Minnesota schools have been repaid $2.6 billion of the $2.8 billion owed by the state, Gov. Mark Dayton announced Monday.
Dayton, along with Senate Majority Leader Tom Bakk, House Speaker Paul Thissen, Management and Budget Commissioner Jim Schowalter, and Education Commissioner Brenda Cassellius announced that Minnesota schools were repaid an additional $636 million at the end of the 2013 fiscal year.
Unexpected savings in state spending accounted for much of the additional repayment -- that $636 million is about $200 million more than expected this summer. Now, Minnesota owes schools just $238 million.
The new state budget signed this spring allocates over $600 million to Minnesota students.
"Last spring, the DFL legislature and I passed the first responsible state budget in more than a decade," Dayton said. "This additional repayment of the state's debt to our schools marks another step toward a clean fiscal slate, from which we will build a better Minnesota."