Minnesota 2025 2025-2026 Regular Session

Minnesota Senate Bill SF1198 Introduced / Bill

Filed 02/06/2025

                    1.1	A bill for an act​
1.2 relating to education finance; authorizing roof projects as part of the long-term​
1.3 facilities maintenance program; appropriating money; amending Minnesota Statutes​
1.4 2024, section 123B.595, subdivisions 1, 4, 8, 10.​
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:​
1.6 Section 1. Minnesota Statutes 2024, section 123B.595, subdivision 1, is amended to read:​
1.7 Subdivision 1.Long-term facilities maintenance revenue.(a) Long-term facilities​
1.8maintenance revenue equals the greater of (1) the sum of (i) $380 times the district's adjusted​
1.9pupil units times the lesser of one or the ratio of the district's average building age to 35​
1.10years, plus (ii) the cost approved by the commissioner for indoor air quality, fire alarm and​
1.11suppression, and asbestos abatement projects under section 123B.57, subdivision 6, and​
1.12roof repair and replacement with an estimated cost of $100,000 or more per site, plus (iii)​
1.13for a school district with an approved voluntary prekindergarten program under section​
1.14142D.08, the cost approved by the commissioner for remodeling existing instructional space​
1.15to accommodate prekindergarten instruction, or (2) the sum of (i) the amount the district​
1.16would have qualified for under Minnesota Statutes 2014, section 123B.57, Minnesota​
1.17Statutes 2014, section 123B.59, and Minnesota Statutes 2014, section 123B.591, and (ii)​
1.18for a school district with an approved voluntary prekindergarten program under section​
1.19142D.08, the cost approved by the commissioner for remodeling existing instructional space​
1.20to accommodate prekindergarten instruction.​
1.21 (b) Notwithstanding paragraph (a), a school district that qualified for eligibility under​
1.22Minnesota Statutes 2014, section 123B.59, subdivision 1, paragraph (a), for fiscal year 2010​
1.23remains eligible for funding under this section as a district that would have qualified for​
1​Section 1.​
25-02291 as introduced​01/14/25 REVISOR CR/LJ​
SENATE​
STATE OF MINNESOTA​
S.F. No. 1198​NINETY-FOURTH SESSION​
(SENATE AUTHORS: HAUSCHILD, Farnsworth, Kupec, Rarick and Eichorn)​
OFFICIAL STATUS​D-PG​DATE​
Introduction and first reading​02/10/2025​
Referred to Education Finance​ 2.1eligibility under Minnesota Statutes 2014, section 123B.59, subdivision 1, paragraph (a),​
2.2for fiscal year 2017 and later.​
2.3 EFFECTIVE DATE.This section is effective for revenue for fiscal year 2027 and later.​
2.4 Sec. 2. Minnesota Statutes 2024, section 123B.595, subdivision 4, is amended to read:​
2.5 Subd. 4.Facilities plans.(a) To qualify for revenue under this section, a school district​
2.6or intermediate district, not including a charter school, must have a ten-year facility plan​
2.7adopted by the school board and approved by the commissioner. The plan must include​
2.8provisions for implementing a health and safety program that complies with health, safety,​
2.9and environmental regulations and best practices, including indoor air quality management​
2.10and remediation of lead hazards. The plan must address the maintenance and repair schedule​
2.11for each school's roof for which funding is requested. For planning purposes, the plan must​
2.12also address provisions for providing a gender-neutral single-user restroom at each school​
2.13site.​
2.14 (b) The district must annually update the plan, submit the plan to the commissioner for​
2.15approval by July 31, and indicate whether the district will issue bonds to finance the plan​
2.16or levy for the costs.​
2.17 (c) For school districts issuing bonds to finance the plan, the plan must include a debt​
2.18service schedule demonstrating that the debt service revenue required to pay the principal​
2.19and interest on the bonds each year will not exceed the projected long-term facilities revenue​
2.20for that year.​
2.21 EFFECTIVE DATE.This section is effective for revenue for fiscal year 2027 and later.​
2.22 Sec. 3. Minnesota Statutes 2024, section 123B.595, subdivision 8, is amended to read:​
2.23 Subd. 8.Long-term facilities maintenance equalized levy.(a) A district's long-term​
2.24facilities maintenance equalized levy equals the district's long-term facilities maintenance​
2.25equalization revenue minus the greater of:​
2.26 (1) the lesser of the district's long-term facilities maintenance equalization revenue or​
2.27the amount of aid the district received for fiscal year 2015 under Minnesota Statutes 2014,​
2.28section 123B.59, subdivision 6; or​
2.29 (2) the district's long-term facilities maintenance equalization revenue times the greater​
2.30of (i) zero, or (ii) one minus the ratio of its adjusted net tax capacity per adjusted pupil unit​
2.31in the year preceding the year the levy is certified to 123 ....... percent of the state average​
2​Sec. 3.​
25-02291 as introduced​01/14/25 REVISOR CR/LJ​ 3.1adjusted net tax capacity per adjusted pupil unit for all school districts in the year preceding​
3.2the year the levy is certified.​
3.3 (b) For purposes of this subdivision, "adjusted net tax capacity" means the value described​
3.4in section 126C.01, subdivision 2, paragraph (b).​
3.5 EFFECTIVE DATE.This section is effective for revenue for fiscal year 2027 and later.​
3.6 Sec. 4. Minnesota Statutes 2024, section 123B.595, subdivision 10, is amended to read:​
3.7 Subd. 10.Allowed uses for long-term facilities maintenance revenue.(a) A district​
3.8may use revenue under this section for any of the following:​
3.9 (1) deferred capital expenditures and maintenance projects necessary to prevent further​
3.10erosion of facilities, including repair and replacement of roofs;​
3.11 (2) increasing accessibility of school facilities;​
3.12 (3) health and safety capital projects under section 123B.57;​
3.13 (4) remodeling or constructing a gender-neutral single-user restroom at each school site;​
3.14or​
3.15 (5) by board resolution, to transfer money from the general fund reserve for long-term​
3.16facilities maintenance to the debt redemption fund to pay the amounts needed to meet, when​
3.17due, principal and interest on general obligation bonds issued under subdivision 5.​
3.18 (b) A charter school may use revenue under this section for any purpose related to the​
3.19school.​
3.20 EFFECTIVE DATE.This section is effective for revenue for fiscal year 2027 and later.​
3.21 Sec. 5. APPROPRIATIONS.​
3.22 Subdivision 1.Department of Education.The sums indicated in this section are​
3.23appropriated from the general fund to the Department of Education for the fiscal years​
3.24designated.​
3.25 Subd. 2.Long-term facilities maintenance equalized aid.(a) For long-term facilities​
3.26maintenance equalized aid under Minnesota Statutes, section 123B.595, subdivision 9:​
2026​.....​.......​3.27 $​
2027​.....​.......​3.28 $​
3.29 (b) The 2026 appropriation includes $....... for 2025 and $....... for 2026.​
3​Sec. 5.​
25-02291 as introduced​01/14/25 REVISOR CR/LJ​ 4.1 (c) The 2027 appropriation includes $....... for 2026 and $....... for 2027.​
4​Sec. 5.​
25-02291 as introduced​01/14/25 REVISOR CR/LJ​