MN SF2017

Reduces the percentage of compensatory revenue that districts can reallocate away from school sites from 50 percent to 30 percent, requiring more revenue to stay at individual buildings where eligible students are enrolled.

Modifies the compensatory undercount adjustment formula to include English learner enrollment (up to 4%), eligible students counted through paper forms during fall 2022 (up to 4%), and highly mobile or homeless enrollment (up to 2%).

Changes allowable uses of compensatory revenue starting fiscal year 2024, eliminating certain program options like staff development, health services, and extended year programs, while maintaining core services like remedial instruction and early education programs.

Requires the Department of Education to report by January 15, 2024, on whether paper eligibility forms for free and reduced-price meals can be eliminated for school nutrition programs, Title 1 funding, e-rate funding, and other federal or state income-based programs.

Requires districts to report whether programs funded with compensatory revenue are consistent with best practices, and directs the Department of Education and regional centers of excellence to identify and provide best practice guidance to schools.