House Journal 28th Day Wednesday, April 30, 2025

A quorum was present.

Cha was excused.

Falconer and Hill were excused until 3:00 p.m.

Pursuant to Rule 10.05, relating to Remote House Operations, the Speaker permitted the following member to vote via remote means: McDonald.

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Pursuant to Rule 10.05, relating to Remote House Operations, the DFL Caucus Leader permitted the following member to vote via remote means: Hussein.

The Chief Clerk proceeded to read the Journal of the preceding day. There being no objection, further reading of the Journal was dispensed with and the Journal was approved as corrected by the Chief Clerk.

REPORTS OF STANDING COMMITTEES AND DIVISIONS

Stephenson and Torkelson from the Committee on Ways and Means to which was referred:

H. F. No. 2433, A bill for an act relating to education finance; making forecast adjustments for kindergarten through grade 12 education in general education, education excellence, teachers, special education, facilities, nutrition, early education, and community education and lifelong learning; amending Laws 2023, chapter 18, section 4, subdivisions 2, as amended, 3, as amended; Laws 2023, chapter 54, section 20, subdivisions 7, as amended, 9, as amended, 17, as amended; Laws 2023, chapter 55, article 1, section 36, subdivisions 2, as amended, 3, as amended, 4, as amended, 5, as amended, 6, as amended, 7, as amended, 9, as amended; article 2, section 64, subdivisions 2, as amended, 6, as amended, 21, as amended, 23, as amended, 34; article 4, section 21, subdivisions 2, as amended, 5, as amended; article 5, section 64, subdivisions 3, as amended, 14, as amended; article 7, section 18, subdivisions 2, as amended, 3, as amended, 4, as amended, 6, as amended, 7, as amended; article 8, section 19, subdivision 6, as amended; article 9, section 18, subdivisions 4, as amended, 8, as amended; article 11, section 11, subdivisions 2, as amended, 3, as amended, 10, as amended.

Reported the same back with the following amendments:

Delete everything after the enacting clause and insert:

"ARTICLE 1

GENERAL EDUCATION

Section 1. Minnesota Statutes 2024, section 123A.485, subdivision 2, is amended to read:

Subd. 2. Aid. (a) Consolidation transition aid is equal to ~~$200~~ $424 times the number of resident pupil units in the newly created district in the year of consolidation and ~~$100~~ $212 times the number of resident pupil units in the first year following the year of consolidation. The number of pupil units used to calculate aid in either year shall not exceed 1,000 for districts consolidating July 1, 1994, and 1,500 for districts consolidating July 1, 1995, and thereafter.

(b) If the total appropriation for consolidation transition aid for any fiscal year, plus any amount transferred under section 127A.41, subdivision 8, is insufficient to pay all districts the full amount of aid earned, the department must first pay the districts in the first year following the year of consolidation the full amount of aid earned and distribute any remaining funds to the newly created districts in the first year of consolidation.

Sec. 2. Minnesota Statutes 2024, section 124E.20, subdivision 1, is amended to read:

Subdivision 1. Revenue calculation. (a) General education revenue must be paid to a charter school as though it were a district. The general education revenue for each adjusted pupil unit is the state average general education revenue per pupil unit, plus the referendum equalization aid allowance and the first and second tier ~~local optional~~ basic supplemental aid ~~allowance~~ allowances in the pupil's district of residence, minus an amount equal to the product of the formula allowance according to section 126C.10, subdivision 2, times .0466, calculated without

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declining enrollment revenue, ~~local optional~~ basic supplemental revenue, basic skills revenue, extended time revenue, pension adjustment revenue, transition revenue, and transportation sparsity revenue, plus declining enrollment revenue, basic skills revenue, pension adjustment revenue, and transition revenue as though the school were a school district.

(b) For a charter school operating an extended day, extended week, or summer program, the general education revenue in paragraph (a) is increased by an amount equal to 25 percent of the statewide average extended time revenue per adjusted pupil unit.

(c) Notwithstanding paragraph (a), the general education revenue for an eligible special education charter school as defined in section 124E.21, subdivision 2, equals the sum of the amount determined under paragraph (a) and the school's unreimbursed cost as defined in section 124E.21, subdivision 2, for educating students not eligible for special education services.

EFFECTIVE DATE. This section is effective for revenue for fiscal year 2026 and later.

Sec. 3. Minnesota Statutes 2024, section 126C.10, subdivision 1, is amended to read:

Subdivision 1. General education revenue. The general education revenue for each district equals the sum of the district's basic revenue, extended time revenue, gifted and talented revenue, declining enrollment revenue, ~~local optional~~ basic supplemental revenue, small schools revenue, basic skills revenue, secondary sparsity revenue, elementary sparsity revenue, transportation sparsity revenue, total operating capital revenue, equity revenue, pension adjustment revenue, and transition revenue.

EFFECTIVE DATE. This section is effective for revenue for fiscal year 2026 and later.

Sec. 4. Minnesota Statutes 2024, section 126C.10, subdivision 2e, is amended to read:

Subd. 2e. ~~Local optional~~ Basic supplemental revenue. (a) ~~Local optional~~ Basic supplemental revenue for a school district equals the sum of the district's first tier ~~local optional~~ basic supplemental revenue ~~and~~, second tier ~~local optional~~ basic supplemental revenue, and third tier basic supplemental revenue.

(b) A district's first tier ~~local optional~~ basic supplemental revenue equals the first tier basic supplemental allowance times the adjusted pupil units of the district for that school year. The first tier basic supplemental allowance equals $40.34 for fiscal year 2026, $40.45 for fiscal year 2027, $43.72 for fiscal year 2028, and $43.82 for fiscal year 2029 and later.

(c) A district's second tier basic supplemental revenue equals $300 times the adjusted pupil units of the district for that school year.

(d) A district's ~~second~~ third tier ~~local optional~~ basic supplemental revenue equals $424 times the adjusted pupil units of the district for that school year.

~~(b)~~ (e) A district's ~~local optional~~ basic supplemental levy equals the sum of the ~~first~~ second tier ~~local optional~~ basic supplemental levy and the ~~second~~ third tier ~~local optional~~ basic supplemental levy.

~~(c)~~ (f) A district's ~~first~~ second tier ~~local optional~~ basic supplemental levy equals the district's ~~first~~ second tier ~~local optional~~ basic supplemental revenue times the lesser of one or the ratio of the district's referendum market value per resident pupil unit to $880,000.

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(d) (g) For fiscal year 2023, a district's second tier local optional levy equals the district's second tier local optional revenue times the lesser of one or the ratio of the district's referendum market value per resident pupil unit to $548,842. For fiscal year 2024, a district's second tier local optional levy equals the district's second tier local optional revenue times the lesser of one or the ratio of the district's referendum market value per resident pupil unit to $510,000. For fiscal year 2025, a district's ~~second~~ third tier ~~local optional~~ basic supplemental levy equals the district's ~~second~~ third tier ~~local optional~~ basic supplemental revenue times the lesser of one or the ratio of the district's referendum market value per resident pupil unit to $626,450. For fiscal year 2026, a district's ~~second~~ third tier ~~local optional~~ basic supplemental levy equals the district's ~~second~~ third tier ~~local optional~~ basic supplemental revenue times the lesser of one or the ratio of the district's referendum market value per resident pupil unit to $642,038. For fiscal year 2027 and later, a district's ~~second~~ third tier ~~local optional~~ basic supplemental levy equals the district's ~~second~~ third tier ~~local optional~~ basic supplemental revenue times the lesser of one or the ratio of the district's referendum market value per resident pupil unit to $671,345.

~~(e)~~ (h) The ~~local optional~~ basic supplemental levy must be spread on referendum market value. A district may levy less than the permitted amount.

~~(f)~~ (i) A district's ~~local optional~~ basic supplemental aid equals its ~~local optional~~ basic supplemental revenue minus its ~~local optional~~ basic supplemental levy. If a district's actual levy for ~~first or~~ second tier ~~local optional~~ or third tier basic supplemental revenue is less than its maximum levy limit for that tier, its aid must be proportionately reduced.

EFFECTIVE DATE. This section is effective for revenue for fiscal year 2026 and later.

Sec. 5. Minnesota Statutes 2024, section 126C.13, subdivision 4, is amended to read:

Subd. 4. General education aid. ~~For fiscal year 2015 and later,~~ A district's general education aid equals:

(1) general education revenue, excluding operating capital revenue, equity revenue, ~~local optional~~ basic supplemental revenue, and transition revenue; plus

(2) operating capital aid under section 126C.10, subdivision 13b;

(3) equity aid under section 126C.10, subdivision 30; plus

(4) transition aid under section 126C.10, subdivision 33; plus

(5) shared time aid under section 126C.01, subdivision 7; plus

(6) referendum aid under section 126C.17, subdivisions 7 and 7a; plus

(7) online learning aid under section 124D.096; plus

(8) ~~local optional~~ basic supplemental aid according to section 126C.10, subdivision 2e, paragraph (f).

EFFECTIVE DATE. This section is effective for revenue for fiscal year 2026 and later.

Sec. 6. Minnesota Statutes 2024, section 126C.15, subdivision 2, is amended to read:

Subd. 2. Building allocation. (a) A district or cooperative must allocate at least 80 percent of its compensatory revenue to each school building in the district or cooperative where the children who have generated the revenue are served unless the school district or cooperative has received permission under Laws 2005, First Special Session chapter 5, article 1, section 50, to allocate compensatory revenue according to student performance measures developed by the school board.

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(b) A district or cooperative may allocate no more than 20 percent of the amount of compensatory revenue that the district receives to school sites according to a plan adopted by the school board. The money reallocated under this paragraph must be spent for the purposes listed in subdivision 1, but may be spent on students in any grade, including students attending school readiness or other prekindergarten programs.

(c) For the purposes of this section and section 126C.05, subdivision 3, "building" means education site as defined in section 123B.04, subdivision 1.

(d) Notwithstanding section 123A.26, subdivision 1, compensatory revenue generated by students served at a cooperative unit shall be paid to the cooperative unit.

(e) A district or cooperative with school building openings, school building closings, changes in attendance area boundaries, or other changes in programs or student demographics between the prior year and the current year may reallocate compensatory revenue among sites to reflect these changes. A district or cooperative must report to the department any adjustments it makes according to this paragraph and the department must use the adjusted compensatory revenue allocations in preparing the report required under section 123B.76, subdivision 3, paragraph (c).

(f) For fiscal years 2026 and 2027 only, notwithstanding the percentages specified in paragraphs (a) and (b), a district may allocate up to 40 percent of the amount of compensatory revenue that the district receives to school sites according to a plan adopted by the school board, consistent with the purposes listed in subdivision 1.

Sec. 7. Minnesota Statutes 2024, section 126C.17, subdivision 7a, is amended to read:

Subd. 7a. Referendum tax base replacement aid. For each school district that had a referendum allowance for fiscal year 2002 exceeding $415, for each separately authorized referendum levy, the commissioner of revenue, in consultation with the commissioner of education, shall certify the amount of the referendum levy in taxes payable year 2001 attributable to the portion of the referendum allowance exceeding $415 levied against property classified as class 2, noncommercial 4c(1), or 4c(4), under section 273.13, excluding the portion of the tax paid by the portion of class 2a property consisting of the house, garage, and surrounding one acre of land. The resulting amount must be used to reduce the district's referendum levy or ~~first~~ second tier ~~local optional~~ basic supplemental levy amount otherwise determined, and must be paid to the district each year that the referendum or ~~first~~ second tier ~~local optional~~ basic supplemental authority remains in effect, is renewed, or new referendum authority is approved. The aid payable under this subdivision must be subtracted from the district's referendum equalization aid under subdivision 7. The referendum equalization aid and the ~~first~~ second tier ~~local optional~~ basic supplemental aid after the subtraction must not be less than zero.

EFFECTIVE DATE. This section is effective for revenue for fiscal year 2026 and later.

Sec. 8. Minnesota Statutes 2024, section 126C.17, subdivision 7b, is amended to read:

Subd. 7b. Referendum aid guarantee. (a) Notwithstanding subdivision 7, the sum of a district's referendum equalization aid and local optional aid under section 126C.10, subdivision 2e, for fiscal year 2015 must not be less than the sum of the referendum equalization aid the district would have received for fiscal year 2015 under Minnesota Statutes 2012, section 126C.17, subdivision 7, and the adjustment the district would have received under Minnesota Statutes 2012, section 127A.47, subdivision 7, paragraphs (a), (b), and (c).

~~(b)~~ Notwithstanding subdivision 7, the sum of referendum equalization aid and ~~local optional~~ basic supplemental aid under section 126C.10, subdivision 2e, ~~for fiscal year 2016 and later,~~ for a district qualifying for additional aid under Minnesota Statutes 2014, section 126C.10, subdivision 2e, paragraph (a), for fiscal year 2015, must not be less than the product of (1) the sum of the district's referendum equalization aid and local optional aid under Minnesota Statutes 2014, section 126C.10, subdivision 2e, for fiscal year 2015, times (2) the lesser of one or the ratio of the

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sum of the district's referendum revenue and ~~local optional~~ basic supplemental revenue for that school year to the sum of the district's referendum revenue and local optional revenue for fiscal year 2015, times (3) the lesser of one or the ratio of the district's referendum market value used for fiscal year 2015 referendum equalization calculations to the district's referendum market value used for that year's referendum equalization calculations.

EFFECTIVE DATE. This section is effective for revenue for fiscal year 2026 and later.

Sec. 9. Minnesota Statutes 2024, section 126C.43, subdivision 2, is amended to read:

Subd. 2. Payment to unemployment insurance program trust fund by state and political subdivisions. (a) A district may levy the amount necessary (1) to pay the district's obligations under section 268.052, subdivision 1, and (2) to pay for job placement services offered to employees who may become eligible for benefits pursuant to section 268.085 for the fiscal year the levy is certified.

(b) Districts with a balance remaining in their reserve for reemployment as of June 30, 2003, may not expend the reserved funds for future reemployment expenditures. Each year a levy reduction must be made to return these funds to taxpayers. The amount of the levy reduction must be equal to the lesser of: (1) the remaining reserved balance for reemployment; or (2) the amount of the district's current levy under paragraph (a).

(c) The amount in paragraph (a) must not include the amounts for hourly school employees during the period of the summer term prior to September 10, 2028.

(d) Beginning September 10, 2028, the amount in paragraph (a) must not include any amounts for hourly school employees whose unemployment costs are included in special education costs eligible for aid under section 125A.76.

Sec. 10. Minnesota Statutes 2024, section 127A.47, subdivision 7, is amended to read:

Subd. 7. Alternative attendance programs. (a) The general education aid and special education aid for districts must be adjusted for each pupil attending a nonresident district under sections 123A.05 to 123A.08, 124D.03, 124D.08, and 124D.68. The adjustments must be made according to this subdivision.

(b) For purposes of this subdivision, the "unreimbursed cost of providing special education and services" means the difference between: (1) the actual cost of providing special instruction and services, including special transportation and unreimbursed building lease and debt service costs for facilities used primarily for special education, for a pupil with a disability, as defined in section 125A.02, or a pupil, as defined in section 125A.51, who is enrolled in a program listed in this subdivision, minus (2) if the pupil receives special instruction and services outside the regular classroom for more than 60 percent of the school day, the amount of general education revenue, excluding local optional revenue, plus local optional aid and referendum equalization aid as defined in section 125A.11, subdivision 1, paragraph (d), attributable to that pupil for the portion of time the pupil receives special instruction and services outside of the regular classroom, excluding portions attributable to district and school administration, district support services, operations and maintenance, capital expenditures, and pupil transportation, minus (3) special education aid under section 125A.76, excluding cross subsidy reduction aid under section 125A.76, subdivision 2e, attributable to that pupil, that is received by the district providing special instruction and services. For purposes of this paragraph, general education revenue and referendum equalization aid attributable to a pupil must be calculated using the serving district's average general education revenue and referendum equalization aid per adjusted pupil unit.

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(c) For fiscal year 2020, special education aid paid to a resident district must be reduced by an amount equal to 85 percent of the unreimbursed cost of providing special education and services. For fiscal year 2021 and later, special education aid paid to a resident district must be reduced by an amount equal to 80 percent of the unreimbursed cost of providing special education and services.

(d) Notwithstanding paragraph (c), special education aid paid to a resident district must be reduced by an amount equal to 100 percent of the unreimbursed cost of special education and services provided to students at an intermediate district, cooperative, or charter school where the percent of students eligible for special education services is at least 70 percent of the charter school's total enrollment.

(e) Notwithstanding paragraph (c), special education aid paid to a resident district must be reduced under paragraph (d) for students at a charter school receiving special education aid under section 124E.21, subdivision 3, calculated as if the charter school received special education aid under section 124E.21, subdivision 1.

(f) Special education aid paid to the district or cooperative providing special instruction and services for the pupil, or to the fiscal agent district for a cooperative, must be increased by the amount of the reduction in the aid paid to the resident district under paragraphs (c) and (d). If the resident district's special education aid is insufficient to make the full adjustment under paragraphs (c), (d), and (e), the remaining adjustment shall be made to other state aids due to the district.

(g) Notwithstanding paragraph (a), general education aid paid to the resident district of a nonspecial education student for whom an eligible special education charter school receives general education aid under section 124E.20, subdivision 1, paragraph (c), must be reduced by an amount equal to the difference between the general education aid attributable to the student under section 124E.20, subdivision 1, paragraph (c), and the general education aid that the student would have generated for the charter school under section 124E.20, subdivision 1, paragraph (a). For purposes of this paragraph, "nonspecial education student" means a student who does not meet the definition of pupil with a disability as defined in section 125A.02 or the definition of a pupil in section 125A.51.

(h) An area learning center operated by a service cooperative, intermediate district, education district, or a joint powers cooperative may elect through the action of the constituent boards to charge the resident district tuition for pupils rather than to have the general education revenue paid to a fiscal agent school district. Except as provided in paragraph (f), the district of residence must pay tuition equal to ~~at least 90 and no more than~~ 100 percent of the district average general education revenue per pupil unit minus an amount equal to the product of the formula allowance according to section 126C.10, subdivision 2, times .0466, calculated without compensatory revenue, local optional revenue, and transportation sparsity revenue, times the number of pupil units for pupils attending the area learning center.

EFFECTIVE DATE. This section is effective for revenue for fiscal year 2026 and later.

Sec. 11. Minnesota Statutes 2024, section 268.085, subdivision 7, is amended to read:

Subd. 7. School employees; between terms denial. (a) Wage credits from employment with an educational institution or institutions may not be used for unemployment benefit purposes for any week during the period between two successive academic years or terms if:

(1) the applicant had employment for an educational institution or institutions in the prior academic year or term; and

(2) there is a reasonable assurance that the applicant will have employment for an educational institution or institutions in the following academic year or term.

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This paragraph applies to the period between two regular but not successive terms if there is an agreement for that schedule between the applicant and the educational institution.

This paragraph does not apply if the subsequent employment is substantially less favorable than the employment of the prior academic year or term, or the employment prior to the vacation period or holiday recess.

(b) Paragraph (a) does not apply to any week during the period between two successive academic years or terms if an applicant worked in a capacity other than instructional, research, or principal administrative capacity.

(c) Paragraph (a) applies to a vacation period or holiday recess if the applicant was employed immediately before the vacation period or holiday recess, and there is a reasonable assurance that the applicant will be employed immediately following the vacation period or holiday recess, including applicants who worked in a capacity other than instructional, research, or principal administrative capacity.

(d) This subdivision applies to employment with an educational service agency if the applicant performed the services at an educational institution or institutions. "Educational service agency" means a governmental entity established and operated for the purpose of providing services to one or more educational institutions.

(e) This subdivision applies to employment with Minnesota, a political subdivision, or a nonprofit organization, if the services are provided to or on behalf of an educational institution or institutions.

(f) Paragraph (a) applies beginning the Sunday of the week that there is a reasonable assurance of employment.

(g) Employment and a reasonable assurance with multiple education institutions must be aggregated for purposes of application of this subdivision.

(h) If all of the applicant's employment with any educational institution or institutions during the prior academic year or term consisted of on-call employment, and the applicant has a reasonable assurance of any on-call employment with any educational institution or institutions for the following academic year or term, it is not considered substantially less favorable employment.

(i) A "reasonable assurance" may be written, oral, implied, or established by custom or practice.

(j) An "educational institution" is a school, college, university, or other educational entity operated by Minnesota, a political subdivision or instrumentality thereof, or a nonprofit organization.

(k) An "instructional, research, or principal administrative capacity" does not include an educational assistant.

(l) This subdivision expires September 9, 2028.

Sec. 12. Minnesota Statutes 2024, section 268.085, is amended by adding a subdivision to read:

Subd. 7a. Higher education employees; between terms. (a) Starting September 10, 2028, this subdivision governs unemployment benefits of employees of higher education institutions between academic years or terms.

(b) Wage credits from employment with an educational institution or institutions may not be used for unemployment benefit purposes for any week during the period between two successive academic years or terms if:

(1) the applicant had employment for an educational institution or institutions in the prior academic year or term; and

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(2) there is a reasonable assurance that the applicant will have employment for an educational institution or institutions in the following academic year or term.

This paragraph applies to the period between two regular but not successive terms if there is an agreement for that schedule between the applicant and the educational institution.

(c) Paragraph (b) does not apply to any week during the period between two successive academic years or terms if an applicant worked in a capacity other than instructional, research, or principal administrative capacity.

(d) Paragraph (b) applies to a vacation period or holiday recess if the applicant was employed immediately before the vacation period or holiday recess, and there is a reasonable assurance that the applicant will be employed immediately following the vacation period or holiday recess, including applicants who worked in a capacity other than instructional, research, or principal administrative capacity.

(e) This subdivision applies to employment with an educational service agency if the applicant performed the services at an educational institution or institutions. "Educational service agency" means a governmental entity established and operated for the purpose of providing services to one or more educational institutions.

(f) This subdivision applies to employment with Minnesota, a political subdivision, or a nonprofit organization, if the services are provided to or on behalf of an educational institution or institutions.

(g) Paragraph (b) applies beginning the Sunday of the week that there is a reasonable assurance of employment.

(h) Employment and a reasonable assurance with multiple education institutions must be aggregated for purposes of application of this subdivision.

(i) If all of the applicant's employment with any educational institution or institutions during the prior academic year or term consisted of on-call employment, and the applicant has a reasonable assurance of any on-call employment with any educational institution or institutions for the following academic year or term, it is not considered substantially less favorable employment.

(j) A "reasonable assurance" may be written, oral, implied, or established by custom or practice.

(k) For purposes of this subdivision, an "educational institution" is a college or university operated by Minnesota, a political subdivision or instrumentality thereof, or a nonprofit organization.

(l) An "instructional, research, or principal administrative capacity" does not include an educational assistant.

Sec. 13. Minnesota Statutes 2024, section 268.085, is amended by adding a subdivision to read:

Subd. 7b. School employees; between terms. (a) Starting September 10, 2028, this subdivision governs unemployment benefits of school employees between academic years or terms.

(1) the applicant had employment for an educational institution or institutions in the prior academic year or term; and

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(2) there is a reasonable assurance that the applicant will have employment for an educational institution or institutions in the following academic year or term.

This paragraph applies to a vacation period or holiday recess if the applicant was employed immediately before the vacation period or holiday recess, and there is a reasonable assurance that the applicant will be employed immediately following the vacation period or holiday recess. This paragraph also applies to the period between two regular but not successive terms if there is an agreement for that schedule between the applicant and the educational institution.

(c) Paragraph (b) does not apply to an applicant who, at the end of the prior academic year or term, had an agreement for a definite period of employment between academic years or terms in other than an instructional, research, or principal administrative capacity and the educational institution or institutions failed to provide that employment.

(d) If unemployment benefits are denied to any applicant under paragraph (b) who was employed in the prior academic year or term in other than an instructional, research, or principal administrative capacity and who was not offered an opportunity to perform the employment in the following academic year or term, the applicant is entitled to retroactive unemployment benefits for each week during the period between academic years or terms that the applicant filed a timely continued request for unemployment benefits, but unemployment benefits were denied solely because of paragraph (b).

(g) Paragraph (b) applies beginning the Sunday of the week that there is a reasonable assurance of employment.

(h) Employment and a reasonable assurance with multiple education institutions must be aggregated for purposes of application of this subdivision.

(j) A "reasonable assurance" may be written, oral, implied, or established by custom or practice.

(k) For purposes of this subdivision, an "educational institution" is a school or other educational entity operated by Minnesota, a political subdivision or instrumentality thereof, or a nonprofit organization.

(l) An "instructional, research, or principal administrative capacity" does not include an educational assistant.

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Sec. 14. Minnesota Statutes 2024, section 268.085, is amended by adding a subdivision to read:

Subd. 8a. Services for school contractors. (a) Starting September 10, 2028, wage credits from an employer are subject to subdivision 7b, if:

(1) the employment was provided under a contract between the employer and an elementary or secondary school; and

(2) the contract was for services that the elementary or secondary school could have had performed by its employees.

(b) Wage credits from an employer are not subject to subdivision 7b if:

(1) those wage credits were earned by an employee of a private employer performing work under a contract between the employer and an elementary or secondary school; and

(2) the employment was related to food services provided to the school by the employer.

Sec. 15. Laws 2023, chapter 55, article 1, section 36, subdivision 12, is amended to read:

Subd. 12. Career and technical program expansion; aeronautics pilot program. (a) For Independent School District No. 482, Little Falls, for an aeronautics and commercial over-the-road technical program:

$450,000

. . . . .

2024

(b) The funds must be used to help support the district's aeronautics and commercial over-the-road technical pilot program. The funds may be used for equipment, staffing costs, travel costs, and contracted services.

(c) By February 1, 2027, the district must report to the chairs and ranking minority members of the legislative committees with jurisdiction over kindergarten through grade 12 education on the activities funded by this appropriation. The report must include but is not limited to information about program participation and demographic information about the students served in the program, a description of the type of activities offered by each program during the year, partnerships with higher education and private providers of aeronautic and commercial over-the-road services, and recommendations for state actions that could improve aeronautics and commercial over-the-road programming for all school districts. The report must also describe how the district's early expenditures for the program were successful in providing the aeronautics and commercial over-the-road technical program in a more timely manner to the district's participating students.

(d) The school district's program expenditures for this program occurring after May 24, 2023, and prior to the Department of Education officially awarding this grant to the school district, qualify as eligible program expenditures and are reimbursable from the grant amount in paragraph (a).

~~(d)~~ (e) This appropriation is available until June 30, 2026. This is a onetime appropriation.

EFFECTIVE DATE. This section is effective retroactively from May 24, 2023.

Sec. 16. COMPENSATORY REVENUE TASK FORCE.

Subdivision 1. Task force established. A task force is established to analyze the general education compensatory revenue formula, including the purpose of the program, the revenue levels of the program, the distribution formula for the revenue, the uses of compensatory revenue, and methods to evaluate the outcomes of compensatory revenue spending.

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Subd. 2. Membership. The Compensatory Revenue Task Force consists of the commissioner of education or the commissioner's designee and 15 other members who must be appointed by August 15, 2025, as follows:

(1) two members appointed by the majority leader of the senate;

(2) two members appointed by the minority leader of the senate;

(3) two members appointed by the speaker of the house;

(4) two members appointed by the speaker emerita of the house;

(5) three school administrators appointed by the commissioner, one representing each of the following: a rural school district or charter school, a metropolitan area school district or charter school, and a racially and economically diverse school district or charter school;

(6) two teachers appointed by the commissioner of education, including a teacher from the metropolitan area and a teacher from greater Minnesota; and

(7) two members appointed by the commissioner who represent community organizations.

Subd. 3. Consultation and advice. The commissioner of education and the task force must request expert advice as necessary, including advice and technical assistance from representatives of the Department of Revenue regarding pupil identification methods voluntarily linked to certain state income tax data and the state demographer's office regarding census information that may inform the compensatory revenue formula, and general school district accounting and business practices advice from representatives suggested by the Minnesota Association of School Business Officials.

Subd. 4. Duties. The task force must:

(1) evaluate which students currently generate compensatory revenue, examine whether this student count aligns with students who are under-prepared to learn or otherwise not meeting academic standards, and determine the best student population to target with compensatory revenue;

(2) examine and determine the best proxy and demographic variables to identify students, sites, and districts in need of assistance to help students better meet academic standards and prepare to learn;

(3) examine potential input data elements for determining compensatory revenue, including income tax data, census information, and federal school meals eligibility, whether identified through direct certification of income from public assistance program participation or through the application for educational benefits;

(4) determine whether compensatory revenue should be generated at the school district or school site level;

(5) evaluate whether the compensatory revenue formula should contain a concentration formula;

(6) examine the interrelationships between the compensatory revenue program and extended time revenue program, including summer school, and propose methods to better integrate compensatory revenue and extended time revenue;

(7) evaluate the best uses of compensatory revenue; and

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(8) evaluate potential ways to examine the effectiveness of compensatory revenue, including measures of absolute levels and growth in student attendance, graduation rates, assessment results, student behavior, and disciplinary events.

Subd. 5. Compensation. Minnesota Statutes, section 15.059, subdivision 3, governs compensation of the members of the task force.

Subd. 6. Meetings and administrative support. (a) The commissioner of education or the commissioner's designee must convene the first meeting of the task force no later than September 15, 2025. The task force must establish a schedule for meetings and meet as necessary to accomplish the duties under this section. Meetings are subject to Minnesota Statutes, chapter 13D. The task force may meet by telephone or interactive technology consistent with Minnesota Statutes, section 13D.015.

(b) The Department of Education must provide administrative support to assist the task force in its work, including providing information, data, and technical support, and the department must assist in the creation of the task force reports.

Subd. 7. Reporting. The task force must issue a preliminary report to the legislature by February 15, 2026, and a final report to the legislature by September 15, 2026. The reports must be prepared and filed consistent with the requirements of Minnesota Statutes, section 3.195, and submitted to the chairs and ranking minority members of the legislative committees with jurisdiction over education finance and policy.

Subd. 8. Expiration. The task force expires September 15, 2026.

Sec. 17. APPROPRIATIONS.

Subdivision 1. Department of Education. The sums indicated in this section are appropriated from the general fund to the Department of Education for the fiscal years designated.

Subd. 2. General education aid. (a) For general education aid under Minnesota Statutes, section 126C.13, subdivision 4:

		$8,483,842,000	. . . . .	2026
		$8,786,840,000	. . . . .	2027

(b) The 2026 appropriation includes $783,251,000 for 2025 and $7,700,591,000 for 2026.

Subd. 3. Enrollment options transportation. For transportation of pupils attending postsecondary institutions under Minnesota Statutes, section 124D.09, or for transportation of pupils attending nonresident districts under Minnesota Statutes, section 124D.03:

		$25,000	. . . . .	2026
		$27,000	. . . . .	2027

Subd. 4. Abatement aid. (a) For abatement aid under Minnesota Statutes, section 127A.49:

		$1,929,000	. . . . .	2026
		$2,340,000	. . . . .	2027

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(b) The 2026 appropriation includes $140,000 for 2025 and $1,789,000 for 2026.

Subd. 5. Consolidation transition aid. (a) For districts consolidating under Minnesota Statutes, section 123A.485:

		$572,000	. . . . .	2026
		$350,000	. . . . .	2027

(b) The 2026 appropriation includes $0 for 2025 and $572,000 for 2026.

Subd. 6. Nonpublic pupil education aid. (a) For nonpublic pupil education aid under Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:

		$25,349,000	. . . . .	2026
		$27,160,000	. . . . .	2027

(b) The 2026 appropriation includes $2,355,000 for 2025 and $22,994,000 for 2026.

Subd. 7. Nonpublic pupil transportation. (a) For nonpublic pupil transportation aid under Minnesota Statutes, section 123B.92, subdivision 9:

		$28,123,000	. . . . .	2026
		$29,359,000	. . . . .	2027

(b) The 2026 appropriation includes $2,609,000 for 2025 and $25,514,000 for 2026.

Subd. 8. One-room schoolhouse. (a) For aid to Independent School District No. 690, Warroad, to operate the Angle Inlet School:

		$65,000	. . . . .	2026
		$65,000	. . . . .	2027

(b) This aid is 100 percent payable in the current year.

Subd. 9. Career and technical aid. (a) For career and technical aid under Minnesota Statutes, section 124D.4531, subdivision 1b:

		$451,000	. . . . .	2026
		$350,000	. . . . .	2027

(b) The 2026 appropriation includes $85,000 for 2025 and $366,000 for 2026.

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Subd. 10. Pregnant and parenting pupil transportation reimbursement. (a) To reimburse districts for transporting pregnant or parenting pupils under Minnesota Statutes, section 123B.92, subdivision 1, paragraph (b), clause (1), item (vi):

		$55,000	. . . . .	2026
		$55,000	. . . . .	2027

(b) To receive reimbursement, districts must apply in the form and manner prescribed by the commissioner. If the appropriation is insufficient, the commissioner must prorate the amount paid to districts seeking reimbursement.

Subd. 11. Career and technical education consortium. (a) To the Minnesota Service Cooperatives for career and technical education consortium grants under Minnesota Statutes, section 124D.4536:

		$5,000,000	. . . . .	2026
		$5,000,000	. . . . .	2027

(b) If the appropriation in fiscal year 2026 is insufficient, the appropriation in fiscal year 2027 is available.

(d) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 12. Emergency medical training. (a) For grants to offer high school students courses in emergency medical services:

		$500,000	. . . . .	2026
		$500,000	. . . . .	2027

(b) A school district, charter school, Tribal contract school, or cooperative unit under Minnesota Statutes, section 123A.24, subdivision 2, may apply for a grant under this section to offer enrolled students emergency medical services courses approved by the Minnesota Emergency Medical Services Regulatory Board to prepare students to take the emergency medical technician certification test, including an emergency medical services course that is a prerequisite to an emergency medical technician course.

(c) A grant recipient may use grant funds to partner with a district, charter school, cooperative unit, postsecondary institution, political subdivision, or entity with expertise in emergency medical services, including health systems, hospitals, ambulance services, and health care providers to offer an emergency medical services course.

(d) Eligible uses of grant funds include teacher salaries, transportation, equipment costs, emergency medical technician certification test fees, and student background checks.

(e) To the extent practicable, the commissioner must award at least half of the grant funds to applicants outside of the seven-county metropolitan area, and at least 30 percent of the grant funds to applicants with high concentrations of students of color.

(f) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

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Subd. 13. Area learning center transportation aid. (a) For area learning center transportation aid under Minnesota Statutes, section 123B.92, subdivision 11:

		$1,000,000	. . . . .	2026
		$1,000,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 14. Unemployment aid for hourly workers over the summer term. (a) For unemployment aid under Minnesota Statutes, section 124D.995:

$30,000,000

. . . . .

2026

(b) This appropriation is subject to the requirements of Minnesota Statutes, section 124D.995.

Subd. 15. Compensatory Revenue Task Force. For the Compensatory Revenue Task Force under section 16:

$110,000

. . . . .

2026

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Sec. 18. REVISOR INSTRUCTION.

The revisor of statutes shall replace "local optional revenue," "local optional aid," and "local optional levy" with "basic supplemental revenue," "basic supplemental aid," and "basic supplemental levy" and correct all cross-references.

ARTICLE 2

EDUCATION EXCELLENCE

Section 1. Minnesota Statutes 2024, section 124D.42, subdivision 9, is amended to read:

Subd. 9. Minnesota math corps program. (a) A Minnesota math corps program is established to ~~give~~ provide ServeMinnesota AmeriCorps members with a data-based problem-solving model of mathematics instruction ~~useful for~~ to use in providing elementary and middle school students and their teachers with instructional support. Minnesota math corps must use evidence-based instructional support to evaluate and accelerate student learning on foundational mathematics skills that enable students to meet state academic standards in mathematics and long-term proficiency expectations for the workforce.

(b) The commission must submit a biennial report to the committees of the legislature with jurisdiction over kindergarten through grade 12 education that records and evaluates program data to determine the efficacy of the programs under this subdivision.

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(c) For purposes of this subdivision, "evidence-based" means the instruction or curriculum is based on reliable, trustworthy, and valid evidence and has demonstrated a record of success in increasing student competency and proficiency in mathematics and numeracy.

EFFECTIVE DATE. This section is effective July 1, 2025.

Sec. 2. Laws 2023, chapter 55, article 2, section 64, subdivision 16, as amended by Laws 2024, chapter 115, article 2, section 16, is amended to read:

Subd. 16. Full-service community schools. (a) For grants to plan or expand the full-service community schools program under Minnesota Statutes, section 124D.231:

		$7,500,000	. . . . .	2024
		$7,500,000	. . . . .	2025

(b) Of this amount, priority must be given to programs in the following order:

(1) current grant recipients issued under Minnesota Statutes, section 124D.231;

(2) schools identified as low-performing under the federal Every Student Succeeds Act; and

(3) any other applicants.

(d) The base for fiscal year 2026 and later is $5,000,000.

(e) ~~Any balance in the first year does not cancel but is available in the second year.~~ This appropriation is available until June 30, 2027.

EFFECTIVE DATE. This section is effective the day following final enactment.

Sec. 3. APPROPRIATIONS.

Subdivision 1. Department of Education. The sums indicated in this section are appropriated from the general fund to the Department of Education for the fiscal years designated.

Subd. 2. Achievement and integration aid. (a) For achievement and integration aid under Minnesota Statutes, section 124D.862:

		$85,619,000	. . . . .	2026
		$85,222,000	. . . . .	2027

(b) The 2026 appropriation includes $8,446,000 for 2025 and $77,173,000 for 2026.

Subd. 3. Alternative programs. (a) For a grant to the Minnesota Association of Alternative Programs STARS (Success, Teamwork, Achievement, Recognition, and Self-esteem) program to help students in alternative programs develop employment, academic, and social skills and to support student participation in trainings and conferences:

		$55,000	. . . . .	2026
		$55,000	. . . . .	2027

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(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 4. Charter school building lease aid. (a) For building lease aid under Minnesota Statutes, section 124E.22:

		$96,453,000	. . . . .	2026
		$99,135,000	. . . . .	2027

(b) The 2026 appropriation includes $9,391,000 for 2025 and $87,062,000 for 2026.

Subd. 5. College entrance examination reimbursement. (a) To reimburse districts for the costs of college entrance examination fees for students who are eligible for free or reduced-price meals who take the ACT or SAT test under Minnesota Statutes, section 120B.30, subdivision 16:

		$1,011,000	. . . . .	2026
		$1,011,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 6. COMPASS and MTSS. (a) To support the development and implementation of the MTSS framework and the Collaborative Minnesota Partnerships to Advance Student Success (COMPASS) school improvement model:

		$13,500,000	. . . . .	2026
		$13,500,000	. . . . .	2027

(b) Of this amount, $5,000,000 each year is to support implementation of MTSS and COMPASS. Funds must be used to support increased capacity at the Department of Education and the Minnesota service cooperatives for implementation supports.

(c) Of this amount, $5,000,000 each year is reserved for grants to school districts, charter schools, Tribal contract schools, and cooperative units as defined in Minnesota Statutes, section 123A.24, subdivision 2, for implementation of MTSS, including: hiring local MTSS coordinators; deferring costs for personnel to participate in cohort activities and professional learning; and piloting the Department of Education One Plan, the consolidation of multiple reporting structures to streamline various applications, reports, and submissions by school districts and charter schools. Up to five percent of this amount is available for program and grant administration.

(d) Of this amount, $3,000,000 each year must be used to develop a regional network focusing on mathematics to provide dedicated mathematics trainers and coaches to train regional support staff from the Minnesota service cooperatives and to support school leaders and teachers to implement evidence-based instructional strategies in mathematics. Funds may also be used to host an annual mathematics standards-based instructional institute.

(e) Of this amount, $500,000 each year is for the University of Minnesota Center for Applied Research and Educational Improvement to support implementation and evaluation of the MTSS framework.

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(f) Support for school districts, charter schools, and cooperative units under this subdivision may include but is not limited to:

(1) partnering with the Minnesota Service Cooperatives to support districts in implementing COMPASS to support schools in the areas of literacy, math, social-emotional learning, and mental health using the MTSS framework;

(2) providing support to districts and charter schools identified under Minnesota Statutes, section 120B.11;

(3) providing support to districts and charter schools to streamline various applications, reports, and submissions to the Department of Education through One Plan;

(4) providing training, guidance, and implementation resources for MTSS, including a universal screening process approved by the Department of Education to identify students who may be at risk of experiencing academic, behavioral, and social-emotional development difficulties;

(5) providing guidance to convene school-based teams to analyze data provided by screenings and resources for related identification, instruction, and intervention methods;

(6) dyslexia screening and interventions that are evidence-based;

(7) requiring school districts and charter schools to provide parents of students identified in screenings with notice of screening findings and related support information;

(8) requiring districts and charter schools to provide at-risk students with interventions and to monitor the effectiveness of these interventions and student progress; and

(9) developing and annually reporting findings regarding the implementation of MTSS.

(g) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 7. Computer science education advancement. (a) For computer science advancement:

		$500,000	. . . . .	2026
		$500,000	. . . . .	2027

(b) Of this amount, $150,000 is for the computer science supervisor.

(c) Eligible uses of the appropriation include expenses related to the implementation of Laws 2023, chapter 55, article 2, section 61, and expenses related to the development, advancement, and promotion of kindergarten through grade 12 computer science education.

(d) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 8. Concurrent enrollment aid. (a) For concurrent enrollment aid under Minnesota Statutes, section 124D.091:

		$4,000,000	. . . . .	2026
		$4,000,000	. . . . .	2027

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(b) If the appropriation is insufficient, the commissioner must proportionately reduce the aid payment to each school district.

Subd. 9. Ethnic studies community consultation. (a) To consult with community members throughout Minnesota on the development of ethnic studies curricula, resources, and implementation support:

		$150,000	. . . . .	2026
		$150,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 10. Ethnic studies school grants. (a) For competitive grants to school districts, charter schools, and Tribal contract schools to develop, evaluate, and implement ethnic studies courses:

		$700,000	. . . . .	2026
		$700,000	. . . . .	2027

(b) The commissioner must consult with the Ethnic Studies Working Group to develop criteria for the grants.

(d) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 11. Examination fees; teacher training and support programs. (a) For students' advanced placement and international baccalaureate examination fees under Minnesota Statutes, section 120B.13, subdivision 3, and for training and related costs for teachers and other interested educators under Minnesota Statutes, section 120B.13, subdivision 1:

		$4,500,000	. . . . .	2026
		$4,500,000	. . . . .	2027

(b) The advanced placement program shall receive 75 percent of the appropriation each year and the international baccalaureate program shall receive 25 percent of the appropriation each year. The department, in consultation with representatives of the advanced placement and international baccalaureate programs selected by the Advanced Placement Advisory Council and International Baccalaureate Minnesota, respectively, shall determine the amounts of the expenditures each year for examination fees, training, and support programs for each program.

(c) Notwithstanding Minnesota Statutes, section 120B.13, subdivision 1, at least $500,000 each year is for teachers to attend subject matter summer training programs and follow-up support workshops approved by the advanced placement or international baccalaureate programs. The amount of the subsidy for each teacher attending an advanced placement or international baccalaureate summer training program or workshop shall be the same. The commissioner shall determine the payment process and the amount of the subsidy.

(d) The commissioner shall pay all examination fees for all students of low-income families under Minnesota Statutes, section 120B.13, subdivision 3, and to the extent funds are available, shall also pay examination fees for students sitting for an advanced placement examination, international baccalaureate examination, or both.

(e) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

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Subd. 12. Full-service community schools. (a) For grants to plan or expand the full-service community schools program under Minnesota Statutes, section 124D.231:

		$5,000,000	. . . . .	2026
		$5,000,000	. . . . .	2027

(b) Of this amount, priority must be given to programs in the following order:

(1) current grant recipients under Minnesota Statutes, section 124D.231;

(2) schools identified as low-performing under the federal Every Student Succeeds Act; and

(3) any other applicants.

(d) The fiscal year 2026 appropriation is available until June 30, 2029. The fiscal year 2027 appropriation is available June 30, 2030.

Subd. 13. Grants to increase science, technology, engineering, and math course offerings. (a) For grants to schools to encourage low-income and other underserved students to participate in advanced placement and international baccalaureate programs according to Minnesota Statutes, section 120B.132:

		$250,000	. . . . .	2026
		$250,000	. . . . .	2027

(b) To the extent practicable, the commissioner must distribute grant funds equitably among geographic areas in the state, including to schools located in greater Minnesota and in the seven-county metropolitan area.

Subd. 14. Implementation of education on the Holocaust, genocide of Indigenous Peoples, and other genocides. (a) For implementation of requirements for education on the Holocaust, genocide of Indigenous Peoples, and other genocides under Minnesota Statutes, section 120B.252:

		$75,000	. . . . .	2026
		$75,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 15. Interdistrict desegregation or integration transportation grants. For interdistrict desegregation or integration transportation grants under Minnesota Statutes, section 124D.87:

		$16,396,000	. . . . .	2026
		$18,157,000	. . . . .	2027

Subd. 16. Literacy incentive aid. (a) For literacy incentive aid under Minnesota Statutes, section 124D.98:

		$40,686,000	. . . . .	2026
		$40,897,000	. . . . .	2027

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(b) The 2026 appropriation includes $4,057,000 for 2025 and $36,629,000 for 2026.

Subd. 17. Minnesota Center for the Book programming. (a) For grants to the entity designated by the Library of Congress as the Minnesota Center for the Book to provide statewide programming related to the Minnesota Book Awards and for additional programming throughout the state related to the Center for the Book designation:

		$200,000	. . . . .	2026
		$200,000	. . . . .	2027

(b) Up to three percent of the appropriation is available for grant administration.

(d) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 18. Minnesota Independence College and Community. (a) For transfer to the Office of Higher Education for grants to Minnesota Independence College and Community for tuition reduction and institutional support:

		$625,000	. . . . .	2026
		$625,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

(c) By January 15 of each year, Minnesota Independence College and Community must submit a report detailing expenditures, activities, and outcomes to the commissioner and the chairs and ranking minority members of the legislative committees with jurisdiction over kindergarten through grade 12 education.

Subd. 19. Minnesota math corps. (a) For the Minnesota math corps program under Minnesota Statutes, section 124D.42, subdivision 9:

		$2,000,000	. . . . .	2026
		$1,000,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 20. Minnesota Principals Academy. (a) For grants to the University of Minnesota College of Education and Human Development for the operation of the Minnesota Principals Academy:

		$200,000	. . . . .	2026
		$200,000	. . . . .	2027

(b) Of these amounts, $50,000 must be used to pay the costs of attendance for principals and school leaders from schools identified for intervention under the state's accountability system as implemented to comply with the federal Every Student Succeeds Act. To the extent funds are available, the Department of Education is encouraged to use

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up to $200,000 of federal Title II funds to support additional participation in the Principals Academy by principals and school leaders from schools identified for intervention under the state's accountability system as implemented to comply with the federal Every Student Succeeds Act.

Subd. 21. Minnesota Youth Council. (a) For grants to the Minnesota Alliance With Youth for the activities of the Minnesota Youth Council:

		$375,000	. . . . .	2026
		$375,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 22. Museums and education centers. (a) For grants to museums and education centers:

		$1,791,000	. . . . .	2026
		$1,791,000	. . . . .	2027

(b) $500,000 each year is for the Minnesota Children's Museum.

(d) $41,000 each year is for the Minnesota Academy of Science.

(e) $100,000 each year is for The Bakken Museum, Minneapolis.

(f) $60,000 each year is for the Headwaters Science Center.

(g) $100,000 each year is for The Works Museum, Bloomington.

(h) $100,000 each year is for the WonderTrek Children's Museum, Brainerd-Baxter.

(i) $100,000 each year is for the Otter Cove Children's Museum, Fergus Falls.

(j) $100,000 each year is for the Children's Discovery Museum, Grand Rapids.

(k) $100,000 each year is for the Wheel and Cog Children's Museum, Hutchinson.

(l) $100,000 each year is for the Village Children's Museum, Willmar.

(m) $110,000 each year is for the Duluth Children's Museum, Duluth.

(n) $110,000 each year is for the Children's Museum of Southern Minnesota, Mankato.

(o) $110,000 each year is for the Great River Children's Museum, St. Cloud.

(p) $110,000 each year is for the Children's Discovery Museum, Breckenridge.

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(q) A recipient of a grant under this subdivision must use the funds to encourage and increase access for historically underserved communities.

(r) Up to three percent of the appropriation is available for grant administration.

(s) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 23. Nonexclusionary discipline. (a) For grants to school districts and charter schools to provide training for school staff on nonexclusionary disciplinary practices:

		$1,750,000	. . . . .	2026
		$1,750,000	. . . . .	2027

(b) Grants must be used to develop training and to work with schools to train staff on nonexclusionary disciplinary practices that maintain the respect, trust, and attention of students and help keep students in classrooms. These funds may also be used for grant administration.

(c) Eligible grantees include school districts, charter schools, Tribal charter schools, intermediate school districts, and cooperative units as defined in Minnesota Statutes, section 123A.24, subdivision 2.

(d) Up to five percent of the appropriation is available for grant administration.

(e) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 24. P-TECH schools. (a) For P-TECH implementation grants under Minnesota Statutes, section 124D.093, subdivision 5:

		$791,000	. . . . .	2026
		$791,000	. . . . .	2027

(b) The amount in paragraph (a) is for a grant to a public-private partnership that includes Independent School District No. 535, Rochester.

(c) Notwithstanding Minnesota Statutes, section 16B.98, subdivision 14, the department may retain money from this appropriation for administrative costs under Minnesota Statutes, section 124D.093, subdivision 5.

(d) This appropriation is available until June 30, 2029.

(e) The department may award start-up and mentoring and technical assistance grants beginning in fiscal year 2026. Of the amount in fiscal year 2026, at least $500,000 is for a support grant to a public-private partnership that includes Independent School District No. 535, Rochester. Of the amount in fiscal year 2027, at least $250,000 is for a support grant to a public-private partnership that includes Independent School District No. 535, Rochester.

Subd. 25. Paraprofessional training. (a) For compensation associated with paid orientation and professional development for paraprofessionals under Minnesota Statutes, section 121A.642:

		$4,721,000	. . . . .	2026
		$5,000,000	. . . . .	2027

(b) The 2026 appropriation includes $221,000 for 2025 and $4,500,000 for 2026.

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Subd. 26. Recovery program grants. (a) For recovery program grants under Minnesota Statutes, section 124D.695:

		$750,000	. . . . .	2026
		$750,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 27. Sanneh Foundation. (a) For grants to the Sanneh Foundation:

		$1,500,000	. . . . .	2026
		$750,000	. . . . .	2027

(b) Up to three percent of the appropriation is available for grant administration.

(d) This is a onetime appropriation.

Subd. 28. ServeMinnesota program. (a) For funding ServeMinnesota programs under Minnesota Statutes, sections 124D.37 to 124D.45:

		$900,000	. . . . .	2026
		$900,000	. . . . .	2027

(b) A grantee organization may provide health and child care coverage to the dependents of each participant enrolled in a full-time ServeMinnesota program to the extent such coverage is not otherwise available.

Subd. 29. Starbase MN. (a) For a grant to Starbase MN for a rigorous science, technology, engineering, and math program providing students in grades 4 through 6 with a multisensory learning experience and a hands-on curriculum in an aerospace environment using state-of-the-art technology:

		$500,000	. . . . .	2026
		$500,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 30. Statewide testing and reporting system. (a) For the statewide testing and reporting system under Minnesota Statutes, sections 120B.302 and 120B.305:

		$10,892,000	. . . . .	2026
		$10,892,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

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Subd. 31. Student organizations. (a) For student organizations:

		$1,084,000	. . . . .	2026
		$1,084,000	. . . . .	2027

(b) $68,000 each year is for student organizations serving health occupations (HOSA).

(c) $100,000 each year is for student organizations serving trade and industry occupations (Skills USA, secondary and postsecondary).

(d) $122,000 each year is for student organizations serving business occupations (BPA, secondary and postsecondary).

(e) $322,000 each year is for student organizations serving agriculture occupations (FFA, PAS).

(f) $185,000 each year is for student organizations serving family and consumer science occupations (FCCLA). Notwithstanding Minnesota Rules, part 3505.1000, subparts 28 and 31, the student organizations serving FCCLA shall continue to serve students younger than grade 9.

(g) $202,000 each year is for student organizations serving marketing occupations (DECA and DECA collegiate).

(h) $85,000 each year is for the Minnesota Foundation for Student Organizations. Of this amount, $30,000 each year must be used for direct support of underserved and special student populations.

(i) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

ARTICLE 3

TEACHERS

Section 1. Minnesota Statutes 2024, section 124D.901, is amended to read:

124D.901 STUDENT SUPPORT PERSONNEL AID.

Subdivision 1. Definitions. For the purposes of this section, the following terms have the meanings given:

(1) "new position" means a student support services personnel full-time or part-time position not under contract by a school district, charter school, or cooperative unit at the start of the 2022-2023 school year;

(2) "part-time position" means a student support services personnel position less than 1.0 full-time equivalent at the start of the 2022-2023 school year; and

~~(3) "American Rescue Plan Act" means the federal American Rescue Plan Act of 2021, Public Law 117-2, that awarded funds; and~~

~~(4)~~ (3) "student support services personnel" means an individual licensed to serve as a school counselor, school psychologist, school social worker, school nurse, or chemical dependency counselor in Minnesota.

Subd. 2. Purpose. The purpose of student support personnel aid is to:

(1) address shortages of student support services personnel within Minnesota schools;

(2) decrease caseloads for existing student support services personnel to ensure effective services;

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(3) ensure that students receive effective student support services and integrated and comprehensive services to improve prekindergarten through grade 12 academic, physical, social, and emotional outcomes supporting career and college readiness and effective school mental health services;

~~(4) ensure that student support services personnel serve within the scope and practice of their training and licensure;~~

~~(5)~~ (4) fully integrate learning supports, instruction, assessment, data-based decision making, and family and community engagement within a comprehensive approach that facilitates interdisciplinary collaboration; and

~~(6)~~ (5) improve student health, school safety, and school climate to support academic success and career and college readiness.

Subd. 3. Student support personnel aid. (a) The initial student support personnel aid for a school district equals the greater of the student support personnel allowance times the adjusted pupil units at the district for the current fiscal year or $40,000. The initial student support personnel aid for a charter school equals the greater of the student support personnel allowance times the adjusted pupil units at the charter school for the current fiscal year or $20,000. Aid under this paragraph must be reserved in a fund balance that, beginning in fiscal year 2025, may not exceed the greater of the aid entitlement in the prior fiscal year or the fund balance in the prior fiscal year.

(b) The cooperative student support personnel aid for a school district that is a member of an intermediate school district or other cooperative unit that serves students equals the greater of the cooperative student support allowance times the adjusted pupil units at the district for the current fiscal year or $40,000. If a district is a member of more than one cooperative unit that serves students, the revenue must be allocated among the cooperative units. Aid under this paragraph must not exceed actual expenditures.

(c) The student support personnel allowance equals ~~$11.94 for fiscal year 2024,~~ $17.08 for fiscal year 2025, ~~and $48.73~~ $40 for fiscal ~~year~~ years 2026 and 2027, and $42 for fiscal year 2028 and later.

(d) The cooperative student support allowance equals ~~$0.60 for fiscal year 2024,~~ $0.85 for fiscal year 2025, and $2.44 for fiscal year 2026 and later.

Subd. 4. Allowed uses. (a) Aid under this section must be used to ~~hire~~ enhance student support services, including but not limited to:

(1) increasing new ~~positions for~~ student support services personnel ~~or increase~~ positions;

(2) increasing a current student support services personnel position that is less than 1.0 full-time equivalent to a greater number of service hours ~~or make~~; or

(3) making permanent a student support services personnel position hired using onetime resources awarded through the federal Coronavirus Aid Relief and Economic Security Act, the federal Consolidated Appropriations Act, the federal Division M-Coronavirus Response and Relief Supplemental Appropriations Act, or the federal American Rescue Plan Act, or to maintain a position that would otherwise be eliminated.

(b) Cooperative student support personnel aid must be transferred to the intermediate district or other cooperative unit of which the district is a member and used to hire new positions for student support services personnel or increase a current position that is less than 1.0 full-time equivalent to a greater number of service hours or make permanent a position hired using onetime resources awarded through the American Rescue Plan Act at the intermediate district or cooperative unit.

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(c) If a school district, charter school, or cooperative unit does not receive at least two applications and is not able to hire a new full-time equivalent position with student support personnel aid or use the aid as otherwise provided under subdivision 4a, the aid may be used for contracted services from individuals licensed to serve as a school counselor, school psychologist, school social worker, school nurse, or chemical dependency counselor in Minnesota.

(d) In addition to the personnel uses authorized under paragraphs (a) and (c) and subdivision 4a, a district, charter school, or cooperative unit may use up to $5,000 of student support personnel aid each year for the following purposes:

(1) to cover the costs of providing training or job-embedded coaching; or

(2) to cover the costs of student support personnel travel among school sites operated by a single district, charter school, or cooperative unit, or among school sites operated by a cooperative unit's member districts or a group of charter schools.

Subd. 4a. Additional uses for a school with declining enrollment upon board approval. (a) If a school district, charter school, or cooperative unit has declining enrollment revenue in fiscal year 2025 or a later fiscal year, and is unable to use student support personnel aid in accordance with subdivision 4, the district, charter school, or cooperative unit may use student support personnel aid to maintain a student support services personnel position if the position would otherwise be eliminated due to budgetary concerns.

(b) For purposes of this subdivision, a school district, charter school, or cooperative unit has declining enrollment for that fiscal year if the school district, charter school, or cooperative unit reports fewer students on its previous year's fall enrollment report than for the second previous year's fall enrollment report.

(c) Before a school board may exercise its authority under this subdivision, the school board must allow for public testimony on the proposal at a regularly scheduled school board meeting before approving a resolution approving the usage of the student support personnel aid for this purpose.

Subd. 5. Report required. By February 1 following any fiscal year in which student support personnel aid was received, a school district, charter school, or cooperative unit must submit a written report to the commissioner indicating how the new position affected two or more of the following measures:

(1) school climate;

(2) student health;

(3) attendance rates;

(4) academic achievement;

(5) career and college readiness; and

(6) postsecondary completion rates.

EFFECTIVE DATE. This section is effective July 1, 2025.

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Sec. 2. APPROPRIATIONS; DEPARTMENT OF EDUCATION.

Subdivision 1. Department of Education. The sums indicated in this section are appropriated from the general fund to the Department of Education for the fiscal years designated.

Subd. 2. Agricultural educator grants. (a) For agricultural educator grants under Laws 2017, First Special Session chapter 5, article 2, section 51:

		$250,000	. . . . .	2026
		$250,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 3. Alternative teacher compensation aid. (a) For alternative teacher compensation aid under Minnesota Statutes, section 122A.415, subdivision 4:

		$88,717,000	. . . . .	2026
		$87,942,000	. . . . .	2027

(b) The 2026 appropriation includes $8,814,000 for fiscal year 2025 and $79,903,000 for fiscal year 2026.

Subd. 4. Black Men Teach Twin Cities. (a) For a grant to Black Men Teach Twin Cities for the purposes listed in paragraph (c):

		$500,000	. . . ..	2026
		$500,000	. . . . .	2027

(b) Black Men Teach Twin Cities must use the grant to establish partnerships with public elementary schools with a goal of increasing the number of black male teachers to 20 percent of the teachers at each school site. To the extent possible, Black Men Teach Twin Cities must include sites in greater Minnesota, suburban areas, and urban settings.

(1) scholarships for aspiring teachers;

(2) student teacher stipends;

(3) mentoring activities;

(4) professional development, with an emphasis on early literacy training, including best practices associated with the science of reading; and

(5) stipends for housing to allow a teacher to live closer to the teacher's school.

(d) Black Men Teach Twin Cities must provide a detailed report to the chairs and ranking minority members of the legislative committees with jurisdiction over kindergarten through grade 12 education and higher education by January 15 of each year following the year of a grant award describing how the grant money was used. The report

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must describe the progress made toward the goal of increasing the number of Black male teachers at each school site, identify the strategies used to recruit Black teachers, and describe barriers Black men face in the teaching profession. The report must be filed in accordance with Minnesota Statutes, section 3.195.

(e) Up to three percent of the appropriation is available for grant administration.

(f) This is a onetime appropriation.

(g) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 5. Coalition to Increase Teachers of Color and American Indian Teachers. (a) For the Board of Directors of the Minnesota Humanities Center for a grant to the Coalition to Increase Teachers of Color and American Indian Teachers in Minnesota for nonlobbying activities and general operating expenses that support the recruitment and retention of racially and ethnically diverse teachers underrepresented in the state's workforce:

		$100,000	. . . . .	2026
		$100,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 6. Come Teach in Minnesota hiring bonuses. (a) For the Come Teach in Minnesota hiring bonuses program under Minnesota Statutes, section 122A.59:

		$400,000	. . . . .	2026
		$400,000	. . . . .	2027

(b) This appropriation is subject to the requirements under Minnesota Statutes, section 122A.59, subdivision 5.

Subd. 7. Concurrent enrollment teacher training program. (a) For the concurrent enrollment teacher partnership under Minnesota Statutes, section 122A.76:

		$375,000	. . . . .	2026
		$375,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 8. Expanded concurrent enrollment grants. (a) For grants to institutions offering "Introduction to Teaching" or "Introduction to Education" courses under Minnesota Statutes, section 124D.09, subdivision 10, paragraph (b):

		$500,000	. . . . .	2026
		$500,000	. . . . .	2027

(b) Up to five percent of the grant amount is available for grant administration and monitoring.

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Subd. 9. Grow Your Own pathways to teacher licensure grants. (a) For grants to develop, continue, or expand Grow Your Own new teacher programs under Minnesota Statutes, section 122A.73, to develop a teaching workforce that more closely reflects the state's increasingly diverse student population and ensure all students have equitable access to effective and diverse teachers:

		$31,954,000	. . . . .	2026
		$31,954,000	. . . . .	2027

(b) This appropriation is subject to the requirements under Minnesota Statutes, section 122A.73, subdivision 5.

Subd. 10. Special education apprenticeship programs. (a) For grants to intermediate school districts for registered special education apprenticeship programs:

		$3,000,000	. . . . .	2026
		$3,000,000	. . . . .	2027

(b) In each year, the department must award grants of $740,000 each to Intermediate School Districts Nos. 287, 288, 916, and 917. Grant recipients must use grant money for registered special education apprenticeship programs. Grant money may be used for:

(1) program oversight and administrative costs incurred by an intermediate school district and its partner higher education institution;

(2) stipends and tuition, fees, and other direct program costs incurred by apprentices;

(3) stipends for teachers serving as mentors; and

(4) the cost of substitute teachers.

(c) Notwithstanding Minnesota Statutes, section 16B.98, subdivision 14, up to $40,000 of the appropriation is available for grant administration.

(d) This is a onetime appropriation.

(e) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 11. Special education teacher pathway program. (a) For grants to develop special education teacher pathways across Minnesota under Minnesota Statutes, section 122A.77:

		$0	. . . . .	2026
		$10,000,000	. . . . .	2027

(b) This appropriation is subject to the requirements under Minnesota Statutes, section 122A.77, subdivision 5.

(d) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

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Subd. 12. Student support personnel aid. (a) For aid to support schools in addressing students' social, emotional, and physical health under Minnesota Statutes, section 124D.901:

		$52,100,000	. . . . .	2026
		$53,670,000	. . . . .	2027

(b) The 2026 appropriation includes $3,655,000 for fiscal year 2025 and $48,445,000 for fiscal year 2026.

Subd. 13. Student support personnel workforce pathway. (a) For a grant program to develop a student support personnel workforce pathway focused on increasing school psychologists, school nurses, school counselors, and school social workers of color and Indigenous providers, professional respecialization, recruitment, and retention:

		$5,000,000	. . . . .	2026
		$5,000,000	. . . . .	2027

(b) Of the amount in paragraph (a), $150,000 each year is for providing support to school nurses across the state.

(c) To the extent practicable, the pathway grants must be used to support equal numbers of students pursuing careers as school psychologists, school nurses, school counselors, and school social workers.

(d) For grants awarded to school psychologists under this subdivision, the following terms have the meanings given:

(1) "eligible designated trainee" means an individual enrolled in a National Association of School Psychologists approved or American Psychological Association accredited school psychology program granting educational specialist certificates or doctoral degrees in school psychology;

(2) "eligible employment" means a paid position within a school or local education agency directly related to a training program providing direct or indirect school psychology services. Direct services include assessment, intervention, prevention, or consultation services to students or their family members and educational staff. Indirect services include supervision, research and evaluation, administration, program development, technical assistance, or professional learning to support direct services; and

(3) "practica" means an educational experience administered and evaluated by a graduate training program, with university and site supervision provided by appropriately credentialed school psychologists, to develop trainees' competencies to provide school psychological services based on the graduate training program's goals and competencies relative to accreditation and licensure requirements.

(e) Grants awarded to school psychologists must be used for:

(1) providing paid, supervised, and educationally meaningful practica in a public school setting for an eligible designated trainee enrolled in a qualifying program within the grantee's institution;

(2) supporting student recruitment and retention to enroll and hire an eligible designated trainee for paid practica in public school settings; and

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(3) oversight of trainee practica and professional development by a qualifying program to ensure the qualifications and conduct by an eligible designated trainee meet requirements set forth by the state and accrediting agencies.

(f) Upon successful completion of the graduate training program, grants awarded to school psychologists must maintain eligible employment within Minnesota for a minimum period of one-year full-time equivalent for each academic year of paid training under the grant program.

(g) Up to $150,000 of the appropriation is available for grant administration.

(h) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 14. Teacher residency program. (a) For a teacher residency program that meets the requirements of Minnesota Rules, part 8705.2100, subpart 2, item D, subitem (5), unit (g):

		$3,000,000	. . . . .	2026
		$3,000,000	. . . . .	2027

(b) Up to three percent of the appropriation is available for grant administration.

Sec. 3. APPROPRIATIONS; PROFESSIONAL EDUCATOR LICENSING AND STANDARDS BOARD.

Subdivision 1. Professional Educator Licensing and Standards Board. The sums indicated in this section are appropriated from the general fund to the Professional Educator Licensing and Standards Board for the fiscal years designated.

Subd. 2. Alternative pathways support position. (a) To fund a position at the Professional Educator Licensing and Standards Board to support candidates through alternative pathway programs, including the licensure via portfolio process, and to support districts, charter schools, and educational cooperatives to become alternative preparation providers:

		$150,000	. . . . .	2026
		$150,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 3. Educator tuition assistance program. (a) For the educator tuition assistance program under Minnesota Statutes, section 122A.635:

		$5,440,000	. . . . .	2026
		$5,440,000	. . . . .	2027

(b) The board may retain up to $100,000 of the appropriation to monitor and administer the grant program.

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Subd. 4. Heritage language and culture teachers. (a) To support an additional licensure pathway program for heritage language and culture teachers under Minnesota Statutes, section 122A.631, including funding for a portfolio liaison and funding for substitute teachers on meeting days, portfolio fees, licensure fees, and licensure exam fees for 50 program participants:

		$208,000	. . . . .	2026
		$208,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 5. Licensure via portfolio online platform. (a) To complete the licensure via portfolio online platform to streamline the portfolio submission and review process:

		$150,000	. . . . .	2026
		$150,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 6. Mentoring, induction, and retention incentive program grants for teachers of color. (a) To develop and expand mentoring, induction, and retention programs designed for teachers of color or American Indian teachers under Minnesota Statutes, section 122A.70:

		$4,500,000	. . . . .	2026
		$4,500,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

(c) Of the amounts in paragraph (a), at least $3,500,000 each fiscal year is for grants to develop and expand mentoring, induction, and retention programs designed for teachers of color or American Indian teachers.

(d) The board may retain up to three percent of the appropriation amount to monitor and administer the grant program.

Subd. 7. Pathway preparation grants. (a) For grants to support teachers holding a Tier 1 or Tier 2 license who are seeking a Tier 3 or Tier 4 license:

		$400,000	. . . . .	2026
		$400,000	. . . . .	2027

(b) The following are eligible for grants under this subdivision:

(1) school districts;

(2) charter schools;

(3) service cooperatives; and

(4) partnerships between one or more teacher preparation providers, school districts, or charter schools.

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(c) Grant funds must be used to support teachers holding a Tier 1 or Tier 2 license and seeking a Tier 3 or Tier 4 license through completion of a teacher preparation program or the licensure via portfolio process. A grant recipient must provide teachers holding a Tier 1 or Tier 2 license with professional development, mentorship, and coursework aligned to state standards for teacher licensure.

(d) The Professional Educator Licensing and Standards Board may collaborate with the Department of Education and the Office of Higher Education to administer the grant program.

(e) The board may retain up to three percent of the appropriation amount to monitor and administer the grant.

(f) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 8. Teacher recruitment marketing campaign. (a) To develop two contracts to develop and implement an outreach and marketing campaign under this subdivision:

		$500,000	. . . . .	2026
		$500,000	. . . . .	2027

(b) The Professional Educator Licensing and Standards Board must issue a request for proposals to develop and implement an outreach and marketing campaign to elevate the profession and recruit teachers, especially teachers of color and American Indian teachers. Outreach efforts may include and support current and former Teacher of the Year finalists interested in being recruitment fellows to encourage prospective educators throughout the state. The board may renew a grant contract with a prior recipient if it determines sufficient deliverables were achieved and the plans of the firm or organization are more promising than proposals from other entities.

(c) The outreach and marketing campaign must focus on increasing interest in teaching in Minnesota public schools for the following individuals:

(1) high school and college students of color or American Indian students who have not chosen a career path; or

(2) adults from racial or ethnic groups underrepresented in the teacher workforce who may be seeking to change careers.

(d) The board must award two $250,000 grants each year to firms or organizations that demonstrate capacity to reach wide and varied audiences of prospective teachers based on a work plan with quarterly deliverables. Preferences may be given to firms or organizations that are led by people of color and that have people of color working on the campaign with a proven record of success. The grant recipients must recognize current pathways or programs to become a teacher and must partner with educators, schools, institutions, and racially diverse communities. The grant recipients are encouraged to provide in-kind contributions or seek funds from nonstate sources to supplement the grant award.

(e) The board may use no more than three percent of the appropriation amount to administer the program under this subdivision, and may have an interagency agreement with the Department of Education including transfer of funds to help administer the program.

(f) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Sec. 4. REVISOR INSTRUCTION.

(a) The revisor of statutes must change the term "pipeline" to "pathway" wherever it appears in Minnesota Statutes, section 122A.77.

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(b) The revisor of statutes must change the term "collaborative urban and greater Minnesota educators of color grant program" to "educator tuition assistance program" wherever it appears in Minnesota Statutes, section 122A.635.

ARTICLE 4

AMERICAN INDIAN EDUCATION

Section 1. Minnesota Statutes 2024, section 122A.63, subdivision 9, is amended to read:

Subd. 9. Eligible programming. (a) The grantee institutions may provide scholarships to eligible students progressing toward educational goals in a prekindergarten through grade 12 educational setting in any area of teacher licensure, including an associate's, bachelor's, master's, or doctoral degree in the following:

(1) any educational certification necessary for employment;

(2) early childhood family education or prekindergarten licensure;

(3) elementary and secondary education;

(4) school administration; or

(5) any educational program that provides services to American Indian students in prekindergarten through grade 12.

(b) Scholarships may be used to cover an eligible student's cost of attendance under section 136A.126, subdivision 3.

(c) For purposes of recruitment, the grantees or their contracted partner institutions must agree to work with their respective organizations to hire an American Indian work-study student or other American Indian staff to conduct initial information queries and to contact persons working in schools to provide programming regarding education professions to high school students who may be interested in education as a profession.

(d) At least 80 percent of the grants awarded under this section must be used for student scholarships. No more than 20 percent of the grants awarded under this section may be used for recruitment or administration of the student scholarships.

Sec. 2. APPROPRIATIONS.

Subdivision 1. Department of Education. The sums indicated in this section are appropriated from the general fund to the Department of Education for the fiscal years designated.

Subd. 2. American Indian education aid. (a) For American Indian education aid under Minnesota Statutes, section 124D.81, subdivision 2a:

		$20,646,000	. . . . .	2026
		$21,548,000	. . . . .	2027

(b) The 2026 appropriation includes $1,973,000 for 2025 and $18,673,000 for 2026.

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Subd. 3. Minnesota Indian teacher training program grants. (a) For joint grants to assist people who are American Indian to become teachers under Minnesota Statutes, section 122A.63:

		$600,000	. . . . .	2026
		$600,000	. . . . .	2027

(b) This appropriation is subject to the requirements under Minnesota Statutes, section 122A.63, subdivision 10.

Subd. 4. Native language revitalization grants to schools. (a) For grants to school districts, charter schools, and Tribal contract schools to offer language instruction in Dakota and Anishinaabe languages or another language indigenous to the United States or Canada:

		$7,500,000	. . . . .	2026
		$7,500,000	. . . . .	2027

(b) Grant amounts are to be determined based upon the number of schools within a district implementing language courses. Eligible expenses include costs for teachers, program supplies, and curricular resources.

(d) Up to $300,000 each year is for administrative and programmatic capacity at the Department of Education.

(e) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 5. Tribal contract school aid. (a) For Tribal contract school aid under Minnesota Statutes, section 124D.83:

		$2,313,000	. . . . .	2026
		$2,554,000	. . . . .	2027

(b) The 2026 appropriation includes $221,000 for 2025 and $2,092,000 for 2026.

Subd. 6. Early childhood programs at Tribal contract schools. (a) For early childhood family education programs at Tribal contract schools under Minnesota Statutes, section 124D.83, subdivision 4:

		$68,000	. . . . .	2026
		$68,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

ARTICLE 5

SPECIAL EDUCATION

Section 1. Minnesota Statutes 2024, section 123B.92, subdivision 1, is amended to read:

Subdivision 1. Definitions. For purposes of this section and section 125A.76, the terms defined in this subdivision have the meanings given to them.

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(a) "Actual expenditure per pupil transported in the regular and excess transportation categories" means the quotient obtained by dividing:

(1) the sum of:

(i) all expenditures for transportation in the regular category, as defined in paragraph (b), clause (1), and the excess category, as defined in paragraph (b), clause (2), plus

(ii) an amount equal to one year's depreciation on the district's school bus fleet and mobile units computed on a straight line basis at the rate of 15 percent per year for districts operating a program under section 124D.128 for grades 1 to 12 for all students in the district and 12-1/2 percent per year for other districts of the cost of the fleet, plus

(iii) an amount equal to one year's depreciation on the district's type III vehicles, as defined in section 169.011, subdivision 71, which must be used a majority of the time for pupil transportation purposes, computed on a straight line basis at the rate of 20 percent per year of the cost of the type three school buses by:

(2) the number of pupils eligible for transportation in the regular category, as defined in paragraph (b), clause (1), and the excess category, as defined in paragraph (b), clause (2).

(b) "Transportation category" means a category of transportation service provided to pupils as follows:

(1) "Regular transportation" is:

(i) transportation to and from school during the regular school year for resident elementary pupils residing one mile or more from the public or nonpublic school they attend, and resident secondary pupils residing two miles or more from the public or nonpublic school they attend, excluding desegregation transportation and noon kindergarten transportation; but with respect to transportation of pupils to and from nonpublic schools, only to the extent permitted by sections 123B.84 to 123B.87;

(ii) transportation of resident pupils to and from language immersion programs;

(iii) transportation of a pupil who is a custodial parent and that pupil's child between the pupil's home and the child care provider and between the provider and the school, if the home and provider are within the attendance area of the school;

(iv) transportation to and from or board and lodging in another district, of resident pupils of a district without a secondary school;

(v) transportation to and from school during the regular school year required under subdivision 3 for nonresident elementary pupils when the distance from the attendance area border to the public school is one mile or more, and for nonresident secondary pupils when the distance from the attendance area border to the public school is two miles or more, excluding desegregation transportation and noon kindergarten transportation; and

(vi) transportation of pregnant or parenting pupils to and from a program that was established on or before January 1, 2018, or that is in operation on or after July 1, 2021, that provides:

(A) academic instruction;

(B) at least four hours per week of parenting instruction; and

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For the purposes of this paragraph, a district may designate a licensed day care facility, school day care facility, respite care facility, the residence of a relative, or the residence of a person or other location chosen by the pupil's parent or guardian, or an after-school program for children operated by a political subdivision of the state, as the home of a pupil for part or all of the day, if requested by the pupil's parent or guardian, and if that facility, residence, or program is within the attendance area of the school the pupil attends.

(2) "Excess transportation" is:

(i) transportation to and from school during the regular school year for resident secondary pupils residing at least one mile but less than two miles from the public or nonpublic school they attend, and transportation to and from school for resident pupils residing less than one mile from school who are transported because of full-service school zones, extraordinary traffic, drug, or crime hazards; and

(ii) transportation to and from school during the regular school year required under subdivision 3 for nonresident secondary pupils when the distance from the attendance area border to the school is at least one mile but less than two miles from the public school they attend, and for nonresident pupils when the distance from the attendance area border to the school is less than one mile from the school and who are transported because of full-service school zones, extraordinary traffic, drug, or crime hazards.

(3) "Desegregation transportation" is transportation within and outside of the district during the regular school year of pupils to and from schools located outside their normal attendance areas under a plan for desegregation mandated by the commissioner or under court order.

(4) "Transportation services for pupils with disabilities" is:

(i) transportation of pupils with disabilities who cannot be transported on a regular school bus between home or a respite care facility and school;

(ii) necessary transportation of pupils with disabilities from home or from school to other buildings, including centers such as developmental achievement centers, hospitals, and treatment centers where special instruction or services required by sections 125A.03 to 125A.24, 125A.26 to 125A.48, and 125A.65 are provided, within or outside the district where services are provided;

(iii) necessary transportation for resident pupils with disabilities required by sections 125A.12, and 125A.26 to 125A.48;

(iv) board and lodging for pupils with disabilities in a district maintaining special classes;

(v) transportation from one educational facility to another within the district for resident pupils enrolled on a shared-time basis in educational programs, and necessary transportation required by sections 125A.18, and 125A.26 to 125A.48, for resident pupils with disabilities who are provided special instruction and services on a shared-time basis or if resident pupils are not transported, the costs of necessary travel between public and private schools or neutral instructional sites by essential personnel employed by the district's program for children with a disability;

(vi) transportation for resident pupils with disabilities to and from board and lodging facilities when the pupil is boarded and lodged for educational purposes;

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(vii) transportation of pupils for a curricular field trip activity on a school bus equipped with a power lift when the power lift is required by a student's disability or section 504 plan; ~~and~~

(viii) services described in items (i) to (vii), when provided for pupils with disabilities in conjunction with a summer instructional program that relates to the pupil's individualized education program or in conjunction with a learning year program established under section 124D.128; and

(ix) the amounts described in paragraph (d).

For purposes of computing special education initial aid under section 125A.76, the cost of providing transportation for children with disabilities includes (A) the additional cost of transporting a student in a shelter care facility as defined in section 260C.007, subdivision 30, a student placed in a family foster home as defined in section 260C.007, subdivision 16b, a homeless student in another district to the school of origin, or a formerly homeless student from a permanent home in another district to the school of origin but only through the end of the academic year; and (B) depreciation on district-owned school buses purchased after July 1, 2005, and used primarily for transportation of pupils with disabilities, calculated according to paragraph (a), items (ii) and (iii). Depreciation costs included in the disabled transportation category must be excluded in calculating the actual expenditure per pupil transported in the regular and excess transportation categories according to paragraph (a). For purposes of subitem (A), a school district may transport a child who does not have a school of origin to the same school attended by that child's sibling, if the siblings are homeless or in a shelter care facility.

(5) "Nonpublic nonregular transportation" is:

(i) transportation from one educational facility to another within the district for resident pupils enrolled on a shared-time basis in educational programs, excluding transportation for nonpublic pupils with disabilities under clause (4);

(ii) transportation within district boundaries between a nonpublic school and a public school or a neutral site for nonpublic school pupils who are provided pupil support services pursuant to section 123B.44; and

(iii) late transportation home from school or between schools within a district for nonpublic school pupils involved in after-school activities.

(c) "Mobile unit" means a vehicle or trailer designed to provide facilities for educational programs and services, including diagnostic testing, guidance and counseling services, and health services. A mobile unit located off nonpublic school premises is a neutral site as defined in section 123B.41, subdivision 13.

(d) For purposes of computing special education initial aid under section 125A.76, the cost of providing transportation for children with disabilities includes:

(1) the additional cost of transporting:

(i) a student in a shelter care facility as defined in section 260C.007, subdivision 30;

(ii) a student placed in a family foster home as defined in section 260C.007, subdivision 16b;

(iii) a homeless student in another district to the school of origin; or

(iv) a formerly homeless student from a permanent home in another district to the school of origin but only through the end of the academic year; and

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(2) depreciation on district-owned school buses purchased after July 1, 2005, and used primarily for transportation of pupils with disabilities, calculated according to paragraph (a), clause (1), items (ii) and (iii). Depreciation costs included in the disabled transportation category must be excluded in calculating the actual expenditure per pupil transported in the regular and excess transportation categories according to paragraph (a).

For purposes of clause (1), a school district may transport a child who does not have a school of origin to the same school attended by that child's sibling, if the siblings are homeless or in a shelter care facility.

EFFECTIVE DATE. This section is effective for fiscal year 2026 and later.

Sec. 2. Minnesota Statutes 2024, section 125A.76, subdivision 2a, is amended to read:

Subd. 2a. Special education initial aid. For fiscal year 2021 and later, a district's special education initial aid equals the sum of:

(1) the least of 62 percent of the district's old formula special education expenditures for the prior fiscal year, excluding pupil transportation expenditures, 50 percent of the district's nonfederal special education expenditures for the prior year, excluding pupil transportation expenditures, or 56 percent of the product of the sum of the following amounts, computed using prior fiscal year data, and the program growth factor:

(i) the product of the district's average daily membership served and the sum of:

(A) $460; plus

(B) $405 times the ratio of the sum of the number of pupils enrolled on October 1 who are eligible to receive free meals plus one-half of the pupils enrolled on October 1 who are eligible to receive reduced-price meals to the total October 1 enrollment; plus

(ii) $13,300 times the December 1 child count for the primary disability areas of autism spectrum disorders, developmental delay, and severely multiply impaired; plus

(iii) $19,200 times the December 1 child count for the primary disability areas of deaf and hard-of-hearing and emotional or behavioral disorders; plus

(iv) $25,200 times the December 1 child count for the primary disability areas of developmentally cognitive mild-moderate, developmentally cognitive severe-profound, physically impaired, visually impaired, and deafblind; ~~plus~~

(2) the cost of providing transportation services for children with disabilities under section 123B.92, subdivision 1, paragraph (b), clause (4), items (i) to (viii), reimbursed at 95 percent for fiscal year 2026 and later; and

(3) the cost of providing transportation services for children with disabilities under section 123B.92, subdivision 1, paragraph (b), clause (4), item (ix), reimbursed at 100 percent for fiscal year 2026 and later.

EFFECTIVE DATE. This section is effective for revenue for fiscal year 2026 and later.

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Sec. 3. APPROPRIATIONS.

Subdivision 1. Department of Education. The sums indicated in this section are appropriated from the general fund to the Department of Education for the fiscal years designated.

Subd. 2. Aid for children with disabilities. (a) For aid under Minnesota Statutes, section 125A.75, subdivision 3, for children with disabilities placed in residential facilities within district boundaries for whom no district of residence can be determined:

		$2,240,000	. . . . .	2026
		$2,570,000	. . . . .	2027

(b) If the appropriation for either year is insufficient, the appropriation for the other year is available.

Subd. 3. Court-placed special education revenue. For reimbursing serving school districts for unreimbursed eligible expenditures attributable to children placed in the serving school district by court action under Minnesota Statutes, section 125A.79, subdivision 4:

		$41,000	. . . . .	2026
		$42,000	. . . . .	2027

Subd. 4. Special education; regular. (a) For special education aid under Minnesota Statutes, section 125A.76:

		$2,774,809,000	. . . . .	2026
		$3,010,570,000	. . . . .	2027

(b) The 2026 appropriation includes $322,670,000 for 2025 and $2,452,139,000 for 2026.

Subd. 5. Special education out-of-state tuition. For special education out-of-state tuition under Minnesota Statutes, section 125A.79, subdivision 8:

		$250,000	. . . . .	2026
		$250,000	. . . . .	2027

Subd. 6. Special education separate sites and programs. (a) For aid for special education separate sites and programs under Minnesota Statutes, section 125A.81, subdivision 4:

		$4,470,000	. . . . .	2026
		$4,695,000	. . . . .	2027

(b) The 2026 appropriation includes $427,000 for 2025 and $4,043,000 for 2026.

Subd. 7. Travel for home-based services. (a) For aid for teacher travel for home-based services under Minnesota Statutes, section 125A.75, subdivision 1:

		$488,000	. . . . .	2026
		$538,000	. . . . .	2027

(b) The 2026 appropriation includes $44,000 for 2025 and $444,000 for 2026.

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ARTICLE 6

FACILITIES

Section 1. Minnesota Statutes 2024, section 123B.595, subdivision 1, is amended to read:

Subdivision 1. Long-term facilities maintenance revenue. (a) Long-term facilities maintenance revenue equals the greater of (1) the sum of (i) $380 times the district's adjusted pupil units times the lesser of one or the ratio of the district's average building age to 35 years, plus (ii) the cost approved by the commissioner for indoor air quality, fire alarm and suppression, and asbestos abatement projects under section 123B.57, subdivision 6, with an estimated cost of $100,000 or more per site and, beginning in fiscal year 2028, roof repair and replacement with an estimated cost of $100,000 or more per site, plus (iii) for a school district with an approved voluntary prekindergarten program under section 142D.08, the cost approved by the commissioner for remodeling existing instructional space to accommodate prekindergarten instruction, or (2) the sum of (i) the amount the district would have qualified for under Minnesota Statutes 2014, section 123B.57, Minnesota Statutes 2014, section 123B.59, and Minnesota Statutes 2014, section 123B.591, and (ii) for a school district with an approved voluntary prekindergarten program under section 142D.08, the cost approved by the commissioner for remodeling existing instructional space to accommodate prekindergarten instruction.

(b) Notwithstanding paragraph (a), a school district that qualified for eligibility under Minnesota Statutes 2014, section 123B.59, subdivision 1, paragraph (a), for fiscal year 2010 remains eligible for funding under this section as a district that would have qualified for eligibility under Minnesota Statutes 2014, section 123B.59, subdivision 1, paragraph (a), for fiscal year 2017 and later.

Sec. 2. Minnesota Statutes 2024, section 123B.595, subdivision 4, is amended to read:

Subd. 4. Facilities plans. (a) To qualify for revenue under this section, a school district or intermediate district, not including a charter school, must have a ten-year facility plan adopted by the school board and approved by the commissioner. The plan must include provisions for implementing a health and safety program that complies with health, safety, and environmental regulations and best practices, including indoor air quality management and remediation of lead hazards. For fiscal year 2028 and later, the plan must address the maintenance and repair schedule for each school's roof for which funding is requested. For planning purposes, the plan must also address provisions for providing a gender-neutral single-user restroom at each school site.

(b) The district must annually update the plan, submit the plan to the commissioner for approval by July 31, and indicate whether the district will issue bonds to finance the plan or levy for the costs.

(c) For school districts issuing bonds to finance the plan, the plan must include a debt service schedule demonstrating that the debt service revenue required to pay the principal and interest on the bonds each year will not exceed the projected long-term facilities revenue for that year.

Sec. 3. Minnesota Statutes 2024, section 123B.595, subdivision 8, is amended to read:

Subd. 8. Long-term facilities maintenance equalized levy. (a) A district's long-term facilities maintenance equalized levy equals the district's long-term facilities maintenance equalization revenue minus the greater of:

(1) the lesser of the district's long-term facilities maintenance equalization revenue or the amount of aid the district received for fiscal year 2015 under Minnesota Statutes 2014, section 123B.59, subdivision 6; or

(2) the district's long-term facilities maintenance equalization revenue times the greater of (i) zero, or (ii) one minus the ratio of its adjusted net tax capacity per adjusted pupil unit in the year preceding the year the levy is certified to ~~123 percent of~~ the product of the equalizing factor and the state average adjusted net tax capacity per adjusted pupil unit for all school districts in the year preceding the year the levy is certified. The equalizing factor equals 123 percent for fiscal years 2026 and 2027, and 127 percent for fiscal year 2028 and later.

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(b) For purposes of this subdivision, "adjusted net tax capacity" means the value described in section 126C.01, subdivision 2, paragraph (b).

Sec. 4. Minnesota Statutes 2024, section 123B.595, subdivision 10, is amended to read:

Subd. 10. Allowed uses for long-term facilities maintenance revenue. (a) A district may use revenue under this section for any of the following:

(1) deferred capital expenditures and maintenance projects necessary to prevent further erosion of facilities and, beginning in fiscal year 2028, repair and replacement of roofs;

(2) increasing accessibility of school facilities;

(3) health and safety capital projects under section 123B.57;

(4) remodeling or constructing a gender-neutral single-user restroom at each school site; or

(5) by board resolution, to transfer money from the general fund reserve for long-term facilities maintenance to the debt redemption fund to pay the amounts needed to meet, when due, principal and interest on general obligation bonds issued under subdivision 5.

(b) A charter school may use revenue under this section for any purpose related to the school.

Sec. 5. Minnesota Statutes 2024, section 123B.71, subdivision 8, is amended to read:

Subd. 8. Review and comment. A school district, a special education cooperative, or a cooperative unit of government, as defined in section 123A.24, subdivision 2, must not enter into an installment contract for purchase or a lease agreement, hold a referendum for bonds, nor solicit bids for new construction, expansion, or remodeling of an educational facility that requires an expenditure in excess of $500,000 per school site if it has a capital loan outstanding, or $2,000,000 per school site if it does not have a capital loan outstanding, prior to review and comment by the commissioner. New construction, expansion, or remodeling of an educational facility funded only with general education revenue, ~~lease levy proceeds from an additional capital expenditure levy under section 126C.40, subdivision 1,~~ capital facilities bond proceeds, or long-term facilities maintenance revenue is exempt from this provision. A capital project under section 123B.63 addressing only technology is exempt from this provision if the district submits a school board resolution stating that funds approved by the voters will be used only as authorized in section 126C.10, subdivision 14. A school board shall not separate portions of a single project into components to avoid the requirements of this subdivision.

EFFECTIVE DATE. This section is effective for taxes payable in 2026 and later.

Sec. 6. Minnesota Statutes 2024, section 126C.40, subdivision 1, is amended to read:

Subdivision 1. To lease building or land. (a) When an independent or a special school district or a group of independent or special school districts finds it economically advantageous to rent or lease a building or land for any instructional purposes or for school storage or furniture repair, ~~and it determines that the operating capital revenue authorized under section 126C.10, subdivision 13, is insufficient for this purpose,~~ it may apply to the commissioner for permission to make an additional capital expenditure levy for this purpose. An application for permission to levy under this subdivision must contain ~~financial justification for the proposed levy,~~ the terms and conditions of the proposed lease, and a description of the space to be leased and its proposed use. Projects funded under this subdivision that require an expenditure in excess of $500,000 per school site if the school district has a capital loan outstanding, or $2,000,000 per school site if the school district does not have a capital loan outstanding, are subject to review and comment under section 123B.71, subdivision 8, in the form and manner prescribed by the commissioner.

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(b) The criteria for approval of applications to levy under this subdivision must be annually prescribed by the commissioner, and must include but are not limited to: the reasonableness of the price, the appropriateness of the space to the proposed activity, the feasibility of transporting pupils to the leased building or land, conformity of the lease to the laws and rules of the state of Minnesota, ~~and~~ the appropriateness of the proposed lease to the space needs ~~and~~ of the district, the financial condition of the district, and a review of the statutory operating debt percentage applicable to the district. The commissioner must not authorize a levy under this subdivision in an amount greater than the cost to the district of renting or leasing a building or land for approved purposes. The proceeds of this levy must not be used for ~~custodial or other maintenance services~~ operating costs. A district may not levy under this subdivision for the purpose of leasing or renting a district-owned building or site to itself.

(c) For agreements finalized after July 1, 1997, a district may not levy under this subdivision for the purpose of leasing: (1) a newly constructed building used primarily for regular kindergarten, elementary, or secondary instruction; or (2) a newly constructed building addition or additions used primarily for regular kindergarten, elementary, or secondary instruction that contains more than 20 percent of the square footage of the previously existing building.

(d) Notwithstanding paragraph (b), a district may levy under this subdivision for the purpose of leasing or renting a district-owned building or site to itself only if the amount is needed by the district to make payments required by a lease purchase agreement, installment purchase agreement, or other deferred payments agreement authorized by law, and the levy meets the requirements of paragraph (c). A levy authorized for a district by the commissioner under this paragraph may be in the amount needed by the district to make payments required by a lease purchase agreement, installment purchase agreement, or other deferred payments agreement authorized by law, provided that any agreement include a provision giving the school districts the right to terminate the agreement annually without penalty.

(e) The total levy under this subdivision for a district for any year must not exceed $212 times the adjusted pupil units for the fiscal year to which the levy is attributable.

(f) For agreements for which a review and comment under section 123B.71, subdivision 8, have been submitted to the Department of Education after April 1, 1998, the term "instructional purpose" as used in this subdivision excludes expenditures on stadiums.

(g) The commissioner of education may authorize a school district to exceed the limit in paragraph (e) if the school district petitions the commissioner for approval. The commissioner shall grant approval to a school district to exceed the limit in paragraph (e) for not more than five years if the district meets the following criteria:

(1) the school district has been experiencing pupil enrollment growth in the preceding five years;

(2) the purpose of the increased levy is in the long-term public interest;

(3) the purpose of the increased levy promotes colocation of government services; and

(4) the purpose of the increased levy is in the long-term interest of the district by avoiding over construction of school facilities.

(h) A school district that is a member of an intermediate school district or other cooperative unit under section 123A.24, subdivision 2, or a joint powers district under section 471.59 may include in its authority under this section the costs associated with leases of administrative and classroom space for programs of the intermediate school district or other cooperative unit under section 123A.24, subdivision 2, or joint powers district under section 471.59. This authority must not exceed $65 times the adjusted pupil units of the member districts. This authority is in addition to any other authority authorized under this section. The intermediate school district, other cooperative unit, or joint powers district may specify which member districts will levy for lease costs under this paragraph.

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(i) Notwithstanding paragraph (a), a district may levy under this subdivision for the purpose of leasing administrative space if the district can demonstrate to the satisfaction of the commissioner that the lease cost for the administrative space is no greater than the lease cost for instructional space that the district would otherwise lease. The commissioner must deny this levy authority unless the district passes a resolution stating its intent to lease instructional space under this section if the commissioner does not grant authority under this paragraph. The resolution must also certify that the lease cost for administrative space under this paragraph is no greater than the lease cost for the district's proposed instructional lease.

(j) Notwithstanding paragraph (a), a district may levy under this subdivision for the district's proportionate share of deferred maintenance expenditures for a district-owned building or site leased to a cooperative unit under section 123A.24, subdivision 2, or a joint powers district under section 471.59 for any instructional purposes or for school storage.

EFFECTIVE DATE. This section is effective for taxes payable in 2026 and later.

Sec. 7. Minnesota Statutes 2024, section 126C.40, is amended by adding a subdivision to read:

Subd. 1a. Definitions. (a) For the purposes of this section, the following terms have the meanings given.

(b) "Capital lease" means an agreement to use, construct, or remodel a site that results in ownership of the site by the district.

(c) "Instructional purposes" means that the use of a building or land being leased leads to education-related outcomes identified in law or state program policy.

(d) "Joint powers lease" means a capital lease or operational lease under which two or more districts agree to contribute to the annual lease costs. Under a joint powers lease, the host district or joint powers district has the authority to allocate lease costs to member districts for leases approved by the commissioner.

(e) "Operating costs" means the costs of regular maintenance or custodial supplies and services.

(f) "Operational lease" means an agreement to use buildings or land that does not result in ownership of the property by the district.

EFFECTIVE DATE. This section is effective for taxes payable in 2026 and later.

Sec. 8. Minnesota Statutes 2024, section 126C.45, is amended to read:

126C.45 ICE ARENA LEVY.

(a) Each year, an independent school district operating and maintaining an ice arena, may levy for the net operational costs of the ice arena. The levy may not exceed the net actual costs of operation of the arena for the previous year. Net actual costs are defined as operating costs less any operating revenues.

(b) Two or more school districts may enter into a cooperation agreement to operate and maintain an ice arena. A district with a cooperation agreement must apportion the qualifying costs and annual levy amount among each cooperating district as specified in the cooperation agreement. Cooperating districts must report the apportionment of the costs and levy to the Department of Education in the form and manner specified by the commissioner.

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(b) (c) Any district operating and maintaining an ice arena must demonstrate to the satisfaction of the ~~Office of Monitoring in the~~ department that the district will offer equal sports opportunities for male and female students to use its ice arena, particularly in areas of access to prime practice time, team support, and providing junior varsity and younger level teams for girls' ice sports and ice sports offerings.

EFFECTIVE DATE. This section is effective for taxes payable in 2026 and later.

Sec. 9. APPROPRIATIONS.

Subdivision 1. Department of Education. The sums indicated in this section are appropriated from the general fund to the Department of Education for the fiscal years designated.

Subd. 2. Debt service equalization aid. (a) For debt service equalization aid under Minnesota Statutes, section 123B.53, subdivision 6:

		$16,218,000	. . . . .	2026
		$14,327,000	. . . . .	2027

(b) The 2026 appropriation includes $1,986,000 for 2025 and $14,232,000 for 2026.

Subd. 3. Equity in telecommunications access. (a) For equity in telecommunications access:

		$3,750,000	. . . . .	2026
		$3,750,000	. . . . .	2027

(b) If the appropriation amount is insufficient, the commissioner must reduce the reimbursement rate in Minnesota Statutes, section 125B.26, subdivisions 4 and 5, and the revenue for fiscal years 2026 and 2027 must be prorated.

Subd. 4. Grants for gender-neutral single-user restrooms. (a) For grants to school districts for remodeling, constructing, or repurposing space for gender-neutral single-user restrooms:

		$1,000,000	. . . . .	2026
		$1,000,000	. . . . .	2027

(b) A school district or a cooperative unit under Minnesota Statutes, section 123A.24, subdivision 2, may apply for a grant of not more than $75,000 per site under this subdivision in the form and manner specified by the commissioner.

(d) Up to $75,000 each year is available for grant administration and monitoring.

(e) By February 1 of each year, the commissioner must annually report to the legislative committees with jurisdiction over kindergarten through grade 12 education on the number of grants that were awarded each year and the number of grant applications that were unfunded each year.

(f) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

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Subd. 5. Long-term facilities maintenance equalized aid. (a) For long-term facilities maintenance equalized aid under Minnesota Statutes, section 123B.595, subdivision 9:

		$106,451,000	. . . . .	2026
		$105,587,000	. . . . .	2027

(b) The 2026 appropriation includes $10,719,000 for 2025 and $95,732,000 for 2026.

ARTICLE 7

SCHOOL NUTRITION AND LIBRARIES

Section 1. Minnesota Statutes 2024, section 124D.111, subdivision 3, is amended to read:

Subd. 3. School food service fund. (a) The expenses described in this subdivision must be recorded as provided in this subdivision. To the extent possible, the Department of Education must not limit eligible expenditures from the food service fund to a level below that allowed by federal law.

(b) In each district, the expenses for a school food service program for pupils must be attributed to a school food service fund. Under a food service program, the school food service may prepare or serve milk, meals, or snacks in connection with school or community service activities.

(c) Revenues and expenditures for food service activities must be recorded in the food service fund. The costs of processing applications, accounting for meals, preparing and serving food, providing kitchen custodial services, and other expenses involving the preparing of meals or the kitchen ~~section~~ or serving area sections of the lunchroom may be charged to the food service fund or to the general fund of the district. For the purposes of this paragraph, the costs of serving food include the costs of technology and systems related to serving line automation and meal tracking. The costs of ~~lunchroom supervision,~~ lunchroom custodial services, lunchroom utilities, lunchroom furniture, and other administrative costs of the food service program must be charged to the general fund.

That portion of superintendent and fiscal manager costs that can be documented as attributable to the food service program may be charged to the food service fund provided that the school district does not employ or contract with a food service director or other individual who manages the food service program, or food service management company. If the cost of the superintendent or fiscal manager is charged to the food service fund, the charge must be at a wage rate not to exceed the statewide average for food service directors as determined by the department.

Staff whose primary responsibility is financial or program management of food service operations may charge time spent managing the program to the food service program.

(d) Capital expenditures for the purchase of food service equipment must be made from the general fund and not the food service fund, unless the restricted balance in the food service fund at the end of the last fiscal year is greater than the cost of the equipment to be purchased.

(e) If the condition set out in paragraph (d) applies, the equipment may be purchased from the food service fund.

(f) If a deficit in the food service fund exists at the end of a fiscal year, and the deficit is not eliminated by revenues from food service operations in the next fiscal year, then the deficit must be eliminated by a permanent fund transfer from the general fund at the end of that second fiscal year. However, if a district contracts with a food service management company during the period in which the deficit has accrued, the deficit must be eliminated by a payment from the food service management company.

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(g) Notwithstanding paragraph (f), a district may incur a deficit in the food service fund for up to three years without making the permanent transfer if the district submits to the commissioner by January 1 of the second fiscal year a plan for eliminating that deficit at the end of the third fiscal year.

(h) If a surplus in the food service fund exists at the end of a fiscal year for three successive years, a district may recode for ~~that fiscal year~~ the documented costs of ~~lunchroom supervision,~~ lunchroom custodial services, lunchroom utilities, lunchroom furniture, and other administrative costs of the food service program charged to the general fund according to paragraph (c), or costs under paragraph (j), and charge those costs to the food service fund identified by the commissioner in a total amount not to exceed the amount of surplus ~~in the food service fund~~.

(i) For purposes of this subdivision, "lunchroom furniture" means tables and chairs regularly used by pupils in a lunchroom from which they may consume milk, meals, or snacks in connection with school or community service activities.

(j) In addition to the uses authorized in paragraph (h) and subject to the same surplus fund balance limitations in paragraph (h), a district may spend the excess funds on expenses that improve the school food service, including the costs of plumbing, electrical, air handling, ventilation, or other building utility work necessary to operate equipment essential for food service activities or to remediate food service-related health and safety hazards.

EFFECTIVE DATE. This section is effective for fiscal year 2027 and later.

Sec. 2. Minnesota Statutes 2024, section 124D.119, subdivision 1, is amended to read:

Subdivision 1. Summer ~~Food Service~~ Electronic Benefit Transfer Program ~~replacement~~ aid. State funds are available to compensate ~~department-approved~~ school food authorities who gather student data for the Summer ~~Food Service~~ Electronic Benefit Transfer Program sponsors. Reimbursement shall be made on by December 15 based on ~~total meals served by each sponsor from the end of the school year to the beginning of the next school year~~ the number of pupil units eligible during the Summer Electronic Benefit Transfer Program eligibility year on a pro rata basis.

Sec. 3. APPROPRIATIONS.

Subdivision 1. Department of Education. The sums indicated in this section are appropriated from the general fund to the Department of Education for the fiscal years designated. Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 2. Basic system support. (a) For basic system support aid under Minnesota Statutes, section 134.355:

		$17,995,000	. . . . .	2026
		$18,372,000	. . . . .	2027

(b) The 2026 appropriation includes $1,752,000 for 2025 and $16,243,000 for 2026.

Subd. 3. Electronic library for Minnesota. For statewide licenses to online databases selected in cooperation with the Minnesota Office of Higher Education for school media centers, public libraries, state government agency libraries, and public or private college or university libraries:

		$900,000	. . . . .	2026
		$900,000	. . . . .	2027

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Subd. 4. School lunch. For school lunch aid under Minnesota Statutes, section 124D.111, including the amounts for the free school meals program:

		$264,162,000	. . . . .	2026
		$276,392,000	. . . . .	2027

Subd. 5. School breakfast. For school breakfast aid under Minnesota Statutes, section 124D.1158:

		$57,642,000	. . . . .	2026
		$60,413,000	. . . . .	2027

Subd. 6. Kindergarten milk. For kindergarten milk aid under Minnesota Statutes, section 124D.118:

		$387,000	. . . . .	2026
		$387,000	. . . . .	2027

Subd. 7. Multicounty, multitype library systems. (a) For aid under Minnesota Statutes, sections 134.353 and 134.354, to multicounty, multitype library systems:

		$2,000,000	. . . . .	2026
		$2,000,000	. . . . .	2027

(b) The 2026 appropriation includes $200,000 for 2025 and $1,800,000 for 2026.

Subd. 8. Regional library telecommunications. (a) For regional library telecommunications aid under Minnesota Statutes, section 134.355:

		$2,300,000	. . . . .	2026
		$2,300,000	. . . . .	2027

(b) The 2026 appropriation includes $230,000 for 2025 and $2,070,000 for 2026.

Subd. 9. School library aid. (a) For school library aid under Minnesota Statutes 2024, section 124D.992:

$2,376,000

. . . . .

2026

(b) The 2026 appropriation includes $2,376,000 for 2025.

Subd. 10. Summer Electronic Benefit Transfer Program. To support local education agencies uploading data for and administering the Summer Electronic Benefit Transfer Program:

		$150,000	. . . . .	2026
		$150,000	. . . . .	2027

Sec. 4. REPEALER.

Minnesota Statutes 2024, section 124D.992, is repealed July 1, 2025.

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ARTICLE 8

EARLY CHILDHOOD EDUCATION

Section 1. APPROPRIATIONS.

Subdivision 1. Department of Education. The sums indicated in this section are appropriated from the general fund to the Department of Education in the fiscal years designated.

Subd. 2. Kindergarten entry assessment. (a) For the kindergarten entry assessment under Minnesota Statutes, section 124D.162:

		$2,357,000	. . . . .	2026
		$1,743,000	. . . . .	2027

(b) The base for fiscal year 2028 and later is $1,743,000.

Sec. 2. APPROPRIATION; DEPARTMENT OF CHILDREN, YOUTH, AND FAMILIES.

Subdivision 1. Department of Children, Youth, and Families. The sums indicated in this section are appropriated from the general fund to the Department of Children, Youth, and Families in the fiscal years designated.

Subd. 2. Administration. (a) For central office administrative funds for the Department of Children, Youth, and Families:

		$1,143,000	. . . . .	2026
		$1,143,000	. . . . .	2027

(b) The base for this program is $1,143,000 for fiscal year 2028 and later.

Subd. 3. Early childhood family education. (a) For early childhood family education under Minnesota Statutes, section 142D.11:

		$39,365,000	. . . . .	2026
		$41,300,000	. . . . .	2027

(b) The 2026 appropriation includes $3,792,000 for 2025 and $35,573,000 for 2026.

Subd. 4. Home visiting aid. (a) For home visiting aid under Minnesota Statutes, section 142D.11:

		$245,000	. . . . .	2026
		$222,000	. . . . .	2027

(b) The 2026 appropriation includes $28,000 for 2025 and $217,000 for 2026.

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Subd. 5. Developmental screening aid. (a) For developmental screening aid under Minnesota Statutes, section 142D.093:

		$4,127,000	. . . . .	2026
		$4,083,000	. . . . .	2027

(b) The 2026 appropriation includes $414,000 for 2025 and $3,713,000 for 2026.

Subd. 6. School readiness aid. (a) For school readiness aid under Minnesota Statutes, section 142D.06:

		$33,683,000	. . . . .	2026
		$33,683,000	. . . . .	2027

(b) The 2026 appropriation includes $3,368,000 for 2025 and $30,315,000 for 2026.

Sec. 3. APPROPRIATION; OFFICE OF HIGHER EDUCATION.

Subdivision 1. Office of Higher Education. The sums indicated in this section are appropriated from the general fund to the Office of Higher Education in the fiscal years designated.

Subd. 2. Early childhood and family education teacher shortage. (a) For grants to Minnesota institutions of higher education to address the early childhood and family education teacher shortage:

		$500,000	. . . . .	2026
		$500,000	. . . . .	2027

(b) Grant funds may be used to provide tuition and other supports to students.

(d) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

ARTICLE 9

COMMUNITY EDUCATION AND LIFELONG LEARNING

Section 1. APPROPRIATIONS.

Subd. 2. Adult basic education aid. (a) For adult basic education aid under Minnesota Statutes, section 124D.531:

		$55,281,000	. . . . .	2026
		$56,919,000	. . . . .	2027

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(b) The 2026 appropriation includes $5,401,000 for 2025 and $49,880,000 for 2026.

Subd. 3. Adults with disabilities program aid. (a) For adults with disabilities programs under Minnesota Statutes, section 124D.56:

		$1,560,000	. . . . .	2026
		$1,580,000	. . . . .	2027

(b) The 2026 appropriation includes $151,000 for 2025 and $1,409,000 for 2026.

Subd. 4. Community education aid. (a) For community education aid under Minnesota Statutes, section 124D.20:

		$10,080,000	. . . . .	2026
		$11,815,000	. . . . .	2027

(b) The 2026 appropriation includes $871,000 for 2025 and $9,209,000 for 2026.

Subd. 5. Deaf, deafblind, and hard-of-hearing adults. For programs for deaf, deafblind, and hard-of-hearing adults under Minnesota Statutes, section 124D.57:

		$70,000	. . . . .	2026
		$70,000	. . . . .	2027

Subd. 6. High school equivalency tests. For payment of the costs of the commissioner-selected high school equivalency tests under Minnesota Statutes, section 124D.55:

		$125,000	. . . . .	2026
		$125,000	. . . . .	2027

Subd. 7. Neighborhood partnership grants. (a) For neighborhood partnership grants under Minnesota Statutes, section 124D.99:

		$2,600,000	. . . . .	2026
		$2,600,000	. . . . .	2027

(b) Of the amounts in paragraph (a), $1,300,000 each year is for the Northside Achievement Zone and $1,300,000 each year is for the St. Paul Promise Neighborhood.

Subd. 8. Regional neighborhood partnership grants. (a) For regional neighborhood partnership grants under Minnesota Statutes, section 124D.99:

		$1,400,000	. . . . .	2026
		$1,400,000	. . . . .	2027

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(b) Of the amounts in paragraph (a), $200,000 each year is for the following programs:

(1) Northfield Healthy Community Initiative in Northfield;

(2) Red Wing Youth Outreach Program in Red Wing;

(3) United Way of Central Minnesota in St. Cloud;

(4) Austin Aspires in Austin;

(5) Rochester Area Foundation in Rochester;

(6) Greater Twin Cities United Way for Generation Next; and

(7) Children First and Partnership for Success in St. Louis Park.

Subd. 9. School-age care aid. (a) For school-age care aid under Minnesota Statutes, section 124D.22:

		$1,000	. . . . .	2026
		$1,000	. . . . .	2027

(b) The 2026 appropriation includes $0 for 2025 and $1,000 for 2026.

ARTICLE 10

STATE AGENCIES

Section 1. [127A.205] EDUCATION GRANT TERMINATION.

(a) The commissioner of education must not enter into a grant agreement, or must terminate a grant agreement, if any of the following conditions apply:

(1) the recipient is a nonprofit organization that is required to file a Form 990 or Form 990-EZ with the Internal Revenue Service, but has failed to do so. If the organization has not been in existence long enough or is not required to file Form 990 or Form 990-EZ, the organization must provide the department its most recent financial statements or an audit approved within the previous 12 months;

(2) the recipient is required to file a report under section 309.53 and has not filed the report;

(3) the recipient fails to file an annual renewal and is administratively dissolved by the secretary of state; or

(4) the recipient fails to maintain tax-exempt status under state or federal law.

(b) This section does not apply to a grant to a political subdivision, including a school district, a cooperative unit under section 123A.24, subdivision 2, or a charter school.

EFFECTIVE DATE. This section is effective the day following final enactment.

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Sec. 2. CANCELLATION; MINNESOTA DEPARTMENT OF EDUCATION APPROPRIATIONS.

Subdivision 1. Office of Inspector General. $1,500,000 from the appropriation in Laws 2023, chapter 55, article 12, section 17, subdivision 2, as amended by Laws 2024, chapter 115, article 10, section 3, for the Office of Inspector General is canceled on the effective date of this section.

Subd. 2. Specific Learning Disability. $500,000 from the appropriation in Laws 2023, chapter 55, article 12, section 17, subdivision 2, as amended by Laws 2024, chapter 115, article 10, section 3, for the engagement and rulemaking related to Specific Learning Disability is canceled on the effective date of this section.

EFFECTIVE DATE. This section is effective the day following final enactment.

Sec. 3. APPROPRIATIONS; PROFESSIONAL EDUCATOR LICENSING AND STANDARDS BOARD.

Subd. 2. Professional Educator Licensing and Standards Board. For the Professional Educator Licensing and Standards Board:

		$3,633,000	. . . . .	2026
		$3,633,000	. . . . .	2027

Sec. 4. APPROPRIATIONS; DEPARTMENT OF EDUCATION.

Subd. 2. Department. (a) For the Department of Education:

		$43,401,000	. . . . .	2026
		$39,401,000	. . . . .	2027

Of these amounts:

(1) $405,000 each year is for the Board of School Administrators;

(2) $1,000,000 each year is for regional centers of excellence under Minnesota Statutes, section 120B.115;

(3) $720,000 each year is for implementing Minnesota's Learning for English Academic Proficiency and Success Act (LEAPS) under Laws 2014, chapter 272, article 1, as amended;

(4) $480,000 each year is for the Department of Education's mainframe update;

(5) $4,000,000 in fiscal year 2026 only is for legal fees and costs associated with litigation against the department relating to constitutional challenges to the state's education system;

(6) $2,359,000 each year is for modernizing district data submissions;

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(7) $573,000 each year is for engagement and rulemaking related to Specific Learning Disability;

(8) $150,000 each year is for an ethnic studies specialist in the academic standards division to provide support to the ethnic studies working group and to school districts seeking to establish or strengthen ethnic studies courses;

(9) $150,000 each year is for the comprehensive school mental health services lead under Minnesota Statutes, section 127A.215;

(10) $150,000 each year is for a school health services specialist under Minnesota Statutes, section 121A.20;

(11) $2,000,000 each year is for the Office of the Inspector General established under Minnesota Statutes, section 127A.21;

(12) $800,000 each year is for audit and internal control resources;

(13) $2,000,000 each year is for staffing the Equity, Diversity and Inclusion (EDI) Center at the Department of Education;

(14) $175,000 each year is for administrative expenses for unemployment aid;

(15) $120,000 each year is to support schools and districts in accessing resources on cannabis use and substance use; and

(16) $572,000 each year is for administration of the Summer Electronic Benefits Transfer Program.

(b) None of the amounts appropriated under this subdivision may be used for Minnesota's Washington, D. C., office.

(c) The expenditures of federal grants and aids as shown in the biennial budget document and its supplements are approved and appropriated and must be spent as indicated.

(d) The base for fiscal year 2028 and later is $39,401,000.

Sec. 5. APPROPRIATIONS; MINNESOTA STATE ACADEMIES.

(a) The sums indicated in this section are appropriated from the general fund to the Minnesota State Academies for the Deaf and the Blind for the fiscal years designated:

		$17,504,000	. . . . .	2026
		$17,261,000	. . . . .	2027

(b) Of these amounts, $321,000 each year is for unemployment costs.

(d) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

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Sec. 6. APPROPRIATIONS; PERPICH CENTER FOR ARTS EDUCATION.

(a) The sums indicated in this section are appropriated from the general fund to the Perpich Center for Arts Education for the fiscal years designated:

		$8,460,000	. . . . .	2026
		$8,460,000	. . . . .	2027

(b) Of these amounts, $24,000 each year is for unemployment costs.

ARTICLE 11

THE READ ACT

Section 1. Minnesota Statutes 2024, section 120B.118, is amended to read:

120B.118 TITLE; THE READ ACT.

Subdivision 1. Title. Sections 120B.118 to 120B.124 may be cited as the "Reading to Ensure Academic Development Act" or the "Read Act."

Subd. 2. Policy. It is the intent of the legislature that public schools promote foundational literacy and grade-level reading proficiency through the use of curricula, textbooks, instructional materials, instructional practices, interventions, and teacher development and training based solely on the science of reading.

EFFECTIVE DATE. This section is effective July 1, 2025.

Sec. 2. Minnesota Statutes 2024, section 120B.119, subdivision 2a, is amended to read:

Subd. 2a. Certified trained facilitator. "Certified trained facilitator" means a person employed by a district or ~~regional literacy network~~ Minnesota service cooperative who has completed professional development approved by the Department of Education in structured literacy, completed the vendor's certification prerequisites and facilitator training requirements, completed the vendor's annual recertification requirements, remains in good standing with the sponsoring agency and vendor, uses the vendor's training materials with fidelity, and participates in mentoring or coaching provided by CAREI and the Department of Education on facilitating literacy training. A literacy lead who meets the requirements under this subdivision may be a certified trained facilitator.

EFFECTIVE DATE. This section is effective July 1, 2025.

Sec. 3. Minnesota Statutes 2024, section 120B.119, subdivision 4, is amended to read:

Subd. 4. Evidence-based. Evidence-based literacy instruction and literacy materials are based on the science of reading. "Evidence-based" means the instruction or item described is based on reliable, trustworthy, and valid evidence and science-based reading research, and has demonstrated a record of success in increasing students' reading competency in the areas of phonological and phonemic awareness, phonics, vocabulary development, reading fluency, and reading comprehension. Evidence-based literacy instruction is explicit, systematic, and includes phonological and phonemic awareness, phonics and decoding, spelling, fluency, vocabulary, oral language, and comprehension that can be differentiated to meet the needs of individual students. Evidence-based instruction does not include the three-cueing system, as defined in subdivision 16.

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Sec. 4. Minnesota Statutes 2024, section 120B.119, subdivision 10, is amended to read:

Subd. 10. Oral language. "Oral language," also called " ~~spoken~~ expressive language" or "receptive language," includes speaking and listening, and consists of five components: phonology, morphology, syntax, semantics, and pragmatics. Oral language also includes sign language, in which speaking and listening skills are defined as expressive and receptive skills, and consists of phonology, including sign language phonological awareness, morphology, syntax, semantics, and pragmatics.

EFFECTIVE DATE. This section is effective July 1, 2025.

Sec. 5. Minnesota Statutes 2024, section 120B.119, is amended by adding a subdivision to read:

Subd. 14a. Science-based reading research. "Science-based reading research" means research that:

(1) applies rigorous, systematic, and objective observational or experimental procedures to obtain knowledge relevant to reading development, reading instruction, and reading and writing difficulties; and

(2) explains how proficient reading and writing develop, why some children have difficulties developing key literacy skills, and how schools can best assess and instruct early literacy, including the use of evidence-based literacy instruction practices to promote reading and writing achievement.

EFFECTIVE DATE. This section is effective July 1, 2025.

Sec. 6. Minnesota Statutes 2024, section 120B.119, subdivision 15, is amended to read:

Subd. 15. Structured literacy. "Structured literacy" means an approach to reading instruction based on the science of reading in which teachers carefully structure important literacy skills, concepts, and the sequence of instruction to facilitate children's literacy learning and progress. Structured literacy is characterized by the provision of systematic, explicit, sequential, and diagnostic instruction in phonemic awareness, phonics, fluency, vocabulary and oral language development, and reading comprehension.

Sec. 7. Minnesota Statutes 2024, section 120B.12, subdivision 2, is amended to read:

Subd. 2. Identification; report. (a) Each school district must screen every student enrolled in kindergarten, grade 1, grade 2, and grade 3 using a screening tool approved by the Department of Education three times each school year: (1) within the first six weeks of the school year; (2) by February 15 each year; and (3) within the last six weeks of the school year. Students enrolled in kindergarten, grade 1, grade 2, and grade 3, including multilingual learners and students receiving special education services, must be universally screened for mastery of foundational reading skills, including phonemic awareness, phonics, decoding, fluency, ~~oral~~ language, and for characteristics of dyslexia as measured by a screening tool approved by the Department of Education. The screening for characteristics of dyslexia may be integrated with universal screening for mastery of foundational skills and ~~oral~~ expressive-receptive language mastery. The screening tool used must be a valid and reliable universal screener that is highly correlated with foundational reading skills. For students reading at grade level, beginning in the winter of grade 2, the oral reading fluency screener may be used to assess reading difficulties, including characteristics of dyslexia, without requiring a separate screening of each subcomponent of foundational reading skills.

(b) A district must submit data on student performance in kindergarten, grade 1, grade 2, and grade 3 on foundational reading skills, including phonemic awareness, phonics, decoding, fluency, and oral language to the Department of Education in the annual local literacy plan submission due on June 15.

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(b) (c) Students in grades 4 and above, including multilingual learners and students receiving special education services, who ~~do not demonstrate mastery of foundational reading skills, including phonemic awareness, phonics, decoding, fluency, and oral language,~~ are not reading at grade level must be screened for reading difficulties, including characteristics of dyslexia, using a screening tool approved by the Department of Education ~~for characteristics of dyslexia~~, and must continue to receive evidence-based instruction, interventions, and progress monitoring until the students achieve grade-level proficiency. A parent, in consultation with a teacher, may opt a student out of the literacy screener if the parent and teacher decide that continuing to screen would not be beneficial to the student. In such limited cases, the student must continue to receive progress monitoring and literacy interventions.

~~(c)~~ (d) Reading screeners in English, and in the predominant languages of district students where practicable, must identify and evaluate students' areas of academic need related to literacy. The district also must monitor the progress and provide reading instruction appropriate to the specific needs of multilingual learners. The district must use an approved, developmentally appropriate, and culturally responsive screener and annually report summary screener results to the commissioner by June 15 in the form and manner determined by the commissioner.

~~(d)~~ (e) The district also must include in its local literacy plan under subdivision 4a, a summary of the district's efforts to screen, identify, and provide interventions to students who demonstrate characteristics of dyslexia as measured by a screening tool approved by the Department of Education. Districts are strongly encouraged to use a MTSS framework. With respect to students screened or identified under paragraph (a), the report must include:

(1) a summary of the district's efforts to screen for reading difficulties, including dyslexia;

(2) the number of students universally screened for that reporting year;

(3) the number of students demonstrating characteristics of dyslexia for that year; and

(4) an explanation of how students identified under this subdivision are provided with alternate instruction and interventions under section 125A.56, subdivision 1.

EFFECTIVE DATE. This section is effective July 1, 2025.

Sec. 8. Minnesota Statutes 2024, section 120B.12, subdivision 3, is amended to read:

Subd. 3. Intervention. (a) For each student identified under subdivision 2, the district shall provide reading intervention to accelerate student growth and reach the goal of reading at or above grade level by the end of the current grade and school year. A district is encouraged to provide reading intervention through a MTSS framework. If a student does not read at or above grade level by the end of the current school year, the district must continue to provide reading intervention until the student reads at grade level. District intervention methods shall encourage family engagement and, where possible, collaboration with appropriate school and community programs that specialize in evidence-based instructional practices and measure mastery of foundational reading skills, including phonemic awareness, phonics, decoding, fluency, and oral language. Intervention may include but is not limited to requiring student attendance in summer school, intensified reading instruction that may require that the student be removed from the regular classroom for part of the school day, extended-day programs, or programs that strengthen students' cultural connections.

(b) A district or charter school is strongly encouraged to provide a personal learning plan for a student who is unable to demonstrate grade-level proficiency, as measured by the statewide reading assessment in grade 3 or a screener identified by the Department of Education under section 120B.123. The district or charter school must determine the format of the personal learning plan in collaboration with the student's educators and other appropriate professionals. The school must develop the learning plan in consultation with the student's parent or guardian. The

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personal learning plan must include targeted instruction that is evidence-based and ongoing progress monitoring, and address knowledge gaps and skill deficiencies through strategies such as specific exercises and practices during and outside of the regular school day, group interventions, periodic assessments or screeners, and reasonable timelines. The personal learning plan may include grade retention, if it is in the student's best interest; a student may not be retained solely due to delays in literacy or not demonstrating grade-level proficiency. A school must maintain and regularly update and modify the personal learning plan until the student reads at grade level. This paragraph does not apply to a student under an individualized education program.

(c) Starting in the ~~2025-2026~~ 2026-2027 school year, a district must use only evidence-based literacy interventions. Districts are strongly encouraged to use intervention materials approved by the Department of Education under the Read Act.

(d) Starting in the 2026-2027 school year, to provide a Tier 2 literacy intervention, a paraprofessional or other unlicensed person, including a volunteer, must be supervised by a licensed teacher who has completed training in evidence-based reading instruction approved by the Department of Education, and has completed evidence-based training developed under the Read Act by CAREI or the regional literacy networks under section 120B.124, subdivision 4, or a training that the department has determined meets or exceeds the requirements of section 120B.124, subdivision 4.

EFFECTIVE DATE. This section is effective July 1, 2025.

Sec. 9. Minnesota Statutes 2024, section 120B.12, subdivision 4, is amended to read:

Subd. 4. Staff development. (a) A district must provide training on evidence-based structured literacy instruction to teachers and instructional staff in accordance with subdivision 1, paragraphs (b) and (c). The training must include teaching in the areas of phonemic awareness, phonics, vocabulary development, reading fluency, reading comprehension, and culturally and linguistically responsive pedagogy.

(b) Each district shall use the data under subdivision 2 to identify the staff development needs so that:

(1) elementary teachers are able to implement explicit, systematic, evidence-based instruction in the five reading areas of phonemic awareness, phonics, fluency, vocabulary, and comprehension with emphasis on mastery of foundational reading skills as defined in section 120B.119 and other literacy-related areas including writing until the student achieves grade-level reading and writing proficiency;

(2) elementary teachers receive training to provide students with evidence-based reading and oral language instruction that meets students' developmental, linguistic, and literacy needs using the intervention methods or programs selected by the district for the identified students;

(3) licensed teachers employed by the district have opportunities to improve reading and writing instruction through approved professional development identified in the local literacy plan;

(4) licensed teachers recognize students' diverse needs in cross-cultural settings and are able to serve the oral language and linguistic needs of students who are multilingual learners by maximizing strengths in their native languages in order to cultivate students' English language development, including ~~oral~~ academic language development, and build academic literacy; and

(5) licensed teachers are trained in culturally responsive pedagogy that enables students to master content, develop skills to access content, and build relationships.

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(c) A district that offers early childhood programs, including voluntary prekindergarten for eligible four-year-old children, early childhood special education, and school readiness programs, must provide classroom teachers in early childhood programs training approved by the Department of Education to provide children in early childhood programs with explicit, systematic instruction in phonological and phonemic awareness; oral language, including listening comprehension; vocabulary; and letter-sound correspondence.

EFFECTIVE DATE. This section is effective July 1, 2025.

Sec. 10. Minnesota Statutes 2024, section 120B.12, subdivision 4a, is amended to read:

Subd. 4a. Local literacy plan. (a) Consistent with this section, a school district must adopt a local literacy plan to have every child reading at or above grade level every year beginning in kindergarten and to support multilingual learners and students receiving special education services in achieving their individualized reading goals. A district must update and submit the plan to the commissioner by June 15 each year. The plan must be consistent with the Read Act, and include the following:

(1) a process to assess students' foundational reading skills, oral language, and level of reading proficiency and the approved screeners used, by school site and grade level, under section 120B.123;

(2) a process to notify and involve parents;

(3) a description of how schools in the district will determine the targeted reading instruction that is evidence-based and includes an intervention strategy for a student and the process for intensifying or modifying the reading strategy in order to obtain measurable reading progress;

(4) evidence-based intervention methods for students who are not reading at or above grade level and progress monitoring to provide information on the effectiveness of the intervention;

(5) identification of staff development needs, including a plan to meet those needs;

(6) the curricula used by school site and grade level and, if applicable, the district plan and timeline for adopting ~~approved~~ evidence-based curricula and materials starting in the 2025-2026 school year;

(7) a statement of whether the district has adopted a MTSS framework;

(8) student data using the measures of foundational literacy skills and mastery identified by the Department of Education for the following students:

(i) students in kindergarten through grade 3;

(ii) students who demonstrate characteristics of dyslexia; and

(iii) students in grades 4 to 12 who are identified as not reading at grade level;

(9) the number of teachers and other staff who have completed training approved by the department;

(10) the number of teachers and other staff proposed for training in structured literacy; and

(11) how the district used funding provided under the Read Act to implement the requirements of the Read Act.

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(b) The district must post its literacy plan on the official school district website and submit it to the commissioner of education using the template developed by the commissioner of education annually beginning June 15, 2024.

(c) ~~By March 1, 2024, the commissioner of education must develop~~ Districts must use a streamlined template developed by the commissioner of education for local literacy plans that meets the requirements of this subdivision and requires all reading instruction and teacher training in reading instruction to be evidence-based. The template must require a district to report information using the student categories required in the commissioner's report under paragraph (d). The template must focus district resources on improving students' foundational reading skills while reducing paperwork requirements for teachers.

(d) By December 1, 2025, the commissioner of education must submit a report to the legislative committees with jurisdiction over prekindergarten through grade 12 education summarizing the local literacy plans submitted to the commissioner. The summary must include the following information:

(1) the number of teachers and other staff, by grade level, who have completed training approved by the Department of Education;

(2) the number of teachers and other staff, by grade level, required to complete the training under section 120B.123, subdivision 5, who have not completed the training;

(3) the number of teachers exempt under section 120B.123, subdivision 5, from completing training approved by the Department of Education;

(4) by school site and grade, the approved screeners and the reading curriculum used; and

(5) by school site and grade, using the measurements of foundational literacy skills and mastery identified by the department, both aggregated data and disaggregated data on student performance on the approved screeners using the student categories under section 120B.35, subdivision 3, paragraph (a), clause (2).

(e) By December 1, 2026, and December 1, 2027, the commissioner of education must submit updated reports containing the information required under paragraph (d) to the legislative committees with jurisdiction over prekindergarten through grade 12 education.

EFFECTIVE DATE. This section is effective July 1, 2025.

Sec. 11. Minnesota Statutes 2024, section 120B.12, is amended by adding a subdivision to read:

Subd. 6. Dual language immersion programs. (a) A district dual language immersion program selecting evidence-based screening tools, training, curriculum, or literacy intervention materials after July 1, 2025, must establish an advisory committee to identify literacy screening tools, training for teachers and staff, and curriculum and literacy intervention materials in the target language. Upon request, the Department of Education and regional literacy networks must provide technical assistance to the advisory committee. The committee must:

(1) include members whose first language is the target language, families of enrolled students, a member with expertise in special education, and teachers and other instructional staff;

(2) use a rubric or other instrument to evaluate the alignment of the screening tools, training, and curriculum and literacy intervention materials to the science of reading; and

(3) recommend strategies to support the transfer of literacy skills from the target language to English.

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(b) A district dual language immersion program is not required to comply with the requirements under the Read Act except as provided under this subdivision. A district dual language immersion program must:

(1) provide training in accordance with section 120B.123, subdivision 5, to teachers and staff that provide instruction in foundational reading skills in English or assist in providing literacy interventions in English;

(2) administer an approved screener in English in accordance with subdivision 2 in a grade in which the program provides instruction in foundational reading skills in English; and

(3) use evidence-based curriculum and literacy intervention materials aligned to the science of reading when providing instruction in foundational reading skills in English.

(c) The commissioner must provide a district dual language immersion program with a local literacy plan template that the district must use to report:

(1) how the district assesses students' foundational reading skills, oral language, and level of reading proficiency in the target language;

(2) the district's process to notify families with timely information about students' reading proficiency, including how the student's reading proficiency is assessed, any reading-related services or supports provided to the student and the student's progress, and strategies for families to use at home in helping students succeed in become grade-level proficient in reading in English or in the target language;

(3) a description of how the district will determine and provide targeted reading instruction in the target language of instruction and supports to students identified as needing additional support in developing mastery of foundational reading skills;

(4) how the district will identify staff development needs related to literacy instruction and a plan to meet the identified needs;

(5) the reading curricula used by grade level; and

(6) district efforts used to support the transfer of literacy skills from the target language to English.

(d) A district dual language immersion program must post and submit its local literacy plan in accordance with subdivision 4a, but the plan is only required to include the information required under this subdivision.

(e) Notwithstanding paragraph (b), for the 2025-2026 and 2026-2027 school years only, a district dual language immersion program is not required to:

(1) use an approved screening tool, unless the screening tool uses the program's target language;

(2) provide teachers and other staff approved training on literacy instruction unless the training is in the target language; or

(3) use approved curriculum or literacy intervention materials that are not in the target language.

Sec. 12. Minnesota Statutes 2024, section 120B.123, subdivision 1, is amended to read:

Subdivision 1. Approved screeners. (a) A district must administer an approved evidence-based reading screener to students in kindergarten through grade 3 within the first six weeks of the school year, by February 15 each year, and again within the last six weeks of the school year. The screener must be one of the screening tools approved by the Department of Education. A district must identify any screener it uses in the district's annual literacy plan, and submit screening data with the annual literacy plan by June 15.

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(b) Starting in the 2024-2025 school year, district staff~~, contractors,~~ and ~~volunteers~~ external partners offering literacy supports in schools may only use screeners that have been approved by the Department of Education.

EFFECTIVE DATE. This section is effective July 1, 2025.

Sec. 13. Minnesota Statutes 2024, section 120B.123, subdivision 5, is amended to read:

Subd. 5. Professional development. (a) A district must provide training from a menu of approved evidence-based training programs to the following teachers and staff by July 1, 2026:

(1) reading intervention teachers working with students in kindergarten through grade 12;

(2) all classroom teachers of students in kindergarten through grade 3 and children in prekindergarten programs;

(3) kindergarten through grade 12 special education teachers responsible for foundational reading skills instruction;

(4) curriculum directors;

(5) instructional support staff, contractors, and volunteers who assist in providing Tier 2 interventions;

(6) employees who select literacy instructional materials for a district; and

(7) teachers licensed to teach English to multilingual learners.

(b) A district must provide training from a menu of approved evidence-based training programs to the following teachers by July 1, 2027:

(1) teachers who provide reading instruction to students in grades 4 to 12; and

(2) teachers who provide instruction to students in a state-approved alternative program.

(d) Training provided by ~~a department-approved certified trained facilitator~~ the following may satisfy the professional development requirements under this subdivision. :

(1) a certified trained facilitator; or

(2) a training program that the department has determined meets the professional development requirements under the Read Act.

(e) For the 2024-2025 and 2025-2026 school ~~year~~ years only, the hours of instruction requirement under section 120A.41 for students in an elementary and secondary school, as defined in section 120A.05, ~~subdivision~~ subdivisions 9 and 13, is reduced by 5-1/2 hours for a district that enters into an agreement with the exclusive representative of the teachers that requires teachers to receive at least 5-1/2 hours of approved evidence-based training required under this subdivision~~, on a day when other students in the district receive instruction~~. If a charter school's teachers are not represented by an exclusive representative, the charter school may reduce the number of instructional hours for students in an elementary and secondary school, as defined in section 120A.05, ~~subdivision~~ subdivisions 9 and 13, by 5-1/2 hours after consulting with its teachers in order to provide teachers with at least 5-1/2 hours of evidence-based training required under this subdivision ~~on a day when other students receive instruction~~. The hours of instruction reduction for secondary school students is applicable only for the 2025-2026 school year.

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Sec. 14. Minnesota Statutes 2024, section 120B.123, subdivision 7, is amended to read:

Subd. 7. Department of Education. (a) By July 1, 2023, the department must make available to districts a list of approved evidence-based screeners in accordance with section 120B.12. A district must use an approved screener to assess students' mastery of foundational reading skills in accordance with section 120B.12.

(b) The Department of Education must partner with CAREI as required under section 120B.124 to approve professional development programs, subject to final determination by the department. After the implementation partnership under section 120B.124 ends, the department must continue to regularly provide districts with information about professional development opportunities available throughout the state on reading instruction that is evidence-based.

(c) The department and CAREI must identify training required for a literacy lead and literacy specialist employed by a district or Minnesota service cooperatives.

(d) The department must employ one or more literacy specialists to provide support to districts implementing the Read Act and coordinate duties assigned to the department under the Read Act. The literacy specialist must work on state efforts to improve literacy tracking and implementation.

(e) The department must develop a template for a local literacy plan in accordance with section 120B.12, subdivision 4a.

(f) The department must partner with CAREI as required under section 120B.124 to approve literacy intervention models by June 30, 2025, subject to final determination by the department. The department must make a list of the 15 approved evidence-based intervention models available to districts as they are approved by CAREI~~, starting November 1, 2025~~. Upon approval of the evidence-based intervention models, the department must ensure the models are reviewed by a contracted third party for culturally responsive guidance and materials, and make those findings available to districts once the review process is complete. The department must notify districts of the two-step review process for all materials approved under the Read Act for effectiveness as evidence-based structured literacy, and for cultural responsiveness. The department may identify additional literacy intervention models after the partnership with CAREI has ended.

(g) The department and CAREI must provide ongoing coaching, mentoring, and support to certified trained facilitators.

(h) CAREI must complete all requirements under paragraphs (a) to (g) by June 30, 2025. Starting July 1, 2025, the department must complete any ongoing activities required under this subdivision without assistance from CAREI.

EFFECTIVE DATE. This section is effective the day following final enactment.

Sec. 15. Minnesota Statutes 2024, section 120B.123, is amended by adding a subdivision to read:

Subd. 8. Dual language immersion programs. (a) The Department of Education must:

(1) develop and issue guidance to district language immersion programs on screeners;

(2) identify materials available in programs' target languages to provide instruction in foundational reading skills and an instrument for evaluating alignment to the science of reading;

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(3) identify professional development opportunities in programs' target languages on providing instruction in foundational reading skills aligned to the science of reading; and

(4) make recommendations on how districts can support the transfer of literacy skills from the target language to English.

(b) The department must post the guidance, list of materials and professional development opportunities, and recommendations on its website.

Sec. 16. Minnesota Statutes 2024, section 120B.124, subdivision 1, is amended to read:

Subdivision 1. Resources. (a) The Department of Education must partner with CAREI for two years beginning July 1, 2023, until ~~August~~ June 30, 2025, to support implementation of the Read Act. The department and CAREI must jointly:

(1) identify at least five literacy curricula and supporting materials that are evidence-based or focused on structured literacy by January 1, 2024, and post a list of the curricula on the department website. The list must include curricula that use culturally and linguistically responsive materials that reflect diverse populations and curricula that reflect the experiences of students from diverse backgrounds, including multilingual learners, biliterate students, and students who are Black, Indigenous, and People of Color. A district that purchases an approved curriculum before the cultural responsiveness review is completed is encouraged to work with the curriculum's publisher to obtain updated materials that are culturally and linguistically responsive and reflect diverse populations. A district is not required to use an approved curriculum;

(2) identify at least three professional development programs that focus on the five pillars of literacy and the components of structured literacy by August 15, 2023, subject to final approval by the department. The department must post a list of the programs on the department website. The programs may include a program offered by CAREI. The requirements of section 16C.08 do not apply to the selection of a provider under this section;

(3) identify evidence-based literacy intervention materials for students in kindergarten through grade 12;

(4) develop an evidence-based literacy lead training and coaching program that trains and supports literacy specialists throughout Minnesota to support schools' efforts in screening, measuring growth, monitoring progress, and implementing interventions in accordance with subdivision 1. Literacy lead training must include instruction on how to train paraprofessionals and volunteers that provide Tier 2 interventions on evidence-based literacy intervention;

(5) identify measures of foundational literacy skills and mastery that a district must report on a local literacy plan;

(6) provide guidance to districts about best practices in literacy instruction, and practices that are not evidence-based;

(7) develop MTSS model plans that districts may adopt to support efforts to screen, identify, intervene, and monitor the progress of students not reading at grade level;

(8) ensure that teacher professional development options and MTSS framework trainings are geographically equitable by supporting trainings through the regional service cooperatives;

(9) develop a coaching and mentorship program for certified trained facilitators based on the previously approved trainings; and

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(10) identify at least 15 evidence-based literacy intervention models by ~~November 1~~ June 30, 2025, and post a list of the interventions on the department website. A district is not required to use an approved intervention model.

(b) The department must contract with a third party to develop culturally and linguistically responsive supplemental materials and guidance for the approved literacy curricula to meet the culturally and linguistically responsive standards under paragraph (a), clause (1).

(c) The department must post on its website the rubric used to evaluate curriculum under this subdivision and how each curriculum reviewed was evaluated under the rubric. The department must also identify any curriculum that was not approved based on any criteria other than alignment to evidence-based structured literacy practices.

EFFECTIVE DATE. This section is effective the day following final enactment.

Sec. 17. Minnesota Statutes 2024, section 120B.124, subdivision 5, is amended to read:

Subd. 5. Ongoing review of literacy materials. The department may partner with one or more institutions of higher education to conduct independent and objective reviews of curriculum and intervention materials. The department must determine whether it will partner with an institution of higher education to conduct ongoing reviews of literacy materials by June 1, 2026. A publisher may submit curriculum or intervention materials for review. The publisher is responsible for paying the cost of the review directly to the institution of higher education. The review must use ~~the rubric used~~ a rubric based on the science of reading to approve curriculum ~~under subdivision 1~~ and post the rubric on the department website. The department and institution of higher education may approve the curriculum or intervention materials if they determine that the curriculum or intervention materials are evidence-based, focused on structured literacy, culturally and linguistically responsive, and reflect diverse populations. The department must add the approved curriculum or intervention materials to the list of curricula and materials approved under the Read Act.

EFFECTIVE DATE. This section is effective July 1, 2025.

Sec. 18. Minnesota Statutes 2024, section 120B.124, subdivision 6, is amended to read:

Subd. 6. Comprehensive review of literacy materials. Starting in 2033, the department and an institution of higher education may partner to conduct a comprehensive review of curriculum and intervention materials to identify literacy curriculum ~~and~~, supporting materials, and intervention materials that are evidence-based, focused on structured literacy, based on the science of reading, culturally and linguistically responsive, and reflect diverse populations. The department must post on its website the rubrics used to evaluate curriculum and intervention materials. The department must revise the list of approved curriculum and supporting materials, and intervention materials based on the findings of the review.

EFFECTIVE DATE. This section is effective July 1, 2025.

Sec. 19. Minnesota Statutes 2024, section 120B.124, is amended by adding a subdivision to read:

Subd. 7. Partnership expiration. The partnership between the department and CAREI expires June 30, 2025. Starting July 1, 2025, the department must complete any duties provided under this section without participation by CAREI.

EFFECTIVE DATE. This section is effective the day following final enactment.

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Sec. 20. Minnesota Statutes 2024, section 122A.091, subdivision 1, is amended to read:

Subdivision 1. Teacher and administrator preparation and performance data; report. (a) The Professional Educator Licensing and Standards Board and the Board of School Administrators, in cooperation with board-approved teacher or administrator preparation programs, annually must collect and report summary data on teacher and administrator preparation and performance outcomes, consistent with this subdivision. The Professional Educator Licensing and Standards Board and the Board of School Administrators annually by July 1 must update and post the reported summary preparation and performance data on teachers and administrators from the preceding school years on their respective websites.

(b) Publicly reported summary data on teacher preparation providers must include:

(1) summary data on teacher educator qualifications and their years of experience either as birth through grade 12 classroom teachers or school administrators;

(2) the current number and percentage of enrolled candidates who entered the program through a transfer pathway disaggregated by race, except when disaggregation would not yield statistically reliable results or would reveal personally identifiable information about an individual;

(3) the current number and percentage of program completers by program who received a Tier 3 or Tier 4 license disaggregated by race, except when disaggregation would not yield statistically reliable results or would reveal personally identifiable information about an individual;

(4) the current number and percentage of program completers who entered the program through a transfer pathway and received a Tier 3 or Tier 4 license disaggregated by race, except when disaggregation would not yield statistically reliable results or would reveal personally identifiable information about an individual;

(5) the current number and percentage of program completers who were hired to teach full time in their licensure field in a Minnesota district or school in the preceding year disaggregated by race, except when disaggregation would not yield statistically reliable results or would reveal personally identifiable information about an individual;

(6) the current number and percentage of program completers who entered the program through a transfer pathway and who were hired to teach full time in their licensure field in a Minnesota district or school in the preceding year disaggregated by race, except when disaggregation would not yield statistically reliable results or would reveal personally identifiable information about an individual;

(7) board-adopted survey results measuring initial licensure program quality and structure in the preceding school year disaggregated by race, except when disaggregation would not yield statistically reliable results or would reveal personally identifiable information about an individual;

(8) board-adopted survey results from school principals or supervisors on initial licensure program quality and structure; and

(9) the number and percentage of program completers who met or exceeded the state threshold score on the board-adopted teacher performance assessment required under section 122A.185.

Program reporting must be consistent with subdivision 2.

(c) Publicly reported summary data on administrator preparation programs approved by the Board of School Administrators must include:

(1) summary data on faculty qualifications, including at least the content areas of faculty undergraduate and graduate degrees and the years of experience either as kindergarten through grade 12 classroom teachers or school administrators;

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(2) the average time program graduates in the preceding year needed to complete the program;

(3) the current number and percentage of students who graduated, received a standard Minnesota administrator license, and were employed as an administrator in a Minnesota school district or school in the preceding year disaggregated by race, except when disaggregation would not yield statistically reliable results or would reveal personally identifiable information about an individual;

(4) the number of credits by graduate program that students in the preceding school year needed to complete to graduate;

(5) survey results measuring student, graduate, and employer satisfaction with the program in the preceding school year disaggregated by race, except when disaggregation would not yield statistically reliable results or would reveal personally identifiable information about an individual; and

(6) information under subdivision 3, paragraphs (c) and (d).

Program reporting must be consistent with section 122A.14, subdivision 10.

EFFECTIVE DATE. This section is effective July 1, 2025.

Sec. 21. Minnesota Statutes 2024, section 122A.092, subdivision 5, is amended to read:

Subd. 5. Reading strategies. (a) A teacher preparation provider approved by the Professional Educator Licensing and Standards Board to prepare persons for classroom teacher licensure must include in its teacher preparation programs evidence-based best practices in reading focused on the science of reading, consistent with sections 120B.118 to 120B.124, including instruction on phonemic awareness, phonics, vocabulary development, reading fluency, and reading comprehension. Instruction on reading must enable the licensure candidate to teach reading in the candidate's content areas. Teacher candidates must be instructed in using students' native languages as a resource in creating effective differentiated instructional strategies for English learners developing literacy skills. A teacher preparation provider also must prepare early childhood and elementary teacher candidates for Tier 3 and Tier 4 teaching licenses under sections 122A.183 and 122A.184, respectively.

(b) Board-approved teacher preparation programs for teachers of elementary education must require instruction in applying evidence-based, structured literacy reading instruction programs based on the science of reading that:

(1) teach students to read using foundational knowledge, practices, and strategies consistent with sections 120B.118 to 120B.124, with emphasis on mastery of foundational reading skills so that students achieve continuous progress in reading; and

(2) teach specialized instruction in reading strategies, interventions, and remediations that enable students of all ages and proficiency levels, including multilingual learners and students demonstrating characteristics of dyslexia, to become proficient readers.

(c) Board-approved teacher preparation programs for teachers of elementary education, early childhood education, special education, and reading intervention must include instruction on dyslexia, as defined in section 125A.01, subdivision 2. Teacher preparation programs may consult with the Department of Education, including the dyslexia specialist under section 120B.122, to develop instruction under this paragraph. Instruction on dyslexia must be modeled on practice standards of the International Dyslexia Association, and must address:

(1) the nature and symptoms of dyslexia;

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(2) resources available for students who show characteristics of dyslexia;

(3) evidence-based instructional strategies for students who show characteristics of dyslexia, including the structured literacy approach; and

(4) outcomes of intervention and lack of intervention for students who show characteristics of dyslexia.

(d) Nothing in this section limits the authority of a school district to select a school's reading program or curriculum.

(e) The board must post on its website the rubric or other instrument it uses to evaluate whether a teacher preparation program includes reading instruction that complies with this subdivision and is consistent with sections 120B.118 to 120B.124.

Sec. 22. Minnesota Statutes 2024, section 122A.185, subdivision 1, is amended to read:

Subdivision 1. Tests. (a) The board must adopt rules requiring applicants for Tier 3 and Tier 4 licenses to pass an examination or performance assessment of general pedagogical knowledge and examinations or assessments of licensure field specific content. An applicant is exempt from the examination requirements if the applicant:

(1) completed a board-approved teacher preparation program;

(2) completed licensure via portfolio pursuant to section 122A.18, subdivision 10, and the portfolio has been recommended;

(3) obtained national board certification from the National Board for Professional Teaching Standards; or

(4) completed a state-approved teacher preparation program in another state and passed licensure examinations in that state, if applicable. The content examination requirement does not apply if no relevant content exam exists.

(b) The board must adopt rules requiring an applicant for a Tier 3 or Tier 4 license in elementary education to demonstrate the knowledge, skill, and ability to provide instruction in foundational reading skills based on the science of reading. An applicant may satisfy this requirement through one of the following:

(1) a performance assessment;

(2) satisfactory completion of training from a department-approved certified trained facilitator; or

(3) satisfactory completion of other training that satisfies the professional development requirements under the Read Act.

~~(b)~~ (c) All testing centers in the state must provide monthly opportunities for untimed content and pedagogy examinations. These opportunities must be advertised on the test registration website. The board must require the exam vendor to provide other equitable opportunities to pass exams, including: (1) waiving testing fees for test takers who qualify for federal grants; (2) providing free, multiple, full-length practice tests for each exam and free, comprehensive study guides on the test registration website; (3) making content and pedagogy exams available in languages other than English for teachers seeking licensure to teach in language immersion programs; and (4) providing free, detailed exam results analysis by test objective to assist applicants who do not pass an exam in identifying areas for improvement. Any applicant who has not passed a required exam after two attempts must be allowed to retake the exam, including new versions of the exam, without being charged an additional fee.

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Sec. 23. Minnesota Statutes 2024, section 124D.42, subdivision 8, is amended to read:

Subd. 8. Minnesota reading corps program. (a) A Minnesota reading corps program is established to provide ServeMinnesota AmeriCorps members with a data-based problem-solving model of literacy instruction to use in helping to train local Head Start program providers, other prekindergarten program providers, and staff in schools with students in kindergarten through grade 3 to evaluate and teach early literacy skills, including evidence-based literacy instruction under sections 120B.118 to 120B.124, to children age 3 to grade 3 and interventions for children in kindergarten to grade 3.

(b) Literacy programs under this subdivision must comply with the provisions governing literacy program goals and data use under section 142D.12, subdivision 3, paragraph (b).

(c) Literacy programs under this subdivision must use a department-approved screener, evidence-based reading instruction, and interventions focused on structured literacy. ServeMinnesota must demonstrate to the department that the training AmeriCorps members receive meets or exceeds the requirements of section 120B.124, subdivision 4, for volunteers. Minnesota Reading Corps AmeriCorps members are not required to complete the training under section ~~120B.24~~ 120B.124, subdivision 4.

(d) The commission must submit a biennial report to the committees of the legislature with jurisdiction over kindergarten through grade 12 education that records and evaluates program data to determine the efficacy of the programs under this subdivision.

EFFECTIVE DATE. This section is effective July 1, 2025.

Sec. 24. Laws 2023, chapter 55, article 3, section 11, subdivision 2, is amended to read:

Subd. 2. CAREI. (a) To contract with the Center for Applied Research and Educational Improvement at the University of Minnesota for the Read Act implementation partnership under section 120B.124:

		$4,200,000	. . . . .	2024
		$0	. . . . .	2025

(b) This appropriation is available until June 30, ~~2026~~ 2025.

EFFECTIVE DATE. This section is effective the day following final enactment.

Sec. 25. Laws 2024, chapter 109, article 4, section 19, is amended to read:

Sec. 19. PROFESSIONAL EDUCATOR LICENSING AND STANDARDS BOARD READING AUDIT REPORT.

(a) The Professional Educator Licensing and Standards Board must conduct an audit that evaluates whether and how approved teacher training programs for candidates for the following licensure areas meet subject matter standards for reading:

(1) early childhood education in accordance with Minnesota Rules, part 8710.3000;

(2) elementary education in accordance with Minnesota Rules, part 8710.3200; and

(3) special education in accordance with Minnesota Rules, part 8710.5000.

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(b) The board must submit an initial report with its findings to the legislative committees with jurisdiction over kindergarten through grade 12 and higher education by January 15, 2025, and a final report by August 1, 2026. Each report must:

(1) identify the reading standards for each licensure area; identify how they are aligned to the requirements of the Read Act, including requirements on evidence-based instruction, phonemic awareness, phonics, vocabulary development, reading fluency, and reading comprehension; and identify how they are aligned to the requirements of Minnesota Statutes, section 122A.092, subdivision 5;

(2) describe how the board conducted the audit;

(3) identify the results of the audit; and

(4) summarize the program effectiveness reports for continuing approval related to reading standards reviewed by the board, including the board determinations under Minnesota Rules, part 8705.2200.

(c) The final report must include the rubric or other instrument used to conduct the audit and evaluate program alignment with the science of reading.

Sec. 26. Laws 2024, chapter 115, article 3, section 8, subdivision 5, is amended to read:

Subd. 5. CAREI paraprofessional and volunteer training. (a) For CAREI to develop training for paraprofessionals and volunteers that regularly provide Tier 2 literacy interventions to students in accordance with Minnesota Statutes, section 120B.124, subdivision 4:

$375,000

. . . . .

2025

(b) This is a onetime appropriation and is available until June 30, ~~2027~~ 2025.

EFFECTIVE DATE. This section is effective the day following final enactment.

Sec. 27. APPROPRIATIONS.

Subdivision 1. Department of Education. The sums indicated in this section are appropriated from the general fund to the Department of Education for the fiscal years designated.

Subd. 2. Department literacy specialist. (a) For a full-time literacy specialist at the Department of Education:

		$250,000	. . . . .	2026
		$250,000	. . . . .	2027

(b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

Subd. 3. Read Act compliance. (a) For state aid for school districts, charter schools, and cooperative units for costs related to compliance with the Read Act, Minnesota Statutes, sections 120B.118 to 120B.124:

$40,000,000

. . . . .

2026

(b) The aid amount for each school district, charter school, and cooperative unit providing direct instructional services equals the greater of $2,000 or $45.70 times the number of students served by the school district, charter school, or cooperative as determined by the fall 2024 enrollment count of students.

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(c) A school district, charter school, or cooperative unit must place any aid received under this subdivision in a reserved account in the general fund. Aid in the reserved account must be used to implement requirements under the Read Act.

(d) This is a onetime appropriation.

(e) The aid is 100 percent payable in fiscal year 2026.

Subd. 4. Read Act implementation. (a) For costs related to Read Act implementation and the termination of the partnership with the Center for Applied Research and Educational Improvement at the University of Minnesota:

		$700,000	. . . . .	2026
		$175,000	. . . . .	2027

(b) The base for fiscal year 2028 and later is $175,000.

Subd. 5. Read Act professional development. (a) For evidence-based training on structured literacy for teachers working in school districts, charter schools, and service cooperatives:

		$7,750,000	. . . . .	2026
		$7,750,000	. . . . .	2027

(b) Of the amounts in paragraph (a), $6,500,000 each year is for the regional literacy networks and $1,250,000 each year is for statewide training. The department must use the funding to develop a data collection system to: (1) collect and analyze the submission of the local literacy plans and student-level universal screening data; (2) establish the regional literacy networks as a partnership between the department and the Minnesota service cooperatives; and (3) administer statewide training based in structured literacy to be offered free to school districts and charter schools and facilitated by the regional literacy networks and the department. The regional literacy networks must focus on implementing comprehensive literacy reform efforts based on structured literacy. Each regional literacy network must maintain a literacy lead position and maintain a team of trained literacy coaches to facilitate evidence-based structured literacy training opportunities and ongoing supports to school districts and charter schools in each region. Funds may be used to provide training in structured literacy to grade 4 and 5 classroom teachers and literacy professors from Minnesota institutions of higher education.

(c) The commissioner must report to the legislative committees with jurisdiction over kindergarten through grade 12 education the number of teachers from each district who received approved structured literacy training using funds under this subdivision, and the amounts awarded to districts, charter schools, or service cooperatives.

(d) The regional literacy networks and staff from the Department of Education must provide ongoing support to school districts, charter schools, and service cooperatives implementing evidence-based literacy instruction.

(e) Any balance remaining in fiscal year 2026 is available in fiscal year 2027.

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ARTICLE 12

FORECAST

A. GENERAL EDUCATION

Section 1. Laws 2023, chapter 55, article 1, section 36, subdivision 2, as amended by Laws 2024, chapter 81, section 1, and Laws 2024, chapter 115, article 1, section 15, is amended to read:

Subd. 2. General education aid. (a) For general education aid under Minnesota Statutes, section 126C.13, subdivision 4:

		$8,103,909,000	. . . . .	2024
		$~~8,333,843,000~~ 8,280,528,000	. . . . .	2025

(b) The 2024 appropriation includes $707,254,000 for 2023 and $7,396,655,000 for 2024.

Sec. 2. Laws 2023, chapter 55, article 1, section 36, subdivision 3, as amended by Laws 2024, chapter 81, section 2, is amended to read:

		$23,000	. . . . .	2024
		$~~25,000~~ 23,000	. . . . .	2025

Sec. 3. Laws 2023, chapter 55, article 1, section 36, subdivision 4, as amended by Laws 2024, chapter 81, section 3, is amended to read:

Subd. 4. Abatement aid. (a) For abatement aid under Minnesota Statutes, section 127A.49:

		$2,318,000	. . . . .	2024
		$~~2,516,000~~ 1,503,000	. . . . .	2025

(b) The 2024 appropriation includes $126,000 for 2023 and $2,192,000 for 2024.

Sec. 4. Laws 2023, chapter 55, article 1, section 36, subdivision 5, as amended by Laws 2024, chapter 81, section 4, is amended to read:

Subd. 5. Consolidation transition aid. (a) For districts consolidating under Minnesota Statutes, section 123A.485:

		$7,000	. . . . .	2024
		$~~180,000~~ 0	. . . . .	2025

(b) The 2024 appropriation includes $7,000 for 2023 and $0 for 2024.

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Sec. 5. Laws 2023, chapter 55, article 1, section 36, subdivision 6, as amended by Laws 2024, chapter 81, section 5, is amended to read:

Subd. 6. Nonpublic pupil education aid. (a) For nonpublic pupil education aid under Minnesota Statutes, sections 123B.40 to 123B.43 and 123B.87:

		$21,176,000	. . . . .	2024
		$~~24,478,000~~ 23,337,000	. . . . .	2025

(b) The 2024 appropriation includes $1,925,000 for 2023 and $19,251,000 for 2024.

Sec. 6. Laws 2023, chapter 55, article 1, section 36, subdivision 7, as amended by Laws 2024, chapter 81, section 6, is amended to read:

Subd. 7. Nonpublic pupil transportation. (a) For nonpublic pupil transportation aid under Minnesota Statutes, section 123B.92, subdivision 9:

		$22,979,000	. . . . .	2024
		$~~27,177,000~~ 25,802,000	. . . . .	2025

(b) The 2024 appropriation includes $2,115,000 for 2023 and $20,864,000 for 2024.

Sec. 7. Laws 2023, chapter 55, article 1, section 36, subdivision 9, as amended by Laws 2024, chapter 81, section 7, is amended to read:

Subd. 9. Career and technical aid. (a) For career and technical aid under Minnesota Statutes, section 124D.4531, subdivision 1b:

		$1,664,000	. . . . .	2024
		$~~874,000~~ 937,000	. . . . .	2025

(b) The 2024 appropriation includes $183,000 for 2023 and $1,481,000 for 2024.

B. EDUCATION EXCELLENCE

Sec. 8. Laws 2023, chapter 55, article 2, section 64, subdivision 2, as amended by Laws 2024, chapter 81, section 8, and Laws 2024, chapter 115, article 2, section 13, is amended to read:

Subd. 2. Achievement and integration aid. (a) For achievement and integration aid under Minnesota Statutes, section 124D.862:

		$82,818,000	. . . . .	2024
		$~~85,043,000~~ 84,300,000	. . . . .	2025

(b) The 2024 appropriation includes $8,172,000 for 2023 and $74,646,000 for 2024.

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Sec. 9. Laws 2023, chapter 55, article 2, section 64, subdivision 6, as amended by Laws 2024, chapter 81, section 9, and Laws 2024, chapter 115, article 6, section 3, is amended to read:

Subd. 6. Charter school building lease aid. (a) For building lease aid under Minnesota Statutes, section 124E.22:

		$91,457,000	. . . . .	2024
		$~~94,906,000~~ 93,684,000	. . . . .	2025

(b) The 2024 appropriation includes $9,047,000 for 2023 and $82,410,000 for 2024.

Sec. 10. Laws 2023, chapter 55, article 2, section 64, subdivision 21, as amended by Laws 2024, chapter 81, section 10, is amended to read:

Subd. 21. Interdistrict desegregation or integration transportation grants. For interdistrict desegregation or integration transportation grants under Minnesota Statutes, section 124D.87:

		$14,828,000	. . . . .	2024
		$~~16,413,000~~ 14,799,000	. . . . .	2025

Sec. 11. Laws 2023, chapter 55, article 2, section 64, subdivision 23, as amended by Laws 2024, chapter 81, section 11, is amended to read:

Subd. 23. Literacy incentive aid. (a) For literacy incentive aid under Minnesota Statutes, section 124D.98:

		$41,071,000	. . . . .	2024
		$~~41,588,000~~ 40,570,000	. . . . .	2025

(b) The 2024 appropriation includes $4,606,000 for 2023 and $36,465,000 for 2024.

Sec. 12. Laws 2023, chapter 55, article 2, section 64, subdivision 34, is amended to read:

Subd. 34. Paraprofessional training. (a) For compensation associated with paid orientation and professional development for paraprofessionals under Minnesota Statutes, section 121A.642:

		$0	. . . . .	2024
		$~~7,230,000~~ 1,997,000	. . . . .	2025

(b) The 2025 appropriation includes $0 for 2024 and ~~$7,230,000~~ $1,997,000 for 2025.

Sec. 13. Laws 2023, chapter 55, article 4, section 21, subdivision 2, as amended by Laws 2024, chapter 81, section 12, is amended to read:

Subd. 2. American Indian education aid. (a) For American Indian education aid under Minnesota Statutes, section 124D.81, subdivision 2a:

		$18,131,000	. . . . .	2024
		$~~19,672,000~~ 19,649,000	. . . . .	2025

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(b) The 2024 appropriation includes $1,159,000 for 2023 and $16,972,000 for 2024.

Sec. 14. Laws 2023, chapter 55, article 4, section 21, subdivision 5, as amended by Laws 2024, chapter 81, section 13, is amended to read:

Subd. 5. Tribal contract school aid. (a) For Tribal contract school aid under Minnesota Statutes, section 124D.83:

		$1,673,000	. . . . .	2024
		$~~2,131,000~~ 2,153,000	. . . . .	2025

(b) The 2024 appropriation includes $255,000 for 2023 and $1,418,000 for 2024.

C. TEACHERS

Sec. 15. Laws 2023, chapter 55, article 5, section 64, subdivision 3, as amended by Laws 2024, chapter 81, section 14, and Laws 2024, chapter 115, article 5, section 11, is amended to read:

Subd. 3. Alternative teacher compensation aid. (a) For alternative teacher compensation aid under Minnesota Statutes, section 122A.415, subdivision 4:

		$88,706,000	. . . . .	2024
		$~~89,012,000~~ 88,206,000	. . . . .	2025

(b) The 2024 appropriation includes $8,824,000 for fiscal year 2023 and $79,882,000 for fiscal year 2024.

(c) The 2025 appropriation includes $8,875,000 for fiscal year 2024 and ~~$80,137,000~~ $79,331,000 for fiscal year 2025.

Sec. 16. Laws 2023, chapter 55, article 5, section 64, subdivision 14, as amended by Laws 2024, chapter 81, section 15, is amended to read:

Subd. 14. Student support personnel aid. (a) For aid to support schools in addressing students' social, emotional, and physical health under Minnesota Statutes, section 124D.901:

		$30,255,000	. . . . .	2024
		$~~36,498,000~~ 36,259,000	. . . . .	2025

(b) The 2024 appropriation includes $0 for fiscal year 2023 and $30,255,000 for fiscal year 2024.

(c) The 2025 appropriation includes $3,361,000 for fiscal year 2024 and ~~$33,137,000~~ $32,898,000 for fiscal year 2025.

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D. SPECIAL EDUCATION

Sec. 17. Laws 2023, chapter 55, article 7, section 18, subdivision 2, as amended by Laws 2024, chapter 81, section 16, is amended to read:

Subd. 2. Aid for children with disabilities. (a) For aid under Minnesota Statutes, section 125A.75, subdivision 3, for children with disabilities placed in residential facilities within the district boundaries for whom no district of residence can be determined:

		$1,597,000	. . . . .	2024
		$~~1,844,000~~ 1,952,000	. . . . .	2025

(b) If the appropriation for either year is insufficient, the appropriation for the other year is available.

Sec. 18. Laws 2023, chapter 55, article 7, section 18, subdivision 3, as amended by Laws 2024, chapter 81, section 17, is amended to read:

		$39,000	. . . . .	2024
		$~~40,000~~ 0	. . . . .	2025

Sec. 19. Laws 2023, chapter 55, article 7, section 18, subdivision 4, as amended by Laws 2024, chapter 81, section 18, and Laws 2024, chapter 115, article 7, section 4, is amended to read:

Subd. 4. Special education; regular. (a) For special education aid under Minnesota Statutes, section 125A.75:

		$2,288,826,000	. . . . .	2024
		$~~2,486,181,000~~ 2,582,007,000	. . . . .	2025

(b) The 2024 appropriation includes $229,860,000 for 2023 and $2,058,966,000 for 2024.

Sec. 20. Laws 2023, chapter 55, article 7, section 18, subdivision 6, as amended by Laws 2024, chapter 81, section 19, is amended to read:

Subd. 6. Special education separate sites and programs. (a) For aid for special education separate sites and programs under Minnesota Statutes, section 125A.81, subdivision 4:

		$3,880,000	. . . . .	2024
		$~~4,505,000~~ 4,282,000	. . . . .	2025

(b) The 2024 appropriation includes $0 for 2023 and $3,880,000 for 2024.

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Sec. 21. Laws 2023, chapter 55, article 7, section 18, subdivision 7, as amended by Laws 2024, chapter 81, section 20, is amended to read:

Subd. 7. Travel for home-based services. (a) For aid for teacher travel for home-based services under Minnesota Statutes, section 125A.75, subdivision 1:

		$425,000	. . . . .	2024
		$~~475,000~~ 440,000	. . . . .	2025

(b) The 2024 appropriation includes $32,000 for 2023 and $393,000 for 2024.

E. FACILITIES

Sec. 22. Laws 2023, chapter 55, article 8, section 19, subdivision 6, as amended by Laws 2024, chapter 81, section 22, and Laws 2024, chapter 115, article 8, section 5, is amended to read:

Subd. 6. Long-term facilities maintenance equalized aid. (a) For long-term facilities maintenance equalized aid under Minnesota Statutes, section 123B.595, subdivision 9:

		$107,905,000	. . . . .	2024
		$~~107,865,000~~ 107,262,000	. . . . .	2025

(b) The 2024 appropriation includes $10,821,000 for 2023 and $97,084,000 for 2024.

F. NUTRITION

Sec. 23. Laws 2023, chapter 18, section 4, subdivision 2, as amended by Laws 2023, chapter 55, article 9, section 16, Laws 2024, chapter 81, section 23, and Laws 2024, chapter 115, article 9, section 8, is amended to read:

Subd. 2. School lunch. For school lunch aid under Minnesota Statutes, section 124D.111, including the amounts for the free school meals program:

		$218,801,000	. . . . .	2024
		$~~239,686,000~~ 251,667,000	. . . . .	2025

Sec. 24. Laws 2023, chapter 18, section 4, subdivision 3, as amended by Laws 2023, chapter 55, article 9, section 17, Laws 2024, chapter 81, section 24, and Laws 2024, chapter 115, article 9, section 9, is amended to read:

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

		$44,178,000	. . . . .	2024
		$~~48,747,000~~ 54,835,000	. . . . .	2025

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Sec. 25. Laws 2023, chapter 55, article 9, section 18, subdivision 4, as amended by Laws 2024, chapter 81, section 25, is amended to read:

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

		$428,000	. . . . .	2024
		$~~428,000~~ 387,000	. . . . .	2025

Sec. 26. Laws 2023, chapter 55, article 9, section 18, subdivision 8, as amended by Laws 2024, chapter 81, section 26, is amended to read:

Subd. 8. School library aid. (a) For school library aid under Minnesota Statutes, section ~~134.356~~ 124D.992:

		$21,586,000	. . . . .	2024
		$~~23,903,000~~ 23,791,000	. . . . .	2025

(b) The 2024 appropriation includes $0 for 2023 and $21,586,000 for 2024.

G. EARLY EDUCATION

Sec. 27. Laws 2023, chapter 54, section 20, subdivision 7, as amended by Laws 2024, chapter 81, section 27, is amended to read:

Subd. 7. Early childhood family education aid. (a) For early childhood family education aid under Minnesota Statutes, section ~~124D.135~~ 142D.11:

		$37,209,000	. . . . .	2024
		$~~38,985,000~~ 37,874,000	. . . . .	2025

(b) The 2024 appropriation includes $3,518,000 for 2023 and $33,691,000 for 2024.

Sec. 28. Laws 2023, chapter 54, section 20, subdivision 9, as amended by Laws 2024, chapter 81, section 28, is amended to read:

Subd. 9. Developmental screening aid. (a) For developmental screening aid under Minnesota Statutes, sections ~~121A.17~~ 142D.091 and ~~121A.19~~ 142D.093:

		$4,148,000	. . . . .	2024
		$~~4,151,000~~ 4,156,000	. . . . .	2025

(b) The 2024 appropriation includes $349,000 for 2023 and $3,799,000 for 2024.

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Sec. 29. Laws 2023, chapter 54, section 20, subdivision 17, as amended by Laws 2024, chapter 81, section 29, is amended to read:

Subd. 17. Home visiting aid. (a) For home visiting aid under Minnesota Statutes, section ~~124D.135~~ 142D.11:

		$382,000	. . . . .	2024
		$~~300,000~~ 290,000	. . . . .	2025

(b) The 2024 appropriation includes $41,000 for 2023 and $341,000 for 2024.

H. COMMUNITY EDUCATION AND LIFELONG LEARNING

Sec. 30. Laws 2023, chapter 55, article 11, section 11, subdivision 2, as amended by Laws 2024, chapter 81, section 30, is amended to read:

Subd. 2. Adult basic education aid. (a) For adult basic education aid under Minnesota Statutes, section 124D.531:

		$52,566,000	. . . . .	2024
		$~~53,684,000~~ 53,880,000	. . . . .	2025

(b) The 2024 appropriation includes $5,179,000 for 2023 and $47,387,000 for 2024.

Sec. 31. Laws 2023, chapter 55, article 11, section 11, subdivision 3, as amended by Laws 2024, chapter 81, section 31, is amended to read:

Subd. 3. Adults with disabilities program aid. (a) For adults with disabilities programs under Minnesota Statutes, section 124D.56:

		$710,000	. . . . .	2024
		$~~1,520,000~~ 1,433,000	. . . . .	2025

(b) The 2024 appropriation includes $71,000 for 2023 and $639,000 for 2024.

Sec. 32. Laws 2023, chapter 55, article 11, section 11, subdivision 10, as amended by Laws 2024, chapter 81, section 33, is amended to read:

Subd. 10. School-age care aid. (a) For school-age care aid under Minnesota Statutes, section 124D.22:

		$0	. . . . .	2024
		$~~1,000~~ 0	. . . . .	2025

(b) The 2024 appropriation includes $0 for 2023 and $0 for 2024.

Sec. 33. EFFECTIVE DATE.

Sections 1 to 32 are effective the day following final enactment."

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Delete the title and insert:

"A bill for an act relating to education finance; modifying provisions for prekindergarten through grade 12 education; providing funding for general education, education excellence, teachers, American Indian education, special education, facilities, school nutrition, libraries, early childhood education, community education and lifelong learning, state agencies, and the Read Act; making forecast adjustments; requiring reports; appropriating money; amending Minnesota Statutes 2024, sections 120B.118; 120B.119, subdivisions 2a, 4, 10, 15, by adding a subdivision; 120B.12, subdivisions 2, 3, 4, 4a, by adding a subdivision; 120B.123, subdivisions 1, 5, 7, by adding a subdivision; 120B.124, subdivisions 1, 5, 6, by adding a subdivision; 122A.091, subdivision 1; 122A.092, subdivision 5; 122A.185, subdivision 1; 122A.63, subdivision 9; 123A.485, subdivision 2; 123B.595, subdivisions 1, 4, 8, 10; 123B.71, subdivision 8; 123B.92, subdivision 1; 124D.111, subdivision 3; 124D.119, subdivision 1; 124D.42, subdivisions 8, 9; 124D.901; 124E.20, subdivision 1; 125A.76, subdivision 2a; 126C.10, subdivisions 1, 2e; 126C.13, subdivision 4; 126C.15, subdivision 2; 126C.17, subdivisions 7a, 7b; 126C.40, subdivision 1, by adding a subdivision; 126C.43, subdivision 2; 126C.45; 127A.47, subdivision 7; 268.085, subdivision 7, by adding subdivisions; Laws 2023, chapter 18, section 4, subdivisions 2, as amended, 3, as amended; Laws 2023, chapter 54, section 20, subdivisions 7, as amended, 9, as amended, 17, as amended; Laws 2023, chapter 55, article 1, section 36, subdivisions 2, as amended, 3, as amended, 4, as amended, 5, as amended, 6, as amended, 7, as amended, 9, as amended, 12; article 2, section 64, subdivisions 2, as amended, 6, as amended, 16, as amended, 21, as amended, 23, as amended, 34; article 3, section 11, subdivision 2; article 4, section 21, subdivisions 2, as amended, 5, as amended; article 5, section 64, subdivisions 3, as amended, 14, as amended; article 7, section 18, subdivisions 2, as amended, 3, as amended, 4, as amended, 6, as amended, 7, as amended; article 8, section 19, subdivision 6, as amended; article 9, section 18, subdivisions 4, as amended, 8, as amended; article 11, section 11, subdivisions 2, as amended, 3, as amended, 10, as amended; Laws 2024, chapter 109, article 4, section 19; Laws 2024, chapter 115, article 3, section 8, subdivision 5; proposing coding for new law in Minnesota Statutes, chapter 127A; repealing Minnesota Statutes 2024, section 124D.992."

With the recommendation that when so amended the bill be placed on the General Register.

The report was adopted.

SECOND READING OF HOUSE BILLS

H. F. No. 2433 was read for the second time.

INTRODUCTION AND FIRST READING OF HOUSE BILLS

The following House Files were introduced:

Roach and Engen introduced:

H. F. No. 3271, A bill for an act relating to consumer protection; prohibiting the sale of foods containing FD&C Yellow No. 5 or 6 to schools; proposing coding for new law in Minnesota Statutes, chapter 325F.

The bill was read for the first time and referred to the Committee on Commerce Finance and Policy.

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Nadeau introduced:

H. F. No. 3272, A bill for an act relating to economic development; appropriating money for a grant to HealthcareMN.

The bill was read for the first time and referred to the Committee on Workforce, Labor, and Economic Development Finance and Policy.

Mahamoud, Clardy and Agbaje introduced:

H. F. No. 3273, A bill for an act relating to health; expanding maternal death studies conducted by the commissioner of health to include maternal morbidity; amending Minnesota Statutes 2024, section 145.901.

The bill was read for the first time and referred to the Committee on Health Finance and Policy.

Clardy introduced:

H. F. No. 3274, A bill for an act relating to transportation; establishing Donate Life special plates; appropriating money; proposing coding for new law in Minnesota Statutes, chapter 168.

The bill was read for the first time and referred to the Committee on Transportation Finance and Policy.

Rehm introduced:

H. F. No. 3275, A bill for an act relating to transportation; modifying the programming and administration duties of the Advisory Council on Traffic Safety; amending Minnesota Statutes 2024, section 4.076, subdivisions 4, 5; Laws 2023, chapter 68, article 1, section 4, subdivision 5.

The bill was read for the first time and referred to the Committee on Transportation Finance and Policy.

Hudson introduced:

H. F. No. 3276, A bill for an act relating to public safety; providing for an annual grant to the Minnesota Federated Humane Societies; requiring reports; appropriating money.

The bill was read for the first time and referred to the Committee on Public Safety Finance and Policy.

Torkelson and Davids introduced:

H. F. No. 3277, A bill for an act relating to taxation; property; providing market value exclusions for certain railroad property; modifying calculation of net present value of anticipated future income for state-assessed property; amending Minnesota Statutes 2024, sections 270.84, by adding a subdivision; 273.11, by adding subdivisions.

The bill was read for the first time and referred to the Committee on Taxes.

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Lillie and O'Driscoll introduced:

H. F. No. 3278, A bill for an act relating to retirement; firefighter relief associations; repealing the investment business recipient disclosure annual reporting requirement; repealing Minnesota Statutes 2024, section 356A.06, subdivision 5.

The bill was read for the first time and referred to the Committee on State Government Finance and Policy.

MESSAGES FROM THE SENATE

The following message was received from the Senate:

Madam Speaker:

I hereby announce the passage by the Senate of the following Senate Files, herewith transmitted:

S. F. Nos. 1832 and 2077.

Thomas S. Bottern, Secretary of the Senate

FIRST READING OF SENATE BILLS

S. F. No. 1832, A bill for an act relating to state government; establishing a biennial budget for jobs, labor, and economic development; appropriating money for the Department of Employment and Economic Development, Department of Labor and Industry, Bureau of Mediation Services, and Workers' Compensation Court of Appeals; modifying economic development provisions; modifying Explore Minnesota provisions; making labor policy changes; modifying provisions governing the certification of underground telecommunications installers; canceling prior appropriations; creating accounts; requiring reports; amending Minnesota Statutes 2024, sections 116J.431, subdivision 2; 116J.659, subdivisions 4, 5; 116J.8733, subdivision 4; 116J.8752, subdivision 2; 116L.04, subdivisions 1, 1a; 116L.05, subdivision 5; 116L.98, subdivision 2; 116M.18, subdivision 3; 116U.05; 116U.06; 116U.15; 116U.30; 116U.35; 177.253, subdivision 1, by adding a subdivision; 177.254, subdivisions 1, 2, by adding a subdivision; 177.27, subdivision 5; 248.07, subdivisions 7, 8; 268.085, subdivision 15; 268.184, subdivision 1; 326B.103, by adding subdivisions; 326B.184, subdivisions 1a, 2; 326B.198, subdivisions 2, 3; 326B.31, subdivision 29; 326B.33, subdivision 21; 326B.37, subdivisions 1, 2, 4, 5, 6, 8, 9, by adding a subdivision; 326B.49, subdivisions 2, 3; 326B.986, subdivision 9; 327.31, by adding a subdivision; 327.32, subdivisions 1a, 1e, 7; 327.33, subdivisions 1, 2, 2a, 2b, 2c, by adding subdivisions; 327B.01, subdivisions 1, 7, 19, by adding subdivisions; 327B.04, subdivisions 3, 4, 6, 7a; 327B.041; 327B.05, subdivision 1; 469.54, subdivision 4; Laws 2023, chapter 53, article 15, section 33, subdivision 4, as amended; article 18, sections 2, subdivisions 1, 4; 3, subdivisions 1, 4, 5; article 20, section 2, subdivision 2, as amended; article 21, section 7, as amended; Laws 2024, chapter 127, article 14, section 3; proposing coding for new law in Minnesota Statutes, chapters 116J; 326B; repealing Laws 2024, chapter 120, article 1, section 13.

The bill was read for the first time and referred to the Committee on Ways and Means.

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S. F. No. 2077, A bill for an act relating to state government; appropriating money for environment and natural resources; appropriating money from environment and natural resources trust fund; modifying prior appropriations; modifying fees and surcharges; modifying disposition of certain funds; modifying and establishing duties, authorities, and prohibitions regarding environment and natural resources; modifying and creating environment and natural resources programs; modifying and creating grant programs; providing civil and criminal penalties; authorizing rulemaking; modifying state trail, state forest, and state park provisions; authorizing sales, conveyances, and leases of certain state lands; modifying forestry provisions; modifying game and fish provisions; making technical changes; requiring reports; amending Minnesota Statutes 2024, sections 84.027, by adding a subdivision; 86B.415, subdivision 7; 97A.223, subdivision 1; 97A.421, by adding a subdivision; 97A.465, by adding a subdivision; 97A.475, subdivisions 2, 6; 103G.271, subdivision 6; 103G.301, subdivision 2; 115B.421; 116.07, by adding a subdivision; 116.073, subdivisions 1, 2; Laws 2023, chapter 60, article 1, sections 2, subdivisions 2, 7, 10; 3, subdivision 6; Laws 2024, chapter 83, section 2, subdivisions 3, 8; proposing coding for new law in Minnesota Statutes, chapters 84; 86B; 325F.

The bill was read for the first time and referred to the Committee on Ways and Means.

Niska moved that the House recess subject to the call of the Chair. The motion prevailed.

RECESS

RECONVENED

The House reconvened and was called to order by Speaker pro tempore Olson.

CALENDAR FOR THE DAY

H. F. No. 1982, A bill for an act relating to education; eliminating deadlines for active transportation safety training; repealing Minnesota Statutes 2024, section 123B.935, subdivision 2.

The bill was read for the third time and placed upon its final passage.

The question was taken on the passage of the bill and the roll was called. There were 133 yeas and 0 nays as follows:

Those who voted in the affirmative were: