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Capital IconMinnesota Legislature

HF 2230

1st Engrossment - 92nd Legislature (2021 - 2022) Posted on 04/12/2021 05:02pm

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

Bill Text Versions

Engrossments
Introduction Posted on 03/15/2021
1st Engrossment Posted on 04/12/2021

Current Version - 1st Engrossment

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A bill for an act
relating to early childhood; making changes to child care assistance, child care
licensing, health and human services policies, and early education programs;
requiring reports; appropriating money; amending Minnesota Statutes 2020, sections
119A.52; 119B.03, subdivisions 4, 6; 119B.09, subdivision 4; 119B.11, subdivision
2a; 119B.125, subdivision 1; 119B.13, subdivisions 1, 1a, 6, 7; 119B.25,
subdivision 3; 124D.13, subdivision 2; 124D.142; 124D.151, subdivisions 2, 5,
6; 124D.162; 124D.165, subdivisions 2, 3; 126C.05, subdivisions 1, 3; 136A.128,
subdivisions 2, 4; 144.225, subdivision 2; 245A.14, subdivision 4; 245A.50,
subdivisions 7, 9; proposing coding for new law in Minnesota Statutes, chapters
119B; 122A; 124D; 245; repealing Minnesota Statutes 2020, sections 119B.04;
119B.125, subdivision 5; Laws 2017, First Special Session chapter 5, article 8,
section 9.

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

ARTICLE 1

CHILD CARE ASSISTANCE

Section 1.

Minnesota Statutes 2020, section 119B.03, subdivision 4, is amended to read:


Subd. 4.

Funding priority.

(a) First priority for child care assistance under the basic
sliding fee program must be given to eligible non-MFIP families who do not have a high
school diploma or commissioner of education-selected high school equivalency certification
or who need remedial and basic skill courses in order to pursue employment or to pursue
education leading to employment and who need child care assistance to participate in the
education program. This includes student parents as defined under section 119B.011,
subdivision 19b
. Within this priority, the following subpriorities must be used:

(1) child care needs of minor parents;

(2) child care needs of parents under 21 years of age; and

(3) child care needs of other parents within the priority group described in this paragraph.

(b) Second priority must be given to deleted text beginparents who have completed their MFIP or DWP
transition year, or parents who are no longer receiving or eligible for diversionary work
program supports
deleted text endnew text begin families in which at least one parent is a veteran, as defined under section
197.447
new text end.

(c) Third priority must be given to new text begineligible new text endfamilies who deleted text beginare eligible for portable basic
sliding fee assistance through the portability pool under subdivision 9
deleted text endnew text begin do not meet the
specifications of paragraph (a), (b), (d), or (e)
new text end.

(d) Fourth priority must be given to families deleted text beginin which at least one parent is a veteran as
defined under section 197.447
deleted text endnew text begin who are eligible for portable basic sliding fee assistance
through the portability pool under subdivision 9
new text end.

new text begin (e) Fifth priority must be given to eligible families receiving services under section
119B.011, subdivision 20a, if the parents have completed their MFIP or DWP transition
year, or if the parents are no longer receiving or eligible for DWP supports.
new text end

deleted text begin (e)deleted text endnew text begin (f)new text end Families under paragraph deleted text begin(b)deleted text endnew text begin (e)new text end must be added to the basic sliding fee waiting
list on the date they deleted text beginbegin thedeleted text endnew text begin complete theirnew text end transition year under section 119B.011,
subdivision 20
deleted text begin, and must be moved into the basic sliding fee program as soon as possible
after they complete their transition year
deleted text end.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2021.
new text end

Sec. 2.

Minnesota Statutes 2020, section 119B.03, subdivision 6, is amended to read:


Subd. 6.

Allocation formula.

The new text beginallocation component of new text endbasic sliding fee state and
federal funds shall be allocated on a calendar year basis. Funds shall be allocated first in
amounts equal to each county's guaranteed floor according to subdivision 8, with any
remaining available funds allocated according to the following formula:

(a) One-fourth of the funds shall be allocated in proportion to each county's total
expenditures for the basic sliding fee child care program reported during the most recent
fiscal year completed at the time of the notice of allocation.

(b) Up to one-fourth of the funds shall be allocated in proportion to the number of families
participating in the transition year child care program as reported during and averaged over
the most recent six months completed at the time of the notice of allocation. Funds in excess
of the amount necessary to serve all families in this category shall be allocated according
to paragraph deleted text begin(f)deleted text endnew text begin (e)new text end.

deleted text begin (c) Up to one-fourth of the funds shall be allocated in proportion to the average of each
county's most recent six months of reported first, second, and third priority waiting list as
defined in subdivision 2 and the reinstatement list of those families whose assistance was
terminated with the approval of the commissioner under Minnesota Rules, part 3400.0183,
subpart 1. Funds in excess of the amount necessary to serve all families in this category
shall be allocated according to paragraph (f).
deleted text end

deleted text begin (d)deleted text endnew text begin (c)new text end Up to deleted text beginone-fourthdeleted text endnew text begin one-halfnew text end of the funds shall be allocated in proportion to the
average of each county's most recent deleted text beginsixdeleted text endnew text begin 12new text end months of reported waiting list as defined in
subdivision 2 and the reinstatement list of those families whose assistance was terminated
with the approval of the commissioner under Minnesota Rules, part 3400.0183, subpart 1.
Funds in excess of the amount necessary to serve all families in this category shall be
allocated according to paragraph deleted text begin(f)deleted text endnew text begin (e)new text end.

deleted text begin (e)deleted text endnew text begin (d)new text end The amount necessary to serve all families in paragraphs (b)deleted text begin, (c),deleted text end and deleted text begin(d)deleted text endnew text begin (c)new text end shall
be calculated based on the basic sliding fee average cost of care per family in the county
with the highest cost in the most recently completed calendar year.

deleted text begin (f)deleted text endnew text begin (e)new text end Funds in excess of the amount necessary to serve all families in paragraphs (b)deleted text begin,
(c),
deleted text end and deleted text begin(d)deleted text endnew text begin (c)new text end shall be allocated in proportion to each county's total expenditures for the
basic sliding fee child care program reported during the most recent fiscal year completed
at the time of the notice of allocation.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2022. The 2022 calendar year
shall be a phase-in year for the allocation formula in this section using phase-in provisions
determined by the commissioner of human services.
new text end

Sec. 3.

Minnesota Statutes 2020, section 119B.09, subdivision 4, is amended to read:


Subd. 4.

Eligibility; annual income; calculation.

(a) Annual income of the applicant
family is the current monthly income of the family multiplied by 12 or the income for the
12-month period immediately preceding the date of application, or income calculated by
the method which provides the most accurate assessment of income available to the family.

(b) Self-employment income must be calculated based on gross receipts less operating
expenses.

(c) Income changes are processed under section 119B.025, subdivision 4. Included lump
sums counted as income under section deleted text begin256P.06, subdivision 3deleted text endnew text begin 119B.011, subdivision 15new text end,
must be annualized over 12 months. Income must be verified with documentary evidence.
If the applicant does not have sufficient evidence of income, verification must be obtained
from the source of the income.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective March 1, 2023.
new text end

Sec. 4.

Minnesota Statutes 2020, section 119B.11, subdivision 2a, is amended to read:


Subd. 2a.

Recovery of overpayments.

(a) An amount of child care assistance paid to a
recipient new text beginor provider new text endin excess of the payment due is recoverable by the county agency new text beginor
commissioner
new text endunder paragraphs (b) and (c), even when the overpayment was caused by
agency error or circumstances outside the responsibility and control of the family or provider.

(b) An overpayment must be recouped or recovered from the family if the overpayment
benefited the family by causing the family to pay less for child care expenses than the family
otherwise would have been required to pay under child care assistance program requirements.
If the family remains eligible for child care assistance, the overpayment must be recovered
through recoupment as identified in Minnesota Rules, part 3400.0187, except that the
overpayments must be calculated and collected on a service period basis. If the family no
longer remains eligible for child care assistance, the county new text beginor commissioner new text endmay choose
to initiate efforts to recover overpayments from the family for overpayment less than $50.
If the overpayment is greater than or equal to $50, the county new text beginor commissioner new text endshall seek
voluntary repayment of the overpayment from the family. If the county new text beginor commissioner new text endis
unable to recoup the overpayment through voluntary repayment, the county new text beginor commissioner
new text end shall initiate civil court proceedings to recover the overpayment unless the county'snew text begin or
commissioner's
new text end costs to recover the overpayment will exceed the amount of the overpayment.
A family with an outstanding debt under this subdivision is not eligible for child care
assistance until: (1) the debt is paid in full; deleted text beginordeleted text end (2) satisfactory arrangements are made with
the county new text beginor commissioner new text endto retire the debt consistent with the requirements of this chapter
and Minnesota Rules, chapter 3400, and the family is in compliance with the arrangementsnew text begin;
or (3) the commissioner determines that it is in the best interests of the state to compromise
debts owed to the state pursuant to section 16D.15
new text end. new text beginThe commissioner's authority to recoup
and recover overpayments from families in this paragraph is limited to investigations
conducted under chapter 245E.
new text end

(c) The county new text beginor commissioner new text endmust recover an overpayment from a provider if the
overpayment did not benefit the family by causing it to receive more child care assistance
or to pay less for child care expenses than the family otherwise would have been eligible
to receive or required to pay under child care assistance program requirements, and benefited
the provider by causing the provider to receive more child care assistance than otherwise
would have been paid on the family's behalf under child care assistance program
requirements. If the provider continues to care for children receiving child care assistance,
the overpayment must be recovered through deleted text beginreductions in child care assistance payments
for services as described in an agreement with the county
deleted text endnew text begin recoupment as identified in
Minnesota Rules, part 3400.0187
new text end. The provider may not charge families using that provider
more to cover the cost of recouping the overpayment. If the provider no longer cares for
children receiving child care assistance, the county new text beginor commissioner new text endmay choose to initiate
efforts to recover overpayments of less than $50 from the provider. If the overpayment is
greater than or equal to $50, the county new text beginor commissioner new text endshall seek voluntary repayment
of the overpayment from the provider. If the county new text beginor commissioner new text endis unable to recoup
the overpayment through voluntary repayment, the county new text beginor commissioner new text endshall initiate
civil court proceedings to recover the overpayment unless the county'snew text begin or commissioner'snew text end
costs to recover the overpayment will exceed the amount of the overpayment. A provider
with an outstanding debt under this subdivision is not eligible to care for children receiving
child care assistance until:

(1) the debt is paid in full; deleted text beginor
deleted text end

(2) satisfactory arrangements are made with the county new text beginor commissioner new text endto retire the
debt consistent with the requirements of this chapter and Minnesota Rules, chapter 3400,
and the provider is in compliance with the arrangementsdeleted text begin.deleted text endnew text begin; or
new text end

new text begin (3) the commissioner determines that it is in the best interests of the state to compromise
debts owed to the state pursuant to section 16D.15.
new text end

(d) When both the family and the provider acted together to intentionally cause the
overpayment, both the family and the provider are jointly liable for the overpayment
regardless of who benefited from the overpayment. The county new text beginor commissioner new text endmust
recover the overpayment as provided in paragraphs (b) and (c). When the family or the
provider is in compliance with a repayment agreement, the party in compliance is eligible
to receive child care assistance or to care for children receiving child care assistance despite
the other party's noncompliance with repayment arrangements.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective August 1, 2021.
new text end

Sec. 5.

Minnesota Statutes 2020, section 119B.125, subdivision 1, is amended to read:


Subdivision 1.

Authorization.

deleted text beginExcept as provided in subdivision 5,deleted text end A county or the
commissioner must authorize the provider chosen by an applicant or a participant before
the county can authorize payment for care provided by that provider. The commissioner
must establish the requirements necessary for authorization of providers. A provider must
be reauthorized every two years. A legal, nonlicensed family child care provider also must
be reauthorized when another person over the age of 13 joins the household, a current
household member turns 13, or there is reason to believe that a household member has a
factor that prevents authorization. The provider is required to report all family changes that
would require reauthorization. When a provider has been authorized for payment for
providing care for families in more than one county, the county responsible for
reauthorization of that provider is the county of the family with a current authorization for
that provider and who has used the provider for the longest length of time.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective August 1, 2021.
new text end

Sec. 6.

Minnesota Statutes 2020, section 119B.13, subdivision 1, is amended to read:


Subdivision 1.

Subsidy restrictions.

(a) The maximum rate paid for child care assistance
in any county or county price cluster under the child care fund shall be deleted text beginthe greater of the
25th percentile of the 2018 child care provider rate survey or the rates in effect at the time
of the update.
deleted text endnew text begin set in accordance with rates and policies established by the commissioner,
dependent on federal funds, and consistent with federal law, up to a maximum of the 75th
percentile of the most recent child care provider rate survey, but in no event shall the
maximum rate be less than the greater of the 50th percentile of the most recent child care
provider rate survey or the rates in effect at the time of the update. The rate increase is
effective no later than the first full service period on or after January 1 of the year following
the provider rate survey.
new text end For a child care provider located within the boundaries of a city
located in two or more of the counties of Benton, Sherburne, and Stearns, the maximum
rate paid for child care assistance shall be equal to the maximum rate paid in the county
with the highest maximum reimbursement rates or the provider's charge, whichever is less.
The commissioner may: (1) assign a county with no reported provider prices to a similar
price cluster; and (2) consider county level access when determining final price clusters.

(b) A rate which includes a special needs rate paid under subdivision 3 may be in excess
of the maximum rate allowed under this subdivision.

(c) The department shall monitor the effect of this paragraph on provider rates. The
county shall pay the provider's full charges for every child in care up to the maximum
established. The commissioner shall determine the maximum rate for each type of care on
an hourly, full-day, and weekly basis, including special needs and disability care.

(d) If a child uses one provider, the maximum payment for one day of care must not
exceed the daily rate. The maximum payment for one week of care must not exceed the
weekly rate.

(e) If a child uses two providers under section 119B.097, the maximum payment must
not exceed:

(1) the daily rate for one day of care;

(2) the weekly rate for one week of care by the child's primary provider; and

(3) two daily rates during two weeks of care by a child's secondary provider.

(f) Child care providers receiving reimbursement under this chapter must not be paid
activity fees or an additional amount above the maximum rates for care provided during
nonstandard hours for families receiving assistance.

(g) If the provider charge is greater than the maximum provider rate allowed, the parent
is responsible for payment of the difference in the rates in addition to any family co-payment
fee.

deleted text begin (h) All maximum provider rates changes shall be implemented on the Monday following
the effective date of the maximum provider rate.
deleted text end

deleted text begin (i) Beginning September 21, 2020,deleted text endnew text begin (h)new text end The maximum registration fee paid for child care
assistance in any county or county price cluster under the child care fund shall be deleted text beginthe greater
of the 25th percentile of the 2018 child care provider rate survey or the registration fee in
effect at the time of the update.
deleted text end new text beginset in accordance with rates and policies established by the
commissioner, dependent on federal funds, and consistent with federal law, up to a maximum
of the 75th percentile of the most recent child care provider rate survey, but in no event
shall the maximum registration fee be less than the greater of the 50th percentile of the most
recent child care provider rate survey or the registration fee in effect at the time of the update.
Each maximum registration fee update must be implemented on the same schedule as
maximum child care assistance rate increases under paragraph (a).
new text endMaximum registration
fees must be set for licensed family child care and for child care centers. For a child care
provider located in the boundaries of a city located in two or more of the counties of Benton,
Sherburne, and Stearns, the maximum registration fee paid for child care assistance shall
be equal to the maximum registration fee paid in the county with the highest maximum
registration fee or the provider's charge, whichever is less.

new text begin EFFECTIVE DATE. new text end

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

Sec. 7.

Minnesota Statutes 2020, section 119B.13, subdivision 1a, is amended to read:


Subd. 1a.

Legal nonlicensed family child care provider rates.

(a) Legal nonlicensed
family child care providers receiving reimbursement under this chapter must be paid on an
hourly basis for care provided to families receiving assistance.

(b) The maximum rate paid to legal nonlicensed family child care providers must be deleted text begin68deleted text endnew text begin
90
new text end percent of the county maximum hourly rate for licensed family child care providers.new text begin The
rate increase is effective the first full service period on or after January 1 of the year following
the provider rate survey.
new text end In counties or county price clusters where the maximum hourly
rate for licensed family child care providers is higher than the maximum weekly rate for
those providers divided by 50, the maximum hourly rate that may be paid to legal nonlicensed
family child care providers is the rate equal to the maximum weekly rate for licensed family
child care providers divided by 50 and then multiplied by deleted text begin0.68deleted text endnew text begin 0.90new text end. The maximum payment
to a provider for one day of care must not exceed the maximum hourly rate times ten. The
maximum payment to a provider for one week of care must not exceed the maximum hourly
rate times 50.

(c) A rate which includes a special needs rate paid under subdivision 3 may be in excess
of the maximum rate allowed under this subdivision.

(d) Legal nonlicensed family child care providers receiving reimbursement under this
chapter may not be paid registration fees for families receiving assistance.

new text begin EFFECTIVE DATE. new text end

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

Sec. 8.

Minnesota Statutes 2020, section 119B.13, subdivision 6, is amended to read:


Subd. 6.

Provider payments.

(a) A provider shall bill only for services documented
according to section 119B.125, subdivision 6. The provider shall bill for services provided
within ten days of the end of the service period. Payments under the child care fund shall
be made within 21 days of receiving a complete bill from the provider. Counties or the state
may establish policies that make payments on a more frequent basis.

(b) If a provider has received an authorization of care and been issued a billing form for
an eligible family, the bill must be submitted within 60 days of the last date of service on
the bill. A bill submitted more than 60 days after the last date of service must be paid if the
county determines that the provider has shown good cause why the bill was not submitted
within 60 days. Good cause must be defined in the county's child care fund plan under
section 119B.08, subdivision 3, and the definition of good cause must include county error.
Any bill submitted more than a year after the last date of service on the bill must not be
paid.

(c) If a provider provided care for a time period without receiving an authorization of
care and a billing form for an eligible family, payment of child care assistance may only be
made retroactively for a maximum of deleted text beginsixdeleted text endnew text begin threenew text end months from the date the provider is issued
an authorization of care and billing form.new text begin For a family at application, if a provider provided
child care during a time period without receiving an authorization of care and a billing form,
a county may only make child care assistance payments to the provider retroactively from
the date that child care began, or from the date that the family's eligibility began under
section 119B.09, subdivision 7, or from the date that the family meets authorization
requirements, not to exceed six months from the date the provider is issued an authorization
of care and billing form, whichever is later.
new text end

(d) A county or the commissioner may refuse to issue a child care authorization to a
new text begin certified, new text endlicensednew text begin,new text end or legal nonlicensed provider, revoke an existing child care authorization
to a new text begincertified, new text endlicensednew text begin,new text end or legal nonlicensed provider, stop payment issued to a new text begincertified,
new text end licensednew text begin,new text end or legal nonlicensed provider, or refuse to pay a bill submitted by a new text begincertified,
new text end licensednew text begin,new text end or legal nonlicensed provider if:

(1) the provider admits to intentionally giving the county materially false information
on the provider's billing forms;

(2) a county or the commissioner finds by a preponderance of the evidence that the
provider intentionally gave the county materially false information on the provider's billing
forms, or provided false attendance records to a county or the commissioner;

(3) the provider is in violation of child care assistance program rules, until the agency
determines those violations have been corrected;

(4) the provider is operating after:

(i) an order of suspension of the provider's license issued by the commissioner;

(ii) an order of revocation of the provider's licensenew text begin issued by the commissionernew text end; or

(iii) deleted text begina final order of conditional license issued by the commissioner for as long as the
conditional license is in effect
deleted text endnew text begin an order of decertification issued to the providernew text end;

(5) the provider submits false attendance reports or refuses to provide documentation
of the child's attendance upon request;

(6) the provider gives false child care price information; or

(7) the provider fails to report decreases in a child's attendance as required under section
119B.125, subdivision 9.

(e) For purposes of paragraph (d), clauses (3), (5), (6), and (7), the county or the
commissioner may withhold the provider's authorization or payment for a period of time
not to exceed three months beyond the time the condition has been corrected.

(f) A county's payment policies must be included in the county's child care plan under
section 119B.08, subdivision 3. If payments are made by the state, in addition to being in
compliance with this subdivision, the payments must be made in compliance with section
16A.124.

new text begin (g) If the commissioner or responsible county agency suspends or refuses payment to a
provider under paragraph (d), clause (1) or (2), or chapter 245E and the provider has:
new text end

new text begin (1) a disqualification for wrongfully obtaining assistance under section 256.98,
subdivision 8, paragraph (c);
new text end

new text begin (2) an administrative disqualification under section 256.046, subdivision 3; or
new text end

new text begin (3) a termination under section 245E.02, subdivision 4, paragraph (c), clause (4), or
245E.06;
new text end

new text begin then the provider forfeits the payment to the commissioner or the responsible county agency,
regardless of the amount assessed in an overpayment, charged in a criminal complaint, or
ordered as criminal restitution.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective August 1, 2021.
new text end

Sec. 9.

Minnesota Statutes 2020, section 119B.13, subdivision 7, is amended to read:


Subd. 7.

Absent days.

(a) Licensed child care providers and license-exempt centers
must not be reimbursed for more than 25 full-day absent days per child, excluding holidays,
in a calendar year, or for more than ten consecutive full-day absent days. "Absent day"
means any day that the child is authorized and scheduled to be in care with a licensed
provider or license-exempt center, and the child is absent from the care for the entire day.
Legal nonlicensed family child care providers must not be reimbursed for absent days. If a
child attends for part of the time authorized to be in care in a day, but is absent for part of
the time authorized to be in care in that same day, the absent time must be reimbursed but
the time must not count toward the absent days limit. Child care providers must only be
reimbursed for absent days if the provider has a written policy for child absences and charges
all other families in care for similar absences.

(b) Notwithstanding paragraph (a), children with documented medical conditions that
cause more frequent absences may exceed the 25 absent days limit, or ten consecutive
full-day absent days limit. Absences due to a documented medical condition of a parent or
sibling who lives in the same residence as the child receiving child care assistance do not
count against the absent days limit in a calendar year. Documentation of medical conditions
must be on the forms and submitted according to the timelines established by the
commissioner. A public health nurse or school nurse may verify the illness in lieu of a
medical practitioner. If a provider sends a child home early due to a medical reason,
including, but not limited to, fever or contagious illness, the child care center director or
lead teacher may verify the illness in lieu of a medical practitioner.

(c) Notwithstanding paragraph (a), children in families may exceed the absent days limit
if at least one parent: (1) is under the age of 21; (2) does not have a high school diploma or
commissioner of education-selected high school equivalency certification; and (3) is a
student in a school district or another similar program that provides or arranges for child
care, parenting support, social services, career and employment supports, and academic
support to achieve high school graduation, upon request of the program and approval of the
county. If a child attends part of an authorized day, payment to the provider must be for the
full amount of care authorized for that day.

(d) Child care providers must be reimbursed for up to ten federal or state holidays or
designated holidays per year when the provider charges all families for these days and the
holiday or designated holiday falls on a day when the child is authorized to be in attendance.
Parents may substitute other cultural or religious holidays for the ten recognized state and
federal holidays. Holidays do not count toward the absent days limit.

(e) A family deleted text beginor child care providerdeleted text end must not be assessed an overpayment for an absent
day payment unless (1) there was an error in the amount of care authorized for the family,
new text begin or new text end(2) all of the allowed full-day absent payments for the child have been paiddeleted text begin, or (3) the
family or provider did not timely report a change as required under law
deleted text end.

(f) The provider and family shall receive notification of the number of absent days used
upon initial provider authorization for a family and ongoing notification of the number of
absent days used as of the date of the notification.

(g) For purposes of this subdivision, "absent days limit" means 25 full-day absent days
per child, excluding holidays, in a calendar year; and ten consecutive full-day absent days.

(h) For purposes of this subdivision, "holidays limit" means ten full-day holidays per
child, excluding absent days, in a calendar year.

(i) If a day meets the criteria of an absent day or a holiday under this subdivision, the
provider must bill that day as an absent day or holiday. A provider's failure to properly bill
an absent day or a holiday results in an overpayment, regardless of whether the child reached,
or is exempt from, the absent days limit or holidays limit for the calendar year.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective August 1, 2021.
new text end

Sec. 10.

Minnesota Statutes 2020, section 119B.25, subdivision 3, is amended to read:


Subd. 3.

Financing program.

A nonprofit corporation that receives a grant under this
section shall use the money to:

(1) establish a revolving loan fund to make loans to existing, expanding, and new licensed
and legal unlicensed child care and early childhood education sites;

(2) establish a fund to guarantee private loans to improve or construct a child care or
early childhood education site;

(3) establish a fund to provide forgivable loans or grants to match all or part of a loan
made under this section;

(4) establish a fund as a reserve against bad debt; deleted text beginand
deleted text end

(5) establish a fund to provide business planning assistance for child care providersdeleted text begin.deleted text endnew text begin;
and
new text end

new text begin (6) provide training and consultation for child care providers to build and strengthen
their businesses and acquire key business skills.
new text end

The nonprofit corporation shall establish the terms and conditions for loans and loan
guarantees including, but not limited to, interest rates, repayment agreements, private match
requirements, and conditions for loan forgiveness. The nonprofit corporation shall establish
a minimum interest rate for loans to ensure that necessary loan administration costs are
covered. The nonprofit corporation may use interest earnings for administrative expenses.

Sec. 11. new text beginREPEALER.
new text end

new text begin Minnesota Statutes 2020, sections 119B.04; and 119B.125, subdivision 5, new text end new text begin are repealed.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective August 1, 2021.
new text end

ARTICLE 2

CHILD CARE LICENSING

Section 1.

new text begin [245.975] OMBUDSPERSON FOR FAMILY CHILD CARE PROVIDERS.
new text end

new text begin Subdivision 1. new text end

new text begin Appointment. new text end

new text begin The governor shall appoint an ombudsperson in the
classified service to assist family child care providers with licensing, compliance, and other
issues facing family child care providers. The ombudsperson must be selected without regard
to the person's political affiliation.
new text end

new text begin Subd. 2. new text end

new text begin Duties. new text end

new text begin (a) The ombudsperson's duties shall include:
new text end

new text begin (1) advocating on behalf of a family child care provider to address all areas of concern
related to the provision of child care services, including licensing monitoring activities,
licensing actions, and other interactions with state and county licensing staff;
new text end

new text begin (2) providing recommendations for family child care improvement or family child care
provider education;
new text end

new text begin (3) operating a telephone line to answer questions, receive complaints, and discuss
agency actions when a family child care provider believes their rights or program may have
been adversely affected; and
new text end

new text begin (4) assisting family child care license applicants with navigating the application process.
new text end

new text begin (b) The ombudsperson must report annually by December 31 to the commissioner and
the chairs and ranking minority members of the legislative committees with jurisdiction
over child care on the services provided by the ombudsperson to child care providers,
including the number and locations of child care providers served, and the activities of the
ombudsperson to carry out the duties under this section. The commissioner shall determine
the form of the report and may specify additional reporting requirements.
new text end

new text begin Subd. 3. new text end

new text begin Staff. new text end

new text begin The ombudsperson may appoint and compensate out of available funds
a deputy, confidential secretary, and other employees in the unclassified service as authorized
by law. The ombudsperson and the full-time staff are members of the Minnesota State
Retirement Association. The ombudsperson may delegate to members of the staff any
authority or duties of the office except the duty to provide reports to the governor,
commissioner, or the legislature.
new text end

new text begin Subd. 4. new text end

new text begin Access to records. new text end

new text begin (a) The ombudsperson or designee, excluding volunteers,
has access to data of a state agency necessary for the discharge of the ombudsperson's duties,
including records classified as confidential data on individuals or private data on individuals
under chapter 13 or any other law. The ombudsperson's data request must relate to a specific
case and is subject to section 13.03, subdivision 4. If the data concerns an individual, the
ombudsperson or designee shall first obtain the individual's consent. If the individual cannot
consent and has no parent or legal guardian, then access to the data is authorized by this
section.
new text end

new text begin (b) The ombudsperson and designees must adhere to the Minnesota Government Data
Practices Act and may not disseminate any private or confidential data on individuals unless
specifically authorized by state, local, or federal law or pursuant to a court order.
new text end

new text begin (c) The commissioner and county agency must provide the ombudsperson copies of all
fix-it tickets, correction orders, and licensing actions issued to family child care providers.
new text end

new text begin Subd. 5. new text end

new text begin Independence of action. new text end

new text begin In carrying out the duties under this section, the
ombudsperson may act independently of the department to provide testimony to the
legislature, make periodic reports to the legislature, and address areas of concern to child
care providers.
new text end

new text begin Subd. 6. new text end

new text begin Civil actions. new text end

new text begin The ombudsperson or designee is not civilly liable for any action
taken under this section if the action was taken in good faith, was within the scope of the
ombudsperson's authority, and did not constitute willful or reckless misconduct.
new text end

new text begin Subd. 7. new text end

new text begin Qualifications. new text end

new text begin The ombudsperson must be a person who has knowledge and
experience concerning the provision of family child care. The ombudsperson must be
experienced in dealing with governmental entities, interpretation of laws and regulations,
investigations, record keeping, report writing, public speaking, and management. A person
is not eligible to serve as the ombudsperson while holding public office or while holding a
family child care license.
new text end

new text begin Subd. 8. new text end

new text begin Office support. new text end

new text begin The commissioner shall provide the ombudsperson with the
necessary office space, supplies, equipment, and clerical support to effectively perform the
duties under this section.
new text end

new text begin Subd. 9. new text end

new text begin Posting. new text end

new text begin (a) The commissioner shall post on the department's website the
mailing address, e-mail address, and telephone number for the office of the ombudsperson.
The commissioner shall provide family child care providers with the mailing address, e-mail
address, and telephone number of the office on the family child care licensing website and
upon request from a family child care applicant or provider. Counties must provide family
child care applicants and providers with the name, mailing address, e-mail address, and
telephone number of the office upon request.
new text end

new text begin (b) The ombudsperson must approve all posting and notice required by the department
and counties under this subdivision.
new text end

Sec. 2.

Minnesota Statutes 2020, section 245A.14, subdivision 4, is amended to read:


Subd. 4.

Special family deleted text begindaydeleted text end new text beginchildnew text end care homes.

Nonresidential child care programs
serving 14 or fewer children that are conducted at a location other than the license holder's
own residence shall be licensed under this section and the rules governing family deleted text begindaydeleted text end new text beginchildnew text end
care or group family deleted text begindaydeleted text end new text beginchildnew text end care if:

(a) the license holder is the primary provider of care and the nonresidential child care
program is conducted in a dwelling that is located on a residential lot;

(b) the license holder is an employer who may or may not be the primary provider of
care, and the purpose for the child care program is to provide child care services to children
of the license holder's employees;

(c) the license holder is a church or religious organization;

(d) the license holder is a community collaborative child care provider. For purposes of
this subdivision, a community collaborative child care provider is a provider participating
in a cooperative agreement with a community action agency as defined in section 256E.31;

(e) the license holder is a not-for-profit agency that provides child care in a dwelling
located on a residential lot and the license holder maintains two or more contracts with
community employers or other community organizations to provide child care services.
The county licensing agency may grant a capacity variance to a license holder licensed
under this paragraph to exceed the licensed capacity of 14 children by no more than five
children during transition periods related to the work schedules of parents, if the license
holder meets the following requirements:

(1) the program does not exceed a capacity of 14 children more than a cumulative total
of four hours per day;

(2) the program meets a one to seven staff-to-child ratio during the variance period;

(3) all employees receive at least an extra four hours of training per year than required
in the rules governing family child care each year;

(4) the facility has square footage required per child under Minnesota Rules, part
9502.0425;

(5) the program is in compliance with local zoning regulations;

(6) the program is in compliance with the applicable fire code as follows:

(i) if the program serves more than five children older than 2-1/2 years of age, but no
more than five children 2-1/2 years of age or less, the applicable fire code is educational
occupancy, as provided in Group E Occupancy under the Minnesota State Fire Code 2015,
Section 202; or

(ii) if the program serves more than five children 2-1/2 years of age or less, the applicable
fire code is Group I-4 Occupancies, as provided in the Minnesota State Fire Code 2015,
Section 202, unless the rooms in which the children are cared for are located on a level of
exit discharge and each of these child care rooms has an exit door directly to the exterior,
then the applicable fire code is Group E occupancies, as provided in the Minnesota State
Fire Code 2015, Section 202; and

(7) any age and capacity limitations required by the fire code inspection and square
footage determinations shall be printed on the license; or

(f) the license holder is the primary provider of care and has located the licensed child
care program in a commercial space, if the license holder meets the following requirements:

(1) the program is in compliance with local zoning regulations;

(2) the program is in compliance with the applicable fire code as follows:

(i) if the program serves more than five children older than 2-1/2 years of age, but no
more than five children 2-1/2 years of age or less, the applicable fire code is educational
occupancy, as provided in Group E Occupancy under the Minnesota State Fire Code 2015,
Section 202; or

(ii) if the program serves more than five children 2-1/2 years of age or less, the applicable
fire code is Group I-4 Occupancies, as provided under the Minnesota State Fire Code 2015,
Section 202;

(3) any age and capacity limitations required by the fire code inspection and square
footage determinations are printed on the license; and

(4) the license holder prominently displays the license issued by the commissioner which
contains the statement "This special family child care provider is not licensed as a child
care center."

(g) deleted text beginThe commissioner may approve two or more licenses under paragraphs (a) to (f) to
be issued at the same location or under one contiguous roof, if each license holder is able
to demonstrate compliance with all applicable rules and laws. Each license holder must
operate the license holder's respective licensed program as a distinct program and within
the capacity, age, and ratio distributions of each license.
deleted text endnew text begin Notwithstanding Minnesota Rules,
part 9502.0335, subpart 12, the commissioner may issue up to four licenses to an organization
licensed under paragraphs (b), (c), or (e). Each license must have its own primary provider
of care as required under paragraph (i). Each license must operate as a distinct and separate
program in compliance with all applicable laws and regulations.
new text end

(h) deleted text beginThe commissioner may grant variances to this section to allow a primary provider
of care, a not-for-profit organization, a church or religious organization, an employer, or a
community collaborative to be licensed to provide child care under paragraphs (e) and (f)
if the license holder meets the other requirements of the statute.
deleted text endnew text begin For licenses issued under
paragraphs (b), (c), (d), (e), or (f), the commissioner may approve up to four licenses at the
same location or under one contiguous roof if each license holder is able to demonstrate
compliance with all applicable rules and laws. Each licensed program must operate as a
distinct program and within the capacity, age, and ratio distributions of each license.
new text end

new text begin (i) For a license issued under paragraphs (b), (c), or (e), the license holder must designate
a person to be the primary provider of care at the licensed location on a form and in a manner
prescribed by the commissioner. The license holder shall notify the commissioner in writing
before there is a change of the person designated to be the primary provider of care. The
primary provider of care:
new text end

new text begin (1) must be the person who will be the provider of care at the program and present during
the hours of operation;
new text end

new text begin (2) must operate the program in compliance with applicable laws and regulations under
chapter 245A and Minnesota Rules, chapter 9502;
new text end

new text begin (3) is considered a child care background study subject as defined in section 245C.02,
subdivision 6a, and must comply with background study requirements in chapter 245C; and
new text end

new text begin (4) must complete the training that is required of license holders in section 245A.50.
new text end

new text begin (j) For any license issued under this subdivision, the license holder must ensure that any
other caregiver, substitute, or helper who assists in the care of children meets the training
requirements in section 245A.50 and background study requirements under chapter 245C.
new text end

Sec. 3.

Minnesota Statutes 2020, section 245A.50, subdivision 7, is amended to read:


Subd. 7.

Training requirements for family and group family child care.

new text begin(a) new text endFor
purposes of family and group family child care, the license holder and each second adult
caregiver must complete 16 hours of ongoing training each year. Repeat of topical training
requirements in subdivisions 2 to 8 shall count toward the annual 16-hour training
requirement. Additional ongoing training subjects to meet the annual 16-hour training
requirement must be selected from the following areas:

(1) child development and learning training in understanding how a child develops
physically, cognitively, emotionally, and socially, and how a child learns as part of the
child's family, culture, and community;

(2) developmentally appropriate learning experiences, including training in creating
positive learning experiences, promoting cognitive development, promoting social and
emotional development, promoting physical development, promoting creative development;
and behavior guidance;

(3) relationships with families, including training in building a positive, respectful
relationship with the child's family;

(4) assessment, evaluation, and individualization, including training in observing,
recording, and assessing development; assessing and using information to plan; and assessing
and using information to enhance and maintain program quality;

(5) historical and contemporary development of early childhood education, including
training in past and current practices in early childhood education and how current events
and issues affect children, families, and programs;

(6) professionalism, including training in knowledge, skills, and abilities that promote
ongoing professional development; and

(7) health, safety, and nutrition, including training in establishing healthy practices;
ensuring safety; and providing healthy nutrition.

new text begin (b) A provider who is approved as a trainer through the Develop data system may count
up to two hours of training instruction toward the annual 16-hour training requirement in
paragraph (a). The provider may only count training instruction hours for the first instance
in which they deliver a particular content-specific training during each licensing year. Hours
counted as training instruction must be approved through the Develop data system with
attendance verified on the trainer's individual learning record and must be in Knowledge
and Competency Framework content area VII A (Establishing Healthy Practices) or B
(Ensuring Safety).
new text end

Sec. 4.

Minnesota Statutes 2020, section 245A.50, subdivision 9, is amended to read:


Subd. 9.

Supervising for safety; training requirement.

(a) Courses required by this
subdivision must include the following health and safety topics:

(1) preventing and controlling infectious diseases;

(2) administering medication;

(3) preventing and responding to allergies;

(4) ensuring building and physical premises safety;

(5) handling and storing biological contaminants;

(6) preventing and reporting child abuse and maltreatment; and

(7) emergency preparedness.

(b) Before initial licensure and before caring for a child, all family child care license
holders and each second adult caregiver shall complete and document the completion of
the six-hour Supervising for Safety for Family Child Care course developed by the
commissioner.

(c) The license holder must ensure and document that, before caring for a child, all
substitutes have completed the four-hour Basics of Licensed Family Child Care for
Substitutes course developed by the commissioner, which must include health and safety
topics as well as child development and learning.

(d) The family child care license holder and each second adult caregiver shall complete
and document:

(1) the annual completion of new text begineither:
new text end

new text begin (i) new text enda two-hour active supervision course developed by the commissioner;new text begin or
new text end

new text begin (ii) any courses in the ensuring safety competency area under the health, safety, and
nutrition standard of the Knowledge and Competency Framework that the commissioner
has identified as an active supervision training course;
new text end and

(2) the completion at least once every five years of the two-hour courses Health and
Safety I and Health and Safety II. When the training is due for the first time or expires, it
must be taken no later than the day before the anniversary of the license holder's license
effective date. A license holder's or second adult caregiver's completion of either training
in a given year meets the annual active supervision training requirement in clause (1).

(e) At least once every three years, license holders must ensure and document that
substitutes have completed the four-hour Basics of Licensed Family Child Care for
Substitutes course. When the training expires, it must be retaken no later than the day before
the anniversary of the license holder's license effective date.

Sec. 5. new text beginCHILD CARE CENTER REGULATION MODERNIZATION.
new text end

new text begin (a) The commissioner of human services shall contract with an experienced and
independent organization or individual consultant to conduct the work outlined in this
section. If practicable, the commissioner must contract with the National Association for
Regulatory Administration.
new text end

new text begin (b) The consultant must develop a proposal for revised licensing standards that includes
a risk-based model for monitoring compliance with child care center licensing standards,
grounded in national regulatory best practices. Violations in the new model must be weighted
to reflect the potential risk that the violations pose to children's health and safety, and
licensing sanctions must be tied to the potential risk. The proposed new model must protect
the health and safety of children in child care centers and be child-centered, family-friendly,
and fair to providers.
new text end

new text begin (c) The consultant shall develop and implement a stakeholder engagement process that
solicits input from parents, licensed child care centers, staff of the Department of Human
Services, and experts in child development about appropriate licensing standards, appropriate
tiers for violations of the standards based on the potential risk of harm that each violation
poses, and appropriate licensing sanctions for each tier.
new text end

new text begin (d) The consultant shall solicit input from parents, licensed child care centers, and staff
of the Department of Human Services about which child care centers should be eligible for
abbreviated inspections that predict compliance with other licensing standards for licensed
child care centers using key indicators previously identified by an empirically based statistical
methodology developed by the National Association for Regulatory Administration and the
Research Institute for Key Indicators.
new text end

new text begin (e) No later than February 1, 2024, the commissioner shall submit a report and proposed
legislation required to implement the new licensing model to the chairs and ranking minority
members of the legislative committees with jurisdiction over child care regulation.
new text end

Sec. 6. new text beginFAMILY CHILD CARE REGULATION MODERNIZATION.
new text end

new text begin (a) The commissioner of human services shall contract with an experienced and
independent organization or individual consultant to conduct the work outlined in this
section. If practicable, the commissioner must contract with the National Association for
Regulatory Administration.
new text end

new text begin (b) The consultant must develop a proposal for updated family child care licensing
standards and solicit input from stakeholders as described in paragraph (d).
new text end

new text begin (c) The consultant must develop a proposal for a risk-based model for monitoring
compliance with family child care licensing standards, grounded in national regulatory best
practices. Violations in the new model must be weighted to reflect the potential risk they
pose to children's health and safety, and licensing sanctions must be tied to the potential
risk. The proposed new model must protect the health and safety of children in family child
care programs and be child-centered, family-friendly, and fair to providers.
new text end

new text begin (d) The consultant shall develop and implement a stakeholder engagement process that
solicits input from parents, licensed family child care providers, county licensors, staff of
the Department of Human Services, and experts in child development about licensing
standards, tiers for violations of the standards based on the potential risk of harm that each
violation poses, and licensing sanctions for each tier.
new text end

new text begin (e) The consultant shall solicit input from parents, licensed family child care providers,
county licensors, and staff of the Department of Human Services about which family child
care providers should be eligible for abbreviated inspections that predict compliance with
other licensing standards for licensed family child care providers using key indicators
previously identified by an empirically based statistical methodology developed by the
National Association for Regulatory Administration and the Research Institute for Key
Indicators.
new text end

new text begin (f) No later than February 1, 2024, the commissioner shall submit a report and proposed
legislation required to implement the new licensing model and the new licensing standards
to the chairs and ranking minority members of the legislative committees with jurisdiction
over child care regulation.
new text end

Sec. 7. new text beginDIRECTION TO COMMISSIONER OF HUMAN SERVICES; FAMILY
CHILD CARE ONE-STOP ASSISTANCE NETWORK.
new text end

new text begin By January 1, 2022, the commissioner of human services shall, in consultation with
county agencies, providers, and other relevant stakeholders, develop a proposal to create,
advertise, and implement a one-stop regional assistance network comprised of individuals
who have experience starting a licensed family or group family child care program or
technical expertise regarding the applicable licensing statutes and procedures, in order to
assist individuals with matters relating to starting or sustaining a licensed family or group
family child care program. The proposal shall include an estimated timeline for
implementation of the assistance network, an estimated budget of the cost of the assistance
network, and any necessary legislative proposals to implement the assistance network. The
proposal shall also include a plan to raise awareness and distribute contact information for
the assistance network to all licensed family or group family child care providers.
new text end

Sec. 8. new text beginDIRECTION TO THE COMMISSIONER OF HUMAN SERVICES;
RECOMMENDED FAMILY CHILD CARE ORIENTATION TRAINING.
new text end

new text begin (a) By July 1, 2022, the commissioner of human services shall develop, in consultation
with licensed family child care providers and representatives from counties, recommended
orientation training for family child care license applicants to ensure that all family child
care license applicants have access to information about Minnesota Statutes, chapters 245A
and 245C, and Minnesota Rules, chapter 9502.
new text end

new text begin (b) The orientation training is voluntary and completion of the orientation is not required
to receive or maintain a family child care license.
new text end

Sec. 9. new text beginFAMILY CHILD CARE TRAINING ADVISORY COMMITTEE.
new text end

new text begin Subdivision 1. new text end

new text begin Formation; duties. new text end

new text begin (a) The Family Child Care Training Advisory
Committee shall advise the commissioner of human services on the training requirements
for licensed family and group family child care providers. Beginning January 1, 2022, the
advisory committee shall meet at least twice per year. The advisory committee shall annually
elect a chair from among its members who shall establish the agenda for each meeting. The
commissioner or commissioner's designee shall attend all advisory committee meetings.
new text end

new text begin (b) The Family Child Care Training Advisory Committee shall advise and make
recommendations to the commissioner of human services and the contractors working on
the family child care licensing modernization project on:
new text end

new text begin (1) updates to the rules and statutes governing family child care training, including
technical updates to facilitate providers' understanding of training requirements;
new text end

new text begin (2) difficulties facing family child care providers in completing training requirements,
including proposed solutions to provider difficulties; and
new text end

new text begin (3) other ideas for improving access to and quality of training for family child care
providers.
new text end

new text begin (c) The Family Child Care Training Advisory Committee shall expire December 1, 2025.
new text end

new text begin Subd. 2. new text end

new text begin Advisory committee members. new text end

new text begin (a) The Family Child Care Training Advisory
Committee consists of:
new text end

new text begin (1) four members representing family child care providers from greater Minnesota,
including two appointed by the speaker of the house and two appointed by the senate majority
leader;
new text end

new text begin (2) two members representing family child care providers from the seven-county
metropolitan area as defined in Minnesota Statutes, section 473.121, subdivision 2, including
one appointed by the speaker of the house and one appointed by the senate majority leader;
new text end

new text begin (3) one member appointed by the Minnesota Association of Child Care Professionals;
new text end

new text begin (4) one member appointed by the Minnesota Child Care Provider Information Network;
new text end

new text begin (5) two members appointed by the Association of Minnesota Child Care Licensors,
including one from greater Minnesota and one from the seven-county metropolitan area, as
defined in Minnesota Statutes, section 473.121, subdivision 2; and
new text end

new text begin (6) five members with experience in child development, instructional design, and training
delivery, with:
new text end

new text begin (i) one member appointed by Child Care Aware of Minnesota;
new text end

new text begin (ii) one member appointed by the Minnesota Initiative Foundations;
new text end

new text begin (iii) one member appointed by the Center for Inclusive Child Care;
new text end

new text begin (iv) one member appointed by the Greater Minnesota Partnership; and
new text end

new text begin (v) one member appointed by Achieve, the Minnesota Center for Professional
Development.
new text end

new text begin (b) Advisory committee members shall not be employed by the Department of Human
Services. Advisory committee members shall receive no compensation for their participation
in the advisory committee.
new text end

new text begin (c) Advisory committee members must include representatives of diverse cultural
communities.
new text end

new text begin (d) Advisory committee members shall serve two-year terms. Initial appointments to
the advisory committee must be made by December 1, 2021. Subsequent appointments to
the advisory committee must be made by December 1 of the year in which the member's
term expires.
new text end

new text begin Subd. 3. new text end

new text begin Commissioner report. new text end

new text begin The commissioner of human services shall report
annually by November 1 to the chairs and ranking minority members of the legislative
committees with jurisdiction over early care and education programs on any recommendations
from the Family Child Care Training Advisory Committee.
new text end

ARTICLE 3

MISCELLANEOUS HEALTH AND HUMAN SERVICES POLICIES

Section 1.

new text begin [119B.195] RETAINING EARLY EDUCATORS THROUGH ATTAINING
INCENTIVES NOW (REETAIN) GRANT PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Establishment; purpose. new text end

new text begin The retaining early educators through attaining
incentives now (REETAIN) grant program is established to provide competitive grants to
incentivize well-trained child care professionals to remain in the workforce. The overall
goal of the REETAIN grant program is to create more consistent care for children over time.
new text end

new text begin Subd. 2. new text end

new text begin Administration. new text end

new text begin The commissioner shall administer the REETAIN grant
program through a grant to a nonprofit with the demonstrated ability to manage benefit
programs for child care professionals. Up to ten percent of grant money may be used for
administration of the grant program.
new text end

new text begin Subd. 3. new text end

new text begin Application. new text end

new text begin Applicants must apply for the REETAIN grant program using
the forms and according to timelines established by the commissioner.
new text end

new text begin Subd. 4. new text end

new text begin Eligibility. new text end

new text begin (a) To be eligible for a grant, an applicant must:
new text end

new text begin (1) be licensed to provide child care or work for a licensed child care program;
new text end

new text begin (2) work directly with children at least 30 hours per week;
new text end

new text begin (3) have worked in the applicant's current position for at least 12 months;
new text end

new text begin (4) agree to work in the early childhood care and education field for at least 12 months
upon receiving a grant under this section;
new text end

new text begin (5) have a career lattice step of five or higher;
new text end

new text begin (6) have a current membership with the Minnesota quality improvement and registry
tool;
new text end

new text begin (7) not be a current teacher education and compensation helps scholarship recipient; and
new text end

new text begin (8) meet any other requirements determined by the commissioner.
new text end

new text begin (b) Grant recipients must sign a contract agreeing to remain in the early childhood care
and education field for 12 months.
new text end

new text begin Subd. 5. new text end

new text begin Grant awards. new text end

new text begin Grant awards must be made annually and may be made up to
an amount per recipient determined by the commissioner. Grant recipients may use grant
money for program supplies, training, or personal expenses.
new text end

new text begin Subd. 6. new text end

new text begin Report. new text end

new text begin By January 1 each year, the commissioner must report to the legislative
committees with jurisdiction over child care about the number of grants awarded to recipients
and outcomes of the grant program since the last report.
new text end

Sec. 2.

Minnesota Statutes 2020, section 136A.128, subdivision 2, is amended to read:


Subd. 2.

Program components.

(a) The nonprofit organization must use the grant for:

(1) tuition scholarships up to deleted text begin$5,000deleted text endnew text begin $10,000new text end per year for courses leading to the nationally
recognized child development associate credential or college-level courses leading to an
associate'snew text begin degreenew text end or bachelor's degree in early childhood development and school-age care;
and

(2) education incentives of a minimum of deleted text begin$100deleted text endnew text begin $250new text end to participants in the tuition
scholarship program if they complete a year of working in the early care and education
field.

(b) Applicants for the scholarship must be employed by a licensed early childhood or
child care program and working directly with children, a licensed family child care provider,new text begin
employed by a public prekindergarten program,
new text end or an employee in a school-age program
exempt from licensing under section 245A.03, subdivision 2, paragraph (a), clause (12).
Lower wage earners must be given priority in awarding the tuition scholarships. Scholarship
recipients must contributenew text begin at leastnew text end ten percent of the total scholarship and must be sponsored
by their employers, who must also contribute deleted text begintendeleted text endnew text begin at least fivenew text end percent of the total scholarship.
Scholarship recipients who are self-employed must contribute 20 percent of the total
scholarship.

Sec. 3.

Minnesota Statutes 2020, section 136A.128, subdivision 4, is amended to read:


Subd. 4.

Administration.

A nonprofit organization that receives a grant under this
section may use deleted text beginfivedeleted text endnew text begin tennew text end percent of the grant amount to administer the program.

Sec. 4.

Minnesota Statutes 2020, section 144.225, subdivision 2, is amended to read:


Subd. 2.

Data about births.

(a) Except as otherwise provided in this subdivision, data
pertaining to the birth of a child to a woman who was not married to the child's father when
the child was conceived nor when the child was born, including the original record of birth
and the certified vital record, are confidential data. At the time of the birth of a child to a
woman who was not married to the child's father when the child was conceived nor when
the child was born, the mother may designate demographic data pertaining to the birth as
public. Notwithstanding the designation of the data as confidential, it may be disclosed:

(1) to a parent or guardian of the child;

(2) to the child when the child is 16 years of age or older;

(3) under paragraph (b), (e), deleted text beginordeleted text end (f)new text begin, or (g)new text end; or

(4) pursuant to a court order. For purposes of this section, a subpoena does not constitute
a court order.

(b) Unless the child is adopted, data pertaining to the birth of a child that are not accessible
to the public become public data if 100 years have elapsed since the birth of the child who
is the subject of the data, or as provided under section 13.10, whichever occurs first.

(c) If a child is adopted, data pertaining to the child's birth are governed by the provisions
relating to adoption records, including sections 13.10, subdivision 5; 144.218, subdivision
1
; 144.2252; and 259.89.

(d) The name and address of a mother under paragraph (a) and the child's date of birth
may be disclosed to the county social services, Tribal health department, or public health
member of a family services collaborative for purposes of providing services under section
124D.23.

(e) The commissioner of human services shall have access to birth records for:

(1) the purposes of administering medical assistance and the MinnesotaCare program;

(2) child support enforcement purposes; and

(3) other public health purposes as determined by the commissioner of health.

(f) Tribal child support programs shall have access to birth records for child support
enforcement purposes.

new text begin (g) An entity administering a children's savings program that starts at birth shall have
access to birth records for the purpose of opening an account in the program for the child
as a beneficiary. For purposes of this paragraph, "children's savings program" means a
long-term savings or investment program that helps children and their families build savings
for the future.
new text end

Sec. 5. new text beginREPORT ON PARTICIPATION IN EARLY CHILDHOOD PROGRAMS
BY CHILDREN IN FOSTER CARE.
new text end

new text begin Subdivision 1. new text end

new text begin Reporting requirement. new text end

new text begin (a) The commissioner of human services shall
report on the participation in early care and education programs by children under age six
who have experienced foster care, as defined in Minnesota Statutes, section 260C.007,
subdivision 18, at any time during the reporting period.
new text end

new text begin (b) For purposes of this section, "early care and education program" means Early Head
Start and Head Start under the federal Improving Head Start for School Readiness Act of
2007; special education programs under Minnesota Statutes, chapter 125A; early learning
scholarships under Minnesota Statutes, section 124D.165; school readiness under Minnesota
Statutes, sections 124D.15 and 124D.16; school readiness plus under Laws 2017, First
Special Session chapter 5, article 8, section 9; voluntary prekindergarten under Minnesota
Statutes, section 124D.151; child care assistance under Minnesota Statutes, chapter 119B;
and other programs as determined by the commissioner.
new text end

new text begin Subd. 2. new text end

new text begin Report content. new text end

new text begin (a) The report shall provide counts and rates of participation
by early care and education program and child's race, ethnicity, age, and county of residence.
The report shall use the most current administrative data and systems, including the Early
Childhood Longitudinal Data System, and include recommendations for collecting any
other administrative data listed in this paragraph that is not currently available.
new text end

new text begin (b) The report shall include recommendations to:
new text end

new text begin (1) provide the data described in paragraph (a) on an annual basis as part of the report
required under Minnesota Statutes, section 257.0725;
new text end

new text begin (2) facilitate children's continued participation in early care and education programs
after reunification, adoption, or transfer of permanent legal and physical custody; and
new text end

new text begin (3) regularly report measures of early childhood well-being for children who have
experienced foster care. "Measures of early childhood well-being" include administrative
data from developmental screenings, school readiness assessments, well-child medical visits,
and other sources as determined by the commissioner, in consultation with the commissioners
of health, education, and management and budget, county social service and public health
agencies, and school districts.
new text end

new text begin (c) The report shall include an implementation plan to increase the rates of participation
among children and their foster families in early care and education programs, including
processes for referrals and follow-up. The plan shall be developed in collaboration with
affected communities and families, incorporating their experiences and feedback.
Representatives from county public health agencies; county social service agencies, including
child protection services; early childhood care and education providers; the judiciary; and
school districts must collaborate on the plan's development and implementation strategy.
new text end

new text begin (d) The report shall identify barriers to be addressed to ensure that early care and
education programs are responsive to the cultural, logistical, and racial equity concerns and
needs of children's foster families and families of origin, and the report shall identify methods
to ensure the experiences and feedback from children's foster families and families of origin
are included in the ongoing implementation of early care and education programs.
new text end

new text begin Subd. 3. new text end

new text begin Submission to legislature. new text end

new text begin By June 30, 2022, the commissioner shall submit
an interim progress report, including identification of potential administrative data sources
and barriers and a listing of plan development participants, and by December 1, 2022, the
commissioner shall submit the final report required under this section to the legislative
committees with jurisdiction over early care and education programs.
new text end

Sec. 6. new text beginCHILDREN WITH DISABILITIES INCLUSIVE CHILD CARE ACCESS
EXPANSION GRANT PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Establishment. new text end

new text begin (a) The commissioner of human services shall establish
a competitive grant program to expand access to licensed family child care providers or
licensed child care centers for children with disabilities including medical complexities.
The commissioner shall award grants to counties or Tribes, including at least one county
from the seven-county metropolitan area and at least one county or Tribe outside the
seven-county metropolitan area, and grant funds shall be used to enable child care providers
to develop an inclusive child care setting and offer care to children with disabilities and
children without disabilities. Grants shall be awarded to at least two applicants beginning
no later than December 1, 2021.
new text end

new text begin (b) For purposes of this section, "child with a disability" means a child who has a
substantial delay or has an identifiable physical, medical, emotional, or mental condition
that hinders development.
new text end

new text begin (c) For purposes of this section, "inclusive child care setting" means child care provided
in a manner that serves children with disabilities in the same setting as children without
disabilities.
new text end

new text begin Subd. 2. new text end

new text begin Commissioner's duties. new text end

new text begin To administer the grant program, the commissioner
shall:
new text end

new text begin (1) consult with relevant stakeholders to develop a request for proposals that at least
requires grant applicants to identify the items or services, and estimated accompanying costs
where possible, needed to expand access to inclusive child care settings for children with
disabilities;
new text end

new text begin (2) develop procedures for data collection, qualitative and quantitative measurement of
grant program outcomes, and reporting requirements for grant recipients;
new text end

new text begin (3) convene a working group of grant recipients, partner child care providers, and
participating families to assess progress on grant activities, share best practices, and collect
and review data on grant activities; and
new text end

new text begin (4) by February 1, 2023, provide a report to the chairs and ranking minority members
of the legislative committees with jurisdiction over early childhood programs on the activities
and outcomes of the grant program, with legislative recommendations for implementing
inclusive child care settings statewide. The report shall be made available to the public.
new text end

new text begin Subd. 3. new text end

new text begin Grant activities. new text end

new text begin Grant recipients shall use grant funds for the cost of facility
modifications, resources, or services necessary to expand access to inclusive child care
settings for children with disabilities, including:
new text end

new text begin (1) onetime needs to equip a child care setting to serve children with disabilities, including
but not limited to environmental modifications; accessibility modifications; sensory
adaptation; training materials and staff time for training, including for substitutes; or
equipment purchases, including durable medical equipment;
new text end

new text begin (2) ongoing medical or disability-related services for children with disabilities in inclusive
child care settings, including but not limited to mental health supports; inclusion specialist
services; home care nursing; behavioral supports; coaching or training for staff and
substitutes; substitute teaching time; or additional child care staff, an enhanced rate, or
another mechanism to increase staff-to-child ratio; and
new text end

new text begin (3) other expenses determined by the grant recipient and each partner child care provider
to be necessary to establish an inclusive child care setting and serve children with disabilities
at the provider's location.
new text end

new text begin Subd. 4. new text end

new text begin Requirements for grant recipients. new text end

new text begin Upon receipt of grant funds and throughout
the grant period, grant recipients shall:
new text end

new text begin (1) partner with at least two but no more than five child care providers, each of which
must meet one of the following criteria:
new text end

new text begin (i) serve 29 or fewer children, including at least two children with a disability who are
not a family member of the child care provider if the participating child care provider is a
family child care provider; or
new text end

new text begin (ii) serve more than 30 children, including at least three children with a disability;
new text end

new text begin (2) develop and follow a process to ensure that grant funding is used to support children
with disabilities who, without the additional supports made available through the grant,
would have difficulty accessing an inclusive child care setting;
new text end

new text begin (3) pursue funding for ongoing services needed for children with disabilities in inclusive
child care settings, such as Medicaid or private health insurance coverage; additional grant
funding; or other funding sources;
new text end

new text begin (4) explore and seek opportunities to use existing federal funds to provide ongoing
support to family child care providers or child care centers serving children with disabilities.
Grant recipients shall seek to minimize family financial obligations for child care for a child
with disabilities beyond what child care would cost for a child without disabilities; and
new text end

new text begin (5) identify and utilize training resources for child care providers, where available and
applicable, for at least one of the grant recipient's partner child care providers.
new text end

new text begin Subd. 5. new text end

new text begin Reporting. new text end

new text begin Grant recipients shall report to the commissioner every six months,
in a manner specified by the commissioner, on the following:
new text end

new text begin (1) the number, type, and cost of additional supports needed to serve children with
disabilities in inclusive child care settings;
new text end

new text begin (2) best practices for billing;
new text end

new text begin (3) availability and use of funding sources other than through the grant program;
new text end

new text begin (4) processes for identifying families of children with disabilities who could benefit
from grant activities and connecting them with a child care provider interested in serving
them;
new text end

new text begin (5) processes and eligibility criteria used to determine whether a child is a child with a
disability and means of prioritizing grant funding to serve children with significant support
needs associated with their disability; and
new text end

new text begin (6) any other information deemed relevant by the commissioner.
new text end

Sec. 7. new text beginDIRECTION TO COMMISSIONER OF HUMAN SERVICES; FAMILY
CHILD CARE SHARED SERVICES INNOVATION GRANTS.
new text end

new text begin The commissioner of human services shall establish a grant program to test strategies
by which family child care providers may share services and thereby achieve economies of
scale. The commissioner shall report the results of the grant program to the legislative
committees with jurisdiction over early care and education programs.
new text end

Sec. 8. new text beginREVISOR INSTRUCTION.
new text end

new text begin The revisor of statutes shall renumber Minnesota Statutes, section 136A.128, in Minnesota
Statutes, chapter 119B. The revisor shall also make necessary cross-reference changes
consistent with the renumbering.
new text end

ARTICLE 4

EARLY EDUCATION

Section 1.

Minnesota Statutes 2020, section 119A.52, is amended to read:


119A.52 DISTRIBUTION OF APPROPRIATION.

(a) The commissioner of education must distribute money appropriated for that purpose
to federally designated Head Start programs to expand services and to serve additional
low-income childrendeleted text begin. Migrant and Indian reservation programs must be initially allocated
money based on the programs' share of federal funds.
deleted text endnew text begin in the following order: (1) 10.72
percent of the total Head Start appropriation shall be allocated to federally designated Tribal
Head Start programs; (2) the Tribal Head Start portion of the appropriation shall be allocated
to Tribal Head Start programs based on the programs' share of federal funds; and (3) migrant
programs must then be initially allocated funding based on the programs' share of federal
funds.
new text end The remaining money must be initially allocated to the remaining local agencies
based equally on the agencies' share of federal funds and on the proportion of eligible
children in the agencies' service area who are not currently being served. A Head Start
program must be funded at a per child rate equal to its contracted, federally funded base
level at the start of the fiscal year. For all agencies without a federal Early Head Start rate,
the state average federal cost per child for Early Head Start applies. In allocating funds
under this paragraph, the commissioner of education must assure that each Head Start
program in existence in 1993 is allocated no less funding in any fiscal year than was allocated
to that program in fiscal year 1993. Before paying money to the programs, the commissioner
must notify each program of its initial allocation and how the money must be used. Each
program must present a plan under section 119A.535. For any program that cannot utilize
its full allocation at the beginning of the fiscal year, the commissioner must reduce the
allocation proportionately. Money available after the initial allocations are reduced must
be redistributed to eligible programs.

(b) The commissioner must develop procedures to make payments to programs based
upon the number of children reported to be enrolled during the required time period of
program operations. Enrollment is defined by federal Head Start regulations. The procedures
must include a reporting schedule, corrective action plan requirements, and financial
consequences to be imposed on programs that do not meet full enrollment after the period
of corrective action. Programs reporting chronic underenrollment, as defined by the
commissioner, will have their subsequent program year allocation reduced proportionately.
Funds made available by prorating payments and allocations to programs with reported
underenrollment will be made available to the extent funds exist to fully enrolled Head Start
programs through a form and manner prescribed by the department.

(c) Programs with approved innovative initiatives that target services to high-risk
populations, including homeless families and families living in homeless shelters and
transitional housing, are exempt from the procedures in paragraph (b). This exemption does
not apply to entire programs. The exemption applies only to approved innovative initiatives
that target services to high-risk populations, including homeless families and families living
in homeless shelters, transitional housing, and permanent supportive housing.

Sec. 2.

new text begin [122A.261] PREKINDERGARTEN, SCHOOL READINESS, PRESCHOOL,
AND EARLY EDUCATION PROGRAMS; LICENSURE REQUIREMENT.
new text end

new text begin Subdivision 1. new text end

new text begin Licensure requirement. new text end

new text begin A school district or charter school must employ
a qualified teacher, as defined in section 122A.16, to provide instruction in a preschool,
school readiness, school readiness plus, prekindergarten, or other school district or charter
school-based early education program.
new text end

new text begin Subd. 2. new text end

new text begin Exemptions. new text end

new text begin A person employed by a school district or charter school as a
teacher in an early education program during the 2020-2021 school year who does not have
a Minnesota teaching license is exempt from the licensure requirement until July 1, 2026,
or until such time as the teacher is able to obtain a Minnesota teaching license, whichever
occurs first. Notwithstanding this exemption from the licensure requirement, these individuals
are teachers under section 179A.03, subdivision 18.
new text end

Sec. 3.

Minnesota Statutes 2020, section 124D.13, subdivision 2, is amended to read:


Subd. 2.

Program requirements.

(a) Early childhood family education programs are
programs for children in the period of life from birth to kindergarten, for the parents and
other relatives of these children, deleted text beginanddeleted text end for expectant parentsnew text begin, and for alloparentsnew text end. To the extent
that funds are insufficient to provide programs for all children, early childhood family
education programs should emphasize programming for a child from birth to age three and
encourage parents and other relatives to involve four- and five-year-old children in school
readiness programs, and other public and nonpublic early learning programs. A district may
not limit participation to school district residents. Early childhood family education programs
must provide:

(1) programs to educate parents and other relatives about the physical, cognitive, social,
and emotional development of children and to enhance the skills of parents and other relatives
in providing for their children's learning and development;

(2) structured learning activities requiring interaction between children and their parents
or relatives;

(3) structured learning activities for children that promote children's development and
positive interaction with peers, which are held while parents or relatives attend parent
education classes;

(4) information on related community resources;

(5) information, materials, and activities that support the safety of children, including
prevention of child abuse and neglect;

(6) a community needs assessment that identifies new and underserved populations,
identifies child and family risk factors, particularly those that impact children's learning and
development, and assesses family and parenting education needs in the community;

(7) programming and services that are tailored to the needs of families and parents
prioritized in the community needs assessment; and

(8) information about and, if needed, assist in making arrangements for an early childhood
health and developmental screening under sections 121A.16 and 121A.17, when the child
nears the third birthday.

Early childhood family education programs should prioritize programming and services
for families and parents identified in the community needs assessment, particularly those
families and parents with children with the most risk factors birth to age three.

Early childhood family education programs are encouraged to provide parents of English
learners with translated oral and written information to monitor the program's impact on
their children's English language development, to know whether their children are progressing
in developing their English and native language proficiency, and to actively engage with
and support their children in developing their English and native language proficiency.

The programs must include learning experiences for children, parents, and other relatives
that promote children's early literacy and, where practicable, their native language skills
and activities for children that require substantial involvement of the children's parents or
other relatives. The program may provide parenting education programming or services to
anyone identified in the community needs assessment. Providers must review the program
periodically to assure the instruction and materials are not racially, culturally, or sexually
biased. The programs must encourage parents to be aware of practices that may affect
equitable development of children.

(b) For the purposes of this section, "relative" or "relatives" means noncustodial
grandparents or other persons related to a child by blood, marriage, adoption, or foster
placement, excluding parents.

Sec. 4.

Minnesota Statutes 2020, section 124D.142, is amended to read:


124D.142 QUALITY RATING AND IMPROVEMENT SYSTEM.

new text begin Subdivision 1. new text end

new text begin System established. new text end

deleted text begin(a)deleted text end There is established a quality rating and
improvement system (QRIS) frameworknew text begin, known as Parent Aware,new text end to ensure that Minnesota's
children have access to high-quality early learning and care programs in a range of settings
so that they are fully ready for kindergarten deleted text beginby 2020deleted text end. deleted text beginCreation of a standards-based voluntary
quality rating and improvement system includes:
deleted text end

new text begin Subd. 2. new text end

new text begin System components. new text end

new text begin The standards-based, voluntary quality rating and
improvement system includes:
new text end

(1) quality opportunities in order to improve the educational outcomes of children so
that they are ready for schooldeleted text begin. Thedeleted text endnew text begin;
new text end

new text begin (2) anew text end framework deleted text beginshall bedeleted text end based on the Minnesota quality rating system rating tool and
a common set of child outcome and program standards and informed by evaluation results;

deleted text begin (2)deleted text endnew text begin (3)new text end a tool to increase the number of publicly funded and regulated early learning and
care services in both public and private market programs that are high qualitydeleted text begin.deleted text endnew text begin;
new text end

new text begin (4) voluntary participation that ensures thatnew text end if a program or provider chooses to participate,
the program or provider will be rated and may receive public funding associated with the
ratingdeleted text begin. The state shall develop a plan to link future early learning and care state funding to
the framework in a manner that complies with federal requirements
deleted text end; and

deleted text begin (3)deleted text endnew text begin (5)new text end tracking progress toward statewide access to high-quality early learning and care
programs, progress toward the number of low-income children whose parents can access
quality programs, and progress toward increasing the number of children who are fully
prepared to enter kindergarten.

deleted text begin (b) In planning a statewide quality rating and improvement system framework in
paragraph (a), the state shall use evaluation results of the Minnesota quality rating system
rating tool in use in fiscal year 2008 to recommend:
deleted text end

deleted text begin (1) a framework of a common set of child outcome and program standards for a voluntary
statewide quality rating and improvement system;
deleted text end

deleted text begin (2) a plan to link future funding to the framework described in paragraph (a), clause (2);
and
deleted text end

deleted text begin (3) a plan for how the state will realign existing state and federal administrative resources
to implement the voluntary quality rating and improvement system framework. The state
shall provide the recommendation in this paragraph to the early childhood education finance
committees of the legislature by March 15, 2011.
deleted text end

deleted text begin (c) Prior to the creation of a statewide quality rating and improvement system in paragraph
(a), the state shall employ the Minnesota quality rating system rating tool in use in fiscal
year 2008 in the original Minnesota Early Learning Foundation pilot areas and additional
pilot areas supported by private or public funds with its modification as a result of the
evaluation results of the pilot project.
deleted text end

new text begin Subd. 3. new text end

new text begin Evaluation. new text end

new text begin (a) By February 1, 2022, the commissioner of human services
must arrange an independent evaluation of the quality rating and improvement system's
effectiveness and impact on:
new text end

new text begin (1) children's progress toward school readiness;
new text end

new text begin (2) the quality of the early learning and care system supply and workforce;
new text end

new text begin (3) parents' ability to access and use meaningful information about early learning and
care program quality; and
new text end

new text begin (4) providers' ability to serve children and families, particularly those from racially,
ethnically, or culturally diverse backgrounds.
new text end

new text begin (b) The evaluation must be performed by a staff member from another agency or a
consultant. An evaluator must have experience in program evaluation and must not be
regularly involved in implementation of the quality rating and improvement system.
new text end

new text begin (c) The evaluation findings, along with the commissioner's recommendations for
revisions, potential future evaluations, and plans for continuous improvement, must be
reported to the chairs and ranking members of the legislative committees with jurisdiction
over early childhood programs by December 31, 2024.
new text end

new text begin (d) At a minimum, the evaluation must:
new text end

new text begin (1) analyze the effectiveness of the quality rating and improvement system, including
but not limited to reviewing:
new text end

new text begin (i) whether quality indicators and measures used in the quality rating and improvement
system are consistent with evidence and research findings on early learning and care program
quality; and
new text end

new text begin (ii) patterns or differences in observed quality of participating early learning and care
programs in comparison to programs at other quality rating and improvement system star
rating levels and accounting for other factors;
new text end

new text begin (2) perform evidence-based assessments of children's developmental gains in ways that
are appropriate for children's linguistic and cultural backgrounds and are aligned with the
state early childhood indicators of progress;
new text end

new text begin (3) analyze the extent to which differences in developmental gains among children
correspond to the star ratings of the early learning and care programs, providing disaggregated
findings by:
new text end

new text begin (i) children's demographic factors, including geographic area, family income level, and
racial and ethnic groups;
new text end

new text begin (ii) type of provider, including family child care providers, child care centers, Head Start
and Early Head Start, and school-based early childhood providers; and
new text end

new text begin (iii) any other categories identified by the commissioner, in consultation with the
commissioners of health and education or entity performing the evaluation;
new text end

new text begin (4) analyze the accessibility for providers to participate in the quality rating and
improvement system, including ease of application and supports for a provider to receive
or improve a rating, and provide disaggregated findings by children's demographic factors
and type of provider, as each is defined in clause (3);
new text end

new text begin (5) analyze the availability of providers participating in the quality rating and
improvement system to families, and provide disaggregated findings by children's
demographic factors and type of provider, as each is defined in clause (3);
new text end

new text begin (6) analyze the degree to which the quality rating and improvement system does or does
not account for racial, cultural, linguistic, and ethnic diversity when measuring quality; and
new text end

new text begin (7) analyze the impact of financial or administrative requirements of the quality rating
and improvement system on family child care providers and child care providers serving
racially, ethnically, and culturally diverse communities.
new text end

new text begin (e) The evaluation must include a comparison of the quality rating and improvement
system with at least three other quality metric systems used in other states. The other metric
systems chosen must incorporate methods of assessing and monitoring developmental and
achievement benchmarks in early care and education settings to assess kindergarten readiness,
including for racially, ethnically, and culturally diverse populations.
new text end

new text begin Subd. 4. new text end

new text begin Equity reports. new text end

new text begin (a) The Department of Human Services shall continue to
participate in a process funded by an outside entity to engage a racially, ethnically, and
geographically diverse group of stakeholders to create a Parent Aware racial equity action
plan. The plan shall include strategies that beneficially impact children and parents from
racially and ethnically diverse communities; equitably support early learning and care
providers to help them meet the Parent Aware rating requirements; and increase equity in
the Parent Aware rating and improvement system. The department shall submit the Parent
Aware racial equity action plan to the legislative committees with jurisdiction over early
learning and care programs by February 1, 2022.
new text end

new text begin (b) The Department of Human Services shall conduct outreach to a racially, ethnically,
and geographically diverse group of early learning and care providers to identify any barriers
that prevent them from pursuing a Parent Aware rating. The department shall summarize
and submit the results of the outreach, along with a plan for reducing those barriers, to the
legislative committees with jurisdiction over early learning and care programs by February
1, 2022.
new text end

Sec. 5.

Minnesota Statutes 2020, section 124D.151, subdivision 2, is amended to read:


Subd. 2.

Program requirements.

(a) A voluntary prekindergarten program provider
must:

(1) provide instruction through play-based learning to foster children's social and
emotional development, cognitive development, physical and motor development, and
language and literacy skills, including the native language and literacy skills of English
learners, to the extent practicable;

(2) measure each child's cognitive and social skills using a formative measure aligned
to the state's early learning standards when the child enters and again before the child leaves
the program, screening and progress monitoring measures, and other age-appropriate versions
from the state-approved menu of kindergarten entry profile measures;

(3) provide comprehensive program content including the implementation of curriculum,
assessment, and instructional strategies aligned with the state early learning standards, and
kindergarten through grade 3 academic standards;

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

(5) provide voluntary prekindergarten instructional staff salaries comparable to the
salaries of local kindergarten through grade 12 instructional staff;

(6) coordinate appropriate kindergarten transition with families, community-based
prekindergarten programs, and school district kindergarten programs;

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

(8) coordinate with relevant community-based services, including health and social
service agencies, to ensure children have access to comprehensive services;

(9) coordinate with all relevant school district programs and services including early
childhood special education, homeless students, and English learners;

(10) ensure staff-to-child ratios of one-to-ten and a maximum group size of 20 childrennew text begin
with at least one licensed teacher
new text end;

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

(12) implement strategies that support the alignment of professional development,
instruction, assessments, and prekindergarten through grade 3 curricula.

(b) A voluntary prekindergarten program must have teachers knowledgeable in early
childhood curriculum content, assessment, native and English language programs, and
instruction.

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

Sec. 6.

Minnesota Statutes 2020, section 124D.151, subdivision 5, is amended to read:


Subd. 5.

Application process; priority for high poverty schools.

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

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

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

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

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

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

(1) concentration of kindergarten students eligible for free or reduced-price lunches by
school site on October 1 of the previous school year. A school site may contract to partner
with a community-based provider or Head Start under subdivision 3 or establish an early
childhood center and use the concentration of kindergarten students eligible for free or
reduced-price meals from a specific school site as long as those eligible children are
prioritized and guaranteed services at the mixed-delivery site or early education center. For
school district programs to be operated at locations that do not have free and reduced-price
lunch concentration data for kindergarten programs for October 1 of the previous school
year, including mixed-delivery programs, the school district average concentration of
kindergarten students eligible for free or reduced-price lunches must be used for the rank
ordering;

(2) presence or absence of a three- or four-star Parent Aware rated program within the
school district or close proximity of the district. School sites with the highest concentration
of kindergarten students eligible for free or reduced-price lunches that do not have a three-
or four-star Parent Aware program within the district or close proximity of the district shall
receive the highest priority, and school sites with the lowest concentration of kindergarten
students eligible for free or reduced-price lunches that have a three- or four-star Parent
Aware rated program within the district or close proximity of the district shall receive the
lowest priority; and

(3) whether the district has implemented a mixed delivery system.

(d) The limit on participation for the programs as specified in subdivision 6 must initially
be allocated among the four groups based on each group's percentage share of the statewide
kindergarten enrollment on October 1 of the previous school year. Within each group, the
participation limit for fiscal years 2018 and 2019 must first be allocated to school sites
approved for aid in the previous year to ensure that those sites are funded for the same
number of participants as approved for the previous year. The remainder of the participation
limit for each group must be allocated among school sites in priority order until that region's
share of the participation limit is reached. If the participation limit is not reached for all
groups, the remaining amount must be allocated to the highest priority school sites, as
designated under this section, not funded in the initial allocation on a statewide basis. For
fiscal year 2020 and later, the participation limit must first be allocated to school sites
approved for aid in fiscal year 2017, and then to school sites approved for aid in fiscal year
2018 based on the statewide rankings under paragraph (c).

(e) deleted text beginOncedeleted text end A school site or a mixed delivery site under subdivision 3 deleted text beginisdeleted text endnew text begin offering a voluntary
prekindergarten or a school readiness plus program
new text end approved for aid under this subdivisiondeleted text begin,
it
deleted text endnew text begin in fiscal year 2021new text end shall remain eligible for aid if it continues to meet program
requirements, regardless of changes in the concentration of students eligible for free or
reduced-price lunches.

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

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

Sec. 7.

Minnesota Statutes 2020, section 124D.151, subdivision 6, is amended to read:


Subd. 6.

Participation limits.

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

(b) In reviewing applications under subdivision 5, the commissioner must limit the total
number of participants in the voluntary prekindergarten deleted text beginand school readiness plus programs
under Laws 2017, First Special Session chapter 5, article 8, section 9,
deleted text endnew text begin programnew text end to not more
than 7,160 participants for fiscal years 2019, 2020, and 2021, and 3,160 participants for
fiscal years 2022 and later.

Sec. 8.

Minnesota Statutes 2020, section 124D.162, is amended to read:


124D.162 KINDERGARTEN READINESS ASSESSMENT.

new text begin Subdivision 1. new text end

new text begin Implementation. new text end

new text begin(a) new text endThe commissioner of education deleted text beginmaydeleted text endnew text begin mustnew text end implement
a kindergarten readiness assessment deleted text beginrepresentativedeleted text end of incoming kindergartnersdeleted text begin.deleted text endnew text begin to:
new text end

new text begin (1) identify preparedness of a child for success in school;
new text end

new text begin (2) inform instructional decision making;
new text end

new text begin (3) improve understanding of connections between kindergarten readiness and later
academic achievement; and
new text end

new text begin (4) produce data that can assist in evaluation of the effectiveness of early childhood
programs.
new text end

new text begin (b) The commissioner must provide districts and charter schools with a process for
measuring the kindergarten readiness of incoming kindergartners on a comparable basis.
The commissioner must approve one or more measurement tools for district and charter
school use.
new text end

new text begin Subd. 2. new text end

new text begin Assessment development. new text end

Thenew text begin measurement tools used fornew text end assessment must
be deleted text beginbased on the Department of Education Kindergarten Readiness Assessment at kindergarten
entrance study
deleted text endnew text begin research-based, developmentally appropriate, valid and reliable, and aligned
to the state early childhood indicators of progress and kindergarten academic standards
new text end.

new text begin Subd. 3. new text end

new text begin Reporting. new text end

new text begin Beginning in the 2022-2023 school year, every district and charter
school must use the commissioner-provided process. Every district and charter school must
annually report kindergarten readiness results under this section to the department in the
form and manner determined by the commissioner concurrent with the district's and charter
school's world's best workforce report under section 120B.11. The commissioner must
publicly report kindergarten readiness results as part of the performance reports required
under section 120B.36 and consistent with section 120B.35, subdivision 3, paragraph (a),
clause (2).
new text end

new text begin Subd. 4. new text end

new text begin Longitudinal data system. new text end

new text begin Beginning with data reported on incoming
kindergartners in the 2022-2023 school year, the commissioner must integrate kindergarten
readiness data under this section into statewide longitudinal educational data systems.
new text end

Sec. 9.

Minnesota Statutes 2020, 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 an eligible child; 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) An "eligible child" means a child who has not yet enrolled in kindergarten and isdeleted text begin:deleted text endnew text begin
not yet five years of age on September 1 of the current school year.
new text end

deleted text begin (1) at least three but not yet five years of age on September 1 of the current school year;
deleted text end

deleted text begin (2) a sibling from birth to age five of a child who has been awarded a scholarship under
this section provided the sibling attends the same program as long as funds are available;
deleted text end

deleted text begin (3) the child of a parent under age 21 who is pursuing a high school degree or a course
of study for a high school equivalency test; or
deleted text end

deleted text begin (4) homeless, in foster care, or in need of child protective services.
deleted text end

(c) new text beginNotwithstanding the priorities outlined in subdivision 3 of this section, new text enda 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.

(d) 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.

(e) 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.

Sec. 10.

Minnesota Statutes 2020, section 124D.165, subdivision 3, is amended to read:


Subd. 3.

Administration.

(a) The commissioner shall establish application timelines
and determine the schedule for awarding scholarships that meets operational needs of eligible
families and programs. The commissioner must deleted text begingive highest priority todeleted text endnew text begin prioritizenew text end applications
from children deleted text beginwhodeleted text endnew text begin as followsnew text end:

(1) new text beginfirst priority is children who new text endhave a parent under age 21 who is pursuing a high school
diploma or a course of study for a high school equivalency testnew text begin, are in foster care or otherwise
in need of protection or services, or have experienced homelessness in the last 24 months,
as defined under the federal McKinney-Vento Homeless Assistance Act, United States
Code, title 42, section 11434a
new text end;

(2) deleted text beginare in foster care or otherwise in need of protection or services; ordeleted text endnew text begin second priority
is children who are from birth through age two; and
new text end

(3) deleted text beginhave experienced homelessness in the last 24 months, as defined under the federal
McKinney-Vento Homeless Assistance Act, United States Code, title 42, section 11434a
deleted text endnew text begin
third priority is children who are age three or four
new text end.

The commissioner may prioritize applications on additional factors including family
income, geographic location, and whether the child's family is on a waiting list for a publicly
funded program providing early education or child care services.

(b) The commissioner shall establish a target for the average scholarship amount per
child based on the results of the rate survey conducted under section 119B.02.

(c) A four-star rated program that has children eligible for a scholarship enrolled in or
on a waiting list for a program beginning in July, August, or September may notify the
commissioner, in the form and manner prescribed by the commissioner, each year of the
program's desire to enhance program services or to serve more children than current funding
provides. The commissioner may designate a predetermined number of scholarship slots
for that program and notify the program of that number. deleted text beginFor fiscal year 2018 and later, the
statewide amount of funding directly designated by the commissioner must not exceed the
funding directly designated for fiscal year 2017. Beginning July 1, 2016,
deleted text end A school district
or Head Start program qualifying under this paragraph may use its established registration
process to enroll scholarship recipients and may verify a scholarship recipient's family
income in the same manner as for other program participants.

(d) A scholarship is awarded for a 12-month period. If the scholarship recipient has not
been accepted and subsequently enrolled in a rated program within deleted text begintendeleted text endnew text begin threenew text end months of the
awarding of the scholarship, the scholarship cancels and the recipient must reapply in order
to be eligible for another scholarship.new text begin If a family is unable to enroll in an eligible program
within three months, they may request an extension based on an established set of criteria
that would be developed under the commissioner's authority.
new text end A child may not be awarded
more than one scholarship in a 12-month period.

(e) A child who receives a scholarship who has not completed development screening
under sections 121A.16 to 121A.19 must complete that screening within 90 days of first
attending an eligible program or within 90 days after the child's third birthday if awarded
a scholarship under the age of three.

(f) For fiscal year 2017 and later, a school district or Head Start program enrolling
scholarship recipients under paragraph (c) may apply to the commissioner, in the form and
manner prescribed by the commissioner, for direct payment of state aid. Upon receipt of
the application, the commissioner must pay each program directly for each approved
scholarship recipient enrolled under paragraph (c) according to the metered payment system
or another schedule established by the commissioner.

Sec. 11.

new text begin [124D.166] LIMIT ON SCREEN TIME FOR CHILDREN IN PRESCHOOL
AND KINDERGARTEN.
new text end

new text begin A child in a publicly funded preschool or kindergarten program may not use an
individual-use screen, such as a tablet, smartphone, or other digital media, without
engagement from a teacher or other students. This section does not apply to a child for
whom the school has in effect an individualized family service plan or an individualized
education program.
new text end

Sec. 12.

Minnesota Statutes 2020, section 126C.05, subdivision 1, is amended to read:


Subdivision 1.

Pupil unit.

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

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

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

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

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

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

(f) A pupil who is in any of grades 1 to 6 is counted as 1.0 pupil unit.

(g) A pupil who is in any of grades 7 to 12 is counted as 1.2 pupil units.

(h) A pupil who is in the postsecondary enrollment options program is counted as 1.2
pupil units.

deleted text begin (i) For fiscal years 2018 through 2021, A prekindergarten pupil who:
deleted text end

deleted text begin (1) is not included in paragraph (a), (b), or (d);
deleted text end

deleted text begin (2) is enrolled in a school readiness plus program under Laws 2017, First Special Session
chapter 5, article 8, section 9; and
deleted text end

deleted text begin (3) has one or more of the risk factors specified by the eligibility requirements for a
school readiness plus program,
deleted text end

deleted text begin is counted as the ratio of the number of hours of instruction to 850 times 1.0, but not more
than 0.6 pupil units. A pupil qualifying under this paragraph must be counted in the same
manner as a voluntary prekindergarten student for all general education and other school
funding formulas.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2022 and later.
new text end

Sec. 13.

Minnesota Statutes 2020, section 126C.05, subdivision 3, is amended to read:


Subd. 3.

Compensation revenue pupil units.

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

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

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

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

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

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

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

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

(3) .60.

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

deleted text begin (e) Notwithstanding paragraphs (a) to (c), for voluntary prekindergarten seats discontinued
in fiscal year 2022 due to the reduction in the participation limit under section 124D.151,
subdivision 6, those discontinued seats must not be used to calculate compensation revenue
pupil units for fiscal year 2022.
deleted text end

deleted text begin (f)deleted text endnew text begin (e)new text end The percentages in this subdivision must be based on the count of individual
pupils and not on a building average or minimum.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue for fiscal year 2022 and later.
new text end

Sec. 14. new text beginAFFORDABLE, HIGH-QUALITY EARLY CARE AND EDUCATION
FOR ALL FAMILIES.
new text end

new text begin It is the goal of the state for all families to have access to affordable, high-quality early
care and education, for children from birth up to age five, that enriches, nurtures, and supports
children and their families. The goal will be achieved by:
new text end

new text begin (1) creating a system under which no family pays more than seven percent of its income
for early care and education;
new text end

new text begin (2) ensuring that a child's access to high-quality early care and education is not determined
by the child's race, income, or zip code; and
new text end

new text begin (3) increasing compensation, credentials, and professional development opportunities
for the early care and education workforce.
new text end

Sec. 15. new text beginGREAT START FOR ALL MINNESOTA CHILDREN TASK FORCE.
new text end

new text begin Subdivision 1. new text end

new text begin Establishment. new text end

new text begin The Great Start for All Minnesota Children Task Force
is established to develop strategies that will meet the goal of all families in the state having
access to affordable, high-quality early care and education, for children from birth up to
age five, that enriches, nurtures, and supports children and their families.
new text end

new text begin Subd. 2. new text end

new text begin Membership. new text end

new text begin (a) The task force shall consist of the following 21 voting
members, appointed by the governor or governor's designee, except as otherwise specified:
new text end

new text begin (1) two members of the house of representatives, appointed first from the majority party
by the speaker of the house and second from the minority party by the minority leader. One
of the members must represent a district outside of the seven-county metropolitan area, and
one member must represent a district that includes the seven-county metropolitan area. The
appointment by the minority leader must ensure that the requirement for geographic diversity
in appointments is met;
new text end

new text begin (2) two members of the senate, appointed first from the majority party by the majority
leader and second from the minority party by the minority leader. One of the members must
represent a district outside of the seven-county metropolitan area, and one member must
represent a district that includes the seven-county metropolitan area. The appointment by
the minority leader must ensure that the requirement for geographic diversity in appointments
is met;
new text end

new text begin (3) one individual who is the director of a licensed child care center with at least 50
percent of its enrolled children eligible for or currently receiving public assistance for early
care and education;
new text end

new text begin (4) two individuals who are license holders of family child care programs, one from
greater Minnesota and one from the seven-county metropolitan area;
new text end

new text begin (5) one individual who is both a licensed early childhood teacher and a member of a
licensed early childhood educator union;
new text end

new text begin (6) two parents of children under the age of five who are enrolled in early care and
education programs, one parent from greater Minnesota and one parent from the seven-county
metropolitan area;
new text end

new text begin (7) one representative of an organization that organizes licensed child care centers and
employees;
new text end

new text begin (8) one representative from the statewide child care resource and referral network, known
as Child Care Aware;
new text end

new text begin (9) one representative of a trade organization representing the interests of licensed child
care centers;
new text end

new text begin (10) one representative of a federally recognized Tribe;
new text end

new text begin (11) one representative from the Minnesota Association of County Social Service
Administrators;
new text end

new text begin (12) one nationally recognized expert in early care and education financing;
new text end

new text begin (13) one representative from an association representing small business interests;
new text end

new text begin (14) one representative of a statewide advocacy organization that supports and promotes
early childhood education and welfare;
new text end

new text begin (15) one representative from the Minnesota Head Start Association;
new text end

new text begin (16) one representative from an organization representing community education directors;
and
new text end

new text begin (17) one representative from the Children's Cabinet.
new text end

new text begin (b) One representative from each of the following state agencies shall serve as a nonvoting
member of the task force who participates in meetings and provides data and information
to the task force upon request:
new text end

new text begin (1) the Department of Education;
new text end

new text begin (2) the Department of Employment and Economic Development;
new text end

new text begin (3) the Department of Health;
new text end

new text begin (4) the Department of Human Services;
new text end

new text begin (5) the Department of Labor and Industry;
new text end

new text begin (6) the Department of Management and Budget; and
new text end

new text begin (7) the Department of Revenue.
new text end

new text begin Subd. 3. new text end

new text begin Administration. new text end

new text begin (a) The governor must select a chair or cochairs for the task
force from among the voting members. The first task force meeting shall be convened by
the chair or cochairs and held no later than September 1, 2021. Thereafter, the chair or
cochairs shall convene the task force at least monthly and may convene other meetings as
necessary. The chair or cochairs shall convene meetings in a manner to allow for access
from diverse geographic locations in Minnesota.
new text end

new text begin (b) Members of the task force shall serve without compensation.
new text end

new text begin (c) The commissioner of management and budget shall provide staff and administrative
services for the task force.
new text end

new text begin (d) The task force shall expire upon submission of the final report required under
subdivision 8.
new text end

new text begin (e) The duties of the task force in this section shall be transferred to an applicable state
agency if specifically authorized under law to carry out such duties.
new text end

new text begin (f) The task force is subject to Minnesota Statutes, chapter 13D.
new text end

new text begin Subd. 4. new text end

new text begin Plan development. new text end

new text begin (a) The task force must develop a plan to achieve the goal
outlined in subdivision 1 by 2031. The plan must incorporate strategies that:
new text end

new text begin (1) create a system under which no family pays more than seven percent of its income
for early care and education;
new text end

new text begin (2) ensure that a child's access to high-quality early care and education is not determined
by the child's race, income, or zip code; and
new text end

new text begin (3) increase compensation to at least a livable wage and increase professional development
and credentialing opportunities for the early care and education workforce, which includes
but is not limited to early educators working in Head Start, family child care programs,
child care centers, school-based programs, and early childhood special education.
new text end

new text begin (b) Development of the strategies must incorporate or otherwise take into account the
factors identified in subdivisions 5 and 6.
new text end

new text begin Subd. 5. new text end

new text begin Affordable, high-quality early care and education. new text end

new text begin In developing the plan
under subdivision 4, the task force must:
new text end

new text begin (1) identify the benefit mechanisms, financing mechanisms, and infrastructure under
which families will access financial assistance so early care and education is affordable;
new text end

new text begin (2) describe how the plan will be administered, including the roles for state agencies,
local government agencies, and community-based organizations;
new text end

new text begin (3) describe how the plan will maintain and encourage the further development of
Minnesota's mixed-delivery system for early care and education;
new text end

new text begin (4) consider the recommendations from previous work including the Transforming
Minnesota's Early Childhood Workforce project;
new text end

new text begin (5) consider how provider payment rates will be determined and updated under a seven
percent cap; and
new text end

new text begin (6) consider how the state can develop and implement diverse methods of assessing and
monitoring developmental and achievement benchmarks in early care and education settings
to assess kindergarten readiness.
new text end

new text begin Subd. 6. new text end

new text begin Workforce compensation. new text end

new text begin In developing the plan under subdivision 4, the
task force must:
new text end

new text begin (1) endeavor to preserve and increase racial and ethnic equity and diversity in the early
care and education workforce and recognize the value of cultural competency and
multilingualism;
new text end

new text begin (2) include a salary floor that supports recruitment and retention of a qualified workforce
in every early care and education setting;
new text end

new text begin (3) consider the need for and development of a mechanism that ties provider
reimbursement rates to employee compensation;
new text end

new text begin (4) consider how compensation standards for early educators will apply at both child
care centers and family child care programs;
new text end

new text begin (5) increase compensation to incentivize advancements in relevant higher education
credentials, training, years of experience, and credential equivalencies, including certified
demonstrations of competencies developed through apprenticeships, peer learning models,
and community-based training; and
new text end

new text begin (6) set compensation for the early care and education workforce by reference to
compensation for licensed elementary school teachers, and consider differentiating base
compensation for:
new text end

new text begin (i) varying levels of responsibility, including but not limited to center directors, assistant
directors, lead teachers, assistant teachers, paraprofessionals, family child care license
holders, second adult caregivers, substitutes, and helpers; and
new text end

new text begin (ii) different geographic areas of the state.
new text end

new text begin Subd. 7. new text end

new text begin Implementation timeline. new text end

new text begin The task force must develop an implementation
timeline for the plan developed under subdivision 4 that phases in the plan over a period of
no more than six years, beginning in July 2025 and finishing no later than July 2031. In
developing the implementation timeline, the task force must consider:
new text end

new text begin (1) how to simultaneously apply the seven percent cap to as many families as possible
while minimizing disruptions in the availability and cost of currently available early care
and education arrangements;
new text end

new text begin (2) the capacity for the state to increase the availability of different types of early care
and education settings from which a family may choose;
new text end

new text begin (3) how the inability to afford and access early care and education settings
disproportionately affects certain populations; and
new text end

new text begin (4) how to provide additional targeted investments for early care and education providers
serving a high proportion of families currently eligible for or receiving public assistance
for early care and education.
new text end

new text begin Subd. 8. new text end

new text begin Required reports. new text end

new text begin By July 1, 2022, the task force must submit to the governor
and legislative committees with jurisdiction over early childhood programs preliminary
findings and draft implementation plans pursuant to the plan required under subdivision 4.
By February 1, 2023, the task force must submit to the governor and legislative committees
with jurisdiction over early childhood programs final recommendations and implementation
plans pursuant to subdivision 4.
new text end

Sec. 16. new text beginDIRECTION TO THE CHILDREN'S CABINET; EARLY CHILDHOOD
GOVERNANCE REPORT.
new text end

new text begin Subdivision 1. new text end

new text begin Recommendations. new text end

new text begin The Children's Cabinet shall develop
recommendations on the governance of programs relating to early childhood development,
care, and learning, including how such programs could be consolidated into an existing
state agency or a new state Department of Early Childhood. The recommendations shall
address the impact of such a consolidation on:
new text end

new text begin (1) state efforts to ensure that all Minnesota children are kindergarten-ready, with race,
income, and zip code no longer predictors of school readiness;
new text end

new text begin (2) coordination and alignment among programs;
new text end

new text begin (3) the effort required of families to receive services to which they are entitled;
new text end

new text begin (4) the effort required of service providers to participate in childhood programs; and
new text end

new text begin (5) the articulation between early care and education programs and the kindergarten
through grade 12 system.
new text end

new text begin Subd. 2. new text end

new text begin Public input. new text end

new text begin In developing the recommendations required under subdivision
1, the Children's Cabinet must provide for a community engagement process to seek input
from the public and stakeholders.
new text end

new text begin Subd. 3. new text end

new text begin Report. new text end

new text begin (a) The Children's Cabinet shall produce a report that includes:
new text end

new text begin (1) the recommendations required under subdivision 1;
new text end

new text begin (2) the explanations and reasoning behind such recommendations;
new text end

new text begin (3) a description of the community engagement process required under subdivision 2;
and
new text end

new text begin (4) a summary of the feedback received from the public and early care and education
stakeholders through the community engagement process.
new text end

new text begin (b) The Children's Cabinet may arrange for consultants to assist with the development
of the report.
new text end

new text begin (c) By February 1, 2022, the Children's Cabinet shall submit the report to the governor
and the legislative committees with jurisdiction over early childhood programs.
new text end

Sec. 17. new text beginDIRECTION TO THE CHILDREN'S CABINET; EVALUATION OF THE
USE OF FEDERAL MONEY.
new text end

new text begin (a) The Children's Cabinet, with the assistance of the commissioners of human services,
education, and employment and economic development, shall conduct an evaluation of the
use of federal money received pursuant to the American Rescue Plan Act of 2021 (Public
Law 117-2), the Coronavirus Response and Relief Supplemental Appropriations Act of
2020 (Public Law 116-260), and the Coronavirus Aid, Relief, and Economic Security Act
(Public Law 116-136) to address the state's needs in the area of early care and education.
The Children's Cabinet may arrange for consultants to assist with the evaluation.
new text end

new text begin (b) The evaluation shall address at least the following topics with results disaggregated,
to the extent practicable, by age, race, ethnicity, and geographic areas of the state:
new text end

new text begin (1) changes in the number of children who are able to access early care and education
programs, including children from the following categories: those from low-income families;
those who have disabilities or developmental delays; those who are English language
learners; those who are members of American Indian Tribes; and those who are migrant,
homeless, in foster care, or are in need of child protective services;
new text end

new text begin (2) changes in the supply of early care and education, particularly in areas of the state
with shortages of early care and education;
new text end

new text begin (3) changes in the quality of early care and education programs, as measured pursuant
to the state's quality rating and improvement system under Minnesota Statutes, section
124D.142; and
new text end

new text begin (4) changes in the average compensation and credentials of the early care and education
workforce.
new text end

new text begin (c) The Children's Cabinet shall submit interim findings of the evaluation to the governor
and the legislative committees with jurisdiction over early childhood programs by February
1 in each of calendar years 2022, 2023, and 2024. The Children's Cabinet shall submit a
final report to the governor and the legislative committees with jurisdiction over early
childhood programs by February 1, 2025.
new text end

Sec. 18. new text beginREPEALER.
new text end

new text begin Laws 2017, First Special Session chapter 5, article 8, section 9, new text end new text begin is repealed.
new text end

ARTICLE 5

APPROPRIATIONS; EARLY EDUCATION

Section 1. new text beginMINNESOTA MANAGEMENT AND BUDGET.
new text end

new text begin (a) $500,000 in fiscal year 2022 is appropriated from the general fund to the commissioner
of management and budget for the Great Start for All Minnesota Children Task Force. This
is a onetime appropriation.
new text end

new text begin (b) $250,000 in fiscal year 2022 is appropriated from the general fund to the commissioner
of management budget for the early childhood governance report. This is a onetime
appropriation.
new text end

Sec. 2. new text beginDEPARTMENT OF EDUCATION.
new text end

new text begin Subdivision 1. new text end

new text begin Department of Education. new text end

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

new text begin Subd. 2. new text end

new text begin School readiness. new text end

new text begin (a) For revenue for school readiness programs under
Minnesota Statutes, sections 124D.15 and 124D.16:
new text end

new text begin $
new text end
new text begin 33,683,000
new text end
new text begin .....
new text end
new text begin 2022
new text end
new text begin $
new text end
new text begin 33,683,000
new text end
new text begin .....
new text end
new text begin 2023
new text end

new text begin (b) The 2022 appropriation includes $3,368,000 for fiscal year 2021 and $30,315,000
for fiscal year 2022.
new text end

new text begin (c) The 2023 appropriation includes $3,368,000 for fiscal year 2022 and $30,315,000
for fiscal year 2023.
new text end

new text begin Subd. 3. new text end

new text begin Early learning scholarships. new text end

new text begin (a) For the early learning scholarship program
under Minnesota Statutes, section 124D.165:
new text end

new text begin $
new text end
new text begin 88,949,000
new text end
new text begin .....
new text end
new text begin 2022
new text end
new text begin $
new text end
new text begin 88,949,000
new text end
new text begin .....
new text end
new text begin 2023
new text end

new text begin (b) This appropriation is subject to the requirements under Minnesota Statutes, section
124D.165, subdivision 6.
new text end

new text begin (c) The base for each of fiscal years 2024 and 2025 is $89,997,000.
new text end

new text begin Subd. 4. new text end

new text begin Head Start program. new text end

new text begin For Head Start programs under Minnesota Statutes,
section 119A.52:
new text end

new text begin $
new text end
new text begin 25,100,000
new text end
new text begin .....
new text end
new text begin 2022
new text end
new text begin $
new text end
new text begin 25,100,000
new text end
new text begin .....
new text end
new text begin 2023
new text end

new text begin Subd. 5. new text end

new text begin Early childhood family education aid. new text end

new text begin (a) For early childhood family education
aid under Minnesota Statutes, section 124D.135:
new text end

new text begin $
new text end
new text begin 33,772,000
new text end
new text begin .....
new text end
new text begin 2022
new text end
new text begin $
new text end
new text begin 34,055,000
new text end
new text begin .....
new text end
new text begin 2023
new text end

new text begin (b) The 2022 appropriation includes $3,339,000 for fiscal year 2021 and $30,433,000
for fiscal year 2022.
new text end

new text begin (c) The 2023 appropriation includes $3,381,000 for fiscal year 2022 and $30,674,000
for fiscal year 2023.
new text end

new text begin Subd. 6. new text end

new text begin Developmental screening aid. new text end

new text begin (a) For developmental screening aid under
Minnesota Statutes, sections 121A.17 and 121A.19:
new text end

new text begin $
new text end
new text begin 3,582,000
new text end
new text begin .....
new text end
new text begin 2022
new text end
new text begin $
new text end
new text begin 3,476,000
new text end
new text begin .....
new text end
new text begin 2023
new text end

new text begin (b) The 2022 appropriation includes $360,000 for fiscal year 2021 and $3,222,000 for
fiscal year 2022.
new text end

new text begin (c) The 2023 appropriation includes $358,000 for fiscal year 2022 and $3,118,000 for
fiscal year 2023.
new text end

new text begin Subd. 7. new text end

new text begin ParentChild+ program. new text end

new text begin (a) For a grant to the ParentChild+ program:
new text end

new text begin $
new text end
new text begin 1,500,000
new text end
new text begin .....
new text end
new text begin 2022
new text end
new text begin $
new text end
new text begin 1,500,000
new text end
new text begin .....
new text end
new text begin 2023
new text end

new text begin (b) The ParentChild+ program must use the grant to implement its evidence-based and
research-validated early childhood literacy and school readiness program for children ages
16 months to four years. The program must be implemented at existing ParentChild+ program
locations, including Cass County, Hennepin County, and Rice County, and the cities of
Rochester and St. Cloud, or at any new rural, suburban, or urban locations.
new text end

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

new text begin Subd. 8. new text end

new text begin Kindergarten readiness assessment. new text end

new text begin (a) For the kindergarten readiness
assessment under Minnesota Statutes, section 124D.162:
new text end

new text begin $
new text end
new text begin 1,781,000
new text end
new text begin .....
new text end
new text begin 2022
new text end
new text begin $
new text end
new text begin 1,781,000
new text end
new text begin .....
new text end
new text begin 2023
new text end

new text begin (b) The base for each of fiscal years 2024 and 2025 is $1,500,000.
new text end

new text begin Subd. 9. new text end

new text begin Quality rating and improvement system. new text end

new text begin (a) For transfer to the commissioner
of human services for the purposes of expanding the quality rating and improvement system
under Minnesota Statutes, section 124D.142, in greater Minnesota and increasing supports
for providers participating in the quality rating and improvement system:
new text end

new text begin $
new text end
new text begin 1,750,000
new text end
new text begin .....
new text end
new text begin 2022
new text end
new text begin $
new text end
new text begin 1,750,000
new text end
new text begin .....
new text end
new text begin 2023
new text end

new text begin (b) The amounts in paragraph (a) must be in addition to any federal funding under the
child care and development block grant authorized under Public Law 101-508 in that year
for the system under Minnesota Statutes, section 124D.142.
new text end

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

new text begin Subd. 10. new text end

new text begin Early childhood programs at Tribal contract schools. new text end

new text begin For early childhood
family education programs at Tribal contract schools under Minnesota Statutes, section
124D.83, subdivision 4:
new text end

new text begin $
new text end
new text begin 68,000
new text end
new text begin .....
new text end
new text begin 2022
new text end
new text begin $
new text end
new text begin 68,000
new text end
new text begin .....
new text end
new text begin 2023
new text end

new text begin Subd. 11. new text end

new text begin Educate parents partnership. new text end

new text begin For the educate parents partnership under
Minnesota Statutes, section 124D.129:
new text end

new text begin $
new text end
new text begin 49,000
new text end
new text begin .....
new text end
new text begin 2022
new text end
new text begin $
new text end
new text begin 49,000
new text end
new text begin .....
new text end
new text begin 2023
new text end

new text begin Subd. 12. new text end

new text begin Home visiting aid. new text end

new text begin (a) For home visiting aid under Minnesota Statutes, section
124D.135:
new text end

new text begin $
new text end
new text begin 462,000
new text end
new text begin .....
new text end
new text begin 2022
new text end
new text begin $
new text end
new text begin 444,000
new text end
new text begin .....
new text end
new text begin 2023
new text end

new text begin (b) The 2022 appropriation includes $47,000 for fiscal year 2021 and $415,000 for fiscal
year 2022.
new text end

new text begin (c) The 2023 appropriation includes $46,000 for fiscal year 2022 and $398,000 for fiscal
year 2023.
new text end

new text begin Subd. 13. new text end

new text begin Reach Out and Read Minnesota. new text end

new text begin (a) For a grant to support Reach Out and
Read Minnesota to expand its statewide program that encourages early childhood
development through a network of health care clinics:
new text end

new text begin $
new text end
new text begin 150,000
new text end
new text begin .....
new text end
new text begin 2022
new text end
new text begin $
new text end
new text begin 150,000
new text end
new text begin .....
new text end
new text begin 2023
new text end

new text begin (b) The grant recipient must implement a plan that includes:
new text end

new text begin (1) integrating children's books and parent education into well-child visits;
new text end

new text begin (2) creating literacy-rich environments at clinics, including books for visits outside of
Reach Out and Read Minnesota parameters or for waiting room use or volunteer readers to
model read-aloud techniques for parents where possible;
new text end

new text begin (3) working with public health clinics, federally qualified health centers, Tribal sites,
community health centers, and clinics that belong to health care systems, as well as
independent clinics in underserved areas; and
new text end

new text begin (4) training medical professionals on speaking with parents of infants, toddlers, and
preschoolers on the importance of early literacy.
new text end

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

new text begin Subd. 14. new text end

new text begin Early childhood Tribal education and engagement grants. new text end

new text begin (a) For grants
to the 11 Tribal Nations located in Minnesota to provide programming and services for
parents and children who are enrolled or eligible for enrollment in a federally recognized
Tribe. Admission may not be limited to those enrolled or eligible for enrollment in a federally
recognized Tribe:
new text end

new text begin $
new text end
new text begin 3,300,000
new text end
new text begin .....
new text end
new text begin 2022
new text end
new text begin $
new text end
new text begin 3,300,000
new text end
new text begin .....
new text end
new text begin 2023
new text end

new text begin (b) Grant funds must be used to support programming and services in one or more of
three focus areas:
new text end

new text begin (1) implementing strategies to support comprehensive, authentic family engagement
and education;
new text end

new text begin (2) implementing strategies to increase language and literacy outcomes through language
revitalization efforts; or
new text end

new text begin (3) implementing strategies supporting the recruitment and retention of prospective
American Indian teachers and enhancing the practice of current American Indian teachers
and adults who work in Tribal communities through deep pedagogical professional
development.
new text end

new text begin (c) Each Tribal Nation may apply to the department for grants of up to $100,000 per
focus area for a maximum amount of $285,000. Each Tribal Nation grant recipient must
submit an annual proposal to the commissioner that outlines specific strategies for providing
early childhood family engagement and education programs and outreach.
new text end

new text begin (d) The department will provide technical assistance to the grant recipients by designing,
in collaboration with the 11 Tribal Nations, guidance that includes potential strategies and
examples of comprehensive, coherent approaches.
new text end

new text begin (e) Each Tribe awarded a grant will submit an annual report to the commissioner on July
1 on the numbers of families and children participating and measurable outcomes on
engagement, language revitalization, and supporting American Indian teachers in Tribal
communities.
new text end

new text begin (f) Up to five percent is reserved to the department for program and grant administration.
new text end

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

ARTICLE 6

APPROPRIATIONS; HEALTH AND HUMAN SERVICES

Section 1. new text beginHEALTH AND HUMAN SERVICES APPROPRIATIONS.
new text end

new text begin The sums shown in the columns marked "Appropriations" are appropriated to the agencies
and for the purposes specified in this article. The appropriations are from the general fund,
or another named fund, and are available for the fiscal years indicated for each purpose.
The figures "2022" and "2023" used in this article mean that the appropriations listed under
them are available for the fiscal year ending June 30, 2022, or June 30, 2023, respectively.
"The first year" is fiscal year 2022. "The second year" is fiscal year 2023. "The biennium"
is fiscal years 2022 and 2023.
new text end

new text begin APPROPRIATIONS
new text end
new text begin Available for the Year
new text end
new text begin Ending June 30
new text end
new text begin 2022
new text end
new text begin 2023
new text end

Sec. 2. new text beginCOMMISSIONER OF HUMAN
SERVICES
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 160,654,000
new text end
new text begin $
new text end
new text begin 168,241,000
new text end
new text begin Appropriations by Fund
new text end
new text begin 2022
new text end
new text begin 2023
new text end
new text begin General
new text end
new text begin 160,654,000
new text end
new text begin 168,241,000
new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end

new text begin Central Office; Operations
new text end

new text begin Appropriations by Fund
new text end
new text begin General
new text end
new text begin 1,185,000
new text end
new text begin 1,511,000
new text end

new text begin (a) Ombudsperson for Child Care
Providers.
$120,000 in fiscal year 2022 and
$126,000 in fiscal year 2023 are for an
ombudsperson for child care providers under
Minnesota Statutes, section 119B.27.
new text end

new text begin (b) Base Level Adjustment. The general fund
base is increased by $1,511,000 in fiscal year
2024 and $152,000 in fiscal year 2025.
new text end

new text begin Subd. 3. new text end

new text begin Forecasted Programs; MFIP Child Care
Assistance
new text end

new text begin 103,559,000
new text end
new text begin 110,880,000
new text end

new text begin Subd. 4. new text end

new text begin Grant Programs; Basic Sliding Fee
Child Care Assistance Grants
new text end

new text begin 53,593,000
new text end
new text begin 53,593,000
new text end

new text begin Subd. 5. new text end

new text begin Grant Programs; Child Care
Development Grants
new text end

new text begin 2,317,000
new text end
new text begin 2,257,000
new text end

new text begin (a) TEACH Grant Program. $500,000 in
fiscal year 2022 and $500,000 in fiscal year
2023 are for TEACH program grants under
Minnesota Statutes, section 136A.128.
new text end

new text begin (b) Peer Mentoring Program for Licensed
Family Child Care Providers.
$30,000 in
fiscal year 2022 and $20,000 in fiscal year
2023 are for a grant to the Minnesota Child
Care Provider Information Network for
establishing a peer mentoring program for
licensed family child care providers in the
state. The grant money must be used to revise
and update peer mentoring program curricula,
recruit and train mentors and program
participants, and support mentors and active
mentoring. The Minnesota Child Care
Provider Information Network must submit
to the commissioner an initial report
describing the program's implementation
progress and financial accounting by
September 1, 2022, and a final report must be
submitted by June 30, 2023. Any unexpended
balance in the first year does not cancel and
is available in the second year. This is a
onetime appropriation.
new text end

new text begin (c) Report on Foster Children Participation
in Early Childhood Programs.
$50,000 in
fiscal year 2022 is for interim and final reports
on foster children's participation in early
childhood programs. This is a onetime
appropriation and is available until June 30,
2023.
new text end

new text begin (d) Child Care Center Regulation
Modernization.
$577,000 in fiscal year 2022
and $741,000 in fiscal year 2023 are for the
child care center regulation modernization
project. This is a onetime appropriation and
remains available until June 30, 2024.
new text end

new text begin (e) Family Child Care Regulation
Modernization.
$478,000 in fiscal year 2022
and $642,000 in fiscal year 2023 are for the
family child care regulation modernization
project. This is a onetime appropriation and
remains available until June 30, 2024.
new text end

new text begin (f) Base Level Adjustment. The general fund
base is $2,237,000 in fiscal year 2024 and
$2,237,000 in fiscal year 2025.
new text end

Sec. 3. new text beginDIRECTION TO THE COMMISSIONER OF HUMAN SERVICES; CHILD
CARE AND DEVELOPMENT BLOCK GRANT ALLOCATION.
new text end

new text begin (a) The commissioner of human services shall allocate $212,400,000 from the child care
development block grant amount in the federal fund as follows:
new text end

new text begin (1) $1,650,000 for the quality rating and improvement system's evaluation under
Minnesota Statutes, section 124D.142, subdivision 3; and
new text end

new text begin (2) the remaining amount to reprioritize the basic sliding fee program waiting list under
Minnesota Statutes, section 119B.03, to increase child care assistance rates for legal,
nonlicensed family child care providers under Minnesota Statutes, section 119B.13,
subdivision 1a, and to increase child care assistance rates under Minnesota Statutes, section
119B.13, subdivision 1, paragraph (a), to the 50th percentile of the most recent market rate
survey. The commissioner may not increase the rate differential percentage established
under Minnesota Statutes, section 119B.13, subdivision 3a or 3b.
new text end

new text begin (b) Each year, an amount equal to at least 88 percent of the federal discretionary funding
in the Child Care Development Block Grant of 2014, Public Law 113-186, in federal fiscal
year 2018 above the amounts authorized in federal fiscal year 2017, not to exceed the cost
of rate adjustments, shall be allocated to pay the cost of rate adjustments based on the most
recent market survey.
new text end

new text begin (c) When increased federal discretionary child care development block grant funding is
used to pay for the rate increase under paragraph (a), the commissioner, in consultation with
the commissioner of management and budget, may adjust the amount of working family
credit expenditures as needed to meet the state's maintenance of effort requirements for the
TANF block grant.
new text end

Sec. 4. new text beginDIRECTION TO THE COMMISSIONER OF HUMAN SERVICES; CHILD
CARE STABILIZATION.
new text end

new text begin The commissioner shall allocate $325,000,000 from the child care development block
grant amount in the federal fund for the following purposes:
new text end

new text begin (1) $1,500,000 for the Children's Cabinet to conduct an evaluation of the use of federal
money on early care and learning programs;
new text end

new text begin (2) $500,000 to award grants to community-based organizations working with family,
friend, and neighbor caregivers, with a particular emphasis on such caregivers serving
children from low-income families, families of color, Tribal communities, or families with
limited English language proficiency, to promote healthy development, social-emotional
learning, early literacy, and school readiness;
new text end

new text begin (3) $100,000 for a grant program to test strategies by which family child care providers
could share services;
new text end

new text begin (4) $500,000 for competitive grants to expand access to child care for children with
disabilities;
new text end

new text begin (5) $5,000,000 for child care improvement grants under Minnesota Statutes, section
119B.25;
new text end

new text begin (6) $5,000,000 for administering the monthly grants under clause (7); and
new text end

new text begin (7) the remaining amount to award monthly grants, between July 1, 2021, and June 30,
2023, to providers of early care and education to support the stability of the sector, with
providers required to direct 75 percent of such grants to employees or other individuals
providing early care and education services.
new text end

Sec. 5. new text beginFEDERAL FUNDS REPLACEMENT; APPROPRIATION.
new text end

new text begin Notwithstanding any law to the contrary, the commissioner of management and budget
must determine whether the expenditures authorized under this act are eligible uses of federal
funding received under the Coronavirus State Fiscal Recovery Fund or any other federal
funds received by the state under the American Rescue Plan Act, Public Law 117-2. If the
commissioner of management and budget determines an expenditure is eligible for funding
under Public Law 117-2, the amount of the eligible expenditure is appropriated from the
account where those amounts have been deposited and the corresponding general fund
amounts appropriated under this act are canceled to the general fund.
new text end

new text begin EFFECTIVE DATE. new text end

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

APPENDIX

Repealed Minnesota Statutes: H2230-1

119B.04 FEDERAL CHILD CARE AND DEVELOPMENT FUND.

Subdivision 1.

Commissioner to administer program.

The commissioner is authorized and directed to receive, administer, and expend funds available under the child care and development fund under Public Law 104-193, Title VI.

Subd. 2.

Rulemaking authority.

The commissioner may adopt rules under chapter 14 to administer the child care and development fund.

119B.125 PROVIDER REQUIREMENTS.

Subd. 5.

Provisional payment.

After a county receives a completed application from a provider, the county may issue provisional authorization and payment to the provider during the time needed to determine whether to give final authorization to the provider.

Repealed Minnesota Session Laws: H2230-1

Laws 2017, First Special Session chapter 5, article 8, section 9

Sec. 9. new text beginSCHOOL READINESS PLUS PROGRAM.new text end

new text begin Subdivision 1. new text end

new text begin Establishment; purpose. new text end

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

new text begin Subd. 2. new text end

new text begin Program requirements. new text end

new text begin A school readiness plus program provider must: new text end

new text begin (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; new text end

new text begin (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; new text end

new text begin (3) coordinate appropriate kindergarten transition with parents and kindergarten teachers; new text end

new text begin (4) involve parents in program planning and decision making; new text end

new text begin (5) coordinate with relevant community-based services; new text end

new text begin (6) cooperate with adult basic education programs and other adult literacy programs; new text end

new text begin (7) ensure staff-to-child ratios of one-to-ten and a maximum group size of 20 children with at least one licensed teacher; new text end

new text begin (8) have teachers knowledgeable in early childhood curriculum content, assessment, native and English language development programs, and instruction; and new text end

new text begin (9) provide instructional content and activities that are of sufficient length and intensity to address learning needs including offering a program with at least 350 hours of instruction per school year. new text end

new text begin Subd. 3. new text end

new text begin Mixed delivery of services. new text end

new text begin A district or charter school may contract with a charter school, Head Start or child care center, family child care program licensed under Minnesota Statutes, section 245A.03, or a community-based organization to provide eligible children with developmentally appropriate services that meet the program requirements in subdivision 2. new text end

new text begin Subd. 4. new text end

new text begin Eligibility. new text end

new text begin (a) A child who is four years of age as of September 1 in the calendar year in which the school year commences and has one or more of the risk factors under paragraph (b) is eligible to participate in a school readiness plus program free of charge. A child who is four years of age as of September 1 in the calendar year in which the school year commences and does not have one or more of the risk factors under paragraph (b) may participate on a fee-for-service basis. 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 and charter schools must use school readiness plus aid for eligible children. Each eligible child must complete a health and developmental screening within 90 days of program enrollment under Minnesota Statutes, sections 121A.16 to 121A.19, and provide documentation of required immunizations under section 121A.15. new text end

new text begin (b) An at-risk four-year-old child may participate in the school readiness plus program free of charge if the child: new text end

new text begin (1) qualifies for free or reduced-price lunch; new text end

new text begin (2) is an English language learner; new text end

new text begin (3) is homeless; new text end

new text begin (4) has an individualized education program, or individual interagency intervention plan; new text end

new text begin (5) is identified through health and developmental screening under Minnesota Statutes, sections 121A.16 to 121.19, with a potential risk factor that may influence learning; or new text end

new text begin (6) is in foster care. new text end

new text begin Subd. 5. new text end

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

new text begin (a) For 2017-2018 school year, a school district or charter school that did not apply to participate in a voluntary prekindergarten program under Minnesota Statutes, section 124D.151, may apply to the commissioner by July 1, 2017, to participate in a school readiness plus program in the form and manner specified by the commissioner. By June 15, 2017, the commissioner must notify districts and charter schools of the availability of additional money for voluntary prekindergarten and school readiness plus programs. A school district or charter school that previously applied to participate in a voluntary prekindergarten program may amend its application by July 1, 2017, to apply instead for school readiness plus. The commissioner must review all applications for school readiness plus and notify applicant districts and charter schools by August 1, 2017, whether they have been selected for participation. new text end

new text begin (b) For the 2018-2019 school year, a school district or charter school may apply to the commissioner by January 30, 2018, to participate in school readiness plus in the form and manner specified by the commissioner. new text end

new text begin (c) A district or charter school submitting an application under this section must include: (1) a description of the proposed program, including the number of hours per week the program will be offered at each school site or mixed-delivery location; (2) an estimate of the number of eligible children to be served in the program at each school site or mixed-delivery location; (3) the number of children being served that will be new to the program; and (4) a statement of assurances signed by the superintendent or charter school director that the proposed program meets the requirements of subdivision 2. new text end

new text begin (d) The commissioner must award funding for school readiness plus programs across school districts and charter schools in the same manner as for the voluntary prekindergarten program. new text end

new text begin (e) A school site or mixed-delivery site approved for aid under this subdivision remains eligible for aid if the site continues to meet program requirements, regardless of changes in the concentration of students eligible for free or reduced-price lunches. new text end

new text begin Subd. 6. new text end

new text begin No supplanting. new text end

new text begin For a site first qualifying in fiscal year 2018 or 2019, mixed delivery revenue, including voluntary prekindergarten and school readiness plus program revenue, must be used to supplement not supplant existing state, federal, and local revenue for prekindergarten activities. new text end

new text begin EFFECTIVE DATE. new text end

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