1.1 	A bill for an act
1.2 	relating to school transportation; amending the reporting requirements for school 
1.3 	transportation services contracts; modifying the taxation of school buses of 
1.4 	contract carriers that do not comply with the requirements;amending Minnesota 
1.5 	Statutes 2004, sections 123B.88, subdivision 3; 168.013, subdivision 18.
1.6 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7 	Section 1. Minnesota Statutes 2004, section 123B.88, subdivision 3, is amended to read:
1.8 		Subd. 3.Transportation services contracts. (a) The board may contract for the 
1.9 	furnishing of authorized transportation under section  123B.52, and may purchase gasoline 
1.10 	and furnish same to a contract carrier for use in the performance of a contract with the 
1.11 	school district for transportation of school children to and from school. 
1.12 	(b) A contract carrier must disclose:
1.13 	(1) the length of continuous employment of its current employees by job 
1.14 	classification without identifying employees by name and, at the contractor's option, any 
1.15 	relevant prior experience of those employees;
1.16 	(2) if the school transportation services are to be performed by new employees, the 
1.17 	minimum requirements the contractor will impose on job applicants;
1.18 	(3) the contractor's current annual rate of employee turnover;
1.19 	(4) the number of hours, if any, planned for each employee relating to duties to 
1.20 	be performed by the employee in providing services under the transportation services 
1.21 	contract;
1.22 	(5) any complaints issued by a federal, state, or local enforcement agency relating to 
1.23 	alleged violations of relevant laws or rules, including those relating to employee safety 
1.24 	and health and labor relations, along with any court decisions, administrative findings, 
2.1 	or penalties for violations of those laws and rules, listing the date, the court or agency, 
2.2 	and the law or rule found to be violated;
2.3 	(6) any collective bargaining agreements or personnel policies covering the 
2.4 	employees to perform services under the transportation services contract; and 
2.5 	(7) any political contribution made by the responder or managerial employee of the 
2.6 	responder, during the four years immediately preceding the due date of the response, to an 
2.7 	elected official of the state, a candidate for elected state office, and, if the soliciting agency 
2.8 	is a local unit of government, an elected official or candidate for elected office of that unit.
2.9 	If the contractor is a subsidiary of a parent entity, the disclosures made in response to 
2.10 	clauses (5), (6), and (7) must cover the parent entity as well as the contractor itself.
2.11 	(c) The minimum wage rate for employees of a contractor providing transportation 
2.12 	services for a school district is the average wage rate for the classification of district 
2.13 	employees whose duties are most similar, plus the value of health and other benefits 
2.14 	provided to the district employees in that classification.
2.15 	(d) The term of a transportation services contract, including any extensions resulting 
2.16 	from amendments or change orders, may not exceed two years. No amendment or change 
2.17 	order is valid if it has the purpose or effect of avoiding any requirement of this section.
2.18 	(e) A transportation services contract must impose affirmative action standards on 
2.19 	the contractor and any subcontractors that are at least as stringent as those applying to 
2.20 	the school district. No transportation services contract may cause the school district to 
2.21 	fail to meet its affirmative action standards or cause the displacement of school district 
2.22 	employees. For purposes of this paragraph, "displacement" means a layoff, demotion, 
2.23 	involuntary transfer to a new classification or title, involuntary transfer or reassignment to 
2.24 	a new location requiring a change in residence, or reduction in hours of work, wages, or 
2.25 	benefits.
2.26 	(f) A transportation services contractor may not use public money paid to it under 
2.27 	a contract to:
2.28 	(1) support or oppose the organization of its employees by an exclusive 
2.29 	representative;
2.30 	(2) assist a subcontractor to support or oppose the organization of its employees;
2.31 	(3) facilitate or deter the ability of an exclusive representative of its employees to 
2.32 	carry out the exclusive representative's responsibilities; or
2.33 	(4) assist a subcontractor to facilitate or deter the lawful activities of an exclusive 
2.34 	representative of its employees.
2.35 	(g) A transportation services contractor must allow the school district to buy or lease 
2.36 	its assets, including buses, facilities, or real property, used to provide services under 
3.1 	the contract if the contractor cancels or terminates the contract by failing to meet the 
3.2 	standards under this subdivision.
3.3 	(h) A contract carrier who complies with the requirements of this subdivision is 
3.4 	subject to the motor vehicle registration tax in section 168.013, subdivision 18. A contract 
3.5 	carrier who fails to comply with the requirements of this subdivision shall be subject to 
3.6 	the motor vehicle registration tax in section 168.013, subdivision 1f.

3.7 	Sec. 2. Minnesota Statutes 2004, section 168.013, subdivision 18, is amended to read:
3.8 		Subd. 18.School buses. Notwithstanding the provisions of subdivision 1, school 
3.9 	buses used exclusively for the transportation of students under contract with a school 
3.10 	district, or used in connection with transportation for nonprofit educational institutions, 
3.11 	shall be taxed during each year of the vehicle life of such bus the amount of $25.
3.12 	A contract carrier who does not comply with the requirements in section 123B.88, 
3.13 	subdivision 3, shall not be taxed under this subdivision.

3.14 	EFFECTIVE DATE. This section is effective June 30, 2006.