1.1.................... moves to amend H.F. No. 947, the first engrossment, as follows:
1.2Delete everything after the enacting clause and insert:

1.3    "Section 1. Minnesota Statutes 2010, section 122A.414, subdivision 1a, is amended to
1.4read:
1.5    Subd. 1a. Transitional planning year. (a) To be eligible to participate in an
1.6alternative teacher professional pay system, a school district, or intermediate school
1.7district, or site, must, at least one school year before it expects to fully implement an
1.8alternative pay system, must:
1.9(1) submit to the department a letter of intent executed by the school district or
1.10intermediate school district and the exclusive representative of the teachers to complete
1.11a plan preparing for full implementation, begin to develop an alternative teacher pay
1.12plan, consistent with subdivision 2, that may include, among other activities, training to
1.13evaluate teacher performance, a restructured school day to develop integrated ongoing
1.14site-based professional development activities, release time to develop an alternative pay
1.15system agreement, and teacher and staff training on using multiple data sources; and.
1.16(2) agree to use up to two percent of basic revenue for staff development purposes,
1.17consistent with sections 122A.60 and 122A.61, to develop the alternative teacher
1.18professional pay system agreement under this section.
1.19(b) To be eligible to participate in an alternative teacher professional pay system, a
1.20charter school, at least one school year before it expects to fully implement an alternative
1.21pay system, must:
1.22(1) submit to the department a letter of intent executed by the charter school and the
1.23charter school board of directors;
1.24(2) submit the record of a formal vote by the teachers employed at the charter
1.25school indicating at least 70 percent of all teachers agree to implement the alternative
1.26pay system; and
2.1(3) agree to use up to two percent of basic revenue for staff development purposes,
2.2consistent with sections 122A.60 and 122A.61, to develop the alternative teacher
2.3professional pay system.
2.4(c) The commissioner may waive the planning year if the commissioner determines,
2.5based on the criteria under subdivision 2, that the school district, intermediate school
2.6district, site or charter school is ready to fully implement an alternative pay system.
2.7EFFECTIVE DATE.This section is effective June 1, 2013, and applies to any new
2.8plan that the commissioner approves or any approved plan that is modified after that date.

2.9    Sec. 2. Minnesota Statutes 2010, section 122A.414, subdivision 2, is amended to read:
2.10    Subd. 2. Alternative teacher professional pay system. (a) To participate in this
2.11program, a school district, intermediate school district, school site, or charter school must
2.12have an educational improvement plan under section 122A.413 and an alternative teacher
2.13professional pay system agreement under paragraph (b). A charter school participant also
2.14must comply with subdivision 2a.
2.15(b) The alternative teacher professional pay system agreement must:
2.16(1) describe how teachers can achieve career advancement and additional
2.17compensation;
2.18(2) describe how the school district, intermediate school district, school site, or
2.19charter school will provide teachers with career advancement options that allow teachers
2.20to retain primary roles in student instruction and facilitate site-focused professional
2.21development that helps other teachers improve their skills;
2.22(3) reform the "steps and lanes" salary schedule by establishing an alternative
2.23salary schedule that uses measures other than seniority to award compensation increases
2.24based on the requirements in this clause, prevent any teacher's compensation paid before
2.25implementing the pay system from being reduced as a result of participating in this
2.26system, and base at least 60 percent of award any compensation increase on teacher
2.27performance using based on:
2.28(i) schoolwide student achievement gains under section 120B.35 or locally selected
2.29standardized assessment outcomes, or both;
2.30(ii) districtwide measures of student achievement that use longitudinal data on
2.31student academic growth, student attendance, student engagement and connection,
2.32other outcome measures under section 120B.35, and other locally selected measures of
2.33student learning explicitly aligned with the elements of curriculum for which teachers are
2.34responsible, which must constitute 50 percent of any compensation increase; and
3.1(ii) data from parent surveys, an annual evaluation performed by a trained school
3.2administrator, and other performance measures such as student surveys, peer observations
3.3and review, teacher performance portfolios, video classroom observations combined with
3.4teacher reflection, and other highly reliable research-based measures; and
3.5(iii) an objective evaluation program that includes:
3.6(A) individual teacher evaluations aligned with the educational improvement plan
3.7under section 122A.413 and the staff development plan under section 122A.60; and
3.8(B) objective evaluations using multiple criteria conducted by a locally selected and
3.9periodically trained evaluation team that understands teaching and learning consistent
3.10with items (i) and (ii);
3.11(4) provide integrated ongoing site-based professional development activities to
3.12improve instructional skills and learning that are aligned with student needs under section
3.13122A.413 , consistent with the staff development plan under section 122A.60 and led
3.14during the school day by trained teacher leaders such as master or mentor teachers;
3.15(5) allow any teacher in a participating school district, intermediate school district,
3.16school site, or charter school that implements an alternative pay system to participate in
3.17that system without any quota or other limit; and
3.18(6) encourage collaboration rather than competition among teachers.
3.19EFFECTIVE DATE.This section is effective June 1, 2013, and applies to any new
3.20plan that the commissioner approves or any approved plan that is modified after that date.

3.21    Sec. 3. Minnesota Statutes 2010, section 122A.414, subdivision 2a, is amended to read:
3.22    Subd. 2a. Charter school applications. For charter school applications, the board
3.23of directors of a charter school that satisfies the conditions under subdivisions 2 and 2b
3.24must submit to the commissioner an application that contains:
3.25(1) an agreement to implement an alternative teacher professional pay system under
3.26this section; and
3.27(2) a resolution by the charter school board of directors adopting the agreement; and.
3.28(3) the record of a formal vote by the teachers employed at the charter school
3.29indicating that at least 70 percent of all teachers agree to implement the alternative
3.30teacher professional pay system, unless the charter school submits an alternative teacher
3.31professional pay system agreement under this section before the first year of operation.
3.32Alternative compensation revenue for a qualifying charter school must be calculated
3.33under section 126C.10, subdivision 34, paragraphs (a) and (b).
4.1EFFECTIVE DATE.This section is effective June 1, 2013, and applies to any new
4.2plan that the commissioner approves or any approved plan that is modified after that date.

4.3    Sec. 4. Minnesota Statutes 2010, section 122A.414, subdivision 2b, is amended to read:
4.4    Subd. 2b. Approval process. (a) Consistent with the requirements of this section
4.5and sections 122A.413 and 122A.415, the department must prepare and transmit to
4.6interested school districts, intermediate school districts, school sites, and charter schools
4.7a standard form for applying to participate in the alternative teacher professional pay
4.8system. The commissioner annually must establish at least three dates as deadlines by
4.9which interested applicants must submit an application to the commissioner under this
4.10section. An interested school district, intermediate school district, school site, or charter
4.11school must submit to the commissioner a completed application executed by the district
4.12superintendent and the exclusive bargaining representative of the teachers if the applicant
4.13is a school district, or intermediate school district, or school site, or executed by the charter
4.14school board of directors if the applicant is a charter school. The application must include
4.15the proposed alternative teacher professional pay system agreement under subdivision 2.
4.16The department must review a completed application within 30 business days of the most
4.17recent application deadline and recommend to the commissioner whether to approve or
4.18disapprove the application. The commissioner must approve applications on a first-come,
4.19first-served basis. The applicant's alternative teacher professional pay system agreement
4.20must be legally binding on the applicant and the collective bargaining representative before
4.21the applicant receives alternative compensation revenue. The commissioner must approve
4.22or disapprove an application based on the requirements under subdivisions 2 and 2a.
4.23(b) If the commissioner disapproves an application, the commissioner must
4.24give the applicant timely notice of the specific reasons in detail for disapproving the
4.25application. The applicant may revise and resubmit its application and related documents
4.26to the commissioner within 30 business days of receiving notice of the commissioner's
4.27disapproval and the commissioner must approve or disapprove the revised application,
4.28consistent with this subdivision. Applications that are revised and then approved are
4.29considered submitted on the date the applicant initially submitted the application.
4.30EFFECTIVE DATE.This section is effective June 1, 2013, and applies to any new
4.31plan that the commissioner approves or any approved plan that is modified after that date.

4.32    Sec. 5. ALTERNATIVE COMPENSATION REAPPLICATION.
4.33Any school district, intermediate school district, or charter school that has an
4.34approved alternative teacher compensation plan under Minnesota Statutes, section
5.1122A.414, must submit a new application to the commissioner of education by June 1,
5.22013, that complies with the changes to Minnesota Statutes, section 122A.414, subdivision
5.32, paragraph (b), in section 1.
5.4EFFECTIVE DATE.This section is effective the day following final enactment."
5.5Amend the title accordingly