1.1 A bill for an act 1.2 relating to education finance; modifying teacher licensure provisions; transferring 1.3 grant programs from the Professional Educator Licensing and Standards Board to 1.4 the Department of Education; requiring reports; appropriating money; amending 1.5 Minnesota Statutes 2024, sections 120B.117, subdivision 4; 120B.363, subdivisions 1.6 1, 2; 122A.09, subdivision 9; 122A.092, subdivisions 2, 5; 122A.181, subdivision 1.7 3; 122A.635; 122A.70, subdivisions 2, 3, 5, 5a, 6; 136A.1276, subdivision 4. 1.8BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.9 Section 1. Minnesota Statutes 2024, section 120B.117, subdivision 4, is amended to read: 1.10 Subd. 4.Reporting.The Professional Educator Licensing and Standards Board 1.11Department of Education must collaborate with the Department of Education Professional 1.12Educator Licensing and Standards Board and the Office of Higher Education to publish a 1.13summary report of each of the programs they administer and any other programs receiving 1.14state appropriations that have or include an explicit purpose of increasing the racial and 1.15ethnic diversity of the state's teacher workforce to more closely reflect the diversity of 1.16students. The report must include programs under sections 122A.59, 122A.63, 122A.635, 1.17122A.70, 122A.73, 124D.09, 124D.861, 136A.1274, 136A.1276, and 136A.1791, along 1.18with any other programs or initiatives that receive state appropriations to address the shortage 1.19of teachers of color and American Indian teachers. The board commissioner must, in 1.20coordination with the Professional Educator Licensing and Standards Board and the Office 1.21of Higher Education and Department of Education, provide policy and funding 1.22recommendations related to state-funded programs to increase the recruitment, preparation, 1.23licensing, hiring, and retention of racially and ethnically diverse teachers and the state's 1.24progress toward meeting or exceeding the goals of this section. The report must include 1.25recommendations for state policy and funding needed to achieve the goals of this section, 1Section 1. REVISOR CR/HL 25-0505703/19/25 State of Minnesota This Document can be made available in alternative formats upon request HOUSE OF REPRESENTATIVES H. F. No. 2741 NINETY-FOURTH SESSION Authored by Hill03/24/2025 The bill was read for the first time and referred to the Committee on Education Finance 2.1plans for sharing the report and activities of grant recipients, and opportunities among grant 2.2recipients of various programs to share effective practices with each other. The initial report 2.3must also include a recommendation of whether a state advisory council should be established 2.4to address the shortage of racially and ethnically diverse teachers and what the composition 2.5and charge of such an advisory council would be if established. The board commissioner 2.6must consult with the Indian Affairs Council and other ethnic councils along with other 2.7community partners, including students of color and American Indian students, in developing 2.8the report. The board commissioner must submit the report to the chairs and ranking minority 2.9members of the legislative committees with jurisdiction over education and higher education 2.10policy and finance by November 3, 2025, for the initial report, and by November 3 each 2.11even-numbered year thereafter. The report must be available to the public on the board's 2.12commissioner's website. 2.13 Sec. 2. Minnesota Statutes 2024, section 120B.363, subdivision 1, is amended to read: 2.14 Subdivision 1.Rulemaking.The Professional Educator Licensing and Standards Board 2.15commissioner must adopt rules to implement a statewide credential for education 2.16paraprofessionals who assist a licensed teacher in providing student instruction. Any 2.17paraprofessional holding this credential or working in a local school district after meeting 2.18a state-approved local assessment is considered to be highly qualified under federal law. 2.19Under this subdivision, the Professional Educator Licensing and Standards Board, in 2.20consultation with the commissioner, must adopt qualitative criteria for approving local 2.21assessments that include an evaluation of a paraprofessional's knowledge of reading, writing, 2.22and math and the paraprofessional's ability to assist in the instruction of reading, writing, 2.23and math. The commissioner must approve or disapprove local assessments using these 2.24criteria. The commissioner must make the criteria available to the public. 2.25 Sec. 3. Minnesota Statutes 2024, section 120B.363, subdivision 2, is amended to read: 2.26 Subd. 2.Training possibilities.In adopting rules under subdivision 1, the board 2.27commissioner must consider including provisions that provide training in: students' 2.28characteristics; teaching and learning environment; academic instruction skills; student 2.29behavior; and ethical practices. 2.30 Sec. 4. Minnesota Statutes 2024, section 122A.09, subdivision 9, is amended to read: 2.31 Subd. 9.Professional Educator Licensing and Standards Board must adopt rules.(a) 2.32The Professional Educator Licensing and Standards Board must adopt rules subject to the 2.33provisions of chapter 14 to implement sections 120B.363, 122A.05 to 122A.09, 122A.092, 2Sec. 4. REVISOR CR/HL 25-0505703/19/25 3.1122A.16, 122A.17, 122A.18, 122A.181, 122A.182, 122A.183, 122A.184, 122A.185, 3.2122A.187, 122A.188, 122A.19, 122A.20, 122A.21, 122A.23, 122A.26, 122A.28, 122A.29, 3.3and 124D.72. 3.4 (b) The board must adopt rules relating to fields of licensure and grade levels that a 3.5licensed teacher may teach, including a process for granting permission to a licensed teacher 3.6to teach in a field that is different from the teacher's field of licensure without change to the 3.7teacher's license tier level. 3.8 (c) If a rule adopted by the board is in conflict with a session law or statute, the law or 3.9statute prevails. Terms adopted in rule must be clearly defined and must not be construed 3.10to conflict with terms adopted in statute or session law. 3.11 (d) The board must include a description of a proposed rule's probable effect on teacher 3.12supply and demand in the board's statement of need and reasonableness under section 14.131. 3.13 (e) The board must adopt rules only under the specific statutory authority. 3.14 Sec. 5. Minnesota Statutes 2024, section 122A.092, subdivision 2, is amended to read: 3.15 Subd. 2.Requirements for board approval.Teacher preparation programs must 3.16demonstrate the following to obtain board approval: 3.17 (1) the program has implemented a research-based, results-oriented curriculum that 3.18focuses on the skills teachers need in order to be effective; 3.19 (2) the program provides a student teaching program; 3.20 (3) the program demonstrates effectiveness based on proficiency of graduates in 3.21demonstrating attainment of program outcomes; 3.22 (4) the program includes a common core of teaching knowledge and skills. This common 3.23core shall meet the standards developed by the Interstate New Teacher Assessment and 3.24Support Consortium in its 1992 model standards for beginning teacher licensing and 3.25development. Amendments to standards adopted under this clause are subject to chapter 3.2614. The Professional Educator Licensing and Standards Board shall report annually to the 3.27education committees of the legislature on the performance of teacher candidates on common 3.28core assessments of knowledge and skills under this clause during the most recent school 3.29year; 3.30 (5) the program includes instruction on the knowledge and skills needed to provide 3.31appropriate instruction to English learners to support and accelerate their academic literacy, 3Sec. 5. REVISOR CR/HL 25-0505703/19/25 4.1including oral academic language and achievement in content areas in a regular classroom 4.2setting; and 4.3 (6) the program includes culturally competent training in instructional strategies consistent 4.4with section 120B.30, subdivision 8. 4.5 Sec. 6. Minnesota Statutes 2024, section 122A.092, subdivision 5, is amended to read: 4.6 Subd. 5.Reading strategies.(a) A teacher preparation provider approved by the 4.7Professional Educator Licensing and Standards Board to prepare persons for classroom 4.8teacher licensure must include in its teacher preparation programs evidence-based best 4.9practices in reading, consistent with sections 120B.118 to 120B.124, including instruction 4.10on phonemic awareness, phonics, vocabulary development, reading fluency, and reading 4.11comprehension. Instruction on reading must enable the licensure candidate to teach reading 4.12in the candidate's content areas. Teacher candidates must be instructed in using students' 4.13native languages as a resource in creating effective differentiated instructional strategies 4.14for English learners developing literacy skills. A teacher preparation provider also must 4.15prepare early childhood and elementary teacher candidates for Tier 3 and Tier 4 teaching 4.16licenses under sections 122A.183 and 122A.184, respectively. 4.17 (b) Board-approved teacher preparation programs for teachers of elementary education 4.18must require instruction in applying evidence-based, structured literacy reading instruction 4.19programs that: 4.20 (1) teach students to read using foundational knowledge, practices, and strategies 4.21consistent with sections 120B.118 to 120B.124, with emphasis on mastery of foundational 4.22reading skills so that students achieve continuous progress in reading; and 4.23 (2) teach specialized instruction in reading strategies, interventions, and remediations 4.24that enable students of all ages and proficiency levels, including multilingual learners and 4.25students demonstrating characteristics of dyslexia, to become proficient readers. 4.26 (c) Board-approved teacher preparation programs for teachers of elementary education, 4.27early childhood education, special education, and reading intervention must include 4.28instruction on dyslexia, as defined in section 125A.01, subdivision 2. Teacher preparation 4.29programs may consult with the Department of Education, including the dyslexia specialist 4.30under section 120B.122, to develop instruction under this paragraph. Instruction on dyslexia 4.31must be modeled on practice standards of the International Dyslexia Association, and must 4.32address: 4.33 (1) the nature and symptoms of dyslexia; 4Sec. 6. REVISOR CR/HL 25-0505703/19/25 5.1 (2) resources available for students who show characteristics of dyslexia; 5.2 (3) evidence-based instructional strategies for students who show characteristics of 5.3dyslexia, including the structured literacy approach; and 5.4 (4) outcomes of intervention and lack of intervention for students who show 5.5characteristics of dyslexia. 5.6 (d) Nothing in this section limits the authority of a school district to select a school's 5.7reading program or curriculum. 5.8 Sec. 7. Minnesota Statutes 2024, section 122A.181, subdivision 3, is amended to read: 5.9 Subd. 3.Term of license and renewal.(a) The Professional Educator Licensing and 5.10Standards Board must issue an initial Tier 1 license for a term of one year. A Tier 1 license 5.11may be renewed subject to paragraphs (b) and (c). 5.12 (b) The Professional Educator Licensing and Standards Board must renew a Tier 1 5.13license if: 5.14 (1) the district or charter school requesting the renewal demonstrates that it has posted 5.15the teacher position but was unable to hire an acceptable teacher with a Tier 2, 3, or 4 license 5.16for the position; 5.17 (2) the teacher holding the Tier 1 license took a content examination in accordance with 5.18section 122A.185 and submitted the examination results to the teacher's employing district 5.19or charter school within one year of the board approving the request for the initial Tier 1 5.20license; 5.21 (3) (2) the teacher holding the Tier 1 license participated in cultural competency training 5.22consistent with section 120B.30, subdivision 8, within one year of the board approving the 5.23request for the initial Tier 1 license; and 5.24 (4) (3) the teacher holding the Tier 1 license met the mental illness training renewal 5.25requirement under section 122A.187, subdivision 6. 5.26The requirement in clause (2) does not apply to a teacher that teaches a class in a career and 5.27technical education or career pathways course of study. 5.28 (c) A Tier 1 license must not be renewed more than three times, unless the requesting 5.29district or charter school can show good cause for additional renewals. A Tier 1 license 5.30issued to teach (1) a class or course in a career and technical education or career pathway 5.31course of study, or (2) in a shortage area, as defined in section 122A.06, subdivision 6, may 5.32be renewed without limitation. 5Sec. 7. REVISOR CR/HL 25-0505703/19/25 6.1 Sec. 8. Minnesota Statutes 2024, section 122A.635, is amended to read: 6.2 122A.635 COLLABORATIVE URBAN AND GREATER MINNESOTA 6.3EDUCATORS OF COLOR GRANT PROGRAM. 6.4 Subdivision 1.Establishment.The Professional Educator Licensing and Standards 6.5Board Department of Education must award competitive grants to increase the number of 6.6teacher candidates who are of color or who are American Indian, complete teacher preparation 6.7programs, and meet the requirements for a Tier 3 license under section 122A.183. Eligibility 6.8for a grant under this section is limited to public or private higher education institutions that 6.9offer a teacher preparation program approved by the Professional Educator Licensing and 6.10Standards Board. 6.11 Subd. 2.Competitive grants.(a) The Professional Educator Licensing and Standards 6.12Board commissioner must award competitive grants to a variety of higher education 6.13institution types under this section. The board commissioner must require an applicant 6.14institution to submit a plan describing how it would use grant funds to increase the number 6.15of teachers who are of color or who are American Indian, and must award grants based on 6.16the following criteria, listed in descending order of priority. To the extent practicable, the 6.17commissioner must award grants based on the following criteria: 6.18 (1) program outcomes, including graduation or program completion rates and licensure 6.19recommendation rates for candidates who are of color or who are American Indian compared 6.20to all candidates enrolled in a teacher preparation program at the institution and, for each 6.21outcome measure, the number of teacher candidates who are of color or who are American 6.22Indian; 6.23 (2) the extent to which an institution's plan is clear in describing how the institution 6.24would use grant funds for implementing explicit research-based practices to provide 6.25programmatic support to teacher candidates who are of color or who are American Indian. 6.26Plans for grant funds may include: 6.27 (i) recruiting more racially and ethnically diverse candidates for admission to teacher 6.28preparation programs; 6.29 (ii) providing differentiated advising, mentoring, or other supportive community-building 6.30activities in addition to what the institution provides to all candidates enrolled in the 6.31institution; 6.32 (iii) providing academic tutoring or support to help teacher candidates pass required 6.33assessments; and 6Sec. 8. REVISOR CR/HL 25-0505703/19/25 7.1 (iv) providing for program staffing expenses; 7.2 (3) an institution's plan to provide direct financial assistance as scholarships or stipends 7.3within the allowable dollar range determined by the board under subdivision 3, paragraph 7.4(b), to teacher candidates who are of color or who are American Indian, not to exceed $5,000 7.5per academic year for each candidate. The purpose of direct financial assistance is to provide 7.6cost of attendance financial assistance to candidates matriculating through the licensure 7.7program if they demonstrate financial need; 7.8 (4) whether the institution has previously received a competitive grant under this section 7.9and has demonstrated positive outcomes from the use of grant funds for efforts helping 7.10teacher candidates who are of color or who are American Indian to enroll in and successfully 7.11complete teacher preparation programs and be recommended for licensure; 7.12 (5) geographic diversity among the applicant institutions. In order to expand the number 7.13of grant recipients throughout the state, whenever there is at least a 20 percent increase in 7.14the base appropriation for this grant program, the board must prioritize awarding grants to 7.15institutions outside of the Twin Cities metropolitan area. If the board awards a grant based 7.16on the criteria in paragraph (a) to a program that has not previously received funding, the 7.17board must thereafter give priority to the program equivalent to other programs that have 7.18received grants and demonstrated positive outcomes To the extent there are sufficient 7.19applications, and to the extent practicable, the commissioner must award an equal number 7.20of grants between applicants in greater Minnesota and those in the seven-county metropolitan 7.21area; and 7.22 (6) the percentage of racially and ethnically diverse teacher candidates enrolled in the 7.23institution teacher preparation program compared to: the aggregate percentage of students 7.24of color and American Indian students enrolled in the institution, regardless of major. 7.25 (i) the aggregate percentage of students of color and American Indian students enrolled 7.26in the institution, regardless of major; and 7.27 (ii) the percentage of underrepresented racially and ethnically diverse teachers in the 7.28economic development region of the state where the institution is located and where a 7.29shortage of diverse teachers exists, as reported under section 122A.091, subdivision 5. 7.30 (b) The board commissioner must not penalize an applicant institution in the grant review 7.31process for using grant funds only to provide direct financial support to teacher candidates 7.32if that is the institution's priority and the institution uses other resources to provide 7.33programmatic support to candidates. 7Sec. 8. REVISOR CR/HL 25-0505703/19/25 8.1 (c) The board commissioner must determine award amounts for development, 8.2maintenance, or expansion of programs based only on the degree to which applicants meet 8.3the criteria in this subdivision, the number of candidates who are of color or who are 8.4American Indian supported by an applicant program, and funds available. 8.5 (d) The board must determine grant awards in part by multiplying the number of teacher 8.6candidates to be provided direct financial assistance by the average amount the institution 8.7proposes per candidate that is within the allowable dollar range. After assessing an 8.8institution's adherence to grant criteria and funds available, the board may grant an institution 8.9a lower average amount per candidate and the institution may decide to award less per 8.10candidate or provide financial assistance to fewer candidates within the allowable range. 8.11Additionally, an institution may use up to 25 percent of the awarded grant funds to provide 8.12programmatic support as described in paragraph (a), clause (3). If the board does not award 8.13an applicant institution's full request, the board must allow the institution to modify how it 8.14uses grant funds to maximize program outcomes consistent with the requirements of this 8.15section. The commissioner must allow an institution to use up to 25 percent of the awarded 8.16grant funds to provide programmatic support for the teacher candidates receiving financial 8.17support. 8.18 Subd. 3.Grant program administration.(a) The Professional Educator Licensing and 8.19Standards Board may enter into an interagency agreement with the Office of Higher 8.20Education. The agreement may include a transfer of funds to the Office of Higher Education 8.21to help establish and administer the competitive grant process. The board must award grants 8.22to institutions located in various economic development regions throughout the state, but 8.23The department must not predetermine the number of institutions to be awarded grants 8.24under this section or set a limit for the amount that any one institution may receive as part 8.25of the competitive grant application process. 8.26 (b) The board must establish a standard allowable dollar range for the amount of direct 8.27financial assistance an applicant institution may provide to each candidate. To determine 8.28the range, the board may collect de-identified data from institutions that received a grant 8.29during the previous grant period and calculate the average scholarship amount awarded to 8.30all candidates across all institutions using the most recent fiscal year data available. The 8.31calculation may be used to determine a scholarship range that is no more than 25 percent 8.32of this amount and no less than half the average of this amount. The purpose of direct 8.33financial assistance is to assist candidates matriculating through completing licensure 8.34programs if they demonstrate financial need after considering other grants and scholarships 8.35provided. 8Sec. 8. REVISOR CR/HL 25-0505703/19/25 9.1 (c) (b) All grants must be awarded by August 15 of the fiscal year in which the grants 9.2are to be used. The deadline must be extended if changes to the grant program or 9.3appropriation impact the timeline for grant awards. An institution that receives a grant under 9.4this section may use the grant funds over a two- up to a four-year period to sustain support 9.5for teacher candidates at any stage from recruitment and program admission to graduation 9.6and licensure application. For grantees who receive multiple awards that overlap in the same 9.7academic years, the maximum combined total of direct financial assistance that an institution 9.8may provide to the same teacher candidate in the same academic year is $10,000. 9.9 Subd. 4.Report.(a) By August 15 of each year, an institution awarded a grant under 9.10this section must prepare for the board commissioner a detailed report regarding the 9.11expenditure of grant funds, including the amounts used to recruit, retain, and support teacher 9.12candidates of color or American Indian teacher candidates to complete programs and be 9.13recommended for licensure. The report must include: 9.14 (1) the total number of teacher candidates of color and American Indian teacher candidates 9.15who: 9.16 (i) are enrolled in the institution; 9.17 (ii) are supported by grant funds with direct financial assistance during the academic 9.18reporting year; 9.19 (iii) are supported with other programmatic supports; 9.20 (iv) are recruited and newly admitted to a licensure program; 9.21 (v) are enrolled in a licensure program; 9.22 (vi) have completed a licensure program; and 9.23 (vii) were recommended for licensure in the field for which they were prepared; 9.24 (2) the total number of teacher candidates of color or American Indian teacher candidates 9.25at each stage from program admission to licensure recommendation as a percentage of all 9.26candidates seeking the same licensure at the institution; and 9.27 (3) a brief narrative describing the successes and challenges of efforts proposed in the 9.28grant application to support candidates with grant funds, and lessons learned for future 9.29efforts. 9.30 (b) By November 1 of each year, the board commissioner must post a report on its 9.31website summarizing the activities and outcomes of grant recipients and results that promote 9.32sharing of effective practices and lessons learned among grant recipients. 9Sec. 8. REVISOR CR/HL 25-0505703/19/25 10.1 Subd. 5.Positions transferred.All classified and unclassified positions associated with 10.2the administration of grant programs being transferred to the Department of Education under 10.3this section are transferred with their incumbents in accordance with section 15.039, 10.4subdivision 7, except as otherwise provided in section 122A.07. 10.5 Sec. 9. Minnesota Statutes 2024, section 122A.70, subdivision 2, is amended to read: 10.6 Subd. 2.Board Grants.(a) The Professional Educator Licensing and Standards Board 10.7Department of Education must make grant application forms available to sites interested in 10.8developing, sustaining, or expanding a mentorship program. 10.9 (b) The following applicants are eligible for a program grant: 10.10 (1) a school district, charter school, or cooperative unit, on behalf of its participating 10.11school sites; 10.12 (2) a Tribal contract school; 10.13 (3) a coalition of teachers; and 10.14 (4) a higher education institution; 10.15 (5) a nonprofit organization; 10.16 (6) a professional organization; and 10.17 (4) (7) a coalition of two or more applicants that are individually eligible for a grant. 10.18A higher education institution, professional organization, or nonprofit organization may 10.19must partner with an eligible grant applicant but is not eligible as a sole applicant for grant 10.20funds a school district, charter school, cooperative unit, Tribal contract school, or coalition 10.21of teachers to apply for a grant. 10.22 (c) The Professional Educator Licensing and Standards Board, in consultation with the 10.23teacher mentoring task force, commissioner of education must approve or disapprove the 10.24applications. To the extent possible, the approved applications must reflect effective 10.25mentoring, professional development, and retention components, and be geographically 10.26distributed throughout the state. The Professional Educator Licensing and Standards Board 10.27must encourage the selected sites to consider the use of its assessment procedures. 10.28Sec. 10. Minnesota Statutes 2024, section 122A.70, subdivision 3, is amended to read: 10.29 Subd. 3.Criteria for selection.(a) At a minimum, Applicants for grants under 10.30subdivision 2 must express commitment to: 10Sec. 10. REVISOR CR/HL 25-0505703/19/25 11.1 (1) allow staff participation; 11.2 (2) assess skills of both beginning and mentor teachers; 11.3 (3) provide appropriate in-service to needs identified in the assessment; 11.4 (4) provide leadership to the effort; 11.5 (5) cooperate with higher education institutions or teacher educators; 11.6 (6) provide facilities and other resources; 11.7 (7) share findings, materials, and techniques with other school districts; and 11.8 (8) retain teachers of color and teachers who are American Indian. 11.9 (b) The Professional Educator Licensing and Standards Board commissioner must give 11.10priority to applications to fund programs to induct, mentor, and retain Tier 2 or Tier 3 11.11teachers who are of color or who are American Indian, and Tier 2 or Tier 3 teachers in 11.12licensure shortage areas within the applicant's economic development region. 11.13Sec. 11. Minnesota Statutes 2024, section 122A.70, subdivision 5, is amended to read: 11.14 Subd. 5.Program implementation.A grant recipient may use grant funds on 11.15implementing activities over a period of time up to 24 months. New and expanding 11.16mentorship sites that receive a board grant under subdivision 2 to design, develop, implement, 11.17and evaluate their program must participate in activities that support program development 11.18and implementation. 11.19Sec. 12. Minnesota Statutes 2024, section 122A.70, subdivision 5a, is amended to read: 11.20 Subd. 5a.Grant program administration.The Professional Educator Licensing and 11.21Standards Board commissioner may enter into an interagency agreement with the Office of 11.22Higher Education or the Department of Education Professional Educator Licensing and 11.23Standards Board. The agreement may include a transfer of funds to the Office of Higher 11.24Education or the Department of Education Professional Educator Licensing and Standards 11.25Board to help administer the competitive grant process. 11.26Sec. 13. Minnesota Statutes 2024, section 122A.70, subdivision 6, is amended to read: 11.27 Subd. 6.Report.By September 30 of each year after receiving a grant, recipients must 11.28submit a report to the Professional Educator Licensing and Standards Board on program 11.29efforts that describes mentoring and induction activities and assesses the impact of these 11.30programs on teacher effectiveness and retention. The board commissioner must publish a 11Sec. 13. REVISOR CR/HL 25-0505703/19/25 12.1summary report for the public and submit the report to the committees of the legislature 12.2with jurisdiction over kindergarten through grade 12 education policy and finance in 12.3accordance with section 3.302 by November 30 of each even-numbered year. 12.4 Sec. 14. Minnesota Statutes 2024, section 136A.1276, subdivision 4, is amended to read: 12.5 Subd. 4.Report.An alternative teacher preparation program receiving a grant under 12.6this section must submit a report to the commissioner and the Professional Educator Licensing 12.7and Standards Board on the grantee's ability to fill teacher shortage areas and positively 12.8impact student achievement where data are available and do not identify individual teachers. 12.9A grant recipient must submit the report required under this subdivision by January 31, 12.102018, and each even-numbered subsequent year thereafter this particular grant receives 12.11allocated funding. The report must include disaggregated data regarding: 12.12 (1) the racial and ethnic diversity of teachers and teacher candidates licensed through 12.13the program; and 12.14 (2) program participant placement. 12.15Sec. 15. TRANSFER OF GRANT ADMINISTRATION AND STAFF. 12.16 Subdivision 1.Transfer of contracts, obligations, and unexpended funds.All contracts, 12.17obligations, and unexpended funds associated with the administration of grant programs 12.18under Minnesota Statutes, sections 122A.635 and 122A.70, are transferred from the 12.19Professional Educator Licensing and Standards Board to the Department of Education 12.20pursuant to Minnesota Statutes, section 15.039, subdivisions 5, 5a, and 6. 12.21 Subd. 2.Transfer of staff; protections; applicability of collective bargaining 12.22agreements.(a) Personnel relating to the administration of grant programs under Minnesota 12.23Statutes, sections 122A.635 and 122A.70, with the Professional Educator Licensing and 12.24Standards Board may be transferred to the Department of Education beginning August 1, 12.252025, with 30 days notice from the commissioner of management and budget and after 12.26approval by the commissioner. 12.27 (b) The following protections apply to employees who are transferred to the department 12.28from the Professional Educator Licensing and Standards Board to administer grant programs 12.29under Minnesota Statutes, sections 122A.635 and 122A.70: 12.30 (1) no transferred employee shall have their employment status and job classification 12.31altered as a result of the transfer; 12Sec. 15. REVISOR CR/HL 25-0505703/19/25 13.1 (2) transferred employees who were represented by an exclusive representative prior to 13.2the transfer shall continue to be represented by the same exclusive representative after the 13.3transfer; 13.4 (3) any applicable collective bargaining agreements with exclusive representatives shall 13.5continue in full force and effect for transferred employees after the transfer; 13.6 (4) when an employee in a temporary unclassified position is transferred to the 13.7department, the total length of time that the employee has served in the appointment shall 13.8include all time served in the appointment at the transferring agency and the time served in 13.9the appointment at the department. An employee in a temporary unclassified position who 13.10was hired by a transferring agency through an open competitive selection process in 13.11accordance with a policy enacted by the commissioner of management and budget is 13.12considered to have been hired through that selection process after the transfer; and 13.13 (5) the state must meet and negotiate with the exclusive representatives of the transferred 13.14employees about any proposed changes affecting or relating to the transferred employees' 13.15terms and conditions of employment to the extent that the proposed changes are not addressed 13.16in the applicable collective bargaining agreement. 13.17 Subd. 3.Future transfer.(a) If the state transfers ownership or control of any facilities, 13.18services, or operations of the department related to the administration of grant programs 13.19under Minnesota Statutes, sections 122A.635 and 122A.70, to another private or public 13.20entity by subcontract, sale, assignment, lease, or other transfer, the state must require as a 13.21written condition of the transfer of ownership or control the following: 13.22 (1) employees who perform work in the facilities, services, or operations related to the 13.23administration of grant programs under Minnesota Statutes, sections 122A.635 and 122A.70 13.24must be offered employment with the entity acquiring ownership or control before the entity 13.25offers employment to any individual who was not employed by the transferring agency at 13.26the time of the transfer; and 13.27 (2) the wage and benefit standards of the transferred employees must not be reduced by 13.28the entity acquiring ownership or control through the expiration of the collective bargaining 13.29agreement in effect at the time of the transfer or for a period of two years after the transfer, 13.30whichever is longer. 13.31 (b) There is no liability on the part of, and no cause of action arises against, the state of 13.32Minnesota or its officers or agents for any action or inaction of any entity acquiring ownership 13.33or control of any facilities, services, or operations of the department related to the 13.34administration of grant programs under Minnesota Statutes, sections 122A.635 and 122A.70. 13Sec. 15. REVISOR CR/HL 25-0505703/19/25 14.1 Sec. 16. APPROPRIATIONS; DEPARTMENT OF EDUCATION. 14.2 Subdivision 1.Department of Education.The sums indicated in this section are 14.3appropriated from the general fund to the Department of Education in the fiscal years 14.4designated. 14.5 Subd. 2.Collaborative urban and greater Minnesota educators of color grants.(a) 14.6For collaborative urban and greater Minnesota educators of color competitive grants under 14.7Minnesota Statutes, section 122A.635: 2026.....5,440,00014.8 $ 2027.....5,440,00014.9 $ 14.10 (b) The commissioner may retain up to $100,000 of the appropriation in each year to 14.11monitor and administer the grant program. 14.12 (c) Any balance remaining in fiscal year 2026 is available in fiscal year 2027. 14.13 Subd. 3.Mentoring, induction, and retention incentive program grants for teachers 14.14of color.(a) To develop and expand mentoring, induction, and retention programs designed 14.15for teachers of color or American Indian teachers under Minnesota Statutes, section 122A.70: 2026.....4,500,00014.16 $ 2027.....4,500,00014.17 $ 14.18 (b) Of the amount in paragraph (a), at least $3,500,000 each fiscal year is for grants to 14.19develop and expand mentoring, induction, and retention programs designed for teachers of 14.20color or American Indian teachers. 14.21 (c) Any balance remaining in fiscal year 2026 is available in fiscal year 2027. 14.22 (d) The commissioner may retain up to three percent of the appropriation amount to 14.23monitor and administer the grant program. 14.24 Subd. 4.Teacher recruitment marketing campaign.(a) To develop two contracts to 14.25develop and implement an outreach and marketing campaign under this subdivision: 2026.....500,00014.26 $ 2027.....500,00014.27 $ 14.28 (b) The commissioner must issue a request for proposals to develop and implement an 14.29outreach and marketing campaign to elevate the profession and recruit teachers, especially 14.30teachers of color and American Indian teachers. Outreach efforts should include and support 14.31current and former Teacher of the Year finalists interested in being recruitment fellows to 14.32encourage prospective educators throughout the state. The commissioner may renew a grant 14Sec. 16. REVISOR CR/HL 25-0505703/19/25 15.1contract with a prior recipient if it determines sufficient deliverables were achieved and the 15.2plans of the firm or organization are more promising than proposals from other entities. 15.3 (c) The outreach and marketing campaign must focus on increasing interest in teaching 15.4in Minnesota public schools for the following individuals: 15.5 (1) high school and college students of color or American Indian students who have not 15.6chosen a career path; or 15.7 (2) adults from racial or ethnic groups underrepresented in the teacher workforce who 15.8may be seeking to change careers. 15.9 (d) The commissioner must award two $250,000 grants each year to firms or organizations 15.10that demonstrate capacity to reach wide and varied audiences of prospective teachers based 15.11on a work plan with quarterly deliverables. Preferences should be given to firms or 15.12organizations that are led by people of color and that have people of color working on the 15.13campaign with a proven record of success. The grant recipients must recognize current 15.14pathways or programs to become a teacher and must partner with educators, schools, 15.15institutions, and racially diverse communities. The grant recipients are encouraged to provide 15.16in-kind contributions or seek funds from nonstate sources to supplement the grant award. 15.17 (e) The commissioner may use no more than three percent of the appropriation amount 15.18to administer the program under this subdivision, and may have an interagency agreement 15.19with the Professional Educator Licensing and Standards Board including transfer of funds 15.20to help administer the program. 15.21 (f) Any balance in fiscal year 2026 does not cancel but is available in fiscal year 2027. 15.22 Subd. 5.License applications.For the Board of School Administrators to undertake 15.23the review and processing of administrative license applications: 2026.....289,00015.24 $ 2027.....189,00015.25 $ 15.26Sec. 17. APPROPRIATIONS; PROFESSIONAL EDUCATOR LICENSING AND 15.27STANDARDS BOARD. 15.28 Subdivision 1.Professional Educator Licensing and Standards Board.(a) The sums 15.29indicated in this section are appropriated from the general fund to the Professional Educator 15.30Licensing and Standards Board in the fiscal years designated: 2026.....3,933,00015.31 $ 2027.....4,033,00015.32 $ 15Sec. 17. REVISOR CR/HL 25-0505703/19/25 16.1 (b) Any balance remaining in fiscal year 2026 is available in fiscal year 2027. 16.2 Subd. 2.Alternative pathways support position.To fund a position at the Professional 16.3Educator Licensing and Standards Board to support candidates through alternative pathway 16.4programs, including the licensure via portfolio process, and to support districts, charter 16.5schools, and educational cooperatives to become alternative preparation providers: 2026.....205,00016.6 $ 2027.....208,00016.7 $ 16.8 Subd. 3.Heritage language and culture teachers.To support the licensure pathway 16.9program for heritage language and culture teachers under Minnesota Statutes, section 16.10122A.631, including funding for a portfolio liaison and funding for substitute teachers on 16.11meeting days, portfolio fees, licensure fees, and licensure exam fees for 50 program 16.12participants: 2026.....319,00016.13 $ 2027.....322,00016.14 $ 16.15 Subd. 4.Licensure via portfolio online platform.To complete the licensure via portfolio 16.16online platform to streamline the portfolio submission and review process: 2026.....471,00016.17 $ 2027.....321,00016.18 $ 16Sec. 17. REVISOR CR/HL 25-0505703/19/25