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SF 1427

as introduced - 80th Legislature (1997 - 1998) Posted on 12/15/2009 12:00am

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

Current Version - as introduced

  1.1                          A bill for an act
  1.2             relating to education; increasing the general 
  1.3             education formula allowance; creating an equalized 
  1.4             discretionary levy; increasing funding for special 
  1.5             education programs; limiting the referendum revenue 
  1.6             program; repealing supplemental revenue; limiting the 
  1.7             variation in general education revenue; broadening the 
  1.8             uses of class size reduction revenue; appropriating 
  1.9             money; amending Minnesota Statutes 1996, sections 
  1.10            124.3201, subdivision 1; 124A.03, subdivision 1f; 
  1.11            124A.22, subdivisions 1 and 2, as amended; 124A.225, 
  1.12            subdivision 4; proposing coding for new law in 
  1.13            Minnesota Statutes, chapter 124A; repealing Minnesota 
  1.14            Statutes 1996, section 124A.22, subdivisions 8, 8a, 
  1.15            8b, and 9. 
  1.16  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.17     Section 1.  Minnesota Statutes 1996, section 124.3201, 
  1.18  subdivision 1, is amended to read: 
  1.19     Subdivision 1.  [DEFINITIONS.] For the purposes of this 
  1.20  section and sections 124.3202 and 124.321, the definitions in 
  1.21  this subdivision apply. 
  1.22     (a) "Base year" for fiscal year 1996 and fiscal year 1997 
  1.23  means the 1994 summer program and the 1994-1995 school year.  
  1.24  Base year for later fiscal years means the second fiscal year 
  1.25  preceding the fiscal year for which aid will be paid. 
  1.26     (b) "Basic revenue" has the meaning given it in section 
  1.27  124A.22, subdivision 2.  For the purposes of computing basic 
  1.28  revenue pursuant to this section, each child with a disability 
  1.29  shall be counted as prescribed in section 124.17, subdivision 1. 
  1.30     (c) "Essential personnel" means teachers, related services, 
  2.1   and support services staff providing direct services to students.
  2.2      (d) "Average daily membership" has the meaning given it in 
  2.3   section 124.17. 
  2.4      (e) "Program growth factor" means 1.00 1.03 for fiscal year 
  2.5   1998 and later. 
  2.6      (f) "Aid percentage factor" means 60 percent for fiscal 
  2.7   year 1996, 70 percent for fiscal year 1997, 80 percent for 
  2.8   fiscal year 1998, 90 percent for fiscal year 1999, and 100 
  2.9   percent for fiscal years 2000 and later. 
  2.10     (g) "Levy percentage factor" means 100 minus the aid 
  2.11  percentage factor for that year. 
  2.12     Sec. 2.  Minnesota Statutes 1996, section 124A.03, 
  2.13  subdivision 1f, is amended to read: 
  2.14     Subd. 1f.  [REFERENDUM EQUALIZATION REVENUE.] A district's 
  2.15  referendum equalization revenue equals $315 times the district's 
  2.16  actual pupil units for that year. 
  2.17     Referendum equalization revenue must not exceed the lesser 
  2.18  of: 
  2.19     (1) a district's total referendum revenue for that year; or 
  2.20     (2) an amount equal to the product of 25 percent of the 
  2.21  general education formula allowance for that year and the 
  2.22  district's pupil units for the year. 
  2.23     Sec. 3.  Minnesota Statutes 1996, section 124A.22, 
  2.24  subdivision 1, is amended to read: 
  2.25     Subdivision 1.  [GENERAL EDUCATION REVENUE.] (a) For fiscal 
  2.26  year 1996, the general education revenue for each district 
  2.27  equals the sum of the district's basic revenue, compensatory 
  2.28  education revenue, training and experience revenue, secondary 
  2.29  sparsity revenue, elementary sparsity revenue, and supplemental 
  2.30  revenue. 
  2.31     (b) For fiscal year 1997 1999 and thereafter, the general 
  2.32  education revenue for each district equals the sum of the 
  2.33  district's basic revenue, compensatory education revenue, 
  2.34  secondary sparsity revenue, elementary sparsity revenue, 
  2.35  transportation sparsity, total operating capital revenue, and 
  2.36  transition revenue, and supplemental revenue. 
  3.1      Sec. 4.  Minnesota Statutes 1996, section 124A.22, 
  3.2   subdivision 2, as amended by Laws 1997, chapter 1, section 4, is 
  3.3   amended to read: 
  3.4      Subd. 2.  [BASIC REVENUE.] The basic revenue for each 
  3.5   district equals the formula allowance times the actual pupil 
  3.6   units for the school year.  The formula allowance for fiscal 
  3.7   year 1995 is $3,150.  The formula allowance for fiscal year 1996 
  3.8   is $3,205.  The formula allowance for fiscal year 1997 and 
  3.9   subsequent fiscal years is $3,505.  The formula allowance for 
  3.10  fiscal year 1998 is $3,610.  The formula allowance for fiscal 
  3.11  year 1999 and subsequent years is $3,720. 
  3.12     Sec. 5.  Minnesota Statutes 1996, section 124A.225, 
  3.13  subdivision 4, is amended to read: 
  3.14     Subd. 4.  [REVENUE USE.] (a) Revenue must be used according 
  3.15  to either paragraph (b), (c), or (d). 
  3.16     (b) Revenue shall be used to reduce and maintain the 
  3.17  district's instructor to learner ratios in kindergarten through 
  3.18  grade 6 to a level of 1 to 17 on average.  The district must 
  3.19  prioritize the use of the revenue to attain this level initially 
  3.20  in kindergarten and grade 1 and then through the subsequent 
  3.21  grades as revenue is available.  
  3.22     (c) Notwithstanding paragraph (b), for fiscal year 1995, a 
  3.23  district with exceptional need as defined in subdivision 6, 
  3.24  paragraph (a), may use the revenue to reduce and maintain the 
  3.25  district's instructor-to-learner ratios in kindergarten through 
  3.26  grade 6 to a level that is at least 2.0 less than the district's 
  3.27  adopted staffing ratio, if the remaining learning and 
  3.28  development revenue is used to continue or initiate staffing 
  3.29  patterns that meet the needs of a diverse student population.  
  3.30  Programs to meet the needs of a diverse student population may 
  3.31  include programs for at-risk pupils and learning enrichment 
  3.32  programs. 
  3.33     (d) For fiscal year 1995 only, in any school building that 
  3.34  meets the characteristics of exceptional need as defined in 
  3.35  subdivision 6, paragraph (b), a district may use the revenue to 
  3.36  employ education assistants or aides supervised by a learner's 
  4.1   regular instructor to assist learners in those school buildings. 
  4.2      (e) The revenue may be used to prepare and use an 
  4.3   individualized learning plan for each learner.  A district must 
  4.4   not increase the district wide instructor-learner ratios in 
  4.5   other grades as a result of reducing instructor-learner ratios 
  4.6   in kindergarten through grade 6.  Revenue may not be used to 
  4.7   provide instructor preparation time or to provide the district's 
  4.8   share of revenue required under section 124.311.  A school 
  4.9   district may use a portion of the revenue reserved under this 
  4.10  section to employ up to the same number of full-time equivalent 
  4.11  education assistants or aides as the district employed during 
  4.12  the 1992-1993 school year under Minnesota Statutes 1992, section 
  4.13  124.331, subdivision 2. 
  4.14     Sec. 6.  [124A.32] [DISCRETIONARY REVENUE.] 
  4.15     Subdivision 1.  [PURPOSE.] Property wealth-based revenue 
  4.16  disparities in the Minnesota school finance system result in 
  4.17  disparities in the educational opportunities provided to 
  4.18  children in different school districts.  These disparities place 
  4.19  school children on an unequal footing dependent upon the 
  4.20  property wealth of their school districts in their pursuit of 
  4.21  higher education, job opportunities, and other competitive 
  4.22  aspects of adult life.  It is the purpose of the discretionary 
  4.23  equity levy and aid program to eliminate the significant 
  4.24  advantage higher wealth districts have over lower wealth 
  4.25  districts in areas of programs such as curriculum, summer 
  4.26  schools, advanced placement, gifted and talented, access to 
  4.27  computers, and extracurricular activities. 
  4.28     Subd. 2.  [DISCRETIONARY REVENUE.] A school district is 
  4.29  eligible for discretionary revenue if the school board annually 
  4.30  adopts a resolution to that effect by July 1 of the year in 
  4.31  which the discretionary levy is certified.  A school district's 
  4.32  discretionary revenue equals $300 times the district's pupil 
  4.33  units for that year if the district does not have referendum 
  4.34  revenue under section 124A.03.  If a district has referendum 
  4.35  revenue authority under section 124A.03, its discretionary 
  4.36  revenue is the result of the following calculation: 
  5.1      (1) subtract the district's referendum revenue computed 
  5.2   under section 124A.03, from the product of 25 percent of the 
  5.3   general education formula allowance for that year and the 
  5.4   district's pupil units for that year; 
  5.5      (2) divide the amount in clause (1) by the product of 25 
  5.6   percent of the general education formula allowance for that year 
  5.7   and the district's pupil units for that year; 
  5.8      (3) multiply the amount in clause (2) by $300 times the 
  5.9   district's pupil units for that year. 
  5.10     A district's discretionary revenue cannot be less than zero.
  5.11     Subd. 3.  [DISCRETIONARY LEVY.] Discretionary levy equals 
  5.12  the discretionary revenue times the lesser of one or the ratio 
  5.13  of: 
  5.14     (1) adjusted net tax capacity divided by the number of 
  5.15  pupil units for the year the revenue is attributable, to 
  5.16     (2) the equalizing factor. 
  5.17     Subd. 4.  [DISCRETIONARY AID.] Discretionary aid equals 
  5.18  discretionary revenue minus discretionary levy.  If a district 
  5.19  levies less than the authorized amount, the aid must be 
  5.20  proportionately reduced. 
  5.21     Sec. 7.  [124A.33] [GENERAL EDUCATION REVENUE LIMIT.] 
  5.22     Subdivision 1.  [REVENUE LIMIT.] The sum of (1) general 
  5.23  education basic revenue under section 124A.22, subdivision 2, (2)
  5.24  referendum revenue under section 124A.03, and (3) discretionary 
  5.25  revenue under section 124A.32, must not exceed $4,800 per pupil 
  5.26  unit for fiscal year 1998 and $4,900 for fiscal year 1999.  A 
  5.27  district shall reduce its referendum revenue authority under 
  5.28  section 124A.03 by the amount by which this limit is exceeded. 
  5.29     Subd. 2.  [EXCEPTION.] If a district's revenue in fiscal 
  5.30  year 1997 exceeds the limit established in subdivision 1, the 
  5.31  district may continue to receive that amount of general 
  5.32  education revenue and referendum revenue per pupil unit for 
  5.33  fiscal years 1998 and later. 
  5.34     Sec. 8.  [REPEALER.] 
  5.35     Minnesota Statutes 1996, section 124A.22, subdivisions 8, 
  5.36  8a, 8b, and 9, are repealed for revenue for fiscal year 1999 and 
  6.1   later. 
  6.2      Sec. 9.  [EFFECTIVE DATE.] 
  6.3      Sections 1, 3, 4, and 5 are effective July 1, 1997.  
  6.4   Sections 2 and 6 are effective for revenue for fiscal year 1999. 
  6.5   Section 7 is effective the day following final enactment.