as introduced - 92nd Legislature (2021 - 2022) Posted on 03/17/2022 05:23pm
A bill for an act
relating to education finance; linking the general education basic formula allowance
to the rate of inflation; linking extended time revenue and local optional revenue
to the general education basic formula allowance; appropriating money; amending
Minnesota Statutes 2020, section 126C.10, subdivision 2a; Minnesota Statutes
2021 Supplement, section 126C.10, subdivisions 2, 2e.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Minnesota Statutes 2021 Supplement, section 126C.10, subdivision 2, is amended
to read:
new text begin (a) new text end The basic revenue for each district equals the formula
allowance times the adjusted pupil units for the school year.
deleted text begin The formula allowance for fiscal year 2021 is $6,567.deleted text end new text begin (b)new text end The formula allowance for
fiscal year 2022 is $6,728. The formula allowance for fiscal year 2023 deleted text begin and laterdeleted text end is $6,863.
new text begin
(c) For fiscal year 2024 and later, the formula allowance equals the formula allowance
for fiscal year 2023 times the inflationary increase for that year.
new text end
new text begin
(d) For purposes of this subdivision, "inflationary increase" means one plus the percentage
change in the Consumer Price Index for urban consumers, as prepared by the United States
Bureau of Labor Standards, from the current fiscal year to fiscal year 2023.
new text end
Minnesota Statutes 2020, section 126C.10, subdivision 2a, is amended to read:
(a) A school district's extended time revenue is equal
to the product of deleted text begin $5,117deleted text end new text begin the extended time allowancenew text end 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) new text begin The extended time allowance equals $5,117 for fiscal years 2022 and 2023. The
extended time allowance for fiscal year 2024 and later equals $5,117 times the ratio of the
basic formula allowance for the current year to $6,863.
new text end
new text begin (c) new text end 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 deleted text begin $5,117deleted text end new text begin the extended time allowancenew text end .
deleted text begin (c)deleted text end new text begin (d)new text end 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.
Minnesota Statutes 2021 Supplement, section 126C.10, subdivision 2e, is amended
to read:
(a) new text begin A district's first tier local optional revenue
allowance equals $300 for fiscal years 2022 and 2023. The first tier local optional revenue
allowance for fiscal year 2024 and later equals $300 times the ratio of the basic formula
allowance for the current year to $6,863.
new text end
new text begin
(b) A district's second tier local optional revenue allowance equals $424 for fiscal years
2022 and 2023. The second tier local optional revenue allowance for fiscal year 2024 and
later equals $424 times the ratio of the basic formula allowance for the current year to
$6,863.
new text end
new text begin (c) new text end For fiscal year 2021 and later, local optional revenue for a school district equals the
sum of the district's first tier local optional revenue and second tier local optional revenue.
A district's first tier local optional revenue equals deleted text begin $300deleted text end new text begin the local optional revenue first tier
allowancenew text end times the adjusted pupil units of the district for that school year. A district's
second tier local optional revenue equals deleted text begin $424deleted text end new text begin the local optional revenue second tier
allowancenew text end times the adjusted pupil units of the district for that school year.
deleted text begin (b) For fiscal year 2021 and later,deleted text end new text begin (d)new text end A district's local optional levy equals the sum of
the first tier local optional levy and the second tier local optional levy.
deleted text begin (c)deleted text end new text begin (e)new text end A district's first tier local optional levy equals the district's first tier local optional
revenue times the lesser of one or the ratio of the district's referendum market value per
resident pupil unit to $880,000.
deleted text begin (d)deleted text end new text begin (f)new text end For fiscal year 2022, a district's second tier local optional levy equals the district's
second tier local optional revenue times the lesser of one or the ratio of the district's
referendum market value per resident pupil unit to $510,000. For fiscal year 2023, a district's
second tier local optional levy equals the district's second tier local optional revenue times
the lesser of one or the ratio of the district's referendum market value per resident pupil unit
to $548,842. For fiscal year 2024 and later, a district's second tier local optional levy equals
the district's second tier local optional revenue times the lesser of one or the ratio of the
district's referendum market value per resident pupil unit to $510,000.
deleted text begin (e)deleted text end new text begin (g)new text end The local optional levy must be spread on referendum market value. A district
may levy less than the permitted amount.
deleted text begin (f)deleted text end new text begin (h)new text end A district's local optional aid equals its local optional revenue minus its local
optional levy. If a district's actual levy for first or second tier local optional revenue is less
than its maximum levy limit for that tier, its aid must be proportionately reduced.
new text begin
$....... in fiscal year 2023 is appropriated from the general fund to the Department of
Education for additional general education aid for the purposes of sections 1 to 3.
new text end