H.F. 1109 - Education Savings Accounts for Minnesota Students Act

• Establishes education savings accounts (ESAs) allowing eligible low-income students to receive annual funding equal to the state's adjusted per pupil formula allowance plus weighted funding for students with disabilities or English learners, to be used for qualifying educational expenses.

• Limits initial participation to 5% of prior year's public school average daily membership, increasing by 3% annually; prioritizes students entering kindergarten, those previously enrolled in public schools, and siblings of current ESA participants.

• Defines qualifying expenses broadly including tuition, tutoring, curriculum, transportation, online learning, standardized tests, educational therapies, postsecondary institution costs, and up to $400 annually in school supplies, with remaining funds after high school graduation usable for postsecondary expenses.

• Requires the Department of Revenue to administer the program, establish application processes with 90-day fall and 60-day spring enrollment windows, and issue ESA debit cards; program begins accepting fall 2024 applications no later than December 1, 2023.

• Implements fraud prevention measures including suspension for nonqualifying expenses (with three offenses disqualifying students), surety bonds for newer providers, and establishes a Parent Review and Advisory Panel by fall 2026 to rate providers and recommend policy changes.