MN SF1885

Establishes a new foundation and incentive revenue formula for school districts (excluding charter schools) based on student proficiency factors and adjusted pupil units, effective for fiscal year 2018 and later.

Calculates revenue as the lesser of: (1) the district's total proficiency factor multiplied by $200,000 initial allowance, or (2) the district's adjusted pupil units multiplied by $1,000.

Bases total proficiency factor on the average of reading and math proficiency factors, each calculated by comparing a district's eighth-grade Minnesota Comprehensive Assessment proficiency rates to state proficiency rates, averaged over three test administrations.

Reduces foundation and incentive revenue by half for districts that do not maintain a secondary school, and sets revenue to zero for districts that do not maintain either an elementary or secondary school.

Appropriates funds from the general fund to the Department of Education for foundation and incentive revenue in fiscal years 2018 and 2019 (specific dollar amounts left blank in introduced version).