SF 1935

1st Engrossment - 89th Legislature (2015 - 2016) Posted on 04/22/2016 09:01am

A bill for an act
relating to education finance; providing funding and policy for early childhood
and family, prekindergarten through grade 12, and adult education, including
general education, education excellence, charter schools, special education, early
childhood education, self-sufficiency, lifelong learning, and state agencies;
appropriating money; amending Minnesota Statutes 2014, sections 13.321,
by adding a subdivision; 120B.021, subdivisions 1, 3; 120B.115; 120B.232;
120B.30, subdivision 2, by adding a subdivision; 120B.31, by adding a
subdivision; 120B.35; 120B.36, as amended; 122A.61, by adding a subdivision;
122A.63, subdivision 1; 123B.04, subdivision 2, by adding a subdivision;
123B.53, subdivision 5; 123B.535; 124D.091, subdivisions 2, 3; 124D.1158,
subdivisions 3, 4; 124D.135, subdivision 6, by adding subdivisions; 124D.59,
by adding a subdivision; 124D.68, subdivision 2; 126C.05, subdivision 3;
126C.10, subdivisions 2d, 24; 127A.45, subdivision 6a; Minnesota Statutes 2015
Supplement, sections 120A.41; 120B.021, subdivision 4; 120B.31, subdivision
4; 120B.36, subdivision 1; 122A.21, subdivision 2; 122A.415, subdivision 4;
122A.61, subdivision 1; 123B.595, subdivision 1; 124D.231, subdivision 2;
124D.59, subdivision 2; 124E.10, by adding a subdivision; 125A.08; 125A.11,
subdivision 1; 125A.21, subdivision 3; 125A.76, subdivision 2c; 125A.79,
subdivision 1; 126C.05, subdivision 1; 126C.10, subdivision 13a; 127A.47,
subdivision 7; Laws 2011, First Special Session chapter 11, article 4, section 8;
Laws 2012, chapter 263, sections 1, as amended; 2; Laws 2015, First Special
Session chapter 3, article 1, section 27, subdivisions 2, 4, 5, 6, 7, 9; article 2,
section 70, subdivisions 2, 3, 4, 5, 6, 7, 9, 11, 12, 15, 19, 21, 24; article 3,
section 15, subdivision 3; article 4, sections 4; 9, subdivision 2; article 5, section
30, subdivisions 2, 3, 5; article 6, section 13, subdivisions 2, 3, 6, 7; article 7,
section 7, subdivisions 2, 3, 4; article 9, section 8, subdivisions 5, 6, 7; article 10,
section 3, subdivision 2; article 11, section 3, subdivision 2; article 12, section
4, subdivision 2; proposing coding for new law in Minnesota Statutes, chapters
120B; 122A; 124D; 125B; 136A.

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

ARTICLE 1

GENERAL EDUCATION

Section 1.

Minnesota Statutes 2015 Supplement, section 120A.41, is amended to read:

120A.41 LENGTH OF SCHOOL YEAR; HOURS OF INSTRUCTION.

A school board's annual school calendar must include at least 425 hours of
instruction for a kindergarten student without a disability, 935 hours of instruction for a
student in grades 1 through 6, and 1,020 hours of instruction for a student in grades 7
through 12, not including summer school. The school calendar for all-day kindergarten
must include at least 850 hours of instruction for the school year. new text begin The school calendar for
a prekindergarten student under section 124D.151, if offered by the district, must include
at least 350 hours of instruction for the school year. new text end A school board's annual calendar
must include at least 165 days of instruction for a student in grades 1 through 11 unless a
four-day week schedule has been approved by the commissioner under section 124D.126.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for the 2016-2017 school year and
later.
new text end

Sec. 2.

Minnesota Statutes 2014, section 124D.1158, subdivision 3, is amended to read:

Subd. 3.

Program reimbursement.

Each school year, the state must reimburse
each participating school 30 cents for each reduced-price breakfast, 55 cents for each fully
paid breakfast served to students in grades 1 to 12, and $1.30 for each fully paid breakfast
served to new text begin a prekindergarten student enrolled in an approved voluntary prekindergarten
program under section 124D.151 or new text end a kindergarten student.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue in fiscal year 2017 and
later.
new text end

Sec. 3.

Minnesota Statutes 2014, section 124D.1158, subdivision 4, is amended to read:

Subd. 4.

No fees.

A school that receives school breakfast aid under this section
must make breakfast available without charge to all participating students in grades 1
to 12 who qualify for free or reduced-price meals and to new text begin all prekindergarten students
enrolled in an approved voluntary prekindergarten program under section 124D.151 and
new text end all kindergarten students.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for the 2016-2017 school year and
later.
new text end

Sec. 4.

new text begin [124D.151] VOLUNTARY PREKINDERGARTEN PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Establishment; purpose. new text end

new text begin A district, a charter school, a group of
districts, a group of charter schools, or a group of districts and charter schools may
establish a voluntary prekindergarten program. The purpose of a voluntary prekindergarten
program is to prepare children for success as they enter kindergarten in the following year.
new text end

new text begin Subd. 2. new text end

new text begin Program requirements. new text end

new text begin (a) A voluntary prekindergarten program
provider must:
new text end

new text begin (1) measure each child's cognitive and social skills using a formative measure
aligned to the state's early learning standards when the child enters and again before the
child leaves the program, screening and progress monitoring measures, and others from
the state-approved menu of kindergarten entry profile measures;
new text end

new text begin (2) provide comprehensive program content including the implementation of
curriculum, assessment, and instructional strategies aligned with the state early learning
standards, and kindergarten through third grade academic standards;
new text end

new text begin (3) provide instructional content and activities that are of sufficient length and
intensity to address learning needs including offering a program with at least 350 hours of
instruction per school year for a prekindergarten student;
new text end

new text begin (4) provide voluntary prekindergarten instructional staff salaries comparable to the
salaries of local kindergarten through grade 12 instructional staff;
new text end

new text begin (5) coordinate appropriate kindergarten transition with families, community-based
prekindergarten programs, and school district kindergarten programs;
new text end

new text begin (6) involve parents in program planning and transition planning by implementing
parent engagement strategies that include culturally and linguistically responsive activities
in prekindergarten through third grade that are aligned with early childhood family
education under section 124D.13;
new text end

new text begin (7) coordinate with relevant community-based services, including health and social
service agencies, to ensure children have access to comprehensive services;
new text end

new text begin (8) coordinate with all relevant school district programs and services including early
childhood special education, homeless students, and English learners;
new text end

new text begin (9) ensure staff-to-child ratios of one-to-ten and a maximum group size of 20 children;
new text end

new text begin (10) provide high-quality coordinated professional development, training, and
coaching for both school district and community-based early learning providers that
is informed by a measure of adult-child interactions and enables teachers to be highly
knowledgeable in early childhood curriculum content, assessment, native and English
language development programs, and instruction; and
new text end

new text begin (11) implement strategies that support the alignment of professional development,
instruction, assessments, and prekindergarten through grade three curricula.
new text end

new text begin (b) A voluntary prekindergarten program must ensure that all classroom teachers
have an early childhood license issued by the Board of Teaching, or special permission,
by the 2022-2023 school year and later.
new text end

new text begin (c) Districts and charter schools must include their strategy for implementing and
measuring the impact of their voluntary prekindergarten program under section 120B.11
and provide results in their world's best workforce annual summary to the commissioner
of education.
new text end

new text begin Subd. 3. new text end

new text begin Mixed delivery of services. new text end

new text begin A district or charter school may contract
with a charter school, Head Start or child care centers, family child care programs
licensed under section 245A.03, or a community-based organization to provide eligible
children with developmentally appropriate services that meet the program requirements in
subdivision 2. Components of a mixed-delivery plan include strategies for recruitment,
contracting, and monitoring of fiscal compliance and program quality.
new text end

new text begin Subd. 4. new text end

new text begin Eligibility. new text end

new text begin A child who is four years of age as of September 1 in the
calendar year in which the school year commences is eligible to participate in a voluntary
prekindergarten program free of charge. Each eligible child must complete a health and
developmental screening within 90 days of program enrollment under sections 121A.16 to
121A.19, and provide documentation of required immunizations under section 121A.15.
new text end

new text begin Subd. 5. new text end

new text begin Application process; priority for high poverty schools. new text end

new text begin (a) To qualify
for program approval for fiscal year 2017, a district or charter school must submit an
application to the commissioner by July 1, 2016. To qualify for program approval for
fiscal year 2018 and later, a district or charter school must submit an application to the
commissioner by January 30 of the fiscal year prior to the fiscal year in which the program
will be implemented. The application must include:
new text end

new text begin (1) a description of the proposed program, including the number of hours per week
the program will be offered at each school site or mixed-delivery location;
new text end

new text begin (2) an estimate of the number of eligible children to be served in the program at each
school site or mixed-delivery location; and
new text end

new text begin (3) a statement of assurances signed by the superintendent or charter school director
that the proposed program meets the requirements of subdivision 2.
new text end

new text begin (b) The commissioner must review all applications submitted for fiscal year 2017 by
August 1, 2016, and must review all applications submitted for fiscal year 2018 and later
by March 1 of the fiscal year in which the applications are received and determine whether
each application meets the requirements of paragraph (a).
new text end

new text begin (c) The commissioner must divide all applications for new or expanded programs
meeting the requirements of paragraph (a) into four groups as follows: the Minneapolis and
St. Paul school districts; other school districts located in the metropolitan equity region as
defined in section 126C.10, subdivision 28; school districts located in the rural equity region
as defined in section 126C.10, subdivision 28; and charter schools. Within each group, the
applications must be ordered by rank using a sliding scale based on the following criteria:
new text end

new text begin (1) concentration of kindergarten students eligible for free or reduced-price lunches
by school site on October 1 of the previous school year. For school district programs to be
operated at locations that do not have free and reduced-price lunch concentration data for
kindergarten programs for October 1 of the previous school year, including mixed-delivery
programs, the school district average concentration of kindergarten students eligible for
free or reduced-price lunches must be used for the rank ordering;
new text end

new text begin (2) presence or absence of a three- or four-star Parent Aware rated program within
the school district or close proximity of the district. School sites with the highest
concentration of kindergarten students eligible for free or reduced-price lunches that
do not have a three- or four-star Parent Aware program within the district or close
proximity of the district shall receive the highest priority, and school sites with the lowest
concentration of kindergarten students eligible for free or reduced-price lunches that have
a three- or four-star Parent Aware rated program within the district or close proximity of
the district shall receive the lowest priority. If a tie exists in the rank order of applications
under this paragraph, the commissioner must give priority among the tied applications to
the applicant with the highest proportion of prekindergarten classroom teachers with an
early childhood license issued by the Board of Teaching.
new text end

new text begin (d) The aid available for the program as specified in subdivision 6, paragraph (b),
must initially be allocated among the four groups based on each group's percentage share
of the statewide kindergarten enrollment on October 1 of the previous school year. Within
each group, the available aid must be allocated among school sites in priority order until
that region's share of the aid limit is reached. If the aid limit is not reached for all groups,
the remaining amount must be allocated to the highest priority school sites, as designated
under this section, not funded in the initial allocation on a statewide basis.
new text end

new text begin (e) Once a school site is approved for aid under this subdivision, it shall remain
eligible for aid if it continues to meet program requirements, regardless of changes in the
concentration of students eligible for free or reduced-price lunches.
new text end

new text begin (f) If the total aid entitlement approved based on applications submitted under
paragraph (a) is less than the aid entitlement limit under subdivision 6, paragraph (b),
the commissioner must notify all school districts and charter schools of the amount that
remains available within 30 days of the initial application deadline under paragraph (a),
and complete a second round of allocations based on applications received within 60 days
of the initial application deadline.
new text end

new text begin (g) Procedures for approving applications submitted under paragraph (f) shall be the
same as specified in paragraphs (a) to (d), except that the allocations shall be made to the
highest priority school sites not funded in the initial allocation on a statewide basis.
new text end

new text begin Subd. 6. new text end

new text begin Program and aid entitlement limits. new text end

new text begin (a) Notwithstanding section
126C.05, subdivision 1, paragraph (d), the pupil units for a voluntary prekindergarten
program for an eligible school district or charter school must not exceed 60 percent of the
kindergarten pupil units for that school district or charter school under section 126C.05,
subdivision 1, paragraph (e).
new text end

new text begin (b) In reviewing applications under subdivision 5, the commissioner must limit the
estimated state aid entitlement approved under this section to $27,092,000 for fiscal year
2017, $33,095,000 for fiscal year 2018, and $40,203,000 for fiscal year 2019 and later. If
the actual state aid entitlement based on final data exceeds the limit in any year, the aid of
the participating districts must be prorated so as not to exceed the limit.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue in fiscal year 2017 and
later.
new text end

Sec. 5.

Minnesota Statutes 2015 Supplement, section 124D.59, subdivision 2, is
amended to read:

Subd. 2.

English learner.

(a) "English learner" means a pupil in kindergarten
through grade 12 new text begin or a prekindergarten student enrolled in an approved voluntary
prekindergarten program under section 124D.151 new text end who meets the requirements under
subdivision 2a or the following requirements:

(1) the pupil, as declared by a parent or guardian first learned a language other than
English, comes from a home where the language usually spoken is other than English, or
usually speaks a language other than English; and

(2) the pupil is determined by a valid assessment measuring the pupil's English
language proficiency and by developmentally appropriate measures, which might include
observations, teacher judgment, parent recommendations, or developmentally appropriate
assessment instruments, to lack the necessary English skills to participate fully in
academic classes taught in English.

(b) A pupil enrolled in a Minnesota public school in any grade 4 through 12 who in
the previous school year took a commissioner-provided assessment measuring the pupil's
emerging academic English, shall be counted as an English learner in calculating English
learner pupil units under section 126C.05, subdivision 17, and shall generate state English
learner aid under section 124D.65, subdivision 5, if the pupil scored below the state cutoff
score or is otherwise counted as a nonproficient participant on the assessment measuring
the pupil's emerging academic English, or, in the judgment of the pupil's classroom
teachers, consistent with section 124D.61, clause (1), the pupil is unable to demonstrate
academic language proficiency in English, including oral academic language, sufficient to
successfully and fully participate in the general core curriculum in the regular classroom.

(c) Notwithstanding paragraphs (a) and (b), a pupil in deleted text begin kindergarten deleted text end new text begin prekindergarten
under section 124D.151, new text end through grade 12 shall not be counted as an English learner in
calculating English learner pupil units under section 126C.05, subdivision 17, and shall
not generate state English learner aid under section 124D.65, subdivision 5, if:

(1) the pupil is not enrolled during the current fiscal year in an educational program
for English learners under sections 124D.58 to 124D.64; or

(2) the pupil has generated seven or more years of average daily membership in
Minnesota public schools since July 1, 1996.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue in fiscal year 2017 and
later.
new text end

Sec. 6.

Minnesota Statutes 2014, section 124D.68, subdivision 2, is amended to read:

Subd. 2.

Eligible pupils.

new text begin (a) new text end A pupil under the age of 21 or who meets the
requirements of section 120A.20, subdivision 1, paragraph (c), is eligible to participate in
the graduation incentives program, if the pupil:

(1) performs substantially below the performance level for pupils of the same age
in a locally determined achievement test;

(2) is behind in satisfactorily completing coursework or obtaining credits for
graduation;

(3) is pregnant or is a parent;

(4) has been assessed as chemically dependent;

(5) has been excluded or expelled according to sections 121A.40 to 121A.56;

(6) has been referred by a school district for enrollment in an eligible program or
a program pursuant to section 124D.69;

(7) is a victim of physical or sexual abuse;

(8) has experienced mental health problems;

(9) has experienced homelessness sometime within six months before requesting a
transfer to an eligible program;

(10) speaks English as a second language or is an English learner; or

(11) has withdrawn from school or has been chronically truant; or

(12) is being treated in a hospital in the seven-county metropolitan area for cancer or
other life threatening illness or is the sibling of an eligible pupil who is being currently
treated, and resides with the pupil's family at least 60 miles beyond the outside boundary
of the seven-county metropolitan area.

new text begin (b) For the 2016-2017 school year only, a pupil otherwise qualifying under
paragraph (a) who is at least 21 years of age and not yet 22 years of age and is an English
learner with an interrupted formal education according to section 124D.59, subdivision 2a,
is eligible to participate in the graduation incentives program under section 124D.68 and
in concurrent enrollment courses offered under section 124D.09, subdivision 10, and is
funded in the same manner as other pupils under this section.
new text end

Sec. 7.

Minnesota Statutes 2015 Supplement, section 126C.05, subdivision 1, is
amended to read:

Subdivision 1.

Pupil unit.

Pupil units for each Minnesota resident pupil under the
age of 21 or who meets the requirements of section 120A.20, subdivision 1, paragraph
(c), in average daily membership enrolled in the district of residence, in another district
under sections 123A.05 to 123A.08, 124D.03, 124D.08, or 124D.68; in a charter school
under chapter 124E; or for whom the resident district pays tuition under section 123A.18,
123A.22, 123A.30, 123A.32, 123A.44, 123A.488, 123B.88, subdivision 4, 124D.04,
124D.05, 125A.03 to 125A.24, 125A.51, or 125A.65, shall be counted according to this
subdivision.

(a) A prekindergarten pupil with a disability who is enrolled in a program approved
by the commissioner and has an individualized education program is counted as the ratio
of the number of hours of assessment and education service to 825 times 1.0 with a
minimum average daily membership of 0.28, but not more than 1.0 pupil unit.

(b) A prekindergarten pupil who is assessed but determined not to be disabled is
counted as the ratio of the number of hours of assessment service to 825 times 1.0.

(c) A kindergarten pupil with a disability who is enrolled in a program approved
by the commissioner is counted as the ratio of the number of hours of assessment and
education services required in the fiscal year by the pupil's individualized education
program to 875, but not more than one.

new text begin (d) A prekindergarten pupil who is not included in paragraph (a) or (b) and is
enrolled in an approved voluntary prekindergarten program under section 124D.151 is
counted as the ratio of the number of hours of instruction to 850 times 1.0, but not more
than 0.6 pupil units.
new text end

deleted text begin (d) deleted text end new text begin (e) new text end A kindergarten pupil who is not included in paragraph (c) is counted as 1.0
pupil unit if the pupil is enrolled in a free all-day, every day kindergarten program available
to all kindergarten pupils at the pupil's school that meets the minimum hours requirement in
section 120A.41, or is counted as .55 pupil unit, if the pupil is not enrolled in a free all-day,
every day kindergarten program available to all kindergarten pupils at the pupil's school.

deleted text begin (e) deleted text end new text begin (f) new text end A pupil who is in any of grades 1 to 6 is counted as 1.0 pupil unit.

deleted text begin (f) deleted text end new text begin (g) new text end A pupil who is in any of grades 7 to 12 is counted as 1.2 pupil units.

deleted text begin (g) deleted text end new text begin (h) new text end A pupil who is in the postsecondary enrollment options program is counted
as 1.2 pupil units.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue in fiscal year 2017 and
later.
new text end

Sec. 8.

Minnesota Statutes 2014, section 126C.05, subdivision 3, is amended to read:

Subd. 3.

Compensation revenue pupil units.

Compensation revenue pupil units
for fiscal year 1998 and thereafter must be computed according to this subdivision.

(a) The compensation revenue concentration percentage for each building in a
district equals the product of 100 times the ratio of:

(1) the sum of the number of pupils enrolled in the building eligible to receive free
lunch plus one-half of the pupils eligible to receive reduced priced lunch on October
1 of the previous fiscal year; to

(2) the number of pupils enrolled in the building on October 1 of the previous fiscal
year.

(b) The compensation revenue pupil weighting factor for a building equals the
lesser of one or the quotient obtained by dividing the building's compensation revenue
concentration percentage by 80.0.

(c) The compensation revenue pupil units for a building equals the product of:

(1) the sum of the number of pupils enrolled in the building eligible to receive free
lunch and one-half of the pupils eligible to receive reduced priced lunch on October 1
of the previous fiscal year; times

(2) the compensation revenue pupil weighting factor for the building; times

(3) .60.

(d) Notwithstanding paragraphs (a) to (c), for new text begin voluntary prekindergarten programs
under section 124D.151, new text end charter schools new text begin , new text end and contracted alternative programs in the
first year of operation, compensation revenue pupil units shall be computed using data
for the current fiscal year. If the new text begin voluntary prekindergarten program, new text end charter school new text begin , new text end or
contracted alternative program begins operation after October 1, compensatory revenue
pupil units shall be computed based on pupils enrolled on an alternate date determined by
the commissioner, and the compensation revenue pupil units shall be prorated based on
the ratio of the number of days of student instruction to 170 days.

(e) The percentages in this subdivision must be based on the count of individual
pupils and not on a building average or minimum.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue in fiscal year 2017 and
later.
new text end

Sec. 9.

Minnesota Statutes 2014, section 126C.10, subdivision 2d, is amended to read:

Subd. 2d.

Declining enrollment revenue.

(a) A school district's declining
enrollment revenue equals the greater of zero or the product of: (1) 28 percent of the
formula allowance for that year and (2) the difference between the adjusted pupil units for
the preceding year and the adjusted pupil units for the current year.

(b) Notwithstanding paragraph (a), for fiscal years 2015, 2016, and 2017 only, a pupil
enrolled at the Crosswinds school shall not generate declining enrollment revenue for the
district or charter school in which the pupil was last counted in average daily membership.

new text begin (c) Notwithstanding paragraph (a), for fiscal years 2017, 2018, and 2019 only,
prekindergarten pupil units under section 126C.05, subdivision 1, paragraph (d), must be
excluded from the calculation of declining enrollment revenue.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue in fiscal year 2017 and
later.
new text end

Sec. 10.

Minnesota Statutes 2015 Supplement, section 126C.10, subdivision 13a,
is amended to read:

Subd. 13a.

Operating capital levy.

To obtain operating capital revenue, a district
may levy an amount not more than the product of its operating capital revenue for the
fiscal year times the lesser of one or the ratio of its adjusted net tax capacity per adjusted
pupil unit to the operating capital equalizing factor. The operating capital equalizing factor
equals deleted text begin $14,500 for fiscal years 2015 and 2016, $14,740 deleted text end new text begin $16,680 new text end for fiscal year 2017,
deleted text begin $17,473 deleted text end new text begin $21,523 new text end for fiscal year 2018, and deleted text begin $20,510 deleted text end new text begin $27,678 new text end for fiscal year 2019 and later.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue in fiscal year 2017 and
later.
new text end

Sec. 11.

Minnesota Statutes 2014, section 126C.10, subdivision 24, is amended to read:

Subd. 24.

Equity revenue.

(a) A school district qualifies for equity revenue if:

(1) the school district's adjusted pupil unit amount of basic revenue, transition
revenue, and referendum revenue is less than the value of the school district at or
immediately above the 95th percentile of school districts in its equity region for those
revenue categories; and

(2) the school district's administrative offices are not located in a city of the first
class on July 1, 1999.

(b) Equity revenue for a qualifying district that receives referendum revenue under
section 126C.17, subdivision 4, equals the product of (1) the district's adjusted pupil
units for that year; times (2) the sum of (i) $14, plus (ii) $80, times the school district's
equity index computed under subdivision 27.

(c) Equity revenue for a qualifying district that does not receive referendum revenue
under section 126C.17, subdivision 4, equals the product of the district's adjusted pupil
units for that year times $14.

(d) A school district's equity revenue is increased by the greater of zero or an amount
equal to the district's adjusted pupil units times the difference between ten percent of the
statewide average amount of referendum revenue per adjusted pupil unit for that year and
the district's referendum revenue per adjusted pupil unit. A school district's revenue under
this paragraph must not exceed $100,000 for that year.

(e) A school district's equity revenue for a school district deleted text begin located in the metro equity
region deleted text end new text begin with any of its area located within Anoka, Carver, Dakota, Hennepin, Ramsey,
Scott, or Washington County new text end equals the amount computed in paragraphs (b), (c), and (d)
multiplied by 1.25.

(f) A school district's additional equity revenue equals $50 times its adjusted pupil
units.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue in fiscal year 2018 and
later.
new text end

Sec. 12.

Laws 2011, First Special Session chapter 11, article 4, section 8, is amended to
read:

Sec. 8. EARLY REPAYMENT.

new text begin (a) new text end A school district that received a maximum effort capital loan prior to January
1, 1997, may repay the full outstanding original principal on its capital loan prior to
July 1, 2012, and the liability of the district on the loan is satisfied and discharged and
interest on the loan ceases.

new text begin (b) A school district with an outstanding capital loan balance that received a
maximum effort capital loan prior to January 1, 2007, may repay to the commissioner of
education by November 30, 2016, the full outstanding original principal on its capital
loan and the liability of the district on the loan is satisfied and discharged and interest
on the loan ceases.
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. 13.

Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision
2, is amended to read:

Subd. 2.

General education aid.

For general education aid under Minnesota
Statutes, section 126C.13, subdivision 4:

	$	deleted text begin 6,624,310,000 deleted text end new text begin 6,649,435,000 new text end	.....	2016
	$	deleted text begin 6,761,574,000 deleted text end new text begin 6,815,589,000 new text end	.....	2017

The 2016 appropriation includes $622,908,000 for 2015 and deleted text begin $6,001,405,000 deleted text end new text begin
$6,026,527,000 new text end for 2016.

The 2017 appropriation includes deleted text begin $638,812,000 deleted text end new text begin $641,412,000 new text end for 2016 and
deleted text begin $6,122,762,000 deleted text end new text begin $6,174,177,000 new text end for 2017.

Sec. 14.

Laws 2015, First Special Session chapter 3, article 7, section 7, subdivision 2,
is amended to read:

Subd. 2.

School lunch.

For school lunch aid according to Minnesota Statutes,
section 124D.111, and Code of Federal Regulations, title 7, section 210.17:

	$	deleted text begin 15,661,000 deleted text end new text begin 16,251,000 new text end	.....	2016
	$	deleted text begin 15,818,000 deleted text end new text begin 16,775,000 new text end	.....	2017

Sec. 15.

Laws 2015, First Special Session chapter 3, article 7, section 7, subdivision 3,
is amended to read:

Subd. 3.

School breakfast.

For traditional school breakfast aid under Minnesota
Statutes, section 124D.1158:

	$	deleted text begin 9,731,000 deleted text end new text begin 9,457,000 new text end	.....	2016
	$	deleted text begin 10,361,000 deleted text end new text begin 10,365,000 new text end	.....	2017

Sec. 16. new text begin RECIPROCITY AGREEMENT EXEMPTION; HENDRICKS.
new text end

new text begin Notwithstanding Minnesota Statutes, sections 124D.04, subdivision 6, paragraph
(b); 124D.041, subdivision 3, paragraph (b); and 124D.05, subdivision 2a, the provisions
of Minnesota Statutes, section 124D.041, and the agreement shall not apply to Independent
School District No. 402, Hendricks.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for the 2016-2017 school year and
later.
new text end

ARTICLE 2

EDUCATION EXCELLENCE

Section 1.

Minnesota Statutes 2014, section 13.321, is amended by adding a
subdivision to read:

new text begin Subd. 11. new text end

new text begin Student-user privacy requirements. new text end

new text begin Section 125B.27 governs privacy
and information practices of online educational services.
new text end

Sec. 2.

Minnesota Statutes 2014, section 120B.021, subdivision 1, is amended to read:

Subdivision 1.

Required academic standards.

(a) The following subject areas
are required for statewide accountability:

(1) language arts;

(2) mathematics;

(3) science;

(4) social studies, including history, geography, economics, and government and
citizenship;

(5) physical education;

(6) health, for which locally developed academic standards apply; and

(7) the arts, for which statewide or locally developed academic standards apply, as
determined by the school district. Public elementary and middle schools must offer at least
three and require at least two of the following four arts areas: dance; music; theater; and
visual arts. Public high schools must offer at least three and require at least one of the
following five arts areas: media arts; dance; music; theater; and visual arts.

(b) For purposes of applicable federal law, the academic standards for language arts,
mathematics, and science apply to all public school students, except the very few students
with extreme cognitive or physical impairments for whom an individualized education
program team has determined that the required academic standards are inappropriate. An
individualized education program team that makes this determination must establish
alternative standards.

new text begin (c) The department must adopt the most recent National Association of Sport and
Physical Education kindergarten through grade 12 standards and benchmarks for physical
education as the required physical education academic standards. The department may
modify and adapt the national standards to accommodate state interest. The modification
and adaptations must maintain the purpose and integrity of the national standards. The
department must make available sample assessments for school districts to assess students'
mastery of the physical education standards beginning in the 2018-2019 school year.
new text end

deleted text begin (c) deleted text end new text begin (d) new text end District efforts to develop, implement, or improve instruction or curriculum
as a result of the provisions of this section must be consistent with sections 120B.10,
120B.11, and 120B.20.

Sec. 3.

Minnesota Statutes 2014, section 120B.021, subdivision 3, is amended to read:

Subd. 3.

Rulemaking.

The commissioner, consistent with the requirements of
this section and section 120B.022, must adopt statewide rules under section 14.389 for
implementing statewide rigorous core academic standards in language arts, mathematics,
science, social studies, new text begin physical education, new text end and the arts. After the rules authorized under
this subdivision are initially adopted, the commissioner may not amend or repeal these
rules nor adopt new rules on the same topic without specific legislative authorization. The
academic standards for language arts, mathematics, and the arts must be implemented for
all students beginning in the 2003-2004 school year. The academic standards for science
and social studies must be implemented for all students beginning in the 2005-2006 school
year.

Sec. 4.

Minnesota Statutes 2015 Supplement, section 120B.021, subdivision 4, is
amended to read:

Subd. 4.

Revisions and reviews required.

(a) The commissioner of education must
revise and appropriately embed technology and information literacy standards consistent
with recommendations from school media specialists into the state's academic standards
and graduation requirements and implement a ten-year cycle to review and, consistent
with the review, revise state academic standards and related benchmarks, consistent with
this subdivision. During each ten-year review and revision cycle, the commissioner also
must examine the alignment of each required academic standard and related benchmark
with the knowledge and skills students need for career and college readiness and advanced
work in the particular subject area. The commissioner must include the contributions of
Minnesota American Indian tribes and communities as related to the academic standards
during the review and revision of the required academic standards.

(b) The commissioner must ensure that the statewide mathematics assessments
administered to students in grades 3 through 8 and 11 are aligned with the state academic
standards in mathematics, consistent with section 120B.30, subdivision 1, paragraph
(b). The commissioner must implement a review of the academic standards and related
benchmarks in mathematics beginning in the 2020-2021 school year and every ten years
thereafter.

(c) The commissioner must implement a review of the academic standards and related
benchmarks in arts beginning in the 2016-2017 school year and every ten years thereafter.

(d) The commissioner must implement a review of the academic standards and
related benchmarks in science beginning in the 2017-2018 school year and every ten
years thereafter.

(e) The commissioner must implement a review of the academic standards and
related benchmarks in language arts beginning in the 2018-2019 school year and every
ten years thereafter.

(f) The commissioner must implement a review of the academic standards and
related benchmarks in social studies beginning in the 2019-2020 school year and every
ten years thereafter.

(g) new text begin The commissioner must implement a review of the academic standards and
related benchmarks in physical education beginning in the 2024-2025 school year and
every ten years thereafter.
new text end

new text begin (h) new text end School districts and charter schools must revise and align local academic
standards and high school graduation requirements in health, world languages, and career
and technical education to require students to complete the revised standards beginning
in a school year determined by the school district or charter school. School districts and
charter schools must formally establish a periodic review cycle for the academic standards
and related benchmarks in health, world languages, and career and technical education.

Sec. 5.

new text begin [120B.026] PHYSICAL EDUCATION.
new text end

new text begin Subdivision 1. new text end

new text begin Exclusion from class; recess. new text end

new text begin A student may be excused from a
physical education class if the student submits written information signed by a physician
stating that physical activity will jeopardize the student's health. A student may be
excused from a physical education class if being excused meets the child's unique and
individualized needs according to the child's individualized education program, federal
504 plan, or individualized health plan. A student may be excused if a parent or guardian
requests an exemption on religious grounds. A student with a disability must be provided
with modifications or adaptations that allow physical education class to meet their needs.
Schools are strongly encouraged not to exclude students in kindergarten through grade
5 from recess due to punishment or disciplinary action.
new text end

new text begin Subd. 2. new text end

new text begin Teachers. new text end

new text begin Physical education must be taught by teachers who are licensed
to teach physical education. A physical education teacher shall be adequately prepared
and regularly participate in professional development activities under section 122A.60.
new text end

Sec. 6.

Minnesota Statutes 2014, section 120B.232, is amended to read:

120B.232 CHARACTER DEVELOPMENT EDUCATION.

Subdivision 1.

Character development education.

new text begin (a) new text end The legislature encourages
districts to integrate or offer instruction on character education including, but not limited
to, character qualities such as attentiveness, truthfulness, respect for authority, diligence,
gratefulness, self-discipline, patience, forgiveness, respect for others, peacemaking, and
resourcefulness. Instruction should be integrated into a district's existing programs,
curriculum, or the general school environment. The commissioner shall provide assistance
at the request of a district to develop character education curriculum and programs.

new text begin (b) Character development education under paragraph (a) may include a voluntary
elementary, middle, and high school program that incorporates the history and values of
Congressional Medal of Honor recipients and may be offered as part of the social studies,
English language arts, or other curriculum, as a schoolwide character building and veteran
awareness initiative, or as an after-school program, among other possibilities.
new text end

new text begin Subd. 1a. new text end

new text begin Staff development; continuing education. new text end

new text begin (a) Staff development
opportunities under section 122A.60 may include training in character development
education that incorporates the history and values of Congressional Medal of Honor
recipients under subdivision 1, paragraph (b), and is provided without cost to the interested
school or district.
new text end

new text begin (b) Local continuing education and relicensure committees or other local relicensure
committees under section 122A.18, subdivision 4, are encouraged to approve up to six
clock hours of continuing education for licensed teachers who complete the training in
character development education under paragraph (a).
new text end

Subd. 2.

Funding sources.

The commissioner must first use federal funds for
character development education programs to the extent available under United States
Code, title 20, section 7247. Districts may accept funds from private and other public
sources for character development education programs developed and implemented under
this section new text begin , including programs funded through the Congressional Medal of Honor
Foundation, among other sources 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. 7.

Minnesota Statutes 2014, section 120B.30, subdivision 2, is amended to read:

Subd. 2.

Department of Education assistance.

new text begin (a) new text end The Department of Education
shall contract for professional and technical services according to competitive solicitation
procedures under chapter 16C for purposes of this section.

new text begin (b) A proposal submitted under this section must include disclosures containing:
new text end

new text begin (1) comprehensive information regarding test administration monitoring practices;
and
new text end

new text begin (2) data privacy safeguards for student information to be transmitted to or used
by the proposing entity.
new text end

new text begin Information provided in the proposal is not security information or trade secret information
for purposes of section 13.37.
new text end

Sec. 8.

Minnesota Statutes 2014, section 120B.30, is amended by adding a subdivision
to read:

new text begin Subd. 6. new text end

new text begin Database. new text end

new text begin The commissioner shall establish a reporting system for
teachers, administrators, and students to report service disruptions and technical
interruptions. The information reported through this system shall be maintained in a
database accessible through the department's Web site.
new text end

Sec. 9.

Minnesota Statutes 2015 Supplement, section 120B.31, subdivision 4, is
amended to read:

Subd. 4.

Student performance data.

In developing policies and assessment
processes to hold schools and districts accountable for high levels of academic standards
under section 120B.021, the commissioner shall aggregate new text begin and disaggregate new text end student
data over time to report new text begin summary new text end student deleted text begin performance and deleted text end growth deleted text begin levels deleted text end new text begin and, under
section 120B.11, subdivision 2, clause (2), student learning and outcome data new text end measured
at the school, school district, and statewide level. deleted text begin When collecting and reporting the
performance data, deleted text end The commissioner shall new text begin use the student categories identified under
the federal Elementary and Secondary Education Act, as most recently reauthorized,
to new text end organize and report the data so that state and local policy makers can understand
the educational implications of changes in districts' demographic profiles over time,
including student new text begin categories of new text end homelessness new text begin ; ethnicity; race; home language; immigrant;
refugee status; English language learners under section 124D.59; free or reduced-price
lunch; and other categories designated by federal law new text end , as data are available, among other
demographic factors. Any report the commissioner disseminates containing summary data
on student performance must integrate student performance and the demographic factors
that strongly correlate with that performance.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for the 2017-2018 school year and
later.
new text end

Sec. 10.

Minnesota Statutes 2014, section 120B.31, is amended by adding a
subdivision to read:

new text begin Subd. 6. new text end

new text begin Test preparation costs. new text end

new text begin The department must annually compile and
publish data relating to expenditures by school districts for preparation of all assessments
administered pursuant to section 120B.30, including the costs of materials and staff time.
new text end

Sec. 11.

Minnesota Statutes 2014, section 120B.35, is amended to read:

120B.35 STUDENT ACADEMIC ACHIEVEMENT AND GROWTH.

Subdivision 1.

deleted text begin School and deleted text end Student indicators of growth and achievement.

The commissioner must develop and implement a system for measuring and reporting
academic achievement and individual student growth, consistent with the statewide
educational accountability and reporting system. The system components must measure
and separately report the adequate yearly progress of schools and the growth of individual
students: students' current achievement in schools under subdivision 2; and individual
students' educational growth over time under subdivision 3. The system also must include
statewide measures of student academic growth that identify schools with high levels
of growth, and also schools with low levels of growth that need improvement. deleted text begin When
determining a school's effect, deleted text end The data must include both statewide measures of student
achievement and, to the extent annual tests are administered, indicators of achievement
growth that take into account a student's prior achievement. Indicators of achievement and
prior achievement must be based on highly reliable statewide or districtwide new text begin summative,
interim, or formative new text end assessments. Indicators that take into account a student's prior
achievement must not be used to disregard a school's low achievement or to exclude a
school from a program to improve low achievement levels.

Subd. 2.

Federal Expectations for student academic achievement.

(a) Each
school year, a school district must determine if the student achievement levels at each
school site meet federal expectations. If student achievement levels at a school site do
not meet federal expectations and the site has not made adequate yearly progress for two
consecutive school years, beginning with the 2001-2002 school year, the district must
work with the school site to adopt a plan to raise student achievement levels to meet
federal expectations. The commissioner of education shall establish student academic
achievement levels to comply with this paragraph.

(b) School sites identified as not meeting federal expectations must develop
continuous improvement plans in order to meet federal expectations for student academic
achievement. The department, at a district's request, must assist the district and the school
deleted text begin site deleted text end new text begin sites new text end in developing a plan to improve student achievement. The plan must include
parental involvement components.

(c) The commissioner must:

(1) assist school sites and districts identified as not meeting federal expectations; and

(2) provide technical assistance to schools that integrate student achievement
measures into the school continuous improvement plan.

(d) The commissioner shall establish and maintain a continuous improvement Web
site designed to make new text begin aggregated and disaggregated student growth and, under section
120B.11, subdivision 2, clause (2), student learning and outcome new text end data on every school
and district available to parents, teachers, administrators, community members, and the
general public new text begin , consistent with this section new text end .

Subd. 3.

State growth target; other state measures.

(a) The state's educational
assessment system measuring individual students' educational growth is based on
indicators of achievement growth that show an individual student's prior achievement.
Indicators of achievement and prior achievement must be based on highly reliable
statewide or districtwide new text begin summative, interim, or formative new text end assessments.

(b) The commissioner, in consultation with a stakeholder group that includes
assessment and evaluation directors, district staff, experts in culturally responsive teaching,
and researchers, must implement a model that uses a value-added growth indicator and
includes criteria for identifying schools and school districts that demonstrate medium and
high growth under section 120B.299, subdivisions 8 and 9, and may recommend other
value-added measures under section 120B.299, subdivision 3. The model may be used
to advance educators' professional development and replicate programs that succeed in
meeting students' diverse learning needs. Data on individual teachers generated under the
model are personnel data under section 13.43. The model must allow users to:

(1) report student growth consistent with this paragraph; and

(2) for all student categories, report and compare aggregated and disaggregated state
new text begin student new text end growth new text begin and, under section 120B.11, subdivision 2, clause (2), student learning
and outcome new text end data using the deleted text begin nine deleted text end student categories identified under the federal deleted text begin 2001 No
Child Left Behind Act and two student gender categories of male and female, respectively,
following appropriate reporting practices to protect nonpublic student data deleted text end new text begin Elementary
and Secondary Education Act, as most recently reauthorized, and, in addition to the Karen
community, other student categories as determined by the total Minnesota population
at or above the 1,000-person threshold based on the most recent decennial census,
including ethnicity; race; refugee status; English language learners under section 124D.59;
home language; free or reduced-price lunch; immigrant; and all students enrolled in a
Minnesota public school who are currently or were previously in foster care, except that
such disaggregation and cross tabulation is not required if the number of students in a
category is insufficient to yield statistically reliable information or the results would reveal
personally identifiable information about an individual student new text end .

The commissioner must report measures of student growth new text begin and, under section
120B.11, subdivision 2, clause (2), student learning and outcome data new text end , consistent with
this paragraph, including the English language development, academic progress, and oral
academic development of English learners and their native language development if the
native language is used as a language of instruction new text begin , and include data on all pupils enrolled
in a Minnesota public school course or program who are currently or were previously
counted as an English learner under section 124D.59 new text end .

(c) When reporting student performance under section 120B.36, subdivision 1, the
commissioner annually, beginning July 1, 2011, must report two core measures indicating
the extent to which current high school graduates are being prepared for postsecondary
academic and career opportunities:

(1) a preparation measure indicating the number and percentage of high school
graduates in the most recent school year who completed course work important to
preparing them for postsecondary academic and career opportunities, consistent with
the core academic subjects required for admission to Minnesota's public colleges and
universities as determined by the Office of Higher Education under chapter 136A; and

(2) a rigorous coursework measure indicating the number and percentage of high
school graduates in the most recent school year who successfully completed one or more
college-level advanced placement, international baccalaureate, postsecondary enrollment
options including concurrent enrollment, other rigorous courses of study under section
120B.021, subdivision 1a, or industry certification courses or programs.

When reporting the core measures under clauses (1) and (2), the commissioner must also
analyze and report separate categories of information using the deleted text begin nine deleted text end student categories
identified under the federal deleted text begin 2001 No Child Left Behind Act and two student gender
categories of male and female, respectively, following appropriate reporting practices
to protect nonpublic student data. deleted text end new text begin Elementary and Secondary Education Act, as most
recently reauthorized, and, in addition to the Karen community, other student categories
as determined by the total Minnesota population at or above the 1,000-person threshold
based on the most recent decennial census, including ethnicity; race; refugee status;
English language learners under section 124D.59; home language; free or reduced-price
lunch; immigrant; and all students enrolled in a Minnesota public school who are currently
or were previously enrolled in foster care, except that such disaggregation and cross
tabulation is not required if the number of students in a category is insufficient to yield
statistically reliable information or the results would reveal personally identifiable
information about an individual student.
new text end

(d) When reporting student performance under section 120B.36, subdivision 1, the
commissioner annually, beginning July 1, 2014, must report summary data on school
safety and students' engagement and connection at school. new text begin The commissioner must
also analyze and report separate categories of information using the student categories
identified under the federal Elementary and Secondary Education Act, as most recently
reauthorized, and, in addition to the Karen community, other student categories as
determined by the total Minnesota population at or above the 1,000-person threshold based
on the most recent decennial census, including ethnicity; race; English language learners
under section 124D.59; home language; free or reduced-price lunch; immigrant; refugee
status; and all students enrolled in a Minnesota public school who are currently or were
previously enrolled in foster care, except that such disaggregation and cross tabulation
is not required if the number of students in a category is insufficient to yield statistically
reliable information or the results would reveal personally identifiable information about
an individual student. new text end The summary data under this paragraph are separate from and
must not be used for any purpose related to measuring or evaluating the performance
of classroom teachers. The commissioner, in consultation with qualified experts on
student engagement and connection and classroom teachers, must identify highly reliable
variables that generate summary data under this paragraph. The summary data may be
used at school, district, and state levels only. Any data on individuals received, collected,
or created that are used to generate the summary data under this paragraph are nonpublic
data under section 13.02, subdivision 9.

(e) For purposes of statewide educational accountability, the commissioner must
identify and report measures that demonstrate the success of learning year program
providers under sections 123A.05 and 124D.68, among other such providers, in improving
students' graduation outcomes. The commissioner, beginning July 1, 2015, must annually
report summary data on:

(1) the four- and six-year graduation rates of students under this paragraph;

(2) the percent of students under this paragraph whose progress and performance
levels are meeting career and college readiness benchmarks under section 120B.30,
subdivision 1; and

(3) the success that learning year program providers experience in:

(i) identifying at-risk and off-track student populations by grade;

(ii) providing successful prevention and intervention strategies for at-risk students;

(iii) providing successful recuperative and recovery or reenrollment strategies for
off-track students; and

(iv) improving the graduation outcomes of at-risk and off-track students.

The commissioner may include in the annual report summary data on other education
providers serving a majority of students eligible to participate in a learning year program.

(f) The commissioner, in consultation with recognized experts with knowledge and
experience in assessing the language proficiency and academic performance of new text begin all new text end English
learners new text begin enrolled in a Minnesota public school course or program who are currently or were
previously counted as an English learner under section 124D.59 new text end , must identify and report
appropriate and effective measures to improve current categories of language difficulty and
assessments, and monitor and report data on students' English proficiency levels, program
placement, and academic language development, including oral academic language.

Subd. 4.

Improving schools.

Consistent with the requirements of this section,
beginning June 20, 2012, the commissioner of education must annually report to the
public and the legislature best practices implemented in those schools that demonstrate
high growth compared to the state growth target.

Subd. 5.

Improving graduation rates for students with emotional or behavioral
disorders.

(a) A district must develop strategies in conjunction with parents of students
with emotional or behavioral disorders and the county board responsible for implementing
sections 245.487 to 245.4889 to keep students with emotional or behavioral disorders in
school, when the district has a drop-out rate for students with an emotional or behavioral
disorder in grades 9 through 12 exceeding 25 percent.

(b) A district must develop a plan in conjunction with parents of students with
emotional or behavioral disorders and the local mental health authority to increase the
graduation rates of students with emotional or behavioral disorders. A district with a
drop-out rate for children with an emotional or behavioral disturbance in grades 9 through
12 that is in the top 25 percent of all districts shall submit a plan for review and oversight
to the commissioner.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for the 2017-2018 school year and
later.
new text end

Sec. 12.

Minnesota Statutes 2014, section 120B.36, as amended by Laws 2015, First
Special Session chapter 3, article 2, section 8, is amended to read:

120B.36 SCHOOL ACCOUNTABILITY deleted text begin ; APPEALS PROCESS deleted text end .

Subdivision 1.

School performance reports.

(a) The commissioner shall report
student academic performance new text begin data new text end under section 120B.35, deleted text begin subdivision deleted text end new text begin subdivisions
new text end 2 new text begin , paragraph (b), and 3 new text end ; the percentages of students showing low, medium, and high
growth under section 120B.35, subdivision 3, paragraph (b); school safety and student
engagement and connection under section 120B.35, subdivision 3, paragraph (d); rigorous
coursework under section 120B.35, subdivision 3, paragraph (c); the percentage of
students under section 120B.35, subdivision 3, paragraph (b), clause (2), whose progress
and performance levels are meeting career and college readiness benchmarks under
sections 120B.30, subdivision 1, and 120B.35, subdivision 3, paragraph (e); longitudinal
data on the progress of eligible districts in reducing disparities in students' academic
achievement and realizing racial and economic integration under section 124D.861;
the acquisition of English, and where practicable, native language academic literacy,
including oral academic language, and the academic progress of new text begin all new text end English learners
deleted text begin under section 124D.59, subdivisions 2 and 2a deleted text end new text begin enrolled in a Minnesota public school
course or program who are currently or were previously counted as an English learner
under section 124D.59 new text end ; two separate student-to-teacher ratios that clearly indicate the
definition of teacher consistent with sections 122A.06 and 122A.15 for purposes of
determining these ratios; staff characteristics excluding salaries; student enrollment
demographics; new text begin all students enrolled in a Minnesota public school course or program who
are currently or were previously in foster care, new text end student homelessness new text begin , new text end and district mobility;
and extracurricular activities. The report also must indicate a school's adequate yearly
progress status under applicable federal law, and must not set any designations applicable
to high- and low-performing schools due solely to adequate yearly progress status.

(b) The commissioner shall develop, annually update, and post on the department
Web site school performance reports.

(c) The commissioner must make available performance reports by the beginning
of each school year.

(d) A school or district may appeal its adequate yearly progress status in writing to
the commissioner within 30 days of receiving the notice of its status. The commissioner's
decision to uphold or deny an appeal is final.

(e) School performance data are nonpublic data under section 13.02, subdivision 9,
until the commissioner publicly releases the data. The commissioner shall annually post
school performance reports to the department's public Web site no later than September 1,
except that in years when the reports reflect new performance standards, the commissioner
shall post the school performance reports no later than October 1.

Subd. 2.

Adequate yearly new text begin student new text end progress and other data.

All data the
department receives, collects, or creates to determine adequate yearly progress status
under Public Law 107-110, section 1116, set state growth targets, and determine student
growth new text begin , learning, and outcomes under section 120B.35 new text end are nonpublic data under section
13.02, subdivision 9, until the commissioner publicly releases the data. Districts must
provide parents sufficiently detailed summary data to permit parents to appeal under
Public Law 107-110, section 1116(b)(2). The commissioner shall annually post federal
adequate yearly progress data and state student growth new text begin , learning, and outcome new text end data to the
department's public Web site no later than September 1, except that in years when adequate
yearly progress reflects new performance standards, the commissioner shall post federal
adequate yearly progress data and state student growth data no later than October 1.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for the 2017-2018 school year and
later.
new text end

Sec. 13.

Minnesota Statutes 2015 Supplement, section 120B.36, subdivision 1, is
amended to read:

Subdivision 1.

School performance reports.

(a) The commissioner shall report
student academic performance under section 120B.35, subdivision 2; the percentages of
students showing low, medium, and high growth under section 120B.35, subdivision
3, paragraph (b); school safety and student engagement and connection under section
120B.35, subdivision 3, paragraph (d); rigorous coursework under section 120B.35,
subdivision 3, paragraph (c); the percentage of students under section 120B.35, subdivision
3, paragraph (b), clause (2), whose progress and performance levels are meeting career
and college readiness benchmarks under sections 120B.30, subdivision 1, and 120B.35,
subdivision 3, paragraph (e); longitudinal data on the progress of eligible districts in
reducing disparities in students' academic achievement and realizing racial and economic
integration under section 124D.861; the acquisition of English, and where practicable,
native language academic literacy, including oral academic language, and the academic
progress of English learners under section 124D.59, subdivisions 2 and 2a; new text begin the weekly
amount of time students in kindergarten through grade 8 are scheduled to spend in physical
education class, the percent of students in kindergarten through grade 12 who receive a
passing grade in physical education, and the number of required physical education credits
high school students must complete to graduate; new text end two separate student-to-teacher ratios that
clearly indicate the definition of teacher consistent with sections 122A.06 and 122A.15
for purposes of determining these ratios; staff characteristics excluding salaries; student
enrollment demographics; student homelessness and district mobility; and extracurricular
activities. The report also must indicate a school's adequate yearly progress status
under applicable federal law, and must not set any designations applicable to high- and
low-performing schools due solely to adequate yearly progress status.

(b) The commissioner shall develop, annually update, and post on the department
Web site school performance reports.

(c) The commissioner must make available performance reports by the beginning
of each school year.

(d) A school or district may appeal its adequate yearly progress status in writing to
the commissioner within 30 days of receiving the notice of its status. The commissioner's
decision to uphold or deny an appeal is final.

(e) School performance data are nonpublic data under section 13.02, subdivision 9,
until the commissioner publicly releases the data. The commissioner shall annually post
school performance reports to the department's public Web site no later than September 1,
except that in years when the reports reflect new performance standards, the commissioner
shall post the school performance reports no later than October 1.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to reports for the 2017-2018 school year and later.
new text end

Sec. 14.

Minnesota Statutes 2015 Supplement, section 122A.21, subdivision 2, is
amended to read:

Subd. 2.

Licensure via portfolio.

(a) An eligible candidate may use licensure via
portfolio to obtain an initial licensure or to add a licensure field, consistent with applicable
Board of Teaching licensure rules.

(b) A candidate for initial licensure must submit to the Educator Licensing Division
at the department one portfolio demonstrating pedagogical competence and one portfolio
demonstrating content competence.

(c) A candidate seeking to add a licensure field must submit to the Educator
Licensing Division at the department one portfolio demonstrating content competence.

(d) The Board of Teaching must notify a candidate who submits a portfolio under
paragraph (b) or (c) within 90 calendar days after the portfolio is received whether or not
the portfolio was approved. If the portfolio was not approved, the board must immediately
inform the candidate how to revise the portfolio to successfully demonstrate the requisite
competence. The candidate may resubmit a revised portfolio at any time and the Educator
Licensing Division at the department must approve or disapprove the portfolio within
60 calendar days of receiving it.

(e) A candidate must pay to the executive secretary of the Board of Teaching a $300
fee for the first portfolio submitted for review and a $200 fee for any portfolio submitted
subsequently. The fees must be paid to the executive secretary of the Board of Teaching.
The revenue generated from the fee deleted text begin must be deleted text end new text begin is new text end deposited in an education licensure
portfolio account in the special revenue fund new text begin and is appropriated to the commissioner of
education for licensure via portfolio expenditures new text end . The fees set by the Board of Teaching
are nonrefundable for applicants not qualifying for a license. The Board of Teaching may
waive or reduce fees for candidates based on financial need.

Sec. 15.

Minnesota Statutes 2015 Supplement, section 122A.415, subdivision 4,
is amended to read:

Subd. 4.

Basic alternative teacher compensation aid.

(a) The basic alternative
teacher compensation aid for a school with a plan approved under section 122A.414,
subdivision 2b, equals 65 percent of the alternative teacher compensation revenue under
subdivision 1. The basic alternative teacher compensation aid for a charter school with a
plan approved under section 122A.414, subdivisions 2a and 2b, equals $260 times the
number of pupils enrolled in the school on October 1 of the previous year, or on October
1 of the current year for a charter school in the first year of operation, times the ratio of
the sum of the alternative teacher compensation aid and alternative teacher compensation
levy for all participating school districts to the maximum alternative teacher compensation
revenue for those districts under subdivision 1.

(b) Notwithstanding paragraph (a) and subdivision 1, the state total basic alternative
teacher compensation aid entitlement must not exceed deleted text begin $88,118,000 for fiscal year 2017
and later. The commissioner must limit the amount of alternative teacher compensation
aid approved under this section so as not to exceed these limits deleted text end new text begin $75,840,000 for fiscal year
2016 new text end . Basic alternative teacher compensation aid for an intermediate district or other
cooperative unit equals $3,000 times the number of licensed teachers employed by the
intermediate district or cooperative unit on October 1 of the previous school year.

new text begin EFFECTIVE DATE. new text end

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

Sec. 16.

Minnesota Statutes 2015 Supplement, section 122A.61, subdivision 1, is
amended to read:

Subdivision 1.

Staff development revenue new text begin for school districts new text end .

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:

(1) teacher development and evaluation under section 122A.40, subdivision 8, or
122A.41, subdivision 5;

(2) principal development and evaluation under section 123B.147, subdivision 3;

(3) professional development under section 122A.60; and

(4) in-service education for programs under section 120B.22, subdivision 2.

To the extent extra funds remain, staff development revenue may be used 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' mentoring under section 122A.70 and evaluation, teachers'
workshops, teacher conferences, the cost of substitute teachers for 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 their 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.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2017
and later.
new text end

Sec. 17.

Minnesota Statutes 2014, section 122A.61, is amended by adding a
subdivision to read:

new text begin Subd. 1a. new text end

new text begin Staff development aid for intermediate school districts and other
cooperative units. new text end

new text begin (a) An intermediate school district or other cooperative unit providing
instruction to students in federal instructional settings of level 4 or higher qualifies for
staff development aid equal to $675 times the full-time equivalent number of licensed
instructional staff, related services staff, and nonlicensed classroom aides employed by the
intermediate school district or other cooperative unit during the previous fiscal year.
new text end

new text begin (b) Staff development aid received under this subdivision must be used for activities
related to enhancing services to students who may have challenging behaviors or mental
health issues or be suffering from trauma. Specific qualifying staff development activities
include but are not limited to:
new text end

new text begin (1) proactive behavior management;
new text end

new text begin (2) personal safety training;
new text end

new text begin (3) de-escalation techniques;
new text end

new text begin (4) adaptation of published curriculum and pedagogy for students with complex
learning and behavioral needs; and
new text end

new text begin (5) other staff development activities specific to the population in this paragraph.
new text end

new text begin (c) The aid received under this subdivision must be reserved and spent only on
the activities specified in this subdivision.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2017
and later.
new text end

Sec. 18.

Minnesota Statutes 2014, section 122A.63, subdivision 1, is amended to read:

Subdivision 1.

Establishment.

new text begin (a) new text end A grant program is established to assist American
Indian people to become teachers and to provide additional education for American Indian
teachers. The commissioner may award a joint grant to each of the following:

(1) the Duluth campus of the University of Minnesota and Independent School
District No. 709, Duluth;

(2) Bemidji State University and Independent School District No. 38, Red Lake;

(3) Moorhead State University and one of the school districts located within the
White Earth Reservation; and

(4) Augsburg College, Independent School District No. 625, St. Paul, and Special
School District No. 1, Minneapolis.

new text begin (b) If additional funds are available, the commissioner may award additional joint
grants to other postsecondary institutions and school districts.
new text end

Sec. 19.

Minnesota Statutes 2014, section 123B.04, subdivision 2, is amended to read:

Subd. 2.

Agreement.

(a) The school board and a school site may enter into an
agreement under this section solely to develop and implement an individualized learning
and achievement contract under subdivision 4.

(b) Upon the request of 60 percent of the licensed employees of a site or a school
site decision-making team, the school board shall enter into discussions to reach an
agreement concerning the governance, management, or control of the school. A school
site decision-making team may include the school principal, teachers in the school or their
designee, other employees in the school, representatives of pupils in the school, or other
members in the community. A school site decision-making team must include at least one
parent of a pupil in the school. For purposes of formation of a new site, a school site
decision-making team may be a team of teachers that is recognized by the board as a site.
The school site decision-making team shall include the school principal or other person
having general control and supervision of the school. The site decision-making team
must reflect the diversity of the education site. At least one-half of the members shall be
employees of the district, unless an employee is the parent of a student enrolled in the school
site, in which case the employee may elect to serve as a parent member of the site team.

(c) School site decision-making agreements must delegate powers, duties, and
broad management responsibilities to site teams and involve staff members, students as
appropriate, and parents in decision making.

(d) An agreement shall include a statement of powers, duties, responsibilities, and
authority to be delegated to and within the site.

(e) An agreement may include:

(1) an achievement contract according to subdivision 4;

(2) a mechanism to allow principals, a site leadership team, or other persons having
general control and supervision of the school, to make decisions regarding how financial
and personnel resources are best allocated at the site and from whom goods or services
are purchased;

(3) a mechanism to implement parental involvement programs under section
124D.895 and to provide for effective parental communication and feedback on this
involvement at the site level;

(4) a provision that would allow the team to determine who is hired into licensed
and nonlicensed positions;

(5) a provision that would allow teachers to choose the principal or other person
having general control;

(6) an amount of revenue allocated to the site under subdivision 3; and

(7) any other powers and duties determined appropriate by the board.

new text begin An agreement may assign such powers, duties, and management responsibilities to
the licensed teachers at a school site to create teacher-governed schools and qualify the
district and site for a grant under subdivision 2a.
new text end

The school board of the district remains the legal employer under clauses (4) and (5).

(f) Any powers or duties not delegated to the school site management team in the
school site management agreement shall remain with the school board.

(g) Approved agreements shall be filed with the commissioner. If a school board
denies a request or the school site and school board fail to reach an agreement to enter
into a school site management agreement, the school board shall provide a copy of the
request and the reasons for its denial to the commissioner.

(h) A site decision-making grant program is established, consistent with this
subdivision, to allow sites to implement an agreement that at least:

(1) notwithstanding subdivision 3, allocates to the site all revenue that is attributable
to the students at that site;

(2) includes a provision, consistent with current law and the collective bargaining
agreement in effect, that allows the site team to decide who is selected from within the
district for licensed and nonlicensed positions at the site and to make staff assignments
in the site; and

(3) includes a completed performance agreement under subdivision 4.

The commissioner shall establish the form and manner of the application for a grant
and annually, at the end of each fiscal year, report to the house of representatives and
senate committees having jurisdiction over education on the progress of the program.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for fiscal year 2017 and later.
new text end

Sec. 20.

Minnesota Statutes 2014, section 123B.04, is amended by adding a
subdivision to read:

new text begin Subd. 2a. new text end

new text begin Teacher-governed schools. new text end

new text begin (a) Consistent with subdivision 2 allowing
a school board to agree to assign powers, duties, and management responsibilities to a
school site, and subject to an agreement between the interested school board and the
exclusive representative of the teachers, a grant program is established to encourage
licensed teachers employed at a school site to explore and develop organizational models
for teaching and learning, provide curriculum and corresponding formative, interim, and
summative assessments, measure and evaluate teacher performance, assign teaching
positions and restructure instructional work, provide professional development to support
teachers restructuring their work, allocate revenue, assert autonomy and leadership, and
pursue other such policies, strategies, and activities for creating teacher-governed schools.
new text end

new text begin (b) The commissioner, after receiving the approved agreement filed by the
parties under subdivision 2, paragraph (g), shall award planning and start-up grants
on a first-come, first-served basis until appropriated funds are expended, distributing
the grants throughout Minnesota to the extent practicable and consistent with this
subdivision. Subject to the content and projected expenditures of the parties' agreement,
the commissioner shall award grants to eligible districts as follows:
new text end

new text begin (1) a planning grant of up to $20,000 during the first year of the parties' agreement; and
new text end

new text begin (2) an implementation grant of up to $100,000 during each of the next two years
of the parties' agreement.
new text end

new text begin A grant recipient that terminates an agreement before the end of a school year must return
a pro rata portion of the grant to the commissioner, the amount of which the commissioner
must determine based upon the number of school days remaining in the school year after
the agreement is terminated. Grant recipients are encouraged to seek matching funds or
in-kind contributions from nonstate sources to supplement the grant awards.
new text end

new text begin (c) A school district receiving a grant must transmit to the commissioner in an
electronic format and post on its Web site by the end of the school year readily accessible
information about recommended best practices based on its experience and progress under
this section. The commissioner must make information about these recommended best
practices readily available to interested districts and schools throughout Minnesota.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for fiscal year 2017 and later.
new text end

Sec. 21.

Minnesota Statutes 2014, section 124D.091, subdivision 2, is amended to read:

Subd. 2.

Eligibility.

A district that offers a concurrent enrollment course according
to an agreement under section 124D.09, subdivision 10, is eligible to receive aid for the
costs of providing postsecondary courses at the high school. deleted text begin Beginning in fiscal year 2011,
deleted text end Districts only are eligible for aid if the college or university concurrent enrollment courses
offered by the district are accredited by the National Alliance of Concurrent Enrollment
Partnership, in the process of being accredited, or are shown by clear evidence to be of
comparable standard to accredited courses, or are technical courses within a recognized
career and technical education program of study approved by the commissioner of
education and the chancellor of the Minnesota State Colleges and Universities.

Sec. 22.

Minnesota Statutes 2014, section 124D.091, subdivision 3, is amended to read:

Subd. 3.

Aid new text begin ; tuition reimbursement new text end .

new text begin (a) new text end An eligible district shall receive deleted text begin $150
deleted text end new text begin $300 new text end per pupil enrolled in a concurrent enrollment course. The money must be used
to defray the cost of delivering the course at the high school. The commissioner shall
establish application procedures and deadlines for receipt of aid payments.

new text begin (b) Notwithstanding paragraph (a), by mutual agreement of the school board and the
exclusive representative of the teachers, up to 25 percent of the aid under this subdivision
may be reserved to offset tuition paid to an accredited higher education institution for
coursework necessary for secondary teachers to meet a postsecondary institution's
accrediting body's requirements to teach concurrent enrollment courses.
new text end

new text begin (c) A teacher receiving tuition reimbursement under this subdivision must repay the
school district if the teacher does not complete the training. If 50 percent or more of a
teacher's tuition is reimbursed by the school district, the teacher must continue to teach in
the school district for two years after receiving an endorsement under section 122A.09,
subdivision 12, or repay the district for the tuition reimbursement.
new text end

Sec. 23.

Minnesota Statutes 2015 Supplement, section 124D.231, subdivision 2,
is amended to read:

Subd. 2.

Full-service community school program.

(a) The commissioner shall
provide funding to eligible school sites to plan, implement, and improve full-service
community schools. Eligible school sites must meet one of the following criteria:

(1) the school is on a development plan for continuous improvement under section
120B.35, subdivision 2; or

(2) the school is in a district that has an achievement and integration plan approved
by the commissioner of education under sections 124D.861 and 124D.862.

(b) An eligible school site may receive up to deleted text begin $100,000 deleted text end new text begin $150,000 new text end annually. School
sites receiving funding under this section shall hire or contract with a partner agency to
hire a site coordinator to coordinate services at each covered school site.

(c) new text begin Of grants awarded, new text end implementation funding of up to $20,000 must be available
for up to one year for planning for school sites. At the end of this period, the school must
submit a full-service community school plan, pursuant to paragraph (g). new text begin If the site decides
not to use planning funds, the plan must be submitted with the application.
new text end

(d) The commissioner shall deleted text begin dispense the funds to deleted text end new text begin consider additional school factors
when dispensing funds including: new text end schools with significant populations of students
receiving free or reduced-price lunches deleted text begin . Schools with deleted text end new text begin ; new text end significant homeless and highly
mobile deleted text begin students shall also be a priority. The commissioner must also dispense the funds in a
manner to ensure deleted text end new text begin rates; and new text end equity among urban, suburban, and greater Minnesota schools.

(e) A school site must establish a school leadership team responsible for developing
school-specific programming goals, assessing program needs, and overseeing the process
of implementing expanded programming at each covered site. The school leadership team
shall have between 12 to 15 members and shall meet the following requirements:

(1) at least 30 percent of the members are parents and 30 percent of the members
are teachers at the school site and must include the school principal and representatives
from partner agencies; and

(2) the school leadership team must be responsible for overseeing the baseline
analyses under paragraph (f). A school leadership team must have ongoing responsibility
for monitoring the development and implementation of full-service community school
operations and programming at the school site and shall issue recommendations to schools
on a regular basis and summarized in an annual report. These reports shall also be made
available to the public at the school site and on school and district Web sites.

(f) School sites must complete a baseline analysis prior to beginning programming
as a full-service community school. The analysis shall include:

(1) a baseline analysis of needs at the school site, led by the school leadership team,
which shall include the following elements:

(i) identification of challenges facing the school;

(ii) analysis of the student body, including:

(A) number and percentage of students with disabilities and needs of these students;

(B) number and percentage of students who are English learners and the needs of
these students;

(C) number of students who are homeless or highly mobile; and

(D) number and percentage of students receiving free or reduced-price lunch and the
needs of these students;

(iii) analysis of enrollment and retention rates for students with disabilities,
English learners, homeless and highly mobile students, and students receiving free or
reduced-price lunch;

(iv) analysis of suspension and expulsion data, including the justification for such
disciplinary actions and the degree to which particular populations, including, but not
limited to, students of color, students with disabilities, students who are English learners,
and students receiving free or reduced-price lunch are represented among students subject
to such actions;

(v) analysis of school achievement data disaggregated by major demographic
categories, including, but not limited to, race, ethnicity, English learner status, disability
status, and free or reduced-price lunch status;

(vi) analysis of current parent engagement strategies and their success; and

(vii) evaluation of the need for and availability of wraparound services, including,
but not limited to:

(A) mechanisms for meeting students' social, emotional, and physical health needs,
which may include coordination of existing services as well as the development of new
services based on student needs; and

(B) strategies to create a safe and secure school environment and improve school
climate and discipline, such as implementing a system of positive behavioral supports, and
taking additional steps to eliminate bullying;

(2) a baseline analysis of community assets and a strategic plan for utilizing
and aligning identified assets. This analysis should include, but is not limited to, a
documentation of individuals in the community, faith-based organizations, community and
neighborhood associations, colleges, hospitals, libraries, businesses, and social service
agencies who may be able to provide support and resources; and

(3) a baseline analysis of needs in the community surrounding the school, led by
the school leadership team, including, but not limited to:

(i) the need for high-quality, full-day child care and early childhood education
programs;

(ii) the need for physical and mental health care services for children and adults; and

(iii) the need for job training and other adult education programming.

(g) Each school site receiving funding under this section must establish at least two
of the following types of programming:

(1) early childhood:

(i) early childhood education; and

(ii) child care services;

(2) academic:

(i) academic support and enrichment activities, including expanded learning time;

(ii) summer or after-school enrichment and learning experiences;

(iii) job training, internship opportunities, and career counseling services;

(iv) programs that provide assistance to students who have been truant, suspended,
or expelled; and

(v) specialized instructional support services;

(3) parental involvement:

(i) programs that promote parental involvement and family literacy, including the
Reading First and Early Reading First programs authorized under part B of title I of the
Elementary and Secondary Education Act of 1965, United States Code, title 20, section
6361, et seq.;

(ii) parent leadership development activities; and

(iii) parenting education activities;

(4) mental and physical health:

(i) mentoring and other youth development programs, including peer mentoring and
conflict mediation;

(ii) juvenile crime prevention and rehabilitation programs;

(iii) home visitation services by teachers and other professionals;

(iv) developmentally appropriate physical education;

(v) nutrition services;

(vi) primary health and dental care; and

(vii) mental health counseling services;

(5) community involvement:

(i) service and service-learning opportunities;

(ii) adult education, including instruction in English as a second language; and

(iii) homeless prevention services;

(6) positive discipline practices; and

(7) other programming designed to meet school and community needs identified in
the baseline analysis and reflected in the full-service community school plan.

(h) The school leadership team at each school site must develop a full-service
community school plan detailing the steps the school leadership team will take, including:

(1) timely establishment and consistent operation of the school leadership team;

(2) maintenance of attendance records in all programming components;

(3) maintenance of measurable data showing annual participation and the impact
of programming on the participating children and adults;

(4) documentation of meaningful and sustained collaboration between the school
and community stakeholders, including local governmental units, civic engagement
organizations, businesses, and social service providers;

(5) establishment and maintenance of partnerships with institutions, such as
universities, hospitals, museums, or not-for-profit community organizations to further the
development and implementation of community school programming;

(6) ensuring compliance with the district nondiscrimination policy; and

(7) plan for school leadership team development.

Sec. 24.

Minnesota Statutes 2014, section 124D.59, is amended by adding a
subdivision to read:

new text begin Subd. 9. new text end

new text begin English learner data. new text end

new text begin When data on English learners are reported for
purposes of educational accountability, English learner data must include all pupils
enrolled in a Minnesota public school course or program who are currently or were
previously counted as an English learner under this section. Reported data must be
disaggregated by currently counted and previously counted English learners.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for the 2017-2018 school year and
later.
new text end

Sec. 25.

new text begin [125B.27] STUDENT-USER PRIVACY IN EDUCATION RIGHTS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) The definitions in this subdivision and section 13.32,
subdivision 1, apply to this section.
new text end

new text begin (b) "Online educational service" means a Web site, online service or application, or
mobile application that a student or the student's parent or legal guardian can access via
the Internet for school purposes. Online educational service includes a cloud computing
service.
new text end

new text begin (c) "Operator" means, to the extent it is operating in this capacity, a person who
operates an online educational service with actual knowledge that it is used primarily for
school purposes and was designed and marketed for these purposes. Operator includes
a vendor.
new text end

new text begin (d) "Protected information" means personally identifiable information or materials
or information that is linked to personally identifiable information or materials, in any
media or format that is not publicly available, and:
new text end

new text begin (1) is created or provided by a student or the student's parent or legal guardian to an
operator in the course of the use of the operator's site, service, or application for school
purposes;
new text end

new text begin (2) is created or provided by an employee or agent of the school to an operator in the
course of the use of the operator's site, service, or application for school purposes; or
new text end

new text begin (3) is gathered by an operator through the operation of an online educational service
and personally identifies a student, including but not limited to information in the student's
educational record or e-mail, first and last name, home address, telephone number, e-mail
address, or other information that allows physical or online contact, discipline records,
test results, special education data, juvenile records, grades, evaluations, criminal records,
health records, Social Security number, biometric information, disabilities, socioeconomic
information, food purchases, political affiliations, religious information, text messages,
documents, student identifiers, search activity, photos, voice recordings, or geolocation
information.
new text end

new text begin (e) "School purposes" means purposes that (1) are directed by or customarily take
place at the direction of the school, teacher, or school district or aid in the administration
of school activities, including instruction in the classroom or at home, administrative
activities, and collaboration between students, school personnel, or parents or legal
guardians, or (2) are for the use and benefit of the school.
new text end

new text begin (f) "Student" means a student in prekindergarten through grade 12.
new text end

new text begin (g) "Vendor" means a person who enters into a contract with a school to provide an
online educational service.
new text end

new text begin (h) "Targeted advertising" means presenting advertisements to a student where
the advertisement is selected based on information obtained or inferred over time from
that student's online behavior, usage of applications, or covered information. It does not
include advertising to a student at an online location based upon that student's current
visit to that location, or in response to that student's request for information or feedback,
without the retention of that student's online activities or requests over time for the
purpose of targeting subsequent ads.
new text end

new text begin Subd. 2. new text end

new text begin Prohibited activities; targeted advertising; creation of student profiles;
sale or unauthorized disclosure of information. new text end

new text begin (a) An operator must not engage in
any of the following activities:
new text end

new text begin (1)(i) targeted advertising on the operator's online educational service; or
new text end

new text begin (ii) targeted advertising on any other site, service, or application when the targeting
of the advertising is based upon information, including protected information and unique
identifiers, that the operator has acquired or created because of the use of that operator's
online educational service;
new text end

new text begin (2) gather, use, or share information, including persistent unique identifiers, acquired
or created by the operator's online educational service, to create a profile about a student,
except in furtherance of school purposes. "Create a profile" does not include the collection
and retention of account information that remains under the control of the student, the
student's parent or guardian, or kindergarten through grade 12 school;
new text end

new text begin (3) sell a student's information, including protected information. This prohibition
does not apply to the purchase, merger, or other type of acquisition of an operator by
another person, provided that the operator or successor continues to be subject to this
section with respect to previously acquired student information or to national assessment
providers if the provider secures the express written consent of the parent or student, given
in response to clear and conspicuous notice, solely to provide access to employment,
educational scholarships or financial aid, or postsecondary educational opportunities; or
new text end

new text begin (4) disclose protected information, unless the disclosure:
new text end

new text begin (i) is made in furtherance of the educational purpose of the site, service, or
application, provided the recipient of the protected information must not further disclose
the information unless done to allow or improve operability and functionality of the
operator's online educational service;
new text end

new text begin (ii) is legally required to comply with subdivision 3;
new text end

new text begin (iii) is made to ensure legal and regulatory compliance, to respond to or participate
in judicial process, or to protect the safety of users or others or the security or integrity
of the site;
new text end

new text begin (iv) is for a school, educational, or employment purpose requested by the student
or the student's parent or guardian, provided that the information is not used or further
disclosed for any other purposes; or
new text end

new text begin (v) is made pursuant to a contract between the operator and a service provider. A
contract must prohibit the service provider from using protected information for any
purpose other than providing the contracted service to, or on behalf of, the operator;
prohibit the service provider from disclosing protected information provided by the
operator to third parties; and require the service provider to implement and maintain
reasonable security procedures and practices as provided in subdivision 3.
new text end

new text begin (b) This subdivision does not prohibit the operator's use of information for
maintaining, developing, supporting, improving, or diagnosing the operator's site, service,
or application.
new text end

new text begin Subd. 3. new text end

new text begin Security procedures and practices. new text end

new text begin An operator shall:
new text end

new text begin (1) implement and maintain reasonable security procedures and practices appropriate
to the nature of the protected information designed to protect that information from
unauthorized access, destruction, use, modification, or disclosure; and
new text end

new text begin (2) delete a student's protected information within a reasonable period of time
and in any case within 60 days if the school requests deletion of data under the control
of the school.
new text end

new text begin Subd. 4. new text end

new text begin Permissible disclosures. new text end

new text begin Notwithstanding subdivision 2, paragraph (a),
clause (4), an operator may use or disclose protected information of a student under the
following circumstances:
new text end

new text begin (1) if other provisions of federal or state law require the operator to disclose the
information and the operator complies with the requirements of federal or state law in
protecting and disclosing that information;
new text end

new text begin (2) as long as no covered information is used for advertising or to create a profile on
the student for purposes other than educational purposes, for legitimate research purposes:
new text end

new text begin (i) as required by state or federal law and subject to the restrictions under applicable
law; or
new text end

new text begin (ii) as allowed by state or federal law and in furtherance of educational purposes or
postsecondary educational purposes; and
new text end

new text begin (3) to a state or local educational agency, including schools and school districts, for
school purposes as permitted by state or federal law.
new text end

new text begin Subd. 5. new text end

new text begin Use of information by operator. new text end

new text begin This section does not prohibit an
operator from doing any of the following:
new text end

new text begin (1) using protected information within the operator's site, service, or application or
other sites, services, or applications owned by the operator to improve educational products;
new text end

new text begin (2) using protected information that is not associated with an identified student to
demonstrate the effectiveness of the operator's products or services, including marketing;
new text end

new text begin (3) sharing aggregate information that does not directly, indirectly, or in combination
with other information identify a student for the development and improvement of
educational sites, services, or applications;
new text end

new text begin (4) using recommendation engines to recommend to a student either of the following:
new text end

new text begin (i) additional content relating to an educational, other learning, or employment
opportunity purpose within an online site, service, or application if the recommendation is
not determined in whole or in part by payment or other consideration from a third party; or
new text end

new text begin (ii) additional services relating to an educational, other learning, or employment
opportunity purpose within an online site, service, or application if the recommendation is
not determined in whole or in part by payment or other consideration from a third party; or
new text end

new text begin (5) responding to a student's request for information or for feedback without the
information or response being determined in whole or in part by payment or other
consideration from a third party.
new text end

new text begin Subd. 6. new text end

new text begin Certain activities not affected. new text end

new text begin (a) This section does not limit the
authority of a law enforcement agency to obtain information from an operator as
authorized by law or pursuant to a court order.
new text end

new text begin (b) This section does not limit the ability of an operator to use student information,
including protected information, for adaptive learning or customized student learning
purposes.
new text end

new text begin (c) This section does not apply to general audience Web sites, general audience
online services, general audience online applications, or general audience mobile
applications, even if log-in credentials created for an operator's online educational service
may be used to access those general audience Web sites, services, or applications.
new text end

new text begin (d) This section does not limit Internet service providers from providing Internet
connectivity to schools or students and their families.
new text end

new text begin (e) This section does not prohibit an operator of a Web site, online service, online
application, or mobile application from the general marketing of educational products to
parents or legal guardians so long as the marketing is not based on the use of protected
information obtained by the operator through the provision of services governed by this
section.
new text end

new text begin (f) This section does not impose a duty upon a provider of an electronic store, gateway,
marketplace, or other means of purchasing or downloading software or applications to
review or enforce compliance with this section on those applications or software.
new text end

new text begin (g) This section does not impose a duty on a provider of an interactive computer
service, as defined in United States Code, title 47, section 230, to review or enforce
compliance with this section by third-party content providers.
new text end

new text begin (h) This section does not impede the ability of students to download, transfer, export,
or otherwise save or maintain their own data or documents.
new text end

Sec. 26.

new text begin [136A.1275] GRANTS TO STUDENT TEACHERS IN SHORTAGE
AREAS.
new text end

new text begin Subdivision 1. new text end

new text begin Establishment. new text end

new text begin The commissioner of the Office of Higher Education
must establish a grant program for student teachers.
new text end

new text begin Subd. 2. new text end

new text begin Eligibility. new text end

new text begin In order to receive a grant, the applicant must:
new text end

new text begin (1) be enrolled in a Minnesota teacher preparation program at an eligible institution
that would enable the applicant, upon graduation, to teach in a Minnesota school district
in a shortage area. "Shortage area" has the same meaning given in section 122A.18,
subdivision 4a;
new text end

new text begin (2) be a teacher candidate completing a student-teacher requirement by teaching in a
shortage area; and
new text end

new text begin (3) demonstrate financial need in the form and manner prescribed by the
commissioner of the Office of Higher Education.
new text end

new text begin Subd. 3. new text end

new text begin Administration. new text end

new text begin The office must determine the time and manner of
applications. The office must determine the stipend amount based on the money available
and the number of eligible applicants each academic year.
new text end

Sec. 27.

Laws 2012, chapter 263, section 1, as amended by Laws 2014, chapter 312,
article 15, section 24, is amended to read:

Section 1. INNOVATIVE DELIVERY OF EDUCATION SERVICES AND
SHARING OF new text begin SCHOOL OR new text end DISTRICT RESOURCES; PILOT PROJECT.

Subdivision 1.

Establishment; requirements for participation.

(a) A pilot project
is established to improve student deleted text begin and deleted text end new text begin , career and college readiness, and new text end school outcomes
by allowing deleted text begin groups of deleted text end new text begin one or more new text end school districts new text begin or charter schools new text end to work together new text begin or
with postsecondary institutions or employers new text end to new text begin :
new text end

new text begin (1) new text end provide innovative education programs and activities new text begin that are consistent with
Minnesota Statutes, section 124D.52, subdivision 9, governing the standard adult high
school diploma, or with Minnesota Statutes, section 124D.085, governing experiential and
applied learning opportunities;
new text end

new text begin (2) conduct research with rigorous methodology on these innovative education
programs and activities that may include career and college readiness assessments and
interim assessments that comply with the federal Every Student Succeeds Act; new text end and

new text begin (3) new text end share district new text begin or school and other new text end resources new text begin , with the goal of improving students'
career and college readiness as defined under Minnesota Statutes, section 120B.30,
subdivision 1, paragraph (p), and consistent with the requirements of the world's best
workforce under Minnesota Statutes, section 120B.11 new text end .

The pilot project may last until June 30, deleted text begin 2018 deleted text end new text begin 2021 new text end , or for up to five years, whichever is deleted text begin less
deleted text end new text begin earlier new text end , except that innovation partnerships formed during the period of the pilot project
may continue past June 30, deleted text begin 2018 deleted text end new text begin 2021 new text end , with the agreement of the partnership members.

(b) To participate in this pilot project to improve student deleted text begin and deleted text end new text begin , new text end school new text begin , and career and
college readiness new text end outcomes, a group of two or more school districts new text begin or charter schools, one
or more school districts and charter schools, one or more school districts or charter schools
and postsecondary institutions, or one or more school districts or charter schools and
employers new text end must collaborate with school staff deleted text begin and deleted text end new text begin , postsecondary faculty, or employees,
as appropriate, to form a partnership, prepare a plan, and complete an application to
participate in a pilot project. A school district partner must new text end receive formal school board
approval to form a partnership new text begin and a charter school partner must receive formal approval
from its board of directors to form a partnership new text end . The partnership must deleted text begin develop a deleted text end plan to
provide challenging programmatic options for students, create professional development
opportunities for educators, increase student engagement and connection and challenging
learning opportunities for students, or demonstrate efficiencies in delivering financial and
other services. new text begin The plan evaluations must provide for a rigorous evaluation premised on
returns on investment, program effectiveness, or beat-the-odds analysis and may offer
career and college readiness assessments or other interim assessments. new text end

new text begin (c) An interested partnership may structure its application and plan to:
new text end

new text begin (1) reduce duplicative assessments that educators and psychometricians identify as
less useful for informing instruction or identifying and diagnosing areas where students
require targeted interventions under Minnesota Statutes, section 120B.30, subdivision 1,
paragraphs (c), clause (2), and (d);
new text end

new text begin (2) establish expectations for career and college readiness under Minnesota Statutes,
section 120B.30, subdivision 1, paragraphs (d) and (g);
new text end

new text begin (3) use fully adaptive, on and off-grade assessments under Minnesota Statutes,
section 120B.30, subdivision 1;
new text end

new text begin (4) provide students with predictive information to enable them to successfully
explore and realize their educational, career, and college interests, aptitudes, and
aspirations under Minnesota Statutes, section 120B.125;
new text end

new text begin (5) use career and college readiness assessments or other interim or formative
assessments highly correlated with the Minnesota comprehensive assessments in reading
and math;
new text end

new text begin (6) notwithstanding Minnesota Statutes, section 120B.024, allow a student to use a
course in applied mathematics or STEM as an equivalent to algebra II; or
new text end

new text begin (7) include student assessment data under this section in the district's annual world's
best workforce report, consistent with Minnesota Statutes, section 120B.11, subdivisions 5
and 9, paragraph (a).
new text end

new text begin Notwithstanding Minnesota Statutes, section 120B.30, or any other law to the
contrary, a participating school district or charter school may use alternative assessments
under this paragraph in place of the Minnesota comprehensive assessments administered
in high school. A participating school district or charter school, whose approved program
under this section lasts longer than four years for a high school student, may count those
students in the four-year graduation rate upon completion of all state and local graduation
requirements even though the student continues in an innovative postsecondary program.
Notwithstanding other law to the contrary, a participating school district or charter school
may take attendance only once per school day so long as the district or charter school
ensures that students in attendance are not otherwise identified as truant. new text end The plan must
deleted text begin establish deleted text end new text begin include new text end :

(1) collaborative educational goals and objectives;

(2) strategies and processes to implement those goals and objectives, including a
budget process with periodic expenditure reviews;

(3) valid and reliable measures to evaluate progress in realizing the goals and
objectives;

(4) an implementation timeline; and

(5) other applicable conditions, regulations, responsibilities, duties, provisions, fee
schedules, and legal considerations needed to fully implement the plan.

A partnership may invite additional deleted text begin districts deleted text end new text begin eligible partners new text end to join the partnership
during the pilot project term deleted text begin after notifying deleted text end new text begin and must notify new text end the commissioner new text begin when
additional partners intend to join the partnership. The commissioner may reject the
addition of an eligible partner if the addition causes the state to become out of compliance
with federal requirements new text end .

deleted text begin (c) deleted text end new text begin (d) new text end A new text begin school district member or a charter school member of an interested
new text end partnership deleted text begin of interested districts deleted text end must deleted text begin apply by February 1 of any year deleted text end new text begin submit an
application new text end to the education commissioner in the form and manner the commissioner
determines, consistent with new text begin the requirements of new text end this section. The application must contain
the formal approval adopted by the school board in each district new text begin or by the charter school
board of directors new text end to participate in the plan.

deleted text begin (d) deleted text end new text begin (e) new text end Notwithstanding other law to the contrary, a participating school district
under this section continues to: receive revenue and maintain its taxation authority; be
organized and governed by an elected school board with general powers under Minnesota
Statutes, section 123B.02; and be subject to employment agreements under Minnesota
Statutes, chapter 122A, and Minnesota Statutes, section 179A.20; and district employees
continue to remain employees of the employing school district.

new text begin (f) Participating school district and charter schools must submit a biennial evaluation
by February 1 in each odd-numbered year to the chairs and the ranking minority members
of the legislative committees with primary jurisdiction over kindergarten through grade
12 education and the education commissioner that includes longitudinal data under
Minnesota Statutes, section 127A.70, subdivision 2, paragraph (b), governing SLEDS,
and is premised on return on investment, program effectiveness, or beat-the-odds analysis
in the context of students' career and college readiness.
new text end

Subd. 2.

Commissioner's role.

Interested deleted text begin groups of school districts deleted text end new text begin partnerships
new text end must submit a completed application to the commissioner by March 1 of any year in the
form and manner determined by the commissioner new text begin , consistent with the requirements of this
section. For 2016 only, the school district member or charter school member must submit
an application by July 1 new text end . The education commissioner must convene an advisory panel
composed of a teacher appointed by Education Minnesota, a school principal appointed
by the Minnesota Association of Secondary School Principals, a school board member
appointed by the Minnesota School Boards Association, new text begin a researcher appointed by the
commissioner of the Office of Higher Education, a researcher appointed by the University
of Minnesota Educational Psychology Department, new text end and a school superintendent appointed
by the Minnesota Association of School Administrators to advise the commissioner on
applicants' qualifications to participate in this pilot project. The commissioner deleted text begin may
select deleted text end new text begin , for the period encompassing the 2016-2017 through 2020-2021 school years, must
authorize new text end up to deleted text begin six deleted text end new text begin eight new text end qualified applicants deleted text begin under subdivision 1 by April 1 of any year deleted text end to
participate in this pilot project, deleted text begin ensuring deleted text end new text begin seeking new text end an equitable geographical distribution of
project participants to the extent practicable. new text begin The commissioner may approve no more
than two partnerships applying to conduct research using alternative measures in place of
the Minnesota comprehensive assessments under subdivision 1, paragraph (c), clause (7),
and those partnerships may include up to three school districts or charter schools. new text end The
commissioner must deleted text begin select deleted text end new text begin authorize new text end only those applicants that fully comply with the
requirements in subdivision 1. The commissioner must terminate a project participant that
fails to effectively implement the goals and objectives contained in its application and
according to its stated timeline.

Subd. 3.

Pilot project evaluation.

Participating school districts new text begin and charter
schools new text end must submit pilot project data to the new text begin education new text end commissioner deleted text begin in the form and
manner determined by the commissioner deleted text end new text begin and the legislature, consistent with this section new text end .
new text begin Consistent with Minnesota Statutes, section 13.05, on the duties of state agencies regarding
the use and dissemination of data on individuals, new text end the education commissioner must analyze
new text begin the data on new text end participating districts' progress new text begin and on participating charter schools' progress
new text end in realizing their educational goals and objectives to deleted text begin work together in providing deleted text end new text begin provide
new text end innovative education programs and activities and deleted text begin sharing deleted text end new text begin share new text end resources new text begin to improve
students' career and college readiness new text end . The commissioner must include the analysis of
best practices in a report to the legislative committees with jurisdiction over kindergarten
through grade 12 education finance and policy on the efficacy of this pilot project. The
commissioner shall submit an interim project report by deleted text begin February 1, 2016 deleted text end new text begin March 30, 2019 new text end ,
and must submit a final report to the legislature by February 1, deleted text begin 2019, recommending
whether or not to continue or expand the pilot project deleted text end new text begin 2022 new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to those applications submitted to the commissioner after that date. Districts
already approved for an innovation zone pilot project may continue to operate under Laws
2012, chapter 263, section 1, as amended by Laws 2014, chapter 312, article 15, section 24.
new text end

Sec. 28.

Laws 2012, chapter 263, section 2, is amended to read:

Sec. 2. APPROPRIATION.

$25,000 is appropriated in fiscal year 2013 from the general fund to the commissioner
of education for the review of applicants, selection of participants, and evaluation of
the pilot projects authorized in section 1. The base for the Department of Education is
increased by $25,000 for fiscal year 2014 through fiscal year deleted text begin 2018 deleted text end new text begin 2021 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. 29.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision
2, is amended to read:

Subd. 2.

Alternative compensation.

For alternative teacher compensation aid
under Minnesota Statutes, section 122A.415, subdivision 4:

	$	deleted text begin 78,331,000 deleted text end new text begin 78,656,000 new text end	.....	2016
	$	deleted text begin 87,147,000 deleted text end new text begin 98,159,000 new text end	.....	2017

The 2016 appropriation includes $7,766,000 for 2015 and deleted text begin $70,565,000 deleted text end new text begin $70,890,000 new text end
for 2016.

The 2017 appropriation includes deleted text begin $7,840,000 deleted text end new text begin $7,876,000 new text end for 2016 and deleted text begin $79,307,000 deleted text end new text begin
$90,283,000 new text end for 2017.

Sec. 30.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision
3, is amended to read:

Subd. 3.

Achievement and integration aid.

For achievement and integration aid
under Minnesota Statutes, section 124D.862:

	$	deleted text begin 65,539,000 deleted text end new text begin 65,439,000 new text end	.....	2016
	$	deleted text begin 68,745,000 deleted text end new text begin 69,372,000 new text end	.....	2017

The 2016 appropriation includes $6,382,000 for 2015 and deleted text begin $59,157,000 deleted text end new text begin $59,057,000 new text end
for 2016.

The 2017 appropriation includes deleted text begin $6,573,000 deleted text end new text begin $6,561,000 new text end for 2016 and deleted text begin $62,172,000 deleted text end new text begin
$62,811,000 new text end for 2017.

Sec. 31.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision
6, is amended to read:

Subd. 6.

Reading Corps.

For grants to ServeMinnesota for the Minnesota Reading
Corps under Minnesota Statutes, section 124D.42, subdivision 8:

	$	6,125,000	.....	2016
	$	deleted text begin 6,125,000 deleted text end new text begin 9,125,000 new text end	.....	2017

Any balance in the first year does not cancel but is available in the second year. new text begin The
base appropriation for fiscal year 2018 and later years is $5,625,000.
new text end

Sec. 32.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision
9, is amended to read:

Subd. 9.

Concurrent enrollment program.

For concurrent enrollment programs
under Minnesota Statutes, section 124D.091:

	$	deleted text begin $ deleted text end 4,000,000	.....	2016
	$	deleted text begin $4,000,000 deleted text end new text begin 6,250,000 new text end	.....	2017

If the appropriation is insufficient, the commissioner must proportionately reduce
the aid payment to each district.

Any balance in the first year does not cancel but is available in the second year. new text begin The
base for this appropriation in fiscal year 2018 is $5,000,000.
new text end

Sec. 33.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision
12, is amended to read:

Subd. 12.

Collaborative urban educator.

For the collaborative urban educator
grant program:

	$	780,000	.....	2016
	$	deleted text begin 780,000 deleted text end new text begin 1,090,000 new text end	.....	2017

Grants shall be awarded in equal amounts: deleted text begin $195,000 deleted text end new text begin $272,500 new text end each year is for the
Southeast Asian teacher program at Concordia University, St. Paul; deleted text begin $195,000 deleted text end new text begin $272,500
new text end each year is for the collaborative urban educator program at the University of St. Thomas;
deleted text begin $195,000 deleted text end new text begin $272,500 new text end each year is for the Center for Excellence in Urban Teaching at
Hamline University; and deleted text begin $195,00 deleted text end new text begin $272,500 new text end each year is for the East Africa Student to
Teacher program at Augsburg College.

Any balance in the first year does not cancel but is available in the second year.

Each institution shall prepare for the legislature, by January 15 of each year, a
detailed report regarding the funds used. The report must include the number of teachers
prepared as well as the diversity for each cohort of teachers produced. new text begin The report must
also include the graduation rate for each cohort of teacher candidates, the placement rate
for each graduating cohort of teacher candidates, and the retention rate for each graduating
cohort of teacher candidates, among other program outcomes.
new text end

Sec. 34.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision
15, is amended to read:

Subd. 15.

Museums and Education Centers.

For grants to museums and education
centers:

	$	351,000	.....	2016
	$	deleted text begin 351,000 deleted text end new text begin 701,000 new text end	.....	2017

(a) $260,000 deleted text begin each year is deleted text end new text begin in fiscal year 2016 and $560,000 in fiscal year 2017 are new text end for
the Minnesota Children's Museum. new text begin The base amount in fiscal year 2018 is $260,000.
new text end

(b) $50,000 each year is for the Duluth Children's Museum.

(c) $41,000 each year is for the Minnesota Academy of Science.

new text begin (d) $50,000 each year is for the Headwaters Science Center for hands-on science,
technology, engineering, and math (STEM) education.
new text end

Any balance in the first year does not cancel but is available in the second year. new text begin
The base in fiscal year 2018 is $401,000.
new text end

Sec. 35.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision
19, is amended to read:

Subd. 19.

Full-service community schools.

For full-service community schools
under Minnesota Statutes, section 124D.231:

	$	250,000	.....	2016
	$	deleted text begin 250,000 deleted text end new text begin 2,450,000 new text end	.....	2017

This is a onetime appropriation. new text begin Up to $100,000 each year is for administration of this
program. new text end Any balance in the first year does not cancel but is available in the second year.

Sec. 36.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision
21, is amended to read:

Subd. 21.

American Indian teacher preparation grants.

For joint grants to assist
American Indian people to become teachers under Minnesota Statutes, section 122A.63:

	$	190,000	.....	2016
	$	deleted text begin 190,000 deleted text end new text begin new text end new text begin 1,250,000 new text end	.....	2017

Sec. 37.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision
24, is amended to read:

Subd. 24.

Race 2 Reduce.

For grants to support expanded Race 2 Reduce water
conservation programming in Minnesota schools:

	$	81,000	.....	2016
	$	deleted text begin 69,000 deleted text end new text begin 219,000 new text end	.....	2017

In the first year, $28,000 is for H2O for Life; $38,000 is for Independent School
District No. 624, White Bear Lake; and $15,000 is for Independent School District No.
832, Mahtomedi. In the second year, deleted text begin $32,000 deleted text end new text begin $102,000 new text end is for H2O for Life; deleted text begin $22,000 deleted text end new text begin
$70,000 new text end is for Independent School District No. 624, White Bear Lake; and deleted text begin $15,000 deleted text end new text begin
$47,000 new text end is for Independent School District No. 832, Mahtomedi.

Any balance in the first year does not cancel but is available in the second year. deleted text begin The
deleted text end deleted text begin base appropriation for fiscal year 2018 and later is $0.
deleted text end

Sec. 38.

Laws 2015, First Special Session chapter 3, article 3, section 15, subdivision
3, is amended to read:

Subd. 3.

deleted text begin ACT test deleted text end new text begin College entrance examination new text end reimbursement.

To reimburse
districts for students who qualify under Minnesota Statutes, section 120B.30, subdivision
1, paragraph (e), for onetime payment of their deleted text begin ACT deleted text end new text begin college entrance new text end examination fee:

	$	3,011,000	.....	2016
	$	3,011,000	.....	2017

The Department of Education must reimburse districts for their onetime payments
on behalf of students. new text begin Any balance in the first year does not cancel but is available in the
second year. This appropriation is available until October 1, 2017. For examinations taken
before July 1, 2016, the department may reimburse districts only for ACT examination fees.
new text end

Sec. 39. new text begin AGRICULTURAL EDUCATOR GRANTS.
new text end

new text begin Subdivision 1. new text end

new text begin Grant program established. new text end

new text begin A grant program is established to
support school districts in paying agricultural education teachers for work over the
summer with high school students in extended projects.
new text end

new text begin Subd. 2. new text end

new text begin Application. new text end

new text begin The commissioner of education shall develop the form and
method for applying for the grants. The commissioner shall develop criteria for determining
the allocation of the grants, including appropriate goals for the use of the grants.
new text end

new text begin Subd. 3. new text end

new text begin Grant awards. new text end

new text begin Grant funding under this section must be matched
by funding from the school district for the agricultural education teacher's summer
employment. Grant funding for each teacher is limited to the one-half share of 40 working
days.
new text end

new text begin Subd. 4. new text end

new text begin Reports. new text end

new text begin School districts that receive grant funds shall report to the
commissioner of education no later than December 31 of each year regarding the number
of teachers funded by the grant program and the outcomes compared to the goals
established in the grant application. The Department of Education shall develop the
criteria necessary for the reports.
new text end

Sec. 40. new text begin EXCELLENCE IN TEACHING INCENTIVE GRANTS.
new text end

new text begin The Board of Teaching shall award a onetime incentive grant of $2,000 to any
Minnesota teacher who achieves National Board Certification after June 30, 2016, as long
as funds are available. A teacher may apply for a grant in the form and manner determined
by the Board of Teaching. The grants must be awarded on a first-come, first-served basis.
new text end

Sec. 41. new text begin OUTDOOR PLACE-BASED EDUCATION ADVISORY GROUP.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin For purposes of this section, "outdoor place-based
education" means the process of using the local community and outdoor environment as
a starting point to teach concepts in language arts, mathematics, social studies, science,
history, and other subjects across the curriculum.
new text end

new text begin Subd. 2. new text end

new text begin Advisory group creation. new text end

new text begin The outdoor place-based education advisory
group consists of the following 14 members:
new text end

new text begin (1) the commissioner or director of the following agencies or their designees:
new text end

new text begin (i) the Department of Education;
new text end

new text begin (ii) the Department of Natural Resources; and
new text end

new text begin (iii) the Minnesota Historical Society;
new text end

new text begin (2) 11 public members who have demonstrated an interest in outdoor skills and
education:
new text end

new text begin (i) one member appointed by Education Minnesota;
new text end

new text begin (ii) one member appointed by the Minnesota Rural Education Association;
new text end

new text begin (iii) one member appointed by the Minnesota School Boards Association;
new text end

new text begin (iv) one member appointed by the Minnesota Association of Charter Schools;
new text end

new text begin (v) one member appointed by the Parks and Trails Council of Minnesota;
new text end

new text begin (vi) one public member appointed by the majority leader of the senate;
new text end

new text begin (vii) one public member appointed by the minority leader of the senate;
new text end

new text begin (viii) one public member appointed by the speaker of the house;
new text end

new text begin (ix) one public member appointed by the minority leader of the house of
representatives; and
new text end

new text begin (x) two public members appointed by the governor.
new text end

new text begin Subd. 3. new text end

new text begin Advisory group duties; report required. new text end

new text begin (a) The advisory group must
develop recommendations for the design and implementation of a statewide outdoor
place-based education plan for students in prekindergarten through grade 12. The advisory
group must report proposed recommendations to the chairs and ranking minority members
of the legislative committees with primary jurisdiction over kindergarten through grade 12
education policy by February 15, 2017.
new text end

new text begin (b) The report required under this subdivision must, at a minimum:
new text end

new text begin (1) recommend strategies for the integration of outdoor place-based education in
each of the subject areas required for statewide accountability under Minnesota Statutes,
section 120B.021, subdivision 1, including any staff development required to support
such integration;
new text end

new text begin (2) identify grades or grade ranges in which outdoor place-based education may
have the greatest impact, given limited staff and financial resources;
new text end

new text begin (3) recommend an assessment instrument that districts may use in order to evaluate
the impact of outdoor place-based education; and
new text end

new text begin (4) estimate the financial and human resources required to implement the
recommendations on a statewide basis.
new text end

new text begin Subd. 4. new text end

new text begin Administrative provisions. new text end

new text begin (a) The commissioner of education or the
commissioner's designee must convene the initial meeting of the advisory group by
September 15, 2016. Upon request of the advisory group, the commissioner must provide
meeting space and administrative services for the advisory group. The members of the
advisory group must elect a chair or cochairs from the members of the advisory group at
the initial meeting.
new text end

new text begin (b) Public members of the advisory group serve without compensation, but may be
reimbursed for travel expenses.
new text end

new text begin (c) The advisory group expires February 15, 2017, or upon submission of the report
required under this section, whichever is earlier.
new text end

new text begin Subd. 5. new text end

new text begin Deadline for appointments and designations. new text end

new text begin The appointments and
designations authorized under this section must be completed by August 15, 2016.
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. 42. new text begin PARAPROFESSIONAL PATHWAY TO TEACHER LICENSURE.
new text end

new text begin The commissioner of education must establish a grant program for school districts
to design, establish, and maintain a paraprofessional pathway to teacher licensure or
a grow your own new teacher program. The programs must allow a current school
district paraprofessional to pursue their teaching license while still being employed by
the school district. A school district may apply in the form and manner prescribed by
the commissioner.
new text end

Sec. 43. new text begin SUPPORT OUR STUDENTS GRANT PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin For the purposes of this section, the following terms
have the meanings given them:
new text end

new text begin (1) "student support services personnel" includes individuals licensed to serve as a
school counselor, school psychologist, school social worker, school nurse, or chemical
dependency counselor in Minnesota; and
new text end

new text begin (2) "new position" means a student support services personnel full-time or part-time
position not under contract by a school at the start of the 2015-2016 school year.
new text end

new text begin Subd. 2. new text end

new text begin Purpose. new text end

new text begin The purpose of the support our students grant program is to:
new text end

new text begin (1) address shortages of student support services personnel within Minnesota schools;
new text end

new text begin (2) decrease caseloads for existing student support services personnel to ensure
effective services;
new text end

new text begin (3) ensure that students receive effective academic guidance and integrated and
comprehensive services to improve kindergarten through grade 12 school outcomes and
career and college readiness;
new text end

new text begin (4) ensure that student support services personnel serve within the scope and practice
of their training and licensure;
new text end

new text begin (5) fully integrate learning supports, instruction, and school management within a
comprehensive approach that facilitates interdisciplinary collaboration; and
new text end

new text begin (6) improve school safety and school climate to support academic success and
career and college readiness.
new text end

new text begin Subd. 3. new text end

new text begin Grant eligibility and application. new text end

new text begin (a) A school district, charter school,
intermediate school district, or other cooperative unit is eligible to apply for a six-year
matching grant under this section.
new text end

new text begin (b) The commissioner of education shall specify the form and manner of the grant
application. In awarding grants, the commissioner must give priority to schools in
which student support services personnel positions do not currently exist. To the extent
practicable, the commissioner must award grants equally between applicants in metro
counties and nonmetro counties. Additional criteria must include at least the following:
new text end

new text begin (1) existing student support services personnel caseloads;
new text end

new text begin (2) school demographics;
new text end

new text begin (3) Title 1 revenue;
new text end

new text begin (4) Minnesota student survey data;
new text end

new text begin (5) graduation rates; and
new text end

new text begin (6) postsecondary completion rates.
new text end

new text begin Subd. 4. new text end

new text begin Allowed uses; match requirements. new text end

new text begin A grant under this section must be
used to hire a new position. A school that receives a grant must match the grant with local
funds in each year of the grant. In each of the first four years of the grant, the local match
equals $1 for every $1 awarded in the same year. In years five and six of the grant, the
local match equals $3 for every $1 awarded in the same year. The local match may not
include federal reimbursements attributable to the new position.
new text end

new text begin Subd. 5. new text end

new text begin Report required. new text end

new text begin By February 1 following any fiscal year in which it
received a grant, a school must submit a written report to the commissioner indicating
how the new positions affected two or more of the following measures:
new text end

new text begin (1) school climate;
new text end

new text begin (2) attendance rates;
new text end

new text begin (3) academic achievement;
new text end

new text begin (4) career and college readiness; and
new text end

new text begin (5) postsecondary completion rates.
new text end

Sec. 44. new text begin TEACHER DEVELOPMENT AND EVALUATION AID.
new text end

new text begin (a) For fiscal year 2017 only, teacher development and evaluation aid for a school
district, intermediate school district, educational cooperative, education district, or charter
school with any school site that does not have an alternative professional pay system
agreement under Minnesota Statutes, section 122A.414, subdivision 2, equals $400.68
times the number of full-time equivalent teachers employed on October 1 of the previous
school year in each school site without an alternative professional pay system under
Minnesota Statutes, section 122A.414, subdivision 2. Except for charter schools, aid under
this section must be reserved for teacher development and evaluation activities consistent
with Minnesota Statutes, section 122A.40, subdivision 8, or 122A.41, subdivision 5.
For the purposes of this section, "teacher" has the meaning given in Minnesota Statutes,
section 122A.40, subdivision 1, or 122A.41, subdivision 1.
new text end

new text begin (b) Notwithstanding paragraph (a), the state total teacher development and evaluation
aid entitlement must not exceed $10,000,000 for fiscal year 2017. The commissioner must
limit the amount of aid under this section so as not to exceed this limit.
new text end

new text begin (c) One hundred percent of the teacher development and evaluation aid must be
paid in fiscal year 2017.
new text end

Sec. 45. new text begin APPROPRIATIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Department of Education. new text end

new text begin The sums indicated in this section are
appropriated from the general fund to the Department of Education for the fiscal years
designated.
new text end

new text begin Subd. 2. new text end

new text begin Teacher development and evaluation. new text end

new text begin For teacher development and
evaluation aid:
new text end

new text begin $ new text end

new text begin 10,000,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin This is a onetime appropriation.
new text end

new text begin Subd. 3. new text end

new text begin Support our students grants. new text end

new text begin For support our students grants:
new text end

new text begin $ new text end

new text begin 13,100,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin This is a onetime appropriation.
new text end

new text begin Notwithstanding Minnesota Statutes, section 16A.28, this appropriation is available
until June 30, 2023. The commissioner may not allot more than $2,600,000 of this
appropriation before July 1, 2019. Up to $100,000 of this appropriation may be retained
by the commissioner for administration of the grant program. Any balance remaining after
June 30, 2023, shall cancel to the general fund.
new text end

new text begin Subd. 4. new text end

new text begin Paraprofessional pathway to teacher licensure. new text end

new text begin For grants to school
districts for grow your own new teacher programs:
new text end

new text begin $ new text end

new text begin 2,250,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin The base in fiscal year 2018 is $2,250,000.
new text end

new text begin Subd. 5. new text end

new text begin Minnesota Council on Economic Education. new text end

new text begin For a grant to the
Minnesota Council on Economic Education to provide staff development to teachers
for the implementation of the state graduation standards in learning areas relating to
economic education:
new text end

new text begin $ new text end

new text begin 250,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin The commissioner, in consultation with the council, shall develop expected results
of staff development, eligibility criteria for participants, an evaluation procedure, and
guidelines for direct and in-kind contributions by the council.
new text end

new text begin This is a onetime appropriation.
new text end

new text begin Subd. 6. new text end

new text begin Education Innovation Partners Cooperative Center. new text end

new text begin For a matching
grant to Education Innovation Partners Cooperative Center, No. 6091-50, to provide
research-based professional development services, on-site training, and leadership
coaching to teachers and other school staff:
new text end

new text begin $ new text end

new text begin 500,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin A grant under this subdivision must be matched with money or in-kind contributions
from nonstate sources. This is a onetime appropriation.
new text end

new text begin Subd. 7. new text end

new text begin Teacher-governed school grants. new text end

new text begin For grants to teacher-governed schools
under Minnesota Statutes, section 123B.04, subdivision 2a:
new text end

new text begin $ new text end

new text begin 500,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin This is a onetime appropriation.
new text end

new text begin Subd. 8. new text end

new text begin Outdoor place-based education program. new text end

new text begin For an outdoor place-based
education literature review:
new text end

new text begin $ new text end

new text begin 35,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin The commissioner, in collaboration with outdoor place-based education providers,
shall provide for a literature review of the existing evidence of the effect of outdoor
place-based education on educational outcomes and development of core competencies
that lead to career and college success and deliver the literature review to the outdoor
place-based education advisory group no later than November 15, 2016. This is a onetime
appropriation. For purposes of this subdivision, "outdoor place-based education" means
the process of using the local community and outdoor environment as a starting point to
teach concepts in language arts, mathematics, social studies, science, history, and other
subjects across the curriculum.
new text end

new text begin Subd. 9. new text end

new text begin Outdoor place-based education advisory group. new text end

new text begin For the outdoor
place-based education advisory group:
new text end

new text begin $ new text end

new text begin 50,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin This is a onetime appropriation.
new text end

new text begin Subd. 10. new text end

new text begin Staff development aid for cooperative units. new text end

new text begin For payment of staff
development aid to intermediate school districts and other cooperative units under
Minnesota Statutes, section 122A.61, subdivision 1a:
new text end

new text begin $ new text end

new text begin 1,493,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin Subd. 11. new text end

new text begin Student teachers in shortage areas. new text end

new text begin For transfer to the commissioner of
the Office of Higher Education for the purpose of providing grants to student teachers in
shortage areas under Minnesota Statutes, section 136A.1275:
new text end

new text begin $ new text end

new text begin 2,000,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin Any balance in the first year does not cancel but is available in the second year.
new text end

new text begin Subd. 12. new text end

new text begin Singing-based pilot program to improve student reading. new text end

new text begin (a) For a
grant to pilot a research-supported, computer-based educational program that uses singing
to improve the reading ability of students in grades three to five:
new text end

new text begin $ new text end

new text begin 300,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin (b) The commissioner of education shall award a grant to a 501(c)(3) nonprofit
organization to implement in at least three Minnesota school districts, charter schools,
or school sites, a research-supported, computer-based educational program that uses
singing to improve the reading ability of students in grades three to five. The grantee shall
be responsible for selecting participating school sites; providing any required hardware
and software, including software licenses, for the duration of the grant period; providing
technical support, training, and staff to install required project hardware and software;
providing on-site professional development and instructional monitoring and support for
school staff and students; administering pre- and post-intervention reading assessments;
evaluating the impact of the intervention; and other project management services as
required. To the extent practicable, the grantee must select participating schools in urban,
suburban, and greater Minnesota, and give priority to schools in which a high proportion
of students do not read proficiently at grade level and are eligible for free or reduced-price
lunch.
new text end

new text begin (c) By February 15, 2017, the grantee must submit a report detailing expenditures
and outcomes of the grant to the commissioner of education and the chairs and
ranking minority members of the legislative committees with primary jurisdiction over
kindergarten through grade 12 education policy and finance.
new text end

new text begin (d) This is a onetime appropriation.
new text end

new text begin Subd. 13. new text end

new text begin Agricultural educator grants. new text end

new text begin For agricultural educator grants:
new text end

new text begin $ new text end

new text begin 250,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin This is a onetime appropriation.
new text end

ARTICLE 3

CHARTER SCHOOLS

Section 1.

Minnesota Statutes 2015 Supplement, section 124E.10, is amended by
adding a subdivision to read:

new text begin Subd. 7. new text end

new text begin School closures. new text end

new text begin (a) Upon the final decision to close a charter school,
whether by voluntary action of the charter school's board of directors, nonrenewal
or termination of the charter contract by the authorizer, or termination of the charter
contract by the commissioner, the board of directors shall appoint a school closure trustee,
approved by the authorizer, within 15 business days of the final decision. The board of
directors or the authorizer may require the trustee to post a bond, in a sum and nature
reflective of the school's current condition and situation.
new text end

new text begin (b) The trustee must be a resident of Minnesota, possess a bachelor's or postgraduate
degree in accounting, law, nonprofit management, educational administration, or other
appropriate field, and have at least five years of work experience in their degree area. The
trustee must submit to a state and federal criminal background check, must not have
been convicted of a felony or other crime involving moral turpitude, and must not have
been found liable in a civil court for fraud, breach of fiduciary duty, civil theft, or similar
misconduct. The trustee must not be under investigation or pending criminal prosecution
for a felony or other crime. The trustee must not have a history of wage garnishment by
the Internal Revenue Service or the state and must not have filed for bankruptcy.
new text end

new text begin (c) The trustee must not have been an employee or contractor of the charter school
during the previous five years and must not have an immediate family member who is
an employee or contractor of the charter school or who serves on the charter school's
board of directors. The trustee must be independent and have no material interest adverse
to the school.
new text end

new text begin (d) The trustee shall have the responsibility to activate and execute the closure plan
for the charter school outlined in the school's charter contract, including the transfer
of student records required by subdivision 6, and the reporting of financial and student
data to the department necessary for the release of final aid payments under section
124E.25, subdivision 1, paragraph (b). Upon the appointment of the trustee, the trustee
must approve all school expenditures before payment and shall be a required signatory
on all school accounts and payments made by the school. The trustee has the authority
to void and seek reimbursement of any and all extraordinary payments of the school
to individuals, contractors, or corporations made within 90 business days of the final
decision to close. If during the closure process it is determined by the charter school's
board of directors or the authorizer that the trustee is not performing the closure duties in
an efficient and effective manner, the authorizer may appoint a new trustee.
new text end

new text begin (e) The trustee shall be entitled to immunity provided by common law for acts or
omissions within the scope of the trustee's appointment. The trustee is not exempt from an
illegal or criminal act, nor any act that is a result of malfeasance or misfeasance.
new text end

new text begin (f) A charter school closure fund shall be established and managed by the Department
of Education. The Department of Education may charge the fund a management fee
commensurate with the annual activity in the fund. The Department of Education must
issue an annual report on the income and expenditures of the fund by September 30 to all
charter schools. The fund shall be financed by a per capita pupil fee paid by all charter
schools. Until the fund reaches a cap of $200,000, the per capita pupil fee shall be $1 per
pupil annually. Upon the fund reaching the $200,000 cap, the annual per capita pupil fee
shall equal the per pupil amount needed to maintain the fund at $200,000. The Department
of Education shall have the power to deduct the annual fee from a charter school aid
payment in the month of February based on the number of pupils enrolled in charter
schools on October 1 of the previous year, and transfer the funding to the charter school
closure fund. When an authorizer ceases to authorize schools, the authorizer shall transfer
any remaining balance from authorizer fees to the fund.
new text end

new text begin (g) Funds from the charter school closure fund may only be authorized and used for
the following expenses: the cost of the external audits necessary for the school closure
process; the cost of liability insurance for the school corporation during the closure
process; legal costs for the dissolution of the school corporation; and the trustee's fee,
negotiated upon appointment. The charter school closure fund shall not be used for any
other expenses related to the closed school and may only be requested after all other
school funds and assets of the closed school have been expended. No more than $70,000
may be expended from the fund for an individual school closure process. The trustee may
request funding to cover the authorized expenditures, except for the trustee's fee, which
must be requested by the charter school's board of directors or the authorizer if the board
of directors is nonoperative.
new text end

new text begin (h) If a charter school board of directors files for bankruptcy upon the final decision
to close the school, the bankruptcy trustee appointed by the bankruptcy court shall have
the authority to activate and execute the closure plan in the charter school contract.
new text end

Sec. 2.

Minnesota Statutes 2014, section 127A.45, subdivision 6a, is amended to read:

Subd. 6a.

Cash flow adjustment.

The board of directors of any deleted text begin charter school
serving fewer than 200 students where the percent of students eligible for special
education services equals at least 90 percent of the charter school's total enrollment
deleted text end new text begin eligible special education charter school under section 124E.21, subdivision 2, new text end may
request that the commissioner of education accelerate the school's cash flow under this
section. The commissioner must approve a properly submitted request within 30 days of
its receipt. The commissioner must accelerate the school's regular special education aid
payments according to the schedule in the school's request and modify the payments to the
school under subdivision 3 accordingly. A school must not receive current payments of
regular special education aid exceeding 90 percent of its estimated aid entitlement for the
fiscal year. The commissioner must delay the special education aid payments to all other
school districts and charter schools in proportion to each district or charter school's total
share of regular special education aid such that the overall aid payment savings from the
aid payment shift remains unchanged for any fiscal year.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue in fiscal year 2017 and
later.
new text end

Sec. 3.

Laws 2015, First Special Session chapter 3, article 4, section 4, the effective
date, is amended to read:

EFFECTIVE DATE.

This section is effective the day following final enactment
except the provision under paragraph (g) allowing prekindergarten deaf or hard-of-hearing
pupils to enroll in a charter school is effective deleted text begin only if the commissioner of education
determines there is no added cost attributable to the pupil deleted text end new text begin for the 2016-2017 school year
and later 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. 4.

Laws 2015, First Special Session chapter 3, article 4, section 9, subdivision 2,
is amended to read:

Subd. 2.

Charter school building lease aid.

For building lease aid under Minnesota
Statutes, section deleted text begin 124D.11, subdivision 4 deleted text end new text begin 124E.22 new text end :

	$	deleted text begin 66,787,000 deleted text end new text begin 63,540,000 new text end	.....	2016
	$	deleted text begin 73,603,000 deleted text end new text begin 70,132,000 new text end	.....	2017

The 2016 appropriation includes $6,032,000 for 2015 and deleted text begin $60,755,000 deleted text end new text begin $57,508,000 new text end
for 2016.

The 2017 appropriation includes deleted text begin $6,750,000 deleted text end new text begin $6,389,000 new text end for 2016 and deleted text begin $66,853,000 deleted text end new text begin
$63,743,000 new text end for 2017.

ARTICLE 4

SPECIAL EDUCATION

Section 1.

Minnesota Statutes 2015 Supplement, section 125A.08, is amended to read:

125A.08 INDIVIDUALIZED EDUCATION PROGRAMS.

(a) At the beginning of each school year, each school district shall have in effect, for
each child with a disability, an individualized education program.

(b) As defined in this section, every district must ensure the following:

(1) all students with disabilities are provided the special instruction and services
which are appropriate to their needs. Where the individualized education program team
has determined appropriate goals and objectives based on the student's needs, including the
extent to which the student can be included in the least restrictive environment, and where
there are essentially equivalent and effective instruction, related services, or assistive
technology devices available to meet the student's needs, cost to the district may be among
the factors considered by the team in choosing how to provide the appropriate services,
instruction, or devices that are to be made part of the student's individualized education
program. The individualized education program team shall consider and may authorize
services covered by medical assistance according to section 256B.0625, subdivision 26.
new text begin When a school district makes a determination of other health disability under Minnesota
Rules, part 3525.1335, subparts 1, and 2, item A, subitem (1), the student's individualized
education program team must seek written and signed documentation by a licensed health
provider within the scope of the provider's practice of a medically diagnosed chronic or
acute health condition. new text end The student's needs and the special education instruction and
services to be provided must be agreed upon through the development of an individualized
education program. The program must address the student's need to develop skills to
live and work as independently as possible within the community. The individualized
education program team must consider positive behavioral interventions, strategies,
and supports that address behavior needs for children. During grade 9, the program
must address the student's needs for transition from secondary services to postsecondary
education and training, employment, community participation, recreation, and leisure
and home living. In developing the program, districts must inform parents of the full
range of transitional goals and related services that should be considered. The program
must include a statement of the needed transition services, including a statement of the
interagency responsibilities or linkages or both before secondary services are concluded;

(2) children with a disability under age five and their families are provided special
instruction and services appropriate to the child's level of functioning and needs;

(3) children with a disability and their parents or guardians are guaranteed procedural
safeguards and the right to participate in decisions involving identification, assessment
including assistive technology assessment, and educational placement of children with a
disability;

(4) eligibility and needs of children with a disability are determined by an initial
evaluation or reevaluation, which may be completed using existing data under United
States Code, title 20, section 33, et seq.;

(5) to the maximum extent appropriate, children with a disability, including those
in public or private institutions or other care facilities, are educated with children who
are not disabled, and that special classes, separate schooling, or other removal of children
with a disability from the regular educational environment occurs only when and to the
extent that the nature or severity of the disability is such that education in regular classes
with the use of supplementary services cannot be achieved satisfactorily;

(6) in accordance with recognized professional standards, testing and evaluation
materials, and procedures used for the purposes of classification and placement of children
with a disability are selected and administered so as not to be racially or culturally
discriminatory; and

(7) the rights of the child are protected when the parents or guardians are not known
or not available, or the child is a ward of the state.

(c) For all paraprofessionals employed to work in programs whose role in part is
to provide direct support to students with disabilities, the school board in each district
shall ensure that:

(1) before or beginning at the time of employment, each paraprofessional must
develop sufficient knowledge and skills in emergency procedures, building orientation,
roles and responsibilities, confidentiality, vulnerability, and reportability, among other
things, to begin meeting the needs, especially disability-specific and behavioral needs, of
the students with whom the paraprofessional works;

(2) annual training opportunities are required to enable the paraprofessional to
continue to further develop the knowledge and skills that are specific to the students with
whom the paraprofessional works, including understanding disabilities, the unique and
individual needs of each student according to the student's disability and how the disability
affects the student's education and behavior, following lesson plans, and implementing
follow-up instructional procedures and activities; and

(3) a districtwide process obligates each paraprofessional to work under the ongoing
direction of a licensed teacher and, where appropriate and possible, the supervision of a
school nurse.

Sec. 2.

Minnesota Statutes 2015 Supplement, section 125A.11, subdivision 1, is
amended to read:

Subdivision 1.

Nonresident tuition rate; other costs.

(a) For fiscal year 2015 and
later, when a school district provides special instruction and services for a pupil with
a disability as defined in section 125A.02 outside the district of residence, excluding
a pupil for whom an adjustment to special education aid is calculated according to
section 127A.47, subdivision 7, paragraphs (b) to (d), special education aid paid to the
resident district must be reduced by an amount equal to (1) the actual cost of providing
special instruction and services to the pupil, including a proportionate amount for special
transportation deleted text begin and unreimbursed building lease and debt service costs for facilities
used primarily for special education deleted text end , plus (2) the amount of general education revenue new text begin ,
excluding local optional revenue, plus local optional aid new text end and referendum equalization aid
attributable to that pupil, calculated using the resident district's average general education
revenue and referendum equalization aid per adjusted pupil unit excluding basic skills
revenue, elementary sparsity revenue and secondary sparsity revenue, minus (3) the
amount of special education aid for children with a disability under section 125A.76
received on behalf of that child, minus (4) if the pupil receives special instruction and
services outside the regular classroom for more than 60 percent of the school day, the
amount of general education revenue and referendum equalization aid, excluding portions
attributable to district and school administration, district support services, operations and
maintenance, capital expenditures, and pupil transportation, attributable to that pupil
for the portion of time the pupil receives special instruction and services outside of the
regular classroom, calculated using the resident district's average general education
revenue and referendum equalization aid per adjusted pupil unit excluding basic skills
revenue, elementary sparsity revenue and secondary sparsity revenue and the serving
district's basic skills revenue, elementary sparsity revenue and secondary sparsity revenue
per adjusted pupil unit. Notwithstanding clauses (1) and (4), for pupils served by a
cooperative unit without a fiscal agent school district, the general education revenue and
referendum equalization aid attributable to a pupil must be calculated using the resident
district's average general education revenue and referendum equalization aid excluding
compensatory revenue, elementary sparsity revenue, and secondary sparsity revenue.
Special education aid paid to the district or cooperative providing special instruction and
services for the pupil must be increased by the amount of the reduction in the aid paid
to the resident district. deleted text begin Amounts paid to cooperatives under this subdivision and section
127A.47, subdivision 7, shall be recognized and reported as revenues and expenditures on
the resident school district's books of account under sections 123B.75 and 123B.76. deleted text end If
the resident district's special education aid is insufficient to make the full adjustment, the
remaining adjustment shall be made to other state aid due to the district.

(b) Notwithstanding paragraph (a), when a charter school receiving special education
aid under section 124E.21, subdivision 3, provides special instruction and services for
a pupil with a disability as defined in section 125A.02, excluding a pupil for whom an
adjustment to special education aid is calculated according to section 127A.46, subdivision
7, paragraphs (b) to (e), special education aid paid to the resident district must be reduced
by an amount equal to that calculated under paragraph (a) as if the charter school received
aid under section 124E.21, subdivision 1. Notwithstanding paragraph (a), special education
aid paid to the charter school providing special instruction and services for the pupil must
not be increased by the amount of the reduction in the aid paid to the resident district.

(c) Notwithstanding paragraph (a) and section 127A.47, subdivision 7, paragraphs
(b) to (d) deleted text begin , deleted text end new text begin :
new text end

new text begin (1) an intermediate district or a special education cooperative may recover
unreimbursed costs of serving pupils with a disability, including building lease, debt
service, and indirect costs necessary for the general operation of the organization, by
billing membership fees and nonmember access fees to the resident district;
new text end

new text begin (2) new text end a charter school where more than 30 percent of enrolled students receive special
education and related services, a site approved under section 125A.515, an intermediate
district, new text begin or new text end a special education cooperative, deleted text begin or a school district that served as the applicant
agency for a group of school districts for federal special education aids for fiscal year 2006 deleted text end
may apply to the commissioner for authority to charge the resident district an additional
amount to recover any remaining unreimbursed costs of serving pupils with a disability deleted text begin . deleted text end new text begin ;
new text end

new text begin (3) new text end the new text begin billing under clause (1) or new text end application new text begin under clause (2) new text end must include a
description of the costs and the calculations used to determine the unreimbursed portion to
be charged to the resident district. Amounts approved by the commissioner under deleted text begin this
paragraph deleted text end new text begin clause (2) new text end must be included in the deleted text begin tuition billings or deleted text end aid adjustments under
paragraph (a), or section 127A.47, subdivision 7, paragraphs (b) to (d), as applicable.

(d) For purposes of this subdivision and section 127A.47, subdivision 7, paragraph
(b), "general education revenue and referendum equalization aid" means the sum of the
general education revenue according to section 126C.10, subdivision 1, excluding the
local optional levy according to section 126C.10, subdivision 2e, paragraph (c), plus the
referendum equalization aid according to section 126C.17, subdivision 7.

Sec. 3.

Minnesota Statutes 2015 Supplement, section 125A.21, subdivision 3, is
amended to read:

Subd. 3.

Use of reimbursements.

deleted text begin Of the reimbursements received, districts may deleted text end new text begin
School districts must reserve third-party revenue and must spend the reimbursements
received only to new text end :

(1) retain an amount sufficient to compensate the district for its administrative costs
of obtaining reimbursements;

(2) regularly obtain from education- and health-related entities training and other
appropriate technical assistance designed to improve the district's ability to access
third-party payments for individualized education program or individualized family
service plan health-related services; or

(3) reallocate reimbursements for the benefit of students with individualized
education programs or individualized family service plans in the district.

Sec. 4.

Minnesota Statutes 2015 Supplement, section 125A.76, subdivision 2c, is
amended to read:

Subd. 2c.

Special education aid.

(a) For fiscal year 2014 and fiscal year 2015, a
district's special education aid equals the sum of the district's special education aid under
subdivision 5, the district's cross subsidy reduction aid under subdivision 2b, and the
district's excess cost aid under section 125A.79, subdivision 7.

(b) For fiscal year 2016 and later, a district's special education aid equals the sum of
the district's special education initial aid under subdivision 2a and the district's excess cost
aid under section 125A.79, subdivision 5.

(c) Notwithstanding paragraph (b), for fiscal year 2016, the special education aid for
a school district must not exceed the sum of the special education aid the district would
have received for fiscal year 2016 under Minnesota Statutes 2012, sections 125A.76
and 125A.79, as adjusted according to Minnesota Statutes 2012, sections 125A.11 and
127A.47, subdivision 7, and the product of the district's average daily membership served
and the special education aid increase limit.

(d) Notwithstanding paragraph (b), for fiscal year 2017 and later, the special education
aid for a school district must not exceed the sum of: (i) the product of the district's average
daily membership served and the special education aid increase limit and (ii) the product
of the sum of the special education aid the district would have received for fiscal year 2016
under Minnesota Statutes 2012, sections 125A.76 and 125A.79, as adjusted according
to Minnesota Statutes 2012, sections 125A.11 and 127A.47, subdivision 7, the ratio of
the district's average daily membership served for the current fiscal year to the district's
average daily membership served for fiscal year 2016, and the program growth factor.

(e) Notwithstanding paragraph (b), for fiscal year 2016 and later the special
education aid for a school district, not including a charter school or cooperative unit as
defined in section 123A.24, must not be less than the lesser of (1) the district's nonfederal
special education expenditures for that fiscal year or (2) the product of the sum of the
special education aid the district would have received for fiscal year 2016 under Minnesota
Statutes 2012, sections 125A.76 and 125A.79, as adjusted according to Minnesota Statutes
2012, sections 125A.11 and 127A.47, subdivision 7, the ratio of the district's adjusted
daily membership for the current fiscal year to the district's average daily membership for
fiscal year 2016, and the program growth factor.

(f) Notwithstanding subdivision 2a and section 125A.79, a charter school in its first
year of operation shall generate special education aid based on current year data. A newly
formed cooperative unit as defined in section 123A.24 may apply to the commissioner
for approval to generate special education aid for its first year of operation based on
current year data, with an offsetting adjustment to the prior year data used to calculate aid
for programs at participating school districts or previous cooperatives that were replaced
by the new cooperative.

new text begin (g) The department shall establish procedures through the uniform financial
accounting and reporting system to identify and track all revenues generated from
third-party billings as special education revenue at the school district level; include revenue
generated from third-party billings as special education revenue in the annual cross-subsidy
report; and exclude third-party revenue from calculation of excess cost aid to the districts.
new text end

Sec. 5.

Minnesota Statutes 2015 Supplement, section 125A.79, subdivision 1, is
amended to read:

Subdivision 1.

Definitions.

For the purposes of this section, the definitions in this
subdivision apply.

(a) "Unreimbursed old formula special education expenditures" means:

(1) old formula special education expenditures for the prior fiscal year; minus

(2) for fiscal years 2014 and 2015, the sum of the special education aid under section
125A.76, subdivision 5, for the prior fiscal year and the cross subsidy reduction aid under
section 125A.76, subdivision 2b, and for fiscal year 2016 and later, the special education
initial aid under section 125A.76, subdivision 2a; minus

(3) for fiscal year 2016 and later, the amount of general education revenue, excluding
local optional revenue, plus local optional aid and referendum equalization aid for the
prior fiscal year 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.

(b) "Unreimbursed nonfederal special education expenditures" means:

(1) nonfederal special education expenditures for the prior fiscal year; minus

(2) special education initial aid under section 125A.76, subdivision 2a; minus

(3) the amount of general education revenue new text begin , excluding local optional revenue, plus
local optional aid, new text end and referendum equalization aid for the prior fiscal year 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 of the regular classroom, excluding portions attributable to
district and school administration, district support services, operations and maintenance,
capital expenditures, and pupil transportation.

(c) "General revenue" for a school district means the sum of the general education
revenue according to section 126C.10, subdivision 1, excluding transportation sparsity
revenue, local optional revenue, and total operating capital revenue. "General revenue"
for a charter school means the sum of the general education revenue according to section
124E.20, subdivision 1, and transportation revenue according to section 124E.23,
excluding referendum equalization aid, transportation sparsity revenue, and operating
capital revenue.

Sec. 6.

Minnesota Statutes 2015 Supplement, section 127A.47, subdivision 7, is
amended to read:

Subd. 7.

Alternative attendance programs.

(a) The general education aid and
special education aid for districts must be adjusted for each pupil attending a nonresident
district under sections 123A.05 to 123A.08, 124D.03, 124D.08, and 124D.68. The
adjustments must be made according to this subdivision.

(b) For purposes of this subdivision, the "unreimbursed cost of providing special
education and services" means the difference between: (1) the actual cost of providing
special instruction and services, including special transportation and unreimbursed
building lease and debt service costs for facilities used primarily for special education, for
a pupil with a disability, as defined in section 125A.02, or a pupil, as defined in section
125A.51, who is enrolled in a program listed in this subdivision, minus (2) if the pupil
receives special instruction and services outside the regular classroom for more than
60 percent of the school day, the amount of general education revenue new text begin , excluding local
optional revenue, plus local optional aid new text end and referendum equalization aid as defined in
section 125A.11, subdivision 1, paragraph (d), attributable to that pupil for the portion of
time the pupil receives special instruction and services outside of the regular classroom,
excluding portions attributable to district and school administration, district support
services, operations and maintenance, capital expenditures, and pupil transportation,
minus (3) special education aid under section 125A.76 attributable to that pupil, that is
received by the district providing special instruction and services. For purposes of this
paragraph, general education revenue and referendum equalization aid attributable to a
pupil must be calculated using the serving district's average general education revenue
and referendum equalization aid per adjusted pupil unit.

(c) For fiscal year 2015 and later, special education aid paid to a resident district
must be reduced by an amount equal to 90 percent of the unreimbursed cost of providing
special education and services.

(d) Notwithstanding paragraph (c), special education aid paid to a resident district
must be reduced by an amount equal to 100 percent of the unreimbursed cost of special
education and services provided to students at an intermediate district, cooperative, or
charter school where the percent of students eligible for special education services is at
least 70 percent of the charter school's total enrollment.

(e) Notwithstanding paragraph (c), special education aid paid to a resident district
must be reduced under paragraph (d) for students at a charter school receiving special
education aid under section 124E.21, subdivision 3, calculated as if the charter school
received special education aid under section 124E.21, subdivision 1.

(f) Special education aid paid to the district or cooperative providing special
instruction and services for the pupil, or to the fiscal agent district for a cooperative, must
be increased by the amount of the reduction in the aid paid to the resident district under
paragraphs (c) and (d). If the resident district's special education aid is insufficient to make
the full adjustment under paragraphs (c), (d), and (e), the remaining adjustment shall be
made to other state aids due to the district.

(g) Notwithstanding paragraph (a), general education aid paid to the resident district
of a nonspecial education student for whom an eligible special education charter school
receives general education aid under section 124E.20, subdivision 1, paragraph (c), must
be reduced by an amount equal to the difference between the general education aid
attributable to the student under section 124E.20, subdivision 1, paragraph (c), and the
general education aid that the student would have generated for the charter school under
section 124E.20, subdivision 1, paragraph (a). For purposes of this paragraph, "nonspecial
education student" means a student who does not meet the definition of pupil with a
disability as defined in section 125A.02 or the definition of a pupil in section 125A.51.

(h) An area learning center operated by a service cooperative, intermediate district,
education district, or a joint powers cooperative may elect through the action of the
constituent boards to charge the resident district tuition for pupils rather than to have the
general education revenue paid to a fiscal agent school district. Except as provided in
paragraph (f), the district of residence must pay tuition equal to at least 90 and no more
than 100 percent of the district average general education revenue per pupil unit minus
an amount equal to the product of the formula allowance according to section 126C.10,
subdivision 2, times .0466, calculated without compensatory revenue, local optional
revenue, and transportation sparsity revenue, times the number of pupil units for pupils
attending the area learning center.

Sec. 7.

Laws 2015, First Special Session chapter 3, article 5, section 30, subdivision 2,
is amended to read:

Subd. 2.

Special education; regular.

For special education aid under Minnesota
Statutes, section 125A.75:

	$	deleted text begin 1,170,929,000 deleted text end new text begin 1,183,619,000 new text end	.....	2016
	$	deleted text begin 1,229,706,000 deleted text end new text begin 1,247,108,000 new text end	.....	2017

The 2016 appropriation includes $137,932,000 for 2015 and deleted text begin $1,032,997,000 deleted text end new text begin
$1,045,687,000 new text end for 2016.

The 2017 appropriation includes deleted text begin $145,355,000 deleted text end new text begin $147,202,000 new text end for 2016 and
deleted text begin $1,084,351,000 deleted text end new text begin $1,099,906,000 new text end for 2017.

Sec. 8. new text begin APPROPRIATIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Department of Education. new text end

new text begin The sums indicated in this section are
appropriated from the general fund to the Department of Education for the fiscal years
designated.
new text end

new text begin Subd. 2. new text end

new text begin Restrictive procedures work group. new text end

new text begin To implement the recommendations
from the restrictive procedures work group under Minnesota Statutes, section 125A.0942:
new text end

new text begin $ new text end

new text begin 500,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

ARTICLE 5

FACILITIES AND TECHNOLOGY

Section 1.

Minnesota Statutes 2014, section 123B.53, subdivision 5, is amended to read:

Subd. 5.

Equalized debt service levy.

(a) The equalized debt service levy of a
district equals the sum of the first tier equalized debt service levy and the second tier
equalized debt service levy.

(b) A district's first tier equalized debt service levy equals the district's first tier debt
service equalization revenue times the lesser of one or the ratio of:

(1) the quotient derived by dividing the adjusted net tax capacity of the district for
the year before the year the levy is certified by the adjusted pupil units in the district for
the school year ending in the year prior to the year the levy is certified; to

(2) $3,400 in fiscal year 2016 deleted text begin and deleted text end new text begin , new text end $4,430 in fiscal year 2017 new text begin , and the greater of
$4,430 or 55.33 percent of the initial equalizing factor in fiscal year 2018 new text end and later.

(c) A district's second tier equalized debt service levy equals the district's second tier
debt service equalization revenue times the lesser of one or the ratio of:

(1) the quotient derived by dividing the adjusted net tax capacity of the district for
the year before the year the levy is certified by the adjusted pupil units in the district for
the school year ending in the year prior to the year the levy is certified; to

(2) $8,000 new text begin in fiscal years 2016 and 2017, and the greater of $8,000 or 99.91 percent
of the initial equalizing factor in fiscal year 2018 and later new text end .

new text begin (d) For the purposes of this subdivision, the initial equalizing factor equals the
quotient derived by dividing the total adjusted net tax capacity of all school districts in the
state for the year before the year the levy is certified by the total number of adjusted pupil
units in all school districts in the state in the year before the year the levy is certified.
new text end

Sec. 2.

Minnesota Statutes 2014, section 123B.535, is amended to read:

123B.535 deleted text begin NATURAL DISASTER deleted text end new text begin ENHANCED new text end DEBT SERVICE
EQUALIZATION.

Subdivision 1.

Definitions new text begin ; eligibility new text end .

(a) For purposes of this section, the eligible
deleted text begin natural disaster deleted text end new text begin enhanced new text end debt service revenue of a district is defined as the amount
needed to produce between five and six percent in excess of the amount needed to meet
when due the principal and interest payments on the obligations of the district new text begin eligible
under paragraphs (b) and (c) new text end that would otherwise qualify under section 123B.53 deleted text begin under
deleted text end deleted text begin the following conditions: deleted text end new text begin .
new text end

new text begin (b) A district that has been negatively affected by a natural disaster qualifies for
enhanced debt service equalization under this section if:
new text end

(1) the district was impacted by a natural disaster event or area occurring January
1, 2005, or later, as declared by the President of the United States of America, which is
eligible for Federal Emergency Management Agency payments;

(2) the natural disaster caused $500,000 or more in damages to school district
buildings; and

(3) the repair and replacement costs are not covered by insurance payments or
Federal Emergency Management Agency payments.

new text begin (c) A district that consolidated on or after July 1, 2016, with an approved
consolidation plat and plan under section 123A.48 that included building or remodeling
school facilities is eligible for enhanced debt service equalization under this section.
new text end

deleted text begin (b) deleted text end new text begin (d) new text end For purposes of this section, the adjusted net tax capacity equalizing factor
equals the quotient derived by dividing the total adjusted net tax capacity of all school
districts in the state for the year before the year the levy is certified by the total number of
adjusted pupil units in the state for the year prior to the year the levy is certified.

deleted text begin (c) deleted text end new text begin (e) new text end For purposes of this section, the adjusted net tax capacity determined
according to sections 127A.48 and 273.1325 shall be adjusted to include the tax capacity of
property generally exempted from ad valorem taxes under section 272.02, subdivision 64.

Subd. 2.

Notification.

A district eligible for deleted text begin natural disaster deleted text end new text begin enhanced new text end debt service
deleted text begin equalization deleted text end revenue under subdivision 1 must notify the commissioner of the amount of
its intended deleted text begin natural disaster deleted text end new text begin enhanced new text end debt service revenue calculated under subdivision 1
for all bonds sold prior to the notification by July 1 of the calendar year the levy is certified.

Subd. 3.

deleted text begin Natural disaster deleted text end new text begin Enhanced new text end debt service equalization revenue.

The
new text begin enhanced new text end debt service equalization revenue of a district new text begin that qualifies under subdivision 1,
paragraph (b) or (c), new text end equals the greater of zero or the eligible debt service revenue, minus
the greater of zero or deleted text begin the difference between:
deleted text end

deleted text begin (1) deleted text end the amount raised by a levy of ten percent times the adjusted net tax capacity
of the district deleted text begin ; and
deleted text end

deleted text begin (2) the district's eligible debt service revenue under section 123B.53 deleted text end .

Subd. 4.

Equalized deleted text begin natural disaster deleted text end new text begin enhanced new text end debt service levy.

A district's
equalized deleted text begin natural disaster deleted text end new text begin enhanced new text end debt service levy equals the district's deleted text begin natural disaster
deleted text end new text begin enhanced new text end debt service equalization revenue times the lesser of one or the ratio of:

(1) the quotient derived by dividing the adjusted net tax capacity of the district for
the year before the year the levy is certified by the adjusted pupil units in the district for
the school year ending in the year prior to the year the levy is certified; to

(2) 300 percent of the statewide adjusted net tax capacity equalizing factor.

Subd. 5.

deleted text begin Natural disaster deleted text end new text begin Enhanced new text end debt service equalization aid.

A district's
deleted text begin natural disaster deleted text end new text begin enhanced new text end debt service equalization aid equals the difference between the
district's deleted text begin natural disaster deleted text end new text begin enhanced new text end debt service equalization revenue and the district's
equalized deleted text begin natural disaster deleted text end new text begin enhanced new text end debt service levy.

Subd. 6.

deleted text begin Natural disaster deleted text end new text begin Enhanced new text end debt service equalization aid payment
schedule.

new text begin Enhanced new text end debt service equalization aid must be paid according to section
127A.45, subdivision 10.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for taxes payable in 2017 and later.
new text end

Sec. 3.

Minnesota Statutes 2015 Supplement, section 123B.595, subdivision 1, is
amended to read:

Subdivision 1.

Long-term facilities maintenance revenue.

(a) For fiscal year
2017 only, long-term facilities maintenance revenue equals the greater of (1) new text begin the sum of
(i) new text end $193 times the district's adjusted pupil units times the lesser of one or the ratio of the
district's average building age to 35 years, plus the cost approved by the commissioner
for indoor air quality, fire alarm and suppression, and asbestos abatement projects under
section 123B.57, subdivision 6, with an estimated cost of $100,000 or more per site new text begin ,
plus (ii) for a school district with an approved voluntary prekindergarten program under
section 124D.151, the cost approved by the commissioner for remodeling existing
instructional space to accommodate prekindergarten instruction, new text end or (2) the sum of new text begin (i) new text end the
amount the district would have qualified for under Minnesota Statutes 2014, section
123B.57, Minnesota Statutes 2014, section 123B.59, and Minnesota Statutes 2014, section
123B.591 deleted text begin . deleted text end new text begin , and (ii) for a school district with an approved voluntary prekindergarten
program under section 124D.151, the cost approved by the commissioner for remodeling
existing instructional space to accommodate prekindergarten instruction.
new text end

(b) For fiscal year 2018 only, long-term facilities maintenance revenue equals the
greater of (1) new text begin the sum of (i) new text end $292 times the district's adjusted pupil units times the lesser
of one or the ratio of the district's average building age to 35 years, plus new text begin (ii) new text end the cost
approved by the commissioner for indoor air quality, fire alarm and suppression, and
asbestos abatement projects under section 123B.57, subdivision 6, with an estimated cost
of $100,000 or more per site new text begin , plus (iii) for a school district with an approved voluntary
prekindergarten program under section 124D.151, the cost approved by the commissioner
for remodeling existing instructional space to accommodate prekindergarten instruction, new text end
or (2) the sum of new text begin (i) new text end the amount the district would have qualified for under Minnesota
Statutes 2014, section 123B.57, Minnesota Statutes 2014, section 123B.59, and Minnesota
Statutes 2014, section 123B.591 deleted text begin . deleted text end new text begin , and (ii) for a school district with an approved voluntary
prekindergarten program under section 124D.151, the cost approved by the commissioner
for remodeling existing instructional space to accommodate prekindergarten instruction.
new text end

(c) For fiscal year 2019 and later, long-term facilities maintenance revenue equals
the greater of (1) new text begin the sum of (i) new text end $380 times the district's adjusted pupil units times the
lesser of one or the ratio of the district's average building age to 35 years, plus new text begin (ii) new text end the cost
approved by the commissioner for indoor air quality, fire alarm and suppression, and
asbestos abatement projects under section 123B.57, subdivision 6, with an estimated cost
of $100,000 or more per site new text begin , plus (iii) for a school district with an approved voluntary
prekindergarten program under section 124D.151, the cost approved by the commissioner
for remodeling existing instructional space to accommodate prekindergarten instruction, new text end
or (2) the sum of new text begin (i) new text end the amount the district would have qualified for under Minnesota
Statutes 2014, section 123B.57, Minnesota Statutes 2014, section 123B.59, and Minnesota
Statutes 2014, section 123B.591 deleted text begin . deleted text end new text begin , and (ii) for a school district with an approved voluntary
prekindergarten program under section 124D.151, the cost approved by the commissioner
for remodeling existing instructional space to accommodate prekindergarten instruction.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue in fiscal year 2017 and
later.
new text end

Sec. 4.

Laws 2015, First Special Session chapter 3, article 6, section 13, subdivision 2,
is amended to read:

Subd. 2.

Long-term maintenance equalization aid.

For long-term maintenance
equalization aid under Minnesota Statutes, section 123B.595:

	$	0	.....	2016
	$	deleted text begin 52,088,000 deleted text end new text begin 52,844,000 new text end	.....	2017

The 2017 appropriation includes $0 for 2016 and deleted text begin $52,088,000 deleted text end new text begin $52,844,000 new text end for 2017.

Sec. 5. new text begin GENERATION CONNECT AID.
new text end

new text begin (a) For fiscal year 2017 only, generation connect aid for a school district or charter
school equals $10.88 times the adjusted pupil units for the school year. Aid under this
section may be used for any allowable purpose under Minnesota Statutes, section 126C.10,
subdivision 14, or Minnesota Statutes, section 124E.20, subdivision 2.
new text end

new text begin (b) One hundred percent of the aid in this section must be paid in fiscal year 2017.
new text end

Sec. 6. new text begin APPROPRIATION.
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 to the Department of Education for the fiscal year
designated.
new text end

new text begin Subd. 2. new text end

new text begin Generation connect aid. new text end

new text begin For generation connect aid:
new text end

new text begin $ new text end

new text begin 10,104,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin This is a onetime appropriation.
new text end

new text begin Subd. 3. new text end

new text begin Regional office of career and technical education. new text end

new text begin For a grant to
the SW/WC Service Cooperative to establish a regional office of career and technical
education:
new text end

new text begin $ new text end

new text begin 70,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin The regional office of career and technical education must:
new text end

new text begin (1) facilitate the development of highly trained and knowledgeable students who
are equipped with technical and workplace skills needed by regional employers, in
collaborative participation with three or more school districts;
new text end

new text begin (2) improve access to career and technical education programs for students who
attend sparsely populated rural school districts by developing public/private partnerships
with business and industry leaders and by increasing coordination of high school and
postsecondary program options; and
new text end

new text begin (3) increase family and student awareness of the availability and benefit of career
and technical education courses and training opportunities.
new text end

new text begin This is a onetime appropriation.
new text end

new text begin Subd. 4. new text end

new text begin Regional career and technical education advisory committee. new text end

new text begin For a
grant to the SW/WC Service Cooperative for a regional career and technical education
advisory committee:
new text end

new text begin $ new text end

new text begin 280,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin Eligible uses of this grant are:
new text end

new text begin (1) capital start-up costs for such items as determined by the committee including,
but not limited to, a mobile welding lab, medical equipment and lab, and industrial
kitchen equipment;
new text end

new text begin (2) informational materials for students, families, and residents of the region that
communicate the relationship between career and technical education programs, labor
market needs, and well-paying employment;
new text end

new text begin (3) incentive and training grants to develop career and technical education
instructors; and
new text end

new text begin (4) transportation reimbursement grants to provide equitable opportunities
throughout the region for students to participate in career and technical education.
new text end

new text begin This is a onetime appropriation.
new text end

ARTICLE 6

EARLY CHILDHOOD EDUCATION

Section 1.

Minnesota Statutes 2014, section 124D.135, subdivision 6, is amended to
read:

Subd. 6.

Home visiting deleted text begin levy deleted text end new text begin revenue new text end .

new text begin (a) new text end A district that is eligible to levy for
early childhood family education under subdivision 3 and that enters into a collaborative
agreement to provide education services and social services to families with young
children deleted text begin may levy an amount equal to $1.60 deleted text end new text begin is eligible for home visiting revenue.
new text end

new text begin (b) Total home visiting revenue for a district equals $3 new text end times the number of people
under five years of age residing in the district on September 1 of the last school year. deleted text begin Levy
deleted text end Revenue under this subdivision must not be included as revenue under subdivision 1. The
revenue must be used for home visiting programs under section 124D.13, subdivision 4.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue in fiscal year 2018 and
later.
new text end

Sec. 2.

Minnesota Statutes 2014, section 124D.135, is amended by adding a
subdivision to read:

new text begin Subd. 6a. new text end

new text begin Home visiting levy. new text end

new text begin To obtain home visiting revenue, a district may levy
an amount not more than the product of its home visiting revenue for the fiscal year times
the lesser of one or the ratio of its adjusted net tax capacity per adjusted pupil unit to the
home visiting equalizing factor. The home visiting equalizing factor equals $17,250 for
fiscal year 2018 and later.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue in fiscal year 2018 and
later.
new text end

Sec. 3.

Minnesota Statutes 2014, section 124D.135, is amended by adding a
subdivision to read:

new text begin Subd. 6b. new text end

new text begin Home visiting aid. new text end

new text begin A district's home visiting aid equals its home visiting
revenue minus its home visiting levy times the ratio of the actual amount levied to the
permitted levy.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue in fiscal year 2018 and
later.
new text end

Sec. 4.

new text begin [124D.173] HELP ME GROW SYSTEM.
new text end

new text begin Subdivision 1. new text end

new text begin Purpose. new text end

new text begin The purpose of this section is to develop and implement
a comprehensive, statewide, coordinated system of early identification, referral, and
follow-up for children, prenatal through age eight, and their families.
new text end

new text begin Subd. 2. new text end

new text begin Establishment and administration. new text end

new text begin The commissioner of education shall
provide funding and shall work collaboratively through interagency agreements with the
commissioners of human services and health to implement this section and maintain
annual affiliate status with the Help Me Grow National Center.
new text end

new text begin Subd. 3. new text end

new text begin Duties. new text end

new text begin (a) The Help Me Grow system shall coordinate sectors, including
child health, early learning and education, and family supports by:
new text end

new text begin (1) providing child health care provider outreach to support early detection,
intervention, and knowledge about local resources;
new text end

new text begin (2) identifying and providing access to detection tools used to identify young
children at risk for developmental and behavioral problems; and
new text end

new text begin (3) linking children and families to appropriate community-based services.
new text end

new text begin (b) The Help Me Grow system shall provide community outreach that includes
support for, and participation in, the Help Me Grow system, including disseminating
information on the system and compiling and maintaining a resource directory that
includes, but is not limited to:
new text end

new text begin (1) primary and specialty medical care providers;
new text end

new text begin (2) early childhood education and child care programs;
new text end

new text begin (3) developmental disabilities assessment and intervention programs;
new text end

new text begin (4) mental health services;
new text end

new text begin (5) family and social support programs;
new text end

new text begin (6) child advocacy and legal services;
new text end

new text begin (7) public health services and resources; and
new text end

new text begin (8) other appropriate early childhood information.
new text end

new text begin (c) The Help Me Grow system shall develop a centralized access point for parents
and professionals to obtain information, resources, and other support services.
new text end

new text begin (d) The Help Me Grow system shall collect data to increase understanding of all
aspects of the current and ongoing system under this section, including identification of
gaps in service, barriers to finding and receiving appropriate service, and lack of resources.
new text end

new text begin Subd. 4. new text end

new text begin Review. new text end

new text begin The Department of Education shall annually review and by
February 1 report to the chairs and the ranking minority members of the legislative
committees with jurisdiction over early childhood education the following:
new text end

new text begin (1) outcomes achieved by this system;
new text end

new text begin (2) alignment with overall early childhood goals and objectives; and
new text end

new text begin (3) impacts on young children.
new text end

Sec. 5.

Laws 2015, First Special Session chapter 3, article 9, section 8, subdivision 7,
is amended to read:

Subd. 7.

Parent-child home program.

For a grant to the parent-child home
program:

	$	350,000	.....	2016
	$	deleted text begin 350,000 deleted text end new text begin 1,350,000 new text end	.....	2017

The grant must be used for an evidence-based and research-validated early
childhood literacy and school readiness program for children ages 16 months to four
years at its existing suburban program location. The program must include urban and
rural program locations for fiscal years 2016 and 2017. new text begin The base for fiscal year 2018
and later is $1,000,000. new text end

Sec. 6. new text begin APPROPRIATIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Department of Education. new text end

new text begin The sums indicated in this section are
appropriated from the general fund to the Department of Education for the fiscal years
designated.
new text end

new text begin Subd. 2. new text end

new text begin Help Me Grow. new text end

new text begin For implementation of the Help Me Grow system under
Minnesota Statutes, section 124D.173:
new text end

new text begin $ new text end

new text begin 1,000,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin This is a onetime appropriation.
new text end

new text begin Subd. 3. new text end

new text begin Minnesota Learning Resource Center. new text end

new text begin For a grant to A Chance to
Grow for the Minnesota Learning Resource Center's comprehensive training program
for education professionals charged with helping children in prekindergarten programs
through grade 3 acquire basic reading and math skills:
new text end

new text begin $ new text end

new text begin 300,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin This is a onetime appropriation.
new text end

ARTICLE 7

SELF-SUFFICIENCY AND LIFELONG LEARNING

Section 1. new text begin AFTER-SCHOOL COMMUNITY LEARNING GRANTS.
new text end

new text begin Subdivision 1. new text end

new text begin Grant program established. new text end

new text begin A competitive grant program is
established to support community-based organizations, schools, political subdivisions, or
child care centers that service young people in kindergarten through grade 12 after school
or during nonschool hours. Grants must be used to offer a broad array of enrichment
activities that promote positive youth development, including art, music, community
engagement, literacy, technology education, health, agriculture, and recreation programs.
new text end

new text begin Subd. 2. new text end

new text begin Application. new text end

new text begin The commissioner of education shall develop the form
and method for applying for the grants. The application must include information on
the applicant's outreach to children and youth that qualify for free or reduced-price
lunch and two-year measurable goals and activities linked to research or best practices.
The commissioner shall develop criteria for determining the allocation of the grants and
appropriate goals for the use of the grants including:
new text end

new text begin (1) increasing access to protective factors that build young people's capacity to
become productive adults, such as connections to a caring adult;
new text end

new text begin (2) developing children's skills and behaviors necessary to succeed in postsecondary
education and career opportunities; and
new text end

new text begin (3) encouraging attendance and improving performance in school.
new text end

new text begin Subd. 3. new text end

new text begin Grant awards. new text end

new text begin To the extent practicable, the selection of applicants
shall result in an equitable distribution of grant awards among geographic areas within
Minnesota, including rural, suburban, and urban communities. The commissioner shall
also give priority to programs that collaborate with and leverage existing community
resources that have demonstrated effectiveness.
new text end

Sec. 2. new text begin APPROPRIATIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Department of Education. new text end

new text begin The sums indicated in this section are
appropriated from the general fund to the Department of Education for the fiscal years
designated.
new text end

new text begin Subd. 2. new text end

new text begin After-school community learning grants. new text end

new text begin For after-school community
learning grants:
new text end

new text begin $ new text end

new text begin 500,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin Up to seven percent of the appropriation in each fiscal year may be used for
administration, evaluation, and technical assistance, including partnering with the
Minnesota Afterschool Network, Ignite Afterschool, and other appropriate entities to
ensure implementation of strategies statewide to ensure the provision of high quality,
research-driven learning opportunities.
new text end

new text begin This is a onetime appropriation.
new text end

ARTICLE 8

STATE AGENCIES

Section 1.

Minnesota Statutes 2014, section 120B.115, is amended to read:

120B.115 REGIONAL CENTERS OF EXCELLENCE.

(a) Regional centers of excellence are established to assist and support school
boards, school districts, school sites, and charter schools in implementing research-based
interventions and practices to increase the students' achievement within a region.
The centers must develop partnerships with local and regional service cooperatives,
postsecondary institutions, integrated school districts, the department, children's mental
health providers, or other local or regional entities interested in providing a cohesive
and consistent regional delivery system that serves all schools equitably. Centers must
assist school districts, school sites, and charter schools in developing similar partnerships.
Center support may include assisting school districts, school sites, and charter schools
with common principles of effective practice, including:

(1) defining measurable education goals under sections 120B.022, subdivisions 1a
and 1b, and 120B.11, subdivision 2;

(2) implementing evidence-based practices, including applied and experiential
learning, contextualized learning, competency-based curricula and assessments, and other
nontraditional learning opportunities, among other practices;

(3) engaging in data-driven decision-making;

(4) providing multilayered levels of support;

(5) supporting culturally responsive teaching and learning aligning the development
of academic English proficiency, state and local academic standards, and career and
college readiness benchmarks;

(6) engaging parents, families, youth, and local community members in programs
and activities at the school district, school site, or charter school that foster collaboration
and shared accountability for the achievement of all students; and

(7) translating district forms and other information such as a multilingual glossary of
commonly used education terms and phrases.

Centers must work with school site leadership teams to build the expertise and experience
to implement programs that close the achievement gap, provide effective and differentiated
programs and instruction for different types of English learners, including English learners
with limited or interrupted formal schooling and long-term English learners under section
124D.59, subdivisions 2 and 2a, increase students' progress and growth toward career and
college readiness, and increase student graduation rates.

(b) The department must assist the regional centers of excellence to meet staff,
facilities, and technical needs, provide the centers with programmatic support, and work
with the centers to establish a coherent statewide system of regional support, including
consulting, training, and technical support, to help school boards, school districts, school
sites, and charter schools effectively and efficiently implement the world's best workforce
goals under section 120B.11 and other state and federal education initiatives, including
secondary and postsecondary career pathways and technical education.

new text begin (c) The department must employ a literacy/dyslexia specialist at one regional
center to be determined by the commissioner, and a literacy/dyslexia specialist at the
department, to provide technical assistance for dyslexia and related disorders and to
serve as the primary source of information and support for schools in addressing the
needs of students with dyslexia and related disorders. The literacy/dyslexia specialist
shall also act to increase professional awareness and instructional competencies. For
purposes of this paragraph, a literacy/dyslexia specialist is a dyslexia therapist, licensed
psychologist, certified psychometrist, licensed speech-language pathologist, or certified
dyslexia training specialist who has a minimum of three years of field experience in
screening, identifying, and treating dyslexia and related disorders. A literacy/dyslexia
specialist shall be highly trained in dyslexia and related disorders, and in using scientific,
evidence-based interventions and treatment, which incorporate multisensory, systematic,
sequential teaching strategies in the areas of phonics, phonemic awareness, vocabulary,
fluency, and comprehension.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for the 2016-2017 school year and
later.
new text end

Sec. 2.

new text begin [122A.34] CERTIFICATE OF ADVANCED PROFESSIONAL STUDY.
new text end

new text begin (a) The Board of Teaching shall adopt rules for a process for approving certificates
of advanced professional study. A certificate of advanced professional study is a credential
available only to a teacher with a full license in at least one discipline that allows for
teaching without further waiver or variance when a licensure program in the discipline
does not exist in Minnesota, or when a teacher with a full license in the discipline cannot
be found. The certificate of advanced professional study must:
new text end

new text begin (1) have fewer requirements than the full license in the discipline;
new text end

new text begin (2) set the specific qualifications required to attain it; and
new text end

new text begin (3) maintain professional standards for teaching in that discipline.
new text end

new text begin (b) The rules adopted under paragraph (a) must limit certificates of advanced
professional study to:
new text end

new text begin (1) disciplines in which at least one geographic area of the state has a demonstrated
shortage of fully licensed teachers; and
new text end

new text begin (2) emerging disciplines where full licenses or licensure programs do not exist
in Minnesota.
new text end

Sec. 3.

Laws 2015, First Special Session chapter 3, article 12, section 4, subdivision 2,
is amended to read:

Subd. 2.

Department.

(a) For the Department of Education:

	$	deleted text begin 21,246,000 deleted text end new text begin 21,276,000 new text end	.....	2016
	$	deleted text begin 21,973,000 deleted text end new text begin 28,584,000 new text end	.....	2017

Of these amounts:

(1) deleted text begin $718,000 each year deleted text end new text begin $748,000 in fiscal year 2016 and zero in fiscal year 2017 new text end is
for the Board of Teaching new text begin . Any balance in the first year does not cancel, but is available
in the second year new text end ;

(2) $228,000 in fiscal year 2016 and $231,000 in fiscal year 2017 are for the Board
of School Administrators;

(3) $1,000,000 each year is for Regional Centers of Excellence under Minnesota
Statutes, section 120B.115;

(4) $500,000 each year is for the School Safety Technical Assistance Center under
Minnesota Statutes, section 127A.052;

(5) $250,000 each year is for the School Finance Division to enhance financial
data analysis; deleted text begin and
deleted text end

(6) $441,000 in fiscal year 2016 and $720,000 in fiscal year 2017 is for implementing
Laws 2014, chapter 272, article 1, Minnesota's Learning for English Academic Proficiency
and Success Act, as amended new text begin ;
new text end

new text begin (7) $2,750,000 in fiscal year 2017 only is for implementation of schoolwide
Positive Behavioral Interventions and Supports (PBIS) in schools and districts throughout
Minnesota to reduce the use of restrictive procedures and increase use of positive
practices. This is a onetime appropriation;
new text end

new text begin (8) $2,750,000 in fiscal year 2017 only is for Department of Education information
technology enhancements and security. This is a onetime appropriation;
new text end

new text begin (9) $250,000 in fiscal year 2017 and later is for employing literacy/dyslexia
specialists under Minnesota Statutes, section 120B.115, paragraph (c). The commissioner
must employ a literacy/dyslexia specialist at the department as soon as practicable, but
no later than September 1, 2016. The commissioner must employ the literacy/dyslexia
specialist at one or more regional centers no later than January 1, 2017; and
new text end

new text begin (10) $200,000 in fiscal year 2017 only is for the Children's Cabinet system redesign
report to the legislature. This is a onetime appropriation new text end .

(b) Any balance in the first year does not cancel but is available in the second year.

(c) None of the amounts appropriated under this subdivision may be used for
Minnesota's Washington, D.C. office.

(d) The expenditures of federal grants and aids as shown in the biennial budget
document and its supplements are approved and appropriated and shall be spent as
indicated.

(e) This appropriation includes funds for information technology project services and
support subject to the provisions of Minnesota Statutes, section 16E.0466. Any ongoing
information technology costs will be incorporated into the service level agreement and
will be paid to the Office of MN.IT Services by the Department of Education under the
rates and mechanism specified in that agreement.

(f) The agency's base budget in fiscal year 2018 is deleted text begin $21,973,000 deleted text end new text begin $22,371,000 new text end . deleted text begin The
agency's base budget in fiscal year 2019 is $21,948,000.
deleted text end

Sec. 4. new text begin SYSTEM REDESIGN; HOMELESS CHILDREN SUPPORTS.
new text end

new text begin (a) The Children's Cabinet must create a plan for a cross-agency system that provides
support for a family that is homeless, especially with children up to four years of age, to
access available services. The Children's Cabinet shall create the plan in consultation
with the Department of Education, the Department of Human Services, the Department
of Health, the Minnesota Housing Finance Agency, and stakeholders including counties,
school districts, and nonprofits. The redesigned system must address issues including:
new text end

new text begin (1) implementation methodology that addresses differences in service delivery in
rural versus urban settings;
new text end

new text begin (2) a training pipeline to increase qualified staff for service providers, including
staff of color;
new text end

new text begin (3) statewide entry and intake forms to assess and identify the educational and
developmental needs of the child;
new text end

new text begin (4) a support plan that follows the child even after the child is no longer homeless;
new text end

new text begin (5) a common data system that allows for easier sharing of data and the plan
components for each child between local entities;
new text end

new text begin (6) identifying and supporting a community outreach system;
new text end

new text begin (7) personalizing assistance for a child who is homeless and the child's family to
help the child and the family navigate systems and resources;
new text end

new text begin (8) transportation options to access services; and
new text end

new text begin (9) methods to ensure that all state-funded programs and services for a child who is
homeless are adequately staffed with personnel who are trained on the specifics of the
program and receive professional development to handle complex, intergenerational
trauma.
new text end

new text begin (b) The Children's Cabinet must report findings and recommendations regarding
the plan, along with draft legislation, to the chairs and ranking minority members of
the legislative committees having jurisdiction over early childhood through grade 12
education, housing, and human services policy by January 23, 2017.
new text end

Sec. 5. new text begin APPROPRIATIONS; BOARD OF TEACHING.
new text end

new text begin (a) The sums indicated in this section are appropriated from the general fund to the
Board of Teaching for the fiscal years designated:
new text end

new text begin $ new text end

new text begin 1,500,000 new text end

new text begin ..... new text end

new text begin 2017 new text end

new text begin Of these amounts:
new text end

new text begin (1) $302,000 in fiscal year 2017 is for implementation of certificates of advanced
professional study. The base appropriation in fiscal year 2018 and thereafter is $50,000
each year;
new text end

new text begin (2) $150,000 in fiscal year 2017 only is for Excellence in Teaching incentive grants.
This is a onetime appropriation and is available until expended; and
new text end

new text begin (3) $80,000 in fiscal year 2017 and later is for a contract for an electronic statewide
school teacher and administrator job board. The job board must allow school districts
to post job openings for prekindergarten through grade 12 teaching and administrative
positions. Notwithstanding Minnesota Statutes, section 16E.0466, the board is not
required to consult with the Office of MN.IT Services nor transfer any of this appropriation
to the Office of MN.IT Services.
new text end

new text begin (b) This appropriation includes funds for information technology project services
and support subject to Minnesota Statutes, section 16E.0466. Any ongoing information
technology costs will be incorporated into an interagency agreement and will be paid to
the Office of MN.IT Services by the Board of Teaching under the mechanism specified
in that agreement.
new text end

new text begin (c) The board's base budget for fiscal year 2018 and later is $1,098,000.
new text end

ARTICLE 9

FORECAST ADJUSTMENTS

A. GENERAL EDUCATION

Section 1.

Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision
4, is amended to read:

Subd. 4.

Abatement revenue.

For abatement aid under Minnesota Statutes, section
127A.49:

	$	deleted text begin 2,740,000 deleted text end new text begin 3,051,000 new text end	.....	2016
	$	deleted text begin 2,932,000 deleted text end new text begin 3,425,000 new text end	.....	2017

The 2016 appropriation includes $278,000 for 2015 and deleted text begin $2,462,000 deleted text end new text begin $2,773,000 new text end
for 2016.

The 2017 appropriation includes deleted text begin $273,000 deleted text end new text begin $308,000 new text end for 2016 and deleted text begin $2,659,000 deleted text end new text begin
$3,117,000 new text end for 2017.

Sec. 2.

Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 5,
is amended to read:

Subd. 5.

Consolidation transition.

For districts consolidating under Minnesota
Statutes, section 123A.485:

	$	deleted text begin 292,000 deleted text end new text begin 22,000 new text end	.....	2016
	$	deleted text begin 165,000 deleted text end new text begin 0 new text end	.....	2017

The 2016 appropriation includes $22,000 for 2015 and deleted text begin $270,000 deleted text end new text begin $0 new text end for 2016.

The 2017 appropriation includes deleted text begin $30,000 deleted text end new text begin $0 new text end for 2016 and deleted text begin $135,000 deleted text end new text begin $0 new text end for 2017.

Sec. 3.

Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 6,
is amended to read:

Subd. 6.

Nonpublic pupil education aid.

For nonpublic pupil education aid under
Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:

	$	deleted text begin 16,881,000 deleted text end new text begin 16,759,000 new text end	.....	2016
	$	deleted text begin 17,460,000 deleted text end new text begin 17,235,000 new text end	.....	2017

The 2016 appropriation includes $1,575,000 for 2015 and deleted text begin $15,306,000 deleted text end new text begin $15,184,000 new text end
for 2016.

The 2017 appropriation includes deleted text begin $1,700,000 deleted text end new text begin $1,687,000 new text end for 2016 and deleted text begin $15,760,000 deleted text end new text begin
$15,548,000 new text end for 2017.

Sec. 4.

Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 7,
is amended to read:

Subd. 7.

Nonpublic pupil transportation.

For nonpublic pupil transportation aid
under Minnesota Statutes, section 123B.92, subdivision 9:

	$	deleted text begin 17,654,000 deleted text end new text begin 17,673,000 new text end	.....	2016
	$	deleted text begin 17,792,000 deleted text end new text begin 18,103,000 new text end	.....	2017

The 2016 appropriation includes $1,816,000 for 2015 and deleted text begin $15,838,000 deleted text end new text begin $15,857,000 new text end
for 2016.

The 2017 appropriation includes deleted text begin $1,759,000 deleted text end new text begin $1,761,000 new text end for 2016 and deleted text begin $16,033,000 deleted text end new text begin
$16,342,000 new text end for 2017.

Sec. 5.

Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 9,
is amended to read:

Subd. 9.

Career and technical aid.

For career and technical aid under Minnesota
Statutes, section 124D.4531, subdivision 1b:

	$	deleted text begin 5,420,000 deleted text end new text begin 5,922,000 new text end	.....	2016
	$	deleted text begin 4,405,000 deleted text end new text begin 4,262,000 new text end	.....	2017

The 2016 appropriation includes $574,000 for 2015 and deleted text begin $4,846,000 deleted text end new text begin $5,348,000 new text end
for 2016.

The 2017 appropriation includes deleted text begin $538,000 deleted text end new text begin $517,000 new text end for 2016 and deleted text begin $3,867,000 deleted text end new text begin
$3,745,000 new text end for 2017.

B. EDUCATION EXCELLENCE

Sec. 6.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 4,
is amended to read:

Subd. 4.

Literacy incentive aid.

For literacy incentive aid under Minnesota
Statutes, section 124D.98:

	$	deleted text begin 44,552,000 deleted text end new text begin 44,538,000 new text end	.....	2016
	$	deleted text begin 45,508,000 deleted text end new text begin 45,855,000 new text end	.....	2017

The 2016 appropriation includes $4,683,000 for 2015 and deleted text begin $39,869,000 deleted text end new text begin $39,855,000 new text end
for 2016.

The 2017 appropriation includes deleted text begin $4,429,000 deleted text end new text begin $4,428,000 new text end for 2016 and deleted text begin $41,079,000 deleted text end new text begin
$41,427,000 new text end for 2017.

Sec. 7.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 5,
is amended to read:

Subd. 5.

Interdistrict desegregation or integration transportation grants.

For
interdistrict desegregation or integration transportation grants under Minnesota Statutes,
section 124D.87:

	$	deleted text begin 15,023,000 deleted text end new text begin 14,423,000 new text end	.....	2016
	$	deleted text begin 15,825,000 deleted text end new text begin 15,193,000 new text end	.....	2017

Sec. 8.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 7,
is amended to read:

Subd. 7.

Tribal contract schools.

For tribal contract school aid under Minnesota
Statutes, section 124D.83:

	$	deleted text begin 4,340,000 deleted text end new text begin 3,539,000 new text end	.....	2016
	$	deleted text begin 5,090,000 deleted text end new text begin 3,715,000 new text end	.....	2017

The 2016 appropriation includes $204,000 for 2015 and deleted text begin $4,136,000 deleted text end new text begin $3,335,000 new text end
for 2016.

The 2017 appropriation includes deleted text begin $459,000 deleted text end new text begin $370,000 new text end for 2016 and deleted text begin $4,631,000 deleted text end new text begin
$3,345,000 new text end for 2017.

Sec. 9.

Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision
11, is amended to read:

Subd. 11.

American Indian education aid.

For American Indian education aid
under Minnesota Statutes, section 124D.81, subdivision 2a:

	$	deleted text begin 7,868,000 deleted text end new text begin 7,740,000 new text end	.....	2016
	$	deleted text begin 8,875,000 deleted text end new text begin 8,878,000 new text end	.....	2017

The 2016 appropriation includes $0 for 2015 and deleted text begin $7,868,000 deleted text end new text begin $7,740,000 new text end for 2016.

The 2017 appropriation includes deleted text begin $874,000 deleted text end new text begin $860,000 new text end for 2016 and deleted text begin $8,001,000 deleted text end new text begin
$8,018,000 new text end for 2017.

C. SPECIAL PROGRAMS

Sec. 10.

Laws 2015, First Special Session chapter 3, article 5, section 30, subdivision
3, is amended to read:

Subd. 3.

Travel for home-based services.

For aid for teacher travel for home-based
services under Minnesota Statutes, section 125A.75, subdivision 1:

	$	deleted text begin 361,000 deleted text end new text begin 416,000 new text end	.....	2016
	$	deleted text begin 371,000 deleted text end new text begin 435,000 new text end	.....	2017

The 2016 appropriation includes $35,000 for 2015 and deleted text begin $326,000 deleted text end new text begin $381,000 new text end for 2016.

The 2017 appropriation includes deleted text begin $36,000 deleted text end new text begin $42,000 new text end for 2016 and deleted text begin $335,000 deleted text end new text begin $393,000 new text end
for 2017.

Sec. 11.

Laws 2015, First Special Session chapter 3, article 5, section 30, subdivision
5, is amended to read:

Subd. 5.

Aid for children with disabilities.

For aid under Minnesota Statutes,
section 125A.75, subdivision 3, for children with disabilities placed in residential facilities
within the district boundaries for whom no district of residence can be determined:

	$	deleted text begin 1,406,000 deleted text end new text begin 1,307,000 new text end	.....	2016
	$	deleted text begin 1,629,000 deleted text end new text begin 1,516,000 new text end	.....	2017

If the appropriation for either year is insufficient, the appropriation for the other
year is available.

D. FACILITIES AND TECHNOLOGY

Sec. 12.

Laws 2015, First Special Session chapter 3, article 6, section 13, subdivision
3, is amended to read:

Subd. 3.

Debt service equalization.

For debt service aid according to Minnesota
Statutes, section 123B.53, subdivision 6:

	$	20,349,000	.....	2016
	$	deleted text begin 22,171,000 deleted text end new text begin 22,926,000 new text end	.....	2017

The 2016 appropriation includes $2,295,000 for 2015 and $18,054,000 for 2016.

The 2017 appropriation includes $2,005,000 for 2016 and deleted text begin $20,166,000 deleted text end new text begin $20,921,000 new text end
for 2017.

Sec. 13.

Laws 2015, First Special Session chapter 3, article 6, section 13, subdivision
6, is amended to read:

Subd. 6.

Deferred maintenance aid.

For deferred maintenance aid, according to
Minnesota Statutes, section 123B.591, subdivision 4:

	$	deleted text begin 3,520,000 deleted text end new text begin 3,523,000 new text end	.....	2016
	$	345,000	.....	2017

The 2016 appropriation includes $409,000 for 2015 and deleted text begin $3,111,000 deleted text end new text begin $3,114,000 new text end
for 2016.

The 2017 appropriation includes $345,000 for 2016 and $0 for 2017.

Sec. 14.

Laws 2015, First Special Session chapter 3, article 6, section 13, subdivision
7, is amended to read:

Subd. 7.

Health and safety revenue.

For health and safety aid according to
Minnesota Statutes, section 123B.57, subdivision 5:

	$	deleted text begin 501,000 deleted text end new text begin 588,000 new text end	.....	2016
	$	deleted text begin 48,000 deleted text end new text begin 57,000 new text end	.....	2017

The 2016 appropriation includes $66,000 for 2015 and deleted text begin $435,000 deleted text end new text begin $522,000 new text end for 2016.

The 2017 appropriation includes deleted text begin $48,000 deleted text end new text begin $57,000 new text end for 2016 and $0 for 2017.

E. NUTRITION

Sec. 15.

Laws 2015, First Special Session chapter 3, article 7, section 7, subdivision 4,
is amended to read:

Subd. 4.

Kindergarten milk.

For kindergarten milk aid under Minnesota Statutes,
section 124D.118:

	$	deleted text begin 942,000 deleted text end new text begin 788,000 new text end	.....	2016
	$	deleted text begin 942,000 deleted text end new text begin 788,000 new text end	.....	2017

F. EARLY CHILDHOOD EDUCATION, SELF-SUFFICIENCY,
AND LIFELONG LEARNING

Sec. 16.

Laws 2015, First Special Session chapter 3, article 9, section 8, subdivision 5,
is amended to read:

Subd. 5.

Early childhood family education aid.

For early childhood family
education aid under Minnesota Statutes, section 124D.135:

	$	deleted text begin 28,444,000 deleted text end new text begin 27,948,000 new text end	.....	2016
	$	deleted text begin 29,939,000 deleted text end new text begin 29,336,000 new text end	.....	2017

The 2016 appropriation includes $2,713,000 for 2015 and deleted text begin $25,731,000 deleted text end new text begin $25,235,000 new text end
for 2016.

The 2017 appropriation includes deleted text begin $2,858,000 deleted text end new text begin $2,803,000 new text end for 2016 and deleted text begin $27,081,000 deleted text end new text begin
$26,533,000 new text end for 2017.

Sec. 17.

Laws 2015, First Special Session chapter 3, article 9, section 8, subdivision 6,
is amended to read:

Subd. 6.

Developmental screening aid.

For developmental screening aid under
Minnesota Statutes, sections 121A.17 and 121A.19:

	$	deleted text begin 3,363,000 deleted text end new text begin 3,477,000 new text end	.....	2016
	$	deleted text begin 3,369,000 deleted text end new text begin 3,488,000 new text end	.....	2017

The 2016 appropriation includes $338,000 for 2015 and deleted text begin $3,025,000 deleted text end new text begin $3,139,000 new text end
for 2016.

The 2017 appropriation includes deleted text begin $336,000 deleted text end new text begin $348,000 new text end for 2016 and deleted text begin $3,033,000 deleted text end new text begin
$3,140,000 new text end for 2017.

Sec. 18.

Laws 2015, First Special Session chapter 3, article 10, section 3, subdivision
2, is amended to read:

Subd. 2.

Community education aid.

For community education aid under
Minnesota Statutes, section 124D.20:

	$	deleted text begin 788,000 deleted text end new text begin 790,000 new text end	.....	2016
	$	deleted text begin 554,000 deleted text end new text begin 553,000 new text end	.....	2017

The 2016 appropriation includes $107,000 for 2015 and deleted text begin $681,000 deleted text end new text begin $683,000 new text end for 2016.

The 2017 appropriation includes $75,000 for 2016 and deleted text begin $479,000 deleted text end new text begin $478,000 new text end for 2017.

Sec. 19.

Laws 2015, First Special Session chapter 3, article 11, section 3, subdivision
2, is amended to read:

Subd. 2.

Adult basic education aid.

For adult basic education aid under Minnesota
Statutes, section 124D.531:

	$	deleted text begin 49,118,000 deleted text end new text begin 48,231,000 new text end	.....	2016
	$	deleted text begin 50,592,000 deleted text end new text begin 49,683,000 new text end	.....	2017

The 2016 appropriation includes $4,782,000 for 2015 and deleted text begin $44,336,000 deleted text end new text begin $43,449,000 new text end
for 2016.

The 2017 appropriation includes deleted text begin $4,926,000 deleted text end new text begin $4,827,000 new text end for 2016 and deleted text begin $45,666,000 deleted text end new text begin
$44,856,000 new text end for 2017.