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Minnesota Legislature

FIFTEENTH MEETING - Education Finance Division

2019-2020 Regular Session

STATE OF MINNESOTA FIFTEENTH MEETING
MN HOUSE OF REPRESENTATIVES NINETY FIRST SESSION

EDUCATION FINANCE DIVISION
MINUTES

Representative Jim Davnie, Chair of the Education Finance Division, called the meeting to order at 12:30 pm on February 22, 2019 in the Auditorium of Windom Middle-High School.

The Committee Legislative Assistant noted the roll.

Members present:

DAVNIE, Jim
EDELSON, Heather
HUOT, John
JURGENS, Tony
KOTYZA-WITTHUHN, Carlie
KUNESH-PODEIN, Mary
MARQUART, Paul
PRYOR, Laurie
RICHARDSON, Ruth
SANDELL, Steve
YOUAKIM, Cheryl

Excused:

SANDSTEDE, Julie
KRESHA, Ron
BENNETT, Peggy
DANIELS, Brian
DEMUTH, Lisa
DETTMER, Bob
ERICKSON, Sondra
MURPHY, Mary
NORNES, Bud

A quorum was present.

Presentations provided by the Superintendent of Windom Public Schools, students, and faculty; Minnesota Association of Agricultural Educators; local area teachers and administrators; President of the Minnesota Rural Education Association; the Windom School Board Vice-Chair; and public testimony.

HF 1143 (Huot) The referendum revenue program, often referred to as the operating referendum levy or the excess levy referendum, is a mechanism that allows a school district to obtain voter approval to increase its general fund revenue beyond the limits set in stature. HF 1143 increases the first tier equalizing factor from $880,000 to $920,000 and increases the second tier equalizing factor from $510,000 to $740,000. These changes are estimated to increase state aid for the program by roughly $50 million per year and reduce the referendum levy by the same amount.

Rep. Huot motioned that HF 1143 be presented; be re-referred to Ways and Means with the recommendation that it then be referred to Taxes.

Rep. Huot presented HF 1143.

Rep. Huot renewed motion that HF 1143 be re-referred to Ways and Means with the recommendation that it then be referred to Taxes. Motion prevailed.

HF 1142 (Tabke) The debt service equalization aid program provides state aid to low property wealth school districts to help repay the building bonds. The amount of a school district’s debt service that the state will pay depends on two factors: the district’s total amount of annual debt service; and the district’s taxable property tax base per pupil. This bill proposes to combine the debt service into two tiers: requiring a local levy of 10 percent of ANTC for the first tier; and equalizing all amounts at the state average tax base per pupil for the second tier. This proposal is expected to increase state aid and lower property taxes by about $50 million per year.

Rep. Tabke motioned that HF 1142 be presented; be re-referred to Ways and Means with the recommendation that it then be referred to Taxes.

Rep. Tabke presented HF 1142.

Chair Davnie renewed motion that HF 1142 be re-referred to Ways and Means with the recommendation that it then be referred to Taxes. Motion prevailed.

Testifiers:

Eliana Tade, Senior, Windom Public Schools
Bridgette Beall, Senior, Windom Public Schools
Parker Bramstedt, Junior, Windom Public Schools
Carter Squires, Senior, Windom Public Schools
Wayne Wormstadt, Superintendent, Windom Public Schools
Tim Mellstrom, Q-comp Coordinator, Windom Public Schools
Tom Appel, Minnesota Association of Agricultural Educators
Regan Syverson, Student, Minnesota Association of Agricultural Educators
Destiny Sybounheuan, Student, Minnesota Association of Agricultural Educators
Delaney Janzen, Student, Minnesota Association of Agricultural Educators
Loy Woelber, Superintendent, Wesbrook Walnut Grove Public Schools
Dawn Teerink, Teacher, Prairie Elementary School
Cliff Carmody, Executive Director, Southwest-West Central Service Cooperative
Lee Carlson, MREA President
Joel Bordewyk, Vice Chair, Windom School Board
Linden Olson, Member, Worthington School Board
Sherri Broderius, Superintendent, MACCRAY
LuAnn Alexander, Head Secretary, GFW High School



The meeting of the Education Finance Division was adjourned at 2:13 pm.




______________________________________________
Representative Jim Davnie, Chair


______________________________________________
Brittney Sunderland, Committee Legislative Assistant

More Info On This Meeting..
Agenda:

A discussion on public education funding and the needs of rural school districts. Other items may be added to the agenda. *Members of the public who wish to attend this public hearing may park in the East parking lot and sign in with school officials at Door 1. Please email Sarah Burt if you wish to testify: sarah.burt@house.mn

Bills Added:
  • HF1142 (Tabke) - State aid for debt service equalization aid increased.
  • HF1143 (Huot) - Operating referendum program state aid increased, and money appropriated.
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