On the heels of hefty budget cuts, Grand Meadow Public Schools is now faced with losing thousands of dollars in revenue from wind turbines.

Superintendent Joe Brown said his district expected to get $50,000 in extra revenue next year thanks to a tax on area wind farms. But a change to state law last year means schools would no longer benefit from the wind energy production tax. Meanwhile, efforts by area lawmakers this session to restore the tax benefits have met stiff opposition.

Brown said his district, which is currently in statutory operating debt, had been counting on the wind tax dollars.

"This isn't gravy train money. This is money that we had actually budgeted for three years ago," Brown said.

But time to restore the wind turbine money for schools is running out. State Rep. Jeanne Poppe, DFL-Austin, said supporters plan to make one last effort to get the change included in a tax bill on Monday.

"We'll attempt it there, but I'm not sure it would meet with success. It's probably not likely," she said.

In general, Poppe said the tax benefit does not break down by party lines. Rather, it has pitted lawmakers from wind-rich areas of the state against those without wind farms.

Since 2002, the state's wind farms have been charged a wind energy production tax in lieu of property taxes. The proceeds of the tax are divvied up, with 80 percent going to the local county, 14 percent to the township and 6 percent to the local school district. But beginning June 30, 2009, any wind tax money received by school districts must be subtracted from their state aid. With several major wind farm projects planned in Mower, Dodge and Olmsted counties, that would mean a sizable jump in wind tax benefits for more area school districts.

Supporters of the change, including state Education Commissioner Alice Seagren, argue it is about equity. They say just because a district has a wind farm does not mean it should get extra money. But others contend that the state formula is already unfair with some districts receiving more money per student than others.

State Rep. Mindy Greiling, DFL-Roseville, is among those with concerns about the wind tax being unfair to districts without wind farms. But Greiling said since lawmakers approved a taconite production tax that benefits Iron Range school districts, it makes sense that schools with wind farms get the same benefit.

"It's only fair to let the wind energy people have their money," she said.

Greiling supported an amendment to a bill she sponsored that would have restored the wind tax benefit for schools. But the provision failed to win support in the Senate.

Senate Minority Leader Dave Senjem said he is frustrated by the opposition to the wind tax benefit. The Rochester Republican said if lawmakers fail in getting the benefit restored this year, he will tackle it again next year.

He added, "The wind area school districts, if they could coalesce around this and make it a legislative priority, that would be helpful."