1.1 	A bill for an act
1.2 	relating to education finance; increasing continuity among school district early 
1.3 	learning programs;amending Minnesota Statutes 2014, sections 124D.13, 
1.4 	subdivisions 1, 5, 9; 124D.135, subdivisions 5, 7; 124D.16, subdivisions 3, 5; 
1.5 	proposing coding for new law in Minnesota Statutes, chapter 124D.
1.6 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7 	Section 1. [124D.1295] EARLY LEARNING PROGRAM COORDINATION.
1.8 		Subdivision 1.Early learning program coordination. A school board, after 
1.9 	receiving written comments from its early childhood advisory council, may adopt a 
1.10 	resolution allowing the district to offer an integrated early learning program. An integrated 
1.11 	early learning program may provide for early childhood family education services, school 
1.12 	readiness services, and other early learning programs providing services to parents and 
1.13 	children.
1.14 		Subd. 2.Early learning program revenue sources. A school district's early 
1.15 	learning program revenue includes its early childhood family education revenue under 
1.16 	section 124D.135, school readiness program revenue under section 124D.16, and any 
1.17 	other revenues set aside for early learning activities.
1.18 		Subd. 3.Reserve account. A district that offers an integrated early learning 
1.19 	program must place all of the revenue it receives under subdivision 2 in an early learning 
1.20 	program reserve account established in the community service fund.

1.21 	EFFECTIVE DATE. This section is effective for fiscal year 2017 and later.

1.22 	Sec. 2. Minnesota Statutes 2014, section 124D.13, subdivision 1, is amended to read:
2.1 		Subdivision 1.Establishment; purpose. A district that provides a community 
2.2 	education program under sections 124D.18 and 124D.19 may establish an early childhood 
2.3 	family education program as an individual program or as a part of an early learning 
2.4 	program under section 124D.1295. Two or more districts, each of which provides a 
2.5 	community education program, may cooperate to jointly provide an early childhood 
2.6 	family education program. The purpose of the early childhood family education program 
2.7 	is to provide parenting education to support children's learning and development.

2.8 	EFFECTIVE DATE. This section is effective July 1, 2016.

2.9 	Sec. 3. Minnesota Statutes 2014, section 124D.13, subdivision 5, is amended to read:
2.10 		Subd. 5.Separate accounts. The A district operating an early childhood family 
2.11 	education program independent of an early learning program under section 124D.1295
2.12 	must maintain a separate account within the community education fund for money for 
2.13 	early childhood family education programs.

2.14 	EFFECTIVE DATE. This section is effective for fiscal year 2017 and later.

2.15 	Sec. 4. Minnesota Statutes 2014, section 124D.13, subdivision 9, is amended to read:
2.16 		Subd. 9.District advisory councils. The board must appoint an advisory council 
2.17 	from the area in which the program is provided. A majority of the council must be parents 
2.18 	participating in the program, who represent the demographics of the community. The 
2.19 	district must ensure, to the extent possible, that the council includes representation of 
2.20 	families who are racially, culturally, linguistically, and economically diverse. The council 
2.21 	must assist the board in developing, planning, and monitoring the early childhood family 
2.22 	education program and the early learning program under section 124D.1295. The council 
2.23 	must report to the board and the community education advisory council.

2.24 	EFFECTIVE DATE. This section is effective July 1, 2016.

2.25 	Sec. 5. Minnesota Statutes 2014, section 124D.135, subdivision 5, is amended to read:
2.26 		Subd. 5.Use of revenue restricted. (a) Early childhood family education revenue 
2.27 	may be used only for early learning programs, including early childhood family education 
2.28 	programs.
2.29 	(b) Not more than five percent of early childhood family education revenue, as defined 
2.30 	in subdivision 7, may be used to administer early childhood family education programs.
2.31 	(c) An early childhood family education program may use up to ten percent of its 
2.32 	early childhood family education revenue as defined in subdivision 1, including revenue 
3.1 	from participant fees, for equipment that is used in the early childhood family education 
3.2 	program. This revenue may only be used for the following purposes:
3.3 	(1) to purchase or lease computers and related materials; and
3.4 	(2) to purchase or lease equipment for instruction for participating children and 
3.5 	their families.
3.6 	If a district anticipates an unusual circumstance requiring its early childhood family 
3.7 	education program capital expenditures to exceed the ten percent limitation, prior approval 
3.8 	to exceed the limit must be obtained in writing from the commissioner.

3.9 	EFFECTIVE DATE. This section is effective for fiscal year 2017 and later.

3.10 	Sec. 6. Minnesota Statutes 2014, section 124D.135, subdivision 7, is amended to read:
3.11 		Subd. 7.Reserve account. Early childhood family education revenue, which 
3.12 	includes aids, levies, fees, grants, and all other revenues received by the district for early 
3.13 	childhood family education programs, must be maintained in either an early learning 
3.14 	program reserve account or a separate early childhood family education reserve account 
3.15 	within the community service fund.

3.16 	EFFECTIVE DATE. This section is effective for fiscal year 2017 and later.

3.17 	Sec. 7. Minnesota Statutes 2014, section 124D.16, subdivision 3, is amended to read:
3.18 		Subd. 3.Use of aid. School readiness aid shall be used only to provide a school 
3.19 	readiness program or an early learning program and may be used to provide transportation. 
3.20 	Not more than five percent of program revenue, as defined in subdivision 5, may be used 
3.21 	for the cost of administering the program. Aid must be used to supplement and not supplant 
3.22 	local, state, and federal funding. Aid may not be used for instruction and services required 
3.23 	under sections 125A.03 to 125A.24 and 125A.65. Aid may not be used to purchase land 
3.24 	or construct buildings, but may be used to lease or renovate existing buildings.

3.25 	EFFECTIVE DATE. This section is effective for fiscal year 2017 and later.

3.26 	Sec. 8. Minnesota Statutes 2014, section 124D.16, subdivision 5, is amended to read:
3.27 		Subd. 5.Reserve account. School readiness revenue, which includes aids, fees, 
3.28 	grants, and all other revenues received by the district school readiness programs, must 
3.29 	be maintained in either an early learning program reserve account or a school readiness
3.30 	reserve account within the community service fund.

3.31 	EFFECTIVE DATE. This section is effective for fiscal year 2017 and later.