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HF 2152

State total adult basic education aid increased, adult basic education program aid limit modified, funding increased to pay costs of commissioner-selected high school equivalency tests, and money appropriated.

2025-2026 Regular Session Introduced by Josiah Hill and 3 co-sponsors

HF 2152 increases state funding for adult basic education and per-hour caps and expands coverage of HSE test fees, broadening access to credential attainment.

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Bill Summary · HF 2152

Summary of HF 2152 (2025-2026) — Minnesota

Overview

HF 2152 aims to adjust funding and program parameters for adult basic education (ABE) in Minnesota. The bill increases the state total ABE aid, modifies the ABE program aid limit, expands funding to cover the costs of commissioner-selected high school equivalency tests, and includes appropriations for these changes. The changes become effective for fiscal years beginning in 2026 (with some components contingent on fund availability and future years).

Purpose and Intent

  • Increase overall state support for adult basic education.
  • Provide broader and more reliable funding to ABE programs, allowing them to serve more individuals and cover unreimbursed costs.
  • Ensure students pursuing high school equivalency (HSE) tests have greater or full access to needed testing fees through state funding.

Key Provisions

1) State Total ABE Aid (Sec. 1)

  • The state total ABE aid for FY 2026 and later is set at $65,170,000 (up from $52,759,000 in the prior year), plus any unpaid amounts from the previous year due to adjustments or other statutory mechanisms.
  • For later fiscal years: the annual aid is calculated as the prior year’s total aid plus any unpaid amount, multiplied by the lesser of:
    • 1.03, or
    • The greater of:
    • (A) 1 plus the percent change in the formula allowance under 126C.10,2 from the previous year to the current year; or
    • (B) the average growth in state total contact hours over the prior ten program years.
  • 3% of the total ABE aid must be set aside for ABE supplemental service grants under section 124D.522.
  • Excludes basic population aid, which is calculated separately (the difference between the ABE total and basic population aid).
  • Effective for revenue in fiscal year 2026 and later.

2) ABE Program Aid Limit (Sec. 2)

  • The maximum total aid per prior-year ABE contact hour is increased to $36 per hour (from $30).
  • The aid per program, adjusted for changes in program membership, cannot increase by more than the greater of 11% or $12,000 (this replaces the prior $10,000 figure). The bill notes that the limit does not apply for FY 2026.
  • ABE aid is payable for unreimbursed costs occurring in the program year (per 124D.52, subd. 3).
  • If aid is not paid to a program due to the cap, the excess is added to the state total ABE aid for the next year; if underutilized due to the cap, the remaining funds are redistributed by adjusting the rate per contact hour under 124D.531, subd. 3, cl. (2).
  • Effective for revenue in fiscal year 2026 and later.

3) Commissioner-Selected HSE Test Fees (Sec. 3)

  • Current language would have paid 60% of the HSE test fee, up to $40 per eligible individual.
  • For fiscal years 2023 through 2027 (and later, subject to funds), the bill proposes to cover 100% of the cost of the full battery of commissioner-selected HSE tests, but not more than the cost of one full battery per year per individual.
  • Effective July 1, 2025.

4) Appropriations (Sec. 4)

  • The bill creates appropriations from the General Fund to the Department of Education, covering:
    • ABE aid (amounts specified for 2026 and 2027, with placeholders for 2025-2026 timing)
    • HSE test costs (notably $375,000 for 2026 and 2027, with balance amounts carried forward if unspent in 2026)
  • Subd. 2 (ABE aid) and Subd. 3 (HSE tests) specify how funds are allocated by year, including language indicating carry-forward of balances where applicable.

Who Is Affected

  • Adult learners participating in Minnesota’s ABE programs.
  • ABE programs and providers (colleges, community-based organizations, and other partners receiving ABE aid).
  • Individuals seeking commissioner-selected HSE tests who would benefit from increased test-fee coverage.
  • Department of Education, which administers ABE funding and HSE testing programs.

Timeline and Procedural Notes

  • Effective dates primarily begin in fiscal year 2026 for the ABE funding and program limits changes.
  • The HSE test fee expansion is effective July 1, 2025, with ongoing funding considerations through 2027 (and potentially beyond, contingent on funds).
  • Appropriations detail annual funding for 2026 and 2027, with carry-forward provisions if needed.

Summary Assessment

HF 2152 materially increases state support for ABE, increases per-hour funding caps, and expands access to HSE testing by providing greater coverage of test costs. The structure includes provisions to adjust funding based on program growth and enrollment while preserving mechanisms to reallocate funds if caps constrain program reach. The net effect is intended to broaden participation in adult education and facilitate credential attainment.

Compiled from official sources — confirm details with the bill’s official record.

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