1.1 	A bill for an act
1.2 	relating to education finance; phasing in funding for voluntary, full-day 
1.3 	kindergarten; authorizing certain fees; appropriating money; amending 
1.4 	Minnesota Statutes 2004, sections 123B.35; 123B.36, subdivision 1; 123B.37, 
1.5 	subdivision 1; 126C.05, subdivision 1.
1.6 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7 	Section 1. Minnesota Statutes 2004, section 123B.35, is amended to read:
1.8 	123B.35 GENERAL POLICY.
1.9 	It is the policy of the state of Minnesota that public school education, other than 
1.10 	full-day kindergarten not specifically funded by the state,  shall be free and no pupil shall 
1.11 	be denied an education because of economic inability to furnish educational books and 
1.12 	supplies necessary to complete educational requirements necessary for graduation. Any 
1.13 	practice leading to suspension, coercion, exclusion, withholding of grades or diplomas, or 
1.14 	discriminatory action based upon nonpayment of fees denies pupils their right to equal 
1.15 	protection and entitled privileges. It is recognized that school boards do have the right to 
1.16 	accept voluntary contributions and to make certain charges and to establish fees in areas 
1.17 	considered extra curricular, noncurricular or supplementary to the requirements for the 
1.18 	successful completion of a class or educational program. For fiscal years through 2010 
1.19 	only, a school board may charge a fee for a full-day kindergarten program. No public 
1.20 	school board may require, except as authorized by sections  123B.36 and  123B.38, the 
1.21 	payment of fees. 

1.22 	EFFECTIVE DATE. This section is effective July 1, 2006. 

1.23 	Sec. 2. Minnesota Statutes 2004, section 123B.36, subdivision 1, is amended to read:
2.1 		Subdivision 1.School boards may require fees. (a) For purposes of this 
2.2 	subdivision, "home school" means a home school as defined in sections  120A.22 and  
2.3 	120A.24 with five or fewer students receiving instruction. 
2.4 	(b) A school board is authorized to require payment of fees in the following areas:
2.5 	(1) in any program where the resultant product, in excess of minimum requirements 
2.6 	and at the pupil's option, becomes the personal property of the pupil;
2.7 	(2) admission fees or charges for extra curricular activities, where attendance 
2.8 	is optional and where the admission fees or charges a student must pay to attend or 
2.9 	participate in an extracurricular activity is the same for all students, regardless of whether 
2.10 	the student is enrolled in a public or a home school;
2.11 	(3) a security deposit for the return of materials, supplies, or equipment;
2.12 	(4) personal physical education and athletic equipment and apparel, although any 
2.13 	pupil may personally provide it if it meets reasonable requirements and standards relating 
2.14 	to health and safety established by the board;
2.15 	(5) items of personal use or products that a student has an option to purchase such as 
2.16 	student publications, class rings, annuals, and graduation announcements;
2.17 	(6) fees specifically permitted by any other statute, including but not limited to 
2.18 	section  171.05, subdivision 2; provided (i) driver education fees do not exceed the actual 
2.19 	cost to the school and school district of providing driver education, and (ii) the driver 
2.20 	education courses are open to enrollment to persons between the ages of 15 and 18 who 
2.21 	reside or attend school in the school district; 
2.22 	(7) field trips considered supplementary to a district educational program;
2.23 	(8) any authorized voluntary student health and accident benefit plan;
2.24 	(9) for the use of musical instruments owned or rented by the district, a reasonable 
2.25 	rental fee not to exceed either the rental cost to the district or the annual depreciation plus 
2.26 	the actual annual maintenance cost for each instrument;
2.27 	(10) transportation of pupils to and from extra curricular activities conducted at 
2.28 	locations other than school, where attendance is optional;
2.29 	(11) transportation to and from school of pupils living within two miles from school 
2.30 	and all other transportation services not required by law. If a district charges fees for 
2.31 	transportation of pupils, it must establish guidelines for that transportation to ensure that 
2.32 	no pupil is denied transportation solely because of inability to pay;
2.33 	(12) motorcycle classroom education courses conducted outside of regular school 
2.34 	hours; provided the charge must not exceed the actual cost of these courses to the school 
2.35 	district;
3.1 	(13) transportation to and from postsecondary institutions for pupils enrolled under 
3.2 	the postsecondary enrollment options program under section  123B.88, subdivision 22. 
3.3 	Fees collected for this service must be reasonable and must be used to reduce the cost 
3.4 	of operating the route. Families who qualify for mileage reimbursement under section  
3.5 	124D.09, subdivision 22, may use their state mileage reimbursement to pay this fee. If 
3.6 	no fee is charged, districts must allocate costs based on the number of pupils riding the 
3.7 	route; and 
3.8 	(14) for fiscal years prior to 2010, for full-day kindergarten programs. 

3.9 	EFFECTIVE DATE. This section is effective July 1, 2006. 

3.10 	Sec. 3. Minnesota Statutes 2004, section 123B.37, subdivision 1, is amended to read:
3.11 		Subdivision 1.Boards shall not charge certain fees. (a) A board is not authorized 
3.12 	to charge fees in the following areas:
3.13 	(1) textbooks, workbooks, art materials, laboratory supplies, towels;
3.14 	(2) supplies necessary for participation in any instructional course except as 
3.15 	authorized in sections  123B.36 and  123B.38; 
3.16 	(3) field trips that are required as a part of a basic education program or course;
3.17 	(4) graduation caps, gowns, any specific form of dress necessary for any educational 
3.18 	program, and diplomas;
3.19 	(5) instructional costs for necessary school personnel employed in any course or 
3.20 	educational program required for graduation other than full-day kindergarten programs 
3.21 	offered prior to fiscal year 2010;
3.22 	(6) library books required to be utilized for any educational course or program;
3.23 	(7) admission fees, dues, or fees for any activity the pupil is required to attend;
3.24 	(8) any admission or examination cost for any required educational course or 
3.25 	program;
3.26 	(9) locker rentals;
3.27 	(10) transportation to and from school of pupils living two miles or more from 
3.28 	school.
3.29 	(b) Notwithstanding paragraph (a), clauses (1) and (6), a board may charge fees 
3.30 	for textbooks, workbooks, and library books, lost or destroyed by students. The board 
3.31 	must annually notify parents or guardians and students about its policy to charge a fee 
3.32 	under this paragraph.

3.33 	EFFECTIVE DATE. This section is effective July 1, 2006. 

4.1 	Sec. 4. Minnesota Statutes 2004, section 126C.05, subdivision 1, is amended to read:
4.2 		Subdivision 1.Pupil unit. Pupil units for each Minnesota resident pupil in average 
4.3 	daily membership enrolled in the district of residence, in another district under sections  
4.4 	123A.05 to  123A.08,  124D.03,  124D.06,  124D.07,  124D.08, or  124D.68; in a charter 
4.5 	school under section  124D.10; or for whom the resident district pays tuition under section  
4.6 	123A.18,  123A.22,  123A.30,  123A.32,  123A.44,  123A.488,  123B.88, subdivision 
4.7 	4,  124D.04,  124D.05,  125A.03 to  125A.24,  125A.51, or  125A.65, shall be counted 
4.8 	according to this subdivision. 
4.9 	(a) A prekindergarten pupil with a disability who is enrolled in a program approved 
4.10 	by the commissioner and has an individual education plan is counted as the ratio of the 
4.11 	number of hours of assessment and education service to 825 times  1.25 with a minimum 
4.12 	average daily membership of 0.28, but not more than  1.25 pupil units. 
4.13 	(b) A prekindergarten pupil who is assessed but determined not to be handicapped is 
4.14 	counted as the ratio of the number of hours of assessment service to 825 times  1.25. 
4.15 	(c) A kindergarten pupil with a disability who is enrolled in a program approved 
4.16 	by the commissioner is counted as the ratio of the number of hours of assessment and 
4.17 	education services required in the fiscal year by the pupil's individual education program 
4.18 	plan to 875, but not more than one.
4.19 	(d) For fiscal years 2007 through 2009, a kindergarten pupil who is not included 
4.20 	in paragraph paragraphs (c) or (i) or is counted as .557 of a pupil unit. For fiscal year 
4.21 	2000 2010 and thereafter, a kindergarten pupil not counted in paragraph (c) is counted 
4.22 	as 1.115 pupil units.
4.23 	(e) A pupil who is in any of grades 1 to 3 is counted as  1.115 pupil units for fiscal 
4.24 	year 2000 and thereafter. 
4.25 	(f) A pupil who is any of grades 4 to 6 is counted as  1.06 pupil units for fiscal 
4.26 	year 1995 and thereafter. 
4.27 	(g) A pupil who is in any of grades 7 to 12 is counted as 1.3 pupil units.
4.28 	(h) A pupil who is in the postsecondary enrollment options program is counted 
4.29 	as 1.3 pupil units.
4.30 	(i) A kindergarten pupil who is determined to be "at-risk" is counted as .85 pupil 
4.31 	units for fiscal year 2007, .95 pupil units for fiscal year 2008, and 1.05 pupil units for fiscal 
4.32 	year 2009. All other kindergarten pupils are counted as follows: for fiscal year 2007, 1.25 
4.33 	times the weight specified in paragraph (d); for fiscal year 2008, 1.50 times the weight 
4.34 	specified in paragraph (d); and for fiscal year 2009, 1.75 times the weight specified in 
4.35 	paragraph (d). A kindergarten pupil is defined "at-risk" if the pupil qualifies for free or 
4.36 	reduced-price meals under subdivision 16. 

5.1 	EFFECTIVE DATE. This section is effective for revenue for fiscal year 2007. 

5.2 	Sec. 5. APPROPRIATION; FULL-DAY KINDERGARTEN.
 5.3 	$42,303,000 is appropriated in fiscal year 2007 from the general fund to the 
5.4 	commissioner of education for additional general education payments attributable to 
5.5 	full-day kindergarten.