Bill Text: MN SF422 | 2011-2012 | 87th Legislature | Introduced


Bill Title: Education basic revenue funding priority; independent school districts #709, Duluth and #625, St. Paul, and special school district #1, Minneapolis; integration revenue modification and education finance formulas modifications

Spectrum: Partisan Bill (Republican 5-0)

Status: (Introduced - Dead) 2011-02-24 - Referred to Education [SF422 Detail]

Download: Minnesota-2011-SF422-Introduced.html

1.1A bill for an act
1.2relating to education finance; prioritizing basic revenue funding; modifying
1.3education finance formulas;amending Minnesota Statutes 2010, sections
1.4124D.86, subdivision 3; 126C.10, subdivisions 3, 7, 8, 18; proposing coding for
1.5new law in Minnesota Statutes, chapter 126C.
1.6BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7    Section 1. Minnesota Statutes 2010, section 124D.86, subdivision 3, is amended to
1.8read:
1.9    Subd. 3. Integration revenue. Integration revenue equals the following amounts:
1.10(1) for Independent School District No. 709, Duluth, $206 times the adjusted pupil
1.11units for the school year;
1.12(2) for Independent School District No. 625, St. Paul, $445 times the adjusted
1.13pupil units for the school year;
1.14(3) for Special School District No. 1, Minneapolis, the sum of $445 times the
1.15adjusted pupil units for the school year and an additional $35 times the adjusted pupil units
1.16for the school year that is provided entirely through a local levy;
1.17(4) (1) for Independent School District No. 709, Duluth, Independent School
1.18District No. 625, St. Paul, Special School District No. 1, Minneapolis, or a district not
1.19listed in clause (1), (2), or (3), that must implement a plan under Minnesota Rules, parts
1.203535.0100 to 3535.0180, where the district's enrollment of protected students, as defined
1.21under Minnesota Rules, part 3535.0110, exceeds 15 percent, the lesser of:
1.22(i) the actual cost of implementing the plan during the fiscal year minus the aid
1.23received under subdivision 6,; or
1.24(ii) $129 times the adjusted pupil units for the school year;
2.1(5) (2) for a district not listed in clause (1), (2), (3), or (4), that is required to
2.2implement a plan according to the requirements of Minnesota Rules, parts 3535.0100 to
2.33535.0180, the lesser of:
2.4(i) the actual cost of implementing the plan during the fiscal year minus the aid
2.5received under subdivision 6,; or
2.6(ii) $92 times the adjusted pupil units for the school year.; and
2.7Any money received by districts in clauses (1) to (3) which exceeds the amount
2.8received in fiscal year 2000 shall be subject to the budget requirements in subdivision
2.91a; and
2.10(6) (3) for a member district of a multidistrict integration collaborative that files a
2.11plan with the commissioner, but is not contiguous to a racially isolated district, integration
2.12revenue equals the amount defined in clause (5) (2).
2.13EFFECTIVE DATE.This section is effective for fiscal year 2013 and later.

2.14    Sec. 2. [126C.09] EDUCATION FUNDING POLICY.
2.15    Subdivision 1. Policy. It is the policy of the legislature to prioritize the basic revenue
2.16component of general education revenue and to minimize differences in total per student
2.17general education revenue funding statewide.
2.18    Subd. 2. Additional state aid. In any fiscal year that the formulas determining state
2.19appropriations for elementary and secondary education are being increased compared to
2.20the previous fiscal year, no less than 90 percent of the increase shall be used to raise the
2.21basic revenue formula allowance.
2.22EFFECTIVE DATE.This section is effective for fiscal year 2013 and later.

2.23    Sec. 3. Minnesota Statutes 2010, section 126C.10, subdivision 3, is amended to read:
2.24    Subd. 3. Compensatory education revenue. (a) The compensatory education
2.25revenue for each building in the district equals the formula allowance $5,124 minus $415
2.26times the compensation revenue pupil units computed according to section 126C.05,
2.27subdivision 3
. Revenue shall be paid to the district and must be allocated according to
2.28section 126C.15, subdivision 2.
2.29(b) When the district contracting with an alternative program under section 124D.69
2.30changes prior to the start of a school year, the compensatory revenue generated by pupils
2.31attending the program shall be paid to the district contracting with the alternative program
2.32for the current school year, and shall not be paid to the district contracting with the
2.33alternative program for the prior school year.
3.1(c) When the fiscal agent district for an area learning center changes prior to the start
3.2of a school year, the compensatory revenue shall be paid to the fiscal agent district for the
3.3current school year, and shall not be paid to the fiscal agent district for the prior school year.
3.4EFFECTIVE DATE.This section is effective for fiscal year 2013 and later.

3.5    Sec. 4. Minnesota Statutes 2010, section 126C.10, subdivision 7, is amended to read:
3.6    Subd. 7. Secondary sparsity revenue. (a) A district's secondary sparsity revenue
3.7for a school year equals the sum of the results of the following calculation for each
3.8qualifying high school in the district:
3.9(1) the formula allowance for the school year, $5,124 multiplied by
3.10(2) the secondary average daily membership of pupils served in the high school,
3.11multiplied by
3.12(3) the quotient obtained by dividing 400 minus the secondary average daily
3.13membership by 400 plus the secondary daily membership, multiplied by
3.14(4) the lesser of 1.5 or the quotient obtained by dividing the isolation index minus
3.1523 by ten.
3.16(b) A newly formed district that is the result of districts combining under the
3.17cooperation and combination program or consolidating under section 123A.48 must
3.18receive secondary sparsity revenue equal to the greater of: (1) the amount calculated
3.19under paragraph (a) for the combined district; or (2) the sum of the amounts of secondary
3.20sparsity revenue the former districts had in the year prior to consolidation, increased for
3.21any subsequent changes in the secondary sparsity formula.
3.22EFFECTIVE DATE.This section is effective for fiscal year 2013 and later.

3.23    Sec. 5. Minnesota Statutes 2010, section 126C.10, subdivision 8, is amended to read:
3.24    Subd. 8. Elementary sparsity revenue. A district's elementary sparsity revenue
3.25equals the sum of the following amounts for each qualifying elementary school in the
3.26district:
3.27(1) the formula allowance for the year, $5,124 multiplied by
3.28(2) the elementary average daily membership of pupils served in the school,
3.29multiplied by
3.30(3) the quotient obtained by dividing 140 minus the elementary average daily
3.31membership by 140 plus the average daily membership.
3.32EFFECTIVE DATE.This section is effective for fiscal year 2013 and later.

4.1    Sec. 6. Minnesota Statutes 2010, section 126C.10, subdivision 18, is amended to read:
4.2    Subd. 18. Transportation sparsity revenue allowance. (a) A district's
4.3transportation sparsity allowance equals the greater of zero or the result of the following
4.4computation:
4.5(i) (1) multiply the formula allowance according to subdivision 2, $5,124 by .1469.;
4.6(ii) (2) multiply the result in clause (i) (1) by the district's sparsity index raised to
4.7the 26/100 power.;
4.8(iii) (3) multiply the result in clause (ii) (2) by the district's density index raised to
4.9the 13/100 power.;
4.10(iv) (4) multiply the formula allowance according to subdivision 2, $5,124 by
4.11.0485.; and
4.12(v) (5) subtract the result in clause (iv) (4) from the result in clause (iii) (3).
4.13(b) Transportation sparsity revenue is equal to the transportation sparsity allowance
4.14times the adjusted marginal cost pupil units.
4.15EFFECTIVE DATE.This section is effective for fiscal year 2013 and later.
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