HF 2043

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to education; changing the calculation of
marginal cost pupil units and equalized debt service
levy; amending Minnesota Statutes 2004, sections
126C.05, subdivisions 5, 6; 123B.53, subdivision 5.

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

Section 1.

Minnesota Statutes 2004, section 126C.05,
subdivision 5, is amended to read:

Subd. 5.

Adjusted pupil units.

(a) Adjusted pupil units
for a district or charter school means the sum of:

(1) the number of pupil units served, according to
subdivision 7, plus

(2) pupil units according to subdivision 1 for whom the
district or charter school 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, minus

(3) pupil units according to subdivision 1 for whom the
district or charter school receives 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.

(b) Adjusted marginal cost pupil units means the greater of:

(1) the deleted text begin sum of .77 times the deleted text end new text begin number of adjusted new text end pupil units
defined in paragraph (a) for the deleted text begin current deleted text end new text begin 2004-2005 new text end school year
deleted text begin and .23 times the pupil units defined in paragraph (a) for the
previous school year deleted text end ; or

(2) the number of adjusted pupil units defined in paragraph
(a) for the current school year.

Sec. 2.

Minnesota Statutes 2004, section 126C.05,
subdivision 6, is amended to read:

Subd. 6.

Resident pupil units.

(a) Resident pupil units
for a district means the number of pupil units according to
subdivision 1 residing in the district.

(b) Resident marginal cost pupil units means the greater of:

(1) the deleted text begin sum of .77 times the deleted text end new text begin number of adjusted new text end pupil units
defined in paragraph (a) for the deleted text begin current deleted text end new text begin 2004-2005 school new text end year
deleted text begin and .23 times the pupil units defined in paragraph (a) for the
previous school year deleted text end ; or

(2) the number of resident pupil units defined in paragraph
(a) for the current school year.

Sec. 3.

Minnesota Statutes 2004, section 123B.53,
subdivision 5, is amended to read:

Subd. 5.

Equalized debt service levy.

(a) The equalized
debt service levy of a district equals the sum of the first tier
equalized debt service levy and the second tier equalized debt
service levy.

(b) A district's first tier equalized debt service levy
equals the district's first tier debt service equalization
revenue times the lesser of one or the ratio of:

(1) the quotient derived by dividing the adjusted net tax
capacity of the district for the year before the year the levy
is certified by the adjusted new text begin marginal cost new text end pupil units in the
district for the school year ending in the year prior to the
year the levy is certified; to

(2) $3,200.

(c) A district's second tier equalized debt service levy
equals the district's second tier debt service equalization
revenue times the lesser of one or the ratio of:

(1) the quotient derived by dividing the adjusted net tax
capacity of the district for the year before the year the levy
is certified by the adjusted new text begin marginal cost new text end pupil units in the
district for the school year ending in the year prior to the
year the levy is certified; to

(2) $8,000.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with
fiscal year 2006.
new text end