1.2relating to education; providing for general education; education excellence;
1.3special programs; facilities and technology; nutrition and accounting; libraries;
1.4early childhood education; prevention; self-sufficiency and lifelong learning;
1.5state agencies; and forecast adjustments; appropriating money;amending
1.6Minnesota Statutes 2010, sections 11A.16, subdivision 5; 120A.22, subdivision
1.711; 120A.24; 120B.023, subdivision 2; 120B.07; 121A.15, subdivision 8;
1.8122A.09, subdivision 4; 122A.18, subdivision 2; 122A.40, subdivisions 7, 9,
1.911, 13, 15, 16, by adding subdivisions; 122A.41, subdivisions 4, 14, by adding
1.10a subdivision; 123B.42, subdivision 1; 123B.44, subdivision 1; 123B.54;
1.11123B.57; 123B.63, subdivision 3; 123B.75, subdivision 5; 123B.88, by adding a
1.12subdivision; 123B.92, subdivision 1; 124D.09, subdivisions 5, 7, 8; 124D.10,
1.13subdivision 3; 124D.11, subdivision 4; 124D.36; 124D.37; 124D.38, subdivision
1.143; 124D.385, subdivision 3; 124D.39; 124D.40; 124D.42; 124D.44; 124D.45,
1.15subdivision 2; 124D.4531, subdivision 1; 124D.531, subdivisions 1, 4; 124D.59,
1.16subdivision 2; 125A.69, subdivision 1; 125A.76, subdivision 1; 125A.79,
1.17subdivision 1; 126C.10, subdivisions 2, 3, 7, 8, 8a, 14, 18; 126C.126; 126C.20;
1.18126C.40, subdivision 1; 126C.44; 127A.441; 127A.45, subdivisions 2, 6a;
1.19127A.46; 134.195, subdivision 8; 171.05, subdivision 2; 171.17, subdivision 1;
1.20171.22, subdivision 1; 181A.05, subdivision 1; Laws 1999, chapter 241, article
1.214, section 25, by adding a subdivision; Laws 2008, chapter 363, article 2, section
1.2246, subdivision 1, as amended; Laws 2009, chapter 96, article 1, section 24,
1.23subdivisions 2, as amended, 3, 4, as amended, 5, as amended, 6, as amended, 7,
1.24as amended; article 2, section 67, subdivisions 2, as amended, 3, as amended,
1.254, as amended, 6, 9, as amended; article 3, section 21, subdivisions 3, 4, as
1.26amended; article 4, section 12, subdivision 6, as amended; article 5, section
1.2713, subdivisions 2, 3, 4, as amended; article 6, section 11, subdivisions 3, as
1.28amended, 4, as amended, 8, as amended, 12, as amended; proposing coding for
1.29new law in Minnesota Statutes, chapters 120B; 122A; 124D; repealing Minnesota
1.30Statutes 2010, sections 120A.26, subdivisions 1, 2; 122A.60; 122A.61; 123B.05;
1.31124D.11, subdivision 8; 124D.38, subdivisions 4, 5, 6; 124D.86; 124D.87;
1.32124D.871; 124D.88; 124D.892, subdivisions 1, 2; 124D.896; Minnesota Rules,
1.33parts 3535.0100; 3535.0110; 3535.0120; 3535.0130; 3535.0140; 3535.0150;
1.343535.0160; 3535.0170; 3535.0180.
1.35BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:


2.3    Section 1. Minnesota Statutes 2010, section 11A.16, subdivision 5, is amended to read:
2.4    Subd. 5. Calculation of income. As of the end of each fiscal year, the state
2.5board shall calculate the investment income earned by the permanent school fund. The
2.6investment income earned by the fund shall equal the amount of interest on debt securities
2.7and, dividends on equity securities, and interest earned on certified monthly earnings prior
2.8to the transfer to the Department of Education. Gains and losses arising from the sale of
2.9securities shall be apportioned as follows:
2.10(a) If the sale of securities results in a net gain during a fiscal year, the gain shall
2.11be apportioned in equal installments over the next ten fiscal years to offset net losses in
2.12those years. If any portion of an installment is not needed to recover subsequent losses
2.13identified in paragraph (b) it shall be added to the principal of the fund.
2.14(b) If the sale of securities results in a net loss during a fiscal year, the net loss shall
2.15be recovered first from the gains in paragraph (a) apportioned to that fiscal year. If these
2.16gains are insufficient, any remaining net loss shall be recovered from interest and dividend
2.17income in equal installments over the following ten fiscal years.
2.18EFFECTIVE DATE.This section is effective the day following final enactment.

2.19    Sec. 2. Minnesota Statutes 2010, section 120A.22, subdivision 11, is amended to read:
2.20    Subd. 11. Assessment of performance. (a) Each year the performance of
2.21every child who is not enrolled in a public school must be assessed using a nationally
2.22norm-referenced standardized achievement examination. The superintendent of the
2.23district in which the child receives instruction and the person in charge of the child's
2.24instruction must agree about the specific examination to be used and the administration
2.25and location of the examination or a nationally recognized college entrance exam.
2.26(b) To the extent the examination in paragraph (a) does not provide assessment in
2.27all of the subject areas in subdivision 9, the parent must assess the child's performance
2.28in the applicable subject area. This requirement applies only to a parent who provides
2.29instruction and does not meet the requirements of subdivision 10, clause (1), (2), or (3).
2.30(c) If the results of the assessments in paragraphs (a) and (b) indicate that the
2.31child's performance on the total battery score is at or below the 30th percentile or one
2.32grade level below the performance level for children of the same age, the parent must
2.33obtain additional evaluation of the child's abilities and performance for the purpose of
2.34determining whether the child has learning problems.
3.1(d) (b) A child receiving instruction from a nonpublic school, person, or institution
3.2that is accredited by an accrediting agency, recognized according to section 123B.445, or
3.3recognized by the commissioner, is exempt from the requirements of this subdivision.

3.4    Sec. 3. Minnesota Statutes 2010, section 120A.24, is amended to read:
3.5120A.24 REPORTING.
3.6    Subdivision 1. Reports to superintendent. (a) The person in charge of providing
3.7instruction to a child must submit the following information to the superintendent of the
3.8district in which the child resides the name, birth date, and address of the child; the annual
3.9tests intended to be used under section 120A.22, subdivision 11, if required; the name of
3.10each instructor; and evidence of compliance with one of the requirements specified in
3.11section 120A.22, subdivision 10:
3.12(1) by October 1 of each the first school year, the name, birth date, and address
3.13of each child receiving instruction the child receives instruction after reaching the age
3.14of seven;
3.15(2) the name of each instructor and evidence of compliance with one of the
3.16requirements specified in section 120A.22, subdivision 10;
3.17(3) an annual instructional calendar; and
3.18(4) for each child instructed by a parent who meets only the requirement of section
3.19120A.22, subdivision 10, clause (6), a quarterly report card on the achievement of the
3.20child in each subject area required in section 120A.22, subdivision 9.
3.21(2) within 15 days of when a parent withdraws a child from public school after
3.22age seven to homeschool;
3.23(3) within 15 days of moving out of a district; and
3.24(4) by October 1 after a new resident district is established.
3.25(b) The person in charge of providing instruction to a child between the ages of
3.26seven and 16 must submit, by October 1 of each school year, a letter of intent to continue
3.27to provide instruction under this section for all students under the person's supervision and
3.28any changes to the information required in paragraph (a) for each student.
3.29(c) The superintendent may collect the required information under this section
3.30through an electronic or Web-based format, but must not require electronic submission
3.31of information under this section from the person in charge of reporting under this
3.32subdivision.
3.33    Subd. 2. Availability of documentation. (a) The person in charge of providing
3.34instruction to a child must make available maintain documentation indicating that the
3.35subjects required in section 120A.22, subdivision 9, are being taught and proof that the
4.1tests under section 120A.22, subdivision 11, have been administered. This documentation
4.2must include class schedules, copies of materials used for instruction, and descriptions of
4.3methods used to assess student achievement.
4.4(b) The parent of a child who enrolls full time in public school after having been
4.5enrolled in a home school under section 120A.22, subdivision 6, must provide the
4.6enrolling public school or school district with the child's scores on any tests administered
4.7to the child under section 120A.22, subdivision 11, and other education-related documents
4.8the enrolling school or district requires to determine where the child is placed in school
4.9and what course requirements apply. This paragraph does not apply to a shared time
4.10student who does not seek a public school diploma.
4.11(c) The person in charge of providing instruction to a child must make the
4.12documentation in this subdivision available to the county attorney when a case is
4.13commenced under section 120A.26, subdivision 5; chapter 260C; or when diverted under
4.14chapter 260A.
4.15    Subd. 3. Exemptions. A nonpublic school, person, or other institution that is
4.16accredited by an accrediting agency, recognized according to section 123B.445, or
4.17recognized by the commissioner, is exempt from the requirements in subdivisions 1 and
4.18subdivision 2, except for the requirement in subdivision 1, clause (1).
4.19    Subd. 4. Reports to the state. A superintendent must make an annual report to the
4.20commissioner of education by December 1 of the total number of nonpublic children
4.21reported as residing in the district. The report must include the following information:
4.22(1) the number of children residing in the district attending nonpublic schools or
4.23receiving instruction from persons or institutions other than a public school;
4.24(2) the number of children in clause (1) who are in compliance with section 120A.22
4.25and this section; and
4.26(3) the number of children in clause (1) who the superintendent has determined are
4.27not in compliance with section 120A.22 and this section.
4.28    Subd. 5. Obligations. Nothing in this section alleviates the obligations under
4.29section 120A.22.

4.30    Sec. 4. Minnesota Statutes 2010, section 120B.07, is amended to read:
4.31120B.07 EARLY GRADUATION.
4.32(a) Notwithstanding any law to the contrary, any secondary school student who has
4.33completed all required courses or standards may, with the approval of the student, the
4.34student's parent or guardian, and local school officials, graduate before the completion
4.35of the school year.
5.1(b) General education revenue attributable to the student must be paid as though the
5.2student was in attendance for the entire year unless the student participates in the early
5.3graduation achievement scholarship program under section 120B.08.
5.4EFFECTIVE DATE.This section is effective July 1, 2011.

5.5    Sec. 5. [120B.08] EARLY GRADUATION ACHIEVEMENT SCHOLARSHIP
5.6PROGRAM.
5.7    Subdivision 1. Participation. A student who qualifies for early graduation under
5.8section 120B.07 is eligible to participate in the early graduation achievement scholarship
5.9program.
5.10    Subd. 2. Scholarship amounts. A student who participates in the early graduation
5.11achievement scholarship program is eligible for a scholarship of $2,500 if the student
5.12qualifies for graduation one semester or two trimesters early, $5,000 if the student qualifies
5.13for graduation two semesters or three or four trimesters early, or $7,500 if the student
5.14qualifies for graduation three or more semesters or five or more trimesters early.
5.15    Subd. 3. Scholarship uses. An early graduation achievement scholarship may be
5.16used at any accredited institution of higher education.
5.17    Subd. 4. Application. A qualifying student may apply to the commissioner of
5.18education for an early graduation achievement scholarship. The application must be in
5.19the form and manner specified by the commissioner. Upon verification of the qualifying
5.20student's course completion necessary for graduation, the department must issue the
5.21student a certificate showing the student's scholarship amount.
5.22    Subd. 5. Enrollment verification. A student who qualifies under this section
5.23and enrolls in an accredited higher education institution must submit a form to the
5.24commissioner verifying the student's enrollment in the higher education institution and the
5.25tuition charges for that semester. Within 15 days of receipt of a student's enrollment and
5.26tuition verification form, the commissioner must issue a scholarship check to the student in
5.27the lesser of the tuition amount for that semester or the maximum amount of the student's
5.28early graduation achievement scholarship. A student may continue to submit enrollment
5.29verification forms to the commissioner until the student has used the full amount of the
5.30student's graduation achievement scholarship.
5.31    Subd. 6. General education money transferred. The commissioner must transfer
5.32the amounts necessary to fund the early graduation achievement scholarships from the
5.33general education aid appropriation for that year.
5.34EFFECTIVE DATE.This section is effective for fiscal year 2012 and later.

6.1    Sec. 6. Minnesota Statutes 2010, section 121A.15, subdivision 8, is amended to read:
6.2    Subd. 8. Report. The administrator or other person having general control and
6.3supervision of the elementary or secondary school shall file a report with the commissioner
6.4on all persons enrolled in the school. The superintendent of each district shall file a report
6.5with the commissioner for all persons within the district receiving instruction in a home
6.6school in compliance with sections 120A.22 and 120A.24. The parent of persons receiving
6.7instruction in a home school shall submit the statements as required by subdivisions 1, 2,
6.83, and 4, and 12 to the superintendent of the district in which the person resides by October
6.91 of each school year the first year of their homeschooling in Minnesota and the grade 7
6.10year. The school report must be prepared on forms developed jointly by the commissioner
6.11of health and the commissioner of education and be distributed to the local districts by the
6.12commissioner of health. The school report must state the number of persons attending the
6.13school, the number of persons who have not been immunized according to subdivision 1 or
6.142, and the number of persons who received an exemption under subdivision 3, clause (c)
6.15or (d). The school report must be filed with the commissioner of education within 60 days
6.16of the commencement of each new school term. Upon request, a district must be given a
6.1760-day extension for filing the school report. The commissioner of education shall forward
6.18the report, or a copy thereof, to the commissioner of health who shall provide summary
6.19reports to boards of health as defined in section 145A.02, subdivision 2. The administrator
6.20or other person having general control and supervision of the child care facility shall file a
6.21report with the commissioner of human services on all persons enrolled in the child care
6.22facility. The child care facility report must be prepared on forms developed jointly by
6.23the commissioner of health and the commissioner of human services and be distributed
6.24to child care facilities by the commissioner of health. The child care facility report
6.25must state the number of persons enrolled in the facility, the number of persons with no
6.26immunizations, the number of persons who received an exemption under subdivision 3,
6.27clause (c) or (d), and the number of persons with partial or full immunization histories.
6.28The child care facility report must be filed with the commissioner of human services by
6.29November 1 of each year. The commissioner of human services shall forward the report,
6.30or a copy thereof, to the commissioner of health who shall provide summary reports to
6.31boards of health as defined in section 145A.02, subdivision 2. The report required by this
6.32subdivision is not required of a family child care or group family child care facility, for
6.33prekindergarten children enrolled in any elementary or secondary school provided services
6.34according to sections 125A.05 and 125A.06, nor for child care facilities in which at least
6.3575 percent of children in the facility participate on a onetime only or occasional basis to a
6.36maximum of 45 hours per child, per month.

7.1    Sec. 7. Minnesota Statutes 2010, section 123B.42, subdivision 1, is amended to read:
7.2    Subdivision 1. Providing education materials and tests. The commissioner of
7.3education shall promulgate rules under the provisions of chapter 14 requiring that in
7.4each school year, based upon formal requests by or on behalf of nonpublic school pupils
7.5in a nonpublic school with enrollment that exceeds ten students, the local districts or
7.6intermediary service areas must purchase or otherwise acquire textbooks, individualized
7.7instructional or cooperative learning materials, and standardized tests and loan or provide
7.8them for use by children enrolled in that nonpublic school. These textbooks, individualized
7.9instructional or cooperative learning materials, and standardized tests must be loaned or
7.10provided free to the children for the school year for which requested. The loan or provision
7.11of the textbooks, individualized instructional or cooperative learning materials, and
7.12standardized tests shall be subject to rules prescribed by the commissioner of education.

7.13    Sec. 8. Minnesota Statutes 2010, section 123B.44, subdivision 1, is amended to read:
7.14    Subdivision 1. Provided services. The commissioner of education shall promulgate
7.15rules under the provisions of chapter 14 requiring each district or other intermediary
7.16service area: (a) to provide each year upon formal request by a specific date by or on
7.17behalf of a nonpublic school pupil enrolled in a nonpublic school located in that district or
7.18area with a total enrollment of more than ten pupils, the same specific health services as
7.19are provided for public school pupils by the district where the nonpublic school is located;
7.20and (b) to provide each year upon formal request by a specific date by or on behalf of a
7.21nonpublic school secondary pupil enrolled in a nonpublic school located in that district
7.22or area with a total enrollment of more than ten pupils, the same specific guidance and
7.23counseling services as are provided for public school secondary pupils by the district
7.24where the nonpublic school is located. The district where the nonpublic school is located
7.25must provide the necessary transportation within the district boundaries between the
7.26nonpublic school and a public school or neutral site for nonpublic school pupils who are
7.27provided pupil support services under this section if the district elects to provide pupil
7.28support services at a site other than the nonpublic school. Each request for pupil support
7.29services must set forth the guidance and counseling or health services requested by or on
7.30behalf of all eligible nonpublic school pupils enrolled in a given nonpublic school. No
7.31district or intermediary service area must not expend an amount for these pupil support
7.32services which exceeds the amount allotted to it under this section.

7.33    Sec. 9. Minnesota Statutes 2010, section 124D.59, subdivision 2, is amended to read:
8.1    Subd. 2. Pupil of limited English proficiency. (a) "Pupil of limited English
8.2proficiency" means a pupil in kindergarten through grade 12 who meets the following
8.3requirements:
8.4(1) the pupil, as declared by a parent or guardian first learned a language other than
8.5English, comes from a home where the language usually spoken is other than English, or
8.6usually speaks a language other than English; and
8.7(2) the pupil is determined by developmentally appropriate measures, which might
8.8include observations, teacher judgment, parent recommendations, or developmentally
8.9appropriate assessment instruments, to lack the necessary English skills to participate
8.10fully in classes taught in English.
8.11(b) Notwithstanding paragraph (a), a pupil in grades 4 through 12 who was enrolled
8.12in a Minnesota public school on the dates during the previous school year when a
8.13commissioner provided assessment that measures the pupil's emerging academic English
8.14was administered, shall not be counted as a pupil of limited English proficiency in
8.15calculating limited English proficiency pupil units under section 126C.05, subdivision
8.1617 , and shall not generate state limited English proficiency aid under section 124D.65,
8.17subdivision 5 , unless the pupil scored below the state cutoff score or is otherwise counted
8.18as a nonproficient participant on an assessment measuring emerging academic English
8.19provided by the commissioner during the previous school year.
8.20(c) Notwithstanding paragraphs (a) and (b), a pupil in kindergarten through grade 12
8.21shall not be counted as a pupil of limited English proficiency in calculating limited English
8.22proficiency pupil units under section 126C.05, subdivision 17, and shall not generate state
8.23limited English proficiency aid under section 124D.65, subdivision 5, if:
8.24(1) the pupil is not enrolled during the current fiscal year in an educational program
8.25for pupils of limited English proficiency in accordance with sections 124D.58 to 124D.64;
8.26or
8.27(2) the pupil has generated five or more years of average daily membership in
8.28Minnesota public schools since July 1, 1996.

8.29    Sec. 10. Minnesota Statutes 2010, section 126C.10, subdivision 2, is amended to read:
8.30    Subd. 2. Basic revenue. The basic revenue for each district equals the formula
8.31allowance times the adjusted marginal cost pupil units for the school year. The formula
8.32allowance for fiscal year 2007 is $4,974 2011 is $5,124. The formula allowance for fiscal
8.33year 2008 is $5,074 and 2012 is $5,174. The formula allowance for fiscal year 2009
8.342013 and subsequent years is $5,124 $5,224.
9.1EFFECTIVE DATE.This section is effective for revenue for fiscal year 2012
9.2and later.

9.3    Sec. 11. Minnesota Statutes 2010, section 126C.10, subdivision 3, is amended to read:
9.4    Subd. 3. Compensatory education revenue. (a) For fiscal year 2011 only, the
9.5compensatory education revenue for each building in the district equals the formula
9.6allowance minus $415 times the compensation revenue pupil units computed according to
9.7section 126C.05, subdivision 3. Revenue shall be paid to the district and must be allocated
9.8according to section 126C.15, subdivision 2.
9.9(b) For fiscal year 2011 only, when the district contracting with an alternative
9.10program under section 124D.69 changes prior to the start of a school year, the
9.11compensatory revenue generated by pupils attending the program shall be paid to the
9.12district contracting with the alternative program for the current school year, and shall not
9.13be paid to the district contracting with the alternative program for the prior school year.
9.14(c) For fiscal year 2011 only, when the fiscal agent district for an area learning center
9.15changes prior to the start of a school year, the compensatory revenue shall be paid to the
9.16fiscal agent district for the current school year, and shall not be paid to the fiscal agent
9.17district for the prior school year.
9.18(d) The compensatory allowance for fiscal year 2012 and later is equal to the
9.19district's total compensatory revenue for fiscal year 2011 divided by the district's 2011
9.20adjusted marginal cost pupil units.
9.21(e) The initial compensatory revenue for each district equals the district's
9.22compensatory allowance times the adjusted marginal cost pupil units for the school year.
9.23(f) Notwithstanding paragraph (e), the commissioner shall adjust each district's
9.24compensatory revenue computed under paragraph (e), based on the district's proportionate
9.25share of initial compensatory revenue to ensure that the total statewide entitlement for
9.26compensatory revenue equals $414,260,438.
9.27(g) A school district's compensatory revenue is equal to its initial compensatory
9.28revenue under paragraph (e), as adjusted by the commissioner under paragraph (f), and
9.29shall be paid to the district.
9.30EFFECTIVE DATE.This section is effective for revenue for fiscal year 2012
9.31and later.

9.32    Sec. 12. Minnesota Statutes 2010, section 126C.10, subdivision 7, is amended to read:
10.1    Subd. 7. Secondary sparsity revenue. (a) A district's secondary sparsity revenue
10.2for a school year equals the sum of the results of the following calculation for each
10.3qualifying high school in the district:
10.4(1) the formula allowance for the school year, $5,124 multiplied by
10.5(2) the secondary average daily membership of pupils served in the high school,
10.6multiplied by
10.7(3) the quotient obtained by dividing 400 minus the secondary average daily
10.8membership by 400 plus the secondary daily membership, multiplied by
10.9(4) the lesser of 1.5 or the quotient obtained by dividing the isolation index minus
10.1023 by ten.
10.11(b) A newly formed district that is the result of districts combining under the
10.12cooperation and combination program or consolidating under section 123A.48 must
10.13receive secondary sparsity revenue equal to the greater of: (1) the amount calculated
10.14under paragraph (a) for the combined district; or (2) the sum of the amounts of secondary
10.15sparsity revenue the former districts had in the year prior to consolidation, increased for
10.16any subsequent changes in the secondary sparsity formula.
10.17EFFECTIVE DATE.This section is effective for fiscal year 2012 and later.

10.18    Sec. 13. Minnesota Statutes 2010, section 126C.10, subdivision 8, is amended to read:
10.19    Subd. 8. Elementary sparsity revenue. A district's elementary sparsity revenue
10.20equals the sum of the following amounts for each qualifying elementary school in the
10.21district:
10.22(1) the formula allowance for the year, $5,124 multiplied by
10.23(2) the elementary average daily membership of pupils served in the school,
10.24multiplied by
10.25(3) the quotient obtained by dividing 140 minus the elementary average daily
10.26membership by 140 plus the average daily membership.
10.27EFFECTIVE DATE.This section is effective for fiscal year 2012 and later.

10.28    Sec. 14. Minnesota Statutes 2010, section 126C.10, subdivision 8a, is amended to read:
10.29    Subd. 8a. Sparsity revenue for school districts that close facilities. A school
10.30district that closes a school facility or whose sparsity revenue is reduced by a school
10.31closure in another district is eligible for elementary and secondary sparsity revenue equal
10.32to the greater of the amounts calculated under subdivisions 6, 7, and 8 or the total amount
10.33of sparsity revenue for the previous fiscal year if the school board of the district has
11.1adopted a written resolution stating that the district intends to close the school facility, but
11.2cannot proceed with the closure without the adjustment to sparsity revenue authorized by
11.3this subdivision. The written resolution must be filed with the commissioner of education
11.4at least 60 days prior to the start of the fiscal year for which aid under this subdivision is
11.5first requested. A school district whose sparsity revenue is affected by a closure in another
11.6district is not required to adopt a written resolution under this section.
11.7EFFECTIVE DATE.This section is effective for revenue for fiscal year 2012
11.8and later.

11.9    Sec. 15. Minnesota Statutes 2010, section 126C.10, subdivision 14, is amended to read:
11.10    Subd. 14. Uses of total operating capital revenue. Total operating capital revenue
11.11may be used only for the following purposes:
11.12(1) to acquire land for school purposes;
11.13(2) to acquire or construct buildings for school purposes;
11.14(3) to rent or lease buildings, including the costs of building repair or improvement
11.15that are part of a lease agreement;
11.16(4) to improve and repair school sites and buildings, and equip or reequip school
11.17buildings with permanent attached fixtures, including library media centers;
11.18(5) for a surplus school building that is used substantially for a public nonschool
11.19purpose;
11.20(6) to eliminate barriers or increase access to school buildings by individuals with a
11.21disability;
11.22(7) to bring school buildings into compliance with the State Fire Code adopted
11.23according to chapter 299F;
11.24(8) to remove asbestos from school buildings, encapsulate asbestos, or make
11.25asbestos-related repairs;
11.26(9) to clean up and dispose of polychlorinated biphenyls found in school buildings;
11.27(10) to clean up, remove, dispose of, and make repairs related to storing heating fuel
11.28or transportation fuels such as alcohol, gasoline, fuel oil, and special fuel, as defined
11.29in section 296A.01;
11.30(11) for energy audits for school buildings and to modify buildings if the audit
11.31indicates the cost of the modification can be recovered within ten years;
11.32(12) to improve buildings that are leased according to section 123B.51, subdivision 4;
11.33(13) to pay special assessments levied against school property but not to pay
11.34assessments for service charges;
12.1(14) to pay principal and interest on state loans for energy conservation according to
12.2section 216C.37 or loans made under the Douglas J. Johnson Economic Protection Trust
12.3Fund Act according to sections 298.292 to 298.298;
12.4(15) to purchase or lease interactive telecommunications equipment;
12.5(16) by board resolution, to transfer money into the debt redemption fund to: (i)
12.6pay the amounts needed to meet, when due, principal and interest payments on certain
12.7obligations issued according to chapter 475; or (ii) pay principal and interest on debt
12.8service loans or capital loans according to section 126C.70;
12.9(17) to pay operating capital-related assessments of any entity formed under a
12.10cooperative agreement between two or more districts;
12.11(18) to purchase or lease computers and related materials, copying machines,
12.12telecommunications equipment, and other noninstructional equipment;
12.13(19) to purchase or lease assistive technology or equipment for instructional
12.14programs;
12.15(20) to purchase textbooks;
12.16(21) to purchase new and replacement library media resources or technology;
12.17(22) to lease or purchase vehicles;
12.18(23) to purchase or lease telecommunications equipment, computers, and related
12.19equipment for integrated information management systems for:
12.20(i) managing and reporting learner outcome information for all students under a
12.21results-oriented graduation rule;
12.22(ii) managing student assessment, services, and achievement information required
12.23for students with individual education plans; and
12.24(iii) other classroom information management needs; and
12.25(24) to pay personnel costs directly related to the acquisition, operation, and
12.26maintenance of telecommunications systems, computers, related equipment, and network
12.27and applications software.
12.28EFFECTIVE DATE.This section is effective the day following final enactment.

12.29    Sec. 16. Minnesota Statutes 2010, section 126C.10, subdivision 18, is amended to read:
12.30    Subd. 18. Transportation sparsity revenue allowance. (a) A district's
12.31transportation sparsity allowance equals the greater of zero or the result of the following
12.32computation:
12.33(i) (1) multiply the formula allowance according to subdivision 2, $5,124 by .1469.;
12.34(ii) (2) multiply the result in clause (i) (1) by the district's sparsity index raised to
12.35the 26/100 power.;
13.1(iii) (3) multiply the result in clause (ii) (2) by the district's density index raised to
13.2the 13/100 power.;
13.3(iv) (4) multiply the formula allowance according to subdivision 2, $5,124 by
13.4.0485.; and
13.5(v) (5) subtract the result in clause (iv) (4) from the result in clause (iii) (3).
13.6(b) Transportation sparsity revenue is equal to the transportation sparsity allowance
13.7times the adjusted marginal cost pupil units.
13.8EFFECTIVE DATE.This section is effective for fiscal year 2012 and later.

13.9    Sec. 17. Minnesota Statutes 2010, section 126C.126, is amended to read:
13.10126C.126 REALLOCATING GENERAL EDUCATION REVENUE FOR
13.11ALL-DAY KINDERGARTEN AND PREKINDERGARTEN.
13.12    (a) In order to provide additional revenue for an optional all-day kindergarten
13.13program, a district may reallocate general education revenue attributable to 12th grade
13.14students who have graduated early under section 120B.07 and who do not participate in
13.15the early graduation achievement scholarship program under section 120B.08.
13.16    (b) A school district may spend general education revenue on extended time
13.17kindergarten and prekindergarten programs.
13.18EFFECTIVE DATE.This section is effective for fiscal year 2012 and later.

13.19    Sec. 18. Minnesota Statutes 2010, section 126C.20, is amended to read:
13.20126C.20 ANNUAL GENERAL EDUCATION AID APPROPRIATION.
13.21There is annually appropriated from the general fund to the department the amount
13.22necessary for general education aid under section 126C.13 and the early graduation
13.23achievement scholarship program under section 120B.08. This amount must be reduced
13.24by the amount of any money specifically appropriated for the same purpose in any year
13.25from any state fund.
13.26EFFECTIVE DATE.This section is effective for fiscal year 2012 and later.

13.27    Sec. 19. Minnesota Statutes 2010, section 126C.44, is amended to read:
13.28126C.44 SAFE SCHOOLS LEVY.
13.29    (a) Each district may make a levy on all taxable property located within the district
13.30for the purposes specified in this section. The maximum amount which may be levied
13.31for all costs under this section shall be equal to $30 multiplied by the district's adjusted
14.1marginal cost pupil units for the school year. The proceeds of the levy must be reserved and
14.2used for directly funding the following purposes or for reimbursing the cities and counties
14.3who contract with the district for the following purposes: (1) to pay the costs incurred for
14.4the salaries, benefits, and transportation costs of peace officers and sheriffs for liaison in
14.5services in the district's schools; (2) to pay the costs for a drug abuse prevention program
14.6as defined in section 609.101, subdivision 3, paragraph (e), in the elementary schools;
14.7(3) to pay the costs for a gang resistance education training curriculum in the district's
14.8schools; (4) to pay the costs for security in the district's schools and on school property; (5)
14.9to pay the costs for other crime prevention, drug abuse, student and staff safety, voluntary
14.10opt-in suicide prevention tools, and violence prevention measures taken by the school
14.11district; or (6) to pay costs for licensed school counselors, licensed school nurses, licensed
14.12school social workers, licensed school psychologists, and licensed alcohol and chemical
14.13dependency counselors to help provide early responses to problems. For expenditures
14.14under clause (1), the district must initially attempt to contract for services to be provided
14.15by peace officers or sheriffs with the police department of each city or the sheriff's
14.16department of the county within the district containing the school receiving the services. If
14.17a local police department or a county sheriff's department does not wish to provide the
14.18necessary services, the district may contract for these services with any other police or
14.19sheriff's department located entirely or partially within the school district's boundaries.
14.20    (b) A school district that is a member of an intermediate school district may
14.21include in its authority under this section the costs associated with safe schools activities
14.22authorized under paragraph (a) for intermediate school district programs. This authority
14.23must not exceed $10 times the adjusted marginal cost pupil units of the member districts.
14.24This authority is in addition to any other authority authorized under this section. Revenue
14.25raised under this paragraph must be transferred to the intermediate school district.
14.26    (c) A school district must set aside at least $3 per adjusted marginal cost pupil
14.27unit of the safe schools levy proceeds for the purposes authorized under paragraph (a),
14.28clause (6). The district must annually certify either that: (1) its total spending on services
14.29provided by the employees listed in paragraph (a), clause (6), is not less than the sum of
14.30its expenditures for these purposes, excluding amounts spent under this section, in the
14.31previous year plus the amount spent under this section; or (2) that the district's full-time
14.32equivalent number of employees listed in paragraph (a), clause (6), is not less than the
14.33number for the previous year.
14.34EFFECTIVE DATE.This section is effective July 1, 2011.

14.35    Sec. 20. Minnesota Statutes 2010, section 127A.45, subdivision 6a, is amended to read:
15.1    Subd. 6a. Cash flow adjustment. The board of directors of any charter school
15.2serving fewer than 150 students where the percent of students eligible for special education
15.3services equals 100 90 percent of the charter school's total enrollment may request that
15.4the commissioner of education accelerate the school's cash flow under this section. The
15.5commissioner must approve a properly submitted request within 30 days of its receipt.
15.6The commissioner must accelerate the school's cash flow aid payments for all state aid
15.7regular special education aid payments according to the schedule in the school's request
15.8and modify the payments to the school under subdivision 3 accordingly. A school must
15.9not receive current payments of regular special education aid exceeding 90 percent of its
15.10estimated aid entitlement for the fiscal year. The commissioner must delay the special
15.11education aid payments to all other school districts and charter schools in proportion
15.12to each district or charter school's total share of regular special education aid such that
15.13the overall aid payment savings from the aid payment shift remains unchanged for any
15.14fiscal year.
15.15EFFECTIVE DATE.This section is effective the day following final enactment.

15.16    Sec. 21. Minnesota Statutes 2010, section 171.05, subdivision 2, is amended to read:
15.17    Subd. 2. Person less than 18 years of age. (a) Notwithstanding any provision
15.18in subdivision 1 to the contrary, the department may issue an instruction permit to an
15.19applicant who is 15, 16, or 17 years of age and who:
15.20(1) has completed a course of driver education in another state, has a previously
15.21issued valid license from another state, or is enrolled in either:
15.22(i) a public, private, or commercial driver education program that is approved by
15.23the commissioner of public safety and that includes classroom and behind-the-wheel
15.24training; or
15.25(ii) an approved behind-the-wheel driver education program when the student is
15.26receiving full-time instruction in a home school within the meaning of sections 120A.22
15.27and 120A.24, the student is working toward a homeschool diploma, the student's status
15.28as a homeschool student has been certified by the superintendent of the school district in
15.29which the student resides, and the student is taking home-classroom driver training with
15.30classroom materials approved by the commissioner of public safety, and the student's
15.31parent has certified the student's homeschool and home-classroom driver training status on
15.32the form approved by the commissioner;
15.33(2) has completed the classroom phase of instruction in the driver education program;
15.34(3) has passed a test of the applicant's eyesight;
16.1(4) has passed a department-administered test of the applicant's knowledge of traffic
16.2laws;
16.3(5) has completed the required application, which must be approved by (i) either
16.4parent when both reside in the same household as the minor applicant or, if otherwise,
16.5then (ii) the parent or spouse of the parent having custody or, in the event there is no
16.6court order for custody, then (iii) the parent or spouse of the parent with whom the minor
16.7is living or, if items (i) to (iii) do not apply, then (iv) the guardian having custody of the
16.8minor, (v) the foster parent or the director of the transitional living program in which the
16.9child resides or, in the event a person under the age of 18 has no living father, mother,
16.10or guardian, or is married or otherwise legally emancipated, then (vi) the applicant's
16.11adult spouse, adult close family member, or adult employer; provided, that the approval
16.12required by this clause contains a verification of the age of the applicant and the identity of
16.13the parent, guardian, adult spouse, adult close family member, or adult employer; and
16.14(6) has paid the fee required in section 171.06, subdivision 2.
16.15(b) For the purposes of determining compliance with the certification of paragraph
16.16(a), clause (1), item (ii), the commissioner may request verification of a student's
16.17homeschool status from the superintendent of the school district in which the student
16.18resides and the superintendent shall provide that verification.
16.19(c) The instruction permit is valid for two years from the date of application and
16.20may be renewed upon payment of a fee equal to the fee for issuance of an instruction
16.21permit under section 171.06, subdivision 2.

16.22    Sec. 22. Minnesota Statutes 2010, section 171.17, subdivision 1, is amended to read:
16.23    Subdivision 1. Offenses. (a) The department shall immediately revoke the license
16.24of a driver upon receiving a record of the driver's conviction of:
16.25(1) manslaughter resulting from the operation of a motor vehicle or criminal
16.26vehicular homicide or injury under section 609.21;
16.27(2) a violation of section 169A.20 or 609.487;
16.28(3) a felony in the commission of which a motor vehicle was used;
16.29(4) failure to stop and disclose identity and render aid, as required under section
16.30169.09 , in the event of a motor vehicle accident, resulting in the death or personal injury
16.31of another;
16.32(5) perjury or the making of a false affidavit or statement to the department under
16.33any law relating to the application, ownership, or operation of a motor vehicle, including
16.34on the certification required under section 171.05, subdivision 2, paragraph (a), clause (1),
16.35item (ii), to issue an instruction permit to a homeschool student;
17.1(6) except as this section otherwise provides, three charges of violating within a
17.2period of 12 months any of the provisions of chapter 169 or of the rules or municipal
17.3ordinances enacted in conformance with chapter 169, for which the accused may be
17.4punished upon conviction by imprisonment;
17.5(7) two or more violations, within five years, of the misdemeanor offense described
17.6in section 169.444, subdivision 2, paragraph (a);
17.7(8) the gross misdemeanor offense described in section 169.444, subdivision 2,
17.8paragraph (b);
17.9(9) an offense in another state that, if committed in this state, would be grounds for
17.10revoking the driver's license; or
17.11(10) a violation of an applicable speed limit by a person driving in excess of 100
17.12miles per hour. The person's license must be revoked for six months for a violation of
17.13this clause, or for a longer minimum period of time applicable under section 169A.53,
17.14169A.54 , or 171.174.
17.15(b) The department shall immediately revoke the school bus endorsement of a driver
17.16upon receiving a record of the driver's conviction of the misdemeanor offense described in
17.17section 169.443, subdivision 7.

17.18    Sec. 23. Minnesota Statutes 2010, section 171.22, subdivision 1, is amended to read:
17.19    Subdivision 1. Violations. With regard to any driver's license, including a
17.20commercial driver's license, it shall be unlawful for any person:
17.21(1) to display, cause or permit to be displayed, or have in possession, any fictitious
17.22or fraudulently altered driver's license or Minnesota identification card;
17.23(2) to lend the person's driver's license or Minnesota identification card to any other
17.24person or knowingly permit the use thereof by another;
17.25(3) to display or represent as one's own any driver's license or Minnesota
17.26identification card not issued to that person;
17.27(4) to use a fictitious name or date of birth to any police officer or in any application
17.28for a driver's license or Minnesota identification card, or to knowingly make a false
17.29statement, or to knowingly conceal a material fact, or otherwise commit a fraud in any
17.30such application;
17.31(5) to alter any driver's license or Minnesota identification card;
17.32(6) to take any part of the driver's license examination for another or to permit
17.33another to take the examination for that person;
17.34(7) to make a counterfeit driver's license or Minnesota identification card;
18.1(8) to use the name and date of birth of another person to any police officer for the
18.2purpose of falsely identifying oneself to the police officer; or
18.3(9) to display as a valid driver's license any canceled, revoked, or suspended driver's
18.4license. A person whose driving privileges have been withdrawn may display a driver's
18.5license only for identification purposes; or
18.6(10) to submit a false affidavit or statement to the department on the certification
18.7required under section 171.05, subdivision 2, paragraph (a), clause (1), item (ii), to issue
18.8an instruction permit to a homeschool student.

18.9    Sec. 24. Minnesota Statutes 2010, section 181A.05, subdivision 1, is amended to read:
18.10    Subdivision 1. When issued. Any minor 14 or 15 years of age who wishes to work
18.11on school days during school hours shall first secure an employment certificate. The
18.12certificate shall be issued only by the school district superintendent, the superintendent's
18.13agent, or some other person designated by the Board of Education, or by the person in
18.14charge of providing instruction for students enrolled in nonpublic schools as defined in
18.15section 120A.22, subdivision 4. The employment certificate shall be issued only for
18.16a specific position with a designated employer and shall be issued only in the following
18.17circumstances:
18.18(1) if a minor is to be employed in an occupation not prohibited by rules promulgated
18.19under section 181A.09 and as evidence thereof presents a signed statement from the
18.20prospective employer; and
18.21(2) if the parent or guardian of the minor consents to the employment; and
18.22(3) if the issuing officer believes the minor is physically capable of handling the job
18.23in question and further believes the best interests of the minor will be served by permitting
18.24the minor to work.

18.25    Sec. 25. KITTSON CENTRAL SCHOOL CLOSING.
18.26Independent School District No. 356, Lancaster, is eligible for sparsity revenue
18.27calculated under Minnesota Statutes, section 126C.10, subdivision 8a, for fiscal year 2012
18.28and later, if the board has adopted a written resolution at any time prior to the start of
18.29the 2011-2012 school year to notify the commissioner and request aid under Minnesota
18.30Statutes, section 126C.10, subdivision 8a. For the purposes of this section, the school
18.31district shall be eligible for aid under Minnesota Statutes, section 126C.10, subdivision
18.328a, as a result of the closure of the Kennedy Elementary School in Independent School
18.33District No. 2171, Kittson Central.
19.1EFFECTIVE DATE.This section is effective for revenue for fiscal year 2012
19.2and later.

19.3    Sec. 26. NORTHLAND COMMUNITY SCHOOL CLOSING.
19.4(a) Independent School District No. 118, Northland Community Schools, is eligible
19.5for sparsity revenue calculated under Minnesota Statutes, section 126C.10, subdivision 8a,
19.6for fiscal year 2012 and later, if the board has adopted the required written resolution at
19.7least 60 days prior to the start of fiscal year 2012.
19.8(b) If the school district adopts a written resolution under paragraph (a), in fiscal
19.9year 2012, the commissioner must provide sparsity aid to the district in an amount equal
19.10to the amount that the district would have received under Minnesota Statutes, section
19.11126C.10, subdivision 8a, in fiscal year 2011, if the provisions of paragraph (a) had been in
19.12effect. The school district must recognize the sparsity aid provided under this paragraph as
19.13revenue in fiscal year 2011.
19.14EFFECTIVE DATE.This section is effective for revenue for fiscal year 2012.

19.15    Sec. 27. SALARY FREEZE.
19.16    Subdivision 1. Salary increases prohibited. (a) From the effective date of this
19.17section through June 30, 2013, a school district or charter school must not increase the
19.18salary or wages for any employee. This section prohibits any increase including, but
19.19not limited to, across-the-board increases; cost-of-living adjustments; increases based
19.20on longevity; increases as a result of step and lane changes; increases in the form of
19.21lump-sum payments; increases in employer contributions to deferred compensation plans;
19.22or any other pay grade adjustments of any kind. For purposes of this section, salary or
19.23wages does not include employer contributions toward the cost of medical or dental
19.24insurance premiums, provided that employee contributions to the costs of medical or
19.25dental insurance premiums are not decreased.
19.26(b) This section does not prohibit an increase in the rate of salary and wages for an
19.27employee who is promoted or transferred to a position with greater job responsibilities.
19.28Additional educational credits or degrees or a lane change is not a promotion or a
19.29transfer to a position with greater job responsibilities. This section also does not prohibit
19.30a school district or charter school from implementing an alternative compensation
19.31program approved by the commissioner of education. The commissioner may approve an
19.32alternative compensation program at the commissioner's sole discretion.
19.33    Subd. 2. Contracts in effect. (a) This section does not prohibit a school district
19.34or charter school from effectuating an increase in the salary or wages for employees
20.1if required by a contract or collective bargaining agreement that is in effect before the
20.2effective date of this section. However, from the effective date of this section until June
20.330, 2013, a school district or charter school may not:
20.4(1) enter into a new contract or collective bargaining agreement that increases salary
20.5or wages in a manner prohibited by this section or that decreases the number of student
20.6contact days in the 2011-2012 and 2012-2013 school years;
20.7(2) increase the salary or wages for employees through extension of an expired
20.8contract or collective bargaining agreement or any other arrangement or agreement.
20.9(b) Notwithstanding any law to the contrary, if, as of the effective date of this
20.10section, a school district or charter school has agreed to or entered into a contract or
20.11collective bargaining agreement that is not scheduled to become effective until after
20.12the effective date of this section, any provision of the contract or collective bargaining
20.13agreement that violates subdivision 1, paragraph (a), is void. Any subsequent contract or
20.14collective bargaining agreement must comply with the terms of this section.
20.15(c) Notwithstanding any law to the contrary, upon expiration of a contract or
20.16collective bargaining agreement, each employee must remain at the salary and wage in
20.17effect at the time the contract expired, except as authorized in subdivision 1, paragraph
20.18(b). Any language in a contract or collective bargaining agreement that attempts to extend
20.19the terms of the contract or collective bargaining agreement is invalid if it seeks to extend
20.20the application of the terms of a collective bargaining agreement past the durational limits
20.21set forth in Minnesota Statutes, section 179A.20, subdivision 3.
20.22    Subd. 3. Future contracts. A contract or collective bargaining agreement or
20.23compensation plan entered into after June 30, 2013, must not provide a retroactive salary
20.24or wage increase that applies to a period before June 30, 2013, if that increase would be
20.25prohibited by this section if granted before June 30, 2013.
20.26    Subd. 4. Arbitration and strikes. Notwithstanding any law to the contrary:
20.27(1) employees of a school district or charter school may not legally strike due to a
20.28school district or charter school's refusal to grant a salary or wage increase if the refusal is
20.29required to comply with this section; and
20.30(2) neither a school district or charter school nor an exclusive representative may
20.31request interest arbitration in relation to an increase to salary or wages that is prohibited
20.32by this section and an arbitrator may not issue an award that would increase salary or
20.33wages in a manner prohibited by this section.
20.34    Subd. 5. Relation to other law. This section supersedes Minnesota Statutes,
20.35chapter 179A, and any other law to the contrary. It is not an unfair labor practice under
21.1Minnesota Statutes, chapter 179A, for a school district or charter school to take any action
21.2required to comply with this section.
21.3EFFECTIVE DATE.This section is effective the day following final enactment.
21.4Subdivisions 1, 2, 4, and 5 expire on June 30, 2013.

21.5    Sec. 28. SCHOOL DISTRICT LEVY ADJUSTMENTS.
21.6    Subdivision 1. Tax rate adjustment. The commissioner of education must adjust
21.7each school district tax rate established under Minnesota Statutes, chapters 120B to 127A,
21.8by multiplying the rate by the ratio of the statewide total tax capacity for assessment year
21.92010 as it existed prior to the passage of Senate File No. 27, or a similarly styled bill, to
21.10the statewide total tax capacity for assessment year 2010.
21.11    Subd. 2. Equalizing factors. The commissioner of education must adjust each
21.12school district equalizing factor established under Minnesota Statutes, chapters 120B to
21.13127A, by dividing the equalizing factor by the ratio of the statewide total tax capacity for
21.14assessment year 2010 as it existed prior to the passage of Senate File No. 27, or a similarly
21.15styled bill, to the statewide total tax capacity for assessment year 2010.

21.16    Sec. 29. APPROPRIATIONS.
21.17    Subdivision 1. Department of Education. The sums indicated in this section are
21.18appropriated from the general fund to the Department of Education for the fiscal years
21.19designated.
21.20    Subd. 2. General education aid. For general education aid under Minnesota
21.21Statutes, section 126C.13, subdivision 4:

21.22		$	5,684,409,000	.....	2012
21.23		$	5,815,940,000	.....	2013

21.24The 2012 appropriation includes $1,664,876,000 for 2011 and $4,019,533,000
21.25for 2012.
21.26The 2013 appropriation includes $1,722,657,000 for 2012 and $4,093,283,000
21.27for 2013.
21.28    Subd. 3. Enrollment options transportation. For transportation of pupils attending
21.29postsecondary institutions under Minnesota Statutes, section 124D.09, or for transportation
21.30of pupils attending nonresident districts under Minnesota Statutes, section 124D.03:

21.31		$	31,000	.....	2012
21.32		$	32,000	.....	2013

22.1    Subd. 4. Abatement revenue. For abatement aid under Minnesota Statutes, section
22.2127A.49:

22.3		$	1,452,000	.....	2012
22.4		$	1,635,000	.....	2013

22.5The 2012 appropriation includes $346,000 for 2011 and $1,106,000 for 2012.
22.6The 2013 appropriation includes $473,000 for 2012 and $1,162,000 for 2013.
22.7    Subd. 5. Consolidation transition. For districts consolidating under Minnesota
22.8Statutes, section 123A.485:

22.9		$	145,000	.....	2012
22.10		$	210,000	.....	2013

22.11The 2012 appropriation includes $145,000 for 2011 and $0 for 2012.
22.12The 2013 appropriation includes $0 for 2012 and $210,000 for 2013.
22.13    Subd. 6. Nonpublic pupil education aid. For nonpublic pupil education aid under
22.14Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:

22.15		$	15,750,000	.....	2012
22.16		$	15,578,000	.....	2013

22.17The 2012 appropriation includes $5,078,000 for 2011 and $10,672,000 for 2012.
22.18The 2013 appropriation includes $4,573,000 for 2012 and $11,005,000 for 2013.
22.19    Subd. 7. Nonpublic pupil transportation. For nonpublic pupil transportation aid
22.20under Minnesota Statutes, section 123B.92, subdivision 9:

22.21		$	19,010,000	.....	2012
22.22		$	19,030,000	.....	2013

22.23The 2012 appropriation includes $5,895,000 for 2011 and $13,115,000 for 2012.
22.24The 2013 appropriation includes $5,621,000 for 2012 and $13,409,000 for 2013.
22.25    Subd. 8. One-room schoolhouse. For a grant to Independent School District No.
22.26690, Warroad, to operate the Angle Inlet School:

22.27		$	65,000	.....	2012
22.28		$	65,000	.....	2013

22.29    Subd. 9. Compensatory revenue pilot program. For grants for participation in the
22.30compensatory revenue pilot program under Laws 2005, First Special Session chapter 5,
22.31article 1, section 50:

22.32		$	2,175,000	.....	2012
22.33		$	2,175,000	.....	2013

23.1Of this amount, $1,500,000 in each year is for a grant to Independent School District
23.2No. 11, Anoka-Hennepin; $75,000 in each year is for a grant to Independent School
23.3District No. 286, Brooklyn Center; $210,000 in each year is for a grant to Independent
23.4School District No. 279, Osseo; $160,000 in each year is for a grant to Independent
23.5School District No. 281, Robbinsdale; $165,000 in each year is for a grant to Independent
23.6School District No. 535, Rochester; and $65,000 in each year is for a grant to Independent
23.7School District No. 833, South Washington.
23.8If a grant to a specific school district is not awarded, the commissioner may increase
23.9the aid amounts to any of the remaining participating school districts.
23.10This appropriation is part of the base budget for subsequent fiscal years.
23.11    Subd. 10. Board of Teaching; licensure by portfolio. For the Board of Teaching
23.12for licensure by portfolio:

23.13		$	30,000	.....	2012
23.14		$	30,000	.....	2013

23.15This appropriation is from the educator licensure portfolio account of the special
23.16revenue fund.

23.17    Sec. 30. REPEALER.
23.18(a) Minnesota Statutes 2010, sections 120A.26, subdivisions 1 and 2, are repealed.
23.19(b) Minnesota Statutes 2010, sections 122A.60; 122A.61; and 123B.05, are repealed.
23.20EFFECTIVE DATE.Paragraph (b) is effective July 1, 2011.


23.23    Section 1. Minnesota Statutes 2010, section 120B.023, subdivision 2, is amended to
23.24read:
23.25    Subd. 2. Revisions and reviews required. (a) The commissioner of education must
23.26revise and appropriately embed technology and information literacy standards consistent
23.27with recommendations from school media specialists into the state's academic standards
23.28and graduation requirements and implement a review cycle for state academic standards
23.29and related benchmarks, consistent with this subdivision. During each review cycle, the
23.30commissioner also must examine the alignment of each required academic standard and
23.31related benchmark with the knowledge and skills students need for college readiness and
23.32advanced work in the particular subject area.
24.1(b) The commissioner in the 2006-2007 school year must revise and align the state's
24.2academic standards and high school graduation requirements in mathematics to require
24.3that students satisfactorily complete the revised mathematics standards, beginning in the
24.42010-2011 school year. Under the revised standards:
24.5(1) students must satisfactorily complete an algebra I credit by the end of eighth
24.6grade; and
24.7(2) students scheduled to graduate in the 2014-2015 school year or later must
24.8satisfactorily complete an algebra II credit or its equivalent.
24.9The commissioner also must ensure that the statewide mathematics assessments
24.10administered to students in grades 3 through 8 and 11 are aligned with the state academic
24.11standards in mathematics, consistent with section 120B.30, subdivision 1, paragraph
24.12(b). The commissioner must implement a review of the academic standards and related
24.13benchmarks in mathematics beginning in the 2015-2016 school year.
24.14(c) The commissioner in the 2007-2008 school year must revise and align the state's
24.15academic standards and high school graduation requirements in the arts to require that
24.16students satisfactorily complete the revised arts standards beginning in the 2010-2011
24.17school year. The commissioner must implement a review of the academic standards and
24.18related benchmarks in arts beginning in the 2016-2017 school year.
24.19(d) The commissioner in the 2008-2009 school year must revise and align the state's
24.20academic standards and high school graduation requirements in science to require that
24.21students satisfactorily complete the revised science standards, beginning in the 2011-2012
24.22school year. Under the revised standards, students scheduled to graduate in the 2014-2015
24.23school year or later must satisfactorily complete a chemistry or, physics, or career and
24.24technical education credit. The commissioner must implement a review of the academic
24.25standards and related benchmarks in science beginning in the 2017-2018 school year.
24.26(e) The commissioner in the 2009-2010 school year must revise and align the state's
24.27academic standards and high school graduation requirements in language arts to require
24.28that students satisfactorily complete the revised language arts standards beginning in the
24.292012-2013 school year. The commissioner must implement a review of the academic
24.30standards and related benchmarks in language arts beginning in the 2018-2019 school year.
24.31(f) The commissioner in the 2010-2011 school year must revise and align the state's
24.32academic standards and high school graduation requirements in social studies to require
24.33that students satisfactorily complete the revised social studies standards beginning in the
24.342013-2014 school year. The commissioner must implement a review of the academic
24.35standards and related benchmarks in social studies beginning in the 2019-2020 school year.
25.1(g) School districts and charter schools must revise and align local academic
25.2standards and high school graduation requirements in health, world languages, and career
25.3and technical education to require students to complete the revised standards beginning
25.4in a school year determined by the school district or charter school. School districts and
25.5charter schools must formally establish a periodic review cycle for the academic standards
25.6and related benchmarks in health, world languages, and career and technical education.
25.7(h) The commissioner is prohibited from adopting common core standards in the
25.8subject and school year listed in the revision cycle in paragraphs (a) to (f).

25.9    Sec. 2. Minnesota Statutes 2010, section 122A.09, subdivision 4, is amended to read:
25.10    Subd. 4. License and rules. (a) The board must adopt rules to license public school
25.11teachers and interns subject to chapter 14.
25.12(b) The board must adopt rules requiring a person to successfully complete pass a
25.13skills examination in reading, writing, and mathematics as a requirement for initial teacher
25.14licensure entrance into a board-approved teacher preparation program. Such rules must
25.15require college and universities offering a board-approved teacher preparation program to
25.16provide offer remedial assistance to persons who did not achieve a qualifying score on
25.17the skills examination, including those for whom English is a second language. Persons
25.18needing remedial assistance must be successfully remediated prior to entrance into a
25.19board-approved teacher preparation program.
25.20(c) The board must adopt rules to approve teacher preparation programs. The board,
25.21upon the request of a postsecondary student preparing for teacher licensure or a licensed
25.22graduate of a teacher preparation program, shall assist in resolving a dispute between the
25.23person and a postsecondary institution providing a teacher preparation program when the
25.24dispute involves an institution's recommendation for licensure affecting the person or the
25.25person's credentials. At the board's discretion, assistance may include the application
25.26of chapter 14.
25.27(d) The board must provide the leadership and shall adopt rules for the redesign of
25.28teacher education programs to implement a research based, results-oriented curriculum
25.29that focuses on the skills teachers need in order to be effective. The board shall implement
25.30new systems of teacher preparation program evaluation to assure program effectiveness
25.31based on proficiency of graduates in demonstrating attainment of program outcomes.
25.32(e) The board must adopt rules requiring candidates for initial licenses to successfully
25.33complete pass an examination of general pedagogical knowledge and examinations of
25.34licensure-specific teaching skills. The rules shall be effective by September 1, 2001.
25.35The rules under this paragraph also must require candidates for initial licenses to teach
26.1prekindergarten or elementary students to successfully complete pass, as part of the
26.2examination of licensure-specific teaching skills, test items assessing the candidates'
26.3knowledge, skill, and ability in comprehensive, scientifically based reading instruction
26.4under section 122A.06, subdivision 4, and their knowledge and understanding of the
26.5foundations of reading development, the development of reading comprehension, and
26.6reading assessment and instruction, and their ability to integrate that knowledge and
26.7understanding.
26.8(f) The board must adopt rules requiring teacher educators to work directly with
26.9elementary or secondary school teachers in elementary or secondary schools to obtain
26.10periodic exposure to the elementary or secondary teaching environment.
26.11(g) The board must grant licenses to interns and to candidates for initial licenses.
26.12(h) The board must design and implement an assessment system which requires a
26.13candidate for an initial license and first continuing license to demonstrate the abilities
26.14necessary to perform selected, representative teaching tasks at appropriate levels.
26.15(i) The board must receive recommendations from local committees as established
26.16by the board for the renewal of teaching licenses.
26.17(j) The board must grant life licenses to those who qualify according to requirements
26.18established by the board, and suspend or revoke licenses pursuant to sections 122A.20 and
26.19214.10 . The board must not establish any expiration date for application for life licenses.
26.20(k) The board must adopt rules that require all licensed teachers who are renewing
26.21their continuing license to include in their renewal requirements further preparation in
26.22the areas of using positive behavior interventions and in accommodating, modifying, and
26.23adapting curricula, materials, and strategies to appropriately meet the needs of individual
26.24students and ensure adequate progress toward the state's graduation rule.
26.25(l) In adopting rules to license public school teachers who provide health-related
26.26services for disabled children, the board shall adopt rules consistent with license or
26.27registration requirements of the commissioner of health and the health-related boards who
26.28license personnel who perform similar services outside of the school.
26.29(m) The board must adopt rules that require all licensed teachers who are renewing
26.30their continuing license to include in their renewal requirements further reading
26.31preparation, consistent with section 122A.06, subdivision 4. The rules do not take effect
26.32until they are approved by law. Teachers who do not provide direct instruction including, at
26.33least, counselors, school psychologists, school nurses, school social workers, audiovisual
26.34directors and coordinators, and recreation personnel are exempt from this section.
26.35(n) The board must adopt rules that require all licensed teachers who are renewing
26.36their continuing license to include in their renewal requirements further preparation
27.1in understanding the key warning signs of early-onset mental illness in children and
27.2adolescents.

27.3    Sec. 3. Minnesota Statutes 2010, section 122A.18, subdivision 2, is amended to read:
27.4    Subd. 2. Teacher and support personnel qualifications. (a) The Board of
27.5Teaching must issue licenses under its jurisdiction to persons the board finds to be
27.6qualified and competent for their respective positions.
27.7(b) The board must require a person to successfully complete pass an examination of
27.8skills in reading, writing, and mathematics before being granted an initial teaching license
27.9to provide direct instruction to pupils in prekindergarten, elementary, secondary, or special
27.10education programs. The board must require colleges and universities offering a board
27.11approved teacher preparation program to provide offer remedial assistance that includes a
27.12formal diagnostic component to persons enrolled in their institution who did not achieve a
27.13qualifying score on the skills examination, including those for whom English is a second
27.14language. The colleges and universities must provide offer assistance in the specific
27.15academic areas of deficiency in which the person did not achieve a qualifying score.
27.16School districts must provide offer similar, appropriate, and timely remedial assistance
27.17that includes a formal diagnostic component and mentoring to those persons employed by
27.18the district who completed their teacher education program outside the state of Minnesota,
27.19received a one-year license to teach in Minnesota and did not achieve a qualifying score
27.20on the skills examination, including those persons for whom English is a second language.
27.21The Board of Teaching shall report annually to the education committees of the legislature
27.22on the total number of teacher candidates during the most recent school year taking the
27.23skills examination, the number who achieve a qualifying score on the examination, the
27.24number who do not achieve a qualifying score on the examination, the distribution of all
27.25candidates' scores, the number of candidates who have taken the examination at least once
27.26before, and the number of candidates who have taken the examination at least once before
27.27and achieve a qualifying score.
27.28(c) A person who has completed an approved teacher preparation program and
27.29obtained a one-year license to teach, but has not successfully completed the skills
27.30examination, may renew the one-year license for two additional one-year periods. Each
27.31renewal of the one-year license is contingent upon the licensee:
27.32(1) providing evidence of participating in an approved remedial assistance program
27.33provided by a school district or postsecondary institution that includes a formal diagnostic
27.34component in the specific areas in which the licensee did not obtain qualifying scores; and
28.1(2) attempting to successfully complete the skills examination during the period
28.2of each one-year license.
28.3(d) (c) The Board of Teaching must grant continuing licenses only to those persons
28.4who have met board criteria for granting a continuing license, which includes successfully
28.5completing passing the skills examination in reading, writing, and mathematics.
28.6(e) (d) All colleges and universities approved by the board of teaching to prepare
28.7persons for teacher licensure must include in their teacher preparation programs a common
28.8core of teaching knowledge and skills to be acquired by all persons recommended
28.9for teacher licensure. This common core shall meet the standards developed by the
28.10interstate new teacher assessment and support consortium in its 1992 "model standards for
28.11beginning teacher licensing and development." Amendments to standards adopted under
28.12this paragraph are covered by chapter 14. The board of teaching shall report annually to
28.13the education committees of the legislature on the performance of teacher candidates
28.14on common core assessments of knowledge and skills under this paragraph during the
28.15most recent school year.

28.16    Sec. 4. [122A.39] SALARY INCREASES BASED ON STUDENT
28.17ACHIEVEMENT.
28.18(a) At least 50 percent of a teacher's salary increase contained in the contract
28.19between the school board and the exclusive representative of the teachers must be based
28.20on the teacher's performance and evaluation using:
28.21(1) student achievement gains as measured by statewide assessment results under
28.22section 120B.35;
28.23(2) if statewide assessment results are unavailable, a teacher's increase in salary must
28.24be based on student performance on districtwide assessments of state and local standards
28.25and teacher-developed assessments; or
28.26(3) if no districtwide assessment results are available, a teacher's increase in salary
28.27must be based on student performance on teacher-developed and administrator-approved
28.28assessments of state and local standards.
28.29(b) A school administrator shall meet with teachers at least annually under this
28.30section to review, modify if needed, and approve local course and grade-level expectations
28.31for student achievement and growth.
28.32(c) The evaluation of the teacher must only include student data for students who
28.33received instruction from the teacher for a minimum of 100 days.
28.34EFFECTIVE DATE.This section is effective for two-year contracts with the
28.35term beginning on July 1, 2013, and later.

29.1    Sec. 5. Minnesota Statutes 2010, section 122A.40, is amended by adding a subdivision
29.2to read:
29.3    Subd. 3a. Qualified economic offer. (a) Notwithstanding any law to the contrary,
29.4if a school board offers teachers a biennial contract that includes a percentage increase
29.5in total compensation at least equal to the district's biennial percent increase in basic
29.6revenue under section 126C.10, subdivision 2, as measured by the ratio of (1) the most
29.7recent estimate of basic revenue for the district for the biennium that corresponds to the
29.8prospective contract term to (2) the basic revenue for the previous biennium, the teachers
29.9may not strike for any issue relating to the total compensation for the years covered by that
29.10contract or submit any issue relating to the total compensation to interest arbitration under
29.11section 179A.16. However, the teachers may strike for noneconomic issues, consistent
29.12with section 179A.18, subdivision 2, or submit noneconomic issues to interest arbitration
29.13under section 179A.16. District fund balances or other revenue sources or allocations are
29.14not to be included in any calculation of compensation under this subdivision.
29.15(b) If a school board and teachers do not agree on the allocation of the total
29.16compensation offered by the board under paragraph (a) by January 15 of an even-numbered
29.17calendar year, the allocation of total compensation among the teachers shall be as follows:
29.18(1) existing employee benefits must continue at the same percentage of the total
29.19compensation and in the same manner as provided in the teachers' immediately preceding
29.20employment contract; and
29.21(2) based on the percentage increase in the general education formula allowance
29.22for the biennium in which the contract is in effect, any remaining percentage of the total
29.23compensation, after subtracting the value of clause (1), is for increases in teacher salary
29.24based on first, alternative teacher pay plans under section 122A.414, second, the number
29.25of years of service, and third, promotion and advanced education.
29.26(c) For purposes of this subdivision, the following terms have the meanings given
29.27them.
29.28"Teachers" means classroom teachers licensed under section 122A.18. At a school
29.29board's election, teachers also means school administrators licensed under section
29.30122A.14, subdivision 1. A school board that elects to offer school administrators an
29.31employment contract under this subdivision must make the offer consistent with section
29.32179A.20, and the provisions of this subdivision. A school board, at its discretion, also
29.33may elect to offer any of its nonlicensed employees an employment contract under the
29.34terms of this subdivision.
29.35"Total compensation" means the sum of the following cost components: (i) a school
29.36district's total salary schedule costs excluding alternative teacher compensation under
30.1sections 122A.413 to 122A.415; (ii) a school district's total salary costs of an alternative
30.2teacher professional pay system under sections 122A.413 to 122A.415; (iii) total
30.3health insurance costs paid by the school district for its teachers, excluding any district
30.4contributions to health reimbursement arrangements (HRA) or health savings accounts
30.5(HSA) for teachers; (iv) total life insurance costs paid by the school district for its teachers;
30.6(v) total long-term disability costs paid by the school district for its teachers; (vi) total
30.7dental insurance costs paid by the school district for its teachers; (vii) total extracurricular
30.8costs paid to the school district's teachers; (viii) total costs of lane changes on the teachers'
30.9salary schedule; (ix) total Teachers Retirement Association costs paid by the school district
30.10for its teachers; (x) total Social Security and Medicare (FICA) contribution costs paid by
30.11the school district for its teachers; and (xi) other miscellaneous costs identified by the
30.12school district as payment for teachers' services or benefits such as special school events,
30.13extra service duty, summer school instruction, driver's education outside the regular school
30.14day and school year, and other direct salary payments to teachers or fringe benefit costs
30.15paid by the school district for its teachers and not otherwise provided for in items (i) to (x).
30.16EFFECTIVE DATE.This section is effective for contracts ratified beginning
30.17July 1, 2011.

30.18    Sec. 6. Minnesota Statutes 2010, section 122A.40, subdivision 7, is amended to read:
30.19    Subd. 7. Termination of contract after probationary period. (a) A teacher who
30.20has completed a probationary period in any district, and who has not been discharged or
30.21advised of a refusal to renew the teacher's contract under subdivision 5, shall elect to have
30.22a continuing renewable five-year contract with such the district where contract terms and
30.23conditions, including salary and salary increases, are established based either on the length
30.24of the school calendar or an extended school calendar under section 120A.415. Thereafter,
30.25The teacher's contract must remain in full force and effect, except as modified by mutual
30.26consent of the board and the teacher, until terminated by a majority roll call vote of the
30.27full membership of the board prior to April 1 July 1 upon one of the grounds specified in
30.28subdivision 9 or July 1 upon one of the grounds specified in subdivision 9, 10, or 11, or
30.29until the teacher is discharged pursuant to subdivision 13, or by the written resignation
30.30of the teacher submitted prior to April 1. If an agreement as to the terms and conditions
30.31of employment for the succeeding school year has not been adopted pursuant to the
30.32provisions of under sections 179A.01 to 179A.25 prior to March 1, the teacher's right of
30.33resignation is extended to the 30th calendar day following the adoption of said the contract
30.34in compliance with under section 179A.20, subdivision 5. Such Written resignation by the
31.1teacher is effective as of on June 30 if submitted prior to before that date and the teachers'
31.2teacher's right of resignation for the next school year then beginning shall cease on July 15.
31.3(b) Before a teacher's contract is terminated by the board, the board must notify the
31.4teacher in writing and state its ground grounds for the proposed termination in reasonable
31.5detail together with a statement that the teacher may make a written request for a hearing
31.6before the board within 14 calendar days after receipt of such the notification, and it
31.7shall be granted within ten calendar days with notice to the teacher of the date set for
31.8the hearing, before final action is taken.
31.9 If the grounds are those specified in subdivision 9 or 13, the notice must also state a
31.10teacher may request arbitration under subdivision 15. Within 14 calendar days after receipt
31.11of this the notification, the teacher may make a written request for a hearing before the
31.12board or an arbitrator and it shall be granted upon reasonable within 14 calendar days with
31.13notice to the teacher of the date set for hearing or arbitration, before final action is taken.
31.14If no hearing or arbitration is requested within such the required time period, it shall be
31.15deemed acquiescence by the teacher to the board's action. Such The teacher's termination
31.16under subdivision 9 shall take effect at the close of the school year in which the contract
31.17is terminated in the manner aforesaid, and termination discharge under subdivision 13
31.18shall take effect immediately. A board may, however, suspend a teacher with pay pending
31.19the conclusion of such a hearing or arbitration and determination of the issues raised
31.20in the hearing or arbitration after charges have been filed which constitute grounds for
31.21discharge. Such contract A continuing contract teacher's contract may be terminated at
31.22any time by mutual consent of the board and the teacher, and this section does not affect
31.23the powers of a board to suspend, discharge, or demote a teacher under and pursuant to
31.24other provisions of law.
31.25(b) (c) A teacher electing to have a continuing contract based on the extended school
31.26calendar under section 120A.415 must participate in staff development training under
31.27subdivision 7a and shall receive an increased base salary.

31.28    Sec. 7. Minnesota Statutes 2010, section 122A.40, is amended by adding a subdivision
31.29to read:
31.30    Subd. 7b. Teacher employment. (a) After completing the initial three-year
31.31probationary period, without discharge, a teacher who is reemployed by a school board
31.32continues in service and holds that position during good behavior and efficient and
31.33competent service for a renewable five-year term. The terms and conditions of a teacher's
31.34employment contract, including salary and salary increases, must be based either on the
31.35length of the school year or an extended school calendar under section 120A.415.
32.1(b) At the end of every five-year term, the school board either must continue or
32.2terminate a teacher's employment based on:
32.3(1) standards of professional practice, student learning, and successful teacher
32.4evaluations that are conducted at least twice per year by a school administrator; and
32.5(2) other locally selected criteria aligned to instructional practices in teaching and
32.6learning.

32.7    Sec. 8. Minnesota Statutes 2010, section 122A.40, subdivision 9, is amended to read:
32.8    Subd. 9. Grounds for termination. A continuing contract may be terminated,
32.9effective at the close of the school year, upon any of the following grounds:
32.10(a) (1) inefficiency;
32.11(b) (2) neglect of duty, or persistent violation of school laws, rules, regulations,
32.12or directives;
32.13(c) (3) conduct unbecoming a teacher which materially impairs the teacher's
32.14educational effectiveness; or
32.15(d) (4) other good and sufficient grounds rendering the teacher unfit to perform
32.16the teacher's duties.
32.17A contract must not be terminated upon one of the grounds specified in clause (a),
32.18(b), (c), or (d) (1), (2), (3), or (4), unless the teacher fails to correct the deficiency after
32.19being given written notice of the specific items of complaint and reasonable time, a written
32.20plan to assist the teacher in remedying, the specific items of complaint, and for a period
32.21not to exceed six months within which to remedy them.

32.22    Sec. 9. Minnesota Statutes 2010, section 122A.40, subdivision 11, is amended to read:
32.23    Subd. 11. Unrequested leave of absence. (a) The board may place on unrequested
32.24leave of absence, without pay or fringe benefits, as many teachers as may be necessary
32.25because of discontinuance of position, lack of pupils, financial limitations, or merger of
32.26classes caused by consolidation of districts. The unrequested leave is effective at the close
32.27of the school year. In placing teachers on unrequested leave, the superintendent may
32.28exempt from the effects of paragraphs (b) to (f) those teachers who, in the superintendent's
32.29judgment, are able to provide instruction that similarly licensed teachers cannot provide or
32.30whose subject area license meets unmet district needs for student instruction. The board is
32.31governed by the following provisions: paragraphs (b) to (m).
32.32(a) (b) The board may place probationary teachers on unrequested leave first in
32.33the inverse order of their employment. A teacher who has acquired continuing contract
32.34rights must not be placed on unrequested leave of absence while probationary teachers
33.1are retained in positions for which the teacher who has acquired continuing contract
33.2rights is licensed;.
33.3(b) (c) Teachers who have acquired continuing contract rights shall be placed on
33.4unrequested leave of absence in fields in which they are licensed in the inverse order in
33.5which they were employed by the school district.
33.6(d) In the case of equal seniority, the order in which teachers who have acquired
33.7continuing contract rights shall be placed on unrequested leave of absence in fields in
33.8which they are licensed is negotiable;.
33.9(c) (e) Notwithstanding the provisions of clause (b) paragraphs (c) and (d), a teacher
33.10is not entitled to exercise any seniority when that exercise results in that teacher being
33.11retained by the district in a field for which the teacher holds only a provisional license, as
33.12defined by the board of teaching, unless that exercise of seniority results in the placement
33.13on unrequested leave of absence of another teacher who also holds a provisional license
33.14in the same field. The provisions of this clause paragraph do not apply to vocational
33.15education licenses;.
33.16(d) (f) Notwithstanding clauses (a), paragraphs (b) and, (c), and (d), if the placing of
33.17a probationary teacher on unrequested leave before a teacher who has acquired continuing
33.18rights, the placing of a teacher who has acquired continuing contract rights on unrequested
33.19leave before another teacher who has acquired continuing contract rights but who has
33.20greater seniority, or the restriction restrictions imposed by the provisions of clause
33.21paragraph (b), (c), or (d) would place the district in violation of its affirmative action
33.22program, the district may retain the probationary teacher, the teacher with less seniority, or
33.23the provisionally licensed teacher; with a lower designated status or less seniority.
33.24(e) (g) Teachers placed on unrequested leave of absence must be reinstated to
33.25the positions from which they have been given leaves of absence or, if not available,
33.26to other available positions in the school district in fields in which they are licensed.
33.27Reinstatement must be in the inverse order of placement on leave of absence. A teacher
33.28must not be reinstated to a position in a field in which the teacher holds only a provisional
33.29license, other than a vocational education license, while another teacher who holds a
33.30nonprovisional license in the same field remains on unrequested leave. The order of
33.31reinstatement of teachers who have equal seniority and who are placed on unrequested
33.32leave in the same school year is negotiable;.
33.33(f) (h) Appointment of a new teacher must not be made while there is available, on
33.34unrequested leave, a teacher who is properly licensed to fill such vacancy, unless the
33.35teacher fails to advise the school board within 30 days of the date of notification that a
34.1position is available to that teacher who may return to employment and assume the duties
34.2of the position to which appointed on a future date determined by the board;.
34.3(g) (i) A teacher placed on unrequested leave of absence may engage in teaching
34.4or any other occupation during the period of this leave;.
34.5(h) (j) The unrequested leave of absence must not impair the continuing contract
34.6rights of a teacher or result in a loss of credit for previous years of service;.
34.7(i) (k) The unrequested leave of absence of a teacher who is placed on unrequested
34.8leave of absence and who is not reinstated shall continue for a period of five years until
34.9that teacher's contract expires under subdivision 7b, after which the right to reinstatement
34.10shall terminate. The teacher's right to reinstatement shall also terminate if the teacher fails
34.11to file with the board by April 1 of any year a written statement requesting reinstatement;.
34.12(j) (l) The same provisions applicable to terminations of probationary or continuing
34.13contracts in subdivisions 5 and 7 must apply to placement on unrequested leave of
34.14absence;.
34.15(k) (m) Nothing in this subdivision shall be construed to impair the rights of teachers
34.16placed on unrequested leave of absence to receive unemployment benefits if otherwise
34.17eligible.

34.18    Sec. 10. Minnesota Statutes 2010, section 122A.40, subdivision 13, is amended to read:
34.19    Subd. 13. Immediate discharge. (a) Except as otherwise provided in paragraph
34.20(b), a board may discharge a continuing-contract teacher, effective immediately, upon any
34.21of the following grounds:
34.22(1) immoral conduct, insubordination, or conviction of a felony;
34.23(2) conduct unbecoming a teacher which requires the immediate removal of the
34.24teacher from the classroom or other duties;
34.25(3) failure without justifiable cause to teach without first securing the written release
34.26of the school board;
34.27(4) gross inefficiency which the teacher has failed to correct after reasonable written
34.28notice;
34.29(5) willful neglect of duty; or
34.30(6) continuing physical or mental disability subsequent to a 12 months 12-month
34.31leave of absence and inability to qualify for reinstatement in accordance with subdivision
34.3212; or
34.33(7) the inability of the board to terminate at the close of the previous school year
34.34under subdivision 9.
35.1For purposes of this paragraph subdivision, conduct unbecoming a teacher includes
35.2an unfair discriminatory practice described in section 363A.13.
35.3Prior to discharging a teacher under this paragraph, the board must notify the teacher
35.4in writing and state its ground for the proposed discharge in reasonable detail. Within
35.5ten five days after receipt of this notification the teacher may make a written request
35.6for a hearing before the board and it shall be granted before final action is taken. The
35.7board may, however, suspend a teacher with pay pending only for the first 60 days of the
35.8suspension from regular duty. If the conclusion of such hearing and determination of the
35.9issues raised in the hearing after charges have been filed which constitute constitutes
35.10 ground for discharge, the board may, in its discretion, determine the teacher's salary or
35.11compensation at the time of filing charges against the teacher, but must subtract the
35.12amount of any payment made to the teacher during the first 60 days of suspension. If
35.13the determination of the issues is favorable to the teacher, the board must not abate the
35.14teacher's salary or compensation. The hearing must be held within 30 days of the board
35.15action proposing discharge, unless otherwise agreed to by both parties.
35.16(b) A board must discharge a continuing-contract teacher, effective immediately,
35.17upon receipt of notice under section 122A.20, subdivision 1, paragraph (b), that the
35.18teacher's license has been revoked due to a conviction for child abuse or sexual abuse.
35.19EFFECTIVE DATE.This section is effective September 1, 2011, and applies to
35.20all discharge actions initiated by the board after that date.

35.21    Sec. 11. Minnesota Statutes 2010, section 122A.40, subdivision 15, is amended to read:
35.22    Subd. 15. Hearing and determination by arbitrator. (a) A teacher whose
35.23termination discharge is proposed under subdivision 7 on grounds specified in subdivision
35.249, or whose discharge is proposed under subdivision 13, may elect a hearing before an
35.25arbitrator arbitration instead of a hearing before the school board. The hearing arbitration
35.26is governed by this subdivision.
35.27(a) (b) The teacher must make a written request for a hearing before an arbitrator
35.28within 14 calendar days after receiving notification of proposed termination on grounds
35.29specified in subdivision 9 or within ten days of receiving notification of proposed
35.30discharge under subdivision 13. The hearing must be held within 30 days of the board
35.31action proposing discharge, unless otherwise agreed to by both parties. If a request for a
35.32hearing does not specify that the hearing be before an arbitrator, it is considered to be a
35.33request for a hearing before the school board.
35.34(b) (c) If the teacher and the school board are unable to mutually agree on an
35.35arbitrator, the board must request from the bureau of mediation services a list of five
36.1randomly selected persons to serve as an arbitrator. If the matter to be heard is a proposed
36.2termination on grounds specified in subdivision 9, arbitrators on the list must be available
36.3to hear the matter and make a decision within a time frame that will allow the board to
36.4comply with all statutory timelines relating to termination. If the teacher and the board
36.5are unable to mutually agree on an arbitrator from the list provided, the parties shall
36.6alternately strike names from the list until the name of one arbitrator remains. The person
36.7remaining after the striking procedure must be the arbitrator. If the parties are unable to
36.8agree on who shall strike the first name, the question must be decided by a flip of a coin.
36.9The teacher and the school board must share equally the costs and fees of the arbitrator.
36.10(c) (d) The arbitrator shall determine, by a preponderance of the evidence, whether
36.11the grounds for termination or discharge specified in subdivision 9 or 13 exist to support
36.12the proposed termination or discharge. A lesser penalty than termination or discharge may
36.13be imposed by the arbitrator only to the extent that either party proposes such both parties
36.14agree to a lesser penalty in the proceeding. In making the determination, the arbitration
36.15proceeding is governed by sections 572B.15 to 572B.28 and by the collective bargaining
36.16agreement applicable to the teacher.
36.17(d) (e) An arbitration hearing conducted under this subdivision is a meeting for
36.18preliminary consideration of allegations or charges within the meaning of section 13D.05,
36.19subdivision 3 , paragraph (a), and must be closed, unless the teacher requests it to be open.
36.20(e) (f) The arbitrator's award is final and binding on the parties, subject to sections
36.21572B.18 to 572B.28.

36.22    Sec. 12. Minnesota Statutes 2010, section 122A.40, subdivision 16, is amended to read:
36.23    Subd. 16. Decision. After the hearing or arbitration, the board must issue a written
36.24decision and order. If the board orders termination of a continuing contract or discharge of
36.25a teacher, and its decision must include findings of fact based upon competent evidence in
36.26the record and must be served on the teacher, accompanied by an order of termination or
36.27discharge, prior to April 1 in the case of a contract termination for grounds specified in
36.28subdivision 9, prior to July 1 for grounds specified in subdivision 10 or 11, or within ten
36.29calendar days after conclusion of the hearing in the case of a discharge or receipt of an
36.30arbitrator's decision. If the decision of the board or of a reviewing court is favorable to the
36.31teacher, the proceedings must be dismissed and the decision entered in the board minutes,
36.32and all references to such the proceedings must be excluded from the teacher's record file.

36.33    Sec. 13. Minnesota Statutes 2010, section 122A.41, is amended by adding a
36.34subdivision to read:
37.1    Subd. 2a. Qualified economic offer. (a) Notwithstanding any law to the contrary,
37.2if a school board offers teachers a biennial contract that includes a percentage increase
37.3in total compensation at least equal to the district's biennial percent increase in basic
37.4revenue under section 126C.10, subdivision 2, as measured by the ratio of (1) the most
37.5recent estimate of basic revenue for the district for the biennium that corresponds to the
37.6prospective contract term to (2) the basic revenue for the previous biennium, the teachers
37.7may not strike for any issue relating to the total compensation for the years covered by that
37.8contract or submit any issue relating to the total compensation to interest arbitration under
37.9section 179A.16. However, the teachers may strike for noneconomic issues, consistent
37.10with section 179A.18, subdivision 2, or submit noneconomic issues to interest arbitration
37.11under section 179A.16. District fund balances or other revenue sources or allocations are
37.12not to be included in any calculation of compensation under this subdivision.
37.13(b) If a school board and teachers do not agree on the allocation of the total
37.14compensation offered by the board under paragraph (a) by January 15 of an even-numbered
37.15calendar year, the allocation of total compensation among the teachers shall be as follows:
37.16(1) existing employee benefits must continue at the same percentage of the total
37.17compensation and in the same manner as provided in the teachers' immediately preceding
37.18employment contract; and
37.19(2) based on the percentage increase in the general education formula allowance
37.20for the biennium in which the contract is in effect, any remaining percentage of the total
37.21compensation, after subtracting the value of clause (1), is for increases in teacher salary
37.22based on first, alternative teacher pay plans under section 122A.414, second, the number
37.23of years of service, and third, promotion and advanced education.
37.24(c) For the purposes of this subdivision, the following terms have the meanings
37.25given them.
37.26"Teachers" means classroom teachers licensed under section 122A.18. At a school
37.27board's election, teachers also means school administrators licensed under section
37.28122A.14, subdivision 1. A school board that elects to offer school administrators an
37.29employment contract under this subdivision must make the offer consistent with section
37.30179A.20, and the provisions of this subdivision. A school board, at its discretion, also
37.31may elect to offer any of its nonlicensed employees an employment contract under the
37.32terms of this subdivision.
37.33"Total compensation" means the sum of the following cost components: (i) a school
37.34district's total salary schedule costs excluding alternative teacher compensation under
37.35sections 122A.413 to 122A.415; (ii) a school district's total salary costs of an alternative
37.36teacher professional pay system under sections 122A.413 to 122A.415; (iii) total
38.1health insurance costs paid by the school district for its teachers, excluding any district
38.2contributions to health reimbursement arrangements (HRA) or health savings accounts
38.3(HSA) for teachers; (iv) total life insurance costs paid by the school district for its teachers;
38.4(v) total long-term disability costs paid by the school district for its teachers; (vi) total
38.5dental insurance costs paid by the school district for its teachers; (vii) total extracurricular
38.6costs paid to the school district's teachers; (viii) total costs of lane changes on the teachers'
38.7salary schedule; (ix) total Teachers Retirement Association costs paid by the school district
38.8for its teachers; (x) total Social Security and Medicare (FICA) contribution costs paid by
38.9the school district for its teachers; and (xi) other miscellaneous costs identified by the
38.10school district as payment for teachers' services or benefits such as special school events,
38.11extra service duty, summer school instruction, driver's education outside the regular school
38.12day and school year, and other direct salary payments to teachers or fringe benefit costs
38.13paid by the school district for its teachers and not otherwise provided for in items (i) to (x).
38.14EFFECTIVE DATE.This section is effective for contracts ratified beginning
38.15July 1, 2011.

38.16    Sec. 14. Minnesota Statutes 2010, section 122A.41, subdivision 4, is amended to read:
38.17    Subd. 4. Period of service after probationary period; discharge or demotion
38.18Teacher employment. (a) After the completion of such completing the initial three-year
38.19probationary period, without discharge, such teachers as are a teacher who is thereupon
38.20reemployed shall continue in service and hold their respective that position during good
38.21behavior and efficient and competent service for a renewable five-year term and must not
38.22be discharged or demoted except for cause after a hearing. The terms and conditions of a
38.23teacher's employment contract, including salary and salary increases, must be based either
38.24on the length of the school year or an extended school calendar under section 120A.415.
38.25(b) A probationary teacher is deemed to have been reemployed for the ensuing
38.26school year, unless the school board in charge of such school gave such teacher notice in
38.27writing before July 1 of the termination of such employment.
38.28(c) A teacher electing to have an employment contract based on the extended school
38.29calendar under section 120A.415 must participate in staff development training under
38.30subdivision 4a and shall receive an increased base salary.
38.31(d) At the end of every five-year term, the school board either must continue or
38.32terminate a teacher's employment based on:
38.33(1) standards of professional practice, student learning, and successful teacher
38.34evaluations that are conducted at least twice per year by a school administrator; and
39.1(2) other locally selected criteria aligned to instructional practices in teaching and
39.2learning.

39.3    Sec. 15. Minnesota Statutes 2010, section 122A.41, subdivision 14, is amended to read:
39.4    Subd. 14. Services terminated by discontinuance or lack of pupils; preference
39.5given. (a) A teacher whose services are terminated on account of discontinuance of
39.6position or lack of pupils must receive first consideration for other positions in the district
39.7for which that teacher is qualified. In the event it becomes necessary to discontinue one
39.8or more positions, in making such discontinuance, teachers must be discontinued in any
39.9department in the inverse order in which they were employed, unless a board and the
39.10exclusive representative of teachers in the district negotiate a plan providing otherwise.
39.11(b) The superintendent may exempt from the effects of this subdivision those
39.12teachers who, in the superintendent's judgment, are able to provide instruction that
39.13similarly licensed teachers cannot provide or whose subject area license meets unmet
39.14district needs for student instruction.
39.15(b) (c) Notwithstanding the provisions of clause paragraph (a), a teacher is not
39.16entitled to exercise any seniority when that exercise results in that teacher being retained
39.17by the district in a field for which the teacher holds only a provisional license, as defined
39.18by the Board of Teaching, unless that exercise of seniority results in the termination of
39.19services, on account of discontinuance of position or lack of pupils, of another teacher
39.20who also holds a provisional license in the same field. The provisions of this clause
39.21paragraph do not apply to vocational education licenses.
39.22(c) (d) Notwithstanding the provisions of clause paragraph (a), a teacher must
39.23not be reinstated to a position in a field in which the teacher holds only a provisional
39.24license, other than a vocational education license, while another teacher who holds a
39.25nonprovisional license in the same field is available for reinstatement.

39.26    Sec. 16. [122A.645] READING INSTRUCTION STIPEND.
39.27A teacher who received their initial teaching license prior to February 1, 2012,
39.28and passes the assessment of reading instruction administered by the Board of Teaching
39.29under Laws 2009, chapter 96, article 2, section 66, is eligible to receive a stipend of up to
39.30$1,000. The teacher must submit an application for the stipend in the form and manner
39.31determined by the commissioner of education. The commissioner shall award stipends
39.32until the funds appropriated are expended.
39.33EFFECTIVE DATE.This section is effective July 1, 2012.

40.1    Sec. 17. Minnesota Statutes 2010, section 123B.88, is amended by adding a
40.2subdivision to read:
40.3    Subd. 1a. Full-service school zones. The board may establish a full-service school
40.4zone by adoption of a written resolution and may provide transportation for students
40.5attending that school. A full-service school zone may be established for a school located
40.6in an area with higher than average crime or other social and economic challenges, that
40.7provides education, health or human services, or other parental support in collaboration
40.8with city, county, state, or nonprofit agencies. The pupil transportation must be intended to
40.9stabilize enrollment and reduce mobility at that community school.
40.10EFFECTIVE DATE.This section is effective July 1, 2011.

40.11    Sec. 18. Minnesota Statutes 2010, section 123B.92, subdivision 1, is amended to read:
40.12    Subdivision 1. Definitions. For purposes of this section and section 125A.76, the
40.13terms defined in this subdivision have the meanings given to them.
40.14    (a) "Actual expenditure per pupil transported in the regular and excess transportation
40.15categories" means the quotient obtained by dividing:
40.16    (1) the sum of:
40.17    (i) all expenditures for transportation in the regular category, as defined in paragraph
40.18(b), clause (1), and the excess category, as defined in paragraph (b), clause (2), plus
40.19    (ii) an amount equal to one year's depreciation on the district's school bus fleet
40.20and mobile units computed on a straight line basis at the rate of 15 percent per year for
40.21districts operating a program under section 124D.128 for grades 1 to 12 for all students in
40.22the district and 12-1/2 percent per year for other districts of the cost of the fleet, plus
40.23    (iii) an amount equal to one year's depreciation on the district's type III vehicles, as
40.24defined in section 169.011, subdivision 71, which must be used a majority of the time for
40.25pupil transportation purposes, computed on a straight line basis at the rate of 20 percent
40.26per year of the cost of the type three school buses by:
40.27    (2) the number of pupils eligible for transportation in the regular category, as defined
40.28in paragraph (b), clause (1), and the excess category, as defined in paragraph (b), clause (2).
40.29    (b) "Transportation category" means a category of transportation service provided to
40.30pupils as follows:
40.31    (1) Regular transportation is:
40.32    (i) transportation to and from school during the regular school year for resident
40.33elementary pupils residing one mile or more from the public or nonpublic school they
40.34attend, and resident secondary pupils residing two miles or more from the public
40.35or nonpublic school they attend, excluding desegregation transportation and noon
41.1kindergarten transportation; but with respect to transportation of pupils to and from
41.2nonpublic schools, only to the extent permitted by sections 123B.84 to 123B.87;
41.3    (ii) transportation of resident pupils to and from language immersion programs;
41.4    (iii) transportation of a pupil who is a custodial parent and that pupil's child between
41.5the pupil's home and the child care provider and between the provider and the school, if
41.6the home and provider are within the attendance area of the school;
41.7    (iv) transportation to and from or board and lodging in another district, of resident
41.8pupils of a district without a secondary school; and
41.9    (v) transportation to and from school during the regular school year required under
41.10subdivision 3 for nonresident elementary pupils when the distance from the attendance
41.11area border to the public school is one mile or more, and for nonresident secondary pupils
41.12when the distance from the attendance area border to the public school is two miles or
41.13more, excluding desegregation transportation and noon kindergarten transportation.
41.14    For the purposes of this paragraph, a district may designate a licensed day care
41.15facility, school day care facility, respite care facility, the residence of a relative, or the
41.16residence of a person or other location chosen by the pupil's parent or guardian, or an
41.17after-school program for children operated by a political subdivision of the state, as the
41.18home of a pupil for part or all of the day, if requested by the pupil's parent or guardian,
41.19and if that facility, residence, or program is within the attendance area of the school the
41.20pupil attends.
41.21    (2) Excess transportation is:
41.22    (i) transportation to and from school during the regular school year for resident
41.23secondary pupils residing at least one mile but less than two miles from the public or
41.24nonpublic school they attend, and transportation to and from school for resident pupils
41.25residing less than one mile from school who are transported because of full-service school
41.26zones, extraordinary traffic, drug, or crime hazards; and
41.27    (ii) transportation to and from school during the regular school year required under
41.28subdivision 3 for nonresident secondary pupils when the distance from the attendance area
41.29border to the school is at least one mile but less than two miles from the public school
41.30they attend, and for nonresident pupils when the distance from the attendance area border
41.31to the school is less than one mile from the school and who are transported because of
41.32full-service school zones, extraordinary traffic, drug, or crime hazards.
41.33    (3) Desegregation transportation is transportation within and outside of the district
41.34during the regular school year of pupils to and from schools located outside their normal
41.35attendance areas under a plan for desegregation mandated by the commissioner or under
41.36court order.
42.1    (4) "Transportation services for pupils with disabilities" is:
42.2    (i) transportation of pupils with disabilities who cannot be transported on a regular
42.3school bus between home or a respite care facility and school;
42.4    (ii) necessary transportation of pupils with disabilities from home or from school to
42.5other buildings, including centers such as developmental achievement centers, hospitals,
42.6and treatment centers where special instruction or services required by sections 125A.03
42.7to 125A.24, 125A.26 to 125A.48, and 125A.65 are provided, within or outside the district
42.8where services are provided;
42.9    (iii) necessary transportation for resident pupils with disabilities required by sections
42.10125A.12 , and 125A.26 to 125A.48;
42.11    (iv) board and lodging for pupils with disabilities in a district maintaining special
42.12classes;
42.13    (v) transportation from one educational facility to another within the district for
42.14resident pupils enrolled on a shared-time basis in educational programs, and necessary
42.15transportation required by sections 125A.18, and 125A.26 to 125A.48, for resident pupils
42.16with disabilities who are provided special instruction and services on a shared-time basis
42.17or if resident pupils are not transported, the costs of necessary travel between public
42.18and private schools or neutral instructional sites by essential personnel employed by the
42.19district's program for children with a disability;
42.20    (vi) transportation for resident pupils with disabilities to and from board and lodging
42.21facilities when the pupil is boarded and lodged for educational purposes; and
42.22(vii) services described in clauses (i) to (vi), when provided for pupils with
42.23disabilities in conjunction with a summer instructional program that relates to the pupil's
42.24individual education plan or in conjunction with a learning year program established
42.25under section 124D.128.
42.26    For purposes of computing special education initial aid under section 125A.76,
42.27subdivision 2 , the cost of providing transportation for children with disabilities includes
42.28(A) the additional cost of transporting a homeless student from a temporary nonshelter
42.29home in another district to the school of origin, or a formerly homeless student from a
42.30permanent home in another district to the school of origin but only through the end of the
42.31academic year; and (B) depreciation on district-owned school buses purchased after July 1,
42.322005, and used primarily for transportation of pupils with disabilities, calculated according
42.33to paragraph (a), clauses (ii) and (iii). Depreciation costs included in the disabled
42.34transportation category must be excluded in calculating the actual expenditure per pupil
42.35transported in the regular and excess transportation categories according to paragraph (a).
42.36    (5) "Nonpublic nonregular transportation" is:
43.1    (i) transportation from one educational facility to another within the district for
43.2resident pupils enrolled on a shared-time basis in educational programs, excluding
43.3transportation for nonpublic pupils with disabilities under clause (4);
43.4    (ii) transportation within district boundaries between a nonpublic school and a
43.5public school or a neutral site for nonpublic school pupils who are provided pupil support
43.6services pursuant to section 123B.44; and
43.7    (iii) late transportation home from school or between schools within a district for
43.8nonpublic school pupils involved in after-school activities.
43.9    (c) "Mobile unit" means a vehicle or trailer designed to provide facilities for
43.10educational programs and services, including diagnostic testing, guidance and counseling
43.11services, and health services. A mobile unit located off nonpublic school premises is a
43.12neutral site as defined in section 123B.41, subdivision 13.
43.13EFFECTIVE DATE.This section is effective July 1, 2011.

43.14    Sec. 19. Minnesota Statutes 2010, section 124D.09, subdivision 5, is amended to read:
43.15    Subd. 5. Authorization; notification. Notwithstanding any other law to the
43.16contrary, an 11th or 12th grade pupil enrolled in a school or an American Indian-controlled
43.17tribal contract or grant school eligible for aid under section 124D.83, except a foreign
43.18exchange pupil enrolled in a district under a cultural exchange program, may apply to an
43.19eligible institution, as defined in subdivision 3, to enroll in nonsectarian courses offered by
43.20that postsecondary institution. Notwithstanding any other law to the contrary, a 9th or 10th
43.21grade pupil enrolled in a district or an American Indian-controlled tribal contract or grant
43.22school eligible for aid under section 124D.83, except a foreign exchange pupil enrolled in
43.23a district under a cultural exchange program, may apply to enroll in nonsectarian courses
43.24offered under subdivision 10, if after all 11th and 12th grade students have applied for a
43.25course, additional students are necessary to offer the course. If an institution accepts a
43.26secondary pupil for enrollment under this section, the institution shall send written notice
43.27to the pupil, the pupil's school or school district, and the commissioner within ten days of
43.28acceptance. The notice must indicate the course and hours of enrollment of that pupil. If
43.29the pupil enrolls in a course for postsecondary credit, the institution must notify the pupil
43.30about payment in the customary manner used by the institution.

43.31    Sec. 20. Minnesota Statutes 2010, section 124D.09, subdivision 7, is amended to read:
43.32    Subd. 7. Dissemination of information; notification of intent to enroll. By March
43.331 of each year, a district must provide general information about the program to all pupils
43.34in grades 8, 9, 10, and 11. To assist the district in planning, a pupil shall inform the district
44.1by March 30 of each year of the pupil's intent to enroll in postsecondary courses during
44.2the following school year. A pupil is not bound by notifying or not notifying the district
44.3by March 30.

44.4    Sec. 21. Minnesota Statutes 2010, section 124D.09, subdivision 8, is amended to read:
44.5    Subd. 8. Limit on participation. A pupil who first enrolls in grade 9 may not
44.6enroll in postsecondary courses under this section for secondary credit for more than
44.7the equivalent of four academic years. A pupil who first enrolls in grade 10 may not
44.8enroll in postsecondary courses under this section for secondary credit for more than
44.9the equivalent of three academic years. A pupil who first enrolls in grade 11 may not
44.10enroll in postsecondary courses under this section for secondary credit for more than the
44.11equivalent of two academic years. A pupil who first enrolls in grade 12 may not enroll in
44.12postsecondary courses under this section for secondary credit for more than the equivalent
44.13of one academic year. If a pupil in grade 9, 10, 11, or 12 first enrolls in a postsecondary
44.14course for secondary credit during the school year, the time of participation shall be
44.15reduced proportionately. If a pupil is in a learning year or other year-round program and
44.16begins each grade in the summer session, summer sessions shall not be counted against the
44.17time of participation. A pupil who has graduated from high school cannot participate in a
44.18program under this section. A pupil who has completed course requirements for graduation
44.19but who has not received a diploma may participate in the program under this section.

44.20    Sec. 22. Minnesota Statutes 2010, section 124D.10, subdivision 3, is amended to read:
44.21    Subd. 3. Authorizer. (a) For purposes of this section, the terms defined in this
44.22subdivision have the meanings given them.
44.23"Application" to receive approval as an authorizer means the proposal an eligible
44.24authorizer submits to the commissioner under paragraph (c) before that authorizer is able
44.25to submit any affidavit to charter to a school.
44.26"Application" under subdivision 4 means the charter school business plan a
44.27school developer submits to an authorizer for approval to establish a charter school that
44.28documents the school developer's mission statement, school purposes, program design,
44.29financial plan, governance and management structure, and background and experience,
44.30plus any other information the authorizer requests. The application also shall include a
44.31"statement of assurances" of legal compliance prescribed by the commissioner.
44.32"Affidavit" means a written statement the authorizer submits to the commissioner
44.33for approval to establish a charter school under subdivision 4 attesting to its review and
44.34approval process before chartering a school.
45.1"Affidavit" means the form an authorizer submits to the commissioner that is a
45.2precondition to a charter school organizing an affiliated nonprofit building corporation
45.3under subdivision 17a.
45.4(b) The following organizations may authorize one or more charter schools:
45.5(1) a school board; intermediate school district school board; education district
45.6organized under sections 123A.15 to 123A.19;
45.7(2) a charitable organization under section 501(c)(3) of the Internal Revenue Code
45.8of 1986, excluding a nonpublic sectarian or religious institution, any person other than a
45.9natural person that directly or indirectly, through one or more intermediaries, controls,
45.10is controlled by, or is under common control with the nonpublic sectarian or religious
45.11institution, and any other charitable organization under this clause that in the federal IRS
45.12Form 1023, Part IV, describes activities indicating a religious purpose, that:
45.13(i) is a member of the Minnesota Council of Nonprofits or the Minnesota Council on
45.14Foundations;
45.15(ii) is registered with the attorney general's office;
45.16(iii) reports an end-of-year fund balance of at least $2,000,000; and
45.17(iv) is incorporated in the state of Minnesota;
45.18(3) a Minnesota private college, notwithstanding clause (2), that grants two- or
45.19four-year degrees and is registered with the Minnesota Office of Higher Education under
45.20chapter 136A; community college, state university, or technical college governed by the
45.21Board of Trustees of the Minnesota State Colleges and Universities; or the University of
45.22Minnesota; or
45.23(4) a nonprofit corporation subject to chapter 317A, described in section 317A.905,
45.24and exempt from federal income tax under section 501(c)(6) of the Internal Revenue Code
45.25of 1986, may authorize one or more charter schools if the charter school has operated
45.26for at least three years under a different authorizer and if the nonprofit corporation has
45.27existed for at least 25 years.
45.28(5) no more than three single-purpose authorizers that are charitable, nonsectarian
45.29organizations formed under section 501(c)(3) of the Internal Revenue Code of 1986 and
45.30incorporated in the state of Minnesota whose sole purpose is to charter schools. Eligible
45.31organizations interested in being approved as an authorizer under this paragraph must
45.32submit a proposal to the commissioner that includes the provisions of paragraph (c) and
45.33a five-year financial plan. Such authorizers shall consider and approve applications
45.34using the criteria provided in subdivision 4 and shall not limit the applications it solicits,
45.35considers, or approves to any single curriculum, learning program, or method.
46.1(c) An eligible authorizer under this subdivision must apply to the commissioner for
46.2approval as an authorizer before submitting any affidavit to the commissioner to charter
46.3a school. The application for approval as a charter school authorizer must demonstrate
46.4the applicant's ability to implement the procedures and satisfy the criteria for chartering a
46.5school under this section. The commissioner must approve or disapprove an application
46.6within 60 business days of the application deadline. If the commissioner disapproves
46.7the application, the commissioner must notify the applicant of the deficiencies and the
46.8applicant then has 20 business days to address the deficiencies to the commissioner's
46.9satisfaction. Failing to address the deficiencies to the commissioner's satisfaction makes
46.10an applicant ineligible to be an authorizer. The commissioner, in establishing criteria for
46.11approval, must consider the applicant's:
46.12(1) capacity and infrastructure;
46.13(2) application criteria and process;
46.14(3) contracting process;
46.15(4) ongoing oversight and evaluation processes; and
46.16(5) renewal criteria and processes.
46.17(d) The affidavit to be submitted to and evaluated by the commissioner must include
46.18at least the following:
46.19(1) how chartering schools is a way for the organization to carry out its mission;
46.20(2) a description of the capacity of the organization to serve as an authorizer,
46.21including the personnel who will perform the authorizing duties, their qualifications, the
46.22amount of time they will be assigned to this responsibility, and the financial resources
46.23allocated by the organization to this responsibility;
46.24(3) a description of the application and review process the authorizer will use to make
46.25decisions regarding the granting of charters, which will include at least the following:
46.26(i) how the statutory purposes defined in subdivision 1 are addressed;
46.27(ii) the mission, goals, program model, and student performance expectations;
46.28(iii) an evaluation plan for the school that includes criteria for evaluating educational,
46.29organizational, and fiscal plans;
46.30(iv) the school's governance plan;
46.31(v) the financial management plan; and
46.32(vi) the administration and operations plan;
46.33(4) a description of the type of contract it will arrange with the schools it charters
46.34that meets the provisions of subdivision 6 and defines the rights and responsibilities of the
46.35charter school for governing its educational program, controlling its funds, and making
46.36school management decisions;
47.1(5) the process to be used for providing ongoing oversight of the school consistent
47.2with the contract expectations specified in clause (4) that assures that the schools chartered
47.3are complying with both the provisions of applicable law and rules, and with the contract;
47.4(6) the process for making decisions regarding the renewal or termination of
47.5the school's charter based on evidence that demonstrates the academic, organizational,
47.6and financial competency of the school, including its success in increasing student
47.7achievement and meeting the goals of the charter school agreement; and
47.8(7) an assurance specifying that the organization is committed to serving as an
47.9authorizer for the full five-year term.
47.10A disapproved applicant under this paragraph may resubmit an application during a
47.11future application period.
47.12(e) The authorizer must participate in department-approved training.
47.13(f) An authorizer that chartered a school before August 1, 2009, must apply by June
47.1430, 2011 2012, to the commissioner for approval, under paragraph (c), to continue as an
47.15authorizer under this section. For purposes of this paragraph, an authorizer that fails to
47.16submit a timely application is ineligible to charter a school.
47.17(g) The commissioner shall review an authorizer's performance every five years in
47.18a manner and form determined by the commissioner and may review an authorizer's
47.19performance more frequently at the commissioner's own initiative or at the request of a
47.20charter school operator, charter school board member, or other interested party. The
47.21commissioner, after completing the review, shall transmit a report with findings to the
47.22authorizer. If, consistent with this section, the commissioner finds that an authorizer
47.23has not fulfilled the requirements of this section, the commissioner may subject the
47.24authorizer to corrective action, which may include terminating the contract with the
47.25charter school board of directors of a school it chartered. The commissioner must notify
47.26the authorizer in writing of any findings that may subject the authorizer to corrective
47.27action and the authorizer then has 15 business days to request an informal hearing before
47.28the commissioner takes corrective action.
47.29(h) The commissioner may at any time take corrective action against an authorizer,
47.30including terminating an authorizer's ability to charter a school for:
47.31(1) failing to demonstrate the criteria under paragraph (c) under which the
47.32commissioner approved the authorizer;
47.33(2) violating a term of the chartering contract between the authorizer and the charter
47.34school board of directors; or
47.35(3) unsatisfactory performance as an approved authorizer.
47.36EFFECTIVE DATE.This section is effective the day following final enactment.

48.1    Sec. 23. Minnesota Statutes 2010, section 124D.11, subdivision 4, is amended to read:
48.2    Subd. 4. Building lease aid. When a charter school finds it economically
48.3advantageous to rent or lease a building or land for any instructional purposes and it
48.4determines that the total operating capital revenue under section 126C.10, subdivision 13,
48.5is insufficient for this purpose, it may apply to the commissioner for building lease aid
48.6for this purpose. The commissioner must review and either approve or deny a lease aid
48.7application using the following criteria:
48.8(1) the reasonableness of the price based on current market values;
48.9(2) the extent to which the lease conforms to applicable state laws and rules; and
48.10(3) the appropriateness of the proposed lease in the context of the space needs and
48.11financial circumstances of the charter school.
48.12A charter school must not use the building lease aid it receives for custodial, maintenance
48.13service, utility, or other operating costs. The amount of building lease aid per pupil unit
48.14served for a charter school for any year shall not exceed the lesser of (a) 90 percent of
48.15the approved cost or (b) the product of the pupil units served for the current school year
48.16times the greater of the charter school's building lease aid per pupil unit served for fiscal
48.17year 2003, excluding the adjustment under Laws 2002, chapter 392, article 6, section 4,
48.18or $1,200.
48.19EFFECTIVE DATE.This section is effective for revenue for fiscal year 2012
48.20and later.

48.21    Sec. 24. Minnesota Statutes 2010, section 124D.36, is amended to read:
48.22124D.36 CITATION; MINNESOTA YOUTHWORKS SERVEMINNESOTA
48.23INNOVATION ACT.
48.24Sections 124D.37 to 124D.45 shall be cited as the "Minnesota Youthworks
48.25ServeMinnesota Innovation Act."

48.26    Sec. 25. Minnesota Statutes 2010, section 124D.37, is amended to read:
48.27124D.37 PURPOSE OF MINNESOTA YOUTHWORKS SERVEMINNESOTA
48.28INNOVATION ACT.
48.29The purposes of sections 124D.37 to 124D.45 are to:
48.30(1) renew the ethic of civic responsibility in Minnesota;
48.31(2) empower youth to improve their life opportunities through literacy, job
48.32placement, and other essential skills;
49.1(3) empower government to meet its responsibility to prepare young people to be
49.2contributing members of society;
49.3(4) help meet human, educational, environmental, and public safety needs,
49.4particularly those needs relating to poverty;
49.5(5) prepare a citizenry that is academically competent, ready for work, and socially
49.6responsible;
49.7(6) demonstrate the connection between youth and community service, community
49.8service and education, and education and meaningful opportunities in the business
49.9community;
49.10(7) demonstrate the connection between providing opportunities for at-risk youth
49.11and reducing crime rates and the social costs of troubled youth;
49.12(8) create linkages for a comprehensive youth service and learning program in
49.13Minnesota including school age programs, higher education programs, youth work
49.14programs, and service corps programs; and
49.15(9) coordinate federal and state activities that advance the purposes in this section.

49.16    Sec. 26. Minnesota Statutes 2010, section 124D.38, subdivision 3, is amended to read:
49.17    Subd. 3. Federal law. "Federal law" means Public Law 101-610 111-13, as
49.18amended, or any other federal law or program assisting youth community service,
49.19work-based learning, or youth transition from school to work.

49.20    Sec. 27. Minnesota Statutes 2010, section 124D.385, subdivision 3, is amended to read:
49.21    Subd. 3. Duties. (a) The commission shall:
49.22(1) develop, with the assistance of the governor, the commissioner of education, and
49.23affected state agencies, a comprehensive state plan to provide services under sections
49.24124D.37 to 124D.45 and federal law;
49.25(2) actively pursue public and private funding sources for services, including
49.26funding available under federal law;
49.27(3) administer the Youthworks ServeMinnesota grant program under sections
49.28124D.39 to 124D.44, including soliciting and approving grant applications from eligible
49.29organizations, and administering individual postservice benefits;
49.30(4) establish an evaluation plan for programs developed and services provided
49.31under sections 124D.37 to 124D.45;
49.32(5) report to the governor, commissioner of education, and legislature; and
49.33(6) administer the federal AmeriCorps Program.
50.1(b) Nothing in sections 124D.37 to 124D.45 precludes an organization from
50.2independently seeking public or private funding to accomplish purposes similar to those
50.3described in paragraph (a).

50.4    Sec. 28. Minnesota Statutes 2010, section 124D.39, is amended to read:
50.5124D.39 YOUTHWORKS SERVEMINNESOTA INNOVATION PROGRAM.
50.6The Youthworks ServeMinnesota Innovation program is established to provide
50.7funding for the commission to leverage federal and private funding to fulfill the purposes
50.8of section 124D.37. The Youthworks ServeMinnesota Innovation program must
50.9supplement existing programs and services. The program must not displace existing
50.10programs and services, existing funding of programs or services, or existing employment
50.11and employment opportunities. No eligible organization may terminate, layoff, or reduce
50.12the hours of work of an employee to place or hire a program participant. No eligible
50.13organization may place or hire an individual for a project if an employee is on layoff from
50.14the same or a substantially equivalent position.

50.15    Sec. 29. Minnesota Statutes 2010, section 124D.40, is amended to read:
50.16124D.40 YOUTHWORKS SERVEMINNESOTA INNOVATION GRANTS.
50.17    Subdivision 1. Application. An eligible organization interested in receiving a
50.18grant under sections 124D.39 to 124D.44 may prepare and submit an application to the
50.19commission. As part of the grant application process, the commission must establish and
50.20publish grant application guidelines that are consistent with this subdivision, section
50.21124D.37, and Public Law 111-13; include criteria for reviewing an applicant's cost-benefit
50.22analysis; and require grantees to use research-based measures of program outcomes to
50.23generate valid and reliable data that are available to the commission for evaluation and
50.24public reporting purposes.
50.25    Subd. 2. Grant authority. The commission must use any state appropriation and
50.26any available federal funds, including any grant received under federal law, to award
50.27grants to establish programs for Youthworks ServeMinnesota Innovation. At least one
50.28grant each must be available for a metropolitan proposal, a rural proposal, and a statewide
50.29proposal. If a portion of the suburban metropolitan area is not included in the metropolitan
50.30grant proposal, the statewide grant proposal must incorporate at least one suburban
50.31metropolitan area. In awarding grants, the commission may select at least one residential
50.32proposal and one nonresidential proposal.

51.1    Sec. 30. Minnesota Statutes 2010, section 124D.42, is amended to read:
51.2124D.42 YOUTHWORKS PROGRAM TRAINING; READING CORPS.
51.3    Subd. 6. Program training. The commission must, within available resources:
51.4(1) orient each grantee organization in the nature, philosophy, and purpose of the
51.5program; and
51.6(2) build an ethic of community service through general community service training;
51.7and
51.8(3) provide guidance on integrating programmatic-based measurement into program
51.9models.
51.10    Subd. 8. Minnesota reading corps program. (a) A Minnesota reading corps
51.11program is established to provide Americorps ServeMinnesota Innovation members with a
51.12data-based problem-solving model of literacy instruction to use in helping to train local
51.13Head Start program providers, other prekindergarten program providers, and staff in
51.14schools with students in kindergarten through grade 3 to evaluate and teach early literacy
51.15skills, including comprehensive, scientifically based reading instruction under section
51.16122A.06, subdivision 4, to children age 3 to grade 3.
51.17(b) Literacy programs under this subdivision must comply with the provisions
51.18governing literacy program goals and data use under section 119A.50, subdivision 3,
51.19paragraph (b).

51.20    Sec. 31. Minnesota Statutes 2010, section 124D.44, is amended to read:
51.21124D.44 MATCH REQUIREMENTS.
51.22Youthworks ServeMinnesota Innovation grant funds must be used for the living
51.23allowance, cost of employer taxes under sections 3111 and 3301 of the Internal Revenue
51.24Code of 1986, workers' compensation coverage, health benefits, training and evaluation
51.25for each program participant, and administrative expenses, which must not exceed
51.26five seven percent of total program costs. Youthworks grant funds may also be used to
51.27supplement applicant resources to fund postservice benefits for program participants.
51.28Applicant resources, from sources and in a form determined by the commission, must
51.29be used to provide for all other program costs, including the portion of the applicant's
51.30obligation for postservice benefits that is not covered by state or federal grant funds and
51.31such costs as supplies, materials, transportation, and salaries and benefits of those staff
51.32directly involved in the operation, internal monitoring, and evaluation of the program.

51.33    Sec. 32. Minnesota Statutes 2010, section 124D.45, subdivision 2, is amended to read:
52.1    Subd. 2. Interim report. The commission must report semiannually annually to the
52.2legislature with interim recommendations to change the program.

52.3    Sec. 33. Minnesota Statutes 2010, section 124D.4531, subdivision 1, is amended to
52.4read:
52.5    Subdivision 1. Career and technical levy. (a) A district with a career and technical
52.6program approved under this section for the fiscal year in which the levy is certified may
52.7levy an amount equal to the lesser greater of:
52.8(1) $80 times the district's average daily membership in grades 10 9 through 12 for
52.9the fiscal year in which the levy is certified; or
52.10(2) 25 35 percent of approved expenditures in the fiscal year in which the levy is
52.11certified for the following:
52.12(i) salaries paid to essential, licensed personnel providing direct instructional
52.13services to students in that fiscal year, including extended contracts, for services rendered
52.14in the district's approved career and technical education programs;
52.15(ii) contracted services provided by a public or private agency other than a Minnesota
52.16school district or cooperative center under subdivision 7;
52.17(iii) necessary travel between instructional sites by licensed career and technical
52.18education personnel;
52.19(iv) necessary travel by licensed career and technical education personnel for
52.20vocational student organization activities held within the state for instructional purposes;
52.21(v) curriculum development activities that are part of a five-year plan for
52.22improvement based on program assessment;
52.23(vi) necessary travel by licensed career and technical education personnel for
52.24noncollegiate credit-bearing professional development; and
52.25(vii) specialized vocational instructional supplies.
52.26(b) Up to ten percent of a district's career and technical levy may be spent on
52.27equipment purchases. Districts using the career and technical levy for equipment
52.28purchases must report to the department on the improved learning opportunities for
52.29students that result from the investment in equipment.
52.30(c) The district must recognize the full amount of this levy as revenue for the fiscal
52.31year in which it is certified.
52.32EFFECTIVE DATE.This section is effective for taxes payable in 2012 and later.

52.33    Sec. 34. [124D.98] LITERACY INCENTIVE AID.
53.1    Subdivision 1. Literacy incentive aid. In fiscal year 2013 and later, a district's
53.2literacy incentive aid equals the sum of the proficiency aid under subdivision 2, and the
53.3growth aid under subdivision 3.
53.4    Subd. 2. Proficiency aid. In fiscal year 2013 and later, the proficiency aid for
53.5each school is equal to the product of the school's proficiency allowance times the
53.6number of pupils at the school on October 1 of the previous fiscal year. A school's
53.7proficiency allowance is equal to the percent of students in each building that meet or
53.8exceed proficiency on the reading portion of the third grade Minnesota Comprehensive
53.9Assessment-II, averaged across the previous three test administrations, times $150.
53.10    Subd. 3. Growth aid. In fiscal year 2013 and later, the growth aid for each school is
53.11equal to the product of the school's growth allowance times the number of pupils enrolled
53.12at the school on October 1 of the previous fiscal year. A school's growth allowance is
53.13equal to the percent of students in the fourth grade at that school making medium or high
53.14growth, under section 120B.299, averaged across the previous three test administrations,
53.15times $150.

53.16    Sec. 35. CHARTER SCHOOL START-UP AID.
53.17Notwithstanding any law to the contrary, a charter school in its first year of operation
53.18during fiscal year 2012 is not eligible for charter school start-up aid under Minnesota
53.19Statutes, section 124D.11, subdivision 8.

53.20    Sec. 36. LITERACY INCENTIVE AID LIMIT.
53.21Notwithstanding Minnesota Statutes, section 124D.98, subdivision 1, for fiscal year
53.222013 only, the commissioner must adjust the entitlement for literacy incentive aid under
53.23Minnesota Statutes, section 124D.98, subdivision 1, to ensure that the total entitlement
53.24does not exceed $85,952,000. If the literacy incentive aid exceeds the limit established in
53.25this section, the aid must be reduced proportionately to match the limit.

53.26    Sec. 37. LITERACY TRANSITION REVENUE.
53.27    Subdivision 1. Literacy transition revenue. For districts that received integration
53.28revenue under Minnesota Statutes, section 124D.86, in fiscal year 2011, literacy transition
53.29revenue for fiscal year 2012 only is equal to the total district amount received under
53.30Minnesota Statutes, section 124D.86, subdivision 3, in fiscal year 2011.
53.31    Subd. 2. Literacy transition levy. For fiscal year 2012 only, a district may levy
53.32an amount equal to 30 percent of the district's literacy transition revenue as defined in
53.33subdivision 1.
54.1    Subd. 3. Literacy transition aid. A district's literacy aid equals the difference
54.2between the district's literacy transition revenue and its literacy transition aid.
54.3    Subd. 4. Adjustments. The literacy transition aid under subdivision 3 must be
54.4adjusted in the same manner as was adjusted under Minnesota Statutes, section 124D.86,
54.5subdivision 6, in fiscal year 2011 for revenue in fiscal year 2012.
54.6    Subd. 5. Method of payment. The commissioner shall make payments of literacy
54.7transition aid to school districts according to the payment schedule under Minnesota
54.8Statutes, section 127A.45.
54.9EFFECTIVE DATE.This section is effective for fiscal year 2012 only.

54.10    Sec. 38. APPROPRIATIONS.
54.11    Subdivision 1. Department of Education. The sums indicated in this section are
54.12appropriated from the general fund to the Department of Education for the fiscal years
54.13designated.
54.14    Subd. 2. Charter school building lease aid. For building lease aid under Minnesota
54.15Statutes, section 124D.11, subdivision 4:

54.16		$	47,466,000	.....	2012
54.17		$	52,484,000	.....	2013

54.18The 2012 appropriation includes $13,336,000 for 2011 and $34,130,000 for 2012.
54.19The 2013 appropriation includes $14,627,000 for 2012 and $37,857,000 for 2013.
54.20    Subd. 3. Charter school start-up aid. For charter school start-up cost aid under
54.21Minnesota Statutes, section 124D.11, subdivision 8:

54.22		$	180,000	.....	2012
54.23		$	25,000	.....	2013

54.24The 2012 appropriation includes $119,000 for 2011 and $61,000 for 2012.
54.25The 2013 appropriation includes $25,000 for 2012 and $0 for 2013.
54.26    Subd. 4. Literacy transition aid. For literacy transition aid:

54.27		$	64,240,000	.....	2012
54.28		$	19,272,000	.....	2013

54.29The 2012 appropriation includes $19,272,000 for 2011 and $44,968,000 for 2012.
54.30The 2013 appropriation includes $19,272,000 for 2012 and $0 for 2013.
54.31    Subd. 5. Literacy incentive aid. For literacy incentive aid under Minnesota
54.32Statutes, section 124D.98:

55.1

$

60,167,000

.....

2013

55.2The 2013 appropriation includes $0 for 2012 and $60,167,000 for 2013.
55.3    Subd. 6. Reading instruction stipend aid. For reading instruction stipend aid
55.4under Minnesota Statutes, section 122A.645:

55.5

$

4,450,000

.....

2013

55.6The base for fiscal year 2014 and later is $4,450,000.
55.7    Subd. 7. Interdistrict desegregation or integration transportation grants. For
55.8interdistrict desegregation or integration transportation grants under Minnesota Statutes,
55.9section 124D.87:

55.10

$

14,917,000

.....

2012

55.11    Subd. 8. Success for the future. For American Indian success for the future grants
55.12under Minnesota Statutes, section 124D.81:

55.13		$	2,137,000	.....	2012
55.14		$	2,137,000	.....	2013

55.15The 2012 appropriation includes $641,000 for 2011 and $1,496,000 for 2012.
55.16The 2013 appropriation includes $641,000 for 2012 and $1,496,000 for 2013.
55.17    Subd. 9. American Indian teacher preparation grants. For joint grants to assist
55.18American Indian people to become teachers under Minnesota Statutes, section 122A.63:

55.19		$	190,000	.....	2012
55.20		$	190,000	.....	2013

55.21    Subd. 10. Tribal contract school aid. For tribal contract school aid under
55.22Minnesota Statutes, section 124D.83:

55.23		$	2,097,000	.....	2012
55.24		$	2,217,000	.....	2013

55.25The 2012 appropriation includes $600,000 for 2011 and $1,497,000 for 2012.
55.26The 2013 appropriation includes $641,000 for 2012 and $1,576,000 for 2013.
55.27    Subd. 11. Early childhood family education programs at tribal schools. For
55.28early childhood family education programs at tribal contract schools under Minnesota
55.29Statutes, section 124D.83, subdivision 4:

55.30		$	68,000	.....	2012
55.31		$	68,000	.....	2013

56.1    Subd. 12. Statewide testing and reporting system. For the statewide testing and
56.2reporting system under Minnesota Statutes, section 120B.30:

56.3		$	15,150,000	.....	2012
56.4		$	15,150,000	.....	2013

56.5Any balance in the first year does not cancel but is available in the second year.
56.6    Subd. 13. Examination fees; teacher training and support programs. (a) For
56.7students' advanced placement and international baccalaureate examination fees under
56.8Minnesota Statutes, section 120B.13, subdivision 3, and the training and related costs
56.9for teachers and other interested educators under Minnesota Statutes, section 120B.13,
56.10subdivision 1:

56.11		$	4,500,000	.....	2012
56.12		$	4,500,000	.....	2013

56.13(b) The advanced placement program shall receive 75 percent of the appropriation
56.14each year and the international baccalaureate program shall receive 25 percent of the
56.15appropriation each year. The department, in consultation with representatives of the
56.16advanced placement and international baccalaureate programs selected by the Advanced
56.17Placement Advisory Council and IBMN, respectively, shall determine the amounts of
56.18the expenditures each year for examination fees and training and support programs for
56.19each program.
56.20(c) Notwithstanding Minnesota Statutes, section 120B.13, subdivision 1, at least
56.21$500,000 each year is for teachers to attend subject matter summer training programs
56.22and follow-up support workshops approved by the advanced placement or international
56.23baccalaureate programs. The amount of the subsidy for each teacher attending an
56.24advanced placement or international baccalaureate summer training program or workshop
56.25shall be the same. The commissioner shall determine the payment process and the amount
56.26of the subsidy.
56.27(d) The commissioner shall pay all examination fees for all students of low-income
56.28families under Minnesota Statutes, section 120B.13, subdivision 3, and to the extent
56.29of available appropriations shall also pay examination fees for students sitting for an
56.30advanced placement examination, international baccalaureate examination, or both.
56.31Any balance in the first year does not cancel but is available in the second year.
56.32    Subd. 14. Concurrent enrollment programs. For concurrent enrollment programs
56.33under Minnesota Statutes, section 124D.091:

56.34		$	2,000,000	.....	2012
56.35		$	2,000,000	.....	2013

57.1If the appropriation is insufficient, the commissioner must proportionately reduce
57.2the aid payment to each district.
57.3Any balance in the first year does not cancel but is available in the second year.
57.4    Subd. 15. Collaborative urban educator. For the collaborative urban educator
57.5grant program:

57.6		$	528,000	.....	2012
57.7		$	528,000	.....	2013

57.8Any balance in the first year does not cancel but is available in the second year.
57.9Each institution shall prepare for the legislature, by January 15 of each year, a
57.10detailed report regarding the funds used. The report must include the number of teachers
57.11prepared as well as the diversity for each cohort of teachers produced.
57.12    Subd. 16. ServeMinnesota program. For funding ServeMinnesota programs under
57.13Minnesota Statutes, sections 124D.37 to 124D.45:

57.14		$	900,000	.....	2012
57.15		$	900,000	.....	2013

57.16A grantee organization may provide health and child care coverage to the dependents
57.17of each participant enrolled in a full-time ServeMinnesota program to the extent such
57.18coverage is not otherwise available.
57.19    Subd. 17. Student organizations. For student organizations:

57.20		$	800,000	.....	2012
57.21		$	800,000	.....	2013

57.22$54,000 each year is for student organizations serving health occupations.
57.23$51,000 each year is for student organizations serving service occupations.
57.24$117,000 each year is for student organizations serving trade and industry
57.25occupations.
57.26$112,000 each year is for student organizations serving business occupations.
57.27$174,000 each year is for student organizations serving agriculture occupations.
57.28$166,000 each year is for student organizations serving family and consumer science
57.29occupations.
57.30$126,000 each year is for student organizations serving marketing occupations.
57.31Any balance in the first year does not cancel but is available in the second year.
57.32    Subd. 18. Early childhood literacy programs. For early childhood literacy
57.33programs under Minnesota Statutes, section 119A.50, subdivision 3:

58.1		$	4,125,000	.....	2012
58.2		$	4,125,000	.....	2013

58.3Up to $4,125,000 each year is for leveraging federal and private funding to support
58.4AmeriCorps members serving in the Minnesota Reading Corps program established by
58.5ServeMinnesota, including costs associated with the training and teaching of early literacy
58.6skills to children age three to grade 3 and the evaluation of the impact of the program
58.7under Minnesota Statutes, sections 124D.38, subdivision 2, and 124D.42, subdivision 6.
58.8Any balance in the first year does not cancel, but is available in the second year.
58.9    Subd. 19. Educational planning and assessment system (EPAS) program.
58.10For the educational planning and assessment system program under Minnesota Statutes,
58.11section 120B.128:

58.12		$	829,000	.....	2012
58.13		$	829,000	.....	2013

58.14Any balance in the first year does not cancel but is available in the second year.

58.15    Sec. 39. REPEALER.
58.16(a) Minnesota Statutes 2010, sections 124D.871; and 124D.88, are repealed.
58.17(b) Minnesota Statutes 2010, section 124D.11, subdivision 8, is repealed.
58.18(c) Minnesota Statutes 2010, section 124D.38, subdivisions 4, 5, and 6, are repealed.
58.19(d) Minnesota Statutes 2010, sections 124D.86; 124D.892, subdivisions 1 and 2; and
58.20124D.896, are repealed.
58.21(e) Minnesota Statutes 2010, section 124D.87, is repealed.
58.22(f) Minnesota Rules, parts 3535.0100; 3535.0110; 3535.0120; 3535.0130;
58.233535.0140; 3535.0150; 3535.0160; 3535.0170; and 3535.0180, are repealed.
58.24EFFECTIVE DATE.Paragraph (a) is effective for revenue for fiscal year 2012
58.25and later. Paragraphs (b) and (e) are effective for revenue for fiscal year 2013 and later.
58.26Paragraphs (d) and (f) are effective the day following final enactment.


58.29    Section 1. Minnesota Statutes 2010, section 125A.76, subdivision 1, is amended to
58.30read:
58.31    Subdivision 1. Definitions. For the purposes of this section, the definitions in this
58.32subdivision apply.
59.1    (a) "Basic revenue" has the meaning given it in section 126C.10, subdivision 2.
59.2For the purposes of computing basic revenue pursuant to this section, each child with a
59.3disability shall be counted as prescribed in section 126C.05, subdivision 1.
59.4    (b) "Essential personnel" means teachers, cultural liaisons, related services, and
59.5support services staff providing services to students. Essential personnel may also include
59.6special education paraprofessionals or clericals providing support to teachers and students
59.7by preparing paperwork and making arrangements related to special education compliance
59.8requirements, including parent meetings and individual education plans. Essential
59.9personnel does not include administrators and supervisors.
59.10    (c) "Average daily membership" has the meaning given it in section 126C.05.
59.11    (d) "Program growth factor" means 1.046 1.0 for fiscal year 2012 and later.
59.12EFFECTIVE DATE.This section is effective for revenue for fiscal year 2012
59.13and later.

59.14    Sec. 2. Minnesota Statutes 2010, section 125A.79, subdivision 1, is amended to read:
59.15    Subdivision 1. Definitions. For the purposes of this section, the definitions in this
59.16subdivision apply.
59.17    (a) "Unreimbursed special education cost" means the sum of the following:
59.18    (1) expenditures for teachers' salaries, contracted services, supplies, equipment, and
59.19transportation services eligible for revenue under section 125A.76; plus
59.20    (2) expenditures for tuition bills received under sections 125A.03 to 125A.24 and
59.21125A.65 for services eligible for revenue under section 125A.76, subdivision 2; minus
59.22    (3) revenue for teachers' salaries, contracted services, supplies, equipment, and
59.23transportation services under section 125A.76; minus
59.24    (4) tuition receipts under sections 125A.03 to 125A.24 and 125A.65 for services
59.25eligible for revenue under section 125A.76, subdivision 2.
59.26    (b) "General revenue" means the sum of the general education revenue according to
59.27section 126C.10, subdivision 1, excluding alternative teacher compensation revenue, plus
59.28the total qualifying referendum revenue specified in paragraph (e) minus transportation
59.29sparsity revenue minus total operating capital revenue.
59.30    (c) "Average daily membership" has the meaning given it in section 126C.05.
59.31    (d) "Program growth factor" means 1.02 1.0 for fiscal year 2012 and later.
59.32    (e) "Total qualifying referendum revenue" means two-thirds of the district's total
59.33referendum revenue as adjusted according to section 127A.47, subdivision 7, paragraphs
59.34(a) to (c), for fiscal year 2006, one-third of the district's total referendum revenue for fiscal
59.35year 2007, and none of the district's total referendum revenue for fiscal year 2008 and later.
60.1EFFECTIVE DATE.This section is effective for revenue for fiscal year 2012
60.2and later.

60.3    Sec. 3. APPROPRIATIONS.
60.4    Subdivision 1. Department of Education. The sums indicated in this section are
60.5appropriated from the general fund to the Department of Education for the fiscal years
60.6designated.
60.7    Subd. 2. Special education; regular. For special education aid under Minnesota
60.8Statutes, section 125A.75:

60.9		$	789,955,000	.....	2012
60.10		$	796,681,000	.....	2013

60.11The 2012 appropriation includes $235,975,000 for 2011 and $553,980,000 for 2012.
60.12The 2013 appropriation includes $237,419,000 for 2012 and $559,262,000 for 2013.
60.13    Subd. 3. Aid for children with disabilities. For aid under Minnesota Statutes,
60.14section 125A.75, subdivision 3, for children with disabilities placed in residential facilities
60.15within the district boundaries for whom no district of residence can be determined:

60.16		$	1,648,000	.....	2012
60.17		$	1,745,000	.....	2013

60.18If the appropriation for either year is insufficient, the appropriation for the other
60.19year is available.
60.20    Subd. 4. Travel for home-based services. For aid for teacher travel for home-based
60.21services under Minnesota Statutes, section 125A.75, subdivision 1:

60.22		$	357,000	.....	2012
60.23		$	359,000	.....	2013

60.24The 2012 appropriation includes $107,000 for 2011 and $250,000 for 2012.
60.25The 2013 appropriation includes $107,000 for 2012 and $252,000 for 2013.
60.26    Subd. 5. Special education; excess costs. For excess cost aid under Minnesota
60.27Statutes, section 125A.79, subdivision 7:

60.28		$	111,243,000	.....	2012
60.29		$	112,122,000	.....	2013

60.30The 2012 appropriation includes $53,449,000 for 2011 and $57,794,000 for 2012.
60.31The 2013 appropriation includes $53,777,000 for 2012 and $58,345,000 for 2013.
61.1    Subd. 6. Court-placed special education revenue. For reimbursing serving
61.2school districts for unreimbursed eligible expenditures attributable to children placed in
61.3the serving school district by court action under Minnesota Statutes, section 125A.79,
61.4subdivision 4:

61.5		$	80,000	.....	2012
61.6		$	82,000	.....	2013

61.7    Subd. 7. Special education out-of-state tuition. For special education out-of-state
61.8tuition according to Minnesota Statutes, section 125A.79, subdivision 8:

61.9		$	250,000	.....	2012
61.10		$	250,000	.....	2013

61.13    Section 1. Minnesota Statutes 2010, section 123B.54, is amended to read:
61.14123B.54 DEBT SERVICE APPROPRIATION.
61.15    (a) $17,161,000 in fiscal year 2012 and $19,175,000 $19,947,000 in fiscal year
61.162013, $22,832,000 in fiscal year 2014, and $23,060,000 in fiscal year 2015 and later are
61.17appropriated from the general fund to the commissioner of education for payment of debt
61.18service equalization aid under section 123B.53.
61.19    (b) The appropriations in paragraph (a) must be reduced by the amount of any
61.20money specifically appropriated for the same purpose in any year from any state fund.

61.21    Sec. 2. Minnesota Statutes 2010, section 123B.57, is amended to read:
61.22123B.57 CAPITAL EXPENDITURE; HEALTH AND SAFETY.
61.23    Subdivision 1. Health and safety program revenue application. (a) To receive
61.24health and safety revenue for any fiscal year a district must submit to the commissioner
61.25an a capital expenditure health and safety revenue application for aid and levy by the
61.26date determined by the commissioner. The application may be for hazardous substance
61.27removal, fire and life safety code repairs, labor and industry regulated facility and
61.28equipment violations, and health, safety, and environmental management, including
61.29indoor air quality management. The application must include a health and safety program
61.30budget adopted and confirmed by the school district board as being consistent with the
61.31district's health and safety policy under subdivision 2. The program budget must include
61.32the estimated cost, per building, of the program per Uniform Financial Accounting and
62.1Reporting Standards (UFARS) finance code by fiscal year. Upon approval through the
62.2adoption of a resolution by each of an intermediate district's member school district
62.3boards and the approval of the Department of Education, a school district may include
62.4its proportionate share of the costs of health and safety projects for an intermediate
62.5district in its application.
62.6(b) Health and safety projects with an estimated cost of $500,000 or more per
62.7site are not eligible for health and safety revenue. Health and safety projects with an
62.8estimated cost of $500,000 or more per site that meet all other requirements for health and
62.9safety funding, are eligible for alternative facilities bonding and levy revenue according
62.10to section 123B.59. A school board shall not separate portions of a single project into
62.11components to qualify for health and safety revenue, and shall not combine unrelated
62.12projects into a single project to qualify for alternative facilities bonding and levy revenue.
62.13(c) The commissioner of education shall not make eligibility for health and safety
62.14revenue contingent on a district's compliance status, level of program development, or
62.15training. The commissioner shall not mandate additional performance criteria such as
62.16training, certifications, or compliance evaluations as a prerequisite for levy approval.
62.17    Subd. 2. Contents of program Health and safety policy. To qualify for health
62.18and safety revenue, a district school board must adopt a health and safety program policy.
62.19The program policy must include plans, where applicable, for hazardous substance
62.20removal, fire and life safety code repairs, regulated facility and equipment violations,
62.21and provisions for implementing a health and safety program that complies with health,
62.22safety, and environmental management, regulations and best practices, including indoor
62.23air quality management.
62.24(a) A hazardous substance plan must contain provisions for the removal or
62.25encapsulation of asbestos from school buildings or property, asbestos-related repairs,
62.26cleanup and disposal of polychlorinated biphenyls found in school buildings or property,
62.27and cleanup, removal, disposal, and repairs related to storing heating fuel or transportation
62.28fuels such as alcohol, gasoline, fuel, oil, and special fuel, as defined in section 296A.01.
62.29If a district has already developed a plan for the removal or encapsulation of asbestos as
62.30required by the federal Asbestos Hazard Emergency Response Act of 1986, the district
62.31may use a summary of that plan, which includes a description and schedule of response
62.32actions, for purposes of this section. The plan must also contain provisions to make
62.33modifications to existing facilities and equipment necessary to limit personal exposure
62.34to hazardous substances, as regulated by the federal Occupational Safety and Health
62.35Administration under Code of Federal Regulations, title 29, part 1910, subpart Z; or is
62.36determined by the commissioner to present a significant risk to district staff or student
63.1health and safety as a result of foreseeable use, handling, accidental spill, exposure, or
63.2contamination.
63.3(b) A fire and life safety plan must contain a description of the current fire and life
63.4safety code violations, a plan for the removal or repair of the fire and life safety hazard,
63.5and a description of safety preparation and awareness procedures to be followed until the
63.6hazard is fully corrected.
63.7(c) A facilities and equipment violation plan must contain provisions to correct
63.8health and safety hazards as provided in Department of Labor and Industry standards
63.9pursuant to section 182.655.
63.10(d) A health, safety, and environmental management plan must contain a description
63.11of training, record keeping, hazard assessment, and program management as defined
63.12in section 123B.56.
63.13(e) A plan to test for and mitigate radon produced hazards.
63.14(f) A plan to monitor and improve indoor air quality.
63.15    Subd. 3. Health and safety revenue. A district's health and safety revenue
63.16for a fiscal year equals the district's alternative facilities levy under section 123B.59,
63.17subdivision 5, paragraph (b), plus the greater of zero or:
63.18    (1) the sum of (a) the total approved cost of the district's hazardous substance
63.19plan for fiscal years 1985 through 1989, plus (b) the total approved cost of the district's
63.20health and safety program for fiscal year 1990 through the fiscal year to which the levy
63.21is attributable, excluding expenditures funded with bonds issued under section 123B.59
63.22or 123B.62, or chapter 475; certificates of indebtedness or capital notes under section
63.23123B.61 ; levies under section 123B.58, 123B.59, 123B.63, or 126C.40, subdivision 1 or
63.246; and other federal, state, or local revenues, minus
63.25    (2) the sum of (a) the district's total hazardous substance aid and levy for fiscal years
63.261985 through 1989 under sections 124.245 and 275.125, subdivision 11c, plus (b) the
63.27district's health and safety revenue under this subdivision, for years before the fiscal year
63.28to which the levy is attributable.
63.29    Subd. 4. Health and safety levy. To receive health and safety revenue, a district
63.30may levy an amount equal to the district's health and safety revenue as defined in
63.31subdivision 3 multiplied by the lesser of one, or the ratio of the quotient derived by
63.32dividing the adjusted net tax capacity of the district for the year preceding the year the
63.33levy is certified by the adjusted marginal cost pupil units in the district for the school year
63.34to which the levy is attributable, to $2,935.
63.35    Subd. 5. Health and safety aid. A district's health and safety aid is the difference
63.36between its health and safety revenue and its health and safety levy. If a district does not
64.1levy the entire amount permitted, health and safety aid must be reduced in proportion to
64.2the actual amount levied. Health and safety aid may not be reduced as a result of reducing
64.3a district's health and safety levy according to section 123B.79.
64.4    Subd. 6. Uses of health and safety revenue. (a) Health and safety revenue may
64.5be used only for approved expenditures necessary to correct for the correction of fire
64.6and life safety hazards, or for the; design, purchase, installation, maintenance, and
64.7inspection of fire protection and alarm equipment; purchase or construction of appropriate
64.8facilities for the storage of combustible and flammable materials; inventories and facility
64.9modifications not related to a remodeling project to comply with lab safety requirements
64.10under section 121A.31; inspection, testing, repair, removal or encapsulation, and disposal
64.11of asbestos from school buildings or property owned or being acquired by the district,
64.12asbestos-related repairs, asbestos-containing building materials; cleanup and disposal
64.13of polychlorinated biphenyls found in school buildings or property owned or being
64.14acquired by the district, or the; cleanup and disposal of hazardous and infectious wastes;
64.15cleanup, removal, disposal, and repairs related to storing heating fuel or transportation
64.16fuels such as alcohol, gasoline, fuel oil, and special fuel, as defined in section 296A.01,
64.17Minnesota; correction of occupational safety and health administration regulated facility
64.18and equipment hazards,; indoor air quality inspections, investigations, and testing; mold
64.19abatement,; upgrades or replacement of mechanical ventilation systems to meet American
64.20Society of Heating, Refrigerating and Air Conditioning Engineers standards and State
64.21Mechanical Code,; design, materials, and installation of local exhaust ventilation systems,
64.22including required make-up air for controlling regulated hazardous substances; correction
64.23of Department of Health Food Code and violations; correction of swimming pool
64.24hazards excluding depth correction,; playground safety inspections and the installation
64.25of impact surfacing materials; bleacher repair or rebuilding to comply with the order of
64.26a building code inspector under section 326B.112; testing and mitigation of elevated
64.27radon hazards; lead testing; copper in water testing; cleanup after major weather-related
64.28disasters or flooding; reduction of excessive organic and inorganic levels in wells and
64.29well capping of abandoned wells; installation and testing of boiler backflow valves to
64.30prevent contamination of potable water; vaccinations, titers, and preventative supplies
64.31for bloodborne pathogen compliance; costs to comply with the Janet B. Johnson Parents'
64.32Right To Know Act; and health, safety, and environmental management costs associated
64.33with implementing the district's health and safety program, including costs to establish
64.34and operate safety committees, in school buildings or property owned or being acquired
64.35by the district. Testing and calibration activities are permitted for existing mechanical
64.36ventilation systems at intervals no less than every five years. Health and safety revenue
65.1must not be used to finance a lease purchase agreement, installment purchase agreement,
65.2or other deferred payments agreement. Health and safety revenue must not be used for
65.3the construction of new facilities or the purchase of portable classrooms, for interest or
65.4other financing expenses, or for energy efficiency projects under section 123B.65. The
65.5revenue may not be used for a building or property or part of a building or property used
65.6for postsecondary instruction or administration or for a purpose unrelated to elementary
65.7and secondary education.
65.8    Subd. 6a. Restrictions on health and safety revenue. (b) Notwithstanding
65.9paragraph (a) subdivision 6, health and safety revenue must not be used: (1) to finance a
65.10lease purchase agreement, installment purchase agreement, or other deferred payments
65.11agreement; (2) for the construction of new facilities, remodeling of existing facilities, or
65.12the purchase of portable classrooms; (3) for interest or other financing expenses; (4) for
65.13energy efficiency projects under section 123B.65 for a building or property or part of a
65.14building or property used for postsecondary instruction or administration or for a purpose
65.15unrelated to elementary and secondary education; (5) for replacement of building materials
65.16or facilities including roof, walls, windows, internal fixtures and flooring, nonhealth and
65.17safety costs associated with demolition of facilities, structural repair or replacement of
65.18facilities due to unsafe conditions, violence prevention and facility security, ergonomics, ;
65.19or (6) for building and heating, ventilating and air conditioning supplies, maintenance, and
65.20cleaning activities. All assessments, investigations, inventories, and support equipment
65.21not leading to the engineering or construction of a project shall be included in the health,
65.22safety, and environmental management costs in subdivision 8, paragraph (a).
65.23    Subd. 6b. Health and safety projects. (a) Health and safety revenue applications
65.24defined in subdivision 1 must be accompanied by a description of each project for which
65.25funding is being requested. Project descriptions must provide enough detail for an auditor
65.26to determine if the work qualifies for revenue. For projects other than fire and life
65.27safety projects, playground projects, and health, safety, and environmental management
65.28activities, a project description does not need to include itemized details such as material
65.29types, room locations, square feet, names, or license numbers. The commissioner
65.30may request supporting information and shall approve only projects that comply with
65.31subdivisions 6 and 8, as defined by the Department of Education.
65.32(b) Districts may request funding for allowable projects based on self-assessments,
65.33safety committee recommendations, insurance inspections, management assistance
65.34reports, fire marshal orders, or other mandates. Notwithstanding subdivision 1, paragraph
65.35(b), and subdivision 8, paragraph (b), for projects under $500,000, individual project
65.36size for projects authorized by this subdivision is not limited and may include related
66.1work in multiple facilities. Health and safety management costs from subdivision 8 may
66.2be reported as a single project.
66.3(c) All costs directly related to a project shall be reported in the appropriate Uniform
66.4Financial Accounting and Reporting Standards (UFARS) finance code.
66.5(d) For fire and life safety egress and all other projects exceeding $20,000 and cited
66.6under Minnesota Fire Code, a fire marshal plan review is required.
66.7(e) Districts shall update project estimates with actual expenditures for each
66.8fiscal year. If a project's final cost is significantly higher than originally approved, the
66.9commissioner may request additional supporting information.
66.10    Subd. 6c. Appeals process. In the event a district is denied funding approval for
66.11a project the district believes complies with subdivisions 6 and 8, and is not otherwise
66.12excluded, a district may appeal the decision. All such requests must be in writing. The
66.13commissioner shall respond in writing. A written request must contain project number,
66.14description and amount, reason for denial, unresolved questions for consideration, reasons
66.15for reconsideration, and a specific statement of what action the district is requesting.
66.16    Subd. 7. Proration. In the event that the health and safety aid available for any year
66.17is prorated, a district having its aid prorated may levy an additional amount equal to the
66.18amount not paid by the state due to proration.
66.19    Subd. 8. Health, safety, and environmental management cost. (a) "Health, safety,
66.20and environmental management" is defined in section 123B.56.
66.21(b) A district's cost for health, safety, and environmental management is limited to
66.22the lesser of:
66.23(1) actual cost to implement their plan; or
66.24(2) an amount determined by the commissioner, based on enrollment, building
66.25age, and size.
66.26(b) (c) The department may contract with regional service organizations, private
66.27contractors, Minnesota Safety Council, or state agencies to provide management
66.28assistance to school districts for health and safety capital projects. Management assistance
66.29is the development of written programs for the identification, recognition and control of
66.30hazards, and prioritization and scheduling of district health and safety capital projects.
66.31The department commissioner shall not mandate management assistance or exclude
66.32private contractors from the opportunity to provide any health and safety services to
66.33school districts.
66.34(c) Notwithstanding paragraph (b), the department may approve revenue, up to
66.35the limit defined in paragraph (a) for districts having an approved health, safety, and
67.1environmental management plan that uses district staff to accomplish coordination and
67.2provided services.
67.3EFFECTIVE DATE.This section is effective July 1, 2011.

67.4    Sec. 3. Minnesota Statutes 2010, section 123B.63, subdivision 3, is amended to read:
67.5    Subd. 3. Capital project levy referendum. (a) A district may levy the local tax
67.6rate approved by a majority of the electors voting on the question to provide funds for
67.7an approved project. The election must take place no more than five years before the
67.8estimated date of commencement of the project. The referendum must be held on a date
67.9set by the board. A referendum for a project not receiving a positive review and comment
67.10by the commissioner under section 123B.71 must be approved by at least 60 percent of
67.11the voters at the election.
67.12(b) The referendum may be called by the school board and may be held:
67.13    (1) separately, before an election for the issuance of obligations for the project
67.14under chapter 475; or
67.15    (2) in conjunction with an election for the issuance of obligations for the project
67.16under chapter 475; or
67.17    (3) notwithstanding section 475.59, as a conjunctive question authorizing both the
67.18capital project levy and the issuance of obligations for the project under chapter 475. Any
67.19obligations authorized for a project may be issued within five years of the date of the
67.20election.
67.21    (c) The ballot must provide a general description of the proposed project, state the
67.22estimated total cost of the project, state whether the project has received a positive or
67.23negative review and comment from the commissioner, state the maximum amount of the
67.24capital project levy as a percentage of net tax capacity, state the amount that will be raised
67.25by that local tax rate in the first year it is to be levied, and state the maximum number of
67.26years that the levy authorization will apply.
67.27    The ballot must contain a textual portion with the information required in this
67.28section and a question stating substantially the following:
67.29    "Shall the capital project levy proposed by the board of .......... School District
67.30No. .......... be approved?"
67.31    If approved, the amount provided by the approved local tax rate applied to the net
67.32tax capacity for the year preceding the year the levy is certified may be certified for the
67.33number of years, not to exceed ten, approved.
67.34(d) If the district proposes a new capital project to begin at the time the existing
67.35capital project expires and at the same maximum tax rate, the general description on the
68.1ballot may state that the capital project levy is being renewed and that the tax rate is not
68.2being increased from the previous year's rate. An election to renew authority under this
68.3paragraph may be called at any time that is otherwise authorized by this subdivision. The
68.4ballot notice required under section 275.60 may be modified to read:
68.5"BY VOTING YES ON THIS BALLOT QUESTION, YOU ARE VOTING
68.6TO RENEW AN EXISTING CAPITAL PROJECTS REFERENDUM THAT IS
68.7SCHEDULED TO EXPIRE."
68.8    (e) In the event a conjunctive question proposes to authorize both the capital project
68.9levy and the issuance of obligations for the project, appropriate language authorizing the
68.10issuance of obligations must also be included in the question.
68.11    (f) The district must notify the commissioner of the results of the referendum.
68.12EFFECTIVE DATE.This section is effective the day following final enactment for
68.13referenda conducted on or after the 53rd day following final enactment.

68.14    Sec. 4. Minnesota Statutes 2010, section 126C.40, subdivision 1, is amended to read:
68.15    Subdivision 1. To lease building or land. (a) When an independent or a special
68.16school district or a group of independent or special school districts finds it economically
68.17advantageous to rent or lease a building or land for any instructional purposes or for
68.18school storage or furniture repair, and it determines that the operating capital revenue
68.19authorized under section 126C.10, subdivision 13, is insufficient for this purpose, it may
68.20apply to the commissioner for permission to make an additional capital expenditure levy
68.21for this purpose. An application for permission to levy under this subdivision must contain
68.22financial justification for the proposed levy, the terms and conditions of the proposed
68.23lease, and a description of the space to be leased and its proposed use.
68.24    (b) The criteria for approval of applications to levy under this subdivision must
68.25include: the reasonableness of the price, the appropriateness of the space to the proposed
68.26activity, the feasibility of transporting pupils to the leased building or land, conformity
68.27of the lease to the laws and rules of the state of Minnesota, and the appropriateness of
68.28the proposed lease to the space needs and the financial condition of the district. The
68.29commissioner must not authorize a levy under this subdivision in an amount greater than
68.30the cost to the district of renting or leasing a building or land for approved purposes.
68.31The proceeds of this levy must not be used for custodial or other maintenance services.
68.32A district may not levy under this subdivision for the purpose of leasing or renting a
68.33district-owned building or site to itself.
68.34    (c) For agreements finalized after July 1, 1997, a district may not levy under this
68.35subdivision for the purpose of leasing: (1) a newly constructed building used primarily
69.1for regular kindergarten, elementary, or secondary instruction; or (2) a newly constructed
69.2building addition or additions used primarily for regular kindergarten, elementary, or
69.3secondary instruction that contains more than 20 percent of the square footage of the
69.4previously existing building.
69.5    (d) Notwithstanding paragraph (b), a district may levy under this subdivision for the
69.6purpose of leasing or renting a district-owned building or site to itself only if the amount
69.7is needed by the district to make payments required by a lease purchase agreement,
69.8installment purchase agreement, or other deferred payments agreement authorized by law,
69.9and the levy meets the requirements of paragraph (c). A levy authorized for a district by
69.10the commissioner under this paragraph may be in the amount needed by the district to
69.11make payments required by a lease purchase agreement, installment purchase agreement,
69.12or other deferred payments agreement authorized by law, provided that any agreement
69.13include a provision giving the school districts the right to terminate the agreement
69.14annually without penalty.
69.15    (e) The total levy under this subdivision for a district for any year must not exceed
69.16$150 times the resident pupil units for the fiscal year to which the levy is attributable.
69.17    (f) For agreements for which a review and comment have been submitted to the
69.18Department of Education after April 1, 1998, the term "instructional purpose" as used in
69.19this subdivision excludes expenditures on stadiums.
69.20    (g) The commissioner of education may authorize a school district to exceed the
69.21limit in paragraph (e) if the school district petitions the commissioner for approval. The
69.22commissioner shall grant approval to a school district to exceed the limit in paragraph (e)
69.23for not more than five years if the district meets the following criteria:
69.24    (1) the school district has been experiencing pupil enrollment growth in the
69.25preceding five years;
69.26    (2) the purpose of the increased levy is in the long-term public interest;
69.27    (3) the purpose of the increased levy promotes colocation of government services;
69.28and
69.29    (4) the purpose of the increased levy is in the long-term interest of the district by
69.30avoiding over construction of school facilities.
69.31    (h) A school district that is a member of an intermediate school district may include
69.32in its authority under this section the costs associated with leases of administrative and
69.33classroom space for intermediate school district programs. This authority must not exceed
69.34$43 times the adjusted marginal cost pupil units of the member districts. This authority is
69.35in addition to any other authority authorized under this section.
70.1    (i) In addition to the allowable capital levies in paragraph (a), for taxes payable in
70.22012 to 2022, a district that is a member of the "Technology and Information Education
70.3Systems" data processing joint board, that finds it economically advantageous to enter
70.4into a lease purchase agreement for to finance improvements to a building for a group of
70.5school districts or special school districts for staff development purposes, may levy for
70.6its portion of lease costs attributed to the district within the total levy limit in paragraph
70.7(e). The total levy authority under this paragraph shall not exceed $632,000 each year.
70.8EFFECTIVE DATE.This section is effective for taxes payable in 2012 and later.

70.9    Sec. 5. Laws 1999, chapter 241, article 4, section 25, is amended by adding a
70.10subdivision to read:
70.11    Subd. 3. Independent School District No. 284, Wayzata. Independent School
70.12District No. 284, Wayzata, is eligible for the alternative facilities revenue program under
70.13Minnesota Statutes, section 123B.59, for the purposes of financing school facilities
70.14in the district.
70.15EFFECTIVE DATE.This section is effective for revenue for fiscal year 2013
70.16and later.

70.17    Sec. 6. HEALTH AND SAFETY POLICY.
70.18Notwithstanding Minnesota Statutes, section 123B.57, subdivision 2, a school board
70.19that has not yet adopted a health and safety policy by September 30, 2011, may submit an
70.20application for health and safety revenue for taxes payable in 2012 in the form and manner
70.21specified by the commissioner of education.
70.22EFFECTIVE DATE.This section is effective the day following final enactment.

70.23    Sec. 7. APPROPRIATIONS.
70.24    Subdivision 1. Department of Education. The sums indicated in this section are
70.25appropriated from the general fund to the Department of Education for the fiscal years
70.26designated.
70.27    Subd. 2. Health and safety revenue. For health and safety aid according to
70.28Minnesota Statutes, section 123B.57, subdivision 5:

70.29		$	123,000	.....	2012
70.30		$	113,000	.....	2013

70.31The 2012 appropriation includes $39,000 for 2011 and $84,000 for 2012.
71.1The 2013 appropriation includes $36,000 for 2012 and $77,000 for 2013.
71.2    Subd. 3. Debt service equalization. For debt service aid according to Minnesota
71.3Statutes, section 123B.53, subdivision 6:

71.4		$	12,425,000	.....	2012
71.5		$	19,947,000	.....	2013

71.6The 2012 appropriation includes $2,604,000 for 2011 and $9,821,000 for 2012.
71.7The 2013 appropriation includes $4,208,000 for 2012 and $15,739,000 for 2013.
71.8    Subd. 4. Alternative facilities bonding aid. For alternative facilities bonding aid,
71.9according to Minnesota Statutes, section 123B.59, subdivision 1:

71.10		$	19,287,000	.....	2012
71.11		$	19,287,000	.....	2013

71.12The 2012 appropriation includes $5,786,000 for 2011 and $13,501,000 for 2012.
71.13The 2013 appropriation includes $5,786,000 for 2012 and $13,501,000 for 2013.
71.14    Subd. 5. Equity in telecommunications access. For equity in telecommunications
71.15access:

71.16		$	3,750,000	.....	2012
71.17		$	3,750,000	.....	2013

71.18If the appropriation amount is insufficient, the commissioner shall reduce the
71.19reimbursement rate in Minnesota Statutes, section 125B.26, subdivisions 4 and 5, and the
71.20revenue for fiscal years 2012 and 2013 shall be prorated.
71.21Any balance in the first year does not cancel but is available in the second year.
71.22    Subd. 6. Deferred maintenance aid. For deferred maintenance aid, according to
71.23Minnesota Statutes, section 123B.591, subdivision 4:

71.24		$	2,494,000	.....	2012
71.25		$	3,035,000	.....	2013

71.26The 2012 appropriation includes $676,000 for 2011 and $1,818,000 for 2012.
71.27The 2013 appropriation includes $778,000 for 2012 and $2,257,000 for 2013.


71.30    Section 1. Minnesota Statutes 2010, section 123B.75, subdivision 5, is amended to read:
72.1    Subd. 5. Levy recognition. (a) For fiscal years 2009 and 2010, in June of each
72.2year, the school district must recognize as revenue, in the fund for which the levy was
72.3made, the lesser of:
72.4(1) the sum of May, June, and July school district tax settlement revenue received in
72.5that calendar year, plus general education aid according to section 126C.13, subdivision
72.64 , received in July and August of that calendar year; or
72.7(2) the sum of:
72.8(i) 31 percent of the referendum levy certified according to section 126C.17, in
72.9calendar year 2000; and
72.10(ii) the entire amount of the levy certified in the prior calendar year according to
72.11section 124D.86, subdivision 4, for school districts receiving revenue under sections
72.12124D.86, subdivision 3 , clauses (1), (2), and (3); 126C.41, subdivisions 1, 2, paragraph
72.13(a), and 3 , paragraphs (b), (c), and (d); 126C.43, subdivision 2; 126C.457; and 126C.48,
72.14subdivision 6 ; plus
72.15(iii) zero percent of the amount of the levy certified in the prior calendar year for the
72.16school district's general and community service funds, plus or minus auditor's adjustments,
72.17not including the levy portions that are assumed by the state, that remains after subtracting
72.18the referendum levy certified according to section 126C.17 and the amount recognized
72.19according to item (ii).
72.20(b) For fiscal year 2011 and later years, in June of each year, the school district must
72.21recognize as revenue, in the fund for which the levy was made, the lesser of:
72.22(1) the sum of May, June, and July school district tax settlement revenue received in
72.23that calendar year, plus general education aid according to section 126C.13, subdivision
72.244, received in July and August of that calendar year; or
72.25(2) the sum of:
72.26(i) the greater of 48.6 percent of the referendum levy certified according to section
72.27126C.17 in the prior calendar year, or 31 percent of the referendum levy certified
72.28according to section 126C.17 in calendar year 2000; plus
72.29(ii) the entire amount of the levy certified in the prior calendar year according to
72.30section 124D.86, subdivision 4, for school districts receiving revenue under sections
72.31124D.86, subdivision 3 , clauses (1), (2), and (3); 126C.41, subdivisions 1, 2, paragraph
72.32(a), and 3, paragraphs (b), (c), and (d); 126C.43, subdivision 2; 126C.457; and 126C.48,
72.33subdivision 6; plus
72.34(iii) 48.6 percent of the amount of the levy certified in the prior calendar year for the
72.35school district's general and community service funds, plus or minus auditor's adjustments,
72.36not including the levy portions that are assumed by the state, that remains after subtracting
73.1the referendum levy certified according to section 126C.17 and the amount recognized
73.2according to item (ii).
73.3EFFECTIVE DATE.This section is effective for fiscal year 2011.

73.4    Sec. 2. Minnesota Statutes 2010, section 127A.441, is amended to read:
73.5127A.441 AID REDUCTION; LEVY REVENUE RECOGNITION CHANGE.
73.6    (a) Each year, the state aids payable to any school district for that fiscal year that are
73.7recognized as revenue in the school district's general and community service funds shall
73.8be adjusted by an amount equal to (1) the amount the district recognized as revenue for the
73.9prior fiscal year pursuant to section 123B.75, subdivision 5, paragraph (a) or (b), minus (2)
73.10the amount the district recognized as revenue for the current fiscal year pursuant to section
73.11123B.75, subdivision 5 , paragraph (a) or (b). For purposes of making the aid adjustments
73.12under this section, the amount the district recognizes as revenue for either the prior fiscal
73.13year or the current fiscal year pursuant to section 123B.75, subdivision 5, paragraph (b),
73.14shall not include any amount levied pursuant to section 124D.86, subdivision 4, for school
73.15districts receiving revenue under sections 124D.86, subdivision 3, clauses (1), (2), and (3);
73.16126C.41, subdivisions 1, 2, and 3 , paragraphs (b), (c), and (d); 126C.43, subdivision 2;
73.17126C.457 ; and 126C.48, subdivision 6. Payment from the permanent school fund shall
73.18not be adjusted pursuant to this section.
73.19(b) The commissioner shall schedule the timing of the adjustments under paragraph
73.20(a) as close to the end of the fiscal year as possible.
73.21The school district shall be notified of the amount of the adjustment made to each
73.22payment pursuant to this section.
73.23EFFECTIVE DATE.This section is effective for fiscal year 2011.

73.24    Sec. 3. Minnesota Statutes 2010, section 127A.45, subdivision 2, is amended to read:
73.25    Subd. 2. Definitions. (a) "Other district receipts" means payments by county
73.26treasurers pursuant to section 276.10, apportionments from the school endowment fund
73.27pursuant to section 127A.33, apportionments by the county auditor pursuant to section
73.28127A.34, subdivision 2 , and payments to school districts by the commissioner of revenue
73.29pursuant to chapter 298.
73.30(b) "Cumulative amount guaranteed" means the product of
73.31(1) the cumulative disbursement percentage shown in subdivision 3; times
73.32(2) the sum of
74.1(i) the current year aid payment percentage of the estimated aid and credit
74.2entitlements paid according to subdivision 13; plus
74.3(ii) 100 percent of the entitlements paid according to subdivisions 11 and 12; plus
74.4(iii) the other district receipts.
74.5(c) "Payment date" means the date on which state payments to districts are made
74.6by the electronic funds transfer method. If a payment date falls on a Saturday, a Sunday,
74.7or a weekday which is a legal holiday, the payment shall be made on the immediately
74.8preceding business day. The commissioner may make payments on dates other than
74.9those listed in subdivision 3, but only for portions of payments from any preceding
74.10payment dates which could not be processed by the electronic funds transfer method due
74.11to documented extenuating circumstances.
74.12(d) The current year aid payment percentage equals 73 in fiscal year 2010, and 70
74.13in fiscal year 2011, and 90 in fiscal years 2012 and later.

74.14    Sec. 4. Minnesota Statutes 2010, section 127A.46, is amended to read:
74.15127A.46 CHANGE IN PAYMENT OF AIDS AND CREDITS.
74.16(a) If the commissioner of management and budget determines that modifications
74.17in the payment schedule would reduce the need for state short-term borrowing,
74.18the commissioner may modify payments to districts according to this section. The
74.19modifications must begin no sooner than September 1 of each fiscal year, and must remain
74.20in effect until no later than May 30 of that same fiscal year. In calculating the payment to a
74.21district pursuant to section 127A.45, subdivision 3, the commissioner may subtract the
74.22sum specified in that subdivision, plus an additional amount no greater than the following:
74.23(1) the net cash balance in each of the district's operating funds on June 30 of the
74.24preceding fiscal year; minus
74.25(2) the product of $700 times the number of resident pupil units in the preceding
74.26fiscal year; minus
74.27(3) the amount of payments made by the county treasurer during the preceding fiscal
74.28year, pursuant to section 276.11, which is considered revenue for the current school year.
74.29However, no additional amount shall be subtracted if the total of the net unappropriated
74.30fund balances in the district's four operating funds on June 30 of the preceding fiscal year,
74.31is less than the product of $700 times the number of resident pupil units in the preceding
74.32fiscal year. The net cash balance must include all cash and investments, less certificates of
74.33indebtedness outstanding, and orders not paid for want of funds.
74.34(b) A district may appeal the payment schedule established by this section according
74.35to the procedures established in section 127A.45, subdivision 4.
75.1(c) The commissioner of education shall calculate the interest on delayed school
75.2district payments based on the average daily invested treasurer's cash interest during the
75.3period in which the delayed payments are in effect. The amount of this interest shall be
75.4included in the payments to districts by May 30. The amounts necessary to make this
75.5interest payment are appropriated to the commissioner.

75.6    Sec. 5. Laws 2008, chapter 363, article 2, section 46, subdivision 1, as amended by
75.7Laws 2009, chapter 96, article 5, section 11, is amended to read:
75.8    Subdivision 1. Capital account transfers. Notwithstanding any law to the contrary,
75.9on June 30 of 2008, 2009, and 2010, 2011, and 2012, a school district may transfer
75.10money from its reserved for operating capital account to its undesignated balance in the
75.11general fund. The amount transferred by any school district must not exceed $51 times
75.12the district's adjusted marginal cost pupil units for the second preceding fiscal year. This
75.13transfer annually may occur only after the school board has adopted a written resolution
75.14stating the amount of the transfer and declaring that the school district's operating capital
75.15needs are being met.
75.16EFFECTIVE DATE.This section is effective the day following final enactment.

75.17    Sec. 6. FUND TRANSFERS.
75.18    Subdivision 1. Becker. Notwithstanding Minnesota Statutes, sections 123B.79;
75.19123B.80; and 475.61, subdivision 4, on June 30, 2011, Independent School District No.
75.20726, Becker, may permanently transfer up to $500,000 from its debt redemption fund to its
75.21reserved for operating capital account without making a levy reduction.
75.22    Subd. 2. Delano. Notwithstanding Minnesota Statutes, sections 123B.57; 123B.80;
75.23and 475.61, subdivision 4, on June 30, 2011, Independent School District No. 879,
75.24Delano, may permanently transfer up to $235,000 from its debt redemption fund to its
75.25reserved for operating capital account without making a levy reduction.
75.26    Subd. 3. Elk River. Notwithstanding Minnesota Statutes, sections 123B.79;
75.27123B.80; and 475.61, subdivision 4, on June 30, 2011, Independent School District No.
75.28728, Elk River, may permanently transfer up to $690,000 from its debt redemption fund to
75.29its reserved for operating capital account without making a levy reduction.
75.30    Subd. 4. Madelia. Notwithstanding Minnesota Statutes, sections 123B.57; 123B.80;
75.31and 475.61, subdivision 4, on June 30, 2011, Independent School District No. 837,
75.32Madelia, may permanently transfer up to $427,000 from its debt redemption fund to its
75.33reserved for operating capital account without making a levy reduction.
76.1    Subd. 5. Monticello. Notwithstanding Minnesota Statutes, sections 123B.57;
76.2123B.80; and 475.61, subdivision 4, on June 30, 2011, Independent School District No.
76.3882, Monticello, may permanently transfer up to $500,000 from its debt redemption fund
76.4to its reserved for operating capital account without making a levy reduction.
76.5    Subd. 6. St. Cloud. Notwithstanding Minnesota Statutes, sections 123B.57;
76.6123B.80; and 475.61, subdivision 4, on June 30, 2011, Independent School District No.
76.7742, St. Cloud, may permanently transfer up to $650,000 from its debt redemption fund to
76.8its reserved for operating capital account without making a levy reduction.

76.9    Sec. 7. LEVY AID RECOGNITION TIMING.
76.10Notwithstanding Minnesota Statutes, section 127A.441, paragraph (b), the
76.11commissioner of education shall schedule the portion of the aid adjustment for fiscal year
76.122011 attributable to the exclusion of levy portions assumed by the state from the levy
76.13recognition calculation under Minnesota Statutes, section 123B.75, subdivision 5, to occur
76.14with the final payment for fiscal year 2011 made on October 30, 2011.

76.15    Sec. 8. APPROPRIATIONS.
76.16    Subdivision 1. Department of Education. The sums indicated in this section are
76.17appropriated from the general fund to the Department of Education for the fiscal years
76.18designated.
76.19    Subd. 2. School lunch. For school lunch aid according to Minnesota Statutes,
76.20section 124D.111, and Code of Federal Regulations, title 7, section 210.17:

76.21		$	12,626,000	.....	2012
76.22		$	12,878,000	.....	2013

76.23    Subd. 3. School breakfast. For traditional school breakfast aid under Minnesota
76.24Statutes, section 124D.1158:

76.25		$	4,759,000	.....	2012
76.26		$	4,875,000	.....	2013

76.27    Subd. 4. Kindergarten milk. For kindergarten milk aid under Minnesota Statutes,
76.28section 124D.118:

76.29		$	1,084,000	.....	2012
76.30		$	1,105,000	.....	2013

76.31    Subd. 5. Summer school service replacement aid. For summer school service
76.32replacement aid under Minnesota Statutes, section 124D.119:

77.1		$	150,000	.....	2012
77.2		$	150,000	.....	2013

77.5    Section 1. Minnesota Statutes 2010, section 134.195, subdivision 8, is amended to read:
77.6    Subd. 8. Funding. The ordinance or resolution establishing the library shall
77.7provide for joint financing of the library by the school district and the city. The city shall
77.8provide at least the minimum dollar amount established in section 134.34, subdivision
77.91 . The school district shall provide money for staff and materials for the library at least
77.10in proportion to the use related to curriculum, as determined by the circulation statistics
77.11of the library. Neither the city nor the school district shall reduce the financial support
77.12provided for operation of library or media services below the level of support provided in
77.13the preceding year.
77.14EFFECTIVE DATE.This section is effective for revenue retroactive to fiscal
77.15year 2011 and later.

77.16    Sec. 2. APPROPRIATIONS.
77.17    Subdivision 1. Department of Education. The sums indicated in this section are
77.18appropriated from the general fund to the Department of Education for the fiscal years
77.19designated.
77.20    Subd. 2. Basic system support. For basic system support grants under Minnesota
77.21Statutes, section 134.355:

77.22		$	13,570,000	.....	2012
77.23		$	13,570,000	.....	2013

77.24The 2012 appropriation includes $4,071,000 for 2011 and $9,499,000 for 2012.
77.25The 2013 appropriation includes $4,071,000 for 2012 and $9,499,000 for 2013.
77.26    Subd. 3. Multicounty, multitype library systems. For grants under Minnesota
77.27Statutes, sections 134.353 and 134.354, to multicounty, multitype library systems:

77.28		$	1,300,000	.....	2012
77.29		$	1,300,000	.....	2013

77.30The 2012 appropriation includes $390,000 for 2011 and $910,000 for 2012.
77.31The 2013 appropriation includes $390,000 for 2012 and $910,000 for 2013.
78.1    Subd. 4. Electronic library for Minnesota. For statewide licenses to online
78.2databases selected in cooperation with the Minnesota Office of Higher Education for
78.3school media centers, public libraries, state government agency libraries, and public
78.4or private college or university libraries:

78.5		$	900,000	.....	2012
78.6		$	900,000	.....	2013

78.7Any balance in the first year does not cancel but is available in the second year.
78.8    Subd. 5. Regional library telecommunications aid. For regional library
78.9telecommunications aid under Minnesota Statutes, section 134.355:

78.10		$	2,300,000	.....	2012
78.11		$	2,300,000	.....	2013

78.12The 2012 appropriation includes $690,000 for 2011 and $1,610,000 for 2012.
78.13The 2013 appropriation includes $690,000 for 2012 and $1,610,000 for 2013.


78.16    Section 1. [124D.143] OUTCOME INVESTMENTS.
78.17An increase in state appropriations for the purpose of improving school readiness
78.18outcomes must be made in research-based programs of known quality consistent with
78.19the framework under section 124D.142.

78.20    Sec. 2. APPROPRIATIONS.
78.21    Subdivision 1. Department of Education. The sums indicated in this section are
78.22appropriated from the general fund to the Department of Education for the fiscal years
78.23designated.
78.24    Subd. 2. School readiness. For revenue for school readiness programs under
78.25Minnesota Statutes, sections 124D.15 and 124D.16:

78.26		$	10,095,000	.....	2012
78.27		$	10,095,000	.....	2013

78.28The 2012 appropriation includes $3,028,000 for 2011 and $7,067,000 for 2012.
78.29The 2013 appropriation includes $3,028,000 for 2012 and $7,067,000 for 2013.
78.30    Subd. 3. Early childhood family education aid. For early childhood family
78.31education aid under Minnesota Statutes, section 124D.135:

79.1		$	22,466,000	.....	2012
79.2		$	23,015,000	.....	2013

79.3The 2012 appropriation includes $6,542,000 for 2011 and $15,924,000 for 2012.
79.4The 2013 appropriation includes $6,824,000 for 2012 and $16,191,000 for 2013.
79.5    Subd. 4. Health and developmental screening aid. For health and developmental
79.6screening aid under Minnesota Statutes, sections 121A.17 and 121A.19:

79.7		$	3,568,000	.....	2012
79.8		$	3,547,000	.....	2013

79.9The 2012 appropriation includes $1,066,000 for 2011 and $2,502,000 for 2012.
79.10The 2013 appropriation includes $1,072,000 for 2012 and $2,475,000 for 2013.
79.11    Subd. 5. Head Start program. For Head Start programs under Minnesota Statutes,
79.12section 119A.52:

79.13		$	20,100,000	.....	2012
79.14		$	20,100,000	.....	2013

79.15    Subd. 6. Educate parents partnership. For the educate parents partnership under
79.16Minnesota Statutes, section 124D.129:

79.17		$	49,000	.....	2012
79.18		$	49,000	.....	2013

79.19    Subd. 7. Kindergarten entrance assessment initiative and intervention
79.20program. For the kindergarten entrance assessment initiative and intervention program
79.21under Minnesota Statutes, section 124D.162:

79.22		$	281,000	.....	2012
79.23		$	281,000	.....	2013

79.26    Section 1. APPROPRIATIONS.
79.27    Subdivision 1. Department of Education. The sums indicated in this section are
79.28appropriated from the general fund to the Department of Education for the fiscal years
79.29designated.
79.30    Subd. 2. Community education aid. For community education aid under
79.31Minnesota Statutes, section 124D.20:

80.1		$	478,000	.....	2012
80.2		$	694,000	.....	2013

80.3The 2012 appropriation includes $134,000 for 2011 and $344,000 for 2012.
80.4The 2013 appropriation includes $147,000 for 2012 and $547,000 for 2013.
80.5    Subd. 3. Adults with disabilities program aid. For adults with disabilities
80.6programs under Minnesota Statutes, section 124D.56:

80.7		$	710,000	.....	2012
80.8		$	710,000	.....	2013

80.9The 2012 appropriation includes $213,000 for 2011 and $497,000 for 2012.
80.10The 2013 appropriation includes $213,000 for 2012 and $497,000 for 2013.
80.11    Subd. 4. Hearing-impaired adults. For programs for hearing-impaired adults
80.12under Minnesota Statutes, section 124D.57:

80.13		$	70,000	.....	2012
80.14		$	70,000	.....	2013

80.15    Subd. 5. School-age care revenue. For extended day aid under Minnesota Statutes,
80.16section 124D.22:

80.17		$	1,000	.....	2012
80.18		$	1,000	.....	2013

80.19The 2012 appropriation includes $0 for 2011 and $1,000 for 2012.
80.20The 2013 appropriation includes $0 for 2012 and $1,000 for 2013.


80.23    Section 1. Minnesota Statutes 2010, section 124D.531, subdivision 1, is amended to
80.24read:
80.25    Subdivision 1. State total adult basic education aid. (a) The state total adult basic
80.26education aid for fiscal year 2005 is $36,509,000. The state total adult basic education
80.27aid for fiscal year 2006 equals $36,587,000 plus any amount that is not paid for during
80.28the previous fiscal year, as a result of adjustments under subdivision 4, paragraph (a), or
80.29section 124D.52, subdivision 3. The state total adult basic education aid for fiscal year
80.302007 equals $37,673,000 plus any amount that is not paid for during the previous fiscal
80.31year, as a result of adjustments under subdivision 4, paragraph (a), or section 124D.52,
80.32subdivision 3 . The state total adult basic education aid for fiscal year 2008 2011 equals
81.1$40,650,000 $44,419,000, plus any amount that is not paid during the previous fiscal
81.2year as a result of adjustments under subdivision 4, paragraph (a), or section 124D.52,
81.3subdivision 3 . The state total adult basic education aid for later fiscal years equals:
81.4    (1) the state total adult basic education aid for the preceding fiscal year plus any
81.5amount that is not paid for during the previous fiscal year, as a result of adjustments under
81.6subdivision 4, paragraph (a), or section 124D.52, subdivision 3; times
81.7    (2) the lesser of:
81.8    (i) 1.03 1.02; or
81.9    (ii) the average growth in state total contact hours over the prior ten program years.
81.10    Beginning in fiscal year 2002, two percent of the state total adult basic education
81.11aid must be set aside for adult basic education supplemental service grants under section
81.12124D.522 .
81.13    (b) The state total adult basic education aid, excluding basic population aid, equals
81.14the difference between the amount computed in paragraph (a), and the state total basic
81.15population aid under subdivision 2.
81.16EFFECTIVE DATE.This section is effective for revenue for fiscal year 2012
81.17and later.

81.18    Sec. 2. Minnesota Statutes 2010, section 124D.531, subdivision 4, is amended to read:
81.19    Subd. 4. Adult basic education program aid limit. (a) Notwithstanding
81.20subdivisions 2 and 3, the total adult basic education aid for a program per prior year
81.21contact hour must not exceed $22 per prior year contact hour computed under subdivision
81.223, clause (2).
81.23    (b) For fiscal year 2006 and fiscal year 2007, the aid for a program under subdivision
81.243, clause (2), adjusted for changes in program membership, must not exceed the aid for
81.25that program under subdivision 3, clause (2), for the first preceding fiscal year by more
81.26than the greater of eight percent or $10,000.
81.27    (c) For fiscal year 2008, the aid for a program under subdivision 3, clause (2),
81.28adjusted for changes in program membership, shall not be limited.
81.29    (d) For fiscal year 2009 and later, The aid for a program under subdivision 3,
81.30clause (2), adjusted for changes in program membership, must not exceed the aid for
81.31that program under subdivision 3, clause (2), for the first preceding fiscal year by more
81.32than the greater of 11 percent or $10,000.
81.33    (e) (c) Adult basic education aid is payable to a program for unreimbursed costs
81.34occurring in the program year as defined in section 124D.52, subdivision 3.
82.1    (f) (d) Any adult basic education aid that is not paid to a program because of the
82.2program aid limitation under paragraph (a) must be added to the state total adult basic
82.3education aid for the next fiscal year under subdivision 1. Any adult basic education aid
82.4that is not paid to a program because of the program aid limitations under paragraph
82.5(b), (c), or (d), must be reallocated among programs by adjusting the rate per contact hour
82.6under subdivision 3, clause (2).

82.7    Sec. 3. APPROPRIATIONS.
82.8    Subdivision 1. Department of Education. The sums indicated in this section are
82.9appropriated from the general fund to the Department of Education for the fiscal years
82.10designated.
82.11    Subd. 2. Adult basic education aid. For adult basic education aid under Minnesota
82.12Statutes, section 124D.531:

82.13		$	45,075,000	.....	2012
82.14		$	45,932,000	.....	2013

82.15The 2012 appropriation includes $13,365,000 for 2011 and $31,710,000 for 2012.
82.16The 2013 appropriation includes $13,589,000 for 2012 and $32,343,000 for 2013.
82.17    Subd. 3. GED tests. For payment of 60 percent of the costs of GED tests under
82.18Minnesota Statutes, section 124D.55:

82.19		$	125,000	.....	2012
82.20		$	125,000	.....	2013

82.23    Section 1. Minnesota Statutes 2010, section 125A.69, subdivision 1, is amended to
82.24read:
82.25    Subdivision 1. Two kinds Admissions. There are two kinds of Admission to the
82.26Minnesota State Academies is described in this section.
82.27(a) A pupil who is deaf, hard of hearing, or blind-deaf deafblind, may be admitted to
82.28the Academy for the Deaf. A pupil who is blind or visually impaired, blind-deaf deafblind,
82.29or multiply disabled may be admitted to the Academy for the Blind. For a pupil to be
82.30admitted, two decisions must be made under sections 125A.03 to 125A.24 and 125A.65.
82.31(1) It must be decided by the individual education planning team that education in
82.32regular or special education classes in the pupil's district of residence cannot be achieved
83.1satisfactorily because of the nature and severity of the deafness or blindness or visual
83.2impairment respectively.
83.3(2) It must be decided by the individual education planning team that the academy
83.4provides the most appropriate placement within the least restrictive alternative for the
83.5pupil.
83.6(b) A deaf or hard-of-hearing child or a visually impaired pupil may be admitted to
83.7get socialization skills or on a short-term basis for skills development.
83.8(c) A parent of a child who resides in Minnesota and who meets the disability criteria
83.9for being deaf or hard of hearing, blind or visually impaired, or multiply disabled may
83.10apply to place the child in the Minnesota State Academies. Academy staff must review
83.11the application to determine whether the Minnesota State Academies is an appropriate
83.12placement for the child. If academy staff determine that the Minnesota State Academies is
83.13an appropriate placement, the staff must invite the individualized education program team
83.14at the child's resident school district to participate in a meeting to arrange a trial placement
83.15of between 60 and 90 calendar days at the Minnesota State Academies. If the child's
83.16parent consents to the trial placement, the Minnesota State Academies is the responsible
83.17serving school district and incurs all due process obligations under law, and the child's
83.18resident school district is responsible for any transportation included in the child's
83.19individualized education program during the trial placement. Before the trial placement
83.20ends, academy staff must convene an individualized education program team meeting to
83.21determine whether to continue the child's placement at the Minnesota State Academies
83.22or that another placement is appropriate. If the academy members of the individualized
83.23education program team and the parent are unable to agree on the child's placement, the
83.24child's placement reverts to the placement in the child's individualized education program
83.25that immediately preceded the trial placement. If the parent and individualized education
83.26program team agree to continue the placement beyond the trial period, the transportation
83.27and due process responsibilities are the same as those described for the trial placement
83.28under this paragraph.

83.29    Sec. 2. APPROPRIATIONS; DEPARTMENT OF EDUCATION.
83.30    Subdivision 1. Department of Education. Unless otherwise indicated, the sums
83.31indicated in this section are appropriated from the general fund to the Department of
83.32Education for the fiscal years designated.
83.33    Subd. 2. Department. (a) For the Department of Education:

84.1		$	16,996,000	.....	2012
84.2		$	16,940,000	.....	2013

84.3Any balance in the first year does not cancel but is available in the second year.
84.4(b) $260,000 each year is for the Minnesota Children's Museum.
84.5(c) $41,000 each year is for the Minnesota Academy of Science.
84.6(d) $50,000 each year is for the Duluth Children's Museum.
84.7(e) $618,000 each year is for the Board of Teaching. Any balance in the first year
84.8does not cancel but is available in the second year.
84.9(f) $167,000 each year is for the Board of School Administrators. Any balance in
84.10the first year does not cancel but is available in the second year.
84.11(g) $10,000 in fiscal year 2012 is for nonpublic pupil aid rulemaking.
84.12(h) $44,000 in fiscal year 2012 is for rulemaking for the alternative teacher
84.13preparation program under Minnesota Statutes, section 122A.245.
84.14(i) $104,000 in fiscal year 2012 and $102,000 in fiscal year 2013 are for a
84.15professional education specialist to administer the early graduation achievement program.
84.16(j) The expenditures of federal grants and aids as shown in the biennial budget
84.17document and its supplements are approved and appropriated and shall be spent as
84.18indicated.
84.19(k) The Division of Program Finance in the Department of Education must be
84.20funded, at a minimum, at the fiscal year 2011 level.
84.21(l) None of the amounts appropriated under this subdivision may be used for
84.22Minnesota's Washington, D.C. office.

84.23    Sec. 3. APPROPRIATIONS; MINNESOTA STATE ACADEMIES.
84.24The sums indicated in this section are appropriated from the general fund to the
84.25Minnesota State Academies for the Deaf and Blind for the fiscal years designated:

84.26		$	11,603,000	.....	2012
84.27		$	11,603,000	.....	2013

84.28Any balance in the first year does not cancel but is available in the second year.

84.29    Sec. 4. APPROPRIATIONS; PERPICH CENTER FOR ARTS EDUCATION.
84.30The sums in this section are appropriated from the general fund to the Perpich
84.31Center for Arts Education for the fiscal years designated:

84.32		$	6,587,000	.....	2012
84.33		$	6,587,000	.....	2013

84.34Any balance in the first year does not cancel, but is available in the second year.


85.4    Section 1. Laws 2009, chapter 96, article 1, section 24, subdivision 2, as amended by
85.5Laws 2010, First Special Session chapter 1, article 3, section 10, is amended to read:
85.6    Subd. 2. General education aid. For general education aid under Minnesota
85.7Statutes, section 126C.13, subdivision 4:

85.8		$	4,291,422,000	.....	2010
85.9 85.10		$	4,776,884,000 4,832,264,000	.....	2011

85.11The 2010 appropriation includes $553,591,000 for 2009 and $3,737,831,000 for
85.122010.
85.13The 2011 appropriation includes $1,363,306,000 for 2010 and $3,413,578,000
85.14$3,468,958,000 for 2011.

85.15    Sec. 2. Laws 2009, chapter 96, article 1, section 24, subdivision 3, is amended to read:
85.16    Subd. 3. Enrollment options transportation. For transportation of pupils attending
85.17postsecondary institutions under Minnesota Statutes, section 124D.09, or for transportation
85.18of pupils attending nonresident districts under Minnesota Statutes, section 124D.03:

85.19		$	48,000	.....	2010
85.20 85.21		$	52,000 29,000	.....	2011

85.22    Sec. 3. Laws 2009, chapter 96, article 1, section 24, subdivision 4, as amended by
85.23Laws 2010, First Special Session chapter 1, article 4, section 2, is amended to read:
85.24    Subd. 4. Abatement revenue. For abatement aid under Minnesota Statutes, section
85.25127A.49 :

85.26		$	1,000,000	.....	2010
85.27 85.28		$	1,132,000 1,127,000	.....	2011

85.29The 2010 appropriation includes $140,000 for 2009 and $860,000 for 2010.
85.30The 2011 appropriation includes $317,000 for 2010 and $815,000 $810,000 for 2011.

85.31    Sec. 4. Laws 2009, chapter 96, article 1, section 24, subdivision 5, as amended by
85.32Laws 2010, First Special Session chapter 1, article 4, section 3, is amended to read:
86.1    Subd. 5. Consolidation transition. For districts consolidating under Minnesota
86.2Statutes, section 123A.485:

86.3		$	684,000	.....	2010
86.4 86.5		$	576,000 593,000	.....	2011

86.6The 2010 appropriation includes $0 for 2009 and $684,000 for 2010.
86.7The 2011 appropriation includes $252,000 for 2010 and $324,000 $341,000 for 2011.

86.8    Sec. 5. Laws 2009, chapter 96, article 1, section 24, subdivision 6, as amended by
86.9Laws 2010, First Special Session chapter 1, article 4, section 4, is amended to read:
86.10    Subd. 6. Nonpublic pupil education aid. For nonpublic pupil education aid under
86.11Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:

86.12		$	12,861,000	.....	2010
86.13 86.14		$	16,157,000 16,213,000	.....	2011

86.15The 2010 appropriation includes $1,067,000 for 2009 and $11,794,000 for 2010.
86.16The 2011 appropriation includes $4,362,000 for 2010 and $11,795,000 $11,851,000
86.17for 2011.

86.18    Sec. 6. Laws 2009, chapter 96, article 1, section 24, subdivision 7, as amended by
86.19Laws 2010, First Special Session chapter 1, article 4, section 5, is amended to read:
86.20    Subd. 7. Nonpublic pupil transportation. For nonpublic pupil transportation aid
86.21under Minnesota Statutes, section 123B.92, subdivision 9:

86.22		$	17,297,000	.....	2010
86.23 86.24		$	19,729,000 19,387,000	.....	2011

86.25The 2010 appropriation includes $2,077,000 for 2009 and $15,220,000 for 2010.
86.26The 2011 appropriation includes $5,629,000 for 2010 and $14,100,000 $13,758,000
86.27for 2011.

86.29    Sec. 7. Laws 2009, chapter 96, article 2, section 67, subdivision 2, as amended by
86.30Laws 2010, First Special Session chapter 1, article 4, section 6, is amended to read:
86.31    Subd. 2. Charter school building lease aid. For building lease aid under Minnesota
86.32Statutes, section 124D.11, subdivision 4:

87.1		$	34,833,000	.....	2010
87.2 87.3		$	44,938,000 42,633,000	.....	2011

87.4The 2010 appropriation includes $3,704,000 for 2009 and $31,129,000 for 2010.
87.5The 2011 appropriation includes $11,513,000 for 2010 and $33,425,000 $31,120,000
87.6for 2011.

87.7    Sec. 8. Laws 2009, chapter 96, article 2, section 67, subdivision 3, as amended by
87.8Laws 2010, First Special Session chapter 1, article 4, section 7, is amended to read:
87.9    Subd. 3. Charter school startup aid. For charter school startup cost aid under
87.10Minnesota Statutes, section 124D.11:

87.11		$	1,218,000	.....	2010
87.12 87.13		$	743,000 654,000	.....	2011

87.14The 2010 appropriation includes $202,000 for 2009 and $1,016,000 for 2010.
87.15The 2011 appropriation includes $375,000 for 2010 and $368,000 $279,000 for 2011.

87.16    Sec. 9. Laws 2009, chapter 96, article 2, section 67, subdivision 4, as amended by
87.17Laws 2010, First Special Session chapter 1, article 4, section 8, is amended to read:
87.18    Subd. 4. Integration aid. For integration aid under Minnesota Statutes, section
87.19124D.86, subdivision 5 :

87.20		$	50,812,000	.....	2010
87.21 87.22		$	61,782,000 61,604,000	.....	2011

87.23The 2010 appropriation includes $5,832,000 for 2009 and $44,980,000 for 2010.
87.24The 2011 appropriation includes $16,636,000 for 2010 and $45,146,000 $44,968,000
87.25for 2011.

87.26    Sec. 10. Laws 2009, chapter 96, article 2, section 67, subdivision 6, is amended to read:
87.27    Subd. 6. Interdistrict desegregation or integration transportation grants. For
87.28interdistrict desegregation or integration transportation grants under Minnesota Statutes,
87.29section 124D.87:

87.30		$	14,468,000	.....	2010
87.31 87.32		$	17,582,000 13,393,000	.....	2011

88.1    Sec. 11. Laws 2009, chapter 96, article 2, section 67, subdivision 9, as amended by
88.2Laws 2010, First Special Session chapter 1, article 4, section 10, is amended to read:
88.3    Subd. 9. Tribal contract schools. For tribal contract school aid under Minnesota
88.4Statutes, section 124D.83:

88.5		$	1,702,000	.....	2010
88.6 88.7		$	2,119,000 1,958,000	.....	2011

88.8The 2010 appropriation includes $191,000 for 2009 and $1,511,000 for 2010.
88.9The 2011 appropriation includes $558,000 for 2010 and $1,561,000 $1,400,000
88.10for 2011.

88.12    Sec. 12. Laws 2009, chapter 96, article 3, section 21, subdivision 3, is amended to read:
88.13    Subd. 3. Aid for children with disabilities. For aid under Minnesota Statutes,
88.14section 125A.75, subdivision 3, for children with disabilities placed in residential facilities
88.15within the district boundaries for whom no district of residence can be determined:

88.16		$	1,717,000	.....	2010
88.17 88.18		$	1,895,000 1,554,000	.....	2011

88.19If the appropriation for either year is insufficient, the appropriation for the other
88.20year is available.

88.21    Sec. 13. Laws 2009, chapter 96, article 3, section 21, subdivision 4, as amended by
88.22Laws 2010, First Special Session chapter 1, article 4, section 12, is amended to read:
88.23    Subd. 4. Travel for home-based services. For aid for teacher travel for home-based
88.24services under Minnesota Statutes, section 125A.75, subdivision 1:

88.25		$	224,000	.....	2010
88.26 88.27		$	282,000 324,000	.....	2011

88.28The 2010 appropriation includes $24,000 for 2009 and $200,000 for 2010.
88.29The 2011 appropriation includes $73,000 for 2010 and $209,000 $251,000 for 2011.

88.31    Sec. 14. Laws 2009, chapter 96, article 4, section 12, subdivision 6, as amended by
88.32Laws 2010, First Special Session chapter 1, article 4, section 17, is amended to read:
89.1    Subd. 6. Deferred maintenance aid. For deferred maintenance aid, according to
89.2Minnesota Statutes, section 123B.591, subdivision 4:

89.3		$	1,918,000	.....	2010
89.4 89.5		$	2,146,000 2,191,000	.....	2011

89.6The 2010 appropriation includes $260,000 for 2009 and $1,658,000 for 2010.
89.7The 2011 appropriation includes $613,000 for 2010 and $1,533,000 $1,578,000
89.8for 2011.

89.10    Sec. 15. Laws 2009, chapter 96, article 5, section 13, subdivision 2, is amended to read:
89.11    Subd. 2. School lunch. For school lunch aid according to Minnesota Statutes,
89.12section 124D.111, and Code of Federal Regulations, title 7, section 210.17:

89.13		$	12,688,000	.....	2010
89.14 89.15		$	13,069,000 12,378,000	.....	2011

89.16    Sec. 16. Laws 2009, chapter 96, article 5, section 13, subdivision 3, is amended to read:
89.17    Subd. 3. School breakfast. For traditional school breakfast aid under Minnesota
89.18Statutes, section 124D.1158:

89.19		$	4,978,000	.....	2010
89.20 89.21		$	5,147,000 4,646,000	.....	2011

89.22    Sec. 17. Laws 2009, chapter 96, article 5, section 13, subdivision 4, as amended by
89.23Laws 2010, First Special Session chapter 1, article 4, section 18, is amended to read:
89.24    Subd. 4. Kindergarten milk. For kindergarten milk aid under Minnesota Statutes,
89.25section 124D.118:

89.26		$	1,104,000	.....	2010
89.27 89.28		$	1,126,000 1,063,000	.....	2011

89.31    Sec. 18. Laws 2009, chapter 96, article 6, section 11, subdivision 3, as amended by
89.32Laws 2010, First Special Session chapter 1, article 4, section 23, is amended to read:
90.1    Subd. 3. Early childhood family education aid. For early childhood family
90.2education aid under Minnesota Statutes, section 124D.135:

90.3		$	19,005,000	.....	2010
90.4 90.5		$	21,460,000 21,177,000	.....	2011

90.6The 2010 appropriation includes $3,020,000 for 2009 and $15,985,000 for 2010.
90.7The 2011 appropriation includes $5,911,000 for 2010 and $15,549,000 $15,266,000
90.8for 2011.

90.9    Sec. 19. Laws 2009, chapter 96, article 6, section 11, subdivision 4, as amended by
90.10Laws 2010, First Special Session chapter 1, article 4, section 24, is amended to read:
90.11    Subd. 4. Health and developmental screening aid. For health and developmental
90.12screening aid under Minnesota Statutes, sections 121A.17 and 121A.19:

90.13		$	2,922,000	.....	2010
90.14 90.15		$	3,425,000 3,434,000	.....	2011

90.16The 2010 appropriation includes $367,000 for 2009 and $2,555,000 for 2010.
90.17The 2011 appropriation includes $945,000 for 2010 and $2,480,000 $2,489,000
90.18for 2011.

90.19    Sec. 20. Laws 2009, chapter 96, article 6, section 11, subdivision 8, as amended by
90.20Laws 2010, First Special Session chapter 1, article 4, section 25, is amended to read:
90.21    Subd. 8. Community education aid. For community education aid under
90.22Minnesota Statutes, section 124D.20:

90.23		$	476,000	.....	2010
90.24 90.25		$	473,000 463,000	.....	2011

90.26The 2010 appropriation includes $73,000 for 2009 and $403,000 for 2010.
90.27The 2011 appropriation included $148,000 for 2010 and $325,000 $315,000 for
90.282011.

90.29    Sec. 21. Laws 2009, chapter 96, article 6, section 11, subdivision 12, as amended by
90.30Laws 2010, First Special Session chapter 1, article 4, section 27, is amended to read:
90.31    Subd. 12. Adult basic education aid. For adult basic education aid under
90.32Minnesota Statutes, section 124D.531:

91.1		$	35,671,000	.....	2010
91.2 91.3		$	42,732,000 42,829,000	.....	2011

91.4The 2010 appropriation includes $4,187,000 for 2009 and $31,484,000 for 2010.
91.5The 2011 appropriation includes $11,644,000 for 2010 and $31,088,000 $31,185,000
91.6for 2011.