MN HF1529

Creates a five-year pilot program (2016-2017 through 2020-2021) establishing Education Savings Accounts (ESAs) for students with individualized education programs (IEPs) or who qualify for special education services.

Funds ESAs based on statewide average general education revenue per pupil unit plus special education funding amounts, distributed on first-come, first-served basis with Commissioner of Education approving applications within 21 business days.

Allows participating parents to use ESA funds for tuition at nonpublic schools, tutoring, curriculum, online learning, educational therapies, postsecondary institution costs, and up to $300 annually in consumable school supplies.

Participating students must withdraw from public school enrollment and forfeit entitlement to free special education services from their resident school district; parents receive ESA debit cards with merchant category codes restricting purchases to qualifying education expenses.

Establishes accountability measures including random audits, fraud reporting systems, temporary suspension of cards for unauthorized spending, disqualification after three offenses within three years, and nonpublic schools remain autonomous without expanded state regulatory authority.