1.1 A bill for an act
1.2 relating to education finance; authorizing certain expenditures from the school
1.3 food service fund; amending Minnesota Statutes 2024, section 124D.111,
1.4 subdivision 3.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. Minnesota Statutes 2024, section 124D.111, subdivision 3, is amended to read:
1.7 Subd. 3.School food service fund.(a) The expenses described in this subdivision must
1.8be recorded as provided in this subdivision.
1.9 (b) In each district, the expenses for a school food service program for pupils must be
1.10attributed to a school food service fund. Under a food service program, the school food
1.11service may prepare or serve milk, meals, or snacks in connection with school or community
1.12service activities.
1.13 (c) Revenues and expenditures for food service activities must be recorded in the food
1.14service fund. The costs of processing applications, accounting for meals, preparing and
1.15serving food, providing kitchen custodial services, waste management, and other expenses
1.16involving the preparing of meals or the kitchen section or serving area sections of the
1.17lunchroom may be charged to the food service fund or to the general fund of the district.
1.18For the purposes of this paragraph, the costs of serving food include the costs of technology
1.19and systems related to serving line automation and meal tracking. The costs of lunchroom
1.20supervision, lunchroom custodial services, lunchroom utilities, lunchroom furniture, and
1.21other administrative costs of the food service program must be charged to the general fund.
1.22 That portion of superintendent and fiscal manager costs that can be documented as
1.23attributable to the food service program may be charged to the food service fund provided
1Section 1.
25-04887 as introduced03/13/25 REVISOR CR/AC
SENATE
STATE OF MINNESOTA
S.F. No. 2965NINETY-FOURTH SESSION
(SENATE AUTHORS: KUNESH)
OFFICIAL STATUSD-PGDATE
Introduction and first reading03/24/2025
Referred to Education Finance 2.1that the school district does not employ or contract with a food service director or other
2.2individual who manages the food service program, or food service management company.
2.3If the cost of the superintendent or fiscal manager is charged to the food service fund, the
2.4charge must be at a wage rate not to exceed the statewide average for food service directors
2.5as determined by the department.
2.6 (d) Capital expenditures for the purchase of food service equipment must be made from
2.7the general fund and not the food service fund, unless the restricted balance in the food
2.8service fund at the end of the last fiscal year is greater than the cost of the equipment to be
2.9purchased.
2.10 (e) If the condition set out in paragraph (d) applies, the equipment may be purchased
2.11from the food service fund.
2.12 (f) If a deficit in the food service fund exists at the end of a fiscal year, and the deficit
2.13is not eliminated by revenues from food service operations in the next fiscal year, then the
2.14deficit must be eliminated by a permanent fund transfer from the general fund at the end of
2.15that second fiscal year. However, if a district contracts with a food service management
2.16company during the period in which the deficit has accrued, the deficit must be eliminated
2.17by a payment from the food service management company.
2.18 (g) Notwithstanding paragraph (f), a district may incur a deficit in the food service fund
2.19for up to three years without making the permanent transfer if the district submits to the
2.20commissioner by January 1 of the second fiscal year a plan for eliminating that deficit at
2.21the end of the third fiscal year.
2.22 (h) If a surplus in the food service fund exists at the end of a fiscal year for three
2.23successive years, a district may recode for that fiscal year the costs of lunchroom supervision,
2.24lunchroom custodial services, lunchroom utilities, lunchroom furniture, and other
2.25administrative costs of the food service program charged to the general fund according to
2.26paragraph (c), or costs under paragraph (j), and charge those costs to the food service fund
2.27in a total amount not to exceed the amount of surplus in the food service fund.
2.28 (i) For purposes of this subdivision, "lunchroom furniture" means tables and chairs
2.29regularly used by pupils in a lunchroom from which they may consume milk, meals, or
2.30snacks in connection with school or community service activities.
2.31 (j) The costs of kitchen, serving area, lunchroom, and food storage remodeling or
2.32reconfiguration may not be charged to the food service fund, except as provided under
2.33paragraph (h). The costs of plumbing, electrical, air handling, ventilation, or other building
2.34utility work necessary to operate equipment essential for food service activities or to
2Section 1.
25-04887 as introduced03/13/25 REVISOR CR/AC 3.1remediate food service-related health and safety hazards may not be charged to the food
3.2service fund, except as provided under paragraph (h).
3.3 EFFECTIVE DATE.This section is effective for fiscal year 2026 and later.
3Section 1.
25-04887 as introduced03/13/25 REVISOR CR/AC