Policy 101-R School District Legal Status Regulations

A. The school district is a separate legal entity.

B. The school district is coordinate with and not subordinate to the county(ies) in which it is situated.

C. The school district is not subservient to municipalities within its territory.

A. Funds

1. The school district, through its school board, has authority to raise  funds for the operation and maintenance of its schools, and authority to manage and expend such funds, subject to applicable law.
2. The school district has wide discretion over the expenditure of funds under its control for public purposes, subject to the limitations provided by law.
3. School district officials occupy a fiduciary position in the management and expenditure of funds entrusted to them.

B. Raising Funds

1. The school district shall, within the limitations specified by law, provide by levy of tax necessary funds for the conduct of schools, payment of indebtedness, and all proper expenses.
2. The school district may issue bonds in accordance with the provisions of Minn. Stat. Ch. 475, or other applicable law.
3. The school district has authority to accept gifts and donations for school purposes, subject to applicable law.

C. Property

1. The school district may acquire property for school purposes. It may sell, exchange, or otherwise dispose of property which is no longer needed for school purposes, subject to applicable law.
2. The school district shall manage its property in a manner consistent with the educational functions of the district.
3. The school district may permit the use of its facilities for community purposes which are not inconsistent with, nor disruptive of, its educational mission.
4. School district officials hold school property as trustees for the use and benefit of students, taxpayers and the community.

D. Contracts

1. The school district is empowered to enter into contracts in the manner provided by law.
2. The school district has authority to enter into installment purchases and leases with an option to purchase, pursuant to Minn. Stat. § 465.71 or other applicable law.
3. The school district has authority to make contracts with other governmental agencies and units for the purchase, lease or other acquisition of equipment, supplies, materials, or other property, including real property.
4. The school district has authority to enter into employment contracts. As a public employer, the school district, through its designated representatives, shall meet and negotiate with public employees in an appropriate bargaining unit and enter into written collective bargaining agreements with such employees, subject to applicable law.

E. Textbooks, Educational Materials, and Studies

1. The school district, through its school board and administrators, has the authority to determine what textbooks, educational materials, and studies should be pursued.
2. The school district shall establish and apply the school curriculum.

F. Action and Suits

1. The school district has authority to sue and to be sued.

• Minn. Const. art. 13, § 1 
• Minn. Stat. Ch. 123B (School Districts, Powers and Duties) 
• Minn. Stat. Ch. 179A (Public Employment Labor Relations) 
• Minn. Stat. § 465.035 (Conveyance or Lease of Land) 
• Minn. Stat. §§ 465.71; 471.345; 471.6161; 471.6175; 471.64 (Rights, Powers, Duties of Political Subdivisions) Minnesota Association of Public Schools v. Hanson, 287 
• Minn. 415, 178 N.W.2d 846 (1970) Independent School District No. 581 v. Mattheis, 275 Minn. 383, 147 N.W.2d 374 (1966) Village of Blaine v. Independent School District No. 12, 272 
• Minn. 343, 138 N.W.2d 32 (1965) Huffman v. School Board, 230 
• Minn. 289, 41 N.W.2d 455 (1950) State v. Lakeside Land Co., 71 
• Minn. 283, 73 N.W.970 (1898)

• Adopted: March 9, 1970
• Amended: September 9, 1985
• Amended: April 5, 2004
• Amended: March 12, 2007
• Amended: September 11, 2017
• Last reviewed: March 9, 2026