Bill > HF1099

This bill modifies how special education aid is distributed to charter schools and resident school districts, with significant changes phased in over several fiscal years. Currently, resident school districts must cover a substantial portion of unreimbursed special education costs for charter schools. The bill gradually reduces this burden by changing the percentage of unreimbursed costs that resident districts must pay. For fiscal years 2021-2025, resident districts will cover 80% of unreimbursed special education costs, but starting in fiscal year 2026, this will change to 50% for students in charter schools with specific characteristics. Additionally, the bill introduces a tiered approach for charter schools receiving special education aid, with different percentage reimbursements based on the proportion of students receiving special education services. For charter schools where 70% or more of students are eligible for special education services, the state will cover 50% of unreimbursed costs. The bill aims to provide more financial support to charter schools for special education expenses and reduce the financial strain on resident school districts. The changes are designed to be implemented incrementally, with the most significant shifts occurring in fiscal year 2026, giving school districts time to adjust to the new funding model.

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=House&f=HF1099&ssn=0&y=2025