A charter school serving deaf and hard of hearing students will be spared from having to close for lack of cash flow.
Sponsored by Rep. Mindy Greiling (DFL-Roseville) and taken up by House and Senate on the last full day of the session after the rules were suspended, the law is effective May 26, 2010.
Metro Deaf School-Minnesota North Star Academy requested an acceleration of its cash flow payments from the state, which otherwise could be delayed because of the special education billing process.
Although unintentional, the consequences of a 2006 law affect the school more than any other in the state. The new law makes an exception to the normal requirement that the Education Department reimburse school districts and charter schools for special education services rendered rather than pay them forward.
The school, with 100 percent of its students qualifying for special education, does not have a fund balance or cash reserve.
The accelerated payments to the charter school mean that special education reimbursement payments to other school districts and charters will be slightly reduced.
The law also appropriates $16.9 million in fiscal year 2012 and $19.18 million in fiscal year 2013 and beyond from the General Fund to the education commissioner for payment of debt service equalization aid.
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