Key: (1) language to be deleted (2) new language
CHAPTER 489-H.F.No. 3800 An act relating to education; providing for family and early childhood education; providing for disclosure of data; changing requirements for child care assistance and child care programs; making changes to adult basic education programs; modifying child care licensing and inservice training requirements; changing eligibility for individual development accounts; creating task forces; authorizing commissioner of children, families, and learning to make certain grants; providing for kindergarten through grade 12 general education, special programs, employment and transitions, facilities and technology, educational excellence and other policy, nutrition and other programs, fund transfers, libraries, and technical, conforming, and clarifying amendments; providing for higher education; requiring a study and report; providing relief to campuses experiencing increased health care costs; appropriating money to Minnesota state colleges and universities to fund increased enrollment; appropriating money; amending Minnesota Statutes 1998, sections 119B.03, by adding a subdivision; 120A.22, subdivision 3; 120B.13, subdivision 4; 121A.61, subdivision 3; 122A.31, subdivision 4; 122A.68, subdivision 4; 123A.485, subdivision 4; 123B.02, by adding a subdivision; 123B.04, subdivision 2; 123B.143, subdivision 1; 123B.51, subdivision 6; 123B.52, by adding a subdivision; 123B.57, subdivision 1; 123B.71, subdivision 10; 123B.72, subdivision 3; 123B.75, subdivision 5; 123B.77, subdivision 3; 123B.79, subdivision 7; 123B.85, subdivision 1; 123B.88, subdivision 3; 123B.90, subdivision 1; 124D.03, subdivision 1; 124D.081, subdivision 6; 124D.10, subdivision 9; 124D.111, subdivision 1; 124D.16, subdivision 1; 124D.44; 124D.454, subdivisions 2, 4, 6, 7, and 10; 124D.52, subdivisions 1, 2, 3, and by adding subdivisions; 124D.86, subdivision 6, and by adding subdivisions; 124D.88, by adding a subdivision; 124D.892, subdivision 3; 125A.76, subdivision 7; 126C.12, subdivision 2; 126C.16, subdivision 3; 126C.40, subdivision 1; 126C.69, subdivision 15; 127A.05, subdivision 4; 127A.41, subdivisions 8 and 9; 128D.11, subdivision 3; 136A.125, by adding a subdivision; 169.447, by adding a subdivision; 169.448, subdivision 3; 171.06, subdivision 2; 171.321, subdivisions 2, 3, 4, and 5; 245A.14, subdivision 4, and by adding subdivisions; and 471.15; Minnesota Statutes 1999 Supplement, sections 13.32, subdivision 3; 119B.011, subdivisions 12, 15, as amended, and 20; 119B.03, subdivision 4; 119B.05, subdivision 1; 120B.30, subdivision 1; 122A.23; 122A.31, subdivision 1; 122A.61, subdivision 1; 123B.54; 123B.83, subdivision 4; 123B.90, subdivision 2; 123B.91, subdivision 1; 124D.10, subdivisions 3, 8, 11, 15, and 23; 124D.11, subdivisions 1 and 6; 124D.1155, subdivision 2; 124D.128, subdivision 2; 124D.221, subdivision 2; 124D.453, subdivision 3; 124D.53, subdivision 3; 124D.65, subdivision 4; 124D.68, subdivision 9; 124D.84, subdivision 1; 124D.86, subdivisions 1 and 3; 124D.87; 124D.88, subdivision 3; 125A.023, subdivisions 3 and 5; 125A.027, subdivision 3; 125A.08; 125A.15; 125A.51; 125A.76, subdivisions 1 and 2; 125A.79, subdivisions 2, 5, and 8; 125A.80; 125B.21, subdivision 3; 126C.05, subdivisions 5 and 6; 126C.052; 126C.10, subdivisions 2, 13, 14, 23, 24, 25, and 26; 126C.12, subdivision 1; 126C.17, subdivision 9; 126C.40, subdivision 6; 126C.44, as amended; 127A.05, subdivision 6; 127A.42, subdivision 3; 127A.45, subdivision 12a; 127A.51; 169.974, subdivision 2; 171.05, subdivision 2; 181A.04, subdivision 6; and 260C.143, subdivision 4; Laws 1992, chapter 499, article 7, sections 31, as amended; and 32; Laws 1997, chapter 157, section 71, as amended; Laws 1997, First Special Session chapter 4, article 8, section 4, as amended; Laws 1998, First Special Session chapter 1, article 1, sections 10, subdivision 1, as amended; and 11, subdivisions 1 and 2, as amended; Laws 1999, chapter 205, article 1, sections 65 and 71, subdivisions 3, 7, and 9; article 2, section 4, subdivisions 2 and 3; article 4, section 12, subdivisions 5, 6, and 7; chapter 214, article 1, section 4, subdivision 2; 216, article 4, section 12; chapter 241, article 1, sections 68, subdivisions 2, 4, and 5; 69; and 70; article 2, section 60, subdivisions 7, 9, 12, 13, 14, 17, and 19; article 3, sections 3, subdivisions 3 and 4; and 5; article 4, sections 27, subdivisions 2, 3, 4, 5, 10, and 11; and 29; article 5, section 18, subdivisions 5 and 6; article 6, section 14, subdivisions 2, 3, 4, and 5; article 7, section 2, subdivisions 2 and 5; article 8, section 4, subdivisions 4 and 5; article 9, section 49; and article 10, section 6; proposing coding for new law in Minnesota Statutes, chapters 121A; 123B; 124D; 125B; and 134; repealing Minnesota Statutes 1998, section 124D.53; Minnesota Statutes 1999 Supplement, sections 124D.1155, subdivision 5; Laws 1998, First Special Session chapter 1, article 1, section 10, subdivision 2, as amended; Laws 1999, chapter 241, article 9, sections 35 and 36; article 10, section 5; chapter 245, article 4, section 3; Minnesota Rules, parts 3535.9920; 4830.9005; 4830.9010; 4830.9015; 4830.9020; and 4830.9030. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: ARTICLE 1 FAMILY AND EARLY CHILDHOOD EDUCATION Section 1. Minnesota Statutes 1999 Supplement, section 13.32, subdivision 3, is amended to read: Subd. 3. [PRIVATE DATA; WHEN DISCLOSURE IS PERMITTED.] Except as provided in subdivision 5, educational data is private data on individuals and shall not be disclosed except as follows: (a) Pursuant to section 13.05; (b) Pursuant to a valid court order; (c) Pursuant to a statute specifically authorizing access to the private data; (d) To disclose information in health and safety emergencies pursuant to the provisions of United States Code, title 20, section 1232g(b)(1)(I) and Code of Federal Regulations, title 34, section 99.36; (e) Pursuant to the provisions of United States Code, title 20, sections 1232g(b)(1), (b)(4)(A), (b)(4)(B), (b)(1)(B), (b)(3) and Code of Federal Regulations, title 34, sections 99.31, 99.32, 99.33, 99.34, and 99.35; (f) To appropriate health authorities to the extent necessary to administer immunization programs and for bona fide epidemiologic investigations which the commissioner of health determines are necessary to prevent disease or disability to individuals in the public educational agency or institution in which the investigation is being conducted; (g) When disclosure is required for institutions that participate in a program under title IV of the Higher Education Act, United States Code, title 20, chapter 1092; (h) To the appropriate school district officials to the extent necessary under subdivision 6, annually to indicate the extent and content of remedial instruction, including the results of assessment testing and academic performance at a post-secondary institution during the previous academic year by a student who graduated from a Minnesota school district within two years before receiving the remedial instruction; (i) To appropriate authorities as provided in United States Code, title 20, section 1232g(b)(1)(E)(ii), if the data concern the juvenile justice system and the ability of the system to effectively serve, prior to adjudication, the student whose records are released; provided that the authorities to whom the data are released submit a written request for the data that certifies that the data will not be disclosed to any other person except as authorized by law without the written consent of the parent of the student and the request and a record of the release are maintained in the student's file; (j) To volunteers who are determined to have a legitimate educational interest in the data and who are conducting activities and events sponsored by or endorsed by the educational agency or institution for students or former students; (k) To provide student recruiting information, from educational data held by colleges and universities, as required by and subject to Code of Federal Regulations, title 32, section 216;or(l) To the juvenile justice system if information about the behavior of a student who poses a risk of harm is reasonably necessary to protect the health or safety of the student or other individuals; or (m) With respect to social security numbers of students in the adult basic education system, to Minnesota state colleges and universities and the department of economic security for the purpose and in the manner described in section 124D.52, subdivision 7. Sec. 2. Minnesota Statutes 1999 Supplement, section 119B.011, subdivision 12, is amended to read: Subd. 12. [EMPLOYMENT PLAN.] "Employment plan" means employment of recipients financially eligible for child care assistance, or other work activities defined under section 256J.49, approved in an employability development, job search support plan, or employment plan that is developed by the county agency, if it is acting as an employment and training service provider, or by an employment and training service provider certified by the commissioner of economic security or an individual designated by the county to provide employment and training services. The plans and designation of a service provider must meet the requirements of this chapter and chapter 256J or chapter 256K, Minnesota Rules, parts 3400.0010 to 3400.0230, and other programs that provide federal reimbursement for child care services. Sec. 3. Minnesota Statutes 1999 Supplement, section 119B.011, subdivision 15, as amended by Laws 2000, chapter 260, section 19, is amended to read: Subd. 15. [INCOME.] "Income" means earned or unearned income received by all family members, including public assistance cash benefits and at-home infant care subsidy payments, unless specifically excluded. The following are excluded from income: funds used to pay for health insurance premiums for family members, Supplemental Security Income, scholarships, work-study income, and grants that cover costs or reimbursement for tuition, fees, books, and educational supplies; student loans for tuition, fees, books, supplies, and living expenses; state and federal earned income tax credits; in-kind income such as food stamps, energy assistance, foster care assistance, medical assistance, child care assistance, and housing subsidies; earned income offullfull-time or part-time students up to the age of 19, who have not earned a high school diploma or GED high school equivalency diploma including earnings from summer employment; grant awards under the family subsidy program; nonrecurring lump sum income only to the extent that it is earmarked and used for the purpose for which it is paid; and any income assigned to the public authority according to section 256.741. Sec. 4. Minnesota Statutes 1999 Supplement, section 119B.011, subdivision 20, is amended to read: Subd. 20. [TRANSITION YEAR FAMILIES.] "Transition year families" means families who have received MFIP assistance, or who were eligible to receive MFIP assistance after choosing to discontinue receipt of the cash portion of MFIP assistance under section 256J.31, subdivision 12, for at least three of the last six months before losing eligibility for MFIPdue to increasedincome from employment or child or spousal supportor families participating in work first under chapter 256K who meet the requirements of section 256K.07. Transition year child care may be used to support employment or job search. Transition year child care is not available to families who have been disqualified from MFIP due to fraud. Sec. 5. Minnesota Statutes 1999 Supplement, 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 or general equivalency diploma 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. 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 parents who have completed their MFIP or work first transition year. (c) Third priority must be given to families who are eligible for portable basic sliding fee assistance through the portability pool under subdivision 9. Sec. 6. Minnesota Statutes 1998, section 119B.03, is amended by adding a subdivision to read: Subd. 6a. [ALLOCATION DUE TO INCREASED FUNDING.] When funding increases are implemented within a calendar year, every county must receive an allocation at least equal and proportionate to its original allocation for the same time period. The remainder of the allocation must be recalculated to reflect the funding increase, according to formulas identified in subdivision 6. Sec. 7. Minnesota Statutes 1999 Supplement, section 119B.05, subdivision 1, is amended to read: Subdivision 1. [ELIGIBLE PARTICIPANTS.] Families eligible for child care assistance under the MFIP child care program are: (1) MFIP participants who are employed or in job search and meet the requirements of section 119B.10; (2) persons who are members of transition year families under section 119B.011, subdivision 20; (3) families who are participating in employment orientation or job search, or other employment or training activities that are included in an approved employability development plan under chapter 256K; (4) MFIP families who are participating in work job search, job support, employment, or training activities as required in their job search support or employment plan, or in appeals, hearings, assessments, or orientations according to chapter 256J. Child care assistance to support work activities asdescribed in section 256J.49 must be available according tosections 119B.011, subdivision 11, 124D.13, 256E.08, and 611A.32and titles IVA, IVB, IVE, and XX of the Social Security Act;and(5) MFIP families who are participating in social services activities under chapter 256J or 256K as required in their employment plan approved according to chapter 256J or 256K; and (6) families who are participating in programs as required in tribal contracts under section 119B.02, subdivision 2, or 256.01, subdivision 2. Sec. 8. Minnesota Statutes 1998, section 124D.16, subdivision 1, is amended to read: Subdivision 1. [PROGRAM REVIEW AND APPROVAL.]By February15, 1992, for the 1991-1992 school year or by May 1 precedingsubsequent school years, a district must submit to thecommissioners of children, families, and learning, and healthA school district shall biennially by May 1 submit to the commissioners of children, families, and learning and health the program plan required under this subdivision. As determined by the commissioners, one-half of the districts shall first submit the plan by May 1 of the 2000-2001 school year and one-half of the districts shall first submit the plan by May 1 of the 2001-2002 school year. The program plan must include: (1) a description of the services to be provided; (2) a plan to ensure children at greatest risk receive appropriate services; (3) a description of procedures and methods to be used to coordinate public and private resources to maximize use of existing community resources, including school districts, health care facilities, government agencies, neighborhood organizations, and other resources knowledgeable in early childhood development; (4) comments about the district's proposed program by the advisory council required by section 124D.15, subdivision 7; and (5) agreements with all participating service providers. Each commissioner may review and comment on the program, and make recommendations to the commissioner of children, families, and learning, within 30 days of receiving the plan. Sec. 9. Minnesota Statutes 1999 Supplement, section 124D.221, subdivision 2, is amended to read: Subd. 2. [PRIORITY NEIGHBORHOODS.] For grants in Minneapolis and St. Paul, the commissioner must give priority to neighborhoods in this subdivision. In Minneapolis, priority neighborhoods are Near North, Hawthorne, Sumner-Glenwood, Harrison, Jordan, Powderhorn, Central, Whittier, Cleveland, McKinley, Waite Park, Sheridan, Holland, Lyndale, Folwell, and Phillips. In St. Paul, priority neighborhoods are Summit-University, Thomas-Dale, North End, Payne-Phalen, Daytons Bluff, and the West Side. Sec. 10. [124D.518] [ADULT BASIC EDUCATION AID DEFINITIONS.] Subdivision 1. [APPLICABILITY.] The definitions in this section apply to sections 124D.52 to 124D.531. Subd. 2. [ADULT BASIC EDUCATION CONSORTIUM.] "Adult basic education consortium" means a voluntary association of school districts, public agencies, or nonprofit organizations that work together to provide coordinated adult basic education services in a designated geographic area, and that act as a fiscal entity providing adult basic education services. Subd. 3. [CONTACT HOURS.] (a) "Contact hours" means the number of hours during which a student was engaged in learning activities provided by an approved adult education program. Contact hours excludes homework, but includes interactive distance learning. The commissioner may only reallocate contact hours among programs to adjust for changes in program membership between the first prior program year and the current program year based on the actual contact hours reported for the first prior program year. (b) For revenue beginning in fiscal year 2002, contact hours for a provider of adult basic education services funded in fiscal year 2000, but not eligible for basic population aid in fiscal year 2001, is computed by multiplying the provider's contact hours by 1.03. (c) For aid in fiscal year 2001, contact hours in fiscal year 2000 equals the number of full-time equivalent learners times the contact hours. A level one full-time equivalent learner is equal to 240 contact hours and a level two full-time learner is equal to 408 contact hours. Subd. 4. [FIRST PRIOR PROGRAM YEAR.] "First prior program year" means the period from May 1 of the second prior fiscal year through April 30 of the first prior fiscal year. Subd. 5. [UNREIMBURSED EXPENSES.] "Unreimbursed expenses" means allowable adult basic education expenses of a program that are not covered by payments from federal or private for-profit sources. Sec. 11. Minnesota Statutes 1998, section 124D.52, subdivision 1, is amended to read: Subdivision 1. [PROGRAM REQUIREMENTS.] An adult basic education program is a day or evening program offered by a district that is for people over 16 years of age who do not attend an elementary or secondary school. The program offers academic instruction necessary to earn a high school diploma or equivalency certificate. Tuition and fees may not be charged to a learner for instruction paid under this section, except for a security deposit to assure return of materials, supplies, and equipment. Each approved adult basic education program must develop a memorandum of understanding with the local workforce development centers located in the approved program's service delivery area. The memorandum of understanding must describe how the adult basic education program and the workforce development centers will cooperate and coordinate services to provide unduplicated, efficient, and effective services to clients. Adult basic education aid must be spent for adult basic education purposes as specified in sections 124D.518 to 124D.531. Sec. 12. Minnesota Statutes 1998, section 124D.52, subdivision 2, is amended to read: Subd. 2. [PROGRAM APPROVAL.] (a) To receive aid under this section, a district, a consortium of districts, or a private nonprofit organization must submit an application by June 1 describing the program, on a form provided by the department. The program must be approved by the commissioner according to the following criteria: (1) how the needs of different levels of learning will be met; (2) for continuing programs, an evaluation of results; (3) anticipated number and education level of participants; (4) coordination with other resources and services; (5) participation in a consortium, if any, and money available from other participants; (6) management and program design; (7) volunteer training and use of volunteers; (8) staff development services; (9) program sites and schedules;and(10) program expenditures that qualify for aid; (11) program ability to provide data related to learner outcomes as required by law; and (12) a copy of the memorandum of understanding described in subdivision 1 submitted to the commissioner. (b)The commissioner may grant adult basic education fundsto a private, nonprofit organization to provide services thatare not offered by a district or that are supplemental to adistrict's program. The program provided under this provisionmust be approved and funded according to the same criteria usedfor district programs.(c)Adult basic education programs may be approved under this subdivision for up to five years. Five-year program approval must be granted to an applicant who has demonstrated the capacity to: (1) offer comprehensive learning opportunities and support service choices appropriate for and accessible to adults at all basic skill need levels; (2) provide a participatory and experiential learning approach based on the strengths, interests, and needs of each adult, that enables adults with basic skill needs to: (i) identify, plan for, and evaluate their own progress toward achieving their defined educational and occupational goals; (ii) master the basic academic reading, writing, and computational skills, as well as the problem-solving, decision making, interpersonal effectiveness, and other life and learning skills they need to function effectively in a changing society; (iii) locate and be able to use the health, governmental, and social services and resources they need to improve their own and their families' lives; and (iv) continue their education, if they desire, to at least the level of secondary school completion, with the ability to secure and benefit from continuing education that will enable them to become more employable, productive, and responsible citizens; (3) plan, coordinate, and develop cooperative agreements with community resources to address the needs that the adults have for support services, such as transportation, flexible course scheduling, convenient class locations, and child care; (4) collaborate with business, industry, labor unions, and employment-training agencies, as well as with family and occupational education providers, to arrange for resources and services through which adults can attain economic self-sufficiency; (5) provide sensitive and well trained adult education personnel who participate in local, regional, and statewide adult basic education staff development events to master effective adult learning and teaching techniques; (6) participate in regional adult basic education peer program reviews and evaluations;and(7) submit accurate and timely performance and fiscal reports; (8) submit accurate and timely reports related to program outcomes and learner follow-up information; and (9) spend adult basic education aid on adult basic education purposes only, which are specified in sections 124D.518 to 124D.531. (c) The commissioner shall require each district to provide notification by February 1, 2001, of its intent to apply for funds under this section as a single district or as part of an identified consortium of districts. A district receiving funds under this section must notify the commissioner by February 1 of its intent to change its application status for applications due the following June 1. Sec. 13. Minnesota Statutes 1998, section 124D.52, subdivision 3, is amended to read: Subd. 3. [ACCOUNTS; REVENUE; AID.] Each district, group of districts, or private nonprofit organization providing adult basic education programs must establish and maintain accounts separate from all other district accounts for the receipt and disbursement of all funds related to these programs. All revenue received pursuant to this section must be utilized solely for the purposes of adult basic education programs.Federal andState aidplus levymust not equal more than 100 percent of theactual costunreimbursed expenses of providing these programs, excluding in-kind costs. Sec. 14. Minnesota Statutes 1998, section 124D.52, is amended by adding a subdivision to read: Subd. 6. [COOPERATIVE ENGLISH AS A SECOND LANGUAGE AND ADULT BASIC EDUCATION PROGRAMS.] (a) A school district, or adult basic education consortium that receives revenue under section 124D.531, may deliver English as a second language, citizenship, or other adult education programming in collaboration with community-based and nonprofit organizations located within its district or region, and with correctional institutions. The organization or correctional institution must have the demonstrated capacity to offer education programs for adults. Community-based or nonprofit organizations must meet the criteria in paragraph (b), or have prior experience. A community-based or nonprofit organization or a correctional institution may be reimbursed for unreimbursed expenses as defined in section 124D.518, subdivision 5, for the administration of English as a second language or adult basic education programs, not to exceed eight percent of the total funds provided by a school district or adult basic education consortium. The administrative reimbursement for a school district or adult basic education consortium that delivers services cooperatively with a community-based or nonprofit organization or correctional institution is limited to five percent of the program aid, not to exceed the unreimbursed expenses of administering programs delivered by community-based or nonprofit organizations or correctional institutions. (b) A community-based organization or nonprofit organization that delivers education services under this section must demonstrate that it has met the following criteria: (1) be legally established as a nonprofit organization; (2) have an established system for fiscal accounting and reporting that is consistent with the department of children, families, and learning's adult basic education completion report and reporting requirements under section 124D.531; (3) require all instructional staff to complete a training course in teaching adult learners; and (4) develop a learning plan for each student that identifies defined educational and occupational goals with measures to evaluate progress. Sec. 15. Minnesota Statutes 1998, section 124D.52, is amended by adding a subdivision to read: Subd. 7. [PERFORMANCE TRACKING SYSTEM.] (a) By July 1, 2000, each approved adult basic education program must develop and implement a performance tracking system to provide information necessary to comply with federal law and serve as one means of assessing the effectiveness of adult basic education programs. The tracking system must be designed to collect data on the following core outcomes for learners who have completed participation in the adult basic education program: (1) demonstrated improvements in literacy skill levels in reading, writing, speaking the English language, numeracy, problem solving, English language acquisition, and other literacy skills; (2) placement in, retention in, or completion of post-secondary education, training, unsubsidized employment, or career advancement; and (3) receipt of a secondary school diploma or its recognized equivalent. (b) A district, group of districts, state agency, or private nonprofit organization providing an adult basic education program may meet this requirement by developing a tracking system based on either or both of the following methodologies: (1) conducting a reliable follow-up survey; or (2) submitting student information, including social security numbers for data matching. Data related to obtaining employment must be collected in the first quarter following program completion or can be collected while the student is enrolled, if known. Data related to employment retention must be collected in the third quarter following program exit. Data related to any other specified outcome may be collected at any time during a program year. (c) When a student in a program is requested to provide the student's social security number, the student must be notified in a written form easily understandable to the student that: (1) providing the social security number is optional and no adverse action may be taken against the student if the student chooses not to provide the social security number; (2) the request is made under section 124D.52, subdivision 7; (3) if the student provides the social security number, it will be used to assess the effectiveness of the program by tracking the student's subsequent career; and (4) the social security number will be shared with the department of children, families, and learning; Minnesota state colleges and universities; and the department of economic security in order to accomplish the purposes of this section and will not be used for any other purpose or reported to any other governmental entities. (d) Annually a district, group of districts, state agency, or private nonprofit organization providing programs under this section must forward the tracking data collected to the department of children, families, and learning. For the purposes of longitudinal studies on the employment status of former students under this section, the department of children, families, and learning must forward the social security numbers to the department of economic security to electronically match the social security numbers of former students with wage detail reports filed under section 268.044. The results of data matches must, for purposes of this section and consistent with the requirements of the United States Code, title 29, section 2871, of the Workforce Investment Act of 1998, be compiled in a longitudinal form by the department of economic security and released to the department of children, families, and learning in the form of summary data that does not identify the individual students. The department of children, families, and learning may release this summary data. State funding for adult basic education programs must not be based on the number or percentage of students who decline to provide their social security numbers or on whether the program is evaluated by means of a follow-up survey instead of data matching. Sec. 16. [124D.521] [CONSORTIUM REQUIREMENTS.] Each consortium, as defined under section 124D.518, subdivision 1, must meet at least twice per year to develop and amend as necessary an annual consortium agreement signed by all members and filed with the department of children, families, and learning that at a minimum includes: (1) a description of the members and fiscal agent of the consortium; (2) a description of the contributions of each member of the consortium and the process for distributing state aid among the members; and (3) the state adult basic education assurances from the annual adult basic education program application. As a condition of membership in a consortium, each member must make a documented contribution toward the cost of adult basic education programming, either as a direct financial contribution, or an in-kind contribution. Each consortium's designated fiscal agent must: (1) collect data from consortium members; (2) submit required performance reports and fiscal reports to the state; (3) receive state adult basic education aid under section 124D.531 for adult basic education programming delivered by the consortium; and (4) distribute state adult basic education aid to members of the consortium according to the consortium agreement. Sec. 17. [124D.522] [ADULT BASIC EDUCATION SUPPLEMENTAL SERVICE GRANTS.] (a) The commissioner, in consultation with the policy review task force under section 124D.521, may make grants to nonprofit organizations to provide services that are not offered by a district adult basic education program or that are supplemental to either the statewide adult basic education program, or a district's adult basic education program. The commissioner may make grants for: staff development for adult basic education teachers and administrators; training for volunteer tutors; training, services, and materials for serving disabled students through adult basic education programs; statewide promotion of adult basic education services and programs; development and dissemination of instructional and administrative technology for adult basic education programs; programs which primarily serve communities of color; adult basic education distance learning projects, including television instruction programs; and other supplemental services to support the mission of adult basic education and innovative delivery of adult basic education services. (b) The commissioner must establish eligibility criteria and grant application procedures. Grants under this section must support services throughout the state, focus on educational results for adult learners, and promote outcome-based achievement through adult basic education programs. The commissioner may make grants under this section from funds specifically appropriated for supplemental service grants. Up to one-third of the appropriation for supplemental service grants must be used for grants for adult basic education programs to encourage and support innovations in adult basic education instruction and service delivery. A grant to a single organization cannot exceed $100,000. Nothing in this section prevents an approved adult basic education program from using state or federal aid to purchase supplemental services. Sec. 18. Minnesota Statutes 1999 Supplement, section 124D.53, subdivision 3, is amended to read: Subd. 3. [AID.] For fiscal year 2000, adult basic education aid for each approved program equals$2,295 for fiscalyear 2000 and $2,338 for fiscal year 2001 and later fiscalyears$1,767 times the number of full-time equivalent students in its adult basic education program during the first prior program year. Sec. 19. [124D.531] [ADULT BASIC EDUCATION AID.] Subdivision 1. [STATE TOTAL ADULT BASIC EDUCATION AID.] (a) The state total adult basic education aid for fiscal year 2001 equals $30,157,000. The state total adult basic education aid for later years equals: (1) the state total adult basic education aid for the preceding fiscal year; times (2) the lesser of: (i) 1.08, or (ii) the greater of 1.00 or the ratio of the state total contact hours in the first prior program year to the state total contact hours in the second prior program year. (b) The state total adult basic education aid, excluding basic population aid, equals the difference between the amount computed in paragraph (a), and the state total basic population aid under subdivision 2. Subd. 2. [BASIC POPULATION AID.] A district is eligible for basic population aid if the district has a basic service level approved by the commissioner under section 124D.52, subdivision 5, or is a member of a consortium with an approved basic service level. Basic population aid is equal to the greater of $4,000 or $1.80 times the population of the district. District population is determined according to section 275.14. Subd. 3. [PROGRAM REVENUE.] Adult basic education programs established under section 124D.52 and approved by the commissioner are eligible for revenue under this subdivision. For fiscal year 2001 and later, adult basic education revenue for each approved program equals the sum of: (1) the basic population aid under subdivision 2 for districts participating in the program during the current program year; plus (2) 84 percent times the amount computed in subdivision 1, paragraph (b), times the ratio of the contact hours for students participating in the program during the first prior program year to the state total contact hours during the first prior program year; plus (3) eight percent times the amount computed in subdivision 1, paragraph (b), times the ratio of the enrollment of students with limited English proficiency during the prior school year in districts participating in the program during the current program year to the state total enrollment of students with limited English proficiency during the prior school year in districts participating in adult basic education programs during the current program year; plus (4) eight percent times the amount computed in subdivision 1, paragraph (b), times the ratio of the latest federal census count of the number of adults aged 20 or older with no diploma residing in the districts participating in the program during the current program year to the latest federal census count of the state total number of adults aged 20 or older with no diploma residing in the districts participating in adult basic education programs during the current program year. Subd. 4. [ADULT BASIC EDUCATION PROGRAM AID LIMIT.] (a) Notwithstanding subdivisions 2 and 3, the total adult basic education aid for a program per prior year contact hour must not exceed four times the rate per prior year contact hour computed under subdivision 3, clause (2). (b) For fiscal year 2002 and later, the aid for a program under subdivision 3, clause (2), adjusted for changes in program membership, must not exceed the aid for that program under subdivision 3, clause (2), for the first preceding fiscal year by more than the greater of 17 percent or $20,000. (c) Adult basic education aid is payable to a program for unreimbursed costs. Subd. 5. [AID GUARANTEE.] Notwithstanding subdivisions 1, 3, and 4, for fiscal year 2001, any adult basic education program qualifying for aid under this section, that receives less state aid than in fiscal year 2000 must receive additional aid equal to the difference between its fiscal year 2000 aid and its fiscal year 2001 aid. Subd. 6. [PAYMENT OF AID TO FISCAL AGENT.] (a) Except as provided in paragraph (b), adult basic education aid must be paid directly to the fiscal agent of each approved program. An approved program must have only one fiscal agent. (b) A district that is part of a consortium may request direct payment of basic population aid under subdivision 2. The district must make a written request to the commissioner by June 15 for aid payments the following fiscal year. The request must include certification that: (1) the district will deposit direct aid payments in a separate adult basic education account; and (2) the district will use direct aid payments only for adult basic education instruction. Subd. 7. [PROGRAM AUDITS.] Programs that receive aid under this section must maintain records that support the aid payments. The commissioner may audit these records upon request. The commissioner must establish procedures for conducting fiscal audits of adult basic education programs according to the schedule in this subdivision. In calendar year 2002, the commissioner must audit one-half of approved adult basic education programs that received aid for fiscal year 2001, and in calendar year 2003, the commissioner must audit the remaining unaudited programs for aid received in fiscal year 2002. Beginning with fiscal year 2004, the commissioner must, at a minimum, audit each adult basic education program once every five years. The commissioner must establish procedures to reconcile any discrepancies between aid payments based on information reported to the commissioner and aid estimates based on a program audit. Subd. 8. [ADMINISTRATIVE CAP.] A consortium or district shall not spend more than five percent of the consortium or district's total adult basic education aid on administrative costs. Subd. 9. [FISCAL REPORTS.] Programs that receive aid under this section must submit an annual report to the commissioner that includes revenue and expense reports for each district and program, including instructional services offered in partnership with businesses and nonprofit organizations. EFFECTIVE DATE: This section is effective for revenue for fiscal years beginning with 2001. Sec. 20. Minnesota Statutes 1998, section 245A.14, subdivision 4, is amended to read: Subd. 4. [SPECIAL FAMILY DAY 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 day care or group family day 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;or(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; or (c) the license holder is a church or religious organization. Sec. 21. Minnesota Statutes 1998, section 245A.14, is amended by adding a subdivision to read: Subd. 8. [EXPERIENCED AIDES; CHILD CARE CENTERS.] (a) An individual employed as an aide at a child care center may work with children without being directly supervised for up to 25 percent of the individual's daily work shift if: (1) a teacher is in the building; (2) the individual has received first aid training within the last three years; and (3) the individual is at least 20 years old and has at least 4,160 hours of child care experience as defined in section 245A.02, subdivision 6b. (b) The use of an experienced aide working without direct supervision under paragraph (a) is limited to 25 percent of each classroom's daily hours of operation. (c) A child care center that uses experienced aides under this subdivision must notify the commissioner once per year. The notification must indicate the approximate number of hours per classroom per month that this subdivision is used. Upon enrollment and once each year, child care centers must report to parents or guardians if they use experienced aides under this subdivision. (d) This subdivision sunsets June 30, 2003. Sec. 22. Minnesota Statutes 1998, section 245A.14, is amended by adding a subdivision to read: Subd. 9. [INSERVICE TRAINING; CHILD CARE CENTERS.] (a) A teacher at a child care center must complete one percent of working hours of inservice training annually if the teacher: (1) possesses a baccalaureate or masters degree in early childhood education, or school age care; (2) is licensed in Minnesota as a prekindergarten teacher, an early childhood educator, a kindergarten to sixth grade teacher with a prekindergarten specialty, an early childhood special education teacher, or an elementary teacher with a kindergarten endorsement; or (3) possesses a baccalaureate degree with a Montessori certificate. (b) A teacher or assistant teacher at a child care center must complete 1-1/2 percent of working hours of inservice training annually if the individual is: (1) a registered nurse or licensed practical nurse with experience working with infants; (2) possesses a Montessori certificate, a technical college certificate in early childhood development, or a child development associate certificate; or (3) possesses an associate of arts degree in early childhood education, a baccalaureate degree in child development, or a technical college diploma in early childhood development. (c) Except as provided in paragraphs (a) and (b), all other teachers, assistant teachers, or aides must have two percent of working hours of inservice training annually. (d) The number of required training hours may be prorated for individuals not employed full time or for an entire year. This subdivision supersedes Minnesota Rules, part 9503.0035, subpart 4, item B, for teachers, assistant teachers, and aides. The remainder of Minnesota Rules, part 9503.0035, subpart 4, remains in effect unless superseded by other law. Sec. 23. Laws 1998, First Special Session chapter 1, article 1, section 10, subdivision 1, as amended by Laws 1999, chapter 205, article 4, section 8, is amended to read: Subdivision 1. [INITIAL ELIGIBILITY.] To be eligible for state or TANF matching funds in the family assets for independence initiative, a household musthave income at orbelow 185 percent of the federal poverty level and assets of$15,000 or less. An individual who is a dependent of anotherperson for federal income tax purposes may not be a separateeligible household for purposes of establishing a family assetaccount. An individual who is a debtor for a judgment resultingfrom nonpayment of a court-ordered child support obligation maynot participate in this program. Households accessing TANFmatching funds are subject to the MFIP definition of householdunder Minnesota Statutes, section 256J.08, subdivision 46.Income and assets are determined according to eligibilityguidelines for the energy assistance programmeet the eligibility requirements of the federal Assets for Independence Act, Public Law Number 105-285, in Title IV, section 408 of that act. Sec. 24. Laws 1998, First Special Session chapter 1, article 1, section 11, subdivision 1, is amended to read: Subdivision 1. [WITHDRAWAL OF FUNDS.] To receive a match, a participating household must transfer funds withdrawn from a family asset account to its matching fund custodial account held by the fiscal agent, according to the family asset agreement. Thefiduciary organizationfiscal agent must determine if the match request is for a permissible use consistent with the household's family asset agreement. The fiscal agent must ensure the household's custodial account contains the applicable matching funds to match the balance in the household's account, including interest, on at least a quarterly basis and at the time of an approved withdrawal. Matches must be provided as follows: (1) from state grant and TANF funds a matching contribution of $1.50 for every $1 of funds withdrawn from the family asset account equal to the lesser of $720 per year or a $3,000 lifetime limit; and (2) from nonstate funds, a matching contribution of no less than $1.50 for every $1 of funds withdrawn from the family asset account equal to the lesser of $720 per year or a $3,000 lifetime limit. Sec. 25. Laws 1998, First Special Session chapter 1, article 1, section 11, subdivision 2, as amended by Laws 1999, chapter 205, article 4, section 9, is amended to read: Subd. 2. [VENDOR PAYMENT OF WITHDRAWN FUNDS.] Upon receipt of transferred custodial account funds, thefiduciaryorganizationfiscal agent must make a direct payment to the vendor of the goods or services for the permissible use. Sec. 26. Laws 1999, chapter 205, article 1, section 65, is amended to read: Sec. 65. [ADDITIONAL EARLY CHILDHOOD FAMILY EDUCATION AID; FISCAL YEAR 2000 AND FISCAL YEAR 2001.] A district that complies with Minnesota Statutes, section 124D.13, shall receive additional early childhood family education aid for fiscal year 2000 and fiscal year 2001 equal to $2.46 times the greater of: (1) 150; or (2) the number of people under five years of age residing in the school district on October 1 of the previous school year. The additional early childhood family education aid may be used only for early childhood family education programs. Sec. 27. Laws 1999, chapter 205, article 1, section 71, subdivision 3, is amended to read: Subd. 3. [EARLY CHILDHOOD FAMILY EDUCATION AID.] For early childhood family education aid according to Minnesota Statutes, section 124D.135:$20,485,000$20,109,000 ..... 2000$19,420,000$21,107,000 ..... 2001 The 2000 appropriation includes $1,390,000 for 1999 and$19,095,000$18,719,000 for 2000. The 2001 appropriation includes$2,122,000$2,079,000 for 2000 and$17,298,000$19,028,000 for 2001. Any balance in the first year does not cancel but is available in the second year. Sec. 28. Laws 1999, chapter 205, article 1, section 71, subdivision 7, is amended to read: Subd. 7. [SCHOOL AGE CARE AID.] For extended day aid according to Minnesota Statutes, section 124D.22: $274,000 ..... 2000$216,000$245,000 ..... 2001 The 2000 appropriation includes $30,000 for 1999 and $244,000 for 2000. The 2001 appropriation includes $27,000 for 2000 and$189,000$218,000 for 2001. Any balance in the first year does not cancel but is available in the second year. Sec. 29. Laws 1999, chapter 205, article 1, section 71, subdivision 9, is amended to read: Subd. 9. [MFIP CHILD CARE.] For child care assistance according to Minnesota Statutes, section 119B.05:$86,318,000$66,524,000 ..... 2000$88,443,000$78,606,000 ..... 2001 Any balance in the first year does not cancel but is available in the second year. Sec. 30. Laws 1999, chapter 205, article 2, section 4, subdivision 2, is amended to read: Subd. 2. [FAMILY COLLABORATIVES.] For family collaboratives according toLaws 1995, First Special Sessionchapter 3, article 4, section 29, subdivision 10Minnesota Statutes, section 124D.23: $4,777,000 ..... 2000$2,535,000$2,435,000 ..... 2001 No new family services collaboratives shall be funded with this appropriation after June 30, 1999. Any balance in the first year does not cancel but is available in the second year. Sec. 31. Laws 1999, chapter 205, article 2, section 4, subdivision 3, is amended to read: Subd. 3. [COMMUNITY EDUCATION AID.] For community education aid according to Minnesota Statutes, section 124D.20: $14,136,000 ..... 2000$14,696,000$15,274,000 ..... 2001 The 2000 appropriation includes $160,000 for 1999 and $13,976,000 for 2000. The 2001 appropriation includes $1,552,000 for 2000 and$13,144,000$13,722,000 for 2001. Any balance in the first year does not cancel but is available in the second year. Sec. 32. Laws 1999, chapter 205, article 4, section 12, subdivision 5, is amended to read: Subd. 5. [ADULT BASIC EDUCATION AID.] For adult basic education aid according to Minnesota Statutes, section 124D.52, in fiscal year 2000 and Minnesota Statutes, section 124D.53 in fiscal year 2001: $20,132,000 ..... 2000$22,477,000$29,168,000 ..... 2001 The 2000 appropriation includes $1,227,000 for 1999 and $18,905,000 for 2000. The 2001 appropriation includes $2,101,000 for 2000 and$20,376,000$27,067,000 for 2001. Sec. 33. Laws 1999, chapter 205, article 4, section 12, subdivision 6, is amended to read: Subd. 6. [ADULT BASIC EDUCATION BASIC POPULATION AID.] For basic population aid for eligible districts under section 7:$1,960,000$1,974,000 ..... 2000 Notwithstanding Minnesota Statutes, section 127A.45, subdivision 12, 100 percent of this appropriation is for fiscal year 2000. Any balance in the first year does not cancel but is available in the second year. This is a one-time appropriation. Sec. 34. Laws 1999, chapter 205, article 4, section 12, subdivision 7, is amended to read: Subd. 7. [ADULT GRADUATION AID.] For adult graduation aid according to Minnesota Statutes, section 124D.54:$3,184,000$2,760,000 ..... 2000$4,732,000$3,031,000 ..... 2001 The 2000 appropriation includes$258,000$258,000 for 1999 and$2,926,000$2,502,000 for 2000. The 2001 appropriation includes$325,000$278,000 for 2000 and$4,407,000$2,753,000 for 2001. Sec. 35. [COMPETENCY-BASED ADULT BASIC EDUCATION AND ENGLISH AS A SECOND LANGUAGE LICENSE.] The board of teaching must convene a task force to develop a competency-based license for teachers of adult basic education classes and English as a second language classes. The competency-based license must be an alternative to the current licensing requirements. By January 15, 2002, the board of teaching must present their recommendations to the committees of the legislature responsible for teacher licensing and funding of adult basic education programs including recommendations for implementing competency-based licensing for teachers of adult learners. Sec. 36. [MFIP SOCIAL SERVICES CHILD CARE SUNSET AND REPORT.] Minnesota Statutes, section 119B.05, subdivision 1, clause (5), expires on June 30, 2003. MFIP social services child care must be paid for with the appropriations under section 45, subdivision 3. Priority must be given to mental health services and chemical dependency services. Any amount that is not needed for MFIP social services child care must be used for child care assistance under Minnesota Statutes, section 119B.03. The commissioner of children, families, and learning must notify the chairs of the family and early childhood committees in the house and the senate if expenditures for MFIP social services child care are expected to exceed appropriations under section 45, subdivision 3. The commissioner shall report to the legislature by January 15, 2003, on the use of MFIP social services child care with recommendations on the need for social services child care and its effectiveness in promoting self-sufficiency. Sec. 37. [EXPEDITED APPLICATION FOR MINOR STUDENTS.] The commissioner of children, families, and learning, as a component of the training for counties to administer child care assistance under Minnesota Statutes, chapter 119B, must provide technical assistance on ways to expedite and streamline the application process for minor parents participating in school-based child care. The commissioner must make child care assistance information and applications available to school-based adolescent parenting programs so eligible minor parents are able to complete their high school education. Sec. 38. [COOPERATIVE LANGUAGE INSTRUCTION.] The commissioner of children, families, and learning shall create an application process to make grants for the establishment of cooperative programs to teach English as a second language to adults and their children. Instruction shall be provided through prekindergarten programs, elementary and secondary schools, and the adult basic education program. At least two grants in the seven-county metropolitan area and one grant outside the seven-county metropolitan area shall be made. Sec. 39. [INTENSIVE ESL GRANTS.] The commissioner of children, families, and learning shall establish a reimbursement grant program to fund intensive English as a second language (ESL) programs for TANF eligible adults who participate in the MFIP program under Minnesota Statutes, chapter 256J, with funds appropriated under Minnesota Statutes, section 44, subdivision 2. Intensive ESL programming must provide intensive instruction for MFIP participants who are making inadequate literacy progress as measured by a standard assessment test. The intensive instruction must be focused on participants' gaining sufficient literacy to achieve self-sufficiency through employment. Organizations eligible for grants under this section include adult basic education programs, school districts, post-secondary institutions, and nonprofit or community-based organizations or other private organizations with experience in providing English language instruction to non-English speaking immigrants and refugees. Grant applications must contain information required by the commissioner in the form prescribed by the commissioner. At a minimum, the application must document experience in literacy programs serving immigrants and refugees, describe fiscal accounting systems and reporting capacity, ensure that administrative expenses are limited to five percent of grant funds, and provide a description of the proposed instructional services and training plans. Funds must be paid to programs on a reimbursement basis. The intensive ESL program expires on June 30, 2003. Sec. 40. [CHILD AND ADULT CARE FOOD PROGRAM.] The commissioner of the department of children, families, and learning must request a waiver from the department of agriculture so that child care programs that are licensed under Minnesota Statutes, section 245A.14, subdivision 4, are allowed to participate in the federal child and adult care food program under United States Code, title 42, section 1766. Sec. 41. [FAMILY PROVIDER PARTICIPATION.] The commissioner of the department of children, families, and learning must ensure that licensed family child care providers have an opportunity to participate in policy discussions that impact child care. The commissioner must seek participation and input from family providers including, but not limited to, participation on task forces. Sec. 42. [ADULT BASIC EDUCATION POLICY TASK FORCE.] Subdivision 1. [ESTABLISHMENT.] A nine-member adult basic education policy task force is established to make recommendations to the legislature on program and funding policies for adult basic education programs that receive aid under Minnesota Statutes, section 124D.531. Members do not receive per diem or reimbursement for expenses. At a minimum, the task force must hold two meetings a year. All other matters of the task force's operation, except expiration of the task force under subdivision 4, are governed by Minnesota Statutes, section 15.069. Subd. 2. [MEMBERSHIP.] The commissioner shall appoint nine members to the task force. Four members are appointed from a list of candidates provided to the commissioner by the Minnesota community education association and Literacy Minnesota. The commissioner must appoint two members of the task force from rural programs, two members from suburban programs, two members from urban programs, and one member from the nonprofit group. The commissioner shall appoint one former adult basic education learner and one current adult basic education learner to the task force. The composition of the task force must allow for equal representation from adult basic education learners, instructors, and administrators. Subd. 3. [DUTIES.] The task force must: (1) recommend to the legislature and the commissioner a mission statement for a statewide system of adult basic education programs that includes educational outcomes, services, eligible learners, requirements for teacher licensing, expectations for student advancement and progress, and recognition of the importance of distance learning and other technology-based instruction methods; (2) recommend to the legislature adult basic education standard policies and procedures; (3) recommend to the legislature the adult basic education curriculum and course offerings including policies to offer computer literacy and other skill-based education through adult basic education programs; (4) recommend to the legislature the minimum number of contact hours that are necessary in order for a program to continue; (5) recommend to the legislature an adequate and reasonable hourly rate for smaller programs; (6) recommend to the legislature a reasonable range for the number of instructional hours or a reasonable cap on the number of hours individuals may spend in adult basic education instruction; (7) recommend to the legislature an outcome-based adult basic education funding system that rewards and recognizes student progress in attaining educational goals; (8) recommend to the legislature an appropriate weight for contact hours for nonschool district programs based on an evaluation of costs, revenues, and the impact of weighted contact hours on consortium stability; and (9) review statewide grant applications for supplemental services under Minnesota Statutes, section 124D.522. Subd. 4. [EXPIRATION.] The adult basic education policy task force expires on December 1, 2002. Sec. 43. [GENERAL FUND APPROPRIATIONS.] Subdivision 1. [DEPARTMENT OF CHILDREN, FAMILIES, AND LEARNING.] The sums indicated in this section are appropriated from the general fund to the commissioner of children, families, and learning for the fiscal years designated. Subd. 2. [ADULT BASIC EDUCATION SUPPLEMENTAL SERVICE GRANTS.] For adult basic education supplemental service grants according to Minnesota Statutes, section 124D.522: $700,000 ..... 2001 This is a one-time appropriation and is not to be added to the base for 2002 and 2003. Subd. 3. [ADULT BASIC EDUCATION ADMINISTRATION.] For administration of the state adult basic education program including auditing, technical assistance, and reporting requirements under this act: $100,000 ..... 2001 This appropriation is added to the fiscal year 2002 and 2003 base at a level of $175,000 each year to finance adult basic education audits. Any balance in the first year does not cancel, but is available in the second year. Subd. 4. [HOUSING COLLABORATION.] For a grant to the city of St. Louis Park for the Meadowbrook Collaborative Housing Project to enhance youth outreach services and to provide educational and recreational programming for at-risk youth. The collaborative must include a cross section of public and private sector community representatives. $25,000 ..... 2001 This is a one-time appropriation. Subd. 5. [EMERGENCY SERVICES.] For emergency services grants according to Laws 1997, chapter 162, article 3, section 7: $622,000 ..... 2001 This is a one-time appropriation. Subd. 6. [COOPERATIVE LANGUAGE INSTRUCTION.] For cooperative language instruction grants under section 38: $250,000 ..... 2001 This is a one-time appropriation. Subd. 7. [ADULTS WITH DISABILITIES.] For purposes of the adults with disabilities pilot programs under Laws 1997, chapter 162, article 2, section 31, subdivision 4: $40,000 ..... 2001 Sec. 44. [TANF APPROPRIATIONS.] Subdivision 1. [DEPARTMENT OF CHILDREN, FAMILIES, AND LEARNING.] The sums indicated in this section for fiscal years 2001 to 2003 are appropriated to the commissioner of human services from the federal Temporary Assistance for Needy Families (TANF) block grant funds authorized under United States Code, title 42, section 601 et seq., and awarded in federal fiscal years 2000 to 2002, and are transferred to the department of children, families, and learning for the fiscal years indicated for use as provided in this section. These amounts are available for expenditure until June 30, 2003. Appropriations under this section are one-time appropriations and are not added to the base for fiscal years 2004 and 2005. Subd. 2. [INTENSIVE ESL.] For intensive English as a second language (ESL) for eligible MFIP participants under section 39: $1,100,000 ..... 2001 $1,100,000 ..... 2002 $1,100,000 ..... 2003 Subd. 3. [TRANSITIONAL HOUSING PROGRAMS.] For reimbursement grants to transitional housing programs under Minnesota Statutes, section 119A.43: $1,900,000 ..... 2001 $1,900,000 ..... 2002 $1,950,000 ..... 2003 These appropriations must be used for up to four months of transitional housing for families with incomes below 200 percent of the federal poverty guidelines. Payment must be made to programs on a reimbursement basis. Sec. 45. [FEDERAL TANF TRANSFERS.] Subdivision 1. [DEPARTMENT OF CHILDREN, FAMILIES, AND LEARNING.] The sums indicated in this section are transferred from the federal TANF fund to the child care and development fund and appropriated to the department of children, families, and learning for the fiscal years designated. The commissioner shall ensure that all transferred funds are expended in accordance with the child care and development fund regulations and that the maximum allowable transferred funds are used for the program in this section. Appropriations under this section are one-time appropriations and are not added to the base. Subd. 2. [BASIC SLIDING FEE CHILD CARE.] For child care assistance according to Minnesota Statutes, section 119B.03: $2,539,000 ..... 2001 $2,138,000 ..... 2002 $1,738,000 ..... 2003 Subd. 3. [MFIP SOCIAL SERVICES CHILD CARE.] For social services child care costs of eligible MFIP participants under section 36: $3,233,000 ..... 2001 $3,297,000 ..... 2002 $2,865,000 ..... 2003 Any amount remaining in fiscal year 2003 that is not needed for social service child care must be used for assistance under Minnesota Statutes, section 119B.03. Subd. 4. [TRANSITION YEAR FAMILIES.] To provide uninterrupted assistance under Minnesota Statutes, section 119B.03, for families completing transition year child care assistance: $1,080,000 ..... 2001 $3,620,000 ..... 2002 $4,040,000 ..... 2003 Any amount remaining in fiscal year 2003 that is not needed for uninterrupted child care must be used for assistance under Minnesota Statutes, section 119B.03. Sec. 46. [REPEALER.] (a) Minnesota Statutes 1998, section 124D.53, is repealed. (b) Laws 1998, First Special Session chapter 1, article 1, section 10, subdivision 2, as amended by Laws 1999, chapter 205, article 4, section 8, is repealed. EFFECTIVE DATE: Paragraph (a) is effective for revenue for fiscal year 2001 and later. ARTICLE 2 KINDERGARTEN THROUGH GRADE 12 GENERAL EDUCATION Section 1. Minnesota Statutes 1999 Supplement, section 122A.61, subdivision 1, is amended to read: Subdivision 1. [STAFF DEVELOPMENT REVENUE.] A district is required to reserve an amount equal to at leastonetwo percent of the basic revenue under section 126C.10, subdivision 2, for in-service education for programs under section 120B.22, subdivision 2, for staff development plans, including plans for challenging instructional activities and experiences under section 122A.60, and for curriculum development and programs, other in-service education, teachers' workshops, teacher conferences, the cost of substitute teachers staff development purposes, and other related costs for staff development efforts. A district may annually waive the requirement to reserve their basic revenue under this section if a majority vote of the licensed teachers in the district and a majority vote of the school board agree to a resolution to waive the requirement. A district in statutory operating debt is exempt from reserving basic revenue according to this section. Districts may expend an additional amount of unreserved revenue for staff development based on their needs. With the exception of amounts reserved for staff development from revenues allocated directly to school sites, the board must initially allocate 50 percent of the reserved revenue to each school site in the district on a per teacher basis, which must be retained by the school site until used. The board may retain 25 percent to be used for district wide staff development efforts. The remaining 25 percent of the revenue must be used to make grants to school sites for best practices methods. A grant may be used for any purpose authorized under section 120B.22, subdivision 2, 122A.60, or for the costs of curriculum development and programs, other in-service education, teachers' workshops, teacher conferences, substitute teachers for staff development purposes, and other staff development efforts, and determined by the site professional development team. The site professional development team must demonstrate to the school board the extent to which staff at the site have met the outcomes of the program. The board may withhold a portion of initial allocation of revenue if the staff development outcomes are not being met. Sec. 2. Minnesota Statutes 1998, section 122A.68, subdivision 4, is amended to read: Subd. 4. [EMPLOYMENT CONDITIONS.] A school district must pay a teaching resident a salary equal to7590 percent of the salary of a first-year teacher with a bachelor's degree in the district. The resident shall be a member of the local bargaining unit and shall be covered under the terms of the contract, except for salary and benefits, unless otherwise provided in this subdivision. The school district must provide health insurance coverage for the resident if the district provides it for teachers, and may provide other benefits upon negotiated agreement. Sec. 3. Minnesota Statutes 1998, section 123B.75, subdivision 5, is amended to read: Subd. 5. [LEVY RECOGNITION.] (a) "School district tax settlement revenue" means the current, delinquent, and manufactured home property tax receipts collected by the county and distributed to the school district. (b) In June of each year, the school district must recognize as revenue, in the fund for which the levy was made, the lesser of: (1) the May, June, and July school district tax settlement revenue received in that calendar year; or (2) the sum of: (i) 31 percent of the referendum levy certified in the prior calendar year according to section 126C.17, subdivision 9; plus (ii) the entire amount of the levy certified in the prior calendar year according to sections 124D.86, subdivision 4, for school districts receiving revenue under 124D.86, subdivision 3, clauses (1), (2) and (3); 126C.41, subdivisions 1, 2, and 3, paragraphs (4), (5), and (6); 126C.43, subdivision 2; and 126C.48, subdivision 6. Sec. 4. Minnesota Statutes 1999 Supplement, section 124D.11, subdivision 1, is amended to read: Subdivision 1. [GENERAL EDUCATION REVENUE.] (a) General education revenue must be paid to a charter school as though it were a district. The general education revenue for each adjusted marginal cost pupil unit is the state average general education revenue per pupil unit, plus the referendum equalization aid allowance in the pupil's district of residence, minus an amount equal to the product of the formula allowance according to section 126C.10, subdivision 2, times .0485, calculated without basic skills revenue, transportation sparsity revenue, and the transportation portion of the transition revenue adjustment, plus basic skills revenue as though the school were a school district. (b) Notwithstanding paragraph (a), for charter schools in the first year of operation, general education revenue shall be computed using the number of adjusted pupil units in the current fiscal year. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 5. Minnesota Statutes 1999 Supplement, section 124D.65, subdivision 4, is amended to read: Subd. 4. [STATE TOTAL LEP REVENUE.] (a) The state total limited English proficiency programs revenue for fiscal year 2000 equals $27,454,000.The state total limited Englishproficiency programs revenue for fiscal year 2001 equals$31,752,000.(b) The state total limited English proficiency programs revenue for later fiscal years equals: (1) the state total limited English proficiency programs revenue for the preceding fiscal year; times (2) the program growth factor under section 125A.76 subdivision 1; times (3) the ratio of the state total number of pupils with limited English proficiency for the current fiscal year to the state total number of pupils with limited English proficiency for the preceding fiscal year. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 6. Minnesota Statutes 1999 Supplement, section 124D.86, subdivision 1, is amended to read: Subdivision 1. [USE OF THE REVENUE.] Integration revenue under this section must be used for programs established under a desegregation plan filed with the department of children, families, and learning according to Minnesota Rules, parts 3535.0100 to 3535.0180, or under court order, to increase. The revenue must be used to create or enhance learning opportunitiesand reduce the learning gap between learners living in highconcentrations of poverty and their peerswhich are designed to provide opportunities for students to have increased interracial contacts through classroom experiences, staff initiatives, and other educationally related programs. Sec. 7. Minnesota Statutes 1998, section 124D.86, is amended by adding a subdivision to read: Subd. 1a. [BUDGET APPROVAL PROCESS.] Each year before a district receives any revenue under subdivision 3, clause (4), the district must submit to the department of children, families, and learning, for its review and approval a budget detailing the costs of the desegregation/integration plan filed under Minnesota Rules, parts 3535.0100 to 3535.0180. Notwithstanding chapter 14, the department may develop criteria for budget approval. The department shall consult with the desegregation advisory board in developing these criteria. The criteria developed by the department should address, at a minimum, the following: (1) budget items cannot be approved unless they are part of any overall desegregation plan approved by the district for isolated sites or by the multidistrict collaboration council and participation individual members; (2) the budget must indicate how revenue expenditures will be used specifically to support increased opportunities for interracial contact; (3) components of the budget to be considered by the department, including staffing, curriculum, transportation, facilities, materials, and equipment and reasonable planning costs, as determined by the department; and (4) if plans are proposed to enhance existing programs, the total budget being appropriated to the program must be included, indicating what part is to be funded using integration revenue and what part is to be funded using other revenues. Sec. 8. Minnesota Statutes 1998, section 124D.86, is amended by adding a subdivision to read: Subd. 1b. [PLAN COMPONENTS.] Plans submitted by each district under Minnesota Rules, parts 3535.0160 and 3535.0170, must be approved by the district's board each year before integration revenue will be awarded. If a district is applying for revenue for a plan that is part of a multidistrict council, the individual district shall not receive revenue unless it ratifies the plan adopted by its multidistrict council or approves a modified plan with a written explanation of any modifications. Each plan shall contain: (1) an identification of the integration issues at the sites or districts covered by Minnesota Rules, parts 3535.0100 to 3535.0180; (2) a description of the community outreach that preceded the integration plan, such that the commissioner can determine whether the membership of the planning councils complied with the requirements of Minnesota Rules, parts 3535.0100 to 3535.0180; and (3) the specific goals of the integration plan. By June 30 of the subsequent fiscal year, each district shall report to the commissioner in writing about the extent to which the integration goals identified in the plan were met. Sec. 9. Minnesota Statutes 1999 Supplement, section 124D.86, subdivision 3, is amended to read: Subd. 3. [INTEGRATION REVENUE.] For fiscal year 2000 and later fiscal years, integration revenue equals the following amounts: (1) for independent school district No. 709, Duluth, $207 times the adjusted pupil units for the school year; (2) for independent school district No. 625, St. Paul, $446 times the adjusted pupil units for the school year; (3) for special school district No. 1, Minneapolis, $536 times the adjusted pupil units for the school year; and (4) for a district not listed in clause (1), (2), or (3) that is required to implement a plan according to the requirements of Minnesota Rules, parts 3535.0100 to 3535.0180,as proposed in 23 State Register 1344, December 7,1998,the lesser of (i) the actual cost of implementing the plan during the fiscal year minus the aid received under subdivision 6, or (ii) $93 times the adjusted pupil units for the school year. Any money received by districts in clauses (1) to (3) which exceeds the amount received in fiscal year 2000 shall be subject to the budget requirements in subdivision 1a. Sec. 10. Minnesota Statutes 1998, section 124D.86, subdivision 6, is amended to read: Subd. 6. [ALTERNATIVE ATTENDANCE PROGRAMS.] (a) The integration aid under subdivision 5 must be adjusted for each pupil residing in a district eligible for integration revenue under subdivision 3, clause (1), (2), or (3), and attending a nonresident district under sections 123A.05 to 123A.08, 124D.03, 124D.06, 124D.07, and 124D.08, that is not eligible for integration revenue under subdivision 3, clause (1), (2), or (3), and has implemented a plan under Minnesota Rules, parts 3535.0100 to 3535.0180, if the enrollment of the pupil in the nonresident district contributes to desegregation or integration purposes. The adjustments must be made according to this subdivision. (b)Aid paid to the district of the pupil's residence mustbe reduced by an amount equal to the revenue per resident pupilunit of the resident district times the number of resident pupilunits attributable to the pupil for the time the pupil isenrolled in a nonresident district.(c)Aid paid to a district serving nonresidents must be increased by an amount equal to theaid reduction to theresident district under paragraphs (b) and (d)revenue per pupil unit of the resident district under subdivision 3, clause (1), (2), or (3), minus the revenue attributable to the pupil in the nonresident district under subdivision 3, clause (4), for the time the pupil is enrolled in the nonresident district.(d) If the amount of the reduction to be made from the aidof a district is greater than the amount of aid otherwise duethe district, the excess reduction must be made from other stateaids due the district.EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 11. Minnesota Statutes 1999 Supplement, section 124D.87, is amended to read: 124D.87 [INTERDISTRICT DESEGREGATION OR INTEGRATION TRANSPORTATION AID.] (a) A district that provides transportation of pupils to and from an interdistrict program for desegregation or integration purposes is eligible for state aid tocoverreimburse the additional costs of transportation during the preceding fiscal year. (b) A district in the metropolitan area may apply to the commissioner for state aid tocoverreimburse the costs of transporting pupils who are enrolled under section 124D.03 during the preceding fiscal year if the enrollment of the student in the nonresident district contributes to desegregation or integration purposes. The commissioner shall develop the form and manner of applications for state aid, the criteria to be used to determine when transportation is for desegregation or integration purposes, and the accounting procedure to be used to determine excess costs. In determining aid amounts, the commissioner shall consider other revenue received by the district for transportation for desegregation or integration purposes.(c) Aid must be paid under paragraph (b) only if aidamounts under paragraph (a) have been fully funded.EFFECTIVE DATE: This section is effective July 1, 2001. Sec. 12. Minnesota Statutes 1999 Supplement, section 126C.05, subdivision 5, is amended to read: Subd. 5. [ADJUSTED PUPIL UNITS.] (a) Adjusted pupil units for a district or charter school means the sum of: (1) the number of pupil units served, according to subdivision 7, plus (2) pupil units according to subdivision 1 for whom the district or charter school 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, minus (3) pupil units according to subdivision 1 for whom the district or charter school receives 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. (b) Adjusted marginal cost pupil units means the greater of: (1) the sum of.9.77 times the pupil units defined in paragraph (a) for the current school year and.1.23 times the pupil units defined in paragraph (a) for the previous school year; or (2) the number of adjusted pupil units defined in paragraph (a) for the current school year. Sec. 13. Minnesota Statutes 1999 Supplement, section 126C.05, subdivision 6, is amended to read: Subd. 6. [RESIDENT PUPIL UNITS.] (a) Resident pupil units for a district means the number of pupil units according to subdivision 1 residing in the district. (b) Resident marginal cost pupil units means the greater of: (1) the sum of.9.77 times the pupil units defined in paragraph (a) for the current year and.1.23 times the pupil units defined in paragraph (a) for the previous school year; or (2) the number of resident pupil units defined in paragraph (a) for the current school year. Sec. 14. Minnesota Statutes 1999 Supplement, section 126C.052, is amended to read: 126C.052 [CLASS SIZE, ALL-DAY KINDERGARTEN, AND SPECIAL EDUCATION STUDENT-TO-INSTRUCTOR RATIO RESERVE.] A district is required to reserve $3 in fiscal year 2000 and $11 in fiscal year 2001 and later per adjusted marginal cost pupil unit for class size reduction, all-day kindergarten, or for reducing special education student-to-instructor ratios. The school board of each district must pass a resolution stating which one of these three programs will be funded with this reserve. The reserve amount under this section must be allocated to the education site as defined in section 123B.04, subdivision 1, according to a plan adopted by the school board. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 15. Minnesota Statutes 1999 Supplement, section 126C.10, subdivision 2, is amended to read: Subd. 2. [BASIC REVENUE.] The basic revenue for each district equals the formula allowance times theresidentadjusted marginal cost pupil units for the school year. The formula allowance for fiscal year 1998 is $3,581. The formula allowance for fiscal year 1999 is $3,530. The formula allowance for fiscal year 2000 is $3,740. The formula allowance for fiscal year 2001 and subsequent fiscal years is$3,875$3,964. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 16. Minnesota Statutes 1999 Supplement, section 126C.10, subdivision 14, is amended to read: Subd. 14. [USES OF TOTAL OPERATING CAPITAL REVENUE.] Total operating capital revenue may be used only for the following purposes: (1) to acquire land for school purposes; (2) to acquire or construct buildings for school purposes; (3) to rent or lease buildings, including the costs of building repair or improvement that are part of a lease agreement; (4) to improve and repair school sites and buildings, and equip or reequip school buildings with permanent attached fixtures, including library media centers; (5) for a surplus school building that is used substantially for a public nonschool purpose; (6) to eliminate barriers or increase access to school buildings by individuals with a disability; (7) to bring school buildings into compliance with the Uniform Fire Code adopted according to chapter 299F; (8) to remove asbestos from school buildings, encapsulate asbestos, or make asbestos-related repairs; (9) to clean up and dispose of polychlorinated biphenyls found in school buildings; (10) to clean up, remove, dispose of, and make repairs related to storing heating fuel or transportation fuels such as alcohol, gasoline, fuel oil, and special fuel, as defined in section 296A.01; (11) for energy audits for school buildings and to modify buildings if the audit indicates the cost of the modification can be recovered within ten years; (12) to improve buildings that are leased according to section 123B.51, subdivision 4; (13) to pay special assessments levied against school property but not to pay assessments for service charges; (14) to pay principal and interest on state loans for energy conservation according to section 216C.37 or loans made under the Northeast Minnesota Economic Protection Trust Fund Act according to sections 298.292 to 298.298; (15) to purchase or lease interactive telecommunications equipment; (16) by board resolution, to transfer money into the debt redemption fund to: (i) pay the amounts needed to meet, when due, principal and interest payments on certain obligations issued according to chapter 475; or (ii) pay principal and interest on debt service loans or capital loans according to section 126C.70; (17) to pay operating capital-related assessments of any entity formed under a cooperative agreement between two or more districts; (18) to purchase or lease computers and related materials, copying machines, telecommunications equipment, and other noninstructional equipment; (19) to purchase or lease assistive technology or equipment for instructional programs; (20) to purchase textbooks; (21) to purchase new and replacement librarybooksmedia resources or technology; (22) to purchase vehicles; (23) to purchase or lease telecommunications equipment, computers, and related equipment for integrated information management systems for: (i) managing and reporting learner outcome information for all students under a results-oriented graduation rule; (ii) managing student assessment, services, and achievement information required for students with individual education plans; and (iii) other classroom information management needs; and (24) to pay personnel costs directly related to the acquisition, operation, and maintenance of telecommunications systems, computers, related equipment, and network and applications software. EFFECTIVE DATE: This section is effective for the 2000-2001 and later school years. Sec. 17. Minnesota Statutes 1999 Supplement, section 126C.10, subdivision 23, is amended to read: Subd. 23. [REFERENDUM OFFSET ADJUSTMENT.] A district that qualifies for the referendum allowance reduction under section 126C.17, subdivision 12, and whose referendum allowance under section 126C.17, subdivision 1, as adjusted under section 126C.17, subdivisions 2 and 12, does not exceed the referendum allowance limit under section 126C.17, subdivision 2, clause (2), shall receive a referendum offset adjustment. In fiscal year 2000 and thereafter, the referendum offset adjustment is equal to $25 perresidentadjusted marginal cost pupil unit. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 18. Minnesota Statutes 1999 Supplement, section 126C.10, subdivision 24, is amended to read: Subd. 24. [EQUITY REVENUE.] (a) A school district qualifies for equity revenue if the school district's adjusted marginal cost pupil unit amount of basic revenue, supplemental revenue, transition revenue, and referendum revenue is less than the value of the school district at or immediately above the 90th percentile of school districts in its equity region for those revenue categories and the school district's administrative offices are not located in a city of the first class on July 1, 1999. (b) Equity revenue for a qualifying district that receives referendum revenue under section 126C.17, subdivision 4, equals the product of (1) the district's adjusted marginal cost pupil units for that year; times (2) the sum of (i) $10, plus (ii) $30, times the school district's equity index computed undersection 126C.10,subdivision627. (c) Equity revenue for a qualifying district that does not receive referendum revenue under section 126C.17, subdivision 4, equals the product of the district's adjusted marginal cost pupil units for that year times $10. EFFECTIVE DATE: This section is effective for revenue in fiscal year 2000. Sec. 19. Minnesota Statutes 1999 Supplement, section 126C.10, subdivision 25, is amended to read: Subd. 25. [REGIONAL EQUITY GAP.] The regional equity gap equals the difference between the value of the school district at or immediately above the fifth percentile of adjusted general revenue per adjusted marginal cost pupil unit and the value of the school district at or immediately above the 90th percentile of adjusted general revenue per adjusted marginal cost pupil unit. EFFECTIVE DATE: This section is effective for revenue in fiscal year 2000. Sec. 20. Minnesota Statutes 1999 Supplement, section 126C.10, subdivision 26, is amended to read: Subd. 26. [DISTRICT EQUITY GAP.] A district's equity gap equals the greater of zero or the difference between the district's adjusted general revenue and the value of the school district at or immediately above the regional 90th percentile of adjusted general revenue per adjusted marginal cost pupil unit. EFFECTIVE DATE: This section is effective for revenue in fiscal year 2000. Sec. 21. Minnesota Statutes 1999 Supplement, section 126C.12, subdivision 1, is amended to read: Subdivision 1. [REVENUE.] Of a district's general education revenue for fiscal year 2000 and thereafter each school district shall reserve an amount equal to the formula allowance multiplied by the following calculation: (1) the sum of adjusted marginal costpupil unitspupils in average daily membership, according to section 126C.05, subdivision 5, in kindergarten times .057; plus (2) the sum of adjusted marginal costpupil unitspupils in average daily membership, according to section 126C.05, subdivision 5, in grades 1 to 3 times .115; plus (3) the sum of adjusted marginal costpupil unitspupils in average daily membership, according to section 126C.05, subdivision 5, in grades 4 to 6 times .06. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 22. Minnesota Statutes 1998, section 126C.16, subdivision 3, is amended to read: Subd. 3. [PER PUPIL REVENUE CONVERSION.] (a) The department must convert each district's referendum revenue authority for fiscal year 2002 and later years to an allowance per pupil unit as follows: the revenue allowance equals the amount determined by dividing the district's maximum revenue under section 126C.17, for fiscal year 2001 by the district's 2000-2001 resident marginal cost pupil units. A district's maximum revenue for all later years for which the revenue is authorized equals the revenue allowance times the district's resident marginal cost pupil units for that year. (b) The referendum allowance reduction must be applied first to the authority with the earliest expiration date. Sec. 23. Minnesota Statutes 1999 Supplement, section 126C.17, subdivision 9, is amended to read: Subd. 9. [REFERENDUM REVENUE.] (a) The revenue authorized by section 126C.10, subdivision 1, may be increased in the amount approved by the voters of the district at a referendum called for the purpose. The referendum may be called by the board or shall be called by the board upon written petition of qualified voters of the district. The referendum must be conducted one or two calendar years before the increased levy authority, if approved, first becomes payable. Only one election to approve an increase may be held in a calendar year. Unless the referendum is conducted by mail under paragraph (g), the referendum must be held on the first Tuesday after the first Monday in November. The ballot must state the maximum amount of the increased revenue per resident marginal cost pupil unit, the estimated referendum tax rate as a percentage of referendum market value in the first year it is to be levied, and that the revenue must be used to finance school operations. The ballot may state a schedule, determined by the board, of increased revenue per resident marginal cost pupilunitsunit that differs from year to year over the number of years for which the increased revenue is authorized. If the ballot contains a schedule showing different amounts, it must also indicate the estimated referendum tax rate as a percent of referendum market value for the amount specified for the first year and for the maximum amount specified in the schedule. The ballot may state that existing referendum levy authority is expiring. In this case, the ballot may also compare the proposed levy authority to the existing expiring levy authority, and express the proposed increase as the amount, if any, over the expiring referendum levy authority. The ballot must designate the specific number of years, not to exceed ten, for which the referendum authorization applies. The notice required under section 275.60 may be modified to read, in cases of renewing existing levies: "BY VOTING "YES" ON THIS BALLOT QUESTION, YOU MAY BE VOTING FOR A PROPERTY TAX INCREASE." The ballot may contain a textual portion with the information required in this subdivision and a question stating substantially the following: "Shall the increase in the revenue proposed by (petition to) the board of ........., School District No. .., be approved?" If approved, an amount equal to the approved revenue per resident marginal cost pupil unit times the resident marginal cost pupil units for the school year beginning in the year after the levy is certified shall be authorized for certification for the number of years approved, if applicable, or until revoked or reduced by the voters of the district at a subsequent referendum. (b) The board must prepare and deliver by first class mail at least 15 days but no more than 30 days before the day of the referendum to each taxpayer a notice of the referendum and the proposed revenue increase. The board need not mail more than one notice to any taxpayer. For the purpose of giving mailed notice under this subdivision, owners must be those shown to be owners on the records of the county auditor or, in any county where tax statements are mailed by the county treasurer, on the records of the county treasurer. Every property owner whose name does not appear on the records of the county auditor or the county treasurer is deemed to have waived this mailed notice unless the owner has requested in writing that the county auditor or county treasurer, as the case may be, include the name on the records for this purpose. The notice must project the anticipated amount of tax increase in annual dollars and annual percentage for typical residential homesteads, agricultural homesteads, apartments, and commercial-industrial property within the school district. The notice for a referendum may state that an existing referendum levy is expiring and project the anticipated amount of increase over the existing referendum levy in the first year, if any, in annual dollars and annual percentage for typical residential homesteads, agricultural homesteads, apartments, and commercial-industrial property within the district. The notice must include the following statement: "Passage of this referendum will result in an increase in your property taxes." However, in cases of renewing existing levies, the notice may include the following statement: "Passage of this referendum may result in an increase in your property taxes." (c) A referendum on the question of revoking or reducing the increased revenue amount authorized pursuant to paragraph (a) may be called by the board and shall be called by the board upon the written petition of qualified voters of the district. A referendum to revoke or reduce the levy amount must be based upon the dollar amount, local tax rate, or amount per resident marginal cost pupil unit, that was stated to be the basis for the initial authorization. Revenue approved by the voters of the district pursuant to paragraph (a) must be received at least once before it is subject to a referendum on its revocation or reduction for subsequent years. Only one revocation or reduction referendum may be held to revoke or reduce referendum revenue for any specific year and for years thereafter. (d) A petition authorized by paragraph (a) or (c) is effective if signed by a number of qualified voters in excess of 15 percent of the registered voters of the district on the day the petition is filed with the board. A referendum invoked by petition must be held on the date specified in paragraph (a). (e) The approval of 50 percent plus one of those voting on the question is required to pass a referendum authorized by this subdivision. (f) At least 15 days before the day of the referendum, the district must submit a copy of the notice required under paragraph (b) to the commissioner and to the county auditor of each county in which the district is located. Within 15 days after the results of the referendum have been certified by the board, or in the case of a recount, the certification of the results of the recount by the canvassing board, the district must notify the commissioner of the results of the referendum. (g) Except for a referendum held under subdivision 11, any referendum under this section held on a day other than the first Tuesday after the first Monday in November must be conducted by mail in accordance with section 204B.46. Notwithstanding paragraph (b) to the contrary, in the case of a referendum conducted by mail under this paragraph, the notice required by paragraph (b) must be prepared and delivered by first class mail at least 20 days before the referendum. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 24. Minnesota Statutes 1999 Supplement, section 126C.44, as amended by Laws 2000, chapter 254, section 44, is amended to read: 126C.44 [CRIME-RELATED COSTS LEVY.] Each district may make a levy on all taxable property located within the district for the purposes specified in thissubdivisionsection. The maximum amount which may be levied for all costs under thissubdivisionsection shall be equal to$1.50$11.00 multiplied by thepopulation of the school districtdistrict's adjusted marginal cost pupil units for the school year.For purposes of this subdivision, "population" of theschool district means the same as contained in section 275.14.The proceeds of the levy must be used for directly funding the following purposes or for reimbursing the cities and counties who contract with the district for the following purposes: (1) to pay the costs incurred for the salaries, benefits, and transportation costs of peace officers and sheriffs for liaison in services in the district'smiddle and secondaryschools; (2) to pay the costs for a drug abuse prevention program as defined in section 609.101, subdivision 3, paragraph (e), in the elementary schools; (3) to pay the costs for a gang resistance education training curriculum in themiddledistrict's schools;or(4) to pay the costs for security in the districts' schools and on school property; or (5) to pay the costs for other crime preventionand, drug abuse, student and staff safety, and violence prevention measures taken by the school district. The district must initially attempt to contract for services to be provided by peace officers or sheriffs with the police department of each city or the sheriff's department of the county within the district containing the school receiving the services. If a local police department or a county sheriff's department does not wish to provide the necessary services, the district may contract for these services with any other police or sheriff's department located entirely or partially within the school district's boundaries. The levy authorized under thissubdivisionsection is not included in determining the school district's levy limitations. EFFECTIVE DATE: This section is effective July 1, 2000, for levies for taxes payable in 2001 and later. Sec. 25. Minnesota Statutes 1999 Supplement, section 127A.45, subdivision 12a, is amended to read: Subd. 12a. [FORWARD SHIFTED AID PAYMENTS.] (a) Nineteen percent of the state aid in fiscal year 1999, and 31 percent of the state aid in fiscal years 2000 and later received under section 124D.86 must be paid by the state to the recipient school district on July 15 of that year. The recipient school district must recognize this aid in the same fiscal year as the levy is recognized. (b) One hundred percent of the state aid in fiscal years 2003 and later received under section 124D.87 must be paid by the state to the recipient school district on August 30 of that year. The recipient school district must recognize this aid in the previous fiscal year. Sec. 26. Minnesota Statutes 1999 Supplement, section 127A.51, is amended to read: 127A.51 [STATEWIDE AVERAGE REVENUE.] By October 1 of each year the commissioner must estimate the statewide average adjusted general revenue per adjusted marginal cost pupil unit and the disparity in adjusted general revenue among pupils and districts by computing the ratio of the ninety-fifth percentile to the fifth percentile of adjusted general revenue. The commissioner must provide that information to all districts. If the disparity in adjusted general revenue as measured by the ratio of the ninety-fifth percentile to the fifth percentile increases in any year, the commissioner shall recommend to the legislature options for change in the general education formula that will limit the disparity in adjusted general revenue to no more than the disparity for the previous school year. The commissioner must submit the recommended options to the education committees of the legislature by January 15. For purposes of this section and section 126C.10, adjusted general revenue means the sum of basic revenue under section 126C.10, subdivision 2; supplemental revenue under section 126C.10, subdivisions 9 and 12; transition revenue under section 126C.10, subdivision 20; and referendum revenue under section 126C.17. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 27. Minnesota Statutes 1998, section 128D.11, subdivision 3, is amended to read: Subd. 3. [NO ELECTION.] Subject to the provisions of subdivisions 7 to 10, the school district may also by a two-thirds majority vote of all the members of its board of education and without any election by the voters of the district, issue and sell in each calendar year general obligation bonds of the district in an amount not to exceed 5-1/10 per cent of the net tax capacity of the taxable property in the district (plus, for calendar years 1990 to 2003, an amount not to exceed $7,500,000, and for calendar years 2004 to 2008 an amount not to exceed $15,000,000; with an additional provision that any amount of bonds so authorized for sale in a specific year and not sold can be carried forward and sold in the year immediately following). Sec. 28. Laws 1992, chapter 499, article 7, section 31, as amended by Laws 1998, chapter 398, article 1, section 39, and Laws 1999, chapter 241, article 1, section 54, is amended to read: Sec. 31. [REPEALER.] Minnesota Statutes 1990, sections 124A.02, subdivision 24; 124A.23, subdivisions 2 and 3; 124A.26, subdivisions 2 and 3; 124A.27; 124A.28; and 124A.29, subdivision 2; and Minnesota Statutes 1991 Supplement, sections 124A.02, subdivisions 16 and 23; 124A.03, subdivisions 1b, 1c, 1d, 1e, 1f, 1g, 1h, and 1i; 124A.04; 124A.22, subdivisions 2, 3, 4, 4a, 4b, 8, and 9; 124A.23, subdivisions 1, 4, and 5; 124A.24; 124A.26, subdivision 1; and 124A.29, subdivision 1, are repealed effective June 30,20022004; Laws 1991, chapter 265, article 7, section 35, is repealed. Sec. 29. Laws 1992, chapter 499, article 7, section 32, is amended to read: Sec. 32. [EFFECTIVE DATE.] Sections 1, 9, 14, 18, 19, 20, 21, 22, 23, and 30 are effective the day following final enactment. Sections 4 to 8 are effective for revenue for fiscal year20002002. Sec. 30. Laws 1999, chapter 241, article 1, section 68, subdivision 2, is amended to read: Subd. 2. [GENERAL AND SUPPLEMENTAL EDUCATION AID.] For general and supplemental education aid:$3,062,321,000$3,066,166,000 ..... 2000$3,160,518,000$3,247,635,000 ..... 2001 The 2000 appropriation includes $272,186,000 for 1999 and$2,790,135,000$2,793,980,000 for 2000. The 2001 appropriation includes$310,015,000$310,442,000 for 2000 and$2,850,503,000$2,937,193,000 for 2001. Sec. 31. Laws 1999, chapter 241, article 1, section 68, subdivision 4, is amended to read: Subd. 4. [TRANSPORTATION AID FOR ENROLLMENT OPTIONS.] For transportation of pupils attending post-secondary institutions according to Minnesota Statutes, section 124D.09, or for transportation of pupils attending nonresident districts according to Minnesota Statutes, section 124D.03:$102,000$70,000 ..... 2000$102,000$70,000 ..... 2001 Any balance in the first year does not cancel but is available in the second year. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 32. Laws 1999, chapter 241, article 1, section 68, subdivision 5, is amended to read: Subd. 5. [DISTRICT COOPERATION REVENUE.] For district cooperation revenue aid:$5,940,000$5,881,000 ..... 2000$ 563,000$ 556,000 ..... 2001 The 2000 appropriation includes $869,000 for 1999 and$5,071,000$5,012,000 for 2000. The 2001 appropriation includes$563,000$556,000 for 2000 and $0 for 2001. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 33. Laws 1999, chapter 241, article 1, section 70, is amended to read: Sec. 70. [EFFECTIVE DATES.] Sections 13, 14, 26, 30, 37, and 39 are effective for revenue for fiscal year 2000 and later. Section 41 is effective for revenue for fiscal year 2001 and later. Sections 46, 47, and 55 to 60 are effective the day following final enactment. Section 61 is effective for taxes payable in 2000 and later. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 34. [TRAINING AND EXPERIENCE REPLACEMENT REVENUE.] (a) For fiscal year 2001 only, a school district's training and experience replacement revenue equals the sum of the following: (1) the ratio of the amount of training and experience revenue the district would have received for fiscal year 1999 calculated using the training and experience index in Minnesota Statutes 1996, section 124A.04, to its resident pupil units for that year, times the district's adjusted marginal cost pupil units for fiscal year 2001, times .06; plus (2) the difference between .47 times the training and experience revenue the district would have received for fiscal year 1999, calculated using the training and experience index in Minnesota Statutes 1996, section 124A.04, and the amount calculated in Minnesota Statutes, section 126C.10, subdivision 5, for fiscal year 2001, but not less than zero. (b) This revenue is paid entirely in fiscal year 2001. Sec. 35. [LEVY RECOGNITION FOR INTEGRATION LEVY ADJUSTMENT.] Notwithstanding Minnesota Statutes, section 123B.75, subdivision 5, the full amount of integration levy for taxes payable in 2001, attributable to fiscal year 2001, for school districts receiving revenue under Minnesota Statutes, section 124D.86, subdivision 3, clause (4), shall be recognized in fiscal year 2001. Sec. 36. [FISCAL YEARS 2003 TO 2007 AIRPORT RUNWAY IMPACT PUPIL UNIT AID; RICHFIELD.] Subdivision 1. [AIRPORT IMPACT ZONE PUPIL UNITS, DEFINITION.] For the purposes of this section, "airport impact zone pupil units" means the number of pupil units, according to Minnesota Statutes 1999 Supplement, section 126C.05, subdivision 1, in school year 1998-1999 that were attributable to the airport impact zone, as defined in Laws 1999, chapter 243, article 16, section 35, subdivision 1. Subd. 2. [FISCAL YEAR 2003.] For fiscal year 2003 only, independent school district No. 280, Richfield, is eligible for declining pupil unit aid equal to the product of 70 percent of the airport impact zone pupil units times the general education formula allowance for fiscal year 2003. Subd. 3. [FISCAL YEAR 2004.] For fiscal year 2004 only, independent school district No. 280, Richfield, is eligible for declining pupil unit aid equal to the product of 70 percent of the airport impact zone pupil units times the general education formula allowance for fiscal year 2004. Subd. 4. [FISCAL YEAR 2005.] For fiscal year 2005 only, independent school district No. 280, Richfield, is eligible for declining pupil unit aid equal to the product of 52.5 percent of the airport impact zone pupil units times the general education formula allowance for fiscal year 2005. Subd. 5. [FISCAL YEAR 2006.] For fiscal year 2006 only, independent school district No. 280, Richfield, is eligible for declining pupil unit aid equal to the product of 35 percent of the airport impact zone pupil units times the general education formula allowance for fiscal year 2006. Subd. 6. [FISCAL YEAR 2007.] For fiscal year 2007 only, independent school district No. 280, Richfield, is eligible for declining pupil unit aid equal to the product of 17.5 percent of the airport impact zone pupil units times the general education formula allowance for fiscal year 2007. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 37. [SPARSITY CORRECTION REVENUE.] Subdivision 1. [QUALIFICATION FOR REVENUE.] A school district qualifies for sparsity correction revenue if it qualifies for sparsity revenue, according to Minnesota Statutes, section 126C.10, subdivisions 7 and 8, in fiscal year 2000 or 2001 and the amount of sparsity revenue it received in those years is less than the amount it would have received in fiscal year 2000 or 2001 prior to the passage of Laws 1999, chapter 241, article 1, sections 18 and 19. Subd. 2. [FISCAL YEAR 2000 CALCULATION.] For fiscal year 2000, a school district's sparsity correction revenue equals the difference between sparsity revenue in fiscal year 2000 calculated according to Laws 1999, chapter 241, article 1, sections 18 and 19, and the sparsity revenue the district would have received for fiscal year 2000 had these sections of law not been approved. Subd. 3. [FISCAL YEAR 2001 CALCULATION.] For fiscal year 2001, a school district's sparsity correction revenue equals .5 times the difference between sparsity revenue in fiscal year 2001 calculated according to Laws 1999, chapter 241, article 1, sections 18 and 19, and the sparsity revenue the district would have received for fiscal year 2001 had these sections of law not been approved. Sec. 38. [SEVERANCE LEVY; MESABI EAST.] Independent school district No. 2711, Mesabi East, may levy an amount up to $250,000 each year for a period of five years for severance and early retirement incentives for licensed employees who have retired early as a result of the district's combination that was effective July 1, 1991. EFFECTIVE DATE: This section is effective for taxes payable in 2001 and later years. Sec. 39. [APPROPRIATIONS.] Subdivision 1. [DEPARTMENT OF CHILDREN, FAMILIES, AND LEARNING.] The sums indicated in this section are appropriated from the general fund to the department of children, families, and learning for the fiscal years designated. Subd. 2. [SPARSITY CORRECTION REVENUE.] For sparsity correction revenue: $1,030,000 ..... 2000 $ 515,000 ..... 2001 Subd. 3. [TRAINING AND EXPERIENCE REPLACEMENT REVENUE.] For training and experience replacement revenue: $30,794,000 ..... 2001 EFFECTIVE DATE: This section is effective the day following final enactment. ARTICLE 3 KINDERGARTEN THROUGH GRADE 12 EDUCATION SPECIAL PROGRAMS Section 1. Minnesota Statutes 1999 Supplement, section 122A.31, subdivision 1, is amended to read: Subdivision 1. [REQUIREMENTS FOR AMERICAN SIGN LANGUAGE/ENGLISH INTERPRETERS.] (a) In addition to any other requirements that a school district establishes, any person employed to provide American sign language/English interpreting or sign transliterating services on a full-time or part-time basis for a school district after July 1, 2000, must: (1) hold current interpreter and transliterator certificates awarded by the Registry of Interpreters for the Deaf (RID), or the general level interpreter proficiency certificate awarded by the National Association of the Deaf (NAD), or a comparable state certification from the commissioner of children, families, and learning; and (2) satisfactorily complete an interpreter/transliterator training program affiliated with an accredited educational institution. (b) To provide American sign language/English interpreting or transliterating services on a full-time or part-time basis, a person employed in a school district during the 1999-2000 school year must only comply with paragraph (a), clause (1). The commissioner shall grant a nonrenewable, one-year provisional certificate to individuals who have not attained a current applicable transliterator certificate pursuant to paragraph (a), clause (1). During the one-year provisional period, the interpreter/transliterator must develop and implement an education plan in collaboration with a mentor under paragraph (d). This paragraph shall expire on June 30, 2001. (c) Graduates of an interpreter/transliterator program affiliated with an accredited education institution shall be granted a two-year provisional certificate by the commissioner. During the two-year provisional period, the interpreter/transliterator must develop and implement an education plan in collaboration with a mentor under paragraph (d). This paragraph applies to spring semester 2000 graduates and thereafter. (d) A mentor of a provisionally certified interpreter/transliterator must be an interpreter/transliterator who has either NAD level IV or V certification or RID certified interpreter and certified transliterator certification and have at least three years interpreting/transliterating experience in any educational setting. The mentor, in collaboration with the provisionally certified interpreter/transliterator, shall develop and implement an educational plan designed to meet the requirements of paragraph (a), clause (1), and include a weekly on-site mentoring process. (e) A school district may not employ an interpreter/transliterator who has not been certified under paragraphs (a), (b), or (c). Sec. 2. Minnesota Statutes 1998, section 122A.31, subdivision 4, is amended to read: Subd. 4. [REIMBURSEMENT.] (a) For purposes of revenue undersections 125A.77 andsection 125A.78, the department of children, families, and learning must only reimburse school districts for the services of those interpreters/transliterators who satisfy the standards of competency under this section. (b) Notwithstanding paragraph (a), a district shall be reimbursed for the services of interpreters with a nonrenewable provisional certificate and interpreters/transliterators employed to mentor the provisional certified interpreters. Sec. 3. Minnesota Statutes 1999 Supplement, section 124D.68, subdivision 9, is amended to read: Subd. 9. [ENROLLMENT VERIFICATION.] (a) For a pupil attending an eligible program full time under subdivision 3, paragraph (d), the department must pay 90 percent of the district's average general education revenue less basic skills revenue to the eligible program and ten percent of the district's average general education revenue less basic skills revenue to theresidentcontracting district within 30 days after the eligible program verifies enrollment using the form provided by the department. For a pupil attending an eligible program part time, revenue shall be reduced proportionately, according to the amount of time the pupil attends the program, and the payments to the eligible program and theresidentcontracting district shall be reduced accordingly. A pupil for whom payment is made according to this section may not be counted by any district for any purpose other than computation of general education revenue. If payment is made for a pupil under this subdivision, a district shall not reimburse a program under section 124D.69 for the same pupil. Basic skills revenue shall be paid according to section 126C.10, subdivision 4. (b) The department must pay up to 100 percent of the revenue to the eligible program if there is an agreement to that effect between the school district and the eligible program. (c) Notwithstanding paragraphs (a) and (b), for an eligible program that provides chemical treatment services to students, the department must pay 100 percent of the revenue to the eligible program. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 4. Minnesota Statutes 1999 Supplement, section 124D.84, subdivision 1, is amended to read: Subdivision 1. [AWARDS.] The commissioner, with the advice and counsel of the Minnesota Indian scholarship committee, may award scholarships to any Minnesota resident student who is of one-fourth or more Indian ancestry, who has applied for other existing state and federal scholarship and grant programs, and who, in the opinion of the commissioner, has the capabilities to benefit from further education. Scholarships must be foradvanced or specialized educationaccredited degree programs in accredited colleges or universities or for courses in accreditedor approved colleges or inbusiness, technical, or vocational schools. Scholarships shall be used to defray the total cost of education including tuition, incidental fees, books, supplies, transportation, other related school costs and the cost of board and room and shall be paid directly to the college or school concerned. The total cost of education includes all tuition and fees for each student enrolling in a public institution and the portion of tuition and fees for each student enrolling in a private institution that does not exceed the tuition and fees at a comparable public institution. Each student shall be awarded a scholarship based on the total cost of the student's education and a standardized need analysis. The amount and type of each scholarship shall be determined through the advice and counsel of the Minnesota Indian scholarship committee. When an Indian student satisfactorily completes the work required by a certain college or school in a school year the student is eligible for additional scholarships, if additional training is necessary to reach the student's educational and vocational objective. Scholarships may not be given to any Indian student for more than five years of study without special approval of the Minnesota Indian scholarship committee. Sec. 5. Minnesota Statutes 1999 Supplement, section 124D.88, subdivision 3, is amended to read: Subd. 3. [GRANT APPLICATION PROCESS.] (a) Any group of school districts that meets the criteria required under paragraph (b)(1) may apply for a magnet school grant in an amount not to exceed$20,800,000 forthe approved costs or expansion of a magnet school facility. (b)(1) Any group of districts that submits an application for a grant shall submit a proposal to the commissioner for review and comment under section 123B.71, and the commissioner shall prepare a review and comment on the proposed magnet school facility, regardless of the amount of the capital expenditure required to design, acquire, construct, remodel, improve, furnish, or equip the facility. The commissioner must not approve an application for a magnet school grant for any facility unless the facility receives a favorable review and comment under section 123B.71 and the participating districts: (i) establish a joint powers board under section 471.59 to represent all participating districts and govern the magnet school facility; (ii) design the planned magnet school facility to meet the applicable requirements contained in Minnesota Rules, chapter 3535; (iii) submit a statement of need, including reasons why the magnet school will facilitate integration and improve learning; (iv) prepare an educational plan that includes input from both community and professional staff; and (v) develop an education program that will improve learning opportunities for students attending the magnet school. (2) The districts may develop a plan that permits social service, health, and other programs serving students and community residents to be located within the magnet school facility. The commissioner shall consider this plan when preparing a review and comment on the proposed facility. (c) When two or more districts enter into an agreement establishing a joint powers board to govern the magnet school facility, all member districts shall have the same powers. (d) A joint powers board of participating school districts established under paragraphs (b) and (c) that intends to apply for a grant must adopt a resolution stating the costs of the proposed project, the purpose for which the debt is to be incurred, and an estimate of the dates when the contracts for the proposed project will be completed. A copy of the resolution must accompany any application for a state grant under this section. (e)(1) The commissioner shall examine and consider all grant applications. If the commissioner finds that any joint powers district is not a qualified grant applicant, the commissioner shall promptly notify that joint powers board. The commissioner shall make awards to no more than two qualified applicants whose applications have been on file with the commissioner more than 30 days. (2) A grant award is subject to verification by the joint powers board under paragraph (f). A grant award must not be made until the participating districts determine the site of the magnet school facility. If the total amount of the approved applications exceeds the amount of grant funding that is or can be made available, the commissioner shall allot the available amount equally between the approved applicant districts. The commissioner shall promptly certify to each qualified joint powers board the amount, if any, of the grant awarded to it. (f) Each grant must be evidenced by a contract between the joint powers board and the state acting through the commissioner. The contract obligates the state to pay to the joint powers board an amount computed according to paragraph (e)(2) and a schedule, and terms and conditions acceptable to the commissioner of finance. (g) Notwithstanding the provisions of section 123B.02, subdivision 3, the joint powers and its individual members may enter into long-term lease agreements as part of the magnet school program. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 6. Minnesota Statutes 1998, section 124D.88, is amended by adding a subdivision to read: Subd. 4. [START-UP COSTS.] During the first two years of a metropolitan magnet school's operation, the school is eligible for aid to pay for start-up costs and additional operating costs. Start-up cost aid equals $500 times the magnet school's pupil units served for that year. Sec. 7. Minnesota Statutes 1998, section 124D.892, subdivision 3, is amended to read: Subd. 3. [ADVISORY BOARD.] The commissioner shall establish an advisory board composed of: (1)eightnine superintendents,each of whomeight shall be selected by the superintendents of the school districts located in whole or in part within each of the eight metropolitan districts established under section 473.123, subdivision 3c, and one superintendent of a district outside the seven-county metropolitan area and is from a district that is considered racially isolated or has a racially isolated school site according to Minnesota Rules, part 3535.0110;and(2) one person each selected by the Indian affairs council, the council on Asian-Pacific Minnesotans, the council on Black Minnesotans, and the council on affairs of Chicano/Latino people; and (3) the superintendent of independent school district No. 709, Duluth. The advisory board shall advise the office on complying with the requirements under subdivision 1. The advisory board may solicit comments from teachers, parents, students, and interested community organizations and others. Sec. 8. Minnesota Statutes 1999 Supplement, section 125A.027, subdivision 3, is amended to read: Subd. 3. [IMPLEMENTATION TIMELINE.] By July 1, 2000, the individual interagency intervention plan must be available and by January 1, 2001, all governing boards of interagency early intervention committees statewide must implement a coordinated service system for children up to age five with disabilities consistent with the requirements of this section and section 125A.023 and the evaluation results from the demonstration projects under section 125A.023, subdivision 5. Children with disabilities up to the age of 21 shall be eligible for coordinated services and their eligibility to receive such services under this section shall be phased in over a four-year period as follows: (1) July 1, 2001, children up to age nine become eligible; (2) July 1, 2002, children up to age 14 become eligible; and (3) July 1, 2003, children up to age 21 become eligible. Sec. 9. Minnesota Statutes 1999 Supplement, section 125A.15, is amended to read: 125A.15 [PLACEMENT IN ANOTHER DISTRICT; RESPONSIBILITY.] The responsibility for special instruction and services for a child with a disability temporarily placed in another district for care and treatment shall be determined in the following manner: (a) The district of residence of a child shall be the district in which the child's parent resides, if living, or the child's guardian, or the district designated by the commissioner if neither parent nor guardian is living within the state. (b) When a child is temporarily placed for care and treatment in a day program located in another district and the child continues to live within the district of residence during the care and treatment, the district of residence is responsible for providing transportation to and from the care and treatment facility and an appropriate educational program for the child. Transportation shall only be provided by the district during regular operating hours of the district. The district may provide the educational program at a school within the district of residence, at the child's residence, or in the district in which the day treatment center is located by paying tuition to that district. (c) When a child is temporarily placed in a residential program for care and treatment, the nonresident district in which the child is placed is responsible for providing an appropriate educational program for the child and necessary transportation while the child is attending the educational program; and must bill the district of the child's residence for the actual cost of providing the program, as outlined in section 125A.11, except as provided in paragraph (d). However, the board, lodging, and treatment costs incurred in behalf of a child with a disability placed outside of the school district of residence by the commissioner of human services or the commissioner of corrections or their agents, for reasons other than providing for the child's special educational needs must not become the responsibility of either the district providing the instruction or the district of the child's residence. For the purposes of this section, the state correctional facilities operated on a fee-for-service basis are considered to be residential programs for care and treatment. (d) A privately owned and operated residential facility may enter into a contract to obtain appropriate educational programs for special education children and services with a joint powers entity. The entity with which the private facility contracts for special education services shall be the district responsible for providing students placed in that facility an appropriate educational program in place of the district in which the facility is located. If a privately owned and operated residential facility does not enter into a contract under this paragraph, then paragraph (c) applies. (e) The district of residence shall pay tuition and other program costs, not including transportation costs, to the district providing the instruction and services. The district of residence may claim general education aid for the child as provided by law. Transportation costs must be paid by the district responsible for providing the transportation and the state must pay transportation aid to that district. Sec. 10. Minnesota Statutes 1999 Supplement, section 125A.51, is amended to read: 125A.51 [PLACEMENT OF CHILDREN WITHOUT DISABILITIES; EDUCATION AND TRANSPORTATION.] The responsibility for providing instruction and transportation for a pupil without a disability who has a short-term or temporary physical or emotional illness or disability, as determined by the standards of the commissioner, and who is temporarily placed for care and treatment for that illness or disability, must be determined as provided in this section. (a) The school district of residence of the pupil is the district in which the pupil's parent or guardian resides. (b) When parental rights have been terminated by court order, the legal residence of a child placed in a residential or foster facility for care and treatment is the district in which the child resideswhen parental rights have been terminated. (c) Before the placement of a pupil for care and treatment, the district of residence must be notified and provided an opportunity to participate in the placement decision. When an immediate emergency placement is necessary and time does not permit resident district participation in the placement decision, the district in which the pupil is temporarily placed, if different from the district of residence, must notify the district of residence of the emergency placement within 15 days of the placement. (d) When a pupil without a disability is temporarily placed for care and treatment in a day program and the pupil continues to live within the district of residence during the care and treatment, the district of residence must provide instruction and necessary transportation to and from the treatment facility for the pupil. Transportation shall only be provided by the district during regular operating hours of the district. The district may provide the instruction at a school within the district of residence, at the pupil's residence, or in the case of a placement outside of the resident district, in the district in which the day treatment program is located by paying tuition to that district. The district of placement may contract with a facility to provide instruction by teachers licensed by the state board of teaching. (e) When a pupil without a disability is temporarily placed in a residential program for care and treatment, the district in which the pupil is placed must provide instruction for the pupil and necessary transportation while the pupil is receiving instruction, and in the case of a placement outside of the district of residence, the nonresident district must bill the district of residence for the actual cost of providing the instruction for the regular school year and for summer school, excluding transportation costs. When a pupil without a disability is temporarily placed in a residential program outside the district of residence, the administrator of the court placing the pupil must send timely written notice of the placement to the district of residence. The district of placement may contract with a residential facility to provide instruction by teachers licensed by the state board of teaching. For purposes of this section, the state correctional facilities operated on a fee-for-service basis are considered to be residential programs for care and treatment. (f) The district of residence must include the pupil in its residence count of pupil units and pay tuition as provided in section 123A.488 to the district providing the instruction. Transportation costs must be paid by the district providing the transportation and the state must pay transportation aid to that district. For purposes of computing state transportation aid, pupils governed by this subdivision must be included in the disabled transportation category. Sec. 11. Minnesota Statutes 1999 Supplement, section 125A.76, subdivision 1, is amended to read: Subdivision 1. [DEFINITIONS.] For the purposes of this section, the definitions in this subdivision apply. (a) "Base year" for fiscal year 1998 and later fiscal years means the second fiscal year preceding the fiscal year for which aid will be paid. (b) "Basic revenue" has the meaning given it in section 126C.10, subdivision 2. For the purposes of computing basic revenue pursuant to this section, each child with a disability shall be counted as prescribed in section 126C.05, subdivision 1. (c) "Essential personnel" means teachers, related services, and support services staff providing direct services to students. (d) "Average daily membership" has the meaning given it in section 126C.05. (e) "Program growth factor" means1.0121.08 for fiscal year 2002, and 1.047 for fiscal year 2003 and later. Sec. 12. Minnesota Statutes 1999 Supplement, section 125A.76, subdivision 2, is amended to read: Subd. 2. [SPECIAL EDUCATION BASE REVENUE.] (a) The special education base revenue equals the sum of the following amounts computed using base year data: (1) 68 percent of the salary of each essential person employed in the district's program for children with a disability during the fiscal year, not including the share of salaries for personnel providing health-related services counted in clause (8), whether the person is employed by one or more districts or a Minnesota correctional facility operating on a fee-for-service basis; (2) for the Minnesota state academy for the deaf or the Minnesota state academy for the blind, 68 percent of the salary of each instructional aide assigned to a child attending the academy, if that aide is required by the child's individual education plan; (3) for special instruction and services provided to any pupil by contracting with public, private, or voluntary agencies other than school districts, in place of special instruction and services provided by the district, 52 percent of the difference between the amount of the contract and the basic revenue of the district for that pupil for the fraction of the school day the pupil receives services under the contract; (4) for special instruction and services provided to any pupil by contracting for services with public, private, or voluntary agencies other than school districts, that are supplementary to a full educational program provided by the school district, 52 percent of the amount of the contract for that pupil; (5) for supplies and equipment purchased or rented for use in the instruction of children with a disability, not including the portion of the expenses for supplies and equipment used to provide health-related services counted in clause (8), an amount equal to 47 percent of the sum actually expended by the district, or a Minnesota correctional facility operating on a fee-for-service basis, but not to exceed an average of $47 in any one school year for each child with a disability receiving instruction; (6) for fiscal years 1997 and later, special education base revenue shall include amounts under clauses (1) to (5) for special education summer programs provided during the base year for that fiscal year; and (7) for fiscal years 1999 and later, the cost of providing transportation services for children with disabilities under section 123B.92, subdivision 1, paragraph (b), clause (4); and(8) for fiscal years 2001 and later, the cost of salaries,supplies and equipment, and other related costs actuallyexpended by the district for the nonfederal share of medicalassistance services according to section 256B.0625, subdivision26. The department shall establish procedures through the uniform financial accounting and reporting system to identify and track all revenues generated from third-party billings as special education revenue at the school district level; include revenue generated from third-party billings as special education revenue in the annual cross-subsidy report; and exclude third-party revenue from calculation of excess cost aid to the districts. (b) If requested by a school district operating a special education program during the base year for less than the full fiscal year, or a school district in which is located a Minnesota correctional facility operating on a fee-for-service basis for less than the full fiscal year, the commissioner may adjust the base revenue to reflect the expenditures that would have occurred during the base year had the program been operated for the full fiscal year. (c) Notwithstanding paragraphs (a) and (b), the portion of a school district's base revenue attributable to a Minnesota correctional facility operating on a fee-for-service basis during the facility's first year of operating on a fee-for-service basis shall be computed using current year data. Sec. 13. Minnesota Statutes 1999 Supplement, section 125A.79, subdivision 2, is amended to read: Subd. 2. [EXCESS COST AID, FISCAL YEARS 2000 AND 2001.] For fiscal years 2000 and 2001, a district's special education excess cost aid equals the greatest of: (a) 75 percent of the difference between (1) the district's unreimbursed special education cost and (2)4.44.36 percent of the district's general revenue; (b) 70 percent of the difference between (1) the increase in the district's unreimbursed special education cost between the base year as defined in section 125A.76, subdivision 1, and the current year and (2) 1.6 percent of the district's general revenue; or (c) zero. Sec. 14. Minnesota Statutes 1999 Supplement, section 125A.79, subdivision 5, is amended to read: Subd. 5. [INITIAL EXCESS COST AID.] For fiscal years 2002 and later, a district's initial excess cost aid equals the greatest of: (1) 75 percent of the difference between (i) the district's unreimbursed special education cost and (ii)4.44.36 percent of the district's general revenue; (2) 70 percent of the difference between (i) the increase in the district's unreimbursed special education cost between the base year as defined in section 125A.76, subdivision 1, and the current year and (ii) 1.6 percent of the district's general revenue; or (3) zero. Sec. 15. Minnesota Statutes 1999 Supplement, section 127A.42, subdivision 3, is amended to read: Subd. 3. [ASSURANCE OF COMPLIANCE.] (a) After consultation with the commissioner of human rights, the commissioner of children, families, and learning shall adopt rules in conformance with chapter 14. The rules must direct districts to file with the commissioner of children, families, and learning assurances of compliance with state and federal laws prohibiting discriminationand specify the information required to besubmitted in support of the assurances.The commissioner shallprovide copies of the assurances and the supportive informationto the commissioner of human rightsThe assurances must be provided in a form and manner prescribed by the commissioner. (b) If, after reviewing the assurances and the supportiveinformationit appears that one or more violations of the Minnesota Human Rights Act are occurring inthea district, the commissioner of human rights shall notify the commissioner of the violations, and the commissioner of children, families, and learning may then proceed pursuant to subdivision 4. Sec. 16. Laws 1999, chapter 216, article 4, section 12, is amended to read: Sec. 12. [SELECTION OF VENDOR TO OPERATE EDUCATIONAL PROGRAM AT MCF-RED WING.] The assessment for excellence task force, appointed by the commissioner of corrections, shall assist the commissioner of administration in developing a request for proposals from vendors to operate the educational program at the Minnesota correctional facility - Red Wing. The commissioner of administration shall issue the request for proposals by November 1, 1999, and shall select a vendor who shall begin operating the program by January 1, 2000. The commissioner shall issue a new request for proposals by November 1, 2005, and shall issue a new request for proposals every other year thereafter. The department of corrections may respond to the request for proposals. Sec. 17. Laws 1999, chapter 241, article 2, section 60, subdivision 7, is amended to read: Subd. 7. [TRIBAL CONTRACT SCHOOLS.] For tribal contract school aid according to Minnesota Statutes, section 124D.83:$2,706,000$1,671,000 ..... 2000$2,790,000$1,882,000 ..... 2001 The 2000 appropriation includes $283,000 for 1999 and$2,423,000$1,388,000 for 2000. The 2001 appropriation includes$269,000$154,000 for 2000 and$2,521,000$1,728,000 for 2001. Sec. 18. Laws 1999, chapter 241, article 2, section 60, subdivision 9, is amended to read: Subd. 9. [MAGNET SCHOOL GRANTS.] For magnet school and program grants under Laws 1994, chapter 647, article 8, section 38: $1,750,000 ..... 2000 $1,750,000 ..... 2001 These amounts may be used for magnet school programs according to Minnesota Statutes, section 124D.88. The budget base for this program for fiscal year 2003 and each year thereafter is $1,050,000. Sec. 19. Laws 1999, chapter 241, article 2, section 60, subdivision 12, is amended to read: Subd. 12. [AID FOR CHILDREN WITH A DISABILITY.] For aid according to Minnesota Statutes, section 125A.75, subdivision 3, for children with a disability placed in residential facilities within the district boundaries for whom no district of residence can be determined:$ 443,000$ 433,000 ..... 2000$1,064,000$4,263,000 ..... 2001 If the appropriation for either year is insufficient, the appropriation for the other year is available. Any balance in the first year does not cancel but is available in the second year. Sec. 20. Laws 1999, chapter 241, article 2, section 60, subdivision 13, is amended to read: Subd. 13. [TRAVEL FOR HOME-BASED SERVICES.] For aid for teacher travel for home-based services according to Minnesota Statutes, section 125A.75, subdivision 1:$133,000$125,000 ..... 2000$139,000$130,000 ..... 2001 The 2000 appropriation includes $11,000 for 1999 and$122,000$114,000 for 2000. The 2001 appropriation includes $13,000 for 2000 and$126,000$117,000 for 2001. Sec. 21. Laws 1999, chapter 241, article 2, section 60, subdivision 14, is amended to read: Subd. 14. [SPECIAL EDUCATION EXCESS COST AID.] For excess cost aid:$60,498,000$66,032,000 ..... 2000$79,405,000$89,072,000 ..... 2001 The 2000 appropriation includes $4,693,000 for 1999 and$55,805,000$61,339,000 for 2000. The 2001 appropriation includes$6,200,000$6,815,000 for 2000 and$73,205,000$82,257,000 for 2001. Sec. 22. Laws 1999, chapter 241, article 2, section 60, subdivision 17, is amended to read: Subd. 17. [INTEGRATION AID.] For integration aid:$37,182,000$37,610,000 ..... 2000$43,787,000$55,828,000 ..... 2001 The 2000 appropriation includes $2,902,000 for 1999 and$34,280,000$34,708,000 for 2000. The 2001 appropriation includes$3,809,000$3,856,000 for 2000 and$39,978,000$51,972,000 for 2001. Sec. 23. Laws 1999, chapter 241, article 2, section 60, subdivision 19, is amended to read: Subd. 19. [INTERDISTRICT DESEGREGATION OR INTEGRATION TRANSPORTATION AID.] (a) For interdistrict desegregation or integration transportation aid under Minnesota Statutes, section 124D.87: $970,000 ..... 2000 $970,000 ..... 2001 Any balance in the first year does not cancel but is available in the second year. (b) For fiscal year 2003 and later, the budget base for this program is the forecasted cost of fully reimbursing districts according to Minnesota Statutes, section 124D.87. Sec. 24. [SPECIAL EDUCATION CROSS-SUBSIDY REVENUE.] For fiscal year 2000, a school district shall receive an amount of revenue equal to $8.15 times the district's adjusted marginal cost pupil units. For fiscal year 2001, a school district shall receive an amount of revenue equal to $19 times the district's adjusted marginal cost pupil units. Special education cross-subsidy revenue must be used to pay for a district's unfunded special education costs that are currently cross-subsidized by a district's general education revenue. Sec. 25. [APPROPRIATIONS.] Subdivision 1. [DEPARTMENT OF CHILDREN, FAMILIES, AND LEARNING.] The sums indicated in this section are appropriated from the general fund to the department of children, families, and learning for the fiscal years designated. Subd. 2. [LITTLE FALLS; REVENUE REIMBURSEMENT.] For independent school district No. 482, Little Falls, for partial reimbursement of revenue returned to the state as a result of a finding that the district had over-counted kindergarten pupils in earlier years: $300,000 ..... 2000 Revenue appropriated to the district under this subdivision must be used for all-day kindergarten services. This is a one-time appropriation. Subd. 3. [NORTHLAND LEARNING CENTER.] For a grant to the Northland joint powers board for start-up costs associated with the delay of special education funding for the Northland learning center: $200,000 ..... 2001 This is a one-time appropriation. Subd. 4. [MAGNET SCHOOL START-UP AID.] For magnet school start-up aid under Minnesota Statutes, section 124D.88: $225,000 ..... 2001 Subd. 5. [SPECIAL EDUCATION CROSS-SUBSIDY REVENUE.] For special education cross-subsidy revenue: $ 7,898,000 ..... 2000 $18,396,000 ..... 2001 Subd. 6. [GRANT TO INDEPENDENT SCHOOL DISTRICT NO. 707, NETT LAKE.] (a) For a grant to independent school district No. 707, Nett Lake, to pay obligations of the school district for unemployment compensation: $ 30,000 ..... 2001 (b) This appropriation must be paid to the appropriate state agency for the purposes of paragraph (a) in the name of the school district. This is a one-time appropriation. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 26. [REPEALER.] Minnesota Rules, part 3535.9920, is repealed. EFFECTIVE DATE: This section is effective the day following final enactment. ARTICLE 4 KINDERGARTEN THROUGH GRADE 12 EDUCATION EMPLOYMENT AND TRANSITIONS Section 1. Minnesota Statutes 1998, section 124D.44, is amended to read: 124D.44 [MATCH REQUIREMENTS.] Youth works grant funds must be used for the living allowance, cost of employer taxes under sections 3111 and 3301 of the Internal Revenue Code of 1986, workers' compensation coverage,andhealth benefits for each program participant, and administrative expenses, which must not exceed five percent of total program costs. Youthworks grant funds may also be used to supplement applicant resources to fund postservice benefits for program participants. Applicant resources, from sources and in a form determined by the commissionand, beginning January 1,1997, the council, must be used to provide for all other program costs, including the portion of the applicant's obligation for postservice benefits that is not covered by state or federal grant funds and such costs as supplies, materials, transportation, and salaries and benefits of those staff directly involved in the operation, internal monitoring, and evaluation of the program.Administrative expenses must notexceed five percent of total program costs.EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 2. Minnesota Statutes 1999 Supplement, section 124D.453, subdivision 3, is amended to read: Subd. 3. [CAREER AND TECHNICAL AID.] A district's career and technical education aid for fiscalyearyears 2000 and 2001 equals the lesser of: (a) $73 times the district's average daily membership in grades 10 to 12; or (b) 25 percent of approved expenditures for the following: (1) salaries paid to essential, licensed personnel providing direct instructional services to students in that fiscal year for services rendered in the district's approved career and technical education programs; (2) contracted services provided by a public or private agency other than a Minnesota school district or cooperative center under subdivision 7; (3) necessary travel between instructional sites by licensed career and technical education personnel; (4) necessary travel by licensed career and technical education personnel for vocational student organization activities held within the state for instructional purposes; (5) curriculum development activities that are part of a five-year plan for improvement based on program assessment; (6) necessary travel by licensed career and technical education personnel for noncollegiate credit bearing professional development; and (7) specialized vocational instructional supplies. (c) Up to ten percent of a district's career and technical aid may be spent on equipment purchases. Districts using career and technical aid for equipment purchases must report to the department on the improved learning opportunities for students that result from the investment in equipment. Sec. 3. Minnesota Statutes 1998, section 124D.454, subdivision 4, is amended to read: Subd. 4. [ADJUSTEDSECONDARYVOCATIONAL-DISABLEDTRANSITION-DISABLED BASE REVENUE.] For fiscal year 1996 and later, a district's adjustedsecondaryvocational-disabledtransition-disabled base revenue equals the district'ssecondary vocational-disabledtransition-disabled base revenue times the ratio of the district's average daily membership for the current school year to the district's average daily membership for the base year. Sec. 4. Minnesota Statutes 1998, section 124D.454, subdivision 6, is amended to read: Subd. 6. [SCHOOL DISTRICTSECONDARYVOCATIONAL-DISABLEDTRANSITION-DISABLED REVENUE.] (a) A school district'ssecondary vocational-disabledtransition-disabled revenue for fiscal year 1996 and later equals the state totalsecondary vocational-disabledtransition-disabled revenue, minus the amount determined under paragraph (b), times the ratio of the district's adjustedsecondaryvocational-disabledtransition-disabled base revenue to the state total adjustedsecondaryvocational-disabledtransition-disabled base revenue. (b) Notwithstanding paragraph (a), if thesecondaryvocational-disabledtransition-disabled base revenue for a district equals zero and no district residents were enrolled insecondary vocational-disabledtransition-disabled programs during the base year, thesecondaryvocational-disabledtransition-disabled revenue equals the amount computed according to subdivision 3 using current year data. Sec. 5. Minnesota Statutes 1998, section 124D.454, subdivision 7, is amended to read: Subd. 7. [SCHOOL DISTRICTSECONDARYVOCATIONAL-DISABLEDTRANSITION-DISABLED AID.] A school district'ssecondary vocational-disabledtransition-disabled aid for fiscal year 1996 and later equals the district'ssecondaryvocational-disabledtransition-disabled revenue times the aid percentage factor for that year. Sec. 6. Laws 1997, chapter 157, section 71, as amended by Laws 1998, chapter 398, article 3, section 11, is amended to read: Sec. 71. [SCHOOLBANK PILOT PROJECTBANKS.] (a) A school bank sponsored by independent school district No. 31, Bemidji, independent school district No. 316, Greenway-Coleraine, independent school district No. 2170, Staples-Motley, or by independent school district No. 508, St. Peter, that meets all requirements of paragraph (b) is not subject to Minnesota Statutes, section 47.03, subdivision 1, or to any other statute or rule that regulates banks, other financial institutions, or currency exchanges. (b) To qualify under paragraph (a), the school bank must: (1) be operated as part of a high school educational program and under guidelines adopted by the school board; (2) be advised on a regular basis by one or morestate-charteredstate chartered orfederally-charteredfederally chartered financial institutions, but not owned or operated by any financial institution; (3) be located on school premises and have as customers only students enrolled in, or employees of, the school in which it is located; and (4) have a written commitment from the school board, guaranteeing reimbursement of any depositor's funds lost due to insolvency of the school bank. (c) Funds of a school bank that meets the requirements of this section are not school district or other public funds for purposes of any state law governing the use or investment of school district or other public funds. (d) The school district shall annually file with the commissioner of commerce a report, prepared by the students and teachers involved, summarizing the operation of the school bank.(e) This section expires June 30, 2000. The commissionerof commerce shall, no later than December 15, 1999, provide awritten report to the legislature regarding this pilot projectand any recommended legislation regarding school banks.EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 7. Laws 1999, chapter 241, article 3, section 3, subdivision 2, is amended to read: Subd. 2. [SECONDARY VOCATIONAL EDUCATION AID.] For secondary vocational education aid according to Minnesota Statutes, section 124D.453:$11,335,000$12,413,000 ..... 2000$1,130,000$12,417,000 ..... 2001 The 2000 appropriation includes $1,159,000 for 1999 and$10,176,000$11,254,000 for 2000. The 2001 appropriation includes$1,130,000$1,250,000 for 2000 and $11,167,000 for 2001. Any balance in the first year does not cancel but is available in the second year. Sec. 8. Laws 1999, chapter 241, article 3, section 3, subdivision 4, is amended to read: Subd. 4. [EDUCATION AND EMPLOYMENT TRANSITIONS PROGRAM GRANTS.] For education and employment transitions programming under Minnesota Statutes, section 124D.46: $3,225,000 ..... 2000$3,225,000$2,225,000 ..... 2001 $200,000 each year is for the development and implementation of the ISEEK Internet-based education and employment information system. $1,000,000eachin fiscal year 2000 is for an employer rebate program for qualifying employers who offer youth internships to educators. $500,000 each year is for youth entrepreneurship grants. $750,000 each year is for youth apprenticeship grants. $300,000 each year is for grants to programs in cities of the first class to expand the number of at-risk students participating in school-to-work projects. $350,000 each year is for agricultural school-to-work grants. $125,000 each year is to conduct a high school follow-up survey to include first, third, and sixth year graduates of Minnesota schools. Any balance in the first year does not cancel but is available in the second year. Sec. 9. Laws 1999, chapter 241, article 3, section 5, is amended to read: Sec. 5. [REPEALER.] Minnesota Statutes 1998, section 124D.453, is repealed effective for revenue for fiscal year20012002. EFFECTIVE DATE: This section is effective the day following final enactment. ARTICLE 5 KINDERGARTEN THROUGH GRADE 12 EDUCATION FACILITIES AND TECHNOLOGY Section 1. Minnesota Statutes 1998, section 123A.485, subdivision 4, is amended to read: Subd. 4. [NEW DISTRICTS.] If a district consolidates with another district that has received aid under section 123A.39, subdivision 3, or 123A.485 for a combination or consolidation taking effect within six years of the effective date of the new consolidation, only the pupil units in the district or districts not previously reorganized must be counted for aid purposes under subdivision 2. If two or more districts consolidate and all districts received aid under subdivision 2 for a consolidation taking effect within six years of the effective date of the new consolidation, only one quarter of the pupil units in the newly created district must be used to determine aid under subdivision 2. Sec. 2. Minnesota Statutes 1998, section 123B.51, subdivision 6, is amended to read: Subd. 6. [PROCEEDS OF SALE OR EXCHANGE.] (a) Proceeds of the sale or exchange of school buildings or real property of the district must be used as provided in this subdivision. (b) In districts with outstanding bonds, the proceeds of the sale or exchange shall first be deposited in the debt retirement fund of the district in an amount sufficient to meet when due that percentage of the principal and interest payments for outstanding bonds which is ascribable to the payment of expenses necessary and incidental to the construction or purchase of the particular building or property which is sold. (c) After satisfying the requirements of paragraph (b), a district with outstanding bonds may deposit proceeds of the sale or exchange in itscapital expenditure fundgeneral fund reserved for operating capital account if the amount deposited is used for the following: (1) for expenditures for the cleanup of polychlorinated biphenyls, if the method for cleanup is approved by the department; (2) for capital expenditures for the betterment, as defined in section 475.51, subdivision 8, of district-owned school buildings; or (3) to replace the building or property sold. (d) In a district with outstanding bonds, the amount of the proceeds of the sale or exchange remaining after the application of paragraphs (b) and (c), which is sufficient to meet when due that percentage of the principal and interest payments for the district's outstanding bonds which is not governed by paragraph (b), shall be deposited in the debt retirement fund. (e) Any proceeds of the sale or exchange remaining in districts with outstanding bonds after the application of paragraphs (b), (c), and (d), and all proceeds of the sale or exchange in districts without outstanding bonds shall be deposited in thecapital expendituregeneral fund reserved for operating capital account of the district. (f) Notwithstanding paragraphs (c) and (d), a district with outstanding bonds may deposit in itscapital expendituregeneral fund reserved for operating capital account and use for any lawful operating capital expenditure without the reduction of any levy limitation the same percentage of the proceeds of the sale or exchange of a building or property as the percentage of the initial cost of purchasing or constructing the building or property which was paid using revenue from thecapitalexpendituregeneral fund reserved for operating capital account. Sec. 3. Minnesota Statutes 1998, section 123B.52, is amended by adding a subdivision to read: Subd. 6. [DISPOSING OF SURPLUS SCHOOL COMPUTERS.] Notwithstanding section 471.345, governing school district contracts made upon sealed bid or otherwise complying with the requirements for competitive bidding, other provisions of this section governing school district contracts, or other law to the contrary, a school district under this subdivision may dispose of a surplus school computer and related equipment if the district disposes of the surplus property by conveying the property and title to: (1) another school district; (2) the state department of corrections; (3) the board of trustees of the Minnesota state colleges and universities; or (4) the family of a student residing in the district whose total family income meets the federal definition of poverty. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 4. Minnesota Statutes 1999 Supplement, section 123B.54, is amended to read: 123B.54 [DEBT SERVICE APPROPRIATION.] (a)$33,165,000$33,141,000 in fiscal year 2000,$32,057,000$29,400,000 in fiscal year 2001,and$31,280,000$26,934,000 in fiscal year 2002, and $25,540,000 in fiscal year 2003 and each year thereafter is appropriated from the general fund to the commissioner of children, families, and learning for payment of debt service equalization aid under section 123B.53.The 2002 appropriation includes $3,201,000 for2001 and $29,079,000 for 2002.(b) The appropriations in paragraph (a) must be reduced by the amount of any money specifically appropriated for the same purpose in any year from any state fund. Sec. 5. Minnesota Statutes 1998, section 123B.57, subdivision 1, is amended to read: Subdivision 1. [HEALTH AND SAFETY PROGRAM.] To receive health and safety revenue for any fiscal year a district must submit to the commissioner an application for aid and levy by the date determined by the commissioner. The application may be for hazardous substance removal, fire and life safety code repairs, labor and industry regulated facility and equipment violations, and health, safety, and environmental management, including indoor air quality management. The application must include a health and safety program adopted by the school district board. The program must include the estimated cost, per building, of the program by fiscal year. Upon approval through the adoption of a resolution by each of an intermediate district's member school district boards and the approval of the department of children, families, and learning, a school district may include its proportionate share of the costs of health and safety projects for an intermediate district in its application. EFFECTIVE DATE: This section is effective for revenue for fiscal year 2002 and thereafter. Sec. 6. Minnesota Statutes 1998, section 123B.71, subdivision 10, is amended to read: Subd. 10. [INDOOR AIR QUALITY.] A school board seeking a review and comment under this section must submit information demonstrating to the commissioner's satisfaction that: (1) indoor air quality issues have been considered; and (2) the architects and engineers designing the facility will have professional liability insurance. Plans submitted under subdivisions 3 and 4 for projects to be placed in service after July 1, 2002, must demonstrate that: (a) the facility's heating, ventilation, and air conditioning systems meet or exceed the standards established by code; and (b) the facility's design will provide the ability for monitoring of outdoor airflow and total airflow of ventilation systems in new school facilities. Sec. 7. Minnesota Statutes 1998, section 123B.72, subdivision 3, is amended to read: Subd. 3. [CERTIFICATION.] Prior to occupying or reoccupying a school facility affected by this section, a school board or its designee shall submit a document prepared by a system inspector to the building official or to the commissioner, verifying that the facility's heating, ventilation, and air conditioning system has been installed and operates according to design specifications and code, according to section 123B.71, subdivision 10, clause (3). A systems inspector shall also verify that the facility's design will provide the ability for monitoring of outdoor airflow and total airflow of ventilation systems in new school facilities and that any heating, ventilation, or air conditioning system that is installed or modified for a project subject to this section must provide a filtration system with a current ASHRAE standard. EFFECTIVE DATE: This section is effective on July 1, 2002. Sec. 8. [125B.25] [TELECOMMUNICATIONS ACCESS REVENUE.] Subdivision 1. [COSTS TO BE SUBMITTED.] A district shall submit its outstanding ongoing or recurring telecommunications access costs associated with data lines and video links to the department of children, families, and learning. Costs of telecommunications hardware or equipment must not be included in the costs submitted by districts to the department. A district may include installation charges associated with new lines or upgraded lines, but may not include costs of hardware or equipment. Subd. 2. [GUARANTEED MINIMUM ACCESS.] (a) The ongoing or recurring telecommunications access costs submitted to the department by each district under this section are limited to the operation costs equal to the greater of: (1) one data line or video link that relies on a transport medium that operates at a minimum speed of 1.544 megabytes per second for each elementary school, middle school, or high school under section 120A.05, subdivisions 9, 11, and 13; or (2) one data line or video link that relies on a transport medium that operates at a minimum speed of 1.544 megabytes per second for each district. (b) A district may include costs associated with cooperative arrangements with other post-secondary institutions, school districts, and community and regional libraries in its geographic region. A district may continue to purchase its ongoing or recurring telecommunications access services through existing contracts. Subd. 3. [E-RATES.] To be eligible for revenue under this section, a district is required to file an e-rate application either separately or through their telecommunications grant cluster. Discounts received on telecommunications expenditures shall be used to offset the amount submitted to the department for per pupil revenue under this section. Subd. 4. [CALCULATION OF COSTS.] By December 15 of each year, the commissioner shall calculate the ongoing or recurring telecommunications access cost per adjusted marginal cost pupil unit submitted by each school district under subdivisions 1 and 2 for the year in which the data is submitted minus the reserved revenue under section 126C.10, subdivision 13, paragraph (d). Districts shall submit their anticipated ongoing or recurring telecommunications access costs, adjusted for any e-rate revenue received to the department based on contracts entered into by the district for that school year. Districts shall also submit their actual telecommunications access costs by August 15 of each year and adjusted for any e-rate revenue received to the department as prescribed by the commissioner. Subd. 5. [DISTRICT REVENUE.] A district shall receive an amount equal to the amount as calculated by the commissioner under subdivision 4, times the adjusted marginal cost pupil units for that year, times 65 percent. Subd. 6. [REVENUE FOR CHARTER SCHOOLS.] (a) Each charter school shall receive revenue equal to the greater of: (1) the per marginal cost pupil unit amount for the district in which the charter school is located as determined by the commissioner according to subdivision 4; or (2) $5; times the adjusted marginal cost pupil units for that year, times 65 percent. (b) A charter school's revenue under this subdivision must be used to pay for ongoing or recurring telecommunication access costs, including access to data lines, video lines, or Internet access. Subd. 7. [TELECOMMUNICATION ACCESS SERVICES FOR NONPUBLIC SCHOOLS.] (a) Districts shall provide each year upon formal request by or on behalf of a nonpublic school, not including home schools, located in that district or area, ongoing or recurring telecommunication access services to the nonpublic school either through existing district providers or through separate providers. (b) The amount of district revenue for telecommunication access services for each nonpublic school under this subdivision is equal to: (1) $5; plus (2) the per marginal cost pupil unit amount for the district as determined in subdivision 5; times the number of pupils who are enrolled at the nonpublic school as of October 1 of the current school year. (c) Each year, a district providing services under paragraph (a) may claim up to five percent of the revenue determined in paragraph (b) for costs of administering this subdivision. No district may expend an amount for these telecommunication access services which exceeds the amount allocated under this subdivision. The nonpublic school is responsible for the telecommunications access costs not covered by this section. (d) At the request of a nonpublic school, districts may allocate the amount determined in paragraph (b) directly to the nonpublic school to pay for or offset the nonpublic school's costs for telecommunication access services, however, the amount allocated directly to the nonpublic school may not exceed the actual amount of the school's ongoing or recurring telecommunication access costs. Subd. 8. [REIMBURSEMENT CRITERIA.] The commissioner, working with the commissioner of administration and the Minnesota education telecommunications council, shall develop reimbursement criteria that schools must address when submitting ongoing or recurring telecommunications costs as determined in subdivisions 1 and 2. The criteria must assist schools to procure telecommunications access services in the most efficient and cost effective manner possible. Subd. 9. [EXPIRATION.] This section expires on July 1, 2002. Subd. 10. [SEVERABILITY.] If any portion of this section is found by a court to be unconstitutional, the remaining portions of the section shall remain in effect. Sec. 9. Minnesota Statutes 1999 Supplement, section 126C.10, subdivision 13, is amended to read: Subd. 13. [TOTAL OPERATING CAPITAL REVENUE.] (a) For fiscal year 2000 and thereafter, total operating capital revenue for a district equals the amount determined under paragraph (b) or (c), plus$68$73 times the adjusted marginal cost pupil units for the school year. The revenue must be placed in a reserved account in the general fund and may only be used according to paragraph (d) or subdivision 14. (b) For fiscal years 2000 and later, capital revenue for a district equals $100 times the district's maintenance cost index times its adjusted marginal cost pupil units for the school year. (c) For fiscal years 2000 and later, the revenue for a district that operates a program under section 124D.128, is increased by an amount equal to $30 times the number of marginal cost pupil units served at the site where the program is implemented. (d) For fiscal years 2001 and 2002, the district must reserve an amount equal to $5 per adjusted marginal cost pupil unit for telecommunication access costs. Reserve revenue under this paragraph must first be used to pay for ongoing or recurring telecommunication access costs, including access to data lines, video lines, or Internet access. Any revenue remaining after covering all ongoing or recurring access costs may be used for computer hardware or equipment. Sec. 10. Minnesota Statutes 1998, section 126C.40, subdivision 1, is amended to read: Subdivision 1. [TO LEASE BUILDING OR LAND.] (a) When a district finds it economically advantageous to rent or lease a building or land for any instructional purposes or for school storage or furniture repair, and it determines that the operating capital revenue authorized under section 126C.10, subdivision 13, is insufficient for this purpose, it may apply to the commissioner for permission to make an additional capital expenditure levy for this purpose. An application for permission to levy under this subdivision must contain financial justification for the proposed levy, the terms and conditions of the proposed lease, and a description of the space to be leased and its proposed use. (b) The criteria for approval of applications to levy under this subdivision must include: the reasonableness of the price, the appropriateness of the space to the proposed activity, the feasibility of transporting pupils to the leased building or land, conformity of the lease to the laws and rules of the state of Minnesota, and the appropriateness of the proposed lease to the space needs and the financial condition of the district. The commissioner must not authorize a levy under this subdivision in an amount greater than the cost to the district of renting or leasing a building or land for approved purposes. The proceeds of this levy must not be used for custodial or other maintenance services. A district may not levy under this subdivision for the purpose of leasing or renting a district-owned building or site to itself. (c) For agreements finalized after July 1, 1997, a district may not levy under this subdivision for the purpose of leasing: (1) a newly constructed building used primarily for regular kindergarten, elementary, or secondary instruction; or (2) a newly constructed building addition or additions used primarily for regular kindergarten, elementary, or secondary instruction that contains more than 20 percent of the square footage of the previously existing building. (d) Notwithstanding paragraph (b), a district may levy under this subdivision for the purpose of leasing or renting a district-owned building or site to itself only if the amount is needed by the district to make payments required by a lease purchase agreement, installment purchase agreement, or other deferred payments agreement authorized by law, and the levy meets the requirements of paragraph (c). A levy authorized for a district by the commissioner under this paragraph may be in the amount needed by the district to make payments required by a lease purchase agreement, installment purchase agreement, or other deferred payments agreement authorized by law, provided that any agreement include a provision giving the school districts the right to terminate the agreement annually without penalty. (e) The total levy under this subdivision for a district for any year must not exceed $100 times the resident pupil units for the fiscal year to which the levy is attributable.(e)(f) For agreements for which a review and comment have been submitted to the department of children, families, and learning after April 1, 1998, the term "instructional purpose" as used in this subdivision excludes expenditures on stadiums. (g) The commissioner of children, families, and learning may authorize a school district to exceed the limit in paragraph (e) if the school district petitions the commissioner for approval. The commissioner shall grant approval to a school district to exceed the limit in paragraph (e) for not more than five years if the district meets the following criteria: (1) the school district has been experiencing pupil enrollment growth in the preceding five years; (2) the purpose of the increased levy is in the long-term public interest; (3) the purpose of the increased levy promotes colocation of government services; and (4) the purpose of the increased levy is in the long-term interest of the district by avoiding over construction of school facilities. Sec. 11. Minnesota Statutes 1999 Supplement, section 126C.40, subdivision 6, is amended to read: Subd. 6. [LEASE PURCHASE; INSTALLMENT BUYS.] (a) Upon application to, and approval by, the commissioner in accordance with the procedures and limits in subdivision 1, paragraphs (a) and (b), a district, as defined in this subdivision, may: (1) purchase real or personal property under an installment contract or may lease real or personal property with an option to purchase under a lease purchase agreement, by which installment contract or lease purchase agreement title is kept by the seller or vendor or assigned to a third party as security for the purchase price, including interest, if any; and (2) annually levy the amounts necessary to pay the district's obligations under the installment contract or lease purchase agreement. (b) The obligation created by the installment contract or the lease purchase agreement must not be included in the calculation of net debt for purposes of section 475.53, and does not constitute debt under other law. An election is not required in connection with the execution of the installment contract or the lease purchase agreement. (c) The proceeds of the levy authorized by this subdivision must not be used to acquire a facility to be primarily used for athletic or school administration purposes. (d) For the purposes of this subdivision, "district" means: (1) a school district required to have a comprehensive plan for the elimination of segregation whose plan has been determined by the commissioner to be in compliance with department of children, families, and learning rules relating to equality of educational opportunity and school desegregation and, for a district eligible for revenue under section 124D.86, subdivision 3, clause (4), where the acquisition of property under this subdivision is determined by the commissioner to contribute to the implementation of the desegregation plan; or (2) a school district that participates in a joint program for interdistrict desegregation with a district defined in clause (1) if the facility acquired under this subdivision is to be primarily used for the joint program and the commissioner determines that the joint programs are being undertaken to implement the districts' desegregation plan. (e) Notwithstanding subdivision 1, the prohibition against a levy by a district to lease or rent a district-owned building to itself does not apply to levies otherwise authorized by this subdivision. (f) For the purposes of this subdivision, any references in subdivision 1 to building or land shall include personal property. EFFECTIVE DATE: This section is effective for taxes payable in 2001 and later. Sec. 12. Minnesota Statutes 1998, section 126C.69, subdivision 15, is amended to read: Subd. 15. [BOND SALE LIMITATIONS.] A district having an outstanding state loan must not issue and sell any bonds on the public market, except to refund state loans, unless it agrees to make the maximum effort debt service levy in each later year at the higher rate provided in section 126C.63, subdivision 8, and unless it schedules the maturities of the bonds according to section 475.54, subdivision 2. A district that refunds bonds at a lower interest rate may continue to make the maximum effort debt service levy in each later year at the current rate provided in section 126C.63, subdivision 8, if the district can demonstrate to the commissioner's satisfaction that the district's repayments of the state loan will not be reduced below the previous year's level. The district must report each sale to the commissioner. After a district's capital loan has been outstanding for2030 years, the district must not issue bonds on the public market except to refund the loan. Sec. 13. Laws 1999, chapter 241, article 4, section 27, subdivision 2, is amended to read: Subd. 2. [HEALTH AND SAFETY AID.] For health and safety aid according to Minnesota Statutes, section 123B.57, subdivision 5:$14,528,000$14,015,000 ..... 2000$14,957,000$14,450,000 ..... 2001 The 2000 appropriation includes $1,415,000 for 1999 and$13,113,000$12,600,000 for 2000. The 2001 appropriation includes$1,456,000$1,400,000 for 2000 and$13,501,000$13,050,000 for 2001. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 14. Laws 1999, chapter 241, article 4, section 27, subdivision 3, is amended to read: Subd. 3. [DEBT SERVICE AID.] For debt service aid according to Minnesota Statutes, section 123B.53, subdivision 6:$33,165,000$33,141,000 ..... 2000$32,084,000$29,400,000 ..... 2001 The 2000 appropriation includes $3,842,000 for 1999 and$29,323,000$29,299,000 for 2000. The 2001 appropriation includes$3,256,000$3,255,000 for 2000 and$28,828,000$26,145,000 for 2001. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 15. Laws 1999, chapter 241, article 4, section 27, subdivision 4, is amended to read: Subd. 4. [INTERACTIVE TELEVISION (ITV) AID.] For interactive television (ITV) aid under Minnesota Statutes, section 126C.40, subdivision 4:$4,197,000$4,194,000 ..... 2000$2,851,000$2,761,000 ..... 2001 The 2000 appropriation includes $405,000 for 1999 and$3,792,000$3,789,000 for 2000. The 2001 appropriation includes $421,000 for 2000 and$2,430,000$2,340,000 for 2001. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 16. Laws 1999, chapter 241, article 4, section 27, subdivision 5, is amended to read: Subd. 5. [ALTERNATIVE FACILITIES BONDING AID.] For alternative facilities bonding aid, according to Minnesota Statutes, section 123B.59:$19,058,000$18,920,000 ..... 2000$19,286,000$19,134,000 ..... 2001 The 2000 appropriation includes $1,700,000 for20001999 and$17,358,000$17,220,000 for20012000. The 2001 appropriation includes$1,928,000$1,913,000 for 2000 and$17,358,000$17,221,000 for 2001. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 17. Laws 1999, chapter 241, article 4, section 27, subdivision 10, is amended to read: Subd. 10. [DECLINING PUPIL AID; ST. PETER.] For a grant to independent school district No. 508, St. Peter, to ameliorate general fund operating losses associated with the March, 1998 tornado:$ 105,000$ 75,000 ..... 2000$ 278,000$115,000 ..... 2001 EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 18. Laws 1999, chapter 241, article 4, section 27, subdivision 11, is amended to read: Subd. 11. [FLOODS; DECLINING PUPIL AID.] For declining pupil aid under section 23:$2,132,000$2,087,000 ..... 2000$1,758,000$1,639,000 ..... 2001 EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 19. Laws 1999, chapter 241, article 4, section 29, is amended to read: Sec. 29. [REPEALER.] (a) Minnesota Statutes 1998,sections 123A.44; 123A.441;123A.442; 123A.443; 123A.444; 123A.445; 123A.446; 123B.57,subdivisions 4, 5, and 7; 123B.59, subdivision 7; 123B.63,subdivisions 1 and 2;section 123B.66; 123B.67; 123B.68; and123B.69, are, is repealed effective the day following final enactment. (b)Minnesota Statutes 1998, section 123B.58, is repealedeffective July 1, 2004.(c)Minnesota Statutes 1998, section 123B.64, subdivision 4, is repealed effective for revenue for fiscal year 2000.(d)(c) Minnesota Statutes 1998, section 123B.64, subdivisions 1, 2, and 3, are repealed effective for revenue for fiscal year 2001.(e)(d) Minnesota Rules, parts 3500.3900; 3500.4000; 3500.4100; 3500.4200; and 3500.4300, are repealed. EFFECTIVE DATE: Paragraph (a) is effective retroactive to May 26, 1999. Sec. 20. [DECLINING PUPIL UNITS; ST. PETER.] For purposes of Laws 1999, chapter 241, article 4, section 22, the St. Peter school district's marginal cost pupil units for the 1996-1997 school year must be calculated using the pupil weights in effect for fiscal year 2000. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 21. [ONE-TIME DEFERRED MAINTENANCE AID.] (a) For fiscal year 2001 only, a district's one-time deferred maintenance aid is equal to: (1) $10 times the adjusted marginal cost pupil units for the school year; plus (2) $21.90 times the adjusted marginal cost pupil units for the school year for a district that does not qualify for alternative facilities bonding under Minnesota Statutes, section 123B.59, or under Laws 1999, chapter 241, article 4, section 25. (b) Aid received under this section must be used for deferred maintenance, to make accessibility improvements, or to make fire, safety, or health repairs. Sec. 22. [PROJECT QUALIFICATION; TRITON.] Subdivision 1. [ELIGIBILITY.] Notwithstanding Minnesota Statutes, section 123B.57, independent school district No. 2125, Triton, may include all unreimbursed costs associated with the testing, evaluation, removal, and replacement of building fixtures and equipment necessitated by the discovery of mold in a school building in its health and safety plan not to exceed $400,000. Subd. 2. [COST RECOVERY.] Independent school district No. 2125, Triton, must pursue all reasonable options to recover expenses resulting from the mold from its insurance company, the subcontractors, and any other parties responsible for the damage caused by the mold. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 23. [COMMISSIONER RECOMMENDATION.] By February 1, 2002, the commissioner of children, families, and learning, in cooperation with the commissioner of administration and the Minnesota education telecommunication council, shall recommend to the legislature a permanent method for funding telecommunications access as part of the general education revenue formula under Minnesota Statutes, section 126C.10. The commissioner shall consider the following in making the recommendation: (1) the range of costs for providing a minimum level of telecommunications access for all students; (2) the flexibility that is necessary to accommodate emerging technological advances in the telecommunications field; and (3) other related efforts within the state, including the state's higher education and public library systems. Sec. 24. [CHISHOLM SCHOOL DISTRICT BONDS.] Subdivision 1. [AUTHORIZATION.] Independent school district No. 695, Chisholm, may issue bonds in an aggregate principal amount not exceeding $4,250,000. Subd. 2. [USES; PROCESS.] The bonds authorized under subdivision 1 may be issued in addition to any bonds already issued or authorized. The proceeds of the bonds shall be used to provide funds to design, construct, equip, furnish, remodel, rehabilitate, and acquire land for school facilities and buildings and to pay any architect, engineer and legal fees incidental to those purposes or to the sale of bonds. Except as permitted by this section, the bonds shall be authorized, issued, sold, executed, and delivered in the manner provided by Minnesota Statutes, chapter 475. A referendum on the question of issuing the bonds authorized under subdivision 1 is required. A resolution of the board levying taxes for the payment of the bonds and interest on them shall be deemed to be in compliance with the provisions of Minnesota Statutes, chapter 475, with respect to the levying of taxes for their payment. Subd. 3. [APPROPRIATION.] There is annually appropriated from the distribution of taconite production tax revenues to the taconite environmental protection fund pursuant to Minnesota Statutes, section 298.28, subdivision 11, and to the northeast Minnesota economic protection trust pursuant to Minnesota Statutes, section 298.28, subdivisions 9 and 11, in equal shares, an amount sufficient to pay when due 80 percent of the principal and interest on the bonds issued under subdivision 1. If the annual distribution to the northeast Minnesota economic protection trust is insufficient to pay its share after fulfilling any obligations of the trust under Minnesota Statutes, section 298.225 or 298.293, the deficiency shall be appropriated from the taconite environmental protection fund. Subd. 4. [DISTRICT OBLIGATIONS.] Bonds issued under authority of this section shall be the general obligations of the school district, for which its full faith and credit and unlimited taxing powers shall be pledged. If there are any deficiencies in the amount received under subdivision 3, they shall be satisfied by general levies, not subject to limit, on all taxable properties in the district in accordance with Minnesota Statutes, section 475.74. If any deficiency levies are necessary, the school board may effect a temporary loan or loans on certificates of indebtedness issued in anticipation of them to meet payments of principal or interest on the bonds due or about to become due. Subd. 5. [DISTRICT LEVY.] The school board of the school district authorized to issue bonds under subdivision 1 shall by resolution levy on all property in the school district subject to the general ad valorem school tax levies, and not subject to taxation under Minnesota Statutes, sections 298.23 to 298.28, a direct annual ad valorem tax for each year of the term of the bonds in amounts that, if collected in full, will produce the amounts needed to meet when due 20 percent of the principal and interest payments on the bonds. A copy of the resolution shall be filed, and the necessary taxes shall be extended, assessed, collected, and remitted in accordance with Minnesota Statutes, section 475.61. Subd. 6. [LEVY LIMITATIONS.] Taxes levied pursuant to this section shall be disregarded in the calculation of any other tax levies or limits on tax levies provided by other law. Subd. 7. [BONDING LIMITATIONS.] Bonds may be issued under authority of this section notwithstanding any limitations upon the indebtedness of a district, and their amounts shall not be included in computing the indebtedness of a district for any purpose, including the issuance of subsequent bonds and the incurring of subsequent indebtedness. Subd. 8. [TERMINATION OF APPROPRIATION.] The appropriation authorized in subdivision 3 terminates upon payment or maturity of the last of the bonds issued under this section. Subd. 9. [BOND ISSUE REQUIREMENT.] No bonds may be issued under this section after April 30, 2002, unless they are issued under a contract in effect on or before April 30, 2002. Subd. 10. [LOCAL APPROVAL.] This section is effective for independent school district No. 695 the day after its governing body complies with Minnesota Statutes, section 645.021, subdivision 3. Sec. 25. [GREENWAY-COLERAINE SCHOOL DISTRICT BONDS.] Subdivision 1. [AUTHORIZATION.] Independent school district No. 316, Greenway-Coleraine, may issue bonds in an aggregate principal amount not exceeding $2,500,000. Subd. 2. [USES; PROCESS.] The bonds authorized under subdivision 1 may be issued in addition to any bonds already issued or authorized. The proceeds of the bonds shall be used to provide funds to design, construct, equip, furnish, remodel, rehabilitate, and acquire land for school facilities and buildings and to pay any architect, engineer and legal fees incidental to those purposes or to the sale of bonds. Except as permitted by this section, the bonds shall be authorized, issued, sold, executed, and delivered in the manner provided by Minnesota Statutes, chapter 475. A referendum on the question of issuing the bonds authorized under subdivision 1 is required. A resolution of the board levying taxes for the payment of the bonds and interest on them shall be deemed to be in compliance with the provisions of Minnesota Statutes, chapter 475, with respect to the levying of taxes for their payment. Subd. 3. [APPROPRIATION.] There is annually appropriated from the distribution of taconite production tax revenues to the taconite environmental protection fund pursuant to Minnesota Statutes, section 298.28, subdivision 11, and to the northeast Minnesota economic protection trust pursuant to Minnesota Statutes, section 298.28, subdivisions 9 and 11, in equal shares, an amount sufficient to pay when due 80 percent of the principal and interest on the bonds issued under subdivision 1. If the annual distribution to the northeast Minnesota economic protection trust is insufficient to pay its share after fulfilling any obligations of the trust under Minnesota Statutes, section 298.225 or 298.293, the deficiency shall be appropriated from the taconite environmental protection fund. Subd. 4. [DISTRICT OBLIGATIONS.] Bonds issued under authority of this section shall be the general obligations of the school district, for which its full faith and credit and unlimited taxing powers shall be pledged. If there are any deficiencies in the amount received under subdivision 3, they shall be satisfied by general levies, not subject to limit, on all taxable properties in the district in accordance with Minnesota Statutes, section 475.74. If any deficiency levies are necessary, the school board may effect a temporary loan or loans on certificates of indebtedness issued in anticipation of them to meet payments of principal or interest on the bonds due or about to become due. Subd. 5. [DISTRICT LEVY.] The school board of the school district authorized to issue bonds under subdivision 1 shall by resolution levy on all property in the school district subject to the general ad valorem school tax levies, and not subject to taxation under Minnesota Statutes, sections 298.23 to 298.28, a direct annual ad valorem tax for each year of the term of the bonds in amounts that, if collected in full, will produce the amounts needed to meet when due 20 percent of the principal and interest payments on the bonds. A copy of the resolution shall be filed, and the necessary taxes shall be extended, assessed, collected, and remitted in accordance with Minnesota Statutes, section 475.61. Subd. 6. [LEVY LIMITATIONS.] Taxes levied pursuant to this section shall be disregarded in the calculation of any other tax levies or limits on tax levies provided by other law. Subd. 7. [BONDING LIMITATIONS.] Bonds may be issued under authority of this section notwithstanding any limitations upon the indebtedness of a district, and their amounts shall not be included in computing the indebtedness of a district for any purpose, including the issuance of subsequent bonds and the incurring of subsequent indebtedness. Subd. 8. [TERMINATION OF APPROPRIATION.] The appropriation authorized in subdivision 3 terminates upon payment or maturity of the last of the bonds issued under this section. Subd. 9. [BOND ISSUE REQUIREMENT.] No bonds may be issued under this section after April 30, 2002, unless they are issued under a contract in effect on or before April 30, 2002. Subd. 10. [LOCAL APPROVAL.] This section is effective for independent school district No. 316 the day after its governing body complies with Minnesota Statutes, section 645.021, subdivision 3. Sec. 26. [LAKE SUPERIOR SCHOOL DISTRICT BONDS.] Subdivision 1. [AUTHORIZATION.] Independent school district No. 381, Lake Superior, may issue bonds in an aggregate principal amount not exceeding $6,000,000. Subd. 2. [USES; PROCESS.] The bonds authorized under subdivision 1 may be issued in addition to any bonds already issued or authorized. The proceeds of the bonds shall be used to provide funds to design, construct, equip, furnish, remodel, rehabilitate, and acquire land for school facilities and buildings and to pay any architect, engineer and legal fees incidental to those purposes or to the sale of bonds. Except as permitted by this section, the bonds shall be authorized, issued, sold, executed, and delivered in the manner provided by Minnesota Statutes, chapter 475. A referendum on the question of issuing the bonds authorized under subdivision 1 is required. A resolution of the board levying taxes for the payment of the bonds and interest on them shall be deemed to be in compliance with the provisions of Minnesota Statutes, chapter 475, with respect to the levying of taxes for their payment. Subd. 3. [APPROPRIATION.] There is annually appropriated from the distribution of taconite production tax revenues to the taconite environmental protection fund pursuant to Minnesota Statutes, section 298.28, subdivision 11, and to the northeast Minnesota economic protection trust pursuant to Minnesota Statutes, section 298.28, subdivisions 9 and 11, in equal shares, an amount sufficient to pay when due 80 percent of the principal and interest on the bonds issued under subdivision 1. If the annual distribution to the northeast Minnesota economic protection trust is insufficient to pay its share after fulfilling any obligations of the trust under Minnesota Statutes, section 298.225 or 298.293, the deficiency shall be appropriated from the taconite environmental protection fund. Subd. 4. [DISTRICT OBLIGATIONS.] Bonds issued under authority of this section shall be the general obligations of the school district, for which its full faith and credit and unlimited taxing powers shall be pledged. If there are any deficiencies in the amount received under subdivision 3, they shall be satisfied by general levies, not subject to limit, on all taxable properties in the district in accordance with Minnesota Statutes, section 475.74. If any deficiency levies are necessary, the school board may effect a temporary loan or loans on certificates of indebtedness issued in anticipation of them to meet payments of principal or interest on the bonds due or about to become due. Subd. 5. [DISTRICT LEVY.] The school board of the school district authorized to issue bonds under subdivision 1 shall by resolution levy on all property in the school district subject to the general ad valorem school tax levies, and not subject to taxation under Minnesota Statutes, sections 298.23 to 298.28, a direct annual ad valorem tax for each year of the term of the bonds in amounts that, if collected in full, will produce the amounts needed to meet when due 20 percent of the principal and interest payments on the bonds. A copy of the resolution shall be filed, and the necessary taxes shall be extended, assessed, collected, and remitted in accordance with Minnesota Statutes, section 475.61. Subd. 6. [LEVY LIMITATIONS.] Taxes levied pursuant to this section shall be disregarded in the calculation of any other tax levies or limits on tax levies provided by other law. Subd. 7. [BONDING LIMITATIONS.] Bonds may be issued under authority of this section notwithstanding any limitations upon the indebtedness of a district, and their amounts shall not be included in computing the indebtedness of a district for any purpose, including the issuance of subsequent bonds and the incurring of subsequent indebtedness. Subd. 8. [TERMINATION OF APPROPRIATION.] The appropriation authorized in subdivision 3 terminates upon payment or maturity of the last of the bonds issued under this section. Subd. 9. [BOND ISSUE REQUIREMENT.] No bonds may be issued under this section after April 30, 2002, unless they are issued under a contract in effect on or before April 30, 2002. Subd. 10. [LOCAL APPROVAL.] This section is effective for independent school district No. 381 the day after its governing body complies with Minnesota Statutes, section 645.021, subdivision 3. Sec. 27. [REPEALER WITHOUT EFFECT.] The repeal of Minnesota Statutes 1998, sections 123A.44; 123A.441; 123A.442; 123A.443; 123A.444; 123A.445; 123A.446; 123B.57, subdivisions 4, 5, and 7; 123B.59, subdivision 7; 123B.63, subdivisions 1 and 2; 123B.67; 123B.68; and 123B.69, by Laws 1999, chapter 241, article 4, section 29, with an effective date of May 26, 1999, is without effect and Minnesota Statutes 1998, sections 123A.44; 123A.441; 123A.442; 123A.443; 123A.444; 123A.445; 123A.446; 123B.57, subdivisions 4, 5, and 7; 123B.59, subdivision 7; 123B.63, subdivisions 1 and 2; 123B.67; 123B.68; and 123B.69, remain in effect after May 25, 1999. EFFECTIVE DATE: This section is effective retroactive to May 26, 1999. Sec. 28. [APPROPRIATIONS.] Subdivision 1. [DEPARTMENT OF CHILDREN, FAMILIES, AND LEARNING.] The sums indicated in this section are appropriated from the general fund to the department of children, families, and learning for fiscal years designated. Subd. 2. [TELECOMMUNICATION ACCESS REVENUE.] For telecommunication access cost revenue under Minnesota Statutes, section 125B.25: $16,668,000 ..... 2001 Of this amount, $16,668,000 is for fiscal year 2001. If the appropriation amount exceeds the revenue for the 2000-2001 school year, the commissioner shall increase the reimbursement rate in Minnesota Statutes, section 125B.25, subdivisions 5 and 6, to expend the full appropriation. If the appropriation amount is insufficient, the commissioner shall reduce the reimbursement rate in Minnesota Statutes, section 125B.25, subdivisions 5 and 6, and the revenue for the 2000-2001 school year shall be prorated. The reimbursement rate shall not exceed 100 percent. Subd. 3. [INTEREST ON FLOOD LOANS.] For interest paid on flood loans: $ 970,000 ..... 2000 Of this amount, $761,000 is for independent school district No. 595, East Grand Forks, and $209,000 is for independent school district No. 2854, Ada-Borup. This is a one-time appropriation and is available until June 30, 2001. Subd. 4. [ONE-TIME DEFERRED MAINTENANCE AID.] For one-time deferred maintenance aid: $23,260,000 ..... 2001 This is a one-time appropriation. EFFECTIVE DATE: This section is effective the day following final enactment. ARTICLE 6 KINDERGARTEN THROUGH GRADE 12 EDUCATION EDUCATIONAL EXCELLENCE AND OTHER POLICY Section 1. Minnesota Statutes 1998, section 120B.13, subdivision 4, is amended to read: Subd. 4. [INFORMATION.] The commissioner shall submit the following information to the education committees of the legislature each year byJanuaryFebruary 1: (1) the number of pupils enrolled in advanced placement and international baccalaureate courses in each school district; (2) the number of teachers in each district attending training programs offered by the college board or International Baccalaureate North America, Inc.; (3) the number of teachers in each district participating in support programs; (4) recent trends in the field of advanced placement and international baccalaureate programs; (5) expenditures for each category in this section; and (6) other recommendations for the state program. Sec. 2. Minnesota Statutes 1999 Supplement, section 120B.30, subdivision 1, is amended to read: Subdivision 1. [STATEWIDE TESTING.] (a) The commissioner, with advice from experts with appropriate technical qualifications and experience and stakeholders, shall include in the comprehensive assessment system, for each grade level to be tested, a single statewide norm-referenced or criterion-referenced test, or a combination of a norm-referenced and a criterion-referenced test, which shall be highly correlated with the state's graduation standards and administered annually to all students in the third, fifth, and eighth grades. The commissioner shall establish one or more months during which schools shall administer the tests to students each school year. Only Minnesota basic skills tests in reading, mathematics, and writing shall fulfill students' testing requirements for a passing state notation. The passing scores of the state tests in reading and mathematics are the equivalent of: (1) 70 percent correct for students entering grade 9 in 1996; and (2) 75 percent correct for students entering grade 9 in 1997 and thereafter, as based on the first uniform test administration of February 1998. (b) In addition, at the secondary level, districts shall assess student performance in all required learning areas and selected required standards within each area of the profile of learning. The testing instruments and testing process shall be determined by the commissioner. The results shall be aggregated at the site and district level. The testing shall be administered beginning in the 1999-2000 school year and thereafter. (c) The comprehensive assessment system shall include an evaluation of school site and school district performance levels during the 1997-1998 school year and thereafter using an established performance baseline developed from students' test scores under this section that records, at a minimum, students' unweighted mean test scores in each tested subject, a second performance baseline that reports, at a minimum, the same unweighted mean test scores of only those students enrolled in the school by January 1 of the previous school year, and a third performance baseline that reports the same unweighted test scores of all students except those students receiving limited English proficiency instruction. The evaluation also shall record separately, in proximity to the performance baselines, the percentages of students who are eligible to receive a free or reduced price school meal, demonstrate limited English proficiency, or are eligible to receive special education services. (d) In addition to the testing and reporting requirements under paragraphs (a), (b), and (c), the commissioner shall include the following components in the statewide educational accountability and public reporting system: (1) uniform statewide testing of all third, fifth, eighth, and post-eighth grade students with exemptions, only with parent or guardian approval, from the testing requirement only for those very few students for whom the student's individual education plan team under sections 125A.05 and 125A.06, determines that the student is incapable of taking a statewide test, or a limited English proficiency student under section 124D.59, subdivision 2, if the student has been in the United States for fewer than 12 months and for whom special language barriers exist, such as the student's native language does not have a written form or the district does not have access to appropriate interpreter services for the student's native language; (2) educational indicators that can be aggregated and compared across school districts and across time on a statewide basis; (3) students' scores on the American College Test; (4) participation in the National Assessment of Educational Progress so that the state can benchmark its performance against the nation and other states, and, where possible, against other countries, and contribute to the national effort to monitor achievement; and (5) basic skills and advanced competencies connecting teaching and learning to high academic standards, assessment, and transitions to citizenship and employment. (e) Districts must report exemptions under paragraph (d), clause (1), to the commissioner consistent with a format provided by the commissioner. EFFECTIVE DATE: This section is effective the day following final enactment and applies to test administrations beginning in February 2000. Sec. 3. [121A.582] [STUDENT DISCIPLINE; REASONABLE FORCE.] Subdivision 1. [REASONABLE FORCE STANDARD.] (a) A teacher, in exercising the person's lawful authority, may use reasonable force when it is necessary under the circumstances to correct or restrain a student or prevent bodily harm or death to another. (b) A school employee, school bus driver, or other agent of a district, in exercising the person's lawful authority, may use reasonable force when it is necessary under the circumstances to restrain a student or prevent bodily harm or death to another. (c) Paragraphs (a) and (b) do not authorize conduct prohibited under sections 121A.58 and 121A.67. Subd. 2. [CIVIL LIABILITY.] (a) A teacher who, in the exercise of the person's lawful authority, uses reasonable force under the standard in subdivision 1, paragraph (a), has a defense against a civil action for damages under section 123B.25. (b) A school employee, bus driver, or other agent of a district who, in the exercise of the person's lawful authority, uses reasonable force under the standard in subdivision 1, paragraph (b), has a defense against a civil action for damages under section 123B.25. Subd. 3. [CRIMINAL PROSECUTION.] (a) A teacher who, in the exercise of the person's lawful authority, uses reasonable force under the standard in subdivision 1, paragraph (a), has a defense against a criminal prosecution under section 609.06, subdivision 1. (b) A school employee, bus driver, or other agent of a district who, in the exercise of the person's lawful authority, uses reasonable force under the standard in subdivision 1, paragraph (b), has a defense against a criminal prosecution under section 609.06, subdivision 1. Subd. 4. [SUPPLEMENTARY RIGHTS AND DEFENSES.] Any right or defense in this section is supplementary to those specified in section 121A.58, 121A.67, 123B.25, or 609.06, subdivision 1. EFFECTIVE DATE: This section is effective for the 2000-2001 school year and later. Sec. 4. Minnesota Statutes 1998, section 121A.61, subdivision 3, is amended to read: Subd. 3. [POLICY COMPONENTS.] The policy must include at least the following components: (a) rules governing student conduct and procedures for informing students of the rules; (b) the grounds for removal of a student from a class; (c) the authority of the classroom teacher to remove students from the classroom pursuant to procedures and rules established in the district's policy; (d) the procedures for removal of a student from a class by a teacher, school administrator, or other school district employee; (e) the period of time for which a student may be removed from a class, which may not exceed five class periods for a violation of a rule of conduct; (f) provisions relating to the responsibility for and custody of a student removed from a class; (g) the procedures for return of a student to the specified class from which the student has been removed; (h) the procedures for notifying a student and the student's parents or guardian of violations of the rules of conduct and of resulting disciplinary actions; (i) any procedures determined appropriate for encouraging early involvement of parents or guardians in attempts to improve a student's behavior; (j) any procedures determined appropriate for encouraging early detection of behavioral problems; (k) any procedures determined appropriate for referring a student in need of special education services to those services; (1) the procedures for consideration of whether there is a need for a further assessment or of whether there is a need for a review of the adequacy of a current individual education plan of a student with a disability who is removed from class; (m) procedures for detecting and addressing chemical abuse problems of a student while on the school premises; (n) the minimum consequences for violations of the code of conduct;and(o) procedures for immediate and appropriate interventions tied to violations of the code; and (p) a provision that states that a teacher, school employee, school bus driver, or other agent of a district may use reasonable force in compliance with section 121A.582 and other laws. EFFECTIVE DATE: This section is effective for the 2001-2002 school year and thereafter. Sec. 5. Minnesota Statutes 1999 Supplement, section 122A.23, is amended to read: 122A.23 [APPLICANTS TRAINED IN OTHER STATES.] Subdivision 1. [PREPARATION EQUIVALENCY.] When a license to teach is authorized to be issued to any holder of a diploma or a degree of a Minnesota state university, or of the University of Minnesota, or of a liberal arts university, or a technical training institution, such license may also, in the discretion of the board of teaching or the commissioner of children, families, and learning, whichever has jurisdiction, be issued to any holder of a diploma or a degree of a teacher training institution of equivalent rank and standing of any other state. The diploma or degree must be granted by virtue of the completion of a course in teacher preparation essentially equivalent in content to that required by such Minnesota state university or the University of Minnesota or a liberal arts university in Minnesota or a technical training institution as preliminary to the granting of a diploma or a degree of the same rank and class. Subd. 2. [APPLICANTS LICENSED IN OTHER STATES.] (a) Subject to the requirements of sections 122A.18, subdivision 8, and 123B.03, the board of teaching must issue a teaching license or a temporary teaching license under paragraphs (b) to (e) to an applicant who holds at least a baccalaureate degree from a regionally accredited college or university and holds or held a similar out-of-state teaching license that requires the applicant to successfully complete a teacher preparation program approved by the issuing state, which includes field-specific teaching methods and student teaching or essentially equivalent experience. (b) The board of teaching must issue a teaching license to an applicant who: (1) successfully completed all exams and human relations preparation components required by the board of teaching; and (2) holds or held an out-of-state teaching license to teach the same content field and grade levels if the scope of the out-of-state license is no more than one grade level less than a similar Minnesota license. (c) The board of teaching, consistent with board rules, must issue up to three one-year temporary teaching licenses to an applicant who holds or held an out-of-state teaching license to teach the same content field and grade levels, where the scope of the out-of-state license is no more than one grade level less than a similar Minnesota license, but has not successfully completed all exams and human relations preparation components required by the board of teaching. (d) The board of teaching, consistent with board rules, must issue up to three one-year temporary teaching licenses to an applicant who: (1) successfully completed all exams and human relations preparation components required by the board of teaching; and (2) holds or held an out-of-state teaching license to teach the same content field and grade levels, where the scope of the out-of-state license is no more than one grade level less than a similar Minnesota license, but has not completed field-specific teaching methods, or student teaching or equivalent experience. The applicant may complete field-specific teaching methods and student teaching or equivalent experience by successfully participating in a one-year school district mentorship program consistent with board-adopted standards of effective practice and Minnesota graduation requirements. (e) The board of teaching must issue a temporary teaching license for a term of up to three years only in the content field or grade levels specified in the out-of-state license to an applicant who: (1) successfully completed all exams and human relations preparation components required by the board of teaching; and (2) holds or held an out-of-state teaching license where the out-of-state license is more limited in the content field or grade levels than a similar Minnesota license. (f) The board of teaching must not issue to an applicant more than three one-year temporary teaching licenses under this subdivision. (g) The board of teaching must not issue a license under this subdivision if the applicant has not attained the additional degrees, credentials, or licenses required in a particular licensure field. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 6. Minnesota Statutes 1998, section 123B.04, subdivision 2, is amended to read: Subd. 2. [AGREEMENT.] (a) Either the school board or the school site decision-making team may request that the school board enter into an agreement with a school site decision-making team concerning the governance, management, or control of the school. A school site decision-making team may include the school principal, teachers in the school or their designee, other employees in the school, parents of pupils in the school, representatives of pupils in the school, or other members in the community. The school site decision-making team shall include the school principal or other person having general control and supervision of the school. The site decision-making team must reflect the diversity of the education site. No more than one-half of the members shall be employees of the district, unless an employee is the parent of a student enrolled in the school site, in which case the employee may elect to serve as a parent member of the site team. (b) School site decision-making agreements must delegate powers, duties, and broad management responsibilities to site teams and involve staff members, students as appropriate, and parents in decision making. (c) An agreement shall include a statement of powers, duties, responsibilities, and authority to be delegated to and within the site. (d) An agreement may include: (1) an achievement contract according to subdivision 4; (2) a mechanism to allow principals, or other persons having general control and supervision of the school, to make decisions regarding how financial and personnel resources are best allocated at the site and from whom goods or services are purchased; (3) a mechanism to implement parental involvement programs under section 124D.895 and to provide for effective parental communication and feedback on this involvement at the site level; (4) a provision that would allow the team to determine who is hired into licensed and nonlicensed positions; (5) a provision that would allow teachers to choose the principal or other person having general control; (6) an amount of revenue allocated to the site under subdivision 3; and (7) any other powers and duties determined appropriate by the board. The school board of the district remains the legal employer under clauses (4) and (5). (e) Any powers or duties not delegated to the school site management team in the school site management agreement shall remain with the school board. (f) Approved agreements shall be filed with the commissioner. If a school board denies a request to enter into a school site management agreement, it shall provide a copy of the request and the reasons for its denial to the commissioner. EFFECTIVE DATE: This section is effective July 1, 2000. Sec. 7. [123B.022] [CONTRACTS FOR COMPUTERS OR RELATED EQUIPMENT OR SERVICE.] (a) The school board of a school district may not enter into a contract or permit a school within the district to enter into a contract for the use of a computer or related equipment or service that requires advertising to be disseminated to students unless the school board: (1) enters into the contract at a public hearing of the school board; (2) makes a finding that the offered electronic product or service is an integral component of students' education; (3) provides written notice to students' parents that advertising will be used in the classroom, media center, computer lab, or other areas of learning, whether data will be collected on students, and how that data will be used; (4) as part of normal, ongoing district communications with parents, allows parents to request in writing that (i) their student not be exposed to the program that contains the advertising for the current school year, or that (ii) any or all data relating to the student that is collected as a result of this contract is not disclosed; and (5) honors parents' request, under clause (4), that their student not be exposed to the advertising program or that data relating to the student is not disclosed and allows parents to withdraw their request at any time. (b) Advertising under this section does not include: (1) the identification of the source of the document or information; and (2) advertising that is generally available to the public viewing a particular site or application and is not directed specifically to students benefiting from a contract under paragraph (a). EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 8. Minnesota Statutes 1998, section 123B.143, subdivision 1, is amended to read: Subdivision 1. [CONTRACT; DUTIES.] All districts maintaining a classified secondary school must employ a superintendent who shall be an ex officio nonvoting member of the school board. The authority for selection and employment of a superintendent must be vested in the board in all cases. An individual employed by a board as a superintendent shall have an initial employment contract for a period of time no longer than three years from the date of employment. Any subsequent employment contract must not exceed a period of three years. A board, at its discretion, may or may not renew an employment contract. A board must not, by action or inaction, extend the duration of an existing employment contract. Beginning 365 days prior to the expiration date of an existing employment contract, a board may negotiate and enter into a subsequent employment contract to take effect upon the expiration of the existing contract. A subsequent contract must be contingent upon the employee completing the terms of an existing contract. If a contract between a board and a superintendent is terminated prior to the date specified in the contract, the board may not enter into another superintendent contract with that same individual that has a term that extends beyond the date specified in the terminated contract. A board may terminate a superintendent during the term of an employment contract for any of the grounds specified in section 122A.40, subdivision 9 or 13. A superintendent shall not rely upon an employment contract with a board to assert any other continuing contract rights in the position of superintendent under section 122A.40. Notwithstanding the provisions of sections 122A.40, subdivision 10 or 11, 123A.32, 123A.75, or any other law to the contrary, no individual shall have a right to employment as a superintendent based on order of employment in any district. If two or more districts enter into an agreement for the purchase or sharing of the services of a superintendent, the contracting districts have the absolute right to select one of the individuals employed to serve as superintendent in one of the contracting districts and no individual has a right to employment as the superintendent to provide all or part of the services based on order of employment in a contracting district. The superintendent of a district shall perform the following: (1) visit and supervise the schools in the district, report and make recommendations about their condition when advisable or on request by the board; (2) recommend to the board employment and dismissal of teachers; (3) superintend school grading practices and examinations for promotions; (4) make reports required by the commissioner; (5) by January 10, submit an annual report to the commissioner in a manner prescribed by the commissioner, in consultation with school districts, identifying the expenditures that the district requires to ensure an 80 percent and a 90 percent student passage rate on the basic standards test taken in the eighth grade, identifying the amount of expenditures that the district requires to ensure a 99 percent student passage rate on the basic standards test by 12th grade, and how much the district is cross-subsidizing programs with special education,compensatorybasic skills, and general education revenue; and (6) perform other duties prescribed by the board. Sec. 9. Minnesota Statutes 1998, section 123B.77, subdivision 3, is amended to read: Subd. 3. [STATEMENT FOR COMPARISON AND CORRECTION.] By November 30 of the calendar year of the submission of the unaudited financial data, the district must provide to the commissioner audited financial data for the preceding fiscal year. The audit must be conducted in compliance with generally accepted governmental auditing standards, the federal Single Audit Act, and the Minnesota legal compliance guide issued by the office of the state auditor. An audited financial statement prepared in a form which will allow comparison with and correction of material differences in the unaudited financial data shall be submitted to the commissioner and the state auditor by December 31. The audited financial statement must also provide a statement of assurance pertaining to uniform financial accounting and reporting standards compliance and a copy of the management letter submitted to the district by the school district's auditor. Sec. 10. Minnesota Statutes 1998, section 123B.79, subdivision 7, is amended to read: Subd. 7. [ACCOUNT TRANSFER FOR CERTAIN SEVERANCE PAY.] A district may maintain in adesignatedreserve for certain severance pay account not more than 50 percent of the amount necessary to meet the obligations for the portion of severance pay that constitutes compensation for accumulated sick leave to be used for payment of premiums for group insurance provided for former employees by the district. The amount necessary must be calculated according to standards established by theadvisorycouncil on uniform financial accounting and reportingstandardsdepartment. Sec. 11. Minnesota Statutes 1999 Supplement, section 123B.83, subdivision 4, is amended to read: Subd. 4. [SPECIAL OPERATING PLAN.] (1) If the net negativeunappropriated operatingunreserved general fund balanceasdefined in section 126C.01, subdivision 11, calculated in accordance with the uniform financial accounting and reporting standards for Minnesota school districts, as of June 30 each year, is more than 2-1/2 percent of the year's expenditure amount, the district must, prior to January 31 of the next fiscal year, submit a special operating plan to reduce the district's deficit expenditures to the commissioner for approval. The commissioner may also require the district to provide evidence that the district meets and will continue to meet all high school graduation requirements. Notwithstanding any other law to the contrary, a district submitting a special operating plan to the commissioner under this clause which is disapproved by the commissioner must not receive any aid pursuant to chapters 120B, 122A, 123A, 123B, 124D, 125A, 126C, and 127A until a special operating plan of the district is so approved. (2) A district must receive aids pending the approval of its special operating plan under clause (1). A district which complies with its approved operating plan must receive aids as long as the district continues to comply with the approved operating plan. Sec. 12. Minnesota Statutes 1998, section 123B.88, subdivision 3, is amended to read: Subd. 3. [TRANSPORTATION SERVICES CONTRACTS.] The board may contract for the furnishing of authorized transportation underrules established by the commissionersection 123B.52, and may purchase gasoline and furnish same to a contract carrier for use in the performance of a contract with the school district for transportation of school children to and from school. Sec. 13. Minnesota Statutes 1998, section 123B.90, subdivision 1, is amended to read: Subdivision 1. [SCHOOL BUS SAFETY WEEK.] The third week of school is designated as school bus safety week.A school board may designate one day of school bus safetyweek as school bus driver day.EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 14. Minnesota Statutes 1999 Supplement, section 123B.90, subdivision 2, is amended to read: Subd. 2. [STUDENT TRAINING.] (a) Each district must provide public school pupils enrolled in grades kindergarten through 10 with age-appropriate school bus safety training. The training must be results-oriented and shall consist of both classroom instruction and practical training using a school bus. Upon completing the training, a student shall be able to demonstrate knowledge and understanding of at least the following competencies and concepts: (1) transportation by school bus is a privilege and not a right; (2) district policies for student conduct and school bus safety; (3) appropriate conduct while on the school bus; (4) the danger zones surrounding a school bus; (5) procedures for safely boarding and leaving a school bus; (6) procedures for safe street or road crossing; (7) school bus evacuation and other emergency procedures; and (8) appropriate training on the use of lap belts or lap and shoulder belts, if the district uses buses equipped with lap belts or lap and shoulder belts. (b) Each nonpublic school located within the district must provide all nonpublic school pupils enrolled in grades kindergarten through 10 who are transported by school bus at public expense and attend school within the district's boundaries with training as required in paragraph (a). The school district shall make a bus available for the practical training if the district transports the nonpublic students. Each nonpublic school shall provide the instruction. (c) All students enrolled in grades kindergarten through 3 who are transported by school bus and are enrolled during the first or second week of school must demonstrate achievement of the school bus safety training competencies by the end of the third week of school. All students enrolled in grades 4 through 10 who are transported by school bus and are enrolled during the first or second week of school must demonstrate achievement of the competencies by the end of the sixth week of school. Students enrolled in grades kindergarten through 10 who enroll in a school after the second week of school and are transported by school bus shall undergo school bus safety training and demonstrate achievement of the school bus safety competencies within four weeks of the first day of attendance. Thepupilschool transportation safety director in each district must certify to the commissioner annually that all students transported by school bus within the district have satisfactorily demonstrated knowledge and understanding of the school bus safety competencies according to this section or provide an explanation for a student's failure to demonstrate the competencies. The principal or other chief administrator of each nonpublic school must certify annually to thepublicschool transportation safety director of the district in which the school is located that all of the school's students transported by school bus at public expense have received training. A district may deny transportation to a student who fails to demonstrate the competencies, unless the student is unable to achieve the competencies due to a disability, or to a student who attends a nonpublic school that fails to provide training as required by this subdivision. (d) A district and a nonpublic school with students transported by school bus at public expense must, to the extent possible, provide kindergarten pupils with bus safety training before the first day of school. (e) A district and a nonpublic school with students transported by school bus at public expense must also provide student safety education for bicycling and pedestrian safety, for students enrolled in grades kindergarten through 5. (f) A district and a nonpublic school with students transported by school bus at public expense must make reasonable accommodations for the school bus, bicycle, and pedestrian safety training of pupils known to speak English as a second language and pupils with disabilities. Sec. 15. Minnesota Statutes 1999 Supplement, section 123B.91, subdivision 1, is amended to read: Subdivision 1. [COMPREHENSIVE POLICY.] (a) Each districtmustshall develop and implement a comprehensive, written policy governing pupil transportation safety, including transportation of nonpublic school students, when applicable. The policyshall, at minimum, must contain: (1) provisions for appropriate student bus safety training under section 123B.90; (2) rules governing student conduct on school buses and in school bus loading and unloading areas; (3) a statement of parent or guardian responsibilities relating to school bus safety; (4) provisions for notifying students and parents or guardians of their responsibilities and the rules, including the district's seat belt policy, if applicable; (5) an intradistrict system for reporting school bus accidents or misconduct and a system for dealing with local law enforcement officials in cases of criminal conduct on a school bus; (6) a discipline policy to address violations of school bus safety rules, including procedures for revoking a student's bus riding privileges in cases of serious or repeated misconduct; (7) a system for integrating school bus misconduct records with other discipline records; (8) a statement of bus driver duties; (9)planned expenditures for safety activities undersection 123B.89 and,where applicable, provisions governing bus monitor qualifications, training, and duties; (10) rules governing the use and maintenance of type III vehicles, drivers of type III vehicles, qualifications to drive a type III vehicle, qualifications for a type III vehicle, and the circumstances under which a student may be transported in a type III vehicle; (11) operating rules and procedures; (12) provisions for annual bus driver in-service training and evaluation; (13) emergency procedures; (14) a system for maintaining and inspecting equipment; (15) requirements of the school district, if any, that exceed state law minimum requirements for school bus operations; and (16) requirements for basic first aid training, which must include the Heimlich maneuver and procedures for dealing with obstructed airways, shock, bleeding, and seizures. (b) Districts are encouraged to use the model policy developed by the Minnesota school boards association, the department of public safety, and the department of children, families, and learning, as well as the current edition of the "National Standards for SchoolBuses and OperationsTransportation,"published by the National Safety Council,in developing safety policies. Each district shall review its policy annuallyand make appropriate amendments, which must besubmitted to the school bus safety advisory committee within onemonth of approval by the school boardto ensure that it conforms to law. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 16. Minnesota Statutes 1998, section 124D.03, subdivision 1, is amended to read: Subdivision 1. [ESTABLISHMENT.] (a) An enrollment options program is established to enable any pupil to attend a school or program in a district in which the pupil does not reside, subject to the limitations in this section. (b) A district may refuse to allow a pupil who is expelled under section 121A.45 to enroll during the term of the expulsion if the student was expelled for: (1) possessing a dangerous weapon, as defined by United States Code, title 18, section 930, paragraph (g)(2), at school or a school function; (2) possessing or using an illegal drug at school or a school function; (3) selling or soliciting the sale of a controlled substance while at school or a school function; or (4) committing a third-degree assault as described in section 609.223, subdivision 1. EFFECTIVE DATE: This section is effective for the 2000-2001 school year and later. Sec. 17. Minnesota Statutes 1998, section 124D.081, subdivision 6, is amended to read: Subd. 6. [PREPAREDNESS REVENUE.] (a) A qualifying school district is eligible for first-grade preparedness revenue equal to the basic formula allowance for that year times the number of children five years of age or older enrolled in a kindergarten program at the site on October 1 of the previous year times .53. (b) This revenue must supplement and not replace compensatory revenue that the district uses for the same or similar purposes under chapters 120B, 123A, 123B, 124D, 126C, and 127A. (c) A pupil enrolled in the first grade preparedness program at a qualifying school site is eligible for transportation under section 123B.88, subdivision 1. (d) First grade preparedness revenue paid to a charter school for which a school district is providing transportation according to section 124D.10, subdivision 16, shall be decreased by an amount equal to the product of$170the formula allowance according to section 126C.10, subdivision 2, times .0485 times the pupil units calculated according to paragraph (a). This amount shall be paid to the school district for transportation costs. Sec. 18. Minnesota Statutes 1999 Supplement, section 124D.10, subdivision 3, is amended to read: Subd. 3. [SPONSOR.] A school board,; intermediate school district school board,; educationdistrictsdistrict organized under sections 123A.15 to 123A.19,; charitable organization under section 501(c)(3) of the Internal Revenue Code of 1986 that is a member of the Minnesota council of nonprofits or the Minnesota council on foundations, registered with the attorney general's office, and reports an end-of-year fund balance of at least $2,000,000; Minnesota private college,that grants two- or four-year degrees and is registered with the higher education services office under chapter 136A; community college, state university, or technical college, governed by the board of trustees of the Minnesota state colleges and universities; or the University of Minnesota may sponsor one or more charter schools. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 19. Minnesota Statutes 1999 Supplement, section 124D.10, subdivision 8, is amended to read: Subd. 8. [STATE AND LOCAL REQUIREMENTS.] (a) A charter school shall meet all applicable state and local health and safety requirements. (b) A school sponsored by a school board may be located in any district, unless the school board of the district of the proposed location disapproves by written resolution. If such a board denies a request to locate within its boundaries a charter school sponsored by another school board, the sponsoring school board may appeal to the commissioner. If the commissioner authorizes the school, the commissioner must sponsor the school. (c) A charter school must be nonsectarian in its programs, admission policies, employment practices, and all other operations. A sponsor may not authorize a charter school or program that is affiliated with a nonpublic sectarian school or a religious institution. (d) Charter schools must not be used as a method of providing education or generating revenue for students who are being home-schooled. (e) The primary focus of a charter school must be to provide a comprehensive program of instruction for at least one grade or age group from five through 18 years of age. Instruction may be provided to people younger than five years and older than 18 years of age. (f) A charter school may not charge tuition. (g) A charter school is subject to and must comply with chapter 363 and section 121A.04. (h) A charter school is subject to and must comply with The Pupil Fair Dismissal Act, sections 121A.40 to 121A.56, and the Minnesota Public School Fee law, sections 123B.34 to 123B.39. (i) A charter school is subject to the same financial audits, audit procedures, and audit requirements as a district. The audit mustbe consistentcomply with the requirements of sections 123B.75 to 123B.83, except to the extent deviations are necessary because of the program at the school. The department of children, families, and learning, state auditor, or legislative auditor may conduct financial, program, or compliance audits. A charter school determined to be in statutory operating debt under sections 123B.81 to 123B.83 must submit a plan under section 123B.81, subdivision 4. (j) A charter school is a district for the purposes of tort liability under chapter 466. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 20. Minnesota Statutes 1998, section 124D.10, subdivision 9, is amended to read: Subd. 9. [ADMISSION REQUIREMENTS.] A charter school may limit admission to: (1) pupils within an age group or grade level; (2) people who are eligible to participate in the graduation incentives program under section 124D.68; or (3) residents of a specific geographic area where the percentage of the population of non-Caucasian people of that area is greater than the percentage of the non-Caucasian population in the congressional district in which the geographic area is located, and as long as the school reflects the racial and ethnic diversity of the specific area. A charter school shall enroll an eligible pupil who submits a timely application, unless the number of applications exceeds the capacity of a program, class, grade level, or building. In this case, pupils must be accepted by lot. If a charter school is the only school located in a town serving pupils within a particular grade level, then pupils that are residents of the town must be given preference for enrollment before accepting pupils by lot. If a pupil lives within two miles of a charter school and the next closest public school is more than five miles away, the charter school must give those pupils preference for enrollment before accepting other pupils by lot. A charter school shall give preference for enrollment to a sibling of an enrolled pupil and to a foster child of that pupil's parents before accepting other pupils by lot. A charter school may not limit admission to pupils on the basis of intellectual ability, measures of achievement or aptitude, or athletic ability. Sec. 21. Minnesota Statutes 1999 Supplement, section 124D.10, subdivision 11, is amended to read: Subd. 11. [EMPLOYMENT AND OTHER OPERATING MATTERS.] A charter school must employ or contract with necessary teachers, as defined by section 122A.15, subdivision 1, who hold valid licenses to perform the particular service for which they are employed in the school. The charter school's state aid may be reduced under section 127A.42 if the school employs a teacher who is not appropriately licensed or approved by the board of teaching. The school may employ necessary employees who are not required to hold teaching licenses to perform duties other than teaching and may contract for other services. The school may discharge teachers and nonlicensed employees. A person, without holding a valid administrator's license, may perform administrative, supervisory, or instructional leadership duties. The board of directors also shall decide matters related to the operation of the school, including budgeting, curriculum and operating procedures. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 22. Minnesota Statutes 1999 Supplement, section 124D.10, subdivision 15, is amended to read: Subd. 15. [REVIEW AND COMMENT.] The department must review and comment on the evaluation, by thechartering school districtsponsor, of the performance of a charter school before the charter school's contract is renewed. A sponsor shall monitor and evaluate the fiscal and student performance of the school, and may for this purpose annually assess the school up to $10 per student up to a maximum of $3,500. The informationfromfor the review and comment shall be reported by the sponsor to the commissioner of children, families, and learning in a timely manner. Periodically, the commissioner shall report trends or suggestions based on the evaluation of charter school contracts to the education committees of the state legislature. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 23. Minnesota Statutes 1999 Supplement, section 124D.10, subdivision 23, is amended to read: Subd. 23. [CAUSES FOR NONRENEWAL OR TERMINATION OF CHARTER SCHOOL CONTRACT.] (a) The duration of the contract with a sponsor must be for the term contained in the contract according to subdivision 6. The sponsor may or may not renew a contract at the end of the term for any ground listed in paragraph (b). A sponsor may unilaterally terminate a contract during the term of the contract for any ground listed in paragraph (b). At least 60 days before not renewing or terminating a contract, the sponsor shall notify the board of directors of the charter school of the proposed action in writing. The notice shall state the grounds for the proposed action in reasonable detail and that the charter school's board of directors may request in writing an informal hearing before the sponsor within 14 days of receiving notice of nonrenewal or termination of the contract. Failure by the board of directors to make a written request for a hearing within the 14-day period shall be treated as acquiescence to the proposed action. Upon receiving a timely written request for a hearing, the sponsor shall give reasonable notice to the charter school's board of directors of the hearing date. The sponsor shall conduct an informal hearing before taking final action. The sponsor shall take final action to renew or not renew a contract by the last day of classes in the school year. If the sponsor is a local board, the school's board of directors may appeal the sponsor's decision to the commissioner. (b) A contract may be terminated or not renewed upon any of the following grounds: (1) failure to meet the requirements for pupil performance contained in the contract; (2) failure to meet generally accepted standards of fiscal management; (3) violations of law; or (4) other good cause shown. If a contract is terminated or not renewed, the school must be dissolved according to the applicable provisions of chapter 308A or 317A, except when the commissioner approves the decision of a different eligible sponsor to authorize the charter school. (c) The commissioner, after providing reasonable notice to the board of directors of a charter school and the existing sponsor, and after providing an opportunity for a public hearing, may terminate the existing sponsorial relationship if the charter school has a history of: (1) financial mismanagement; or (2) repeated violations of the law. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 24. Minnesota Statutes 1999 Supplement, section 124D.11, subdivision 6, is amended to read: Subd. 6. [OTHER AID, GRANTS, REVENUE.] (a) A charter school is eligible to receive other aids, grants, and revenue according to chapters 120A to 129C, as though it were a district. (b) Notwithstanding paragraph (a), a charter school may not receive aid, a grant, or revenue if a levy is required to obtain the money, except as otherwise provided in this section. (c) Federal aid received by the state must be paid to the school, if it qualifies for the aid as though it were a school district. (d) A charter school may receive money from any source for capital facilities needs. In the year-end report to the commissioner of children, families, and learning, the charter school shall report the total amount of funds received from grants and other outside sources. (e) Notwithstanding paragraph (a) or (b), a charter schoolis eligiblemay apply for a grant to receive the aid portion of integration revenue under section 124D.86, subdivision 3, for enrolled students who are residents of a district that is eligible for integration revenueif the enrollment of the pupilin the charter school contributes to desegregation orintegration purposes. The commissioner shall determine grant recipients and may adopt application guidelines. The grants must be competitively determined and must demonstrate that enrolling pupils in the charter school contributes to desegregation or integration purposes as determined by the commissioner. If the charter school has elected not to provide transportation under section 124D.10, subdivision 16, the aid shall be reduced by the amount per pupil unit specified for the district where the charter school is located under section 123B.92, subdivision 8. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 25. [125B.15] [INTERNET ACCESS FOR STUDENTS.] (a) Recognizing the difference between school libraries, school computer labs, and school media centers, which serve unique educational purposes, and public libraries, which are designed for public inquiry, all computers at a school site with access to the Internet available for student use must be equipped to restrict, including by use of available software filtering technology or other effective methods, all student access to material that is reasonably believed to be obscene or child pornography or material harmful to minors under federal or state law. (b) A school site is not required to purchase filtering technology if the school site would incur more than incidental expense in making the purchase. (c) A school district receiving technology revenue under section 125B.25 must prohibit, including through use of available software filtering technology or other effective methods, adult access to material that under federal or state law is reasonably believed to be obscene or child pornography. (d) A school district, its agents or employees, are immune from liability for failure to comply with this section if they have made a good faith effort to comply with the requirements of this section. (e) "School site" means an education site as defined in section 123B.04, subdivision 1, or charter school under section 124D.10. Sec. 26. Minnesota Statutes 1999 Supplement, section 127A.05, subdivision 6, is amended to read: Subd. 6. [SURVEY OF DISTRICTS.] The commissioner of children, families, and learning shall survey the state's school districts and teacher preparation programs and report to the education committees of the legislature by January 15 of each odd-numbered year on the status of teacher early retirement patterns, the teacher shortage, and the substitute teacher shortage, including patterns and shortages in subject areas and regions of the state. The report must also include how districts are making progress in hiring teachers and substitutes in the areas of shortage and a five-year projection of teacher demand for each district. Sec. 27. [134.50] [INTERNET ACCESS; LIBRARIES.] (a) Recognizing the difference between public libraries, which are designed for public inquiry, and school libraries, school computer labs, and school media centers, which serve unique educational purposes, all public library computers with access to the Internet available for use by children under the age of 17 must be equipped to restrict, including by use of available software filtering technology or other effective methods, all access by children to material that is reasonably believed to be obscene or child pornography or material harmful to minors under federal or state law. (b) A public library is not required to purchase filtering technology if the public library would incur more than incidental expense in making the purchase. (c) A public library that receives state money must prohibit, including through the use of available software filtering technology or other effective methods, adult access to material that under federal or state law is reasonably believed to be obscene or child pornography. A public library may remove a person from the library if the person gains access or attempts to gain access to materials prohibited under this section by intentionally bypassing the filtering technology or other method used by the library. (d) A public library, its agents or employees, are immune from liability for failure to comply with this section if they have made a good faith effort to comply with the requirements of this section. (e) This section does not apply to the libraries of post-secondary institutions. Sec. 28. Minnesota Statutes 1998, section 169.447, is amended by adding a subdivision to read: Subd. 2a. [PASSENGER LAP AND SHOULDER BELTS.] (a) In addition to the requirements in section 169.4501, subdivision 1, a school bus may be equipped with an approved lap belt or an approved lap and shoulder belt installed for each passenger-seating position on the bus. The design and installation of lap belts and lap and shoulder belts required under this paragraph must meet the standards of the commissioner established under paragraph (b). (b) The commissioner shall consider all concerns necessary to properly integrate lap belts or lap and shoulder belts into the current compartmentalization safety system and prescribe standards for the design and installation of lap and shoulder belts required under paragraph (a). The standards are not subject to chapter 14 and are specifically not subject to section 14.386. (c) This subdivision does not apply to specially equipped school buses under section 169.4504. (d) A passenger on a school bus equipped with lap belts or lap and shoulder belts must use these lap belts or lap and shoulder belts unless the passenger, or if the passenger is a minor, the passenger's parent or guardian, has notified the school district in writing that the passenger does not intend to wear the lap belt or lap and shoulder belt. (e) In an action for personal injury or wrongful death against a school district, a school bus operator under contract with a school district, or any agent or employee of a school district or operator, or against a volunteer, no such person or entity shall be held liable solely because the injured party was not wearing a safety belt; provided, however, that nothing contained herein shall be construed to grant immunity from liability for failure to: (1) maintain in operating order any equipment required by statute, rule, or school district policy; or (2) comply with an applicable statute, rule, or school district policy. (f) In an action for personal injury or wrongful death, a school district, a school bus contract operator, any agent or employee of a school district or operator, or a volunteer is not liable for failing to assist any child with the adjustment, fastening, unfastening, or other use of the lap belt or lap and shoulder belt. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 29. Minnesota Statutes 1998, section 169.448, subdivision 3, is amended to read: Subd. 3. [HEAD START VEHICLE.] Notwithstanding subdivision 1, a vehicle used to transportpassengersstudents under Public Law Number 99-425, the Head Start Act, may be equipped as a school bus or Head Start bus. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 30. Minnesota Statutes 1999 Supplement, section 169.974, subdivision 2, is amended to read: Subd. 2. [LICENSE ENDORSEMENT AND PERMIT REQUIREMENTS.] (a) No person shall operate a motorcycle on any street or highway without having a valid standard driver's license with a two-wheeled vehicle endorsement as provided by law.No suchThe commissioner of public safety shall issue a two-wheeled vehicle endorsementshall be issued unless the person applyingthereforonly if the applicant (1) has in possession a valid two-wheeled vehicle instruction permit as providedhereinin paragraph (b), (2) has passed a written examination and road test administered by the department of public safety forsuchthe endorsement, and,(3) in the case of applicants under 18 years of age,shall presentpresents a certificate or other evidence of having successfully completed an approved two-wheeled vehicle driver's safety course in this or another state, in accordance with rulespromulgatedadopted by thecommissioner of children, families, and learning for coursesoffered through the public schools, or rules promulgated by thecommissioner of public safety for courses offered by a public, private, or commercial school or institute. The commissioner of public safety may waive the road test for any applicant on determining that the applicant possesses a valid license to operate a two-wheeled vehicle issued by a jurisdiction that requires a comparable road test for license issuance. (b) The commissioner of public safety shall issue a two-wheeled vehicle instruction permitshall be issuedto any person over 16 years of age,who (1) is in possession of a valid driver's license,who(2) is enrolled in an approved two-wheeled vehicle driver's safety course, andwho(3) has passed a written examination forsuchthe permit andhaspaidsucha feeasprescribed by the commissioner of public safetyshallprescribe. A two-wheeled vehicle instruction permitshall beis effective for one year,and may be renewed under rulesto beprescribed by the commissioner of public safety. (c) No person who is operating by virtue of a two-wheeled vehicle instruction permit shall:(a)(1) carry any passengers on the streets and highways of this state on the motorcyclewhichwhile the person is operating the motorcycle;(b)(2) drive the motorcycle atnighttimenight;(c)(3) drive the motorcycle on any highway markedby thecommissioneras an interstate highway pursuant to title 23 of the United States Code; or(d)(4) drive the motorcycle without wearing protective headgear that complies with standards established by the commissioner of public safety. (d) Notwithstandingthe provisions of this subdivisionparagraph (a), (b), or (c), the commissioner of public safety may, however,issue a special motorcycle permit, restricted or qualifiedin such manneras the commissioner of public safetyshall deemdeems proper, to any person demonstrating a needthereforfor the permit and unable to qualify for a standard driver's license. Sec. 31. Minnesota Statutes 1999 Supplement, section 171.05, subdivision 2, is amended to read: Subd. 2. [PERSON LESS THAN 18 YEARS OF AGE.] (a) Notwithstanding any provision in subdivision 1 to the contrary, the department, upon application therefor,may issue an instruction permit to an applicant who is 15, 16, or 17 years of age andthe applicantwho: (1) has completed a course of driver education in another state, has a previously issued valid license from another state, or is enrolled inone of the following types of driver educationprogramseither: (i) a public, private, or commercial driver education programoffered through the public schoolsthat is approved by the commissioner of public safety and that includes classroom and behind-the-wheel trainingand that has been approved by thecommissioner of children, families, and learning; or (ii)a course offered by a private, commercial drivereducation school or institute that includes classroom andbehind-the-wheel training and that has been approved by thedepartment of public safety; or(iii)an approved behind-the-wheel driver education program when the student is receiving full-time instruction in a home school within the meaning of sections 120A.22 and 120A.24, the student is working toward a home-school diploma, the student's status as a home-school student has been certified by the superintendent of the school district in which the student resides, and the student is taking home-classroom driver training with classroom materials approved by the commissioner of public safety; (2) has completed the classroom phase of instruction in the driver education program; (3) has passed a test of the applicant's eyesight; (4) has passed a department-administered test of the applicant's knowledge of traffic laws, which test must beadministered by the department; (5) has completed the required application, which must be approved by (i) either parent when both reside in the same household as the minor applicant or, if otherwise, then (ii) the parent or spouse of the parent having custody or, in the event there is no court order for custody, then (iii) the parent or spouse of the parent with whom the minor is living or, if items (i) to (iii) do not apply, then (iv) the guardian having custody of the minor or, in the event a person under the age of 18 has no living father, mother, or guardian, then (v) the applicant's employer; provided, that the approval required by this clause contains a verification of the age of the applicant and the identity of the parent, guardian, or employer; and (6) has paid the fee required in section 171.06, subdivision 2. (b) The instruction permit is valid for one year from the date of application and may be renewed upon payment of a fee equal to the fee for issuance of an instruction permit under section 171.06, subdivision 2. Sec. 32. Minnesota Statutes 1998, section 171.06, subdivision 2, is amended to read: Subd. 2. [FEES.] (a) The fees for a license and Minnesota identification card are as follows: Classified Driver's License D-$18.50 C-$22.50 B-$29.50 A-$37.50 Classified Under-21 D.L. D-$18.50 C-$22.50 B-$29.50 A-$17.50 Instruction Permit $ 9.50 Provisional License $ 9.50 Duplicate License or duplicate identification card $ 8.00 Minnesota identification card or Under-21 Minnesota identification card, other than duplicate, except as otherwise provided in section 171.07, subdivisions 3 and 3a $12.50 (b) Notwithstanding paragraph (a), a person who holds a provisional license and has a driving record free of (1) convictions for a violation of section 169.121, 169.1218, 169.122, or 169.123, (2) convictions for crash-related moving violations, and (3) convictions for moving violations that are not crash related, shall have a $3.50 credit toward the fee for any classified under-21 driver's license. "Moving violation" has the meaning given it in section 171.04, subdivision 1. (c) In addition to the driver's license fee required under paragraph (a), the registrar shall collect an additional $4 processing fee from each new applicant or person renewing a license with a school bus endorsement to cover the costs for processing an applicant's initial and biennial physical examination certificate. The department shall not charge these applicants any other fee to receive or renew the endorsement. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 33. Minnesota Statutes 1998, section 171.321, subdivision 2, is amended to read: Subd. 2. [RULES.] (a) The commissioner of public safety shall prescribe rules governing the physical qualifications of school bus drivers and tests required to obtain a school bus endorsement. The rules must provide that an applicant for a school bus endorsement or renewal is exempt from the physical qualifications and medical examination required to operate a school bus upon providing evidence of being medically examined and certified within the preceding 24 months as physically qualified to operate a commercial motor vehicle, pursuant to Code of Federal Regulations, title 49, part 391, subpart E, or rules of the commissioner of transportation incorporating those federal regulations. The commissioner shall accept physical examinations for school bus drivers conducted by medical examiners authorized as provided by the Code of Federal Regulations, title 49, chapter 3, part 391, subpart E. (b) The commissioner of public safety, in conjunction with the commissioner of economic security, shall adopt rules prescribing a training program for Head Start bus drivers. The program must provide for initial classroom and behind-the-wheel training, and annual in-service training. The program must provide training in defensive driving, human relations, emergency and accident procedures, vehicle maintenance, traffic laws, and use of safety equipment. The program must provide that the training will be conducted by the contract operator for a Head Start agency, the Head Start grantee, a licensed driver training school, or by another person or entity approved by both commissioners. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 34. Minnesota Statutes 1998, section 171.321, subdivision 3, is amended to read: Subd. 3. [RECORDS CHECK OF APPLICANT.] (a) Before issuing or renewing a school bus endorsement, the commissioner shall conduct a criminal and driver's license records check of the applicant. The commissioner may also conduct the check at any time while a person is so licensed. The checkshallmust consist of a criminal records check of the state criminal records repository and a check of the driver's license records system. If the applicant has resided in Minnesota for less than five years, the checkshallmust also include a criminal records check of information from the state law enforcement agencies in the states where the person resided during the five years before moving to Minnesota, and of the national criminal records repository including the criminal justice data communications network. The applicant's failure to cooperate with the commissioner in conducting the records check is reasonable cause to deny an application or cancel a school bus endorsement. The commissioner may not release the results of the records check to any person except the applicant or the applicant's designee in writing. (b) The commissioner may issue to an otherwise qualified applicant a temporary school bus endorsement, effective for no more than 180 days, upon presentation of (1) an affidavit by the applicant that the applicant has not been convicted of a disqualifying offense and (2) a criminal history check from each state of residence for the previous five years. The criminal history check may be conducted and prepared by any public or private source acceptable to the commissioner. The commissioner may reissue the temporary endorsement if the National Criminal Records Repository check is timely submitted but not completed within the 180-day period. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 35. Minnesota Statutes 1998, section 171.321, subdivision 4, is amended to read: Subd. 4. [TRAINING.] (a) No person shall drive a class A, B, C, or D school bus when transporting school children to or from school or upon a school-related trip or activity without having demonstrated sufficient skills and knowledge to transport students in a safe and legal manner. (b) A bus driver must have training or experience that allows the driver to meet at least the following competencies: (1) safely operate the type of school bus the driver will be driving; (2) understand student behavior, including issues relating to students with disabilities; (3) encourage orderly conduct of students on the bus and handle incidents of misconduct appropriately; (4) know and understand relevant laws, rules of the road, and local school bus safety policies; (5) handle emergency situations; and (6) safely load and unload students. (c) The commissioner of public safety, in conjunction with the commissioner of children, families, and learning, shall develop a comprehensive model school bus driver training program and model assessments for school bus driver training competencies, which are not subject to chapter 14. A school district may use alternative assessments for bus driver training competencies with the approval of the commissioner of public safety. The employer shall keep the assessment for the current period available for inspection by representatives of the commissioner. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 36. Minnesota Statutes 1998, section 171.321, subdivision 5, is amended to read: Subd. 5. [ANNUAL EVALUATION.] A school district's pupil transportation safety director, the chief administrator of a nonpublic school, or a private contractor shall certify annually to thecommissioner of public safetyschool board or governing board of a nonpublic school that, at minimum, each school bus driver meets the school bus driver training competencies under subdivision 4and shall report the number of hours of in-servicetraining completed by each driver. A school district, nonpublic school, or private contractor also shall provide in-service training annually to each school bus driver.A district,nonpublic school, or private contractor also shall check thelicense of each person who transports students for the districtwith the National Drivers Register or the department of publicsafety annually. The school board must approve and forward thecompetency certification and in-service report to thecommissioner of public safety.EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 37. Minnesota Statutes 1999 Supplement, section 260C.143, subdivision 4, is amended to read: Subd. 4. [TRUANT.] When a peace officer or probation officer has probable cause to believe that a child iscurrentlyunder age 16 andabsent from school without lawful excuse, consistent with section 120A.22, subdivisions 5 and 8, the officer may: (1) transport the child to the child's home and deliver the child to the custody of the child's parent or guardian,; (2) transport the child to the child's school of enrollment and deliver the child to the custody of a school superintendent or teacheror; (3) transport the child to a truancy service center under section 260A.04, subdivision 3; or (4) transport the child from the child's home to the child's school of enrollment or to a truancy service center. Sec. 38. Minnesota Statutes 1998, section 471.15, is amended to read: 471.15 [RECREATIONAL FACILITIES BY MUNICIPALITY, VETERANS; BONDS.] (a) Any home rule charter or statutory city or any town, county, school district, or any board thereof, or any incorporated post of the American Legion or any other incorporated veterans' organization, may expend not to exceed $800 in any one year, for the purchase of awards and trophies and may operate a program of public recreation and playgrounds; acquire, equip, and maintain land, buildings, or other recreational facilities, including an outdoor or indoor swimming pool; and expend funds for the operation of such program pursuant to the provisions of sections 471.15 to 471.19. The city, town, county or school district may issue bonds pursuant to chapter 475 for the purpose of carrying out the powers granted by this section. The city, town, county or school district may operate the program and facilities directly or establish one or more recreation boards to operate all or various parts of them. (b) A home rule charter or statutory city, a county, or a town may expend funds for the purpose of supporting student academic or extracurricular activities sponsored by the local school district. Sec. 39. Laws 1999, chapter 241, article 5, section 18, subdivision 5, is amended to read: Subd. 5. [CHARTER SCHOOL BUILDING LEASE AID.] For building lease aid according to Minnesota Statutes, section 124D.11, subdivision 4:$2,992,000$ 5,981,000 ..... 2000$3,616,000$10,807,000 ..... 2001 The 2000 appropriation includes $194,000 for 1999 and$2,798,000$5,787,000 for 2000. The 2001 appropriation includes$311,000$643,000 for 2000 and$3,305,000$10,164,000 for 2001. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 40. Laws 1999, chapter 241, article 5, section 18, subdivision 6, is amended to read: Subd. 6. [CHARTER SCHOOL START-UP GRANTS.] For charter school start-up cost aid under Minnesota Statutes, section 124D.11:$1,789,000$1,955,000 ..... 2000$1,876,000$2,926,000 ..... 2001 The 2000 appropriation includes $100,000 for 1999 and$1,689,000$1,855,000 for 2000. The 2001 appropriation includes$188,000$206,000 for19992000 and$1,688,000$2,720,000 for 2001. Any balance in the first year does not cancel but is available in the second year. This appropriation may also be used for grants to convert existing schools into charter schools. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 41. [RESIDENTIAL ACADEMIES.] In the event that a recipient who has been awarded a grant under Laws 1998, chapter 398, article 5, section 46, has received approval for updated capital and operating plans after June 1, 1999, and has not substantially performed pursuant to the terms and conditions of its award by June 30, 2002, the commissioner shall reopen the application process with respect to any funds available. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 42. [MINNESOTA NEW TEACHER PROJECT.] Subdivision 1. [ESTABLISHMENT; PARTICIPATION.] The Minnesota new teacher project is established in the department of children, families, and learning in order to retain new teachers in the profession and to provide models for supporting the professional development of first-year and second-year teachers. In order for a school district to participate in the new teacher project, a school board and an exclusive representative of the teachers in the district, or for a charter school the majority of the teachers, must agree to participate in the new teacher project and to the district plan under subdivision 2. Subd. 2. [DISTRICT PLAN.] A district that participates in the new teacher project must submit a plan for the project to the commissioner for approval. The new teacher project plan must be consistent with the knowledge and skills required in the teacher licensure rules adopted by the board of teaching and the state graduation requirements and include curricula of best practice activities such as one-on-one mentoring, intensive summer orientation, first-year and second-year training workshops, peer review, mutual observation between new and experienced teachers, classroom management techniques, cultural diversity, reading strategies, lighter workloads, and first-year residency. The plan must include the participation of a teacher preparation program approved by the board of teaching. Districts receiving a grant under this section must report to the board of teaching regarding its chosen new teacher project plan. Subd. 3. [STATE MATCH.] A district that has an approved new teacher project plan is eligible to receive $3,000 of state money for each new teacher participating in the project. The district must contribute $2,000 of district money for each new teacher participating in the project. Sec. 43. [TASK FORCE ON SCHOOL GOVERNANCE AND MANAGEMENT.] Subdivision 1. [ESTABLISHMENT.] The task force on school governance and management is established to examine the existing constitutional and statutory provisions that dictate the governance responsibilities and authority of the respective components of the state's public education system. Subd. 2. [MEMBERSHIP; STAFFING.] (a) The task force on school governance and management must be composed of nine members, with three members appointed by the governor, three members appointed by the speaker of the house of representatives, and three members appointed by the subcommittee on committees of the senate committee on rules and administration. Members should represent the business community, education stakeholders, parents, or other interested community members. (b) The executive branch through the office of the governor shall make staff available to assist the task force. Subd. 3. [REPORT.] (a) The task force on school governance and management must report to the governor and the appropriate committees of the house and senate no later than December 1, 2000. (b) The task force must do the following: (1) identify any governance or organizational barriers that inhibit or preclude schools or school districts from: (i) ensuring all students meet state and local graduation standards; (ii) ensuring instructional programs are available to meet individual student's academic needs; (iii) making efficient changes in instructional and noninstructional program and service delivery; and (iv) delegating instructional and general operating decision-making to the school level; and (2) make recommendations regarding the statutory changes needed to enable school districts to: (i) continuously identify changes to meet the needs of student cohorts; (ii) provide a variety of instructional opportunities to meet individual student needs; (iii) measure individual student academic achievement; and (iv) modify or expand instructional programs if student achievement does not meet expectations. Subd. 4. [EXPIRATION.] The task force on school governance and management expires on December 31, 2000. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 44. [2000-2001 SCHOOL YEAR START DATE.] Subdivision 1. [LABOR DAY START.] Notwithstanding Minnesota Statutes, section 120A.40, for the 2000-2001 school year only, a district must not begin the elementary or secondary school year prior to Labor Day. Subd. 2. [MABEL-CANTON INDEPENDENT SCHOOL DISTRICT NO. 238.] Notwithstanding subdivision 1 and Minnesota Statutes, section 120A.40, for the 2000-2001 school year only, independent school district No. 238, Mabel-Canton, may start the school year up to five weekdays before Labor Day for the purpose of scheduling an additional academic term during the regular school year. Subd. 3. [BROWNS VALLEY INDEPENDENT SCHOOL DISTRICT NO. 801.] Notwithstanding subdivision 1 and Minnesota Statutes, section 120A.40, for the 2000-2001 school year only, independent school district No. 801, Browns Valley, may start the school year up to five weekdays before Labor Day for the purpose of scheduling an additional academic term during the regular school year. Sec. 45. [CHARTER SCHOOL BUILDING LEASE AID REVIEW.] The department of children, families, and learning shall work with charter school operators and other interested parties to create recommendations for appropriate criteria for charter school building lease aid and report its findings to the education committees of the legislature by January 15, 2001. Sec. 46. [APPROPRIATIONS.] Subdivision 1. [DEPARTMENT OF CHILDREN, FAMILIES, AND LEARNING.] The sum indicated in this section is appropriated from the general fund to the department of children, families, and learning for the fiscal year indicated. Subd. 2. [PROFESSIONAL TEACHING STANDARDS.] For grant awards for national board for professional teaching standards certification according to Laws 1997, First Special Session chapter 4, article 5, section 22: $150,000 ..... 2001 This is a one-time appropriation. ARTICLE 7 KINDERGARTEN THROUGH GRADE 12 EDUCATION NUTRITION AND OTHER PROGRAMS; FUND TRANSFERS Section 1. [121A.30] [PESTICIDE APPLICATION AT SCHOOLS.] Subdivision 1. [PARENTS' RIGHT-TO-KNOW ACT.] Subdivisions 2 to 14 may be cited as the Janet B. Johnson Parents' Right-to-Know Act of 2000. Subd. 2. [PESTICIDE APPLICATION NOTIFICATION.] A school that plans to apply a pesticide which is a toxicity category I, II, or III pesticide product, as classified by the United States Environmental Protection Agency, or a restricted use pesticide, as designated under the Federal Insecticide, Fungicide, and Rodenticide Act, on school property, must provide a notice to parents and employees that it applies such pesticides. The notice required under subdivision 3 must: (1) provide that an estimated schedule of the pesticide applications is available for review or copying at the school offices where such pesticides are applied; (2) state that long-term health effects on children from the application of such pesticides or the class of chemicals to which they belong may not be fully understood; (3) inform parents that a parent may request the school notify him or her in the manner specified in subdivision 6 before any application of a pesticide listed in this subdivision. Subd. 3. [NOTICE; TIMING; DISTRIBUTION.] The notice must be provided no later than September 15 of each school year during which pesticides listed in subdivision 2 are planned to be applied. The notice may be included with other notices provided by the school, but must be separately identified and clearly visible to the reader. Subd. 4. [SCHOOL HANDBOOK OR STATEMENT OF POLICIES.] In addition to the notice provided according to subdivision 3, a school that is required to provide notice under this section shall include in an official school handbook or official school policy guide of a general nature a section informing parents that an estimated schedule of applications of pesticides listed in subdivision 2 is available for review or copying at the school offices, and that a parent may receive prior notice of each application if specifically requested. Subd. 5. [NOTICE AVAILABILITY.] A school that uses a pesticide listed in subdivision 2 must keep a copy of all notifications required under subdivisions 2 and 3 for at least six years in a manner available to the public. Subd. 6. [NOTIFICATION FOR INDIVIDUAL PARENTS.] A parent of a student at a school may request that the school principal or other person having general control and supervision of the school notify the parent prior to the application of any pesticides listed in subdivision 2 at the school on a day different from the days specified in the notice under subdivision 3. The school principal or other person having general control and supervision of the school must provide reasonable notice to a parent who has requested such notification prior to applying such pesticides. The notice may be waived for emergency applications required only by appropriate state or local health officials. The notice must include the pesticide to be applied, the time of the planned application, and the location at the school of the planned application. A school may request reimbursement for the school's reasonable costs of providing notice under this subdivision, including any costs of mailing, from individuals requesting notification under this subdivision. Subd. 7. [MODEL NOTICE.] The department of health, in consultation with the department of children, families, and learning, the office of environmental assistance, and University of Minnesota extension service, shall develop and make available to schools by August 1, 2000, a model notice in a form that can be used by a school if it chooses to do so. The model notice must include the information required by this section. The department of health must provide an opportunity for environmental groups, interested parents, public health organizations, and other parties to work with the department in developing the model notice. Subd. 8. [PLAN.] A school is not required to adopt an integrated pest management plan. A school board may only notify students, parents, or employees that it has adopted an integrated pest management plan if the plan is a managed pest control program designed to minimize the risk to human health and the environment and to reduce the use of chemical pesticides, and which ranks the district's response to pests in the following manner: (1) identifying pests which need to be controlled; (2) establishing tolerable limits of each identified pest; (3) designing future buildings and landscapes to prevent identified pests; (4) excluding identified pests from sites and buildings using maintenance practices; (5) adapting cleaning activities and best management practices to minimize the number of pests; (6) using mechanical methods of controlling identified pests; and (7) controlling identified pests using the least toxic pesticides with the least exposure to persons as is practicable. Subd. 9. [PESTICIDE DEFINED; CLEANING PRODUCTS EXCLUDED.] For purposes of this section, the term "pesticide" has the meaning given it in section 18B.01, subdivision 18, except that it does not include any disinfectants, sanitizers, deodorizers, or antimicrobial agents used for general cleaning purposes. Subd. 10. [PEST DEFINED.] For purposes of this section, the term "pest" has the meaning given it in section 18B.01, subdivision 17. Subd. 11. [SCHOOL DEFINED.] For the purposes of this section, "school" means a school as defined in section 120A.22, subdivision 4, excluding home schools. Subd. 12. [IMMUNITY FROM LIABILITY.] No cause of action may be brought against a school district, a school, or the districts or school's employees or agents for any failure to comply with the requirements under this section. Subd. 13. [EVIDENCE OF FAILURE TO COMPLY EXCLUDED.] A failure to comply with the requirements of this section may not be presented as evidence in any lawsuit based upon physical injury resulting from exposure to pesticides applied at a school. Subd. 14. [NO SPECIAL RIGHTS.] Nothing in this section affects the duty of a parent or a student to comply with the compulsory attendance law or the duty of a school employee to comply with the provisions of an applicable employment contract or policy. EFFECTIVE DATE: This section is effective August 1, 2000. Sec. 2. Minnesota Statutes 1998, section 124D.111, subdivision 1, is amended to read: Subdivision 1. [SCHOOL LUNCH AID COMPUTATION.] Each school year, the state must pay districts participating in the national school lunch program the amount of6.5eight cents for each full paid, reduced, and free student lunch served to students in the district. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 3. Minnesota Statutes 1999 Supplement, section 124D.1155, subdivision 2, is amended to read: Subd. 2. [ELIGIBILITY.] An applicant for a grant must be a public or nonpublic elementary school that participates in the federal school breakfast and lunch programs. The commissioner must give first priority to schools where at least 33 percent of the lunches the school served to children during the second preceding school year were provided free or at a reduced price. The commissioner must give second priority to all other public or nonpublic elementary schools. Sec. 4. Laws 1999, chapter 241, article 6, section 14, subdivision 2, is amended to read: Subd. 2. [ABATEMENT AID.] For abatement aid according to Minnesota Statutes, section 127A.49:$9,110,000$9,577,000 ..... 2000$8,947,000$8,279,000 ..... 2001 The 2000 appropriation includes $1,352,000 for 1999 and$7,758,000$8,225,000 for 2000. The 2001 appropriation includes$861,000$914,000 for 2000 and$8,086,000$7,365,000 for 2001. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 5. Laws 1999, chapter 241, article 6, section 14, subdivision 3, is amended to read: Subd. 3. [NONPUBLIC PUPIL AID.] For nonpublic pupil education aid according to Minnesota Statutes, sections 123B.40 to 123B.48 and 123B.87: $10,996,000 ..... 2000$11,878,000$13,448,000 ..... 2001 The 2000 appropriation includes $970,000 for 1999 and $10,026,000 for 2000. The 2001 appropriation includes$1,114,000$1,175,000 for 2000 and$10,764,000$12,273,000 for 2001. The department shall recompute the maximum allotments established on March 1, 1999, for fiscal year 2000 under Minnesota Statutes, sections 123B.42, subdivision 3, and 123B.44, subdivision 6, to reflect the amount appropriated in this subdivision for fiscal year 2000. The department shall recompute the maximum allotments established on March 1, 2000, for fiscal year 2001 under Minnesota Statutes, sections 123B.42, subdivision 3, and 123B.44, subdivision 6, to reflect the amount appropriated in this subdivision for fiscal year 2001. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 6. Laws 1999, chapter 241, article 6, section 14, subdivision 4, is amended to read: Subd. 4. [CONSOLIDATION TRANSITION AID.] For districts consolidating under Minnesota Statutes, section 123A.485:$451,000$563,000 ..... 2000$375,000$455,000 ..... 2001 The 2000 appropriation includes $113,000 for 1999 and$338,000$450,000 for 2000. The 2001 appropriation includes$37,000$50,000 for 2000 and$338,000$405,000 for 2001. Any balance in the first year does not cancel but is available in the second year. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 7. Laws 1999, chapter 241, article 6, section 14, subdivision 5, is amended to read: Subd. 5. [NONPUBLIC PUPIL TRANSPORTATION.] For nonpublic pupil transportation aid under Minnesota Statutes, section 123B.92, subdivision 9:$18,586,000$20,358,000 ..... 2000$20,922,000$21,333,000 ..... 2001 The 2000 appropriation includes $1,848,000 for20001999 and$16,738,000$18,510,000 for20012000. The 2001 appropriation includes$1,860,000$2,057,000 for 2000 and$19,062,000$19,276,000 for 2001. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 8. Laws 1999, chapter 241, article 7, section 2, subdivision 2, is amended to read: Subd. 2. [SCHOOL LUNCH AID.] (a) For school lunch aid according to Minnesota Statutes, section 124D.111, and Code of Federal Regulations, title 7, section 210.17, and for school milk aid according to Minnesota Statutes, section 124D.118:$8,200,000$8,340,000 ..... 2000$8,200,000$8,566,000 ..... 2001 (b) Any unexpended balance remaining from the appropriations in this subdivision shall be prorated among participating schools based on the number of free, reduced, and fully paid federally reimbursable student lunches served during that school year. (c)If the appropriation amount attributable to either yearis insufficient, the rate of payment for each fully paid studentlunch shall be reduced and the aid for that year shall beprorated among participating schools so as not to exceed thetotal authorized appropriation for that year.(d)Not more than $800,000 of the amount appropriated each year may be used for school milk aid. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 9. Laws 1999, chapter 241, article 7, section 2, subdivision 5, is amended to read: Subd. 5. [SCHOOL BREAKFAST.] To operate the school breakfast program according to Minnesota Statutes, sections 124D.115 and 124D.117:$456,000$713,000 ..... 2000$456,000$713,000 ..... 2001If the appropriation amount attributable to either year isinsufficient, the rate of payment for each fully paid studentbreakfast shall be reduced and the aid for that year shall beprorated among participating schools so as not to exceed thetotal authorized appropriation for that year.Any unexpended balance remaining shall be used to subsidize the payments made for school lunch aid per Minnesota Statutes, section 124D.111. Up to one percent of the program funding can be used by the department of children, families, and learning for technical and administrative assistance. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 10. [DEPARTMENT OF CHILDREN, FAMILIES, AND LEARNING WEB SITE.] The department of children, families, and learning must maintain a list of pesticides that will enable a school district to identify whether the district is using a pesticide that is classified as toxicity category I, II, or III pesticide products or as restricted use pesticides under the Federal Insecticide, Fungicide, and Rodenticide Act for purposes of providing notice required by Minnesota Statutes, section 121A.30. To the extent practicable, the list maintained shall include the name under which the pesticide is registered by the environmental protection agency and the common brand names by which it is sold. The department must maintain the list on its Web site or as a prominent link on its Web site to another state or federal agency's Web site. EFFECTIVE DATE: This section is effective August 1, 2000. Sec. 11. [PESTICIDE REPORTING.] (a) The commissioner of agriculture, in cooperation with the University of Minnesota extension service; the commissioners of administration; children, families, and learning; health; transportation; natural resources; and the pollution control agency; and other interested parties, must review the use of pesticide and integrated pest management techniques and practices as they are applied to the use and storage of pesticides in and around a representative sample of buildings owned by the state and buildings and grounds used for kindergarten through grade 12 public education. Recommendations by the commissioner of agriculture on the use and avoidance of pesticides and comprehensive integrated pest management practices in state buildings and kindergarten through grade 12 public school buildings, including the training of building managers and school personnel, must be presented to the environmental policy and finance committees of the legislature by January 15, 2001. (b) For purposes of the review and report in paragraph (a), the term "pesticide" has the meaning given in Minnesota Statutes, section 18B.01, subdivision 18, except that it does not include disinfectants, sanitizers, deodorizers, or antimicrobial agents for general cleaning purposes. Sec. 12. [FUND TRANSFERS.] Subdivision 1. [LAKEVILLE.] Notwithstanding Minnesota Statutes, section 123B.79 or 123B.80, independent school district No. 194, Lakeville, may transfer up to $1,000,000 from its reserved account for operating capital to the unreserved, undesignated general fund. When independent school district No. 194, Lakeville, attains a positive unreserved, undesignated general fund balance greater than ten percent of the most recent fiscal year's expenditures, the district shall transfer the amount exceeding ten percent to its reserve account for operating capital until an amount is transferred back that is equal to the amount transferred under this authority. This subdivision expires on December 31, 2014. Subd. 2. [CHOKIO-ALBERTA.] (a) Notwithstanding Minnesota Statutes, section 123B.58, 123B.79, or 123B.80, on June 30, 2000, upon approval of the commissioner of children, families, and learning, independent school district No. 771, Chokio-Alberta, may permanently transfer up to $121,000 from its reserved account for disabled accessibility to its undesignated general fund balance. (b) Prior to making the fund transfer, independent school district No. 771, Chokio-Alberta, must demonstrate to the commissioner's satisfaction that the district's school buildings are accessible to students or employees with disabilities. Subd. 3. [MAHTOMEDI.] Notwithstanding Minnesota Statutes, sections 123B.80, 123B.912, and 475.61, subdivision 4, on June 30, 2000, independent school district No. 832, Mahtomedi, may permanently transfer up to $525,000 from its debt redemption fund to its capital account in its general fund without making a levy reduction to purchase land for a school facility. Subd. 4. [NORMAN COUNTY EAST.] Notwithstanding Minnesota Statutes, sections 123B.79, 123B.80, and 475.61, subdivision 4, on June 2000, independent school district No. 2215, Norman County East, may permanently transfer up to $419,000 from its building construction fund to the reserved account for operating capital in the general fund without making a levy reduction. Subd. 5. [ST. FRANCIS.] Notwithstanding Minnesota Statutes, section 123B.53, on June 30, 2000, independent school district No. 15, St. Francis, may permanently transfer $543,000 from its debt service fund to the general fund to help the district out of statutory operating debt without making a levy reduction. This transfer is contingent upon the district maintaining 105 percent of principal and interest against the debt service fund liabilities. Subd. 6. [STAPLES-MOTLEY.] Notwithstanding Minnesota Statutes, sections 123B.79; 123B.80; and 475.61, subdivision 4, on May 31, 2000, independent school district No. 2170, Staples-Motley, may permanently transfer up to $71,000 from the debt service account of the former independent school district No. 483, Motley, to independent school district No. 2170, Staples-Motley's, operating capital fund without making a levy reduction. Subd. 7. [FERGUS FALLS.] Notwithstanding Minnesota Statutes, section 123B.79, 123B.80, or 475.61, subdivision 4, independent school district No. 544, Fergus Falls, on June 30, 2000, may permanently transfer up to $200,000 from the debt redemption fund to the general fund without making a levy reduction. Subd. 8. [CROOKSTON.] Notwithstanding Minnesota Statutes, section 123B.79, 123B.80, or 475.61, subdivision 4, independent school district No. 593, Crookston, on June 30, 2000, may permanently transfer up to $400,000 from the debt redemption fund to the general fund without making a levy reduction. Subd. 9. [LAKEVIEW SCHOOLS.] Notwithstanding any law to the contrary, independent school district No. 2167, Lakeview schools, is authorized to retain a cooperative facilities grant awarded in fiscal year 1995, and may permanently transfer that amount to its reserve account for operating capital. Subd. 10. [PARKERS PRAIRIE.] Notwithstanding Minnesota Statutes, section 123B.79, 123B.80, or 475.61, subdivision 4, independent school district No. 547, Parkers Prairie, on June 30, 2000, may permanently transfer up to $105,000 from the debt redemption fund to the reserved account for operating capital in the general fund without making a levy reduction. Subd. 11. [GRAND MEADOW.] Notwithstanding Minnesota Statutes, sections 123B.79; 123B.80; and 475.61, subdivision 4, independent school district No. 495, Grand Meadow, may permanently transfer up to $300,000 from its disabled access account in the general fund to its capital fund. This transfer is contingent upon the school district's successful construction of a new kindergarten through grade 12 school. Subd. 12. [WIN-E-MAC.] At the completion of the consolidation of independent school district No. 604, Mentor, and independent school district No. 2609, Win-E-Mac, up to $125,000 may be transferred from the former Mentor school district health and safety reserve fund to the Win-E-Mac health and safety reserve fund. Subd. 13. [BROWERVILLE.] Notwithstanding Minnesota Statutes, sections 123B.79, 123B.80, and 475.61, subdivision 4, on June 30, 2000, independent school district No. 787, Browerville, may permanently transfer up to $110,000 from its debt redemption fund to its general fund without making a levy reduction. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 13. [LEVY RESTORATION; INDEPENDENT SCHOOL DISTRICT NO. 2859, GLENCOE-SILVER LAKE.] (a) Due to the special circumstances of its consolidation, independent school district No. 2859, Glencoe-Silver Lake, may levy up to one-third of the total of the sum from paragraph (b) in each of the fiscal years 2002, 2003, and 2004 due to under-levy in the period immediately following the district's consolidation. (b) For each of the fiscal years of 1999, 2000, and 2001, the amount of the levy is equal to the sum of: (1) the difference between the maximum amount of levy authorized by law for the fiscal year and the amount of levy certified by independent school district No. 2859, Glencoe-Silver Lake, under Minnesota Statutes 1996 and 1997 Supplement, section 124.2725; (2) the difference between the maximum amount of levy authorized by law for the fiscal year and the amount of levy certified by independent school district No. 2859, Glencoe-Silver Lake, under Minnesota Statutes, section 126C.42; and (3) the difference between the maximum amount of levy authorized by law for the fiscal year and the amount of levy certified by independent school district No. 2859, Glencoe-Silver Lake, under Minnesota Statutes, section 126C.22. EFFECTIVE DATE: This section is effective for taxes payable in 2001. Sec. 14. [INTERMEDIATE DISTRICTS.] Notwithstanding any termination date in the agreements between the intermediate school districts and the Minnesota state colleges and universities board for the use of space in the technical colleges or any law to the contrary, the agreements shall not expire or terminate until June 30, 2010. Sec. 15. [APPROPRIATIONS.] Subdivision 1. [DEPARTMENT OF CHILDREN, FAMILIES, AND LEARNING.] The sums indicated in this section are appropriated from the general fund to the department of children, families, and learning for the fiscal years designated. Subd. 2. [MATCHING GRANTS FOR EDUCATION PROGRAMS SERVING HOMELESS CHILDREN.] For matching grants for education programs serving homeless children under Laws 1997, First Special Session chapter 4, article 2, section 48: $1,000,000 ..... 2001 This is a one-time appropriation. Subd. 3. [COOPERATIVE SECONDARY FACILITY; PLANNING AND EXPENSES.] For a grant and administrative expenses to facilitate planning for a cooperative secondary facility under a joint powers agreement for school district Nos. 411, Balaton, 402, Ivanhoe, 404, Lake Benton, 418, Russell, 584, Ruthton, and 409, Tyler: $100,000 ..... 2001 This is a one-time appropriation. Subd. 4. [BEST PRACTICES SEMINARS.] (a) For best practices graduation rule seminars and other professional development capacity building activities that assure proficiency in teaching and implementation of graduation rule standards: $5,000,000 ..... 2001 (b) The commissioner may make grants to Education Minnesota or other practitioners implementing or developing best practices. This appropriation is not intended to increase full-time equivalents or complements in the department of children, families, and learning. (c) Of this amount, $500,000 is for the Minnesota children's museum reading program, $1,000,000 is for the Minnesota new teacher project, and $1,000,000 is for an arts via the Internet collaborative project between the Walker art center and the Minneapolis institute of arts. (d) The base budget for this program is $5,000,000 for fiscal years 2002 and 2003. Of this amount, for fiscal year 2002, $1,000,000 is for arts via the Internet collaborative project between the Walker art center and the Minneapolis institute of arts. Subd. 5. [MAGNET SCHOOL FACILITIES GRANTS.] (a) For one-time magnet school facilities grants: $1,300,000 ..... 2001 (b) Of this amount, $1,200,000 is for the discovery magnet school in independent school district No. 347, Willmar, for one-time facility and other start-up costs to convert a traditional first and second grade school building and program to a magnet school facility serving children from birth through grade 4. The education program at the magnet facility shall emphasize birth through preschool parent education, all day, every day preschool and kindergarten programming, multiagency collaboration, second-language services for all students, multicultural programming, and parent goal setting. (c) Of this amount, $100,000 is to independent school district No. 696, Ely, to develop environmental curriculum related to the district's proximity to the Boundary Waters Canoe Area and Voyagers National Park. (d) This is a one-time appropriation. Subd. 6. [GEOGRAPHIC INFORMATION SYSTEMS.] To the director of the office of strategic and long-range planning to enhance the office's use of geographic information systems for educational demographics and other purposes: $156,000 ..... 2001 This is a one-time appropriation. Subd. 7. [GRANTS FOR SCHOOLS SERVING STUDENTS WITH CHEMICAL DEPENDENCIES.] For grants to schools serving students with chemical dependencies: $500,000 ..... 2001 The commissioner shall award grants to schools established exclusively to provide teens in recovery from alcohol and drug addiction a four-year high school education while maintaining sobriety. A sober high school located in Freeborn and a sober high school with campuses located in Edina and Oakdale/Maplewood shall receive up to $5,000 per pupil unit. This is a one-time appropriation. Subd. 8. [ASSISTANCE FOR IMMIGRANT FAMILIES.] For grants to organizations that assist immigrants, ages 12 to 24, in becoming literate and acquiring vocational skills: $500,000 ..... 2001 This is a one-time appropriation. Sec. 16. [REPEALER.] Minnesota Statutes 1999 Supplement, section 124D.1155, subdivision 5, is repealed. EFFECTIVE DATE: This section is effective the day following final enactment. ARTICLE 8 KINDERGARTEN THROUGH GRADE 12 EDUCATION LIBRARIES Section 1. Laws 1997, First Special Session chapter 4, article 8, section 4, as amended by Laws 1998, chapter 398, article 7, section 1, and Laws 1999, chapter 241, article 8, section 1, is amended to read: Sec. 4. [LIBRARY PROJECT.] Subdivision 1. [ESTABLISHMENT.] Notwithstanding law to the contrary and subject to approvals in subdivision 2, a public library may operate as a library project jointly with the school library at Nashwauk-Keewatin high school, located in the city of Nashwauk. The public library is established to serve persons within the boundaries of independent school district No. 319, except the city of Keewatin. Subd. 2. [APPROVALS.] Operation of the public library is contingent upon the governing bodies of cities, towns, and unorganized townships within the geographical boundaries of independent school district No. 319, except for the city of Keewatin, entering into a joint powers agreement under Minnesota Statutes 1998, section 471.59, to accomplish the purpose of this section. The joint powers agreement must provide for continuing the library project if onepartyor more parties to the agreement withdraws from or fails to enter into the agreement. For the purposes of this subdivision, the Itasca county board is designated as the governing body for the unorganized townships. Subd. 3. [BOARD; APPOINTMENTS.] The joint powers agreement in subdivision 2 shall provide for a library boardofup to seven members as follows: two members appointed by the school board of independent school district No. 319, one member appointed by each town board located within independent school district No. 319 boundaries that is a signatory to the joint powers agreement, one member appointed by the council of the city of Nashwauk, and one member appointed by the Itasca county board to represent the unorganized towns within the school district territory. Subd. 4. [BOARD TERMS; COMPENSATION.] The library board members shall serve for the term of the library project or to a maximum of three consecutive three-year terms. An appointing authority may remove for misconduct or neglect any member it has appointed to the board and may replace that member by appointment. Board members shall receive no compensation for their services but may be reimbursed for actual and necessary travel expenses incurred in the discharge of library board duties and activities. Subd. 5. [FUNDING.] For taxes payable in1998, 1999, 2000,2001, 2002, and 2003 only, and provided that the joint powers agreement under subdivision 2 has been executed by September 1 of the previous calendar year, the library board may levy a tax in an amount up to $25,000 annually on property located within the boundaries of independent school district No. 319, except the city of Keewatin. The Itasca county auditor shall collect the tax and distribute it to the library board. The levy shall be assessed against the individual members of the joint powers agreement. The money may be used for library staff and for the purchase of library materials, including computer software.Thelevy must also fund the amount necessary to receive bookmobileservices from the Arrowhead regional library system.For taxes payable in1998, 1999, 2000,2001, 2002, and 2003 only, the county may not levy under Minnesota Statutes, section 134.07, for the areas described in this section. Subd. 6. [BUILDING.] The school district shall provide the physical space and costs associated with operating the library including, but not limited to, heat, light, telephone service, and maintenance. Subd. 7. [ORGANIZATION.] Immediately after appointment, the library board shall organize by electing one of its number as president and one as secretary, and it may appoint other officers it finds necessary. Subd. 8. [DUTIES.] The library board shall adopt bylaws and regulations for the library and for the conduct of its business as may be expedient and conformable to law. It shall have exclusive control of the expenditure of all money collected for it. The library board shall appoint a qualified library director and other staff, establish the compensation of employees, and remove any of them for cause. The library board may contract with the school board, the regional library board, or the city in which the library is located to provide personnel, fiscal, or administrative services. The contract shall state the personnel, fiscal, and administrative services and payments to be provided by each party. Subd. 9. [CRITERIA.] The library shall meet all requirements in statutes and rules applicable to public libraries and school media centers. A media supervisor licensed by the board of teaching may be the director of the library. Public parking, restrooms, drinking water, and other necessities shall be easily accessible to library patrons. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 2. Laws 1999, chapter 241, article 8, section 4, subdivision 4, is amended to read: Subd. 4. [REGIONAL LIBRARY TELECOMMUNICATIONS AID.] For grants to regional public library systems under Minnesota Statutes, section 125B.20, subdivision 3: $1,200,000 ..... 2000$1,200,000$3,606,000 ..... 2001 Any balance in the first year does not cancel but is available in the second year. Notwithstanding Minnesota Statutes, section 125B.20, subdivision 3, this appropriation may be used for video lines in addition to the uses under Minnesota Statutes, section 125B.20, subdivision 3. The budget base for this program for fiscal years 2002 and 2003 is $1,200,000 for each year. Sec. 3. Laws 1999, chapter 241, article 8, section 4, subdivision 5, is amended to read: Subd. 5. [LIBRARY FOR THE BLIND.] For compact shelving, technology, and staffing for the Minnesota library for the blind and physically handicapped: $212,000 ..... 2000 This appropriation is available until June 30, 2001. EFFECTIVE DATE: This section is effective the day following final enactment. ARTICLE 9 KINDERGARTEN THROUGH GRADE 12 EDUCATION STATE AGENCIES Section 1. Laws 1999, chapter 241, article 10, section 6, is amended to read: Sec. 6. [APPROPRIATIONS; LOLA AND RUDY PERPICH MINNESOTA CENTER FOR ARTS EDUCATION.] The sums indicated in this section are appropriated from the general fund to the center for arts education for the fiscal years designated: $7,239,000 ..... 2000 $7,400,000 ..... 2001 Of each year's appropriation, $154,000 is to fund artist and arts organization participation in the education residency and education technology projects, $75,000 is for school support for the residency project, $121,000 is for further development of the partners: arts and school for students (PASS) program, including pilots, and$220,000$110,000 is to fund the center for arts education base for asset preservation and facility repair. The guidelines for the education residency project and the pass program shall be developed and defined by the center for arts education in cooperation with the Minnesota arts board. The Minnesota arts board shall participate in the review and allocation process. The center for arts education and the Minnesota arts board shall cooperate to fund these projects. Any balance in the first year does not cancel but is available in the second year. EFFECTIVE DATE: This section is effective the day following final enactment. Sec. 2. [DEPARTMENT OF CHILDREN, FAMILIES, AND LEARNING.] (a) The sums indicated in this section are appropriated from the general fund unless otherwise indicated to the department of children, families, and learning for the fiscal years designated. $32,316,000 ..... 2000 $29,785,000 ..... 2001 (b) Any balance the first year does not cancel but is available in the second year. (c) $21,000 each year is from the trunk highway fund. (d) $673,000 in 2000 and $678,000 in 2001 is for the board of teaching. (e) Notwithstanding Minnesota Statutes, section 15.53, subdivision 2, the commissioner of children, families, and learning may contract with a school district for a period no longer than five consecutive years to work in the development or implementation of the graduation rule. The commissioner may contract for services and expertise as necessary. The contracts are not subject to Minnesota Statutes, section 16B.06. (f) $165,000 in 2000 is for the state board of education. Any functions of the state board of education that are not specifically transferred to another agency are transferred to the department of children, families, and learning under Minnesota Statutes, section 15.039. For the position that is classified, upon transferring the responsibilities, the current incumbent is appointed to the classified position without exam or probationary period. (g) $2,000,000 in 2000 is for litigation costs and may only be used for those purposes. This appropriation is available until June 30, 2001. This is a one-time appropriation. EFFECTIVE DATE: This section is effective retroactive to July 1, 1999. Sec. 3. [REPEALER.] Laws 1999, chapter 241, article 10, section 5, is repealed retroactive to July 1, 1999. EFFECTIVE DATE: This section is effective retroactive to July 1, 1999. ARTICLE 10 KINDERGARTEN THROUGH GRADE 12 EDUCATION TECHNICAL, CONFORMING, AND CLARIFYING AMENDMENTS Section 1. Minnesota Statutes 1998, section 120A.22, subdivision 3, is amended to read: Subd. 3. [PARENT DEFINED; RESIDENCY DETERMINED.] (a) In this section and sections 120A.24,and 120A.26,and 120A.41,"parent" means a parent, guardian, or other person having legal custody of a child. (b) In sections 125A.03 to 125A.24 and 125A.65, "parent" means a parent, guardian, or other person having legal custody of a child under age 18. For an unmarried pupil age 18 or over, "parent" means the pupil unless a guardian or conservator has been appointed, in which case it means the guardian or conservator. (c) For purposes of sections 125A.03 to 125A.24 and 125A.65, the school district of residence for an unmarried pupil age 18 or over who is a parent under paragraph (b) and who is placed in a center for care and treatment, shall be the school district in which the pupil's biological or adoptive parent or designated guardian resides. (d) For a married pupil age 18 or over, the school district of residence is the school district in which the married pupil resides. Sec. 2. Minnesota Statutes 1998, section 123B.02, is amended by adding a subdivision to read: Subd. 5a. [TRESPASSES ON SCHOOL PROPERTY.] Trespasses on school property shall be governed according to section 609.605, subdivision 4. Sec. 3. Minnesota Statutes 1998, section 123B.85, subdivision 1, is amended to read: Subdivision 1. [APPLICATION.] The following words and terms in sections 121A.585, 121A.59, 123B.84 to 123B.87,and123B.89 to123B.90, and 123B.91, shall have the following meanings ascribed to them. Sec. 4. Minnesota Statutes 1999 Supplement, section 124D.128, subdivision 2, is amended to read: Subd. 2. [COMMISSIONER DESIGNATION.] An area learning center designated by the state must be a site. To be designated, a district or center must demonstrate to the commissioner that it will: (1) provide a program of instruction that permits pupils to receive instruction throughout the entire year; and (2) maintain a record system that, for purposes of section124.17126C.05, permits identification of membership attributable to pupils participating in the program. The record system and identification must ensure that the program will not have the effect of increasing the total number of pupil units attributable to an individual pupil as a result of a learning year program. Sec. 5. Minnesota Statutes 1998, section 124D.454, subdivision 2, is amended to read: Subd. 2. [DEFINITIONS.] For the purposes of this sectionand section 125A.77, the definitions in this subdivision apply. (a) "Base year" for fiscal year 1996 means fiscal year 1995. Base year for later fiscal years means the second fiscal year preceding the fiscal year for which aid will be paid. (b) "Basic revenue" has the meaning given it in section 126C.10, subdivision 2. For the purposes of computing basic revenue pursuant to this section, each child with a disability shall be counted as prescribed in section 126C.05, subdivision 1. (c) "Average daily membership" has the meaning given it in section 126C.05. (d) "Program growth factor" means 1.00 for fiscal year 1998 and later. (e) "Aid percentage factor" means 60 percent for fiscal year 1996, 70 percent for fiscal year 1997, 80 percent for fiscal year 1998, 90 percent for fiscal year 1999, and 100 percent for fiscal year 2000 and later. Sec. 6. Minnesota Statutes 1998, section 124D.454, subdivision 10, is amended to read: Subd. 10. [EXCLUSION.] A district shall not receive aid pursuant to section 124D.453,or 125A.76, or 125A.77for salaries, supplies, travel or equipment for which the district receives aid pursuant to this section. Sec. 7. Minnesota Statutes 1999 Supplement, section 125A.023, subdivision 3, is amended to read: Subd. 3. [DEFINITIONS.] For purposes of this section and section 125A.027, the following terms have the meanings given them: (a) "Health plan" means: (1) a health plan under section 62Q.01, subdivision 3; (2) a county-based purchasing plan under section 256B.692; (3) a self-insured health plan established by a local government under section 471.617; or (4) self-insured health coverage provided by the state to its employees or retirees. (b) For purposes of this section, "health plan company" means an entity that issues a health plan as defined in paragraph (a). (c) "Individual interagency intervention plan" means a standardized written plan describing those programs or services and the accompanying funding sources available to eligible children with disabilities. (d) "Interagency intervention service system" means a system that coordinates services and programs required in state and federal law to meet the needs of eligible children with disabilities ages three to 21, including: (1) services provided under the following programs or initiatives administered by state or local agencies: (i) the maternal and child health program under title V of the Social Security Act, United States Code, title 42, sections 701 to 709; (ii) the Individuals with Disabilities Education Act under United States Code, title 20, chapter 33, subchapter II, sections 1411 to 1420; (iii) medical assistance under the Social Security Act, United States Code, title 42, chapter 7, subchapter XIX, section 1396, et seq.; (iv) the Developmental Disabilities Assistance and Bill of Rights Act, United States Code, title 42, chapter 75, subchapter II, sections 6021 to 6030, Part B; (v) the Head Start Act, United States Code, title 42, chapter 105, subchapter II, sections 9831 to 9852; (vi) rehabilitation services provided under chapter 268A; (vii) Juvenile Court Act services provided under sections 260.011 to 260.91; 260B.001 to 260B.446; and 260C.001 to 260C.451; (viii) the children's mental health collaboratives under section 245.493; (ix) the family service collaboratives under section 124D.23; (x) the family community support plan under section 245.4881, subdivision 4; (xi) the MinnesotaCare program under chapter 256L; (xii) the community health services grants under chapter 145; (xiii) the Community Social Services Act funding under the Social Security Act, United States Code, title 42, sections 1397 to 1397f; and (xiv) the communityinteragencytransition interagency committees under section 125A.22; (2) services provided under a health plan in conformity with an individual family service plan or an individual education plan; and (3) additional appropriate services that local agencies and counties provide on an individual need basis upon determining eligibility and receiving a request from the interagency early intervention committee and the child's parent. (e) "Children with disabilities" has the meaning given in section 125A.02. (f) A "standardized written plan" means those individual services or programs available through the interagency intervention service system to an eligible child other than the services or programs described in the child's individual education plan or the child's individual family service plan. Sec. 8. Minnesota Statutes 1999 Supplement, section 125A.023, subdivision 5, is amended to read: Subd. 5. [INTERVENTION DEMONSTRATION PROJECTS.] (a) The commissioner of children, families, and learning, based on recommendations from the state interagency committee, shall issue a request for proposals by January 1, 1999, for grants to the governing boards of interagency early intervention committees under section 125A.027 or a combination of one or more counties and school districts to establish five voluntary interagency intervention demonstration projects. One grant shall be used to implement a coordinated service system for all eligible children with disabilities up to age five who received services under sections 125A.26 to 125A.48. One grant shall be used to implement a coordinated service system for a population of minority children with disabilities from ages 12 to 21, who may have behavioral problems and are in need of transitional services. Each project must be operational by July 1, 1999. The governing boards of the interagency early intervention committees and the counties and school districts receiving project grants must develop efficient ways to coordinate services and funding for children with disabilities ages three to 21, consistent with the requirements of this section and section 125A.027 and the guidelines developed by the state interagency committee under this section. (b) The state interagency committee shall evaluate the demonstration projects and provide the evaluation results to interagency early intervention committees. Sec. 9. Minnesota Statutes 1999 Supplement, section 125A.08, is amended to read: 125A.08 [SCHOOL DISTRICT OBLIGATIONS.] (a) As defined in this section,to the extent required byfederal law as of July 1, 2000,every district must ensure the following: (1) all students with disabilities are provided the special instruction and services which are appropriate to their needs. Where the individual education plan team has determined appropriate goals and objectives based on the student's needs, including the extent to which the student can be included in the least restrictive environment, and where there are essentially equivalent and effective instruction, related services, or assistive technology devices available to meet the student's needs, cost to the district may be among the factors considered by the team in choosing how to provide the appropriate services, instruction, or devices that are to be made part of the student's individual education plan. The individual education plan team shall consider and may authorize services covered by medical assistance according to section 256B.0625, subdivision 26. The student's needs and the special education instruction and services to be provided must be agreed upon through the development of an individual education plan. The plan must address the student's need to develop skills to live and work as independently as possible within the community. By grade 9 or age 14, the plan must address the student's needs for transition from secondary services to post-secondary education and training, employment, community participation, recreation, and leisure and home living. In developing the plan, districts must inform parents of the full range of transitional goals and related services that should be considered. The plan must include a statement of the needed transition services, including a statement of the interagency responsibilities or linkages or both before secondary services are concluded; (2) children with a disability under age five and their families are provided special instruction and services appropriate to the child's level of functioning and needs; (3) children with a disability and their parents or guardians are guaranteed procedural safeguards and the right to participate in decisions involving identification, assessment including assistive technology assessment, and educational placement of children with a disability; (4) eligibility and needs of children with a disability are determined by an initial assessment or reassessment, which may be completed using existing data under United States Code, title 20, section 33, et seq.; (5) to the maximum extent appropriate, children with a disability, including those in public or private institutions or other care facilities, are educated with children who are not disabled, and that special classes, separate schooling, or other removal of children with a disability from the regular educational environment occurs only when and to the extent that the nature or severity of the disability is such that education in regular classes with the use of supplementary services cannot be achieved satisfactorily; (6) in accordance with recognized professional standards, testing and evaluation materials, and procedures used for the purposes of classification and placement of children with a disability are selected and administered so as not to be racially or culturally discriminatory; and (7) the rights of the child are protected when the parents or guardians are not known or not available, or the child is a ward of the state. (b) For paraprofessionals employed to work in programs for students with disabilities, the school board in each district shall ensure that: (1) before or immediately upon employment, each paraprofessional develops sufficient knowledge and skills in emergency procedures, building orientation, roles and responsibilities, confidentiality, vulnerability, and reportability, among other things, to begin meeting the needs of the students with whom the paraprofessional works; (2) annual training opportunities are available to enable the paraprofessional to continue to further develop the knowledge and skills that are specific to the students with whom the paraprofessional works, including understanding disabilities, following lesson plans, and implementing follow-up instructional procedures and activities; and (3) a districtwide process obligates each paraprofessional to work under the ongoing direction of a licensed teacher and, where appropriate and possible, the supervision of a school nurse. Sec. 10. Minnesota Statutes 1998, section 125A.76, subdivision 7, is amended to read: Subd. 7. [REVENUE ALLOCATION FROM COOPERATIVE CENTERS AND INTERMEDIATES.] For the purposes of this sectionand section125A.77, a special education cooperative or an intermediate district must allocate its approved expenditures for special education programs among participating school districts. Sec. 11. Minnesota Statutes 1999 Supplement, section 125A.79, subdivision 8, is amended to read: Subd. 8. [OUT-OF-STATE TUITION.] For children who are residents of the state, receive services under section 125A.76, subdivisions 1 and 2, and are placed in a care and treatment facility by court action in a state that does not have a reciprocity agreement with the commissioner under section125A.115125A.155, the resident school district shall submit the balance of the tuition bills, minus the amount of the basic revenue, as defined by section 126C.10, subdivision 2, of the district for the child and the special education aid, and any other aid earned on behalf of the child. Sec. 12. Minnesota Statutes 1999 Supplement, section 125A.80, is amended to read: 125A.80 [UNIFORM BILLING SYSTEM FOR THE EDUCATION COSTS OF OUT-OF-HOME PLACED STUDENTS.] The commissioner, in cooperation with the commissioners of human services and corrections and with input from appropriate billing system users, shall develop and implement a uniform billing system for school districts and other agencies, including private providers, who provide the educational services for students who are placed out of the home. The uniform billing system must: (1) allow for the proper and timely billing to districts by service providers with a minimum amount of district administration; (2) allow districts to bill the state for certain types of special education and regular education services as provided by law; (3) provide flexibility for the types of services that are provided for children placed out of the home, including day treatment services; (4) allow the commissioner to track the type, cost, and quality of services provided for children placed out of the home; (5) conform existing special education and proposed regular education billing procedures; (6) provide a uniform reporting standard of per diem rates; (7) determine allowable expenses and maximum reimbursement rates for the state reimbursement of care and treatment servicesaccording to section 124D.701; and (8) provide a process for the district to appeal to the commissioner tuition bills submitted to districts and to the state. Sec. 13. Minnesota Statutes 1999 Supplement, section 125B.21, subdivision 3, is amended to read: Subd. 3. [CRITERIA.] In addition to responsibilities of the council under Laws 1993, First Special Session chapter 2, as amended, the telecommunications council shall evaluate grant applications under section124C.74125B.20 and applications from district organizations using the following criteria: (1) evidence of cooperative arrangements with other post-secondary institutions, school districts, and community and regional libraries in the geographic region; (2) plans for shared classes and programs; (3) avoidance of network duplication; (4) evidence of efficiencies to be achieved in delivery of instruction due to use of telecommunications; (5) a plan for development of a list of all courses available in the region for delivery at a distance; (6) a plan for coordinating and scheduling courses; and (7) a plan for evaluation of costs, access, and outcomes. Sec. 14. Minnesota Statutes 1998, section 126C.12, subdivision 2, is amended to read: Subd. 2. [INSTRUCTOR DEFINED.] Primary instructor means a public employee licensed by the board of teaching whose duties are full-time instruction, excluding a teacher for whom categorical aids are received pursuant tosectionssection 125A.76and 125A.77. Except as provided in section 122A.68, subdivision 6, instructor does not include supervisory and support personnel, except school social workers as defined in section 122A.15. An instructor whose duties are less than full-time instruction must be included as an equivalent only for the number of hours of instruction in grades kindergarten through 6. Sec. 15. Minnesota Statutes 1998, section 127A.05, subdivision 4, is amended to read: Subd. 4. [ADMINISTRATIVE RULES.] The commissioner may adopt new rulesand amend themor amend any existing rules only under specific authority and consistent with the requirements of chapter 14. The commissioner may repeal any existing rules adopted by the commissioner. Notwithstanding the provisions of section 14.05, subdivision 4, the commissioner may grant a variance to rules adopted by the commissioner upon application by a school district for purposes of implementing experimental programs in learning or school management. This subdivision shall not prohibit the commissioner from making technical changes or corrections toadoptedrules adopted by the commissioner. Sec. 16. Minnesota Statutes 1998, section 127A.41, subdivision 8, is amended to read: Subd. 8. [APPROPRIATION TRANSFERS.] If a direct appropriation from the general fund to the department for any education aid or grant authorized in this chapter and chapters 122A, 123A, 123B, 124D, 126C, and 134, excluding appropriations under sections 124D.135,124D.14,124D.16, 124D.20, 124D.21, 124D.22, 124D.52, 124D.53, 124D.54, 124D.55, and 124D.56, exceeds the amount required, the commissioner may transfer the excess to any education aid or grant appropriation that is insufficient. However, section 126C.20 applies to a deficiency in the direct appropriation for general education aid. Excess appropriations must be allocated proportionately among aids or grants that have insufficient appropriations. The commissioner of finance shall make the necessary transfers among appropriations according to the determinations of the commissioner. If the amount of the direct appropriation for the aid or grant plus the amount transferred according to this subdivision is insufficient, the commissioner shall prorate the available amount among eligible districts. The state is not obligated for any additional amounts. Sec. 17. Minnesota Statutes 1998, section 127A.41, subdivision 9, is amended to read: Subd. 9. [APPROPRIATION TRANSFERS FOR COMMUNITY EDUCATION PROGRAMS.] If a direct appropriation from the general fund to the department of children, families, and learning for an education aid or grant authorized under section 124D.135,124D.14,124D.16, 124D.20, 124D.21, 124D.22, 124D.52, 124D.53, 124D.54, 124D.55, or 124D.56 exceeds the amount required, the commissioner of children, families, and learning may transfer the excess to any education aid or grant appropriation that is insufficiently funded under these sections. Excess appropriations shall be allocated proportionately among aids or grants that have insufficient appropriations. The commissioner of finance shall make the necessary transfers among appropriations according to the determinations of the commissioner of children, families, and learning. If the amount of the direct appropriation for the aid or grant plus the amount transferred according to this subdivision is insufficient, the commissioner shall prorate the available amount among eligible districts. The state is not obligated for any additional amounts. Sec. 18. Minnesota Statutes 1999 Supplement, section 181A.04, subdivision 6, is amended to read: Subd. 6. A high school student under the age of 18 must not be permitted to work after 11:00 p.m. on an evening before a school day or before 5:00 a.m. on a school day, except as permitted by section 181A.07, subdivisions 1, 2, 3, and 4. If a high school student under the age of 18 has supplied the employer with a note signed by the parent or guardian of the student, the student may be permitted to work until 11:30 p.m. on the evening before a school day and beginning at 4:30 a.m. on a school day. For the purpose of this subdivision, a high school student does not include a student enrolled in an alternative education program approved by the commissioner of children, families, and learning or an area learning center, including area learning centers under sections 123A.05 to 123A.08 or according to section122A.164122A.163. Sec. 19. Laws 1999, chapter 241, article 1, section 69, is amended to read: Sec. 69. [REPEALER.] (a) Minnesota Statutes 1998, sections 123B.89; and 123B.92, subdivisions 2, 4, 6, 7, 8, and 10, are repealed. (b) Minnesota Statutes 1998, section 120B.05, is repealed effective for revenue for fiscal year 2000. (c) Minnesota Statutes 1998, section 124D.65, subdivisions 1, 2, and 3, are repealed effective for revenue for fiscal year 2001. (d) Minnesota Statutes 1998, sections 124D.67; 126C.05, subdivision 4; and 126C.06, are repealed effective the day following final enactment.This appropriation is available until June 30, 2001.Sec. 20. Laws 1999, chapter 241, article 9, section 49, is amended to read: Sec. 49. [TRANSITION.] Notwithstanding Minnesota Statutes, section 15.0597, the terms of persons who are members appointed by the governor before the effective date of section837, shall have their term end on July 31 of the year following the last year of their appointment. Sec. 21. [REVISOR INSTRUCTION.] In the next and subsequent editions of Minnesota Statutes, the revisor shall renumber section 123B.02, subdivision 12, as 120A.22, subdivision 1a. The revisor shall correct all cross-references to be consistent with the renumbering. Sec. 22. [REPEALER.] Laws 1999, chapter 241, article 9, sections 35 and 36, and chapter 245, article 4, section 3, are repealed. ARTICLE 11 HIGHER EDUCATION Section 1. [HIGHER EDUCATION APPROPRIATIONS.] The sums in the columns marked "APPROPRIATIONS" are appropriated from the general fund, or other named fund, to the agencies and for the purposes specified in this article. The listing of an amount under the figure "2000" or "2001" in this article indicates that the amount is appropriated to be available for the fiscal year ending June 30, 2000, or June 30, 2001, respectively. "The first year" is fiscal year 2000. "The second year" is fiscal year 2001. "The biennium" is fiscal years 2000 and 2001. SUMMARY BY FUND 2000 2001 TOTAL General $ 5,800,000 $ 8,200,000 $ 14,000,000 SUMMARY BY AGENCY - ALL FUNDS 2000 2001 TOTAL Board of Trustees of the Minnesota State Colleges and Universities 5,800,000 7,380,000 13,180,000 Board of Regents of the University of Minnesota -0- 820,000 820,000 APPROPRIATIONS Available for the Year Ending June 30 2000 2001 Sec. 2. BOARD OF TRUSTEES OF THE MINNESOTA STATE COLLEGES AND UNIVERSITIES Subdivision 1. Total Appropriation 5,800,000 7,380,000 The amounts that may be spent from this appropriation for each purpose are specified in the following subdivisions. Subd. 2. Deficiency Appropriations 5,800,000 5,800,000 This is a deficiency appropriation for increased enrollments. This appropriation is in addition to the appropriation in Laws 1999, chapter 214, article 1, section 3, subdivision 1. This is a one-time appropriation. Subd. 3. Farm Business Management -0- 250,000 This appropriation is to provide educational and management services to a greater number of farmers facing financial hardship in the farm wrap and farm help network service areas. Subd. 4. Urban Teacher Preparation -0- 1,250,000 This appropriation is for the development and implementation of the secondary and early childhood education components of the program established by this subdivision. (a) The board shall offer a program of teacher preparation leading to licensure, involving Metropolitan State University, Inver Hills Community College, and Minneapolis Community and Technical College. The institutions involved shall enter into an agreement whereby Inver Hills Community College and Minneapolis Community and Technical College shall provide the first two years of the program, and Metropolitan State University shall provide the final two years of the program. In fall semester 2000, Minneapolis Community and Technical College and Inver Hills Community College shall offer a preeducation program. After development of the program in fiscal year 2001, Metropolitan State University shall begin its licensure program in fall semester 2001. The program shall focus on preparing teachers to meet the specific needs of urban and inner-ring suburban schools and shall emphasize significant direct classroom teaching experience and mentoring throughout each student's preparation. The program may also focus on the professional development of pretenure teachers. Metropolitan State University, Inver Hills Community College, and Minneapolis Community and Technical College are encouraged to enter into partnerships with urban and inner-ring suburban schools to provide for significant involvement of elementary and secondary teachers in the mentoring of students enrolled in the program. (b) The legislature expects the program to enroll at least 50 percent students of color. (c) By February 15, 2002, and annually thereafter, the board of trustees shall provide a progress report to the chairs of the higher education finance divisions of the legislature regarding the development of the teacher preparation program. The annual report shall include, to the extent practicable at the time of preparation, information comparing program outcomes with the target expectations set forth in paragraph (b). The report shall include feedback from enrolled students concerning how the program meets their needs, as well as from cooperating elementary and secondary schools on how the students are performing on site. Subd. 5. Cook County Higher Education Project -0- 80,000 This appropriation is for the Cook county higher education project for delivery of educational services electronically due to the lack of access to higher education services in the area. The board shall submit a report in the biennial budget document on uses of the appropriation. The report shall include information regarding the number of students served, credit hours delivered, other services provided, strategic direction of the project, expected future funding sources, and collaborations with other organizations. Subd. 6. Allocation For Excess Health Care Costs The board must provide relief to campuses who have experienced health care cost increases of greater than 80 percent above the systemwide average increase since 1996. Sec. 3. BOARD OF REGENTS OF THE UNIVERSITY OF MINNESOTA Subdivision 1. Total Appropriation 820,000 The amounts that may be spent from this appropriation for each purpose are specified in the following subdivisions. Subd. 2. Duluth; Child Care -0- 220,000 This is a one-time appropriation for start-up costs for child care in the newly renovated Kirby Center. Subd. 3. Special Appropriation Agricultural Rapid Response Fund -0- 600,000 This appropriation is for the rapid agricultural response fund. The university shall report on the uses of this appropriation in the biennial budget document. This appropriation is added to the appropriation in Laws 1999, chapter 214, article 1, section 4, subdivision 5, paragraph (a). Sec. 4. Minnesota Statutes 1998, section 136A.125, is amended by adding a subdivision to read: Subd. 4c. [UNEXPENDED BALANCE.] Any unexpended appropriation in the child care grant program in the first year of a biennium shall be used to augment the maximum award in subdivision 4 in the second year of the biennium. Sec. 5. Laws 1999, chapter 214, article 1, section 4, subdivision 2, is amended to read: Subd. 2. Operations and Maintenance 513,279,000 533,870,000 Estimated Expenditures and Appropriations The legislature estimates that instructional expenditures will be $461,521,000 in the first year and $484,679,000 in the second year. The legislature estimates that noninstructional expenditures will be $202,367,000 in the first year and $201,717,000 in the second year. By January 30, 2000, the University shall submit to the governor and the legislature a master academic plan for the Rochester region that clearly defines the academic needs of the region, short and long-term plans to address those needs including the designation of responsibility among the partner institutions, short and long-term demographic and enrollment projections, physical plant capacity and needs, and a delineation of missions among the partner institutions to avoid competition and duplication. Notwithstanding Minnesota Statutes 1998, section 137.022, subdivision 4, in fiscal year 2001 the first $200,000 of permanent university fund income from royalties for mining under state mineral leases designated for the natural resources research institute shall be allocated by the board of regents to the department of landscape architecture to develop a long-range plan for the reclamation of taconite mining lands. The board shall allocate the moneyonly if an equal or greateramount of matching money from nonstatesources has been pledged to support theproject by June 30, 2000in increments of $50,000 as each $50,000 is matched by nonstate sources, provided that no money may be allocated after June 30, 2001. The University of Minnesota academic health center, after consultation with the health care community and medical education and research costs advisory committee, shall report by January 15, 2000, to the higher education finance committees on the strategic direction of its health professional programs. The plans shall include a programmatic and financial model for health professional education that will meet the state's future workforce needs, maintain the integrity of the education process, provide an appropriate level of ongoing financial support, and provide a framework for the health community and academic health center to work together in meeting the health needs of the state. The academic health center is requested to provide the report also to the commissioner of health and the legislative commission on health care access. Sec. 6. [FACILITY USE ANALYSIS OF MINNESOTA STATE COLLEGES AND UNIVERSITIES AND INTERMEDIATE SCHOOL DISTRICTS.] The intermediate school districts and the board of trustees of the Minnesota state colleges and universities shall contract with the management analysis division of the department of administration for an analysis and report to the legislature on the educational space needs of Century community and technical college and intermediate school district No. 916, Dakota county technical college and intermediate school district No. 917, and Hennepin technical college and intermediate school district No. 287. The board of trustees will pay 50 percent of the cost of the contract and the intermediate school districts will pay the remainder. The report shall: (a) include an analysis of current and future educational space needs in buildings shared by the intermediate school districts and Minnesota state colleges and universities; (b) include information on the amount paid from property taxes to construct the space used by intermediate school districts in each facility under Minnesota state colleges and universities control; (c) analyze areas where the missions and space requirements are compatible and long-term sharing of space will efficiently serve students; (d) include recommendations, if any, for amendments to the current joint powers agreements; and (e) recommend facility arrangements and financing alternatives for space needed to relocate programs or services provided by intermediate school districts. The alternative financing recommendations may include, but are not limited to, state appropriations, state capital bonding, local bonding, or local levies to provide instructional and administrative space. The report shall be delivered to the kindergarten through grade 12 and higher education committees of the legislature prior to February 1, 2001. Notwithstanding any termination date in the agreements between the intermediate school districts and the Minnesota state colleges and universities board for the use of space in the technical colleges or any law to the contrary, the agreements shall not expire or terminate until June 30, 2010. Sec. 7. [MANAGEMENT ANALYSIS OF MINNESOTA STATE COLLEGES AND UNIVERSITIES.] The management analysis division of the department of administration must review board-level administration and management of the Minnesota state colleges and universities and make recommendations to the board of trustees and the legislature by February 1, 2001, as to: (1) the extent that the board should delegate its control and authority over internal system operations, including, but not limited to, contracting, employment responsibilities, and hiring and supervisory authority with respect to campus presidents; (2) the necessity for an independent staff for the board of trustees and if necessary, the appropriate role for such independent staff; (3) other issues deemed important to the improvement of board-level management; and (4) practices that will improve reporting by the system to the board. The board of trustees must contract with the management analysis division of the department of administration for the study under this section. Sec. 8. [REPEALER.] Minnesota Rules, parts 4830.9005; 4830.9010; 4830.9015; 4830.9020; and 4830.9030, are repealed. Sec. 9. [EFFECTIVE DATE.] Sections 1 to 8 are effective the day following final enactment. Presented to the governor May 11, 2000 Signed by the governor May 15, 2000, 6:55 p.m.
Official Publication of the State of Minnesota
Revisor of Statutes