education licensure portfolio account in the special revenue fund. The fees set by the Board of Teaching are nonrefundable for applicants not qualifying for a license. The Board of Teaching may waive or reduce fees for candidates based on financial need.

122A.23 APPLICANTS TRAINED IN OTHER STATES.

Subdivision 1.

Preparation equivalency.

When a license to teach is authorized to be issued to any holder of a diploma or a degree of a Minnesota state university, or of the University of Minnesota, or of a liberal arts university, or a technical training institution, such license may also, in the discretion of the Board of Teaching, be issued to any holder of a diploma or a degree of a teacher training institution of equivalent rank and standing of any other state. The diploma or degree must be granted by virtue of completing coursework in teacher preparation as preliminary to the granting of a diploma or a degree of the same rank and class. For purposes of granting a Minnesota teaching license to a person who receives a diploma or degree from a state-accredited, out-of-state teacher training program leading to licensure, the Board of Teaching must establish criteria and streamlined policies and procedures by January 1, 2016, to recognize the experience and professional credentials of the person holding the out-of-state diploma or degree and allow that person to demonstrate to the board the person's qualifications for receiving a Minnesota teaching license based on performance measures the board adopts by January 1, 2016, under this section.

Subd. 2.

Applicants licensed in other states.

(a) Subject to the requirements of sections 122A.18, subdivision 8, and 123B.03, the Board of Teaching must issue a professional five-year teaching license or an initial professional one-year teaching license under paragraphs (c) to (f) to an applicant who holds at least a baccalaureate degree from a regionally accredited college or university and holds or held an out-of-state teaching license that requires the applicant to successfully complete a teacher preparation program approved by the issuing state, which includes either (1) field-specific teaching methods, student teaching, or equivalent experience, or (2) at least two years of teaching experience as the teacher of record in a similar licensure area.

(b) The Board of Teaching may issue a professional five-year teaching license on the basis of teaching experience and examination requirements only.

(c) The Board of Teaching must issue a professional five-year 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 a similar content field and grade levels if the scope of the out-of-state license is no more than two grade levels less than a similar Minnesota license, and either (i) has completed field-specific teaching methods, student teaching, or equivalent experience, or (ii) has at least two years of teaching experience as the teacher of record in a similar licensure area.

(d) The Board of Teaching, consistent with board rules and paragraph (i), must issue up to four initial professional one-year teaching licenses to an applicant who holds or held an out-of-state teaching license to teach a similar licensure area and grade levels, where the scope of the out-of-state license is no more than two grade levels less than a similar Minnesota license, but has not successfully completed all exams and human relations preparation components required by the Board of Teaching. The board must issue a professional five-year teaching license to an applicant who successfully completes the requirements under this paragraph.

(e) The Board of Teaching, consistent with board rules, must issue up to four initial professional one-year 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 a similar licensure area and grade levels, where the scope of the out-of-state license is no more than two grade levels 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 by successfully participating in a one-year school district mentorship program consistent with board-adopted standards of effective practice and Minnesota graduation requirements. If no school district mentorship program is available, the applicant must complete field-specific teaching methods coursework while serving as a teacher of record and providing classroom instruction in the applicant's field of licensure. The board must issue a professional five-year teaching license to an applicant who successfully completes the requirements under this paragraph.

(f) The Board of Teaching must issue to an applicant with an out-of-state teaching license up to four initial professional one-year teaching licenses that are restricted in content or grade levels specified in the out-of-state license if the applicant's out-of-state teaching license is more limited than a similar Minnesota license in content field or grade levels. The Board of Teaching must issue a professional five-year teaching license to an applicant who successfully completes all exams and human relations preparation components required by the Board of Teaching. Any content or grade level restriction placed on a license under this paragraph remains in effect.

(g) The Board of Teaching may issue a two-year provisional permission to an applicant under this subdivision to teach in a shortage area, consistent with section 122A.18, subdivision 4a.

(h) The Board of Teaching may issue a license under this subdivision if the applicant has attained the additional degrees, credentials, or licenses required in a particular licensure field and the applicant can demonstrate competency by obtaining qualifying scores on the board-adopted skills examination in reading, writing, and mathematics, and on applicable board-adopted rigorous content area and pedagogy examinations under section 122A.09, subdivision 4, paragraphs (a) and (e).

(i) The Board of Teaching must require an applicant for a professional five-year teaching license or an initial professional one-year teaching license under this subdivision to pass a board-adopted skills examination in reading, writing, and mathematics before the board issues the license unless, notwithstanding other provisions of this subdivision, an applicable board-approved National Association of State Directors of Teacher Education and Certification interstate agreement exists to allow fully certified teachers from other states to transfer their certification to Minnesota.

122A.245 ALTERNATIVE TEACHER PREPARATION PROGRAM AND PRELIMINARY TEACHER LICENSE.

Subdivision 1.

Requirements.

(a) To improve academic excellence, improve ethnic and cultural diversity in the classroom, and close the academic achievement gap, the Board of Teaching must approve qualified teacher preparation programs under this section that are a means to acquire a two-year preliminary teacher license, which the board may renew one time for an additional one-year term, and to prepare for acquiring a professional five-year license. The following entities are eligible to participate under this section:

(1) a school district, charter school, or nonprofit corporation organized under chapter 317A for an education-related purpose that forms a partnership with a college or university that has a board-approved alternative teacher preparation program; or

(2) a school district or charter school, after consulting with a college or university with a board-approved teacher preparation program, that forms a partnership with a nonprofit corporation organized under chapter 317A for an education-related purpose that has a board-approved teacher preparation program.

(b) Before becoming a teacher of record, a candidate must:

(1) have a bachelor's degree with a 3.0 or higher grade point average unless the board waives the grade point average requirement based on board-adopted criteria adopted by January 1, 2016;

(2) demonstrate a passing score on a board-adopted reading, writing, and mathematics skills examination under section 122A.09, subdivision 4, paragraph (b); and

(3) obtain qualifying scores on applicable board-approved rigorous content area and pedagogy examinations under section 122A.09, subdivision 4, paragraph (e).

(c) The Board of Teaching must issue a two-year preliminary teacher license to a person who enrolls in an alternative teacher preparation program.

Subd. 2.

Characteristics.

An alternative teacher preparation program under this section must include:

(1) a minimum 200-hour instructional phase that provides intensive preparation and student teaching before the teacher candidate assumes classroom responsibilities;

(2) a research-based and results-oriented approach focused on best teaching practices to increase student proficiency and growth measured against state academic standards;

(3) strategies to combine pedagogy and best teaching practices to better inform teacher candidates' classroom instruction;

(4) assessment, supervision, and evaluation of teacher candidates to determine their specific needs throughout the program and to support their efforts to successfully complete the program;

(5) intensive, ongoing, and multiyear professional learning opportunities that accelerate teacher candidates' professional growth, support student learning, and provide a workplace orientation, professional staff development, and mentoring and peer review focused on standards of professional practice and continuous professional growth; and

(6) a requirement that teacher candidates demonstrate to the local site team under subdivision 5 satisfactory progress toward acquiring professional five-year teaching licenses from the Board of Teaching.

Subd. 3.

Program approval; disapproval.

(a) The Board of Teaching must approve alternative teacher preparation programs under this section based on board-adopted criteria that reflect best practices for alternative teacher preparation programs, consistent with this section.

(b) The board must permit teacher candidates to demonstrate mastery of pedagogy and content standards in school-based settings and through other nontraditional means. "Nontraditional means" must include a portfolio of previous experiences, teaching experience, educator evaluations, certifications marking the completion of education training programs, and essentially equivalent demonstrations.

(c) The board must use nontraditional criteria to determine the qualifications of program instructors.

(d) The board may permit instructors to hold a baccalaureate degree only.

(e) If the Board of Teaching determines that a teacher preparation program under this section does not meet the requirements of this section, it may revoke its approval of the program after it notifies the program provider of any deficiencies and gives the program provider an opportunity to remedy the deficiencies.

Subd. 4.

Employment conditions.

Where applicable, teacher candidates with a preliminary teacher license under this section are members of the local employee organization representing teachers and subject to the terms of the local collective bargaining agreement between the exclusive representative of the teachers and the school board. A collective bargaining agreement between a school board and the exclusive representative of the teachers must not prevent or restrict or otherwise interfere with a school district's ability to employ a teacher prepared under this section.

Subd. 5.

Approval for professional five-year license.

A school board or its designee must appoint members to a local site team that includes teachers, school administrators, and postsecondary faculty under subdivision 1, paragraph (a), clause (1), or staff of a participating nonprofit corporation under subdivision 1, paragraph (a), clause (2), to evaluate the performance of the teacher candidate. The evaluation must be consistent with board-adopted performance measures, use the Minnesota state standards of effective practice and subject matter content standards for teachers established in Minnesota Rules, and include a report to the board recommending whether or not to issue the teacher candidate a professional five-year teaching license.

Subd. 6.

Applicants trained in other states.

A person who successfully completes another state's alternative teacher preparation program, consistent with section 122A.23, may apply to the Board of Teaching for an initial professional one-year teaching license or a professional five-year teaching license.

Subd. 7.

Professional five-year license.

The Board of Teaching must issue a professional five-year teaching license to an otherwise qualified teacher candidate under this section who successfully performs throughout a program under this section, obtains qualifying scores on applicable board-adopted rigorous skills, pedagogy, and content area examinations under section 122A.09, subdivision 4, paragraphs (a) and (e), and is recommended for licensure under subdivision 5 or successfully demonstrates to the board qualifications for licensure under subdivision 6.

Subd. 8.

Qualified teacher.

A person holding a valid limited-term license under this section is a qualified teacher and the teacher of record under section 122A.16.

Subd. 9.

Exchange of best practices.

By July 31 in an even-numbered year, approved alternative preparation program providers, the Minnesota State Colleges and Universities, the University of Minnesota, the Minnesota Private College Council, and the Department of Education must exchange information about best practices and educational innovations.

Subd. 10.

Reports.

The Board of Teaching must submit an interim report on the efficacy of this program to the policy and finance committees of the legislature with jurisdiction over kindergarten through grade 12 education by February 15, 2013, and a final report by February 15, 2015.

122A.25 NONLICENSED COMMUNITY EXPERTS; VARIANCE.

Subdivision 1.

Authorization.

Notwithstanding any law or commissioner of education rule to the contrary, the Board of Teaching may allow school districts or charter schools to hire nonlicensed community experts to teach in the public schools or charter schools on a limited basis according to this section.

Subd. 2.

Applications; criteria.

The school district or charter school shall apply to the Board of Teaching for approval to hire nonlicensed teaching personnel from the community. In approving or disapproving the application for each community expert, the board shall consider:

(1) the qualifications of the community person whom the district or charter school proposes to employ;

(2) the reasons for the need for a variance from the teacher licensure requirements;

(3) the district's efforts to obtain licensed teachers, who are acceptable to the school board, for the particular course or subject area or the charter school's efforts to obtain licensed teachers for the particular course or subject area;

(4) the amount of teaching time for which the community expert would be hired;

(5) the extent to which the district or charter school is utilizing other nonlicensed community experts under this section;

(6) the nature of the community expert's proposed teaching responsibility; and

(7) the proposed level of compensation to the community expert.

Subd. 3.

Approval of plan.

The Board of Teaching shall approve or disapprove an application within 60 days of receiving it from a school district or charter school.

Subd. 4.

Background check.

A school district or charter school shall provide the Board of Teaching with confirmation that criminal background checks have been completed for all nonlicensed community experts employed by the district or charter school and approved by the Board of Teaching under this section.

122A.40 EMPLOYMENT; CONTRACTS; TERMINATION.

Subd. 11.

Unrequested leave of absence.

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, the board is governed by the following provisions:

(a) 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;

(b) 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;

(c) Notwithstanding the provisions of paragraph (b), 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 paragraph do not apply to vocational education licenses;

(d) Notwithstanding paragraphs (a), (b), and (c), 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 paragraph (c) 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;

(e) 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;

(f) 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;

(g) A teacher placed on unrequested leave of absence may engage in teaching or any other occupation during the period of this leave;

(h) 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;

(i) 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;

(j) 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;

(k) 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.

122A.41 TEACHER TENURE ACT; CITIES OF THE FIRST CLASS; DEFINITIONS.

Subd. 14.

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

(a) 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. In the event it becomes necessary to discontinue one or more positions, in making such discontinuance, teachers must be discontinued in any department 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) 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.

(c) 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.

123A.73 LEVY LIMITATIONS OF REORGANIZED DISTRICTS.

Subd. 3.

Voluntary dissolution; referendum revenue.

As of the effective date of the voluntary dissolution of a district and its attachment to one or more existing districts pursuant to section 123A.46, the authorization for all referendum revenues previously approved by the voters of all affected districts for those districts pursuant to section 126C.17, subdivision 9, or its predecessor provision, is canceled. However, if all of the territory of any independent district is included in the enlarged district, and if the adjusted net tax capacity of taxable property in that territory comprises 90 percent or more of the adjusted net tax capacity of all taxable property in an enlarged district, the enlarged district's referendum revenue shall be determined as follows:

The referendum revenue shall be the revenue per adjusted pupil unit times the number of adjusted pupil units in the enlarged district. Any new referendum revenue shall be authorized only after approval is granted by the voters of the entire enlarged district in an election pursuant to section 126C.17, subdivision 9.

124D.73 DEFINITIONS.

Subd. 2.

American Indian child.

"American Indian child" means any child, living on or off a reservation, who is enrolled or eligible for enrollment in a federally recognized tribe.

125A.75 SPECIAL EDUCATION PROGRAMS; APPROVAL; AID PAYMENTS; TRAVEL AID; LITIGATION COSTS.

Subd. 7.

Allocation from cooperative centers, service cooperatives, education districts, and intermediate districts.

For purposes of this section, a special education cooperative, service cooperative, education district, or an intermediate district must allocate its approved expenditures for special education programs among participating districts. Special education aid for services provided by a cooperative, service cooperative, education district, or intermediate district must be paid to the participating school districts.

125A.76 SPECIAL EDUCATION AID.

Subd. 2b.

Cross subsidy reduction aid.

For fiscal years 2014 and 2015, the cross subsidy reduction aid for a school district, not including a charter school, equals the lesser of (a) the product of the cross subsidy reduction aid limit and the district's average daily membership served or (b) the sum of the product of the cross subsidy reduction aid percentage, the district's average daily membership served, and the sum of:

(1) $450; plus

(2) $400 times the ratio of the sum of the number of pupils enrolled on October 1 who are eligible to receive free lunch plus one-half of the pupils enrolled on October 1 who are eligible to receive reduced-price lunch to the total October 1 enrollment; plus

(3) .008 times the district's average daily membership served; plus the product of the cross subsidy aid percentage and the sum of:

(i) $10,100 times the December 1 child count for the primary disability areas of autism spectrum disorders, developmental delay, and severely multiply impaired; plus

(ii) $17,500 times the December 1 child count for the primary disability areas of deaf and hard-of-hearing and emotional or behavioral disorders; plus

(iii) $26,000 times the December 1 child count for the primary disability areas of developmentally cognitive mild-moderate, developmentally cognitive severe-profound, physically impaired, visually impaired, and deafblind.

129C.10 PERPICH CENTER FOR ARTS EDUCATION.

Subd. 5a.

Interdistrict voluntary integration magnet program.

Notwithstanding Minnesota Rules, parts 3535.0110 and 3535.0150, the board may establish and operate an interdistrict integration magnet program according to section 129C.30. For fiscal year 2016 and later, the board must have an approved achievement and integration plan and budget under section 124D.861.

129C.30 CROSSWINDS INTEGRATION MAGNET SCHOOL.

Subdivision 1.

Definitions.

(a) The following terms have the meanings given them for this chapter.

(b) "Board" means the board of directors of the Perpich Center for Arts Education.

(c) "Crosswinds school" means the Crosswinds school in Woodbury operated during the 2012-2013 school year by Joint Powers District No. 6067, East Metro Integration District.

Subd. 2.

Board to operate the Crosswinds school.

The board may operate the Crosswinds school with the powers and duties granted to it under this chapter. A student may apply to the Crosswinds school under section 124D.03 and the Crosswinds school may accept students under that section.

Subd. 3.

General education funding.

General education revenue must be paid to the Crosswinds school as though it were a district. The general education revenue for each adjusted pupil unit is the state average general education revenue per pupil unit, plus the referendum equalization aid allowance in the pupil's district of residence, minus an amount equal to the product of the formula allowance according to section 126C.10, subdivision 2, times .0466, calculated without declining enrollment, basic skills revenue, extended time revenue, pension adjustment revenue, transition revenue, and transportation sparsity revenue, plus declining enrollment, basic skills revenue, extended time revenue, pension adjustment revenue, and transition revenue as though the school were a school district. The general education revenue for each extended time pupil unit equals $4,794.

Subd. 4.

Special education funding.

Special education aid must be paid to the Crosswinds school according to sections 125A.76 and 125A.79, as though it were a school district. The special education aid paid to the Crosswinds school shall be adjusted as follows:

(1) if the Crosswinds school does not receive general education revenue on behalf of the student according to subdivision 3, the aid shall be adjusted as provided in section 125A.11; or

(2) if the Crosswinds school receives general education revenue on behalf of the student according to subdivision 3, the aid shall be adjusted as provided in section 127A.47, subdivision 7, paragraphs (b) to (d).

Subd. 5.

Pupil transportation.

(a) For fiscal year 2015 only, a member district of Joint Powers District No. 6067, East Metro Integration District, must transport pupils enrolled at the Crosswinds school in the same manner as they were transported in fiscal year 2014.

(b) Pupil transportation expenses under this section are reimbursable under section 124D.87.

Subd. 6.

Achievement and integration aid.

For fiscal year 2016 and later, the Crosswinds school is eligible for achievement and integration aid under section 124D.862 as if it were a school district.

Subd. 7.

Other aids, grants, revenue.

(a) The Crosswinds school is eligible to receive other aids, grants, and revenue according to chapters 120A to 129C as though it were a district.

(b) Notwithstanding paragraph (a), the Crosswinds school may not receive aid, a grant, or revenue if a levy is required to obtain the money, or if the aid, grant, or revenue replaces levy revenue that is not general education revenue, except as otherwise provided in this section.

(c) Federal aid received by the state must be paid to the school if it qualifies for the aid as though it were a school district.

(d) In the year-end report to the commissioner of education, the Crosswinds school shall report the total amount of funds received from grants and other outside sources.

Subd. 8.

Year-round programming.

The Crosswinds school may operate as a flexible learning year program under sections 124D.12 to 124D.127.

Subd. 9.

Data requirements.

The commissioner of education shall require the Crosswinds school to follow the budget and accounting procedures required for school districts and the Crosswinds school shall report all data to the Department of Education in the form and manner required by the commissioner.

Repealed Minnesota Rule: 17-4725

3500.3100 ISSUANCE OF GENERAL EDUCATIONAL DEVELOPMENT (GED) DIPLOMA.

Subp. 4.

General Educational Development (GED) diploma.

The commissioner of education may issue a General Educational Development (GED) diploma to a Minnesota resident 19 years of age or over who has not earned a high school diploma and who has not previously been issued a GED if:

A.

the person makes written application through any of the approved GED testing centers located in Minnesota; and

B.

the person obtains a minimum standard score of 410 on each of the five GED tests and an average standard score of at least 450 on all five tests or the minimum standard scores required by the GED testing service, whichever is greater.

GED tests must be administered only by official agencies established by the American Council on Education and approved by the commissioner of education.

The commissioner of education may waive the minimum age requirement if supportive evidence is provided by an employer or a recognized education or rehabilitation provider.