1.1 	A bill for an act
1.2 	relating to education finance; modifying certain general education revenue 
1.3 	provisions;amending Minnesota Statutes 2014, section 126C.10, subdivision 1, 
1.4 	by adding a subdivision.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. Minnesota Statutes 2014, section 126C.10, subdivision 1, is amended to read:
1.7 		Subdivision 1.General education revenue. (a) For fiscal years 2013 and 2014, the 
1.8 	general education revenue for each district equals the sum of the district's basic revenue, 
1.9 	extended time revenue, gifted and talented revenue, small schools revenue, basic skills 
1.10 	revenue, secondary sparsity revenue, elementary sparsity revenue, transportation sparsity 
1.11 	revenue, total operating capital revenue, equity revenue, alternative teacher compensation 
1.12 	revenue, and transition revenue.
1.13 	(b) For fiscal year 2015 2016 and later, the general education revenue for each 
1.14 	district equals the sum of the district's basic revenue, extended time revenue, gifted and 
1.15 	talented revenue, declining enrollment revenue, local optional revenue, small schools 
1.16 	revenue, basic skills revenue, secondary sparsity revenue, elementary sparsity revenue, 
1.17 	transportation sparsity revenue, total operating capital revenue, equity revenue, pension 
1.18 	adjustment revenue, teacher development and evaluation revenue, and transition revenue.

1.19 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2016 and 
1.20 	later.

1.21 	Sec. 2. Minnesota Statutes 2014, section 126C.10, is amended by adding a subdivision 
1.22 	to read:
2.1 		Subd. 38.Teacher development and evaluation revenue. Teacher development 
2.2 	and evaluation revenue for a school district, intermediate school district, or charter school 
2.3 	that does not have an alternative professional pay system agreement under section 
2.4 	122A.414, subdivision 2, equals $302 times the number of full-time equivalent teachers 
2.5 	employed on October 1 of the previous school year. Revenue under this section must 
2.6 	be reserved for teacher development and evaluation activities consistent with section 
2.7 	122A.40, subdivision 8, or section 122A.41, subdivision 5. For the purposes of this 
2.8 	section, "teacher" has the meaning given it in section 122A.40, subdivision 1, or section 
2.9 	122A.41, subdivision 1.

2.10 	EFFECTIVE DATE. This section is effective for revenue in fiscal year 2016 and 
2.11 	later.