HF2388 (Legislative Session 94 (2025-2026))

Local optional aid and levy replaced with basic supplemental revenue, basic supplemental aid amount increased, and money appropriated.

AI Generated Summary

Purpose of the Bill

This bill is intended to reform education finance in Minnesota by replacing the local optional aid and levy system with a new approach called basic supplemental revenue. It seeks to improve the financial resources available for student education, particularly in charter schools.

Main Provisions

  • Basic Supplemental Revenue: The bill proposes to replace local optional aid and levy with basic supplemental revenue, which is designed to simplify and potentially increase funding to schools.
  • Increased Funding: The basic supplemental aid amount will be increased to enhance funding levels for educational institutions.
  • Charter Schools Funding: Charter schools will receive general education revenue similar to traditional school districts. This revenue includes state average general education funding per pupil unit and various adjustment aids.
  • Extensions for Programs: If a charter school operates extended day, extended week, or summer programs, its general education revenue is increased by an additional 25% of the statewide average extended time revenue per adjusted pupil unit.
  • Special Education Charter Schools: The bill provides that special education charter schools will get additional funding to cover costs not reimbursed for educating students who do not qualify for special education.

Significant Changes to Existing Law

  • This legislation amends current statutes by altering the financial structure of school funding to eliminate the local optional aid and levy, substituting it with basic supplemental revenue.
  • It specifically modifies sections of the Minnesota Statutes regarding the calculation of general education revenue, impacting both regular and special education charter schools.

Relevant Terms

general education revenue, charter school, basic supplemental aid, local optional aid, levy, education finance, special education, extended time revenue, Minnesota Statutes.

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 16, 2025HouseFloorActionIntroduction and first reading, referred toEducation Finance
March 19, 2025HouseFloorActionAuthor added

Citations

 
[
  {
    "analysis": {
      "added": [
        "Clarification on the inclusion of basic supplemental revenue in the calculation."
      ],
      "removed": [
        "Specific mention of declining enrollment revenue as a deduction factor."
      ],
      "summary": "The bill amends the revenue calculation for charter schools under section 124E.20, subdivision 1.",
      "modified": [
        "General education revenue definitions to consider various supplemental aids."
      ]
    },
    "citation": "124E.20",
    "subdivision": "subdivision 1"
  },
  {
    "analysis": {
      "added": [
        "Integration of new supplemental aid allowances."
      ],
      "removed": [],
      "summary": "This modifies the calculations related to general education revenue under section 126C.10.",
      "modified": [
        "Adjustment of components in the formula allowance."
      ]
    },
    "citation": "126C.10",
    "subdivision": "subdivisions 1, 2e"
  },
  {
    "analysis": {
      "added": [
        "Inclusion of new supplemental revenue considerations."
      ],
      "removed": [],
      "summary": "Modifications to calculations under section 126C.13 are made concerning supplemental revenue.",
      "modified": [
        "Rate of calculations for certain aids."
      ]
    },
    "citation": "126C.13",
    "subdivision": "subdivision 4"
  },
  {
    "analysis": {
      "added": [
        "New references to basic supplemental revenue."
      ],
      "removed": [],
      "summary": "The bill addresses changes to section 126C.17 regarding optional aid and levy replacements.",
      "modified": [
        "Alteration in allocation rates for general education funding."
      ]
    },
    "citation": "126C.17",
    "subdivision": "subdivisions 7a, 7b"
  }
]