1.1                          A bill for an act 
  1.2             relating to education; providing financing for 
  1.3             kindergarten through grade 12; appropriating money; 
  1.4             amending Minnesota Statutes 1996, sections 124.2713, 
  1.5             subdivision 6a; 124.2727, subdivisions 6a and 6c; 
  1.6             124.273, by adding a subdivision; 124A.292, 
  1.7             subdivision 3; and 124A.30; Minnesota Statutes 1997 
  1.8             Supplement, sections 121.904, subdivision 4a; 124.17, 
  1.9             subdivisions 1d and 7; 124.2601, subdivisions 3 and 6; 
  1.10            124.2711, subdivision 2a; 124.2713, subdivision 6; 
  1.11            124.91, subdivision 5; 124A.22, subdivisions 2 and 
  1.12            13b; and 124A.23, subdivision 1; Laws 1997, First 
  1.13            Special Session chapter 4, articles 3, section 23, by 
  1.14            adding a subdivision; 5, section 28, subdivisions 10 
  1.15            and 11; and 10, sections 4 and 5; proposing coding for 
  1.16            new law in Minnesota Statutes, chapter 124A; repealing 
  1.17            Minnesota Statutes 1996, sections 124.2601, 
  1.18            subdivision 4; 124.2713, subdivision 6b; 124.2727, 
  1.19            subdivision 6b; and 124A.292, subdivisions 2 and 4; 
  1.20            Minnesota Statutes 1997 Supplement, section 124.2601, 
  1.21            subdivision 5; Laws 1997, chapter 231, article 1, 
  1.22            section 17. 
  1.23  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.24     Section 1.  Minnesota Statutes 1997 Supplement, section 
  1.25  121.904, subdivision 4a, is amended to read: 
  1.26     Subd. 4a.  [LEVY RECOGNITION.] (a) "School district tax 
  1.27  settlement revenue" means the current, delinquent, and 
  1.28  manufactured home property tax receipts collected by the county 
  1.29  and distributed to the school district, including distributions 
  1.30  made pursuant to section 279.37, subdivision 7, and excluding 
  1.31  the amount levied pursuant to section 124.914, subdivision 1. 
  1.32     (b) In June of each year, the school district shall 
  1.33  recognize as revenue, in the fund for which the levy was made, 
  1.34  the lesser of:  
  2.1      (1) the May, June, and July school district tax settlement 
  2.2   revenue received in that calendar year; or 
  2.3      (2) the sum of the state aids and credits enumerated in 
  2.4   section 124.155, subdivision 2, which are for the fiscal year 
  2.5   payable in that fiscal year plus an amount equal to the levy 
  2.6   recognized as revenue in June of the prior year plus 31 percent 
  2.7   of the amount of the levy certified in the prior calendar year 
  2.8   according to section 124A.03, subdivision 2; or 
  2.9      (3)(i) 7.0 6.6 percent of the lesser of the amount of the 
  2.10  general education levy certified in the prior calendar year 
  2.11  according to section 124A.23, subdivision 2, or the difference 
  2.12  between the amount of the total general fund levy certified in 
  2.13  the prior calendar year and the sum of the amounts certified in 
  2.14  the prior calendar year according to sections 124A.03, 
  2.15  subdivision 2; 124.315, subdivision 4; 124.912, subdivisions 1, 
  2.16  paragraph (2), 2, and 3; 124.916, subdivisions 1, 2, and 3, 
  2.17  paragraphs (4), (5), and (6); and 124.918, subdivision 6; plus 
  2.18     (ii) 31 percent of the referendum levy certified in the 
  2.19  prior calendar year according to section 124A.03, subdivision 2; 
  2.20  plus 
  2.21     (iii) the entire amount of the levy certified in the prior 
  2.22  calendar year according to sections 124.315, subdivision 4; 
  2.23  124.912, subdivisions 1, paragraph (2), 2, and 3; 124.916, 
  2.24  subdivisions 1, 2, and 3, paragraphs (4), (5), and (6); and 
  2.25  124.918, subdivision 6. 
  2.26     (c) In July of each year, the school district shall 
  2.27  recognize as revenue that portion of the school district tax 
  2.28  settlement revenue received in that calendar year and not 
  2.29  recognized as revenue for the previous fiscal year pursuant to 
  2.30  clause (b).  
  2.31     (d) All other school district tax settlement revenue shall 
  2.32  be recognized as revenue in the fiscal year of the settlement. 
  2.33  Portions of the school district levy assumed by the state, 
  2.34  including prior year adjustments and the amount to fund the 
  2.35  school portion of the reimbursement made pursuant to section 
  2.36  273.425, shall be recognized as revenue in the fiscal year 
  3.1   beginning in the calendar year for which the levy is payable. 
  3.2      Sec. 2.  Minnesota Statutes 1997 Supplement, section 
  3.3   124.17, subdivision 1d, is amended to read: 
  3.4      Subd. 1d.  [COMPENSATION REVENUE PUPIL UNITS.] Compensation 
  3.5   revenue pupil units for fiscal year 1998 and thereafter must be 
  3.6   computed according to this subdivision.  
  3.7      (a) The compensation revenue concentration percentage for 
  3.8   each building in a district equals the product of 100 times the 
  3.9   ratio of:  
  3.10     (1) the sum of the number of pupils enrolled in the 
  3.11  building eligible to receive free lunch plus one-half of the 
  3.12  pupils eligible to receive reduced priced lunch on October 1 of 
  3.13  the previous fiscal year; to 
  3.14     (2) the number of pupils enrolled in the building on 
  3.15  October 1 of the previous fiscal year. 
  3.16     (b) The compensation revenue pupil weighting factor for a 
  3.17  building equals the lesser of one or the quotient obtained by 
  3.18  dividing the building's compensation revenue concentration 
  3.19  percentage by 80.0.  
  3.20     (c) The compensation revenue pupil units for a building 
  3.21  equals the product of:  
  3.22     (1) the sum of the number of pupils enrolled in the 
  3.23  building eligible to receive free lunch and one-half of the 
  3.24  pupils eligible to receive reduced priced lunch on October 1 of 
  3.25  the previous fiscal year; times 
  3.26     (2) the compensation revenue pupil weighting factor for the 
  3.27  building; times 
  3.28     (3) .60. 
  3.29     The percentages in this subdivision must be based on the 
  3.30  count of individual pupils and not on a building average or 
  3.31  minimum. 
  3.32     (d) For a school district in which the number of pupils 
  3.33  enrolled on October 1 of the current fiscal year exceeds the 
  3.34  number of pupils enrolled on October 1 of the previous fiscal 
  3.35  year by more than ten percent, the compensation revenue pupil 
  3.36  units for each building equals the product of the compensation 
  4.1   revenue pupil units according to paragraph (c) times an amount 
  4.2   equal to the difference between (i) the ratio of the number of 
  4.3   pupils enrolled in the district on October 1 of the current 
  4.4   fiscal year to the number of pupils enrolled in the district on 
  4.5   October 1 of the previous fiscal year and (ii) .10.  
  4.6      Sec. 3.  Minnesota Statutes 1997 Supplement, section 
  4.7   124.17, subdivision 7, is amended to read: 
  4.8      Subd. 7.  [LEP PUPIL UNITS.] (a) Limited English 
  4.9   proficiency pupil units for fiscal year 1998 and thereafter 
  4.10  shall be determined according to this subdivision. 
  4.11     (b) The limited English proficiency concentration 
  4.12  percentage for a district equals the product of 100 times the 
  4.13  ratio of: 
  4.14     (1) the number of pupils of limited English proficiency 
  4.15  enrolled in the district during the current fiscal year; to 
  4.16     (2) the number of pupils in average daily membership 
  4.17  enrolled in the district. 
  4.18     (c) The limited English proficiency pupil units for each 
  4.19  pupil enrolled in a program for pupils of limited English 
  4.20  proficiency in accordance with sections 126.261 to 126.269 
  4.21  equals the lesser of one or the quotient obtained by dividing 
  4.22  the limited English proficiency concentration percentage for the 
  4.23  pupil's district of enrollment by 11.5. 
  4.24     (d) Limited English proficiency pupil units shall be 
  4.25  counted by the district of enrollment. 
  4.26     (e) Notwithstanding paragraph (d), for the purposes of this 
  4.27  subdivision, pupils enrolled in a cooperative or intermediate 
  4.28  school district shall be counted by the district of residence. 
  4.29     Sec. 4.  Minnesota Statutes 1997 Supplement, section 
  4.30  124.2601, subdivision 3, is amended to read: 
  4.31     Subd. 3.  [REVENUE AID.] Adult basic education revenue aid 
  4.32  for each approved program equals 65 percent of the general 
  4.33  education formula allowance times the number of full-time 
  4.34  equivalent students in its adult basic education program. 
  4.35     Sec. 5.  Minnesota Statutes 1997 Supplement, section 
  4.36  124.2601, subdivision 6, is amended to read: 
  5.1      Subd. 6.  [AID GUARANTEE.] (a) For fiscal year 1994, any 
  5.2   adult basic education program that receives less state aid under 
  5.3   subdivisions 3 and 7 than from the aid formula for fiscal year 
  5.4   1992 shall receive the amount of aid it received in fiscal year 
  5.5   1992. 
  5.6      (b) For 1995, 1996, and 1997 fiscal years, an adult basic 
  5.7   education program that receives aid shall receive at least the 
  5.8   amount of aid it received in fiscal year 1992 under subdivisions 
  5.9   3 and 7, plus aid equal to the amount of revenue that would have 
  5.10  been raised for taxes payable in 1994 under Minnesota Statutes 
  5.11  1992, section 124.2601, subdivision 4, minus the amount raised 
  5.12  under subdivision 4. 
  5.13     (c) For fiscal year 1998, any adult basic education program 
  5.14  that receives less state aid than in fiscal year 1997 shall 
  5.15  receive additional aid equal to 80 percent of the difference 
  5.16  between its 1997 aid and the amount of aid under Minnesota 
  5.17  Statutes 1997 Supplement, section 124.2601, subdivision 5.  For 
  5.18  fiscal year 1999 and later, additional aid under this 
  5.19  paragraph must be reduced by 20 percent each year equals 80 
  5.20  percent of the additional aid computed for fiscal year 1998.  
  5.21  For fiscal year 2000, the additional aid under this paragraph 
  5.22  equals 60 percent of the additional aid computed for fiscal year 
  5.23  1998.  For fiscal year 2001, the additional aid under this 
  5.24  paragraph equals 40 percent of the additional aid computed for 
  5.25  fiscal year 1998.  For fiscal year 2002, the additional aid 
  5.26  under this paragraph equals 20 percent of the additional aid 
  5.27  computed for fiscal year 1998.  For fiscal year 2003 and later, 
  5.28  the additional aid under this paragraph equals zero. 
  5.29     Sec. 6.  Minnesota Statutes 1997 Supplement, section 
  5.30  124.2711, subdivision 2a, is amended to read: 
  5.31     Subd. 2a.  [EARLY CHILDHOOD FAMILY EDUCATION LEVY.] To 
  5.32  obtain early childhood family education revenue, a district may 
  5.33  levy an amount equal to the tax rate of .653 .45 percent times 
  5.34  the adjusted tax capacity of the district for the year preceding 
  5.35  the year the levy is certified.  If the amount of the early 
  5.36  childhood family education levy would exceed the early childhood 
  6.1   family education revenue, the early childhood family education 
  6.2   levy shall equal the early childhood family education revenue. 
  6.3      Sec. 7.  Minnesota Statutes 1997 Supplement, section 
  6.4   124.2713, subdivision 6, is amended to read: 
  6.5      Subd. 6.  [COMMUNITY EDUCATION LEVY.] To obtain community 
  6.6   education revenue, a district may levy the amount raised by a 
  6.7   tax rate of 1.09 .41 percent times the adjusted net tax capacity 
  6.8   of the district.  If the amount of the community education levy 
  6.9   would exceed the community education revenue, the community 
  6.10  education levy shall be determined according to subdivision 6a. 
  6.11     Sec. 8.  Minnesota Statutes 1996, section 124.2713, 
  6.12  subdivision 6a, is amended to read: 
  6.13     Subd. 6a.  [COMMUNITY EDUCATION LEVY; DISTRICTS OFF THE 
  6.14  FORMULA.] If the amount of the community education levy for a 
  6.15  district exceeds the district's community education revenue, the 
  6.16  amount of the community education levy is limited to the sum of: 
  6.17     (1) the district's community education revenue according to 
  6.18  subdivision 1; plus. 
  6.19     (2) the amount of the aid reduction for the same fiscal 
  6.20  year according to subdivision 6b.  
  6.21     For purposes of statutory cross-reference, a levy made 
  6.22  according to this subdivision is the levy made according to 
  6.23  subdivision 6.  
  6.24     Sec. 9.  Minnesota Statutes 1996, section 124.2727, 
  6.25  subdivision 6a, is amended to read: 
  6.26     Subd. 6a.  [FISCAL YEAR 1999 DISTRICT COOPERATION REVENUE.] 
  6.27  A district's cooperation revenue for fiscal year 1999 is equal 
  6.28  to the greater of $67 times the actual pupil units or $25,000. 
  6.29     Sec. 10.  Minnesota Statutes 1996, section 124.2727, 
  6.30  subdivision 6c, is amended to read: 
  6.31     Subd. 6c.  [FISCAL YEAR 1999 DISTRICT COOPERATION AID.] A 
  6.32  district's cooperation aid for fiscal year 1999 is the 
  6.33  difference between its district cooperation revenue and its 
  6.34  district cooperation levy.  If a district does not levy the 
  6.35  entire amount permitted, aid must be reduced in proportion to 
  6.36  the actual amount levied. 
  7.1      Sec. 11.  Minnesota Statutes 1996, section 124.273, is 
  7.2   amended by adding a subdivision to read: 
  7.3      Subd. 8.  [ALLOCATIONS FROM COOPERATIVE UNITS.] For the 
  7.4   purposes of this section and section 124.321, pupils of limited 
  7.5   English proficiency enrolled in a cooperative or intermediate 
  7.6   school district unit shall be counted by the school district of 
  7.7   residence, and the cooperative unit shall allocate its approved 
  7.8   expenditures for limited English proficiency programs among 
  7.9   participating school districts.  Limited English proficiency aid 
  7.10  for services provided by a cooperative or intermediate school 
  7.11  district shall be paid to the participating school districts. 
  7.12     Sec. 12.  Minnesota Statutes 1997 Supplement, section 
  7.13  124.91, subdivision 5, is amended to read: 
  7.14     Subd. 5.  [INTERACTIVE TELEVISION.] (a) A school district 
  7.15  with its central administrative office located within economic 
  7.16  development region one, two, three, four, five, six, seven, 
  7.17  eight, nine, and ten may apply to the commissioner of children, 
  7.18  families, and learning for ITV revenue up to the greater of .5 
  7.19  percent of the adjusted net tax capacity of the district or 
  7.20  $25,000.  Eligible interactive television expenditures include 
  7.21  the construction, maintenance, and lease costs of an interactive 
  7.22  television system for instructional purposes.  An eligible 
  7.23  school district that has completed the construction of its 
  7.24  interactive television system may also purchase computer 
  7.25  hardware and software used primarily for instructional purposes 
  7.26  and access to the Internet provided that its total expenditures 
  7.27  for interactive television maintenance and lease costs and for 
  7.28  computer hardware and software under this subdivision do not 
  7.29  exceed its interactive television revenue for fiscal year 1998.  
  7.30  The approval by the commissioner of children, families, and 
  7.31  learning and the application procedures set forth in subdivision 
  7.32  1 shall apply to the revenue in this subdivision.  In granting 
  7.33  the approval, the commissioner must consider whether the 
  7.34  district is maximizing efficiency through peak use and off-peak 
  7.35  use pricing structures. 
  7.36     (b) To obtain ITV revenue, a district may levy an amount 
  8.1   not to exceed the district's ITV revenue times the lesser of one 
  8.2   or the ratio of: 
  8.3      (1) the quotient derived by dividing the adjusted net tax 
  8.4   capacity of the district for the year before the year the levy 
  8.5   is certified by the actual pupil units in the district for the 
  8.6   year to which the levy is attributable; to 
  8.7      (2) 100 percent of the equalizing factor as defined in 
  8.8   section 124A.02, subdivision 8, for the year to which the levy 
  8.9   is attributable $10,000. 
  8.10     (c) A district's ITV aid is the difference between its ITV 
  8.11  revenue and the ITV levy. 
  8.12     (d) The revenue in the first year after reorganization for 
  8.13  a district that has reorganized under section 122.22, 122.23, or 
  8.14  122.241 to 122.247 shall be the greater of: 
  8.15     (1) the revenue computed for the reorganized district under 
  8.16  paragraph (a), or 
  8.17     (2)(i) for two districts that reorganized, 75 percent of 
  8.18  the revenue computed as if the districts involved in the 
  8.19  reorganization were separate, or 
  8.20     (ii) for three or more districts that reorganized, 50 
  8.21  percent of the revenue computed as if the districts involved in 
  8.22  the reorganization were separate. 
  8.23     (e) The revenue in paragraph (d) is increased by the 
  8.24  difference between the initial revenue and ITV lease costs for 
  8.25  leases that had been entered into by the preexisting districts 
  8.26  on the effective date of the consolidation or combination and 
  8.27  with a term not exceeding ten years.  This increased revenue is 
  8.28  only available for the remaining term of the lease.  However, in 
  8.29  no case shall the revenue exceed the amount available had the 
  8.30  preexisting districts received revenue separately. 
  8.31     (f) Effective for fiscal year 2000, the revenue under this 
  8.32  section shall be 75 percent of the amount determined in 
  8.33  paragraph (a); for fiscal year 2001, 50 percent of the amount in 
  8.34  paragraph (a); and for fiscal year 2002, 25 percent of the 
  8.35  amount in paragraph (a). 
  8.36     (g) This section expires effective for revenue for fiscal 
  9.1   year 2003, or when leases in existence on the effective date of 
  9.2   Laws 1997, First Special Session chapter 4, expire.  
  9.3      Sec. 13.  Minnesota Statutes 1997 Supplement, section 
  9.4   124A.22, subdivision 2, is amended to read: 
  9.5      Subd. 2.  [BASIC REVENUE.] The basic revenue for each 
  9.6   district equals the formula allowance times the actual pupil 
  9.7   units for the school year.  The formula allowance for fiscal 
  9.8   year 1997 is $3,505.  The formula allowance for fiscal year 1998 
  9.9   is $3,581 and the formula allowance for fiscal year 1999 and 
  9.10  subsequent fiscal years is $3,530.  The formula allowance for 
  9.11  fiscal year 2000 and subsequent fiscal years is $3,597. 
  9.12     Sec. 14.  Minnesota Statutes 1997 Supplement, section 
  9.13  124A.22, subdivision 13b, is amended to read: 
  9.14     Subd. 13b.  [TRANSITION ALLOWANCE.] (a) A district's 
  9.15  transportation transition allowance for fiscal year 1998 and 
  9.16  later equals the result of the following: 
  9.17     (1) if the result in subdivision 13a, paragraph (a), clause 
  9.18  (iii), for fiscal year 1998 is less than the fiscal year 1996 
  9.19  base allowance, the transportation transition allowance equals 
  9.20  the fiscal year 1996 base allowance minus the result in 
  9.21  subdivision 13a, paragraph (a), clause (iii); or 
  9.22     (2) if the result in subdivision 13a, paragraph (a), clause 
  9.23  (iii), for fiscal year 1998 and later is greater than or equal 
  9.24  to the fiscal year 1996 base allowance, the transportation 
  9.25  transition allowance equals zero. 
  9.26     (b) For fiscal years 1997 and 1998, a district's training 
  9.27  and experience transition allowance is equal to the training and 
  9.28  experience revenue the district would have received under 
  9.29  Minnesota Statutes 1994, section 124A.22, subdivision 4, divided 
  9.30  by the actual pupil units for fiscal year 1997 minus $130.  For 
  9.31  fiscal year 1999 and later, a district's training and experience 
  9.32  transition allowance equals zero.  
  9.33     If the training and experience transition allowance is less 
  9.34  than zero, the reduction shall be determined according to the 
  9.35  following schedule: 
  9.36     (1) for fiscal year 1997, the reduction is equal to .9 
 10.1   times the amount initially determined; 
 10.2      (2) for fiscal year 1998, the reduction is equal to .75 
 10.3   times the amount initially determined; and 
 10.4      (c) A district's transition compensatory transition 
 10.5   allowance equals the greater of zero or the difference between:  
 10.6      (1) the amount of compensatory revenue the district would 
 10.7   have received under subdivision 3 for fiscal year 1998 computed 
 10.8   using a basic formula allowance of $3,281; and 
 10.9      (2) the amount the district receives under subdivision 3; 
 10.10  divided by 
 10.11     (3) the district's actual pupil units for fiscal year 1998. 
 10.12     (c) A district's cooperation transition allowance for 
 10.13  fiscal year 2000 and later equals the greater of zero or the 
 10.14  difference between:  
 10.15     (1) $25,000; and 
 10.16     (2) $67 times the district's actual pupil units for fiscal 
 10.17  year 2000. 
 10.18     (d) A district's transition allowance for fiscal year 1998 
 10.19  is equal to the sum of its transportation transition allowance, 
 10.20  its training and experience transition allowance, and its 
 10.21  transition compensatory allowance.  A district's transition 
 10.22  allowance for fiscal year 1999 and thereafter is equal to the 
 10.23  sum of its transportation transition allowance and its 
 10.24  transition compensatory transition allowance.  A district's 
 10.25  transition allowance for fiscal year 2000 and thereafter is 
 10.26  equal to the sum of its transportation transition allowance, its 
 10.27  compensatory transition allowance, and its cooperation 
 10.28  transition allowance. 
 10.29     Sec. 15.  [124A.226] [RESERVED REVENUE FOR DISTRICT 
 10.30  COOPERATION.] 
 10.31     A district that was a member of an intermediate school 
 10.32  district organized pursuant to chapter 136D on July 1, 1996, 
 10.33  must place a portion of its general education revenue in a 
 10.34  reserved account for instructional services from entities formed 
 10.35  for cooperative services for special education programs and 
 10.36  secondary vocational programs.  The amount reserved is equal to 
 11.1   the levy made according to Minnesota Statutes 1993, section 
 11.2   124.2727, subdivision 6, for taxes payable in 1994 divided by 
 11.3   the actual pupil units in the intermediate school district for 
 11.4   fiscal year 1995 times the number of actual pupil units in the 
 11.5   school district in 1995.  The district must use 5/11 of the 
 11.6   revenue for special education and 6/11 of the revenue for 
 11.7   secondary vocational education.  The district must demonstrate 
 11.8   that the revenue is being used to provide the full range of 
 11.9   special education and secondary vocational programs and services 
 11.10  available to each child served by the intermediate.  The 
 11.11  secondary vocational programs and services must meet the 
 11.12  requirements established in an articulation agreement developed 
 11.13  between the state board of education and the board of trustees 
 11.14  of the Minnesota state colleges and universities. 
 11.15     Sec. 16.  Minnesota Statutes 1997 Supplement, section 
 11.16  124A.23, subdivision 1, is amended to read: 
 11.17     Subdivision 1.  [GENERAL EDUCATION TAX RATE.] The 
 11.18  commissioner shall establish the general education tax rate by 
 11.19  July 1 of each year for levies payable in the following year.  
 11.20  The general education tax capacity rate shall be a rate, rounded 
 11.21  up to the nearest hundredth of a percent, that, when applied to 
 11.22  the adjusted net tax capacity for all districts, raises the 
 11.23  amount specified in this subdivision.  The general education tax 
 11.24  rate shall be the rate that raises $1,359,000,000 for fiscal 
 11.25  year 1998 and $1,385,500,000 for fiscal year 1999 
 11.26  and $1,331,200,000 for fiscal year 2000 and later fiscal years.  
 11.27  The general education tax rate may not be changed due to changes 
 11.28  or corrections made to a district's adjusted net tax capacity 
 11.29  after the tax rate has been established.  If the levy target for 
 11.30  fiscal year 1999 is changed by another law enacted during the 
 11.31  1997 session, the commissioner shall reduce the target in this 
 11.32  bill by the amount of the reduction in the enacted law. 
 11.33     Sec. 17.  Minnesota Statutes 1996, section 124A.292, 
 11.34  subdivision 3, is amended to read: 
 11.35     Subd. 3.  [STAFF DEVELOPMENT LEVY.] A district's levy 
 11.36  equals its revenue times the lesser of one or the ratio of: 
 12.1      (1) the quotient derived by dividing the district's 
 12.2   adjusted net tax capacity for the year before the year the levy 
 12.3   is certified by the district's actual pupil units for the school 
 12.4   year to which the levy is attributable, to 
 12.5      (2) the equalizing factor for the school year to which the 
 12.6   levy is attributable the number of teachers at the site times 
 12.7   $8.15. 
 12.8      Sec. 18.  Minnesota Statutes 1996, section 124A.30, is 
 12.9   amended to read: 
 12.10     124A.30 [STATEWIDE AVERAGE REVENUE.] 
 12.11     By October 1 of each year the commissioner shall estimate 
 12.12  the statewide average adjusted general education revenue per 
 12.13  actual pupil unit and the range disparity in adjusted general 
 12.14  education revenue among pupils and districts by computing the 
 12.15  difference between the fifth and the ratio of the ninety-fifth 
 12.16  percentiles percentile to the fifth percentile of adjusted 
 12.17  general education revenue.  The commissioner must provide that 
 12.18  information to all school districts. 
 12.19     If the disparity in adjusted general education revenue as 
 12.20  measured by the difference between the fifth and ratio of the 
 12.21  ninety-fifth percentiles percentile to the fifth percentile 
 12.22  increases in any year, the commissioner must propose a shall 
 12.23  recommend to the legislature options for change in the general 
 12.24  education formula that will limit the disparity in adjusted 
 12.25  general education revenue to no more than the disparity for the 
 12.26  previous school year.  The commissioner must submit the proposal 
 12.27  recommended options to the education committees of the 
 12.28  legislature by January 15. 
 12.29     For purposes of this section, adjusted general revenue 
 12.30  means the sum of basic revenue under section 124A.22, 
 12.31  subdivision 2; supplemental revenue under section 124A.22, 
 12.32  subdivisions 8 and 9; transition revenue under section 124.22, 
 12.33  subdivision 13c; and referendum revenue under section 124A.03. 
 12.34     Sec. 19.  Laws 1997, First Special Session chapter 4, 
 12.35  article 3, section 23, is amended by adding a subdivision to 
 12.36  read: 
 13.1      Subd. 4a.  [PLANNING AND DESIGN GRANT.] (a) An eligible 
 13.2   lifework learning site applicant may apply for a one-time grant 
 13.3   to plan and design a lifework learning facility.  The planning 
 13.4   and design grant shall not exceed $200,000 for a site. 
 13.5      (b) A planning and design grant recipient shall report to 
 13.6   the commissioner of children, families, and learning on the 
 13.7   planning and design of the lifework learning facility and the 
 13.8   ability to start up the site and maintain the facility. 
 13.9      Sec. 20.  Laws 1997, First Special Session chapter 4, 
 13.10  article 5, section 28, subdivision 10, is amended to read: 
 13.11     Subd. 10.  [CHARTER SCHOOL BUILDING LEASE AID.] For 
 13.12  building lease aid according to section 124.248, subdivision 2a: 
 13.13       $1,078,000 $1,294,000    .....     1998 
 13.14       $1,577,000 $1,889,000    .....     1999 
 13.15     The 1999 appropriation includes $120,000 $143,000 for 1998 
 13.16  and $1,457,000 $1,746,000 for 1999. 
 13.17     Sec. 21.  Laws 1997, First Special Session chapter 4, 
 13.18  article 5, section 28, subdivision 11, is amended to read: 
 13.19     Subd. 11.  [CHARTER SCHOOL START-UP GRANTS.] For charter 
 13.20  school start-up cost aid under Minnesota Statutes, section 
 13.21  124.248: 
 13.22       $500,000 $900,000      .....     1998 
 13.23       $1,000,000     .....     1999 
 13.24     The 1999 appropriation includes $100,000 for 1998 and 
 13.25  $900,000 for 1999.  
 13.26     Any balance in the first year does not cancel but is 
 13.27  available in the second year.  This appropriation may also be 
 13.28  used for grants to convert existing schools into charter schools.
 13.29     Sec. 22. Laws 1997, First Special Session chapter 4, 
 13.30  article 10, section 4, is amended to read: 
 13.31     Sec. 4.  [APPROPRIATIONS; LOLA AND RUDY PERPICH MINNESOTA 
 13.32  CENTER FOR ARTS EDUCATION.] 
 13.33     The sums indicated in this section are appropriated from 
 13.34  the general fund to the center for arts education for the fiscal 
 13.35  years designated: 
 13.36      $5,541,000 $5,559,000    .....     1998
 14.1       $6,054,000 $6,090,000    .....     1999
 14.2      Of the fiscal year 1998 appropriation, $154,000 is to fund 
 14.3   artist and arts organization participation in the education 
 14.4   residency and education technology projects, $75,000 is for 
 14.5   school support for the residency project, and $121,000 is for 
 14.6   further development of the partners:  arts and school for 
 14.7   students (PASS) program, including pilots.  Of the fiscal year 
 14.8   1999 appropriation, $154,000 is to fund artist and arts 
 14.9   organizations participation in the education residency project, 
 14.10  $75,000 is for school support for the residency project, and 
 14.11  $121,000 is to fund the PASS program, including additional 
 14.12  pilots.  The guidelines for the education residency project and 
 14.13  the pass program shall be developed and defined by the center 
 14.14  for arts education in cooperation with the Minnesota arts 
 14.15  board.  The Minnesota arts board shall participate in the review 
 14.16  and allocation process.  The center for arts education and the 
 14.17  Minnesota arts board shall cooperate to fund these projects. 
 14.18     Any balance in the first year does not cancel but is 
 14.19  available in the second year. 
 14.20     Sec. 23.  Laws 1997, First Special Session chapter 4, 
 14.21  article 10, section 5, is amended to read: 
 14.22     Sec. 5.  [APPROPRIATIONS; FARIBAULT ACADEMIES.] 
 14.23     The sums indicated in this section are appropriated from 
 14.24  the general fund to the department of children, families, and 
 14.25  learning for the Faribault academies for the fiscal years 
 14.26  designated:  
 14.27       $8,910,000 $8,949,000    .....     1998
 14.28       $8,908,000 $8,986,000    .....     1999 
 14.29     Any balance in the first year does not cancel but is 
 14.30  available in the second year. 
 14.31     In the next biennial budget, the academies must assess 
 14.32  their progress in meeting the established performance measures 
 14.33  for the Faribault academies and inform the legislature on the 
 14.34  content of that assessment.  The information must include an 
 14.35  assessment of its progress by consumers and employees. 
 14.36     Sec. 24.  [APPROPRIATION.] 
 15.1      $500,000 is appropriated in fiscal year 1999 from the 
 15.2   general fund to the commissioner of children, families, and 
 15.3   learning for planning and design grants under section 19.  This 
 15.4   is a one-time appropriation. 
 15.5      Sec. 25.  [REPEALER.] 
 15.6      (a) Minnesota Statutes 1996, section 124.2601, subdivision 
 15.7   4, is repealed.  
 15.8      (b) Minnesota Statutes 1997 Supplement, section 124.2601, 
 15.9   subdivision 5, is repealed effective July 1, 1999.  
 15.10     (c) Minnesota Statutes 1996, section 124.2713, subdivision 
 15.11  6b, is repealed effective for taxes payable in 1999 and revenue 
 15.12  for fiscal year 2000.  
 15.13     (d) Minnesota Statutes 1996, section 124.2727, subdivision 
 15.14  6b, is repealed effective for taxes payable in 1999.  
 15.15     (e) Minnesota Statutes 1996, section 124A.292, subdivisions 
 15.16  2 and 4, are repealed effective for revenue for fiscal year 2000.
 15.17     (f) Laws 1997, chapter 231, article 1, section 17, is 
 15.18  repealed effective the day following final enactment. 
 15.19     Sec. 26.  [EFFECTIVE DATES.] 
 15.20     Sections 2 and 3 are effective for revenue for fiscal year 
 15.21  1998.  Section 4 is effective July 1, 1999.  Section 11 is 
 15.22  effective retroactively for revenue for fiscal year 1997.  
 15.23  Sections 8 and 15 are effective for revenue for fiscal year 
 15.24  2000.  Sections 20 to 23 are effective the day following final 
 15.25  enactment.