SENATE BILL No. 201

 

 

March 12, 2015, Introduced by Senator HILDENBRAND and referred to the Committee on Appropriations.

 

 

 

†††††† A bill to amend 1979 PA 94, entitled

 

"The state school aid act of 1979,"

 

by amending sections 6, 8b, 11, 11a, 11j, 11k, 11m, 11r, 15, 18, 18a, 20, 20d, 20f,

 

20g, 21f, 22a, 22b, 22d, 22f, 22g, 22i, 23a, 24, 24a, 24c, 25e, 25f, 26a, 26b, 26c,

 

31a, 31d, 31f, 32d, 32p, 39, 39a, 41, 43, 51a, 51c, 51d, 53a, 54, 56, 61a, 62, 64b,

 

74, 81, 94, 94a, 95a, 98, 99, 99h, 102, 104, 104c, 107, 147, 147a, 147c, 152a, 163,

 

201, 206, 207a, 207b, 207c, 209, 210, 213, 217, 222, 225, 226, 229, 229a, 230, 236,

 

236b, 236c, 241, 242, 245, 246, 252, 254, 255, 256, 258, 263, 263a, 264, 265, 265a,

 

267, 268, 269, 270, 275, 276, 277, 278, 279, 280, 281, 282, 283, 284, and 286 (MCL

 

388.1606, 388.1608b, 388.1611, 388.1611a, 388.1611j, 388.1611k, 388.1611m, 388.1611r,

 

388.1615, 388.1618, 388.1618a, 388.1620, 388.1620d, 388.1620f, 388.1620g, 388.1621f,

 

388.1622a, 388.1622b, 388.1622d, 388.1622f, 388.1622g, 388.1622i, 388.1623a, 388.1624,

 


388.1624a, 388.1624c, 388.1625e, 388.1625f, 388.1626a, 388.1626b, 388.1626c,

 

388.1631a, 388.1631d, 388.1631f, 388.1632d, 388.1632p, 388.1639, 388.1639a, 388.1641,

 

388.1643, 388.1651a, 388.1651c, 388.1651d, 388.1653a, 388.1654, 388.1656, 388.1661a,

 

388.1662, 388.1664b, 388.1674, 388.1681, 388.1694, 388.1694a, 388.1695a, 388.1698,

 

388.1699, 388.1699h, 388.1702, 388.1704, 388.1704c, 388.1707, 388.1747, 388.1747a,

 

388.1747c, 388.1752a, 388.1763, 388.1801, 388.1806, 388.1807a, 388.1807b, 388.1807c,

 

388.1809, 388.1810, 388.1813, 388.1817, 388.1822, 388.1825, 388.1826, 388.1829,

 

388.1829a, 388.1830, 388.1836, 388.1836b, 388.1836c, 388.1841, 388.1842, 388.1845,

 

388.1846, 388.1852, 388.1854, 388.1855, 388.1856, 388.1858, 388.1863, 388.1863a,

 

388.1864, 388.1865, 388.1865a, 388.1867, 388.1868, 388.1869, 388.1870, 388.1875,

 

388.1876, 388.1877, 388.1878, 388.1879, 388.1880, 388.1881, 388.1882, 388.1883,

 

388.1884, and 388.1886), sections 6, 8b, 11, 11a, 11j, 11k, 11m, 15, 20, 20d, 20f,

 

20g, 21f, 22a, 22b, 22d, 22f, 22g, 22i, 24, 24a, 24c, 25e, 25f, 26a, 26b, 26c, 31a,

 

31d, 31f, 32d, 32p, 39, 39a, 41, 51a, 51c, 51d, 53a, 54, 56, 61a, 62, 74, 81, 94, 94a,

 

98, 99, 99h, 104, 107, 147, 147a, 147c, 152a, 163, 201, 206, 209, 217, 225, 229, 229a,

 

230, 236, 236b, 236c, 241, 245, 246, 252, 256, 263, 263a, 264, 265, 265a, 267, 268,

 

269, 270, 275, 276, 277, 278, 279, 280, 281, 282, 283, and 284 as amended and sections

 

11r, 43, 64b, 95a, 104c, 207a, 207b, and 207c as added by 2014 PA 196, section 18 as

 

amended by 2014 PA 476, section 18a as amended by 2004 PA 351, section 23a as added by

 

2012 PA 465, sections 102, 210, and 258 as amended by 2013 PA 60, sections 213, 222,

 

226, 242, 254, 255, and 286 as amended by 2012 PA 201, and by adding sections 31c, 35,

 

35a, 35b, 35c, 35d, 35e, 35f, 35g, 61b, 67, 103a, 103b, 103c, 215, and 260; and to

 

repeal acts and parts of acts.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

ARTICLE I

 

†††††† Sec. 6. (1) "Center program" means a program operated by a district or by an

 

intermediate district for special education pupils from several districts in programs

 


for pupils with autism spectrum disorder, pupils with severe cognitive impairment,

 

pupils with moderate cognitive impairment, pupils with severe multiple impairments,

 

pupils with hearing impairment, pupils with visual impairment, and pupils with

 

physical impairment or other health impairment. Programs for pupils with emotional

 

impairment housed in buildings that do not serve regular education pupils also

 

qualify. Unless otherwise approved by the department, a center program either shall

 

serve all constituent districts within an intermediate district or shall serve several

 

districts with less than 50% of the pupils residing in the operating district. In

 

addition, special education center program pupils placed part-time in noncenter

 

programs to comply with the least restrictive environment provisions of section 612 of

 

part B of the individuals with disabilities education act, 20 USC 1412, may be

 

considered center program pupils for pupil accounting purposes for the time scheduled

 

in either a center program or a noncenter program.

 

†††††† (2) "District and high school graduation rate" means the annual completion and

 

pupil dropout rate that is calculated by the center pursuant to nationally recognized

 

standards.

 

†††††† (3) "District and high school graduation report" means a report of the number

 

of pupils, excluding adult participants, in the district for the immediately preceding

 

school year, adjusted for those pupils who have transferred into or out of the

 

district or high school, who leave high school with a diploma or other credential of

 

equal status.

 

†††††† (4) "Membership", except as otherwise provided in this article, means for a

 

district, a public school academy, the education achievement system, or an

 

intermediate district the sum of the product of .90 times the number of full-time

 

equated pupils in grades K to 12 actually enrolled and in regular daily attendance on

 

the pupil membership count day for the current school year, plus the product of .10

 

times the final audited count from the supplemental count day for the current school

 


year. A district's, public school academy's, or intermediate district's membership

 

shall be adjusted as provided under section 25e for pupils who enroll in the district,

 

public school academy, or intermediate district after the pupil membership count day.

 

All pupil counts used in this subsection are as determined by the department and

 

calculated by adding the number of pupils registered for attendance plus pupils

 

received by transfer and minus pupils lost as defined by rules promulgated by the

 

superintendent, and as corrected by a subsequent department audit. For the purposes of

 

this section and section 6a, for a school of excellence that is a cyber school, as

 

defined in section 551 of the revised school code, MCL 380.551, and is in compliance

 

with section 553a of the revised school code, MCL 380.553a, a pupil's participation,

 

AS DEFINED IN THE PUPIL ACCOUNTING MANUAL, in the cyber school's educational program

 

is considered regular daily attendance; for the education achievement system, a

 

pupil's participation, AS DEFINED IN THE PUPIL ACCOUNTING MANUAL, in an online

 

educational program of the education achievement system or of an achievement school is

 

considered regular daily attendance; and for a district a pupil's participation in an

 

online course as defined in section 21f is considered regular daily attendance. The

 

amount of the foundation allowance for a pupil in membership is determined under

 

section 20. In making the calculation of membership, all of the following, as

 

applicable, apply to determining the membership of a district, a public school

 

academy, the education achievement system, or an intermediate district:

 

†††††† (a) Except as otherwise provided in this subsection, and pursuant to subsection

 

(6), a pupil shall be counted in membership in the pupil's educating district or

 

districts. An individual pupil shall not be counted for more than a total of 1.0 full-

 

time equated membership.

 

†††††† (b) If a pupil is educated in a district other than the pupil's district of

 

residence, if the pupil is not being educated as part of a cooperative education

 

program, if the pupil's district of residence does not give the educating district its

 


approval to count the pupil in membership in the educating district, and if the pupil

 

is not covered by an exception specified in subsection (6) to the requirement that the

 

educating district must have the approval of the pupil's district of residence to

 

count the pupil in membership, the pupil shall not be counted in membership in any

 

district.

 

†††††† (c) A special education pupil educated by the intermediate district shall be

 

counted in membership in the intermediate district.

 

†††††† (d) A pupil placed by a court or state agency in an on-grounds program of a

 

juvenile detention facility, a child caring institution, or a mental health

 

institution, or a pupil funded under section 53a, shall be counted in membership in

 

the district or intermediate district approved by the department to operate the

 

program.

 

†††††† (e) A pupil enrolled in the Michigan schools for the deaf and blind shall be

 

counted in membership in the pupil's intermediate district of residence.

 

†††††† (f) A pupil enrolled in a career and technical education program supported by a

 

millage levied over an area larger than a single district or in an area vocational-

 

technical education program established pursuant to section 690 of the revised school

 

code, MCL 380.690, shall be counted only in the pupil's district of residence.

 

†††††† (g) A pupil enrolled in a public school academy shall be counted in membership

 

in the public school academy.

 

†††††† (h) A pupil enrolled in an achievement school shall be counted in membership in

 

the education achievement system.

 

†††††† (i) For a new district or public school academy beginning its operation after

 

December 31, 1994, or for the education achievement system or an achievement school,

 

membership for the first 2 full or partial fiscal years of operation shall be

 

determined as follows:

 

†††††† (i) If operations begin before the pupil membership count day for the fiscal

 


year, membership is the average number of full-time equated pupils in grades K to 12

 

actually enrolled and in regular daily attendance on the pupil membership count day

 

for the current school year and on the supplemental count day for the current school

 

year, as determined by the department and calculated by adding the number of pupils

 

registered for attendance on the pupil membership count day plus pupils received by

 

transfer and minus pupils lost as defined by rules promulgated by the superintendent,

 

and as corrected by a subsequent department audit, plus the final audited count from

 

the supplemental count day for the current school year, and dividing that sum by 2.

 

†††††† (ii) If operations begin after the pupil membership count day for the fiscal

 

year and not later than the supplemental count day for the fiscal year, membership is

 

the final audited count of the number of full-time equated pupils in grades K to 12

 

actually enrolled and in regular daily attendance on the supplemental count day for

 

the current school year.

 

†††††† (j) If a district is the authorizing body for a public school academy, then, in

 

the first school year in which pupils are counted in membership on the pupil

 

membership count day in the public school academy, the determination of the district's

 

membership shall exclude from the district's pupil count for the immediately preceding

 

supplemental count day any pupils who are counted in the public school academy on that

 

first pupil membership count day who were also counted in the district on the

 

immediately preceding supplemental count day.

 

†††††† (k) In a district, a public school academy, the education achievement system,

 

or an intermediate district operating an extended school year program approved by the

 

superintendent, a pupil enrolled, but not scheduled to be in regular daily attendance

 

on a pupil membership count day, shall be counted.

 

†††††† (l) To be counted in membership, a pupil shall meet the minimum age requirement

 

to be eligible to attend school under section 1147 of the revised school code, MCL

 

380.1147, or shall be enrolled under subsection (3) of that section, and shall be less

 


than 20 years of age on September 1 of the school year except as follows:

 

†††††† (i) A special education pupil who is enrolled and receiving instruction in a

 

special education program or service approved by the department, who does not have a

 

high school diploma, and who is less than 26 years of age as of September 1 of the

 

current school year shall be counted in membership.

 

†††††† (ii) A pupil who is determined by the department to meet all of the following

 

may be counted in membership:

 

†††††† (A) Is enrolled in a public school academy or an alternative education high

 

school diploma program, that is primarily focused on educating homeless pupils.

 

†††††† (B) Had dropped out of school for more than 1 year and has re-entered school.

 

†††††† (C) Is less than 22 years of age as of September 1 of the current school year.

 

†††††† (D) IS CONSIDERED TO BE HOMELESS UNDER THE STEWART B. MCKINNEY HOMELESS

 

ASSISTANCE ACT, 42 USC 11302.

 

†††††† (iii) If a child does not meet the minimum age requirement to be eligible to

 

attend school for that school year under section 1147 of the revised school code, MCL

 

380.1147, but will be 5 years of age not later than December 1 of that school year,

 

the district may count the child in membership for that school year if the parent or

 

legal guardian has notified the district in writing that he or she intends to enroll

 

the child in kindergarten for that school year.

 

†††††† (m) An individual who has obtained a high school diploma shall not be counted

 

in membership. An individual who has obtained a general educational development

 

(G.E.D.) certificate shall not be counted in membership unless the individual is a

 

pupil with a disability as defined in R 340.1702 of the Michigan administrative code.

 

An individual participating in a job training program funded under former section 107a

 

or a jobs program funded under former section 107b, administered by the Michigan

 

strategic fund, or participating in any successor of either of those 2 programs, shall

 

not be counted in membership.

 


†††††† (n) If a pupil counted in membership in a public school academy or the

 

education achievement system is also educated by a district or intermediate district

 

as part of a cooperative education program, the pupil shall be counted in membership

 

only in the public school academy or the education achievement system unless a written

 

agreement signed by all parties designates the party or parties in which the pupil

 

shall be counted in membership, and the instructional time scheduled for the pupil in

 

the district or intermediate district shall be included in the full-time equated

 

membership determination under subdivision (q). However, for pupils receiving

 

instruction in both a public school academy or the education achievement system and in

 

a district or intermediate district but not as a part of a cooperative education

 

program, the following apply:

 

†††††† (i) If the public school academy or the education achievement system provides

 

instruction for at least 1/2 of the class hours specified in subdivision (q), the

 

public school academy or the education achievement system shall receive as its

 

prorated share of the full-time equated membership for each of those pupils an amount

 

equal to 1 times the product of the hours of instruction the public school academy or

 

the education achievement system provides divided by the number of hours specified in

 

subdivision (q) for full-time equivalency, and the remainder of the full-time

 

membership for each of those pupils shall be allocated to the district or intermediate

 

district providing the remainder of the hours of instruction.

 

†††††† (ii) If the public school academy or the education achievement system provides

 

instruction for less than 1/2 of the class hours specified in subdivision (q), the

 

district or intermediate district providing the remainder of the hours of instruction

 

shall receive as its prorated share of the full-time equated membership for each of

 

those pupils an amount equal to 1 times the product of the hours of instruction the

 

district or intermediate district provides divided by the number of hours specified in

 

subdivision (q) for full-time equivalency, and the remainder of the full-time

 


membership for each of those pupils shall be allocated to the public school academy or

 

the education achievement system.

 

†††††† (o) An individual less than 16 years of age as of September 1 of the current

 

school year who is being educated in an alternative education program shall not be

 

counted in membership if there are also adult education participants being educated in

 

the same program or classroom.

 

†††††† (p) The department shall give a uniform interpretation of full-time and part-

 

time memberships.

 

†††††† (q) The number of class hours used to calculate full-time equated memberships

 

shall be consistent with section 101(3). In determining full-time equated memberships

 

for pupils who are enrolled in a postsecondary institution, a pupil shall not be

 

considered to be less than a full-time equated pupil solely because of the effect of

 

his or her postsecondary enrollment, including necessary travel time, on the number of

 

class hours provided by the district to the pupil.

 

†††††† (r) Beginning in 2012-2013, full-time FULL-TIME equated memberships for pupils

 

in kindergarten shall be determined by dividing the number of instructional hours

 

scheduled and provided per year per kindergarten pupil by the same number used for

 

determining full-time equated memberships for pupils in grades 1 to 12. However, to

 

the extent allowable under federal law, for a district or public school academy that

 

provides evidence satisfactory to the department that it used federal title I money in

 

the 2 immediately preceding school fiscal years to fund full-time kindergarten, full-

 

time equated memberships for pupils in kindergarten shall be determined by dividing

 

the number of class hours scheduled and provided per year per kindergarten pupil by a

 

number equal to 1/2 the number used for determining full-time equated memberships for

 

pupils in grades 1 to 12. The change in the counting of full-time equated memberships

 

for pupils in kindergarten that took effect for 2012-2013 is not a mandate.

 

†††††† (s) For a district, a public school academy, or the education achievement

 


system that has pupils enrolled in a grade level that was not offered by the district,

 

the public school academy, or the education achievement system in the immediately

 

preceding school year, the number of pupils enrolled in that grade level to be counted

 

in membership is the average of the number of those pupils enrolled and in regular

 

daily attendance on the pupil membership count day and the supplemental count day of

 

the current school year, as determined by the department. Membership shall be

 

calculated by adding the number of pupils registered for attendance in that grade

 

level on the pupil membership count day plus pupils received by transfer and minus

 

pupils lost as defined by rules promulgated by the superintendent, and as corrected by

 

subsequent department audit, plus the final audited count from the supplemental count

 

day for the current school year, and dividing that sum by 2.

 

†††††† (t) A pupil enrolled in a cooperative education program may be counted in

 

membership in the pupil's district of residence with the written approval of all

 

parties to the cooperative agreement.

 

†††††† (u) If, as a result of a disciplinary action, a district determines through the

 

district's alternative or disciplinary education program that the best instructional

 

placement for a pupil is in the pupil's home or otherwise apart from the general

 

school population, if that placement is authorized in writing by the district

 

superintendent and district alternative or disciplinary education supervisor, and if

 

the district provides appropriate instruction as described in this subdivision to the

 

pupil at the pupil's home or otherwise apart from the general school population, the

 

district may count the pupil in membership on a pro rata basis, with the proration

 

based on the number of hours of instruction the district actually provides to the

 

pupil divided by the number of hours specified in subdivision (q) for full-time

 

equivalency. For the purposes of this subdivision, a district shall be considered to

 

be providing appropriate instruction if all of the following are met:

 

†††††† (i) The district provides at least 2 nonconsecutive hours of instruction per

 


week to the pupil at the pupil's home or otherwise apart from the general school

 

population under the supervision of a certificated teacher.

 

†††††† (ii) The district provides instructional materials, resources, and supplies

 

that are comparable to those otherwise provided in the district's alternative

 

education program.

 

†††††† (iii) Course content is comparable to that in the district's alternative

 

education program.

 

†††††† (iv) Credit earned is awarded to the pupil and placed on the pupil's

 

transcript.

 

†††††† (v) If a pupil was enrolled in a public school academy on the pupil membership

 

count day, if the public school academy's contract with its authorizing body is

 

revoked or the public school academy otherwise ceases to operate, and if the pupil

 

enrolls in a district or the education achievement system within 45 days after the

 

pupil membership count day, the department shall adjust the district's or the

 

education achievement system's pupil count for the pupil membership count day to

 

include the pupil in the count.

 

†††††† (w) For a public school academy that has been in operation for at least 2 years

 

and that suspended operations for at least 1 semester and is resuming operations,

 

membership is the sum of the product of .90 times the number of full-time equated

 

pupils in grades K to 12 actually enrolled and in regular daily attendance on the

 

first pupil membership count day or supplemental count day, whichever is first,

 

occurring after operations resume, plus the product of .10 times the final audited

 

count from the most recent pupil membership count day or supplemental count day that

 

occurred before suspending operations, as determined by the superintendent.

 

†††††† (x) If a district's membership for a particular fiscal year, as otherwise

 

calculated under this subsection, would be less than 1,550 pupils and the district has

 

4.5 or fewer pupils per square mile, as determined by the department, and if the

 


district does not receive funding under section 22d(2), the district's membership

 

shall be considered to be the membership figure calculated under this subdivision. If

 

a district educates and counts in its membership pupils in grades 9 to 12 who reside

 

in a contiguous district that does not operate grades 9 to 12 and if 1 or both of the

 

affected districts request the department to use the determination allowed under this

 

sentence, the department shall include the square mileage of both districts in

 

determining the number of pupils per square mile for each of the districts for the

 

purposes of this subdivision. The membership figure calculated under this subdivision

 

is the greater of the following:

 

†††††† (i) The average of the district's membership for the 3-fiscal-year period

 

ending with that fiscal year, calculated by adding the district's actual membership

 

for each of those 3 fiscal years, as otherwise calculated under this subsection, and

 

dividing the sum of those 3 membership figures by 3.

 

†††††† (ii) The district's actual membership for that fiscal year as otherwise

 

calculated under this subsection.

 

†††††† (y) Full-time equated memberships for special education pupils who are not

 

enrolled in kindergarten but are enrolled in a classroom program under R 340.1754 of

 

the Michigan administrative code shall be determined by dividing the number of class

 

hours scheduled and provided per year by 450. Full-time equated memberships for

 

special education pupils who are not enrolled in kindergarten but are receiving early

 

childhood special education services under R 340.1755 or 340.1862 of the Michigan

 

administrative code shall be determined by dividing the number of hours of service

 

scheduled and provided per year per pupil by 180.

 

†††††† (z) A pupil of a district that begins its school year after Labor day who is

 

enrolled in an intermediate district program that begins before Labor day shall not be

 

considered to be less than a full-time pupil solely due to instructional time

 

scheduled but not attended by the pupil before Labor day.

 


†††††† (aa) For the first year in which a pupil is counted in membership on the pupil

 

membership count day in a middle college program, the membership is the average of the

 

full-time equated membership on the pupil membership count day and on the supplemental

 

count day for the current school year, as determined by the department.

 

†††††† (bb) A district, a public school academy, or the education achievement system

 

that educates a pupil who attends a United States Olympic education center may count

 

the pupil in membership regardless of whether or not the pupil is a resident of this

 

state.

 

†††††† (cc) A pupil enrolled in a district other than the pupil's district of

 

residence pursuant to section 1148(2) of the revised school code, MCL 380.1148, shall

 

be counted in the educating district or the education achievement system.

 

†††††† (dd) For a pupil enrolled in a dropout recovery program that meets the

 

requirements of section 23a, the pupil shall be counted as 1/12 of a full-time equated

 

membership for each month that the district operating the program reports that the

 

pupil was enrolled in the program and was in full attendance. However, if the special

 

membership counting provisions under this subdivision and the operation of the other

 

membership counting provisions under this subsection result in a pupil being counted

 

as more than 1.0 FTE in a fiscal year, the payment made for the pupil under sections

 

22a and 22b shall not be based on more than 1.0 FTE for that pupil, and any portion of

 

an FTE for that pupil that exceeds 1.0 shall instead be paid under section 25f. The

 

district operating the program shall report to the center the number of pupils who

 

were enrolled in the program and were in full attendance for a month not later than

 

the tenth day of the next month. A district shall not report a pupil as being in full

 

attendance for a month unless both of the following are met:

 

†††††† (i) A personalized learning plan is in place on or before the first school day

 

of the month for the first month the pupil participates in the program.

 

†††††† (ii) The pupil meets the district's definition under section 23a of

 


satisfactory monthly progress for that month or, if the pupil does not meet that

 

definition of satisfactory monthly progress for that month, the pupil did meet that

 

definition of satisfactory monthly progress in the immediately preceding month and

 

appropriate interventions are implemented within 10 school days after it is determined

 

that the pupil does not meet that definition of satisfactory monthly progress.

 

†††††† (EE) A PUPIL ENROLLED IN AN ONLINE COURSE UNDER SECTION 21F SHALL BE COUNTED IN

 

MEMBERSHIP IN THE PUPILíS RESIDENT DISTRICT, REFERRED TO IN SECTION 21F AS THE PRIMARY

 

DISTRICT FOR THE ONLINE COURSE ENROLLMENT.

 

†††††† (5) "Public school academy" means that term as defined in section 5 of the

 

revised school code, MCL 380.5.

 

†††††† (6) "Pupil" means a person in membership in a public school. A district must

 

have the approval of the pupil's district of residence to count the pupil in

 

membership, except approval by the pupil's district of residence is not required for

 

any of the following:

 

†††††† (a) A nonpublic part-time pupil enrolled in grades 1 to 12 in accordance with

 

section 166b.

 

†††††† (b) A pupil receiving 1/2 or less of his or her instruction in a district other

 

than the pupil's district of residence.

 

†††††† (c) A pupil enrolled in a public school academy or the education achievement

 

system.

 

†††††† (d) A pupil enrolled in a district other than the pupil's district of residence

 

under an intermediate district schools of choice pilot program as described in section

 

91a or former section 91 if the intermediate district and its constituent districts

 

have been exempted from section 105.

 

†††††† (e) A pupil enrolled in a district other than the pupil's district of residence

 

if the pupil is enrolled in accordance with section 105 or 105c.

 

†††††† (f) A pupil who has made an official written complaint or whose parent or legal

 


guardian has made an official written complaint to law enforcement officials and to

 

school officials of the pupil's district of residence that the pupil has been the

 

victim of a criminal sexual assault or other serious assault, if the official

 

complaint either indicates that the assault occurred at school or that the assault was

 

committed by 1 or more other pupils enrolled in the school the pupil would otherwise

 

attend in the district of residence or by an employee of the district of residence. A

 

person who intentionally makes a false report of a crime to law enforcement officials

 

for the purposes of this subdivision is subject to section 411a of the Michigan penal

 

code, 1931 PA 328, MCL 750.411a, which provides criminal penalties for that conduct.

 

As used in this subdivision:

 

†††††† (i) "At school" means in a classroom, elsewhere on school premises, on a school

 

bus or other school-related vehicle, or at a school-sponsored activity or event

 

whether or not it is held on school premises.

 

†††††† (ii) "Serious assault" means an act that constitutes a felony violation of

 

chapter XI of the Michigan penal code, 1931 PA 328, MCL 750.81 to 750.90h, or that

 

constitutes an assault and infliction of serious or aggravated injury under section

 

81a of the Michigan penal code, 1931 PA 328, MCL 750.81a.

 

†††††† (g) A pupil whose district of residence changed after the pupil membership

 

count day and before the supplemental count day and who continues to be enrolled on

 

the supplemental count day as a nonresident in the district in which he or she was

 

enrolled as a resident on the pupil membership count day of the same school year.

 

†††††† (h) A pupil enrolled in an alternative education program operated by a district

 

other than his or her district of residence who meets 1 or more of the following:

 

†††††† (i) The pupil has been suspended or expelled from his or her district of

 

residence for any reason, including, but not limited to, a suspension or expulsion

 

under section 1310, 1311, or 1311a of the revised school code, MCL 380.1310, 380.1311,

 

and 380.1311a.

 


†††††† (ii) The pupil had previously dropped out of school.

 

†††††† (iii) The pupil is pregnant or is a parent.

 

†††††† (iv) The pupil has been referred to the program by a court.

 

†††††† (i) A pupil enrolled in the Michigan virtual school, for the pupil's enrollment

 

in the Michigan virtual school.

 

†††††† (j) A pupil who is the child of a person who works at the district or who is

 

the child of a person who worked at the district as of the time the pupil first

 

enrolled in the district but who no longer works at the district due to a workforce

 

reduction. As used in this subdivision, "child" includes an adopted child, stepchild,

 

or legal ward.

 

†††††† (k) An expelled pupil who has been denied reinstatement by the expelling

 

district and is reinstated by another school board under section 1311 or 1311a of the

 

revised school code, MCL 380.1311 and 380.1311a.

 

†††††† (l) A pupil enrolled in a district other than the pupil's district of residence

 

in a middle college program if the pupil's district of residence and the enrolling

 

district are both constituent districts of the same intermediate district.

 

†††††† (m) A pupil enrolled in a district other than the pupil's district of residence

 

who attends a United States Olympic education center.

 

†††††† (n) A pupil enrolled in a district other than the pupil's district of residence

 

pursuant to section 1148(2) of the revised school code, MCL 380.1148.

 

†††††† (o) A pupil who enrolls in a district other than the pupil's district of

 

residence as a result of the pupil's school not making adequate yearly progress under

 

the no child left behind act of 2001, Public Law 107-110.

 

†††††† (p) An online learning pupil enrolled in a district other than the pupil's

 

district of residence as an eligible pupil under section 21f.

 

†††††† However, if a district educates pupils who reside in another district and if

 

the primary instructional site for those pupils is established by the educating

 


district after 2009-2010 and is located within the boundaries of that other district,

 

the educating district must have the approval of that other district to count those

 

pupils in membership.

 

†††††† (7) "Pupil membership count day" of a district or intermediate district means:

 

†††††† (a) Except as provided in subdivision (b), the first Wednesday in October each

 

school year or, for a district or building in which school is not in session on that

 

Wednesday due to conditions not within the control of school authorities, with the

 

approval of the superintendent, the immediately following day on which school is in

 

session in the district or building.

 

†††††† (b) For a district or intermediate district maintaining school during the

 

entire school year, the following days:

 

†††††† (i) Fourth Wednesday in July.

 

†††††† (ii) First Wednesday in October.

 

†††††† (iii) Second Wednesday in February.

 

†††††† (iv) Fourth Wednesday in April.

 

†††††† (8) "Pupils in grades K to 12 actually enrolled and in regular daily

 

attendance" means pupils in grades K to 12 in attendance and receiving instruction in

 

all classes for which they are enrolled on the pupil membership count day or the

 

supplemental count day, as applicable. Except as otherwise provided in this

 

subsection, a pupil who is absent from any of the classes in which the pupil is

 

enrolled on the pupil membership count day or supplemental count day and who does not

 

attend each of those classes during the 10 consecutive school days immediately

 

following the pupil membership count day or supplemental count day, except for a pupil

 

who has been excused by the district, shall not be counted as 1.0 full-time equated

 

membership. A pupil who is excused from attendance on the pupil membership count day

 

or supplemental count day and who fails to attend each of the classes in which the

 

pupil is enrolled within 30 calendar days after the pupil membership count day or

 


supplemental count day shall not be counted as 1.0 full-time equated membership. In

 

addition, a pupil who was enrolled and in attendance in a district, an intermediate

 

district, a public school academy, or the education achievement system before the

 

pupil membership count day or supplemental count day of a particular year but was

 

expelled or suspended on the pupil membership count day or supplemental count day

 

shall only be counted as 1.0 full-time equated membership if the pupil resumed

 

attendance in the district, intermediate district, public school academy, or education

 

achievement system within 45 days after the pupil membership count day or supplemental

 

count day of that particular year. Pupils not counted as 1.0 full-time equated

 

membership due to an absence from a class shall be counted as a prorated membership

 

for the classes the pupil attended. For purposes of this subsection, "class" means a

 

period of time in 1 day when pupils and a certificated teacher or legally qualified

 

substitute teacher are together and instruction is taking place.

 

†††††† (9) "Rule" means a rule promulgated pursuant to the administrative procedures

 

act of 1969, 1969 PA 306, MCL 24.201 to 24.328.

 

†††††† (10) "The revised school code" means 1976 PA 451, MCL 380.1 to 380.1852.

 

†††††† (11) "School district of the first class", "first class school district", and

 

"district of the first class" mean, for the purposes of this article only, a district

 

that had at least 40,000 pupils in membership for the immediately preceding fiscal

 

year.

 

†††††† (12) "School fiscal year" means a fiscal year that commences July 1 and

 

continues through June 30.

 

†††††† (13) "State board" means the state board of education.

 

†††††† (14) "Superintendent", unless the context clearly refers to a district or

 

intermediate district superintendent, means the superintendent of public instruction

 

described in section 3 of article VIII of the state constitution of 1963.

 

†††††† (15) "Supplemental count day" means the day on which the supplemental pupil

 


count is conducted under section 6a.

 

†††††† (16) "Tuition pupil" means a pupil of school age attending school in a district

 

other than the pupil's district of residence for whom tuition may be charged to the

 

district of residence. Tuition pupil does not include a pupil who is a special

 

education pupil, a pupil described in subsection (6)(c) to (p), or a pupil whose

 

parent or guardian voluntarily enrolls the pupil in a district that is not the pupil's

 

district of residence. A pupil's district of residence shall not require a high school

 

tuition pupil, as provided under section 111, to attend another school district after

 

the pupil has been assigned to a school district.

 

†††††† (17) "State school aid fund" means the state school aid fund established in

 

section 11 of article IX of the state constitution of 1963.

 

†††††† (18) "Taxable value" means the taxable value of property as determined under

 

section 27a of the general property tax act, 1893 PA 206, MCL 211.27a.

 

†††††† (19) "Textbook" means a book, electronic book, or other instructional print or

 

electronic resource that is selected and approved by the governing board of a district

 

or, for an achievement school, by the chancellor of the achievement authority and that

 

contains a presentation of principles of a subject, or that is a literary work

 

relevant to the study of a subject required for the use of classroom pupils, or

 

another type of course material that forms the basis of classroom instruction.

 

†††††† (20) "Total state aid" or "total state school aid" means the total combined

 

amount of all funds due to a district, intermediate district, or other entity under

 

all of the provisions of this article.

 

†††††† Sec. 8b. (1) The department shall assign a district code to each public school

 

academy that is authorized under the revised school code and is eligible to receive

 

funding under this article within 30 days after a contract is submitted to the

 

department by the authorizing body of a public school academy.

 

†††††† (2) If the department does not assign a district code to a public school

 


academy within the 30-day period described in subsection (1), the district code the

 

department shall use to make payments under this article to the newly authorized

 

public school academy shall be a number that is equivalent to the sum of the last

 

district code assigned to a public school academy located in the same county as the

 

newly authorized public school academy plus 1. However, if there is not an existing

 

public school academy located in the same county as the newly authorized public school

 

academy, then the district code the department shall use to make payments under this

 

article to the newly authorized public school academy shall be a 5-digit number that

 

has the county code in which the public school academy is located as its first 2

 

digits, 9 as its third digit, 0 as its fourth digit, and 1 as its fifth digit. If the

 

number of public school academies in a county grows to exceed 100, the third digit in

 

this 5-digit number shall then be 7 for the public school academies in excess of 100.

 

†††††† (3) FOR EACH SCHOOL OF EXCELLENCE THAT IS A CYBER SCHOOL AUTHORIZED BY A SCHOOL

 

DISTRICT, INTERMEDIATE SCHOOL DISTRICT, COMMUNITY COLLEGE OR OTHER NON-STATEWIDE

 

AUTHORIZING ENTITY UNDER THE REVISED SCHOOL CODE AND IS ELIGIBLE TO RECEIVE FUNDING

 

UNDER THIS ARTICLE, THE DEPARTMENT SHALL ASSIGN A DISTRICT CODE THAT INCLUDES THE

 

COUNTY CODE IN WHICH THE AUTHORIZING BODY IS LOCATED AS THE FIRST TWO DIGITS.

 

†††††† Sec. 11. (1) For the fiscal year ending September 30, 2014, 2016 there is

 

appropriated for the public schools of this state and certain other state purposes

 

relating to education the sum of $11,200,232,300.00 $12,137,294,700.00 from the state

 

school aid fund, the sum of $156,000,000.00 from the MPSERS retirement obligation

 

reform reserve fund created under section 147b, and the sum of $149,900,000.00

 

$45,900,000.00 from the general fund. For the fiscal year ending September 30, 2015,

 

there is appropriated for the public schools of this state and certain other state

 

purposes relating to education the sum of $11,929,262,900.00 from the state school aid

 

fund, the sum of $18,000,000.00 from the MPSERS retirement obligation reform reserve

 

fund created under section 147b, and the sum of $114,900,000.00 from the general fund.

 


In addition, all other available federal funds are appropriated each fiscal year for

 

the fiscal year ending September 30, 2014 and for the fiscal year ending September 30,

 

2015 2016.

 

†††††† (2) The appropriations under this section shall be allocated as provided in

 

this article. Money appropriated under this section from the general fund shall be

 

expended to fund the purposes of this article before the expenditure of money

 

appropriated under this section from the state school aid fund.

 

†††††† (3) Any general fund allocations under this article that are not expended by

 

the end of the state fiscal year are transferred to the school aid stabilization fund

 

created under section 11a.

 

†††††† Sec. 11a. (1) The school aid stabilization fund is created as a separate

 

account within the state school aid fund established by section 11 of article IX of

 

the state constitution of 1963.

 

†††††† (2) The state treasurer may receive money or other assets from any source for

 

deposit into the school aid stabilization fund. The state treasurer shall deposit into

 

the school aid stabilization fund all of the following:

 

†††††† (a) Unexpended and unencumbered state school aid fund revenue for a fiscal year

 

that remains in the state school aid fund as of the bookclosing for that fiscal year.

 

†††††† (b) Money statutorily dedicated to the school aid stabilization fund.

 

†††††† (c) Money appropriated to the school aid stabilization fund.

 

†††††† (3) Money available in the school aid stabilization fund may not be expended

 

without a specific appropriation from the school aid stabilization fund. Money in the

 

school aid stabilization fund shall be expended only for purposes for which state

 

school aid fund money may be expended.

 

†††††† (4) The state treasurer shall direct the investment of the school aid

 

stabilization fund. The state treasurer shall credit to the school aid stabilization

 

fund interest and earnings from fund investments.

 


†††††† (5) Money in the school aid stabilization fund at the close of a fiscal year

 

shall remain in the school aid stabilization fund and shall not lapse to the

 

unreserved school aid fund balance or the general fund.

 

†††††† (6) If the maximum amount appropriated under section 11 from the state school

 

aid fund for a fiscal year exceeds the amount available for expenditure from the state

 

school aid fund for that fiscal year, there is appropriated from the school aid

 

stabilization fund to the state school aid fund an amount equal to the projected

 

shortfall as determined by the department of treasury, but not to exceed available

 

money in the school aid stabilization fund. If the money in the school aid

 

stabilization fund is insufficient to fully fund an amount equal to the projected

 

shortfall, the state budget director shall notify the legislature as required under

 

section 296(2) and state payments in an amount equal to the remainder of the projected

 

shortfall shall be prorated in the manner provided under section 296(3).

 

†††††† (7) For 2014-2015 2015-2016, in addition to the appropriations in section 11,

 

there is appropriated from the school aid stabilization fund to the state school aid

 

fund the amount necessary to fully fund the allocations under this article.

 

†††††† Sec. 11j. From the appropriation in section 11, there is allocated an amount

 

not to exceed $126,000,000.00 $143,000,000.00 for 2014-2015 2015-2016 for payments to

 

the school loan bond redemption fund in the department of treasury on behalf of

 

districts and intermediate districts. Notwithstanding section 296 or any other

 

provision of this act, funds allocated under this section are not subject to proration

 

and shall be paid in full.

 

†††††† Sec. 11k. For 2014-2015 2015-2016, there is appropriated from the general fund

 

to the school loan revolving fund an amount equal to the amount of school bond loans

 

assigned to the Michigan finance authority, not to exceed the total amount of school

 

bond loans held in reserve as long-term assets. As used in this section, "school loan

 

revolving fund" means that fund created in section 16c of the shared credit rating

 


act, 1985 PA 227, MCL 141.1066c.

 

†††††† Sec. 11m. From the appropriation in section 11, there is allocated for 2014-

 

2015 2015-2016 an amount not to exceed $4,000,000.00 for fiscal year cash-flow

 

borrowing costs solely related to the state school aid fund established by section 11

 

of article IX of the state constitution of 1963.

 

†††††† Sec. 11r. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $4,000,000.00 $75,000,000.00 to be deposited into the distressed

 

districts emergency grant REHABILITATION fund created under this section for the

 

purpose of funding grants under this section. FUNDS ARE INTENDED TO SUPPORT THE

 

REHABILITATION OF SCHOOL DISTRICTS EXPERIENCING SEVERE ACADEMIC AND FINANCIAL STRESS

 

IN ORDER TO MITIGATE THE IMPACT ON STUDENT LEARNING.

 

†††††† (2) The distressed districts emergency grant REHABILITATION fund is created as

 

a separate account within the state school aid fund. The state treasurer may receive

 

money or other assets from any source for deposit into the distressed districts

 

emergency grant REHABILITATION fund. The state treasurer shall direct the investment

 

of the distressed districts emergency grant REHABILITATION fund and shall credit to

 

the distressed districts emergency grant REHABILITATION fund interest and earnings

 

from the fund.

 

†††††† (3) Subject to subsection (4), a district is eligible to receive a grant from

 

the distressed districts emergency grant fund if either of the following applies:

 

†††††† (a) The district has adopted a resolution authorizing the voluntary dissolution

 

of the district approved by the state treasurer under section 12 of the revised school

 

code, MCL 380.12, but the dissolution has not yet taken effect under that section.

 

†††††† (b) The district is a receiving district under section 12 of the revised school

 

code, MCL 380.12, and the district enrolls pupils who were previously enrolled in a

 

district that was dissolved under section 12 of the revised school code, MCL 380.12,

 

in the immediately preceding school year.

 


†††††† (4) A district receiving funds under section 20g is not eligible to receive

 

funds under this section.

 

†††††† (5) The amount of a grant under this section shall be determined by the state

 

treasurer after consultation with the superintendent of public instruction, but shall

 

not exceed the estimated amount of remaining district costs in excess of available

 

revenues, including, but not limited to, payroll, benefits, retirement system

 

contributions, pupil transportation, food services, special education, building

 

security, and other costs necessary to allow the district to operate schools directly

 

and provide public education services until the end of the current school fiscal year.

 

For a district that meets the eligibility criteria under subsection (3)(b), the amount

 

of the grant shall be determined in the same manner as transition costs under section

 

20g.

 

†††††† (3) (6) Before disbursing funds under this section, the state treasurer shall

 

notify the house and senate appropriations subcommittees on school aid and the house

 

and senate fiscal agencies. The notification shall include, but not be limited to, the

 

district receiving funds under this section, the amount of the funds awarded under

 

this section, an explanation of the district conditions that necessitate funding under

 

this section, and the intended use of funds disbursed under this section.

 

†††††† (4) (7) Money in the distressed districts emergency grant REHABILITATION fund

 

at the close of a fiscal year shall remain in the distressed districts emergency grant

 

REHABILITATION fund and shall not lapse to the state school aid fund or to the general

 

fund.

 

†††††† Sec. 15. (1) If a district or intermediate district fails to receive its proper

 

apportionment, the department, upon satisfactory proof that the district or

 

intermediate district was entitled justly, shall apportion the deficiency in the next

 

apportionment. Subject to subsections (2) and (3), if a district or intermediate

 

district has received more than its proper apportionment, the department, upon

 


satisfactory proof, shall deduct the excess in the next apportionment. Notwithstanding

 

any other provision in this article, state aid overpayments to a district, other than

 

overpayments in payments for special education or special education transportation,

 

may be recovered from any payment made under this article other than a special

 

education or special education transportation payment, from the proceeds of a loan to

 

the district under the emergency municipal loan act, 1980 PA 243, MCL 141.931 to

 

141.942, or from the proceeds of millage levied or pledged under section 1211 of the

 

revised school code, MCL 380.1211. State aid overpayments made in special education or

 

special education transportation payments may be recovered from subsequent special

 

education or special education transportation payments, from the proceeds of a loan to

 

the district under the emergency municipal loan act, 1980 PA 243, MCL 141.931 to

 

141.942, or from the proceeds of millage levied or pledged under section 1211 of the

 

revised school code, MCL 380.1211.

 

†††††† (2) If the result of an audit conducted by or for the department affects the

 

current fiscal year membership, affected payments shall be adjusted in the current

 

fiscal year. A deduction due to an adjustment made as a result of an audit conducted

 

by or for the department, or as a result of information obtained by the department

 

from the district, an intermediate district, the department of treasury, or the office

 

of auditor general, shall be deducted from the district's apportionments when the

 

adjustment is finalized. At the request of the district and upon the district

 

presenting evidence satisfactory to the department of the hardship, the department may

 

grant up to an additional 4 years for the adjustment and may advance payments to the

 

district otherwise authorized under this article if the district would otherwise

 

experience a significant hardship in satisfying its financial obligations.

 

†††††† (3) If, based on an audit by the department or the department's designee or

 

because of new or updated information received by the department, the department

 

determines that the amount paid to a district or intermediate district under this

 


article for the current fiscal year or a prior fiscal year was incorrect, the

 

department shall make the appropriate deduction or payment in the district's or

 

intermediate district's allocation in the next apportionment after the adjustment is

 

finalized. The deduction or payment shall be calculated according to the law in effect

 

in the fiscal year in which the incorrect amount was paid. If the district does not

 

receive an allocation for the fiscal year or if the allocation is not sufficient to

 

pay the amount of any deduction, the amount of any deduction otherwise applicable

 

shall be satisfied from the proceeds of a loan to the district under the emergency

 

municipal loan act, 1980 PA 243, MCL 141.931 to 141.942, or from the proceeds of

 

millage levied or pledged under section 1211 of the revised school code, MCL 380.1211,

 

as determined by the department.

 

†††††† (4) The department may conduct audits, or may direct audits by designee of the

 

department, for the current fiscal year and the immediately preceding 3 fiscal years

 

of all records related to a program for which a district or intermediate district has

 

received funds under this article.

 

†††††† (5) Expenditures made by the department under this article that are caused by

 

the write-off of prior year accruals may be funded by revenue from the write-off of

 

prior year accruals.

 

†††††† (6) In addition to funds appropriated in section 11 for all programs and

 

services, there is appropriated for 2014-2015 2015-2016 for obligations in excess of

 

applicable appropriations an amount equal to the collection of overpayments, but not

 

to exceed amounts available from overpayments.

 

†††††† Sec. 18. (1) Except as provided in another section of this article, each

 

district or other entity shall apply the money received by the district or entity

 

under this article to salaries and other compensation of teachers and other employees,

 

tuition, transportation, lighting, heating, ventilation, water service, the purchase

 

of textbooks, other supplies, and any other school operating expenditures defined in

 


section 7. However, not more than 20% of the total amount received by a district under

 

sections 22a and 22b or received by an intermediate district under section 81 may be

 

transferred by the board to either the capital projects fund or to the debt retirement

 

fund for debt service. The money shall not be applied or taken for a purpose other

 

than as provided in this section. The department shall determine the reasonableness of

 

expenditures and may withhold from a recipient of funds under this article the

 

apportionment otherwise due upon a violation by the recipient.

 

†††††† (2) A DISTRICT OR INTERMEDIATE DISTRICT SHALL ADOPT AN ANNUAL BUDGET IN A

 

MANNER THAT COMPLIES WITH THE UNIFORM BUDGETING AND ACCOUNTING ACT, 1968 PA 2, MCL

 

141.421 TO 141.440A. Within 15 days after a board adopts its annual operating budget

 

for the following school fiscal year, or after a board adopts a subsequent revision to

 

that budget, the district shall make all of the following available through a link on

 

its website home page, or may make the information available through a link on its

 

intermediate districtís website home page, in a form and manner prescribed by the

 

department:

 

†††††† (a) The annual operating budget and subsequent budget revisions.

 

†††††† (b) Using data that have already been collected and submitted to the

 

department, a summary of district expenditures for the most recent fiscal year for

 

which they are available, expressed in the following 2 pie charts:

 

†††††† (i) A chart of personnel expenditures, broken into the following subcategories:

 

†††††† (A) Salaries and wages.

 

†††††† (B) Employee benefit costs, including, but not limited to, medical, dental,

 

vision, life, disability, and long-term care benefits.

 

†††††† (C) Retirement benefit costs.

 

†††††† (D) All other personnel costs.

 

†††††† (ii) A chart of all district expenditures, broken into the following

 

subcategories:

 


†††††† (A) Instruction.

 

†††††† (B) Support services.

 

†††††† (C) Business and administration.

 

†††††† (D) Operations and maintenance.

 

†††††† (c) Links to all of the following:

 

†††††† (i) The current collective bargaining agreement for each bargaining unit.

 

†††††† (ii) Each health care benefits plan, including, but not limited to, medical,

 

dental, vision, disability, long-term care, or any other type of benefits that would

 

constitute health care services, offered to any bargaining unit or employee in the

 

district.

 

†††††† (iii) The audit report of the audit conducted under subsection (4) for the most

 

recent fiscal year for which it is available.

 

†††††† (iv) The bids required under section 5 of the public employee health benefits

 

act, 2007 PA 106, MCL 124.75.

 

†††††† (v) The districtís written policy governing procurement of supplies, materials,

 

and equipment.

 

†††††† (vi) The districtís written policy establishing specific categories of

 

reimbursable expenses, as described in section 1254(2) of the revised school code, MCL

 

380.1254.

 

†††††† (vii) Either the districtís accounts payable check register for the most recent

 

school fiscal year or a statement of the total amount of expenses incurred by board

 

members or employees of the district that were reimbursed by the district for the most

 

recent school fiscal year.

 

†††††† (d) The total salary and a description and cost of each fringe benefit included

 

in the compensation package for the superintendent of the district and for each

 

employee of the district whose salary exceeds $100,000.00.

 

†††††† (e) The annual amount spent on dues paid to associations.

 


†††††† (f) The annual amount spent on lobbying or lobbying services. As used in this

 

subdivision, "lobbying" means that term as defined in section 5 of 1978 PA 472, MCL

 

4.415.

 

†††††† (g) Any deficit elimination plan or enhanced deficit elimination plan the

 

district was required to submit under this article.

 

†††††† (h) Identification of all credit cards maintained by the district as district

 

credit cards, the identity of all individuals authorized to use each of those credit

 

cards, the credit limit on each credit card, and the dollar limit, if any, for each

 

individualís authorized use of the credit card.

 

†††††† (i) Costs incurred for each instance of out-of-state travel by the school

 

administrator of the district that is fully or partially paid for by the district and

 

the details of each of those instances of out-of-state travel, including at least

 

identification of each individual on the trip, destination, and purpose.

 

†††††† (3) For the information required under subsection (2)(a), (2)(b)(i), and

 

(2)(c), an intermediate district shall provide the same information in the same manner

 

as required for a district under subsection (2).

 

†††††† (4) For the purposes of determining the reasonableness of expenditures, whether

 

a district or intermediate district has received the proper amount of funds under this

 

article, and whether a violation of this article has occurred, all of the following

 

apply:

 

†††††† (a) The department shall require that each district and intermediate district

 

have an audit of the districtís or intermediate districtís financial and pupil

 

accounting records conducted at least annually, and at such other times as determined

 

by the department, at the expense of the district or intermediate district, as

 

applicable. The audits must be performed by a certified public accountant or by the

 

intermediate district superintendent, as may be required by the department, or in the

 

case of a district of the first class by a certified public accountant, the

 


intermediate superintendent, or the auditor general of the city. A district or

 

intermediate district shall retain these records for the current fiscal year and from

 

at least the 3 immediately preceding fiscal years.

 

†††††† (b) If a district operates in a single building with fewer than 700 full-time

 

equated pupils, if the district has stable membership, and if the error rate of the

 

immediately preceding 2 pupil accounting field audits of the district is less than 2%,

 

the district may have a pupil accounting field audit conducted biennially but must

 

continue to have desk audits for each pupil count. The auditor must document

 

compliance with the audit cycle in the pupil auditing manual. As used in this

 

subdivision, "stable membership" means that the districtís membership for the current

 

fiscal year varies from the districtís membership for the immediately preceding fiscal

 

year by less than 5%.

 

†††††† (c) A districtís or intermediate districtís annual financial audit shall

 

include an analysis of the financial and pupil accounting data used as the basis for

 

distribution of state school aid.

 

†††††† (d) The pupil and financial accounting records and reports, audits, and

 

management letters are subject to requirements established in the auditing and

 

accounting manuals approved and published by the department.

 

†††††† (e) All of the following shall be done not later than November 15, 2014 2015

 

for reporting 2013-2014 2014-2015 data during 2014-2015 2015-2016, and not later than

 

October 15 NOVEMBER 1 for reporting the prior fiscal year data for all subsequent

 

fiscal years:

 

†††††† (i) A district shall file the annual financial audit reports with the

 

intermediate district and the department.

 

†††††† (ii) The intermediate district shall file the annual financial audit reports

 

for the intermediate district with the department.

 

†††††† (iii) The intermediate district shall enter the pupil membership audit reports

 


for its constituent districts and for the intermediate district, for the pupil

 

membership count day and supplemental count day, in the Michigan student data system.

 

†††††† (f) The annual financial audit reports and pupil accounting procedures reports

 

shall be available to the public in compliance with the freedom of information act,

 

1976 PA 442, MCL 15.231 to 15.246.

 

†††††† (g) Not later than January 31 of each year, the department shall notify the

 

state budget director and the legislative appropriations subcommittees responsible for

 

review of the school aid budget of districts and intermediate districts that have not

 

filed an annual financial audit and pupil accounting procedures report required under

 

this section for the school year ending in the immediately preceding fiscal year.

 

†††††† (5) By November 15, 2014 2015 for 2014-2015 2015-2016 and by October 15

 

NOVEMBER 1 for all subsequent fiscal years, each district and intermediate district

 

shall submit to the center, in a manner prescribed by the center, annual comprehensive

 

financial data consistent with accounting manuals and charts of accounts approved and

 

published by the department. For an intermediate district, the report shall also

 

contain the website address where the department can access the report required under

 

section 620 of the revised school code, MCL 380.620. The department shall ensure that

 

the prescribed Michigan public school accounting manual chart of accounts includes

 

standard conventions to distinguish expenditures by allowable fund function and

 

object. The functions shall include at minimum categories for instruction, pupil

 

support, instructional staff support, general administration, school administration,

 

business administration, transportation, facilities operation and maintenance,

 

facilities acquisition, and debt service; and shall include object classifications of

 

salary, benefits, including categories for active employee health expenditures,

 

purchased services, supplies, capital outlay, and other. Districts shall report the

 

required level of detail consistent with the manual as part of the comprehensive

 

annual financial report.

 


†††††† (6) By September 30 of each year, each district and intermediate district shall

 

file with the department the special education actual cost report, known as "SE-4096",

 

on a form and in the manner prescribed by the department.

 

†††††† (7) By October 7 of each year, each district and intermediate district shall

 

file with the center the transportation expenditure report, known as "SE-4094", on a

 

form and in the manner prescribed by the center.

 

†††††† (8) The department shall review its pupil accounting and pupil auditing manuals

 

at least annually and shall periodically update those manuals to reflect changes in

 

this article.

 

†††††† (9) If a district that is a public school academy purchases property using

 

money received under this article, the public school academy shall retain ownership of

 

the property unless the public school academy sells the property at fair market value.

 

†††††† (10) If a district or intermediate district does not comply with subsections

 

(4), (5), (6), and (7), the department shall withhold all state school aid due to the

 

district or intermediate district under this article, beginning with the next payment

 

due to the district or intermediate district, until the district or intermediate

 

district complies with subsections (4), (5), (6), and (7). However, the department

 

shall not withhold the payment due on October 20 due to the operation of this

 

subsection. If the district or intermediate district does not comply with subsections

 

(4), (5), (6), and (7) by the end of the fiscal year, the district or intermediate

 

district forfeits the amount withheld.

 

†††††† (11) iF A DISTRICT OR INTERMEDIATE DISTRICT DOES NOT COMPLY WITH SUBSECTION

 

(2), THE DEPARTMENT MAY WITHHOLD UP TO 10% OF THE STATE SCHOOL AID OTHERWISE PAYABLE

 

TO THE DISTRICT OR INTERMEDIATE DISTRICT UNDER THIS ARTICLE, BEGINNING WITH THE NEXT

 

PAYMENT DUE TO THE DISTRICT OR INTERMEDIATE DISTRICT, UNTIL THE DISTRICT OR

 

INTERMEDIATE DISTRICT COMPLIES WITH SUBSECTION (2). IF THE DISTRICT OR INTERMEDIATE

 

DISTRICT DOES NOT COMPLY WITH SUBSECTION (2) BY THE END OF THE FISCAL YEAR, THE

 


DISTRICT OR INTERMEDIATE DISTRICT FORFEITS THE AMOUNT WITHHELD.

 

†††††† (12) (11) Not later than November 1, 2014 2015, if a district or intermediate

 

district offers online learning under section 21f, the district or intermediate

 

district shall submit to the department a report that details the per-pupil costs of

 

operating the online learning by vendor type. The report shall include at least all of

 

the following information concerning the operation of online learning for the school

 

fiscal year ending June 30, 2014 2015:

 

†††††† (a) The name of the district operating the online learning and of each district

 

that enrolled students in the online learning.

 

†††††† (b) The total number of students enrolled in the online learning and the total

 

number of membership pupils enrolled in the online learning.

 

†††††† (c) For each pupil who is enrolled in a district other than the district

 

offering online learning, the name of that district.

 

†††††† (d) The district in which the pupil was enrolled before enrolling in the

 

district offering online learning.

 

†††††† (e) The number of participating students who had previously dropped out of

 

school.

 

†††††† (f) The number of participating students who had previously been expelled from

 

school.

 

†††††† (g) The total cost to enroll a student in the program. This cost shall be

 

reported on a per-pupil, per-course, per‑semester or trimester basis by vendor type.

 

The total shall include costs broken down by cost for content development, content

 

licensing, training, online instruction and instructional support, personnel, hardware

 

and software, payment to each online learning provider, and other costs associated

 

with operating online learning.

 

†††††† (h) The name of each online education provider contracted by the district and

 

the state in which each online education provider is headquartered.

 


†††††† (13) (12) Not later than March 31, 2015 2016, the department shall submit to

 

the house and senate appropriations subcommittees on state school aid, the state

 

budget director, and the house and senate fiscal agencies a report summarizing the per

 

pupil costs by vendor type of online courses available under section 21f.

 

†††††† (14) (13) As used in subsections (11) and (12) AND (13), "vendor type" means

 

the following:

 

†††††† (a) Online courses provided by the Michigan virtual university.

 

†††††† (b) Online courses provided by a school of excellence that is a cyber school,

 

as defined in section 551 of the revised school code, MCL 380.551.

 

†††††† (c) Online courses provided by third party vendors not affiliated with a

 

Michigan public school.

 

†††††† (d) Online courses created and offered by a district or intermediate district.

 

†††††† Sec. 18a. Grant funds awarded and allotted to a district, intermediate

 

district, or other entity, unless otherwise specified in this act ARTICLE, shall be

 

expended by the grant recipient before the end of the school fiscal year immediately

 

following the fiscal year in which the funds are received. If a grant recipient does

 

not expend the funds received under this act ARTICLE before the end of the fiscal year

 

in which the funds are received, the grant recipient shall submit a report to the

 

department not later than November 1 after the fiscal year in which the funds are

 

received indicating whether it expects to expend those funds during the fiscal year in

 

which the report is submitted. A recipient of a grant shall return any unexpended

 

grant funds to the department in the manner prescribed by the department not later

 

than September 30 after the fiscal year in which the funds are received.

 

†††††† Sec. 20. (1) For 2014-2015 2015-2016, both of the following apply:

 

†††††† (a) The basic foundation allowance is $8,099.00 $8,174.00.

 

†††††† (b) The minimum foundation allowance is $7,126.00 $7,326.00.

 

†††††† (2) The amount of each district's foundation allowance shall be calculated as

 


provided in this section, using a basic foundation allowance in the amount specified

 

in subsection (1).

 

†††††† (3) Except as otherwise provided in this section, the amount of a district's

 

foundation allowance shall be calculated as follows, using in all calculations the

 

total amount of the district's foundation allowance as calculated before any

 

proration:

 

†††††† (a) Except as otherwise provided in this subdivision, for a district that had a

 

foundation allowance for the immediately preceding state fiscal year that was equal to

 

the minimum foundation allowance for the immediately preceding state fiscal year, but

 

less than the basic foundation allowance for the immediately preceding state fiscal

 

year, the district shall receive a foundation allowance in an amount equal to the sum

 

of the district's foundation allowance for the immediately preceding state fiscal year

 

plus the difference between twice the dollar amount of the adjustment from the

 

immediately preceding state fiscal year to the current state fiscal year made in the

 

basic foundation allowance and [(the difference between the basic foundation allowance

 

for the current state fiscal year and basic foundation allowance for the immediately

 

preceding state fiscal year minus $10.00) times (the difference between the district's

 

foundation allowance for the immediately preceding state fiscal year and the minimum

 

foundation allowance for the immediately preceding state fiscal year) divided by the

 

difference between the basic foundation allowance for the current state fiscal year

 

and the minimum foundation allowance for the immediately preceding state fiscal year].

 

However, the foundation allowance for a district that had less than the basic

 

foundation allowance for the immediately preceding state fiscal year shall not exceed

 

the basic foundation allowance for the current state fiscal year. For the purposes of

 

this subdivision, for 2014-2015 2015-2016, the minimum foundation allowance for the

 

immediately preceding state fiscal year shall be considered to be $7,076.00 $7,251.00.

 

For 2014-2015 2015-2016, for a district that had a foundation allowance for the

 


immediately preceding state fiscal year that was at least equal to the minimum

 

foundation allowance for the immediately preceding state fiscal year but less than the

 

basic foundation allowance for the immediately preceding state fiscal year, the

 

district shall receive a foundation allowance in an amount equal to the district's

 

foundation allowance for 2013-2014 2014-2015 plus $50.00 $75.00.

 

†††††† (b) Except as otherwise provided in this subsection, for a district that in the

 

immediately preceding state fiscal year had a foundation allowance in an amount equal

 

to the amount of the basic foundation allowance for the immediately preceding state

 

fiscal year, the district shall receive a foundation allowance for 2014-2015 2015-2016

 

in an amount equal to the basic foundation allowance for 2014-2015 2015-2016.

 

†††††† (c) For a district that had a foundation allowance for the immediately

 

preceding state fiscal year that was greater than the basic foundation allowance for

 

the immediately preceding state fiscal year, the district's foundation allowance is an

 

amount equal to the sum of the district's foundation allowance for the immediately

 

preceding state fiscal year plus the lesser of the increase in the basic foundation

 

allowance for the current state fiscal year, as compared to the immediately preceding

 

state fiscal year, or the product of the district's foundation allowance for the

 

immediately preceding state fiscal year times the percentage increase in the United

 

States consumer price index in the calendar year ending in the immediately preceding

 

fiscal year as reported by the May revenue estimating conference conducted under

 

section 367b of the management and budget act, 1984 PA 431, MCL 18.1367b.

 

†††††† (d) For a district that has a foundation allowance that is not a whole dollar

 

amount, the district's foundation allowance shall be rounded up to the nearest whole

 

dollar.

 

†††††† (e) For a district that received a payment under section 22c as that section

 

was in effect for 2013-2014 2014-2015, the district's 2013-2014 2014-2015 foundation

 

allowance shall be considered to have been an amount equal to the sum of the

 


district's actual 2013-2014 2014-2015 foundation allowance as otherwise calculated

 

under this section plus the per pupil amount of the district's equity payment for

 

2013-2014 2014-2015 under section 22c as that section was in effect for 2013-2014

 

2014-2015.

 

†††††† (4) Except as otherwise provided in this subsection, the state portion of a

 

district's foundation allowance is an amount equal to the district's foundation

 

allowance or the basic foundation allowance for the current state fiscal year,

 

whichever is less, minus the local portion of the district's foundation allowance

 

divided by the district's membership excluding special education pupils. For a

 

district described in subsection (3)(c), the state portion of the district's

 

foundation allowance is an amount equal to $6,962.00 plus the difference between the

 

district's foundation allowance for the current state fiscal year and the district's

 

foundation allowance for 1998-99, minus the local portion of the district's foundation

 

allowance divided by the district's membership excluding special education pupils. For

 

a district that has a millage reduction required under section 31 of article IX of the

 

state constitution of 1963, the state portion of the district's foundation allowance

 

shall be calculated as if that reduction did not occur. For a receiving district, if

 

school operating taxes continue to be levied on behalf of a dissolved district that

 

has been attached in whole or in part to the receiving district to satisfy debt

 

obligations of the dissolved district under section 12 of the revised school code, MCL

 

380.12, the taxable value per membership pupil of property in the receiving district

 

used for the purposes of this subsection does not include the taxable value of

 

property within the geographic area of the dissolved district.

 

†††††† (5) The allocation calculated under this section for a pupil shall be based on

 

the foundation allowance of the pupil's district of residence. For a pupil enrolled

 

pursuant to section 105 or 105c in a district other than the pupil's district of

 

residence, the allocation calculated under this section shall be based on the lesser

 


of the foundation allowance of the pupil's district of residence or the foundation

 

allowance of the educating district. For a pupil in membership in a K-5, K-6, or K-8

 

district who is enrolled in another district in a grade not offered by the pupil's

 

district of residence, the allocation calculated under this section shall be based on

 

the foundation allowance of the educating district if the educating district's

 

foundation allowance is greater than the foundation allowance of the pupil's district

 

of residence.

 

†††††† (6) Except as otherwise provided in this subsection, for pupils in membership,

 

other than special education pupils, in a public school academy, the allocation

 

calculated under this section is an amount per membership pupil other than special

 

education pupils in the public school academy equal to the foundation allowance of the

 

district in which the public school academy is located or the state maximum public

 

school academy allocation, whichever is less. FOR PUPILS IN MEMBERSHIP, OTHER THAN

 

SPECIAL EDUCATION PUPILS, IN A PUBLIC SCHOOL ACADEMY THAT IS A CYBER SCHOOL AUTHORIZED

 

BY A SCHOOL DISTRICT, THE ALLOCATION CALCULATED UNDER THIS SECTION IS AN AMOUNT PER

 

MEMBERSHIP PUPIL OTHER THAN SPECIAL EDUCATION PUPILS IN THE PUBLIC SCHOOL ACADEMY THAT

 

IS A CYBER SCHOOL EQUAL TO THE FOUNDATION ALLOWANCE OF THE DISTRICT THAT AUTHORIZED

 

THE PUBLIC SCHOOL ACADEMY THAT IS A CYBER SCHOOL or the state maximum public school

 

academy allocation, whichever is less. However, a public school academy that had an

 

allocation under this subsection before 2009-2010 that was equal to the sum of the

 

local school operating revenue per membership pupil other than special education

 

pupils for the district in which the public school academy is located and the state

 

portion of that district's foundation allowance shall not have that allocation reduced

 

as a result of the 2010 amendment to this subsection. Notwithstanding section 101, for

 

a public school academy that begins operations after the pupil membership count day,

 

the amount per membership pupil calculated under this subsection shall be adjusted by

 

multiplying that amount per membership pupil by the number of hours of pupil

 


instruction provided by the public school academy after it begins operations, as

 

determined by the department, divided by the minimum number of hours of pupil

 

instruction required under section 101(3). The result of this calculation shall not

 

exceed the amount per membership pupil otherwise calculated under this subsection.

 

†††††† (7) Except as otherwise provided in this subsection, for pupils attending an

 

achievement school and in membership in the education achievement system, other than

 

special education pupils, the allocation calculated under this section is an amount

 

per membership pupil other than special education pupils equal to the foundation

 

allowance of the district in which the achievement school is located, not to exceed

 

the basic foundation allowance. Notwithstanding section 101, for an achievement school

 

that begins operation after the pupil membership count day, the amount per membership

 

pupil calculated under this subsection shall be adjusted by multiplying that amount

 

per membership pupil by the number of hours of pupil instruction provided by the

 

achievement school after it begins operations, as determined by the department,

 

divided by the minimum number of hours of pupil instruction required under section

 

101(3). The result of this calculation shall not exceed the amount per membership

 

pupil otherwise calculated under this subsection. For the purposes of this subsection,

 

if a public school is transferred from a district to the state school reform/redesign

 

district or the achievement authority under section 1280c of the revised school code,

 

MCL 380.1280c, that public school is considered to be an achievement school within the

 

education achievement system and not a school that is part of a district, and a pupil

 

attending that public school is considered to be in membership in the education

 

achievement system and not in membership in the district that operated the school

 

before the transfer.

 

†††††† (8) Subject to subsection (4), for a district that is formed or reconfigured

 

after June 1, 2002 by consolidation of 2 or more districts or by annexation, the

 

resulting district's foundation allowance under this section beginning after the

 


effective date of the consolidation or annexation shall be the lesser of the sum of

 

the average of the foundation allowances of each of the original or affected

 

districts, calculated as provided in this section, weighted as to the percentage of

 

pupils in total membership in the resulting district who reside in the geographic area

 

of each of the original or affected districts plus $100.00 or the highest foundation

 

allowance among the original or affected districts. This subsection does not apply to

 

a receiving district unless there is a subsequent consolidation or annexation that

 

affects the district.

 

†††††† (9) Each fraction used in making calculations under this section shall be

 

rounded to the fourth decimal place and the dollar amount of an increase in the basic

 

foundation allowance shall be rounded to the nearest whole dollar.

 

†††††† (10) State payments related to payment of the foundation allowance for a

 

special education pupil are not calculated under this section but are instead

 

calculated under section 51a.

 

†††††† (11) To assist the legislature in determining the basic foundation allowance

 

for the subsequent state fiscal year, each revenue estimating conference conducted

 

under section 367b of the management and budget act, 1984 PA 431, MCL 18.1367b, shall

 

calculate a pupil membership factor, a revenue adjustment factor, and an index as

 

follows:

 

†††††† (a) The pupil membership factor shall be computed by dividing the estimated

 

membership in the school year ending in the current state fiscal year, excluding

 

intermediate district membership, by the estimated membership for the school year

 

ending in the subsequent state fiscal year, excluding intermediate district

 

membership. If a consensus membership factor is not determined at the revenue

 

estimating conference, the principals of the revenue estimating conference shall

 

report their estimates to the house and senate subcommittees responsible for school

 

aid appropriations not later than 7 days after the conclusion of the revenue

 


conference.

 

†††††† (b) The revenue adjustment factor shall be computed by dividing the sum of the

 

estimated total state school aid fund revenue for the subsequent state fiscal year

 

plus the estimated total state school aid fund revenue for the current state fiscal

 

year, adjusted for any change in the rate or base of a tax the proceeds of which are

 

deposited in that fund and excluding money transferred into that fund from the

 

countercyclical budget and economic stabilization fund under the management and budget

 

act, 1984 PA 431, MCL 18.1101 to 18.1594, by the sum of the estimated total school aid

 

fund revenue for the current state fiscal year plus the estimated total state school

 

aid fund revenue for the immediately preceding state fiscal year, adjusted for any

 

change in the rate or base of a tax the proceeds of which are deposited in that fund.

 

If a consensus revenue factor is not determined at the revenue estimating conference,

 

the principals of the revenue estimating conference shall report their estimates to

 

the house and senate subcommittees responsible for school aid appropriations not later

 

than 7 days after the conclusion of the revenue conference.

 

†††††† (c) The index shall be calculated by multiplying the pupil membership factor by

 

the revenue adjustment factor. If a consensus index is not determined at the revenue

 

estimating conference, the principals of the revenue estimating conference shall

 

report their estimates to the house and senate subcommittees responsible for school

 

aid appropriations not later than 7 days after the conclusion of the revenue

 

conference.

 

†††††† (12) Payments to districts, public school academies, or the education

 

achievement system shall not be made under this section. Rather, the calculations

 

under this section shall be used to determine the amount of state payments under

 

section 22b.

 

†††††† (13) If an amendment to section 2 of article VIII of the state constitution of

 

1963 allowing state aid to some or all nonpublic schools is approved by the voters of

 


this state, each foundation allowance or per pupil payment calculation under this

 

section may be reduced.

 

†††††† (14) As used in this section:

 

†††††† (a) "Certified mills" means the lesser of 18 mills or the number of mills of

 

school operating taxes levied by the district in 1993-94.

 

†††††† (b) "Combined state and local revenue" means the aggregate of the district's

 

state school aid received by or paid on behalf of the district under this section and

 

the district's local school operating revenue.

 

†††††† (c) "Combined state and local revenue per membership pupil" means the

 

district's combined state and local revenue divided by the district's membership

 

excluding special education pupils.

 

†††††† (d) "Current state fiscal year" means the state fiscal year for which a

 

particular calculation is made.

 

†††††† (e) "Dissolved district" means a district that loses its organization, has its

 

territory attached to 1 or more other districts, and is dissolved as provided under

 

section 12 of the revised school code, MCL 380.12.

 

†††††† (f) "Immediately preceding state fiscal year" means the state fiscal year

 

immediately preceding the current state fiscal year.

 

†††††† (g) "Local portion of the district's foundation allowance" means an amount that

 

is equal to the difference between (the sum of the product of the taxable value per

 

membership pupil of all property in the district that is nonexempt property times the

 

district's certified mills and, for a district with certified mills exceeding 12, the

 

product of the taxable value per membership pupil of property in the district that is

 

commercial personal property times the certified mills minus 12 mills) and (the

 

quotient of the product of the captured assessed valuation under tax increment

 

financing acts times the district's certified mills divided by the district's

 

membership excluding special education pupils).

 


†††††† (h) "Local school operating revenue" means school operating taxes levied under

 

section 1211 of the revised school code, MCL 380.1211. For a receiving district, if

 

school operating taxes are to be levied on behalf of a dissolved district that has

 

been attached in whole or in part to the receiving district to satisfy debt

 

obligations of the dissolved district under section 12 of the revised school code, MCL

 

380.12, local school operating revenue does not include school operating taxes levied

 

within the geographic area of the dissolved district.

 

†††††† (i) "Local school operating revenue per membership pupil" means a district's

 

local school operating revenue divided by the district's membership excluding special

 

education pupils.

 

†††††† (j) "Maximum public school academy allocation", except as otherwise provided in

 

this subdivision, means the maximum per-pupil allocation as calculated by adding the

 

highest per-pupil allocation among all public school academies for the immediately

 

preceding state fiscal year plus the difference between twice the amount of the

 

difference between the basic foundation allowance for the current state fiscal year

 

and the basic foundation for the immediately preceding state fiscal year and [(the

 

amount of the difference between the basic foundation allowance for the current state

 

fiscal year and the basic foundation for the immediately preceding state fiscal year

 

minus $10.00) times (the difference between the highest per-pupil allocation among all

 

public school academies for the immediately preceding state fiscal year and the

 

minimum foundation allowance for the immediately preceding state fiscal year) divided

 

by the difference between the basic foundation allowance for the current state fiscal

 

year and the minimum foundation allowance for the immediately preceding state fiscal

 

year]. For the purposes of this subdivision, for 2014-2015, the minimum foundation

 

allowance for the immediately preceding state fiscal year shall be considered to be

 

$7,076.00. For 2014-2015 2015-2016, the maximum public school academy allocation is

 

$7,218.00 $7,326.00.

 


†††††† (k) "Membership" means the definition of that term under section 6 as in effect

 

for the particular fiscal year for which a particular calculation is made.

 

†††††† (l) "Nonexempt property" means property that is not a principal residence,

 

qualified agricultural property, qualified forest property, supportive housing

 

property, industrial personal property, or commercial personal property.

 

†††††† (m) "Principal residence", "qualified agricultural property", "qualified forest

 

property", "supportive housing property", "industrial personal property", and

 

"commercial personal property" mean those terms as defined in section 1211 of the

 

revised school code, MCL 380.1211.

 

†††††† (n) "Receiving district" means a district to which all or part of the territory

 

of a dissolved district is attached under section 12 of the revised school code, MCL

 

380.12.

 

†††††† (o) "School operating purposes" means the purposes included in the operation

 

costs of the district as prescribed in sections 7 and 18 and purposes authorized under

 

section 1211 of the revised school code, MCL 380.1211.

 

†††††† (p) "School operating taxes" means local ad valorem property taxes levied under

 

section 1211 of the revised school code, MCL 380.1211, and retained for school

 

operating purposes.

 

†††††† (q) "Tax increment financing acts" means 1975 PA 197, MCL 125.1651 to 125.1681,

 

the tax increment finance authority act, 1980 PA 450, MCL 125.1801 to 125.1830, the

 

local development financing act, 1986 PA 281, MCL 125.2151 to 125.2174, the brownfield

 

redevelopment financing act, 1996 PA 381, MCL 125.2651 to 125.2672, or the corridor

 

improvement authority act, 2005 PA 280, MCL 125.2871 to 125.2899.

 

†††††† (r) "Taxable value per membership pupil" means taxable value, as certified by

 

the county treasurer and reported to the department, for the calendar year ending in

 

the current state fiscal year divided by the district's membership excluding special

 

education pupils for the school year ending in the current state fiscal year.

 


†††††† Sec. 20d. In making the final determination required under former section 20a

 

of a district's combined state and local revenue per membership pupil in 1993-94 and

 

in making calculations under section 20 for 2014-2015 2015-2016, the department and

 

the department of treasury shall comply with all of the following:

 

†††††† (a) For a district that had combined state and local revenue per membership

 

pupil in the 1994-95 state fiscal year of $6,500.00 or more and served as a fiscal

 

agent for a state board designated area vocational education center in the 1993-94

 

school year, total state school aid received by or paid on behalf of the district

 

pursuant to this act in 1993-94 shall exclude payments made under former section 146

 

and under section 147 on behalf of the district's employees who provided direct

 

services to the area vocational education center. Not later than June 30, 1996, the

 

department shall make an adjustment under this subdivision to the district's combined

 

state and local revenue per membership pupil in the 1994-95 state fiscal year and the

 

department of treasury shall make a final certification of the number of mills that

 

may be levied by the district under section 1211 of the revised school code, MCL

 

380.1211, as a result of the adjustment under this subdivision.

 

†††††† (b) If a district had an adjustment made to its 1993-94 total state school aid

 

that excluded payments made under former section 146 and under section 147 on behalf

 

of the district's employees who provided direct services for intermediate district

 

center programs operated by the district under article 5, if nonresident pupils

 

attending the center programs were included in the district's membership for purposes

 

of calculating the combined state and local revenue per membership pupil for 1993-94,

 

and if there is a signed agreement by all constituent districts of the intermediate

 

district that an adjustment under this subdivision shall be made, the foundation

 

allowances for 1995-96 and 1996-97 of all districts that had pupils attending the

 

intermediate district center program operated by the district that had the adjustment

 

shall be calculated as if their combined state and local revenue per membership pupil

 


for 1993-94 included resident pupils attending the center program and excluded

 

nonresident pupils attending the center program.

 

†††††† Sec. 20f. (1) From the funds appropriated in section 11, there is allocated an

 

amount not to exceed $6,000,000.00 for 2014-2015 2015-2016 for payments to eligible

 

districts under this section. A district is eligible for funding under this section if

 

the district received a payment under this section as it was in effect for 2013-2014.

 

A district was eligible for funding in 2013-2014 if the sum of the following was less

 

than $5.00:

 

†††††† (a) The increase in the district's foundation allowance or per pupil payment as

 

calculated under section 20 from 2012-2013 to 2013-2014.

 

†††††† (b) The district's equity payment per membership pupil under section 22c for

 

2013-2014.

 

†††††† (c) The quotient of the district's allocation under section 147a for 2012-2013

 

divided by the district's membership pupils for 2012-2013 minus the quotient of the

 

district's allocation under section 147a for 2013-2014 divided by the district's

 

membership pupils for 2013-2014.

 

†††††† (2) The amount allocated to each eligible district under this section is an

 

amount per membership pupil equal to the amount per membership pupil the district

 

received in 2013-2014.

 

†††††† (3) If the allocation under subsection (1) is insufficient to fully fund

 

payments as otherwise calculated under this section, the department shall prorate

 

payments under this section on an equal per-pupil basis.

 

†††††† Sec. 20g. (1) From the money appropriated under section 11, there is allocated

 

an amount not to exceed $2,200,000.00 for 2014-2015 2015-2016 for grants to eligible

 

districts that first received payments under this section in 2013-2014 for transition

 

costs related to the enrollment of pupils who were previously enrolled in a district

 

that was dissolved under section 12 of the revised school code, MCL 380.12, allocated

 


as provided under subsection (3). Payments under this section shall continue for a

 

total of 4 fiscal years following the dissolution of a district, after which the

 

payments shall cease.

 

†††††† (2) A receiving school district, as that term is defined in section 12 of the

 

revised school code, MCL 380.12, is an eligible district under this section.

 

†††††† (3) The amount allocated to each eligible district under this section is an

 

amount equal to the product of the number of membership pupils enrolled in the

 

eligible district who were previously enrolled in the dissolved school district in the

 

school year immediately preceding the dissolution, or who reside in the geographic

 

area of the dissolved school district and are entering kindergarten, times 10.0% of

 

the lesser of the foundation allowance of the eligible district as calculated under

 

section 20 or the basic foundation allowance under section 20(1).

 

†††††† (4) As used in this section, "dissolved school district" means a school

 

district that has been declared dissolved under section 12 of the revised school code,

 

1976 PA 451, MCL 380.12.

 

†††††† Sec. 21f. (1) A pupil enrolled in a district in any of grades 6 to 12 is

 

eligible to enroll in an online course as provided for in this section.

 

†††††† (2) With the consent of the pupil's parent or legal guardian, a district shall

 

enroll an eligible pupil in up to 2 online courses as requested by the pupil during an

 

academic term, semester, or trimester. Unless the pupil is newly enrolled in the

 

PRIMARY district, the request for online course enrollment must be made in the

 

academic term, semester, trimester, or summer preceding the enrollment. A district may

 

not establish additional requirements that would prohibit a pupil from taking an

 

online course. If a pupil has demonstrated previous success with online courses and

 

the school leadership and the pupil's parent or legal guardian determine that it is in

 

the best interest of the pupil, a pupil may be enrolled in more than 2 online courses

 

in a specific academic term, semester, or trimester. Consent of the pupil's parent or

 


legal guardian is not required if the pupil is at least age 18 or is an emancipated

 

minor.

 

†††††† (3) An eligible pupil may enroll in an online course published in the pupil's

 

educating PRIMARY district's catalog of online courses described in subsection (7)(a)

 

or the statewide catalog of online courses maintained by the Michigan virtual

 

university pursuant to section 98.

 

†††††† (4) A PROVIDING district OR COMMUNITY COLLEGE shall determine whether or not it

 

has capacity to accept applications for enrollment from nonresident applicants in

 

online courses and may use that limit as the reason for refusal to enroll an

 

applicant. If the number of nonresident applicants eligible for acceptance in an

 

online course does not exceed the capacity of the PROVIDING district OR COMMUNITY

 

COLLEGE to provide the online course, the PROVIDING district OR COMMUNITY COLLEGE

 

shall accept for enrollment all of the nonresident applicants eligible for acceptance.

 

If the number of nonresident applicants exceeds the PROVIDING district's OR COMMUNITY

 

COLLEGEíS capacity to provide the online course, the PROVIDING district OR COMMUNITY

 

COLLEGE shall use a random draw system, subject to the need to abide by state and

 

federal antidiscrimination laws and court orders.

 

†††††† (5) A PRIMARY district may deny a pupil enrollment in an online course if any

 

of the following apply, as determined by the district:

 

†††††† (a) The pupil has previously gained the credits provided from the completion of

 

the online course.

 

†††††† (b) The online course is not capable of generating academic credit.

 

†††††† (c) The online course is inconsistent with the remaining graduation

 

requirements or career interests of the pupil.

 

†††††† (d) The pupil does not possess the prerequisite knowledge and skills to be

 

successful in the online course or has demonstrated failure in previous online

 

coursework in the same subject.

 


†††††† (e) The online course is of insufficient quality or rigor. A district that

 

denies a pupil enrollment for this reason shall make a reasonable effort to assist the

 

pupil to find an alternative course in the same or a similar subject that is of

 

acceptable rigor and quality.

 

†††††† (f) The cost of the online course exceeds the amount identified in subsection

 

(8) (10), unless the pupil's parent or legal guardian agrees to pay the cost that

 

exceeds this amount.

 

†††††† (g) The online course enrollment request does not occur within the same

 

timelines established by the PRIMARY district for enrollment and schedule changes for

 

regular courses.

 

†††††† (6) If a pupil is denied enrollment in an online course by a PRIMARY district,

 

the pupil may appeal the denial by submitting a letter to the superintendent of the

 

intermediate district in which the pupil's educating PRIMARY district is located. The

 

letter of appeal shall include the reason provided by the PRIMARY district for not

 

enrolling the pupil and the reason why the pupil is claiming that the enrollment

 

should be approved. The intermediate district superintendent or designee shall respond

 

to the appeal within 5 days after it is received. If the intermediate district

 

superintendent or designee determines that the denial of enrollment does not meet 1 or

 

more of the reasons specified in subsection (5), the PRIMARY district shall allow the

 

pupil to enroll in the online course.

 

†††††† (7) To offer or provide an online course under this section, a THE PROVIDING

 

district or intermediate district shall do all of the following:

 

†††††† (a) Provide the Michigan virtual university with the course syllabus in a form

 

and method prescribed by the Michigan virtual university for inclusion in a statewide

 

online course catalog. The district or intermediate district shall also provide on its

 

publicly accessible website a link to the course syllabi for all of the online courses

 

offered by the district or intermediate district and a link to the statewide catalog

 


of online courses maintained by the Michigan virtual university.

 

†††††† (B) ASSIGN TO EACH PUPIL A TEACHER OF RECORD AND PROVIDE THE PRIMARY DISTRICT

 

WITH THE PERSONAL IDENTIFICATION CODE FOR THE TEACHER OF RECORD.

 

†††††† (C) (b) Offer the online course on an open entry and exit method, or aligned to

 

a semester, trimester, or accelerated academic term format.

 

†††††† (D) (c) Not later than October 1, 2014 2015, provide the Michigan virtual

 

university with the number of enrollments in each online course the district or

 

intermediate district offered PROVIDED to pupils pursuant to this section in the

 

immediately preceding school year, and the number of enrollments in which the pupil

 

earned 60% or more of the total course points for each online course.

 

†††††† (8) To provide an online course under this section, a community college shall

 

do all of the following:

 

†††††† (A) Provide the Michigan virtual university with the course syllabus in a form

 

and method prescribed by the MICHIGAN VIRTUAL UNIVERSITY for inclusion in a statewide

 

online course catalog.

 

†††††† (B) Offer the online course on an open entry and exit method, or aligned to a

 

semester, trimester, or accelerated academic term format.

 

†††††† (C) offer online courses UNDER THIS SECTION that can generate postsecondary

 

credit.

 

†††††† (D) BEGINNING WITH OCTOBER 1, 2016, AND EACH YEAR THEREAFTER, PROVIDE THE

 

MICHIGAN VIRTUAL UNIVERSITY WITH THE NUMBER OF ENROLLMENTS IN EACH ONLINE COURSE THE

 

COMMUNITY COLLEGE PROVIDED TO PUPILS PURSUANT TO THIS SECTION IN THE IMMEDIATELY

 

PRECEDING SCHOOL YEAR, AND THE NUMBER OF ENROLLMENTS IN WHICH THE PUPIL EARNED 60% OR

 

MORE OF THE TOTAL COURSE POINTS FOR EACH ONLINE COURSE.

 

†††††† (e) Online courses made available under this section by a Community college

 

require an instructor employed by OR CONTRACTED through the community college.

 

†††††† (9) THE PRIMARY DISTRICT MUST ASSIGN TO EACH PUPIL A MENTOR TO MONITOR THE

 


PUPILíS PROGRESS DURING THE ONLINE COURSE AND SUPPLY THE PROVIDING DISTRICT WITH THE

 

MENTORíS CONTACT INFORMATION.

 

†††††† (10) (8) For a pupil enrolled in 1 or more online courses published in the

 

pupil's educating PRIMARY district's catalog of online courses under subsection (7) or

 

in the statewide catalog of online courses maintained by the Michigan virtual

 

university, the PRIMARY district shall use foundation allowance or per pupil funds

 

calculated under section 20 to pay for the expenses associated with the online course

 

or courses. The district shall pay 80% of the cost of the online course upon

 

enrollment and 20% upon completion as determined by the district. A district is not

 

required to pay toward the cost of an online course an amount that exceeds 8.33% 6.66%

 

of the minimum foundation allowance for the current fiscal year as calculated under

 

section 20.

 

†††††† (11) (9) An online learning pupil shall have the same rights and access to

 

technology in his or her primary district's school facilities as all other pupils

 

enrolled in the pupil's primary district.

 

†††††† (12) (10) If a pupil successfully completes an online course, as determined by

 

the pupil's primary district, the pupil's primary district shall grant appropriate

 

academic credit for completion of the course and shall count that credit toward

 

completion of graduation and subject area requirements. A pupil's school record and

 

transcript shall identify the online course title as it appears in the online course

 

syllabus.

 

†††††† (13) (11) The enrollment of a pupil in 1 or more online courses shall not

 

result in a pupil being counted as more than 1.0 full-time equivalent pupils under

 

this article.

 

†††††† (14) (12) The portion of the full-time equated pupil membership for which a

 

pupil is enrolled in 1 or more online courses under this section shall not be

 

transferred under the pupil transfer process under section 25e.

 


†††††† (15) (13) As used in this section:

 

†††††† (A) "MENTOR" MEANS A PROFESSIONAL EMPLOYEE OF THE PRIMARY DISTRICT WHO MONITORS

 

THE PUPILíS PROGRESS, ENSURES THE PUPIL HAS ACCESS TO NEEDED TECHNOLOGY, IS AVAILABLE

 

FOR ASSISTANCE, AND ENSURES ACCESS TO THE TEACHER OF RECORD. THE ON-SITE MENTOR MAY

 

ALSO SERVE AS THE TEACHER OF RECORD IF THEY MEET THE DEFINED REQUIREMENTS.

 

†††††† (B) (a) "Online course" means a course of study that is capable of generating a

 

credit or a grade, that is provided in an interactive internet-connected learning

 

environment, in which pupils are separated from their teachers by time or location, or

 

both, and in which a teacher who holds a valid Michigan teaching certificate FOR

 

COURSES PROVIDED BY A DISTRICT OR INTERMEDIATE DISTRICT is responsible for PROVIDING

 

INSTRUCTION, determining appropriate instructional methods for each pupil, diagnosing

 

learning needs, assessing pupil learning, prescribing intervention strategies,

 

reporting outcomes, and evaluating the effects of instruction and support strategies.

 

†††††† (C) (b) "Online course syllabus" means a document that includes all of the

 

following:

 

†††††† (i) The state academic standards addressed in an online course.

 

†††††† (ii) The online course content outline.

 

†††††† (iii) The online course required assessments.

 

†††††† (iv) The online course prerequisites.

 

†††††† (v) Expectations for actual instructor contact time with the online learning

 

pupil and other pupil-to-instructor communications.

 

†††††† (vi) Academic support available to the online learning pupil.

 

†††††† (vii) The online course learning outcomes and objectives.

 

†††††† (viii) The name of the institution or organization providing the online

 

content.

 

†††††† (ix) The name of the institution or organization providing the online

 

instructor.

 


†††††† (x) The course titles assigned by the district or intermediate district and the

 

course titles and course codes from the national center for education statistics

 

(NCES) school codes for the exchange of data (SCED).

 

†††††† (xi) The number of eligible nonresident pupils that will be accepted by the

 

district or intermediate district in the online course.

 

†††††† (xii) The results of the online course quality review using the guidelines and

 

model review process published by the Michigan virtual university.

 

†††††† (D) (c) "Online learning pupil" means a pupil enrolled in 1 or more online

 

courses.

 

†††††† (E) (d) "Primary district" means the district that enrolls the pupil and

 

reports the pupil as a full-time equated pupil for pupil membership purposes.

 

†††††† (F) "PROVIDING DISTRICT" MEANS THE DISTRICT, INTERMEDIATE DISTRICT, OR

 

COMMUNITY COLLEGE THAT THE PRIMARY DISTRICT PAYS TO PROVIDE THE ONLINE COURSE.

 

†††††† (G) "TEACHER OF RECORD" MEANS A MICHIGAN CERTIFIED TEACHER WHO, WHERE

 

APPLICABLE, IS ENDORSED IN CONTENT AREA AND GRADE. THE TEACHER OF RECORD IS

 

RESPONSIBLE FOR PROVIDING INSTRUCTION, DETERMINING INSTRUCTIONAL METHODS FOR EACH

 

PUPIL, DIAGNOSING LEARNING NEEDS, ASSESSING PUPIL LEARNING, PRESCRIBING INTERVENTION

 

STRATEGIES, REPORTING OUTCOMES, AND EVALUATING THE EFFECTS OF INSTRUCTION AND SUPPORT

 

STRATEGIES.

 

†††††† Sec. 22a. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $5,393,000,000.00 $5,277,000,000.00 for 2014-2015 2015-2016 for

 

payments to districts and qualifying public school academies to guarantee each

 

district and qualifying public school academy an amount equal to its 1994-95 total

 

state and local per pupil revenue for school operating purposes under section 11 of

 

article IX of the state constitution of 1963. Pursuant to section 11 of article IX of

 

the state constitution of 1963, this guarantee does not apply to a district in a year

 

in which the district levies a millage rate for school district operating purposes

 


less than it levied in 1994. However, subsection (2) applies to calculating the

 

payments under this section. Funds allocated under this section that are not expended

 

in the state fiscal year for which they were allocated, as determined by the

 

department, may be used to supplement the allocations under sections 22b and 51c in

 

order to fully fund those calculated allocations for the same fiscal year.

 

†††††† (2) To ensure that a district receives an amount equal to the district's 1994-

 

95 total state and local per pupil revenue for school operating purposes, there is

 

allocated to each district a state portion of the district's 1994-95 foundation

 

allowance in an amount calculated as follows:

 

†††††† (a) Except as otherwise provided in this subsection, the state portion of a

 

district's 1994-95 foundation allowance is an amount equal to the district's 1994-95

 

foundation allowance or $6,500.00, whichever is less, minus the difference between the

 

sum of the product of the taxable value per membership pupil of all property in the

 

district that is nonexempt property times the district's certified mills and, for a

 

district with certified mills exceeding 12, the product of the taxable value per

 

membership pupil of property in the district that is commercial personal property

 

times the certified mills minus 12 mills and the quotient of the ad valorem property

 

tax revenue of the district captured under tax increment financing acts divided by the

 

district's membership. For a district that has a millage reduction required under

 

section 31 of article IX of the state constitution of 1963, the state portion of the

 

district's foundation allowance shall be calculated as if that reduction did not

 

occur. For a receiving district, if school operating taxes are to be levied on behalf

 

of a dissolved district that has been attached in whole or in part to the receiving

 

district to satisfy debt obligations of the dissolved district under section 12 of the

 

revised school code, MCL 380.12, taxable value per membership pupil of all property in

 

the receiving district that is nonexempt property and taxable value per membership

 

pupil of property in the receiving district that is commercial personal property do

 


not include property within the geographic area of the dissolved district; ad valorem

 

property tax revenue of the receiving district captured under tax increment financing

 

acts does not include ad valorem property tax revenue captured within the geographic

 

boundaries of the dissolved district under tax increment financing acts; and certified

 

mills do not include the certified mills of the dissolved district.

 

†††††† (b) For a district that had a 1994-95 foundation allowance greater than

 

$6,500.00, the state payment under this subsection shall be the sum of the amount

 

calculated under subdivision (a) plus the amount calculated under this subdivision.

 

The amount calculated under this subdivision shall be equal to the difference between

 

the district's 1994-95 foundation allowance minus $6,500.00 and the current year hold

 

harmless school operating taxes per pupil. If the result of the calculation under

 

subdivision (a) is negative, the negative amount shall be an offset against any state

 

payment calculated under this subdivision. If the result of a calculation under this

 

subdivision is negative, there shall not be a state payment or a deduction under this

 

subdivision. The taxable values per membership pupil used in the calculations under

 

this subdivision are as adjusted by ad valorem property tax revenue captured under tax

 

increment financing acts divided by the district's membership. For a receiving

 

district, if school operating taxes are to be levied on behalf of a dissolved district

 

that has been attached in whole or in part to the receiving district to satisfy debt

 

obligations of the dissolved district under section 12 of the revised school code, MCL

 

380.12, ad valorem property tax revenue captured under tax increment financing acts do

 

not include ad valorem property tax revenue captured within the geographic boundaries

 

of the dissolved district under tax increment financing acts.

 

†††††† (3) Beginning in 2003-2004, for pupils in membership in a qualifying public

 

school academy, there is allocated under this section to the authorizing body that is

 

the fiscal agent for the qualifying public school academy for forwarding to the

 

qualifying public school academy an amount equal to the 1994-95 per pupil payment to

 


the qualifying public school academy under section 20.

 

†††††† (4) A district or qualifying public school academy may use funds allocated

 

under this section in conjunction with any federal funds for which the district or

 

qualifying public school academy otherwise would be eligible.

 

†††††† (5) Except as otherwise provided in this subsection, for a district that is

 

formed or reconfigured after June 1, 2000 by consolidation of 2 or more districts or

 

by annexation, the resulting district's 1994-95 foundation allowance under this

 

section beginning after the effective date of the consolidation or annexation shall be

 

the average of the 1994-95 foundation allowances of each of the original or affected

 

districts, calculated as provided in this section, weighted as to the percentage of

 

pupils in total membership in the resulting district in the state fiscal year in which

 

the consolidation takes place who reside in the geographic area of each of the

 

original districts. If an affected district's 1994-95 foundation allowance is less

 

than the 1994-95 basic foundation allowance, the amount of that district's 1994-95

 

foundation allowance shall be considered for the purpose of calculations under this

 

subsection to be equal to the amount of the 1994-95 basic foundation allowance. This

 

subsection does not apply to a receiving district unless there is a subsequent

 

consolidation or annexation that affects the district.

 

†††††† (6) Payments under this section are subject to section 25f.

 

†††††† (7) As used in this section:

 

†††††† (a) "1994-95 foundation allowance" means a district's 1994-95 foundation

 

allowance calculated and certified by the department of treasury or the superintendent

 

under former section 20a as enacted in 1993 PA 336 and as amended by 1994 PA 283.

 

†††††† (b) "Certified mills" means the lesser of 18 mills or the number of mills of

 

school operating taxes levied by the district in 1993-94.

 

†††††† (c) "Current state fiscal year" means the state fiscal year for which a

 

particular calculation is made.

 


†††††† (d) "Current year hold harmless school operating taxes per pupil" means the per

 

pupil revenue generated by multiplying a district's 1994-95 hold harmless millage by

 

the district's current year taxable value per membership pupil. For a receiving

 

district, if school operating taxes are to be levied on behalf of a dissolved district

 

that has been attached in whole or in part to the receiving district to satisfy debt

 

obligations of the dissolved district under section 12 of the revised school code, MCL

 

380.12, taxable value per membership pupil does not include the taxable value of

 

property within the geographic area of the dissolved district.

 

†††††† (e) "Dissolved district" means a district that loses its organization, has its

 

territory attached to 1 or more other districts, and is dissolved as provided under

 

section 12 of the revised school code, MCL 380.12.

 

†††††† (f) "Hold harmless millage" means, for a district with a 1994-95 foundation

 

allowance greater than $6,500.00, the number of mills by which the exemption from the

 

levy of school operating taxes on a homestead, qualified agricultural property,

 

qualified forest property, supportive housing property, industrial personal property,

 

and commercial personal property could be reduced as provided in section 1211 of the

 

revised school code, MCL 380.1211, and the number of mills of school operating taxes

 

that could be levied on all property as provided in section 1211(2) of the revised

 

school code, MCL 380.1211, as certified by the department of treasury for the 1994 tax

 

year. For a receiving district, if school operating taxes are to be levied on behalf

 

of a dissolved district that has been attached in whole or in part to the receiving

 

district to satisfy debt obligations of the dissolved district under section 12 of the

 

revised school code, MCL 380.12, school operating taxes do not include school

 

operating taxes levied within the geographic area of the dissolved district.

 

†††††† (g) "Homestead", "qualified agricultural property", "qualified forest

 

property", "supportive housing property", "industrial personal property", and

 

"commercial personal property" mean those terms as defined in section 1211 of the

 


revised school code, MCL 380.1211.

 

†††††† (h) "Membership" means the definition of that term under section 6 as in effect

 

for the particular fiscal year for which a particular calculation is made.

 

†††††† (i) "Nonexempt property" means property that is not a principal residence,

 

qualified agricultural property, qualified forest property, supportive housing

 

property, industrial personal property, or commercial personal property.

 

†††††† (j) "Qualifying public school academy" means a public school academy that was

 

in operation in the 1994-95 school year and is in operation in the current state

 

fiscal year.

 

†††††† (k) "Receiving district" means a district to which all or part of the territory

 

of a dissolved district is attached under section 12 of the revised school code, MCL

 

380.12.

 

†††††† (l) "School operating taxes" means local ad valorem property taxes levied under

 

section 1211 of the revised school code, MCL 380.1211, and retained for school

 

operating purposes as defined in section 20.

 

†††††† (m) "Tax increment financing acts" means 1975 PA 197, MCL 125.1651 to 125.1681,

 

the tax increment finance authority act, 1980 PA 450, MCL 125.1801 to 125.1830, the

 

local development financing act, 1986 PA 281, MCL 125.2151 to 125.2174, the brownfield

 

redevelopment financing act, 1996 PA 381, MCL 125.2651 to 125.2672, or the corridor

 

improvement authority act, 2005 PA 280, MCL 125.2871 to 125.2899.

 

†††††† (n) "Taxable value per membership pupil" means each of the following divided by

 

the district's membership:

 

†††††† (i) For the number of mills by which the exemption from the levy of school

 

operating taxes on a homestead, qualified agricultural property, qualified forest

 

property, supportive housing property, industrial personal property, and commercial

 

personal property may be reduced as provided in section 1211 of the revised school

 

code, MCL 380.1211, the taxable value of homestead, qualified agricultural property,

 


qualified forest property, supportive housing property, industrial personal property,

 

and commercial personal property for the calendar year ending in the current state

 

fiscal year. For a receiving district, if school operating taxes are to be levied on

 

behalf of a dissolved district that has been attached in whole or in part to the

 

receiving district to satisfy debt obligations of the dissolved district under section

 

12 of the revised school code, MCL 380.12, mills do not include mills within the

 

geographic area of the dissolved district.

 

†††††† (ii) For the number of mills of school operating taxes that may be levied on

 

all property as provided in section 1211(2) of the revised school code, MCL 380.1211,

 

the taxable value of all property for the calendar year ending in the current state

 

fiscal year. For a receiving district, if school operating taxes are to be levied on

 

behalf of a dissolved district that has been attached in whole or in part to the

 

receiving district to satisfy debt obligations of the dissolved district under section

 

12 of the revised school code, MCL 380.12, school operating taxes do not include

 

school operating taxes levied within the geographic area of the dissolved district.

 

†††††† Sec. 22b. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $3,492,000,000.00 $3,662,000,000.00 for 2014-2015 2015-2016 for

 

discretionary nonmandated payments to districts under this section. Funds allocated

 

under this section that are not expended in the state fiscal year for which they were

 

allocated, as determined by the department, may be used to supplement the allocations

 

under sections 22a and 51c in order to fully fund those calculated allocations for the

 

same fiscal year.

 

†††††† (2) Subject to subsection (3) and section 296, the allocation to a district

 

under this section shall be an amount equal to the sum of the amounts calculated under

 

sections 20, 51a(2), 51a(3), and 51a(11), minus the sum of the allocations to the

 

district under sections 22a and 51c.

 

†††††† (3) In order to receive an allocation under subsection (1), each district shall

 


do all of the following:

 

†††††† (a) Comply with section 1280b of the revised school code, MCL 380.1280b.

 

†††††† (b) Comply with sections 1278a and 1278b of the revised school code, MCL

 

380.1278a and 380.1278b.

 

†††††† (c) Furnish data and other information required by state and federal law to the

 

center and the department in the form and manner specified by the center or the

 

department, as applicable.

 

†††††† (d) Comply with section 1230g of the revised school code, MCL 380.1230g.

 

†††††† (e) Comply with section 21f.

 

†††††† (4) Districts are encouraged to use funds allocated under this section for the

 

purchase and support of payroll, human resources, and other business function software

 

that is compatible with that of the intermediate district in which the district is

 

located and with other districts located within that intermediate district.

 

†††††† (5) From the allocation in subsection (1), the department shall pay up to

 

$1,000,000.00 in litigation costs incurred by this state related to commercial or

 

industrial property tax appeals, including, but not limited to, appeals of

 

classification, that impact revenues dedicated to the state school aid fund.

 

†††††† (6) From the allocation in subsection (1), the department shall pay up to

 

$1,000,000.00 in litigation costs incurred by this state associated with lawsuits

 

filed by 1 or more districts or intermediate districts against this state. If the

 

allocation under this section is insufficient to fully fund all payments required

 

under this section, the payments under this subsection shall be made in full before

 

any proration of remaining payments under this section.

 

†††††† (7) It is the intent of the legislature that all constitutional obligations of

 

this state have been fully funded under sections 22a, 31d, 51a, 51c, and 152a. If a

 

claim is made by an entity receiving funds under this article that challenges the

 

legislative determination of the adequacy of this funding or alleges that there exists

 


an unfunded constitutional requirement, the state budget director may escrow or

 

allocate from the discretionary funds for nonmandated payments under this section the

 

amount as may be necessary to satisfy the claim before making any payments to

 

districts under subsection (2). If funds are escrowed, the escrowed funds are a work

 

project appropriation and the funds are carried forward into the following fiscal

 

year. The purpose of the work project is to provide for any payments that may be

 

awarded to districts as a result of litigation. The work project shall be completed

 

upon resolution of the litigation.

 

†††††† (8) If the local claims review board or a court of competent jurisdiction makes

 

a final determination that this state is in violation of section 29 of article IX of

 

the state constitution of 1963 regarding state payments to districts, the state budget

 

director shall use work project funds under subsection (7) or allocate from the

 

discretionary funds for nonmandated payments under this section the amount as may be

 

necessary to satisfy the amount owed to districts before making any payments to

 

districts under subsection (2).

 

†††††† (9) If a claim is made in court that challenges the legislative determination

 

of the adequacy of funding for this state's constitutional obligations or alleges that

 

there exists an unfunded constitutional requirement, any interested party may seek an

 

expedited review of the claim by the local claims review board. If the claim exceeds

 

$10,000,000.00, this state may remove the action to the court of appeals, and the

 

court of appeals shall have and shall exercise jurisdiction over the claim.

 

†††††† (10) If payments resulting from a final determination by the local claims

 

review board or a court of competent jurisdiction that there has been a violation of

 

section 29 of article IX of the state constitution of 1963 exceed the amount allocated

 

for discretionary nonmandated payments under this section, the legislature shall

 

provide for adequate funding for this state's constitutional obligations at its next

 

legislative session.

 


†††††† (11) If a lawsuit challenging payments made to districts related to costs

 

reimbursed by federal title XIX medicaid funds is filed against this state, then, for

 

the purpose of addressing potential liability under such a lawsuit, the state budget

 

director may place funds allocated under this section in escrow or allocate money from

 

the funds otherwise allocated under this section, up to a maximum of 50% of the amount

 

allocated in subsection (1). If funds are placed in escrow under this subsection,

 

those funds are a work project appropriation and the funds are carried forward into

 

the following fiscal year. The purpose of the work project is to provide for any

 

payments that may be awarded to districts as a result of the litigation. The work

 

project shall be completed upon resolution of the litigation. In addition, this state

 

reserves the right to terminate future federal title XIX medicaid reimbursement

 

payments to districts if the amount or allocation of reimbursed funds is challenged in

 

the lawsuit. As used in this subsection, "title XIX" means title XIX of the social

 

security act, 42 USC 1396 to 1396v.

 

†††††† (12) Payments under this section are subject to section 25f.

 

†††††† Sec. 22d. (1) From the appropriation in section 11, an amount not to exceed

 

$2,584,600.00 is allocated for 2014-2015 2015-2016 for supplemental payments to rural

 

districts under this section.

 

†††††† (2) From the allocation under subsection (1), there is allocated for 2014-2015

 

2015-2016 an amount not to exceed $957,300.00 for payments under this subsection to

 

districts that meet all of the following:

 

†††††† (a) Operates grades K to 12.

 

†††††† (b) Has fewer than 250 pupils in membership.

 

†††††† (c) Each school building operated by the district meets at least 1 of the

 

following:

 

†††††† (i) Is located in the Upper Peninsula at least 30 miles from any other public

 

school building.

 


†††††† (ii) Is located on an island that is not accessible by bridge.

 

†††††† (3) The amount of the additional funding to each eligible district under

 

subsection (2) shall be determined under a spending plan developed as provided in this

 

subsection and approved by the superintendent of public instruction. The spending plan

 

shall be developed cooperatively by the intermediate superintendents of each

 

intermediate district in which an eligible district is located. The intermediate

 

superintendents shall review the financial situation of each eligible district,

 

determine the minimum essential financial needs of each eligible district, and develop

 

and agree on a spending plan that distributes the available funding under subsection

 

(2) to the eligible districts based on those financial needs. The intermediate

 

superintendents shall submit the spending plan to the superintendent of public

 

instruction for approval. Upon approval by the superintendent of public instruction,

 

the amounts specified for each eligible district under the spending plan are allocated

 

under subsection (2) and shall be paid to the eligible districts in the same manner as

 

payments under section 22b.

 

†††††† (4) Subject to subsection (6), from the allocation in subsection (1), there is

 

allocated for 2014-2015 2015-2016 an amount not to exceed $1,627,300.00 for payments

 

under this subsection to districts that meet all of the following:

 

†††††† (a) The district has 5.0 or fewer pupils per square mile as determined by the

 

department.

 

†††††† (b) The district has a total square mileage greater than 200.0 or is 1 of 2

 

districts that have consolidated transportation services and have a combined total

 

square mileage greater than 200.0.

 

†††††† (5) The funds allocated under subsection (4) shall be allocated on an equal per

 

pupil basis.

 

†††††† (6) A district receiving funds allocated under subsection (2) is not eligible

 

for funding allocated under subsection (4).

 


†††††† Sec. 22f. (1) From the appropriation in section 11, there is allocated for

 

2014-2015 2015-2016 an amount not to exceed $75,000,000.00 $30,000,000.00 to provide

 

incentive payments to districts that meet best practices under this section. FUNDS

 

ALLOCATED UNDER THIS SECTION ARE INTENDED TO INCREASE THE FISCAL HEALTH OF DISTRICTS

 

STATEWIDE, TO DECREASE THE NUMBER OF DISTRICTS WITH ONGOING DEFICITS, TO INCREASE THE

 

NUMBER OF PUPILS READING AT GRADE LEVEL BY THE END OF GRADE 3, AND TO INCREASE THE

 

NUMBER OF STUDENTS WHO ARE COLLEGE AND CAREER READY UPON HIGH SCHOOL GRADUATION.

 

Payments received under this section may be used for any purpose for which payments

 

under sections 22a and 22b may be used.

 

†††††† (2) The amount of the incentive payment under this section is an amount equal

 

to $50.00 $20.00 per pupil. A district shall receive an incentive payment under this

 

section if the district satisfies at least 7 of the following requirements not later

 

than June 1, 2015: THE REQUIREMENTS OF BOTH FINANCIAL BEST PRACTICES AND ACADEMIC BEST

 

PRACTICES DESCRIBED BELOW NOT LATER THAN JUNE 1, 2016:

 

†††††† (a) If a district provides medical, pharmacy, dental, vision, disability, long-

 

term care, or any other type of benefit that would constitute a health care services

 

benefit, to employees and their dependents, the district is the policyholder for each

 

of its insurance policies that covers 1 or more of these benefits. A district that

 

does not directly employ its staff or a district with a voluntary employee beneficiary

 

association that pays no more than the maximum per employee contribution amount and

 

that contributes no more than the maximum employer contribution percentage of total

 

annual costs for the medical benefit plans as described in sections 3 and 4 of the

 

publicly funded health insurance contribution act, 2011 PA 152, MCL 15.563 and 15.564,

 

is considered to have satisfied this requirement.

 

†††††† (b) The district has obtained competitive bids on the provision of pupil

 

transportation, food service, custodial, or 1 or more other noninstructional services

 

for 2014-2015. In comparing competitive bids to the current costs of providing 1 or

 


more of these services, a district shall exclude the unfunded accrued liability costs

 

for retirement and other benefits from the district's current costs.

 

†††††† (c) The district accepts applications for enrollment by nonresident applicants

 

under section 105 or 105c. A public school academy is considered to have met this

 

requirement.

 

†††††† (d) The district offers online courses or blended learning opportunities to all

 

eligible pupils. In order to satisfy this requirement, a district must make all

 

eligible pupils and their parents or guardians aware of these opportunities and must

 

publish an online course syllabus as described in section 21f for each online course

 

that the district offers. For the purposes of this subdivision:

 

†††††† (i) "Blended learning" means a hybrid instructional delivery model where pupils

 

are provided content, instruction, and assessment in part at a supervised educational

 

facility away from home where the pupil and a teacher with a valid Michigan teaching

 

certificate are in the same physical location and in part through internet-connected

 

learning environments with some degree of pupil control over time, location, and pace

 

of instruction.

 

†††††† (ii) "Online course" means a course of study that is capable of generating a

 

credit or a grade, that is provided in an interactive internet-connected learning

 

environment, in which pupils are separated from their teachers by time or location, or

 

both, and in which a teacher with a valid Michigan teaching certificate is responsible

 

for determining appropriate instructional methods for each pupil, diagnosing learning

 

needs, assessing pupil learning, prescribing intervention strategies, reporting

 

outcomes, and evaluating the effects of instruction and support strategies.

 

†††††† (A) A DISTRICT IS CONSIDERED TO MEET THE REQUIREMENTS OF FINANCIAL BEST

 

PRACTICES BY COMPLETING AT LEAST 2 OF THE FOLLOWING:

 

†††††† (I) (e) The district provides to parents and community members a dashboard or

 

report card demonstrating the district's efforts to manage its finances responsibly.

 


The dashboard or report card shall include revenue and expenditure projections for the

 

district for fiscal year 2014-2015 2015-2016 and fiscal year 2015-2016 2016-2017, a

 

listing of all debt service obligations, detailed by project, including anticipated

 

fiscal year 2014-2015 2015-2016 payment for each project, a listing of total

 

outstanding debt, and at least all of the following for the 3 most recent school years

 

for which the data are available:

 

†††††† (A) (i) Graduation and dropout rates.

 

†††††† (B) (ii) Average class size in grades kindergarten to 3.

 

†††††† (C) (iii) College readiness as measured by Michigan merit examination test

 

scores.

 

†††††† (D) (iv) Elementary and middle school MEAP MICHIGAN STUDENT TEST OF EDUCATIONAL

 

PROGRESS (M-STEP) scores.

 

†††††† (E) (v) Teacher, principal, and superintendent salary information including at

 

least minimum, average, and maximum pay levels.

 

†††††† (F) (vi) General fund balance.

 

†††††† (G) (vii) The total number of days of instruction provided.

 

†††††† (f) The district complies with a method of compensation for teachers and school

 

administrators that includes job performance and accomplishments as a significant

 

factor in determining compensation, as required under section 1250 of the revised

 

school code, MCL 380.1250.

 

†††††† (g) The district's collective bargaining agreements, including, but not limited

 

to, appendices, addenda, letters of agreement, or any other documents reflecting

 

agreements with collective bargaining representatives, do not contain any provisions

 

pertaining to, relating to, or that are otherwise contrary to the prohibited subjects

 

of bargaining enumerated in

 

section 15(3) of 1947 PA 336, MCL 423.215.

 

†††††† (h) The district implements a comprehensive guidance and counseling program.

 


†††††† (i) The district offers pupils in grades K to 8 the opportunity to complete

 

coursework or other learning experiences that are substantially equivalent to 1 credit

 

in a language other than English.

 

†††††† (II) IF THE DISTRICT HAS AN ENDING GENERAL FUND BALANCE FOR THE PRIOR FISCAL

 

YEAR LESS THAN OR EQUAL TO 5 PERCENT OF OPERATING EXPENDITURES AS DETERMINED BY THE

 

DEPARTMENT, THE LOCAL SCHOOL BOARD MEMBERS RECEIVE DEPARTMENT-APPROVED TRAINING THAT

 

SHALL INCLUDE BUT IS NOT LIMITED TO:

 

†††††† (A) THE RESPONSIBILITIES OF THE SCHOOL BOARD AND THE DISTRICT SUPERINTENDENT.

 

†††††† (B) THE REQUIREMENTS OF THE OPEN MEETINGS ACT.

 

†††††† (C) CONFLICTS OF INTEREST.

 

†††††† (D) SCHOOL FINANCE AND SCHOOL BUDGETING.

 

†††††† (E) CONTRACTS AND NEGOTIATIONS.

 

†††††† (F) THE PROCESS OF DATA-DRIVEN DECISION MAKING AND POLICY DEVELOPMENT.

 

†††††† (III) THE DISTRICT MAINTAINED AN ENDING FUND BALANCE GREATER THAN 5 PERCENT OF

 

OPERATING EXPENDITURES FOR THE PRIOR FISCAL YEAR AS DETERMINED BY THE DEPARTMENT.

 

†††††† (B) A DISTRICT IS CONSIDERED TO MEET THE REQUIREMENTS OF ACADEMIC BEST

 

PRACTICES BY COMPLETING AT LEAST 2 OF THE FOLLOWING:

 

†††††† (I) THE DISTRICT ADMINISTERS A DEPARTMENT-APPROVED KINDERGARTEN ENTRY

 

ASSESSMENT THAT ASSESSES ENGLISH LANGUAGE ARTS AND MATHEMATICS SKILLS OF ALL FIRST-

 

TIME KINDERGARTEN PUPILS WITHIN THE DISTRICT. THE ASSESSMENT SHALL BE ADMINISTERED BY

 

THE DISTRICT IN A METHOD AND TIMEFRAME DETERMINED BY THE DEPARTMENT.†

 

†††††† (II) THE DISTRICT ADMINISTERS DEPARTMENT-APPROVED DIAGNOSTIC TOOLS TO MONITOR

 

THE DEVELOPMENT OF EARLY LITERACY AND EARLY READING SKILLS OF PUPILS IN KINDERGARTEN

 

THROUGH GRADE 3, AND SUPPORTS RESEARCH-BASED PROFESSIONAL DEVELOPMENT FOR EDUCATORS IN

 

DATA INTERPRETATION FOR THE PURPOSE OF IMPLEMENTING A MULTI-TIERED SYSTEM OF SUPPORT

 

TO IMPROVE THIRD GRADE READING PROFICIENCY. THE DIAGNOSTIC TOOLS AND PROFESSIONAL

 

DEVELOPMENT SHALL BE USED BY THE DISTRICT TO IDENTIFY STUDENTS WHO NEED ADDITIONAL

 


SUPPORT AND TO OFFER RESEARCH-BASED INTERVENTIONS.

 

†††††† (III) THE DISTRICT ASSESSES THE EFFECTIVENESS OF CURRENT COLLEGE AND CAREER

 

ADVISING PROGRAMS WITHIN THE DISTRICT BY REVIEWING STUDENT-TO-COUNSELOR RATIOS, THE

 

TIME DEDICATED TO COLLEGE AND CAREER READINESS COUNSELING AS OPPOSED TO OTHER NON-

 

COUNSELING TASKS, AND THE AMOUNT OF PROFESSIONAL DEVELOPMENT OFFERED TO COLLEGE AND

 

CAREER READINESS ADVISORS. BASED ON THIS SELF-ASSESSMENT THE DISTRICT DEVELOPS A PLAN

 

TO ADDRESS DEFICIENCIES ACCORDING TO STANDARDS RECOMMENDED BY THE MICHIGAN COLLEGE

 

ACCESS NETWORK.

 

†††††† (3) If the department determines that a district has intentionally submitted

 

false information in order to qualify for an incentive payment under this section, the

 

district forfeits an amount equal to the amount it received under this section from

 

its total state school aid for 2015-2016 2016-2017.

 

†††††† (4) If the department determines that funds allocated under this section will

 

remain unexpended after the initial allocation of $50.00 $20.00 per pupil to eligible

 

districts under subsection (2), the remaining unexpended amount is allocated on an

 

equal per pupil basis to districts that meet the requirements of subsection (2) and

 

that have a foundation allowance, as calculated under section 20, in an amount that is

 

less than the basic foundation allowance under that section.

 

†††††† Sec. 22g. (1) From the funds appropriated in section 11, there is allocated for

 

2014-2015 2015-2016 only an amount not to exceed $2,000,000.00 for competitive

 

assistance grants to districts and intermediate districts.

 

†††††† (2) Funds received under this section may be used for reimbursement of

 

transition costs associated with the consolidation of operations or services between 2

 

or more districts, intermediate districts, or other local units of government, the

 

consolidation or sharing of technology and data operations or services between 50 or

 

more districts or 5 or more intermediate districts, or the consolidation of districts

 

or intermediate districts. Grant funding shall be available for consolidations that

 


occur on or after June 1, 2014 2015. The department shall develop an application

 

process and method of grant distribution. The department shall give priority to

 

applicants that propose including at least 1 of the following statewide activities:

 

†††††† (a) A comprehensive, research-based academic early warning indicator and

 

dropout prevention solution.

 

†††††† (b) A data-driven system for identifying early reading challenges and

 

establishing individual reading development plans for every student by the end of

 

grade 3.

 

†††††† Sec. 22i. (1) From the funds appropriated in section 11, there is allocated for

 

2013-2014 2015-2016 an amount not to exceed $45,000,000.00 and there is allocated for

 

2014-2015 an amount not to exceed $41,500,000.00 $25,000,000.00 for the technology

 

READINESS infrastructure grant program for districts or intermediate districts on

 

behalf of their constituent districts. Funds received under this subsection SECTION

 

shall be used for the STATEWIDE development or improvement of a district's DISTRICTSí

 

technology HARD infrastructure, the shared services consolidation of technology and

 

data, DATA SYSTEMS THAT USE EVIDENCED-BASED LITERACY DIAGNOSTIC TOOLS TO INFORM

 

TEACHERS OF PUPILS IN KINDERGARTEN THROUGH GRADE 3, and FOR THE COORDINATION AND

 

STRATEGIC PURCHASING OF hardware in preparation AND SOFTWARE NECESSARY for the planned

 

implementation in 2014-2015 of online THE DELIVERY OF assessments THROUGH ONLINE

 

MODES.

 

†††††† (2) The department shall develop a competitive application process and method

 

of grant distribution to eligible districts and intermediate districts that

 

demonstrate need for grants under subsection (1). The department may consult with the

 

department of technology, management, and budget during the grant process and grant

 

distribution. Grants to districts shall not exceed $2,000,000.00 per district. A grant

 

to an intermediate district on behalf of its constituent districts shall not exceed

 

$2,000,000.00 per constituent district. To receive a grant under subsection (1), an

 


intermediate district shall demonstrate that a grant awarded to the intermediate

 

district on behalf of its constituent districts would provide savings compared to

 

providing grants to individual districts.

 

†††††† (3) From the general fund money appropriated in section 11, there is allocated

 

an amount not to exceed $5,000,000.00 for 2013-2014 to be awarded through a

 

competitive bid process to a single provider of whole-school technology as described

 

in this subsection. The department shall issue a single request for proposal with

 

application rules written and administered by the department, and with a focus on

 

economic and geographic diversity. To be eligible to receive the grant under this

 

section, a provider shall meet all of the following:

 

†††††† (a) Agrees to submit evaluation criteria in a form and manner determined by the

 

department.

 

†††††† (b) Provides at least all of the following:

 

†††††† (i) One-to-one mobile devices.

 

†††††† (ii) Laptop or desktop computers for each classroom.

 

†††††† (iii) On- and off-campus filtering.

 

†††††† (iv) Wireless networks and peripherals.

 

†††††† (v) Wireless audio equipment.

 

†††††† (vi) Operating software.

 

†††††† (vii) Instructional software.

 

†††††† (viii) Repairs and replacements.

 

†††††† (ix) Professional development.

 

†††††† (x) Ongoing support.

 

†††††† (3) (4) The funds allocated under subsection (1) are a work project

 

appropriation. Any unexpended funds for 2013-2014 2015-2016 are carried forward into

 

2014-2015 and any unexpended funds for 2014-2015 are carried forward into 2015-2016

 

2016-2017. The purpose of the work project is to continue to implement the projects

 


described under this section. The estimated completion date of the work project is

 

September 30, 2016 2017.

 

†††††† (4) AS USED IN THIS SECTION:

 

†††††† (A) "HARD INFRASTRUCTURE" MEANS TECHNOLOGY HARDWARE NECESSARY TO MOVE TO AN

 

ONLINE LEARNING AND TESTING ENVIRONMENT, INCLUDING, BUT NOT LIMITED TO, FIBER,

 

SERVERS, WIRELESS COMPUTING NETWORKS, AND NECESSARY PERIPHERALS.

 

†††††† (B) "SHARED SERVICES CONSOLIDATION OF TECHNOLOGY AND DATA" MEANS PROJECTS THAT

 

SUPPORT THE MOVE TO A COLLABORATIVE MULTIPLE ORGANIZATIONAL APPROACH TO MANAGING

 

HARDWARE, SOFTWARE, PERIPHERALS AND DATA INTEGRATION AND DISPLAY OF APPROPRIATE

 

INFORMATION FOR PARENTS, TEACHERS, ADMINISTRATORS, AND THE STATE.

 

†††††† Sec. 23a. (1) A dropout recovery program operated by a district qualifies for

 

the special membership counting provisions of section 6(4)(ff) (6)(4)(DD) and the

 

hours and day of pupil instruction exemption under section 101(12) if the dropout

 

recovery program meets all of the following:

 

†††††† (a) Enrolls only eligible pupils.

 

†††††† (b) Provides an advocate. An advocate may serve in that role for more than 1

 

pupil but no more than 50 pupils. An advocate may be employed by the district or may

 

be provided by an education management organization that is partnering with the

 

district. Before an individual is assigned to be an advocate for a pupil in the

 

dropout recovery program, the district shall comply with sections 1230 and 1230a of

 

the revised school code, MCL 380.1230 and 380.1230a, with respect to that individual.

 

†††††† (c) Develops a written learning plan.

 

†††††† (d) Monitors the pupil's progress against the written learning plan.

 

†††††† (e) Requires each pupil to make satisfactory monthly progress, as defined by

 

the district under subsection (2).

 

†††††† (f) Reports the pupil's progress results to the partner district at least

 

monthly.

 


†††††† (g) The program may be operated on or off a district school campus, but may be

 

operated using distance learning online only if the program provides a computer and

 

internet access for each eligible pupil participating in the program.

 

†††††† (h) Is operated throughout the entire calendar year.

 

†††††† (i) If the district partners with an education management organization for the

 

program, the education management organization has a dropout recovery program

 

partnership relationship with at least 1 other district.

 

†††††† (2) A district operating a dropout recovery program under this section shall

 

adopt a definition of satisfactory monthly progress that is consistent with the

 

definition of that term under subsection (3).

 

†††††† (3) As used in this section:

 

†††††† (a) "Advocate" means an adult available to meet in person with assigned pupils,

 

as needed, to conduct social interventions, to proctor final examinations, and to

 

provide academic and social support to pupils enrolled in the district's dropout

 

recovery program.

 

†††††† (b) "Education management organization" means a private provider that operates

 

1 or more other dropout recovery programs that meet the requirements of this section

 

in partnership with 1 or more districts.

 

†††††† (c) "Eligible pupil" means a pupil who has been expelled from school under the

 

mandatory expulsion provisions in section 1311 or 1311a of the revised school code,

 

MCL 380.1311 and 380.1311a, a pupil who has been suspended or expelled from school

 

under a local policy, a pupil who is referred by a court, a pupil who is pregnant or

 

is a parent, a pupil who was previously a dropout, or a pupil who is determined by the

 

district to be at risk of dropping out.

 

†††††† (d) "Satisfactory monthly progress" means an amount of progress that is

 

measurable on a monthly basis and that, if continued for a full 12 months, would

 

result in the same amount of academic credit being awarded to the pupil as would be

 


awarded to a general education pupil completing a full school year. Satisfactory

 

monthly progress may include a lesser required amount of progress for the first 2

 

months a pupil participates in the program.

 

†††††† (e) "Written learning plan" means a written plan developed in conjunction with

 

the advocate that includes the plan start and end dates, courses to be taken, credit

 

to be earned for each course, teacher of record for each course, and advocate name and

 

contact information.

 

†††††† Sec. 24. (1) From the appropriation in section 11, there is allocated for 2014-

 

2015 2015-2016 an amount not to exceed $8,000,000.00 for payments to the educating

 

district or intermediate district for educating pupils assigned by a court or the

 

department of human services to reside in or to attend a juvenile detention facility

 

or child caring institution licensed by the department of human services and approved

 

by the department to provide an on-grounds education program. The amount of the

 

payment under this section to a district or intermediate district shall be calculated

 

as prescribed under subsection (2).

 

†††††† (2) The total amount allocated under this section shall be allocated by paying

 

to the educating district or intermediate district an amount equal to the lesser of

 

the district's or intermediate district's added cost or the department's approved per

 

pupil allocation for the district or intermediate district. For the purposes of this

 

subsection:

 

†††††† (a) "Added cost" means 100% of the added cost each fiscal year for educating

 

all pupils assigned by a court or the department of human services to reside in or to

 

attend a juvenile detention facility or child caring institution licensed by the

 

department of human services or the department of licensing and regulatory affairs and

 

approved by the department to provide an on-grounds education program. Added cost

 

shall be computed by deducting all other revenue received under this article for

 

pupils described in this section from total costs, as approved by the department, in

 


whole or in part, for educating those pupils in the on-grounds education program or in

 

a program approved by the department that is located on property adjacent to a

 

juvenile detention facility or child caring institution. Costs reimbursed by federal

 

funds are not included.

 

†††††† (b) "Department's approved per pupil allocation" for a district or intermediate

 

district shall be determined by dividing the total amount allocated under this section

 

for a fiscal year by the full-time equated membership total for all pupils approved by

 

the department to be funded under this section for that fiscal year for the district

 

or intermediate district.

 

†††††† (3) A district or intermediate district educating pupils described in this

 

section at a residential child caring institution may operate, and receive funding

 

under this section for, a department-approved on-grounds educational program for those

 

pupils that is longer than 181 days, but not longer than 233 days, if the child caring

 

institution was licensed as a child caring institution and offered in 1991-92 an on-

 

grounds educational program that was longer than 181 days but not longer than 233 days

 

and that was operated by a district or intermediate district.

 

†††††† (4) Special education pupils funded under section 53a shall not be funded under

 

this section.

 

†††††† Sec. 24a. From the appropriation in section 11, there is allocated an amount

 

not to exceed $2,195,500.00 $2,189,800.00 for 2014-2015 2015-2016 for payments to

 

intermediate districts for pupils who are placed in juvenile justice service

 

facilities operated by the department of human services. Each intermediate district

 

shall receive an amount equal to the state share of those costs that are clearly and

 

directly attributable to the educational programs for pupils placed in facilities

 

described in this section that are located within the intermediate district's

 

boundaries. The intermediate districts receiving payments under this section shall

 

cooperate with the department of human services to ensure that all funding allocated

 


under this section is utilized by the intermediate district and department of human

 

services for educational programs for pupils described in this section. Pupils

 

described in this section are not eligible to be funded under section 24. However, a

 

program responsibility or other fiscal responsibility associated with these pupils

 

shall not be transferred from the department of human services to a district or

 

intermediate district unless the district or intermediate district consents to the

 

transfer.

 

†††††† Sec. 24c. From the appropriation in section 11, there is allocated an amount

 

not to exceed $1,500,000.00 $1,497,400.00 for 2014-2015 2015-2016 for payments to

 

districts for pupils who are enrolled in a nationally administered community-based

 

education and youth mentoring program, known as the youth challenge program, that is

 

administered by the department of military and veterans affairs. Both of the following

 

apply to a district receiving payments under this section:

 

†††††† (a) The district shall contract with the department of military and veterans

 

affairs to ensure that all funding allocated under this section is utilized by the

 

district and the department of military and veterans affairs for the youth challenge

 

program.

 

†††††† (b) The district may retain for its administrative expenses an amount not to

 

exceed 3% of the amount of the payment the district receives under this section.

 

†††††† Sec. 25e. (1) The pupil membership transfer application and pupil transfer

 

process administered by the center under this section shall be used for processing

 

pupil transfers.

 

†††††† (2) If a pupil counted in membership for the pupil membership count day

 

transfers from a district or intermediate district to enroll in another district or

 

intermediate district after the pupil membership count day and before the supplemental

 

count day and, due to the pupil's enrollment and attendance status as of the pupil

 

membership count day, the pupil was not counted in membership in the educating

 


district or intermediate district, the educating district or intermediate district may

 

report the enrollment and attendance information to the center through the pupil

 

transfer process within 30 days after the transfer or within 30 days after the pupil

 

membership count certification date, whichever is later. Pupil transfers may be

 

submitted no earlier than the first day after the certification deadline for the pupil

 

membership count day and before the supplemental count day. Upon receipt of the

 

transfer information under this subsection indicating that a pupil has enrolled and is

 

in attendance in an educating district or intermediate district as described in this

 

subsection, the pupil transfer process shall do the following:

 

†††††† (a) Notify the district in which the pupil was previously enrolled.

 

†††††† (b) Notify both the pupil auditing staff of the intermediate district in which

 

the educating district is located and the pupil auditing staff of the intermediate

 

district in which the district that previously enrolled the pupil is located. The

 

pupil auditing staff shall investigate a representative sample based on required audit

 

sample sizes in the pupil auditing manual and may deny the pupil membership transfer.

 

†††††† (c) Aggregate the districtwide changes and notify the department for use in

 

adjusting the state aid payment system.

 

†††††† (3) The department shall do all of the following:

 

†††††† (a) Adjust the membership calculation for each district or intermediate

 

district in which the pupil was previously counted in membership or that previously

 

received an adjustment in its membership calculation under this section due to a

 

change in the pupil's enrollment and attendance so that the district's or intermediate

 

district's membership is prorated to allow the district or intermediate district to

 

receive for each school day, as determined by the financial calendar furnished by the

 

center, in which the pupil was enrolled and in attendance in the district or

 

intermediate district an amount equal to 1/105 of a full-time equated membership

 

claimed in the fall pupil membership count. The district or intermediate district

 


shall receive a prorated foundation allowance in an amount equal to the product of the

 

adjustment under this subdivision for the district or intermediate district multiplied

 

by the foundation allowance or per pupil payment as calculated under section 20 for

 

the district or intermediate district. The foundation allowance or per pupil payment

 

shall be adjusted by the pupil's full-time equated status as affected by the

 

membership definition under section 6(4).

 

†††††† (b) Adjust the membership calculation for the educating district or

 

intermediate district in which the pupil is enrolled and is in attendance so that the

 

district's or intermediate district's membership is increased to allow the district or

 

intermediate district to receive an amount equal to the difference between the full-

 

time equated membership claimed in the fall pupil membership count and the sum of the

 

adjustments calculated under subdivision (a) for each district or intermediate

 

district in which the pupil was previously enrolled and in attendance. The educating

 

district or intermediate district shall receive a prorated foundation allowance in an

 

amount equal to the product of the adjustment under this subdivision for the educating

 

district or intermediate district multiplied by the foundation allowance or per pupil

 

payment as calculated under section 20 for the educating district or intermediate

 

district. The foundation allowance or per pupil payment shall be adjusted by the

 

pupil's full-time equated status as affected by the membership definition under

 

section 6(4).

 

†††††† (4) The changes in calculation of state school aid required under subsection

 

(3) shall take effect as of the date that the pupil becomes enrolled and in attendance

 

in the educating district or intermediate district, and the department shall base all

 

subsequent payments under this article for the fiscal year to the affected districts

 

or intermediate districts on this recalculation of state school aid.

 

†††††† (5) If a pupil enrolls in an educating district or intermediate district as

 

described in subsection (2), the district or intermediate district in which the pupil

 


is counted in membership or another educating district or intermediate district that

 

received an adjustment in its membership calculation under subsection (3), if any, and

 

the educating district or intermediate district shall provide to the center and the

 

department all information they require to comply with this section.

 

†††††† (6) Not later than December 1, 2014, the center in conjunction with the

 

department shall report to the legislature data related to the implementation of this

 

section, including, but not limited to, the number of transfer transactions and the

 

net change in pupil memberships in 2013-2014 by district and intermediate district.

 

†††††† (6) (7) The portion of the full-time equated pupil membership for which a pupil

 

is enrolled in 1 or more online courses under section 21f shall not be counted or

 

transferred under the pupil transfer process under this section.

 

†††††† (7) (8) As used in this section:

 

†††††† (a) "Educating district or intermediate district" means the district or

 

intermediate district in which a pupil enrolls after the pupil membership count day or

 

after an adjustment was made in another district's or intermediate district's

 

membership calculation under this section due to the pupil's enrollment and

 

attendance.

 

†††††† (b) "Pupil" means that term as defined under section 6 and also children

 

receiving early childhood special education programs and services.

 

†††††† Sec. 25f. (1) From the state school aid fund money appropriated in section 11,

 

there is allocated an amount not to exceed $2,000,000.00 $1,000,000.00 for 2014-2015

 

2015-2016 for payments to strict discipline academies established under sections 1311b

 

to 1311m of the revised school code, MCL 380.1311b to 380.1311m, as provided under

 

this section and for the purposes described in subsection (5).

 

†††††† (2) In order to receive funding under this section, a strict discipline academy

 

shall first comply with section 25e and use the pupil transfer process under that

 

section for changes in enrollment as prescribed under that section.

 


†††††† (3) Not later than June 30, 2015 2016, a strict discipline academy shall report

 

to the center and to the department, in a manner prescribed by the center and the

 

department, the following information for 2014-2015 2015-2016:

 

†††††† (a) The number of pupils enrolled and in attendance at the strict discipline

 

academy.

 

†††††† (b) The number of days each pupil enrolled was in attendance at the strict

 

discipline academy, not to exceed 180.

 

†††††† (4) The amount of the payment to a strict discipline academy under this section

 

shall be an amount equal to the difference between the product of 1/180 of the per-

 

pupil payment as calculated under section 20 for the strict discipline academy

 

multiplied by the number of days of pupil attendance reported under subsection (3)(b)

 

minus the product of the per-pupil payment as calculated under section 20 for the

 

strict discipline academy multiplied by the pupils in membership at the strict

 

discipline academy as calculated under section 6 and as adjusted by section 25e.

 

†††††† (5) If the operation of the special membership counting provisions under

 

section 6(4)(dd) and the other membership counting provisions under section 6(4)

 

result in a pupil being counted as more than 1.0 FTE in a fiscal year, then the

 

payment made for the pupil under sections 22a and 22b shall not be based on more than

 

1.0 FTE for that pupil, and that portion of the FTE that exceeds 1.0 shall be paid

 

under this section in an amount equal to that portion multiplied by the educating

 

district's foundation allowance or per-pupil payment calculated under section 20.

 

†††††† (6) If the funds allocated under this section are insufficient to fully fund

 

the adjustments under subsections (4) and (5), payments under this section shall be

 

prorated on an equal per-pupil basis.

 

†††††† (7) Payments to districts under this section shall be made according to the

 

payment schedule under section 17b.

 

†††††† Sec. 26a. From the funds appropriated in section 11, there is allocated an

 


amount not to exceed $26,300,000.00 for 2014-2015 2015-2016 to reimburse districts and

 

intermediate districts pursuant to section 12 of the Michigan renaissance zone act,

 

1996 PA 376, MCL 125.2692, for taxes levied in 2014 2015. The allocations shall be

 

made not later than 60 days after the department of treasury certifies to the

 

department and to the state budget director that the department of treasury has

 

received all necessary information to properly determine the amounts due to each

 

eligible recipient.

 

†††††† Sec. 26b. (1) From the appropriation in section 11, there is allocated for

 

2014-2015 2015-2016 an amount not to exceed $4,210,000.00 $4,276,800.00 for payments

 

to districts, intermediate districts, and community college districts for the portion

 

of the payment in lieu of taxes obligation that is attributable to districts,

 

intermediate districts, and community college districts pursuant to section 2154 of

 

the natural resources and environmental protection act, 1994 PA 451, MCL 324.2154.

 

†††††† (2) If the amount appropriated under this section is not sufficient to fully

 

pay obligations under this section, payments shall be prorated on an equal basis among

 

all eligible districts, intermediate districts, and community college districts.

 

†††††† Sec. 26c. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $293,100.00 $610,000.00 for 2014-2015 2015-2016 to the promise

 

zone fund created in subsection (3).

 

†††††† (2) Funds allocated to the promise zone fund under this section shall be used

 

solely for payments to eligible districts and intermediate districts that have a

 

promise zone development plan approved by the department of treasury under section 7

 

of the Michigan promise zone authority act, 2008 PA 549, MCL 390.1667.

 

†††††† (3) The promise zone fund is created as a separate account within the state

 

school aid fund to be used solely for the purposes of the Michigan promise zone

 

authority act, 2008 PA 549, MCL 390.1661 to 390.1679. All of the following apply to

 

the promise zone fund:

 


†††††† (a) The state treasurer shall direct the investment of the promise zone fund.

 

The state treasurer shall credit to the promise zone fund interest and earnings from

 

fund investments.

 

†††††† (b) Money in the promise zone fund at the close of a fiscal year shall remain

 

in the promise zone fund and shall not lapse to the general fund.

 

†††††† (4) Subject to subsection (2), the state treasurer may make payments from the

 

promise zone fund to eligible districts and intermediate districts pursuant to the

 

Michigan promise zone authority act, 2008 PA 549, MCL 390.1661 to 390.1679, to be used

 

for the purposes of a promise zone authority created under that act.

 

†††††† Sec. 31a. (1) From the state school aid fund money appropriated in section 11,

 

there is allocated for 2014-2015 2015-2016 an amount not to exceed $317,695,500.00

 

$417,695,500.00 for payments to eligible districts, eligible public school academies,

 

and the education achievement system for the purposes of ensuring that pupils are

 

proficient in reading by the end of grade 3 and that high school graduates are career

 

and college ready and for the purposes under subsections (6) and (7).

 

†††††† (2) For a district or public school academy, or the education achievement

 

system, to be eligible to receive funding under this section, other than funding under

 

subsection (6) or (7), the sum of the district's or public school academy's or the

 

education achievement system's combined state and local revenue per membership pupil

 

in the current state fiscal year, as calculated under section 20, must be less than or

 

equal to the basic foundation allowance under section 20 for the current state fiscal

 

year.

 

†††††† (3) Except as otherwise provided in this subsection, an eligible district or

 

eligible public school academy or the education achievement system shall receive under

 

this section for each membership pupil in the district or public school academy or the

 

education achievement system who met the income eligibility criteria for free

 

breakfast, lunch, or milk, as determined under the Richard B. Russell national school

 


lunch act, 42 USC 1751 to 1769, and as reported to the department in the form and

 

manner prescribed by the department not later than the fifth Wednesday after the pupil

 

membership count day of the immediately preceding fiscal year and adjusted not later

 

than December 31 of the immediately preceding fiscal year, an amount per pupil equal

 

to 11.5% of the sum of the district's foundation allowance or the public school

 

academy's or the education achievement system's per pupil amount calculated under

 

section 20, not to exceed the basic foundation allowance under section 20 for the

 

current state fiscal year, or of the public school academy's or the education

 

achievement system's per membership pupil amount calculated under section 20 for the

 

current state fiscal year. However, a public school academy that began operations as a

 

public school academy, or an achievement school that began operations as an

 

achievement school, after the pupil membership count day of the immediately preceding

 

school year shall receive under this section for each membership pupil in the public

 

school academy or in the education achievement system who met the income eligibility

 

criteria for free breakfast, lunch, or milk, as determined under the Richard B.

 

Russell national school lunch act and as reported to the department not later than the

 

fifth Wednesday after the pupil membership count day of the current fiscal year and

 

adjusted not later than December 31 of the current fiscal year, an amount per pupil

 

equal to 11.5% of the public school academy's or the education achievement system's

 

per membership pupil amount calculated under section 20 for the current state fiscal

 

year.

 

†††††† (4) Except as otherwise provided in this section, a district or public school

 

academy, or the education achievement system, receiving funding under this section

 

shall use that money only to provide instructional programs and direct

 

noninstructional services, including, but not limited to, medical, mental health, or

 

counseling services, for at-risk pupils; for school health clinics; and for the

 

purposes of subsection (5), (6), (7), or (10). In addition, a district that is a

 


school district of the first class or a district or public school academy in which at

 

least 50% of the pupils in membership met the income eligibility criteria for free

 

breakfast, lunch, or milk in the immediately preceding state fiscal year, as

 

determined and reported as described in subsection (3), or the education achievement

 

system if it meets this requirement, may use not more than 20% of the funds it

 

receives under this section for school security. A district, the public school

 

academy, or the education achievement system shall not use any of that money for

 

administrative costs. The instruction or direct noninstructional services provided

 

under this section may be conducted before or after regular school hours or by adding

 

extra school days to the school year.

 

†††††† (5) A district or public school academy that receives funds under this section

 

and that operates a school breakfast program under section 1272a of the revised school

 

code, MCL 380.1272a, or the education achievement system if it operates a school

 

breakfast program, shall use from the funds received under this section an amount, not

 

to exceed $10.00 per pupil for whom the district or public school academy or the

 

education achievement system receives funds under this section, necessary to pay for

 

costs associated with the operation of the school breakfast program.

 

†††††† (6) From the funds allocated under subsection (1), there is allocated for 2014-

 

2015 2015-2016 an amount not to exceed $3,557,300.00 to support child and adolescent

 

health centers. These grants shall be awarded for 5 consecutive years beginning with

 

2003-2004 in a form and manner approved jointly by the department and the department

 

of community health. Each grant recipient shall remain in compliance with the terms of

 

the grant award or shall forfeit the grant award for the duration of the 5-year period

 

after the noncompliance. To continue to receive funding for a child and adolescent

 

health center under this section a grant recipient shall ensure that the child and

 

adolescent health center has an advisory committee and that at least one-third of the

 

members of the advisory committee are parents or legal guardians of school-aged

 


children. A child and adolescent health center program shall recognize the role of a

 

child's parents or legal guardian in the physical and emotional well-being of the

 

child. Funding under this subsection shall be used to support child and adolescent

 

health center services provided to children up to age 21. If any funds allocated under

 

this subsection are not used for the purposes of this subsection for the fiscal year

 

in which they are allocated, those unused funds shall be used that fiscal year to

 

avoid or minimize any proration that would otherwise be required under subsection (14)

 

for that fiscal year.

 

†††††† (7) From the funds allocated under subsection (1), there is allocated for 2014-

 

2015 2015-2016 an amount not to exceed $5,150,000.00 for the state portion of the

 

hearing and vision screenings as described in section 9301 of the public health code,

 

1978 PA 368, MCL 333.9301. A local public health department shall pay at least 50% of

 

the total cost of the screenings. The frequency of the screenings shall be as required

 

under R 325.13091 to R 325.13096 and R 325.3271 to R 325.3276 of the Michigan

 

administrative code. Funds shall be awarded in a form and manner approved jointly by

 

the department and the department of community health. Notwithstanding section 17b,

 

payments to eligible entities under this subsection shall be paid on a schedule

 

determined by the department.

 

†††††† (8) Each district or public school academy receiving funds under this section

 

and the education achievement system shall submit to the department by July 15 of each

 

fiscal year a report, not to exceed 10 pages, on the usage by the district or public

 

school academy or the education achievement system of funds under this section, which

 

report shall include a brief description of each program conducted or services

 

performed by the district or public school academy or the education achievement system

 

using funds under this section, the amount of funds under this section allocated to

 

each of those programs or services, the total number of at-risk pupils served by each

 

of those programs or services, and the data necessary for the department and the

 


department of human services to verify matching funds for the temporary assistance for

 

needy families program. If a district or public school academy or the education

 

achievement system does not comply with this subsection, the department shall withhold

 

an amount equal to the August payment due under this section until the district or

 

public school academy or the education achievement system complies with this

 

subsection. If the district or public school academy or the education achievement

 

system does not comply with this subsection by the end of the state fiscal year, the

 

withheld funds shall be forfeited to the school aid fund.

 

†††††† (9) In order to receive funds under this section, a district or public school

 

academy or the education achievement system shall allow access for the department or

 

the department's designee to audit all records related to the program for which it

 

receives those funds. The district or public school academy or the education

 

achievement system shall reimburse the state for all disallowances found in the audit.

 

†††††† (10) Subject to subsections (5), (6), and (7), a district may use up to 100% of

 

the funds it receives under this section to implement schoolwide reform in schools

 

with 40% or more of their pupils identified as at-risk pupils by providing

 

supplemental instructional or noninstructional services consistent with the school

 

improvement plan.

 

†††††† (11) If necessary, and before any proration required under section 296, the

 

department shall prorate payments under this section by reducing the amount of the per

 

pupil payment under this section by a dollar amount calculated by determining the

 

amount by which the amount necessary to fully fund the requirements of this section

 

exceeds the maximum amount allocated under this section and then dividing that amount

 

by the total statewide number of pupils who met the income eligibility criteria for

 

free breakfast, lunch, or milk in the immediately preceding fiscal year, as described

 

in subsection (3).

 

†††††† (12) If a district is formed by consolidation after June 1, 1995, and if 1 or

 


more of the original districts was not eligible before the consolidation for an

 

additional allowance under this section, the amount of the additional allowance under

 

this section for the consolidated district shall be based on the number of pupils

 

described in subsection (1) enrolled in the consolidated district who reside in the

 

territory of an original district that was eligible before the consolidation for an

 

additional allowance under this section. In addition, if a district is dissolved

 

pursuant to section 12 of the revised school code, MCL 380.12, the intermediate

 

district to which the dissolved school district was constituent shall determine the

 

estimated number of pupils that meet the income eligibility criteria for free

 

breakfast, lunch, or milk, as described under subsection (3), enrolled in each of the

 

other districts within the intermediate district and provide that estimate to the

 

department for the purposes of distributing funds under this section within 60 days

 

after the school district is declared dissolved.

 

†††††† (13) As used in this section, "at-risk pupil" means a pupil for whom the

 

district has documentation that the pupil meets any of the following criteria:

 

†††††† (a) Is a victim of child abuse or neglect.

 

†††††† (b) Is a pregnant teenager or teenage parent.

 

†††††† (c) Has a family history of school failure, incarceration, or substance abuse.

 

†††††† (A) (d) For pupils for whom the GRADE 11 STATE SUMMATIVE ASSESSMENT results of

 

the Michigan merit examination have been received, is a pupil who does not meet the

 

other criteria under this subsection but AND who did not achieve proficiency on the

 

reading, writing, ENGLISH LANGUAGE ARTS, mathematics, science, or social studies

 

components of the most recent Michigan merit examination for which results for the

 

pupil have been received CONTENT AREA ASSESSMENTS.

 

†††††† (B) (e) For pupils in grades K-3, is a pupil who is at risk of not meeting the

 

district's core academic curricular objectives in English language arts or

 

mathematics.

 


†††††† (C) (f) The pupil is enrolled in a priority or priority-successor school, as

 

defined in the elementary and secondary education act of 2001 flexibility waiver

 

approved by the United States department of education.

 

†††††† (D) (g) The pupil did not achieve a score of at least proficient on 2 or more

 

state-administered assessments for English language arts, mathematics, science, or

 

social studies.

 

†††††† (E) (h) For high school pupils in grades not assessed by the state, the pupil

 

did not receive a satisfactory score on 2 or more end-of-course examinations that are

 

aligned with state standards in English language arts, mathematics, science, or social

 

studies. For middle school pupils in grades not assessed by the state, the pupil did

 

not receive a satisfactory score on 2 or more end-of-semester or end-of-trimester

 

examinations that are aligned with state standards in science or social studies. For

 

pupils in the elementary grades in grades and subjects not assessed by the state, the

 

pupil did not receive a satisfactory score or did not have a satisfactory outcome on 2

 

or more interim assessments in English language arts, mathematics, science, or social

 

studies.

 

†††††† (i) In the absence of state or local assessment data, the pupil meets at least

 

2 of the following criteria, as documented in a form and manner approved by the

 

department:

 

†††††† (i) The pupil is eligible for free breakfast, lunch, or milk.

 

†††††† (ii) The pupil is absent more than 10% of enrolled days or 10 school days

 

during the school year.

 

†††††† (iii) The pupil is homeless.

 

†††††† (iv) The pupil is a migrant.

 

†††††† (v) The pupil is an English language learner.

 

†††††† (vi) The pupil is an immigrant who has immigrated within the immediately

 

preceding 3 years.

 


†††††† (vii) The pupil did not complete high school in 4 years and is still continuing

 

in school as identified in the Michigan cohort graduation and dropout report.

 

†††††† (14) Beginning in 2014-2015, if IF a district, public school academy, or the

 

education achievement system does not demonstrate to the satisfaction of the

 

department that at least 50% of at-risk pupils are reading at grade level by the end

 

of grade 3 as measured by the state assessment and demonstrate to the satisfaction of

 

the department improvement over 3 consecutive years in the percentage of at-risk

 

pupils that are career- and college-ready as measured by the pupil's score on each of

 

the individual subject areas on the college entrance examination portion of the

 

Michigan merit examination DETERMINED BY PROFICIENCY ON THE ENGLISH LANGUAGE ARTS,

 

MATHEMATICS AND SCIENCE GRADE 11 STATE SUMMATIVE ASSESSMENTS under section 1279g(2)(a)

 

of the revised school code, MCL 380.1279g, the district, public school academy, or

 

education achievement system shall ensure all of the following:

 

†††††† (a) The district, public school academy, or the education achievement system

 

shall determine the proportion of total at-risk pupils that represents the number of

 

pupils in grade 3 that are not reading at grade level by the end of grade 3, and the

 

district, public school academy, or the education achievement system shall expend that

 

same proportion multiplied by 1/2 of its total at-risk funds under this section on

 

tutoring and other methods of improving grade 3 reading levels.

 

†††††† (b) The district, public school academy, or the education achievement system

 

shall determine the proportion of total at-risk pupils that represent the number of

 

pupils in grade 11 that are not career- and college-ready as measured by the student's

 

score on each of the individual subject areas on the college entrance examination

 

portion of the Michigan merit examination THE ENGLISH LANGUAGE ARTS, MATHEMATICS AND

 

SCIENCE GRADE 11 STATE SUMMATIVE ASSESSMENTS under section 1279g(2)(a) of the revised

 

school code, MCL 380.1279g, and the district, public school academy, or the education

 

achievement system shall expend that same proportion multiplied by 1/2 of its total

 


at-risk funds under this section on tutoring and other activities to improve scores on

 

the college entrance examination portion of the Michigan merit examination.

 

†††††† (15) As used in subsection (14), "total at risk pupils" means the sum of the

 

number of pupils in grade 3 that are not reading at grade level by the end of third

 

grade AS MEASURED BY THE STATE ASSESSMENT and the number of pupils in grade 11 that

 

are not career- and college-ready as measured by the student's score on each of the

 

individual subject areas on the college entrance examination portion of the Michigan

 

merit examination THE ENGLISH LANGUAGE ARTS, MATHEMATICS AND SCIENCE GRADE 11 STATE

 

SUMMATIVE ASSESSMENTS under section 1279g(2)(a) of the revised school code, MCL

 

380.1279g.

 

†††††† (16) A district or public school academy that receives funds under this section

 

or the education achievement system may use funds received under this section to

 

provide an anti-bullying or crisis intervention program.

 

†††††† (17) THE DEPARTMENT SHALL COLLABORATE WITH THE DEPARTMENT OF HUMAN SERVICES TO

 

PRIORITIZE ASSIGNING PATHWAYS TO POTENTIAL SUCCESS COACHES TO ELEMENTARY SCHOOLS THAT

 

HAVE A HIGH PERCENTAGE OF PUPILS IN KINDERGARTEN THROUGH GRADE 3 NOT READING AT GRADE

 

LEVEL.

 

†††††† SEC. 31C. (1) FROM THE FUNDS APPROPRIATED IN SECTION 11, THERE IS ALLOCATED AN

 

AMOUNT NOT TO EXCEED $1,000,000.00 FOR 2015-2016 FOR PROGRAMS INTENDED TO IMPROVE

 

PUBLIC SAFETY, REDUCE THE NUMBER OF YOUTH INVOLVED IN GANG-RELATED ACTIVITY, AND TO

 

INCREASE HIGH SCHOOL GRADUATION RATES.

 

†††††† (2) THE DEPARTMENT SHALL AWARD GRANTS TO DISTRICTS THAT FORM PARTNERSHIPS WITH

 

NONPROFIT ORGANIZATIONS, LAW ENFORCEMENT, AND OTHER COMMUNITY RESOURCES TO PROVIDE

 

PROGRAMS THAT DIVERT YOUNG ADULTS FROM GANG-RELATED CRIMINAL ACTIVITY.

 

†††††† (3) GRANTS AWARDED UNDER THIS SECTION MAY INCLUDE, BUT ARE NOT LIMITED TO, THE

 

FOLLOWING ACTIVITIES:

 

†††††† (A) EMPLOYMENT TRAINING AND PLACEMENT PROGRAMS.

 


†††††† (B) COUNSELING SERVICES.

 

†††††† (C) ASSISTANCE TO PROGRAM PARTICIPANTS IN ACCESSING COMMUNITY RESOURCES FOR

 

CONTINUING EDUCATION, COURT ADVOCACY AND HEALTH CARE.

 

†††††† (D) OUTREACH PROGRAMS TO EDUCATE PARTICIPANTS AND THEIR FAMILIES.

 

†††††† (4) EACH GRANT RECIPIENT UNDER THIS SECTION SHALL PARTNER WITH A UNIVERSITY TO

 

COLLECT DATA NECESSARY TO EVALUATE THE EFFECTIVENESS OF PROGRAMS IN REDUCING VIOLENT

 

CRIME AND GANG-RELATED ACTIVITY IN THE COMMUNITY.

 

†††††† Sec. 31d. (1) From the appropriations in section 11, there is allocated an

 

amount not to exceed $22,495,100.00 for 2014-2015 2015-2016 for the purpose of making

 

payments to districts and other eligible entities under this section.

 

†††††† (2) The amounts allocated from state sources under this section shall be used

 

to pay the amount necessary to reimburse districts for 6.0127% of the necessary costs

 

of the state mandated portion of the school lunch programs provided by those

 

districts. The amount due to each district under this section shall be computed by the

 

department using the methods of calculation adopted by the Michigan supreme court in

 

the consolidated cases known as Durant v State of Michigan, Michigan supreme court

 

docket no. 104458-104492.

 

†††††† (3) The payments made under this section include all state payments made to

 

districts so that each district receives at least 6.0127% of the necessary costs of

 

operating the state mandated portion of the school lunch program in a fiscal year.

 

†††††† (4) The payments made under this section to districts and other eligible

 

entities that are not required under section 1272a of the revised school code, MCL

 

380.1272a, to provide a school lunch program shall be in an amount not to exceed

 

$10.00 per eligible pupil plus 5 cents for each free lunch and 2 cents for each

 

reduced price lunch provided, as determined by the department.

 

†††††† (5) From the federal funds appropriated in section 11, there is allocated for

 

2014-2015 2015-2016 all available federal funding, estimated at $510,000,000.00 for

 


the national school lunch program and all available federal funding, estimated at

 

$3,200,000.00 for the emergency food assistance program.

 

†††††† (6) Notwithstanding section 17b, payments to eligible entities other than

 

districts under this section shall be paid on a schedule determined by the department.

 

†††††† (7) In purchasing food for a school lunch program funded under this section,

 

preference shall be given to food that is grown or produced by Michigan businesses if

 

it is competitively priced and of comparable quality.

 

†††††† Sec. 31f. (1) From the appropriations in section 11, there is allocated an

 

amount not to exceed $5,625,000.00 for 2014-2015 2015-2016 for the purpose of making

 

payments to districts to reimburse for the cost of providing breakfast.

 

†††††† (2) The funds allocated under this section for school breakfast programs shall

 

be made available to all eligible applicant districts that meet all of the following

 

criteria:

 

†††††† (a) The district participates in the federal school breakfast program and meets

 

all standards as prescribed by 7 CFR parts 220 and 245.

 

†††††† (b) Each breakfast eligible for payment meets the federal standards described

 

in subdivision (a).

 

†††††† (3) The payment for a district under this section is at a per meal rate equal

 

to the lesser of the district's actual cost or 100% of the statewide average cost of a

 

breakfast served, as determined and approved by the department, less federal

 

reimbursement, participant payments, and other state reimbursement. The statewide

 

average cost shall be determined by the department using costs as reported in a manner

 

approved by the department for the preceding school year.

 

†††††† (4) Notwithstanding section 17b, payments under this section may be made

 

pursuant to an agreement with the department.

 

†††††† (5) In purchasing food for a school breakfast program funded under this

 

section, preference shall be given to food that is grown or produced by Michigan

 


businesses if it is competitively priced and of comparable quality.

 

†††††† Sec. 32d. (1) From the funds appropriated in section 11, there is allocated to

 

eligible intermediate districts and consortia of intermediate districts for great

 

start readiness programs an amount not to exceed $214,275,000.00 $239,275,000.00 for

 

2014-2015 2015-2016. In addition, from the funds appropriated in section 11, there is

 

allocated to the great start readiness reserve fund created under subsection (19) an

 

amount not to exceed $25,000,000.00 for 2014-2015. Funds allocated under this section

 

for great start readiness programs shall be used to provide part-day, school-day, or

 

GSRP/head start blended comprehensive free compensatory classroom programs designed to

 

improve the readiness and subsequent achievement of educationally disadvantaged

 

children who meet the participant eligibility and prioritization guidelines as defined

 

by the department. For a child to be eligible to participate in a program under this

 

section, the child shall be at least 4, but less than 5, years of age as of the date

 

specified for determining a child's eligibility to attend school under section 1147 of

 

the revised school code, MCL 380.1147.

 

†††††† (2) Funds allocated under subsection (1) shall be allocated to intermediate

 

districts or consortia of intermediate districts based on the formula in section 39.

 

An intermediate district or consortium of intermediate districts receiving funding

 

under this section shall act as the fiduciary for the great start readiness programs.

 

In order to be eligible to receive funds allocated under this subsection from an

 

intermediate district or consortium of intermediate districts, a district, a

 

consortium of districts, or a public or private for-profit or nonprofit legal entity

 

or agency shall comply with this section and section 39.

 

†††††† (3) In addition to the allocation under subsection (1), from the general fund

 

money appropriated under section 11, there is allocated an amount not to exceed

 

$300,000.00 for 2014-2015 2015-2016 for a competitive grant to continue a longitudinal

 

evaluation of children who have participated in great start readiness programs.

 


†††††† (4) To be eligible for funding under this section, a program shall prepare

 

children for success in school through comprehensive part-day, school-day, or

 

GSRP/head start blended programs that contain all of the following program components,

 

as determined by the department:

 

†††††† (a) Participation in a collaborative recruitment and enrollment process to

 

assure that each child is enrolled in the program most appropriate to his or her needs

 

and to maximize the use of federal, state, and local funds.

 

†††††† (b) An age-appropriate educational curriculum that is in compliance with the

 

early childhood standards of quality for prekindergarten children adopted by the state

 

board.

 

†††††† (c) Nutritional services for all program participants supported by federal,

 

state, and local resources as applicable.

 

†††††† (d) Physical and dental health and developmental screening services for all

 

program participants.

 

†††††† (e) Referral services for families of program participants to community social

 

service agencies, including mental health services, as appropriate.

 

†††††† (f) Active and continuous involvement of the parents or guardians of the

 

program participants.

 

†††††† (g) A plan to conduct and report annual great start readiness program

 

evaluations and continuous improvement plans using criteria approved by the

 

department.

 

†††††† (h) Participation in a school readiness advisory committee convened as a

 

workgroup of the great start collaborative that provides for the involvement of

 

classroom teachers, parents or guardians of program participants, and community,

 

volunteer, and social service agencies and organizations, as appropriate. The advisory

 

committee annually shall review and make recommendations regarding the program

 

components listed in this subsection. The advisory committee also shall make

 


recommendations to the great start collaborative regarding other community services

 

designed to improve all children's school readiness.

 

†††††† (i) The ongoing articulation of the kindergarten and first grade programs

 

offered by the program provider.

 

†††††† (j) Participation in this state's great start to quality process with a rating

 

of at least 3 stars.

 

†††††† (5) An application for funding under this section shall provide for the

 

following, in a form and manner determined by the department:

 

†††††† (a) Ensure compliance with all program components described in subsection (4).

 

†††††† (b) Except as otherwise provided in this subdivision, ensure that at least 90%

 

of the children participating in an eligible great start readiness program for whom

 

the intermediate district is receiving funds under this section are children who live

 

with families with a household income that is equal to or less than 250% of the

 

federal poverty level. If the intermediate district determines that all eligible

 

children are being served and that there are no children on the waiting list under

 

section 39(1)(d) who live with families with a household income that is equal to or

 

less than 250% of the federal poverty level, the intermediate district may then enroll

 

children who live with families with a household income that is equal to or less than

 

300% of the federal poverty level. The enrollment process shall consider income and

 

risk factors, such that children determined with higher need are enrolled before

 

children with lesser need. For purposes of this subdivision, all age-eligible children

 

served in foster care or who are experiencing homelessness or who have individualized

 

education plans recommending placement in an inclusive preschool setting shall be

 

considered to live with families with household income equal to or less than 250% of

 

the federal poverty level regardless of actual family income.

 

†††††† (c) Ensure that the applicant only uses qualified personnel for this program,

 

as follows:

 


†††††† (i) Teachers possessing proper training. A lead teacher must have a valid

 

teaching certificate with an early childhood (ZA or ZS) endorsement or a bachelor's

 

degree in child development or early child development with specialization in

 

preschool teaching. However, if an applicant demonstrates to the department that it is

 

unable to fully comply with this subparagraph after making reasonable efforts to

 

comply, teachers who have significant but incomplete training in early childhood

 

education or child development may be used if the applicant provides to the

 

department, and the department approves, a plan for each teacher to come into

 

compliance with the standards in this subparagraph. A teacher's compliance plan must

 

be completed within 2 years of the date of employment. Progress toward completion of

 

the compliance plan shall consist of at least 2 courses per calendar year.

 

†††††† (ii) Paraprofessionals possessing proper training in early childhood

 

development, including an associate's degree in early childhood education or child

 

development or the equivalent, or a child development associate (CDA) credential.

 

However, if an applicant demonstrates to the department that it is unable to fully

 

comply with this subparagraph after making reasonable efforts to comply, the applicant

 

may use paraprofessionals who have completed at least 1 course that earns college

 

credit in early childhood education or child development if the applicant provides to

 

the department, and the department approves, a plan for each paraprofessional to come

 

into compliance with the standards in this subparagraph. A paraprofessional's

 

compliance plan must be completed within 2 years of the date of employment. Progress

 

toward completion of the compliance plan shall consist of at least 2 courses or 60

 

clock hours of training per calendar year.

 

†††††† (d) Include a program budget that contains only those costs that are not

 

reimbursed or reimbursable by federal funding, that are clearly and directly

 

attributable to the great start readiness program, and that would not be incurred if

 

the program were not being offered. Eligible costs include transportation costs. The

 


program budget shall indicate the extent to which these funds will supplement other

 

federal, state, local, or private funds. Funds received under this section shall not

 

be used to supplant any federal funds received by the applicant to serve children

 

eligible for a federally funded preschool program that has the capacity to serve those

 

children.

 

†††††† (6) For a grant recipient that enrolls pupils in a school-day program funded

 

under this section, each child enrolled in the school-day program shall be counted as

 

2 children served by the program for purposes of determining the number of children to

 

be served and for determining the amount of the grant award. A grant award shall not

 

be increased solely on the basis of providing a school-day program.

 

†††††† (7) For a grant recipient that enrolls pupils in a GSRP/head start blended

 

program, the grant recipient shall ensure that all head start and GSRP policies and

 

regulations are applied to the blended slots, with adherence to the highest standard

 

from either program, to the extent allowable under federal law.

 

†††††† (8) An intermediate district or consortium of intermediate districts receiving

 

a grant under this section shall designate an early childhood coordinator, and may

 

provide services directly or may contract with 1 or more districts or public or

 

private for-profit or nonprofit providers that meet all requirements of subsection

 

(4).

 

†††††† (9) Funds received under this section may be retained for administrative

 

services as follows:

 

†††††† (a) For the portion of the total grant amount for which services are provided

 

directly by an intermediate district or consortium of intermediate districts, the

 

intermediate district or consortium of intermediate districts may retain an amount

 

equal to not more than 7% of that portion of the grant amount.

 

†††††† (b) For the portion of the total grant amount for which services are

 

contracted, the intermediate district or consortium of intermediate districts

 


receiving the grant may retain an amount equal to not more than 2% of that portion of

 

the grant amount and the subrecipients engaged by the intermediate district to provide

 

program services may retain for administrative services an amount equal to not more

 

than 5% of that portion of the grant amount.

 

†††††† (10) An intermediate district or consortium of intermediate districts may

 

expend not more than 2% of the total grant amount for outreach, recruiting, and public

 

awareness of the program.

 

†††††† (11) Each grant recipient shall enroll children identified under subsection

 

(5)(b) according to how far the child's household income is below 250% of the federal

 

poverty level by ranking each applicant child's household income from lowest to

 

highest and dividing the applicant children into quintiles based on how far the

 

child's household income is below 250% of the federal poverty level, and then

 

enrolling children in the quintile with the lowest household income before enrolling

 

children in the quintile with the next lowest household income until slots are

 

completely filled. If the grant recipient determines that all eligible children are

 

being served and that there are no children on the waiting list under section 39(1)(d)

 

who live with families with a household income that is equal to or less than 250% of

 

the federal poverty level, the grant recipient may then enroll children who live with

 

families with a household income that is equal to or less than 300% of the federal

 

poverty level. The enrollment process shall consider income and risk factors, such

 

that children determined with higher need are enrolled before children with lesser

 

need. For purposes of this subdivision, all age-eligible children served in foster

 

care or who are experiencing homelessness or who have individualized education plans

 

recommending placement in an inclusive preschool setting shall be considered to live

 

with families with household income equal to or less than 250% of the federal poverty

 

level regardless of actual family income.

 

†††††† (12) An intermediate district or consortium of intermediate districts receiving

 


a grant under this section shall allow parents of eligible children who are residents

 

of the intermediate district or within the consortium to choose a program operated by

 

or contracted with another intermediate district or consortium of intermediate

 

districts and shall pay to the educating intermediate district or consortium the per-

 

child amount attributable to each child enrolled pursuant to this sentence, as

 

determined under section 39.

 

†††††† (13) An intermediate district or consortium of intermediate districts receiving

 

a grant under this section shall conduct a local process to contract with interested

 

and eligible public and private for-profit and nonprofit community-based providers

 

that meet all requirements of subsection (4) for at least 30% of its total slot

 

allocation. The intermediate district or consortium shall report to the department, in

 

a manner prescribed by the department, a detailed list of community-based providers by

 

provider type, including private for-profit, private nonprofit, community college or

 

university, head start grantee or delegate, and district or intermediate district, and

 

the number and proportion of its total slot allocation allocated to each provider as

 

subrecipient. If the intermediate district or consortium is not able to contract for

 

at least 30% of its total slot allocation, the grant recipient shall notify the

 

department and, if the department verifies that the intermediate district or

 

consortium attempted to contract for at least 30% of its total slot allocation and was

 

not able to do so, then the intermediate district or consortium may retain and use all

 

of its allocated slots as provided under this section. To be able to use this

 

exemption, the intermediate district or consortium shall demonstrate to the department

 

that the intermediate district or consortium increased the percentage of its total

 

slot allocation for which it contracts with a community-based provider and the

 

intermediate district or consortium shall submit evidence satisfactory to the

 

department, and the department must be able to verify this evidence, demonstrating

 

that the intermediate district or consortium took measures to contract for at least

 


30% of its total slot allocation as required under this subsection, including, but not

 

limited to, at least all of the following measures:

 

†††††† (a) The intermediate district or consortium notified each licensed child care

 

center located in the service area of the intermediate district or consortium at least

 

twice regarding the center's eligibility to participate. One of these notifications

 

may be made electronically, but at least 1 of these notifications shall be made via

 

hard copy through the United States mail. At least 1 of these notifications shall be

 

made within 7 days after the intermediate district or consortium receives notice from

 

the department of its slot allocations.

 

†††††† (b) The intermediate district or consortium provided to each licensed child

 

care center located in the service area of the intermediate district or consortium

 

information regarding great start readiness program requirements and a description of

 

the application and selection process for community-based providers.

 

†††††† (c) The intermediate district or consortium provided to the public and to

 

participating families a list of community-based great start readiness program

 

subrecipients with a great start to quality rating of at least 3 stars.

 

†††††† (14) If an intermediate district or consortium of intermediate districts

 

receiving a grant under this section fails to submit satisfactory evidence to

 

demonstrate its effort to contract for at least 30% of its total slot allocation, as

 

required under subsection (1), the department shall reduce the slots allocated to the

 

intermediate district or consortium by a percentage equal to the difference between

 

the percentage of an intermediate district's or consortium's total slot allocation

 

awarded to community-based providers and 30% of its total slot allocation.

 

†††††† (15) In order to assist intermediate districts and consortia in complying with

 

the requirement to contract with community-based providers for at least 30% of their

 

total slot allocation, the department shall do all of the following:

 

†††††† (a) Ensure that a great start resource center or the department provides each

 


intermediate district or consortium receiving a grant under this section with the

 

contact information for each licensed child care center located in the service area of

 

the intermediate district or consortium by March 1 of each year.

 

†††††† (b) Provide, or ensure that an organization with which the department contracts

 

provides, a community-based provider with a validated great start to quality rating

 

within 90 days of the provider's having submitted a request and self-assessment.

 

†††††† (c) Ensure that all intermediate district, district, community college or

 

university, head start grantee or delegate, private for-profit, and private nonprofit

 

providers are subject to a single great start to quality rating system. The rating

 

system shall ensure that regulators process all prospective providers at the same pace

 

on a first-come, first-served basis and shall not allow 1 type of provider to receive

 

a great start to quality rating ahead of any other type of provider.

 

†††††† (d) Not later than November 1 of each year, compile the results of the

 

information reported by each intermediate district or consortium under subsection (10)

 

and report to the legislature a list by intermediate district or consortium with the

 

number and percentage of each intermediate district's or consortium's total slot

 

allocation allocated to community-based providers by provider type, including private

 

for-profit, private nonprofit, community college or university, head start grantee or

 

delegate, and district or intermediate district.

 

†††††† (16) A recipient of funds under this section shall report to the department in

 

a form and manner prescribed by the department the number of children participating in

 

the program who meet the income eligibility criteria under subsection (5)(b) and the

 

total number of children participating in the program. For children participating in

 

the program who meet the income eligibility criteria specified under subsection

 

(5)(b), a recipient shall also report whether or not a parent is available to provide

 

care based on employment status. For the purposes of this subsection, "employment

 

status" shall be defined by the department of human services in a manner consistent

 


with maximizing the amount of spending that may be claimed for temporary assistance

 

for needy families maintenance of effort purposes.

 

†††††† (17) As used in this section:

 

†††††† (a) "GSRP/head start blended program" means a part-day program funded under

 

this section and a head start program, which are combined for a school-day program.

 

†††††† (b) "Part-day program" means a program that operates at least 4 days per week,

 

30 weeks per year, for at least 3 hours of teacher-child contact time per day but for

 

fewer hours of teacher-child contact time per day than a school-day program.

 

†††††† (c) "School-day program" means a program that operates for at least the same

 

length of day as a district's first grade program for a minimum of 4 days per week, 30

 

weeks per year. A classroom that offers a school-day program must enroll all children

 

for the school day to be considered a school-day program.

 

†††††† (18) An intermediate district or consortium of intermediate districts receiving

 

funds under this section shall establish a sliding scale of tuition rates based upon

 

household income for children participating in an eligible great start readiness

 

program who live with families with a household income that is more than 250% of the

 

federal poverty level to be used by all of its providers, as approved by the

 

department. A grant recipient shall charge tuition according to that sliding scale of

 

tuition rates on a uniform basis for any child who does not meet the income

 

eligibility requirements under this section.

 

†††††† (19) The great start readiness reserve fund is created as a separate account

 

within the state school aid fund established by section 11 of article IX of the state

 

constitution of 1963. Money available in the great start readiness reserve fund may

 

not be expended for 2014-2015 unless transferred by the legislature not later than

 

December 15, 2014 to the allocation under subsection (1) for great start readiness

 

programs. Money in the great start readiness reserve fund shall be expended only for

 

purposes for which state school aid fund money may be expended. The state treasurer

 


shall direct the investment of the great start readiness reserve fund. The state

 

treasurer shall credit to the great start readiness reserve fund interest and earnings

 

from fund investments. Money in the great start readiness reserve fund at the close of

 

a fiscal year shall remain in the great start readiness reserve fund and shall not

 

lapse to the unreserved school aid fund balance or the general fund.

 

†††††† (19) (20) From the amount appropriated in subsection (1), there is allocated an

 

amount not to exceed $10,000,000.00 for reimbursement of transportation costs for

 

children attending great start readiness programs funded under this section. To

 

receive reimbursement under this subsection, not later than November 1, 2014 2015, a

 

program funded under this section that provides transportation shall submit to the

 

intermediate district that is the fiscal agent for the program a projected

 

transportation budget. The amount of the reimbursement for transportation under this

 

subsection shall be the lesser of the projected transportation budget or $150.00

 

multiplied by the number of slots funded for the program under this section. If the

 

amount allocated under this subsection is insufficient to fully reimburse the

 

transportation costs for all programs that provide transportation and submit the

 

required information, the reimbursement shall be prorated in an equal amount per slot

 

funded. Payments shall be made to the intermediate district that is the fiscal agent

 

for each program, and the intermediate district shall then reimburse the program

 

provider for transportation costs as prescribed under this subsection.

 

†††††† Sec. 32p. (1) From the school aid fund appropriation in section 11, there is

 

allocated an amount not to exceed $10,900,000.00 $15,900,000.00 to intermediate

 

districts for 2014-2015 2015-2016 for the purpose of providing early childhood funding

 

to intermediate school districts in block grants, supporting TO SUPPORT the activities

 

under subsection (2) AND SUBSECTION (4), and providing TO PROVIDE early childhood

 

programs for children from birth through age 8. The funding provided to each

 

intermediate district under this section shall be determined by the distribution

 


formula established by the department's office of great start to provide equitable

 

funding statewide. In order to receive funding under this section, each intermediate

 

district shall provide an application to the office of great start not later than

 

September 15 of the immediately preceding fiscal year indicating the activities

 

planned to be provided.

 

†††††† (2) Each intermediate district or consortium of intermediate districts that

 

receives funding under this section shall convene a local great start collaborative

 

and a parent coalition. The goal of each great start collaborative and parent

 

coalition shall be to ensure the coordination and expansion of local early childhood

 

infrastructure and programs that allow every child in the community to achieve the

 

following outcomes:

 

†††††† (a) Children born healthy.

 

†††††† (b) Children healthy, thriving, and developmentally on track from birth to

 

third grade.

 

†††††† (c) Children developmentally ready to succeed in school at the time of school

 

entry.

 

†††††† (d) Children prepared to succeed in fourth grade and beyond by reading

 

proficiently by the end of third grade.

 

†††††† (3) Each local great start collaborative and parent coalition shall convene

 

workgroups to make recommendations about community services designed to achieve the

 

outcomes described in subsection (2) and to ensure that its local great start system

 

includes the following supports for children from birth through age 8:

 

†††††† (a) Physical health.

 

†††††† (b) Social-emotional health.

 

†††††† (c) Family supports and basic needs.

 

†††††† (d) Parent education and child advocacy.

 

†††††† (e) Early education and care.

 


†††††† (4) FROM THE FUNDS ALLOCATED IN SUBSECTION (1), THERE IS ALLOCATED A MINIMUM OF

 

$5,000,000.00 FOR THE PURPOSE OF PROVIDING HOME VISITS TO AT-RISK CHILDREN AND THEIR

 

FAMILIES. THE HOME VISITS SHALL BE CONDUCTED AS PART OF A LOCALLY-COORDINATED, FAMILY-

 

CENTERED, EVIDENCE-BASED, DATA-DRIVEN HOME VISIT STRATEGIC PLAN THAT IS APPROVED BY

 

THE DEPARTMENT. THE GOALS OF THE HOME VISITS FUNDED UNDER THIS SUBSECTION SHALL BE TO

 

IMPROVE SCHOOL READINESS, REDUCE THE NUMBER OF PUPILS RETAINED IN GRADE LEVEL, AND

 

REDUCE THE NUMBER OF PUPILS REQUIRING SPECIAL EDUCATION SERVICES. THE DEPARTMENT SHALL

 

COORDINATE THE GOALS OF THE HOME VISIT STRATEGIC PLANS APPROVED UNDER THIS SUBSECTION

 

WITH OTHER STATE AGENCY HOME VISIT PROGRAMS IN A WAY THAT STRENGTHENS MICHIGANíS HOME

 

VISITING INFRASTRUCTURE AND MAXIMIZES FEDERAL FUNDS AVAILABLE FOR THE PURPOSES OF AT-

 

RISK FAMILY HOME VISITS.

 

†††††† (5) (4) Not later than December 1 of each year, each intermediate district

 

shall provide a report to the department detailing the activities actually provided

 

during the immediately preceding school year and the families and children actually

 

served. The department shall compile and summarize these reports and submit its

 

summary to the house and senate appropriations subcommittees on school aid and to the

 

house and senate fiscal agencies not later than February 15 of each year.

 

†††††† (6) (5) An intermediate district or consortium of intermediate districts that

 

receives funding under this section may carry over any unexpended funds received under

 

this section into the next fiscal year and may expend those unused funds through June

 

30 of the next fiscal year. A recipient of a grant shall return any unexpended grant

 

funds to the department in the manner prescribed by the department not later than

 

September 30 of the next fiscal year after the fiscal year in which the funds are

 

received.

 

†††††† SEC. 35. (1) tHE INCREASED FUNDS ALLOCATED IN sections 35a to 35g SHALL BE USED

 

for programs to ensure children are reading on grade level by the end of grade 3.

 

programs funded under these sections will be USED so that michigan will be in the top

 


10 most improved states in fourth grade reading proficiency by the 2019 National

 

assessment of educational progress (naep) and will be in the top 10 states overall by

 

2025.

 

†††††† (2) from the general fund appropriation in section 11, there is allocated an

 

amount not to exceed $1,000,000.00 for implementation costs associated with programs

 

in sections 35a to 35g.

 

†††††† Sec. 35A. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $1,000,000.00 for the purpose of piloting parent education

 

programs for parents of children less than 4 years of age so that children are

 

developmentally ready to succeed in school at the time of school entry.

 

†††††† (2) The department shall develop a competitive application process and method

 

of grant distribution consistent with the provisions of this section. A grant award to

 

a pilot program shall be the number of resident children less than 4 years of age as

 

of the date specified for determining a childís eligibility to attend school under

 

section 1147 of the revised school code, MCL 380.1147, in the district or consortium

 

of districts operating the program multiplied by $120.00 per child or $130,000.00,

 

whichever is less, The department shall ensure that to the extent possible, grants are

 

awarded in each prosperity region.

 

†††††† (3) a competitive grant application shall be submitted by an intermediate

 

district on behalf of a district or consortium of districts within the intermediate

 

district. The application shall be submitted in a form and manner approved by the

 

department and shall contain at least the following components:

 

†††††† (a) A description of the program design including the names of the district or

 

consortium of districts that will operate the program, the physical location of the

 

program and the anticipated number of families that will be served.

 

†††††† (b) An assurance that the program will be supervised by a teacher that has a

 

valid teaching certificate with an early childhood (ZA or ZS) endorsement or a valid

 


teaching certificate in career education with both a KH and VH endorsement or a

 

bachelorís degree in child development or early child development or a degree related

 

to adult learning.

 

†††††† (c) An estimate of the number of families in the district or districts that

 

will operate the pilot program that have at least one child less than 4 years of age

 

as of the date specified for determining a childís eligibility to attend school under

 

section 1147 of the revised school code, MCL 380.1147.

 

†††††† (d) A description of the public awareness and outreach efforts that will be

 

made.

 

†††††† (e) An assurance that the intermediate district and the district or CONSORTIUM

 

OF districts operating the program will provide information in a form and manner as

 

approved by the department to allow for an evaluation of the pilot projects.

 

†††††† (f) A description of the sliding fee scale that will be established for

 

tuition, with fees reduced or waived for those unable to pay.

 

†††††† (g) A budget for the program. A program may use not more than 5 percent of a

 

grant to administer the program.

 

†††††† (4) An eligible program shall provide at least two hours per week throughout

 

the school year for parents and their eligible children to participate in parent

 

education programs and meet at least the following minimum requirements:

 

†††††† (a) Require that parents be physically present in classes with their children

 

or be in concurrent classes.

 

†††††† (b) Use research-based information to educate parents about the physical,

 

cognitive, social and emotional development of children.

 

†††††† (c) Provide structured learning activities requiring interaction between

 

children and their parents.

 

†††††† (d) Provide structured learning activities for children that promote positive

 

interaction with their peers.

 


†††††† (5) For a child to be eligible to participate in a program under this section,

 

the child shall be less than 4 years of age as of the date specified for determining a

 

childís eligibility to attend school under section 1147 of the revised school code,

 

MCL 380.1147.

 

†††††† (6) From the funds in subsection (1), there is allocated an amount not to

 

exceed $100,000.00 for the purpose of performing an evaluation of the pilot programs

 

in a manner approved by the department. The evaluation report shall include at least

 

the following:

 

†††††† (a) A description of the components of the pilot programs that WERE EFFECTIVE

 

IN HELPING parents prepare their children for success in school.

 

†††††† (b) A description of any barriers that parents and their children encountered

 

that PRECLUDED them from participating in the pilot programs.

 

†††††† (c) An assessment of whether these pilot programs should be expanded to other

 

locations in the state.

 

†††††† Sec. 35B. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $950,000.00 for 2015-2016 for the purposes of this section. This

 

allocation represents the first of two years of funding for the purposes of this

 

section.

 

†††††† (2) The department shall award grants to districts to support professional

 

development for educators in a department-approved research-based training program

 

related to current state literacy standards for pupils in kindergarten through grade

 

3. The department shall determine the amount of the grant awards.

 

†††††† (2) In addition to other methods of professional development delivery, the

 

department shall collaborate with the Michigan virtual university to provide this

 

training online to all educators of pupils in kindergarten through grade 3.

 

†††††† (3) The funds allocated under this section are a work project appropriation,

 

and any unexpended funds for 2015-2016 are carried forward into 2016-2017. The purpose

 


of the work project is to continue to implement the professional development training

 

described in this section. The estimated completion date of the work project is

 

September 30, 2017.

 

†††††† sec. 35c. from the general fund appropriation in section 11, there is allocated

 

an amount not to exceed $500,000.00 to the department for the adoption of a

 

certification test to ensure all newly-certified elementary teachers have the skills

 

to deliver evidence-based literacy instruction.

 

†††††† Sec. 35d. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $1,450,000.00 for 2015-2016 for the purposes of this section.

 

This allocation represents the first of two years of funding.

 

†††††† (2) The department shall award grants to districts to administer department-

 

approved diagnostic tools to monitor the development of early literacy and early

 

reading skills of pupils in kindergarten through grade 3 and to support research-based

 

professional development for educators in data interpretation for the purpose of

 

implementing a multi-tiered system of support to improve third grade reading

 

proficiency. The department shall award grants to eligible districts in an amount

 

determined by the department.

 

†††††† (3) In addition to other methods of professional development delivery, the

 

department shall collaborate with the Michigan virtual university to provide this

 

training online to all educators of pupils in kindergarten through grade 3.

 

†††††† (4) The funds allocated under this section are a work project appropriation,

 

and any unexpended funds for 2015-2016 are carried forward into 2016-2017. The purpose

 

of the work project is to continue to implement the professional development training

 

described in this section. The estimated completion date of the work project is

 

September 30, 2017.

 

†††††† Sec. 35e. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $3,000,000.00 for the purpose of providing early literacy coaches

 


to assist teachers in developing and implementing instructional strategies for pupils

 

in kindergarten through grade 3 so that pupils are reading at grade level by the end

 

of grade 3.

 

†††††† (2) The department shall develop a competitive application process and method

 

of grant distribution consistent with the provisions of this section. The grant

 

process shall ensure that intermediate districts with the highest percentage of fourth

 

grade students in the constituent districts of the intermediate district that are not

 

proficient on the fourth grade state reading assessment receive extra consideration in

 

the awarding of grants.

 

†††††† (3) A consortium of intermediate districts in a prosperity region shall submit

 

a competitive grant application in a form and manner approved by the department in

 

order to receive funding under this section. Eligible applications shall provide

 

ASSURANCES THAT LITERACY COACHES FUNDED UNDER THIS SECTION ARE KNOWLEDGEABLE ABOUT THE

 

FOLLOWING, AT A MINIMUM:

 

†††††† (a) current state literacy standards for pupils in kindergarten through grade

 

3.

 

†††††† (b) implementing an instructional delivery model based on frequent use of

 

formative and diagnostic tools known as a multi-tiered system of support to determine

 

individual progress for pupils in kindergarten through grade 3 so that pupils are

 

reading at grade level by the end of grade 3.

 

†††††† (c) THE USE OF data from diagnostic tools to determine the necessary additional

 

supports and interventions needed by individual pupils in kindergarten through grade 3

 

in order to be reading at grade level.

 

†††††† Sec. 35f (1) From the appropriation in section 11, there is allocated an amount

 

not to exceed $10,000,000.00 for 2015-2016 to districts THAT provide additional

 

instructional time to those pupils in kindergarten through grade 3 that have been

 

identified by using department-approved diagnostic tools as needing additional

 


supports and interventions in order to be reading at grade level by the end of third

 

grade. Additional instructional time may be provided before, during and after regular

 

school hours or as part of a year-round balanced school calendar.

 

†††††† (2) In order to be eligible to receive funding UNDER THIS SECTION, a district

 

shall demonstrate to the satisfaction of the department that the district has DONE ALL

 

OF THE FOLLOWING:

 

†††††† (a) Implemented a multi-tiered system of support instructional delivery model.

 

†††††† (b) used department-approved research-based diagnostic tools to identify

 

individual pupils in need of additional instructional time.

 

†††††† (c) provided teachers of pupils in kindergarten through grade 3 with research-

 

based professional development in diagnostic data interpretation.

 

†††††† (3) Funding allocated under this section shall be distributed to eligible

 

districts by multiplying the full-time-equivalent pupils in first grade by $95.00.

 

†††††† (4) If the funds allocated under this section are insufficient to fully fund

 

the payments under this section, payments under this section shall be prorated on an

 

equal per-pupil basis of first grade pupils.

 

†††††† Sec. 35g. (1) From the general funds appropriated in section 11, there is

 

allocated an amount not to exceed $500,000.00 for 2015-2016 to the department to

 

establish a best practices clearinghouse. The department shall collaborate with the

 

center, universities, intermediate districts and districts to determine the best

 

method of establishing a clearinghouse that shall identify, develop and disseminate

 

best practices from research-based models of education reform that districts can use

 

to improve reading proficiency for pupils in kindergarten through grade 3.

 

†††††† (2) The funds allocated under this section are a work project appropriation,

 

and any unexpended funds for 2015-2016 are carried forward into 2016-2017. The purpose

 

of the work project is to continue to implement the clearinghouse described under

 

subsection (1). The estimated completion date of the work project is September 30,

 


2017.

 

†††††† Sec. 39. (1) An eligible applicant receiving funds under section 32d shall

 

submit an application, in a form and manner prescribed by the department, by a date

 

specified by the department in the immediately preceding state fiscal year. The

 

application shall include a comprehensive needs assessment using aggregated data from

 

the applicant's entire service area and a community collaboration plan that is

 

endorsed by the local great start collaborative and is part of the community's great

 

start strategic plan that includes, but is not limited to, great start readiness

 

program and head start providers, and shall identify all of the following:

 

†††††† (a) The estimated total number of children in the community who meet the

 

criteria of section 32d and how that calculation was made.

 

†††††† (b) The estimated number of children in the community who meet the criteria of

 

section 32d and are being served by other early childhood development programs

 

operating in the community, and how that calculation was made.

 

†††††† (c) The number of children the applicant will be able to serve who meet the

 

criteria of section 32d including a verification of physical facility and staff

 

resources capacity.

 

†††††† (d) The estimated number of children who meet the criteria of section 32d who

 

will remain unserved after the applicant and community early childhood programs have

 

met their funded enrollments. The applicant shall maintain a waiting list of

 

identified unserved eligible children who would be served when openings are available.

 

†††††† (2) After notification of funding allocations, an applicant receiving funds

 

under section 32d shall also submit an implementation plan for approval, in a form and

 

manner prescribed by the department, by a date specified by the department, that

 

details how the applicant complies with the program components established by the

 

department pursuant to section 32d.

 

†††††† (3) The number of prekindergarten children construed to be in need of special

 


readiness assistance under section 32d shall be calculated for each applicant in the

 

following manner: 1/2 of the percentage of the applicant's pupils in grades 1 to 5 in

 

all districts served by the applicant who are eligible for free lunch, as determined

 

using the district's pupil membership count as of the pupil membership count day in

 

the school year prior to the fiscal year for which the calculation is made, under the

 

Richard B. Russell national school lunch act, 42 USC 1751 to 1769i, shall be

 

multiplied by the average kindergarten enrollment of the districts served by the

 

applicant on the pupil membership count day of the 2 immediately preceding fiscal

 

years.

 

†††††† (4) The initial allocation for each fiscal year to each eligible applicant

 

under section 32d shall be determined by multiplying the number of children determined

 

by the formula under subsection (3) or the number of children the applicant indicates

 

it will be able to serve under subsection (1)(c), whichever is less, by $3,625.00 and

 

shall be distributed among applicants in decreasing order of concentration of eligible

 

children as determined by the formula under subsection (3). If the number of children

 

an applicant indicates it will be able to serve under subsection (1)(c) includes

 

children able to be served in a school-day program, then the number able to be served

 

in a school-day program shall be doubled for the purposes of making this calculation

 

of the lesser of the number of children determined by the formula under subsection (3)

 

and the number of children the applicant indicates it will be able to serve under

 

subsection (1)(c) and determining the amount of the initial allocation to the

 

applicant under section 32d. A district may contract with a head start agency to serve

 

children enrolled in head start with a school-day program by blending head start funds

 

with a part-day great start readiness program allocation. All head start and great

 

start readiness program policies and regulations apply to the blended program.

 

†††††† (5) If funds allocated for eligible applicants or to the great start readiness

 

reserve fund under section 32d remain after the initial allocation under subsection

 


(4), the allocation under this subsection shall be distributed to each eligible

 

applicant under section 32d in decreasing order of concentration of eligible children

 

as determined by the formula under subsection (3). The allocation shall be determined

 

by multiplying the number of children each district within the applicant's service

 

area served in the immediately preceding fiscal year or the number of children the

 

applicant indicates it will be able to serve under subsection (1)(c), whichever is

 

less, minus the number of children for which the applicant received funding in

 

subsection (4) by $3,625.00.

 

†††††† (6) If funds allocated for eligible applicants or to the great start readiness

 

reserve fund under section 32d remain after the allocations under subsections (4) and

 

(5), remaining funds shall be distributed to each eligible applicant under section 32d

 

in decreasing order of concentration of eligible children as determined by the formula

 

under subsection (3). If the number of children the applicant indicates it will be

 

able to serve under subsection (1)(c) exceeds the number of children for which funds

 

have been received under subsections (4) and (5), the allocation under this subsection

 

shall be determined by multiplying the number of children the applicant indicates it

 

will be able to serve under subsection (1)(c) less the number of children for which

 

funds have been received under subsections (4) and (5) by $3,625.00 until the funds

 

allocated for eligible applicants in section 32d are distributed.

 

†††††† (7) An applicant that offers supplementary child care funded by funds other

 

than those received under section 32d and therefore offers full-day programs as part

 

of its early childhood development program shall receive priority in the allocation of

 

funds under section 32d over other eligible applicants. As used in this subsection,

 

"full-day program" means a program that provides supplementary child care that totals

 

at least 10 hours of programming per day.

 

†††††† (8) If, taking into account the total amount to be allocated to the applicant

 

as calculated under this section, an applicant determines that it is able to include

 


additional eligible children in the great start readiness program without additional

 

funds under section 32d, the applicant may include additional eligible children but

 

shall not receive additional funding under section 32d for those children.

 

†††††† Sec. 39a. (1) From the federal funds appropriated in section 11, there is

 

allocated for 2014-2015 2015-2016 to districts, intermediate districts, and other

 

eligible entities all available federal funding, estimated at $807,969,900.00

 

$779,076,400.00 for the federal programs under the no child left behind act of 2001,

 

Public Law 107-110. These funds are allocated as follows:

 

†††††† (a) An amount estimated at $8,000,000.00 $5,000,000.00 to provide students with

 

drug- and violence-prevention programs and to implement strategies to improve school

 

safety, funded from DED-OESE, drug-free schools and communities funds.

 

†††††† (b) An amount estimated at $111,111,900.00 for the purpose of preparing,

 

training, and recruiting high-quality teachers and class size reduction, funded from

 

DED-OESE, improving teacher quality funds.

 

†††††† (c) An amount estimated at $12,200,000.00 for programs to teach English to

 

limited English proficient (LEP) children, funded from DED-OESE, language acquisition

 

state grant funds.

 

†††††† (d) An amount estimated at $10,286,500.00 for the Michigan charter school

 

subgrant program, funded from DED-OESE, charter school funds.

 

†††††† (e) An amount estimated at $2,393,500.00 $3,000,000.00 for rural and low income

 

schools, funded from DED-OESE, rural and low income school funds.

 

†††††† (f) An amount estimated at $591,500,000.00 $565,000,000.00 to provide

 

supplemental programs to enable educationally disadvantaged children to meet

 

challenging academic standards, funded from DED-OESE, title I, disadvantaged children

 

funds.

 

†††††† (g) An amount estimated at $8,878,000.00 for the purpose of identifying and

 

serving migrant children, funded from DED-OESE, title I, migrant education funds.

 


†††††† (h) An amount estimated at $39,000,000.00 for the purpose of providing high-

 

quality extended learning opportunities, after school and during the summer, for

 

children in low-performing schools, funded from DED-OESE, twenty-first century

 

community learning center funds.

 

†††††† (i) An amount estimated at $24,600,000.00 to help support local school

 

improvement efforts, funded from DED-OESE, title I, local school improvement grants.

 

†††††† (2) From the federal funds appropriated in section 11, there is allocated for

 

2014-2015 2015-2016 to districts, intermediate districts, and other eligible entities

 

all available federal funding, estimated at $31,300,000.00 $30,800,000.00 for the

 

following programs that are funded by federal grants:

 

†††††† (a) An amount estimated at $200,000.00 for acquired immunodeficiency syndrome

 

education grants, funded from HHS Ė center for disease control, AIDS funding.

 

†††††† (b) An amount estimated at $2,600,000.00 to provide services to homeless

 

children and youth, funded from DED-OVAE, homeless children and youth funds.

 

†††††† (C) AN AMOUNT ESTIMATED AT $4,000,000.00 TO PROVIDE MENTAL HEALTH, SUBSTANCE

 

ABUSE OR VIOLENCE PREVENTION SERVICES TO STUDENTS, FUNDED FROM HHS-SAMHSA.

 

†††††† (D) (c) An amount estimated at $28,500,000.00 $24,000,000.00 for providing

 

career and technical education services to pupils, funded from DED-OVAE, basic grants

 

to states.

 

†††††† (3) All federal funds allocated under this section shall be distributed in

 

accordance with federal law and with flexibility provisions outlined in Public Law

 

107-116, and in the education flexibility partnership act of 1999, Public Law 106-25.

 

Notwithstanding section 17b, payments of federal funds to districts, intermediate

 

districts, and other eligible entities under this section shall be paid on a schedule

 

determined by the department.

 

†††††† (4) For the purposes of applying for federal grants appropriated under this

 

article, the department shall allow an intermediate district to submit a consortium

 


application on behalf of 2 or more districts with the agreement of those districts as

 

appropriate according to federal rules and guidelines.

 

†††††† (5) As used in this section:

 

†††††† (a) "DED" means the United States department of education.

 

†††††† (b) "DED-OESE" means the DED office of elementary and secondary education.

 

†††††† (c) "DED-OVAE" means the DED office of vocational and adult education.

 

†††††† (d) "HHS" means the United States department of health and human services.

 

†††††† (e) "HHS-ACF" means the HHS administration for children and families.

 

†††††† (E) "HHS-SAMHSA" MEANS THE HHS SUBSTANCE ABUSE AND MENTAL HEALTH SERVICES

 

ADMINISTRATION.

 

†††††† Sec. 41. From the appropriation in section 11, there is allocated an amount not

 

to exceed $1,200,000.00 each fiscal year for 2013-2014 and for 2014-2015 2015-2016 to

 

applicant districts and intermediate districts offering programs of instruction for

 

pupils of limited English-speaking ability under section 1153 of the revised school

 

code, MCL 380.1153. Reimbursement shall be on a per-pupil basis and shall be based on

 

the number of pupils of limited English-speaking ability in membership on the pupil

 

membership count day. Funds allocated under this section shall be used solely for

 

instruction in speaking, reading, writing, or comprehension of English. A pupil shall

 

not be counted under this section or instructed in a program under this section for

 

more than 3 years.

 

†††††† Sec. 43. From the general fund money appropriated in section 11, there is

 

allocated to the department for 2014-2015 2015-2016 an amount not to exceed

 

$1,800,000.00 for updating teacher certification tests. The department shall use these

 

funds to update the set of teacher certification tests, including content-specific and

 

subject-relevant tests, to reflect current education standards by not later than

 

September 30, 2016. THIS IS THE SECOND YEAR OF TWO YEARS OF FUNDING.

 

†††††† Sec. 51a. (1) From the appropriation in section 11, there is allocated an

 


amount not to exceed $938,946,100.00 $934,546,100.00 for 2014-2015 2015-2016 from

 

state sources and all available federal funding under sections 611 to 619 of part B of

 

the individuals with disabilities education act, 20 USC 1411 to 1419, estimated at