1.1                          A bill for an act
  1.2             relating to education; modifying the enhanced pairing 
  1.3             agreement for independent school district Nos. 648, 
  1.4             Danube, 654, Renville, 655, Sacred Heart, and 631, 
  1.5             Belview; amending Laws 1995, First Special Session 
  1.6             chapter 3, article 6, section 17, subdivisions 2, 4, 
  1.7             and by adding subdivisions. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  Laws 1995, First Special Session chapter 3, 
  1.10  article 6, section 17, subdivision 2, is amended to read: 
  1.11     Subd. 2.  [SINGLE BOARD.] The districts shall provide in 
  1.12  the enhanced pairing agreement that the governance of the 
  1.13  districts will be by the combined membership of the separate 
  1.14  boards acting as a single board for purposes of quorum and 
  1.15  passing resolutions.  A quorum must include a minimum of one 
  1.16  member from each of the separate boards.  The membership of the 
  1.17  separate boards may be reduced to ~~five~~ four members in a manner 
  1.18  consistent with Minnesota Statutes, section 123.33, subdivision 
  1.19  1.  The actions reserved for the separate boards shall be 
  1.20  ratification of amendments to the agreement, serving a notice of 
  1.21  withdrawal from the agreement, and other items reserved for the 
  1.22  separate boards as defined in the agreement. 
  1.23     Sec. 2.  Laws 1995, First Special Session chapter 3, 
  1.24  article 6, section 17, subdivision 4, is amended to read: 
  1.25     Subd. 4.  [FINANCIAL.] (a) Fiscal operations shall be 
  1.26  merged under the enhanced pairing agreement, and the single 
  2.1   board shall be the fiscal agent to meet reporting requirements.  
  2.2   The department of ~~education~~ children, families, and learning 
  2.3   shall assign a single identification number to apply to the 
  2.4   districts subject to the agreement.  Aid entitlements and levy 
  2.5   limitations shall be the sum of the amounts computed separately 
  2.6   for each of the districts participating in the enhanced pairing 
  2.7   agreement.  Levies shall be made jointly ~~except for levies under~~ 
  2.8   ~~Minnesota Statutes, sections 124A.03 and 124.97~~ by the single 
  2.9   board, and shall be spread on all taxable property in the 
  2.10  districts participating in the enhanced pairing agreement.  
  2.11  Districts subject to the agreement shall be considered a single 
  2.12  independent school district for purposes of fees or dues 
  2.13  assessments. 
  2.14     (b) Notwithstanding paragraph (a), the single board may 
  2.15  spread a levy under Minnesota Statutes, section 124A.03, 
  2.16  approved before January 1, 1996, and levies under sections 
  2.17  124.2714, 124.83, 124.84, and 124.97, on the property which is 
  2.18  taxable in each school district participating in the enhanced 
  2.19  pairing agreement according to the separate levy limitations 
  2.20  computed for each district.  The single board shall certify to 
  2.21  the county auditor and the department of children, families, and 
  2.22  learning the amount of the levy to be spread on the taxable 
  2.23  property in each district according to this paragraph. 
  2.24     (c) Title to all the unattached property and all cash 
  2.25  reserves of any district subject to the enhanced pairing 
  2.26  agreement shall become the property of the single board unless 
  2.27  otherwise provided for in the agreement.  All legally valid and 
  2.28  enforceable claims and contract obligations pass to the single 
  2.29  board.  For purposes of litigation, the districts subject to the 
  2.30  agreement may be recognized singly or jointly.  If the agreement 
  2.31  dissolves or a board withdraws from the agreement, the 
  2.32  commissioner shall divide assets and liabilities of the single 
  2.33  board proportionately based on the weighted average daily 
  2.34  membership over the last three years. 
  2.35     Sec. 3.  Laws 1995, First Special Session chapter 3, 
  2.36  article 6, section 17, is amended by adding a subdivision to 
  3.1   read: 
  3.2      Subd. 4a.  [REFERENDUM REVENUE.] (a) The single board shall 
  3.3   submit the question of authorizing referendum revenue under 
  3.4   Minnesota Statutes, section 124A.03, to the voters of the 
  3.5   districts subject to the agreement.  A majority of those voting 
  3.6   in the affirmative on the question is sufficient to authorize 
  3.7   the referendum revenue.  The single board must certify the vote 
  3.8   of the election. 
  3.9      (b) As of the effective date of the dissolution of the 
  3.10  enhanced pairing agreement, the authorization for all referendum 
  3.11  revenues under Minnesota Statutes, section 124A.03, previously 
  3.12  approved by the voters of the districts subject to the agreement 
  3.13  is canceled. 
  3.14     Sec. 4.  Laws 1995, First Special Session chapter 3, 
  3.15  article 6, section 17, is amended by adding a subdivision to 
  3.16  read: 
  3.17     Subd. 4b.  [REFERENDUM; DEBT.] The single board shall 
  3.18  submit the question of authorizing bonded debt to the voters of 
  3.19  the districts subject to the agreement.  The question submitted 
  3.20  shall state the total amount of funding needed from all 
  3.21  sources.  A majority of those voting in the affirmative on the 
  3.22  question is sufficient to authorize the bonded debt.  The single 
  3.23  board must certify the vote of the election, and authorize the 
  3.24  school boards to issue the bonds on public sale in accordance 
  3.25  with Minnesota Statutes, chapter 475. 
  3.26     Sec. 5.  Laws 1995, First Special Session chapter 3, 
  3.27  article 6, section 17, is amended by adding a subdivision to 
  3.28  read: 
  3.29     Subd. 4c.  [DATA REPORTING.] (a) For purposes of computing 
  3.30  aid entitlements and levy limitations for the school districts 
  3.31  participating in the enhanced pairing agreement, the 
  3.32  commissioner must allocate combined financial data among the 
  3.33  participating school districts based on the number of actual 
  3.34  pupil units in each school district in the year for which 
  3.35  financial data are allocated. 
  3.36     (b) Notwithstanding paragraph (a), if requested by the 
  4.1   single board, the commissioner may allocate financial data among 
  4.2   participating school districts based on estimates of actual 
  4.3   expenditures for projects or services by school district. 
  4.4      Sec. 6.  [EFFECTIVE DATE.] 
  4.5      Section 2 is effective for levy calculations for taxes 
  4.6   payable in 1996 and later.  The commissioner of the department 
  4.7   of children, families, and learning shall adjust levy 
  4.8   calculations as necessary to be consistent with section 2.