The bill presented requires school districts in Minnesota with underperforming prekindergarten programs to have those programs evaluated by the Parent Aware program. Specifically, the bill amends Minnesota Statutes to add requirements for these school districts to:

1. Include a plan every two years in their district’s comprehensive achievement and civic readiness plan that describes how their prekindergarten program meets certain educational standards.
2. Submit an annual report to the Department of Education detailing their compliance with the school readiness funding requirements.
3. Undergo qualification under new criteria if they score below the state average in a composite of specific performance measures.

The bill also outlines the components of a standards-based voluntary quality rating and improvement system that starts from July 1, 2026, which mandates at least a one-star rating for all applicable programs. Programs can opt out of the rating system, but if they opt in and meet the standards, they may receive public funding based on their rating.

The system aims to improve educational outcomes for children to ensure they are ready for school by creating a framework based on a common set of outcome and program standards, a tool to increase the quality and number of publicly funded early learning and care services, and means to track progress in early childhood education across the state.

In addition, by July 2026, the commissioner of children, youth, and families is tasked to establish a process allowing programs to opt out of this rating system and to work with Tribes to develop a consistent rating process for Tribally licensed programs.