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HF 2433

as introduced - 89th Legislature (2015 - 2016) Posted on 03/08/2016 04:24pm

KEY: stricken = removed, old language.
underscored = added, new language.

Bill Text Versions

Engrossments
Introduction Posted on 01/29/2016

Current Version - as introduced

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A bill for an act
relating to education finance; creating a supplemental compensatory revenue
formula; appropriating money; amending Minnesota Statutes 2014, sections
126C.05, subdivision 3; 126C.10, subdivision 3; Laws 2015, First Special
Session chapter 3, article 1, section 27, subdivision 2; repealing Laws 2015, First
Special Session chapter 3, article 2, section 70, subdivision 8.

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

Section 1.

Minnesota Statutes 2014, section 126C.05, subdivision 3, is amended to read:


Subd. 3.

Compensation revenue pupil units.

Compensation revenue pupil units
deleted text begin for fiscal year 1998 and thereafterdeleted text end must be computed according to this subdivision.

(a) The compensation revenue concentration percentage for each building in a
district equals the product of 100 times the ratio of:

(1) the sum of the number of pupils enrolled in the building eligible to receive free
lunch plus one-half of the pupils eligible to receive reduced priced lunch on October
1 of the previous fiscal year; to

(2) the number of pupils enrolled in the building on October 1 of the previous fiscal
year.

(b) The compensation revenue pupil weighting factor for a building equals the
lesser of one or the quotient obtained by dividing the building's compensation revenue
concentration percentage by 80.0.

(c) The compensation revenue pupil units for a building equals the product of:

(1) the sum of the number of pupils enrolled in the building eligible to receive free
lunch and one-half of the pupils eligible to receive reduced priced lunch on October 1
of the previous fiscal year; times

(2) the compensation revenue pupil weighting factor for the building; times

(3) .60.

(d) Notwithstanding paragraphs (a) to (c), for charter schools and contracted
alternative programs in the first year of operation, compensation revenue pupil units shall
be computed using data for the current fiscal year. If the charter school or contracted
alternative program begins operation after October 1, compensatory revenue pupil units
shall be computed based on pupils enrolled on an alternate date determined by the
commissioner, and the compensation revenue pupil units shall be prorated based on the
ratio of the number of days of student instruction to 170 days.

(e) The percentages in this subdivision must be based on the count of individual
pupils and not on a building average or minimum.

new text begin (f) The supplemental compensatory revenue pupil units for a school district equals
the greater of:
new text end

new text begin (1) zero; or
new text end

new text begin (2) the sum of the number of pupils enrolled in the building eligible to receive free
lunch and one-half of the pupils eligible to receive reduced priced lunch on October 1
of the previous fiscal year minus 1,500.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2017
and later.
new text end

Sec. 2.

Minnesota Statutes 2014, section 126C.10, subdivision 3, is amended to read:


Subd. 3.

Compensatory education revenue.

(a) deleted text begin 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.
deleted text end For fiscal year deleted text begin 2015deleted text end new text begin 2017new text end and later, the new text begin initial
new text end 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 3new text begin , paragraph (c)new text end .

new text begin (b) For fiscal year 2017 and later, the supplemental compensatory revenue for each
school district equals the greater of:
new text end

new text begin (1) the compensatory revenue pilot project grant for the district for fiscal year
2016 under Laws of Minnesota 2015, First Special Session chapter 3, article 2, section
70, subdivision 8; or
new text end

new text begin (2) the product of the supplemental compensatory revenue pupil units computed
according to section 126C.05, subdivision 3, paragraph (f), times the greater of:
new text end

new text begin (i) zero; or
new text end

new text begin (ii) the difference between 31 percent of the formula allowance and the quotient
obtained by dividing the district's initial compensatory revenue by the number of pupils
enrolled in the district eligible to receive free lunch and one-half of the pupils eligible to
receive reduced price lunch on October 1 of the previous fiscal year.
new text end

new text begin (c) For fiscal year 2017 and later, the compensatory revenue for each school district
equals the sum of the initial compensatory revenue and the supplemental compensatory
revenue.
new text end

new text begin (d)new text end Revenue shall be paid to the district and must be allocated according to section
126C.15, subdivision 2.

deleted text begin (b)deleted text end new text begin (e)new text end 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.

deleted text begin (c)deleted text end new text begin (f)new text end 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.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2017
and later.
new text end

Sec. 3.

Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 2,
is amended to read:


Subd. 2.

General education aid.

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

$
6,624,310,000
.....
2016
$
deleted text begin 6,761,574,000
deleted text end new text begin .......
new text end
.....
2017

The 2016 appropriation includes $622,908,000 for 2015 and $6,001,405,000 for
2016.

The 2017 appropriation includes $638,812,000 for 2016 and deleted text begin $6,122,762,000deleted text end new text begin $.......
new text end for 2017.

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

new text begin Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 8, new text end new text begin is
repealed effective for revenue for fiscal year 2017 and later.
new text end