Key: (1) language to be deleted (2) new language
CHAPTER 9-H.F.No. 51
An act relating to education; providing for early
childhood, family, and kindergarten through grade 12
education including general education, education
excellence, special programs, facilities and
technology, nutrition, school accounting, other
programs, libraries, early childhood family support,
prevention, self-sufficiency and life long learning,
state agencies, deficiencies, and technical
amendments; providing for rulemaking; appropriating
money; amending Minnesota Statutes 2002, sections
12.21, subdivision 3; 84A.51, subdivision 4; 119A.52;
119A.53; 119B.011, subdivision 20; 120A.05,
subdivisions 9, 11; 120A.24, subdivision 4; 120A.41;
121A.21; 121A.41, subdivision 10; 121A.55; 121A.61,
subdivision 3; 121A.64; 122A.09, subdivisions 4, 10;
122A.12, subdivisions 1, 2; 122A.18, subdivision 7a;
122A.21; 122A.22; 122A.41, subdivision 2; 122A.414, by
adding a subdivision; 122A.415, subdivisions 1, 3;
122A.58; 122A.63, subdivision 3; 123A.06, subdivision
3; 123A.18, subdivision 2; 123A.73, subdivisions 3, 4,
5; 123B.02, subdivision 1; 123B.14, subdivision 1;
123B.51, subdivisions 3, 4; 123B.52, by adding a
subdivision; 123B.53, subdivision 4; 123B.57,
subdivisions 1, 4, 6; 123B.59, subdivisions 1, 2, 3,
5, by adding a subdivision; 123B.63, subdivisions 1,
2, 3, 4; 123B.72, subdivision 3; 123B.75, subdivision
5; 123B.88, subdivision 2; 123B.90, subdivisions 2, 3;
123B.91, subdivision 1; 123B.92, subdivisions 1, 3, 9;
123B.93; 124D.03, subdivision 12; 124D.081, by adding
a subdivision; 124D.09, subdivisions 3, 9, 10, 13, 16,
20; 124D.10, subdivisions 2a, 3, 4, 13, 16, 20, 23a;
124D.11, subdivisions 1, 2, 4, 6, 9; 124D.118,
subdivision 4; 124D.13, subdivisions 2, 4, 8;
124D.135, subdivisions 1, 8; 124D.15, subdivision 7;
124D.16, subdivisions 1, 6; 124D.19, subdivision 3;
124D.20, subdivisions 3, 5, by adding subdivisions;
124D.22, subdivision 3; 124D.42, subdivision 6;
124D.454, subdivisions 1, 2, 3, 8, 10, by adding a
subdivision; 124D.52, subdivisions 1, 3; 124D.531,
subdivisions 1, 2, 4, 7; 124D.59, subdivision 2;
124D.65, subdivision 5; 124D.86, subdivisions 1a, 3,
4, 5, 6; 125A.05; 125A.12; 125A.21, subdivision 2;
125A.28; 125A.30; 125A.76, subdivisions 1, 4; 125A.79,
subdivisions 1, 6; 126C.05, subdivisions 8, 14, 15,
16, 17, by adding a subdivision; 126C.10, subdivisions
1, 3, 4, 17, 24, 28, by adding subdivisions; 126C.13,
subdivision 4; 126C.15, subdivision 1; 126C.17,
subdivisions 1, 2, 5, 7, 7a, 9, 13; 126C.21,
subdivision 3; 126C.40, subdivision 1; 126C.42,
subdivision 1; 126C.43, subdivisions 2, 3; 126C.44;
126C.45; 126C.457; 126C.48, subdivision 3; 126C.63,
subdivisions 5, 8; 126C.69, subdivisions 2, 9;
127A.05, subdivision 4; 127A.45, subdivisions 2, 3,
7a, 10, 12, 13, 14, 14a, 16; 127A.47, subdivisions 7,
8; 127A.49, subdivisions 2, 3; 128C.02, subdivision 1;
128C.05, by adding a subdivision; 128D.11, subdivision
8; 134.34, subdivision 4; 134.47, subdivision 1;
169.26, subdivision 3; 169.28, subdivision 1; 169.435;
169.449, subdivision 1; 169.4501, subdivisions 3, 4;
169.4503, subdivision 4; 169.454, subdivisions 2, 6;
169.973, subdivision 1; 171.321, subdivision 5;
178.02, subdivision 1; 200.02, subdivisions 7, 23;
205A.03, subdivisions 1, 3, 4; 205A.06, subdivision
1a; 205A.07, by adding a subdivision; 268.052,
subdivisions 2, 4; 273.138, subdivision 6; 298.28,
subdivision 4; 475.61, subdivisions 1, 3, 4; 611A.78,
subdivision 1; Laws 1965, chapter 705, as amended;
Laws 2001, First Special Session chapter 6, article 2,
section 72; proposing coding for new law in Minnesota
Statutes, chapters 123B; 124D; 125A; 126C; 127A; 134;
repealing Minnesota Statutes 2002, sections 15.014,
subdivision 3; 93.22, subdivision 2; 93.223,
subdivision 1; 122A.62; 122A.64; 122A.65; 123A.73,
subdivisions 7, 10, 11; 123B.81, subdivision 6;
123B.90, subdivision 1; 124D.09, subdivision 15;
124D.115; 124D.1156; 124D.17; 124D.21; 124D.221;
124D.54; 124D.65, subdivision 4; 124D.84, subdivision
2; 124D.89; 124D.93; 125A.023, subdivision 5; 125A.09;
125A.47; 125A.79, subdivision 2; 125B.11; 126C.01,
subdivision 4; 126C.05, subdivision 12; 126C.125;
126C.14; 126C.55, subdivision 5; 127A.41, subdivision
6; 128C.01, subdivision 5; 128C.02, subdivision 8;
128C.13; 144.401, subdivision 5; 169.441, subdivision
4; 239.004; Laws 1993, chapter 224, article 8, section
20, subdivision 2, as amended; Laws 2000, chapter 489,
article 2, section 36, as amended; Laws 2001, First
Special Session chapter 3, article 4, sections 1, 2;
Laws 2001, First Special Session chapter 6, article 2,
section 52; Laws 2001, First Special Session chapter
6, article 5, section 12, as amended; Minnesota Rules,
parts 3500.0600; 3520.0400; 3520.1400; 3520.3300;
3530.1500; 3530.2700; 3530.4400; 3530.4500; 3530.4700;
3550.0100.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
ARTICLE 1
GENERAL EDUCATION
Section 1. Minnesota Statutes 2002, section 123A.06,
subdivision 3, is amended to read:
Subd. 3. [HOURS OF INSTRUCTION EXEMPTION.] Notwithstanding
any law to the contrary, the center programs must be available
throughout the entire year. Pupils in a center may receive
instruction for more than or less than the daily number of hours
required by the rules of the commissioner of children, families,
and learning. However, a pupil must receive instruction each
year for at least the total number of instructional hours
required by statutes and rules. A center may petition the state
board under Minnesota Rules, part 3500.1000, for exemption from
other rules.
Sec. 2. Minnesota Statutes 2002, section 123A.18,
subdivision 2, is amended to read:
Subd. 2. [EXTENDED YEAR INSTRUCTION.] The agreement may
provide opportunities for pupils to receive instruction
throughout the entire year and for teachers to coordinate
educational opportunities and provide instruction throughout the
entire year. Pupils may receive instruction for more than or
less than the daily number of hours required by the rules of the
commissioner of children, families, and learning. However, the
pupil must receive instruction each year for at least the total
number of instructional hours required by statutes and rules. A
teacher who is employed for the extended year may develop, in
consultation with pupils and parents, individual educational
programs for not more than 125 pupils.
Sec. 3. Minnesota Statutes 2002, section 123A.73,
subdivision 3, is amended to read:
Subd. 3. [VOLUNTARY DISSOLUTION; REFERENDUM REVENUE.] As
of the effective date of the voluntary dissolution of a district
and its attachment to one or more existing districts pursuant to
section 123A.46, the authorization for all referendum revenues
previously approved by the voters of all affected districts for
those districts pursuant to section 126C.17, subdivision 9, or
its predecessor provision, is canceled. However, if all of the
territory of any independent district is included in the
enlarged district, and if the adjusted net tax capacity of
taxable property in that territory comprises 90 percent or more
of the adjusted net tax capacity of all taxable property in an
enlarged district, the enlarged district's referendum revenue
shall be determined as follows:
If the referendum revenue previously approved in the
preexisting district is authorized as a tax rate, the referendum
revenue in the enlarged district is the tax rate times the net
tax capacity of the enlarged district. If referendum revenue
previously approved in the preexisting district is authorized as
revenue per resident pupil unit, The referendum revenue shall be
the revenue per resident marginal cost pupil unit times the
number of resident marginal cost pupil units in the enlarged
district. If referendum revenue in the preexisting district is
authorized both as a tax rate and as revenue per resident pupil
unit, the referendum revenue in the enlarged district shall be
the sum of both plus any referendum revenue in the preexisting
district authorized as a dollar amount. Any new referendum
revenue shall be authorized only after approval is granted by
the voters of the entire enlarged district in an election
pursuant to section 126C.17, subdivision 9.
Sec. 4. Minnesota Statutes 2002, section 123A.73,
subdivision 4, is amended to read:
Subd. 4. [CONSOLIDATION; MAXIMUM AUTHORIZED REFERENDUM
REVENUES.] As of the effective date of a consolidation pursuant
to section 123A.48, if the plan for consolidation so provides,
or if the plan for consolidation makes no provision concerning
referendum revenues, the authorization for all referendum
revenues previously approved by the voters of all affected
districts for those districts pursuant to section 126C.17,
subdivision 9, or its predecessor provision shall be
recalculated as provided in this subdivision. The referendum
revenue authorization for the newly created district shall be
the net tax capacity rate revenue per resident marginal cost
pupil unit that would raise an amount equal to the combined
dollar amount of the referendum revenues authorized by each of
the component districts for the year preceding the
consolidation, unless the referendum revenue authorization of
the newly created district is subsequently modified pursuant to
section 126C.17, subdivision 9. If the referendum revenue
authorizations for each of the component districts were limited
to a specified number of years, The referendum revenue
authorization for the newly created district shall continue for
a period of time equal to the longest period authorized for any
component district. If the referendum revenue authorization of
any component district is not limited to a specified number of
years, the referendum revenue authorization for the newly
created district shall not be limited to a specified number of
years.
Sec. 5. Minnesota Statutes 2002, section 123A.73,
subdivision 5, is amended to read:
Subd. 5. [ALTERNATIVE METHOD.] As of the effective date of
a consolidation pursuant to section 123A.48, if the plan for
consolidation so provides, the authorization for all referendum
revenues previously approved by the voters of all affected
districts for those districts pursuant to section 126C.17,
subdivision 9, or its predecessor provision shall be combined as
provided in this subdivision. The referendum revenue
authorization for the newly created district may be any
allowance per resident marginal cost pupil unit provided in the
plan for consolidation, but may not exceed the allowance per
resident marginal cost pupil unit that would raise an amount
equal to the combined dollar amount of the referendum revenues
authorized by each of the component districts for the year
preceding the consolidation. If the referendum revenue
authorizations for each of the component districts were limited
to a specified number of years, The referendum revenue
authorization for the newly created district shall continue for
a period of time equal to the longest period authorized for any
component district. If the referendum revenue authorization of
any component district is not limited to a specified number of
years, the referendum revenue authorization for the newly
created district shall not be limited to a specified number of
years. The referendum revenue authorization for the newly
created district may be modified pursuant to section 126C.17,
subdivision 9.
Sec. 6. Minnesota Statutes 2002, 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 grade 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, as described in this
section, 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; and
(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 grade 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
grade 6 who are transported by school bus and are enrolled
during the first or second week of school must demonstrate
achievement of receive the school bus safety training
competencies by the end of the third week of school. All
Students enrolled in grades 4 7 through 10 who are transported
by school bus and are enrolled during the first or second week
of school and have not received school bus safety training in
kindergarten through grade 6 must demonstrate achievement
of receive the competencies training by the end of the sixth
week of school. Students in grades 9 and 10 must receive
training in the laws and proper procedures when operating a
motor vehicle in the vicinity of a school bus. Students
enrolled in grades kindergarten through grade 10 who enroll in a
school after the second week of school and are transported by
school bus and have not received training in their previous
school district shall undergo school bus safety training and
demonstrate achievement of the school bus safety competencies or
receive bus safety instructional materials within four weeks of
the first day of attendance. The school transportation safety
director in each district must certify to the commissioner
superintendent of schools annually that all students transported
by school bus within the district have satisfactorily
demonstrated knowledge and understanding of received the school
bus safety competencies training 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 the school
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 according
to this section. 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, may 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 may also
provide student safety education for bicycling and pedestrian
safety, for students enrolled in grades kindergarten through
grade 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.
(g) The district must provide students enrolled in
kindergarten through grade 3 school bus safety training twice
during the school year.
Sec. 7. Minnesota Statutes 2002, section 123B.90,
subdivision 3, is amended to read:
Subd. 3. [MODEL TRAINING PROGRAM.] The commissioner shall
develop a comprehensive model school bus safety training program
for pupils who ride the bus that includes bus safety curriculum
for both classroom and practical instruction, methods for
assessing attainment of school bus safety competencies, and
age-appropriate instructional materials. The model training
program for students riding buses with lap belts or lap and
shoulder belts must include information on the appropriate use
of lap belts or lap and shoulder belts. The program must be
adaptable for use by students with disabilities.
Sec. 8. Minnesota Statutes 2002, section 123B.91,
subdivision 1, is amended to read:
Subdivision 1. [COMPREHENSIVE POLICY.] (a) Each district
shall develop and implement a comprehensive, written policy
governing pupil transportation safety, including transportation
of nonpublic school students, when applicable. The policy, 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) (5) 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) (6) a system for integrating school bus misconduct
records with other discipline records;
(8) a statement of bus driver duties;
(9) (7) where applicable, provisions governing bus monitor
qualifications, training, and duties;
(10) (8) 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) (9) operating rules and procedures;
(12) provisions for annual bus driver in-service training
and evaluation;
(13) (10) emergency procedures;
(14) (11) a system for maintaining and inspecting
equipment; and
(15) (12) any other 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 School Transportation," in developing
safety policies. Each district shall review its policy annually
to ensure that it conforms to law.
Sec. 9. Minnesota Statutes 2002, section 123B.92,
subdivision 1, is amended to read:
Subdivision 1. [DEFINITIONS.] For purposes of this section
and section 125A.76, the terms defined in this subdivision have
the meanings given to them.
(a) "Actual expenditure per pupil transported in the
regular and excess transportation categories" means the quotient
obtained by dividing:
(1) the sum of:
(i) all expenditures for transportation in the regular
category, as defined in paragraph (b), clause (1), and the
excess category, as defined in paragraph (b), clause (2), plus
(ii) an amount equal to one year's depreciation on the
district's school bus fleet and mobile units computed on a
straight line basis at the rate of 15 percent per year for
districts operating a program under section 124D.128 for grades
1 to 12 for all students in the district and 12-1/2 percent per
year for other districts of the cost of the fleet, plus
(iii) an amount equal to one year's depreciation on the
district's type three school buses, as defined in section
169.01, subdivision 6, clause (5), which must be used a majority
of the time for pupil transportation purposes, computed on a
straight line basis at the rate of 20 percent per year of the
cost of the type three school buses by:
(2) the number of pupils eligible for transportation in the
regular category, as defined in paragraph (b), clause (1), and
the excess category, as defined in paragraph (b), clause (2).
(b) "Transportation category" means a category of
transportation service provided to pupils as follows:
(1) Regular transportation is:
(i) transportation to and from school during the regular
school year for resident elementary pupils residing one mile or
more from the public or nonpublic school they attend, and
resident secondary pupils residing two miles or more from the
public or nonpublic school they attend, excluding desegregation
transportation and noon kindergarten transportation; but with
respect to transportation of pupils to and from nonpublic
schools, only to the extent permitted by sections 123B.84 to
123B.87;
(ii) transportation of resident pupils to and from language
immersion programs;
(iii) transportation of a pupil who is a custodial parent
and that pupil's child between the pupil's home and the child
care provider and between the provider and the school, if the
home and provider are within the attendance area of the school;
and
(iv) transportation to and from or board and lodging in
another district, of resident pupils of a district without a
secondary school; and
(v) transportation to and from school during the regular
school year required under subdivision 3 for nonresident
elementary pupils when the distance from the attendance area
border to the public school is one mile or more, and for
nonresident secondary pupils when the distance from the
attendance area border to the public school is two miles or
more, excluding desegregation transportation and noon
kindergarten transportation.
For the purposes of this paragraph, a district may
designate a licensed day care facility, respite care facility,
the residence of a relative, or the residence of a person chosen
by the pupil's parent or guardian as the home of a pupil for
part or all of the day, if requested by the pupil's parent or
guardian, and if that facility or residence is within the
attendance area of the school the pupil attends.
(2) Excess transportation is:
(i) transportation to and from school during the regular
school year for resident secondary pupils residing at least one
mile but less than two miles from the public or nonpublic school
they attend, and transportation to and from school for resident
pupils residing less than one mile from school who are
transported because of extraordinary traffic, drug, or crime
hazards; and
(ii) transportation to and from school during the regular
school year required under subdivision 3 for nonresident
secondary pupils when the distance from the attendance area
border to the school is at least one mile but less than two
miles from the public school they attend, and for nonresident
pupils when the distance from the attendance area border to the
school is less than one mile from the school and who are
transported because of extraordinary traffic, drug, or crime
hazards.
(3) Desegregation transportation is transportation within
and outside of the district during the regular school year of
pupils to and from schools located outside their normal
attendance areas under a plan for desegregation mandated by the
commissioner or under court order.
(4) "Transportation services for pupils with disabilities"
is:
(i) transportation of pupils with disabilities who cannot
be transported on a regular school bus between home or a respite
care facility and school;
(ii) necessary transportation of pupils with disabilities
from home or from school to other buildings, including centers
such as developmental achievement centers, hospitals, and
treatment centers where special instruction or services required
by sections 125A.03 to 125A.24, 125A.26 to 125A.48, and 125A.65
are provided, within or outside the district where services are
provided;
(iii) necessary transportation for resident pupils with
disabilities required by sections 125A.12, and 125A.26 to
125A.48;
(iv) board and lodging for pupils with disabilities in a
district maintaining special classes;
(v) transportation from one educational facility to another
within the district for resident pupils enrolled on a
shared-time basis in educational programs, and necessary
transportation required by sections 125A.18, and 125A.26 to
125A.48, for resident pupils with disabilities who are provided
special instruction and services on a shared-time basis;
(vi) transportation for resident pupils with disabilities
to and from board and lodging facilities when the pupil is
boarded and lodged for educational purposes; and
(vii) services described in clauses (i) to (vi), when
provided for pupils with disabilities in conjunction with a
summer instructional program that relates to the pupil's
individual education plan or in conjunction with a learning year
program established under section 124D.128.
(5) "Nonpublic nonregular transportation" is:
(i) transportation from one educational facility to another
within the district for resident pupils enrolled on a
shared-time basis in educational programs, excluding
transportation for nonpublic pupils with disabilities under
clause (4);
(ii) transportation within district boundaries between a
nonpublic school and a public school or a neutral site for
nonpublic school pupils who are provided pupil support services
pursuant to section 123B.44; and
(iii) late transportation home from school or between
schools within a district for nonpublic school pupils involved
in after-school activities.
(c) "Mobile unit" means a vehicle or trailer designed to
provide facilities for educational programs and services,
including diagnostic testing, guidance and counseling services,
and health services. A mobile unit located off nonpublic school
premises is a neutral site as defined in section 123B.41,
subdivision 13.
Sec. 10. Minnesota Statutes 2002, section 123B.92,
subdivision 3, is amended to read:
Subd. 3. [ALTERNATIVE ATTENDANCE PROGRAMS.] A district
that enrolls nonresident pupils in programs under sections
124D.03, 124D.06, 124D.07, 124D.08, 123A.05 to 123A.08, and
124D.68, must provide authorized transportation to the pupil
within the attendance area for the school that the pupil attends
at the same level of service that is provided to resident pupils
within the attendance area. The resident district need not
provide or pay for transportation between the pupil's residence
and the district's border.
Sec. 11. Minnesota Statutes 2002, section 123B.92,
subdivision 9, is amended to read:
Subd. 9. [NONPUBLIC PUPIL TRANSPORTATION AID.] (a) A
district's nonpublic pupil transportation aid for the 1996-1997
and later school years for transportation services for nonpublic
school pupils according to sections 123B.88, 123B.84 to 123B.86,
and this section, equals the sum of the amounts computed in
paragraphs (b) and (c). This aid does not limit the obligation
to transport pupils under sections 123B.84 to 123B.87.
(b) For regular and excess transportation according to
subdivision 1, paragraph (b), clauses (1) and (2), an amount
equal to the product of:
(1) the district's actual expenditure per pupil transported
in the regular and excess transportation categories during the
second preceding school year; times
(2) the number of nonpublic school pupils residing in the
district who receive regular or excess transportation service or
reimbursement for the current school year; times
(3) the ratio of the formula allowance pursuant to section
126C.10, subdivision 2, for the current school year to the
formula allowance pursuant to section 126C.10, subdivision 2,
for the second preceding school year.
(c) For nonpublic nonregular transportation according to
subdivision 1, paragraph (b), clause (5), an amount equal to the
product of:
(1) the district's actual expenditure for nonpublic
nonregular transportation during the second preceding school
year; times
(2) the ratio of the formula allowance pursuant to section
126C.10, subdivision 2, for the current school year to the
formula allowance pursuant to section 126C.10, subdivision 2,
for the second preceding school year.
(d) Notwithstanding the amount of the formula allowance for
fiscal years 2000, 2001, and 2002 year 2004 in section 126C.10,
subdivision 2, the commissioner shall use the amount of the
formula allowance for the current year plus $87 minus $415 in
determining the nonpublic pupil transportation revenue in
paragraphs (b) and (c) for fiscal year 2000, and the amount of
the formula allowance less $110 in determining the nonpublic
pupil transportation revenue in paragraphs (b) and (c) for
fiscal years 2001 and 2002 2004.
[EFFECTIVE DATE.] This section is effective for revenue for
fiscal year 2004.
Sec. 12. Minnesota Statutes 2002, section 124D.09,
subdivision 13, is amended to read:
Subd. 13. [FINANCIAL ARRANGEMENTS.] For a pupil enrolled
in a course under this section, the department must make
payments according to this subdivision for courses that were
taken for secondary credit.
The department must not make payments to a school district
or post-secondary institution for a course taken for
post-secondary credit only. The department must not make
payments to a post-secondary institution for a course from which
a student officially withdraws during the first 14 days of the
quarter or semester or who has been absent from the
post-secondary institution for the first 15 consecutive school
days of the quarter or semester and is not receiving instruction
in the home or hospital.
A post-secondary institution shall receive the following:
(1) for an institution granting quarter credit, the
reimbursement per credit hour shall be an amount equal to 88
percent of the product of the formula allowance minus $415,
multiplied by 1.3, and divided by 45; or
(2) for an institution granting semester credit, the
reimbursement per credit hour shall be an amount equal to 88
percent of the product of the general revenue formula
allowance minus $415, multiplied by 1.3, and divided by 30.
The department must pay to each post-secondary institution
100 percent of the amount in clause (1) or (2) within 30 days of
receiving initial enrollment information each quarter or
semester. If changes in enrollment occur during a quarter or
semester, the change shall be reported by the post-secondary
institution at the time the enrollment information for the
succeeding quarter or semester is submitted. At any time the
department notifies a post-secondary institution that an
overpayment has been made, the institution shall promptly remit
the amount due.
Sec. 13. Minnesota Statutes 2002, section 124D.59,
subdivision 2, is amended to read:
Subd. 2. [PUPIL OF LIMITED ENGLISH PROFICIENCY.]
(a) "Pupil of limited English proficiency" means a pupil in
kindergarten through grade 12 who meets the following
requirements:
(1) the pupil in kindergarten through grade 12, as declared
by a parent or guardian first learned a language other than
English, comes from a home where the language usually spoken is
other than English, or usually speaks a language other than
English; and
(2) for a pupil in kindergarten through grade 2, the pupil
is determined by developmentally appropriate measures, which
might include observations, teacher judgment, parent
recommendations, or developmentally appropriate assessment
instruments, to lack the necessary English skills to participate
fully in classes taught in English; or.
(3) the (b) Notwithstanding paragraph (a), a pupil in
grades 3 4 through 12 scores who was enrolled in a Minnesota
public school on the dates during the previous school year when
a commissioner provided assessment that measures the pupil's
emerging academic English was administered, shall not be counted
as a pupil of limited English proficiency in calculating limited
English proficiency pupil units under section 126C.05,
subdivision 17, and shall not generate state limited English
proficiency aid under section 124D.65, subdivision 5, unless the
pupil scored below the state cutoff score on an assessment
measuring emerging academic English provided by the commissioner
during the previous school year.
(c) Notwithstanding paragraphs (a) and (b), a pupil in
kindergarten through grade 12 shall not be counted as a pupil of
limited English proficiency in calculating limited English
proficiency pupil units under section 126C.05, subdivision 17,
and shall not generate state limited English proficiency aid
under section 124D.65, subdivision 5, if:
(i) the pupil is not enrolled during the current fiscal
year in an educational program for pupils of limited English
proficiency in accordance with sections 124D.58 to 124D.64; or
(ii) the pupil has generated five or more years of average
daily membership in Minnesota public schools since July 1, 1996.
Sec. 14. Minnesota Statutes 2002, section 124D.65,
subdivision 5, is amended to read:
Subd. 5. [SCHOOL DISTRICT LEP REVENUE.] (a) A school
district's limited English proficiency programs revenue for
fiscal year 2000 equals the state total limited English
proficiency programs revenue, minus the amount determined under
paragraph (b), times the ratio of the district's adjusted
limited English proficiency programs base revenue to the state
total adjusted limited English proficiency programs base revenue.
(b) Notwithstanding paragraph (a), if the limited English
proficiency programs base revenue for a district equals zero,
the limited English proficiency programs revenue equals the sum
of the following amounts, computed using current year data:
(1) 68 percent of the salary of one full-time equivalent
teacher for each 40 pupils of limited English proficiency
enrolled, or 68 percent of the salary of one-half of a full-time
teacher in a district with 20 or fewer pupils of limited English
proficiency enrolled; and
(2) for supplies and equipment purchased or rented for use
in the instruction of pupils of limited English proficiency an
amount equal to 47 percent of the sum actually spent by the
district but not to exceed an average of $47 in any one school
year for each pupil of limited English proficiency receiving
instruction.
(c) A district's limited English proficiency programs
revenue for fiscal year 2001 and later equals the product
of $584 (1) $700 in fiscal year 2004 and later times (2) the
greater of 20 or the number of adjusted marginal cost average
daily membership of eligible pupils of limited English
proficiency enrolled in the district during the current fiscal
year.
(d) (b) A pupil ceases to generate state limited English
proficiency aid in the school year following the school year in
which the pupil attains the state cutoff score on a
commissioner-provided assessment that measures the pupil's
emerging academic English.
Sec. 15. Minnesota Statutes 2002, section 126C.05,
subdivision 8, is amended to read:
Subd. 8. [AVERAGE DAILY MEMBERSHIP.] (a) Membership for
pupils in grades kindergarten through 12 and for prekindergarten
pupils with disabilities shall mean the number of pupils on the
current roll of the school, counted from the date of entry until
withdrawal. The date of withdrawal shall mean the day the pupil
permanently leaves the school or the date it is officially known
that the pupil has left or has been legally excused. However, a
pupil, regardless of age, who has been absent from school for 15
consecutive school days during the regular school year or for
five consecutive school days during summer school or
intersession classes of flexible school year programs without
receiving instruction in the home or hospital shall be dropped
from the roll and classified as withdrawn. Nothing in this
section shall be construed as waiving the compulsory attendance
provisions cited in section 120A.22. Average daily membership
equals the sum for all pupils of the number of days of the
school year each pupil is enrolled in the district's schools
divided by the number of days the schools are in session. Days
of summer school or intersession classes of flexible school year
programs are only included in the computation of membership for
pupils with a disability not appropriately served primarily in
the regular classroom. A student must not be counted as more
than 1.2 pupils in average daily membership under this section.
When the initial total average daily membership exceeds 1.2 for
a pupil enrolled in more than one school district during the
fiscal year, each district's average daily membership must be
reduced proportionately.
(b) A student must not be counted as more than one pupil in
average daily membership except for purposes of section 126C.10,
subdivision 2a.
Sec. 16. Minnesota Statutes 2002, section 126C.05,
subdivision 14, is amended to read:
Subd. 14. [COMPUTING PUPIL UNITS FOR A PRIOR YEAR.] In
computing pupil units for a prior year, the number of pupil
units shall be adjusted to reflect any change for the current
year in relative weightings by grade level or category of
special assistance, any change in measurement from average daily
attendance to average daily membership, any change in the limit
on average daily membership that can be generated by a pupil for
a fiscal year as provided in subdivisions 8 and 15, and any
change in school district boundaries, but not for the addition
for the first time in the current year of a specified category
of special assistance as provided in subdivision 1, clause (4).
Sec. 17. Minnesota Statutes 2002, section 126C.05,
subdivision 15, is amended to read:
Subd. 15. [LEARNING YEAR PUPIL UNITS.] (a) When a pupil is
enrolled in a learning year program under section 124D.128, an
area learning center under sections 123A.05 and 123A.06, an
alternative program approved by the commissioner, or a contract
alternative program under section 124D.68, subdivision 3,
paragraph (d), or subdivision 3a, for more than 1,020 hours in a
school year for a secondary student, more than 935 hours in a
school year for an elementary student, or more than 425 hours in
a school year for a kindergarten student without a disability,
that pupil may be counted as more than one pupil in average
daily membership for purposes of section 126C.10, subdivision
2a. The amount in excess of one pupil must be determined by the
ratio of the number of hours of instruction provided to that
pupil in excess of: (i) the greater of 1,020 hours or the
number of hours required for a full-time secondary pupil in the
district to 1,020 for a secondary pupil; (ii) the greater of 935
hours or the number of hours required for a full-time elementary
pupil in the district to 935 for an elementary pupil in grades 1
through 6; and (iii) the greater of 425 hours or the number of
hours required for a full-time kindergarten student without a
disability in the district to 425 for a kindergarten student
without a disability. Hours that occur after the close of the
instructional year in June shall be attributable to the
following fiscal year. A kindergarten student must not be
counted as more than 1.2 pupils in average daily membership
under this subdivision. A student in grades 1 through 12 must
not be counted as more than 1.5 1.2 pupils in average daily
membership under this subdivision.
(b)(i) To receive general education revenue for a pupil in
an alternative program that has an independent study component,
a district must meet the requirements in this paragraph. The
district must develop, for the pupil, a continual learning plan
consistent with section 124D.128, subdivision 3. Each school
district that has a state-approved public alternative program
must reserve revenue in an amount equal to at least 90 percent
of the district average general education revenue per pupil unit
less compensatory revenue per pupil unit times the number of
pupil units generated by students attending a state-approved
public alternative program. The amount of reserved revenue
available under this subdivision may only be spent for program
costs associated with the state-approved public alternative
program. Compensatory revenue must be allocated according to
section 126C.15, subdivision 2.
(ii) General education revenue for a pupil in an approved
alternative program without an independent study component must
be prorated for a pupil participating for less than a full year,
or its equivalent. The district must develop a continual
learning plan for the pupil, consistent with section 124D.128,
subdivision 3. Each school district that has a state-approved
public alternative program must reserve revenue in an amount
equal to at least 90 percent of the district average general
education revenue per pupil unit less compensatory revenue per
pupil unit times the number of pupil units generated by students
attending a state-approved public alternative program. The
amount of reserved revenue available under this subdivision may
only be spent for program costs associated with the
state-approved public alternative program. Compensatory revenue
must be allocated according to section 126C.15, subdivision 2.
(iii) General education revenue for a pupil in an approved
alternative program that has an independent study component must
be paid for each hour of teacher contact time and each hour of
independent study time completed toward a credit or graduation
standards necessary for graduation. Average daily membership
for a pupil shall equal the number of hours of teacher contact
time and independent study time divided by 1,020.
(iv) For an alternative program having an independent study
component, the commissioner shall require a description of the
courses in the program, the kinds of independent study involved,
the expected learning outcomes of the courses, and the means of
measuring student performance against the expected outcomes.
Sec. 18. Minnesota Statutes 2002, section 126C.05,
subdivision 16, is amended to read:
Subd. 16. [FREE AND REDUCED PRICED LUNCHES.] The
commissioner shall determine the number of children eligible to
receive either a free or reduced priced lunch on October 1 each
year. Children enrolled in a building on October 1 and
determined to be eligible to receive free or reduced price lunch
by January December 15 of the following that school year shall
be counted as eligible on October 1 for purposes of subdivision
3. The commissioner may use federal definitions for these
purposes and may adjust these definitions as appropriate. The
commissioner may adopt reporting guidelines to assure accuracy
of data counts and eligibility. Districts shall use any
guidelines adopted by the commissioner.
Sec. 19. Minnesota Statutes 2002, section 126C.05,
subdivision 17, is amended to read:
Subd. 17. [LEP PUPIL UNITS.] (a) Limited English
proficiency pupil units for fiscal year 1998 2004 and thereafter
shall be determined according to this subdivision.
(b) The limited English proficiency concentration
percentage for a district equals the product of 100 times the
ratio of:
(1) the number of eligible pupils of limited English
proficiency in average daily membership enrolled in the district
during the current fiscal year; to
(2) the number of pupils in average daily membership
enrolled in the district.
(c) The limited English proficiency pupil units for
each eligible pupil enrolled in a program for pupils of limited
English proficiency in accordance with sections 124D.58 to
124D.64 in average daily membership equals the lesser of one or
the quotient obtained by dividing the limited English
proficiency concentration percentage for the pupil's district of
enrollment by 11.5.
(d) Limited English proficiency pupil units shall be
counted by the district of enrollment.
(e) Notwithstanding paragraph (d), for the purposes of this
subdivision, pupils enrolled in a cooperative or intermediate
school district shall be counted by the district of residence.
(f) For the purposes of this subdivision, the terms defined
in section 124D.59 have the same meaning.
Sec. 20. Minnesota Statutes 2002, section 126C.10,
subdivision 1, is amended to read:
Subdivision 1. [GENERAL EDUCATION REVENUE.] (a) For fiscal
year 2002, the general education revenue for each district
equals the sum of the district's basic revenue, basic skills
revenue, training and experience revenue, secondary sparsity
revenue, elementary sparsity revenue, transportation sparsity
revenue, total operating capital revenue, equity revenue,
transition revenue, and supplemental revenue.
(b) For fiscal year 2003 and later, the general education
revenue for each district equals the sum of the district's basic
revenue, basic skills revenue, training and experience revenue,
secondary sparsity revenue, elementary sparsity revenue,
transportation sparsity revenue, total operating capital
revenue, and equity revenue.
(b) For fiscal year 2004 and later, the general education
revenue for each district equals the sum of the district's basic
revenue, extended time revenue, basic skills revenue, secondary
sparsity revenue, elementary sparsity revenue, transportation
sparsity revenue, total operating capital revenue, equity
revenue, and transition revenue.
Sec. 21. Minnesota Statutes 2002, section 126C.10, is
amended by adding a subdivision to read:
Subd. 2a. [EXTENDED TIME REVENUE.] (a) A school district's
extended time revenue is equal to the product of $4,601 and the
sum of the adjusted marginal cost pupil units of the district
for each pupil in average daily membership in excess of 1.0 and
less than 1.2 according to section 126C.05, subdivision 8.
(b) A school district's extended time revenue may be used
for extended day programs, extended week programs, summer
school, and other programming authorized under the learning year
program.
Sec. 22. Minnesota Statutes 2002, section 126C.10,
subdivision 3, is amended to read:
Subd. 3. [COMPENSATORY EDUCATION REVENUE.] The
compensatory education revenue for each building in the district
equals the formula allowance minus $415 times the compensation
revenue pupil units computed according to section 126C.05,
subdivision 3. Revenue shall be paid to the district and must
be allocated according to section 126C.15, subdivision 2.
Sec. 23. Minnesota Statutes 2002, section 126C.10,
subdivision 4, is amended to read:
Subd. 4. [BASIC SKILLS REVENUE.] (a) For fiscal year 2002,
a school district's basic skills revenue equals the sum of:
(1) compensatory revenue under subdivision 3; plus
(2) limited English proficiency revenue according to
section 124D.65, subdivision 5; plus
(3) $190 times the limited English proficiency pupil units
according to section 126C.05, subdivision 17; plus
(4) $22.50 times the number of adjusted marginal cost pupil
units in kindergarten to grade 8.
(b) For fiscal year 2003 and later, A school district's
basic skills revenue equals the sum of:
(1) compensatory revenue under subdivision 3; plus
(2) limited English proficiency revenue under section
124D.65, subdivision 5; plus
(3) $190 $250 times the limited English proficiency pupil
units under section 126C.05, subdivision 17.
Sec. 24. Minnesota Statutes 2002, section 126C.10, is
amended by adding a subdivision to read:
Subd. 13a. [OPERATING CAPITAL LEVY.] To obtain operating
capital revenue for fiscal year 2005 and later, a district may
levy an amount not more than the product of its operating
capital revenue for the fiscal year times the lesser of one or
the ratio of its adjusted net tax capacity per adjusted marginal
pupil cost to $22,222.
Sec. 25. Minnesota Statutes 2002, section 126C.10, is
amended by adding a subdivision to read:
Subd. 13b. [OPERATING CAPITAL AID.] A district's operating
capital aid equals its operating capital revenue minus its
operating capital levy times the ratio of the actual amount
levied to the permitted levy.
Sec. 26. Minnesota Statutes 2002, section 126C.10,
subdivision 17, is amended to read:
Subd. 17. [TRANSPORTATION SPARSITY DEFINITIONS.] The
definitions in this subdivision apply to subdivisions 18 and 19.
(a) "Sparsity index" for a district means the greater of .2
or the ratio of the square mile area of the district to the
resident pupil units of the district.
(b) "Density index" for a district means the ratio of the
square mile area of the district to the resident pupil units of
the district. However, the density index for a district cannot
be greater than .2 or less than .005.
(c) "Fiscal year 1996 base allowance" for a district means
the result of the following computation:
(1) sum the following amounts:
(i) the fiscal year 1996 regular transportation revenue for
the district according to Minnesota Statutes 1996, section
124.225, subdivision 7d, paragraph (a), excluding the revenue
attributable nonpublic school pupils and to pupils with
disabilities receiving special transportation services; plus
(ii) the fiscal year 1996 nonregular transportation revenue
for the district according to Minnesota Statutes 1996, section
124.225, subdivision 7d, paragraph (b), excluding the revenue
for desegregation transportation according to Minnesota Statutes
1996, section 124.225, subdivision 1, paragraph (c), clause (4),
and the revenue attributable to nonpublic school pupils and to
pupils with disabilities receiving special transportation
services or board and lodging; plus
(iii) the fiscal year 1996 excess transportation levy for
the district according to Minnesota Statutes 1996, section
124.226, subdivision 5, excluding the levy attributable to
nonpublic school pupils; plus
(iv) the fiscal year 1996 late activity bus levy for the
district according to Minnesota Statutes 1996, section 124.226,
subdivision 9, excluding the levy attributable to nonpublic
school pupils; plus
(v) an amount equal to one-third of the fiscal year 1996
bus depreciation for the district according to Minnesota
Statutes 1996, section 124.225, subdivision 1, paragraph (b),
clauses (2), (3), and (4).
(2) divide the result in clause (1) by the district's
1995-1996 fund balance pupil units.
Sec. 27. Minnesota Statutes 2002, section 126C.10,
subdivision 24, is amended to read:
Subd. 24. [EQUITY REVENUE.] (a) A school district
qualifies for equity revenue if:
(1) 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 95th percentile of
school districts in its equity region for those revenue
categories; and
(2) 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 $13, plus (ii)
$55 $75, times the school district's equity index computed under
subdivision 27.
(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 $13.
[EFFECTIVE DATE.] This section is effective for revenue for
fiscal year 2005.
Sec. 28. Minnesota Statutes 2002, section 126C.10, is
amended by adding a subdivision to read:
Subd. 29. [EQUITY LEVY.] To obtain equity revenue for
fiscal year 2005 and later, a district may levy an amount not
more than the product of its equity revenue for the fiscal year
times the lesser of one or the ratio of its referendum market
value per resident marginal cost pupil unit to $476,000.
Sec. 29. Minnesota Statutes 2002, section 126C.10, is
amended by adding a subdivision to read:
Subd. 30. [EQUITY AID.] A district's equity aid equals its
equity revenue minus its equity levy times the ratio of the
actual amount levied to the permitted levy.
Sec. 30. Minnesota Statutes 2002, section 126C.10, is
amended by adding a subdivision to read:
Subd. 31. [TRANSITION REVENUE.] (a) A district's
transition allowance for fiscal years 2004 through 2008 equals
the greater of zero or the product of the ratio of the number of
adjusted marginal cost pupil units the district would have
counted for fiscal year 2004 under Minnesota Statutes 2002 to
the district's adjusted marginal cost pupil units for fiscal
year 2004, times the difference between: (1) the lesser of the
district's general education revenue per adjusted marginal cost
pupil unit for fiscal year 2003 or the amount of general
education revenue the district would have received per adjusted
marginal cost pupil unit for fiscal year 2004 according to
Minnesota Statutes 2002, and (2) the district's general
education revenue for fiscal year 2004 excluding transition
revenue divided by the number of adjusted marginal cost pupil
units the district would have counted for fiscal year 2004 under
Minnesota Statutes 2002. A district's transition allowance for
fiscal year 2009 and later is zero.
(b) A district's transition revenue for fiscal year 2004
and later equals the product of the district's transition
allowance times the district's adjusted marginal cost pupil
units.
Sec. 31. Minnesota Statutes 2002, section 126C.10, is
amended by adding a subdivision to read:
Subd. 32. [TRANSITION LEVY.] To obtain transition revenue
for fiscal year 2005 and later, a district may levy an amount
not more than the product of its transition revenue for the
fiscal year times the lesser of one or the ratio of its
referendum market value per resident marginal cost pupil unit to
$476,000.
Sec. 32. Minnesota Statutes 2002, section 126C.10, is
amended by adding a subdivision to read:
Subd. 33. [TRANSITION AID.] (a) For fiscal year 2004, a
district's transition aid equals its transition revenue.
(b) For fiscal year 2005 and later, a district's transition
aid equals its transition revenue minus its transition levy
times the ratio of the actual amount levied to the permitted
levy.
Sec. 33. Minnesota Statutes 2002, section 126C.13,
subdivision 4, is amended to read:
Subd. 4. [GENERAL EDUCATION AID.] (a) For fiscal year
2004, a district's general education aid is the sum of the
following amounts:
(1) general education revenue;
(2) shared time aid according to section 126C.01,
subdivision 7; and
(3) referendum aid according to section 126C.17; and
(4) distance education aid according to section 126C.24.
(b) For fiscal year 2005 and later, a district's general
education aid is the sum of the following amounts:
(1) general education revenue, excluding equity revenue and
transition revenue;
(2) equity aid according to section 126C.10, subdivision
30;
(3) transition aid according to section 126C.10,
subdivision 33;
(4) shared time aid according to section 126C.01,
subdivision 7;
(5) referendum aid according to section 126C.17; and
(6) distance education aid according to section 126C.24.
Sec. 34. Minnesota Statutes 2002, section 126C.15,
subdivision 1, is amended to read:
Subdivision 1. [USE OF THE REVENUE.] The basic skills
revenue under section 126C.10, subdivision 4, and the portion of
the transition revenue adjustment under section 126C.10,
subdivision 20, attributable to the compensatory transition
allowance under section 126C.10, subdivision 19, paragraph (b),
must be reserved and used to meet the educational needs of
pupils who enroll under-prepared to learn and whose progress
toward meeting state or local content or performance standards
is below the level that is appropriate for learners of their
age. Any of the following may be provided to meet these
learners' needs:
(1) direct instructional services under the assurance of
mastery program according to section 124D.66;
(2) remedial instruction in reading, language arts,
mathematics, other content areas, or study skills to improve the
achievement level of these learners;
(3) additional teachers and teacher aides to provide more
individualized instruction to these learners through individual
tutoring, lower instructor-to-learner ratios, or team teaching;
(4) a longer school day or week during the regular school
year or through a summer program that may be offered directly by
the site or under a performance-based contract with a
community-based organization;
(5) comprehensive and ongoing staff development consistent
with district and site plans according to section 122A.60, for
teachers, teacher aides, principals, and other personnel to
improve their ability to identify the needs of these learners
and provide appropriate remediation, intervention,
accommodations, or modifications;
(6) instructional materials and technology appropriate for
meeting the individual needs of these learners;
(7) programs to reduce truancy, encourage completion of
high school, enhance self-concept, provide health services,
provide nutrition services, provide a safe and secure learning
environment, provide coordination for pupils receiving services
from other governmental agencies, provide psychological services
to determine the level of social, emotional, cognitive, and
intellectual development, and provide counseling services,
guidance services, and social work services;
(8) bilingual programs, bicultural programs, and programs
for learners of limited English proficiency;
(9) all day kindergarten;
(10) extended school day and extended school year programs;
and
(11) substantial parent involvement in developing and
implementing remedial education or intervention plans for a
learner, including learning contracts between the school, the
learner, and the parent that establish achievement goals and
responsibilities of the learner and the learner's parent or
guardian.
Sec. 35. Minnesota Statutes 2002, section 126C.17,
subdivision 1, is amended to read:
Subdivision 1. [REFERENDUM ALLOWANCE.] (a) For fiscal year
2002, a district's referendum revenue allowance equals the sum
of the allowance under section 126C.16, subdivision 2, plus any
additional allowance per resident marginal cost pupil unit
authorized under subdivision 9 for fiscal year 2002.
(b) For fiscal year 2003 and later, a district's initial
referendum revenue allowance equals the sum of the allowance
under section 126C.16, subdivision 2, plus any additional
allowance per resident marginal cost pupil unit authorized under
subdivision 9 before May 1, 2001, for fiscal year 2002 and
later, plus the referendum conversion allowance approved under
subdivision 13, minus $415. For districts with more than one
referendum authority, the reduction must be computed separately
for each authority. The reduction must be applied first to the
referendum conversion allowance and next to the authority with
the earliest expiration date. A district's initial referendum
revenue allowance may not be less than zero.
(c) (b) For fiscal year 2003 and later, a district's
referendum revenue allowance equals the initial referendum
allowance plus any additional allowance per resident marginal
cost pupil unit authorized under subdivision 9 after between
April 30, 2001, and December 30, 2001, for fiscal year 2003 and
later.
(c) For fiscal year 2004 and later, a district's referendum
revenue allowance equals the sum of:
(1) the product of (i) the ratio of the resident marginal
cost pupil units the district would have counted for fiscal year
2004 under Minnesota Statutes 2002, section 126C.05, to the
district's resident marginal cost pupil units for fiscal year
2004, times (ii) the initial referendum allowance plus any
additional allowance per resident marginal cost pupil unit
authorized under subdivision 9 between April 30, 2001, and May
30, 2003, for fiscal year 2003 and later, plus
(2) any additional allowance per resident marginal cost
pupil unit authorized under subdivision 9 after May 30, 2003,
for fiscal year 2005 and later.
Sec. 36. Minnesota Statutes 2002, section 126C.17,
subdivision 2, is amended to read:
Subd. 2. [REFERENDUM ALLOWANCE LIMIT.] (a) Notwithstanding
subdivision 1, for fiscal year 2002, a district's referendum
allowance must not exceed the greater of:
(1) the district's referendum allowance for fiscal year
1994;
(2) 25 percent of the formula allowance; or
(3) for a newly reorganized district created after July 1,
1994, the sum of the referendum revenue authority for the
reorganizing districts for the fiscal year preceding the
reorganization, divided by the sum of the resident marginal cost
pupil units of the reorganizing districts for the fiscal year
preceding the reorganization.
(b) Notwithstanding subdivision 1, for fiscal year 2003 and
later fiscal years, a district's referendum allowance must not
exceed the greater of:
(1) the sum of a district's referendum allowance for fiscal
year 1994 times 1.162 plus its referendum conversion allowance
for fiscal year 2003, minus $415;
(2) 18.2 percent of the formula allowance;
(3) for a newly reorganized district created on July 1,
2002, the referendum revenue authority for each reorganizing
district in the year preceding reorganization divided by its
resident marginal cost pupil units for the year preceding
reorganization, minus $415; or
(4) for a newly reorganized district created after July 1,
2002, the referendum revenue authority for each reorganizing
district in the year preceding reorganization divided by its
resident marginal cost pupil units for the year preceding
reorganization.
(b) Notwithstanding subdivision 1, for fiscal year 2004 and
later, a district's referendum allowance must not exceed the
greater of:
(1) the sum of: (i) a district's referendum allowance for
fiscal year 1994 times 1.177 times the annual inflationary
increase as calculated under paragraph (c) plus (ii) its
referendum conversion allowance for fiscal year 2003, minus
(iii) $415;
(2) the greater of (i) 18.6 percent of the formula
allowance or (ii) the previous year's referendum allowance times
the annual inflationary increase as calculated under paragraph
(c); or
(3) for a newly reorganized district created after July 1,
2002, the referendum revenue authority for each reorganizing
district in the year preceding reorganization divided by its
resident marginal cost pupil units for the year preceding
reorganization.
(c) For purposes of this subdivision, for fiscal year 2005
and later, "inflationary increase" means one plus the percentage
change in the Consumer Price Index for urban consumers, as
prepared by the United States Bureau of Labor Standards, for the
current fiscal year to fiscal year 2004. For fiscal years 2009
and later, for purposes of paragraph (b), clause (1), the
inflationary increase equals the inflationary increase for
fiscal year 2008 plus one-fourth of the percentage increase in
the formula allowance for that year compared with the formula
allowance for fiscal year 2008.
[EFFECTIVE DATE.] This section is effective for taxes
payable in 2004.
Sec. 37. Minnesota Statutes 2002, section 126C.17,
subdivision 5, is amended to read:
Subd. 5. [REFERENDUM EQUALIZATION REVENUE.] (a) For fiscal
year 2003 and later, a district's referendum equalization
revenue equals the sum of the first tier referendum equalization
revenue and the second tier referendum equalization revenue.
(b) A district's first tier referendum equalization revenue
equals the district's first tier referendum equalization
allowance times the district's resident marginal cost pupil
units for that year.
(c) For fiscal years 2003 and 2004, a district's first tier
referendum equalization allowance equals the lesser of the
district's referendum allowance under subdivision 1 or
$126. For fiscal year 2005, a district's first tier referendum
equalization allowance equals the lesser of the district's
referendum allowance under subdivision 1 or $405. For fiscal
year 2006 and later, a district's first tier referendum
equalization allowance equals the lesser of the district's
referendum allowance under subdivision 1 or $500.
(d) A district's second tier referendum equalization
revenue equals the district's second tier referendum
equalization allowance times the district's resident marginal
cost pupil units for that year.
(e) A district's second tier referendum equalization
allowance equals the lesser of the district's referendum
allowance under subdivision 1 or 18.2 18.6 percent of the
formula allowance, minus the district's first tier referendum
equalization allowance.
(f) Notwithstanding paragraph (e), the second tier
referendum allowance for a district qualifying for secondary
sparsity revenue under section 126C.10, subdivision 7, or
elementary sparsity revenue under section 126C.10, subdivision
8, equals the district's referendum allowance under subdivision
1 minus the district's first tier referendum equalization
allowance.
Sec. 38. Minnesota Statutes 2002, section 126C.17,
subdivision 7, is amended to read:
Subd. 7. [REFERENDUM EQUALIZATION AID.] (a) A district's
referendum equalization aid equals the difference between its
referendum equalization revenue and levy.
(b) If a district's actual levy for first or second tier
referendum equalization revenue is less than its maximum levy
limit for that tier, aid shall be proportionately reduced.
(c) Notwithstanding paragraph (a), the referendum
equalization aid for a district, where the referendum
equalization aid under paragraph (a) exceeds 90 percent of the
referendum revenue, must not exceed 18.2 18.6 percent of the
formula allowance times the district's resident marginal cost
pupil units. A district's referendum levy is increased by the
amount of any reduction in referendum aid under this paragraph.
Sec. 39. Minnesota Statutes 2002, section 126C.17,
subdivision 7a, is amended to read:
Subd. 7a. [REFERENDUM TAX BASE REPLACEMENT AID.] For each
school district that had a referendum allowance for fiscal year
2002 exceeding $415, for each separately authorized referendum
levy, the commissioner of revenue, in consultation with the
commissioner of children, families, and learning education,
shall certify the amount of the referendum levy in taxes payable
year 2001 attributable to the portion of the referendum
allowance exceeding $415 levied against property classified as
class 2, noncommercial 4c(1), or 4c(4), under section 273.13,
excluding the portion of the tax paid by the portion of class 2a
property consisting of the house, garage, and surrounding one
acre of land. The resulting amount must be used to reduce the
district's referendum levy amount otherwise determined, and must
be paid to the district each year that the referendum authority
remains in effect, is renewed, or new referendum authority is
approved. The aid payable under this subdivision must be
subtracted from the district's referendum equalization aid under
subdivision 7. The referendum equalization aid after the
subtraction must not be less than zero.
For the purposes of this subdivision, the referendum levy
with the latest year of expiration is assumed to be at the
highest level of equalization, and the referendum levy with the
earliest year of expiration is assumed to be at the lowest level
of equalization.
Sec. 40. Minnesota Statutes 2002, 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 pupil unit 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 revenue amount must be
based upon the dollar amount, local tax rate, or state the
amount per resident marginal cost pupil unit, that was stated to
be the basis for the initial authorization by which the
authority is to be reduced. Revenue authority approved by the
voters of the district pursuant to paragraph (a) must
be received available to the school district 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.
Sec. 41. Minnesota Statutes 2002, section 126C.17,
subdivision 13, is amended to read:
Subd. 13. [REFERENDUM CONVERSION ALLOWANCE.] (a) A school
district that received supplemental or transition revenue in
fiscal year 2002 may convert its supplemental revenue conversion
allowance and transition revenue conversion allowance to
additional referendum allowance under subdivision 1 for fiscal
year 2003 and thereafter. A majority of the school board must
approve the conversion at a public meeting before November 1,
2001. For a district with other referendum authority, the
referendum conversion allowance approved by the board continues
until the portion of the district's other referendum authority
with the earliest expiration date after June 30, 2006, expires.
For a district with no other referendum authority, the
referendum conversion allowance approved by the board continues
until June 30, 2012.
(b) A school district that received transition revenue in
fiscal year 2004 may convert all or part of its transition
revenue to referendum revenue with voter approval in a
referendum called for the purpose. The referendum must be held
in accordance with subdivision 9, except that the ballot may
state that existing transition revenue authority is being
canceled or is expiring. In this case, the ballot shall compare
the proposed referendum allowance to the canceled or expiring
transition revenue allowance. For purposes of this comparison,
the canceled or expiring transition revenue allowance per
adjusted marginal cost pupil unit shall be converted to an
allowance per resident marginal cost pupil unit based on the
district's ratio of adjusted marginal cost pupil units to
resident marginal cost pupil units for the preceding fiscal
year. The referendum must be held on the first Tuesday after
the first Monday in November. The notice required under section
275.60 may be modified to read: "BY VOTING 'YES' ON THIS BALLOT
QUESTION, YOU MAY BE VOTING FOR A PROPERTY TAX INCREASE."
Elections under this paragraph must be held in 2007 or earlier.
Sec. 42. Minnesota Statutes 2002, section 126C.21,
subdivision 3, is amended to read:
Subd. 3. [COUNTY APPORTIONMENT DEDUCTION.] Each year the
amount of money apportioned to a district for that year pursuant
to section 127A.34, subdivision 2, excluding any district where
the general education levy is determined according to section
126C.13, subdivision 3, must be deducted from the general
education aid earned by that district for the same year or from
aid earned from other state sources.
Sec. 43. Minnesota Statutes 2002, section 126C.457, is
amended to read:
126C.457 [CAREER AND TECHNICAL LEVY.]
For taxes payable in 2003 only, A school district may levy
an amount equal to the greater of (1) $10,000, or (2) the
district's fiscal year 2001 entitlement for career and technical
aid under section 124D.453. The district must recognize the
full amount of this levy as revenue for the fiscal year in which
it is certified. Revenue received under this section must be
reserved and used only for career and technical programs.
[EFFECTIVE DATE.] This section is effective for taxes
payable in 2004.
Sec. 44. Minnesota Statutes 2002, section 169.28,
subdivision 1, is amended to read:
Subdivision 1. [STOP REQUIRED.] (a) The driver of any
motor vehicle carrying passengers for hire, or of any school bus
whether carrying passengers or not, or of any Head Start bus
whether carrying passengers or not, or of any vehicle that is
required to stop at railroad grade crossings under Code of
Federal Regulations, title 49, section 392.10, before crossing
at grade any track or tracks of a railroad, shall stop the
vehicle not less than 15 feet nor more than 50 feet from the
nearest rail of the railroad and while so stopped shall listen
and look in both directions along the track for any approaching
train, and for signals indicating the approach of a train,
except as hereinafter provided, and shall not proceed until safe
to do so. The driver must not shift gears while crossing the
railroad tracks.
(b) A school bus or Head Start bus shall not be flagged
across railroad grade crossings except at those railroad grade
crossings that the local school administrative officer may
designate.
(c) A type III school bus, as defined in section 169.01, is
exempt from the requirement of school buses to stop at railroad
grade crossings.
Sec. 45. Minnesota Statutes 2002, section 169.4503,
subdivision 4, is amended to read:
Subd. 4. [CERTIFICATION.] A body manufacturer, school bus
dealer, or certified Minnesota Commercial Vehicle Inspector who
is also an employee of an organization purchasing a school bus
shall certify provide preliminary certification to the
department of public safety that the product meets Minnesota
standards. Final certification will be granted within 30 days
upon reinspection by the department of public safety.
Sec. 46. Minnesota Statutes 2002, section 169.454,
subdivision 2, is amended to read:
Subd. 2. [AGE OF VEHICLE.] Vehicles ten 12 years or older
must not be used as type III vehicles to transport school
children, except those vehicles that are manufactured to meet
the structural requirements of federal motor vehicle safety
standard 222, Code of Federal Regulations, title 49, part 571.
[EFFECTIVE DATE.] This section is effective the day
following final enactment.
Sec. 47. Minnesota Statutes 2002, section 169.454,
subdivision 6, is amended to read:
Subd. 6. [IDENTIFICATION.] (a) The vehicle must not have
the words "school bus" in any location on the exterior of the
vehicle, or in any interior location visible to a motorist.
(b) The vehicle must display to the rear of the vehicle
this sign: "VEHICLE STOPS AT RR CROSSINGS."
(c) The lettering (except for "AT," which may be one inch
smaller) must be a minimum two-inch "Series D" as specified in
standard alphabets for highway signs as specified by the Federal
Highway Administration. The printing must be in a color giving
a marked contrast with that of the part of the vehicle on which
it is placed.
(d) The sign must have provisions for being covered, or be
of a removable or fold-down type.
Sec. 48. Minnesota Statutes 2002, section 171.321,
subdivision 5, is amended to read:
Subd. 5. [ANNUAL EVALUATION AND LICENSE VERIFICATION.] (a)
A school district's pupil transportation safety director, the
chief administrator of a nonpublic school, or a private
contractor shall certify annually to the school board or
governing board of a nonpublic school that, at minimum, each
school bus driver meets the school bus driver training
competencies under subdivision 4. A school district, nonpublic
school, or private contractor also shall provide in-service
training annually to each school bus driver.
(b) A school district, nonpublic school, or private
contractor shall annually verify the validity of the driver's
license of each person who transports students for the district
with the National Drivers Register or with the department of
public safety.
Sec. 49. Minnesota Statutes 2002, section 205A.07, is
amended by adding a subdivision to read:
Subd. 3a. [NOTICE TO COMMISSIONER OF EDUCATION.] At least
49 days prior to every school district election, under section
123B.62, 123B.63, 126C.17, 126C.69, or 475.58, the school
district clerk shall provide a written notice to the
commissioner of education. The notice must include the date of
the election and the title and language for each ballot question
to be voted on at the election. The certified vote totals for
each ballot question shall be provided in a written notice to
the commissioner in a timely manner.
Sec. 50. [NONPUBLIC PUPIL MATERIALS AND TESTS.]
Notwithstanding Minnesota Statutes, section 123B.42,
subdivision 3, paragraph (b), the inflation adjustment for
nonpublic pupil textbooks, individualized instructional or
cooperative learning materials, and standardized tests for
fiscal year 2004 must be computed using the fiscal year 2004
formula allowance minus $415.
Sec. 51. [STAFF DEVELOPMENT RESERVED REVENUE; FISCAL YEARS
2004 AND 2005.]
Notwithstanding Minnesota Statutes, section 122A.61,
subdivision 1, for fiscal years 2004 and 2005 only, a school
district must reserve an amount equal to at least zero percent
of the basic revenue under Minnesota Statutes, section 126C.10,
subdivision 2. A district may waive this requirement by a
majority vote of the licensed teachers in the district and a
majority vote of the school board. A district in statutory
operating debt is exempt from this requirement.
Sec. 52. [LEASE RATE; COOK COUNTY.]
(a) Notwithstanding Minnesota Statutes, section 92.46, and
Minnesota Rules, chapter 6122, in 2003, the lease rate for lands
leased under Minnesota Statutes, section 92.46, that are located
in Section 16, Township 62 North, Range 4 East, Cook county,
shall be two percent of the appraised value of the land as
determined by the commissioner of natural resources at the fifth
anniversary of the lease.
(b) In 2004 and every year thereafter, the amount payable
shall be adjusted for inflation and shall be increased to an
amount equal to: (1) the amount before the inflation adjustment
multiplied by (2) one plus the percentage increase in the
implicit price deflator for government consumption expenditures
and gross investment for state and local governments prepared by
the Bureau of Economic Analysis of the United States Department
of Commerce for the last month of the third quarter of the
calendar year prior to the year for which the rent is paid.
Sec. 53. [APPROPRIATIONS.]
Subdivision 1. [DEPARTMENT OF EDUCATION.] The sums
indicated in this section are appropriated from the general fund
to the department of education for the fiscal years designated.
Subd. 2. [GENERAL EDUCATION AID.] For general education
aid under Minnesota Statutes, section 126C.13, subdivision 4:
$4,764,384,000 ..... 2004
$5,090,303,000 ..... 2005
The 2004 appropriation includes $857,432,000 for 2003 and
$3,906,952,000 for 2004.
The 2005 appropriation includes $1,009,856,000 for 2004 and
$4,080,447,000 for 2005.
Subd. 3. [REFERENDUM TAX BASE REPLACEMENT AID.] For
referendum tax base replacement aid under Minnesota Statutes,
section 126C.17, subdivision 7a:
$ 7,841,000 ..... 2004
$ 8,543,000 ..... 2005
The 2004 appropriation includes $1,419,000 for 2003 and
$6,422,000 for 2004.
The 2005 appropriation includes $1,605,000 for 2004 and
$6,938,000 for 2005.
Subd. 4. [ENROLLMENT OPTIONS TRANSPORTATION.] For
transportation of pupils attending postsecondary institutions
under Minnesota Statutes, section 124D.09, or for transportation
of pupils attending nonresident districts under Minnesota
Statutes, section 124D.03:
$50,000 ..... 2004
$55,000 ..... 2005
Subd. 5. [ABATEMENT REVENUE.] For abatement aid under
Minnesota Statutes, section 127A.49:
$2,680,000 ..... 2004
$2,937,000 ..... 2005
The 2004 appropriation includes $472,000 for 2003 and
$2,208,000 for 2004.
The 2005 appropriation includes $551,000 for 2004 and
$2,386,000 for 2005.
Subd. 6. [CONSOLIDATION TRANSITION.] For districts
consolidating under Minnesota Statutes, section 123A.485:
$207,000 ..... 2004
$607,000 ..... 2005
The 2004 appropriation includes $35,000 for 2003 and
$172,000 for 2004.
The 2005 appropriation includes $42,000 for 2004 and
$565,000 for 2005.
Subd. 7. [TORNADO IMPACT; YELLOW MEDICINE EAST.] For a
grant to independent school district No. 2190, Yellow Medicine
East, for tornado impact declining enrollment aid:
$78,000 ..... 2004
$39,000 ..... 2005
Subd. 8. [DECLINING PUPIL AID; ALBERT LEA.] For declining
pupil aid to independent school district No. 241, Albert Lea:
$225,000 ..... 2004
$150,000 ..... 2005
Subd. 9. [DECLINING PUPIL AID; MESABI EAST.] For declining
pupil aid to independent school district No. 2711, Mesabi East:
$150,000 ..... 2004
$100,000 ..... 2005
Subd. 10. [DECLINING PUPIL AID; ROSEAU.] For declining
pupil aid to independent school district No. 682, Roseau:
$30,000 ..... 2004
$20,000 ..... 2005
Subd. 11. [NONPUBLIC PUPIL AID.] For nonpublic pupil
education aid under Minnesota Statutes, sections 123B.40 to
123B.43 and 123B.87:
$14,626,000 ..... 2004
$15,594,000 ..... 2005
The 2004 appropriation includes $2,715,000 for 2003 and
$11,911,000 for 2004.
The 2005 appropriation includes $2,977,000 for 2004 and
$12,617,000 for 2005.
Subd. 12. [NONPUBLIC PUPIL TRANSPORTATION.] For nonpublic
pupil transportation aid under Minnesota Statutes, section
123B.92, subdivision 9:
$21,477,000 ..... 2004
$21,982,000 ..... 2005
The 2004 appropriation includes $3,990,000 for 2003 and
$17,487,000 for 2004.
The 2005 appropriation includes $4,371,000 for 2004 and
$17,611,000 for 2005.
Subd. 13. [ONE-ROOM SCHOOLHOUSE.] For a grant to
independent school district No. 690, Warroad, to operate the
Angle Inlet school:
$50,000 ..... 2004
$50,000 ..... 2005
The budget base for this item for fiscal year 2006 and each
year thereafter is $50,000.
Sec. 54. [REPEALER.]
(a) Minnesota Statutes 2002, sections 123A.73, subdivisions
7, 10, and 11; 123B.81, subdivision 6; 124D.65, subdivision 4;
126C.01, subdivision 4; and 126C.125, are repealed.
(b) Minnesota Statutes 2002, section 126C.14, is repealed
effective for revenue for fiscal year 2003.
(c) Minnesota Statutes 2002, section 122A.62, is repealed
effective for taxes payable in 2004.
(d) Laws 2001, First Special Session chapter 6, article 5,
section 12, as amended by Laws 2002, chapter 377, article 12,
section 15, is repealed.
(e) Laws 2000, chapter 489, article 2, section 36, as
amended by Laws 2001, First Special Session chapter 6, article
1, section 44, is repealed effective for revenue for fiscal year
2004.
ARTICLE 2
EDUCATION EXCELLENCE
Section 1. Minnesota Statutes 2002, section 120A.05,
subdivision 11, is amended to read:
Subd. 11. [MIDDLE SCHOOL.] "Middle school" means any
school other than a secondary school giving an approved course
of study in a minimum of three two consecutive grades above 4th
but below 10th with building, equipment, courses of study, class
schedules, enrollment, and staff meeting the standards
established by the commissioner of children, families, and
learning education.
[EFFECTIVE DATE.] This section is effective for the
2003-2004 school year and later.
Sec. 2. Minnesota Statutes 2002, section 120A.24,
subdivision 4, is amended to read:
Subd. 4. [REPORTS TO THE STATE.] A superintendent must
make an annual report to the commissioner of children, families,
and learning education. The report must include the following
information:
(1) the number of children residing in the district
attending nonpublic schools or receiving instruction from
persons or institutions other than a public school;
(2) the number of children in clause (1) who are in
compliance with section 120A.22 and this section; and
(3) the names, ages, and addresses number of children whom
in clause (1) who the superintendent has determined are not in
compliance with section 120A.22 and this section.
Sec. 3. Minnesota Statutes 2002, section 120A.41, is
amended to read:
120A.41 [LENGTH OF SCHOOL YEAR; DAYS OF INSTRUCTION.]
A school board's annual school calendar must include at
least three additional days of student instruction or staff
development training related to implementing section 120B.031,
subdivision 1, paragraph (f), beyond the number of days of
student instruction the board formally adopted as its school
calendar at the beginning of the 1996-1997 school year.
[EFFECTIVE DATE.] This section is effective for the
2003-2004 school year.
Sec. 4. Minnesota Statutes 2002, section 121A.55, is
amended to read:
121A.55 [POLICIES TO BE ESTABLISHED.]
(a) The commissioner of children, families, and
learning education shall promulgate guidelines to assist each
school board. Each school board shall establish uniform
criteria for dismissal and adopt written policies and rules to
effectuate the purposes of sections 121A.40 to 121A.56. The
policies shall emphasize preventing dismissals through early
detection of problems and shall be designed to address students'
inappropriate behavior from recurring. The policies shall
recognize the continuing responsibility of the school for the
education of the pupil during the dismissal period. The
alternative educational services, if the pupil wishes to take
advantage of them, must be adequate to allow the pupil to make
progress towards meeting the graduation standards adopted under
section 120B.02 and help prepare the pupil for readmission.
(b) An area learning center under section 123A.05 may not
prohibit an expelled or excluded pupil from enrolling solely
because a district expelled or excluded the pupil. The board of
the area learning center may use the provisions of the Pupil
Fair Dismissal Act to exclude a pupil or to require an admission
plan.
(c) The commissioner shall actively encourage and assist
school districts to cooperatively establish alternative
educational services within school buildings or at alternative
program sites that offer instruction to pupils who are dismissed
from school for willfully engaging in dangerous, disruptive, or
violent behavior, including for possessing a firearm in a school
zone. Each school district shall develop a policy and report it
to the commissioner on the appropriate use of peace officers and
crisis teams to remove students who have an individualized
education plan from school grounds.
[EFFECTIVE DATE.] This section is effective the day
following final enactment.
Sec. 5. Minnesota Statutes 2002, 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;
(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; and
(q) an agreement regarding procedures to coordinate crisis
services to the extent funds are available with the county board
responsible for implementing sections 245.487 to 245.4888 for
students with a serious emotional disturbance or other students
who have an individualized education plan whose behavior may be
addressed by crisis intervention.
Sec. 6. Minnesota Statutes 2002, section 121A.64, is
amended to read:
121A.64 [NOTIFICATION; TEACHERS' LEGITIMATE EDUCATIONAL
INTEREST.]
(a) A classroom teacher has a legitimate educational
interest in knowing which students placed in the teacher's
classroom have a history of violent behavior and must be
notified before such students are placed in the teacher's
classroom.
(b) Representatives of the school board and the exclusive
representative of the teachers shall discuss issues related to
notification prior to placement the model policy on student
records adopted under Laws 1999, chapter 241, article 9, section
50, and any modifications adopted under this act for notifying
classroom teachers and other school district employees having a
legitimate educational interest in knowing about students with a
history of violent behavior placed in classrooms of students
with histories of violent behavior and any. The representatives
of the school board and the exclusive representative of the
teachers also may discuss the need for intervention services or
conflict resolution or training for staff in these cases related
to placing students with a history of violent behavior in
teachers' classrooms.
[EFFECTIVE DATE.] This section is effective for the
2003-2004 school year and later.
Sec. 7. Minnesota Statutes 2002, section 122A.09,
subdivision 4, is amended to read:
Subd. 4. [LICENSE AND RULES.] (a) The board must adopt
rules to license public school teachers and interns subject to
chapter 14.
(b) The board must adopt rules requiring a person to
successfully complete a skills examination in reading, writing,
and mathematics as a requirement for initial teacher licensure.
Such rules must require college and universities offering a
board approved teacher preparation program to provide remedial
assistance to persons who did not achieve a qualifying score on
the skills examination, including those for whom English is a
second language.
(c) The board must adopt rules to approve teacher
preparation programs. The board, upon the request of a
post-secondary student preparing for teacher licensure or a
licensed graduate of a teacher preparation program, shall assist
in resolving a dispute between the person and a post-secondary
institution providing a teacher preparation program when the
dispute involves an institution's recommendation for licensure
affecting the person or the person's credentials. At the
board's discretion, assistance may include the application of
chapter 14.
(d) The board must provide the leadership and shall adopt
rules for the redesign of teacher education programs to
implement a research based, results-oriented curriculum that
focuses on the skills teachers need in order to be effective.
The board shall implement new systems of teacher preparation
program evaluation to assure program effectiveness based on
proficiency of graduates in demonstrating attainment of program
outcomes.
(e) The board must adopt rules requiring successful
completion of an examination of general pedagogical knowledge
and examinations of licensure-specific teaching skills. The
rules shall be effective on the dates determined by the board
but not later than September 1, 2001.
(f) The board must adopt rules requiring teacher educators
to work directly with elementary or secondary school teachers in
elementary or secondary schools to obtain periodic exposure to
the elementary or secondary teaching environment.
(g) The board must grant licenses to interns and to
candidates for initial licenses.
(h) The board must design and implement an assessment
system which requires a candidate for an initial license and
first continuing license to demonstrate the abilities necessary
to perform selected, representative teaching tasks at
appropriate levels.
(i) The board must receive recommendations from local
committees as established by the board for the renewal of
teaching licenses.
(j) The board must grant life licenses to those who qualify
according to requirements established by the board, and suspend
or revoke licenses pursuant to sections 122A.20 and 214.10. The
board must not establish any expiration date for application for
life licenses.
(k) The board must adopt rules that require all licensed
teachers who are renewing their continuing license to include in
their renewal requirements further preparation in the areas of
using positive behavior interventions and in accommodating,
modifying, and adapting curricula, materials, and strategies to
appropriately meet the needs of individual students and ensure
adequate progress toward the state's graduation rule.
(l) In adopting rules to license public school teachers who
provide health-related services for disabled children, the board
shall adopt rules consistent with license or registration
requirements of the commissioner of health and the
health-related boards who license personnel who perform similar
services outside of the school.
(m) The board must adopt rules that require all licensed
teachers who are renewing their continuing license to include in
their renewal requirements further reading preparation,
consistent with section 122A.06, subdivision 4. The rules do
not take effect until they are approved by law.
(n) The board must adopt rules that require all licensed
teachers who are renewing their continuing license to include in
their renewal requirements further preparation in understanding
the key warning signs of early-onset mental illness in children
and adolescents.
Sec. 8. Minnesota Statutes 2002, section 122A.414, is
amended by adding a subdivision to read:
Subd. 3. [REPORT.] Participating districts and school
sites must report on the implementation and effectiveness of the
alternative teacher compensation plan, particularly addressing
each requirement under subdivision 2 and make biennial
recommendations by January 1 to their school boards. The school
boards shall transmit a summary of the findings and
recommendations of their district to the commissioner.
Sec. 9. Minnesota Statutes 2002, section 122A.415,
subdivision 1, is amended to read:
Subdivision 1. [AID AMOUNT.] (a) A school district that
meets the conditions of section 122A.414 and submits an
application approved by the commissioner is eligible for
alternative compensation aid. The commissioner must consider
only applications submitted jointly by a school district and the
exclusive representative of the teachers for participation in
the program. The application must contain a formally adopted
collective bargaining agreement, memorandum of understanding, or
other binding agreement that implements an alternative teacher
professional pay system consistent with section 122A.414 and
includes all teachers in a district, all teachers at a school
site, or at least 25 percent of the teachers in a district. The
commissioner, in approving applications, may give preference to
applications involving entire districts or sites in approving
applications or to applications that align measures of teacher
performance with student academic achievement and progress under
section 120B.35, subdivision 1.
(b) Alternative compensation aid for a qualifying school
district, site, or portion of a district or school site is as
follows:
(1) for a school district in which the school board and the
exclusive representative of the teachers agree to place all
teachers in the district or at the site on the alternative
compensation schedule, alternative compensation aid equals $150
times the district's or the site's number of pupils enrolled on
October 1 of the previous fiscal year; or
(2) for a district in which the school board and the
exclusive representative of the teachers agree that at least 25
percent of the district's licensed teachers will be paid on the
alternative compensation schedule, alternative compensation aid
equals $150 times the percentage of participating teachers times
the district's number of pupils enrolled as of October 1 of the
previous fiscal year.
Sec. 10. Minnesota Statutes 2002, section 122A.415,
subdivision 3, is amended to read:
Subd. 3. [AID TIMING.] (a) Districts or sites with
approved applications must receive alternative compensation aid
for each school year that the district or site participates in
the program as described in this subdivision. Districts or
sites with applications received by the commissioner before June
1 of the first year of a two-year contract shall receive
alternative compensation aid for both years of the contract.
Districts or sites with applications received by the
commissioner after June 1 of the first year of a two-year
contract shall receive alternative compensation aid only for the
second year of the contract. A qualifying district or site that
received alternative compensation aid for the previous fiscal
year must receive at least an amount equal to the lesser of the
amount it received for the previous fiscal year or its
proportionate share of the previous year's appropriation if the
district or site submits a timely application and the
commissioner determines that the district or site continues to
implement an alternative teacher professional pay system,
consistent with its application under this section. The
commissioner must approve initial applications for school
districts qualifying under subdivision 1, paragraph (b), clause
(1), by January 15 of each year. If any money remains, the
commissioner must approve aid amounts for school districts
qualifying under subdivision 1, paragraph (b), clause (2), by
February 15 of each year.
(b) The commissioner shall select applicants that qualify
for this program, notify school districts and school sites about
the program, develop and disseminate application materials, and
carry out other activities needed to implement this section.
Sec. 11. Minnesota Statutes 2002, section 122A.63,
subdivision 3, is amended to read:
Subd. 3. [REVIEW AND COMMENT.] The commissioner must
submit the joint application to the Minnesota American Indian
scholarship education committee for review and comment.
Sec. 12. [123B.025] [SCHOOL SPONSORSHIP AND ADVERTISING
REVENUE.]
Subdivision 1. [BOARD AUTHORITY; CONTRACTS.] A school
board may enter into a contract with advertisers, sponsors, or
others regarding advertising and naming rights to school
facilities under the general charge of the district. A contract
authorized under this section must be approved by the school
board. The powers granted to a school board under this section
are in addition to any other authority the school district may
have.
Subd. 2. [AUTHORIZED AGREEMENTS.] A school district may
enter into a contract to:
(1) lease the naming rights for school facilities,
including school buildings, ice arenas, and stadiums;
(2) sell advertising on or in the facilities listed in
clause (1); and
(3) otherwise enter into an agreement with a sponsoring
agent.
Subd. 3. [REVENUE USES.] Revenue generated under this
section must be used according to a plan specified by the school
board.
Sec. 13. Minnesota Statutes 2002, section 123B.14,
subdivision 1, is amended to read:
Subdivision 1. [OFFICER SELECTION.] Within ten days after
the election of the first board in independent districts and
annually thereafter on July 1, On the first Monday of January of
each year, or as soon thereafter as practicable, the board must
meet and organize by selecting a chair, clerk, and a treasurer,
who shall hold their offices for one year and until their
successors are selected and qualify. The persons who perform the
duties of the clerk and treasurer need not be members of the
board and the board by resolution may combine the duties of the
offices of clerk and treasurer in a single person in the office
of business affairs. They may appoint a superintendent who
shall be ex officio a member of the board, but not entitled to
vote therein. In districts in which board members are elected
at the general election in November, the annual meeting of the
board must be held on the first Monday of January or as soon
thereafter as practicable.
Sec. 14. Minnesota Statutes 2002, section 123B.88,
subdivision 2, is amended to read:
Subd. 2. [VOLUNTARY SURRENDER OF TRANSPORTATION
PRIVILEGES.] The parent or guardian of a secondary student may
voluntarily surrender the secondary student's to and from school
transportation privileges granted under subdivision 1.
Sec. 15. Minnesota Statutes 2002, section 124D.081, is
amended by adding a subdivision to read:
Subd. 9. [RESERVE ACCOUNT.] First grade preparedness
revenue must be placed in a reserve account within the general
fund and may only be used for first grade preparedness programs
at qualifying school sites.
Sec. 16. Minnesota Statutes 2002, section 124D.09,
subdivision 9, is amended to read:
Subd. 9. [ENROLLMENT PRIORITY.] A post-secondary
institution shall give priority to its post-secondary students
when enrolling 11th and 12th grade pupils in its courses. A
post-secondary institution may provide information about its
programs to a secondary school or to a pupil or parent, but it
may not advertise or otherwise recruit or solicit the
participation on financial grounds, of secondary pupils to
enroll in its programs on financial grounds. An institution
must not enroll secondary pupils, for post-secondary enrollment
options purposes, in remedial, developmental, or other courses
that are not college level. Once a pupil has been enrolled in a
post-secondary course under this section, the pupil shall not be
displaced by another student.
Sec. 17. Minnesota Statutes 2002, section 124D.09,
subdivision 10, is amended to read:
Subd. 10. [COURSES ACCORDING TO AGREEMENTS.] An eligible
pupil, according to subdivision 4 5, may enroll in a
nonsectarian course taught by a secondary teacher or a
post-secondary faculty member and offered at a secondary school,
or another location, according to an agreement between a public
school board and the governing body of an eligible public
post-secondary system or an eligible private post-secondary
institution, as defined in subdivision 3. All provisions of
this section shall apply to a pupil, public school board,
district, and the governing body of a post-secondary
institution, except as otherwise provided.
Sec. 18. Minnesota Statutes 2002, section 124D.09,
subdivision 16, is amended to read:
Subd. 16. [FINANCIAL ARRANGEMENTS FOR COURSES PROVIDED
ACCORDING TO AGREEMENTS.] (a) The agreement between a board and
the governing body of a public post-secondary system or private
post-secondary institution shall set forth the payment amounts
and arrangements, if any, from the board to the post-secondary
institution. No payments shall be made by the department
according to subdivision 14 13 or 15. For the purpose of
computing state aids for a district, a pupil enrolled according
to subdivision 10 shall be counted in the average daily
membership of the district as though the pupil were enrolled in
a secondary course that is not offered in connection with an
agreement. Nothing in this subdivision shall be construed to
prohibit a public post-secondary system or private
post-secondary institution from receiving additional state
funding that may be available under any other law.
(b) If a course is provided under subdivision 10, offered
at a secondary school, and taught by a secondary teacher, the
post-secondary system or institution must not require a payment
from the school board that exceeds the cost to the
post-secondary institution that is directly attributable to
providing that course.
Sec. 19. Minnesota Statutes 2002, section 124D.09,
subdivision 20, is amended to read:
Subd. 20. [TEXTBOOKS; MATERIALS.] All textbooks and
equipment provided to a pupil, and paid for under subdivision
13, are the property of the pupil's school district of residence
postsecondary institution. Each pupil is required to return all
textbooks and equipment to the district postsecondary
institution after the course has ended.
Sec. 20. [124D.095] [ON-LINE LEARNING OPTION.]
Subdivision 1. [CITATION.] This section may be cited as
the "On-line Learning Option Act."
Subd. 2. [DEFINITIONS.] For purposes of this section, the
following terms have the meanings given them.
(a) "On-line learning" is an interactive course or program
that delivers instruction to a student by computer; is combined
with other traditional delivery methods that include frequent
student assessment and may include actual teacher contact time;
and meets or exceeds state academic standards.
(b) "On-line learning provider" is a school district, an
organization of two or more school districts operating under a
joint powers agreement, or a charter school located in Minnesota
that provides on-line learning to students.
(c) "Student" is a Minnesota resident enrolled in a school
under section 120A.22, subdivision 4, in kindergarten through
grade 12.
(d) "On-line learning student" is a student enrolled in an
on-line learning course or program delivered by an on-line
provider under paragraph (b).
(e) "Enrolling district" means the school district or
charter school in which a student is enrolled under section
120A.22, subdivision 4, for purposes of compulsory attendance.
Subd. 3. [AUTHORIZATION; NOTICE; LIMITATIONS ON
ENROLLMENT.] (a) A student may apply to an on-line learning
provider to enroll in on-line learning. A student age 17 or
younger must have the written consent of a parent or guardian to
apply. No school district or charter school may prohibit a
student from applying to enroll in on-line learning. An on-line
learning provider that accepts a student under this section
must, within ten days, notify the student and the enrolling
district if the enrolling district is not the on-line learning
provider. The notice must report the student's course or
program and hours of instruction.
(b) An on-line learning student must notify the enrolling
district at least 30 days before taking an on-line learning
course or program if the enrolling district is not providing the
on-line learning. An on-line learning provider must notify the
commissioner that it is delivering on-line learning and report
the number of on-line learning students it is accepting and the
on-line learning courses and programs it is delivering.
(c) An on-line learning provider may limit enrollment if
the provider's school board or board of directors adopts by
resolution specific standards for accepting and rejecting
students' applications.
(d) An enrolling district may reduce an on-line learning
student's regular classroom instructional membership in
proportion to the student's membership in on-line learning
courses.
Subd. 4. [ON-LINE LEARNING PARAMETERS.] (a) An on-line
learning student must receive academic credit for completing the
requirements of an on-line learning course or program.
Secondary credits granted to an on-line learning student must be
counted toward the graduation and credit requirements of the
enrolling district. The enrolling district must apply the same
graduation requirements to all students, including on-line
learning students, and must continue to provide nonacademic
services to on-line learning students. If a student completes
an on-line learning course or program that meets or exceeds a
graduation standard or grade progression requirement at the
enrolling district, that standard or requirement is met. The
enrolling district must use the same criteria for accepting
on-line learning credits or courses as it does for accepting
credits or courses for transfer students under section 124D.03,
subdivision 9. The enrolling district may reduce the teacher
contact time of an on-line learning student in proportion to the
number of on-line learning courses the student takes from an
on-line learning provider that is not the enrolling district.
(b) An on-line learning student may:
(1) enroll during a single school year in a maximum of 12
semester-long courses or their equivalent delivered by an
on-line learning provider or the enrolling district;
(2) complete course work at a grade level that is different
from the student's current grade level; and
(3) enroll in additional courses with the on-line learning
provider under a separate agreement that includes terms for
payment of any tuition or course fees.
(c) A student with a disability may enroll in an on-line
learning course or program if the student's IEP team determines
that on-line learning is appropriate education for the student.
(d) An on-line learning student has the same access to the
computer hardware and education software available in a school
as all other students in the enrolling district. An on-line
learning provider must assist an on-line learning student whose
family qualifies for the education tax credit under section
290.0674 to acquire computer hardware and educational software
for on-line learning purposes.
(e) An enrolling district may offer on-line learning to its
enrolled students. Such on-line learning does not generate
on-line learning funds under this section. An enrolling
district that offers on-line learning only to its enrolled
students is not subject to the reporting requirements or review
criteria under subdivision 7. A teacher with a Minnesota
license must assemble and deliver instruction to enrolled
students receiving on-line learning from an enrolling district.
The instruction may include curriculum developed by persons
other than a teacher with a Minnesota license.
(f) An on-line learning provider that is not the enrolling
district is subject to the reporting requirements and review
criteria under subdivision 7. A teacher with a Minnesota
license must assemble and deliver instruction to on-line
learning students. The instruction may include curriculum
developed by persons other than a teacher with a Minnesota
license. Unless the commissioner grants a waiver, a teacher
providing on-line learning instruction must not instruct more
than 40 students in any one on-line learning course or program.
Subd. 5. [PARTICIPATION IN EXTRACURRICULAR ACTIVITIES.] An
on-line learning student may participate in the extracurricular
activities of the enrolling district on the same basis as other
enrolled students.
Subd. 6. [INFORMATION.] School districts and charter
schools must make available information about on-line learning
to all interested people.
Subd. 7. [DEPARTMENT OF EDUCATION.] (a) The department
must review and certify on-line learning providers. The on-line
learning courses and programs must be rigorous, aligned with
state academic standards, and contribute to grade progression in
a single subject. On-line learning providers must affirm to the
commissioner that on-line learning courses have equivalent
standards or instruction, curriculum, and assessment
requirements as other courses offered to enrolled students. The
on-line learning provider must also demonstrate expectations for
actual teacher contact time or other student-to-teacher
communication. Once an on-line learning provider is approved
under this paragraph, all of its on-line learning course
offerings are eligible for payment under this section unless a
course is successfully challenged by an enrolling district or
the department under paragraph (b).
(b) An enrolling district may challenge the validity of a
course offered by an on-line learning provider. The department
must review such challenges based on the certification
procedures under paragraph (a). The department may initiate its
own review of the validity of an on-line learning course offered
by an on-line learning provider.
(c) The department may collect a fee not to exceed $250 for
certifying on-line learning providers or $50 per course for
reviewing a challenge by an enrolling district.
(d) The department must develop, publish, and maintain a
list of approved on-line learning providers and on-line learning
courses and programs that it has reviewed and certified.
Subd. 8. [FINANCIAL ARRANGEMENTS.] (a) For a student
enrolled in an on-line learning course, the department must
calculate average daily membership and make payments according
to this subdivision.
(b) The initial on-line learning average daily membership
equals 1/12 for each semester course or a proportionate amount
for courses of different lengths. The adjusted on-line learning
average daily membership equals the initial on-line learning
average daily membership times .88.
(c) No on-line learning average daily membership shall be
generated if: (i) the student does not complete the on-line
learning course, or (ii) the student is enrolled in on-line
learning provided by the enrolling district and the student was
enrolled in a Minnesota public school for the school year before
the school year in which the student first enrolled in on-line
learning.
(d) On-line learning average daily membership under this
subdivision for a student currently enrolled in a Minnesota
public school and who was enrolled in a Minnesota public school
for the school year before the school year in which the student
first enrolled in on-line learning shall be used only for
computing average daily membership according to section 126C.05,
subdivision 19, paragraph (a), clause (ii), and for computing
on-line learning aid according to section 126C.24.
(e) On-line learning average daily membership under this
subdivision for students not included in paragraph (c) or (d)
shall be used only for computing average daily membership
according to section 126C.05, subdivision 19, paragraph (a),
clause (ii), and for computing payments under paragraphs (f) and
(g).
(f) Subject to the limitations in this subdivision, the
department must pay an on-line learning provider an amount equal
to the product of the adjusted on-line learning average daily
membership for students under paragraph (e) times the student
grade level weighting under section 126C.05, subdivision 1,
times the formula allowance.
(g) The department must pay each on-line learning provider
100 percent of the amount in paragraph (f) within 45 days of
receiving final enrollment and course completion information
each quarter or semester.
Subd. 9. [PAYMENT PRIORITY.] (a) To the extent funds are
available, the commissioner must pay an on-line learning
provider according to subdivision 8, in the order in which a
on-line learning provider notifies the commissioner under
subdivision 3, paragraph (b), that it is delivering on-line
learning. The on-line learning provider must submit to the
commissioner any student information necessary to process
payments under this section.
(b) Before paying other on-line learning providers under
paragraph (a), the commissioner must pay providers that
delivered on-line learning in fiscal year 2003. (i) First, the
commissioner must pay for students who were enrolled in a
Minnesota on-line learning program during fiscal year 2003 and
continue to be enrolled in that on-line learning program during
the current fiscal year. (ii) Second, the commissioner must pay
for other students enrolled in that on-line learning program
during the current fiscal year. A provider's qualifying number
of pupils under clauses (i) and (ii) shall not exceed 100
percent of the fiscal year 2003 pupils. An on-line learning
provider that qualifies under this paragraph may also submit an
application for funding for additional pupils under paragraph
(a).
(c) Notwithstanding paragraph (a), the commissioner may
establish criteria to limit the increase in the number of
qualifying pupils for an on-line learning provider to enable
start-up or growth of other providers.
[EFFECTIVE DATE.] This section is effective for the
2003-2004 school year and later.
Sec. 21. Minnesota Statutes 2002, section 124D.10,
subdivision 2a, is amended to read:
Subd. 2a. [CHARTER SCHOOL ADVISORY COUNCIL.] (a) A charter
school advisory council is established under section
15.059 except that the term for each council member shall be
three years. The advisory council is composed of seven members
from throughout the state who have demonstrated experience with
or interest in charter schools. The members of the council
shall be appointed by the commissioner. The advisory council
shall bring to the attention of the commissioner any matters
related to charter schools that the council deems necessary and
shall:
(1) encourage school boards to make full use of charter
school opportunities;
(2) encourage the creation of innovative schools;
(3) provide leadership and support for charter school
sponsors to increase the innovation in and the effectiveness,
accountability, and fiscal soundness of charter schools;
(4) serve an ombudsman function in facilitating the
operations of new and existing charter schools;
(5) promote timely financial management training for newly
elected members of a charter school board of directors and
ongoing training for other members of a charter school board of
directors; and
(6) review charter school applications and recommend
approving or disapproving the applications; and
(7) facilitate compliance with auditing and other reporting
requirements. The advisory council shall refer all its
proposals to the commissioner who shall provide time for reports
from the council.
(b) The charter school advisory council under this
subdivision expires June 30, 2003 2007.
Sec. 22. Minnesota Statutes 2002, section 124D.10,
subdivision 3, is amended to read:
Subd. 3. [SPONSOR.] (a) A school board; intermediate
school district school board; education district 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.
(b) A nonprofit corporation subject to chapter 317A,
described in section 317A.905, and exempt from federal income
tax under section 501(c)(6) of the Internal Revenue Code of
1986, may sponsor one or more charter schools if the charter
school has operated for at least three years under a different
sponsor and if the nonprofit corporation has existed for at
least 25 years.
[EFFECTIVE DATE.] This section is effective for the
2003-2004 school year and later.
Sec. 23. Minnesota Statutes 2002, section 124D.10,
subdivision 4, is amended to read:
Subd. 4. [FORMATION OF SCHOOL.] (a) A sponsor may
authorize one or more licensed teachers under section 122A.18,
subdivision 1, to operate a charter school subject to approval
by the commissioner. A board must vote on charter school
application for sponsorship no later than 90 days after
receiving the application. After 90 days, the applicant may
apply to the commissioner. If a board elects not to sponsor a
charter school, the applicant may appeal the board's decision to
the commissioner. The commissioner may elect to sponsor the
charter school or assist the applicant in finding an eligible
sponsor. The school must be organized and operated as a
cooperative under chapter 308A or nonprofit corporation under
chapter 317A and the provisions under the applicable chapter
shall apply to the school except as provided in this section.
Notwithstanding sections 465.717 and 465.719, a school district
may create a corporation for the purpose of creating a charter
school.
(b) Before the operators may form and operate a school, the
sponsor must file an affidavit with the commissioner stating its
intent to authorize a charter school. The affidavit must state
the terms and conditions under which the sponsor would authorize
a charter school. The commissioner must approve or disapprove
the sponsor's proposed authorization within 60 days of receipt
of the affidavit. Failure to obtain commissioner approval
precludes a sponsor from authorizing the charter school that was
the subject of the affidavit.
(c) The operators authorized to organize and operate a
school, before entering into a contract or other agreement for
professional or other services, goods, or facilities, must
incorporate as a cooperative under chapter 308A or as a
nonprofit corporation under chapter 317A and must establish a
board of directors composed of at least five members until a
timely election for members of the charter school board of
directors is held according to the school's articles and
bylaws. A charter school board of directors must be composed of
at least five members. Any staff members who are employed at
the school, including teachers providing instruction under a
contract with a cooperative, and all parents of children
enrolled in the school may participate in the election for
members of the school's board of directors. Licensed teachers
employed at the school, including teachers providing instruction
under a contract with a cooperative, must be a majority of the
members of the board of directors before the school completes
its third year of operation, unless the commissioner waives the
requirement for a majority of licensed teachers on the board.
Board of director meetings must comply with chapter 13D.
(d) The granting or renewal of a charter by a sponsoring
entity must not be conditioned upon the bargaining unit status
of the employees of the school.
(e) A sponsor may authorize the operators of a charter
school to expand the operation of the charter school to
additional sites or to add additional grades at the school
beyond those described in the sponsor's application as approved
by the commissioner only after submitting a supplemental
application to the commissioner in a form and manner prescribed
by the commissioner. The supplemental application must provide
evidence that:
(1) the expansion of the charter school is supported by
need and projected enrollment;
(2) the charter school is fiscally sound;
(3) the sponsor supports the expansion; and
(4) the building of the additional site meets all health
and safety requirements to be eligible for lease aid.
(f) The commissioner annually must provide timely financial
management training to newly elected members of a charter school
board of directors and ongoing training to other members of a
charter school board of directors. Training must address ways
to:
(1) proactively assess opportunities for a charter school
to maximize all available revenue sources;
(2) establish and maintain complete, auditable records for
the charter school;
(3) establish proper filing techniques;
(4) document formal actions of the charter school,
including meetings of the charter school board of directors;
(5) properly manage and retain charter school and student
records;
(6) comply with state and federal payroll record-keeping
requirements; and
(7) address other similar factors that facilitate
establishing and maintaining complete records on the charter
school's operations.
Sec. 24. Minnesota Statutes 2002, section 124D.10,
subdivision 16, is amended to read:
Subd. 16. [TRANSPORTATION.] (a) By July 1 of each year, a
charter school must notify the district in which the school is
located and the department of children, families, and
learning education if it will provide transportation for pupils
enrolled in the school for the fiscal year.
(b) If a charter school elects to provide transportation
for pupils, the transportation must be provided by the charter
school within the district in which the charter school is
located. The state must pay transportation aid to the charter
school according to section 124D.11, subdivision 2.
For pupils who reside outside the district in which the
charter school is located, the charter school is not required to
provide or pay for transportation between the pupil's residence
and the border of the district in which the charter school is
located. A parent may be reimbursed by the charter school for
costs of transportation from the pupil's residence to the border
of the district in which the charter school is located if the
pupil is from a family whose income is at or below the poverty
level, as determined by the federal government. The
reimbursement may not exceed the pupil's actual cost of
transportation or 15 cents per mile traveled, whichever is
less. Reimbursement may not be paid for more than 250 miles per
week.
At the time a pupil enrolls in a charter school, the
charter school must provide the parent or guardian with
information regarding the transportation.
(c) If a charter school does not elect to provide
transportation, transportation for pupils enrolled at the school
must be provided by the district in which the school is located,
according to sections 123B.88, subdivision 6, and 124D.03,
subdivision 8, for a pupil residing in the same district in
which the charter school is located. Transportation may be
provided by the district in which the school is located,
according to sections 123B.88, subdivision 6, and 124D.03,
subdivision 8, for a pupil residing in a different district. If
the district provides the transportation, the scheduling of
routes, manner and method of transportation, control and
discipline of the pupils, and any other matter relating to the
transportation of pupils under this paragraph shall be within
the sole discretion, control, and management of the district.
Sec. 25. Minnesota Statutes 2002, section 124D.10,
subdivision 20, is amended to read:
Subd. 20. [LEAVE TO TEACH IN A CHARTER SCHOOL.] If a
teacher employed by a district makes a written request for an
extended leave of absence to teach at a charter school, the
district must grant the leave. The district must grant a leave
for any number of not to exceed a total of five years requested
by the teacher, and must. Any request to extend the leave at
the teacher's request shall be granted only at the discretion of
the school board. The district may require that the request for
a leave or extension of leave be made up to 90 days before the
teacher would otherwise have to report for duty. Except as
otherwise provided in this subdivision and except for section
122A.46, subdivision 7, the leave is governed by section
122A.46, including, but not limited to, reinstatement, notice of
intention to return, seniority, salary, and insurance.
During a leave, the teacher may continue to aggregate
benefits and credits in the teachers' retirement association
account by paying both the employer and employee contributions
based upon the annual salary of the teacher for the last full
pay period before the leave began. The retirement association
may impose reasonable requirements to efficiently administer
this subdivision.
[EFFECTIVE DATE.] This section is effective the day
following final enactment and applies to approvals of leaves or
approvals of extensions of leaves made after that date.
Notwithstanding Minnesota Statutes 2002, section 122A.46,
subdivision 2, a school district, upon request, must grant a
one-year extension for the 2003-2004 school year to a teacher on
a leave of absence to teach at a charter school under this
subdivision who has taught five or more years as of the
2003-2004 school year.
Sec. 26. Minnesota Statutes 2002, 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, and transportation
sparsity revenue, and the transportation portion of the
transition revenue adjustment, plus basic skills revenue and
transition 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.
Sec. 27. Minnesota Statutes 2002, section 124D.11,
subdivision 2, is amended to read:
Subd. 2. [TRANSPORTATION REVENUE.] Transportation revenue
must be paid to a charter school that provides transportation
services according to section 124D.10, subdivision 16, according
to this subdivision. Transportation aid shall equal
transportation revenue.
In addition to the revenue under subdivision 1, a charter
school providing transportation services must receive general
education aid for each pupil unit equal to the sum of an amount
equal to the product of the formula allowance according to
section 126C.10, subdivision 2, times .0485, plus the
transportation sparsity allowance for the school district in
which the charter school is located, plus the transportation
transition allowance for the district in which the charter
school is located.
Sec. 28. Minnesota Statutes 2002, section 124D.11,
subdivision 4, is amended to read:
Subd. 4. [BUILDING LEASE AID.] When a charter school finds
it economically advantageous to rent or lease a building or land
for any instructional purposes and it determines that the total
operating capital revenue under section 126C.10, subdivision 13,
is insufficient for this purpose, it may apply to the
commissioner for building lease aid for this purpose. The
commissioner must review and either approve or deny a lease aid
application using the following criteria:
(1) the reasonableness of the price based on current market
values;
(2) the extent to which the lease conforms to applicable
state laws and rules; and
(3) the appropriateness of the proposed lease in the
context of the space needs and financial circumstances of the
charter school.
A charter school must not use the building lease aid it receives
for custodial, maintenance service, utility, or other operating
costs. The amount of building lease aid per pupil unit served
for a charter school for any year shall not exceed the lesser of
(a) 90 percent of the approved cost or (b) the product of the
pupil units served for the current school year times $1,500 the
greater of the charter school's building lease aid per pupil
unit served for fiscal year 2003, excluding the adjustment under
Laws 2002, chapter 392, article 6, section 4, or $1,200.
[EFFECTIVE DATE.] This section is effective for revenue for
fiscal year 2004.
Sec. 29. Minnesota Statutes 2002, 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 education, 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 school
may 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 revenue. 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 for revenue for
fiscal year 2004.
Sec. 30. Minnesota Statutes 2002, section 124D.42,
subdivision 6, is amended to read:
Subd. 6. [PROGRAM TRAINING.] (a) The commission must,
within available resources, ensure an opportunity for each
participant to have three weeks of training in a residential
setting. If offered, each training session must:
(1) orient each participant in the nature, philosophy, and
purpose of the program;
(2) build an ethic of community service through general
community service training; and
(3) provide additional training as it determines necessary,
which may include training in evaluating early literacy skills
and teaching reading to preschool children through the St. Croix
River education district under Laws 2001, First Special Session
chapter 6, article 2, section 70, to assist local Head Start
organizations in establishing and evaluating Head Start programs
for developing children's early literacy skills.
(b) Each grantee organization shall also train participants
in skills relevant to the community service opportunity.
Sec. 31. Minnesota Statutes 2002, section 124D.86,
subdivision 1a, is amended to read:
Subd. 1a. [BUDGET APPROVAL PROCESS.] Each year before a
district receives any revenue under subdivision 3, clause (4),
(5), or (6), the district must submit to the department of
children, families, and learning education, 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.
[EFFECTIVE DATE.] This section is effective retroactively
for revenue for fiscal year 2003.
Sec. 32. Minnesota Statutes 2002, section 124D.86,
subdivision 3, is amended to read:
Subd. 3. [INTEGRATION REVENUE.] Integration revenue equals
the following amounts:
(1) for independent school district No. 709,
Duluth, $207 $206 times the adjusted pupil units for the school
year;
(2) for independent school district No. 625, St.
Paul, $446 $445 times the adjusted pupil units for the school
year;
(3) for special school district No. 1, Minneapolis, the sum
of $446 $445 times the adjusted pupil units for the school year
and an additional $35 times the adjusted pupil units for the
school year that is provided entirely through a local levy;
(4) for a district not listed in clause (1), (2), or (3),
that must implement a plan under Minnesota Rules, parts
3535.0100 to 3535.0180, where the district's enrollment of
protected students, as defined under Minnesota Rules, part
3535.0110, exceeds 15 percent, the lesser of (i) the actual cost
of implementing the plan during the fiscal year minus the aid
received under subdivision 6, or (ii) $130 $129 times the
adjusted pupil units for the school year;
(5) for a district not listed in clause (1), (2), (3), or
(4), that is required to implement a plan according to the
requirements of Minnesota Rules, parts 3535.0100 to 3535.0180,
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 $92 times the adjusted pupil units for the school
year.
Any money received by districts in clauses (1) to (4) (3)
which exceeds the amount received in fiscal year 2000 shall be
subject to the budget requirements in subdivision 1a; and
(6) for a member district of a multidistrict integration
collaborative that files a plan with the commissioner, but is
not contiguous to a racially isolated district, integration
revenue equals the amount defined in clause (5).
[EFFECTIVE DATE.] This section is effective for revenue for
fiscal year 2004.
Sec. 33. Minnesota Statutes 2002, section 124D.86,
subdivision 4, is amended to read:
Subd. 4. [INTEGRATION LEVY.] A district may levy an amount
equal to 37 percent for fiscal year 2003, 22 23 percent for
fiscal year 2004, 29 and 30 percent for fiscal year 2005, and 22
percent for fiscal year 2006 and thereafter of the district's
integration revenue as defined in subdivision 3.
[EFFECTIVE DATE.] This section is effective for revenue for
fiscal year 2004.
Sec. 34. Minnesota Statutes 2002, section 124D.86,
subdivision 5, is amended to read:
Subd. 5. [INTEGRATION AID.] A district's integration aid
equals 63 percent for fiscal year 2003, 78 percent for fiscal
year 2004, 71 percent for fiscal year 2005, and 78 percent for
fiscal year 2006 and thereafter of the difference between the
district's integration revenue as defined in subdivision 3 and
its integration levy.
[EFFECTIVE DATE.] This section is effective for revenue for
fiscal year 2004.
Sec. 35. Minnesota Statutes 2002, 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 a district serving nonresidents must be
increased by an amount equal to the 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), (5), or
(6), for the time the pupil is enrolled in the nonresident
district.
[EFFECTIVE DATE.] This section is effective retroactively
for fiscal year 2003.
Sec. 36. Minnesota Statutes 2002, section 126C.05, is
amended by adding a subdivision to read:
Subd. 19. [ON-LINE LEARNING STUDENTS.] (a) The average
daily membership for a public school pupil generating on-line
learning average daily membership according to section 124D.095,
subdivision 8, paragraph (b), equals the sum of: (i) the ratio
of the sum of the number of instructional hours the pupil is
enrolled in a regular classroom setting at the enrolling school
to the actual number of instructional hours in the school year
at the enrolling school, plus (ii) .12 times the initial on-line
learning average daily membership according to section 124D.095,
subdivision 8, paragraph (b).
(b) When the sum of the average daily membership under
paragraph (a) and the adjusted on-line learning average daily
membership under section 124D.095, subdivision 8, paragraph (b),
exceeds the maximum allowed for the student under subdivision 8
or 15, as applicable, the average daily membership under
paragraph (a) shall be reduced by the excess over the maximum,
but shall not be reduced below .12. The adjusted on-line
learning average daily membership according to section 124D.095,
subdivision 8, paragraph (b), shall be reduced by any remaining
excess over the maximum.
Sec. 37. [124D.096] [ON-LINE LEARNING AID.]
(a) The on-line learning aid for an on-line learning
provider equals the product of the adjusted on-line learning
average daily membership for students under section 124D.095,
subdivision 8, paragraph (d), times the student grade level
weighting under section 126C.05, subdivision 1, times the
formula allowance.
(b) Notwithstanding section 127A.45, the department must
pay each on-line learning provider 77 percent of the amount in
paragraph (a) within 45 days of receiving final enrollment and
course completion information each quarter or semester. A final
payment equal to 23 percent of the amount in paragraph (a) must
be made on September 30 of the next fiscal year.
Sec. 38. Minnesota Statutes 2002, section 126C.44, is
amended to read:
126C.44 [SAFE SCHOOLS LEVY.]
Each district may make a levy on all taxable property
located within the district for the purposes specified in this
section. The maximum amount which may be levied for all costs
under this section shall be equal to $30 $27 multiplied by the
district's adjusted marginal cost pupil units for the school
year. 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's schools; (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 the district's schools; (4) to
pay the costs for security in the district's schools and on
school property; or (5) to pay the costs for other crime
prevention, 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 this section
is not included in determining the school district's levy
limitations.
[EFFECTIVE DATE.] This section is effective for taxes
payable in 2004.
Sec. 39. Minnesota Statutes 2002, section 128C.02,
subdivision 1, is amended to read:
Subdivision 1. [DECISIONS, POLICIES, ADVISORY COMMITTEES.]
The board shall establish and adopt policies, including a policy
on corporate sponsorships and similar agreements, make decisions
on behalf of the league, and establish advisory committees
necessary to carry out board functions.
[EFFECTIVE DATE.] This section is effective the day
following final enactment.
Sec. 40. Minnesota Statutes 2002, section 128C.05, is
amended by adding a subdivision to read:
Subd. 1a. [SUPERVISED COMPETITIVE HIGH SCHOOL
DIVING.] Notwithstanding Minnesota Rules, part 4717.3750, any
pool built before January 1, 1987, that was used for a high
school diving program during the 2000-2001 school year may be
used for supervised competitive high school diving unless a pool
that meets the requirements of Minnesota Rules, part 4717.3750,
is located within the school district. A school or district
using a pool for supervised competitive high school diving that
does not meet the requirements of the rule must provide
appropriate notice to parents and participants.
[EFFECTIVE DATE.] This section is effective for the
2003-2004 school year and later.
Sec. 41. Minnesota Statutes 2002, section 200.02,
subdivision 7, is amended to read:
Subd. 7. [MAJOR POLITICAL PARTY.] (a) "Major political
party" means a political party that maintains a party
organization in the state, political division or precinct in
question and that has presented at least one candidate for
election to the office of:
(1) governor and lieutenant governor, secretary of state,
state auditor, or attorney general, at the last preceding state
general election for those offices; or
(2) presidential elector, or U.S. senator at the last
preceding state general election for presidential electors; at
the last preceding general election, and whose candidate
received votes in each county in that election and received
votes from not less than five percent of the total number of
individuals who voted in that election.
(b) "Major political party" also means a political party
that maintains a party organization in the state, political
subdivision, or precinct in question and whose members present
to the secretary of state a petition for a place on the state
partisan primary ballot, which petition contains signatures of a
number of the party members equal to at least five percent of
the total number of individuals who voted in the preceding state
general election.
(c) A political party whose candidate receives a sufficient
number of votes at a state general election described in
paragraph (a) becomes a major political party as of January 1
following that election and retains its major party status
notwithstanding that the party fails to present a candidate who
receives the number and percentage of votes required under
paragraph (a) at the following state general election.
(d) A major political party whose candidates fail to
receive the number and percentage of votes required under
paragraph (a) at either the next state general election
described by paragraph (a) loses major party status as of
December 31 following the most recent that state general
election; except that in a year when presidential elector is the
only office of those listed in paragraph (a) to be voted on at
the state general election, a major political party retains its
major party status until the next state general election.
[EFFECTIVE DATE.] This section is effective August 1, 2003.
Sec. 42. Minnesota Statutes 2002, section 200.02,
subdivision 23, is amended to read:
Subd. 23. [MINOR POLITICAL PARTY.] (a) "Minor political
party" means a political party that is not a major political
party as defined by subdivision 7 and that has adopted a state
constitution, designated a state party chair, held a state
convention in the last two years, filed with the secretary of
state no later than December 31 following the most recent state
general election a certification that the party has met the
foregoing requirements, and met the requirements of paragraph
(b) or (e), as applicable.
(b) To be considered a minor party in all elections
statewide,:
(1) the political party must have presented at least one
candidate for election to the office of:
(1) governor and lieutenant governor, secretary of state,
state auditor, or attorney general, at the last preceding state
general election for those offices; or
(2) presidential elector, or U.S. senator at the preceding
state general election for presidential electors; and at the
last preceding general election, who received votes in each
county that in the aggregate equal at least one percent of the
total number of individuals who voted in the election, or
(2) its members must have presented to the secretary of
state a nominating petition in a form prescribed by the
secretary of state containing the signatures of party members in
a number equal to at least one percent of the total number of
individuals who voted in the preceding state general election.
(c) A political party whose candidate receives a sufficient
number of votes at a state general election described in
paragraph (b) becomes a minor political party as of January 1
following that election and retains its minor party status
notwithstanding that the party fails to present a candidate who
receives the number and percentage of votes required under
paragraph (b) at the following state general election.
(d) A minor political party whose candidates fail to
receive the number and percentage of votes required under
paragraph (b) at either the next state general election
described by paragraph (b) loses minor party status as of
December 31 following the most recent that state general
election; except that in a year when presidential elector is the
only office of those listed in paragraph (b), clause (1), to be
voted on at the state general election, a minor political party
retains its minor party status until the next state general
election.
(e) To be considered a minor party in an election in a
legislative district, the political party must have presented at
least one candidate for a legislative office in that district
who received votes from at least ten percent of the total number
of individuals who voted for that office, or its members must
have presented to the secretary of state a nominating petition
in a form prescribed by the secretary of state containing the
signatures of party members in a number equal to at least ten
percent of the total number of individuals who voted in the
preceding state general election for that legislative office.
[EFFECTIVE DATE.] This section is effective August 1, 2003.
Sec. 43. Minnesota Statutes 2002, section 205A.03,
subdivision 1, is amended to read:
Subdivision 1. [RESOLUTION REQUIRED PRIMARY IN CERTAIN
CIRCUMSTANCES.] The school board of a school district may, by
resolution adopted by June 1 of any year, decide to choose
nominees for school district elective offices by a primary as
provided in subdivisions 1 to 6. The resolution, when adopted,
is effective for all ensuing elections of board members in that
school district until it is revoked. In a school district
election, if there are more than two candidates for a specified
school board position or more than twice as many school board
candidates as there are at-large school board positions
available, a school district must hold a primary.
[EFFECTIVE DATE.] This section is effective the day
following final enactment for independent school district No.
742. This section is effective January 1, 2004, for all other
school districts and applies to school board elections held in
2004 and thereafter.
Sec. 44. Minnesota Statutes 2002, section 205A.03,
subdivision 3, is amended to read:
Subd. 3. [CANDIDATES, FILING.] The clerk shall place upon
the primary ballot without partisan designation the names of
individuals whose candidacies have been filed and for whom the
proper filing fee has been paid. When not more than twice the
number of individuals to be elected to a school district
elective office as many school board candidates as there are
at-large school board positions available file for nomination
for the office or when not more than two candidates for a
specified school board position file for nomination for that
office, their names must not be placed upon the primary ballot
and must be placed on the school district general election
ballot as the nominees for that office.
Sec. 45. Minnesota Statutes 2002, section 205A.03,
subdivision 4, is amended to read:
Subd. 4. [RESULTS.] The school district primary must be
conducted and the returns made in the manner provided for the
state primary as far as practicable. Within two days after the
primary, the school board of the school district shall canvass
the returns, and the two candidates for each office specified
school board position who receive the highest number of votes,
or a number of candidates equal to twice the number of
individuals to be elected to the office at-large school board
positions who receive the highest number of votes, are the
nominees for the office named. Their names must be certified to
the school district clerk who shall place them on the school
district general election ballot without partisan designation
and without payment of an additional fee.
Sec. 46. Minnesota Statutes 2002, section 205A.06,
subdivision 1a, is amended to read:
Subd. 1a. [FILING PERIOD.] In school districts nominating
candidates at a school district primary, Affidavits of candidacy
may must be filed with the school district clerk no earlier than
the 70th day and no later than the 56th day before the first
Tuesday after the second Monday in September in the year when
the school district general election is held. In all other
school districts, affidavits of candidacy must be filed not more
than 70 days and not less than 56 days before the school
district general election.
[EFFECTIVE DATE.] This section is effective the day
following final enactment for independent school district No.
742. This section is effective January 1, 2004, for all other
school districts and applies to school board elections held in
2004 and thereafter.
Sec. 47. Minnesota Statutes 2002, section 611A.78,
subdivision 1, is amended to read:
Subdivision 1. [MEMBERSHIP.] A crime victim services
roundtable is created and shall be convened by the commissioner
of administration or a designee. The roundtable membership
shall include representatives from the following: the
departments of health; human services; children, families, and
learning; corrections; and public safety; the supreme court; the
Minnesota planning agency; the office of the attorney general;
the office of crime victim ombudsman; the county attorneys
association; and the office of dispute resolution. The
roundtable membership shall also include one person representing
the four councils designated in sections 3.922, 3.9223, 3.9225,
and 3.9226.
Sec. 48. Laws 2001, First Special Session chapter 6,
article 2, section 72, is amended to read:
Sec. 72. [DEADLINE AND PENALTY WAIVED.]
The deadline and penalty under Minnesota Statutes, section
123B.05, subdivision 2, do not apply for aid payment for
the 2002-2003 2004-2005 biennium.
Sec. 49. [CHARTER SCHOOL ADVISORY BOARD MEMBER TERMS.]
In order to establish staggered terms for charter school
advisory board members under Minnesota Statutes, section
124D.10, subdivision 2a, the commissioner of education shall, by
lot, determine the length of term for each member serving on the
board on the effective date of this section. One-third of the
members shall serve a one-year term, one-third shall serve a
two-year term, and one-third shall serve a three-year term.
Thereafter, the term for each member must be three years.
Sec. 50. [PILOT PROJECT TO EVALUATE PARENT INVOLVEMENT
POLICIES AND STRATEGIES.]
Subdivision 1. [DISTRICT AND SCHOOL SITE POLICY
EVALUATION.] A school board may elect to participate in a
two-year pilot project to evaluate parent involvement policies
and strategies in the district and in school sites, with the
goal of improving the academic achievement of all students
within the district, including at-risk students.
Subd. 2. [PARENT INVOLVEMENT REVIEW COMMITTEES.] A school
board electing to participate and interested school sites within
that district must establish a parent involvement review
committee or expand the purview of an existing committee
composed of a majority of parents. The committees must evaluate
the effectiveness of district and school site programs and
strategies intended to provide all parents with meaningful
opportunities to participate in the process of educating
students. The committees, among other things, may evaluate the
operation of the instruction and curriculum advisory committee
or building team under Minnesota Statutes, section 120B.11, or
parent involvement programs developed under Minnesota Statutes,
section 124D.895. A majority of committee members must be
parents of students enrolled in the district or school site, if
applicable. The committee also must include teachers employed
by the district and who teach at a school site, if applicable.
A district must assist participating school sites at the request
of the school site.
Subd. 3. [NOTICE OF PARTICIPATION; NOTICE TO PARENTS.] (a)
A school board electing to participate under this section must
notify the commissioner of education of its participation and
the participation of interested school sites on a form supplied
by the commissioner. The commissioner may assist participating
districts and school sites at the request of the district or
school site.
(b) Participating school districts must transmit timely
effective notice of this project to parent organizations
throughout the district and to parents of children enrolled in
district schools.
Subd. 4. [REPORT.] Participating districts and school
sites must report the findings of the evaluation and related
recommendations annually by March 1 to the school board, which
shall transmit a summary of the findings and recommendations to
the commissioner. Information the commissioner receives under
this subdivision may be used to modify guidelines and model
plans for parent involvement programs under Minnesota Statutes,
section 124D.895.
[EFFECTIVE DATE.] This section is effective the day
following final enactment and applies to the 2003-2004 and
2004-2005 school years.
Sec. 51. [CHARTER SCHOOL START-UP AID.]
A charter school in its first year of operation during
fiscal year 2004 or 2005 is not eligible for charter school
start-up aid under Minnesota Statutes, section 124D.11,
subdivision 8.
Sec. 52. [ALTERNATIVE ATTENDANCE ADJUSTMENTS FOR FISCAL
YEAR 2002.]
Notwithstanding Minnesota Statutes, section 124D.86,
subdivision 6, for fiscal year 2002 only, integration aid under
Minnesota Statutes, section 124D.86, subdivision 5, must be
adjusted for each pupil residing in special school district No.
1, Minneapolis; independent school district No. 625, St. Paul;
or independent school district No. 709, Duluth, and attending a
nonresident district under Minnesota Statutes, sections 123A.05
to 123A.08, 124D.03, 124D.06, and 124D.08, other than
Minneapolis, St. Paul or Duluth that 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 a district serving nonresident pupils must
be increased by an amount equal to the revenue per pupil of the
resident district under Minnesota Statutes, section 124D.86,
subdivision 3, minus the revenue attributable to the pupil in
the nonresident district for the time the pupil is enrolled in
the nonresident district.
[EFFECTIVE DATE.] This section is effective the day
following final enactment and applies to fiscal year 2002.
Sec. 53. [POLICY ON STUDENTS WITH A HISTORY OF VIOLENT
BEHAVIOR.]
(a) Representatives of the Minnesota school boards
association, Education Minnesota, and the information policy
analysis division in the Minnesota department of administration,
the parent of a child who has participated in the Title I
delinquent education program selected by the commissioner of
education, and the commissioner of education or the
commissioner's designee, shall develop a model policy by August
1, 2003, on notifying classroom teachers and other school
district employees having a legitimate educational interest when
a student with a history of violent behavior is placed in the
teacher's classroom. The model policy at least must:
(1) define what constitutes a history of violent behavior,
consistent with Minnesota Statutes, section 121A.45, subdivision
2, clause (c);
(2) limit reports on violent behavior to a specified number
of school years;
(3) define "legitimate educational interest," consistent
with Minnesota Statutes, section 121A.64;
(4) indicate the persons at the school or district level
who determine which school district employees have a legitimate
educational interest;
(5) require school districts that transfer the student
records of a student with a history of violent behavior to
another school district, charter school, or alternative
education program to include all information about the student's
history of violent behavior in the student's educational records
it transmits to the enrolling school district, charter school,
or alternative education program, consistent with this policy;
(6) ensure that the parent of a student with a history of
violent behavior is able to review the student's educational
records and data and to effectively exercise rights under both
federal and state data practices laws to challenge records or
data on the basis that they are inaccurate, incomplete,
misleading, or otherwise violate the student's right to privacy
before the classroom teacher or other district employee is
notified; and
(7) require school districts to inform the parent or
guardian of a student with a history of violent behavior under
Minnesota Statutes, section 121A.64, that the district gives
notice about the student's history of violent behavior to the
classroom teacher and other district employees having a
legitimate educational interest before placing the student in
the teacher's classroom.
(b) The information policy analysis division in the
Minnesota department of administration by August 15, 2003, must
post on its division Web site the model policy developed under
paragraph (a).
(c) The task force in paragraph (a) expires on August 1,
2003.
[EFFECTIVE DATE.] This section is effective the day
following final enactment.
Sec. 54. [AT-LARGE SCHOOL BOARD MEMBERS; INDEPENDENT
SCHOOL DISTRICT NO. 709, DULUTH.]
(a) Notwithstanding Laws 1969, chapter 698, or other law to
the contrary, the school board for independent school district
No. 709, Duluth, may by resolution reduce from five to three the
number of at-large school board members.
(b) If the school board adopts the resolution under
paragraph (a), for the November 2003 election and each four
years thereafter, the three positions of those members elected
at large whose terms expire on December 31, 2003, shall be
reduced to one member elected at large.
(c) Nothing in this section prevents a member of the school
board on the effective date of this act who is otherwise
qualified from running for reelection upon the expiration of
that member's term.
[EFFECTIVE DATE.] This section is effective the day
following final enactment.
Sec. 55. [APPROPRIATIONS.]
Subdivision 1. [DEPARTMENT OF EDUCATION.] The sums
indicated in this section are appropriated from the general fund
to the department of education for the fiscal years designated.
Subd. 2. [CHARTER SCHOOL BUILDING LEASE AID.] For building
lease aid under Minnesota Statutes, section 124D.11, subdivision
4:
$17,140,000 ..... 2004
$21,018,000 ..... 2005
The 2004 appropriation includes $2,524,000 for 2003 and
$14,616,000 for 2004.
The 2005 appropriation includes $3,654,000 for 2004 and
$17,364,000 for 2005.
Subd. 3. [CHARTER SCHOOL STARTUP AID.] For charter school
startup cost aid under Minnesota Statutes, section 124D.11:
$824,000 ..... 2004
$151,000 ..... 2005
The 2004 appropriation includes $220,000 for 2003 and
$604,000 for 2004.
The 2005 appropriation includes $151,000 for 2004 and $0
for 2005.
Subd. 4. [CHARTER SCHOOL INTEGRATION GRANTS.] For grants
to charter schools to promote integration and desegregation
under Minnesota Statutes, section 124D.11, subdivision 6,
paragraph (e):
$8,000 ..... 2004
This appropriation includes $8,000 for 2003 and $0 for 2004.
Subd. 5. [INTEGRATION AID.] For integration aid under
Minnesota Statutes, section 124D.86, subdivision 5:
$56,869,000 ..... 2004
$56,092,000 ..... 2005
The 2004 appropriation includes $8,428,000 for 2003 and
$48,441,000 for 2004.
The 2005 appropriation includes $12,110,000 for 2004 and
$43,982,000 for 2005.
Subd. 6. [MAGNET SCHOOL GRANTS.] For magnet school and
program grants:
$750,000 ..... 2004
$750,000 ..... 2005
$90,000 of the fiscal year 2004 appropriation is for
continuation of the magnet school program authorized under Laws
2000, chapter 489, article 7, section 15, subdivision 5, for
independent school district No. 696, Ely.
These amounts may be used for magnet school programs under
Minnesota Statutes, section 124D.88.
Subd. 7. [MAGNET SCHOOL STARTUP AID.] For magnet school
startup aid under Minnesota Statutes, section 124D.88:
$ 37,000 ..... 2004
$454,000 ..... 2005
The 2004 appropriation includes $37,000 for 2003 and $0 for
2004.
The 2005 appropriation includes $0 for 2004 and $437,000
for 2005.
Subd. 8. [INTERDISTRICT DESEGREGATION OR INTEGRATION
TRANSPORTATION GRANTS.] For interdistrict desegregation or
integration transportation grants under Minnesota Statutes,
section 124D.87:
$5,796,000 ..... 2004
$8,401,000 ..... 2005
Subd. 9. [SUCCESS FOR THE FUTURE.] For American Indian
success for the future grants under Minnesota Statutes, section
124D.81:
$2,073,000 ..... 2004
$2,137,000 ..... 2005
The 2004 appropriation includes $363,000 for 2003 and
$1,710,000 for 2004.
The 2005 appropriation includes $427,000 for 2004 and
$1,710,000 for 2005.
Subd. 10. [AMERICAN INDIAN SCHOLARSHIPS.] For American
Indian scholarships under Minnesota Statutes, section 124D.84:
$1,875,000 ..... 2004
$1,875,000 ..... 2005
Subd. 11. [AMERICAN INDIAN TEACHER PREPARATION
GRANTS.] For joint grants to assist American Indian people to
become teachers under Minnesota Statutes, section 122A.63:
$190,000 ..... 2004
$190,000 ..... 2005
Subd. 12. [TRIBAL CONTRACT SCHOOLS.] For tribal contract
school aid under Minnesota Statutes, section 124D.83:
$2,135,000 ..... 2004
$2,336,000 ..... 2005
The 2004 appropriation includes $285,000 for 2003 and
$1,850,000 for 2004.
The 2005 appropriation includes $462,000 for 2004 and
$1,874,000 for 2005.
Subd. 13. [EARLY CHILDHOOD PROGRAMS AT TRIBAL
SCHOOLS.] For early childhood family education programs at
tribal contract schools under Minnesota Statutes, section
124D.83, subdivision 4:
$68,000 ..... 2004
$68,000 ..... 2005
Subd. 14. [STATEWIDE TESTING SUPPORT.] For statewide
testing support under Minnesota Statutes, section 120B.30.
$9,000,000 ..... 2004
$9,000,000 ..... 2005
Subd. 15. [BEST PRACTICES SEMINARS.] For best practices
seminars and other professional development capacity building
activities that assure proficiency in teaching and
implementation of graduation rule standards:
$1,000,000 ..... 2004
$1,000,000 ..... 2005
$250,000 per year is for a grant to A Chance to Grow/New
Visions for the Minnesota learning resource center's
comprehensive training program for education professionals
charged with helping children acquire basic reading and math
skills.
Subd. 16. [ALTERNATIVE TEACHER COMPENSATION.] For
alternative teacher compensation established under Minnesota
Statutes, sections 122A.413 to 122A.415:
$3,700,000 ..... 2004
$3,700,000 ..... 2005
If the appropriations under this subdivision are
insufficient to fund all program participants, a participant may
receive less than the maximum per pupil amount available under
Minnesota Statutes, section 122A.415, subdivision 1. A
qualifying district or site receiving alternative teacher
compensation funding under this subdivision may use the funding
it receives to leverage additional funds from a national program
for enhancing teacher professionalism.
Subd. 17. [EXAMINATION FEES; TEACHER TRAINING AND SUPPORT
PROGRAMS.] (a) For students' advanced placement and
international baccalaureate examination fees under Minnesota
Statutes, section 120B.13, subdivision 3, and the training and
related costs for teachers and other interested educators under
Minnesota Statutes, section 120B.13, subdivision 1:
$ 778,000 ..... 2004
$ 778,000 ..... 2005
(b) The advanced placement program shall receive 75 percent
of the appropriation each year and the international
baccalaureate program shall receive 25 percent of the
appropriation each year. The department, in consultation with
representatives of the advanced placement and international
baccalaureate programs selected by the advanced placement
advisory council and IBMN, respectively, shall determine the
amounts of the expenditures each year for examination fees and
training and support programs for each program.
(c) Notwithstanding Minnesota Statutes, section 120B.13,
subdivision 1, $375,000 each year is for teachers to attend
subject matter summer training programs and follow-up support
workshops approved by the advanced placement or international
baccalaureate programs. The amount of the subsidy for each
teacher attending an advanced placement or international
baccalaureate summer training program or workshop shall be the
same. The commissioner shall determine the payment process and
the amount of the subsidy.
(d) The commissioner shall pay all examination fees for all
students of low-income families under Minnesota Statutes,
section 120B.13, subdivision 3, and to the extent of available
appropriations shall also pay examination fees for students
sitting for an advanced placement examination, international
baccalaureate examination, or both.
Any balance in the first year does not cancel but is
available in the second year.
Subd. 18. [FIRST GRADE PREPAREDNESS.] For first grade
preparedness grants under Minnesota Statutes, section 124D.081:
$7,250,000 ..... 2004
$7,250,000 ..... 2005
Subd. 19. [YOUTH WORKS PROGRAM.] For funding youth works
programs under Minnesota Statutes, sections 124D.37 to 124D.45:
$900,000 ..... 2004
$900,000 ..... 2005
(a) $150,000 per year is for training in evaluating early
literacy skills and teaching reading to preschool children under
Minnesota Statutes, section 124D.42, subdivision 6, paragraph
(a), clause (3).
(b) A grantee organization may provide health and child
care coverage to the dependents of each participant enrolled in
a full-time youth works program to the extent such coverage is
not otherwise available.
Subd. 20. [STUDENT ORGANIZATIONS.] For student
organizations:
$625,000 ..... 2004
$625,000 ..... 2005
The allocation for a student organization in fiscal year
2004 or fiscal year 2005 shall be no less than its fiscal year
2003 allocation.
Subd. 21. [DISTANCE EDUCATION.] For distance education
under Minnesota Statutes, section 124D.095:
$1,000,000 ..... 2004
$1,250,000 ..... 2005
Subd. 22. [COLLABORATIVE URBAN EDUCATOR RECRUITMENT AND
TRAINING PROGRAMS.] For grants to collaborative urban educator
recruitment and training programs:
$528,000 ..... 2004
$528,000 ..... 2005
$198,000 each year is for the Southeast Asian teacher
program at Concordia University, St. Paul; $165,000 each year is
for the collaborative urban educator program at the University
of St. Thomas; and $165,000 each year is for the center for
excellence in urban teaching at Hamline University. Grant
recipients must collaborate with urban and nonurban school
districts.
Any balance in the first year does not cancel but is
available in the second year.
Sec. 56. [REPEALER.]
(a) Minnesota Statutes 2002, sections 122A.64; 122A.65;
124D.84, subdivision 2; and 124D.89, are repealed.
(b) Minnesota Statutes 2002, sections 128C.01, subdivision
5; 128C.02, subdivision 8; and 128C.13, are repealed.
(c) Laws 1993, chapter 224, article 8, section 20,
subdivision 2, as amended by Laws 1994, chapter 647, article 8,
section 29, is repealed.
ARTICLE 3
SPECIAL PROGRAMS
Section 1. Minnesota Statutes 2002, section 121A.41,
subdivision 10, is amended to read:
Subd. 10. [SUSPENSION.] "Suspension" means an action by
the school administration, under rules promulgated by the school
board, prohibiting a pupil from attending school for a period of
no more than ten school days. If a suspension is longer than
five days, the suspending administrator must provide the
superintendent with a reason for the longer suspension. This
definition does not apply to dismissal from school for one
school day or less, except as provided in federal law for a
student with a disability. Each suspension action may include a
readmission plan. The readmission plan shall include, where
appropriate, a provision for implementing alternative
educational services upon readmission and may not be used to
extend the current suspension. Consistent with section 125A.09,
subdivision 3, the readmission plan must not obligate a parent
to provide a sympathomimetic medication for the parent's child
as a condition of readmission. The school administration may
not impose consecutive suspensions against the same pupil for
the same course of conduct, or incident of misconduct, except
where the pupil will create an immediate and substantial danger
to self or to surrounding persons or property, or where the
district is in the process of initiating an expulsion, in which
case the school administration may extend the suspension to a
total of 15 days. In the case of a student with a disability,
the student's individual education plan team must meet
immediately but not more than ten school days after the date on
which the decision to remove the student from the student's
current education placement is made. The individual education
plan team and other qualified personnel shall at that meeting:
conduct a review of the relationship between the child's
disability and the behavior subject to disciplinary action; and
determine the appropriateness of the child's education plan.
The requirements of the individual education plan team
meeting apply when:
(1) the parent requests a meeting;
(2) the student is removed from the student's current
placement for five or more consecutive days; or
(3) the student's total days of removal from the student's
placement during the school year exceed ten cumulative days in a
school year. The school administration shall implement
alternative educational services when the suspension exceeds
five days. A separate administrative conference is required for
each period of suspension.
Sec. 2. [124D.452] [DISTRICT REPORT; CAREER AND TECHNICAL
EDUCATION.]
Each district and cooperative center must report data to
the department of education for all career and technical
education programs as required by the department.
Sec. 3. Minnesota Statutes 2002, section 124D.454,
subdivision 1, is amended to read:
Subdivision 1. [PURPOSE.] The purpose of this section is
to provide a method to fund transition career and technical
education programs for children with a disability that are
components of the student's transition plan. As used in this
section, the term "children with a disability" shall have the
meaning ascribed to it in section 125A.02.
Sec. 4. Minnesota Statutes 2002, section 124D.454,
subdivision 2, is amended to read:
Subd. 2. [DEFINITIONS.] For the purposes of this section,
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.
(f) "Essential personnel" means a licensed teacher,
licensed support services staff person, paraprofessional
providing direct services to students, or licensed personnel
under subdivision 12, paragraph (c). This definition is not
intended to change or modify the definition of essential
employee in chapter 179A.
Sec. 5. Minnesota Statutes 2002, section 124D.454,
subdivision 3, is amended to read:
Subd. 3. [BASE REVENUE.] (a) The transition
program-disabled transition-disabled program base revenue equals
the sum of the following amounts computed using base year data:
(1) 68 percent of the salary of each essential licensed
person or approved paraprofessional who provides direct
instructional services to students employed during that fiscal
year for services rendered in that district's transition program
for children with a disability;
(2) 47 percent of the costs of necessary equipment for
transition programs for children with a disability;
(3) 47 percent of the costs of necessary travel between
instructional sites by transition program teachers of children
with a disability but not including travel to and from local,
regional, district, state, or national vocational career and
technical student organization meetings;
(4) 47 percent of the costs of necessary supplies for
transition programs for children with a disability but not to
exceed an average of $47 in any one school year for each child
with a disability receiving these services;
(5) for transition programs for children with disabilities
provided by a contract approved by the commissioner with public,
private, or voluntary agencies other than a Minnesota school
district or cooperative center, in place of programs 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;
(6) for transition programs for children with disabilities
provided by a contract approved by the commissioner with public,
private, or voluntary agencies other than a Minnesota school
district or cooperative center, that are supplementary to a full
educational program provided by the school district, 52 percent
of the amount of the contract; and
(7) for a contract approved by the commissioner with
another Minnesota school district or cooperative center for
vocational evaluation services for children with a disability
for children that are not yet enrolled in grade 12, 52 percent
of the amount of the contract.
(b) If requested by a school district for transition
programs during the base year for less than the full school
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 year.
Sec. 6. Minnesota Statutes 2002, section 124D.454,
subdivision 8, is amended to read:
Subd. 8. [USE OF AID.] The aid provided under this section
shall be paid only for services rendered or for the costs which
are incurred according to this section for transition programs
for children with a disability which are approved by the
commissioner of children, families, and learning education and
operated in accordance with rules promulgated by the
commissioner. These rules shall be subject to the restrictions
provided in section 124D.453, subdivision 6 12. The procedure
for application for approval of these programs shall be as
provided in section 125A.75, subdivisions 4 and 6, and the
application review process shall be conducted by the office
division of lifework development federal programs in the
department.
Sec. 7. Minnesota Statutes 2002, 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 for salaries, supplies,
travel or equipment for which the district receives aid pursuant
to this section.
Sec. 8. Minnesota Statutes 2002, section 124D.454, is
amended by adding a subdivision to read:
Subd. 12. [COMPLIANCE WITH RULES.] Aid must be paid under
this section only for services rendered or for costs incurred in
career and technical education programs approved by the
commissioner and operated in accordance with rules promulgated
by the commissioner. This aid shall be paid only for services
rendered and for costs incurred by essential, licensed personnel
who meet the requirements for licensure pursuant to the rules of
the Minnesota board of teaching. Licensed personnel means
persons holding a valid career and technical license issued by
the commissioner. If an average of five or fewer secondary
full-time equivalent students are enrolled per teacher in an
approved postsecondary program at intermediate district No. 287,
916, or 917, licensed personnel means persons holding a valid
vocational license issued by the commissioner or the board of
trustees of the Minnesota state colleges and universities.
Notwithstanding section 127A.42, the commissioner may modify or
withdraw the program or aid approval and withhold aid under this
section without proceeding under section 127A.42 at any time.
To do so, the commissioner must determine that the program does
not comply with rules of the department of education or that any
facts concerning the program or its budget differ from the facts
in the district's approved application.
Sec. 9. [125A.091] [ALTERNATIVE DISPUTE RESOLUTION AND DUE
PROCESS HEARINGS.]
Subdivision 1. [DISTRICT OBLIGATION.] A school district
must use the procedures in federal law and state law and rule to
reach decisions about the identification, evaluation,
educational placement, manifestation determination, interim
alternative educational placement, or the provision of a free
appropriate public education to a child with a disability.
Subd. 2. [PRIOR WRITTEN NOTICE.] A parent must receive
prior written notice a reasonable time before the district
proposes or refuses to initiate or change the identification,
evaluation, educational placement, or the provision of a free
appropriate public education to a child with a disability.
Subd. 3. [CONTENT OF NOTICE.] The notice under subdivision
2 must:
(1) describe the action the district proposes or refuses;
(2) explain why the district proposes or refuses to take
the action;
(3) describe any other option the district considered and
the reason why it rejected the option;
(4) describe each evaluation procedure, test, record, or
report the district used as a basis for the proposed or refused
action;
(5) describe any other factor affecting the proposal or
refusal of the district to take the action;
(6) state that the parent of a child with a disability is
protected by procedural safeguards and, if this notice is not an
initial referral for evaluation, how a parent can get a
description of the procedural safeguards; and
(7) identify where a parent can get help in understanding
this law.
Subd. 4. [UNDERSTANDABLE NOTICE.] (a) The written notice
under subdivision 2 must be understandable to the general public
and available in the parent's native language or by another
communication form, unless it is clearly not feasible to do so.
(b) If the parent's native language or other communication
form is not written, the district must take steps to ensure that:
(1) the notice is translated orally or by other means to
the parent in the parent's native language or other
communication form;
(2) the parent understands the notice; and
(3) written evidence indicates the requirements in
subdivision 2 are met.
Subd. 5. [INITIAL ACTION; PARENT CONSENT.] The district
must not proceed with the initial evaluation of a child, the
initial placement of a child in a special education program, or
the initial provision of special education services for a child
without the prior written consent of the child's parent. A
district may not override the written refusal of a parent to
consent to an initial evaluation or reevaluation.
Subd. 6. [DISPUTE RESOLUTION PROCESSES;
GENERALLY.] Parties are encouraged to resolve disputes over the
identification, evaluation, educational placement, manifestation
determination, interim alternative educational placement, or the
provision of a free appropriate public education to a child with
a disability through conciliation, mediation, facilitated team
meetings, or other alternative process. All dispute resolution
options are voluntary on the part of the parent and must not be
used to deny or delay the right to a due process hearing. All
dispute resolution processes under this section are provided at
no cost to the parent.
Subd. 7. [CONCILIATION CONFERENCE.] A parent must have an
opportunity to meet with appropriate district staff in at least
one conciliation conference if the parent objects to any
proposal of which the parent receives notice under subdivision 2.
If the parent refuses district efforts to conciliate the
dispute, the conciliation requirement is satisfied. Following a
conciliation conference, the district must prepare and provide
to the parent a conciliation conference memorandum that
describes the district's final proposed offer of service. This
memorandum is admissible in evidence in any subsequent
proceeding.
Subd. 8. [VOLUNTARY DISPUTE RESOLUTION OPTIONS.] In
addition to offering at least one conciliation conference, a
district must inform a parent of other dispute resolution
processes, including at least mediation and facilitated team
meetings. The fact that an alternative dispute resolution
process was used is admissible in evidence at any subsequent
proceeding. State-provided mediators and team meeting
facilitators shall not be subpoenaed to testify at a due process
hearing or civil action under federal special education law nor
are any records of mediators or state-provided team meeting
facilitators accessible to the parties.
Subd. 9. [MEDIATION.] Mediation is a dispute resolution
process that involves a neutral party provided by the state to
assist a parent and a district in resolving disputes over the
identification, evaluation, educational placement, manifestation
determination, interim alternative educational placement, or the
provision of a free appropriate public education to a child with
a disability. A mediation process is available as an informal
alternative to a due process hearing but must not be used to
deny or postpone the opportunity of a parent or district to
obtain a due process hearing. Mediation is voluntary for all
parties. All mediation discussions are confidential and
inadmissible in evidence in any subsequent proceeding, unless
the:
(1) parties expressly agree otherwise;
(2) evidence is otherwise available; or
(3) evidence is offered to prove bias or prejudice of a
witness.
Subd. 10. [MEDIATED AGREEMENTS.] Mediated agreements are
not admissible unless the parties agree otherwise or a party to
the agreement believes the agreement is not being implemented,
in which case the aggrieved party may enter the agreement into
evidence at a due process hearing. The parties may request
another mediation to resolve a dispute over implementing the
mediated agreement. After a due process hearing is requested, a
party may request mediation and the commissioner must provide a
mediator who conducts a mediation session no later than the
third business day after the mediation request is made to the
commissioner.
Subd. 11. [FACILITATED TEAM MEETING.] A facilitated team
meeting is an IEP, IFSP, or IIIP team meeting led by an
impartial state-provided facilitator to promote effective
communication and assist a team in developing an individualized
education plan.
Subd. 12. [IMPARTIAL DUE PROCESS HEARING.] (a) A parent or
a district is entitled to an impartial due process hearing
conducted by the state when a dispute arises over the
identification, evaluation, educational placement, manifestation
determination, interim alternative educational placement, or the
provision of a free appropriate public education to a child with
a disability. The hearing must be held in the district
responsible for ensuring that a free appropriate public
education is provided according to state and federal law. The
proceedings must be recorded and preserved, at state expense,
pending ultimate disposition of the action.
(b) The due process hearing must be conducted according to
the rules of the commissioner and federal law.
Subd. 13. [HEARING OFFICER QUALIFICATIONS.] The
commissioner must appoint an individual who is qualified under
this subdivision to serve as a hearing officer. The hearing
officer must:
(1) be knowledgeable and impartial;
(2) have no personal interest in or specific involvement
with the student who is a party to the hearing;
(3) not have been employed as an administrator by the
district that is a party to the hearing;
(4) not have been involved in selecting the district
administrator who is a party to the hearing;
(5) have no personal, economic, or professional interest in
the outcome of the hearing other than properly administering
federal and state laws, rules, and policies;
(6) have no substantial involvement in developing state or
local policies or procedures challenged in the hearing;
(7) not be a current employee or board member of a
Minnesota public school district, education district,
intermediate unit or regional education agency, or the
department if the department is the service provider; and
(8) not be a current employee or board member of a
disability advocacy organization or group.
Subd. 14. [REQUEST FOR HEARING.] A request for a due
process hearing must:
(1) be in writing;
(2) describe the nature of the dispute about providing
special education services to the student including facts
relating to the dispute; and
(3) state, to the extent known, the relief sought.
Any school district administrator receiving a request for a
due process hearing must immediately forward the request to the
commissioner. Within two business days of receiving a request
for a due process hearing, the commissioner must appoint a
hearing officer. The commissioner must not deny a request for
hearing because the request is incomplete. A party may
disqualify a hearing officer only by affirmatively showing
prejudice or bias to the commissioner or to the chief
administrative law judge if the hearing officer is an
administrative law judge. If a party affirmatively shows
prejudice against a hearing officer, the commissioner must
assign another hearing officer to hear the matter.
Subd. 15. [PREHEARING CONFERENCE.] A prehearing conference
must be held within five business days of the date the
commissioner appoints the hearing officer. The hearing officer
must initiate the prehearing conference which may be conducted
in person, at a location within the district, or by telephone.
The hearing officer must create a written verbatim record of the
prehearing conference which is available to either party upon
request. At the prehearing conference, the hearing officer must:
(1) identify the questions that must be answered to resolve
the dispute and eliminate claims and complaints that are without
merit;
(2) set a scheduling order for the hearing and additional
prehearing activities;
(3) determine if the hearing can be disposed of without an
evidentiary hearing and, if so, establish the schedule and
procedure for doing so; and
(4) establish the management, control, and location of the
hearing to ensure its fair, efficient, and effective disposition.
Subd. 16. [BURDEN OF PROOF.] The burden of proof at a due
process hearing is on the district to demonstrate, by a
preponderance of the evidence, that it is complying with the law
and offered or provided a free appropriate public education to
the child in the least restrictive environment. If the district
has not offered or provided a free appropriate public education
in the least restrictive environment and the parent wants the
district to pay for a private placement, the burden of proof is
on the parent to demonstrate, by a preponderance of the
evidence, that the private placement is appropriate.
Subd. 17. [ADMISSIBLE EVIDENCE.] The hearing officer may
admit all evidence that possesses probative value, including
hearsay, if it is the type of evidence on which reasonable,
prudent persons are accustomed to rely in conducting their
serious affairs. The hearing officer must give effect to the
rules of privilege recognized by law and exclude evidence that
is incompetent, irrelevant, immaterial, or unduly repetitious.
Subd. 18. [HEARING OFFICER AUTHORITY.] (a) A hearing
officer must limit an impartial due process hearing to the time
sufficient for each party to present its case.
(b) A hearing officer must establish and maintain control
and manage the hearing. This authority includes, but is not
limited to:
(1) requiring attorneys representing parties at the
hearing, after notice and an opportunity to be heard, to pay
court reporting and hearing officer costs, or fines payable to
the state, for failing to: (i) obey scheduling or prehearing
orders, (ii) appear, (iii) be prepared, or (iv) participate in
the hearing process in good faith;
(2) administering oaths and affirmations;
(3) issuing subpoenas;
(4) determining the responsible and providing districts and
joining those districts, if not already notified, in the
proceedings;
(5) making decisions involving identification, evaluation,
educational placement, manifestation determination, interim
alternative educational placement, or the provision of a free
appropriate public education to a child with a disability; and
(6) ordering an independent educational evaluation of a
child at district expense.
Subd. 19. [EXPEDITED DUE PROCESS HEARINGS.] A parent has
the right to an expedited due process hearing when there is a
dispute over a manifestation determination or a proposed or
actual placement in an interim alternative educational setting.
A district has the right to an expedited due process hearing
when proposing or seeking to maintain placement in an interim
alternative educational setting. A hearing officer must hold an
expedited due process hearing and must issue a decision within
ten calendar days of the request for a hearing. A hearing
officer may extend by up to five additional calendar days the
time for issuing a decision in an expedited due process
hearing. All policies in this section apply to expedited due
process hearings to the extent they do not conflict with federal
law.
Subd. 20. [HEARING OFFICER'S DECISION; TIME PERIOD.] (a)
The hearing officer must issue a decision within 45 calendar
days of the date on which the commissioner receives the request
for a due process hearing. A hearing officer is encouraged to
accelerate the time line to 30 days for a child under the age of
three whose needs change rapidly and who requires quick
resolution of a dispute. A hearing officer may not extend the
time beyond the 45-day period unless requested by either party
for good cause shown on the record. Extensions of time must not
exceed a total of 30 calendar days unless both parties and the
hearing officer agree or time is needed to complete an
independent educational evaluation. Good cause includes, but is
not limited to, the time required for mediation or other
settlement discussions, independent educational evaluation,
complexity and volume of issues, or finding or changing counsel.
(b) The hearing officer's decision must:
(1) be in writing;
(2) state the controlling and material facts upon which the
decision is made in order to apprise the reader of the basis and
reason for the decision; and
(3) be based on local standards, state statute, the rules
of the commissioner, and federal law.
Subd. 21. [COMPENSATORY EDUCATIONAL SERVICES.] The hearing
officer may require the resident or responsible district to
provide compensatory educational services to the child if the
hearing officer finds that the district has not offered or made
available to the child a free appropriate public education in
the least restrictive environment and the child suffered a loss
of educational benefit. Such services take the form of direct
and indirect special education and related services designed to
address any loss of educational benefit that may have occurred.
The hearing officer's finding must be based on a present
determination of whether the child has suffered a loss of
educational benefit.
Subd. 22. [CHILD'S EDUCATIONAL PLACEMENT DURING A DUE
PROCESS HEARING.] (a) Until a due process hearing under this
section is completed or the district and the parent agree
otherwise, the child must remain in the child's current
educational placement and must not be denied initial admission
to school.
(b) Until an expedited due process hearing challenging an
interim alternative educational placement is completed, the
child must remain in the interim alternative educational setting
until the decision of the hearing officer or the expiration of
the 45 days permitted for an interim alternative educational
setting, whichever occurs first, unless the parent and district
agree otherwise.
Subd. 23. [IMPLEMENTATION OF HEARING OFFICER ORDER.] (a)
That portion of a hearing officer's decision granting relief
requested by the parent must be implemented upon issuance.
(b) Except as provided under paragraph (a) or the district
and parent agree otherwise, following a hearing officer's
decision granting relief requested by the district, the child
must remain in the current educational placement until the time
to request judicial review under subdivision 24 expires or, if
judicial review is requested, at the time the Minnesota court of
appeals or the federal district court issues its decision,
whichever is later.
Subd. 24. [REVIEW OF HEARING OFFICER DECISIONS.] The
parent or district may seek review of the hearing officer's
decision in the Minnesota court of appeals or in the federal
district court, consistent with federal law. A party must
appeal to the Minnesota court of appeals within 60 days of
receiving the hearing officer's decision.
Subd. 25. [ENFORCEMENT OF ORDERS.] The commissioner must
monitor final hearing officer decisions and ensure enforcement
of hearing officer orders.
Subd. 26. [HEARING OFFICER AND PERSON CONDUCTING
ALTERNATIVE DISPUTE RESOLUTION ARE STATE EMPLOYEES.] A hearing
officer or person conducting alternative dispute resolution
under this section is an employee of the state under section
3.732 for purposes of section 3.736 only.
Subd. 27. [HEARING OFFICER TRAINING.] A hearing officer
must participate in training and follow procedures established
by the commissioner.
Subd. 28. [DISTRICT LIABILITY.] A district is not liable
for harmless technical violations of this section or rules
implementing this section if the school district can demonstrate
on a case-by-case basis that the violations did not harm a
student's educational progress or the parent's right to notice,
participation, or due process.
Sec. 10. Minnesota Statutes 2002, section 125A.21,
subdivision 2, is amended to read:
Subd. 2. [THIRD PARTY REIMBURSEMENT.] (a) Beginning July
1, 2000, districts shall seek reimbursement from insurers and
similar third parties for the cost of services provided by the
district whenever the services provided by the district are
otherwise covered by the child's health coverage. Districts
shall request, but may not require, the child's family to
provide information about the child's health coverage when a
child with a disability begins to receive services from the
district of a type that may be reimbursable, and shall request,
but may not require, updated information after that as needed.
(b) For children enrolled in medical assistance under
chapter 256B or MinnesotaCare under chapter 256L who have no
other health coverage, a district shall provide an initial
written notice to the enrolled child's parent or legal
representative of its intent to seek reimbursement from medical
assistance or MinnesotaCare for the individual education plan
health-related services provided by the district.
(c) The district shall give the parent or legal
representative annual written notice of:
(1) the district's intent to seek reimbursement from
medical assistance or MinnesotaCare for individual education
plan health-related services provided by the district;
(2) the right of the parent or legal representative to
request a copy of all records concerning individual education
plan health-related services disclosed by the district to any
third party; and
(3) the right of the parent or legal representative to
withdraw consent for disclosure of a child's records at any time
without consequence.
The written notice shall be provided as part of the written
notice required by Code of Federal Regulations, title 34,
section 300.503 300.504.
(d) In order to access the private health care coverage of
a child who is covered by private health care coverage in whole
or in part, a district must:
(1) obtain annual written informed consent from the parent
or legal representative, in compliance with subdivision 5; and
(2) inform the parent or legal representative that a
refusal to permit the district or state Medicaid agency to
access their private health care coverage does not relieve the
district of its responsibility to provide all services necessary
to provide free and appropriate public education at no cost to
the parent or legal representative.
(e) If the commissioner of human services obtains federal
approval to exempt covered individual education plan
health-related services from the requirement that private health
care coverage refuse payment before medical assistance may be
billed, paragraphs (b), (c), and (d) shall also apply to
students with a combination of private health care coverage and
health care coverage through medical assistance or MinnesotaCare.
(f) In the event that Congress or any federal agency or the
Minnesota legislature or any state agency establishes lifetime
limits, limits for any health care services, cost-sharing
provisions, or otherwise provides that individual education plan
health-related services impact benefits for persons enrolled in
medical assistance or MinnesotaCare, the amendments to this
subdivision adopted in 2002 are repealed on the effective date
of any federal or state law or regulation that imposes the
limits. In that event, districts must obtain informed consent
consistent with this subdivision as it existed prior to the 2002
amendments and subdivision 5, before seeking reimbursement for
children enrolled in medical assistance under chapter 256B or
MinnesotaCare under chapter 256L who have no other health care
coverage.
Sec. 11. Minnesota Statutes 2002, section 125A.28, is
amended to read:
125A.28 [STATE INTERAGENCY COORDINATING COUNCIL.]
An interagency coordinating council of at least 17, but not
more than 25 members is established, in compliance with Public
Law Number 102-119, section 682. The members must be appointed
by the governor. Council members must elect the council chair.
The representative of the commissioner may not serve as the
chair. The council must be composed of at least five parents,
including persons of color, of children with disabilities under
age 12, including at least three parents of a child with a
disability under age seven, five representatives of public or
private providers of services for children with disabilities
under age five, including a special education director, county
social service director, local Head Start director, and a
community health services or public health nursing
administrator, one member of the senate, one member of the house
of representatives, one representative of teacher preparation
programs in early childhood-special education or other
preparation programs in early childhood intervention, at least
one representative of advocacy organizations for children with
disabilities under age five, one physician who cares for young
children with special health care needs, one representative each
from the commissioners of commerce, children, families, and
learning education, health, human services, a representative
from the state agency responsible for child care, and a
representative from Indian health services or a tribal council.
Section 15.059, subdivisions 2 to 5, apply to the council. The
council must meet at least quarterly.
The council must address methods of implementing the state
policy of developing and implementing comprehensive,
coordinated, multidisciplinary interagency programs of early
intervention services for children with disabilities and their
families.
The duties of the council include recommending policies to
ensure a comprehensive and coordinated system of all state and
local agency services for children under age five with
disabilities and their families. The policies must address how
to incorporate each agency's services into a unified state and
local system of multidisciplinary assessment practices,
individual intervention plans, comprehensive systems to find
children in need of services, methods to improve public
awareness, and assistance in determining the role of interagency
early intervention committees.
By September 1, the council must recommend to the governor
and the commissioners of children, families, and learning
education, health, human services, commerce, and economic
security policies for a comprehensive and coordinated system.
Notwithstanding any other law to the contrary, the state
interagency coordinating council expires on June 30, 2003 2005.
Sec. 12. Minnesota Statutes 2002, section 125A.30, is
amended to read:
125A.30 [INTERAGENCY EARLY INTERVENTION COMMITTEES.]
(a) A school district, group of districts, or special
education cooperative, in cooperation with the health and human
service agencies located in the county or counties in which the
district or cooperative is located, must establish an
interagency early intervention committee for children with
disabilities under age five and their families under this
section, and for children with disabilities ages three to 22
consistent with the requirements under sections 125A.023 and
125A.027. Committees must include representatives of local and
regional health, education, and county human service agencies,
county boards, school boards, early childhood family education
programs, Head Start, parents of young children with
disabilities under age 12, child care resource and referral
agencies, school readiness programs, current service providers,
and may also include representatives from other private or
public agencies and school nurses. The committee must elect a
chair from among its members and must meet at least quarterly.
(b) The committee must develop and implement interagency
policies and procedures concerning the following ongoing duties:
(1) develop public awareness systems designed to inform
potential recipient families of available programs and services;
(2) implement interagency child find systems designed to
actively seek out, identify, and refer infants and young
children with, or at risk of, disabilities and their families;
(3) establish and evaluate the identification, referral,
child and family assessment systems, procedural safeguard
process, and community learning systems to recommend, where
necessary, alterations and improvements;
(4) assure the development of individualized family service
plans for all eligible infants and toddlers with disabilities
from birth through age two, and their families, and individual
education plans and individual service plans when necessary to
appropriately serve children with disabilities, age three and
older, and their families and recommend assignment of financial
responsibilities to the appropriate agencies;
(5) encourage agencies to develop individual family service
plans for children with disabilities, age three and older;
(6) implement a process for assuring that services involve
cooperating agencies at all steps leading to individualized
programs;
(7) facilitate the development of a transitional plan if a
service provider is not recommended to continue to provide
services;
(8) identify the current services and funding being
provided within the community for children with disabilities
under age five and their families;
(9) develop a plan for the allocation and expenditure of
additional state and federal early intervention funds under
United States Code, title 20, section 1471 et seq. (Part H,
Public Law Number 102-119) and United States Code, title 20,
section 631, et seq. (Chapter I, Public Law Number 89-313); and
(10) develop a policy that is consistent with section
13.05, subdivision 9, and federal law to enable a member of an
interagency early intervention committee to allow another member
access to data classified as not public.
(c) The local committee shall also:
(1) participate in needs assessments and program planning
activities conducted by local social service, health and
education agencies for young children with disabilities and
their families; and
(2) review and comment on the early intervention section of
the total special education system for the district, the county
social service plan, the section or sections of the community
health services plan that address needs of and service
activities targeted to children with special health care
needs, the section on children with special needs in the county
child care fund plan, sections in Head Start plans on
coordinated planning and services for children with special
needs, any relevant portions of early childhood education plans,
such as early childhood family education or school readiness, or
other applicable coordinated school and community plans for
early childhood programs and services, and the section of the
maternal and child health special project grants that address
needs of and service activities targeted to children with
chronic illness and disabilities.
Sec. 13. Minnesota Statutes 2002, 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, cultural
liaisons, related services, and support services staff providing
direct services to students. Essential personnel may also
include special education paraprofessionals or clericals
providing support to teachers and students by preparing
paperwork and making arrangements related to special education
compliance requirements, including parent meetings and
individual education plans.
(d) "Average daily membership" has the meaning given it in
section 126C.05.
(e) "Program growth factor" means 1.08 for fiscal year
2002, and 1.046 for fiscal year 2003, and 1.0 for fiscal year
2004 and later.
Sec. 14. Minnesota Statutes 2002, section 125A.76,
subdivision 4, is amended to read:
Subd. 4. [STATE TOTAL SPECIAL EDUCATION AID.] The state
total special education aid for fiscal year 2000 2004 equals
$463,000,000 $530,642,000. The state total special education
aid for fiscal year 2001 2005 equals $474,000,000 $529,164,000.
The state total special education aid for later fiscal years
equals:
(1) the state total special education aid for the preceding
fiscal year; times
(2) the program growth factor; times
(3) the ratio of the state total average daily membership
for the current fiscal year to the state total average daily
membership for the preceding fiscal year.
Sec. 15. Minnesota Statutes 2002, section 125A.79,
subdivision 1, is amended to read:
Subdivision 1. [DEFINITIONS.] For the purposes of this
section, the definitions in this subdivision apply.
(a) "Unreimbursed special education cost" means the sum of
the following:
(1) expenditures for teachers' salaries, contracted
services, supplies, equipment, and transportation services
eligible for revenue under section 125A.76; plus
(2) expenditures for tuition bills received under sections
125A.03 to 125A.24 and 125A.65 for services eligible for revenue
under section 125A.76, subdivision 2; minus
(3) revenue for teachers' salaries, contracted services,
supplies, and equipment under section 125A.76; minus
(4) tuition receipts under sections 125A.03 to 125A.24 and
125A.65 for services eligible for revenue under section 125A.76,
subdivision 2.
(b) "General revenue" means for fiscal year 1996, the sum
of the general education revenue according to section 126C.10,
subdivision 1, as adjusted according to section 127A.47,
subdivision 7, plus the total referendum revenue according to
section 126C.17, subdivision 4. For fiscal years 1997 and
later, "general revenue" means the sum of the general education
revenue according to section 126C.10, subdivision 1, as adjusted
according to section 127A.47, subdivisions 7 and 8, plus the
total referendum revenue minus transportation sparsity revenue
minus total operating capital revenue.
(c) "Average daily membership" has the meaning given it in
section 126C.05.
(d) "Program growth factor" means 1.044 for fiscal year
2002 and 1.02 for fiscal year 2003, and 1.0 for fiscal year 2004
and later.
Sec. 16. Minnesota Statutes 2002, section 125A.79,
subdivision 6, is amended to read:
Subd. 6. [STATE TOTAL SPECIAL EDUCATION EXCESS COST AID.]
The state total special education excess cost aid for fiscal
year 2004 equals $92,067,000. The state total special education
aid for fiscal year 2005 equals $91,811,000. The state total
special education excess cost aid for fiscal year 2002 2006 and
later fiscal years equals:
(1) the state total special education excess cost aid for
the preceding fiscal year; times
(2) the program growth factor; times
(3) the ratio of the state total average daily membership
for the current fiscal year to the state total average daily
membership for the preceding fiscal year.
Sec. 17. [SPECIAL EDUCATION CROSS-SUBSIDY REDUCTION AID.]
(a) For fiscal year 2004, a district shall receive special
education cross-subsidy reduction aid equal to $5,000,000 times
the ratio of the district's special education excess cost aid
for the previous fiscal year according to Minnesota Statutes,
section 125A.79, subdivision 7, to the state total special
education excess cost aid for the previous fiscal year according
to Minnesota Statutes, section 125A.79, subdivision 6.
(b) For fiscal year 2005, a district shall receive special
education cross-subsidy reduction aid equal to $11,000,000 times
the ratio of the district's special education excess cost aid
for the previous fiscal year according to Minnesota Statutes,
section 125A.79, subdivision 7, to the state total special
education excess cost aid for the previous fiscal year according
to Minnesota Statutes, section 125A.79, subdivision 6.
(c) Special education cross-subsidy reduction aid must be
used to pay for a district's unfunded special education costs
that would otherwise be cross-subsidized by a district's general
education revenue.
Sec. 18. [IMPACT OF WAIVING SPECIFIC SPECIAL EDUCATION
REQUIREMENTS THAT EXCEED FEDERAL LAW; THREE-YEAR PILOT PROJECT.]
Subdivision 1. [ESTABLISHMENT; GOAL.] A three-year pilot
project is established to permit independent school district No.
535, Rochester, and up to three other geographically diverse
school districts or cooperative units under Minnesota Statutes,
section 125A.11, subdivision 3, selected by the commissioner of
education to determine the impact, if any, of waiving specific
special education requirements listed in subdivision 3 on the
quality and cost-effectiveness of the instructional services and
educational outcomes provided to eligible students by the
project participant.
Subd. 2. [ELIGIBILITY; APPLICATIONS.] The commissioner
must transmit information about the pilot project and make
application forms available to interested school districts or
cooperative units. Applications must be submitted to the
commissioner by July 1, 2003. An applicant must identify the
specific special education requirements listed in subdivision 3
for which the applicant seeks a waiver and indicate how the
applicant proposes to modify the activities and procedures
affected by the waiver. The commissioner must approve the
applications by August 1, 2003.
Subd. 3. [WAIVERS.] The following state special education
requirements are waived for the 2003-2004, 2004-2005, and
2005-2006 school years for independent school district No. 535,
Rochester, and the other school districts or cooperative units
participating in this pilot project:
(1) Minnesota Statutes, section 125A.56, governing
prereferral interventions;
(2) Minnesota Statutes, section 125A.08, paragraph (a),
clause (1), governing transitional services for students when
reaching age 14 or grade 9, who transition from secondary
services to postsecondary education and training, employment,
community participation, recreation and leisure, and home
living;
(3) Minnesota Statutes, section 125A.22, governing
community transition interagency committees; and
(4) Minnesota Statutes, section 125A.023, governing
coordinated interagency services but only affecting eligible
children with disabilities age seven or older.
Subd. 4. [STUDENTS' RIGHTS.] Eligible students enrolled in
a district or receiving special instruction and services through
a cooperative unit that is participating in this pilot project
remain entitled to the procedural protections provided under
federal law in any matter that affects the students'
identification, evaluation, and placement or change in
placement, or protections provided under state law in dismissal
proceedings that may result in students' suspension, exclusion,
or expulsion. Project participants must ensure that students'
civil rights are protected, provide equal educational
opportunities, and prohibit discrimination. Failure to comply
with this subdivision will at least cause a district or
cooperative unit to become ineligible to participate in the
pilot project.
Subd. 5. [TECHNICAL ASSISTANCE.] The commissioner must
provide project participants, upon request, assistance in
developing and implementing a valid and uniform procedure under
subdivision 6 to evaluate the participants' experience.
Subd. 6. [EVALUATION; REPORT.] All participating school
districts and cooperative units must evaluate the impact, if
any, of waiving specific special education requirements listed
in subdivision 3 on the quality and cost-effectiveness of the
instructional services and educational outcomes provided to
eligible students by the project participant. Project
participants must focus the evaluation on the overall efficacy
of modifying the activities and procedures affected by the
waiver. The evaluation must include a mechanism for documenting
parents' response to the pilot project. Project participants
must submit to the commissioner a progress report by September
1, 2004, and a final report by November 1, 2005. The
commissioner must compile and present the results of the reports
to the legislature by February 1, 2006, and recommend
appropriate amendments to the statutory requirements listed in
subdivision 3.
[EFFECTIVE DATE.] This section is effective the day
following final enactment.
Sec. 19. [DEPARTMENT RESPONSIBILITY.]
By January 1, 2004, the commissioner of education must
adopt rules that:
(1) establish criteria for selecting hearing officers, the
standards of conduct to which a hearing officer must adhere, and
a process to evaluate the hearing system;
(2) ensure that appropriately trained and knowledgeable
persons conduct due process hearings in compliance with federal
law; and
(3) create standards for expedited due process hearings
under federal law.
By March 1, 2004, the commissioner of education must
develop and make available a notice for participants in
state-provided dispute resolution processes that informs
participants of their rights concerning dispute resolution.
Sec. 20. [APPROPRIATIONS.]
Subdivision 1. [DEPARTMENT OF EDUCATION.] The sums
indicated in this section are appropriated from the general fund
to the department of education for the fiscal years designated.
Subd. 2. [SPECIAL EDUCATION; REGULAR.] For special
education aid under Minnesota Statutes, section 125A.75:
$515,091,000 ..... 2004
$529,460,000 ..... 2005
The 2004 appropriation includes $90,577,000 for 2003 and
$424,514,000 for 2004.
The 2005 appropriation includes $106,128,000 for 2004 and
$423,332,000 for 2005.
Subd. 3. [SPECIAL EDUCATION CROSS-SUBSIDY REDUCTION
AID.] For special education cross-subsidy reduction aid under
section 17:
$ 5,000,000 ..... 2004
$11,000,000 ..... 2005
This is a onetime appropriation.
Subd. 4. [AID FOR CHILDREN WITH DISABILITIES.] For aid
under Minnesota Statutes, section 125A.75, subdivision 3, for
children with disabilities placed in residential facilities
within the district boundaries for whom no district of residence
can be determined:
$2,177,000 ..... 2004
$2,244,000 ..... 2005
If the appropriation for either year is insufficient, the
appropriation for the other year is available.
Subd. 5. [TRAVEL FOR HOME-BASED SERVICES.] For aid for
teacher travel for home-based services under Minnesota Statutes,
section 125A.75, subdivision 1:
$220,000 ..... 2004
$261,000 ..... 2005
The 2004 appropriation includes $34,000 for 2003 and
$186,000 for 2004.
The 2005 appropriation includes $46,000 for 2004 and
$215,000 for 2005.
Subd. 6. [SPECIAL EDUCATION; EXCESS COSTS.] For excess
cost aid under Minnesota Statutes, section 125A.79, subdivision
7:
$92,606,000 ..... 2004
$92,984,000 ..... 2005
The 2004 appropriation includes $41,754,000 for 2003 and
$50,852,000 for 2004.
The 2005 appropriation includes $41,215,000 for 2004 and
$51,769,000 for 2005.
Subd. 7. [LITIGATION COSTS FOR SPECIAL EDUCATION.] For
paying the costs a district incurs under Minnesota Statutes,
section 125A.75, subdivision 8:
$346,000 ..... 2004
$ 17,000 ..... 2005
Subd. 8. [TRANSITION FOR DISABLED STUDENTS.] For aid for
transition programs for children with disabilities under
Minnesota Statutes, section 124D.454:
$8,625,000 ..... 2004
$8,867,000 ..... 2005
The 2004 appropriation includes $1,516,000 for 2003 and
$7,109,000 for 2004.
The 2005 appropriation includes $1,777,000 for 2004 and
$7,090,000 for 2005.
Subd. 9. [COURT-PLACED SPECIAL EDUCATION REVENUE.] For
reimbursing serving school districts for unreimbursed eligible
expenditures attributable to children placed in the serving
school district by court action under Minnesota Statutes,
section 125A.79, subdivision 4:
$152,000 ..... 2004
$160,000 ..... 2005
Subd. 10. [OUT-OF-STATE TUITION SPECIAL EDUCATION.] For
special education out-of-state tuition according to Minnesota
Statutes, section 125A.79, subdivision 8:
$250,000 ..... 2004
$250,000 ..... 2005
Sec. 21. [REPEALER.]
Minnesota Statutes 2002, sections 125A.023, subdivision 5;
125A.09; 125A.47; and 125A.79, subdivision 2, are repealed.
ARTICLE 4
FACILITIES AND TECHNOLOGY
Section 1. Minnesota Statutes 2002, section 123B.51,
subdivision 3, is amended to read:
Subd. 3. [LEASE ROOMS OR BUILDINGS REAL PROPERTY.] When
necessary, the board may lease rooms or buildings real property
for school purposes.
Sec. 2. Minnesota Statutes 2002, section 123B.51,
subdivision 4, is amended to read:
Subd. 4. [LEASE FOR NONSCHOOL PURPOSE.] (a) The board may
lease to any person, business, or organization a schoolhouse
real property that is not needed for school purposes, or part of
a schoolhouse the property that is not needed for school
purposes if the board determines that leasing part of a
schoolhouse the property does not interfere with the educational
programs taking place in the rest of the building on the
property. The board may charge and collect reasonable
consideration for the lease and may determine the terms and
conditions of the lease.
(b) In districts with outstanding bonds, the net proceeds
of the lease must be first 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 that is ascribable to the payment of expenses
necessary and incidental to the construction or purchase of the
particular building or property that is leased. Any remaining
net proceeds in these districts may be deposited in either the
debt redemption fund or operating capital expenditure
fund account. All net proceeds of the lease in districts
without outstanding bonds shall be deposited in the operating
capital expenditure fund account of the district.
(c) The board may make capital improvements, including
fixtures, to a schoolhouse or a portion thereof to the real
property, not exceeding in cost the replacement value of
the schoolhouse property, to facilitate its rental, and the
lease of an the improved schoolhouse property, or part of it,
shall provide for rentals which will recover the cost of the
improvements over the initial term of the lease.
Notwithstanding paragraph (b), the portion of the rentals
representing the cost of the improvements shall be deposited in
the operating capital expenditure fund account of the district
and the balance of the rentals shall be used as provided in
paragraph (b).
Sec. 3. Minnesota Statutes 2002, section 123B.52, is
amended by adding a subdivision to read:
Subd. 1a. [CONSTRUCTION CONTRACTS.] A project labor
agreement is a hiring agreement that establishes wages, uniform
work schedules, and rules for dispute resolution to manage
construction projects that generally require, among other
things, payment of union dues or fees to a labor organization or
membership in or affiliation with a labor organization. A
school board must adopt at a public meeting a written resolution
authorizing a project labor agreement to construct or repair a
facility through a contract or bid. The board must publish in
the official newspaper of the district notice of the meeting at
least 30 days in advance.
Sec. 4. Minnesota Statutes 2002, section 123B.53,
subdivision 4, is amended to read:
Subd. 4. [DEBT SERVICE EQUALIZATION REVENUE.] (a) The debt
service equalization revenue of a district equals the sum of the
first tier debt service equalization revenue and the second tier
debt service equalization revenue.
(b) The first tier debt service equalization revenue of a
district equals the greater of zero or the eligible debt service
revenue minus the amount raised by a levy of 15 percent times
the adjusted net tax capacity of the district minus the second
tier debt service equalization revenue of the district.
(c) The second tier debt service equalization revenue of a
district equals the greater of zero or the eligible debt service
revenue, excluding alternative facilities levies under section
123B.59, subdivision 5, minus the amount raised by a levy of 25
percent times the adjusted net tax capacity of the district.
[EFFECTIVE DATE.] This section is effective for revenue for
fiscal year 2005.
Sec. 5. Minnesota Statutes 2002, section 123B.57,
subdivision 1, is amended to read:
Subdivision 1. [HEALTH AND SAFETY PROGRAM.] (a) 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 education, a
school district may include its proportionate share of the costs
of health and safety projects for an intermediate district in
its application.
(b) Health and safety projects with an estimated cost of
$500,000 or more per site, approved after February 1, 2003, are
not eligible for health and safety revenue. Health and safety
projects with an estimated cost of $500,000 or more per site,
approved after February 1, 2003, that meet all other
requirements for health and safety funding, are eligible for
alternative facilities bonding and levy revenue according to
section 123B.59. A school board shall not separate portions of
a single project into components to qualify for health and
safety revenue, and shall not combine unrelated projects into a
single project to qualify for alternative facilities bonding and
levy revenue.
[EFFECTIVE DATE.] This section is effective the day
following final enactment and applies to projects approved after
February 1, 2003, for taxes payable in 2004 and later.
Sec. 6. Minnesota Statutes 2002, section 123B.57,
subdivision 4, is amended to read:
Subd. 4. [HEALTH AND SAFETY LEVY.] To receive health and
safety revenue, a district may levy an amount equal to the
district's health and safety revenue as defined in subdivision 3
multiplied by the lesser of one, or the ratio of the quotient
derived by dividing the adjusted net tax capacity of the
district for the year preceding the year the levy is certified
by the adjusted marginal cost pupil units in the district for
the school year to which the levy is attributable,
to $3,956 $2,935.
Sec. 7. Minnesota Statutes 2002, section 123B.57,
subdivision 6, is amended to read:
Subd. 6. [USES OF HEALTH AND SAFETY REVENUE.] (a) Health
and safety revenue may be used only for approved expenditures
necessary to correct fire and life safety hazards, life safety
hazards, or for the removal or encapsulation of asbestos from
school buildings or property owned or being acquired by the
district, asbestos-related repairs, cleanup and disposal of
polychlorinated biphenyls found in school buildings or property
owned or being acquired by the district, or the cleanup,
removal, disposal, and repairs related to storing heating fuel
or transportation fuels such as alcohol, gasoline, fuel oil, and
special fuel, as defined in section 296A.01, labor and
industry Minnesota occupational safety and health administration
regulated facility and equipment hazards, indoor air quality
mold abatement, upgrades or replacement of mechanical
ventilation systems to meet American Society of Heating,
Refrigerating and Air Conditioning Engineers standards and state
mechanical code, department of health food code and swimming
pool hazards excluding depth correction, and health, safety, and
environmental management. Health and safety revenue must not be
used to finance a lease purchase agreement, installment purchase
agreement, or other deferred payments agreement. Health and
safety revenue must not be used for the construction of new
facilities or the purchase of portable classrooms, for interest
or other financing expenses, or for energy efficiency projects
under section 123B.65. The revenue may not be used for a
building or property or part of a building or property used for
post-secondary instruction or administration or for a purpose
unrelated to elementary and secondary education.
(b) Notwithstanding paragraph (a), health and safety
revenue must not be used for replacement of building materials
or facilities including roof, walls, windows, internal fixtures
and flooring, nonhealth and safety costs associated with
demolition of facilities, structural repair or replacement of
facilities due to unsafe conditions, violence prevention and
facility security, ergonomics, building and heating, ventilating
and air conditioning supplies, maintenance, cleaning, testing,
and calibration activities. All assessments, investigations,
inventories, and support equipment not leading to the
engineering or construction of a project shall be included in
the health, safety, and environmental management costs in
subdivision 8, paragraph (a).
[EFFECTIVE DATE.] This section is effective the day
following final enactment and applies to projects approved after
February 1, 2003, for taxes payable in 2004 and later.
Sec. 8. Minnesota Statutes 2002, section 123B.59,
subdivision 1, is amended to read:
Subdivision 1. [TO QUALIFY.] (a) An independent or special
school district qualifies to participate in the alternative
facilities bonding and levy program if the district has:
(1) more than 66 students per grade;
(2) over 1,850,000 square feet of space and the average age
of building space is 15 years or older or over 1,500,000 square
feet and the average age of building space is 35 years or older;
(3) insufficient funds from projected health and safety
revenue and capital facilities revenue to meet the requirements
for deferred maintenance, to make accessibility improvements, or
to make fire, safety, or health repairs; and
(4) a ten-year facility plan approved by the commissioner
according to subdivision 2.
(b) An independent or special school district not eligible
to participate in the alternative facilities bonding and levy
program under paragraph (a) qualifies for limited participation
in the program if the district has:
(1) one or more health and safety projects with an
estimated cost of $500,000 or more per site that would qualify
for health and safety revenue except for the project size
limitation in section 123B.57, subdivision 1, paragraph (b); and
(2) insufficient funds from capital facilities revenue to
fund those projects.
[EFFECTIVE DATE.] This section is effective for revenue for
fiscal year 2005.
Sec. 9. Minnesota Statutes 2002, section 123B.59,
subdivision 2, is amended to read:
Subd. 2. [TEN-YEAR FACILITY PLAN.] (a) A district
qualifying district under subdivision 1, paragraph (a), must
have a ten-year facility plan approved by the commissioner that
includes an inventory of projects and costs that would be
eligible for:
(1) health and safety revenue, without restriction as to
project size;
(2) disabled access levy; and
(3) deferred capital expenditures and maintenance projects
necessary to prevent further erosion of facilities.
(b) A district qualifying under subdivision 1, paragraph
(b), must have a five-year plan approved by the commissioner
that includes an inventory of projects and costs for health and
safety projects with an estimated cost of $500,000 or more per
site that would qualify for health and safety revenue except for
the project size limitation in section 123B.57, subdivision 1,
paragraph (b).
(c) The school district must:
(1) annually update the plan plans;
(2) biennially submit a facility maintenance plan; and
(3) indicate whether the district will issue bonds to
finance the plan or levy for the costs.
[EFFECTIVE DATE.] This section is effective for revenue for
fiscal year 2005.
Sec. 10. Minnesota Statutes 2002, section 123B.59,
subdivision 3, is amended to read:
Subd. 3. [BOND AUTHORIZATION.] (a) A school district, upon
approval of its board and the commissioner, may issue general
obligation bonds under this section to finance approved
facilities plans approved by its board and the commissioner.
Chapter 475, except sections 475.58 and 475.59, must be complied
with. The district may levy under subdivision 5 for the debt
service revenue. The authority to issue bonds under this
section is in addition to any bonding authority authorized by
this chapter, or other law. The amount of bonding authority
authorized under this section must be disregarded in calculating
the bonding or net debt limits of this chapter, or any other law
other than section 475.53, subdivision 4.
(b) Before a district issues bonds under this subdivision,
it must publish notice of the intended projects, the amount of
the bond issue, and the total amount of district indebtedness.
[EFFECTIVE DATE.] This section is effective the day
following final enactment and applies to bonds issued after
April 15, 2003, for taxes payable in 2004 and later.
Sec. 11. Minnesota Statutes 2002, section 123B.59, is
amended by adding a subdivision to read:
Subd. 3a. [LEVY AUTHORIZATION.] (a) A school district may
levy under this section to finance the portion of facilities
plans approved by its board and the commissioner that are not
financed through bond issues according to subdivision 3.
(b) Before a district levies under this subdivision, it
must publish notice of the intended projects, including the
total estimated project cost.
[EFFECTIVE DATE.] This section is effective the day
following final enactment and applies to levies for taxes
payable in 2004 and later.
Sec. 12. Minnesota Statutes 2002, section 123B.59,
subdivision 5, is amended to read:
Subd. 5. [LEVY AUTHORIZED.] A district, after local board
approval, may levy for costs related to an approved facility
plan as follows:
(a) if the district has indicated to the commissioner that
bonds will be issued, the district may levy for the principal
and interest payments on outstanding bonds issued according to
subdivision 3 after reduction for any alternative facilities aid
receivable under subdivision 6; or
(b) if the district has indicated to the commissioner that
the plan will be funded through levy, the district may levy
according to the schedule approved in the plan after reduction
for any alternative facilities aid receivable under subdivision
6 3a.
[EFFECTIVE DATE.] This section is effective for taxes
payable in 2004.
Sec. 13. Minnesota Statutes 2002, section 123B.63,
subdivision 1, is amended to read:
Subdivision 1. [CREATION OF A DOWN PAYMENT CAPITAL PROJECT
REFERENDUM ACCOUNT.] A district may create a down payment
capital project referendum account as a separate account in
its general fund or its building construction fund. All
proceeds from the down payment capital project levy must be
deposited in the capital expenditure fund and transferred to
this account project referendum account in its general fund.
The portion of the proceeds to be used for building construction
must be transferred to the capital project referendum account in
its building construction fund. Interest income attributable to
the down payment capital project referendum account must be
credited to the account.
Sec. 14. Minnesota Statutes 2002, section 123B.63,
subdivision 2, is amended to read:
Subd. 2. [USES OF THE ACCOUNT.] Money in the down payment
capital project referendum account must be used as a down
payment for the future costs of acquisition and betterment for a
project that has been reviewed under section 123B.71 and has
been approved according to subdivision 3.
Sec. 15. Minnesota Statutes 2002, section 123B.63,
subdivision 3, is amended to read:
Subd. 3. [FACILITIES DOWN PAYMENT CAPITAL PROJECT LEVY
REFERENDUM.] A district may levy the local tax rate approved by
a majority of the electors voting on the question to provide
funds for a down payment for an approved project. The election
must take place no more than five years before the estimated
date of commencement of the project. The referendum must be
held on a date set by the board. A referendum for a project not
receiving a positive review and comment by the commissioner
under section 123B.71 must be approved by at least 60 percent of
the voters at the election. The referendum may be called by the
school board and may be held:
(1) separately, before an election for the issuance of
obligations for the project under chapter 475; or
(2) in conjunction with an election for the issuance of
obligations for the project under chapter 475; or
(3) notwithstanding section 475.59, as a conjunctive
question authorizing both the down payment capital project levy
and the issuance of obligations for the project under chapter
475. Any obligations authorized for a project may be issued
within five years of the date of the election.
The ballot must provide a general description of the
proposed project, state the estimated total cost of the project,
state whether the project has received a positive or negative
review and comment from the commissioner, state the maximum
amount of the down payment capital project levy as a percentage
of net tax capacity, state the amount that will be raised by
that local tax rate in the first year it is to be levied, and
state the maximum number of years that the levy authorization
will apply.
The ballot must contain a textual portion with the
information required in this section and a question stating
substantially the following:
"Shall the down payment capital project levy proposed by
the board of .......... School District No. .......... be
approved?"
If approved, the amount provided by the approved local tax
rate applied to the net tax capacity for the year preceding the
year the levy is certified may be certified for the number of
years approved.
In the event a conjunctive question proposes to authorize
both the down payment capital project levy and the issuance of
obligations for the project, appropriate language authorizing
the issuance of obligations must also be included in the
question.
The district must notify the commissioner of the results of
the referendum.
Sec. 16. Minnesota Statutes 2002, section 123B.63,
subdivision 4, is amended to read:
Subd. 4. [EXCESS BUILDING CONSTRUCTION FUND LEVY
PROCEEDS.] Any funds remaining in the down payment capital
project referendum account that are not applied to the payment
of the costs of the approved project before its final completion
must be transferred to the district's debt redemption fund.
Sec. 17. Minnesota Statutes 2002, section 126C.40,
subdivision 1, is amended to read:
Subdivision 1. [TO LEASE BUILDING OR LAND.] (a) When an
independent or a special school district or a group of
independent or special school districts 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 90 percent of 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 $90 times the resident pupil
units for the fiscal year to which the levy is attributable.
(f) For agreements for which a review and comment have been
submitted to the department of children, families, and
learning education 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 education 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.
(h) A school district that is a member of an intermediate
school district may include in its authority under this
section 90 percent of the costs associated with leases of
administrative and classroom space for intermediate school
district programs. This authority must not exceed $25 $22.50
times the adjusted marginal cost pupil units of the member
districts. This authority is in addition to any other authority
authorized under this section.
(i) In addition to the allowable capital levies in
paragraph (a), a district that is a member of the "Technology
and Information Education Systems" data processing joint board,
that finds it economically advantageous to enter into a lease
purchase agreement for a building for a group of school
districts or special school districts for staff development
purposes, may levy for its portion of lease costs attributed to
the district within the total levy limit in paragraph (e).
[EFFECTIVE DATE.] This section is effective for taxes
payable in 2004.
Sec. 18. Minnesota Statutes 2002, section 126C.63,
subdivision 5, is amended to read:
Subd. 5. [LEVY.] "Levy" means a district's net debt
service levy after the reduction of debt service equalization
aid under section 123B.53, subdivision 6. For taxes payable in
1994 2003 and later, each district's maximum effort debt service
levy for purposes of subdivision 8, must be reduced by an equal
number of percentage points if the commissioner of finance
determines that the levy reduction will not result in
a statewide property tax payment from the general fund in the
state treasury according to section 16A.641, as would be
required under Minnesota Statutes 1992, section 124.46 126C.72,
subdivision 3. A district's levy that is adjusted under this
section must not be reduced below 22.3 30.1 percent of the
district's adjusted net tax capacity.
Sec. 19. Minnesota Statutes 2002, section 126C.63,
subdivision 8, is amended to read:
Subd. 8. [MAXIMUM EFFORT DEBT SERVICE LEVY.] (a) "Maximum
effort debt service levy" means the lesser of:
(1) a levy in whichever of the following amounts is
applicable:
(a) (i) in any district receiving a debt service loan for a
debt service levy payable in 2002 and thereafter, or granted a
capital loan after January 1, 2001 2002, a levy in total dollar
amount computed at a rate of 30 40 percent of adjusted net tax
capacity for taxes payable in 2002 and thereafter;
(b) (ii) in any district receiving a debt service loan for
a debt service levy payable in 1991 and thereafter 2001 or
earlier, or granted a capital loan after before January 1
2, 1990 2001, a levy in a total dollar amount computed at a rate
of 24 32 percent of adjusted net tax capacity for taxes payable
in 1991 2002 and thereafter;
(c) in any district granted a debt service loan after July
31, 1981, or granted a capital loan which is approved after July
31, 1981, a levy in a total dollar amount computed as a tax rate
of 21.92 percent on the adjusted net tax capacity for taxes
payable in 1991 and thereafter; or
(2) a levy in any district for which a capital loan was
approved prior to August 1, 1981, a levy in a total dollar
amount equal to the sum of the amount of the required debt
service levy and an amount which when levied annually will in
the opinion of the commissioner be sufficient to retire the
remaining interest and principal on any outstanding loans from
the state within 30 years of the original date when the capital
loan was granted.
(b) The board in any district affected by the provisions of
paragraph (a), clause (2), may elect instead to determine the
amount of its levy according to the provisions of paragraph (a),
clause (1). If a district's capital loan is not paid within 30
years because it elects to determine the amount of its levy
according to the provisions of paragraph (a), clause (2), the
liability of the district for the amount of the difference
between the amount it levied under paragraph (a), clause (2),
and the amount it would have levied under paragraph (a), clause
(1), and for interest on the amount of that difference, must not
be satisfied and discharged pursuant to Minnesota Statutes 1988,
or an earlier edition of Minnesota Statutes if applicable,
section 124.43, subdivision 4.
Sec. 20. Minnesota Statutes 2002, section 126C.69,
subdivision 2, is amended to read:
Subd. 2. [CAPITAL LOANS ELIGIBILITY.] Beginning July 1,
1999, a district is not eligible for a capital loan unless the
district's estimated net debt tax rate as computed by the
commissioner after debt service equalization aid would be more
than 30 40 percent of adjusted net tax capacity. The estimate
must assume a 20-year maturity schedule for new debt.
Sec. 21. Minnesota Statutes 2002, section 126C.69,
subdivision 9, is amended to read:
Subd. 9. [LOAN AMOUNT LIMITS.] (a) A loan must not be
recommended for approval for a district exceeding an amount
computed as follows:
(1) the amount requested by the district under subdivision
6;
(2) plus the aggregate principal amount of general
obligation bonds of the district outstanding on June 30 of the
year following the year the application was received, not
exceeding the limitation on net debt of the district in section
475.53, subdivision 4, or 450 607 percent of its adjusted net
tax capacity as most recently determined, whichever is less;
(3) less the maximum net debt permissible for the district
on December 1 of the year the application is received, under the
limitation in section 475.53, subdivision 4, or 450 607 percent
of its adjusted net tax capacity as most recently determined,
whichever is less;
(4) less any amount by which the amount voted exceeds the
total cost of the facilities for which the loan is granted.
(b) The loan may be approved in an amount computed as
provided in paragraph (a), clauses (1) to (3), subject to later
reduction according to paragraph (a), clause (4).
Sec. 22. Minnesota Statutes 2002, section 475.61,
subdivision 1, is amended to read:
Subdivision 1. [DEBT SERVICE RESOLUTION.] The governing
body of any municipality issuing general obligations shall,
prior to delivery of the obligations, levy by resolution a
direct general ad valorem tax upon all taxable property in the
municipality to be spread upon the tax rolls for each year of
the term of the obligations. The tax levies for all years for
municipalities other than school districts shall be specified
and such that if collected in full they, together with estimated
collections of special assessments and other revenues pledged
for the payment of said obligations, will produce at least five
percent in excess of the amount needed to meet when due the
principal and interest payments on the obligations. The tax
levies for school districts shall be specified and such that if
collected in full they, together with estimated collection of
other revenues pledged for the payment of the obligations, will
produce between five and six percent in excess of the amount
needed to meet when due the principal and interest payments on
the obligations, rounded up to the nearest dollar; except that,
with the permission of the commissioner of children, families,
and learning education, a school board may specify a tax levy in
a higher amount if necessary either to meet an anticipated tax
delinquency or for cash flow needs to meet the required payments
from the debt redemption fund. Such resolution shall
irrevocably appropriate the taxes so levied and any special
assessments or other revenues so pledged to the municipality's
debt service fund or a special debt service fund or account
created for the payment of one or more issues of obligations.
The governing body may, in its discretion, at any time after the
obligations have been authorized, adopt a resolution levying
only a portion of such taxes, to be filed, assessed, extended,
collected, and remitted as hereinafter provided, and the amount
or amounts therein levied shall be credited against the tax
required to be levied prior to delivery of the obligations.
Sec. 23. Minnesota Statutes 2002, section 475.61,
subdivision 3, is amended to read:
Subd. 3. [IRREVOCABILITY.] (a) Tax levies so made and
filed shall be irrevocable, except as provided in this
subdivision.
(b) For purposes of this subdivision, "excess debt
redemption fund balance" means the greater of zero or the
balance in the district's debt redemption fund as of June 30 of
the fiscal year ending in the year before the year the levy is
certified, minus any debt redemption fund balance attributable
to refunding of existing bonds, minus the amount of the levy
reduction for the current year and the prior year under
paragraphs (e) and (f), minus five percent of the district's
required debt service levy for the next year.
(c) By July 15 each year, a district shall report to the
commissioner of children, families, and learning education the
amount of the districts' debt redemption fund balance as of June
30 of the prior year attributable to refunding of existing bonds.
(d) By August 15 each year, the commissioner shall
determine the excess debt redemption fund balance for each
school district, and shall certify the amount of the excess
balance to the school district superintendent.
(e) In each year when a district has an excess debt
redemption fund balance, the commissioner shall report the
amount of the excess to the county auditor and the auditor shall
reduce the tax levy otherwise to be included in the rolls next
prepared by the amount certified.
(f) The school board may, with the approval of the
commissioner, retain all or part of the excess balance if it is
necessary to ensure the prompt and full payment of its
obligations and any call premium on its obligations, will be
used for redemption of its obligations in accordance with their
terms, or to level out the debt service tax rate, excluding the
debt excess adjustment, for its obligations over the next two
years. A school district requesting authority to retain all or
part of the excess balance shall provide written documentation
to the commissioner describing the rationale for its request by
September 15 including the issuance of new obligations within
the next year or the refunding of existing obligations. A
school district that retains an excess may request to transfer
the excess to its operating capital account in the general fund
under section 123B.80. The school board may, with the approval
of the commissioner, specify a tax levy in a higher amount if
necessary because of anticipated tax delinquency or for cash
flow needs to meet the required payments from the debt
redemption fund.
(g) If the governing body, including the governing body of
a school district, in any year makes an irrevocable
appropriation to the debt service fund of money actually on hand
or if there is on hand any excess amount in the debt service
fund, the recording officer may certify to the county auditor
the fact and amount thereof and the auditor shall reduce by the
amount so certified the amount otherwise to be included in the
rolls next thereafter prepared.
Sec. 24. [BONDS; MOUNDS VIEW.]
Notwithstanding Minnesota Statutes, section 123B.59,
subdivision 3, independent school district No. 621, Mounds View,
may issue bonds according to Minnesota Statutes 2002, section
123B.59, subdivision 3, for projects approved by the
commissioner before February 1, 2003.
[EFFECTIVE DATE.] This section is effective the day
following final enactment.
Sec. 25. [LEASE LEVY EXCEPTION.]
Notwithstanding Minnesota Statutes, section 126C.40,
subdivision 1, a school district that has entered into a
completed agreement under Laws 2000, chapter 492, article 1,
section 3, subdivision 4, may continue to levy for 100 percent
of the costs of any lease required by the agreement.
Sec. 26. [PROPERTY SALE; ST. FRANCIS SCHOOL DISTRICT.]
Notwithstanding Minnesota Statutes, section 123B.51,
subdivision 6, or any other law to the contrary, independent
school district No. 15, St. Francis, may deposit the proceeds
from the sale of land that was purchased with funds obtained
according to Laws 1992, chapter 558, section 7, subdivision 7,
in the district's general fund reserved for operating capital
account. The district may only use the proceeds of the sale for
projects designed to create or improve safe walking routes for
the students of independent school district No. 15, St. Francis.
[EFFECTIVE DATE.] This section is effective the day
following final enactment.
Sec. 27. [DISABLED ACCESS LEVY AUTHORITY; SOUTHLAND.]
Notwithstanding the time limits in Minnesota Statutes,
section 123B.58, subdivision 3, independent school district No.
500, Southland, may levy up to $66,000 of its remaining disabled
access levy authority over five or fewer years.
[EFFECTIVE DATE.] This section is effective the day
following final enactment.
Sec. 28. [LEVY; ELGIN-MILLVILLE.]
Subdivision 1. [LEVY.] For taxes payable in 2004 only,
independent school district No. 806, Elgin-Millville, may levy
an amount up to $8,000 for handicapped access and fire safety
improvements to school buildings.
Subd. 2. [LEVY LIMITATION.] The sum of the levy in
subdivision 1 and other levies under Minnesota Statutes, section
123B.58, must not exceed $300,000.
[EFFECTIVE DATE.] This section is effective for revenue for
fiscal year 2005 and thereafter.
Sec. 29. [GARAGE LEASE LEVY; SARTELL.]
For taxes payable in 2004, 2005, and 2006, independent
school district No. 740, Sartell, may levy up to $107,000 each
year for the purpose of leasing a school bus storage facility.
The department of education shall include this levy in the
calculation of eligible building lease levy under Minnesota
Statutes, section 126C.40, subdivision 1. This levy shall not
allow the district to exceed the $100 per resident marginal cost
pupil unit cap in that section. The district is eligible to
make this levy only if it sells its current school bus storage
site to the city of Sartell and the district may not use this
levy as part of a lease purchase agreement to replace its
current school bus storage facility.
Sec. 30. [HEALTH AND SAFETY EXCEPTION, ULEN-HITTERDAL.]
Notwithstanding Minnesota Statutes, section 123B.57,
independent school district No. 914, Ulen-Hitterdal, may submit
to the commissioner of education an application that the
demolition of a portion of the Ulen high school building be
included in its health and safety revenue for fiscal year 2005.
The department of education shall consider the district's
application for health and safety revenue based on the
eligibility criteria under Minnesota Statutes 2002, section
123B.57.
[EFFECTIVE DATE.] This section is effective the day
following final enactment.
Sec. 31. [APPROPRIATIONS.]
Subdivision 1. [DEPARTMENT OF EDUCATION.] The sums
indicated in this section are appropriated from the general fund
to the department of education for the fiscal years designated.
Subd. 2. [HEALTH AND SAFETY REVENUE.] For health and
safety aid according to Minnesota Statutes, section 123B.57,
subdivision 5:
$7,839,000 ..... 2004
$6,068,000 ..... 2005
The 2004 appropriation includes $1,516,000 for 2003 and
$6,323,000 for 2004.
The 2005 appropriation includes $1,580,000 for 2004 and
$4,488,000 for 2005.
Subd. 3. [DEBT SERVICE EQUALIZATION.] For debt service aid
according to Minnesota Statutes, section 123B.53, subdivision 6:
$34,500,000 ..... 2004
$37,575,000 ..... 2005
The 2004 appropriation includes $5,586,000 for 2003 and
$28,914,000 for 2004.
The 2005 appropriation includes $7,228,000 for 2004 and
$30,347,000 for 2005.
Subd. 4. [ALTERNATIVE FACILITIES BONDING AID.] For
alternative facilities bonding aid, according to Minnesota
Statutes, section 123B.59, subdivision 1:
$18,708,000 ..... 2004
$19,287,000 ..... 2005
The 2004 appropriation includes $3,278,000 for 2003 and
$15,430,000 for 2004.
The 2005 appropriation includes $3,857,000 for 2004 and
$15,430,000 for 2005.
Sec. 32. [REPEALER.]
Minnesota Statutes 2002, section 125B.11, is repealed.
ARTICLE 5
NUTRITION, SCHOOL ACCOUNTING, OTHER PROGRAMS
Section 1. Minnesota Statutes 2002, section 12.21,
subdivision 3, is amended to read:
Subd. 3. [SPECIFIC AUTHORITY.] In performing duties under
this chapter and to effect its policy and purpose, the governor
may:
(1) make, amend, and rescind the necessary orders and rules
to carry out the provisions of this chapter and section 216C.15
within the limits of the authority conferred by this section,
with due consideration of the plans of the federal government
and without complying with sections 14.001 to 14.69, but no
order or rule has the effect of law except as provided by
section 12.32;
(2) ensure that a comprehensive emergency operations plan
and emergency management program for this state are developed
and maintained, and are integrated into and coordinated with the
emergency plans of the federal government and of other states to
the fullest possible extent;
(3) in accordance with the emergency operations plan and
the emergency management program of this state, procure
supplies, equipment, and facilities; institute training programs
and public information programs; and take all other preparatory
steps, including the partial or full activation of emergency
management organizations in advance of actual disaster to ensure
the furnishing of adequately trained and equipped forces of
emergency management personnel in time of need;
(4) make studies and surveys of the industries, resources,
and facilities in this state as may be necessary to ascertain
the capabilities of the state for emergency management and to
plan for the most efficient emergency use of those industries,
resources, and facilities;
(5) on behalf of this state, enter into mutual aid
arrangements or cooperative agreements with other states, tribal
authorities, and Canadian provinces, and coordinate mutual aid
plans between political subdivisions of this state;
(6) delegate administrative authority vested in the
governor under this chapter, except the power to make rules, and
provide for the subdelegation of that authority;
(7) cooperate with the president and the heads of the armed
forces, the emergency management agency of the United States and
other appropriate federal officers and agencies, and with the
officers and agencies of other states in matters pertaining to
the emergency management of the state and nation, including the
direction or control of:
(i) emergency preparedness drills and exercises;
(ii) warnings and signals for drills or actual emergencies
and the mechanical devices to be used in connection with them;
(iii) shutting off water mains, gas mains, electric power
connections and the suspension of all other utility services;
(iv) the conduct of persons in the state, including
entrance or exit from any stricken or threatened public place,
occupancy of facilities, and the movement and cessation of
movement of pedestrians, vehicular traffic, and all forms of
private and public transportation during, prior, and subsequent
to drills or actual emergencies;
(v) public meetings or gatherings; and
(vi) the evacuation, reception, and sheltering of persons;
(8) contribute to a political subdivision, within the
limits of the appropriation for that purpose, not more than 25
percent of the cost of acquiring organizational equipment that
meets standards established by the governor;
(9) formulate and execute, with the approval of the
executive council, plans and rules for the control of traffic in
order to provide for the rapid and safe movement over public
highways and streets of troops, vehicles of a military nature,
and materials for national defense and war or for use in any war
industry, for the conservation of critical materials, or for
emergency management purposes; coordinate the activities of the
departments or agencies of the state and its political
subdivisions concerned directly or indirectly with public
highways and streets, in a manner that will best effectuate
those plans;
(10) alter or adjust by executive order, without complying
with sections 14.01 to 14.69, the working hours, work days and
work week of, and annual and sick leave provisions and payroll
laws regarding all state employees in the executive branch as
the governor deems necessary to minimize the impact of the
disaster or emergency, conforming the alterations or adjustments
to existing state laws, rules, and collective bargaining
agreements to the extent practicable;
(11) authorize the commissioner of children, families, and
learning education to alter school schedules, curtail school
activities, or order schools closed without affecting state aid
to schools, as defined in section 120A.05, subdivisions 9, 11,
13, and 17, and including charter schools under section 124D.10,
and elementary schools enrolling prekindergarten pupils in
district programs; and
(12) transfer the direction, personnel, or functions of
state agencies to perform or facilitate response and recovery
programs.
Sec. 2. Minnesota Statutes 2002, section 84A.51,
subdivision 4, is amended to read:
Subd. 4. [COUNTY'S USE OF FUNDS.] The funds received by
each county must be apportioned by the county auditor as follows:
(1) 30 percent to a county development fund, which is
created, to be spent under the direction of the county board for
the rehabilitation and development of the portion of the county
within the conservation area;
(2) 40 percent to the capital outlay general fund of the
school district from which derived;
(3) 20 percent to the county revenue fund; and
(4) ten percent to the township road and bridge fund of the
township from which derived.
If the proceeds are derived from an unorganized township
with no levy for road and bridge purposes, the township portion
must be credited to the county revenue fund.
Sec. 3. Minnesota Statutes 2002, section 120A.05,
subdivision 9, is amended to read:
Subd. 9. [ELEMENTARY SCHOOL.] "Elementary school" means
any school with building, equipment, courses of study, class
schedules, enrollment of pupils ordinarily in prekindergarten
through grade 6 or any portion thereof, and staff meeting the
standards established by the commissioner.
The commissioner of children, families, and learning shall
not close a school or deny any state aids to a district for its
elementary schools because of enrollment limitations classified
in accordance with the provisions of this subdivision.
Sec. 4. Minnesota Statutes 2002, 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 2001, the school district must recognize as
revenue, in the fund for which the levy was made, the lesser of:
(1) the sum of May, June, and July school district tax
settlement revenue received in that calendar year plus general
education aid according to section 126C.13, subdivision 4,
received in July and August of 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.
(c) For fiscal year 2002 and later years, In June of each
year 2003, the school district must recognize as revenue, in the
fund for which the levy was made, the lesser of:
(1) the sum of May, June, and July school district tax
settlement revenue received in that calendar year, plus general
education aid according to section 126C.13, subdivision 4,
received in July and August of that calendar year; or
(2) the sum of:
(i) 31 percent of the referendum levy certified according
to section 126C.17, in calendar year 2000; plus
(ii) the entire amount of the levy certified in the prior
calendar year according to section 124D.86, subdivision 4, for
school districts receiving revenue under sections 124D.86,
subdivision 3, clauses (1), (2), and (3); 126C.41, subdivisions
1, 2, and 3, paragraphs (4) (b), (5) (c), and (6) (d);
126C.43, subdivision 2; 126C.457; and 126C.48, subdivision 6.
(c) For fiscal year 2004 and later years, 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 sum of May, June, and July school district tax
settlement revenue received in that calendar year, plus general
education aid according to section 126C.13, subdivision 4,
received in July and August of that calendar year; or
(2) the sum of:
(i) the greater of the percent of the referendum levy
certified according to section 126C.17, in the prior calendar
year or 45 percent of the referendum levy certified according to
section 126C.17, in calendar year 2000; plus
(ii) the entire amount of the levy certified in the prior
calendar year according to section 124D.86, subdivision 4, for
school districts receiving revenue under sections 124D.86,
subdivision 3, clauses (1), (2), and (3); 126C.41, subdivisions
1, 2, and 3, paragraphs (b), (c), and (d); 126C.43, subdivision
2; 126C.457; and 126C.48, subdivision 6; plus
(iii) 45 percent of the amount of the levy certified in the
prior calendar year for the school district's general and
community service funds, plus or minus auditor's adjustments,
not including levy portions that are assumed by the state, that
remains after subtracting the referendum levy certified
according to section 126C.17 and the amount recognized according
to clause (ii).
(3) For fiscal year 2005 and later, the percent of the
referendum levy that is shifted is the greater of 31 percent or
the percent computed under paragraph (c), clause (2), item (i),
for fiscal year 2004.
Sec. 5. Minnesota Statutes 2002, section 124D.11,
subdivision 9, is amended to read:
Subd. 9. [PAYMENT OF AIDS TO CHARTER SCHOOLS.] (a)
Notwithstanding section 127A.45, subdivision 3, aid payments for
the current fiscal year to a charter school not in its first
year of operation shall be of an equal amount on each of the 23
payment dates. A charter school in its first year of operation
shall receive, on its first payment date, ten percent of its
cumulative amount guaranteed for the year and 22 payments of an
equal amount thereafter the sum of which shall be 90 percent of
the cumulative amount guaranteed.
(b) Notwithstanding paragraph (a), for a charter school
ceasing operation prior to the end of a school year, 83 80
percent of the amount due for the school year may be paid to the
school after audit of prior fiscal year and current fiscal year
pupil counts.
(c) Notwithstanding section 127A.45, subdivision 3, and
paragraph (a), 83 80 percent of the start-up cost aid under
subdivision 8 shall be paid within 45 days after the first day
of student attendance for that school year.
(d) In order to receive state aid payments under this
subdivision, a charter school in its first three years of
operation must submit a quarterly report to the department of
children, families, and learning education. The report must
list each student by grade, show the student's start and end
dates, if any, with the charter school, and for any student
participating in a learning year program, the report must list
the hours and times of learning year activities. The report
must be submitted not more than two weeks after the end of the
calendar quarter to the department. The department must develop
a Web-based reporting form for charter schools to use when
submitting enrollment reports. A charter school in its fourth
and subsequent year of operation must submit enrollment
information to the department in the form and manner requested
by the department.
[EFFECTIVE DATE.] This section is effective for revenue for
fiscal year 2004.
Sec. 6. [124D.1158] [SCHOOL BREAKFAST PROGRAM.]
Subdivision 1. [PURPOSE.] The purpose of the school
breakfast program is to provide affordable morning nutrition to
children so that they can effectively learn. Public and
nonpublic schools that participate in the federal school
breakfast program may receive state breakfast aid. Schools
shall encourage all children to eat a nutritious breakfast,
either at home or at school, and shall work to eliminate
barriers to breakfast participation at school such as inadequate
facilities and transportation.
Subd. 2. [PROGRAM; ELIGIBILITY.] Each school year, public
and nonpublic schools that participate in the federal school
breakfast program are eligible for the state breakfast program.
Subd. 3. [PROGRAM REIMBURSEMENT.] Each school year, the
state must reimburse each participating school 30 cents for each
reduced price breakfast and 55 cents for each fully paid
breakfast.
Subd. 4. [NO FEES.] A school that receives school
breakfast aid under this section must make breakfast available
without charge to all participating students who qualify for
free or reduced price meals.
Sec. 7. Minnesota Statutes 2002, section 124D.118,
subdivision 4, is amended to read:
Subd. 4. [REIMBURSEMENT.] In accordance with program
guidelines, the commissioner shall prepay or reimburse each
participating districts for the state share of the district's
cost for providing public or nonpublic school nine cents for
each half-pint of milk that is served to kindergarten students
and is not part of a school lunch or breakfast reimbursed under
section 124D.111 or 124D.1158.
Sec. 8. Minnesota Statutes 2002, section 126C.42,
subdivision 1, is amended to read:
Subdivision 1. [1977 STATUTORY OPERATING DEBT.] (a) In
each year in which so required by this subdivision, a district
must make an additional levy to eliminate its statutory
operating debt, determined as of June 30, 1977, and certified
and adjusted by the commissioner. This levy shall not be made
in more than 30 successive years and each year before it is
made, it must be approved by the commissioner and the approval
shall specify its amount. This levy shall be an amount which is
equal to the amount raised by a levy of a net tax rate of 1.98
2.67 percent times the adjusted net tax capacity of the district
for the preceding year for taxes payable in 2000 2002 and
thereafter; provided that in the last year in which the district
is required to make this levy, it must levy an amount not to
exceed the amount raised by a levy of a net tax rate of 1.98
2.67 percent times the adjusted net tax capacity of the district
for the preceding year for taxes payable in 2000 2002 and
thereafter. When the sum of the cumulative levies made pursuant
to this subdivision and transfers made according to section
123B.79, subdivision 6, equals an amount equal to the statutory
operating debt of the district, the levy shall be discontinued.
(b) The district must establish a special account in the
general fund which shall be designated "appropriated fund
balance reserve account for purposes of reducing statutory
operating debt" on its books and records. This account shall
reflect the levy authorized pursuant to this subdivision. The
proceeds of this levy must be used only for cash flow
requirements and must not be used to supplement district
revenues or income for the purposes of increasing the district's
expenditures or budgets.
(c) Any district which is required to levy pursuant to this
subdivision must certify the maximum levy allowable under
section 126C.13, subdivision 2, in that same year.
(d) Each district shall make permanent fund balance
transfers so that the total statutory operating debt of the
district is reflected in the general fund as of June 30, 1977.
Sec. 9. Minnesota Statutes 2002, section 126C.43,
subdivision 2, is amended to read:
Subd. 2. [PAYMENT TO UNEMPLOYMENT INSURANCE PROGRAM TRUST
FUND BY STATE AND POLITICAL SUBDIVISIONS.] A district may
levy 90 percent of the amounts amount exceeding $10 times the
district's adjusted marginal cost pupil units for the fiscal
year ending in the year before the year the levy is certified
necessary (i) to pay the district's obligations under section
268.052, subdivision 1, and the amounts necessary (ii) to pay
for job placement services offered to employees who may become
eligible for benefits pursuant to section 268.085 for the fiscal
year the levy is certified.
[EFFECTIVE DATE.] This section is effective for taxes
payable in 2004.
Sec. 10. Minnesota Statutes 2002, section 126C.43,
subdivision 3, is amended to read:
Subd. 3. [TAX LEVY FOR JUDGMENT.] A district may levy 90
percent of the amounts amount exceeding $10 times the district's
adjusted marginal cost pupil units for the fiscal year ending in
the year before the year the levy is certified necessary to pay
judgments against the district under section 123B.25 that became
final after the date the district certified its proposed levy in
the previous year. With the approval of the commissioner, a
district may spread this levy over a period not to exceed three
years. Upon approval through the adoption of a resolution by
each of an intermediate district's member school district
boards, a member school district may include its proportionate
share of the costs of a judgment against an intermediate school
district that became final under section 123B.25 after the date
that the earliest member school district certified its proposed
levy in the previous year. With the approval of the
commissioner, an intermediate school district member school
district may spread this levy over a period not to exceed three
years.
[EFFECTIVE DATE.] This section is effective for taxes
payable in 2004.
Sec. 11. [127A.441] [AID REDUCTION; LEVY REVENUE
RECOGNITION CHANGE.]
Each year, the state aids payable to any school district
for that fiscal year that are recognized as revenue in the
school district's general and community service funds shall be
adjusted by an amount equal to (1) the amount the district
recognized as revenue for the prior fiscal year pursuant to
section 123B.75, subdivision 5, paragraph (b) or (c), minus (2)
the amount the district recognized as revenue for the current
fiscal year pursuant to section 123B.75, subdivision 5,
paragraph (c). For purposes of making the aid adjustments under
this section, the amount the district recognizes as revenue for
either the prior fiscal year or the current fiscal year pursuant
to section 123B.75, subdivision 5, paragraph (b) or (c), shall
not include any amount levied pursuant to section 124D.86,
subdivision 4, for school districts receiving revenue under
sections 124D.86, subdivision 3, clauses (1), (2), and (3);
126C.41, subdivisions 1, 2, and 3, paragraphs (b), (c), and (d);
126C.43, subdivision 2; 126C.457; and 126C.48, subdivision 6.
Payment from the permanent school fund shall not be adjusted
pursuant to this section. The school district shall be notified
of the amount of the adjustment made to each payment pursuant to
this section.
Sec. 12. Minnesota Statutes 2002, section 126C.45, is
amended to read:
126C.45 [ICE ARENA LEVY.]
(a) Each year, an independent school district operating and
maintaining an ice arena, may levy for the net operational costs
of the ice arena. The levy may not exceed 90 percent of the net
actual costs of operation of the arena for the previous year.
Net actual costs are defined as operating costs less any
operating revenues.
(b) Any district operating and maintaining an ice arena
must demonstrate to the satisfaction of the office of monitoring
in the department that the district will offer equal sports
opportunities for male and female students to use its ice arena,
particularly in areas of access to prime practice time, team
support, and providing junior varsity and younger level teams
for girls' ice sports and ice sports offerings.
[EFFECTIVE DATE.] This section is effective for taxes
payable in 2004.
Sec. 13. Minnesota Statutes 2002, section 126C.48,
subdivision 3, is amended to read:
Subd. 3. [ADJUSTMENTS.] If any district levy is found to
be excessive as a result of a decision of the tax court or a
redetermination by the commissioner of revenue under section
127A.48, subdivisions 7 to 16, or for any other reason, the
amount of the excess shall be deducted from the levy certified
in the next year for the same purpose. If no levy is certified
in the next year for the same purpose or if the amount certified
is less than the amount of the excess, the excess must be
deducted from that levy and the general fund levy certified
pursuant to section 126C.13, subdivision 2 chapters 122A, 123A,
123B, 124D, and 126C. If the amount of any aid would have been
increased in a prior year as a result of a decision of the tax
court or a redetermination by the commissioner of revenue, the
amount of the increase shall be added to the amount of current
aid for the same purposes.
Sec. 14. Minnesota Statutes 2002, section 127A.45,
subdivision 2, is amended to read:
Subd. 2. [DEFINITIONS.] (a) The term "other district
receipts" means payments by county treasurers pursuant to
section 276.10, apportionments from the school endowment fund
pursuant to section 127A.33, apportionments by the county
auditor pursuant to section 127A.34, subdivision 2, and payments
to school districts by the commissioner of revenue pursuant to
chapter 298.
(b) The term "cumulative amount guaranteed" means the
product of
(1) the cumulative disbursement percentage shown in
subdivision 3; times
(2) the sum of
(i) 83 80 percent of the estimated aid and credit
entitlements paid according to subdivision 13; plus
(ii) 100 percent of the entitlements paid according to
subdivisions 11 and 12; plus
(iii) the other district receipts.
(c) The term "payment date" means the date on which state
payments to districts are made by the electronic funds transfer
method. If a payment date falls on a Saturday, a Sunday, or a
weekday which is a legal holiday, the payment shall be made on
the immediately preceding business day. The commissioner may
make payments on dates other than those listed in subdivision 3,
but only for portions of payments from any preceding payment
dates which could not be processed by the electronic funds
transfer method due to documented extenuating circumstances.
Sec. 15. Minnesota Statutes 2002, section 127A.45,
subdivision 3, is amended to read:
Subd. 3. [PAYMENT DATES AND PERCENTAGES.] (a) For fiscal
year 2003, the commissioner shall pay to a district on the dates
indicated an amount computed as follows: the cumulative amount
guaranteed minus the sum of (a) the district's other district
receipts through the current payment, and (b) the aid and credit
payments through the immediately preceding payment. For
purposes of this computation, the payment dates and the
cumulative disbursement percentages are as follows:
Payment date Percentage
Payment 1 July 15: 5.1
Payment 2 July 30: 7.7
Payment 3 August 15: 16.9
Payment 4 August 30: 19.3
Payment 5 September 15: 21.8
Payment 6 September 30: 24.3
Payment 7 October 15: 26.3
Payment 8 October 30: 28.3
Payment 9 November 15: 32.8
Payment 10 November 30: 39.1
Payment 11 December 15: 42.4
Payment 12 December 30: 45.6
Payment 13 January 15: 50.5
Payment 14 January 30: 55.0
Payment 15 February 15: 60.2
Payment 16 February 28: 65.0
Payment 17 March 15: 69.7
Payment 18 March 30: 74.3
Payment 19 April 15: 78.3
Payment 20 April 30: 84.2
Payment 21 May 15: 88.7
Payment 22 May 30: 93.3
Payment 23 June 20: 100.0
(b) In addition to the amounts paid under paragraph (a),
for fiscal year 2003, the commissioner shall pay to a district
on the dates indicated an amount computed as follows:
Payment 3 August 15: the final adjustment for the
prior fiscal year for the state paid
property tax credits established in
section 273.1392
Payment 7 October 15: one-half of the final adjustment
for the prior fiscal year for all aid
entitlements except state paid property
tax credits
Payment 8 October 30: one-half of the final adjustment
for the prior fiscal year for all aid
entitlements except state paid property
tax credits
(c) For fiscal year 2004 and later, the commissioner shall
pay to a district on the dates indicated an amount computed as
follows: the cumulative amount guaranteed minus the sum of (a)
the district's other district receipts through the current
payment, and (b) the aid and credit payments through the
immediately preceding payment. For purposes of this
computation, the payment dates and the cumulative disbursement
percentages are as follows:
Payment date Percentage
Payment 1 July 15: 5.1 5.5
Payment 2 July 30: 7.7 8.0
Payment 3 August 15: 16.9 17.5
Payment 4 August 30: 19.3 20.0
Payment 5 September 15: 21.8 22.5
Payment 6 September 30: 24.3 25.0
Payment 7 October 15: 26.3 27.0
Payment 8 October 30: 28.3 30.0
Payment 9 November 15: 30.3 32.5
Payment 10 November 30: 35.0 36.5
Payment 11 December 15: 40.0 42.0
Payment 12 December 30: 43.0 45.0
Payment 13 January 15: 48.0 50.0
Payment 14 January 30: 52.0 54.0
Payment 15 February 15: 56.0 58.0
Payment 16 February 28: 61.0 63.0
Payment 17 March 15: 66.0 68.0
Payment 18 March 30: 72.0 74.0
Payment 19 April 15: 76.0 78.0
Payment 20 April 30: 83.0 85.0
Payment 21 May 15: 88.0 90.0
Payment 22 May 30: 95.0
Payment 23 June 20: 100.0
(d) (b) In addition to the amounts paid under paragraph
(c) (a), for fiscal year 2004 and later, the commissioner shall
pay to a district on the dates indicated an amount computed as
follows:
Payment 3 August 15: the final adjustment for the
prior fiscal year for the state paid
property tax credits established in
section 273.1392
Payment 4 August 30: one-third of the final adjustment
for the prior fiscal year for all aid
entitlements except state paid property
tax credits
Payment 6 September 30: one-third of the final adjustment
for the prior fiscal year for all aid
entitlements except state paid property
tax credits
Payment 8 October 30: one-third of the final adjustment
for the prior fiscal year for all aid
entitlements except state paid property
tax credits
(c) In addition to the amounts paid under paragraph (a),
for fiscal year 2005 and later, the commissioner shall pay to a
district on the dates indicated an amount computed as follows:
Payment 3 August 15: the final adjustment for the
prior fiscal year for the state paid
property tax credits established in
section 273.1392
Payment 4 August 30: 30 percent of the final adjustment
for the prior fiscal year for all aid
entitlements except state paid property
tax credits
Payment 6 September 30: 40 percent of the final adjustment
for the prior fiscal year for all aid
entitlements except state paid property
tax credits
Payment 8 October 30: 30 percent of the final adjustment
for the prior fiscal year for all aid
entitlements except state paid property
tax credits
Sec. 16. Minnesota Statutes 2002, section 127A.45,
subdivision 7a, is amended to read:
Subd. 7a. [ADVANCE FINAL PAYMENT.] (a) Notwithstanding
subdivisions 3 and 7, a school district or a charter school
exceeding its expenditure limitations under section 123B.83 as
of June 30 of the prior fiscal year may receive a portion of its
final payment for the current fiscal year on June 20, if
requested by the district. The amount paid under this
subdivision must not exceed the lesser of:
(1) seven percent of the district or charter school's
general education aid for the current fiscal year; or
(2) the amount by which the district or charter school's
net negative unreserved general fund balance as of June 30 of
the prior fiscal year exceeds 2.5 percent of the district or
charter school's expenditures for that fiscal year.
(b) The state total advance final payment under this
subdivision for any year must not exceed $17,500,000 $12,000,000.
If the amount requested exceeds $17,500,000 $12,000,000, the
advance final payment for each eligible district must be reduced
proportionately.
Sec. 17. Minnesota Statutes 2002, section 127A.45,
subdivision 10, is amended to read:
Subd. 10. [PAYMENTS TO SCHOOL NONOPERATING FUNDS.] Each
fiscal year state general fund payments for a district
nonoperating fund must be made at 83 80 percent of the estimated
entitlement during the fiscal year of the entitlement. This
amount shall be paid in 12 equal monthly installments. The
amount of the actual entitlement, after adjustment for actual
data, minus the payments made during the fiscal year of the
entitlement must be paid prior to October 31 of the following
school year. The commissioner may make advance payments of debt
service equalization aid or homestead and agricultural credit
aid for a district's debt service fund earlier than would occur
under the preceding schedule if the district submits evidence
showing a serious cash flow problem in the fund. The
commissioner may make earlier payments during the year and, if
necessary, increase the percent of the entitlement paid to
reduce the cash flow problem.
Sec. 18. Minnesota Statutes 2002, section 127A.45,
subdivision 13, is amended to read:
Subd. 13. [AID PAYMENT PERCENTAGE.] Except as provided in
subdivisions 11, 12, 12a, and 14, each fiscal year, all
education aids and credits in this chapter and chapters 120A,
120B, 121A, 122A, 123A, 123B, 124D, 125A, 125B, 126C, 134, and
section 273.1392, shall be paid at 83 80 percent of the
estimated entitlement during the fiscal year of the
entitlement. For the purposes of this subdivision, a district's
estimated entitlement for special education excess cost aid
under section 125A.79 equals 70 percent of the district's
entitlement for the second prior fiscal year. The final
adjustment payment, according to subdivision 9, must be the
amount of the actual entitlement, after adjustment for actual
data, minus the payments made during the fiscal year of the
entitlement.
Sec. 19. Minnesota Statutes 2002, section 127A.45,
subdivision 14, is amended to read:
Subd. 14. [NONPUBLIC AIDS.] The state shall pay aid
according to sections 123B.40 to 123B.48 for pupils attending
nonpublic schools as follows:
(1) an advance payment by November 30 equal to 83 80
percent of the estimated entitlement for the current fiscal
year; and
(2) a final payment by October 31 of the following fiscal
year, adjusted for actual data.
If a payment advance to meet cash flow needs is requested
by a district and approved by the commissioner, the state shall
pay nonpublic pupil transportation aid according to section
123B.92 by October 31.
Sec. 20. Minnesota Statutes 2002, section 127A.45,
subdivision 14a, is amended to read:
Subd. 14a. [STATE NUTRITION PROGRAMS.] Notwithstanding
subdivision 3, the state shall pay 100 percent of the aid for
the current year according to sections 124D.111,
124D.115, 124D.1158, and 124D.118 and 83 percent of the aid for
the current year according to section 124D.1156 based on
submitted monthly vouchers showing meals and milk served. The
remaining 17 percent according to section 124D.1156 shall be
paid by October 30 of the following fiscal year.
Sec. 21. Minnesota Statutes 2002, section 127A.45,
subdivision 16, is amended to read:
Subd. 16. [PAYMENTS TO THIRD PARTIES.] Notwithstanding
subdivision 3, 83 80 percent of the amounts under section
123A.26, subdivision 3, shall be paid in equal installments on
August 30, December 30, and March 30, with a 17 20 percent final
adjustment payment on October 30 of the next fiscal year.
Sec. 22. Minnesota Statutes 2002, section 127A.47,
subdivision 7, is amended to read:
Subd. 7. [ALTERNATIVE ATTENDANCE PROGRAMS.] The general
education aid for districts must be adjusted for each pupil
attending a nonresident district under sections 123A.05 to
123A.08, 124D.03, 124D.06, 124D.07, 124D.08, and 124D.68. The
adjustments must be made according to this subdivision.
(a) General education aid paid to a resident district must
be reduced by an amount equal to the referendum equalization aid
attributable to the pupil in the resident district.
(b) General education aid paid to a district serving a
pupil in programs listed in this subdivision must be increased
by an amount equal to the referendum equalization aid
attributable to the pupil in the nonresident district.
(c) If the amount of the reduction to be made from the
general education aid of the resident district is greater than
the amount of general education aid otherwise due the district,
the excess reduction must be made from other state aids due the
district.
(d) The district of residence must pay tuition to a
district or an area learning center, operated according to
paragraph (e), providing special instruction and services to a
pupil with a disability, as defined in section 125A.02, or a
pupil, as defined in section 125A.51, who is enrolled in a
program listed in this subdivision. The tuition must be equal
to (1) the actual cost of providing special instruction and
services to the pupil, including a proportionate amount for debt
service and for capital expenditure facilities and equipment,
and debt service but not including any amount for
transportation, minus (2) the amount of general education
revenue and special education aid but not including any amount
for transportation, attributable to that pupil, that is received
by the district providing special instruction and services.
(e) An area learning center operated by a service
cooperative, intermediate district, education district, or a
joint powers cooperative may elect through the action of the
constituent boards to charge the resident district tuition for
pupils rather than to calculate general education aid
adjustments under paragraph (a), (b), or (c). The tuition must
be equal to the greater of the average general education revenue
per pupil unit attributable to the pupil, or the actual cost of
providing the instruction, excluding transportation costs, if
the pupil meets the requirements of section 125A.02 or
125A.51 have the general education revenue paid to a fiscal
agent school district. Except as provided in paragraph (d), the
district of residence must pay tuition equal to at least 90
percent of the district average general education revenue per
pupil unit minus an amount equal to the product of the formula
allowance according to section 126C.10, subdivision 2, times
.0485, calculated without basic skills revenue and
transportation sparsity revenue, times the number of pupil units
for pupils attending the area learning center, plus the amount
of compensatory revenue generated by pupils attending the area
learning center.
Sec. 23. Minnesota Statutes 2002, section 127A.47,
subdivision 8, is amended to read:
Subd. 8. [CHARTER SCHOOLS.] (a) The general education aid
for districts must be adjusted for each pupil attending a
charter school under section 124D.10. The adjustments must be
made according to this subdivision.
(b) General education aid paid to a district in which a
charter school not providing transportation according to section
124D.10, subdivision 16, is located must be increased by an
amount equal to the product of: (1) the sum of an amount equal
to the product of the formula allowance according to section
126C.10, subdivision 2, times .0485, plus the transportation
sparsity allowance for the district, plus the transportation
transition allowance for the district; times (2) the pupil units
attributable to the pupil.
Sec. 24. Minnesota Statutes 2002, section 127A.49,
subdivision 2, is amended to read:
Subd. 2. [ABATEMENTS.] Whenever by virtue of chapter 278,
sections 270.07, 375.192, or otherwise, the net tax capacity of
any district for any taxable year is changed after the taxes for
that year have been spread by the county auditor and the local
tax rate as determined by the county auditor based upon the
original net tax capacity is applied upon the changed net tax
capacities, the county auditor shall, prior to February 1 of
each year, certify to the commissioner of children, families,
and learning education the amount of any resulting net revenue
loss that accrued to the district during the preceding year.
Each year, the commissioner shall pay an abatement adjustment to
the district in an amount calculated according to the provisions
of this subdivision. This amount shall be deducted from the
amount of the levy authorized by section 126C.46. The amount of
the abatement adjustment must be the product of:
(1) the net revenue loss as certified by the county
auditor, times
(2) the ratio of:
(i) the sum of the amounts of the district's certified levy
in the preceding year according to the following:
(A) section 126C.13 if the district received general
education aid according to that section for the second preceding
year;
(B) section 123B.57, if the district received health and
safety aid according to that section for the second preceding
year;
(C) sections (B) section 124D.20, 124D.21, and 124D.56, if
the district received aid for community education programs
according to any of those sections that section for the second
preceding year;
(D) (C) section 124D.135, subdivision 3, if the district
received early childhood family education aid according to
section 124D.135 for the second preceding year; and
(E) (D) section 126C.17, subdivision 6, if the district
received referendum equalization aid according to that section
for the second preceding year; to
(ii) the total amount of the district's certified levy in
the preceding December, plus or minus auditor's adjustments.
Sec. 25. Minnesota Statutes 2002, section 127A.49,
subdivision 3, is amended to read:
Subd. 3. [EXCESS TAX INCREMENT.] (a) If a return of excess
tax increment is made to a district pursuant to section 469.176,
subdivision 2, or upon decertification of a tax increment
district, the school district's aid and levy limitations must be
adjusted for the fiscal year in which the excess tax increment
is paid under the provisions of this subdivision.
(b) An amount must be subtracted from the district's aid
for the current fiscal year equal to the product of:
(1) the amount of the payment of excess tax increment to
the district, times
(2) the ratio of:
(i) the sum of the amounts of the district's certified levy
for the fiscal year in which the excess tax increment is paid
according to the following:
(A) section 126C.13, if the district received general
education aid according to that section for the second preceding
year;
(B) section 123B.57, if the district received health and
safety aid according to that section for the second preceding
year;
(C) sections (B) section 124D.20, 124D.21, and 124D.56, if
the district received aid for community education programs
according to any of those sections that section for the second
preceding year;
(D) (C) section 124D.135, subdivision 3, if the district
received early childhood family education aid according to
section 124D.135 for the second preceding year; and
(E) (D) section 126C.17, subdivision 6, if the district
received referendum equalization aid according to that section
for the second preceding year; to
(ii) the total amount of the district's certified levy for
the fiscal year, plus or minus auditor's adjustments.
(c) An amount must be subtracted from the school district's
levy limitation for the next levy certified equal to the
difference between:
(1) the amount of the distribution of excess increment; and
(2) the amount subtracted from aid pursuant to clause (a).
If the aid and levy reductions required by this subdivision
cannot be made to the aid for the fiscal year specified or to
the levy specified, the reductions must be made from aid for
subsequent fiscal years, and from subsequent levies. The school
district must use the payment of excess tax increment to replace
the aid and levy revenue reduced under this subdivision.
(d) This subdivision applies only to the total amount of
excess increments received by a district for a calendar year
that exceeds $25,000.
Sec. 26. Minnesota Statutes 2002, section 128D.11,
subdivision 8, is amended to read:
Subd. 8. [NET DEBT LIMIT.] The school district shall not
be subject to a net debt in excess of 102 144 percent of the net
tax capacity of all taxable property therein.
Sec. 27. Minnesota Statutes 2002, section 268.052,
subdivision 2, is amended to read:
Subd. 2. [ELECTION BY STATE OR POLITICAL SUBDIVISION TO BE
A TAXPAYING EMPLOYER.] (a) The state or political
subdivision excluding a school district may elect to be a
taxpaying employer for any calendar year if a notice of election
is filed within 30 calendar days following January 1 of that
calendar year. Upon election, the state or political
subdivision shall be assigned the new employer tax rate under
section 268.051, subdivision 5, for the calendar year of the
election and until it qualifies for an experience rating under
section 268.051, subdivision 3.
(b) An election shall be for a minimum period of two
calendar years following the effective date of the election and
continue unless a notice terminating the election is filed not
later than 30 calendar days before the beginning of the calendar
year. The termination shall be effective at the beginning of
the next calendar year. Upon election, the commissioner shall
establish a reimbursable account for the state or political
subdivision. A termination of election shall be allowed only if
the state or political subdivision has, since the beginning of
the experience rating period under section 268.051, subdivision
3, paid taxes and made voluntary payments under section 268.051,
subdivision 7, equal to or more than 125 percent of the
unemployment benefits used in computing the experience rating.
In addition, any unemployment benefits paid after the experience
rating period shall be transferred to the new reimbursable
account of the state or political subdivision. If the amount of
taxes and voluntary payments paid since the beginning of the
experience rating period exceeds 125 percent of the amount of
unemployment benefits paid during the experience rating period,
that amount in excess shall be applied against any unemployment
benefits paid after the experience rating period.
(c) The method of payments to the fund under subdivisions 3
and 4 shall apply to all taxes paid by or due from the state or
political subdivision that elects to be taxpaying employers
under this subdivision.
(d) The commissioner may allow a notice of election or a
notice terminating election to be filed by mail or electronic
transmission.
[EFFECTIVE DATE.] This section is effective the day
following final enactment.
Sec. 28. Minnesota Statutes 2002, section 268.052,
subdivision 4, is amended to read:
Subd. 4. [METHOD OF PAYMENT BY POLITICAL SUBDIVISION.] A
political subdivision or instrumentality thereof is authorized
and directed to pay its liabilities by money collected from
taxes or other revenues. Every political subdivision authorized
to levy taxes except school districts may include in its tax
levy the amount necessary to pay its liabilities. School
districts may levy according to section 126C.43, subdivision 2.
If the taxes authorized to be levied cause the total amount of
taxes levied to exceed any limitation upon the power of a
political subdivision to levy taxes, the political subdivision
may levy taxes in excess of the limitations in the amounts
necessary to meet its liability. The expenditures authorized
shall not be included in computing the cost of government as
defined in any home rule charter. The governing body of a
municipality, for the purpose of meeting its liabilities, in the
event of a deficit, may issue its obligations payable in not
more than two years, in an amount that may cause its
indebtedness to exceed any statutory or charter limitations,
without an election, and may levy taxes in the manner provided
in section 475.61.
[EFFECTIVE DATE.] This section is effective for taxes
payable in 2004.
Sec. 29. Minnesota Statutes 2002, section 273.138,
subdivision 6, is amended to read:
Subd. 6. The amount of aid calculated for a school
district pursuant to subdivision 3, clauses (2), (3), (4), and
(5) shall be deducted from the school district's general fund
levy limitation established pursuant to section 126C.13 chapters
122A, 123A, 123B, 124D, and 126C in determining the amount of
taxes the school district may levy for general and special
purposes.
Sec. 30. Minnesota Statutes 2002, section 298.28,
subdivision 4, is amended to read:
Subd. 4. [SCHOOL DISTRICTS.] (a) 17.15 cents per taxable
ton plus the increase provided in paragraph (d) must be
allocated to qualifying school districts to be distributed,
based upon the certification of the commissioner of revenue,
under paragraphs (b) and (c), except as otherwise provided in
paragraph (f).
(b) 3.43 cents per taxable ton must be distributed to the
school districts in which the lands from which taconite was
mined or quarried were located or within which the concentrate
was produced. The distribution must be based on the
apportionment formula prescribed in subdivision 2.
(c)(i) 13.72 cents per taxable ton, less any amount
distributed under paragraph (e), shall be distributed to a group
of school districts comprised of those school districts in which
the taconite was mined or quarried or the concentrate produced
or in which there is a qualifying municipality as defined by
section 273.134, paragraph (b), in direct proportion to school
district indexes as follows: for each school district, its
pupil units determined under section 126C.05 for the prior
school year shall be multiplied by the ratio of the average
adjusted net tax capacity per pupil unit for school districts
receiving aid under this clause as calculated pursuant to
chapters 122A, 126C, and 127A for the school year ending prior
to distribution to the adjusted net tax capacity per pupil unit
of the district. Each district shall receive that portion of
the distribution which its index bears to the sum of the indices
for all school districts that receive the distributions.
(ii) Notwithstanding clause (i), each school district that
receives a distribution under sections 298.018; 298.23 to
298.28, exclusive of any amount received under this clause;
298.34 to 298.39; 298.391 to 298.396; 298.405; or any law
imposing a tax on severed mineral values after reduction for any
portion distributed to cities and towns under section 126C.48,
subdivision 8, paragraph (5), that is less than the amount of
its levy reduction under section 126C.48, subdivision 8, for the
second year prior to the year of the distribution shall receive
a distribution equal to the difference; the amount necessary to
make this payment shall be derived from proportionate reductions
in the initial distribution to other school districts under
clause (i).
(d) Any school district described in paragraph (c) where a
levy increase pursuant to section 126C.17, subdivision 9, was
authorized by referendum for taxes payable in 2001, shall
receive a distribution from a fund that receives a distribution
in 1998 of 21.3 cents per ton. On July 15 of 1999, and each
year thereafter, the increase over the amount established for
the prior year shall be determined according to the increase in
the implicit price deflator as provided in section 298.24,
subdivision 1. Each district shall receive $175 times the pupil
units identified in section 126C.05, subdivision 1, enrolled in
the second previous year or the 1983-1984 school year, whichever
is greater, less the product of 1.8 percent times the district's
taxable net tax capacity in the second previous year.
If the total amount provided by paragraph (d) is
insufficient to make the payments herein required then the
entitlement of $175 per pupil unit shall be reduced uniformly so
as not to exceed the funds available. Any amounts received by a
qualifying school district in any fiscal year pursuant to
paragraph (d) shall not be applied to reduce general education
aid which the district receives pursuant to section 126C.13 or
the permissible levies of the district. Any amount remaining
after the payments provided in this paragraph shall be paid to
the commissioner of iron range resources and rehabilitation who
shall deposit the same in the taconite environmental protection
fund and the northeast Minnesota economic protection trust fund
as provided in subdivision 11.
Each district receiving money according to this paragraph
shall reserve the lesser of the amount received under this
paragraph or $25 times the number of pupil units served in the
district. It may use the money for early childhood programs or
for outcome-based learning programs that enhance the academic
quality of the district's curriculum. The outcome-based
learning programs must be approved by the commissioner of
children, families, and learning education.
(e) There shall be distributed to any school district the
amount which the school district was entitled to receive under
section 298.32 in 1975.
(f) Effective for the distribution in 2003 only, five
percent of the distributions to school districts under
paragraphs (b), (c), and (e); subdivision 6, paragraph (c);
subdivision 11; and section 298.225, shall be distributed to the
general fund. The remainder less any portion distributed to
cities and towns under section 126C.48, subdivision 8, paragraph
(5), shall be distributed to the northeast Minnesota economic
protection trust fund created in section 298.292. Fifty percent
of the amount distributed to the northeast Minnesota economic
protection trust fund shall be made available for expenditure
under section 298.293 as governed by section 298.296. Effective
in 2003 only, 100 percent of the distributions to school
districts under section 477A.15 less any portion distributed to
cities and towns under section 126C.48, subdivision 8, paragraph
(5), shall be distributed to the general fund.
Sec. 31. Minnesota Statutes 2002, section 475.61,
subdivision 4, is amended to read:
Subd. 4. [SURPLUS FUNDS.] (a) All such taxes shall be
collected and remitted to the municipality by the county
treasurer as other taxes are collected and remitted, and shall
be used only for payment of the obligations on account of which
levied or to repay advances from other funds used for such
payments, except that any surplus remaining in the debt service
fund when the obligations and interest thereon are paid may be
appropriated to any other general purpose by the municipality.
However, the amount of any surplus remaining in the debt service
fund of a school district when the obligations and interest
thereon are paid shall be used to reduce the general education
fund levy authorized pursuant to section 126C.13 chapters 122A,
123A, 123B, 124D, and 126C and the state aids authorized
pursuant to chapters 122A, 123A, 123B, 124D, 125A, 126C, and
127A.
(b) The reduction to state aids equals the lesser of (1)
the amount of the surplus times the ratio of the district's debt
service equalization aid to the district's debt service
equalization revenue for the last year that the district
qualified for debt service equalization aid; or (2) the
district's cumulative amount of debt service equalization aid.
(c) The reduction to the general education fund levy equals
the total amount of the surplus minus the reduction to state
aids.
Sec. 32. Laws 1965, chapter 705, as amended by Laws 1975,
chapter 261, section 4; Laws 1980, chapter 609, article 6,
section 37; and Laws 1989, chapter 329, article 13, section 18,
is amended to read:
Sec. 6. [ST. PAUL SEVERANCE LEVY.] The school board of
independent school district No. 625, St. Paul, for the purpose
of providing moneys for the payment of its severance pay
obligations under a plan approved by resolution of the district,
in addition to all other powers possessed by the school district
and in addition to and in excess of any existing limitation upon
the amount it is otherwise authorized by law to levy as taxes,
is authorized to levy taxes annually not exceeding in any one
year an amount equal to a gross tax capacity rate of .17 percent
for taxes payable in 1990 or a net tax capacity rate of .21 .34
percent for taxes payable in 1991 2002 and thereafter upon all
taxable property within the school district which taxes as
levied shall be spread upon the tax rolls, and all corrections
thereof shall be held by the school district, and allocated
therefor to be disbursed and expended by the school district in
payment of any public school severance pay obligations and for
no other purpose. Disbursements and expenditures previously
authorized on behalf of the school district for payment of
severance pay obligations shall not be deemed to constitute any
part of the cost of the operation and maintenance of the school
district within the meaning of any statutory limitation of any
school district expenditures.
The amount of such severance pay allowable or to become
payable in respect of any such employment or to any such
employee shall not exceed the amount permitted by Minnesota
Statutes, Section 465.72.
[EFFECTIVE DATE.] This section is effective retroactively
for taxes payable in 2002 and thereafter.
Sec. 33. [FUND TRANSFERS.]
Subdivision 1. [CHISHOLM.] Notwithstanding Minnesota
Statutes, section 123B.79 or 123B.80, on June 30, 2003,
independent school district No. 695, Chisholm, may permanently
transfer up to $500,000 from its reserved operating capital
account in its general fund to the undesignated general fund
balance.
Subd. 2. [SWANVILLE.] Notwithstanding Minnesota Statutes,
sections 123B.79, 123B.80, and 475.61, subdivision 4,
independent school district No. 486, Swanville, on June 30,
2003, may permanently transfer up to $61,000 from its debt
redemption fund to its capital account in its general fund
without making an aid or levy reduction.
Subd. 3. [WESTONKA.] Notwithstanding Minnesota Statutes,
sections 123B.79, 123B.80, and 475.61, subdivision 4,
independent school district No. 277, Westonka, on June 30, 2003,
may permanently transfer the lesser of $170,000 or the actual
fund balance 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. 34. [DIRECTION TO COMMISSIONER.]
Notwithstanding Minnesota Statutes, section 123B.75,
subdivision 5, the commissioner shall calculate the property tax
recognition shift percentage that raises $230,378,000 in fiscal
year 2004. The commissioner shall apply this percentage to the
property tax recognition shift in fiscal year 2004 and later.
Sec. 35. [APPROPRIATIONS.]
Subdivision 1. [DEPARTMENT OF EDUCATION.] The sums
indicated in this section are appropriated from the general fund
to the department of education for the fiscal years designated.
Subd. 2. [SCHOOL LUNCH.] (a) For school lunch aid
according to Minnesota Statutes, section 124D.111, and Code of
Federal Regulations, title 7, section 210.17:
$7,800,000 ..... 2004
$7,950,000 ..... 2005
Subd. 3. [TRADITIONAL SCHOOL BREAKFAST; KINDERGARTEN
MILK.] For traditional school breakfast aid and kindergarten
milk under Minnesota Statutes, sections 124D.1158 and 124D.118:
$3,088,000 ..... 2004
$3,217,000 ..... 2005
Subd. 4. [FAST BREAK TO LEARNING BREAKFAST.] For fast
break to learning breakfast under Minnesota Statutes, section
124D.1156:
$747,000 ..... 2004
The 2004 appropriation includes $747,000 for 2003 and $0
for 2004.
Subd. 5. [SUMMER SCHOOL SERVICE REPLACEMENT AID.] For
summer food service replacement aid under Minnesota Statutes,
section 124D.119:
$150,000 ..... 2004
$150,000 ..... 2005
Sec. 36. [REVISOR INSTRUCTION.]
In the next and subsequent editions of Minnesota Statutes,
the revisor shall codify section 32 as Minnesota Statutes,
section 126C.41, subdivision 5.
Sec. 37. [REPEALER.]
Minnesota Statutes 2002, sections 93.22, subdivision 2;
93.223, subdivision 1; 124D.115; 124D.1156; and 127A.41,
subdivision 6, are repealed.
ARTICLE 6
LIBRARIES
Section 1. Minnesota Statutes 2002, section 134.34,
subdivision 4, is amended to read:
Subd. 4. [LIMITATION.] A regional library basic system
support grant shall not be made to a regional public library
system for a participating city or county which decreases the
dollar amount provided for support for operating purposes of
public library service below 90 percent of the amount provided
by it for the second preceding year. This subdivision shall not
apply to participating cities or counties where the adjusted net
tax capacity of that city or county has decreased, if the dollar
amount of the reduction in support is not greater than the
dollar amount by which support would be decreased if the
reduction in support were made in direct proportion to the
decrease in adjusted net tax capacity.
[EFFECTIVE DATE.] This section is effective for grants
distributed in 2004 and 2005 only.
Sec. 2. [134.355] [BASIC REGIONAL LIBRARY SYSTEM;
SUPPORT.]
Subdivision 1. [APPROPRIATIONS.] Basic system support
grants and regional library telecommunications aid provide the
appropriations for the basic regional library system.
Sec. 3. Minnesota Statutes 2002, section 134.47,
subdivision 1, is amended to read:
Subdivision 1. [ELIGIBILITY.] (a) A regional public
library system may apply for regional library telecommunications
aid. The aid must be used for data and video access costs and
other related costs to improve or maintain electronic access and
connect the library system with the state information
infrastructure administered by the department of administration
under section 16B.465. Priority shall be given to public
libraries that have not received access., maintenance,
equipment, or installation of telecommunication lines. To be
eligible, a regional public library system must be officially
designated by the commissioner of children, families, and
learning education as a regional public library system as
defined in section 134.34, subdivision 3, and each of its
participating cities and counties must meet local support levels
defined in section 134.34, subdivision 1. A public library
building that receives aid under this section must be open a
minimum of 20 hours per week.
(b) Aid received under this section may not be used to
substitute for any existing local funds allocated to provide
electronic access, equipment for library staff or the public, or
local funds dedicated to other library operations.
(c) (b) An application for regional library
telecommunications aid must, at a minimum, contain information
to document the following:
(1) the connections are adequate and employ an open network
architecture that will ensure interconnectivity and
interoperability with school districts, post-secondary
education, or other governmental agencies;
(2) that the connection is established through the most
cost-effective means and that the regional library has explored
and coordinated connections through school districts,
post-secondary education, or other governmental agencies;
(3) that the regional library system has filed an e-rate
application; and
(4) other information, as determined by the commissioner of
children, families, and learning, to ensure that connections are
coordinated, efficient, and cost-effective, take advantage of
discounts, and meet applicable state standards.
The library system may include costs associated with
cooperative arrangements with post-secondary institutions,
school districts, and other governmental agencies.
Sec. 4. [APPROPRIATIONS.]
Subdivision 1. [DEPARTMENT OF EDUCATION.] The sums
indicated in this section are appropriated from the general fund
to the department of education for the fiscal years designated.
Subd. 2. [BASIC SYSTEM SUPPORT.] For basic system support
grants under Minnesota Statutes, section 134.355:
$8,072,000 ..... 2004
$8,570,000 ..... 2005
The 2004 appropriation includes $1,456,000 for 2003 and
$6,616,000 for 2004.
The 2005 appropriation includes $1,654,000 for 2004 and
$6,916,000 for 2005.
Subd. 3. [REGIONAL LIBRARY TELECOMMUNICATIONS AID.] For
regional library telecommunications aid under Minnesota
Statutes, section 134.355:
$1,200,000 ..... 2004
$1,200,000 ..... 2005
Subd. 4. [MULTICOUNTY, MULTITYPE LIBRARY SYSTEMS.] For
grants according to Minnesota Statutes, sections 134.353 and
134.354, to multicounty, multitype library systems:
$876,000 ..... 2004
$903,000 ..... 2005
The 2004 appropriation includes $153,000 for 2003 and
$723,000 for 2004.
The 2005 appropriation includes $180,000 for 2004 and
$723,000 for 2005.
Subd. 5. [ELECTRONIC LIBRARY FOR MINNESOTA.] For statewide
licenses to on-line databases selected in cooperation with the
higher education services office for school media centers,
public libraries, state government agency libraries, and public
or private college or university libraries:
$400,000 ..... 2004
$400,000 ..... 2005
Any balance in the first year does not cancel but is
available in the second year.
Sec. 5. [REVISOR INSTRUCTION.]
The revisor of statutes shall renumber each section of
Minnesota Statutes listed in column A with the number listed in
column B. The revisor shall also make necessary cross-reference
changes consistent with the renumbering.
Column A Column B
134.35, subd. 1 134.355, subd. 2
134.35, subd. 2 134.355, subd. 3
134.35, subd. 3 134.355, subd. 4
134.35, subd. 4 134.355, subd. 5
134.35, subd. 5 134.355, subd. 6
134.35, subd. 6 134.355, subd. 7
134.47, subd. 1
paragraph (a) 134.355, subd. 8
134.47, subd. 1
paragraph (b) 134.355, subd. 9
134.47, subd. 2 134.355, subd. 10
Sec. 6. [REPEALER.]
The changes made to Minnesota Statutes, section 134.34,
subdivision 4, in section 1 are repealed effective July 1, 2005.
ARTICLE 7
EARLY CHILDHOOD FAMILY SUPPORT
Section 1. Minnesota Statutes 2002, section 119A.52, is
amended to read:
119A.52 [DISTRIBUTION OF APPROPRIATION AND PROGRAM
COORDINATION.]
(a) The commissioner of children, families, and learning
education must distribute money appropriated for that purpose to
Head Start program grantees to expand services and to serve
additional low-income children. Money must be allocated to each
project Head Start grantee in existence on the effective date of
Laws 1989, chapter 282. Migrant and Indian reservation grantees
must be initially allocated money based on the grantees' share
of federal funds. The remaining money must be initially
allocated to the remaining local agencies based equally on the
agencies' share of federal funds and on the proportion of
eligible children in the agencies' service area who are not
currently being served. A Head Start grantee must be funded at
a per child rate equal to its contracted, federally funded base
level for program accounts 20, 22, and 25 at the start of the
fiscal year. In allocating funds under this paragraph, the
commissioner of children, families, and learning education must
assure that each Head Start grantee is allocated no less funding
in any fiscal year than was allocated to that grantee in fiscal
year 1993. The commissioner may provide additional funding to
grantees for start-up costs incurred by grantees due to the
increased number of children to be served. Before paying money
to the grantees, the commissioner must notify each grantee of
its initial allocation, how the money must be used, and the
number of low-income children that must be served with the
allocation. Each grantee must notify present a work plan to the
commissioner of for approval. The work plan must include the
estimated number of low-income children and families it will be
able to serve, a description of the program design and service
delivery area which meets the needs of and encourages access by
low-income working families, a program design that ensures fair
and equitable access to Head Start services for all populations
and parts of the service area, and a plan for coordinating
services to maximize assistance for child care costs available
to families under chapter 119B. For any grantee that cannot
utilize its full allocation, the commissioner must reduce the
allocation proportionately. Money available after the initial
allocations are reduced must be redistributed to eligible
grantees.
(b) Up to 11 percent of the funds appropriated annually may
be used to provide grants to local Head Start agencies to
provide funds for innovative programs designed either to target
Head Start resources to particular at-risk groups of children or
to provide services in addition to those currently allowable
under federal Head Start regulations. The commissioner must
award funds for innovative programs under this paragraph on a
competitive basis.
Sec. 2. Minnesota Statutes 2002, section 119A.53, is
amended to read:
119A.53 [FEDERAL REQUIREMENTS.]
Grantees and the commissioner of children, families, and
learning shall comply with federal regulations governing the
federal Head Start program, except for innovative programs
funded under section 119A.52, paragraph (b) funding for
innovative initiatives under section 119A.52, which may be used
to operate differently than federal Head Start regulations, and
except that when. If a state statute or regulation rule
conflicts with a federal statute or regulation, the state
statute or regulation rule prevails.
Sec. 3. Minnesota Statutes 2002, section 124D.13,
subdivision 2, is amended to read:
Subd. 2. [PROGRAM CHARACTERISTICS.] Early childhood family
education programs are programs for children in the period of
life from birth to kindergarten, for the parents of such
children, and for expectant parents. The To the extent that
funds are insufficient to provide programs for all children,
early childhood family education programs should emphasize
programming for a child from birth to age three and encourage
parents to involve four- and five-year-old children in school
readiness programs, and other public and nonpublic early
learning programs. Early childhood family education programs
may include the following:
(1) programs to educate parents about the physical, mental,
and emotional development of children;
(2) programs to enhance the skills of parents in providing
for their children's learning and development;
(3) learning experiences for children and parents that
promote children's development;
(4) activities designed to detect children's physical,
mental, emotional, or behavioral problems that may cause
learning problems;
(5) activities and materials designed to encourage
self-esteem, skills, and behavior that prevent sexual and other
interpersonal violence;
(6) educational materials which may be borrowed for home
use;
(7) information on related community resources;
(8) programs to prevent child abuse and neglect;
(9) other programs or activities to improve the health,
development, and school readiness of children; or
(10) activities designed to maximize development during
infancy.
The programs must not include activities for children that
do not require substantial involvement of the children's
parents. The programs must be reviewed periodically to assure
the instruction and materials are not racially, culturally, or
sexually biased. The programs must encourage parents to be
aware of practices that may affect equitable development of
children.
Sec. 4. Minnesota Statutes 2002, section 124D.13,
subdivision 4, is amended to read:
Subd. 4. [HOME VISITING PROGRAM.] (a) The commissioner A
district that levies for home visiting under section 124D.135,
subdivision 6, shall use this revenue to include as part of the
early childhood family education programs a parent education
component to prevent child abuse and neglect. This parent
education component must include:
(1) expanding statewide the home visiting component of the
early childhood family education programs;
(2) training parent educators, child educators, community
outreach workers, and home visitors in the dynamics of child
abuse and neglect and positive parenting and discipline
practices; and
(3) developing and disseminating education and public
information materials that promote positive parenting skills and
prevent child abuse and neglect.
(b) The parent education component must:
(1) offer to isolated or at-risk families home visiting
parent education services that at least address parenting
skills, a child's development and stages of growth,
communication skills, managing stress, problem-solving skills,
positive child discipline practices, methods of improving
parent-child interactions and enhancing self-esteem, using
community support services and other resources, and encouraging
parents to have fun with and enjoy their children;
(2) develop a that is designed to reach isolated or at-risk
families.
The home visiting program must use:
(1) an established risk assessment tool to determine the
family's level of risk;
(3) (2) establish clear objectives and protocols for home
visits;
(4) determine the frequency and duration of home visits
based on a risk-need assessment of the client, with home visits
beginning in the second trimester of pregnancy and continuing,
based on client need, until a child is six years old;
(5) (3) encourage families to make a transition from home
visits to site-based parenting programs to build a family
support network and reduce the effects of isolation;
(6) develop and distribute education materials on
preventing child abuse and neglect that may be used in home
visiting programs and parent education classes and distributed
to the public;
(7) initially provide at least 40 hours of training and
thereafter ongoing training for parent educators, child
educators, community outreach workers, and home visitors that
covers the dynamics of child abuse and neglect, domestic
violence and victimization within family systems, signs of abuse
or other indications that a child may be at risk of being abused
or neglected, what child abuse and neglect are, how to properly
report cases of child abuse and neglect, respect for cultural
preferences in child rearing, what community resources, social
service agencies, and family support activities and programs are
available, child development and growth, parenting skills,
positive child discipline practices, identifying stress factors
and techniques for reducing stress, home visiting techniques,
and risk assessment measures;
(8) (4) provide program services that are community-based,
accessible, and culturally relevant; and
(9) (5) foster collaboration among existing agencies and
community-based organizations that serve young children and
their families.
(c) Home visitors should reflect the demographic
composition of the community the home visitor is serving to the
extent possible.
Sec. 5. Minnesota Statutes 2002, section 124D.13,
subdivision 8, is amended to read:
Subd. 8. [COORDINATION.] (a) A district is encouraged to
coordinate the program with its special education and vocational
education programs and with related services provided by other
governmental agencies and nonprofit agencies. must describe
strategies to coordinate and maximize public and private
community resources and reduce duplication of services.
(b) A district is encouraged to coordinate adult basic
education programs provided to parents and early childhood
family education programs provided to children to accomplish the
goals of section 124D.895.
Sec. 6. Minnesota Statutes 2002, section 124D.135,
subdivision 1, is amended to read:
Subdivision 1. [REVENUE.] The revenue for early childhood
family education programs for a school district equals $113.50
for fiscal years 2000 and 2001 and $120 for 2002 and later
fiscal years for fiscal years 2003 and 2004 and $96 for fiscal
year 2005 and later, times the greater of:
(1) 150; or
(2) the number of people under five years of age residing
in the district on October 1 of the previous school year.
Sec. 7. Minnesota Statutes 2002, section 124D.135,
subdivision 8, is amended to read:
Subd. 8. [RESERVE ACCOUNT LIMIT.] (a) Under this section,
the average balance, during the most recent three-year period in
a district's early childhood family education reserve account on
June 30 of each year, adjusted for any prior reductions under
this subdivision, must not be greater than 25 percent of the sum
of the district's maximum early childhood family education
annual revenue under subdivision 1, excluding adjustments under
this subdivision, plus any fees, grants, or other revenue
received by the district for early childhood family education
programs for the prior year.
(b) If a district's adjusted average early childhood family
education reserve over the three-year period is in excess of 25
percent of the prior year annual revenue the limit under
paragraph (a), the district's early childhood family education
state aid and levy authority for the current school year must be
reduced by the lesser of the current year revenue under
subdivision 1 or the excess reserve amount. The aid reduction
equals the product of the lesser of the excess reserve amount or
the current year revenue under subdivision 1 times the ratio of
the district's aid for the prior current year under subdivision
4 to the district's revenue for the prior current year under
subdivision 1. The levy reduction equals the excess reserve
amount minus the aid reduction. The commissioner must
reallocate aid and levy reduced under this subdivision to other
eligible early childhood family education programs in proportion
to each district's revenue for the prior year under subdivision
1. For purposes of this paragraph, if a district does not levy
the entire amount permitted under subdivision 3, the revenue
under subdivision 1 must be reduced in proportion to the actual
amount levied.
(b) (c) Notwithstanding paragraph (a), for fiscal year
2003, the excess reserve amount shall be computed using the
balance in a district's early childhood family education reserve
account on June 30, 2002. For fiscal year 2004, the excess
reserve amount shall be computed using the adjusted average
balance in a district's early childhood family education reserve
account on June 30, 2002, and June 30, 2003.
[EFFECTIVE DATE.] This section is effective for revenue for
fiscal year 2003.
Sec. 8. Minnesota Statutes 2002, section 124D.15,
subdivision 7, is amended to read:
Subd. 7. [ADVISORY COUNCIL.] Each school readiness program
must have an advisory council composed of members of existing
early education-related boards, parents of participating
children, child care providers, culturally specific service
organizations, local resource and referral agencies, local early
intervention committees, and representatives of early childhood
service providers. The council must advise the board in
creating and administering the program and must monitor the
progress of the program. The council must ensure that children
at greatest risk receive appropriate services. If the board is
unable to appoint to the advisory council members of existing
early education-related boards, it must appoint parents of
children enrolled in the program who represent the racial,
cultural, and economic diversity of the district and
representatives of early childhood service providers as
representatives to an existing advisory council.
Sec. 9. Minnesota Statutes 2002, section 124D.16,
subdivision 1, is amended to read:
Subdivision 1. [PROGRAM REVIEW AND APPROVAL.] A school
district shall biennially by May 1 submit to the commissioners
of children, families, and learning education 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
strategies to coordinate and maximize public and private
community 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 and
reduce duplication of services;
(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 education, within 30 90 days of receiving
the plan.
Sec. 10. Minnesota Statutes 2002, section 124D.16,
subdivision 6, is amended to read:
Subd. 6. [RESERVE ACCOUNT LIMIT.] (a) Under this section,
the average balance, during the most recent three-year period,
in a district's school readiness reserve account on June 30 of
each year, adjusted for any prior reductions under this
subdivision, must not be greater than 25 percent of the
district's school readiness annual revenue for the prior year,
excluding adjustments under this subdivision.
(b) If a district's adjusted average school readiness
reserve over the three-year period is in excess of 25 percent of
the prior year annual revenue the limit under paragraph (a), the
district's current year school readiness state aid must be
reduced by the lesser of the excess reserve amount or the
current year aid. The commissioner must reallocate aid reduced
under this subdivision to other eligible school readiness
programs in proportion to each district's aid for the prior year
under subdivision 2.
(b) (c) Notwithstanding paragraph (a), for fiscal year
2003, the excess reserve amount shall be computed using the
balance in a district's school readiness reserve account on June
30, 2002. For fiscal year 2004, the excess reserve amount shall
be computed using the adjusted average balance in a district's
school readiness reserve account on June 30, 2002, and June 30,
2003.
[EFFECTIVE DATE.] This section is effective for revenue for
fiscal year 2003.
Sec. 11. [APPROPRIATIONS.]
Subdivision 1. [DEPARTMENT OF EDUCATION.] The sums
indicated in this section are appropriated from the general fund
to the department of education for the fiscal years designated.
Subd. 2. [SCHOOL READINESS.] For revenue for school
readiness programs under Minnesota Statutes, sections 124D.15
and 124D.16:
$ 9,536,000 ..... 2004
$ 9,258,000 ..... 2005
The 2004 appropriation includes $1,605,000 for 2003 and
$7,931,000 for 2004.
The 2005 appropriation includes $1,982,000 for 2004 and
$7,276,000 for 2005.
Subd. 3. [EARLY CHILDHOOD FAMILY EDUCATION AID.] For early
childhood family education aid under Minnesota Statutes, section
124D.135:
$19,675,000 ..... 2004
$15,129,000 ..... 2005
The 2004 appropriation includes $3,239,000 for 2003 and
$16,436,000 for 2004.
The 2005 appropriation includes $4,109,000 for 2004 and
$11,020,000 for 2005.
Subd. 4. [HEALTH AND DEVELOPMENTAL SCREENING AID.] For
health and developmental screening aid under Minnesota Statutes,
sections 121A.17 and 121A.19:
$2,581,000 ..... 2004
$2,661,000 ..... 2005
The 2004 appropriation includes $452,000 for 2003 and
$2,129,000 for 2004.
The 2005 appropriation includes $532,000 for 2004 and
$2,129,000 for 2005.
Subd. 5. [HEAD START PROGRAM.] For Head Start programs
under Minnesota Statutes, section 119A.52:
$16,475,000 ..... 2004
$17,100,000 ..... 2005
Sec. 12. [REPEALER.]
Minnesota Statutes 2002, section 124D.17, is repealed.
ARTICLE 8
PREVENTION
Section 1. Minnesota Statutes 2002, section 124D.19,
subdivision 3, is amended to read:
Subd. 3. [COMMUNITY EDUCATION DIRECTOR.] (a) Except as
provided under paragraphs (b) and (c), each board shall employ a
licensed community education director. The board shall submit
the name of the person who is serving as director of community
education under this section on the district's annual community
education report to the commissioner.
(b) A board may apply to the commissioner Minnesota board
of school administrators under Minnesota Rules, part 3512.3500,
subpart 9, for authority to use an individual who is not
licensed as a community education director.
(c) A board of a district with a total population of 2,000
or less may identify an employee who holds a valid Minnesota
principal or superintendent license under Minnesota Rules,
chapter 3512, to serve as director of community education. To
be eligible for an exception under this paragraph, the board
shall certify in writing to the commissioner that the district
has not placed a licensed director of community education on
unrequested leave.
Sec. 2. Minnesota Statutes 2002, section 124D.20,
subdivision 3, is amended to read:
Subd. 3. [GENERAL COMMUNITY EDUCATION REVENUE.] The
general community education revenue for a district equals
$5.95 for fiscal year 2003 and 2004 and $5.23 for fiscal year
2005 and later, times the greater of 1,335 or the population of
the district. The population of the district is determined
according to section 275.14.
[EFFECTIVE DATE.] This section is effective for revenue for
fiscal year 2005.
Sec. 3. Minnesota Statutes 2002, section 124D.20,
subdivision 5, is amended to read:
Subd. 5. [TOTAL COMMUNITY EDUCATION LEVY.] To obtain total
community education revenue, a district operating a youth
after-school enrichment program under section 124D.19,
subdivision 12, may levy the amount raised by a maximum tax rate
of .7431 .985 percent times the adjusted net tax capacity of the
district. To obtain total community education revenue, a
district not operating a youth after-school enrichment program
may levy the amount raised by a maximum tax rate of .4795
percent times the adjusted net tax capacity of the district. If
the amount of the total community education levy would exceed
the total community education revenue, the total community
education levy shall be determined according to subdivision 6.
[EFFECTIVE DATE.] This section is effective for revenue for
fiscal year 2005.
Sec. 4. Minnesota Statutes 2002, section 124D.20, is
amended by adding a subdivision to read:
Subd. 11. [RESERVE ACCOUNT LIMIT.] (a) Under this section,
the sum of the average balances during the most recent
three-year period in a district's community education reserve
account and unreserved/undesignated community service fund
account on June 30 of each year, adjusted for any prior
reductions under this subdivision, must not be greater than 25
percent of the sum of the district's maximum total community
education revenue under subdivision 1, excluding adjustments
under this subdivision, plus the district's additional community
education levy under section 124D.21, plus any fees, grants, or
other revenue received by the district for community education
programs for the prior year. For purposes of this paragraph,
"community education programs" means programs according to
subdivisions 8, paragraph (a), and 9, and section 124D.19,
subdivision 12, excluding early childhood family education
programs under section 124D.13, school readiness programs under
sections 124D.15 and 124D.17, and adult basic education programs
under section 124D.52.
(b) If the sum of the average balances during the most
recent three-year period in a district's community education
reserve account and unreserved/undesignated community service
fund account on June 30 of each year, adjusted for any prior
reductions under this subdivision, is in excess of the limit
under paragraph (a), the district's community education state
aid and levy authority for the current school year must be
reduced by the lesser of the current year revenue under
subdivision 1 or the excess reserve amount. The aid reduction
equals the product of the lesser of the excess reserve amount or
the current year revenue under subdivision 1 times the ratio of
the district's aid for the current year under subdivision 7 to
the district's revenue for the current year under subdivision
1. The levy reduction equals the excess reserve amount minus
the aid reduction. For purposes of this paragraph, if a
district does not levy the entire amount permitted under
subdivision 5 or 6, the revenue under subdivision 1 must be
reduced in proportion to the actual amount levied.
(c) Notwithstanding paragraph (a), for fiscal year 2003,
the excess reserve amount shall be computed using the balances
in a district's community education reserve account and
unreserved/undesignated community service fund account on June
30, 2002. For fiscal year 2004, the excess reserve amount shall
be computed using the adjusted average balances in a district's
community education reserve account and unreserved/undesignated
community service fund account on June 30, 2002, and June 30,
2003.
[EFFECTIVE DATE.] This section is effective for revenue for
fiscal year 2003.
Sec. 5. Minnesota Statutes 2002, section 124D.20, is
amended by adding a subdivision to read:
Subd. 12. [WAIVER.] (a) If a district anticipates that the
reserve account may exceed the 25 percent limit established
under subdivision 11 because of extenuating circumstances, prior
approval to exceed the limit must be obtained in writing from
the commissioner.
(b) Notwithstanding paragraph (a), for fiscal year 2003, a
district may submit a waiver request within 30 days of the date
of final enactment.
[EFFECTIVE DATE.] This section is effective the day
following final enactment for revenue for fiscal year 2003.
Sec. 6. Minnesota Statutes 2002, section 124D.22,
subdivision 3, is amended to read:
Subd. 3. [SCHOOL-AGE CARE LEVY.] To obtain school-age care
revenue, a school district may levy an amount equal to the
district's school-age care revenue as defined in subdivision 2
multiplied by the lesser of one, or the ratio of the quotient
derived by dividing the adjusted net tax capacity of the
district for the year before the year the levy is certified by
the resident pupil units in the district for the school year to
which the levy is attributable, to $3,280 $2,433.
Sec. 7. [APPROPRIATIONS.]
Subdivision 1. [DEPARTMENT OF EDUCATION.] The sums
indicated in this section are appropriated from the general fund
to the department of education for the fiscal years designated.
Subd. 2. [COMMUNITY EDUCATION AID.] For community
education aid under Minnesota Statutes, section 124D.20:
$5,495,000 ..... 2004
$3,406,000 ..... 2005
The 2004 appropriation includes $956,000 for 2003 and
$4,539,000 for 2004.
The 2005 appropriation includes $1,134,000 for 2004 and
$2,272,000 for 2005.
Subd. 3. [ADULTS WITH DISABILITIES PROGRAM AID.] For
adults with disabilities programs under Minnesota Statutes,
section 124D.56:
$688,000 ..... 2004
$710,000 ..... 2005
The 2004 appropriation includes $120,000 for 2003 and
$568,000 for 2004.
The 2005 appropriation includes $142,000 for 2004 and
$568,000 for 2005.
Subd. 4. [HEARING-IMPAIRED ADULTS.] For programs for
hearing-impaired adults under Minnesota Statutes, section
124D.57:
$70,000 ..... 2004
$70,000 ..... 2005
Subd. 5. [SCHOOL-AGE CARE REVENUE.] For extended day care
aid under Minnesota Statutes, section 124D.22:
$41,000 ..... 2004
$22,000 ..... 2005
The 2004 appropriation includes $14,000 for 2003 and
$27,000 for 2004.
The 2005 appropriation includes $6,000 for 2004 and $16,000
for 2005.
Sec. 8. [REPEALER.]
Minnesota Statutes 2002, sections 124D.21; 124D.221;
124D.93; and 144.401, subdivision 5, are repealed.
ARTICLE 9
SELF-SUFFICIENCY AND LIFE LONG LEARNING
Section 1. Minnesota Statutes 2002, section 124D.52,
subdivision 1, is amended to read:
Subdivision 1. [PROGRAM REQUIREMENTS.] (a) 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
(b) Notwithstanding any law to the contrary, a school board
or the governing body of a consortium offering an adult basic
education program may adopt a sliding fee schedule based on a
family's income, but must waive the fee for participants who are
under the age of 21 or unable to pay. The fees charged must be
designed to enable individuals of all socioeconomic levels to
participate in the program. A program may charge a security
deposit to assure return of materials, supplies, and equipment.
(c) 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.
(d) Adult basic education aid must be spent for adult basic
education purposes as specified in sections 124D.518 to 124D.531.
Sec. 2. Minnesota Statutes 2002, section 124D.52,
subdivision 3, is amended to read:
Subd. 3. [ACCOUNTS; REVENUE; AID.] (a) 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 a
reserve account within the community service fund 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. State aid must not equal more than 100 percent of the
unreimbursed expenses of providing these programs, excluding
in-kind costs.
(b) Notwithstanding section 123A.26 or any other law to the
contrary, an adult basic education consortium providing an
approved adult basic education program may be its own fiscal
agent and is eligible to receive state-aid payments directly
from the commissioner.
Sec. 3. Minnesota Statutes 2002, section 124D.531,
subdivision 1, is amended to read:
Subdivision 1. [STATE TOTAL ADULT BASIC EDUCATION AID.]
(a) The state total adult basic education aid for fiscal year
2001 2004 equals $30,157,000 $34,388,000. The state total adult
basic education aid for fiscal year 2005 and later is
$36,509,000. 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. Beginning in
fiscal year 2002, two percent of the state total adult basic
education aid must be set aside for adult basic education
supplemental service grants under section 124D.522.
(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.
Sec. 4. Minnesota Statutes 2002, section 124D.531,
subdivision 2, is amended to read:
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 $3,844 or $1.80 $1.73 times the population of
the district. District population is determined according to
section 275.14.
Sec. 5. Minnesota Statutes 2002, section 124D.531,
subdivision 4, is amended to read:
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 $21 per prior year contact hour
computed under subdivision 3, clause (2).
(b) For fiscal year 2004, 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 fiscal year 2003 by more than the
greater of eight percent or $10,000.
(c) For fiscal year 2005, the aid for a program under
subdivision 3, clause (2), adjusted for changes in program
membership, must not exceed the sum of the aid for that program
under subdivision 3, clause (2), and section 8, paragraph (a),
for the preceding fiscal year by more than the greater of eight
percent or $10,000.
(d) For fiscal year 2002 2006 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 eight percent or
$20,000 $10,000.
(c) (d) Adult basic education aid is payable to a program
for unreimbursed costs.
Sec. 6. Minnesota Statutes 2002, section 124D.531,
subdivision 7, is amended to read:
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
2003, the commissioner must audit one-half of approved adult
basic education programs that received aid for fiscal year 2002,
and in calendar year 2004, the commissioner must audit the
remaining unaudited programs for aid received in fiscal year
2003. Beginning with fiscal year 2005, 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.
Sec. 7. [ADULT BASIC EDUCATION PROGRAM APPROVAL AND AID,
FISCAL YEAR 2004.]
(a) Notwithstanding Minnesota Statutes 2002, section
124D.54, subdivision 2, a district or consortium of districts
that provided a program funded under Minnesota Statutes 2002,
section 124D.54, in fiscal year 2003 may request an extension of
the application deadline for approval of an adult basic
education program for fiscal year 2004.
(b) For purposes of computing the fiscal year 2005 adult
basic education aid for a program under Minnesota Statutes,
section 124D.531, subdivision 3, clause (2), the contact hours
for students participating in the program during the first prior
program year must be increased by 17 percent of the adult
graduation aid average daily attendance for fiscal year 2002.
Sec. 8. [ADULT BASIC EDUCATION TRANSITION AID.]
(a) For fiscal year 2004, adult basic education transition
aid for each qualifying district equals the district's adult
high school graduation aid for fiscal year 2002. This aid
amount must be used to provide an adult basic education program
under Minnesota Statutes, section 124D.52. To qualify for aid
under this section a district must establish or join an approved
adult basic education program according to Minnesota Statutes,
section 124D.52, subdivision 2.
(b) For fiscal year 2005, the adult high school graduation
aid program is eliminated.
Sec. 9. [APPROPRIATIONS.]
Subdivision 1. [DEPARTMENT OF EDUCATION.] The sums
indicated in this section are appropriated from the general fund
to the department of education for the fiscal years designated.
Subd. 2. [ADULT BASIC EDUCATION AID.] For adult basic
education aid under Minnesota Statutes, section 124D.52, in
fiscal year 2004 and Minnesota Statutes, section 124D.531, in
fiscal year 2005:
$33,153,000 ..... 2004
$35,823,000 ..... 2005
The 2004 appropriation includes $5,905,000 for 2003 and
$27,248,000 for 2004.
The 2005 appropriation includes $6,811,000 for 2004 and
$29,012,000 for 2005.
Subd. 3. [ADULT GRADUATION AID.] For adult graduation aid
under Minnesota Statutes, section 124D.54:
$2,094,000 ..... 2004
$ 424,000 ..... 2005
The 2004 appropriation includes $396,000 for 2003 and
$1,698,000 for 2004.
The 2005 appropriation includes $424,000 for 2004 and $0
for 2005.
Subd. 4. [GED TESTS.] For payment of 60 percent of the
costs of GED tests under Laws 1993, chapter 224, article 4,
section 44, subdivision 10:
$125,000 ..... 2004
$125,000 ..... 2005
Subd. 5. [LEAD ABATEMENT.] For lead abatement according to
Minnesota Statutes, section 119A.46:
$ 100,000 ..... 2004
$ 100,000 ..... 2005
Any balance in the first year does not cancel but is
available in the second year.
Sec. 10. [REPEALER.]
Minnesota Statutes 2002, sections 124D.09, subdivision 15;
124D.54; and 126C.05, subdivision 12, are repealed.
ARTICLE 10
STATE AGENCIES
Section 1. Minnesota Statutes 2002, section 122A.09,
subdivision 10, is amended to read:
Subd. 10. [VARIANCES.] (a) Notwithstanding subdivision 9
and section 14.05, subdivision 4, the board of teaching may
grant a variance to its rules upon application by a school
district for purposes of implementing experimental programs in
learning or management.
(b) To enable a school district to meet the needs of
students enrolled in an alternative education program and to
enable licensed teachers instructing those students to satisfy
content area licensure requirements, the board of teaching
annually may permit a licensed teacher teaching in an
alternative education program to instruct students in a content
area for which the teacher is not licensed, consistent with
paragraph (a).
[EFFECTIVE DATE.] This section is effective the day
following final enactment.
Sec. 2. Minnesota Statutes 2002, section 122A.12,
subdivision 1, is amended to read:
Subdivision 1. [MEMBERSHIP.] A board of school
administrators is established and must consist of nine ten
members appointed by the governor with the advice and consent of
the senate, including at least:
(1) one elementary school principal;
(2) one secondary school principal;
(3) one higher education faculty member in an educational
administration program approved by the board;
(4) one higher education administrator for an educational
administration program approved by the board;
(5) one school superintendent;
(6) one classroom teacher;
(7) one community education director or a;
(8) one special education director; and
(8) (9) two members of the public, one of whom must be a
present or former school board member.
In making appointments, the governor shall solicit
recommendations from groups representing persons in clauses (1)
to (8) (9).
[EFFECTIVE DATE.] This section is effective the day
following final enactment.
Sec. 3. Minnesota Statutes 2002, section 122A.12,
subdivision 2, is amended to read:
Subd. 2. [TERMS; COMPENSATION; REMOVAL; ADMINISTRATION.]
Membership terms, removal of members, and the filling of
membership vacancies are as provided in section 214.09. The
terms of the initial board members must be determined by lot as
follows:
(1) three members must be appointed for terms that expire
August 1, 2002;
(2) three members must be appointed for terms that expire
August 1, 2003; and
(3) three four members must be appointed for terms that
expire August 1, 2004.
Members shall not receive the daily payment under section
214.09, subdivision 3. The public employer of a member shall
not reduce the member's compensation or benefits for the
member's absence from employment when engaging in the business
of the board. The provision of staff, administrative services,
and office space; the review and processing of complaints; the
setting of fees; the selection and duties of an executive
secretary to serve the board; and other provisions relating to
board operations are as provided in chapter 214. Fiscal year
and reporting requirements are as provided in sections 214.07
and 214.08.
[EFFECTIVE DATE.] This section is effective the day
following final enactment.
Sec. 4. Minnesota Statutes 2002, section 122A.18,
subdivision 7a, is amended to read:
Subd. 7a. [PERMISSION TO SUBSTITUTE TEACH.] (a) The board
of teaching may allow a person who is enrolled in and making
satisfactory progress in a board-approved teacher program and
who has successfully completed student teaching to be employed
as a short-call substitute teacher.
(b) The board of teaching may issue a lifetime qualified
short-call substitute teaching license to a person who:
(1) was a qualified teacher under section 122A.16 while
holding a continuing five-year teaching license issued by the
board, and receives a retirement annuity from the teachers
retirement association, Minneapolis teachers retirement fund
association, St. Paul teachers retirement fund association, or
Duluth teachers retirement fund association;
(2) holds an out-of-state teaching license and receives a
retirement annuity as a result of the person's teaching
experience; or
(3) held a continuing five-year license issued by the
board, taught at least three school years in an accredited
nonpublic school in Minnesota, and receives a retirement annuity
as a result of the person's teaching experience.
A person holding a lifetime qualified short-call substitute
teaching license is not required to complete continuing
education clock hours. A person holding this license may
reapply to the board for a continuing five-year license and must
again complete continuing education clock hours one school year
after receiving the continuing five-year license.
[EFFECTIVE DATE.] This section is effective for the
2003-2004 school year.
Sec. 5. Minnesota Statutes 2002, section 122A.21, is
amended to read:
122A.21 [TEACHERS' AND ADMINISTRATORS' LICENSES; FEES.]
Each application for the issuance, renewal, or extension of
a license to teach must be accompanied by a processing fee in an
amount set by the board of teaching by rule of $57. Each
application for issuing, renewing, or extending the license of a
school administrator or supervisor must be accompanied by a
processing fee in the amount set by the board of teaching. The
processing fee for a teacher's license and for the licenses of
supervisory personnel must be paid to the executive secretary of
the appropriate board. The executive secretary of the board
shall deposit the fees with the state treasurer, as provided by
law, and report each month to the commissioner of finance the
amount of fees collected. The fees as set by the board are
nonrefundable for applicants not qualifying for a license.
However, a fee must be refunded by the state treasurer in any
case in which the applicant already holds a valid unexpired
license. The board may waive or reduce fees for applicants who
apply at the same time for more than one license.
Sec. 6. Minnesota Statutes 2002, section 122A.22, is
amended to read:
122A.22 [DISTRICT RECORDING VERIFICATION OF TEACHER
LICENSES.]
No person shall be accounted a qualified teacher until the
person has filed for record with the district superintendent
where the person intends to teach a license, or certified copy
of a license, authorizing the person to teach school in the
district school system school district or charter school
contracting with the person for teaching services verifies
through the Minnesota education licensing system available on
the department Web site that the person is a qualified teacher,
consistent with sections 122A.16 and 122A.44, subdivision 1.
[EFFECTIVE DATE.] This section is effective for the
2003-2004 school year and later.
Sec. 7. Minnesota Statutes 2002, section 169.26,
subdivision 3, is amended to read:
Subd. 3. [DRIVER TRAINING.] All driver education courses
approved by the commissioner of children, families, and learning
and the commissioner of public safety must include instruction
on railroad-highway grade crossing safety. The commissioner of
children, families, and learning and the commissioner of public
safety shall by rule establish minimum standards of course
content relating to operation of vehicles at railroad-highway
grade crossings.
Sec. 8. Minnesota Statutes 2002, section 169.973,
subdivision 1, is amended to read:
Subdivision 1. [COMMISSIONER'S AUTHORITY; RULES;
CURRICULUM.] The commissioner of public safety shall supervise
the administration and conduct of driver improvement clinics and
youth-oriented driver improvement clinics. The commissioner of
public safety shall promulgate rules setting forth standards for
the curriculum and mode of instruction of driver improvement
clinics and youth-oriented driver improvement clinics and such
other matters as the commissioner of public safety considers
necessary for the proper administration of such clinics. In the
preparation of such standards the commissioner of public safety
shall consult with the commissioner of children, families, and
learning and state associations of judges. A driver improvement
clinic established under sections 169.971 to 169.973 and 171.20,
subdivision 3, shall conform to the standards promulgated by the
commissioner of public safety. The course of study at a driver
improvement clinic and youth-oriented driver improvement clinic
may not exceed a cumulative total of nine hours with no single
class session lasting more than three hours. The course of
study at a driver improvement clinic and youth-oriented driver
improvement clinic shall include instruction in railroad
crossing safety.
Sec. 9. Minnesota Statutes 2002, section 178.02,
subdivision 1, is amended to read:
Subdivision 1. [MEMBERS.] The commissioner of labor and
industry, hereinafter called the commissioner, shall appoint an
apprenticeship advisory council, hereinafter referred to as the
council, composed of three representatives each from employer
and employee organizations, and two representatives of the
general public. The assistant commissioner director of
children, families, and learning education responsible for
vocational career and technical education or designee shall be
an ex officio member of the council and shall serve in an
advisory capacity only.
Sec. 10. [APPROPRIATIONS; DEPARTMENT OF EDUCATION.]
Subdivision 1. [DEPARTMENT OF EDUCATION.] Unless otherwise
indicated, the sums indicated in this section are appropriated
from the general fund to the department of education for the
fiscal years designated.
Subd. 2. [DEPARTMENT.] (a) For the department of education:
$23,653,000 ..... 2004
$23,653,000 ..... 2005
Any balance in the first year does not cancel but is
available in the second year.
(b) $260,000 each year is for the Minnesota children's
museum.
(c) $41,000 each year is for the Minnesota academy of
science.
(d) $237,000 of the balance in the state education
courseware development account in the state government special
revenue fund as of July 1, 2004, is canceled to the general fund.
(e) $160,000 of the balance in the state item bank
revolving account in the state government special revenue fund
as of July 1, 2004, is canceled to the general fund.
(f) $621,000 each year is for the board of teaching.
(g) $165,000 each year is for the board of school
administrators.
(h) The commissioner is encouraged to give priority
consideration to the Minnesota humanities commission when
issuing grants for professional development of teachers or
content development from best practices, Federal Title II, Part
A, Federal Title V, Part A, or other appropriate grant resources
that have a stated objective of improvement of teacher
performance.
(i) An additional $96,000 in fiscal year 2004 and $96,000
in fiscal year 2005 are appropriated from the special revenue
fund under Minnesota Statutes, section 517.08, subdivision 1c,
for family visitation centers. Any balance in the first year
does not cancel but is available for the second year.
Subd. 3. [FEDERAL GRANTS AND AIDS.] The expenditures of
federal grants and aids as shown in the biennial budget document
and its supplements are approved and appropriated and shall be
spent as indicated.
Sec. 11. [APPROPRIATIONS; MINNESOTA STATE ACADEMIES.]
The sums indicated in this section are appropriated from
the general fund to the Minnesota state academies for the deaf
and the blind for the fiscal years designated:
$10,466,000 ..... 2004
$10,466,000 ..... 2005
Any balance in the first year does not cancel but is
available in the second year.
Sec. 12. [APPROPRIATIONS; PERPICH CENTER FOR ARTS
EDUCATION.]
The sums indicated in this section are appropriated from
the general fund to the Perpich center for arts education for
the fiscal years designated:
$6,864,000 ..... 2004
$6,423,000 ..... 2005
Any balance in the first year does not cancel but is
available in the second year.
Sec. 13. [REVISOR'S INSTRUCTION.]
In the next and subsequent editions of Minnesota Statutes,
the revisor shall change all references to the "commissioner of
children, families, and learning" to the "commissioner of public
safety" in Minnesota Statutes, sections 123B.88, subdivision 9;
168.102; 169.441, subdivision 5; and 171.321, subdivision 4c;
and "Part H" to "Part C" in Minnesota Statutes, sections
125A.27, subdivisions 7 and 8; 125A.32; 125A.35; 125A.37;
125A.39; 125A.44; and 125A.45.
Sec. 14. [REPEALER.]
(a) Minnesota Statutes 2002, sections 15.014, subdivision
3; 123B.90, subdivision 1; 169.441, subdivision 4; and 239.004,
are repealed.
(b) Minnesota Rules, parts 3500.0600; 3520.0400; 3520.1400;
3520.3300; 3530.1500; 3530.2700; 3530.4400; 3530.4500;
3530.4700; and 3550.0100, are repealed.
ARTICLE 11
DEFICIENCIES
Section 1. [DEPARTMENT OF EDUCATION.]
The dollar amounts shown are added to or, if shown in
parentheses, are subtracted from the appropriations in Laws
2001, First Special Session chapter 6, as amended by Laws 2002,
chapter 220, and Laws 2002, chapter 374, or other law, and are
appropriated from the general fund to the department of
education for the purposes specified in this article, to be
available for the fiscal year indicated for each purpose. The
figure "2003" used in this article means that the appropriation
or appropriations listed are available for the fiscal year
ending June 30, 2003.
2003
APPROPRIATION ADJUSTMENTS $ 10,869,000
APPROPRIATION CHANGE
Sec. 2. APPROPRIATIONS; DEPARTMENT OF
EDUCATION
Subdivision 1. Community Education Aid 219,000
Subd. 2. General and Supplemental
Education Aid 8,791,000
This change includes ($7,420,000) for
2002 and $16,211,000 for 2003.
Subd. 3. Nonpublic Pupil Aid 437,000
Subd. 4. Consolidation Transition Aid 5,000
Subd. 5. Interdistrict Desegregation
or Integration Transportation Grants 169,000
Subd. 6. Travel for Home-Based
Services 48,000
Subd. 7. Debt Service Aid 19,000
Subd. 8. School Breakfast 100,000
Subd. 9. Fast Break to Learning 1,081,000
Sec. 3. [EFFECTIVE DATE.]
Sections 1 and 2 are effective the day following final
enactment.
ARTICLE 12
TECHNICAL AMENDMENTS
Section 1. Minnesota Statutes 2002, 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 MFIP or 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. 2. Minnesota Statutes 2002, section 121A.21, is
amended to read:
121A.21 [SCHOOL HEALTH SERVICES.]
(a) Every school board must provide services to promote the
health of its pupils.
(b) The board of a district with 1,000 pupils or more in
average daily membership in early childhood family education,
preschool handicapped, elementary, and secondary programs must
comply with the requirements of this paragraph. It may use one
or a combination of the following methods:
(1) employ personnel, including at least one full-time
equivalent licensed school nurse or continue to employ a
registered nurse not yet certified as a public health nurse as
defined in section 145A.02, subdivision 18, who is enrolled in a
program that would lead to certification within four years of
August 1, 1988;
(2) contract with a public or private health organization
or another public agency for personnel during the regular school
year, determined appropriate by the board, who are currently
licensed under chapter 148 and who are certified public health
nurses; or
(3) enter into another arrangement approved by the
commissioner.
Sec. 3. Minnesota Statutes 2002, section 122A.41,
subdivision 2, is amended to read:
Subd. 2. [PROBATIONARY PERIOD; DISCHARGE OR DEMOTION.] All
teachers in the public schools in cities of the first class
during the first three years of consecutive employment shall be
deemed to be in a probationary period of employment during which
period any annual contract with any teacher may, or may not, be
renewed as the school board, after consulting with the peer
review committee charged with evaluating the probationary
teachers under subdivision 2a or 3, shall see fit. The school
site management team or the school board if there is no school
site management team, shall adopt a plan for a written
evaluation of teachers during the probationary period according
to subdivision 2a 3. Evaluation by the peer review committee
charged with evaluating probationary teachers under subdivision
2a 3 shall occur at least three times each year for a teacher
performing services on 120 or more school days, at least two
times each year for a teacher performing services on 60 to 119
school days, and at least one time each year for a teacher
performing services on fewer than 60 school days. Days devoted
to parent-teacher conferences, teachers' workshops, and other
staff development opportunities and days on which a teacher is
absent from school shall not be included in determining the
number of school days on which a teacher performs services. The
school board may, during such probationary period, discharge or
demote a teacher for any of the causes as specified in this
code. A written statement of the cause of such discharge or
demotion shall be given to the teacher by the school board at
least 30 days before such removal or demotion shall become
effective, and the teacher so notified shall have no right of
appeal therefrom.
Sec. 4. Minnesota Statutes 2002, section 122A.58, is
amended to read:
122A.58 [COACHES, TERMINATION OF DUTIES.]
Subdivision 1. [TERMINATION; HEARING.] Before a district
terminates the coaching duties of an employee who is required to
hold a license as an athletic coach from the commissioner
of children, families, and learning education, the district must
notify the employee in writing and state its reason for the
proposed termination. Within 14 days of receiving this
notification, the employee may request in writing a hearing on
the termination before the commissioner board. If a hearing is
requested, the commissioner board must hold a hearing within 25
days according to the hearing procedures specified in section
122A.40, subdivision 14, and the termination is final upon the
order of the commissioner board after the hearing.
Subd. 2. [FINAL DECISION.] Within ten days after the
hearing, the commissioner board must issue a written decision
regarding the termination. If the commissioner board decides to
terminate the employee's coaching duties, the decision must
state the reason on which it is based and include findings of
fact based upon competent evidence in the record. The
commissioner board may terminate the employee's duties or not,
as it sees fit, for any reason which is found to be true based
on substantial and competent evidence in the record.
Subd. 3. [NONAPPLICATION OF SECTION.] This section shall
not apply to the termination of coaching duties pursuant to a
district transfer policy or as a result of the nonrenewal or
termination of the employee's contract or the employee's
discharge, demotion or suspension pursuant to section 122A.40 or
122A.41. This section shall not apply to the termination of an
employee's coaching duties prior to completion of before
completing the probationary period of employment.
Sec. 5. Minnesota Statutes 2002, section 123B.02,
subdivision 1, is amended to read:
Subdivision 1. [BOARD AUTHORITY.] The board must have the
general charge of the business of the district, the school
houses, and of the interests of the schools thereof. The
board's authority to govern, manage, and control the district;
to carry out its duties and responsibilities; and to conduct the
business of the district includes implied powers in addition to
any specific powers granted by the legislature.
Sec. 6. Minnesota Statutes 2002, 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 9, clause (3) (11). 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.
Sec. 7. Minnesota Statutes 2002, section 123B.93, is
amended to read:
123B.93 [ADVERTISING ON SCHOOL BUSES.]
(a) The commissioner, through a competitive process, and
with the approval of the school bus safety advisory committee
may contract with advertisers regarding advertising on school
buses. At a minimum, the contract must prohibit advertising and
advertising images that:
(1) solicit the sale of, or promote the use of, alcoholic
beverages and tobacco products;
(2) are discriminatory in nature or content;
(3) imply or declare an endorsement of the product or
service by the school district;
(4) contain obscene material;
(5) are false, misleading, or deceptive; or
(6) relate to an illegal activity or antisocial behavior.
(b) Advertisement must meet the following conditions:
(1) the advertising attached to the school bus does not
interfere with bus identification under section 169.441; and
(2) the bus with attached advertising meets the school bus
equipment standards under sections 169.4501 to 169.4504.
(c) All buses operated by school districts may be attached
with advertisements under the state contract. All school
district contracts shall include a provision for advertisement.
Each school district shall be reimbursed by the advertiser for
all costs incurred by the district and its contractors for
supporting the advertising program, including, but not limited
to, retrofitting buses, storing advertising, attaching
advertising to the bus, and related maintenance.
(d) The commissioner shall hold harmless and indemnify each
district for all liabilities arising from the advertising
program. Each district must tender defense of all such claims
to the commissioner within five days of receipt.
(e) All revenue from the contract shall be deposited in the
general fund.
Sec. 8. Minnesota Statutes 2002, section 124D.03,
subdivision 12, is amended to read:
Subd. 12. [TERMINATION OF ENROLLMENT.] A district may
terminate the enrollment of a nonresident student enrolled under
this section or section 124D.07 or 124D.08 at the end of a
school year if the student meets the definition of a habitual
truant under section 260C.007, subdivision 19, the student has
been provided appropriate services under chapter 260A, and the
student's case has been referred to juvenile court. A district
may also terminate the enrollment of a nonresident student over
the age of 16 enrolled under this section if the student is
absent without lawful excuse for one or more periods on 15
school days and has not lawfully withdrawn from school under
section 120A.22, subdivision 8.
Sec. 9. Minnesota Statutes 2002, section 124D.09,
subdivision 3, is amended to read:
Subd. 3. [DEFINITIONS.] For purposes of this section, the
following terms have the meanings given to them.
(a) "Eligible institution" means a Minnesota public
post-secondary institution, a private, nonprofit two-year trade
and technical school granting associate degrees, an
opportunities industrialization center accredited by the North
Central Association of Colleges and Schools, or a private,
residential, two-year or four-year, liberal arts,
degree-granting college or university located in Minnesota.
"Course" means a course or program.
(b) "Course" means a course or program.
Sec. 10. Minnesota Statutes 2002, section 124D.10,
subdivision 13, is amended to read:
Subd. 13. [LENGTH OF SCHOOL YEAR.] A charter school must
provide instruction each year for at least the number of days
required by section 120A.22, subdivision 5 120A.41. It may
provide instruction throughout the year according to sections
124D.12 to 124D.127 or 124D.128.
Sec. 11. Minnesota Statutes 2002, section 124D.10,
subdivision 23a, is amended to read:
Subd. 23a. [RELATED PARTY LEASE COSTS.] (a) A charter
school is prohibited from entering a lease of real property with
a related party as defined in this subdivision, unless the
lessor is a nonprofit corporation under chapter 317A or a
cooperative under chapter 308A, and the lease cost is reasonable
under section 124D.11, subdivision 4, clause (1).
(b) For purposes of this subdivision:
(1) A "related party" is an affiliate or close relative of
the other party in question, an affiliate of a close relative,
or a close relative of an affiliate.
(2) "Affiliate" means a person that directly, or indirectly
through one or more intermediaries, controls, or is controlled
by, or is under common control with, another person.
(3) "Close relative" means an individual whose relationship
by blood, marriage, or adoption to another individual is no more
remote than first cousin.
(4) "Person" means an individual or entity of any kind.
(5) "Control" includes the terms "controlling," "controlled
by," and "under common control with" and means the possession,
direct or indirect, of the power to direct or cause the
direction of the management, operations, or policies of a
person, whether through the ownership of voting securities, by
contract, or otherwise.
(c) A lease of real property to be used for a charter
school, not excluded in paragraph (b), must contain the
following statement: "This lease is subject to Minnesota
Statutes, section 124D.10, subdivision 23a."
(d) If a charter school enters into as lessee a lease with
a related party and the charter school subsequently closes, the
commissioner has the right to recover from the lessor any lease
payments in excess of those that are reasonable under section
124.11 124D.11, subdivision 4, clause (1).
Sec. 12. Minnesota Statutes 2002, section 125A.05, is
amended to read:
125A.05 [METHOD OF SPECIAL INSTRUCTION.]
(a) As defined in this subdivision section, to the extent
required by federal law as of July 1, 1999, special instruction
and services for children with a disability must be based on the
assessment and individual education plan. The instruction and
services may be provided by one or more of the following methods:
(1) in connection with attending regular elementary and
secondary school classes;
(2) establishment of special classes;
(3) at the home or bedside of the child;
(4) in other districts;
(5) instruction and services by special education
cooperative centers established under this section, or in
another member district of the cooperative center to which the
resident district of the child with a disability belongs;
(6) in a state residential school or a school department of
a state institution approved by the commissioner;
(7) in other states;
(8) by contracting with public, private or voluntary
agencies;
(9) for children under age five and their families,
programs and services established through collaborative efforts
with other agencies;
(10) for children under age five and their families,
programs in which children with a disability are served with
children without a disability; and
(11) any other method approved by the commissioner.
(b) Preference shall be given to providing special
instruction and services to children under age three and their
families in the residence of the child with the parent or
primary caregiver, or both, present.
(c) The primary responsibility for the education of a child
with a disability must remain with the district of the child's
residence regardless of which method of providing special
instruction and services is used. If a district other than a
child's district of residence provides special instruction and
services to the child, then the district providing the special
instruction and services must notify the child's district of
residence before the child's individual education plan is
developed and must provide the district of residence an
opportunity to participate in the plan's development. The
district of residence must inform the parents of the child about
the methods of instruction that are available.
Sec. 13. Minnesota Statutes 2002, section 125A.12, is
amended to read:
125A.12 [ATTENDANCE IN ANOTHER DISTRICT.]
No resident of a district who is eligible for special
instruction and services pursuant to this section may be denied
provision of this instruction and service because of attending a
public school in another district pursuant to section 123B.88,
subdivision 5, if the attendance is not subject to section
124D.06, 124D.07, or 124D.08. If the pupil attends a public
school located in a contiguous district and the district of
attendance does not provide special instruction and services,
the district of residence must provide necessary transportation
for the pupil between the boundary of the district of residence
and the educational facility where special instruction and
services are provided within the district of residence. The
district of residence may provide necessary transportation for
the pupil between its boundary and the school attended in the
contiguous district, but must not pay the cost of transportation
provided outside the boundary of the district of residence.
Sec. 14. Minnesota Statutes 2002, section 126C.10,
subdivision 28, is amended to read:
Subd. 28. [EQUITY REGION.] For the purposes of computing
equity revenue under subdivision 23 24, a district whose
administrative offices on July 1, 1999, is located in Anoka,
Carver, Dakota, Hennepin, Ramsey, Scott, or Washington county is
part of the metro equity region. Districts whose administrative
offices on July 1, 1999, are not located in Anoka, Carver,
Dakota, Hennepin, Ramsey, Scott, or Washington county are part
of the rural equity region.
Sec. 15. Minnesota Statutes 2002, section 127A.05,
subdivision 4, is amended to read:
Subd. 4. [ADMINISTRATIVE RULES.] The commissioner may
adopt new rules or 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 to rules adopted by the commissioner.
Sec. 16. Minnesota Statutes 2002, section 127A.45,
subdivision 12, is amended to read:
Subd. 12. [PAYMENT PERCENTAGE FOR CERTAIN AIDS.] (a) One
hundred percent of the aid for the current fiscal year must be
paid for the following aids: reimbursement for enrollment
options transportation, according to sections 124D.03,
subdivision 8, 124D.09, subdivision 22, and 124D.10; school
lunch aid, according to section 124D.111; hearing impaired
support services aid, according to section 124D.57; and Indian
post-secondary preparation grants according to section 124D.85
124D.80.
(b) One hundred percent of the aid for the current fiscal
year, based on enrollment in the previous year, must be paid for
the first grade preparedness program according to section
124D.081.
Sec. 17. Minnesota Statutes 2002, section 169.435, is
amended to read:
169.435 [STATE SCHOOL BUS SAFETY ADMINISTRATION.]
Subdivision 1. [RESPONSIBILITY; DEPARTMENT OF PUBLIC
SAFETY.] The department of public safety has the primary
responsibility for school transportation safety. To oversee
school transportation safety, the commissioner of public safety
shall establish a school bus safety advisory committee according
to subdivision 2. The commissioner or the commissioner's
designee shall serve as state director of pupil transportation
according to subdivision 3.
Subd. 3. [PUPIL TRANSPORTATION SAFETY DIRECTOR.] (a) The
commissioner of public safety or the commissioner's designee
shall serve as pupil transportation safety director.
(b) The duties of the pupil transportation safety director
shall include:
(1) overseeing all department activities related to school
bus safety;
(2) assisting in the development, interpretation, and
implementation of laws and policies relating to school bus
safety;
(3) supervising preparation of the school bus inspection
manual; and
(4) in conjunction with the department of children,
families, and learning education, assisting school districts in
developing and implementing comprehensive transportation
policies; and
(5) providing information requested by the school bus
safety advisory committee.
Sec. 18. Minnesota Statutes 2002, section 169.449,
subdivision 1, is amended to read:
Subdivision 1. [RULES.] The commissioner of public safety,
in consultation with the school bus safety advisory committee,
shall adopt rules governing the operation of school buses used
for transportation of school children, when owned or operated by
a school or privately owned and operated under a contract with a
school, and these rules must be made a part of that contract by
reference. Each school, its officers and employees, and each
person employed under the contract is subject to these rules.
Sec. 19. Minnesota Statutes 2002, section 169.4501,
subdivision 3, is amended to read:
Subd. 3. [INSPECTION MANUAL.] The department of public
safety shall develop a school bus inspection manual based on the
national standards adopted in subdivision 1 and Minnesota
standards adopted in sections 169.4502 to 169.4504. The
Minnesota state patrol shall use the manual as the basis for
inspecting buses as provided in section 169.451. When
appropriate, the school bus safety advisory committee shall
recommend to the education committees of the legislature
modifications to the standards upon which the school bus
inspection manual is based. The department of public safety has
no rulemaking authority to alter the standards upon which school
buses are inspected.
Sec. 20. Minnesota Statutes 2002, section 169.4501,
subdivision 4, is amended to read:
Subd. 4. [VARIANCE.] The commissioner of public safety may
grant a variance to any of the school bus standards to
accommodate testing of new equipment related to school buses. A
variance from the standards must be for the sole purpose of
testing and evaluating new equipment for increased safety,
efficiency, and economy of pupil transportation. The variance
expires 18 months from the date on which it is granted unless
the commissioner specifies an earlier expiration date. The
school bus safety advisory committee shall annually review all
variances that are granted under this subdivision and consider
whether to recommend modifications to the Minnesota school bus
equipment standards based on the variances.
Sec. 21. [REPEALER.]
(a) Minnesota Statutes 2002, section 126C.55, subdivision
5, is repealed.
(b) Laws 2001, First Special Session chapter 3, article 4,
sections 1 and 2; and Laws 2001, First Special Session chapter
6, article 2, section 52, are repealed.
Presented to the governor May 27, 2003
Signed by the governor May 30, 2003, 3:44 p.m.
Official Publication of the State of Minnesota
Revisor of Statutes