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SF 811

2nd Engrossment - 89th Legislature (2015 - 2016) Posted on 08/25/2015 03:05pm

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Current Version - 2nd Engrossment

A bill for an act
relating to education; providing funding and policy for early childhood and
family, prekindergarten through grade 12, and adult education, including general
education, education excellence, special education, facilities, technology,
nutrition, libraries, accounting, early childhood, education, self-sufficiency,
lifelong learning, and state agencies; appropriating money;amending Minnesota
Statutes 2014, sections 5A.03; 120B.021, subdivisions 1, 3, 4; 120B.13,
subdivision 4; 120B.30, by adding subdivisions; 120B.36, subdivision 1;
121A.17, subdivisions 3, 5; 122A.09, by adding a subdivision; 122A.18,
subdivision 8; 122A.413, subdivisions 1, 2; 122A.414, subdivisions 1, 1a, 2,
2a, 2b, 3; 122A.415; 122A.74; 123B.045, by adding a subdivision; 123B.53,
subdivisions 1, 4; 123B.57; 124D.041, subdivisions 1, 2; 124D.09, subdivisions
5, 8; 124D.10, subdivisions 8, 12; 124D.11, subdivisions 1, 5, by adding
subdivisions; 124D.1158, subdivisions 3, 4; 124D.15, subdivisions 3, 5, 12,
15, by adding a subdivision; 124D.16, subdivision 2; 124D.165, subdivision
2; 124D.20, subdivision 4a; 124D.4531, subdivision 1; 124D.81; 124D.83,
subdivision 2; 125A.03; 125A.11, subdivision 1; 125A.79, subdivision 1;
126C.01, subdivision 2; 126C.10, subdivisions 1, 2, 2a, 13a, 18; 126C.15,
subdivision 2; 127A.33; 127A.45, subdivision 3; 127A.47, subdivision 7;
129C.30, subdivision 3; 134.355, subdivisions 5, 6, 8, 9, 10; Laws 2013, chapter
116, article 1, section 58, subdivisions 2, as amended, 3, as amended, 4, as
amended, 5, as amended, 6, as amended, 7, as amended, 11, as amended; article
3, sections 35, subdivision 2; 37, subdivisions 3, as amended, 4, as amended, 5,
as amended, 20, as amended; article 4, section 9, subdivision 2, as amended;
article 5, section 31, subdivisions 2, as amended, 3, as amended, 4, as amended;
article 6, section 12, subdivisions 2, as amended, 6, as amended; article 7, section
21, subdivisions 2, as amended, 3, as amended, 4, as amended; article 8, section
5, subdivisions 3, as amended, 4, as amended, 14, as amended; Laws 2014,
chapter 312, article 16, sections 15; 16, subdivision 7; proposing coding for new
law in Minnesota Statutes, chapters 120B; 121A; 123B; 124D; 136D; repealing
Minnesota Statutes 2014, sections 123B.59; 123B.591.

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

ARTICLE 1

GENERAL EDUCATION

Section 1.

Minnesota Statutes 2014, section 124D.041, subdivision 1, is amended to
read:


Subdivision 1.

Agreements.

(a) The commissioner may enter into an agreement
with the designated authority from an adjoining state to establish an enrollment options
program between Minnesota and the adjoining state. Any agreement entered into pursuant
to this section must specify the following:

(1) for students who are not residents of Minnesota, the enrollment options program
applies only to a student whose resident school district borders Minnesota;

(2) the commissioner must negotiate equal, reciprocal rates with the designated
authority from the adjoining state;

(3) if the adjoining state sends more students to Minnesota than Minnesota sends to
the adjoining state, the adjoining state must pay the state of Minnesota the rate agreed
upon under clause (2) for the excess number of students sent to Minnesota;

(4) if Minnesota sends more students to the adjoining state than the adjoining state
sends to Minnesota, the state of Minnesota will pay the adjoining state the rate agreed
upon under clause (2) for the excess number of students sent to the adjoining state;

(5) the application procedures for the enrollment options program between
Minnesota and the adjoining state;

(6) the reasons for which an application for the enrollment options program between
Minnesota and the adjoining state may be denied; and

(7) that a Minnesota school district is not responsible for transportation for any
resident student attending school in an adjoining state under the provisions of this section.
A Minnesota school district may, at its discretion, provide transportation services for
such a student.

(b) Any agreement entered into pursuant to this section may specify additional
terms relating to any student in need of special education and related services pursuant
to chapter 125A, including early childhood special education services. Any additional
terms must apply equally to both states.

EFFECTIVE DATE.

This section is effective July 1, 2015.

Sec. 2.

Minnesota Statutes 2014, section 124D.041, subdivision 2, is amended to read:


Subd. 2.

Pupil accounting.

(a) Any student from an adjoining state enrolled in
Minnesota pursuant to this section is included in the receiving school district's average
daily membership and pupil units according to section 126C.05 as if the student were
a resident of another Minnesota school district attending the receiving school district
under section 124D.03.

(b) Any Minnesota resident student enrolled in an adjoining state pursuant to this
section is included in the resident school district's average daily membership and pupil
units according to section 126C.05 as if the student were a resident of the district attending
another Minnesota school district under section 124D.03.

(c) A prekindergarten child from an adjoining state whose family resides at a
Minnesota address as assigned by the United States Postal Service and is receiving early
childhood special education services from a Minnesota school district is considered
enrolled in a Minnesota school district.

EFFECTIVE DATE.

This section is effective July 1, 2015.

Sec. 3.

Minnesota Statutes 2014, section 124D.4531, subdivision 1, is amended to read:


Subdivision 1.

Career and technical revenue.

(a) A district with a career and
technical program approved under this section for the fiscal year in which the levy is
certified is eligible for career and technical revenue equal to 35 37.5 percent of approved
expenditures in the fiscal year in which the levy is certified for the following:

(1) salaries paid to essential, licensed personnel and qualifying nonlicensed
community experts under paragraph (c)
providing direct instructional services to students
in that fiscal year, including extended contracts, for services rendered in the district's
approved career and technical education programs, excluding salaries reimbursed by
another school district under clause (2);

(2) amounts paid to another Minnesota school district for salaries of essential,
licensed personnel and qualifying nonlicensed community experts under paragraph (c)
providing direct instructional services to students in that fiscal year for services rendered
in the district's approved career and technical education programs;

(3) contracted services provided by a public or private agency other than a Minnesota
school district or cooperative center under chapter 123A or 136D;

(4) necessary travel between instructional sites by licensed career and technical
education personnel;

(5) necessary travel by licensed career and technical education personnel for
vocational student organization activities held within the state for instructional purposes;

(6) curriculum development activities that are part of a five-year plan for
improvement based on program assessment;

(7) necessary travel by licensed career and technical education personnel for
noncollegiate credit-bearing professional development; and

(8) specialized vocational instructional supplies.

(b) The district must recognize the full amount of this levy as revenue for the fiscal
year in which it is certified.

(c) The amount of the revenue calculated under this subdivision may not exceed
$17,850,000 for taxes payable in 2012, $15,520,000 for taxes payable in 2013, and
$20,657,000 for taxes payable in 2014.

(d) If the estimated revenue exceeds the amount in paragraph (c), the commissioner
must reduce the percentage in paragraph (a) until the estimated revenue no longer exceeds
the limit in paragraph (c).

(c) Salaries for nonlicensed community experts qualify under paragraph (a), clauses
(1) and (2), only if the district made efforts to obtain acceptable licensed teachers for the
particular course or subject area.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2017 and
later.

Sec. 4.

Minnesota Statutes 2014, section 126C.10, subdivision 1, is amended to read:


Subdivision 1.

General education revenue.

(a) For fiscal years 2013 and 2014, the
general education revenue for each district equals the sum of the district's basic revenue,
extended time revenue, gifted and talented revenue, small schools revenue, basic skills
revenue, secondary sparsity revenue, elementary sparsity revenue, transportation sparsity
revenue, total operating capital revenue, equity revenue, alternative teacher compensation
revenue, and transition revenue.

(b) For fiscal year 2015 and later, the general education revenue for each district
equals the sum of the district's basic revenue, extended time support revenue, gifted and
talented revenue, declining enrollment revenue, local optional revenue, small schools
revenue, basic skills revenue, secondary sparsity revenue, elementary sparsity revenue,
transportation sparsity revenue, total operating capital revenue, equity revenue, pension
adjustment revenue, and transition revenue.

Sec. 5.

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


Subd. 2.

Basic revenue.

For fiscal year 2014, the basic revenue for each district
equals the formula allowance times the adjusted marginal cost pupil units for the school
year.
For fiscal year 2015 and later, the basic revenue for each district equals the formula
allowance times the adjusted pupil units for the school year. The formula allowance for
fiscal year 2013 is $5,224. The formula allowance for fiscal year 2014 is $5,302.
The
formula allowance for fiscal year 2015 and later is $5,831. The formula allowance for
fiscal year 2016 is $5,889. The formula allowance for fiscal year 2017 and later is $5,948.

Sec. 6.

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


Subd. 2a.

Extended time support revenue.

(a) A school district's extended time
revenue for fiscal year 2014 is equal to the product of $4,601 and the sum of the adjusted
marginal cost pupil units of the district for each pupil in average daily membership in excess
of 1.0 and less than 1.2 according to section 126C.05, subdivision 8.
A school district's
extended time support revenue for fiscal year 2015 and later is equal to the product of
$5,017 and the sum of the adjusted pupil units of the district for each pupil in average daily
membership in excess of 1.0 and less than 1.2 according to section 126C.05, subdivision 8.

(b) A school district's extended time support revenue may be used for extended day
programs, extended week programs, summer school, and other programming authorized
under the learning year program. Extended support revenue may also be used by alternative
learning centers serving high school students for academic purposes during the school day.

Sec. 7.

Minnesota Statutes 2014, section 126C.10, subdivision 13a, is amended to read:


Subd. 13a.

Operating capital levy.

To obtain operating capital revenue for fiscal
year 2015 and later
, a district may levy an amount not more than the product of its operating
capital revenue for the fiscal year times the lesser of one or the ratio of its adjusted net tax
capacity per adjusted marginal cost pupil unit to the operating capital equalizing factor. The
operating capital equalizing factor equals $14,500 for fiscal years 2015 and 2016, $16,332
for fiscal year 2017, $23,905 for fiscal year 2018, and $38,100 for fiscal year 2019 and later
.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2016 and
later.

Sec. 8.

Minnesota Statutes 2014, section 126C.10, subdivision 18, is amended to read:


Subd. 18.

Transportation sparsity revenue allowance.

(a) A district's
transportation sparsity allowance equals the greater of zero or the result of the following
computation:

(i) Multiply the formula allowance according to subdivision 2, by .141.

(ii) Multiply the result in clause (i) by the district's sparsity index raised to the
26/100 power.

(iii) Multiply the result in clause (ii) by the district's density index raised to the
13/100 power.

(iv) Multiply the result in clause (iii) by the greater of (1) one or (2) the ratio of the
square mile area of the district to 3,000 raised to the 34/100 power.

(v) For a district that does not qualify for secondary sparsity revenue under
subdivision 7 or elementary sparsity revenue under subdivision 8, multiply the result in
clause (iv) by the greater of (1) one or (2) the ratio of the square mile area of the district to
525 raised to the 34/100 power.

(iv) (vi) Multiply the formula allowance according to subdivision 2, by .0466.

(v) (vii) Subtract the result in clause (iv) (vi) from the result in clause (iii) (v).

(b) Transportation sparsity revenue is equal to the transportation sparsity allowance
times the adjusted pupil units.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2016 and
later.

Sec. 9.

Minnesota Statutes 2014, section 126C.15, subdivision 2, is amended to read:


Subd. 2.

Building allocation.

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

(b) Notwithstanding paragraph (a), a district or cooperative may allocate up to five
50 percent of the amount of compensatory revenue that the district receives to school
sites according to a plan adopted by the school board, and a district or cooperative may
allocate up to an additional five percent of its compensatory revenue for activities under
subdivision 1, clause (10), according to a plan adopted by the school board
. The money
reallocated under this paragraph must be spent for the purposes listed in subdivision 1, but
may be spent on students in any grade, including students attending school readiness or
other prekindergarten programs.

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

(d) Notwithstanding section 123A.26, subdivision 1, compensatory revenue
generated by students served at a cooperative unit shall be paid to the cooperative unit.

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

EFFECTIVE DATE.

This section is effective July 1, 2015.

Sec. 10.

Minnesota Statutes 2014, section 129C.30, subdivision 3, is amended to read:


Subd. 3.

General education funding.

General education revenue must be paid to
the Crosswinds school as though it were a district. The general education revenue for each
adjusted pupil unit is the state average general education revenue per pupil unit, plus
the referendum equalization aid allowance in the pupil's district of residence, minus an
amount equal to the product of the formula allowance according to section 126C.10,
subdivision 2, times .0466, calculated without declining enrollment, basic skills revenue,
extended time support revenue, pension adjustment revenue, transition revenue, and
transportation sparsity revenue, plus declining enrollment, basic skills revenue, extended
time support revenue, pension adjustment revenue, and transition revenue as though the
school were a school district. The general education revenue for each extended time
support pupil unit equals $4,794.

Sec. 11.

[136D.41] LISTED DISTRICTS MAY FORM INTERMEDIATE
DISTRICT.

Notwithstanding any other law to the contrary, two or more of the Independent School
Districts Nos. 108, 110, 111, and 112 of Carver County, Independent School Districts Nos.
716, 717, 719, 720, and 721 of Scott County, and Independent School District No. 2905 of
Le Sueur County, whether or not contiguous, may enter into agreements to accomplish
jointly and cooperatively the acquisition, betterment, construction, maintenance, and
operation of facilities for, and instruction in, special education, career and technical
education, adult basic education, and alternative education. Each school district that
becomes a party to such an agreement is a "participating school district" for purposes
of sections 136D.41 to 136D.49. The agreement may provide for the exercise of these
powers by a joint school board created as set forth in sections 136D.41 to 136D.49.

Sec. 12.

[136D.42] JOINT SCHOOL BOARD; MEMBERS; BYLAWS.

Subdivision 1.

Board.

The agreement shall provide for a joint school board
representing the parties to the agreement. The agreement shall specify the name of the
board, the number and manner of election or appointment of its members, their terms and
qualifications, and other necessary and desirable provisions.

Subd. 2.

Bylaws.

The board may adopt bylaws specifying the duties and powers of
its officers and the meeting dates of the board, and containing such other provisions as
may be usual and necessary for the efficient conduct of the business of the board.

Sec. 13.

[136D.43] STATUS OF JOINT SCHOOL BOARD.

Subdivision 1.

Public agency.

The joint school board shall be a public agency of the
participating school districts and may receive and disburse federal and state funds made
available to it or to the participating school districts.

Subd. 2.

Liability.

No participating school district shall have individual liability
for the debts and obligations of the board, nor shall any individual serving as a member
of the board have such liability.

Subd. 3.

Tax exempt.

Any properties, real or personal, acquired, owned, leased,
controlled, used, or occupied by the board for its purposes shall be exempt from taxation
by the state or any of its political subdivisions.

Sec. 14.

[136D.44] JOINT BOARD HAS ALL POWERS OF MEMBER
DISTRICTS.

To effectuate the agreement, the joint school board shall have all the powers granted
by law to any or all of the participating school districts.

Sec. 15.

[136D.45] AGREEMENT APPROVAL; NOTICE; PETITION;
REFERENDUM.

Subdivision 1.

Resolution.

The agreement shall, before it becomes effective, be
approved by a resolution adopted by the school board of each school district named therein.

Subd. 2.

When effective.

Each resolution shall be published once in a newspaper
published in the district, if there is one, or in a newspaper having general circulation in the
district, and shall become effective 30 days after publication, unless within the 30-day
period a petition for referendum on the resolution is filed with the school board, signed by
qualified voters of the school district equal in number to five percent of the number of
voters voting at the last annual school district election. In such case, the resolution shall
not become effective until approved by a majority of the voters voting thereon at a regular
or special election. The agreement may provide conditions under which it shall become
effective even though it may not be approved in all districts.

Sec. 16.

[136D.46] DISTRICT CONTRIBUTIONS, DISBURSEMENTS,
CONTRACTS.

The participating school districts may contribute funds to the board. Disbursements
shall be made by the board in accordance with sections 123B.14, 123B.143, and 123B.147.
The board shall be subject to section 123B.52, subdivisions 1, 2, 3, and 5.

Sec. 17.

[136D.47] TERM OF AGREEMENT.

The agreement shall state the term of its duration and may provide for the method of
termination and distribution of assets after payment of all liabilities of the joint school
board.

Sec. 18.

[136D.48] NON-POSTSECONDARY PROGRAMS; LICENSED
DIRECTION.

The board may also provide any other educational programs or other services
requested by a participating district. However, these programs and services may not be
postsecondary programs or services. Academic offerings shall be provided only under the
direction of properly licensed academic supervisory personnel.

Sec. 19.

[136D.49] OTHER MEMBERSHIP AND POWERS.

In addition to the districts listed in sections 136D.21, 136D.41, 136D.71, and
136D.81, the agreement of an intermediate school district established under this chapter
may provide for the membership of other school districts and cities, counties, and other
governmental units as defined in section 471.59. In addition to the powers listed in
sections 136D.25, 136D.73, and 136D.84, an intermediate school board may provide the
services defined in section 123A.21, subdivisions 7 and 8.

Sec. 20. COMPENSATORY REVENUE; INTERMEDIATE DISTRICT.

For the 2015-2016 school year only, for an intermediate district formed under
Minnesota Statutes, section 136D.41, the department must calculate compensatory
revenue based on the October 1, 2014, enrollment counts for the South Metro Educational
Cooperative.

Sec. 21. RECIPROCITY AGREEMENT EXEMPTION; HENDRICKS.

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

EFFECTIVE DATE.

This section is effective for the 2015-2016 school year and
later.

Sec. 22. SCHOOL DISTRICT LEVY ADJUSTMENTS.

Subdivision 1.

Tax rate adjustment.

The commissioner of education must adjust
each school district tax rate established under Minnesota Statutes, chapters 120B to 127A,
by multiplying the rate by the ratio of the statewide total tax capacity for assessment year
2014, as it existed prior to the passage of Regular Session 2015, House File No. 848, or
a similarly styled bill passed in a special session to the statewide total tax capacity for
assessment year 2014.

Subd. 2.

Equalizing factors.

The commissioner of education must adjust each
school district equalizing factor established under Minnesota Statutes, chapters 120B to
127A, by dividing the equalizing factor by the ratio of the statewide total tax capacity for
assessment year 2014, as it existed prior to the passage of Regular Session 2015, House
File No. 848, or a similarly styled bill passed in a special session, to the statewide total tax
capacity for assessment year 2014.

Sec. 23. INDEPENDENT SCHOOL DISTRICT NO. 761, OWATONNA PUBLIC
SCHOOLS; REFERENDUM REVENUE AUTHORIZATION.

The referendum revenue authorization for Independent School District No. 761,
Owatonna public schools, shall be set at $1,082.70 per adjusted pupil unit for taxes
payable in 2014 and adjusted thereafter for the annual inflationary increases calculated
under Minnesota Statutes, section 126C.17, subdivision 2, paragraph (b), to reflect the
intention of the school board and the understanding of the voters relating to the new
authorization approved by the voters of that school district on November 5, 2013. This
referendum will be applicable for seven years beginning with taxes payable in 2014 unless
otherwise revoked or reduced as provided by law.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 24. APPROPRIATIONS.

Subdivision 1.

Department of Education.

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

Subd. 2.

General education aid.

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

$
6,567,318,000
.....
2016
$
6,645,270,000
.....
2017

The 2016 appropriation includes $622,908,000 for 2015 and $5,944,411,000 for 2016.

The 2017 appropriation includes $632,481,000 for 2016 and $6,012,789,000 for
2017.

Subd. 3.

Nonpublic pupil transportation.

For nonpublic pupil transportation aid
under Minnesota Statutes, section 123B.92, subdivision 9:

$
17,488,000
.....
2016
$
17,464,000
.....
2017

The 2016 appropriation includes $1,816,000 for 2015 and $15,672,000 for 2016.

The 2017 appropriation includes $1,741,000 for 2016 and $15,723,000 for 2017.

Subd. 4.

Nonpublic pupil education aid.

For nonpublic pupil education aid under
Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:

$
16,819,000
.....
2016
$
17,338,000
.....
2017

The 2016 appropriation includes $1,575,000 for 2015 and $15,244,000 for 2016.

The 2017 appropriation includes $1,693,000 for 2016 and $15,645,000 for 2017.

Subd. 5.

Career and technical aid.

For career and technical aid under Minnesota
Statutes, section 124D.4531, subdivision 1b:

$
5,420,000
.....
2016
$
4,669,000
.....
2017

The 2016 appropriation includes $574,000 for 2015 and $4,846,000 for 2016.

The 2017 appropriation includes $538,000 for 2016 and $4,131,000 for 2017.

Subd. 6.

Abatement revenue.

For abatement aid under Minnesota Statutes, section
127A.49:

$
2,740,000
.....
2016
$
2,932,000
.....
2017

The 2016 appropriation includes $278,000 for 2015 and $2,462,000 for 2016.

The 2017 appropriation includes $273,000 for 2016 and $2,659,000 for 2017.

Subd. 7.

Consolidation transition.

For districts consolidating under Minnesota
Statutes, section 123A.485:

$
292,000
.....
2016
$
165,000
.....
2017

The 2016 appropriation includes $22,000 for 2015 and $270,000 for 2016.

The 2017 appropriation includes $30,000 for 2016 and $135,000 for 2017.

Subd. 8.

One-room schoolhouse.

For a grant to Independent School District No.
690, Warroad, to operate the Angle Inlet School:

$
65,000
.....
2016
$
65,000
.....
2017

Subd. 9.

Enrollment options transportation.

For transportation of pupils attending
postsecondary institutions under Minnesota Statutes, section 124D.09, or for transportation
of pupils attending nonresident districts under Minnesota Statutes, section 124D.03:

$
39,000
.....
2016
$
42,000
.....
2017

ARTICLE 2

EDUCATION EXCELLENCE

Section 1.

Minnesota Statutes 2014, section 120B.13, subdivision 4, is amended to read:


Subd. 4.

Rigorous course taking information; AP, IB, and PSEO.

The
commissioner shall submit the following information on rigorous course taking,
disaggregated by student subgroup, school district, and postsecondary institution,
to the
education committees of the legislature each year by February 1:

(1) the number of pupils enrolled in postsecondary enrollment options under section
124D.09, including concurrent enrollment, career and technical education courses offered
as a concurrent enrollment course,
advanced placement, and international baccalaureate
courses in each school district;

(2) the number of teachers in each district attending training programs offered by the
college board, International Baccalaureate North America, Inc., or Minnesota concurrent
enrollment programs;

(3) the number of teachers in each district participating in support programs;

(4) recent trends in the field of postsecondary enrollment options under section
124D.09, including concurrent enrollment, advanced placement, and international
baccalaureate programs;

(5) expenditures for each category in this section and under sections 124D.09 and
124D.091, including career and technical education courses offered as a concurrent
enrollment course
; and

(6) other recommendations for the state program or the postsecondary enrollment
options under section 124D.09, including concurrent enrollment.

Sec. 2.

[121A.395] TITLE.

Sections 121A.395 to 121A.3951 may be cited as the "Student Support Services
Personnel Act."

Sec. 3.

[121A.3951] STUDENT SUPPORT SERVICES PERSONNEL GRANT
PROGRAM.

Subdivision 1.

Definitions.

For the purposes of sections 121A.395 to 121A.3951,
the following terms have the meanings given them:

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

(2) "new position" means a student support services personnel full-time or part-time
position not under contract by a school at the start of the 2014-2015 school year.

Subd. 2.

Purpose.

The purpose of the student support services personnel grant
program is to:

(1) address shortages of student support services personnel within Minnesota schools;

(2) decrease caseloads for existing student support services personnel to ensure
effective services;

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

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

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

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

Subd. 3.

Grant eligibility and application.

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

(b) The commissioner of education shall specify the form and manner of the grant
application. In awarding grants, the commissioner must give priority to schools in which
student support services personnel positions do not currently exist. Additional criteria
must include at least the following:

(1) existing student support services personnel caseloads;

(2) school demographics;

(3) Title 1 revenue;

(4) Minnesota student survey data;

(5) graduation rates; and

(6) postsecondary completion rates.

Subd. 4.

Allowed uses; match requirements.

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

Subd. 5.

Report required.

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

(1) school climate;

(2) attendance rates;

(3) academic achievement;

(4) career and college readiness; and

(5) postsecondary completion rates.

Sec. 4.

Minnesota Statutes 2014, section 122A.09, is amended by adding a subdivision
to read:


Subd. 4a.

Teacher preparation program data; report.

Each teacher preparation
program must collect valid, reliable, and timely data about outcomes for its teacher
candidates. On an annual basis, each teacher preparation program must publish summary
data on programs' efficacy in an understandable, useful, and readily accessible electronic
format that is available on a Web site hosted by the teacher preparation program. The
summary report at least must include: four-year graduation rates, licensure attainment,
employment rates, and satisfaction rates from teacher candidates collected via a survey.
Additionally, some of the outcomes may be disaggregated by race, including:

(1) graduation rates;

(2) licensure rates;

(3) employment rates; and

(4) teacher candidate satisfaction.

Teacher preparation programs must follow the standard practice determined by
the National Center for Education Statistics by exempting sample cells smaller than ten
people in order to maintain privacy of individual teachers.

EFFECTIVE DATE.

This section is effective the day following final enactment
and applies to reports published beginning June 1, 2016.

Sec. 5.

Minnesota Statutes 2014, section 122A.413, subdivision 1, is amended to read:


Subdivision 1.

Qualifying plan.

A district or, intermediate school district, or a
cooperative unit, as defined in section 123A.24, subdivision 2,
may develop an educational
improvement plan for the purpose of qualifying for the alternative teacher professional pay
system under section 122A.414. The plan must include measures for improving school
district, intermediate school district, cooperative, school site, teacher, and individual
student performance.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2017 and
later.

Sec. 6.

Minnesota Statutes 2014, section 122A.413, subdivision 2, is amended to read:


Subd. 2.

Plan components.

The educational improvement plan must be approved
by the school board or governing board and have at least these elements:

(1) assessment and evaluation tools to measure student performance and progress,
including the academic literacy, oral academic language, and achievement of English
learners, among other measures;

(2) performance goals and benchmarks for improvement;

(3) measures of student attendance and completion rates;

(4) a rigorous research and practice-based professional development system, based
on national and state standards of effective teaching practice applicable to all students
including English learners with varied needs under section 124D.59, subdivisions 2 and
2a, and consistent with section 122A.60, that is aligned with educational improvement and
designed to achieve ongoing and schoolwide progress and growth in teaching practice;

(5) measures of student, family, and community involvement and satisfaction;

(6) a data system about students and their academic progress that provides parents
and the public with understandable information;

(7) a teacher induction and mentoring program for probationary teachers that
provides continuous learning and sustained teacher support; and

(8) substantial participation by the exclusive representative of the teachers in
developing the plan.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2017 and
later.

Sec. 7.

Minnesota Statutes 2014, section 122A.414, subdivision 1, is amended to read:


Subdivision 1.

Restructured pay system.

A restructured alternative teacher
professional pay system is established under subdivision 2 to provide incentives to
encourage teachers to improve their knowledge and instructional skills in order to improve
student learning and for school districts, intermediate school districts, cooperative units,
as defined in section 123A.24, subdivision 2,
and charter schools to recruit and retain
highly qualified teachers, encourage highly qualified teachers to undertake challenging
assignments, and support teachers' roles in improving students' educational achievement.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2017 and
later.

Sec. 8.

Minnesota Statutes 2014, section 122A.414, subdivision 1a, is amended to read:


Subd. 1a.

Transitional planning year.

(a) To be eligible to participate in an
alternative teacher professional pay system, a school district, intermediate school district,
or site, at least one school year before it expects to fully implement an alternative pay
system, must:

(1) submit to the department a letter of intent executed by the school district or,
intermediate school district and the exclusive representative of the teachers to complete a
plan preparing for full implementation, consistent with subdivision 2, that may include,
among other activities, training to evaluate teacher performance, a restructured school
day to develop integrated ongoing site-based professional development activities, release
time to develop an alternative pay system agreement, and teacher and staff training on
using multiple data sources; and

(2) agree to use up to two percent of basic revenue for staff development purposes,
consistent with sections 122A.60 and 122A.61, to develop the alternative teacher
professional pay system agreement under this section.

(b) To be eligible to participate in an alternative teacher professional pay system, a
charter school, at least one school year before it expects to fully implement an alternative
pay system, must:

(1) submit to the department a letter of intent executed by the charter school and the
charter school board of directors;

(2) submit the record of a formal vote by the teachers employed at the charter
school indicating at least 70 percent of all teachers agree to implement the alternative
pay system; and

(3) agree to use up to two percent of basic revenue for staff development purposes,
consistent with sections 122A.60 and 122A.61, to develop the alternative teacher
professional pay system.

(c) To be eligible to participate in an alternative teacher professional pay system,
a cooperative, excluding intermediate school districts at least one school year before it
expects to fully implement an alternative pay system, must:

(1) submit to the department a letter of intent executed by the governing board
of the cooperative; and

(2) submit the record of a formal vote by the teachers employed by the cooperative
indicating at least 70 percent of all teachers agree to implement the alternative pay system.

(c) (d) The commissioner may waive the planning year if the commissioner
determines, based on the criteria under subdivision 2, that the school district, intermediate
school district, cooperative, site or charter school is ready to fully implement an alternative
pay system.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2017 and
later.

Sec. 9.

Minnesota Statutes 2014, section 122A.414, subdivision 2, is amended to read:


Subd. 2.

Alternative teacher professional pay system.

(a) To participate in
this program, a school district, intermediate school district, cooperative, school site, or
charter school must have an educational improvement plan under section 122A.413 and
an alternative teacher professional pay system agreement under paragraph (b). A charter
school participant also must comply with subdivision 2a.

(b) The alternative teacher professional pay system agreement must:

(1) describe how teachers can achieve career advancement and additional
compensation;

(2) describe how the school district, intermediate school district, cooperative,
school site, or charter school will provide teachers with career advancement options that
allow teachers to retain primary roles in student instruction and facilitate site-focused
professional development that helps other teachers improve their skills;

(3) reform the "steps and lanes" salary schedule, which may include a hiring
bonus or other added compensation for teachers who work in a hard-to-fill position or
hard-to-staff school setting, such as a school with a majority of students whose families
meet federal poverty guidelines, a geographically isolated school, or a school identified by
the state as eligible for targeted programs or services for its students. The salary schedule
must
prevent any teacher's compensation paid before implementing the pay system from
being reduced as a result of participating in this system, base at least 60 percent of any
compensation increase on teacher performance using:

(i) schoolwide student achievement gains under section 120B.35 or locally selected
standardized assessment outcomes, or both;

(ii) measures of student growth and literacy that may include value-added models
or student learning goals, consistent with section 122A.40, subdivision 8, clause (9), or
122A.41, subdivision 5, clause (9), and other measures that include the academic literacy,
oral academic language, and achievement of English learners under section 122A.40,
subdivision 8, clause (10), or 122A.41, subdivision 5, clause (10); and

(iii) an objective evaluation program under section 122A.40, subdivision 8,
paragraph (b), clause (2), or 122A.41, subdivision 5, paragraph (b), clause (2);

(4) provide for participation in job-embedded learning opportunities such as
professional learning communities to improve instructional skills and learning that are
aligned with student needs under section 122A.413, consistent with the staff development
plan under section 122A.60 and led during the school day by trained teacher leaders
such as master or mentor teachers;

(5) allow any teacher in a participating school district, intermediate school district,
cooperative, school site, or charter school that implements an alternative pay system to
participate in that system without any quota or other limit; and

(6) encourage collaboration rather than competition among teachers.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2017 and
later.

Sec. 10.

Minnesota Statutes 2014, section 122A.414, subdivision 2a, is amended to read:


Subd. 2a.

Charter school applications; cooperative applications.

(a) For charter
school applications, the board of directors of a charter school that satisfies the conditions
under subdivisions 2 and 2b must submit to the commissioner an application that contains:

(1) an agreement to implement an alternative teacher professional pay system
under this section;

(2) a resolution by the charter school board of directors adopting the agreement; and

(3) the record of a formal vote by the teachers employed at the charter school
indicating that at least 70 percent of all teachers agree to implement the alternative
teacher professional pay system, unless the charter school submits an alternative teacher
professional pay system agreement under this section before the first year of operation.

Alternative compensation revenue for a qualifying charter school must be calculated
under section 126C.10, subdivision 34, paragraphs (a) and (b).

(b) For cooperative unit applications, excluding intermediate school districts, the
governing board of a cooperative unit that satisfies the conditions under subdivisions 2
and 2b must submit to the commissioner an application that contains:

(1) an agreement to implement an alternative teacher professional pay system
under this section;

(2) a resolution by the governing board adopting the agreement; and

(3) the record of a formal vote by the teachers employed at the cooperative unit
indicating that at least 70 percent of all teachers agree to implement the alternative teacher
professional pay system.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2017 and
later.

Sec. 11.

Minnesota Statutes 2014, section 122A.414, subdivision 2b, is amended to read:


Subd. 2b.

Approval process.

(a) Consistent with the requirements of this section and
sections 122A.413 and 122A.415, the department must prepare and transmit to interested
school districts, intermediate school districts, cooperatives, school sites, and charter
schools a standard form for applying to participate in the alternative teacher professional
pay system. The commissioner annually must establish three dates as deadlines by which
interested applicants must submit an application to the commissioner under this section.
An interested school district, intermediate school district, cooperative, school site, or
charter school must submit to the commissioner a completed application executed by the
district superintendent and the exclusive bargaining representative of the teachers if the
applicant is a school district, intermediate school district, or school site, or executed by
the charter school board of directors if the applicant is a charter school or executed by
the governing board if the applicant is a cooperative unit
. The application must include
the proposed alternative teacher professional pay system agreement under subdivision
2. The department must review a completed application within 30 days of the most
recent application deadline and recommend to the commissioner whether to approve or
disapprove the application. The commissioner must approve applications on a first-come,
first-served basis. The applicant's alternative teacher professional pay system agreement
must be legally binding on the applicant and the collective bargaining representative before
the applicant receives alternative compensation revenue. The commissioner must approve
or disapprove an application based on the requirements under subdivisions 2 and 2a.

(b) If the commissioner disapproves an application, the commissioner must give the
applicant timely notice of the specific reasons in detail for disapproving the application.
The applicant may revise and resubmit its application and related documents to the
commissioner within 30 days of receiving notice of the commissioner's disapproval and
the commissioner must approve or disapprove the revised application, consistent with this
subdivision. Applications that are revised and then approved are considered submitted on
the date the applicant initially submitted the application.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2017 and
later.

Sec. 12.

Minnesota Statutes 2014, section 122A.414, subdivision 3, is amended to read:


Subd. 3.

Report; continued funding.

(a) Participating districts, intermediate school
districts, cooperatives, school sites, and charter schools must report on the implementation
and effectiveness of the alternative teacher professional pay system, particularly
addressing each requirement under subdivision 2 and make annual recommendations by
June 15 to their school boards. The school board or , board of directors, or governing board
shall transmit a copy of the report with a summary of the findings and recommendations
of the district, intermediate school district, cooperative, school site, or charter school to
the commissioner.

(b) If the commissioner determines that a school district, intermediate school district,
cooperative, school site, or charter school that receives alternative teacher compensation
revenue is not complying with the requirements of this section, the commissioner
may withhold funding from that participant. Before making the determination, the
commissioner must notify the participant of any deficiencies and provide the participant
an opportunity to comply.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2017 and
later.

Sec. 13.

Minnesota Statutes 2014, section 122A.415, is amended to read:


122A.415 ALTERNATIVE COMPENSATION REVENUE.

Subdivision 1.

Revenue amount.

(a) A school district, intermediate school district,
cooperative unit as defined in section 123A.24, subdivision 2, school site, or charter
school that meets the conditions of section 122A.414 and submits an application approved
by the commissioner is eligible for alternative teacher compensation revenue.

(b) For school district and intermediate school district applications, the commissioner
must consider only those applications to participate that are submitted jointly by a
district and the exclusive representative of the teachers. The application must contain an
alternative teacher professional pay system agreement that:

(1) implements an alternative teacher professional pay system consistent with
section 122A.414; and

(2) is negotiated and adopted according to the Public Employment Labor Relations
Act under chapter 179A, except that notwithstanding section 179A.20, subdivision 3, a
district may enter into a contract for a term of two or four years.

Alternative teacher compensation revenue for a qualifying school district or site in
which the school board and the exclusive representative of the teachers agree to place
teachers in the district or at the site on the alternative teacher professional pay system equals
$260 times the number of pupils enrolled at the district or site on October 1 of the previous
fiscal year. Alternative teacher compensation revenue for a qualifying intermediate school
district or cooperative must be calculated under subdivision 4, paragraph (a) (b).

(c) For a newly combined or consolidated district, the revenue shall be computed
using the sum of pupils enrolled on October 1 of the previous year in the districts entering
into the combination or consolidation. The commissioner may adjust the revenue computed
for a site using prior year data to reflect changes attributable to school closings, school
openings, or grade level reconfigurations between the prior year and the current year.

(d) The revenue is available only to school districts, intermediate school districts,
cooperatives, school sites, and charter schools that fully implement an alternative teacher
professional pay system by October 1 of the current school year.

Subd. 3.

Revenue timing.

(a) Districts, intermediate school districts, cooperatives,
school sites, or charter schools with approved applications must receive alternative
compensation revenue for each school year that the district, intermediate school district,
cooperative, school site, or charter school implements an alternative teacher professional
pay system under this subdivision and section 122A.414. For fiscal year 2007 and later,
A qualifying district, intermediate school district, cooperative, school site, or charter
school that received alternative teacher compensation aid for the previous fiscal year
must receive at least an amount of alternative teacher compensation revenue equal to the
lesser of the amount it received for the previous fiscal year or the amount it qualifies
for under subdivision 1 for the current fiscal year if the district, intermediate school
district, cooperative, school site, or charter school submits a timely application and the
commissioner determines that the district, intermediate school district, cooperative, school
site, or charter school continues to implement an alternative teacher professional pay
system, consistent with its application under this section.

(b) The commissioner shall approve applications that comply with subdivision 1,
and section 122A.414, subdivisions 2, paragraph (b), and 2a, if the applicant is a charter
school or cooperative, in the order in which they are received, select applicants that
qualify for this program, notify school districts, intermediate school districts, cooperatives,
school sites, and charter schools about the program, develop and disseminate application
materials, and carry out other activities needed to implement this section.

(c) For fiscal year 2008 and later, the portion of the state total basic alternative
teacher compensation aid entitlement allocated to charter schools must not exceed the
product of $3,374,000 times the ratio of the state total charter school enrollment for the
previous fiscal year to the state total charter school enrollment for fiscal year 2007.
Additional basic alternative teacher compensation aid may be approved for charter schools
after August 1, not to exceed the charter school limit for the following fiscal year, if
the basic alternative teacher compensation aid entitlement for school districts based on
applications approved by August 1 does not expend the remaining amount under the limit.

Subd. 4.

Basic alternative teacher compensation aid.

(a) For fiscal year 2015 and
later,
The basic alternative teacher compensation aid for a school with a plan approved
under section 122A.414, subdivision 2b, equals 65 percent of the alternative teacher
compensation revenue under subdivision 1. The basic alternative teacher compensation
aid for an intermediate school district or a charter school with a plan approved under
section 122A.414, subdivisions 2a and 2b, if the recipient is a charter school, equals $260
times the number of pupils enrolled in the school on October 1 of the previous year, or
on October 1 of the current year for a charter school in the first year of operation, times
the ratio of the sum of the alternative teacher compensation aid and alternative teacher
compensation levy for all participating school districts to the maximum alternative teacher
compensation revenue for those districts under subdivision 1.

(b) Notwithstanding paragraph (a) and subdivision 1, the state total basic alternative
teacher compensation aid entitlement must not exceed $75,636,000 for fiscal year 2015
and later. The commissioner must limit the amount of alternative teacher compensation
aid approved under this section so as not to exceed these limits
Basic alternative teacher
compensation aid for an intermediate district or other cooperative unit equals $3,000 times
the number of licensed teachers employed by the intermediate district or cooperative unit
on October 1 of the previous school year
.

Subd. 5.

Alternative teacher compensation levy.

For fiscal year 2015 and later,
The alternative teacher compensation levy for a district receiving basic alternative teacher
compensation aid equals the product of (1) the difference between the district's alternative
teacher compensation revenue and the district's basic alternative teacher compensation
aid, times (2) the lesser of one or the ratio of the district's adjusted net tax capacity per
adjusted pupil unit to $6,100.

Subd. 6.

Alternative teacher compensation equalization aid.

(a) For fiscal year
2015 and later,
A district's alternative teacher compensation equalization aid equals the
district's alternative teacher compensation revenue minus the district's basic alternative
teacher compensation aid minus the district's alternative teacher compensation levy. If a
district does not levy the entire amount permitted, the alternative teacher compensation
equalization aid must be reduced in proportion to the actual amount levied.

(b) A district's alternative teacher compensation aid equals the sum of the
district's basic alternative teacher compensation aid and the district's alternative teacher
compensation equalization aid.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2017 and
later.

Sec. 14.

Minnesota Statutes 2014, section 122A.74, is amended to read:


122A.74 PRINCIPALS' LEADERSHIP INSTITUTE DEVELOPMENT.

Subdivision 1.

Establishment.

(a) The commissioner of education may contract
with the Minnesota State University Mankato or and the regents of the University of
Minnesota to establish a Principals' Leadership Institute to provide licensed principals
and other school leaders in Minnesota with a research-based and professionally evaluated
professional development to school principals program focused on instructional and
organizational leadership
by:

(1) creating a network of educational leaders in the educational and business
communities to communicate current and future trends in leadership techniques
to help
all Minnesota students learn
; and

(2) helping to create a vision for the school that is aligned with the community
and district priorities;

(3) developing strategies to retain highly qualified teachers and ensure that diverse
student populations, including at-risk students, children with disabilities, English learners,
and gifted students, among others, have equal access to these highly qualified teachers; and

(4) providing training to analyze data using culturally competent tools.

(b) The Minnesota Principals' Academy at the University of Minnesota must and
the Institute for Courageous Leadership at Minnesota State University Mankato may
cooperate with participating members of the business community and educational leaders
to provide funding and content for the institute programs.

(c) Participants must agree to attend all sessions of the Principals' Leadership
Institute for four weeks during the academic summer Minnesota Principals' Academy or
the Institute for Courageous Leadership
.

(d) (c) The Principals' Leadership Institute Minnesota Principals' Academy must
incorporate program elements offered by leadership programs at the University of
Minnesota and, program elements used by the participating members of the business
community to enhance leadership within their businesses, and current research-based
practices in educational leadership
.

Subd. 2.

Method of Selection methods and requirements admission processes.

(a) The board of each school district and charter school in the state may select a licensed
principal or school leader, upon the recommendation of the district's superintendent and or
charter school's board of directors,
based on the principal's or school leader's leadership
potential, to attend the institute apply to a program under subdivision (1), paragraph (b).

(b) The school board and the charter school board of directors annually shall
forward its list their lists of recommended participants to the commissioner by February
1. In addition

(b) As an alternative to paragraph (a), a principal or school leader may submit an
application by February 1 directly to the commissioner by February 1 administrator of a
program under subdivision (1), paragraph (b)
.

(c) A committee comprised of the commissioner of education or the commissioner's
designee, the executive directors of the Minnesota Association of School Administrators,
the Minnesota Elementary Principals Association, the Minnesota Association of
Secondary School Principals, the Minnesota Association of Charter Schools, and Charter
School Partners shall recommend applicants to the program administrators under
subdivision 1, paragraph (b). The recommended applicants shall be regionally diverse
and include charter school leaders. The program administrators shall annually select and
notify the applicants under paragraphs (a) and (b) and their recommending organizations
or employers of the applicants admitted to the program.
The commissioner shall notify the
school board, the principal candidates, and the University of Minnesota of the principals
selected to participate in the Principals' Leadership Institute each year.

Subd. 3.

Program delivery.

A Minnesota Principals' Academy shall be offered
annually in the seven-county metropolitan area and in greater Minnesota. The Minnesota
Principals' Academy in greater Minnesota shall be at one of the designated Centers of
Excellence in cooperation with the department.

Sec. 15.

Minnesota Statutes 2014, section 123B.045, is amended by adding a
subdivision to read:


Subd. 7.

Teacher-powered schools; grants.

(a) For the purposes of this
subdivision, the following terms have the meanings given to them:

(1) "launch school" means a school newly created under this section;

(2) "conversion school" means a school that is becoming a teacher-powered school
by a teacher vote under this section; and

(3) "teacher-powered school" means a school site in which the teachers comprise the
governance structure of the school, hold autonomies as specified in subdivision 2, and
assume responsibility for the school's success.

(b) The commissioner shall, upon documented approval by the school board and
the exclusive representative of the teachers in that school of a launch or conversion
teacher-powered school, award a grant according to this paragraph:

(1) a planning grant, awarded for one year in advance of the opening of a launch or
conversion school and not to exceed $150,000; and

(2) a start-up grant, awarded for the initial two years of operation and not to exceed
$100,000 per year for a conversion school or $225,000 per year for a launch school.

(c) After 50 percent of the grant funds have been awarded, the commissioner shall
give preference in awarding grants to applicant school districts located in congressional
districts in which no grants have been made.

(d) A school district receiving a grant award under this subdivision must submit an
annual budget to the commissioner along with the documentation of the approval of the
school by the school board and the exclusive representative of the teachers.

(e) A school district receiving a grant award must, annually by September 1 of each
year beginning September 1, 2016, submit a report to the commissioner to be shared with
the legislative committees having jurisdiction over kindergarten through grade 12 finance
and policy regarding the success of teacher-powered schools. Success measures include,
but are not limited to, the state multiple measure, surveys of parental satisfaction, and
other measures as might be relevant to the school's special mission.

Sec. 16.

Minnesota Statutes 2014, section 124D.09, subdivision 5, is amended to read:


Subd. 5.

Authorization; notification.

Notwithstanding any other law to the
contrary, an 11th or 12th grade pupil enrolled in a school or an American Indian-controlled
tribal contract or grant school eligible for aid under section 124D.83, except a foreign
exchange pupil enrolled in a district under a cultural exchange program, may apply to an
eligible institution, as defined in subdivision 3, to enroll in nonsectarian courses offered by
that postsecondary institution. Notwithstanding any other law to the contrary, a 9th or 10th
grade pupil enrolled in a district or an American Indian-controlled tribal contract or grant
school eligible for aid under section 124D.83, except a foreign exchange pupil enrolled in
a district under a cultural exchange program, may apply to enroll in nonsectarian courses
offered under subdivision 10, if after all 11th and 12th grade students have applied for a
course, additional students are necessary to offer the course
. A 9th or 10th grade pupil's
eligibility to participate in the course is at the discretion of the school district and the
eligible postsecondary institution providing the course offered under subdivision 10.
If an
institution accepts a secondary pupil for enrollment under this section, the institution shall
send written notice to the pupil, the pupil's school or school district, and the commissioner
within ten days of acceptance. The notice must indicate the course and hours of enrollment
of that pupil. If the pupil enrolls in a course for postsecondary credit, the institution must
notify the pupil about payment in the customary manner used by the institution.

Sec. 17.

Minnesota Statutes 2014, section 124D.09, subdivision 8, is amended to read:


Subd. 8.

Limit on participation.

A pupil who first enrolls in grade 9 may not
enroll in postsecondary courses under this section for secondary credit for more than
the equivalent of four academic years. A pupil who first enrolls in grade 10 may not
enroll in postsecondary courses under this section for secondary credit for more than
the equivalent of three academic years. A pupil who first enrolls in grade 11 may not
enroll in postsecondary courses under this section for secondary credit for more than the
equivalent of two academic years. A pupil who first enrolls in grade 12 may not enroll in
postsecondary courses under this section for secondary credit for more than the equivalent
of one academic year. If a pupil in grade 9, 10, 11, or 12 first enrolls in a postsecondary
course for secondary credit during the school year, the time of participation shall be
reduced proportionately. If a pupil is in a learning year or other year-round program and
begins each grade in the summer session, summer sessions shall not be counted against
the time of participation. If a school district determines a pupil is not on track to graduate,
the limit on participation does not apply to that pupil.
A pupil who has graduated from
high school cannot participate in a program under this section. A pupil who has completed
course requirements for graduation but who has not received a diploma may participate in
the program under this section.

Sec. 18.

[124D.231] FULL-SERVICE COMMUNITY SCHOOLS.

Subdivision 1.

Definitions.

For the purposes of this section, the following terms
have the meanings given them.

(a) "Community organization" means a nonprofit organization that has been in
existence for three years or more and serves persons within the community surrounding
the covered school site on education and other issues.

(b) "Community school consortium" means a group of schools and community
organizations that propose to work together to plan and implement community school
programming.

(c) "Community school programming" means services, activities, and opportunities
described under subdivision 2, paragraph (g).

(d) "High-quality child care or early childhood education programming" means
educational programming for preschool-aged children that is grounded in research,
consistent with best practices in the field, and provided by licensed teachers.

(e) "School site" means a school site at which an applicant has proposed or has been
funded to provide community school programming.

(f) "Site coordinator" is an individual who is responsible for aligning programming
with the needs of the school community identified in the baseline analysis.

Subd. 2.

Full-service community school program.

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

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

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

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

(c) Implementation funding of up to $20,000 must be available for up to one year for
planning for school sites. At the end of this period, the school must submit a full-service
community school plan, pursuant to paragraph (g).

(d) The commissioner shall dispense the funds to schools with significant populations
of students receiving free or reduced-price lunches. Schools with significant homeless and
highly mobile students shall also be a priority. The commissioner must also dispense the
funds in a manner to ensure equity among urban, suburban, and greater Minnesota schools.

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

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

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

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

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

(i) identification of challenges facing the school;

(ii) analysis of the student body, including:

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

(1) early childhood:

(i) early childhood education; and

(ii) child care services;

(2) academic:

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

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

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

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

(v) specialized instructional support services;

(3) parental involvement:

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

(ii) parent leadership development activities; and

(iii) parenting education activities;

(4) mental and physical health:

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

(ii) juvenile crime prevention and rehabilitation programs;

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

(iv) developmentally appropriate physical education;

(v) nutrition services;

(vi) primary health and dental care; and

(vii) mental health counseling services;

(5) community involvement:

(i) service and service-learning opportunities;

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

(iii) homeless prevention services;

(6) positive discipline practices; and

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

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

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

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

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

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

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

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

(7) plan for school leadership team development.

Subd. 3.

Full-service community school review.

(a) Every three years, a
full-service community school site must submit to the commissioner, and make available
at the school site and online, a report describing efforts to integrate community school
programming at each covered school site and the effect of the transition to a full-service
community school on participating children and adults. This report shall include, but
is not limited to, the following:

(1) an assessment of the effectiveness of the school site in development or
implementing the community school plan;

(2) problems encountered in the design and execution of the community school
plan, including identification of any federal, state, or local statute or regulation impeding
program implementation;

(3) the operation of the school leadership team and its contribution to successful
execution of the community school plan;

(4) recommendations for improving delivery of community school programming
to students and families;

(5) the number and percentage of students receiving community school programming
who had not previously been served;

(6) the number and percentage of nonstudent community members receiving
community school programming who had not previously been served;

(7) improvement in retention among students who receive community school
programming;

(8) improvement in academic achievement among students who receive community
school programming;

(9) changes in student's readiness to enter school, active involvement in learning and
in their community, physical, social and emotional health, and student's relationship with
the school and community environment;

(10) an accounting of anticipated local budget savings, if any, resulting from the
implementation of the program;

(11) improvements to the frequency or depth of families' involvement with their
children's education;

(12) assessment of community stakeholder satisfaction;

(13) assessment of institutional partner satisfaction;

(14) the ability, or anticipated ability, of the school site and partners to continue to
provide services in the absence of future funding under this section;

(15) increases in access to services for students and their families; and

(16) the degree of increased collaboration among participating agencies and private
partners.

(b) Reports submitted under this section shall be evaluated by the commissioner with
respect to the following criteria:

(1) the effectiveness of the school or the community school consortium in
implementing the full-service community school plan, including the degree to which
the school site navigated difficulties encountered in the design and operation of the
full-service community school plan, including identification of any federal, state, or local
statute or regulation impeding program implementation;

(2) the extent to which the project has produced lessons about ways to improve
delivery of community school programming to students;

(3) the degree to which there has been an increase in the number or percentage of
students and nonstudents receiving community school programming;

(4) the degree to which there has been an improvement in retention of students and
improvement in academic achievement among students receiving community school
programming;

(5) local budget savings, if any, resulting from the implementation of the program;

(6) the degree of community stakeholder and institutional partner engagement;

(7) the ability, or anticipated ability, of the school site and partners to continue to
provide services in the absence of future funding under this section;

(8) increases in access to services for students and their families; and

(9) the degree of increased collaboration among participating agencies and private
partners.

Sec. 19.

[124D.501] INNOVATIVE INCUBATOR SERVICE-LEARNING
GRANTS.

Subdivision 1.

Establishment; eligibility criteria; application requirements.

(a)
A five-year grant program is established to initiate or expand and strengthen innovative
service-learning opportunities for students in early childhood programs through grade
12 and thereby increase student academic achievement, and help close the academic
achievement gap and the community, college, and career opportunity gaps.

(b) To be eligible to apply for and receive an innovative, incubator service-learning
grant under this section, at least one public school teacher, administrator, or program
staff member and at least one service-learning specialist, service-learning coordinator,
or curriculum specialist employed at a public school, public school program, or school
district must form an authentic student-adult partnership that includes one or more
community-based organizations or government units. The partnership may invite one or
more other individuals or entities, such as postsecondary faculty members or institutions,
parents, other community members, local businesses or business organizations, or
local media representatives to become partners or participate with the partnership,
consistent with this paragraph. Before developing and submitting a grant application to
the department, participating students must work with one or more adults who are part
of the initial partnership to identify an issue, need, or opportunity to pursue through a
service-learning partnership and identify and invite one or more possible partners to
collaborate in developing and submitting a grant application. The employing school
district that is a member of the partnership or the school district of the school or school
program that is a member of the partnership is the fiscal agent for the grant. An eligible
service-learning partnership receiving an innovation service-learning grant must:

(1) include at least a group of enrolled students, two or more school district
employees, and an eligible community-based organization or unit of government; and

(2) assist students to:

(i) actively participate in service-learning experiences that meet identified student
and community needs or opportunities;

(ii) operate collaboratively with service-learning partnership members;

(iii) align service-learning experiences with students' individualized educational
plans and programs;

(iv) apply students' knowledge and skills in their community and help solve
community problems;

(v) foster students' civic engagement; and

(vi) explore and pursue career pathways and achieve college readiness.

An eligible partnership interested in receiving a grant must apply to the commissioner of
education in the form and manner determined by the commissioner. Consistent with this
subdivision, the application must describe how the applicant will: with guidance from
the service-learning partnership, incorporate student-designed and student-led service
learning into the school curriculum or in specific courses or across subject areas; provide
students with instruction and experiences during the school day using service-learning
best practices and an option to supplement their service-learning experiences outside the
school day; align service-learning opportunities with state and local academic standards;
and make implementing service-learning best practices an educational priority. The
application also must indicate how the partnership intends to provide student-designed,
student-led service-learning experiences that meet genuine community needs or develop
genuine community opportunities based on service-learning best practices aligned to
state academic standards. The partnership must work with a district service-learning
specialist or service-learning coordinator or a district curriculum specialist to design a
grant application and implement an approved grant application.

Subd. 2.

Innovation grants.

The commissioner of education must award up to
four grants of up to $30,000 each to allow eligible partnerships, equitably distributed
to two recipients within the seven-county metropolitan area and two recipients outside
the seven-county metropolitan area, to provide innovative, incubator service-learning
opportunities to students, consistent with this section. The commissioner may renew
a grant annually as appropriations are available and consistent with the grant criteria
established in this section and other criteria the commissioner may establish for grant
eligibility or for renewing a grant. In order to receive a grant, a partnership must provide a
one-to-one match in funds or in-kind contributions unless the commissioner decides to
waive the match requirement for an applicant serving a high number of students whose
families meet federal poverty guidelines. A partnership grantee must allocate the grant
amount according to its grant application, which must include conveying 50 percent of the
actual grant amount to its community-based organization or unit of government partner or
partners to implement or help defray the direct costs of carrying out the service-learning
strategies and activities described in the partnership's grant application.

Subd. 3.

Evaluation.

The commissioner of education must evaluate these
innovative, incubator service-learning initiatives based on the educational and
developmental outcomes of students participating in the service learning and include
summary data on the characteristics and extent of students' participation in service learning,
their development of academic skills or achievements, and their engagement in school,
school attendance, course completion rates, opportunity to develop community, college, or
career connections, and the graduation rates for participating high school-age students.
The commissioner also must evaluate the success of the service-learning grants based on
the community outcomes and community results achieved through student service-learning
experiences and the corresponding student service activities. The commissioner must
transmit an interim progress report on student and community outcomes and results under
this section to the legislative committees with oversight over education by February 15,
2019, and a final report to the same legislative committees by February 15, 2021.

EFFECTIVE DATE.

This section is effective for fiscal year 2016 and later.

Sec. 20.

Minnesota Statutes 2014, section 124D.81, is amended to read:


124D.81 CONTINUATION OF AMERICAN INDIAN EDUCATION GRANTS
AID.

Subdivision 1.

Grants; Procedures.

Each fiscal year the commissioner of education
must make grants to no fewer than six American Indian education programs. At least
three programs must be in urban areas and at least three must be on or near reservations.
The board of a local district, a participating school or a group of boards may develop a
proposal for grants in support of American Indian education programs. Proposals
A
school district, charter school, or American Indian-controlled tribal contract or grant
school enrolling at least 20 American Indian students on October 1 of the previous school
year, receiving federal Title 7 funding, and operating an American Indian education
program according to section 124D.74 is eligible for Indian education aid if it meets the
requirements of this section. Programs
may provide for contracts for the provision of
program components by nonsectarian nonpublic, community, tribal, charter, or alternative
schools. The commissioner shall prescribe the form and manner of application for grants
aids, and no grant aid shall be made for a proposal program not complying with the
requirements of sections 124D.71 to 124D.82.

Subd. 2.

Plans.

Each To qualify for aid, an eligible district, charter school, or
participating tribal contract school submitting a proposal under subdivision 1 must
develop and submit with the proposal a plan for approval by the Indian education director
which that shall:

(a) Identify the measures to be used to meet the requirements of sections 124D.71 to
124D.82;

(b) Identify the activities, methods and programs to meet the identified educational
needs of the children to be enrolled in the program;

(c) Describe how district goals and objectives as well as the objectives of sections
124D.71 to 124D.82 are to be achieved;

(d) Demonstrate that required and elective courses as structured do not have a
discriminatory effect within the meaning of section 124D.74, subdivision 5;

(e) Describe how each school program will be organized, staffed, coordinated,
and monitored; and

(f) Project expenditures for programs under sections 124D.71 to 124D.82.

Subd. 2a.

American Indian education aid.

(a) The American Indian education
aid for an eligible district or tribal contract school equals the greater of (1) the sum of
$20,000 plus the product of $63 times the difference between the number of American
Indian students enrolled on October 1 of the previous school year and 20; or (2) if the
district or school received a grant under this section for fiscal year 2015, the amount
of the grant for fiscal year 2015.

(b) Notwithstanding paragraph (a), the American Indian education aid must not
exceed the district or tribal contract school's actual expenditure according to the approved
plan under subdivision 2.

Subd. 3.

Additional requirements.

Each district receiving a grant aid under this
section must each year conduct a count of American Indian children in the schools
of the district; test for achievement; identify the extent of other educational needs of
the children to be enrolled in the American Indian education program; and classify the
American Indian children by grade, level of educational attainment, age and achievement.
Participating schools must maintain records concerning the needs and achievements of
American Indian children served.

Subd. 4.

Nondiscrimination; testing.

In accordance with recognized professional
standards, all testing and evaluation materials and procedures utilized for the identification,
testing, assessment, and classification of American Indian children must be selected and
administered so as not to be racially or culturally discriminatory and must be valid for the
purpose of identifying, testing, assessing, and classifying American Indian children.

Subd. 5.

Records.

Participating schools and districts must keep records and afford
access to them as the commissioner finds necessary to ensure that American Indian
education programs are implemented in conformity with sections 124D.71 to 124D.82.
Each school district or participating school must keep accurate, detailed, and separate
revenue and expenditure accounts for pilot American Indian education programs funded
under this section.

Subd. 6.

Money from other sources.

A district or participating school providing
American Indian education programs shall be eligible to receive moneys for these programs
from other government agencies and from private sources when the moneys are available.

Subd. 7.

Exceptions.

Nothing in sections 124D.71 to 124D.82 shall be construed as
prohibiting a district or school from implementing an American Indian education program
which is not in compliance with sections 124D.71 to 124D.82 if the proposal and plan for
that program is not funded pursuant to this section.

EFFECTIVE DATE.

This section is effective for revenue for fiscal year 2016
and later.

Sec. 21.

Minnesota Statutes 2014, section 124D.83, subdivision 2, is amended to read:


Subd. 2.

Revenue amount.

An American Indian-controlled tribal contract or
grant school that is located on a reservation within the state and that complies with the
requirements in subdivision 1 is eligible to receive tribal contract or grant school aid.
The amount of aid is derived by:

(1) multiplying the formula allowance under section 126C.10, subdivision 2, less
$170, times the difference between (i) the resident pupil units as defined in section
126C.05, subdivision 6, in average daily membership, excluding section 126C.05,
subdivision 13
, and (ii) the number of pupils for the current school year, weighted
according to section 126C.05, subdivision 1, receiving benefits under section 123B.42 or
123B.44 or for which the school is receiving reimbursement under section 124D.69;

(2) adding to the result in clause (1) an amount equal to the product of the formula
allowance under section 126C.10, subdivision 2, less $300 times the tribal contract
compensation revenue pupil units;

(3) subtracting from the result in clause (2) the amount of money allotted to the
school by the federal government through Indian School Equalization Program of the
Bureau of Indian Affairs, according to Code of Federal Regulations, title 25, part 39,
subparts A to E, for the basic program as defined by section 39.11, paragraph (b), for
the base rate as applied to kindergarten through twelfth grade, excluding small school
adjustments and additional weighting, but not money allotted through subparts F to L for
contingency funds, school board training, student training, interim maintenance and minor
repair, interim administration cost, prekindergarten, and operation and maintenance, and
the amount of money that is received according to section 124D.69;

(4) dividing the result in clause (3) by the sum of the resident pupil units in average
daily membership, excluding section 126C.05, subdivision 13, plus the tribal contract
compensation revenue pupil units; and

(5) multiplying the sum of the resident pupil units, including section 126C.05,
subdivision 13
, in average daily membership plus the tribal contract compensation revenue
pupil units by the lesser of $1,500 $2,376 or the result in clause (4).

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2016 and
later.

Sec. 22.

Laws 2013, chapter 116, article 3, section 35, subdivision 2, is amended to read:


Subd. 2.

Achievement and integration levy.

For fiscal year 2014 only, a district's
achievement and integration levy equals the lesser of the district's achievement and
integration revenue for that year or
the amount the district was authorized to levy under
Laws 2011, First Special Session chapter 11, article 2, section 49, paragraph (f).

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 23.

Laws 2014, chapter 312, article 16, section 15, is amended to read:


Sec. 15. TEACHER DEVELOPMENT AND EVALUATION REVENUE.

(a) For fiscal year 2015 only, teacher development and evaluation revenue for a
school district, intermediate school district, educational cooperative, education district,
or charter school with any school site that does not have an alternative professional pay
system agreement under Minnesota Statutes, section 122A.414, subdivision 2, equals $302
times the number of full-time equivalent teachers employed on October 1 of the previous
school year in each school site without an alternative professional pay system under
Minnesota Statutes, section 122A.414, subdivision 2
. Except for charter schools, revenue
under this section must be reserved for teacher development and evaluation activities
consistent with Minnesota Statutes, section 122A.40, subdivision 8, or Minnesota Statutes,
section 122A.41, subdivision 5. For the purposes of this section, "teacher" has the
meaning given it in Minnesota Statutes, section 122A.40, subdivision 1, or Minnesota
Statutes, section 122A.41, subdivision 1.

(b) Notwithstanding paragraph (a), the state total teacher development and
evaluation revenue entitlement must not exceed $10,000,000 $10,022,000 for fiscal year
2015. The commissioner must limit the amount of revenue under this section so as not
to exceed this limit.

EFFECTIVE DATE.

This section is effective retroactively from July 1, 2014.

Sec. 24.

Laws 2014, chapter 312, article 16, section 16, subdivision 7, is amended to
read:


Subd. 7.

Teacher development and evaluation.

For teacher development and
evaluation revenue.

$
9,000,000
9,020,000
.....
2015

The 2015 appropriation includes $0 for 2014 and $9,000,000 $9,020,000 for 2015.
This is a onetime appropriation and is available until expended the end of fiscal year 2017.

Sec. 25. AGRICULTURAL EDUCATOR GRANTS.

Subdivision 1.

Grant program established.

A grant program is established to
support school districts in paying agricultural education teachers for work over the
summer with high school students in extension programs. Grants must be used to create or
increase the availability of agricultural education teachers for students over the summer.

Subd. 2.

Application.

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

Subd. 3.

Grant awards.

Grant funding under this section must be matched
by funding from the school district for the agricultural education teacher's summer
employment. Grant funding for each teacher is limited to the one-half share of 30 working
days.

Subd. 4.

Reports.

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

Sec. 26. CONCURRENT ENROLLMENT WORKING GROUP.

Subdivision 1.

Membership.

The commissioner of education shall convene a
working group on concurrent enrollment. Members shall be named by the commissioner
of education and include:

(1) the commissioner of education or the commissioner's designee;

(2) the commissioner of the Office of Higher Education or the commissioner's
designee;

(3) representatives of postsecondary institutions with concurrent enrollment
programs including at least:

(i) one postsecondary faculty member from the University of Minnesota who has
supervised a concurrent enrollment course;

(ii) one postsecondary faculty member from the Minnesota State Colleges and
University system who has supervised a concurrent enrollment course;

(iii) one representative from the University of Minnesota;

(iv) one representative from the Minnesota State Colleges and Universities system;

(v) one representative from a private college with a concurrent enrollment program;
and

(vi) one postsecondary faculty member from a career and technical college who has
supervised a concurrent enrollment program;

(4) representatives of school districts with concurrent enrollment programs,
including at least one high school administrator, one high school teacher, and one high
school counselor;

(5) one representative of the National Alliance of Concurrent Enrollment
Partnerships;

(6) at least one parent who has or had children participate in a concurrent enrollment
course;

(7) at least one student enrolled in a concurrent enrollment course for the 2015-2016
school year; and

(8) other stakeholders as determined by the commissioner.

The chair must be selected by the members at the first meeting.

Subd. 2.

Responsibilities.

(a) The working group shall review:

(1) differences between concurrent enrollment courses and the sponsoring public
postsecondary institution's equivalent course in regard to:

(i) course outline including scope, sequence of content, and methods to be employed;

(ii) final exam;

(iii) grading scale; and

(iv) nature and frequency of exams;

(2) each program's student eligibility requirements, including exceptions to the
requirements and the number of waivers to the requirements given in the past year;

(3) course prerequisites;

(4) all postsecondary institutions, both in-state and out-of-state, that have accepted
or denied transferring courses for college credit;

(5) the frequency with which courses are offered;

(6) the method of charging for delivery of concurrent instruction; and

(7) the compensation and workload of faculty supervisors of concurrent enrollment.

(b) The working group shall make recommendations, including legislative proposals
for improving the consistency of concurrent enrollment programs in regards to the items
in paragraph (a).

(c) Any costs of the working group and preparing the report under subdivision 3 must
be paid for out of the Department of Education and participating public postsecondary
institutions' current operating budgets. Postsecondary institutions must make materials
available for the study as requested by the commissioners of education and the Office of
Higher Education. All intellectual property associated with materials made available for
the study are retained by the institution or professor.

Subd. 3.

Report.

The working group must submit a report to the commissioner
of education by January 15, 2016, with their findings and recommendations. The
commissioner must prepare and submit to the education policy and finance committees of
the legislature by February 15, 2016, a written report including the working group report
and summary data on concurrent enrollment courses under Minnesota Statutes, section
124D.09, subdivision 10, consistent with this section.

Sec. 27. EXAMINING AND DEVELOPING STATEWIDE SWIMMING
RESOURCES.

(a) The commissioner of education must use existing budgetary resources to
inventory and report to the education committees of the legislature by February 1, 2016,
on the extent of existing resources and best practices available for swimming instruction
in Minnesota public schools.

(b) The commissioner of education must establish a work group of interested
stakeholders, including the commissioner or commissioner's designee, the commissioner
of health or the commissioner's designee, and representatives of K-12 physical education
teachers, K-12 school administrators, the Minnesota school boards association, nonprofit
fitness and recreational organizations, public parks and recreation departments, and
other stakeholders, including community members underserved and disproportionately
impacted by the current distribution of swimming resources, interested in swimming
instruction and activities identified by the commissioner of education, to determine
and report to the education committees of the legislature by February 1, 2016, on the
curriculum, resources, personnel, and other costs needed to make swimming instruction
available in all Minnesota public schools for children beginning at an early age. The work
group must consider the substance of the report under paragraph (a) in preparing its report.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 28. APPROPRIATIONS.

Subdivision 1.

Department of Education.

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

Subd. 2.

Alternative compensation.

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

$
78,331,000
.....
2016
$
96,864,000
.....
2017

The 2016 appropriation includes $7,766,000 for 2015 and $70,565,000 for 2016.

The 2017 appropriation includes $7,840,000 for 2016 and $89,024,000 for 2017.

Subd. 3.

Achievement and integration aid.

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

$
65,539,000
.....
2016
$
68,745,000
.....
2017

The 2016 appropriation includes $6,382,000 for 2015 and $59,157,000 for 2016.

The 2017 appropriation includes $6,573,000 for 2016 and $62,172,000 for 2017.

Subd. 4.

Literacy incentive aid.

For literacy incentive aid under Minnesota
Statutes, section 124D.98:

$
44,552,000
.....
2016
$
45,508,000
.....
2017

The 2016 appropriation includes $4,683,000 for 2015 and $39,869,000 for 2016.

The 2017 appropriation includes $4,429,000 for 2016 and $41,079,000 for 2017.

Subd. 5.

Interdistrict desegregation or integration transportation grants.

For
interdistrict desegregation or integration transportation grants under Minnesota Statutes,
section 124D.87:

$
15,023,000
.....
2016
$
15,825,000
.....
2017

Subd. 6.

Early childhood literacy programs.

For early childhood literacy
programs under Minnesota Statutes, section 119A.50, subdivision 3:

$
6,675,000
.....
2016
$
6,675,000
.....
2017

Any balance in the first year does not cancel but is available in the second year. The
base for this program in fiscal year 2018 is $6,375,000.

Subd. 7.

Tribal contract schools.

For tribal contract school aid under Minnesota
Statutes, section 124D.83:

$
3,424,000
.....
2016
$
3,608,000
.....
2017

The 2016 appropriation includes $204,000 for 2015 and $3,220,000 for 2016.

The 2017 appropriation includes $357,000 for 2016 and $3,251,000 for 2017.

Subd. 8.

Compensatory revenue pilot program.

For grants for participation in the
compensatory revenue pilot program under Laws 2005, First Special Session chapter 5,
article 1, section 50, as amended by Laws 2007, chapter 146, article 1, section 21:

$
7,325,000
.....
2016
$
7,325,000
.....
2017

(a) In fiscal years 2016 and 2017, grants shall be awarded in the following amounts:
$4,730,000 is for a grant to Independent School District No. 11, Anoka-Hennepin;
$240,000 is for a grant to Independent School District No. 286, Brooklyn Center; $660,000
is for a grant to Independent School District No. 279, Osseo; $500,000 is for a grant to
Independent School District No. 281, Robbinsdale; $520,000 is for a grant to Independent
School District No. 535, Rochester; $205,000 is for a grant to Independent School District
No. 833, South Washington; and $470,000 is for a grant to Independent School District No.
241, Albert Lea. If a grant to a specific school district is not awarded, the commissioner
may increase the aid amounts to any of the remaining participating school districts.

(b) The base for this program in fiscal year 2018 and later is $2,325,000. Grants
shall be awarded in the same amount as under Laws 2011, First Special Session chapter
11, article 1, section 36: $1,500,000 is for a grant to Independent School District No.
11, Anoka-Hennepin; $75,000 is for a grant to Independent School District No. 286,
Brooklyn Center; $210,000 is for a grant to Independent School District No. 279, Osseo;
$160,000 is for a grant to Independent School District No. 281, Robbinsdale; $165,000 is
for a grant to Independent School District No. 535, Rochester; $65,000 is for a grant to
Independent School District No. 833, South Washington; and $150,000 is for a grant to
Independent School District No. 241, Albert Lea.

(c) The commissioner of education must submit a report by February 15, 2016, to the
education committees of the legislature evaluating the effectiveness of the pilot program.

Subd. 9.

Concurrent enrollment program.

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

$
$4,000,000
.....
2016
$
$4,000,000
.....
2017

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

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

Subd. 10.

Student support services personnel grants.

For student support services
personnel grants under Minnesota Statutes, section 121A.3951:

$
8,000,000
.....
2016

Notwithstanding Minnesota Statutes, section 16A.28, this appropriation is available
until June 30, 2021. The commissioner may not allot more than $1,580,000 of this
appropriation before July 1, 2016. Any balance remaining after June 30, 2021, shall
cancel to the general fund. $100,000 in fiscal year 2016 only is for administration of the
Student Support Services Personnel Act under Minnesota Statutes, sections 121A.395
to 121A.3951.

Subd. 11.

Success for the future.

For American Indian success for the future grants
under Minnesota Statutes, section 124D.81:

$
237,000
.....
2016
$
0
.....
2017

The 2016 appropriation includes $237,000 for 2015 and $0 for 2016.

Subd. 12.

American Indian education aid.

For American Indian education aid
under Minnesota Statutes, section 124D.81, subdivision 2a:

$
3,371,000
.....
2016
$
3,393,000
.....
2017

Subd. 13.

Collaborative urban educator.

For the collaborative urban educator
grant program:

$
1,090,000
.....
2016
$
1,090,000
.....
2017

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

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

Each institution shall prepare for the legislature, by January 15 of each year, a
detailed report regarding the funds used. The report must include the number of teachers
prepared as well as the diversity for each cohort of teachers produced.

Subd. 14.

ServeMinnesota program.

For funding ServeMinnesota programs under
Minnesota Statutes, sections 124D.37 to 124D.45:

$
900,000
.....
2016
$
900,000
.....
2017

A grantee organization may provide health and child care coverage to the dependents
of each participant enrolled in a full-time ServeMinnesota program to the extent such
coverage is not otherwise available.

Subd. 15.

Student organizations.

For student organizations:

$
725,000
.....
2016
$
725,000
.....
2017

$46,000 each year is for student organizations serving health occupations (HOSA).

$100,000 each year is for student organizations serving trade and industry
occupations (Skills USA, secondary and postsecondary).

$95,000 each year is for student organizations serving business occupations (BPA,
secondary and postsecondary).

$193,000 each year is for student organizations serving agriculture occupations
(FFA, PAS).

$142,000 each year is for student organizations serving family and consumer science
occupations (FCCLA).

$109,000 each year is for student organizations serving marketing occupations
(DECA and DECA collegiate).

$40,000 each year is for the Minnesota Foundation for Student Organizations.

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

Subd. 16.

Museums and Education Centers.

For grants to museums and education
centers:

$
626,000
.....
2016
$
626,000
.....
2017

(a) $360,000 each year is for the Minnesota Children's Museum. Of this amount,
$100,000 each year is a onetime appropriation.

(b) $125,000 each year is for the Duluth Children's Museum. Of this amount,
$75,000 each year is a onetime appropriation.

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

(d) $75,000 each year is for the Headwaters Science Center. This is a onetime
appropriation.

(e) $75,000 each year is for the Works Museum. This is a onetime appropriation.

Any balance in the first year does not cancel but is available in the second year. The
base for this appropriation in fiscal year 2018 is $351,000.

Subd. 17.

Teacher development and evaluation.

For teacher development and
evaluation revenue:

$
1,002,000
.....
2016

The 2016 appropriation includes $1,002,000 for 2016 and $0 for 2017. This is a
onetime appropriation and is available in the second year.

Subd. 18.

Starbase MN.

For a grant to Starbase MN for rigorous science,
technology, engineering, and math (STEM) program providing students in grades 4 to
6 with a multisensory learning experience and a hands-on curriculum in an aerospace
environment using state-of-the-art technology:

$
500,000
.....
2016
$
500,000
.....
2017

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

Subd. 19.

Recovery program grants.

For recovery program grants under
Minnesota Statutes, section 124D.695:

$
500,000
.....
2016
$
500,000
.....
2017

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

Subd. 20.

STEM grants.

For school districts to provide STEM-based courses:

$
500,000
.....
2016
$
500,000
.....
2017

The commissioner must determine the form and manner of application and award
criteria. Grant awards are limited to $50,000 per course. Any balance in the first year does
not cancel but is available in the second year of the biennium.

This is a onetime appropriation.

Subd. 21.

Teacher-powered school grants.

For grants to teacher-powered schools
under Minnesota Statutes, section 123B.045, subdivision 7:

$
500,000
.....
2016
$
500,000
.....
2017

The base appropriation in fiscal year 2018 is $0. Any balance in the first year does
not cancel but is available in the second year.

Subd. 22.

Full-service community schools.

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

$
500,000
.....
2016
$
500,000
.....
2017

This is a onetime appropriation. Any balance in the first year does not cancel but
is available in the second year.

Subd. 23.

Minnesota math corps program.

For the Minnesota math corps program
under Minnesota Statutes, section 124D.42, subdivision 9:

$
250,000
.....
2016
$
250,000
.....
2017

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

Subd. 24.

Agricultural educator grants.

For agricultural educator grants under
section 24:

$
250,000
.....
2016
$
250,000
.....
2017

This is a onetime appropriation. Any balance in the first year does not cancel, but
is available in the second year.

Subd. 25.

American Indian teacher preparation grants.

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

$
230,000
.....
2016
$
230,000
.....
2017

Of this amount, $80,000 in each year must be reserved for Bemidji State University
and Independent School District No. 38, Red Lake.

Subd. 26.

Excellence in teaching program.

For the Board of Teaching to award
excellence in teaching program incentive grants:

$
200,000
.....
2016
$
200,000
.....
2017

The Board of Teaching shall award a onetime incentive grant of up to $2,000 to any
Minnesota teacher who achieves National Board Certification after June 30, 2015, as long
as funds are available. The grants must be awarded on a first-come, first-served basis.

This is a onetime appropriation. Any balance in the first year does not cancel but
is available in the second year.

Subd. 27.

Innovative service-learning grants.

For innovative service-learning
program grants under Minnesota Statutes, section 124D.501:

$
65,000
.....
2016
$
65,000
.....
2017

Any funds not expended in the first fiscal year do not cancel but carry forward to
the second fiscal year. The Department of Education may retain up to $10,000 of this
appropriation to conduct the evaluation under Minnesota Statutes, section 124D.501,
subdivision 3.

Subd. 28.

Regional office of career and technical education.

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

$
50,000
.....
2016
$
50,000
.....
2017

The regional office of career and technical education must:

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

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

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

This is a onetime appropriation.

Subd. 29.

Civic education grants.

For grants to the Minnesota Civic Education
Coalition, Kids Voting St. Paul, Learning Law and Democracy Foundation, and YMCA
Youth in Government to provide civic education programs for Minnesota youth age 18
and younger. Civic education is the study of constitutional principles and the democratic
foundation of our national, state, and local institutions, and the study of political processes
and structures of government, grounded in the understanding of constitutional government
under the rule of law.

$
175,000
.....
2016
$
175,000
.....
2017

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

Subd. 30.

Rural science, technology, engineering, and mathematics experiential
learning pilot project.

For a grant to the Lakes Country Service Cooperative:

$
285,000
.....
2016

The grant must be used to expand career and technical education and science,
technology, engineering, and mathematics coursework to students in multiple districts on
a rotating basis. Eligible uses of the grant include training and curriculum development,
the purchase and maintenance of equipment, and evaluation of the program.

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

Subd. 31.

Video resource grants.

For a grant to the Minnesota Public Television
Association for professional development initiatives to provide prekindergarten through
grade 12 teachers with the necessary skills to effectively incorporate public television
video resources into classroom curriculum and instruction and to integrate regional arts,
culture, and history videos across the curriculum in order to increase student achievement:

$
100,000
.....
2016
$
100,000
.....
2017

Public television stations eligible to receive grants under Minnesota Statutes, section
129D.13, shall select teachers throughout the state to participate in training sessions and to
develop model lessons for identifying and integrating videos on regional arts, culture, and
history into prekindergarten through grade 12 curriculum and lesson plans.

This is a onetime appropriation. Any balance in the first year does not cancel but
is available in the second year.

Subd. 32.

Minnesota Council on Economic Education.

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

$
100,000
.....
2016
$
100,000
.....
2017

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

This is a onetime appropriation. Any balance in the first year does not cancel but
is available in the second year.

Subd. 33.

Minnesota Principals' Program.

For grants to the Minnesota Principals'
Program under Minnesota Statutes, section 122A.74, to reduce the costs to participants,
broaden programming and accessibility, or expand the curriculum and instructional
elements:

$
100,000
.....
2016
$
100,000
.....
2017

This is a onetime appropriation. Any balance in the first year does not cancel but
is available in the second year.

Subd. 34.

Wilderness inquiry.

For a grant to wilderness inquiry:

$
100,000
.....
2016
$
100,000
.....
2017

Of this amount, $70,000 in fiscal year 2016 is for a continuation of research
establishing the socioemotional benefits of outdoor engagement leading to improved
academic outcomes.

Of this amount, $30,000 each year is to facilitate Minnesota teachers' participation
in professional development focused on place-based education that furthers the research.

This is a onetime appropriation.

Subd. 35.

Race 2 Reduce.

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

$
81,000
.....
2016
$
69,000
.....
2017

In the first year, $28,000 is for H2O for Life; $38,000 is for Independent School
District No. 624, White Bear Lake; and $15,000 is for Independent School District
No. 832, Mahtomedi. In the second year, $32,000 is for H2O for Life; $22,000 is for
Independent School District No. 624, White Bear Lake; and $15,000 is for Independent
School District No. 832, Mahtomedi.

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

Subd. 36.

Network for the Development of Children of African Descent.

For a
grant to the Network for the Development of Children of African Descent:

$
70,000
.....
2016
$
70,000
.....
2017

This amount must be used for family literacy services and the high school
community action research program that helps students earn high school and college credit
while learning community action research skills. A progress report on the activities and
outcomes associated with this grant must be submitted to the commissioner of education
by September 15, 2016, and a final report must be submitted on September 15, 2017.

This is a onetime appropriation. Any balance in the first year does not cancel but
is available in the second year.

Subd. 37.

Minnesota Learning Resource Center.

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

$
50,000
.....
2016
$
50,000
.....
2017

This is a onetime appropriation.

Subd. 38.

We Win Institute planning grant.

For a planning grant to the We Win
Institute:

$
50,000
.....
2016
$
50,000
.....
2017

The W. Matthew Little Cultural and Educational Excellence Center must be
established to:

(1) develop the academic and social development of marginalized youth;

(2) develop intergenerational leadership skills;

(3) develop pathways for marginalized youth to attend and be successful in
postsecondary education programs; and

(4) develop public-private partnerships that create success for marginalized youth.
The We Win Institute must submit a detailed report to the chairs and ranking minority
members of the legislative committees having primary jurisdiction over early childhood
through grade 12 education by January 18, 2017, on how the funds were used.

This is a onetime appropriation. Any balance in the first year does not cancel but
is available in the second year.

Subd. 39.

Regional career and technical education advisory committee.

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

$
200,000
.....
2016
$
200,000
.....
2017

Eligible uses of this grant are:

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

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

(3) incentive and training grants to develop career and technical education
instructors; and

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

This is a onetime appropriation.

Subd. 40.

Northwestern Online College in the High School program.

For the
Northwestern Online College in the High School program:

$
50,000
.....
2016
$
50,000
.....
2017

This is a onetime appropriation. Any balance from the first year may carry forward
into the second year.

Subd. 41.

Education Partnership Pilots.

For education partnership pilot grants:

$
300,000
.....
2016
$
300,000
.....
2017

Of this amount, $100,000 in each year is for the Northfield Healthy Community
Initiative for a pilot site in Northfield; $100,000 in each year is for the Jones Family
Foundation for a pilot site in Red Wing; and $100,000 in each year is for Independent
School District No. 742, St. Cloud, for a pilot site in St. Cloud. Each partnership pilot
program shall support community collaborations focused on academic achievement and
youth development, use a comprehensive and data-driven approach to increase student
success, and measure outcomes, such as kindergarten readiness, reading proficiency at
third grade, high school graduation, and college and career readiness. By February 15,
2016, each partnership pilot grant recipient shall submit to the chairs and ranking minority
members of the legislative committees with primary jurisdiction over kindergarten through
grade 12 education a report describing the activities funded by the grant, changes in
outcome measures attributable to the grant-funded activities, and the recipient's program
plan for the following year.

This is a onetime appropriation. Any balance from the first year may carry forward
into the second year.

Subd. 42.

Southwest Minnesota State University Special Education Teacher
Education Program.

For the Southwest Minnesota State University Special Education
Teacher Education Program to support special education paraprofessionals working
toward licensure in an online program.

$
195,000
.....
2016
$
0
.....
2017

Any balance in the first year does not cancel but is available in the second year.
This is a onetime appropriation.

ARTICLE 3

STANDARDS AND ASSESSMENTS

Section 1.

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


Subdivision 1.

Required academic standards.

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

(1) language arts;

(2) mathematics;

(3) science;

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

(5) physical education;

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

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

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

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

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

Sec. 2.

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


Subd. 3.

Rulemaking.

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

Sec. 3.

Minnesota Statutes 2014, section 120B.021, subdivision 4, is amended to read:


Subd. 4.

Revisions and reviews required.

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

(b) The commissioner must ensure that the statewide mathematics assessments
administered to students in grades 3 through 8 and 11 are aligned with the state academic
standards in mathematics, consistent with section 120B.30, subdivision 1, paragraph
(b). The commissioner must implement a review of the academic standards and related
benchmarks in mathematics beginning in the 2015-2016 school year and every ten years
thereafter.

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

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

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

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

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

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

Sec. 4.

[120B.026] PHYSICAL EDUCATION.

Subdivision 1.

Exclusion from class; recess.

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

Subd. 2.

Teachers.

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

Sec. 5.

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


Subd. 5.

ACT administration to nonpublic pupils.

By January 1, 2016, the
Department of Education shall allow up to 100 nonpublic pupils in grades 11 and 12 to
take the ACT exam on state testing dates, choose a testing site, and register 45 days before
the exam's administration. The department shall notify a school district of the number of
nonpublic pupils registered to take the ACT exam at the district's testing sites.

Sec. 6.

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


Subd. 6.

Commissioner-ordered suspension of assessments.

In the event that it
becomes necessary for the commissioner to order the suspension of assessments under
this section because of service disruptions, technical interruptions, or any other reason
beyond the control of school districts, the commissioner must immediately notify the chair
and ranking member of the legislative committees with jurisdiction over kindergarten
through grade 12 education.

Sec. 7.

Minnesota Statutes 2014, section 120B.36, subdivision 1, is amended to read:


Subdivision 1.

School performance reports.

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

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

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

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

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

EFFECTIVE DATE.

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

Sec. 8. COMMISSIONER OF EDUCATION; ASSESSMENT
RECOMMENDATIONS.

The commissioner of education must research whether the Minnesota Comprehensive
Assessments can be replaced by the Measures of Academic Progress (MAP) assessments.
This study shall include assessing the alignment of the MAP to current Minnesota
state standards and whether it would meet federal accountability requirements. The
commissioner must report the recommendations to the committees of the legislature
having jurisdiction over kindergarten through grade 12 education by January 15, 2016.

Sec. 9. MINNESOTA ASSESSMENT SYSTEM DISRUPTIONS; ASSESSMENT
RESULTS.

Notwithstanding any law to the contrary, the assessment results for any student
whose scheduled assessment was delayed or canceled as a result of assessment system
interruptions beyond the control of the school district during the 2014-2015 school year
may, at the discretion of the school district, be excluded for the purposes of school and
student indicators of growth and achievement under Minnesota Statutes, section 120B.35,
or school performance reports under Minnesota Statutes, section 120B.36.

Sec. 10. REALLOCATION OF MINNESOTA ASSESSMENT SYSTEM
PAYMENT REDUCTIONS.

Following each contract year of the contract for the Minnesota Assessment System,
the commissioner of education shall distribute the amount of the agreed-upon cumulative
payment reduction for the prior contract year to school districts and charter schools
equally on a per pupil basis.

Sec. 11. MINNESOTA ASSESSMENT SYSTEM CONTRACTOR
PERFORMANCE REPORT.

By February 15, 2016, the commissioner of education shall make a report to the
committees of the legislature having jurisdiction over kindergarten through grade 12
education describing the performance of the contractor for the Minnesota Assessment
System, including documentation related to any payment reductions agreed to under the
terms of the contract, summary measures of stakeholder satisfaction with the assessment
system, and any other information the commissioner wishes to provide.

Sec. 12. APPROPRIATIONS.

Subdivision 1.

Department of Education.

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

Subd. 2.

Statewide testing and reporting system.

For the statewide testing and
reporting system under Minnesota Statutes, section 120B.30:

$
18,865,000
.....
2016
$
18,553,000
.....
2017

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

Subd. 3.

Examination fees; teacher training and support programs.

(a) For
students' advanced placement and international baccalaureate examination fees under
Minnesota Statutes, section 120B.13, subdivision 3, and the training and related costs
for teachers and other interested educators under Minnesota Statutes, section 120B.13,
subdivision 1:

$
4,500,000
.....
2016
$
4,500,000
.....
2017

(b) The advanced placement program shall receive 75 percent of the appropriation
each year and the international baccalaureate program shall receive 25 percent of the
appropriation each year. The department, in consultation with representatives of the
advanced placement and international baccalaureate programs selected by the Advanced
Placement Advisory Council and IBMN, respectively, shall determine the amounts of
the expenditures each year for examination fees and training and support programs for
each program.

(c) Notwithstanding Minnesota Statutes, section 120B.13, subdivision 1, at least
$500,000 each year is for teachers to attend subject matter summer training programs
and follow-up support workshops approved by the advanced placement or international
baccalaureate programs. The amount of the subsidy for each teacher attending an
advanced placement or international baccalaureate summer training program or workshop
shall be the same. The commissioner shall determine the payment process and the amount
of the subsidy.

(d) The commissioner shall pay all examination fees for all students of low-income
families under Minnesota Statutes, section 120B.13, subdivision 3, and to the extent
of available appropriations shall also pay examination fees for students sitting for an
advanced placement examination, international baccalaureate examination, or both.

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

Subd. 4.

ACT administration to nonpublic pupils.

For ACT administration to
nonpublic pupils under Minnesota Statutes, section 120B.30, subdivision 5:

$
5,000
.....
2016
$
0
.....
2017

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

ARTICLE 4

CHARTER SCHOOLS

Section 1.

Minnesota Statutes 2014, section 124D.10, subdivision 8, is amended to read:


Subd. 8.

Federal, state, and local requirements.

(a) A charter school shall meet all
federal, state, and local health and safety requirements applicable to school districts.

(b) A school must comply with statewide accountability requirements governing
standards and assessments in chapter 120B.

(c) A school authorized by a school board may be located in any district, unless the
school board of the district of the proposed location disapproves by written resolution.

(d) A charter school must be nonsectarian in its programs, admission policies,
employment practices, and all other operations. An authorizer may not authorize a charter
school or program that is affiliated with a nonpublic sectarian school or a religious
institution. A charter school student must be released for religious instruction, consistent
with section 120A.22, subdivision 12, clause (3).

(e) Charter schools must not be used as a method of providing education or
generating revenue for students who are being home-schooled. This paragraph does not
apply to shared time aid under section 126C.19.

(f) The primary focus of a charter school must be to provide a comprehensive
program of instruction for at least one grade or age group from five through 18 years
of age. Instruction may be provided to people older than 18 years of age. A charter
school may offer a free preschool or prekindergarten that meets high-quality early
learning instructional program standards that are aligned with Minnesota's early learning
standards for children. A charter school with at least 90 percent of enrolled students
that are eligible for special education services and have a primary disability of deafness
or are hard-of-hearing may enroll prekindergarten pupils with a disability under section
126C.05, subdivision 1, paragraph (a).

(g) A charter school may not charge tuition.

(h) A charter school is subject to and must comply with chapter 363A and section
121A.04.

(i) Once a student is enrolled in the school, the student is considered enrolled in the
school until the student formally withdraws or is expelled under the Pupil Fair Dismissal
Act in sections 121A.40 to 121A.56. A charter school is subject to and must comply with
the Pupil Fair Dismissal Act, sections 121A.40 to 121A.56, and the Minnesota Public
School Fee Law, sections 123B.34 to 123B.39.

(j) A charter school is subject to the same financial audits, audit procedures, and
audit requirements as a district, except as required under subdivision 6a. Audits must be
conducted in compliance with generally accepted governmental auditing standards, the
federal Single Audit Act, if applicable, and section 6.65. A charter school is subject
to and must comply with sections 15.054; 118A.01; 118A.02; 118A.03; 118A.04;
118A.05; 118A.06; 471.38; 471.391; 471.392; and 471.425. The audit must comply with
the requirements of sections 123B.75 to 123B.83, except to the extent deviations are
necessary because of the program at the school. Deviations must be approved by the
commissioner and authorizer. The Department of Education, state auditor, legislative
auditor, or authorizer may conduct financial, program, or compliance audits. A charter
school determined to be in statutory operating debt under sections 123B.81 to 123B.83
must submit a plan under section 123B.81, subdivision 4.

(k) A charter school is a district for the purposes of tort liability under chapter 466.

(l) A charter school must comply with chapters 13 and 13D; and sections 120A.22,
subdivision 7
; 121A.75; and 260B.171, subdivisions 3 and 5.

(m) A charter school is subject to the Pledge of Allegiance requirement under
section 121A.11, subdivision 3.

(n) A charter school offering online courses or programs must comply with section
124D.095.

(o) A charter school and charter school board of directors are subject to chapter 181.

(p) A charter school must comply with section 120A.22, subdivision 7, governing
the transfer of students' educational records and sections 138.163 and 138.17 governing
the management of local records.

(q) A charter school that provides early childhood health and developmental
screening must comply with sections 121A.16 to 121A.19.

(r) A charter school that provides school-sponsored youth athletic activities must
comply with section 121A.38.

(s) A charter school is subject to and must comply with continuing truant notification
under section 260A.03.

(t) A charter school must develop and implement a teacher evaluation and peer
review process under section 122A.40, subdivision 8, paragraph (b), clauses (2) to
(13). The teacher evaluation process in this paragraph does not create any additional
employment rights for teachers.

(u) A charter school must adopt a policy, plan, budget, and process, consistent with
section 120B.11, to review curriculum, instruction, and student achievement and strive
for the world's best workforce.

(v) A charter school must comply with section 121A.031 governing policies on
prohibited conduct.

(w) A charter school must comply with all pupil transportation requirements in
section 123B.88, subdivision 1. A charter school must not require parents to surrender
their rights to pupil transportation under section 123B.88, subdivision 2.

Sec. 2.

Minnesota Statutes 2014, section 124D.10, subdivision 12, is amended to read:


Subd. 12.

Pupils with a disability.

A charter school must comply with sections
125A.02, 125A.03 to 125A.24, and 125A.65 and rules relating to the education of pupils
with a disability as though it were a district. A charter school enrolling prekindergarten
pupils with a disability under subdivision 8, paragraph (f), must comply with sections
125A.259 to 125A.48 and rules relating to the interagency early childhood intervention
system as though it were a district.

Sec. 3. APPROPRIATIONS.

Subdivision 1.

Department of Education.

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

Subd. 2.

Charter school building lease aid.

For building lease aid under Minnesota
Statutes, section 124D.11, subdivision 4:

$
66,787,000
.....
2016
$
73,603,000
.....
2017

The 2016 appropriation includes $6,032,000 for 2015 and $60,755,000 for 2016.

The 2017 appropriation includes $6,750,000 for 2016 and $66,853,000 for 2017.

ARTICLE 5

SPECIAL EDUCATION

Section 1.

Minnesota Statutes 2014, section 124D.11, subdivision 1, is amended to read:


Subdivision 1.

General education revenue.

(a) General education revenue must
be paid to a charter school as though it were a district. The general education revenue
for each adjusted pupil unit is the state average general education revenue per pupil unit,
plus the referendum equalization aid allowance in the pupil's district of residence, minus
an amount equal to the product of the formula allowance according to section 126C.10,
subdivision 2
, times .0466, calculated without declining enrollment revenue, local optional
revenue, basic skills revenue, extended time support revenue, pension adjustment revenue,
transition revenue, and transportation sparsity revenue, plus declining enrollment revenue,
basic skills revenue, extended time support revenue, pension adjustment revenue, and
transition revenue as though the school were a school district. The general education
revenue for each extended time support pupil unit equals $4,794.

(b) Notwithstanding paragraph (a), the general education revenue for an eligible
special education charter school as defined in subdivision 5a equals the sum of the
amount determined under paragraph (a) and the school's unreimbursed cost as defined in
subdivision 5a for educating students not eligible for special education services.

Sec. 2.

Minnesota Statutes 2014, section 124D.11, subdivision 5, is amended to read:


Subd. 5.

Special education aid.

(a) Except as provided in subdivision 2, special
education aid must be paid to a charter school according to section 125A.76, as though
it were a school district.

(b) For fiscal year 2015 and later, the special education aid paid to the charter school
shall be adjusted as follows:

(1) if the charter school does not receive general education revenue on behalf of
the student according to subdivision 1, the aid shall be adjusted as provided in section
125A.11; or

(2) if the charter school receives general education revenue on behalf of the student
according to subdivision 1, the aid shall be adjusted as provided in section 127A.47,
subdivision 7
, paragraphs (b) to (d) (e).

EFFECTIVE DATE.

This section is effective for fiscal year 2016 and later.

Sec. 3.

Minnesota Statutes 2014, section 124D.11, is amended by adding a subdivision
to read:


Subd. 5a.

Definitions.

(a) For purposes of subdivision 5b, the terms in this
subdivision have the meanings given.

(b) "Unreimbursed costs" means the difference between the total cost of educating
students at the school and the total of state and federal aids and grants, excluding aid under
subdivision 1, paragraph (b), and subdivision 5b.

(c) "Eligible special education charter school" means a charter school:

(1) where the percent of students eligible for special education services equals at
least 90 percent of the charter school's total enrollment; and

(2) that submits to the commissioner a preliminary annual budget by June 15 prior
to the start of the fiscal year and a revised budget by January 15 of the current fiscal
year detailing its unreimbursed costs for educating students eligible and not eligible for
special education services.

EFFECTIVE DATE.

This section is effective for fiscal year 2016 and later.

Sec. 4.

Minnesota Statutes 2014, section 124D.11, is amended by adding a subdivision
to read:


Subd. 5b.

Special education aid for eligible special education charter schools.

(a) Notwithstanding subdivision 5, the special education aid for an eligible special
education charter school equals the sum of the school's special education aid under
subdivision 5, paragraph (a), and the school's approved unreimbursed cost for educating
students eligible for special education services.

(b) The commissioner must review the budget data submitted by an eligible special
education charter school under subdivision 5a and notify the school of the approved
unreimbursed cost to be used for current aid payments within 30 days of receiving the
budget from the school.

(c) For purposes of section 127A.45, subdivision 13, the aid under this subdivision
is not subject to the 97.4 percent current fiscal year special education aid entitlement
provision.

(d) Final aid payments must be calculated using the actual unreimbursed costs as
determined by the department based on year-end financial and student data submitted by
the charter school.

EFFECTIVE DATE.

This section is effective for fiscal year 2016 and later.

Sec. 5.

Minnesota Statutes 2014, section 125A.03, is amended to read:


125A.03 SPECIAL INSTRUCTION FOR CHILDREN WITH A DISABILITY.

(a) As defined in paragraph (b), every district must provide special instruction and
services, either within the district or in another district, for all children with a disability,
including providing required services under Code of Federal Regulations, title 34, section
300.121, paragraph (d), to those children suspended or expelled from school for more than
ten school days in that school year, who are residents of the district and who are disabled
as set forth in section 125A.02. For purposes of state and federal special education laws,
the phrase "special instruction and services" in the state Education Code means a free
and appropriate public education provided to an eligible child with disabilities. "Free
appropriate public education" means special education and related services that:

(1) are provided at public expense, under public supervision and direction, and
without charge;

(2) meet the standards of the state, including the requirements of the Individuals
with Disabilities Education Act, Part B or C;

(3) include an appropriate preschool, elementary school, or secondary school
education; and

(4) are provided to children ages three through 21 in conformity with an
individualized education program that meets the requirements of the Individuals with
Disabilities Education Act, subpart A, sections 300.320 to 300.324, and provided to
infants and toddlers in conformity with an individualized family service plan that meets
the requirements of the Individuals with Disabilities Education Act, subpart A, sections
303.300 to 303.346.

(b) Notwithstanding any age limits in laws to the contrary, special instruction and
services must be provided from birth until July 1 after the child with a disability becomes
21 years old but shall not extend beyond secondary school or its equivalent, except as
provided in section 124D.68, subdivision 2. Local health, education, and social service
agencies must refer children under age five who are known to need or suspected of
needing special instruction and services to the school district. Districts with less than the
minimum number of eligible children with a disability as determined by the commissioner
must cooperate with other districts to maintain a full range of programs for education
and services for children with a disability. This section does not alter the compulsory
attendance requirements of section 120A.22.

(c) At the board's discretion, a school district that participates in a reciprocity
agreement with a neighboring state under section 124D.041 may enroll and provide
special instruction and services to a child from an adjoining state whose family resides
at a Minnesota address as assigned by the United States Postal Service if the district has
completed child identification procedures for that child to determine the child's eligibility
for special education services, and the child has received developmental screening under
sections 121A.16 to 121A.19.

EFFECTIVE DATE.

This section is effective July 1, 2015.

Sec. 6.

Minnesota Statutes 2014, section 125A.11, subdivision 1, is amended to read:


Subdivision 1.

Nonresident tuition rate; other costs.

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

(b) Notwithstanding paragraph (a), when a charter school receiving special education
aid under section 124D.11, subdivision 5b, provides special instruction and services for
a pupil with a disability as defined in section 125A.02, excluding a pupil for whom an
adjustment to special education aid is calculated according to section 127A.46, subdivision
7, paragraphs (b) to (e), special education aid paid to the resident district must be reduced
by an amount equal to that calculated under paragraph (a) as if the charter school received
aid under section 124D.11, subdivision 5. Notwithstanding paragraph (a), special education
aid paid to the charter school providing special instruction and services for the pupil must
not be increased by the amount of the reduction in the aid paid to the resident district.

(c) Notwithstanding paragraph (a) and section 127A.47, subdivision 7, paragraphs
(b) to (d), a charter school where more than 30 percent of enrolled students receive special
education and related services, a site approved under section 125A.515, an intermediate
district, a special education cooperative, or a school district that served as the applicant
agency for a group of school districts for federal special education aids for fiscal year
2006 may apply to the commissioner for authority to charge the resident district an
additional amount to recover any remaining unreimbursed costs of serving pupils with
a disability. The application must include a description of the costs and the calculations
used to determine the unreimbursed portion to be charged to the resident district. Amounts
approved by the commissioner under this paragraph must be included in the tuition billings
or aid adjustments under paragraph (a), or section 127A.47, subdivision 7, paragraphs
(b) to (d), as applicable.

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

EFFECTIVE DATE.

This section is effective for fiscal year 2016 and later.

Sec. 7.

Minnesota Statutes 2014, section 125A.79, subdivision 1, is amended to read:


Subdivision 1.

Definitions.

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

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

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

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

(3) for fiscal year 2016 and later, the amount of general education revenue, excluding
local optional revenue, plus local optional aid and referendum equalization aid for the
prior fiscal year attributable to pupils receiving special instruction and services outside the
regular classroom for more than 60 percent of the school day for the portion of time the
pupils receive special instruction and services outside the regular classroom, excluding
portions attributable to district and school administration, district support services,
operations and maintenance, capital expenditures, and pupil transportation.

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

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

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

(3) the amount of general education revenue and referendum equalization aid for the
prior fiscal year attributable to pupils receiving special instruction and services outside the
regular classroom for more than 60 percent of the school day for the portion of time the
pupils receive special instruction and services outside of the regular classroom, excluding
portions attributable to district and school administration, district support services,
operations and maintenance, capital expenditures, and pupil transportation.

(c) "General revenue" for a school district means the sum of the general education
revenue according to section 126C.10, subdivision 1, excluding transportation sparsity
revenue, local optional revenue, and total operating capital revenue. "General revenue"
for a charter school means the sum of the general education revenue according to section
124D.11, subdivision 1, and transportation revenue according to section 124D.11,
subdivision 2, excluding referendum equalization aid, transportation sparsity revenue, and
operating capital revenue.

Sec. 8.

Minnesota Statutes 2014, section 127A.45, subdivision 3, is amended to read:


Subd. 3.

Payment dates and percentages.

(a) The commissioner shall pay to a
district on the dates indicated an amount computed as follows: the cumulative amount
guaranteed minus the sum of (1) the district's other district receipts through the current
payment, and (2) the aid and credit payments through the immediately preceding payment.
For purposes of this computation, the payment dates and the cumulative disbursement
percentages are as follows:

Payment date
Percentage
Payment 1
July 15:
5.5
Payment 2
July 30:
8.0
Payment 3
August 15:
17.5
Payment 4
August 30:
20.0
Payment 5
September 15:
22.5
Payment 6
September 30:
25.0
Payment 7
October 15:
27.0
Payment 8
October 30:
30.0
Payment 9
November 15:
32.5
Payment 10
November 30:
36.5
Payment 11
December 15:
42.0
Payment 12
December 30:
45.0
Payment 13
January 15:
50.0
Payment 14
January 30:
54.0
Payment 15
February 15:
58.0
Payment 16
February 28:
63.0
Payment 17
March 15:
68.0
Payment 18
March 30:
74.0
Payment 19
April 15:
78.0
Payment 20
April 30:
85.0
Payment 21
May 15:
90.0
Payment 22
May 30:
95.0
Payment 23
June 20:
100.0

(b) In addition to the amounts paid under paragraph (a), the commissioner shall pay
to a school district or charter school on the dates indicated an amount computed as follows:

Payment 3
August 15: the final adjustment for the prior fiscal year for the state paid
property tax credits established in section 273.1392
Payment 4
August 30: 30 percent of the final adjustment for the prior fiscal year for
all aid entitlements except state paid property tax credits
Payment 6
September 30: 40 percent of the final adjustment for the prior fiscal year
for all aid entitlements except state paid property tax credits
Payment 8
October 30: 30 percent of the final adjustment for the prior fiscal year
for all aid entitlements except state paid property tax credits

(c) Notwithstanding paragraph (b), if the current year aid payment percentage
under subdivision 2, paragraph (d), is less than 90, in addition to the amounts paid under
paragraph (a), the commissioner shall pay to a charter school on the dates indicated an
amount computed as follows:

Payment 1
July 15: 75 percent of the final adjustment for the prior fiscal year for
all aid entitlements
Payment 8
October 30: 25 percent of the final adjustment for the prior fiscal year
for all aid entitlements

(d) Notwithstanding paragraph (b), if a charter school is an eligible special education
charter school under section 124D.11, subdivision 5a, in addition to the amounts paid
under paragraph (a), the commissioner shall pay to a charter school on the dates indicated
an amount computed as follows:

Payment 1
July 15: 75 percent of the final adjustment for the prior fiscal year for
all aid entitlements
Payment 8
October 30: 25 percent of the final adjustment for the prior fiscal year
for all aid entitlements

Sec. 9.

Minnesota Statutes 2014, section 127A.47, subdivision 7, is amended to read:


Subd. 7.

Alternative attendance programs.

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

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

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

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

(e) Notwithstanding paragraph (c), special education aid paid to a resident district
must be reduced under paragraph (d) for students at a charter school receiving special
education aid under section 124D.11, subdivision 5b, calculated as if the charter school
received special education aid under section 124D.11, subdivision 5.

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

(g) Notwithstanding paragraph (a), general education aid paid to the resident district
of a nonspecial education student for whom an eligible special education charter school
receives general education aid under section 124D.11, subdivision 1, paragraph (b), must
be reduced by an amount equal to the difference between the general education aid
attributable to the student under section 124D.11, subdivision 1, paragraph (b), and the
general education aid that the student would have generated for the charter school under
section 124D.11, subdivision 1, paragraph (a). For purposes of this paragraph, "nonspecial
education student" means a student who does not meet the definition of pupil with a
disability, as defined in section 125A.02 or the definition of a pupil in section 125A.51.

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

EFFECTIVE DATE.

This section is effective for fiscal year 2016 and later.

Sec. 10. APPROPRIATIONS.

Subdivision 1.

Department of Education.

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

Subd. 2.

Special education; regular.

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

$
1,171,029,000
.....
2016
$
1,228,842,000
.....
2017

The 2016 appropriation includes $137,932,000 for 2015 and $1,033,097,000 for
2016.

The 2017 appropriation includes $145,429,000 for 2016 and $1,083,413,000 for
2017.

Subd. 3.

Travel for home-based services.

For aid for teacher travel for home-based
services under Minnesota Statutes, section 125A.75, subdivision 1:

$
361,000
.....
2016
$
371,000
.....
2017

The 2016 appropriation includes $35,000 for 2015 and $326,000 for 2016.

The 2017 appropriation includes $36,000 for 2016 and $335,000 for 2017.

Subd. 4.

Special education out-of-state tuition.

For special education out-of-state
tuition according to Minnesota Statutes, section 125A.79, subdivision 8:

$
250,000
.....
2016
$
250,000
.....
2017

Subd. 5.

Aid for children with disabilities.

For aid under Minnesota Statutes,
section 125A.75, subdivision 3, for children with disabilities placed in residential facilities
within the district boundaries for whom no district of residence can be determined:

$
1,406,000
.....
2016
$
1,629,000
.....
2017

If the appropriation for either year is insufficient, the appropriation for the other
year is available.

Subd. 6.

Court-placed special education revenue.

For reimbursing serving school
districts for unreimbursed eligible expenditures attributable to children placed in the serving
school district by court action under Minnesota Statutes, section 125A.79, subdivision 4:

$
56,000
.....
2016
$
57,000
.....
2017

Subd. 7.

Training and technical assistance to reduce district use of seclusion and
restraint.

For providing school districts with training and technical assistance to reduce
district use of seclusion and restraint on students with complex needs:

$
100,000
.....
2016

Of this appropriation, $75,000 is available to the commissioner to reimburse school
districts for the cost of hiring experts to provide staff training in reducing district use of
seclusion and restraint on students with complex needs. Of this appropriation, $25,000 is
available to the commissioner for the costs of providing specialized training and assistance
to school districts with a high use of seclusion and restraint on students with complex needs.
The commissioner may contract with experts from intermediate school districts teams or
level four programs to provide the specialized training and technical assistance. Any funds
unexpended in fiscal year 2016 do not cancel but carry forward into the next fiscal year.

ARTICLE 6

FACILITIES AND TECHNOLOGY

Section 1.

Minnesota Statutes 2014, section 123B.53, subdivision 1, is amended to read:


Subdivision 1.

Definitions.

(a) For purposes of this section, the eligible debt service
revenue of a district is defined as follows:

(1) the amount needed to produce between five and six percent in excess of the
amount needed to meet when due the principal and interest payments on the obligations of
the district for eligible projects according to subdivision 2, including the amounts necessary
for repayment of energy loans according to section 216C.37 or sections 298.292 to 298.298,
debt service loans and, capital loans, and lease purchase payments under section 126C.40,
subdivision 2
, alternative facilities levies under section 123B.59, subdivision 5, paragraph
(a),
excluding long-term facilities maintenance levies under section 123B.595, minus

(2) the amount of debt service excess levy reduction for that school year calculated
according to the procedure established by the commissioner.

(b) The obligations in this paragraph are excluded from eligible debt service revenue:

(1) obligations under section 123B.61;

(2) the part of debt service principal and interest paid from the taconite environmental
protection fund or Douglas J. Johnson economic protection trust, excluding the portion of
taconite payments from the Iron Range school consolidation and cooperatively operated
school account under section 298.28, subdivision 7a;

(3) obligations issued under Laws 1991, chapter 265, article 5, section 18, as
amended by Laws 1992, chapter 499, article 5, section 24;

(4) obligations under section 123B.62; and

(5) obligations equalized under section 123B.535.

(c) For purposes of this section, if a preexisting school district reorganized under
sections 123A.35 to 123A.43, 123A.46, and 123A.48 is solely responsible for retirement
of the preexisting district's bonded indebtedness, capital loans or debt service loans, debt
service equalization aid must be computed separately for each of the preexisting districts.

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

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2017 and
later.

Sec. 2.

Minnesota Statutes 2014, section 123B.53, subdivision 4, is amended to read:


Subd. 4.

Debt service equalization revenue.

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

(b) The first tier debt service equalization revenue of a district equals the greater
of zero or the eligible debt service revenue minus the amount raised by a levy of 15.74
percent times the adjusted net tax capacity of the district minus the second tier debt service
equalization revenue of the district.

(c) The second tier debt service equalization revenue of a district equals the greater
of zero or the eligible debt service revenue, excluding alternative facilities levies under
section 123B.59, subdivision 5,
minus the amount raised by a levy of 26.24 percent times
the adjusted net tax capacity of the district.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2017 and
later.

Sec. 3.

Minnesota Statutes 2014, section 123B.57, is amended to read:


123B.57 CAPITAL EXPENDITURE; HEALTH AND SAFETY.

Subdivision 1.

Health and safety revenue application.

(a) To receive health
and safety revenue for any fiscal year a district must submit to the commissioner a
capital expenditure health and safety revenue application by the date determined by the
commissioner. The application must include a health and safety budget adopted and
confirmed by the school district board as being consistent with the district's health and
safety policy under subdivision 2. The budget must include the estimated cost of the
program per Uniform Financial Accounting and Reporting Standards (UFARS) finance
code, by fiscal year. Upon approval through the adoption of a resolution by each of an
intermediate district's member school district boards and the approval of the Department
of Education, a school district may include its proportionate share of the costs of health
and safety projects for an intermediate district in its application.

(b) Health and safety projects with an estimated cost of $500,000 or more per
site are not eligible for health and safety revenue. Health and safety projects with an
estimated cost of $500,000 or more per site that meet all other requirements for health and
safety funding, are eligible for alternative facilities bonding and levy revenue according
to section 123B.59. A school board shall not separate portions of a single project into
components to qualify for health and safety revenue, and shall not combine unrelated
projects into a single project to qualify for alternative facilities bonding and levy revenue.

(c) The commissioner of education shall not make eligibility for health and safety
revenue contingent on a district's compliance status, level of program development, or
training. The commissioner shall not mandate additional performance criteria such as
training, certifications, or compliance evaluations as a prerequisite for levy approval.

Subd. 2.

Health and safety policy.

To qualify for health and safety revenue, a
school board must adopt a health and safety policy. The policy must include provisions
for implementing a health and safety program that complies with health, safety, and
environmental regulations and best practices including indoor air quality management.

Subd. 3.

Health and safety revenue.

A district's health and safety revenue
for a fiscal year equals the district's alternative facilities levy under section 123B.59,
subdivision 5, paragraph (b), plus the greater of zero or:

(1) the sum of (a) the total approved cost of the district's hazardous substance
plan for fiscal years 1985 through 1989, plus (b) the total approved cost of the district's
health and safety program for fiscal year 1990 through the fiscal year to which the levy
is attributable, excluding expenditures funded with bonds issued under section 123B.59
or 123B.62, or chapter 475; certificates of indebtedness or capital notes under section
123B.61; levies under section 123B.58, 123B.59, 123B.63, or 126C.40, subdivision 1 or
6; and other federal, state, or local revenues, minus

(2) the sum of (a) the district's total hazardous substance aid and levy for fiscal years
1985 through 1989 under sections 124.245 and 275.125, subdivision 11c, plus (b) the
district's health and safety revenue under this subdivision, for years before the fiscal year
to which the levy is attributable.

Subd. 4.

Health and safety levy.

To receive health and safety revenue, a district
may levy an amount equal to the district's health and safety revenue as defined in
subdivision 3 multiplied by the lesser of one, or the ratio of the quotient derived by
dividing the adjusted net tax capacity of the district for the year preceding the year the
levy is certified by the adjusted pupil units in the district for the school year to which
the levy is attributable, to $3,165.

Subd. 5.

Health and safety aid.

A district's health and safety aid is the difference
between its health and safety revenue and its health and safety levy. If a district does not
levy the entire amount permitted, health and safety aid must be reduced in proportion to
the actual amount levied. Health and safety aid may not be reduced as a result of reducing
a district's health and safety levy according to section 123B.79.

Subd. 6.

Uses of Health and safety revenue capital projects.

(a) Health and
safety revenue may be used only for approved capital projects may include expenditures
necessary for the correction of fire and life safety hazards; design, purchase, installation,
maintenance, and inspection of fire protection and alarm equipment; purchase or
construction of appropriate facilities for the storage of combustible and flammable
materials; inventories and facility modifications not related to a remodeling project
to comply with lab safety requirements under section 121A.31; inspection, testing,
repair, removal or encapsulation, and disposal of asbestos-containing building materials;
cleanup and disposal of polychlorinated biphenyls; cleanup and disposal of hazardous and
infectious wastes; cleanup, removal, disposal, and repairs related to storing heating fuel or
transportation fuels such as alcohol, gasoline, fuel oil, and special fuel, as defined in section
296A.01; correction of occupational safety and health administration regulated hazards;
indoor air quality inspections, investigations, and testing; mold abatement; upgrades or
replacement of mechanical ventilation systems to meet American Society of Heating,
Refrigerating and Air Conditioning Engineers standards and State Mechanical Code;
design, materials, and installation of local exhaust ventilation systems, including required
make-up air for controlling regulated hazardous substances; correction of Department of
Health Food Code violations; correction of swimming pool hazards excluding depth
correction; playground safety inspections, repair of unsafe outdoor playground equipment,
and the installation of impact surfacing materials; bleacher repair or rebuilding to comply
with the order of a building code inspector under section 326B.112; testing and mitigation
of elevated radon hazards; lead testing; copper in water testing; cleanup after major
weather-related disasters or flooding; reduction of excessive organic and inorganic levels
in wells and capping of abandoned wells; installation and testing of boiler backflow valves
to prevent contamination of potable water; vaccinations, titers, and preventative supplies
for bloodborne pathogen compliance; costs to comply with the Janet B. Johnson Parents'
Right to Know Act; automated external defibrillators and other emergency plan equipment
and supplies specific to the district's emergency action plan; compliance with the National
Emission Standards for Hazardous Air Pollutants for school generators established by the
United States Environmental Protection Agency; and health, safety, and environmental
management costs associated with implementing the district's health and safety program
including costs to establish and operate safety committees, in school buildings or property
owned or being acquired by the district. Testing and calibration activities are permitted for
existing mechanical ventilation systems at intervals no less than every five years.

(b) For fiscal years 2014 through 2017, a school district must not include expenses
related to emission compliance projects for school generators in its health and safety
revenue capital projects unless it reduces its approved spending on other qualified health
and safety projects by the same amount.

Subd. 6a.

Restrictions on health and safety revenue.

Notwithstanding subdivision
6, health and safety revenue must not be used:

(1) to finance a lease purchase agreement, installment purchase agreement, or other
deferred payments agreement;

(2) for the construction of new facilities, remodeling of existing facilities, or the
purchase of portable classrooms;

(3) for interest or other financing expenses;

(4) for energy-efficiency projects under section 123B.65, for a building or property
or part of a building or property used for postsecondary instruction or administration or for
a purpose unrelated to elementary and secondary education;

(5) for replacement of building materials or facilities including roof, walls, windows,
internal fixtures and flooring, nonhealth and safety costs associated with demolition of
facilities, structural repair or replacement of facilities due to unsafe conditions, violence
prevention and facility security, ergonomics, or public announcement systems and
emergency communication devices; or

(6) for building and heating, ventilating and air conditioning supplies, maintenance,
and cleaning activities. All assessments, investigations, inventories, and support
equipment not leading to the engineering or construction of a project shall be included in
the health, safety, and environmental management costs in subdivision 8, paragraph (a).

Subd. 6b.

Health and safety projects.

(a) Health and safety revenue applications
defined in subdivision 1 must be accompanied by a description of each project for which
funding is being requested. Project descriptions must provide enough detail for an auditor
to determine if the work qualifies for revenue. For projects other than fire and life
safety projects, playground projects, and health, safety, and environmental management
activities, a project description does not need to include itemized details such as material
types, room locations, square feet, names, or license numbers. The commissioner
may request supporting information and shall approve only projects that comply with
subdivisions 6 and 8, as defined by the Department of Education.

(b) Districts may request funding for allowable projects based on self-assessments,
safety committee recommendations, insurance inspections, management assistance
reports, fire marshal orders, or other mandates. Notwithstanding subdivision 1, paragraph
(b), and subdivision 8, paragraph (b), for projects under $500,000, individual project
size for projects authorized by this subdivision is not limited and may include related
work in multiple facilities. Health and safety management costs from subdivision 8 may
be reported as a single project.

(c) All costs directly related to a project shall be reported in the appropriate Uniform
Financial Accounting and Reporting Standards (UFARS) finance code.

(d) For fire and life safety egress and all other projects exceeding $20,000, cited
under the Minnesota Fire Code, a fire marshal plan review is required.

(e) Districts shall update project estimates with actual expenditures for each
fiscal year. If a project's final cost is significantly higher than originally approved, the
commissioner may request additional supporting information.

Subd. 6c.

Appeals process.

In the event a district is denied funding approval for
a project the district believes complies with subdivisions 6 and 8, and is not otherwise
excluded, a district may appeal the decision. All such requests must be in writing. The
commissioner shall respond in writing. A written request must contain the following:
project number; description and amount; reason for denial; unresolved questions for
consideration; reasons for reconsideration; and a specific statement of what action the
district is requesting.

Subd. 7.

Proration.

In the event that the health and safety aid available for any year
is prorated, a district having its aid prorated may levy an additional amount equal to the
amount not paid by the state due to proration.

Subd. 8.

Health, safety, and environmental management cost.

(a) "Health, safety,
and environmental management" is defined in section 123B.56.

(b) A district's cost for health, safety, and environmental management is limited to
the lesser of:

(1) actual cost to implement their plan; or

(2) an amount determined by the commissioner, based on enrollment, building
age, and size.

(c) The department may contract with regional service organizations, private
contractors, Minnesota Safety Council, or state agencies to provide management
assistance to school districts for health and safety capital projects. Management assistance
is the development of written programs for the identification, recognition and control of
hazards, and prioritization and scheduling of district health and safety capital projects. The
commissioner shall not mandate management assistance or exclude private contractors
from the opportunity to provide any health and safety services to school districts.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2017 and
later.

Sec. 4.

[123B.595] LONG-TERM FACILITIES MAINTENANCE REVENUE.

Subdivision 1.

Long-term facilities maintenance revenue.

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

(b) For fiscal year 2018 only, long-term facilities maintenance revenue equals the
greater of (1) $292 times the district's adjusted pupil units times the lesser of one or the
ratio of the district's average building age to 35 years, plus the cost approved by the
commissioner for indoor air quality, fire alarm and suppression, and asbestos abatement
projects under section 123B.57, subdivision 6, with an estimated cost of $100,000 or more
per site or (2) the sum of the amount the district would have qualified for under Minnesota
Statutes 2014, section 123B.57, Minnesota Statutes 2014, section 123B.59, and Minnesota
Statutes 2014, section 123B.591.

(c) For fiscal year 2019 and later, long-term facilities maintenance revenue equals
the greater of (1) $380 times the district's adjusted pupil units times the lesser of one or
the ratio of the district's average building age to 35 years, plus the cost approved by the
commissioner for indoor air quality, fire alarm and suppression, and asbestos abatement
projects under section 123B.57, subdivision 6, with an estimated cost of $100,000 or more
per site or (2) the sum of the amount the district would have qualified for under Minnesota
Statutes 2014, section 123B.57, Minnesota Statutes 2014, section 123B.59, and Minnesota
Statutes 2014, section 123B.591.

Subd. 2.

Long-term facilities maintenance revenue for a charter school.

(a)
For fiscal year 2017 only, long-term facilities maintenance revenue for a charter school
equals $34 times the adjusted pupil units.

(b) For fiscal year 2018 only, long-term facilities maintenance revenue for a charter
school equals $85 times the adjusted pupil units.

(c) For fiscal year 2019 and later, long-term facilities maintenance revenue for a
charter school equals $132 times the adjusted pupil units.

Subd. 3.

Intermediate districts and other cooperative units.

Upon approval
through the adoption of a resolution by each member district school board of an
intermediate district or other cooperative units under section 123A.24, subdivision 2,
and the approval of the commissioner of education, a school district may include in its
authority under this section a proportionate share of the long-term maintenance costs
of the intermediate district or cooperative unit. The cooperative unit may issue bonds
to finance the project costs or levy for the costs, using long-term maintenance revenue
transferred from member districts to make debt service payments or pay project costs.
Authority under this subdivision is in addition to the authority for individual district
projects under subdivision 1.

Subd. 4.

Facilities plans.

(a) To qualify for revenue under this section, a school
district or intermediate district, not including a charter school, must have a ten-year facility
plan adopted by the school board and approved by the commissioner. The plan must include
provisions for implementing a health and safety program that complies with health, safety,
and environmental regulations and best practices, including indoor air quality management.

(b) The district must annually update the plan, biennially submit a facility
maintenance plan to the commissioner, and indicate whether the district will issue bonds
to finance the plan or levy for the costs.

(c) For school districts issuing bonds to finance the plan, the plan must include a
debt service schedule demonstrating that the debt service revenue required to pay the
principal and interest on the bonds each year will not exceed the projected long-term
facilities revenue for that year.

Subd. 5.

Bond authorization.

(a) A school district may issue general obligation
bonds under this section to finance facilities plans approved by its board and the
commissioner. Chapter 475, except sections 475.58 and 475.59, must be complied with.
The authority to issue bonds under this section is in addition to any bonding authority
authorized by this chapter or other law. The amount of bonding authority authorized
under this section must be disregarded in calculating the bonding or net debt limits of this
chapter, or any other law other than section 475.53, subdivision 4.

(b) At least 20 days before the earliest of solicitation of bids, the issuance of bonds,
or the final certification of levies under subdivision 6, the district must publish notice
of the intended projects, the amount of the bond issue, and the total amount of district
indebtedness.

(c) The portion of revenue under this section for bonded debt must be recognized
in the debt service fund.

Subd. 6.

Levy authorization.

A district may levy for costs related to an approved
plan under subdivision 4 as follows:

(1) if the district has indicated to the commissioner that bonds will be issued, the
district may levy for the principal and interest payments on outstanding bonds issued
under subdivision 5 after reduction for any aid receivable under subdivision 9;

(2) if the district has indicated to the commissioner that the plan will be funded
through levy, the district may levy according to the schedule approved in the plan after
reduction for any aid receivable under subdivision 9; or

(3) if the debt service revenue for a district required to pay the principal and interest
on bonds issued under subdivision 5 exceeds the district's long-term facilities maintenance
revenue for the same fiscal year, the district's general fund levy must be reduced by the
amount of the excess.

Subd. 7.

Long-term facilities maintenance equalization revenue.

(a) For fiscal
year 2017 only, a district's long-term facilities maintenance equalization revenue equals
the lesser of (1) $193 times the adjusted pupil units or (2) the district's revenue under
subdivision 1.

(b) For fiscal year 2018 only, a district's long-term facilities maintenance
equalization revenue equals the lesser of (1) $292 times the adjusted pupil units or (2)
the district's revenue under subdivision 1.

(c) For fiscal year 2019 and later, a district's long-term facilities maintenance
equalization revenue equals the lesser of (1) $380 times the adjusted pupil units or (2)
the district's revenue under subdivision 1.

Subd. 8.

Long-term facilities maintenance equalized levy.

For fiscal year 2017
and later, a district's long-term facilities maintenance equalized levy equals the district's
long-term facilities maintenance revenue minus the greater of:

(1) the lesser of the district's long-term facilities maintenance revenue or the amount
of aid the district received for fiscal year 2015 under Minnesota Statutes 2014, section
123B.59, subdivision 6; or

(2) the district's long-term facilities maintenance equalization revenue times the
greater of (i) zero or (ii) one minus the ratio of its adjusted net tax capacity per adjusted
pupil unit in the year preceding the year the levy is certified to 123 percent of the state
average adjusted net tax capacity per adjusted pupil unit in the year preceding the year
the levy is certified.

Subd. 9.

Long-term facilities maintenance equalized aid.

For fiscal year 2017
and later, a district's long-term facilities maintenance equalized aid equals its long-term
facilities maintenance revenue minus its long-term facilities maintenance equalized levy
times the ratio of the actual amount levied to the permitted levy.

Subd. 10.

Allowed uses for long-term facilities maintenance revenue.

(a) A
district may use revenue under this section for any of the following:

(1) deferred capital expenditures and maintenance projects necessary to prevent
further erosion of facilities;

(2) increasing accessibility of school facilities; or

(3) health and safety capital projects under section 123B.57.

(b) A charter school may use revenue under this section for any purpose related
to the school.

Subd. 11.

Restrictions on long-term facilities maintenance revenue.

Notwithstanding subdivision 11, long-term facilities maintenance revenue may not be used:

(1) for the construction of new facilities, remodeling of existing facilities, or the
purchase of portable classrooms;

(2) to finance a lease purchase agreement, installment purchase agreement, or other
deferred payments agreement;

(3) for energy-efficiency projects under section 123B.65, for a building or property
or part of a building or property used for postsecondary instruction or administration or for
a purpose unrelated to elementary and secondary education; or

(4) for violence prevention and facility security, ergonomics, or emergency
communication devices.

Subd. 12.

Reserve account.

The portion of long-term facilities maintenance
revenue not recognized under subdivision 5, paragraph (c), must be maintained in a
reserve account within the general fund.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2017 and
later.

Sec. 5.

Minnesota Statutes 2014, section 126C.01, subdivision 2, is amended to read:


Subd. 2.

Adjusted net tax capacity.

(a) Except as provided in paragraph (b),
"adjusted net tax capacity" means the net tax capacity of the taxable property of the
district as adjusted by the commissioner of revenue under sections 127A.48 and 273.1325.
The adjusted net tax capacity for any given calendar year must be used to compute levy
limitations for levies certified in the succeeding calendar year and aid for the school year
beginning in the second succeeding calendar year.

(b) For purposes of the long-term maintenance facilities equalization levy under
section 123B.595, subdivision 8, "adjusted net tax capacity" means the value described in
paragraph (a) reduced by 50 percent of the value of class 2a agricultural land determined
under that paragraph before the application of the growth limit under section 127A.48,
subdivision 7.

EFFECTIVE DATE.

This section is effective for taxes payable in 2016 and later.

Sec. 6.

Minnesota Statutes 2014, section 127A.33, is amended to read:


127A.33 SCHOOL ENDOWMENT FUND; APPORTIONMENT.

(a) The commissioner shall apportion the school endowment fund semiannually on
the first Monday in March and September in each year, to districts whose schools have
been in session at least nine months. The apportionment shall be in proportion to each
district's adjusted average daily membership during the preceding year. The apportionment
shall not be paid to a district for pupils for whom tuition is received by the district.

(b) For fiscal year 2016 and later, a district must reserve for school technology
and telecommunications infrastructure, programs, and training an amount equal to the
greater of (1) zero or (2) the total fiscal year apportionment per prior year pupil in adjusted
average daily membership minus $31.62.

EFFECTIVE DATE.

This section is effective July 1, 2015.

Sec. 7. COMMISSIONER OF EDUCATION; 1:1 DEVICE PROGRAM
GUIDELINES.

The commissioner of education must research existing 1:1 device programs in
Minnesota and across the country to determine best practices for Minnesota schools
implementing 1:1 device programs. By February 15, 2016, the commissioner must
develop and publish guidelines to ensure maximum effectiveness of 1:1 device programs
and make a report on the research findings to the committees of the legislature with
jurisdiction over kindergarten through grade 12 education.

Sec. 8. FAIR SCHOOL CRYSTAL TRANSITION.

Subdivision 1.

Student enrollment.

A student enrolled in the FAIR School
Crystal during the 2014-2015 school year and a student accepted for enrollment during
the 2015-2016 school year may continue to enroll in the FAIR School Crystal in any
year through the 2019-2020 school year. For the 2015-2016 school year and later, other
students may apply for enrollment under Minnesota Statutes, section 124D.03.

Subd. 2.

Compensatory revenue; literacy aid; alternative compensation
revenue.

For the 2015-2016 school year only, the Department of Education must calculate
compensatory revenue, literacy aid, and alternative compensation revenue for the FAIR
School Crystal based on the October 1, 2014, enrollment counts.

Subd. 3.

Pupil transportation.

The district may transport a pupil enrolled in
the 2014-2015 school year and a pupil accepted for enrollment during the 2015-2016
school year to and from the FAIR School Crystal in succeeding school years regardless
of the pupil's district of residence. Pupil transportation expenses under this section are
reimbursable under Minnesota Statutes, section 124D.87.

EFFECTIVE DATE.

This section is effective the day following the date on which
the real and personal property of the FAIR School Crystal in Crystal is conveyed to
Independent School District No. 281, Robbinsdale.

Sec. 9. FAIR SCHOOL DOWNTOWN TRANSITION.

Subdivision 1.

Student enrollment.

A student enrolled in the FAIR School
downtown during the 2014-2015 school year and a student accepted for enrollment during
the 2015-2016 school year may continue to enroll in the FAIR School downtown in any
year through the 2018-2019 school year. For the 2015-2016 school year and later, other
students may apply for enrollment under Minnesota Statutes, section 124D.03.

Subd. 2.

Compensatory revenue; literacy aid; alternative compensation
revenue.

For the 2015-2016 school year only, the Department of Education must calculate
compensatory revenue, literacy aid, and alternative compensation revenue for the FAIR
School downtown based on the October 1, 2014, enrollment counts.

Subd. 3.

Pupil transportation.

The district may transport a pupil enrolled in the
2014-2015 school year and a pupil accepted for enrollment during the 2015-2016 school
year to and from the FAIR School downtown in succeeding school years regardless of
the pupil's district of residence. Pupil transportation expenses under this section are
reimbursable under Minnesota Statutes, section 124D.87.

EFFECTIVE DATE.

This section is effective the day following the date on which
the real and personal property of the FAIR School downtown in Minneapolis is conveyed
to Special School District No. 1, Minneapolis.

Sec. 10. INFORMATION TECHNOLOGY CERTIFICATION PARTNERSHIP.

Subdivision 1.

Request for proposals.

The commissioner of education shall issue
a request for proposals no later than July 1, 2015, and award a contract no later than
September 1, 2015, to a provider for the program under subdivision 3.

Subd. 2.

Eligible schools.

A school district, intermediate district, or charter school
is eligible to participate in the program under this section, as long as funds are available.

Subd. 3.

Program description; provider duties.

(a) The provider must partner
with eligible schools to make available a program to teach information technology skills
and competencies that are essential for career and college readiness. By December 1,
2015, the provider must contact each eligible school and indicate how the school can
access program services under this section.

(b) The provider shall recruit up to 200 schools to participate in the program as long
as funds are available. The provider must engage schools on a first-come, first-served
basis, except that no more than half of the total funds available may be used to deliver the
program to schools located in the seven-county metropolitan area.

(c) The provider shall deliver to each participating school:

(1) a research-based information technology curriculum;

(2) online access to the curriculum;

(3) instructional software for classroom and student use;

(4) training for teachers who will be using the curriculum or instructional software;

(5) industry-recognized certification of skills and competencies in a broad array of
information technology-related skill areas; and

(6) project management, deployment, and program support, including, but not
limited to, integration with academic standards under Minnesota Statutes, section
120B.021 or 120B.022.

Subd. 4.

Department support.

The Department of Education must make support
available to the provider, including acting as the primary liaison between schools and the
provider and providing direction and oversight, consistent with the purposes of this section.

Subd. 5.

Report required.

By February 1, 2018, the provider and commissioner
must jointly develop and deliver to the committees of the legislature with jurisdiction over
kindergarten through grade 12 education, a summary report on program activities and
outcomes, including a description of the number and location of participating schools and
students, and the number and type of certifications earned by students.

Sec. 11. CANCELLATION OF PREVIOUS BIENNIUM APPROPRIATION.

The appropriation made by Laws 2014, chapter 312, article 16, section 16,
subdivision 5, is canceled.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 12. APPROPRIATIONS.

Subdivision 1.

Department of Education.

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

Subd. 2.

Long-term maintenance equalization aid.

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

$
0
.....
2016
$
51,848,000
.....
2017

The 2017 appropriation includes $0 for 2016 and $51,848,000 for 2017.

Subd. 3.

Debt service equalization.

For debt service aid according to Minnesota
Statutes, section 123B.53, subdivision 6:

$
20,349,000
.....
2016
$
22,171,000
.....
2017

The 2016 appropriation includes $2,295,000 for 2015 and $18,054,000 for 2016.

The 2017 appropriation includes $2,005,000 for 2016 and $20,166,000 for 2017.

Subd. 4.

Alternative facilities bonding aid.

For alternative facilities bonding aid,
according to Minnesota Statutes, section 123B.59, subdivision 1:

$
19,287,000
.....
2016
$
1,928,000
.....
2017

The 2016 appropriation includes $1,928,000 for 2015 and $17,359,000 for 2016.

The 2017 appropriation includes $1,928,000 for 2016 and $0 for 2017.

Subd. 5.

Equity in telecommunications access.

For equity in telecommunications
access:

$
5,250,000
.....
2016
$
5,250,000
.....
2017

If the appropriation amount is insufficient, the commissioner shall reduce the
reimbursement rate in Minnesota Statutes, section 125B.26, subdivisions 4 and 5, and the
revenue for fiscal years 2016 and 2017 shall be prorated.

Any balance in the first year does not cancel but is available in the second year. The
base for this program in fiscal year 2018 is $3,750,000.

Subd. 6.

Deferred maintenance aid.

For deferred maintenance aid, according to
Minnesota Statutes, section 123B.591, subdivision 4:

$
3,520,000
.....
2016
$
345,000
.....
2017

The 2016 appropriation includes $409,000 for 2015 and $3,111,000 for 2016.

The 2017 appropriation includes $345,000 for 2016 and $0 for 2017.

Subd. 7.

Health and safety revenue.

For health and safety aid according to
Minnesota Statutes, section 123B.57, subdivision 5:

$
501,000
.....
2016
$
48,000
.....
2017

The 2016 appropriation includes $66,000 for 2015 and $435,000 for 2016.

The 2017 appropriation includes $48,000 for 2016 and $0 for 2017.

Subd. 8.

Information technology certification partnership.

For an information
technology certification partnership:

$
500,000
.....
2016
$
0
.....
2017

This is a onetime appropriation. Any balance in the first year does not cancel but is
available in the second year. Of this appropriation, five percent is for departmental costs
related to providing support for the information technology certification partnership.

Subd. 9.

Innovative Technology Cooperative.

For a grant to the Innovative
Technology Cooperative under Minnesota Statutes, section 123A.215, to provide
professional development related to technology:

$
150,000
.....
2016
$
150,000
.....
2017

Any balance in the first year does not cancel but is available in the second year. The base
for this program in fiscal year 2018 is $0.

Subd. 10.

Northwest mobile manufacturing lab.

For a grant to the Pine to Prairie
Cooperative Center:

$
100,000
.....
2016
$
100,000
.....
2017

The grant must be used to establish a northwest mobile manufacturing lab program,
containing two manufacturing labs and two welding labs, operated by Pine to Prairie
Cooperative Center in collaboration with Northland Community and Technical College.

Any balance in the first year does not cancel but is available in the second year. The
base for this program in fiscal year 2018 is $0.

Subd. 11.

Anoka-Hennepin School District fabrication lab.

For a grant
to Independent School District No. 11, Anoka-Hennepin, to purchase equipment
and software for a fabrication lab at its Secondary Technical Education Program in
collaboration with Anoka Technical College and private program partners.

$
100,000
.....
2016

Sec. 13. REPEALER.

Minnesota Statutes 2014, sections 123B.59; and 123B.591, are repealed.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2017 and
later.

ARTICLE 7

NUTRITION AND ACCOUNTING

Section 1.

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


Subd. 3.

Program reimbursement.

Each school year, the state must reimburse
each participating school 30 cents for each reduced-price breakfast, 55 cents for each
fully paid breakfast served to students in grades 1 2 to 12, and $1.30 for each fully paid
breakfast served to a students in kindergarten student to grade 1.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2017.

Sec. 2.

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


Subd. 4.

No fees.

A school that receives school breakfast aid under this section
must make breakfast available without charge to all participating students in grades 1 2
to 12 who qualify for free or reduced-price meals and to all students in kindergarten
students to grade 1.

EFFECTIVE DATE.

This section is effective for revenue in fiscal year 2017.

Sec. 3. COMMUNITY SERVICE FUND ACCOUNT TRANSFERS; BARNUM.

Notwithstanding any law to the contrary, on June 30 of each year from 2015 through
2018, Independent School District No. 91, Barnum, may transfer any positive account
balances between the reserve accounts for early childhood family education and school
readiness. The annual transfer may only occur after the school board has taken public
testimony on the proposed transfer and has adopted a written resolution authorizing the
transfer.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 4. FUND TRANSFER; FISCAL YEARS 2016 AND 2017.

(a) Notwithstanding Minnesota Statutes, section 123B.80, subdivision 3, for
fiscal years 2016 and 2017 only, the commissioner must approve a request for a fund
transfer if the transfer does not increase state aid obligations to the district or result in
additional property tax authority for the district. This section does not permit transfers
from the community service fund, the food service fund, or the reserved account for staff
development under Minnesota Statutes, section 122A.61.

(b) A school board may approve a fund transfer under paragraph (a) only after
adopting a resolution stating the fund transfer will not diminish instructional opportunities
for students.

EFFECTIVE DATE.

This section is effective July 1, 2015.

Sec. 5. APPROPRIATIONS.

Subdivision 1.

Department of Education.

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

Subd. 2.

School lunch.

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

$
15,661,000
.....
2016
$
15,818,000
.....
2017

Subd. 3.

School breakfast.

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

$
9,731,000
.....
2016
$
14,552,000
.....
2017

Subd. 4.

Kindergarten milk.

For kindergarten milk aid under Minnesota Statutes,
section 124D.118:

$
942,000
.....
2016
$
942,000
.....
2017

Subd. 5.

Summer school service replacement aid.

For summer food service
replacement aid under Minnesota Statutes, section 124D.119:

$
150,000
.....
2016
$
150,000
.....
2017

ARTICLE 8

LIBRARIES

Section 1.

Minnesota Statutes 2014, section 134.355, subdivision 5, is amended to read:


Subd. 5.

Base aid distribution.

Five Thirteen percent of the available aid funds
shall be paid to each system as base aid for basic system services.

EFFECTIVE DATE.

This section is effective July 1, 2015.

Sec. 2.

Minnesota Statutes 2014, section 134.355, subdivision 6, is amended to read:


Subd. 6.

Adjusted net tax capacity per capita distribution.

Twenty-five
Seventeen percent of the available aid funds shall be distributed to regional public library
systems based upon the adjusted net tax capacity per capita for each member county or
participating portion of a county as calculated for the second year preceding the fiscal year
for which aid is provided. Each system's entitlement shall be calculated as follows:

(a) Multiply the adjusted net tax capacity per capita for each county or participating
portion of a county by .0082.

(b) Add sufficient aid funds that are available under this subdivision to raise the
amount of the county or participating portion of a county with the lowest value calculated
according to paragraph (a) to the amount of the county or participating portion of a county
with the next highest value calculated according to paragraph (a). Multiply the amount of
the additional aid funds by the population of the county or participating portion of a county.

(c) Continue the process described in paragraph (b) by adding sufficient aid funds
that are available under this subdivision to the amount of a county or participating portion
of a county with the next highest value calculated in paragraph (a) to raise it and the
amount of counties and participating portions of counties with lower values calculated in
paragraph (a) up to the amount of the county or participating portion of a county with the
next highest value, until reaching an amount where funds available under this subdivision
are no longer sufficient to raise the amount of a county or participating portion of a county
and the amount of counties and participating portions of counties with lower values up to
the amount of the next highest county or participating portion of a county.

(d) If the point is reached using the process in paragraphs (b) and (c) at which the
remaining aid funds under this subdivision are not adequate for raising the amount of a
county or participating portion of a county and all counties and participating portions of
counties with amounts of lower value to the amount of the county or participating portion
of a county with the next highest value, those funds are to be divided on a per capita
basis for all counties or participating portions of counties that received aid funds under
the calculation in paragraphs (b) and (c).

EFFECTIVE DATE.

This section is effective July 1, 2015.

Sec. 3.

Minnesota Statutes 2014, section 134.355, subdivision 8, is amended to read:


Subd. 8.

Eligibility.

A regional public library system may apply for regional library
telecommunications aid. The aid must be used for data and video access maintenance,
equipment, or installation of telecommunication lines
on behalf of itself and member
public libraries. The aid must be used for connections and other eligible nonvoice related
E-rate Program category 1 services. Aid must be used for E-rate Program category 2
services as identified in the Federal Communications Commission's eligible services list
for the current and preceding four funding years, if sufficient funds remain once category
1 needs are met in each funding year
. To be eligible, a regional public library system must
be officially designated by the commissioner of education as a regional public library
system as defined in section 134.34, subdivision 3, and each of its participating cities and
counties must meet local support levels defined in section 134.34, subdivision 1. A public
library building that receives aid under this section must be open a minimum of 20 hours
per week. Exceptions to the minimum open hours requirement may be granted by the
Department of Education on request of the regional public library system for the following
circumstances: short-term closing for emergency maintenance and repairs following a
natural disaster; in response to exceptional economic circumstances; building repair or
maintenance that requires public services areas to be closed; or to adjust hours of public
service to respond to documented seasonal use patterns.

Sec. 4.

Minnesota Statutes 2014, section 134.355, subdivision 9, is amended to read:


Subd. 9.

Telecommunications aid.

An application for regional library
telecommunications aid must, at a minimum, contain information to document the
following:

(1) the connections are adequate and employ an open network architecture that
will ensure interconnectivity and interoperability with school districts, postsecondary
education, or other governmental agencies;

(2) that the connection is established through the most cost-effective means and that
the regional library has explored and coordinated connections through school districts,
postsecondary education, or other governmental agencies;

(3) that the regional library system has and all member libraries included in the
application have
filed or are included in an e-rate application; and

(4) other information, as determined by the commissioner of education, to ensure
that connections are coordinated, efficient, and cost-effective, take advantage of discounts,
and meet applicable state standards.

The library system may include costs associated with cooperative arrangements with
postsecondary institutions, school districts, and other governmental agencies.

Sec. 5.

Minnesota Statutes 2014, section 134.355, subdivision 10, is amended to read:


Subd. 10.

Award of funds.

The commissioner of education shall develop an
application and a reporting form and procedures for regional library telecommunications
aid. Aid shall be based on actual costs of, including, but not limited to, connections, as
documented in e-rate funding commitment decision letters for category 1 services and
acceptable documentation for category 2 services
and funds available for this purpose.
The commissioner shall make payments directly to the regional public library system.

Sec. 6. APPROPRIATIONS.

Subdivision 1.

Department of Education.

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

Subd. 2.

Regional library basic system support.

For regional library basic system
support aid under Minnesota Statutes, section 134.355:

$
14,920,000
.....
2016
$
15,070,000
.....
2017

The 2016 appropriation includes $1,357,000 for 2015 and $13,563,000 for 2016.

The 2017 appropriation includes $1,507,000 for 2016 and $13,563,000 for 2017.

Subd. 3.

Regional library telecommunications aid.

For regional library
telecommunications aid under Minnesota Statutes, section 134.355:

$
2,300,000
.....
2016
$
2,300,000
.....
2017

The 2016 appropriation includes $230,000 for 2015 and $2,070,000 for 2016.

The 2017 appropriation includes $230,000 for 2016 and $2,070,000 for 2017.

Subd. 4.

Multicounty, multitype library systems.

For aid under Minnesota
Statutes, sections 134.353 and 134.354, to multicounty, multitype library systems:

$
1,300,000
.....
2016
$
1,300,000
.....
2017

The 2016 appropriation includes $130,000 for 2015 and $1,170,000 for 2016.

The 2017 appropriation includes $130,000 for 2016 and $1,170,000 for 2017.

Subd. 5.

Electronic library for Minnesota.

For statewide licenses to online
databases selected in cooperation with the Minnesota Office of Higher Education for
school media centers, public libraries, state government agency libraries, and public
or private college or university libraries:

$
900,000
.....
2016
$
900,000
.....
2017

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

ARTICLE 9

EARLY CHILDHOOD EDUCATION

Section 1.

Minnesota Statutes 2014, section 124D.15, subdivision 3, is amended to read:


Subd. 3.

Program requirements.

(a) A school readiness program provider must:

(1) assess each child's cognitive and language skills with a comprehensive child
assessment instrument when the child enters and again before the child leaves the program
to improve program planning and implementation, communicate with parents, and
promote kindergarten readiness;

(2) provide comprehensive program content and intentional instructional practice
aligned with the state early childhood learning guidelines and kindergarten standards and
based on early childhood research and professional practice that is focused on children's
cognitive, social, emotional, and physical skills and development and prepares children
for the transition to kindergarten, including early literacy and language skills;

(3) at the option of the school board, offer at least 500 hours per year of program
content and instruction, including 50 summer hours, to each child who is eligible under
subdivision 15, clause (1), except that a program provider may establish a waiting list
consistent with subdivision 16 when funds are not available to serve every child eligible
under subdivision 15, clause (1);

(4) coordinate appropriate kindergarten transition with parents and kindergarten
teachers;

(4) (5) involve parents in program planning and decision making;

(5) (6) coordinate with relevant community-based services;

(6) (7) cooperate with adult basic education programs and other adult literacy
programs;

(7) (8) ensure staff-child ratios of one-to-ten and maximum group size of 20 children
with the first staff required to be a teacher; and

(8) (9) provide high-quality staff development in order to have teachers
knowledgeable in early childhood curriculum content, assessment, native and English
language development programs, and instruction.

(b) In order to receive aid under section 124D.16, a school readiness or preschool
program must ensure that all classroom teachers have a license issued by the Board of
Teaching or special permission by the 2019-2020 school year and later. Employees under
this section who have served as a school readiness or preschool teacher in a school district
for at least two years prior to the 2019-2020 school year are deemed to have completed
their student teaching requirement.

EFFECTIVE DATE.

This section is effective for fiscal year 2017 and later.

Sec. 2.

Minnesota Statutes 2014, section 124D.15, subdivision 5, is amended to read:


Subd. 5.

Services with new or existing providers.

A district may contract
with a charter school or community-based organization to provide eligible children
developmentally appropriate services that meet the program requirements in subdivision
3. In the alternative, a district may pay tuition or fees to place an eligible child in an
existing program. A district may establish a new program where no existing, reasonably
accessible program meets the program requirements in subdivision 3. Districts must
submit a copy of each contract to the commissioner with the biennial plan.
Services may
be provided in a site-based program or in the home of the child or a combination of both.
The district may not restrict participation to district residents.

EFFECTIVE DATE.

This section is effective for fiscal year 2017 and later.

Sec. 3.

Minnesota Statutes 2014, section 124D.15, subdivision 12, is amended to read:


Subd. 12.

Program fees.

A district must adopt a sliding fee schedule based on a
family's income but must waive a fee for a participant unable to pay. School districts must
use school readiness aid for eligible children. Children who do not meet the eligibility
requirements in subdivision 15 may participate on a fee-for-service basis. A fee may
not be charged for a four-year-old child eligible under subdivision 15, clause (1), who
is enrolled fewer than 500 hours per year.

EFFECTIVE DATE.

This section is effective for fiscal year 2017 and later.

Sec. 4.

Minnesota Statutes 2014, section 124D.15, subdivision 15, is amended to read:


Subd. 15.

Eligibility.

A child is eligible to participate in a school readiness program
if the child has completed health and developmental screening within 90 days of program
enrollment under sections 121A.16 to 121A.19, and
:

(1) is at least three years old on September 1 is at least four years old on September
1
; or

(2) has completed health and developmental screening within 90 days of program
enrollment under sections 121A.16 to 121A.19; and
is at least three years old on
September 1, and has one or more of the following risk factors:

(3) has one or more of the following risk factors:

(i) qualifies for free or reduced-price lunch;

(ii) is an English learner;

(iii) is homeless;

(iv) has an individualized education program (IEP) or an individual interagency
intervention plan (IIIP);

(v) is identified, through health and developmental screenings under sections
121A.16 to 121A.19, with a potential risk factor that may influence learning; or

(vi) is defined as at-risk by the school district.

EFFECTIVE DATE.

This section is effective for fiscal year 2017 and later.

Sec. 5.

Minnesota Statutes 2014, section 124D.15, is amended by adding a subdivision
to read:


Subd. 16.

Waiting list.

A program that has eligible children on a waiting list must
give enrollment priority to children eligible under subdivision 15, clause (2).

EFFECTIVE DATE.

This section is effective for revenue for fiscal year 2017
and later.

Sec. 6.

Minnesota Statutes 2014, section 124D.16, subdivision 2, is amended to read:


Subd. 2.

Amount of aid.

(a) A district is eligible to receive school readiness aid
for eligible prekindergarten pupils enrolled in a school readiness program under section
124D.15 if the biennial plan required by section 124D.15, subdivision 3a, has been
approved by the commissioner.

(b) A district must receive school readiness aid equal to:

(1) the number of four-year-old children in the district on October 1 for the previous
school year times the ratio of 50 percent of the total school readiness aid for that year to
the total number of four-year-old children reported to the commissioner for the previous
school year; plus

(2) the number of pupils enrolled in the school district from families eligible for the
free or reduced school lunch program for the previous school year times the ratio of
50 percent of the total school readiness aid for that year to the total number of pupils
in the state from families eligible for the free or reduced school lunch program for the
previous school year.

(c) For fiscal year 2016, the total school readiness aid entitlement equals
$21,058,000. For fiscal year 2017, the total school readiness aid entitlement equals
$74,516,000.
For fiscal year 2015 2018 and later, the total school readiness aid entitlement
equals $12,170,000 $74,152,000.

(d) Aid for a district that does not offer the program described under section
124D.15, subdivision 3, must be reduced by 80 percent and the reduction reallocated
among all other districts.

EFFECTIVE DATE.

This section is effective for revenue for fiscal year 2016
and later.

Sec. 7.

Minnesota Statutes 2014, section 124D.165, subdivision 2, is amended to read:


Subd. 2.

Family eligibility.

(a) For a family to receive an early learning scholarship,
parents or guardians must meet the following eligibility requirements:

(1) have a child three or four years of age on September 1 of the current school year,
who has not yet started kindergarten; and

(2) have income equal to or less than 185 percent of federal poverty level income
in the current calendar year, or be able to document their child's current participation in
the free and reduced-price lunch program or child and adult care food program, National
School Lunch Act, United States Code, title 42, sections 1751 and 1766; the Food
Distribution Program on Indian Reservations, Food and Nutrition Act, United States
Code, title 7, sections 2011-2036; Head Start under the federal Improving Head Start for
School Readiness Act of 2007; Minnesota family investment program under chapter 256J;
child care assistance programs under chapter 119B; the supplemental nutrition assistance
program; or placement in foster care under section 260C.212.

(b) Notwithstanding the other provisions of this section, a parent under age 21 who
is pursuing a high school or general education equivalency diploma is eligible for an early
learning scholarship if the parent has a child age zero to five years old and meets the
income eligibility guidelines in this subdivision.

(c) Any siblings between the ages zero to five years old of a child who has been
awarded a scholarship under this section must be awarded a scholarship upon request,
provided the sibling attends the same program as long as funds are available.

(d) A child who has received a scholarship under this section must continue to
receive a scholarship each year until that child is eligible for kindergarten under section
120A.20 and as long as funds are available.

(e) Early learning scholarships may not be counted as earned income for the
purposes of medical assistance under chapter 256B, MinnesotaCare under chapter 256L,
Minnesota family investment program under chapter 256J, child care assistance programs
under chapter 119B, or Head Start under the federal Improving Head Start for School
Readiness Act of 2007.

(f) A child from an adjoining state whose family resides at a Minnesota address as
assigned by the United States Postal Service, who has received developmental screening
under sections 121A.16 to 121A.19, who intends to enroll in a Minnesota school district,
and whose family meets the criteria of paragraph (a) is eligible for an early learning
scholarship under this section.

EFFECTIVE DATE.

This section is effective July 1, 2015.

Sec. 8. STUDY OF EARLY CHILDHOOD EFFECTIVENESS ON THIRD
GRADE LITERACY.

The Department of Education must study and, using valid student assessment data,
report annually on the effect of public school-provided preschool, public school-provided
all-day kindergarten, Head Start, and any federally- or state-funded early learning
scholarships on the literacy rates of public school third grade students. An initial report shall
be provided on February 1, 2017, and annually thereafter to the chairs and ranking minority
members of committees of the legislature having jurisdiction over early childhood through
grade 12 education. The department must use existing staff and resources for the report.

Sec. 9. APPROPRIATIONS.

Subdivision 1.

Department of Education.

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

Subd. 2.

School readiness.

For revenue for school readiness programs under
Minnesota Statutes, sections 124D.15 and 124D.16:

$
20,170,000
.....
2016
$
69,170,000
.....
2017

The 2016 appropriation includes $1,217,000 for 2015 and $18,953,000 for 2016.

The 2017 appropriation includes $2,105,000 for 2016 and $67,065,000 for 2017.

Subd. 3.

Early learning scholarships.

For the early learning scholarship program
under Minnesota Statutes, section 124D.165:

$
30,384,000
.....
2016
$
30,384,000
.....
2017

Up to $950,000 each year is for administration of this program.

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

Subd. 4.

Head Start program.

For Head Start programs under Minnesota Statutes,
section 119A.52:

$
22,100,000
.....
2016
$
22,100,000
.....
2017

Subd. 5.

Early childhood family education aid.

For early childhood family
education aid under Minnesota Statutes, section 124D.135:

$
27,997,000
.....
2016
$
28,984,000
.....
2017

The 2016 appropriation includes $2,713,000 for 2015 and $25,284,000 for 2016.

The 2017 appropriation includes $2,809,000 for 2016 and $26,175,000 for 2017.

Subd. 6.

Developmental screening aid.

For developmental screening aid under
Minnesota Statutes, sections 121A.17 and 121A.19:

$
3,363,000
.....
2016
$
3,369,000
.....
2017

The 2016 appropriation includes $338,000 for 2015 and $3,025,000 for 2016.

The 2017 appropriation includes $336,000 for 2016 and $3,033,000 for 2017.

Subd. 7.

Parent-child home program.

For a grant to the parent-child home
program:

$
500,000
.....
2016
$
500,000
.....
2017

The grant must be used for an evidence-based and research-validated early childhood
literacy and school readiness program for children ages 16 months to four years at its
existing program locations. The base for fiscal year 2018 and later is $350,000

Subd. 8.

Kindergarten entrance assessment initiative and intervention
program.

For the kindergarten entrance assessment initiative and intervention program
under Minnesota Statutes, section 124D.162:

$
281,000
.....
2016
$
281,000
.....
2017

Subd. 9.

Early childhood programs at tribal schools.

For early childhood family
education programs at tribal contract schools under Minnesota Statutes, section 124D.83,
subdivision 4:

$
68,000
.....
2016
$
68,000
.....
2017

Subd. 10.

Educate parents partnership.

For the educate parents partnership
under Minnesota Statutes, section 124D.129:

$
49,000
.....
2016
$
49,000
.....
2017

ARTICLE 10

PREVENTION

Section 1.

Minnesota Statutes 2014, section 121A.17, subdivision 3, is amended to read:


Subd. 3.

Screening program.

(a) A screening program must include at least the
following components: developmental assessments, hearing and vision screening or
referral, immunization review and referral, the child's height and weight, the date of the
child's most recent comprehensive vision examination, if any
, identification of risk factors
that may influence learning, an interview with the parent about the child, and referral for
assessment, diagnosis, and treatment when potential needs are identified. The district and
the person performing or supervising the screening must provide a parent or guardian
with clear written notice that the parent or guardian may decline to answer questions
or provide information about family circumstances that might affect development and
identification of risk factors that may influence learning. The notice must state "Early
childhood developmental screening helps a school district identify children who may
benefit from district and community resources available to help in their development.
Early childhood developmental screening includes a vision screening that helps detect
potential eye problems but is not a substitute for a comprehensive eye exam." The notice
must clearly state that declining to answer questions or provide information does not
prevent the child from being enrolled in kindergarten or first grade if all other screening
components are met. If a parent or guardian is not able to read and comprehend the written
notice, the district and the person performing or supervising the screening must convey
the information in another manner. The notice must also inform the parent or guardian
that a child need not submit to the district screening program if the child's health records
indicate to the school that the child has received comparable developmental screening
performed within the preceding 365 days by a public or private health care organization or
individual health care provider. The notice must be given to a parent or guardian at the
time the district initially provides information to the parent or guardian about screening
and must be given again at the screening location.

(b) All screening components shall be consistent with the standards of the state
commissioner of health for early developmental screening programs. A developmental
screening program must not provide laboratory tests or a physical examination to any
child. The district must request from the public or private health care organization or the
individual health care provider the results of any laboratory test or physical examination
within the 12 months preceding a child's scheduled screening. For the purposes of this
section, "comprehensive vision examination" means a vision examination performed by
an optometrist or ophthalmologist.

(c) If a child is without health coverage, the school district must refer the child to an
appropriate health care provider.

(d) A board may offer additional components such as nutritional, physical and
dental assessments, review of family circumstances that might affect development, blood
pressure, laboratory tests, and health history.

(e) If a statement signed by the child's parent or guardian is submitted to the
administrator or other person having general control and supervision of the school that
the child has not been screened because of conscientiously held beliefs of the parent
or guardian, the screening is not required.

Sec. 2.

Minnesota Statutes 2014, section 121A.17, subdivision 5, is amended to read:


Subd. 5.

Developmental screening program information.

(a) The board must
inform each resident family with a child eligible to participate in the developmental
screening program, and a charter school that provides screening must inform families
that apply for admission to the charter school, about the availability of the program and
the state's requirement that a child receive a developmental screening or provide health
records indicating that the child received a comparable developmental screening from a
public or private health care organization or individual health care provider not later than
30 days after the first day of attending kindergarten in a public school. A school district
must inform all resident families with eligible children under age seven, and a charter
school that provides screening must inform families that apply for admission to the charter
school, that their children may receive a developmental screening conducted either by the
school district or by a public or private health care organization or individual health care
provider and that the screening is not required if a statement signed by the child's parent
or guardian is submitted to the administrator or other person having general control and
supervision of the school that the child has not been screened.

(b) A school district that enrolls students from an adjoining state under section
124D.041 may inform a nonresident child whose family resides at a Minnesota address as
assigned by the United States Postal Service about the availability of the developmental
screening program and may provide screening under this section to that child.

EFFECTIVE DATE.

This section is effective for revenue for fiscal year 2016
and later.

Sec. 3.

Minnesota Statutes 2014, section 124D.20, subdivision 4a, is amended to read:


Subd. 4a.

Youth after-school enrichment revenue.

In fiscal year 2003 and
thereafter,
Youth after-school enrichment revenue for a district operating a youth
after-school enrichment program under section 124D.19, subdivision 12, equals:

(1) $1.85 $2.37 times the greater of 1,335 or the population of the district, as defined
in section 275.14, not to exceed 10,000; and

(2) $0.43 $0.55 times the population of the district, as defined in section 275.14,
in excess of 10,000. Youth after-school enrichment revenue must be reserved for youth
after-school enrichment programs.

EFFECTIVE DATE.

This section is effective for revenue for fiscal year 2017
and later.

Sec. 4. AFTER-SCHOOL COMMUNITY LEARNING GRANTS.

Subdivision 1.

Grant program established.

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

Subd. 2.

Application.

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

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

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

(3) encouraging attendance and improving performance in school.

Subd. 3.

Grant awards.

To the extent practicable, the selection of applicants
shall result in an equitable distribution of grant awards among geographic areas within
Minnesota, including rural, suburban, and urban communities. The commissioner shall
also give priority to programs that collaborate with and leverage existing community
resources that have demonstrated effectiveness. Applicants selected as grantees are
eligible to receive a two-year grant, contingent upon satisfactory progress toward goals
and objectives and the availability of funds.

Sec. 5. COMPREHENSIVE VISION EXAMINATION REPORT.

By January 15, 2017, the commissioner must submit to the committees of the
legislature with jurisdiction over kindergarten through grade 12 education a report
describing the number and proportion of children in each school district who report having
had a comprehensive vision examination, disaggregated by age at the time of early
childhood developmental screening under Minnesota Statutes, section 121A.17.

Sec. 6. APPROPRIATION.

Subdivision 1.

Department of Education.

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

Subd. 2.

Community education aid.

For community education aid under
Minnesota Statutes, section 124D.20:

$
788,000
.....
2016
$
777,000
.....
2017

The 2016 appropriation includes $107,000 for 2015 and $681,000 for 2016.

The 2017 appropriation includes $75,000 for 2016 and $702,000 for 2017.

Subd. 3.

Northside Achievement Zone.

For a grant to the Northside Achievement
Zone.

$
650,000
.....
2016
$
650,000
.....
2017

Funds appropriated in this section are to reduce multigenerational poverty and the
educational achievement gap through increased enrollment of families within the zone,
and may be used for Northside Achievement Zone programming and services consistent
with federal Promise Neighborhood program agreements and requirements.

Subd. 4.

St. Paul Promise Neighborhood.

For a grant to the St. Paul Promise
Neighborhood.

$
650,000
.....
2016
$
650,000
.....
2017

Funds appropriated in this section are to reduce multigenerational poverty and the
educational achievement gap through increased enrollment of families within the zone,
and may be used for St. Paul Promise Neighborhood programming and services consistent
with federal Promise Neighborhood program agreements and requirements.

Subd. 5.

After-school community learning grants.

For after-school community
learning grants under section 1:

$
500,000
.....
2016
$
500,000
.....
2017

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

This is a onetime appropriation. Any balance in the first year does not cancel, but
is available in the second year.

Subd. 6.

Adults with disabilities program aid.

For adults with disabilities
programs under Minnesota Statutes, section 124D.56:

$
710,000
.....
2016
$
710,000
.....
2017

The 2016 appropriation includes $71,000 for 2015 and $639,000 for 2016.

The 2017 appropriation includes $71,000 for 2016 and $639,000 for 2017.

Subd. 7.

Hearing-impaired adults.

For programs for hearing-impaired adults
under Minnesota Statutes, section 124D.57:

$
70,000
.....
2016
$
70,000
.....
2017

Subd. 8.

School-age care revenue.

For extended day aid under Minnesota Statutes,
section 124D.22:

$
1,000
.....
2016
$
1,000
.....
2017

The 2016 appropriation includes $0 for 2015 and $1,000 for 2016.

The 2017 appropriation includes $0 for 2016 and $1,000 for 2017.

ARTICLE 11

SELF-SUFFICIENCY AND LIFELONG LEARNING

Section 1. APPROPRIATIONS.

Subdivision 1.

Department of Education.

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

Subd. 2.

Adult basic education aid.

For adult basic education aid under Minnesota
Statutes, section 124D.531:

$
49,118,000
.....
2016
$
50,592,000
.....
2017

The 2016 appropriation includes $4,782,000 for 2015 and $44,336,000 for 2016.

The 2017 appropriation includes $4,926,000 for 2016 and $45,666,000 for 2017.

Subd. 3.

GED tests.

For payment of 60 percent of the costs of GED tests under
Minnesota Statutes, section 124D.55:

$
125,000
.....
2016
$
125,000
.....
2017

ARTICLE 12

STATE AGENCIES

Section 1.

Minnesota Statutes 2014, section 5A.03, is amended to read:


5A.03 ORGANIZATION APPLICATION FOR REGISTRATION.

Subdivision 1.

Placing high school students in Minnesota.

(a) An application for
registration as an international student exchange visitor placement organization must be
submitted in the form prescribed by the secretary of state. The application must include:

(1) evidence that the organization meets the standards established by the secretary of
state by rule;

(2) the name, address, and telephone number of the organization, its chief executive
officer, and the person within the organization who has primary responsibility for
supervising placements within the state;

(3) the organization's unified business identification number, if any;

(4) the organization's Office of Exchange Coordination and Designation, United
States Department of State number, if any;

(5) evidence of Council on Standards for International Educational Travel listing, if
any;

(6) whether the organization is exempt from federal income tax; and

(7) a list of the organization's placements in Minnesota for the previous academic
year including the number of students placed, their home countries, the school districts in
which they were placed, and the length of their placements.

(b) The application must be signed by the chief executive officer of the organization
and the person within the organization who has primary responsibility for supervising
placements within Minnesota. If the secretary of state determines that the application is
complete, the secretary of state shall file the application and the applicant is registered.

(c) Organizations that have registered shall inform the secretary of state of any
changes in the information required under paragraph (a), clause (1), within 30 days of the
change. There is no fee to amend a registration.

(d) Registration under this chapter is valid for one year. The registration may be
renewed annually. The fee to renew a registration is $50 per year.

(e) Organizations registering for the first time in Minnesota must pay an initial
registration fee of $150.

(f) Fees collected by the secretary of state under this section must be deposited in the
state treasury and credited to the general fund.

Subd. 2.

Placing Minnesota students in travel abroad programs.

(a) A school
district or charter school with enrolled students who participate in a foreign exchange or
study or other travel abroad program under a written agreement between the district or
charter school and the program provider must use a form developed by the Department
of Education to annually report to the department by November 1 the following data
from the previous school year:

(1) the number of Minnesota student deaths that occurred while Minnesota students
were participating in the foreign exchange or study or other travel abroad program and
that resulted from Minnesota students participating in the program;

(2) the number of Minnesota students hospitalized due to accidents and the illnesses
that occurred while Minnesota students were participating in the foreign exchange or study
or other travel abroad program and that resulted from Minnesota students participating
in the program; and

(3) the name and type of the foreign exchange or study or other travel abroad
program and the city or region where the reported death, hospitalization due to accident,
or the illness occurred.

(b) School districts and charter schools must ask but must not require enrolled
eligible students and the parents or guardians of other enrolled students who complete
a foreign exchange or study or other travel abroad program to disclose the information
under paragraph (a).

(c) When reporting the data under paragraph (a), a school district or charter school
may supplement the data with a brief explanatory statement. The Department of Education
annually must aggregate and publish the reported data on the department Web site in
a format that facilitates public access to the aggregated data and include links to both
the United States Department of State's Consular Information Program that informs the
public of conditions abroad that may affect students' safety and security and the publicly
available reports on sexual assaults and other criminal acts affecting students participating
in a foreign exchange or study or other travel abroad program.

(d) School districts and charter schools with enrolled students who participate in
foreign exchange or study or other travel abroad programs under a written agreement
between the district or charter school and the program provider are encouraged to adopt
policies supporting the programs and to include program standards in their policies to
ensure students' health and safety.

(e) To be eligible under this subdivision to provide a foreign exchange or study or
other travel abroad program to Minnesota students enrolled in a school district or charter
school, a program provider annually must register with the secretary of state and provide
the following information on a form developed by the secretary of state: the name,
address, and telephone number of the program provider, its chief executive officer, and
the person within the provider's organization who is primarily responsible for supervising
programs within the state; the program provider's unified business identification number,
if any; whether the program provider is exempt from federal income tax; a list of the
program provider's placements in foreign countries for the previous school year including
the number of Minnesota students placed, where Minnesota students were placed, and
the length of their placement; the terms and limits of the medical and accident insurance
available to cover participating students and the process for filing a claim; and the
signatures of the program provider's chief executive officer and the person primarily
responsible for supervising Minnesota students' placements in foreign countries. If the
secretary of state determines the registration is complete, the secretary of state shall file the
registration and the program provider is registered. Registration with the secretary of state
must not be considered or represented as an endorsement of the program provider by the
secretary of state. The secretary of state annually must publish on its Web site aggregated
data under paragraph (c) received from the Department of Education.

(f) Program providers, annually by August 1, must provide the data required under
paragraph (a), clauses (1) to (3), to the districts and charter schools with enrolled students
participating in the provider's program.

(g) The Department of Education must publish the information it has under
paragraph (c), but it is not responsible for any errors or omissions in the information
provided to it by a school district or charter school. A school district or charter school is
not responsible for omissions in the information provided to it by students and programs.

EFFECTIVE DATE.

This section is effective for the 2015-2016 school year and
later.

Sec. 2.

Minnesota Statutes 2014, section 122A.18, subdivision 8, is amended to read:


Subd. 8.

Background checks.

(a) The Board of Teaching and the commissioner
of education must request a criminal history background check from the superintendent
of the Bureau of Criminal Apprehension on all applicants for initial licenses under their
jurisdiction. An application for a license under this section must be accompanied by:

(1) an executed criminal history consent form, including fingerprints; and

(2) a money order or cashier's check payable to the Bureau of Criminal Apprehension
for the fee for conducting the
payment to conduct a criminal history background check.
Proceeds from this fee are annually appropriated to the commissioner for costs associated
with processing licensure applications.

(b) The superintendent of the Bureau of Criminal Apprehension shall perform the
background check required under paragraph (a) by retrieving criminal history data as
defined in section 13.87 and shall also conduct a search of the national criminal records
repository. The superintendent is authorized to exchange fingerprints with the Federal
Bureau of Investigation for purposes of the criminal history check. The superintendent
shall recover the cost to the bureau of a background check through the fee charged to
the applicant under paragraph (a).

(c) The Board of Teaching or the commissioner of education may issue a license
pending completion of a background check under this subdivision, but must notify
the individual that the individual's license may be revoked based on the result of the
background check.

Sec. 3. RULEMAKING AUTHORITY.

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

(1) have fewer requirements than the full license in the discipline;

(2) set the specific qualifications required to attain it; and

(3) maintain professional standards for teaching in that discipline.

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

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

(2) emerging disciplines where full licenses or licensure programs do not exist.

Sec. 4. APPROPRIATIONS; DEPARTMENT OF EDUCATION.

Subdivision 1.

Department of Education.

Unless otherwise indicated, the sums
indicated in this section are appropriated from the general fund to the Department of
Education for the fiscal years designated.

Subd. 2.

Department.

(a) For the Department of Education:

$
21,521,000
.....
2016
$
21,650,000
.....
2017

Of these amounts:

(1) $1,020,000 in fiscal year 2016 and $768,000 in fiscal year 2017 are for the
Board of Teaching;

(2) $228,000 in fiscal year 2016 and $231,000 in fiscal year 2017 are for the Board
of School Administrators;

(3) $1,000,000 each year is for Regional Centers of Excellence under Minnesota
Statutes, section 120B.115;

(4) $500,000 each year is for the School Safety Technical Assistance Center under
Minnesota Statutes, section 127A.052;

(5) $250,000 each year is for the School Finance Division to enhance financial
data analysis;

(6) $20,000 in fiscal year 2016 only is for the commissioner to provide assessment
recommendations; and

(7) $5,000 in fiscal year 2016 only is for costs related to the Concurrent Enrollment
Working Group.

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

(c) None of the amounts appropriated under this subdivision may be used for
Minnesota's Washington, D.C. office.

(d) The expenditures of federal grants and aids as shown in the biennial budget
document and its supplements are approved and appropriated and shall be spent as
indicated.

(e) This appropriation includes funds for information technology project services and
support subject to the provisions of Minnesota Statutes, section 16E.0466. Any ongoing
information technology costs will be incorporated into the service level agreement and
will be paid to the Office of MN.IT Services by the Department of Education under the
rates and mechanism specified in that agreement.

(f) The agency's base budget in fiscal year 2018 is $21,470,000. The agency's base
budget in fiscal year 2019 is $21,425,000.

Sec. 5. APPROPRIATIONS; MINNESOTA STATE ACADEMIES.

(a) The sums indicated in this section are appropriated from the general fund to the
Minnesota State Academies for the Deaf and the Blind for the fiscal years designated:

$
12,853,000
.....
2016
$
12,819,000
.....
2017

(b) Of the amounts appropriated in paragraph (a), $708,000 in fiscal year 2016 and
$490,000 in fiscal year 2017 are for technology enhancements and may be used for:
(1) computer hardware; (2) computer software; (3) connectivity, communications, and
infrastructure; (4) assistive technology; (5) access to electronic books and other online
materials, licenses, and subscriptions; and (6) technology staff and training costs.

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

(d) The agency's budget base in fiscal year 2018 is $12,804,000.

(e) The agency's budget base in fiscal year 2019 is $12,786,000.

Sec. 6. APPROPRIATIONS; PERPICH CENTER FOR ARTS EDUCATION.

(a) The sums in this section are appropriated from the general fund to the Perpich
Center for Arts Education for the fiscal years designated:

$
7,572,000
.....
2016
$
7,673,000
.....
2017

(b) Of the amounts appropriated in paragraph (a), $700,000 in fiscal year 2016 and
$700,000 in fiscal year 2017 are for continuing and expanding the arts integration networks
and piloting arts-integrated courses and additional rural regions with an online focus.

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

ARTICLE 13

FORECAST ADJUSTMENTS

A. GENERAL EDUCATION

Section 1.

Laws 2013, chapter 116, article 1, section 58, subdivision 2, as amended
by Laws 2013, chapter 144, section 7, and Laws 2014, chapter 312, article 15, section
26, is amended to read:


Subd. 2.

General education aid.

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

$
6,851,419,000
.....
2014
$
6,464,199,000
6,443,330,000
.....
2015

The 2014 appropriation includes $780,156,000 for 2013 and $6,071,263,000 for
2014.

The 2015 appropriation includes $589,095,000 $586,824,000 for 2014 and
$5,875,104,000 $5,856,506,000 for 2015.

Sec. 2.

Laws 2013, chapter 116, article 1, section 58, subdivision 3, as amended by
Laws 2014, chapter 312, article 22, section 1, is amended to read:


Subd. 3.

Enrollment options transportation.

For transportation of pupils attending
postsecondary institutions under Minnesota Statutes, section 124D.09, or for transportation
of pupils attending nonresident districts under Minnesota Statutes, section 124D.03:

$
37,000
.....
2014
$
40,000
36,000
.....
2015

Sec. 3.

Laws 2013, chapter 116, article 1, section 58, subdivision 4, as amended by
Laws 2014, chapter 312, article 22, section 2, is amended to read:


Subd. 4.

Abatement revenue.

For abatement aid under Minnesota Statutes, section
127A.49:

$
2,876,000
.....
2014
$
3,103,000
2,796,000
.....
2015

The 2014 appropriation includes $301,000 for 2013 and $2,575,000 for 2014.

The 2015 appropriation includes $286,000 for 2014 and $2,817,000 $2,510,000
for 2015.

Sec. 4.

Laws 2013, chapter 116, article 1, section 58, subdivision 5, as amended by
Laws 2014, chapter 312, article 22, section 3, is amended to read:


Subd. 5.

Consolidation transition.

For districts consolidating under Minnesota
Statutes, section 123A.485:

$
585,000
.....
2014
$
254,000
263,000
.....
2015

The 2014 appropriation includes $40,000 for 2013 and $545,000 for 2014.

The 2015 appropriation includes $60,000 for 2014 and $194,000 $203,000 for 2015.

Sec. 5.

Laws 2013, chapter 116, article 1, section 58, subdivision 6, as amended by
Laws 2014, chapter 312, article 15, section 27, is amended to read:


Subd. 6.

Nonpublic pupil education aid.

For nonpublic pupil education aid under
Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:

$
15,867,000
.....
2014
$
16,132,000
15,569,000
.....
2015

The 2014 appropriation includes $1,898,000 for 2013 and $13,969,000 for 2014.

The 2015 appropriation includes $1,552,000 $1,394,000 for 2014 and $14,580,000
$14,175,000 for 2015.

Sec. 6.

Laws 2013, chapter 116, article 1, section 58, subdivision 7, as amended by
Laws 2014, chapter 312, article 15, section 28, is amended to read:


Subd. 7.

Nonpublic pupil transportation.

For nonpublic pupil transportation aid
under Minnesota Statutes, section 123B.92, subdivision 9:

$
18,500,000
.....
2014
$
17,710,000
18,118,000
.....
2015

The 2014 appropriation includes $2,602,000 for 2013 and $15,898,000 for 2014.

The 2015 appropriation includes $1,766,000 for 2014 and $15,944,000 $16,352,000
for 2015.

Sec. 7.

Laws 2013, chapter 116, article 1, section 58, subdivision 11, as amended by
Laws 2014, chapter 312, article 22, section 4, is amended to read:


Subd. 11.

Career and technical aid.

For career and technical aid under Minnesota
Statutes, section 124D.4531, subdivision 1b:

$
3,959,000
.....
2014
$
5,172,000
5,617,000
.....
2015

The 2014 appropriation includes $0 for 2013 and $3,959,000 for 2014.

The 2015 appropriation includes $439,000 $445,000 for 2014 and $4,733,000
$5,172,000 for 2015.

B. EDUCATION EXCELLENCE

Sec. 8.

Laws 2013, chapter 116, article 3, section 37, subdivision 3, as amended by
Laws 2014, chapter 312, article 22, section 5, is amended to read:


Subd. 3.

Achievement and integration aid.

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

$
55,609,000
.....
2014
$
62,692,000
63,831,000
.....
2015

The 2014 appropriation includes $0 for 2013 and $55,609,000 for 2014.

The 2015 appropriation includes $6,178,000 $6,386,000 for 2014 and $56,514,000
$57,445,000 for 2015.

Sec. 9.

Laws 2013, chapter 116, article 3, section 37, subdivision 4, as amended by
Laws 2014, chapter 312, article 22, section 6, is amended to read:


Subd. 4.

Literacy incentive aid.

For literacy incentive aid under Minnesota
Statutes, section 124D.98:

$
50,998,000
.....
2014
$
47,458,000
44,839,000
.....
2015

The 2014 appropriation includes $6,607,000 for 2013 and $44,391,000 for 2014.

The 2015 appropriation includes $4,932,000 for 2014 and $42,526,000 $39,907,000
for 2015.

Sec. 10.

Laws 2013, chapter 116, article 3, section 37, subdivision 5, as amended by
Laws 2014, chapter 312, article 22, section 7, is amended to read:


Subd. 5.

Interdistrict desegregation or integration transportation grants.

For
interdistrict desegregation or integration transportation grants under Minnesota Statutes,
section 124D.87:

$
13,521,000
.....
2014
$
14,248,000
14,261,000
.....
2015

Sec. 11.

Laws 2013, chapter 116, article 3, section 37, subdivision 20, as amended by
Laws 2013, chapter 144, section 10, and Laws 2014, chapter 312, article 22, section 9,
is amended to read:


Subd. 20.

Alternative compensation.

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

$
71,599,000
69,899,000
.....
2015

The 2015 appropriation includes $0 for 2014 and $71,599,000 $69,899,000 for 2015.

C. CHARTER SCHOOLS

Sec. 12.

Laws 2013, chapter 116, article 4, section 9, subdivision 2, as amended by
Laws 2014, chapter 312, article 22, section 10, is amended to read:


Subd. 2.

Charter school building lease aid.

For building lease aid under Minnesota
Statutes, section 124D.11, subdivision 4:

$
54,625,000
.....
2014
$
58,294,000
59,565,000
.....
2015

The 2014 appropriation includes $6,681,000 for 2013 and $47,944,000 for 2014.

The 2015 appropriation includes $5,327,000 $5,270,000 for 2014 and $52,967,000
$54,295,000 for 2015.

D. SPECIAL PROGRAMS

Sec. 13.

Laws 2013, chapter 116, article 5, section 31, subdivision 2, as amended by
Laws 2013, chapter 144, section 14, and Laws 2014, chapter 312, article 22, section
11, is amended to read:


Subd. 2.

Special education; regular.

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

$
1,038,465,000
.....
2014
$
1,111,641,000
1,109,144,000
.....
2015

The 2014 appropriation includes $118,183,000 for 2013 and $920,282,000 for 2014.

The 2015 appropriation includes $129,549,000 $129,317,000 for 2014 and
$982,092,000 $979,827,000 for 2015.

Sec. 14.

Laws 2013, chapter 116, article 5, section 31, subdivision 3, as amended by
Laws 2014, chapter 312, article 22, section 12, is amended to read:


Subd. 3.

Aid for children with disabilities.

For aid under Minnesota Statutes,
section 125A.75, subdivision 3, for children with disabilities placed in residential facilities
within the district boundaries for whom no district of residence can be determined:

$
1,548,000
.....
2014
$
1,674,000
1,367,000
.....
2015

If the appropriation for either year is insufficient, the appropriation for the other
year is available.

Sec. 15.

Laws 2013, chapter 116, article 5, section 31, subdivision 4, as amended by
Laws 2014, chapter 312, article 22, section 13, is amended to read:


Subd. 4.

Travel for home-based services.

For aid for teacher travel for home-based
services under Minnesota Statutes, section 125A.75, subdivision 1:

$
351,000
.....
2014
$
346,000
351,000
.....
2015

The 2014 appropriation includes $45,000 for 2013 and $306,000 for 2014.

The 2015 appropriation includes $33,000 for 2014 and $313,000 $318,000 for 2015.

E. FACILITIES AND TECHNOLOGY

Sec. 16.

Laws 2013, chapter 116, article 6, section 12, subdivision 2, as amended by
Laws 2014, chapter 312, article 22, section 15, is amended to read:


Subd. 2.

Health and safety revenue.

For health and safety aid according to
Minnesota Statutes, section 123B.57, subdivision 5: