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Minnesota Legislature

Office of the Revisor of Statutes

HF 4272

as introduced - 90th Legislature (2017 - 2018) Posted on 04/23/2018 02:56pm

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

Current Version - as introduced

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A bill for an act
relating to education finance; providing for special education equity aid;
appropriating money;amending Minnesota Statutes 2016, section 125A.76,
subdivision 1; proposing coding for new law in Minnesota Statutes, chapter 125A.

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

Section 1.

Minnesota Statutes 2016, section 125A.76, subdivision 1, is amended to read:


Subdivision 1.

Definitions.

(a) For the purposes of this section and section 125A.79,
the definitions in this subdivision apply.

(b) "Basic revenue" has the meaning given it in section 126C.10, subdivision 2. For the
purposes of computing basic revenue pursuant to this section, each child with a disability
shall be counted as prescribed in section 126C.05, subdivision 1.

(c) "Essential personnel" means teachers, cultural liaisons, related services, and support
services staff providing services to students. Essential personnel may also include special
education paraprofessionals or clericals providing support to teachers and students by
preparing paperwork and making arrangements related to special education compliance
requirements, including parent meetings and individualized education programs. Essential
personnel does not include administrators and supervisors.

(d) "Average daily membership" has the meaning given it in section 126C.05.

(e) "Program growth factor" means 1.046 for fiscal years 2012 through 2015, 1.0 for
fiscal year 2016, 1.046 for fiscal year 2017, and the product of 1.046 and the program growth
factor for the previous year for fiscal year 2018 and later.

(f) "Nonfederal special education expenditure" means all direct expenditures that are
necessary and essential to meet the district's obligation to provide special instruction and
services to children with a disability according to sections 124D.454, 125A.03 to 125A.24,
125A.259 to 125A.48, and 125A.65 as submitted by the district and approved by the
department under section 125A.75, subdivision 4, excluding expenditures:

(1) reimbursed with federal funds;

(2) reimbursed with other state aids under this chapter;

(3) for general education costs of serving students with a disability;

(4) for facilities;

(5) for pupil transportation; and

(6) for postemployment benefits.

(g) "Old formula special education expenditures" means expenditures eligible for revenue
under Minnesota Statutes 2012, section 125A.76, subdivision 2.

(h) For the Minnesota State Academy for the Deaf and the Minnesota State Academy
for the Blind, expenditures under paragraphs (f) and (g) are limited to the salary and fringe
benefits of one-to-one instructional and behavior management aides and one-to-one licensed,
certified professionals assigned to a child attending the academy, if the aides or professionals
are required by the child's individualized education program.

(i) "Cross subsidy reduction aid percentage" means 1.0 percent for fiscal year 2014 and
2.27 percent for fiscal year 2015.

(j) "Cross subsidy reduction aid limit" means $20 for fiscal year 2014 and $48 for fiscal
year 2015.

(k) "Special education aid increase limit" means $80 for fiscal year 2016, $100 for fiscal
year 2017, and, for fiscal year 2018 and later, the sum of the special education aid increase
limit for the previous fiscal year and $40.

(l) "District" means a school district, a charter school, or a cooperative unit as defined
in section 123A.24, subdivision 2. Notwithstanding section 123A.26, cooperative units as
defined in section 123A.24, subdivision 2, are eligible to receive special education aid under
this section and section 125A.79.

new text begin (m) "Initial special education cross subsidy" means the greater of zero or:
new text end

new text begin (1) the nonfederal special education expenditure under paragraph (f); plus
new text end

new text begin (2) the cost of providing transportation services for pupils with disabilities under section
123B.92, subdivision 1, paragraph (b), clause (4); minus
new text end

new text begin (3) the special education aid under subdivision 2c and sections 125A.11, subdivision 1,
and 127A.47, subdivision 7; minus
new text end

new text begin (4) the amount of general education revenue, excluding local optional revenue, plus
local optional aid and referendum equalization aid attributable to pupils receiving special
instruction and services outside the regular classroom for more than 60 percent of the school
day for the portion of time the pupils receive special instruction and services outside the
regular classroom, excluding portions attributable to district and school administration,
district support services, operations and maintenance, capital expenditures, and pupil
transportation.
new text end

new text begin (n) "Special education equity metro region" means the districts with their administrative
offices located in Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, or Washington County
on January 1, 2012, and districts in other counties with 7,500 or more pupils in adjusted
average daily membership.
new text end

new text begin (o) "Special education equity rural region" means the districts with their administrative
offices located outside Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, or Washington
County on January 1, 2012, and districts in other counties with less than 7,500 pupils in
adjusted average daily membership.
new text end

Sec. 2.

new text begin [125A.81] SPECIAL EDUCATION EQUITY AID.
new text end

new text begin Subdivision 1. new text end

new text begin Special education equity aid. new text end

new text begin A school district's special education equity
aid equals the greater of zero or, for the second preceding year, the lesser of (1) 30 percent
of the difference between the school district's initial special education cross subsidy per
pupil in adjusted average daily membership and the regional average initial special education
cross subsidy per pupil in adjusted average daily membership, or (2) $120 times the district's
adjusted average daily membership.
new text end

new text begin Subd. 2. new text end

new text begin Special education equity region. new text end

new text begin The department must assign school districts
to special education equity regions under section 125A.76, subdivision 1, paragraphs (n)
and (o).
new text end

new text begin Subd. 3. new text end

new text begin Regional equity cross subsidy. new text end

new text begin For each region established in subdivision 2,
the department must calculate the regional average initial special education cross subsidy
under section 125A.76, subdivision 1, paragraph (m), per pupil in adjusted average daily
membership for the second preceding year.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2018.
new text end

Sec. 3. new text beginAPPROPRIATION.
new text end

new text begin Subdivision 1. new text end

new text begin Department of Education. new text end

new text begin The sum indicated in this section is
appropriated from the general fund the Department of Education for the fiscal year
designated.
new text end

new text begin Subd. 2. new text end

new text begin Special education equity aid. new text end

new text begin (a) For special education equity aid under
Minnesota Statutes, section 125A.81:
new text end

new text begin $
new text end
new text begin 20,000,000
new text end
new text begin .....
new text end
new text begin 2019
new text end

new text begin (b) If the appropriation amount is insufficient, the commissioner of education shall
reduce the reimbursement rate in Minnesota Statutes, section 125A.81, subdivision 1, and
the revenue for fiscal year 2019 shall be prorated.
new text end