Columbia Heights school board urges legislature to fix compensatory-aid certification, cites $3.7 million loss

The Columbia Heights Public Schools board adopted a resolution Wednesday asking the Minnesota Legislature and the governor to promptly pass a bill that creates a hold-harmless mechanism or permanent fix for changes to compensatory-aid certification and calculations.

Board member Maderas (full name not specified in the transcript), who authored the resolution, read the board’s findings aloud and moved to adopt it. The motion was seconded and passed on a roll-call vote; the board president announced the motion carried.

The resolution says Columbia Heights Public Schools (Independent School District No. 13) received roughly $9,000,000 in compensatory funding in fiscal year 2024–25 and that a shift from using free-and-reduced-price-lunch forms to relying only on county direct certification will miss “just over 900” eligible students. The district estimates that change would reduce its compensatory funding by $3,700,000 for the 2025–26 school year — an amount the resolution describes as roughly $1,000 per pupil and equivalent to about 5% of the district’s annual budget.

Why it matters

Board member Jessica (full name not specified in the transcript) described the change as “a very dire situation,” saying the board has worked to maintain fiscal solvency and that an unexpected loss of this size would “absolutely decimate our budget.” She told colleagues the resolution is intended to bolster the district’s advocacy at the Capitol and to support testimony already given by district leaders and union officials.

Superintendent Stenbic (full name not specified in the transcript) and other board members noted that the shift to direct certification has been phased in statewide and that, while the state previously accepted both direct certification and paper educational-benefits (school-lunch) forms, the upcoming change would remove the paper option and thereby undercount eligible students in some districts.

Board discussion and context

Board members said the resolution does not itself change funding but is intended to amplify district advocacy. Speakers pointed to bipartisan interest at the Capitol and named Senator Sandra Feist as an author of legislation meant to address the issue. Board members repeatedly urged quick legislative action so the district can finalize budget decisions and give staff an early sense of job security for the 2025–26 school year.

The resolution text included these specific claims drawn from the district’s materials: that the change will miss “just over 900” eligible students and reduce revenue by $3,700,000; that the $3.7 million represents roughly 5% of the district’s annual budget and more than half of the district fund balance; and that the loss is comparable to the personnel cost of “85% of the teachers in a single district elementary school.” Those numbers were presented to the board as the district’s estimate.

Outcome and next steps

The board adopted the resolution by roll call; the chair announced the motion carried. The resolution asks the legislature to enact a hold-harmless mechanism or permanent statutory fix. Board members said district leaders, the local union (Local 710) and others will continue legislative outreach and testimony.

Ending

Board members said the district’s advocacy will continue in coordination with neighboring districts and union leaders, and they encouraged community members to contact legislators. The resolution and related materials will remain available through the district’s public records and the board said it will track legislative action.