1.1.................... moves to amend H.F. No. 630 as follows:
1.2Delete everything after the enacting clause and insert:

1.3"ARTICLE 1
1.4GENERAL EDUCATION

1.5    Section 1. Minnesota Statutes 2012, section 120A.20, subdivision 1, is amended to read:
1.6    Subdivision 1. Age limitations; pupils. (a) All schools supported in whole or
1.7in part by state funds are public schools. Admission to a public school is free to any
1.8person who: (1) resides within the district that operates the school; (2) is under 21 years of
1.9age or who meets the requirements of paragraph (c); and (3) satisfies the minimum age
1.10requirements imposed by this section. Notwithstanding the provisions of any law to the
1.11contrary, the conduct of all students under 21 years of age attending a public secondary
1.12school is governed by a single set of reasonable rules and regulations promulgated by the
1.13school board.
1.14(b) A person shall not be admitted to a public school (1) as a kindergarten pupil,
1.15unless the pupil is at least five years of age on September 1 of the calendar year in which
1.16the school year for which the pupil seeks admission commences; or (2) as a 1st grade
1.17student, unless the pupil is at least six years of age on September 1 of the calendar year in
1.18which the school year for which the pupil seeks admission commences or has completed
1.19kindergarten; except that any school board may establish a policy for admission of
1.20selected pupils at an earlier age under section 124D.02.
1.21(c) A pupil who becomes age 21 after enrollment is eligible for continued free public
1.22school enrollment until at least one of the following occurs: (1) the first September 1 after
1.23the pupil's 21st birthday; (2) the pupil's completion of the graduation requirements; (3)
1.24the pupil's withdrawal with no subsequent enrollment within 21 calendar days; or (4)
1.25the end of the school year.

2.1    Sec. 2. Minnesota Statutes 2012, section 120A.41, is amended to read:
2.2120A.41 LENGTH OF SCHOOL YEAR; HOURS OF INSTRUCTION.
2.3A school board's annual school calendar must include at least 425 hours of
2.4instruction for a kindergarten student without a disability, 935 hours of instruction for a
2.5student in grades 1 though 6, and 1,020 hours of instruction for a student in grades 7
2.6though 12, not including summer school. Nothing in this section permits a school district
2.7to adopt A school board's annual calendar must include at least 165 days of instruction
2.8for a student in grades 1 through 11 unless a four-day week schedule unless has been
2.9 approved by the commissioner under section 124D.126.

2.10    Sec. 3. Minnesota Statutes 2012, section 123B.88, subdivision 22, is amended to read:
2.11    Subd. 22. Postsecondary enrollment options pupils. Districts may provide bus
2.12transportation along school bus routes when space is available, for pupils attending
2.13programs at a postsecondary institution under the postsecondary enrollment options
2.14program. The transportation is permitted only if it does not increase the district's
2.15expenditures for transportation. Fees collected for this service under section 123B.36,
2.16subdivision 1
, paragraph (13), shall be subtracted from the authorized cost for nonregular
2.17transportation for the purpose of section 123B.92. A school district may provide
2.18transportation for a pupil participating in an articulated program operated under an
2.19agreement between the school district and the postsecondary institution.

2.20    Sec. 4. Minnesota Statutes 2012, section 123B.92, subdivision 1, is amended to read:
2.21    Subdivision 1. Definitions. For purposes of this section and section 125A.76, the
2.22terms defined in this subdivision have the meanings given to them.
2.23    (a) "Actual expenditure per pupil transported in the regular and excess transportation
2.24categories" means the quotient obtained by dividing:
2.25    (1) the sum of:
2.26    (i) all expenditures for transportation in the regular category, as defined in paragraph
2.27(b), clause (1), and the excess category, as defined in paragraph (b), clause (2), plus
2.28    (ii) an amount equal to one year's depreciation on the district's school bus fleet
2.29and mobile units computed on a straight line basis at the rate of 15 percent per year for
2.30districts operating a program under section 124D.128 for grades 1 to 12 for all students in
2.31the district and 12-1/2 percent per year for other districts of the cost of the fleet, plus
2.32    (iii) an amount equal to one year's depreciation on the district's type III vehicles, as
2.33defined in section 169.011, subdivision 71, which must be used a majority of the time for
3.1pupil transportation purposes, computed on a straight line basis at the rate of 20 percent
3.2per year of the cost of the type three school buses by:
3.3    (2) the number of pupils eligible for transportation in the regular category, as defined
3.4in paragraph (b), clause (1), and the excess category, as defined in paragraph (b), clause (2).
3.5    (b) "Transportation category" means a category of transportation service provided to
3.6pupils as follows:
3.7    (1) Regular transportation is:
3.8    (i) transportation to and from school during the regular school year for resident
3.9elementary pupils residing one mile or more from the public or nonpublic school they
3.10attend, and resident secondary pupils residing two miles or more from the public
3.11or nonpublic school they attend, excluding desegregation transportation and noon
3.12kindergarten transportation; but with respect to transportation of pupils to and from
3.13nonpublic schools, only to the extent permitted by sections 123B.84 to 123B.87;
3.14    (ii) transportation of resident pupils to and from language immersion programs;
3.15    (iii) transportation of a pupil who is a custodial parent and that pupil's child between
3.16the pupil's home and the child care provider and between the provider and the school, if
3.17the home and provider are within the attendance area of the school;
3.18    (iv) transportation to and from or board and lodging in another district, of resident
3.19pupils of a district without a secondary school; and
3.20    (v) transportation to and from school during the regular school year required under
3.21subdivision 3 for nonresident elementary pupils when the distance from the attendance
3.22area border to the public school is one mile or more, and for nonresident secondary pupils
3.23when the distance from the attendance area border to the public school is two miles or
3.24more, excluding desegregation transportation and noon kindergarten transportation.
3.25    For the purposes of this paragraph, a district may designate a licensed day care facility,
3.26school day care facility, respite care facility, the residence of a relative, or the residence
3.27of a person or other location chosen by the pupil's parent or guardian, or an after-school
3.28program for children operated by a political subdivision of the state, as the home of a pupil
3.29for part or all of the day, if requested by the pupil's parent or guardian, and if that facility,
3.30residence, or program is within the attendance area of the school the pupil attends.
3.31    (2) Excess transportation is:
3.32    (i) transportation to and from school during the regular school year for resident
3.33secondary pupils residing at least one mile but less than two miles from the public or
3.34nonpublic school they attend, and transportation to and from school for resident pupils
3.35residing less than one mile from school who are transported because of full-service school
3.36zones, extraordinary traffic, drug, or crime hazards; and
4.1    (ii) transportation to and from school during the regular school year required under
4.2subdivision 3 for nonresident secondary pupils when the distance from the attendance area
4.3border to the school is at least one mile but less than two miles from the public school
4.4they attend, and for nonresident pupils when the distance from the attendance area border
4.5to the school is less than one mile from the school and who are transported because of
4.6full-service school zones, extraordinary traffic, drug, or crime hazards.
4.7    (3) Desegregation transportation is transportation within and outside of the district
4.8during the regular school year of pupils to and from schools located outside their normal
4.9attendance areas under a plan for desegregation mandated by the commissioner or under
4.10court order.
4.11    (4) "Transportation services for pupils with disabilities" is:
4.12    (i) transportation of pupils with disabilities who cannot be transported on a regular
4.13school bus between home or a respite care facility and school;
4.14    (ii) necessary transportation of pupils with disabilities from home or from school to
4.15other buildings, including centers such as developmental achievement centers, hospitals,
4.16and treatment centers where special instruction or services required by sections 125A.03
4.17to 125A.24, 125A.26 to 125A.48, and 125A.65 are provided, within or outside the district
4.18where services are provided;
4.19    (iii) necessary transportation for resident pupils with disabilities required by sections
4.20125A.12 , and 125A.26 to 125A.48;
4.21    (iv) board and lodging for pupils with disabilities in a district maintaining special
4.22classes;
4.23    (v) transportation from one educational facility to another within the district for
4.24resident pupils enrolled on a shared-time basis in educational programs, and necessary
4.25transportation required by sections 125A.18, and 125A.26 to 125A.48, for resident pupils
4.26with disabilities who are provided special instruction and services on a shared-time basis
4.27or if resident pupils are not transported, the costs of necessary travel between public
4.28and private schools or neutral instructional sites by essential personnel employed by the
4.29district's program for children with a disability;
4.30    (vi) transportation for resident pupils with disabilities to and from board and lodging
4.31facilities when the pupil is boarded and lodged for educational purposes;
4.32(vii) transportation of pupils for a curricular field trip activity on a school bus
4.33equipped with a power lift when the power lift is required by a student's disability or
4.34section 504 plan; and
4.35(viii) services described in clauses (i) to (vii), when provided for pupils with
4.36disabilities in conjunction with a summer instructional program that relates to the
5.1pupil's individualized education program or in conjunction with a learning year program
5.2established under section 124D.128.
5.3    For purposes of computing special education initial aid under section 125A.76,
5.4subdivision subdivisions 2
and 2a, the cost of providing transportation for children with
5.5disabilities includes (A) the additional cost of transporting a homeless student from a
5.6temporary nonshelter home in another district to the school of origin, or a formerly
5.7homeless student from a permanent home in another district to the school of origin but
5.8only through the end of the academic year; and (B) depreciation on district-owned school
5.9buses purchased after July 1, 2005, and used primarily for transportation of pupils with
5.10disabilities, calculated according to paragraph (a), clauses (ii) and (iii). Depreciation
5.11costs included in the disabled transportation category must be excluded in calculating the
5.12actual expenditure per pupil transported in the regular and excess transportation categories
5.13according to paragraph (a). For purposes of subitem (A), a school district may transport
5.14a child who does not have a school of origin to the same school attended by that child's
5.15sibling, if the siblings are homeless.
5.16    (5) "Nonpublic nonregular transportation" is:
5.17    (i) transportation from one educational facility to another within the district for
5.18resident pupils enrolled on a shared-time basis in educational programs, excluding
5.19transportation for nonpublic pupils with disabilities under clause (4);
5.20    (ii) transportation within district boundaries between a nonpublic school and a
5.21public school or a neutral site for nonpublic school pupils who are provided pupil support
5.22services pursuant to section 123B.44; and
5.23    (iii) late transportation home from school or between schools within a district for
5.24nonpublic school pupils involved in after-school activities.
5.25    (c) "Mobile unit" means a vehicle or trailer designed to provide facilities for
5.26educational programs and services, including diagnostic testing, guidance and counseling
5.27services, and health services. A mobile unit located off nonpublic school premises is a
5.28neutral site as defined in section 123B.41, subdivision 13.
5.29EFFECTIVE DATE.This section is effective July 1, 2013.

5.30    Sec. 5. Minnesota Statutes 2012, section 123B.92, subdivision 5, is amended to read:
5.31    Subd. 5. District reports. (a) Each district must report data to the department as
5.32required by the department to account for transportation expenditures.
5.33(b) Salaries and fringe benefits of district employees whose primary duties are
5.34other than transportation, including central office administrators and staff, building
5.35administrators and staff, teachers, social workers, school nurses, and instructional aides,
6.1must not be included in a district's transportation expenditures, except that a district may
6.2include salaries and benefits according to paragraph (c) for (1) an employee designated
6.3as the district transportation director, (2) an employee providing direct support to the
6.4transportation director, or (3) an employee providing direct transportation services such as
6.5a bus driver or bus aide.
6.6(c) Salaries and fringe benefits of the district employees listed in paragraph (b),
6.7clauses (1), (2), and (3), who work part time in transportation and part time in other areas
6.8must not be included in a district's transportation expenditures unless the district maintains
6.9documentation of the employee's time spent on pupil transportation matters in the form
6.10and manner prescribed by the department.
6.11(d) A school district that contracts for transportation service may allocate
6.12transportation expense to transportation categories based upon contract rates. Districts
6.13may only allocate transportation expense to transportation categories based upon contract
6.14rates if contract rates are reasonably consistent on a cost-per-hour, cost-per-mile,
6.15cost-per-route, or cost-per-student basis. In order to allocate transportation expense based
6.16upon contract rates, a school district, if audited, must be able to demonstrate to the auditor
6.17that variances in the application of transportation cost basis rates are appropriate.
6.18(e) Pupil transportation expenditures, excluding expenditures for capital outlay,
6.19leased buses, student board and lodging, crossing guards, and aides on buses, must be
6.20allocated among transportation categories based on cost-per-mile or cost-per-student
6.21regardless of whether the transportation services are provided on district-owned or
6.22contractor-owned school buses. Expenditures for school bus driver salaries and fringe
6.23benefits may either be directly charged to the appropriate transportation category or may
6.24be allocated among transportation categories based on cost-per-mile or cost-per-student.
6.25Expenditures by private contractors or individuals who provide transportation exclusively
6.26in one transportation category must be charged directly to the appropriate transportation
6.27category. Transportation services provided by contractor-owned school bus companies
6.28incorporated under different names but owned by the same individual or group of
6.29individuals must be treated as the same company for cost allocation purposes.
6.30(e) Notwithstanding paragraph (d), districts contracting for transportation services
6.31are exempt from the standard cost allocation method for authorized and nonauthorized
6.32transportation categories if the district: (1) bids its contracts separately for authorized and
6.33nonauthorized transportation categories and for special transportation separate from regular
6.34and excess transportation; (2) receives bids or quotes from more than one vendor for these
6.35transportation categories; and (3) the district's cost-per-mile does not vary more than ten
6.36percent among categories, excluding salaries and fringe benefits of bus aides. If the costs
7.1reported by the district for contractor-owned operations vary by more than ten percent
7.2among categories, the department shall require the district to reallocate its transportation
7.3costs, excluding salaries and fringe benefits of bus aides, among all categories.
7.4EFFECTIVE DATE.This section is effective for revenue for fiscal year 2014
7.5and later.

7.6    Sec. 6. Minnesota Statutes 2012, section 124D.02, subdivision 1, is amended to read:
7.7    Subdivision 1. Kindergarten instruction. The board may establish and maintain
7.8one or more kindergartens for the instruction of children and after July 1, 1974, shall
7.9provide kindergarten instruction for all eligible children, either in the district or in
7.10another district. All children to be eligible for kindergarten must be at least five years
7.11of age on September 1 of the calendar year in which the school year commences. In
7.12addition all children selected under an early admissions policy established by the school
7.13board may be admitted. If established, a board-adopted early admissions policy must
7.14describe the process and procedures for comprehensive evaluation in cognitive, social,
7.15and emotional developmental domains to help determine the child's ability to meet
7.16kindergarten grade expectations and progress to first grade in the subsequent year. The
7.17comprehensive evaluation must use valid and reliable instrumentation, be aligned with
7.18state kindergarten expectations, and include a parent report and teacher observations of
7.19the child's knowledge, skills, and abilities. The early admissions policy must be made
7.20available to parents in an accessible format and is subject to review by the commissioner
7.21of education. The evaluation is subject to section 127A.41. Nothing in this section
7.22shall prohibit a school district from establishing Head Start, prekindergarten, or nursery
7.23school classes for children below kindergarten age. Any school board with evidence that
7.24providing kindergarten will cause an extraordinary hardship on the school district may
7.25apply to the commissioner of education for an exception.

7.26    Sec. 7. Minnesota Statutes 2012, section 124D.128, subdivision 2, is amended to read:
7.27    Subd. 2. Commissioner designation. (a) A state-approved alternative program
7.28designated by the state must be a site. A state-approved alternative program must provide
7.29services to students who meet the criteria in section 124D.68 and who are enrolled in:
7.30    (1) a district that is served by the state-approved alternative program; or
7.31    (2) a charter school located within the geographic boundaries of a district that is
7.32served by the state-approved alternative program.
7.33    (b) A school district or charter school may be approved biennially by the state to
7.34provide additional instructional programming that results in grade level acceleration. The
8.1program must be designed so that students make grade progress during the school year
8.2and graduate prior to the students' peers.
8.3    (c) (b) To be designated, a district, charter school, or state-approved alternative
8.4program must demonstrate to the commissioner that it will:
8.5    (1) provide a program of instruction that permits pupils to receive instruction
8.6throughout the entire year; and
8.7    (2) develop and maintain a separate record system that, for purposes of section
8.8126C.05 , permits identification of membership attributable to pupils participating in the
8.9program. The record system and identification must ensure that the program will not have
8.10the effect of increasing the total average daily membership attributable to an individual
8.11pupil as a result of a learning year program. The record system must include the date the
8.12pupil originally enrolled in a learning year program, the pupil's grade level, the date of
8.13each grade promotion, the average daily membership generated in each grade level, the
8.14number of credits or standards earned, and the number needed to graduate.
8.15    (d) (c) A student who has not completed a school district's graduation requirements
8.16may continue to enroll in courses the student must complete in order to graduate until
8.17the student satisfies the district's graduation requirements or the student is 21 years old,
8.18whichever comes first.

8.19    Sec. 8. Minnesota Statutes 2012, section 124D.4531, subdivision 1, is amended to read:
8.20    Subdivision 1. Career and technical levy. (a) A district with a career and technical
8.21program approved under this section for the fiscal year in which the levy is certified
8.22may levy an amount equal to 35 percent of approved expenditures in the fiscal year in
8.23which the levy is certified for the following:
8.24(1) salaries paid to essential, licensed personnel providing direct instructional
8.25services to students in that fiscal year, including extended contracts, for services rendered
8.26in the district's approved career and technical education programs, excluding salaries
8.27reimbursed by another school district under clause (2);
8.28(2) amounts paid to another Minnesota school district for salaries of essential,
8.29licensed personnel providing direct instructional services to students in that fiscal year for
8.30services rendered in the district's approved career and technical education programs;
8.31(2) (3) contracted services provided by a public or private agency other than a
8.32Minnesota school district or cooperative center under subdivision 7;
8.33(3) (4) necessary travel between instructional sites by licensed career and technical
8.34education personnel;
9.1(4) (5) necessary travel by licensed career and technical education personnel for
9.2vocational student organization activities held within the state for instructional purposes;
9.3(5) (6) curriculum development activities that are part of a five-year plan for
9.4improvement based on program assessment;
9.5(6) (7) necessary travel by licensed career and technical education personnel for
9.6noncollegiate credit-bearing professional development; and
9.7(7) (8) specialized vocational instructional supplies.
9.8(b) Up to ten percent of a district's career and technical levy may be spent on
9.9equipment purchases. Districts using the career and technical levy for equipment
9.10purchases must report to the department on the improved learning opportunities for
9.11students that result from the investment in equipment.
9.12(c) The district must recognize the full amount of this levy as revenue for the fiscal
9.13year in which it is certified.
9.14(d) The amount of the levy certified under this subdivision may not exceed
9.15$17,850,000 for taxes payable in 2012, $15,520,000 for taxes payable in 2013, and
9.16$15,393,000 for taxes payable in 2014.
9.17(e) If the estimated levy exceeds the amount in paragraph (d), the commissioner
9.18must reduce the percentage in paragraph (a), clause (2), until the estimated levy no longer
9.19exceeds the limit in paragraph (d).

9.20    Sec. 9. Minnesota Statutes 2012, section 126C.01, is amended by adding a subdivision
9.21to read:
9.22    Subd. 3a. Referendum market value equalizing factor. The referendum market
9.23value equalizing factor equals the quotient derived by dividing the total referendum market
9.24value of all school districts in the state for the year before the year the levy is certified by
9.25the total number of resident marginal cost pupil units in the state for the current school year.
9.26EFFECTIVE DATE.This section is effective for taxes payable in 2014 and later.

9.27    Sec. 10. Minnesota Statutes 2012, section 126C.05, subdivision 1, is amended to read:
9.28    Subdivision 1. Pupil unit. Pupil units for each Minnesota resident pupil under the
9.29age of 21 or who meets the requirements of section 120A.20, subdivision 1, paragraph (c),
9.30in average daily membership enrolled in the district of residence, in another district under
9.31sections 123A.05 to 123A.08, 124D.03, 124D.08, or 124D.68; in a charter school under
9.32section 124D.10; or for whom the resident district pays tuition under section 123A.18,
9.33123A.22 , 123A.30, 123A.32, 123A.44, 123A.488, 123B.88, subdivision 4, 124D.04,
10.1124D.05 , 125A.03 to 125A.24, 125A.51, or 125A.65, shall be counted according to this
10.2subdivision.
10.3    (a) A prekindergarten pupil with a disability who is enrolled in a program approved
10.4by the commissioner and has an individualized education program is counted as the ratio
10.5of the number of hours of assessment and education service to 825 times 1.25 with a
10.6minimum average daily membership of 0.28, but not more than 1.25 pupil units.
10.7    (b) A prekindergarten pupil who is assessed but determined not to be disabled is
10.8counted as the ratio of the number of hours of assessment service to 825 times 1.25.
10.9    (c) A kindergarten pupil with a disability who is enrolled in a program approved
10.10by the commissioner is counted as the ratio of the number of hours of assessment and
10.11education services required in the fiscal year by the pupil's individualized education
10.12program to 875, but not more than one.
10.13    (d) A kindergarten pupil who is not included in paragraph (c) is counted as .612
10.14 1.0 pupil units if the pupil is enrolled in a free all-day, every day kindergarten program
10.15available to all kindergarten pupils at the pupil's school, or is counted as .612 pupil units,
10.16if the pupil is not enrolled in a free all-day, every day kindergarten program available to all
10.17kindergarten pupils at the pupil's school.
10.18    (e) A pupil who is in any of grades 1 to 3 is counted as 1.115 pupil units for fiscal
10.19year 2000 and thereafter.
10.20    (f) A pupil who is any of grades 4 to 6 is counted as 1.06 pupil units for fiscal
10.21year 1995 and thereafter.
10.22    (g) A pupil who is in any of grades 7 to 12 is counted as 1.3 pupil units.
10.23    (h) A pupil who is in the postsecondary enrollment options program is counted
10.24as 1.3 pupil units.
10.25EFFECTIVE DATE.This section is effective for revenue for fiscal year 2015
10.26and later.

10.27    Sec. 11. Minnesota Statutes 2012, section 126C.10, subdivision 1, is amended to read:
10.28    Subdivision 1. General education revenue. The general education revenue for
10.29each district equals the sum of the district's basic revenue, extended time revenue, gifted
10.30and talented revenue, small schools revenue, basic skills revenue, training and experience
10.31revenue, secondary sparsity revenue, elementary sparsity revenue, transportation sparsity
10.32revenue, total operating capital revenue, equity revenue, alternative teacher compensation
10.33revenue, and transition revenue.

10.34    Sec. 12. Minnesota Statutes 2012, section 126C.10, subdivision 2, is amended to read:
11.1    Subd. 2. Basic revenue. The basic revenue for each district equals the formula
11.2allowance times the adjusted marginal cost pupil units for the school year. The formula
11.3allowance for fiscal year 2011 is $5,124. The formula allowance for fiscal year 2012 is
11.4$5,174. The formula allowance for fiscal year 2013 and subsequent years is $5,224. The
11.5formula allowance for fiscal year 2014 is $5,328. The formula allowance for fiscal year
11.62015 and later is $5,433.

11.7    Sec. 13. Minnesota Statutes 2012, section 126C.10, subdivision 14, is amended to read:
11.8    Subd. 14. Uses of total operating capital revenue. Total operating capital revenue
11.9may be used only for the following purposes:
11.10(1) to acquire land for school purposes;
11.11(2) to acquire or construct buildings for school purposes;
11.12(3) to rent or lease buildings, including the costs of building repair or improvement
11.13that are part of a lease agreement;
11.14(4) to improve and repair school sites and buildings, and equip or reequip school
11.15buildings with permanent attached fixtures, including library media centers;
11.16(5) for a surplus school building that is used substantially for a public nonschool
11.17purpose;
11.18(6) to eliminate barriers or increase access to school buildings by individuals with a
11.19disability;
11.20(7) to bring school buildings into compliance with the State Fire Code adopted
11.21according to chapter 299F;
11.22(8) to remove asbestos from school buildings, encapsulate asbestos, or make
11.23asbestos-related repairs;
11.24(9) to clean up and dispose of polychlorinated biphenyls found in school buildings;
11.25(10) to clean up, remove, dispose of, and make repairs related to storing heating fuel
11.26or transportation fuels such as alcohol, gasoline, fuel oil, and special fuel, as defined
11.27in section 296A.01;
11.28(11) for energy audits for school buildings and to modify buildings if the audit
11.29indicates the cost of the modification can be recovered within ten years;
11.30(12) to improve buildings that are leased according to section 123B.51, subdivision 4;
11.31(13) to pay special assessments levied against school property but not to pay
11.32assessments for service charges;
11.33(14) to pay principal and interest on state loans for energy conservation according to
11.34section 216C.37 or loans made under the Douglas J. Johnson Economic Protection Trust
11.35Fund Act according to sections 298.292 to 298.298;
12.1(15) to purchase or lease interactive telecommunications equipment;
12.2(16) by board resolution, to transfer money into the debt redemption fund to: (i)
12.3pay the amounts needed to meet, when due, principal and interest payments on certain
12.4obligations issued according to chapter 475; or (ii) pay principal and interest on debt
12.5service loans or capital loans according to section 126C.70;
12.6(17) to pay operating capital-related assessments of any entity formed under a
12.7cooperative agreement between two or more districts;
12.8(18) to purchase or lease computers and related materials hardware, initial purchase
12.9of related software, but not annual licensing fees, copying machines, telecommunications
12.10equipment, and other noninstructional equipment;
12.11(19) to purchase or lease assistive technology or equipment for instructional
12.12programs;
12.13(20) to purchase textbooks as defined in section 123B.41, subdivision 2;
12.14(21) to purchase new and replacement library media resources or technology;
12.15(22) to lease or purchase vehicles;
12.16(23) to purchase or lease telecommunications equipment, computers, and related
12.17equipment for integrated information management systems for:
12.18(i) managing and reporting learner outcome information for all students under a
12.19results-oriented graduation rule;
12.20(ii) managing student assessment, services, and achievement information required
12.21for students with individualized education programs; and
12.22(iii) other classroom information management needs;
12.23(24) to pay personnel costs directly related to the acquisition, operation, and
12.24maintenance of telecommunications systems, computers, related equipment, and network
12.25and applications software; and
12.26(25) to pay the costs directly associated with closing a school facility, including
12.27moving and storage costs.

12.28    Sec. 14. Minnesota Statutes 2012, section 126C.10, subdivision 24, is amended to read:
12.29    Subd. 24. Equity revenue. (a) A school district qualifies for equity revenue if:
12.30    (1) the school district's adjusted marginal cost pupil unit amount of basic revenue,
12.31transition revenue, and referendum revenue is less than the value of the school district at
12.32or immediately above the 95th percentile of school districts in its equity region for those
12.33revenue categories; and
12.34    (2) the school district's administrative offices are not located in a city of the first
12.35class on July 1, 1999.
13.1    (b) Equity revenue for a qualifying district that receives referendum revenue under
13.2section 126C.17, subdivision 4, equals the product of (1) the district's adjusted marginal
13.3cost pupil units for that year; times (2) the sum of (i) $13, plus (ii) $75, times the school
13.4district's equity index computed under subdivision 27.
13.5    (c) Equity revenue for a qualifying district that does not receive referendum revenue
13.6under section 126C.17, subdivision 4, equals the product of the district's adjusted marginal
13.7cost pupil units for that year times $13.
13.8    (d) A school district's equity revenue is increased by the greater of zero or an amount
13.9equal to the difference between $300 times the district's resident marginal cost pupil units
13.10times the difference between ten percent of the statewide average and the district's amount
13.11of referendum revenue per resident marginal cost pupil unit for that year and the district's
13.12referendum revenue per resident marginal cost pupil unit. A school district's revenue
13.13under this paragraph must not exceed $100,000 for that year.
13.14    (e) A school district's equity revenue for a school district located in the metro equity
13.15region equals the amount computed in paragraphs (b), (c), and (d) multiplied by 1.25.
13.16    (f) For fiscal year 2007 and later, notwithstanding paragraph (a), clause (2), A school
13.17district that has per pupil referendum revenue below the 95th percentile qualifies for
13.18 district's additional equity revenue equal to equals $46 times its adjusted marginal cost
13.19pupil units.
13.20    (g) A district that does not qualify for revenue under paragraph (f) qualifies for
13.21equity revenue equal to $46 times its adjusted marginal cost pupil units.
13.22EFFECTIVE DATE.This section is effective for revenue for fiscal year 2014
13.23and later.

13.24    Sec. 15. Minnesota Statutes 2012, section 126C.10, subdivision 29, is amended to read:
13.25    Subd. 29. Equity levy. To obtain equity revenue for fiscal year 2005 2015 and later,
13.26a district may levy an amount not more than the product of its equity revenue for the fiscal
13.27year times the lesser of one or the ratio of its referendum market value per resident marginal
13.28cost pupil unit to $476,000 122 percent of the referendum market value equalizing factor.
13.29EFFECTIVE DATE.This section is effective for revenue for fiscal year 2015
13.30and later.

13.31    Sec. 16. Minnesota Statutes 2012, section 126C.10, subdivision 32, is amended to read:
13.32    Subd. 32. Transition levy. To obtain transition revenue for fiscal year 2005 2015
13.33 and later, a district may levy an amount not more than the product of its transition revenue
14.1for the fiscal year times the lesser of one or the ratio of its referendum market value per
14.2resident marginal cost pupil unit to $476,000 122 percent of the referendum market
14.3value equalizing factor.
14.4EFFECTIVE DATE.This section is effective for revenue for fiscal year 2015
14.5and later.

14.6    Sec. 17. Minnesota Statutes 2012, section 126C.15, subdivision 1, is amended to read:
14.7    Subdivision 1. Use of revenue. The basic skills revenue under section 126C.10,
14.8subdivision 4
, must be reserved and used to meet the educational needs of pupils who
14.9enroll under-prepared to learn and whose progress toward meeting state or local content
14.10or performance standards is below the level that is appropriate for learners of their age.
14.11Basic skills revenue may also be used for programs designed to prepare children and their
14.12families for entry into school whether the student first enrolls in kindergarten or first grade.
14.13Any of the following may be provided to meet these learners' needs:
14.14(1) direct instructional services under the assurance of mastery program according
14.15to section 124D.66;
14.16(2) remedial instruction in reading, language arts, mathematics, other content areas,
14.17or study skills to improve the achievement level of these learners;
14.18(3) additional teachers and teacher aides to provide more individualized instruction
14.19to these learners through individual tutoring, lower instructor-to-learner ratios, or team
14.20teaching;
14.21(4) a longer school day or week during the regular school year or through a summer
14.22program that may be offered directly by the site or under a performance-based contract
14.23with a community-based organization;
14.24(5) comprehensive and ongoing staff development consistent with district and site
14.25plans according to section 122A.60, for teachers, teacher aides, principals, and other
14.26personnel to improve their ability to identify the needs of these learners and provide
14.27appropriate remediation, intervention, accommodations, or modifications;
14.28(6) instructional materials, digital learning, and technology appropriate for meeting
14.29the individual needs of these learners;
14.30(7) programs to reduce truancy, encourage completion of high school, enhance
14.31self-concept, provide health services, provide nutrition services, provide a safe and secure
14.32learning environment, provide coordination for pupils receiving services from other
14.33governmental agencies, provide psychological services to determine the level of social,
14.34emotional, cognitive, and intellectual development, and provide counseling services,
14.35guidance services, and social work services;
15.1(8) bilingual programs, bicultural programs, and programs for English learners;
15.2(9) all day kindergarten;
15.3(10) early education programs, parent-training programs, school readiness programs,
15.4kindergarten programs for four-year-olds, voluntary home visits under section 124D.13,
15.5subdivision 4, and other outreach efforts designed to prepare children for kindergarten;
15.6(11) extended school day and extended school year programs; and
15.7(11) (12) substantial parent involvement in developing and implementing remedial
15.8education or intervention plans for a learner, including learning contracts between the
15.9school, the learner, and the parent that establish achievement goals and responsibilities of
15.10the learner and the learner's parent or guardian.
15.11EFFECTIVE DATE.This section is effective for revenue for fiscal year 2014
15.12and later.

15.13    Sec. 18. Minnesota Statutes 2012, section 126C.15, subdivision 2, is amended to read:
15.14    Subd. 2. Building allocation. (a) A district or cooperative must allocate its
15.15compensatory revenue to each school building in the district or cooperative where
15.16the children who have generated the revenue are served unless the school district or
15.17cooperative has received permission under Laws 2005, First Special Session chapter 5,
15.18article 1, section 50, to allocate compensatory revenue according to student performance
15.19measures developed by the school board.
15.20    (b) Notwithstanding paragraph (a), a district or cooperative may allocate up to
15.21five percent of the amount of compensatory revenue that the district receives to school
15.22sites according to a plan adopted by the school board, and a district or cooperative may
15.23allocate up to an additional five percent of its compensatory revenue for activities under
15.24subdivision 1, clause (10), according to a plan adopted by the school board. The money
15.25reallocated under this paragraph must be spent for the purposes listed in subdivision 1, but
15.26may be spent on students in any grade, including students attending school readiness or
15.27other prekindergarten programs.
15.28    (c) For the purposes of this section and section 126C.05, subdivision 3, "building"
15.29means education site as defined in section 123B.04, subdivision 1.
15.30    (d) Notwithstanding section 123A.26, subdivision 1, compensatory revenue
15.31generated by students served at a cooperative unit shall be paid to the cooperative unit.
15.32    (e) A district or cooperative with school building openings, school building
15.33closings, changes in attendance area boundaries, or other changes in programs or student
15.34demographics between the prior year and the current year may reallocate compensatory
15.35revenue among sites to reflect these changes. A district or cooperative must report to the
16.1department any adjustments it makes according to this paragraph and the department must
16.2use the adjusted compensatory revenue allocations in preparing the report required under
16.3section 123B.76, subdivision 3, paragraph (c).
16.4EFFECTIVE DATE.This section is effective for revenue for fiscal year 2014
16.5and later.

16.6    Sec. 19. Minnesota Statutes 2012, section 126C.17, subdivision 1, is amended to read:
16.7    Subdivision 1. Referendum allowance. (a) For fiscal year 2003 and later, a district's
16.8initial referendum revenue allowance equals the sum of the allowance under section
16.9126C.16, subdivision 2, plus any additional allowance per resident marginal cost pupil
16.10unit authorized under subdivision 9 before May 1, 2001, for fiscal year 2002 and later,
16.11plus the referendum conversion allowance approved under subdivision 13, minus $415.
16.12For districts with more than one referendum authority, the reduction must be computed
16.13separately for each authority. The reduction must be applied first to the referendum
16.14conversion allowance and next to the authority with the earliest expiration date. A
16.15district's initial referendum revenue allowance may not be less than zero.
16.16(b) For fiscal year 2003, a district's referendum revenue allowance equals the initial
16.17referendum allowance plus any additional allowance per resident marginal cost pupil unit
16.18authorized under subdivision 9 between April 30, 2001, and December 30, 2001, for
16.19fiscal year 2003 and later.
16.20(c) For fiscal year 2004 and later, a district's referendum revenue allowance equals
16.21the sum of:
16.22(1) the product of (i) the ratio of the resident marginal cost pupil units the district
16.23would have counted for fiscal year 2004 under Minnesota Statutes 2002, section 126C.05,
16.24to the district's resident marginal cost pupil units for fiscal year 2004, times (ii) the initial
16.25referendum allowance plus any additional allowance per resident marginal cost pupil unit
16.26authorized under subdivision 9 between April 30, 2001, and May 30, 2003, for fiscal
16.27year 2003 and later, plus
16.28(2) any additional allowance per resident marginal cost pupil unit authorized under
16.29subdivision 9 after May 30, 2003, for fiscal year 2005 and later.
16.30(a) A district's initial referendum allowance for fiscal year 2015 equals the result of
16.31the following calculations:
16.32(1) multiply the referendum allowance the district would have received for fiscal
16.33year 2015 under Minnesota Statutes 2012, section 126C.17, subdivision 1, based on
16.34elections held before July 1, 2013, by the resident marginal cost pupil units the district
16.35would have counted for fiscal year 2015 under Minnesota Statutes 2012, section 126C.05;
17.1(2) divide the result of clause (1) by the district's residential marginal cost pupil units
17.2for fiscal year 2015; and
17.3(3) if the result of clause (2) is less than zero, set the allowance to zero.
17.4(b) A district's referendum allowance equals the sum of the district's initial
17.5referendum allowance for fiscal year 2015, plus any additional referendum allowance per
17.6resident marginal cost pupil unit authorized after June 30, 2013, minus any allowances
17.7expiring in fiscal year 2016 or later.
17.8EFFECTIVE DATE.This section is effective for fiscal year 2015 and later.

17.9    Sec. 20. Minnesota Statutes 2012, section 126C.17, subdivision 5, is amended to read:
17.10    Subd. 5. Referendum equalization revenue. (a) For fiscal year 2003 and later,
17.11 A district's referendum equalization revenue equals the sum of the first tier referendum
17.12equalization revenue and the second tier referendum equalization revenue.
17.13(b) A district's first tier referendum equalization revenue equals the district's first
17.14tier referendum equalization allowance times the district's resident marginal cost pupil
17.15units for that year.
17.16(c) For fiscal year 2006, a district's first tier referendum equalization allowance
17.17equals the lesser of the district's referendum allowance under subdivision 1 or $500. For
17.18fiscal year 2007, a district's first tier referendum equalization allowance equals the lesser
17.19of the district's referendum allowance under subdivision 1 or $600.
17.20For fiscal year 2008 and later, A district's first tier referendum equalization allowance
17.21equals the lesser of the district's referendum allowance under subdivision 1 or $700.
17.22(d) A district's second tier referendum equalization revenue equals the district's
17.23second tier referendum equalization allowance times the district's resident marginal cost
17.24pupil units for that year.
17.25(e) For fiscal year 2006, a district's second tier referendum equalization allowance
17.26equals the lesser of the district's referendum allowance under subdivision 1 or 18.6 percent
17.27of the formula allowance, minus the district's first tier referendum equalization allowance.
17.28For fiscal year 2007 and later, A district's second tier referendum equalization allowance
17.29equals the lesser of the district's referendum allowance under subdivision 1 or 26 percent
17.30of the formula allowance, minus the district's first tier referendum equalization allowance.
17.31(f) Notwithstanding paragraph (e), the second tier referendum allowance for a
17.32district qualifying for secondary sparsity revenue under section 126C.10, subdivision 7, or
17.33elementary sparsity revenue under section 126C.10, subdivision 8, equals the district's
17.34referendum allowance under subdivision 1 minus the district's first tier referendum
17.35equalization allowance.

18.1    Sec. 21. Minnesota Statutes 2012, section 126C.17, subdivision 6, is amended to read:
18.2    Subd. 6. Referendum equalization levy. (a) For fiscal year 2003 and later,
18.3 A district's referendum equalization levy equals the sum of the first tier referendum
18.4equalization levy and the second tier referendum equalization levy.
18.5(b) A district's first tier referendum equalization levy equals the district's first tier
18.6referendum equalization revenue times the lesser of one or the ratio of the district's
18.7referendum market value per resident marginal cost pupil unit to $476,000 122 percent of
18.8the referendum market value equalizing factor.
18.9(c) A district's second tier referendum equalization levy equals the district's second
18.10tier referendum equalization revenue times the lesser of one or the ratio of the district's
18.11referendum market value per resident marginal cost pupil unit to $270,000 66 percent of
18.12the referendum market value equalizing factor.
18.13EFFECTIVE DATE.This section is effective for fiscal year 2015 and later.

18.14    Sec. 22. Minnesota Statutes 2012, section 126C.40, subdivision 6, is amended to read:
18.15    Subd. 6. Lease purchase; installment buys. (a) Upon application to, and approval
18.16by, the commissioner in accordance with the procedures and limits in subdivision 1,
18.17paragraphs (a) and (b), a district, as defined in this subdivision, may:
18.18(1) purchase real or personal property under an installment contract or may lease
18.19real or personal property with an option to purchase under a lease purchase agreement, by
18.20which installment contract or lease purchase agreement title is kept by the seller or vendor
18.21or assigned to a third party as security for the purchase price, including interest, if any; and
18.22(2) annually levy the amounts necessary to pay the district's obligations under the
18.23installment contract or lease purchase agreement.
18.24(b) The obligation created by the installment contract or the lease purchase
18.25agreement must not be included in the calculation of net debt for purposes of section
18.26475.53 , and does not constitute debt under other law. An election is not required in
18.27connection with the execution of the installment contract or the lease purchase agreement.
18.28(c) The proceeds of the levy authorized by this subdivision must not be used to
18.29acquire a facility to be primarily used for athletic or school administration purposes.
18.30(d) For the purposes of this subdivision, "district" means:
18.31(1) a school district which is eligible for revenue under section 124D.86, subdivision
18.323
, clause (1), (2), or (3), and whose Special School District No. 1, Minneapolis;
18.33Independent School District No. 625, St. Paul; Independent School District No. 709,
18.34Duluth; or Independent School District No. 535, Rochester, if the district's desegregation
18.35 plan has been determined by the commissioner to be in compliance with Department of
19.1Education rules relating to equality of educational opportunity and school desegregation
19.2and, for a district eligible for revenue under section 124D.86, subdivision 3, clause (4)
19.3or (5), where the acquisition of property under this subdivision is determined by the
19.4commissioner to contribute to the implementation of the desegregation plan; or
19.5(2) a school district that participates in a joint program for interdistrict desegregation
19.6with a district defined in clause (1) other districts eligible for revenue under section
19.7124D.861 if the facility acquired under this subdivision is to be primarily used for the a
19.8 joint program for interdistrict desegregation and the commissioner determines that the
19.9joint programs are being undertaken to implement the districts' desegregation plan.
19.10(e) Notwithstanding subdivision 1, the prohibition against a levy by a district to lease
19.11or rent a district-owned building to itself does not apply to levies otherwise authorized
19.12by this subdivision.
19.13(f) For the purposes of this subdivision, any references in subdivision 1 to building
19.14or land shall include personal property.

19.15    Sec. 23. Minnesota Statutes 2012, section 126C.44, is amended to read:
19.16126C.44 SAFE SCHOOLS LEVY.
19.17    (a) Each district may make a levy on all taxable property located within the district
19.18for the purposes specified in this section. The maximum amount which may be levied for
19.19all costs under this section shall be equal to $30 $35 multiplied by the district's adjusted
19.20marginal cost pupil units for the school year. The proceeds of the levy must be reserved
19.21and used for directly funding the following purposes or for reimbursing the cities and
19.22counties who contract with the district for the following purposes:
19.23    (1) to pay the costs incurred for the salaries, benefits, and transportation costs of
19.24peace officers and sheriffs for liaison in services in the district's schools;
19.25    (2) to pay the costs for a drug abuse prevention program as defined in section
19.26609.101, subdivision 3 , paragraph (e), in the elementary schools;
19.27    (3) to pay the costs for a gang resistance education training curriculum in the
19.28district's schools;
19.29    (4) to pay the costs for security in the district's schools and on school property;
19.30    (5) to pay the costs for other crime prevention, drug abuse, student and staff safety,
19.31voluntary opt-in suicide prevention tools, and violence prevention measures taken by
19.32the school district; or
19.33    (6) to pay costs for licensed school counselors, licensed school nurses, licensed
19.34school social workers, licensed school psychologists, and licensed alcohol and chemical
19.35dependency counselors to help provide early responses to problems;
20.1    (7) to pay for facility security enhancements including laminated glass, public
20.2announcement systems, emergency communications devices, and equipment and facility
20.3modifications related to violence prevention and facility security;
20.4    (8) to pay for costs associated with improving the school climate; or
20.5    (9) to pay costs associated with mental health services.
20.6    (b) For expenditures under paragraph (a), clause (1), the district must initially
20.7attempt to contract for services to be provided by peace officers or sheriffs with the
20.8police department of each city or the sheriff's department of the county within the district
20.9containing the school receiving the services. If a local police department or a county
20.10sheriff's department does not wish to provide the necessary services, the district may
20.11contract for these services with any other police or sheriff's department located entirely or
20.12partially within the school district's boundaries.
20.13    (b) (c) A school district that is a member of an intermediate school district may
20.14include in its authority under this section the costs associated with safe schools activities
20.15authorized under paragraph (a) for intermediate school district programs. This authority
20.16must not exceed $10 times the adjusted marginal cost pupil units of the member districts.
20.17This authority is in addition to any other authority authorized under this section. Revenue
20.18raised under this paragraph must be transferred to the intermediate school district.
20.19EFFECTIVE DATE.This section is effective for revenue for fiscal year 2015
20.20and later.

20.21    Sec. 24. Minnesota Statutes 2012, section 126C.48, subdivision 8, is amended to read:
20.22    Subd. 8. Taconite payment and other reductions. (1) Reductions in levies
20.23pursuant to subdivision 1 must be made prior to the reductions in clause (2).
20.24(2) Notwithstanding any other law to the contrary, districts that have revenue
20.25pursuant to sections 298.018; 298.225; 298.24 to 298.28, except an amount distributed
20.26under sections 298.26; 298.28, subdivision 4, paragraphs (c), clause (ii), and (d); 298.34
20.27to 298.39; 298.391 to 298.396; 298.405; 477A.15; and any law imposing a tax upon
20.28severed mineral values must reduce the levies authorized by this chapter and chapters
20.29120B, 122A, 123A, 123B, 124A, 124D, 125A, and 127A by 95 percent of the sum of the
20.30previous year's revenue specified under this clause and the amount attributable to the same
20.31production year distributed to the cities and townships within the school district under
20.32section 298.28, subdivision 2, paragraph (c).
20.33(3) The amount of any voter approved referendum, facilities down payment, and
20.34debt levies shall not be reduced by more than 50 percent under this subdivision. In
20.35administering this paragraph, the commissioner shall first reduce the nonvoter approved
21.1levies of a district; then, if any payments, severed mineral value tax revenue or recognized
21.2revenue under paragraph (2) remains, the commissioner shall reduce any voter approved
21.3referendum levies authorized under section 126C.17; then, if any payments, severed
21.4mineral value tax revenue or recognized revenue under paragraph (2) remains, the
21.5commissioner shall reduce any voter approved facilities down payment levies authorized
21.6under section 123B.63 and then, if any payments, severed mineral value tax revenue or
21.7recognized revenue under paragraph (2) remains, the commissioner shall reduce any
21.8voter approved debt levies.
21.9(4) Before computing the reduction pursuant to this subdivision of the health and
21.10safety levy authorized by sections 123B.57 and 126C.40, subdivision 5, the commissioner
21.11shall ascertain from each affected school district the amount it proposes to levy under
21.12each section or subdivision. The reduction shall be computed on the basis of the amount
21.13so ascertained.
21.14(5) To the extent the levy reduction calculated under paragraph (2) exceeds the
21.15limitation in paragraph (3), an amount equal to the excess must be distributed from the
21.16school district's distribution under sections 298.225, 298.28, and 477A.15 in the following
21.17year to the cities and townships within the school district in the proportion that their
21.18taxable net tax capacity within the school district bears to the taxable net tax capacity of
21.19the school district for property taxes payable in the year prior to distribution. No city or
21.20township shall receive a distribution greater than its levy for taxes payable in the year prior
21.21to distribution. The commissioner of revenue shall certify the distributions of cities and
21.22towns under this paragraph to the county auditor by September 30 of the year preceding
21.23distribution. The county auditor shall reduce the proposed and final levies of cities and
21.24towns receiving distributions by the amount of their distribution. Distributions to the cities
21.25and towns shall be made at the times provided under section 298.27.
21.26EFFECTIVE DATE.This section is effective for levies certified in 2014 and later.

21.27    Sec. 25. Minnesota Statutes 2012, section 127A.47, subdivision 7, is amended to read:
21.28    Subd. 7. Alternative attendance programs. (a) The general education aid and
21.29special education aid for districts must be adjusted for each pupil attending a nonresident
21.30district under sections 123A.05 to 123A.08, 124D.03, 124D.08, and 124D.68. The
21.31adjustments must be made according to this subdivision.
21.32    (a) (b) General education aid paid to a resident district must be reduced by an amount
21.33equal to the referendum equalization aid attributable to the pupil in the resident district.
21.34    (b) (c) General education aid paid to a district serving a pupil in programs listed in
21.35this subdivision must be increased by an amount equal to the greater of (1) the referendum
22.1equalization aid attributable to the pupil in the nonresident district; or (2) the product of
22.2the district's open enrollment concentration index, the maximum amount of referendum
22.3revenue in the first tier, and the district's net open enrollment pupil units for that year. A
22.4district's open enrollment concentration index equals the greater of: (i) zero, or (ii) the
22.5lesser of 1.0, or the difference between the district's ratio of open enrollment pupil units
22.6served to its resident pupil units for that year and 0.2. This clause does not apply to a
22.7school district where more than 50 percent of the open enrollment students are enrolled
22.8solely in online learning courses.
22.9    (c) (d) If the amount of the reduction to be made from the general education aid of
22.10the resident district is greater than the amount of general education aid otherwise due the
22.11district, the excess reduction must be made from other state aids due the district.
22.12    (d) For fiscal year 2006, the district of residence must pay tuition to a district or an
22.13area learning center, operated according to paragraph (f), providing special instruction and
22.14services to a pupil with a disability, as defined in section 125A.02, or a pupil, as defined in
22.15section 125A.51, who is enrolled in a program listed in this subdivision. The tuition must
22.16be equal to (1) the actual cost of providing special instruction and services to the pupil,
22.17including a proportionate amount for special transportation and unreimbursed building
22.18lease and debt service costs for facilities used primarily for special education, minus (2)
22.19if the pupil receives special instruction and services outside the regular classroom for
22.20more than 60 percent of the school day, the amount of general education revenue and
22.21referendum aid attributable to that pupil for the portion of time the pupil receives special
22.22instruction and services outside of the regular classroom, excluding portions attributable to
22.23district and school administration, district support services, operations and maintenance,
22.24capital expenditures, and pupil transportation, minus (3) special education aid attributable
22.25to that pupil, that is received by the district providing special instruction and services.
22.26For purposes of this paragraph, general education revenue and referendum equalization
22.27aid attributable to a pupil must be calculated using the serving district's average general
22.28education revenue and referendum equalization aid per adjusted pupil unit.
22.29    (e) For fiscal year 2007 and later, special education aid paid to a resident district must
22.30be reduced by an amount equal to For purposes of this subdivision, the "unreimbursed
22.31cost of providing special education and services" means the difference between: (1) the
22.32actual cost of providing special instruction and services, including special transportation
22.33and unreimbursed building lease and debt service costs for facilities used primarily for
22.34special education, for a pupil with a disability, as defined in section 125A.02, or a pupil, as
22.35defined in section 125A.51, who is enrolled in a program listed in this subdivision, minus
22.36(2) if the pupil receives special instruction and services outside the regular classroom for
23.1more than 60 percent of the school day, the amount of general education revenue and
23.2referendum equalization aid attributable to that pupil for the portion of time the pupil
23.3receives special instruction and services outside of the regular classroom, excluding
23.4portions attributable to district and school administration, district support services,
23.5operations and maintenance, capital expenditures, and pupil transportation, minus (3)
23.6special education aid under section 125A.76 attributable to that pupil, that is received by
23.7the district providing special instruction and services. For purposes of this paragraph,
23.8general education revenue and referendum equalization aid attributable to a pupil must be
23.9calculated using the serving district's average general education revenue and referendum
23.10equalization aid per adjusted pupil unit.
23.11(f) For fiscal year 2015 and later, special education aid paid to a resident district
23.12must be reduced by an amount equal to 90 percent of the unreimbursed cost of providing
23.13special education and services.
23.14(g) Notwithstanding paragraph (f), special education aid paid to a resident district
23.15must be reduced by an amount equal to 100 percent of the unreimbursed cost of special
23.16education and services provided to students at an intermediate district, cooperative, or
23.17charter school where the percent of students eligible for special education services is at
23.18least 70 percent of the charter school's total enrollment.
23.19    (h) Special education aid paid to the district or cooperative providing special
23.20instruction and services for the pupil, or to the fiscal agent district for a cooperative,
23.21must be increased by the amount of the reduction in the aid paid to the resident district
23.22 under paragraphs (f) and (g). If the resident district's special education aid is insufficient
23.23to make the full adjustment, the remaining adjustment shall be made to other state aids
23.24due to the district.
23.25    (f) (i) An area learning center operated by a service cooperative, intermediate
23.26district, education district, or a joint powers cooperative may elect through the action of
23.27the constituent boards to charge the resident district tuition for pupils rather than to have
23.28the general education revenue paid to a fiscal agent school district. Except as provided in
23.29paragraph (d) or (e), the district of residence must pay tuition equal to at least 90 percent
23.30of the district average general education revenue per pupil unit minus an amount equal to
23.31the product of the formula allowance according to section 126C.10, subdivision 2, times
23.32.0485, calculated without compensatory revenue and transportation sparsity revenue,
23.33times the number of pupil units for pupils attending the area learning center.
23.34EFFECTIVE DATE.This section is effective for revenue for fiscal year 2015
23.35and later.

24.1    Sec. 26. EQUITY AID; FISCAL YEAR 2014.
24.2For fiscal year 2014 only, the commissioner must calculate and pay to school
24.3districts in state aid the difference between the equity revenue actually received under
24.4Minnesota Statutes, section 126C.10, and the amount the district would have received
24.5under Minnesota Statutes 2012, section 126C.10.

24.6    Sec. 27. APPROPRIATIONS.
24.7    Subdivision 1. Department of Education. The sums indicated in this section are
24.8appropriated from the general fund to the Department of Education for the fiscal years
24.9designated.
24.10    Subd. 2. General education aid. For general education aid under Minnesota
24.11Statutes, section 126C.13, subdivision 4:
24.12
$
6,092,415,000
.....
2014
24.13
$
6,440,890,000
.....
2015
24.14The 2014 appropriation includes $781,842,000 for 2013 and $5,310,573,000 for
24.152014.
24.16The 2015 appropriation includes $808,460,000 for 2014 and $5,632,430,000 for
24.172015.
24.18    Subd. 3. Enrollment options transportation. For transportation of pupils attending
24.19postsecondary institutions under Minnesota Statutes, section 124D.09, or for transportation
24.20of pupils attending nonresident districts under Minnesota Statutes, section 124D.03:
24.21
$
44,000
.....
2014
24.22
$
48,000
.....
2015
24.23    Subd. 4. Abatement revenue. For abatement aid under Minnesota Statutes, section
24.24127A.49:
24.25
$
2,747,000
.....
2014
24.26
$
3,136,000
.....
2015
24.27The 2014 appropriation includes $301,000 for 2013 and $2,446,000 for 2014.
24.28The 2015 appropriation includes $385,000 for 2014 and $2,751,000 for 2015.
24.29    Subd. 5. Consolidation transition. For districts consolidating under Minnesota
24.30Statutes, section 123A.485:
24.31
$
472,000
.....
2014
24.32
$
480,000
.....
2015
25.1The 2014 appropriation includes $40,000 for 2013 and $432,000 for 2014.
25.2The 2015 appropriation includes $68,000 for 2014 and $412,000 for 2015.
25.3    Subd. 6. Nonpublic pupil education aid. For nonpublic pupil education aid under
25.4Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:
25.5
$
15,660,000
.....
2014
25.6
$
16,324,000
.....
2015
25.7The 2014 appropriation includes $2,099,000 for 2013 and $13,561,000 for 2014.
25.8The 2015 appropriation includes $2,121,000 for 2014 and $14,203,000 for 2015.
25.9    Subd. 7. Nonpublic pupil transportation. For nonpublic pupil transportation aid
25.10under Minnesota Statutes, section 123B.92, subdivision 9:
25.11
$
18,656,000
.....
2014
25.12
$
19,127,000
.....
2015
25.13The 2014 appropriation includes $2,668,000 for 2013 and $15,988,000 for 2014.
25.14The 2015 appropriation includes $2,501,000 for 2014 and $16,626,000 for 2015.
25.15    Subd. 8. One-room schoolhouse. For a grant to Independent School District No.
25.16690, Warroad, to operate the Angle Inlet School:
25.17
$
65,000
.....
2014
25.18
$
65,000
.....
2015
25.19    Subd. 9. Compensatory revenue pilot program. For grants for participation in the
25.20compensatory revenue pilot program under Laws 2005, First Special Session chapter 5,
25.21article 1, section 50:
25.22
$
2,325,000
.....
2014
25.23
$
2,325,000
.....
2015
25.24Of this amount, $1,500,000 each year is for a grant to Independent School District
25.25No. 11, Anoka-Hennepin; $75,000 each year is for a grant to Independent School District
25.26No. 286, Brooklyn Center; $210,000 each year is for a grant to Independent School
25.27District No. 279, Osseo; $160,000 each year is for a grant to Independent School District
25.28No. 281, Robbinsdale; $165,000 each year is for a grant to Independent School District
25.29No. 535, Rochester; $65,000 each year is for a grant to Independent School District No.
25.30833, South Washington County; and $150,000 each year is for a grant to Independent
25.31School District No. 241, Albert Lea.
25.32If a grant to a specific school district is not awarded, the commissioner may increase
25.33the aid amounts to any of the remaining participating school districts.
25.34This appropriation is part of the base budget for subsequent fiscal years.

26.1    Sec. 28. REPEALER.
26.2Minnesota Statutes 2012, section 126C.17, subdivision 13, is repealed July 1, 2013.

26.3ARTICLE 2
26.4STUDENT ACCOUNTABILITY

26.5    Section 1. [120B.018] DEFINITIONS.
26.6    Subdivision 1. Scope. The definitions in this section apply to this chapter.
26.7    Subd. 2. Academic standard. "Academic standard" means a summary description
26.8of student learning in a required content area under section 120B.021 or elective content
26.9area under section 120B.022.
26.10    Subd. 3. Career and college ready benchmark. "Career and college ready
26.11benchmark" means specific knowledge or skill that a student must attain to complete part
26.12of an academic standard.
26.13    Subd. 4. Credit. "Credit" means the determination by the local school district that a
26.14student successfully completed an academic year of study or demonstrated attainment of
26.15applicable subject matter.
26.16    Subd. 5. Elective standard. "Elective standard" means a locally adopted
26.17expectation for student learning in career and technical education or world languages.
26.18    Subd. 6. Required standard. "Required standard" means (1) a statewide adopted
26.19expectation for student learning in the content areas of language arts, mathematics,
26.20science, social studies, physical education, and the arts or (2) a locally adopted expectation
26.21for student learning in health or the arts.
26.22    Subd. 7. School site. "School site" means a separate facility, or a separate program
26.23within a facility that a local school board recognizes as a school site for funding purposes.

26.24    Sec. 2. Minnesota Statutes 2012, section 120B.02, is amended to read:
26.25120B.02 EDUCATIONAL EXPECTATIONS AND GRADUATION
26.26REQUIREMENTS FOR MINNESOTA'S STUDENTS.
26.27    Subdivision 1. Educational expectations. (a) The legislature is committed to
26.28establishing rigorous academic standards for Minnesota's public school students. To
26.29that end, the commissioner shall adopt in rule statewide academic standards. The
26.30commissioner shall not prescribe in rule or otherwise the delivery system, classroom
26.31assessments, or form of instruction that school sites must use. For purposes of this chapter,
26.32a school site is a separate facility, or a separate program within a facility that a local school
26.33board recognizes as a school site for funding purposes.
26.34(b) All commissioner actions regarding the rule must be premised on the following:
27.1(1) the rule is intended to raise academic expectations for students, teachers, and
27.2schools;
27.3(2) any state action regarding the rule must evidence consideration of school district
27.4autonomy; and
27.5(3) the Department of Education, with the assistance of school districts, must make
27.6available information about all state initiatives related to the rule to students and parents,
27.7teachers, and the general public in a timely format that is appropriate, comprehensive, and
27.8readily understandable.
27.9(c) When fully implemented, the requirements for high school graduation in
27.10Minnesota must require students to satisfactorily complete, as determined by the school
27.11district, the course credit requirements under section 120B.024, all state academic
27.12standards or local academic standards where state standards do not apply, and successfully
27.13pass graduation examinations as required under section 120B.30.
27.14(d) (c) The commissioner shall periodically review and report on the state's
27.15assessment process.
27.16(e) (d) School districts are not required to adopt specific provisions of the federal
27.17School-to-Work programs.
27.18    Subd. 2. Graduation requirements. To graduate from high school, students must
27.19demonstrate to their enrolling school district or school their satisfactory completion of the
27.20credit requirements under section 120B.024 and their attainment of academic standards
27.21and career and college readiness benchmarks on a nationally normed college entrance
27.22exam under section 120B.30. A school district must adopt graduation requirements that
27.23meet or exceed state graduation requirements established in law or rule.
27.24EFFECTIVE DATE.This section is effective August 1, 2013, and applies to
27.25students entering grade 8 in the 2013-2014 school year and later.

27.26    Sec. 3. Minnesota Statutes 2012, section 120B.021, subdivision 1, is amended to read:
27.27    Subdivision 1. Required academic standards. (a) The following subject areas
27.28are required for statewide accountability:
27.29    (1) language arts;
27.30    (2) mathematics;
27.31    (3) science;
27.32    (4) social studies, including history, geography, economics, and government and
27.33citizenship;
27.34    (5) physical education;
27.35    (6) health, for which locally developed academic standards apply; and
28.1    (7) the arts, for which statewide or locally developed academic standards apply, as
28.2determined by the school district. Public elementary and middle schools must offer at least
28.3three and require at least two of the following four arts areas: dance; music; theater; and
28.4visual arts. Public high schools must offer at least three and require at least one of the
28.5following five arts areas: media arts; dance; music; theater; and visual arts.
28.6    The commissioner must submit proposed standards in science and social studies to
28.7the legislature by February 1, 2004.
28.8    (b) For purposes of applicable federal law, the academic standards for language arts,
28.9mathematics, and science apply to all public school students, except the very few students
28.10with extreme cognitive or physical impairments for whom an individualized education
28.11program team has determined that the required academic standards are inappropriate. An
28.12individualized education program team that makes this determination must establish
28.13alternative standards.
28.14    A school district, no later than the 2007-2008 school year, must adopt graduation
28.15requirements that meet or exceed state graduation requirements established in law or rule.
28.16A school district that incorporates these state graduation requirements before the 2007-2008
28.17school year must provide students who enter the 9th grade in or before the 2003-2004
28.18school year the opportunity to earn a diploma based on existing locally established
28.19graduation requirements in effect when the students entered the 9th grade. (c) District
28.20efforts to develop, implement, or improve instruction or curriculum as a result of the
28.21provisions of this section must be consistent with sections 120B.10, 120B.11, and 120B.20.
28.22    The commissioner must include the contributions of Minnesota American Indian
28.23tribes and communities as they relate to the academic standards during the review and
28.24revision of the required academic standards.

28.25    Sec. 4. Minnesota Statutes 2012, section 120B.023, is amended to read:
28.26120B.023 BENCHMARKS.
28.27    Subdivision 1. Benchmarks implement, supplement statewide academic
28.28standards. (a) The commissioner must supplement required state academic standards with
28.29grade-level benchmarks. High school career and college ready benchmarks may cover
28.30more than one grade. The benchmarks must implement statewide academic standards
28.31by specifying the academic knowledge and skills that Schools must offer and students
28.32must achieve all benchmarks for an academic standard to satisfactorily complete a that
28.33 state standard. The commissioner must publish benchmarks to inform and guide parents,
28.34teachers, school districts, and other interested persons and to use in developing tests
28.35consistent with the benchmarks.
29.1(b) The commissioner shall publish benchmarks in the State Register and transmit
29.2the benchmarks in any other manner that informs and guides parents, teachers, school
29.3districts, and other interested persons and makes them accessible to the general public. The
29.4commissioner must use benchmarks in developing career and college readiness assessments
29.5under section 120B.30. The commissioner may charge a reasonable fee for publications.
29.6(c) Once established, the commissioner may change the benchmarks only with
29.7specific legislative authorization and after completing a review under subdivision 2.
29.8(d) The commissioner must develop and implement a system for reviewing each
29.9of the required academic standards and related benchmarks and elective standards on a
29.10periodic cycle, consistent with subdivision 2.
29.11(e) (d) The benchmarks are not subject to chapter 14 and section 14.386 does not
29.12apply.
29.13    Subd. 2. Revisions and reviews required. (a) The commissioner of education must
29.14revise and appropriately embed technology and information literacy standards consistent
29.15with recommendations from school media specialists into the state's academic standards
29.16and graduation requirements and implement a review six-year cycle for to review and
29.17revise state academic standards and related benchmarks, consistent with this subdivision.
29.18During each six-year review and revision cycle, the commissioner also must examine the
29.19alignment of each required academic standard and related benchmark with the knowledge
29.20and skills students need for career and college readiness and advanced work in the
29.21particular subject area. The commissioner must include the contributions of Minnesota
29.22American Indian tribes and communities as related to the academic standards during the
29.23review and revision of the required academic standards.
29.24(b) The commissioner in the 2006-2007 school year must revise and align the state's
29.25academic standards and high school graduation requirements in mathematics to require
29.26that students satisfactorily complete the revised mathematics standards, beginning in the
29.272010-2011 school year. Under the revised standards:
29.28(1) students must satisfactorily complete an algebra I credit by the end of eighth
29.29grade; and
29.30(2) students scheduled to graduate in the 2014-2015 school year or later must
29.31satisfactorily complete an algebra II credit or its equivalent.
29.32    (b) The commissioner also must ensure that the statewide mathematics assessments
29.33administered to students in grades 3 through 8 and 11 are aligned with the state academic
29.34standards in mathematics, consistent with section 120B.30, subdivision 1, paragraph
29.35(b). The commissioner must implement a review of the academic standards and related
29.36benchmarks in mathematics beginning in the 2015-2016 school year.
30.1(c) The commissioner in the 2007-2008 school year must revise and align the state's
30.2academic standards and high school graduation requirements in the arts to require that
30.3students satisfactorily complete the revised arts standards beginning in the 2010-2011
30.4school year. The commissioner must implement a review of the academic standards and
30.5related benchmarks in arts beginning in the 2016-2017 school year.
30.6(d) The commissioner in the 2008-2009 school year must revise and align the state's
30.7academic standards and high school graduation requirements in science to require that
30.8students satisfactorily complete the revised science standards, beginning in the 2011-2012
30.9school year. Under the revised standards, students scheduled to graduate in the 2014-2015
30.10school year or later must satisfactorily complete a chemistry or physics credit or a career
30.11and technical education credit that meets standards underlying the chemistry, physics,
30.12or biology credit or a combination of those standards approved by the district. The
30.13commissioner must implement a review of the academic standards and related benchmarks
30.14in science beginning in the 2017-2018 school year.
30.15(e) The commissioner in the 2009-2010 school year must revise and align the state's
30.16academic standards and high school graduation requirements in language arts to require
30.17that students satisfactorily complete the revised language arts standards beginning in the
30.182012-2013 school year. The commissioner must implement a review of the academic
30.19standards and related benchmarks in language arts beginning in the 2018-2019 school year.
30.20(f) The commissioner in the 2010-2011 school year must revise and align the state's
30.21academic standards and high school graduation requirements in social studies to require
30.22that students satisfactorily complete the revised social studies standards beginning in the
30.232013-2014 school year. The commissioner must implement a review of the academic
30.24standards and related benchmarks in social studies beginning in the 2019-2020 school year.
30.25(g) School districts and charter schools must revise and align local academic
30.26standards and high school graduation requirements in health, world languages, and career
30.27and technical education to require students to complete the revised standards beginning
30.28in a school year determined by the school district or charter school. School districts and
30.29charter schools must formally establish a periodic review cycle for the academic standards
30.30and related benchmarks in health, world languages, and career and technical education.

30.31    Sec. 5. Minnesota Statutes 2012, section 120B.024, is amended to read:
30.32120B.024 GRADUATION REQUIREMENTS; COURSE CREDITS.
30.33    Subdivision 1. Graduation requirements. (a) Students beginning 9th grade in the
30.342011-2012 school year and later must successfully complete the following high school
30.35level course credits for graduation:
31.1    (1) four credits of language arts sufficient to satisfy all of the academic standards
31.2in English language arts;
31.3    (2) three credits of mathematics, encompassing at least algebra, geometry, statistics,
31.4and probability including an algebra II credit or its equivalent, sufficient to satisfy all of
31.5the academic standard standards in mathematics;
31.6(3) an algebra I credit by the end of grade 8 sufficient to satisfy all of the grade 8
31.7standards in mathematics;
31.8    (3) (4) three credits of science, including at least: (i) one credit in biology; and (ii)
31.9one chemistry or physics credit or a career and technical education credit that meets
31.10standards underlying the chemistry, physics, or biology credit or a combination of those
31.11standards approved by the district, but meeting biology standards under this item does not
31.12meet the biology requirement under item (i);
31.13    (4) (5) three and one-half credits of social studies, encompassing at least United
31.14States history, geography, government and citizenship, world history, and economics or
31.15three credits of social studies encompassing at least United States history, geography,
31.16government and citizenship, and world history, and one-half credit of economics taught in
31.17a school's social studies, agriculture education, or business department sufficient to satisfy
31.18all of the academic standards in social studies;
31.19    (5) (6) one credit in of the arts sufficient to satisfy all of the state or local academic
31.20standards in the arts; and
31.21    (6) (7) a minimum of seven elective course credits.
31.22    A course credit is equivalent to a student successfully completing an academic
31.23year of study or a student mastering the applicable subject matter, as determined by the
31.24local school district.
31.25    Subd. 2. Credit equivalencies. (a) A one-half credit of economics taught in a
31.26school's agriculture education or business department may fulfill a one-half credit in
31.27social studies under subdivision 1, clause (5), if the credit is sufficient to satisfy all of the
31.28academic standards in economics.
31.29    (b) An agriculture science course may fulfill a science credit requirement other
31.30than the specified science credit in biology under paragraph (a) subdivision 1, clause
31.31(3) (4), item (i).
31.32    (c) A career and technical education course may fulfill a mathematics or arts credit
31.33requirement or a science credit requirement other than the specified science credit in
31.34biology under paragraph (a) subdivision 1, clause (2), (3), or (5) (4), or (6).
31.35EFFECTIVE DATE.This section is effective August 1, 2013.

32.1    Sec. 6. Minnesota Statutes 2012, section 120B.125, is amended to read:
32.2120B.125 PLANNING FOR STUDENTS' SUCCESSFUL TRANSITION
32.3TO POSTSECONDARY EDUCATION AND EMPLOYMENT; INVOLUNTARY
32.4CAREER TRACKING PROHIBITED.
32.5(a) Consistent with sections 120B.128, 120B.13, 120B.131, 120B.132, 120B.14,
32.6120B.15 , 120B.30, subdivision 1, paragraph (c), 125A.08, and other related sections,
32.7school districts are strongly encouraged to, beginning in the 2013-2014 school year, must
32.8 assist all students by no later than grade 9 to explore their college and career interests and
32.9aspirations and develop a plan for a smooth and successful transition to postsecondary
32.10education or employment. All students' plans must be designed to:
32.11(1) provide a comprehensive academic plan for completing a college and
32.12career-ready curriculum premised on meeting state and local academic standards and
32.13developing 21st century skills such as team work, collaboration, and good work habits;
32.14(2) emphasize academic rigor and high expectations;
32.15(3) help students identify personal learning styles that may affect their postsecondary
32.16education and employment choices;
32.17(4) help students succeed at gaining gain access to postsecondary education and
32.18career options;
32.19(5) integrate strong academic content into career-focused courses and integrate
32.20relevant career-focused courses into strong academic content;
32.21(6) help students and families identify and gain access to appropriate counseling
32.22and other supports and assistance that enable students to complete required coursework,
32.23prepare for postsecondary education and careers, and obtain information about
32.24postsecondary education costs and eligibility for financial aid and scholarship;
32.25(7) help students and families identify collaborative partnerships of kindergarten
32.26through grade 12 schools, postsecondary institutions, economic development agencies, and
32.27employers that support students' transition to postsecondary education and employment
32.28and provide students with experiential learning opportunities; and
32.29(8) be reviewed and revised at least annually by the student, the student's parent or
32.30guardian, and the school or district to ensure that the student's course-taking schedule
32.31keeps the student "on track" making adequate progress to meet state and local high school
32.32graduation requirements and with a reasonable chance to succeed with employment or
32.33postsecondary education without the need to first complete remedial course work.
32.34(b) A school district may develop grade-level curricula or provide instruction that
32.35introduces students to various careers, but must not require any curriculum, instruction,
33.1or employment-related activity that obligates an elementary or secondary student to
33.2involuntarily select a career, career interest, employment goals, or related job training.
33.3(c) School districts are encouraged to seek and use revenue and in-kind contributions
33.4from nonstate sources and to seek administrative cost savings through innovative local
33.5funding arrangements, such as the Collaboration Among Rochester Educators (CARE)
33.6model for funding postsecondary enrollment options, among other sources, for purposes
33.7of implementing this section.
33.8EFFECTIVE DATE.This section is effective the day following final enactment.

33.9    Sec. 7. Minnesota Statutes 2012, section 120B.128, is amended to read:
33.10120B.128 EDUCATIONAL PLANNING AND ASSESSMENT SYSTEM
33.11(EPAS) PROGRAM.
33.12(a) School districts and charter schools may elect to participate in the Educational
33.13Planning and Assessment System (EPAS) program offered by ACT, Inc. to provide a
33.14longitudinal, systematic approach to student educational and career planning, assessment,
33.15instructional support, and evaluation. The EPAS achievement tests include English,
33.16reading, mathematics, science, and components on planning for high school and
33.17postsecondary education, interest inventory, needs assessments, and student education
33.18plans. These tests are linked to the ACT assessment for college admission and allow
33.19students, parents, teachers, and schools to determine the student's college readiness before
33.20grades 11 and 12.
33.21(b) The commissioner of education shall provide ACT Explore tests for students
33.22in grade 8 and the ACT Plan test for students in grade 10 to assess individual student
33.23academic strengths and weaknesses, academic achievement and progress, higher order
33.24thinking skills, and college readiness.
33.25(c) Students enrolled in grade 8 through the 2012-2013 school year who have
33.26not yet demonstrated proficiency on the Minnesota comprehensive assessments, the
33.27graduation-required assessments for diploma, or the basic skills testing requirements
33.28prior to high school graduation may satisfy state high school graduation requirements
33.29for assessments in reading, mathematics, and writing by taking the graduation-required
33.30assessment for diploma in reading, mathematics, or writing under Minnesota Statutes
33.312012, section 120B.30, subdivision 1, paragraph (c), clauses (1) and (2), the WorkKeys
33.32job skills assessment, the Compass computer-adaptive college placement test, or the
33.33ACT assessment for college admission.
34.1(d) The state shall pay the test costs for school districts and charter schools that
34.2choose to participate in the EPAS program public school students to participate in the
34.3assessments under this section. The commissioner shall establish an application procedure
34.4and a process for state payment of costs.
34.5EFFECTIVE DATE.This section is effective the day following final enactment
34.6and applies through the 2013-2014 school year.

34.7    Sec. 8. [120B.21] MENTAL HEALTH EDUCATION.
34.8School districts and charter schools are encouraged to provide mental health
34.9instruction for students in grades 6 through 12 aligned with local health standards and
34.10integrated into existing programs, curriculum, or the general school environment of a
34.11district or charter school. The commissioner, in consultation with the commissioner of
34.12human services and mental health organizations, is encouraged to provide districts and
34.13charter schools with:
34.14(1) age-appropriate model learning activities for grades 6 through 12 that encompass
34.15the mental health components of the National Health Education Standards and the
34.16benchmarks developed by the department's quality teaching network in health and best
34.17practices in mental health education; and
34.18(2) a directory of resources for planning and implementing age-appropriate mental
34.19health curriculum and instruction in grades 6 through 12.
34.20EFFECTIVE DATE.This section is effective the day following final enactment.

34.21    Sec. 9. Minnesota Statutes 2012, section 120B.30, subdivision 1, is amended to read:
34.22    Subdivision 1. Statewide testing. (a) The commissioner, with advice from experts
34.23with appropriate technical qualifications and experience and stakeholders, consistent
34.24with subdivision 1a, shall include in the comprehensive assessment system, for each
34.25grade level to be tested, state-constructed tests developed from and as computer-adaptive
34.26reading and mathematics assessments for students that are aligned with the state's required
34.27academic standards under section 120B.021, include multiple choice questions, and be
34.28 are administered annually to all students in grades 3 through 8 7. State-developed high
34.29school tests aligned with the state's required academic standards under section 120B.021
34.30and administered to all high school students in a subject other than writing must include
34.31multiple choice questions. The commissioner shall establish one or more months during
34.32which schools shall administer the tests to students each school year. For students enrolled
34.33in grade 8 before the 2005-2006 school year, Minnesota basic skills tests in reading,
35.1mathematics, and writing shall fulfill students' basic skills testing requirements for a
35.2passing state notation. The passing scores of basic skills tests in reading and mathematics
35.3are the equivalent of 75 percent correct for students entering grade 9 based on the
35.4first uniform test administered in February 1998. Students who have not successfully
35.5passed a Minnesota basic skills test by the end of the 2011-2012 school year must pass
35.6the graduation-required assessments for diploma under paragraph (c), except that for
35.7the 2012-2013 and 2013-2014 school years only, these students may satisfy the state's
35.8graduation test requirement for math by complying with paragraph (d), clauses (1) and
35.9(3) For students enrolled in grade 8 in the 2005-2006 through 2012-2013 school years,
35.10students' state graduation requirements include the requirements under: (i) section
35.11120B.128, paragraph (c); (ii) paragraph (c); or (iii) Minnesota Statutes 2012, section
35.12120B.30, subdivision 1, paragraph (c), clauses (1) and (2).
35.13(b) The state assessment system must be aligned to the most recent revision of
35.14academic standards as described in section 120B.023 in the following manner:
35.15(1) mathematics;
35.16(i) grades 3 through 8 beginning in the 2010-2011 school year; and
35.17(ii) high school level beginning in the 2013-2014 school year;
35.18(2) science; grades 5 and 8 and at the high school level beginning in the 2011-2012
35.19school year; and
35.20(3) language arts and reading; grades 3 through 8 and high school level beginning in
35.21the 2012-2013 school year.
35.22    (c) For students enrolled in grade 8 in the 2005-2006 2013-2014 school year and
35.23later, only the following options shall fulfill students' state graduation test requirements,
35.24based on a longitudinal, systematic approach to student education and career planning,
35.25assessment, instructional support, and evaluation, include the following:
35.26    (1) for reading and mathematics:
35.27    (i) obtaining an achievement level equivalent to or greater than proficient as
35.28determined through a standard setting process on the Minnesota comprehensive
35.29assessments in grade 10 for reading and grade 11 for mathematics or achieving a passing
35.30score as determined through a standard setting process on the graduation-required
35.31assessment for diploma in grade 10 for reading and grade 11 for mathematics or
35.32subsequent retests;
35.33    (ii) achieving a passing score as determined through a standard setting process
35.34on the state-identified language proficiency test in reading and the mathematics test for
35.35English learners or the graduation-required assessment for diploma equivalent of those
35.36assessments for students designated as English learners;
36.1    (iii) achieving an individual passing score on the graduation-required assessment for
36.2diploma as determined by appropriate state guidelines for students with an individualized
36.3education program or 504 plan;
36.4    (iv) obtaining achievement level equivalent to or greater than proficient as
36.5determined through a standard setting process on the state-identified alternate assessment
36.6or assessments in grade 10 for reading and grade 11 for mathematics for students with
36.7an individualized education program; or
36.8    (v) achieving an individual passing score on the state-identified alternate assessment
36.9or assessments as determined by appropriate state guidelines for students with an
36.10individualized education program; and
36.11    (2) for writing:
36.12    (i) achieving a passing score on the graduation-required assessment for diploma;
36.13    (ii) achieving a passing score as determined through a standard setting process on
36.14the state-identified language proficiency test in writing for students designated as English
36.15learners;
36.16    (iii) achieving an individual passing score on the graduation-required assessment for
36.17diploma as determined by appropriate state guidelines for students with an individualized
36.18education program or 504 plan; or
36.19    (iv) achieving an individual passing score on the state-identified alternate assessment
36.20or assessments as determined by appropriate state guidelines for students with an
36.21individualized education program.
36.22    (1) attainment of required academic standards and career and college readiness
36.23benchmarks under section 120B.023 as demonstrated on a nationally normed college
36.24entrance exam, or taking a nationally recognized armed services vocational aptitude
36.25test at the election of the student;
36.26    (2) achievement and career and college readiness tests in mathematics, reading, and
36.27writing, consistent with paragraph (e) and, to the extent available, to monitor students'
36.28continuous development of and growth in requisite knowledge and skills; analyze
36.29students' progress and performance levels, identifying students' academic strengths and
36.30diagnosing areas where students require curriculum or instructional adjustments, targeted
36.31interventions, or remediation; and, based on analysis of students' progress and performance
36.32data, determine students' learning and instructional needs and the instructional tools and
36.33best practices that support academic rigor for the student; and
36.34    (3) consistent with this paragraph and section 120B.125, age-appropriate exploration
36.35and planning activities and career assessments to encourage students to identify personally
36.36relevant career interests and aptitudes and help students and their families develop a
37.1regularly reexamined transition plan for postsecondary education or employment without
37.2need for postsecondary remediation.
37.3Based on appropriate state guidelines, students with an individualized education program
37.4may satisfy state graduation requirements by achieving an individual score on the
37.5state-identified alternative assessments.
37.6Expectations of schools, districts, and the state for career or college readiness under
37.7this subdivision must be comparable in rigor, clarity of purpose, and rates of student
37.8completion. A student under clause (2) must receive targeted, relevant, academically
37.9rigorous, and resourced instruction, which may include a targeted instruction and
37.10intervention plan focused on improving the student's knowledge and skills in core subjects
37.11so that the student has a reasonable chance to succeed in a career or college without need
37.12for postsecondary remediation. Consistent with sections 120B.13, 124D.09, 124D.091,
37.13124D.49, and related sections, an enrolling school or district must actively encourage a
37.14student in grade 11 or 12 who is identified as academically ready for a career or college
37.15to participate in courses and programs awarding college credit to high school students.
37.16Students are not required to achieve a specified score or level of proficiency on an
37.17assessment under this subdivision to graduate from high school.
37.18    (d) Students enrolled in grade 8 in any school year from the 2005-2006 school
37.19year to the 2009-2010 school year who do not pass the mathematics graduation-required
37.20assessment for diploma under paragraph (c) are eligible to receive a high school diploma
37.21if they:
37.22(1) complete with a passing score or grade all state and local coursework and credits
37.23required for graduation by the school board granting the students their diploma;
37.24(2) participate in district-prescribed academic remediation in mathematics; and
37.25    (3) fully participate in at least two retests of the mathematics GRAD test or until
37.26they pass the mathematics GRAD test, whichever comes first. To improve the secondary
37.27and postsecondary outcomes of all students, the alignment between secondary and
37.28postsecondary education programs and Minnesota's workforce needs, and the efficiency
37.29and cost-effectiveness of secondary and postsecondary programs, the commissioner, after
37.30consulting with the chancellor of the Minnesota State Colleges and Universities and using
37.31a request for proposal process, shall contract for a series of assessments that are consistent
37.32with this subdivision, aligned with state academic standards, and include career and
37.33college readiness benchmarks. Mathematics, reading, and writing assessments for students
37.34in grades 8 and 10 must be predictive of and aligned with a nationally normed assessment
37.35for career and college readiness. This nationally recognized assessment must be a college
37.36entrance exam and given to students in grade 11 or 12. This series of assessments must
38.1include a college placement diagnostic exam and contain career exploration elements.
38.2Students in grade 11 or 12 may choose to take a nationally recognized armed services
38.3vocational aptitude test as an alternative to the college and career readiness entrance
38.4exam under this paragraph. The commissioner and the chancellor of the Minnesota State
38.5Colleges and Universities must collaborate in aligning instruction and assessments for
38.6adult basic education students to provide the students with diagnostic information about
38.7any targeted interventions they need so that they may seek postsecondary education or
38.8employment without need for postsecondary remediation.
38.9    (1) Districts and schools, on an annual basis, must use the career exploration
38.10elements in these assessments to help students, beginning no later than grade 9, and their
38.11families explore and plan for postsecondary education or careers based on the students'
38.12interests, aptitudes, and aspirations. Districts and schools must use timely regional labor
38.13market information and partnerships, among other resources, to help students and their
38.14families successfully develop, pursue, review, and revise an individualized plan for
38.15postsecondary education or a career. This process must help increase students' engagement
38.16in and connection to school, improve students' knowledge and skills, and deepen students'
38.17understanding of career pathways as a sequence of academic and career courses that lead
38.18to an industry-recognized credential, an associate's degree, or a bachelor's degree and are
38.19available to all students, whatever their interests and career goals.
38.20    (2) Students who, based on their growth in academic achievement between grades 8
38.21and 10, show adequate progress toward meeting state career and college readiness must
38.22be given the college entrance exam part of these assessments in grade 11 or a nationally
38.23recognized armed services vocational aptitude test. A student under this clause who
38.24demonstrates attainment of required state academic standards, which include career and
38.25college readiness benchmarks, on these assessments is academically ready for a career or
38.26college and is encouraged to participate in courses and programs awarding college credit to
38.27high school students. Such courses and programs may include sequential courses of study
38.28within broad career areas and technical skill assessments that extend beyond course grades.
38.29    (3) All students in grade 11 not subject to clause (2) must be given the college
38.30placement diagnostic exam so that the students, their families, the school, and the district
38.31can use the results to diagnose areas for targeted instruction, intervention, or remediation
38.32and improve students' knowledge and skills in core subjects sufficient for the student
38.33to graduate and have a reasonable chance to succeed in a career or college without
38.34remediation. These students must be given the college entrance exam part of these
38.35assessments in grade 12 or a nationally recognized armed services vocational aptitude test.
39.1    (4) A student in clause (3) who demonstrates: (i) attainment of required state
39.2academic standards, which include career and college readiness benchmarks, on these
39.3assessments; (ii) attainment of career and college readiness benchmarks on the college
39.4placement diagnostic part of these assessments; and, where applicable, (iii) successfully
39.5completes targeted instruction, intervention, or remediation approved by the commissioner
39.6and the chancellor of the Minnesota State Colleges and Universities after consulting with
39.7local school officials and educators, is academically ready for a career or college and is
39.8encouraged to participate in courses and programs awarding college credit to high school
39.9students. Such courses and programs may include sequential courses of study within
39.10broad career areas and technical skill assessments that extend beyond course grades.
39.11    (5) A study to determine the alignment between these assessments and state
39.12academic standards under this chapter must be conducted. Where alignment exists, the
39.13commissioner must seek federal approval to, and immediately upon receiving approval,
39.14replace the federally required assessments referenced under subdivision 1a and section
39.15120B.35, subdivision 2, with assessments under this paragraph.
39.16    (e) In developing, supporting, and improving students' academic readiness for a
39.17career or college, schools, districts, and the state must have a continuum of empirically
39.18derived, clearly defined benchmarks focused on students' attainment of knowledge and
39.19skills so that students, their parents, and teachers know how well students must perform to
39.20have a reasonable chance to succeed in a career or college without need for postsecondary
39.21remediation. The commissioner and Minnesota's public postsecondary institutions must
39.22ensure that the foundational knowledge and skills for students' successful performance
39.23in postsecondary employment or education and an articulated series of possible targeted
39.24interventions are clearly identified and satisfy Minnesota's postsecondary admissions
39.25requirements.
39.26    (f) A school, district, or charter school must place record on the high school
39.27transcript a student's current pass status for each subject that has a required graduation
39.28assessment progress toward career and college readiness.
39.29    In addition, (g) The school board granting the students their diplomas may formally
39.30decide to include a notation of high achievement on the high school diplomas of those
39.31graduating seniors who, according to established school board criteria, demonstrate
39.32exemplary academic achievement during high school.
39.33(e) (h) The 3rd through 8th 7th grade computer-adaptive assessment results and
39.34high school test results shall be available to districts for diagnostic purposes affecting
39.35student learning and district instruction and curriculum, and for establishing educational
39.36accountability. The commissioner must establish empirically derived benchmarks on
40.1adaptive assessments in grades 3 through 7 that reveal a trajectory toward career and
40.2college readiness. The commissioner must disseminate to the public the computer-adaptive
40.3assessments and high school test results upon receiving those results.
40.4    (f) (i) The 3rd through 8th grade grades 3 through 7 computer-adaptive assessments
40.5 and high school tests must be aligned with state academic standards. The commissioner
40.6shall determine the testing process and the order of administration. The statewide results
40.7shall be aggregated at the site and district level, consistent with subdivision 1a.
40.8    (g) In addition to the testing and reporting requirements under this section, (j) The
40.9commissioner shall include the following components in the statewide public reporting
40.10system:
40.11    (1) uniform statewide testing computer-adaptive assessments of all students in
40.12grades 3 through 8 7 and testing at the high school level that provides appropriate,
40.13technically sound accommodations or alternate assessments;
40.14    (2) educational indicators that can be aggregated and compared across school
40.15districts and across time on a statewide basis, including average daily attendance, high
40.16school graduation rates, and high school drop-out rates by age and grade level;
40.17    (3) state results on the American College Test; and
40.18    (4) state results from participation in the National Assessment of Educational
40.19Progress so that the state can benchmark its performance against the nation and other
40.20states, and, where possible, against other countries, and contribute to the national effort
40.21to monitor achievement.
40.22EFFECTIVE DATE.This section is effective the day following final enactment
40.23and applies to the 2013-2014 school year and later, except that paragraph (a) applies
40.24the day following final enactment and the requirements for using computer-adaptive
40.25mathematics and reading assessments for grades 3 through 7 apply in the 2015-2016
40.26school year and later.

40.27    Sec. 10. Minnesota Statutes 2012, section 120B.30, subdivision 1a, is amended to read:
40.28    Subd. 1a. Statewide and local assessments; results. (a) For purposes of this
40.29section, the following definitions have the meanings given them.
40.30(1) "Computer-adaptive assessments" means fully adaptive assessments.
40.31(2) "Fully adaptive assessments" include test items that are on-grade level and items
40.32that may be above or below a student's grade level.
40.33(3) "On-grade level" test items contain subject area content that is aligned to state
40.34academic standards for the grade level of the student taking the assessment.
41.1(4) "Above-grade level" test items contain subject area content that is above the
41.2grade level of the student taking the assessment and is considered aligned with state
41.3academic standards to the extent it is aligned with content represented in state academic
41.4standards above the grade level of the student taking the assessment. Notwithstanding
41.5the student's grade level, administering above-grade level test items to a student does not
41.6violate the requirement that state assessments must be aligned with state standards.
41.7(5) "Below-grade level" test items contain subject area content that is below the
41.8grade level of the student taking the test and is considered aligned with state academic
41.9standards to the extent it is aligned with content represented in state academic standards
41.10below the student's current grade level. Notwithstanding the student's grade level,
41.11administering below-grade level test items to a student does not violate the requirement
41.12that state assessments must be aligned with state standards.
41.13(b) The commissioner must use fully adaptive mathematics and reading assessments
41.14for grades 3 through 7 beginning in the 2015-2016 school year and later.
41.15(c) For purposes of conforming with existing federal educational accountability
41.16requirements, the commissioner must develop and implement computer-adaptive reading
41.17and mathematics assessments for grades 3 through 8 7, state-developed high school
41.18reading and mathematics tests aligned with state academic standards, and science
41.19assessments under clause (2) that districts and sites must use to monitor student growth
41.20toward achieving those standards. The commissioner must not develop statewide
41.21assessments for academic standards in social studies, health and physical education, and
41.22the arts. The commissioner must require:
41.23    (1) annual computer-adaptive reading and mathematics assessments in grades 3
41.24through 8 7, and high school reading and mathematics tests; and
41.25    (2) annual science assessments in one grade in the grades 3 through 5 span, the
41.26grades 6 through 8 span, and a life sciences assessment in the grades 9 through 12 span,
41.27and the commissioner must not require students to achieve a passing score on high school
41.28science assessments as a condition of receiving a high school diploma.
41.29(d) The commissioner must ensure that for annual computer-adaptive assessments:
41.30(1) individual student performance data and achievement reports are available within
41.31three school days of when students take an assessment;
41.32(2) growth information is available for each student from the student's first
41.33assessment to each proximate assessment using a constant measurement scale;
41.34(3) parents, teachers, and school administrators are able to use elementary and
41.35middle school student performance data to project students' secondary and postsecondary
41.36achievement; and
42.1(4) useful diagnostic information about areas of students' academic strengths and
42.2weaknesses is available to teachers and school administrators for improving student
42.3instruction and indicating the specific skills and concepts that should be introduced and
42.4developed for students at given performance levels, organized by strands within subject
42.5areas, and aligned to state academic standards.
42.6    (b) (e) The commissioner must ensure that all statewide tests administered to
42.7elementary and secondary students measure students' academic knowledge and skills and
42.8not students' values, attitudes, and beliefs.
42.9    (c) (f) Reporting of assessment results must:
42.10    (1) provide timely, useful, and understandable information on the performance of
42.11individual students, schools, school districts, and the state;
42.12    (2) include a value-added growth indicator of student achievement under section
42.13120B.35, subdivision 3 , paragraph (b); and
42.14    (3)(i) for students enrolled in grade 8 before the 2005-2006 school year, determine
42.15whether students have met the state's basic skills requirements; and
42.16    (ii) for students enrolled in grade 8 in the 2005-2006 school year and later, determine
42.17whether students have met the state's academic standards.
42.18    (d) (g) Consistent with applicable federal law and subdivision 1, paragraph (d),
42.19clause (1), the commissioner must include appropriate, technically sound accommodations
42.20or alternative assessments for the very few students with disabilities for whom statewide
42.21assessments are inappropriate and for English learners.
42.22    (e) (h) A school, school district, and charter school must administer statewide
42.23assessments under this section, as the assessments become available, to evaluate student
42.24proficiency progress toward career and college readiness in the context of the state's grade
42.25level academic standards. If a state assessment is not available, a school, school district,
42.26and charter school must determine locally if a student has met the required academic
42.27standards. A school, school district, or charter school may use a student's performance
42.28on a statewide assessment as one of multiple criteria to determine grade promotion or
42.29retention. A school, school district, or charter school may use a high school student's
42.30performance on a statewide assessment as a percentage of the student's final grade in a
42.31course, or place a student's assessment score on the student's transcript.
42.32EFFECTIVE DATE.This section is effective for the 2013-2014 school year and
42.33later except the requirements for using computer-adaptive mathematics and reading
42.34assessments for grades 3 through 7 apply in the 2015-2016 school year and later.

42.35    Sec. 11. Minnesota Statutes 2012, section 120B.31, subdivision 1, is amended to read:
43.1    Subdivision 1. Educational accountability and public reporting. Consistent
43.2with the direction to adopt statewide academic standards under section 120B.02, the
43.3department, in consultation with education and other system stakeholders, must establish a
43.4coordinated and comprehensive system of educational accountability and public reporting
43.5that promotes greater academic achievement, preparation for higher academic education,
43.6preparation for the world of work, citizenship under sections 120B.021, subdivision 1,
43.7clause (4), and 120B.024, paragraph (a), clause (4), and the arts.

43.8    Sec. 12. Minnesota Statutes 2012, section 120B.35, subdivision 3, is amended to read:
43.9    Subd. 3. State growth target; other state measures. (a) The state's educational
43.10assessment system measuring individual students' educational growth is based on
43.11indicators of achievement growth that show an individual student's prior achievement.
43.12Indicators of achievement and prior achievement must be based on highly reliable
43.13statewide or districtwide assessments.
43.14(b) The commissioner, in consultation with a stakeholder group that includes
43.15assessment and evaluation directors and staff and researchers must implement a model
43.16that uses a value-added growth indicator and includes criteria for identifying schools
43.17and school districts that demonstrate medium and high growth under section 120B.299,
43.18subdivisions 8 and 9, and may recommend other value-added measures under section
43.19120B.299, subdivision 3 . The model may be used to advance educators' professional
43.20development and replicate programs that succeed in meeting students' diverse learning
43.21needs. Data on individual teachers generated under the model are personnel data under
43.22section 13.43. The model must allow users to:
43.23(1) report student growth consistent with this paragraph; and
43.24(2) for all student categories, report and compare aggregated and disaggregated state
43.25growth data using the nine student categories identified under the federal 2001 No Child
43.26Left Behind Act and two student gender categories of male and female, respectively,
43.27following appropriate reporting practices to protect nonpublic student data.
43.28The commissioner must report separate measures of student growth and proficiency,
43.29consistent with this paragraph.
43.30(c) When reporting student performance under section 120B.36, subdivision 1, the
43.31commissioner annually, beginning July 1, 2011, must report two core measures indicating
43.32the extent to which current high school graduates are being prepared for postsecondary
43.33academic and career opportunities:
43.34(1) a preparation measure indicating the number and percentage of high school
43.35graduates in the most recent school year who completed course work important to
44.1preparing them for postsecondary academic and career opportunities, consistent with
44.2the core academic subjects required for admission to Minnesota's public colleges and
44.3universities as determined by the Office of Higher Education under chapter 136A; and
44.4(2) a rigorous coursework measure indicating the number and percentage of high
44.5school graduates in the most recent school year who successfully completed one or more
44.6college-level advanced placement, international baccalaureate, postsecondary enrollment
44.7options including concurrent enrollment, other rigorous courses of study under section
44.8120B.021, subdivision 1a , or industry certification courses or programs.
44.9When reporting the core measures under clauses (1) and (2), the commissioner must also
44.10analyze and report separate categories of information using the nine student categories
44.11identified under the federal 2001 No Child Left Behind Act and two student gender
44.12categories of male and female, respectively, following appropriate reporting practices to
44.13protect nonpublic student data.
44.14(d) When reporting student performance under section 120B.36, subdivision 1, the
44.15commissioner annually, beginning July 1, 2014, must report summary data on school
44.16safety and students' engagement and connection at school. The summary data under this
44.17paragraph are separate from and must not be used for any purpose related to measuring
44.18or evaluating the performance of classroom teachers. The commissioner, in consultation
44.19with qualified experts on student engagement and connection and classroom teachers,
44.20must identify highly reliable variables that generate summary data under this paragraph.
44.21The summary data may be used at school, district, and state levels only. Any data on
44.22individuals received, collected, or created that are used to generate the summary data
44.23under this paragraph are nonpublic data under section 13.02, subdivision 9.
44.24(e) For purposes of statewide educational accountability, the commissioner must
44.25identify and report measures that demonstrate the success of school districts, school sites,
44.26charter schools, and alternative program providers in improving the graduation outcomes
44.27of students under this paragraph. When reporting student performance under section
44.28120B.36, subdivision 1, the commissioner, beginning July 1, 2015, must annually report
44.29summary data on:
44.30(1) the four- and six-year graduation rates of students throughout the state who
44.31are identified as at risk of not graduating or off track to graduate, including students
44.32who are eligible to participate in a program under section 123A.05 or 124D.68, among
44.33other students; and
44.34(2) the success that school districts, school sites, charter schools, and alternative
44.35program providers experience in:
44.36(i) identifying at-risk and off-track student populations by grade;
45.1(ii) providing successful prevention and intervention strategies for at-risk students;
45.2(iii) providing successful recuperative and recovery or reenrollment strategies for
45.3off-track students; and
45.4(iv) improving the graduation outcomes of at-risk and off-track students.
45.5    For purposes of this paragraph, a student who is at risk of not graduating is a student
45.6in eighth or ninth grade who meets one or more of the following criteria: first enrolled in
45.7an English language learners program in eighth or ninth grade and may be older than other
45.8students enrolled in the same grade; as an eighth grader, is absent from school for at least
45.920 percent of the days of instruction during the school year, is two or more years older
45.10than other students enrolled in the same grade, or fails multiple core academic courses; or
45.11as a ninth grader, fails multiple ninth grade core academic courses in English language
45.12arts, mathematics, science, or social studies.
45.13    For purposes of this paragraph, a student who is off track to graduate is a student
45.14who meets one or more of the following criteria: first enrolled in an English language
45.15learners program in high school and is older than other students enrolled in the same grade;
45.16is a returning dropout; is 16 or 17 years old and two or more academic years off track to
45.17graduate; is 18 years or older and two or more academic years off track to graduate; or is
45.1818 years or older and may graduate within one school year.
45.19EFFECTIVE DATE.Paragraph (e) applies to data that are collected in the
45.202014-2015 school year and later and reported annually beginning July 1, 2015, consistent
45.21with the recommendations the commissioner receives from recognized and qualified
45.22experts on improving differentiated graduation rates and establishing alternative routes to
45.23a standard high school diploma for at-risk and off-track students.

45.24    Sec. 13. Minnesota Statutes 2012, section 120B.36, subdivision 1, is amended to read:
45.25    Subdivision 1. School performance report cards reports. (a) The commissioner
45.26shall report student academic performance under section 120B.35, subdivision 2; the
45.27percentages of students showing low, medium, and high growth under section 120B.35,
45.28subdivision 3
, paragraph (b); school safety and student engagement and connection
45.29under section 120B.35, subdivision 3, paragraph (d); rigorous coursework under section
45.30120B.35, subdivision 3 , paragraph (c); the percentage of students whose progress and
45.31performance levels are meeting career and college readiness benchmarks under section
45.32120B.30, subdivision 1; longitudinal data on district and school progress in reducing
45.33disparities in students' academic achievement under section 124D.861, subdivision 3; two
45.34separate student-to-teacher ratios that clearly indicate the definition of teacher consistent
45.35with sections 122A.06 and 122A.15 for purposes of determining these ratios; staff
46.1characteristics excluding salaries; student enrollment demographics; district mobility; and
46.2extracurricular activities. The report also must indicate a school's adequate yearly progress
46.3status under applicable federal law, and must not set any designations applicable to high-
46.4and low-performing schools due solely to adequate yearly progress status.
46.5    (b) The commissioner shall develop, annually update, and post on the department
46.6Web site school performance report cards reports.
46.7    (c) The commissioner must make available performance report cards reports by the
46.8beginning of each school year.
46.9    (d) A school or district may appeal its adequate yearly progress status in writing to
46.10the commissioner within 30 days of receiving the notice of its status. The commissioner's
46.11decision to uphold or deny an appeal is final.
46.12    (e) School performance report card data are nonpublic data under section 13.02,
46.13subdivision 9
, until the commissioner publicly releases the data. The commissioner shall
46.14annually post school performance report cards reports to the department's public Web
46.15site no later than September 1, except that in years when the report card reflects reports
46.16reflect new performance standards, the commissioner shall post the school performance
46.17report cards reports no later than October 1.
46.18EFFECTIVE DATE.This section is effective for the 2013-2014 school year and
46.19later.

46.20    Sec. 14. Minnesota Statutes 2012, section 124D.52, is amended by adding a
46.21subdivision to read:
46.22    Subd. 8. Standard high school diploma for adults. (a) The commissioner shall
46.23adopt rules for providing a standard high school diploma to adults who:
46.24(1) are not eligible for kindergarten through grade 12 services;
46.25(2) do not have a high school diploma; and
46.26(3) successfully complete an adult basic education program of instruction approved
46.27by the commissioner necessary to earn an adult high school diploma.
46.28(b) Persons participating in an approved adult basic education program of instruction
46.29must demonstrate proficiency in a standard set of competencies that reflect the knowledge
46.30and skills sufficient to ensure that postsecondary programs and institutions and potential
46.31employers regard persons with a standard high school diploma and persons with a
46.32standard high school diploma for adults as equally well prepared and qualified graduates.
46.33Approved adult basic education programs of instruction under this subdivision must issue
46.34a standard high school diploma for adults who successfully demonstrate the competencies,
46.35knowledge, and skills required by the program.
47.1EFFECTIVE DATE.This section is effective the day following final enactment.

47.2    Sec. 15. [126C.101] MINNESOTA'S WORLD'S BEST WORKFORCE.
47.3    Subdivision 1. Goals for the world's best workforce. To create the world's best
47.4workforce by 2027, Minnesota must strive to: close entirely the academic achievement
47.5gap among all racial and ethnic groups of students and between students living in poverty
47.6and students not living in poverty; achieve a 100 percent high school graduation rate;
47.7achieve 100 percent grade-level literacy for students in third grade; and have 100 percent
47.8of students attain career and college readiness before graduating from high school.
47.9    Subd. 2. Strategic plans for attaining the world's best workforce. (a) A school
47.10board must formally develop, implement, and periodically review and, where appropriate,
47.11revise a comprehensive, long-term strategic education and budget plan for student
47.12achievement premised on research-based strategies and efforts required for a district and
47.13school to make progress toward realizing the goals in subdivision 1. The strategic plan for
47.14student achievement must identify the state, regional, and local structures and systems,
47.15interdistrict, intradistrict, and in-school strategies, inclusive best education practices,
47.16and collaborative partnerships with regional centers under subdivision 4, postsecondary
47.17institutions, and local and regional business and industry to work effectively and efficiently
47.18toward making all students part of the world's best workforce by 2027.
47.19(b) The components of a board's plan may include: innovative and integrated
47.20prekindergarten through grade 12 learning environments that include school enrollment
47.21options; family engagement initiatives that involve families in their students' academic
47.22life and career success; professional development opportunities for teachers, school
47.23administrators, and other licensed school professionals focused on improving all students'
47.24academic achievement and career and college readiness; increased programmatic
47.25opportunities for all students, including historically underserved students, focused on rigor
47.26in learning and career and college readiness, and recruitment and retention of teachers
47.27and school administrators of diverse backgrounds. Plans must include at least formative
47.28assessment practices, consistent with chapter 120B, and other instructional best practices
47.29that inform cost-effective, research-based interventions, improve student achievement,
47.30reduce disparities in students' academic performance, and foster students' career and
47.31college readiness without need for postsecondary remediation.
47.32(c) A regional center of excellence, upon request, must assist a school board with
47.33developing, implementing, reviewing, or revising its education and budget plan.
47.34    Subd. 3. Budgeting process. (a) Beginning in the 2014-2015 school year, a school
47.35board must hold at least one formal hearing by March 1 each year to report to the public
48.1its progress in realizing the goals contained in its strategic plan for student achievement, to
48.2review the plan components, and to revise the plan where appropriate. At the hearing, the
48.3board must provide the public with longitudinal data from at least the three immediately
48.4preceding school years demonstrating district and school progress in realizing its student
48.5achievement goals, consistent with the measures for demonstrating progress in paragraph
48.6(b). At least 30 days before the hearing, the board must post on the district Web site, in
48.7an understandable, readily accessible format, up-to-date longitudinal data on district
48.8and school progress. The district, by March 1, must submit to the commissioner and
48.9its regional center of excellence in an electronic format the district's annual budget for
48.10continuing to implement its strategic plan for student achievement.
48.11(b) The longitudinal data required under paragraph (a) at least must be based on
48.12one or more of the following measures and must report outcomes for all students and
48.13specific groups of students identified under section 120B.35, subdivision 3: third grade
48.14at-grade-level literacy rates; reductions in the disparity in academic achievement among
48.15all racial and ethnic student groups and between students living in poverty and students not
48.16living in poverty; high school graduation rates; rates for completing rigorous coursework;
48.17rates for attaining career and college readiness; rates for receiving postsecondary credit
48.18while enrolled in high school; students' engagement and connection in school; and rates
48.19for awarding world language proficiency or high achievement certificates under section
48.20120B.022, subdivision 1, paragraphs (b) and (c).
48.21(c) For the 2013-2014 school year only, a board, after providing a 30-day notice on
48.22the district Web site, must hold a formal hearing before March 1, 2014, to inform the
48.23public about the content of its proposed strategic plan for student achievement under
48.24this section. The board also must submit its proposed plan by March 1, 2014, to the
48.25commissioner and its regional center of excellence in an electronic format.
48.26    Subd. 4. Regional support. (a) Regional centers of excellence are established to
48.27assist and support school boards, districts, and schools in implementing this section. The
48.28centers must collaborate with local and regional service cooperatives, postsecondary
48.29institutions, integrated school districts, the department, and other interested entities to
48.30equitably support school boards, districts, and schools throughout the region. Center
48.31support may include assisting districts and schools with common principles of effective
48.32practice, defining measurable education goals, implementing evidence-based practices,
48.33engaging in data-driven decision making, providing multilayered levels of support,
48.34supporting culturally responsive teaching and learning, aligning state and local academic
48.35standards and career and college readiness benchmarks, and engaging parents, families,
48.36youth, and the local community in district and school programs and activities.
49.1(b) The department must help the regional centers of excellence meet staff, facilities,
49.2and technical needs, provide the centers with programmatic support, and work with the
49.3centers to establish a coherent statewide system of regional support, including consulting,
49.4training, and technical support, to help school boards, districts, and schools effectively and
49.5efficiently implement state and federal initiatives.
49.6    Subd. 5. Evaluation. (a) The commissioner and each regional center of excellence
49.7must collaborate in evaluating the success of districts and schools in working effectively
49.8and efficiently toward creating the world's best workforce by 2027. Where districts and
49.9schools demonstrate effective use of resources and adequate progress toward realizing
49.10plan goals, the commissioner and the regional centers of excellence must promote and
49.11disseminate successful strategies to other districts and schools throughout the state.
49.12(b) If the commissioner, in consultation with the affected regional center of
49.13excellence, determines a district or charter school is not making adequate progress in
49.14realizing its student achievement goals under this section, the department may reduce the
49.15district's basic general education revenue by up to four percent per fiscal year, and transfer
49.16that amount to the affected regional center of excellence for the center to use to assist the
49.17district to effectively and efficiently realize its student achievement goals.
49.18(c) If, after a district receives assistance under paragraph (b) for at least three
49.19consecutive school years, the commissioner, in consultation with the affected regional
49.20center of excellence and the affected district, identifies a school as persistently failing to
49.21make adequate progress toward realizing the student achievement goals contained in
49.22the strategic plan, the commissioner may require the school to implement a turnaround
49.23strategy to improve the school's ability to effectively and efficiently realize those goals.
49.24EFFECTIVE DATE.This section is effective for fiscal year 2014 and later.

49.25    Sec. 16. STATEWIDE ASSESSMENT AND ACCOUNTABILITY; TRANSITION.
49.26Notwithstanding other law to the contrary, students enrolled in grade 8 in the
49.272005-2006 through 2012-2013 school years are eligible to be assessed under the amended
49.28provisions of Minnesota Statutes, section 120B.30, subdivision 1, to the extent such
49.29assessments are available, under Minnesota Statutes, section 120B.128, paragraph (c), or
49.30under Minnesota Statutes 2012, section 120B.30, subdivision 1, paragraph (c), clauses
49.31(1) and (2). Other measures of statewide accountability, including student performance,
49.32preparation, rigorous course taking, engagement and connection, and transition into
49.33postsecondary education or the workforce remain in effect.
49.34EFFECTIVE DATE.This section is effective the day following final enactment.

50.1    Sec. 17. CAREER PATHWAYS AND TECHNICAL EDUCATION ADVISORY
50.2TASK FORCE.
50.3    Subdivision 1. Recommendations. (a) A career pathways and technical education
50.4advisory task force is established to recommend to the Minnesota legislature, consistent
50.5with Minnesota Statutes, sections 120B.30, subdivision 1, and 120B.35, subdivision 3,
50.6how to structurally redesign secondary and postsecondary education to:
50.7(1) improve secondary and postsecondary outcomes for students and adult learners;
50.8(2) align secondary and postsecondary education programs serving students and
50.9adult learners;
50.10(3) align secondary and postsecondary education programs and Minnesota's
50.11workforce needs; and
50.12(4) measure and evaluate the combined efficacy of Minnesota's public kindergarten
50.13through grade 12 and postsecondary education programs.
50.14(b) Advisory task force members, in preparing these recommendations, must
50.15seek the advice of education providers, employers, policy makers, and other interested
50.16stakeholders and must at least consider how to:
50.17(1) better inform students about career options, occupational trends, and educational
50.18paths leading to viable and rewarding careers and reduce the gap between the demand for
50.19and preparation of a skilled Minnesota workforce;
50.20(2) in consultation with a student's family, develop and periodically adapt, as
50.21needed, an education and work plan for each student aligned with the student's personal
50.22and professional interests, abilities, skills, and aspirations;
50.23(3) improve monitoring of high school students' progress with targeted interventions
50.24and support and remove the need for remedial instruction;
50.25(4) increase and accelerate opportunities for secondary school students to earn
50.26postsecondary credits leading to a certificate, industry license, or degree;
50.27(5) better align high school courses and expectations and postsecondary
50.28credit-bearing courses;
50.29(6) better align high school standards and assessments, postsecondary readiness
50.30measures and entrance requirements, and the expectations of Minnesota employers;
50.31(7) increase the rates at which students complete a postsecondary certificate,
50.32industry license, or degree; and
50.33(8) provide graduates of two-year and four-year postsecondary institutions with the
50.34foundational skills needed for civic engagement, ongoing employment, and continuous
50.35learning.
51.1    Subd. 2. Task force membership and operation. (a) Advisory task force members
51.2must include representatives of the following organizations from throughout the state:
51.3the Minnesota Association of Career and Technical Administrators; the Minnesota
51.4Association for Career and Technical Education; University of Minnesota and Minnesota
51.5State Colleges and Universities faculty working to develop career and technical educators
51.6in Minnesota; the National Research Center for Career and Technical Education; the
51.7Department of Education; the Department of Employment and Economic Development;
51.8the Minnesota Chamber of Commerce; the Minnesota Business Partnership; the Minnesota
51.9Board of Teaching; the Minnesota Association of Colleges for Teacher Education;
51.10Minnesota State Colleges and Universities foundational skills and general education
51.11faculty; Minnesota Secondary School Principals Association; Minnesota Association of
51.12School Administrators; Minnesota School Counselors Association; Minnesota Association
51.13of Charter Schools; and any other representatives selected by the task force members. The
51.14education commissioner or the commissioner's designee must convene the task force.
51.15(b) The commissioner, upon request, must provide technical assistance to the task
51.16force.
51.17(c) The task force must submit its written recommendations under this section to the
51.18legislative committees with jurisdiction over kindergarten through grade 12 education by
51.19February 15, 2014.
51.20EFFECTIVE DATE.This section is effective the day following final enactment.

51.21    Sec. 18. STANDARD ADULT HIGH SCHOOL DIPLOMA ADVISORY TASK
51.22FORCE.
51.23(a) The commissioner of education shall appoint a nine-member advisory task
51.24force to recommend programmatic requirements for adult basic education programs of
51.25instruction leading to a standard adult high school diploma under Minnesota Statutes,
51.26section 124D.52, subdivision 8.
51.27(b) The commissioner of education must appoint representatives from the following
51.28organizations to the task force by July 1, 2013:
51.29(1) one employee of the Department of Education with expertise in adult basic
51.30education;
51.31(2) five adult basic education administrators and teachers from local adult basic
51.32education programs located in rural, suburban, and urban areas of the state, at least one of
51.33whom represents the Literacy Action network;
51.34(3) one employee of the Minnesota State Colleges and Universities with expertise
51.35in adult basic education;
52.1(4) one employee of the Department of Employment and Economic Development
52.2with expertise in adult basic education and employment; and
52.3(5) one member of the Minnesota Chamber of Commerce familiar with adult basic
52.4education programs under Minnesota Statutes, section 124D.52.
52.5(c) The commissioner of education must convene the task force. Task force
52.6members are not eligible for compensation or reimbursement for expenses related to task
52.7force activities. The commissioner, upon request, must provide technical assistance to
52.8task force members.
52.9(d) By February 1, 2014, the task force must submit its recommendations to the
52.10commissioner of education for providing a standard adult high school diploma to persons
52.11who are not eligible for kindergarten through grade 12 services, who do not have a
52.12high school diploma, and who successfully complete an approved adult basic education
52.13program of instruction necessary to earn an adult high school diploma. The commissioner
52.14must consider these recommendations when adopting rules under Minnesota Statutes,
52.15section 124D.52, subdivision 8.
52.16EFFECTIVE DATE.This section is effective the day following final enactment.

52.17    Sec. 19. IMPLEMENTING DIFFERENTIATED GRADUATION RATE
52.18MEASURES AND EXPLORING ALTERNATIVE ROUTES TO A STANDARD
52.19DIPLOMA FOR AT-RISK AND OFF-TRACK STUDENTS.
52.20(a) To implement the requirements of Minnesota Statutes, section 120B.35,
52.21subdivision 3, paragraph (e), the commissioner of education must consult with recognized
52.22and qualified experts and the stakeholders listed in paragraph (b) on improving
52.23differentiated graduation rates and establishing alternative routes to a standard high school
52.24diploma for at-risk and off-track students throughout the state. The commissioner must
52.25consider and recommend to the legislature:
52.26(1) research-based measures that demonstrate the relative success of school
52.27districts, school sites, charter schools, and alternative program providers in improving the
52.28graduation outcomes of at-risk and off-track students; and
52.29(2) state options for establishing alternative routes to a standard diploma consistent
52.30with the educational accountability system under Minnesota Statutes, chapter 120B.
52.31When proposing alternative routes to a standard diploma, the commissioner also must
52.32identify highly reliable variables that generate summary data to comply with Minnesota
52.33Statutes, section 120B.35, subdivision 3, paragraph (e), including: who initiates the
52.34request for an alternative route; who approves the request for an alternative route; the
52.35parameters of the alternative route process, including whether a student first must fail a
53.1regular, state-mandated exam; and the comparability of the academic and achievement
53.2criteria reflected in the alternative route and the standard route for a standard diploma.
53.3The commissioner is also encouraged to identify the data, timelines, and methods needed
53.4to evaluate and report on the alternative routes to a standard diploma once they are
53.5implemented and the student outcomes that result from those routes.
53.6(b) Stakeholders to be consulted include persons from: state-approved alternative
53.7programs; online programs; charter schools; school boards; teachers; metropolitan school
53.8districts; rural educators; university and college faculty with expertise in serving and
53.9assessing at-risk and off-track students; superintendents; high school principals; and
53.10the public. The commissioner may seek input from other interested stakeholders and
53.11organizations with expertise to help inform the commissioner.
53.12(c) The commissioner, by February 15, 2014, must develop and submit to the
53.13education policy and finance committees of the legislature recommendations and
53.14legislation, consistent with this section and Minnesota Statutes, section 120B.35,
53.15subdivision 3, paragraph (e), for:
53.16(1) measuring and reporting differentiated graduation rates for at-risk and off-track
53.17students throughout the state and the success and costs that school districts, school sites,
53.18charter schools, and alternative program providers experience in identifying and serving
53.19at-risk or off-track student populations; and
53.20(2) establishing alternative routes to a standard diploma.
53.21EFFECTIVE DATE.This section is effective the day following final enactment
53.22and applies to school reports beginning July 1, 2015.

53.23    Sec. 20. APPROPRIATIONS.
53.24    Subdivision 1. Minnesota Department of Education. The sums indicated in this
53.25section are appropriated from the general fund to the Department of Education for the
53.26fiscal years designated.
53.27    Subd. 2. Statewide testing and reporting system. For the statewide testing and
53.28reporting system under Minnesota Statutes, section 120B.30:
53.29
$
17,550,000
.....
2014
53.30
$
20,079,000
.....
2015
53.31Any balance in the first year does not cancel but is available in the second year.
54.1    Subd. 3. Educational planning and assessment system (EPAS) program. For
54.2the educational planning and assessment system program under Minnesota Statutes,
54.3section 120B.128:
54.4
$
829,000
.....
2014
54.5
$
0
.....
2015
54.6Any balance in the first year does not cancel but is available in the second year.

54.7    Sec. 21. REVISOR'S INSTRUCTION.
54.8The revisor of statutes shall renumber Minnesota Statutes, section 120B.023,
54.9subdivision 2, as Minnesota Statutes, section 120B.021, subdivision 4. The revisor shall
54.10make necessary cross-reference changes consistent with the renumbering.

54.11    Sec. 22. REPEALER.
54.12(a) Minnesota Rules, parts 3501.0505; 3501.0510; 3501.0515; 3501.0520;
54.133501.0525; 3501.0530; 3501.0535; 3501.0540; 3501.0545; and 3501.0550, are repealed.
54.14(b) Minnesota Rules, parts 3501.0010; 3501.0020; 3501.0030, subparts 1, 2, 3, 4,
54.155, 6, 7, 9, 10, 11, 12, 13, 14, 15, and 16; 3501.0040; 3501.0050; 3501.0060; 3501.0090;
54.163501.0100; 3501.0110; 3501.0120; 3501.0130; 3501.0140; 3501.0150; 3501.0160;
54.173501.0170; 3501.0180; 3501.0200; 3501.0210; 3501.0220; 3501.0230; 3501.0240;
54.183501.0250; 3501.0270; 3501.0280, subparts 1 and 2; 3501.0290; 3501.1000; 3501.1020;
54.193501.1030; 3501.1040; 3501.1050; 3501.1110; 3501.1120; 3501.1130; 3501.1140;
54.203501.1150; 3501.1160; 3501.1170; 3501.1180; and 3501.1190, are repealed.
54.21EFFECTIVE DATE.This section is effective the day following final enactment.

54.22ARTICLE 3
54.23EDUCATION EXCELLENCE

54.24    Section 1. Minnesota Statutes 2012, section 120A.40, is amended to read:
54.25120A.40 SCHOOL CALENDAR.
54.26(a) Except for learning programs during summer, flexible learning year programs
54.27authorized under sections 124D.12 to 124D.127, and learning year programs under section
54.28124D.128, A district must not may commence an elementary or secondary school year
54.29before Labor Day, except as provided under paragraph (b) it shall not hold a school day on
54.30the Thursday and Friday immediately preceding Labor Day. Days devoted to teachers'
54.31workshops may be held before Labor Day. Districts that enter into cooperative agreements
54.32are encouraged to adopt similar school calendars.
55.1(b) A district may begin the school year on any day before Labor Day:
55.2(1) to accommodate a construction or remodeling project of $400,000 or more
55.3affecting a district school facility;
55.4(2) if the district has an agreement under section 123A.30, 123A.32, or 123A.35
55.5
with a district that qualifies under clause (1); or
55.6(3) if the district agrees to the same schedule with a school district in an adjoining
55.7state.
55.8EFFECTIVE DATE.This section is effective for the 2013-2014 school year and
55.9later.

55.10    Sec. 2. [121A.07] SCHOOL CLIMATE COUNCIL.
55.11    Subdivision 1. Establishment and membership. (a) A multiagency leadership
55.12council is established to improve school climate and school safety so that all
55.13prekindergarten through grade 12 schools and higher education institutions have safe and
55.14welcoming learning environments in which to maximize their students' learning potential.
55.15(b) The council shall consist of:
55.16(1) the commissioners or their designees from the Departments of Education, Health,
55.17Human Rights, Human Services, Public Safety, and Corrections and the Minnesota Office
55.18of Higher Education;
55.19(2) one representative each from the Board of Teaching, Board of School
55.20Administrators, Minnesota School Boards Association, Elementary School Principals
55.21Association, Association of Secondary School Principals, and Education Minnesota as
55.22selected by each organization;
55.23(3) two representatives each for student support personnel, parents, and students as
55.24selected by the commissioner of education;
55.25(4) two representatives of local law enforcement as selected by the commissioner of
55.26public safety; and
55.27(5) two representatives of the judicial branch as selected by the chief justice of
55.28the Minnesota Supreme Court.
55.29    Subd. 2. Duties. The council must:
55.30(1) establish norms and standards to prevent, intervene, and provide support to help
55.31schools address bullying, harassment, and intimidation;
55.32(2) advance evidence-based policy and best practices to improve the school climate
55.33and promote school safety; and
55.34(3) develop and provide resources and training for schools and communities to
55.35address bullying, harassment, intimidation, and other school safety issues.

56.1    Sec. 3. [121A.08] SCHOOL CLIMATE CENTER.
56.2A school climate center within the department is established to help schools, parents,
56.3students, and communities create and sustain safe learning environments for students.
56.4The center shall:
56.5(1) provide policy guidance to schools on improving learning environments to
56.6ensure students' safety and support;
56.7(2) disseminate information and provide technical assistance to schools on restorative
56.8practices and teaching strategies that decrease social-emotional impediments to learning
56.9and support student success, including information on exemplary Minnesota school models;
56.10(3) provide site-specific, culturally appropriate technical assistance and coaching to
56.11schools and school districts to assist in improving school climate;
56.12(4) serve as a contact point for schools, parents, and students seeking assistance
56.13and guidance on information, research, laws, regulations, and state and local resources
56.14regarding bullying, harassment, and intimidation;
56.15(5) develop and disseminate Web-based training for staff development in schools;
56.16(6) collect, interpret, and disseminate quantitative and qualitative data on school
56.17climate and student engagement; and
56.18(7) sponsor a biennial statewide conference on school climate and safety issues.

56.19    Sec. 4. Minnesota Statutes 2012, section 121A.22, subdivision 2, is amended to read:
56.20    Subd. 2. Exclusions. In addition, this section does not apply to drugs or medicine
56.21that are:
56.22(1) purchased without a prescription;
56.23(2) used by a pupil who is 18 years old or older;
56.24(3) used in connection with services for which a minor may give effective consent,
56.25including section 144.343, subdivision 1, and any other law;
56.26(4) used in situations in which, in the judgment of the school personnel who are
56.27present or available, the risk to the pupil's life or health is of such a nature that drugs or
56.28medicine should be given without delay;
56.29(5) used off the school grounds;
56.30(6) used in connection with athletics or extra curricular activities;
56.31(7) used in connection with activities that occur before or after the regular school day;
56.32(8) provided or administered by a public health agency to prevent or control an
56.33illness or a disease outbreak as provided for in sections 144.05 and 144.12;
56.34(9) prescription asthma or reactive airway disease medications self-administered by
56.35a pupil with an asthma inhaler if the district has received a written authorization from the
57.1pupil's parent permitting the pupil to self-administer the medication, the inhaler is properly
57.2labeled for that student, and the parent has not requested school personnel to administer
57.3the medication to the pupil. The parent must submit written authorization for the pupil to
57.4self-administer the medication each school year; or
57.5(10) prescription nonsyringe injectors of epinephrine auto-injectors, consistent with
57.6section 121A.2205, if the parent and prescribing medical professional annually inform the
57.7pupil's school in writing that (i) the pupil may possess the epinephrine or (ii) the pupil is
57.8unable to possess the epinephrine and requires immediate access to nonsyringe injectors
57.9of epinephrine auto-injectors that the parent provides properly labeled to the school for
57.10the pupil as needed, or consistent with section 121A.2207.

57.11    Sec. 5. Minnesota Statutes 2012, section 121A.2205, is amended to read:
57.12121A.2205 POSSESSION AND USE OF NONSYRINGE INJECTORS OF
57.13 EPINEPHRINE AUTO-INJECTORS; MODEL POLICY.
57.14    Subdivision 1. Definitions. As used in this section:
57.15(1) "administer" means the direct application of an epinephrine auto-injector to
57.16the body of an individual;
57.17(2) "epinephrine auto-injector" means a device that automatically injects a
57.18premeasured dose of epinephrine; and
57.19(3) "school" means a public school under section 120A.22, subdivision 4, or a
57.20nonpublic school, excluding a home school, under section 120A.22, subdivision 4, that
57.21is subject to the federal Americans with Disabilities Act.
57.22    Subd. 2. Plan for use of epinephrine auto-injectors. (a) At the start of each school
57.23year or at the time a student enrolls in school, whichever is first, a student's parent, school
57.24staff, including those responsible for student health care, and the prescribing medical
57.25professional must develop and implement an individualized written health plan for a
57.26student who is prescribed nonsyringe injectors of epinephrine auto-injectors that enables
57.27the student to:
57.28(1) possess nonsyringe injectors of epinephrine auto-injectors; or
57.29(2) if the parent and prescribing medical professional determine the student is unable
57.30to possess the epinephrine, have immediate access to nonsyringe injectors of epinephrine
57.31auto-injectors in close proximity to the student at all times during the instructional day.
57.32The plan must designate the school staff responsible for implementing the student's
57.33health plan, including recognizing anaphylaxis and administering nonsyringe injectors of
57.34 epinephrine auto-injectors when required, consistent with section 121A.22, subdivision 2,
57.35clause (10). This health plan may be included in a student's 504 plan.
58.1(b) A school under this section is a public school under section 120A.22, subdivision
58.24
, or a nonpublic school, excluding a home school, under section 120A.22, subdivision 4,
58.3that is subject to the federal Americans with Disabilities Act. Other nonpublic schools are
58.4encouraged to develop and implement an individualized written health plan for students
58.5requiring nonsyringe injectors of epinephrine auto-injectors, consistent with this section
58.6and section 121A.22, subdivision 2, clause (10).
58.7(c) A school district and its agents and employees are immune from liability for any
58.8act or failure to act, made in good faith, in implementing this section.
58.9(d) The education commissioner may develop and transmit to interested schools a
58.10model policy and individualized health plan form consistent with this section and federal
58.11504 plan requirements. The policy and form may:
58.12(1) assess a student's ability to safely possess nonsyringe injectors of epinephrine
58.13 auto-injectors;
58.14(2) identify staff training needs related to recognizing anaphylaxis and administering
58.15epinephrine when needed;
58.16(3) accommodate a student's need to possess or have immediate access to nonsyringe
58.17injectors of epinephrine auto-injectors in close proximity to the student at all times during
58.18the instructional day; and
58.19(4) ensure that the student's parent provides properly labeled nonsyringe injectors of
58.20epinephrine auto-injectors to the school for the student as needed.
58.21(e) Additional nonsyringe injectors of epinephrine auto-injectors may be available in
58.22school first aid kits.
58.23(f) The school board of the school district must define instructional day for the
58.24purposes of this section.

58.25    Sec. 6. [121A.2207] LIFE-THREATENING ALLERGIES IN SCHOOLS;
58.26GUIDELINES; STOCK SUPPLY OF EPINEPHRINE AUTO-INJECTORS;
58.27EMERGENCY ADMINISTRATION.
58.28    Subdivision 1. Districts and schools permitted to maintain supply. (a)
58.29Notwithstanding section 151.37, districts and schools may obtain and possess epinephrine
58.30auto-injectors to be maintained and administered according to this section. A district or
58.31school may maintain a stock supply of epinephrine auto-injectors.
58.32(b) For purposes of this section, "district" means a district as defined under section
58.33121A.41, subdivision 3, or a school site or facility within the district, and "school" means
58.34a charter school as defined under section 124D.10.
59.1    Subd. 2. Use of supply. (a) A district or school may authorize school nurses and
59.2other designated school personnel trained under this section to administer an epinephrine
59.3auto-injector to any student or other individual based on guidelines under subdivision 4,
59.4regardless of whether the student or other individual has a prescription for an epinephrine
59.5auto-injector if:
59.6(1) the school nurse or designated person believes in good faith that an individual
59.7is experiencing anaphylaxis; and
59.8(2) the person experiencing anaphylaxis is on school premises or off school premises
59.9at a school-sponsored event.
59.10(b) The administration of an epinephrine auto-injector in accordance with this
59.11section is not the practice of medicine.
59.12    Subd. 3. Arrangements with manufacturers. A district or school may enter into
59.13arrangements with manufacturers of epinephrine auto-injectors to obtain epinephrine
59.14auto-injectors at fair-market, free, or reduced prices. A third party, other than a
59.15manufacturer or supplier, may pay for a school's supply of epinephrine auto-injectors.
59.16    Subd. 4. District and school policies required for use of epinephrine
59.17auto-injectors. A district or school permitting administration of epinephrine
59.18auto-injectors pursuant to subdivision 2 shall develop guidelines in a manner consistent
59.19with section 121A.22, subdivision 4, and plan for implementation of the guidelines,
59.20which shall include: (1) annual education and training for designated school personnel
59.21on the management of students with life-threatening allergies, including training related
59.22to the administration of an epinephrine auto-injector; (2) procedures for identification of
59.23anaphylaxis and response to life-threatening allergic reactions; and (3) a plan to ensure
59.24that epinephrine auto-injectors maintained at the school are not expired. In developing the
59.25guidelines, the district or school must consider applicable model rules and include input
59.26from interested community stakeholders. The guidelines must include a requirement to call
59.27emergency medical services and inform the individual's parent, guardian, or emergency
59.28contact when an epinephrine auto-injector is administered. Each district and school shall
59.29make the guidelines and plan available on its Web site, or if such Web sites do not exist,
59.30make the plan publicly available through other practicable means as determined by the
59.31district or school. Upon request, a printed copy of the guidelines and plan must be made
59.32available at no charge. Each district and school shall maintain a log of each incident at a
59.33school or related school event involving the administration of an epinephrine auto-injector.

59.34    Sec. 7. Minnesota Statutes 2012, section 122A.09, subdivision 4, is amended to read:
60.1    Subd. 4. License and rules. (a) The board must adopt rules to license public school
60.2teachers and interns subject to chapter 14.
60.3(b) The board must adopt rules requiring a person to pass a skills examination in
60.4reading, writing, and mathematics as a requirement for initial teacher licensure, except
60.5that the board may issue up to three additional temporary, one-year teaching licenses to an
60.6otherwise qualified candidate who has not passed the skills exam at the time the candidate
60.7successfully completes an approved teacher preparation program. Such rules must require
60.8college and universities offering a board-approved teacher preparation program to provide
60.9remedial assistance to persons who did not achieve a qualifying score on the skills
60.10examination, including those for whom English is a second language.
60.11(c) The board must adopt rules to approve teacher preparation programs. The board,
60.12upon the request of a postsecondary student preparing for teacher licensure or a licensed
60.13graduate of a teacher preparation program, shall assist in resolving a dispute between the
60.14person and a postsecondary institution providing a teacher preparation program when the
60.15dispute involves an institution's recommendation for licensure affecting the person or the
60.16person's credentials. At the board's discretion, assistance may include the application
60.17of chapter 14.
60.18(d) The board must provide the leadership and adopt rules for the redesign of teacher
60.19education programs to implement a research based, results-oriented curriculum that
60.20focuses on the skills teachers need in order to be effective. The board shall implement new
60.21systems of teacher preparation program evaluation to assure program effectiveness based
60.22on proficiency of graduates in demonstrating attainment of program outcomes. Teacher
60.23preparation programs including alternative teacher preparation programs under section
60.24122A.245 , among other programs, must include a content-specific, board-approved,
60.25performance-based assessment that measures teacher candidates in three areas: planning
60.26for instruction and assessment; engaging students and supporting learning; and assessing
60.27student learning.
60.28(e) The board must adopt rules requiring candidates for initial licenses to pass an
60.29examination of general pedagogical knowledge and examinations of licensure-specific
60.30teaching skills. The rules shall be effective by September 1, 2001. The rules under this
60.31paragraph also must require candidates for initial licenses to teach prekindergarten or
60.32elementary students to pass, as part of the examination of licensure-specific teaching
60.33skills, test items assessing the candidates' knowledge, skill, and ability in comprehensive,
60.34scientifically based reading instruction under section 122A.06, subdivision 4, and their
60.35knowledge and understanding of the foundations of reading development, the development
61.1of reading comprehension, and reading assessment and instruction, and their ability to
61.2integrate that knowledge and understanding.
61.3(f) The board must adopt rules requiring teacher educators to work directly with
61.4elementary or secondary school teachers in elementary or secondary schools to obtain
61.5periodic exposure to the elementary or secondary teaching environment.
61.6(g) The board must grant licenses to interns and to candidates for initial licenses
61.7based on appropriate professional competencies that are aligned with the board's licensing
61.8system and students' diverse learning needs. The board must include these licenses in a
61.9statewide differentiated licensing system that creates new leadership roles for successful
61.10experienced teachers premised on a collaborative professional culture dedicated to meeting
61.11students' diverse learning needs in the 21st century and formalizes mentoring and induction
61.12for newly licensed teachers that is provided through a teacher support framework.
61.13(h) The board must design and implement an assessment system which requires a
61.14candidate for an initial license and first continuing license to demonstrate the abilities
61.15necessary to perform selected, representative teaching tasks at appropriate levels.
61.16(i) The board must receive recommendations from local committees as established
61.17by the board for the renewal of teaching licenses.
61.18(j) The board must grant life licenses to those who qualify according to requirements
61.19established by the board, and suspend or revoke licenses pursuant to sections 122A.20 and
61.20214.10 . The board must not establish any expiration date for application for life licenses.
61.21(k) The board must adopt rules that require all licensed teachers who are renewing
61.22their continuing license to include in their renewal requirements further preparation in
61.23the areas of using positive behavior interventions and in accommodating, modifying, and
61.24adapting curricula, materials, and strategies to appropriately meet the needs of individual
61.25students and ensure adequate progress toward the state's graduation rule.
61.26(l) In adopting rules to license public school teachers who provide health-related
61.27services for disabled children, the board shall adopt rules consistent with license or
61.28registration requirements of the commissioner of health and the health-related boards who
61.29license personnel who perform similar services outside of the school.
61.30(m) The board must adopt rules that require all licensed teachers who are renewing
61.31their continuing license to include in their renewal requirements further reading
61.32preparation, consistent with section 122A.06, subdivision 4. The rules do not take effect
61.33until they are approved by law. Teachers who do not provide direct instruction including, at
61.34least, counselors, school psychologists, school nurses, school social workers, audiovisual
61.35directors and coordinators, and recreation personnel are exempt from this section.
62.1(n) The board must adopt rules that require all licensed teachers who are renewing
62.2their continuing license to include in their renewal requirements further preparation,
62.3first, in understanding the key warning signs of early-onset mental illness in children
62.4and adolescents and then, during subsequent licensure renewal periods, preparation may
62.5include providing a more in-depth understanding of students' mental illness trauma,
62.6accommodations for students' mental illness, parents' role in addressing students' mental
62.7illness, Fetal Alcohol Spectrum Disorders, autism, the requirements of section 125A.0942
62.8governing restrictive procedures, and de-escalation methods, among other similar topics.
62.9EFFECTIVE DATE.Paragraph (b) is effective the day following final enactment.
62.10Paragraph (n) is effective August 1, 2014.

62.11    Sec. 8. Minnesota Statutes 2012, section 122A.18, subdivision 2, is amended to read:
62.12    Subd. 2. Teacher and support personnel qualifications. (a) The Board of
62.13Teaching must issue licenses under its jurisdiction to persons the board finds to be
62.14qualified and competent for their respective positions.
62.15(b) The board must require a person to pass an examination of skills in reading,
62.16writing, and mathematics before being granted an initial teaching license to provide direct
62.17instruction to pupils in prekindergarten, elementary, secondary, or special education
62.18programs, except that the board may issue up to three additional temporary, one-year
62.19teaching licenses to an otherwise qualified candidate who has not passed the skills
62.20exam at the time the candidate successfully completes an approved teacher preparation
62.21program. The board must require colleges and universities offering a board approved
62.22teacher preparation program to provide make available upon request remedial assistance
62.23that includes a formal diagnostic component to persons enrolled in their institution who
62.24did not achieve a qualifying score on the skills examination, including those for whom
62.25English is a second language. The colleges and universities must provide make available
62.26 assistance in the specific academic areas of deficiency in which the person did not achieve
62.27a qualifying score. School districts may make available upon request similar, appropriate,
62.28and timely remedial assistance that includes a formal diagnostic component to those
62.29persons employed by the district who completed their teacher education program, who did
62.30not achieve a qualifying score on the skills examination, including those persons for whom
62.31English is a second language and persons under section 122A.23, subdivision 2, paragraph
62.32(h), who completed their teacher's education program outside the state of Minnesota,
62.33and who received a temporary license to teach in Minnesota. The Board of Teaching
62.34shall report annually to the education committees of the legislature on the total number
62.35of teacher candidates during the most recent school year taking the skills examination,
63.1the number who achieve a qualifying score on the examination, the number who do not
63.2achieve a qualifying score on the examination, the distribution of all candidates' scores,
63.3the number of candidates who have taken the examination at least once before, and the
63.4number of candidates who have taken the examination at least once before and achieve
63.5a qualifying score.
63.6(c) A person who has completed an approved teacher preparation program and has
63.7been issued three temporary, one-year teaching licenses, but has not passed the skills exam,
63.8may have the board renew the temporary license if the school district employing the licensee
63.9requests that the licensee continue to teach for that district under a temporary license.
63.10(d) The Board of Teaching must grant continuing licenses only to those persons who
63.11have met board criteria for granting a continuing license, which includes passing the skills
63.12examination in reading, writing, and mathematics.
63.13(d) (e) All colleges and universities approved by the board of teaching to prepare
63.14persons for teacher licensure must include in their teacher preparation programs a common
63.15core of teaching knowledge and skills to be acquired by all persons recommended
63.16for teacher licensure. This common core shall meet the standards developed by the
63.17interstate new teacher assessment and support consortium in its 1992 "model standards for
63.18beginning teacher licensing and development." Amendments to standards adopted under
63.19this paragraph are covered by chapter 14. The board of teaching shall report annually to
63.20the education committees of the legislature on the performance of teacher candidates
63.21on common core assessments of knowledge and skills under this paragraph during the
63.22most recent school year.
63.23EFFECTIVE DATE.This section is effective the day following final enactment.

63.24    Sec. 9. Minnesota Statutes 2012, section 122A.23, subdivision 2, is amended to read:
63.25    Subd. 2. Applicants licensed in other states. (a) Subject to the requirements of
63.26sections 122A.18, subdivision 8, and 123B.03, the Board of Teaching must issue a teaching
63.27license or a temporary teaching license under paragraphs (b) to (e) to an applicant who holds
63.28at least a baccalaureate degree from a regionally accredited college or university and holds
63.29or held a similar out-of-state teaching license that requires the applicant to successfully
63.30complete a teacher preparation program approved by the issuing state, which includes
63.31field-specific teaching methods and student teaching or essentially equivalent experience.
63.32(b) The Board of Teaching must issue a teaching license to an applicant who:
63.33(1) successfully completed all exams and human relations preparation components
63.34required by the Board of Teaching; and
64.1(2) holds or held an out-of-state teaching license to teach the same content field and
64.2grade levels if the scope of the out-of-state license is no more than one grade level less
64.3than a similar Minnesota license.
64.4(c) The Board of Teaching, consistent with board rules and paragraph (h), must
64.5issue up to three one-year temporary teaching licenses to an applicant who holds or held
64.6an out-of-state teaching license to teach the same content field and grade levels, where
64.7the scope of the out-of-state license is no more than one grade level less than a similar
64.8Minnesota license, but has not successfully completed all exams and human relations
64.9preparation components required by the Board of Teaching.
64.10(d) The Board of Teaching, consistent with board rules, must issue up to three
64.11one-year temporary teaching licenses to an applicant who:
64.12(1) successfully completed all exams and human relations preparation components
64.13required by the Board of Teaching; and
64.14(2) holds or held an out-of-state teaching license to teach the same content field
64.15and grade levels, where the scope of the out-of-state license is no more than one grade
64.16level less than a similar Minnesota license, but has not completed field-specific teaching
64.17methods or student teaching or equivalent experience.
64.18The applicant may complete field-specific teaching methods and student teaching
64.19or equivalent experience by successfully participating in a one-year school district
64.20mentorship program consistent with board-adopted standards of effective practice and
64.21Minnesota graduation requirements.
64.22(e) The Board of Teaching must issue a temporary teaching license for a term of
64.23up to three years only in the content field or grade levels specified in the out-of-state
64.24license to an applicant who:
64.25(1) successfully completed all exams and human relations preparation components
64.26required by the Board of Teaching; and
64.27(2) holds or held an out-of-state teaching license where the out-of-state license is
64.28more limited in the content field or grade levels than a similar Minnesota license.
64.29(f) The Board of Teaching must not issue to an applicant more than three one-year
64.30temporary teaching licenses under this subdivision.
64.31(g) The Board of Teaching must not issue a license under this subdivision if the
64.32applicant has not attained the additional degrees, credentials, or licenses required in a
64.33particular licensure field.
64.34(h) The Board of Teaching must require an applicant for a teaching license or a
64.35temporary teaching license under this subdivision to pass a skills examination in reading,
64.36writing, and mathematics before the board issues the license. Consistent with section
65.1122A.18, subdivision 2, paragraph (c), and notwithstanding other provisions of this
65.2subdivision, the board may issue up to three additional temporary, one-year teaching
65.3licenses to an otherwise qualified applicant who has not passed the skills exam and the
65.4board may renew this temporary license if the school district employing the applicant
65.5requests that the applicant continue to teach for that district under a temporary license.
65.6EFFECTIVE DATE.This section is effective the day following final enactment.

65.7    Sec. 10. Minnesota Statutes 2012, section 122A.28, subdivision 1, is amended to read:
65.8    Subdivision 1. K-12 license to teach deaf and hard-of-hearing students;
65.9relicensure. (a) The Board of Teaching must review and determine appropriate licensure
65.10requirements for a candidate for a license or an applicant for a continuing license to teach
65.11deaf and hard-of-hearing students in prekindergarten through grade 12. In addition to
65.12other requirements, a candidate must demonstrate the minimum level of proficiency in
65.13American sign language as determined by the board.
65.14(b) Among other relicensure requirements, each teacher under this section must
65.15complete 30 continuing education clock hours on hearing loss topics, including American
65.16Sign Language, American Sign Language linguistics, or deaf culture, in each licensure
65.17renewal period.
65.18EFFECTIVE DATE.This section is effective August 1, 2013.

65.19    Sec. 11. Minnesota Statutes 2012, section 122A.33, subdivision 3, is amended to read:
65.20    Subd. 3. Notice of nonrenewal; opportunity to respond. A school board that
65.21declines to renew the coaching contract of a licensed or nonlicensed head varsity coach
65.22must notify the coach within 14 days of that decision. If the coach requests reasons for not
65.23renewing the coaching contract, the board must give the coach its reasons in writing within
65.24ten days of receiving the request. The existence of parent complaints must not be the sole
65.25reason for a board not to renew a coaching contract. Upon request, the board must provide
65.26the coach with a reasonable opportunity to respond to the reasons at a board meeting. The
65.27hearing may be opened or closed at the election of the coach unless the board closes the
65.28meeting under section 13D.05, subdivision 2, to discuss private data.
65.29EFFECTIVE DATE.This section is effective the day following final enactment.

65.30    Sec. 12. Minnesota Statutes 2012, section 122A.61, subdivision 1, is amended to read:
65.31    Subdivision 1. Staff development revenue. A district is required to reserve
65.32an amount equal to at least two percent of the basic revenue under section 126C.10,
66.1subdivision 2
, for in-service education for programs under section 120B.22, subdivision 2,
66.2for staff development plans, including plans for challenging instructional activities and
66.3experiences under section 122A.60, and for curriculum development and programs, other
66.4in-service education, teachers' evaluation, teachers' workshops, teacher conferences, the
66.5cost of substitute teachers staff development purposes, preservice and in-service education
66.6for special education professionals and paraprofessionals, and other related costs for
66.7staff development efforts. A district may annually waive the requirement to reserve their
66.8basic revenue under this section if a majority vote of the licensed teachers in the district
66.9and a majority vote of the school board agree to a resolution to waive the requirement.
66.10A district in statutory operating debt is exempt from reserving basic revenue according
66.11to this section. Districts may expend an additional amount of unreserved revenue for
66.12staff development based on their needs.
66.13EFFECTIVE DATE.This section is effective July 1, 2013.

66.14    Sec. 13. Minnesota Statutes 2012, section 124D.122, is amended to read:
66.15124D.122 ESTABLISHMENT OF FLEXIBLE LEARNING YEAR PROGRAM.
66.16The board of any district or a consortium of districts, with the approval of the
66.17commissioner, may establish and operate a flexible learning year program in one or more of
66.18the day or residential facilities for children with a disability within the district. Consortiums
66.19may use a single application and evaluation process, though results, public hearings, and
66.20board approvals must be obtained for each district as required under appropriate sections.

66.21    Sec. 14. Minnesota Statutes 2012, section 124D.42, is amended to read:
66.22124D.42 READING AND MATH CORPS.
66.23    Subd. 6. Program training. The commission must, within available resources:
66.24(1) orient each grantee organization in the nature, philosophy, and purpose of the
66.25program;
66.26(2) build an ethic of community service through general community service training;
66.27and
66.28(3) provide guidance on integrating programmatic-based measurement into program
66.29models.
66.30    Subd. 8. Minnesota reading corps program. (a) A Minnesota reading corps
66.31program is established to provide ServeMinnesota Innovation AmeriCorps members with
66.32a data-based problem-solving model of literacy instruction to use in helping to train local
66.33Head Start program providers, other prekindergarten program providers, and staff in
67.1schools with students in kindergarten through grade 3 to evaluate and teach early literacy
67.2skills, including comprehensive, scientifically based reading instruction under section
67.3122A.06, subdivision 4 , to children age 3 to grade 3.
67.4(b) Literacy programs under this subdivision must comply with the provisions
67.5governing literacy program goals and data use under section 119A.50, subdivision 3,
67.6paragraph (b).
67.7(c) The commission must submit a biennial report to the committees of the
67.8legislature with jurisdiction over kindergarten through grade 12 education that records and
67.9evaluates program data to determine the efficacy of the programs under this subdivision.
67.10    Subd. 9. Minnesota math corps program. (a) A Minnesota math corps program is
67.11established to give ServeMinnesota AmeriCorps members a data-based problem-solving
67.12model of mathematics instruction useful for providing elementary and middle school
67.13students and their teachers with instructional support to meet state academic standards in
67.14mathematics.
67.15(b) The commission must submit a biennial report to the legislative committees with
67.16jurisdiction over kindergarten through grade 12 education that records and evaluates
67.17program data to determine the efficacy of the programs under this subdivision.
67.18EFFECTIVE DATE.This section is effective July 1, 2013.

67.19    Sec. 15. Minnesota Statutes 2012, section 124D.59, subdivision 2, is amended to read:
67.20    Subd. 2. English learner. (a) "English learner" means a pupil in kindergarten
67.21through grade 12 who meets the following requirements:
67.22(1) the pupil, as declared by a parent or guardian first learned a language other than
67.23English, comes from a home where the language usually spoken is other than English, or
67.24usually speaks a language other than English; and
67.25(2) the pupil is determined by developmentally appropriate measures, which might
67.26include observations, teacher judgment, parent recommendations, or developmentally
67.27appropriate assessment instruments that measure the pupil's emerging academic English
67.28and are aligned to state standards for English language development defined in rule, to
67.29lack the necessary English skills to participate fully in classes taught in English.
67.30(b) Notwithstanding paragraph (a), a pupil in grades 4 through 12 who was enrolled
67.31in a Minnesota public school on the dates during the previous school year when a
67.32commissioner provided assessment that measures the pupil's emerging academic English
67.33was administered, shall not be counted as an English learner in calculating English learner
67.34pupil units under section 126C.05, subdivision 17, and shall not generate state English
67.35learner aid under section 124D.65, subdivision 5, unless the pupil scored below the state
68.1cutoff score or is otherwise counted as a nonproficient participant on an assessment
68.2measuring emerging academic English provided by the commissioner during the previous
68.3school year.
68.4(c) Notwithstanding paragraphs (a) and (b), a pupil in kindergarten through grade
68.512 shall not be counted as an English learner in calculating English learner pupil units
68.6under section 126C.05, subdivision 17, and shall not generate state English learner aid
68.7under section 124D.65, subdivision 5, if:
68.8(1) the pupil is not enrolled during the current fiscal year in an educational program
68.9for English learners in accordance with sections 124D.58 to 124D.64; or
68.10(2) the pupil has generated five or more years of average daily membership in
68.11Minnesota public schools since July 1, 1996.
68.12EFFECTIVE DATE.This section is effective for revenue for fiscal year 2014
68.13and later.

68.14    Sec. 16. Minnesota Statutes 2012, section 124D.61, is amended to read:
68.15124D.61 GENERAL REQUIREMENTS FOR PROGRAMS.
68.16A district that enrolls one or more English learners must implement an educational
68.17program that includes at a minimum the following requirements:
68.18(1) identification, program entrance, and reclassification criteria for English learners
68.19and program entrance and exit criteria for English learners must be documented by the
68.20district, applied uniformly to English learners, and made available to parents and other
68.21stakeholders upon request;
68.22(2) a written plan of services that describes programming by English proficiency level
68.23made available to parents upon request. The plan must articulate the amount and scope of
68.24service offered to English learners through an educational program for English learners;
68.25(3) professional development opportunities for ESL, bilingual education,
68.26mainstream, and all staff working with English learners which are: (i) coordinated with
68.27the district's professional development activities; (ii) related to the needs of English
68.28learners; and (iii) ongoing;
68.29(4) to the extent possible, avoid isolating English learners for a substantial part of
68.30the school day; and
68.31(5) in predominantly nonverbal subjects, such as art, music, and physical education,
68.32permit English learners to participate fully and on an equal basis with their contemporaries
68.33in public school classes provided for these subjects. To the extent possible, the district
69.1must assure to pupils enrolled in a program for English learners an equal and meaningful
69.2opportunity to participate fully with other pupils in all extracurricular activities.
69.3The exit criteria under clause (1) must be equivalent to the emerging academic English
69.4measures on state assessments for English language development.

69.5    Sec. 17. Minnesota Statutes 2012, section 124D.79, subdivision 1, is amended to read:
69.6    Subdivision 1. Community involvement. The commissioner must provide for the
69.7maximum involvement of the state committees on American Indian education, parents
69.8of American Indian children, secondary students eligible to be served, American Indian
69.9language and culture education teachers, American Indian teachers, teachers' aides,
69.10representatives of community groups, and persons knowledgeable in the field of American
69.11Indian education, in the formulation of policy and procedures relating to the administration
69.12of sections 124D.71 to 124D.82. The commissioner must annually hold a field hearing on
69.13American Indian education to gather input from American Indian educators, parents, and
69.14students on the state of American Indian education in Minnesota. Results of the hearing
69.15must be made available to all 11 tribal nations for review and comment.

69.16    Sec. 18. Minnesota Statutes 2012, section 124D.79, is amended by adding a
69.17subdivision to read:
69.18    Subd. 4. Consultation with the Tribal Nations Education Committee. (a) The
69.19commissioner shall seek consultation with the Tribal Nations Education Committee on all
69.20issues relating to American Indian education including:
69.21(1) administration of the commissioner's duties under sections 124D.71 to 124D.82
69.22and other programs;
69.23(2) administration of other programs for the education of American Indian people, as
69.24determined by the commissioner;
69.25(3) awarding of scholarships to eligible American Indian students;
69.26(4) administration of the commissioner's duties regarding awarding of American
69.27Indian postsecondary preparation grants to school districts; and
69.28(5) recommendations of education policy changes for American Indians.
69.29(b) Membership in the Tribal Nations Education Committee is at the sole discretion
69.30of the committee and nothing in this subdivision gives the commissioner authority to
69.31dictate committee membership.

69.32    Sec. 19. [124D.791] INDIAN EDUCATION DIRECTOR.
70.1    Subdivision 1. Appointment. An Indian education director shall be appointed by
70.2the commissioner.
70.3    Subd. 2. Qualifications. The commissioner shall select the Indian education
70.4director on the basis of outstanding professional qualifications and knowledge of
70.5American Indian education, culture, practices, and beliefs. The Indian education director
70.6serves in the unclassified service. The commissioner may remove the Indian education
70.7director for cause. The commissioner is encouraged to seek qualified applicants who
70.8are enrolled members of a tribe.
70.9    Subd. 3. Compensation. Compensation of the Indian education director shall be
70.10established under chapter 15A.
70.11    Subd. 4. Duties; powers. (a) The Indian education director shall:
70.12(1) serve as the liaison for the department with the Tribal Nations Education
70.13Committee, the 11 reservations, the Minnesota Chippewa tribe, the Minnesota Indian
70.14Affairs Council, and the Urban Indian Advisory Council;
70.15(2) evaluate the state of American Indian education in Minnesota;
70.16(3) engage the tribal bodies, community groups, parents of children eligible to be
70.17served by American Indian education programs, American Indian administrators and
70.18teachers, persons experienced in the training of teachers for American Indian education
70.19programs, the tribally controlled schools, and other persons knowledgeable in the field of
70.20American Indian education and seek their advice on policies that can improve the quality
70.21of American Indian education;
70.22(4) advise the commissioner on American Indian education issues, including:
70.23(i) issues facing American Indian students;
70.24(ii) policies for American Indian education;
70.25(iii) awarding scholarships to eligible American Indian students and in administering
70.26the commissioner's duties regarding awarding of American Indian postsecondary
70.27preparation grants to school districts; and
70.28(iv) administration of the commissioner's duties under sections 124D.71 to 124D.82
70.29and other programs for the education of American Indian people;
70.30(5) propose to the commissioner legislative changes that will improve the quality
70.31of American Indian education;
70.32(6) develop a strategic plan and a long-term framework for American Indian
70.33education, in conjunction with the Minnesota Indian Affairs Council, that is updated every
70.34five years and implemented by the commissioner, with goals to:
70.35(i) increase American Indian student achievement, including increased levels of
70.36proficiency and growth on statewide accountability assessments;
71.1(ii) increase the number of American Indian teachers in public schools;
71.2(iii) close the achievement gap between American Indian students and their more
71.3advantaged peers;
71.4(iv) increase the statewide graduation rate for American Indian students; and
71.5(v) increase American Indian student placement in postsecondary programs and
71.6the workforce; and
71.7(7) keep the American Indian community informed about the work of the department
71.8by reporting to the Tribal Nations Education Committee at each committee meeting.

71.9    Sec. 20. [124D.861] ACHIEVEMENT AND INTEGRATION FOR MINNESOTA.
71.10    Subdivision 1. Program to close the academic achievement and opportunity
71.11gap. (a) The "Achievement and Integration for Minnesota" program is established to
71.12promote diversity, pursue racial and economic integration, and increase student academic
71.13achievement and equitable educational opportunities in Minnesota public schools. The
71.14program must serve students of varying racial, ethnic, and economic backgrounds, taking
71.15into account unique geographic and demographic particularities affecting students,
71.16schools, and districts including race, neighborhood locations and characteristics, grades,
71.17socioeconomic status, academic performance, and language barriers.
71.18(b) For purposes of this section and section 124D.862, "eligible district" means a
71.19district required to submit a plan to the commissioner under Minnesota Rules governing
71.20school desegregation and integration.
71.21(c) Eligible districts must use the revenue under section 124D.862 to pursue racial
71.22and economic integration in schools through: (1) in-school educational practices and
71.23integrated learning environments created to prepare all students to be effective citizens,
71.24enhance social cohesion, and reinforce democratic values; and (2) corresponding
71.25and meaningful policies and curricula and trained instructors, administrators, school
71.26counselors, and other advocates who support and enhance in-school practices and
71.27integrated learning environments under this section. In-school practices and integrated
71.28learning environments must promote increased student academic achievement, cultural
71.29fluency, graduation and educational attainment rates, and parent involvement.
71.30    Subd. 2. Plan components. (a) The school board of each eligible district must
71.31formally develop and implement a long-term comprehensive plan that identifies the
71.32collaborative structures and systems, in-school strategies, inclusive best educational
71.33practices, and partnerships with higher education institutions and industries required
71.34to effect this section and increase the academic achievement of all students. Plan
71.35components may include: innovative and integrated prekindergarten through grade 12
72.1learning environments that offer students school enrollment choices; family engagement
72.2initiatives that involve families in their students' academic life and success; professional
72.3development opportunities for teachers and administrators focused on improving the
72.4academic achievement of all students; increased programmatic opportunities focused
72.5on rigor and college and career readiness for underserved students, including students
72.6enrolled in alternative learning centers under section 123A.05, public alternative programs
72.7under section 126C.05, subdivision 15, or contract alternative programs under section
72.8124D.69, among other underserved students; or recruitment and retention of teachers and
72.9administrators with diverse backgrounds. The plan must specify district and school goals
72.10for reducing the disparity in academic achievement among all racial and ethnic categories of
72.11students and promoting racial and economic integration in schools and districts over time.
72.12(b) Among other requirements, an eligible district must implement a cost-effective,
72.13research-based intervention that includes formative assessment practices to reduce the
72.14disparity in student academic achievement between the highest and lowest performing
72.15racial and ethnic categories of students as measured by student demonstration of
72.16proficiency on state reading and math assessments.
72.17(c) Eligible districts must collaborate in creating efficiencies and eliminating the
72.18duplication of programs and services under this section, which may include forming a
72.19single, seven-county metropolitan areawide partnership of eligible districts for this purpose.
72.20    Subd. 3. Biennial progress; budget process. (a) To receive revenue under section
72.21124D.862, the school board of an eligible district must hold at least one formal hearing by
72.22March 1 in the year preceding the current biennium to report to the public its progress in
72.23realizing the goals identified in its plan. At the hearing, the board must provide the public
72.24with longitudinal data demonstrating district and school progress in reducing the disparity
72.25in student academic achievement among all racial and ethnic categories of students and
72.26realizing racial and economic integration, consistent with its plan and the measures in
72.27paragraph (b). At least 30 days before the formal hearing under this paragraph, the
72.28board must post on the district Web site, in an understandable, readily accessible format,
72.29up-to-date longitudinal data on district and school progress in reducing disparities in
72.30students' academic achievement, consistent with this subdivision. The district also must
72.31submit to the commissioner by March 1 in the year preceding the current biennium a
72.32detailed biennial budget for continuing to implement its plan and the commissioner must
72.33review and approve or disapprove the budget by June 1 of that year.
72.34(b) The longitudinal data required under paragraph (a) must be based on one or
72.35more of the following measures:
73.1(1) the number of world language proficiency or high achievement certificates
73.2awarded under section 120B.022, subdivision 1, paragraphs (b) and (c);
73.3(2) student growth and progress toward proficiency in reading or mathematics as
73.4defined under section 120B.299;
73.5(3) adequate yearly progress under section 120B.35, subdivision 2;
73.6(4) preparation for postsecondary academic and career opportunities under section
73.7120B.35, subdivision 3, paragraph (c), clause (1);
73.8(5) rigorous coursework completed under section 120B.35, subdivision 3, paragraph
73.9(c), clause (2); or
73.10(6) school safety and students' engagement and connection at school under section
73.11120B.35, subdivision 3, paragraph (d).
73.12    Subd. 4. Evaluation. The commissioner must evaluate the efficacy of district
73.13plans in reducing the disparity in student academic achievement among all racial and
73.14ethnic categories of students and realizing racial and economic integration and report the
73.15commissioner's findings to the legislative committees with jurisdiction over kindergarten
73.16through grade 12 education by February 1 every fourth year beginning February 1, 2017.
73.17EFFECTIVE DATE.This section is effective for fiscal year 2014 and later.

73.18    Sec. 21. [124D.862] ACHIEVEMENT AND INTEGRATION REVENUE.
73.19    Subdivision 1. Eligibility. A school district is eligible for achievement and
73.20integration revenue under this section if the district has a biennial achievement and
73.21integration plan approved by the department under section 124D.861.
73.22    Subd. 2. Achievement and integration revenue. (a) An eligible district's initial
73.23achievement and integration revenue equals the sum of (1) $350 times the district's pupil
73.24units for that year times the ratio of the district's enrollment of protected students for the
73.25previous school year to total enrollment for the previous school year, and (2) the greater of
73.26zero or 65 percent of the difference between the district's integration revenue for fiscal
73.27year 2013 and the district's integration revenue for fiscal year 2014 under clause (1).
73.28(b) In each year, 0.2 percent of each district's initial achievement and integration
73.29revenue is transferred to the department for the oversight and accountability activities
73.30required under this section and section 124D.861.
73.31(c) A district that did not meet its achievement goals established in section 124D.861
73.32for the previous biennium must have its initial achievement and integration revenue
73.33reduced by five percent for the current year.
74.1(d) Any revenue saved by the reductions in paragraph (c) must be proportionately
74.2reallocated on a per-pupil basis to all districts that met their achievement goals in the
74.3previous biennium.
74.4    Subd. 3. Achievement and integration aid. A district's achievement and
74.5integration aid equals 70 percent of its achievement and integration revenue.
74.6    Subd. 4. Achievement and integration levy. A district's achievement and
74.7integration levy equals the difference between its achievement and integration revenue
74.8and its achievement and integration aid. For Special School District No. 1, Minneapolis,
74.9Independent School District No. 625, St. Paul, and Independent School District No. 709,
74.10Duluth, 100 percent of the levy certified under this subdivision is shifted into the prior
74.11calendar year for purposes of sections 123B.75, subdivision 5, and 127A.441.
74.12    Subd. 5. Incentive revenue. An eligible school district's maximum incentive
74.13revenue equals $10 per pupil unit. In order to receive this revenue, a district must be
74.14implementing a voluntary plan to reduce racial enrollment disparities through intradistrict
74.15and interdistrict activities that have been approved as a part of the district's achievement
74.16and integration plan.
74.17    Subd. 6. Revenue reserved. Integration revenue received under this section must
74.18be reserved and used only for the programs authorized in subdivision 7.
74.19    Subd. 7. Revenue uses. At least 80 percent of a district's achievement and
74.20integration revenue received under this section must be used for innovative and integrated
74.21learning environments, family engagement activities, and other approved programs
74.22providing direct services to students. Up to 20 percent of the revenue may be used for
74.23professional development and staff development activities, pupil transportation, placement
74.24services, and other administrative expenditures.
74.25EFFECTIVE DATE.This section is effective for revenue for fiscal year 2014
74.26and later.

74.27    Sec. 22. TEACHER LICENSURE ADVISORY TASK FORCE.
74.28(a) A Teacher Licensure Advisory Task Force is established to make
74.29recommendations to the Board of Teaching, the commissioner of education, and the
74.30education committees of the legislature on requirements for: teacher applicants to
74.31demonstrate mastery of basic reading, writing, and mathematics skills through nationally
74.32normed assessments, a basic skills portfolio, or accredited college coursework, among other
74.33methods of demonstrating basic skills mastery; and an alternative licensure pathway for
74.34nonnative English speakers seeking licensure to teach in a language immersion program.
75.1(b) Task force recommendations on how teacher candidates demonstrate basic skills
75.2mastery must encompass the following criteria:
75.3(1) assessment content must be relevant to the teacher's subject area licensure;
75.4(2) the scope of assessment content must be documented in sufficient detail to
75.5correspond to a similarly detailed description of relevant public school curriculum;
75.6(3) the scope of assessment content must be publicly available and readily accessible
75.7on the Web site of the Board of Teaching and all Minnesota public teacher preparation
75.8programs and institutions;
75.9(4) the Board of Teaching and all Minnesota public teacher preparation programs
75.10and institutions, upon request, must make available to the public at cost a written review
75.11of the scope of assessment content;
75.12(5) if applicable, the Board of Teaching and all Minnesota public teacher preparation
75.13programs and institutions annually must post on their Web site up-to-date longitudinal
75.14summary data showing teacher candidates' overall passing rate and the passing rate for
75.15each demographic group of teacher candidates taking a basic skills assessment in that
75.16school year and in previous school years;
75.17(6) reliable evidence showing assessment content is not culturally biased;
75.18(7) the Board of Teaching and all Minnesota public teacher preparation programs
75.19and institutions must appropriately accommodate teacher candidates with documented
75.20learning disabilities; and
75.21(8) if applicable, give timely, detailed feedback to teacher candidates who do not
75.22pass the basic skills assessment sufficient for the candidate to target specific areas of
75.23deficiency for appropriate remediation.
75.24(c) The Teacher Licensure Advisory Task Force shall be composed of the following
75.25members:
75.26(1) two members of the Board of Teaching appointed by the board's executive
75.27director;
75.28(2) two representatives from the Department of Education appointed by the
75.29commissioner of education;
75.30(3) two members of the house of representatives appointed by the speaker of the
75.31house, one from the minority party and one from the majority party;
75.32(4) two members of the senate appointed by the Subcommittee on Committees of
75.33the Committee on Rules and Administration of the senate, one from the minority party
75.34and one from the majority party;
75.35(5) one elementary school principal from rural Minnesota appointed by the
75.36Minnesota Elementary School Principals Association and one secondary school principal
76.1from the seven-county metropolitan area appointed by the Minnesota Secondary School
76.2Principals Association;
76.3(6) one licensed and practicing public elementary school teacher and one licensed
76.4and practicing secondary school teacher appointed by Education Minnesota;
76.5(7) one teacher preparation faculty member each from the University of Minnesota
76.6system appointed by the system president, the Minnesota State Colleges and Universities
76.7system appointed by the system chancellor, and the Minnesota Private Colleges and
76.8Universities system appointed by the Minnesota Private Colleges Council;
76.9(8) one member of the Nonpublic Education Council appointed by the council; and
76.10(9) one representative of Minnesota charter schools appointed by the Minnesota
76.11Charter Schools Association.
76.12(d) The executive director of the Board of Teaching and the commissioner of
76.13education jointly must convene the task force by August 1, 2013. Task force members
76.14are not eligible for compensation or reimbursement for expenses related to task force
76.15activities. The executive director of the board and the commissioner of education must
76.16provide technical assistance to task force members upon request.
76.17(e) By February 1, 2014, task force members must submit to the Board of Teaching,
76.18the commissioner of education, and the education committees of the legislature their
76.19written recommendations on requirements for teacher applicants to demonstrate mastery of
76.20basic reading, writing, and mathematics skills and for an alternative licensure pathway for
76.21nonnative English speakers seeking licensure to teach in a language immersion program.
76.22EFFECTIVE DATE.This section is effective the day following final enactment.

76.23    Sec. 23. SCHOOL CLIMATE CENTER FIRST-YEAR PRIORITIES.
76.24(a) During the first year the school climate center operates under Minnesota Statutes,
76.25section 121A.08, the center shall:
76.26(1) work in partnership with the Department of Public Safety school safety center
76.27and other appropriate entities to establish and staff the school climate council under
76.28Minnesota Statutes, section 121A.07;
76.29(2) develop and disseminate a model bullying and intimidation prevention policy
76.30for schools;
76.31(3) provide regional training and technical assistance to schools on best practices for
76.32ensuring a positive school climate;
76.33(4) collaborate with other entities to establish and make accessible baseline data to
76.34inform and guide efforts to improve the school climate; and
77.1(5) develop a tool kit, available through the Department of Education Web site, of
77.2current research-based practices that promote positive learning environments and help
77.3repair learning environments when harm occurs, including materials appropriate for use
77.4with diverse and special needs populations.
77.5(b) When appropriate, and consistent with federal and state data privacy laws,
77.6data under paragraph (a), clause (4), shall be made available for analysis at population
77.7subgroup, school site, and district, regional, and statewide levels.

77.8    Sec. 24. STUDENT SUPPORT SERVICES; TEAM STAFFING APPROACH.
77.9The commissioner of education shall develop and submit to the kindergarten
77.10through grade 12 education policy and finance committees of the legislature by February
77.111, 2014, recommendations for providing professional support services, including school
77.12counseling, psychology, nursing, social work, and chemical dependency services, to
77.13public school students throughout Minnesota using a team staffing structure. The
77.14recommendations must reflect (i) the extent to which students need academic, career,
77.15personal, social, and early-onset mental health services and (ii) the extent to which
77.16such services or teams do not exist, are incomplete or inadequate given the number of
77.17students implicated, or are not funded or reimbursed from nonstate sources, and where
77.18caseloads for individual team members exceed established professional guidelines or
77.19recommendations by more than 50 percent.

77.20    Sec. 25. APPROPRIATIONS.
77.21    Subdivision 1. Department. The sums indicated in this section are appropriated
77.22from the general fund to the Department of Education for the fiscal years designated.
77.23    Subd. 2. Integration aid. For integration aid under Minnesota Statutes, section
77.24124D.86:
77.25
$
17,197,000
.....
2014
77.26
$
0
.....
2015
77.27The 2014 appropriation includes $17,197,000 for 2013 and $0 for 2014.
77.28The 2015 appropriation includes $0 for 2014 and $0 for 2015.
77.29    Subd. 3. Achievement and integration aid. For achievement and integration aid
77.30under Minnesota Statutes, section 124D.861:
77.31
$
58,911,000
.....
2014
77.32
$
68,623,000
.....
2015
77.33The 2014 appropriation includes $0 for 2013 and $58,911,000 for 2014.
78.1The 2015 appropriation includes $9,273,000 for 2014 and $59,350,000 for 2015.
78.2    Subd. 4. Literacy incentive aid. For literacy incentive aid under Minnesota
78.3Statutes, section 124D.98:
78.4
$
52,514,000
.....
2014
78.5
$
53,818,000
.....
2015
78.6The 2014 appropriation includes $6,607,000 for 2013 and $45,907,000 for 2014.
78.7The 2015 appropriation includes $7,225,000 for 2014 and $46,593,000 for 2015.
78.8    Subd. 5. Interdistrict desegregation or integration transportation grants. For
78.9interdistrict desegregation or integration transportation grants under Minnesota Statutes,
78.10section 124D.87:
78.11
$
13,968,000
.....
2014
78.12
$
14,712,000
.....
2015
78.13    Subd. 6. Success for the future. For American Indian success for the future grants
78.14under Minnesota Statutes, section 124D.81:
78.15
$
2,137,000
.....
2014
78.16
$
2,137,000
.....
2015
78.17The 2014 appropriation includes $290,000 for 2013 and $1,847,000 for 2014.
78.18The 2015 appropriation includes $290,000 for 2014 and $1,847,000 for 2015.
78.19    Subd. 7. American Indian teacher preparation grants. For joint grants to assist
78.20American Indian people to become teachers under Minnesota Statutes, section 122A.63:
78.21
$
190,000
.....
2014
78.22
$
190,000
.....
2015
78.23    Subd. 8. Tribal contract schools. For tribal contract school aid under Minnesota
78.24Statutes, section 124D.83:
78.25
$
2,090,000
.....
2014
78.26
$
2,252,000
.....
2015
78.27The 2014 appropriation includes $266,000 for 2013 and $1,824,000 for 2014.
78.28The 2015 appropriation includes $285,000 for 2014 and $1,967,000 for 2015.
78.29    Subd. 9. Early childhood programs at tribal schools. For early childhood family
78.30education programs at tribal contract schools under Minnesota Statutes, section 124D.83,
78.31subdivision 4:
79.1
$
68,000
.....
2014
79.2
$
68,000
.....
2015
79.3    Subd. 10. Examination fees; teacher training and support programs. (a) For
79.4students' advanced placement and international baccalaureate examination fees under
79.5Minnesota Statutes, section 120B.13, subdivision 3, and the training and related costs
79.6for teachers and other interested educators under Minnesota Statutes, section 120B.13,
79.7subdivision 1:
79.8
$
4,500,000
.....
2014
79.9
$
4,500,000
.....
2015
79.10(b) The advanced placement program shall receive 75 percent of the appropriation
79.11each year and the international baccalaureate program shall receive 25 percent of the
79.12appropriation each year. The department, in consultation with representatives of the
79.13advanced placement and international baccalaureate programs selected by the Advanced
79.14Placement Advisory Council and the Minnesota Association of IB World Schools,
79.15respectively, shall determine the amounts of the expenditures each year for examination
79.16fees and training and support programs for each program.
79.17(c) Notwithstanding Minnesota Statutes, section 120B.13, subdivision 1, at least
79.18$500,000 each year is for teachers to attend subject matter summer training programs
79.19and follow-up support workshops approved by the advanced placement or international
79.20baccalaureate programs. The amount of the subsidy for each teacher attending an
79.21advanced placement or international baccalaureate summer training program or workshop
79.22shall be the same. The commissioner shall determine the payment process and the amount
79.23of the subsidy.
79.24(d) The commissioner shall pay all examination fees for all students of low-income
79.25families under Minnesota Statutes, section 120B.13, subdivision 3, and to the extent
79.26of available appropriations shall also pay examination fees for students sitting for an
79.27advanced placement examination, international baccalaureate examination, or both.
79.28Any balance in the first year does not cancel but is available in the second year.
79.29    Subd. 11. Concurrent enrollment program. For concurrent enrollment programs
79.30under Minnesota Statutes, section 124D.091:
79.31
$
2,000,000
.....
2014
79.32
$
2,000,000
.....
2015
79.33If the appropriation is insufficient, the commissioner must proportionately reduce
79.34the aid payment to each district.
79.35Any balance in the first year does not cancel but is available in the second year.
80.1    Subd. 12. Collaborative urban educator. For the collaborative urban educator
80.2grant program:
80.3
$
776,000
.....
2014
80.4
$
776,000
.....
2015
80.5$224,000 each year is for the Southeast Asian teacher program at Concordia
80.6University, St. Paul; $184,000 each year is for the collaborative educator program at the
80.7University of St. Thomas; $184,000 each year is for the Center for Excellence in Urban
80.8Teaching at Hamline University; and $184,000 each year is for East African teacher
80.9educator activities at Augsburg College.
80.10Any balance in the first year does not cancel but is available in the second year.
80.11Each institution shall prepare for the legislature, by January 15 of each year, a
80.12detailed report regarding the funds used. The report must include the number of teachers
80.13prepared as well as the diversity for each cohort of teachers produced.
80.14    Subd. 13. ServeMinnesota program. For funding ServeMinnesota programs under
80.15Minnesota Statutes, sections 124D.37 to 124D.45:
80.16
$
900,000
.....
2014
80.17
$
900,000
.....
2015
80.18A grantee organization may provide health and child care coverage to the dependents
80.19of each participant enrolled in a full-time ServeMinnesota program to the extent such
80.20coverage is not otherwise available.
80.21    Subd. 14. Student organizations. For student organizations:
80.22
$
725,000
.....
2014
80.23
$
725,000
.....
2015
80.24$45,695 each year is for student organizations serving health occupations (HOSA).
80.25$42,830 each year is for student organizations serving service occupations (HERO).
80.26$100,130 each year is for student organizations serving trade and industry
80.27occupations (Skills USA, secondary and postsecondary).
80.28$95,355 each year is for student organizations serving business occupations (BPA,
80.29secondary and postsecondary).
80.30$149,790 each year is for student organizations serving agriculture occupations
80.31(FFA, PAS).
80.32$142,150 each year is for student organizations serving family and consumer science
80.33occupations (FCCLA).
80.34$108,725 each year is for student organizations serving marketing occupations
80.35(DECA and DECA collegiate).
81.1$40,325 each year is for the Minnesota Foundation for Student Organizations.
81.2Any balance in the first year does not cancel but is available in the second year.
81.3    Subd. 15. Early childhood literacy programs. For early childhood literacy
81.4programs under Minnesota Statutes, section 119A.50, subdivision 3:
81.5
$
4,125,000
.....
2014
81.6
$
4,125,000
.....
2015
81.7Up to $4,125,000 each year is for leveraging federal and private funding to support
81.8AmeriCorps members serving in the Minnesota reading corps program established by
81.9ServeMinnesota, including costs associated with the training and teaching of early literacy
81.10skills to children age three to grade 3 and the evaluation of the impact of the program
81.11under Minnesota Statutes, sections 124D.38, subdivision 2, and 124D.42, subdivision 6.
81.12Any balance in the first year does not cancel but is available in the second year.
81.13    Subd. 16. Minnesota math corps program. For the Minnesota math corps program
81.14under Minnesota Statutes, section 124D.42, subdivision 9:
81.15
$
250,000
.....
2014
81.16
$
250,000
.....
2015
81.17Any unexpended balance in the first year does not cancel but is available in the
81.18second year.
81.19    Subd. 17. Minnesota Principals' Academy. For a grant to the University of
81.20Minnesota, College of Education and Human Development, for the operation of the
81.21Minnesota Principals' Academy:
81.22
$
235,000
.....
2014
81.23
$
215,000
.....
2015
81.24Any balance in the first year does not cancel but is available in the second year. The
81.25base appropriation for this program for fiscal year 2016 and later is $250,000.
81.26    Subd. 18. Regional centers of excellence. For regional centers of excellence under
81.27Minnesota Statutes, section 126C.101, subdivision 4:
81.28
$
1,500,000
.....
2014
81.29
$
3,000,000
.....
2015
81.30The base for the regional centers of excellence in fiscal years 2016 and 2017 is
81.31$4,500,000 each year.
81.32    Subd. 19. School Climate Center. For the School Climate Center under Minnesota
81.33Statutes, section 121A.08:
82.1
$
500,000
.....
2014
82.2
$
500,000
.....
2015
82.3    Subd. 20. Site decision-making grant program. For site decision-making grants
82.4under Minnesota Statutes, section 123B.04, subdivision 2, paragraph (f):
82.5
$
200,000
.....
2014
82.6An education site having a written achievement contract under Minnesota Statutes,
82.7section 123B.04, subdivision 4, agreed to by the school board and the education site,
82.8may apply to the commissioner of education for a two-year grant not to exceed $10 per
82.9resident pupil unit at the site in the 2012-2013 school year. Each participating education
82.10site and its school board that are the parties to the achievement contract must report
82.11annually to the commissioner, in the form and manner determined by the commissioner,
82.12on the progress and success of the education site in achieving student or contract goals
82.13or other performance expectations or measures contained in the achievement contract.
82.14The commissioner must include the substance and an analysis of these reports in the
82.15next statewide report under Minnesota Statutes, section 123B.04, subdivision 5, clause
82.16(3), evaluating the effectiveness of site management agreements in redesigning learning
82.17programs and broadening the definition of student achievement. Any unexpended funds
82.18do not cancel but are available in fiscal year 2015.

82.19ARTICLE 4
82.20CHARTER SCHOOLS

82.21    Section 1. Minnesota Statutes 2012, section 124D.10, is amended to read:
82.22124D.10 CHARTER SCHOOLS.
82.23    Subdivision 1. Purposes. (a) The primary purpose of this section is to:
82.24    (1) improve pupil learning and student achievement;. Additional purposes include to:
82.25    (2) (1) increase learning opportunities for pupils;
82.26    (3) (2) encourage the use of different and innovative teaching methods;
82.27    (4) (3) measure learning outcomes and create different and innovative forms of
82.28measuring outcomes;
82.29    (5) (4) establish new forms of accountability for schools; and or
82.30    (6) (5) create new professional opportunities for teachers, including the opportunity
82.31to be responsible for the learning program at the school site.
82.32    (b) This section does not provide a means to keep open a school that a school board
82.33decides to close. However, a school board may endorse or authorize the establishing of
82.34a charter school to replace the school the board decided to close. Applicants seeking a
83.1charter under this circumstance must demonstrate to the authorizer that the charter sought
83.2is substantially different in purpose and program from the school the board closed and
83.3that the proposed charter satisfies the requirements of this subdivision. If the school
83.4board that closed the school authorizes the charter, it must document in its affidavit to the
83.5commissioner that the charter is substantially different in program and purpose from
83.6the school it closed.
83.7    An authorizer shall not approve an application submitted by a charter school
83.8developer under subdivision 4, paragraph (a), if the application does not comply with this
83.9subdivision. The commissioner shall not approve an affidavit submitted by an authorizer
83.10under subdivision 4, paragraph (b), if the affidavit does not comply with this subdivision.
83.11    Subd. 2. Applicability. This section applies only to charter schools formed and
83.12operated under this section.
83.13    Subd. 3. Authorizer. (a) For purposes of this section, the terms defined in this
83.14subdivision have the meanings given them.
83.15    "Application" to receive approval as an authorizer means the proposal an eligible
83.16authorizer submits to the commissioner under paragraph (c) before that authorizer is able
83.17to submit any affidavit to charter to a school.
83.18    "Application" under subdivision 4 means the charter school business plan a
83.19school developer submits to an authorizer for approval to establish a charter school that
83.20documents the school developer's mission statement, school purposes, program design,
83.21financial plan, governance and management structure, and background and experience,
83.22plus any other information the authorizer requests. The application also shall include a
83.23"statement of assurances" of legal compliance prescribed by the commissioner.
83.24    "Affidavit" means a written statement the authorizer submits to the commissioner
83.25for approval to establish a charter school under subdivision 4 attesting to its review and
83.26approval process before chartering a school.
83.27    (b) The following organizations may authorize one or more charter schools:
83.28    (1) a school board, intermediate school district school board, or education district
83.29organized under sections 123A.15 to 123A.19;
83.30    (2) a charitable organization under section 501(c)(3) of the Internal Revenue Code
83.31of 1986, excluding a nonpublic sectarian or religious institution; any person other than a
83.32natural person that directly or indirectly, through one or more intermediaries, controls,
83.33is controlled by, or is under common control with the nonpublic sectarian or religious
83.34institution; and any other charitable organization under this clause that in the federal IRS
83.35Form 1023, Part IV, describes activities indicating a religious purpose, that:
84.1    (i) is a member of the Minnesota Council of Nonprofits or the Minnesota Council on
84.2Foundations;
84.3    (ii) is registered with the attorney general's office; and
84.4    (iii) is incorporated in the state of Minnesota and has been operating continuously
84.5for at least five years but does not operate a charter school;
84.6    (3) a Minnesota private college, notwithstanding clause (2), that grants two- or
84.7four-year degrees and is registered with the Minnesota Office of Higher Education under
84.8chapter 136A; community college, state university, or technical college governed by the
84.9Board of Trustees of the Minnesota State Colleges and Universities; or the University
84.10of Minnesota;
84.11    (4) a nonprofit corporation subject to chapter 317A, described in section 317A.905,
84.12and exempt from federal income tax under section 501(c)(6) of the Internal Revenue Code
84.13of 1986, may authorize one or more charter schools if the charter school has operated
84.14for at least three years under a different authorizer and if the nonprofit corporation has
84.15existed for at least 25 years; or
84.16    (5) single-purpose authorizers that are charitable, nonsectarian organizations formed
84.17under section 501(c)(3) of the Internal Revenue Code of 1986 and incorporated in the state
84.18of Minnesota whose sole purpose is to charter schools. Eligible organizations interested
84.19in being approved as an authorizer under this paragraph must submit a proposal to the
84.20commissioner that includes the provisions of paragraph (c) and a five-year financial plan.
84.21Such authorizers shall consider and approve charter school applications using the criteria
84.22provided in subdivision 4 and shall not limit the applications it solicits, considers, or
84.23approves to any single curriculum, learning program, or method.
84.24    (c) An eligible authorizer under this subdivision must apply to the commissioner for
84.25approval as an authorizer before submitting any affidavit to the commissioner to charter
84.26a school. The application for approval as a charter school authorizer must demonstrate
84.27the applicant's ability to implement the procedures and satisfy the criteria for chartering a
84.28school under this section. The commissioner must approve or disapprove an application
84.29within 45 business days of the application deadline. If the commissioner disapproves
84.30the application, the commissioner must notify the applicant of the specific deficiencies
84.31in writing and the applicant then has 20 business days to address the deficiencies to the
84.32commissioner's satisfaction. After the 20 business days expire, the commissioner has 15
84.33business days to make a final decision to approve or disapprove the application. Failing to
84.34address the deficiencies to the commissioner's satisfaction makes an applicant ineligible to
84.35be an authorizer. The commissioner, in establishing criteria for approval, must consider
84.36the applicant's:
85.1    (1) capacity and infrastructure;
85.2    (2) application criteria and process;
85.3    (3) contracting process;
85.4    (4) ongoing oversight and evaluation processes; and
85.5    (5) renewal criteria and processes.
85.6    (d) An applicant must include in its application to the commissioner to be an
85.7approved authorizer at least the following:
85.8    (1) how chartering schools is a way for the organization to carry out its mission;
85.9    (2) a description of the capacity of the organization to serve as an authorizer,
85.10including the personnel who will perform the authorizing duties, their qualifications, the
85.11amount of time they will be assigned to this responsibility, and the financial resources
85.12allocated by the organization to this responsibility;
85.13    (3) a description of the application and review process the authorizer will use to
85.14make decisions regarding the granting of charters;
85.15    (4) a description of the type of contract it will arrange with the schools it charters
85.16that meets the provisions of subdivision 6;
85.17    (5) the process to be used for providing ongoing oversight of the school consistent
85.18with the contract expectations specified in clause (4) that assures that the schools chartered
85.19are complying with both the provisions of applicable law and rules, and with the contract;
85.20    (6) a description of the criteria and process the authorizer will use to grant expanded
85.21applications under subdivision 4, paragraph (j);
85.22    (7) the process for making decisions regarding the renewal or termination of
85.23the school's charter based on evidence that demonstrates the academic, organizational,
85.24and financial competency of the school, including its success in increasing student
85.25achievement and meeting the goals of the charter school agreement; and
85.26    (8) an assurance specifying that the organization is committed to serving as an
85.27authorizer for the full five-year term.
85.28    (e) A disapproved applicant under this section may resubmit an application during a
85.29future application period.
85.30    (f) If the governing board of an approved authorizer votes to withdraw as an
85.31approved authorizer for a reason unrelated to any cause under subdivision 23, the
85.32authorizer must notify all its chartered schools and the commissioner in writing by July
85.3315 of its intent to withdraw as an authorizer on June 30 in the next calendar year. The
85.34commissioner may approve the transfer of a charter school to a new authorizer under this
85.35paragraph after the new authorizer submits an affidavit to the commissioner.
85.36    (g) The authorizer must participate in department-approved training.
86.1    (h) An authorizer that chartered a school before August 1, 2009, must apply by
86.2June 30, 2012, to the commissioner for approval, under paragraph (c), to continue as an
86.3authorizer under this section. For purposes of this paragraph, an authorizer that fails to
86.4submit a timely application is ineligible to charter a school.
86.5    (i) (h) The commissioner shall review an authorizer's performance every five years
86.6in a manner and form determined by the commissioner and may review an authorizer's
86.7performance more frequently at the commissioner's own initiative or at the request of a
86.8charter school operator, charter school board member, or other interested party. The
86.9commissioner, after completing the review, shall transmit a report with findings to the
86.10authorizer. If, consistent with this section, the commissioner finds that an authorizer has
86.11not fulfilled the requirements of this section, the commissioner may subject the authorizer
86.12to corrective action, which may include terminating the contract with the charter school
86.13board of directors of a school it chartered. The commissioner must notify the authorizer
86.14in writing of any findings that may subject the authorizer to corrective action and
86.15the authorizer then has 15 business days to request an informal hearing before the
86.16commissioner takes corrective action. If the commissioner terminates a contract between
86.17an authorizer and a charter school under this paragraph, the commissioner may assist the
86.18charter school in acquiring a new authorizer.
86.19    (j) (i) The commissioner may at any time take corrective action against an authorizer,
86.20including terminating an authorizer's ability to charter a school for:
86.21    (1) failing to demonstrate the criteria under paragraph (c) under which the
86.22commissioner approved the authorizer;
86.23    (2) violating a term of the chartering contract between the authorizer and the charter
86.24school board of directors;
86.25    (3) unsatisfactory performance as an approved authorizer; or
86.26    (4) any good cause shown that provides the commissioner a legally sufficient reason
86.27to take corrective action against an authorizer.
86.28    Subd. 4. Formation of school. (a) An authorizer, after receiving an application from
86.29a school developer, may charter a licensed teacher under section 122A.18, subdivision
86.301
, or a group of individuals that includes one or more licensed teachers under section
86.31122A.18, subdivision 1 , to operate a school subject to the commissioner's approval of the
86.32authorizer's affidavit under paragraph (b). The school must be organized and operated as a
86.33nonprofit corporation under chapter 317A and the provisions under the applicable chapter
86.34shall apply to the school except as provided in this section.
87.1    Notwithstanding sections 465.717 and 465.719, a school district, subject to this
87.2section and section 124D.11, may create a corporation for the purpose of establishing a
87.3charter school.
87.4    (b) Before the operators may establish and operate a school, the authorizer must file
87.5an affidavit with the commissioner stating its intent to charter a school. An authorizer
87.6must file a separate affidavit for each school it intends to charter. The affidavit must state
87.7the terms and conditions under which the authorizer would charter a school and how the
87.8authorizer intends to oversee the fiscal and student performance of the charter school and to
87.9comply with the terms of the written contract between the authorizer and the charter school
87.10board of directors under subdivision 6. The commissioner must approve or disapprove the
87.11authorizer's affidavit within 60 business days of receipt of the affidavit. If the commissioner
87.12disapproves the affidavit, the commissioner shall notify the authorizer of the deficiencies
87.13in the affidavit and the authorizer then has 20 business days to address the deficiencies.
87.14If the authorizer does not address deficiencies to the commissioner's satisfaction, the
87.15commissioner's disapproval is final. Failure to obtain commissioner approval precludes an
87.16authorizer from chartering the school that is the subject of this affidavit.
87.17    (c) The authorizer may prevent an approved charter school from opening for
87.18operation if, among other grounds, the charter school violates this section or does not meet
87.19the ready-to-open standards that are part of the authorizer's oversight and evaluation
87.20process or are stipulated in the charter school contract.
87.21    (d) The operators authorized to organize and operate a school, before entering into
87.22a contract or other agreement for professional or other services, goods, or facilities,
87.23must incorporate as a nonprofit corporation under chapter 317A and must establish a
87.24board of directors composed of at least five members who are not related parties until a
87.25timely election for members of the ongoing charter school board of directors is held
87.26according to the school's articles and bylaws under paragraph (f). A charter school board
87.27of directors must be composed of at least five members who are not related parties.
87.28Staff members employed at the school, including teachers providing instruction under a
87.29contract with a cooperative, members of the board of directors, and all parents or legal
87.30guardians of children enrolled in the school are the voters eligible to elect the members
87.31of the school's board of directors. A charter school must notify eligible voters of the
87.32school board election dates at least 30 days before the election. Board of director meetings
87.33must comply with chapter 13D.
87.34    (e) A charter school shall publish and maintain on the school's official Web site: (1)
87.35the minutes of meetings of the board of directors, and of members and committees having
87.36any board-delegated authority, for at least one calendar year from the date of publication;
88.1(2) directory information for members of the board of directors and committees having
88.2board-delegated authority; and (3) identifying and contact information for the school's
88.3authorizer. Identifying and contact information for the school's authorizer must be
88.4included in other school materials made available to the public. Upon request of an
88.5individual, the charter school must also make available in a timely fashion financial
88.6statements showing all operations and transactions affecting income, surplus, and deficit
88.7during the school's last annual accounting period; and a balance sheet summarizing assets
88.8and liabilities on the closing date of the accounting period. A charter school also must post
88.9on its official Web site information identifying its authorizer and indicate how to contact
88.10that authorizer and include that same information about its authorizer in other school
88.11materials that it makes available to the public.
88.12    (f) Every charter school board member shall attend ongoing annual training
88.13throughout the member's term on the board governance, including. All new board
88.14members shall attend initial training on the board's role and responsibilities, employment
88.15policies and practices, and financial management. A new board member who does not
88.16begin the required initial training within six months after being seated and complete that
88.17training within 12 months of being seated on the board is automatically ineligible to
88.18continue to serve as a board member. The school shall include in its annual report the
88.19training attended by each board member during the previous year.
88.20    (g) The ongoing board must be elected before the school completes its third year of
88.21operation. Board elections must be held during the school year but may not be conducted
88.22on days when the school is closed for holidays, breaks, or vacations. The charter school
88.23board of directors shall be composed of at least five nonrelated members and include: (i)
88.24at least one licensed teacher employed as a teacher at the school or a licensed teacher
88.25 providing instruction under contract between the charter school and a cooperative; (ii) the
88.26 at least one parent or legal guardian of a student enrolled in the charter school who is not an
88.27employee of the charter school; and (iii) an at least one interested community member who
88.28 resides in Minnesota and is not employed by the charter school and does not have a child
88.29enrolled in the school. The board may be a teacher majority board composed may include
88.30a majority of teachers, parents, or community members as described in this paragraph or it
88.31may have no clear majority. The chief financial officer and the chief administrator may only
88.32serve as ex-officio nonvoting board members and may not serve as a voting member of the
88.33board. No charter school employees shall not serve on the board unless other than teachers
88.34under item (i) applies. Contractors providing facilities, goods, or services to a charter
88.35school shall not serve on the board of directors of the charter school. Board bylaws shall
89.1outline the process and procedures for changing the board's governance model structure,
89.2consistent with chapter 317A. A board may change its governance model structure only:
89.3    (1) by a majority vote of the board of directors and a majority vote of the licensed
89.4teachers employed by the school as teachers, including licensed teachers providing
89.5instruction under a contract between the school and a cooperative; and
89.6    (2) with the authorizer's approval.
89.7    Any change in board governance structure must conform with the composition of
89.8the board structure established under this paragraph.
89.9    (h) The granting or renewal of a charter by an authorizer must not be conditioned
89.10upon the bargaining unit status of the employees of the school.
89.11    (i) The granting or renewal of a charter school by an authorizer must not be
89.12contingent on the charter school being required to contract, lease, or purchase services
89.13or facilities from the authorizer or to enter into a contract with a corporation, contractor,
89.14or individual with which the authorizer has a financial relationship or arrangement. Any
89.15potential contract, lease, or purchase of service from an authorizer must be disclosed to
89.16the commissioner, accepted through an open bidding process, and be a separate contract
89.17from the charter contract. The school must document the open bidding process it used in
89.18awarding the contract. The authorizer must document that the bid terms were competitive
89.19in relation to the market and that the authorizer makes the same terms available to
89.20schools that it does not authorize. An authorizer must not enter into a contract to provide
89.21management and financial services for a school that it authorizes, unless the school
89.22documents that it received at least two competitive bids.
89.23    (j) An authorizer may permit the board of directors of a charter school to expand
89.24the operation of the charter school to additional sites or to add additional grades at the
89.25school beyond those described in the authorizer's original affidavit as approved by
89.26the commissioner only after submitting a supplemental affidavit for approval to the
89.27commissioner in a form and manner prescribed by the commissioner. The supplemental
89.28affidavit must document that:
89.29    (1) the proposed expansion plan demonstrates need and projected enrollment;
89.30    (2) the expansion is warranted, at a minimum, by longitudinal data demonstrating
89.31students' improved academic performance and growth on statewide assessments under
89.32chapter 120B;
89.33    (3) the charter school is financially sound and the financing it needs to implement
89.34the proposed expansion exists; and
89.35    (4) the charter school has the governance structure and management capacity to
89.36carry out its expansion.
90.1    (k) The commissioner shall have 30 business days to review and comment on the
90.2supplemental affidavit. The commissioner shall notify the authorizer of any deficiencies in
90.3the supplemental affidavit and the authorizer then has 20 business days to address, to the
90.4commissioner's satisfaction, any deficiencies in the supplemental affidavit. The school
90.5may not expand grades or add sites until the commissioner has approved the supplemental
90.6affidavit. The commissioner's approval or disapproval of a supplemental affidavit is final.
90.7    Subd. 4a. Conflict of interest. (a) An individual is prohibited from serving as a
90.8member of the charter school board of directors if the individual, an immediate family
90.9member, or the individual's partner is an a full or part owner, employee or agent of, or
90.10a contractor principal with a for-profit or nonprofit entity or individual independent
90.11contractor with whom the charter school contracts, directly or indirectly, for professional
90.12services, goods, or facilities. An individual is prohibited from serving as a board member
90.13if an immediate family member is an employee of the school or is an individual with
90.14whom the school contracts, directly or indirectly, through full or part ownership, for
90.15professional services, goods, or facilities. A violation of this prohibition renders a contract
90.16voidable at the option of the commissioner or the charter school board of directors. A
90.17member of a charter school board of directors who violates this prohibition is individually
90.18liable to the charter school for any damage caused by the violation.
90.19    (b) No member of the board of directors, employee, officer, or agent of a charter
90.20school shall participate in selecting, awarding, or administering a contract if a conflict
90.21of interest exists. A conflict exists when:
90.22    (1) the board member, employee, officer, or agent;
90.23    (2) the immediate family of the board member, employee, officer, or agent;
90.24    (3) the partner of the board member, employee, officer, or agent; or
90.25    (4) an organization that employs, or is about to employ any individual in clauses
90.26(1) to (3),
90.27has a financial or other interest in the entity with which the charter school is contracting.
90.28A violation of this prohibition renders the contract void.
90.29    (c) Any employee, agent, or board member of the authorizer who participates
90.30in the initial review, approval, ongoing oversight, evaluation, or the charter renewal or
90.31nonrenewal process or decision is ineligible to serve on the board of directors of a school
90.32chartered by that authorizer.
90.33    (d) An individual may serve as a member of the board of directors if no conflict of
90.34interest under paragraph (a) exists.
90.35    (e) The conflict of interest provisions under this subdivision do not apply to
90.36compensation paid to a teacher employed as a teacher by the charter school who or a
91.1teacher who provides instructional services to the charter school through a cooperative
91.2formed under chapter 308A when the teacher also serves as a member of on the charter
91.3school board of directors.
91.4    (f) The conflict of interest provisions under this subdivision do not apply to a teacher
91.5who provides services to a charter school through a cooperative formed under chapter
91.6308A when the teacher also serves on the charter school board of directors.
91.7    Subd. 5. Conversion of existing schools. A board of an independent or special
91.8school district may convert one or more of its existing schools to charter schools under
91.9this section if 60 percent of the full-time teachers at the school sign a petition seeking
91.10conversion. The conversion must occur at the beginning of an academic year.
91.11    Subd. 6. Charter contract. The authorization for a charter school must be in the
91.12form of a written contract signed by the authorizer and the board of directors of the charter
91.13school. The contract must be completed within 45 business days of the commissioner's
91.14approval of the authorizer's affidavit. The authorizer shall submit to the commissioner a
91.15copy of the signed charter contract within ten business days of its execution. The contract
91.16for a charter school must be in writing and contain at least the following:
91.17(1) a declaration that the charter school will carry out the primary purpose in
91.18subdivision 1 and how the school will report its implementation of the primary purpose;
91.19    (1) (2) a declaration of the any additional purposes in subdivision 1 that the school
91.20intends to carry out and how the school will report its implementation of those purposes;
91.21    (2) (3) a description of the school program and the specific academic and
91.22nonacademic outcomes that pupils must achieve;
91.23    (3) (4) a statement of admission policies and procedures;
91.24    (4) (5) a governance, management, and administration plan for the school;
91.25    (5) (6) signed agreements from charter school board members to comply with all
91.26federal and state laws governing organizational, programmatic, and financial requirements
91.27applicable to charter schools;
91.28    (6) (7) the criteria, processes, and procedures that the authorizer will use for
91.29ongoing oversight of operational, financial, and academic performance to monitor and
91.30evaluate the fiscal, operational, and academic performance consistent with subdivision
91.3115, paragraphs (a) and (b);
91.32    (7) (8) for contract renewal, the formal written performance evaluation of the school
91.33that is a prerequisite for reviewing a charter contract under subdivision 15;
91.34    (8) (9) types and amounts of insurance liability coverage to be obtained by the
91.35charter school, consistent with subdivision 8, paragraph (k);
92.1    (9) (10) consistent with subdivision 25, paragraph (d), a provision to indemnify and
92.2hold harmless the authorizer and its officers, agents, and employees from any suit, claim,
92.3or liability arising from any operation of the charter school, and the commissioner and
92.4department officers, agents, and employees notwithstanding section 3.736;
92.5    (10) (11) the term of the initial contract, which may be up to five years plus an
92.6additional preoperational planning year, and up to five years for a renewed contract or a
92.7contract with a new authorizer after a transfer of authorizers, if warranted by the school's
92.8academic, financial, and operational performance;
92.9    (11) (12) how the board of directors or the operators of the charter school will
92.10provide special instruction and services for children with a disability under sections
92.11125A.03 to 125A.24, and 125A.65, a description of the financial parameters within
92.12which the charter school will operate to provide the special instruction and services to
92.13children with a disability;
92.14    (12) the process and criteria the authorizer intends to use to monitor and evaluate the
92.15fiscal and student performance of the charter school, consistent with subdivision 15; and
92.16(13) the specific conditions for contract renewal, which identify performance under
92.17the primary purpose of subdivision 1 as the most important factor in determining contract
92.18renewal; and
92.19    (13) (14) the plan for an orderly closing of the school under chapter 317A, if
92.20 whether the closure is a termination for cause, a voluntary termination, or a nonrenewal
92.21of the contract, and that includes establishing the responsibilities of the school board of
92.22directors and the authorizer and notifying the commissioner, authorizer, school district in
92.23which the charter school is located, and parents of enrolled students about the closure,
92.24the transfer of student records to students' resident districts, and procedures for closing
92.25financial operations.
92.26    Subd. 6a. Audit report. (a) The charter school must submit an audit report to the
92.27commissioner and its authorizer by December 31 each year.
92.28    (b) The charter school, with the assistance of the auditor conducting the audit,
92.29must include with the report, as supplemental information, a copy of all charter school
92.30agreements for corporate management services, including parent company or other
92.31administrative, financial, and staffing services. If the entity that provides the professional
92.32services to the charter school is exempt from taxation under section 501 of the Internal
92.33Revenue Code of 1986, that entity must file with the commissioner by February 15 a copy
92.34of the annual return required under section 6033 of the Internal Revenue Code of 1986.
92.35    (c) A charter school independent audit report shall include audited financial data of
92.36an affiliated building corporation or other component unit.
93.1    (c) (d) If the audit report finds that a material weakness exists in the financial
93.2reporting systems of a charter school, the charter school must submit a written report to
93.3the commissioner explaining how the material weakness will be resolved. An auditor,
93.4as a condition of providing financial services to a charter school, must agree to make
93.5available information about a charter school's financial audit to the commissioner and
93.6authorizer upon request.
93.7    Subd. 7. Public status; exemption from statutes and rules. A charter school is
93.8a public school and is part of the state's system of public education. A charter school is
93.9exempt from all statutes and rules applicable to a school, school board, or school district
93.10unless a statute or rule is made specifically applicable to a charter school or is included
93.11in this section.
93.12    Subd. 8. Federal, state, and local requirements. (a) A charter school shall meet all
93.13federal, state, and local health and safety requirements applicable to school districts.
93.14    (b) A school must comply with statewide accountability requirements governing
93.15standards and assessments in chapter 120B.
93.16    (c) A school authorized by a school board may be located in any district, unless the
93.17school board of the district of the proposed location disapproves by written resolution.
93.18    (d) A charter school must be nonsectarian in its programs, admission policies,
93.19employment practices, and all other operations. An authorizer may not authorize a charter
93.20school or program that is affiliated with a nonpublic sectarian school or a religious
93.21institution. A charter school student must be released for religious instruction, consistent
93.22with section 120A.22, subdivision 12, clause (3).
93.23    (e) Charter schools must not be used as a method of providing education or
93.24generating revenue for students who are being home-schooled. This paragraph does not
93.25apply to shared time aid under section 126C.19.
93.26    (f) The primary focus of a charter school must be to provide a comprehensive
93.27program of instruction for at least one grade or age group from five through 18 years
93.28of age. Instruction may be provided to people younger than five years and older than
93.2918 years of age.
93.30    (g) A charter school may not charge tuition.
93.31    (h) A charter school is subject to and must comply with chapter 363A and section
93.32121A.04 .
93.33    (i) A charter school is subject to and must comply with the Pupil Fair Dismissal
93.34Act, sections 121A.40 to 121A.56, and the Minnesota Public School Fee Law, sections
93.35123B.34 to 123B.39.
94.1    (j) A charter school is subject to the same financial audits, audit procedures, and
94.2audit requirements as a district, except as required under subdivision 6a. Audits must be
94.3conducted in compliance with generally accepted governmental auditing standards, the
94.4federal Single Audit Act, if applicable, and section 6.65. A charter school is subject
94.5to and must comply with sections 15.054; 118A.01; 118A.02; 118A.03; 118A.04;
94.6118A.05 ; 118A.06; 471.38; 471.391; 471.392; and 471.425. The audit must comply with
94.7the requirements of sections 123B.75 to 123B.83, except to the extent deviations are
94.8necessary because of the program at the school. Deviations must be approved by the
94.9commissioner and authorizer. The Department of Education, state auditor, legislative
94.10auditor, or authorizer may conduct financial, program, or compliance audits. A charter
94.11school determined to be in statutory operating debt under sections 123B.81 to 123B.83
94.12must submit a plan under section 123B.81, subdivision 4.
94.13    (k) A charter school is a district for the purposes of tort liability under chapter 466.
94.14    (l) A charter school must comply with chapters 13 and 13D; and sections 120A.22,
94.15subdivision 7
; 121A.75; and 260B.171, subdivisions 3 and 5.
94.16    (m) A charter school is subject to the Pledge of Allegiance requirement under
94.17section 121A.11, subdivision 3.
94.18    (n) A charter school offering online courses or programs must comply with section
94.19124D.095 .
94.20    (o) A charter school and charter school board of directors are subject to chapter 181.
94.21    (p) A charter school must comply with section 120A.22, subdivision 7, governing
94.22the transfer of students' educational records and sections 138.163 and 138.17 governing
94.23the management of local records.
94.24    (q) A charter school that provides early childhood health and developmental
94.25screening must comply with sections 121A.16 to 121A.19.
94.26    (r) A charter school that provides school-sponsored youth athletic activities must
94.27comply with section 121A.38.
94.28    (s) A charter school is subject to and must comply with continuing truant notification
94.29under section 260A.03.
94.30    Subd. 8a. Aid reduction. The commissioner may reduce a charter school's state aid
94.31under section 127A.42 or 127A.43 if the charter school board fails to correct a violation
94.32under this section.
94.33    Subd. 8b. Aid reduction for violations. The commissioner may reduce a charter
94.34school's state aid by an amount not to exceed 60 percent of the charter school's basic
94.35revenue for the period of time that a violation of law occurs.
94.36    Subd. 9. Admission requirements. (a) A charter school may limit admission to:
95.1    (1) pupils within an age group or grade level;
95.2    (2) pupils who are eligible to participate in the graduation incentives program under
95.3section 124D.68; or
95.4    (3) residents of a specific geographic area in which the school is located when the
95.5majority of students served by the school are members of underserved populations.
95.6    (b) A charter school shall enroll an eligible pupil who submits a timely application,
95.7unless the number of applications exceeds the capacity of a program, class, grade level, or
95.8building. In this case, pupils must be accepted by lot. The charter school must develop
95.9and publish, including on its Web site, a lottery policy and process that it must use when
95.10accepting pupils by lot.
95.11    (c) A charter school shall give enrollment preference to a sibling of an enrolled pupil
95.12and to a foster child of that pupil's parents and may give preference for enrolling children
95.13of the school's staff before accepting other pupils by lot.
95.14    (d) A person shall not be admitted to a charter school: (1) as a kindergarten pupil,
95.15unless the pupil is at least five years of age on September 1 of the calendar year in which
95.16the school year for which the pupil seeks admission commences; or (2) as a first grade
95.17student, unless the pupil is at least six years of age on September 1 of the calendar year in
95.18which the school year for which the pupil seeks admission commences or has completed
95.19kindergarten; except that a charter school may establish and publish on its Web site a
95.20policy for admission of selected pupils at an earlier age, consistent with the enrollment
95.21process in paragraphs (b) and (c) and section 124D.02, subdivision 1.
95.22    (e) Except as permitted in paragraph (d), a charter school may not limit admission
95.23to pupils on the basis of intellectual ability, measures of achievement or aptitude, or
95.24athletic ability and may not establish any criteria or requirements for admission that are
95.25inconsistent with this subdivision.
95.26    (f) The charter school shall not distribute any services or goods of value to students,
95.27parents, or guardians as an inducement, term, or condition of enrolling a student in a
95.28charter school.
95.29    Subd. 10. Pupil performance. A charter school must design its programs to at
95.30least meet the outcomes adopted by the commissioner for public school students. In
95.31the absence of the commissioner's requirements, the school must meet the outcomes
95.32contained in the contract with the authorizer. The achievement levels of the outcomes
95.33contained in the contract may exceed the achievement levels of any outcomes adopted by
95.34the commissioner for public school students.
95.35    Subd. 11. Employment and other operating matters. (a) A charter school must
95.36employ or contract with necessary teachers, as defined by section 122A.15, subdivision 1,
96.1who hold valid licenses to perform the particular service for which they are employed in
96.2the school. The charter school's state aid may be reduced under section 127A.43 if the
96.3school employs a teacher who is not appropriately licensed or approved by the board of
96.4teaching. The school may employ necessary employees who are not required to hold
96.5teaching licenses to perform duties other than teaching and may contract for other services.
96.6The school may discharge teachers and nonlicensed employees. The charter school board
96.7is subject to section 181.932. When offering employment to a prospective employee, a
96.8charter school must give that employee a written description of the terms and conditions
96.9of employment and the school's personnel policies.
96.10    (b) A person, without holding a valid administrator's license, may perform
96.11administrative, supervisory, or instructional leadership duties. The board of directors shall
96.12establish qualifications for persons that hold administrative, supervisory, or instructional
96.13leadership roles. The qualifications shall include at least the following areas: instruction
96.14and assessment; human resource and personnel management; financial management;
96.15legal and compliance management; effective communication; and board, authorizer, and
96.16community relationships. The board of directors shall use those qualifications as the basis
96.17for job descriptions, hiring, and performance evaluations of those who hold administrative,
96.18supervisory, or instructional leadership roles. The board of directors and an individual
96.19who does not hold a valid administrative license and who serves in an administrative,
96.20supervisory, or instructional leadership position shall develop a professional development
96.21plan. Documentation of the implementation of the professional development plan of these
96.22persons shall be included in the school's annual report.
96.23    (c) The board of directors also shall decide and be responsible for policy matters
96.24related to the operation of the school, including budgeting, curriculum programming,
96.25personnel, and operating procedures. The board shall adopt a policy on nepotism in
96.26employment. The board shall adopt personnel evaluation policies and practices that,
96.27at a minimum:
96.28(1) carry out the school's mission and goals;
96.29(2) evaluate the execution of charter contract goals and commitments;
96.30(3) evaluate student achievement, postsecondary and workforce readiness, and
96.31engagement goals; and
96.32(4) provide professional development related to the individual's job responsibilities.
96.33    Subd. 12. Pupils with a disability. A charter school must comply with sections
96.34125A.02 , 125A.03 to 125A.24, and 125A.65 and rules relating to the education of pupils
96.35with a disability as though it were a district.
97.1    Subd. 13. Length of school year. A charter school must provide instruction each
97.2year for at least the number of hours required by section 120A.41. It may provide
97.3instruction throughout the year according to sections 124D.12 to 124D.127 or 124D.128.
97.4    Subd. 14. Annual public reports. A charter school must publish an annual report
97.5approved by the board of directors. The annual report must at least include information
97.6on school enrollment, student attrition, governance and management, staffing, finances,
97.7academic performance, operational performance, innovative practices and implementation,
97.8and future plans. A charter school must post the annual report on the school's official
97.9Web site. A charter school must also distribute the annual report by publication, mail, or
97.10electronic means to the commissioner, its authorizer, school employees, and parents and
97.11legal guardians of students enrolled in the charter school and must also post the report on
97.12the charter school's official Web site. The reports are public data under chapter 13.
97.13    Subd. 15. Review and comment. (a) The authorizer shall provide a formal written
97.14evaluation of the school's performance before the authorizer renews the charter contract.
97.15The department must review and comment on the authorizer's evaluation process at the
97.16time the authorizer submits its application for approval and each time the authorizer
97.17undergoes its five-year review under subdivision 3, paragraph (i).
97.18    (b) An authorizer shall monitor and evaluate the fiscal, operational, and student
97.19performance of the school, and may for this purpose annually assess a charter school
97.20a fee according to paragraph (c). The agreed-upon fee structure must be stated in the
97.21charter school contract.
97.22    (c) The fee that each charter school pays to an authorizer each year is the greater of:
97.23    (1) the basic formula allowance for that year; or
97.24    (2) the lesser of:
97.25    (i) the maximum fee factor times the basic formula allowance for that year; or
97.26    (ii) the fee factor times the basic formula allowance for that year times the charter
97.27school's adjusted marginal cost pupil units for that year. The fee factor equals .005 in fiscal
97.28year 2010, .01 in fiscal year 2011, .013 in fiscal year 2012, and .015 in fiscal years 2013
97.29and later. The maximum fee factor equals 1.5 in fiscal year 2010, 2.0 in fiscal year 2011,
97.303.0 in fiscal year 2012, and 4.0 in fiscal years 2013 and later.
97.31    (d) An authorizer may not assess a fee for any required services other than as
97.32provided in this subdivision.
97.33    (e) For the preoperational planning period, after a school is chartered, the authorizer
97.34may assess a charter school a fee equal to the basic formula allowance.
97.35    (f) By September 30 of each year, an authorizer shall submit to the commissioner a
97.36statement of income and expenditures related to chartering activities during the previous
98.1school year ending June 30. A copy of the statement shall be given to all schools chartered
98.2by the authorizer.
98.3    Subd. 16. Transportation. (a) A charter school after its first fiscal year of operation
98.4by March 1 of each fiscal year and a charter school by July 1 of its first fiscal year of
98.5operation must notify the district in which the school is located and the Department of
98.6Education if it will provide its own transportation or use the transportation services of the
98.7district in which it is located for the fiscal year.
98.8    (b) If a charter school elects to provide transportation for pupils, the transportation
98.9must be provided by the charter school within the district in which the charter school is
98.10located. The state must pay transportation aid to the charter school according to section
98.11124D.11, subdivision 2 .
98.12    For pupils who reside outside the district in which the charter school is located, the
98.13charter school is not required to provide or pay for transportation between the pupil's
98.14residence and the border of the district in which the charter school is located. A parent
98.15may be reimbursed by the charter school for costs of transportation from the pupil's
98.16residence to the border of the district in which the charter school is located if the pupil is
98.17from a family whose income is at or below the poverty level, as determined by the federal
98.18government. The reimbursement may not exceed the pupil's actual cost of transportation
98.19or 15 cents per mile traveled, whichever is less. Reimbursement may not be paid for
98.20more than 250 miles per week.
98.21    At the time a pupil enrolls in a charter school, the charter school must provide the
98.22parent or guardian with information regarding the transportation.
98.23    (c) If a charter school does not elect to provide transportation, transportation for
98.24pupils enrolled at the school must be provided by the district in which the school is
98.25located, according to sections 123B.88, subdivision 6, and 124D.03, subdivision 8, for a
98.26pupil residing in the same district in which the charter school is located. Transportation
98.27may be provided by the district in which the school is located, according to sections
98.28123B.88, subdivision 6 , and 124D.03, subdivision 8, for a pupil residing in a different
98.29district. If the district provides the transportation, the scheduling of routes, manner and
98.30method of transportation, control and discipline of the pupils, and any other matter relating
98.31to the transportation of pupils under this paragraph shall be within the sole discretion,
98.32control, and management of the district.
98.33    Subd. 17. Leased space. A charter school may lease space from an independent
98.34or special school board eligible to be an authorizer, other public organization, private,
98.35nonprofit nonsectarian organization, private property owner, or a sectarian organization
98.36if the leased space is constructed as a school facility. The department must review and
99.1approve or disapprove leases, including modifications and renewals prior to execution of
99.2the lease by the lessee and lessor, in a timely manner. Leases for a school year must be
99.3submitted to the department no later than July 1 before that school year. The commissioner
99.4may waive this date based on an appeal by a charter school when circumstances beyond
99.5the control of the charter school do not allow a lease agreement to be written prior to that
99.6date. The commissioner shall not approve a facility lease that does not have (1) a sum
99.7certain annual cost and (2) an escape clause that may be exercised by the charter school in
99.8the event of nonrenewal or termination of the charter school contract.
99.9    Subd. 17a. Affiliated nonprofit building corporation. (a) Before a charter school
99.10may organize an affiliated nonprofit building corporation (i) to renovate or purchase an
99.11existing facility to serve as a school or (ii) to expand an existing building or construct
99.12a new school facility, an authorizer must submit an affidavit to the commissioner for
99.13approval in the form and manner the commissioner prescribes, and consistent with
99.14paragraphs (b) and (c) or (d).
99.15    (b) An affiliated nonprofit building corporation under this subdivision must:
99.16    (1) be incorporated under section 317A;
99.17    (2) comply with applicable Internal Revenue Service regulations, including
99.18regulations for "supporting organizations" as defined by the Internal Revenue Service;
99.19    (3) submit to the commissioner each fiscal year a list of current board members
99.20and a copy of its annual audit; and
99.21    (4) comply with government data practices law under chapter 13.
99.22An affiliated nonprofit building corporation must not serve as the leasing agent for
99.23property or facilities it does not own. A charter school that leases a facility from an
99.24affiliated nonprofit building corporation that does not own the leased facility is ineligible
99.25to receive charter school lease aid. The state is immune from liability resulting from a
99.26contract between a charter school and an affiliated nonprofit building corporation.
99.27    (c) A charter school may organize an affiliated nonprofit building corporation to
99.28renovate or purchase an existing facility to serve as a school if the charter school:
99.29    (1) has been operating for at least five consecutive school years;
99.30    (2) has had a net positive unreserved general fund balance as of June 30 in the
99.31preceding five fiscal years;
99.32    (3) has a long-range strategic and financial plan;
99.33    (4) completes a feasibility study of available buildings;
99.34    (5) documents enrollment projections and the need to use an affiliated building
99.35corporation to renovate or purchase an existing facility to serve as a school; and
100.1(6) has a plan for the renovation or purchase, which describes the parameters and
100.2budget for the project.
100.3    (d) A charter school may organize an affiliated nonprofit building corporation to
100.4expand an existing school facility or construct a new school facility if the charter school:
100.5    (1) demonstrates the lack of facilities available to serve as a school;
100.6    (2) has been operating for at least eight consecutive school years;
100.7    (3) has had a net positive unreserved general fund balance as of June 30 in the
100.8preceding five fiscal years;
100.9    (4) completes a feasibility study of facility options;
100.10    (5) has a long-range strategic and financial plan that includes enrollment projections
100.11and demonstrates the need for constructing a new school facility; and
100.12    (6) has a plan for the expansion or new school facility, which describes the
100.13parameters and budget for the project.
100.14    Subd. 17b. Positive review and comment. (e) A charter school or an affiliated
100.15nonprofit building corporation organized by a charter school must not initiate an
100.16installment contract for purchase, or a lease agreement, or solicit bids for new construction,
100.17expansion, or remodeling of an educational facility that requires an expenditure in
100.18excess of $1,400,000, unless it meets the criteria in subdivision 17a, paragraph (b) and
100.19paragraph (c) or (d), as applicable, and receives a positive review and comment from
100.20the commissioner under section 123B.71.
100.21    Subd. 19. Disseminate information. (a) The authorizer, the operators, Authorizers
100.22 and the department must disseminate information to the public on how to form and
100.23operate a charter school. Charter schools must disseminate information about how to
100.24use the offerings of a charter school. Targeted groups include low-income families and
100.25communities, students of color, and students who are at risk of academic failure.
100.26    (b) Authorizers, operators, and the department also may disseminate information
100.27about the successful best practices in teaching and learning demonstrated by charter
100.28schools.
100.29    Subd. 20. Leave to teach in a charter school. If a teacher employed by a district
100.30makes a written request for an extended leave of absence to teach at a charter school,
100.31the district must grant the leave. The district must grant a leave not to exceed a total of
100.32five years. Any request to extend the leave shall be granted only at the discretion of the
100.33school board. The district may require that the request for a leave or extension of leave
100.34be made before February 1 in the school year preceding the school year in which the
100.35teacher intends to leave, or February 1 of the calendar year in which the teacher's leave is
100.36scheduled to terminate. Except as otherwise provided in this subdivision and except for
101.1section 122A.46, subdivision 7, the leave is governed by section 122A.46, including, but
101.2not limited to, reinstatement, notice of intention to return, seniority, salary, and insurance.
101.3    During a leave, the teacher may continue to aggregate benefits and credits in the
101.4Teachers' Retirement Association account under chapters 354 and 354A, consistent with
101.5subdivision 22.
101.6    Subd. 21. Collective bargaining. Employees of the board of directors of a charter
101.7school may, if otherwise eligible, organize under chapter 179A and comply with its
101.8provisions. The board of directors of a charter school is a public employer, for the
101.9purposes of chapter 179A, upon formation of one or more bargaining units at the school.
101.10Bargaining units at the school must be separate from any other units within an authorizing
101.11district, except that bargaining units may remain part of the appropriate unit within an
101.12authorizing district, if the employees of the school, the board of directors of the school,
101.13the exclusive representative of the appropriate unit in the authorizing district, and the
101.14board of the authorizing district agree to include the employees in the appropriate unit of
101.15the authorizing district.
101.16    Subd. 22. Teacher and other employee retirement. (a) Teachers in a charter
101.17school must be public school teachers for the purposes of chapters 354 and 354A.
101.18    (b) Except for teachers under paragraph (a), employees in a charter school must be
101.19public employees for the purposes of chapter 353.
101.20    Subd. 23. Causes for nonrenewal or termination of charter school contract. (a)
101.21The duration of the contract with an authorizer must be for the term contained in the
101.22contract according to subdivision 6. The authorizer may or may not renew a contract at
101.23the end of the term for any ground listed in paragraph (b). An authorizer may unilaterally
101.24terminate a contract during the term of the contract for any ground listed in paragraph (b).
101.25At least 60 business days before not renewing or terminating a contract, the authorizer
101.26shall notify the board of directors of the charter school of the proposed action in writing.
101.27The notice shall state the grounds for the proposed action in reasonable detail and that the
101.28charter school's board of directors may request in writing an informal hearing before the
101.29authorizer within 15 business days of receiving notice of nonrenewal or termination of
101.30the contract. Failure by the board of directors to make a written request for an informal
101.31hearing within the 15-business-day period shall be treated as acquiescence to the proposed
101.32action. Upon receiving a timely written request for a hearing, the authorizer shall give ten
101.33business days' notice to the charter school's board of directors of the hearing date. The
101.34authorizer shall conduct an informal hearing before taking final action. The authorizer
101.35shall take final action to renew or not renew a contract no later than 20 business days
101.36before the proposed date for terminating the contract or the end date of the contract.
102.1    (b) A contract may be terminated or not renewed upon any of the following grounds:
102.2    (1) failure to meet demonstrate satisfactory academic achievement for all groups of
102.3students, including the requirements for pupil performance contained in the contract;
102.4    (2) failure to meet generally accepted standards of fiscal management;
102.5    (3) violations of law; or
102.6    (4) other good cause shown.
102.7    If a contract is terminated or not renewed under this paragraph, the school must be
102.8dissolved according to the applicable provisions of chapter 317A.
102.9    (c) If the authorizer and the charter school board of directors mutually agree to
102.10terminate or not renew the contract, a change in authorizers is allowed if the commissioner
102.11approves the change to a different eligible authorizer to authorize the charter school.
102.12Both parties must jointly submit their intent in writing to the commissioner to mutually
102.13terminate the contract. The authorizer that is a party to the existing contract must inform
102.14the proposed authorizer about the fiscal and operational status and student performance
102.15of the school. Before the commissioner determines whether to approve a change in
102.16authorizer, the proposed authorizer must identify any outstanding issues in the proposed
102.17charter contract that were unresolved in the previous charter contract and have the charter
102.18school agree to resolve those issues. If no change in authorizer is approved, the school
102.19must be dissolved according to applicable law and the terms of the contract.
102.20    (c) If the authorizer and the charter school board of directors mutually agree not to
102.21renew the contract, a change in authorizers is allowed. The authorizer and the school
102.22board must jointly submit a written and signed letter of their intent to the commissioner
102.23to mutually not renew the contract. The authorizer that is a party to the existing contract
102.24must inform the proposed authorizer about the fiscal, operational, and student performance
102.25status of the school, as well as any outstanding contractual obligations that exist. The
102.26charter contract between the proposed authorizer and the school must identify and provide
102.27a plan to address any outstanding obligations from the previous contract. The proposed
102.28contract must be submitted at least 105 business days before the end of the existing
102.29charter contract. The commissioner shall have 30 business days to review and make a
102.30determination. The proposed authorizer and the school shall have 15 business days to
102.31respond to the determination and address any issues identified by the commissioner. A
102.32final determination by the commissioner shall be made no later than 45 business days
102.33before the end of the current charter contract. If no change in authorizer is approved, the
102.34school and the current authorizer may withdraw their letter of nonrenewal and enter into a
102.35new contract. If the transfer of authorizers is not approved and the current authorizer and
103.1the school do not withdraw their letter and enter into a new contract, the school must be
103.2dissolved according to applicable law and the terms of the contract.
103.3    (d) The commissioner, after providing reasonable notice to the board of directors of
103.4a charter school and the existing authorizer, and after providing an opportunity for a public
103.5hearing, may terminate the existing contract between the authorizer and the charter school
103.6board if the charter school has a history of:
103.7    (1) failure to meet pupil performance requirements consistent with state law;
103.8    (2) financial mismanagement or failure to meet generally accepted standards of
103.9fiscal management; or
103.10    (3) repeated or major violations of the law.
103.11    Subd. 23a. Related party lease costs. (a) A charter school is prohibited from
103.12entering a lease of real property with a related party unless the lessor is a nonprofit
103.13corporation under chapter 317A or a cooperative under chapter 308A, and the lease cost is
103.14reasonable under section 124D.11, subdivision 4, clause (1).
103.15    (b) For purposes of this section and section 124D.11:
103.16    (1) "related party" means an affiliate or immediate relative of the other party in
103.17question, an affiliate of an immediate relative, or an immediate relative of an affiliate;
103.18    (2) "affiliate" means a person that directly or indirectly, through one or more
103.19intermediaries, controls, is controlled by, or is under common control with another person;
103.20    (3) "immediate family" means an individual whose relationship by blood, marriage,
103.21adoption, or partnering is no more remote than first cousin;
103.22    (4) "person" means an individual or entity of any kind; and
103.23    (5) "control" means the ability to affect the management, operations, or policy
103.24actions or decisions of a person, whether through ownership of voting securities, by
103.25contract, or otherwise.
103.26    (c) A lease of real property to be used for a charter school, not excluded in paragraph
103.27(a), must contain the following statement: "This lease is subject to Minnesota Statutes,
103.28section 124D.10, subdivision 23a."
103.29    (d) If a charter school enters into as lessee a lease with a related party and the
103.30charter school subsequently closes, the commissioner has the right to recover from the
103.31lessor any lease payments in excess of those that are reasonable under section 124D.11,
103.32subdivision 4
, clause (1).
103.33    Subd. 24. Pupil enrollment upon nonrenewal or termination of charter school
103.34contract. If a contract is not renewed or is terminated according to subdivision 23, a
103.35pupil who attended the school, siblings of the pupil, or another pupil who resides in the
103.36same place as the pupil may enroll in the resident district or may submit an application
104.1to a nonresident district according to section 124D.03 at any time. Applications and
104.2notices required by section 124D.03 must be processed and provided in a prompt manner.
104.3The application and notice deadlines in section 124D.03 do not apply under these
104.4circumstances. The closed charter school must transfer the student's educational records
104.5within ten business days of closure to the student's school district of residence where the
104.6records must be retained or transferred under section 120A.22, subdivision 7.
104.7    Subd. 25. Extent of specific legal authority. (a) The board of directors of a charter
104.8school may sue and be sued.
104.9    (b) The board may not levy taxes or issue bonds.
104.10    (c) The commissioner, an authorizer, members of the board of an authorizer in
104.11their official capacity, and employees of an authorizer are immune from civil or criminal
104.12liability with respect to all activities related to a charter school they approve or authorize.
104.13The board of directors shall obtain at least the amount of and types of insurance up to the
104.14applicable tort liability limits under chapter 466. The charter school board must submit
104.15a copy of the insurance policy to its authorizer and the commissioner before starting
104.16operations. The charter school board must submit changes in its insurance carrier or policy
104.17to its authorizer and the commissioner within 20 business days of the change.
104.18(d) Notwithstanding section 3.736, the charter school shall assume full liability for
104.19its activities and indemnify and hold harmless the authorizer and its officers, agents, and
104.20employees from any suit, claim, or liability arising from any operation of the charter school
104.21and the commissioner and department officers, agents, and employees. A charter school
104.22is not required to indemnify or hold harmless a state employee if the state would not be
104.23required to indemnify and hold the employee harmless under section 3.736, subdivision 9.
104.24    Subd. 27. Collaboration between charter school and school district. (a) A charter
104.25school board may voluntarily enter into a two-year, renewable agreement for collaboration
104.26to enhance student achievement with a school district within whose geographic boundary
104.27it operates.
104.28(b) A school district need not be an approved authorizer to enter into a collaboration
104.29agreement with a charter school. A charter school need not be authorized by the school
104.30district with which it seeks to collaborate.
104.31(c) A charter school authorizer is prohibited from requiring a collaboration agreement
104.32as a condition of entering into or renewing a charter contract as defined in subdivision 6.
104.33(d) Nothing in this subdivision or in the collaboration agreement may impact in any
104.34way the authority or autonomy of the charter school.
105.1(e) Nothing in this subdivision or in the collaboration agreement shall cause the state
105.2to pay twice for the same student, service, or facility or otherwise impact state funding, or
105.3the flow thereof, to the school district or the charter school.
105.4(f) The collaboration agreement may include, but need not be limited to,
105.5collaboration regarding facilities, transportation, training, student achievement,
105.6assessments, mutual performance standards, and other areas of mutual agreement.
105.7(g) The school district may include the academic performance of the students of a
105.8collaborative charter school site operating within the geographic boundaries of the school
105.9district, for purposes of student assessment and reporting to the state.
105.10(h) Districts, authorizers, or charter schools entering into a collaborative agreement
105.11are equally and collectively subject to the same state and federal accountability measures
105.12for student achievement, school performance outcomes, and school improvement
105.13strategies. The collaborative agreement and all accountability measures must be posted
105.14on the district, charter school, and authorizer Web sites.
105.15EFFECTIVE DATE.This section is effective the day following final enactment,
105.16except subdivision 23 is effective July 1, 2013.

105.17    Sec. 2. Minnesota Statutes 2012, section 260A.02, subdivision 3, is amended to read:
105.18    Subd. 3. Continuing truant. "Continuing truant" means a child who is subject to the
105.19compulsory instruction requirements of section 120A.22 and is absent from instruction in a
105.20school, as defined in section 120A.05, without valid excuse within a single school year for:
105.21(1) three days if the child is in elementary school; or
105.22(2) three or more class periods on three days if the child is in middle school, junior
105.23high school, or high school.
105.24Nothing in this section shall prevent a school district or charter school from notifying
105.25a truant child's parent or legal guardian of the child's truancy or otherwise addressing a
105.26child's attendance problems prior to the child becoming a continuing truant.

105.27    Sec. 3. Minnesota Statutes 2012, section 260A.03, is amended to read:
105.28260A.03 NOTICE TO PARENT OR GUARDIAN WHEN CHILD IS A
105.29CONTINUING TRUANT.
105.30Upon a child's initial classification as a continuing truant, the school attendance
105.31officer or other designated school official shall notify the child's parent or legal guardian,
105.32by first-class mail or other reasonable means, of the following:
105.33(1) that the child is truant;
106.1(2) that the parent or guardian should notify the school if there is a valid excuse
106.2for the child's absences;
106.3(3) that the parent or guardian is obligated to compel the attendance of the child
106.4at school pursuant to section 120A.22 and parents or guardians who fail to meet this
106.5obligation may be subject to prosecution under section 120A.34;
106.6(4) that this notification serves as the notification required by section 120A.34;
106.7(5) that alternative educational programs and services may be available in the child's
106.8enrolling or resident district;
106.9(6) that the parent or guardian has the right to meet with appropriate school personnel
106.10to discuss solutions to the child's truancy;
106.11(7) that if the child continues to be truant, the parent and child may be subject to
106.12juvenile court proceedings under chapter 260C;
106.13(8) that if the child is subject to juvenile court proceedings, the child may be subject
106.14to suspension, restriction, or delay of the child's driving privilege pursuant to section
106.15260C.201 ; and
106.16(9) that it is recommended that the parent or guardian accompany the child to school
106.17and attend classes with the child for one day.

106.18    Sec. 4. Minnesota Statutes 2012, section 260A.05, subdivision 1, is amended to read:
106.19    Subdivision 1. Establishment. A school district or charter school may establish
106.20one or more school attendance review boards to exercise the powers and duties in this
106.21section. The school district or charter school board shall appoint the members of the
106.22school attendance review board and designate the schools within the board's jurisdiction.
106.23Members of a school attendance review board may include:
106.24(1) the superintendent of the school district or the superintendent's designee or
106.25charter school director or the director's designee;
106.26(2) a principal and one or more other school officials from within the district or
106.27charter school;
106.28(3) parent representatives;
106.29(4) representatives from community agencies that provide services for truant
106.30students and their families;
106.31(5) a juvenile probation officer;
106.32(6) school counselors and attendance officers; and
106.33(7) law enforcement officers.

106.34    Sec. 5. Minnesota Statutes 2012, section 260A.07, subdivision 1, is amended to read:
107.1    Subdivision 1. Establishment; referrals. A county attorney may establish a truancy
107.2mediation program for the purpose of resolving truancy problems without court action. If
107.3a student is in a school district or charter school that has established a school attendance
107.4review board, the student may be referred to the county attorney under section 260A.06,
107.5subdivision 3
. If the student's school district or charter school has not established a board,
107.6the student may be referred to the county attorney by the school district or charter school
107.7if the student continues to be truant after the parent or guardian has been sent or conveyed
107.8the notice under section 260A.03.

107.9    Sec. 6. APPROPRIATIONS.
107.10    Subdivision 1. Department. The sums indicated in this section are appropriated
107.11from the general fund to the Department of Education for the fiscal years designated.
107.12    Subd. 2. Charter school building lease aid. For building lease aid under Minnesota
107.13Statutes, section 124D.11, subdivision 4:
107.14
$
54,484,000
.....
2014
107.15
$
59,533,000
.....
2015
107.16The 2014 appropriation includes $6,819,000 for 2013 and $47,665,000 for 2014.
107.17The 2015 appropriation includes $7,502,000 for 2014 and $52,031,000 for 2015.

107.18    Sec. 7. REVISOR'S INSTRUCTION; CHARTER SCHOOLS
107.19RECODIFICATION.
107.20The revisor of statutes, in consultation with K-12 education staff in House Research
107.21and Senate Counsel and Research, shall prepare a recodification of Minnesota Statutes,
107.22sections 124D.10 and 124D.11, including corresponding technical corrections and other
107.23needed technical changes and shall submit the completed recodification to the chairs and
107.24ranking minority members of the legislative committees having jurisdiction over K-12
107.25education policy and finance.

107.26ARTICLE 5
107.27SPECIAL EDUCATION

107.28    Section 1. Minnesota Statutes 2012, section 15.059, subdivision 5b, is amended to read:
107.29    Subd. 5b. Continuation dependent on federal law. Notwithstanding this section,
107.30the following councils and committees do not expire unless federal law no longer requires
107.31the existence of the council or committee:
107.32(1) Rehabilitation Council for the Blind, created in section 248.10;
108.1(2) Juvenile Justice Advisory Committee, created in section 299A.72;
108.2(3) Governor's Workforce Development Council, created in section 116L.665;
108.3(4) local workforce councils, created in section 116L.666, subdivision 2;
108.4(5) Rehabilitation Council, created in section 268A.02, subdivision 2; and
108.5(6) Statewide Independent Living Council, created in section 268A.02, subdivision
108.62
; and
108.7(7) Interagency Coordinating Council, created in section 125A.28.

108.8    Sec. 2. Minnesota Statutes 2012, section 124D.11, subdivision 5, is amended to read:
108.9    Subd. 5. Special education aid. (a) Except as provided in subdivision 2, special
108.10education aid must be paid to a charter school according to section 125A.76, as though
108.11it were a school district.
108.12(b) For fiscal year 2006, the charter school may charge tuition to the district of
108.13residence as follows:
108.14(1) if the charter school does not receive general education revenue on behalf of
108.15the student according to subdivision 1, tuition shall be charged as provided in section
108.16125A.11; or
108.17(2) if the charter school receives general education revenue on behalf of the student
108.18according to subdivision 1, tuition shall be charged as provided in section 127A.47,
108.19subdivision 7
, paragraph (d).
108.20(c) (b) For fiscal year 2007 2016 and later, the special education aid paid to the
108.21charter school shall be adjusted as follows:
108.22(1) if the charter school does not receive general education revenue on behalf of
108.23the student according to subdivision 1, the aid shall be adjusted as provided in section
108.24125A.11 ; or
108.25(2) if the charter school receives general education revenue on behalf of the student
108.26according to subdivision 1, the aid shall be adjusted as provided in section 127A.47,
108.27subdivision 7
, paragraph (d) (e) or (f).
108.28EFFECTIVE DATE.This section is effective for fiscal year 2016 and later.

108.29    Sec. 3. Minnesota Statutes 2012, section 125A.0941, is amended to read:
108.30125A.0941 DEFINITIONS.
108.31(a) The following terms have the meanings given them.
108.32(b) "Emergency" means a situation where immediate intervention is needed to
108.33protect a child or other individual from physical injury or to prevent serious property
109.1damage. Emergency does not mean circumstances such as: a child who does not respond
109.2to a task or request and instead places his or her head on a desk or hides under a desk or
109.3table; a child who does not respond to a staff person's request unless failing to respond
109.4would result in physical injury to the child or other individual; or an emergency incident
109.5has already occurred and no threat of physical injury currently exists.
109.6(c) "Physical holding" means physical intervention intended to hold a child immobile
109.7or limit a child's movement, where body contact is the only source of physical restraint,
109.8and where immobilization is used to effectively gain control of a child in order to protect
109.9the a child or other person individual from physical injury. The term physical holding does
109.10not mean physical contact that:
109.11(1) helps a child respond or complete a task;
109.12(2) assists a child without restricting the child's movement;
109.13(3) is needed to administer an authorized health-related service or procedure; or
109.14(4) is needed to physically escort a child when the child does not resist or the child's
109.15resistance is minimal.
109.16(d) "Positive behavioral interventions and supports" means interventions and
109.17strategies to improve the school environment and teach children the skills to behave
109.18appropriately.
109.19(e) "Prone restraint" means placing a child in a face down position.
109.20(f) "Restrictive procedures" means the use of physical holding or seclusion in an
109.21emergency. Restrictive procedures must not be used to punish or otherwise discipline a
109.22child.
109.23(g) "Seclusion" means confining a child alone in a room from which egress is barred.
109.24Egress may be barred by an adult locking or closing the door in the room or preventing the
109.25child from leaving the room. Removing a child from an activity to a location where the
109.26child cannot participate in or observe the activity is not seclusion.
109.27EFFECTIVE DATE.This section is effective the day following final enactment.

109.28    Sec. 4. Minnesota Statutes 2012, section 125A.0942, is amended to read:
109.29125A.0942 STANDARDS FOR RESTRICTIVE PROCEDURES.
109.30    Subdivision 1. Restrictive procedures plan. (a) Schools that intend to use
109.31restrictive procedures shall maintain and make publicly accessible in an electronic format
109.32on a school or district Web site or make a paper copy available upon request describing a
109.33restrictive procedures plan for children with disabilities that includes at least the following:
109.34(1) lists the list of restrictive procedures the school intends to use;
110.1(2) describes how the school will implement a range of positive behavior strategies
110.2and provide links to mental health services;
110.3(3) describes how the school will monitor and review the use of restrictive
110.4procedures, including:
110.5(i) conducting post-use debriefings, consistent with subdivision 3, paragraph (a),
110.6clause (5); and
110.7(ii) convening an oversight committee to undertake a quarterly review of the use
110.8of restrictive procedures based on patterns or problems indicated by similarities in the
110.9time of day, day of the week, duration of the use of a procedure, the individuals involved,
110.10or other factors associated with the use of restrictive procedures; the number of times a
110.11restrictive procedure is used schoolwide and for individual children; the number and types
110.12of injuries, if any, resulting from the use of restrictive procedures; whether restrictive
110.13procedures are used in nonemergency situations; the need for additional staff training; and
110.14proposed actions to minimize the use of restrictive procedures; and
110.15(3) (4) includes a written description and documentation of the training staff
110.16completed under subdivision 5.
110.17(b) Schools annually must publicly identify oversight committee members who
110.18must at least include:
110.19(1) a mental health professional, school psychologist, or school social worker;
110.20(2) an expert in positive behavior strategies;
110.21(3) a special education administrator; and
110.22(4) a general education administrator.
110.23    Subd. 2. Restrictive procedures. (a) Restrictive procedures may be used only by a
110.24licensed special education teacher, school social worker, school psychologist, behavior
110.25analyst certified by the National Behavior Analyst Certification Board, a person with a
110.26master's degree in behavior analysis, other licensed education professional, highly qualified
110.27paraprofessional under section 120B.363, or mental health professional under section
110.28245.4871, subdivision 27 , who has completed the training program under subdivision 5.
110.29(b) A school shall make reasonable efforts to notify the parent on the same day a
110.30restrictive procedure is used on the child, or if the school is unable to provide same-day
110.31notice, notice is sent within two days by written or electronic means or as otherwise
110.32indicated by the child's parent under paragraph (d).
110.33(c) When restrictive procedures are used twice in 30 days or when a pattern emerges
110.34and restrictive procedures are not included in a child's individualized education program
110.35or behavior intervention plan, The district must hold a meeting of the individualized
110.36education program team, conduct or review a functional behavioral analysis, review data,
111.1consider developing additional or revised positive behavioral interventions and supports,
111.2consider actions to reduce the use of restrictive procedures, and modify the individualized
111.3education program or behavior intervention plan as appropriate. The district must hold
111.4the meeting: within ten calendar days after district staff use restrictive procedures on two
111.5separate school days within 30 calendar days or a pattern of use emerges and the child's
111.6individualized education program or behavior intervention plan does not provide for using
111.7restrictive procedures in an emergency; or at the request of a parent or the district after
111.8restrictive procedures are used. The district must review use of restrictive procedures at a
111.9child's annual individualized education program meeting when the child's individualized
111.10education program provides for using restrictive procedures in an emergency.
111.11(d) If the individualized education program team under paragraph (c) determines
111.12that existing interventions and supports are ineffective in reducing the use of restrictive
111.13procedures or the district uses restrictive procedures on a child on ten or more school days
111.14during the same school year, the team, as appropriate, either must consult with other
111.15professionals working with the child; consult with experts in behavior analysis, mental
111.16health, communication, or autism; consult with culturally competent professionals;
111.17review existing evaluations, resources, and successful strategies; or consider whether to
111.18reevaluate the child.
111.19(e) At the individualized education program meeting under paragraph (c), the team
111.20must review any known medical or psychological limitations, including any medical
111.21information the parent provides voluntarily, that contraindicate the use of a restrictive
111.22procedure, consider whether to prohibit that restrictive procedure, and document any
111.23prohibition in the individualized education program or behavior intervention plan.
111.24(d) (f) An individualized education program team may plan for using restrictive
111.25procedures and may include these procedures in a child's individualized education
111.26program or behavior intervention plan; however, the restrictive procedures may be used
111.27only in response to behavior that constitutes an emergency, consistent with this section.
111.28The individualized education program or behavior intervention plan shall indicate how the
111.29parent wants to be notified when a restrictive procedure is used.
111.30    Subd. 3. Physical holding or seclusion. (a) Physical holding or seclusion may be
111.31used only in an emergency. A school that uses physical holding or seclusion shall meet the
111.32following requirements:
111.33(1) the physical holding or seclusion must be is the least intrusive intervention
111.34that effectively responds to the emergency;
111.35(2) physical holding or seclusion is not used to discipline a noncompliant child;
112.1(3) physical holding or seclusion must end ends when the threat of harm ends and
112.2the staff determines that the child can safely return to the classroom or activity;
112.3(3) (4) staff must directly observe observes the child while physical holding or
112.4seclusion is being used;
112.5(4) (5) each time physical holding or seclusion is used, the staff person who
112.6implements or oversees the physical holding or seclusion shall document documents, as
112.7soon as possible after the incident concludes, the following information:
112.8(i) a description of the incident that led to the physical holding or seclusion;
112.9(ii) why a less restrictive measure failed or was determined by staff to be
112.10inappropriate or impractical;
112.11(iii) the time the physical holding or seclusion began and the time the child was
112.12released; and
112.13(iv) a brief record of the child's behavioral and physical status;
112.14(5) (6) the room used for seclusion must:
112.15(i) be at least six feet by five feet;
112.16(ii) be well lit, well ventilated, adequately heated, and clean;
112.17(iii) have a window that allows staff to directly observe a child in seclusion;
112.18(iv) have tamperproof fixtures, electrical switches located immediately outside the
112.19door, and secure ceilings;
112.20(v) have doors that open out and are unlocked, locked with keyless locks that
112.21have immediate release mechanisms, or locked with locks that have immediate release
112.22mechanisms connected with a fire and emergency system; and
112.23(vi) not contain objects that a child may use to injure the child or others;
112.24(6) (7) before using a room for seclusion, a school must:
112.25(i) receive written notice from local authorities that the room and the locking
112.26mechanisms comply with applicable building, fire, and safety codes; and
112.27(ii) register the room with the commissioner, who may view that room; and
112.28(7) (8) until August 1, 2013 2015, a school district may use prone restraints with
112.29children age five or older under the following conditions if:
112.30(i) a the district has provided to the department a list of staff who have had specific
112.31training on the use of prone restraints;
112.32(ii) a the district provides information on the type of training that was provided
112.33and by whom;
112.34(iii) prone restraints may only be used by staff who have received specific training
112.35 use prone restraints;
113.1(iv) each incident of the use of prone restraints is reported to the department within
113.2five working days on a form provided by the department; and
113.3(v) a the district, prior to before using prone restraints, must review any known
113.4medical or psychological limitations that contraindicate the use of prone restraints.
113.5The department will report back to the chairs and ranking minority members of the
113.6legislative committees with primary jurisdiction over education policy by February
113.71, 2013, on the use of prone restraints in the schools. Consistent with item (iv), The
113.8department must collect data on districts' use of prone restraints and publish the data in a
113.9readily accessible format on the department's Web site on a quarterly basis.
113.10(b) The department must develop a statewide plan by February 1, 2013, to reduce
113.11districts' use of restrictive procedures that includes By March 1, 2014, stakeholders must
113.12recommend to the commissioner specific and measurable implementation and outcome
113.13goals for reducing the use of restrictive procedures and the commissioner must submit to
113.14the legislature a report on districts' progress in reducing the use of restrictive procedures
113.15that recommends how to further reduce these procedures and eliminate the use of prone
113.16restraints. The statewide plan includes the following components: measurable goals; the
113.17resources, training, technical assistance, mental health services, and collaborative efforts
113.18needed to significantly reduce districts' use of prone restraints; and recommendations
113.19to clarify and improve the law governing districts' use of restrictive procedures. The
113.20department must convene commissioner must consult with interested stakeholders to
113.21develop the statewide plan and identify the need for technical assistance when preparing
113.22the report, including representatives of advocacy organizations, special education
113.23directors, intermediate school districts, school boards, day treatment providers, county
113.24social services, state human services department staff, mental health professionals, and
113.25autism experts. To assist the department and stakeholders under this paragraph, school
113.26districts must report summary data to the department by July 1, 2012, on districts' use of
113.27restrictive procedures during the 2011-2012 school year, including data on the number
113.28of incidents involving restrictive procedures, the total number of students on which
113.29restrictive procedures were used, the number of resulting injuries, relevant demographic
113.30data on the students and school, and other relevant data collected by the district. By June
113.3130 each year, districts must report summary data on their use of restrictive procedures to
113.32the department, in a form and manner determined by the commissioner.
113.33    Subd. 4. Prohibitions. The following actions or procedures are prohibited:
113.34(1) engaging in conduct prohibited under section 121A.58;
113.35(2) requiring a child to assume and maintain a specified physical position, activity,
113.36or posture that induces physical pain;
114.1(3) totally or partially restricting a child's senses as punishment;
114.2(4) presenting an intense sound, light, or other sensory stimuli using smell, taste,
114.3substance, or spray as punishment;
114.4(5) denying or restricting a child's access to equipment and devices such as walkers,
114.5wheelchairs, hearing aids, and communication boards that facilitate the child's functioning,
114.6except when temporarily removing the equipment or device is needed to prevent injury
114.7to the child or others or serious damage to the equipment or device, in which case the
114.8equipment or device shall be returned to the child as soon as possible;
114.9(6) interacting with a child in a manner that constitutes sexual abuse, neglect, or
114.10physical abuse under section 626.556;
114.11(7) withholding regularly scheduled meals or water;
114.12(8) denying access to bathroom facilities; and
114.13(9) physical holding that restricts or impairs a child's ability to breathe, restricts or
114.14impairs a child's ability to communicate distress, places pressure or weight on a child's
114.15head, throat, neck, chest, lungs, sternum, diaphragm, back, or abdomen, or results in
114.16straddling a child's torso.
114.17    Subd. 5. Training for staff. (a) To meet the requirements of subdivision 1,
114.18staff who use restrictive procedures, including highly qualified paraprofessionals, shall
114.19complete training in the following skills and knowledge areas:
114.20(1) positive behavioral interventions;
114.21(2) communicative intent of behaviors;
114.22(3) relationship building;
114.23(4) alternatives to restrictive procedures, including techniques to identify events and
114.24environmental factors that may escalate behavior;
114.25(5) de-escalation methods;
114.26(6) standards for using restrictive procedures only in an emergency;
114.27(7) obtaining emergency medical assistance;
114.28(8) the physiological and psychological impact of physical holding and seclusion;
114.29(9) monitoring and responding to a child's physical signs of distress when physical
114.30holding is being used; and
114.31(10) recognizing the symptoms of and interventions that may cause positional
114.32asphyxia when physical holding is used.;
114.33(11) district policies and procedures for timely reporting and documenting each
114.34incident involving use of a restricted procedure; and
114.35(12) schoolwide programs on positive behavior strategies.
115.1(b) The commissioner, after consulting with the commissioner of human services,
115.2must develop and maintain a list of training programs that satisfy the requirements of
115.3paragraph (a). The commissioner also must develop and maintain a list of experts to
115.4help individualized education program teams reduce the use of restrictive procedures.
115.5The district shall maintain records of staff who have been trained and the organization
115.6or professional that conducted the training. The district may collaborate with children's
115.7community mental health providers to coordinate trainings.
115.8    Subd. 6. Behavior supports. School districts are encouraged to establish effective
115.9schoolwide systems of positive behavior interventions and supports. Nothing in this
115.10section or section 125A.0941 precludes the use of reasonable force under sections
115.11121A.582 ; 609.06, subdivision 1; and 609.379.
115.12EFFECTIVE DATE.This section is effective the day following final enactment.

115.13    Sec. 5. Minnesota Statutes 2012, section 125A.11, subdivision 1, is amended to read:
115.14    Subdivision 1. Nonresident tuition rate; other costs. (a) For fiscal year 2006,
115.15when a school district provides instruction and services outside the district of residence,
115.16board and lodging, and any tuition to be paid, shall be paid by the district of residence.
115.17The tuition rate to be charged for any child with a disability, excluding a pupil for whom
115.18tuition is calculated according to section 127A.47, subdivision 7, paragraph (d), must be
115.19the sum of (1) the actual cost of providing special instruction and services to the child
115.20including a proportionate amount for special transportation and unreimbursed building
115.21lease and debt service costs for facilities used primarily for special education, plus (2)
115.22the amount of general education revenue and referendum aid attributable to the pupil,
115.23minus (3) the amount of special education aid for children with a disability received
115.24on behalf of that child, minus (4) if the pupil receives special instruction and services
115.25outside the regular classroom for more than 60 percent of the school day, the amount of
115.26general education revenue and referendum aid, excluding portions attributable to district
115.27and school administration, district support services, operations and maintenance, capital
115.28expenditures, and pupil transportation, attributable to that pupil for the portion of time
115.29the pupil receives special instruction and services outside of the regular classroom. If
115.30the boards involved do not agree upon the tuition rate, either board may apply to the
115.31commissioner to fix the rate. Notwithstanding chapter 14, the commissioner must then set
115.32a date for a hearing or request a written statement from each board, giving each board
115.33at least ten days' notice, and after the hearing or review of the written statements the
115.34commissioner must make an order fixing the tuition rate, which is binding on both school
115.35districts. General education revenue and referendum equalization aid attributable to a
116.1pupil must be calculated using the resident district's average general education revenue
116.2and referendum equalization aid per adjusted pupil unit.
116.3    (b) (a) For fiscal year 2007 2015 and later, when a school district provides special
116.4instruction and services for a pupil with a disability as defined in section 125A.02 outside
116.5the district of residence, excluding a pupil for whom an adjustment to special education aid
116.6is calculated according to section 127A.47, subdivision 7, paragraph (e) paragraphs (b) to
116.7(d), special education aid paid to the resident district must be reduced by an amount equal
116.8to (1) the actual cost of providing special instruction and services to the pupil, including
116.9a proportionate amount for special transportation and unreimbursed building lease and
116.10debt service costs for facilities used primarily for special education, plus (2) the amount
116.11of general education revenue and referendum equalization aid attributable to that pupil,
116.12calculated using the resident district's average general education revenue and referendum
116.13equalization aid per adjusted pupil unit excluding basic skills revenue, elementary sparsity
116.14revenue and secondary sparsity revenue, minus (3) the amount of special education aid for
116.15children with a disability received on behalf of that child, minus (4) if the pupil receives
116.16special instruction and services outside the regular classroom for more than 60 percent
116.17of the school day, the amount of general education revenue and referendum equalization
116.18aid, excluding portions attributable to district and school administration, district support
116.19services, operations and maintenance, capital expenditures, and pupil transportation,
116.20attributable to that pupil for the portion of time the pupil receives special instruction
116.21and services outside of the regular classroom, calculated using the resident district's
116.22average general education revenue and referendum equalization aid per adjusted pupil unit
116.23excluding basic skills revenue, elementary sparsity revenue and secondary sparsity revenue
116.24and the serving district's basic skills revenue, elementary sparsity revenue and secondary
116.25sparsity revenue per adjusted pupil unit. Notwithstanding clauses (1) and (4), for pupils
116.26served by a cooperative unit without a fiscal agent school district, the general education
116.27revenue and referendum equalization aid attributable to a pupil must be calculated using
116.28the resident district's average general education revenue and referendum equalization aid
116.29excluding compensatory revenue, elementary sparsity revenue, and secondary sparsity
116.30revenue. Special education aid paid to the district or cooperative providing special
116.31instruction and services for the pupil must be increased by the amount of the reduction in
116.32the aid paid to the resident district. Amounts paid to cooperatives under this subdivision
116.33and section 127A.47, subdivision 7, shall be recognized and reported as revenues and
116.34expenditures on the resident school district's books of account under sections 123B.75
116.35and 123B.76. If the resident district's special education aid is insufficient to make the full
116.36adjustment, the remaining adjustment shall be made to other state aid due to the district.
117.1    (c) (b) Notwithstanding paragraphs paragraph (a) and (b) and section 127A.47,
117.2subdivision 7
, paragraphs (d) and (e) and (f), a charter school where more than 30 percent
117.3of enrolled students receive special education and related services, a site approved under
117.4section 125A.515, an intermediate district, a special education cooperative, or a school
117.5district that served as the applicant agency for a group of school districts for federal
117.6special education aids for fiscal year 2006 may apply to the commissioner for authority to
117.7charge the resident district an additional amount to recover any remaining unreimbursed
117.8costs of serving pupils with a disability. The application must include a description of the
117.9costs and the calculations used to determine the unreimbursed portion to be charged to the
117.10resident district. Amounts approved by the commissioner under this paragraph must be
117.11included in the tuition billings or aid adjustments under paragraph (a) or (b), or section
117.12127A.47, subdivision 7 , paragraph (d) or (e) or (f), as applicable.
117.13    (d) (c) For purposes of this subdivision and section 127A.47, subdivision 7,
117.14paragraphs (d) and (e), and (f); "general education revenue and referendum equalization
117.15aid" means the sum of the general education revenue according to section 126C.10,
117.16subdivision 1, excluding alternative teacher compensation revenue, plus the referendum
117.17equalization aid according to section 126C.17, subdivision 7, as adjusted according to
117.18section 127A.47, subdivision 7, paragraphs (a) to (c) (d).
117.19EFFECTIVE DATE.This section is effective for fiscal year 2015 and later.

117.20    Sec. 6. Minnesota Statutes 2012, section 125A.27, subdivision 8, is amended to read:
117.21    Subd. 8. Eligibility for Part C. "Eligibility for Part C" means eligibility for
117.22early childhood special education infant and toddler intervention services under section
117.23125A.02 and Minnesota Rules.

117.24    Sec. 7. Minnesota Statutes 2012, section 125A.27, subdivision 11, is amended to read:
117.25    Subd. 11. Interagency child find systems. "Interagency child find systems" means
117.26activities developed on an interagency basis with the involvement of interagency early
117.27intervention committees and other relevant community groups, including primary referral
117.28sources included in Code of Federal Regulations, title 34, section 303.303(c), using
117.29rigorous standards to actively seek out, identify, and refer infants and young children,
117.30with, or at risk of, disabilities, and their families, including a child to reduce the need for
117.31future services. The interagency child find systems must mandate referrals for a child
117.32 under the age of three who: (1) is involved in the subject of a substantiated case of abuse
117.33or neglect, or (2) is identified as directly affected by illegal substance abuse, or withdrawal
117.34symptoms resulting from prenatal drug exposure, to reduce the need for future services.
118.1 The referral procedures must specify that a referral must occur within seven calendar days
118.2from the date of identification.

118.3    Sec. 8. Minnesota Statutes 2012, section 125A.27, subdivision 14, is amended to read:
118.4    Subd. 14. Parent. "Parent" means the biological parent with parental rights,
118.5adoptive parent, legal guardian, or surrogate parent "parent" as defined by Code of Federal
118.6Regulations, title 34, section 303.27, or a surrogate parent appointed in accordance with
118.7Code of Federal Regulations, title 34, section 303.422, or United States Code, title 20,
118.8section 1439(a)(5).

118.9    Sec. 9. Minnesota Statutes 2012, section 125A.28, is amended to read:
118.10125A.28 STATE INTERAGENCY COORDINATING COUNCIL.
118.11An Interagency Coordinating Council of at least 17, but not more than 25 members
118.12is established, in compliance with Public Law 108-446, section 641. The members must
118.13be appointed by the governor and reasonably represent the population of Minnesota.
118.14Council members must elect the council chair, who may not be a representative of the
118.15Department of Education. The representative of the commissioner may not serve as the
118.16chair. The council must be composed of at least five parents, including persons of color,
118.17of children with disabilities under age 12, including at least three parents of a child
118.18with a disability under age seven, five representatives of public or private providers
118.19of services for children with disabilities under age five, including a special education
118.20director, county social service director, local Head Start director, and a community health
118.21services or public health nursing administrator, one member of the senate, one member of
118.22the house of representatives, one representative of teacher preparation programs in early
118.23childhood-special education or other preparation programs in early childhood intervention,
118.24at least one representative of advocacy organizations for children with disabilities under
118.25age five, one physician who cares for young children with special health care needs, one
118.26representative each from the commissioners of commerce, education, health, human
118.27services, a representative from the state agency responsible for child care, foster care,
118.28mental health, homeless coordinator of education of homeless children and youth, and a
118.29representative from Indian health services or a tribal council. Section 15.059, subdivisions
118.302 to 5, apply to the council. The council must meet at least quarterly.
118.31The council must address methods of implementing the state policy of developing
118.32and implementing comprehensive, coordinated, multidisciplinary interagency programs of
118.33early intervention services for children with disabilities and their families.
119.1The duties of the council include recommending policies to ensure a comprehensive
119.2and coordinated system of all state and local agency services for children under age five
119.3with disabilities and their families. The policies must address how to incorporate each
119.4agency's services into a unified state and local system of multidisciplinary assessment
119.5practices, individual intervention plans, comprehensive systems to find children in need of
119.6services, methods to improve public awareness, and assistance in determining the role of
119.7interagency early intervention committees.
119.8On the date that Minnesota Part C Annual Performance Report is submitted to the
119.9federal Office of Special Education, the council must recommend to the governor and the
119.10commissioners of education, health, human services, commerce, and employment and
119.11economic development policies for a comprehensive and coordinated system.
119.12Annually, the council must prepare and submit a report to the governor and the
119.13secretary of the federal Department of Education on the status of early intervention
119.14services and programs for infants and toddlers with disabilities and their families under
119.15the Individuals with Disabilities Education Act, United States Code, title 20, sections
119.161471 to 1485 (Part C, Public Law 102-119), as operated in Minnesota. The Minnesota
119.17Part C annual performance report may serve as the report.
119.18Notwithstanding any other law to the contrary, the State Interagency Coordinating
119.19Council expires on June 30, 2014 does not expire unless federal law no longer requires
119.20the existence of the council or committee.

119.21    Sec. 10. Minnesota Statutes 2012, section 125A.29, is amended to read:
119.22125A.29 RESPONSIBILITIES OF COUNTY BOARDS AND SCHOOL
119.23BOARDS.
119.24(a) It is the joint responsibility of county boards and school boards to coordinate,
119.25provide, and pay for appropriate services, and to facilitate payment for services from public
119.26and private sources. Appropriate services for children eligible under section 125A.02 must
119.27be determined in consultation with parents, physicians, and other educational, medical,
119.28health, and human services providers. The services provided must be in conformity with:
119.29(1) an IFSP for each eligible infant and toddler from birth through age two and
119.30the infant's or toddler's family including:
119.31(i) American Indian infants and toddlers with disabilities and their families residing
119.32on a reservation geographically located in the state;
119.33(ii) infants and toddlers with disabilities who are homeless children and their
119.34families; and
119.35(iii) infants and toddlers with disabilities who are wards of the state; or
120.1(2) an individualized education program (IEP) or individual service plan (ISP) for
120.2each eligible child ages three through four.
120.3(b) Appropriate early intervention services include family education and
120.4counseling, home visits, occupational and physical therapy, speech pathology, audiology,
120.5psychological services, special instruction, nursing, respite, nutrition, assistive technology,
120.6transportation and related costs, social work, vision services, case management services
120.7provided in conformity with an IFSP that are designed to meet the special developmental
120.8needs of an eligible child and the needs of the child's family related to enhancing the
120.9child's development and that are selected in collaboration with the parent. These services
120.10include core early intervention services and additional early intervention services listed in
120.11this section and infant and toddler intervention services defined under United States Code,
120.12title 20, sections 1431 to 1444, and Code of Federal Regulations, title 34, section 303,
120.13 including service coordination under section 125A.33, medical services for diagnostic and
120.14evaluation purposes, early identification, and screening, assessment, and health services
120.15necessary to enable children with disabilities to benefit from early intervention services.
120.16(c) School and county boards shall coordinate early intervention services. In the
120.17absence of agreements established according to section 125A.39, service responsibilities
120.18for children birth through age two are as follows:
120.19(1) school boards must provide, pay for, and facilitate payment for special education
120.20and related services required under sections 125A.03 and 125A.06;
120.21(2) county boards must provide, pay for, and facilitate payment for noneducational
120.22services of social work, psychology, transportation and related costs, nursing, respite, and
120.23nutrition services not required under clause (1).
120.24(d) School and county boards may develop an interagency agreement according
120.25to section 125A.39 to establish agency responsibility that assures early intervention
120.26services are coordinated, provided, paid for, and that payment is facilitated from public
120.27and private sources.
120.28(e) County and school boards must jointly determine the primary agency in this
120.29cooperative effort and must notify the commissioner of the state lead agency of their
120.30decision.

120.31    Sec. 11. Minnesota Statutes 2012, section 125A.30, is amended to read:
120.32125A.30 INTERAGENCY EARLY INTERVENTION COMMITTEES.
120.33(a) A school district, group of districts, or special education cooperative, in
120.34cooperation with the health and human service agencies located in the county or counties
120.35in which the district or cooperative is located, must establish an Interagency Early
121.1Intervention Committee for children with disabilities under age five and their families
121.2under this section, and for children with disabilities ages three to 22 consistent with
121.3the requirements under sections 125A.023 and 125A.027. Committees must include
121.4representatives of local health, education, and county human service agencies, county
121.5boards, school boards, early childhood family education programs, Head Start, parents of
121.6young children with disabilities under age 12, child care resource and referral agencies,
121.7school readiness programs, current service providers, and may also include representatives
121.8from other private or public agencies and school nurses. The committee must elect a chair
121.9from among its members and must meet at least quarterly.
121.10(b) The committee must develop and implement interagency policies and procedures
121.11concerning the following ongoing duties:
121.12(1) develop public awareness systems designed to inform potential recipient families,
121.13especially parents with premature infants, or infants with other physical risk factors
121.14associated with learning or development complications, of available programs and services;
121.15(2) to reduce families' need for future services, and especially parents with premature
121.16infants, or infants with other physical risk factors associated with learning or development
121.17complications, implement interagency child find systems designed to actively seek out,
121.18identify, and refer infants and young children with, or at risk of, disabilities, including
121.19a child under the age of three who: (i) is involved in the subject of a substantiated case
121.20of abuse or neglect or (ii) is identified as directly affected by illegal substance abuse, or
121.21withdrawal symptoms resulting from prenatal drug exposure;
121.22(3) establish and evaluate the identification, referral, child screening, evaluation,
121.23child- and family-directed assessment systems, procedural safeguard process,
121.24and community learning systems to recommend, where necessary, alterations and
121.25improvements;
121.26(4) assure the development of individualized family service plans for all eligible
121.27infants and toddlers with disabilities from birth through age two, and their families,
121.28and individualized education programs and individual service plans when necessary to
121.29appropriately serve children with disabilities, age three and older, and their families and
121.30recommend assignment of financial responsibilities to the appropriate agencies;
121.31(5) implement a process for assuring that services involve cooperating agencies at all
121.32steps leading to individualized programs;
121.33(6) facilitate the development of a transitional transition plan if a service provider is
121.34not recommended to continue to provide services in the individual family service plan by
121.35the time a child is two years and nine months old;
122.1(7) identify the current services and funding being provided within the community
122.2for children with disabilities under age five and their families;
122.3(8) develop a plan for the allocation and expenditure of additional state and federal
122.4early intervention funds under United States Code, title 20, section 1471 et seq. (Part C,
122.5Public Law 108-446) and United States Code, title 20, section 631, et seq. (Chapter I,
122.6Public Law 89-313); and
122.7(9) develop a policy that is consistent with section 13.05, subdivision 9, and federal
122.8law to enable a member of an interagency early intervention committee to allow another
122.9member access to data classified as not public.
122.10(c) The local committee shall also:
122.11(1) participate in needs assessments and program planning activities conducted by
122.12local social service, health and education agencies for young children with disabilities
122.13and their families; and.
122.14(2) review and comment on the early intervention section of the total special
122.15education system for the district, the county social service plan, the section or sections of
122.16the community health services plan that address needs of and service activities targeted
122.17to children with special health care needs, the section on children with special needs in
122.18the county child care fund plan, sections in Head Start plans on coordinated planning and
122.19services for children with special needs, any relevant portions of early childhood education
122.20plans, such as early childhood family education or school readiness, or other applicable
122.21coordinated school and community plans for early childhood programs and services, and
122.22the section of the maternal and child health special project grants that address needs of and
122.23service activities targeted to children with chronic illness and disabilities.

122.24    Sec. 12. Minnesota Statutes 2012, section 125A.32, is amended to read:
122.25125A.32 INDIVIDUALIZED FAMILY SERVICE PLAN (IFSP).
122.26(a) A team must participate in IFSP meetings to develop the IFSP. The team shall
122.27include:
122.28(1) a parent or parents of the child, as defined in Code of Federal Regulations,
122.29title 34, section 303.27;
122.30(2) other family members, as requested by the parent, if feasible to do so;
122.31(3) an advocate or person outside of the family, if the parent requests that the
122.32person participate;
122.33(4) the service coordinator who has been working with the family since the
122.34initial referral, or who has been designated by the public agency to be responsible for
123.1implementation of the IFSP and coordination with other agencies including transition
123.2services; and
123.3(5) a person or persons involved in conducting evaluations and assessments.; and
123.4(6) as appropriate, persons who will be providing early intervention services under
123.5the plan to the child or family.
123.6(b) The IFSP must include:
123.7(1) information about the child's developmental status;
123.8(2) family information, with the consent of the family;
123.9(3) measurable results or major outcomes expected to be achieved by the child with
123.10the family's assistance, that include developmentally appropriate preliteracy and language
123.11skills for the child, and the criteria, procedures, and timelines;
123.12(4) specific early intervention services based on peer-reviewed research, to the
123.13extent practicable, necessary to meet the unique needs of the child and the family to
123.14achieve the outcomes;
123.15(5) payment arrangements, if any;
123.16(6) medical and other services that the child needs, but that are not required under
123.17the Individual with Disabilities Education Act, United States Code, title 20, section 1471
123.18et seq. (Part C, Public Law 108-446) including funding sources to be used in paying for
123.19those services and the steps that will be taken to secure those services through public
123.20or private sources;
123.21(7) dates and duration of early intervention services;
123.22(8) name of the service coordinator;
123.23(9) steps to be taken to support a child's transition from early infant and toddler
123.24 intervention services to other appropriate services, including convening a transition
123.25conference at least 90 days or, at the discretion of all parties, not more than nine months
123.26before the child is eligible for preschool services; and
123.27(10) signature of the parent and authorized signatures of the agencies responsible
123.28for providing, paying for, or facilitating payment, or any combination of these, for early
123.29 infant and toddler intervention services.

123.30    Sec. 13. Minnesota Statutes 2012, section 125A.33, is amended to read:
123.31125A.33 SERVICE COORDINATION.
123.32(a) The team responsible for the initial evaluation and the child- and family-directed
123.33assessment and for developing the IFSP under section 125A.32, if appropriate, must
123.34select a service coordinator to carry out service coordination activities on an interagency
123.35basis. Service coordination must actively promote a family's capacity and competency
124.1to identify, obtain, coordinate, monitor, and evaluate resources and services to meet the
124.2family's needs. Service coordination activities include:
124.3(1) coordinating the performance of evaluations and assessments;
124.4(2) facilitating and participating in the development, review, and evaluation of
124.5individualized family service plans;
124.6(3) assisting families in identifying available service providers;
124.7(4) coordinating and monitoring the delivery of available services;
124.8(5) informing families of the availability of advocacy services;
124.9(6) coordinating with medical, health, and other service providers;
124.10(7) facilitating the development of a transition plan to preschool, school, or if
124.11appropriate, to other services, at least 90 days before the time the child is no longer
124.12eligible for early infant and toddler intervention services or, at the discretion of all parties,
124.13not more than nine months prior to the child's eligibility for preschool services third
124.14birthday, if appropriate;
124.15(8) managing the early intervention record and submitting additional information to
124.16the local primary agency at the time of periodic review and annual evaluations; and
124.17(9) notifying a local primary agency when disputes between agencies impact service
124.18delivery required by an IFSP.
124.19(b) A service coordinator must be knowledgeable about children and families
124.20receiving services under this section, requirements of state and federal law, and services
124.21available in the interagency early childhood intervention system. The IFSP must include
124.22the name of the services coordinator from the profession most relevant to the child's or
124.23family's needs or who is otherwise qualified to carry out all applicable responsibilities
124.24under the Individuals with Disabilities Education Act, United States Code, title 20,
124.25sections 1471 to 1485 (Part C, Public Law 102-119), who will be responsible for
124.26implementing the early intervention services identified in the child's IFSP, including
124.27transition services and coordination with other agencies and persons.

124.28    Sec. 14. Minnesota Statutes 2012, section 125A.35, subdivision 1, is amended to read:
124.29    Subdivision 1. Lead agency; allocation of resources. The state lead agency must
124.30administer the early intervention account that consists of federal allocations. The Part C
124.31state plan must state the amount of federal resources in the early intervention account
124.32available for use by local agencies. The state lead agency must distribute the funds to the
124.33local primary agency designated by an Interagency Early Intervention Committee based
124.34on a formula that includes a December 1 count of the prior year of Part C eligible children
124.35for the following purposes:
125.1(1) as provided in Code of Federal Regulations, title 34, part 303.425 303.430, to
125.2arrange for payment for early intervention services not elsewhere available, or to pay for
125.3services during the pendency of a conflict procedure, including mediation, complaints, due
125.4process hearings, and interagency disputes; and
125.5(2) to support interagency child find system activities.

125.6    Sec. 15. Minnesota Statutes 2012, section 125A.36, is amended to read:
125.7125A.36 PAYMENT FOR SERVICES.
125.8Core early intervention services must be provided at public expense with no cost to
125.9parents. Parents must be requested to assist in the cost of additional early intervention
125.10services by using third-party payment sources and applying for available resources.
125.11Payment structures permitted under state law must be used to pay for additional early
125.12intervention services. Parental financial responsibility must be clearly defined in the
125.13IFSP. A parent's inability to pay must not prohibit a child from receiving needed early
125.14intervention services.

125.15    Sec. 16. Minnesota Statutes 2012, section 125A.43, is amended to read:
125.16125A.43 MEDIATION PROCEDURE.
125.17(a) The commissioner, or the commissioner's designee, of the state lead agency must
125.18use federal funds to provide mediation for the activities in paragraphs (b) and (c).
125.19(b) A parent may resolve a dispute regarding issues in section 125A.42, paragraph
125.20(b)
, clause (5), through mediation. If the parent chooses mediation, mediation must be
125.21voluntary on the part of the parties. The parent and the public agencies must complete the
125.22mediation process within 30 calendar days of the date the Office of Dispute Resolution
125.23 Department of Education receives a parent's written request for mediation unless the
125.24district declines mediation. The mediation process may not be used to delay a parent's
125.25right to a due process hearing. The resolution of the written, signed mediation agreement
125.26is not binding on any party both parties and is enforceable in any state court of competent
125.27jurisdiction or in a district court of the United States.
125.28(c) Resolution of a dispute through mediation, or other form of alternative dispute
125.29resolution, is not limited to formal disputes arising from the objection of a parent or
125.30guardian and is not limited to the period following a request for a due process hearing.
125.31(d) The commissioner shall provide training and resources to school districts to
125.32facilitate early identification of disputes and access to mediation.
126.1(e) The local primary agency may request mediation on behalf of involved agencies
126.2when there are disputes between agencies regarding responsibilities to coordinate, provide,
126.3pay for, or facilitate payment for early intervention services.

126.4    Sec. 17. Minnesota Statutes 2012, section 125A.76, subdivision 1, is amended to read:
126.5    Subdivision 1. Definitions. (a) For the purposes of this section and section 125A.79,
126.6the definitions in this subdivision apply.
126.7    (a) "Basic revenue" has the meaning given it in section 126C.10, subdivision 2.
126.8For the purposes of computing basic revenue pursuant to this section, each child with a
126.9disability shall be counted as prescribed in section 126C.05, subdivision 1.
126.10    (b) "Essential personnel" means teachers, cultural liaisons, related services, and
126.11support services staff providing services to students. Essential personnel may also include
126.12special education paraprofessionals or clericals providing support to teachers and students
126.13by preparing paperwork and making arrangements related to special education compliance
126.14requirements, including parent meetings and individualized education programs. Essential
126.15personnel does not include administrators and supervisors.
126.16    (c) "Average daily membership" has the meaning given it in section 126C.05.
126.17    (d) "Program growth factor" means 1.046 for fiscal year 2012 and later.
126.18(b) "Annual inflationary increase" means one plus the percentage change in the
126.19Consumer Price Index for urban consumers, as prepared by the United States Bureau of
126.20Labor Standards, for the prior fiscal year to fiscal year 2015.
126.21(c) "Nonfederal special education expenditure" means all direct expenditures that
126.22are necessary and essential to meet the district's obligation to provide special instruction
126.23and services to children with a disability according to sections 124D.454, 125A.03 to
126.24125A.24, 125A.259 to 125A.48, and 125A.65 as submitted by the district and approved by
126.25the department under section 125A.75, subdivision 4, excluding expenditures:
126.26(1) reimbursed with federal funds;
126.27(2) reimbursed with other state aids under this chapter;
126.28(3) for general education costs of serving students with a disability;
126.29(4) for facilities;
126.30(5) for pupil transportation; and
126.31(6) for postemployment benefits.
126.32(d) "Old formula special education expenditures" means expenditures eligible for
126.33revenue under Minnesota Statutes 2012, section 125A.76, subdivision 2.
126.34For the Minnesota State Academy for the Deaf and the Minnesota State Academy for the
126.35Blind, expenditures are limited to the salary and fringe benefits of one-to-one instructional
127.1and behavior management aides assigned to a child attending the academy, if the aides are
127.2required by the child's individualized education program.
127.3EFFECTIVE DATE.This section is effective for fiscal year 2016 and later.

127.4    Sec. 18. Minnesota Statutes 2012, section 125A.76, is amended by adding a
127.5subdivision to read:
127.6    Subd. 2a. Special education initial aid. For fiscal year 2016 and later, a district's
127.7special education initial aid equals the sum of:
127.8(1) the lesser of 60 percent of the district's old formula special education expenditures
127.9for the prior fiscal year, 50 percent of the district's nonfederal special education
127.10expenditures for the prior year, or 45 percent of the product of the sum of the following
127.11amounts, computed using prior fiscal year data, and the annual inflationary increase:
127.12(i) the product of the district's average daily membership served and the sum of:
127.13(A) $445; plus
127.14(B) $310 times the ratio of the sum of the number of pupils enrolled on October 1
127.15who are eligible to receive free lunch plus one-half of the pupils enrolled on October 1
127.16who are eligible to receive reduced-price lunch to the total October 1 enrollment; plus
127.17(C) .00443 times the district's average daily membership served; plus
127.18(ii) $10,404 times the December 1 child count for the primary disability areas of
127.19autism spectrum disorders, developmental delay, and severely multiply impaired; plus
127.20(iii) $18,027 times the December 1 child count for the primary disability areas of
127.21deaf and hard-of-hearing and emotional or behavioral disorders; plus
127.22(iv) $26,609 times the December 1 child count for the primary disability areas of
127.23developmentally cognitive mild-moderate, developmentally cognitive severe-profound,
127.24physically impaired, visually impaired, and deafblind; plus
127.25(2) the cost of providing transportation services for children with disabilities under
127.26section 123B.92, subdivision 1, paragraph (b), clause (4).
127.27EFFECTIVE DATE.This section is effective for fiscal year 2016 and later.

127.28    Sec. 19. Minnesota Statutes 2012, section 125A.76, is amended by adding a
127.29subdivision to read:
127.30    Subd. 2b. Special education aid. (a) For fiscal year 2016 and later, a district's
127.31special education aid equals the sum of the district's special education initial aid under
127.32subdivision 2a and the district's excess cost aid under section 125A.79, subdivision 5.
128.1(b) Notwithstanding paragraph (a), the special education aid for a school district, not
128.2including a charter school, must not be less than the lesser of (1) the district's nonfederal
128.3special education expenditures for that fiscal year or (2) the product of the sum of the
128.4special education aid the district would have received for fiscal year 2016 under Minnesota
128.5Statutes 2012, sections 125A.76 and 125A.79, as adjusted according to sections 125A.11
128.6and 127A.47, subdivision 7, and the ratio of the district's adjusted daily membership for
128.7the current fiscal year to the district's average daily membership for fiscal year 2016.
128.8EFFECTIVE DATE.This section is effective for fiscal year 2016 and later.

128.9    Sec. 20. Minnesota Statutes 2012, section 125A.76, is amended by adding a
128.10subdivision to read:
128.11    Subd. 2c. Statewide average expenditure. By January 15 of each year, the
128.12department must calculate the statewide average special education expenditure per
128.13December 1 child count for the prior fiscal year by primary disability area and provide that
128.14information to all districts. By January 15 of each odd-numbered year, the commissioner
128.15must identify options for aligning the assignment of disability areas to the categories and
128.16the rates for each category in subdivision 2a, clause (1), with the latest expenditure data and
128.17submit these options to the legislative committees with jurisdiction over education finance.
128.18EFFECTIVE DATE.This section is effective July 1, 2015.

128.19    Sec. 21. Minnesota Statutes 2012, section 125A.76, subdivision 4a, is amended to read:
128.20    Subd. 4a. Adjustments for tuition reciprocity with adjoining states. (a) If an
128.21agreement is reached between the state of Minnesota and an adjoining state pursuant to
128.22section 124D.041 that requires a special education tuition payment from the state of
128.23Minnesota to the adjoining state, the tuition payment shall be made from the special
128.24education aid appropriation for that year, and the state total special education aid under
128.25subdivision 4 shall be reduced by the amount of the payment.
128.26    (b) If an agreement is reached between the state of Minnesota and an adjoining state
128.27pursuant to section 124D.041 that requires a special education tuition payment from
128.28an adjoining state to the state of Minnesota, the special education aid appropriation for
128.29that year and the state total special education aid under subdivision 4 shall be increased
128.30by the amount of the payment.
128.31    (c) (b) If an agreement is reached between the state of Minnesota and an adjoining
128.32state pursuant to section 124D.041 that requires special education tuition payments to
128.33be made between the two states and not between districts in the two states, the special
129.1education aid for a Minnesota school district serving a student with a disability from the
129.2adjoining state shall be calculated according to section 127A.47, subdivision 7, except that
129.3no reduction shall be made in the special education aid paid to the resident district.
129.4EFFECTIVE DATE.This section is effective for fiscal year 2016 and later.

129.5    Sec. 22. Minnesota Statutes 2012, section 125A.76, subdivision 8, is amended to read:
129.6    Subd. 8. Special education forecast maintenance of effort. (a) If, on the basis of
129.7a forecast of general fund revenues and expenditures under section 16A.103, the state's
129.8expenditures for special education and related services for children with disabilities from
129.9nonfederal sources for a fiscal year, including special education aid under section 125A.76;
129.10special education excess cost aid under section 125A.76, subdivision 7 subdivision 2b;
129.11travel for home-based services under section 125A.75, subdivision 1; aid for students with
129.12disabilities under section 125A.75, subdivision 3; court-placed special education under
129.13section 125A.79, subdivision 4; out-of-state tuition under section 125A.79, subdivision 8;
129.14and direct expenditures by state agencies are projected to be less than the amount required
129.15to meet federal special education maintenance of effort, the reimbursement percentage for
129.16excess cost aid under section 125A.79, subdivision 5, must be increased as required to
129.17ensure that the additional amount required to meet federal special education maintenance of
129.18effort is added to the state total special education aid in section 125A.76, subdivision 4 2b.
129.19    (b) If, on the basis of a forecast of general fund revenues and expenditures under
129.20section 16A.103, expenditures in the programs in paragraph (a) are projected to be greater
129.21than previously forecast for an enacted budget, and an addition to state total special
129.22education aid has been made under paragraph (a), the state total special education aid
129.23must be reduced by the lesser of the amount of the expenditure increase or the amount
129.24previously added to state total special education aid in section 125A.76, subdivision 4 2b.
129.25    (c) For the purpose of this section, "previously forecast for an enacted budget" means
129.26the allocation of funding for these programs in the most recent forecast of general fund
129.27revenues and expenditures or the act appropriating money for these programs, whichever
129.28occurred most recently. It does not include planning estimates for a future biennium.
129.29    (d) If the amount of special education aid is adjusted in accordance with this
129.30subdivision, the commissioner of education shall notify the chairs of the legislative
129.31committees having jurisdiction over kindergarten through grade 12 education regarding
129.32the amount of the adjustment and provide an explanation of the federal maintenance of
129.33effort requirements.
129.34EFFECTIVE DATE.This section is effective for fiscal year 2016 and later.

130.1    Sec. 23. Minnesota Statutes 2012, section 125A.78, subdivision 2, is amended to read:
130.2    Subd. 2. Initial aid adjustment. For the fiscal year after approval of a district's
130.3application, and thereafter, the special education initial aid under section 125A.76,
130.4subdivision 1
, must be computed based on activities defined as reimbursable under
130.5Department of Education rules for special education and nonspecial education students,
130.6and additional activities as detailed and approved by the commissioner.
130.7EFFECTIVE DATE.This section is effective for fiscal year 2016 and later.

130.8    Sec. 24. Minnesota Statutes 2012, section 125A.79, subdivision 1, is amended to read:
130.9    Subdivision 1. Definitions. For the purposes of this section, the definitions in this
130.10subdivision apply.
130.11    (a) "Unreimbursed old formula special education cost expenditures" means the
130.12sum of the following:
130.13    (1) old formula special education expenditures for teachers' salaries, contracted
130.14services, supplies, equipment, and transportation services eligible for revenue under
130.15section 125A.76 for the prior fiscal year; plus minus
130.16    (2) expenditures for tuition bills received under sections 125A.03 to 125A.24 and
130.17125A.65 for services eligible for revenue under section 125A.76, subdivision 2; minus
130.18    (3) revenue for teachers' salaries, contracted services, supplies, equipment, and
130.19transportation services special education initial aid under section 125A.76; minus,
130.20subdivision 2a; minus
130.21    (3) the amount of general education revenue and referendum equalization aid for the
130.22prior fiscal year attributable to pupils receiving special instruction and services outside the
130.23regular classroom for more than 60 percent of the school day for the portion of time the
130.24pupils receive special instruction and services outside the regular classroom, excluding
130.25portions attributable to district and school administration, district support services,
130.26operations and maintenance, capital expenditures, and pupil transportation.
130.27    (4) tuition receipts under sections 125A.03 to 125A.24 and 125A.65 for services
130.28eligible for revenue under section 125A.76, subdivision 2.
130.29    (b) "Unreimbursed nonfederal special education expenditures" means:
130.30    (1) nonfederal special education expenditures for the prior fiscal year; minus
130.31    (2) special education initial aid under section 125A.76; minus
130.32    (3) the amount of general education revenue and referendum equalization aid for the
130.33prior fiscal year attributable to pupils receiving special instruction and services outside the
130.34regular classroom for more than 60 percent of the school day for the portion of time the
130.35pupils receive special instruction and services outside of the regular classroom, excluding
131.1portions attributable to district and school administration, district support services,
131.2operations and maintenance, capital expenditures, and pupil transportation.
131.3    (c) "General revenue" for a school district means the sum of the general education
131.4revenue according to section 126C.10, subdivision 1, excluding alternative teacher
131.5compensation revenue, minus transportation sparsity revenue minus total operating
131.6capital revenue. "General revenue" for a charter school means the sum of the general
131.7education revenue according to section 124D.11, subdivision 1, and transportation revenue
131.8according to section 124D.11, subdivision 2, excluding alternative teacher compensation
131.9revenue, minus referendum equalization aid minus transportation sparsity revenue minus
131.10operating capital revenue.
131.11    (c) "Average daily membership" has the meaning given it in section 126C.05.
131.12    (d) "Program growth factor" means 1.02 for fiscal year 2012 and later.
131.13EFFECTIVE DATE.This section is effective for fiscal year 2016 and later.

131.14    Sec. 25. Minnesota Statutes 2012, section 125A.79, subdivision 5, is amended to read:
131.15    Subd. 5. Initial excess cost aid. For fiscal years 2008 2016 and later, a district's
131.16initial excess cost aid equals the greater of:
131.17    (1) 75 54 percent of the difference between (i) the district's unreimbursed special
131.18education cost and (ii) 4.36 6.0 percent of the district's general revenue; or
131.19    (2) 65 percent of the difference between (i) the district's unreimbursed old formula
131.20special education expenditures and (ii) 4.0 percent of the district's general revenue; or
131.21    (2) (3) zero.
131.22EFFECTIVE DATE.This section is effective for fiscal year 2016 and later.

131.23    Sec. 26. SPECIAL EDUCATION CASE LOADS TASK FORCE.
131.24    Subdivision 1. Members. The commissioner shall establish and appoint a special
131.25education case loads task force consisting of at least ten members who will provide equal
131.26representation from school districts, including special education teachers, and advocacy
131.27organizations, including parents of children with disabilities.
131.28    Subd. 2. Duties. The special education case loads task force shall develop
131.29recommendations for the appropriate numbers of students with disabilities that may be
131.30assigned to a teacher both with and without paraprofessional support in the classroom and
131.31for cost-effective and efficient strategies and structures for improving student outcomes.
132.1    Subd. 3. Report. The task force must submit a report by February 15, 2014, to the
132.2education policy and finance committees of the legislature recommending appropriate
132.3case loads for teachers of school-age children in all federal settings, including educational
132.4service alternatives, and for early childhood special education and program alternatives.
132.5    Subd. 4. Expiration. The task force expires February 16, 2014.

132.6    Sec. 27. RULEMAKING AUTHORITY.
132.7The commissioner of education shall amend Minnesota Rules related to the
132.8provision of special education under Part C of the Individuals with Disabilities Education
132.9Act using the expedited rulemaking process in Minnesota Statutes, section 14.389. The
132.10commissioner shall amend rules in response to new federal regulations in Code of
132.11Federal Regulations, title 34, part 303, including definitions of and procedures related to
132.12evaluation and assessment, including assessment of the child and family, initial evaluation
132.13and assessment, native language, the use of informed clinical opinion as an independent
132.14basis to establish eligibility, and transition of a toddler from Part C consistent with Code of
132.15Federal Regulations, title 34, sections 303.24, 303.25, and 303.321. The authority to use
132.16the expedited process to amend rules specified in this section expires July 1, 2014. Rule
132.17amendments adopted under the expedited process before that date remain in effect unless
132.18further amended under the rulemaking procedures in Minnesota Statutes, chapter 14.

132.19    Sec. 28. APPROPRIATIONS.
132.20    Subdivision 1. Department of Education. The sums indicated in this section are
132.21appropriated from the general fund to the Department of Education for the fiscal years
132.22designated.
132.23    Subd. 2. Special education; regular. For special education aid under Minnesota
132.24Statutes, section 125A.75:
132.25
$
910,153,000
.....
2014
132.26
$
959,018,000
.....
2015
132.27The 2014 appropriation includes $118,232,000 for 2013 and $791,921,000 for 2014.
132.28The 2015 appropriation includes $124,654,000 for 2014 and $834,364,000 for 2015.
132.29    Subd. 3. Aid for children with disabilities. For aid under Minnesota Statutes,
132.30section 125A.75, subdivision 3, for children with disabilities placed in residential facilities
132.31within the district boundaries for whom no district of residence can be determined:
133.1
$
1,655,000
.....
2014
133.2
$
1,752,000
.....
2015
133.3If the appropriation for either year is insufficient, the appropriation for the other
133.4year is available.
133.5    Subd. 4. Travel for home-based services. For aid for teacher travel for home-based
133.6services under Minnesota Statutes, section 125A.75, subdivision 1:
133.7
$
345,000
.....
2014
133.8
$
355,000
.....
2015
133.9The 2014 appropriation includes $45,000 for 2013 and $300,000 for 2014.
133.10The 2015 appropriation includes $47,000 for 2014 and $308,000 for 2015.
133.11    Subd. 5. Special education; excess costs. For excess cost aid under Minnesota
133.12Statutes, section 125A.79, subdivision 7:
133.13
$
118,639,000
.....
2014
133.14
$
121,919,000
.....
2015
133.15The 2014 appropriation includes $42,030,000 for 2013 and $76,609,000 for 2014.
133.16The 2015 appropriation includes $43,211,000 for 2014 and $78,708,000 for 2015.
133.17    Subd. 6. Court-placed special education revenue. For reimbursing serving school
133.18districts for unreimbursed eligible expenditures attributable to children placed in the serving
133.19school district by court action under Minnesota Statutes, section 125A.79, subdivision 4:
133.20
$
54,000
.....
2014
133.21
$
55,000
.....
2015
133.22    Subd. 7. Special education out-of-state tuition. For special education out-of-state
133.23tuition according to Minnesota Statutes, section 125A.79, subdivision 8:
133.24
$
250,000
.....
2014
133.25
$
250,000
.....
2015

133.26    Sec. 29. REPEALER.
133.27Minnesota Statutes 2012, sections 124D.454, subdivisions 3, 10, and 11; 125A.35,
133.28subdivisions 4 and 5; 125A.76, subdivisions 2, 4, 5, and 7; and 125A.79, subdivisions 6
133.29and 7, are repealed for fiscal year 2016 and later.

134.1ARTICLE 6
134.2FACILITIES AND TECHNOLOGY

134.3    Section 1. Minnesota Statutes 2012, section 123B.54, is amended to read:
134.4123B.54 DEBT SERVICE APPROPRIATION.
134.5    (a) $21,727,000 in fiscal year 2014 and $24,201,000 in fiscal year 2015 and later
134.6are The amount necessary to make debt service equalization aid payments under section
134.7123B.53 is annually appropriated from the general fund to the commissioner of education
134.8for payment of debt service equalization aid under section 123B.53.
134.9    (b) The appropriations in paragraph (a) must be reduced by the amount of any
134.10money specifically appropriated for the same purpose in any year from any state fund.

134.11    Sec. 2. Minnesota Statutes 2012, section 128D.11, subdivision 3, is amended to read:
134.12    Subd. 3. No election. Subject to the provisions of subdivisions 7 to 10, the school
134.13district may also by a two-thirds majority vote of all the members of its board of education
134.14and without any election by the voters of the district, issue and sell in each calendar year
134.15general obligation bonds of the district in an amount not to exceed 5-1/10 per cent of the
134.16net tax capacity of the taxable property in the district (plus, for calendar years 1990 to
134.172003, an amount not to exceed $7,500,000, and for calendar years year 2004 to 2016 and
134.18later, an amount not to exceed $15,000,000; with an additional provision that any amount
134.19of bonds so authorized for sale in a specific year and not sold can be carried forward and
134.20sold in the year immediately following).
134.21EFFECTIVE DATE.This section is effective July 1, 2013.

134.22    Sec. 3. Laws 2007, chapter 146, article 4, section 12, is amended to read:
134.23    Sec. 12. BONDING AUTHORIZATION.
134.24    To provide funds for the acquisition or betterment of school facilities, Independent
134.25School District No. 625, St. Paul, may by two-thirds majority vote of all the members of
134.26the board of directors issue general obligation bonds in one or more series for calendar
134.27years 2008 through 2016, as provided in this section. The aggregate principal amount of
134.28any bonds issued under this section for each calendar year must not exceed $15,000,000.
134.29Issuance of the bonds is not subject to Minnesota Statutes, section 475.58 or 475.59.
134.30The bonds must otherwise be issued as provided in Minnesota Statutes, chapter 475.
134.31The authority to issue bonds under this section is in addition to any bonding authority
134.32authorized by Minnesota Statutes, chapter 123B, or other law. The amount of bonding
134.33authority authorized under this section must be disregarded in calculating the bonding
135.1limit of Minnesota Statutes, chapter 123B, or any other law other than Minnesota Statutes,
135.2section 475.53, subdivision 4.
135.3EFFECTIVE DATE.This section is effective July 1, 2013.

135.4    Sec. 4. CYRUS AND MORRIS SCHOOL DISTRICT CONSOLIDATION.
135.5    Subdivision 1. Purpose. The legislature finds that an orderly, voluntary
135.6consolidation of Independent School Districts Nos. 611, Cyrus, and 769, Morris, promotes
135.7the well-being of the students and increases educational efficiency in those school districts.
135.8    Subd. 2. Remediation costs. Independent School District No. 611, Cyrus, may
135.9identify all health and safety remediation costs related to the demolition of the Cyrus
135.10school building and submit those amounts to the commissioner of education for approval.
135.11Any approved costs may be included either in the district's health and safety plan or in the
135.12bonding authority authorized under subdivision 3.
135.13    Subd. 3. Facility bonds. Independent School District No. 611, Cyrus, may issue
135.14general obligation bonds without an election under Minnesota Statutes, chapter 475,
135.15in an amount approved by the commissioner of education for the costs associated with
135.16demolishing the Cyrus school building. The bonds must be repaid within ten years of
135.17issuance.
135.18    Subd. 4. Reorganization operating debt determined. Independent School District
135.19No. 611, Cyrus, must estimate its reorganization operating debt according to Minnesota
135.20Statutes, section 123B.82, and submit that amount to the commissioner of education
135.21for approval.
135.22    Subd. 5. Reorganization operating debt bonds. Independent School District No.
135.23611, Cyrus, may issue general obligation bonds without an election under Minnesota
135.24Statutes, chapter 475, in an amount not to exceed the reorganization operating debt
135.25approved by the commissioner of education under subdivision 2. The bonds must be
135.26repaid within six years of issuance.
135.27    Subd. 6. Repayment. The bonded debt issued under this section remains payable
135.28by the taxable property located within the boundaries of former Independent School
135.29District No. 611, Cyrus.
135.30EFFECTIVE DATE.This section is effective the day following final enactment.

136.1    Sec. 5. APPROPRIATIONS.
136.2    Subdivision 1. Department of Education. The sums indicated in this section are
136.3appropriated from the general fund to the Department of Education for the fiscal years
136.4designated.
136.5    Subd. 2. Health and safety revenue. For health and safety aid according to
136.6Minnesota Statutes, section 123B.57, subdivision 5:
136.7
$
463,000
.....
2014
136.8
$
434,000
.....
2015
136.9The 2014 appropriation includes $26,000 for 2013 and $437,000 for 2014.
136.10The 2015 appropriation includes $68,000 for 2014 and $366,000 for 2015.
136.11    Subd. 3. Debt service equalization. For debt service aid according to Minnesota
136.12Statutes, section 123B.53, subdivision 6:
136.13
$
19,083,000
.....
2014
136.14
$
25,046,000
.....
2015
136.15The 2014 appropriation includes $2,397,000 for 2013 and $16,686,000 for 2014.
136.16The 2015 appropriation includes $2,626,000 for 2014 and $22,420,000 for 2015.
136.17    Subd. 4. Alternative facilities bonding aid. For alternative facilities bonding aid,
136.18according to Minnesota Statutes, section 123B.59, subdivision 1:
136.19
$
19,287,000
.....
2014
136.20
$
19,287,000
.....
2015
136.21The 2014 appropriation includes $2,623,000 for 2013 and $16,664,000 for 2014.
136.22The 2015 appropriation includes $2,623,000 for 2014 and $16,664,000 for 2015.
136.23    Subd. 5. Equity in telecommunications access. For equity in telecommunications
136.24access:
136.25
$
3,750,000
.....
2014
136.26
$
3,750,000
.....
2015
136.27If the appropriation amount is insufficient, the commissioner shall reduce the
136.28reimbursement rate in Minnesota Statutes, section 125B.26, subdivisions 4 and 5, and the
136.29revenue for fiscal years 2014 and 2015 shall be prorated.
136.30Any balance in the first year does not cancel but is available in the second year.
136.31    Subd. 6. Deferred maintenance aid. For deferred maintenance aid, according to
136.32Minnesota Statutes, section 123B.591, subdivision 4:
137.1
$
3,564,000
.....
2014
137.2
$
3,731,000
.....
2015
137.3The 2014 appropriation includes $456,000 for 2013 and $3,108,000 for 2014.
137.4The 2015 appropriation includes $489,000 for 2014 and $3,242,000 for 2015.

137.5ARTICLE 7
137.6NUTRITION; LIBRARIES; ACCOUNTING

137.7    Section 1. Minnesota Statutes 2012, section 124D.111, subdivision 1, is amended to
137.8read:
137.9    Subdivision 1. School lunch aid computation. Each school year, the state must pay
137.10participants in the national school lunch program the amount of 12 13 cents for each full
137.11paid, reduced reduced-price, and free student lunch served to students.
137.12EFFECTIVE DATE.This section is effective July 1, 2013, for aid payments for
137.13fiscal year 2014 and later.

137.14    Sec. 2. Minnesota Statutes 2012, section 124D.119, is amended to read:
137.15124D.119 SUMMER FOOD SERVICE REPLACEMENT AID.
137.16States State funds are available to compensate department-approved summer food
137.17program sponsors for reduced federal operating reimbursement rates under Public Law
137.18104-193, the federal summer food service program. A sponsor is eligible for summer food
137.19service replacement aid equal to the sum of the following amounts:. Reimbursement shall
137.20be made on December 15 based on total meals served by each sponsor from the end of the
137.21school year to the beginning of the next school year on a pro rata basis.
137.22(1) for breakfast service, up to four cents per breakfast served by the sponsor during
137.23the current program year;
137.24(2) for lunch or supper service, up to 14 cents per lunch or supper served by the
137.25sponsor during the current program year; and
137.26(3) for supplement service, up to ten cents per supplement served by the sponsor
137.27during the current program year.

137.28    Sec. 3. FUND TRANSFER; FISCAL YEARS 2014 AND 2015 ONLY.
137.29(a) Notwithstanding Minnesota Statutes, section 123B.80, subdivision 3, for
137.30fiscal years 2014 and 2015 only, the commissioner must approve a request for a fund
137.31transfer if the transfer does not increase state aid obligations to the district or result in
137.32additional property tax authority for the district. This section does not permit transfers
138.1from the community service fund, the food service fund, or the reserved account for
138.2staff development under section 122A.61.
138.3(b) A school board may approve a fund transfer under paragraph (a) only after
138.4adopting a resolution stating the fund transfer will not diminish instructional opportunities
138.5for students.
138.6EFFECTIVE DATE.This section is effective July 1, 2013.

138.7    Sec. 4. SCHOOL PAYMENT SHIFTS.
138.8For fiscal years 2014 and later, any increase in an aid entitlement for an aid program
138.9subject to the aid payment shift must have a current year aid payment percent of 90.
138.10For taxes payable in 2014 and later, no appropriations gains from a property tax early
138.11recognition shift may be recognized on any change in school district levies.
138.12EFFECTIVE DATE.This section is effective the day following final enactment.

138.13    Sec. 5. APPROPRIATIONS.
138.14    Subdivision 1. Department of Education. The sums indicated in this section are
138.15appropriated from the general fund to the Department of Education for the fiscal years
138.16designated.
138.17    Subd. 2. School lunch. For school lunch aid according to Minnesota Statutes,
138.18section 124D.111, and Code of Federal Regulations, title 7, section 210.17:
138.19
$
13,513,000
.....
2014
138.20
$
13,763,000
.....
2015
138.21    Subd. 3. School breakfast. For traditional school breakfast aid under Minnesota
138.22Statutes, section 124D.1158:
138.23
$
5,711,000
.....
2014
138.24
$
6,022,000
.....
2015
138.25    Subd. 4. Kindergarten milk. For kindergarten milk aid under Minnesota Statutes,
138.26section 124D.118:
138.27
$
1,039,000
.....
2014
138.28
$
1,049,000
.....
2015
138.29    Subd. 5. Summer food service replacement aid. For summer food service
138.30replacement aid under Minnesota Statutes, section 124D.119:
139.1
$
150,000
.....
2014
139.2
$
150,000
.....
2015
139.3    Subd. 6. Basic system support. For basic system support grants under Minnesota
139.4Statutes, section 134.355:
139.5
$
13,570,000
.....
2014
139.6
$
13,570,000
.....
2015
139.7The 2014 appropriation includes $1,845,000 for 2013 and $11,725,000 for 2014.
139.8The 2015 appropriation includes $1,845,000 for 2014 and $11,725,000 for 2015.
139.9    Subd. 7. Multicounty, multitype library systems. For grants under Minnesota
139.10Statutes, sections 134.353 and 134.354, to multicounty, multitype library systems:
139.11
$
1,300,000
.....
2014
139.12
$
1,300,000
.....
2015
139.13The 2014 appropriation includes $176,000 for 2013 and $1,124,000 for 2014.
139.14The 2015 appropriation includes $176,000 for 2014 and $1,124,000 for 2015.
139.15    Subd. 8. Electronic library for Minnesota. For statewide licenses to online
139.16databases selected in cooperation with the Minnesota Office of Higher Education for
139.17school media centers, public libraries, state government agency libraries, and public
139.18or private college or university libraries:
139.19
$
900,000
.....
2014
139.20
$
900,000
.....
2015
139.21Any balance in the first year does not cancel but is available in the second year.
139.22    Subd. 9. Regional library telecommunications aid. For regional library
139.23telecommunications aid under Minnesota Statutes, section 134.355:
139.24
$
2,300,000
.....
2014
139.25
$
2,300,000
.....
2015
139.26The 2014 appropriation includes $312,000 for 2013 and $1,988,000 for 2014.
139.27The 2015 appropriation includes $312,000 for 2014 and $1,988,000 for 2015.

139.28    Sec. 6. REVISOR'S INSTRUCTION.
139.29In Minnesota Statutes and Minnesota Rules, the revisor of statutes shall substitute
139.30the term "Division of State Library Services" for "Library Development and Services,"
139.31"Office of Library Development and Services," or "LDS" where "LDS" stands for "Library
140.1Development and Services." The revisor shall also make grammatical changes related
140.2to the changes in terms.

140.3ARTICLE 8
140.4EARLY CHILDHOOD; SELF-SUFFICIENCY; LIFELONG LEARNING

140.5    Section 1. [16F.01] MINNESOTA YOUTH COUNCIL COMMITTEE.
140.6    Subdivision 1. Establishment and membership. The Minnesota Youth Council
140.7Committee is established within and under the auspices of the Minnesota Alliance With
140.8Youth. The committee consists of four members from each congressional district in
140.9Minnesota and four members selected at-large. Members must be selected through an
140.10application and interview process conducted by the Minnesota Alliance With Youth. In
140.11making its appointments, the Minnesota Alliance With Youth should strive to ensure
140.12gender and ethnic diversity in the committee's membership. Members must be between
140.13the ages of 13 and 19 and serve two-year terms, except that one-half of the initial members
140.14must serve a one-year term. Members may serve a maximum of two terms.
140.15    Subd. 2. Duties. The Minnesota Youth Council Committee shall:
140.16(1) provide advice and recommendations to the legislature and the governor on
140.17issues affecting youth;
140.18(2) serve as a liaison for youth around the state to the legislature and the governor; and
140.19(3) submit an annual report of the council's activities and goals.
140.20    Subd. 3. Partnerships. The Minnesota Youth Council Committee shall partner with
140.21nonprofits, the private sector, and educational resources to fulfill its duties.
140.22    Subd. 4. Youth Council Committee in the legislature. (a) The Minnesota Youth
140.23Council Committee shall meet at least twice each year during the regular session of the
140.24legislature.
140.25(b) The committee may:
140.26(1) select introduced bills in the house of representatives and senate for consideration
140.27for a public hearing before the committee;
140.28(2) propose youth legislation;
140.29(3) provide advisory opinions to the legislature on bills heard before the committee;
140.30and
140.31(4) prepare a youth omnibus bill.
140.32(c) The leaders of the majority and minority parties of the house of representatives
140.33and senate shall each appoint one legislator to serve as a legislative liaison to the
140.34committee. Leadership of the house of representatives and senate, on rotating years, may
140.35appoint a staff member to staff the committee.

141.1    Sec. 2. [124D.143] EARLY LEARNING SCHOLARSHIPS.
141.2    Subdivision 1. Early learning scholarships established. The Office of Early
141.3Learning must oversee the early learning scholarship program in consultation with the
141.4Minnesota Departments of Education, Human Services, and Health.
141.5    Subd. 2. Duties. The Office of Early Learning shall administer the early learning
141.6scholarship program, establish participation standards for children and their families,
141.7develop criteria for qualifying providers based on section 124D.142, and contract for
141.8administrative services as necessary with a resource and referral organization under
141.9section 119B.19, or other nonprofit or public entity.
141.10    Subd. 3. Definitions. (a) The terms defined in the subdivision apply to this section.
141.11(b) "Director" means the director of the Office of Early Learning.
141.12(c) "Eligible program" means a Head Start program under section 119A.50, school
141.13readiness program under section 124D.15, or other school district child-based program
141.14designed to provide early education services to children not yet in kindergarten, licensed
141.15center-based child care program under chapter 245A, or licensed family child care
141.16program under chapter 245A or other program providing early learning opportunities.
141.17(d) "Income" has the meaning given in section 119B.011, subdivision 15.
141.18(e) "Parent" means the parent or legal guardian of a child.
141.19(f) "Prospective program" means an eligible program that makes a commitment to
141.20enhance its quality of education and care and demonstrates to the director's satisfaction
141.21that the program is pursuing a program rating. For fiscal year 2016 and later, a prospective
141.22program must cite a hardship or demonstrate a special circumstance as to why the program
141.23is not yet ready to enter the rating process before the director may grant it eligibility.
141.24(g) "Rated program" means an eligible program that receives one, two, three, or four
141.25stars under the quality rating and improvement system established in section 124D.142.
141.26    Subd. 4. Participant eligibility. The parent of a child who will be at least three
141.27years of age as of September 1 of the year of application is eligible to apply for an early
141.28learning scholarship if the family's income is at or below 185 percent of the federal poverty
141.29level. The director of the Office of Early Learning may specify the form and manner of
141.30the application for a scholarship. The director may establish a method to determine family
141.31income but a parent meets this requirement by documenting their child's identification
141.32through another public funding eligibility process, including the free and reduced-price
141.33lunch program, National School Lunch Act, United States Code, title 42, section 1751, part
141.34210; Head Start under federal Improving Head Start for School Readiness Act of 2007;
141.35Minnesota family investment program under chapter 256J; the Federal Supplemental
141.36Nutrition Assistance Program; and child care assistance programs under chapter 119B and
142.1no further information to verify income is required. Notwithstanding the other provisions
142.2of this section, a parent under age 21 who is pursuing a high school or general education
142.3equivalency diploma is eligible for an early learning scholarship if the parent has a child
142.4age zero to five years old and meets the income eligibility guidelines in this subdivision.
142.5    Subd. 5. Scholarship amount. The director annually shall determine the maximum
142.6scholarship amounts based on the annual early care and education provider market survey
142.7results adjusted for inflation as determined by the director, and may establish a range
142.8of scholarship amounts taking into account the child's level of need and geographic
142.9location. The director shall establish a scholarship amount schedule according to the
142.10eligible program's rating and prospective programs under subdivision 3, paragraph
142.11(g). The scholarship amounts may be designed to be layered around other assistance
142.12programs available to that child. The director shall not consider local funds allocated to
142.13support an early learning program when layering scholarships around other assistance
142.14programs. Eligible providers must be notified of the scholarship allocations available in
142.15their geographic location.
142.16    Subd. 6. Award of scholarships. (a) The director shall establish application
142.17timelines and determine the schedule for awarding scholarships that meets operational
142.18needs of eligible programs. The director may prioritize applications on factors including
142.19family income, geographic location, and needs of the child. By March 15, eligible
142.20programs may notify the director of the number of scholarship-eligible children who are
142.21eligible under subdivision 4, and who have applied for enrollment in that program. To
142.22facilitate enrollment planning, by April 15, the director shall notify eligible programs that
142.23have provided enrollment information under this paragraph of the scholarship status of
142.24each applicant. To the extent practicable and taking into account family mobility, the
142.25scholarships must be awarded to eligible recipients beginning April 15 of each year for
142.26a child's participation in a program starting in August or September of that year. Any
142.27siblings of a child who has been awarded a scholarship under this section must be awarded
142.28a scholarship upon request provided the sibling attends the same program. A child who
142.29has received a scholarship under this section must continue to receive a scholarship until
142.30that child enrolls in kindergarten or turns six years of age.
142.31(b) A three- or four-star rated program that has a waiting list of children eligible for
142.32scholarships may notify the director of the program's desire to serve additional children in
142.33order to accommodate scholarship recipients. The director may designate a predetermined
142.34number of scholarship slots for that program and notify the program of that number.
142.35(c) A scholarship recipient may choose any available program and is not required to
142.36enroll in a program with a predetermined number of slots.
143.1(d) A child who receives a scholarship who has not completed development
143.2screening under sections 121A.16 to 121A.19 must complete that screening within 45
143.3days of first attending an eligible program.
143.4    Subd. 7. Scholarship recipient choice of programs. A scholarship recipient may
143.5choose to apply to any rated program or prospective program for acceptance. If the
143.6scholarship recipient has not been accepted and subsequently enrolled in a rated program
143.7within ten months of receipt of the scholarship, the scholarship cancels and the recipient
143.8must reapply in order to be eligible for another scholarship.
143.9    Subd. 8. Building quality. For fiscal years 2014 and 2015 only, the director must
143.10develop a streamlined process to encourage eligible programs to enter the rating program.
143.11As a part of building quality in the system of providers, the director may grant a parent
143.12authority to use a scholarship at a prospective program.
143.13    Subd. 9. Provider reimbursement. The director may determine the form and
143.14method of payment to the fiscal agent for each program serving a scholarship recipient.
143.15The director may make quarterly payments on behalf of the scholarship recipient in
143.16advance of the services provided to the child, or arrange other payment methods for
143.17providers. The director may request information as necessary from providers to verify
143.18scholarship payments.
143.19    Subd. 10. Earned income calculation. Scholarships paid to providers on behalf
143.20of eligible parents must not be counted as earned income for the purposes of medical
143.21assistance, MinnesotaCare, Minnesota family investment program, diversionary work
143.22program, child care assistance, or Head Start programs. Scholarships paid to providers on
143.23behalf of eligible parents must not be considered child care funds for the purposes of the
143.24child care assistance program under chapter 119B.
143.25    Subd. 11. Student identification number. The director may collect from
143.26participating programs data including, but not limited to, demographic, socioeconomic,
143.27participation, and assessment information related to scholarship program participants.
143.28Data collected under this subdivision are private, as defined by section 13.02, subdivision
143.2912. Participating program providers must treat the student identification numbers in a
143.30confidential manner and must not disclose those numbers except as authorized under this
143.31subdivision. A participating provider is liable for damages resulting from an improper
143.32release of a student identification number under this subdivision.
143.33    Subd. 12. Report required. The director, in consultation with the children's
143.34cabinet, shall develop and implement a plan to publicize and increase parent awareness of
143.35early learning scholarships. The director must report the results of the outreach efforts to
143.36the legislature by January 15 of each year.

144.1    Sec. 3. Minnesota Statutes 2012, section 124D.531, subdivision 1, is amended to read:
144.2    Subdivision 1. State total adult basic education aid. (a) The state total adult basic
144.3education aid for fiscal year 2011 equals $44,419,000, plus any amount that is not paid
144.4during the previous fiscal year as a result of adjustments under subdivision 4, paragraph
144.5(a), or section 124D.52, subdivision 3. The state total adult basic education aid for later
144.6fiscal years equals:
144.7    (1) the state total adult basic education aid for the preceding fiscal year plus any
144.8amount that is not paid for during the previous fiscal year, as a result of adjustments under
144.9subdivision 4, paragraph (a), or section 124D.52, subdivision 3; times
144.10    (2) the lesser of:
144.11    (i) 1.02 1.03; or
144.12    (ii) the average growth in state total contact hours over the prior ten program years.
144.13    Beginning in fiscal year 2002, two percent of the state total adult basic education
144.14aid must be set aside for adult basic education supplemental service grants under section
144.15124D.522 .
144.16    (b) The state total adult basic education aid, excluding basic population aid, equals
144.17the difference between the amount computed in paragraph (a), and the state total basic
144.18population aid under subdivision 2.
144.19EFFECTIVE DATE.This section is effective for revenue for fiscal year 2015
144.20and later.

144.21    Sec. 4. Laws 2011, First Special Session chapter 11, article 7, section 2, subdivision 8,
144.22as amended by Laws 2012, chapter 239, article 3, section 4, is amended to read:
144.23    Subd. 8. Early childhood education scholarships. For grants to early childhood
144.24education scholarships for public or private early childhood preschool programs for
144.25children ages 3 to 5:
144.26
$
2,000,000
.....
2013
144.27(a) All children whose parents or legal guardians meet the eligibility requirements
144.28of paragraph (b) established by the commissioner are eligible to receive early childhood
144.29education scholarships under this section.
144.30(b) A parent or legal guardian is eligible for an early childhood education scholarship
144.31if the parent or legal guardian:
144.32(1) has a child three or four years of age on September 1, beginning in calendar
144.33year 2012; and
145.1(2)(i) has income equal to or less than 47 percent of the state median income in the
145.2current calendar year; or
145.3(ii) can document their child's identification through another public funding
145.4eligibility process, including the Free and Reduced Price Lunch Program, National School
145.5Lunch Act, United States Code, title 42, section 1751, part 210; Head Start under federal
145.6Improving Head Start for School Readiness Act of 2007; Minnesota family investment
145.7program under chapter 256J; and child care assistance programs under chapter 119B.
145.8 Early childhood scholarships may not be counted as earned income for the purposes of
145.9medical assistance, MinnesotaCare, Minnesota family investment program, child care
145.10assistance, or Head Start programs.
145.11Each year, if this appropriation is insufficient to provide early childhood education
145.12scholarships to all eligible children, the Department of Education shall make scholarships
145.13available on a first-come, first-served basis.
145.14The commissioner of education shall submit a written report to the education
145.15committees of the legislature by January 15, 2012, describing its plan for implementation
145.16of scholarships under this subdivision for the 2012-2013 school year.
145.17Any balance in the first year does not cancel but is available in the second year.
145.18The base for this program is $3,000,000 each year.
145.19EFFECTIVE DATE.This section is effective the day following final enactment
145.20and applies to early learning scholarships received during fiscal year 2013.

145.21    Sec. 5. FISCAL YEAR 2014 ONLY.
145.22Notwithstanding the timelines in section 2, for fiscal year 2014 only, the director
145.23shall establish an expedited process to award scholarships to eligible recipients attending
145.24three- or four-star rated programs to accommodate those eligible programs with fall
145.25enrollment deadlines.

145.26    Sec. 6. APPROPRIATIONS.
145.27    Subdivision 1. Department of Education. The sums indicated in this section are
145.28appropriated from the general fund to the Department of Education for the fiscal years
145.29designated.
145.30    Subd. 2. School readiness. For revenue for school readiness programs under
145.31Minnesota Statutes, sections 124D.15 and 124D.16:
145.32
$
10,095,000
.....
2014
145.33
$
10,159,000
.....
2015
146.1The 2014 appropriation includes $1,372,000 for 2013 and $8,723,000 for 2014.
146.2The 2015 appropriation includes $1,372,000 for 2014 and $8,787,000 for 2015.
146.3    Subd. 3. Early childhood family education aid. For early childhood family
146.4education aid under Minnesota Statutes, section 124D.135:
146.5
$
22,078,000
.....
2014
146.6
$
22,425,000
.....
2015
146.7The 2014 appropriation includes $3,008,000 for 2013 and $19,070,000 for 2014.
146.8The 2015 appropriation includes $3,001,000 for 2014 and $19,424,000 for 2015.
146.9    Subd. 4. Health and developmental screening aid. For health and developmental
146.10screening aid under Minnesota Statutes, sections 121A.17 and 121A.19:
146.11
$
3,421,000
.....
2014
146.12
$
3,344,000
.....
2015
146.13The 2014 appropriation includes $474,000 for 2013 and $2,947,000 for 2014.
146.14The 2015 appropriation includes $463,000 for 2014 and $2,881,000 for 2015.
146.15    Subd. 5. Head Start program. For Head Start programs under Minnesota Statutes,
146.16section 119A.52:
146.17
$
22,171,000
.....
2014
146.18
$
20,100,000
.....
2015
146.19For the fiscal year 2014 appropriation only, the lesser of 50 percent of the actual
146.20loss of revenue to sequestration or $2,071,000 must be used to replace a portion of the
146.21federal funds lost to sequestration and must be distributed proportionate to the loss among
146.22all programs.
146.23    Subd. 6. Educate parents partnership. For the educate parents partnership under
146.24Minnesota Statutes, section 124D.129:
146.25
$
49,000
.....
2014
146.26
$
49,000
.....
2015
146.27    Subd. 7. Kindergarten entrance assessment initiative and intervention
146.28program. For the kindergarten entrance assessment initiative and intervention program
146.29under Minnesota Statutes, section 124D.162:
146.30
$
281,000
.....
2014
146.31
$
281,000
.....
2015
147.1    Subd. 8. Early childhood education scholarships. For transfer to the Office of
147.2Early Learning for early learning scholarships under Minnesota Statutes, section 124D.143:
147.3
$
25,000,000
.....
2014
147.4
$
31,000,000
.....
2015
147.5Up to $950,000 each year is for administration of this program.
147.6Any balance in the first year does not cancel but is available in the second year.
147.7The base for this program is $52,000,000 for fiscal year 2016 and $75,000,000 for
147.8fiscal year 2017 and later.
147.9    Subd. 9. Parent-child home program. For a grant for a parent-child home program:
147.10
$
$250,000
.....
2014
147.11
$
$250,000
.....
2015
147.12    The grant must be used for an evidence-based and research-validated early childhood
147.13literacy and school readiness program for children ages 16 months to four years. Any
147.14unexpended balance in the first year does not cancel but is available in the second year.
147.15    Subd. 10. Community education aid. For community education aid under
147.16Minnesota Statutes, section 124D.20:
147.17
$
935,000
.....
2014
147.18
$
1,056,000
.....
2015
147.19The 2014 appropriation includes $118,000 for 2013 and $817,000 for 2014.
147.20The 2015 appropriation includes $128,000 for 2014 and $928,000 for 2015.
147.21    Subd. 11. Adults with disabilities program aid. For adults with disabilities
147.22programs under Minnesota Statutes, section 124D.56:
147.23
$
710,000
.....
2014
147.24
$
710,000
.....
2015
147.25The 2014 appropriation includes $96,000 for 2013 and $614,000 for 2014.
147.26The 2015 appropriation includes $96,000 for 2014 and $614,000 for 2015.
147.27    Subd. 12. Hearing-impaired adults. For programs for hearing-impaired adults
147.28under Minnesota Statutes, section 124D.57:
147.29
$
70,000
.....
2014
147.30
$
70,000
.....
2015
147.31    Subd. 13. School-age care revenue. For extended day aid under Minnesota
147.32Statutes, section 124D.22:
148.1
$
1,000
.....
2014
148.2
$
1,000
.....
2015
148.3The 2014 appropriation includes $0 for 2013 and $1,000 for 2014.
148.4The 2015 appropriation includes $0 for 2014 and $1,000 for 2015.
148.5    Subd. 14. Adult basic education aid. For adult basic education aid under
148.6Minnesota Statutes, section 124D.531:
148.7
$
47,005,000
.....
2014
148.8
$
48,356,000
.....
2015
148.9The 2014 appropriation includes $6,284,000 for 2013 and $40,721,000 for 2014.
148.10The 2015 appropriation includes $6,409,000 for 2014 and $41,947,000 for 2015.
148.11    Subd. 15. GED tests. For payment of 60 percent of the costs of GED tests under
148.12Minnesota Statutes, section 124D.55:
148.13
$
125,000
.....
2014
148.14
$
125,000
.....
2015

148.15ARTICLE 9
148.16STATE AGENCIES

148.17    Section 1. APPROPRIATIONS; DEPARTMENT OF EDUCATION.
148.18    Subdivision 1. Department of Education. Unless otherwise indicated, the sums
148.19indicated in this section are appropriated from the general fund to the Department of
148.20Education for the fiscal years designated.
148.21    Subd. 2. Department. (a) For the Department of Education:
148.22
$
19,214,000
.....
2014
148.23
$
19,386,000
.....
2015
148.24Any balance in the first year does not cancel but is available in the second year.
148.25(b) $260,000 each year is for the Minnesota Children's Museum.
148.26(c) $41,000 each year is for the Minnesota Academy of Science.
148.27(d) $50,000 each year is for the Duluth Children's Museum.
148.28(e) $618,000 each year is for the Board of Teaching. Any balance in the first year
148.29does not cancel but is available in the second year.
148.30(f) $167,000 each year is for the Board of School Administrators. Any balance in
148.31the first year does not cancel but is available in the second year.
149.1(g) The expenditures of federal grants and aids as shown in the biennial budget
149.2document and its supplements are approved and appropriated and shall be spent as
149.3indicated.
149.4(h) None of the amounts appropriated under this subdivision may be used for
149.5Minnesota's Washington, D.C. office.
149.6    Subd. 3. Licensure by portfolio. For licensure by portfolio:
149.7
$
30,000
.....
2014
149.8
$
30,000
.....
2015
149.9This appropriation is from the educator licensure portfolio account of the special
149.10revenue fund.

149.11    Sec. 2. APPROPRIATIONS; MINNESOTA STATE ACADEMIES.
149.12The sums indicated in this section are appropriated from the general fund to the
149.13Minnesota State Academies for the Deaf and the Blind for the fiscal years designated:
149.14
$
11,897,000
.....
2014
149.15
$
11,910,000
.....
2015
149.16$85,000 of the fiscal year 2014 appropriation is for costs associated with upgrading
149.17kitchen facilities. Any balance in the first year does not cancel but is available in the
149.18second year.

149.19    Sec. 3. APPROPRIATIONS; PERPICH CENTER FOR ARTS EDUCATION.
149.20The sums in this section are appropriated from the general fund to the Perpich
149.21Center for Arts Education for the fiscal years designated:
149.22
$
6,786,000
.....
2014
149.23
$
6,848,000
.....
2015
149.24Any balance in the first year does not cancel but is available in the second year.

149.25ARTICLE 10
149.26FORECAST ADJUSTMENTS
149.27A. GENERAL EDUCATION

149.28    Section 1. Laws 2011, First Special Session chapter 11, article 1, section 36, subdivision
149.292, as amended by Laws 2012, chapter 292, article 2, section 1, is amended to read:
149.30    Subd. 2. General education aid. For general education aid under Minnesota
149.31Statutes, section 126C.13, subdivision 4:
150.1
$
5,379,068,000
.....
2012
150.2
150.3
$
5,844,995,000
7,153,701,000
.....
2013
150.4The 2012 appropriation includes $1,660,922,000 for 2011 and $3,718,146,000
150.5for 2012.
150.6The 2013 appropriation includes $2,038,568,000 for 2012 and $3,806,427,000
150.7 $5,115,133,000 for 2013.

150.8    Sec. 2. Laws 2011, First Special Session chapter 11, article 1, section 36, subdivision
150.93, as amended by Laws 2012, chapter 292, article 2, section 2, is amended to read:
150.10    Subd. 3. Enrollment options transportation. For transportation of pupils attending
150.11postsecondary institutions under Minnesota Statutes, section 124D.09, or for transportation
150.12of pupils attending nonresident districts under Minnesota Statutes, section 124D.03:
150.13
$
42,000
.....
2012
150.14
150.15
$
46,000
40,000
.....
2013

150.16    Sec. 3. Laws 2011, First Special Session chapter 11, article 1, section 36, subdivision
150.174, as amended by Laws 2012, chapter 292, article 2, section 3, is amended to read:
150.18    Subd. 4. Abatement revenue. For abatement aid under Minnesota Statutes, section
150.19127A.49 :
150.20
$
1,406,000
.....
2012
150.21
150.22
$
2,072,000
2,503,000
.....
2013
150.23The 2012 appropriation includes $346,000 for 2011 and $1,060,000 for 2012.
150.24The 2013 appropriation includes $588,000 for 2012 and $1,484,000 $1,915,000
150.25 for 2013.

150.26    Sec. 4. Laws 2011, First Special Session chapter 11, article 1, section 36, subdivision
150.275, as amended by Laws 2012, chapter 292, article 2, section 4, is amended to read:
150.28    Subd. 5. Consolidation transition. For districts consolidating under Minnesota
150.29Statutes, section 123A.485:
150.30
$
145,000
.....
2012
150.31
150.32
$
193,000
260,000
.....
2013
150.33The 2012 appropriation includes $145,000 for 2011 and $0 for 2012.
150.34The 2013 appropriation includes $0 for 2012 and $193,000 $260,000 for 2013.

151.1    Sec. 5. Laws 2011, First Special Session chapter 11, article 1, section 36, subdivision
151.26, as amended by Laws 2012, chapter 292, article 2, section 5, is amended to read:
151.3    Subd. 6. Nonpublic pupil education aid. For nonpublic pupil education aid under
151.4Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:
151.5
$
14,302,000
.....
2012
151.6
151.7
$
15,594,000
18,969,000
.....
2013
151.8The 2012 appropriation includes $4,161,000 for 2011 and $10,141,000 for 2012.
151.9The 2013 appropriation includes $5,629,000 for 2012 and $9,965,000 $13,340,000
151.10 for 2013.

151.11    Sec. 6. Laws 2011, First Special Session chapter 11, article 1, section 36, subdivision
151.127, as amended by Laws 2012, chapter 292, article 2, section 6, is amended to read:
151.13    Subd. 7. Nonpublic pupil transportation. For nonpublic pupil transportation aid
151.14under Minnesota Statutes, section 123B.92, subdivision 9:
151.15
$
17,757,000
.....
2012
151.16
151.17
$
19,036,000
23,648,000
.....
2013
151.18The 2012 appropriation includes $5,700,000 for 2011 and $12,057,000 for 2012.
151.19The 2013 appropriation includes $6,694,000 for 2012 and $12,342,000 $16,954,000
151.20 for 2013.

151.21    Sec. 7. Laws 2011, First Special Session chapter 11, article 1, section 36, subdivision
151.2210, as amended by Laws 2012, chapter 292, article 2, section 7, is amended to read:
151.23    Subd. 10. Compensatory pilot project formula aid. For grants for compensatory
151.24pilot project formula aid as calculated under this subdivision:
151.25
151.26
$
9,368,000
13,403,000
.....
2013
151.27For fiscal year 2013 only, a district which has a pupil unit count that is in the top 20
151.28largest pupil unit counts is eligible for the greater of zero or $1,400 times the number of
151.29compensatory pupil units, minus the amount of compensatory education revenue received
151.30by the district under Minnesota Statutes, section 126C.10, subdivision 3.
151.31The 2013 appropriation includes $0 for 2012 and $9,368,000 $13,403,000 for 2013.
151.32This is a onetime appropriation.
151.33B. EDUCATION EXCELLENCE

152.1    Sec. 8. Laws 2011, First Special Session chapter 11, article 2, section 50, subdivision
152.22, as amended by Laws 2012, chapter 292, article 2, section 8, is amended to read:
152.3    Subd. 2. Charter school building lease aid. For building lease aid under Minnesota
152.4Statutes, section 124D.11, subdivision 4:
152.5
$
42,806,000
.....
2012
152.6
152.7
$
48,978,000
60,067,000
.....
2013
152.8The 2012 appropriation includes $12,642,000 for 2011 and $30,164,000 for 2012.
152.9The 2013 appropriation includes $16,746,000 for 2012 and $32,232,000 $43,321,000
152.10 for 2013.

152.11    Sec. 9. Laws 2011, First Special Session chapter 11, article 2, section 50, subdivision
152.124, as amended by Laws 2012, chapter 292, article 2, section 10, is amended to read:
152.13    Subd. 4. Integration aid. For integration aid under Minnesota Statutes, section
152.14124D.86 :
152.15
$
61,181,000
.....
2012
152.16
152.17
$
65,498,000
79,329,000
.....
2013
152.18The 2012 appropriation includes $19,272,000 for 2011 and $41,909,000 for 2012.
152.19The 2013 appropriation includes $23,268,000 for 2012 and $42,230,000 $56,061,000
152.20 for 2013.
152.21The base for the final payment in fiscal year 2014 for fiscal year 2013 is $31,668,000
152.22 $17,197,000.

152.23    Sec. 10. Laws 2011, First Special Session chapter 11, article 2, section 50, subdivision
152.245, as amended by Laws 2012, chapter 292, article 2, section 11, is amended to read:
152.25    Subd. 5. Literacy incentive aid. For literacy incentive aid under Minnesota
152.26Statutes, section 124D.98:
152.27
152.28
$
31,241,000
41,978,000
.....
2013
152.29The 2013 appropriation includes $0 for 2012 and $31,241,000 $41,978,000 for 2013.

152.30    Sec. 11. Laws 2011, First Special Session chapter 11, article 2, section 50, subdivision
152.316, as amended by Laws 2012, chapter 292, article 2, section 12, is amended to read:
152.32    Subd. 6. Interdistrict desegregation or integration transportation grants. For
152.33interdistrict desegregation or integration transportation grants under Minnesota Statutes,
152.34section 124D.87:
153.1
$
13,262,000
.....
2012
153.2
153.3
$
13,966,000
13,260,000
.....
2013

153.4    Sec. 12. Laws 2011, First Special Session chapter 11, article 2, section 50, subdivision
153.57, as amended by Laws 2012, chapter 292, article 2, section 13, is amended to read:
153.6    Subd. 7. Success for the future. For American Indian success for the future grants
153.7under Minnesota Statutes, section 124D.81:
153.8
$
2,013,000
.....
2012
153.9
153.10
$
2,137,000
2,609,000
.....
2013
153.11The 2012 appropriation includes $638,000 for 2011 and $1,375,000 for 2012.
153.12The 2013 appropriation includes $762,000 for 2012 and $1,375,000 $1,847,000
153.13 for 2013.

153.14    Sec. 13. Laws 2011, First Special Session chapter 11, article 2, section 50, subdivision
153.159, as amended by Laws 2012, chapter 292, article 2, section 14, is amended to read:
153.16    Subd. 9. Tribal contract schools. For tribal contract school aid under Minnesota
153.17Statutes, section 124D.83:
153.18
$
1,791,000
.....
2012
153.19
153.20
$
1,969,000
2,353,000
.....
2013
153.21The 2012 appropriation includes $600,000 for 2011 and $1,191,000 for 2012.
153.22The 2013 appropriation includes $660,000 for 2012 and $1,309,000 $1,693,000
153.23 for 2013.
153.24C. SPECIAL EDUCATION

153.25    Sec. 14. Laws 2011, First Special Session chapter 11, article 3, section 11, subdivision
153.262, as amended by Laws 2012, chapter 292, article 2, section 15, is amended to read:
153.27    Subd. 2. Special education; regular. For special education aid under Minnesota
153.28Statutes, section 125A.75:
153.29
$
767,845,000
.....
2012
153.30
153.31
$
856,386,000
1,046,423,000
.....
2013
153.32The 2012 appropriation includes $235,975,000 for 2011 and $531,870,000 for 2012.
153.33The 2013 appropriation includes $295,299,000 for 2012 and $561,087,000
153.34 $751,124,000 for 2013.

154.1    Sec. 15. Laws 2011, First Special Session chapter 11, article 3, section 11, subdivision
154.23, as amended by Laws 2012, chapter 292, article 2, section 16, is amended to read:
154.3    Subd. 3. Aid for children with disabilities. For aid under Minnesota Statutes,
154.4section 125A.75, subdivision 3, for children with disabilities placed in residential facilities
154.5within the district boundaries for whom no district of residence can be determined:
154.6
$
1,508,000
.....
2012
154.7
154.8
$
1,593,000
1,570,000
.....
2013
154.9If the appropriation for either year is insufficient, the appropriation for the other
154.10year is available.

154.11    Sec. 16. Laws 2011, First Special Session chapter 11, article 3, section 11, subdivision
154.124, as amended by Laws 2012, chapter 292, article 2, section 17, is amended to read:
154.13    Subd. 4. Travel for home-based services. For aid for teacher travel for home-based
154.14services under Minnesota Statutes, section 125A.75, subdivision 1:
154.15
$
314,000
.....
2012
154.16
154.17
$
321,000
407,000
.....
2013
154.18The 2012 appropriation includes $107,000 for 2011 and $207,000 for 2012.
154.19The 2013 appropriation includes $114,000 for 2012 and $207,000 $293,000 for 2013.

154.20    Sec. 17. Laws 2011, First Special Session chapter 11, article 3, section 11, subdivision
154.215, as amended by Laws 2012, chapter 292, article 2, section 18, is amended to read:
154.22    Subd. 5. Special education; excess costs. For excess cost aid under Minnesota
154.23Statutes, section 125A.79, subdivision 7:
154.24
$
107,557,000
.....
2012
154.25
154.26
$
115,269,000
134,121,000
.....
2013
154.27The 2012 appropriation includes $53,449,000 for 2011 and $54,108,000 for 2012.
154.28The 2013 appropriation includes $59,607,000 for 2012 and $55,662,000 $74,514,000
154.29 for 2013.
154.30D. FACILITIES AND TECHNOLOGY

154.31    Sec. 18. Laws 2011, First Special Session chapter 11, article 4, section 10, subdivision
154.322, as amended by Laws 2012, chapter 292, article 2, section 19, is amended to read:
154.33    Subd. 2. Health and safety revenue. For health and safety aid according to
154.34Minnesota Statutes, section 123B.57, subdivision 5:
155.1
$
98,000
.....
2012
155.2
155.3
$
157,000
200,000
.....
2013
155.4The 2012 appropriation includes $39,000 for 2011 and $59,000 for 2012.
155.5The 2013 appropriation includes $32,000 for 2012 and $125,000 $168,000 for 2013.

155.6    Sec. 19. Laws 2011, First Special Session chapter 11, article 4, section 10, subdivision
155.73, as amended by Laws 2012, chapter 292, article 2, section 20, is amended to read:
155.8    Subd. 3. Debt service equalization. For debt service aid according to Minnesota
155.9Statutes, section 123B.53, subdivision 6:
155.10
$
11,625,000
.....
2012
155.11
155.12
$
16,342,000
20,237,000
.....
2013
155.13The 2012 appropriation includes $2,604,000 for 2011 and $9,021,000 for 2012.
155.14The 2013 appropriation includes $5,008,000 for 2012 and $11,334,000 $15,229,000
155.15 for 2013.

155.16    Sec. 20. Laws 2011, First Special Session chapter 11, article 4, section 10, subdivision
155.174, as amended by Laws 2012, chapter 292, article 2, section 21, is amended to read:
155.18    Subd. 4. Alternative facilities bonding aid. For alternative facilities bonding aid,
155.19according to Minnesota Statutes, section 123B.59, subdivision 1:
155.20
$
18,187,000
.....
2012
155.21
155.22
$
19,287,000
23,549,000
.....
2013
155.23The 2012 appropriation includes $5,785,000 for 2011 and $12,402,000 for 2012.
155.24The 2013 appropriation includes $6,885,000 for 2012 and $12,402,000 $16,664,000
155.25 for 2013.

155.26    Sec. 21. Laws 2011, First Special Session chapter 11, article 4, section 10, subdivision
155.276, as amended by Laws 2012, chapter 292, article 2, section 22, is amended to read:
155.28    Subd. 6. Deferred maintenance aid. For deferred maintenance aid, according to
155.29Minnesota Statutes, section 123B.591, subdivision 4:
155.30
$
2,331,000
.....
2012
155.31
155.32
$
3,141,000
3,817,000
.....
2013
155.33The 2012 appropriation includes $676,000 for 2011 and $1,655,000 for 2012.
156.1The 2013 appropriation includes $918,000 for 2012 and $2,223,000 $2,899,000
156.2 for 2013.
156.3E. NUTRITION AND LIBRARIES

156.4    Sec. 22. Laws 2011, First Special Session chapter 11, article 5, section 12, subdivision
156.52, as amended by Laws 2012, chapter 292, article 2, section 23, is amended to read:
156.6    Subd. 2. School lunch. For school lunch aid according to Minnesota Statutes,
156.7section 124D.111, and Code of Federal Regulations, title 7, section 210.17:
156.8
$
12,285,000
.....
2012
156.9
156.10
$
12,524,000
12,266,000
.....
2013

156.11    Sec. 23. Laws 2011, First Special Session chapter 11, article 5, section 12, subdivision
156.123, as amended by Laws 2012, chapter 292, article 2, section 24, is amended to read:
156.13    Subd. 3. School breakfast. For traditional school breakfast aid under Minnesota
156.14Statutes, section 124D.1158:
156.15
$
5,247,000
.....
2012
156.16
156.17
$
5,560,000
5,417,000
.....
2013

156.18    Sec. 24. Laws 2011, First Special Session chapter 11, article 5, section 12, subdivision
156.194, as amended by Laws 2012, chapter 292, article 2, section 25, is amended to read:
156.20    Subd. 4. Kindergarten milk. For kindergarten milk aid under Minnesota Statutes,
156.21section 124D.118:
156.22
$
1,025,000
.....
2012
156.23
156.24
$
1,035,000
1,019,000
.....
2013

156.25    Sec. 25. Laws 2011, First Special Session chapter 11, article 6, section 2, subdivision
156.262, as amended by Laws 2012, chapter 292, article 2, section 26, is amended to read:
156.27    Subd. 2. Basic system support. For basic system support grants under Minnesota
156.28Statutes, section 134.355:
156.29
$
12,797,000
.....
2012
156.30
156.31
$
13,570,000
16,569,000
.....
2013
156.32The 2012 appropriation includes $4,071,000 for 2011 and $8,726,000 for 2012.
157.1The 2013 appropriation includes $4,844,000 for 2012 and $8,726,000 $11,725,000
157.2 for 2013.

157.3    Sec. 26. Laws 2011, First Special Session chapter 11, article 6, section 2, subdivision
157.43, as amended by Laws 2012, chapter 292, article 2, section 27, is amended to read:
157.5    Subd. 3. Multicounty, multitype library systems. For grants under Minnesota
157.6Statutes, sections 134.353 and 134.354, to multicounty, multitype library systems:
157.7
$
1,226,000
.....
2012
157.8
157.9
$
1,300,000
1,588,000
.....
2013
157.10The 2012 appropriation includes $390,000 for 2011 and $836,000 for 2012.
157.11The 2013 appropriation includes $464,000 for 2012 and $836,000 $1,124,000 for
157.122013.

157.13    Sec. 27. Laws 2011, First Special Session chapter 11, article 6, section 2, subdivision
157.145, as amended by Laws 2012, chapter 292, article 2, section 28, is amended to read:
157.15    Subd. 5. Regional library telecommunications aid. For regional library
157.16telecommunications aid under Minnesota Statutes, section 134.355:
157.17
$
2,169,000
.....
2012
157.18
157.19
$
2,300,000
2,809,000
.....
2013
157.20The 2012 appropriation includes $690,000 for 2011 and $1,479,000 for 2012.
157.21The 2013 appropriation includes $821,000 for 2012 and $1,479,000 $1,988,000
157.22 for 2013.
157.23F. EARLY CHILDHOOD EDUCATION, PREVENTION, AND
157.24LIFELONG LEARNING

157.25    Sec. 28. Laws 2011, First Special Session chapter 11, article 7, section 2, subdivision
157.262, as amended by Laws 2012, chapter 292, article 2, section 29, is amended to read:
157.27    Subd. 2. School readiness. For revenue for school readiness programs under
157.28Minnesota Statutes, sections 124D.15 and 124D.16:
157.29
$
9,444,000
.....
2012
157.30
157.31
$
10,095,000
12,326,000
.....
2013
157.32The 2012 appropriation includes $2,952,000 for 2011 and $6,492,000 for 2012.
157.33The 2013 appropriation includes $3,603,000 for 2012 and $6,492,000 $8,723,000
157.34 for 2013.

158.1    Sec. 29. Laws 2011, First Special Session chapter 11, article 7, section 2, subdivision
158.23, as amended by Laws 2012, chapter 292, article 2, section 30, is amended to read:
158.3    Subd. 3. Early childhood family education aid. For early childhood family
158.4education aid under Minnesota Statutes, section 124D.135:
158.5
$
21,099,000
.....
2012
158.6
158.7
$
22,358,000
27,197,000
.....
2013
158.8The 2012 appropriation includes $6,542,000 for 2011 and $14,557,000 for 2012.
158.9The 2013 appropriation includes $8,082,000 for 2012 and $14,276,000 $19,115,000
158.10 for 2013.

158.11    Sec. 30. Laws 2011, First Special Session chapter 11, article 7, section 2, subdivision
158.124, as amended by Laws 2012, chapter 292, article 2, section 31, is amended to read:
158.13    Subd. 4. Health and developmental screening aid. For health and developmental
158.14screening aid under Minnesota Statutes, sections 121A.17 and 121A.19:
158.15
$
3,359,000
.....
2012
158.16
158.17
$
3,543,000
4,287,000
.....
2013
158.18The 2012 appropriation includes $1,066,000 for 2011 and $2,293,000 for 2012.
158.19The 2013 appropriation includes $1,273,000 for 2012 and $2,270,000 $3,014,000
158.20 for 2013.

158.21    Sec. 31. Laws 2011, First Special Session chapter 11, article 8, section 2, subdivision
158.222, as amended by Laws 2012, chapter 292, article 2, section 32, is amended to read:
158.23    Subd. 2. Community education aid. For community education aid under
158.24Minnesota Statutes, section 124D.20:
158.25
$
442,000
.....
2012
158.26
158.27
$
746,000
926,000
.....
2013
158.28The 2012 appropriation includes $134,000 for 2011 and $308,000 for 2012.
158.29The 2013 appropriation includes $170,000 for 2012 and $576,000 $756,000 for 2013.

158.30    Sec. 32. Laws 2011, First Special Session chapter 11, article 8, section 2, subdivision
158.313, as amended by Laws 2012, chapter 292, article 2, section 33, is amended to read:
158.32    Subd. 3. Adults with disabilities program aid. For adults with disabilities
158.33programs under Minnesota Statutes, section 124D.56:
159.1
$
654,000
.....
2012
159.2
159.3
$
710,000
867,000
.....
2013
159.4The 2012 appropriation includes $197,000 for 2011 and $457,000 for 2012.
159.5The 2013 appropriation includes $253,000 for 2012 and $457,000 $614,000 for 2013.

159.6    Sec. 33. Laws 2011, First Special Session chapter 11, article 9, section 3, subdivision
159.72, as amended by Laws 2012, chapter 292, article 2, section 34, is amended to read:
159.8    Subd. 2. Adult basic education aid. For adult basic education aid under Minnesota
159.9Statutes, section 124D.531:
159.10
$
42,526,000
.....
2012
159.11
159.12
$
45,901,000
56,113,000
.....
2013
159.13The 2012 appropriation includes $13,364,000 for 2011 and $29,162,000 for 2012.
159.14The 2013 appropriation includes $16,190,000 for 2012 and $29,711,000 $39,923,000
159.15 for 2013."
159.16Delete the title and insert:
159.17"A bill for an act
159.18relating to education; providing funding and policy for early childhood and
159.19family, prekindergarten through grade 12, and adult education, including general
159.20education, student accountability, education excellence, charter schools, special
159.21education, facilities, technology, nutrition, libraries, accounting, early childhood,
159.22self-sufficiency, lifelong learning, state agencies, and forecast adjustments;
159.23authorizing rulemaking; requiring reports; appropriating money;amending
159.24Minnesota Statutes 2012, sections 15.059, subdivision 5b; 120A.20, subdivision
159.251; 120A.40; 120A.41; 120B.02; 120B.021, subdivision 1; 120B.023; 120B.024;
159.26120B.125; 120B.128; 120B.30, subdivisions 1, 1a; 120B.31, subdivision
159.271; 120B.35, subdivision 3; 120B.36, subdivision 1; 121A.22, subdivision
159.282; 121A.2205; 122A.09, subdivision 4; 122A.18, subdivision 2; 122A.23,
159.29subdivision 2; 122A.28, subdivision 1; 122A.33, subdivision 3; 122A.61,
159.30subdivision 1; 123B.54; 123B.88, subdivision 22; 123B.92, subdivisions 1,
159.315; 124D.02, subdivision 1; 124D.10; 124D.11, subdivision 5; 124D.111,
159.32subdivision 1; 124D.119; 124D.122; 124D.128, subdivision 2; 124D.42;
159.33124D.4531, subdivision 1; 124D.52, by adding a subdivision; 124D.531,
159.34subdivision 1; 124D.59, subdivision 2; 124D.61; 124D.79, subdivision 1,
159.35by adding a subdivision; 125A.0941; 125A.0942; 125A.11, subdivision 1;
159.36125A.27, subdivisions 8, 11, 14; 125A.28; 125A.29; 125A.30; 125A.32;
159.37125A.33; 125A.35, subdivision 1; 125A.36; 125A.43; 125A.76, subdivisions 1,
159.384a, 8, by adding subdivisions; 125A.78, subdivision 2; 125A.79, subdivisions
159.391, 5; 126C.01, by adding a subdivision; 126C.05, subdivision 1; 126C.10,
159.40subdivisions 1, 2, 14, 24, 29, 32; 126C.15, subdivisions 1, 2; 126C.17,
159.41subdivisions 1, 5, 6; 126C.40, subdivision 6; 126C.44; 126C.48, subdivision
159.428; 127A.47, subdivision 7; 128D.11, subdivision 3; 260A.02, subdivision 3;
159.43260A.03; 260A.05, subdivision 1; 260A.07, subdivision 1; Laws 2007, chapter
159.44146, article 4, section 12; Laws 2011, First Special Session chapter 11, article
159.451, section 36, subdivisions 2, as amended, 3, as amended, 4, as amended, 5, as
159.46amended, 6, as amended, 7, as amended, 10, as amended; article 2, section 50,
159.47subdivisions 2, as amended, 4, as amended, 5, as amended, 6, as amended, 7, as
160.1amended, 9, as amended; article 3, section 11, subdivisions 2, as amended, 3, as
160.2amended, 4, as amended, 5, as amended; article 4, section 10, subdivisions 2, as
160.3amended, 3, as amended, 4, as amended, 6, as amended; article 5, section 12,
160.4subdivisions 2, as amended, 3, as amended, 4, as amended; article 6, section 2,
160.5subdivisions 2, as amended, 3, as amended, 5, as amended; article 7, section 2,
160.6subdivisions 2, as amended, 3, as amended, 4, as amended, 8, as amended; article
160.78, section 2, subdivisions 2, as amended, 3, as amended; article 9, section 3,
160.8subdivision 2, as amended; proposing coding for new law in Minnesota Statutes,
160.9chapters 120B; 121A; 124D; 126C; proposing coding for new law as Minnesota
160.10Statutes, chapter 16F; repealing Minnesota Statutes 2012, sections 124D.454,
160.11subdivisions 3, 10, 11; 125A.35, subdivisions 4, 5; 125A.76, subdivisions 2, 4,
160.125, 7; 125A.79, subdivisions 6, 7; 126C.17, subdivision 13; Minnesota Rules,
160.13parts 3501.0010; 3501.0020; 3501.0030, subparts 1, 2, 3, 4, 5, 6, 7, 9, 10, 11,
160.1412, 13, 14, 15, 16; 3501.0040; 3501.0050; 3501.0060; 3501.0090; 3501.0100;
160.153501.0110; 3501.0120; 3501.0130; 3501.0140; 3501.0150; 3501.0160;
160.163501.0170; 3501.0180; 3501.0200; 3501.0210; 3501.0220; 3501.0230;
160.173501.0240; 3501.0250; 3501.0270; 3501.0280, subparts 1, 2; 3501.0290;
160.183501.0505; 3501.0510; 3501.0515; 3501.0520; 3501.0525; 3501.0530;
160.193501.0535; 3501.0540; 3501.0545; 3501.0550; 3501.1000; 3501.1020;
160.203501.1030; 3501.1040; 3501.1050; 3501.1110; 3501.1120; 3501.1130;
160.213501.1140; 3501.1150; 3501.1160; 3501.1170; 3501.1180; 3501.1190."