School district aid calculation clarification provision and levy limitations upon return of excess tax increment or decertification of a tax increment district

This bill clarifies how Minnesota school districts adjust their state aid and budget limits when they receive excess funds from tax increment districts (TIDs) that are either returned or decertified. Specifically, it requires districts to reduce their current year aid by a calculated amount based on the previous year's excess payment and the district's certified levy history from two years prior. The adjustment affects both aid payments and budget limits, but only applies to excess payments exceeding $25,000 per year. The changes take effect for fiscal year 2027 and directly impact school districts receiving such tax increment returns.