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Minnesota Legislature
2019-2020 Regular Session

FORTY-FIRST MEETING - Education Finance Division

April 21, 2020

STATE OF MINNESOTA FORTY-FIRST MEETING
MN HOUSE OF REPRESENTATIVES NINETY FIRST SESSION

EDUCATION FINANCE DIVISION
MINUTES

Representative Jim Davnie, Chair of the Education Finance Division, called the virtual meeting to order at 9:45 am on April 21, 2020 pursuant to House rule 10.01. The meeting is being broadcast via Zoom and House Public Information Services.

The Committee Legislative Assistant noted the roll.

Members present:

DAVNIE, Jim
SANDSTEDE, Julie
KRESHA, Ron
BENNETT, Peggy
DANIELS, Brian
DETTMER, Bob
DEMUTH, Lisa
EDELSON, Heather
ERICKSON, Sondra
HUOT, John
JURGENS, Tony
KOTYZA-WITTHUHN, Carlie
KUNESH-PODEIN, Mary
MARQUART, Paul
MURPHY, Mary
NORNES, Bud
PRYOR, Laurie
RICHARDSON, Ruth
SANDELL, Steve
YOUAKIM, Cheryl

A quorum was present.

HF 4415 (Davnie) The first engrossment, as amended by the H4415A14 amendment, provides for compensation for hourly school employees and allows entities that contract with schools to provide services to be reimbursed for paying their employees, for changes in school employment practices related to COVID-19 related school closures and the conversion to distance learning programs. The bill addresses school finance formula glitches resulting from the conversion to the distance learning model. The bill also creates and legislatively approves certain waivers of state law regarding assessments, graduation and course requirements, and potential licensure issues faced by prospective and current teachers.

Rep. Davnie moved that HF 4415 be presented before the committee; be moved to the Committee on Ways and Means.

Non-partisan staff detailed the fiscal note for HF 4415.

Rep. Davnie moved that the A17 amendment be incorporated into the A14 amendment. The A17 amendment is technical in nature that corrects some drafting errors in the A14 author’s amendment.

A roll call vote was taken on A14 as incorporated. Motion prevailed.

Roll Call Vote Count (HF 4415, A14); ‘aye’ – 20, ‘no’ – 0:

DAVNIE, Jim (aye)
SANDSTEDE, Julie (aye)
KRESHA, Ron (aye)
BENNETT, Peggy (aye)
DANIELS, Brian (aye)
DETTMER, Bob (aye)
DEMUTH, Lisa (aye)
EDELSON, Heather (aye)
ERICKSON, Sondra (aye)
HUOT, John (aye)
JURGENS, Tony (aye)
KOTYZA-WITTHUHN, Carlie (aye)
KUNESH-PODEIN, Mary (aye)
MARQUART, Paul (aye)
MURPHY, Mary (aye)
NORNES, Bud (aye)
PRYOR, Laurie (aye)
RICHARDSON, Ruth (aye)
SANDELL, Steve (aye)
YOUAKIM, Cheryl (aye)

Rep. Jurgens moved that the A15 amendment be presented before the committee.

Rep. Jurgens presented the A15 amendment.

A roll call vote was taken on A15. Motion did not prevail.

Roll Call Vote Count (HF 4415, A15); ‘aye’ – 8, ‘no’ – 12:

DAVNIE, Jim (no)
SANDSTEDE, Julie (no)
KRESHA, Ron (aye)
BENNETT, Peggy (aye)
DANIELS, Brian (aye)
DETTMER, Bob (aye)
DEMUTH, Lisa (aye)
EDELSON, Heather (no)
ERICKSON, Sondra (aye)
HUOT, John (no)
JURGENS, Tony (aye)
KOTYZA-WITTHUHN, Carlie (no)
KUNESH-PODEIN, Mary (no)
MARQUART, Paul (no)
MURPHY, Mary (no)
NORNES, Bud (aye)
PRYOR, Laurie (no)
RICHARDSON, Ruth (no)
SANDELL, Steve (no)
YOUAKIM, Cheryl (no)


Rep. Erickson moved that an oral amendment be added to the A16 amendment as follows, “Line 1.22 Strike allowable uses and fund; insert ‘process for approval of fund’. Motion prevailed.

Rep. Erickson moved that the A16 as amended by the oral amendment be adopted by the committee.

A roll call vote was taken on the A16 amendment as amended by the oral amendment. Motion prevailed.

Roll Call Vote Count (HF 4415, A16, as amended); ‘aye’ – 20, ‘no’ – 0:

DAVNIE, Jim (aye)
SANDSTEDE, Julie (aye)
KRESHA, Ron (aye)
BENNETT, Peggy (aye)
DANIELS, Brian (aye)
DETTMER, Bob (aye)
DEMUTH, Lisa (aye)
EDELSON, Heather (aye)
ERICKSON, Sondra (aye)
HUOT, John (aye)
JURGENS, Tony (aye)
KOTYZA-WITTHUHN, Carlie (aye)
KUNESH-PODEIN, Mary (aye)
MARQUART, Paul (aye)
MURPHY, Mary (aye)
NORNES, Bud (aye)
PRYOR, Laurie (aye)
RICHARDSON, Ruth (aye)
SANDELL, Steve (aye)
YOUAKIM, Cheryl (aye)

Rep. Kresha moved that the A18 amendment be adopted by the committee.

Rep. Kresha presented the A18 amendment.

A roll call vote was taken on the A18 amendment. Motion did not prevail.

Roll Call Vote Count (HF 4415, A18); ‘aye’ – 8, ‘no’ – 12:

DAVNIE, Jim (no)
SANDSTEDE, Julie (no)
KRESHA, Ron (aye)
BENNETT, Peggy (aye)
DANIELS, Brian (aye)
DETTMER, Bob (aye)
DEMUTH, Lisa (aye)
EDELSON, Heather (no)
ERICKSON, Sondra (aye)
HUOT, John (no)
JURGENS, Tony (aye)
KOTYZA-WITTHUHN, Carlie (no)
KUNESH-PODEIN, Mary (no)
MARQUART, Paul (no)
MURPHY, Mary (no)
NORNES, Bud (aye)
PRYOR, Laurie (no)
RICHARDSON, Ruth (no)
SANDELL, Steve (no)
YOUAKIM, Cheryl (no)

Rep. Davnie renewed the motion that HF 4415, as amended, be referred to the Committee on Ways and Means. A roll call vote was taken. Motion prevailed.

Roll Call Vote Count (HF 4415, as amended); ‘aye’ – 12, ‘no’ – 8:

DAVNIE, Jim (aye)
SANDSTEDE, Julie (aye)
KRESHA, Ron (no)
BENNETT, Peggy (no)
DANIELS, Brian (no)
DETTMER, Bob (no)
DEMUTH, Lisa (no)
EDELSON, Heather (aye)
ERICKSON, Sondra (no)
HUOT, John (aye)
JURGENS, Tony (no)
KOTYZA-WITTHUHN, Carlie (aye)
KUNESH-PODEIN, Mary (aye)
MARQUART, Paul (aye)
MURPHY, Mary (aye)
NORNES, Bud (no)
PRYOR, Laurie (aye)
RICHARDSON, Ruth (aye)
SANDELL, Steve (aye)
YOUAKIM, Cheryl (aye)

HF 3192 (Fabian) School districts are required to adopt and use a uniform system of records and accounting. The adopted system, a modified accrual accounting system, is known as Uniform Financial Accounting and Reporting System (UFARS). Under UFARS every district must maintain a number of operating funds (e.g., general fund, food service, community service) and nonoperating funds (e.g., building construction, debt service, trust, and agency). UFARS, statutory reserves, and the state's public indebtedness statute prohibit certain types of fund transfers between funds and from certain reserved accounts. For fiscal years 2012 through 2017, a special law allowed districts to make transfers among reserved accounts as long as those transfers did not affect state aid payments or levy amounts. This bill authorizes Independent School District No. 441, Marshall County Central, to transfer $45,000 from its Early Childhood Family Education (ECFE) reserve account to the School Readiness reserve account, both of which are located within the community service fund.

Rep. Kresha moved that HF 3192 be presented before the committee; be moved to the general register.

Rep. Fabian presented HF 3192 before the committee.

Rep Kresha renewed the motion that HF 3192 be moved to the general register. A roll call vote was taken. Motion prevailed.

Roll Call Vote Count (HF 3192); ‘aye’ – 20, ‘no’ – 0:

DAVNIE, Jim (aye)
SANDSTEDE, Julie (aye)
KRESHA, Ron (aye)
BENNETT, Peggy (aye)
DANIELS, Brian (aye)
DETTMER, Bob (aye)
DEMUTH, Lisa (aye)
EDELSON, Heather (aye)
ERICKSON, Sondra (aye)
HUOT, John (aye)
JURGENS, Tony (aye)
KOTYZA-WITTHUHN, Carlie (aye)
KUNESH-PODEIN, Mary (aye)
MARQUART, Paul (aye)
MURPHY, Mary (aye)
NORNES, Bud (aye)
PRYOR, Laurie (aye)
RICHARDSON, Ruth (aye)
SANDELL, Steve (aye)
YOUAKIM, Cheryl (aye)

Testifiers:
Scott Vrieze, Executive Director, Metropolitan Library Service Agency
Michelle Koffa, Policy Manager, Ed Allies
Laura Strand, Junior & Senior High School Art Teacher, Pine City High School


The meeting of the Education Finance Division was adjourned 10:48 am.


______________________________________________
Representative Jim Davnie, Chair

______________________________________________
Brittney Sunderland, Committee Legislative Assistant
More Info On This Meeting..
Agenda:

HF 4415 (Davnie) Compensation for hourly employees required for school days cancelled due to COVID-19 (coronavirus) during the 2019-2020 school year. Please see the attached amendment, the A14. The entirety of HF 4415, as amended, was given an informational hearing on 4/7. Any new testimony will be focused on the attached amendment. HF 3192 (Fabian) Independent School District No. 441, Marshall County Central Schools; money transfer authorized from early childhood and family education reserve account to school readiness reserve account. The amendment deadline for this hearing is noon on Monday, April 20th. Agenda items may be added. Public Testimony Information • This meeting will be held in accordance with House Rule 10.01m which you may view here: https://www.house.leg.state.mn.us/cco/rules/permrule/1001.htm • Members of the public with questions about this process or who are interested in testifying at this meeting may email committee staff at: sarah.burt@house.mn. • If you wish to testify, please contact committee staff 24 hours prior to the start of the remote hearing and they will provide instructions. Public Viewing Information This committee hearing may be viewed live via the following methods: Live stream via House website: https://www.house.leg.state.mn.us/live/1 Facebook Live: https://www.facebook.com/MNHouseInfo/ YouTube: https://youtu.be/RpbRvaeDjdc The MN House of Representatives is currently working on establishing the processes and technology that allow remote hearings to be held that are accessible to the public. We expect many refinements to come over the coming weeks. Thank you for your patience as we adapt. If you are interested in testifying at this hearing or have feedback you would like to share, please email committee staff at sarah.burt@house.mn. If you wish to testify, please contact committee staff 24 hours before the remote hearing to receive a spot on the list and instructions.

Bills Added:
  • HF4415 (Davnie) - COVID-19; school closures and other amendments provided; calculation of school aid formulas clarified; forecast adjustments made to funding for general education, education excellence, teachers, special education, facilities, fund transfers and accounting, nutrition and libraries, early childhood, and community education and lifelong learning; responsibilities clarified for construction and skills trades career counseling services; operation referendum calculation clarified; and base appropriations adjusted.
  • HF3192 (Fabian) - Independent School District No. 441, Marshall County Central Schools; money transfer authorized from early childhood and family education reserve account to school readiness reserve account.
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• This meeting held in accordance with House Rule 10.01 •. Agenda:. 04:19 - HF4415 (Davnie) Compensation for hourly employees required for school days cancelled due to COVID-19 (coronavirus) during the 2019-2020 school year. 51:52 - HF3192 (Fabian) Independent School District #441, Marshall County Central Schools; money transfer authorized from early childhood and family education reserve account to school readiness reserve account. Runs 1 hour. • The Minnesota House of Representatives is currently working on establishing the processes and technology that allow remote hearings to be held that are accessible to the public; we expect many refinements to come over the coming weeks; thank you for your patience as we adapt.