This bill amends Minnesota Statutes 2024, section 124E.22, to provide building lease aid for charter schools that find it economically advantageous to rent or lease facilities for instructional purposes. The bill outlines the criteria the commissioner must use to review lease aid applications, including the reasonableness of the price, compliance with state laws, and the appropriateness of the lease in relation to the school's needs. Additionally, it specifies that the aid can only be approved for leases with a defined annual cost and a closure clause that relieves the school of obligations upon termination of the charter contract.

The bill also updates the maximum annual building lease aid amount, increasing it from $1,314 to $1,606 per pupil unit served. Furthermore, it introduces a provision that the aid amount for fiscal year 2026 and beyond will be rounded to the nearest whole dollar and will increase in line with the formula allowance adjustments from the previous fiscal year. The bill explicitly states that the lease aid cannot be used for custodial, maintenance, utility, or other operating costs.

Statutes affected:
Introduction: 124E.22