SF 1045

as introduced - 86th Legislature (2009 - 2010) Posted on 02/09/2010 02:18am

A bill for an act
relating to education; eliminating mandates; providing districts flexibility;
amending Minnesota Statutes 2008, sections 120B.11, subdivision 5; 121A.035,
subdivision 2; 121A.037; 122A.61, subdivision 1; 123B.10, subdivision 1;
123B.36, by adding a subdivision; 123B.37, subdivision 1; 123B.60, subdivision
1; 123B.71, subdivision 12; 123B.76, subdivision 3; 124D.10, subdivision 20;
124D.135, subdivision 8; 124D.16, subdivision 6; 124D.20, subdivision 11;
125B.15; 126C.15, subdivisions 2, 3; 126C.44; 134.34, subdivision 4; repealing
Minnesota Statutes 2008, sections 121A.06; 122A.628; 122A.75; 123A.05,
subdivision 2; 123B.04; 123B.70; 123B.71, subdivisions 8, 9, 11, 12; 123B.92,
subdivisions 5, 9.

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

ARTICLE 1

MANDATE REDUCTION

Section 1.

Minnesota Statutes 2008, section 120B.11, subdivision 5, is amended to read:

Subd. 5.

Report.

(a) By October 1 of each year, the school board shall use standard
statewide reporting procedures the commissioner develops and adopt a report that includes
the following:

(1) student achievement goals for meeting state academic standards;

(2) results of local assessment data, and any additional test data;

(3) the annual school district improvement plans including staff development goals
under section 122A.60;

(4) information about district and learning site progress in realizing previously
adopted improvement plans; and

(5) the amount and type of revenue attributed to each education site as defined
in section 123B.04.

(b) The school board shall publish new text begin a summary of new text end the report in the local newspaper
with the largest circulation in the district, by mail, or by electronic means such as the
district Web site. If electronic means are used, school districts must publish notice of the
report in a periodical of general circulation in the district. School districts must make
copies of the report available to the public on request. deleted text begin The board shall make a copy of the
report available to the public for inspection. The board shall send a copy of the report to
the commissioner of education by October 15 of each year.
deleted text end

(c) The title of the report shall contain the name and number of the school district and
read "Annual Report on Curriculum, Instruction, and Student Achievement." The report
must include at least the following information about advisory committee membership:

(1) the name of each committee member and the date when that member's term
expires;

(2) the method and criteria the school board uses to select committee members; and

(3) the date by which a community resident must apply to next serve on the
committee.

Sec. 2.

Minnesota Statutes 2008, section 121A.035, subdivision 2, is amended to read:

Subd. 2.

School district and charter school policy.

A school board and a
charter school must adopt a crisis management policy to address potential violent crisis
situations in the district or charter school. The policy must be developed cooperatively
with administrators, teachers, employees, students, parents, community members, law
enforcement agencies, other emergency management officials, county attorney offices,
social service agencies, emergency medical responders, and any other appropriate
individuals or organizations. The policy must include at least deleted text begin five deleted text end new text begin two new text end school lock-down
drills, deleted text begin five deleted text end new text begin two new text end school fire drills consistent with section 299F.30, and one tornado drill.

Sec. 3.

Minnesota Statutes 2008, section 121A.037, is amended to read:

121A.037 SCHOOL SAFETY DRILLS.

Private schools and educational institutions not subject to section 121A.035 must
have at least deleted text begin five deleted text end new text begin two new text end school lock-down drills, deleted text begin five deleted text end new text begin two new text end school fire drills consistent with
section 299F.30, and one tornado drill.

Sec. 4.

Minnesota Statutes 2008, section 122A.61, subdivision 1, is amended to read:

Subdivision 1.

Staff development revenue.

A district is required to reserve
an amount equal to at least two percent of the basic revenue under section 126C.10,
subdivision 2, for in-service education for programs under section 120B.22, subdivision
2, for staff development plans, including plans for challenging instructional activities
and experiences under section 122A.60, and for curriculum development and programs,
other in-service education, teachers' workshops, teacher conferences, the cost of
substitute teachers staff development purposes, preservice and in-service education for
special education professionals and paraprofessionals, and other related costs for staff
development efforts. A district may annually waive the requirement to reserve deleted text begin their deleted text end new text begin its
new text end basic revenue under this section if a majority vote of the licensed teachers in the district
and a majority vote of the school board agree to a resolution to waive the requirement. A
district in statutory operating debt is exempt from reserving basic revenue according to
this section. Districts may expend an additional amount of unreserved revenue for staff
development based on their needs. deleted text begin With the exception of amounts reserved for staff
development from revenues allocated directly to school sites, the board must initially
allocate 50 percent of the reserved revenue to each school site in the district on a per
teacher basis, which must be retained by the school site until used. The board may retain
25 percent to be used for district wide staff development efforts. The remaining 25 percent
of the revenue must be used to make grants to school sites for best practices methods. deleted text end
deleted text begin A grant deleted text end new text begin The revenue new text end may be used for any purpose authorized under section 120B.22,
subdivision 2, 122A.60, or for the costs of curriculum development and programs, other
in-service education, teachers' workshops, teacher conferences, substitute teachers for
staff development purposes, and other staff development efforts, and determined by
the site professional development team. The site professional development team must
demonstrate to the school board the extent to which staff at the site have met the outcomes
of the program. The board may withhold deleted text begin a portion of initial allocation of deleted text end new text begin the new text end revenue if
new text begin the board determines that new text end the staff development outcomes are not being met.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2009.
new text end

Sec. 5.

Minnesota Statutes 2008, section 123B.10, subdivision 1, is amended to read:

Subdivision 1.

Budgets; form of notification.

(a) Every board must publish revenue
and expenditure budgets for the current year and the actual revenues, expenditures, fund
balances for the prior year and projected fund balances for the current year in a form
prescribed by the commissioner within one week of the acceptance of the final audit by
the board, or November 30, whichever is earlier. The forms prescribed must be designed
so that year to year comparisons of revenue, expenditures and fund balances can be made.

(b) A school board annually must notify the public of its revenue, expenditures, fund
balances, and other relevant budget information. The board must include the budget
information required by this section in the materials provided as a part of its truth in
taxation hearing, post the materials in a conspicuous place on the district's official Web
site, including a link to the district's school report card on the Department of Education's
Web site, and publish new text begin a summary of new text end the information in a qualified newspaper of general
circulation in the district.

Sec. 6.

Minnesota Statutes 2008, section 123B.36, is amended by adding a subdivision
to read:

new text begin Subd. 3a. new text end

new text begin Nonpublic student transportation. new text end

new text begin A nonpublic student may be required
to furnish his or her own transportation. As an alternative, a school board in the district in
which the nonpublic school resides may charge the nonpublic school the actual cost of
transporting the nonpublic school student.
new text end

Sec. 7.

Minnesota Statutes 2008, section 123B.37, subdivision 1, is amended to read:

Subdivision 1.

Boards shall not charge certain fees.

(a) A board is not authorized
to charge fees in the following areas:

(1) textbooks, workbooks, art materials, laboratory supplies, towels;

(2) supplies necessary for participation in any instructional course except as
authorized in sections 123B.36 and 123B.38;

(3) field trips that are required as a part of a basic education program or course;

(4) graduation caps, gowns, any specific form of dress necessary for any educational
program, and diplomas;

(5) instructional costs for necessary school personnel employed in any course or
educational program required for graduation;

(6) library books required to be utilized for any educational course or program;

(7) admission fees, dues, or fees for any activity the pupil is required to attend;

(8) any admission or examination cost for any required educational course or
program;

(9) locker rentals;

(10) transportation to and from school of new text begin public school new text end pupils living two miles or
more from school.

(b) Notwithstanding paragraph (a), clauses (1) and (6), a board may charge fees
for textbooks, workbooks, and library books, lost or destroyed by students. The board
must annually notify parents or guardians and students about its policy to charge a fee
under this paragraph.

Sec. 8.

Minnesota Statutes 2008, section 123B.71, subdivision 12, is amended to read:

Subd. 12.

Publication.

(a) At least 20 days but not more than 60 days before a
referendum for bonds or solicitation of bids for a project that has received a positive or
unfavorable review and comment under section 123B.70, the school board shall publish new text begin a
summary of new text end the commissioner's review and comment of that project in the legal newspaper
of the district. Supplementary information shall be available to the public.

(b) The publication requirement in paragraph (a) does not apply to alternative
facilities projects approved under section 123B.59. Publication for alternative facilities
projects shall be as specified in section 123B.59, subdivisions 3 and 3a.

Sec. 9.

Minnesota Statutes 2008, section 124D.10, subdivision 20, is amended to read:

Subd. 20.

Leave to teach in a charter school.

If a teacher employed by a district
makes a written request for an extended leave of absence to teach at a charter school, the
district must grant the leave. The district must grant a leave not to exceed a total of five
years. Any request to extend the leave shall be granted only at the discretion of the school
board. The district may require that the request for a leave or extension of leave be made
deleted text begin up to 90 days before the teacher would otherwise have to report for duty deleted text end new text begin before February 1
in the school year preceding the school year in which the teacher wishes to begin the leave,
or February 1 of the calendar year in which the leave is scheduled to terminate new text end . Except
as otherwise provided in this subdivision and except for section 122A.46, subdivision 7,
the leave is governed by section 122A.46, including, but not limited to, reinstatement,
notice of intention to return, seniority, salary, and insurance.

During a leave, the teacher may continue to aggregate benefits and credits in the
Teachers' Retirement Association account by paying both the employer and employee
contributions based upon the annual salary of the teacher for the last full pay period before
the leave began. The retirement association may impose reasonable requirements to
efficiently administer this subdivision.

Sec. 10.

Minnesota Statutes 2008, section 124D.135, subdivision 8, is amended to read:

Subd. 8.

Reserve account limit.

(a) Under this section, the average balance, during
the most recent three-year period in a district's early childhood family education reserve
account on June 30 of each year, adjusted for any prior reductions under this subdivision,
must not be greater than deleted text begin 25 deleted text end new text begin 20 new text end percent of the sum of the district's maximum early
childhood family education annual revenue under subdivision 1, excluding adjustments
under this subdivision, plus any fees, grants, or other revenue received by the district for
early childhood family education programs for the prior year.

(b) If a district's adjusted average early childhood family education reserve over
the three-year period is in excess of the limit under paragraph (a), the district's early
childhood family education state aid and levy authority for the current school year must
be reduced by the lesser of the current year revenue under subdivision 1 or the excess
reserve amount. The aid reduction equals the product of the lesser of the excess reserve
amount or the current year revenue under subdivision 1 times the ratio of the district's
aid for the current year under subdivision 4 to the district's revenue for the current year
under subdivision 1. The levy reduction equals the excess reserve amount minus the aid
reduction. For purposes of this paragraph, if a district does not levy the entire amount
permitted under subdivision 3, the revenue under subdivision 1 must be reduced in
proportion to the actual amount levied.

deleted text begin (c) Notwithstanding paragraph (a), for fiscal year 2003, the excess reserve amount
shall be computed using the balance in a district's early childhood family education
reserve account on June 30, 2002. For fiscal year 2004, the excess reserve amount shall
be computed using the adjusted average balance in a district's early childhood family
education reserve account on June 30, 2002, and June 30, 2003.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2010
and later.
new text end

Sec. 11.

Minnesota Statutes 2008, section 124D.16, subdivision 6, is amended to read:

Subd. 6.

Reserve account limit.

(a) Under this section, the average balance, during
the most recent three-year period, in a district's school readiness reserve account on June
30 of each year, adjusted for any prior reductions under this subdivision, must not be
greater than deleted text begin 25 deleted text end new text begin 20 new text end percent of the district's school readiness annual revenue for the prior
year, excluding adjustments under this subdivision.

(b) If a district's adjusted average school readiness reserve over the three-year period
is in excess of the limit under paragraph (a), the district's current year school readiness
state aid must be reduced by the lesser of the excess reserve amount or the current year aid.

deleted text begin (c) Notwithstanding paragraph (a), for fiscal year 2003, the excess reserve amount
shall be computed using the balance in a district's school readiness reserve account on
June 30, 2002. For fiscal year 2004, the excess reserve amount shall be computed using
the adjusted average balance in a district's school readiness reserve account on June 30,
2002, and June 30, 2003.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2010
and later.
new text end

Sec. 12.

Minnesota Statutes 2008, section 124D.20, subdivision 11, is amended to read:

Subd. 11.

Reserve account limit.

(a) Under this section, the sum of the average
balances during the most recent three-year period in a district's community education
reserve account and unreserved/undesignated community service fund account on June
30 of each year, adjusted for any prior reductions under this subdivision, must not be
greater than deleted text begin 25 deleted text end new text begin 20 new text end percent of the sum of the district's maximum total community education
revenue under subdivision 1, excluding adjustments under this subdivision, plus any
fees, grants, or other revenue received by the district for community education programs
for the prior year. For purposes of this paragraph, "community education programs"
means programs according to subdivisions 8, paragraph (a), and 9, and section 124D.19,
subdivision 12, excluding early childhood family education programs under section
124D.13, school readiness programs under section 124D.15, and adult basic education
programs under section 124D.52.

(b) If the sum of the average balances during the most recent three-year period in a
district's community education reserve account and unreserved/undesignated community
service fund account on June 30 of each year, adjusted for any prior reductions under
this subdivision, is in excess of the limit under paragraph (a), the district's community
education state aid and levy authority for the current school year must be reduced by the
lesser of the current year revenue under subdivision 1 or the excess reserve amount.
The aid reduction equals the product of the lesser of the excess reserve amount or the
current year revenue under subdivision 1 times the ratio of the district's aid for the current
year under subdivision 7 to the district's revenue for the current year under subdivision
1. The levy reduction equals the excess reserve amount minus the aid reduction. For
purposes of this paragraph, if a district does not levy the entire amount permitted under
subdivision 5 or 6, the revenue under subdivision 1 must be reduced in proportion to
the actual amount levied.

deleted text begin (c) Notwithstanding paragraph (a), for fiscal year 2003, the excess reserve amount
shall be computed using the balances in a district's community education reserve account
and unreserved/undesignated community service fund account on June 30, 2002. For
fiscal year 2004, the excess reserve amount shall be computed using the adjusted average
balances in a district's community education reserve account and unreserved/undesignated
community service fund account on June 30, 2002, and June 30, 2003.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2010
and later.
new text end

Sec. 13.

Minnesota Statutes 2008, section 126C.44, is amended to read:

126C.44 SAFE SCHOOLS LEVY.

(a) Each district may make a levy on all taxable property located within the district
for the purposes specified in this section. The maximum amount which may be levied
for all costs under this section shall be equal to $30 multiplied by the district's adjusted
marginal cost pupil units for the school year. The proceeds of the levy must be reserved and
used for directly funding the following purposes or for reimbursing the cities and counties
who contract with the district for the following purposes: (1) to pay the costs incurred for
the salaries, benefits, and transportation costs of peace officers and sheriffs for liaison in
services in the district's schools; (2) to pay the costs for a drug abuse prevention program
as defined in section 609.101, subdivision 3, paragraph (e), in the elementary schools;
(3) to pay the costs for a gang resistance education training curriculum in the district's
schools; (4) to pay the costs for security in the district's schools and on school property; (5)
to pay the costs for other crime prevention, drug abuse, student and staff safety, voluntary
opt-in suicide prevention tools, and violence prevention measures taken by the school
district; or (6) to pay costs for licensed school counselors, licensed school nurses, licensed
school social workers, licensed school psychologists, and licensed alcohol and chemical
dependency counselors to help provide early responses to problems. For expenditures
under clause (1), the district must initially attempt to contract for services to be provided
by peace officers or sheriffs with the police department of each city or the sheriff's
department of the county within the district containing the school receiving the services. If
a local police department or a county sheriff's department does not wish to provide the
necessary services, the district may contract for these services with any other police or
sheriff's department located entirely or partially within the school district's boundaries.

(b) A school district that is a member of an intermediate school district may
include in its authority under this section the costs associated with safe schools activities
authorized under paragraph (a) for intermediate school district programs. This authority
must not exceed $10 times the adjusted marginal cost pupil units of the member districts.
This authority is in addition to any other authority authorized under this section. Revenue
raised under this paragraph must be transferred to the intermediate school district.

(c) A school district must set aside at least $3 per adjusted marginal cost pupil unit
of the safe schools levy proceeds for the purposes authorized under paragraph (a), clause
(6). deleted text begin The district must annually certify that its total spending on services provided by the
employees listed in paragraph (a), clause (6), is not less than the sum of its expenditures
for these purposes, excluding amounts spent under this section, in the previous year plus
the amount spent under this section.
deleted text end

Sec. 14.

Minnesota Statutes 2008, section 134.34, subdivision 4, is amended to read:

Subd. 4.

Limitation.

A regional library basic system support grant deleted text begin shall not be
made deleted text end to a regional public library system for a participating city or county which decreases
the dollar amount provided for support for operating purposes of public library service
below the amount provided by it for the second preceding year new text begin shall be reduced. The
regional library basic system support grant shall be reduced in the same proportion that the
participating city or county decreased its participation below the amount it provided for
the second preceding year new text end . For purposes of this subdivision and subdivision 1, any funds
provided under section 473.757, subdivision 2, for extending library hours of operation
shall not be considered amounts provided by a city or county for support for operating
purposes of public library service. This subdivision shall not apply to participating cities
or counties where the adjusted net tax capacity of that city or county has decreased, if the
dollar amount of the reduction in support is not greater than the dollar amount by which
support would be decreased if the reduction in support were made in direct proportion to
the decrease in adjusted net tax capacity.

Sec. 15. new text begin DEADLINE AND PENALTY WAIVED.
new text end

new text begin The deadline and penalty under Minnesota Statutes, section 123B.05, subdivision 2,
do not apply for aid payments for the 2010-2011 biennium.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2009.
new text end

Sec. 16. new text begin LEARNING AND DEVELOPMENT REVENUE; TEMPORARY
SUSPENSION.
new text end

new text begin Notwithstanding Minnesota Statutes, section 126C.12, subdivisions 4 and 5, for
fiscal years 2010 and 2011 only, a school district or charter school may use the learning
and development revenue reserve under Minnesota Statutes, section 126C.12, subdivision
1, according to the requirements of general education revenue under Minnesota Statutes,
section 126C.13, subdivision 5.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2009.
new text end

Sec. 17. new text begin SAFE SCHOOLS LEVY; TEMPORARY SUSPENSION.
new text end

new text begin Notwithstanding Minnesota Statutes, section 126C.44, for fiscal years 2010 and
2011 only, a school district that receives safe school levy funds under Minnesota Statutes,
section 126C.44, may use those funds according to the requirement of general education
revenue under Minnesota Statutes, section 126C.13, subdivision 5.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2009.
new text end

Sec. 18. new text begin CAPITAL ACCOUNT FUND TRANSFER.
new text end

new text begin Notwithstanding any law to the contrary, on June 30, 2009, a school district may
transfer money from its reserved for operating capital account to its undesignated balance
in the general fund. The amount transferred by any school district must not exceed $102
times the district's adjusted marginal cost pupil units for fiscal year 2008. The transfer
may occur only after the school board has adopted a written resolution stating the amount
of the transfer and declaring that the school district's operating capital needs are met.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 19. new text begin REPEALER.
new text end

new text begin (a) new text end new text begin Minnesota Statutes 2008, section 123A.05, subdivision 2, new text end new text begin is repealed effective
July 1, 2009.
new text end

new text begin (b) new text end new text begin Minnesota Statutes 2008, sections 121A.06; 122A.628; 122A.75; 123B.04;
123B.70; 123B.71, subdivisions 8, 9, 11, and 12; and 123B.92, subdivisions 5 and 9, new text end new text begin are
repealed the day following final enactment.
new text end

ARTICLE 2

TECHNICAL AND CROSS-REFERENCE CORRECTIONS

Section 1.

Minnesota Statutes 2008, section 120B.11, subdivision 5, is amended to read:

Subd. 5.

Report.

(a) By October 1 of each year, the school board shall use standard
statewide reporting procedures the commissioner develops and adopt a report that includes
the following:

(1) student achievement goals for meeting state academic standards;

(2) results of local assessment data, and any additional test data;

(3) the annual school district improvement plans including staff development goals
under section 122A.60; new text begin and
new text end

(4) information about district and learning site progress in realizing previously
adopted improvement plans deleted text begin ; and
deleted text end

deleted text begin (5) the amount and type of revenue attributed to each education site as defined
in section 123B.04 deleted text end .

(b) The school board shall publish the report in the local newspaper with the largest
circulation in the district, by mail, or by electronic means such as the district Web site. If
electronic means are used, school districts must publish notice of the report in a periodical
of general circulation in the district. School districts must make copies of the report
available to the public on request. The board shall make a copy of the report available to
the public for inspection. The board shall send a copy of the report to the commissioner
of education by October 15 of each year.

(c) The title of the report shall contain the name and number of the school district and
read "Annual Report on Curriculum, Instruction, and Student Achievement." The report
must include at least the following information about advisory committee membership:

(1) the name of each committee member and the date when that member's term
expires;

(2) the method and criteria the school board uses to select committee members; and

(3) the date by which a community resident must apply to next serve on the
committee.

Sec. 2.

Minnesota Statutes 2008, section 123B.60, subdivision 1, is amended to read:

Subdivision 1.

Bonds.

When a building owned by a district is substantially damaged
by an act of God or other means beyond the control of the district, the district may issue
general obligation bonds without an election to provide money immediately to carry out its
adopted health and safety program. Each year the district must pledge an attributable share
of its health and safety revenue to the repayment of principal and interest on the bonds.
The pledged revenue must be transferred to the debt redemption fund of the district. The
district must submit to the department the repayment schedule for any bonds issued under
this section. The district must deposit in the debt redemption fund all proceeds received
for specific costs for which the bonds were issued, including but not limited to:

(1) insurance proceeds;

(2) restitution proceeds; and

(3) proceeds of litigation or settlement of a lawsuit.

Before bonds are issued, the district must submit a combined application to the
commissioner for health and safety revenue, according to section 123B.57 deleted text begin , and requesting
review and comment, according to section 123B.71, subdivisions 8, 9, 11, and 12 deleted text end . The
commissioner shall complete all procedures concerning the combined application within
20 days of receiving the application. deleted text begin The publication provisions of section 123B.71,
subdivision 12, do not apply to bonds issued under this section. deleted text end

Sec. 3.

Minnesota Statutes 2008, section 123B.76, subdivision 3, is amended to read:

Subd. 3.

Expenditures by building.

(a) For the purposes of this section, "building"
means deleted text begin education site as defined in section 123B.04, subdivision 1. deleted text end new text begin an education site. A
program within a facility or within a district is a building if the school board recognizes
it as such.
new text end

deleted text begin (b) deleted text end Each district shall maintain separate accounts to identify general fund
expenditures for each building. All expenditures for regular instruction, secondary
vocational instruction, and school administration must be reported to the department
separately for each building. All expenditures for special education instruction,
instructional support services, and pupil support services provided within a specific
building must be reported to the department separately for each building. Salary
expenditures reported by building must reflect actual salaries for staff at the building and
must not be based on districtwide averages. All other general fund expenditures may be
reported by building or on a districtwide basis.

deleted text begin (c) deleted text end new text begin (b) new text end The department must annually report information showing school district
general fund expenditures per pupil by program category for each building and estimated
school district general fund revenue generated by pupils attending each building on its
Web site. For purposes of this report:

(1) expenditures not reported by building shall be allocated among buildings on a
uniform per pupil basis;

(2) basic skills revenue shall be allocated according to section 126C.10, subdivision
4;

(3) secondary sparsity revenue and elementary sparsity revenue shall be allocated
according to section 126C.10, subdivisions 7 and 8;

(4) alternative teacher compensation revenue shall be allocated according to section
122A.415, subdivision 1;

(5) other general education revenue shall be allocated on a uniform per pupil unit
basis;

(6) first grade preparedness aid shall be allocated according to section 124D.081;

(7) state and federal special education aid and Title I aid shall be allocated in
proportion to district expenditures for these programs by building; and

(8) other general fund revenues shall be allocated on a uniform per pupil basis,
except that the department may allocate other revenues attributable to specific buildings
directly to those buildings.

Sec. 4.

Minnesota Statutes 2008, section 125B.15, is amended to read:

125B.15 INTERNET ACCESS FOR STUDENTS.

(a) Recognizing the difference between school libraries, school computer labs, and
school media centers, which serve unique educational purposes, and public libraries,
which are designed for public inquiry, all computers at a school site with access to the
Internet available for student use must be equipped to restrict, including by use of
available software filtering technology or other effective methods, all student access
to material that is reasonably believed to be obscene or child pornography or material
harmful to minors under federal or state law.

(b) A school site is not required to purchase filtering technology if the school site
would incur more than incidental expense in making the purchase.

(c) A school district receiving technology revenue under section 125B.26 must
prohibit, including through use of available software filtering technology or other effective
methods, adult access to material that under federal or state law is reasonably believed to
be obscene or child pornography.

(d) A school district, its agents or employees, are immune from liability for failure
to comply with this section if they have made a good faith effort to comply with the
requirements of this section.

(e) "School site" means deleted text begin an education site as defined in section 123B.04, subdivision
1, or deleted text end new text begin a separate facility. A program within a facility or within a district is a school site
if the school board recognizes it as a site. A new text end charter school under section 124D.10 new text begin is
also recognized as a school site new text end .

Sec. 5.

Minnesota Statutes 2008, section 126C.15, subdivision 2, is amended to read:

Subd. 2.

Building allocation.

(a) A district must allocate its compensatory
revenue to each school building in the district where the children who have generated the
revenue are served unless the school district has received permission under Laws 2005,
First Special Session chapter 5, article 1, section 50, to allocate compensatory revenue
according to student performance measures developed by the school board.

(b) Notwithstanding paragraph (a), a district may allocate up to five percent of the
amount of compensatory revenue that the district receives to school sites according to a
plan adopted by the school board. The money reallocated under this paragraph must be
spent for the purposes listed in subdivision 1, but may be spent on students in any grade,
including students attending school readiness or other prekindergarten programs.

(c) For the purposes of this section and section 126C.05, subdivision 3, "building"
means education site as defined in section deleted text begin 123B.04, subdivision 1 deleted text end new text begin 123B.76, subdivision 3 new text end .

(d) If the pupil is served at a site other than one owned and operated by the district,
the revenue shall be paid to the district and used for services for pupils who generate the
revenue.

(e) A district with school building openings, school building closings, changes
in attendance area boundaries, or other changes in programs or student demographics
between the prior year and the current year may reallocate compensatory revenue among
sites to reflect these changes. A district must report to the department any adjustments it
makes according to this paragraph and the department must use the adjusted compensatory
revenue allocations in preparing the report required under section 123B.76, subdivision
3, paragraph deleted text begin (c) deleted text end new text begin (b) new text end .

Sec. 6.

Minnesota Statutes 2008, section 126C.15, subdivision 3, is amended to read:

Subd. 3.

Recommendation.

deleted text begin A school site decision-making team, as defined
in section 123B.04, subdivision 2, paragraph (a), or deleted text end The instruction and curriculum
advisory committee under section 120B.11 deleted text begin , if the school has no school site decision team, deleted text end
shall recommend how the compensatory education revenue will be used to carry out the
purpose of this section. A school district that has received permission under Laws 2005,
First Special Session chapter 5, article 1, section 50, to allocate compensatory revenue
according to school performance measures shall share its plan for the distribution of
compensatory revenue with the school site decision team.