1.1                          A bill for an act 
  1.2             relating to education; families and early childhood 
  1.3             education; kindergarten through grade 12; providing 
  1.4             for early childhood programs, prevention, 
  1.5             self-sufficiency and lifelong learning, general 
  1.6             education, education excellence, special education, 
  1.7             facilities and technology, nutrition programs, 
  1.8             libraries, and state agencies; appropriating money; 
  1.9             amending Minnesota Statutes 2000, sections 119A.12, by 
  1.10            adding subdivisions; 119A.13, subdivision 4; 119A.21; 
  1.11            119A.22; 119B.011, subdivisions 7, 19, and by adding a 
  1.12            subdivision; 119B.02, subdivisions 1 and 2; 119B.03, 
  1.13            subdivisions 3, 9, and 10; 119B.05, subdivision 5; 
  1.14            119B.08; 119B.09, subdivisions 1, 2, and 7; 119B.10; 
  1.15            119B.11, subdivision 1; 119B.12, subdivision 2; 
  1.16            119B.13, subdivisions 1 and 6; 119B.15; 120B.30, 
  1.17            subdivision 1; 120B.35; 123B.53, subdivisions 2, 4, 
  1.18            and 5; 123B.54; 124D.531, subdivision 3; 124D.74, 
  1.19            subdivisions 1, 2, 3, 4, and 6; 124D.75, subdivision 
  1.20            6; 124D.76; 124D.78, subdivision 1; 124D.81, 
  1.21            subdivisions 1, 3, 5, 6, and 7; 125B.20, subdivision 
  1.22            1; 126C.05, subdivision 1; 126C.10, subdivisions 1, 2, 
  1.23            3, 4, 5, 7, 8, 9, 13, 18, 19, 20, 21, 22, and by 
  1.24            adding a subdivision; 126C.12, subdivision 1; 126C.16, 
  1.25            by adding a subdivision; 126C.17, subdivision 2; 
  1.26            126C.63, by adding a subdivision; 126C.69, 
  1.27            subdivisions 3, 9, and 12; 126C.72, by adding a 
  1.28            subdivision; 127A.45, subdivision 12, and by adding a 
  1.29            subdivision; and 475.53, subdivision 4; proposing 
  1.30            coding for new law in Minnesota Statutes, chapters 
  1.31            119A; 122A; 124D; and 134; repealing Minnesota 
  1.32            Statutes 2000, sections 119A.13, subdivisions 1, 2, 
  1.33            and 3; 119A.14, subdivision 2; 119A.23; 119B.011, 
  1.34            subdivision 20; 119B.03, subdivisions 1, 2, 4, 5, 6, 
  1.35            6a, and 8; 119B.05, subdivision 1; 119B.061; 119B.07; 
  1.36            119B.09, subdivision 3; 119B.11, subdivision 4; 
  1.37            124D.1155; 124D.33; 124D.331; 124D.85; 125B.20, 
  1.38            subdivision 3; 126C.10, subdivisions 9, 10, 11, 12, 
  1.39            23, 24, 25, 26, 27, and 28; 126C.11; and 127A.50. 
  1.40  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.41                             ARTICLE 1 
  1.42                      EARLY CHILDHOOD PROGRAMS 
  2.1      Section 1.  Minnesota Statutes 2000, section 119B.011, 
  2.2   subdivision 7, is amended to read: 
  2.3      Subd. 7.  [CHILD CARE SERVICES.] "Child care services" 
  2.4   means child care as defined in subdivision 5, provided ~~in family~~ 
  2.5   ~~day care homes, group day care homes, nursery schools, day~~ 
  2.6   ~~nurseries, child day care centers, head start, and extended day~~ 
  2.7   ~~school age child care programs~~ in or out of the child's home. 
  2.8      Sec. 2.  Minnesota Statutes 2000, section 119B.011, 
  2.9   subdivision 19, is amended to read: 
  2.10     Subd. 19.  [PROVIDER.] "Provider" means ~~a child care~~ 
  2.11  ~~license holder who operates a family child care home, a group~~ 
  2.12  ~~family child care home, a child care center, a nursery school, a~~ 
  2.13  ~~day nursery, a school age care program; a license-exempt school~~ 
  2.14  ~~age care program operating under the auspices of a local school~~ 
  2.15  ~~board or a park or recreation board of a city of the first class~~ 
  2.16  ~~that has adopted school age care guidelines which meet or exceed~~ 
  2.17  ~~guidelines recommended by the department, or a nonlicensed~~ an 
  2.18  individual or child care center or facility either licensed or 
  2.19  unlicensed providing legal child care services as defined under 
  2.20  section 245A.03.  A legally unlicensed registered family child 
  2.21  care provider ~~who is~~ must be at least 18 years of age, and ~~who~~ 
  2.22  ~~is~~ not a member of the MFIP assistance unit or a member of the 
  2.23  family receiving child care assistance under this chapter.  
  2.24     Sec. 3.  Minnesota Statutes 2000, section 119B.011, is 
  2.25  amended by adding a subdivision to read: 
  2.26     Subd. 19a.  [STUDENT.] "Student" means an individual 
  2.27  enrolled in an education program.  A student is a full-time 
  2.28  student if enrolled in an education program a minimum equivalent 
  2.29  of 12 credits or 20 hours of classroom training per week.  A 
  2.30  student is considered a part-time student if enrolled in an 
  2.31  education program up to the minimum of full-time student status. 
  2.32     Sec. 4.  Minnesota Statutes 2000, section 119B.02, 
  2.33  subdivision 1, is amended to read: 
  2.34     Subdivision 1.  [CHILD CARE SERVICES.] The commissioner 
  2.35  shall develop standards for county and human services boards to 
  2.36  provide child care services to enable eligible families to 
  3.1   participate in employment, training, or education programs.  
  3.2   ~~Within the limits of available appropriations,~~ The commissioner 
  3.3   shall distribute money to counties to reduce the costs of child 
  3.4   care for eligible families.  The commissioner shall adopt rules 
  3.5   to govern the program in accordance with this section.  The 
  3.6   rules must establish a sliding schedule of fees for parents 
  3.7   receiving child care services.  The rules shall provide that 
  3.8   funds received as a lump sum payment of child support arrearages 
  3.9   shall not be counted as income to a family in the month received 
  3.10  but shall be prorated over the 12 months following receipt and 
  3.11  added to the family income during those months.  ~~In the rules~~ 
  3.12  ~~adopted under this section, county and human services boards~~ 
  3.13  ~~shall be authorized to establish policies for payment of child~~ 
  3.14  ~~care spaces for absent children, when the payment is required by~~ 
  3.15  ~~the child's regular provider.  The rules shall not set a maximum~~ 
  3.16  ~~number of days for which absence payments can be made, but~~ 
  3.17  ~~instead shall direct the county agency to set limits and pay for~~ 
  3.18  ~~absences according to the prevailing market practice in the~~ 
  3.19  ~~county.  County policies for payment of absences shall be~~ 
  3.20  ~~subject to the approval of the commissioner.~~  The commissioner 
  3.21  shall maximize the use of federal money under title I and title 
  3.22  IV of Public Law Number 104-193, the Personal Responsibility and 
  3.23  Work Opportunity Reconciliation Act of 1996, and other programs 
  3.24  that provide federal or state reimbursement for child care 
  3.25  services for low-income families who are in education, training, 
  3.26  job search, or other activities allowed under those programs.  
  3.27  Money appropriated under this section must be coordinated with 
  3.28  the programs that provide federal reimbursement for child care 
  3.29  services to accomplish this purpose.  ~~Federal reimbursement~~ 
  3.30  ~~obtained must be allocated to the county that spent money for~~ 
  3.31  ~~child care that is federally reimbursable under programs that~~ 
  3.32  ~~provide federal reimbursement for child care services.~~  The 
  3.33  ~~counties~~ commissioner shall use the federal money to expand 
  3.34  child care services.  The commissioner may adopt rules under 
  3.35  chapter 14 to implement and coordinate federal program 
  3.36  requirements.  If the November forecast shows biennial 
  4.1   expenditures projected to be above 110 percent of the biennial 
  4.2   appropriation, the commissioner, in conjunction with the 
  4.3   commissioner of finance, shall prepare a plan to bring biennial 
  4.4   program spending to within 110 percent of the consolidated child 
  4.5   care assistance appropriation for that biennium.  The proposal 
  4.6   to control program expenditures will be delivered to the 
  4.7   legislature or legislative advisory commission by January 15 
  4.8   following the November forecast.  The proposal will take effect 
  4.9   ten days following the release of the February forecast if the 
  4.10  forecast continues to exceed the 110 percent limit unless the 
  4.11  legislature enacts an alternative solution. 
  4.12     Sec. 5.  Minnesota Statutes 2000, section 119B.02, 
  4.13  subdivision 2, is amended to read: 
  4.14     Subd. 2.  [CONTRACTUAL AGREEMENTS WITH TRIBES.] The 
  4.15  commissioner may enter into contractual agreements with a 
  4.16  federally recognized Indian tribe with a reservation in 
  4.17  Minnesota to carry out the responsibilities of county human 
  4.18  service agencies to the extent necessary for the tribe to 
  4.19  operate child care assistance programs for families eligible 
  4.20  under sections ~~119B.03~~ 119B.09 and ~~119B.05~~ 119B.10.  An 
  4.21  agreement may allow for the tribe to be reimbursed for child 
  4.22  care assistance services provided under section 119B.05.  The 
  4.23  commissioner shall consult with the affected county or counties 
  4.24  in the contractual agreement negotiations, if the county or 
  4.25  counties wish to be included, in order to avoid the duplication 
  4.26  of county and tribal child care services.  ~~Funding to support~~ 
  4.27  ~~services under section 119B.03 may be transferred to the~~ 
  4.28  ~~federally recognized Indian tribe with a reservation in~~ 
  4.29  ~~Minnesota from allocations available to counties in which~~ 
  4.30  ~~reservation boundaries lie.  When funding is transferred under~~ 
  4.31  ~~section 119B.03, the amount shall be commensurate to estimates~~ 
  4.32  ~~of the proportion of reservation residents with characteristics~~ 
  4.33  ~~identified in section 119B.03, subdivision 6, to the total~~ 
  4.34  ~~population of county residents with those same characteristics.~~  
  4.35     Sec. 6.  Minnesota Statutes 2000, section 119B.03, 
  4.36  subdivision 3, is amended to read: 
  5.1      Subd. 3.  [ELIGIBLE PARTICIPANTS.] Families that meet the 
  5.2   eligibility requirements under sections ~~119B.07,~~ 119B.09~~,~~ and 
  5.3   119B.10, ~~except MFIP participants, work first participants, and~~ 
  5.4   ~~transition year families~~ are eligible for child care 
  5.5   assistance ~~under the basic sliding fee~~ through the child care 
  5.6   assistance program.  Families enrolled in the ~~basic sliding fee~~ 
  5.7   child care assistance program shall be continued until they are 
  5.8   no longer eligible.  Child care assistance provided through the 
  5.9   child care fund is considered assistance to the parent. 
  5.10     Sec. 7.  Minnesota Statutes 2000, section 119B.03, 
  5.11  subdivision 9, is amended to read: 
  5.12     Subd. 9.  [~~PORTABILITY POOL~~ FAMILY MOVE; CONTINUED 
  5.13  PARTICIPATION.] (a) ~~The commissioner shall establish a pool of~~ 
  5.14  ~~up to five percent of the annual appropriation for the basic~~ 
  5.15  ~~sliding fee program to provide continuous child care assistance~~ 
  5.16  ~~for eligible families who move between Minnesota counties.  At~~ 
  5.17  ~~the end of each allocation period, any unspent funds in the~~ 
  5.18  ~~portability pool must be used for assistance under the basic~~ 
  5.19  ~~sliding fee program.  If expenditures from the portability pool~~ 
  5.20  ~~exceed the amount of money available, the reallocation pool must~~ 
  5.21  ~~be reduced to cover these shortages.~~ 
  5.22     ~~(b) To be eligible for portable basic sliding fee~~ 
  5.23  ~~assistance, a family that has moved from a county in which it~~ A 
  5.24  family receiving child care assistance under the child care fund 
  5.25  that has moved from a county in which the family was receiving 
  5.26  ~~basic sliding fee~~ child care assistance to ~~a~~ another county 
  5.27  ~~with a waiting list for the basic sliding fee program~~ must be 
  5.28  admitted into the receiving county's child care assistance 
  5.29  program if the family: 
  5.30     (1) ~~meet~~ meets the income and eligibility guidelines for 
  5.31  the ~~basic sliding fee~~ child care assistance program; and 
  5.32     (2) ~~notify~~ notifies the new county of residence within ~~30~~ 
  5.33  60 days of moving and ~~apply~~ applies for ~~basic sliding fee~~ 
  5.34  child care assistance in the new county of residence. 
  5.35     ~~(c)~~ (b) The receiving county must~~:~~ 
  5.36     ~~(1)~~ accept administrative responsibility ~~for applicants for~~ 
  6.1   ~~portable basic sliding fee assistance~~ at the end of the two 
  6.2   months of assistance under the Unitary Residency Act~~;~~. 
  6.3      ~~(2) continue basic sliding fee assistance for the lesser of~~ 
  6.4   ~~six months or until the family is able to receive assistance~~ 
  6.5   ~~under the county's regular basic sliding program; and~~ 
  6.6      ~~(3) notify the commissioner through the quarterly reporting~~ 
  6.7   ~~process of any family that meets the criteria of the portable~~ 
  6.8   ~~basic sliding fee assistance pool.~~ 
  6.9      Sec. 8.  Minnesota Statutes 2000, section 119B.03, 
  6.10  subdivision 10, is amended to read: 
  6.11     Subd. 10.  [APPLICATION; ENTRY POINTS.] Two or more methods 
  6.12  of applying for the ~~basic sliding fee~~ child care assistance 
  6.13  program under this chapter must be available to applicants in 
  6.14  each county.  To meet the requirements of this subdivision, a 
  6.15  county may provide alternative methods of applying for 
  6.16  assistance, including, but not limited to, a mail application, 
  6.17  or application sites that are located outside of government 
  6.18  offices. 
  6.19     Sec. 9.  Minnesota Statutes 2000, section 119B.05, 
  6.20  subdivision 5, is amended to read: 
  6.21     Subd. 5.  [FEDERAL REIMBURSEMENT.] Counties and the state 
  6.22  shall maximize their federal reimbursement under federal 
  6.23  reimbursement programs for money spent for persons eligible 
  6.24  under this chapter.  The commissioner shall allocate any federal 
  6.25  earnings to the county to be used to expand child care services 
  6.26  under this chapter. 
  6.27     Sec. 10.  Minnesota Statutes 2000, section 119B.08, is 
  6.28  amended to read: 
  6.29     119B.08 [REPORTING AND PAYMENTS.] 
  6.30     Subdivision 1.  [REPORTS.] The commissioner shall specify 
  6.31  requirements for reports under the same authority as provided to 
  6.32  the commissioner of human services in section 256.01, 
  6.33  subdivision 2, paragraph (17).  
  6.34     Subd. 2.  [QUARTERLY PAYMENTS.] The commissioner may make 
  6.35  payments to each county in quarterly installments.  ~~The~~ 
  6.36  ~~commissioner may certify an advance up to 25 percent of the~~ 
  7.1   ~~allocation.~~  Subsequent payments shall be made on a 
  7.2   reimbursement basis for reported expenditures and may be 
  7.3   adjusted for anticipated spending patterns.  Payments may be 
  7.4   withheld if quarterly reports are incomplete or untimely. 
  7.5      Subd. 3.  [CHILD CARE FUND PLAN.] The county and designated 
  7.6   administering agency shall submit a child care fund plan to the 
  7.7   commissioner ~~an annual child care fund plan in its biennial~~ 
  7.8   ~~community social services plan~~.  The commissioner shall 
  7.9   establish the dates by which the county must submit the plans.  
  7.10  The plan shall include~~:~~ 
  7.11     ~~(1) a narrative of the total program for child care~~ 
  7.12  ~~services, including all policies and procedures that affect~~ 
  7.13  ~~eligible families and are used to administer the child care~~ 
  7.14  ~~funds;~~ 
  7.15     ~~(2) the methods used by the county to inform eligible~~ 
  7.16  ~~families of the availability of child care assistance and~~ 
  7.17  ~~related services;~~ 
  7.18     ~~(3) the provider rates paid for all children with special~~ 
  7.19  ~~needs by provider type;~~ 
  7.20     ~~(4) the county prioritization policy for all eligible~~ 
  7.21  ~~families under the basic sliding fee program; and~~ 
  7.22     ~~(5) other~~ information as requested by the department to 
  7.23  ensure compliance with the child care fund statutes and rules 
  7.24  promulgated by the commissioner. 
  7.25     The commissioner shall notify counties within ~~60~~ 90 days of 
  7.26  the date the plan is submitted whether the plan is approved or 
  7.27  the corrections or information needed to approve the plan.  The 
  7.28  commissioner shall withhold ~~a county's allocation until it has~~ 
  7.29  ~~an approved plan.  Plans not approved by the end of the second~~ 
  7.30  ~~quarter after the plan is due may result in a 25 percent~~ 
  7.31  ~~reduction in allocation.  Plans not approved by the end of the~~ 
  7.32  ~~third quarter after the plan is due may result in a 100 percent~~ 
  7.33  ~~reduction in the allocation to the county~~ payments to a county 
  7.34  until it has an approved plan.  Counties are to maintain 
  7.35  services despite any ~~reduction in their allocation~~ withholding 
  7.36  of payments due to plans not being approved. 
  8.1      Subd. 3a.  [RESTRICTED INCOME ELIGIBILITY.] If income 
  8.2   eligibility parameters have been restricted, counties may 
  8.3   continue to move families with income above the restricted 
  8.4   eligibility parameters but not to exceed the parameters in 
  8.5   section 119B.09, subdivision 1, paragraph (a), clause (1), into 
  8.6   the program using county funds.  These expenditures must be 
  8.7   reported separately and counties will only be reimbursed for 
  8.8   these expenditures if, at the end of the biennium, total program 
  8.9   expenditures are at or below the most recent forecast.  
  8.10     Subd. 3b.  [WAITING LIST.] Counties that do not move 
  8.11  families into the program with county funds must start a waiting 
  8.12  list if eligibility parameters are restricted and must report 
  8.13  this waiting list to the commissioner with other reports as 
  8.14  specified in subdivision 1.  Counties must determine income, 
  8.15  authorized activities and family size before placing a family on 
  8.16  the waiting list. 
  8.17     Subd. 3c.  [FAMILY INFORMATION.] Counties that move 
  8.18  families into the program under subdivision 3a or place families 
  8.19  on the waiting list under subdivision 3b must report the number 
  8.20  of families served or placed on the waiting list, the date each 
  8.21  family began to receive service or was placed on the waiting 
  8.22  list, the income of the family and family size when they began 
  8.23  to receive service or were placed on the waiting list, and the 
  8.24  estimated cost of serving each family served under subdivision 
  8.25  3a to the commissioner on a form designated by the commissioner. 
  8.26     Subd. 4.  [TERMINATION OF ALLOCATION.] The commissioner may 
  8.27  withhold~~,~~ or reduce~~, or terminate the allocation of any~~ funds 
  8.28  intended to reimburse counties for child care costs under the 
  8.29  child care fund if the county ~~that~~ does not meet the reporting, 
  8.30  planning, or other requirements of this program.  The 
  8.31  ~~commissioner shall reallocate to other counties money so reduced~~ 
  8.32  ~~or terminated~~ withholding or reduction of funds under this 
  8.33  subdivision does not relieve counties of their requirements 
  8.34  under this chapter.  
  8.35     Sec. 11.  Minnesota Statutes 2000, section 119B.09, 
  8.36  subdivision 1, is amended to read: 
  9.1      Subdivision 1.  [GENERAL ELIGIBILITY REQUIREMENTS FOR ALL 
  9.2   APPLICANTS FOR CHILD CARE ASSISTANCE.] (a) Child care services 
  9.3   must be available to families who need child care to find or 
  9.4   keep employment or to obtain the training or education necessary 
  9.5   to find employment as defined in section 119B.10, and who~~:~~ 
  9.6      ~~(1) meet the requirements of section 119B.05; receive MFIP~~ 
  9.7   ~~assistance; and are participating in employment and training~~ 
  9.8   ~~services under chapter 256J or 256K;~~ 
  9.9      ~~(2) have household income below the eligibility levels for~~ 
  9.10  ~~MFIP; or~~ 
  9.11     ~~(3)~~ have household income within a range ~~established by the~~ 
  9.12  ~~commissioner~~ of:  (1) 50 percent of state median income (SMI) or 
  9.13  below at program entry and 75 percent of SMI or below at program 
  9.14  exit; or (2) the level of SMI at program entry established by 
  9.15  the commissioner if total expenditures are projected to exceed 
  9.16  the forecast by ten percent or more. 
  9.17     (b) Child care services must be made available as in-kind 
  9.18  services.  
  9.19     (c) All applicants for child care assistance and families 
  9.20  currently receiving child care assistance must be assisted and 
  9.21  required to cooperate in establishment of paternity and 
  9.22  enforcement of child support obligations for all children in the 
  9.23  family as a condition of program eligibility.  For purposes of 
  9.24  this section, a family is considered to meet the requirement for 
  9.25  cooperation when the family complies with the requirements of 
  9.26  section 256.741. 
  9.27     Sec. 12.  Minnesota Statutes 2000, section 119B.09, 
  9.28  subdivision 2, is amended to read: 
  9.29     Subd. 2.  [SLIDING FEE.] Child care services to eligible 
  9.30  families ~~with incomes in the commissioner's established range~~ 
  9.31  must be made available on a sliding fee basis.  The upper limit 
  9.32  of ~~the range~~ eligibility must be ~~neither less than 70 percent~~ 
  9.33  ~~nor more than 90~~ 75 percent of the state median income for a 
  9.34  family of four, adjusted for family size.  
  9.35     Sec. 13.  Minnesota Statutes 2000, section 119B.09, 
  9.36  subdivision 7, is amended to read: 
 10.1      Subd. 7.  [DATE OF ELIGIBILITY FOR ASSISTANCE.] The date of 
 10.2   eligibility for child care assistance under this chapter is the 
 10.3   later of the date the application was signed~~;~~ or the beginning 
 10.4   date of employment, education, or training~~; or the date a~~ 
 10.5   ~~determination has been made that the applicant is a participant~~ 
 10.6   ~~in employment and training services under Minnesota Rules, part~~ 
 10.7   ~~3400.0080, subpart 2a, or chapter 256J or 256K.  The date of~~ 
 10.8   ~~eligibility for the basic sliding fee at-home infant child care~~ 
 10.9   ~~program is the later of the date the infant is born or, in a~~ 
 10.10  ~~county with a basic sliding fee waiting list, the date the~~ 
 10.11  ~~family applies for at-home infant child care.  Payment ceases~~ 
 10.12  ~~for a family under the at-home infant child care program when a~~ 
 10.13  ~~family has used a total of 12 months of assistance as specified~~ 
 10.14  ~~under section 119B.061.  Payment of child care assistance for~~ 
 10.15  ~~employed persons on MFIP is effective the date of employment or~~ 
 10.16  ~~the date of MFIP eligibility, whichever is later~~ under section 
 10.17  119B.10.  Payment of child care assistance for MFIP or work 
 10.18  first participants in employment and training services is 
 10.19  effective the date of commencement of the services or the date 
 10.20  of MFIP or work first eligibility, whichever is later.  ~~Payment~~ 
 10.21  ~~of child care assistance for transition year child care must be~~ 
 10.22  ~~made retroactive to the date of eligibility for transition year~~ 
 10.23  ~~child care.~~ 
 10.24     Sec. 14.  Minnesota Statutes 2000, section 119B.10, is 
 10.25  amended to read: 
 10.26     119B.10 [EMPLOYMENT OR TRAINING ELIGIBILITY.] 
 10.27     Subdivision 1.  [ASSISTANCE FOR PERSONS SEEKING AND 
 10.28  RETAINING EMPLOYMENT.] (a) Persons who are seeking employment 
 10.29  and who are eligible for assistance under this ~~section~~ chapter 
 10.30  are eligible to receive up to 240 hours of child care assistance 
 10.31  per calendar year.  
 10.32     (b) Employed persons who work at least an average of 20 
 10.33  hours ~~and full-time students who work at least an average of ten~~ 
 10.34  ~~hours a week~~ and receive at least a minimum wage for all hours 
 10.35  worked are eligible for continued child care assistance for 
 10.36  employment.  For purposes of this section, work-study programs 
 11.1   must be counted as employment.  Child care assistance during 
 11.2   employment must be authorized as provided in paragraphs (c) and 
 11.3   (d). 
 11.4      (c) When the person works for an hourly wage and the hourly 
 11.5   wage is equal to or greater than the applicable minimum wage, 
 11.6   child care assistance shall be provided for the actual hours of 
 11.7   employment, break, and mealtime during the employment and travel 
 11.8   time up to two hours per day. 
 11.9      (d) When the person does not work for an hourly wage, child 
 11.10  care assistance must be provided for the lesser of: 
 11.11     (1) the amount of child care determined by dividing gross 
 11.12  earned income by the applicable minimum wage, up to one hour 
 11.13  every eight hours for meals and break time, plus up to two hours 
 11.14  per day for travel time; or 
 11.15     (2) the amount of child care equal to the actual amount of 
 11.16  child care used during employment, including break and mealtime 
 11.17  during employment, and travel time up to two hours per day. 
 11.18     Subd. 1a.  [ASSISTANCE FOR PERSONS PARTICIPATING IN 
 11.19  EMPLOYMENT PLAN.] The following persons are also eligible for 
 11.20  child care assistance: 
 11.21     (1) persons who are participating in employment orientation 
 11.22  or job search, or other employment or training activities that 
 11.23  are included in an approved employability development plan under 
 11.24  chapter 256K; 
 11.25     (2) persons who are participating in work, job search, job 
 11.26  support, employment, or training activities as required in their 
 11.27  job search support or employment plan, or in appeals, hearings, 
 11.28  assessments, or orientations according to chapter 256J; 
 11.29     (3) persons who are participating in social services 
 11.30  activities under chapter 256J or 256K as required in their 
 11.31  employment plan approved according to chapter 256J or 256K; and 
 11.32     (4) families who are participating in programs as required 
 11.33  in tribal contracts under section 119B.02, subdivision 2, or 
 11.34  256.01, subdivision 2.  
 11.35     Subd. 2.  [FINANCIAL ELIGIBILITY REQUIRED.] Persons 
 11.36  participating in employment programs, training programs, or 
 12.1   education programs are eligible for continued assistance from 
 12.2   the child care fund, if they are financially eligible under the 
 12.3   sliding fee scale set by the commissioner in section 119B.12. 
 12.4      Subd. 3.  [CHILD CARE ASSISTANCE DURING EDUCATION.] The 
 12.5   following persons are eligible for child care assistance for 
 12.6   education or training: 
 12.7      (1) persons who meet the requirements of section 119B.09 
 12.8   who are enrolled in remedial or basic education or English as a 
 12.9   second language, or persons up to the age of 19 who are enrolled 
 12.10  in an educational program to attain a high school diploma or 
 12.11  general equivalency diploma; and 
 12.12     (2) persons who meet the requirements of this section and 
 12.13  section 119B.09 must also receive child care assistance to 
 12.14  reduce the costs of child care for education when employed an 
 12.15  average of at least 20 hours per week under subdivision 1, and 
 12.16  are not receiving MFIP benefits as defined in section 119B.011, 
 12.17  subdivision 17. 
 12.18     Subd. 4.  [SATISFACTORY PROGRESS.] Students enrolled in an 
 12.19  education program under section 199B.011, subdivision 11, must 
 12.20  be making satisfactory progress toward completion of the program 
 12.21  as stipulated in the school's satisfactory progress policy. 
 12.22     Subd. 5.  [LIMITING DURATION OF TRAINING.] Counties may not 
 12.23  limit the duration of child care subsidies for a person in an 
 12.24  employment or educational program except when the person is 
 12.25  found to be ineligible under the child care fund eligibility 
 12.26  standards.  Any limitation must be based on a person's 
 12.27  employment plan in the case of an MFIP participant. 
 12.28     Subd. 6.  [MAXIMUM LENGTH OF TIME FOR TRAINING.] The 
 12.29  maximum length of time a participant is eligible for child care 
 12.30  assistance under the child care fund for education and training 
 12.31  is no more than the maximum time allowed to complete the credit 
 12.32  requirements for an associate or baccalaureate degree as 
 12.33  stipulated in the school's satisfactory progress policy.  This 
 12.34  length of time excludes basic or remedial education programs, 
 12.35  English as a second language, high school, and general 
 12.36  equivalency diploma programs needed to prepare for 
 13.1   post-secondary education or employment. 
 13.2      Subd. 7.  [MFIP STUDENT MOVES TO ANOTHER COUNTY.] If an 
 13.3   MFIP participant who is receiving MFIP child care assistance 
 13.4   under this chapter moves to another county, continues to 
 13.5   participate in educational or training programs authorized in 
 13.6   the MFIP participant's employment plans, and continues to be 
 13.7   eligible for MFIP child care assistance under this chapter, the 
 13.8   MFIP participant must receive continued child care assistance 
 13.9   from the county responsible for the MFIP participant's current 
 13.10  employment plan under section 256G.07. 
 13.11     Sec. 15.  Minnesota Statutes 2000, section 119B.11, 
 13.12  subdivision 1, is amended to read: 
 13.13     Subdivision 1.  [COUNTY CONTRIBUTIONS REQUIRED.] ~~Beginning~~ 
 13.14  ~~July 1, 1997,~~ (a) In addition to payments from ~~basic sliding fee~~ 
 13.15  child care assistance program participants, each county shall 
 13.16  contribute from county tax or other sources a fixed local match 
 13.17  ~~equal to its calendar year 1996 required county contribution~~ 
 13.18  ~~reduced by the administrative funding loss that would have~~ 
 13.19  ~~occurred in state fiscal year 1996 under section 119B.15~~.  The 
 13.20  commissioner shall recover funds from the county as necessary to 
 13.21  bring county expenditures into compliance with this 
 13.22  subdivision.  The commissioner may accept county contributions, 
 13.23  including contributions above the fixed local match, in order to 
 13.24  make state payments. 
 13.25     (b) The commissioner may accept payments from counties:  (1)
 13.26  to fulfill the county contribution as required under subdivision 
 13.27  1; (2) to pay for services authorized under this chapter beyond 
 13.28  those paid for with federal or state funds or with the required 
 13.29  county contributions; or (3) to pay for child care services not 
 13.30  authorized under this chapter.  The commissioner may keep 
 13.31  accounts as necessary within the state's accounting system.  The 
 13.32  receipts must be deposited in the special revenue fund. 
 13.33     Sec. 16.  Minnesota Statutes 2000, section 119B.12, 
 13.34  subdivision 2, is amended to read: 
 13.35     Subd. 2.  [PARENT FEE.] A family's monthly parent fee must 
 13.36  be a fixed percentage of its annual gross income.  Parent fees 
 14.1   must apply to families eligible for child care assistance 
 14.2   under ~~sections 119B.03 and 119B.05~~ section 119B.09.  Income must 
 14.3   be as defined in section 119B.011, subdivision 15.  The fixed 
 14.4   percent is based on the relationship of the family's annual 
 14.5   gross income to 100 percent of state median income.  Beginning 
 14.6   January 1, 1998, parent fees must begin at 75 percent of the 
 14.7   poverty level.  The minimum parent fees for families between 75 
 14.8   percent and 100 percent of poverty level must be $5 per month.  
 14.9   Parent fees must be established in rule and must provide for 
 14.10  graduated movement to full payment. 
 14.11     Sec. 17.  Minnesota Statutes 2000, section 119B.13, 
 14.12  subdivision 1, is amended to read: 
 14.13     Subdivision 1.  [SUBSIDY RESTRICTIONS.] The maximum rate 
 14.14  paid for child care assistance under the child care fund may not 
 14.15  exceed the 75th percentile rate for like-care arrangements in 
 14.16  the county as surveyed by the commissioner.  A rate which 
 14.17  includes a provider bonus paid under subdivision 2 or a special 
 14.18  needs rate paid under subdivision 3 may be in excess of the 
 14.19  maximum rate allowed under this subdivision.  ~~The department~~ 
 14.20  ~~shall monitor the effect of this paragraph on provider rates.~~  
 14.21  The county shall pay the provider's full charges for every child 
 14.22  in care up to the maximum established.  ~~The commissioner shall~~ 
 14.23  ~~determine the maximum rate for each type of care, including~~ 
 14.24  ~~special needs and handicapped care.~~  Not less than once every 
 14.25  two years, the commissioner shall evaluate market practices for 
 14.26  payment of absences and shall establish policies for payment of 
 14.27  absent days that reflect current market practice. 
 14.28     When the provider charge is greater than the maximum 
 14.29  provider rate allowed, the parent is responsible for payment of 
 14.30  the difference in the rates in addition to any family copayment 
 14.31  fee. 
 14.32     Sec. 18.  Minnesota Statutes 2000, section 119B.13, 
 14.33  subdivision 6, is amended to read: 
 14.34     Subd. 6.  [PROVIDER PAYMENTS.] Counties or the state shall 
 14.35  make vendor payments to the child care provider or pay the 
 14.36  parent directly for eligible child care expenses.  If payments 
 15.1   for child care assistance are made to providers, the provider 
 15.2   shall bill the county for services provided within ten days of 
 15.3   the end of the month of service.  If bills are submitted in 
 15.4   accordance with the provisions of this subdivision or the state, 
 15.5   a county shall issue payment to the provider of child care under 
 15.6   the child care fund within 30 days of receiving an invoice from 
 15.7   the provider.  Counties or the state may establish policies that 
 15.8   make payments on a more frequent basis.  A county's payment 
 15.9   policies must be included in the county's child care plan under 
 15.10  section 119B.08, subdivision 3.  If payments are made by the 
 15.11  state, in addition to being in compliance with this subdivision, 
 15.12  the payments must be made in compliance with section 16A.124. 
 15.13     Sec. 19.  Minnesota Statutes 2000, section 119B.15, is 
 15.14  amended to read: 
 15.15     119B.15 [ADMINISTRATIVE EXPENSES.] 
 15.16     The commissioner shall use up to 1/21 of the state and 
 15.17  federal funds available ~~for the basic sliding fee program and~~ 
 15.18  ~~1/21 of the state and federal funds available~~ for the ~~MFIP~~ child 
 15.19  care assistance program for ~~payments to counties for~~ 
 15.20  ~~administrative expenses~~ the administrative costs of the delivery 
 15.21  of direct services. 
 15.22     Sec. 20.  [APPROPRIATIONS.] 
 15.23     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 15.24  LEARNING.] The sums indicated in this section are appropriated 
 15.25  from the general fund to the department of children, families, 
 15.26  and learning for the fiscal years designated.  
 15.27     Subd. 2.  [SCHOOL READINESS PROGRAM REVENUE.] For revenue 
 15.28  for school readiness programs according to Minnesota Statutes, 
 15.29  sections 124D.15 and 124D.16: 
 15.30       $10,395,000    .....     2002
 15.31       $10,395,000    .....     2003
 15.32     The 2002 appropriation includes $1,039,000 for 2001 and 
 15.33  $9,356,000 for 2002. 
 15.34     The 2003 appropriation includes $1,039,000 for 2002 and 
 15.35  $9,356,000 for 2003.  
 15.36     Subd. 3.  [EARLY CHILDHOOD FAMILY EDUCATION AID.] For early 
 16.1   childhood family education aid according to Minnesota Statutes, 
 16.2   section 124D.135: 
 16.3        $20,758,000    .....     2002 
 16.4        $20,663,000    .....     2003 
 16.5      The 2002 appropriation includes $2,036,000 for 2001 and 
 16.6   $18,722,000 for 2002.  
 16.7      The 2003 appropriation includes $2,081,000 for 2002 and 
 16.8   $18,582,000 for 2003.  
 16.9      Subd. 4.  [HEALTH AND DEVELOPMENTAL SCREENING AID.] For 
 16.10  health and developmental screening aid according to Minnesota 
 16.11  Statutes, sections 121A.17 and 121A.19: 
 16.12       $2,661,000     .....     2002 
 16.13       $2,661,000     .....     2003 
 16.14     The 2002 appropriation includes $266,000 for 2001 and 
 16.15  $2,395,000 for 2002.  
 16.16     The 2003 appropriation includes $266,000 for 2002 and 
 16.17  $2,395,000 for 2003.  
 16.18     Subd. 5.  [WAY TO GROW.] For grants for existing way to 
 16.19  grow programs according to Minnesota Statutes, section 124D.17:  
 16.20       $475,000       .....     2002
 16.21       $475,000       .....     2003
 16.22     Any balance in the first year does not cancel but is 
 16.23  available in the second year. 
 16.24     Subd. 6.  [HEAD START PROGRAM.] For Head Start programs 
 16.25  according to Minnesota Statutes, section 119A.52: 
 16.26       $18,375,000    .....     2002
 16.27       $18,375,000    .....     2003
 16.28     Any balance in the first year does not cancel but is 
 16.29  available in the second year. 
 16.30     Subd. 7.  [SCHOOL-AGE CHILD CARE.] For extended day aid 
 16.31  according to Minnesota Statutes, section 124D.22: 
 16.32       $221,000       .....     2002 
 16.33       $133,000       .....     2003
 16.34     The 2002 appropriation includes $30,000 for 2001 and 
 16.35  $191,000 for 2002. 
 16.36     The 2003 appropriation includes $21,000 for 2002 and 
 17.1   $112,000 for 2003. 
 17.2      Subd. 8.  [CONSOLIDATED CHILD CARE.] For child care 
 17.3   assistance according to Minnesota Statutes, section 119B.03: 
 17.4        $135,704,000   .....     2002 
 17.5        $144,723,000   .....     2003 
 17.6      These appropriations are available to be spent in either 
 17.7   year. 
 17.8      Subd. 9.  [CHILD CARE INTEGRITY.] For the administrative 
 17.9   costs of program integrity and fraud prevention for child care 
 17.10  assistance under chapter 119B: 
 17.11       $175,000       .....     2002 
 17.12       $175,000       .....     2003 
 17.13     Any balance in the first year does not cancel but is 
 17.14  available in the second year. 
 17.15     Subd. 10.  [CHILD CARE DEVELOPMENT.] For child care 
 17.16  development grants according to Minnesota Statutes, section 
 17.17  119B.21: 
 17.18       $1,865,000     .....     2002
 17.19       $1,865,000     .....     2003
 17.20     Any balance in the first year does not cancel but is 
 17.21  available in the second year. 
 17.22     Sec. 21.  [FEDERAL TANF TRANSFERS.] 
 17.23     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 17.24  LEARNING.] The sums indicated in this section are transferred 
 17.25  from the federal TANF fund to the child care and development 
 17.26  fund and appropriated to the department of children, families, 
 17.27  and learning for the fiscal years designated.  The commissioner 
 17.28  shall ensure that all transferred funds are expended in 
 17.29  accordance with the child care and development fund regulations 
 17.30  and that the maximum allowable transferred funds are used for 
 17.31  the programs in this section. 
 17.32     Subd. 2.  [CONSOLIDATED FEE CHILD CARE.] For child care 
 17.33  assistance according to Minnesota Statutes, section ......:  
 17.34       $31,316,000    .....     2002 
 17.35       $11,439,000    .....     2003 
 17.36     Sec. 22.  [REVISOR INSTRUCTION.] 
 18.1      In the next and subsequent editions of Minnesota Statutes 
 18.2   and Minnesota Rules, the revisor shall renumber Minnesota 
 18.3   Statutes, section 119B.05, subdivisions 4 and 5, as Minnesota 
 18.4   Statutes, section 119B.03, subdivisions 11 and 12, and make 
 18.5   necessary cross-reference changes consistent with the 
 18.6   renumbering. 
 18.7      Sec. 23.  [REPEALER.] 
 18.8      Minnesota Statutes 2000, sections 119B.011, subdivision 20; 
 18.9   119B.03, subdivisions 1, 2, 4, 5, 6, 6a, and 8; 119B.05, 
 18.10  subdivision 1; 119B.061; 119B.07; 119B.09, subdivision 3; and 
 18.11  119B.11, subdivision 4, are repealed. 
 18.12                             ARTICLE 2 
 18.13                             PREVENTION 
 18.14     Section 1.  Minnesota Statutes 2000, section 119A.12, is 
 18.15  amended by adding a subdivision to read: 
 18.16     Subd. 4.  [AUTHORITY TO DISBURSE FUNDS.] The commissioner 
 18.17  may disburse trust fund money to any public or private nonprofit 
 18.18  agency to fund a child abuse prevention program.  State funds 
 18.19  appropriated for child maltreatment prevention grants may be 
 18.20  transferred to the children's trust fund special revenue account 
 18.21  and are available to carry out this section. 
 18.22     Sec. 2.  Minnesota Statutes 2000, section 119A.12, is 
 18.23  amended by adding a subdivision to read: 
 18.24     Subd. 5.  [PLAN FOR DISBURSEMENT OF FUNDS.] The 
 18.25  commissioner shall develop a plan to disburse money from the 
 18.26  trust fund.  The plan must ensure that all geographic areas of 
 18.27  the state have an equal opportunity to establish prevention 
 18.28  programs and receive trust fund money. 
 18.29     Sec. 3.  Minnesota Statutes 2000, section 119A.12, is 
 18.30  amended by adding a subdivision to read: 
 18.31     Subd. 6.  [OPERATIONAL COSTS.] $120,000 each year is 
 18.32  appropriated from the children's trust fund to the special 
 18.33  revenue fund for administration and indirect costs of the 
 18.34  children's trust fund program. 
 18.35     Sec. 4.  Minnesota Statutes 2000, section 119A.13, 
 18.36  subdivision 4, is amended to read: 
 19.1      Subd. 4.  [RESPONSIBILITIES OF COMMISSIONER.] (a) The 
 19.2   commissioner shall: 
 19.3      (1) provide for the coordination and exchange of 
 19.4   information on the establishment and maintenance of prevention 
 19.5   programs; 
 19.6      (2) develop and publish criteria for receiving trust fund 
 19.7   money by prevention programs; 
 19.8      (3) review, approve, and monitor the spending of trust fund 
 19.9   money by prevention programs; 
 19.10     (4) provide statewide educational and public informational 
 19.11  seminars to develop public awareness on preventing child abuse; 
 19.12  to encourage professional persons and groups to recognize 
 19.13  instances of child abuse and work to prevent them; to make 
 19.14  information on child abuse prevention available to the public 
 19.15  and to organizations and agencies; and to encourage the 
 19.16  development of prevention programs, including programs that 
 19.17  provide support for adolescent parents, fathering education 
 19.18  programs, and other prevention activities designed to prevent 
 19.19  teen pregnancy; 
 19.20     (5) establish a procedure for an annual, internal 
 19.21  evaluation of the functions, responsibilities, and performance 
 19.22  of the commissioner in carrying out Laws 1986, chapter 423; 
 19.23     (6) provide technical assistance to local councils and 
 19.24  agencies working in the area of child abuse prevention; and 
 19.25     (7) accept and review grant applications beginning June 1, 
 19.26  1987. 
 19.27     (b) The commissioner shall recommend to the governor 
 19.28  changes in state programs, statutes, policies, budgets, and 
 19.29  standards that will reduce the problems of child abuse, improve 
 19.30  coordination among state agencies that provide prevention 
 19.31  services, and improve the condition of children, parents, or 
 19.32  guardians in need of prevention program services. 
 19.33     Sec. 5.  Minnesota Statutes 2000, section 119A.21, is 
 19.34  amended to read: 
 19.35     119A.21 [GRANTS TO SERVICE PROVIDER PROGRAMS.] 
 19.36     Subdivision 1.  [GRANTS AWARDED.] The commissioner shall 
 20.1   award grants to programs which provide ~~abused children~~ child 
 20.2   abuse and neglect intervention services.  Grants shall be 
 20.3   awarded in a manner that ensures that they are equitably 
 20.4   distributed to programs serving metropolitan and nonmetropolitan 
 20.5   populations.  
 20.6      Subd. 2.  [APPLICATIONS.] Any public or private nonprofit 
 20.7   agency may apply to the commissioner for a grant ~~to provide~~ 
 20.8   ~~abused children services~~.  The application shall be submitted ~~in~~ 
 20.9   on a form ~~approved~~ prescribed by the commissioner ~~after~~ 
 20.10  ~~consultation with the abused children advisory council and shall~~ 
 20.11  ~~include:~~.  
 20.12     ~~(1) a proposal for the provision of abused children~~ 
 20.13  ~~services to, or on behalf of, abused children, children at risk,~~ 
 20.14  ~~and their families;~~ 
 20.15     ~~(2) a proposed budget;~~ 
 20.16     ~~(3) evidence of ability to represent the interests of~~ 
 20.17  ~~abused children and their families to local law enforcement~~ 
 20.18  ~~agencies and courts, social services, and health agencies;~~ 
 20.19     ~~(4) evidence of ability to do outreach to unserved and~~ 
 20.20  ~~underserved populations and to provide culturally and~~ 
 20.21  ~~linguistically appropriate services; and~~ 
 20.22     ~~(5) any other information the commissioner may require by~~ 
 20.23  ~~policy or by rule adopted under chapter 14, after considering~~ 
 20.24  ~~the recommendations of the abused children advisory council.~~  
 20.25     ~~Programs which have been approved for grants in prior years~~ 
 20.26  ~~may submit materials which indicate changes in items listed in~~ 
 20.27  ~~clauses (1) to (5), in order to qualify for renewal funding.~~  
 20.28  ~~Nothing in this subdivision may be construed to require programs~~ 
 20.29  ~~to submit complete applications for each year of funding.~~  
 20.30     Subd. 3.  [DUTIES.] Every public or private nonprofit 
 20.31  agency which receives a grant under this section ~~to provide~~ 
 20.32  ~~abused children services~~ shall comply with all requirements of 
 20.33  the commissioner related to the administration of the grants.  
 20.34     Subd. 4.  [CLASSIFICATION OF DATA COLLECTED BY GRANTEES.] 
 20.35  Personal history information and other information collected, 
 20.36  used, or maintained by a grantee from which the identity of any 
 21.1   abused child or family members may be determined is private data 
 21.2   on individuals as defined in section 13.02, subdivision 12, and 
 21.3   the grantee shall maintain the data in accordance with 
 21.4   provisions of chapter 13. 
 21.5      Sec. 6.  Minnesota Statutes 2000, section 119A.22, is 
 21.6   amended to read: 
 21.7      119A.22 [DUTIES OF THE COMMISSIONER.] 
 21.8      The commissioner shall:  
 21.9      (1) review applications and award grants to programs 
 21.10  pursuant to section 119A.21 ~~after considering the recommendation~~ 
 21.11  ~~of the abused children advisory council~~; 
 21.12     (2) ~~appoint members of the abused children advisory council~~ 
 21.13  ~~created under section 119A.23 and provide consultative staff and~~ 
 21.14  ~~other administrative services to the council;~~ 
 21.15     ~~(3) after considering the recommendation of the abused~~ 
 21.16  ~~children advisory council, appoint a program director to perform~~ 
 21.17  ~~the duties set forth in this clause.  In appointing the program~~ 
 21.18  ~~director the commissioner shall give due consideration to the~~ 
 21.19  ~~list of applicants submitted to the commissioner pursuant to~~ 
 21.20  ~~this section.  The program director shall administer the funds~~ 
 21.21  ~~appropriated for sections 119A.20 to 119A.23, consult with and~~ 
 21.22  ~~provide staff to the advisory council and perform other duties~~ 
 21.23  ~~related to abused children's programs as the commissioner may~~ 
 21.24  ~~assign;~~ 
 21.25     ~~(4)~~ design a uniform method of collecting data ~~on abused~~ 
 21.26  ~~children's programs~~ to be used to monitor and assure compliance 
 21.27  of the programs funded under section 119A.21; 
 21.28     ~~(5)~~ (3) provide technical ~~aid~~ assistance to applicants in 
 21.29  the development of grant requests and to ~~programs~~ grantees in 
 21.30  meeting the data collection requirements established by the 
 21.31  commissioner; and 
 21.32     ~~(6)~~ (4) adopt, under chapter 14, all rules necessary to 
 21.33  implement the provisions of sections 119A.20 to 119A.23.  
 21.34     Sec. 7.  [119A.35] [CHILD ABUSE AND NEGLECT PREVENTION AND 
 21.35  INTERVENTION COUNCIL.] 
 21.36     Subdivision 1.  [GENERALLY.] The child abuse and neglect 
 22.1   prevention and intervention council is established under section 
 22.2   15.059 to advise the commissioner of children, families, and 
 22.3   learning on the implementation and continued operations of 
 22.4   sections 119A.10 to 119A.16 and 119A.20 to 119A.22.  The council 
 22.5   shall expire June 30, 2005. 
 22.6      Subd. 2.  [COUNCIL MEMBERSHIP.] The council shall consist 
 22.7   of a total of 22 members.  The governor shall appoint 18 of 
 22.8   these members.  The commissioners of human services and health 
 22.9   shall each appoint one member.  The senate shall appoint one 
 22.10  member from the senate family and early childhood education 
 22.11  finance committee and the house of representatives shall appoint 
 22.12  one member from the house family and early childhood budget 
 22.13  committee. 
 22.14     Council members shall have knowledge in the areas of child 
 22.15  abuse and neglect prevention and intervention, and knowledge of 
 22.16  the risk factors that can lead to child abuse and neglect.  
 22.17  Council members shall be representative of:  local government, 
 22.18  criminal justice, parents, consumers of services, health and 
 22.19  human services professionals, faith community, professional and 
 22.20  volunteer providers of child abuse and neglect prevention and 
 22.21  intervention services, racial and ethnic minority communities, 
 22.22  and the demographic and geographic composition of the state.  
 22.23  Ten council members shall reside in the seven-county 
 22.24  metropolitan area and eight shall reside in nonmetropolitan 
 22.25  areas. 
 22.26     Subd. 3.  [RESPONSIBILITIES.] The council shall: 
 22.27     (1) advise the commissioner on planning, policy 
 22.28  development, data collection, rulemaking, funding, and 
 22.29  evaluation of the programs under the sections listed in 
 22.30  subdivision 1; 
 22.31     (2) coordinate and exchange information on the 
 22.32  establishment and ongoing operation of the programs listed in 
 22.33  subdivision 1; 
 22.34     (3) develop and publish criteria and guidelines for 
 22.35  receiving grants relating to child abuse and neglect prevention 
 22.36  and intervention, and safety of child victims including, but not 
 23.1   limited to, funds dedicated to the children's trust fund and 
 23.2   abused children program; 
 23.3      (4) provide guidance in the development of statewide 
 23.4   education and public information activities that increase public 
 23.5   awareness in the prevention and intervention of child abuse and 
 23.6   neglect and encourage the development of prevention and 
 23.7   intervention programs, which includes the safety of child 
 23.8   victims; 
 23.9      (5) guide, analyze, and disseminate results in the 
 23.10  development of appropriate evaluation procedures for all 
 23.11  programs receiving funds under subdivision 1; and 
 23.12     (6) assist the commissioner in assessing service needs of 
 23.13  children at risk of and experiencing child abuse and neglect.  
 23.14  The assessments shall include a review of gaps or duplication in 
 23.15  services including geographic dispersion of resources, programs 
 23.16  reflecting the cycles of child abuse, and the availability of 
 23.17  culturally appropriate intervention and prevention services. 
 23.18     Sec. 8.  [APPROPRIATIONS.] 
 23.19     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 23.20  LEARNING.] The sums indicated in this section are appropriated 
 23.21  from the general fund, unless otherwise indicated, to the 
 23.22  department of children, families, and learning for the fiscal 
 23.23  years designated. 
 23.24     Subd. 2.  [FAMILY COLLABORATIVES.] For family 
 23.25  collaboratives according to Laws 1995, First Special Session 
 23.26  chapter 3, article 4, section 29, subdivision 10: 
 23.27       $1,477,000     .....     2002
 23.28       $863,000       .....     2003
 23.29     No new family services collaboratives shall be funded with 
 23.30  this appropriation after June 30, 1999. 
 23.31     Any balance in the first year does not cancel but is 
 23.32  available in the second year. 
 23.33     Subd. 3.  [COMMUNITY EDUCATION AID.] For community 
 23.34  education aid according to Minnesota Statutes, section 124D.20: 
 23.35       $14,209,000    .....     2002 
 23.36       $13,111,000    .....     2003 
 24.1      The 2002 appropriation includes $1,528,000 for 2001 and 
 24.2   $12,681,000 for 2002.  
 24.3      The 2003 appropriation includes $1,409,000 for 2002 and 
 24.4   $11,702,000 for 2003.  
 24.5      Any balance the first year does not cancel but is available 
 24.6   in the second year. 
 24.7      Subd. 4.  [ADULTS WITH DISABILITIES PROGRAM AID.] For 
 24.8   adults with disabilities programs according to Minnesota 
 24.9   Statutes, section 124D.56: 
 24.10       $710,000       .....     2002 
 24.11       $710,000       .....     2003 
 24.12     Any balance in the first year does not cancel but is 
 24.13  available in the second year. 
 24.14     Subd. 5.  [HEARING-IMPAIRED ADULTS.] For programs for 
 24.15  hearing-impaired adults according to Minnesota Statutes, section 
 24.16  124D.57: 
 24.17       $70,000        .....     2002
 24.18       $70,000        .....     2003
 24.19     Any balance in the first year does not cancel but is 
 24.20  available in the second year. 
 24.21     Subd. 6.  [VIOLENCE PREVENTION EDUCATION GRANTS.] For 
 24.22  violence prevention education grants according to Minnesota 
 24.23  Statutes, section 120B.23: 
 24.24       $1,450,000     .....     2002
 24.25       $1,450,000     .....     2003
 24.26     Any balance in the first year does not cancel but is 
 24.27  available in the second year. 
 24.28     Subd. 7.  [ABUSED CHILDREN.] For abused children programs 
 24.29  according to Minnesota Statutes, section 119A.21: 
 24.30       $945,000       .....     2002 
 24.31       $945,000       .....     2003 
 24.32     Any balance in the first year does not cancel but is 
 24.33  available in the second year. 
 24.34     Subd. 8.  [CHILDREN'S TRUST FUND.] For children's trust 
 24.35  fund according to Minnesota Statutes, sections 119A.12 and 
 24.36  119A.13: 
 25.1        $875,000       .....     2002
 25.2        $875,000       .....     2003
 25.3      Any balance in the first year does not cancel but is 
 25.4   available in the second year. 
 25.5      Subd. 9.  [FAMILY VISITATION CENTERS.] For family 
 25.6   visitation centers according to Minnesota Statutes, section 
 25.7   119A.37: 
 25.8        $200,000       .....     2002
 25.9        $200,000       .....     2003
 25.10     Subd. 10.  [AFTER SCHOOL ENRICHMENT GRANTS.] For after 
 25.11  school enrichment grants according to Minnesota Statutes, 
 25.12  section 124D.221:  
 25.13       $5,510,000     .....     2002
 25.14       $5,510,000     .....     2003
 25.15     Any balance in the first year does not cancel but is 
 25.16  available in the second year. 
 25.17     Subd. 11.  [CHEMICAL ABUSE PREVENTION GRANTS.] (a) For 
 25.18  grants with funds received under Minnesota Statutes, section 
 25.19  171.29, subdivision 2, paragraph (b), clause (4): 
 25.20       $200,000       .....     2002
 25.21       $200,000       .....     2003
 25.22     (b) These appropriations are from the alcohol-impaired 
 25.23  driver account of the special revenue fund for chemical abuse 
 25.24  prevention grants.  
 25.25     Sec. 9.  [REVISOR INSTRUCTION.] 
 25.26     In the next and subsequent editions of Minnesota Statutes 
 25.27  and Minnesota Rules, the revisor shall renumber Minnesota 
 25.28  Statutes, section 119A.13, subdivision 4, as Minnesota Statutes, 
 25.29  section 119A.12, subdivision 4, and make necessary 
 25.30  cross-reference changes consistent with the renumbering. 
 25.31     Sec. 10.  [REPEALER.] 
 25.32     Minnesota Statutes 2000, sections 119A.13, subdivisions 1, 
 25.33  2, and 3; 119A.14, subdivision 2; 119A.23; 124D.33; and 
 25.34  124D.331, are repealed. 
 25.35                             ARTICLE 3 
 25.36               SELF-SUFFICIENCY AND LIFELONG LEARNING 
 26.1      Section 1.  Minnesota Statutes 2000, section 124D.531, 
 26.2   subdivision 3, is amended to read: 
 26.3      Subd. 3.  [PROGRAM REVENUE.] Adult basic education programs 
 26.4   established under section 124D.52 and approved by the 
 26.5   commissioner are eligible for revenue under this subdivision.  
 26.6   For fiscal year 2001 and later, adult basic education revenue 
 26.7   for each approved program equals the sum of: 
 26.8      (1) the basic population aid under subdivision 2 for 
 26.9   districts participating in the program during the current 
 26.10  program year; plus 
 26.11     (2) 84 percent times the amount computed in subdivision 1, 
 26.12  paragraph (b), times the ratio of the contact hours for students 
 26.13  participating in the program during the first prior program year 
 26.14  to the state total contact hours during the first prior program 
 26.15  year; plus 
 26.16     (3) eight percent times the amount computed in subdivision 
 26.17  1, paragraph (b), times the ratio of the enrollment of students 
 26.18  with limited English proficiency during the second prior school 
 26.19  year in districts participating in the program during the 
 26.20  current program year to the state total enrollment of students 
 26.21  with limited English proficiency during the second prior school 
 26.22  year in districts participating in adult basic education 
 26.23  programs during the current program year; plus 
 26.24     (4) eight percent times the amount computed in subdivision 
 26.25  1, paragraph (b), times the ratio of the latest federal census 
 26.26  count of the number of adults aged 20 or older with no diploma 
 26.27  residing in the districts participating in the program during 
 26.28  the current program year to the latest federal census count of 
 26.29  the state total number of adults aged 20 or older with no 
 26.30  diploma residing in the districts participating in adult basic 
 26.31  education programs during the current program year. 
 26.32     Sec. 2.  [APPROPRIATIONS.] 
 26.33     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 26.34  LEARNING.] The sums indicated in this section are appropriated 
 26.35  from the general fund to the department of children, families, 
 26.36  and learning for the fiscal years designated. 
 27.1      Subd. 2.  [MINNESOTA ECONOMIC OPPORTUNITY GRANTS.] For 
 27.2   Minnesota economic opportunity grants: 
 27.3        $8,514,000     .....     2002
 27.4        $8,514,000     .....     2003
 27.5      Any balance in the first year does not cancel but is 
 27.6   available in the second year. 
 27.7      Subd. 3.  [TRANSITIONAL HOUSING PROGRAMS.] For transitional 
 27.8   housing programs according to Minnesota Statutes, section 
 27.9   119A.43: 
 27.10       $1,988,000     .....     2002
 27.11       $1,988,000     .....     2003
 27.12     Any balance in the first year does not cancel but is 
 27.13  available in the second year. 
 27.14     Subd. 4.  [EMERGENCY SERVICES.] For emergency services 
 27.15  according to Minnesota Statutes, section 119A.43: 
 27.16       $350,000       .....     2002
 27.17       $350,000       .....     2003
 27.18     Subd. 5.  [ADULT BASIC EDUCATION AID.] For adult basic 
 27.19  education aid according to Minnesota Statutes, section 124D.52 
 27.20  in fiscal year 2002 and Minnesota Statutes, section 124D.53 in 
 27.21  fiscal year 2003:  
 27.22       $32,325,000    .....     2002 
 27.23       $34,906,000    .....     2003 
 27.24     The 2002 appropriation includes $3,019,000 for 2001 and 
 27.25  $29,306,000 for 2002.  
 27.26     The 2003 appropriation includes $3,237,000 for 2002 and 
 27.27  $31,669,000 for 2003.  
 27.28     Subd. 6.  [ADULT GRADUATION AID.] For adult graduation aid 
 27.29  according to Minnesota Statutes, section 124D.54: 
 27.30       $3,195,000     .....     2002
 27.31       $3,356,000     .....     2003
 27.32     The 2002 appropriation includes $305,000 for 2001 and 
 27.33  $2,890,000 for 2002.  
 27.34     The 2003 appropriation includes $321,000 for 2002 and 
 27.35  $3,035,000 for 2003.  
 27.36     Subd. 7.  [GED TESTS.] For payment of 60 percent of the 
 28.1   costs of GED tests according to Laws 1993, chapter 224, article 
 28.2   4, section 44, subdivision 10: 
 28.3        $125,000       .....     2002
 28.4        $125,000       .....     2003
 28.5      Any balance in the first year does not cancel but is 
 28.6   available in the second year. 
 28.7      Subd. 8.  [FOOD BANK PROGRAM.] For foodshelf programs 
 28.8   according to Minnesota Statutes, section 119A.44: 
 28.9        $1,278,000     .....     2002
 28.10       $1,278,000     .....     2003
 28.11     Any balance in the first year does not cancel but is 
 28.12  available in the second year. 
 28.13     Subd. 9.  [FAMILY ASSETS FOR INDEPENDENCE.] 
 28.14       $500,000       .....     2002
 28.15     Any balance in the first year does not cancel but is 
 28.16  available in the second year. 
 28.17     Subd. 10.  [LEAD ABATEMENT.] For lead abatement according 
 28.18  to Minnesota Statutes, section 119A.46: 
 28.19       $100,000       .....     2002
 28.20       $100,000       .....     2003
 28.21                             ARTICLE 4 
 28.22                         GENERAL EDUCATION 
 28.23     Section 1.  Minnesota Statutes 2000, section 126C.05, 
 28.24  subdivision 1, is amended to read: 
 28.25     Subdivision 1.  [PUPIL UNIT.] Pupil units for each 
 28.26  Minnesota resident pupil in average daily membership enrolled in 
 28.27  the district of residence, in another district under sections 
 28.28  123A.05 to 123A.08, 124D.03, 124D.06, 124D.07, 124D.08, or 
 28.29  124D.68; in a charter school under section 124D.10; or for whom 
 28.30  the resident district pays tuition under section 123A.18, 
 28.31  123A.22, 123A.30, 123A.32, 123A.44, 123A.488, 123B.88, 
 28.32  subdivision 4, 124D.04, 124D.05, 125A.03 to 125A.24, 125A.51, or 
 28.33  125A.65, shall be counted according to this subdivision.  
 28.34     (a) A prekindergarten pupil with a disability who is 
 28.35  enrolled in a program approved by the commissioner and has an 
 28.36  individual education plan is counted as the ratio of the number 
 29.1   of hours of assessment and education service to 825 times 1.25 
 29.2   with a minimum of 0.28, but not more than 1.25. 
 29.3      (b) A prekindergarten pupil who is assessed but determined 
 29.4   not to be handicapped is counted as the ratio of the number of 
 29.5   hours of assessment service to 825 times 1.25.  
 29.6      (c) A kindergarten pupil with a disability who is enrolled 
 29.7   in a program approved by the commissioner is counted as the 
 29.8   ratio of the number of hours of assessment and education 
 29.9   services required in the fiscal year by the pupil's individual 
 29.10  education program plan to 875, but not more than one. 
 29.11     (d) A kindergarten pupil who is not included in paragraph 
 29.12  (c) is counted as .557 of a pupil unit for fiscal year ~~2000~~ 2002 
 29.13  and .5 of a pupil unit for fiscal year 2003 and thereafter. 
 29.14     (e) A pupil who is in any of grades 1 to 3 is counted as 
 29.15  1.115 pupil units for fiscal year ~~2000~~ 2002 and one pupil unit 
 29.16  for fiscal year 2003 and thereafter. 
 29.17     (f) A pupil who is any of grades 4 to 6 is counted as 1.06 
 29.18  pupil units for fiscal year ~~1995~~ 2002 and one pupil unit for 
 29.19  fiscal year 2003 and thereafter. 
 29.20     (g) A pupil who is in any of grades 7 to 12 is counted as 
 29.21  1.3 pupil units for fiscal year 2002 and 1.15 pupil units for 
 29.22  fiscal year 2003 and thereafter.  
 29.23     (h) A pupil who is in the post-secondary enrollment options 
 29.24  program is counted as 1.3 pupil units for fiscal year 2002 and 
 29.25  1.15 pupil units for fiscal year 2003 and thereafter.  
 29.26     Sec. 2.  Minnesota Statutes 2000, section 126C.10, 
 29.27  subdivision 1, is amended to read: 
 29.28     Subdivision 1.  [GENERAL EDUCATION REVENUE.] (a) For fiscal 
 29.29  year ~~2000 and thereafter~~ 2002, the general education revenue for 
 29.30  each district equals the sum of the district's basic revenue, 
 29.31  basic skills revenue, training and experience revenue, secondary 
 29.32  sparsity revenue, elementary sparsity revenue, transportation 
 29.33  sparsity revenue, total operating capital revenue, equity 
 29.34  revenue, ~~referendum offset adjustment,~~ transition revenue, and 
 29.35  supplemental revenue. 
 29.36     (b) For fiscal year 2003 and later, the general education 
 30.1   revenue for each district equals the sum of the district's basic 
 30.2   revenue, basic skills revenue, training and experience revenue, 
 30.3   secondary sparsity revenue, elementary sparsity revenue, 
 30.4   transportation sparsity revenue, total operating capital 
 30.5   revenue, pension adjustment revenue, and transition revenue. 
 30.6      Sec. 3.  Minnesota Statutes 2000, section 126C.10, 
 30.7   subdivision 2, is amended to read: 
 30.8      Subd. 2.  [BASIC REVENUE.] The basic revenue for each 
 30.9   district equals the formula allowance times the adjusted 
 30.10  marginal cost pupil units for the school year.  ~~The formula~~ 
 30.11  ~~allowance for fiscal year 1998 is $3,581.  The formula allowance~~ 
 30.12  ~~for fiscal year 1999 is $3,530.  The formula allowance for~~ 
 30.13  ~~fiscal year 2000 is $3,740.~~  The formula allowance for fiscal 
 30.14  ~~year~~ years 2001 and ~~subsequent fiscal years~~ 2002 is 
 30.15  $3,964.  The formula allowance for fiscal year 2003 and later is 
 30.16  $4,461. 
 30.17     Sec. 4.  Minnesota Statutes 2000, section 126C.10, 
 30.18  subdivision 3, is amended to read: 
 30.19     Subd. 3.  [COMPENSATORY EDUCATION REVENUE.] For fiscal year 
 30.20  2002, the compensatory education revenue for each building in 
 30.21  the district equals the formula allowance times the compensation 
 30.22  revenue pupil units computed according to section 126C.05, 
 30.23  subdivision 3.  For fiscal year 2003 and later, the compensatory 
 30.24  education revenue for each building in the district equals the 
 30.25  formula allowance minus $443 times the compensation revenue 
 30.26  pupil units computed according to section 126C.05, subdivision 
 30.27  3.  Revenue shall be paid to the district and must be allocated 
 30.28  according to section 126C.15, subdivision 2. 
 30.29     Sec. 5.  Minnesota Statutes 2000, section 126C.10, 
 30.30  subdivision 4, is amended to read: 
 30.31     Subd. 4.  [BASIC SKILLS REVENUE.] (a) For fiscal year ~~1999~~ 
 30.32  ~~and thereafter~~ 2002, a school district's basic skills revenue 
 30.33  equals the sum of: 
 30.34     (1) compensatory revenue under subdivision 3; plus 
 30.35     (2) limited English proficiency revenue according to 
 30.36  section 124D.65, subdivision 5; plus 
 31.1      (3) $190 times the limited English proficiency pupil units 
 31.2   according to section 126C.05, subdivision 17; plus 
 31.3      (4) $22.50 times the number of adjusted marginal cost pupil 
 31.4   units in kindergarten to grade 8. 
 31.5      (b) For fiscal year 2003 and later, a school district's 
 31.6   basic skills revenue equals the sum of: 
 31.7      (1) compensatory revenue under subdivision 3; plus 
 31.8      (2) limited English proficiency revenue under section 
 31.9   124D.65, subdivision 5; plus 
 31.10     (3) $190 times the limited English proficiency pupil units 
 31.11  under section 126C.05, subdivision 17. 
 31.12     Sec. 6.  Minnesota Statutes 2000, section 126C.10, 
 31.13  subdivision 5, is amended to read: 
 31.14     Subd. 5.  [TRAINING AND EXPERIENCE REVENUE.] (a) For fiscal 
 31.15  year 2002, the training and experience revenue for each district 
 31.16  equals the greater of zero or the result of the following 
 31.17  computation:  
 31.18     (1) subtract .8 from the training and experience index; 
 31.19     (2) multiply the result in clause (1) by the product of 
 31.20  $660 times the adjusted marginal cost pupil units for the school 
 31.21  year.  
 31.22     (b) For fiscal year 2003, a school district's training and 
 31.23  experience revenue equals the district's fiscal year 2001 
 31.24  training and experience revenue per adjusted marginal cost pupil 
 31.25  unit, times 44.4 percent, times the adjusted marginal cost pupil 
 31.26  units for the school year. 
 31.27     (c) For fiscal year 2004, a school district's training and 
 31.28  experience revenue equals the district's fiscal year 2001 
 31.29  training and experience revenue per adjusted marginal cost pupil 
 31.30  unit, times 22.2 percent, times the adjusted marginal cost pupil 
 31.31  units for the school year. 
 31.32     (d) For fiscal year 2005 and later, a school district's 
 31.33  training and experience revenue equals zero. 
 31.34     Sec. 7.  Minnesota Statutes 2000, section 126C.10, 
 31.35  subdivision 7, is amended to read: 
 31.36     Subd. 7.  [SECONDARY SPARSITY REVENUE.] (a) For fiscal year 
 32.1   2002, a district's secondary sparsity revenue for a school year 
 32.2   equals the sum of the results of the following calculation for 
 32.3   each qualifying high school in the district: 
 32.4      (1) the formula allowance for the school year, multiplied 
 32.5   by 
 32.6      (2) the secondary average daily membership of pupils served 
 32.7   in the high school, multiplied by 
 32.8      (3) the quotient obtained by dividing 400 minus the 
 32.9   secondary average daily membership by 400 plus the secondary 
 32.10  daily membership, multiplied by 
 32.11     (4) the lesser of 1.5 or the quotient obtained by dividing 
 32.12  the isolation index minus 23 by ten. 
 32.13     (b) For fiscal year 2003 and later, a district's secondary 
 32.14  sparsity revenue for a school year equals the sum of the results 
 32.15  of the following calculation for each qualifying high school in 
 32.16  the district: 
 32.17     (1) the formula allowance for the school year minus $443, 
 32.18  multiplied by 
 32.19     (2) the secondary average daily membership of pupils served 
 32.20  in the high school, multiplied by 
 32.21     (3) the quotient obtained by dividing 400 minus the 
 32.22  secondary average daily membership by 400 plus the secondary 
 32.23  daily membership, multiplied by 
 32.24     (4) the lesser of 1.5 or the quotient obtained by dividing 
 32.25  the isolation index minus 23 by ten. 
 32.26     (c) A newly formed district that is the result of districts 
 32.27  combining under the cooperation and combination program or 
 32.28  consolidating under section 123A.48 must receive secondary 
 32.29  sparsity revenue equal to the greater of:  (1) the amount 
 32.30  calculated under paragraph (a) for the combined district; or (2) 
 32.31  the sum of the amounts of secondary sparsity revenue the former 
 32.32  districts had in the year prior to consolidation, increased for 
 32.33  any subsequent changes in the secondary sparsity formula. 
 32.34     Sec. 8.  Minnesota Statutes 2000, section 126C.10, 
 32.35  subdivision 8, is amended to read: 
 32.36     Subd. 8.  [ELEMENTARY SPARSITY REVENUE.] (a) For fiscal 
 33.1   year 2002, a district's elementary sparsity revenue equals the 
 33.2   sum of the following amounts for each qualifying elementary 
 33.3   school in the district:  
 33.4      (1) the formula allowance for the year, multiplied by 
 33.5      (2) the elementary average daily membership of pupils 
 33.6   served in the school, multiplied by 
 33.7      (3) the quotient obtained by dividing 140 minus the 
 33.8   elementary average daily membership by 140 plus the average 
 33.9   daily membership. 
 33.10     (b) For fiscal year 2003 and later, a district's elementary 
 33.11  sparsity revenue equals the sum of the following amounts for 
 33.12  each qualifying elementary school in the district: 
 33.13     (1) the formula allowance for the year minus $443, 
 33.14  multiplied by 
 33.15     (2) the elementary average daily membership of pupils 
 33.16  served in the school, multiplied by 
 33.17     (3) the quotient obtained by dividing 140 minus the 
 33.18  elementary average daily membership by 140 plus the average 
 33.19  daily membership. 
 33.20     Sec. 9.  Minnesota Statutes 2000, section 126C.10, 
 33.21  subdivision 9, is amended to read: 
 33.22     Subd. 9.  [SUPPLEMENTAL REVENUE.] (a) A district's 
 33.23  supplemental revenue allowance for fiscal year ~~1994 and later~~ 
 33.24  ~~fiscal years~~ 2002 equals the district's supplemental revenue for 
 33.25  fiscal year 1993 divided by the district's 1992-1993 resident 
 33.26  pupil units. 
 33.27     (b) A district's supplemental revenue allowance is reduced 
 33.28  for fiscal year ~~1995 and later~~ 2002 according to subdivision 12. 
 33.29     (c) A district's supplemental revenue equals the 
 33.30  supplemental revenue allowance, if any, times its adjusted 
 33.31  marginal cost pupil units for that year.  
 33.32     (d) A district may cancel its supplemental revenue by 
 33.33  notifying the commissioner of education prior to June 30, 1994.  
 33.34  A district that is reorganizing under section 123A.35, 123A.46, 
 33.35  or 123A.48 may cancel its supplemental revenue by notifying the 
 33.36  commissioner of children, families, and learning before July 1 
 34.1   of the year of the reorganization.  If a district cancels its 
 34.2   supplemental revenue according to this paragraph, its 
 34.3   supplemental revenue allowance for fiscal year 1993 for purposes 
 34.4   of subdivision 12 and section 124A.03, subdivision 3b, equals 
 34.5   zero. 
 34.6      Sec. 10.  Minnesota Statutes 2000, section 126C.10, 
 34.7   subdivision 13, is amended to read: 
 34.8      Subd. 13.  [TOTAL OPERATING CAPITAL REVENUE.] (a) For 
 34.9   fiscal year ~~2000 and thereafter~~ 2002, total operating capital 
 34.10  revenue for a district equals the amount determined under 
 34.11  paragraph (b) or ~~(c)~~ (e), plus $73 times the adjusted marginal 
 34.12  cost pupil units for the school year.  The revenue must be 
 34.13  placed in a reserved account in the general fund and may only be 
 34.14  used according to paragraph ~~(d)~~ (f) or subdivision 14. 
 34.15     (b) For fiscal ~~years 2000 and later~~ year 2002, capital 
 34.16  revenue for a district equals $100 times the district's 
 34.17  maintenance cost index times its adjusted marginal cost pupil 
 34.18  units for the school year. 
 34.19     (c) For fiscal year 2003 and later, total operating capital 
 34.20  revenue for a district equals the amount determined under 
 34.21  paragraph (b) or (e), plus $81 times the adjusted marginal cost 
 34.22  pupil units for the school year.  The revenue must be placed in 
 34.23  a reserved account in the general fund and may only be used 
 34.24  according to paragraph (f) or subdivision 14. 
 34.25     (d) For fiscal year 2003 and later, capital revenue for a 
 34.26  district equals $111 times the district's maintenance cost index 
 34.27  times its adjusted marginal cost pupil units for the school year.
 34.28     (e) For fiscal years 2000 and later, the revenue for a 
 34.29  district that operates a program under section 124D.128, is 
 34.30  increased by an amount equal to $30 times the number of marginal 
 34.31  cost pupil units served at the site where the program is 
 34.32  implemented. 
 34.33     ~~(d)~~ (f) For fiscal years 2001 and 2002, the district must 
 34.34  reserve an amount equal to $5 per adjusted marginal cost pupil 
 34.35  unit for telecommunication access costs.  Reserve revenue under 
 34.36  this paragraph must first be used to pay for ongoing or 
 35.1   recurring telecommunication access costs, including access to 
 35.2   data lines, video lines, or Internet access.  Any revenue 
 35.3   remaining after covering all ongoing or recurring access costs 
 35.4   may be used for computer hardware or equipment. 
 35.5      Sec. 11.  Minnesota Statutes 2000, section 126C.10, 
 35.6   subdivision 18, is amended to read: 
 35.7      Subd. 18.  [TRANSPORTATION SPARSITY REVENUE ALLOWANCE.] (a) 
 35.8   For fiscal year 2002, a district's transportation sparsity 
 35.9   allowance equals the greater of zero or the result of the 
 35.10  following computation: 
 35.11     (i) Multiply the formula allowance according to subdivision 
 35.12  2, by .1469. 
 35.13     (ii) Multiply the result in clause (i) by the district's 
 35.14  sparsity index raised to the 26/100 power. 
 35.15     (iii) Multiply the result in clause (ii) by the district's 
 35.16  density index raised to the 13/100 power. 
 35.17     (iv) Multiply the formula allowance according to 
 35.18  subdivision 2, by .0485. 
 35.19     (v) Subtract the result in clause (iv) from the result in 
 35.20  clause (iii). 
 35.21     (b) For fiscal year 2003 and later, a district's 
 35.22  transportation sparsity allowance equals the greater of zero or 
 35.23  the result of the following computation: 
 35.24     (i) Multiply the formula allowance according to subdivision 
 35.25  2, by .14. 
 35.26     (ii) Multiply the result in clause (i) by the district's 
 35.27  sparsity index raised to the 28/100 power. 
 35.28     (iii) Multiply the result in clause (ii) by the district's 
 35.29  density index raised to the 14/100 power. 
 35.30     (iv) Multiply the formula allowance according to 
 35.31  subdivision 2, by .0425. 
 35.32     (v) Subtract the result in clause (iv) from the result in 
 35.33  clause (iii). 
 35.34     (c) Transportation sparsity revenue is equal to the 
 35.35  transportation sparsity allowance times the adjusted marginal 
 35.36  cost pupil units. 
 36.1      Sec. 12.  Minnesota Statutes 2000, section 126C.10, 
 36.2   subdivision 19, is amended to read: 
 36.3      Subd. 19.  [TRANSITION ALLOWANCE.] (a) A district's 
 36.4   transportation transition allowance for fiscal year ~~1998 and~~ 
 36.5   ~~later~~ 2002 equals the result of the following: 
 36.6      (1) if the result in subdivision 18, paragraph (a), clause 
 36.7   (iii), for fiscal year 1998 is less than the fiscal year 1996 
 36.8   base allowance, the transportation transition allowance equals 
 36.9   the fiscal year 1996 base allowance minus the result in 
 36.10  subdivision 18, paragraph (a), clause (iii); or 
 36.11     (2) if the result in subdivision 18, paragraph (a), clause 
 36.12  (iii), for fiscal year 1998 and later is greater than or equal 
 36.13  to the fiscal year 1996 base allowance, the transportation 
 36.14  transition allowance equals zero. 
 36.15     (b) A district's compensatory transition allowance for 
 36.16  fiscal year 2002 equals the greater of zero or the difference 
 36.17  between:  
 36.18     (1) the amount of compensatory revenue the district would 
 36.19  have received under Minnesota Statutes 1996, section 124A.22, 
 36.20  subdivision 3, for fiscal year 1998 computed using a basic 
 36.21  formula allowance of $3,281; and 
 36.22     (2) the amount the district receives under subdivision 3; 
 36.23  divided by 
 36.24     (3) the district's actual pupil units for fiscal year 1998. 
 36.25     (c) A district's cooperation transition allowance for 
 36.26  fiscal year ~~2001 and later~~ 2002 equals the greater of zero or 
 36.27  the difference between:  
 36.28     (1) $25,000; and 
 36.29     (2) $67 times the district's resident pupil units for 
 36.30  fiscal year 2001; divided by 
 36.31     (3) the district's resident pupil units for fiscal year 
 36.32  2001. 
 36.33     (d) A district's transition allowance for ~~fiscal years 1999~~ 
 36.34  ~~and 2000 is equal to the sum of its transportation transition~~ 
 36.35  ~~allowance and its compensatory transition allowance.  A~~ 
 36.36  ~~district's transition allowance for~~ fiscal year ~~2001 and~~ 
 37.1   ~~thereafter~~ 2002 is equal to the sum of its transportation 
 37.2   transition allowance, its compensatory transition allowance, and 
 37.3   its cooperation transition allowance. 
 37.4      (e) A district's transition allowance for fiscal years 
 37.5   2003, 2004, and 2005 equals the greater of zero or the 
 37.6   difference between: 
 37.7      (1) the sum of the amounts the district would have received 
 37.8   under Minnesota Statutes 2000, sections 126C.10, 126C.17, and 
 37.9   127A.50 for fiscal year 2003; and 
 37.10     (2) the sum of the amounts the district receives for fiscal 
 37.11  year 2003 under sections 126C.10, excluding transition revenue, 
 37.12  and 126C.17; divided by 
 37.13     (3) the district's adjusted marginal cost pupil units for 
 37.14  fiscal year 2003. 
 37.15     (f) A district's transition allowance for fiscal year 2006 
 37.16  and later equals zero. 
 37.17     Sec. 13.  Minnesota Statutes 2000, section 126C.10, 
 37.18  subdivision 20, is amended to read: 
 37.19     Subd. 20.  [TRANSITION REVENUE ~~ADJUSTMENT~~.] A district's 
 37.20  transition revenue ~~adjustment~~ equals the district's transition 
 37.21  allowance times the adjusted marginal cost pupil units for the 
 37.22  school year. 
 37.23     Sec. 14.  Minnesota Statutes 2000, section 126C.10, 
 37.24  subdivision 21, is amended to read: 
 37.25     Subd. 21.  [TRANSITION LEVY ~~ADJUSTMENT~~.] (a) A district's 
 37.26  ~~general education levy shall be adjusted by an amount equal to~~ 
 37.27  transition levy for fiscal year 2002 equals the district's 
 37.28  transition revenue times the lesser of 1 or the ratio of its 
 37.29  adjusted net tax capacity per adjusted marginal cost pupil unit 
 37.30  to $8,404. 
 37.31     (b) A district's transition levy for fiscal years 2003, 
 37.32  2004, and 2005 equals the district's transition revenue times 
 37.33  the lesser of 1 or the ratio of its adjusted net tax capacity 
 37.34  per adjusted marginal cost pupil unit to $4,000. 
 37.35     Sec. 15.  Minnesota Statutes 2000, section 126C.10, 
 37.36  subdivision 22, is amended to read: 
 38.1      Subd. 22.  [TRANSITION AID ~~ADJUSTMENT~~.] A district's 
 38.2   transition aid ~~adjustment~~ is the difference between the 
 38.3   transition revenue and the transition levy. 
 38.4      Sec. 16.  Minnesota Statutes 2000, section 126C.10, is 
 38.5   amended by adding a subdivision to read: 
 38.6      Subd. 29.  [PENSION ADJUSTMENT REVENUE.] For fiscal year 
 38.7   2003 and later, the pension adjustment revenue for a district 
 38.8   required to make an additional employer contribution for teacher 
 38.9   retirement under section 354A.12, subdivision 2a, equals $60 
 38.10  times the adjusted marginal cost pupil units for the school year.
 38.11     Sec. 17.  Minnesota Statutes 2000, section 126C.12, 
 38.12  subdivision 1, is amended to read: 
 38.13     Subdivision 1.  [REVENUE.] (a) Of a district's general 
 38.14  education revenue for fiscal year ~~2000 and thereafter~~ 2002 each 
 38.15  school district shall reserve an amount equal to the formula 
 38.16  allowance multiplied by the following calculation: 
 38.17     (1) the sum of adjusted marginal cost pupils in average 
 38.18  daily membership, according to section 126C.05, subdivision 5, 
 38.19  in kindergarten times .057; plus 
 38.20     (2) the sum of adjusted marginal cost pupils in average 
 38.21  daily membership, according to section 126C.05, subdivision 5, 
 38.22  in grades 1 to 3 times .115; plus 
 38.23     (3) the sum of adjusted marginal cost pupils in average 
 38.24  daily membership, according to section 126C.05, subdivision 5, 
 38.25  in grades 4 to 6 times .06. 
 38.26     (b) Of a district's general education revenue for fiscal 
 38.27  year 2003 and later, each school district shall reserve an 
 38.28  amount equal to: 
 38.29     (i) the product of the formula allowance; times 
 38.30     (ii) eight percent; times 
 38.31     (iii) the sum of adjusted marginal cost pupil units 
 38.32  according to section 126C.05, subdivision 5, in kindergarten 
 38.33  through grade 6. 
 38.34     Sec. 18.  Minnesota Statutes 2000, section 126C.16, is 
 38.35  amended by adding a subdivision to read: 
 38.36     Subd. 4.  [PUPIL WEIGHTING ADJUSTMENT.] (a) The department 
 39.1   must adjust each district's referendum allowance for referendum 
 39.2   authority approved before July 1, 2001, for fiscal year 2003 and 
 39.3   all later years for which the revenue is authorized according to 
 39.4   this subdivision.  The adjusted referendum allowance equals the 
 39.5   referendum allowance according to subdivision 3 and section 
 39.6   126C.17, times the ratio of the number of resident marginal cost 
 39.7   pupil units the district would have counted for fiscal year 2003 
 39.8   under Minnesota Statutes 2000, section 126C.05, subdivision 6, 
 39.9   to the district's resident marginal cost pupil units for fiscal 
 39.10  year 2003. 
 39.11     (b) For fiscal year 2003 and later, the department must 
 39.12  adjust the fiscal year 1994 referendum allowance used in 
 39.13  computing the referendum allowance limit under section 126C.17, 
 39.14  subdivision 2, according to this subdivision.  The adjusted 
 39.15  fiscal year 1994 referendum allowance for a district equals the 
 39.16  district's fiscal year 1994 referendum allowance times the ratio 
 39.17  of the number of resident marginal cost pupil units the district 
 39.18  would have counted for fiscal year 2003 under section 126C.05, 
 39.19  subdivision 6, to the district's resident marginal cost pupil 
 39.20  units for fiscal year 2003. 
 39.21     Sec. 19.  Minnesota Statutes 2000, section 126C.17, 
 39.22  subdivision 2, is amended to read: 
 39.23     Subd. 2.  [REFERENDUM ALLOWANCE LIMIT.] (a) Notwithstanding 
 39.24  subdivision 1, for fiscal years 2003, 2004, and 2005, a 
 39.25  district's referendum allowance must not exceed the greater of:  
 39.26     (1) the district's referendum allowance for fiscal year 
 39.27  1994 as adjusted according to section 126C.16, subdivision 4; 
 39.28     (2) 25 percent of the formula allowance; or 
 39.29     (3) for a newly reorganized district created after July 1, 
 39.30  1994, the sum of the referendum revenue authority for the 
 39.31  reorganizing districts for the fiscal year preceding the 
 39.32  reorganization, divided by the sum of the resident marginal cost 
 39.33  pupil units of the reorganizing districts for the fiscal year 
 39.34  preceding the reorganization. 
 39.35     (b) Notwithstanding subdivision 1, for fiscal year 2006 and 
 39.36  later, a district's referendum allowance must not exceed the 
 40.1   greater of: 
 40.2      (1) the sum of the district's referendum allowance for 
 40.3   fiscal year 1994, as adjusted according to section 126C.16, 
 40.4   subdivision 4, and the district's transition allowance for 
 40.5   fiscal year 2003 according to section 126C.10, subdivision 19; 
 40.6      (2) 25 percent of the formula allowance; or 
 40.7      (3) for a newly reorganized district created after July 1, 
 40.8   1994, the sum of the referendum revenue authority for the 
 40.9   reorganizing districts for the fiscal year preceding the 
 40.10  reorganization, divided by the sum of the resident marginal cost 
 40.11  pupil units of the reorganizing districts for the fiscal year 
 40.12  preceding the reorganization. 
 40.13     Sec. 20.  [EDUCATION FORMULA ADJUSTMENTS.] 
 40.14     For fiscal year 2003 and thereafter, the commissioner of 
 40.15  children, families, and learning shall, in consultation with the 
 40.16  commissioner of finance, make the adjustments required by this 
 40.17  section to neutralize the effect of the changes in pupil unit 
 40.18  weights under Minnesota Statutes, section 126C.05, subdivision 
 40.19  1, included in this article.  Each revenue allowance and 
 40.20  equalizing factor established under Minnesota Statutes, chapters 
 40.21  123B, 124D, and 126C, excluding Minnesota Statutes, sections 
 40.22  126C.10 and 126C.17, as an amount per pupil unit, shall be 
 40.23  increased by 11 percent. 
 40.24     Sec. 21.  [APPROPRIATIONS.] 
 40.25     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 40.26  LEARNING.] The sums indicated in this section are appropriated 
 40.27  from the general fund to the department of children, families, 
 40.28  and learning for the fiscal years designated.  
 40.29     Subd. 2.  [GENERAL AND SUPPLEMENTAL EDUCATION AID.] For 
 40.30  general and supplemental education aid:  
 40.31       $3,277,505     .....     2002
 40.32       $3,323,881     .....     2003
 40.33     The 2002 appropriation includes $319,977 for 2001 and 
 40.34  $2,957,528 for 2002.  
 40.35     The 2003 appropriation includes $318,633 for 2002 and 
 40.36  $3,005,248 for 2003.  
 41.1      Subd. 3.  [TRANSPORTATION AID FOR ENROLLMENT OPTIONS.] For 
 41.2   transportation of pupils attending post-secondary institutions 
 41.3   according to Minnesota Statutes, section 124D.09, or for 
 41.4   transportation of pupils attending nonresident districts 
 41.5   according to Minnesota Statutes, section 124D.03: 
 41.6        $70,000        .....     2002
 41.7        $80,000        .....     2003
 41.8      Any balance in the first year does not cancel but is 
 41.9   available in the second year. 
 41.10     Subd. 4.  [RICHFIELD AIRPORT IMPACT AID.] For Richfield 
 41.11  airport impact aid according to Laws 2000, chapter 489, article 
 41.12  2, section 36: 
 41.13       $1,057,000     .....     2003
 41.14     Subd. 5.  [ABATEMENT AID.] For abatement aid according to 
 41.15  Minnesota Statutes, section 127A.49:  
 41.16       $6,522,000     .....     2002 
 41.17       $6,653,000     .....     2003 
 41.18     The 2002 appropriation includes $640,000 for 2001 and 
 41.19  $5,882,000 for 2002.  
 41.20     The 2003 appropriation includes $653,000 for 2002 and 
 41.21  $6,000,000 for 2003.  
 41.22     Subd. 6.  [NONPUBLIC PUPIL AID.] For nonpublic pupil 
 41.23  education aid according to Minnesota Statutes, sections 123.79 
 41.24  and 123B.40 to 123B.43: 
 41.25       $13,277,000    .....     2002 
 41.26       $13,872,000    .....     2003 
 41.27     The 2002 appropriation includes $1,280,000 for 2001 and 
 41.28  $11,997,000 for 2002. 
 41.29     The 2003 appropriation includes $1,332,000 for 2002 and 
 41.30  $12,540,000 for 2003. 
 41.31     Subd. 7.  [NONPUBLIC PUPIL TRANSPORTATION.] For nonpublic 
 41.32  pupil transportation aid under Minnesota Statutes, section 
 41.33  123B.92, subdivision 9: 
 41.34       $20,821,000     .....     2002 
 41.35       $21,939,000     .....     2003 
 41.36     The 2002 appropriation includes $2,066,000 for 2001 and 
 42.1   $18,755,000 for 2002. 
 42.2      The 2003 appropriation includes $2,084,000 for 2002 and 
 42.3   $19,855,000 for 2003. 
 42.4      Subd. 8.  [CONSOLIDATION TRANSITION AID.] For districts 
 42.5   consolidating under Minnesota Statutes, section 123A.485: 
 42.6        $791,000        .....     2002 
 42.7        $803,000        .....     2003 
 42.8      The 2002 appropriation includes $44,000 for 2001 and 
 42.9   $747,000 for 2002. 
 42.10     The 2003 appropriation includes $83,000 for 2002 and 
 42.11  $720,000 for 2003. 
 42.12     Any balance in the first year does not cancel but is 
 42.13  available in the second year. 
 42.14     Sec. 22.  [REPEALER.] 
 42.15     (a) Minnesota Statutes 2000, sections 126C.10, subdivisions 
 42.16  9, 10, 11, 12, 24, 25, 26, 27, and 28; 126C.11; and 127A.50, are 
 42.17  repealed effective for revenue for fiscal year 2003. 
 42.18     (b) Minnesota Statutes 2000, section 126C.10, subdivision 
 42.19  23, is repealed effective for revenue for fiscal year 2002. 
 42.20                             ARTICLE 5 
 42.21                        EDUCATION EXCELLENCE 
 42.22     Section 1.  Minnesota Statutes 2000, section 120B.30, 
 42.23  subdivision 1, is amended to read: 
 42.24     Subdivision 1.  [STATEWIDE TESTING.] (a) The commissioner, 
 42.25  with advice from experts with appropriate technical 
 42.26  qualifications and experience and stakeholders, shall include in 
 42.27  the comprehensive assessment system, for each grade level to be 
 42.28  tested, a test, which shall be aligned with the state's 
 42.29  graduation standards and administered annually to all students 
 42.30  in the third, fifth, seventh, and eighth grades.  The 
 42.31  commissioner shall establish one or more months during which 
 42.32  schools shall administer the tests to students each school 
 42.33  year.  Only Minnesota basic skills tests in reading, 
 42.34  mathematics, and writing shall fulfill students' basic skills 
 42.35  testing requirements for a passing state notation.  The passing 
 42.36  scores of the state tests in reading and mathematics are the 
 43.1   equivalent of:  
 43.2      (1) 70 percent correct for students entering grade 9 in 
 43.3   1996; and 
 43.4      (2) 75 percent correct for students entering grade 9 in 
 43.5   1997 and thereafter, as based on the first uniform test 
 43.6   administration of February 1998.  
 43.7      ~~Notwithstanding Minnesota Rules, part 3501.0050, subpart 2,~~ 
 43.8   ~~at the written request of a parent or guardian, and with the~~ 
 43.9   ~~recommendation of the student's teacher, a district may offer~~ 
 43.10  ~~the test of basic requirements in reading, math, or writing to~~ 
 43.11  ~~an individual student beginning in grade 5.  The student must~~ 
 43.12  ~~take the same test on the same date as administered to students~~ 
 43.13  ~~in eighth grade or higher.~~  Third ~~and~~, fifth, and seventh grade 
 43.14  test results shall be available to districts for diagnostic 
 43.15  purposes affecting student learning and district instruction and 
 43.16  curriculum, and for establishing educational accountability.  
 43.17  The commissioner must disseminate to the public the third ~~and~~, 
 43.18  fifth, and seventh grade test results upon receiving those 
 43.19  results. 
 43.20     (b) In addition, at the ~~secondary~~ high school level, 
 43.21  districts shall assess student performance in ~~all required~~ 
 43.22  ~~learning areas and selected required standards within each area~~ 
 43.23  ~~of the profile of learning~~ mathematics, reading, and writing.  
 43.24  The testing instruments and testing process shall be determined 
 43.25  by the commissioner.  The results shall be aggregated at the 
 43.26  site and district level.  The testing shall be administered 
 43.27  beginning in the 1999-2000 school year and thereafter. 
 43.28     (c) The commissioner shall report school site and school 
 43.29  district student academic achievement levels of the current and 
 43.30  two immediately preceding school years.  The report shall 
 43.31  include students' unweighted mean test scores in each tested 
 43.32  subject, the unweighted mean test scores of only those students 
 43.33  enrolled in the school by ~~January~~ October 1 of the ~~previous~~ 
 43.34  current school year, and the unweighted test scores of all 
 43.35  students except those students receiving limited English 
 43.36  proficiency instruction.  The report also shall record 
 44.1   separately, in proximity to the reported performance levels, the 
 44.2   percentage of students of each gender and the percentages of 
 44.3   students who are eligible to receive a free or reduced price 
 44.4   school meal, demonstrate limited English proficiency, are 
 44.5   identified as migrant students, are a member of a major ethnic 
 44.6   or racial population, or are eligible to receive special 
 44.7   education services. 
 44.8      (d) In addition to the testing and reporting requirements 
 44.9   under paragraphs (a), (b), and (c), the commissioner shall 
 44.10  include the following components in the statewide public 
 44.11  reporting system: 
 44.12     (1) uniform statewide testing of all third, fifth, seventh, 
 44.13  eighth, and post-eighth grade students that provides exemptions, 
 44.14  only with parent or guardian approval, for those very few 
 44.15  students for whom the student's individual education plan team 
 44.16  under sections 125A.05 and 125A.06, determines that the student 
 44.17  is incapable of taking a statewide test, or for a limited 
 44.18  English proficiency student under section 124D.59, subdivision 
 44.19  2, if the student has been in the United States for fewer than 
 44.20  12 months and for whom special language barriers exist, such as 
 44.21  the student's native language does not have a written form or 
 44.22  the district does not have access to appropriate interpreter 
 44.23  services for the student's native language; 
 44.24     (2) educational indicators that can be aggregated and 
 44.25  compared across school districts and across time on a statewide 
 44.26  basis, including average daily attendance, high school 
 44.27  graduation rates, and high school drop-out rates by age and 
 44.28  grade level; 
 44.29     (3) students' scores on the American College Test; and 
 44.30     (4) participation in the National Assessment of Educational 
 44.31  Progress so that the state can benchmark its performance against 
 44.32  the nation and other states, and, where possible, against other 
 44.33  countries, and contribute to the national effort to monitor 
 44.34  achievement. 
 44.35     (e) Districts must report exemptions under paragraph (d), 
 44.36  clause (1), to the commissioner consistent with a format 
 45.1   provided by the commissioner. 
 45.2      Sec. 2.  Minnesota Statutes 2000, section 120B.35, is 
 45.3   amended to read: 
 45.4      120B.35 [STUDENT ACADEMIC ACHIEVEMENT LEVELS.] 
 45.5      (a) Each school year, a school district must determine if 
 45.6   the student achievement levels at each school site meet state 
 45.7   and local expectations.  If student achievement levels at a 
 45.8   school site do not meet state and local expectations and the 
 45.9   site has not made adequate yearly progress for two ~~out of three~~ 
 45.10  consecutive school years, beginning with the ~~2000-2001~~ 2001-2002 
 45.11  school year, the district must work with the school site to 
 45.12  adopt a plan to raise student achievement levels to meet state 
 45.13  and local expectations.  ~~The legislature will determine state~~ 
 45.14  ~~expectations after receiving a recommendation from~~ The 
 45.15  commissioner of children, families, and learning shall establish 
 45.16  the student academic achievement levels as described under 
 45.17  paragraph (b).  
 45.18     (b) The commissioner shall establish a statewide continuous 
 45.19  improvement system that includes all of the following components:
 45.20     (1) consistent student academic achievement levels for 
 45.21  every school site and district in the state using scores from 
 45.22  the Minnesota comprehensive assessments beginning in school year 
 45.23  2001-2002; 
 45.24     (2) a minimum average scale score for each Minnesota 
 45.25  comprehensive assessment that will be established as the state's 
 45.26  target score for every grade and subject tested.  The 
 45.27  commissioner will determine these scores after receiving advice 
 45.28  from experts with appropriate technical qualifications and 
 45.29  experience and affected stakeholders; 
 45.30     (3) student achievement levels representing challenging 
 45.31  standards of performance for all children.  The average scale 
 45.32  score established as the state's target score must, at a 
 45.33  minimum, represent a student performance level indicating 
 45.34  beginning proficiency in the subject tested; 
 45.35     (4) a five-year cycle for school sites and districts to 
 45.36  meet the state's expectations for student achievement levels.  
 46.1   School sites and districts with an average scale score below the 
 46.2   target score in any subject must make adequate yearly progress 
 46.3   toward the state's expected score as defined by the 
 46.4   commissioner; 
 46.5      (5) reporting of school sites and districts not making 
 46.6   adequate yearly progress for two consecutive years.  These 
 46.7   schools shall be identified as "in need of improvement."  
 46.8   Schools below the state target but making adequate yearly 
 46.9   progress shall be classified as "making progress."  Schools with 
 46.10  average scale scores above the state target shall be classified 
 46.11  as "exceeding state expectations."  In addition, the department 
 46.12  shall provide for public access to school performance indicators 
 46.13  as provided for in paragraph (e); 
 46.14     (6) continuous improvement plans developed as provided for 
 46.15  in paragraph (a) and described in paragraph (c).  The 
 46.16  department, at a district's request, must assist the district 
 46.17  and the school site in developing a plan to improve student 
 46.18  achievement.  The plan must include parental involvement 
 46.19  components; and 
 46.20     (7) a system of technical assistance for schools and 
 46.21  districts not meeting state expectations as provided for in 
 46.22  paragraph (d). 
 46.23     (c) School sites identified as "in need of improvement" 
 46.24  shall develop continuous improvement plans in order to meet 
 46.25  state and local expectations for student academic achievement.  
 46.26  Continuous improvement plans must contain all of the following: 
 46.27     (1) a self-study on eight components of quality education 
 46.28  including curriculum, instruction, assessment, professional 
 46.29  development, family and community involvement, leadership, 
 46.30  governance, and the alignment of resources; 
 46.31     (2) identification of site-specific goals tied to an 
 46.32  analysis of need which must be supported by student achievement 
 46.33  data; and 
 46.34     (3) an analysis of other site-level data including student 
 46.35  attendance, dropout rates, and student demographic information 
 46.36  including gender, major ethnic and racial populations, the 
 47.1   number of students receiving free and reduced price lunch, the 
 47.2   number of students identified as limited English proficient, 
 47.3   migrant status, and the number of students receiving special 
 47.4   education services. 
 47.5      (d) The commissioner shall create a continuous improvement 
 47.6   support system to provide technical assistance to school sites 
 47.7   and districts identified as needing improvement.  The department 
 47.8   shall establish a team of external reviewers and experts to 
 47.9   assist schools in the development of continuous improvement 
 47.10  plans as described in paragraph (c).  The department must work 
 47.11  with the schools in greatest need, such as those schools 
 47.12  identified as needing improvement in multiple subjects, those 
 47.13  identified for multiple years, or those furthest away from the 
 47.14  state's expectations as provided for in paragraph (b).  If 
 47.15  resources remain, the department shall provide assistance to 
 47.16  sites and districts upon request. 
 47.17     (e) The commissioner shall establish and maintain a 
 47.18  continuous improvement Web site designed to make data on every 
 47.19  school and district available to parents, teachers, 
 47.20  administrators, community members, and the general public. 
 47.21     Sec. 3.  [122A.73] [TEACHERS FOR THE 21ST CENTURY.] 
 47.22     Subdivision 1.  [ESTABLISHMENT.] A teachers for the 21st 
 47.23  century initiative is established to attract and retain 
 47.24  qualified teachers in areas of identified shortages and support 
 47.25  new teachers in schools with high levels of poverty.  The 
 47.26  teachers for the 21st century initiative consists of a targeted 
 47.27  loan forgiveness or tuition reimbursement program, a 
 47.28  provisional/transitional license change program, an alternative 
 47.29  license/teaching academy program, an individual certificate 
 47.30  account program, and a mentoring and induction support program.  
 47.31  The commissioner of children, families, and learning shall 
 47.32  identify areas of teacher shortages, develop eligibility 
 47.33  criteria for participation in the programs, develop and 
 47.34  disseminate application materials for the programs, select 
 47.35  program participants, and carry out other activities to 
 47.36  implement this section.  These programs are available only for a 
 48.1   person entering a program for teacher preparation after June 30, 
 48.2   2001. 
 48.3      Subd. 2.  [TARGETED LOAN FORGIVENESS OR TUITION 
 48.4   REIMBURSEMENT PROGRAM.] The purpose of the teacher loan 
 48.5   forgiveness or tuition reimbursement program is to repay the 
 48.6   loans or reimburse tuition costs of qualified licensed teachers 
 48.7   who teach in areas of identified teacher shortage.  A licensed 
 48.8   teacher who has successfully completed an accredited teacher 
 48.9   preparation program in a Minnesota post-secondary institution in 
 48.10  an identified area of teacher shortage may submit an application 
 48.11  to the commissioner to participate in the targeted loan 
 48.12  forgiveness or tuition reimbursement program.  In addition to 
 48.13  any other criteria established by the commissioner, the 
 48.14  applicant must be employed as a teacher in a Minnesota public 
 48.15  school in an area of identified teacher shortage.  Program 
 48.16  participants, who meet the criteria under this subdivision, may 
 48.17  designate for each year of post-secondary education leading to a 
 48.18  license to teach in an identified area of teacher shortage, up 
 48.19  to a total of four years, an agreed amount, not to exceed $2,000 
 48.20  per year, as qualified loans or tuition.  For each year that a 
 48.21  participant is employed in a school according to this 
 48.22  subdivision, up to a total of four years, the commissioner shall 
 48.23  annually pay an amount equal to one year of qualified loans or 
 48.24  tuition. 
 48.25     Subd. 3.  [PROVISIONAL/TRANSITIONAL LICENSE CHANGE 
 48.26  PROGRAM.] The purpose of the provisional/transitional license 
 48.27  change program is to provide grants or tuition waivers to 
 48.28  persons who are enrolled and making satisfactory progress in an 
 48.29  accredited teacher preparation program in a Minnesota 
 48.30  post-secondary institution or teacher residency program in an 
 48.31  area of teacher shortage.  A person seeking an initial teacher 
 48.32  license or an additional teacher license in an identified area 
 48.33  of teacher shortage may submit an application to the 
 48.34  commissioner to participate in the provisional/transitional 
 48.35  license change program.  For each year, up to two years, the 
 48.36  commissioner may award up to $2,500 to each program participant 
 49.1   for grants or tuition waivers under this subdivision.  If a 
 49.2   participant does not teach for two years after being licensed in 
 49.3   an identified area of teacher shortage in a Minnesota public 
 49.4   school, the commissioner must collect from the participant 
 49.5   one-half of the amount paid or tuition waived under this 
 49.6   provisional/transitional license change program.  The board of 
 49.7   teaching shall grant limited licenses to program participants to 
 49.8   teach in an area of teacher shortage for up to two years.  The 
 49.9   board of teaching shall conduct background checks of program 
 49.10  participants under section 122A.09, subdivision 8. 
 49.11     Subd. 4.  [ALTERNATIVE LICENSE/TEACHING ACADEMY 
 49.12  PROGRAM.] The purpose of the alternative license/teaching 
 49.13  academy program is to award grants to school districts or groups 
 49.14  of school districts to establish teaching academies for persons 
 49.15  with at least a four-year degree in an identified area of 
 49.16  teacher shortage from a post-secondary institution to teach in 
 49.17  the identified area of teacher shortage and work toward being 
 49.18  granted a teacher license.  A school district or group of school 
 49.19  districts may submit an application to the commissioner to 
 49.20  participate in the alternative license/teaching academy 
 49.21  program.  In addition to any other criteria established by the 
 49.22  commissioner, a teaching academy must include a program of 
 49.23  professional development and instruction in the school 
 49.24  district.  A district must assign a mentor/master teacher to 
 49.25  work closely with a teaching academy candidate for at least one 
 49.26  year and make a recommendation to the board of teaching as to 
 49.27  the granting of a teacher license to the candidate.  The 
 49.28  commissioner may award grants up to $5,000 per candidate to 
 49.29  school districts or groups of school districts participating in 
 49.30  the alternative license/teaching academy program.  The grants 
 49.31  may be used for stipends to mentor/master teachers, professional 
 49.32  development costs, and administering the program. 
 49.33     Subd. 5.  [INDIVIDUAL CERTIFICATE ACCOUNT PROGRAM.] The 
 49.34  purpose of the individual certificate account program is to 
 49.35  establish individual certificate accounts for persons to use for 
 49.36  tuition to attend an accredited teacher preparation program in a 
 50.1   Minnesota post-secondary institution in an identified area of 
 50.2   teacher shortage.  In addition to any other criteria established 
 50.3   by the commissioner, a program applicant must work with teachers 
 50.4   in an educational setting at least ten hours a week.  Eligible 
 50.5   applicants, who may include high school students, school 
 50.6   volunteers, or paraprofessionals, may submit applications to the 
 50.7   commissioner to participate in the individual certificate 
 50.8   account program.  For each year, up to five years, the 
 50.9   commissioner may deposit a certificate of $2,000 in a 
 50.10  participant's account.  A certificate expires five years after 
 50.11  its date of issuance. 
 50.12     Subd. 6.  [MENTORING AND INDUCTION SUPPORT PROGRAM.] The 
 50.13  purpose of the mentoring and induction support program is to 
 50.14  award grants to school districts for teachers who mentor 
 50.15  teachers in the first three years of teaching in schools with 
 50.16  high levels of poverty.  A school district may submit an 
 50.17  application to the commissioner of children, families, and 
 50.18  learning to participate in the mentoring and induction support 
 50.19  program.  The commissioner may award grants to eligible 
 50.20  applicants for stipends of up to $500 per year for each mentor 
 50.21  teacher without National Board Certification and up to $1,000 
 50.22  for each mentor teacher with National Board Certification. 
 50.23     Subd. 7.  [REPORT.] The commissioner of children, families, 
 50.24  and learning shall report annually each year on the teachers for 
 50.25  the 21st century initiative to the education policy committees 
 50.26  of the house of representatives and the senate on the number of 
 50.27  participants receiving grants in each program, the identified 
 50.28  area of need for each applicant, a qualitative assessment of the 
 50.29  participants' effectiveness in the classroom, and information on 
 50.30  the impact of each program and the initiative in recruiting and 
 50.31  retraining quality teachers.  The commissioner may contract for 
 50.32  this report. 
 50.33     Subd. 8.  [EXPIRATION.] This section expires June 30, 2005. 
 50.34     Sec. 4.  Minnesota Statutes 2000, section 124D.74, 
 50.35  subdivision 1, is amended to read: 
 50.36     Subdivision 1.  [PROGRAM DESCRIBED.] American Indian 
 51.1   ~~language and culture~~ education programs are programs in public 
 51.2   elementary and secondary schools, nonsectarian nonpublic, 
 51.3   community, tribal, or alternative schools enrolling American 
 51.4   Indian children designed: 
 51.5      (1) to support post-secondary preparation for pupils; 
 51.6      (2) to support the academic achievement of American Indian 
 51.7   students; 
 51.8      (3) to make the curriculum more relevant to the needs, 
 51.9   interests, and cultural heritage of American Indian pupils; 
 51.10     ~~(2)~~ (4) to provide positive reinforcement of the self-image 
 51.11  of American Indian pupils; ~~and~~ 
 51.12     ~~(3)~~ (5) to develop intercultural awareness among pupils, 
 51.13  parents, and staff; and 
 51.14     (6) to supplement, not supplant, state and federal 
 51.15  educational and cocurricular programs.  
 51.16  Program components may include:  ~~instruction in American Indian~~ 
 51.17  ~~language, literature, history, and culture~~ development of 
 51.18  support components for students in the areas of academic 
 51.19  achievement, retention, and attendance; development of support 
 51.20  components for staff, including in-service training and 
 51.21  technical assistance in methods of teaching American Indian 
 51.22  pupils; research projects, including experimentation with and 
 51.23  evaluation of methods of relating to American Indian pupils; 
 51.24  provision of personal and vocational counseling to American 
 51.25  Indian pupils; modification of curriculum, instructional 
 51.26  methods, and administrative procedures to meet the needs of 
 51.27  American Indian pupils; and ~~establishment of cooperative~~ 
 51.28  ~~liaisons with nonsectarian nonpublic, community, tribal or~~ 
 51.29  ~~alternative schools offering curricula which reflect American~~ 
 51.30  ~~Indian culture~~ supplemental instruction in American Indian 
 51.31  language, literature, history, and culture.  Districts offering 
 51.32  programs may make contracts for the provision of program 
 51.33  components by ~~nonsectarian nonpublic, community, tribal or~~ 
 51.34  ~~alternative schools~~ establishing cooperative liaisons with 
 51.35  tribal programs and American Indian social service agencies.  
 51.36  These programs may also be provided as components of early 
 52.1   childhood and family education programs. 
 52.2      Sec. 5.  Minnesota Statutes 2000, section 124D.74, 
 52.3   subdivision 2, is amended to read: 
 52.4      Subd. 2.  [VOLUNTARY ENROLLMENT.] Enrollment in American 
 52.5   Indian ~~language and culture~~ education programs must be 
 52.6   voluntary.  School districts and participating schools must make 
 52.7   affirmative efforts to encourage participation.  They shall 
 52.8   encourage parents to visit classes or come to school for a 
 52.9   conference explaining the nature of the program and provide 
 52.10  visits by school staff to parents' homes to explain the nature 
 52.11  of the program. 
 52.12     Sec. 6.  Minnesota Statutes 2000, section 124D.74, 
 52.13  subdivision 3, is amended to read: 
 52.14     Subd. 3.  [ENROLLMENT OF OTHER CHILDREN; SHARED TIME 
 52.15  ENROLLMENT.] To the extent it is economically feasible, a 
 52.16  district or participating school may make provision for the 
 52.17  voluntary enrollment of non-American Indian children in the 
 52.18  instructional components of an American Indian ~~language and~~ 
 52.19  ~~culture~~ education program in order that they may acquire an 
 52.20  understanding of the cultural heritage of the American Indian 
 52.21  children for whom that particular program is designed.  However, 
 52.22  in determining eligibility to participate in a program, priority 
 52.23  must be given to American Indian children.  American Indian 
 52.24  children and other children enrolled in an existing nonpublic 
 52.25  school system may be enrolled on a shared time basis in American 
 52.26  Indian ~~language and culture~~ education programs. 
 52.27     Sec. 7.  Minnesota Statutes 2000, section 124D.74, 
 52.28  subdivision 4, is amended to read: 
 52.29     Subd. 4.  [LOCATION OF PROGRAMS.] American Indian ~~language~~ 
 52.30  ~~and culture~~ education programs must be located in facilities in 
 52.31  which regular classes in a variety of subjects are offered on a 
 52.32  daily basis.  Programs may operate on an extended day or 
 52.33  extended year basis. 
 52.34     Sec. 8.  Minnesota Statutes 2000, section 124D.74, 
 52.35  subdivision 6, is amended to read: 
 52.36     Subd. 6.  [NONVERBAL COURSES AND EXTRACURRICULAR 
 53.1   ACTIVITIES.] In predominantly nonverbal subjects, such as art, 
 53.2   music, and physical education, American Indian children shall 
 53.3   participate fully and on an equal basis with their 
 53.4   contemporaries in school classes provided for these subjects.  
 53.5   Every school district or participating school shall ensure to 
 53.6   children enrolled in American Indian ~~language and culture~~ 
 53.7   education programs an equal and meaningful opportunity to 
 53.8   participate fully with other children in all extracurricular 
 53.9   activities.  This subdivision shall not be construed to prohibit 
 53.10  instruction in nonverbal subjects or extracurricular activities 
 53.11  which relate to the cultural heritage of the American Indian 
 53.12  children, or which are otherwise necessary to accomplish the 
 53.13  objectives described in sections 124D.71 to 124D.82. 
 53.14     Sec. 9.  Minnesota Statutes 2000, section 124D.75, 
 53.15  subdivision 6, is amended to read: 
 53.16     Subd. 6.  [PERSONS ELIGIBLE FOR EMPLOYMENT; EXEMPTIONS.] 
 53.17  Any person licensed under this section shall be eligible for 
 53.18  employment by a school board or a participating school as a 
 53.19  teacher in an American Indian ~~language and culture~~ education 
 53.20  program in which the American Indian language or culture in 
 53.21  which the person is licensed is taught.  A school district or 
 53.22  participating school may prescribe only those additional 
 53.23  qualifications for teachers licensed under this section as are 
 53.24  approved by the board of teaching.  Any school board or 
 53.25  participating school upon request may be exempted from the 
 53.26  licensure requirements of this section in the hiring of one or 
 53.27  more American Indian language and culture education teachers for 
 53.28  any school year in which compliance would, in the opinion of the 
 53.29  commissioner, create a hardship in the securing of the teachers. 
 53.30     Sec. 10.  Minnesota Statutes 2000, section 124D.76, is 
 53.31  amended to read: 
 53.32     124D.76 [TEACHERS AIDES; COMMUNITY COORDINATORS.] 
 53.33     In addition to employing American Indian language and 
 53.34  culture education teachers, each district or participating 
 53.35  school providing programs pursuant to sections 124D.71 to 
 53.36  124D.82 may employ teachers' aides.  Teachers' aides must not be 
 54.1   employed for the purpose of supplanting American Indian language 
 54.2   and culture education teachers. 
 54.3      Any district or participating school which conducts 
 54.4   American Indian ~~language and culture~~ education programs pursuant 
 54.5   to sections 124D.71 to 124D.82 must employ one or more full-time 
 54.6   or part-time community coordinators if there are 100 or more 
 54.7   students enrolled in the program.  Community coordinators shall 
 54.8   promote communication understanding, and cooperation between the 
 54.9   schools and the community and shall visit the homes of children 
 54.10  who are to be enrolled in an American Indian ~~language and~~ 
 54.11  ~~culture~~ education program in order to convey information about 
 54.12  the program. 
 54.13     Sec. 11.  Minnesota Statutes 2000, section 124D.78, 
 54.14  subdivision 1, is amended to read: 
 54.15     Subdivision 1.  [PARENT COMMITTEE.] School boards and 
 54.16  American Indian schools must provide for the maximum involvement 
 54.17  of parents of children enrolled in education programs, ~~including~~ 
 54.18  ~~language and culture education programs,~~ programs for elementary 
 54.19  and secondary grades, special education programs, and support 
 54.20  services.  Accordingly, the board of a school district in which 
 54.21  there are ten or more American Indian children enrolled and each 
 54.22  American Indian school must establish a parent committee.  If a 
 54.23  committee whose membership consists of a majority of parents of 
 54.24  American Indian children has been or is established according to 
 54.25  federal, tribal, or other state law, that committee may serve as 
 54.26  the committee required by this section and is subject to, at 
 54.27  least, the requirements of this subdivision and subdivision 2.  
 54.28     The parent committee must develop its recommendations in 
 54.29  consultation with the curriculum advisory committee required by 
 54.30  section 120B.11, subdivision 3.  This committee must afford 
 54.31  parents the necessary information and the opportunity 
 54.32  effectively to express their views concerning all aspects of 
 54.33  American Indian education and the educational needs of the 
 54.34  American Indian children enrolled in the school or program.  The 
 54.35  committee must also address the need for adult education 
 54.36  programs for American Indian people in the community.  The board 
 55.1   or American Indian school must ensure that programs are planned, 
 55.2   operated, and evaluated with the involvement of and in 
 55.3   consultation with parents of children served by the programs.  
 55.4      Sec. 12.  Minnesota Statutes 2000, section 124D.81, 
 55.5   subdivision 1, is amended to read: 
 55.6      Subdivision 1.  [GRANTS; PROCEDURES.] Each fiscal year the 
 55.7   commissioner of children, families, and learning must make 
 55.8   grants to no fewer than six American Indian ~~language and culture~~ 
 55.9   education programs.  At least three programs must be in urban 
 55.10  areas and at least three must be on or near reservations.  The 
 55.11  board of a local district, a participating school or a group of 
 55.12  boards may develop a proposal for grants in support of American 
 55.13  Indian ~~language and culture~~ education programs.  Proposals may 
 55.14  provide for contracts for the provision of program components by 
 55.15  nonsectarian nonpublic, community, tribal, or alternative 
 55.16  schools.  The commissioner shall prescribe the form and manner 
 55.17  of application for grants, and no grant shall be made for a 
 55.18  proposal not complying with the requirements of sections 124D.71 
 55.19  to 124D.82.  The commissioner must submit all proposals to the 
 55.20  state advisory ~~task force~~ committee on American Indian ~~language~~ 
 55.21  ~~and culture~~ education programs for its recommendations 
 55.22  concerning approval, modification, or disapproval and the 
 55.23  amounts of grants to approved programs. 
 55.24     Sec. 13.  Minnesota Statutes 2000, section 124D.81, 
 55.25  subdivision 3, is amended to read: 
 55.26     Subd. 3.  [ADDITIONAL REQUIREMENTS.] Each district 
 55.27  receiving a grant under this section must each year conduct a 
 55.28  count of American Indian children in the schools of the 
 55.29  district; test for achievement; identify the extent of other 
 55.30  educational needs of the children to be enrolled in the American 
 55.31  Indian ~~language and culture~~ education program; and classify the 
 55.32  American Indian children by grade, level of educational 
 55.33  attainment, age and achievement.  Participating schools must 
 55.34  maintain records concerning the needs and achievements of 
 55.35  American Indian children served. 
 55.36     Sec. 14.  Minnesota Statutes 2000, section 124D.81, 
 56.1   subdivision 5, is amended to read: 
 56.2      Subd. 5.  [RECORDS.] Participating schools and districts 
 56.3   must keep records and afford access to them as the commissioner 
 56.4   finds necessary to ensure that American Indian ~~language and~~ 
 56.5   ~~culture~~ education programs are implemented in conformity with 
 56.6   sections 124D.71 to 124D.82.  Each school district or 
 56.7   participating school must keep accurate, detailed, and separate 
 56.8   revenue and expenditure accounts for pilot American Indian 
 56.9   ~~language and culture~~ education programs funded under this 
 56.10  section. 
 56.11     Sec. 15.  Minnesota Statutes 2000, section 124D.81, 
 56.12  subdivision 6, is amended to read: 
 56.13     Subd. 6.  [MONEY FROM OTHER SOURCES.] A district or 
 56.14  participating school providing American Indian ~~language and~~ 
 56.15  ~~culture~~ education programs shall be eligible to receive moneys 
 56.16  for these programs from other government agencies and from 
 56.17  private sources when the moneys are available. 
 56.18     Sec. 16.  Minnesota Statutes 2000, section 124D.81, 
 56.19  subdivision 7, is amended to read: 
 56.20     Subd. 7.  [EXCEPTIONS.] Nothing in sections 124D.71 to 
 56.21  124D.82 shall be construed as prohibiting a district or school 
 56.22  from implementing an American Indian ~~language and culture~~ 
 56.23  education program which is not in compliance with sections 
 56.24  124D.71 to 124D.82 if the proposal and plan for that program is 
 56.25  not funded pursuant to this section. 
 56.26     Sec. 17.  [124D.945] [PERFORMANCE INCENTIVE POOL PROGRAM.] 
 56.27     Subdivision 1.  [ESTABLISHMENT.] A performance incentive 
 56.28  pool program is established for school districts or school sites 
 56.29  to create new compensation packages and career paths for 
 56.30  teachers built around measurable student outcomes and 
 56.31  improvement of teaching. 
 56.32     Subd. 2.  [ELIGIBILITY; APPLICATION.] (a) To participate in 
 56.33  this program, a school district or school site must: 
 56.34     (1) fully implement the graduation standards within a 
 56.35  specified time period; 
 56.36     (2) have specific assessment and evaluation tools to 
 57.1   measure student performance and progress; 
 57.2      (3) have measures to show improved student attendance and 
 57.3   completion rates; 
 57.4      (4) show evidence of professional development that aligns 
 57.5   curriculum and instruction; 
 57.6      (5) have measures of student, family, and community 
 57.7   involvement and satisfaction; 
 57.8      (6) maintain a data system with information about students 
 57.9   and their academic progress that provides parents and the public 
 57.10  with understandable information; 
 57.11     (7) use a compensation structure that provides professional 
 57.12  options for teachers whose primary role is to provide student 
 57.13  instruction and that eliminates pay increases tied to years of 
 57.14  service; and 
 57.15     (8) provide other necessary information required by the 
 57.16  commissioner. 
 57.17     A school district or school site also must formally adopt 
 57.18  and implement a compensation plan in a contract, memorandum of 
 57.19  understanding, or other legal document agreed to by the teachers 
 57.20  and the school district or school site.  The compensation plan 
 57.21  must include all teachers in the school district or school site 
 57.22  that receives funding from the incentive pool. 
 57.23     (b) To be eligible to participate in this program, a school 
 57.24  district or school site must submit an application to the 
 57.25  commissioner in the form and manner the commissioner prescribes. 
 57.26     (c) The commissioner shall select applicants that qualify 
 57.27  for this program, notify school districts and school sites about 
 57.28  the program, develop and disseminate application materials, and 
 57.29  carry out other activities needed to implement this section.  
 57.30     Subd. 3.  [INCENTIVE.] A school district or school site 
 57.31  shall receive $150 per adjusted marginal cost pupil unit in 
 57.32  addition to any other funding for each school year that the 
 57.33  district or site participates in the program.  
 57.34     Subd. 4.  [EXPIRATION.] This section expires June 30, 2005. 
 57.35     Sec. 18.  [APPROPRIATIONS.] 
 57.36     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 58.1   LEARNING.] The sums indicated in this section are appropriated 
 58.2   from the general fund, unless otherwise indicated, to the 
 58.3   department of children, families, and learning for the fiscal 
 58.4   years designated.  
 58.5      Subd. 2.  [STATEWIDE TESTING AND GRADUATION STANDARDS 
 58.6   SUPPORT.] For supporting implementation of the graduation 
 58.7   standards: 
 58.8        $6,500,000     .....     2002 
 58.9        $6,500,000     .....     2003 
 58.10     Any balance in the first year does not cancel but is 
 58.11  available in the second year. 
 58.12     Subd. 3.  [ADVANCED PLACEMENT AND INTERNATIONAL 
 58.13  BACCALAUREATE PROGRAMS.] For the state advanced placement and 
 58.14  international baccalaureate programs: 
 58.15       $1,875,000     .....     2002 
 58.16       $1,875,000     .....     2003 
 58.17     Notwithstanding Minnesota Statutes, section 120B.13, 
 58.18  subdivisions 1 and 2, $375,000 each year is for teachers to 
 58.19  attend subject matter summer training programs and follow-up 
 58.20  support workshops approved by the advanced placement or 
 58.21  international baccalaureate programs.  The amount of the subsidy 
 58.22  for each teacher attending an advanced placement or 
 58.23  international baccalaureate summer training program or workshop 
 58.24  shall be the same.  The commissioner shall determine the payment 
 58.25  process and the amount of the subsidy. 
 58.26     Notwithstanding Minnesota Statutes, section 120B.13, 
 58.27  subdivision 3, in each year to the extent of available 
 58.28  appropriations, the commissioner shall pay all examination fees 
 58.29  for all students sitting for an advanced placement examination, 
 58.30  international baccalaureate examination, or both.  If this 
 58.31  amount is not adequate, the commissioner may pay less than the 
 58.32  full examination fee. 
 58.33     Any balance in the first year does not cancel but is 
 58.34  available in the second year. 
 58.35     Subd. 4.  [CHARTER SCHOOL BUILDING LEASE AID.] For building 
 58.36  lease aid according to Minnesota Statutes, section 124D.11, 
 59.1   subdivision 4: 
 59.2        $17,045,000    .....     2002 
 59.3        $26,240,000    .....     2003 
 59.4      The 2002 appropriation includes $1,113,000 for 2001 and 
 59.5   $15,932,000 for 2002. 
 59.6      The 2003 appropriation includes $1,770,000 for 2002 and 
 59.7   $24,470,000 for 2003.  
 59.8      Subd. 5.  [CHARTER SCHOOL STARTUP GRANTS.] For charter 
 59.9   school startup cost aid under Minnesota Statutes, section 
 59.10  124D.11: 
 59.11       $3,003,000     .....     2002 
 59.12       $3,597,000     .....     2003 
 59.13     The 2002 appropriation includes $285,000 for 2001 and 
 59.14  $2,718,000 for 2002.  
 59.15     The 2003 appropriation includes $302,000 for 2002 and 
 59.16  $3,295,000 for 2003. 
 59.17     Subd. 6.  [CHARTER SCHOOL INTEGRATION AID.] For grants to 
 59.18  charter schools to promote integration and desegregation 
 59.19  according to Minnesota Statutes, section 124D.11, subdivision 6, 
 59.20  paragraph (e): 
 59.21       $50,000        .....     2002 
 59.22       $50,000        .....     2003 
 59.23     Any balance in the first year does not cancel but is 
 59.24  available in the second year. 
 59.25     Subd. 7.  [BEST PRACTICES SEMINARS.] For best practices 
 59.26  graduation rule seminars and other professional development 
 59.27  capacity building activities that assure proficiency in teaching 
 59.28  and implementation of graduation rule standards: 
 59.29       $5,000,000     .....     2002
 59.30       $5,000,000     .....     2003
 59.31     Of this amount, for fiscal year 2002, $1,000,000 is for 
 59.32  arts via the Internet collaborative project between the Walker 
 59.33  art center and the Minneapolis institute of arts. 
 59.34     Subd. 8.  [INTEGRATION AID.] For integration aid: 
 59.35       $59,835,000    .....     2002 
 59.36       $59,997,000    .....     2003 
 60.1      The 2002 appropriation includes $5,707,000 for 2001 and 
 60.2   $54,128,000 for 2002. 
 60.3      The 2003 appropriation includes $6,014,000 for 2002 and 
 60.4   $53,983,000 for 2003.  
 60.5      Subd. 9.  [INTEGRATION PROGRAMS.] For minority fellowship 
 60.6   grants according to Laws 1994, chapter 647, article 8, section 
 60.7   29; minority teacher incentives according to Minnesota Statutes, 
 60.8   section 122A.65; teachers of color grants according to Minnesota 
 60.9   Statutes, section 122A.64; and cultural exchange grants 
 60.10  according to Minnesota Statutes, section 124D.89: 
 60.11       $1,000,000     .....     2002
 60.12       $1,000,000     .....     2003
 60.13     Any balance in the first year does not cancel but is 
 60.14  available in the second year. 
 60.15     In awarding teacher of color grants, priority must be given 
 60.16  to districts that have students who are currently in the process 
 60.17  of completing their academic program. 
 60.18     Subd. 10.  [MAGNET SCHOOL GRANTS.] For magnet school and 
 60.19  program grants: 
 60.20       $1,750,000     .....     2002 
 60.21       $1,050,000     .....     2003 
 60.22     These amounts may be used for magnet school programs 
 60.23  according to Minnesota Statutes, section 124D.88. 
 60.24     Subd. 11.  [MAGNET SCHOOL STARTUP AID.] For magnet school 
 60.25  startup aid under Minnesota Statutes, section 124D.88: 
 60.26       $482,000       .....     2002 
 60.27       $325,000       .....     2003 
 60.28     The 2002 appropriation includes $25,000 for 2001 and 
 60.29  $457,000 for 2002.  The 2003 appropriation includes $50,000 for 
 60.30  2002 and $275,000 for 2003. 
 60.31     Subd. 12.  [INTERDISTRICT DESEGREGATION OR INTEGRATION 
 60.32  TRANSPORTATION GRANTS.] For interdistrict desegregation or 
 60.33  integration transportation grants under Minnesota Statutes, 
 60.34  section 124D.87: 
 60.35       $2,105,000     .....     2003
 60.36     Subd. 13.  [AMERICAN INDIAN LANGUAGE AND CULTURE PROGRAMS.] 
 61.1   For grants to American Indian language and culture education 
 61.2   programs according to Minnesota Statutes 2000, section 124D.81, 
 61.3   subdivision 1: 
 61.4        $73,000        .....     2002
 61.5      The 2002 appropriation includes $73,000 for 2001 and $0 for 
 61.6   2002.  
 61.7      Any balance in the first year does not cancel but is 
 61.8   available in the second year. 
 61.9      Subd. 14.  [AMERICAN INDIAN EDUCATION.] For certain 
 61.10  American Indian education programs in school districts: 
 61.11       $73,000        .....     2002
 61.12     The 2002 appropriation includes $17,000 for 2001 and $0 for 
 61.13  2002.  
 61.14     Subd. 15.  [SUCCESS FOR THE FUTURE.] For American Indian 
 61.15  success for the future grants according to Minnesota Statutes, 
 61.16  section 124D.81: 
 61.17       $3,049,000     .....     2002
 61.18       $3,387,000     .....     2003
 61.19     The 2002 appropriation includes $0 for 2001 and $3,049,000 
 61.20  for 2002. 
 61.21     The 2003 appropriation includes $338,000 for 2002 and 
 61.22  $3,049,000 for 2003. 
 61.23     Subd. 16.  [AMERICAN INDIAN SCHOLARSHIPS.] For American 
 61.24  Indian scholarships according to Minnesota Statutes, section 
 61.25  124D.84: 
 61.26       $1,875,000     .....     2002 
 61.27       $1,875,000     .....     2003 
 61.28     Any balance in the first year does not cancel but is 
 61.29  available in the second year. 
 61.30     Subd. 17.  [INDIAN TEACHER PREPARATION GRANTS.] (a) For 
 61.31  joint grants to assist Indian people to become teachers: 
 61.32       $190,000       .....     2002 
 61.33       $190,000       .....     2003 
 61.34     (b) Up to $70,000 each year is for a joint grant to the 
 61.35  University of Minnesota at Duluth and the Duluth school district.
 61.36     (c) Up to $40,000 each year is for a joint grant to each of 
 62.1   the following: 
 62.2      (1) Bemidji state university and the Red Lake school 
 62.3   district; 
 62.4      (2) Moorhead state university and a school district located 
 62.5   within the White Earth reservation; and 
 62.6      (3) Augsburg college, independent school district No. 625, 
 62.7   St. Paul, and the Minneapolis school district. 
 62.8      (d) Money not used for students at one location may be 
 62.9   transferred for use at another location. 
 62.10     (e) Any balance in the first year does not cancel but is 
 62.11  available in the second year. 
 62.12     Subd. 18.  [TRIBAL CONTRACT SCHOOLS.] For tribal contract 
 62.13  school aid according to Minnesota Statutes, section 124D.83: 
 62.14       $2,520,000     .....     2002
 62.15       $2,767,000     .....     2003
 62.16     The 2002 appropriation includes $192,000 for 2001 and 
 62.17  $2,328,000 for 2002. 
 62.18     The 2003 appropriation includes $258,000 for 2002 and 
 62.19  $2,509,000 for 2003. 
 62.20     Subd. 19.  [EARLY CHILDHOOD PROGRAMS AT TRIBAL 
 62.21  SCHOOLS.] For early childhood family education programs at 
 62.22  tribal contract schools: 
 62.23       $68,000        .....     2002 
 62.24       $68,000        .....     2003 
 62.25     Subd. 20.  [FIRST GRADE PREPAREDNESS.] For first grade 
 62.26  preparedness grants according to Minnesota Statutes, section 
 62.27  124D.081: 
 62.28       $7,000,000     .....     2002 
 62.29       $7,000,000     .....     2003
 62.30     Subd. 21.  [SECONDARY VOCATIONAL EDUCATION AID.] For 
 62.31  secondary vocational education aid according to Minnesota 
 62.32  Statutes, section 124D.453: 
 62.33       $1,241,000     .....     2002 
 62.34     The 2002 appropriation includes $1,241,000 for 2001 and $0 
 62.35  for 2002.  
 62.36     Subd. 22.  [YOUTHWORKS PROGRAM.] For funding youthworks 
 63.1   programs according to Minnesota Statutes, sections 124D.37 to 
 63.2   124D.45: 
 63.3        $1,788,000     .....     2002 
 63.4        $1,788,000     .....     2003 
 63.5      A grantee organization may provide health and child care 
 63.6   coverage to the dependents of each participant enrolled in a 
 63.7   full-time youth works program to the extent such coverage is not 
 63.8   otherwise available. 
 63.9      Any balance in the first year does not cancel but is 
 63.10  available in the second year. 
 63.11     Subd. 23.  [EDUCATION AND EMPLOYMENT TRANSITIONS PROGRAM 
 63.12  GRANTS.] For education and employment transitions programming 
 63.13  under Minnesota Statutes, section 124D.46: 
 63.14       $1,825,000     .....     2002 
 63.15       $1,825,000     .....     2003 
 63.16     Of this appropriation, $450,000 each year is for ISEEK. 
 63.17     $750,000 each year is for youth apprenticeship grants. 
 63.18     $125,000 each year is to conduct a high school follow-up 
 63.19  survey to include first, third, and sixth year graduates of 
 63.20  Minnesota schools. 
 63.21     $500,000 each year is for the jobs for America's graduates 
 63.22  program. 
 63.23     Any balance in the first year does not cancel but is 
 63.24  available in the second year. 
 63.25     Subd. 24.  [LEARN AND EARN GRADUATION ACHIEVEMENT PROGRAM.] 
 63.26  For the learn and earn graduation achievement program according 
 63.27  to Minnesota Statutes, section 124D.32: 
 63.28       $725,000       .....     2002 
 63.29       $725,000       .....     2003 
 63.30     Any balance in the first year does not cancel but is 
 63.31  available in the second year. 
 63.32     Subd. 25.  [ADVANCE ACHIEVEMENT AND ACCOUNTABILITY.] For 
 63.33  the department of children, families, and learning to develop 
 63.34  statewide assessments and provide assistance to school districts 
 63.35  that are not making adequate progress on the Minnesota 
 63.36  comprehensive assessments: 
 64.1        $5,000,000     .....     2002 
 64.2        $5,000,000     .....     2003 
 64.3      Subd. 26.  [PERFORMANCE INCENTIVE POOL.] For a performance 
 64.4   incentive pool established under Minnesota Statutes, section 
 64.5   124D.945: 
 64.6        $5,000,000     .....     2002 
 64.7        $10,000,000    .....     2003 
 64.8      Any balance in the first year does not cancel but is 
 64.9   available in the second year. 
 64.10     Subd. 27.  [TEACHERS FOR THE 21ST CENTURY.] For the teacher 
 64.11  shortage initiative established under Minnesota Statutes, 
 64.12  section 122A.73: 
 64.13       $5,000,000     .....     2002 
 64.14       $5,000,000     .....     2003 
 64.15     These amounts are to be appropriated from the workforce 
 64.16  development account in the special revenue fund.  Of this 
 64.17  amount, $100,000 each year is to be used for evaluation of this 
 64.18  initiative.  Any balance in the first year does not cancel but 
 64.19  is available in the second year. 
 64.20     Sec. 19.  [REPEALER.] 
 64.21     Minnesota Statutes 2000, section 124D.85, is repealed. 
 64.22                             ARTICLE 6
 64.23                          SPECIAL PROGRAMS 
 64.24     Section 1.  [APPROPRIATIONS.] 
 64.25     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 64.26  LEARNING.] The sums indicated in this section are appropriated 
 64.27  from the general fund to the department of children, families, 
 64.28  and learning for the fiscal years designated. 
 64.29     Subd. 2.  [SPECIAL EDUCATION AID.] For special education 
 64.30  aid according to Minnesota Statutes, section 125A.75: 
 64.31       $507,726,000   .....     2002 
 64.32       $532,052,000   .....     2003 
 64.33     The 2002 appropriation includes $47,400,000 for 2001 and 
 64.34  $460,326,000 for 2002. 
 64.35     The 2003 appropriation includes $51,147,000 for 2002 and 
 64.36  $480,905,000 for 2003. 
 65.1      Subd. 3.  [AID FOR CHILDREN WITH A DISABILITY.] For aid 
 65.2   according to Minnesota Statutes, section 125A.75, subdivision 3, 
 65.3   for children with a disability placed in residential facilities 
 65.4   within the district boundaries for whom no district of residence 
 65.5   can be determined: 
 65.6        $1,867,000     .....     2002 
 65.7        $2,022,000     .....     2003 
 65.8      If the appropriation for either year is insufficient, the 
 65.9   appropriation for the other year is available.  Any balance in 
 65.10  the first year does not cancel but is available in the second 
 65.11  year. 
 65.12     Subd. 4.  [TRAVEL FOR HOME-BASED SERVICES.] For aid for 
 65.13  teacher travel for home-based services according to Minnesota 
 65.14  Statutes, section 125A.75, subdivision 1: 
 65.15       $135,000       .....     2002 
 65.16       $138,000       .....     2003 
 65.17     The 2002 appropriation includes $13,000 for 2001 and 
 65.18  $122,000 for 2002. 
 65.19     The 2003 appropriation includes $13,000 for 2002 and 
 65.20  $125,000 for 2003. 
 65.21     Subd. 5.  [SPECIAL EDUCATION EXCESS COST AID.] For excess 
 65.22  cost aid: 
 65.23       $97,210,000    .....     2002 
 65.24       $99,258,000    .....     2003 
 65.25     The 2002 appropriation includes $9,358,000 for 2001 and 
 65.26  $87,852,000 for 2002. 
 65.27     The 2003 appropriation includes $9,760,000 for 2002 and 
 65.28  $89,498,000 for 2003. 
 65.29     Subd. 6.  [LITIGATION COSTS.] For paying the costs a 
 65.30  district incurs under Minnesota Statutes, section 125A.75, 
 65.31  subdivision 8: 
 65.32       $375,000       .....     2002 
 65.33       $375,000       .....     2003 
 65.34     Subd. 7.  [TRANSITION PROGRAMS; STUDENTS WITH 
 65.35  DISABILITIES.] For aid for transition programs for pupils with 
 65.36  disabilities according to Minnesota Statutes, section 124D.454: 
 66.1        $8,959,000     .....     2002 
 66.2        $8,948,000     .....     2003 
 66.3      The 2002 appropriation includes $896,000 for 2001 and 
 66.4   $8,063,000 for 2002.  
 66.5      The 2003 appropriation includes $895,000 for 2002 and 
 66.6   $8,053,000 for 2003.  
 66.7      Subd. 8.  [COURT-PLACED SPECIAL EDUCATION REVENUE.] For 
 66.8   reimbursing serving school districts for unreimbursed eligible 
 66.9   expenditures attributable to children placed in the serving 
 66.10  school district by court action under Minnesota Statutes, 
 66.11  section 125A.79, subdivision 4: 
 66.12       $350,000       .....     2002 
 66.13       $350,000       .....     2003 
 66.14     Subd. 9.  [OUT-OF-STATE TUITION SPECIAL EDUCATION.] For 
 66.15  special education out-of-state tuition according to Minnesota 
 66.16  Statutes, section 125A.79, subdivision 8: 
 66.17       $250,000       .....     2002 
 66.18       $250,000       .....     2003 
 66.19                             ARTICLE 7 
 66.20                     FACILITIES AND TECHNOLOGY 
 66.21     Section 1.  Minnesota Statutes 2000, section 123B.53, 
 66.22  subdivision 2, is amended to read: 
 66.23     Subd. 2.  [ELIGIBILITY.] (a) The following portions of a 
 66.24  district's debt service levy qualify for debt service 
 66.25  equalization: 
 66.26     (1) debt service for repayment of principal and interest on 
 66.27  bonds issued before July 2, 1992; 
 66.28     (2) debt service for bonds refinanced after July 1, 1992, 
 66.29  if the bond schedule has been approved by the commissioner and, 
 66.30  if necessary, adjusted to reflect a 20-year maturity schedule; 
 66.31  and 
 66.32     (3) debt service for bonds issued after July 1, 1992, for 
 66.33  construction projects that have received a positive review and 
 66.34  comment according to section 123B.71, if the commissioner has 
 66.35  determined that the district has met the criteria under section 
 66.36  126C.69, subdivision 3, ~~except section 126C.69, subdivision 3,~~ 
 67.1   ~~paragraph (a), clause (2),~~ and if the bond schedule has been 
 67.2   approved by the commissioner and, if necessary, adjusted to 
 67.3   reflect a 20-year maturity schedule. 
 67.4      (b) The criterion described in section 126C.69, subdivision 
 67.5   3, paragraph (a), clause (9), does not apply to bonds authorized 
 67.6   by elections held before July 1, 1992. 
 67.7      (c) For the purpose of this subdivision the department 
 67.8   shall determine the eligibility for sparsity at the location of 
 67.9   the new facility, or the site of the new facility closest to the 
 67.10  nearest operating school if there is more than one new facility. 
 67.11     (d) Notwithstanding paragraphs (a) to (c), debt service for 
 67.12  repayment of principal and interest on bonds issued after July 
 67.13  1, 1997, does not qualify for debt service equalization aid 
 67.14  unless the primary purpose of the facility is to serve students 
 67.15  in kindergarten through grade 12. 
 67.16     Sec. 2.  Minnesota Statutes 2000, section 123B.53, 
 67.17  subdivision 4, is amended to read: 
 67.18     Subd. 4.  [DEBT SERVICE EQUALIZATION REVENUE.] (a) The debt 
 67.19  service equalization revenue of a district equals the sum of the 
 67.20  first tier debt service equalization revenue and the second tier 
 67.21  debt service equalization revenue. 
 67.22     (b) The first tier debt service equalization revenue of a 
 67.23  district equals the greater of zero or the eligible debt service 
 67.24  revenue minus the amount raised by a levy of 12 percent times 
 67.25  the adjusted net tax capacity of the district minus the second 
 67.26  tier debt service equalization revenue of the district. 
 67.27     (c) The second tier debt service equalization revenue of a 
 67.28  district equals the greater of zero or the eligible debt service 
 67.29  revenue minus the amount raised by a levy of 20 percent times 
 67.30  the adjusted net tax capacity of the district. 
 67.31     Sec. 3.  Minnesota Statutes 2000, section 123B.53, 
 67.32  subdivision 5, is amended to read: 
 67.33     Subd. 5.  [EQUALIZED DEBT SERVICE LEVY.] ~~To obtain debt~~ 
 67.34  ~~service equalization revenue, a district must levy an amount not~~ 
 67.35  ~~to exceed the district's debt service equalization revenue~~ (a) 
 67.36  The equalized debt service levy of a district equals the sum of 
 68.1   the first tier equalized debt service levy and the second tier 
 68.2   equalized debt service levy. 
 68.3      (b) A district's first tier equalized debt service levy 
 68.4   equals the district's first tier debt service equalization 
 68.5   revenue times the lesser of one or the ratio of: 
 68.6      (1) the quotient derived by dividing the adjusted net tax 
 68.7   capacity of the district for the year before the year the levy 
 68.8   is certified by the adjusted pupil units in the district for the 
 68.9   school year ending in the year prior to the year the levy is 
 68.10  certified; to 
 68.11     (2) ~~$4,000~~ $5,000. 
 68.12     (c) A district's second tier equalized debt service levy 
 68.13  equals the district's second tier debt service equalization 
 68.14  revenue times the lesser of one or the ratio of: 
 68.15     (1) the quotient derived by dividing the adjusted net tax 
 68.16  capacity of the district for the year before the year the levy 
 68.17  is certified by the adjusted pupil units in the district for the 
 68.18  school year ending in the year prior to the year the levy is 
 68.19  certified; to 
 68.20     (2) $9,000. 
 68.21     Sec. 4.  Minnesota Statutes 2000, section 123B.54, is 
 68.22  amended to read: 
 68.23     123B.54 [DEBT SERVICE APPROPRIATION.] 
 68.24     (a) ~~$33,141,000 in fiscal year 2000, $29,400,000 in fiscal~~ 
 68.25  ~~year 2001, $26,934,000~~ $53,250,000 in fiscal year ~~2002,~~ 2004 
 68.26  and ~~$24,540,000~~ $54,129,000 in fiscal year ~~2003~~ 2005 and each 
 68.27  year thereafter is appropriated from the general fund to the 
 68.28  commissioner of children, families, and learning for payment of 
 68.29  debt service equalization aid under section 123B.53.  
 68.30     (b) The appropriations in paragraph (a) must be reduced by 
 68.31  the amount of any money specifically appropriated for the same 
 68.32  purpose in any year from any state fund. 
 68.33     Sec. 5.  Minnesota Statutes 2000, section 126C.63, is 
 68.34  amended by adding a subdivision to read: 
 68.35     Subd. 8a.  [MAXIMUM EFFORT DEBT SERVICE LEVY.] Districts 
 68.36  granted a capital loan after January 1, 2001, must make an 
 69.1   additional general fund levy equal to the amount determined for 
 69.2   the next fiscal year according to the amortization schedule 
 69.3   certified under section 126C.72, subdivision 5.  The levy is 
 69.4   eligible for debt service equalization aid according to section 
 69.5   123B.53.  The district's general education aid for the next 
 69.6   fiscal year must be reduced by the amount of the net levy 
 69.7   remaining after the debt service equalization aid is subtracted. 
 69.8      Sec. 6.  Minnesota Statutes 2000, section 126C.69, 
 69.9   subdivision 3, is amended to read: 
 69.10     Subd. 3.  [DISTRICT REQUEST FOR REVIEW AND COMMENT.] A 
 69.11  district or a joint powers district that intends to apply for a 
 69.12  capital loan must submit a proposal to the commissioner for 
 69.13  review and comment according to section 123B.71 ~~by July 1 of an~~ 
 69.14  ~~odd-numbered year~~.  The commissioner shall prepare a review and 
 69.15  comment on the proposed facility, regardless of the amount of 
 69.16  the capital expenditure required to construct the facility.  In 
 69.17  addition to the information provided under section 123B.71, 
 69.18  subdivision 9, the commissioner shall require that predesign 
 69.19  packages comparable to those required under section 16B.335 be 
 69.20  prepared by the applicant school district.  The predesign 
 69.21  packages must be sufficient to define the scope, cost, and 
 69.22  schedule of the project and must demonstrate that the project 
 69.23  has been analyzed according to appropriate space needs standards 
 69.24  and also consider the following criteria in determining whether 
 69.25  to make a positive review and comment.  
 69.26     (a) To grant a positive review and comment the commissioner 
 69.27  shall determine that all of the following conditions are met: 
 69.28     (1) the facilities are needed for pupils for whom no 
 69.29  adequate facilities exist or will exist; 
 69.30     (2) ~~the district will serve, on average, at least 80 pupils~~ 
 69.31  ~~per grade or is eligible for elementary or secondary sparsity~~ 
 69.32  ~~revenue~~ there is evidence to indicate that the facilities will 
 69.33  have a useful public purpose for at least the term of the bonds; 
 69.34     (3) no form of cooperation with another district would 
 69.35  provide the necessary facilities; 
 69.36     (4) the facilities are comparable in size and quality to 
 70.1   facilities recently constructed in other districts that have 
 70.2   similar enrollments; 
 70.3      (5) the facilities are comparable in size and quality to 
 70.4   facilities recently constructed in other districts that are 
 70.5   financed without a capital loan; 
 70.6      (6) the district is projected to ~~maintain or increase its~~ 
 70.7   ~~average daily membership over the next five years or is eligible~~ 
 70.8   ~~for elementary or secondary sparsity revenue~~ have adequate funds 
 70.9   in its general operating budget to support a quality education 
 70.10  for its students for at least the next five years; 
 70.11     (7) the current facility poses a threat to the life, 
 70.12  health, and safety of pupils, and cannot reasonably be brought 
 70.13  into compliance with fire, health, or life safety codes; 
 70.14     (8) the district has made a good faith effort, as evidenced 
 70.15  by its maintenance expenditures, to adequately maintain the 
 70.16  existing facility during the previous ten years and to comply 
 70.17  with fire, health, and life safety codes and state and federal 
 70.18  requirements for handicapped accessibility; 
 70.19     (9) the district has made a good faith effort to encourage 
 70.20  integration of social service programs within the new facility; 
 70.21  ~~and~~ 
 70.22     (10) evaluations by boards of adjacent districts have been 
 70.23  received; 
 70.24     (11) the proposal includes a comprehensive technology plan 
 70.25  that assures information access for the students, parents, and 
 70.26  community; and 
 70.27     (12) the performance of the students indicates that the 
 70.28  district is providing a quality educational program for the 
 70.29  students it serves. 
 70.30     (b) The commissioner may grant a negative review and 
 70.31  comment if: 
 70.32     (1) the state demographer has examined the population of 
 70.33  the communities to be served by the facility and determined that 
 70.34  the communities have not grown during the previous five years; 
 70.35     (2) the state demographer determines that the economic and 
 70.36  population bases of the communities to be served by the facility 
 71.1   are not likely to grow or to remain at a level sufficient, 
 71.2   during the next ten years, to ensure use of the entire facility; 
 71.3      (3) the need for facilities could be met within the 
 71.4   district or adjacent districts at a comparable cost by leasing, 
 71.5   repairing, remodeling, or sharing existing facilities or by 
 71.6   using temporary facilities; 
 71.7      (4) the district plans do not include cooperation and 
 71.8   collaboration with health and human services agencies and other 
 71.9   political subdivisions; or 
 71.10     (5) if the application is for new construction, an existing 
 71.11  facility that would meet the district's needs could be purchased 
 71.12  at a comparable cost from any other source within the area. 
 71.13     Sec. 7.  Minnesota Statutes 2000, section 126C.69, 
 71.14  subdivision 9, is amended to read: 
 71.15     Subd. 9.  [LOAN AMOUNT LIMITS.] (a) A loan must not be 
 71.16  recommended for approval for a district exceeding an amount 
 71.17  computed as follows: 
 71.18     (1) the amount requested by the district under subdivision 
 71.19  6; 
 71.20     (2) plus the aggregate principal amount of general 
 71.21  obligation bonds of the district outstanding on June 30 of the 
 71.22  year following the year the application was received, not 
 71.23  exceeding the limitation on net debt of the district ~~in~~ on 
 71.24  December 1 of the year the application is received under section 
 71.25  475.53, subdivision 4~~, or 363 percent of its adjusted net tax~~ 
 71.26  ~~capacity as most recently determined, whichever is less~~; 
 71.27     (3) less the maximum net debt permissible for the district 
 71.28  on December 1 of the year the application is received, under the 
 71.29  limitation in section 475.53, subdivision 4~~, or 363 percent of~~ 
 71.30  ~~its adjusted net tax capacity as most recently determined,~~ 
 71.31  ~~whichever is less~~; 
 71.32     (4) less any amount by which the amount voted exceeds the 
 71.33  total cost of the facilities for which the loan is granted.  
 71.34     (b) The loan may be approved in an amount computed as 
 71.35  provided in paragraph (a), clauses (1) to (3), subject to later 
 71.36  reduction according to paragraph (a), clause (4). 
 72.1      Sec. 8.  Minnesota Statutes 2000, section 126C.69, 
 72.2   subdivision 12, is amended to read: 
 72.3      Subd. 12.  [CONTRACT.] (a) Each capital loan must be 
 72.4   evidenced by a contract between the district and the state 
 72.5   acting through the commissioner.  The contract must obligate the 
 72.6   state to reimburse the district, from the maximum effort school 
 72.7   loan fund, for eligible capital expenses for construction of the 
 72.8   facility for which the loan is granted, an amount computed as 
 72.9   provided in subdivision 9.  The commissioner must receive from 
 72.10  the district a certified resolution of the board estimating the 
 72.11  costs of construction and reciting that contracts for 
 72.12  construction of the facilities for which the loan is granted 
 72.13  have been awarded and that bonds of the district have been 
 72.14  issued and sold in the amount necessary to pay all estimated 
 72.15  costs of construction in excess of the amount of the loan.  The 
 72.16  contract must obligate the district to repay the loan out of the 
 72.17  excesses of its maximum effort debt service levy over its 
 72.18  required debt service levy, including interest at a rate equal 
 72.19  to the weighted average annual rate payable on Minnesota state 
 72.20  school loan bonds issued for the project and disbursed to the 
 72.21  districts on a reimbursement basis, but in no event less than 
 72.22  3-1/2 percent per year on the principal amount from time to time 
 72.23  unpaid. 
 72.24     (b) The district must each year, as long as it is indebted 
 72.25  to the state, levy for debt service (i) the amount of its 
 72.26  maximum effort debt service levy or (ii) the amount of its 
 72.27  required debt service levy, whichever is greater, except as the 
 72.28  required debt service levy may be reduced by a loan under 
 72.29  section 126C.68.  The district shall remit payments to the 
 72.30  commissioner according to section 126C.71. 
 72.31     (c) The commissioner shall supervise the collection of 
 72.32  outstanding accounts due the fund and may, by notice to the 
 72.33  proper county auditor, require the maximum levy to be made as 
 72.34  required in this subdivision.  Interest on capital loans must be 
 72.35  paid on December 15 of the year after the year the loan is 
 72.36  granted and annually in later years.  By September 30, the 
 73.1   commissioner shall notify the county auditor of each county 
 73.2   containing taxable property situated within the district of the 
 73.3   amount of the maximum effort debt service levy of the district 
 73.4   for that year.  The county auditor or auditors shall extend upon 
 73.5   the tax rolls an ad valorem tax upon all taxable property within 
 73.6   the district in the aggregate amount so certified. 
 73.7      (d) For districts granted a capital loan after January 1, 
 73.8   2001, the capital loan contract shall obligate the district to 
 73.9   certify an additional general fund levy for 20 years as 
 73.10  specified in section 126C.63, subdivision 8a. 
 73.11     Sec. 9.  Minnesota Statutes 2000, section 126C.72, is 
 73.12  amended by adding a subdivision to read: 
 73.13     Subd. 5.  [CAPITAL LOAN OBLIGATION.] (a) For districts 
 73.14  granted a capital loan after January 1, 2001, the commissioner 
 73.15  of finance shall establish a 20-year amortization schedule to 
 73.16  retire the state bonds issued to finance the capital loan.  The 
 73.17  commissioner of finance shall adjust the amortization schedule 
 73.18  for any refunding and for the actual interest rates for bonds 
 73.19  issued to fund the capital loan.  The amortization schedule and 
 73.20  any adjusted schedules shall be supplied to the school district, 
 73.21  county auditor, and commissioner of children, families, and 
 73.22  learning. 
 73.23     (b) Notwithstanding section 123B.53, the amount of debt 
 73.24  service equalization aid attributable to the additional general 
 73.25  fund levy under section 126C.63, subdivision 8a, shall not be 
 73.26  paid to the school district, but shall be transferred from the 
 73.27  debt service equalization aid appropriation to the state bond 
 73.28  fund each fiscal year.  In addition, an amount equal to the 
 73.29  general education aid reduction according to section 126C.63, 
 73.30  subdivision 8a, shall be transferred from the general education 
 73.31  aid appropriation to the state bond fund each fiscal year. 
 73.32     Sec. 10.  Minnesota Statutes 2000, section 475.53, 
 73.33  subdivision 4, is amended to read: 
 73.34     Subd. 4.  [SCHOOL DISTRICTS.] Except as otherwise provided 
 73.35  by law, no school district shall be subject to a net debt in 
 73.36  excess of ten ~~percent of the actual market value of all taxable~~ 
 74.1   ~~property situated within its corporate limits, as computed in~~ 
 74.2   ~~accordance with this subdivision.  The county auditor of each~~ 
 74.3   ~~county containing taxable real or personal property situated~~ 
 74.4   ~~within any school district shall certify to the district upon~~ 
 74.5   ~~request the market value of all such property.  Whenever the~~ 
 74.6   ~~commissioner of revenue, in accordance with section 127A.48,~~ 
 74.7   ~~subdivisions 1 to 6, has determined that the net tax capacity of~~ 
 74.8   ~~any district furnished by county auditors is not based upon the~~ 
 74.9   ~~market value of taxable property in the district, the~~ 
 74.10  ~~commissioner of revenue shall certify to the district upon~~ 
 74.11  ~~request the ratio most recently ascertained to exist between~~ 
 74.12  ~~such value and the actual market value of property within the~~ 
 74.13  ~~district.  The actual market value of property within a~~ 
 74.14  ~~district, on which its debt limit under this subdivision is~~ 
 74.15  ~~based, is (a) the value certified by the county auditors, or (b)~~ 
 74.16  ~~this value divided by the ratio certified by the commissioner of~~ 
 74.17  ~~revenue, whichever results in a higher value~~ times the most 
 74.18  recent adjusted net tax capacity of the district. 
 74.19     Sec. 11.  [APPROPRIATIONS.] 
 74.20     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 74.21  LEARNING.] The sums indicated in this section are appropriated 
 74.22  from the general fund to the department of children, families, 
 74.23  and learning for the fiscal years designated.  
 74.24     Subd. 2.  [HEALTH AND SAFETY AID.] For health and safety 
 74.25  aid according to Minnesota Statutes, section 123B.57, 
 74.26  subdivision 5: 
 74.27       $15,000,000    .....     2002 
 74.28       $14,550,000    .....     2003 
 74.29     The 2002 appropriation includes $1,500,000 for 2001 and 
 74.30  $13,500,000 for 2002. 
 74.31     The 2003 appropriation includes $1,500,000 for 2002 and 
 74.32  $13,050,000 for 2003. 
 74.33     Subd. 3.  [DEBT SERVICE AID.] For debt service aid 
 74.34  according to Minnesota Statutes, section 123B.53, subdivision 6: 
 74.35       $26,178,000    .....     2002 
 74.36       $30,502,000    .....     2003 
 75.1      The 2002 appropriation includes $2,864,000 for 2001 and 
 75.2   $23,314,000 for 2002. 
 75.3      The 2003 appropriation includes $2,590,000 for 2002 and 
 75.4   $27,912,000 for 2003. 
 75.5      Subd. 4.  [INTERACTIVE TELEVISION (ITV) AID.] For 
 75.6   interactive television (ITV) aid under Minnesota Statutes, 
 75.7   section 126C.40, subdivision 4: 
 75.8        $1,366,000     .....     2002 
 75.9        $123,000       .....     2003 
 75.10     The 2002 appropriation includes $259,000 for 2001 and 
 75.11  $1,107,000 for 2002. 
 75.12     The 2003 appropriation includes $123,000 for 2002 and $0 
 75.13  for 2003. 
 75.14     Subd. 5.  [ALTERNATIVE FACILITIES BONDING AID.] For 
 75.15  alternative facilities bonding aid, according to Minnesota 
 75.16  Statutes, section 123B.59, subdivision 1: 
 75.17       $19,280,000    .....     2002 
 75.18       $19,287,000    .....     2003 
 75.19     The 2002 appropriation includes $1,921,000 for 2001 and 
 75.20  $17,359,000 for 2002. 
 75.21     The 2003 appropriation includes $1,928,000 for 2002 and 
 75.22  $17,359,000 for 2003. 
 75.23     Subd. 6.  [TELECOMMUNICATION ACCESS REVENUE.] For 
 75.24  telecommunication access cost revenue under Minnesota Statutes, 
 75.25  section 125B.25: 
 75.26       $18,520,000    .....     2002 
 75.27       $1,852,000     .....     2003 
 75.28     The 2002 appropriation includes $1,852,000 for 2001 and 
 75.29  $16,668,000 for 2002. 
 75.30     The 2003 appropriation includes $1,852,000 for 2002 and $0 
 75.31  for 2003. 
 75.32     If the appropriation amount is insufficient, the 
 75.33  commissioner shall reduce the reimbursement rate in Minnesota 
 75.34  Statutes, section 125B.25, subdivisions 5 and 6, and the revenue 
 75.35  for the 2001-2002 school year shall be prorated.  The 
 75.36  reimbursement rate shall not exceed 100 percent. 
 76.1      Subd. 7.  [DECLINING PUPIL AID; ST. PETER.] For a grant to 
 76.2   independent school district No. 508, St. Peter, to ameliorate 
 76.3   general fund operating losses associated with the March 1998 
 76.4   tornado: 
 76.5        $173,000       .....     2002 
 76.6        $91,000        .....     2003 
 76.7      Subd. 8.  [FLOODS; DECLINING PUPIL AID.] For declining 
 76.8   pupil aid under Laws 2000, chapter 489, article 5, section 23: 
 76.9        $921,000       .....     2002 
 76.10                             ARTICLE 8 
 76.11                         NUTRITION PROGRAMS 
 76.12     Section 1.  [124D.1156] [FAST BREAK TO LEARNING BREAKFAST 
 76.13  PROGRAM.] 
 76.14     Subdivision 1.  [PURPOSE.] The purpose of the fast break to 
 76.15  learning breakfast program is to ensure that all children have 
 76.16  an opportunity to eat a nutritious breakfast each school day and 
 76.17  that barriers such as the social stigma of poverty, or 
 76.18  inadequate facilities or transportation, do not deny student 
 76.19  access to nutritious food. 
 76.20     Subd. 2.  [ELIGIBILITY.] The commissioner shall provide 
 76.21  funding to the 41 targeted breakfast program grant recipients 
 76.22  under Laws 1997, First Special Session chapter 4, article 6, 
 76.23  section 19, and then to public or nonpublic elementary schools 
 76.24  that participate in the federal School Breakfast and Lunch 
 76.25  Programs where at least 33 percent of the lunches served to 
 76.26  children during the second preceding school year were provided 
 76.27  free or at a reduced price.  Schools shall not charge student 
 76.28  households for fast break to learning meals.  Schools shall 
 76.29  encourage all children to eat a nutritious breakfast, either at 
 76.30  home or at school, and shall work to eliminate barriers to 
 76.31  participation at school such as inadequate facilities and 
 76.32  transportation. 
 76.33     Subd. 3.  [PROGRAM.] The fast break to learning school 
 76.34  breakfast program enables schools participating in the federal 
 76.35  School Breakfast and Lunch Programs to cover the costs for 
 76.36  school breakfast without charging student households. 
 77.1      Subd. 4.  [PROGRAM REIMBURSEMENT.] State funds are provided 
 77.2   to reimburse fast break to learning school breakfasts.  Each 
 77.3   school year, the state must reimburse schools for the difference 
 77.4   between the per meal federal rate of reimbursement and the per 
 77.5   meal state average cost.  Meals that are reimbursed at a federal 
 77.6   rate that is equal to or higher than the state average cost do 
 77.7   not qualify for fast break to learning funds.  Schools must use 
 77.8   the funds to provide school breakfast to school children every 
 77.9   day school is in session. 
 77.10     Sec. 2.  [124D.1195] [COMMODITY DONATED FOOD REVOLVING 
 77.11  FUND.] 
 77.12     A revolving fund is established for the purpose of 
 77.13  depositing cash received for commodity donated foods that have 
 77.14  been lost, damaged, recalled, or diverted for processing.  The 
 77.15  state shall use the fund to issue payments for the value of the 
 77.16  lost, damaged, recalled, or diverted commodity donated foods and 
 77.17  related costs. 
 77.18     Sec. 3.  Minnesota Statutes 2000, section 127A.45, 
 77.19  subdivision 12, is amended to read: 
 77.20     Subd. 12.  [PAYMENT PERCENTAGE FOR CERTAIN AIDS.] One 
 77.21  hundred percent of the aid for the current fiscal year must be 
 77.22  paid for the following aids:  reimbursement for transportation 
 77.23  to post-secondary institutions, according to section 124D.09, 
 77.24  subdivision 22; aid for the program for adults with 
 77.25  disabilities, according to section 124D.56, subdivision 2; 
 77.26  ~~school lunch aid, according to section 124D.111;~~ hearing 
 77.27  impaired support services aid, according to section 124D.57; 
 77.28  Indian post-secondary preparation grants according to section 
 77.29  124D.85; integration grants according to Laws 1989, chapter 329, 
 77.30  article 8, section 14, subdivision 3; and debt service aid 
 77.31  according to section 123B.53, subdivision 6. 
 77.32     Sec. 4.  Minnesota Statutes 2000, section 127A.45, is 
 77.33  amended by adding a subdivision to read: 
 77.34     Subd. 14a.  [STATE NUTRITION PROGRAMS.] Notwithstanding 
 77.35  subdivision 3, the state shall pay 100 percent of the aid for 
 77.36  the current year according to sections 124D.111, 124D.115, and 
 78.1   124D.118 and 90 percent of the aid for the current year 
 78.2   according to section 124D.1156 based on submitted monthly 
 78.3   vouchers showing meals and milk served.  The remaining ten 
 78.4   percent according to section 124D.1156 shall be paid by October 
 78.5   30 of the following fiscal year. 
 78.6      Sec. 5.  [APPROPRIATIONS.] 
 78.7      Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 78.8   LEARNING.] The sums indicated in this section are appropriated 
 78.9   from the general fund to the department of children, families, 
 78.10  and learning for the fiscal years designated. 
 78.11     Subd. 2.  [SCHOOL LUNCH.] (a) For school lunch aid 
 78.12  according to Minnesota Statutes, section 124D.111, and Code of 
 78.13  Federal Regulations, title 7, section 210.17, and for school 
 78.14  milk aid according to Minnesota Statutes, section 124D.118:  
 78.15       $8,710,000     .....     2002 
 78.16       $8,950,000     .....     2003 
 78.17     (b) Not more than $800,000 of the amount appropriated each 
 78.18  year may be used for school milk aid. 
 78.19     Subd. 3.  [SCHOOL BREAKFAST.] For school breakfast aid 
 78.20  under Minnesota Statutes, section 124D.115: 
 78.21       $640,000       .....     2002 
 78.22       $700,000       .....     2003 
 78.23     Subd. 4.  [SUMMER FOOD SERVICE REPLACEMENT AID.] For summer 
 78.24  food service replacement aid under Minnesota Statutes, section 
 78.25  124D.119: 
 78.26       $150,000       .....     2002 
 78.27       $150,000       .....     2003 
 78.28     Subd. 5.  [FAST BREAK TO LEARNING GRANTS.] For fast break 
 78.29  to learning grants under Minnesota Statutes, section 124D.1156: 
 78.30       $2,446,000     .....     2002 
 78.31       $2,839,000     .....     2003 
 78.32     The 2002 appropriation includes $0 for 2001 and $2,446,000 
 78.33  for 2002. 
 78.34     The 2003 appropriation includes $272,000 for 2002 and 
 78.35  $2,567,000 for 2003. 
 78.36     Sec. 6.  [REPEALER.] 
 79.1      Minnesota Statutes 2000, section 124D.1155, is repealed. 
 79.2                              ARTICLE 9 
 79.3                              LIBRARIES 
 79.4      Section 1.  Minnesota Statutes 2000, section 125B.20, 
 79.5   subdivision 1, is amended to read: 
 79.6      Subdivision 1.  [ESTABLISHMENT; PURPOSE.] The purpose of 
 79.7   developing a statewide school district telecommunications 
 79.8   network is to expand the availability of a broad range of 
 79.9   courses and degrees to students throughout the state, to share 
 79.10  information resources to improve access, quality, and 
 79.11  efficiency, to improve learning, and distance cooperative 
 79.12  learning opportunities, and to promote the exchange of ideas 
 79.13  among students, parents, teachers, media generalists, 
 79.14  librarians, and the public.  In addition, through the 
 79.15  development of this statewide telecommunications network 
 79.16  emphasizing cost-effective, competitive connections, all 
 79.17  Minnesotans will benefit by enhancing access to 
 79.18  telecommunications technology throughout the state.  Network 
 79.19  connections for school districts and public libraries are 
 79.20  coordinated and fully integrated into the existing state 
 79.21  telecommunications and interactive television networks to 
 79.22  achieve comprehensive and efficient interconnectivity of school 
 79.23  districts and libraries to higher education institutions, state 
 79.24  agencies, other governmental units, agencies, and institutions 
 79.25  throughout Minnesota.  A school district may apply to the 
 79.26  commissioner for a grant under subdivision 2~~, and a regional~~ 
 79.27  ~~public library may apply under subdivision 3~~.  The Minnesota 
 79.28  education telecommunications council established in Laws 1995, 
 79.29  First Special Session chapter 3, article 12, section 7, shall 
 79.30  establish priorities for awarding grants, making grant awards, 
 79.31  and being responsible for the coordination of networks. 
 79.32     Sec. 2.  [134.47] [REGIONAL LIBRARY TELECOMMUNICATIONS 
 79.33  AID.] 
 79.34     Subdivision 1.  [ELIGIBILITY.] (a) A regional public 
 79.35  library system may apply for regional library telecommunications 
 79.36  aid.  The aid must be used for data and video access costs and 
 80.1   other related costs to improve or maintain electronic access and 
 80.2   connect the library system with the state information 
 80.3   infrastructure administered by the department of administration 
 80.4   under section 16B.465.  Priority shall be given to public 
 80.5   libraries that have not received access.  To be eligible, a 
 80.6   regional public library system must be officially designated by 
 80.7   the commissioner of children, families, and learning as a 
 80.8   regional public library system as defined in section 134.34, 
 80.9   subdivision 3, and each of its participating cities and counties 
 80.10  must meet local support levels defined in section 134.34, 
 80.11  subdivision 1.  A public library building that receives aid 
 80.12  under this section must be open a minimum of 20 hours per week. 
 80.13     (b) Aid received under this section may not be used to 
 80.14  substitute for any existing local funds allocated to provide 
 80.15  electronic access, or equipment for library staff or the public, 
 80.16  or local funds dedicated to other library operations. 
 80.17     (c) An application for regional library telecommunications 
 80.18  aid must, at a minimum, contain information to document the 
 80.19  following: 
 80.20     (1) that the data line or video link relies on a transport 
 80.21  medium that operates at a minimum speed of 1.544 megabytes per 
 80.22  second for each regional public library system headquarters or 
 80.23  public library building and employs an open network architecture 
 80.24  that will ensure interconnectivity and interoperability with 
 80.25  school districts, post-secondary education, or other 
 80.26  governmental agencies; 
 80.27     (2) that the connection is established through the most 
 80.28  cost-effective means and that the regional library has explored 
 80.29  and coordinated connections through school districts, 
 80.30  post-secondary education, or other governmental agencies; 
 80.31     (3) that the connection and system will be connected to the 
 80.32  state information infrastructure through the department of 
 80.33  administration under section 16B.465 and that a network services 
 80.34  and management agreement is in place; 
 80.35     (4) the vendor selected will provide service from the 
 80.36  library to a state information infrastructure hub or through a 
 81.1   more cost-effective connection point to the state information 
 81.2   infrastructure; 
 81.3      (5) the regional library system has filed an e-rate 
 81.4   application; and 
 81.5      (6) other information, as determined by the commissioner of 
 81.6   children, families, and learning, to ensure that connections are 
 81.7   coordinated, efficient, and cost-effective; take advantage of 
 81.8   discounts; and meet applicable state standards. 
 81.9      The library system may include costs associated with 
 81.10  cooperative arrangements with post-secondary institutions, 
 81.11  school districts, and other governmental agencies. 
 81.12     Subd. 2.  [AWARD OF FUNDS.] The commissioner of children, 
 81.13  families, and learning shall develop application and reporting 
 81.14  form and procedures for regional library telecommunications 
 81.15  aid.  Aid shall be based on actual costs of connections and 
 81.16  funds available for this purpose.  The commissioner shall make 
 81.17  payments directly to the regional public library system. 
 81.18     Sec. 3.  [APPROPRIATIONS.] 
 81.19     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 81.20  LEARNING.] The sums indicated in this section are appropriated 
 81.21  from the general fund to the department of children, families, 
 81.22  and learning for the fiscal years designated.  
 81.23     Subd. 2.  [BASIC SUPPORT GRANTS.] For basic support grants 
 81.24  according to Minnesota Statutes, sections 134.32 to 134.35: 
 81.25       $8,570,000     .....     2002 
 81.26       $8,570,000     .....     2003 
 81.27     The 2002 appropriation includes $857,000 for 2001 and 
 81.28  $7,713,000 for 2002. 
 81.29     The 2003 appropriation includes $857,000 for 2002 and 
 81.30  $7,713,000 for 2003. 
 81.31     Subd. 3.  [MULTICOUNTY, MULTITYPE LIBRARY SYSTEMS.] For 
 81.32  grants according to Minnesota Statutes, sections 134.353 and 
 81.33  134.354, to multicounty, multitype library systems: 
 81.34       $903,000       .....     2002 
 81.35       $903,000       .....     2003 
 81.36     The 2002 appropriation includes $90,000 for 2001 and 
 82.1   $813,000 for 2002. 
 82.2      The 2003 appropriation includes $90,000 for 2002 and 
 82.3   $813,000 for 2003. 
 82.4      Subd. 4.  [REGIONAL LIBRARY TELECOMMUNICATIONS AID.] For 
 82.5   aid to regional public library systems under Minnesota Statutes, 
 82.6   section 134.47: 
 82.7        $1,200,000     .....     2002 
 82.8        $1,200,000     .....     2003 
 82.9      Any balance in the first year does not cancel but is 
 82.10  available in the second year. 
 82.11     Sec. 4.  [REPEALER.] 
 82.12     Minnesota Statutes 2000, section 125B.20, subdivision 3, is 
 82.13  repealed. 
 82.14                             ARTICLE 10 
 82.15                           STATE AGENCIES 
 82.16     Section 1.  [APPROPRIATIONS; DEPARTMENT OF CHILDREN, 
 82.17  FAMILIES, AND LEARNING.] 
 82.18     Subdivision 1.  [DEPARTMENT OF CHILDREN, FAMILIES, AND 
 82.19  LEARNING.] Unless otherwise indicated, the sums indicated in 
 82.20  this section are appropriated from the general fund to the 
 82.21  department of children, families, and learning for the fiscal 
 82.22  years designated. 
 82.23     Subd. 2.  [DEPARTMENT.] (a) For the department of children, 
 82.24  families, and learning: 
 82.25       $32,049,000    .....     2002 
 82.26       $32,567,000    .....     2003 
 82.27     Any balance in the first year does not cancel but is 
 82.28  available in the second year. 
 82.29     (b) $260,000 each year is for the Minnesota Children's 
 82.30  Museum. 
 82.31     (c) $625,000 in 2002 and $625,000 in 2003 is for the 
 82.32  Minnesota foundation for student organizations. 
 82.33     (d) $684,000 in 2002 and $690,000 in 2003 is for the board 
 82.34  of teaching. 
 82.35     (e) The expenditures of federal grants and aids as shown in 
 82.36  the biennial budget document and its supplements are approved 
 83.1   and appropriated and shall be spent as indicated. 
 83.2      Sec. 2.  [APPROPRIATIONS; PERPICH CENTER FOR ARTS 
 83.3   EDUCATION.] 
 83.4      The sums indicated in this section are appropriated from 
 83.5   the general fund to the Perpich center for arts education for 
 83.6   the fiscal years designated: 
 83.7        $7,531,000     .....     2002 
 83.8        $7,666,000     .....     2003 
 83.9      Any balance in the first year does not cancel but is 
 83.10  available in the second year. 
 83.11     Sec. 3.  [APPROPRIATIONS; FARIBAULT ACADEMIES.] 
 83.12     The sums indicated in this section are appropriated from 
 83.13  the general fund to the Faribault academies for the deaf and the 
 83.14  blind for the fiscal years designated:  
 83.15       $10,761,000    .....     2002 
 83.16       $10,966,000    .....     2003 
 83.17     Any balance in the first year does not cancel but is 
 83.18  available in the second year.