Purpose of the Bill

The bill aims to adjust the funding allocation within the education finance system for area learning centers and alternative learning programs in Minnesota. It seeks to ensure these programs receive a higher minimum share of general education revenue to better support their operations and educational services.

Main Provisions

• Increase in Reserved Revenue: Each school district that participates in an area learning center or alternative learning program must reserve a minimum amount of its general education revenue. The bill mandates that this reservation amount should be at least 90% of the district's average general education revenue per adjusted pupil unit. Previously, there was more flexibility in how much could be allocated.
• Calculation Adjustments: The revenue reserved by school districts will be calculated by subtracting specific revenues including basic skills revenue, local optional revenue, and transportation sparsity revenue, before multiplying by the number of pupils.
• Cost Limitation: The reserved revenue is strictly designated for costs associated with area learning centers or alternative learning programs, thereby ensuring funds are used directly to benefit the specific educational needs of pupils attending these programs.

Significant Changes to Existing Law

• The bill modifies the percentage of general education revenue that must be reserved for specific educational programs, raising it to between 90% and 100%. This is a significant change from previous provisions, emphasizing an increased funding floor to enhance support for these programs.

Relevant Terms

• Area Learning Center
• Alternative Learning Program
• General Education Revenue
• Basic Skills Revenue
• Formula Allowance
• Transportation Sparsity Revenue