Senate file 29-65 would let districts use food service fund balances for kitchen and dining renovations; superintendents and business officials support modest,

Senator Kunish presented Senate File 29-65, which would modify eligible expenditures from school food service funds so districts may use balances for renovations and reconfiguration of kitchens and dining areas aimed at improving meal service efficiency.

Superintendents and school business officials from several districts described large participation increases following universal free meals and asked for flexibility to use existing food service fund balances for targeted infrastructure projects. Dr. Jeremy Schmidt, superintendent of Becker Public Schools, said Becker saw about a 20% increase in lunches served districtwide after universal meals (with some buildings up about 25%), representing "over 53,000 additional lunches and 50,000 additional breakfasts" compared with pre-universal-meals years; he said serving lines, storage and trash/compost stations are over capacity. Tina Burkholder, director of business services at Monticello Public Schools (and legislative chair of the Minnesota Association of School Business Officials), said districts can currently use food service funds for equipment but not for necessary infrastructure changes such as minor electrical work or flooring repairs; Monticello had to use capital funds for such work when modernizing an elementary school kitchen.

Dr. Jeff Holmberg, superintendent of Centennial Schools, said Centennial's participation rose from 55% to 72%, and urged the committee to consider whether the bill should be amended to allow fund balances to offset construction projects that expand kitchen and cafeteria footprints; he noted many district cafeterias lack dishwashers and are undersized for current meal loads. Testimony included statewide figures: committee discussion cited district food service balances rising from about $126,000,000 in 2020-21 to over $260,000,000 in 2025 (an increase of roughly $134,000,000). Supporters characterized the bill as maintaining accountability while allowing districts to spend existing, assigned food service dollars to modernize facilities rather than competing for capital funds.

Senators discussed the possibility of a narrower amendment to allow expansion projects; Senator Kunish said she preferred a cautious, incremental approach but was open to future adjustments. No final vote was taken; the committee laid Senate File 29-65 over for possible inclusion in an omnibus bill.