Integration Rule and Statute Alignment Work Group

Achievement and Integration (AI) Program Guidance


Incentive Revenue

A district’s maximum incentive revenue equals $10 per adjusted pupil unit. Districts will qualify to receive this revenue if they are implementing a voluntary plan to reduce racial and economic enrollment disparities through intradistrict and interdistrict activities included in their approved achievement and integration plan (124D.862 Subd. 2).

Proposed Incentive Revenue Guidance

Districts will qualify to receive this portion of achievement integration revenue if their three-year achievement integration plan includes either interdistrict or intradistrict initiatives designed to reduce racial and economic enrollment disparities. The status of the district will determine the type of initiative with the primary consideration being whether the district has a racially identifiable school (RIS) and the district’s integration status (racially isolated, adjoining, and voluntary).

Intradistrict initiatives: Districts with one or more racially identifiable schools (RIS) may include intradistrict initiatives designed to reduce racial and economic enrollment disparities at the RIS and schools within the district serving the same grade level. The initiatives must reflect the need to create greater economic and racial balance at the RIS and be aligned with program components authorized in 124D.861 Subd. 2.

Qualifying intradistrict initiatives will be designed to bring enrollments at RIS to within ten percent of the district-wide FRPL average for the grade levels served These initiatives may include, but are not limited to the following: boundary changes, magnet school or magnet programs at the RIS, priority status for students in the RIS attendance zone to attend district magnet schools outside their attendance zone, open enrollment pairing with another district school with lower than average FRPL enrollments, and targeted school choice outreach.

Interdistrict initiatives: Racially isolated, adjoining, and voluntary districts that do not have a racially identifiable school (as defined by Minn. Rule 3535.0110 Subp. 6) within their district may be eligible for incentive revenue for implementing interdistrict initiatives designed to reduce racial and economic enrollment disparities relative to a district within its integration collaborative. These initiatives shall address enrollment disparities between the racially isolated district and its adjoining or voluntary districts. Incentive revenue initiatives will take into consideration but are not limited to considering enrollment patterns, neighborhood demographics, transportation, and will align with the state’s Enrollment Options guidelines. Incentive revenue enrollment initiatives may also establish enrollment provisions through agreements between school boards. To be eligible for funding, interdistrict initiatives must be included in the multidistrict collaborative plan which must be ratified by boards of participating districts.

Incentive Revenue Budget: In order to receive the revenue to support these either initiative, districts will report their proposed incentive revenue expenditures to MDE as part of their annual budget submission. Districts may submit line item expenditures up to the maximum amount they qualify to receive under Sec. 30. Subd. 2. Incentive Revenue expenditures will be listed within the budget by UFARS using FIN code 318. The total of Incentive Revenue expenditures will also be listed separately on the district’s budget coversheet. Districts will receive the lesser of their approved incentive revenue amount, their maximum eligible amount, or what they actually expend.

Revenue amounts for interdistrict enrollment initiatives will be listed in either member districts’ budget to reflect each district’s estimated cost of implementing the initiative, e.g. if a district will incur no costs, there will be no line item expenditures in that district’s budget. A district’s annual budget narrative will explain how proposed expenditures are intended to support implementation of the enrollment initiative.