1.1                          A bill for an act 
  1.2             relating to school transportation; establishing school 
  1.3             transportation choice program; requiring school 
  1.4             districts to allocate transportation funds for choice 
  1.5             program and offer transportation choice certificates; 
  1.6             establishing procedures for participation in and 
  1.7             administration of program; defining eligibility for 
  1.8             payments under program; requiring department of public 
  1.9             safety to inspect and issue safety certificates for 
  1.10            transportation choice vehicles and to conduct driver 
  1.11            background checks; exempting transportation choice 
  1.12            providers from certain regulations; requiring 
  1.13            metropolitan council to issue transit passes; amending 
  1.14            Minnesota Statutes 1994, sections 169.451, as amended; 
  1.15            221.025; and 473.408, by adding a subdivision; 
  1.16            Minnesota Statutes 1995 Supplement, section 171.321, 
  1.17            subdivision 3; proposing coding for new law in 
  1.18            Minnesota Statutes, chapter 123. 
  1.19  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.20     Section 1.  [123.791] [SCHOOL TRANSPORTATION CHOICE.] 
  1.21     Subdivision 1.  [POLICY.] It is the policy of the state to 
  1.22  maximize transportation efficiency in the state and to expand 
  1.23  parent choices for their children in the area of education by 
  1.24  providing flexible school transportation options. 
  1.25     Subd. 2.  [PUPIL ELIGIBILITY.] Any pupil who is eligible 
  1.26  for district transportation as defined in section 124.225, 
  1.27  subdivision 1, paragraph (c), clauses (1), (3), (4), and (5), is 
  1.28  eligible for the transportation choice program. 
  1.29     Subd. 3.  [DISTRICT BUDGET AND CERTIFICATE AMOUNT.] Each 
  1.30  year the district shall determine a separate certificate amount 
  1.31  for handicapped transportation and regular transportation pupils.
  1.32     (a) The initial handicapped transportation certificate 
  2.1   shall be equal to 80 percent of the district's previous year's 
  2.2   handicapped transportation expenditure budget divided by the 
  2.3   number of pupils eligible for handicapped transportation 
  2.4   according to section 124.225, subdivision 1, paragraph (c), 
  2.5   clause (5).  The school board may, by resolution, establish a 
  2.6   system to adjust this amount per pupil based on special 
  2.7   transportation needs, distance from school, attendance 
  2.8   boundaries, and other variables that directly impact the cost of 
  2.9   transportation. 
  2.10     (b) The initial regular transportation certificate shall be 
  2.11  equal to 80 percent of the district's previous year's regular 
  2.12  transportation expenditure budget divided by the number of 
  2.13  pupils eligible for transportation according to section 124.225, 
  2.14  subdivision 1, paragraph (c), clauses (1), (3), and (4).  The 
  2.15  school board may, by resolution, establish a system to adjust 
  2.16  this amount per pupil based on special transportation needs, 
  2.17  distance from school, attendance boundaries, and other variables 
  2.18  that directly impact the cost of transportation. 
  2.19     Subd. 4.  [CHOICE CERTIFICATE.] No later than February 1 of 
  2.20  each year, a district shall deliver notification of the 
  2.21  transportation choice program to parents or guardians of all 
  2.22  children who will be eligible for district school transportation 
  2.23  in the next school year.  The notification must explain the 
  2.24  transportation choice option, the range of available choice 
  2.25  certificate amounts, the qualifications of a provider eligible 
  2.26  for payment under the choice program, and the procedure and 
  2.27  deadline for applying to the district for a choice certificate.  
  2.28  No later than March 1, the district shall provide to all 
  2.29  eligible applicants a choice certificate, which must set forth 
  2.30  an amount pursuant to subdivision 3, and must establish a 
  2.31  procedure and deadline for the parent or guardian to elect to 
  2.32  use the choice certificate for the next school year.  The 
  2.33  election procedure must require the parent or guardian to 
  2.34  identify by name and address the school transportation choice 
  2.35  provider, which must be a private transportation provider 
  2.36  qualified under subdivision 7, or a provider of public 
  3.1   transportation, but may not be parents or guardians transporting 
  3.2   their own children, or children themselves.  The choice 
  3.3   certificate must state that the child of a parent or guardian 
  3.4   who elects to participate in the school transportation choice 
  3.5   program shall not be entitled to school transportation provided 
  3.6   by the district for the next school year. 
  3.7      Subd. 5.  [ELECTION TO USE CHOICE CERTIFICATE.] A parent or 
  3.8   guardian of a child who is eligible for a choice certificate may 
  3.9   elect to use the choice certificate according to its terms.  By 
  3.10  electing to use the choice certificate, a parent or guardian 
  3.11  accepts responsibility for the child's school transportation.  
  3.12  To be effective, the election must be delivered to the district 
  3.13  in the form and by the deadline stated in the election form.  
  3.14  The child of a parent or guardian who elects to use the choice 
  3.15  certificate shall not be entitled to school transportation 
  3.16  provided by the district, unless the parent or guardian 
  3.17  furnishes written notice to the district of an intent to 
  3.18  discontinue use of the choice certificate.  A parent or guardian 
  3.19  discontinuing use of the choice certificate before the end of 
  3.20  the quarter shall reimburse the district for certificate amounts 
  3.21  for the remainder of the quarter in an amount determined by the 
  3.22  district.  A parent's or guardian's failure to make timely 
  3.23  election for a child shall result in the unavailability of the 
  3.24  choice certificate for that child for the next school year, but 
  3.25  the child shall remain eligible for district transportation.  A 
  3.26  district must offer a choice certificate to a parent or guardian 
  3.27  of a child who becomes eligible for district transportation 
  3.28  after February 1. 
  3.29     Subd. 6.  [ADMINISTRATION.] The district may retain the 
  3.30  amounts represented by choice certificates issued to parents or 
  3.31  guardians who do not elect to use the certificates.  For each 
  3.32  election of a choice certificate, the district shall remit the 
  3.33  amount of the choice certificate in four equal payments to the 
  3.34  public transportation provider or transportation choice private 
  3.35  provider identified in the election form, upon the district's 
  3.36  verification that a child was entitled to district school 
  4.1   transportation during the previous quarter, and upon 
  4.2   verification that the provider has made the showing required in 
  4.3   subdivision 7 if the provider is a transportation choice private 
  4.4   provider.  The district shall furnish to a public transit 
  4.5   provider the names and addresses of all students who identify 
  4.6   the public provider in their election forms. 
  4.7      Subd. 7.  [TRANSPORTATION CHOICE PRIVATE PROVIDERS.] A 
  4.8   transportation choice private provider is a provider who is not 
  4.9   a parent or guardian of the child being transported, the child, 
  4.10  or a public transportation provider.  A transportation choice 
  4.11  private provider shall be eligible for payment under the 
  4.12  transportation choice program if it provides documentation to 
  4.13  the district of the following: 
  4.14     (1) transportation of school children only with vehicles 
  4.15  that meet Type III standards under section 169.454; 
  4.16     (2) display of a current inspection certificate issued by 
  4.17  the commissioner of public safety under section 169.451 in each 
  4.18  vehicle used to transport children to or from school; 
  4.19     (3) existence of a valid commercial insurance policy in 
  4.20  effect, including the name of the insurance company and the 
  4.21  number of the insurance policy, which provides stated limits of 
  4.22  liability, exclusive of interest and costs, with respect to each 
  4.23  vehicle for which coverage is granted of not less than $100,000 
  4.24  because of bodily injury to one person in any one accident, and, 
  4.25  subject to the limit for one person, of not less than $300,000 
  4.26  because of injury to two or more persons in any one accident and 
  4.27  of not less than $100,000 because of injury to or destruction of 
  4.28  property; and 
  4.29     (4) clearance for each individual who drives for the 
  4.30  provider based on a criminal and driver's license records 
  4.31  check.  If the driver has resided in Minnesota for less than 
  4.32  five years, the check shall also include a criminal records 
  4.33  check of information from the state law enforcement agencies in 
  4.34  the state where the person resided during the five years before 
  4.35  moving to Minnesota, and of the national criminal records 
  4.36  repository including the criminal justice data communications 
  5.1   network. 
  5.2      Sec. 2.  Minnesota Statutes 1994, section 169.451, as 
  5.3   amended by Laws 1995, First Special Session chapter 3, article 
  5.4   2, section 35, is amended to read: 
  5.5      169.451 [SCHOOL BUS, TRANSPORTATION CHOICE VEHICLE, AND 
  5.6   HEAD START BUS INSPECTION; RULES; PENALTY.] 
  5.7      Subdivision 1.  [ANNUAL REQUIREMENT.] The Minnesota state 
  5.8   patrol shall inspect every school bus, every transportation 
  5.9   choice private provider vehicle within the meaning of section 
  5.10  123.791, and every Head Start bus annually to ascertain whether 
  5.11  its construction, design, equipment, and color comply with all 
  5.12  provisions of law. 
  5.13     Subd. 2.  [INSPECTION CERTIFICATE.] No person shall drive, 
  5.14  or no owner shall knowingly permit or cause to be driven, any 
  5.15  school bus, transportation choice private provider vehicle 
  5.16  within the meaning of section 123.791, or Head Start bus unless 
  5.17  there is displayed thereon a certificate issued by the 
  5.18  commissioner of public safety stating that on a certain date, 
  5.19  which shall be within 13 months of the date of operation, a 
  5.20  member of the Minnesota state patrol inspected the bus or 
  5.21  vehicle and found that on the date of inspection the bus or 
  5.22  vehicle complied with the applicable provisions of state law 
  5.23  relating to construction, design, equipment, and color. 
  5.24     Subd. 3.  [RULES OF COMMISSIONER.] (a) The commissioner of 
  5.25  public safety shall provide by rule for the issuance and display 
  5.26  of distinctive inspection certificates. 
  5.27     (b) The commissioner of public safety shall provide by rule 
  5.28  a point system for evaluating the effect on safety operation of 
  5.29  any variance from law detected during inspections conducted 
  5.30  pursuant to subdivision 1. 
  5.31     Subd. 4.  [VIOLATIONS; PENALTY.] The state patrol shall 
  5.32  enforce subdivision 2.  A violation of subdivision 2 is a 
  5.33  misdemeanor. 
  5.34     Subd. 5.  [RANDOM SPOT INSPECTIONS.] In addition to the 
  5.35  annual inspection, the Minnesota state patrol has authority to 
  5.36  conduct random, unannounced spot inspections of any school bus, 
  6.1   transportation choice private provider vehicle within the 
  6.2   meaning of section 123.791, or Head Start bus being operated 
  6.3   within the state at the location where the bus or vehicle is 
  6.4   kept when not in operation to ascertain whether its 
  6.5   construction, design, equipment, and color comply with all 
  6.6   provisions of law, including the Minnesota school bus equipment 
  6.7   standards in sections 169.4501 to 169.4504, if applicable. 
  6.8      Sec. 3.  Minnesota Statutes 1995 Supplement, section 
  6.9   171.321, subdivision 3, is amended to read: 
  6.10     Subd. 3.  [STUDY OF APPLICANT.] (a) Before issuing or 
  6.11  renewing a school bus endorsement, the commissioner shall 
  6.12  conduct a criminal and driver's license records check of the 
  6.13  applicant.  The commissioner may also conduct the check at any 
  6.14  time while a person is so licensed.  The check shall consist of 
  6.15  a criminal records check of the state criminal records 
  6.16  repository and a check of the driver's license records system.  
  6.17  If the applicant has resided in Minnesota for less than five 
  6.18  years, the check shall also include a criminal records check of 
  6.19  information from the state law enforcement agencies in the 
  6.20  states where the person resided during the five years before 
  6.21  moving to Minnesota, and of the national criminal records 
  6.22  repository including the criminal justice data communications 
  6.23  network.  The applicant's failure to cooperate with the 
  6.24  commissioner in conducting the records check is reasonable cause 
  6.25  to deny an application or cancel a school bus endorsement.  The 
  6.26  commissioner may not release the results of the records check to 
  6.27  any person except the applicant.  The commissioner shall conduct 
  6.28  a criminal and driver's license records check of an individual 
  6.29  who drives for a transportation choice private provider within 
  6.30  the meaning of section 123.791.  The commissioner may charge the 
  6.31  provider a fee for conducting this records check and shall 
  6.32  release the results to the individual driver. 
  6.33     (b) The commissioner may issue to an otherwise qualified 
  6.34  applicant a temporary school bus endorsement, effective for no 
  6.35  more than 120 days, upon presentation of (1) an affidavit by the 
  6.36  applicant that the applicant has not been convicted of a 
  7.1   disqualifying offense and (2) a criminal history check from each 
  7.2   state of residence for the previous five years.  The criminal 
  7.3   history check may be conducted and prepared by any public or 
  7.4   private source acceptable to the commissioner. 
  7.5      Sec. 4.  Minnesota Statutes 1994, section 221.025, is 
  7.6   amended to read: 
  7.7      221.025 [EXEMPTIONS.] 
  7.8      The provisions of this chapter requiring a certificate or 
  7.9   permit to operate as a motor carrier do not apply to the 
  7.10  intrastate transportation described below:  
  7.11     (a) the transportation of students to or from school or 
  7.12  school activities in a school bus inspected and certified under 
  7.13  section 169.451, the transportation of students to or from 
  7.14  school or school activities in a transportation choice private 
  7.15  provider vehicle inspected and certified under section 169.451, 
  7.16  and the transportation of children or parents to or from a Head 
  7.17  Start facility or Head Start activity in a Head Start bus 
  7.18  inspected and certified under section 169.451; 
  7.19     (b) the transportation of solid waste, as defined in 
  7.20  section 116.06, subdivision 22, including recyclable materials 
  7.21  and waste tires, except that the term "hazardous waste" has the 
  7.22  meaning given it in section 221.011, subdivision 31; 
  7.23     (c) a commuter van as defined in section 221.011, 
  7.24  subdivision 27; 
  7.25     (d) authorized emergency vehicles as defined in section 
  7.26  169.01, subdivision 5, including ambulances; and tow trucks 
  7.27  equipped with proper and legal warning devices when picking up 
  7.28  and transporting (1) disabled or wrecked motor vehicles or (2) 
  7.29  vehicles towed or transported under a towing order issued by a 
  7.30  public employee authorized to issue a towing order; 
  7.31     (e) the transportation of grain samples under conditions 
  7.32  prescribed by the board; 
  7.33     (f) the delivery of agricultural lime; 
  7.34     (g) the transportation of dirt and sod within an area 
  7.35  having a 50-mile radius from the home post office of the person 
  7.36  performing the transportation; 
  8.1      (h) the transportation of sand, gravel, bituminous asphalt 
  8.2   mix, concrete ready mix, concrete blocks or tile and the mortar 
  8.3   mix to be used with the concrete blocks or tile, or crushed rock 
  8.4   to or from the point of loading or a place of gathering within 
  8.5   an area having a 50-mile radius from that person's home post 
  8.6   office or a 50-mile radius from the site of construction or 
  8.7   maintenance of public roads and streets; 
  8.8      (i) the transportation of pulpwood, cordwood, mining 
  8.9   timber, poles, posts, decorator evergreens, wood chips, sawdust, 
  8.10  shavings, and bark from the place where the products are 
  8.11  produced to the point where they are to be used or shipped; 
  8.12     (j) the transportation of fresh vegetables from farms to 
  8.13  canneries or viner stations, from viner stations to canneries, 
  8.14  or from canneries to canneries during the harvesting, canning, 
  8.15  or packing season, or transporting sugar beets, wild rice, or 
  8.16  rutabagas from the field of production to the first place of 
  8.17  delivery or unloading, including a processing plant, warehouse, 
  8.18  or railroad siding; 
  8.19     (k) the transportation of property or freight, other than 
  8.20  household goods and petroleum products in bulk, entirely within 
  8.21  the corporate limits of a city or between contiguous cities 
  8.22  except as provided in section 221.296; 
  8.23     (l) the transportation of unprocessed dairy products in 
  8.24  bulk within an area having a 100-mile radius from the home post 
  8.25  office of the person providing the transportation; 
  8.26     (m) the transportation of agricultural, horticultural, 
  8.27  dairy, livestock, or other farm products within an area having a 
  8.28  25-mile radius from the person's home post office and the 
  8.29  carrier may transport other commodities within the 25-mile 
  8.30  radius if the destination of each haul is a farm; 
  8.31     (n) passenger transportation service that is not charter 
  8.32  service and that is under contract to and with operating 
  8.33  assistance from the department or the metropolitan council; 
  8.34     (o) the transportation of newspapers, as defined in section 
  8.35  331A.01, subdivision 5, telephone books, handbills, circulars, 
  8.36  or pamphlets in a vehicle with a gross vehicle weight of 10,000 
  9.1   pounds or less; and 
  9.2      (p) transportation of potatoes from the field of 
  9.3   production, or a storage site owned or otherwise controlled by 
  9.4   the producer, to the first place of processing. 
  9.5      The exemptions provided in this section apply to a person 
  9.6   only while the person is exclusively engaged in exempt 
  9.7   transportation. 
  9.8      Sec. 5.  Minnesota Statutes 1994, section 473.408, is 
  9.9   amended by adding a subdivision to read: 
  9.10     Subd. 8.  [SCHOOL TRANSPORTATION CHOICE PLAN.] The council 
  9.11  shall provide to a student who elects to participate in the 
  9.12  school transportation choice plan under section 123.791, and who 
  9.13  identifies the council's transit system as the student's 
  9.14  transportation provider, a transit pass which shall entitle the 
  9.15  student identified on the pass to ride on public transit 
  9.16  vehicles on school days without payment of an additional fare.