1.2relating to education; modifying referendum revenue;amending Minnesota
1.3Statutes 2008, sections 126C.01, by adding a subdivision; 126C.17, subdivisions
1.45, 6.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6    Section 1. Minnesota Statutes 2008, section 126C.01, is amended by adding a
1.7subdivision to read:
1.8    Subd. 3a. Referendum market value equalizing factor. The referendum market
1.9value equalizing factor equals the quotient derived by dividing the total referendum
1.10market value of all school districts in the state for the year before the year the levy is
1.11certified by the total number of resident pupil units in the state for the current school year.
1.12EFFECTIVE DATE.This section is effective for taxes payable in 2009 and later.

1.13    Sec. 2. Minnesota Statutes 2008, section 126C.17, subdivision 5, is amended to read:
1.14    Subd. 5. Referendum equalization revenue. (a) For fiscal year 2003 and later,
1.15a district's referendum equalization revenue equals the sum of the first tier referendum
1.16equalization revenue and the second tier referendum equalization revenue.
1.17(b) A district's first tier referendum equalization revenue equals the district's first
1.18tier referendum equalization allowance times the district's resident marginal cost pupil
1.19units for that year.
1.20(c) For fiscal year 2006, a district's first tier referendum equalization allowance
1.21equals the lesser of the district's referendum allowance under subdivision 1 or $500. For
1.22fiscal year 2007, a district's first tier referendum equalization allowance equals the lesser
1.23of the district's referendum allowance under subdivision 1 or $600.
2.1For fiscal year 2008 and later, (d) A district's first tier referendum equalization
2.2allowance equals the lesser of the district's referendum allowance under subdivision 1 or
2.3$700 $1,000.
2.4(d) (e) A district's second tier referendum equalization revenue equals the district's
2.5second tier referendum equalization allowance times the district's resident marginal cost
2.6pupil units for that year.
2.7(e) (f) For fiscal year 2006, a district's second tier referendum equalization allowance
2.8equals the lesser of the district's referendum allowance under subdivision 1 or 18.6 percent
2.9of the formula allowance, minus the district's first tier referendum equalization allowance.
2.10For fiscal year 2007 and later, a district's second tier referendum equalization allowance
2.11equals the lesser of the district's referendum allowance under subdivision 1 or 26 percent
2.12of the formula allowance, minus the district's first tier referendum equalization allowance.
2.13(f) (g) Notwithstanding paragraph (e) (f), the second tier referendum allowance for a
2.14district qualifying for secondary sparsity revenue under section 126C.10, subdivision 7, or
2.15elementary sparsity revenue under section 126C.10, subdivision 8, equals the district's
2.16referendum allowance under subdivision 1 minus the district's first tier referendum
2.17equalization allowance.
2.18EFFECTIVE DATE.This section is effective for revenue for fiscal year 2010
2.19and later.

2.20    Sec. 3. Minnesota Statutes 2008, section 126C.17, subdivision 6, is amended to read:
2.21    Subd. 6. Referendum equalization levy. (a) For fiscal year 2003 and later,
2.22A district's referendum equalization levy equals the sum of the first tier referendum
2.23equalization levy and the second tier referendum equalization levy.
2.24(b) A district's first tier referendum equalization levy equals the district's first tier
2.25referendum equalization revenue times the lesser of one or the ratio of the district's
2.26referendum market value per resident marginal cost pupil unit to $476,000 200 percent of
2.27the statewide referendum market value equalizing factor.
2.28(c) A district's second tier referendum equalization levy equals the district's second
2.29tier referendum equalization revenue times the lesser of one or the ratio of the district's
2.30referendum market value per resident marginal cost pupil unit to $270,000.
2.31EFFECTIVE DATE.This section is effective for revenue for fiscal year 2010
2.32and later.