female student looking through a microscope lens
Feb 23, 2026

Why Minnesota’s Contract Alternative Program Bill Matters for Young People in 2026

Amy Anlauf
Authored By

After more than 22 years working in Contract Alternative Programs (CAPs), I have seen one truth again and again: When young people receive the right environment, they rise.

Every student deserves a real chance to finish high school and imagine a future they can be proud of. But for many teens in Minnesota, the traditional school system wasn’t built with their realities in mind. That’s why CAPs exist and why the 2026 CAP Building Lease and Facilities Aid bill is so important for the students we serve.

What CAPs Are and Why They Matter

Contract Alternative Programs (CAPs) are State-Approved Alternative Programs (SAAPs) operated by nonprofit organizations in partnership with local school districts. CAPs have been part of Minnesota’s educational landscape since the early 1970s, quietly offering some of the most innovative and student‑centered programming in the state.

Today, Minnesota is home to nine CAP programs, run by seven nonprofits across Minneapolis and St. Paul. These programs provide multiple credit‑earning pathways for students who haven’t been successful in traditional public schools.

In Minnesota, students qualify for CAPs because they face significant barriers, including:

  • Being behind in credits
  • Performing below grade level
  • Pregnancy or parenting
  • Physical or sexual abuse
  • Mental health challenges
  • Chemical dependency
  • Homelessness or housing instability
  • Chronic truancy or school withdrawal
  • Limited English proficiency
  • A district referral

These are not small obstacles. And these young people deserve an environment designed to help them overcome them - not fall through the cracks.

A Learning Model That Centers Students, Not Systems

One of the most important features of CAPs is their flexibility. There’s no single delivery model, because no two students’ needs are the same.

  • Instead, CAPs focus on:
  • Small class sizes
  • Hands-on, relevant, career-connected academics
  • Individualized transcript-based plans
  • Social-emotional support
  • Strong wraparound resources
  • Authentic relationships between staff and students

Students in CAPs meet the same graduation requirements as their district peers. We simply provide the conditions where achieving them becomes possible.

A perfect example of this is Carolina’s experience.

She shared how Rose, MERC’s school social worker, offered to drive her to the DMV to get a Real ID during a time when many families felt afraid because of increased ICE activity.

That’s what CAPs do. We remove barriers that would otherwise stand between a young person and their education.

 Carolina’s CAP Experience: A Safe School Changed Everything

PPL’s CAP Schools

At PPL, we operate two CAP schools:

MERC - Minneapolis Employment Readiness Curricula

A small, flexible, community-centered environment that meets students where they are academically, emotionally, and personally.

LNAS - Loring Nicollet Alternative School

A place that blends structure, personalized support, and deep connection, helping students rebuild confidence and catch up on credits.

Over the years, we’ve learned a powerful truth: students are not behind because they don’t care; they’re behind because life forced them to prioritize survival.

When given a safe and supportive space, they re-engage quickly and stories like Jennifer’s reflect this.

She arrived at MERC after experiencing bullying at her previous school. She almost instantly came out of her shell thanks to the support she received from staff and her peers. More recently, she became overwhelmed by fear as ICE activity heightened her anxiety, but our team met her with patience and consistency. MERC provides her with a safe space to continue pursuing her goal of graduation.

Jennifer's CAPs experience: Finding Her Voice at MERC

Programs That Work with Results to Prove It

Despite the barriers our students face, CAPs change outcomes.

In fact, in 2025, MERC and LNAS achieved a 98% graduation rate among credit eligible students who might otherwise have dropped out or disengaged completely.

And these aren’t just numbers. They’re young people with dreams, responsibilities, fears, and tremendous potential - like Sarah.

Sarah struggled with chronic health issues that made traditional school impossible. MERC’s flexible model and resource wall became lifelines. 

Her story illustrates what CAPs provide: stability when life feels unstable.
 

Sarah’s CAPs experience: The School That Made Learning Possible Again

What was Proposed in the 2025 Legislation:

Last year’s bill (HF5073-0) strengthened CAPs by:

  • Ensuring fair reimbursement
  • Providing facilities support on par with charter schools
  • Covering building costs (owned or rented)
  • Ensuring funding follows each student directly to their CAP site

These changes brought long-needed fairness and stability to schools serving Minnesota’s most vulnerable youth.

What We Hope the 2026 Bill Will Fix

The 2026 CAP Building Lease and Facilities Aid bill continues this work by:

  • Protecting facilities funding
  • Supporting stable, high-quality learning environments
  • Ensuring nonprofits like PPL can operate CAPs long-term
  • Reinforcing supports for students with the highest barriers

For MERC and LNAS, this bill safeguards the future of our programs and the students who depend on them.

Why This Matters for Minnesota’s Future

CAPs are more than alternative schools. They are hubs of:

  • Safety: A place where students feel seen and protected
  • Flexibility: Schedules that honor their lived realities
  • Connection: Staff who believe in them before they believe in themselves
  • Hope: A renewed belief that graduation is possible

Minnesota’s largest districts of Anoka-Hennepin, Minneapolis and St. Paul should be recognized for their longstanding commitment to CAP partnerships. These relationships reduce dropout rates, restore trust, and give students a pathway back to education.

After more than two decades in this work, I can tell you with complete certainty: CAPs change lives.

A Future Worth Investing In

When young people step into a place built for them, the results are remarkable: A 98% graduation rate in 2025 among credit eligible students who needed a different environment, not a lesser one.

Strengthening CAPs through the 2026 CAP Building Lease and Facilities Aid bill means more students will stabilize, graduate, and imagine futures filled with possibility.

Call to Action

If you believe every young person deserves a safe and supportive path to graduation, your voice matters.

  • Share this blog
  • Watch and uplift student stories
  • Contact your legislators to support the CAP Building Lease and Facilities Aid bill

Together, we can ensure that every Minnesota student, no matter their background or barrier, has the chance to thrive.