MN HF1937

School boards may hold a formal hearing to declare an urgent educational need and reallocate district general education revenue to improve education programs and student outcomes.

Reallocation of revenue must not increase state aid obligations, result in additional property tax authority, or violate federal mandates or court orders.

For fiscal years 2013-2014, general education revenue comprises basic revenue, extended time revenue, gifted and talented revenue, small schools revenue, basic skills revenue, sparsity revenue, operating capital revenue, equity revenue, alternative teacher compensation revenue, and transition revenue.

For fiscal year 2015 and later, general education revenue includes declining enrollment revenue and location equity revenue while removing alternative teacher compensation revenue from the revenue components.

Provisions are effective for fiscal year 2015 and later.