HF 2259

1st Engrossment - 90th Legislature (2017 - 2018) Posted on 03/13/2017 04:09pm

A bill for an act
relating to state government; education finance; establishing the early education
access fund in the Department of Administration; establishing a director of early
education and development within the early education access fund; providing for
enhanced coordination of early education and development programs; authorizing
early education resource hubs; requiring a report; transferring certain early
education programs to the director of early education and development;
appropriating money; proposing coding for new law as Minnesota Statutes, chapter
119C.

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

Section 1.

new text begin [119C.01] DEFINITIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Application. new text end

new text begin The definitions in this section apply to this chapter.
new text end

new text begin Subd. 2. new text end

new text begin Commissioner. new text end

new text begin "Commissioner" means the commissioner of administration.
new text end

new text begin Subd. 3. new text end

new text begin Department. new text end

new text begin "Department" means the Department of Administration.
new text end

new text begin Subd. 4. new text end

new text begin Director. new text end

new text begin "Director" means the director of early education and development.
new text end

new text begin Subd. 5. new text end

new text begin Early education programs. new text end

new text begin "Early education programs" includes:
new text end

new text begin (1) the school readiness program under sections 124D.15 and 124D.16;
new text end

new text begin (2) the voluntary prekindergarten program under section 124D.151;
new text end

new text begin (3) the early learning scholarship program under section 124D.165; and
new text end

new text begin (4) the Head Start program under sections 119A.50 to 119A.545.
new text end

new text begin Subd. 6. new text end

new text begin Fund. new text end

new text begin "Fund" means the early education access fund.
new text end

Sec. 2.

new text begin [119C.015] POLICY AND PURPOSE.
new text end

new text begin (a) The purpose of chapter 119C is to establish an office of early education and
development to coordinate Minnesota's early education and development programs and
funding in accordance with state law.
new text end

new text begin (b) It is in the best interests of Minnesota families that early education and development
programs be coordinated to maximize quality, access, accountability, and cost-effectiveness.
new text end

Sec. 3.

new text begin [119C.02] EARLY EDUCATION ACCESS FUND.
new text end

new text begin The early education access fund is established to coordinate appropriations in support
of children attending high-quality early child care and education programs of their parents'
choice.
new text end

Sec. 4.

new text begin [119C.03] DIRECTOR OF EARLY EDUCATION AND DEVELOPMENT.
new text end

new text begin Subdivision 1. new text end

new text begin Appointment. new text end

new text begin The director of early education and development shall be
appointed by the governor. The commissioner shall provide human resources, payroll,
accounting, procurement, and other similar administrative services to the director. The
director's appointment is subject to the advice and consent of the senate.
new text end

new text begin Subd. 2. new text end

new text begin Qualifications. new text end

new text begin The governor shall select the director on the basis of professional
qualifications and knowledge of early childhood development, early childhood education,
and related public policies. The director serves in the unclassified service for a term of four
years. The first term shall end on December 31, 2020. The governor may remove the director
for cause. If a director resigns or is removed for cause, the governor shall appoint a director
for the remainder of the term.
new text end

new text begin Subd. 3. new text end

new text begin Compensation. new text end

new text begin Compensation of the director shall be established under chapter
15A.
new text end

new text begin Subd. 4. new text end

new text begin Duties; powers. new text end

new text begin (a) The director must:
new text end

new text begin (1) develop early education programs policies;
new text end

new text begin (2) coordinate outreach to eligible families to provide uniform notification about available
program options;
new text end

new text begin (3) align funding streams and streamline the administration of each early education
program for eligible families and children to ensure continuous access to programs;
new text end

new text begin (4) manage a data collection system to support and evaluate a coordinated system of
early child care and education;
new text end

new text begin (5) use the data collection system under clause (4) to calculate the total aid to each child
for the programs listed in section 119C.01, subdivision 5;
new text end

new text begin (6) evaluate the aid limit under section 119C.04, subdivision 3, and recommend changes
to that subdivision;
new text end

new text begin (7) coordinate internal and external evaluation of early child care and education programs
to measure and report on their effectiveness and efficiency;
new text end

new text begin (8) prescribe policies and procedures necessary to administer the early child care and
education programs;
new text end

new text begin (9) develop data-sharing agreements and memoranda of understanding, as necessary,
with the commissioners of administration, education, health, and human services; and
new text end

new text begin (10) serve as executive director of the Children's Cabinet established in section 4.045.
new text end

new text begin (b) In carrying out the duties under paragraph (a), the director shall have the authority
to:
new text end

new text begin (1) direct and control money appropriated to the director; and
new text end

new text begin (2) enter into agreements with other state agencies to provide appropriate funding to
early child care and education programs.
new text end

new text begin Subd. 5. new text end

new text begin Coordination with other agencies. new text end

new text begin (a) The commissioner of education must
administer early education programs in the manner specified by the director.
new text end

new text begin (b) The commissioner of human services must administer the quality rating and
improvement system in the manner specified by the director.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2017.
new text end

Sec. 5.

new text begin [119C.04] FUND AND PROGRAM ADMINISTRATION.
new text end

new text begin Subdivision 1. new text end

new text begin Federal funds. new text end

new text begin The director may apply for, receive, and disburse federal
funds made available to the state by federal law or rule for any purpose consistent with the
powers and duties of the director. The director is authorized to accept any donations or
grants from any public or private concern. All money received by the director must be
deposited in the fund in the state treasury and is appropriated to the director for the purpose
for which it was received.
new text end

new text begin Subd. 2. new text end

new text begin Program requirements. new text end

new text begin (a) In addition to other program requirements, a
program receiving aid or enrolling children under this chapter must participate in the quality
rating and improvement system under section 124D.142.
new text end

new text begin (b) Notwithstanding any law to the contrary, a child must be enrolled at least 350 hours
per year in an eligible program to generate aid under this chapter.
new text end

new text begin Subd. 3. new text end

new text begin Aid limits. new text end

new text begin (a) Notwithstanding any law to the contrary, a child may not generate
annual aid from any combination of programs under this chapter in excess of an amount
equal to the 75th percentile of the market rate survey under section 119B.02, as biennially
adjusted. The director may charge a fee on a sliding scale with consideration for program
quality, program schedule, or family income.
new text end

new text begin (b) For the purposes of the limit under this subdivision, the director must include aid to
a child under the child care assistance program and any federal Head Start aids attributable
to the child.
new text end

new text begin (c) Notwithstanding paragraph (a), the director may waive the aid limit for children
facing extreme hardship or urgent need.
new text end

new text begin Subd. 4. new text end

new text begin Accountability. new text end

new text begin Each child enrolled in a program under this chapter must
receive a kindergarten readiness assessment consistent with section 124D.162.
new text end

new text begin Subd. 5. new text end

new text begin Program aid guarantee. new text end

new text begin (a) For fiscal year 2018 and later, aid for a program
receiving Head Start aid under section 119A.52 or school readiness aid under section 124D.16
must not be less than the amount the program would have received in fiscal year 2017 under
Minnesota Statutes 2016, sections 119A.52 and 124D.16, except that if aid to a program
would cause children enrolled in the program to exceed the limit under subdivision 3, the
director must reduce the aid to that program.
new text end

new text begin (b) Each early education program defined in section 119C.01, subdivision 5, must
continue to receive state funding according to the formulas in statute for that program.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2019.
new text end

Sec. 6.

new text begin [119C.05] EARLY EDUCATION RESOURCE HUBS.
new text end

new text begin (a) The director may establish early education resource hubs throughout the state. The
director shall contract with appropriate organizations to serve as resource hubs.
new text end

new text begin (b) Early education resource hubs must, in consultation with a regionally representative
group of program participant parents, develop strategies to support outreach to families,
connection to resources, and program choice.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2017.
new text end

Sec. 7. new text begin REPORT REQUIRED.
new text end

new text begin No later than January 15, 2018, the commissioner of human services and the director of
early education and development must deliver a report to the chairs and ranking members
of the legislative committees having jurisdiction over early childhood education and human
services. At a minimum, the report must make recommendations relating to:
new text end

new text begin (1) integrating state resources for child care assistance provided through the basic sliding
fee program under Minnesota Statutes, section 119B.03, and the Minnesota family investment
program under Minnesota Statutes, chapter 256J;
new text end

new text begin (2) aligning family income eligibility requirements for programs under Minnesota
Statutes, chapters 119B, 119C, and 256J;
new text end

new text begin (3) reducing duplicative paperwork and administrative burden and increasing the stability
of funding for families of children eligible for both an early learning scholarship and support
from the child care assistance program;
new text end

new text begin (4) maximizing child care assistance program integrity and payment mechanisms to
increase fund accountability and efficiency;
new text end

new text begin (5) transferring powers and duties related to the quality rating and improvement system
under Minnesota Statutes, section 124D.142;
new text end

new text begin (6) integrating the data collection systems of the child care assistance program and other
early education and development programs currently administered by the Department of
Education, the Department of Human Services, and the Department of Health; and
new text end

new text begin (7) transferring powers and duties related to other early education and development
programs currently administered by the Department of Education, the Department of Human
Services, or the Department of Health.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2017.
new text end

Sec. 8. new text begin APPROPRIATIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Early education access fund. new text end

new text begin The sums indicated in this section are
appropriated from the general fund to the director of early education and development for
the fiscal years designated.
new text end

new text begin Subd. 2. new text end

new text begin School readiness. new text end

new text begin For revenue for school readiness programs under Minnesota
Statutes, sections 124D.15 and 124D.16:
new text end

	new text begin $ new text end	new text begin 33,683,000 new text end	new text begin ..... new text end	new text begin 2018 new text end
	new text begin $ new text end	new text begin 33,683,000 new text end	new text begin ..... new text end	new text begin 2019 new text end

new text begin 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.
new text end

new text begin Subd. 3. new text end

new text begin Early learning scholarships. new text end

new text begin For the early learning scholarship program under
Minnesota Statutes, section 124D.165:
new text end

	new text begin $ new text end	new text begin ....... new text end	new text begin ..... new text end	new text begin 2018 new text end
	new text begin $ new text end	new text begin ....... new text end	new text begin ..... new text end	new text begin 2019 new text end

new text begin Up to $950,000 each year is for administration of this program. Any balance in the first
year does not cancel but is available in the second year.
new text end

new text begin Subd. 4. new text end

new text begin Head Start program. new text end

new text begin For Head Start programs under Minnesota Statutes,
section 119A.52:
new text end

	new text begin $ new text end	new text begin 25,100,000 new text end	new text begin ..... new text end	new text begin 2018 new text end
	new text begin $ new text end	new text begin 25,100,000 new text end	new text begin ..... new text end	new text begin 2019 new text end

new text begin Subd. 5. new text end

new text begin Quality rating and improvement system. new text end

new text begin (a) For the quality rating and
improvement system under Minnesota Statutes, section 124D.142, and increasing supports
for providers participating in the quality rating and improvement system:
new text end

	new text begin $ new text end	new text begin 1,750,000 new text end	new text begin ..... new text end	new text begin 2018 new text end
	new text begin $ new text end	new text begin 1,750,000 new text end	new text begin ..... new text end	new text begin 2019 new text end

new text begin Any balance in the first year does not cancel but is available in the second year.
new text end

new text begin (b) The director of early education and development may transfer the money in paragraph
(a) to the commissioner of human services for the quality rating and improvement system.
new text end

new text begin Subd. 6. new text end

new text begin Administrative coordination. new text end

new text begin The director of early education and development
may transfer money appropriated under this section to the Department of Education for
payments to be made on the director's behalf.
new text end

Sec. 9. new text begin REVISOR'S INSTRUCTION.
new text end

new text begin In Minnesota Statutes, the revisor of statutes shall revise, as necessary, and recodify in
Minnesota Statutes, chapter 119C, the early education programs defined and transferred to
the director of early education and development under section 1.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2017.
new text end