1.1                          A bill for an act 
  1.2             relating to education finance; restoring the special 
  1.3             education program growth factors; appropriating money; 
  1.4             amending Minnesota Statutes 2003 Supplement, sections 
  1.5             125A.76, subdivision 1; 125A.79, subdivision 1; Laws 
  1.6             2003, First Special Session chapter 9, article 3, 
  1.7             section 20, subdivisions 2, 6. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  Minnesota Statutes 2003 Supplement, section 
  1.10  125A.76, subdivision 1, is amended to read: 
  1.11     Subdivision 1.  [DEFINITIONS.] For the purposes of this 
  1.12  section, the definitions in this subdivision apply. 
  1.13     (a) "Base year" for fiscal year 1998 and later fiscal years 
  1.14  means the second fiscal year preceding the fiscal year for which 
  1.15  aid will be paid. 
  1.16     (b) "Basic revenue" has the meaning given it in section 
  1.17  126C.10, subdivision 2.  For the purposes of computing basic 
  1.18  revenue pursuant to this section, each child with a disability 
  1.19  shall be counted as prescribed in section 126C.05, subdivision 1.
  1.20     (c) "Essential personnel" means teachers, cultural 
  1.21  liaisons, related services, and support services staff providing 
  1.22  direct services to students.  Essential personnel may also 
  1.23  include special education paraprofessionals or clericals 
  1.24  providing support to teachers and students by preparing 
  1.25  paperwork and making arrangements related to special education 
  1.26  compliance requirements, including parent meetings and 
  2.1   individual education plans. 
  2.2      (d) "Average daily membership" has the meaning given it in 
  2.3   section 126C.05. 
  2.4      (e) "Program growth factor" means 1.046 for fiscal year 
  2.5   2003, and 1.0 for fiscal year 2004, and 1.046 for fiscal year 
  2.6   2005 and later. 
  2.7      <b>[EFFECTIVE DATE.]</b> This section is effective for revenue for 
  2.8   fiscal year 2005. 
  2.9      Sec. 2.  Minnesota Statutes 2003 Supplement, section 
  2.10  125A.79, subdivision 1, is amended to read: 
  2.11     Subdivision 1.  [DEFINITIONS.] For the purposes of this 
  2.12  section, the definitions in this subdivision apply. 
  2.13     (a) "Unreimbursed special education cost" means the sum of 
  2.14  the following: 
  2.15     (1) expenditures for teachers' salaries, contracted 
  2.16  services, supplies, equipment, and transportation services 
  2.17  eligible for revenue under section 125A.76; plus 
  2.18     (2) expenditures for tuition bills received under sections 
  2.19  125A.03 to 125A.24 and 125A.65 for services eligible for revenue 
  2.20  under section 125A.76, subdivision 2; minus 
  2.21     (3) revenue for teachers' salaries, contracted services, 
  2.22  supplies, and equipment under section 125A.76; minus 
  2.23     (4) tuition receipts under sections 125A.03 to 125A.24 and 
  2.24  125A.65 for services eligible for revenue under section 125A.76, 
  2.25  subdivision 2. 
  2.26     (b) "General revenue" means for fiscal year 1996, the sum 
  2.27  of the general education revenue according to section 126C.10, 
  2.28  subdivision 1, as adjusted according to section 127A.47, 
  2.29  subdivision 7, plus the total referendum revenue according to 
  2.30  section 126C.17, subdivision 4.  For fiscal years 1997 and 
  2.31  later, "general revenue" means the sum of the general education 
  2.32  revenue according to section 126C.10, subdivision 1, as adjusted 
  2.33  according to section 127A.47, subdivisions 7 and 8, plus the 
  2.34  total referendum revenue minus transportation sparsity revenue 
  2.35  minus total operating capital revenue.  
  2.36     (c) "Average daily membership" has the meaning given it in 
  3.1   section 126C.05. 
  3.2      (d) "Program growth factor" means 1.02 for fiscal year 
  3.3   2003, and 1.0 for fiscal year 2004, and 1.02 for fiscal year 
  3.4   2005 and later. 
  3.5      Sec. 3.  Laws 2003, First Special Session chapter 9, 
  3.6   article 3, section 20, subdivision 2, is amended to read:  
  3.7      Subd. 2.  [SPECIAL EDUCATION; REGULAR.] For special 
  3.8   education aid under Minnesota Statutes, section 125A.75: 
  3.9        $515,091,000   .....     2004 
  3.10       $529,460,000 $553,802,000  .....     2005 
  3.11     The 2004 appropriation includes $90,577,000 for 2003 and 
  3.12  $424,514,000 for 2004. 
  3.13     The 2005 appropriation includes $106,128,000 for 2004 and 
  3.14  $423,332,000 $447,647,000 for 2005. 
  3.15     <b>[EFFECTIVE DATE.]</b> This section is effective July 1, 2004. 
  3.16     Sec. 4.  Laws 2003, First Special Session chapter 9, 
  3.17  article 3, section 20, subdivision 6, is amended to read: 
  3.18     Subd. 6.  [SPECIAL EDUCATION; EXCESS COSTS.] For excess 
  3.19  cost aid under Minnesota Statutes, section 125A.79, subdivision 
  3.20  7: 
  3.21       $92,606,000    .....     2004 
  3.22       $92,984,000 $94,850,000   .....     2005 
  3.23     The 2004 appropriation includes $41,754,000 for 2003 and 
  3.24  $50,852,000 for 2004. 
  3.25     The 2005 appropriation includes $41,215,000 for 2004 and 
  3.26  $51,769,000 $53,635,000 for 2005.