1.1                          A bill for an act 
  1.2             relating to education; removing pupil transportation 
  1.3             requirements for school districts; allowing pupil 
  1.4             transportation fees; amending Minnesota Statutes 2000, 
  1.5             sections 123B.36, subdivision 1, and by adding a 
  1.6             subdivision; 123B.37, subdivision 1; 123B.86, 
  1.7             subdivisions 1, 2, and 3; 123B.88, subdivisions 1, 6, 
  1.8             and 12; 123B.92; 124D.03, subdivision 8; 124D.10, 
  1.9             subdivision 16; 124D.11, subdivision 2; 126C.10, 
  1.10            subdivisions 18 and 19; repealing Minnesota Statutes 
  1.11            2000, sections 123B.84; 123B.88, subdivisions 2, 11, 
  1.12            13, 18, 20, 21, and 22; 123B.92, subdivision 9; and 
  1.13            123B.93. 
  1.14  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.15     Section 1.  Minnesota Statutes 2000, section 123B.36, 
  1.16  subdivision 1, is amended to read: 
  1.17     Subdivision 1.  [SCHOOL BOARDS MAY REQUIRE FEES.] (a) For 
  1.18  purposes of this subdivision, "home school" means a home school 
  1.19  as defined in sections 120A.22 and 120A.24 with five or fewer 
  1.20  students receiving instruction.  
  1.21     (b) A school board is authorized to require payment of fees 
  1.22  in the following areas: 
  1.23     (1) in any program where the resultant product, in excess 
  1.24  of minimum requirements and at the pupil's option, becomes the 
  1.25  personal property of the pupil; 
  1.26     (2) admission fees or charges for extra curricular 
  1.27  activities, where attendance is optional and where the admission 
  1.28  fees or charges a student must pay to attend or participate in 
  1.29  an extracurricular activity is the same for all students, 
  2.1   regardless of whether the student is enrolled in a public or a 
  2.2   home school; 
  2.3      (3) a security deposit for the return of materials, 
  2.4   supplies, or equipment; 
  2.5      (4) personal physical education and athletic equipment and 
  2.6   apparel, although any pupil may personally provide it if it 
  2.7   meets reasonable requirements and standards relating to health 
  2.8   and safety established by the board; 
  2.9      (5) items of personal use or products that a student has an 
  2.10  option to purchase such as student publications, class rings, 
  2.11  annuals, and graduation announcements; 
  2.12     (6) fees specifically permitted by any other statute, 
  2.13  including but not limited to section 171.05, subdivision 2; 
  2.14  provided (i) driver education fees do not exceed the actual cost 
  2.15  to the school and school district of providing driver education, 
  2.16  and (ii) the driver education courses are open to enrollment to 
  2.17  persons between the ages of 15 and 18 who reside or attend 
  2.18  school in the school district; 
  2.19     (7) field trips considered supplementary to a district 
  2.20  educational program; 
  2.21     (8) any authorized voluntary student health and accident 
  2.22  benefit plan; 
  2.23     (9) for the use of musical instruments owned or rented by 
  2.24  the district, a reasonable rental fee not to exceed either the 
  2.25  rental cost to the district or the annual depreciation plus the 
  2.26  actual annual maintenance cost for each instrument; 
  2.27     (10) transportation of pupils to and from extra curricular 
  2.28  activities conducted at locations other than school, where 
  2.29  attendance is optional; 
  2.30     (11) transportation of pupils to and from school for which 
  2.31  aid for fiscal year 1996 is not authorized under Minnesota 
  2.32  Statutes 1994, section 124.223, subdivision 1, and for which 
  2.33  levy for fiscal year 1996 is not authorized under Minnesota 
  2.34  Statutes 1994, section 124.226, subdivision 5, if a district 
  2.35  charging fees for transportation of pupils establishes 
  2.36  guidelines for that transportation to ensure that no pupil is 
  3.1   denied transportation solely because of inability to pay; 
  3.2      (12) motorcycle classroom education courses conducted 
  3.3   outside of regular school hours; provided the charge must not 
  3.4   exceed the actual cost of these courses to the school district; 
  3.5      (13) transportation to and from post-secondary institutions 
  3.6   for pupils enrolled under the post-secondary enrollment options 
  3.7   program under section 123B.88, subdivision 22.  Fees collected 
  3.8   for this service must be reasonable and must be used to reduce 
  3.9   the cost of operating the route.  Families who qualify for 
  3.10  mileage reimbursement under section 124D.09, subdivision 22, may 
  3.11  use their state mileage reimbursement to pay this fee.  If no 
  3.12  fee is charged, districts must allocate costs based on the 
  3.13  number of pupils riding the route. 
  3.14     <b>[EFFECTIVE DATE.]</b> This section is effective July 1, 2001. 
  3.15     Sec. 2.  Minnesota Statutes 2000, section 123B.36, is 
  3.16  amended by adding a subdivision to read: 
  3.17     Subd. 1a.  [TRANSPORTATION FEES.] (a) A school board may 
  3.18  require the parents and guardians of all or some of the pupils 
  3.19  transported to pay a portion of the cost of regular 
  3.20  transportation of pupils to and from school in an amount 
  3.21  determined by the board.  The amount determined by the board 
  3.22  shall be no greater than the statewide average cost of regular 
  3.23  transportation to a pupil on a district-owned or operated 
  3.24  transportation system as determined by the commissioner.  Any 
  3.25  transportation fees required by the board must be applied 
  3.26  equally to students attending public schools or nonpublic 
  3.27  schools.  The board may not require fees for pupils that are 
  3.28  eligible for free or reduced priced lunch or for pupils that are 
  3.29  receiving special education instruction. 
  3.30     (b) The amount of fees collected in paragraph (a) may not 
  3.31  exceed the district total regular transportation expenditures 
  3.32  under section 123B.92, subdivision 1, paragraph (a), minus the 
  3.33  sum of the district's transportation sparsity revenue under 
  3.34  section 126C.10, subdivision 18, and transportation transition 
  3.35  revenue under section 126C.10, subdivision 19, paragraph (a), 
  3.36  for the school year in which the fees are collected.  If excess 
  4.1   fees are collected due to errors in estimated costs, fees shall 
  4.2   be reduced in succeeding years. 
  4.3      (c) A school board may require fees for the transportation 
  4.4   of pupils to and from extra-curricular activities conducted at 
  4.5   locations other than school or for participants in early 
  4.6   childhood family education programs. 
  4.7      (d) A school board may require fees for transportation to 
  4.8   and from post-secondary institutions for pupils enrolled under 
  4.9   the post-secondary enrollment options program under section 
  4.10  123B.88, subdivision 22.  Fees collected for this service must 
  4.11  be reasonable and must be used to reduce the cost of operating 
  4.12  the route.  Families who qualify for mileage reimbursement under 
  4.13  section 124D.09, subdivision 22, may use their state mileage 
  4.14  reimbursement to pay this fee.  If no fee is charged, districts 
  4.15  must allocate costs based on the number of pupils riding the 
  4.16  route. 
  4.17     (e) Nothing in this subdivision shall be construed to 
  4.18  sanction, perpetuate, or promote the racial or ethnic 
  4.19  segregation of pupils in the schools. 
  4.20     <b>[EFFECTIVE DATE.]</b> This section is effective July 1, 2001. 
  4.21     Sec. 3.  Minnesota Statutes 2000, section 123B.37, 
  4.22  subdivision 1, is amended to read: 
  4.23     Subdivision 1.  [BOARDS SHALL NOT CHARGE CERTAIN FEES.] (a) 
  4.24  A board is not authorized to charge fees in the following areas: 
  4.25     (1) textbooks, workbooks, art materials, laboratory 
  4.26  supplies, towels; 
  4.27     (2) supplies necessary for participation in any 
  4.28  instructional course except as authorized in sections 123B.36 
  4.29  and 123B.38; 
  4.30     (3) field trips that are required as a part of a basic 
  4.31  education program or course; 
  4.32     (4) graduation caps, gowns, any specific form of dress 
  4.33  necessary for any educational program, and diplomas; 
  4.34     (5) instructional costs for necessary school personnel 
  4.35  employed in any course or educational program required for 
  4.36  graduation; 
  5.1      (6) library books required to be utilized for any 
  5.2   educational course or program; 
  5.3      (7) admission fees, dues, or fees for any activity the 
  5.4   pupil is required to attend; 
  5.5      (8) any admission or examination cost for any required 
  5.6   educational course or program; 
  5.7      (9) locker rentals; 
  5.8      (10) transportation of pupils (i) for which state 
  5.9   transportation aid for fiscal year 1996 is authorized pursuant 
  5.10  to Minnesota Statutes 1994, section 124.223, or (ii) for which a 
  5.11  levy for fiscal year 1996 is authorized under Minnesota Statutes 
  5.12  1994, section 124.226, subdivision 5. 
  5.13     (b) Notwithstanding paragraph (a), clauses (1) and (6), a 
  5.14  board may charge fees for textbooks, workbooks, and library 
  5.15  books, lost or destroyed by students.  The board must annually 
  5.16  notify parents or guardians and students about its policy to 
  5.17  charge a fee under this paragraph. 
  5.18     <b>[EFFECTIVE DATE.]</b> This section is effective July 1, 2001. 
  5.19     Sec. 4.  Minnesota Statutes 2000, section 123B.86, 
  5.20  subdivision 1, is amended to read: 
  5.21     Subdivision 1.  [GENERAL PROVISIONS.] A district shall 
  5.22  provide equal transportation within the district for all school 
  5.23  children to any school when transportation is deemed necessary 
  5.24  by the school board because of distance or traffic condition in 
  5.25  like manner and form as provided in sections 123B.88 and 
  5.26  123B.92, when applicable. 
  5.27     <b>[EFFECTIVE DATE.]</b> This section is effective July 1, 2001. 
  5.28     Sec. 5.  Minnesota Statutes 2000, section 123B.86, 
  5.29  subdivision 2, is amended to read: 
  5.30     Subd. 2.  [NONPUBLIC SCHOOL STUDENTS.] (a) The board of any 
  5.31  local district must may provide school bus transportation to the 
  5.32  district boundary for school children residing in the district 
  5.33  at least the same distance from and attending a nonpublic school 
  5.34  actually attended in another district as public school pupils 
  5.35  are transported in the transporting district.  Such 
  5.36  transportation must be provided whether or not there is another 
  6.1   nonpublic school within the transporting district, if the 
  6.2   transportation is to schools maintaining grades or departments 
  6.3   not maintained in the district or if the attendance of such 
  6.4   children at school can more safely, economically, or 
  6.5   conveniently be provided for by such means.  
  6.6      (b) The school board of any local district may provide 
  6.7   school bus transportation to a nonpublic school in another 
  6.8   district for school children residing in the district and 
  6.9   attending that school, whether or not there is another nonpublic 
  6.10  school within the transporting district, if the transportation 
  6.11  is to schools maintaining grades or departments not maintained 
  6.12  in the district or if the attendance of such children at school 
  6.13  can more safely, economically, or conveniently be provided for 
  6.14  by such means.  If the board transports children to a nonpublic 
  6.15  school located in another district, the nonpublic school must 
  6.16  pay the cost of such transportation provided outside the 
  6.17  district boundaries. 
  6.18     <b>[EFFECTIVE DATE.]</b> This section is effective July 1, 2001. 
  6.19     Sec. 6.  Minnesota Statutes 2000, section 123B.86, 
  6.20  subdivision 3, is amended to read: 
  6.21     Subd. 3.  [BOARD CONTROL.] When transportation is provided, 
  6.22  the determination of fees, the scheduling of routes, manner and 
  6.23  method of transportation, control and discipline of school 
  6.24  children and any other matter relating thereto shall be within 
  6.25  the sole discretion, control and management of the board. 
  6.26     <b>[EFFECTIVE DATE.]</b> This section is effective July 1, 2001. 
  6.27     Sec. 7.  Minnesota Statutes 2000, section 123B.88, 
  6.28  subdivision 1, is amended to read: 
  6.29     Subdivision 1.  [PROVIDING TRANSPORTATION.] The board may 
  6.30  provide for the transportation of pupils to and from school and 
  6.31  for any other purpose.  The board may also provide for the 
  6.32  transportation of pupils to schools in other districts for 
  6.33  grades and departments not maintained in the district, including 
  6.34  high school, at the expense of the district, when funds are 
  6.35  available therefor and if agreeable to the district to which it 
  6.36  is proposed to transport the pupils, for the whole or a part of 
  7.1   the school year, as it may deem advisable, and subject to its 
  7.2   rules.  In any district, the board must arrange for the 
  7.3   attendance of all pupils living two miles or more from the 
  7.4   school, except pupils whose transportation privileges have been 
  7.5   voluntarily surrendered under subdivision 2, or whose privileges 
  7.6   have been revoked under section 123B.91, subdivision 1, clause 
  7.7   (6), or 123B.90, subdivision 2.  The district may provide for 
  7.8   the transportation of or the boarding and rooming of the pupils 
  7.9   who may be more economically and conveniently provided for by 
  7.10  that means.  Arrangements for attendance may include a 
  7.11  requirement that parents or guardians request transportation 
  7.12  before it is provided.  The board must provide transportation to 
  7.13  and from the home of a child with a disability not yet enrolled 
  7.14  in kindergarten when special instruction and services under 
  7.15  sections 125A.03 to 125A.24, 125A.26 to 125A.48, and 125A.65 are 
  7.16  provided in a location other than in the child's home.  When 
  7.17  transportation is provided, the determination of fees under 
  7.18  section 123B.36, subdivision 1a, scheduling of routes, 
  7.19  establishment of the location of bus stops, manner and method of 
  7.20  transportation, control and discipline of school children and 
  7.21  any other matter relating thereto must be within the sole 
  7.22  discretion, control, and management of the board.  The district 
  7.23  may provide for the transportation of pupils or expend a 
  7.24  reasonable amount for room and board of pupils whose attendance 
  7.25  at school can more economically and conveniently be provided for 
  7.26  by that means or who attend school in a building rented or 
  7.27  leased by a district within the confines of an adjacent district.
  7.28     <b>[EFFECTIVE DATE.]</b> This section is effective July 1, 2001. 
  7.29     Sec. 8.  Minnesota Statutes 2000, section 123B.88, 
  7.30  subdivision 6, is amended to read: 
  7.31     Subd. 6.  [NONRESIDENT PUPIL DEFINED.] For the purposes of 
  7.32  this subdivision, a "nonresident pupil" is a pupil who resides 
  7.33  in one district, defined as the "resident district" and attends 
  7.34  school in another district, defined as the "nonresident 
  7.35  district." 
  7.36     If requested, a nonresident district shall may transport a 
  8.1   nonresident pupil within its borders and may transport a 
  8.2   nonresident pupil within the pupil's resident district.  If a 
  8.3   nonresident district decides to transport a nonresident pupil 
  8.4   within the pupil's resident district, the nonresident district 
  8.5   must notify the pupil's resident district of its decision, in 
  8.6   writing, prior to providing transportation. 
  8.7      <b>[EFFECTIVE DATE.]</b> This section is effective July 1, 2001. 
  8.8      Sec. 9.  Minnesota Statutes 2000, section 123B.88, 
  8.9   subdivision 12, is amended to read: 
  8.10     Subd. 12.  [EARLY CHILDHOOD FAMILY EDUCATION PARTICIPANTS.] 
  8.11  Districts may provide bus transportation along regular school 
  8.12  bus routes when space is available for participants in early 
  8.13  childhood family education programs and school readiness 
  8.14  programs if these services do not result in an increase in the 
  8.15  district's expenditures for transportation.  The costs allocated 
  8.16  to these services, as determined by generally accepted 
  8.17  accounting principles, shall be considered part of the 
  8.18  authorized cost for regular transportation for the purposes of 
  8.19  section 123B.92.  
  8.20     <b>[EFFECTIVE DATE.]</b> This section is effective July 1, 2001. 
  8.21     Sec. 10.  Minnesota Statutes 2000, section 123B.92, is 
  8.22  amended to read: 
  8.23     123B.92 [TRANSPORTATION AID ENTITLEMENT EXPENDITURES.] 
  8.24     Subdivision 1.  [DEFINITIONS.] For purposes of this section 
  8.25  and section 125A.76, the terms defined in this subdivision have 
  8.26  the meanings given to them. 
  8.27     (a) "Actual expenditure per pupil transported in the 
  8.28  regular and excess transportation categories" means the quotient 
  8.29  obtained by dividing: 
  8.30     (1) the sum of: 
  8.31     (i) all expenditures for transportation in the regular 
  8.32  category, as defined in paragraph (b), clause (1), and the 
  8.33  excess category, as defined in paragraph (b), clause (2), plus 
  8.34     (ii) an amount equal to one year's depreciation on the 
  8.35  district's school bus fleet and mobile units computed on a 
  8.36  straight line basis at the rate of 15 percent per year for 
  9.1   districts operating a program under section 124D.128 for grades 
  9.2   1 to 12 for all students in the district and 12-1/2 percent per 
  9.3   year for other districts of the cost of the fleet, plus 
  9.4      (iii) an amount equal to one year's depreciation on the 
  9.5   district's type three school buses, as defined in section 
  9.6   169.01, subdivision 6, clause (5), which must be used a majority 
  9.7   of the time for pupil transportation purposes, computed on a 
  9.8   straight line basis at the rate of 20 percent per year of the 
  9.9   cost of the type three school buses by: 
  9.10     (2) the number of pupils eligible for transportation in the 
  9.11  regular category, as defined in paragraph (b), clause (1), and 
  9.12  the excess category, as defined in paragraph (b), clause (2).  
  9.13     (b) "Transportation category" means a category of 
  9.14  transportation service provided to pupils as follows:  
  9.15     (1) Regular transportation is:  
  9.16     (i) transportation to and from school during the regular 
  9.17  school year for resident elementary pupils residing one mile or 
  9.18  more from the public or nonpublic school they attend, and 
  9.19  resident secondary pupils residing two miles or more from the 
  9.20  public or nonpublic school they attend, excluding desegregation 
  9.21  transportation and noon kindergarten transportation; but with 
  9.22  respect to transportation of pupils to and from nonpublic 
  9.23  schools, only to the extent permitted by sections 123B.84 to 
  9.24  123B.87; 
  9.25     (ii) transportation of resident pupils to and from language 
  9.26  immersion programs; 
  9.27     (iii) transportation of a pupil who is a custodial parent 
  9.28  and that pupil's child between the pupil's home and the child 
  9.29  care provider and between the provider and the school, if the 
  9.30  home and provider are within the attendance area of the school; 
  9.31  and 
  9.32     (iv) transportation to and from or board and lodging in 
  9.33  another district, of resident pupils of a district without a 
  9.34  secondary school. 
  9.35     For the purposes of this paragraph, a district may 
  9.36  designate a licensed day care facility, respite care facility, 
 10.1   the residence of a relative, or the residence of a person chosen 
 10.2   by the pupil's parent or guardian as the home of a pupil for 
 10.3   part or all of the day, if requested by the pupil's parent or 
 10.4   guardian, and if that facility or residence is within the 
 10.5   attendance area of the school the pupil attends. 
 10.6      (2) Excess transportation is transportation to and from 
 10.7   school during the regular school year for secondary pupils 
 10.8   residing at least one mile but less than two miles from the 
 10.9   public or nonpublic school they attend, and transportation to 
 10.10  and from school for pupils residing less than one mile from 
 10.11  school who are transported because of extraordinary traffic, 
 10.12  drug, or crime hazards. 
 10.13     (3) Desegregation transportation is transportation within 
 10.14  and outside of the district during the regular school year of 
 10.15  pupils to and from schools located outside their normal 
 10.16  attendance areas under a plan for desegregation mandated by the 
 10.17  commissioner or under court order.  
 10.18     (4) "Transportation services for pupils with disabilities" 
 10.19  is: 
 10.20     (i) transportation of pupils with disabilities who cannot 
 10.21  be transported on a regular school bus between home or a respite 
 10.22  care facility and school; 
 10.23     (ii) necessary transportation of pupils with disabilities 
 10.24  from home or from school to other buildings, including centers 
 10.25  such as developmental achievement centers, hospitals, and 
 10.26  treatment centers where special instruction or services required 
 10.27  by sections 125A.03 to 125A.24, 125A.26 to 125A.48, and 125A.65 
 10.28  are provided, within or outside the district where services are 
 10.29  provided; 
 10.30     (iii) necessary transportation for resident pupils with 
 10.31  disabilities required by sections 125A.12, and 125A.26 to 
 10.32  125A.48; 
 10.33     (iv) board and lodging for pupils with disabilities in a 
 10.34  district maintaining special classes; 
 10.35     (v) transportation from one educational facility to another 
 10.36  within the district for resident pupils enrolled on a 
 11.1   shared-time basis in educational programs, and necessary 
 11.2   transportation required by sections 125A.18, and 125A.26 to 
 11.3   125A.48, for resident pupils with disabilities who are provided 
 11.4   special instruction and services on a shared-time basis; 
 11.5      (vi) transportation for resident pupils with disabilities 
 11.6   to and from board and lodging facilities when the pupil is 
 11.7   boarded and lodged for educational purposes; and 
 11.8      (vii) services described in clauses (i) to (vi), when 
 11.9   provided for pupils with disabilities in conjunction with a 
 11.10  summer instructional program that relates to the pupil's 
 11.11  individual education plan or in conjunction with a learning year 
 11.12  program established under section 124D.128. 
 11.13     (5) "Nonpublic nonregular transportation" is: 
 11.14     (i) transportation from one educational facility to another 
 11.15  within the district for resident pupils enrolled on a 
 11.16  shared-time basis in educational programs, excluding 
 11.17  transportation for nonpublic pupils with disabilities under 
 11.18  clause (4); 
 11.19     (ii) transportation within district boundaries between a 
 11.20  nonpublic school and a public school or a neutral site for 
 11.21  nonpublic school pupils who are provided pupil support services 
 11.22  pursuant to section 123B.44; and 
 11.23     (iii) late transportation home from school or between 
 11.24  schools within a district for nonpublic school pupils involved 
 11.25  in after-school activities. 
 11.26     (c) "Mobile unit" means a vehicle or trailer designed to 
 11.27  provide facilities for educational programs and services, 
 11.28  including diagnostic testing, guidance and counseling services, 
 11.29  and health services.  A mobile unit located off nonpublic school 
 11.30  premises is a neutral site as defined in section 123B.41, 
 11.31  subdivision 13. 
 11.32     Subd. 3.  [ALTERNATIVE ATTENDANCE PROGRAMS.] A district 
 11.33  that enrolls nonresident pupils in programs under sections 
 11.34  124D.03, 124D.06, 124D.07, 124D.08, 123A.05 to 123A.08, and 
 11.35  124D.68, must may provide authorized transportation to the pupil 
 11.36  within the attendance area for the school that the pupil 
 12.1   attends.  The resident district need not provide or pay for 
 12.2   transportation between the pupil's residence and the district's 
 12.3   border. 
 12.4      Subd. 5.  [DISTRICT REPORTS.] Each district must report 
 12.5   data to the department as required by the department to account 
 12.6   for transportation expenditures.  
 12.7      Subd. 9.  [NONPUBLIC PUPIL TRANSPORTATION AID.] (a) A 
 12.8   district's nonpublic pupil transportation aid for the 1996-1997 
 12.9   and later school years for transportation services for nonpublic 
 12.10  school pupils according to sections 123B.88, 123B.84 to 123B.86, 
 12.11  and this section, equals the sum of the amounts computed in 
 12.12  paragraphs (b) and (c).  This aid does not limit the obligation 
 12.13  to transport pupils under sections 123B.84 to 123B.87. 
 12.14     (b) For regular and excess transportation according to 
 12.15  subdivision 1, paragraph (b), clauses (1) and (2), an amount 
 12.16  equal to the product of: 
 12.17     (1) the district's actual expenditure per pupil transported 
 12.18  in the regular and excess transportation categories during the 
 12.19  second preceding school year; times 
 12.20     (2) the number of nonpublic school pupils residing in the 
 12.21  district who receive regular or excess transportation service or 
 12.22  reimbursement for the current school year; times 
 12.23     (3) the ratio of the formula allowance pursuant to section 
 12.24  126C.10, subdivision 2, for the current school year to the 
 12.25  formula allowance pursuant to section 126C.10, subdivision 2, 
 12.26  for the second preceding school year. 
 12.27     (c) For nonpublic nonregular transportation according to 
 12.28  subdivision 1, paragraph (b), clause (5), an amount equal to the 
 12.29  product of: 
 12.30     (1) the district's actual expenditure for nonpublic 
 12.31  nonregular transportation during the second preceding school 
 12.32  year; times 
 12.33     (2) the ratio of the formula allowance pursuant to section 
 12.34  126C.10, subdivision 2, for the current school year to the 
 12.35  formula allowance pursuant to section 126C.10, subdivision 2, 
 12.36  for the second preceding school year. 
 13.1      (d) Notwithstanding the amount of the formula allowance for 
 13.2   fiscal years 2000, 2001, and 2002 in section 126C.10, 
 13.3   subdivision 2, the commissioner shall use the amount of the 
 13.4   formula allowance for the current year plus $87 in determining 
 13.5   the nonpublic pupil transportation revenue in paragraphs (b) and 
 13.6   (c) for fiscal year 2000, and the amount of the formula 
 13.7   allowance less $110 in determining the nonpublic pupil 
 13.8   transportation revenue in paragraphs (b) and (c) for fiscal 
 13.9   years 2001 and 2002. 
 13.10     Sec. 11.  Minnesota Statutes 2000, section 124D.03, 
 13.11  subdivision 8, is amended to read: 
 13.12     Subd. 8.  [TRANSPORTATION.] If requested by the parent of a 
 13.13  pupil, the nonresident district shall may provide transportation 
 13.14  within the district.  
 13.15     The resident district is not required to provide or pay for 
 13.16  transportation between the pupil's residence and the border of 
 13.17  the nonresident district.  A parent may be reimbursed by the 
 13.18  nonresident district for the costs of transportation from the 
 13.19  pupil's residence to the border of the nonresident district if 
 13.20  the pupil is from a family whose income is at or below the 
 13.21  poverty level, as determined by the federal government.  The 
 13.22  reimbursement may not exceed the pupil's actual cost of 
 13.23  transportation or 15 cents per mile traveled, whichever is 
 13.24  less.  Reimbursement may not be paid for more than 250 miles per 
 13.25  week.  
 13.26     At the time a nonresident district notifies a parent or 
 13.27  guardian that an application has been accepted under subdivision 
 13.28  4 or 5, the nonresident district must provide the parent or 
 13.29  guardian with the following information regarding the 
 13.30  transportation of nonresident pupils under section 123B.88, 
 13.31  subdivision 6. 
 13.32     Sec. 12.  Minnesota Statutes 2000, section 124D.10, 
 13.33  subdivision 16, is amended to read: 
 13.34     Subd. 16.  [TRANSPORTATION.] (a) By July 1 of each year, a 
 13.35  charter school must notify the district in which the school is 
 13.36  located and the department of children, families, and learning 
 14.1   if it will provide transportation for pupils enrolled in the 
 14.2   school for the fiscal year. 
 14.3      (b) If A charter school elects to may provide 
 14.4   transportation for pupils, the transportation must be provided 
 14.5   by the charter school within the district in which the charter 
 14.6   school is located.  The state must pay transportation aid to the 
 14.7   charter school according to section 124D.11, subdivision 2. 
 14.8      For pupils who reside outside the district in which the 
 14.9   charter school is located, the charter school is not required to 
 14.10  provide or pay for transportation between the pupil's residence 
 14.11  and the border of the district in which the charter school is 
 14.12  located.  A parent may be reimbursed by the charter school for 
 14.13  costs of transportation from the pupil's residence to the border 
 14.14  of the district in which the charter school is located if the 
 14.15  pupil is from a family whose income is at or below the poverty 
 14.16  level, as determined by the federal government.  The 
 14.17  reimbursement may not exceed the pupil's actual cost of 
 14.18  transportation or 15 cents per mile traveled, whichever is 
 14.19  less.  Reimbursement may not be paid for more than 250 miles per 
 14.20  week.  
 14.21     At the time a pupil enrolls in a charter school, the 
 14.22  charter school must provide the parent or guardian with 
 14.23  information regarding the transportation.  
 14.24     (c) If a charter school does not elect to provide 
 14.25  transportation Upon request by a charter school by July 1 each 
 14.26  year, transportation for pupils enrolled at the school must may 
 14.27  be provided by the district in which the school is located, 
 14.28  according to sections 123B.88, subdivision 6, and 124D.03, 
 14.29  subdivision 8, for a pupil residing in the same district in 
 14.30  which the charter school is located.  Transportation may be 
 14.31  provided by the district in which the school is located, 
 14.32  according to sections 123B.88, subdivision 6, and 124D.03, 
 14.33  subdivision 8, for a pupil residing in a different district.  
 14.34  The charter school shall be responsible for collecting any 
 14.35  transportation fees required by the charter school.  
 14.36     (d) A charter school may require the parents and guardians 
 15.1   of all or some of the pupils transported to pay a portion of the 
 15.2   cost of regular transportation of pupils to and from school in 
 15.3   an amount determined by the school.  The amount determined by 
 15.4   the school shall be no greater than the statewide average cost 
 15.5   of regular transportation to a pupil on a district-owned or 
 15.6   operated transportation system as determined by the 
 15.7   commissioner.  Any transportation fees required by the school 
 15.8   must be applied equally to students attending the school.  The 
 15.9   school may not require fees for pupils that are eligible for 
 15.10  free or reduced price lunch or for pupils that are receiving 
 15.11  special education instruction.  The amount of fees collected may 
 15.12  not exceed the school's total regular transportation 
 15.13  expenditures under section 123B.92, subdivision 1, paragraph 
 15.14  (a), minus the sum of the school's transportation sparsity 
 15.15  revenue and transportation transition revenue received under 
 15.16  section 124D.11, subdivision 2, for the school year in which the 
 15.17  fees are collected.  If excess fees are collected due to errors 
 15.18  in estimated costs, fees shall be reduced in succeeding years. 
 15.19     <b>[EFFECTIVE DATE.]</b> This section is effective July 1, 2001. 
 15.20     Sec. 13.  Minnesota Statutes 2000, section 124D.11, 
 15.21  subdivision 2, is amended to read: 
 15.22     Subd. 2.  [TRANSPORTATION REVENUE.] Transportation revenue 
 15.23  must be paid to a charter school that provides transportation 
 15.24  services according to section 124D.10, subdivision 16, according 
 15.25  to this subdivision.  Transportation aid shall equal 
 15.26  transportation revenue.  
 15.27     In addition to the revenue under subdivision 1, a charter 
 15.28  school providing transportation services must receive general 
 15.29  education aid for each pupil unit equal to the sum of an amount 
 15.30  equal to the product of the formula allowance according to 
 15.31  section 126C.10, subdivision 2, times .0485, plus the 
 15.32  transportation sparsity allowance for the school district in 
 15.33  which the charter school is located, plus the transportation 
 15.34  transition allowance for the district in which the charter 
 15.35  school is located.  
 15.36     Sec. 14.  Minnesota Statutes 2000, section 126C.10, 
 16.1   subdivision 18, is amended to read: 
 16.2      Subd. 18.  [TRANSPORTATION SPARSITY REVENUE ALLOWANCE.] (a) 
 16.3   A district's transportation sparsity allowance equals the 
 16.4   greater of zero or the result of the following computation: 
 16.5      (i) Multiply the formula allowance according to subdivision 
 16.6   2, by .1469. 
 16.7      (ii) Multiply the result in clause (i) by the district's 
 16.8   sparsity index raised to the 26/100 power. 
 16.9      (iii) Multiply the result in clause (ii) by the district's 
 16.10  density index raised to the 13/100 power. 
 16.11     (iv) Multiply the formula allowance according to 
 16.12  subdivision 2, by .0485. 
 16.13     (v) Subtract the result in clause (iv) from the result in 
 16.14  clause (iii). 
 16.15     (b) Transportation sparsity revenue is equal to the 
 16.16  transportation sparsity allowance times the adjusted marginal 
 16.17  cost pupil units. 
 16.18     (c) Transportation sparsity revenue must be used for 
 16.19  regular transportation expenses. 
 16.20     Sec. 15.  Minnesota Statutes 2000, section 126C.10, 
 16.21  subdivision 19, is amended to read: 
 16.22     Subd. 19.  [TRANSITION ALLOWANCE.] (a) A district's 
 16.23  transportation transition allowance for fiscal year 1998 and 
 16.24  later equals the result of the following: 
 16.25     (1) if the result in subdivision 18, paragraph (a), clause 
 16.26  (iii), for fiscal year 1998 is less than the fiscal year 1996 
 16.27  base allowance, the transportation transition allowance equals 
 16.28  the fiscal year 1996 base allowance minus the result in 
 16.29  subdivision 18, paragraph (a), clause (iii); or 
 16.30     (2) if the result in subdivision 18, paragraph (a), clause 
 16.31  (iii), for fiscal year 1998 and later is greater than or equal 
 16.32  to the fiscal year 1996 base allowance, the transportation 
 16.33  transition allowance equals zero. 
 16.34     (b) A district's compensatory transition allowance equals 
 16.35  the greater of zero or the difference between:  
 16.36     (1) the amount of compensatory revenue the district would 
 17.1   have received under Minnesota Statutes 1996, section 124A.22, 
 17.2   subdivision 3, for fiscal year 1998 computed using a basic 
 17.3   formula allowance of $3,281; and 
 17.4      (2) the amount the district receives under subdivision 3; 
 17.5   divided by 
 17.6      (3) the district's actual pupil units for fiscal year 1998. 
 17.7      (c) A district's cooperation transition allowance for 
 17.8   fiscal year 2001 and later equals the greater of zero or the 
 17.9   difference between:  
 17.10     (1) $25,000; and 
 17.11     (2) $67 times the district's resident pupil units for 
 17.12  fiscal year 2001; divided by 
 17.13     (3) the district's resident pupil units for fiscal year 
 17.14  2001. 
 17.15     (d) A district's transition allowance for fiscal years 1999 
 17.16  and 2000 is equal to the sum of its transportation transition 
 17.17  allowance and its compensatory transition allowance.  A 
 17.18  district's transition allowance for fiscal year 2001 and 
 17.19  thereafter is equal to the sum of its transportation transition 
 17.20  allowance, its compensatory transition allowance, and its 
 17.21  cooperation transition allowance. 
 17.22     (e) A district's transportation transition allowance must 
 17.23  be used for regular transportation expenses. 
 17.24     Sec. 16.  [REPEALER.] 
 17.25     Minnesota Statutes 2000, sections 123B.84; 123B.88, 
 17.26  subdivisions 2, 11, 13, 18, 20, 21, and 22; 123B.92, subdivision 
 17.27  9; and 123B.93, are repealed. 
 17.28     <b>[EFFECTIVE DATE.]</b> This section is effective July 1, 2001.