Minnesota Legislature
SF 3801
1st Engrossment - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am
KEY: stricken = removed, old language.
underscored = added, new language.
1.1 A bill for an act 1.2 relating to education; prekindergarten through grade 1.3 12; higher education; early childhood and family 1.4 education; providing for general education, special 1.5 programs, employment and other transitions, facilities 1.6 and technology, education excellence and other policy, 1.7 nutrition and other programs, libraries, and the 1.8 department of children, families, and learning; making 1.9 technical, conforming, and clarifying amendments; 1.10 appropriating money; amending Minnesota Statutes 1998, 1.11 sections 119B.03, by adding a subdivision; 120A.22, 1.12 subdivision 3; 120B.13, subdivision 4; 121A.22, 1.13 subdivisions 2 and 3; 121A.61, subdivision 3; 122A.25, 1.14 subdivision 3, and by adding subdivisions; 122A.31, 1.15 subdivision 4; 122A.68, subdivision 4; 123A.485, 1.16 subdivision 4; 123B.02, by adding a subdivision; 1.17 123B.04, subdivision 2; 123B.143, subdivision 1; 1.18 123B.51, subdivision 6; 123B.52, by adding a 1.19 subdivision; 123B.53, as amended; 123B.57, subdivision 1.20 1; 123B.58, subdivisions 3 and 4; 123B.59, as amended; 1.21 123B.63, subdivisions 3 and 4; 123B.71, subdivision 1.22 10; 123B.72, subdivision 3; 123B.75, subdivision 5; 1.23 123B.77, subdivision 3; 123B.79, subdivision 7; 1.24 123B.80, by adding a subdivision; 123B.85, subdivision 1.25 1; 123B.86, subdivision 1; 123B.88, subdivision 3; 1.26 123B.90, subdivision 1; 124D.03, subdivision 1; 1.27 124D.081, subdivision 6; 124D.10, subdivisions 9 and 1.28 20; 124D.111, subdivision 1; 124D.128, subdivision 4; 1.29 124D.16, subdivision 1; 124D.44; 124D.454, 1.30 subdivisions 2, 4, 6, 7, and 10; 124D.52, subdivisions 1.31 1, 2, 3, and by adding a subdivision; 124D.86, 1.32 subdivision 6, and by adding subdivisions; 124D.88, by 1.33 adding a subdivision; 124D.892, subdivision 3; 1.34 125A.76, subdivision 7; 126C.10, by adding 1.35 subdivisions; 126C.12, subdivision 2; 126C.40, 1.36 subdivisions 1, 2, and 3; 126C.69, subdivision 15; 1.37 127A.05, subdivision 4; 127A.41, subdivisions 8 and 9; 1.38 128D.11, subdivision 3; 136A.125, by adding a 1.39 subdivision; 169.447, by adding a subdivision; 1.40 169.448, subdivision 3; 171.06, subdivision 2; 1.41 171.321; 245A.14, subdivision 4, and by adding a 1.42 subdivision; 354.05, subdivision 2; 354A.011, 1.43 subdivision 27; and 471.15; Minnesota Statutes 1999 1.44 Supplement, sections 119B.011, subdivisions 12, 15, 1.45 and 20; 119B.03, subdivision 4; 119B.05, subdivision 1.46 1; 120B.30, subdivision 1; 122A.18, subdivision 3; 2.1 122A.23; 122A.31, subdivisions 1 and 2; 122A.61, 2.2 subdivision 1; 123A.05, subdivision 2; 123B.54; 2.3 123B.83, subdivision 4; 123B.90, subdivision 2; 2.4 123B.91, subdivision 1; 124D.10, subdivisions 3, 4, 8, 2.5 11, 15, and 23; 124D.11, subdivisions 1, 4, and 6; 2.6 124D.128, subdivision 2; 124D.221, subdivision 2; 2.7 124D.53, subdivision 3; 124D.84, subdivision 1; 2.8 124D.86, subdivisions 1 and 3; 124D.87; 124D.88, 2.9 subdivision 3; 125A.023, subdivisions 3 and 5; 2.10 125A.027, subdivision 3; 125A.08; 125A.51; 125A.76, 2.11 subdivisions 1 and 2; 125A.79, subdivisions 1, 2, 5, 2.12 and 8; 125A.80; 125B.21, subdivision 3; 126C.05, 2.13 subdivisions 3, 5, and 6; 126C.10, subdivisions 2, 5, 2.14 13, 14, 24, 25, and 26; 126C.17, subdivision 9; 2.15 126C.40, subdivision 6; 126C.44; 127A.05, subdivision 2.16 6; 127A.42, subdivision 3; 127A.45, subdivision 12a; 2.17 127A.51; 148.235, by adding a subdivision; and 2.18 181A.04, subdivision 6; Laws 1992, chapter 499, 2.19 article 7, sections 31, as amended; and 32; Laws 1997, 2.20 chapter 157, section 71, as amended; Laws 1997, First 2.21 Special Session chapter 4, article 8, section 4, as 2.22 amended; Laws 1998, chapter 404, section 5, 2.23 subdivision 11, as amended; Laws 1998, First Special 2.24 Session chapter 1, article 1, sections 10 and 11; Laws 2.25 1999, chapters 205, articles 1, sections 65 and 71, 2.26 subdivisions 3, 7, and 9; 2, section 4, subdivision 3; 2.27 4, section 12, subdivisions 5, 6, and 7; 214, article 2.28 1, section 4, subdivision 2; 241, articles 1, sections 2.29 68, subdivisions 2, 4, and 5; and 69; 2, section 60, 2.30 subdivisions 7, 9, 12, 13, 14, 17, and 19; 3, section 2.31 3, subdivisions 2 and 4; 4, section 27, subdivisions 2.32 2, 3, 4, and 5; 5, section 18, subdivisions 5 and 6; 2.33 6, section 14, subdivisions 2, 3, 4, and 5; 7, section 2.34 2, subdivisions 2 and 5; 8, section 4, subdivisions 4 2.35 and 5; 9, section 49; and 10, section 6; proposing 2.36 coding for new law in Minnesota Statutes, chapters 2.37 121A; 123B; 124D; 125B; and 126C; repealing Minnesota 2.38 Statutes 1998, sections 120A.41; and 124D.53, 2.39 subdivisions 1, 2, and 5; Minnesota Statutes 1999 2.40 Supplement, sections 124D.1155, subdivision 5; and 2.41 124D.53, subdivision 4; Laws 1998, First Special 2.42 Session chapter 1, article 1, section 10, subdivision 2.43 2; Laws 1999, chapters 241, article 9, sections 35 and 2.44 36; and 245, article 4, section 3; Minnesota Rules, 2.45 parts 3535.9920; 4830.9005; 4830.9010; 4830.9015; 2.46 4830.9020; and 4830.9030. 2.47 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 2.48 ARTICLE 1 2.49 GENERAL EDUCATION 2.50 Section 1. Minnesota Statutes 1999 Supplement, section 2.51 122A.61, subdivision 1, is amended to read: 2.52 Subdivision 1. [STAFF DEVELOPMENT REVENUE.] A district is 2.53 required to reserve an amount equal to at leastonetwo percent 2.54 of the basic revenue under section 126C.10, subdivision 2, for 2.55 in-service education for programs under section 120B.22, 2.56 subdivision 2, for staff development plans, including plans for 2.57 challenging instructional activities and experiences under 2.58 section 122A.60, and for curriculum development and programs, 3.1 other in-service education, teachers' workshops, teacher 3.2 conferences, the cost of substitute teachers staff development 3.3 purposes, and other related costs for staff development 3.4 efforts. A district may annually waive the requirement to 3.5 reserve their basic revenue under this section if a majority 3.6 vote of the licensed teachers in the district and a majority 3.7 vote of the school board agree to a resolution to waive the 3.8 requirement. A district in statutory operating debt is exempt 3.9 from reserving basic revenue according to this section. 3.10 Districts may expend an additional amount of unreserved revenue 3.11 for staff development based on their needs. With the exception 3.12 of amounts reserved for staff development from revenues 3.13 allocated directly to school sites, the board must initially 3.14 allocate 50 percent of the reserved revenue to each school site 3.15 in the district on a per teacher basis, which must be retained 3.16 by the school site until used. The board may retain 25 percent 3.17 to be used for district wide staff development efforts. The 3.18 remaining 25 percent of the revenue must be used to make grants 3.19 to school sites for best practices methods. A grant may be used 3.20 for any purpose authorized under section 120B.22, subdivision 2, 3.21 122A.60, or for the costs of curriculum development and 3.22 programs, other in-service education, teachers' workshops, 3.23 teacher conferences, substitute teachers for staff development 3.24 purposes, and other staff development efforts, and determined by 3.25 the site professional development team. The site professional 3.26 development team must demonstrate to the school board the extent 3.27 to which staff at the site have met the outcomes of the 3.28 program. The board may withhold a portion of initial allocation 3.29 of revenue if the staff development outcomes are not being met. 3.30 Sec. 2. Minnesota Statutes 1998, section 122A.68, 3.31 subdivision 4, is amended to read: 3.32 Subd. 4. [EMPLOYMENT CONDITIONS.] A school district must 3.33 pay a teaching resident a salary equal to7590 percent of the 3.34 salary of a first-year teacher with a bachelor's degree in the 3.35 district. The resident shall be a member of the local 3.36 bargaining unit and shall be covered under the terms of the 4.1 contract, except for salary and benefits, unless otherwise 4.2 provided in this subdivision. The school district must provide 4.3 health insurance coverage for the resident if the district 4.4 provides it for teachers, and may provide other benefits upon 4.5 negotiated agreement. 4.6 Sec. 3. Minnesota Statutes 1998, section 123A.485, 4.7 subdivision 4, is amended to read: 4.8 Subd. 4. [NEW DISTRICTS.] If a district consolidates with 4.9 another district that has received aid under section 123A.39, 4.10 subdivision 3, or 123A.485 for a combination or consolidation 4.11 taking effect within six years of the effective date of the new 4.12 consolidation, only the pupil units in the district or districts 4.13 not previously reorganized must be counted for aid purposes 4.14 under subdivision 2. If two or more districts consolidate and 4.15 all districts received aid under subdivision 2 for a 4.16 consolidation taking effect within six years of the effective 4.17 date of the new consolidation, only one quarter of the pupil 4.18 units in the newly created district must be used to determine 4.19 aid under subdivision 2. 4.20 Sec. 4. Minnesota Statutes 1998, section 123B.75, 4.21 subdivision 5, is amended to read: 4.22 Subd. 5. [LEVY RECOGNITION.] (a) "School district tax 4.23 settlement revenue" means the current, delinquent, and 4.24 manufactured home property tax receipts collected by the county 4.25 and distributed to the school district. 4.26 (b) In June of each year, the school district must 4.27 recognize as revenue, in the fund for which the levy was made, 4.28 the lesser of: 4.29 (1) the May, June, and July school district tax settlement 4.30 revenue received in that calendar year; or 4.31 (2) the sum of: 4.32 (i) 31 percent of the referendum levy certified in the 4.33 prior calendar year according to section 126C.17, subdivision 9; 4.34 plus 4.35 (ii) the entire amount of the levy certified in the prior 4.36 calendar year according to sections 124D.86, subdivision 4, for 5.1 school districts receiving revenue under section 124D.86, 5.2 subdivision 3, clauses (1), (2), and (3); 126C.41, subdivisions 5.3 1, 2, and 3, paragraphs (4), (5), and (6); 126C.43, subdivision 5.4 2; and 126C.48, subdivision 6. 5.5 Sec. 5. Minnesota Statutes 1999 Supplement, section 5.6 124D.11, subdivision 1, is amended to read: 5.7 Subdivision 1. [GENERAL EDUCATION REVENUE.] (a) General 5.8 education revenue must be paid to a charter school as though it 5.9 were a district. The general education revenue for each 5.10 adjusted marginal cost pupil unit is the state average general 5.11 education revenue per pupil unit, plus the referendum 5.12 equalization aid allowance in the pupil's district of residence, 5.13 minus an amount equal to the product of the formula allowance 5.14 according to section 126C.10, subdivision 2, times .0485, 5.15 calculated without basic skills revenue, transportation sparsity 5.16 revenue, and the transportation portion of the transition 5.17 revenue adjustment, plus basic skills revenue as though the 5.18 school were a school district. 5.19 (b) Notwithstanding paragraph (a), for charter schools in 5.20 the first year of operation, general education revenue shall be 5.21 computed using the number of adjusted pupil units in the current 5.22 fiscal year. 5.23 Sec. 6. Minnesota Statutes 1999 Supplement, section 5.24 124D.86, subdivision 1, is amended to read: 5.25 Subdivision 1. [USE OF THE REVENUE.] Integration revenue 5.26 under this section must be used for programs established under a 5.27 desegregation plan filed with the department of children, 5.28 families, and learning, according to Minnesota Rules, parts 5.29 3535.0100 to 3535.0180 or under court order, to increase. The 5.30 revenue must be used to create or enhance learning opportunities 5.31and reduce the learning gap between learners living in high5.32concentrations of poverty and their peerswhich are designed to 5.33 provide opportunities for students to have increased interracial 5.34 contacts through classroom experiences, staff initiatives, and 5.35 other educationally related programs. 5.36 Sec. 7. Minnesota Statutes 1998, section 124D.86, is 6.1 amended by adding a subdivision to read: 6.2 Subd. 1a. [BUDGET APPROVAL PROCESS.] Each year before a 6.3 district receives any revenue under subdivision 3, clause (4), 6.4 the district must submit to the department of children, 6.5 families, and learning, for its review and approval a budget 6.6 detailing the costs of the desegregation/integration plan filed 6.7 under Minnesota Rules, parts 3535.0100 to 3535.0180. 6.8 Notwithstanding chapter 14, the department may develop criteria 6.9 for budget approval. The department shall consult with the 6.10 desegregation advisory board in developing these criteria. The 6.11 criteria developed by the department should address, at a 6.12 minimum, the following: 6.13 (1) budget items cannot be approved unless they are part of 6.14 any overall desegregation plan approved by the district for 6.15 isolated sites or by the multidistrict collaboration council and 6.16 participation individual members; 6.17 (2) the budget must indicate how revenue expenditures will 6.18 be used specifically to support increased opportunities for 6.19 interracial contact; 6.20 (3) components of the budget to be considered by the 6.21 department, including staffing, curriculum, transportation, 6.22 facilities, materials, and equipment and reasonable planning 6.23 costs, as determined by the department; 6.24 (4) if plans are proposed to enhance existing programs, the 6.25 total budget being appropriated to the program must be included, 6.26 indicating what part is to be funded using integration revenue 6.27 and what part is to be funded using other revenues; and 6.28 (5) the commissioner may deny revenue under this section if 6.29 the district is not meeting its goals outlined under subdivision 6.30 1b. 6.31 Sec. 8. Minnesota Statutes 1998, section 124D.86, is 6.32 amended by adding a subdivision to read: 6.33 Subd. 1b. [PLAN COMPONENTS.] Plans submitted by each 6.34 district under Minnesota Rules, parts 3535.0160 and 3535.0170, 6.35 must be approved by the district's board each year before 6.36 integration revenue will be awarded. If a district is applying 7.1 for revenue for a plan that is part of a multidistrict council, 7.2 the individual district shall not receive revenue unless it 7.3 ratifies the plan adopted by its multidistrict council or 7.4 approves a modified plan with a written explanation of any 7.5 modifications. Each plan shall contain: 7.6 (1) an identification of the integration issues at the 7.7 sites or districts covered by Minnesota Rules, parts 3535.0100 7.8 to 3535.0180; 7.9 (2) a description of the community outreach that preceded 7.10 the integration plan, such that the commissioner can determine 7.11 whether the membership of the planning councils complied with 7.12 the requirements of Minnesota Rules, parts 3535.0100 to 7.13 3535.0180; and 7.14 (3) the specific goals of the integration plan. 7.15 By June 30 of the subsequent fiscal year, each district shall 7.16 report to the commissioner in writing about the extent to which 7.17 the integration goals identified in the plan were met. 7.18 Sec. 9. Minnesota Statutes 1999 Supplement, section 7.19 124D.86, subdivision 3, is amended to read: 7.20 Subd. 3. [INTEGRATION REVENUE.] For fiscal year 2000 and 7.21 later fiscal years, integration revenue equals the following 7.22 amounts: 7.23 (1) for independent school district No. 709, Duluth, $207 7.24 times the adjusted pupil units for the school year; 7.25 (2) for independent school district No. 625, St. Paul, $446 7.26 times the adjusted pupil units for the school year; 7.27 (3) for special school district No. 1, Minneapolis, $536 7.28 times the adjusted pupil units for the school year; and 7.29 (4) for a district not listed in clause (1), (2), or (3) 7.30 that is required to implement a plan according to the 7.31 requirements of Minnesota Rules, parts 3535.0100 to 7.32 3535.0180,as proposed in 23 State Register 1344, December 7,7.331998,the lesser of 7.34 (i) the actual cost of implementing the plan during the 7.35 fiscal year minus the aid received under subdivision 6, or 7.36 (ii) $93 times the adjusted pupil units for the school year. 8.1 Any money received by districts in clauses (1) to (3) which 8.2 exceeds the amount received in fiscal year 2000 shall be subject 8.3 to the budget requirements in subdivision 1a. 8.4 Sec. 10. Minnesota Statutes 1998, section 124D.86, 8.5 subdivision 6, is amended to read: 8.6 Subd. 6. [ALTERNATIVE ATTENDANCE PROGRAMS.] (a) The 8.7 integration aid under subdivision 5 must be adjusted for each 8.8 pupil residing in a district eligible for integration revenue 8.9 under subdivision 3, clause (1), (2), or (3), and attending a 8.10 nonresident district under sections 123A.05 to 123A.08, 124D.03, 8.11 124D.06, 124D.07, and 124D.08, that is not eligible for 8.12 integration revenue under subdivision 3, clause (1), (2), or 8.13 (3), and has implemented a plan under Minnesota Rules, parts 8.14 3535.0100 to 3535.0180, if the enrollment of the pupil in the 8.15 nonresident district contributes to desegregation or integration 8.16 purposes. The adjustments must be made according to this 8.17 subdivision. 8.18 (b)Aid paid to the district of the pupil's residence must8.19be reduced by an amount equal to the revenue per resident pupil8.20unit of the resident district times the number of resident pupil8.21units attributable to the pupil for the time the pupil is8.22enrolled in a nonresident district.8.23(c)Aid paid to a district serving nonresidents must be 8.24 increased by an amount equal to theaid reduction to the8.25resident district under paragraphs (b) and (d)revenue per pupil 8.26 unit of the resident district under subdivision 3, clause (1), 8.27 (2), or (3), minus the revenue attributable to the pupil in the 8.28 nonresident district under subdivision 3, clause (4), for the 8.29 time the pupil is enrolled in the nonresident district. 8.30(d) If the amount of the reduction to be made from the aid8.31of a district is greater than the amount of aid otherwise due8.32the district, the excess reduction must be made from other state8.33aids due the district.8.34 Sec. 11. Minnesota Statutes 1999 Supplement, section 8.35 124D.87, is amended to read: 8.36 124D.87 [INTERDISTRICT DESEGREGATION OR INTEGRATION 9.1 TRANSPORTATION AID.] 9.2 (a) A district that provides transportation of pupils to 9.3 and from an interdistrict program for desegregation or 9.4 integration purposes is eligible for state aid tocover9.5 reimburse the additional costs of transportation during the 9.6 preceding fiscal year. 9.7 (b) A district in the metropolitan area may apply to the 9.8 commissioner for state aid tocoverreimburse the costs of 9.9 transporting pupils who are enrolled under section 9.10 124D.03 during the preceding fiscal year if the enrollment of 9.11 the student in the nonresident district contributes to 9.12 desegregation or integration purposes. The commissioner shall 9.13 develop the form and manner of applications for state aid, the 9.14 criteria to be used to determine when transportation is for 9.15 desegregation or integration purposes, and the accounting 9.16 procedure to be used to determine excess costs. In determining 9.17 aid amounts, the commissioner shall consider other revenue 9.18 received by the district for transportation for desegregation or 9.19 integration purposes. 9.20(c) Aid must be paid under paragraph (b) only if aid9.21amounts under paragraph (a) have been fully funded.9.22 Sec. 12. Minnesota Statutes 1999 Supplement, section 9.23 126C.05, subdivision 5, is amended to read: 9.24 Subd. 5. [ADJUSTED PUPIL UNITS.] (a) Adjusted pupil units 9.25 for a district or charter school means the sum of: 9.26 (1) the number of pupil units served, according to 9.27 subdivision 7, plus 9.28 (2) pupil units according to subdivision 1 for whom the 9.29 district or charter school pays tuition under section 123A.18, 9.30 123A.22, 123A.30, 123A.32, 123A.44, 123A.488, 123B.88, 9.31 subdivision 4, 124D.04, 124D.05, 125A.03 to 125A.24, 125A.51, or 9.32 125A.65, minus 9.33 (3) pupil units according to subdivision 1 for whom the 9.34 district or charter school receives tuition under section 9.35 123A.18, 123A.22, 123A.30, 123A.32, 123A.44, 123A.488, 123B.88, 9.36 subdivision 4, 124D.04, 124D.05, 125A.03 to 125A.24, 125A.51, or 10.1 125A.65. 10.2 (b) Adjusted marginal cost pupil units means the sum 10.3 of.9.77 times the pupil units defined in paragraph (a) for the 10.4 current school year and.1.23 times the pupil units defined in 10.5 paragraph (a) for the previous school year. 10.6 Sec. 13. Minnesota Statutes 1999 Supplement, section 10.7 126C.05, subdivision 6, is amended to read: 10.8 Subd. 6. [RESIDENT PUPIL UNITS.] (a) Resident pupil units 10.9 for a district means the number of pupil units according to 10.10 subdivision 1 residing in the district. 10.11 (b) Resident marginal cost pupil units means the sum 10.12 of.9.77 times the pupil units defined in paragraph (a) for the 10.13 current year and.1.23 times the pupil units defined in 10.14 paragraph (a) for the previous school year. 10.15 Sec. 14. Minnesota Statutes 1999 Supplement, section 10.16 126C.10, subdivision 2, is amended to read: 10.17 Subd. 2. [BASIC REVENUE.] The basic revenue for each 10.18 district equals the formula allowance times the resident pupil 10.19 units for the school year. The formula allowance for fiscal 10.20 year 1998 is $3,581. The formula allowance for fiscal year 1999 10.21 is $3,530. The formula allowance for fiscal year 2000 is 10.22 $3,740. The formula allowance for fiscal year 2001 and 10.23 subsequent fiscal years is$3,875$3,964. 10.24 Sec. 15. Minnesota Statutes 1999 Supplement, section 10.25 126C.10, subdivision 5, is amended to read: 10.26 Subd. 5. [TRAINING AND EXPERIENCE REVENUE.] (a) The 10.27 training and experience revenue for each district equals the 10.28 greater of zero or the result of the following computation: 10.29 (1) subtract .8 from the training and experience index; 10.30 (2) multiply the result in clause (1) by the product of 10.31 $660 times the adjusted marginal cost pupil units for the school 10.32 year. 10.33 (b) Training and experience revenue equals the greater of 10.34 the amount calculated in paragraph (a) for fiscal year 2001 or 10.35 the training and experience adjustment revenue, according to 10.36 subdivision 5b. 11.1 EFFECTIVE DATE: This section is effective the day 11.2 following final enactment. 11.3 Sec. 16. Minnesota Statutes 1998, section 126C.10, is 11.4 amended by adding a subdivision to read: 11.5 Subd. 5a. [TRAINING AND EXPERIENCE ADJUSTMENT BASE.] The 11.6 training and experience adjustment base equals the product of 11.7 $130 plus the district's training and experience transition 11.8 allowance for fiscal year 1998 under Minnesota Statutes 1996, 11.9 section 124A.22, subdivision 13b, paragraph (c), times the 11.10 actual pupil units for 1998. 11.11 EFFECTIVE DATE: This section is effective the day 11.12 following final enactment. 11.13 Sec. 17. Minnesota Statutes 1998, section 126C.10, is 11.14 amended by adding a subdivision to read: 11.15 Subd. 5b. [TRAINING AND EXPERIENCE ADJUSTMENT 11.16 REVENUE.] For fiscal year 2001, the training and experience 11.17 adjustment revenue equals 45 percent of the training and 11.18 experience base. 11.19 EFFECTIVE DATE: This section is effective the day 11.20 following final enactment. 11.21 Sec. 18. Minnesota Statutes 1999 Supplement, section 11.22 126C.10, subdivision 24, is amended to read: 11.23 Subd. 24. [EQUITY REVENUE.] (a) A school district 11.24 qualifies for equity revenue if the school district's adjusted 11.25 marginal cost pupil unit amount of basic revenue, supplemental 11.26 revenue, transition revenue, and referendum revenue is less than 11.27 the value of the school district at or immediately above the 11.28 90th percentile of school districts in its equity region for 11.29 those revenue categories and the school district's 11.30 administrative offices are not located in a city of the first 11.31 class on July 1, 1999. 11.32 (b) Equity revenue for a qualifying district that receives 11.33 referendum revenue under section 126C.17, subdivision 4, equals 11.34 the product of (1) the district's adjusted marginal cost pupil 11.35 units for that year; times (2) the sum of (i) $10, plus (ii) 11.36 $30, times the school district's equity index computed under 12.1 section 126C.10, subdivision 6. 12.2 (c) Equity revenue for a qualifying district that does not 12.3 receive referendum revenue under section 126C.17, subdivision 4, 12.4 equals the product of the district's adjusted marginal cost 12.5 pupil units for that year times $10. 12.6 EFFECTIVE DATE: This section is effective for revenue in 12.7 fiscal year 2000. 12.8 Sec. 19. Minnesota Statutes 1999 Supplement, section 12.9 126C.10, subdivision 25, is amended to read: 12.10 Subd. 25. [REGIONAL EQUITY GAP.] The regional equity gap 12.11 equals the difference between the value of the school district 12.12 at or immediately above the fifth percentile of adjusted general 12.13 revenue per marginal cost pupil unit and the value of the school 12.14 district at or immediately above the 90th percentile of adjusted 12.15 general revenue per adjusted marginal cost pupil unit. 12.16 EFFECTIVE DATE: This section is effective for revenue in 12.17 fiscal year 2000. 12.18 Sec. 20. Minnesota Statutes 1999 Supplement, section 12.19 126C.10, subdivision 26, is amended to read: 12.20 Subd. 26. [DISTRICT EQUITY GAP.] A district's equity gap 12.21 equals the greater of zero or the difference between the 12.22 district's adjusted general revenue and the value of the school 12.23 district at or immediately above the regional 90th percentile of 12.24 adjusted general revenue per adjusted marginal cost pupil unit. 12.25 EFFECTIVE DATE: This section is effective for revenue in 12.26 fiscal year 2000. 12.27 Sec. 21. Minnesota Statutes 1999 Supplement, section 12.28 126C.17, subdivision 9, is amended to read: 12.29 Subd. 9. [REFERENDUM REVENUE.] (a) The revenue authorized 12.30 by section 126C.10, subdivision 1, may be increased in the 12.31 amount approved by the voters of the district at a referendum 12.32 called for the purpose. The referendum may be called by the 12.33 board or shall be called by the board upon written petition of 12.34 qualified voters of the district. The referendum must be 12.35 conducted one or two calendar years before the increased levy 12.36 authority, if approved, first becomes payable. Only one 13.1 election to approve an increase may be held in a calendar year. 13.2 Unless the referendum is conducted by mail under paragraph (g), 13.3 the referendum must be held on the first Tuesday after the first 13.4 Monday in November. The ballot must state the maximum amount of 13.5 the increased revenue per resident marginal cost pupil unit, the 13.6 estimated referendum tax rate as a percentage of referendum 13.7 market value in the first year it is to be levied, and that the 13.8 revenue must be used to finance school operations. The ballot 13.9 may state a schedule, determined by the board, of increased 13.10 revenue per resident marginal cost pupilunitsunit that differs 13.11 from year to year over the number of years for which the 13.12 increased revenue is authorized. If the ballot contains a 13.13 schedule showing different amounts, it must also indicate the 13.14 estimated referendum tax rate as a percent of referendum market 13.15 value for the amount specified for the first year and for the 13.16 maximum amount specified in the schedule. The ballot may state 13.17 that existing referendum levy authority is expiring. In this 13.18 case, the ballot may also compare the proposed levy authority to 13.19 the existing expiring levy authority, and express the proposed 13.20 increase as the amount, if any, over the expiring referendum 13.21 levy authority. The ballot must designate the specific number 13.22 of years, not to exceed ten, for which the referendum 13.23 authorization applies. The notice required under section 275.60 13.24 may be modified to read, in cases of renewing existing levies: 13.25 "BY VOTING "YES" ON THIS BALLOT QUESTION, YOU MAY BE VOTING 13.26 FOR A PROPERTY TAX INCREASE." 13.27 The ballot may contain a textual portion with the 13.28 information required in this subdivision and a question stating 13.29 substantially the following: 13.30 "Shall the increase in the revenue proposed by (petition 13.31 to) the board of ........., School District No. .., be approved?" 13.32 If approved, an amount equal to the approved revenue per 13.33 resident marginal cost pupil unit times the resident marginal 13.34 cost pupil units for the school year beginning in the year after 13.35 the levy is certified shall be authorized for certification for 13.36 the number of years approved, if applicable, or until revoked or 14.1 reduced by the voters of the district at a subsequent referendum. 14.2 (b) The board must prepare and deliver by first class mail 14.3 at least 15 days but no more than 30 days before the day of the 14.4 referendum to each taxpayer a notice of the referendum and the 14.5 proposed revenue increase. The board need not mail more than 14.6 one notice to any taxpayer. For the purpose of giving mailed 14.7 notice under this subdivision, owners must be those shown to be 14.8 owners on the records of the county auditor or, in any county 14.9 where tax statements are mailed by the county treasurer, on the 14.10 records of the county treasurer. Every property owner whose 14.11 name does not appear on the records of the county auditor or the 14.12 county treasurer is deemed to have waived this mailed notice 14.13 unless the owner has requested in writing that the county 14.14 auditor or county treasurer, as the case may be, include the 14.15 name on the records for this purpose. The notice must project 14.16 the anticipated amount of tax increase in annual dollars and 14.17 annual percentage for typical residential homesteads, 14.18 agricultural homesteads, apartments, and commercial-industrial 14.19 property within the school district. 14.20 The notice for a referendum may state that an existing 14.21 referendum levy is expiring and project the anticipated amount 14.22 of increase over the existing referendum levy in the first year, 14.23 if any, in annual dollars and annual percentage for typical 14.24 residential homesteads, agricultural homesteads, apartments, and 14.25 commercial-industrial property within the district. 14.26 The notice must include the following statement: "Passage 14.27 of this referendum will result in an increase in your property 14.28 taxes." However, in cases of renewing existing levies, the 14.29 notice may include the following statement: "Passage of this 14.30 referendum may result in an increase in your property taxes." 14.31 (c) A referendum on the question of revoking or reducing 14.32 the increased revenue amount authorized pursuant to paragraph 14.33 (a) may be called by the board and shall be called by the board 14.34 upon the written petition of qualified voters of the district. 14.35 A referendum to revoke or reduce the levy amount must be based 14.36 upon the dollar amount, local tax rate, or amount per resident 15.1 marginal cost pupil unit, that was stated to be the basis for 15.2 the initial authorization. Revenue approved by the voters of 15.3 the district pursuant to paragraph (a) must be received at least 15.4 once before it is subject to a referendum on its revocation or 15.5 reduction for subsequent years. Only one revocation or 15.6 reduction referendum may be held to revoke or reduce referendum 15.7 revenue for any specific year and for years thereafter. 15.8 (d) A petition authorized by paragraph (a) or (c) is 15.9 effective if signed by a number of qualified voters in excess of 15.10 15 percent of the registered voters of the district on the day 15.11 the petition is filed with the board. A referendum invoked by 15.12 petition must be held on the date specified in paragraph (a). 15.13 (e) The approval of 50 percent plus one of those voting on 15.14 the question is required to pass a referendum authorized by this 15.15 subdivision. 15.16 (f) At least 15 days before the day of the referendum, the 15.17 district must submit a copy of the notice required under 15.18 paragraph (b) to the commissioner and to the county auditor of 15.19 each county in which the district is located. Within 15 days 15.20 after the results of the referendum have been certified by the 15.21 board, or in the case of a recount, the certification of the 15.22 results of the recount by the canvassing board, the district 15.23 must notify the commissioner of the results of the referendum. 15.24 (g) Except for a referendum held under subdivision 11, any 15.25 referendum under this section held on a day other than the first 15.26 Tuesday after the first Monday in November must be conducted by 15.27 mail in accordance with section 204B.46. Notwithstanding 15.28 paragraph (b) to the contrary, in the case of a referendum 15.29 conducted by mail under this paragraph, the notice required by 15.30 paragraph (b) must be prepared and delivered by first class mail 15.31 at least 20 days before the referendum. 15.32 Sec. 22. [126C.37.] [SECONDARY VOCATIONAL REVENUE 15.33 RESERVE.] 15.34 Subdivision 1. [RESERVE REVENUE.] For fiscal year 2001 and 15.35 later, a district must reserve an amount equal to the number of 15.36 adjusted marginal cost pupil units times the amount of secondary 16.1 vocational aid, according to section 124D.453, paid to the 16.2 district in fiscal year 2000, divided by the district's adjusted 16.3 marginal cost pupil units for fiscal year 2000. A school board 16.4 may vote to not reserve secondary vocational aid as determined 16.5 by this section. 16.6 Subd. 2. [REVENUE USE.] Revenue must be used for: 16.7 (1) salaries paid to essential, licensed personnel 16.8 providing direct instructional services to students in that 16.9 fiscal year for services rendered in the district's approved 16.10 career and technical education programs; 16.11 (2) contracted services provided by a public or private 16.12 agency other than a Minnesota school district or cooperative 16.13 center; 16.14 (3) necessary travel between instructional sites by 16.15 licensed career and technical education personnel; 16.16 (4) necessary travel by licensed career and technical 16.17 education personnel for vocational student organization 16.18 activities held within the state for instructional purposes; 16.19 (5) curriculum development activities that are part of a 16.20 five-year plan for improvement based on program assessment; 16.21 (6) necessary travel by licensed career and technical 16.22 education personnel for noncollegiate credit bearing 16.23 professional development; or 16.24 (7) specialized vocational instructional supplies and 16.25 equipment. 16.26 Sec. 23. Minnesota Statutes 1999 Supplement, section 16.27 127A.45, subdivision 12a, is amended to read: 16.28 Subd. 12a. [FORWARD SHIFTED AID PAYMENTS.] (a) Nineteen 16.29 percent of the state aid in fiscal year 1999, and 31 percent of 16.30 the state aid in fiscal years 2000 and later received under 16.31 section 124D.86 must be paid by the state to the recipient 16.32 school district on July 15 of that year. The recipient school 16.33 district must recognize this aid in the same fiscal year as the 16.34 levy is recognized. 16.35 (b) One hundred percent of the state aid in fiscal years 16.36 2003 and later received under section 124D.87 must be paid by 17.1 the state to the recipient school district on August 30 of that 17.2 year. The recipient school district must recognize this aid in 17.3 the previous fiscal year. 17.4 Sec. 24. Minnesota Statutes 1999 Supplement, section 17.5 127A.51, is amended to read: 17.6 127A.51 [STATEWIDE AVERAGE REVENUE.] 17.7 By October 1 of each year the commissioner must estimate 17.8 the statewide average adjusted general revenue per adjusted 17.9 marginal cost pupil unit and the disparity in adjusted general 17.10 revenue among pupils and districts by computing the ratio of the 17.11 ninety-fifth percentile to the fifth percentile of adjusted 17.12 general revenue. The commissioner must provide that information 17.13 to all districts. 17.14 If the disparity in adjusted general revenue as measured by 17.15 the ratio of the ninety-fifth percentile to the fifth percentile 17.16 increases in any year, the commissioner shall recommend to the 17.17 legislature options for change in the general education formula 17.18 that will limit the disparity in adjusted general revenue to no 17.19 more than the disparity for the previous school year. The 17.20 commissioner must submit the recommended options to the 17.21 education committees of the legislature by January 15. 17.22 For purposes of this section and section 126C.10, adjusted 17.23 general revenue means the sum of basic revenue under section 17.24 126C.10, subdivision 2; supplemental revenue under section 17.25 126C.10, subdivisions 9 and 12; transition revenue under section 17.26 126C.10, subdivision 20; and referendum revenue under section 17.27 126C.17. 17.28 Sec. 25. Minnesota Statutes 1998, section 128D.11, 17.29 subdivision 3, is amended to read: 17.30 Subd. 3. [NO ELECTION.] Subject to the provisions of 17.31 subdivisions 7 to 10, the school district may also by a 17.32 two-thirds majority vote of all the members of its board of 17.33 education and without any election by the voters of the 17.34 district, issue and sell in each calendar year general 17.35 obligation bonds of the district in an amount not to exceed 17.36 5-1/10 per cent of the net tax capacity of the taxable property 18.1 in the district (plus, for calendar years 1990 to20032008, an 18.2 amount not to exceed$7,500,000$15,000,000; with an additional 18.3 provision that any amount of bonds so authorized for sale in a 18.4 specific year and not sold can be carried forward and sold in 18.5 the year immediately following). 18.6 Sec. 26. Laws 1992, chapter 499, article 7, section 32, is 18.7 amended to read: 18.8 Sec. 32. [EFFECTIVE DATE.] 18.9 Sections 1, 9, 14, 18, 19, 20, 21, 22, 23, and 30 are 18.10 effective the day following final enactment. Sections 4 to 8 18.11 are effective for revenue for fiscal year20002002. 18.12 Sec. 27. Laws 1992, chapter 499, article 7, section 31, as 18.13 amended by Laws 1998, chapter 398, article 1, section 39, and 18.14 Laws 1999, chapter 241, article 1, section 31, is amended to 18.15 read: 18.16 Sec. 31. [REPEALER.] 18.17 Minnesota Statutes 1990, sections 124A.02, subdivision 24; 18.18 124A.23, subdivisions 2 and 3; 124A.26, subdivisions 2 and 3; 18.19 124A.27; 124A.28; and 124A.29, subdivision 2; and Minnesota 18.20 Statutes 1991 Supplement, sections 124A.02, subdivisions 16 and 18.21 23; 124A.03, subdivisions 1b, 1c, 1d, 1e, 1f, 1g, 1h, and 1i; 18.22 124A.04; 124A.22, subdivisions 2, 3, 4, 4a, 4b, 8, and 9; 18.23 124A.23, subdivisions 1, 4, and 5; 124A.24; 124A.26, subdivision 18.24 1; and 124A.29, subdivision 1, are repealed effective June 30, 18.2520012004; Laws 1991, chapter 265, article 7, section 35, is 18.26 repealed. 18.27 Sec. 28. Laws 1999, chapter 241, article 1, section 68, 18.28 subdivision 2, is amended to read: 18.29 Subd. 2. [GENERAL AND SUPPLEMENTAL EDUCATION AID.] For 18.30 general and supplemental education aid: 18.31$3,062,321,000$3,066,166,000 ..... 2000 18.32$3,160,518,000$3,261,304,000 ..... 2001 18.33 The 2000 appropriation includes $272,186,000 for 1999 and 18.34$2,790,135,000$2,793,980,000 for 2000. 18.35 The 2001 appropriation includes$310,015,000$310,442,000 18.36 for 2000 and$2,850,503,000$2,950,862,000 for 2001. 19.1 Sec. 29. Laws 1999, chapter 241, article 1, section 68, 19.2 subdivision 4, is amended to read: 19.3 Subd. 4. [TRANSPORTATION AID FOR ENROLLMENT OPTIONS.] For 19.4 transportation of pupils attending post-secondary institutions 19.5 according to Minnesota Statutes, section 124D.09, or for 19.6 transportation of pupils attending nonresident districts 19.7 according to Minnesota Statutes, section 124D.03: 19.8$102,000$70,000 ..... 2000 19.9$102,000$70,000 ..... 2001 19.10 Any balance in the first year does not cancel but is 19.11 available in the second year. 19.12 Sec. 30. Laws 1999, chapter 241, article 1, section 68, 19.13 subdivision 5, is amended to read: 19.14 Subd. 5. [DISTRICT COOPERATION REVENUE.] For district 19.15 cooperation revenue aid: 19.16$5,940,000$5,881,000 ..... 2000 19.17$ 563,000$ 556,000 ..... 2001 19.18 The 2000 appropriation includes $869,000 for 1999 and 19.19$5,071,000$5,012,000 for 2000. 19.20 The 2001 appropriation includes$563,000$556,000 for 2000 19.21 and $0 for 2001. 19.22 Sec. 31. [FISCAL YEARS 2003 TO 2007 AIRPORT RUNWAY IMPACT 19.23 PUPIL UNIT AID; RICHFIELD.] 19.24 Subdivision 1. [AIRPORT IMPACT ZONE PUPIL UNITS, 19.25 DEFINITION.] For the purposes of this section, "airport impact 19.26 zone pupil units" means the number of pupil units, according to 19.27 Minnesota Statutes 1999 Supplement, section 126C.05, subdivision 19.28 1, in school year 1998-1999 that were attributable to the 19.29 airport impact zone, as defined in Laws 1999, chapter 243, 19.30 article 16, section 35, subdivision 1. 19.31 Subd. 2. [FISCAL YEAR 2003.] For fiscal year 2003 only, 19.32 independent school district No. 280, Richfield, is eligible for 19.33 declining pupil unit aid equal to the product of 70 percent of 19.34 the airport impact zone pupil units times the general education 19.35 formula allowance for fiscal year 2003. 19.36 Subd. 3. [FISCAL YEAR 2004.] For fiscal year 2004 only, 20.1 independent school district No. 280, Richfield, is eligible for 20.2 declining pupil unit aid equal to the product of 70 percent of 20.3 the airport impact zone pupil units times the general education 20.4 formula allowance for fiscal year 2004. 20.5 Subd. 4. [FISCAL YEAR 2005.] For fiscal year 2005 only, 20.6 independent school district No. 280, Richfield, is eligible for 20.7 declining pupil unit aid equal to the product of 52.5 percent of 20.8 the airport impact zone pupil units times the general education 20.9 formula allowance for fiscal year 2005. 20.10 Subd. 5. [FISCAL YEAR 2006.] For fiscal year 2006 only, 20.11 independent school district No. 280, Richfield, is eligible for 20.12 declining pupil unit aid equal to the product of 35 percent of 20.13 the airport impact zone pupil units times the general education 20.14 formula allowance for fiscal year 2006. 20.15 Subd. 6. [FISCAL YEAR 2007.] For fiscal year 2007 only, 20.16 independent school district No. 280, Richfield, is eligible for 20.17 declining pupil unit aid equal to the product of 17.5 percent of 20.18 the airport impact zone pupil units times the general education 20.19 formula allowance for fiscal year 2007. 20.20 EFFECTIVE DATE: This section is effective the day 20.21 following final enactment. 20.22 Sec. 32. [LEVY RECOGNITION FOR INTEGRATION LEVY 20.23 ADJUSTMENT.] 20.24 Notwithstanding Minnesota Statutes, section 123B.75, 20.25 subdivision 5, the full amount of integration levy for taxes 20.26 payable in 2001, attributable to fiscal year 2001, for school 20.27 districts receiving revenue under Minnesota Statutes, section 20.28 124D.86, subdivision 3, clause (4), shall be recognized in 20.29 fiscal year 2001. 20.30 Sec. 33. [DIRECTION TO THE DEPARTMENT.] 20.31 For the purposes of providing aid to independent school 20.32 district No. 508, St. Peter, under Laws 1999, chapter 241, 20.33 article 4, section 22, the department of children, families, and 20.34 learning shall make appropriate weighting adjustments to fiscal 20.35 year 1997 pupil units to reflect the impact of Minnesota 20.36 Statutes, section 126C.05, subdivision 5, paragraph (b), and 21.1 subdivision 6, paragraph (b). 21.2 Sec. 34. [SPARSITY CORRECTION REVENUE.] 21.3 Subdivision 1. [QUALIFICATION FOR REVENUE.] A school 21.4 district qualifies for sparsity correction revenue if it 21.5 qualifies for sparsity revenue, according to Minnesota Statutes, 21.6 section 126C.10, subdivisions 7 and 8, in fiscal year 2000 or 21.7 2001 and the amount of sparsity revenue it received in those 21.8 years is less than the amount it would have received in fiscal 21.9 year 2000 or 2001 prior to the passage of Laws 1999, chapter 21.10 241, article 1, sections 18 and 19. 21.11 Subd. 2. [FISCAL YEAR 2000 CALCULATION.] For fiscal year 21.12 2000, a school district's sparsity correction revenue equals the 21.13 difference between sparsity revenue in fiscal year 2000 21.14 calculated according to Laws 1999, chapter 241, article 1, 21.15 sections 18 and 19, and the sparsity revenue the district would 21.16 have received for fiscal year 2000 had these sections of law not 21.17 been approved. 21.18 Subd. 3. [FISCAL YEAR 2001 CALCULATION.] For fiscal year 21.19 2001, a school district's sparsity correction revenue equals .5 21.20 times the difference between sparsity revenue in fiscal year 21.21 2001 calculated according to Laws 1999, chapter 241, article 1, 21.22 sections 18 and 19, and the sparsity revenue the district would 21.23 have received for fiscal year 2001 had these sections of law not 21.24 been approved. 21.25 Sec. 35. [MARGINAL COST IMPACT AID.] 21.26 School districts that have fewer marginal cost pupil units 21.27 as a result of the changes to Minnesota Statutes, section 21.28 126C.05, subdivisions 5 and 6, in this bill are eligible for 21.29 marginal cost impact revenue. For fiscal year 2001 only, the 21.30 marginal cost impact aid for an eligible district equals the 21.31 difference between the general education and referendum revenue 21.32 the district would have received based on the marginal cost 21.33 pupil units defined in Minnesota Statutes 1999 Supplement, 21.34 section 126C.05, subdivisions 5 and 6, and the marginal cost 21.35 pupil units computed according to sections 12 and 13. 21.36 Sec. 36. [SEVERANCE LEVY; MESABI EAST.] 22.1 Independent school district No. 2711, Mesabi East, may levy 22.2 an amount up to $250,000 each year for a period of five years 22.3 for severance and early retirement incentives for licensed 22.4 employees who have retired early as a result of the district's 22.5 combination that was effective July 1, 1991. 22.6 EFFECTIVE DATE: This section is effective for taxes 22.7 payable in 2001 and later years. 22.8 Sec. 37. [METRO EQUITY AID.] 22.9 For fiscal year 2001 only, a district that is located in 22.10 the metro equity district according to Minnesota Statutes, 22.11 section 126C.10, subdivision 28, and qualifies for equity 22.12 revenue under Minnesota Statutes, section 126C.10, subdivision 22.13 10, shall receive $40 times the district equity index under 22.14 Minnesota Statutes, section 126C.10, subdivision 27, times its 22.15 adjusted marginal cost pupil units. 22.16 Sec. 38. [APPROPRIATIONS.] 22.17 Subdivision 1. [DEPARTMENT OF CHILDREN, FAMILIES, AND 22.18 LEARNING.] The sums indicated in this section are appropriated 22.19 from the general fund to the department of children, families, 22.20 and learning for the fiscal years designated. 22.21 Subd. 2. [MARGINAL COST IMPACT AID.] For marginal cost 22.22 impact aid: 22.23 $4,025,000 ..... 2001 22.24 Subd. 3. [SPARSITY CORRECTION REVENUE.] For sparsity 22.25 correction revenue: 22.26 $1,030,000 ..... 2000 22.27 $ 515,000 ..... 2001 22.28 Subd. 4. [METRO EQUITY AID.] For metro equity aid: 22.29 $9,281,000 ..... 2001 22.30 ARTICLE 2 22.31 SPECIAL PROGRAMS 22.32 Section 1. Minnesota Statutes 1999 Supplement, section 22.33 122A.31, subdivision 1, is amended to read: 22.34 Subdivision 1. [REQUIREMENTS FOR AMERICAN SIGN 22.35 LANGUAGE/ENGLISH INTERPRETERS.] In addition to any other 22.36 requirements that a school district establishes, any person 23.1 employed to provide American sign language/English interpreting 23.2 or sign transliterating services on a full-time or part-time 23.3 basis for a school district after July 1,20002001, must: 23.4 (1) hold current interpreter and transliterator 23.5 certificates awarded by the Registry of Interpreters for the 23.6 Deaf (RID), or the general level interpreter proficiency 23.7 certificate awarded by the National Association of the Deaf, or 23.8 a comparable state certification from the commissioner of 23.9 children, families, and learning; and 23.10 (2) satisfactorily complete an interpreter/transliterator 23.11 training program affiliated with an accredited educational 23.12 institution. 23.13 Sec. 2. Minnesota Statutes 1999 Supplement, section 23.14 122A.31, subdivision 2, is amended to read: 23.15 Subd. 2. [ORAL OR CUED SPEECH TRANSLITERATORS.] In 23.16 addition to any other requirements that a school district 23.17 establishes, any person employed to provide oral transliterating 23.18 or cued speech transliterating services on a full-time or 23.19 part-time basis for a school district after July 1,20002001, 23.20 must hold a current applicable transliterator certificate 23.21 awarded by the national certifying association or comparable 23.22 state certification from the commissioner of children, families, 23.23 and learning. 23.24 Sec. 3. Minnesota Statutes 1999 Supplement, section 23.25 123A.05, subdivision 2, is amended to read: 23.26 Subd. 2. [RESERVE REVENUE.] Each district that is a member 23.27 of an area learning center must reserve revenue in an amount 23.28 equal to at least 90 percent of the district average general 23.29 education revenue per pupil unit, or for a private area learning 23.30 center that provides chemical treatment services to students, 23.31 the district must reserve 100 percent of the district average 23.32 general education revenue per pupil unit, minus an amount equal 23.33 to the product of the formula allowance according to section 23.34 126C.10, subdivision 2, times .0485, calculated without basic 23.35 skills revenue, transportation sparsity revenue, and the 23.36 transportation portion of the transition revenue adjustment, 24.1 times the number of pupil units attending an area learning 24.2 center program under this section. The amount of reserved 24.3 revenue under this subdivision may only be spent on program 24.4 costs associated with the area learning center. Compensatory 24.5 revenue must be allocated according to section 126C.15, 24.6 subdivision 2. 24.7 Sec. 4. Minnesota Statutes 1999 Supplement, section 24.8 124D.84, subdivision 1, is amended to read: 24.9 Subdivision 1. [AWARDS.] The commissioner, with the advice 24.10 and counsel of the Minnesota Indian scholarship committee, may 24.11 award scholarships to any Minnesota resident student who is of 24.12 one-fourth or more Indian ancestry, who has applied for other 24.13 existing state and federal scholarship and grant programs, and 24.14 who, in the opinion of the commissioner, has the capabilities to 24.15 benefit from further education. Scholarships must be 24.16 foradvanced or specialized educationaccredited degree programs 24.17 in accredited colleges or universities or for courses in 24.18 accreditedor approved colleges or inbusiness, technical or 24.19 vocational schools. Scholarships shall be used to defray the 24.20 total cost of education including tuition, incidental fees, 24.21 books, supplies, transportation, other related school costs and 24.22 the cost of board and room and shall be paid directly to the 24.23 college or school concerned. The total cost of education 24.24 includes all tuition and fees for each student enrolling in a 24.25 public institution and the portion of tuition and fees for each 24.26 student enrolling in a private institution that does not exceed 24.27 the tuition and fees at a comparable public institution. Each 24.28 student shall be awarded a scholarship based on the total cost 24.29 of the student's education and a standardized need analysis. 24.30 The amount and type of each scholarship shall be determined 24.31 through the advice and counsel of the Minnesota Indian 24.32 scholarship committee. 24.33 When an Indian student satisfactorily completes the work 24.34 required by a certain college or school in a school year the 24.35 student is eligible for additional scholarships, if additional 24.36 training is necessary to reach the student's educational and 25.1 vocational objective. Scholarships may not be given to any 25.2 Indian student for more than five years of study without special 25.3 approval of the Minnesota Indian scholarship committee. 25.4 Sec. 5. Minnesota Statutes 1999 Supplement, section 25.5 124D.88, subdivision 3, is amended to read: 25.6 Subd. 3. [GRANT APPLICATION PROCESS.] (a) Any group of 25.7 school districts that meets the criteria required under 25.8 paragraph (b)(1) may apply for a magnet school grant in an 25.9 amount not to exceed$20,800,000 forthe approved costs or 25.10 expansion of a magnet school facility. 25.11 (b)(1) Any group of districts that submits an application 25.12 for a grant shall submit a proposal to the commissioner for 25.13 review and comment under section 123B.71, and the commissioner 25.14 shall prepare a review and comment on the proposed magnet school 25.15 facility, regardless of the amount of the capital expenditure 25.16 required to design, acquire, construct, remodel, improve, 25.17 furnish, or equip the facility. The commissioner must not 25.18 approve an application for a magnet school grant for any 25.19 facility unless the facility receives a favorable review and 25.20 comment under section 123B.71 and the participating districts: 25.21 (i) establish a joint powers board under section 471.59 to 25.22 represent all participating districts and govern the magnet 25.23 school facility; 25.24 (ii) design the planned magnet school facility to meet the 25.25 applicable requirements contained in Minnesota Rules, chapter 25.26 3535; 25.27 (iii) submit a statement of need, including reasons why the 25.28 magnet school will facilitate integration and improve learning; 25.29 (iv) prepare an educational plan that includes input from 25.30 both community and professional staff; and 25.31 (v) develop an education program that will improve learning 25.32 opportunities for students attending the magnet school. 25.33 (2) The districts may develop a plan that permits social 25.34 service, health, and other programs serving students and 25.35 community residents to be located within the magnet school 25.36 facility. The commissioner shall consider this plan when 26.1 preparing a review and comment on the proposed facility. 26.2 (c) When two or more districts enter into an agreement 26.3 establishing a joint powers board to govern the magnet school 26.4 facility, all member districts shall have the same powers. 26.5 (d) A joint powers board of participating school districts 26.6 established under paragraphs (b) and (c) that intends to apply 26.7 for a grant must adopt a resolution stating the costs of the 26.8 proposed project, the purpose for which the debt is to be 26.9 incurred, and an estimate of the dates when the contracts for 26.10 the proposed project will be completed. A copy of the 26.11 resolution must accompany any application for a state grant 26.12 under this section. 26.13 (e)(1) The commissioner shall examine and consider all 26.14 grant applications. If the commissioner finds that any joint 26.15 powers district is not a qualified grant applicant, the 26.16 commissioner shall promptly notify that joint powers board. The 26.17 commissioner shall make awards to no more than two qualified 26.18 applicants whose applications have been on file with the 26.19 commissioner more than 30 days. 26.20 (2) A grant award is subject to verification by the joint 26.21 powers board under paragraph (f). A grant award must not be 26.22 made until the participating districts determine the site of the 26.23 magnet school facility. If the total amount of the approved 26.24 applications exceeds the amount of grant funding that is or can 26.25 be made available, the commissioner shall allot the available 26.26 amount equally between the approved applicant districts. The 26.27 commissioner shall promptly certify to each qualified joint 26.28 powers board the amount, if any, of the grant awarded to it. 26.29 (f) Each grant must be evidenced by a contract between the 26.30 joint powers board and the state acting through the 26.31 commissioner. The contract obligates the state to pay to the 26.32 joint powers board an amount computed according to paragraph 26.33 (e)(2) and a schedule, and terms and conditions acceptable to 26.34 the commissioner of finance. 26.35 (g) Notwithstanding the provisions of section 123B.02, 26.36 subdivision 3, the joint powers and its individual members may 27.1 enter into long-term lease agreements as part of the magnet 27.2 school program. 27.3 EFFECTIVE DATE: This section is effective the day 27.4 following final enactment. 27.5 Sec. 6. Minnesota Statutes 1998, section 124D.88, is 27.6 amended by adding a subdivision to read: 27.7 Subd. 4. [START-UP COSTS.] During the first two years of a 27.8 metropolitan magnet school's operation, the school is eligible 27.9 for aid to pay for start-up costs and additional operating 27.10 costs. Start-up cost aid equals $500 times the magnet school's 27.11 pupil units served for that year. 27.12 Sec. 7. Minnesota Statutes 1998, section 124D.892, 27.13 subdivision 3, is amended to read: 27.14 Subd. 3. [ADVISORY BOARD.] The commissioner shall 27.15 establish an advisory board composed of: 27.16 (1)eightnine superintendents,each of whomeight shall be 27.17 selected by the superintendents of the school districts located 27.18 in whole or in part within each of the eight metropolitan 27.19 districts established under section 473.123, subdivision 3c, and 27.20 one superintendent of a district outside the seven-county 27.21 metropolitan area and is from a district that is considered 27.22 racially isolated or has a racially isolated school site 27.23 according to Minnesota Rules, part 3535.0110;and27.24 (2) one person each selected by the Indian affairs council, 27.25 the council on Asian-Pacific Minnesotans, the council on Black 27.26 Minnesotans, and the council on affairs of Chicano/Latino 27.27 people; and 27.28 (3) the superintendent of independent school district No. 27.29 709, Duluth. 27.30 The advisory board shall advise the office on complying 27.31 with the requirements under subdivision 1. The advisory board 27.32 may solicit comments from teachers, parents, students, and 27.33 interested community organizations and others. 27.34 Sec. 8. Minnesota Statutes 1999 Supplement, section 27.35 125A.027, subdivision 3, is amended to read: 27.36 Subd. 3. [IMPLEMENTATION TIMELINE.] By July 1, 2000, the 28.1 individual interagency intervention plan must be available and 28.2 by January 1, 2001, all governing boards of interagency early 28.3 intervention committees statewide must implement a coordinated 28.4 service system for children up to age five with disabilities 28.5 consistent with the requirements of this section and section 28.6 125A.023 and the evaluation results from the demonstration 28.7 projects under section 125A.023, subdivision 5. Children with 28.8 disabilities up to the age of 21 shall be eligible for 28.9 coordinated services and their eligibility to receive such 28.10 services under this section shall be phased in over a four-year 28.11 period as follows: 28.12 (1) July 1, 2001, children up to age nine become eligible; 28.13 (2) July 1, 2002, children up to age 14 become eligible; 28.14 and 28.15 (3) July 1, 2003, children up to age 21 become eligible. 28.16 Sec. 9. Minnesota Statutes 1999 Supplement, section 28.17 125A.51, is amended to read: 28.18 125A.51 [PLACEMENT OF CHILDREN WITHOUT DISABILITIES; 28.19 EDUCATION AND TRANSPORTATION.] 28.20 The responsibility for providing instruction and 28.21 transportation for a pupil without a disability who has a 28.22 short-term or temporary physical or emotional illness or 28.23 disability, as determined by the standards of the commissioner, 28.24 and who is temporarily placed for care and treatment for that 28.25 illness or disability, must be determined as provided in this 28.26 section. 28.27 (a) The school district of residence of the pupil is the 28.28 district in which the pupil's parent or guardian resides. 28.29 (b) When parental rights have been terminated by court 28.30 order, the legal residence of a child placed in a residential or 28.31 foster facility for care and treatment is the district in which 28.32 the child resideswhen parental rights have been terminated. 28.33 (c) Before the placement of a pupil for care and treatment, 28.34 the district of residence must be notified and provided an 28.35 opportunity to participate in the placement decision. When an 28.36 immediate emergency placement is necessary and time does not 29.1 permit resident district participation in the placement 29.2 decision, the district in which the pupil is temporarily placed, 29.3 if different from the district of residence, must notify the 29.4 district of residence of the emergency placement within 15 days 29.5 of the placement. 29.6 (d) When a pupil without a disability is temporarily placed 29.7 for care and treatment in a day program and the pupil continues 29.8 to live within the district of residence during the care and 29.9 treatment, the district of residence must provide instruction 29.10 and necessary transportation to and from the treatment facility 29.11 for the pupil. Transportation shall only be provided by the 29.12 district during regular operating hours of the district. The 29.13 district may provide the instruction at a school within the 29.14 district of residence, at the pupil's residence, or in the case 29.15 of a placement outside of the resident district, in the district 29.16 in which the day treatment program is located by paying tuition 29.17 to that district. The district of placement may contract with a 29.18 facility to provide instruction by teachers licensed by the 29.19 state board of teaching. 29.20 (e) When a pupil without a disability is temporarily placed 29.21 in a residential program for care and treatment, the district in 29.22 which the pupil is placed must provide instruction for the pupil 29.23 and necessary transportation while the pupil is receiving 29.24 instruction, and in the case of a placement outside of the 29.25 district of residence, the nonresident district must bill the 29.26 district of residence for the actual cost of providing the 29.27 instruction for the regular school year and for summer school, 29.28 excluding transportation costs. When a pupil without a 29.29 disability is temporarily placed in a residential program 29.30 outside the district of residence, the administrator of the 29.31 court placing the pupil must send timely written notice of the 29.32 placement to the district of residence. The district of 29.33 placement may contract with a residential facility to provide 29.34 instruction by teachers licensed by the state board of teaching. 29.35 For purposes of this section, the state correctional facilities 29.36 operated on a fee-for-service basis are considered to be 30.1 residential programs for care and treatment. 30.2 (f) The district of residence must include the pupil in its 30.3 residence count of pupil units and pay tuition as provided in 30.4 section 123A.488 to the district providing the instruction. 30.5 Transportation costs must be paid by the district providing the 30.6 transportation and the state must pay transportation aid to that 30.7 district. For purposes of computing state transportation aid, 30.8 pupils governed by this subdivision must be included in the 30.9 disabled transportation category. 30.10 Sec. 10. Minnesota Statutes 1999 Supplement, section 30.11 125A.76, subdivision 1, is amended to read: 30.12 Subdivision 1. [DEFINITIONS.] For the purposes of this 30.13 section, the definitions in this subdivision apply. 30.14 (a) "Base year" for fiscal year 1998 and later fiscal years 30.15 means the second fiscal year preceding the fiscal year for which 30.16 aid will be paid. 30.17 (b) "Basic revenue" has the meaning given it in section 30.18 126C.10, subdivision 2. For the purposes of computing basic 30.19 revenue pursuant to this section, each child with a disability 30.20 shall be counted as prescribed in section 126C.05, subdivision 1. 30.21 (c) "Essential personnel" means teachers, related services, 30.22 and support services staff providing direct services to students. 30.23 (d) "Average daily membership" has the meaning given it in 30.24 section 126C.05. 30.25 (e) "Program growth factor" means1.0121.123 for fiscal 30.26 year 2002, and 1.062 for fiscal year 2003 and later. 30.27 Sec. 11. Minnesota Statutes 1999 Supplement, section 30.28 125A.76, subdivision 2, is amended to read: 30.29 Subd. 2. [SPECIAL EDUCATION BASE REVENUE.] (a) The special 30.30 education base revenue equals the sum of the following amounts 30.31 computed using base year data: 30.32 (1) 68 percent of the salary of each essential person 30.33 employed in the district's program for children with a 30.34 disability during the fiscal year, not including the share of 30.35 salaries for personnel providing health-related services counted 30.36 in clause (8), whether the person is employed by one or more 31.1 districts or a Minnesota correctional facility operating on a 31.2 fee-for-service basis; 31.3 (2) for the Minnesota state academy for the deaf or the 31.4 Minnesota state academy for the blind, 68 percent of the salary 31.5 of each instructional aide assigned to a child attending the 31.6 academy, if that aide is required by the child's individual 31.7 education plan; 31.8 (3) for special instruction and services provided to any 31.9 pupil by contracting with public, private, or voluntary agencies 31.10 other than school districts, in place of special instruction and 31.11 services provided by the district, 52 percent of the difference 31.12 between the amount of the contract and the basic revenue of the 31.13 district for that pupil for the fraction of the school day the 31.14 pupil receives services under the contract; 31.15 (4) for special instruction and services provided to any 31.16 pupil by contracting for services with public, private, or 31.17 voluntary agencies other than school districts, that are 31.18 supplementary to a full educational program provided by the 31.19 school district, 52 percent of the amount of the contract for 31.20 that pupil; 31.21 (5) for supplies and equipment purchased or rented for use 31.22 in the instruction of children with a disability, not including 31.23 the portion of the expenses for supplies and equipment used to 31.24 provide health-related services counted in clause (8), an amount 31.25 equal to 47 percent of the sum actually expended by the 31.26 district, or a Minnesota correctional facility operating on a 31.27 fee-for-service basis, but not to exceed an average of $47 in 31.28 any one school year for each child with a disability receiving 31.29 instruction; 31.30 (6) for fiscal years 1997 and later, special education base 31.31 revenue shall include amounts under clauses (1) to (5) for 31.32 special education summer programs provided during the base year 31.33 for that fiscal year; and 31.34 (7) for fiscal years 1999 and later, the cost of providing 31.35 transportation services for children with disabilities under 31.36 section 123B.92, subdivision 1, paragraph (b), clause (4); and32.1(8) for fiscal years 2001 and later, the cost of salaries,32.2supplies and equipment, and other related costs actually32.3expended by the district for the nonfederal share of medical32.4assistance services according to section 256B.0625, subdivision32.526. 32.6 The department shall establish procedures through the 32.7 Uniform Financial Accounting and Reporting System to identify 32.8 and track all revenues generated from third-party billings as 32.9 special education revenue at the school district level; include 32.10 revenue generated from third-party billings as special education 32.11 revenue in the annual cross subsidy report; and exclude 32.12 third-party revenue from calculation of excess cost aid to the 32.13 districts. 32.14 (b) If requested by a school district operating a special 32.15 education program during the base year for less than the full 32.16 fiscal year, or a school district in which is located a 32.17 Minnesota correctional facility operating on a fee-for-service 32.18 basis for less than the full fiscal year, the commissioner may 32.19 adjust the base revenue to reflect the expenditures that would 32.20 have occurred during the base year had the program been operated 32.21 for the full fiscal year. 32.22 (c) Notwithstanding paragraphs (a) and (b), the portion of 32.23 a school district's base revenue attributable to a Minnesota 32.24 correctional facility operating on a fee-for-service basis 32.25 during the facility's first year of operating on a 32.26 fee-for-service basis shall be computed using current year data. 32.27 Sec. 12. Minnesota Statutes 1999 Supplement, section 32.28 125A.79, subdivision 1, is amended to read: 32.29 Subdivision 1. [DEFINITIONS.] For the purposes of this 32.30 section, the definitions in this subdivision apply. 32.31 (a) "Unreimbursed special education cost" means the sum of 32.32 the following: 32.33 (1) expenditures for teachers' salaries, contracted 32.34 services, supplies, equipment, and transportation services 32.35 eligible for revenue under section 125A.76; plus 32.36 (2) expenditures for tuition bills received under sections 33.1 125A.03 to 125A.24 and 125A.65 for services eligible for revenue 33.2 under sections 125A.76, subdivision 2, and 124.3202, subdivision 33.3 1; minus 33.4 (3) revenue for teachers' salaries, contracted services, 33.5 supplies, and equipment under sections 124.3202 and 124A.76; 33.6 minus 33.7 (4) tuition receipts under sections 125A.03 to 125A.24 and 33.8 125A.65 for services eligible for revenue under sections 33.9 124.3202, subdivision 1, and 124A.76, subdivision 2. 33.10 (b) "General revenue" means for fiscal year 1996, the sum 33.11 of the general education revenue according to section 126C.10, 33.12 subdivision 1, as adjusted according to section 127A.47, 33.13 subdivision 7, plus the total referendum revenue according to 33.14 section 126C.17, subdivision 4. For fiscal years 1997 and 33.15 later, "general revenue" means the sum of the general education 33.16 revenue according to section 126C.10, subdivision 1, as adjusted 33.17 according to section 127A.47, subdivisions 7 and 8, plus the 33.18 total referendum revenue minus transportation sparsity revenue 33.19 minus total operating capital revenue. For fiscal year 2001 33.20 only, "general revenue" means the sum of the general education 33.21 revenue according to section 126C.10, subdivision 1, as adjusted 33.22 according to section 127A.47, subdivisions 7 and 8, plus the 33.23 total referendum revenue minus transportation sparsity revenue 33.24 minus total operating capital revenue minus training and 33.25 experience adjustment revenue. 33.26 (c) "Average daily membership" has the meaning given it in 33.27 section 126C.05. 33.28 (d) "Program growth factor" means 1.044 for fiscal year 33.29 2002 and 1.02 for fiscal year 2003 and later. 33.30 Sec. 13. Minnesota Statutes 1999 Supplement, section 33.31 125A.79, subdivision 2, is amended to read: 33.32 Subd. 2. [EXCESS COST AID, FISCAL YEARS 2000 AND 2001.] 33.33 For fiscal years 2000 and 2001, a district's special education 33.34 excess cost aid equals the greatest of: 33.35 (a) 75 percent of the difference between (1) the district's 33.36 unreimbursed special education cost and (2)4.44.37 percent of 34.1 the district's general revenue; 34.2 (b) 70 percent of the difference between (1) the increase 34.3 in the district's unreimbursed special education cost between 34.4 the base year as defined in section 125A.76, subdivision 1, and 34.5 the current year and (2) 1.6 percent of the district's general 34.6 revenue; or 34.7 (c) zero. 34.8 Sec. 14. Minnesota Statutes 1999 Supplement, section 34.9 125A.79, subdivision 5, is amended to read: 34.10 Subd. 5. [INITIAL EXCESS COST AID.] For fiscal years 2002 34.11 and later, a district's initial excess cost aid equals the 34.12 greatest of: 34.13 (1) 75 percent of the difference between (i) the district's 34.14 unreimbursed special education cost and (ii)4.44.7 percent of 34.15 the district's general revenue; 34.16 (2) 70 percent of the difference between (i) the increase 34.17 in the district's unreimbursed special education cost between 34.18 the base year as defined in section 125A.76, subdivision 1, and 34.19 the current year and (ii) 1.6 percent of the district's general 34.20 revenue; or 34.21 (3) zero. 34.22 Sec. 15. Minnesota Statutes 1999 Supplement, section 34.23 126C.44, is amended to read: 34.24 126C.44 [CRIME-RELATED COSTS LEVY.] 34.25 Each district may make a levy on all taxable property 34.26 located within the district for the purposes specified in this 34.27subdivisionsection. The maximum amount which may be levied for 34.28 all costs under thissubdivisionsection shall be equal to 34.29$1.50$14.75 multiplied by thepopulation of the school district34.30 district's adjusted marginal cost pupil units for the school 34.31 year.For purposes of this subdivision, "population" of the34.32school district means the same as contained in section 275.14.34.33 The proceeds of the levy must be used for directly funding the 34.34 following purposes or for reimbursing the cities and counties 34.35 who contract with the district for the following purposes: (1) 34.36 to pay the costs incurred for the salaries, benefits, and 35.1 transportation costs of peace officers and sheriffs for liaison 35.2 in services in the district'smiddle and secondaryschools; (2) 35.3 to pay the costs for a drug abuse prevention program as defined 35.4 in Minnesota Statutes 1991 Supplement, section 609.101, 35.5 subdivision 3, paragraph (f), in the elementary schools; (3) to 35.6 pay the costs for a gang resistance education training 35.7 curriculum in themiddledistrict's schools;or(4) to pay the 35.8 costs for security in the districts' schools and on school 35.9 property; or (5) to pay the costs for other crime prevention 35.10and, drug abuse, student and staff safety, and violence 35.11 prevention measures taken by the school district. The district 35.12 must initially attempt to contract for services to be provided 35.13 by peace officers or sheriffs with the police department of each 35.14 city or the sheriff's department of the county within the 35.15 district containing the school receiving the services. If a 35.16 local police department or a county sheriff's department does 35.17 not wish to provide the necessary services, the district may 35.18 contract for these services with any other police or sheriff's 35.19 department located entirely or partially within the school 35.20 district's boundaries. The levy authorized under 35.21 thissubdivisionsection is not included in determining the 35.22 school district's levy limitations. 35.23 EFFECTIVE DATE: This section is effective July 1, 2000, 35.24 for levies for taxes payable in 2001 and later. 35.25 Sec. 16. Minnesota Statutes 1999 Supplement, section 35.26 127A.42, subdivision 3, is amended to read: 35.27 Subd. 3. [ASSURANCE OF COMPLIANCE.] (a) After consultation 35.28 with the commissioner of human rights, the commissioner of 35.29 children, families, and learning shall adopt rules in 35.30 conformance with chapter 14. The rules must direct districts to 35.31 file with the commissioner of children, families, and learning 35.32 assurances of compliance with state and federal laws prohibiting 35.33 discriminationand specify the information required to be35.34submitted in support of the assurances.The commissioner shall35.35provide copies of the assurances and the supportive information35.36to the commissioner of human rightsThe assurances must be 36.1 provided in a form and manner prescribed by the commissioner. 36.2 (b) If, after reviewing the assurances and the supportive36.3informationit appears that one or more violations of the 36.4 Minnesota Human Rights Act are occurring inthea district, the 36.5 commissioner of human rights shall notify the commissioner of 36.6 the violations, and the commissioner of children, families, and 36.7 learning may then proceed pursuant to subdivision 4. 36.8 Sec. 17. Laws 1999, chapter 241, article 2, section 60, 36.9 subdivision 7, is amended to read: 36.10 Subd. 7. [TRIBAL CONTRACT SCHOOLS.] For tribal contract 36.11 school aid according to Minnesota Statutes, section 124D.83: 36.12$2,706,000$1,671,000 ..... 2000 36.13$2,790,000$1,882,000 ..... 2001 36.14 The 2000 appropriation includes $283,000 for 1999 and 36.15$2,423,000$1,388,000 for 2000. 36.16 The 2001 appropriation includes$269,000$154,000 for 2000 36.17 and$2,521,000$1,728,000 for 2001. 36.18 Sec. 18. Laws 1999, chapter 241, article 2, section 60, 36.19 subdivision 9, is amended to read: 36.20 Subd. 9. [MAGNET SCHOOL GRANTS.] For magnet school and 36.21 program grants under Laws 1994, chapter 647, article 8, section 36.22 38: 36.23 $1,750,000 ..... 2000 36.24 $1,750,000 ..... 2001 36.25 These amounts may be used for magnet school programs 36.26 according to Minnesota Statutes, section 124D.88. The budget 36.27 base for this program for fiscal year 2003 and each year 36.28 thereafter is $1,050,000. 36.29 Sec. 19. Laws 1999, chapter 241, article 2, section 60, 36.30 subdivision 12, is amended to read: 36.31 Subd. 12. [AID FOR CHILDREN WITH A DISABILITY.] For aid 36.32 according to Minnesota Statutes, section 125A.75, subdivision 3, 36.33 for children with a disability placed in residential facilities 36.34 within the district boundaries for whom no district of residence 36.35 can be determined: 36.36$ 443,000$ 433,000 ..... 2000 37.1$1,064,000$4,263,000 ..... 2001 37.2 If the appropriation for either year is insufficient, the 37.3 appropriation for the other year is available. Any balance in 37.4 the first year does not cancel but is available in the second 37.5 year. 37.6 Sec. 20. Laws 1999, chapter 241, article 2, section 60, 37.7 subdivision 13, is amended to read: 37.8 Subd. 13. [TRAVEL FOR HOME-BASED SERVICES.] For aid for 37.9 teacher travel for home-based services according to Minnesota 37.10 Statutes, section 125A.75, subdivision 1: 37.11$133,000$125,000 ..... 2000 37.12$139,000$130,000 ..... 2001 37.13 The 2000 appropriation includes $11,000 for 1999 and 37.14$122,000$114,000 for 2000. 37.15 The 2001 appropriation includes $13,000 for 2000 and 37.16$126,000$117,000 for 2001. 37.17 Sec. 21. Laws 1999, chapter 241, article 2, section 60, 37.18 subdivision 14, is amended to read: 37.19 Subd. 14. [SPECIAL EDUCATION EXCESS COST AID.] For excess 37.20 cost aid: 37.21$60,498,000$66,032,000 ..... 2000 37.22$79,405,000$89,072,000 ..... 2001 37.23 The 2000 appropriation includes $4,693,000 for 1999 and 37.24$55,805,000$61,339,000 for 2000. 37.25 The 2001 appropriation includes$6,200,000$6,815,000 for 37.26 2000 and$73,205,000$82,257,000 for 2001. 37.27 Sec. 22. Laws 1999, chapter 241, article 2, section 60, 37.28 subdivision 17, is amended to read: 37.29 Subd. 17. [INTEGRATION AID.] For integration aid: 37.30$37,182,000$37,610,000 ..... 2000 37.31$43,787,000$55,828,000 ..... 2001 37.32 The 2000 appropriation includes $2,902,000 for 1999 and 37.33$34,280,000$34,708,000 for 2000. 37.34 The 2001 appropriation includes$3,809,000$3,856,000 for 37.35 2000 and$39,978,000$51,972,000 for 2001. 37.36 Sec. 23. Laws 1999, chapter 241, article 2, section 60, 38.1 subdivision 19, is amended to read: 38.2 Subd. 19. [INTERDISTRICT DESEGREGATION OR INTEGRATION 38.3 TRANSPORTATION AID.] (a) For interdistrict desegregation or 38.4 integration transportation aid under Minnesota Statutes, section 38.5 124D.87: 38.6 $970,000 ..... 2000 38.7 $970,000 ..... 2001 38.8 Any balance in the first year does not cancel but is 38.9 available in the second year. 38.10 (b) The budget base for this program for fiscal year 2002 38.11 is $500,000. This amount may be spent for interdistrict 38.12 desegregation or integration transportation aid. For fiscal 38.13 year 2003 and later, the budget base for this program is the 38.14 forecasted cost of fully reimbursing districts according to 38.15 Minnesota Statutes, section 124D.87. 38.16 Sec. 24. [SPECIAL EDUCATION CROSS-SUBSIDY REVENUE.] 38.17 For fiscal year 2000, a school district shall receive an 38.18 amount of revenue equal to $15 times the district's adjusted 38.19 marginal cost pupil units. For fiscal year 2001, a school 38.20 district shall receive an amount of revenue equal to $35 times 38.21 the district's adjusted marginal cost pupil units. Special 38.22 education cross-subsidy revenue must be used to pay for a 38.23 district's unfunded special education costs that are currently 38.24 cross-subsidized by a district's general education revenue. 38.25 Sec. 25. [STUDY.] 38.26 The commissioner of children, families, and learning shall 38.27 contract with a qualified expert to determine and report the 38.28 number and overall incidence rate of Minnesota school children, 38.29 by district, age, grade level, gender, and race, diagnosed with 38.30 attention deficit disorder (ADD) or attention deficit 38.31 hyperactivity disorder (ADHD) currently taking amphetamine 38.32 prescription drugs such as Ritalin. In preparing the report, 38.33 the contractor also must determine the number and overall 38.34 incidence rate of students not identified with ADD or ADHD 38.35 currently taking amphetamine prescription drugs such as 38.36 Ritalin. The commissioner, the commissioner's designee, and 39.1 school districts must comply with Minnesota Statutes, chapter 39.2 13, when gathering data for this report. The commissioner must 39.3 submit the report and any recommendations to the education 39.4 committees of the legislature by February 15, 2001. 39.5 Sec. 26. [RESOLUTION.] 39.6 Be it resolved by the legislature of the state of 39.7 Minnesota, that it supports governor Jesse Ventura's efforts to 39.8 have Congress speedily enact legislation to fund at least 40 39.9 percent of the cost of special education services provided as a 39.10 result of the federal mandate to provide a free and appropriate 39.11 public education for students with disabilities. The state 39.12 finds that the federal requirements impede the ability of the 39.13 state and school districts to adequately fund kindergarten 39.14 through grade 12 education for all students. 39.15 Sec. 27. [APPROPRIATIONS.] 39.16 Subdivision 1. [DEPARTMENT OF CHILDREN, FAMILIES, AND 39.17 LEARNING.] The sums indicated in this section are appropriated 39.18 from the general fund to the department of children, families, 39.19 and learning for the fiscal years designated. 39.20 Subd. 2. [LITTLE FALLS; REVENUE REIMBURSEMENT.] For 39.21 independent school district No. 482, Little Falls, for partial 39.22 reimbursement of revenue returned to the state as a result of a 39.23 finding that the district had over-counted kindergarten pupils 39.24 in earlier years: 39.25 $300,000 ..... 2000 39.26 Revenue appropriated to the district under this subdivision 39.27 must be used for all-day kindergarten services and must be 39.28 matched by fees collected from parents by the district for 39.29 providing all-day kindergarten services. 39.30 Subd. 3. [NORTHLAND LEARNING CENTER.] For a grant to the 39.31 Northland joint powers board for start-up costs associated with 39.32 the delay of special education funding for the Northland 39.33 learning center: 39.34 $200,000 ..... 2001 39.35 Subd. 4. [MAGNET SCHOOL START-UP AID.] For magnet school 39.36 start-up aid under Minnesota Statutes, section 124D.88: 40.1 $250,000 ..... 2001 40.2 Subd. 5. [SPECIAL EDUCATION CROSS-SUBSIDY REVENUE.] For 40.3 special education cross-subsidy revenue: 40.4 $14,537,000 ..... 2000 40.5 $33,829,000 ..... 2001 40.6 Subd. 6. [STUDY.] For a report on the number and overall 40.7 incident rate of Minnesota school children diagnosed with 40.8 attention deficit disorder or attention deficit hyperactivity 40.9 disorder: 40.10 $40,000 ..... 2001 40.11 Subd. 7. [GRANT TO INDEPENDENT SCHOOL DISTRICT NO. 707, 40.12 NETT LAKE.] For a grant to independent school district No. 707, 40.13 Nett Lake, to pay obligations of the school district for 40.14 unemployment compensation. The appropriation must be paid to 40.15 the appropriate state agency for such purposes in the name of 40.16 the school district: 40.17 $ 30,000 ..... 2001 40.18 Sec. 28. [REPEALER.] 40.19 Minnesota Rules, part 3535.9920, is repealed. 40.20 ARTICLE 3 40.21 EMPLOYMENT AND OTHER TRANSITIONS 40.22 Section 1. Minnesota Statutes 1998, section 124D.44, is 40.23 amended to read: 40.24 124D.44 [MATCH REQUIREMENTS.] 40.25 Youth works grant funds must be used for the living 40.26 allowance, cost of employer taxes under sections 3111 and 3301 40.27 of the Internal Revenue Code of 1986, workers' compensation 40.28 coverage,andhealth benefits for each program participant, and 40.29 administrative expenses, which must not exceed five percent of 40.30 total program costs. Youthworks grant funds may also be used to 40.31 supplement applicant resources to fund postservice benefits for 40.32 program participants. Applicant resources, from sources and in 40.33 a form determined by the commissionand, beginning January 1,40.341997, the council, must be used to provide for all other program 40.35 costs, including the portion of the applicant's obligation for 40.36 postservice benefits that is not covered by state or federal 41.1 grant funds and such costs as supplies, materials, 41.2 transportation, and salaries and benefits of those staff 41.3 directly involved in the operation, internal monitoring, and 41.4 evaluation of the program.Administrative expenses must not41.5exceed five percent of total program costs.41.6 Sec. 2. Minnesota Statutes 1998, section 124D.454, 41.7 subdivision 4, is amended to read: 41.8 Subd. 4. [ADJUSTEDSECONDARY41.9VOCATIONAL-DISABLEDTRANSITION-DISABLED BASE REVENUE.] For 41.10 fiscal year 1996 and later, a district's adjustedsecondary41.11vocational-disabledtransition-disabled base revenue equals the 41.12 district'ssecondary vocational-disabledtransition-disabled 41.13 base revenue times the ratio of the district's average daily 41.14 membership for the current school year to the district's average 41.15 daily membership for the base year. 41.16 Sec. 3. Minnesota Statutes 1998, section 124D.454, 41.17 subdivision 6, is amended to read: 41.18 Subd. 6. [SCHOOL DISTRICTSECONDARY41.19VOCATIONAL-DISABLEDTRANSITION-DISABLED REVENUE.] (a) A school 41.20 district'ssecondary vocational-disabledtransition-disabled 41.21 revenue for fiscal year 1996 and later equals the state 41.22 totalsecondary vocational-disabledtransition-disabled revenue, 41.23 minus the amount determined under paragraph (b), times the ratio 41.24 of the district's adjustedsecondary41.25vocational-disabledtransition-disabled base revenue to the 41.26 state total adjustedsecondary41.27vocational-disabledtransition-disabled base revenue. 41.28 (b) Notwithstanding paragraph (a), if thesecondary41.29vocational-disabledtransition-disabled base revenue for a 41.30 district equals zero and no district residents were enrolled 41.31 insecondary vocational-disabledtransition-disabled programs 41.32 during the base year, thesecondary41.33vocational-disabledtransition-disabled revenue equals the 41.34 amount computed according to subdivision 3 using current year 41.35 data. 41.36 Sec. 4. Minnesota Statutes 1998, section 124D.454, 42.1 subdivision 7, is amended to read: 42.2 Subd. 7. [SCHOOL DISTRICTSECONDARY42.3VOCATIONAL-DISABLEDTRANSITION-DISABLED AID.] A school 42.4 district'ssecondary vocational-disabledtransition-disabled aid 42.5 for fiscal year 1996 and later equals the district'ssecondary42.6vocational-disabledtransition-disabled revenue times the aid 42.7 percentage factor for that year. 42.8 Sec. 5. Laws 1997, chapter 157, section 71, as amended by 42.9 Laws 1998, chapter 398, article 3, section 11, is amended to 42.10 read: 42.11 Sec. 71. [SCHOOLBANK PILOT PROJECTBANKS.] 42.12 (a) A school bank sponsored by independent school district 42.13 No. 31, Bemidji, independent school district No. 316, 42.14 Greenway-Coleraine, independent school district No. 2170, 42.15 Staples-Motley, or by independent school district No. 508, St. 42.16 Peter, that meets all requirements of paragraph (b) is not 42.17 subject to Minnesota Statutes, section 47.03, subdivision 1, or 42.18 to any other statute or rule that regulates banks, other 42.19 financial institutions, or currency exchanges. 42.20 (b) To qualify under paragraph (a), the school bank must: 42.21 (1) be operated as part of a high school educational 42.22 program and under guidelines adopted by the school board; 42.23 (2) be advised on a regular basis by one or more 42.24 state-chartered or federally-chartered financial institutions, 42.25 but not owned or operated by any financial institution; 42.26 (3) be located on school premises and have as customers 42.27 only students enrolled in, or employees of, the school in which 42.28 it is located; and 42.29 (4) have a written commitment from the school board, 42.30 guaranteeing reimbursement of any depositor's funds lost due to 42.31 insolvency of the school bank. 42.32 (c) Funds of a school bank that meets the requirements of 42.33 this section are not school district or other public funds for 42.34 purposes of any state law governing the use or investment of 42.35 school district or other public funds. 42.36 (d) The school district shall annually file with the 43.1 commissioner of commerce a report, prepared by the students and 43.2 teachers involved, summarizing the operation of the school bank. 43.3(e) This section expires June 30, 2000. The commissioner43.4of commerce shall, no later than December 15, 1999, provide a43.5written report to the legislature regarding this pilot project43.6and any recommended legislation regarding school banks.43.7 EFFECTIVE DATE: This section is effective the day 43.8 following final enactment. 43.9 Sec. 6. Laws 1999, chapter 241, article 3, section 3, 43.10 subdivision 2, is amended to read: 43.11 Subd. 2. [SECONDARY VOCATIONAL EDUCATION AID.] For 43.12 secondary vocational education aid according to Minnesota 43.13 Statutes, section 124D.453: 43.14$11,335,000$12,413,000 ..... 2000 43.15$1,130,000$ 1,250,000 ..... 2001 43.16 The 2000 appropriation includes $1,159,000 for 1999 and 43.17$10,176,000$11,254,000 for 2000. The 2001 appropriation 43.18 includes$1,130,000$1,250,000 for 2000. 43.19 EFFECTIVE DATE: This section is effective the day 43.20 following final enactment. 43.21 Sec. 7. Laws 1999, chapter 241, article 3, section 3, 43.22 subdivision 4, is amended to read: 43.23 Subd. 4. [EDUCATION AND EMPLOYMENT TRANSITIONS PROGRAM 43.24 GRANTS.] For education and employment transitions programming 43.25 under Minnesota Statutes, section 124D.46: 43.26 $3,225,000 ..... 2000 43.27 $3,225,000 ..... 2001 43.28 $200,000 each year is for the development and 43.29 implementation of the ISEEK Internet-based education and 43.30 employment information system. 43.31 $1,000,000 each year is for an employer rebate program for 43.32 qualifying employers who offer youth internships to educators. 43.33 $500,000 each year is for youth entrepreneurship grants. 43.34 $750,000 each year is for youth apprenticeship grants. 43.35 $300,000 each year is for grants to programs in cities of 43.36 the first class to expand the number of at-risk students 44.1 participating in school-to-work projects. 44.2 $350,000 each year is for agricultural school-to-work 44.3 grants. 44.4 $125,000 each year is to conduct a high school follow-up 44.5 survey to include first, third, and sixth year graduates of 44.6 Minnesota schools. 44.7 Any balance in the first year does not cancel but is 44.8 available in the second year. 44.9 ARTICLE 4 44.10 FACILITIES AND TECHNOLOGY 44.11 Section 1. Minnesota Statutes 1998, section 123B.51, 44.12 subdivision 6, is amended to read: 44.13 Subd. 6. [PROCEEDS OF SALE OR EXCHANGE.] (a) Proceeds of 44.14 the sale or exchange of school buildings or real property of the 44.15 district must be used as provided in this subdivision. 44.16 (b) In districts with outstanding bonds, the proceeds of 44.17 the sale or exchange shall first be deposited in the debt 44.18 retirement fund of the district in an amount sufficient to meet 44.19 when due that percentage of the principal and interest payments 44.20 for outstanding bonds which is ascribable to the payment of 44.21 expenses necessary and incidental to the construction or 44.22 purchase of the particular building or property which is sold. 44.23 (c) After satisfying the requirements of paragraph (b), a 44.24 district with outstanding bonds may deposit proceeds of the sale 44.25 or exchange in itscapital expenditure fundgeneral fund 44.26 reserved for operating capital account if the amount deposited 44.27 is used for the following: 44.28 (1) for expenditures for the cleanup of polychlorinated 44.29 biphenyls, if the method for cleanup is approved by the 44.30 department; 44.31 (2) for capital expenditures for the betterment, as defined 44.32 in section 475.51, subdivision 8, of district-owned school 44.33 buildings; or 44.34 (3) to replace the building or property sold. 44.35 (d) In a district with outstanding bonds, the amount of the 44.36 proceeds of the sale or exchange remaining after the application 45.1 of paragraphs (b) and (c), which is sufficient to meet when due 45.2 that percentage of the principal and interest payments for the 45.3 district's outstanding bonds which is not governed by paragraph 45.4 (b), shall be deposited in the debt retirement fund. 45.5 (e) Any proceeds of the sale or exchange remaining in 45.6 districts with outstanding bonds after the application of 45.7 paragraphs (b), (c), and (d), and all proceeds of the sale or 45.8 exchange in districts without outstanding bonds shall be 45.9 deposited in thecapital expendituregeneral fund reserved for 45.10 operating capital account of the district. 45.11 (f) Notwithstanding paragraphs (c) and (d), a district with 45.12 outstanding bonds may deposit in itscapital expendituregeneral 45.13 fund reserved for operating capital account and use for any 45.14 lawful operating capital expenditure without the reduction of 45.15 any levy limitation the same percentage of the proceeds of the 45.16 sale or exchange of a building or property as the percentage of 45.17 the initial cost of purchasing or constructing the building or 45.18 property which was paid using revenue from thecapital45.19expendituregeneral fund reserved for operating capital account. 45.20 Sec. 2. Minnesota Statutes 1998, section 123B.53, as 45.21 amended by Laws 1999, chapter 241, is amended to read: 45.22 123B.53 [DEBT SERVICEFACILITIES EQUALIZATION PROGRAM.] 45.23 Subdivision 1. [DEFINITIONS.] (a) For purposes of this 45.24 section, the eligibledebt servicefacilities revenue of a 45.25 district is defined as follows: 45.26 (1) the amount needed to produce between five and six 45.27 percent in excess of the amount needed to meet when due the 45.28 principal and interest payments on the obligations of the 45.29 district for eligible projects according to subdivision 2, 45.30 including the amounts necessary for repayment of energy loans 45.31 according to section216C.37 or sections 298.292 to 298.29845.32 126C.40, subdivision 5, debt service loans and capital loans, 45.33 lease purchase payments under section 126C.40,subdivision 245.34 subdivisions 2 and 6; Laws 1995, First Special Session chapter 45.35 3, article 5, section 19; and Laws 1997, First Special Session 45.36 chapter 4, article 4, section 30, alternative facilitieslevies46.1 revenue under section 123B.59, subdivision 5; health and safety 46.2 revenue, under section 123B.57, subdivision 3; handicapped 46.3 access and fire safety revenue, under section 123B.58, 46.4 subdivision 3; building construction and lease revenue, under 46.5 section 123B.63, subdivision 3; building lease revenue, under 46.6 section 126C.40, subdivision 1; and cooperative building repair 46.7 revenue, under section 126C.40, subdivision 3, minus 46.8 (2) the amount of debt service excess levy reduction for 46.9 that school year calculated according to the procedure 46.10 established by the commissioner. 46.11 (b) The obligations in this paragraph are excluded from 46.12 eligibledebt servicefacilities revenue: 46.13 (1) obligations under section 123B.61; 46.14 (2) the part of debt service principal and interest paid 46.15 from the taconite environmental protection fund or northeast 46.16 Minnesota economic protection trust; 46.17 (3) obligations issued under Laws 1991, chapter 265, 46.18 article 5, section 18, as amended by Laws 1992, chapter 499, 46.19 article 5, section 24; and 46.20 (4) obligations under section 123B.62. 46.21 (c) For purposes of this section, if a preexisting school 46.22 district reorganized under sections 123A.35 to 123A.43, 123A.46, 46.23 and 123A.48 is solely responsible for retirement of the 46.24 preexisting district's bonded indebtedness, capital loans or 46.25 debt service loans,debt servicefacilities equalization aid 46.26 must be computed separately for each of the preexisting 46.27 districts. 46.28 Subd. 2. [ELIGIBILITY.] (a) The following portions of a 46.29 district'sdebt service levyfacilities revenue qualify fordebt46.30servicefacilities equalization: 46.31 (1) debt service for repayment of principal and interest on 46.32 bonds issued before July 2, 1992; 46.33 (2) debt service for bonds refinanced after July 1, 1992, 46.34 if the bond schedule has been approved by the commissioner and, 46.35 if necessary, adjusted to reflect a 20-year maturity schedule; 46.36and47.1 (3) debt service for bonds issued after July 1, 1992, for 47.2 construction projects that have received a positive review and 47.3 comment according to section 123B.71, if the commissioner has 47.4 determined that the district has met the criteria under section 47.5 126C.69, subdivision 3, except section 126C.69, subdivision 3, 47.6 paragraph (a), clause (2), and if the bond schedule has been 47.7 approved by the commissioner and, if necessary, adjusted to 47.8 reflect a 20-year maturity schedule; 47.9 (4) alternative facilities revenue, according to section 47.10 123B.59, subdivision 5; 47.11 (5) health and safety revenue, according to section 47.12 123B.57, subdivision 3; 47.13 (6) handicapped access and fire safety revenue, according 47.14 to section 123B.58, subdivision 3; 47.15 (7) building construction and lease revenue, according to 47.16 section 123B.63, subdivision 3; 47.17 (8) building lease revenue, according to section 126C.40, 47.18 subdivision 1; and 47.19 (9) cooperative building repair revenue, according to 47.20 section 126C.40, subdivision 3. 47.21 (b) The criterion described in section 126C.69, subdivision 47.22 3, paragraph (a), clause (9), does not apply to bonds authorized 47.23 by elections held before July 1, 1992. 47.24 (c) For the purpose of this subdivision the department 47.25 shall determine the eligibility for sparsity at the location of 47.26 the new facility, or the site of the new facility closest to the 47.27 nearest operating school if there is more than one new facility. 47.28 (d) Notwithstanding paragraphs (a) to (c), debt service for 47.29 repayment of principal and interest on bonds issued after July 47.30 1, 1997,doesor leases on buildings do not qualify for debt 47.31 service equalization aid unless the primary purpose of the 47.32 facility is to serve students in kindergarten through grade 12. 47.33 Subd. 3. [NOTIFICATION.] A district eligible fordebt47.34servicefacilities equalization revenue under subdivision 2 must 47.35 notify the commissioner of the amount of its intendeddebt47.36servicefacilities equalization revenue calculated under 48.1 subdivision 1 for all bonds sold prior to the notification by 48.2 July 1 of the calendar year the levy is certified. 48.3 Subd. 4. [DEBT SERVICEFACILITIES EQUALIZATION REVENUE.] 48.4 Thedebt servicefacilities equalization revenue of a district 48.5 equals the eligibledebt servicefacilities equalization revenue 48.6 minus the amount raised by a levy of12ten percent times the 48.7 adjusted net tax capacity of the district. 48.8 Subd. 5. [EQUALIZEDDEBT SERVICEFACILITIES LEVY.] To 48.9 obtaindebt servicefacilities equalization revenue, a district 48.10 must levy an amount not to exceed the district'sdebt service48.11 facilities equalization revenue times the lesser of one or the 48.12 ratio of: 48.13 (1) the quotient derived by dividing the adjusted net tax 48.14 capacity of the district for the year before the year the levy 48.15 is certified by the adjusted pupil units in the district for the 48.16 school year ending in the year prior to the year the levy is 48.17 certified; to 48.18 (2)$4,000$4,073. 48.19 Subd. 6. [DEBT SERVICEFACILITIES EQUALIZATION AID.] A 48.20 district'sdebt servicefacilities equalization aid is the 48.21 difference between thedebt servicefacilities equalization 48.22 revenue and the equalizeddebt servicefacilities levy. If a 48.23 district does not levy the entire amount permitted, the 48.24 district's aid must be reduced in proportion to the amount 48.25 levied. 48.26 Subd. 7. [DEBT SERVICEFACILITIES EQUALIZATION AID PAYMENT 48.27 SCHEDULE.]Debt serviceFacilities equalization aid must be paid 48.28 according to section 127A.45, subdivision 10. 48.29 Subd. 8. [DEBT SERVICE PRIORITY.] Of the amount paid under 48.30 this section, the district must first allocate the amount 48.31 attributable to obligations under chapter 475. Remaining aid 48.32 may be used for other purposes of this section. 48.33 EFFECTIVE DATE: This section is effective for revenue for 48.34 fiscal year 2002 and thereafter. 48.35 Sec. 3. Minnesota Statutes 1999 Supplement, section 48.36 123B.54, is amended to read: 49.1 123B.54 [DEBT SERVICEFACILITIES EQUALIZATION 49.2 APPROPRIATION.] 49.3 (a) $33,165,000 in fiscal year 2000, $32,057,000 in fiscal 49.4 year 2001, and$31,280,000$44,407,000 in fiscal year 2002 and 49.5 each year thereafter is appropriated from the general fund to 49.6 the commissioner of children, families, and learning for payment 49.7 ofdebt servicefacilities equalization aid under section 49.8 123B.53. The 2002 appropriation includes $3,201,000 for 2001 49.9 and$29,079,000$41,206,000 for 2002. 49.10 (b) The appropriations in paragraph (a) must be reduced by 49.11 the amount of any money specifically appropriated for the same 49.12 purpose in any year from any state fund. 49.13 Sec. 4. Minnesota Statutes 1998, section 123B.57, 49.14 subdivision 1, is amended to read: 49.15 Subdivision 1. [HEALTH AND SAFETY PROGRAM.] To receive 49.16 health and safety revenue for any fiscal year a district must 49.17 submit to the commissioner an application foraid and levy49.18 revenue by the date determined by the commissioner. The 49.19 application may be for hazardous substance removal, fire and 49.20 life safety code repairs, labor and industry regulated facility 49.21 and equipment violations, and health, safety, and environmental 49.22 management, including indoor air quality management. The 49.23 application must include a health and safety program adopted by 49.24 the school district board. The program must include the 49.25 estimated cost, per building, of the program by fiscal year. 49.26 EFFECTIVE DATE: This section is effective for revenue for 49.27 fiscal year 2002 and thereafter. 49.28 Sec. 5. Minnesota Statutes 1998, section 123B.58, 49.29 subdivision 3, is amended to read: 49.30 Subd. 3. [LEVY AUTHORITYREVENUE.] The districtmay levy49.31 is eligible for revenue up to $300,000 under this section, as 49.32 approved by the commissioner. The approved amount may belevied49.33 received over eight or fewer years. 49.34 EFFECTIVE DATE: This section is effective for revenue for 49.35 fiscal year 2002 and thereafter. 49.36 Sec. 6. Minnesota Statutes 1998, section 123B.58, 50.1 subdivision 4, is amended to read: 50.2 Subd. 4. [LEVY AUTHORITYREVENUE IN COMBINED DISTRICTS.] 50.3 Notwithstanding subdivision 3, a district that has combined or 50.4 consolidated maylevyreceive revenue up to 50 percent times 50.5$300,000the eligible revenue under subdivision 4 for all former 50.6 districts that operated on June 30, 1999, in the area that now 50.7 makes up the combined or consolidated district times the number 50.8 of former districts that operated on June 30,19911999, in the 50.9 area that now makes up the combined or consolidated district. 50.10 The approved amount is reduced by any amount levied under 50.11 subdivision 3 in the consolidated or combined district or in the 50.12 former districts that make up the consolidated or combined 50.13 district. Levy authority under this subdivision expires at the 50.14 same time as levy authority under subdivision 3. 50.15 EFFECTIVE DATE: This section is effective for revenue for 50.16 fiscal year 2002 and thereafter. 50.17 Sec. 7. Minnesota Statutes 1998, section 123B.59, as 50.18 amended by Laws 1999, chapter 241, is amended to read: 50.19 123B.59 [ALTERNATIVE FACILITIESBONDING AND LEVYREVENUE 50.20 PROGRAM.] 50.21 Subdivision 1. [TO QUALIFY.] An independent or special 50.22 school district qualifies to participate in the alternative 50.23 facilitiesbonding and levyrevenue program if the district has: 50.24 (1) more than 66 students per grade; 50.25 (2) over 1,850,000 square feet of space; 50.26 (3) average age of building space is 15 years or older; 50.27 (4) insufficient funds from projected health and safety 50.28 revenue and capital facilities revenue to meet the requirements 50.29 for deferred maintenance, to make accessibility improvements, or 50.30 to make fire, safety, or health repairs; and 50.31 (5) a ten-year facility plan approved by the commissioner 50.32 according to subdivision 2. 50.33 Subd. 2. [TEN-YEAR PLAN.] (a) A qualifying district must 50.34 have a ten-year facility plan approved by the commissioner that 50.35 includes an inventory of projects and costs that would be 50.36 eligible for: 51.1 (1) health and safety revenue; 51.2 (2) disabled access levy; and 51.3 (3) deferred capital expenditures and maintenance projects 51.4 necessary to prevent further erosion of facilities. 51.5 (b) The school district must: 51.6 (1) annually update the plan; 51.7 (2) biennially submit a facility maintenance plan; and 51.8 (3) indicate whether the district will issue bonds to 51.9 finance the plan orlevyannually include program revenue under 51.10 the facilities equalization program, under section 123B.53, for 51.11 the costs. 51.12 Subd. 3. [BOND AUTHORIZATION.] A school district, upon 51.13 approval of its board and the commissioner, may issue general 51.14 obligation bonds under this section to finance approved 51.15 facilities plans. Chapter 475, except sections 475.58 and 51.16 475.59, must be complied with.The district may levy under51.17subdivision 5 for the debt service revenue.The authority to 51.18 issue bonds under this section is in addition to any bonding 51.19 authority authorized by this chapter, or other law. The amount 51.20 of bonding authority authorized under this section must be 51.21 disregarded in calculating the bonding or net debt limits of 51.22 this chapter, or any other law other than section 475.53, 51.23 subdivision 4. 51.24 Subd. 4. [LEVY PROHIBITED FOR CAPITAL PROJECTS.] A 51.25 district that participates in the alternativefacilities bonding51.26and levyrevenue program is not eligibleto levy and cannot51.27receive aidfor revenue under sections 123B.57 and 123B.58 for 51.28 any capital projects funded under this section. A district 51.29 maylevy and receive aid for health and safetyreceive revenue 51.30 for environmental management costs and health and safety 51.31 regulatory, hazard assessment, record keeping, and maintenance 51.32 programs as defined in section123A.443123B.57, subdivision 2, 51.33 and approved by the commissioner. 51.34 Subd. 5. [LEVYREVENUE AUTHORIZED.] A district, after 51.35 local board approval, maylevyreceive revenue for costs related 51.36 to an approved facility plan as follows: 52.1 (a) if the district has indicated to the commissioner that 52.2 bonds will be issued, the district maylevyreceive revenue for 52.3 the principal and interest payments on outstanding bonds issued 52.4 according to subdivision 3 after reduction for any alternative 52.5 facilities aid receivable under subdivision 6; or 52.6 (b) if the district has indicated to the commissioner that 52.7 the plan will be funded through levy authorized under section 52.8 123B.53, subdivision 5, the district may levy according to the 52.9 schedule approved in the plan after reduction for any 52.10 alternative facilities aid receivable under subdivision 6. 52.11 Subd. 6. [ALTERNATIVE FACILITIES AID.] A district's 52.12 alternative facilities aid is the amount equal to the district's 52.13 annual debt service costs, provided that the amount does not 52.14 exceed the amount certified to be levied for those purposes for 52.15 taxes payable in 1997, or for a district that made a levy under 52.16 subdivision 5, paragraph (b), the lesser of the district's 52.17 annual levy amount, or one-sixth of the amount of levy that it 52.18 certified for that purpose for taxes payable in 1998. 52.19 Subd. 8. [SEPARATE ACCOUNT.] A district must establish a 52.20 separate account under the uniform financial accounting and 52.21 reporting standards (UFARS) for this program. If the district's 52.22levyrevenue exceeds the necessary interest and principal 52.23 payments and noncapital health and safety costs, the district 52.24 must reserve the revenue to replace future bonding authority, 52.25 prepay bonds authorized under this program, or make payments on 52.26 principal and interest. 52.27 EFFECTIVE DATE: This section is effective for revenue for 52.28 fiscal year 2002 and thereafter. 52.29 Sec. 8. Minnesota Statutes 1998, section 123B.63, 52.30 subdivision 3, is amended to read: 52.31 Subd. 3. [FACILITIESDOWN PAYMENT LEVYREVENUE 52.32 REFERENDUM.] A district maylevy the local tax ratereceive 52.33 revenue under the facilities equalization program for the 52.34 purposes of financing the acquisition and betterment of a school 52.35 construction project or to pay for the lease on a new school 52.36 building used primarily for regular kindergarten, elementary, or 53.1 secondary instruction if authorization is approved by a majority 53.2 of the electors voting on the question to provide funds fora53.3down payment foran approved project. The election must take 53.4 place no more than five years before the estimated date of 53.5 commencement of the project. The referendum must be held on a 53.6 date set by the board. A referendum for a projectnotreceiving 53.7a positivean unfavorable review and comment by the commissioner 53.8 under section 123B.71 must be approved by at least 60 percent of 53.9 the voters voting on the question at the election. The 53.10 referendum may be called by the school board and may be held: 53.11 (1) separately, before an election for the issuance of 53.12 obligations for the project under chapter 475; or 53.13 (2) in conjunction with an election for the issuance of 53.14 obligations for the project under chapter 475; or 53.15 (3) notwithstanding section 475.59, as a conjunctive 53.16 question authorizing both thedown payment levyrevenue and the 53.17 issuance of obligations for the project under chapter 475. Any 53.18 obligations authorized for a project may be issued within five 53.19 years of the date of the election. 53.20 The ballot must provide a general description of the 53.21 proposed project, state the estimated total cost of the project, 53.22 state whether the project has received a positive ornegative53.23 unfavorable review and comment from the commissioner, state the 53.24 maximum amount of thedown paymentequalized facility levy as a 53.25 percentage of net tax capacity, state the amount that will be 53.26 raised by that local tax rate in the first year it is to be 53.27 levied, and state the maximum number of years that the levy 53.28 authorization will apply. 53.29 The ballot must contain a textual portion with the 53.30 information required in this section and a question stating 53.31 substantially the following: 53.32 "Shall thedown paymentfacility levy proposed by the board 53.33 of .......... School District No. .......... be approved?" 53.34 If approved, the amount provided by the approved local tax 53.35 rate applied to the net tax capacity for the year preceding the 53.36 year the levy is certified may be certified for the number of 54.1 years approved. 54.2 In the event a conjunctive question proposes to authorize 54.3 both thedown paymentequalized facilities levy, under section 54.4 123B.53, and the issuance of obligations for the project, 54.5 appropriate language authorizing the issuance of obligations 54.6 must also be included in the question. 54.7 The district must notify the commissioner of the results of 54.8 the referendum. 54.9 EFFECTIVE DATE: This section is effective for revenue for 54.10 fiscal year 2002 and thereafter. 54.11 Sec. 9. Minnesota Statutes 1998, section 123B.63, 54.12 subdivision 4, is amended to read: 54.13 Subd. 4. [EXCESS BUILDING CONSTRUCTION FUND LEVY 54.14 PROCEEDS.] (a) For the purpose of a school construction project, 54.15 any fundsremaining in the down payment accountthat are not 54.16 applied to the payment of the costs of the approved project 54.17 before its final completion must be transferred to the 54.18 district's debt redemption fund. 54.19 (b) For the purposes of a leased building, any funds that 54.20 are applied to the payment of the lease at the termination of 54.21 the lease must be transferred to the district's debt redemption 54.22 fund. 54.23 EFFECTIVE DATE: This section is effective for revenue for 54.24 fiscal year 2002 and thereafter. 54.25 Sec. 10. Minnesota Statutes 1998, section 123B.71, 54.26 subdivision 10, is amended to read: 54.27 Subd. 10. [INDOOR AIR QUALITY.] A school board seeking a 54.28 review and comment under this section must submit information 54.29 demonstrating to the commissioner's satisfaction that: 54.30 (1) indoor air quality issues have been considered; and 54.31 (2) the architects and engineers designing the facility 54.32 will have professional liability insurance. 54.33 Plans submitted under subdivisions 3 and 4 for projects to 54.34 be placed in service after July 1, 2002, must demonstrate that: 54.35 (a) the facility's heating, ventilation, and air 54.36 conditioning systems meet or exceed the standards established by 55.1 code; and 55.2 (b) the facility's design will provide the ability for 55.3 monitoring of outdoor airflow and total airflow of ventilation 55.4 systems in new school facilities. 55.5 Sec. 11. Minnesota Statutes 1998, section 123B.72, 55.6 subdivision 3, is amended to read: 55.7 Subd. 3. [CERTIFICATION.] Prior to occupying or 55.8 reoccupying a school facility affected by this section, a school 55.9 board or its designee shall submit a document prepared by a 55.10 system inspector to the building official or to the 55.11 commissioner, verifying that the facility's heating, 55.12 ventilation, and air conditioning system has been installed and 55.13 operates according to design specifications and code, according 55.14 to section 123B.71, subdivision 10, clause (3). A systems 55.15 inspector shall also verify that the facility's design will 55.16 provide the ability for monitoring of outdoor airflow and total 55.17 airflow of ventilation systems in new school facilities and that 55.18 any heating, ventilation, or air conditioning system that is 55.19 installed or modified for a project subject to this section must 55.20 provide a filtration system with a current ASHRAE standard. 55.21 EFFECTIVE DATE: This section is effective on July 1, 2002. 55.22 Sec. 12. [125B.25] [TELECOMMUNICATIONS ACCESS REVENUE.] 55.23 Subdivision 1. [COSTS TO BE SUBMITTED.] A district shall 55.24 submit its outstanding ongoing or recurring telecommunications 55.25 access costs associated with data lines and video links to the 55.26 department of children, families, and learning. Costs of 55.27 telecommunications hardware or equipment must not be included in 55.28 the costs submitted by districts to the department. A district 55.29 may include installation charges associated with new lines or 55.30 upgraded lines, but may not include costs of hardware or 55.31 equipment. 55.32 Subd. 2. [GUARANTEED MINIMUM ACCESS.] (a) The ongoing or 55.33 recurring telecommunications access costs submitted to the 55.34 department by each district under this section are limited to 55.35 the operation costs equal to the greater of: 55.36 (1) one data line or video link that relies on a transport 56.1 medium that operates at a minimum speed of 1.544 megabytes per 56.2 second for each elementary school, middle school, or high school 56.3 under section 120A.05, subdivisions 9, 11, and 13; or 56.4 (2) one data line or video link that relies on a transport 56.5 medium that operates at a minimum speed of 1.544 megabytes per 56.6 second for each district. 56.7 (b) A district or charter school may include costs 56.8 associated with cooperative arrangements with other 56.9 post-secondary institutions, school districts, and community and 56.10 regional libraries in its geographic region. A district may 56.11 continue to purchase its ongoing or recurring telecommunications 56.12 access services through existing contracts. 56.13 Subd. 3. [E-RATES.] To be eligible for revenue under this 56.14 section, a district is required to file an e-rate application 56.15 either separately or through their telecommunications grant 56.16 cluster. Discounts received on telecommunications expenditures 56.17 shall be used to offset the amount submitted to the department 56.18 for per pupil revenue under this section. 56.19 Subd. 4. [CALCULATION OF COSTS.] By February 15 of each 56.20 year, the commissioner shall calculate the ongoing or recurring 56.21 telecommunications access cost per adjusted marginal cost pupil 56.22 unit submitted by each school district under subdivisions 1 and 56.23 2 for the year in which the data is submitted minus the reserved 56.24 revenue under section 126C.10, subdivision 13, paragraph (d). 56.25 Districts shall submit their anticipated ongoing or recurring 56.26 telecommunications access costs, adjusted for any e-rate revenue 56.27 received to the department based on contracts entered into by 56.28 the district for that school year. Districts shall also submit 56.29 their actual telecommunications access costs by August 15 of 56.30 each year and adjusted for any e-rate revenue received to the 56.31 department as prescribed by the commissioner. 56.32 Subd. 5. [DISTRICT REVENUE.] A district shall receive an 56.33 amount equal to the amount as calculated by the commissioner 56.34 under subdivision 4, times the adjusted marginal cost pupil 56.35 units for that year, times 80 percent. 56.36 Subd. 6. [REVENUE FOR CHARTER SCHOOLS.] Each charter 57.1 school shall receive revenue equal to the greater of: 57.2 (1) the per marginal cost pupil unit amount for the 57.3 district in which the charter school is located as determined by 57.4 the commissioner according to subdivision 4; or 57.5 (2) $5; 57.6 times the adjusted marginal cost pupil units for that year, 57.7 times 80 percent. 57.8 Subd. 7. [REVENUE FOR NONPUBLIC SCHOOLS.] Notwithstanding 57.9 any other law to the contrary, each nonpublic school, not 57.10 including home schools, shall receive an amount equal to the 57.11 greater of: 57.12 (1) the per marginal cost pupil unit amount for the 57.13 district in which the nonpublic school is located as determined 57.14 by the commissioner according to subdivision 4; or 57.15 (2) $5; 57.16 times the number of pupils who are enrolled at the nonpublic 57.17 school as of October 1 of the current school year. 57.18 Subd. 8. [REIMBURSEMENT CRITERIA.] The commissioner, 57.19 working with the commissioner of administration, shall develop 57.20 reimbursement criteria that schools must address when submitting 57.21 ongoing or recurring telecommunications costs as determined in 57.22 subdivisions 1 and 2. The criteria must assist schools to 57.23 procure telecommunications access services in the most efficient 57.24 and effective manner possible. The criteria may also determine 57.25 if a district is able to seek a lesser cost alternative for its 57.26 geographical area and the commissioner of children, families, 57.27 and learning shall use that information to adjust the 57.28 reimbursement amount to the district. 57.29 Sec. 13. Minnesota Statutes 1999 Supplement, section 57.30 126C.10, subdivision 13, is amended to read: 57.31 Subd. 13. [TOTAL OPERATING CAPITAL REVENUE.] (a) For 57.32 fiscal year 2000 and thereafter, total operating capital revenue 57.33 for a district equals the amount determined under paragraph (b) 57.34 or (c), plus$68$73 times the adjusted marginal cost pupil 57.35 units for the school year. The revenue must be placed in a 57.36 reserved account in the general fund and may only be used 58.1 according to paragraph (d) or subdivision 14. 58.2 (b) For fiscal years 2000 and later, capital revenue for a 58.3 district equals $100 times the district's maintenance cost index 58.4 times its adjusted marginal cost pupil units for the school year. 58.5 (c) For fiscal years 2000 and later, the revenue for a 58.6 district that operates a program under section 124D.128, is 58.7 increased by an amount equal to $30 times the number of marginal 58.8 cost pupil units served at the site where the program is 58.9 implemented. 58.10 (d) For fiscal years 2001, 2002, and 2003, the district 58.11 must reserve an amount equal to $5 per adjusted marginal cost 58.12 pupil unit for telecommunication access costs. Reserve revenue 58.13 under this paragraph must first be used to pay for ongoing or 58.14 recurring telecommunication access costs, including access to 58.15 data lines, video lines, or Internet access. Any revenue 58.16 remaining after covering all ongoing or recurring access costs 58.17 may be used for computer hardware or equipment. 58.18 Sec. 14. Minnesota Statutes 1998, section 126C.40, 58.19 subdivision 1, is amended to read: 58.20 Subdivision 1. [TO LEASE BUILDING OR LAND.] (a) When a 58.21 district finds it economically advantageous to rent or lease a 58.22 building or land for any instructional purposes or for school 58.23 storage or furniture repair, and it determines that the 58.24 operating capital revenue authorized under section 126C.10, 58.25 subdivision 13, is insufficient for this purpose, it may apply 58.26 to the commissioner for permission tomake an additional capital58.27expenditure levyincrease its equalized facilities revenue under 58.28 section 123B.53, subdivision 5, for this purpose. An 58.29 application for permission tolevy under this subdivision58.30 increase the equalized facilities revenue must contain financial 58.31 justification for the proposedlevyincrease, the terms and 58.32 conditions of the proposed lease, and a description of the space 58.33 to be leased and its proposed use. 58.34 (b) The criteria for approval of applications to levy under 58.35 this subdivision must include: the reasonableness of the price, 58.36 the appropriateness of the space to the proposed activity, the 59.1 feasibility of transporting pupils to the leased building or 59.2 land, conformity of the lease to the laws and rules of the state 59.3 of Minnesota, and the appropriateness of the proposed lease to 59.4 the space needs and the financial condition of the district. 59.5 The commissioner must not authorizea levyrevenue under this 59.6 subdivision in an amount greater than the cost to the district 59.7 of renting or leasing a building or land for approved purposes. 59.8 The proceeds of this levy must not be used for custodial or 59.9 other maintenance services. A district may notlevyreceive 59.10 revenue under this subdivision for the purpose of leasing or 59.11 renting a district-owned building or site to itself. 59.12 (c) For agreements finalized after July 1, 1997, a district 59.13 may notlevyreceive revenue under this subdivision for the 59.14 purpose of leasing: (1) a newly constructed building used 59.15 primarily for regular kindergarten, elementary, or secondary 59.16 instruction; or (2) a newly constructed building addition or 59.17 additions used primarily for regular kindergarten, elementary, 59.18 or secondary instruction that contains more than 20 percent of 59.19 the square footage of the previously existing building. 59.20 (d) Notwithstanding paragraph (b), a district may levy 59.21 under this subdivision for the purpose of leasing or renting a 59.22 district-owned building or site to itself only if the amount is 59.23 needed by the district to make payments required by a lease 59.24 purchase agreement, installment purchase agreement, or other 59.25 deferred payments agreement authorized by law, and the levy 59.26 meets the requirements of paragraph (c). A levy authorized for 59.27 a district by the commissioner under this paragraph may be in 59.28 the amount needed by the district to make payments required by a 59.29 lease purchase agreement, installment purchase agreement, or 59.30 other deferred payments agreement authorized by law, provided 59.31 that any agreement include a provision giving the school 59.32 districts the right to terminate the agreement annually without 59.33 penalty. 59.34 (e) The totallevyrevenue under this subdivision for a 59.35 district for any year must not exceed $100 times the resident 59.36 pupil units for the fiscal year to which the levy is 60.1 attributable. 60.2(e)(f) For agreements for which a review and comment have 60.3 been submitted to the department of children, families, and 60.4 learning after April 1, 1998, the term "instructional purpose" 60.5 as used in this subdivision excludes expenditures on stadiums. 60.6 (g) For purposes of this subdivision, any reference to 60.7 building or land includes personal property. 60.8 (h) The commissioner of children, families, and learning 60.9 may authorize a school district to exceed the limit in paragraph 60.10 (e) if the school district petitions the commissioner for 60.11 approval. The commissioner shall grant approval to a school 60.12 district to exceed the limit in paragraph (e) for not more than 60.13 five years if the district meets the following criteria: 60.14 (1) the school district has been experiencing pupil 60.15 enrollment growth in the preceding five years; 60.16 (2) the purpose of the increased levy is in the long-term 60.17 public interest; 60.18 (3) the purpose of the increased levy promotes colocation 60.19 of government services; and 60.20 (4) the purpose of the increased levy is in the long-term 60.21 interest of the district by avoiding over construction of school 60.22 facilities. 60.23 EFFECTIVE DATE: This section is effective for revenue for 60.24 fiscal year 2002 and thereafter. 60.25 Sec. 15. Minnesota Statutes 1998, section 126C.40, 60.26 subdivision 2, is amended to read: 60.27 Subd. 2. [PRE-JULY 1990 LEASE PURCHASE, INSTALLMENT BUYS.] 60.28 A district mayannually levyincrease the amount of its 60.29 equalized facilities revenue needed to make payments required by 60.30 a lease purchase agreement, installment purchase agreement, or 60.31 other deferred payment agreement authorized by Minnesota 60.32 Statutes 1989 Supplement, section 465.71, if: 60.33 (1) the agreement was approved by the commissioner before 60.34 July 1, 1990, according to Minnesota Statutes 1989 Supplement, 60.35 section 275.125, subdivision 11d; or 60.36 (2) the district levied in 1989 for the payments. 61.1 EFFECTIVE DATE: This section is effective for revenue for 61.2 fiscal year 2002 and thereafter. 61.3 Sec. 16. Minnesota Statutes 1998, section 126C.40, 61.4 subdivision 3, is amended to read: 61.5 Subd. 3. [COOPERATING DISTRICTS.] A district that has an 61.6 agreement according to section 123A.30 or 123A.32 maylevy61.7 increase its equalized facilities revenue under section 123B.53, 61.8 subdivision 5, for the repair costs, as approved by the 61.9 department of a building located in another district that is a 61.10 party to the agreement. 61.11 EFFECTIVE DATE: This section is effective for revenue for 61.12 fiscal year 2002 and thereafter. 61.13 Sec. 17. Minnesota Statutes 1999 Supplement, section 61.14 126C.40, subdivision 6, is amended to read: 61.15 Subd. 6. [LEASE PURCHASE; INSTALLMENT BUYS.] (a) Upon 61.16 application to, and approval by, the commissioner in accordance 61.17 with the procedures and limits in subdivision 1, paragraphs (a) 61.18 and (b), a district, as defined in this subdivision, may: 61.19 (1) purchase real or personal property under an installment 61.20 contract or may lease real or personal property with an option 61.21 to purchase under a lease purchase agreement, by which 61.22 installment contract or lease purchase agreement title is kept 61.23 by the seller or vendor or assigned to a third party as security 61.24 for the purchase price, including interest, if any; and 61.25 (2) annuallylevyincrease its equalized facilities revenue 61.26 under section 123B.53, subdivision 5, by the amounts necessary 61.27 to pay the district's obligations under the installment contract 61.28 or lease purchase agreement. 61.29 (b) The obligation created by the installment contract or 61.30 the lease purchase agreement must not be included in the 61.31 calculation of net debt for purposes of section 475.53, and does 61.32 not constitute debt under other law. An election is not 61.33 required in connection with the execution of the installment 61.34 contract or the lease purchase agreement. 61.35 (c) The proceeds of thelevyequalized facilities revenue 61.36 increase authorized by this subdivision must not be used to 62.1 acquire a facility to be primarily used for athletic or school 62.2 administration purposes. 62.3 (d) For the purposes of this subdivision, "district" means: 62.4 (1) a school district required to have a comprehensive plan 62.5 for the elimination of segregation whose plan has been 62.6 determined by the commissioner to be in compliance with 62.7 department of children, families, and learning rules relating to 62.8 equality of educational opportunity and school desegregation and 62.9 for a district qualifying for revenue under section 124D.86, 62.10 subdivision 3, clause (4), where the property subject to the 62.11 levy authority is determined by the commissioner to contribute 62.12 to implementation of the desegregation plan; or 62.13 (2) a school district that participates in a joint program 62.14 for interdistrict desegregation with a district defined in 62.15 clause (1) if the facility acquired under this subdivision is to 62.16 be primarily used for the joint program and the commissioner 62.17 determines that the joint programs are being undertaken to 62.18 implement the districts' desegregation plan. 62.19 (e) Notwithstanding subdivision 1, the prohibition against 62.20a levy bya districtto leasereceiving revenue for the purpose 62.21 of leasing orrentrenting a district-owned building to itself 62.22 does not apply toleviesrevenues otherwise authorized by this 62.23 subdivision. 62.24 (f) For the purposes of this subdivision, any references in 62.25 subdivision 1 to building or land shall include personal 62.26 property. 62.27 EFFECTIVE DATE: This section is effective for revenue for 62.28 fiscal year 2002 and thereafter. 62.29 Sec. 18. Minnesota Statutes 1998, section 126C.69, 62.30 subdivision 15, is amended to read: 62.31 Subd. 15. [BOND SALE LIMITATIONS.] A district having an 62.32 outstanding state loan must not issue and sell any bonds on the 62.33 public market, except to refund state loans, unless it agrees to 62.34 make the maximum effort debt service levy in each later year at 62.35 the higher rate provided in section 126C.63, subdivision 8, and 62.36 unless it schedules the maturities of the bonds according to 63.1 section 475.54, subdivision 2. A district that refunds bonds at 63.2 a lower interest rate may continue to make the maximum effort 63.3 debt service levy in each later year at the current rate 63.4 provided in section 126C.63, subdivision 8, if the district can 63.5 demonstrate to the commissioner's satisfaction that the 63.6 district's repayments of the state loan will not be reduced 63.7 below the previous year's level. The district must report each 63.8 sale to the commissioner. 63.9 After a district's capital loan has been outstanding for2063.10 30 years, the district must not issue bonds on the public market 63.11 except to refund the loan. 63.12 Sec. 19. Laws 1998, chapter 404, section 5, subdivision 63.13 11, as amended by Laws 1999, chapter 26, section 1, is amended 63.14 to read: 63.15 Subd. 11. McLeod West 63.16 School District No. 2887 500,000 63.17 For a grant to the McLeod West school 63.18 district No. 2887, todesign and63.19acquire land for a new grade 7 through63.2012remodel an educational facility. 63.21 EFFECTIVE DATE: This section is effective the day 63.22 following final enactment. 63.23 Sec. 20. Laws 1999, chapter 241, article 4, section 27, 63.24 subdivision 2, is amended to read: 63.25 Subd. 2. [HEALTH AND SAFETY AID.] For health and safety 63.26 aid according to Minnesota Statutes, section 123B.57, 63.27 subdivision 5: 63.28$14,528,000$14,015,000 ..... 2000 63.29$14,957,000$14,450,000 ..... 2001 63.30 The 2000 appropriation includes $1,415,000 for 1999 and 63.31$13,113,000$12,812,000 for 2000. 63.32 The 2001 appropriation includes$1,456,000$1,423,000 for 63.33 2000 and$13,501,000$13,365,000 for 2001. 63.34 Sec. 21. Laws 1999, chapter 241, article 4, section 27, 63.35 subdivision 3, is amended to read: 63.36 Subd. 3. [DEBT SERVICE AID.] For debt service aid 63.37 according to Minnesota Statutes, section 123B.53, subdivision 6: 63.38$33,165,000$33,141,000 ..... 2000 64.1$32,084,000$29,400,000 ..... 2001 64.2 The 2000 appropriation includes $3,842,000 for 1999 and 64.3$29,323,000$29,299,000 for 2000. 64.4 The 2001 appropriation includes$3,256,000$3,255,000 for 64.5 2000 and$28,828,000$25,841,000 for 2001. 64.6 Sec. 22. Laws 1999, chapter 241, article 4, section 27, 64.7 subdivision 4, is amended to read: 64.8 Subd. 4. [INTERACTIVE TELEVISION (ITV) AID.] For 64.9 interactive television (ITV) aid under Minnesota Statutes, 64.10 section 126C.40, subdivision 4: 64.11$4,197,000$4,194,000 ..... 2000 64.12$2,851,000$2,761,000 ..... 2001 64.13 The 2000 appropriation includes $405,000 for 1999 and 64.14$3,792,000$3,784,000 for 2000. 64.15 The 2001 appropriation includes $421,000 for 2000 and 64.16$2,430,000$2,338,000 for 2001. 64.17 Sec. 23. Laws 1999, chapter 241, article 4, section 27, 64.18 subdivision 5, is amended to read: 64.19 Subd. 5. [ALTERNATIVE FACILITIES BONDING AID.] For 64.20 alternative facilities bonding aid, according to Minnesota 64.21 Statutes, section 123B.59: 64.22$19,058,000$18,920,000 ..... 2000 64.23$19,286,000$19,134,000 ..... 2001 64.24 The 2000 appropriation includes $1,700,000 for 2000 and 64.25$17,358,000$17,220,000 for 2001. 64.26 The 2001 appropriation includes$1,928,000$1,914,000 for 64.27 2000 and$17,358,000$17,288,000 for 2001. 64.28 Sec. 24. [ONE-TIME FACILITIES AID.] 64.29 (a) For fiscal year 2001 only, a district's one-time 64.30 facilities aid is equal to: 64.31 (1) $11.50 times the adjusted marginal cost pupil units for 64.32 the school year; plus 64.33 (2) $25 times the adjusted marginal cost pupil units for 64.34 the school year for a district that does not qualify for 64.35 alternative facilities bonding under Minnesota Statutes, section 64.36 123B.59, or under Laws 1999, chapter 241, article 4, section 25. 65.1 (b) Aid received under this section must be used for 65.2 deferred maintenance, to make accessibility improvements, or to 65.3 make fire, safety, or health repairs. 65.4 Sec. 25. [PROJECT QUALIFICATION; TRITON.] 65.5 Subdivision 1. [ELIGIBILITY.] Notwithstanding Minnesota 65.6 Statutes, section 123B.57, independent school district No. 2125, 65.7 Triton, may include all unreimbursed costs associated with the 65.8 testing, evaluation, removal, and replacement of building 65.9 fixtures and equipment necessitated by the discovery of mold in 65.10 a school building in its health and safety plan not to exceed 65.11 $400,000. 65.12 Subd. 2. [COST RECOVERY.] Independent school district No. 65.13 2125, Triton, must pursue all reasonable options to recover 65.14 expenses resulting from the mold from its insurance company, the 65.15 subcontractors, and any other parties responsible for the damage 65.16 caused by the mold. 65.17 EFFECTIVE DATE: This section is effective the day 65.18 following final enactment. 65.19 Sec. 26. [MAXIMUM EFFORT CAPITAL LOANS.] 65.20 Subdivision 1. [INDEPENDENT SCHOOL DISTRICT NO. 38, RED 65.21 LAKE.] $11,166,000 is appropriated to the commissioner of 65.22 children, families, and learning to make a capital loan to 65.23 independent school district No. 38, Red Lake. $11,166,296 is 65.24 approved for a capital loan to independent school district No. 65.25 38, Red Lake. 65.26 Subd. 2. [INDEPENDENT SCHOOL DISTRICT NO. 115, CASS 65.27 LAKE.] $7,505,000 is appropriated to the commissioner of 65.28 children, families, and learning to make a capital loan to 65.29 independent school district No. 115, Cass Lake. $7,505,000 is 65.30 approved for a capital loan to independent school district No. 65.31 115, Cass Lake. 65.32 Subd. 3. [INDEPENDENT SCHOOL DISTRICT NO. 299, 65.33 CALEDONIA.] $14,134,000 is appropriated to the commissioner of 65.34 children, families, and learning to make a capital loan to 65.35 independent school district No. 299, Caledonia. $14,133,788 is 65.36 approved for a capital loan to independent school district No. 66.1 299, Caledonia. 66.2 Subd. 4. [INDEPENDENT SCHOOL DISTRICT NO. 306, 66.3 LAPORTE.] $7,200,000 is appropriated to the commissioner of 66.4 children, families, and learning to make a capital loan to 66.5 independent school district No. 306, LaPorte. $7,200,000 is 66.6 approved for a capital loan to independent school district No. 66.7 306, LaPorte. 66.8 Subd. 5. [INDEPENDENT SCHOOL DISTRICT NO. 914, 66.9 ULEN-HITTERDAHL.] $4,025,000 is appropriated to the commissioner 66.10 of children, families, and learning to make a capital loan to 66.11 independent school district No. 914, Ulen-Hitterdahl. 66.12 $4,025,000 is approved for a capital loan to independent school 66.13 district No. 914, Ulen-Hitterdahl. 66.14 EFFECTIVE DATE: This section is effective the day 66.15 following final enactment. 66.16 Sec. 27. [COMMISSIONER RECOMMENDATION.] 66.17 By February 1, 2003, the commissioner of children, 66.18 families, and learning, in cooperation with the commissioner of 66.19 administration and the Minnesota education telecommunication 66.20 council, shall recommend to the legislature a permanent method 66.21 for funding telecommunications access as part of the general 66.22 education revenue formula under Minnesota Statutes, section 66.23 126C.10. The commissioner shall consider the following in 66.24 making the recommendation: 66.25 (1) the range of costs for providing a minimum level of 66.26 telecommunications access for all students; 66.27 (2) the flexibility that is necessary to accommodate 66.28 emerging technological advances in the telecommunications field; 66.29 and 66.30 (3) other related efforts within the state, including the 66.31 state's higher education and public library systems. 66.32 Sec. 28. [REVISOR'S INSTRUCTION.] 66.33 In subsequent editions of Minnesota Statutes, the revisor 66.34 of statutes shall change the headnote on section 123B.63 to 66.35 "BUILDING CONSTRUCTION AND LEASE PROGRAM." 66.36 Sec. 29. [FACILITY CONSOLIDATION IMPACT REVENUE.] 67.1 For fiscal year 2002 only, a school district that, as a 67.2 result of the consolidation of facility levies in this act, 67.3 experiences an increase in overall district levy, shall receive 67.4 an amount of aid equal to the amount of increased levy. The 67.5 property tax levy for taxes payable in 2001 shall be reduced by 67.6 the amount of the state aid. 67.7 Sec. 30. [APPROPRIATIONS.] 67.8 Subdivision 1. [DEPARTMENT OF CHILDREN, FAMILIES, AND 67.9 LEARNING.] The sums indicated in this section are appropriated 67.10 from the general fund to the department of children, families, 67.11 and learning for fiscal years designated. 67.12 Subd. 2. [TELECOMMUNICATION ACCESS REVENUE.] For 67.13 telecommunication access cost revenue under Minnesota Statutes, 67.14 section 125B.25: 67.15 $26,230,000 ..... 2001 67.16 Subd. 3. [INTEREST ON FLOOD LOANS.] For interest paid on 67.17 flood loans: 67.18 $ 970,000 ..... 2000 67.19 Of this amount, $761,000 is for independent school district 67.20 No. 595, East Grand Forks, and $209,000 is for independent 67.21 school district No. 2854, Ada-Borup. 67.22 This appropriation is available until June 30, 2001. 67.23 Subd. 4. [ONE-TIME FACILITIES AID.] For one-time 67.24 facilities aid: 67.25 $26,701,000 ..... 2001 67.26 Subd. 5. [SCHOOL FACILITIES GRANTS.] For grants to 67.27 construct school facilities: 67.28 $ 7,100,000 ..... 2000 67.29 Of this amount: 67.30 (a) $4,100,000 is for a grant to independent school 67.31 district No. 25, Pine Point, for the construction of a new 67.32 school facility serving kindergarten through grade 8. 67.33 (b) $3,000,000 is for a grant to independent school 67.34 district No. 495, Grand Meadow, to construct a new school using 67.35 monolithic dome construction techniques. The commissioner shall 67.36 award the grant to demonstrate that a school constructed using 68.1 monolithic dome construction techniques can provide operating 68.2 and construction savings for school districts throughout the 68.3 state. Grand Meadow school district must agree to provide the 68.4 state with information and data about this construction method 68.5 and with an analysis of a monolithic dome as a suitable 68.6 educational environment. 68.7 Subd. 6. [MAXIMUM EFFORT CAPITAL LOANS.] For capital loans 68.8 to school districts as provided in Minnesota Statutes, sections 68.9 126C.60 to 126C.72: 68.10 $44,031,000 ..... 2001 68.11 The commissioner shall review the proposed plan and budget 68.12 of the project and may reduce the amount of the loan to ensure 68.13 that the project will be economical. The commissioner may 68.14 recover the cost incurred by the commissioner for any 68.15 professional services associated with the final review and 68.16 construction by reducing the proceeds of the loan paid by the 68.17 district. The commissioner shall report to the legislature any 68.18 reductions to the above appropriations by January 10, 2001. 68.19 Notwithstanding any contrary provision of Minnesota Statutes, 68.20 sections 126C.60 to 126C.72, the repayments for the capital 68.21 loans approved in section 28 shall be made to the state general 68.22 fund and shall not be transferred to the school loan bond 68.23 account. The capital loan contract shall not contain 68.24 restrictions on investment of the loan funds by the school 68.25 district that would otherwise be required if the loans were 68.26 funded from state bond proceeds. 68.27 Subd. 7. [ERITREAN COMMUNITY CENTER OF MINNESOTA.] For a 68.28 building lease start-up grant for an Eritrean community center 68.29 of Minnesota: 68.30 $ 150,000 ..... 2001 68.31 The commissioner shall consult with the commissioner of 68.32 administration on the availability of state-owned building space 68.33 for the community center. 68.34 Subd. 8. [FACILITIES CONSOLIDATION IMPACT REVENUE.] For 68.35 facilities consolidation impact revenue: 68.36 $2,155,000 ..... 2001 69.1 ARTICLE 5 69.2 EDUCATION EXCELLENCE AND OTHER POLICY 69.3 Section 1. Minnesota Statutes 1998, section 120B.13, 69.4 subdivision 4, is amended to read: 69.5 Subd. 4. [INFORMATION.] The commissioner shall submit the 69.6 following information to the education committees of the 69.7 legislature each year byJanuaryFebruary 1: 69.8 (1) the number of pupils enrolled in advanced placement and 69.9 international baccalaureate courses in each school district; 69.10 (2) the number of teachers in each district attending 69.11 training programs offered by the college board or International 69.12 Baccalaureate North America, Inc.; 69.13 (3) the number of teachers in each district participating 69.14 in support programs; 69.15 (4) recent trends in the field of advanced placement and 69.16 international baccalaureate programs; 69.17 (5) expenditures for each category in this section; and 69.18 (6) other recommendations for the state program. 69.19 Sec. 2. Minnesota Statutes 1999 Supplement, section 69.20 120B.30, subdivision 1, is amended to read: 69.21 Subdivision 1. [STATEWIDE TESTING.] (a) The commissioner, 69.22 with advice from experts with appropriate technical 69.23 qualifications and experience and stakeholders, shall include in 69.24 the comprehensive assessment system, for each grade level to be 69.25 tested, a single statewide norm-referenced or 69.26 criterion-referenced test, or a combination of a norm-referenced 69.27 and a criterion-referenced test, which shall be highly 69.28 correlated with the state's graduation standards and 69.29 administered annually to all students in the third, fifth, and 69.30 eighth grades. The commissioner shall establish one or more 69.31 months during which schools shall administer the tests to 69.32 students each school year. Only Minnesota basic skills tests in 69.33 reading, mathematics, and writing shall fulfill students' 69.34 testing requirements for a passing state notation. The passing 69.35 scores of the state tests in reading and mathematics are the 69.36 equivalent of: 70.1 (1) 70 percent correct for students entering grade 9 in 70.2 1996; and 70.3 (2) 75 percent correct for students entering grade 9 in 70.4 1997 and thereafter, as based on the first uniform test 70.5 administration of February 1998. 70.6 (b) In addition, at the secondary level, districts shall 70.7 assess student performance in all required learning areas and 70.8 selected required standards within each area of the profile of 70.9 learning. The testing instruments and testing process shall be 70.10 determined by the commissioner. The results shall be aggregated 70.11 at the site and district level. The testing shall be 70.12 administered beginning in the 1999-2000 school year and 70.13 thereafter. 70.14 (c) The comprehensive assessment system shall include an 70.15 evaluation of school site and school district performance levels 70.16 during the 1997-1998 school year and thereafter using an 70.17 established performance baseline developed from students' test 70.18 scores under this section that records, at a minimum, students' 70.19 unweighted mean test scores in each tested subject, a second 70.20 performance baseline that reports, at a minimum, the same 70.21 unweighted mean test scores of only those students enrolled in 70.22 the school by January 1 of the previous school year, and a third 70.23 performance baseline that reports the same unweighted test 70.24 scores of all students except those students receiving limited 70.25 English proficiency instruction. The evaluation also shall 70.26 record separately, in proximity to the performance baselines, 70.27 the percentages of students who are eligible to receive a free 70.28 or reduced price school meal, demonstrate limited English 70.29 proficiency, or are eligible to receive special education 70.30 services. 70.31 (d) In addition to the testing and reporting requirements 70.32 under paragraphs (a), (b), and (c), the commissioner shall 70.33 include the following components in the statewide educational 70.34 accountability and public reporting system: 70.35 (1) uniform statewide testing of all third, fifth, eighth, 70.36 and post-eighth grade students with exemptions, only with parent 71.1 or guardian approval, from the testing requirement only for 71.2 those very few students for whom the student's individual 71.3 education plan team under sections 125A.05 and 125A.06, 71.4 determines that the student is incapable of taking a statewide 71.5 test, or a limited English proficiency student under section 71.6 124D.59, subdivision 2, if the student has been in the United 71.7 States for fewer than 12 months and for whom special language 71.8 barriers exist, such as the student's native language does not 71.9 have a written form or the district does not have access to 71.10 appropriate interpreter services for the student's native 71.11 language; 71.12 (2) educational indicators that can be aggregated and 71.13 compared across school districts and across time on a statewide 71.14 basis; 71.15 (3) students' scores on the American College Test; 71.16 (4) participation in the National Assessment of Educational 71.17 Progress so that the state can benchmark its performance against 71.18 the nation and other states, and, where possible, against other 71.19 countries, and contribute to the national effort to monitor 71.20 achievement; and 71.21 (5) basic skills and advanced competencies connecting 71.22 teaching and learning to high academic standards, assessment, 71.23 and transitions to citizenship and employment. 71.24 (e) Districts must report exemptions under paragraph (d), 71.25 clause (1), to the commissioner consistent with a format 71.26 provided by the commissioner. 71.27 EFFECTIVE DATE: This section is effective the day 71.28 following final enactment and applies to test administrations 71.29 beginning in February 2000. 71.30 Sec. 3. Minnesota Statutes 1998, section 121A.22, 71.31 subdivision 2, is amended to read: 71.32 Subd. 2. [EXCLUSIONS.] In addition, this section does not 71.33 apply to drugs or medicine: 71.34 (1)that can be purchased without a prescription;71.35(2)that are used by a pupil who is 18 years old or older; 71.36(3)(2) that are used in connection with services for which 72.1 a minor may give effective consent, including section 144.343, 72.2 subdivision 1, and any other law; 72.3(4)(3) that are used in situations in which, in the 72.4 judgment of the school personnel who are present or available, 72.5 the risk to the pupil's life or health is of such a nature that 72.6 drugs or medicine should be given without delay; 72.7(5)(4) that are used off the school grounds; 72.8(6)(5) that are used in connection with athletics or extra 72.9 curricular activities; 72.10(7)(6) that are used in connection with activities that 72.11 occur before or after the regular school day; or 72.12(8)(7) that are provided or administered by a public 72.13 health agency in order to prevent or control an illness or a 72.14 disease outbreak as provided for in sections 144.05 and 144.12. 72.15 Sec. 4. Minnesota Statutes 1998, section 121A.22, 72.16 subdivision 3, is amended to read: 72.17 Subd. 3. [LABELING.] Prescription drugs or medicine 72.18 subject to this section must be in a container with a label 72.19 prepared by a pharmacist according to section 151.212 and 72.20 applicable rules. Nonprescription drugs or medicines must be in 72.21 the original container with a label containing use instructions. 72.22 Sec. 5. [121A.582] [STUDENT DISCIPLINE; REASONABLE FORCE.] 72.23 Subdivision 1. [REASONABLE FORCE STANDARD.] (a) A teacher, 72.24 in exercising the person's lawful authority, may use reasonable 72.25 force when it is necessary under the circumstances to correct or 72.26 restrain a student or prevent bodily harm or death to another. 72.27 (b) A school employee, school bus driver, or other agent of 72.28 a district, in exercising the person's lawful authority, may use 72.29 reasonable force when it is necessary under the circumstances to 72.30 restrain a student or prevent bodily harm or death to another. 72.31 (c) Paragraphs (a) and (b) do not authorize conduct 72.32 prohibited under sections 121A.58 and 121A.67. 72.33 Subd. 2. [CIVIL LIABILITY.] (a) A teacher who, in the 72.34 exercise of the person's lawful authority, uses reasonable force 72.35 under the standard in subdivision 1, paragraph (a), has a 72.36 defense against a civil action for damages under section 123B.25. 73.1 (b) A school employee, bus driver, or other agent of a 73.2 district who, in the exercise of the person's lawful authority, 73.3 uses reasonable force under the standard in subdivision 1, 73.4 paragraph (b), has a defense against a civil action for damages 73.5 under section 123B.25. 73.6 Subd. 3. [CRIMINAL PROSECUTION.] (a) A teacher who, in the 73.7 exercise of the person's lawful authority, uses reasonable force 73.8 under the standard in subdivision 1, paragraph (a), has a 73.9 defense against a criminal prosecution under section 609.06, 73.10 subdivision 1. 73.11 (b) A school employee, bus driver, or other agent of a 73.12 district who, in the exercise of the person's lawful authority, 73.13 uses reasonable force under the standard in subdivision 1, 73.14 paragraph (b), has a defense against a criminal prosecution 73.15 under section 609.06, subdivision 1. 73.16 Subd. 4. [SUPPLEMENTARY RIGHTS AND DEFENSES.] Any right or 73.17 defense in this section is supplementary to those specified in 73.18 section 121A.58, 121A.67, 123B.25, or 609.06, subdivision 1. 73.19 EFFECTIVE DATE: This section is effective for the 73.20 2000-2001 school year and later. 73.21 Sec. 6. Minnesota Statutes 1998, section 121A.61, 73.22 subdivision 3, is amended to read: 73.23 Subd. 3. [POLICY COMPONENTS.] The policy must include at 73.24 least the following components: 73.25 (a) rules governing student conduct and procedures for 73.26 informing students of the rules; 73.27 (b) the grounds for removal of a student from a class; 73.28 (c) the authority of the classroom teacher to remove 73.29 students from the classroom pursuant to procedures and rules 73.30 established in the district's policy; 73.31 (d) the procedures for removal of a student from a class by 73.32 a teacher, school administrator, or other school district 73.33 employee; 73.34 (e) the period of time for which a student may be removed 73.35 from a class, which may not exceed five class periods for a 73.36 violation of a rule of conduct; 74.1 (f) provisions relating to the responsibility for and 74.2 custody of a student removed from a class; 74.3 (g) the procedures for return of a student to the specified 74.4 class from which the student has been removed; 74.5 (h) the procedures for notifying a student and the 74.6 student's parents or guardian of violations of the rules of 74.7 conduct and of resulting disciplinary actions; 74.8 (i) any procedures determined appropriate for encouraging 74.9 early involvement of parents or guardians in attempts to improve 74.10 a student's behavior; 74.11 (j) any procedures determined appropriate for encouraging 74.12 early detection of behavioral problems; 74.13 (k) any procedures determined appropriate for referring a 74.14 student in need of special education services to those services; 74.15 (1) the procedures for consideration of whether there is a 74.16 need for a further assessment or of whether there is a need for 74.17 a review of the adequacy of a current individual education plan 74.18 of a student with a disability who is removed from class; 74.19 (m) procedures for detecting and addressing chemical abuse 74.20 problems of a student while on the school premises; 74.21 (n) the minimum consequences for violations of the code of 74.22 conduct;and74.23 (o) procedures for immediate and appropriate interventions 74.24 tied to violations of the code; and 74.25 (p) a provision that states that a teacher, school 74.26 employee, school bus driver, or other agent of the school 74.27 district may use reasonable force in compliance with section 74.28 121A.582 and other laws. 74.29 EFFECTIVE DATE: The section is effective for the 2001-2002 74.30 school year and later. 74.31 Sec. 7. Minnesota Statutes 1999 Supplement, section 74.32 122A.18, subdivision 3, is amended to read: 74.33 Subd. 3. [SUPERVISORY AND COACH QUALIFICATIONS; CODE OF 74.34 ETHICS.] (a) The commissioner of children, families, and 74.35 learning must issue licenses under its jurisdiction to persons 74.36 the commissioner finds to be qualified and competent for their 75.1 respective positions under the rules it adopts. The 75.2 commissioner of children, families, and learning may develop, by 75.3 rule, a code of ethics for supervisory personnel covering 75.4 standards of professional practices, including areas of ethical 75.5 conduct and professional performance and methods of enforcement. 75.6 (b) Notwithstanding Minnesota Rules, part 3512.2500, the 75.7 commissioner of children, families, and learning may approve a 75.8 licensure program offered by an entity other than a college or 75.9 university in administration and supervision, if the program 75.10 meets the requirements for approval and continuation that apply 75.11 to colleges and universities. 75.12 Sec. 8. Minnesota Statutes 1999 Supplement, section 75.13 122A.23, is amended to read: 75.14 122A.23 [APPLICANTS TRAINED IN OTHER STATES.] 75.15 Subdivision 1. [PREPARATION EQUIVALENCY.] When a license 75.16 to teach is authorized to be issued to any holder of a diploma 75.17 or a degree of a Minnesota state university, or of the 75.18 University of Minnesota, or of a liberal arts university, or a 75.19 technical training institution, such license may also, in the 75.20 discretion of the board of teaching or the commissioner of 75.21 children, families, and learning, whichever has jurisdiction, be 75.22 issued to any holder of a diploma or a degree of a teacher 75.23 training institution of equivalent rank and standing of any 75.24 other state. The diploma or degree must be granted by virtue of 75.25 the completion of a course in teacher preparation essentially 75.26 equivalent in content to that required by such Minnesota state 75.27 university or the University of Minnesota or a liberal arts 75.28 university in Minnesota or a technical training institution as 75.29 preliminary to the granting of a diploma or a degree of the same 75.30 rank and class. 75.31 Subd. 2. [APPLICANTS LICENSED IN OTHER STATES.] (a) If an 75.32 applicant for a Minnesota teaching license holds at least a 75.33 baccalaureate degree from a regionally accredited college or 75.34 university, and holds or has held a similar teaching license in 75.35 another state, and the license was issued based on successful 75.36 completion of teacher preparation program approved by the 76.1 issuing state, including field-specific methods of teaching and 76.2 student teaching or essentially equivalent experience, then the 76.3 board of teaching shall issue the license using the criteria in 76.4 paragraphs (b) to (e). 76.5 (b) If the applicant has successfully completed all 76.6 examinations and human relations preparation components required 76.7 by the board of teaching and holds or has held a license in 76.8 another state to teach the same content field and grade levels 76.9 equal to, greater than, or not more than one year less than a 76.10 similar license available in Minnesota, then the board shall 76.11 issue a license identical to the license it would issue to an 76.12 applicant who has successfully completed those requirements in a 76.13 Minnesota teacher preparation program. 76.14 (c) If the applicant holds or has held a teaching license 76.15 issued by another state to teach the same content field and 76.16 grade levels equal to, greater than, or not more than one year 76.17 less than a similar license available in Minnesota, but has not 76.18 successfully completed all examinations and human relations 76.19 preparation components required by the board of teaching, then 76.20 the board shall issue a temporary license according to board 76.21 rules to provide the applicant time to complete required 76.22 examination and human relations components. 76.23 (d) If the applicant has successfully completed all 76.24 examinations and human relations preparation components required 76.25 by the board of teaching and holds a license issued by another 76.26 state based on successful completion of a teacher preparation 76.27 program approved by the issuing state but has not completed 76.28 student teaching or equivalent experience, field-specific 76.29 methods of teaching, or both, then the board shall issue a 76.30 temporary license according to board rules to provide the 76.31 applicant time to complete student teaching or equivalent 76.32 experience, field-specific methods of teaching, or both. An 76.33 applicant may fulfill the student teaching or equivalent 76.34 experience requirement, field-specific methods of teaching 76.35 requirement, or both, by successfully completing a year in a 76.36 school district mentorship program consistent with the standards 77.1 of effective practice adopted by the board of teaching and the 77.2 Minnesota graduation requirements. 77.3 (e) If the applicant has successfully completed all 77.4 examinations and human relations preparation components required 77.5 by the board of teaching and holds or has held a license issued 77.6 by another state, but the license is more limited in the content 77.7 field, grade levels, or both, than a similar Minnesota license, 77.8 then the applicant shall be issued a temporary license valid for 77.9 up to three years for only the content field, grade levels, or 77.10 both, for which the applicant was licensed in the other state, 77.11 to provide time for the applicant to meet full Minnesota 77.12 licensure requirements in the field. 77.13 (f) No applicant shall be issued any temporary license or 77.14 combination of temporary licenses under paragraphs (c) to (e) 77.15 for a period of time exceeding three years. 77.16 (g) No license shall be issued under this subdivision when 77.17 the licensure field requires additional degrees, credentials, or 77.18 licenses that the candidate has not achieved. 77.19 Sec. 9. Minnesota Statutes 1998, section 122A.25, is 77.20 amended by adding a subdivision to read: 77.21 Subd. 2a. [INDIVIDUAL PREAPPROVAL.] (a) An individual not 77.22 licensed by the board of teaching that holds certification, 77.23 credentials, or professional recognition as an expert in a 77.24 specialized method of instruction not typically offered in the 77.25 school program may apply to the board of teaching to be granted 77.26 preapproval as a community expert eligible to teach in a public 77.27 school or charter school under this section. In making its 77.28 determination, the board shall consider only the criteria of 77.29 subdivision 2, clause (1). 77.30 (b) A preapproved community expert under this subdivision 77.31 may be hired to teach by a school district or charter school 77.32 only if the school district or charter school applies under 77.33 subdivision 2 and the board of teaching approves the application 77.34 after considering the criteria of subdivision 2, clauses (2) to 77.35 (7). 77.36 Sec. 10. Minnesota Statutes 1998, section 122A.25, is 78.1 amended by adding a subdivision to read: 78.2 Subd. 2b. [BACKGROUND CHECK.] The school district or 78.3 charter school shall request a criminal history background check 78.4 under section 123B.03 on a hired nonlicensed community expert 78.5 and verify the completion of the criminal history background 78.6 check to the board of teaching. 78.7 Sec. 11. Minnesota Statutes 1998, section 122A.25, is 78.8 amended by adding a subdivision to read: 78.9 Subd. 2c. [EXCEPTION.] A current or former faculty member 78.10 in a board of teaching approved teacher preparation program 78.11 shall be automatically approved as a nonlicensed community 78.12 expert to teach courses in or otherwise serve a school district 78.13 or charter school in the individual's field of expertise upon a 78.14 district or charter school's registering the intention to employ 78.15 that current or former faculty member under this subdivision. 78.16 Sec. 12. Minnesota Statutes 1998, section 122A.25, 78.17 subdivision 3, is amended to read: 78.18 Subd. 3. [APPROVAL OF PLAN.] The board of teaching shall 78.19 approve or disapprove an application within 60 days of receiving 78.20 it from a school districtor, charter school, or individual. 78.21 Sec. 13. Minnesota Statutes 1998, section 123B.04, 78.22 subdivision 2, is amended to read: 78.23 Subd. 2. [AGREEMENT.] (a) Either the school board or the 78.24 school site decision-making team may request that the school 78.25 board enter into an agreement with a school site decision-making 78.26 team concerning the governance, management, or control of the 78.27 school. A school site decision-making team may include the 78.28 school principal, teachers in the school or their designee, 78.29 other employees in the school, parents of pupils in the school, 78.30 representatives of pupils in the school, or other members in the 78.31 community. The school site decision-making team shall include 78.32 the school principal or other person having general control and 78.33 supervision of the school. The site decision-making team must 78.34 reflect the diversity of the education site. No more than 78.35 one-half of the members shall be employees of the district, 78.36 unless an employee is the parent of a student enrolled in the 79.1 school site, in which case the employee may elect to serve as a 79.2 parent member of the site team. 79.3 (b) School site decision-making agreements must delegate 79.4 powers, duties, and broad management responsibilities to site 79.5 teams and involve staff members, students as appropriate, and 79.6 parents in decision making. 79.7 (c) An agreement shall include a statement of powers, 79.8 duties, responsibilities, and authority to be delegated to and 79.9 within the site. 79.10 (d) An agreement may include: 79.11 (1) an achievement contract according to subdivision 4; 79.12 (2) a mechanism to allow principals, or other persons 79.13 having general control and supervision of the school, to make 79.14 decisions regarding how financial and personnel resources are 79.15 best allocated at the site and from whom goods or services are 79.16 purchased; 79.17 (3) a mechanism to implement parental involvement programs 79.18 under section 124D.895 and to provide for effective parental 79.19 communication and feedback on this involvement at the site 79.20 level; 79.21 (4) a provision that would allow the team to determine who 79.22 is hired into licensed and nonlicensed positions; 79.23 (5) a provision that would allow teachers to choose the 79.24 principal or other person having general control; 79.25 (6) an amount of revenue allocated to the site under 79.26 subdivision 3; and 79.27 (7) any other powers and duties determined appropriate by 79.28 the board. 79.29 The school board of the district remains the legal employer 79.30 under clauses (4) and (5). 79.31 (e) Any powers or duties not delegated to the school site 79.32 management team in the school site management agreement shall 79.33 remain with the school board. 79.34 (f) Approved agreements shall be filed with the 79.35 commissioner. If a school board denies a request to enter into 79.36 a school site management agreement, it shall provide a copy of 80.1 the request and the reasons for its denial to the commissioner. 80.2 EFFECTIVE DATE: This section is effective July 1, 2000. 80.3 Sec. 14. Minnesota Statutes 1998, section 123B.143, 80.4 subdivision 1, is amended to read: 80.5 Subdivision 1. [CONTRACT; DUTIES.] All districts 80.6 maintaining a classified secondary school must employ a 80.7 superintendent who shall be an ex officio nonvoting member of 80.8 the school board. The authority for selection and employment of 80.9 a superintendent must be vested in the board in all cases. An 80.10 individual employed by a board as a superintendent shall have an 80.11 initial employment contract for a period of time no longer than 80.12 three years from the date of employment. Any subsequent 80.13 employment contract must not exceed a period of three years. A 80.14 board, at its discretion, may or may not renew an employment 80.15 contract. A board must not, by action or inaction, extend the 80.16 duration of an existing employment contract. Beginning 365 days 80.17 prior to the expiration date of an existing employment contract, 80.18 a board may negotiate and enter into a subsequent employment 80.19 contract to take effect upon the expiration of the existing 80.20 contract. A subsequent contract must be contingent upon the 80.21 employee completing the terms of an existing contract. If a 80.22 contract between a board and a superintendent is terminated 80.23 prior to the date specified in the contract, the board may not 80.24 enter into another superintendent contract with that same 80.25 individual that has a term that extends beyond the date 80.26 specified in the terminated contract. A board may terminate a 80.27 superintendent during the term of an employment contract for any 80.28 of the grounds specified in section 122A.40, subdivision 9 or 13. 80.29 A superintendent shall not rely upon an employment contract with 80.30 a board to assert any other continuing contract rights in the 80.31 position of superintendent under section 122A.40. 80.32 Notwithstanding the provisions of sections 122A.40, subdivision 80.33 10 or 11, 123A.32, 123A.75, or any other law to the contrary, no 80.34 individual shall have a right to employment as a superintendent 80.35 based on order of employment in any district. If two or more 80.36 districts enter into an agreement for the purchase or sharing of 81.1 the services of a superintendent, the contracting districts have 81.2 the absolute right to select one of the individuals employed to 81.3 serve as superintendent in one of the contracting districts and 81.4 no individual has a right to employment as the superintendent to 81.5 provide all or part of the services based on order of employment 81.6 in a contracting district. The superintendent of a district 81.7 shall perform the following: 81.8 (1) visit and supervise the schools in the district, report 81.9 and make recommendations about their condition when advisable or 81.10 on request by the board; 81.11 (2) recommend to the board employment and dismissal of 81.12 teachers; 81.13 (3) superintend school grading practices and examinations 81.14 for promotions; 81.15 (4) make reports required by the commissioner; 81.16 (5) by January 10, submit an annual report to the 81.17 commissioner in a manner prescribed by the commissioner, in 81.18 consultation with school districts, identifying the expenditures 81.19 that the district requires to ensure an 80 percent and a 90 81.20 percent student passage rate on the basic standards test taken 81.21 in the eighth grade, identifying the amount of expenditures that 81.22 the district requires to ensure a 99 percent student passage 81.23 rate on the basic standards test by 12th grade, and how much the 81.24 district is cross-subsidizing programs with special education, 81.25compensatorybasic skills, and general education revenue; and 81.26 (6) perform other duties prescribed by the board. 81.27 Sec. 15. Minnesota Statutes 1998, section 123B.52, is 81.28 amended by adding a subdivision to read: 81.29 Subd. 6. [DISPOSING OF SURPLUS SCHOOL 81.30 COMPUTERS.] Notwithstanding section 471.345 governing school 81.31 district contracts made upon sealed bid or otherwise complying 81.32 with the requirements for competitive bidding, other provisions 81.33 of this section governing school district contracts or other law 81.34 to the contrary, a school district under this subdivision may 81.35 dispose of a surplus school computer and related equipment if 81.36 the district disposes of the surplus property by conveying the 82.1 property and title to: 82.2 (1) another school district; 82.3 (2) the state department of corrections; 82.4 (3) the board of trustees of the Minnesota state colleges 82.5 and universities; or 82.6 (4) the family of a student residing in the district whose 82.7 total family income meets the federal definition of poverty. 82.8 EFFECTIVE DATE: This section is effective the day 82.9 following final enactment. 82.10 Sec. 16. Minnesota Statutes 1998, section 123B.77, 82.11 subdivision 3, is amended to read: 82.12 Subd. 3. [STATEMENT FOR COMPARISON AND CORRECTION.] By 82.13 November 30 of the calendar year of the submission of the 82.14 unaudited financial data, the district must provide to the 82.15 commissioner audited financial data for the preceding fiscal 82.16 year. The audit must be conducted in compliance with generally 82.17 accepted governmental auditing standards, the federal Single 82.18 Audit Act, and the Minnesota legal compliance guide issued by 82.19 the office of the state auditor. An audited financial statement 82.20 prepared in a form which will allow comparison with and 82.21 correction of material differences in the unaudited financial 82.22 data shall be submitted to the commissioner and the state 82.23 auditor by December 31. The audited financial statement must 82.24 also provide a statement of assurance pertaining to uniform 82.25 financial accounting and reporting standards compliance and a 82.26 copy of the management letter submitted to the district by the 82.27 school district's auditor. 82.28 Sec. 17. Minnesota Statutes 1998, section 123B.79, 82.29 subdivision 7, is amended to read: 82.30 Subd. 7. [ACCOUNT TRANSFER FOR CERTAIN SEVERANCE PAY.] A 82.31 district may maintain in adesignatedreserve for certain 82.32 severance pay account not more than 50 percent of the amount 82.33 necessary to meet the obligations for the portion of severance 82.34 pay that constitutes compensation for accumulated sick leave to 82.35 be used for payment of premiums for group insurance provided for 82.36 former employees by the district. The amount necessary must be 83.1 calculated according to standards established by theadvisory83.2council on uniform financial accounting and reporting83.3standardsdepartment. 83.4 Sec. 18. Minnesota Statutes 1999 Supplement, section 83.5 123B.83, subdivision 4, is amended to read: 83.6 Subd. 4. [SPECIAL OPERATING PLAN.] (1) If thenet negative83.7unappropriated operatingunreserved general fund balanceas83.8defined in section 126C.01, subdivision 11, calculated in 83.9 accordance with the uniform financial accounting and reporting 83.10 standards for Minnesota school districts, as of June 30 each 83.11 year, is more than 2-1/2 percent of the year's expenditure 83.12 amount, the district must, prior to January 31 of the next 83.13 fiscal year, submit a special operating plan to reduce the 83.14 district's deficit expenditures to the commissioner for 83.15 approval. The commissioner may also require the district to 83.16 provide evidence that the district meets and will continue to 83.17 meet all high school graduation requirements. 83.18 Notwithstanding any other law to the contrary, a district 83.19 submitting a special operating plan to the commissioner under 83.20 this clause which is disapproved by the commissioner must not 83.21 receive any aid pursuant to chapters 120B, 122A, 123A, 123B, 83.22 124D, 125A, 126C, and 127A until a special operating plan of the 83.23 district is so approved. 83.24 (2) A district must receive aids pending the approval of 83.25 its special operating plan under clause (1). A district which 83.26 complies with its approved operating plan must receive aids as 83.27 long as the district continues to comply with the approved 83.28 operating plan. 83.29 Sec. 19. Minnesota Statutes 1998, section 123B.86, 83.30 subdivision 1, is amended to read: 83.31 Subdivision 1. [GENERAL PROVISIONS.] A district shall 83.32 provide equal transportation within the district for all school 83.33 children to any school when transportation is deemed necessary 83.34 by the school board because of distance or traffic condition in 83.35 like manner and form as provided in sections 123B.88 and124.22383.36 123B.92, when applicable. 84.1 Sec. 20. Minnesota Statutes 1998, section 123B.88, 84.2 subdivision 3, is amended to read: 84.3 Subd. 3. [TRANSPORTATION SERVICES CONTRACTS.] The board 84.4 may contract for the furnishing of authorized transportation 84.5 underrules established by the commissionersection 123B.52, and 84.6 may purchase gasoline and furnish same to a contract carrier for 84.7 use in the performance of a contract with the school district 84.8 for transportation of school children to and from school. 84.9 Sec. 21. Minnesota Statutes 1998, section 123B.90, 84.10 subdivision 1, is amended to read: 84.11 Subdivision 1. [SCHOOL BUS SAFETY WEEK.] The third week of 84.12 school is designated as school bus safety week. 84.13A school board may designate one day of school bus safety84.14week as school bus driver day.84.15 EFFECTIVE DATE: This section is effective the day 84.16 following final enactment. 84.17 Sec. 22. Minnesota Statutes 1999 Supplement, section 84.18 123B.90, subdivision 2, is amended to read: 84.19 Subd. 2. [STUDENT TRAINING.] (a) Each district must 84.20 provide public school pupils enrolled in grades kindergarten 84.21 through 10 with age-appropriate school bus safety training. The 84.22 training must be results-oriented and shall consist of both 84.23 classroom instruction and practical training using a school 84.24 bus. Upon completing the training, a student shall be able to 84.25 demonstrate knowledge and understanding of at least the 84.26 following competencies and concepts: 84.27 (1) transportation by school bus is a privilege and not a 84.28 right; 84.29 (2) district policies for student conduct and school bus 84.30 safety; 84.31 (3) appropriate conduct while on the school bus; 84.32 (4) the danger zones surrounding a school bus; 84.33 (5) procedures for safely boarding and leaving a school 84.34 bus; 84.35 (6) procedures for safe street or road crossing; 84.36 (7) school bus evacuation and other emergency procedures; 85.1 and 85.2 (8) appropriate training on the use of lap belts or lap and 85.3 shoulder belts, if the district uses buses equipped with lap 85.4 belts or lap and shoulder belts. 85.5 (b) Each nonpublic school located within the district must 85.6 provide all nonpublic school pupils enrolled in grades 85.7 kindergarten through 10 who are transported by school bus at 85.8 public expense and attend school within the district's 85.9 boundaries with training as required in paragraph (a). The 85.10 school district shall make a bus available for the practical 85.11 training if the district transports the nonpublic students. 85.12 Each nonpublic school shall provide the instruction. 85.13 (c) All students enrolled in grades kindergarten through 3 85.14 who are transported by school bus and are enrolled during the 85.15 first or second week of school must demonstrate achievement of 85.16 the school bus safety training competencies by the end of the 85.17 third week of school. All students enrolled in grades 4 through 85.18 10 who are transported by school bus and are enrolled during the 85.19 first or second week of school must demonstrate achievement of 85.20 the competencies by the end of the sixth week of school. 85.21 Students enrolled in grades kindergarten through 10 who enroll 85.22 in a school after the second week of school and are transported 85.23 by school bus shall undergo school bus safety training and 85.24 demonstrate achievement of the school bus safety competencies 85.25 within four weeks of the first day of attendance. Thepupil85.26 school transportation safety director in each district must 85.27 certify to the commissioner annually that all students 85.28 transported by school bus within the district have 85.29 satisfactorily demonstrated knowledge and understanding of the 85.30 school bus safety competencies according to this section or 85.31 provide an explanation for a student's failure to demonstrate 85.32 the competencies. The principal or other chief administrator of 85.33 each nonpublic school must certify annually to thepublicschool 85.34 transportation safety director of the district in which the 85.35 school is located that all of the school's students transported 85.36 by school bus at public expense have received training. A 86.1 district may deny transportation to a student who fails to 86.2 demonstrate the competencies, unless the student is unable to 86.3 achieve the competencies due to a disability, or to a student 86.4 who attends a nonpublic school that fails to provide training as 86.5 required by this subdivision. 86.6 (d) A district and a nonpublic school with students 86.7 transported by school bus at public expense must, to the extent 86.8 possible, provide kindergarten pupils with bus safety training 86.9 before the first day of school. 86.10 (e) A district and a nonpublic school with students 86.11 transported by school bus at public expense must also provide 86.12 student safety education for bicycling and pedestrian safety, 86.13 for students enrolled in grades kindergarten through 5. 86.14 (f) A district and a nonpublic school with students 86.15 transported by school bus at public expense must make reasonable 86.16 accommodations for the school bus, bicycle, and pedestrian 86.17 safety training of pupils known to speak English as a second 86.18 language and pupils with disabilities. 86.19 Sec. 23. Minnesota Statutes 1999 Supplement, section 86.20 123B.91, subdivision 1, is amended to read: 86.21 Subdivision 1. [COMPREHENSIVE POLICY.] (a) Each district 86.22mustshall develop and implement a comprehensive, written policy 86.23 governing pupil transportation safety, including transportation 86.24 of nonpublic school students, when applicable. The 86.25 policyshall, at minimum, must contain: 86.26 (1) provisions for appropriate student bus safety training 86.27 under section 123B.90; 86.28 (2) rules governing student conduct on school buses and in 86.29 school bus loading and unloading areas; 86.30 (3) a statement of parent or guardian responsibilities 86.31 relating to school bus safety; 86.32 (4) provisions for notifying students and parents or 86.33 guardians of their responsibilities and the rules, including the 86.34 district's seat belt policy, if applicable; 86.35 (5) an intradistrict system for reporting school bus 86.36 accidents or misconduct and a system for dealing with local law 87.1 enforcement officials in cases of criminal conduct on a school 87.2 bus; 87.3 (6) a discipline policy to address violations of school bus 87.4 safety rules, including procedures for revoking a student's bus 87.5 riding privileges in cases of serious or repeated misconduct; 87.6 (7) a system for integrating school bus misconduct records 87.7 with other discipline records; 87.8 (8) a statement of bus driver duties; 87.9 (9)planned expenditures for safety activities under87.10section 123B.89 and,where applicable, provisions governing bus 87.11 monitor qualifications, training, and duties; 87.12 (10) rules governing the use and maintenance of type III 87.13 vehicles, drivers of type III vehicles, qualifications to drive 87.14 a type III vehicle, qualifications for a type III vehicle, and 87.15 the circumstances under which a student may be transported in a 87.16 type III vehicle; 87.17 (11) operating rules and procedures; 87.18 (12) provisions for annual bus driver in-service training 87.19 and evaluation; 87.20 (13) emergency procedures; 87.21 (14) a system for maintaining and inspecting equipment; 87.22 (15) requirements of the school district, if any, that 87.23 exceed state law minimum requirements for school bus operations; 87.24 and 87.25 (16) requirements for basic first aid training, which must 87.26 include the Heimlich maneuver and procedures for dealing with 87.27 obstructed airways, shock, bleeding, and seizures. 87.28 (b) Districts are encouraged to use the model policy 87.29 developed by the Minnesota school boards association, the 87.30 department of public safety, and the department of children, 87.31 families, and learning, as well as the current edition of the 87.32 "National Standards for SchoolBuses and Operations87.33 Transportation,"published by the National Safety Council,in 87.34 developing safety policies. Each district shall review its 87.35 policy annuallyand make appropriate amendments, which must be87.36submitted to the school bus safety advisory committee within one88.1month of approval by the school boardto ensure that it conforms 88.2 to law. 88.3 EFFECTIVE DATE: This section is effective the day 88.4 following final enactment. 88.5 Sec. 24. Minnesota Statutes 1998, section 124D.03, 88.6 subdivision 1, is amended to read: 88.7 Subdivision 1. [ESTABLISHMENT.] (a) An enrollment options 88.8 program is established to enable any pupil to attend a school or 88.9 program in a district in which the pupil does not reside, 88.10 subject to the limitations in this section. 88.11 (b) A district may refuse to allow a pupil who is expelled 88.12 under section 121A.45 to enroll during the term of the expulsion 88.13 if the student was expelled for: 88.14 (1) possessing a dangerous weapon, as defined by United 88.15 States Code, title 18, section 930, paragraph (g)(2), at school 88.16 or a school function; 88.17 (2) possessing or using an illegal drug at school or a 88.18 school function; 88.19 (3) selling or soliciting the sale of a controlled 88.20 substance while at school or a school function; or 88.21 (4) committing a third-degree assault as described in 88.22 section 609.223, subdivision 1. 88.23 EFFECTIVE DATE: This section is effective for the 88.24 2000-2001 school year and later. 88.25 Sec. 25. Minnesota Statutes 1998, section 124D.081, 88.26 subdivision 6, is amended to read: 88.27 Subd. 6. [PREPAREDNESS REVENUE.] (a) A qualifying school 88.28 district is eligible for first-grade preparedness revenue equal 88.29 to the basic formula allowance for that year times the number of 88.30 children five years of age or older enrolled in a kindergarten 88.31 program at the site on October 1 of the previous year times .53. 88.32 (b) This revenue must supplement and not replace 88.33 compensatory revenue that the district uses for the same or 88.34 similar purposes under chapters 120B, 123A, 123B, 124D, 126C, 88.35 and 127A. 88.36 (c) A pupil enrolled in the first grade preparedness 89.1 program at a qualifying school site is eligible for 89.2 transportation under section 123B.88, subdivision 1. 89.3 (d) First grade preparedness revenue paid to a charter 89.4 school for which a school district is providing transportation 89.5 according to section 124D.10, subdivision 16, shall be decreased 89.6 by an amount equal to the product of$170the formula allowance 89.7 according to section 126C.10, subdivision 2, times .0485 times 89.8 the pupil units calculated according to paragraph (a). This 89.9 amount shall be paid to the school district for transportation 89.10 costs. 89.11 Sec. 26. Minnesota Statutes 1999 Supplement, section 89.12 124D.10, subdivision 3, is amended to read: 89.13 Subd. 3. [SPONSOR.] A school board, intermediate school 89.14 district school board, educationdistrictsdistrict organized 89.15 under sections 123A.15 to 123A.19, charitable organization under 89.16 section 501(c) (3) of the Internal Revenue Code of 1986 that is 89.17 a member of the Minnesota council on foundations and reports an 89.18 end of year fund balance of at least $3,000,000, Minnesota 89.19 private college,that grants two- or four-year degrees and is 89.20 registered with the higher education services office under 89.21 chapter 136A, community college, state university, technical 89.22 college, or the University of Minnesota may sponsor one or more 89.23 charter schools. 89.24 EFFECTIVE DATE: This section is effective the day 89.25 following final enactment. 89.26 Sec. 27. Minnesota Statutes 1999 Supplement, section 89.27 124D.10, subdivision 4, is amended to read: 89.28 Subd. 4. [FORMATION OF SCHOOL.] (a) A sponsor may 89.29 authorize one or more licensed teachers under section 122A.18, 89.30 subdivision 1, to operate a charter school subject to approval 89.31 by the commissioner. A board must vote on charter school 89.32 application for sponsorship no later than 90 days after 89.33 receiving the application. After 90 days, the applicant may 89.34 apply to the commissioner. If a board elects not to sponsor a 89.35 charter school, the applicant may appeal the board's decision to 89.36 the commissioner. The appeal must be made no later than 90 days 90.1 after the school board elects not to sponsor a charter school. 90.2 If the commissioner authorizes the school, the commissioner must 90.3 sponsor the school according to this section. The school must 90.4 be organized and operated as a cooperative under chapter 308A or 90.5 nonprofit corporation under chapter 317A. 90.6 (b) Before the operators may form and operate a school, the 90.7 sponsor must file an affidavit with the commissioner stating its 90.8 intent to authorize a charter school. The affidavit must state 90.9 the terms and conditions under which the sponsor would authorize 90.10 a charter school. The commissioner must approve or disapprove 90.11 the sponsor's proposed authorization within 60 days of receipt 90.12 of the affidavit. Failure to obtain commissioner approval 90.13 precludes a sponsor from authorizing the charter school that was 90.14 the subject of the affidavit. 90.15 (c) The operators authorized to organize and operate a 90.16 school must hold an election for members of the school's board 90.17 of directors in a timely manner after the school is operating. 90.18 Any staff members who are employed at the school, including 90.19 teachers providing instruction under a contract with a 90.20 cooperative, and all parents of children enrolled in the school 90.21 may participate in the election. Licensed teachers employed at 90.22 the school, including teachers providing instruction under a 90.23 contract with a cooperative, must be a majority of the members 90.24 of the board of directors, unless the commissioner waives the 90.25 requirement for the school or the licensed teachers employed at 90.26 the school elect to constitute a majority that consists of both 90.27 teachers employed at the school and parents of children enrolled 90.28 in the school with a minimum of one teacher director and one 90.29 parent director. A provisional board may operate before the 90.30 election of the school's board of directors. Board of director 90.31 meetings must comply with section 471.705. 90.32 (d) The granting or renewal of a charter by a sponsoring 90.33 entity must not be conditioned upon the bargaining unit status 90.34 of the employees of the school. 90.35 Sec. 28. Minnesota Statutes 1999 Supplement, section 90.36 124D.10, subdivision 8, is amended to read: 91.1 Subd. 8. [STATE AND LOCAL REQUIREMENTS.] (a) A charter 91.2 school shall meet all applicable state and local health and 91.3 safety requirements. 91.4 (b) A school sponsored by a school board may be located in 91.5 any district, unless the school board of the district of the 91.6 proposed location disapproves by written resolution. If such a 91.7 board denies a request to locate within its boundaries a charter 91.8 school sponsored by another school board, the sponsoring school 91.9 board may appeal to the commissioner. If the commissioner 91.10 authorizes the school, the commissioner must sponsor the school. 91.11 (c) A charter school must be nonsectarian in its programs, 91.12 admission policies, employment practices, and all other 91.13 operations. A sponsor may not authorize a charter school or 91.14 program that is affiliated with a nonpublic sectarian school or 91.15 a religious institution. 91.16 (d) Charter schools must not be used as a method of 91.17 providing education or generating revenue for students who are 91.18 being home-schooled. 91.19 (e) The primary focus of a charter school must be to 91.20 provide a comprehensive program of instruction for at least one 91.21 grade or age group from five through 18 years of age. 91.22 Instruction may be provided to people younger than five years 91.23 and older than 18 years of age. 91.24 (f) A charter school may not charge tuition. 91.25 (g) A charter school is subject to and must comply with 91.26 chapter 363 and section 121A.04. 91.27 (h) A charter school is subject to and must comply with The 91.28 Pupil Fair Dismissal Act, sections 121A.40 to 121A.56, and the 91.29 Minnesota Public School Fee law, sections 123B.34 to 123B.39. 91.30 (i) A charter school is subject to the same financial 91.31 audits, audit procedures, and audit requirements as a district. 91.32 The audit must beconsistentin compliance with the requirements 91.33 of sections 123B.75 to 123B.83, except to the extent deviations 91.34 are necessary because of the program at the school. The 91.35 department of children, families, and learning, state auditor, 91.36 or legislative auditor may conduct financial, program, or 92.1 compliance audits. 92.2 (j) A charter school is a district for the purposes of tort 92.3 liability under chapter 466. 92.4 EFFECTIVE DATE: This section is effective the day 92.5 following final enactment. 92.6 Sec. 29. Minnesota Statutes 1998, section 124D.10, 92.7 subdivision 9, is amended to read: 92.8 Subd. 9. [ADMISSION REQUIREMENTS.] A charter school may 92.9 limit admission to: 92.10 (1) pupils within an age group or grade level; 92.11 (2) people who are eligible to participate in the 92.12 graduation incentives program under section 124D.68; or 92.13 (3) residents of a specific geographic area where the 92.14 percentage of the population of non-Caucasian people of that 92.15 area is greater than the percentage of the non-Caucasian 92.16 population in the congressional district in which the geographic 92.17 area is located, and as long as the school reflects the racial 92.18 and ethnic diversity of the specific area. 92.19 A charter school shall enroll an eligible pupil who submits 92.20 a timely application, unless the number of applications exceeds 92.21 the capacity of a program, class, grade level, or building. In 92.22 this case, pupils must be accepted by lot. If a charter school 92.23 is the only school located in a town serving pupils within a 92.24 particular grade level, then pupils that are residents of the 92.25 town must be given preference for enrollment before accepting 92.26 pupils by lot. If a pupil lives within two miles of a charter 92.27 school and the next closest public school is more than five 92.28 miles away, the charter school must give those pupils preference 92.29 for enrollment before accepting other pupils by lot. 92.30 A charter school shall give preference for enrollment to a 92.31 sibling of an enrolled pupil and to a foster child of that 92.32 pupil's parents before accepting other pupils by lot. 92.33 A charter school may not limit admission to pupils on the 92.34 basis of intellectual ability, measures of achievement or 92.35 aptitude, or athletic ability. 92.36 Sec. 30. Minnesota Statutes 1999 Supplement, section 93.1 124D.10, subdivision 11, is amended to read: 93.2 Subd. 11. [EMPLOYMENT AND OTHER OPERATING MATTERS.] A 93.3 charter school must employ or contract with necessary teachers, 93.4 as defined by section 122A.15, subdivision 1, who hold valid 93.5 licenses to perform the particular service for which they are 93.6 employed in the school. The charter school's state aid may be 93.7 reduced under section 127A.42 if the school employs a teacher 93.8 who is not appropriately licensed or approved by the board of 93.9 teaching. The school may employ necessary employees who are not 93.10 required to hold teaching licenses to perform duties other than 93.11 teaching and may contract for other services. The school may 93.12 discharge teachers and nonlicensed employees. A person, without 93.13 holding a valid administrator's license, may perform 93.14 administrative, supervisory, or instructional leadership duties. 93.15 The board of directors also shall decide matters related to 93.16 the operation of the school, including budgeting, curriculum and 93.17 operating procedures. 93.18 Sec. 31. Minnesota Statutes 1999 Supplement, section 93.19 124D.10, subdivision 15, is amended to read: 93.20 Subd. 15. [REVIEW AND COMMENT.] The department must review 93.21 and comment on the evaluation, by thechartering school district93.22 sponsor, of the performance of a charter school before the 93.23 charter school's contract is renewed. A sponsor shall monitor 93.24 and evaluate the fiscal and student performance of the school, 93.25 and may for this purpose annually assess the school up to $10 93.26 per student up to a maximum of $3,500. The informationfromfor 93.27 the review and comment shall be reported by the sponsor to the 93.28 commissioner of children, families, and learning in a timely 93.29 manner. Periodically, the commissioner shall report trends or 93.30 suggestions based on the evaluation of charter school contracts 93.31 to the education committees of the state legislature. 93.32 Sec. 32. Minnesota Statutes 1998, section 124D.10, 93.33 subdivision 20, is amended to read: 93.34 Subd. 20. [LEAVE TO TEACH IN A CHARTER SCHOOL.] If a 93.35 teacher employed by a district makes a written request for an 93.36 extended leave of absence to teach at a charter school whether 94.1 as an employee of the school, as an employee of a cooperative or 94.2 other teacher controlled professional association providing 94.3 instructional services to the school, or in any other capacity, 94.4 the district must grant the leave. The district must grant a 94.5 leave for any number of years requested by the teacher, and must 94.6 extend the leave at the teacher's request. The district may 94.7 require that the request for a leave or extension of leave be 94.8 made up to 90 days before the teacher would otherwise have to 94.9 report for duty. Except as otherwise provided in this 94.10 subdivision and except for section 122A.46, subdivision 7, the 94.11 leave is governed by section 122A.46, including, but not limited 94.12 to, reinstatement, notice of intention to return, seniority, 94.13 salary, and insurance. 94.14 During a leave, the teacher may continue to aggregate 94.15 benefits and credits in the teachers' retirement association 94.16 account by paying both the employer and employee contributions 94.17 based upon the annual salary of the teacher for the last full 94.18 pay period before the leave began. The retirement association 94.19 may impose reasonable requirements to efficiently administer 94.20 this subdivision. 94.21 Sec. 33. Minnesota Statutes 1999 Supplement, section 94.22 124D.10, subdivision 23, is amended to read: 94.23 Subd. 23. [CAUSES FOR NONRENEWAL OR TERMINATION OF CHARTER 94.24 SCHOOL CONTRACT.] (a) The duration of the contract with a 94.25 sponsor must be for the term contained in the contract according 94.26 to subdivision 6. The sponsor may or may not renew a contract 94.27 at the end of the term for any ground listed in paragraph (b). 94.28 A sponsor may unilaterally terminate a contract during the term 94.29 of the contract for any ground listed in paragraph (b). At 94.30 least 60 days before not renewing or terminating a contract, the 94.31 sponsor shall notify the board of directors of the charter 94.32 school of the proposed action in writing. The notice shall 94.33 state the grounds for the proposed action in reasonable detail 94.34 and that the charter school's board of directors may request in 94.35 writing an informal hearing before the sponsor within 14 days of 94.36 receiving notice of nonrenewal or termination of the contract. 95.1 Failure by the board of directors to make a written request for 95.2 a hearing within the 14-day period shall be treated as 95.3 acquiescence to the proposed action. Upon receiving a timely 95.4 written request for a hearing, the sponsor shall give reasonable 95.5 notice to the charter school's board of directors of the hearing 95.6 date. The sponsor shall conduct an informal hearing before 95.7 taking final action. The sponsor shall take final action to 95.8 renew or not renew a contract by the last day of classes in the 95.9 school year. If the sponsor is a local board, the school's 95.10 board of directors may appeal the sponsor's decision to the 95.11 commissioner. 95.12 (b) A contract may be terminated or not renewed upon any of 95.13 the following grounds: 95.14 (1) failure to meet the requirements for pupil performance 95.15 contained in the contract; 95.16 (2) failure to meet generally accepted standards of fiscal 95.17 management; 95.18 (3) violations of law; or 95.19 (4) other good cause shown. 95.20 If a contract is terminated or not renewed, the school must 95.21 be dissolved according to the applicable provisions of chapter 95.22 308A or 317A, except when the commissioner approves the decision 95.23 of a different eligible sponsor to authorize the charter school. 95.24 (c) The commissioner, after providing reasonable notice to 95.25 the governing body of a charter school and the existing sponsor, 95.26 and after providing an opportunity for a public hearing, may 95.27 terminate the existing sponsorial relationship if: 95.28 (1) the charter school has a history of financial 95.29 mismanagement; or 95.30 (2) the charter school has a history of repeated violations 95.31 of the law. 95.32 EFFECTIVE DATE: This section is effective the day 95.33 following final enactment. 95.34 Sec. 34. Minnesota Statutes 1999 Supplement, section 95.35 124D.11, subdivision 4, is amended to read: 95.36 Subd. 4. [BUILDING LEASE AID.]When a charter school finds96.1it economically advantageous to rent or lease a building or land96.2for any instructional purposes and it determines that the total96.3operating capital revenue under section 126C.10, subdivision 13,96.4is insufficient for this purpose, it may apply to the96.5commissioner for building lease aid for this purpose.Criteria 96.6 for aid approval and revenue uses shall be as defined for the 96.7 building lease levy in section 126C.40, subdivision 1, 96.8 paragraphs (a) and (b). A charter school is eligible for 96.9 building lease aid. Buildings leased by charter schools must 96.10 meet all local and state building codes, state health and safety 96.11 requirements, and federal Americans with Disabilities Act 96.12 requirements. The commissioner shall approve the amount of 96.13 building lease aid. The amount of building lease aid per pupil 96.14 unit served for a charter school for any year shall not exceed 96.15 the lesser of (a) 90 percent of the approved cost or (b) the 96.16 product of the pupil units served for the current school year 96.17 times$1,500$750. Existing charter schools must apply by 96.18 January 15 of the fiscal year in which the lease applies to be 96.19 considered for this program. The amount of building lease aid 96.20 shall be subject to proration based upon the actual 96.21 appropriation. 96.22 Sec. 35. Minnesota Statutes 1999 Supplement, section 96.23 124D.11, subdivision 6, is amended to read: 96.24 Subd. 6. [OTHER AID, GRANTS, REVENUE.] (a) A charter 96.25 school is eligible to receive other aids, grants, and revenue 96.26 according to chapters 120A to 129C, as though it were a district. 96.27 (b) Notwithstanding paragraph (a), a charter school may not 96.28 receive aid, a grant, or revenue if a levy is required to obtain 96.29 the money, except as otherwise provided in this section. 96.30 (c) Federal aid received by the state must be paid to the 96.31 school, if it qualifies for the aid as though it were a school 96.32 district. 96.33 (d) A charter school may receive money from any source for 96.34 capital facilities needs. In the year-end report to the 96.35 commissioner of children, families, and learning, the charter 96.36 school shall report the total amount of funds received from 97.1 grants and other outside sources. 97.2 (e) Notwithstanding paragraph (a) or (b), a charter school 97.3is eligiblemay apply for a grant to receive the aid portion of 97.4 integration revenue under section 124D.86, subdivision 3, for 97.5 enrolled students who are residents of a district that is 97.6 eligible for integration revenueif the enrollment of the pupil97.7in the charter school contributes to desegregation or97.8integration purposes. The commissioner shall determine grant 97.9 recipients and may adopt application guidelines. The grants 97.10 must be competitively determined and must demonstrate that the 97.11 enrollment of pupils in the charter school contributes to 97.12 desegregation or integration purposes as determined by the 97.13 commissioner. If the charter school has elected not to provide 97.14 transportation under section 124D.10, subdivision 16, the aid 97.15 shall be reduced by the amount per pupil unit specified for the 97.16 district where the charter school is located under section 97.17 123B.92, subdivision 8. 97.18 EFFECTIVE DATE: This section is effective the day 97.19 following final enactment. 97.20 Sec. 36. Minnesota Statutes 1998, section 124D.128, 97.21 subdivision 4, is amended to read: 97.22 Subd. 4. [TRANSPORTATION.] A district must report data to 97.23 the department as required by the department to account for 97.24 learning year summer transportation expendituresfor this97.25program must be included in nonregular transportation according97.26to sections 124.225, subdivision 8; and 124.226, subdivision 4. 97.27 Sec. 37. Minnesota Statutes 1999 Supplement, section 97.28 126C.05, subdivision 3, is amended to read: 97.29 Subd. 3. [COMPENSATION REVENUE PUPIL UNITS.] Compensation 97.30 revenue pupil units for fiscal year 1998 and thereafter must be 97.31 computed according to this subdivision. 97.32 (a) The compensation revenue concentration percentage for 97.33 each building in a district equals the product of 100 times the 97.34 ratio of: 97.35 (1) the sum of the number of pupils enrolled in the 97.36 building eligible to receive free lunch plus one-half of the 98.1 pupils eligible to receive reduced priced lunch on October 1 of 98.2 the previous fiscal year; to 98.3 (2) the number of pupils enrolled in the building on 98.4 October 1 of the previous fiscal year. 98.5 (b) The compensation revenue pupil weighting factor for a 98.6 building equals the lesser of one or the quotient obtained by 98.7 dividing the building's compensation revenue concentration 98.8 percentage by 80.0. 98.9 (c) The compensation revenue pupil units for a building 98.10 equals the product of: 98.11 (1) the sum of the number of pupils enrolled in the 98.12 building eligible to receive free lunch and one-half of the 98.13 pupils eligible to receive reduced priced lunch on October 1 of 98.14 the previous fiscal year; times 98.15 (2) the compensation revenue pupil weighting factor for the 98.16 building; times 98.17 (3) .60. 98.18 (d) Notwithstanding paragraphs (a) to (c), for charter 98.19 schools and contracted alternative programs in the first year of 98.20 operation, or for any year of operation when the number of 98.21 pupils eligible for free or reduced lunch in the current year is 98.22 more than 20 percent greater than in the previous year, 98.23 compensation revenue pupil units shall be computed using data 98.24 for the current fiscal year. If the charter school or 98.25 contracted alternative program begins operation after October 1, 98.26 compensatory revenue pupil units shall be computed based on 98.27 pupils enrolled on an alternate date determined by the 98.28 commissioner, and the compensation revenue pupil units shall be 98.29 prorated based on the ratio of the number of days of student 98.30 instruction to 170 days. 98.31 (e) The percentages in this subdivision must be based on 98.32 the count of individual pupils and not on a building average or 98.33 minimum. 98.34 Sec. 38. Minnesota Statutes 1999 Supplement, section 98.35 127A.05, subdivision 6, is amended to read: 98.36 Subd. 6. [SURVEY OF DISTRICTS.] The commissioner of 99.1 children, families, and learning shall survey the state's school 99.2 districts and teacher preparation programs and report to the 99.3 education committees of the legislature by January 15 of each 99.4 odd-numbered year on the status of teacher early retirement 99.5 patterns, the teacher shortage, and the substitute teacher 99.6 shortage, including patterns and shortages in subject areas and 99.7 regions of the state. The report must also include how 99.8 districts are making progress in hiring teachers and substitutes 99.9 in the areas of shortage and a five-year projection of teacher 99.10 demand for each district. 99.11 Sec. 39. Minnesota Statutes 1999 Supplement, section 99.12 148.235, is amended by adding a subdivision to read: 99.13 Subd. 8. [NONPRESCRIPTION DRUGS IN SCHOOLS.] Nothing in 99.14 sections 148.171 to 148.285 prohibits a school nurse from 99.15 providing nonprescription drugs or medications to a pupil in a 99.16 school upon the request of a parent or guardian of the pupil as 99.17 long as the nonprescription drugs or medications are 99.18 administered in accordance with section 121A.22. 99.19 Sec. 40. Minnesota Statutes 1998, section 169.447, is 99.20 amended by adding a subdivision to read: 99.21 Subd. 2a. [PASSENGER LAP AND SHOULDER BELTS.] (a) In 99.22 addition to the requirements in section 169.4501, subdivision 1, 99.23 a school bus may be equipped with an approved lap belt or an 99.24 approved lap and shoulder belt installed for each 99.25 passenger-seating position on the bus. The design and 99.26 installation of lap belts and lap and shoulder belts required 99.27 under this paragraph must meet the standards of the commissioner 99.28 established under paragraph (b). 99.29 (b) The commissioner shall consider all concerns necessary 99.30 to properly integrate lap belts or lap and shoulder belts into 99.31 the current compartmentalization safety system and prescribe 99.32 standards for the design and installation of lap and shoulder 99.33 belts required under paragraph (a). The standards are not 99.34 subject to chapter 14 and are specifically not subject to 99.35 section 14.386. 99.36 (c) This subdivision does not apply to specially equipped 100.1 school buses under section 169.4504. 100.2 (d) A passenger on a school bus equipped with lap belts or 100.3 lap and shoulder belts must use these lap belts or lap and 100.4 shoulder belts unless the passenger, or if the passenger is a 100.5 minor, the passenger's parent or guardian, has notified the 100.6 school district in writing that the passenger does not intend to 100.7 wear the lap belt or lap and shoulder belt. 100.8 (e) In an action for personal injury or wrongful death 100.9 against a school district, a school bus operator under contract 100.10 with a school district, or any agent or employee of a school 100.11 district or operator, or against a volunteer, no such person or 100.12 entity shall be held liable solely because the injured party was 100.13 not wearing a safety belt; provided, however, that nothing 100.14 contained herein shall be construed to grant immunity from 100.15 liability for failure to: 100.16 (1) maintain in operating order any equipment required by 100.17 statute, rule, or school district policy; or 100.18 (2) comply with an applicable statute, rule, or school 100.19 district policy. 100.20 (f) In an action for personal injury or wrongful death, a 100.21 school district, a school bus contract operator, any agent or 100.22 employee of a school district or operator, or a volunteer is not 100.23 liable for failing to assist any child with the adjustment, 100.24 fastening, unfastening, or other use of the lap belt or lap and 100.25 shoulder belt. 100.26 EFFECTIVE DATE: This section is effective the day 100.27 following final enactment. 100.28 Sec. 41. Minnesota Statutes 1998, section 169.448, 100.29 subdivision 3, is amended to read: 100.30 Subd. 3. [HEAD START VEHICLE.] Notwithstanding subdivision 100.31 1, a vehicle used to transportpassengersstudents under Public 100.32 Law Number 99-425, the Head Start Act, may be equipped as a 100.33 school bus or Head Start bus. 100.34 EFFECTIVE DATE: This section is effective the day 100.35 following final enactment. 100.36 Sec. 42. Minnesota Statutes 1998, section 171.06, 101.1 subdivision 2, is amended to read: 101.2 Subd. 2. [FEES.] (a) The fees for a license and Minnesota 101.3 identification card are as follows: 101.4 Classified Driver's License D-$18.50 C-$22.50 B-$29.50 A-$37.50 101.5 Classified Under-21 D.L. D-$18.50 C-$22.50 B-$29.50 A-$17.50 101.6 Instruction Permit $ 9.50 101.7 Provisional License $ 9.50 101.8 Duplicate License or 101.9 duplicate identification card $ 8.00 101.10 Minnesota identification card or Under-21 Minnesota 101.11 identification card, other than duplicate, 101.12 except as otherwise provided in section 171.07, 101.13 subdivisions 3 and 3a $12.50 101.14 (b) Notwithstanding paragraph (a), a person who holds a 101.15 provisional license and has a driving record free of (1) 101.16 convictions for a violation of section 169.121, 169.1218, 101.17 169.122, or 169.123, (2) convictions for crash-related moving 101.18 violations, and (3) convictions for moving violations that are 101.19 not crash related, shall have a $3.50 credit toward the fee for 101.20 any classified under-21 driver's license. "Moving violation" 101.21 has the meaning given it in section 171.04, subdivision 1. 101.22 (c) In addition to the driver's license fee required under 101.23 paragraph (a), the registrar shall collect an additional $4 101.24 processing fee from each new applicant or person renewing a 101.25 license with a school bus endorsement to cover the costs for 101.26 processing an applicant's initial and biennial physical 101.27 examination certificate. The department shall not charge these 101.28 applicants any other fee to receive or renew the endorsement. 101.29 EFFECTIVE DATE: This section is effective the day 101.30 following final enactment. 101.31 Sec. 43. Minnesota Statutes 1998, section 171.321, is 101.32 amended to read: 101.33 171.321 [QUALIFICATIONS OF SCHOOL BUS DRIVER.] 101.34 Subdivision 1. [SCHOOL BUS ENDORSEMENT.] (a) No person 101.35 shall drive a school bus when transporting school children to or 101.36 from school or upon a school-related trip or activity without 102.1 having a valid class A, class B,orclass C, or class D driver's 102.2 license with a school bus endorsement except that a person 102.3 possessing a valid driver's license but not a school bus 102.4 endorsement may drive a vehicle with a seating capacity of ten 102.5 orlessfewer persons used as a school bus but not outwardly 102.6 equipped or identified as a school bus. 102.7 (b) Notwithstanding section 171.08, a person who otherwise 102.8 meets the qualifications for a school bus endorsement or 102.9 temporary endorsement under subdivision 3, paragraph (b), may 102.10 drive a school bus for up to 30 days without an endorsement so 102.11 long as the employer of the person: 102.12 (1) has in possession all documentation required for 102.13 issuing the endorsement; and 102.14 (2) has forwarded proof of possession of the documentation 102.15 to the commissioner of public safety. 102.16 Subd. 1a. [RESPONSIBILITY FOR ENDORSEMENT STATUS.] It is 102.17 the responsibility of the commissioner of public safety to issue 102.18 a school bus endorsement to a qualified applicant. When the 102.19 endorsement has been issued, it is the responsibility of the 102.20 individual to whom the endorsement is issued to ensure that the 102.21 endorsement is in effect before the individual operates a school 102.22 bus. The employer of a school bus driver shall check the 102.23 endorsement status when the school bus driver is hired and at 102.24 least twice during each 12-month period thereafter. 102.25 Subd. 2. [RULES.] (a) The commissioner of public safety 102.26 shall prescribe rules governing the physical qualifications of 102.27 school bus drivers and tests required to obtain a school bus 102.28 endorsement. The rules must provide that an applicant for a 102.29 school bus endorsement or renewal is exempt from the physical 102.30 qualifications and medical examination required to operate a 102.31 school bus upon providing evidence of being medically examined 102.32 and certified within the preceding 24 months as physically 102.33 qualified to operate a commercial motor vehicle, pursuant to 102.34 Code of Federal Regulations, title 49, part 391, subpart E, or 102.35 rules of the commissioner of transportation incorporating those 102.36 federal regulations. The commissioner shall accept physical 103.1 examinations for school bus drivers conducted by medical 103.2 examiners authorized as provided by the Code of Federal 103.3 Regulations, title 49, chapter 3, part 391, subpart E. 103.4 (b) The commissioner of public safety, in conjunction with 103.5 the commissioner of economic security, shall adopt rules 103.6 prescribing a training program for Head Start bus drivers. The 103.7 program must provide for initial classroom and behind-the-wheel 103.8 training, and annual in-service training. The program must 103.9 provide training in defensive driving, human relations, 103.10 emergency and accident procedures, vehicle maintenance, traffic 103.11 laws, and use of safety equipment. The program must provide 103.12 that the training will be conducted by the contract operator for 103.13 a Head Start agency, the Head Start grantee, a licensed driver 103.14 training school, or by another person or entity approved by both 103.15 commissioners. 103.16 Subd. 3. [RECORDS CHECK OF APPLICANT.] (a) Before issuing 103.17 or renewing a school bus endorsement, the commissioner shall 103.18 conduct a criminal and driver's license records check of the 103.19 applicant. The commissioner may also conduct the check at any 103.20 time while a person is so licensed. The checkshallmust 103.21 consist of a criminal records check of the state criminal 103.22 records repository and a check of the driver's license records 103.23 system. If the applicant has resided in Minnesota for less than 103.24 five years, the checkshallmust also include a criminal records 103.25 check of information from the state law enforcement agencies in 103.26 the states where the person resided during the five years before 103.27 moving to Minnesota, and of the national criminal records 103.28 repository including the criminal justice data communications 103.29 network. The applicant's failure to cooperate with the 103.30 commissioner in conducting the records check is reasonable cause 103.31 to deny an application or cancel a school bus endorsement. The 103.32 commissioner may not release the results of the records check to 103.33 any person except the applicant or the applicant's designee in 103.34 writing. 103.35 (b) The commissioner may issue to an otherwise qualified 103.36 applicant a temporary school bus endorsement, effective for no 104.1 more than 180 days, upon presentation of (1) an affidavit by the 104.2 applicant that the applicant has not been convicted of a 104.3 disqualifying offense and (2) a criminal history check from each 104.4 state of residence for the previous five years. The criminal 104.5 history check may be conducted and prepared by any public or 104.6 private source acceptable to the commissioner. The commissioner 104.7 may reissue the temporary endorsement if the National Criminal 104.8 Records Repository check is timely submitted but not completed 104.9 within the 180-day period. 104.10 Subd. 4. [TRAINING.] (a) No person shall drive a class A, 104.11 B, C, or D school bus when transporting school children to or 104.12 from school or upon a school-related trip or activity without 104.13 having demonstrated sufficient skills and knowledge to transport 104.14 students in a safe and legal manner. 104.15 (b) A bus driver must have training or experience that 104.16 allows the driver to meet at least the following competencies: 104.17 (1) safely operate the type of school bus the driver will 104.18 be driving; 104.19 (2) understand student behavior, including issues relating 104.20 to students with disabilities; 104.21 (3) encourage orderly conduct of students on the bus and 104.22 handle incidents of misconduct appropriately; 104.23 (4) know and understand relevant laws, rules of the road, 104.24 and local school bus safety policies; 104.25 (5) handle emergency situations; and 104.26 (6) safely load and unload students. 104.27 (c) The commissioner of public safety, in conjunction with 104.28 the commissioner of children, families, and learning, shall 104.29 develop a comprehensive model school bus driver training program 104.30 and model assessments for school bus driver training 104.31 competencies, which are not subject to chapter 14. A school 104.32 district may use alternative assessments for bus driver training 104.33 competencies with the approval of the commissioner of public 104.34 safety. The employer shall keep the assessment for the current 104.35 period available for inspection by representatives of the 104.36 commissioner. 105.1 Subd. 5. [ANNUAL EVALUATION.] A school district's pupil 105.2 transportation safety director, the chief administrator of a 105.3 nonpublic school, or a private contractor shall certify annually 105.4 to thecommissioner of public safetyschool board or governing 105.5 board of a nonpublic school that, at minimum, each school bus 105.6 driver meets the school bus driver training competencies under 105.7 subdivision 4and shall report the number of hours of in-service105.8training completed by each driver. A school district, nonpublic 105.9 school, or private contractor also shall provide in-service 105.10 training annually to each school bus driver.A district,105.11nonpublic school, or private contractor also shall check the105.12license of each person who transports students for the district105.13with the National Drivers Register or the department of public105.14safety annually. The school board must approve and forward the105.15competency certification and in-service report to the105.16commissioner of public safety.105.17 EFFECTIVE DATE: This section is effective the day 105.18 following final enactment. 105.19 Sec. 44. Minnesota Statutes 1998, section 354.05, 105.20 subdivision 2, is amended to read: 105.21 Subd. 2. [TEACHER.] (a) "Teacher" means: 105.22 (1) a person who renders service as a teacher, supervisor, 105.23 principal, superintendent, librarian, nurse, counselor, social 105.24 worker, therapist, or psychologist in the public schools of the 105.25 state located outside of the corporate limits of the cities of 105.26 the first class as those cities were so classified on January 1, 105.27 1979, or in the state colleges and universities system, or in 105.28 any charitable, penal, or correctional institutions of a 105.29 governmental subdivision, or who is engaged in educational 105.30 administration in connection with the state public school 105.31 system, including the state colleges and university system, but 105.32 excluding the University of Minnesota, whether the position be a 105.33 public office or an employment, not including members or 105.34 officers of any general governing or managing board or body; 105.35 (2) an employee of the teachers retirement association 105.36 unless the employee is covered by the Minnesota state retirement 106.1 system by virtue of prior employment by the association; 106.2 (3) a person who renders teaching service on a part-time 106.3 basis and who also renders other services for a single employing 106.4 unit. In such cases, the executive director shall determine 106.5 whether all or none of the combined service is covered by the 106.6 association, however a person whose teaching service comprises 106.7 at least 50 percent of the combined employment salary is a 106.8 member of the association for all services with the single 106.9 employing unit; or 106.10 (4) a person who renders services as a teacher, supervisor, 106.11 principal, superintendent, librarian, nurse, counselor, social 106.12 worker, therapist, or psychologist in a public school, 106.13 including, but not limited to, charter schools organized under 106.14 section 124D.10, when such services are provided by such person 106.15 as an employee of a teacher controlled professional association 106.16 formed under chapters 308A, 319B, 322B, 323, 323A, or any other 106.17 appropriate law. 106.18 (b) The term does not mean: 106.19 (1) an employee described in section 352D.02, subdivision 106.20 1a, who is hired after the effective date of Laws 1986, chapter 106.21 458; 106.22 (2) a person who works for a school or institution as an 106.23 independent contractor as defined by the Internal Revenue 106.24 Service; 106.25 (3) a person employed in subsidized on-the-job training, 106.26 work experience or public service employment as an enrollee 106.27 under the federal Comprehensive Employment and Training Act from 106.28 and after March 30, 1978, unless the person has, as of the later 106.29 of March 30, 1978, or the date of employment, sufficient service 106.30 credit in the retirement association to meet the minimum vesting 106.31 requirements for a deferred retirement annuity, or the employer 106.32 agrees in writing on forms prescribed by the executive director 106.33 to make the required employer contributions, including any 106.34 employer additional contributions, on account of that person 106.35 from revenue sources other than funds provided under the federal 106.36 Comprehensive Training and Employment Act, or the person agrees 107.1 in writing on forms prescribed by the executive director to make 107.2 the required employer contribution in addition to the required 107.3 employee contribution; 107.4 (4) a person holding a part-time adult supplementary 107.5 technical college license who renders part-time teaching service 107.6 in a technical college if (i) the service is incidental to the 107.7 regular nonteaching occupation of the person; and (ii) the 107.8 applicable technical college stipulates annually in advance that 107.9 the part-time teaching service will not exceed 300 hours in a 107.10 fiscal year and retains the stipulation in its records; and 107.11 (iii) the part-time teaching service actually does not exceed 107.12 300 hours in a fiscal year; or 107.13 (5) a person exempt from licensure pursuant to section 107.14 122A.30. 107.15 Sec. 45. Minnesota Statutes 1998, section 354A.011, 107.16 subdivision 27, is amended to read: 107.17 Subd. 27. [TEACHER.] "Teacher" means any person who 107.18 renders service in a public school district, including, but not 107.19 limited to, a charter school organized under section 124D.10, 107.20 located in the corporate limits of one of the cities of the 107.21 first class which was so classified on January 1, 1979, as any 107.22 of the following: 107.23 (a) a full-time employee in a position for which a valid 107.24 license from the state department of children, families, and 107.25 learning is required; 107.26 (b) an employee of the teachers retirement fund association 107.27 located in the city of the first class unless the employee has 107.28 exercised the option pursuant to Laws 1955, chapter 10, section 107.29 1, to retain membership in the Minneapolis employees retirement 107.30 fund established pursuant to chapter 422A; 107.31 (c) a part-time employee in a position for which a valid 107.32 license from the state department of children, families, and 107.33 learning is required;or107.34 (d) a part-time employee in a position for which a valid 107.35 license from the state department of children, families, and 107.36 learning is required who also renders other nonteaching services 108.1 for the school district unless the board of trustees of the 108.2 teachers retirement fund association determines that the 108.3 combined employment is on the whole so substantially dissimilar 108.4 to teaching service that the service shall not be covered by the 108.5 association; or 108.6 (e) an employee of a teacher controlled professional 108.7 association formed under chapter 308A, 319B, 322B, 323, 323A, or 108.8 any other appropriate law. 108.9 The term shall not mean any person who renders service in 108.10 the school district as any of the following: 108.11 (1) an independent contractor or the employee of an 108.12 independent contractor; 108.13 (2) an employee who is a full-time teacher covered by 108.14 another teachers retirement fund association established 108.15 pursuant to this chapter or chapter 354; 108.16 (3) an employee exempt from licensure pursuant to section 108.17 122A.30; 108.18 (4) an employee who is a teacher in a technical college 108.19 located in a city of the first class unless the person elects 108.20 coverage by the applicable first class city teacher retirement 108.21 fund association under section 354B.21, subdivision 2; or 108.22 (5) an employee who is a part-time teacher in a technical 108.23 college in a city of the first class and who has elected 108.24 coverage by the applicable first class city teacher retirement 108.25 fund association under section 354B.21, subdivision 2, but (i) 108.26 the teaching service is incidental to the regular nonteaching 108.27 occupation of the person; (ii) the applicable technical college 108.28 stipulates annually in advance that the part-time teaching 108.29 service will not exceed 300 hours in a fiscal year; and (iii) 108.30 the part-time teaching actually does not exceed 300 hours in the 108.31 fiscal year to which the certification applies. 108.32 Sec. 46. Minnesota Statutes 1998, section 471.15, is 108.33 amended to read: 108.34 471.15 [RECREATIONAL FACILITIES BY MUNICIPALITY, VETERANS; 108.35 BONDS.] 108.36 (a) Any home rule charter or statutory city or any town, 109.1 county, school district, or any board thereof, or any 109.2 incorporated post of the American Legion or any other 109.3 incorporated veterans' organization, may expend not to exceed 109.4 $800 in any one year, for the purchase of awards and trophies 109.5 and may operate a program of public recreation and playgrounds; 109.6 acquire, equip, and maintain land, buildings, or other 109.7 recreational facilities, including an outdoor or indoor swimming 109.8 pool; and expend funds for the operation of such program 109.9 pursuant to the provisions of sections 471.15 to 471.19. The 109.10 city, town, county or school district may issue bonds pursuant 109.11 to chapter 475 for the purpose of carrying out the powers 109.12 granted by this section. The city, town, county or school 109.13 district may operate the program and facilities directly or 109.14 establish one or more recreation boards to operate all or 109.15 various parts of them. 109.16 (b) A town may expend funds for the purpose of supporting 109.17 student academic and extra curricula activities sponsored by the 109.18 local school district. 109.19 Sec. 47. Laws 1999, chapter 241, article 5, section 18, 109.20 subdivision 5, is amended to read: 109.21 Subd. 5. [CHARTER SCHOOL BUILDING LEASE AID.] For building 109.22 lease aid according to Minnesota Statutes, section 124D.11, 109.23 subdivision 4: 109.24$2,992,000$5,981,000 ..... 2000 109.25$3,616,000$9,975,000 ..... 2001 109.26 The 2000 appropriation includes $194,000 for 1999 and 109.27$2,798,000$5,787,000 for 2000. 109.28 The 2001 appropriation includes$311,000$643,000 for 2000 109.29 and$3,305,000$9,332,000 for 2001. 109.30 EFFECTIVE DATE: This section is effective the day 109.31 following final enactment. 109.32 Sec. 48. Laws 1999, chapter 241, article 5, section 18, 109.33 subdivision 6, is amended to read: 109.34 Subd. 6. [CHARTER SCHOOL START-UP GRANTS.] For charter 109.35 school start-up cost aid under Minnesota Statutes, section 109.36 124D.11: 110.1$1,789,000$1,955,000 ..... 2000 110.2$1,876,000$2,926,000 ..... 2001 110.3 The 2000 appropriation includes $100,000 for 1999 and 110.4$1,689,000$1,855,000 for 2000. 110.5 The 2001 appropriation includes$188,000$706,000 for1999110.6 2000 and$1,688,000$2,720,000 for 2001. 110.7 Any balance in the first year does not cancel but is 110.8 available in the second year. This appropriation may also be 110.9 used for grants to convert existing schools into charter schools. 110.10 EFFECTIVE DATE: This section is effective the day 110.11 following final enactment. 110.12 Sec. 49. [MINNESOTA NEW TEACHER PROJECT.] 110.13 Subdivision 1. [ESTABLISHMENT; PARTICIPATION.] The 110.14 Minnesota new teacher project is established in the department 110.15 of children, families, and learning in order to retain new 110.16 teachers in the profession and to provide models for supporting 110.17 the professional development of first-year and second-year 110.18 teachers. In order for a school district to participate in the 110.19 new teacher project, a school board and an exclusive 110.20 representative of the teachers in the district, or for a charter 110.21 school the majority of the teachers, must agree to participate 110.22 in the new teacher project and to the district plan under 110.23 subdivision 2. 110.24 Subd. 2. [DISTRICT PLAN.] A district that participates in 110.25 the new teacher project must submit a plan for the project to 110.26 the commissioner for approval. The new teacher project plan 110.27 must be consistent with the knowledge and skills required in the 110.28 teacher licensure rules adopted by the board of teaching and the 110.29 state graduation requirements and include curricula of best 110.30 practice activities such as one-on-one mentoring, intensive 110.31 summer orientation, first-year and second-year training 110.32 workshops, peer review, mutual observation between new and 110.33 experienced teachers, classroom management techniques, cultural 110.34 diversity, reading strategies, lighter workloads, and first-year 110.35 residency. The plan must include the participation of a teacher 110.36 preparation program approved by the board of teaching. 111.1 Districts receiving a grant under this section must report 111.2 to the board of teaching regarding its chosen new teacher 111.3 project plan. 111.4 Subd. 3. [STATE MATCH.] A district that has an approved 111.5 new teacher project plan is eligible to receive $3,000 of state 111.6 money for each new teacher participating in the project. The 111.7 district must contribute $2,000 of district money for each new 111.8 teacher participating in the project. 111.9 Sec. 50. [POSTRETIREMENT AND ACTIVE EMPLOYEE HEALTH CARE 111.10 TASK FORCE.] 111.11 (a) The commissioner of employee relations shall convene a 111.12 task force on postretirement and active employee health care. 111.13 The task force shall identify strategies for providing 111.14 postretirement and active employee health care coverage for 111.15 public employees and make recommendations regarding the most 111.16 appropriate and efficient manner for providing postretirement 111.17 and active employee health care. 111.18 (b) One-half of the task force membership shall be composed 111.19 of employees and the other half of the membership must be 111.20 composed of employers. The task force shall include, but not be 111.21 limited to, the following: 111.22 (1) a representative of the department of employee 111.23 relations; 111.24 (2) a representative of the Minnesota state retirement 111.25 system; 111.26 (3) a representative of the teachers retirement 111.27 association; 111.28 (4) a representative of the public employees retirement 111.29 association; 111.30 (5) a representative of the first class city teacher 111.31 retirement fund associations; 111.32 (6) a representative of the first class city police and 111.33 fire department relief associations; 111.34 (7) a representative of the Minneapolis employees 111.35 retirement fund; 111.36 (8) a representative of the legislative coordinating 112.1 commission subcommittee on employee relations; 112.2 (9) one representative each from the Minnesota school 112.3 boards association, Minnesota service cooperatives, the 112.4 association of Minnesota counties, the Minnesota association of 112.5 townships, and the league of Minnesota cities; 112.6 (10) exclusive representatives of affected public 112.7 employees; and 112.8 (11) representatives of major public employers. 112.9 (c) The task force shall report its findings and 112.10 recommendations to the legislature by November 15, 2000. The 112.11 report shall address: 112.12 (1) alternative methods of providing and paying for 112.13 postretirement and active employee health care; 112.14 (2) the estimated cost of providing postretirement and 112.15 active employee health care under various alternatives, 112.16 including statewide, regional, or market alternatives; 112.17 (3) the most efficient administrative structure for 112.18 providing for postretirement and active employee health care; 112.19 and 112.20 (4) issues of adverse selection, cost containment, consumer 112.21 choice, and consider options for dealing with other employee 112.22 concerns. 112.23 (d) The task force shall conduct the study and assemble 112.24 data in a manner that will provide for the ability to conduct 112.25 analysis for subsets of the groups being studied by employer and 112.26 employee types. 112.27 Sec. 51. [TASK FORCE ON SCHOOL GOVERNANCE AND MANAGEMENT.] 112.28 Subdivision 1. [ESTABLISHMENT.] The task force on school 112.29 governance and management is established to examine the existing 112.30 constitutional and statutory provisions that dictate the 112.31 governance responsibilities and authority of the respective 112.32 components of the state's public education system. 112.33 Subd. 2. [MEMBERSHIP; STAFFING.] (a) The task force on 112.34 school governance and management must be composed of nine 112.35 members, with three members appointed by the governor, three 112.36 members appointed by the speaker of the house of 113.1 representatives, and three members appointed by the subcommittee 113.2 on committees of the senate committee on rules and 113.3 administration. Members should represent the business 113.4 community, education stakeholders, parents, or other interested 113.5 community members. 113.6 (b) The executive branch through the office of the governor 113.7 shall make staff available to assist the task force. 113.8 Subd. 3. [REPORT.] (a) The task force on school governance 113.9 and management must report to the governor and the appropriate 113.10 committees of the house and senate no later than December 1, 113.11 2000. 113.12 (b) The task force must do the following: 113.13 (1) identify any governance or organizational barriers that 113.14 inhibit or preclude schools or school districts from: 113.15 (i) ensuring all students meet state and local graduation 113.16 standards; 113.17 (ii) ensuring instructional programs are available to meet 113.18 individual student's academic needs; 113.19 (iii) making efficient changes in instructional and 113.20 noninstructional program and service delivery; and 113.21 (iv) delegating instructional and general operating 113.22 decision-making to the school level; and 113.23 (2) make recommendations regarding the statutory changes 113.24 needed to enable school districts to: 113.25 (i) continuously identify changes to meet the needs of 113.26 student cohorts; 113.27 (ii) provide a variety of instructional opportunities to 113.28 meet individual student needs; 113.29 (iii) measure individual student academic achievement; and 113.30 (iv) modify or expand instructional programs if student 113.31 achievement does not meet expectations. 113.32 Subd. 4. [EXPIRATION.] The task force on school governance 113.33 and management expires on December 31, 2000. 113.34 EFFECTIVE DATE: This section is effective the day 113.35 following final enactment. 113.36 Sec. 52. [2000-2001 SCHOOL YEAR START DATE.] 114.1 Subdivision 1. [LABOR DAY START.] Notwithstanding 114.2 Minnesota Statutes, section 120A.40, for the 2000-2001 school 114.3 year only, a district must not begin the elementary or secondary 114.4 school year prior to Labor Day. 114.5 Subd. 2. [MABEL-CANTON.] Notwithstanding subdivision 1 and 114.6 Minnesota Statutes, section 120A.40, for the 2000-2001 school 114.7 year only, independent school district No. 238, Mabel-Canton, 114.8 may start the school year up to five weekdays before Labor Day 114.9 for the purpose of scheduling an additional academic term during 114.10 the regular school year. 114.11 Sec. 53. [TEACHER PREPARATION PROGRAM CREATED.] 114.12 Subdivision 1. [TEACHER PREPARATION LEADING TO LICENSURE.] 114.13 The board of trustees of the Minnesota state colleges and 114.14 universities shall offer a program of teacher preparation 114.15 leading to licensure, involving Metropolitan state university, 114.16 Inver Hills community college, and Minneapolis community and 114.17 technical college. The institutions involved shall enter into 114.18 an agreement whereby Inver Hills community college and 114.19 Minneapolis community and technical college shall provide the 114.20 first two years of the program, and Metropolitan state 114.21 university shall provide the final two years of the program. In 114.22 fall semester 2000, Minneapolis community and technical college 114.23 and Inver Hills community college shall offer a preeducation 114.24 program. After development of the program in fiscal year 2001, 114.25 Metropolitan state university shall begin its licensure program 114.26 in fall semester 2001. The program shall focus on preparing 114.27 teachers to meet the specific needs of urban and inner-ring 114.28 suburban schools and shall emphasize significant direct 114.29 classroom teaching experience and mentoring throughout each 114.30 student's preparation. The program may also focus on the 114.31 professional development of pre-tenure teachers. Metropolitan 114.32 state university, Inver Hills community college, and Minneapolis 114.33 community and technical college are encouraged to enter into 114.34 partnerships with urban and inner-ring suburban schools to 114.35 provide for significant involvement of elementary and secondary 114.36 teachers in the mentoring of students enrolled in the program. 115.1 The program shall establish a goal that at least 50 percent of 115.2 the participants be students of color. 115.3 Subd. 2. [REPORT REQUIRED.] By February 15, 2002, the 115.4 board of trustees shall provide a progress report to the chairs 115.5 of the higher education finance divisions of the legislature 115.6 regarding the development of the teacher preparation program. 115.7 The report shall include feedback from enrolled students 115.8 concerning how the program meets their needs, as well as from 115.9 cooperating elementary and secondary schools on how the students 115.10 are performing on site. The report shall also include the 115.11 number of participants in the program who are students of color. 115.12 Sec. 54. [CHARTER SCHOOL BUILDING LEASE AID ADJUSTMENT.] 115.13 Notwithstanding Minnesota Statutes, section 124D.11, 115.14 subdivision 4, for fiscal year 2000 and fiscal year 2001 only, 115.15 the amount of building lease aid for a charter school with a 115.16 lease signed before March 15, 2000, shall not exceed the lesser 115.17 of: 115.18 (1) 90 percent of the approved cost in the current year for 115.19 leases signed before March 15, 2000; or 115.20 (2) the product of the pupil units served for the current 115.21 school year times $1,500. 115.22 EFFECTIVE DATE: This section is effective the day 115.23 following final enactment. 115.24 Sec. 55. [CHARTER SCHOOL BUILDING LEASE AID REVIEW.] 115.25 The department of children, families, and learning shall 115.26 work with charter school operators and other interested parties 115.27 to create recommendations for appropriate criteria for charter 115.28 school building lease aid and report its findings to the 115.29 education committees of the legislature by January 15, 2001. 115.30 Sec. 56. [APPROPRIATIONS.] 115.31 Subdivision 1. [DEPARTMENT OF CHILDREN, FAMILIES, AND 115.32 LEARNING.] The sum indicated in this section is appropriated 115.33 from the general fund to the department of children, families, 115.34 and learning for the fiscal year indicated. 115.35 Subd. 2. [POSTRETIREMENT AND ACTIVE EMPLOYEE HEALTH CARE.] 115.36 For a report on postretirement and active employee health care: 116.1 $300,000 ..... 2001 116.2 Subd. 3. [BUSINESS CHARTER SCHOOL START-UP GRANT.] For a 116.3 new charter school with a business immersion program that 116.4 occupies a publicly owned building in St. Paul: 116.5 $200,000 ..... 2001 116.6 Subd. 4. [PROFESSIONAL TEACHING STANDARDS.] For grant 116.7 awards for national board for professional teaching standards 116.8 certification according to Laws 1997, First Special Session 116.9 chapter 4, article 5, section 22: 116.10 $150,000 .... 2001 116.11 Sec. 57. [REPEALER.] 116.12 Minnesota Statutes 1998, section 120A.41, is repealed 116.13 effective for the 2000-2001 and later school years. 116.14 ARTICLE 6 116.15 NUTRITION AND OTHER PROGRAMS 116.16 Section 1. [123B.575] [PESTICIDE APPLICATION AT SCHOOLS.] 116.17 Subdivision 1. [PARENTS' RIGHT-TO-KNOW ACT.] Subdivisions 116.18 2 to 9 may be cited as the Janet B. Johnson Parents' 116.19 Right-to-Know Act of 2000. 116.20 Subd. 2. [PESTICIDE APPLICATION NOTIFICATION.] A school 116.21 that plans to apply a pesticide which is a toxicity category I, 116.22 II, or III pesticide product, as classified by the United States 116.23 Environmental Protection Agency, or a restricted use pesticide, 116.24 as designated under the Federal Insecticide, Fungicide, and 116.25 Rodenticide Act, must provide a notice to parents and employees 116.26 that it applies such pesticides. The notice required under 116.27 subdivision 3 must: 116.28 (1) provide that an estimated schedule of the pesticide 116.29 applications is available for review or copying at the school 116.30 offices where such pesticides are applied; 116.31 (2) state that long-term health effects on children from 116.32 the application of such pesticides or the class of chemicals to 116.33 which they belong may not be fully understood; 116.34 (3) inform parents that a parent may request the school 116.35 notify him or her in the manner specified in subdivision 6 116.36 before any application of a pesticide listed in this subdivision. 117.1 Subd. 3. [NOTICE; TIMING; DISTRIBUTION.] The notice must 117.2 be provided during the first two weeks of each school year 117.3 during which pesticides listed in subdivision 2 are planned to 117.4 be applied. The notice may be included with other notices 117.5 provided by the school, but must be separately identified and 117.6 clearly visible to the reader. 117.7 Subd. 4. [SCHOOL HANDBOOK OR NEWSLETTER INFORMATION.] In 117.8 addition to the notice provided during the first two weeks of 117.9 the school year, a school that is required to provide notice 117.10 under this section shall include in any school handbook or 117.11 newsletter a section informing parents that an estimated 117.12 schedule of applications of pesticides listed in subdivision 2 117.13 is available for review or copying at the school offices, and 117.14 that a parent may receive prior notice of each application if 117.15 specifically requested. 117.16 Subd. 5. [NOTICE AVAILABILITY.] A school that uses a 117.17 pesticide listed in subdivision 2 must keep a copy of all 117.18 notifications required under subdivisions 2 and 3 in a manner 117.19 available to the public. 117.20 Subd. 6. [NOTIFICATION FOR INDIVIDUAL PARENTS.] A parent 117.21 of a student at a school may request that the school principal 117.22 or other person having general control and supervision of the 117.23 school notify the parent prior to the application of any 117.24 pesticides listed in subdivision 2 at the school. The school 117.25 principal or other person having general control and supervision 117.26 of the school must provide reasonable notice to a parent who has 117.27 requested such notification prior to applying such pesticides. 117.28 The notice may be waived for emergency applications required 117.29 only by appropriate state or local health officials. The notice 117.30 must include the pesticide to be applied, the time of the 117.31 planned application, and the location at the school of the 117.32 planned application. 117.33 Subd. 7. [MODEL NOTICE.] The department of health, in 117.34 consultation with the department of children, families, and 117.35 learning and the office of environmental assistance, shall 117.36 develop and make available to schools by August 1, 2000, a model 118.1 notice in a form that can be used by a school if it chooses to 118.2 do so. The model notice must include the information required 118.3 by this section. The department of health must provide an 118.4 opportunity for environmental groups and interested parents to 118.5 work with the department in developing the model notice. 118.6 Subd. 8. [PLAN.] A school is not required to adopt an 118.7 integrated pest management plan. A school board may only notify 118.8 students, parents, or employees that it has adopted an 118.9 integrated pest management plan if the plan is a managed pest 118.10 control program designed to minimize the risk to human health 118.11 and the environment and to reduce the use of chemical 118.12 pesticides, and which ranks the district's response to pests in 118.13 the following manner: 118.14 (1) identifying pests which need to be controlled; 118.15 (2) establishing tolerable limits of each identified pest; 118.16 (3) designing future buildings and landscapes to prevent 118.17 identified pests; 118.18 (4) excluding identified pests from sites and buildings 118.19 using maintenance practices; 118.20 (5) adapting cleaning activities and best management 118.21 practices to minimize the number of pests; 118.22 (6) using mechanical methods of controlling identified 118.23 pests; and 118.24 (7) controlling identified pests using the least toxic 118.25 pesticides with the least exposure to persons as is practicable. 118.26 Subd. 9. [PESTICIDE DEFINED; CLEANING PRODUCTS 118.27 EXCLUDED.] For purposes of this section, the term "pesticide" 118.28 has the meaning given it in section 18B.01, subdivision 18, 118.29 except that it does not include any disinfectants, sanitizers, 118.30 deodorizers, or antimicrobial agents used for general cleaning 118.31 purposes. 118.32 Subd. 10. [PEST DEFINED.] For purposes of this section, 118.33 the term "pest" has the meaning given it in section 18B.01, 118.34 subdivision 17. 118.35 Subd. 11. [SCHOOL DEFINED.] For the purposes of this 118.36 section, "school" means a school as defined in section 120A.22, 119.1 subdivision 4, excluding home schools. 119.2 Subd. 12. [IMMUNITY FROM LIABILITY.] No cause of action 119.3 may be brought against a school district, a school, or the 119.4 districts or school's employees or agents for any action taken 119.5 by them in performing their duties under this section. 119.6 EFFECTIVE DATE: This section is effective August 1, 2000. 119.7 Sec. 2. Minnesota Statutes 1998, section 123B.80, is 119.8 amended by adding a subdivision to read: 119.9 Subd. 4. [FUND TRANSFER.] A district may permanently 119.10 transfer funds without a levy reduction under section 475.61 if 119.11 at least 30 days prior to the transfer it adopts a board 119.12 resolution authorizing the action and informs each property 119.13 taxpayer in the district by first-class mail of the proposed 119.14 amount to be transferred. The notice must indicate that state 119.15 law requires the district to otherwise reduce school levies and 119.16 that levies will be higher by the amount. This notice 119.17 requirement also applies to any transfer made under this section 119.18 or by any special provision enacted into law. If the transfer 119.19 under this section or special law would not otherwise have 119.20 resulted in a levy reduction, the notice must include the amount 119.21 and must indicate that property tax levies will not be used for 119.22 the original purpose for which they were levied. 119.23 Sec. 3. Minnesota Statutes 1998, section 124D.111, 119.24 subdivision 1, is amended to read: 119.25 Subdivision 1. [SCHOOL LUNCH AID COMPUTATION.] Each school 119.26 year, the state must pay districts participating in the national 119.27 school lunch program the amount of6.5eight cents for each full 119.28 paid, reduced, and free student lunch served to students in the 119.29 district. 119.30 EFFECTIVE DATE: This section is effective the day 119.31 following final enactment. 119.32 Sec. 4. Laws 1999, chapter 241, article 6, section 14, 119.33 subdivision 2, is amended to read: 119.34 Subd. 2. [ABATEMENT AID.] For abatement aid according to 119.35 Minnesota Statutes, section 127A.49: 119.36$9,110,000$9,577,000 ..... 2000 120.1$8,947,000$8,279,000 ..... 2001 120.2 The 2000 appropriation includes $1,352,000 for 1999 and 120.3$7,758,000$8,225,000 for 2000. 120.4 The 2001 appropriation includes$861,000$914,000 for 2000 120.5 and$8,086,000$7,365,000 for 2001. 120.6 EFFECTIVE DATE: This section is effective the day 120.7 following final enactment. 120.8 Sec. 5. Laws 1999, chapter 241, article 6, section 14, 120.9 subdivision 3, is amended to read: 120.10 Subd. 3. [NONPUBLIC PUPIL AID.] For nonpublic pupil 120.11 education aid according to Minnesota Statutes, sections 123B.40 120.12 to 123B.48 and 123B.87: 120.13$10,996,000$11,552,000 ..... 2000 120.14$11,878,000$12,757,000 ..... 2001 120.15 The 2000 appropriation includes $970,000 for 1999 and 120.16$10,026,000$10,582,000 for 2000. 120.17 The 2001 appropriation includes$1,114,000$1,175,000 for 120.18 2000 and$10,764,000$11,582,000 for 2001. 120.19 The department shall recompute the maximum allotments 120.20 established on March 1, 1999, for fiscal year 2000 under 120.21 Minnesota Statutes, sections 123B.42, subdivision 3, and 120.22 123B.44, subdivision 6, to reflect the amount appropriated in 120.23 this subdivision for fiscal year 2000. 120.24 EFFECTIVE DATE: This section is effective the day 120.25 following final enactment. 120.26 Sec. 6. Laws 1999, chapter 241, article 6, section 14, 120.27 subdivision 4, is amended to read: 120.28 Subd. 4. [CONSOLIDATION TRANSITION AID.] For districts 120.29 consolidating under Minnesota Statutes, section 123A.485: 120.30$451,000$563,000 ..... 2000 120.31$375,000$455,000 ..... 2001 120.32 The 2000 appropriation includes $113,000 for 1999 and 120.33$338,000$450,000 for 2000. 120.34 The 2001 appropriation includes$37,000$50,000 for 2000 120.35 and$338,000$405,000 for 2001. 120.36 Any balance in the first year does not cancel but is 121.1 available in the second year. 121.2 EFFECTIVE DATE: This section is effective the day 121.3 following final enactment. 121.4 Sec. 7. Laws 1999, chapter 241, article 6, section 14, 121.5 subdivision 5, is amended to read: 121.6 Subd. 5. [NONPUBLIC PUPIL TRANSPORTATION.] For nonpublic 121.7 pupil transportation aid under Minnesota Statutes, section 121.8 123B.92, subdivision 9: 121.9$18,586,000$20,358,000 ..... 2000 121.10$20,922,000$21,333,000 ..... 2001 121.11 The 2000 appropriation includes $1,848,000 for 2000 and 121.12$16,738,000$18,510,000 for 2001. 121.13 The 2001 appropriation includes$1,860,000$2,057,000 for 121.14 2000 and$19,062,000$19,276,000 for 2001. 121.15 EFFECTIVE DATE: This section is effective the day 121.16 following final enactment. 121.17 Sec. 8. Laws 1999, chapter 241, article 7, section 2, 121.18 subdivision 2, is amended to read: 121.19 Subd. 2. [SCHOOL LUNCH AID.] (a) For school lunch aid 121.20 according to Minnesota Statutes, section 124D.111, and Code of 121.21 Federal Regulations, title 7, section 210.17, and for school 121.22 milk aid according to Minnesota Statutes, section 124D.118: 121.23 $8,200,000 ..... 2000 121.24 $8,200,000 ..... 2001 121.25 (b) Any unexpended balance remaining from the 121.26 appropriations in this subdivision shall be prorated among 121.27 participating schools based on the number of free, reduced, and 121.28 fully paid federally reimbursable student lunches served during 121.29 that school year. 121.30 (c)If the appropriation amount attributable to either year121.31is insufficient, the rate of payment for each fully paid student121.32lunch shall be reduced and the aid for that year shall be121.33prorated among participating schools so as not to exceed the121.34total authorized appropriation for that year.121.35(d)Not more than $800,000 of the amount appropriated each 121.36 year may be used for school milk aid. 122.1 EFFECTIVE DATE: This section is effective the day 122.2 following final enactment. 122.3 Sec. 9. Laws 1999, chapter 241, article 7, section 2, 122.4 subdivision 5, is amended to read: 122.5 Subd. 5. [SCHOOL BREAKFAST.] To operate the school 122.6 breakfast program according to Minnesota Statutes, sections 122.7 124D.115 and 124D.117: 122.8$456,000$713,000 ..... 2000 122.9$456,000$713,000 ..... 2001 122.10If the appropriation amount attributable to either year is122.11insufficient, the rate of payment for each fully paid student122.12breakfast shall be reduced and the aid for that year shall be122.13prorated among participating schools so as not to exceed the122.14total authorized appropriation for that year.Any unexpended 122.15 balance remaining shall be used to subsidize the payments made 122.16 for school lunch aid per Minnesota Statutes, section 124D.111. 122.17 Up to one percent of the program funding can be used by the 122.18 department of children, families, and learning for technical and 122.19 administrative assistance. 122.20 EFFECTIVE DATE: This section is effective the day 122.21 following final enactment. 122.22 Sec. 10. [DEPARTMENT OF CHILDREN, FAMILIES, AND LEARNING 122.23 WEB SITE.] 122.24 The department of children, families, and learning must 122.25 maintain a list of pesticides that are classified as toxicity 122.26 category I, II, or III pesticide products or as restricted use 122.27 pesticides under the Federal Insecticide, Fungicide, and 122.28 Rodenticide Act. The department must maintain the list on its 122.29 Web site or as a prominent link on its Web site to another state 122.30 or federal agency's Web site. 122.31 EFFECTIVE DATE: This section is effective August 1, 2000. 122.32 Sec. 11. [FUND TRANSFERS.] 122.33 Subdivision 1. [BROWERVILLE.] Notwithstanding Minnesota 122.34 Statutes, sections 123B.79; 123B.80; and 475.61, subdivision 4, 122.35 on June 30, 2000, independent school district No. 787, 122.36 Browerville, may permanently transfer up to $110,000 from its 123.1 debt redemption fund to its operating capital fund without 123.2 making a levy reduction. 123.3 Subd. 2. [CHOKIO-ALBERTA.] (a) Notwithstanding Minnesota 123.4 Statutes, section 123B.58, 123B.79, or 123B.80, on June 30, 123.5 2000, upon approval of the commissioner of children, families, 123.6 and learning, independent school district No. 771, 123.7 Chokio-Alberta, may permanently transfer up to $121,000 from its 123.8 reserved account for disabled accessibility to its undesignated 123.9 general fund balance. 123.10 (b) Prior to making the fund transfer, independent school 123.11 district No. 771, Chokio-Alberta, must demonstrate to the 123.12 commissioner's satisfaction that the district's school buildings 123.13 are accessible to students or employees with disabilities. 123.14 Subd. 3. [FERGUS FALLS.] Notwithstanding Minnesota 123.15 Statutes, section 123B.79, 123B.80, or 475.61, subdivision 4, 123.16 independent school district No. 544, Fergus Falls, on June 30, 123.17 2000, may permanently transfer up to $200,000 from the debt 123.18 redemption fund to the general fund without making a levy 123.19 reduction. 123.20 Subd. 4. [GRAND MEADOW.] Notwithstanding Minnesota 123.21 Statutes, sections 123B.79; 123B.80; and 475.61, subdivision 4, 123.22 independent school district No. 495, Grand Meadow, may 123.23 permanently transfer up to $300,000 from its disabled access 123.24 account in the general fund to its capital fund. This transfer 123.25 is contingent upon the school district's successful construction 123.26 of a new kindergarten through grade 12 school. 123.27 Subd. 5. [LAKEVILLE.] Notwithstanding Minnesota Statutes, 123.28 section 123B.79 or 123B.80, independent school district No. 194, 123.29 Lakeville, may transfer up to $1,000,000 from its reserved 123.30 account for operating capital to the unreserved, undesignated 123.31 general fund. When independent school district No. 194, 123.32 Lakeville, attains a positive unreserved, undesignated general 123.33 fund balance greater than ten percent of the most recent fiscal 123.34 year's expenditures, the district shall transfer the amount 123.35 exceeding ten percent to its reserve account for operating 123.36 capital until an amount is transferred back that is equal to the 124.1 amount transferred under this authority. This subdivision 124.2 expires on December 31, 2014. 124.3 Subd. 6. [MAHTOMEDI.] Notwithstanding Minnesota Statutes, 124.4 sections 123B.80, 123B.912, and 475.61, subdivision 4, on June 124.5 30, 2000, independent school district No. 832, Mahtomedi, may 124.6 permanently transfer up to $525,000 from its debt redemption 124.7 fund to its capital account in its general fund without making a 124.8 levy reduction to purchase land for a school facility. 124.9 Subd. 7. [NORMAN COUNTY EAST.] Notwithstanding Minnesota 124.10 Statutes, sections 123B.79, 123B.80, and 475.61, subdivision 4, 124.11 on June 2000, independent school district No. 2215, Norman 124.12 County East, may permanently transfer up to $419,000 from its 124.13 building construction fund to the reserved account for operating 124.14 capital in the general fund without making a levy reduction. 124.15 Subd. 8. [ST. FRANCIS.] Notwithstanding Minnesota 124.16 Statutes, section 123B.53, on June 30, 2000, independent school 124.17 district No. 15, St. Francis, may permanently transfer $543,000 124.18 from its debt service fund to the general fund to help the 124.19 district out of statutory operating debt without making a levy 124.20 reduction. This transfer is contingent upon the district 124.21 maintaining 105 percent of principal and interest against the 124.22 debt service fund liabilities. 124.23 Subd. 9. [STAPLES-MOTLEY.] Notwithstanding Minnesota 124.24 Statutes, sections 123B.79; 123B.80; and 475.61, subdivision 4, 124.25 on May 31, 2000, independent school district No. 2170, 124.26 Staples-Motley, may permanently transfer up to $71,000 from the 124.27 debt service account of the former independent school district 124.28 No. 483, Motley, to independent school district No. 2170, 124.29 Staples-Motley's, operating capital fund without making a levy 124.30 reduction. 124.31 Subd. 10. [WIN-E-MAC.] At the completion of the 124.32 consolidation of independent school district No. 604, Mentor, 124.33 and independent school district No. 2609, Win-E-Mac, up to 124.34 $125,000 may be transferred from the former Mentor school 124.35 district health and safety reserve fund to the Win-E-Mac health 124.36 and safety reserve fund. 125.1 Subd. 11. [PARKERS PRAIRIE.] Notwithstanding Minnesota 125.2 Statutes, section 123B.79, 123B.80, or 475.61, subdivision 4, 125.3 independent school district No. 547, Parkers Prairie, on June 125.4 30, 2000, may permanently transfer up to $105,000 from the debt 125.5 redemption fund to the reserved account for operating capital in 125.6 the general fund without making a levy reduction. 125.7 EFFECTIVE DATE: This section is effective the day 125.8 following final enactment. 125.9 Sec. 12. [INTERMEDIATE DISTRICTS.] 125.10 Notwithstanding any termination date in the agreements 125.11 between the intermediate school districts and the Minnesota 125.12 state colleges and universities board for the use of space in 125.13 the technical colleges or any law to the contrary, the 125.14 agreements shall not expire or terminate. 125.15 Sec. 13. [REVIEW OF FEDERAL RESTRICTIONS ON SCHOOL TRUST 125.16 FUND LANDS.] 125.17 The attorney general and the commissioner of natural 125.18 resources shall review the extent to which federal law and 125.19 policy diminish the return to the school trust fund by impairing 125.20 the use of school trust fund land. The attorney general and the 125.21 commissioner shall pursue efforts to make the school trust fund 125.22 whole, including the use of litigation if necessary. 125.23 Sec. 14. [APPROPRIATIONS.] 125.24 Subdivision 1. [DEPARTMENT OF CHILDREN, FAMILIES, AND 125.25 LEARNING.] The sums indicated in this section are appropriated 125.26 from the general fund to the department of children, families, 125.27 and learning for the fiscal years designated. 125.28 Subd. 2. [ASSISTANCE FOR IMMIGRANT FAMILIES.] For grants 125.29 to organizations that assist immigrants, ages 12 to 24, in 125.30 becoming literate and acquiring vocational skills: 125.31 $500,000 ..... 2001 125.32 Subd. 3. [MATCHING GRANTS FOR EDUCATION PROGRAMS SERVING 125.33 HOMELESS CHILDREN.] For matching grants for education programs 125.34 serving homeless children under Laws 1997, First Special Session 125.35 chapter 4, article 2, section 48: 125.36 $1,000,000 ..... 2001 126.1 Subd. 4. [COOPERATIVE SECONDARY FACILITY; PLANNING AND 126.2 EXPENSES.] For a grant and administrative expenses to facilitate 126.3 planning for a cooperative secondary facility under a joint 126.4 powers agreement for school district Nos. 411, Balaton, 402, 126.5 Ivanhoe, 404, Lake Benton, 418, Russell, 584, Ruthton, and 409, 126.6 Tyler: 126.7 $100,000 ..... 2001 126.8 Subd. 5. [ARTS VIA THE INTERNET.] For an arts via the 126.9 Internet collaborative project between the Walker art center and 126.10 the Minneapolis institute of arts: 126.11 $1,000,000 ..... 2001 126.12 Subd. 6. [BEST PRACTICES SEMINARS.] For best practices 126.13 graduation rule seminars to be conducted by the commissioner 126.14 after consultation with Education Minnesota: 126.15 $4,000,000 ..... 2001 126.16 Of this amount, $500,000 is for the Minnesota children's museum 126.17 reading program and $1,000,000 is for the Minnesota new teacher 126.18 project. 126.19 Subd. 7. [MAGNET SCHOOL FACILITIES GRANTS.] (a) For magnet 126.20 school facilities grants: 126.21 $1,500,000 ..... 2001 126.22 (b) Of this amount, $1,200,000 is for the discovery magnet 126.23 school in independent school district No. 347, Willmar, for 126.24 capital and operating costs of the magnet school serving 126.25 children from birth through grade 4. 126.26 (c) Of this amount, $300,000 is to independent school 126.27 district No. 696, Ely, to determine the feasibility of 126.28 establishing a joint secondary and higher education 126.29 environmental studies magnet school. 126.30 Sec. 15. [REPEALER.] 126.31 Minnesota Statutes 1999 Supplement, section 124D.1155, 126.32 subdivision 5, is repealed. 126.33 EFFECTIVE DATE: This section is effective the day 126.34 following final enactment. 126.35 ARTICLE 7 126.36 LIBRARIES 127.1 Section 1. Minnesota Statutes 1999 Supplement, section 127.2 126C.10, subdivision 14, is amended to read: 127.3 Subd. 14. [USES OF TOTAL OPERATING CAPITAL REVENUE.] Total 127.4 operating capital revenue may be used only for the following 127.5 purposes: 127.6 (1) to acquire land for school purposes; 127.7 (2) to acquire or construct buildings for school purposes; 127.8 (3) to rent or lease buildings, including the costs of 127.9 building repair or improvement that are part of a lease 127.10 agreement; 127.11 (4) to improve and repair school sites and buildings, and 127.12 equip or reequip school buildings with permanent attached 127.13 fixtures, including library media centers; 127.14 (5) for a surplus school building that is used 127.15 substantially for a public nonschool purpose; 127.16 (6) to eliminate barriers or increase access to school 127.17 buildings by individuals with a disability; 127.18 (7) to bring school buildings into compliance with the 127.19 Uniform Fire Code adopted according to chapter 299F; 127.20 (8) to remove asbestos from school buildings, encapsulate 127.21 asbestos, or make asbestos-related repairs; 127.22 (9) to clean up and dispose of polychlorinated biphenyls 127.23 found in school buildings; 127.24 (10) to clean up, remove, dispose of, and make repairs 127.25 related to storing heating fuel or transportation fuels such as 127.26 alcohol, gasoline, fuel oil, and special fuel, as defined in 127.27 section 296A.01; 127.28 (11) for energy audits for school buildings and to modify 127.29 buildings if the audit indicates the cost of the modification 127.30 can be recovered within ten years; 127.31 (12) to improve buildings that are leased according to 127.32 section 123B.51, subdivision 4; 127.33 (13) to pay special assessments levied against school 127.34 property but not to pay assessments for service charges; 127.35 (14) to pay principal and interest on state loans for 127.36 energy conservation according to section 216C.37 or loans made 128.1 under the Northeast Minnesota Economic Protection Trust Fund Act 128.2 according to sections 298.292 to 298.298; 128.3 (15) to purchase or lease interactive telecommunications 128.4 equipment; 128.5 (16) by board resolution, to transfer money into the debt 128.6 redemption fund to: (i) pay the amounts needed to meet, when 128.7 due, principal and interest payments on certain obligations 128.8 issued according to chapter 475; or (ii) pay principal and 128.9 interest on debt service loans or capital loans according to 128.10 section 126C.70; 128.11 (17) to pay operating capital-related assessments of any 128.12 entity formed under a cooperative agreement between two or more 128.13 districts; 128.14 (18) to purchase or lease computers and related materials, 128.15 copying machines, telecommunications equipment, and other 128.16 noninstructional equipment; 128.17 (19) to purchase or lease assistive technology or equipment 128.18 for instructional programs; 128.19 (20) to purchase textbooks; 128.20 (21) to purchase new and replacement librarybooksmedia 128.21 resources or technology; 128.22 (22) to purchase vehicles; 128.23 (23) to purchase or lease telecommunications equipment, 128.24 computers, and related equipment for integrated information 128.25 management systems for: 128.26 (i) managing and reporting learner outcome information for 128.27 all students under a results-oriented graduation rule; 128.28 (ii) managing student assessment, services, and achievement 128.29 information required for students with individual education 128.30 plans; and 128.31 (iii) other classroom information management needs; and 128.32 (24) to pay personnel costs directly related to the 128.33 acquisition, operation, and maintenance of telecommunications 128.34 systems, computers, related equipment, and network and 128.35 applications software. 128.36 EFFECTIVE DATE: This section is effective for the 129.1 2000-2001 and later school years. 129.2 Sec. 2. Laws 1997, First Special Session chapter 4, 129.3 article 8, section 4, as amended by Laws 1998, chapter 398, 129.4 article 7, section 1, and Laws 1999, chapter 241, article 8, 129.5 section 1, is amended to read: 129.6 Sec. 4. [LIBRARY PROJECT.] 129.7 Subdivision 1. [ESTABLISHMENT.] Notwithstanding law to the 129.8 contrary and subject to approvals in subdivision 2, a public 129.9 library may operate as a library project jointly with the school 129.10 library at Nashwauk-Keewatin high school, located in the city of 129.11 Nashwauk. The public library is established to serve persons 129.12 within the boundaries of independent school district No. 319, 129.13 except the city of Keewatin. 129.14 Subd. 2. [APPROVALS.] Operation of the public library is 129.15 contingent upon the governing bodies of cities, towns, and 129.16 unorganized townships within the geographical boundaries of 129.17 independent school district No. 319, except for the city of 129.18 Keewatin, entering into a joint powers agreement under Minnesota 129.19 Statutes 1998, section 471.59, to accomplish the purpose of this 129.20 section. The joint powers agreement must provide for continuing 129.21 the library project if onepartyor more parties to the 129.22 agreement withdraws from or fails to enter into the agreement. 129.23 For the purposes of this subdivision, the Itasca county board is 129.24 designated as the governing body for the unorganized townships. 129.25 Subd. 3. [BOARD; APPOINTMENTS.] The joint powers agreement 129.26 in subdivision 2 shall provide for a library board of seven 129.27 members as follows: two members appointed by the school board 129.28 of independent school district No. 319, one member appointed by 129.29 each town board located within independent school district No. 129.30 319 boundaries that is a member of the library district, one 129.31 member appointed by the council of the city of Nashwauk, and one 129.32 member appointed by the Itasca county board to represent the 129.33 unorganized towns within the school district territory. 129.34 Subd. 4. [BOARD TERMS; COMPENSATION.] The library board 129.35 members shall serve for the term of the library project. An 129.36 appointing authority may remove for misconduct or neglect any 130.1 member it has appointed to the board and may replace that member 130.2 by appointment. Board members shall receive no compensation for 130.3 their services but may be reimbursed for actual and necessary 130.4 travel expenses incurred in the discharge of library board 130.5 duties and activities. 130.6 Subd. 5. [FUNDING.] For taxes payable in1998, 1999, 2000,130.7 2001, 2002, and 2003 only, and provided that the joint powers 130.8 agreement under subdivision 2 has been executed by September 1 130.9 of the previous calendar year, the library board may levy a tax 130.10 in an amount up to $25,000 annually on property located within 130.11 the boundaries of independent school district No. 319, except 130.12 the city of Keewatin.The Itasca county auditor shall collect130.13the tax and distribute it to the library board.The levy shall 130.14 be assessed against the individual members of the joint powers 130.15 agreement. The money may be used for library staff and for the 130.16 purchase of library materials, including computer software.The130.17levy must also fund the amount necessary to receive bookmobile130.18services from the Arrowhead regional library system.For taxes 130.19 payable in1998, 1999, 2000,2001, 2002, and 2003 only, the 130.20 county may not levy under Minnesota Statutes, section 134.07, 130.21 for the areas described in this section. 130.22 Subd. 6. [BUILDING.] The school district shall provide the 130.23 physical space and costs associated with operating the library 130.24 including, but not limited to, heat, light, telephone service, 130.25 and maintenance. 130.26 Subd. 7. [ORGANIZATION.] Immediately after appointment, 130.27 the library board shall organize by electing one of its number 130.28 as president and one as secretary, and it may appoint other 130.29 officers it finds necessary. 130.30 Subd. 8. [DUTIES.] The library board shall adopt bylaws 130.31 and regulations for the library and for the conduct of its 130.32 business as may be expedient and conformable to law. It shall 130.33 have exclusive control of the expenditure of all money collected 130.34 for it. The library board shall appoint a qualified library 130.35 director and other staff, establish the compensation of 130.36 employees, and remove any of them for cause. The library board 131.1 may contract with the school board, the regional library board, 131.2 or the city in which the library is located to provide 131.3 personnel, fiscal, or administrative services. The contract 131.4 shall state the personnel, fiscal, and administrative services 131.5 and payments to be provided by each party. 131.6 Subd. 9. [CRITERIA.] The library shall meet all 131.7 requirements in statutes and rules applicable to public 131.8 libraries and school media centers. A media supervisor licensed 131.9 by the board of teaching may be the director of the library. 131.10 Public parking, restrooms, drinking water, and other necessities 131.11 shall be easily accessible to library patrons. 131.12 EFFECTIVE DATE: This section is effective the day 131.13 following final enactment. 131.14 Sec. 3. Laws 1999, chapter 241, article 8, section 4, 131.15 subdivision 4, is amended to read: 131.16 Subd. 4. [REGIONAL LIBRARY TELECOMMUNICATIONS AID.] For 131.17 grants to regional public library systems under Minnesota 131.18 Statutes, section 125B.20, subdivision 3: 131.19 $1,200,000 ..... 2000 131.20$1,200,000$3,700,000 ..... 2001 131.21 Any balance in the first year does not cancel but is 131.22 available in the second year. 131.23 Notwithstanding Minnesota Statutes, section 125B.20, 131.24 subdivision 3, this appropriation may be used for video lines in 131.25 addition to the uses under Minnesota Statutes, section 125B.20, 131.26 subdivision 3. 131.27 This amount shall not be included as part of the base for 131.28 fiscal year 2002-2003. 131.29 Sec. 4. Laws 1999, chapter 241, article 8, section 4, 131.30 subdivision 5, is amended to read: 131.31 Subd. 5. [LIBRARY FOR THE BLIND.] For compact shelving, 131.32 technology, and staffing for the Minnesota library for the blind 131.33 and physically handicapped: 131.34 $212,000 ..... 2000 131.35 This appropriation is available until June 30, 2001. 131.36 ARTICLE 8 132.1 DEPARTMENT OF CHILDREN, FAMILIES, AND LEARNING 132.2 Section 1. Laws 1999, chapter 241, article 10, section 6, 132.3 is amended to read: 132.4 Sec. 6. [APPROPRIATIONS; LOLA AND RUDY PERPICH MINNESOTA 132.5 CENTER FOR ARTS EDUCATION.] 132.6 The sums indicated in this section are appropriated from 132.7 the general fund to the center for arts education for the fiscal 132.8 years designated: 132.9 $7,239,000 ..... 2000 132.10 $7,400,000 ..... 2001 132.11 Of each year's appropriation, $154,000 is to fund artist 132.12 and arts organization participation in the education residency 132.13 and education technology projects, $75,000 is for school support 132.14 for the residency project, $121,000 is for further development 132.15 of the partners: arts and school for students (PASS) program, 132.16 including pilots, and$220,000$110,000 is to fund the center 132.17 for arts education base for asset preservation and facility 132.18 repair. The guidelines for the education residency project and 132.19 the pass program shall be developed and defined by the center 132.20 for arts education in cooperation with the Minnesota arts 132.21 board. The Minnesota arts board shall participate in the review 132.22 and allocation process. The center for arts education and the 132.23 Minnesota arts board shall cooperate to fund these projects. 132.24 Any balance in the first year does not cancel but is 132.25 available in the second year. 132.26 EFFECTIVE DATE: This section is effective the day 132.27 following final enactment. 132.28 Sec. 2. [PURCHASING COMPUTER HARDWARE AND SOFTWARE.] 132.29 The department of children, families, and learning and 132.30 local school districts shall not be precluded from purchasing 132.31 computer hardware and software from specific vendors. The 132.32 department of children, families, and learning or any other 132.33 governmental agency or subdivision shall only prescribe 132.34 technology standards that include provisions for 132.35 interoperability of computer systems and cross-platform access 132.36 to computer programs. 133.1 ARTICLE 9 133.2 TECHNICAL, CONFORMING, AND CLARIFYING AMENDMENTS 133.3 Section 1. Minnesota Statutes 1998, section 120A.22, 133.4 subdivision 3, is amended to read: 133.5 Subd. 3. [PARENT DEFINED; RESIDENCY DETERMINED.] (a) In 133.6 this section and sections 120A.24,and 120A.26,and 120A.41,133.7 "parent" means a parent, guardian, or other person having legal 133.8 custody of a child. 133.9 (b) In sections 125A.03 to 125A.24 and 125A.65, "parent" 133.10 means a parent, guardian, or other person having legal custody 133.11 of a child under age 18. For an unmarried pupil age 18 or over, 133.12 "parent" means the pupil unless a guardian or conservator has 133.13 been appointed, in which case it means the guardian or 133.14 conservator. 133.15 (c) For purposes of sections 125A.03 to 125A.24 and 133.16 125A.65, the school district of residence for an unmarried pupil 133.17 age 18 or over who is a parent under paragraph (b) and who is 133.18 placed in a center for care and treatment, shall be the school 133.19 district in which the pupil's biological or adoptive parent or 133.20 designated guardian resides. 133.21 (d) For a married pupil age 18 or over, the school district 133.22 of residence is the school district in which the married pupil 133.23 resides. 133.24 Sec. 2. Minnesota Statutes 1998, section 122A.31, 133.25 subdivision 4, is amended to read: 133.26 Subd. 4. [REIMBURSEMENT.] For purposes of revenue 133.27 undersections 125A.77 andsection 125A.78, the department of 133.28 children, families, and learning must only reimburse school 133.29 districts for the services of those interpreters/transliterators 133.30 who satisfy the standards of competency under this section. 133.31 Sec. 3. Minnesota Statutes 1998, section 123B.02, is 133.32 amended by adding a subdivision to read: 133.33 Subd. 5a. [TRESPASSES ON SCHOOL PROPERTY.] Trespasses on 133.34 school property shall be governed according to section 609.605, 133.35 subdivision 4. 133.36 Sec. 4. Minnesota Statutes 1998, section 123B.85, 134.1 subdivision 1, is amended to read: 134.2 Subdivision 1. [APPLICATION.] The following words and 134.3 terms in sections 121A.585, 121A.59, 123B.84 to 123B.87,and134.4123B.89 to123B.90, and 123B.91, shall have the following 134.5 meanings ascribed to them. 134.6 Sec. 5. Minnesota Statutes 1999 Supplement, section 134.7 124D.128, subdivision 2, is amended to read: 134.8 Subd. 2. [COMMISSIONER DESIGNATION.] An area learning 134.9 center designated by the state must be a site. To be 134.10 designated, a district or center must demonstrate to the 134.11 commissioner that it will: 134.12 (1) provide a program of instruction that permits pupils to 134.13 receive instruction throughout the entire year; and 134.14 (2) maintain a record system that, for purposes of section 134.15124.17126C.05, permits identification of membership 134.16 attributable to pupils participating in the program. The record 134.17 system and identification must ensure that the program will not 134.18 have the effect of increasing the total number of pupil units 134.19 attributable to an individual pupil as a result of a learning 134.20 year program. 134.21 Sec. 6. Minnesota Statutes 1998, section 124D.454, 134.22 subdivision 2, is amended to read: 134.23 Subd. 2. [DEFINITIONS.] For the purposes of this 134.24 sectionand section 125A.77, the definitions in this subdivision 134.25 apply. 134.26 (a) "Base year" for fiscal year 1996 means fiscal year 1995. 134.27 Base year for later fiscal years means the second fiscal year 134.28 preceding the fiscal year for which aid will be paid. 134.29 (b) "Basic revenue" has the meaning given it in section 134.30 126C.10, subdivision 2. For the purposes of computing basic 134.31 revenue pursuant to this section, each child with a disability 134.32 shall be counted as prescribed in section 126C.05, subdivision 1. 134.33 (c) "Average daily membership" has the meaning given it in 134.34 section 126C.05. 134.35 (d) "Program growth factor" means 1.00 for fiscal year 1998 134.36 and later. 135.1 (e) "Aid percentage factor" means 60 percent for fiscal 135.2 year 1996, 70 percent for fiscal year 1997, 80 percent for 135.3 fiscal year 1998, 90 percent for fiscal year 1999, and 100 135.4 percent for fiscal year 2000 and later. 135.5 Sec. 7. Minnesota Statutes 1998, section 124D.454, 135.6 subdivision 10, is amended to read: 135.7 Subd. 10. [EXCLUSION.] A district shall not receive aid 135.8 pursuant to section 124D.453,or 125A.76, or 125A.77for 135.9 salaries, supplies, travel or equipment for which the district 135.10 receives aid pursuant to this section. 135.11 Sec. 8. Minnesota Statutes 1999 Supplement, section 135.12 125A.023, subdivision 3, is amended to read: 135.13 Subd. 3. [DEFINITIONS.] For purposes of this section and 135.14 section 125A.027, the following terms have the meanings given 135.15 them: 135.16 (a) "Health plan" means: 135.17 (1) a health plan under section 62Q.01, subdivision 3; 135.18 (2) a county-based purchasing plan under section 256B.692; 135.19 (3) a self-insured health plan established by a local 135.20 government under section 471.617; or 135.21 (4) self-insured health coverage provided by the state to 135.22 its employees or retirees. 135.23 (b) For purposes of this section, "health plan company" 135.24 means an entity that issues a health plan as defined in 135.25 paragraph (a). 135.26 (c) "Individual interagency intervention plan" means a 135.27 standardized written plan describing those programs or services 135.28 and the accompanying funding sources available to eligible 135.29 children with disabilities. 135.30 (d) "Interagency intervention service system" means a 135.31 system that coordinates services and programs required in state 135.32 and federal law to meet the needs of eligible children with 135.33 disabilities ages three to 21, including: 135.34 (1) services provided under the following programs or 135.35 initiatives administered by state or local agencies: 135.36 (i) the maternal and child health program under title V of 136.1 the Social Security Act, United States Code, title 42, sections 136.2 701 to 709; 136.3 (ii) the Individuals with Disabilities Education Act under 136.4 United States Code, title 20, chapter 33, subchapter II, 136.5 sections 1411 to 1420; 136.6 (iii) medical assistance under the Social Security Act, 136.7 United States Code, title 42, chapter 7, subchapter XIX, section 136.8 1396, et seq.; 136.9 (iv) the Developmental Disabilities Assistance and Bill of 136.10 Rights Act, United States Code, title 42, chapter 75, subchapter 136.11 II, sections 6021 to 6030, Part B; 136.12 (v) the Head Start Act, United States Code, title 42, 136.13 chapter 105, subchapter II, sections 9831 to 9852; 136.14 (vi) rehabilitation services provided under chapter 268A; 136.15 (vii) Juvenile Court Act services provided under sections 136.16 260.011 to 260.91; 260B.001 to 260B.446; and 260C.001 to 136.17 260C.451; 136.18 (viii) the children's mental health collaboratives under 136.19 section 245.493; 136.20 (ix) the family service collaboratives under section 136.21 124D.23; 136.22 (x) the family community support plan under section 136.23 245.4881, subdivision 4; 136.24 (xi) the MinnesotaCare program under chapter 256L; 136.25 (xii) the community health services grants under chapter 136.26 145; 136.27 (xiii) the Community Social Services Act funding under the 136.28 Social Security Act, United States Code, title 42, sections 1397 136.29 to 1397f; and 136.30 (xiv) the communityinteragencytransition interagency 136.31 committees under section 125A.22; 136.32 (2) services provided under a health plan in conformity 136.33 with an individual family service plan or an individual 136.34 education plan; and 136.35 (3) additional appropriate services that local agencies and 136.36 counties provide on an individual need basis upon determining 137.1 eligibility and receiving a request from the interagency early 137.2 intervention committee and the child's parent. 137.3 (e) "Children with disabilities" has the meaning given in 137.4 section 125A.02. 137.5 (f) A "standardized written plan" means those individual 137.6 services or programs available through the interagency 137.7 intervention service system to an eligible child other than the 137.8 services or programs described in the child's individual 137.9 education plan or the child's individual family service plan. 137.10 Sec. 9. Minnesota Statutes 1999 Supplement, section 137.11 125A.023, subdivision 5, is amended to read: 137.12 Subd. 5. [INTERVENTION DEMONSTRATION PROJECTS.] (a) The 137.13 commissioner of children, families, and learning, based on 137.14 recommendations from the state interagency committee, shall 137.15 issue a request for proposals by January 1, 1999, for grants to 137.16 the governing boards of interagency early intervention 137.17 committees under section 125A.027 or a combination of one or 137.18 more counties and school districts to establish five voluntary 137.19 interagency intervention demonstration projects. One grant 137.20 shall be used to implement a coordinated service system for all 137.21 eligible children with disabilities up to age five who received 137.22 services under sections 125A.26 to 125A.48. One grant shall be 137.23 used to implement a coordinated service system for a population 137.24 of minority children with disabilities from ages 12 to 21, who 137.25 may have behavioral problems and are in need of transitional 137.26 services. Each project must be operational by July 1, 1999. 137.27 The governing boards of the interagency early intervention 137.28 committees and the counties and school districts receiving 137.29 project grants must develop efficient ways to coordinate 137.30 services and funding for children with disabilities ages three 137.31 to 21, consistent with the requirements of this section and 137.32 section 125A.027 and the guidelines developed by the state 137.33 interagency committee under this section. 137.34 (b) The state interagency committee shall evaluate the 137.35 demonstration projects and provide the evaluation results to 137.36 interagency early intervention committees. 138.1 Sec. 10. Minnesota Statutes 1999 Supplement, section 138.2 125A.08, is amended to read: 138.3 125A.08 [SCHOOL DISTRICT OBLIGATIONS.] 138.4 (a) As defined in this section,to the extent required by138.5federal law as of July 1, 2000,every district must ensure the 138.6 following: 138.7 (1) all students with disabilities are provided the special 138.8 instruction and services which are appropriate to their needs. 138.9 Where the individual education plan team has determined 138.10 appropriate goals and objectives based on the student's needs, 138.11 including the extent to which the student can be included in the 138.12 least restrictive environment, and where there are essentially 138.13 equivalent and effective instruction, related services, or 138.14 assistive technology devices available to meet the student's 138.15 needs, cost to the district may be among the factors considered 138.16 by the team in choosing how to provide the appropriate services, 138.17 instruction, or devices that are to be made part of the 138.18 student's individual education plan. The individual education 138.19 plan team shall consider and may authorize services covered by 138.20 medical assistance according to section 256B.0625, subdivision 138.21 26. The student's needs and the special education instruction 138.22 and services to be provided must be agreed upon through the 138.23 development of an individual education plan. The plan must 138.24 address the student's need to develop skills to live and work as 138.25 independently as possible within the community. By grade 9 or 138.26 age 14, the plan must address the student's needs for transition 138.27 from secondary services to post-secondary education and 138.28 training, employment, community participation, recreation, and 138.29 leisure and home living. In developing the plan, districts must 138.30 inform parents of the full range of transitional goals and 138.31 related services that should be considered. The plan must 138.32 include a statement of the needed transition services, including 138.33 a statement of the interagency responsibilities or linkages or 138.34 both before secondary services are concluded; 138.35 (2) children with a disability under age five and their 138.36 families are provided special instruction and services 139.1 appropriate to the child's level of functioning and needs; 139.2 (3) children with a disability and their parents or 139.3 guardians are guaranteed procedural safeguards and the right to 139.4 participate in decisions involving identification, assessment 139.5 including assistive technology assessment, and educational 139.6 placement of children with a disability; 139.7 (4) eligibility and needs of children with a disability are 139.8 determined by an initial assessment or reassessment, which may 139.9 be completed using existing data under United States Code, title 139.10 20, section 33, et seq.; 139.11 (5) to the maximum extent appropriate, children with a 139.12 disability, including those in public or private institutions or 139.13 other care facilities, are educated with children who are not 139.14 disabled, and that special classes, separate schooling, or other 139.15 removal of children with a disability from the regular 139.16 educational environment occurs only when and to the extent that 139.17 the nature or severity of the disability is such that education 139.18 in regular classes with the use of supplementary services cannot 139.19 be achieved satisfactorily; 139.20 (6) in accordance with recognized professional standards, 139.21 testing and evaluation materials, and procedures used for the 139.22 purposes of classification and placement of children with a 139.23 disability are selected and administered so as not to be 139.24 racially or culturally discriminatory; and 139.25 (7) the rights of the child are protected when the parents 139.26 or guardians are not known or not available, or the child is a 139.27 ward of the state. 139.28 (b) For paraprofessionals employed to work in programs for 139.29 students with disabilities, the school board in each district 139.30 shall ensure that: 139.31 (1) before or immediately upon employment, each 139.32 paraprofessional develops sufficient knowledge and skills in 139.33 emergency procedures, building orientation, roles and 139.34 responsibilities, confidentiality, vulnerability, and 139.35 reportability, among other things, to begin meeting the needs of 139.36 the students with whom the paraprofessional works; 140.1 (2) annual training opportunities are available to enable 140.2 the paraprofessional to continue to further develop the 140.3 knowledge and skills that are specific to the students with whom 140.4 the paraprofessional works, including understanding 140.5 disabilities, following lesson plans, and implementing follow-up 140.6 instructional procedures and activities; and 140.7 (3) a districtwide process obligates each paraprofessional 140.8 to work under the ongoing direction of a licensed teacher and, 140.9 where appropriate and possible, the supervision of a school 140.10 nurse. 140.11 Sec. 11. Minnesota Statutes 1998, section 125A.76, 140.12 subdivision 7, is amended to read: 140.13 Subd. 7. [REVENUE ALLOCATION FROM COOPERATIVE CENTERS AND 140.14 INTERMEDIATES.] For the purposes of this sectionand section140.15125A.77, a special education cooperative or an intermediate 140.16 district must allocate its approved expenditures for special 140.17 education programs among participating school districts. 140.18 Sec. 12. Minnesota Statutes 1999 Supplement, section 140.19 125A.79, subdivision 8, is amended to read: 140.20 Subd. 8. [OUT-OF-STATE TUITION.] For children who are 140.21 residents of the state, receive services under section 125A.76, 140.22 subdivisions 1 and 2, and are placed in a care and treatment 140.23 facility by court action in a state that does not have a 140.24 reciprocity agreement with the commissioner under section 140.25125A.115125A.155, the resident school district shall submit the 140.26 balance of the tuition bills, minus the amount of the basic 140.27 revenue, as defined by section 126C.10, subdivision 2, of the 140.28 district for the child and the special education aid, and any 140.29 other aid earned on behalf of the child. 140.30 Sec. 13. Minnesota Statutes 1999 Supplement, section 140.31 125A.80, is amended to read: 140.32 125A.80 [UNIFORM BILLING SYSTEM FOR THE EDUCATION COSTS OF 140.33 OUT-OF-HOME PLACED STUDENTS.] 140.34 The commissioner, in cooperation with the commissioners of 140.35 human services and corrections and with input from appropriate 140.36 billing system users, shall develop and implement a uniform 141.1 billing system for school districts and other agencies, 141.2 including private providers, who provide the educational 141.3 services for students who are placed out of the home. The 141.4 uniform billing system must: 141.5 (1) allow for the proper and timely billing to districts by 141.6 service providers with a minimum amount of district 141.7 administration; 141.8 (2) allow districts to bill the state for certain types of 141.9 special education and regular education services as provided by 141.10 law; 141.11 (3) provide flexibility for the types of services that are 141.12 provided for children placed out of the home, including day 141.13 treatment services; 141.14 (4) allow the commissioner to track the type, cost, and 141.15 quality of services provided for children placed out of the 141.16 home; 141.17 (5) conform existing special education and proposed regular 141.18 education billing procedures; 141.19 (6) provide a uniform reporting standard of per diem rates; 141.20 (7) determine allowable expenses and maximum reimbursement 141.21 rates for the state reimbursement of care and treatment services 141.22according to section 124D.701; and 141.23 (8) provide a process for the district to appeal to the 141.24 commissioner tuition bills submitted to districts and to the 141.25 state. 141.26 Sec. 14. Minnesota Statutes 1999 Supplement, section 141.27 125B.21, subdivision 3, is amended to read: 141.28 Subd. 3. [CRITERIA.] In addition to responsibilities of 141.29 the council under Laws 1993, First Special Session chapter 2, as 141.30 amended, the telecommunications council shall evaluate grant 141.31 applications under section124C.74125B.20 and applications from 141.32 district organizations using the following criteria: 141.33 (1) evidence of cooperative arrangements with other 141.34 post-secondary institutions, school districts, and community and 141.35 regional libraries in the geographic region; 141.36 (2) plans for shared classes and programs; 142.1 (3) avoidance of network duplication; 142.2 (4) evidence of efficiencies to be achieved in delivery of 142.3 instruction due to use of telecommunications; 142.4 (5) a plan for development of a list of all courses 142.5 available in the region for delivery at a distance; 142.6 (6) a plan for coordinating and scheduling courses; and 142.7 (7) a plan for evaluation of costs, access, and outcomes. 142.8 Sec. 15. Minnesota Statutes 1999 Supplement, section 142.9 126C.10, subdivision 24, is amended to read: 142.10 Subd. 24. [EQUITY REVENUE.] (a) A school district 142.11 qualifies for equity revenue if the school district's adjusted 142.12 marginal cost pupil unit amount of basic revenue, supplemental 142.13 revenue, transition revenue, and referendum revenue is less than 142.14 the 90th percentile of school districts in its equity region for 142.15 those revenue categories and the school district's 142.16 administrative offices are not located in a city of the first 142.17 class on July 1, 1999. 142.18 (b) Equity revenue for a qualifying district that receives 142.19 referendum revenue under section 126C.17, subdivision 4, equals 142.20 the product of (1) the district's adjusted marginal cost pupil 142.21 units for that year; times (2) the sum of (i) $10, plus (ii) 142.22 $30, times the school district's equity index computed under 142.23section 126C.10,subdivision627. 142.24 (c) Equity revenue for a qualifying district that does not 142.25 receive referendum revenue under section 126C.17, subdivision 4, 142.26 equals the product of the district's adjusted marginal cost 142.27 pupil units for that year times $10. 142.28 Sec. 16. Minnesota Statutes 1998, section 126C.12, 142.29 subdivision 2, is amended to read: 142.30 Subd. 2. [INSTRUCTOR DEFINED.] Primary instructor means a 142.31 public employee licensed by the board of teaching whose duties 142.32 are full-time instruction, excluding a teacher for whom 142.33 categorical aids are received pursuant tosectionssection 142.34 125A.76and 125A.77. Except as provided in section 122A.68, 142.35 subdivision 6, instructor does not include supervisory and 142.36 support personnel, except school social workers as defined in 143.1 section 122A.15. An instructor whose duties are less than 143.2 full-time instruction must be included as an equivalent only for 143.3 the number of hours of instruction in grades kindergarten 143.4 through 6. 143.5 Sec. 17. Minnesota Statutes 1998, section 127A.05, 143.6 subdivision 4, is amended to read: 143.7 Subd. 4. [ADMINISTRATIVE RULES.] The commissioner may 143.8 adopt new rulesand amend themor amend any existing rules only 143.9 under specific authority and consistent with the requirements of 143.10 chapter 14. The commissioner may repeal any existing 143.11 rules adopted by the commissioner. Notwithstanding the 143.12 provisions of section 14.05, subdivision 4, the commissioner may 143.13 grant a variance to rules adopted by the commissioner upon 143.14 application by a school district for purposes of implementing 143.15 experimental programs in learning or school management. This 143.16 subdivision shall not prohibit the commissioner from making 143.17 technical changes or corrections toadoptedrules adopted by the 143.18 commissioner. 143.19 Sec. 18. Minnesota Statutes 1998, section 127A.41, 143.20 subdivision 8, is amended to read: 143.21 Subd. 8. [APPROPRIATION TRANSFERS.] If a direct 143.22 appropriation from the general fund to the department for any 143.23 education aid or grant authorized in this chapter and chapters 143.24 122A, 123A, 123B, 124D, 126C, and 134, excluding appropriations 143.25 under sections 124D.135,124D.14,124D.16, 124D.20, 124D.21, 143.26 124D.22, 124D.52, 124D.53, 124D.54, 124D.55, and 124D.56, 143.27 exceeds the amount required, the commissioner may transfer the 143.28 excess to any education aid or grant appropriation that is 143.29 insufficient. However, section 126C.20 applies to a deficiency 143.30 in the direct appropriation for general education aid. Excess 143.31 appropriations must be allocated proportionately among aids or 143.32 grants that have insufficient appropriations. The commissioner 143.33 of finance shall make the necessary transfers among 143.34 appropriations according to the determinations of the 143.35 commissioner. If the amount of the direct appropriation for the 143.36 aid or grant plus the amount transferred according to this 144.1 subdivision is insufficient, the commissioner shall prorate the 144.2 available amount among eligible districts. The state is not 144.3 obligated for any additional amounts. 144.4 Sec. 19. Minnesota Statutes 1998, section 127A.41, 144.5 subdivision 9, is amended to read: 144.6 Subd. 9. [APPROPRIATION TRANSFERS FOR COMMUNITY EDUCATION 144.7 PROGRAMS.] If a direct appropriation from the general fund to 144.8 the department of children, families, and learning for an 144.9 education aid or grant authorized under section 144.10 124D.135,124D.14,124D.16, 124D.20, 124D.21, 124D.22, 124D.52, 144.11 124D.53, 124D.54, 124D.55, or 124D.56 exceeds the amount 144.12 required, the commissioner of children, families, and learning 144.13 may transfer the excess to any education aid or grant 144.14 appropriation that is insufficiently funded under these sections. 144.15 Excess appropriations shall be allocated proportionately among 144.16 aids or grants that have insufficient appropriations. The 144.17 commissioner of finance shall make the necessary transfers among 144.18 appropriations according to the determinations of the 144.19 commissioner of children, families, and learning. If the amount 144.20 of the direct appropriation for the aid or grant plus the amount 144.21 transferred according to this subdivision is insufficient, the 144.22 commissioner shall prorate the available amount among eligible 144.23 districts. The state is not obligated for any additional 144.24 amounts. 144.25 Sec. 20. Minnesota Statutes 1999 Supplement, section 144.26 181A.04, subdivision 6, is amended to read: 144.27 Subd. 6. A high school student under the age of 18 must 144.28 not be permitted to work after 11:00 p.m. on an evening before a 144.29 school day or before 5:00 a.m. on a school day, except as 144.30 permitted by section 181A.07, subdivisions 1, 2, 3, and 4. If a 144.31 high school student under the age of 18 has supplied the 144.32 employer with a note signed by the parent or guardian of the 144.33 student, the student may be permitted to work until 11:30 p.m. 144.34 on the evening before a school day and beginning at 4:30 a.m. on 144.35 a school day. 144.36 For the purpose of this subdivision, a high school student 145.1 does not include a student enrolled in an alternative education 145.2 program approved by the commissioner of children, families, and 145.3 learning or an area learning center, including area learning 145.4 centers under sections 123A.05 to 123A.08 or according to 145.5 section122A.164122A.163. 145.6 Sec. 21. Laws 1999, chapter 241, article 1, section 69, is 145.7 amended to read: 145.8 Sec. 69. [REPEALER.] 145.9 (a) Minnesota Statutes 1998, sections 123B.89; and 123B.92, 145.10 subdivisions 2, 4, 6, 7, 8, and 10, are repealed. 145.11 (b) Minnesota Statutes 1998, section 120B.05, is repealed 145.12 effective for revenue for fiscal year 2000. 145.13 (c) Minnesota Statutes 1998, section 124D.65, subdivisions 145.14 1, 2, and 3, are repealed effective for revenue for fiscal year 145.15 2001. 145.16 (d) Minnesota Statutes 1998, sections 124D.67; 126C.05, 145.17 subdivision 4; and 126C.06, are repealed effective the day 145.18 following final enactment. 145.19This appropriation is available until June 30, 2001.145.20 Sec. 22. Laws 1999, chapter 241, article 4, section 27, 145.21 subdivision 5, is amended to read: 145.22 Subd. 5. [ALTERNATIVE FACILITIES BONDING AID.] For 145.23 alternative facilities bonding aid, according to Minnesota 145.24 Statutes, section 123B.59: 145.25 $19,058,000 ..... 2000 145.26 $19,286,000 ..... 2001 145.27 The 2000 appropriation includes $1,700,000 for20001999 145.28 and $17,358,000 for20012000. 145.29 The 2001 appropriation includes $1,928,000 for 2000 and 145.30 $17,358,000 for 2001. 145.31 EFFECTIVE DATE: This section is effective the day 145.32 following final enactment. 145.33 Sec. 23. Laws 1999, chapter 241, article 6, section 14, 145.34 subdivision 5, is amended to read: 145.35 Subd. 5. [NONPUBLIC PUPIL TRANSPORTATION.] For nonpublic 145.36 pupil transportation aid under Minnesota Statutes, section 146.1 123B.92, subdivision 9: 146.2 $18,586,000 ..... 2000 146.3 $20,922,000 ..... 2001 146.4 The 2000 appropriation includes $1,848,000 for20001999 146.5 and $16,738,000 for20012000. 146.6 The 2001 appropriation includes $1,860,000 for 2000 and 146.7 $19,062,000 for 2001. 146.8 EFFECTIVE DATE: This section is effective the day 146.9 following final enactment. 146.10 Sec. 24. Laws 1999, chapter 241, article 9, section 49, is 146.11 amended to read: 146.12 Sec. 49. [TRANSITION.] 146.13 Notwithstanding Minnesota Statutes, section 15.0597, the 146.14 terms of persons who are members appointed by the governor 146.15 before the effective date of section837, shall have their term 146.16 end on July 31 of the year following the last year of their 146.17 appointment. 146.18 Sec. 25. [REVISOR INSTRUCTION.] 146.19 In the next and subsequent editions of Minnesota Statutes, 146.20 the revisor shall renumber section 123B.02, subdivision 12, as 146.21 120A.22, subdivision 1a. The revisor shall correct all 146.22 cross-references to be consistent with the renumbering. 146.23 Sec. 26. [REPEALER.] 146.24 Laws 1999, chapter 241, article 9, sections 35 and 36, are 146.25 repealed. Laws 1999, chapter 245, article 4, section 3, is 146.26 repealed. 146.27 ARTICLE 10 146.28 HIGHER EDUCATION 146.29 APPROPRIATIONS 146.30 Section 1. [HIGHER EDUCATION APPROPRIATIONS.] 146.31 The sums in the columns marked "APPROPRIATIONS" are 146.32 appropriated from the general fund, or other named fund, to the 146.33 agencies and for the purposes specified in this article. The 146.34 listing of an amount under the figure "2000" or "2001" in this 146.35 article indicates that the amount is appropriated to be 146.36 available for the fiscal year ending June 30, 2000, or June 30, 147.1 2001, respectively. "The first year" is fiscal year 2000. "The 147.2 second year" is fiscal year 2001. "The biennium" is fiscal 147.3 years 2000 and 2001. 147.4 SUMMARY BY FUND 147.5 2000 2001 TOTAL 147.6 General -0- $ 29,000,000 $ 29,000,000 147.7 SUMMARY BY AGENCY - ALL FUNDS 147.8 2000 2001 TOTAL 147.9 Board of Trustees of the Minnesota 147.10 State Colleges and Universities 147.11 -0- 13,180,000 13,180,000 147.12 Board of Regents of the University 147.13 of Minnesota 147.14 -0- 15,820,000 15,820,000 147.15 APPROPRIATIONS 147.16 Available for the Year 147.17 Ending June 30 147.18 2000 2001 147.19 Sec. 2. BOARD OF TRUSTEES OF THE 147.20 MINNESOTA STATE COLLEGES AND UNIVERSITIES 147.21 Subdivision 1. Total 147.22 Appropriation $13,180,000 147.23 The amounts that may be spent from this 147.24 appropriation for each purpose are 147.25 specified in the following subdivisions. 147.26 Subd. 2. Deficiency 147.27 Appropriations 147.28 -0- 11,600,000 147.29 This is a one-time appropriation under 147.30 Minnesota Statutes, section 135A.031, 147.31 subdivision 4, to fund unanticipated 147.32 enrollment increases. This 147.33 appropriation is added to the 147.34 appropriation in Laws 1999, chapter 147.35 214, article 1, section 3, subdivision 147.36 1. 147.37 Subd. 3. Farm Business 147.38 Management 147.39 -0- 250,000 147.40 This appropriation is to provide 147.41 educational and management services to 147.42 a greater number of farmers facing 147.43 financial hardship in the farm wrap and 147.44 farm help network service areas. 147.45 Subd. 4. Urban Teacher 147.46 Preparation 147.47 -0- 1,250,000 148.1 This is a one-time appropriation for 148.2 the development and implementation of 148.3 the secondary and early childhood 148.4 education components of the program 148.5 established by this subdivision. 148.6 (a) The board shall offer a program of 148.7 teacher preparation leading to 148.8 licensure, involving Metropolitan State 148.9 University, Inver Hills Community 148.10 College, and Minneapolis Community and 148.11 Technical College. The institutions 148.12 involved shall enter into an agreement 148.13 whereby Inver Hills Community College 148.14 and Minneapolis Community and Technical 148.15 College shall provide the first two 148.16 years of the program, and Metropolitan 148.17 State University shall provide the 148.18 final two years of the program. In 148.19 fall semester 2000, Minneapolis 148.20 Community and Technical College and 148.21 Inver Hills Community College shall 148.22 offer a preeducation program. After 148.23 development of the program in fiscal 148.24 year 2001, Metropolitan State 148.25 University shall begin its licensure 148.26 program in fall semester 2001. The 148.27 program shall focus on preparing 148.28 teachers to meet the specific needs of 148.29 urban and inner-ring suburban schools 148.30 and shall emphasize significant direct 148.31 classroom teaching experience and 148.32 mentoring throughout each student's 148.33 preparation. The program may also 148.34 focus on the professional development 148.35 of pretenure teachers. Metropolitan 148.36 State University, Inver Hills Community 148.37 College, and Minneapolis Community and 148.38 Technical College are encouraged to 148.39 enter into partnerships with urban and 148.40 inner-ring suburban schools to provide 148.41 for significant involvement of 148.42 elementary and secondary teachers in 148.43 the mentoring of students enrolled in 148.44 the program. 148.45 (b) The legislature expects the program 148.46 to enroll at least 50 percent students 148.47 of color. 148.48 (c) By February 15, 2002, and annually 148.49 thereafter, the board of trustees shall 148.50 provide a progress report to the chairs 148.51 of the higher education finance 148.52 divisions of the legislature regarding 148.53 the development of the teacher 148.54 preparation program. The annual report 148.55 shall include, to the extent 148.56 practicable at the time of preparation, 148.57 information comparing program outcomes 148.58 with the target expectations set forth 148.59 in paragraph (b). The report shall 148.60 include feedback from enrolled students 148.61 concerning how the program meets their 148.62 needs, as well as from cooperating 148.63 elementary and secondary schools on how 148.64 the students are performing on site. 148.65 Subd. 5. Cook County Higher 148.66 Education Project 149.1 -0- 80,000 149.2 This appropriation is for the Cook 149.3 county higher education project for 149.4 delivery of educational services 149.5 electronically. The board shall submit 149.6 a report in the biennial budget 149.7 document on uses of the appropriation. 149.8 The report shall include information 149.9 regarding the number of students 149.10 served, credit hours delivered, other 149.11 services provided, strategic direction 149.12 of the project, expected future funding 149.13 sources, and collaborations with other 149.14 organizations. 149.15 Sec. 3. BOARD OF REGENTS OF THE 149.16 UNIVERSITY OF MINNESOTA 149.17 Subdivision 1. Total 149.18 Appropriation 15,820,000 149.19 The amounts that may be spent from this 149.20 appropriation for each purpose are 149.21 specified in the following subdivisions. 149.22 Subd. 2. Operations and 149.23 Maintenance 149.24 (a) North Star Research Coalition 149.25 -0- 15,000,000 149.26 This is a one-time appropriation for 149.27 the university's contribution to the 149.28 North Star Research Coalition. The 149.29 commissioner of finance may not release 149.30 this appropriation until the university 149.31 presents evidence that a nonprofit 149.32 tax-exempt corporation, to be known as 149.33 the North Star Research Coalition, in a 149.34 form complying with this paragraph, has 149.35 been established. The commissioner 149.36 shall release the money appropriated, 149.37 as a one-for-one match for money from 149.38 nonstate sources, on a quarterly basis, 149.39 until the appropriation is expended. 149.40 Notwithstanding any law to the 149.41 contrary, this appropriation shall not 149.42 cancel, but is available until expended. 149.43 The board of regents is requested to 149.44 establish a partnership with private 149.45 industry to leverage the university's 149.46 research capabilities into economic 149.47 development results through the 149.48 creation of a nonprofit tax-exempt 149.49 corporation to be known as the North 149.50 Star Research Coalition. The money for 149.51 projects funded under this initiative 149.52 must be used to fund research projects 149.53 consistent with priorities established 149.54 by the partnership, purchase equipment 149.55 for research laboratories, and 149.56 establish endowed faculty chairs in the 149.57 area of technology-based research. 149.58 The coalition may fund research 149.59 projects that establish collaborative 149.60 research efforts among the University 149.61 of Minnesota and the private sector, 150.1 the Mayo Clinic, nonprofit research 150.2 institutes, or the Minnesota state 150.3 colleges and universities. 150.4 The duties of the coalition include: 150.5 (1) identifying technology-based 150.6 research projects that have the 150.7 potential to create significant 150.8 opportunities for economic development 150.9 and industrial growth in the state; 150.10 (2) strengthening the university's 150.11 research capabilities in subject areas 150.12 associated with emerging 150.13 technology-based industries; 150.14 (3) expanding the research capacity of 150.15 the university through the creation of 150.16 opportunities for the university to 150.17 assist private enterprises in emerging 150.18 technology-based industries; 150.19 (4) promoting the transfer of 150.20 technology from the research laboratory 150.21 to commercial application by 150.22 businesses; 150.23 (5) developing application procedures 150.24 for, reviewing, and prioritizing 150.25 research projects seeking funding under 150.26 this initiative; and 150.27 (6) creating opportunities for 150.28 collaborative research opportunities 150.29 among the University of Minnesota, the 150.30 Mayo Clinic, nonprofit research 150.31 institutes, and the Minnesota state 150.32 colleges and universities. 150.33 The board shall have the authority to 150.34 allocate state and nonstate money to 150.35 projects. 150.36 The incorporating documents of the 150.37 North Star Research Coalition must 150.38 provide for representation of 150.39 university and private sector interests 150.40 on the coalition's board of directors 150.41 and provide that changes in the 150.42 governance structure require a super 150.43 majority of the board. The board 150.44 consists of 12 members. Six shall be 150.45 appointed by the board of regents of 150.46 the University of Minnesota and need 150.47 not be affiliated with the university. 150.48 The initial six members representing 150.49 the private sector shall be appointed 150.50 by the governor. Subsequent members 150.51 representing the private sector shall 150.52 be appointed by the incumbent members. 150.53 Private sector members of the board 150.54 must have expertise in the technology 150.55 research needs of the state and not be 150.56 affiliated with the university. 150.57 (b) Duluth; Child Care 150.58 -0- 220,000 150.59 To provide for child care in the newly 151.1 renovated Kirby Center. 151.2 Subd. 3. Special 151.3 Appropriation 151.4 Agricultural Rapid Response Fund 151.5 -0- 600,000 151.6 This appropriation is for the rapid 151.7 agricultural response fund. The 151.8 university shall report on the uses of 151.9 this appropriation in the biennial 151.10 budget document. This appropriation is 151.11 added to the appropriation in Laws 151.12 1999, chapter 214, article 1, section 151.13 4, subdivision 5, paragraph (a). 151.14 Sec. 4. Minnesota Statutes 1998, section 136A.125, is 151.15 amended by adding a subdivision to read: 151.16 Subd. 4c. [SURPLUS FUNDS.] Any projected surplus 151.17 appropriation in the child care grant program in the first year 151.18 of a biennium shall be used to augment the maximum award in 151.19 subdivision 4 in the second year of the biennium. 151.20 Sec. 5. Laws 1999, chapter 214, article 1, section 4, 151.21 subdivision 2, is amended to read: 151.22 Subd. 2. Operations and 151.23 Maintenance 513,279,000 533,870,000 151.24 Estimated Expenditures 151.25 and Appropriations 151.26 The legislature estimates that 151.27 instructional expenditures will be 151.28 $461,521,000 in the first year and 151.29 $484,679,000 in the second year. 151.30 The legislature estimates that 151.31 noninstructional expenditures will be 151.32 $202,367,000 in the first year and 151.33 $201,717,000 in the second year. 151.34 By January 30, 2000, the University 151.35 shall submit to the governor and the 151.36 legislature a master academic plan for 151.37 the Rochester region that clearly 151.38 defines the academic needs of the 151.39 region, short and long-term plans to 151.40 address those needs including the 151.41 designation of responsibility among the 151.42 partner institutions, short and 151.43 long-term demographic and enrollment 151.44 projections, physical plant capacity 151.45 and needs, and a delineation of 151.46 missions among the partner institutions 151.47 to avoid competition and duplication. 151.48 Notwithstanding Minnesota Statutes 151.49 1998, section 137.022, subdivision 4, 151.50 in fiscal year 2001 the first $200,000 151.51 of permanent university fund income 151.52 from royalties for mining under state 151.53 mineral leases designated for the 152.1 natural resources research institute 152.2 shall be allocated by the board of 152.3 regents to the department of landscape 152.4 architecture to develop a long-range 152.5 plan for the reclamation of taconite 152.6 mining lands. The board shall allocate 152.7 the moneyonly if an equal or greater152.8amount of matching money from nonstate152.9sources has been pledged to support the152.10project by June 30, 2000in increments 152.11 of $50,000 as each $50,000 is matched 152.12 by nonstate sources, provided that no 152.13 money may be allocated after June 30, 152.14 2001. 152.15 The University of Minnesota academic 152.16 health center, after consultation with 152.17 the health care community and medical 152.18 education and research costs advisory 152.19 committee, shall report by January 15, 152.20 2000, to the higher education finance 152.21 committees on the strategic direction 152.22 of its health professional programs. 152.23 The plans shall include a programmatic 152.24 and financial model for health 152.25 professional education that will meet 152.26 the state's future workforce needs, 152.27 maintain the integrity of the education 152.28 process, provide an appropriate level 152.29 of ongoing financial support, and 152.30 provide a framework for the health 152.31 community and academic health center to 152.32 work together in meeting the health 152.33 needs of the state. The academic 152.34 health center is requested to provide 152.35 the report also to the commissioner of 152.36 health and the legislative commission 152.37 on health care access. 152.38 Sec. 6. [REPEALER.] 152.39 Minnesota Rules, parts 4830.9005, 4830.9010, 4830.9015, 152.40 4830.9020, and 4830.9030, are repealed. 152.41 ARTICLE 11 152.42 EARLY CHILDHOOD AND FAMILY EDUCATION 152.43 Section 1. Minnesota Statutes 1999 Supplement, section 152.44 119B.011, subdivision 12, is amended to read: 152.45 Subd. 12. [EMPLOYMENT PLAN.] "Employment plan" means 152.46 employment of recipients financially eligible for child care 152.47 assistance, or other work activities defined under section 152.48 256J.49, approved in an employability development, job search 152.49 support plan, or employment plan that is developed by the county 152.50 agency, if it is acting as an employment and training service 152.51 provider, or by an employment and training service provider 152.52 certified by the commissioner of economic security or an 152.53 individual designated by the county to provide employment and 153.1 training services. The plans and designation of a service 153.2 provider must meet the requirements of this chapter and chapter 153.3 256J or chapter 256K, Minnesota Rules, parts 3400.0010 to 153.4 3400.0230, and other programs that provide federal reimbursement 153.5 for child care services. 153.6 Sec. 2. Minnesota Statutes 1999 Supplement, section 153.7 119B.011, subdivision 15, is amended to read: 153.8 Subd. 15. [INCOME.] "Income" means earned or unearned 153.9 income received by all family members, including public 153.10 assistance cash benefits and at-home infant care subsidy 153.11 payments, unless specifically excluded. The following are 153.12 excluded from income: funds used to pay for health insurance 153.13 premiums for family members, Supplemental Security Income, 153.14 scholarships, work-study income, and grants that cover costs or 153.15 reimbursement for tuition, fees, books, and educational 153.16 supplies; student loans for tuition, fees, books, supplies, and 153.17 living expenses; state and federal earned income tax credits; 153.18 in-kind income such as food stamps, energy assistance, foster 153.19 care assistance, medical assistance, child care assistance, and 153.20 housing subsidies; earned income offullfull-time or part-time 153.21 students up to the age of 19, who have not earned a high school 153.22 diploma or GED high school equivalency diploma including 153.23 earnings from summer employment; grant awards under the family 153.24 subsidy program; nonrecurring lump sum income only to the extent 153.25 that it is earmarked and used for the purpose for which it is 153.26 paid; and any income assigned to the public authority according 153.27 to section 256.74 or 256.741. 153.28 Sec. 3. Minnesota Statutes 1999 Supplement, section 153.29 119B.011, subdivision 20, is amended to read: 153.30 Subd. 20. [TRANSITION YEAR FAMILIES.] "Transition year 153.31 families" means families who have received MFIP assistance, or 153.32 who were eligible to receive MFIP assistance after choosing to 153.33 discontinue receipt of the cash portion of MFIP assistance under 153.34 section 256J.31, subdivision 12, for at least three of the last 153.35 six months before losing eligibility for MFIPdue to increased153.36income from employment or child or spousal supportor families 154.1 participating in work first under chapter 256K who meet the 154.2 requirements of section 256K.07. Transition year child care may 154.3 be used to support employment or job search. Transition year 154.4 child care is not available to families who have been 154.5 disqualified from MFIP due to fraud. 154.6 Sec. 4. Minnesota Statutes 1999 Supplement, section 154.7 119B.03, subdivision 4, is amended to read: 154.8 Subd. 4. [FUNDING PRIORITY.] (a) First priority for child 154.9 care assistance under the basic sliding fee program must be 154.10 given to eligible non-MFIP families who do not have a high 154.11 school or general equivalency diploma or who need remedial and 154.12 basic skill courses in order to pursue employment or to pursue 154.13 education leading to employment and who need child care 154.14 assistance to participate in the education program. Within this 154.15 priority, the following subpriorities must be used: 154.16 (1) child care needs of minor parents; 154.17 (2) child care needs of parents under 21 years of age; and 154.18 (3) child care needs of other parents within the priority 154.19 group described in this paragraph. 154.20 (b) Second priority must be given to parents who have 154.21 completed their MFIP or work first transition year. 154.22 (c) Third priority must be given to families who are 154.23 eligible for portable basic sliding fee assistance through the 154.24 portability pool under subdivision 9. 154.25 Sec. 5. Minnesota Statutes 1998, section 119B.03, is 154.26 amended by adding a subdivision to read: 154.27 Subd. 6a. [ALLOCATION DUE TO INCREASED FUNDING.] When 154.28 funding increases are implemented within a calendar year, every 154.29 county must receive an allocation at least equal and 154.30 proportionate to its original allocation for the same time 154.31 period. The remainder of the allocation must be recalculated to 154.32 reflect the funding increase, according to formulas identified 154.33 in subdivision 6. 154.34 Sec. 6. Minnesota Statutes 1999 Supplement, section 154.35 119B.05, subdivision 1, is amended to read: 154.36 Subdivision 1. [ELIGIBLE PARTICIPANTS.] Families eligible 155.1 for child care assistance under the MFIP child care program are: 155.2 (1) MFIP participants who are employed or in job search and 155.3 meet the requirements of section 119B.10; 155.4 (2) persons who are members of transition year families 155.5 under section 119B.011, subdivision 20; 155.6 (3) families who are participating in employment 155.7 orientation or job search, or other employment or training 155.8 activities that are included in an approved employability 155.9 development plan under chapter 256K; 155.10 (4) MFIP families who are participating in work activities 155.11 defined under section 256J.49 as required in their job search 155.12 support or employment plan, or in appeals, hearings, 155.13 assessments, or orientations according to chapter 256J. Child155.14care assistance to support work activities as described in155.15section 256J.49 must be available according to sections155.16119B.011, subdivision 11, 124D.13, 256E.08, and 611A.32 and155.17titles IVA, IVB, IVE, and XX of the Social Security Act; and 155.18 (5) families who are participating in programs as required 155.19 in tribal contracts under section 119B.02, subdivision 2, or 155.20 256.01, subdivision 2. 155.21 Sec. 7. Minnesota Statutes 1998, section 124D.16, 155.22 subdivision 1, is amended to read: 155.23 Subdivision 1. [PROGRAM REVIEW AND APPROVAL.]By February155.2415, 1992, for the 1991-1992 school year or by May 1 preceding155.25subsequent school years, a district must submit to the155.26commissioners of children, families, and learning, and healthA 155.27 school district shall biennially by May 1 submit to the 155.28 commissioners of children, families, and learning and health the 155.29 program plan required under this subdivision. As determined by 155.30 the commissioners, one-half of the districts shall first submit 155.31 the plan by May 1 of the 2000-2001 school year and one-half of 155.32 the districts shall first submit the plan by May 1 of the 155.33 2001-2002 school year. The program plan must include: 155.34 (1) a description of the services to be provided; 155.35 (2) a plan to ensure children at greatest risk receive 155.36 appropriate services; 156.1 (3) a description of procedures and methods to be used to 156.2 coordinate public and private resources to maximize use of 156.3 existing community resources, including school districts, health 156.4 care facilities, government agencies, neighborhood 156.5 organizations, and other resources knowledgeable in early 156.6 childhood development; 156.7 (4) comments about the district's proposed program by the 156.8 advisory council required by section 124D.15, subdivision 7; and 156.9 (5) agreements with all participating service providers. 156.10 Each commissioner may review and comment on the program, 156.11 and make recommendations to the commissioner of children, 156.12 families, and learning, within 30 days of receiving the plan. 156.13 Sec. 8. Minnesota Statutes 1999 Supplement, section 156.14 124D.221, subdivision 2, is amended to read: 156.15 Subd. 2. [PRIORITY NEIGHBORHOODS.] For grants in 156.16 Minneapolis and St. Paul, the commissioner must give priority to 156.17 neighborhoods in this subdivision. In Minneapolis, priority 156.18 neighborhoods are Near North, Hawthorne, Sumner-Glenwood, 156.19 Harrison, Jordan, Powderhorn, Central, Whittier, Cleveland, 156.20 McKinley, Waite Park, Sheridan, Holland, Lyndale, Folwell, and 156.21 Phillips. In St. Paul, priority neighborhoods are 156.22 Summit-University, Thomas-Dale, North End, Payne-Phalen, Daytons 156.23 Bluff, and the West Side. 156.24 Sec. 9. [124D.515] [ADULT BASIC EDUCATION AID 156.25 DEFINITIONS.] 156.26 Subdivision 1. [APPLICABILITY.] For purposes of this 156.27 chapter, the following terms have the meanings given them. 156.28 Subd. 2. [ADULT BASIC EDUCATION CONSORTIUM.] "Adult basic 156.29 education consortium" means a voluntary association of school 156.30 districts, public agencies, or nonprofit organizations that work 156.31 together to provide coordinated adult basic education services 156.32 in a designated geographic area, and that act as a fiscal entity 156.33 providing adult basic education services. 156.34 Subd. 3. [CONTACT HOURS.] (a) "Contact hours" means the 156.35 number of hours during which a student was engaged in learning 156.36 activities provided by an approved adult education program. 157.1 (b) Contact hours for an organization funded in fiscal year 157.2 2000, but not eligible for basic population aid in fiscal year 157.3 2001, is computed by multiplying the organization's contact 157.4 hours by 1.08. 157.5 (c) Contact hours excludes homework. 157.6 Subd. 4. [FIRST PRIOR PROGRAM YEAR.] "First prior program 157.7 year" means the period from May 1 of the second prior fiscal 157.8 year through April 30 of the first prior fiscal year. 157.9 Subd. 5. [UNREIMBURSED EXPENSES.] "Unreimbursed expenses" 157.10 means allowable adult basic education expenses of a program that 157.11 are not covered by payments from federal or private for profit 157.12 sources. 157.13 Sec. 10. Minnesota Statutes 1998, section 124D.52, 157.14 subdivision 1, is amended to read: 157.15 Subdivision 1. [PROGRAM REQUIREMENTS.] An adult basic 157.16 education program is a day or evening program offered by a 157.17 district that is for people over 16 years of age who do not 157.18 attend an elementary or secondary school. The program offers 157.19 academic instruction necessary to earn a high school diploma or 157.20 equivalency certificate. Tuition and fees may not be charged to 157.21 a learner for instruction paid under this section, except for a 157.22 security deposit to assure return of materials, supplies, and 157.23 equipment. 157.24 Each approved adult basic education program must develop a 157.25 memorandum of understanding with the local workforce development 157.26 centers located in the approved program's service delivery 157.27 area. The memorandum of understanding must describe how the 157.28 adult basic education program and the workforce development 157.29 centers will cooperate and coordinate services to provide 157.30 unduplicated, efficient, and effective services to clients. 157.31 Adult basic education aid must be spent for adult basic 157.32 education purposes, and to meet the adult basic education 157.33 criteria, as specified in sections 124D.515 to 124D.531. 157.34 Sec. 11. Minnesota Statutes 1998, section 124D.52, 157.35 subdivision 2, is amended to read: 157.36 Subd. 2. [PROGRAM APPROVAL.] (a) To receive aid under this 158.1 section, a district, a consortium of districts, or a private 158.2 nonprofit organization must submit an application by June 1 158.3 describing the program, on a form provided by the department. 158.4 The program must be approved by the commissioner according to 158.5 the following criteria: 158.6 (1) how the needs of different levels of learning will be 158.7 met; 158.8 (2) for continuing programs, an evaluation of results; 158.9 (3) anticipated number and education level of participants; 158.10 (4) coordination with other resources and services; 158.11 (5) participation in a consortium, if any, and money 158.12 available from other participants; 158.13 (6) management and program design; 158.14 (7) volunteer training and use of volunteers; 158.15 (8) staff development services; 158.16 (9) program sites and schedules;and158.17 (10) program expenditures that qualify for aid; 158.18 (11) program ability to provide data related to learner 158.19 outcomes as required by law; and 158.20 (12) a copy of the memorandum of understanding described in 158.21 subdivision 1 submitted to the commissioner. 158.22 (b)The commissioner may grant adult basic education funds158.23to a private, nonprofit organization to provide services that158.24are not offered by a district or that are supplemental to a158.25district's program. The program provided under this provision158.26must be approved and funded according to the same criteria used158.27for district programs.158.28(c)Adult basic education programs may be approved under 158.29 this subdivision for up to five years. Five-year program 158.30 approval must be granted to an applicant who has demonstrated 158.31 the capacity to: 158.32 (1) offer comprehensive learning opportunities and support 158.33 service choices appropriate for and accessible to adults at all 158.34 basic skill need levels; 158.35 (2) provide a participatory and experiential learning 158.36 approach based on the strengths, interests, and needs of each 159.1 adult, that enables adults with basic skill needs to: 159.2 (i) identify, plan for, and evaluate their own progress 159.3 toward achieving their defined educational and occupational 159.4 goals; 159.5 (ii) master the basic academic reading, writing, and 159.6 computational skills, as well as the problem-solving, decision 159.7 making, interpersonal effectiveness, and other life and learning 159.8 skills they need to function effectively in a changing society; 159.9 (iii) locate and be able to use the health, governmental, 159.10 and social services and resources they need to improve their own 159.11 and their families' lives; and 159.12 (iv) continue their education, if they desire, to at least 159.13 the level of secondary school completion, with the ability to 159.14 secure and benefit from continuing education that will enable 159.15 them to become more employable, productive, and responsible 159.16 citizens; 159.17 (3) plan, coordinate, and develop cooperative agreements 159.18 with community resources to address the needs that the adults 159.19 have for support services, such as transportation, flexible 159.20 course scheduling, convenient class locations, and child care; 159.21 (4) collaborate with business, industry, labor unions, and 159.22 employment-training agencies, as well as with family and 159.23 occupational education providers, to arrange for resources and 159.24 services through which adults can attain economic 159.25 self-sufficiency; 159.26 (5) provide sensitive and well trained adult education 159.27 personnel who participate in local, regional, and statewide 159.28 adult basic education staff development events to master 159.29 effective adult learning and teaching techniques; 159.30 (6) participate in regional adult basic education peer 159.31 program reviews and evaluations;and159.32 (7) submit accurate and timely performance and fiscal 159.33 reports; 159.34 (8) submit accurate and timely reports related to program 159.35 outcomes and learner follow-up information; and 159.36 (9) spend adult basic education aid on adult basic 160.1 education purposes only, which are specified in sections 160.2 124D.515 to 124D.531. 160.3 (c) The commissioner shall require each district to provide 160.4 notification by February 1, 2001, of its intent to apply for 160.5 funds under this section as a single district or as part of an 160.6 identified consortium of districts. A district receiving funds 160.7 under this section must notify the commissioner by February 1 of 160.8 its intent to change its application status for applications due 160.9 the following June 1. 160.10 Sec. 12. Minnesota Statutes 1998, section 124D.52, 160.11 subdivision 3, is amended to read: 160.12 Subd. 3. [ACCOUNTS; REVENUE; AID.] Each district, group of 160.13 districts, or private nonprofit organization providing adult 160.14 basic education programs must establish and maintain accounts 160.15 separate from all other district accounts for the receipt and 160.16 disbursement of all funds related to these programs. All 160.17 revenue received pursuant to this section must be utilized 160.18 solely for the purposes of adult basic education programs. 160.19 Federal and state aidplus levymust not equal more than 100 160.20 percent of theactual costunreimbursed expenses of providing 160.21 these programs, excluding in-kind costs. 160.22 Sec. 13. Minnesota Statutes 1998, section 124D.52, is 160.23 amended by adding a subdivision to read: 160.24 Subd. 6. [COOPERATIVE ENGLISH AS A SECOND LANGUAGE AND 160.25 ADULT BASIC EDUCATION PROGRAMS.] (a) A school district, or adult 160.26 basic education consortium that receives revenue under section 160.27 124D.531, may deliver English as a second language, citizenship, 160.28 or other adult education programming in collaboration with 160.29 community-based and nonprofit organizations located within its 160.30 district or region, and with correctional institutions. The 160.31 organization or correctional institution must have the 160.32 demonstrated capacity to offer education programs for adults. 160.33 Community-based or nonprofit organizations must meet the 160.34 criteria in paragraph (b), or have prior experience. A 160.35 community-based or nonprofit organization or a correctional 160.36 institution may be reimbursed for unreimbursed expenses as 161.1 defined in section 124D.515, subdivision 5, for the 161.2 administration of English as a second language or adult basic 161.3 education programs, not to exceed eight percent of the total 161.4 funds provided by a school district or adult basic education 161.5 consortium. The administrative reimbursement for a school 161.6 district or adult basic education consortium that delivers 161.7 services cooperatively with a community-based or nonprofit 161.8 organization or correctional institution is limited to five 161.9 percent of the program aid, not to exceed the unreimbursed 161.10 expenses of administering programs delivered by community-based 161.11 or nonprofit organizations or correctional institutions. 161.12 (b) A community-based organization or nonprofit 161.13 organization that delivers education services under this section 161.14 must demonstrate that it has met the following criteria: 161.15 (1) be legally established as a nonprofit organization; 161.16 (2) have an established system for fiscal accounting and 161.17 reporting that is consistent with the department of children, 161.18 families, and learning's adult basic education completion report 161.19 and reporting requirements under section 124D.531; 161.20 (3) require all instructional staff to complete a training 161.21 course in teaching adult learners; and 161.22 (4) develop a learning plan for each student that 161.23 identifies defined educational and occupational goals with 161.24 measures to evaluate progress. 161.25 Sec. 14. [124D.521] [CONSORTIUM REQUIREMENTS.] 161.26 Each consortium, as defined under section 124D.515, 161.27 subdivision 1, must meet at least twice per year to develop and 161.28 amend as necessary an annual consortium agreement signed by all 161.29 members and filed with the department of children, families, and 161.30 learning that at a minimum includes: 161.31 (1) a description of the members and fiscal agent of the 161.32 consortium; 161.33 (2) a description of the contributions of each member of 161.34 the consortium and the process for distributing state aid among 161.35 the members; and 161.36 (3) the state adult basic education assurances from the 162.1 annual adult basic education program application. 162.2 As a condition of membership in a consortium, each member 162.3 must make a documented contribution toward the cost of adult 162.4 basic education programming, either as a direct financial 162.5 contribution, or an in-kind contribution. 162.6 Each consortium's designated fiscal agent must: 162.7 (1) collect data from consortium members; 162.8 (2) submit required performance reports and fiscal reports 162.9 to the state; 162.10 (3) receive state adult basic education aid under section 162.11 124D.531 for adult basic education programming delivered by the 162.12 consortium; and 162.13 (4) distribute state adult basic education aid to members 162.14 of the consortium according to the consortium agreement under 162.15 sources. 162.16 Sec. 15. [124D.522] [ADULT BASIC EDUCATION POLICY REVIEW 162.17 TASK FORCE.] 162.18 Subdivision 1. [ESTABLISHMENT.] A nine-member adult basic 162.19 education policy review task force is established to advise the 162.20 commissioner on program and funding policies for adult basic 162.21 education programs that receive aid under section 124D.531. The 162.22 commissioner must appoint task force members to two-year terms, 162.23 by June 30, 2000. Members do not receive per diem, but may be 162.24 reimbursed for expenses as specified in section 15.059, 162.25 subdivision 3. At a minimum, the task force must hold two 162.26 meetings. All other matters of the review task force's 162.27 operation, except expiration of the task force under subdivision 162.28 4, are governed by section 15.069. 162.29 Subd. 2. [MEMBERSHIP.] Members are appointed by the 162.30 commissioner. The commissioner must appoint two members of the 162.31 task force from rural programs, two members from suburban 162.32 programs, two members from urban programs, one member from a 162.33 nonprofit group that has knowledge and expertise in the area of 162.34 adult literacy, one member who is currently an adult basic 162.35 education learner or has participated in an adult basic 162.36 education program, and one member who is an adult basic 163.1 education instructor. Members of the legislature and 163.2 representatives of other concerned groups may be included as 163.3 unofficial members of the task force. 163.4 Subd. 3. [DUTIES.] The policy review task force must: 163.5 (1) recommend to the legislature a mission statement for a 163.6 statewide system of adult basic education programs that includes 163.7 educational outcomes, services, eligible learners, requirements 163.8 for teacher licensing, expectations for student advancement and 163.9 progress, and recognition of the importance of distance learning 163.10 and other technology-based instruction methods; 163.11 (2) advise the commissioner on adult basic education 163.12 standard policies and procedures; 163.13 (3) advise the commissioner on the adult basic education 163.14 curriculum and course offerings, including policies to offer 163.15 computer literacy and other skill-based education through adult 163.16 basic education programs; 163.17 (4) recommend to the legislature the minimum number of 163.18 contact hours that are necessary in order for a program to 163.19 continue; 163.20 (5) recommend to the legislature an adequate and reasonable 163.21 hourly rate for smaller programs; 163.22 (6) recommend to the legislature a reasonable range for the 163.23 number of instructional hours or a reasonable cap on the number 163.24 of hours individuals may spend in adult basic education 163.25 instruction; 163.26 (7) recommend to the legislature an outcome-based adult 163.27 basic education funding system that rewards and recognizes 163.28 student progress in attaining educational goals; and 163.29 (8) review statewide grant applications for supplemental 163.30 services under section 124D.522. 163.31 Subd. 4. [EXPIRATION.] The adult basic education policy 163.32 review task force expires on January 2, 2001. 163.33 Sec. 16. [124D.523] [ADULT BASIC EDUCATION SUPPLEMENTAL 163.34 SERVICE GRANTS.] 163.35 (a) The commissioner, in consultation with the policy 163.36 review task force under section 124D.521, may make grants to 164.1 nonprofit organizations to provide services that are not offered 164.2 by a district adult basic education program or that are 164.3 supplemental to either the statewide adult basic education 164.4 program, or a district's adult basic education program. The 164.5 commissioner may make grants for: staff development for adult 164.6 basic education teachers and administrators; training for 164.7 volunteer tutors; training, services, and materials for serving 164.8 disabled students through adult basic education programs; 164.9 statewide promotion of adult basic education services and 164.10 programs; development and dissemination of instructional and 164.11 administrative technology for adult basic education programs; 164.12 programs delivered by communities of color; adult basic 164.13 education distance learning projects, including television 164.14 instruction programs; and other supplemental services to support 164.15 the mission of adult basic education and innovative delivery of 164.16 adult basic education services. 164.17 (b) The commissioner must establish eligibility criteria 164.18 and grant application procedures. Grants under this section 164.19 must support services throughout the state, focus on educational 164.20 results for adult learners, and promote outcome-based 164.21 achievement through adult basic education programs. The 164.22 commissioner may make grants under this section from funds 164.23 specifically appropriated for supplemental service grants. Up 164.24 to one-third of the appropriation for supplemental service 164.25 grants must be used for grants for adult basic education 164.26 programs to encourage and support innovations in adult basic 164.27 education instruction and service delivery. A grant to a single 164.28 organization must be for two years or less and cannot exceed 164.29 $100,000. Nothing in this section prevents an approved adult 164.30 basic education program from using state or federal aid to 164.31 purchase supplemental services. 164.32 Sec. 17. Minnesota Statutes 1999 Supplement, section 164.33 124D.53, subdivision 3, is amended to read: 164.34 Subd. 3. [AID.] For fiscal year 2000, adult basic 164.35 education aid for each approved program equals$2,295 for fiscal164.36year 2000 and $2,338 for fiscal year 2001 and later fiscal165.1years$1,767 times the number of full-time equivalent students 165.2 in its adult basic education program during the first prior 165.3 program year. 165.4 Sec. 18. [124D.531] [ADULT BASIC EDUCATION AID.] 165.5 Subdivision 1. [STATE TOTAL ADULT BASIC EDUCATION AID.] (a) 165.6 The state total adult basic education aid for fiscal year 2001 165.7 equals $30,155,000. The state total adult basic education aid 165.8 for later years equals: 165.9 (1) the state total adult basic education aid for the 165.10 preceding fiscal year; times 165.11 (2) the lesser of: 165.12 (i) 1.08, or 165.13 (ii) the greater of 1.00 or the ratio of the state total 165.14 contact hours in the first prior program year to the state total 165.15 contact hours in the second prior program year. 165.16 (b) The state total adult basic education aid, excluding 165.17 basic population aid, equals the difference between the amount 165.18 computed in paragraph (a), and the state total basic population 165.19 aid under subdivision 2. 165.20 Subd. 2. [BASIC POPULATION AID.] A district is eligible 165.21 for basic population aid if the district has a basic service 165.22 level approved by the commissioner under section 124D.52, 165.23 subdivision 5, or is a member of a consortium with an approved 165.24 basic service level. Basic population aid is equal to the 165.25 greater of $4,000 or $1.80 times the population of the district. 165.26 District population is determined according to section 275.14. 165.27 Subd. 3. [PROGRAM REVENUE.] Adult basic education programs 165.28 established under section 124D.52 and approved by the 165.29 commissioner are eligible for revenue under this subdivision. 165.30 For fiscal year 2001 and later, adult basic education revenue 165.31 for each approved program equals the sum of: 165.32 (1) the basic population aid under subdivision 2 for 165.33 districts participating in the program during the current 165.34 program year; plus 165.35 (2)(i) for fiscal year 2001, 84 percent times the amount 165.36 computed in subdivision 1, paragraph (b), times the ratio of the 166.1 contact hours for students participating in the program during 166.2 the first prior program year to the state total contact hours 166.3 during the first prior program year; plus 166.4 (ii) for fiscal year 2002, 84 percent times the amount 166.5 computed in subdivision 1, paragraph (b), times the ratio of the 166.6 contact hours for students participating in the program during 166.7 the first and second prior program years to the state total 166.8 contact hours during the first and second prior program years; 166.9 plus 166.10 (iii) for fiscal year 2003, and thereafter, 84 percent 166.11 times the amount computed in subdivision 1, paragraph (b), times 166.12 the ratio of the contact hours for students participating in the 166.13 program during the first, second, and third prior program years 166.14 to the state total contact hours during the first, second, and 166.15 third prior program years; plus 166.16 (3) eight percent times the amount computed in subdivision 166.17 1, paragraph (b), times the ratio of the enrollment of students 166.18 with limited English proficiency during the prior school year in 166.19 districts participating in the program during the current 166.20 program year to the state total enrollment of students with 166.21 limited English proficiency during the prior school year in 166.22 districts participating in adult basic education programs during 166.23 the current program year; plus 166.24 (4) eight percent times the amount computed in subdivision 166.25 1, paragraph (b), times the ratio of the latest federal census 166.26 count of the number of adults aged 20 or older with no diploma 166.27 residing in the districts participating in the program during 166.28 the current program year to the latest federal census count of 166.29 the state total number of adults aged 20 or older with no 166.30 diploma residing in the districts participating in adult basic 166.31 education programs during the current program year. 166.32 Subd. 4. [ADULT BASIC EDUCATION PROGRAM AID LIMIT.] (a) 166.33 Notwithstanding subdivisions 2 and 3, the total adult basic 166.34 education aid for a program per prior year contact hour must not 166.35 exceed four times the rate per prior year contact hour computed 166.36 under subdivision 3, clause (2). 167.1 (b) For fiscal year 2002 and later, the aid for a program 167.2 under subdivision 3, clause (2), adjusted for changes in program 167.3 membership, must not exceed the aid for that program under 167.4 subdivision 3, clause (2), for the first preceding fiscal year 167.5 by more than the greater of 20 percent or $20,000. 167.6 (c) Adult basic education aid is payable to a program for 167.7 unreimbursed costs. 167.8 Subd. 5. [INSTITUTIONAL PROGRAMS.] Notwithstanding section 167.9 124D.531, for fiscal year 2001 only, adult basic education aid 167.10 for an approved program in its first year of operation that 167.11 provides adult basic education services at a newly constructed 167.12 correctional facility equals the product of the number of 167.13 contact hours during the current program year, times 1.08, times 167.14 the rate per contact hour established under section 124D.531, 167.15 subdivision 3, clause (2). 167.16 Subd. 6. [AID GUARANTEE.] Notwithstanding subdivisions 1, 167.17 3, and 4, for fiscal year 2001, any adult basic education 167.18 program qualifying for aid under this section, that receives 167.19 less state aid than in fiscal year 2000 must receive additional 167.20 aid equal to the difference between its fiscal year 2000 aid and 167.21 its fiscal year 2001 aid. 167.22 Subd. 7. [PAYMENT OF AID TO FISCAL AGENT.] Adult basic 167.23 education aid must be paid directly to the fiscal agent of each 167.24 approved program. An approved program must have only one fiscal 167.25 agent. 167.26 Subd. 8. [PROGRAM AUDITS.] Programs that receive aid under 167.27 this section must maintain records that support the aid 167.28 payments. The commissioner may audit these records upon 167.29 request. The commissioner must establish procedures for 167.30 conducting fiscal audits of adult basic education programs 167.31 according to the schedule in this subdivision. In fiscal year 167.32 2002, the commissioner must audit all approved adult basic 167.33 education programs that received aid for fiscal year 2001. 167.34 Beginning with fiscal year 2003, the commissioner must, at a 167.35 minimum, audit each adult basic education program once every 167.36 five years. The commissioner must establish procedures to 168.1 reconcile any discrepancies between aid payments based on 168.2 information reported to the commissioner and aid estimates based 168.3 on a program audit. 168.4 Subd. 9. [ADMINISTRATIVE CAP.] A consortium or district 168.5 shall not spend more than five percent of the consortium or 168.6 district's total adult basic education aid on administrative 168.7 costs. 168.8 Subd. 10. [FISCAL REPORTS.] Programs that receive aid 168.9 under this section must submit an annual report to the 168.10 commissioner that includes revenue and expense reports for each 168.11 district and program, including instructional services offered 168.12 in partnership with businesses and nonprofit organizations. 168.13 EFFECTIVE DATE: This section is effective for revenue for 168.14 fiscal years beginning with 2001. 168.15 Sec. 19. Minnesota Statutes 1998, section 245A.14, 168.16 subdivision 4, is amended to read: 168.17 Subd. 4. [SPECIAL FAMILY DAY CARE HOMES.] Nonresidential 168.18 child care programs serving 14 or fewer children that are 168.19 conducted at a location other than the license holder's own 168.20 residence shall be licensed under this section and the rules 168.21 governing family day care or group family day care if: 168.22 (a) the license holder is the primary provider of care and 168.23 the nonresidential child care program is conducted in a dwelling 168.24 that is located on a residential lot;or168.25 (b) the license holder is an employer who may or may not be 168.26 the primary provider of care, and the purpose for the child care 168.27 program is to provide child care services to children of the 168.28 license holder's employees; or 168.29 (c) the license holder is a church or religious 168.30 organization. 168.31 Sec. 20. Minnesota Statutes 1998, section 245A.14, is 168.32 amended by adding a subdivision to read: 168.33 Subd. 8. [EXPERIENCED AIDES; CHILD CARE CENTERS.] (a) An 168.34 individual employed as an aide at a child care center may work 168.35 with children without being directly supervised for up to 25 168.36 percent of the individual's daily work shift if: 169.1 (1) a teacher is in the building; 169.2 (2) the individual has received first aid training within 169.3 the last three years; and 169.4 (3) the individual is at least 20 years old and has at 169.5 least 4,160 hours of child care experience as defined in section 169.6 245A.02, subdivision 6b. 169.7 (b) The use of an experienced aide working without direct 169.8 supervision under paragraph (a) is limited to 25 percent of each 169.9 classrooms' daily hours of operation. 169.10 (c) A child care center that utilizes experienced aides 169.11 under this subdivision must notify the parents or guardians of 169.12 the children who are cared for under this subdivision, and must 169.13 send a duplicate letter to the commissioner of human services, 169.14 licensing division. The notice must provide the approximate 169.15 number of hours per classroom per month that this subdivision is 169.16 utilized. 169.17 (d) This subdivision sunsets June 30, 2002. 169.18 Sec. 21. Laws 1998, First Special Session chapter 1, 169.19 article 1, section 10, is amended to read: 169.20 Sec. 10. [HOUSEHOLD ELIGIBILITY; PARTICIPATION.] 169.21 Subdivision 1. [INITIAL ELIGIBILITY.] To be eligible for 169.22 state or TANF matching funds in the family assets for 169.23 independence initiative, a household musthave income at or169.24below 185 percent of the federal poverty level and assets of169.25$15,000 or less. An individual who is a dependent of another169.26person for federal income tax purposes may not be a separate169.27eligible household for purposes of establishing a family asset169.28account. An individual who is a debtor for a judgment resulting169.29from nonpayment of a court-ordered child support obligation may169.30not participate in this program. Households accessing TANF169.31matching funds are subject to the MFIP definition of household169.32under Minnesota Statutes, section 256J.08, subdivision 46.169.33Income and assets are determined according to eligibility169.34guidelines for the energy assistance programmeet the 169.35 eligibility requirements of the federal Assets for Independence 169.36 Act, Public Law Number 105-285, in title IV, section 408, of 170.1 that act. 170.2 Sec. 22. Laws 1998, First Special Session chapter 1, 170.3 article 1, section 11, is amended to read: 170.4 Sec. 11. [WITHDRAWAL; MATCHING; PERMISSIBLE USES.] 170.5 Subdivision 1. [WITHDRAWAL OF FUNDS.] To receive a match, 170.6 a participating household must transfer funds withdrawn from a 170.7 family asset account to its matching fund custodial account held 170.8 by the fiscal agent, according to the family asset agreement. 170.9 Thefiduciary organizationfiscal agent must determine if the 170.10 match request is for a permissible use consistent with the 170.11 household's family asset agreement. 170.12 The fiscal agent must ensure the household's custodial 170.13 account contains the applicable matching funds to match the 170.14 balance in the household's account, including interest, on at 170.15 least a quarterly basis and at the time of an approved 170.16 withdrawal. Matches must be provided as follows: 170.17 (1) from state grant and TANF funds a matching contribution 170.18 of $1.50 for every $1 of funds withdrawn from the family asset 170.19 account equal to the lesser of $720 per year or a $3,000 170.20 lifetime limit; and 170.21 (2) from nonstate funds, a matching contribution of no less 170.22 than $1.50 for every $1 of funds withdrawn from the family asset 170.23 account equal to the lesser of $720 per year or a $3,000 170.24 lifetime limit. 170.25 Sec. 23. Laws 1999, chapter 205, article 1, section 65, is 170.26 amended to read: 170.27 Sec. 65. [ADDITIONAL EARLY CHILDHOOD FAMILY EDUCATION AID; 170.28 FISCAL YEAR 2000 AND FISCAL YEAR 2001.] 170.29 A district that complies with Minnesota Statutes, section 170.30 124D.13, shall receive additional early childhood family 170.31 education aid for fiscal year 2000 and fiscal year 2001 equal to 170.32 $2.46 times the greater of: 170.33 (1) 150; or 170.34 (2) the number of people under five years of age residing 170.35 in the school district on October 1 of the previous school 170.36 year. The additional early childhood family education aid may 171.1 be used only for early childhood family education programs. 171.2 Sec. 24. Laws 1999, chapter 205, article 1, section 71, 171.3 subdivision 3, is amended to read: 171.4 Subd. 3. [EARLY CHILDHOOD FAMILY EDUCATION AID.] For early 171.5 childhood family education aid according to Minnesota Statutes, 171.6 section 124D.135: 171.7$20,485,000$20,109,000 ..... 2000 171.8$19,420,000$21,107,000 ..... 2001 171.9 The 2000 appropriation includes $1,390,000 for 1999 and 171.10$19,095,000$18,719,000 for 2000. 171.11 The 2001 appropriation includes$2,122,000$2,079,000 for 171.12 2000 and$17,298,000$19,028,000 for 2001. 171.13 Any balance in the first year does not cancel but is 171.14 available in the second year. 171.15 Sec. 25. Laws 1999, chapter 205, article 1, section 71, 171.16 subdivision 7, is amended to read: 171.17 Subd. 7. [SCHOOL AGE CARE AID.] For extended day aid 171.18 according to Minnesota Statutes, section 124D.22: 171.19 $274,000 ..... 2000 171.20$216,000$245,000 ..... 2001 171.21 The 2000 appropriation includes $30,000 for 1999 and 171.22 $244,000 for 2000. 171.23 The 2001 appropriation includes $27,000 for 2000 and 171.24$189,000$218,000 for 2001. 171.25 Any balance in the first year does not cancel but is 171.26 available in the second year. 171.27 Sec. 26. Laws 1999, chapter 205, article 1, section 71, 171.28 subdivision 9, is amended to read: 171.29 Subd. 9. [MFIP CHILD CARE.] For child care assistance 171.30 according to Minnesota Statutes, section 119B.05: 171.31$86,318,000$66,524,000 ..... 2000 171.32$88,443,000$78,606,000 ..... 2001 171.33 Any balance in the first year does not cancel but is 171.34 available in the second year. 171.35 Sec. 27. Laws 1999, chapter 205, article 2, section 4, 171.36 subdivision 3, is amended to read: 172.1 Subd. 3. [COMMUNITY EDUCATION AID.] For community 172.2 education aid according to Minnesota Statutes, section 124D.20: 172.3 $14,136,000 ..... 2000 172.4$14,696,000$15,274,000 ..... 2001 172.5 The 2000 appropriation includes $160,000 for 1999 and 172.6 $13,976,000 for 2000. 172.7 The 2001 appropriation includes $1,552,000 for 2000 and 172.8$13,144,000$13,722,000 for 2001. 172.9 Any balance in the first year does not cancel but is 172.10 available in the second year. 172.11 Sec. 28. Laws 1999, chapter 205, article 4, section 12, 172.12 subdivision 5, is amended to read: 172.13 Subd. 5. [ADULT BASIC EDUCATION AID.] For adult basic 172.14 education aid according to Minnesota Statutes, section 124D.52, 172.15 in fiscal year 2000 and Minnesota Statutes, section 124D.53 in 172.16 fiscal year 2001: 172.17 $20,132,000 ..... 2000 172.18$22,477,000$29,168,000 ..... 2001 172.19 The 2000 appropriation includes $1,227,000 for 1999 and 172.20 $18,905,000 for 2000. 172.21 The 2001 appropriation includes $2,101,000 for 2000 and 172.22$20,376,000$27,067,000 for 2001. 172.23 Sec. 29. Laws 1999, chapter 205, article 4, section 12, 172.24 subdivision 6, is amended to read: 172.25 Subd. 6. [ADULT BASIC EDUCATION BASIC POPULATION AID.] For 172.26 basic population aid for eligible districts under section 7: 172.27$1,960,000$1,974,000 ..... 2000 172.28 Notwithstanding Minnesota Statutes, section 127A.45, 172.29 subdivision 12, 100 percent of this appropriation is for fiscal 172.30 year 2000. 172.31 Any balance in the first year does not cancel but is 172.32 available in the second year. This is a one-time appropriation. 172.33 Sec. 30. Laws 1999, chapter 205, article 4, section 12, 172.34 subdivision 7, is amended to read: 172.35 Subd. 7. [ADULT GRADUATION AID.] For adult graduation aid 172.36 according to Minnesota Statutes, section 124D.54: 173.1$3,184,000$2,760,000 ..... 2000 173.2$4,732,000$3,031,000 ..... 2001 173.3 The 2000 appropriation includes$258,000$258,000 for 1999 173.4 and$2,926,000$2,502,000 for 2000. 173.5 The 2001 appropriation includes$325,000$278,000 for 2000 173.6 and$4,407,000$2,753,000 for 2001. 173.7 Sec. 31. [COMPETENCY-BASED ADULT BASIC EDUCATION AND 173.8 ENGLISH AS A SECOND LANGUAGE LICENSE.] 173.9 The board of teaching must convene a task force to develop 173.10 a competency-based license for teachers of adult basic education 173.11 classes and English as a second language class. The 173.12 competency-based license must be an alternative to the current 173.13 licensing requirements. By January 15, 2002, the board of 173.14 teaching must present their recommendations to the committees of 173.15 the legislature responsible for teacher licensing and funding of 173.16 adult basic education programs, including recommendations for 173.17 implementing competency-based licensing for teachers of adult 173.18 learners. 173.19 Sec. 32. [ADULT BASIC EDUCATION CONSORTIUM DISTRIBUTION TO 173.20 MEMBERS.] 173.21 Consortiums receiving additional funding based on 173.22 population aid shall proportionately distribute that additional 173.23 funding to noneducation institution members of the consortium 173.24 based upon the percentage of contact hours each noneducation 173.25 institution member provides. This provision shall be effective 173.26 through June 30, 2001. 173.27 Sec. 33. [ENERGY ASSISTANCE PROGRAM.] 173.28 (a) The commissioner of economic security shall establish 173.29 policies and procedures to address the findings in the 173.30 department of administration's evaluation of Minnesota's energy 173.31 assistance program published in December 1999. 173.32 (b) The commissioner of economic security shall develop: 173.33 (1) outcome measures, in accordance with federal 173.34 recommendations, by which to evaluate subgrantee performance and 173.35 the program as a whole; 173.36 (2) methods to identify the eligible population for the 174.1 energy assistance program; 174.2 (3) procedures to improve program consistency across the 174.3 state. This shall address program start and end dates, 174.4 eligibility determination, eligibility verification, and 174.5 application and payment processing times; and 174.6 (4) improved internal management practices. This includes 174.7 program oversight, evaluation and auditing of the service 174.8 delivery agencies, computer software system, and overall 174.9 management. The report shall also include proposals for the 174.10 utilization of technology to provide for the most cost-effective 174.11 service delivery. 174.12 Sec. 34. [FEDERAL TANF APPROPRIATIONS.] 174.13 Subdivision 1. [DEPARTMENT OF CHILDREN, FAMILIES, AND 174.14 LEARNING.] The sums indicated in this section are appropriated 174.15 from the federal TANF block grant fund to the commissioner of 174.16 children, families, and learning for the fiscal years 174.17 indicated. These amounts are available until expended and may 174.18 be carried forward and spent in the 2002-2003 biennium. 174.19 Subd. 2. [TRANSITIONAL HOUSING PROGRAMS.] For transitional 174.20 housing programs according to Minnesota Statutes, section 174.21 119A.43: 174.22 $3,700,000 ..... 2001 174.23 The amount appropriated under this subdivision does not 174.24 cancel, but is available until expended. 174.25 Sec. 35. [FEDERAL TANF TRANSFERS.] 174.26 Subdivision 1. [DEPARTMENT OF CHILDREN, FAMILIES, AND 174.27 LEARNING.] The sums indicated in this section are transferred 174.28 from the federal TANF fund to the child care and development 174.29 fund and appropriated to the commissioner of children, families, 174.30 and learning for the fiscal year designated. The commissioner 174.31 shall ensure that all transferred funds are expended in 174.32 accordance with the child care and development fund regulations 174.33 and that the maximum allowable transferred funds are used for 174.34 the program in this section. 174.35 Subd. 2. [BASIC SLIDING FEE CHILD CARE.] For child care 174.36 assistance according to Minnesota Statutes, section 119B.03: 175.1 $11,789,000 ..... 2001 175.2 $ 5,888,000 ..... 2002 175.3 $ 2,488,000 ..... 2003 175.4 The amounts appropriated under this subdivision do not 175.5 cancel, but are available until expended. 175.6 Subd. 3. [MFIP SOCIAL SERVICE CHILD CARE.] For social 175.7 service child care costs of eligible MFIP participants according 175.8 to Minnesota Statutes, section 119B.05: 175.9 $3,233,000 ..... 2001 175.10 $3,297,000 ..... 2002 175.11 $2,865,000 ..... 2003 175.12 This amount shall be added to the federal TANF block grant 175.13 base with regard to this program. 175.14 Subd. 4. [MFIP EDUCATION CHILD CARE.] For child care costs 175.15 related to the possible modifications to Minnesota Statutes, 175.16 section 256J.522, made in the 2000 legislative session in the 175.17 health and family security omnibus bill, which allows 24 months 175.18 of education to eligible MFIP participants under certain 175.19 circumstances. If the changes to Minnesota Statutes, section 175.20 256J.522, relating to 24 months of education do not pass into 175.21 law, the money appropriated under this subdivision shall revert 175.22 to the basic sliding fee program under subdivision 2, for fiscal 175.23 year 2001: 175.24 $600,000 ..... 2001 175.25 Subd. 5. [TRANSITION YEAR FAMILIES.] To provide 175.26 uninterrupted assistance under Minnesota Statutes, section 175.27 119B.03, for families completing transition year child care 175.28 assistance: 175.29 $1,080,000 ..... 2001 175.30 $3,620,000 ..... 2002 175.31 $4,040,000 ..... 2003 175.32 A balance may be carried forward one fiscal year. Any 175.33 amount remaining in fiscal year 2003 that is not needed for 175.34 uninterrupted child care must be used for assistance under 175.35 Minnesota Statutes, section 119B.03. 175.36 Sec. 36. [GENERAL FUND APPROPRIATIONS.] 176.1 Subdivision 1. [DEPARTMENT OF CHILDREN, FAMILIES, AND 176.2 LEARNING.] The sums indicated in this section are appropriated 176.3 from the general fund to the commissioner of children, families, 176.4 and learning for the fiscal years designated. The amounts are 176.5 available until expended and may be carried forward to the 176.6 2002-2003 biennium. 176.7 Subd. 2. [ADULT BASIC EDUCATION SUPPLEMENTAL SERVICE 176.8 GRANTS.] For adult basic education supplemental service grants 176.9 according to Minnesota Statutes, section 124D.522: 176.10 $700,000 ..... 2001 176.11 This appropriation is added to the base for fiscal years 176.12 2002 and 2003. 176.13 Subd. 3. [ADULT BASIC ADMINISTRATION.] For the adult basic 176.14 policy review task force under Minnesota Statutes, section 176.15 124D.521, and for administration of the state adult basic 176.16 education program including auditing, technical assistance, and 176.17 reporting requirements under this act: 176.18 $100,000 ..... 2001 176.19 This appropriation is added to the fiscal year 2002 and 176.20 2003 base. 176.21 Subd. 4. [CITIZENSHIP PROMOTION.] For the citizenship 176.22 promotion program under Laws 1997, chapter 162, article 2, 176.23 section 32: 176.24 $350,000 ..... 2001 176.25 Subd. 5. [ADULTS WITH DISABILITIES.] For purposes of the 176.26 adults with disabilities pilot programs under Laws 1997, chapter 176.27 162, article 2, section 31, subdivision 4: 176.28 $40,000 ..... 2001 176.29 Subd. 6. [EMERGENCY SERVICES.] For emergency services 176.30 grants according to Laws 1997, chapter 162, article 3, section 7: 176.31 $1,477,000 ..... 2001 176.32 Sec. 37. [REPORT.] 176.33 The commissioner of economic security shall submit a report 176.34 to the legislature detailing the costs and benefits of operating 176.35 the energy assistance program. The report shall be submitted to 176.36 the senate jobs, energy and community development committee, and 177.1 the house jobs and economic development policy committee by 177.2 January 30, 2001. 177.3 Sec. 38. [TRANSFER OF ENERGY ASSISTANCE AND WEATHERIZATION 177.4 RESPONSIBILITIES.] 177.5 Energy assistance and weatherization responsibilities under 177.6 Minnesota Statutes, sections 119A.40, 119A.41, 119A.42, and 177.7 119A.425, are transferred from the department of children, 177.8 families, and learning to the department of economic security. 177.9 Sec. 39. [INSTRUCTION TO REVISOR.] 177.10 The revisor of statutes shall renumber each section of 177.11 Minnesota Statutes listed in column A with the number listed in 177.12 column B. The revisor shall also make necessary cross-reference 177.13 changes consistent with the renumbering. 177.14 column A column B 177.15 119A.40 268.985 177.16 119A.41 268.986 177.17 119A.42 268.987 177.18 119A.425 268.989 177.19 Sec. 40. [REPEALER.] 177.20 Minnesota Statutes 1998, section 124D.53, subdivisions 1, 177.21 2, and 5, are repealed. Minnesota Statutes 1999 Supplement, 177.22 section 124D.53, subdivision 4, is repealed. Laws 1998, First 177.23 Special Session chapter 1, article 1, section 10, subdivision 2, 177.24 is repealed. 177.25 Sec. 41. [EFFECTIVE DATE.] 177.26 Sections 33 and 37 to 39 are effective the day following 177.27 final enactment.