1997 Minnesota Statutes

     121.904 Revenue; reporting. 

    Subdivision 1.  School district revenues shall be 
 recognized and reported on the district books of account in 
 accordance with this section. 

    Subd. 2.    Applicability to period and fund.  Except as 
 provided in this section, revenues shall be recorded in a manner 
 which clearly indicates that they are applicable to a specific 
 accounting period and fund. 

    Subd. 3.  Receivables shall be recorded in a manner which 
 clearly reflects the amounts of money due to a particular fund 
 from public and private sources at the date of each accounting 
 statement. 

    Subd. 4.    Recognized as receivable.  All current 
 levies of local taxes, including portions assumed by the state, 
 shall be recognized as receivable at the beginning of the 
 calendar year during which collection normally takes place.  

    Subd. 4a.    Levy recognition.  (a) "School district tax 
 settlement revenue" means the current, delinquent, and 
 manufactured home property tax receipts collected by the county 
 and distributed to the school district, including distributions 
 made pursuant to section 279.37, subdivision 7, and excluding 
 the amount levied pursuant to section 124.914, subdivision 1. 

    (b) In June of each year, the school district shall 
 recognize as revenue, in the fund for which the levy was made, 
 the lesser of:  

    (1) the May, June, and July school district tax settlement 
 revenue received in that calendar year; or 

    (2) the sum of the state aids and credits enumerated in 
 section 124.155, subdivision 2, which are for the fiscal year 
 payable in that fiscal year plus an amount equal to the levy 
 recognized as revenue in June of the prior year plus 31 percent 
 of the amount of the levy certified in the prior calendar year 
 according to section 124A.03, subdivision 2; or 

    (3)(i) 7.0 percent of the lesser of the amount of the 
 general education levy certified in the prior calendar year 
 according to section 124A.23, subdivision 2, or the difference 
 between the amount of the total general fund levy certified in 
 the prior calendar year and the sum of the amounts certified in 
 the prior calendar year according to sections 124A.03, 
 subdivision 2; 124.315, subdivision 4; 124.912, subdivisions 1, 
 paragraph (2), 2, and 3; 124.916, subdivisions 1, 2, and 3, 
 paragraphs (4), (5), and (6); and 124.918, subdivision 6; plus 

    (ii) 31 percent of the referendum levy certified in the 
 prior calendar year according to section 124A.03, subdivision 2; 
 plus 

    (iii) the entire amount of the levy certified in the prior 
 calendar year according to sections 124.315, subdivision 4; 
 124.912, subdivisions 1, paragraph (2), 2, and 3; 124.916, 
 subdivisions 1, 2, and 3, paragraphs (4), (5), and (6); and 
 124.918, subdivision 6. 

    (c) In July of each year, the school district shall 
 recognize as revenue that portion of the school district tax 
 settlement revenue received in that calendar year and not 
 recognized as revenue for the previous fiscal year pursuant to 
 clause (b).  

    (d) All other school district tax settlement revenue shall 
 be recognized as revenue in the fiscal year of the settlement. 
 Portions of the school district levy assumed by the state, 
 including prior year adjustments and the amount to fund the 
 school portion of the reimbursement made pursuant to section 
 273.425, shall be recognized as revenue in the fiscal year 
 beginning in the calendar year for which the levy is payable. 

    Subd. 4b.  Repealed, 1982 c 548 art 7 s 13 

    Subd. 4c.    Change in levy recognition percent.  (a) 
 Money appropriated under section 16A.152, subdivision 2, must be 
 used to reduce the levy recognition percent specified in 
 subdivision 4a, clauses (b)(2) and (b)(3), for taxes payable in 
 the same calendar year the appropriation is made.  

    (b) The levy recognition percent shall equal the result of 
 the following computation:  the current levy recognition 
 percent, times the ratio of 

    (1) the statewide total amount of levy recognized in June 
 of the year in which the taxes are payable pursuant to 
 subdivision 4a, clause (b), excluding those levies that are 
 shifted for revenue recognition but are not included in the 
 computation of the adjustment to aids under section 124.155, 
 subdivision 1, reduced by the difference between the amount of 
 money appropriated under section 16A.152, subdivision 2, and the 
 amount required for the adjustment payment under clause (d), to 

    (2) the statewide total amount of the levy recognized in 
 June of the year in which the taxes are payable pursuant to 
 subdivision 4a, clause (b), excluding those levies that are 
 shifted for revenue recognition but are not included in the 
 computation of the adjustment to aids under section 124.155, 
 subdivision 1.  

    The result shall be rounded up to the nearest one-tenth of 
 a percent.  However, in no case shall the levy recognition 
 percent be reduced below zero or increased above the current 
 levy recognition percent.  

    (c) The commissioner of finance must certify to the 
 commissioner of children, families, and learning the amount 
 available to reduce the levy recognition percent computed under 
 this subdivision by January 5 of each year.  The commissioner of 
 children, families, and learning must notify school districts of 
 a change in the levy recognition percent by January 15 of the 
 same month. 

    (d) When the levy recognition percent is increased or 
 decreased as provided in this subdivision, a special aid 
 adjustment shall be made to each school district with an 
 operating referendum levy:  

    (i) When the levy recognition percent is increased from the 
 prior fiscal year, the commissioner of children, families, and 
 learning shall calculate the difference between (1) the amount 
 of the levy under section 124A.03, that is recognized as revenue 
 for the current fiscal year according to subdivision 4a; and (2) 
 the amount of the levy, under section 124A.03, that would have 
 been recognized as revenue for the current fiscal year had the 
 percentage according to subdivision 4a, not been increased.  The 
 commissioner shall reduce other aids due the district by the 
 amount of the difference.  This aid reduction shall be in 
 addition to the aid reduction required because of the increase 
 pursuant to this subdivision of the levy recognition percent.  

    (ii) When the levy recognition percent is reduced from the 
 prior fiscal year, a special adjustment payment shall be made to 
 each school district with an operating referendum levy that 
 received an aid reduction when the levy recognition percent was 
 last increased.  The special adjustment payment shall be in 
 addition to the additional payments required because of the 
 reduction pursuant to this subdivision of the levy recognition 
 percent.  The amount of the special adjustment payment shall be 
 computed by the commissioner of children, families, and learning 
 such that any remaining portion of the aid reduction these 
 districts received that has not been repaid is repaid on a 
 proportionate basis as the levy recognition percent is reduced 
 from 50 percent to 31 percent.  The special adjustment payment 
 must be included in the state aid payments to school districts 
 according to the schedule specified in section 124.195, 
 subdivision 3.  

    (e) The commissioner of finance shall transfer from the 
 general fund to the education aids appropriations specified by 
 the commissioner of children, families, and learning, the 
 amounts needed to finance the additional payments required 
 because of the reduction pursuant to this subdivision of the 
 levy recognition percent.  Payments to a school district of 
 additional state aids resulting from a reduction in the levy 
 recognition percent must be included in the cash metering of 
 payments made according to section 124.195 after January 15, and 
 must be paid in a manner consistent with the percent specified 
 in that section. 

    Subd. 4d. Repealed, 1997 c 231 art 9 s 6;1Sp1997 c 4 art 
 1 s 63 

    Subd. 4e. Repealed, 1994 c 647 art 6 s 42 

    Subd. 5. Repealed, 1993 c 224 art 12 s 32; 1993 c 374 s 
 22 

    Subd. 6. Repealed, 1993 c 224 art 12 s 32; 1993 c 374 s 
 22 

    Subd. 7. Repealed, 1988 c 486 s 102 

    Subd. 8. Repealed, 1993 c 224 art 12 s 32; 1993 c 374 s 
 22 

    Subd. 9. Repealed, 1993 c 224 art 12 s 32; 1993 c 374 s 
 22 

    Subd. 10. Repealed, 1993 c 224 art 12 s 32; 1993 c 374 s 
 22 

    Subd. 11.  State aids or grants, that are paid as a 
 matching of an expenditure, shall be recognized as revenues and 
 recorded as receivables in the fiscal year during which the 
 eligible expenditure is recognized. 

    Subd. 11a. Repealed, 1993 c 224 art 12 s 32; 1993 c 374 
 s 22 

    Subd. 11b. Repealed, 1988 c 486 s 102 

    Subd. 11c. Repealed, 1993 c 224 art 12 s 32; 1993 c 374 
 s 22 

    Subd. 12.  Other revenues not specified in this section 
 shall be recognized as revenue and shall be recorded in the 
 fiscal year earned. 

    Subd. 13.  Deviations from the principles set forth in this 
 section shall be evaluated and explained in footnotes to audited 
 financial statements. 

    Subd. 14.  The commissioner shall specify the fiscal year 
 or years to which the revenue from any aid or tax levy is 
 applicable if Minnesota Statutes do not so specify. 

    HIST: 1976 c 271 s 28; 1978 c 764 s 11-13; 1979 c 303 art 10 s 
 3; 1981 c 358 art 1 s 2; art 7 s 7; 1981 c 365 s 9; 3Sp1981 c 2 
 art 4 s 1,2; 1982 c 548 art 3 s 4; art 7 s 1-3; 1982 c 642 s 17; 
 3Sp1982 c 1 art 3 s 1; 1983 c 216 art 1 s 26; 1983 c 314 art 1 s 
 22; art 13 s 1; 1984 c 463 art 9 s 1,2; 1Sp1985 c 12 art 10 s 1; 
 1Sp1985 c 14 art 18 s 5,6; 1Sp1986 c 1 art 5 s 4; 1987 c 268 art 
 9 s 2,3; 1987 c 384 art 2 s 26; 1987 c 398 art 1 s 1; art 7 s 
 42; 1988 c 486 s 9; 1989 c 222 s 6; 1989 c 329 art 6 s 1,2; 
 1Sp1989 c 1 art 6 s 1,2; 1990 c 426 art 2 s 4; 1990 c 562 art 6 
 s 3; 1991 c 130 s 37; 1991 c 265 art 1 s 1,2; 1992 c 499 art 1 s 
 1,2; art 12 s 29; 1993 c 192 s 111; 1993 c 224 art 1 s 1; art 12 
 s 11; art 13 s 6; 1994 c 647 art 1 s 2,3; 1Sp1995 c 3 art 1 s 
 3,4; art 16 s 13; 1996 c 412 art 14 s 1; 1996 c 461 s 2; 1996 c 
 471 art 10 s 2; 1Sp1997 c 4 art 1 s 2