This November, Minnesota voters will consider a constitutional amendment regarding the state’s Permanent School Fund. The proposed amendment asks voters to decide whether to modernize the fund’s distribution formula to increase annual financial support for public schools.
To help voters make an informed decision, here is a background on the Permanent School Fund and what the proposed amendment would do.
What is the Permanent School Fund?
Established when Minnesota became a state in 1858, the Permanent School Fund is a public trust created to provide a permanent, ongoing source of financial support for public education. The fund generates revenue through school trust lands and investments. Over the last 165 years, the fund has grown to more than $2.3 billion. Currently, it provides annual financial support to every public school district and charter school in the state.
What Would the Proposed Amendment Change?
The ballot measure does not change the original purpose of the fund, nor does it create a new government program. Instead, it asks voters to approve an update to how the fund's annual distributions to schools are calculated.
The amendment aims to align the state's distribution formula with modern approaches commonly used by university endowments, charitable foundations, and educational trust funds. The goal of this proposed change is to increase the amount of funding distributed to today’s students while preserving the long-term purchasing power and financial health of the fund for future generations.
Key Facts About the Amendment:
No Tax Increases: The proposed constitutional amendment relies solely on the existing Permanent School Fund. It does not raise property taxes, income taxes, sales taxes, or any other taxes.
Bipartisan Origins: The recommendation to update the formula originated from a nonpartisan legislative task force composed of investment professionals, trust experts, legal experts, and education representatives. Following more than a year of study, the task force unanimously recommended modernizing the formula, which then received strong bipartisan support in the Minnesota Legislature.
Ballot Rules: Under Minnesota election law, leaving a constitutional amendment question blank on your ballot automatically counts as a "no" vote.
Learn More Before You Vote:
Community members are encouraged to become informed and participate in the election process. For more information about the Permanent School Fund amendment, including frequently asked questions, background information, and voter resources, please visit:
