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  KEY: stricken = old language to be removed
  underscored = new language to be added
							
     h0890de2

1.1.................... moves to amend H.F. No. 890, the fourth engrossment, as follows:
1.2Delete everything after the enacting clause and insert:

1.3"ARTICLE 1
1.4GENERAL EDUCATION

1.5    Section 1. Minnesota Statutes 2016, section 120A.41, is amended to read:
1.6120A.41 LENGTH OF SCHOOL YEAR; HOURS OF INSTRUCTION.
1.7(a) A school board's annual school calendar must include at least 425 hours of instruction
1.8for a kindergarten student without a disability, 935 hours of instruction for a student in
1.9grades 1 through 6, and 1,020 hours of instruction for a student in grades 7 through 12, not
1.10including summer school. The school calendar for all-day kindergarten must include at least
1.11850 hours of instruction for the school year. The school calendar for a prekindergarten
1.12student under section 124D.151, if offered by the district, must include at least 350 hours
1.13of instruction for the school year. A school board's annual calendar must include at least
1.14165 days of instruction for a student in grades 1 through 11 unless a four-day week schedule
1.15has been approved by the commissioner under section 124D.126.
1.16(b) A school board's annual school calendar may include plans for up to five days of
1.17instruction provided through online instruction due to inclement weather. The inclement
1.18weather plans must be developed according to section 120A.414.

1.19    Sec. 2. [120A.414] E-LEARNING DAYS.
1.20    Subdivision 1. Days. "E-learning day" means a school day where a school offers full
1.21access to online instruction provided by students' individual teachers due to inclement
1.22weather. A school district or charter school that chooses to have e-learning days may have
2.1up to five e-learning days in one school year. An e-learning day is counted as a day of
2.2instruction and included in the hours of instruction under section 120A.41.
2.3    Subd. 2. Plan. A school board may adopt an e-learning day plan after consulting with
2.4the exclusive representative of the teachers. A charter school may adopt an e-learning day
2.5plan after consulting with its teachers. The plan must include accommodations for students
2.6without Internet access at home and for digital device access for families without the
2.7technology or an insufficient amount of technology for the number of children in the
2.8household. A school's e-learning day plan must provide accessible options for students with
2.9disabilities under chapter 125A.
2.10    Subd. 3. Annual notice. A school district or charter school must notify parents and
2.11students of the e-learning day plan at the beginning of the school year.
2.12    Subd. 4. Daily notice. On an e-learning day declared by the school, a school district or
2.13charter school must notify parents and students at least two hours prior to the normal school
2.14start time that students need to follow the e-learning day plan for that day.
2.15    Subd. 5. Teacher access. Each student's teacher must be accessible both online and by
2.16telephone during normal school hours on an e-learning day to assist students and parents.
2.17EFFECTIVE DATE.This section is effective for the 2017-2018 school year and later.

2.18    Sec. 3. Minnesota Statutes 2016, section 121A.22, subdivision 2, is amended to read:
2.19    Subd. 2. Exclusions. In addition, this section does not apply to drugs or medicine that
2.20are:
2.21(1) purchased without a prescription;
2.22(2) used by a pupil who is 18 years old or older;
2.23(3) used in connection with services for which a minor may give effective consent,
2.24including section 144.343, subdivision 1, and any other law;
2.25(4) used in situations in which, in the judgment of the school personnel who are present
2.26or available, the risk to the pupil's life or health is of such a nature that drugs or medicine
2.27should be given without delay;
2.28(5) used off the school grounds;
2.29(6) used in connection with athletics or extra curricular activities;
2.30(7) used in connection with activities that occur before or after the regular school day;
3.1(8) provided or administered by a public health agency to prevent or control an illness
3.2or a disease outbreak as provided for in sections 144.05 and 144.12;
3.3(9) prescription asthma or reactive airway disease medications self-administered by a
3.4pupil with an asthma inhaler, consistent with section 121A.221, if the district has received
3.5a written authorization from the pupil's parent permitting the pupil to self-administer the
3.6medication, the inhaler is properly labeled for that student, and the parent has not requested
3.7school personnel to administer the medication to the pupil. The parent must submit written
3.8authorization for the pupil to self-administer the medication each school year; or
3.9(10) epinephrine auto-injectors, consistent with section 121A.2205, if the parent and
3.10prescribing medical professional annually inform the pupil's school in writing that (i) the
3.11pupil may possess the epinephrine or (ii) the pupil is unable to possess the epinephrine and
3.12requires immediate access to epinephrine auto-injectors that the parent provides properly
3.13labeled to the school for the pupil as needed.

3.14    Sec. 4. Minnesota Statutes 2016, section 121A.221, is amended to read:
3.15121A.221 POSSESSION AND USE OF ASTHMA INHALERS BY ASTHMATIC
3.16STUDENTS.
3.17(a) Consistent with section 121A.22, subdivision 2, clause (9), in a school district that
3.18employs a school nurse or provides school nursing services under another arrangement, the
3.19school nurse or other appropriate party must assess the student's knowledge and skills to
3.20safely possess and use an asthma inhaler in a school setting and enter into the student's
3.21school health record a plan to implement safe possession and use of asthma inhalers.
3.22(b) Consistent with section 121A.22, subdivision 2, clause (9), in a school that does not
3.23have a school nurse or school nursing services, the student's parent or guardian must submit
3.24written verification from the prescribing professional that documents an assessment of the
3.25student's knowledge and skills to safely possess and use an asthma inhaler in a school setting
3.26has been completed.

3.27    Sec. 5. Minnesota Statutes 2016, section 123B.41, subdivision 2, is amended to read:
3.28    Subd. 2. Textbook. (a) "Textbook" means any book or book substitute, including
3.29electronic books as well as other printed materials delivered electronically, which a pupil
3.30uses as a text or text substitute in a particular class or program in the school regularly
3.31attended and a copy of which is expected to be available for the individual use of each pupil
3.32in this class or program. Textbook includes an online book with an annual subscription cost.
4.1(b) For purposes of calculating the annual nonpublic pupil aid entitlement for textbooks,
4.2the term shall be limited to books, workbooks, or manuals, whether bound or in loose-leaf
4.3form, as well as electronic books and other printed materials delivered electronically,
4.4intended for use as a principal source of study material for a given class or a group of
4.5students.
4.6(c) For purposes of sections 123B.40 to 123B.48, the terms "textbook" and "software
4.7or other educational technology" include only such secular, neutral, and nonideological
4.8materials as are available, used by, or of benefit to Minnesota public school pupils.
4.9EFFECTIVE DATE.This section is effective for revenue in fiscal year 2018 and later.

4.10    Sec. 6. Minnesota Statutes 2016, section 123B.41, subdivision 5a, is amended to read:
4.11    Subd. 5a. Software or other educational technology. For purposes of sections 123B.42
4.12and 123B.43, "software or other educational technology" includes software, programs,
4.13applications, hardware, and any other electronic educational technology. Software or other
4.14educational technology includes course registration fees for advanced placement courses
4.15delivered online.
4.16EFFECTIVE DATE.This section is effective for revenue in fiscal year 2018 and later.

4.17    Sec. 7. Minnesota Statutes 2016, section 123B.92, subdivision 1, is amended to read:
4.18    Subdivision 1. Definitions. For purposes of this section and section 125A.76, the terms
4.19defined in this subdivision have the meanings given to them.
4.20    (a) "Actual expenditure per pupil transported in the regular and excess transportation
4.21categories" means the quotient obtained by dividing:
4.22    (1) the sum of:
4.23    (i) all expenditures for transportation in the regular category, as defined in paragraph
4.24(b), clause (1), and the excess category, as defined in paragraph (b), clause (2), plus
4.25    (ii) an amount equal to one year's depreciation on the district's school bus fleet and
4.26mobile units computed on a straight line basis at the rate of 15 percent per year for districts
4.27operating a program under section 124D.128 for grades 1 to 12 for all students in the district
4.28and 12-1/2 percent per year for other districts of the cost of the fleet, plus
4.29    (iii) an amount equal to one year's depreciation on the district's type III vehicles, as
4.30defined in section 169.011, subdivision 71, which must be used a majority of the time for
5.1pupil transportation purposes, computed on a straight line basis at the rate of 20 percent per
5.2year of the cost of the type three school buses by:
5.3    (2) the number of pupils eligible for transportation in the regular category, as defined
5.4in paragraph (b), clause (1), and the excess category, as defined in paragraph (b), clause
5.5(2).
5.6    (b) "Transportation category" means a category of transportation service provided to
5.7pupils as follows:
5.8    (1) Regular transportation is:
5.9    (i) transportation to and from school during the regular school year for resident elementary
5.10pupils residing one mile or more from the public or nonpublic school they attend, and
5.11resident secondary pupils residing two miles or more from the public or nonpublic school
5.12they attend, excluding desegregation transportation and noon kindergarten transportation;
5.13but with respect to transportation of pupils to and from nonpublic schools, only to the extent
5.14permitted by sections 123B.84 to 123B.87;
5.15    (ii) transportation of resident pupils to and from language immersion programs;
5.16    (iii) transportation of a pupil who is a custodial parent and that pupil's child between the
5.17pupil's home and the child care provider and between the provider and the school, if the
5.18home and provider are within the attendance area of the school;
5.19    (iv) transportation to and from or board and lodging in another district, of resident pupils
5.20of a district without a secondary school; and
5.21    (v) transportation to and from school during the regular school year required under
5.22subdivision 3 for nonresident elementary pupils when the distance from the attendance area
5.23border to the public school is one mile or more, and for nonresident secondary pupils when
5.24the distance from the attendance area border to the public school is two miles or more,
5.25excluding desegregation transportation and noon kindergarten transportation.
5.26    For the purposes of this paragraph, a district may designate a licensed day care facility,
5.27school day care facility, respite care facility, the residence of a relative, or the residence of
5.28a person or other location chosen by the pupil's parent or guardian, or an after-school program
5.29for children operated by a political subdivision of the state, as the home of a pupil for part
5.30or all of the day, if requested by the pupil's parent or guardian, and if that facility, residence,
5.31or program is within the attendance area of the school the pupil attends.
5.32    (2) Excess transportation is:
6.1    (i) transportation to and from school during the regular school year for resident secondary
6.2pupils residing at least one mile but less than two miles from the public or nonpublic school
6.3they attend, and transportation to and from school for resident pupils residing less than one
6.4mile from school who are transported because of full-service school zones, extraordinary
6.5traffic, drug, or crime hazards; and
6.6    (ii) transportation to and from school during the regular school year required under
6.7subdivision 3 for nonresident secondary pupils when the distance from the attendance area
6.8border to the school is at least one mile but less than two miles from the public school they
6.9attend, and for nonresident pupils when the distance from the attendance area border to the
6.10school is less than one mile from the school and who are transported because of full-service
6.11school zones, extraordinary traffic, drug, or crime hazards.
6.12    (3) Desegregation transportation is transportation within and outside of the district during
6.13the regular school year of pupils to and from schools located outside their normal attendance
6.14areas under a plan for desegregation mandated by the commissioner or under court order.
6.15    (4) "Transportation services for pupils with disabilities" is:
6.16    (i) transportation of pupils with disabilities who cannot be transported on a regular school
6.17bus between home or a respite care facility and school;
6.18    (ii) necessary transportation of pupils with disabilities from home or from school to
6.19other buildings, including centers such as developmental achievement centers, hospitals,
6.20and treatment centers where special instruction or services required by sections 125A.03 to
6.21125A.24 , 125A.26 to 125A.48, and 125A.65 are provided, within or outside the district
6.22where services are provided;
6.23    (iii) necessary transportation for resident pupils with disabilities required by sections
6.24125A.12 , and 125A.26 to 125A.48;
6.25    (iv) board and lodging for pupils with disabilities in a district maintaining special classes;
6.26    (v) transportation from one educational facility to another within the district for resident
6.27pupils enrolled on a shared-time basis in educational programs, and necessary transportation
6.28required by sections 125A.18, and 125A.26 to 125A.48, for resident pupils with disabilities
6.29who are provided special instruction and services on a shared-time basis or if resident pupils
6.30are not transported, the costs of necessary travel between public and private schools or
6.31neutral instructional sites by essential personnel employed by the district's program for
6.32children with a disability;
7.1    (vi) transportation for resident pupils with disabilities to and from board and lodging
7.2facilities when the pupil is boarded and lodged for educational purposes;
7.3(vii) transportation of pupils for a curricular field trip activity on a school bus equipped
7.4with a power lift when the power lift is required by a student's disability or section 504 plan;
7.5and
7.6(viii) services described in clauses (i) to (vii), when provided for pupils with disabilities
7.7in conjunction with a summer instructional program that relates to the pupil's individualized
7.8education program or in conjunction with a learning year program established under section
7.9124D.128 .
7.10    For purposes of computing special education initial aid under section 125A.76, the cost
7.11of providing transportation for children with disabilities includes (A) the additional cost of
7.12transporting a student in a shelter care facility as defined in section 260C.007, subdivision
7.1330, a homeless student from a temporary nonshelter home in another district to the school
7.14of origin, or a formerly homeless student from a permanent home in another district to the
7.15school of origin but only through the end of the academic year; and (B) depreciation on
7.16district-owned school buses purchased after July 1, 2005, and used primarily for
7.17transportation of pupils with disabilities, calculated according to paragraph (a), clauses (ii)
7.18and (iii). Depreciation costs included in the disabled transportation category must be excluded
7.19in calculating the actual expenditure per pupil transported in the regular and excess
7.20transportation categories according to paragraph (a). For purposes of subitem (A), a school
7.21district may transport a child who does not have a school of origin to the same school
7.22attended by that child's sibling, if the siblings are homeless or in a shelter care facility.
7.23    (5) "Nonpublic nonregular transportation" is:
7.24    (i) transportation from one educational facility to another within the district for resident
7.25pupils enrolled on a shared-time basis in educational programs, excluding transportation
7.26for nonpublic pupils with disabilities under clause (4);
7.27    (ii) transportation within district boundaries between a nonpublic school and a public
7.28school or a neutral site for nonpublic school pupils who are provided pupil support services
7.29pursuant to section 123B.44; and
7.30    (iii) late transportation home from school or between schools within a district for
7.31nonpublic school pupils involved in after-school activities.
7.32    (c) "Mobile unit" means a vehicle or trailer designed to provide facilities for educational
7.33programs and services, including diagnostic testing, guidance and counseling services, and
8.1health services. A mobile unit located off nonpublic school premises is a neutral site as
8.2defined in section 123B.41, subdivision 13.
8.3EFFECTIVE DATE.This section is effective retroactively from December 10, 2016.

8.4    Sec. 8. Minnesota Statutes 2016, section 126C.05, subdivision 8, is amended to read:
8.5    Subd. 8. Average daily membership. (a) Membership for pupils in grades kindergarten
8.6through 12 and for prekindergarten pupils with disabilities shall mean the number of pupils
8.7on the current roll of the school, counted from the date of entry until withdrawal. The date
8.8of withdrawal shall mean the day the pupil permanently leaves the school or the date it is
8.9officially known that the pupil has left or has been legally excused. However, a pupil,
8.10regardless of age, who has been absent from school for 15 consecutive school days during
8.11the regular school year or for five consecutive school days during summer school or
8.12intersession classes of flexible school year programs without receiving instruction in the
8.13home or hospital shall be dropped from the roll and classified as withdrawn. Nothing in this
8.14section shall be construed as waiving the compulsory attendance provisions cited in section
8.15120A.22 . Average daily membership equals the sum for all pupils of the number of days
8.16of the school year each pupil is enrolled in the district's schools divided by the number of
8.17days the schools are in session or are providing e-learning days due to inclement weather.
8.18Days of summer school or intersession classes of flexible school year programs are only
8.19included in the computation of membership for pupils with a disability not appropriately
8.20served primarily in the regular classroom. A student must not be counted as more than 1.2
8.21pupils in average daily membership under this section and section 126C.10, subdivision 2a,
8.22paragraph (b). When the initial total average daily membership exceeds 1.2 for a pupil
8.23enrolled in more than one school district during the fiscal year, each district's average daily
8.24membership must be reduced proportionately.
8.25(b) A student must not be counted as more than one pupil in average daily membership
8.26except for purposes of section 126C.10, subdivision 2a.

8.27    Sec. 9. Minnesota Statutes 2016, section 126C.10, subdivision 2, is amended to read:
8.28    Subd. 2. Basic revenue. The basic revenue for each district equals the formula allowance
8.29times the adjusted pupil units for the school year. The formula allowance for fiscal year
8.302015 is $5,831. The formula allowance for fiscal year 2016 is $5,948. The formula allowance
8.31for fiscal year 2017 and later is $6,067. The formula allowance for fiscal year 2018 is $6,158.
8.32The formula allowance for fiscal year 2019 and later is $6,249.
8.33EFFECTIVE DATE.This section is effective for revenue in fiscal year 2018 and later.

9.1    Sec. 10. Minnesota Statutes 2016, section 126C.10, subdivision 2a, is amended to read:
9.2    Subd. 2a. Extended time revenue. (a) A school district's extended time revenue is equal
9.3to the product of $5,117 and the sum of the adjusted pupil units of the district for each pupil
9.4in average daily membership in excess of 1.0 and less than 1.2 according to section 126C.05,
9.5subdivision 8 .
9.6(b) Extended time revenue for pupils placed in an on-site education program at the Prairie
9.7Lakes Education Center or the Lake Park School, located within the borders of Independent
9.8School District No. 347, Willmar, for instruction provided after the end of the preceding
9.9regular school year and before the beginning of the following regular school year equals
9.10membership hours divided by the minimum annual instructional hours in section 126C.05,
9.11subdivision 15, not to exceed 0.20, times the pupil unit weighting in section 126C.05,
9.12subdivision 1, times $5,117.
9.13(c) A school district's extended time revenue may be used for extended day programs,
9.14extended week programs, summer school, vacation break academies such as spring break
9.15academies and summer term academies, and other programming authorized under the
9.16learning year program.
9.17EFFECTIVE DATE.This section is effective for revenue for fiscal year 2018 and later.

9.18    Sec. 11. Minnesota Statutes 2016, section 126C.10, subdivision 3, is amended to read:
9.19    Subd. 3. Compensatory education revenue. (a) For fiscal year 2014, the compensatory
9.20education revenue for each building in the district equals the formula allowance minus $415
9.21times the compensation revenue pupil units computed according to section 126C.05,
9.22subdivision 3 . For fiscal year 2015 and later, The compensatory education revenue for each
9.23building in the district equals the formula allowance minus $839 times the compensation
9.24revenue pupil units computed according to section 126C.05, subdivision 3. A district's
9.25compensatory revenue equals the sum of its compensatory revenue for each building in the
9.26district and the amounts designated under Laws 2015, First Special Session chapter 3, article
9.272, section 70, subdivision 8, for fiscal year 2017. Revenue shall be paid to the district and
9.28must be allocated according to section 126C.15, subdivision 2.
9.29(b) When the district contracting with an alternative program under section 124D.69
9.30changes prior to the start of a school year, the compensatory revenue generated by pupils
9.31attending the program shall be paid to the district contracting with the alternative program
9.32for the current school year, and shall not be paid to the district contracting with the alternative
9.33program for the prior school year.
10.1(c) When the fiscal agent district for an area learning center changes prior to the start of
10.2a school year, the compensatory revenue shall be paid to the fiscal agent district for the
10.3current school year, and shall not be paid to the fiscal agent district for the prior school year.
10.4(d) Of the amount of revenue under this subdivision, 1.7 percent for fiscal year 2018,
10.53.5 percent for fiscal year 2019, and for fiscal year 2020 and later, 3.5 percent plus the
10.6percentage change in the formula allowance from the previous year, must be used for
10.7extended time activities under section 126C.10, subdivision 2a, paragraph (c).
10.8EFFECTIVE DATE.This section is effective for revenue for fiscal year 2018 and later.

10.9    Sec. 12. Minnesota Statutes 2016, section 126C.10, subdivision 13a, is amended to read:
10.10    Subd. 13a. Operating capital levy. To obtain operating capital revenue, a district may
10.11levy an amount not more than the product of its operating capital revenue for the fiscal year
10.12times the lesser of one or the ratio of its adjusted net tax capacity per adjusted pupil unit to
10.13the operating capital equalizing factor. The operating capital equalizing factor equals $15,740
10.14for fiscal year 2017, $19,972 $19,245 for fiscal year 2018, and $22,912 $22,185 for fiscal
10.15year 2019 and later.

10.16    Sec. 13. Minnesota Statutes 2016, section 126C.17, subdivision 9, is amended to read:
10.17    Subd. 9. Referendum revenue. (a) The revenue authorized by section 126C.10,
10.18subdivision 1 , may be increased in the amount approved by the voters of the district at a
10.19referendum called for the purpose. The referendum may be called by the board. The
10.20referendum must be conducted one or two calendar years before the increased levy authority,
10.21if approved, first becomes payable. Only one election to approve an increase may be held
10.22in a calendar year. Unless the referendum is conducted by mail under subdivision 11,
10.23paragraph (a), the referendum must be held on the first Tuesday after the first Monday in
10.24November. The ballot must state the maximum amount of the increased revenue per adjusted
10.25pupil unit. The ballot may state a schedule, determined by the board, of increased revenue
10.26per adjusted pupil unit that differs from year to year over the number of years for which the
10.27increased revenue is authorized or may state that the amount shall increase annually by the
10.28rate of inflation. For this purpose, the rate of inflation shall be the annual inflationary increase
10.29calculated under subdivision 2, paragraph (b). The ballot may state that existing referendum
10.30levy authority is expiring. In this case, the ballot may also compare the proposed levy
10.31authority to the existing expiring levy authority, and express the proposed increase as the
10.32amount, if any, over the expiring referendum levy authority. The ballot must designate the
10.33specific number of years, not to exceed ten, for which the referendum authorization applies.
11.1The ballot, including a ballot on the question to revoke or reduce the increased revenue
11.2amount under paragraph (c), must abbreviate the term "per adjusted pupil unit" as "per
11.3pupil." The notice required under section 275.60 may be modified to read, in cases of
11.4renewing existing levies at the same amount per pupil as in the previous year:
11.5"BY VOTING "YES" ON THIS BALLOT QUESTION, YOU ARE VOTING TO
11.6EXTEND AN EXISTING PROPERTY TAX REFERENDUM THAT IS SCHEDULED
11.7TO EXPIRE."
11.8    The ballot may contain a textual portion with the information required in this subdivision
11.9and a question stating substantially the following:
11.10    "Shall the increase in the revenue proposed by (petition to) the board of ......., School
11.11District No. .., be approved?"
11.12    If approved, an amount equal to the approved revenue per adjusted pupil unit times the
11.13adjusted pupil units for the school year beginning in the year after the levy is certified shall
11.14be authorized for certification for the number of years approved, if applicable, or until
11.15revoked or reduced by the voters of the district at a subsequent referendum.
11.16    (b) The board must prepare and deliver by first class mail at least 15 days but no more
11.17than 30 days before the day of the referendum to each taxpayer a notice of the referendum
11.18and the proposed revenue increase. The board need not mail more than one notice to any
11.19taxpayer. For the purpose of giving mailed notice under this subdivision, owners must be
11.20those shown to be owners on the records of the county auditor or, in any county where tax
11.21statements are mailed by the county treasurer, on the records of the county treasurer. Every
11.22property owner whose name does not appear on the records of the county auditor or the
11.23county treasurer is deemed to have waived this mailed notice unless the owner has requested
11.24in writing that the county auditor or county treasurer, as the case may be, include the name
11.25on the records for this purpose. The notice must project the anticipated amount of tax increase
11.26in annual dollars for typical residential homesteads, agricultural homesteads, apartments,
11.27and commercial-industrial property within the school district.
11.28    The notice for a referendum may state that an existing referendum levy is expiring and
11.29project the anticipated amount of increase over the existing referendum levy in the first
11.30year, if any, in annual dollars for typical residential homesteads, agricultural homesteads,
11.31apartments, and commercial-industrial property within the district.
11.32    The notice must include the following statement: "Passage of this referendum will result
11.33in an increase in your property taxes." However, in cases of renewing existing levies, the
12.1notice may include the following statement: "Passage of this referendum extends an existing
12.2operating referendum at the same amount per pupil as in the previous year."
12.3    (c) A referendum on the question of revoking or reducing the increased revenue amount
12.4authorized pursuant to paragraph (a) may be called by the board. A referendum to revoke
12.5or reduce the revenue amount must state the amount per adjusted pupil unit by which the
12.6authority is to be reduced. Revenue authority approved by the voters of the district pursuant
12.7to paragraph (a) must be available to the school district at least once before it is subject to
12.8a referendum on its revocation or reduction for subsequent years. Only one revocation or
12.9reduction referendum may be held to revoke or reduce referendum revenue for any specific
12.10year and for years thereafter.
12.11    (d) The approval of 50 percent plus one of those voting on the question is required to
12.12pass a referendum authorized by this subdivision.
12.13    (e) At least 15 days before the day of the referendum, the district must submit a copy of
12.14the notice required under paragraph (b) to the commissioner and to the county auditor of
12.15each county in which the district is located. Within 15 days after the results of the referendum
12.16have been certified by the board, or in the case of a recount, the certification of the results
12.17of the recount by the canvassing board, the district must notify the commissioner of the
12.18results of the referendum.
12.19EFFECTIVE DATE.This section is effective August 1, 2017.

12.20    Sec. 14. Minnesota Statutes 2016, section 127A.45, subdivision 10, is amended to read:
12.21    Subd. 10. Payments to school nonoperating funds. Each fiscal year state general fund
12.22payments for a district nonoperating fund must be made at the current year aid payment
12.23percentage of the estimated entitlement during the fiscal year of the entitlement. This amount
12.24shall be paid in 12 six equal monthly installments from July through December. The amount
12.25of the actual entitlement, after adjustment for actual data, minus the payments made during
12.26the fiscal year of the entitlement must be paid prior to October 31 of the following school
12.27year. The commissioner may make advance payments of debt service equalization aid and
12.28state-paid tax credits for a district's debt service fund earlier than would occur under the
12.29preceding schedule if the district submits evidence showing a serious cash flow problem in
12.30the fund. The commissioner may make earlier payments during the year and, if necessary,
12.31increase the percent of the entitlement paid to reduce the cash flow problem.

13.1    Sec. 15. NEVIS SCHOOL DISTRICT; LEVY ADJUSTMENT.
13.2Notwithstanding Minnesota Statutes, section 126C.48, Independent School District No.
13.3308, Nevis, at the discretion of its school board, may spread any levy adjustment remaining
13.4from the conversion of its operating referendum revenue over three or fewer years beginning
13.5with school property taxes for taxes payable in 2018.
13.6EFFECTIVE DATE.This section is effective the day following final enactment.

13.7    Sec. 16. PUPIL TRANSPORTATION ADJUSTMENT.
13.8(a) An independent, common, or special school district's transportation sparsity revenue
13.9under Minnesota Statutes, section 126C.10, subdivision 18, is increased by the greater of
13.10zero or 18.2 percent of the difference between:
13.11(1) the lesser of the district's total cost for regular and excess pupil transportation under
13.12section 123B.92, subdivision 1, paragraph (b), including depreciation, for the previous fiscal
13.13year or 105 percent of the district's total cost for the second previous fiscal year; and
13.14(2) the sum of:
13.15(i) 4.66 percent of the district's basic revenue for the previous fiscal year;
13.16(ii) transportation sparsity revenue under Minnesota Statutes, section 126C.10, subdivision
13.1718, for the previous fiscal year; and
13.18(iii) the district's charter school transportation adjustment for the previous fiscal year.
13.19(b) A charter school's pupil transportation adjustment equals the school district per pupil
13.20adjustment under paragraph (a).
13.21EFFECTIVE DATE.This section is effective for revenue for fiscal year 2018 and later.

13.22    Sec. 17. APPROPRIATIONS.
13.23    Subdivision 1. Department of Education. The sums indicated in this section are
13.24appropriated from the general fund to the Department of Education for the fiscal years
13.25designated.
13.26    Subd. 2. General education aid. For general education aid under Minnesota Statutes,
13.27section 126C.13, subdivision 4:
13.28
$
6,981,258,000
.....
2018
13.29
$
7,139,147,000
.....
2019
13.30The 2018 appropriation includes $686,828,000 for 2017 and $6,294,430,000 for 2018.
14.1The 2019 appropriation includes $699,381,000 for 2018 and $6,439,766,000 for 2019.
14.2    Subd. 3. Enrollment options transportation. For transportation of pupils attending
14.3postsecondary institutions under Minnesota Statutes, section 124D.09, or for transportation
14.4of pupils attending nonresident districts under Minnesota Statutes, section 124D.03:
14.5
$
29,000
.....
2018
14.6
$
31,000
.....
2019
14.7    Subd. 4. Abatement aid. For abatement aid under Minnesota Statutes, section 127A.49:
14.8
$
2,374,000
.....
2018
14.9
$
2,163,000
.....
2019
14.10The 2018 appropriation includes $262,000 for 2017 and $2,112,000 for 2018.
14.11The 2019 appropriation includes $234,000 for 2018 and $1,929,000 for 2019.
14.12    Subd. 5. Consolidation transition aid. For districts consolidating under Minnesota
14.13Statutes, section 123A.485:
14.14
$
185,000
.....
2018
14.15
$
382,000
.....
2019
14.16The 2018 appropriation includes $0 for 2017 and $185,000 for 2018.
14.17The 2019 appropriation includes $20,000 for 2018 and $362,000 for 2019.
14.18    Subd. 6. Nonpublic pupil education aid. For nonpublic pupil education aid under
14.19Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:
14.20
$
18,182,000
.....
2018
14.21
$
19,164,000
.....
2019
14.22The 2018 appropriation includes $1,687,000 for 2017 and $16,495,000 for 2018.
14.23The 2019 appropriation includes $1,832,000 for 2018 and $17,332,000 for 2019.
14.24    Subd. 7. Nonpublic pupil transportation. For nonpublic pupil transportation aid under
14.25Minnesota Statutes, section 123B.92, subdivision 9:
14.26
$
18,292,000
.....
2018
14.27
$
18,366,000
.....
2019
14.28The 2018 appropriation includes $1,835,000 for 2017 and $16,457,000 for 2018.
14.29The 2019 appropriation includes $1,828,000 for 2018 and $16,538,000 for 2019.
14.30    Subd. 8. One-room schoolhouse. For a grant to Independent School District No. 690,
14.31Warroad, to operate the Angle Inlet School:
15.1
$
65,000
.....
2018
15.2
$
65,000
.....
2019
15.3    Subd. 9. Career and technical aid. For career and technical aid under Minnesota
15.4Statutes, section 124D.4531, subdivision 1b:
15.5
$
4,561,000
.....
2018
15.6
$
4,125,000
.....
2019
15.7The 2018 appropriation includes $476,000 for 2017 and $4,085,000 for 2018.
15.8The 2019 appropriation includes $453,000 for 2018 and $3,672,000 for 2019.

15.9    Sec. 18. REPEALER.
15.10Minnesota Statutes 2016, section 124D.73, subdivision 2, is repealed.

15.11ARTICLE 2
15.12EDUCATION EXCELLENCE

15.13    Section 1. Minnesota Statutes 2016, section 120A.22, subdivision 9, is amended to read:
15.14    Subd. 9. Curriculum Knowledge and skills. Instruction must be provided in at least
15.15the following subject areas:
15.16(1) basic communication skills including reading and writing, literature, and fine arts;
15.17(2) mathematics and science;
15.18(3) social studies including history, geography, and economics, government, and
15.19citizenship; and
15.20(4) health and physical education.
15.21Instruction, textbooks, and materials must be in the English language. Another language
15.22may be used pursuant to sections 124D.59 to 124D.61.

15.23    Sec. 2. Minnesota Statutes 2016, section 120B.021, subdivision 1, is amended to read:
15.24    Subdivision 1. Required academic standards. (a) The following subject areas are
15.25required for statewide accountability:
15.26    (1) language arts;
15.27    (2) mathematics;
15.28    (3) science;
16.1    (4) social studies, including history, geography, economics, and government and
16.2citizenship that includes civics consistent with section 120B.02, subdivision 3;
16.3    (5) physical education;
16.4    (6) health, for which locally developed academic standards apply; and
16.5    (7) the arts, for which statewide or locally developed academic standards apply, as
16.6determined by the school district. Public elementary and middle schools must offer at least
16.7three and require at least two of the following four arts areas: dance; music; theater; and
16.8visual arts. Public high schools must offer at least three and require at least one of the
16.9following five arts areas: media arts; dance; music; theater; and visual arts.
16.10    (b) For purposes of applicable federal law, the academic standards for language arts,
16.11mathematics, and science apply to all public school students, except the very few students
16.12with extreme cognitive or physical impairments for whom an individualized education
16.13program team has determined that the required academic standards are inappropriate. An
16.14individualized education program team that makes this determination must establish
16.15alternative standards.
16.16(c) Beginning in the 2016-2017 school year, The department must adopt the most recent
16.17National Association of Sport and Physical Education SHAPE America (Society of Health
16.18and Physical Educators) kindergarten through grade 12 standards and benchmarks for
16.19physical education as the required physical education academic standards. The department
16.20may modify and adapt the national standards to accommodate state interest. The modification
16.21and adaptations must maintain the purpose and integrity of the national standards. The
16.22department must make available sample assessments, which school districts may use as an
16.23alternative to local assessments, to assess students' mastery of the physical education
16.24standards beginning in the 2018-2019 school year.
16.25(d) A school district may include child sexual abuse prevention instruction in a health
16.26curriculum, consistent with paragraph (a), clause (6). Child sexual abuse prevention
16.27instruction may include age-appropriate instruction on recognizing sexual abuse and assault,
16.28boundary violations, and ways offenders groom or desensitize victims, as well as strategies
16.29to promote disclosure, reduce self-blame, and mobilize bystanders. A school district may
16.30provide instruction under this paragraph in a variety of ways, including at an annual assembly
16.31or classroom presentation. A school district may also provide parents information on the
16.32warning signs of child sexual abuse and available resources.
17.1    (d) (e) District efforts to develop, implement, or improve instruction or curriculum as a
17.2result of the provisions of this section must be consistent with sections 120B.10, 120B.11,
17.3and 120B.20.

17.4    Sec. 3. Minnesota Statutes 2016, section 120B.021, subdivision 3, is amended to read:
17.5    Subd. 3. Rulemaking. The commissioner, consistent with the requirements of this section
17.6and section 120B.022, must adopt statewide rules under section 14.389 for implementing
17.7statewide rigorous core academic standards in language arts, mathematics, science, social
17.8studies, physical education, and the arts. After the rules authorized under this subdivision
17.9are initially adopted, the commissioner may not amend or repeal these rules nor adopt new
17.10rules on the same topic without specific legislative authorization. The academic standards
17.11for language arts, mathematics, and the arts must be implemented for all students beginning
17.12in the 2003-2004 school year. The academic standards for science and social studies must
17.13be implemented for all students beginning in the 2005-2006 school year.

17.14    Sec. 4. Minnesota Statutes 2016, section 120B.022, subdivision 1b, is amended to read:
17.15    Subd. 1b. State bilingual and multilingual seals. (a) Consistent with efforts to strive
17.16for the world's best workforce under sections 120B.11 and 124E.03, subdivision 2, paragraph
17.17(i), and close the academic achievement and opportunity gap under sections 124D.861 and
17.18124D.862 , voluntary state bilingual and multilingual seals are established to recognize high
17.19school students in any school district, charter school, or nonpublic school who demonstrate
17.20an advanced-low level or an intermediate high level of functional proficiency in listening,
17.21speaking, reading, and writing on either assessments aligned with American Council on the
17.22Teaching of Foreign Languages' (ACTFL) proficiency guidelines or on equivalent valid
17.23and reliable assessments in one or more languages in addition to English. American Sign
17.24Language is a language other than English for purposes of this subdivision and a world
17.25language for purposes of subdivision 1a.
17.26(b) In addition to paragraph (a), to be eligible to receive a seal:
17.27(1) students must satisfactorily complete all required English language arts credits; and
17.28(2) students must demonstrate mastery of Minnesota's English language proficiency
17.29standards.
17.30(c) Consistent with this subdivision, a high school student who demonstrates an
17.31intermediate high ACTFL level of functional proficiency in one language in addition to
17.32English is eligible to receive the state bilingual gold seal. A high school student who
18.1demonstrates an intermediate high ACTFL level of functional native proficiency in more
18.2than one language in addition to English is eligible to receive the state multilingual gold
18.3seal. A high school student who demonstrates an advanced-low ACTFL level of functional
18.4proficiency in one language in addition to English is eligible to receive the state bilingual
18.5platinum seal. A high school student who demonstrates an advanced-low ACTFL level of
18.6functional proficiency in more than one language in addition to English is eligible to receive
18.7the state multilingual platinum seal.
18.8(d) School districts and charter schools may give students periodic opportunities to
18.9demonstrate their level of proficiency in listening, speaking, reading, and writing in a
18.10language in addition to English. Where valid and reliable assessments are unavailable, a
18.11school district or charter school may rely on evaluators trained in assessing under ACTFL
18.12proficiency guidelines to assess a student's level of foreign, heritage, or indigenous language
18.13proficiency under this section. School districts and charter schools must maintain appropriate
18.14records to identify high school students eligible to receive the state bilingual or multilingual
18.15gold and platinum seals. The school district or charter school must affix the appropriate seal
18.16to the transcript of each high school student who meets the requirements of this subdivision
18.17and may affix the seal to the student's diploma. A school district or charter school must not
18.18charge the high school student a fee for this seal.
18.19(e) A school district or charter school may award elective course credits in world
18.20languages to a student who demonstrates the requisite proficiency in a language other than
18.21English under this section.
18.22(f) A school district or charter school may award community service credit to a student
18.23who demonstrates an intermediate high or advanced-low ACTFL level of functional
18.24proficiency in listening, speaking, reading, and writing in a language other than English
18.25and who participates in community service activities that are integrated into the curriculum,
18.26involve the participation of teachers, and support biliteracy in the school or local community.
18.27(g) The commissioner must list on the Web page those assessments that are aligned to
18.28ACTFL proficiency guidelines.
18.29(h) By August 1, 2015, the colleges and universities of the Minnesota State Colleges
18.30and Universities system must establish criteria to translate the seals into college credits
18.31based on the world language course equivalencies identified by the Minnesota State Colleges
18.32and Universities faculty and staff and, upon request from an enrolled student, the Minnesota
18.33State Colleges and Universities may award foreign language credits to a student who receives
18.34a Minnesota World Language Proficiency Certificate under subdivision 1a. A student who
19.1demonstrated the requisite level of language proficiency in grade 10, 11, or 12 to receive a
19.2seal or certificate and is enrolled in a Minnesota State Colleges and Universities institution
19.3must request college credits for the student's seal or proficiency certificate within three
19.4academic years after graduating from high school. The University of Minnesota is encouraged
19.5to award students foreign language academic credits consistent with this paragraph.

19.6    Sec. 5. Minnesota Statutes 2016, section 120B.12, subdivision 2, is amended to read:
19.7    Subd. 2. Identification; report. (a) Each school district shall identify before the end of
19.8kindergarten, grade 1, and grade 2 students who are not reading at grade level before the
19.9end of the current school year and shall identify students in grade 3 or higher who
19.10demonstrate a reading difficulty to a classroom teacher. Reading assessments in English,
19.11and in the predominant languages of district students where practicable, must identify and
19.12evaluate students' areas of academic need related to literacy. The district also must monitor
19.13the progress and provide reading instruction appropriate to the specific needs of English
19.14learners. The district must use a locally adopted, developmentally appropriate, and culturally
19.15responsive assessment and annually report summary assessment results to the commissioner
19.16by July 1. The district also must annually report to the commissioner by July 1 a summary
19.17of the district's efforts to screen and identify students with:
19.18    (1) dyslexia, using screening tools such as those recommended by the department's
19.19dyslexia and literacy specialist; or
19.20    (2) convergence insufficiency disorder to the commissioner by July 1.
19.21(b) A student identified under this subdivision must be provided with alternate instruction
19.22under section 125A.56, subdivision 1.

19.23    Sec. 6. Minnesota Statutes 2016, section 120B.12, subdivision 2a, is amended to read:
19.24    Subd. 2a. Parent notification and involvement. Schools, at least annually, must give
19.25the parent of each student who is not reading at or above grade level timely information
19.26about:
19.27(1) the student's reading proficiency as measured by a locally adopted assessment;
19.28(2) reading-related services currently being provided to the student and the student's
19.29progress; and
19.30(3) strategies for parents to use at home in helping their student succeed in becoming
19.31grade-level proficient in reading in English and in their native language.
20.1A district may not use this section to deny a student's right to a special education
20.2evaluation.

20.3    Sec. 7. Minnesota Statutes 2016, section 120B.12, subdivision 3, is amended to read:
20.4    Subd. 3. Intervention. (a) For each student identified under subdivision 2, the district
20.5shall provide reading intervention to accelerate student growth and reach the goal of reading
20.6at or above grade level by the end of the current grade and school year. If a student does
20.7not read at or above grade level by the end of grade 3, the district must continue to provide
20.8reading intervention until the student reads at grade level. District intervention methods
20.9shall encourage family engagement and, where possible, collaboration with appropriate
20.10school and community programs. Intervention methods may include, but are not limited to,
20.11requiring attendance in summer school, intensified reading instruction that may require that
20.12the student be removed from the regular classroom for part of the school day, extended-day
20.13programs, or programs that strengthen students' cultural connections.
20.14(b) A school district or charter school is strongly encouraged to provide a personal
20.15learning plan for a student who is unable to demonstrate grade-level proficiency, as measured
20.16by the statewide reading assessment in grade 3. The district or charter school must determine
20.17the format of the personal learning plan in collaboration with the student's educators and
20.18other appropriate professionals. The school must develop the learning plan in consultation
20.19with the student's parent or guardian. The personal learning plan must address knowledge
20.20gaps and skill deficiencies through strategies such as specific exercises and practices during
20.21and outside of the regular school day, periodic assessments, and reasonable timelines. The
20.22personal learning plan may include grade retention, if in the student's best interests. A school
20.23must maintain and regularly update and modify the personal learning plan until the student
20.24reads at grade level. This paragraph does not apply to a student under an individualized
20.25education program.

20.26    Sec. 8. [120B.122] DYSLEXIA SPECIALIST.
20.27    Subdivision 1. Purpose. The department must employ a dyslexia specialist to provide
20.28technical assistance for dyslexia and related disorders and to serve as the primary source of
20.29information and support for schools in addressing the needs of students with dyslexia and
20.30related disorders. The dyslexia specialist shall also act to increase professional awareness
20.31and instructional competencies to meet the educational needs of students with dyslexia or
20.32identified with risk characteristics associated with dyslexia and shall develop implementation
20.33guidance and make recommendations to the commissioner consistent with section 122A.06,
21.1subdivision 4, to be used to assist general education teachers and special education teachers
21.2to recognize educational needs and to improve literacy outcomes for students with dyslexia
21.3or identified with risk characteristics associated with dyslexia, including recommendations
21.4related to increasing the availability of online and asynchronous professional development
21.5programs and materials.
21.6    Subd. 2. Definition. For purposes of this section, a "dyslexia specialist" means a dyslexia
21.7therapist, licensed psychologist, licensed speech-language pathologist, or certified dyslexia
21.8training specialist who has a minimum of three years of field experience in screening,
21.9identifying, and treating dyslexia and related disorders.
21.10    Subd. 3. Requirements. A dyslexia specialist shall be highly trained in dyslexia and
21.11related disorders and in using interventions and treatments that are evidence-based,
21.12multisensory, direct, explicit, structured, and sequential in the areas of phonics, phonemic
21.13awareness, vocabulary, fluency, and comprehension.

21.14    Sec. 9. Minnesota Statutes 2016, section 120B.125, is amended to read:
21.15120B.125 PLANNING FOR STUDENTS' SUCCESSFUL TRANSITION TO
21.16POSTSECONDARY EDUCATION AND EMPLOYMENT; PERSONAL LEARNING
21.17PLANS.
21.18(a) Consistent with sections 120B.13, 120B.131, 120B.132, 120B.14, 120B.15, 120B.30,
21.19subdivision 1 , paragraph (c), 125A.08, and other related sections, school districts, beginning
21.20in the 2013-2014 school year, must assist all students by no later than grade 9 to explore
21.21their educational, college, and career interests, aptitudes, and aspirations and develop a plan
21.22for a smooth and successful transition to postsecondary education or employment. All
21.23students' plans must:
21.24(1) provide a comprehensive plan to prepare for and complete a career and college ready
21.25curriculum by meeting state and local academic standards and developing career and
21.26employment-related skills such as team work, collaboration, creativity, communication,
21.27critical thinking, and good work habits;
21.28(2) emphasize academic rigor and high expectations and inform the student and the
21.29student's parent or guardian, if the student is a minor, of the student's achievement level
21.30score on the Minnesota Comprehensive Assessments that are administered during high
21.31school;
22.1(3) help students identify interests, aptitudes, aspirations, and personal learning styles
22.2that may affect their career and college ready goals and postsecondary education and
22.3employment choices;
22.4(4) set appropriate career and college ready goals with timelines that identify effective
22.5means for achieving those goals;
22.6(5) help students access education and career options;
22.7(6) integrate strong academic content into career-focused courses and applied and
22.8experiential learning opportunities and integrate relevant career-focused courses and applied
22.9and experiential learning opportunities into strong academic content;
22.10(7) help identify and access appropriate counseling and other supports and assistance
22.11that enable students to complete required coursework, prepare for postsecondary education
22.12and careers, and obtain information about postsecondary education costs and eligibility for
22.13financial aid and scholarship;
22.14(8) help identify collaborative partnerships among prekindergarten through grade 12
22.15schools, postsecondary institutions, economic development agencies, and local and regional
22.16employers that support students' transition to postsecondary education and employment and
22.17provide students with applied and experiential learning opportunities; and
22.18(9) be reviewed and revised at least annually by the student, the student's parent or
22.19guardian, and the school or district to ensure that the student's course-taking schedule keeps
22.20the student making adequate progress to meet state and local academic standards and high
22.21school graduation requirements and with a reasonable chance to succeed with employment
22.22or postsecondary education without the need to first complete remedial course work.
22.23(b) A school district may develop grade-level curricula or provide instruction that
22.24introduces students to various careers, but must not require any curriculum, instruction, or
22.25employment-related activity that obligates an elementary or secondary student to involuntarily
22.26select or pursue a career, career interest, employment goals, or related job training.
22.27(c) Educators must possess the knowledge and skills to effectively teach all English
22.28learners in their classrooms. School districts must provide appropriate curriculum, targeted
22.29materials, professional development opportunities for educators, and sufficient resources
22.30to enable English learners to become career and college ready.
22.31(d) When assisting students in developing a plan for a smooth and successful transition
22.32to postsecondary education and employment, districts must recognize the unique possibilities
23.1of each student and ensure that the contents of each student's plan reflect the student's unique
23.2talents, skills, and abilities as the student grows, develops, and learns.
23.3(e) If a student with a disability has an individualized education program (IEP) or
23.4standardized written plan that meets the plan components of this section, the IEP satisfies
23.5the requirement and no additional transition plan is needed.
23.6(f) Students who do not meet or exceed Minnesota academic standards, as measured by
23.7the Minnesota Comprehensive Assessments that are administered during high school, shall
23.8be informed that admission to a public school is free and available to any resident under 21
23.9years of age or who meets the requirements of section 120A.20, subdivision 1, paragraph
23.10(c). A student's plan under this section shall continue while the student is enrolled.
23.11EFFECTIVE DATE.This section is effective July 1, 2017.

23.12    Sec. 10. Minnesota Statutes 2016, section 120B.132, is amended to read:
23.13120B.132 RAISED ACADEMIC ACHIEVEMENT; ADVANCED PLACEMENT
23.14AND INTERNATIONAL BACCALAUREATE PROGRAMS.
23.15    Subdivision 1. Establishment; eligibility. A program is established to raise kindergarten
23.16through grade 12 academic achievement through increased student participation in
23.17preadvanced placement, advanced placement, and international baccalaureate programs,
23.18consistent with section 120B.13. Schools and charter schools eligible to participate under
23.19this section:
23.20    (1) must have a three-year plan approved by the local school board to establish a new
23.21international baccalaureate program leading to international baccalaureate authorization,
23.22expand an existing program that leads to international baccalaureate authorization, or expand
23.23an existing authorized international baccalaureate program; or
23.24    (2) must have a three-year plan approved by the local school board to create a new or
23.25expand an existing program to implement the college board advanced placement courses
23.26and exams or preadvanced placement initiative; and
23.27    (3) must propose to further raise students' academic achievement by:
23.28    (i) increasing the availability of and all students' access to advanced placement or
23.29international baccalaureate courses or programs;
23.30    (ii) expanding the breadth of advanced placement or international baccalaureate courses
23.31or programs that are available to students;
24.1    (iii) increasing the number and the diversity of the students who participate in advanced
24.2placement or international baccalaureate courses or programs and succeed;
24.3    (iv) providing low-income and other disadvantaged students with increased access to
24.4advanced placement or international baccalaureate courses and programs; or
24.5    (v) increasing the number of high school students, including low-income and other
24.6disadvantaged students, who receive college credit by successfully completing advanced
24.7placement or international baccalaureate courses or programs and achieving satisfactory
24.8scores on related exams.
24.9    Subd. 2. Application and review process; funding priority. (a) Charter schools and
24.10school districts in which eligible schools under subdivision 1 are located may apply to the
24.11commissioner, in the form and manner the commissioner determines, for competitive funding
24.12to further raise students' academic achievement. The application must detail the specific
24.13efforts the applicant intends to undertake in further raising students' academic achievement,
24.14consistent with subdivision 1, and a proposed budget detailing the district or charter school's
24.15current and proposed expenditures for advanced placement, preadvanced placement, and
24.16international baccalaureate courses and programs. The proposed budget must demonstrate
24.17that the applicant's efforts will support implementation of advanced placement, preadvanced
24.18placement, and international baccalaureate courses and programs. Expenditures for
24.19administration must not exceed five percent of the proposed budget. The commissioner may
24.20require an applicant to provide additional information.
24.21    (b) When reviewing applications, the commissioner must determine whether the applicant
24.22satisfied all the requirements in this subdivision and subdivision 1. The commissioner may
24.23give funding priority to an otherwise qualified applicant that demonstrates:
24.24    (1) a focus on developing or expanding preadvanced placement, advanced placement,
24.25or international baccalaureate courses or programs or increasing students' participation in,
24.26access to, or success with the courses or programs, including the participation, access, or
24.27success of low-income and other disadvantaged students;
24.28    (2) a compelling need for access to preadvanced placement, advanced placement, or
24.29international baccalaureate courses or programs;
24.30    (3) an effective ability to actively involve local business and community organizations
24.31in student activities that are integral to preadvanced placement, advanced placement, or
24.32international baccalaureate courses or programs;
25.1    (4) access to additional public or nonpublic funds or in-kind contributions that are
25.2available for preadvanced placement, advanced placement, or international baccalaureate
25.3courses or programs; or
25.4    (5) an intent to implement activities that target low-income and other disadvantaged
25.5students.; or
25.6(6) an intent to increase the advanced placement and international baccalaureate course
25.7offerings in science, technology, engineering, and math to low-income and other
25.8disadvantaged students.
25.9    Subd. 3. Funding; permissible funding uses. (a) The commissioner shall award grants
25.10to applicant school districts and charter schools that meet the requirements of subdivisions
25.111 and 2. The commissioner must award grants on an equitable geographical basis to the
25.12extent feasible and consistent with this section. Grant awards must not exceed the lesser of:
25.13    (1) $85 times the number of pupils enrolled at the participating sites on October 1 of the
25.14previous fiscal year; or
25.15    (2) the approved supplemental expenditures based on the budget submitted under
25.16subdivision 2. For charter schools in their first year of operation, the maximum funding
25.17award must be calculated using the number of pupils enrolled on October 1 of the current
25.18fiscal year. The commissioner may adjust the maximum funding award computed using
25.19prior year data for changes in enrollment attributable to school closings, school openings,
25.20grade level reconfigurations, or school district reorganizations between the prior fiscal year
25.21and the current fiscal year; or
25.22    (3) $150,000 per district or charter school.
25.23    (b) School districts and charter schools that submit an application and receive funding
25.24under this section must use the funding, consistent with the application, to:
25.25    (1) provide teacher training and instruction to more effectively serve students, including
25.26low-income and other disadvantaged students, who participate in preadvanced placement,
25.27advanced placement, or international baccalaureate courses or programs;
25.28    (2) further develop preadvanced placement, advanced placement, or international
25.29baccalaureate courses or programs;
25.30    (3) improve the transition between grade levels to better prepare students, including
25.31low-income and other disadvantaged students, for succeeding in preadvanced placement,
25.32advanced placement, or international baccalaureate courses or programs;
26.1    (4) purchase books and supplies;
26.2    (5) pay course or program fees;
26.3    (6) increase students' participation in and success with preadvanced placement, advanced
26.4placement, or international baccalaureate courses or programs;
26.5    (7) expand students' access to preadvanced placement, advanced placement, or
26.6international baccalaureate courses or programs through online learning;
26.7    (8) hire appropriately licensed personnel to teach additional advanced placement or
26.8international baccalaureate courses or programs; or
26.9    (9) engage in other activity directly related activities to expanding expand low-income
26.10or disadvantaged students' access to, participation in, and success with preadvanced
26.11placement, advanced placement, or international baccalaureate courses or programs,
26.12including. Other activities may include but are not limited to preparing and disseminating
26.13promotional materials to low-income and other disadvantaged students and their families.
26.14    Subd. 4. Grants; annual reports. (a) Each school district and charter school that receives
26.15a grant under this section annually must collect demographic and other student data to
26.16demonstrate and measure the extent to which the district or charter school raised students'
26.17academic achievement under this program and must report the data to the commissioner in
26.18the form and manner the commissioner determines. The commissioner annually by February
26.1915 must make summary data about this program available to the education policy and finance
26.20committees of the legislature.
26.21    (b) Each school district and charter school that receives a grant under this section annually
26.22must report to the commissioner, consistent with the Uniform Financial Accounting and
26.23Reporting Standards, its actual expenditures for advanced placement, preadvanced placement,
26.24and international baccalaureate courses and programs. The report must demonstrate that
26.25the school district or charter school has maintained its effort from other sources for advanced
26.26placement, preadvanced placement, and international baccalaureate courses and programs
26.27compared with the previous fiscal year, and the district or charter school has expended all
26.28grant funds, consistent with its approved budget.
26.29    (c) Notwithstanding any law to the contrary, a grant under this section is available for
26.30three years from the date of the grant if the district or charter school meets the annual
26.31benchmarks in its plan under subdivision 1.

27.1    Sec. 11. Minnesota Statutes 2016, section 120B.22, subdivision 2, is amended to read:
27.2    Subd. 2. In-service training. Each district is encouraged to provide training for district
27.3staff and school board members to help on the following:
27.4(1) helping students identify violence in the family and the community so that students
27.5may learn to resolve conflicts in effective, nonviolent ways;
27.6(2) responding to a disclosure of child sexual abuse in a supportive, appropriate manner;
27.7and
27.8(3) complying with mandatory reporting requirements under section 626.556.
27.9The in-service training must be ongoing and involve experts familiar with sexual abuse,
27.10domestic violence, and personal safety issues.

27.11    Sec. 12. Minnesota Statutes 2016, section 120B.23, subdivision 3, is amended to read:
27.12    Subd. 3. Grant awards. (a) The commissioner may award grants for a violence
27.13prevention education program to eligible applicants as defined in subdivision 2. Grant
27.14amounts may not exceed $3 per resident pupil unit in the district or group of districts in the
27.15prior school year. Grant recipients should be geographically distributed throughout the state.
27.16(b) School districts and charter schools may accept funds from private and other public
27.17sources for child sexual abuse prevention programs developed and implemented under
27.18sections 120B.021, subdivision 1, paragraph (d), and 120B.234, including federal funding
27.19under the Every Student Succeeds Act.

27.20    Sec. 13. Minnesota Statutes 2016, section 120B.232, subdivision 1, is amended to read:
27.21    Subdivision 1. Character development education. (a) Character education is the shared
27.22responsibility of parents, teachers, and members of the community. The legislature
27.23encourages districts to integrate or offer instruction on character education including, but
27.24not limited to, character qualities such as attentiveness, truthfulness, respect for authority,
27.25diligence, gratefulness, self-discipline, patience, forgiveness, respect for others, peacemaking,
27.26and resourcefulness. Instruction should be integrated into a district's existing programs,
27.27curriculum, or the general school environment. To the extent practicable, instruction should
27.28be integrated into positive behavioral intervention strategies, under section 122A.627. The
27.29commissioner shall provide assistance at the request of a district to develop character
27.30education curriculum and programs.
28.1(b) Character development education under paragraph (a) may include a voluntary
28.2elementary, middle, and high school program that incorporates the history and values of
28.3Congressional Medal of Honor recipients and may be offered as part of the social studies,
28.4English language arts, or other curriculum, as a schoolwide character building and veteran
28.5awareness initiative, or as an after-school program, among other possibilities.

28.6    Sec. 14. [120B.234] CHILD SEXUAL ABUSE PREVENTION EDUCATION.
28.7    Subdivision 1. Purpose. The purpose of this section, which may be cited as "Erin's
28.8Law," is to encourage districts to integrate or offer instruction on child sexual abuse
28.9prevention to students and training to all school personnel on recognizing and preventing
28.10sexual abuse and sexual violence.
28.11    Subd. 2. Curriculum. School districts may consult with other federal, state, or local
28.12agencies and community-based organizations, including the Child Information Gateway
28.13Web site maintained by the United States Department of Health and Human Services, to
28.14identify research-based tools, curricula, and programs to prevent child sexual abuse for use
28.15under section 120B.021, subdivision 1, paragraph (d).
28.16    Subd. 3. Other state programs. The child sexual abuse prevention instruction provided
28.17under this section is part of preventing sexual violence against children, which includes,
28.18but is not limited to, the following activities:
28.19(1) training on mandated reporting requirements provided on the Department of
28.20Education's Web site;
28.21(2) the Code of Ethics for Minnesota Teachers; and
28.22(3) consultation by the commissioner of education with the commissioners of health,
28.23human services, and public safety, and other state agencies to prevent violence against
28.24children.
28.25EFFECTIVE DATE.This section is effective the day following final enactment.

28.26    Sec. 15. Minnesota Statutes 2016, section 120B.30, subdivision 1, is amended to read:
28.27    Subdivision 1. Statewide testing. (a) The commissioner, with advice from experts with
28.28appropriate technical qualifications and experience and stakeholders, consistent with
28.29subdivision 1a, shall include in the comprehensive assessment system, for each grade level
28.30to be tested, state-constructed tests developed as computer-adaptive reading and mathematics
28.31assessments for students that are aligned with the state's required academic standards under
28.32section 120B.021, include multiple choice questions, and are administered annually to all
29.1students in grades 3 through 8. State-developed high school tests aligned with the state's
29.2required academic standards under section 120B.021 and administered to all high school
29.3students in a subject other than writing must include multiple choice questions. The
29.4commissioner shall establish one or more months during which schools shall administer
29.5the tests to students each school year.
29.6(1) Students enrolled in grade 8 through the 2009-2010 school year are eligible to be
29.7assessed under (i) the graduation-required assessment for diploma in reading, mathematics,
29.8or writing under Minnesota Statutes 2012, section 120B.30, subdivision 1, paragraphs (c),
29.9clauses (1) and (2), and (d), (ii) the WorkKeys job skills assessment, (iii) the Compass
29.10college placement test, (iv) the ACT assessment for college admission, (v) a nationally
29.11recognized armed services vocational aptitude test.
29.12(2) Students enrolled in grade 8 in the 2010-2011 or 2011-2012 school year are eligible
29.13to be assessed under (i) the graduation-required assessment for diploma in reading,
29.14mathematics, or writing under Minnesota Statutes 2012, section 120B.30, subdivision 1,
29.15paragraph (c), clauses (1) and (2), (ii) the WorkKeys job skills assessment, (iii) the Compass
29.16college placement test, (iv) the ACT assessment for college admission, (v) a nationally
29.17recognized armed services vocational aptitude test.
29.18(3) For students under clause (1) or (2), a school district may substitute a score from an
29.19alternative, equivalent assessment to satisfy the requirements of this paragraph.
29.20(b) The state assessment system must be aligned to the most recent revision of academic
29.21standards as described in section 120B.023 in the following manner:
29.22(1) mathematics;
29.23(i) grades 3 through 8 beginning in the 2010-2011 school year; and
29.24(ii) high school level beginning in the 2013-2014 school year;
29.25(2) science; grades 5 and 8 and at the high school level beginning in the 2011-2012
29.26school year; and
29.27(3) language arts and reading; grades 3 through 8 and high school level beginning in the
29.282012-2013 school year.
29.29    (c) For students enrolled in grade 8 in the 2012-2013 school year and later, students'
29.30state graduation requirements, based on a longitudinal, systematic approach to student
29.31education and career planning, assessment, instructional support, and evaluation, include
29.32the following:
30.1    (1) an opportunity to participate on a nationally normed college entrance exam, in grade
30.211 or grade 12;
30.3    (2) achievement and career and college readiness in mathematics, reading, and writing,
30.4consistent with paragraph (k) and to the extent available, to monitor students' continuous
30.5development of and growth in requisite knowledge and skills; analyze students' progress
30.6and performance levels, identifying students' academic strengths and diagnosing areas where
30.7students require curriculum or instructional adjustments, targeted interventions, or
30.8remediation; and, based on analysis of students' progress and performance data, determine
30.9students' learning and instructional needs and the instructional tools and best practices that
30.10support academic rigor for the student; and
30.11    (3) (2) consistent with this paragraph and section 120B.125, age-appropriate exploration
30.12and planning activities and career assessments to encourage students to identify personally
30.13relevant career interests and aptitudes and help students and their families develop a regularly
30.14reexamined transition plan for postsecondary education or employment without need for
30.15postsecondary remediation.
30.16Based on appropriate state guidelines, students with an individualized education program
30.17may satisfy state graduation requirements by achieving an individual score on the
30.18state-identified alternative assessments.
30.19    (d) Expectations of schools, districts, and the state for career or college readiness under
30.20this subdivision must be comparable in rigor, clarity of purpose, and rates of student
30.21completion.
30.22    A student under paragraph (c), clause (2) (1), must receive targeted, relevant, academically
30.23rigorous, and resourced instruction, which may include a targeted instruction and intervention
30.24plan focused on improving the student's knowledge and skills in core subjects so that the
30.25student has a reasonable chance to succeed in a career or college without need for
30.26postsecondary remediation. Consistent with sections 120B.13, 124D.09, 124D.091, 124D.49,
30.27and related sections, an enrolling school or district must actively encourage a student in
30.28grade 11 or 12 who is identified as academically ready for a career or college to participate
30.29in courses and programs awarding college credit to high school students. Students are not
30.30required to achieve a specified score or level of proficiency on an assessment under this
30.31subdivision to graduate from high school.
30.32    (e) Though not a high school graduation requirement, students are encouraged to
30.33participate in a nationally recognized college entrance exam. To the extent state funding
30.34for college entrance exam fees is available, a district must pay the cost reimburse a student
31.1in grade 11 or 12 who is eligible for a free or reduced-price meal, one time, for an interested
31.2student in grade 11 or 12 to take for the registration fees associated with a nationally
31.3recognized college entrance exam before graduating. A student must be able to take the
31.4exam under this paragraph at the student's high school during the school day and at any one
31.5of the multiple exam administrations available to students in the district. In order to comply
31.6with this subdivision, a district may administer the ACT or SAT or both the ACT and SAT
31.7to comply with this paragraph at the student's high school or arrange for the student to take
31.8the exam at another location. If the district administers only one of these two tests and a
31.9student opts not to take that test and chooses instead to take the other of the two tests, the
31.10A free or reduced-price meal eligible student may take the other test exam at a different
31.11time or location and remains eligible for the examination fee reimbursement.
31.12    (f) The commissioner and the chancellor of the Minnesota State Colleges and Universities
31.13must collaborate in aligning instruction and assessments for adult basic education students
31.14and English learners to provide the students with diagnostic information about any targeted
31.15interventions, accommodations, modifications, and supports they need so that assessments
31.16and other performance measures are accessible to them and they may seek postsecondary
31.17education or employment without need for postsecondary remediation. When administering
31.18formative or summative assessments used to measure the academic progress, including the
31.19oral academic development, of English learners and inform their instruction, schools must
31.20ensure that the assessments are accessible to the students and students have the modifications
31.21and supports they need to sufficiently understand the assessments.
31.22    (g) Districts and schools, on an annual basis, must use career exploration elements to
31.23help students, beginning no later than grade 9, and their families explore and plan for
31.24postsecondary education or careers based on the students' interests, aptitudes, and aspirations.
31.25Districts and schools must use timely regional labor market information and partnerships,
31.26among other resources, to help students and their families successfully develop, pursue,
31.27review, and revise an individualized plan for postsecondary education or a career. This
31.28process must help increase students' engagement in and connection to school, improve
31.29students' knowledge and skills, and deepen students' understanding of career pathways as
31.30a sequence of academic and career courses that lead to an industry-recognized credential,
31.31an associate's degree, or a bachelor's degree and are available to all students, whatever their
31.32interests and career goals.
31.33(h) A student who demonstrates attainment of required state academic standards, which
31.34include career and college readiness benchmarks, on high school assessments under
31.35subdivision 1a is academically ready for a career or college and is encouraged to participate
32.1in courses awarding college credit to high school students. Such courses and programs may
32.2include sequential courses of study within broad career areas and technical skill assessments
32.3that extend beyond course grades.
32.4(i) As appropriate, students through grade 12 must continue to participate in targeted
32.5instruction, intervention, or remediation and be encouraged to participate in courses awarding
32.6college credit to high school students.
32.7    (j) In developing, supporting, and improving students' academic readiness for a career
32.8or college, schools, districts, and the state must have a continuum of empirically derived,
32.9clearly defined benchmarks focused on students' attainment of knowledge and skills so that
32.10students, their parents, and teachers know how well students must perform to have a
32.11reasonable chance to succeed in a career or college without need for postsecondary
32.12remediation. The commissioner, in consultation with local school officials and educators,
32.13and Minnesota's public postsecondary institutions must ensure that the foundational
32.14knowledge and skills for students' successful performance in postsecondary employment
32.15or education and an articulated series of possible targeted interventions are clearly identified
32.16and satisfy Minnesota's postsecondary admissions requirements.
32.17    (k) For students in grade 8 in the 2012-2013 school year and later, a school, district, or
32.18charter school must record on the high school transcript a student's progress toward career
32.19and college readiness, and for other students as soon as practicable.
32.20    (l) The school board granting students their diplomas may formally decide to include a
32.21notation of high achievement on the high school diplomas of those graduating seniors who,
32.22according to established school board criteria, demonstrate exemplary academic achievement
32.23during high school.
32.24(m) The 3rd through 8th grade computer-adaptive assessment results and high school
32.25test results shall be available to districts for diagnostic purposes affecting student learning
32.26and district instruction and curriculum, and for establishing educational accountability. The
32.27commissioner must establish empirically derived benchmarks on adaptive assessments in
32.28grades 3 through 8. The commissioner, in consultation with the chancellor of the Minnesota
32.29State Colleges and Universities, must establish empirically derived benchmarks on the high
32.30school tests that reveal a trajectory toward career and college readiness consistent with
32.31section 136F.302, subdivision 1a. The commissioner must disseminate to the public the
32.32computer-adaptive assessments and high school test results upon receiving those results.
32.33    (n) The grades 3 through 8 computer-adaptive assessments and high school tests must
32.34be aligned with state academic standards. The commissioner shall determine the testing
33.1process and the order of administration. The statewide results shall be aggregated at the site
33.2and district level, consistent with subdivision 1a.
33.3    (o) The commissioner shall include the following components in the statewide public
33.4reporting system:
33.5    (1) uniform statewide computer-adaptive assessments of all students in grades 3 through
33.68 and testing at the high school levels that provides appropriate, technically sound
33.7accommodations or alternate assessments;
33.8    (2) educational indicators that can be aggregated and compared across school districts
33.9and across time on a statewide basis, including average daily attendance, high school
33.10graduation rates, and high school drop-out rates by age and grade level;
33.11    (3) state results on the American College Test; and
33.12    (4) state results from participation in the National Assessment of Educational Progress
33.13so that the state can benchmark its performance against the nation and other states, and,
33.14where possible, against other countries, and contribute to the national effort to monitor
33.15achievement.
33.16    (p) For purposes of statewide accountability, "career and college ready" means a high
33.17school graduate has the knowledge, skills, and competencies to successfully pursue a career
33.18pathway, including postsecondary credit leading to a degree, diploma, certificate, or
33.19industry-recognized credential and employment. Students who are career and college ready
33.20are able to successfully complete credit-bearing coursework at a two- or four-year college
33.21or university or other credit-bearing postsecondary program without need for remediation.
33.22    (q) For purposes of statewide accountability, "cultural competence," "cultural
33.23competency," or "culturally competent" means the ability and will of families and educators
33.24to interact effectively with people of different cultures, native languages, and socioeconomic
33.25backgrounds.

33.26    Sec. 16. Minnesota Statutes 2016, section 120B.31, is amended by adding a subdivision
33.27to read:
33.28    Subd. 3a. Rollout sites; report. The commissioner of education shall designate up to
33.29six school districts or charter schools as rollout sites.
33.30(a) The rollout sites should represent urban school districts, suburban school districts,
33.31nonurban school districts, and charter schools. The commissioner shall designate rollout
34.1sites and notify the schools by August 1, 2017, and the designated school districts or charter
34.2schools shall have the right to opt-out or opt-in as rollout sites by September 1, 2017.
34.3(b) The commissioner must consult stakeholders and review the American Community
34.4Survey to develop recommendations for best practices for disaggregated data. Stakeholders
34.5consulted under this paragraph include at least:
34.6(1) the rollout sites;
34.7(2) parent groups; and
34.8(3) community representatives.
34.9(c) The commissioner shall report to the legislative committees having jurisdiction over
34.10kindergarten through grade 12 education policy and finance by February 1, 2018. The
34.11commissioner may research best practices from other states that have disaggregated data
34.12beyond the requirements of the most recent reauthorization of the Elementary and Secondary
34.13Education Act. The commissioner must consult with the stakeholders on how to measure
34.14a student's background as an immigrant or a refugee and provide a recommendation in the
34.15report on how to include the data in the statewide rollout. The recommendations may address:
34.16(1) the most meaningful use of disaggregated data, including but not limited to which
34.17reports should include further disaggregated data;
34.18(2) collection of additional student characteristics, including but not limited to ensuring
34.19enhanced enrollment forms:
34.20(i) provide context and the objective of additional data;
34.21(ii) are designed to convey respect and acknowledgment of the sensitive nature of the
34.22additional data; and
34.23(iii) are designed to collect data consistent with user feedback;
34.24(3) efficient data-reporting approaches when reporting additional information to the
34.25department;
34.26(4) the frequency by which districts and schools must update enrollment forms to meet
34.27the needs of the state's changing racial and ethnic demographics; and
34.28(5) the criteria for determining additional data. This recommendation should include a
34.29recommendation for frequency of reviews and updates of the additional data and should
34.30also identify the approach of updating any additional census data and data on new enrollees.
34.31This recommendation must consider additional student groups that may face education
35.1disparities and must take into account maintaining student privacy and providing
35.2nonidentifiable student level data.
35.3EFFECTIVE DATE.This section is effective for the 2018-2019 school year and later.

35.4    Sec. 17. Minnesota Statutes 2016, section 120B.31, subdivision 4, is amended to read:
35.5    Subd. 4. Student performance data. In developing policies and assessment processes
35.6to hold schools and districts accountable for high levels of academic standards under section
35.7120B.021 , the commissioner shall aggregate and disaggregate student data over time to
35.8report summary student performance and growth levels and, under section 120B.11,
35.9subdivision 2 , clause (2), student learning and outcome data measured at the school, school
35.10district, and statewide level. The commissioner shall use the student categories identified
35.11under the federal Elementary and Secondary Education Act, as most recently reauthorized,
35.12and student categories of:
35.13(1) homelessness,;
35.14(2) ethnicity, under section 120B.35, subdivision 3, paragraph (a), clause (2);
35.15(3) race, under section 120B.35, subdivision 3, paragraph (a), clause (2);
35.16(4) home language, immigrant, refugee status,;
35.17(5) English learners under section 124D.59,;
35.18(6) free or reduced-price lunch,; and
35.19(7) other categories designated by federal law to organize and report the data so that
35.20state and local policy makers can understand the educational implications of changes in
35.21districts' demographic profiles over time as data are available.
35.22Any report the commissioner disseminates containing summary data on student performance
35.23must integrate student performance and the demographic factors that strongly correlate with
35.24that performance.
35.25EFFECTIVE DATE.This section is effective for the 2019-2020 school year and later.

35.26    Sec. 18. Minnesota Statutes 2016, section 120B.35, subdivision 3, is amended to read:
35.27    Subd. 3. State growth target; other state measures. (a)(1) The state's educational
35.28assessment system measuring individual students' educational growth is based on indicators
35.29of achievement growth that show an individual student's prior achievement. Indicators of
36.1achievement and prior achievement must be based on highly reliable statewide or districtwide
36.2assessments.
36.3(2) For purposes of paragraphs (b), (c), and (d), the commissioner must analyze and
36.4report separate categories of information using the student categories identified under the
36.5federal Elementary and Secondary Education Act, as most recently reauthorized, and, in
36.6addition to "other" for each race and ethnicity, and the Karen community, other student
36.7categories as determined by the total Minnesota population at or above the 1,000-person
36.8threshold based on the most recent decennial census, including ethnicity; race; refugee status
36.9seven of the most populous Asian and Pacific Islander groups, three of the most populous
36.10Native groups, seven of the most populous Hispanic/Latino groups, and five of the most
36.11populous Black and African Heritage groups as determined by the total Minnesota population
36.12based on the most recent American Community Survey; English learners under section
36.13124D.59 ; home language; free or reduced-price lunch; immigrant; and all students enrolled
36.14in a Minnesota public school who are currently or were previously in foster care, except
36.15that such disaggregation and cross tabulation is not required if the number of students in a
36.16category is insufficient to yield statistically reliable information or the results would reveal
36.17personally identifiable information about an individual student.
36.18(b) The commissioner, in consultation with a stakeholder group that includes assessment
36.19and evaluation directors, district staff, experts in culturally responsive teaching, and
36.20researchers, must implement a model that uses a value-added growth indicator and includes
36.21criteria for identifying schools and school districts that demonstrate medium and high growth
36.22under section 120B.299, subdivisions 8 and 9, and may recommend other value-added
36.23measures under section 120B.299, subdivision 3. The model may be used to advance
36.24educators' professional development and replicate programs that succeed in meeting students'
36.25diverse learning needs. Data on individual teachers generated under the model are personnel
36.26data under section 13.43. The model must allow users to:
36.27(1) report student growth consistent with this paragraph; and
36.28(2) for all student categories, report and compare aggregated and disaggregated state
36.29student growth and, under section 120B.11, subdivision 2, clause (2), student learning and
36.30outcome data using the student categories identified under the federal Elementary and
36.31Secondary Education Act, as most recently reauthorized, and other student categories under
36.32paragraph (a), clause (2).
36.33The commissioner must report measures of student growth and, under section 120B.11,
36.34subdivision 2 , clause (2), student learning and outcome data, consistent with this paragraph,
37.1including the English language development, academic progress, and oral academic
37.2development of English learners and their native language development if the native language
37.3is used as a language of instruction, and include data on all pupils enrolled in a Minnesota
37.4public school course or program who are currently or were previously counted as an English
37.5learner under section 124D.59.
37.6(c) When reporting student performance under section 120B.36, subdivision 1, the
37.7commissioner annually, beginning July 1, 2011, must report two core measures indicating
37.8the extent to which current high school graduates are being prepared for postsecondary
37.9academic and career opportunities:
37.10(1) a preparation measure indicating the number and percentage of high school graduates
37.11in the most recent school year who completed course work important to preparing them for
37.12postsecondary academic and career opportunities, consistent with the core academic subjects
37.13required for admission to Minnesota's public colleges and universities as determined by the
37.14Office of Higher Education under chapter 136A; and
37.15(2) a rigorous coursework measure indicating the number and percentage of high school
37.16graduates in the most recent school year who successfully completed one or more
37.17college-level advanced placement, international baccalaureate, postsecondary enrollment
37.18options including concurrent enrollment, other rigorous courses of study under section
37.19120B.021, subdivision 1a , or industry certification courses or programs.
37.20When reporting the core measures under clauses (1) and (2), the commissioner must also
37.21analyze and report separate categories of information using the student categories identified
37.22under the federal Elementary and Secondary Education Act, as most recently reauthorized,
37.23and other student categories under paragraph (a), clause (2).
37.24(d) When reporting student performance under section 120B.36, subdivision 1, the
37.25commissioner annually, beginning July 1, 2014, must report summary data on school safety
37.26and students' engagement and connection at school, consistent with the student categories
37.27identified under paragraph (a), clause (2). The summary data under this paragraph are
37.28separate from and must not be used for any purpose related to measuring or evaluating the
37.29performance of classroom teachers. The commissioner, in consultation with qualified experts
37.30on student engagement and connection and classroom teachers, must identify highly reliable
37.31variables that generate summary data under this paragraph. The summary data may be used
37.32at school, district, and state levels only. Any data on individuals received, collected, or
37.33created that are used to generate the summary data under this paragraph are nonpublic data
37.34under section 13.02, subdivision 9.
38.1(e) For purposes of statewide educational accountability, the commissioner must identify
38.2and report measures that demonstrate the success of learning year program providers under
38.3sections 123A.05 and 124D.68, among other such providers, in improving students'
38.4graduation outcomes. The commissioner, beginning July 1, 2015, must annually report
38.5summary data on:
38.6(1) the four- and six-year graduation rates of students under this paragraph;
38.7(2) the percent of students under this paragraph whose progress and performance levels
38.8are meeting career and college readiness benchmarks under section 120B.30, subdivision
38.91; and
38.10(3) the success that learning year program providers experience in:
38.11(i) identifying at-risk and off-track student populations by grade;
38.12(ii) providing successful prevention and intervention strategies for at-risk students;
38.13(iii) providing successful recuperative and recovery or reenrollment strategies for off-track
38.14students; and
38.15(iv) improving the graduation outcomes of at-risk and off-track students.
38.16The commissioner may include in the annual report summary data on other education
38.17providers serving a majority of students eligible to participate in a learning year program.
38.18(f) The commissioner, in consultation with recognized experts with knowledge and
38.19experience in assessing the language proficiency and academic performance of all English
38.20learners enrolled in a Minnesota public school course or program who are currently or were
38.21previously counted as an English learner under section 124D.59, must identify and report
38.22appropriate and effective measures to improve current categories of language difficulty and
38.23assessments, and monitor and report data on students' English proficiency levels, program
38.24placement, and academic language development, including oral academic language.
38.25(g) When reporting four- and six-year graduation rates, the commissioner or school
38.26district must disaggregate the data by student categories according to paragraph (a), clause
38.27(2).
38.28(h) A school district must inform parents and guardians that volunteering information
38.29on student categories not required by the most recent reauthorization of the Elementary and
38.30Secondary Education Act is optional and will not violate the privacy of students or their
38.31families, parents, or guardians. The notice must state the purpose for collecting the student
38.32data.
39.1EFFECTIVE DATE.This section is effective for the 2018-2019 school year and later
39.2for rollout sites under Minnesota Statutes, section 120B.31, subdivision 3a. This section is
39.3effective for the 2019-2020 school year and later for all other schools.

39.4    Sec. 19. Minnesota Statutes 2016, section 120B.36, subdivision 1, is amended to read:
39.5    Subdivision 1. School performance reports and public reporting. (a) The commissioner
39.6shall report student academic performance data under section 120B.35, subdivisions 2 and
39.73; the percentages of students showing low, medium, and high growth under section 120B.35,
39.8subdivision 3 , paragraph (b); school safety and student engagement and connection under
39.9section 120B.35, subdivision 3, paragraph (d); rigorous coursework under section 120B.35,
39.10subdivision 3 , paragraph (c); the percentage of students under section 120B.35, subdivision
39.113 , paragraph (b), clause (2), whose progress and performance levels are meeting career and
39.12college readiness benchmarks under sections 120B.30, subdivision 1, and 120B.35,
39.13subdivision 3 , paragraph (e); longitudinal data on the progress of eligible districts in reducing
39.14disparities in students' academic achievement and realizing racial and economic integration
39.15under section 124D.861; the acquisition of English, and where practicable, native language
39.16academic literacy, including oral academic language, and the academic progress of all
39.17English learners enrolled in a Minnesota public school course or program who are currently
39.18or were previously counted as English learners under section 124D.59; two separate
39.19student-to-teacher ratios that clearly indicate the definition of teacher consistent with sections
39.20122A.06 and 122A.15 for purposes of determining these ratios; staff characteristics excluding
39.21salaries; student enrollment demographics; foster care status, including all students enrolled
39.22in a Minnesota public school course or program who are currently or were previously in
39.23foster care, student homelessness, and district mobility; and extracurricular activities. The
39.24report also must indicate a school's status under applicable federal law.
39.25    (b) The school performance report for a school site and a school district must include
39.26school performance reporting information and calculate proficiency rates as required by the
39.27most recently reauthorized Elementary and Secondary Education Act.
39.28    (c) The commissioner shall develop, annually update, and post on the department Web
39.29site school performance reports consistent with paragraph (a) and section 120B.11.
39.30    (c) (d) The commissioner must make available performance reports by the beginning of
39.31each school year.
39.32    (d) (e) A school or district may appeal its results in a form and manner determined by
39.33the commissioner and consistent with federal law. The commissioner's decision to uphold
39.34or deny an appeal is final.
40.1    (e) (f) School performance data are nonpublic data under section 13.02, subdivision 9,
40.2until the commissioner publicly releases the data. The commissioner shall annually post
40.3school performance reports to the department's public Web site no later than September 1,
40.4except that in years when the reports reflect new performance standards, the commissioner
40.5shall post the school performance reports no later than October 1.
40.6EFFECTIVE DATE.This section is effective for the 2017-2018 school year and later.

40.7    Sec. 20. Minnesota Statutes 2016, section 122A.40, subdivision 10, is amended to read:
40.8    Subd. 10. Negotiated unrequested leave of absence. The school board and the exclusive
40.9bargaining representative of the teachers may must negotiate a plan providing for unrequested
40.10leave of absence without pay or fringe benefits for as many teachers as may be necessary
40.11because of discontinuance of position, lack of pupils, financial limitations, or merger of
40.12classes caused by consolidation of districts. Failing to successfully negotiate such a plan,
40.13the provisions of subdivision 11 shall apply. The negotiated plan must not include provisions
40.14which would result in the exercise of seniority by a teacher holding a provisional license,
40.15other than a vocational education license, contrary to the provisions of subdivision 11,
40.16paragraph (c), or the reinstatement of a teacher holding a provisional license, other than a
40.17vocational education license, contrary to the provisions of subdivision 11, paragraph (e).
40.18The provisions of section 179A.16 do not apply for the purposes of this subdivision.
40.19EFFECTIVE DATE.This section is effective July 1, 2018.

40.20    Sec. 21. Minnesota Statutes 2016, section 122A.41, is amended by adding a subdivision
40.21to read:
40.22    Subd. 14a. Negotiated unrequested leave of absence. The school board and the exclusive
40.23bargaining representative of the teachers must negotiate a plan providing for unrequested
40.24leave of absence without pay or fringe benefits for as many teachers as may be necessary
40.25because of discontinuance of position, lack of pupils, financial limitations, or merger of
40.26classes caused by consolidation of districts.
40.27EFFECTIVE DATE.This section is effective July 1, 2018.

40.28    Sec. 22. Minnesota Statutes 2016, section 122A.414, subdivision 2, is amended to read:
40.29    Subd. 2. Alternative teacher professional pay system. (a) To participate in this program,
40.30a school district, an intermediate school district consistent with paragraph (d), a school site,
40.31or a charter school must have a world's best workforce plan under section 120B.11 and an
41.1alternative teacher professional pay system agreement under paragraph (b). A charter school
41.2participant also must comply with subdivision 2a.
41.3    (b) The alternative teacher professional pay system agreement must:
41.4    (1) describe how teachers can achieve career advancement and additional compensation;
41.5    (2) describe how the school district, intermediate school district, school site, or charter
41.6school will provide teachers with career advancement options that allow teachers to retain
41.7primary roles in student instruction and facilitate site-focused professional development
41.8that helps other teachers improve their skills;
41.9    (3) reform the "steps and lanes" salary schedule, prevent any teacher's compensation
41.10paid before implementing the pay system from being reduced as a result of participating in
41.11this system, base at least 60 percent of any compensation increase on teacher performance
41.12using:
41.13    (i) schoolwide student achievement gains under section 120B.35 or locally selected
41.14standardized assessment outcomes, or both;
41.15    (ii) measures of student growth and literacy that may include value-added models or
41.16student learning goals, consistent with section 122A.40, subdivision 8, paragraph (b), clause
41.17(9), or 122A.41, subdivision 5, paragraph (b), clause (9), and other measures that include
41.18the academic literacy, oral academic language, and achievement of English learners under
41.19section 122A.40, subdivision 8, paragraph (b), clause (10), or 122A.41, subdivision 5,
41.20paragraph (b), clause (10); and
41.21    (iii) an objective evaluation program under section 122A.40, subdivision 8, paragraph
41.22(b), clause (2), or 122A.41, subdivision 5, paragraph (b), clause (2);
41.23    (4) provide for participation in job-embedded learning opportunities such as professional
41.24learning communities to improve instructional skills and learning that are aligned with
41.25student needs under section 120B.11, consistent with the staff development plan under
41.26section 122A.60 and led during the school day by trained teacher leaders such as master or
41.27mentor teachers;
41.28    (5) allow any teacher in a participating school district, intermediate school district, school
41.29site, or charter school that implements an alternative pay system to participate in that system
41.30without any quota or other limit; and
41.31    (6) encourage collaboration rather than competition among teachers.
41.32(c) The alternative teacher professional pay system may:
42.1    (1) include a hiring bonus or other added compensation for to provide students with
42.2equitable access to teachers who, consistent with section 120B.11, subdivision 2, clause
42.3(3):
42.4    (i) are identified as effective or highly effective under the local teacher professional
42.5review cycle and or, when being considered for hire as first-year teachers, have demonstrated
42.6skills during student teaching for being highly effective at closing achievement gaps;
42.7    (ii) work in a high-need or hard-to-fill position; or
42.8    (iii) are hired to work in a hard-to-staff school such as a school with a majority of students
42.9whose families meet federal poverty guidelines, a geographically isolated school, or a school
42.10identified by the state as eligible for targeted programs or services for its students; and
42.11    (2) include incentives for teachers to obtain a master's degree or other advanced
42.12certification with at least 18 credits in their content field of licensure required for teaching
42.13concurrent enrollment or college in the schools courses, or to pursue the training or education
42.14necessary to obtain an additional licensure in shortage areas identified by the district or
42.15charter school,; or
42.16    (3) help fund a "grow your own" Grow Your Own new teacher initiative involving
42.17nonlicensed educational professionals, including paraprofessionals and cultural liaisons.
42.18    (d) An intermediate school district under this subdivision must demonstrate in a form
42.19and manner determined by the commissioner that it uses the aid it receives under this section
42.20for activities identified in the alternative teacher professional pay system agreement.

42.21    Sec. 23. Minnesota Statutes 2016, section 122A.415, subdivision 4, is amended to read:
42.22    Subd. 4. Basic alternative teacher compensation aid. (a) The basic alternative teacher
42.23compensation aid for a school with a plan approved under section 122A.414, subdivision
42.242b , equals 65 percent of the alternative teacher compensation revenue under subdivision 1.
42.25The basic alternative teacher compensation aid for a charter school with a plan approved
42.26under section 122A.414, subdivisions 2a and 2b, equals $260 times the number of pupils
42.27enrolled in the school on October 1 of the previous year, or on October 1 of the current year
42.28for a charter school in the first year of operation, times the ratio of the sum of the alternative
42.29teacher compensation aid and alternative teacher compensation levy for all participating
42.30school districts to the maximum alternative teacher compensation revenue for those districts
42.31under subdivision 1.
42.32(b) Notwithstanding paragraph (a) and subdivision 1, the state total basic alternative
42.33teacher compensation aid entitlement must not exceed $75,840,000 for fiscal year 2016 and
43.1$88,118,000 for fiscal year 2017 and later. The commissioner must limit the amount of
43.2alternative teacher compensation aid approved under this section so as not to exceed these
43.3limits by not approving new participants or by prorating the aid among participating districts,
43.4intermediate school districts, school sites, and charter schools. The commissioner may also
43.5reallocate a portion of the allowable aid for the biennium from the second year to the first
43.6year to meet the needs of approved participants.
43.7(c) Basic alternative teacher compensation aid for an intermediate district or other
43.8cooperative unit equals $3,000 times the number of licensed teachers employed by the
43.9intermediate district or cooperative unit on October 1 of the previous school year.

43.10    Sec. 24. [122A.417] ALTERNATIVE TEACHER COMPENSATION REVENUE
43.11FOR ST. CROIX RIVER EDUCATION DISTRICT.
43.12Notwithstanding section 122A.415, subdivision 4, paragraph (c), the St. Croix River
43.13Education District, No. 6009-61, is eligible to receive alternative teacher compensation
43.14revenue based on its staffing as of October 1 of the previous fiscal year as reported to the
43.15department in a manner determined by the commissioner. To qualify for alternative teacher
43.16compensation revenue, the St. Croix River Education District must meet all the requirements
43.17of sections 122A.414 and 122A.415 that apply to cooperative units, must report its staffing
43.18as of October 1 of each year to the department in a manner determined by the commissioner,
43.19and must annually report to the department by November 30 its expenditures for the
43.20alternative teacher professional pay system consistent with the uniform financial accounting
43.21and reporting standards.

43.22    Sec. 25. [122A.627] POSITIVE BEHAVIORAL INTERVENTIONS AND SUPPORTS.
43.23"Positive behavioral interventions and supports" or "PBIS" means an evidence-based
43.24framework for preventing problem behavior, providing instruction and support for positive
43.25and prosocial behaviors, and supporting social, emotional, and behavioral needs for all
43.26students. Schoolwide implementation of PBIS requires training, coaching, and evaluation
43.27for school staff to consistently implement the key components that make PBIS effective for
43.28all students, including:
43.29(1) establishing, defining, teaching, and practicing three to five positively stated
43.30schoolwide behavioral expectations that are representative of the local community and
43.31cultures;
43.32(2) developing and implementing a consistent system used by all staff to provide positive
43.33feedback and acknowledgment for students who display schoolwide behavioral expectations;
44.1(3) developing and implementing a consistent and specialized support system for students
44.2who do not display behaviors representative of schoolwide positive expectations;
44.3(4) developing a system to support decisions based on data related to student progress,
44.4effective implementation of behavioral practices, and screening for students requiring
44.5additional behavior supports;
44.6(5) using a continuum of evidence-based interventions that is integrated and aligned to
44.7support academic and behavioral success for all students; and
44.8(6) using a team-based approach to support effective implementation, monitor progress,
44.9and evaluate outcomes.
44.10Consistent with section 120B.232, subdivision 1, character education curriculum and
44.11programs may be used to support implementation of the key components of PBIS.

44.12    Sec. 26. Minnesota Statutes 2016, section 124D.03, subdivision 5a, is amended to read:
44.13    Subd. 5a. Lotteries. If a school district has more applications than available seats at a
44.14specific grade level, it must hold an impartial lottery following the January 15 deadline to
44.15determine which students will receive seats. The district must give priority to enrolling
44.16siblings of currently enrolled students, students whose applications are related to an approved
44.17integration and achievement plan, and children of the school district's staff must receive
44.18priority in the lottery., and students residing in that part of a municipality, defined under
44.19section 469.1812, subdivision 3, where:
44.20(1) the student's resident district does not operate a school building;
44.21(2) the municipality is located partially or fully within the boundaries of at least five
44.22school districts;
44.23(3) the nonresident district in which the student seeks to enroll operates one or more
44.24school buildings within the municipality; and
44.25(4) no other nonresident, independent, special or common school district operates a
44.26school building within the municipality.
44.27The process for the school district lottery must be established in school district policy,
44.28approved by the school board, and posted on the school district's Web site.
44.29EFFECTIVE DATE.This section is effective for lotteries conducted beginning July
44.301, 2017.

45.1    Sec. 27. Minnesota Statutes 2016, section 124D.09, subdivision 3, is amended to read:
45.2    Subd. 3. Definitions. For purposes of this section, the following terms have the meanings
45.3given to them.
45.4(a) "Eligible institution" means a Minnesota public postsecondary institution, a private,
45.5nonprofit two-year trade and technical school granting associate degrees, an opportunities
45.6industrialization center accredited by the North Central Association of Colleges and Schools,
45.7or a private, residential, two-year or four-year, liberal arts, degree-granting college or
45.8university located in Minnesota.
45.9(b) "Course" means a course or program.
45.10(c) "Concurrent enrollment" means nonsectarian courses in which an eligible pupil under
45.11subdivision 5 or 5b enrolls to earn both secondary and postsecondary credits, are taught by
45.12a secondary teacher or a postsecondary faculty member, and are offered at a high school
45.13for which the district is eligible to receive concurrent enrollment program aid under section
45.14124D.091.

45.15    Sec. 28. Minnesota Statutes 2016, section 124D.09, subdivision 5, is amended to read:
45.16    Subd. 5. Authorization; notification. Notwithstanding any other law to the contrary,
45.17an 11th or 12th grade pupil enrolled in a school or an American Indian-controlled tribal
45.18contract or grant school eligible for aid under section 124D.83, except a foreign exchange
45.19pupil enrolled in a district under a cultural exchange program, may apply to an eligible
45.20institution, as defined in subdivision 3, to enroll in nonsectarian courses offered by that
45.21postsecondary institution. Notwithstanding any other law to the contrary, a 9th or 10th grade
45.22pupil enrolled in a district or an American Indian-controlled tribal contract or grant school
45.23eligible for aid under section 124D.83, except a foreign exchange pupil enrolled in a district
45.24under a cultural exchange program, may apply to enroll in nonsectarian courses offered
45.25under subdivision 10, if (1) the school district and the eligible postsecondary institution
45.26providing the course agree to the student's enrollment or (2) the course is a world language
45.27course currently available to 11th and 12th grade students, and consistent with section
45.28120B.022 governing world language standards, certificates, and seals. If an institution
45.29accepts a secondary pupil for enrollment under this section, the institution shall send written
45.30notice to the pupil, the pupil's school or school district, and the commissioner within ten
45.31days of acceptance. The notice must indicate the course and hours of enrollment of that
45.32pupil. If the pupil enrolls in a course for postsecondary credit, the institution must notify
45.33the pupil about payment in the customary manner used by the institution.

46.1    Sec. 29. Minnesota Statutes 2016, section 124D.09, is amended by adding a subdivision
46.2to read:
46.3    Subd. 5b. Authorization; 9th or 10th grade pupil. Notwithstanding any other law to
46.4the contrary, a 9th or 10th grade pupil enrolled in a district or an American Indian-controlled
46.5tribal contract or grant school eligible for aid under section 124D.83, except a foreign
46.6exchange pupil enrolled in a district under a cultural exchange program, may apply to enroll
46.7in nonsectarian courses offered under subdivision 10, if:
46.8(1) the school district and the eligible postsecondary institution providing the course
46.9agree to the student's enrollment; or
46.10(2) the course is a world language course currently available to 11th and 12th grade
46.11students, and consistent with section 120B.022 governing world language standards,
46.12certificates, and seals.

46.13    Sec. 30. Minnesota Statutes 2016, section 124D.09, subdivision 10, is amended to read:
46.14    Subd. 10. Courses according to agreements. (a) An eligible pupil, according to
46.15subdivision 5, may enroll in a nonsectarian course taught by a secondary teacher or a
46.16postsecondary faculty member and offered at a secondary school, or another location,
46.17according to an agreement between a public school board and the governing body of an
46.18eligible public postsecondary system or an eligible private postsecondary institution, as
46.19defined in subdivision 3. All provisions of this section shall apply to a pupil, public school
46.20board, district, and the governing body of a postsecondary institution, except as otherwise
46.21provided.
46.22(b) To encourage students, especially American Indian students and students of color,
46.23to consider teaching as a profession, participating schools, school districts, and postsecondary
46.24institutions are encouraged to develop and offer an "Introduction to Teaching" or
46.25"Introduction to Education" course under this subdivision. An institution that receives a
46.26grant to develop a course under this paragraph must annually report to the commissioner
46.27in a form and manner determined by the commissioner on the participation rates of students
46.28in courses under this paragraph, including the number of students who apply for admission
46.29to colleges or universities with teacher preparation programs.

47.1    Sec. 31. Minnesota Statutes 2016, section 124D.09, is amended by adding a subdivision
47.2to read:
47.3    Subd. 11a. Access to building and technology. (a) A school district must allow a student
47.4enrolled in a course under this section to remain at the school site during regular school
47.5hours.
47.6(b) A school district must adopt a policy that provides a student enrolled in a course
47.7under this section with reasonable access during regular school hours to a computer and
47.8other technology resources that the student needs to complete coursework for a postsecondary
47.9enrollment course.

47.10    Sec. 32. Minnesota Statutes 2016, section 124D.09, subdivision 12, is amended to read:
47.11    Subd. 12. Credits; grade point average weighting policy. (a) A pupil must not audit
47.12a course under this section.
47.13(b) A district shall grant academic credit to a pupil enrolled in a course for secondary
47.14credit if the pupil successfully completes the course. Seven quarter or four semester college
47.15credits equal at least one full year of high school credit. Fewer college credits may be
47.16prorated. A district must also grant academic credit to a pupil enrolled in a course for
47.17postsecondary credit if secondary credit is requested by a pupil. If no comparable course is
47.18offered by the district, the district must, as soon as possible, notify the commissioner, who
47.19shall determine the number of credits that shall be granted to a pupil who successfully
47.20completes a course. If a comparable course is offered by the district, the school board shall
47.21grant a comparable number of credits to the pupil. If there is a dispute between the district
47.22and the pupil regarding the number of credits granted for a particular course, the pupil may
47.23appeal the board's decision to the commissioner. The commissioner's decision regarding
47.24the number of credits shall be final.
47.25(c) A school board must adopt a policy regarding weighted grade point averages for any
47.26high school or dual enrollment course. The policy must state whether the district offers
47.27weighted grades. A school board must annually publish on its Web site a list of courses for
47.28which a student may earn a weighted grade.
47.29(d) The secondary credits granted to a pupil must be counted toward the graduation
47.30requirements and subject area requirements of the district. Evidence of successful completion
47.31of each course and secondary credits granted must be included in the pupil's secondary
47.32school record. A pupil shall provide the school with a copy of the pupil's grade in each
47.33course taken for secondary credit under this section. Upon the request of a pupil, the pupil's
48.1secondary school record must also include evidence of successful completion and credits
48.2granted for a course taken for postsecondary credit. In either case, the record must indicate
48.3that the credits were earned at a postsecondary institution.
48.4(e) If a pupil enrolls in a postsecondary institution after leaving secondary school, the
48.5postsecondary institution must award postsecondary credit for any course successfully
48.6completed for secondary credit at that institution. Other postsecondary institutions may
48.7award, after a pupil leaves secondary school, postsecondary credit for any courses
48.8successfully completed under this section. An institution may not charge a pupil for the
48.9award of credit.
48.10(f) The Board of Trustees of the Minnesota State Colleges and Universities and the
48.11Board of Regents of the University of Minnesota must, and private nonprofit and proprietary
48.12postsecondary institutions should, award postsecondary credit for any successfully completed
48.13courses in a program certified by the National Alliance of Concurrent Enrollment Partnerships
48.14offered according to an agreement under subdivision 10. Consistent with section 135A.101,
48.15subdivision 3 , all MnSCU institutions must give full credit to a secondary pupil who
48.16completes for postsecondary credit a postsecondary course or program that is part or all of
48.17a goal area or a transfer curriculum at a MnSCU institution when the pupil enrolls in a
48.18MnSCU institution after leaving secondary school. Once one MnSCU institution certifies
48.19as completed a secondary student's postsecondary course or program that is part or all of a
48.20goal area or a transfer curriculum, every MnSCU institution must consider the student's
48.21course or program for that goal area or the transfer curriculum as completed.

48.22    Sec. 33. Minnesota Statutes 2016, section 124D.09, subdivision 13, is amended to read:
48.23    Subd. 13. Financial arrangements. For a pupil enrolled in a course under this section,
48.24the department must make payments according to this subdivision for courses that were
48.25taken for secondary credit.
48.26The department must not make payments to a school district or postsecondary institution
48.27for a course taken for postsecondary credit only. The department must not make payments
48.28to a postsecondary institution for a course from which a student officially withdraws during
48.29the first 14 days of the quarter or semester or who has been absent from the postsecondary
48.30institution for the first 15 consecutive school days of the quarter or semester and is not
48.31receiving instruction in the home or hospital.
48.32A postsecondary institution shall receive the following:
49.1(1) for an institution granting quarter credit, the reimbursement per credit hour shall be
49.2an amount equal to 88 percent of the product of the formula allowance minus $425, multiplied
49.3by 1.2, and divided by 45; or
49.4(2) for an institution granting semester credit, the reimbursement per credit hour shall
49.5be an amount equal to 88 percent of the product of the general revenue formula allowance
49.6minus $425, multiplied by 1.2, and divided by 30.
49.7The department must pay to each postsecondary institution 100 percent of the amount
49.8in clause (1) or (2) within 30 45 days of receiving initial enrollment information each quarter
49.9or semester. If changes in enrollment occur during a quarter or semester, the change shall
49.10be reported by the postsecondary institution at the time the enrollment information for the
49.11succeeding quarter or semester is submitted. At any time the department notifies a
49.12postsecondary institution that an overpayment has been made, the institution shall promptly
49.13remit the amount due.

49.14    Sec. 34. [124D.4535] INNOVATIVE DELIVERY OF CAREER AND TECHNICAL
49.15EDUCATION PROGRAMS; SHARING OF DISTRICT RESOURCES.
49.16    Subdivision 1. Establishment; requirements for participation. (a) A program is
49.17established to improve student, career and college readiness, and school outcomes by
49.18allowing groups of school districts to work together in partnership with local and regional
49.19postsecondary institutions and programs, community institutions, and other private, public,
49.20for-profit, and nonprofit workplace partners, to:
49.21(1) provide innovative education programs and activities that integrate core academic
49.22and career and technical subjects in students' programs of study through coordinated
49.23secondary and postsecondary career and technical programs leading to an industry
49.24certification or other credential;
49.25(2) provide embedded professional development for program participants;
49.26(3) use performance assessments in authentic settings to measure students' technical
49.27skills and progress toward attaining an industry certification or other credential; and
49.28(4) efficiently share district, institution, and workplace resources.
49.29(b) To participate in this program to improve student, career and college readiness, and
49.30school outcomes, a group of two or more school districts must collaborate with school staff
49.31and project partners and receive formal school board approval to form a partnership. The
49.32partnership must develop a plan to provide challenging programmatic options for students
49.33under paragraph (a); create professional development opportunities for educators and other
50.1program participants; increase student engagement and connection and challenging learning
50.2opportunities for diverse populations of students that are focused on employability skills
50.3and technical, job-specific skills related to a specific career pathway; or demonstrate
50.4efficiencies in delivering financial and other services needed to realize plan goals and
50.5objectives. The plan must include:
50.6(1) collaborative education goals and objectives;
50.7(2) strategies and processes to implement those goals and objectives, including a budget
50.8process with periodic expenditure reviews;
50.9(3) valid and reliable measures including performance assessments in authentic settings
50.10and progress toward attaining an industry certification or other credential, among other
50.11measures, to evaluate progress in realizing plan goals and objectives;
50.12(4) an implementation timeline; and
50.13(5) other applicable conditions, regulations, responsibilities, duties, provisions, fee
50.14schedules, and legal considerations needed to fully implement the plan.
50.15A partnership may invite additional districts or other participants under paragraph (a) to
50.16join the partnership after notifying the commissioner.
50.17(c) A partnership of interested districts must submit an application to the commissioner
50.18of education in the form and manner the commissioner determines, consistent with the
50.19requirements of this section. The application must contain the formal approval adopted by
50.20the school board in each district to participate in the plan.
50.21(d) Notwithstanding any other law to the contrary, a participating school district under
50.22this section continues to: receive revenue and maintain its taxation authority; be organized
50.23and governed by an elected school board with general powers under section 123B.02; and
50.24be subject to employment agreements under chapter 122A, and section 179A.20; and district
50.25employees continue to remain employees of the employing school district.
50.26(e) Participating districts must submit a biennial report by February 1 in each
50.27odd-numbered year to the education committees of the legislature and the commissioner of
50.28education that includes performance assessment, high school graduation, and career and
50.29technical certification data to show the success of the partnership in preparing diverse
50.30populations of students for careers and jobs.
50.31    Subd. 2. Commissioner's role. The commissioner of education must convene an advisory
50.32panel to advise the commissioner on applicants' qualifications to participate in this program.
50.33The commissioner must ensure an equitable geographical distribution of program participants
51.1to the extent practicable. The commissioner must select only those applicants that fully
51.2comply with subdivision 1. The commissioner may terminate a program participant that
51.3fails to effectively implement the goals and objectives contained in its application and
51.4according to its stated timeline.
51.5EFFECTIVE DATE.(a) This section is effective the day following final enactment
51.6and applies to those applications submitted after that date.
51.7(b) Districts already approved for an innovation zone pilot project under Laws 2012,
51.8chapter 263, section 1, as amended by Laws 2014, chapter 312, article 15, section 24, may
51.9continue to operate.

51.10    Sec. 35. Minnesota Statutes 2016, section 124D.68, subdivision 2, is amended to read:
51.11    Subd. 2. Eligible pupils. (a) A pupil under the age of 21 or who meets the requirements
51.12of section 120A.20, subdivision 1, paragraph (c), is eligible to participate in the graduation
51.13incentives program, if the pupil:
51.14(1) performs substantially below the performance level for pupils of the same age in a
51.15locally determined achievement test;
51.16(2) is behind in satisfactorily completing coursework or obtaining credits for graduation;
51.17(3) is pregnant or is a parent;
51.18(4) has been assessed as chemically dependent;
51.19(5) has been excluded or expelled according to sections 121A.40 to 121A.56;
51.20(6) has been referred by a school district for enrollment in an eligible program or a
51.21program pursuant to section 124D.69;
51.22(7) is a victim of physical or sexual abuse;
51.23(8) has experienced mental health problems;
51.24(9) has experienced homelessness sometime within six months before requesting a
51.25transfer to an eligible program;
51.26(10) speaks English as a second language or is an English learner; or
51.27(11) has withdrawn from school or has been chronically truant; or
51.28(12) is being treated in a hospital in the seven-county metropolitan area for cancer or
51.29other life threatening illness or is the sibling of an eligible pupil who is being currently
52.1treated, and resides with the pupil's family at least 60 miles beyond the outside boundary
52.2of the seven-county metropolitan area.
52.3(b) For the 2016-2017 school year fiscal years 2017 and 2018 only, a pupil otherwise
52.4qualifying under paragraph (a) who is at least 21 years of age and not yet 22 years of age,
52.5is an English learner with an interrupted formal education according to section 124D.59,
52.6subdivision 2a , and was in an early middle college program during the previous school year
52.7is eligible to participate in the graduation incentives program under section 124D.68 and
52.8in concurrent enrollment courses offered under section 124D.09, subdivision 10, and is
52.9funded in the same manner as other pupils under this section.

52.10    Sec. 36. Minnesota Statutes 2016, section 124D.695, is amended to read:
52.11124D.695 APPROVED RECOVERY PROGRAM FUNDING.
52.12    Subdivision 1. Approved recovery program. "Approved recovery program" means a
52.13course of instruction offered by a recovery school that provides academic services, assistance
52.14with recovery, and continuing care to students recovering from substance abuse or
52.15dependency. A recovery program may be offered in a transitional academic setting designed
52.16to meet graduation requirements. A recovery program must be approved by the commissioner
52.17of education. The commissioner may specify the manner and form of the application for
52.18the approval of a recovery school or recovery program. The commissioner must also approve
52.19any unreimbursed pupil transportation costs incurred by students participating in an approved
52.20recovery program.
52.21    Subd. 2. Eligibility. (a) An approved recovery program is eligible for an annual recovery
52.22program grant of up to $125,000 to pay for a portion of the costs of under this section for
52.23recovery program support staff under this section and approved pupil transportation expenses.
52.24(b) "Recovery program support staff" means licensed alcohol and chemical dependency
52.25counselors, licensed school counselors, licensed school psychologists, licensed school
52.26nurses, and licensed school social workers.
52.27EFFECTIVE DATE.This section is effective the day following final enactment.

52.28    Sec. 37. Minnesota Statutes 2016, section 124E.03, subdivision 2, is amended to read:
52.29    Subd. 2. Certain federal, state, and local requirements. (a) A charter school shall
52.30meet all federal, state, and local health and safety requirements applicable to school districts.
52.31    (b) A school must comply with statewide accountability requirements governing standards
52.32and assessments in chapter 120B.
53.1    (c) A charter school must comply with the Minnesota Public School Fee Law, sections
53.2123B.34 to 123B.39.
53.3    (d) A charter school is a district for the purposes of tort liability under chapter 466.
53.4    (e) A charter school must comply with the Pledge of Allegiance requirement under
53.5section 121A.11, subdivision 3.
53.6    (f) A charter school and charter school board of directors must comply with chapter 181
53.7governing requirements for employment.
53.8    (g) A charter school must comply with continuing truant notification under section
53.9260A.03 .
53.10(h) A charter school must develop and implement a teacher evaluation and peer review
53.11process under section 122A.40, subdivision 8, paragraph (b), clauses (2) to (13), and place
53.12students in classrooms in accordance with section 122A.40, subdivision 8, paragraph (d).
53.13The teacher evaluation process in this paragraph does not create any additional employment
53.14rights for teachers.
53.15(i) A charter school must adopt a policy, plan, budget, and process, consistent with
53.16section 120B.11, to review curriculum, instruction, and student achievement and strive for
53.17the world's best workforce.
53.18(j) A charter school is subject to and must comply with the Pupil Fair Dismissal Act,
53.19sections 121A.40 to 121A.56.

53.20    Sec. 38. Minnesota Statutes 2016, section 124E.05, subdivision 7, is amended to read:
53.21    Subd. 7. Withdrawal. If the governing board of an approved authorizer votes to withdraw
53.22as an approved authorizer for a reason unrelated to any cause under section 124E.10,
53.23subdivision 4 , the authorizer must notify all its chartered schools and the commissioner in
53.24writing by March 1 of its intent to withdraw as an authorizer on June 30 in the next calendar
53.25year, regardless of when the authorizer's five-year term of approval ends. Upon notification
53.26of the schools and commissioner, the authorizer must provide a letter to the school for
53.27distribution to families of students enrolled in the school that explains the decision to
53.28withdraw as an authorizer. The commissioner may approve the transfer of a charter school
53.29to a new authorizer under section 124E.10, subdivision 5.

53.30    Sec. 39. Minnesota Statutes 2016, section 124E.11, is amended to read:
53.31124E.11 ADMISSION REQUIREMENTS AND ENROLLMENT.
54.1    (a) A charter school, including its free preschool or prekindergarten program established
54.2under section 124E.06, subdivision 3, paragraph (b), may limit admission to:
54.3    (1) pupils within an age group or grade level;
54.4    (2) pupils who are eligible to participate in the graduation incentives program under
54.5section 124D.68; or
54.6    (3) residents of a specific geographic area in which the school is located when the
54.7majority of students served by the school are members of underserved populations.
54.8    (b) A charter school, including its free preschool or prekindergarten program established
54.9under section 124E.06, subdivision 3, paragraph (b), shall enroll an eligible pupil who
54.10submits a timely application, unless the number of applications exceeds the capacity of a
54.11program, class, grade level, or building. In this case, pupils must be accepted by lot. The
54.12charter school must develop and publish, including on its Web site, a lottery policy and
54.13process that it must use when accepting pupils by lot.
54.14    (c) A charter school shall give enrollment preference to a sibling of an enrolled pupil
54.15and to a foster child of that pupil's parents and may give preference for enrolling children
54.16of the school's staff before accepting other pupils by lot. A charter school that is located in
54.17Duluth township in St. Louis County and admits students in kindergarten through grade 6
54.18must give enrollment preference to students residing within a five-mile radius of the school
54.19and to the siblings of enrolled children. A charter school may give enrollment preference
54.20to children currently enrolled in the school's free preschool or prekindergarten program
54.21under section 124E.06, subdivision 3, paragraph (a), who are eligible to enroll in kindergarten
54.22in the next school year.
54.23    (d) A person shall not be admitted to a charter school (1) as a kindergarten pupil, unless
54.24the pupil is at least five years of age on September 1 of the calendar year in which the school
54.25year for which the pupil seeks admission commences; or (2) as a first grade student, unless
54.26the pupil is at least six years of age on September 1 of the calendar year in which the school
54.27year for which the pupil seeks admission commences or has completed kindergarten; except
54.28that a charter school may establish and publish on its Web site a policy for admission of
54.29selected pupils at an earlier age, consistent with the enrollment process in paragraphs (b)
54.30and (c).
54.31    (e) Except as permitted in paragraph (d), a charter school, including its free preschool
54.32or prekindergarten program established under section 124E.06, subdivision 3, paragraph
54.33(b), may not limit admission to pupils on the basis of intellectual ability, measures of
55.1achievement or aptitude, or athletic ability and may not establish any criteria or requirements
55.2for admission that are inconsistent with this section.
55.3    (f) The charter school shall not distribute any services or goods of value to students,
55.4parents, or guardians as an inducement, term, or condition of enrolling a student in a charter
55.5school.
55.6    (g) Once a student is enrolled in the school, the student is considered enrolled in the
55.7school until the student formally withdraws or is expelled under the Pupil Fair Dismissal
55.8Act in sections 121A.40 to 121A.56. A charter school is subject to and must comply with
55.9the Pupil Fair Dismissal Act, sections 121A.40 to 121A.56.
55.10(h) A charter school with at least 90 percent of enrolled students who are eligible for
55.11special education services and have a primary disability of deaf or hard-of-hearing may
55.12enroll prekindergarten pupils with a disability under section 126C.05, subdivision 1,
55.13paragraph (a), and must comply with the federal Individuals with Disabilities Education
55.14Act under Code of Federal Regulations, title 34, section 300.324, subsection (2), clause
55.15(iv).

55.16    Sec. 40. Minnesota Statutes 2016, section 124E.22, is amended to read:
55.17124E.22 BUILDING LEASE AID.
55.18(a) When a charter school finds it economically advantageous to rent or lease a building
55.19or land for any instructional purpose and it determines that the total operating capital revenue
55.20under section 126C.10, subdivision 13, is insufficient for this purpose, it may apply to the
55.21commissioner for building lease aid. The commissioner must review and either approve or
55.22deny a lease aid application using the following criteria:
55.23(1) the reasonableness of the price based on current market values;
55.24(2) the extent to which the lease conforms to applicable state laws and rules; and
55.25(3) the appropriateness of the proposed lease in the context of the space needs and
55.26financial circumstances of the charter school. The commissioner must approve aid only for
55.27a facility lease that has (i) a sum certain annual cost and (ii) a closure clause to relieve the
55.28charter school of its lease obligations at the time the charter contract is terminated or not
55.29renewed. The closure clause under item (ii) must not be constructed or construed to relieve
55.30the charter school of its lease obligations in effect before the charter contract is terminated
55.31or not renewed.
56.1    (b) A charter school must not use the building lease aid it receives for custodial,
56.2maintenance service, utility, or other operating costs.
56.3    (c) The amount of annual building lease aid for a charter school shall not exceed the
56.4lesser of (1) 90 percent of the approved cost or (2) the product of the charter school building
56.5lease aid pupil units served for the current school year times $1,314.
56.6(d) A charter school's building lease aid pupil units equals the sum of the charter school
56.7pupil units under section 126C.05 and the pupil units for the portion of the day that the
56.8charter school's enrolled students are participating in the Postsecondary Enrollment Options
56.9Act under section 124D.09 and not otherwise included in the pupil count under section
56.10126C.05.
56.11EFFECTIVE DATE.This section is effective for fiscal year 2018 and later.

56.12    Sec. 41. Minnesota Statutes 2016, section 125A.56, subdivision 1, is amended to read:
56.13    Subdivision 1. Requirement. (a) Before a pupil is referred for a special education
56.14evaluation, the district must conduct and document at least two instructional strategies,
56.15alternatives, or interventions using a system of scientific, research-based instruction and
56.16intervention in academics or behavior, based on the pupil's needs, while the pupil is in the
56.17regular classroom. The pupil's teacher must document the results. A special education
56.18evaluation team may waive this requirement when it determines the pupil's need for the
56.19evaluation is urgent. This section may not be used to deny a pupil's right to a special
56.20education evaluation.
56.21    (b) A school district shall use alternative intervention services, including the assurance
56.22of mastery program under section 124D.66, or an early intervening services program under
56.23subdivision 2 to serve at-risk pupils who demonstrate a need for alternative instructional
56.24strategies or interventions.
56.25(c) A student identified as being unable to read at grade level under section 120B.12,
56.26subdivision 2, paragraph (a), must be provided with alternate instruction under this
56.27subdivision that is multisensory, systematic, sequential, cumulative, and explicit.

56.28    Sec. 42. [136A.1276] ALTERNATIVE TEACHER PREPARATION GRANT
56.29PROGRAM.
56.30    Subdivision 1. Definitions. (a) For purposes of this section, the following terms have
56.31the meanings given them.
57.1(b) "Alternative teacher preparation program" means an alternative teacher preparation
57.2program under section 122A.245, subdivision 2, or an experimental teacher preparation
57.3program under section 122A.09, subdivision 10.
57.4(c) "Commissioner" means the commissioner of the Office of Higher Education.
57.5(d) "Program" means a teacher preparation curriculum leading to specific licensure areas.
57.6(e) "Shortage area" means:
57.7(1) licensure fields and economic development regions reported by the commissioner
57.8of education as experiencing a teacher shortage; and
57.9(2) economic development regions where there is a shortage of licensed teachers who
57.10reflect the racial or ethnic diversity of students in the region.
57.11(f) "Unit" means an institution or defined subdivision of the institution that has primary
57.12responsibility for overseeing and delivering teacher preparation programs.
57.13    Subd. 2. Establishment; eligibility. (a) The commissioner, in consultation with the
57.14Board of Teaching, must establish and administer a program annually awarding grants to
57.15eligible alternative teacher preparation programs consistent with this section.
57.16(b) To be eligible to receive a grant, an alternative teacher preparation program must
57.17certify that it:
57.18(1) is working to fill Minnesota's teacher shortage areas; and
57.19(2) is a school district, charter school, or nonprofit corporation organized under chapter
57.20317A or under section 501(c)(3) of the Internal Revenue Code of 1986 for an
57.21education-related purpose that has been operating continuously for at least three years in
57.22Minnesota or any other state.
57.23(c) The commissioner must give priority to applicants based in Minnesota when awarding
57.24grants under this section.
57.25    Subd. 3. Use of grants. (a) An alternative teacher preparation program receiving a grant
57.26under this section must use the grant to:
57.27(1) establish initial unit approval to become an alternative teacher preparation program;
57.28(2) expand alternative teacher preparation programs by expanding program approval to
57.29other licensure areas identified as shortage areas by the commissioner of education;
57.30(3) recruit, select, and train teachers who reflect the racial or ethnic diversity of students
57.31in Minnesota; or
58.1(4) establish professional development programs for teachers who have obtained teaching
58.2licenses through alternative teacher preparation programs.
58.3An alternative teacher preparation program may expend grant funds on regional management
58.4and operations, development, and central support services, including financial support and
58.5support for technology and human services.
58.6(b) An alternative teacher preparation program may use grant funds awarded under this
58.7section as a match for nonstate funds, subject to paragraph (a).
58.8(c) Appropriations made to this program do not cancel and are available until expended.
58.9    Subd. 4. Report. An alternative teacher preparation program receiving a grant under
58.10this section must submit a report to the commissioner and the Board of Teaching on the
58.11grantee's ability to fill teacher shortage areas and positively impact student achievement
58.12where data are available and do not identify individual teachers. A grant recipient must
58.13submit the report required under this subdivision by January 31, 2018, and each
58.14even-numbered year thereafter. The report must include disaggregated data regarding:
58.15(1) the racial and ethnic diversity of teachers and teacher candidates licensed through
58.16the program; and
58.17(2) program participant placement.
58.18EFFECTIVE DATE.This section is effective for revenue in fiscal year 2018 and later.

58.19    Sec. 43. Minnesota Statutes 2016, section 136A.1791, subdivision 1, is amended to read:
58.20    Subdivision 1. Definitions. (a) The terms used in this section have the meanings given
58.21them in this subdivision.
58.22(b) "Qualified educational loan" means a government, commercial, or foundation loan
58.23for actual costs paid for tuition and reasonable educational and living expenses related to a
58.24teacher's preparation or further education.
58.25(c) "School district" means an independent school district, special school district,
58.26intermediate district, education district, special education cooperative, service cooperative,
58.27a cooperative center for vocational education, or a charter school located in Minnesota.
58.28(d) "Teacher" means an individual holding a teaching license issued by the licensing
58.29division in the Department of Education on behalf of the Board of Teaching who is employed
58.30by a school district to provide classroom instruction in a teacher shortage area.
58.31(e) "Teacher shortage area" means:
59.1(1) the licensure fields and economic development regions reported by the commissioner
59.2of education as experiencing a teacher shortage.; and
59.3(2) economic development regions where there is a shortage of licensed teachers who
59.4reflect the racial or ethnic diversity of students in the region as reported by the commissioner
59.5of education.
59.6(f) "Commissioner" means the commissioner of the Office of Higher Education unless
59.7indicated otherwise.
59.8EFFECTIVE DATE.This section is effective August 1, 2017.

59.9    Sec. 44. Minnesota Statutes 2016, section 136A.1791, subdivision 2, is amended to read:
59.10    Subd. 2. Program established; administration. The commissioner shall establish and
59.11administer a teacher shortage loan forgiveness program. A teacher is eligible for the program
59.12if the teacher is teaching in a licensure field and in an economic development region with
59.13an identified teacher shortage area under subdivision 3 and complies with the requirements
59.14of this section.
59.15EFFECTIVE DATE.This section is effective August 1, 2017.

59.16    Sec. 45. Minnesota Statutes 2016, section 136A.1791, subdivision 9, is amended to read:
59.17    Subd. 9. Annual reporting. By February 1 of each year, the commissioner must report
59.18to the chairs of the K-12 kindergarten through grade 12 and higher education committees
59.19of the legislature on the number of individuals who received loan forgiveness under this
59.20section, the race or ethnicity of the teachers participating in the program, the licensure areas
59.21and economic development regions in which the teachers taught, the average amount paid
59.22to a teacher participating in the program, and other summary data identified by the
59.23commissioner as outcome indicators.
59.24EFFECTIVE DATE.This section is effective August 1, 2017.

59.25    Sec. 46. Laws 2016, chapter 189, article 25, section 58, is amended to read:
59.26    Sec. 58. NORTHWEST REGIONAL PARTNERSHIP STATEWIDE
59.27CONCURRENT ENROLLMENT TEACHER TRAINING PROGRAM.
59.28    Subdivision 1. Definition. (a) For purposes of this section, the following terms have the
59.29meanings given them.
60.1(b) "Northwest Regional Partnership" means a voluntary association of the Lakes Country
60.2Service Cooperative, the Northwest Service Cooperative, and Minnesota State
60.3University-Moorhead that works together to provide coordinated higher learning opportunities
60.4for teachers.
60.5(c) "State Partnership" means a voluntary association of the Northwest Regional
60.6Partnership and the Metropolitan Educational Cooperative Service Unit.
60.7(d) "Eligible postsecondary institution" means a public or private postsecondary institution
60.8that awards graduate credits.
60.9(e) "Eligible teacher" means a licensed teacher of secondary school courses for
60.10postsecondary credit.
60.11    Subd. 2. Establishment. (a) Lakes Country Service Cooperative, in consultation with
60.12the Northwest Service Cooperative, may develop a continuing education program to allow
60.13eligible teachers to attain the requisite graduate credits necessary to be qualified to teach
60.14secondary school courses for postsecondary credit.
60.15(b) If established, the State Partnership must contract with one or more eligible
60.16postsecondary institutions to establish a continuing education credit program to allow eligible
60.17teachers to attain sufficient graduate credits to qualify to teach secondary school courses
60.18for postsecondary credit. Members of the State Partnership must work to eliminate duplication
60.19of service and develop the continuing education credit program efficiently and
60.20cost-effectively.
60.21    Subd. 3. Curriculum development. Minnesota State University-Moorhead may develop
60.22The continuing education program must use flexible delivery models, such as an online
60.23education curriculum to, that allow eligible secondary school teachers to attain graduate
60.24credit at a reduced credit rate. Information about the curriculum, including course length
60.25and course requirements, must be posted on the Web site of the eligible institution offering
60.26the course at least two weeks before eligible teachers are required to register for courses in
60.27the continuing education program.
60.28    Subd. 4. Funding for course development; scholarships; stipends. (a) Lakes Country
60.29Service Cooperative, in consultation with the other members of the Northwest Regional
60.30Partnership, shall:
60.31(1) provide funding for course development for up to 18 credits in applicable
60.32postsecondary subject areas;
61.1(2) provide scholarships for eligible teachers to enroll in the continuing education
61.2program; and
61.3(3) develop criteria for awarding educator stipends on a per-credit basis to incentivize
61.4participation in the continuing education program.
61.5(b) If established, the State Partnership must:
61.6(1) provide funding for course development for up to 18 credits in applicable
61.7postsecondary subject areas;
61.8(2) provide scholarships for eligible teachers to enroll in the continuing education
61.9program; and
61.10(3) develop criteria for awarding educator stipends on a per-credit basis to incentivize
61.11participation in the continuing education program.
61.12    Subd. 5. Participant eligibility. Participation in the continuing education program is
61.13reserved for teachers of secondary school courses for postsecondary credit. Priority must
61.14be given to teachers employed by a school district that is a member of the Lakes Country
61.15Service Cooperative or Northwest Service Cooperative. Teachers employed by a school
61.16district that is not a member of the Lakes Country Service Cooperative or Northwest Service
61.17Cooperative may participate in the continuing education program as space allows. A teacher
61.18participating in this program is ineligible to participate in other concurrent enrollment teacher
61.19training grant programs.
61.20    Subd. 6. Private funding. The partnership partnerships may receive private resources
61.21to supplement the available public money. All money received in fiscal year 2017 shall be
61.22administered by the Lakes Country Service Cooperative. All money received in fiscal year
61.232018 and later shall be administered by the State Partnership.
61.24    Subd. 7. Report required. (a) The Northwest Regional Partnership must submit an
61.25annual a report by January 15 of each year, 2018, on the progress of its activities to the
61.26legislature, commissioner of education, and Board of Trustees of the Minnesota State
61.27Colleges and Universities. The annual report shall contain a financial report for the preceding
61.28year. The first report is due no later than January 15, 2018.
61.29(b) If established, the State Partnership must submit an annual joint report to the
61.30legislature and the Office of Higher Education by January 15 of each year on the progress
61.31of its activities. The report must include the number of teachers participating in the program,
61.32the geographic location of the teachers, the number of credits earned, and the subject areas
62.1of the courses in which participants earned credit. The report must include a financial report
62.2for the preceding year.
62.3EFFECTIVE DATE.This section is effective the day following final enactment.

62.4    Sec. 47. Laws 2016, chapter 189, article 25, section 62, subdivision 7, is amended to read:
62.5    Subd. 7. Education Innovation Partners Cooperative Center. (a) For a matching
62.6grant to Education Innovation Partners Cooperative Center, No. 6091-50, to provide
62.7research-based professional development services, on-site training, and leadership coaching
62.8to teachers and other school staff:
62.9
62.10
$
500,000
90,000
.....
2017
62.11
$
410,000
.....
2018
62.12(b) $410,000 of the $500,000 appropriation in Laws 2016, chapter 189, article 25, section
62.1362, subdivision 7, is canceled to the state general fund on June 30, 2017.
62.14(c) A grant under this subdivision must be matched with money or in-kind contributions
62.15from nonstate sources. This is a onetime appropriation. This appropriation is available until
62.16June 30, 2019.
62.17EFFECTIVE DATE.This section is effective the day following final enactment.

62.18    Sec. 48. Laws 2016, chapter 189, article 25, section 62, subdivision 11, is amended to
62.19read:
62.20    Subd. 11. Student teachers in shortage areas. For transfer to the commissioner of the
62.21Office of Higher Education for the purpose of providing grants to student teachers in shortage
62.22areas under Minnesota Statutes, section 136A.1275:
62.23
$
2,800,000
.....
2017
62.24    Of this amount, up to two percent is for administration of the student teacher grant
62.25program in expectation that the Office of Higher Education will begin to disburse grants
62.26no later than September 1, 2017. This is a onetime appropriation. This appropriation is
62.27available until June 30, 2019.
62.28EFFECTIVE DATE.This section is effective the day following final enactment.

63.1    Sec. 49. AGRICULTURAL EDUCATOR GRANTS.
63.2    Subdivision 1. Grant program established. A grant program is established to support
63.3school districts in paying agricultural education teachers for work over the summer with
63.4high school students in extended programs.
63.5    Subd. 2. Application. The commissioner of education shall develop the form and method
63.6for applying for the grants. The commissioner shall develop criteria for determining the
63.7allocation of the grants, including appropriate goals for the use of the grants.
63.8    Subd. 3. Grant awards. Grant funding under this section must be matched by funding
63.9from the school district for the agricultural education teacher's summer employment. Grant
63.10funding for each teacher is limited to the one-half share of 40 working days.
63.11    Subd. 4. Reports. School districts that receive grant funds shall report to the
63.12commissioner of education no later than December 31 of each year regarding the number
63.13of teachers funded by the grant program and the outcomes compared to the goals established
63.14in the grant application. The Department of Education shall develop the criteria necessary
63.15for the reports.

63.16    Sec. 50. INNOVATION RESEARCH ZONES PILOT PROGRAM.
63.17    Subdivision 1. Establishment; requirements for participation; research zone plans.
63.18(a) The innovation research zone pilot program is established to improve student and school
63.19outcomes consistent with the world's best workforce requirements under section 120B.11.
63.20Innovation zone partnerships allow school districts and charter schools to research and
63.21implement innovative education programming models designed to better prepare students
63.22for the world of the 21st century.
63.23(b) One or more school districts or charter schools may join together to form an innovation
63.24zone partnership. The partnership may include other nonschool partners, including
63.25postsecondary institutions, other units of local government, nonprofit organizations, and
63.26for-profit organizations. An innovation zone plan must be collaboratively developed in
63.27concert with the school's instructional staff.
63.28(c) An innovation research zone partnership must research and implement innovative
63.29education programs and models that are based on proposed hypotheses. An innovation zone
63.30plan may include an emerging practice not yet supported by peer-reviewed research.
63.31Examples of innovation zone research may include, but are not limited to:
63.32(1) personalized learning, allowing students to excel at their own pace and according to
63.33their interests, aspirations, and unique needs;
64.1(2) the use of competency outcomes rather than seat time and course completion to fulfill
64.2standards, credits, and other graduation requirements;
64.3(3) multidisciplinary, real-world, inquiry-based, student-directed models designed to
64.4make learning more engaging and relevant, including documenting and validating learning
64.5that takes place beyond the school day and school walls;
64.6(4) models of instruction designed to close the achievement gap, including new models
64.7for age three to grade 3 models, English as a second language models, early identification
64.8and prevention of mental health issues, and others;
64.9(5) new partnerships between secondary schools and postsecondary institutions,
64.10employers, or career training institutions enabling students to complete industry certifications,
64.11postsecondary education credits, and other credentials;
64.12(6) new methods of collaborative leadership including the expansion of schools where
64.13teachers have larger professional roles;
64.14(7) new ways to enhance parental and community involvement in learning;
64.15(8) new models of professional development for educators including embedded
64.16professional development; or
64.17(9) new models in other areas such as whole child instruction, social-emotional skill
64.18development, technology-based or blended learning, parent and community involvement,
64.19professional development and mentoring, and models that increase the return on investment.
64.20(d) An innovation zone plan submitted to the commissioner must describe:
64.21(1) how the plan will improve student and school outcomes consistent with the world's
64.22best workforce requirements under section 120B.11;
64.23(2) the role of each partner in the zone;
64.24(3) the research methodology used for each proposed action in the plan;
64.25(4) the exemptions from statutes and rules in subdivision 2 that the research zone
64.26partnership will use;
64.27(5) a description of how teachers and other educational staff from the affected school
64.28sites will be included in the planning and implementation process;
64.29(6) a detailed description of expected outcomes and graduation standards;
64.30(7) a timeline for implementing the plan and assessing the outcomes; and
64.31(8) how results of the plan will be disseminated.
65.1The governing board for each partner must approve the innovation zone plan.
65.2(e) Upon unanimous approval of the initial innovation zone partners and approval of the
65.3commissioner of education, the innovation zone partnership may extend membership to
65.4other partners. A new partner's membership is effective 30 days after the innovation zone
65.5partnership notifies the commissioner of the proposed change in membership unless the
65.6commissioner disapproves the new partner's membership.
65.7(f) Notwithstanding other law to the contrary, a school district or charter school
65.8participating in an innovative zone partnership under this section continues to receive all
65.9revenue and maintains its taxation authority in the same manner as before its participation
65.10in the innovation zone partnership. The innovation zone school district and charter school
65.11partners remain organized and governed by their respective school boards with general
65.12powers under chapter 123B or 124E, and remain subject to any employment agreements
65.13under chapters 122A and 179A. School district and charter school employees participating
65.14in an innovation zone partnership remain employees of their respective school district or
65.15charter school.
65.16(g) An innovation zone partnership may submit its plan at any time to the commissioner
65.17in the form and manner specified by the commissioner. The commissioner must approve
65.18or reject the plan after reviewing the recommendation of the Innovation Research Zone
65.19Advisory Panel. An initial innovation zone plan that has been rejected by the commissioner
65.20may be resubmitted to the commissioner after the innovation zone partnership has modified
65.21the plan to meet each individually identified objection.
65.22    Subd. 2. Exemptions from laws and rules. (a) Notwithstanding any law to the contrary,
65.23an innovation zone partner with an approved plan is exempt from each of the following
65.24state education laws and rules specifically identified in its plan:
65.25(1) any law or rule from which a district-created, site-governed school under section
65.26123B.045 is exempt;
65.27(2) any statute or rule from which the commissioner has exempted another district or
65.28charter school, as identified in the list published on the Department of Education Web site
65.29in accordance with subdivision 4, paragraph (b);
65.30(3) online learning program approval under section 124D.095, subdivision 7, if the
65.31school district or charter school offers a course or program online combined with direct
65.32access to a teacher for a portion of that course or program;
66.1(4) restrictions on extended time revenue under section 126C.10, subdivision 2a, for a
66.2student who meets the criteria of section 124D.68, subdivision 2; and
66.3(5) any required hours of instruction in any class or subject area for a student who is
66.4meeting all competencies consistent with the graduation standards described in the innovation
66.5zone plan.
66.6(b) The exemptions under this subdivision must not be construed as exempting an
66.7innovation zone partner from the Minnesota Comprehensive Assessments.
66.8    Subd. 3. Innovation Research Zone Advisory Panel. (a) The commissioner must
66.9establish and convene an Innovation Research Zone Advisory Panel to review all innovation
66.10zone plans submitted for approval.
66.11(b) The panel must be composed of nine members. One member must be appointed by
66.12each of the following organizations: Educators for Excellence, Education Minnesota,
66.13Minnesota Association of Secondary School Principals, Minnesota Elementary School
66.14Principals' Association, Minnesota Association of School Administrators, Minnesota School
66.15Boards Association, Minnesota Association of Charter Schools, and the Office of Higher
66.16Education. The commissioner must appoint one member with expertise in evaluation and
66.17research.
66.18    Subd. 4. Commissioner approval. (a) Upon recommendation of the Innovation Research
66.19Zone Advisory Panel, the commissioner may approve up to three innovation zone plans in
66.20the seven-county metropolitan area and up to three in greater Minnesota. If an innovation
66.21zone partnership fails to implement its innovation zone plan as described in its application
66.22and according to the stated timeline, upon recommendation of the Innovation Research
66.23Zone Advisory Panel, the commissioner must alert the partnership members and provide
66.24the opportunity to remediate. If implementation continues to fail, the commissioner must
66.25suspend or terminate the innovation zone plan.
66.26(b) The commissioner must publish a list of the exemptions the commissioner has granted
66.27to a district or charter school on the Department of Education Web site by July 1, 2017. The
66.28list must be updated annually.
66.29    Subd. 5. Project evaluation, dissemination, and report to legislature. Each research
66.30zone partnership must submit project data to the commissioner in the form and manner
66.31provided for in the approved application. At least once every two years, the commissioner
66.32must analyze each innovation zone's progress in realizing the objectives of the innovation
66.33zone partnership's plan. The commissioner must summarize and categorize innovation zone
67.1plans and submit a report to the education committees of the legislature by February 1 of
67.2each odd-numbered year in accordance with Minnesota Statutes, section 3.195.
67.3EFFECTIVE DATE.This section is effective the day following final enactment.

67.4    Sec. 51. COMMISSIONER OF EDUCATION MUST SUBMIT ESSA PLAN TO
67.5LEGISLATURE.
67.6    Subdivision 1. ESSA plan. The commissioner of education must submit the state plan
67.7developed pursuant to the Elementary and Secondary Education Act of 1965, as amended
67.8by the Every Student Succeeds Act, United States Code, title 20, section 6311, to the
67.9education policy and finance committees of the legislature at least 30 days before submitting
67.10the plan to the United States Department of Education.
67.11    Subd. 2. Alignment with World's Best Workforce measures. The state plan must be
67.12consistent and aligned, to the extent practicable, with the performance accountability
67.13measures required under Minnesota Statutes, section 120B.11, subdivision 1a, to create a
67.14single accountability system for all public schools.
67.15    Subd. 3. Indicators. (a) The school quality or student success accountability indicator
67.16required by ESSA must be an academic indicator.
67.17(b) The state plan may use one of the following indicators for elementary and secondary
67.18schools:
67.19(1) reading and math growth for students performing in the bottom quartile, as measured
67.20on the state accountability assessments, and using growth to proficiency standards;
67.21(2) third grade reading proficiency as measured on the state accountability assessments;
67.22(3) eighth grade mathematics proficiency as measured on the state accountability
67.23assessments; or
67.24(4) science proficiency as measured on the state accountability assessments.
67.25(c) The state plan should use the tenth grade reading Minnesota Comprehensive
67.26Assessment and eleventh grade mathematics Minnesota Comprehensive Assessment to
67.27measure career and college readiness. To the extent practicable, the state plan should also
67.28use the following information to measure college and career readiness:
67.29(1) student success or attainment on advanced placement or international baccalaureate
67.30examinations;
67.31(2) credits under Minnesota Statutes, section 124D.09; or
68.1(3) industry-recognized certifications.
68.2EFFECTIVE DATE.This section is effective the day following final enactment.

68.3    Sec. 52. EDUCATIONAL STABILITY FOR STUDENTS IN FOSTER CARE.
68.4    Subdivision 1. Establishment. A pilot project is established to provide incentives for
68.5school districts and county governments to develop partnership agreements and implement
68.6transportation plans to help keep foster care students enrolled in their school of origin when
68.7a student is placed in a foster care setting outside the school of origin's boundaries.
68.8    Subd. 2. Qualifying plans. A school district must submit an application in the form and
68.9manner prescribed by the commissioner of education to participate in the program. To
68.10qualify for participation, one or more school districts and the local child welfare agency
68.11must have a written interagency agreement that describes the local plan for ensuring
68.12educational stability for foster care students. The parties to the agreement must seek title
68.13IV-E reimbursement for eligible students and eligible transportation costs. The plan must
68.14describe:
68.15(1) how transportation services will be arranged and provided; and
68.16(2) how local transportation costs will be paid for if pilot project funds are insufficient
68.17to cover all costs.
68.18    Subd. 3. Pilot project; funding. The commissioner must reimburse partnerships with
68.19qualifying plans under subdivision 2 at the end of the school year based on allowable
68.20expenditures and reimbursements and compliance with other reporting requirements. If the
68.21available appropriation is insufficient to fully fund all qualifying plans, the commissioner
68.22may prorate the available funds statewide among all school districts with qualifying plans.
68.23    Subd. 4. Report. By February 1, 2018, the commissioner of education shall report on
68.24the pilot project to the legislative committees with jurisdiction over early childhood through
68.25grade 12 education. The report must include, at a minimum, the number of local agreements
68.26entered into for this project along with the number of school districts and counties
68.27participating in the agreements, baseline data showing the number of foster care students
68.28who were able to remain in their school of origin and the changes in the ratio over the time
68.29of the pilot project, data on expenditures for school stability transportation and federal
68.30reimbursements received for the pilot project with a midyear projection of end-of-year costs
68.31and revenues, and projected costs for statewide implementation of the program.

69.1    Sec. 53. FEDERAL EVERY STUDENT SUCCEEDS ACT FUNDING FOR
69.2SCIENCE, TECHNOLOGY, ENGINEERING, AND MATH (STEM) ACTIVITIES.
69.3School districts are encouraged to use the funding provided for activities to support the
69.4effective use of technology under Title IV, Part A, of the federal Every Student Succeeds
69.5Act for:
69.6(1) mentor-led, hands-on STEM education and engagement with materials that support
69.7inquiry-based and active learning;
69.8(2) student participation in STEM competitions, including robotics competitions; and
69.9(3) mentor-led, classroom-based, after-school activities with informal STEM instruction
69.10and education.
69.11EFFECTIVE DATE.This section is effective July 1, 2017.

69.12    Sec. 54. RURAL CAREER AND TECHNICAL EDUCATION CONSORTIUM
69.13GRANTS.
69.14    Subdivision 1. Definition. "Rural career and technical education (CTE) consortium"
69.15means a voluntary collaboration of a service cooperative and other regional public and
69.16private partners, including school districts and higher education institutions, that work
69.17together to provide career and technical education opportunities within the service
69.18cooperative's multicounty service area.
69.19    Subd. 2. Establishment. (a) A rural CTE consortium shall:
69.20(1) focus on the development of courses and programs that encourage collaboration
69.21between two or more school districts;
69.22(2) develop new career and technical programs that focus on the industry sectors that
69.23fuel the rural regional economy;
69.24(3) facilitate the development of highly trained and knowledgeable students who are
69.25equipped with technical and workplace skills needed by regional employers;
69.26(4) improve access to career and technical education programs for students who attend
69.27sparsely populated rural school districts by developing public and private partnerships with
69.28business and industry leaders and by increasing coordination of high school and
69.29postsecondary program options;
69.30(5) increase family and student awareness of the availability and benefit of career and
69.31technical education courses and training opportunities; and
70.1(6) provide capital start-up costs for items including but not limited to a mobile welding
70.2lab, medical equipment and lab, and industrial kitchen equipment.
70.3(b) In addition to the requirements in paragraph (a), a rural CTE consortium may:
70.4(1) address the teacher shortage crisis in career and technical education through incentive
70.5funding and training programs; and
70.6(2) provide transportation reimbursement grants to provide equitable opportunities
70.7throughout the region for students to participate in career and technical education.
70.8    Subd. 3. Rural career and technical education advisory committee. In order to be
70.9eligible for a grant under this section, a service cooperative must establish a rural career
70.10and technical education advisory committee to advise the cooperative on the administration
70.11of the rural CTE consortium.
70.12    Subd. 4. Private funding. A rural CTE consortium may receive other sources of funds
70.13to supplement state funding. All funds received shall be administered by the service
70.14cooperative that is a member of the consortium.
70.15    Subd. 5. Reporting requirements. A rural CTE consortium must submit an annual
70.16report on the progress of its activities to the commissioner of education and the legislative
70.17committees with jurisdiction over secondary and postsecondary education. The annual report
70.18must contain a financial report for the preceding fiscal year. The first report is due no later
70.19than January 15, 2019.
70.20    Subd. 6. Grant recipients. For fiscal year 2018 and 2019, the commissioner shall award
70.21a two-year grant to the consortium that is a collaboration of the Southwest/West Central
70.22Service Cooperative (SWWC), Southwest Minnesota State University, Minnesota West
70.23Community and Technical College, Ridgewater College, and other regional public and
70.24private partners. For fiscal year 2020 and 2021, the commissioner shall award a two-year
70.25grant to an applicant consortium that includes the South Central Service Cooperative or
70.26Southeast Service Cooperative and a two-year grant to an applicant consortium that includes
70.27the Northwest Service Cooperative or Northeast Service Cooperative.

70.28    Sec. 55. INTERMEDIATE SCHOOL DISTRICT MENTAL HEALTH INNOVATION
70.29GRANT PROGRAM; APPROPRIATION.
70.30(a) $2,450,000 in fiscal year 2018 and $2,450,000 in fiscal year 2019 are appropriated
70.31from the general fund to the commissioner of human services for a grant program to fund
70.32innovative projects to improve mental health outcomes for youth attending a qualifying
70.33school unit.
71.1(b) A "qualifying school unit" means an intermediate district organized under Minnesota
71.2Statutes, section 136D.01, or a service cooperative organized under Minnesota Statutes,
71.3section 123A.21, subdivision 1, paragraph (a), clause (2), that provides instruction to students
71.4in a setting of federal instructional level four or higher. Grants under paragraph (a) must be
71.5awarded to eligible applicants such that the services are proportionately provided among
71.6qualifying school units. The commissioner shall calculate the share of the appropriation to
71.7be used in each qualifying school unit by dividing the qualifying school unit's average daily
71.8membership in a setting of federal instructional level 4 or higher for fiscal year 2016 by the
71.9total average daily membership in a setting of federal instructional level 4 or higher for the
71.10same year for all qualifying school units.
71.11(c) An eligible applicant is an entity that has demonstrated capacity to serve the youth
71.12identified in paragraph (a) and that is:
71.13(1) certified under Minnesota Rules, parts 9520.0750 to 9520.0870;
71.14(2) a community mental health center under Minnesota Statutes, section 256B.0625,
71.15subdivision 5;
71.16(3) an Indian health service facility or facility owned and operated by a tribe or tribal
71.17organization operating under United States Code, title 25, section 5321; or
71.18(4) a provider of children's therapeutic services and supports as defined in Minnesota
71.19Statutes, section 256B.0943.
71.20(d) An eligible applicant must employ or contract with at least two licensed mental health
71.21professionals as defined in Minnesota Statutes, section 245.4871, subdivision 27, clauses
71.22(1) to (6), who have formal training in evidence-based practices.
71.23(e) A qualifying school unit must submit an application to the commissioner in the form
71.24and manner specified by the commissioner. The commissioner may approve an application
71.25that describes models for innovative projects to serve the needs of the schools and students.
71.26The commissioner may provide technical assistance to the qualifying school unit. The
71.27commissioner shall then solicit grant project proposals and award grant funding to the
71.28eligible applicants whose project proposals best meet the requirements of this section and
71.29most closely adhere to the models created by the intermediate districts and service
71.30cooperatives.
71.31(f) To receive grant funding, an eligible applicant must obtain a letter of support for the
71.32applicant's grant project proposal from each qualifying school unit the eligible applicant is
71.33proposing to serve. An eligible applicant must also demonstrate the following:
72.1(1) the ability to seek third-party reimbursement for services;
72.2(2) the ability to report data and outcomes as required by the commissioner; and
72.3(3) the existence of partnerships with counties, tribes, substance use disorder providers,
72.4and mental health service providers, including providers of mobile crisis services.
72.5(g) Grantees shall obtain all available third-party reimbursement sources as a condition
72.6of receiving grant funds. For purposes of this grant program, a third-party reimbursement
72.7source does not include a public school as defined in Minnesota Statutes, section 120A.20,
72.8subdivision 1.
72.9(h) The base budget for this program is $0. This appropriation is available until June 30,
72.102020.

72.11    Sec. 56. APPROPRIATIONS.
72.12    Subdivision 1. Department of Education. The sums indicated in this section are
72.13appropriated from the general fund to the Department of Education for the fiscal years
72.14designated.
72.15    Subd. 2. Achievement and integration aid. For achievement and integration aid under
72.16Minnesota Statutes, section 124D.862:
72.17
$
71,114,000
.....
2018
72.18
$
73,117,000
.....
2019
72.19The 2018 appropriation includes $6,725,000 for 2017 and $64,389,000 for 2018.
72.20The 2019 appropriation includes $7,154,000 for 2018 and $65,963,000 for 2019.
72.21    Subd. 3. Literacy incentive aid. For literacy incentive aid under Minnesota Statutes,
72.22section 124D.98:
72.23
$
47,264,000
.....
2018
72.24
$
47,763,000
.....
2019
72.25The 2018 appropriation includes $4,597,000 for 2017 and $42,667,000 for 2018.
72.26The 2019 appropriation includes $4,740,000 for 2018 and $43,023,000 for 2019.
72.27    Subd. 4. Interdistrict desegregation or integration transportation grants. For
72.28interdistrict desegregation or integration transportation grants under Minnesota Statutes,
72.29section 124D.87:
72.30
$
13,337,000
.....
2018
72.31
$
14,075,000
.....
2019
73.1    Subd. 5. Tribal contract schools. For tribal contract school aid under Minnesota Statutes,
73.2section 124D.83:
73.3
$
1,983,000
.....
2018
73.4
$
1,930,000
.....
2019
73.5The 2018 appropriation includes $323,000 for 2017 and $1,660,000 for 2018.
73.6The 2019 appropriation includes $184,000 for 2018 and $1,746,000 for 2019.
73.7    Subd. 6. American Indian education aid. For American Indian education aid under
73.8Minnesota Statutes, section 124D.81, subdivision 2a:
73.9
$
9,244,000
.....
2018
73.10
$
9,464,000
.....
2019
73.11The 2018 appropriation includes $886,000 for 2017 and $8,358,000 for 2018.
73.12The 2019 appropriation includes $928,000 for 2018 and $8,536,000 for 2019.
73.13    Subd. 7. Early childhood literacy programs. For early childhood literacy programs
73.14under Minnesota Statutes, section 119A.50, subdivision 3:
73.15
$
6,125,000
.....
2018
73.16
$
6,125,000
.....
2019
73.17(a) Up to $6,125,000 each year is for leveraging federal and private funding to support
73.18AmeriCorps members serving in the Minnesota reading corps program established by
73.19ServeMinnesota, including costs associated with training and teaching early literacy skills
73.20to children age three to grade 3 and evaluating the impact of the program under Minnesota
73.21Statutes, sections 124D.38, subdivision 2, and 124D.42, subdivision 6.
73.22(b) Any balance in the first year does not cancel but is available in the second year.
73.23(c) The base for fiscal year 2020 is $7,125,000.
73.24    Subd. 8. Concurrent enrollment program. For concurrent enrollment programs under
73.25Minnesota Statutes, section 124D.091:
73.26
$
4,000,000
.....
2018
73.27
$
4,000,000
.....
2019
73.28If the appropriation is insufficient, the commissioner must proportionately reduce the
73.29aid payment to each district.
73.30Any balance in the first year does not cancel but is available in the second year.
74.1    Subd. 9. Expanded concurrent enrollment grants. For grants to institutions offering
74.2"Introduction to Teaching" or "Introduction to Education" college in the schools courses
74.3under Minnesota Statutes, section 124D.09, subdivision 10, paragraph (b):
74.4
$
375,000
.....
2018
74.5
$
375,000
.....
2019
74.6The department may retain up to five percent of the appropriation amount to monitor
74.7and administer the grant program.
74.8    Subd. 10. ServeMinnesota program. For funding ServeMinnesota programs under
74.9Minnesota Statutes, sections 124D.37 to 124D.45:
74.10
$
900,000
.....
2018
74.11
$
900,000
.....
2019
74.12A grantee organization may provide health and child care coverage to the dependents
74.13of each participant enrolled in a full-time ServeMinnesota program to the extent such
74.14coverage is not otherwise available.
74.15    Subd. 11. Student organizations. For student organizations:
74.16
$
725,000
.....
2018
74.17
$
725,000
.....
2019
74.18(a) $46,000 each year is for student organizations serving health occupations (HOSA).
74.19(b) $100,000 each year is for student organizations serving trade and industry occupations
74.20(Skills USA, secondary and postsecondary).
74.21(c) $95,000 each year is for student organizations serving business occupations (BPA,
74.22secondary and postsecondary).
74.23(d) $193,000 each year is for student organizations serving agriculture occupations (FFA,
74.24PAS).
74.25(e) $142,000 in fiscal year 2018 and 2019 is for student organizations serving family
74.26and consumer science occupations (FCCLA). Notwithstanding Minnesota Rules, part
74.273505.1000, subparts 28 and 31, the student organizations serving FCCLA shall continue to
74.28serve students younger than grade 9. Beginning in fiscal year 2020, the amount is $185,000.
74.29(f) $109,000 each year is for student organizations serving marketing occupations (DECA
74.30and DECA collegiate).
74.31(g) $40,000 each year is for the Minnesota Foundation for Student Organizations.
74.32(h) Any balance in the first year does not cancel but is available in the second year.
75.1(i) The base for fiscal year 2020 and on is $768,000.
75.2    Subd. 12. Museums and education centers. For grants to museums and education
75.3centers:
75.4
$
460,000
.....
2018
75.5
$
460,000
.....
2019
75.6(a) $319,000 each year is for the Minnesota Children's Museum. Of the amount in this
75.7paragraph, $50,000 in each year is for the Minnesota Children's Museum, Rochester.
75.8(b) $50,000 each year is for the Duluth Children's Museum.
75.9(c) $41,000 each year is for the Minnesota Academy of Science.
75.10(d) $50,000 each year is for the Headwaters Science Center.
75.11Any balance in the first year does not cancel but is available in the second year.
75.12    Subd. 13. Minnesota Center for the Book programming. For grants to the entity
75.13designated by the Library of Congress as the Minnesota Center for the Book to provide
75.14statewide programming related to the Minnesota Book Awards and for additional
75.15programming throughout the state related to the Center for the Book designation:
75.16
$
50,000
.....
2018
75.17
$
50,000
.....
2019
75.18The base for fiscal year 2020 is $0.
75.19    Subd. 14. Singing-based pilot program to improve student reading. (a) For a grant
75.20to pilot a research-supported, computer-based educational program that uses singing to
75.21improve the reading ability of students in grades 2 through 5:
75.22
$
500,000
.....
2018
75.23
$
0
.....
2019
75.24(b) The commissioner of education shall award a grant to the Rock 'n' Read Project to
75.25implement a research-supported, computer-based educational program that uses singing to
75.26improve the reading ability of students in grades 2 through 5. The grantee shall be responsible
75.27for selecting participating school sites; providing any required hardware and software,
75.28including software licenses, for the duration of the grant period; providing technical support,
75.29training, and staff to install required project hardware and software; providing on-site
75.30professional development and instructional monitoring and support for school staff and
75.31students; administering preintervention and postintervention reading assessments; evaluating
75.32the impact of the intervention; and other project management services as required. To the
75.33extent practicable, the grantee must select participating schools in urban, suburban, and
76.1greater Minnesota, and give priority to schools in which a high proportion of students do
76.2not read proficiently at grade level and are eligible for free or reduced-price lunch.
76.3(c) By February 15, 2019, the grantee must submit a report detailing expenditures and
76.4outcomes of the grant to the commissioner of education and the chairs and ranking minority
76.5members of the legislative committees with primary jurisdiction over kindergarten through
76.6grade 12 education policy and finance.
76.7(d) This is a onetime appropriation.
76.8    Subd. 15. Starbase MN. For a grant to Starbase MN for rigorous science, technology,
76.9engineering, and math (STEM) program providing students in grades 4 to 6 with a
76.10multisensory learning experience and a hands-on curriculum in an aerospace environment
76.11using state-of-the-art technology:
76.12
$
1,398,000
.....
2018
76.13
$
0
.....
2019
76.14Any balance in the first year does not cancel but is available in the second year. The
76.15base for fiscal year 2020 is $500,000.
76.16All unspent funds, estimated at $898,000 from the Starbase MN appropriation under Laws
76.172015, First Special Session chapter 3, article 2, section 70, subdivision 17, are canceled the
76.18day following final enactment.
76.19    Subd. 16. Recovery program grants. For recovery program grants under Minnesota
76.20Statutes, section 124D.695:
76.21
$
750,000
.....
2018
76.22
$
750,000
.....
2019
76.23Any balance in the first year does not cancel but is available in the second year.
76.24    Subd. 17. Minnesota math corps program. For the Minnesota math corps program
76.25under Minnesota Statutes, section 124D.42, subdivision 9:
76.26
$
500,000
.....
2018
76.27
$
500,000
.....
2019
76.28Any balance in the first year does not cancel but is available in the second year.
76.29    Subd. 18. Civic education grants. For grants to the Minnesota Civic Education Coalition,
76.30Minnesota Civic Youth, Learning Law and Democracy Foundation, and YMCA Youth in
76.31Government to provide civic education programs for Minnesota youth age 18 and younger.
76.32Civic education is the study of constitutional principles and the democratic foundation of
77.1our national, state, and local institutions, and the study of political processes and structures
77.2of government, grounded in the understanding of constitutional government under the rule
77.3of law.
77.4
$
125,000
.....
2018
77.5
$
125,000
.....
2019
77.6    Any balance in the first year does not cancel but is available in the second year. The
77.7budget base for this program is $0.
77.8    Subd. 19. Minnesota Principals Academy. (a) For grants to the University of Minnesota
77.9College of Education and Human Development for the operation of the Minnesota Principals
77.10Academy:
77.11
$
200,000
.....
2018
77.12
$
200,000
.....
2019
77.13(b) Of these amounts, $50,000 must be used to pay the costs of attendance for principals
77.14from schools designated as priority schools by the commissioner of education. To the extent
77.15funds are available, the Department of Education must use up to $200,000 of federal Title
77.16II funds to support additional participation in the Principals Academy by principals from
77.17priority schools.
77.18(c) Any balance in the first year does not cancel but is available in the second year.
77.19    Subd. 20. Educational stability for students living in foster care. For a pilot project
77.20to promote educational stability for students living in foster care:
77.21
$
1,000,000
.....
2018
77.22Up to five percent of the appropriation may be used for state and local administrative
77.23costs such as reporting, technical support, and establishing a Title IV-E reimbursement
77.24claiming process. This is a onetime appropriation. This appropriation is available until June
77.2530, 2019.
77.26    Subd. 21. Charter school building lease aid. For building lease aid under Minnesota
77.27Statutes, section 124E.22:
77.28
$
73,204,000
.....
2018
77.29
$
78,648,000
.....
2019
77.30The 2018 appropriation includes $6,850,000 for 2017 and $66,354,000 for 2018.
77.31The 2019 appropriation includes $7,372,000 for 2018 and $74,276,000 for 2019.
78.1    Subd. 22. Race 2 Reduce. (a) For grants to support expanded Race 2 Reduce water
78.2conservation programming in Minnesota schools:
78.3
$
307,000
.....
2018
78.4
$
0
.....
2019
78.5(b) $143,000 is for H2O for Life; $98,000 is for Independent School District No. 624,
78.6White Bear Lake; and $66,000 is for Independent School District No. 832, Mahtomedi.
78.7(c) The appropriation is available until June 30, 2019. The base budget for fiscal year
78.82020 is zero.
78.9    Subd. 23. Paraprofessional pathway to teacher licensure. (a) For grants to school
78.10districts for Grow Your Own new teacher programs:
78.11
$
1,500,000
.....
2018
78.12
$
1,500,000
.....
2019
78.13(b) The grants are for school districts with more than 30 percent minority students for
78.14a Board of Teaching-approved nonconventional teacher residency pilot program. The
78.15program must provide tuition scholarships or stipends to enable school district employees
78.16or community members affiliated with a school district who seek an education license to
78.17participate in a nonconventional teacher preparation program. School districts that receive
78.18funds under this subdivision are strongly encouraged to recruit candidates of color and
78.19American Indian candidates to participate in the Grow Your Own new teacher programs.
78.20Districts or schools providing financial support may require a commitment as determined
78.21by the district to teach in the district or school for a reasonable amount of time that does
78.22not exceed five years.
78.23(c) Programs must annually report to the commissioner by the date determined by the
78.24commissioner on their activities under this section, including the number of participants,
78.25the percentage of participants who are of color or who are American Indian, and an
78.26assessment of program effectiveness, including participant feedback, areas for improvement,
78.27the percentage of participants continuing to pursue teacher licensure, and the number of
78.28participants hired in the school or district as teachers after completing preparation programs.
78.29(d) The department may retain up to three percent of the appropriation amount to monitor
78.30and administer the grant program.
78.31(e) Any balance in the first year does not cancel but is available in the second year.
78.32    Subd. 24. Statewide testing and reporting system. For the statewide testing and
78.33reporting system under Minnesota Statutes, section 120B.30:
79.1
$
10,892,000
.....
2018
79.2
$
10,892,000
.....
2019
79.3Any balance in the first year does not cancel but is available in the second year.
79.4    Subd. 25. College entrance examination reimbursement. To reimburse districts for
79.5students who qualify under Minnesota Statutes, section 120B.30, subdivision 1, paragraph
79.6(e), for payment of their college entrance examination fee:
79.7
$
1,511,000
.....
2018
79.8
$
1,511,000
.....
2019
79.9The commissioner must reimburse school districts for their costs of one-time payments
79.10to free or reduced-price meal eligible students who take the ACT or SAT test under
79.11Minnesota Statutes, section 120B.30, subdivision 1.
79.12Any balance in the first year does not cancel but is available in the second year.
79.13    Subd. 26. Alternative teacher compensation aid. For alternative teacher compensation
79.14aid under Minnesota Statutes, section 122A.415, subdivision 4:
79.15
$
89,863,000
.....
2018
79.16
$
89,623,000
.....
2019
79.17The 2018 appropriation includes $8,917,000 for 2017 and $80,946,000 for 2018.
79.18The 2019 appropriation includes $8,993,000 for 2018 and $80,630,000 for 2019.
79.19    Subd. 27. Collaborative urban and greater Minnesota educators of color program
79.20grants. (a) For collaborative urban and greater Minnesota educators of color program grants:
79.21
$
1,000,000
.....
2018
79.22
$
1,000,000
.....
2019
79.23(b) Grants shall be awarded in equal amounts: $195,000 each year is for the Southeast
79.24Asian Teacher program at Concordia University, St. Paul; $195,000 each year is for the
79.25Collaborative Urban Educator program at the University of St. Thomas; $195,000 each year
79.26is for the Center for Excellence in Urban Teaching at Hamline University; and $195,000
79.27each year is for the East Africa Student to Teacher program at Augsburg College.
79.28(c) By January 15 of each year, each institution shall prepare for the legislature a detailed
79.29report regarding the funds used to recruit, retain, and induct teacher candidates who are of
79.30color or who are American Indian. The report must include the total number of teacher
79.31candidates of color, disaggregated by race or ethnic group, who are recruited to the institution,
79.32are newly admitted to the licensure program, are enrolled in the licensure program, have
79.33completed student teaching, have graduated, and are licensed and newly employed as
80.1Minnesota teachers in their licensure field. The total number of teacher candidates who are
80.2of color or who are American Indian at each stage from recruitment to licensed teaching
80.3must be reported as a percentage of total candidates seeking the same licensure at the
80.4institution. The report must include the graduation rate for each cohort of teacher candidates,
80.5the placement rate for each graduating cohort of teacher candidates, and the retention rate
80.6for each graduating cohort of teacher candidates, among other program outcomes.
80.7(d) The commissioner must establish a competitive grant process to award $220,000
80.8each year to Board of Teaching-approved teacher preparation programs, including alternative
80.9teacher preparation programs. The competitive process must award grants based on program
80.10benchmarks, including licensure rates, participation rates, and on-time graduation rates.
80.11(e) For fiscal year 2020 and later, the commissioner must award all collaborative urban
80.12educator grants through the competitive grant program.
80.13(f) Any balance in the first year does not cancel but is available in the second year.
80.14    Subd. 28. Examination fees; teacher training and support programs. (a) For students'
80.15advanced placement and international baccalaureate examination fees under Minnesota
80.16Statutes, section 120B.13, subdivision 3, and the training and related costs for teachers and
80.17other interested educators under Minnesota Statutes, section 120B.13, subdivision 1:
80.18
$
4,500,000
.....
2018
80.19
$
4,500,000
.....
2019
80.20(b) The advanced placement program shall receive 75 percent of the appropriation each
80.21year and the international baccalaureate program shall receive 25 percent of the appropriation
80.22each year. The department, in consultation with representatives of the advanced placement
80.23and international baccalaureate programs selected by the Advanced Placement Advisory
80.24Council and International Baccalaureate Minnesota, respectively, shall determine the amounts
80.25of the expenditures each year for examination fees and training and support programs for
80.26each program.
80.27(c) Notwithstanding Minnesota Statutes, section 120B.13, subdivision 1, at least $500,000
80.28each year is for teachers to attend subject matter summer training programs and follow-up
80.29support workshops approved by the advanced placement or international baccalaureate
80.30programs. The amount of the subsidy for each teacher attending an advanced placement or
80.31international baccalaureate summer training program or workshop shall be the same. The
80.32commissioner shall determine the payment process and the amount of the subsidy.
80.33(d) The commissioner shall pay all examination fees for all students of low-income
80.34families under Minnesota Statutes, section 120B.13, subdivision 3, and to the extent of
81.1available appropriations, shall also pay examination fees for students sitting for an advanced
81.2placement examination, international baccalaureate examination, or both.
81.3Any balance in the first year does not cancel but is available in the second year.
81.4    Subd. 29. Grants to increase science, technology, engineering, and math course
81.5offerings. For grants to schools to encourage low-income and other underserved students
81.6to participate in advanced placement and international baccalaureate programs according
81.7to Minnesota Statutes, section 120B.132:
81.8
$
250,000
.....
2018
81.9
$
250,000
.....
2019
81.10Any balance in the first year does not cancel but is available in the second year.
81.11    Subd. 30. Agricultural educator grants. For agricultural educator grants under section
81.1248:
81.13
$
250,000
.....
2018
81.14
$
250,000
.....
2019
81.15Any balance in the first year does not cancel but is available in the second year.
81.16    Subd. 31. American Indian teacher preparation grants. For joint grants to assist
81.17American Indian people to become teachers under Minnesota Statutes, section 122A.63:
81.18
$
460,000
.....
2018
81.19
$
460,000
.....
2019
81.20    Subd. 32. African American Registry. (a) For grants to the African American Registry
81.21for the Teacher's Forum:
81.22
$
100,000
.....
2018
81.23
$
100,000
.....
2019
81.24(b) The African American Registry must use the grant funds to establish partnerships
81.25with Metropolitan State University and the University of St. Thomas to improve the cultural
81.26competency of candidates seeking a first teaching license. By January 15 of each year, the
81.27African American Registry shall report to the legislature a detailed report regarding the
81.28funds used. The report must include the number of teachers prepared. The base in fiscal
81.29year 2020 is zero.
81.30    Subd. 33. Rural career and technical education consortium. (a) For rural career and
81.31technical education consortium grants:
81.32
$
1,500,000
.....
2018
81.33
$
1,500,000
.....
2019
82.1This appropriation is available until June 30, 2022. If the appropriation in the first year
82.2is insufficient, the 2019 appropriation is available.
82.3(b) The base appropriation in fiscal year 2020 is $3,000,000.
82.4    Subd. 34. Sanneh Foundation. (a) For a grant to the Sanneh Foundation to provide
82.5all-day, in-school, and before- and after-school academic and behavioral interventions for
82.6low-performing and chronically absent students with a focus on low-income students and
82.7students of color throughout the school year and during the summer to decrease absenteeism,
82.8encourage school engagement, and improve grades and graduation rates.
82.9
$
1,000,000
.....
2018
82.10(b) Funds appropriated in this section must be used to establish and provide services in
82.11schools where the Sanneh Foundation does not currently operate, and must not be used for
82.12programs operating in schools as of June 30, 2017.
82.13(c) This is a onetime appropriation. Any balance in the first year does not cancel but is
82.14available in the second year.
82.15    Subd. 35. Alternative teacher preparation grant program. (a) For transfer to the
82.16commissioner of the Office of Higher Education for alternative teacher preparation program
82.17grants under Minnesota Statutes, section 136A.1276:
82.18
$
750,000
.....
2018
82.19
$
0
.....
2019
82.20(b) Any balance in the first year does not cancel but is available in the second year.
82.21    Subd. 36. Teacher shortage loan forgiveness. (a) For transfer to the commissioner of
82.22the Office of Higher Education for the loan forgiveness program under Minnesota Statutes,
82.23section 136A.1791:
82.24
$
500,000
.....
2018
82.25
$
0
.....
2019
82.26(b) The commissioner may use no more than three percent of this appropriation to
82.27administer the program under this subdivision.
82.28(c) Any balance in the first year does not cancel but is available in the second year.
82.29    Subd. 37. Statewide concurrent enrollment teacher training program. For the
82.30statewide concurrent teacher enrollment program under Laws 2016, chapter 189, article 25,
82.31section 58, as amended:
83.1
$
375,000
.....
2018
83.2
$
375,000
.....
2019
83.3Any balance in the first year does not cancel but is available in the second year.

83.4    Sec. 57. REPEALER.
83.5Minnesota Statutes 2016, sections 122A.40, subdivision 11; and 122A.41, subdivision
83.614, are repealed effective July 1, 2018.

83.7ARTICLE 3
83.8TEACHERS

83.9ARTICLE 4
83.10SPECIAL EDUCATION

83.11    Section 1. Minnesota Statutes 2016, section 125A.0941, is amended to read:
83.12125A.0941 DEFINITIONS.
83.13(a) The following terms have the meanings given them.
83.14(b) "Emergency" means a situation where immediate intervention is needed to protect
83.15a child or other individual from physical injury. Emergency does not mean circumstances
83.16such as: a child who does not respond to a task or request and instead places his or her head
83.17on a desk or hides under a desk or table; a child who does not respond to a staff person's
83.18request unless failing to respond would result in physical injury to the child or other
83.19individual; or an emergency incident has already occurred and no threat of physical injury
83.20currently exists.
83.21(c) "Physical holding" means physical intervention intended to hold a child immobile
83.22or limit a child's movement, where body contact is the only source of physical restraint, and
83.23where immobilization is used to effectively gain control of a child in order to protect a child
83.24or other individual from physical injury. The term physical holding does not mean physical
83.25contact that:
83.26(1) helps a child respond or complete a task;
83.27(2) assists a child without restricting the child's movement;
83.28(3) is needed to administer an authorized health-related service or procedure; or
83.29(4) is needed to physically escort a child when the child does not resist or the child's
83.30resistance is minimal.
84.1(d) "Positive behavioral interventions and supports" means interventions and strategies
84.2to improve the school environment and teach children the skills to behave appropriately,
84.3including the key components under section 122A.627.
84.4(e) "Prone restraint" means placing a child in a face down position.
84.5(f) "Restrictive procedures" means the use of physical holding or seclusion in an
84.6emergency. Restrictive procedures must not be used to punish or otherwise discipline a
84.7child.
84.8(g) "Seclusion" means confining a child alone in a room from which egress is barred.
84.9Egress may be barred by an adult locking or closing the door in the room or preventing the
84.10child from leaving the room. Removing a child from an activity to a location where the
84.11child cannot participate in or observe the activity is not seclusion.

84.12    Sec. 2. Minnesota Statutes 2016, section 125A.11, subdivision 1, is amended to read:
84.13    Subdivision 1. Nonresident tuition rate; other costs. (a) For fiscal year 2015 and later,
84.14when a school district provides special instruction and services for a pupil with a disability
84.15as defined in section 125A.02 outside the district of residence, excluding a pupil for whom
84.16an adjustment to special education aid is calculated according to section 127A.47, subdivision
84.177 , paragraphs (b) to (d), special education aid paid to the resident district must be reduced
84.18by an amount equal to (1) the actual cost of providing special instruction and services to
84.19the pupil, including a proportionate amount for special transportation, plus (2) the amount
84.20of general education revenue, excluding local optional revenue, plus local optional aid and
84.21referendum equalization aid attributable to that pupil, calculated using the resident district's
84.22average general education revenue and referendum equalization aid per adjusted pupil unit
84.23excluding basic skills revenue, elementary sparsity revenue and secondary sparsity revenue,
84.24minus (3) the amount of special education aid for children with a disability under section
84.25125A.76 received on behalf of that child, minus (4) if the pupil receives special instruction
84.26and services outside the regular classroom for more than 60 percent of the school day, the
84.27amount of general education revenue and referendum equalization aid, excluding portions
84.28attributable to district and school administration, district support services, operations and
84.29maintenance, capital expenditures, and pupil transportation, attributable to that pupil for
84.30the portion of time the pupil receives special instruction and services outside of the regular
84.31classroom, calculated using the resident district's average general education revenue and
84.32referendum equalization aid per adjusted pupil unit excluding basic skills revenue, elementary
84.33sparsity revenue and secondary sparsity revenue and the serving district's basic skills revenue,
84.34elementary sparsity revenue and secondary sparsity revenue per adjusted pupil unit.
85.1Notwithstanding clauses (1) and (4), for pupils served by a cooperative unit without a fiscal
85.2agent school district, the general education revenue and referendum equalization aid
85.3attributable to a pupil must be calculated using the resident district's average general
85.4education revenue and referendum equalization aid excluding compensatory revenue,
85.5elementary sparsity revenue, and secondary sparsity revenue. Special education aid paid to
85.6the district or cooperative providing special instruction and services for the pupil must be
85.7increased by the amount of the reduction in the aid paid to the resident district. If the resident
85.8district's special education aid is insufficient to make the full adjustment, the remaining
85.9adjustment shall be made to other state aid due to the district.
85.10    (b) Notwithstanding paragraph (a), when a charter school receiving special education
85.11aid under section 124E.21, subdivision 3, provides special instruction and services for a
85.12pupil with a disability as defined in section 125A.02, excluding a pupil for whom an
85.13adjustment to special education aid is calculated according to section 127A.47, subdivision
85.147 , paragraphs (b) to (e), special education aid paid to the resident district must be reduced
85.15by an amount equal to that calculated under paragraph (a) as if the charter school received
85.16aid under section 124E.21, subdivision 1. Notwithstanding paragraph (a), special education
85.17aid paid to the charter school providing special instruction and services for the pupil must
85.18not be increased by the amount of the reduction in the aid paid to the resident district.
85.19    (c) Notwithstanding paragraph (a) and section 127A.47, subdivision 7, paragraphs (b)
85.20to (d):
85.21    (1) an intermediate district or a special education cooperative may recover unreimbursed
85.22costs of serving pupils with a disability, including building lease, debt service, and indirect
85.23costs necessary for the general operation of the organization, by billing membership fees
85.24and nonmember access fees to the resident district;
85.25    (2) a charter school where more than 30 percent of enrolled students receive special
85.26education and related services, a site approved under section 125A.515, an intermediate
85.27district, a site constructed according to Laws 1992, chapter 558, section 7, subdivision 7,
85.28to meet the educational needs of court-placed adolescents, or a special education cooperative
85.29may apply to the commissioner for authority to charge the resident district an additional
85.30amount to recover any remaining unreimbursed costs of serving pupils with a disability;
85.31    (3) the billing under clause (1) or application under clause (2) must include a description
85.32of the costs and the calculations used to determine the unreimbursed portion to be charged
85.33to the resident district. Amounts approved by the commissioner under clause (2) must be
86.1included in the aid adjustments under paragraph (a), or section 127A.47, subdivision 7,
86.2paragraphs (b) to (d), as applicable.
86.3    (d) For purposes of this subdivision and section 127A.47, subdivision 7, paragraph (b),
86.4"general education revenue and referendum equalization aid" means the sum of the general
86.5education revenue according to section 126C.10, subdivision 1, excluding the local optional
86.6levy according to section 126C.10, subdivision 2e, paragraph (c), plus the referendum
86.7equalization aid according to section 126C.17, subdivision 7.
86.8EFFECTIVE DATE.This section is effective the day following final enactment.

86.9    Sec. 3. Minnesota Statutes 2016, section 125A.21, subdivision 2, is amended to read:
86.10    Subd. 2. Third-party reimbursement. (a) Beginning July 1, 2000, districts shall seek
86.11reimbursement from insurers and similar third parties for the cost of services provided by
86.12the district whenever the services provided by the district are otherwise covered by the
86.13child's health coverage. Districts shall request, but may not require, the child's family to
86.14provide information about the child's health coverage when a child with a disability begins
86.15to receive services from the district of a type that may be reimbursable, and shall request,
86.16but may not require, updated information after that as needed.
86.17(b) For children enrolled in medical assistance under chapter 256B or MinnesotaCare
86.18under chapter 256L who have no other health coverage, a district shall provide an initial
86.19and annual written notice to the enrolled child's parent or legal representative of its intent
86.20to seek reimbursement from medical assistance or MinnesotaCare for:
86.21(1) the evaluations required as part of the individualized education program process or
86.22individualized family service plan process; and
86.23(2) health-related services provided by the district according to the individualized
86.24education program or individualized family service plan.
86.25The initial notice must give the child's parent or legal representative the right to request a
86.26copy of the child's education records on the health-related services that the district provided
86.27to the child and disclosed to a third-party payer.
86.28(c) The district shall give the parent or legal representative annual written notice of:
86.29(1) the district's intent to seek reimbursement from medical assistance or MinnesotaCare
86.30for evaluations required as part of the individualized education program process or
86.31individualized family service plan process, and for health-related services provided by the
87.1district according to the individualized education program or individualized family service
87.2plan;
87.3(2) the right of the parent or legal representative to request a copy of all records
87.4concerning individualized education program or individualized family service plan
87.5health-related services disclosed by the district to any third party; and
87.6(3) the right of the parent or legal representative to withdraw consent for disclosure of
87.7a child's records at any time without consequence.
87.8The written notice shall be provided as part of the written notice required by Code of Federal
87.9Regulations, title 34, section 300.504 or 303.520. The district must ensure that the parent
87.10of a child with a disability is given notice, in understandable language, of federal and state
87.11procedural safeguards available to the parent under this paragraph and paragraph (b).
87.12(d) In order to access the private health care coverage of a child who is covered by private
87.13health care coverage in whole or in part, a district must:
87.14(1) obtain annual written informed consent from the parent or legal representative, in
87.15compliance with subdivision 5; and
87.16(2) inform the parent or legal representative that a refusal to permit the district or state
87.17Medicaid agency to access their private health care coverage does not relieve the district of
87.18its responsibility to provide all services necessary to provide free and appropriate public
87.19education at no cost to the parent or legal representative.
87.20(e) If the commissioner of human services obtains federal approval to exempt covered
87.21individualized education program or individualized family service plan health-related
87.22services from the requirement that private health care coverage refuse payment before
87.23medical assistance may be billed, paragraphs (b), (c), and (d) shall also apply to students
87.24with a combination of private health care coverage and health care coverage through medical
87.25assistance or MinnesotaCare.
87.26(f) In the event that Congress or any federal agency or the Minnesota legislature or any
87.27state agency establishes lifetime limits, limits for any health care services, cost-sharing
87.28provisions, or otherwise provides that individualized education program or individualized
87.29family service plan health-related services impact benefits for persons enrolled in medical
87.30assistance or MinnesotaCare, the amendments to this subdivision adopted in 2002 are
87.31repealed on the effective date of any federal or state law or regulation that imposes the
87.32limits. In that event, districts must obtain informed consent consistent with this subdivision
87.33as it existed prior to the 2002 amendments and subdivision 5, before seeking reimbursement
88.1for children enrolled in medical assistance under chapter 256B or MinnesotaCare under
88.2chapter 256L who have no other health care coverage.
88.3EFFECTIVE DATE.This section is effective August 1, 2017.

88.4    Sec. 4. Minnesota Statutes 2016, section 125A.515, is amended to read:
88.5125A.515 PLACEMENT OF STUDENTS; APPROVAL OF EDUCATION
88.6PROGRAM.
88.7    Subdivision 1. Approval of on-site education programs. The commissioner shall
88.8approve on-site education programs for placement of children and youth in residential
88.9facilities including detention centers, before being licensed by the Department of Human
88.10Services or the Department of Corrections. Education programs in these facilities shall
88.11conform to state and federal education laws including the Individuals with Disabilities
88.12Education Act (IDEA). This section applies only to placements in children's residential
88.13facilities licensed by the Department of Human Services or the Department of Corrections.
88.14For purposes of this section, "on-site education program" means the educational services
88.15provided directly on the grounds of the care and treatment children's residential facility to
88.16children and youth placed for care and treatment.
88.17    Subd. 3. Responsibilities for providing education. (a) The district in which the children's
88.18residential facility is located must provide education services, including special education
88.19if eligible, to all students placed in a facility.
88.20(b) For education programs operated by the Department of Corrections, the providing
88.21district shall be the Department of Corrections. For students remanded to the commissioner
88.22of corrections, the providing and resident district shall be the Department of Corrections.
88.23    Subd. 3a. Students without a disability from other states. A school district is not
88.24required to provide education services under this section to a student who:
88.25(1) is not a resident of Minnesota;
88.26(2) does not have an individualized education program; and
88.27(3) does not have a tuition arrangement or agreement to pay the cost of education from
88.28the placing authority.
88.29    Subd. 4. Education services required. (a) Education services must be provided to a
88.30student beginning within three business days after the student enters the care and treatment
88.31children's residential facility. The first four days of the student's placement may be used to
88.32screen the student for educational and safety issues.
89.1(b) If the student does not meet the eligibility criteria for special education, regular
89.2education services must be provided to that student.
89.3    Subd. 5. Education programs for students placed in children's residential facilities.
89.4(a) When a student is placed in a children's residential facility approved under this section
89.5that has an on-site education program, the providing district, upon notice from the care and
89.6treatment children's residential facility, must contact the resident district within one business
89.7day to determine if a student has been identified as having a disability, and to request at
89.8least the student's transcript, and for students with disabilities, the most recent individualized
89.9education program (IEP) and evaluation report, and to determine if the student has been
89.10identified as a student with a disability. The resident district must send a facsimile copy to
89.11the providing district within two business days of receiving the request.
89.12(b) If a student placed under this section has been identified as having a disability and
89.13has an individualized education program in the resident district:
89.14(1) the providing agency must conduct an individualized education program meeting to
89.15reach an agreement about continuing or modifying special education services in accordance
89.16with the current individualized education program goals and objectives and to determine if
89.17additional evaluations are necessary; and
89.18(2) at least the following people shall receive written notice or documented phone call
89.19to be followed with written notice to attend the individualized education program meeting:
89.20(i) the person or agency placing the student;
89.21(ii) the resident district;
89.22(iii) the appropriate teachers and related services staff from the providing district;
89.23(iv) appropriate staff from the children's residential facility;
89.24(v) the parents or legal guardians of the student; and
89.25(vi) when appropriate, the student.
89.26(c) For a student who has not been identified as a student with a disability, a screening
89.27must be conducted by the providing districts as soon as possible to determine the student's
89.28educational and behavioral needs and must include a review of the student's educational
89.29records.
89.30    Subd. 6. Exit report summarizing educational progress. If a student has been placed
89.31in a facility under this section for 15 or more business days, the providing district must
89.32prepare an exit report summarizing the regular education, special education, evaluation,
90.1educational progress, and service information and must send the report to the resident district
90.2and the next providing district if different, the parent or legal guardian, and any appropriate
90.3social service agency. For students with disabilities, this report must include the student's
90.4IEP.
90.5    Subd. 7. Minimum educational services required. When a student is placed in a
90.6children's residential facility approved under this section, at a minimum, the providing
90.7district is responsible for:
90.8(1) the education necessary, including summer school services, for a student who is not
90.9performing at grade level as indicated in the education record or IEP; and
90.10(2) a school day, of the same length as the school day of the providing district, unless
90.11the unique needs of the student, as documented through the IEP or education record in
90.12consultation with treatment providers, requires an alteration in the length of the school day.
90.13    Subd. 8. Placement, services, and due process. When a student's treatment and
90.14educational needs allow, education shall be provided in a regular educational setting. The
90.15determination of the amount and site of integrated services must be a joint decision between
90.16the student's parents or legal guardians and the treatment and education staff. When
90.17applicable, educational placement decisions must be made by the IEP team of the providing
90.18district. Educational services shall be provided in conformance with the least restrictive
90.19environment principle of the Individuals with Disabilities Education Act. The providing
90.20district and care and treatment children's residential facility shall cooperatively develop
90.21discipline and behavior management procedures to be used in emergency situations that
90.22comply with the Minnesota Pupil Fair Dismissal Act and other relevant state and federal
90.23laws and regulations.
90.24    Subd. 9. Reimbursement for education services. (a) Education services provided to
90.25students who have been placed under this section are reimbursable in accordance with
90.26special education and general education statutes.
90.27(b) Indirect or consultative services provided in conjunction with regular education
90.28prereferral interventions and assessment provided to regular education students suspected
90.29of being disabled and who have demonstrated learning or behavioral problems in a screening
90.30are reimbursable with special education categorical aids.
90.31(c) Regular education, including screening, provided to students with or without
90.32disabilities is not reimbursable with special education categorical aids.
91.1    Subd. 10. Students unable to attend school but not covered under this section.
91.2Students who are absent from, or predicted to be absent from, school for 15 consecutive or
91.3intermittent days, and placed at home or in facilities not licensed by the Departments of
91.4Corrections or Human Services are entitled to regular and special education services
91.5consistent with this section or Minnesota Rules, part 3525.2325. These students include
91.6students with and without disabilities who are home due to accident or illness, in a hospital
91.7or other medical facility, or in a day treatment center.

91.8    Sec. 5. Minnesota Statutes 2016, section 125A.74, subdivision 1, is amended to read:
91.9    Subdivision 1. Eligibility. A district may enroll as a provider in the medical assistance
91.10program and receive medical assistance payments for covered evaluations and special
91.11education services provided to persons eligible for medical assistance under chapter 256B.
91.12To receive medical assistance payments, the district must pay the nonfederal share of medical
91.13assistance services provided according to section 256B.0625, subdivision 26, and comply
91.14with relevant provisions of state and federal statutes and regulations governing the medical
91.15assistance program.
91.16EFFECTIVE DATE.This section is effective August 1, 2017.

91.17    Sec. 6. Minnesota Statutes 2016, section 125A.76, subdivision 2c, is amended to read:
91.18    Subd. 2c. Special education aid. (a) For fiscal year 2016 and later, a district's special
91.19education aid equals the sum of the district's special education initial aid under subdivision
91.202a and the district's excess cost aid under section 125A.79, subdivision 5.
91.21(b) Notwithstanding paragraph (a), for fiscal year 2016, the special education aid for a
91.22school district must not exceed the sum of the special education aid the district would have
91.23received for fiscal year 2016 under Minnesota Statutes 2012, sections 125A.76 and 125A.79,
91.24as adjusted according to Minnesota Statutes 2012, sections 125A.11 and 127A.47, subdivision
91.257 , and the product of the district's average daily membership served and the special education
91.26aid increase limit.
91.27(c) Notwithstanding paragraph (a), for fiscal year 2017 and later, the special education
91.28aid for a school district must not exceed the sum of: (i) the product of the district's average
91.29daily membership served and the special education aid increase limit and (ii) the product
91.30of the sum of the special education aid the district would have received for fiscal year 2016
91.31under Minnesota Statutes 2012, sections 125A.76 and 125A.79, as adjusted according to
91.32Minnesota Statutes 2012, sections 125A.11 and 127A.47, subdivision 7, the ratio of the
92.1district's average daily membership served for the current fiscal year to the district's average
92.2daily membership served for fiscal year 2016, and the program growth factor.
92.3(d) Notwithstanding paragraph (a), for fiscal year 2016 and later the special education
92.4aid for a school district, not including a charter school or cooperative unit as defined in
92.5section 123A.24, must not be less than the lesser of (1) the district's nonfederal special
92.6education expenditures for that fiscal year or (2) the product of the sum of the special
92.7education aid the district would have received for fiscal year 2016 under Minnesota Statutes
92.82012, sections 125A.76 and 125A.79, as adjusted according to Minnesota Statutes 2012,
92.9sections 125A.11 and 127A.47, subdivision 7, the ratio of the district's adjusted daily
92.10membership for the current fiscal year to the district's average daily membership for fiscal
92.11year 2016, and the program growth factor.
92.12(e) Notwithstanding subdivision 2a and section 125A.79, a charter school in its first year
92.13of operation shall generate special education aid based on current year data. A newly formed
92.14cooperative unit as defined in section 123A.24 may apply to the commissioner for approval
92.15to generate special education aid for its first year of operation based on current year data,
92.16with an offsetting adjustment to the prior year data used to calculate aid for programs at
92.17participating school districts or previous cooperatives that were replaced by the new
92.18cooperative. The department shall establish procedures to adjust the prior year data and
92.19fiscal year 2016 old formula aid used in calculating special education aid to exclude costs
92.20that have been eliminated for districts where programs have closed or where a substantial
92.21portion of the program has been transferred to a cooperative unit.
92.22(f) The department shall establish procedures through the uniform financial accounting
92.23and reporting system to identify and track all revenues generated from third-party billings
92.24as special education revenue at the school district level; include revenue generated from
92.25third-party billings as special education revenue in the annual cross-subsidy report; and
92.26exclude third-party revenue from calculation of excess cost aid to the districts.
92.27EFFECTIVE DATE.This section is effective for revenue for fiscal year 2018 and later.

92.28    Sec. 7. Minnesota Statutes 2016, section 256B.0625, subdivision 26, is amended to read:
92.29    Subd. 26. Special education services. (a) Medical assistance covers evaluations necessary
92.30in making a determination for eligibility for individualized education program and
92.31individualized family service plan services and for medical services identified in a recipient's
92.32individualized education program and individualized family service plan and covered under
92.33the medical assistance state plan. Covered services include occupational therapy, physical
92.34therapy, speech-language therapy, clinical psychological services, nursing services, school
93.1psychological services, school social work services, personal care assistants serving as
93.2management aides, assistive technology devices, transportation services, health assessments,
93.3and other services covered under the medical assistance state plan. Mental health services
93.4eligible for medical assistance reimbursement must be provided or coordinated through a
93.5children's mental health collaborative where a collaborative exists if the child is included
93.6in the collaborative operational target population. The provision or coordination of services
93.7does not require that the individualized education program be developed by the collaborative.
93.8The services may be provided by a Minnesota school district that is enrolled as a medical
93.9assistance provider or its subcontractor, and only if the services meet all the requirements
93.10otherwise applicable if the service had been provided by a provider other than a school
93.11district, in the following areas: medical necessity, physician's orders, documentation,
93.12personnel qualifications, and prior authorization requirements. The nonfederal share of costs
93.13for services provided under this subdivision is the responsibility of the local school district
93.14as provided in section 125A.74. Services listed in a child's individualized education program
93.15are eligible for medical assistance reimbursement only if those services meet criteria for
93.16federal financial participation under the Medicaid program.
93.17(b) Approval of health-related services for inclusion in the individualized education
93.18program does not require prior authorization for purposes of reimbursement under this
93.19chapter. The commissioner may require physician review and approval of the plan not more
93.20than once annually or upon any modification of the individualized education program that
93.21reflects a change in health-related services.
93.22(c) Services of a speech-language pathologist provided under this section are covered
93.23notwithstanding Minnesota Rules, part 9505.0390, subpart 1, item L, if the person:
93.24(1) holds a masters degree in speech-language pathology;
93.25(2) is licensed by the Minnesota Board of Teaching as an educational speech-language
93.26pathologist; and
93.27(3) either has a certificate of clinical competence from the American Speech and Hearing
93.28Association, has completed the equivalent educational requirements and work experience
93.29necessary for the certificate or has completed the academic program and is acquiring
93.30supervised work experience to qualify for the certificate.
93.31(d) Medical assistance coverage for medically necessary services provided under other
93.32subdivisions in this section may not be denied solely on the basis that the same or similar
93.33services are covered under this subdivision.
94.1(e) The commissioner shall develop and implement package rates, bundled rates, or per
94.2diem rates for special education services under which separately covered services are grouped
94.3together and billed as a unit in order to reduce administrative complexity.
94.4(f) The commissioner shall develop a cost-based payment structure for payment of these
94.5services. Only costs reported through the designated Minnesota Department of Education
94.6data systems in distinct service categories qualify for inclusion in the cost-based payment
94.7structure. The commissioner shall reimburse claims submitted based on an interim rate, and
94.8shall settle at a final rate once the department has determined it. The commissioner shall
94.9notify the school district of the final rate. The school district has 60 days to appeal the final
94.10rate. To appeal the final rate, the school district shall file a written appeal request to the
94.11commissioner within 60 days of the date the final rate determination was mailed. The appeal
94.12request shall specify (1) the disputed items and (2) the name and address of the person to
94.13contact regarding the appeal.
94.14(g) Effective July 1, 2000, medical assistance services provided under an individualized
94.15education program or an individual family service plan by local school districts shall not
94.16count against medical assistance authorization thresholds for that child.
94.17(h) Nursing services as defined in section 148.171, subdivision 15, and provided as an
94.18individualized education program health-related service, are eligible for medical assistance
94.19payment if they are otherwise a covered service under the medical assistance program.
94.20Medical assistance covers the administration of prescription medications by a licensed nurse
94.21who is employed by or under contract with a school district when the administration of
94.22medications is identified in the child's individualized education program. The simple
94.23administration of medications alone is not covered under medical assistance when
94.24administered by a provider other than a school district or when it is not identified in the
94.25child's individualized education program.
94.26EFFECTIVE DATE.This section is effective August 1, 2017.

94.27    Sec. 8. Laws 2016, chapter 189, article 25, section 62, subdivision 17, is amended to read:
94.28    Subd. 17. Southwest Minnesota State University special education teacher education
94.29program. (a) For the Southwest Minnesota State University special education teacher
94.30education program to support Minnesota resident residents working toward licensure in an
94.31online program, including persons currently employed as:
94.32(1) special education paraprofessionals working toward licensure in an online program;
94.33(2) teachers without a special education license working on a variance; or
95.1(3) individuals teaching with a community expert license:
95.2
95.3
$
385,000
132,000
.....
2017
95.4
$
253,000
.....
2018
95.5(b) $253,000 of the $385,000 appropriation in Laws 2016, chapter 189, article 25, section
95.662, subdivision 17, is canceled to the state general fund on June 30, 2017.
95.7The base for this program in fiscal year 2018 is $0. (c) The 2018 appropriation is available
95.8until June 30, 2019.
95.9EFFECTIVE DATE.This section is effective the day following final enactment.

95.10    Sec. 9. SPECIAL EDUCATION ASSISTIVE TECHNOLOGY STUDY.
95.11    Subdivision 1. Study. The commissioner of education must examine the use of assistive
95.12technology in Minnesota school districts. The commissioner may examine financial data,
95.13survey school officials, and use other methods to collect data on the use of assistive
95.14technology by Minnesota's students. The commissioner must consult with the Minnesota
95.15Assistive Technology Advisory Council and other interested organizations to determine the
95.16scope and focus of the study.
95.17    Subd. 2. Data reporting. The commissioner must examine the federally required uniform
95.18financial accounting and reporting standards object codes and, if necessary, recommend
95.19changes to better capture school district spending on assistive technology. The commissioner
95.20must examine approaches to collecting additional student-level assistive technology data
95.21through the electronic data reporting system.
95.22    Subd. 3. Assistive technology manual. The commissioner must examine the department's
95.23assistive technology manual, and determine whether to prepare a revised manual.
95.24    Subd. 4. Report. The commissioner of education must report to the chairs and ranking
95.25minority members of the legislative committees with jurisdiction over kindergarten through
95.26grade 12 education by February 15, 2018, on the use of assistive technology by Minnesota's
95.27students and recommend statutory changes to encourage individualized education programs
95.28and individualized family service plans to incorporate a child-centered assistive technology
95.29plan.

96.1    Sec. 10. APPROPRIATIONS.
96.2    Subdivision 1. Department of Education. The sums indicated in this section are
96.3appropriated from the general fund to the Department of Education for the fiscal years
96.4designated.
96.5    Subd. 2. Special education; regular. For special education aid under Minnesota Statutes,
96.6section 125A.75:
96.7
$
1,338,867,000
.....
2018
96.8
$
1,425,924,000
.....
2019
96.9The 2018 appropriation includes $156,403,000 for 2017 and $1,182,464,000 for 2018.
96.10The 2019 appropriation includes $131,384,000 for 2018 and $1,294,540,000 for 2019.
96.11    Subd. 3. Aid for children with disabilities. For aid under Minnesota Statutes, section
96.12125A.75, subdivision 3, for children with disabilities placed in residential facilities within
96.13the district boundaries for whom no district of residence can be determined:
96.14
$
1,597,000
.....
2018
96.15
$
1,830,000
.....
2019
96.16If the appropriation for either year is insufficient, the appropriation for the other year is
96.17available.
96.18    Subd. 4. Travel for home-based services. For aid for teacher travel for home-based
96.19services under Minnesota Statutes, section 125A.75, subdivision 1:
96.20
$
508,000
.....
2018
96.21
$
532,000
.....
2019
96.22The 2018 appropriation includes $48,000 for 2017 and $460,000 for 2018.
96.23The 2019 appropriation includes $51,000 for 2018 and $481,000 for 2019.
96.24    Subd. 5. Court-placed special education revenue. For reimbursing serving school
96.25districts for unreimbursed eligible expenditures attributable to children placed in the serving
96.26school district by court action under Minnesota Statutes, section 125A.79, subdivision 4:
96.27
$
46,000
.....
2018
96.28
$
47,000
.....
2019
96.29    Subd. 6. Special education out-of-state tuition. For special education out-of-state
96.30tuition under Minnesota Statutes, section 125A.79, subdivision 8:
96.31
$
250,000
.....
2018
96.32
$
250,000
.....
2019

97.1    Sec. 11. REPEALER.
97.2Minnesota Statutes 2016, sections 125A.75, subdivision 7; and 125A.76, subdivision
97.32b, are repealed effective for fiscal year 2018 and later.

97.4ARTICLE 5
97.5FACILITIES AND TECHNOLOGY

97.6    Section 1. Minnesota Statutes 2016, section 43A.08, subdivision 1, is amended to read:
97.7    Subdivision 1. Unclassified positions. Unclassified positions are held by employees
97.8who are:
97.9    (1) chosen by election or appointed to fill an elective office;
97.10    (2) heads of agencies required by law to be appointed by the governor or other elective
97.11officers, and the executive or administrative heads of departments, bureaus, divisions, and
97.12institutions specifically established by law in the unclassified service;
97.13    (3) deputy and assistant agency heads and one confidential secretary in the agencies
97.14listed in subdivision 1a and in the Office of Strategic and Long-Range Planning;
97.15    (4) the confidential secretary to each of the elective officers of this state and, for the
97.16secretary of state and state auditor, an additional deputy, clerk, or employee;
97.17    (5) intermittent help employed by the commissioner of public safety to assist in the
97.18issuance of vehicle licenses;
97.19    (6) employees in the offices of the governor and of the lieutenant governor and one
97.20confidential employee for the governor in the Office of the Adjutant General;
97.21    (7) employees of the Washington, D.C., office of the state of Minnesota;
97.22    (8) employees of the legislature and of legislative committees or commissions; provided
97.23that employees of the Legislative Audit Commission, except for the legislative auditor, the
97.24deputy legislative auditors, and their confidential secretaries, shall be employees in the
97.25classified service;
97.26    (9) presidents, vice-presidents, deans, other managers and professionals in academic
97.27and academic support programs, administrative or service faculty, teachers, research
97.28assistants, and student employees eligible under terms of the federal Economic Opportunity
97.29Act work study program in the Perpich Center for Arts Education and the Minnesota State
97.30Colleges and Universities, but not the custodial, clerical, or maintenance employees, or any
98.1professional or managerial employee performing duties in connection with the business
98.2administration of these institutions;
98.3    (10) officers and enlisted persons in the National Guard;
98.4    (11) attorneys, legal assistants, and three confidential employees appointed by the attorney
98.5general or employed with the attorney general's authorization;
98.6    (12) judges and all employees of the judicial branch, referees, receivers, jurors, and
98.7notaries public, except referees and adjusters employed by the Department of Labor and
98.8Industry;
98.9    (13) members of the State Patrol; provided that selection and appointment of State Patrol
98.10troopers must be made in accordance with applicable laws governing the classified service;
98.11    (14) examination monitors and intermittent training instructors employed by the
98.12Departments of Management and Budget and Commerce and by professional examining
98.13boards and intermittent staff employed by the technical colleges for the administration of
98.14practical skills tests and for the staging of instructional demonstrations;
98.15    (15) student workers;
98.16    (16) executive directors or executive secretaries appointed by and reporting to any
98.17policy-making board or commission established by statute;
98.18    (17) employees unclassified pursuant to other statutory authority;
98.19    (18) intermittent help employed by the commissioner of agriculture to perform duties
98.20relating to pesticides, fertilizer, and seed regulation;
98.21    (19) the administrators and the deputy administrators at the State Academies for the
98.22Deaf and the Blind; and
98.23    (20) chief executive officers in the Department of Human Services.
98.24EFFECTIVE DATE.This section is effective June 30, 2018.

98.25    Sec. 2. Minnesota Statutes 2016, section 43A.08, subdivision 1a, is amended to read:
98.26    Subd. 1a. Additional unclassified positions. Appointing authorities for the following
98.27agencies may designate additional unclassified positions according to this subdivision: the
98.28Departments of Administration; Agriculture; Commerce; Corrections; Education;
98.29Employment and Economic Development; Explore Minnesota Tourism; Management and
98.30Budget; Health; Human Rights; Labor and Industry; Natural Resources; Public Safety;
98.31Human Services; Revenue; Transportation; and Veterans Affairs; the Housing Finance and
99.1Pollution Control Agencies; the State Lottery; the State Board of Investment; the Office of
99.2Administrative Hearings; the Office of MN.IT Services; the Offices of the Attorney General,
99.3Secretary of State, and State Auditor; the Minnesota State Colleges and Universities; the
99.4Minnesota Office of Higher Education; the Perpich Center for Arts Education; and the
99.5Minnesota Zoological Board.
99.6A position designated by an appointing authority according to this subdivision must
99.7meet the following standards and criteria:
99.8(1) the designation of the position would not be contrary to other law relating specifically
99.9to that agency;
99.10(2) the person occupying the position would report directly to the agency head or deputy
99.11agency head and would be designated as part of the agency head's management team;
99.12(3) the duties of the position would involve significant discretion and substantial
99.13involvement in the development, interpretation, and implementation of agency policy;
99.14(4) the duties of the position would not require primarily personnel, accounting, or other
99.15technical expertise where continuity in the position would be important;
99.16(5) there would be a need for the person occupying the position to be accountable to,
99.17loyal to, and compatible with, the governor and the agency head, the employing statutory
99.18board or commission, or the employing constitutional officer;
99.19(6) the position would be at the level of division or bureau director or assistant to the
99.20agency head; and
99.21(7) the commissioner has approved the designation as being consistent with the standards
99.22and criteria in this subdivision.
99.23EFFECTIVE DATE.This section is effective June 30, 2018.

99.24    Sec. 3. [121A.335] LEAD IN SCHOOL DRINKING WATER.
99.25    Subdivision 1. Model plan. The commissioners of health and education shall jointly
99.26develop a model plan to require school districts to accurately and efficiently test for the
99.27presence of lead in water in public school buildings serving students in kindergarten through
99.28grade 12. To the extent possible, the commissioners shall base the plan on the standards
99.29established by the United States Environmental Protection Agency. The plan may be based
99.30on the technical guidance in the Department of Health's document, "Reducing Lead in
99.31Drinking Water: A Technical Guidance for Minnesota's School and Child Care Facilities."
100.1    Subd. 2. School plans. By July 1, 2018, the board of each school district or charter
100.2school must adopt the commissioners' model plan or develop and adopt an alternative plan
100.3to accurately and efficiently test for the presence of lead in water in school buildings serving
100.4prekindergarten students and students in kindergarten through grade 12.
100.5    Subd. 3. Frequency of testing. The plan under subdivision 2 must include a testing
100.6schedule for every building serving prekindergarten through grade 12 students. The schedule
100.7must require that each building be tested at least once every five years. A school district
100.8must begin testing school buildings by July 1, 2018, and complete testing of all buildings
100.9that serve students within five years.
100.10    Subd. 4. Ten-year facilities plan. A school district may include lead testing and
100.11remediation as a part of its ten-year facilities plan under section 123B.595.
100.12    Subd. 5. Reporting. A school district that has tested its building for the presence of lead
100.13shall make the results of the testing available to the public for review and must notify parents
100.14of the availability of the information.
100.15EFFECTIVE DATE.This section is effective July 1, 2017.

100.16    Sec. 4. Minnesota Statutes 2016, section 122A.416, is amended to read:
100.17122A.416 ALTERNATIVE TEACHER COMPENSATION REVENUE FOR
100.18PERPICH CENTER FOR ARTS EDUCATION AND MULTIDISTRICT
100.19INTEGRATION COLLABORATIVES.
100.20Notwithstanding sections 122A.414, 122A.415, and 126C.10, multidistrict integration
100.21collaboratives and the Perpich Center for Arts Education are eligible to receive alternative
100.22teacher compensation revenue as if they were intermediate school districts. To qualify for
100.23alternative teacher compensation revenue, a multidistrict integration collaborative or the
100.24Perpich Center for Arts Education must meet all of the requirements of sections 122A.414
100.25and 122A.415 that apply to intermediate school districts, must report its enrollment as of
100.26October 1 of each year to the department, and must annually report its expenditures for the
100.27alternative teacher professional pay system consistent with the uniform financial accounting
100.28and reporting standards to the department by November 30 of each year.
100.29EFFECTIVE DATE.This section is effective June 30, 2018.

101.1    Sec. 5. Minnesota Statutes 2016, section 123A.30, subdivision 6, is amended to read:
101.2    Subd. 6. Severance pay. A district must pay severance pay to a teacher who is placed
101.3on unrequested leave of absence by the district as a result of the agreement. A teacher is
101.4eligible under this subdivision if the teacher:
101.5(1) is a teacher, but not a superintendent;
101.6(2) has a continuing contract with the district according to section 122A.40, subdivision
101.77 .
101.8The amount of severance pay must be equal to the teacher's salary for the school year
101.9during which the teacher was placed on unrequested leave of absence minus the gross
101.10amount the teacher was paid during the 12 months following the teacher's termination of
101.11salary, by an entity whose teachers by statute or rule must possess a valid Minnesota teaching
101.12license, and minus the amount a teacher receives as severance or other similar pay according
101.13to a contract with the district or district policy. These entities requiring a valid Minnesota
101.14teaching license include, but are not limited to, the district that placed the teacher on
101.15unrequested leave of absence, another district in Minnesota, an education district, an
101.16intermediate school district, a service cooperative, a board formed under section 471.59, a
101.17state residential academy, the Perpich Center for Arts Education, a vocational center, or a
101.18special education cooperative. These entities do not include a district in another state, a
101.19Minnesota public postsecondary institution, or a state agency. Only amounts earned by the
101.20teacher as a substitute teacher or in a position requiring a valid Minnesota teaching license
101.21shall be subtracted. A teacher may decline any offer of employment as a teacher without
101.22loss of rights to severance pay.
101.23To determine the amount of severance pay that is due for the first six months following
101.24termination of the teacher's salary, the district may require the teacher to provide documented
101.25evidence of the teacher's employers and gross earnings during that period. The district must
101.26pay the teacher the amount of severance pay it determines to be due from the proceeds of
101.27the levy for this purpose. To determine the amount of severance pay that is due for the
101.28second six months of the 12 months following the termination of the teacher's salary, the
101.29district may require the teacher to provide documented evidence of the teacher's employers
101.30and gross earnings during that period. The district must pay the teacher the amount of
101.31severance pay it determines to be due from the proceeds of the levy for this purpose.
101.32A teacher who receives severance pay under this subdivision waives all further
101.33reinstatement rights under section 122A.40, subdivision 10 or 11. If the teacher receives
101.34severance pay, the teacher shall not receive credit for any years of service in the district
102.1paying severance pay prior to the year in which the teacher becomes eligible to receive
102.2severance pay.
102.3The severance pay is subject to section 465.72. The district may levy annually according
102.4to section 126C.43, for the severance pay.
102.5EFFECTIVE DATE.This section is effective June 30, 2018.

102.6    Sec. 6. Minnesota Statutes 2016, section 123A.73, subdivision 2, is amended to read:
102.7    Subd. 2. Involuntary Dissolution; referendum revenue. As of the effective date of
102.8the voluntary or involuntary dissolution of a district and its attachment to one or more
102.9existing districts pursuant to sections 123A.60 or 123A.64 to 123A.72, the authorization
102.10for any referendum revenue previously approved by the voters of the dissolved district in
102.11that district pursuant to section 126C.17, subdivision 9, or its predecessor or successor
102.12provision, is canceled. The authorization for any referendum revenue previously approved
102.13by the voters of a district to which all or part of the dissolved district is attached shall not
102.14be affected by the attachment and shall apply to the entire area of the district as enlarged
102.15by the attachment.
102.16EFFECTIVE DATE.This section is effective retroactively to January 1, 2017.

102.17    Sec. 7. Minnesota Statutes 2016, section 123B.595, subdivision 1, is amended to read:
102.18    Subdivision 1. Long-term facilities maintenance revenue. (a) For fiscal year 2017
102.19only, long-term facilities maintenance revenue equals the greater of (1) the sum of (i) $193
102.20times the district's adjusted pupil units times the lesser of one or the ratio of the district's
102.21average building age to 35 years, plus the cost approved by the commissioner for indoor
102.22air quality, fire alarm and suppression, and asbestos abatement projects under section
102.23123B.57, subdivision 6 , with an estimated cost of $100,000 or more per site, plus (ii) for a
102.24school district with an approved voluntary prekindergarten program under section 124D.151,
102.25the cost approved by the commissioner for remodeling existing instructional space to
102.26accommodate prekindergarten instruction, or (2) the sum of (i) the amount the district would
102.27have qualified for under Minnesota Statutes 2014, section 123B.57, Minnesota Statutes
102.282014, section 123B.59, and Minnesota Statutes 2014, section 123B.591, and (ii) for a school
102.29district with an approved voluntary prekindergarten program under section 124D.151, the
102.30cost approved by the commissioner for remodeling existing instructional space to
102.31accommodate prekindergarten instruction.
103.1(b) For fiscal year 2018 only, long-term facilities maintenance revenue equals the greater
103.2of (1) the sum of (i) $292 times the district's adjusted pupil units times the lesser of one or
103.3the ratio of the district's average building age to 35 years, plus (ii) the cost approved by the
103.4commissioner for indoor air quality, fire alarm and suppression, and asbestos abatement
103.5projects under section 123B.57, subdivision 6, with an estimated cost of $100,000 or more
103.6per site, plus (iii) for a school district with an approved voluntary prekindergarten program
103.7under section 124D.151, the cost approved by the commissioner for remodeling existing
103.8instructional space to accommodate prekindergarten instruction, or (2) the sum of (i) the
103.9amount the district would have qualified for under Minnesota Statutes 2014, section 123B.57,
103.10Minnesota Statutes 2014, section 123B.59, and Minnesota Statutes 2014, section 123B.591,
103.11and (ii) for a school district with an approved voluntary prekindergarten program under
103.12section 124D.151, the cost approved by the commissioner for remodeling existing
103.13instructional space to accommodate prekindergarten instruction.
103.14(c) For fiscal year 2019 and later, long-term facilities maintenance revenue equals the
103.15greater of (1) the sum of (i) $380 times the district's adjusted pupil units times the lesser of
103.16one or the ratio of the district's average building age to 35 years, plus (ii) the cost approved
103.17by the commissioner for indoor air quality, fire alarm and suppression, and asbestos
103.18abatement projects under section 123B.57, subdivision 6, with an estimated cost of $100,000
103.19or more per site, plus (iii) for a school district with an approved voluntary prekindergarten
103.20program under section 124D.151, the cost approved by the commissioner for remodeling
103.21existing instructional space to accommodate prekindergarten instruction, or (2) the sum of
103.22(i) the amount the district would have qualified for under Minnesota Statutes 2014, section
103.23123B.57 , Minnesota Statutes 2014, section 123B.59, and Minnesota Statutes 2014, section
103.24123B.591 , and (ii) for a school district with an approved voluntary prekindergarten program
103.25under section 124D.151, the cost approved by the commissioner for remodeling existing
103.26instructional space to accommodate prekindergarten instruction.
103.27(d) Notwithstanding paragraphs (a), (b), and (c), a school district that qualified for
103.28eligibility under Minnesota Statutes 2014, section 123B.59, subdivision 1, paragraph (a),
103.29for fiscal year 2010 remains eligible for funding under this section as a district that would
103.30have qualified for eligibility under Minnesota Statutes 2014, section 123B.59, subdivision
103.311, paragraph (a), for fiscal year 2017 and later.
103.32EFFECTIVE DATE.This section is effective the day following final enactment.

104.1    Sec. 8. Minnesota Statutes 2016, section 123B.595, subdivision 4, is amended to read:
104.2    Subd. 4. Facilities plans. (a) To qualify for revenue under this section, a school district
104.3or intermediate district, not including a charter school, must have a ten-year facility plan
104.4adopted by the school board and approved by the commissioner. The plan must include
104.5provisions for implementing a health and safety program that complies with health, safety,
104.6and environmental regulations and best practices, including indoor air quality management
104.7and remediation of lead hazards.
104.8(b) The district must annually update the plan, submit the plan to the commissioner for
104.9approval by July 31, and indicate whether the district will issue bonds to finance the plan
104.10or levy for the costs.
104.11    (c) For school districts issuing bonds to finance the plan, the plan must include a debt
104.12service schedule demonstrating that the debt service revenue required to pay the principal
104.13and interest on the bonds each year will not exceed the projected long-term facilities revenue
104.14for that year.
104.15EFFECTIVE DATE.This section is effective for revenue for fiscal year 2018 and later.

104.16    Sec. 9. Minnesota Statutes 2016, section 123B.71, subdivision 11, is amended to read:
104.17    Subd. 11. Review of proposals. In reviewing each proposal, the commissioner shall
104.18submit to the school board, within 60 days of receiving the proposal, the review and comment
104.19about the educational and economic advisability of the project. The commissioner must
104.20include comments from residents of the school district in the review and comment. The
104.21review and comment shall be based on information submitted with the proposal and other
104.22information the commissioner determines is necessary. If the commissioner submits a
104.23negative review and comment for a portion of a proposal, the review and comment shall
104.24clearly specify which portion of the proposal received a negative review and comment and
104.25which portion of the proposal received a positive review and comment.

104.26    Sec. 10. Minnesota Statutes 2016, section 123B.71, subdivision 12, is amended to read:
104.27    Subd. 12. Publication. (a) At least 20 days but not more than 60 days before a referendum
104.28for bonds or solicitation of bids for a project that has received a positive or unfavorable
104.29review and comment under section 123B.70, the school board shall publish a summary of
104.30the commissioner's review and comment of that project in the legal newspaper of the district.
104.31The school board must hold a public meeting to discuss the commissioner's review and
105.1comment before the referendum for bonds. Supplementary information shall be available
105.2to the public.
105.3(b) The publication requirement in paragraph (a) does not apply to alternative facilities
105.4projects approved under section 123B.59.

105.5    Sec. 11. Minnesota Statutes 2016, section 124D.05, subdivision 3, is amended to read:
105.6    Subd. 3. Severance pay. A district must pay severance pay to a teacher who is placed
105.7on unrequested leave of absence by the district as a result of an agreement under this section.
105.8A teacher is eligible under this subdivision if the teacher:
105.9(1) is a teacher, as defined in section 122A.40, subdivision 1, but not a superintendent;
105.10(2) has a continuing contract with the district according to section 122A.40, subdivision
105.117 .
105.12The amount of severance pay must be equal to the teacher's salary for the school year
105.13during which the teacher was placed on unrequested leave of absence minus the gross
105.14amount the teacher was paid during the 12 months following the teacher's termination of
105.15salary, by an entity whose teachers by statute or rule must possess a valid Minnesota teaching
105.16license, and minus the amount a teacher receives as severance or other similar pay according
105.17to a contract with the district or district policy. These entities include, but are not limited
105.18to, the district that placed the teacher on unrequested leave of absence, another district in
105.19Minnesota, an education district, an intermediate school district, a service cooperative, a
105.20board formed under section 471.59, a state residential academy, the Perpich Center for Arts
105.21Education, a vocational center, or a special education cooperative. These entities do not
105.22include a district in another state, a Minnesota public postsecondary institution, or a state
105.23agency. Only amounts earned by the teacher as a substitute teacher or in a position requiring
105.24a valid Minnesota teaching license shall be subtracted. A teacher may decline any offer of
105.25employment as a teacher without loss of rights to severance pay.
105.26To determine the amount of severance pay that is due for the first six months following
105.27termination of the teacher's salary, the district may require the teacher to provide documented
105.28evidence of the teacher's employers and gross earnings during that period. The district must
105.29pay the teacher the amount of severance pay it determines to be due from the proceeds of
105.30the levy for this purpose. To determine the amount of severance pay that is due for the
105.31second six months of the 12 months following the termination of the teacher's salary, the
105.32district may require the teacher to provide documented evidence of the teacher's employers
106.1and gross earnings during that period. The district must pay the teacher the amount of
106.2severance pay it determines to be due from the proceeds of the levy for this purpose.
106.3A teacher who receives severance pay under this subdivision waives all further
106.4reinstatement rights under section 122A.40, subdivision 10 or 11. If the teacher receives
106.5severance pay, the teacher must not receive credit for any years of service in the district
106.6paying severance pay prior to the year in which the teacher becomes eligible to receive
106.7severance pay.
106.8The severance pay is subject to section 465.72. The district may levy annually according
106.9to section 126C.43 for the severance pay.
106.10EFFECTIVE DATE.This section is effective June 30, 2018.

106.11    Sec. 12. [127A.155] LOLA AND RUDY PERPICH ARTS EDUCATION DIVISION.
106.12    Subdivision 1. Establishment of arts education division. The department must provide
106.13arts support services to school districts throughout Minnesota through the establishment of
106.14the Lola and Rudy Perpich arts education and outreach division.
106.15    Subd. 2. Division responsibilities. (a) The Perpich division must offer resources and
106.16outreach services statewide to enhance arts education opportunities for pupils in elementary
106.17and secondary school. The Perpich division must work with school districts across Minnesota
106.18to:
106.19(1) gather and conduct research in arts education;
106.20(2) develop exemplary curriculum, instructional practices, and assessments;
106.21(3) disseminate information regarding arts education opportunities; and
106.22(4) provide materials, training, and assistance to the arts education committees in school
106.23districts.
106.24(b) The Perpich division must collaborate with the commissioner of education to develop
106.25arts standards and strengthen state policies related to arts education.
106.26(c) The Perpich division must serve as liaison for the Department of Education to national
106.27organizations for arts education.
106.28(d) The commissioner may, on behalf of the Perpich division, apply for funds from
106.29public and private sources.
106.30EFFECTIVE DATE.This section is effective July 1, 2017.

107.1    Sec. 13. Minnesota Statutes 2016, section 297A.70, subdivision 2, is amended to read:
107.2    Subd. 2. Sales to government. (a) All sales, except those listed in paragraph (b), to the
107.3following governments and political subdivisions, or to the listed agencies or instrumentalities
107.4of governments and political subdivisions, are exempt:
107.5(1) the United States and its agencies and instrumentalities;
107.6(2) school districts, local governments, the University of Minnesota, state universities,
107.7community colleges, technical colleges, state academies, the Perpich Minnesota Center for
107.8Arts Education, and an instrumentality of a political subdivision that is accredited as an
107.9optional/special function school by the North Central Association of Colleges and Schools;
107.10(3) hospitals and nursing homes owned and operated by political subdivisions of the
107.11state of tangible personal property and taxable services used at or by hospitals and nursing
107.12homes;
107.13(4) notwithstanding paragraph (d), the sales and purchases by the Metropolitan Council
107.14of vehicles and repair parts to equip operations provided for in section 473.4051 are exempt
107.15through December 31, 2016;
107.16(5) other states or political subdivisions of other states, if the sale would be exempt from
107.17taxation if it occurred in that state; and
107.18(6) public libraries, public library systems, multicounty, multitype library systems as
107.19defined in section 134.001, county law libraries under chapter 134A, state agency libraries,
107.20the state library under section 480.09, and the Legislative Reference Library.
107.21(b) This exemption does not apply to the sales of the following products and services:
107.22(1) building, construction, or reconstruction materials purchased by a contractor or a
107.23subcontractor as a part of a lump-sum contract or similar type of contract with a guaranteed
107.24maximum price covering both labor and materials for use in the construction, alteration, or
107.25repair of a building or facility;
107.26(2) construction materials purchased by tax exempt entities or their contractors to be
107.27used in constructing buildings or facilities which will not be used principally by the tax
107.28exempt entities;
107.29(3) the leasing of a motor vehicle as defined in section 297B.01, subdivision 11, except
107.30for leases entered into by the United States or its agencies or instrumentalities;
107.31(4) lodging as defined under section 297A.61, subdivision 3, paragraph (g), clause (2),
107.32and prepared food, candy, soft drinks, and alcoholic beverages as defined in section 297A.67,
108.1subdivision 2 , except for lodging, prepared food, candy, soft drinks, and alcoholic beverages
108.2purchased directly by the United States or its agencies or instrumentalities; or
108.3(5) goods or services purchased by a local government as inputs to a liquor store, gas
108.4or electric utility, solid waste hauling service, solid waste recycling service, landfill, golf
108.5course, marina, campground, cafe, or laundromat.
108.6(c) As used in this subdivision, "school districts" means public school entities and districts
108.7of every kind and nature organized under the laws of the state of Minnesota, and any
108.8instrumentality of a school district, as defined in section 471.59.
108.9(d) For purposes of the exemption granted under this subdivision, "local governments"
108.10has the following meaning:
108.11(1) for the period prior to January 1, 2017, local governments means statutory or home
108.12rule charter cities, counties, and townships; and
108.13(2) beginning January 1, 2017, local governments means statutory or home rule charter
108.14cities, counties, and townships; special districts as defined under section 6.465; any
108.15instrumentality of a statutory or home rule charter city, county, or township as defined in
108.16section 471.59; and any joint powers board or organization created under section 471.59.
108.17EFFECTIVE DATE.This section is effective June 30, 2018.

108.18    Sec. 14. Laws 2016, chapter 189, article 30, section 25, subdivision 5, is amended to read:
108.19    Subd. 5. Early repayment aid incentive. (a) For incentive grants for a district that
108.20repays the full outstanding original principal on its capital loan by November 30, 2016,
108.21under Laws 2011, First Special Session chapter 11, article 4, section 8, as amended by this
108.22act:
108.23
108.24
$
2,200,000
2,350,000
.....
2017
108.25(b) Of this amount, $150,000 is for a grant to Independent School District No. 36,
108.26Kelliher; $180,000 is for a grant to Independent School District No. 95, Cromwell; $495,000
108.27is for a grant to Independent School District No. 299, Caledonia; $220,000 is for a grant to
108.28Independent School District No. 306, Laporte; $150,000 is for a grant to Independent School
108.29District No. 362, Littlefork; $650,000 is for a grant to Independent School District No. 682,
108.30Roseau; and $505,000 is for a grant to Independent School District No. 2580, East Central.
108.31(c) The grant may be used for any school-related purpose.
108.32(d) The base appropriation for 2022 is zero.
109.1EFFECTIVE DATE.This section is effective the day following final enactment.

109.2    Sec. 15. DISPOSITION OF CROSSWINDS SCHOOL; PROCEEDS OF SALE.
109.3(a) Notwithstanding the appropriation of state general obligation bond proceeds in Laws
109.41998, chapter 404, section 5, subdivision 5; Laws 1999, chapter 240, article 1, section 3;
109.5Laws 2000, chapter 492, article 1, section 5, subdivision 2; Laws 2001, First Special Session
109.6chapter 12, section 2, subdivision 2; and Laws 2005, chapter 20, article 1, section 5,
109.7subdivision 3, to acquire and better the Crosswinds school facilities by the Joint Powers
109.8District No. 6067, East Metro Integration District, in Woodbury, the Crosswinds school
109.9may be conveyed or sold by the commissioner of administration to a buyer on the open
109.10market.
109.11(b) As soon as practicable following July 1, 2017, and consistent with Minnesota Statutes,
109.12sections 16A.695 and 16B.281 to 16B.298, and constraints on the disposition of
109.13bond-financed property, the commissioner of administration shall offer the Crosswinds
109.14school property for sale for no less than fair market value. Before offering the Crosswinds
109.15school property for sale, the commissioner of administration must determine that the property
109.16is no longer needed to carry out the governmental program for which it was acquired or
109.17constructed.
109.18EFFECTIVE DATE.This section is effective July 1, 2017.

109.19    Sec. 16. TRANSITION REQUIREMENTS; CROSSWINDS SCHOOL.
109.20For the 2017-2018 school year only, for a school district or charter school enrolling
109.21pupils at the Crosswinds school, the Department of Education must calculate compensatory
109.22revenue, literacy aid, and alternative compensation revenue for the Crosswinds school based
109.23on the October 1, 2016, enrollment counts at that site.
109.24EFFECTIVE DATE.This section is effective July 1, 2017.

109.25    Sec. 17. PERPICH CENTER FOR ARTS EDUCATION CLOSURE.
109.26    Subdivision 1. Perpich Center for Arts Education abolished. (a) The Perpich Center
109.27for Arts Education (Perpich Center) is abolished effective June 30, 2018. Abolishment under
109.28this section does not reduce or otherwise limit the powers and authority of the Perpich Center
109.29during the concluding duration of its existence.
109.30(b) Notwithstanding any other law, any unexpended and unencumbered appropriations
109.31to the Perpich Center lapse to the fund or account from which they were appropriated on
110.1June 30, 2018. All money in a dedicated fund or account of the Perpich Center on June 30,
110.22018, must be transferred to the general fund.
110.3    Subd. 2. Library. All property in the Perpich Arts Library is transferred to the State
110.4Library Services Division of the Department of Education, in accordance with Minnesota
110.5Statutes, section 15.039, subdivisions 5 and 8, effective June 1, 2018.
110.6    Subd. 3. Student enrollment. Students enrolled in the Perpich Arts High School during
110.7the 2016-2017 school year may continue to enroll in that school for the 2017-2018 school
110.8year. No student may enroll in the Perpich Arts High School after the 2017-2018 school
110.9year.
110.10    Subd. 4. Education records. The Perpich Center must transfer the education records
110.11of each student of the Perpich Arts High School and Crosswinds school according to
110.12Minnesota Statutes, section 120A.22, subdivision 7.
110.13EFFECTIVE DATE.This section is effective the day following final enactment.

110.14    Sec. 18. APPROPRIATIONS.
110.15    Subdivision 1. Department of Education. The sums indicated in this section are
110.16appropriated from the general fund to the Department of Education for the fiscal years
110.17designated.
110.18    Subd. 2. Debt service equalization aid. For debt service equalization aid under
110.19Minnesota Statutes, section 123B.53, subdivision 6:
110.20
$
24,908,000
.....
2018
110.21
$
22,360,000
.....
2019
110.22The 2018 appropriation includes $2,324,000 for 2017 and $22,584,000 for 2018.
110.23The 2019 appropriation includes $2,509,000 for 2018 and $19,851,000 for 2019.
110.24    Subd. 3. Long-term facilities maintenance equalized aid. For long-term facilities
110.25maintenance equalized aid under Minnesota Statutes, section 123B.595, subdivision 9:
110.26
$
80,121,000
.....
2018
110.27
$
103,397,000
.....
2019
110.28The 2018 appropriation includes $5,815,000 for 2017 and $74,306,000 for 2018.
110.29The 2019 appropriation includes $8,256,000 for 2018 and $95,141,000 for 2019.
110.30    Subd. 4. Equity in telecommunications access. For equity in telecommunications
110.31access:
111.1
$
3,750,000
.....
2018
111.2
$
3,750,000
.....
2019
111.3If the appropriation amount is insufficient, the commissioner shall reduce the
111.4reimbursement rate in Minnesota Statutes, section 125B.26, subdivisions 4 and 5, and the
111.5revenue for fiscal years 2018 and 2019 shall be prorated.
111.6Any balance in the first year does not cancel but is available in the second year.
111.7    Subd. 5. Early repayment aid incentive. (a) For incentive grants for a district that
111.8repays the full outstanding original principal on its capital loan by November 30, 2016,
111.9under Laws 2011, First Special Session chapter 11, article 4, section 8, as amended by Laws
111.102016, chapter 189, article 30, section 22:
111.11
$
2,350,000
.....
2018
111.12
$
2,350,000
.....
2019
111.13(b) Of this amount, $150,000 is for a grant to Independent School District No. 36,
111.14Kelliher; $180,000 is for a grant to Independent School District No. 95, Cromwell; $495,000
111.15is for a grant to Independent School District No. 299, Caledonia; $220,000 is for a grant to
111.16Independent School District No. 306, Laporte; $150,000 is for a grant to Independent School
111.17District No. 362, Littlefork; $650,000 is for a grant to Independent School District No. 682,
111.18Roseau; and $505,000 is for a grant to Independent School District No. 2580, East Central.
111.19(c) The grant may be used for any school-related purpose.
111.20(d) The base for 2022 is $0.

111.21    Sec. 19. REPEALER.
111.22(a) Minnesota Statutes 2016, section 123A.73, subdivision 3, is repealed retroactively
111.23to January 1, 2017.
111.24(b) Minnesota Statutes 2016, sections 129C.10, subdivision 5a; and 129C.30, are repealed
111.25effective July 1, 2017.
111.26(c) Minnesota Statutes 2016, sections 129C.10, subdivisions 1, 2, 3, 3a, 3b, 4, 4a, 6, 7,
111.27and 8; 129C.105; 129C.15; 129C.20; 129C.25; and 129C.26, and Minnesota Rules, parts
111.283600.0010, subparts 1, 2, 2a, 2b, 3, and 6; 3600.0020; 3600.0030, subparts 1, 2, 4, and 6;
111.293600.0045; 3600.0055; 3600.0065; 3600.0075; and 3600.0085, are repealed effective June
111.3030, 2018.

112.1ARTICLE 6
112.2NUTRITION

112.3    Section 1. Minnesota Statutes 2016, section 123B.52, subdivision 1, is amended to read:
112.4    Subdivision 1. Contracts. A contract for work or labor, or for the purchase of furniture,
112.5fixtures, or other property, except books registered under the copyright laws and information
112.6systems software, or for the construction or repair of school houses, the estimated cost or
112.7value of which shall exceed that specified in section 471.345, subdivision 3, must not be
112.8made by the school board without first advertising for bids or proposals by two weeks'
112.9published notice in the official newspaper. This notice must state the time and place of
112.10receiving bids and contain a brief description of the subject matter.
112.11    Additional publication in the official newspaper or elsewhere may be made as the board
112.12shall deem necessary.
112.13    After taking into consideration conformity with the specifications, terms of delivery,
112.14and other conditions imposed in the call for bids, every such contract for which a call for
112.15bids has been issued must be awarded to the lowest responsible bidder, be duly executed
112.16in writing, and be otherwise conditioned as required by law. The person to whom the contract
112.17is awarded shall give a sufficient bond to the board for its faithful performance.
112.18Notwithstanding section 574.26 or any other law to the contrary, on a contract limited to
112.19the purchase of a finished tangible product, a board may require, at its discretion, a
112.20performance bond of a contractor in the amount the board considers necessary. A record
112.21must be kept of all bids, with names of bidders and amount of bids, and with the successful
112.22bid indicated thereon. A bid containing an alteration or erasure of any price contained in
112.23the bid which is used in determining the lowest responsible bid must be rejected unless the
112.24alteration or erasure is corrected as provided in this section. An alteration or erasure may
112.25be crossed out and the correction thereof printed in ink or typewritten adjacent thereto and
112.26initialed in ink by the person signing the bid. In the case of identical low bids from two or
112.27more bidders, the board may, at its discretion, utilize negotiated procurement methods with
112.28the tied low bidders for that particular transaction, so long as the price paid does not exceed
112.29the low tied bid price. In the case where only a single bid is received, the board may, at its
112.30discretion, negotiate a mutually agreeable contract with the bidder so long as the price paid
112.31does not exceed the original bid. If no satisfactory bid is received, the board may readvertise.
112.32Standard requirement price contracts established for supplies or services to be purchased
112.33by the district must be established by competitive bids. Such standard requirement price
112.34contracts may contain escalation clauses and may provide for a negotiated price increase
113.1or decrease based upon a demonstrable industrywide or regional increase or decrease in the
113.2vendor's costs. Either party to the contract may request that the other party demonstrate
113.3such increase or decrease. The term of such contracts must not exceed two years with an
113.4option on the part of the district to renew for an additional two years, except as provided in
113.5subdivision 7. Contracts for the purchase of perishable food items, except milk for school
113.6lunches and vocational training programs, in any amount may be made by direct negotiation
113.7by obtaining two or more written quotations for the purchase or sale, when possible, without
113.8advertising for bids or otherwise complying with the requirements of this section or section
113.9471.345, subdivision 3 . All quotations obtained shall be kept on file for a period of at least
113.10one year after receipt.
113.11    Every contract made without compliance with the provisions of this section shall be
113.12void. Except in the case of the destruction of buildings or injury thereto, where the public
113.13interest would suffer by delay, contracts for repairs may be made without advertising for
113.14bids.
113.15EFFECTIVE DATE.This section is effective for contracts entered into on or after July
113.161, 2017.

113.17    Sec. 2. Minnesota Statutes 2016, section 123B.52, is amended by adding a subdivision to
113.18read:
113.19    Subd. 7. Food service contracts. A contract between a school board and a food service
113.20management company that complies with Code of Federal Regulations, title 7, section
113.21210.16, may be renewed annually after its initial term for not more than four additional
113.22years.
113.23EFFECTIVE DATE.This section is effective for contracts entered into on or after July
113.241, 2017.

113.25    Sec. 3. Minnesota Statutes 2016, section 124D.1158, subdivision 3, is amended to read:
113.26    Subd. 3. Program reimbursement. Each school year, the state must reimburse each
113.27participating school 30 cents for each reduced-price breakfast, 55 cents for each fully paid
113.28breakfast served to students in grades 1 to 12, and $1.30 for each fully paid breakfast served
113.29to a prekindergarten student enrolled in an approved voluntary prekindergarten program
113.30under section 124D.151 or a kindergarten student.

114.1    Sec. 4. Minnesota Statutes 2016, section 124D.1158, subdivision 4, is amended to read:
114.2    Subd. 4. No fees. A school that receives school breakfast aid under this section must
114.3make breakfast available without charge to all participating students in grades 1 to 12 who
114.4qualify for free or reduced-price meals and to all prekindergarten students enrolled in an
114.5approved voluntary prekindergarten program under section 124D.151 and all kindergarten
114.6students.

114.7    Sec. 5. APPROPRIATIONS.
114.8    Subdivision 1. Department of Education. The sums indicated in this section are
114.9appropriated from the general fund to the Department of Education for the fiscal years
114.10designated.
114.11    Subd. 2. School lunch. For school lunch aid under Minnesota Statutes, section 124D.111,
114.12and Code of Federal Regulations, title 7, section 210.17:
114.13
$
16,670,000
.....
2018
114.14
$
17,172,000
.....
2019
114.15    Subd. 3. School breakfast. For traditional school breakfast aid under Minnesota Statutes,
114.16section 124D.1158:
114.17
$
10,511,000
.....
2018
114.18
$
11,269,000
.....
2019
114.19    Subd. 4. Kindergarten milk. For kindergarten milk aid under Minnesota Statutes,
114.20section 124D.118:
114.21
$
758,000
.....
2018
114.22
$
758,000
.....
2019
114.23    Subd. 5. Summer school food service replacement aid. For summer school food service
114.24replacement aid under Minnesota Statutes, section 124D.119:
114.25
$
150,000
.....
2018
114.26
$
150,000
.....
2019

114.27ARTICLE 7
114.28LIBRARIES

114.29    Section 1. Minnesota Statutes 2016, section 134.31, subdivision 2, is amended to read:
114.30    Subd. 2. Advice and instruction. The Department of Education shall give advice and
114.31instruction to the managers of any public library or to any governing body maintaining a
115.1library or empowered to do so by law upon any matter pertaining to the organization,
115.2maintenance, or administration of libraries. The department may also give advice and
115.3instruction, as requested, to postsecondary educational institutions, school districts or charter
115.4schools, state agencies, governmental units, nonprofit organizations, or private entities. It
115.5shall assist, to the extent possible, in the establishment and organization of library service
115.6in those areas where adequate services do not exist, and may aid in improving previously
115.7established library services. The department shall also provide assistance to school districts,
115.8regional library systems, and member libraries interested in offering joint library services
115.9at a single location.

115.10    Sec. 2. APPROPRIATIONS.
115.11    Subdivision 1. Department of Education. The sums indicated in this section are
115.12appropriated from the general fund to the Department of Education for the fiscal years
115.13designated.
115.14    Subd. 2. Basic system support. For basic system support aid under Minnesota Statutes,
115.15section 134.355:
115.16
$
13,570,000
.....
2018
115.17
$
13,570,000
.....
2019
115.18The 2018 appropriation includes $1,357,000 for 2017 and $12,213,000 for 2018.
115.19The 2019 appropriation includes $1,357,000 for 2018 and $12,213,000 for 2019.
115.20    Subd. 3. Multicounty, multitype library systems. For aid under Minnesota Statutes,
115.21sections 134.353 and 134.354, to multicounty, multitype library systems:
115.22
$
1,300,000
.....
2018
115.23
$
1,300,000
.....
2019
115.24The 2018 appropriation includes $130,000 for 2017 and $1,170,000 for 2018.
115.25The 2019 appropriation includes $130,000 for 2018 and $1,170,000 for 2019.
115.26    Subd. 4. Electronic library for Minnesota. For statewide licenses to online databases
115.27selected in cooperation with the Minnesota Office of Higher Education for school media
115.28centers, public libraries, state government agency libraries, and public or private college or
115.29university libraries:
115.30
$
900,000
.....
2018
115.31
$
900,000
.....
2019
115.32Any balance in the first year does not cancel but is available in the second year.
116.1    Subd. 5. Regional library telecommunications aid. For regional library
116.2telecommunications aid under Minnesota Statutes, section 134.355:
116.3
$
2,300,000
.....
2018
116.4
$
2,300,000
.....
2019
116.5The 2018 appropriation includes $230,000 for 2017 and $2,070,000 for 2018.
116.6The 2019 appropriation includes $230,000 for 2018 and $2,070,000 for 2019.

116.7ARTICLE 8
116.8EARLY CHILDHOOD AND FAMILY SUPPORT

116.9    Section 1. Minnesota Statutes 2016, section 123B.595, subdivision 1, is amended to read:
116.10    Subdivision 1. Long-term facilities maintenance revenue. (a) For fiscal year 2017
116.11only, long-term facilities maintenance revenue equals the greater of (1) the sum of (i) $193
116.12times the district's adjusted pupil units times the lesser of one or the ratio of the district's
116.13average building age to 35 years, plus the cost approved by the commissioner for indoor
116.14air quality, fire alarm and suppression, and asbestos abatement projects under section
116.15123B.57, subdivision 6 , with an estimated cost of $100,000 or more per site, plus (ii) for a
116.16school district with an approved voluntary prekindergarten program under section 124D.151,
116.17the cost approved by the commissioner for remodeling existing instructional space to
116.18accommodate prekindergarten instruction, or (2) the sum of (i) the amount the district would
116.19have qualified for under Minnesota Statutes 2014, section 123B.57, Minnesota Statutes
116.202014, section 123B.59, and Minnesota Statutes 2014, section 123B.591, and (ii) for a school
116.21district with an approved voluntary prekindergarten program under section 124D.151, the
116.22cost approved by the commissioner for remodeling existing instructional space to
116.23accommodate prekindergarten instruction.
116.24(b) For fiscal year 2018 only, long-term facilities maintenance revenue equals the greater
116.25of (1) the sum of (i) $292 times the district's adjusted pupil units times the lesser of one or
116.26the ratio of the district's average building age to 35 years, plus (ii) the cost approved by the
116.27commissioner for indoor air quality, fire alarm and suppression, and asbestos abatement
116.28projects under section 123B.57, subdivision 6, with an estimated cost of $100,000 or more
116.29per site, plus (iii) for a school district with an approved voluntary prekindergarten program
116.30under section 124D.151, the cost approved by the commissioner for remodeling existing
116.31instructional space to accommodate prekindergarten instruction, or (2) the sum of (i) the
116.32amount the district would have qualified for under Minnesota Statutes 2014, section 123B.57,
116.33Minnesota Statutes 2014, section 123B.59, and Minnesota Statutes 2014, section 123B.591,
117.1and (ii) for a school district with an approved voluntary prekindergarten program under
117.2section 124D.151, the cost approved by the commissioner for remodeling existing
117.3instructional space to accommodate prekindergarten instruction.
117.4(c) For fiscal year 2019 and later, long-term facilities maintenance revenue equals the
117.5greater of (1) the sum of (i) $380 times the district's adjusted pupil units times the lesser of
117.6one or the ratio of the district's average building age to 35 years, plus (ii) the cost approved
117.7by the commissioner for indoor air quality, fire alarm and suppression, and asbestos
117.8abatement projects under section 123B.57, subdivision 6, with an estimated cost of $100,000
117.9or more per site, plus (iii) for a school district with an approved voluntary prekindergarten
117.10program under section 124D.151, the cost approved by the commissioner for remodeling
117.11existing instructional space to accommodate prekindergarten instruction, or (2) the sum of
117.12(i) the amount the district would have qualified for under Minnesota Statutes 2014, section
117.13123B.57 , Minnesota Statutes 2014, section 123B.59, and Minnesota Statutes 2014, section
117.14123B.591 , and (ii) for a school district with an approved voluntary prekindergarten program
117.15under section 124D.151, the cost approved by the commissioner for remodeling existing
117.16instructional space to accommodate prekindergarten instruction.
117.17(d) Notwithstanding paragraphs (a), (b), and (c), a school district that qualified for
117.18eligibility under Minnesota Statutes 2014, section 123B.59, subdivision 1, paragraph (a),
117.19for fiscal year 2010 remains eligible for funding under this section as a district that would
117.20have qualified for eligibility under Minnesota Statutes 2014, section 123B.59, subdivision
117.211, paragraph (a), for fiscal year 2017 and later.
117.22EFFECTIVE DATE.This section is effective the day following final enactment.

117.23    Sec. 2. Minnesota Statutes 2016, section 124D.1158, subdivision 3, is amended to read:
117.24    Subd. 3. Program reimbursement. Each school year, the state must reimburse each
117.25participating school 30 cents for each reduced-price breakfast, 55 cents for each fully paid
117.26breakfast served to students in grades 1 to 12, and $1.30 for each fully paid breakfast served
117.27to a prekindergarten student enrolled in an approved voluntary prekindergarten program
117.28under section 124D.151 or a kindergarten student.

117.29    Sec. 3. Minnesota Statutes 2016, section 124D.1158, subdivision 4, is amended to read:
117.30    Subd. 4. No fees. A school that receives school breakfast aid under this section must
117.31make breakfast available without charge to all participating students in grades 1 to 12 who
117.32qualify for free or reduced-price meals and to all prekindergarten students enrolled in an
118.1approved voluntary prekindergarten program under section 124D.151 and all kindergarten
118.2students.

118.3    Sec. 4. Minnesota Statutes 2016, section 124D.165, subdivision 1, is amended to read:
118.4    Subdivision 1. Establishment; purpose. There is established an early learning
118.5scholarships program in order to increase close the opportunity gap by increasing access to
118.6high-quality early childhood programs for children ages three to five.
118.7EFFECTIVE DATE.This section is effective July 1, 2017.

118.8    Sec. 5. Minnesota Statutes 2016, section 124D.165, subdivision 2, is amended to read:
118.9    Subd. 2. Family eligibility. (a) For a family to receive an early learning scholarship,
118.10parents or guardians must meet the following eligibility requirements:
118.11(1) have a an eligible child three or four years of age on September 1 of the current
118.12school year, who has not yet started kindergarten; and
118.13(2) have income equal to or less than 185 percent of federal poverty level income in the
118.14current calendar year, or be able to document their child's current participation in the free
118.15and reduced-price lunch program or child and adult care food program, National School
118.16Lunch Act, United States Code, title 42, sections 1751 and 1766; the Food Distribution
118.17Program on Indian Reservations, Food and Nutrition Act, United States Code, title 7, sections
118.182011-2036; Head Start under the federal Improving Head Start for School Readiness Act
118.19of 2007; Minnesota family investment program under chapter 256J; child care assistance
118.20programs under chapter 119B; the supplemental nutrition assistance program; or placement
118.21in foster care under section 260C.212.
118.22(b) Notwithstanding the other provisions of this section, a parent under age 21 who is
118.23pursuing a high school or general education equivalency diploma is eligible for an early
118.24learning scholarship if the parent has a child age zero to five years old and meets the income
118.25eligibility guidelines in this subdivision.
118.26(c) Any siblings between the ages zero to (b) An "eligible child" means a child who has
118.27not yet enrolled in kindergarten and is:
118.28(1) at least three but not yet five years of age on September 1 of the current school year;
118.29(2) a sibling from birth to age five years old of a child who has been awarded a
118.30scholarship under this section must be awarded a scholarship upon request, provided the
118.31sibling attends the same program as long as funds are available;
119.1(3) the child of a parent under age 21 who is pursuing a high school degree or a course
119.2of study for a high school equivalency test; or
119.3(4) homeless, in foster care, or in need of child protective services.
119.4(d) (c) A child who has received a scholarship under this section must continue to receive
119.5a scholarship each year until that child is eligible for kindergarten under section 120A.20
119.6and as long as funds are available.
119.7(e) (d) Early learning scholarships may not be counted as earned income for the purposes
119.8of medical assistance under chapter 256B, MinnesotaCare under chapter 256L, Minnesota
119.9family investment program under chapter 256J, child care assistance programs under chapter
119.10119B, or Head Start under the federal Improving Head Start for School Readiness Act of
119.112007.
119.12(f) (e) A child from an adjoining state whose family resides at a Minnesota address as
119.13assigned by the United States Postal Service, who has received developmental screening
119.14under sections 121A.16 to 121A.19, who intends to enroll in a Minnesota school district,
119.15and whose family meets the criteria of paragraph (a) is eligible for an early learning
119.16scholarship under this section.
119.17EFFECTIVE DATE.This section is effective July 1, 2017.

119.18    Sec. 6. Minnesota Statutes 2016, section 124D.165, subdivision 3, is amended to read:
119.19    Subd. 3. Administration. (a) The commissioner shall establish application timelines
119.20and determine the schedule for awarding scholarships that meets operational needs of eligible
119.21families and programs. The commissioner must give highest priority to applications from
119.22children who:
119.23(1) have a parent under age 21 who is pursuing a high school diploma or a course of
119.24study for a high school equivalency test;
119.25(2) are in foster care or otherwise in need of protection or services; or
119.26(3) have experienced homelessness in the last 24 months, as defined under the federal
119.27McKinney-Vento Homeless Assistance Act, United States Code, title 42, section 11434a.
119.28The commissioner may prioritize applications on additional factors including family
119.29income, geographic location, and whether the child's family is on a waiting list for a publicly
119.30funded program providing early education or child care services.
119.31(b) For fiscal years 2014 and 2015 only, scholarships may not exceed $5,000 per year
119.32for each eligible child. For fiscal year 2016 and later, The commissioner shall establish a
120.1target for the average scholarship amount per child based on the results of the rate survey
120.2conducted under section 119B.02.
120.3(c) A four-star rated program that has children eligible for a scholarship enrolled in or
120.4on a waiting list for a program beginning in July, August, or September may notify the
120.5commissioner, in the form and manner prescribed by the commissioner, each year of the
120.6program's desire to enhance program services or to serve more children than current funding
120.7provides. The commissioner may designate a predetermined number of scholarship slots
120.8for that program and notify the program of that number. For fiscal years 2018 and later, the
120.9statewide total number of scholarship slots directly designated by the commissioner must
120.10not exceed the number of scholarships awarded for fiscal year 2017. Beginning July 1, 2016,
120.11a school district or Head Start program qualifying under this paragraph may use its established
120.12registration process to enroll scholarship recipients and may verify a scholarship recipient's
120.13family income in the same manner as for other program participants.
120.14(d) A scholarship is awarded for a 12-month period. If the scholarship recipient has not
120.15been accepted and subsequently enrolled in a rated program within ten months of the
120.16awarding of the scholarship, the scholarship cancels and the recipient must reapply in order
120.17to be eligible for another scholarship. A child may not be awarded more than one scholarship
120.18in a 12-month period.
120.19(e) A child who receives a scholarship who has not completed development screening
120.20under sections 121A.16 to 121A.19 must complete that screening within 90 days of first
120.21attending an eligible program.
120.22(f) For fiscal year 2017 and later, a school district or Head Start program enrolling
120.23scholarship recipients under paragraph (c) may apply to the commissioner, in the form and
120.24manner prescribed by the commissioner, for direct payment of state aid. Upon receipt of
120.25the application, the commissioner must pay each program directly for each approved
120.26scholarship recipient enrolled under paragraph (c) according to the metered payment system
120.27or another schedule established by the commissioner.

120.28    Sec. 7. Minnesota Statutes 2016, section 124D.165, subdivision 4, is amended to read:
120.29    Subd. 4. Early childhood program eligibility. (a) In order to be eligible to accept an
120.30early learning scholarship, a program must:
120.31(1) participate in the quality rating and improvement system under section 124D.142;
120.32and
121.1(2) beginning July 1, 2016 2022, have a three- or four-star rating in the quality rating
121.2and improvement system.
121.3(b) Any program accepting scholarships must use the revenue to supplement and not
121.4supplant federal funding.
121.5(c) Notwithstanding paragraph (a), all Minnesota early learning foundation scholarship
121.6program pilot sites are eligible to accept an early learning scholarship under this section.

121.7    Sec. 8. Minnesota Statutes 2016, section 124D.59, subdivision 2, is amended to read:
121.8    Subd. 2. English learner. (a) "English learner" means a pupil in kindergarten through
121.9grade 12 or a prekindergarten student enrolled in an approved voluntary prekindergarten
121.10program under section 124D.151 who meets the requirements under subdivision 2a or the
121.11following requirements:
121.12(1) the pupil, as declared by a parent or guardian first learned a language other than
121.13English, comes from a home where the language usually spoken is other than English, or
121.14usually speaks a language other than English; and
121.15(2) the pupil is determined by a valid assessment measuring the pupil's English language
121.16proficiency and by developmentally appropriate measures, which might include observations,
121.17teacher judgment, parent recommendations, or developmentally appropriate assessment
121.18instruments, to lack the necessary English skills to participate fully in academic classes
121.19taught in English.
121.20(b) A pupil enrolled in a Minnesota public school in any grade 4 through 12 who in the
121.21previous school year took a commissioner-provided assessment measuring the pupil's
121.22emerging academic English, shall be counted as an English learner in calculating English
121.23learner pupil units under section 126C.05, subdivision 17, and shall generate state English
121.24learner aid under section 124D.65, subdivision 5, if the pupil scored below the state cutoff
121.25score or is otherwise counted as a nonproficient participant on the assessment measuring
121.26the pupil's emerging academic English, or, in the judgment of the pupil's classroom teachers,
121.27consistent with section 124D.61, clause (1), the pupil is unable to demonstrate academic
121.28language proficiency in English, including oral academic language, sufficient to successfully
121.29and fully participate in the general core curriculum in the regular classroom.
121.30(c) Notwithstanding paragraphs (a) and (b), a pupil in prekindergarten under section
121.31124D.151 , through grade 12 shall not be counted as an English learner in calculating English
121.32learner pupil units under section 126C.05, subdivision 17, and shall not generate state English
121.33learner aid under section 124D.65, subdivision 5, if:
122.1(1) the pupil is not enrolled during the current fiscal year in an educational program for
122.2English learners under sections 124D.58 to 124D.64; or
122.3(2) the pupil has generated seven or more years of average daily membership in Minnesota
122.4public schools since July 1, 1996.

122.5    Sec. 9. Minnesota Statutes 2016, section 126C.05, subdivision 1, is amended to read:
122.6    Subdivision 1. Pupil unit. Pupil units for each Minnesota resident pupil under the age
122.7of 21 or who meets the requirements of section 120A.20, subdivision 1, paragraph (c), in
122.8average daily membership enrolled in the district of residence, in another district under
122.9sections 123A.05 to 123A.08, 124D.03, 124D.08, or 124D.68; in a charter school under
122.10chapter 124E; or for whom the resident district pays tuition under section 123A.18, 123A.22,
122.11123A.30 , 123A.32, 123A.44, 123A.488, 123B.88, subdivision 4, 124D.04, 124D.05, 125A.03
122.12to 125A.24, 125A.51, or 125A.65, shall be counted according to this subdivision.
122.13    (a) A prekindergarten pupil with a disability who is enrolled in a program approved by
122.14the commissioner and has an individualized education program is counted as the ratio of
122.15the number of hours of assessment and education service to 825 times 1.0 with a minimum
122.16average daily membership of 0.28, but not more than 1.0 pupil unit.
122.17    (b) A prekindergarten pupil who is assessed but determined not to be disabled is counted
122.18as the ratio of the number of hours of assessment service to 825 times 1.0.
122.19    (c) A kindergarten pupil with a disability who is enrolled in a program approved by the
122.20commissioner is counted as the ratio of the number of hours of assessment and education
122.21services required in the fiscal year by the pupil's individualized education program to 875,
122.22but not more than one.
122.23(d) A prekindergarten pupil who is not included in paragraph (a) or (b) and is enrolled
122.24in an approved voluntary prekindergarten program under section 124D.151 is counted as
122.25the ratio of the number of hours of instruction to 850 times 1.0, but not more than 0.6 pupil
122.26units.
122.27    (e) (d) A kindergarten pupil who is not included in paragraph (c) is counted as 1.0 pupil
122.28unit if the pupil is enrolled in a free all-day, every day kindergarten program available to
122.29all kindergarten pupils at the pupil's school that meets the minimum hours requirement in
122.30section 120A.41, or is counted as .55 pupil unit, if the pupil is not enrolled in a free all-day,
122.31every day kindergarten program available to all kindergarten pupils at the pupil's school.
122.32    (f) (e) A pupil who is in any of grades 1 to 6 is counted as 1.0 pupil unit.
123.1    (g) (f) A pupil who is in any of grades 7 to 12 is counted as 1.2 pupil units.
123.2    (h) (g) A pupil who is in the postsecondary enrollment options program is counted as
123.31.2 pupil units.

123.4    Sec. 10. SCHOOL READINESS ADJUSTMENT.
123.5For fiscal years 2018 and later, a charter school or a district's school readiness aid under
123.6Minnesota Statutes, section 124D.16, must be increased by an amount equal to the charter
123.7school or district's total voluntary prekindergarten revenue for fiscal year 2017.
123.8Notwithstanding any other law, a charter school qualifying for revenue under this section
123.9is eligible for school readiness aid.

123.10    Sec. 11. APPROPRIATIONS.
123.11    Subdivision 1. Department of Education. The sums indicated in this section are
123.12appropriated from the general fund to the Department of Education for the fiscal years
123.13designated.
123.14    Subd. 2. School readiness. For revenue for school readiness programs under Minnesota
123.15Statutes, sections 124D.15 and 124D.16:
123.16
$
55,260,000
.....
2018
123.17
$
57,657,000
.....
2019
123.18The 2018 appropriation includes $3,368,000 for 2017 and $51,892,000 for 2018.
123.19The 2019 appropriation includes $5,765,000 for 2018 and $51,892,000 for 2019.
123.20    Subd. 3. Early learning scholarships. (a) For the early learning scholarship program
123.21under Minnesota Statutes, section 124D.165:
123.22
$
69,384,000
.....
2018
123.23
$
69,384,000
.....
2019
123.24(b) Of the amounts appropriated in paragraph (a), no more than the amount necessary
123.25to fund the same number of scholarship slots as were provided through the predetermined
123.26selection process for fiscal year 2017 may be awarded through that method.
123.27(c) Up to $950,000 each year is for administration of this program.
123.28(d) Any balance in the first year does not cancel but is available in the second year.
123.29(e) The base for fiscal year 2020 is $69,884,000.
124.1    Subd. 4. Head Start program. For Head Start programs under Minnesota Statutes,
124.2section 119A.52:
124.3
$
25,100,000
.....
2018
124.4
$
25,100,000
.....
2019
124.5    Subd. 5. Early childhood family education aid. For early childhood family education
124.6aid under Minnesota Statutes, section 124D.135:
124.7
$
30,175,000
.....
2018
124.8
$
31,474,000
.....
2019
124.9The 2018 appropriation includes $2,904,000 for 2017 and $27,271,000 for 2018.
124.10The 2019 appropriation includes $3,030,000 for 2018 and $28,444,000 for 2019.
124.11    Subd. 6. Developmental screening aid. For developmental screening aid under
124.12Minnesota Statutes, sections 121A.17 and 121A.19:
124.13
$
3,606,000
.....
2018
124.14
$
3,629,000
.....
2019
124.15The 2018 appropriation includes $358,000 for 2017 and $3,248,000 for 2018.
124.16The 2019 appropriation includes $360,000 for 2018 and $3,269,000 for 2019.
124.17    Subd. 7. Parent-child home program. For a grant to the parent-child home program:
124.18
$
900,000
.....
2018
124.19
$
900,000
.....
2019
124.20    The grant must be used for an evidence-based and research-validated early childhood
124.21literacy and school readiness program for children ages 16 months to four years at its existing
124.22suburban program location. The program must include urban and rural program locations
124.23for fiscal years 2018 and 2019.
124.24    The base for this program for fiscal year 2020 and later is $900,000.
124.25    Subd. 8. Kindergarten entrance assessment initiative and intervention program.
124.26For the kindergarten entrance assessment initiative and intervention program under Minnesota
124.27Statutes, section 124D.162:
124.28
$
281,000
.....
2018
124.29
$
281,000
.....
2019
124.30    Subd. 9. Quality rating and improvement system. (a) For transfer to the commissioner
124.31of human services for the purposes of expanding the quality rating and improvement system
125.1under Minnesota Statutes, section 124D.142, in greater Minnesota and increasing supports
125.2for providers participating in the quality rating and improvement system:
125.3
$
1,750,000
.....
2018
125.4
$
1,750,000
.....
2019
125.5(b) The amounts in paragraph (a) must be in addition to any federal funding under the
125.6child care and development block grant authorized under Public Law 101-508 in that year
125.7for the system under Minnesota Statutes, section 124D.142.
125.8(c) Any balance in the first year does not cancel but is available in the second year.
125.9(d) The base for this program in fiscal year 2020 and later is $1,750,000.
125.10    Subd. 10. Early childhood programs at tribal schools. For early childhood family
125.11education programs at tribal contract schools under Minnesota Statutes, section 124D.83,
125.12subdivision 4:
125.13
$
68,000
.....
2018
125.14
$
68,000
.....
2019
125.15    Subd. 11. Educate parents partnership. For the educate parents partnership under
125.16Minnesota Statutes, section 124D.129:
125.17
$
49,000
.....
2018
125.18
$
49,000
.....
2019
125.19    Subd. 12. Home visiting aid. For home visiting aid under Minnesota Statutes, section
125.20124D.135:
125.21
$
527,000
.....
2018
125.22
$
571,000
.....
2019
125.23The 2018 appropriation includes $0 for 2017 and $527,000 for 2018.
125.24The 2019 appropriation includes $58,000 for 2018 and $513,000 for 2019.

125.25    Sec. 12. REPEALER.
125.26Minnesota Statutes 2016, section 124D.151, is repealed.

125.27ARTICLE 9
125.28COMMUNITY EDUCATION AND PREVENTION

125.29    Section 1. [124D.99] EDUCATION PARTNERSHIPS COALITION FUND.
126.1    Subdivision 1. Program establishment. The commissioner of education shall establish
126.2a program supporting a coalition of coordinated, aligned education partnerships as specified
126.3in this section, for a comprehensive network of evidence-based support services designed
126.4to close opportunity gaps by improving educational and developmental outcomes of children
126.5and their families within communities experiencing poverty and impediments to economic
126.6viability.
126.7    Subd. 2. Definitions. (a) For purposes of this section the terms defined in this subdivision
126.8have the meanings given them.
126.9(b) "Tier 1 grant" means a sustaining grant for the ongoing operation, stability, and
126.10expansion of existing education partnership program locations.
126.11(c) "Tier 2 grant" means an implementation grant for expanding activity in education
126.12partnership program locations.
126.13    Subd. 3. Administration; design. (a) The commissioner shall establish program
126.14requirements, an application process and timeline for each tier of grants specified in
126.15subdivision 4, criteria for evaluation of applications, and a grant awards process. The
126.16commissioner's process must minimize administrative costs, minimize burdens for applicants
126.17and grant recipients, and provide a framework that permits flexibility in program design
126.18and implementation among grant recipients.
126.19(b) To the extent practicable, the commissioner shall design the program to align with
126.20programs implemented or proposed by organizations in Minnesota that:
126.21(1) identify and increase the capacity of organizations that are focused on achieving
126.22data-driven, locally controlled positive outcomes for children and youth throughout an entire
126.23neighborhood or geographic area through programs such as Strive Together, Promise
126.24Neighborhood, and the Education Partnerships Coalition members;
126.25(2) build a continuum of educational family and community supports with academically
126.26rigorous schools at the center;
126.27(3) maximize program efficiencies by integrating programmatic activities and eliminating
126.28administrative barriers;
126.29(4) develop local infrastructure needed to sustain and scale up proven and effective
126.30solutions beyond the initial neighborhood or geographic area; and
126.31(5) utilize appropriate outcome measures based on unique community needs and interests
126.32and apply rigorous evaluation on a periodic basis to be used to both monitor outcomes and
126.33allow for continuous improvements to systems.
127.1(c) A grant recipient's supportive services programming must address:
127.2(1) kindergarten readiness and youth development;
127.3(2) grade 3 reading proficiency;
127.4(3) high school graduation;
127.5(4) postsecondary educational attainment;
127.6(5) physical and mental health;
127.7(6) development of career skills and readiness;
127.8(7) parental engagement and development;
127.9(8) community engagement and programmatic alignment; and
127.10(9) reduction of remedial education.
127.11(d) The commissioner, in consultation with grant recipients, must:
127.12(1) develop and revise core indicators of progress toward outcomes specifying impacts
127.13for each tier identified under subdivision 4;
127.14(2) establish a reporting system for grant recipients to measure program outcomes using
127.15data sources and program goals; and
127.16(3) evaluate effectiveness based on the core indicators established by each partnership
127.17for each tier.
127.18    Subd. 4. Requirements. A grant recipient's program in the planning, development, or
127.19implementation phase must include:
127.20(1) integrated supportive services programming, as specified in paragraph (b), within a
127.21specific community or geographic area for all ages of children and youth and their families
127.22within that area, provided that services may be phased in to all ages over time; and
127.23(2) a system for evaluating goals and outcomes as provided under subdivision 3,
127.24paragraph (c).
127.25    Subd. 5. Grants. The commissioner shall award Tier 1 and Tier 2 grants to qualifying
127.26recipients that can demonstrate a nonstate source of funds, including in-kind contributions.
127.27    Subd. 6. Legislative report. By December 15 of each odd-numbered year, the
127.28commissioner shall submit a report on the education partnership program to the chairs and
127.29ranking minority members of the legislative committees having jurisdiction over kindergarten
127.30through grade 12 education, early childhood education, economic development, and human
128.1services. At a minimum, the report must summarize grantee activities, identify grant
128.2recipients and awards, analyze program performance measures and outcomes, and make
128.3any recommendations for legislative changes.
128.4EFFECTIVE DATE.This section is effective July 1, 2017, and subdivision 6 applies
128.5to reports due starting in calendar year 2019.

128.6    Sec. 2. APPROPRIATIONS.
128.7    Subdivision 1. Department of Education. The sums indicated in this section are
128.8appropriated from the general fund to the Department of Education for the fiscal years
128.9designated.
128.10    Subd. 2. Community education aid. For community education aid under Minnesota
128.11Statutes, section 124D.20:
128.12
$
483,000
.....
2018
128.13
$
393,000
.....
2019
128.14The 2018 appropriation includes $53,000 for 2017 and $430,000 for 2018.
128.15The 2019 appropriation includes $47,000 for 2018 and $346,000 for 2019.
128.16    Subd. 3. Adults with disabilities program aid. For adults with disabilities programs
128.17under Minnesota Statutes, section 124D.56:
128.18
$
710,000
.....
2018
128.19
$
710,000
.....
2019
128.20The 2018 appropriation includes $71,000 for 2017 and $639,000 for 2018.
128.21The 2019 appropriation includes $71,000 for 2018 and $639,000 for 2019.
128.22    Subd. 4. Hearing-impaired adults. For programs for hearing-impaired adults under
128.23Minnesota Statutes, section 124D.57:
128.24
$
70,000
.....
2018
128.25
$
70,000
.....
2019
128.26    Subd. 5. School-age care aid. For school-age care aid under Minnesota Statutes, section
128.27124D.22:
128.28
$
1,000
.....
2018
128.29
$
1,000
.....
2019
128.30The 2018 appropriation includes $0 for 2017 and $1,000 for 2018.
128.31The 2019 appropriation includes $0 for 2018 and $1,000 for 2019.
129.1    Subd. 6. Tier 1 grants. (a) For education partnership program Tier 1 sustaining grants
129.2under Minnesota Statutes, section 124D.99:
129.3
$
2,600,000
.....
2018
129.4
$
2,600,000
.....
2019
129.5(b) Of the amounts in paragraph (a), $1,300,000 each year is for the Northside
129.6Achievement Zone and $1,300,000 each year is for the St. Paul Promise Neighborhood.
129.7(c) The base funding for Tier 1 sustaining grants is $2,600,000.
129.8(d) Any balance in the first year does not cancel but is available in the second year.
129.9    Subd. 7. Tier 2 implementing grants. (a) For Tier 2 implementing grants under
129.10Minnesota Statutes, section 124D.99:
129.11
$
480,000
.....
2018
129.12
$
480,000
.....
2019
129.13(b) For fiscal year 2018 and 2019 only, $160,000 each year is for the Northfield Healthy
129.14Community Initiative in Northfield; $160,000 is for the Jones Family Foundation for the
129.15Every Hand Joined program in Red Wing; and $160,000 is for the United Way of Central
129.16Minnesota for the Partners for Student Success program.
129.17(c) The base funding for Tier 2 implementing grants is $480,000. The commissioner
129.18must competitively award all grants under this subdivision for fiscal year 2020 and later.
129.19(d) Any balance in the first year does not cancel but is available in the second year.

129.20ARTICLE 10
129.21SELF-SUFFICIENCY AND LIFELONG LEARNING

129.22    Section 1. Minnesota Statutes 2016, section 124D.52, subdivision 7, is amended to read:
129.23    Subd. 7. Performance tracking system. (a) By July 1, 2000, each approved adult basic
129.24education program must develop and implement a performance tracking system to provide
129.25information necessary to comply with federal law and serve as one means of assessing the
129.26effectiveness of adult basic education programs. For required reporting, longitudinal studies,
129.27and program improvement, the tracking system must be designed to collect data on the
129.28following core outcomes for learners, including English learners, who have completed
129.29participating in the adult basic education program:
129.30(1) demonstrated improvements in literacy skill levels in reading, writing, speaking the
129.31English language, numeracy, problem solving, English language acquisition, and other
129.32literacy skills;
130.1(2) placement in, retention in, or completion of postsecondary education, training,
130.2unsubsidized employment, or career advancement;
130.3(3) receipt of a secondary school diploma or its recognized equivalent; and
130.4(4) reduction in participation in the diversionary work program, Minnesota family
130.5investment program, and food support education and training program.
130.6(b) A district, group of districts, state agency, or private nonprofit organization providing
130.7an adult basic education program may meet this requirement by developing a tracking system
130.8based on either or both of the following methodologies:
130.9(1) conducting a reliable follow-up survey; or
130.10(2) submitting student information, including collected Social Security numbers for data
130.11matching.
130.12Data related to obtaining employment must be collected in the first quarter following
130.13program completion or can be collected while the student is enrolled, if known. Data related
130.14to employment retention must be collected in the third quarter following program exit. Data
130.15related to any other of the specified outcome outcomes may be collected at any time during
130.16a program year.
130.17(c) When a student in a program is requested to provide the student's Social Security
130.18number, the student must be notified in a written form easily understandable to the student
130.19that:
130.20(1) providing the Social Security number is optional and no adverse action may be taken
130.21against the student if the student chooses not to provide the Social Security number;
130.22(2) the request is made under section 124D.52, subdivision 7;
130.23(3) if the student provides the Social Security number, it will be used to assess the
130.24effectiveness of the program by tracking the student's subsequent career; and
130.25(4) the Social Security number will be shared with the Department of Education;
130.26Minnesota State Colleges and Universities; Office of Higher Education; Department of
130.27Human Services; and Department of Employment and Economic Development in order to
130.28accomplish the purposes described in paragraph (a) and will not be used for any other
130.29purpose or reported to any other governmental entities.
130.30(d) Annually a district, group of districts, state agency, or private nonprofit organization
130.31providing programs under this section must forward the tracking data collected to the
130.32Department of Education. For the purposes of longitudinal studies on the employment status
131.1of former students under this section, the Department of Education must forward the Social
131.2Security numbers to the Department of Employment and Economic Development to
131.3electronically match the Social Security numbers of former students with wage detail reports
131.4filed under section 268.044. The results of data matches must, for purposes of this section
131.5and consistent with the requirements of the United States Code, title 29, section 2871, of
131.6the Workforce Investment Act of 1998 Workforce Innovation and Opportunity Act, be
131.7compiled in a longitudinal form by the Department of Employment and Economic
131.8Development and released to the Department of Education in the form of summary data
131.9that does not identify the individual students. The Department of Education may release
131.10this summary data. State funding for adult basic education programs must not be based on
131.11the number or percentage of students who decline to provide their Social Security numbers
131.12or on whether the program is evaluated by means of a follow-up survey instead of data
131.13matching.

131.14    Sec. 2. Minnesota Statutes 2016, section 124D.549, is amended to read:
131.15124D.549 GENERAL EDUCATION DEVELOPMENT (GED) TESTS RULES;
131.16COMMISSIONER COMMISSIONER-SELECTED HIGH SCHOOL EQUIVALENCY
131.17TEST.
131.18The commissioner may amend rules to reflect changes in the national minimum standard
131.19score for passing the general education development (GED) tests, in consultation with adult
131.20basic education stakeholders, must select a high school equivalency test. The commissioner
131.21may issue a high school equivalency diploma to a Minnesota resident 19 years of age or
131.22older who has not earned a high school diploma, who has not previously been issued a
131.23general education development (GED) certification, and who has exceeded or achieved a
131.24minimum passing score on the equivalency test established by the publisher. The
131.25commissioner of education may waive the minimum age requirement if supportive evidence
131.26is provided by an employer or a recognized education or rehabilitation provider.

131.27    Sec. 3. Minnesota Statutes 2016, section 124D.55, is amended to read:
131.28124D.55 GENERAL EDUCATION DEVELOPMENT (GED)
131.29COMMISSIONER-SELECTED HIGH SCHOOL EQUIVALENCY TEST FEES.
131.30    The commissioner shall pay 60 percent of the fee that is charged to an eligible individual
131.31for the full battery of general education development (GED) the commissioner-selected
131.32high school equivalency tests, but not more than $40 for an eligible individual.
132.1For fiscal year 2017 only, the commissioner shall pay 100 percent of the fee charged to
132.2an eligible individual for the full battery of general education development (GED) tests, but
132.3not more than the cost of one full battery of tests per year for any individual.

132.4    Sec. 4. Minnesota Statutes 2016, section 256J.08, subdivision 38, is amended to read:
132.5    Subd. 38. Full-time student. "Full-time student" means a person who is enrolled in a
132.6graded or ungraded primary, intermediate, secondary, GED commissioner of
132.7education-selected high school equivalency preparatory, trade, technical, vocational, or
132.8postsecondary school, and who meets the school's standard for full-time attendance.

132.9    Sec. 5. Minnesota Statutes 2016, section 256J.08, subdivision 39, is amended to read:
132.10    Subd. 39. General educational development or GED Commissioner of
132.11education-selected high school equivalency. "General educational development" or "GED"
132.12"Commissioner of education-selected high school equivalency" means the general educational
132.13development high school equivalency certification issued by the commissioner of education
132.14as an equivalent to a secondary school diploma under Minnesota Rules, part 3500.3100,
132.15subpart 4 section 124D.549.

132.16    Sec. 6. APPROPRIATIONS.
132.17    Subdivision 1. Department of Education. The sums indicated in this section are
132.18appropriated from the general fund to the Department of Education for the fiscal years
132.19designated.
132.20    Subd. 2. Adult basic education aid. For adult basic education aid under Minnesota
132.21Statutes, section 124D.531:
132.22
$
50,010,000
.....
2018
132.23
$
51,497,000
.....
2019
132.24The 2018 appropriation includes $4,881,000 for 2017 and $45,129,000 for 2018.
132.25The 2019 appropriation includes $5,014,000 for 2018 and $46,483,000 for 2019.
132.26    Subd. 3. High school equivalency tests. For payment of 60 percent of the costs of the
132.27commissioner-selected high school equivalency tests under Minnesota Statutes, section
132.28124D.55:
132.29
$
125,000
.....
2018
132.30
$
125,000
.....
2019

133.1    Sec. 7. REVISOR'S INSTRUCTION.
133.2In Minnesota Statutes and Minnesota Rules, the revisor of statutes shall substitute the
133.3term "commissioner-selected high school equivalency" or similar term for "general education
133.4development," "GED," or similar terms for wherever the term refers to the tests or programs
133.5leading to a certification issued by the commissioner of education as an equivalency to a
133.6secondary diploma.

133.7    Sec. 8. REPEALER.
133.8Minnesota Rules, part 3500.3100, subpart 4, is repealed.

133.9ARTICLE 11
133.10STATE AGENCIES

133.11    Section 1. Minnesota Statutes 2016, section 122A.14, subdivision 9, is amended to read:
133.12    Subd. 9. Fee. Each person licensed by the Board of School Administrators shall pay
133.13the board a fee of $75, collected each fiscal year. When transmitting notice of the license
133.14fee, the board also must notify the licensee of the penalty for failing to pay the fee within
133.15the time specified by the board. The board may provide a lower fee for persons on retired
133.16or inactive status. After receiving notice from the board, any licensed school administrator
133.17who does not pay the fee in the given fiscal year shall have all administrative licenses held
133.18by the person automatically suspended, without the right to a hearing, until the fee has been
133.19paid to the board. If the board suspends a licensed school administrator for failing to pay
133.20the fee, it must immediately notify the district currently employing the school administrator
133.21of the school administrator's suspension. The executive secretary shall deposit the fees in
133.22the educator licensure account in the special revenue fund in the state treasury.
133.23EFFECTIVE DATE.This section is effective July 1, 2019.

133.24    Sec. 2. [122A.175] SPECIAL REVENUE FUND ACCOUNTS; EDUCATOR
133.25LICENSURE AND BACKGROUND CHECKS.
133.26    Subdivision 1. Educator licensure account. An educator licensure account is created
133.27in the special revenue fund. Applicant licensure fees received by the Department of
133.28Education, the Board of Teaching, or the Board of School Administrators must be deposited
133.29in the educator licensure account. Any funds appropriated from this account that remain
133.30unexpended at the end of the biennium cancel to the educator licensure account in the special
133.31revenue fund.
134.1    Subd. 2. Background check account. An educator licensure background check account
134.2is created in the special revenue fund. The Department of Education, the Board of Teaching,
134.3and the Board of School Administrators must deposit all payments submitted by license
134.4applicants for criminal background checks conducted by the Bureau of Criminal
134.5Apprehension in the educator licensure background check account. Amounts in the account
134.6are annually appropriated to the commissioner of education for payment to the superintendent
134.7of the Bureau of Criminal Apprehension for the costs of background checks on applicants
134.8for licensure.
134.9EFFECTIVE DATE.This section is effective July 1, 2019.

134.10    Sec. 3. Minnesota Statutes 2016, section 122A.18, subdivision 7c, is amended to read:
134.11    Subd. 7c. Temporary military license. The Board of Teaching shall establish a
134.12temporary license in accordance with section 197.4552 for teaching. The fee for a temporary
134.13license under this subdivision shall be $87.90 for an online application or $86.40 for a paper
134.14application. The board must deposit the fees received from applicants in the educator
134.15licensure account in the special revenue fund.
134.16EFFECTIVE DATE.This section is effective July 1, 2019.

134.17    Sec. 4. Minnesota Statutes 2016, section 122A.18, subdivision 8, is amended to read:
134.18    Subd. 8. Background checks. (a) The Board of Teaching and the commissioner of
134.19education must request a criminal history background check from the superintendent of the
134.20Bureau of Criminal Apprehension on all first-time teaching applicants for licenses under
134.21their jurisdiction. Applicants must include with their licensure applications:
134.22(1) an executed criminal history consent form, including fingerprints; and
134.23(2) a money order or cashier's check payable to the Bureau of Criminal Apprehension
134.24for the fee for conducting payment to conduct the criminal history background check. The
134.25Board of Teaching and the commissioner of education must deposit payments received
134.26under this subdivision in the educator licensure background check account in the special
134.27revenue fund.
134.28(b) The superintendent of the Bureau of Criminal Apprehension shall perform the
134.29background check required under paragraph (a) by retrieving criminal history data as defined
134.30in section 13.87 and shall also conduct a search of the national criminal records repository.
134.31The superintendent is authorized to exchange fingerprints with the Federal Bureau of
134.32Investigation for purposes of the criminal history check. The superintendent shall recover
135.1the cost to the bureau of a background check through the fee charged to the applicant under
135.2paragraph (a).
135.3(c) The Board of Teaching or the commissioner of education may issue a license pending
135.4completion of a background check under this subdivision, but must notify the individual
135.5that the individual's license may be revoked based on the result of the background check.
135.6EFFECTIVE DATE.This section is effective July 1, 2019.

135.7    Sec. 5. Minnesota Statutes 2016, section 122A.21, subdivision 1, is amended to read:
135.8    Subdivision 1. Licensure applications. Each applicant submitting an application for
135.9the issuance, renewal, or extension of to the Board of Teaching to issue, renew, or extend
135.10a teaching license to teach, including applications for licensure via portfolio under subdivision
135.112, must be accompanied by include a processing fee of $57. The processing fee for a teacher's
135.12license and for the licenses of supervisory personnel must be paid to the executive secretary
135.13of the appropriate board and deposited in the educator licensure account in the special
135.14revenue fund. The executive secretary of the board shall deposit the fees with the
135.15commissioner of management and budget. The fees as set by the board are nonrefundable
135.16for applicants not qualifying for a license. However, a fee must be refunded by the
135.17commissioner of management and budget must refund a fee in any case in which the applicant
135.18already holds a valid unexpired license. The board may waive or reduce fees for applicants
135.19who apply at the same time for more than one license.
135.20EFFECTIVE DATE.This section is effective July 1, 2019.

135.21    Sec. 6. Minnesota Statutes 2016, section 122A.21, subdivision 2, is amended to read:
135.22    Subd. 2. Licensure via portfolio. (a) An eligible candidate may use licensure via portfolio
135.23to obtain a professional five-year teaching license or to add a licensure field, consistent with
135.24applicable Board of Teaching licensure rules.
135.25    (b) A candidate for a professional five-year teaching license must submit to the Educator
135.26Licensing Division at the department one portfolio demonstrating pedagogical competence
135.27and one portfolio demonstrating content competence.
135.28    (c) A candidate seeking to add a licensure field must submit to the Educator Licensing
135.29Division at the department one portfolio demonstrating content competence.
135.30    (d) The Board of Teaching must notify a candidate who submits a portfolio under
135.31paragraph (b) or (c) within 90 calendar days after the portfolio is received whether or not
135.32the portfolio was approved. If the portfolio was not approved, the board must immediately
136.1inform the candidate how to revise the portfolio to successfully demonstrate the requisite
136.2competence. The candidate may resubmit a revised portfolio at any time and the Educator
136.3Licensing Division at the department must approve or disapprove the portfolio within 60
136.4calendar days of receiving it.
136.5    (e) A candidate must pay to the executive secretary of the Board of Teaching a $300 fee
136.6for the first portfolio submitted for review and a $200 fee for any portfolio submitted
136.7subsequently. The revenue generated from Board of Teaching executive secretary must
136.8deposit the fee must be deposited in an education the educator licensure portfolio account
136.9in the special revenue fund. The fees set by the Board of Teaching are nonrefundable for
136.10applicants not qualifying for a license. The Board of Teaching may waive or reduce fees
136.11for candidates based on financial need.
136.12EFFECTIVE DATE.This section is effective July 1, 2019.

136.13    Sec. 7. Minnesota Statutes 2016, section 122A.21, is amended by adding a subdivision to
136.14read:
136.15    Subd. 3. Annual appropriations. (a) The amounts collected under subdivision 2 and
136.16deposited in the educator licensure account in the special revenue fund are annually
136.17appropriated to the Board of Teaching.
136.18(b) The appropriations in paragraph (a) must be reduced by the amount of any money
136.19specifically appropriated for the same purposes in any year from any state fund.
136.20EFFECTIVE DATE.This section is effective July 1, 2019.

136.21    Sec. 8. TRANSFERS.
136.22    Subdivision 1. Portfolio account. On July 1, 2019, the commissioner of management
136.23and budget shall transfer any balances in the educator licensure portfolio account in the
136.24special revenue fund to the educator licensure account in the special revenue fund.
136.25    Subd. 2. Background check. Any balance in an account that holds fees collected under
136.26Minnesota Statutes, section 122A.18, subdivision 8, is transferred to the educator licensure
136.27background check account in the special revenue fund under Minnesota Statutes, section
136.28122A.175, subdivision 2. On July 2, 2019, $80,000 is transferred from the educator licensure
136.29background check account in the special revenue fund to the educator licensure account in
136.30the special revenue fund.

137.1    Sec. 9. APPROPRIATIONS; DEPARTMENT OF EDUCATION.
137.2    Subdivision 1. Department of Education. Unless otherwise indicated, the sums indicated
137.3in this section are appropriated from the general fund to the Department of Education for
137.4the fiscal years designated.
137.5    Subd. 2. Department. (a) For the Department of Education:
137.6
$
19,018,000
.....
2018
137.7
$
18,984,000
.....
2019
137.8Of these amounts:
137.9(1) $231,000 each year is for the Board of School Administrators;
137.10    (2) $123,000 each year is for a dyslexia specialist;
137.11(3) $200,000 each year is for the Lola and Rudy Perpich arts education and outreach
137.12division; and
137.13(4) $370,000 in fiscal year 2018 and 2019 only is for grants for arts integration and
137.14Turnaround Arts programs.
137.15(b) Any balance in the first year does not cancel but is available in the second year.
137.16(c) None of the amounts appropriated under this subdivision may be used for Minnesota's
137.17Washington, D.C. office.
137.18(d) The expenditures of federal grants and aids as shown in the biennial budget document
137.19and its supplements are approved and appropriated and shall be spent as indicated.
137.20(e) The agency's base in fiscal year 2020 is $18,294,000 and $18,205,000 in 2021.

137.21    Sec. 10. APPROPRIATIONS; BOARD OF TEACHING.
137.22    Subdivision 1. Board of Teaching. (a) The sums indicated in this section are appropriated
137.23from the general fund to the Board of Teaching or any successor organization for the fiscal
137.24years designated:
137.25
$
3,481,000
.....
2018
137.26
$
3,493,000
.....
2019
137.27(b) This appropriation includes funds for information technology project services and
137.28support subject to Minnesota Statutes, section 16E.0466. Any ongoing information
137.29technology costs will be incorporated into an interagency agreement and will be paid to the
137.30Office of MN.IT Services by the Board of Teaching under the mechanism specified in that
137.31agreement.
138.1(c) Of the amounts in paragraph (a), $1,677,000 in fiscal year 2018 and $1,680,000 in
138.2fiscal year 2019 are available only if H.F. 140, or a similarly styled bill is enacted.
138.3(d) Any balance in the first year does not cancel but is available in the second year.
138.4(e) The base for fiscal year 2020 is $1,902000. This amount is increased by $832,000
138.5if H.F. 140 or a similarly styled bill is enacted. The base for fiscal year 2021 is $1,991,000.
138.6This amount is increased by $718,000 if H.F. 140, or a similarly styled bill is enacted.
138.7Beginning in fiscal year 2020, the amounts indicated are appropriated from the educator
138.8licensure account in the special revenue fund or, if the amount in the educator licensure
138.9account is insufficient, from the general fund to the Board of Teaching or any successor
138.10organization. If a successor organization is established, the Department of Administration
138.11must provide administrative support to the successor organization under Minnesota Statutes,
138.12section 16B.371. The commissioner of administration must assess the board for services
138.13provided under this section.
138.14    Subd. 2. Licensure by portfolio. For licensure by portfolio:
138.15
$
34,000
.....
2018
138.16
$
34,000
.....
2019
138.17    This appropriation is from the educator licensure portfolio account of the special revenue
138.18fund.

138.19    Sec. 11. APPROPRIATIONS; MINNESOTA STATE ACADEMIES.
138.20(a) The sums indicated in this section are appropriated from the general fund to the
138.21Minnesota State Academies for the Deaf and the Blind for the fiscal years designated:
138.22
$
13,204,000
.....
2018
138.23
$
13,186,000
.....
2019
138.24(b) Any balance in the first year does not cancel but is available in the second year.

138.25    Sec. 12. APPROPRIATIONS; PERPICH CENTER FOR ARTS EDUCATION.
138.26(a) The sums in this section are appropriated from the general fund to the Perpich Center
138.27for Arts Education and to its successor fiscal agent for the fiscal years designated:
138.28
$
5,212,000
.....
2018
138.29
$
2,786,000
.....
2019
138.30(b) Of the amounts appropriated in paragraph (a), $162,000 in fiscal year 2018 and
138.31$361,000 in fiscal year 2019 are for transfer to the Department of Administration.
139.1(c) The base for fiscal year 2020 and later is $0.
139.2(d) Any balance in the first year does not cancel but is available in the second year.

139.3ARTICLE 12
139.4FORECAST ADJUSTMENTS
139.5A. GENERAL EDUCATION

139.6    Section 1. Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision
139.72, as amended by Laws 2016, chapter 189, article 27, section 17, is amended to read:
139.8    Subd. 2. General education aid. For general education aid under Minnesota Statutes,
139.9section 126C.13, subdivision 4:
139.10
$
6,649,435,000
.....
2016
139.11
139.12
$
6,815,372,000
6,848,521,000
.....
2017
139.13The 2016 appropriation includes $622,908,000 for 2015 and 6,026,524,000 for 2016.
139.14The 2017 appropriation includes $641,412,000 for 2016 and $6,173,962,000
139.15$6,207,109,000 for 2017.
139.16EFFECTIVE DATE.This section is effective the day following final enactment.

139.17    Sec. 2. Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 3, is
139.18amended to read:
139.19    Subd. 3. Enrollment options transportation. For transportation of pupils attending
139.20postsecondary institutions under Minnesota Statutes, section 124D.09, or for transportation
139.21of pupils attending nonresident districts under Minnesota Statutes, section 124D.03:
139.22
$
39,000
.....
2016
139.23
139.24
$
42,000
26,000
.....
2017
139.25EFFECTIVE DATE.This section is effective the day following final enactment.

139.26    Sec. 3. Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 4, as
139.27amended by Laws 2016, chapter 189, article 34, section 1, is amended to read:
139.28    Subd. 4. Abatement revenue. For abatement aid under Minnesota Statutes, section
139.29127A.49 :
139.30
$
3,051,000
.....
2016
140.1
140.2
$
3,425,000
2,666,000
.....
2017
140.3The 2016 appropriation includes $278,000 for 2015 and $2,773,000 for 2016.
140.4The 2017 appropriation includes $308,000 for 2016 and $3,117,000 $2,358,000 for
140.52017.
140.6EFFECTIVE DATE.This section is effective the day following final enactment.

140.7    Sec. 4. Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 6, as
140.8amended by Laws 2016, chapter 189, article 34, section 3, is amended to read:
140.9    Subd. 6. Nonpublic pupil education aid. For nonpublic pupil education aid under
140.10Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:
140.11
$
16,759,000
.....
2016
140.12
140.13
$
17,235,000
16,879,000
.....
2017
140.14The 2016 appropriation includes $1,575,000 for 2015 and $15,184,000 for 2016.
140.15The 2017 appropriation includes $1,687,000 for 2016 and $15,548,000 $15,192,000 for
140.162017.
140.17EFFECTIVE DATE.This section is effective the day following final enactment.

140.18    Sec. 5. Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 7, as
140.19amended by Laws 2016, chapter 189, article 34, section 4, is amended to read:
140.20    Subd. 7. Nonpublic pupil transportation. For nonpublic pupil transportation aid under
140.21Minnesota Statutes, section 123B.92, subdivision 9:
140.22
$
17,673,000
.....
2016
140.23
140.24
$
18,103,000
18,278,000
.....
2017
140.25The 2016 appropriation includes $1,816,000 for 2015 and $15,857,000 for 2016.
140.26The 2017 appropriation includes $1,761,000 for 2016 and $16,342,000 $16,517,000 for
140.272017.
140.28EFFECTIVE DATE.This section is effective the day following final enactment.

141.1    Sec. 6. Laws 2015, First Special Session chapter 3, article 1, section 27, subdivision 9, as
141.2amended by Laws 2016, chapter 189, article 34, section 5, is amended to read:
141.3    Subd. 9. Career and technical aid. For career and technical aid under Minnesota
141.4Statutes, section 124D.4531, subdivision 1b:
141.5
$
5,922,000
.....
2016
141.6
141.7
$
4,262,000
4,806,000
.....
2017
141.8The 2016 appropriation includes $574,000 for 2015 and $5,348,000 for 2016.
141.9The 2017 appropriation includes $517,000 for 2016 and $3,745,000 $4,289,000 for
141.102017.
141.11EFFECTIVE DATE.This section is effective the day following final enactment.
141.12B. EDUCATION EXCELLENCE

141.13    Sec. 7. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 2, as
141.14amended by Laws 2016, chapter 189, article 25, section 44, is amended to read:
141.15    Subd. 2. Alternative compensation. For alternative teacher compensation aid under
141.16Minnesota Statutes, section 122A.415, subdivision 4:
141.17
$
78,907,000
.....
2016
141.18
141.19
$
89,049,000
88,137,000
.....
2017
141.20The 2016 appropriation includes $7,766,000 for 2015 and $71,141,000 for 2016.
141.21The 2017 appropriation includes $7,876,000 for 2016 and $81,173,000 $80,261,000 for
141.222017.
141.23EFFECTIVE DATE.This section is effective the day following final enactment.

141.24    Sec. 8. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 3, as
141.25amended by Laws 2016, chapter 189, article 25, section 45, is amended to read:
141.26    Subd. 3. Achievement and integration aid. For achievement and integration aid under
141.27Minnesota Statutes, section 124D.862:
141.28
$
65,439,000
.....
2016
141.29
141.30
$
69,372,000
67,091,000
.....
2017
141.31The 2016 appropriation includes $6,382,000 for 2015 and $59,057,000 for 2016.
142.1The 2017 appropriation includes $6,561,000 for 2016 and $62,811,000 $60,530,000 for
142.22017.
142.3EFFECTIVE DATE.This section is effective the day following final enactment.

142.4    Sec. 9. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 4, as
142.5amended by Laws 2016, chapter 189, article 34, section 6, is amended to read:
142.6    Subd. 4. Literacy incentive aid. For literacy incentive aid under Minnesota Statutes,
142.7section 124D.98:
142.8
$
44,538,000
.....
2016
142.9
142.10
$
45,855,000
45,803,000
.....
2017
142.11The 2016 appropriation includes $4,683,000 for 2015 and $39,855,000 for 2016.
142.12The 2017 appropriation includes $4,428,000 for 2016 and $41,427,000 $41,375,000 for
142.132017.
142.14EFFECTIVE DATE.This section is effective the day following final enactment.

142.15    Sec. 10. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 5,
142.16as amended by Laws 2016, chapter 189, article 34, section 7, is amended to read:
142.17    Subd. 5. Interdistrict desegregation or integration transportation grants. For
142.18interdistrict desegregation or integration transportation grants under Minnesota Statutes,
142.19section 124D.87:
142.20
$
14,423,000
.....
2016
142.21
142.22
$
15,193,000
13,496,000
.....
2017
142.23EFFECTIVE DATE.This section is effective the day following final enactment.

142.24    Sec. 11. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 7,
142.25as amended by Laws 2016, chapter 189, article 34, section 8, is amended to read:
142.26    Subd. 7. Tribal contract schools. For tribal contract school aid under Minnesota Statutes,
142.27section 124D.83:
142.28
$
3,539,000
.....
2016
142.29
142.30
$
3,715,000
3,278,000
.....
2017
142.31The 2016 appropriation includes $204,000 for 2015 and $3,335,000 for 2016.
143.1The 2017 appropriation includes $370,000 for 2016 and $3,345,000 $2,908,000 for
143.22017.
143.3EFFECTIVE DATE.This section is effective the day following final enactment.

143.4    Sec. 12. Laws 2015, First Special Session chapter 3, article 2, section 70, subdivision 11,
143.5as amended by Laws 2016, chapter 189, article 34, section 9, is amended to read:
143.6    Subd. 11. American Indian education aid. For American Indian education aid under
143.7Minnesota Statutes, section 124D.81, subdivision 2a:
143.8
$
7,740,000
.....
2016
143.9
143.10
$
8,878,000
8,838,000
.....
2017
143.11The 2016 appropriation includes $0 for 2015 and $7,740,000 for 2016.
143.12The 2017 appropriation includes $860,000 for 2016 and $8,018,000 $7,978,000 for
143.132017.
143.14EFFECTIVE DATE.This section is effective the day following final enactment.

143.15    Sec. 13. Laws 2015, First Special Session chapter 3, article 4, section 9, subdivision 2, as
143.16amended by Laws 2016, chapter 189, article 28, section 10, is amended to read:
143.17    Subd. 2. Charter school building lease aid. For building lease aid under Minnesota
143.18Statutes, section 124E.22:
143.19
$
63,540,000
.....
2016
143.20
143.21
$
70,132,000
68,046,000
.....
2017
143.22The 2016 appropriation includes $6,032,000 for 2015 and $57,508,000 for 2016.
143.23The 2017 appropriation includes $6,389,000 for 2016 and $63,743,000 $61,657,000 for
143.242017.
143.25EFFECTIVE DATE.This section is effective the day following final enactment.
143.26C. SPECIAL EDUCATION

143.27    Sec. 14. Laws 2015, First Special Session chapter 3, article 5, section 30, subdivision 2,
143.28as amended by Laws 2016, chapter 189, article 29, section 15, is amended to read:
143.29    Subd. 2. Special education; regular. For special education aid under Minnesota Statutes,
143.30section 125A.75:
143.31
$
1,183,619,000
.....
2016
144.1
144.2
$
1,247,107,000
1,258,250,000
.....
2017
144.3The 2016 appropriation includes $137,932,000 for 2015 and $1,045,687,000 for 2016.
144.4The 2017 appropriation includes $147,202,000 for 2016 and $1,099,905,000
144.5$1,111,048,000 for 2017.
144.6EFFECTIVE DATE.This section is effective the day following final enactment.

144.7    Sec. 15. Laws 2015, First Special Session chapter 3, article 5, section 30, subdivision 3,
144.8as amended by Laws 2016, chapter 189, article 34, section 10, is amended to read:
144.9    Subd. 3. Travel for home-based services. For aid for teacher travel for home-based
144.10services under Minnesota Statutes, section 125A.75, subdivision 1:
144.11
$
416,000
.....
2016
144.12
144.13
$
435,000
482,000
.....
2017
144.14The 2016 appropriation includes $35,000 for 2015 and $381,000 for 2016.
144.15The 2017 appropriation includes $42,000 for 2016 and $393,000 $440,000 for 2017.
144.16EFFECTIVE DATE.This section is effective the day following final enactment.

144.17    Sec. 16. Laws 2015, First Special Session chapter 3, article 5, section 30, subdivision 5,
144.18as amended by Laws 2016, chapter 189, article 34, section 11, is amended to read:
144.19    Subd. 5. Aid for children with disabilities. For aid under Minnesota Statutes, section
144.20125A.75, subdivision 3 , for children with disabilities placed in residential facilities within
144.21the district boundaries for whom no district of residence can be determined:
144.22
$
1,307,000
.....
2016
144.23
144.24
$
1,516,000
1,390,000
.....
2017
144.25If the appropriation for either year is insufficient, the appropriation for the other year is
144.26available.
144.27EFFECTIVE DATE.This section is effective the day following final enactment.

145.1    Sec. 17. Laws 2015, First Special Session chapter 3, article 5, section 30, subdivision 6,
145.2is amended to read:
145.3    Subd. 6. Court-placed special education revenue. For reimbursing serving school
145.4districts for unreimbursed eligible expenditures attributable to children placed in the serving
145.5school district by court action under Minnesota Statutes, section 125A.79, subdivision 4:
145.6
$
56,000
.....
2016
145.7
145.8
$
57,000
45,000
.....
2017
145.9EFFECTIVE DATE.This section is effective the day following final enactment.
145.10D. FACILITIES AND TECHNOLOGY

145.11    Sec. 18. Laws 2015, First Special Session chapter 3, article 6, section 13, subdivision 2,
145.12as amended by Laws 2016, chapter 189, article 30, section 23, is amended to read:
145.13    Subd. 2. Long-term facilities maintenance equalization equalized aid. For long-term
145.14facilities maintenance equalization equalized aid under Minnesota Statutes, section 123B.595:
145.15
$
0
.....
2016
145.16
145.17
$
52,844,000
50,571,000
.....
2017
145.18The 2017 appropriation includes $0 for 2016 and $52,844,000 $50,571,000 for 2017.
145.19EFFECTIVE DATE.This section is effective the day following final enactment.

145.20    Sec. 19. Laws 2015, First Special Session chapter 3, article 6, section 13, subdivision 3,
145.21as amended by Laws 2016, chapter 189, article 34, section 12, is amended to read:
145.22    Subd. 3. Debt service equalization. For debt service aid according to Minnesota Statutes,
145.23section 123B.53, subdivision 6:
145.24
$
20,349,000
.....
2016
145.25
145.26
$
22,926,000
20,406,000
.....
2017
145.27The 2016 appropriation includes $2,295,000 for 2015 and $18,054,000 for 2016.
145.28The 2017 appropriation includes $2,005,000 for 2016 and $20,921,000 $18,401,000 for
145.292017.
145.30EFFECTIVE DATE.This section is effective the day following final enactment.
146.1E. NUTRITION

146.2    Sec. 20. Laws 2015, First Special Session chapter 3, article 7, section 7, subdivision 2, as
146.3amended by Laws 2016, chapter 189, article 27, section 18, is amended to read:
146.4    Subd. 2. School lunch. For school lunch aid according to Minnesota Statutes, section
146.5124D.111 , and Code of Federal Regulations, title 7, section 210.17:
146.6
$
16,251,000
.....
2016
146.7
146.8
$
16,775,000
16,234,000
.....
2017
146.9EFFECTIVE DATE.This section is effective the day following final enactment.

146.10    Sec. 21. Laws 2015, First Special Session chapter 3, article 7, section 7, subdivision 3, as
146.11amended by Laws 2016, chapter 189, article 27, section 19, is amended to read:
146.12    Subd. 3. School breakfast. For traditional school breakfast aid under Minnesota Statutes,
146.13section 124D.1158:
146.14
$
9,457,000
.....
2016
146.15
146.16
$
10,365,000
9,869,000
.....
2017
146.17EFFECTIVE DATE.This section is effective the day following final enactment.

146.18    Sec. 22. Laws 2015, First Special Session chapter 3, article 7, section 7, subdivision 4, as
146.19amended by Laws 2016, chapter 189, article 34, section 15, is amended to read:
146.20    Subd. 4. Kindergarten milk. For kindergarten milk aid under Minnesota Statutes,
146.21section 124D.118:
146.22
$
788,000
.....
2016
146.23
146.24
$
788,000
758,000
.....
2017
146.25EFFECTIVE DATE.This section is effective the day following final enactment.
146.26F. EARLY CHILDHOOD EDUCATION

146.27    Sec. 23. Laws 2015, First Special Session chapter 3, article 9, section 8, subdivision 5, as
146.28amended by Laws 2016, chapter 189, article 34, section 16, is amended to read:
146.29    Subd. 5. Early childhood family education aid. For early childhood family education
146.30aid under Minnesota Statutes, section 124D.135:
146.31
$
27,948,000
.....
2016
147.1
147.2
$
29,336,000
28,944,000
.....
2017
147.3The 2016 appropriation includes $2,713,000 for 2015 and $25,235,000 for 2016.
147.4The 2017 appropriation includes $2,803,000 for 2016 and $26,533,000 $26,141,000 for
147.52017.
147.6EFFECTIVE DATE.This section is effective the day following final enactment.

147.7    Sec. 24. Laws 2015, First Special Session chapter 3, article 9, section 8, subdivision 6, as
147.8amended by Laws 2016, chapter 189, article 34, section 17, is amended to read:
147.9    Subd. 6. Developmental screening aid. For developmental screening aid under
147.10Minnesota Statutes, sections 121A.17 and 121A.19:
147.11
$
3,477,000
.....
2016
147.12
147.13
$
3,488,000
3,573,000
.....
2017
147.14The 2016 appropriation includes $338,000 for 2015 and $3,139,000 for 2016.
147.15The 2017 appropriation includes $348,000 for 2016 and $3,140,000 $3,225,000 for
147.162017.
147.17EFFECTIVE DATE.This section is effective the day following final enactment.

147.18    Sec. 25. Laws 2015, First Special Session chapter 3, article 10, section 3, subdivision 2,
147.19as amended by Laws 2016, chapter 189, article 34, section 18, is amended to read:
147.20    Subd. 2. Community education aid. For community education aid under Minnesota
147.21Statutes, section 124D.20:
147.22
$
790,000
.....
2016
147.23
147.24
$
553,000
555,000
.....
2017
147.25The 2016 appropriation includes $107,000 for 2015 and $683,000 for 2016.
147.26The 2017 appropriation includes $75,000 for 2016 and $478,000 $480,000 for 2017.
147.27EFFECTIVE DATE.This section is effective the day following final enactment.
148.1G. SELF-SUFFICIENCY AND LIFELONG LEARNING

148.2    Sec. 26. Laws 2015, First Special Session chapter 3, article 11, section 3, subdivision 2,
148.3as amended by Laws 2016, chapter 189, article 34, section 19, is amended to read:
148.4    Subd. 2. Adult basic education aid. For adult basic education aid under Minnesota
148.5Statutes, section 124D.531:
148.6
$
48,231,000
.....
2016
148.7
148.8
$
49,683,000
48,762,000
.....
2017
148.9The 2016 appropriation includes $4,782,000 for 2015 and $43,449,000 for 2016.
148.10The 2017 appropriation includes $4,827,000 for 2016 and $44,856,000 $43,935,000 for
148.112017.
148.12EFFECTIVE DATE.This section is effective the day following final enactment."
148.13Delete the title and insert:
148.14"A bill for an act
148.15relating to education finance; providing funding in early childhood, kindergarten
148.16through grade 12, and adult education, including general education, education
148.17excellence, teachers, special education, facilities and technology, nutrition, libraries,
148.18early childhood and family support, community education and prevention,
148.19self-sufficiency and lifelong learning, and state agencies; making forecast
148.20adjustments; requiring a report; appropriating money;amending Minnesota Statutes
148.212016, sections 43A.08, subdivisions 1, 1a; 120A.22, subdivision 9; 120A.41;
148.22120B.021, subdivisions 1, 3; 120B.022, subdivision 1b; 120B.12, subdivisions 2,
148.232a, 3; 120B.125; 120B.132; 120B.22, subdivision 2; 120B.23, subdivision 3;
148.24120B.232, subdivision 1; 120B.30, subdivision 1; 120B.31, subdivision 4, by
148.25adding a subdivision; 120B.35, subdivision 3; 120B.36, subdivision 1; 121A.22,
148.26subdivision 2; 121A.221; 122A.14, subdivision 9; 122A.18, subdivisions 7c, 8;
148.27122A.21, subdivisions 1, 2, by adding a subdivision; 122A.40, subdivision 10;
148.28122A.41, by adding a subdivision; 122A.414, subdivision 2; 122A.415, subdivision
148.294; 122A.416; 123A.30, subdivision 6; 123A.73, subdivision 2; 123B.41,
148.30subdivisions 2, 5a; 123B.52, subdivision 1, by adding a subdivision; 123B.595,
148.31subdivisions 1, 4; 123B.71, subdivisions 11, 12; 123B.92, subdivision 1; 124D.03,
148.32subdivision 5a; 124D.05, subdivision 3; 124D.09, subdivisions 3, 5, 10, 12, 13,
148.33by adding subdivisions; 124D.1158, subdivisions 3, 4; 124D.165, subdivisions 1,
148.342, 3, 4; 124D.52, subdivision 7; 124D.549; 124D.55; 124D.59, subdivision 2;
148.35124D.68, subdivision 2; 124D.695; 124E.03, subdivision 2; 124E.05, subdivision
148.367; 124E.11; 124E.22; 125A.0941; 125A.11, subdivision 1; 125A.21, subdivision
148.372; 125A.515; 125A.56, subdivision 1; 125A.74, subdivision 1; 125A.76, subdivision
148.382c; 126C.05, subdivisions 1, 8; 126C.10, subdivisions 2, 2a, 3, 13a; 126C.17,
148.39subdivision 9; 127A.45, subdivision 10; 134.31, subdivision 2; 136A.1791,
148.40subdivisions 1, 2, 9; 256B.0625, subdivision 26; 256J.08, subdivisions 38, 39;
148.41297A.70, subdivision 2; Laws 2015, First Special Session chapter 3, article 1,
148.42section 27, subdivisions 2, as amended, 3, 4, as amended, 6, as amended, 7, as
148.43amended, 9, as amended; article 2, section 70, subdivisions 2, as amended, 3, as
148.44amended, 4, as amended, 5, as amended, 7, as amended, 11, as amended; article
148.454, section 9, subdivision 2, as amended; article 5, section 30, subdivisions 2, as
148.46amended, 3, as amended, 5, as amended, 6; article 6, section 13, subdivisions 2,
148.47as amended, 3, as amended; article 7, section 7, subdivisions 2, as amended, 3, as
149.1amended, 4, as amended; article 9, section 8, subdivisions 5, as amended, 6, as
149.2amended; article 10, section 3, subdivision 2, as amended; article 11, section 3,
149.3subdivision 2, as amended; Laws 2016, chapter 189, article 25, sections 58; 62,
149.4subdivisions 7, 11, 17; article 30, section 25, subdivision 5; proposing coding for
149.5new law in Minnesota Statutes, chapters 120A; 120B; 121A; 122A; 124D; 127A;
149.6136A; repealing Minnesota Statutes 2016, sections 122A.40, subdivision 11;
149.7122A.41, subdivision 14; 123A.73, subdivision 3; 124D.151; 124D.73, subdivision
149.82; 125A.75, subdivision 7; 125A.76, subdivision 2b; 129C.10, subdivisions 1, 2,
149.93, 3a, 3b, 4, 4a, 5a, 6, 7, 8; 129C.105; 129C.15; 129C.20; 129C.25; 129C.26;
149.10129C.30; Minnesota Rules, parts 3500.3100, subpart 4; 3600.0010, subparts 1, 2,
149.112a, 2b, 3, 6; 3600.0020; 3600.0030, subparts 1, 2, 4, 6; 3600.0045; 3600.0055;
149.123600.0065; 3600.0075; 3600.0085."