Purpose

This bill changes how a district earns “extended time revenue” for extra educational time beyond the regular school year. It ties this funding to changes in Minnesota’s general education basic formula allowance and updates how the extended time money is calculated and used.

Main provisions and what the bill seeks to accomplish

• Defines and updates extended time revenue for school districts.
• For fiscal years 2023 and later (including 2024 and 2025): the extended time allowance is set at a fixed amount (5,117 units for each applicable case).
• For fiscal year 2026 and later: the extended time allowance is the previous year’s extended time formula allowance multiplied by the greater of 1 or the ratio of the current year basic formula allowance to the previous year basic formula allowance. This ties future funding to changes in the basic formula.
• Extended time revenue is calculated by multiplying the extended time allowance by the district’s adjusted pupil units for pupils with average daily membership (ADM) slightly above or below a defined range (specifically, greater than 1.0 and less than 1.2 as defined in the applicable statute).
• Special cases for certain programs and schools:
  • For students in onsite education programs at Prairie Lakes Education Center or Lake Park School (within Independent School District No. 347, Willmar), after the previous regular school year, funding equals the total membership hours divided by the minimum annual instructional hours, capped at 0.20 times the pupil unit weighting, then multiplied by the extended time allowance.
  • For instruction after the end of the regular year for pupils in day treatment programs or those in a children’s residential facility (whether education is onsite or offsite), extended time revenue is the summer membership hours divided by the minimum annual instructional hours, capped at 0.20 times the pupil unit weighting, then multiplied by the extended time allowance.
• Definitions added or clarified:
  • “Children’s residential facility” includes psychiatric residential treatment facilities or inpatient hospitals with mental health services, licensed by relevant state agencies and subject to specified rules.
  • “Day treatment program” includes site-based mental health programs with a team supervised by a mental health professional or another program designated by the education commissioner consistent with MARSS (Minnesota Automated Reporting Student System) procedures.
• Use of funds:
  • Extended time revenue may be used for various extended-time or learning-year activities, such as extended day programs, extended week programs, summer school, vacation break academies (including spring and summer), and other programming authorized under the learning year program.

Significant changes to existing law

• Revisions to Minnesota Statutes 2024 section 126C.10 subdivision 2a to establish a new framework for calculating extended time revenue, linking it to the general education basic formula allowance.
• Introduces a scalable funding model for extended time that adjusts in 2026 and beyond based on changes to the basic formula, rather than keeping a fixed amount.
• Expands eligibility and calculation rules to include specific programs (day treatment, certain residential facilities) and specific sites (Prairie Lakes Education Center and Lake Park School within Willmar) with explicit calculation methods.
• Adds formal definitions for “children’s residential facility” and “day treatment program” to clarify what types of services and settings qualify for extended time revenue.
• Allows districts to use extended time funds for a broader set of learning-year activities, reinforcing flexibility in how extended time is delivered.

Relevant terms section follows.

Relevant Terms - extended time revenue - extended time allowance - general education basic formula allowance - Minnesota Statutes 2024 section 126C.10 subdivision 2a - subdivision 2a (Extended time revenue) - adjusted pupil units - pupil units - average daily membership (ADM) - 126C.05 subdivision 8 - 126C.05 subdivision 15 - minimum annual instructional hours - Prairie Lakes Education Center - Lake Park School - Independent School District No. 347 (Willmar) - day treatment program - children’s residential facility - psychiatric residential treatment facility - Department of Human Services - Department of Corrections - Minnesota Rules chapter 2960 - MARSS (Minnesota Automated Reporting Student System) - site-based structured mental health program - learning year program - summer instruction and related programming (extended day, extended week, summer school, academies)