Governor Tim Pawlenty today announced that Minnesota school districts will receive $55.2 million in vouchers to purchase new computer hardware and software beginning this week. The money is part of a $174.5 million settlement from a class action suit which alleged that Microsoft overcharged Minnesota consumers and businesses for certain products.

"This is a wonderful infusion of funding for technology in Minnesota schools," Governor Tim Pawlenty said. "With the fast-paced changes in the field of technology it is often difficult for schools to keep pace. This money will allow them to update, and in many cases, expand their technology, which in turn will help students learn and achieve at higher levels."

Under terms of the 2004 court-approved settlement, any consumer or business that purchased certain Microsoft software for use in Minnesota was eligible to receive vouchers for varying dollar amounts to purchase new computer hardware or software. After the deadline for the public closed, half the value of the unclaimed vouchers was made available to the Minnesota Department of Education. The Department, working with attorneys for the plaintiffs and Microsoft, established a program by which to distribute this "cy pres" award.

Four-hundred-sixty-seven school districts and charter schools will receive vouchers, varying in dollar amounts from several hundred dollars to $6.3 million. The voucher amount available to each district or charter school is based upon its percentage of the state's total free and reduced price lunch eligible students. Vouchers can be redeemed for more than 1,500 eligible products from numerous companies, including Microsoft, from now until January 27, 2012.

The settlement vouchers are intended to supplement, not supplant, current school technology budgets.  Under the terms of the settlement districts cannot direct current technology funds to other areas. The money will go directly to its intended uses - such as increasing and updating software and hardware and enhancing professional development for teachers and staff.

"In this increasingly competitive world we need to ensure that our students are well-prepared for life when they leave our schools," Education Commissioner Alice Seagren said.  "Having up-to-date technology will go a long way toward reaching that goal."

Richard M. Hagstrom of Zelle, Hofmann, Voelbel, Mason & Gette, LLP, lead counsel for Minnesota consumers and businesses, added, "We are pleased to have been able to negotiate this award to the Minnesota Department of Education as part of the settlement.  We strongly believe in the benefits of technology in the classroom."