SF3551

Purpose

The bill updates Minnesota’s education finance law by correcting an outdated cross-reference and clarifying how certain county apportionments affect a school district’s general education aid.

Main Provisions

• Adds a new subdivision (Subd. 3) to Minnesota Statutes 2024 section 126C.21 to be titled “County apportionment deduction.”
• Requirement: Each year, the amount of money apportioned to a district for that year under sections 127A.34 subdivision 2 and 272.029 subdivision 6 must be deducted from:
  • the district’s general education aid earned for that same year, or
  • aid earned from other state sources.
• The deduction applies within the same year as the apportioned funds.

Significance and Changes to Existing Law

• Corrects an obsolete apportionment reference by modifying the statute to clearly link county apportionment deductions to the specified apportionment sources (127A.34(2) and 272.029(6)).
• Clarifies the mechanism for reducing general education aid by the amount previously apportioned to districts, ensuring funds are accounted for in the same year.

Notes on Impact

• The change affects how districts’ general education aid is calculated by explicitly subtracting certain county apportionments from aid earned, which could alter the net aid districts receive in a given year.

Relevant Terms - general education aid - county apportionment deduction - Minnesota Statutes 2024 section 126C.21 subdivision 3 - 127A.34 subdivision 2 - 272.029 subdivision 6 - apportionment - district - other state sources - education finance