1.1 	A bill for an act
1.2 	relating to education finance; creating a system to
1.3 	finance replacement school buses; appropriating money.
1.4 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.5 	Section 1. SCHOOL BUS LOAN; CARPENTER SCHOOL BUSES.
 1.6 		Subdivision 1.Bus loan revenue. In fiscal year 2006
1.7 	only, a school district may receive bus loan revenue equal to up
1.8 	to $30,000 times the number of Carpenter school buses in its
1.9 	fleet between March 30, 2003, and March 30, 2004, that have been
1.10 	determined to have potentially defective welds and are subject
1.11 	to the limitations imposed by the Department of Public Safety.
1.12 	A school district that is eligible to receive revenue under this
1.13 	subdivision must approve a board resolution to receive revenue
1.14 	according to this section.
1.15 		Subd. 2.Levy. For taxes payable in 2006 through 2009, a
1.16 	school district that receives revenue under subdivision 1 must
1.17 	levy an amount equal to its bus loan revenue times .25.
1.18 		Subd. 3.General education revenue withholding. For
1.19 	fiscal years 2007 through 2010, the Department of Education
1.20 	shall reduce the general education aid under Minnesota Statutes,
1.21 	section 126C.13, subdivision 4, for each district that receives
1.22 	revenue under subdivision 1 in an amount equal to the district's
1.23 	bus loan revenue times .25.

1.24 	Sec. 2. APPROPRIATION; SCHOOL BUS LOAN REVENUE.
 2.1 	The sum indicated in this section is appropriated from the
2.2 	general fund to the commissioner of education for the fiscal
2.3 	year designated for school bus loan revenue under section 1:
2.4 	$3,630,000 .....2006