1.1                          A bill for an act 
  1.2             relating to education finance; authorizing additional 
  1.3             general education revenue to fund a portion of the 
  1.4             deficiency in special education funding; appropriating 
  1.5             money; amending Minnesota Statutes 1998, section 
  1.6             126C.10, by adding a subdivision; Minnesota Statutes 
  1.7             1999 Supplement, section 126C.10, subdivision 1. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  Minnesota Statutes 1999 Supplement, section 
  1.10  126C.10, subdivision 1, is amended to read: 
  1.11     Subdivision 1.  [GENERAL EDUCATION REVENUE.] For fiscal 
  1.12  year 2000 2001 and thereafter, the general education revenue for 
  1.13  each district equals the sum of the district's basic revenue, 
  1.14  special education deficiency revenue, basic skills revenue, 
  1.15  training and experience revenue, secondary sparsity revenue, 
  1.16  elementary sparsity revenue, transportation sparsity revenue, 
  1.17  total operating capital revenue, equity revenue, referendum 
  1.18  offset adjustment, transition revenue, and supplemental revenue. 
  1.19     Sec. 2.  Minnesota Statutes 1998, section 126C.10, is 
  1.20  amended by adding a subdivision to read: 
  1.21     Subd. 2a.  [SPECIAL EDUCATION DEFICIENCY REVENUE.] (a) 
  1.22  Special education deficiency revenue equals $120 times the 
  1.23  number of adjusted marginal cost pupil units for that year. 
  1.24     (b) Special education deficiency revenue must be used to 
  1.25  pay for a district's unfunded special education costs that are 
  1.26  currently cross-subsidized by a district's general education and 
  2.1   referendum revenue.  
  2.2      (c) A school district that has eliminated its deficiency in 
  2.3   special education funding must use any remaining revenue to 
  2.4   provide remedial services to students who are performing below 
  2.5   their grade-appropriate level. 
  2.6      Sec. 3.  [APPROPRIATION.] 
  2.7      $108,000,000 is appropriated in fiscal year 2001 from the 
  2.8   general fund to the commissioner of children, families, and 
  2.9   learning for payment of general education aid under section 1 to 
  2.10  fund a portion of the deficiency in special education revenue.  
  2.11  This appropriation is in addition to any other appropriation for 
  2.12  this purpose. 
  2.13     Sec. 4.  [EFFECTIVE DATE.] 
  2.14     Sections 1 to 3 are effective for revenue for fiscal year 
  2.15  2001 and later.