2004 Minnesota Statutes

     123B.749 Structurally balanced school district budgets. 

    (a) Prior to approving a collective bargaining agreement 
 that does not result from an interest arbitration decision, a 
 school board must determine by board resolution that the 
 proposed agreement will not cause structural imbalance in the 
 district's budget during the period of the agreement. 

    (b) A school board may only determine that an agreement 
 will not cause structural imbalance if expenditures will not 
 exceed available funds, taking into account: 

    (1) current state aid formulas; and 

    (2) reasonable and comprehensive projections of ongoing 
 revenues and expenditures for the period of the agreement.  It 
 is expected that onetime revenue may not be used for ongoing 
 expenditures.  The school board must make available with the 
 resolution a summary of the projections and calculations 
 supporting the determination.  The projections and calculations 
 must include state aid formulas, pupil units, and employee 
 costs, including the terms of labor agreements, including the 
 agreement under consideration, fringe benefits, severance pay, 
 and staff changes. 

    (c) In addition to the determination required in paragraph 
 (a), the school board must project revenues, expenditures, and 
 fund balances for one year following the period of the 
 agreement.  The projections must include the categories of 
 information described in paragraph (b), be reasonable and 
 comprehensive, and reference current state aid formulas.  

    (d) All projections and calculations required by this 
 section must be made available to the public prior to and at the 
 meeting where the resolution is adopted in a manner consistent 
 with state law on public notice and access to public data.  

    (e) In an interest arbitration, the district must submit, 
 and the exclusive bargaining representative may submit, proposed 
 determinations with supporting projections and calculations 
 consistent with paragraph (b) of the effect of the potential 
 decision on the structural balance of the district's budget.  
 The arbitrator must consider the potential effect of a decision 
 on the structural balance of the district's budget for the term 
 of the agreement.  The arbitrator's decision must describe the 
 effect of the decision on the structural balance of the 
 district's budget in a manner consistent with paragraph (b).  
 The arbitrator's decision must also show the effect of the 
 decision on the school budget for one year following the term of 
 the contract at issue.  Within 30 days of receipt of the 
 decision or when the board acts on the decision, whichever is 
 earlier, the school board must by resolution determine the 
 effect of the decision on the structural balance of its budget 
 for the term of the agreement consistent with paragraph (b). 

    (f) A copy of the resolution with the supporting 
 projections and calculations must be submitted to the 
 commissioner of education with the uniform collective bargaining 
 agreement settlement document within 30 days of adoption of the 
 resolution.  The commissioner must develop a model form for use 
 by districts in reporting projections and calculations.  The 
 commissioner must make all resolutions, projections, and 
 calculations available to the public. 

    (g) Compliance with this section by itself is not an unfair 
 labor practice under section 179A.13, subdivision 2. 

    HIST: 1Sp2001 c 6 art 2 s 61; 2003 c 130 s 12