SENATE BILL No. 456

May 3, 2001, Introduced by Senators NORTH, KOIVISTO, MC MANUS, GOUGEON and GOSCHKA and referred to the Committee on Appropriations.

A bill to amend 1979 PA 94, entitled

"The state school aid act of 1979,"

by amending section 6 (MCL 388.1606), as amended by 2000 PA 297.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

1 Sec. 6. (1) "Center program" means a program operated by a

2 district or intermediate district for special education pupils

3 from several districts in programs for the autistically impaired,

4 trainable mentally impaired, severely mentally impaired, severely

5 multiply impaired, hearing impaired, physically and otherwise

6 health impaired, and visually impaired. Programs for emotionally

7 impaired pupils housed in buildings that do not serve regular

8 education pupils also qualify. Unless otherwise approved by the

9 department, a center program either shall serve all constituent

10 districts within an intermediate district or shall serve several

11 districts with less than 50% of the pupils residing in the

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1 operating district. In addition, special education center

2 program pupils placed part-time in noncenter programs to comply

3 with the least restrictive environment provisions of section 612

4 of part B of the individuals with disabilities education act,

5 title VI of Public Law 91-230, 20 U.S.C. 1412, may be considered

6 center program pupils for pupil accounting purposes for the time

7 scheduled in either a center program or a noncenter program.

8 (2) "District pupil retention rate" means the proportion of

9 pupils who have not dropped out of school in the immediately pre-

10 ceding school year and is equal to 1 minus the quotient of the

11 number of pupils unaccounted for in the immediately preceding

12 school year, as determined pursuant to subsection (3), divided by

13 the pupils of the immediately preceding school year.

14 (3) "District pupil retention report" means a report of the

15 number of pupils, excluding migrant and adult, in the district

16 for the immediately preceding school year, adjusted for those

17 pupils who have transferred into the district, transferred out of

18 the district, transferred to alternative programs, and have grad-

19 uated, to determine the number of pupils who are unaccounted

20 for. The number of pupils unaccounted for shall be calculated as

21 determined by the department.

22 (4) "Membership", except as otherwise provided in this act,

23 means for 1999-2000 for a district, public school academy, uni-

24 versity school, or intermediate district the sum of the product

25 of .75 times the number of full-time equated pupils in grades K

26 to 12 actually enrolled and in regular daily attendance on the

27 pupil membership count day for the current school year, plus the

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1 product of .25 times the final audited count from the

2 supplemental count day for the immediately preceding school

3 year. Beginning in 2000-2001, membership means for a district,

4 public school academy, university school, or intermediate dis-

5 trict the sum of the product of .8 times the number of full-time

6 equated pupils in grades K to 12 actually enrolled and in regular

7 daily attendance on the pupil membership count day for the cur-

8 rent school year, plus the product of .2 times the final audited

9 count from the supplemental count day for the immediately preced-

10 ing school year. All pupil counts used in this subsection are as

11 determined by the department and calculated by adding the number

12 of pupils registered for attendance plus pupils received by

13 transfer and minus pupils lost as defined by rules promulgated by

14 the superintendent, and as corrected by a subsequent department

15 audit. The amount of the foundation allowance for a pupil in

16 membership is determined under section 20. In making the calcu-

17 lation of membership, all of the following, as applicable, apply

18 to determining the membership of a district, public school acade-

19 my, university school, or intermediate district:

20 (a) Except as otherwise provided in this subsection, and

21 pursuant to subsection (6), a pupil shall be counted in member-

22 ship in the pupil's educating district or districts. An individ-

23 ual pupil shall not be counted for more than a total of 1.0

24 full-time equated membership.

25 (b) If a pupil is educated in a district other than the

26 pupil's district of residence, if the pupil is not being educated

27 as part of a cooperative education program, if the pupil's

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1 district of residence does not give the educating district its

2 approval to count the pupil in membership in the educating dis-

3 trict, and if the pupil is not covered by an exception specified

4 in subsection (6) to the requirement that the educating district

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

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

7 membership in any district.

8 (c) A special education pupil educated by the intermediate

9 district shall be counted in membership in the intermediate

10 district.

11 (d) A pupil placed by a court or state agency in an

12 on-grounds program of a juvenile detention facility, a child

13 caring institution, or a mental health institution, or a pupil

14 funded under section 53a, shall be counted in membership in the

15 district or intermediate district approved by the department to

16 operate the program.

17 (e) A pupil enrolled in the Michigan schools for the deaf

18 and blind shall be counted in membership in the pupil's interme-

19 diate district of residence.

20 (f) A pupil enrolled in a vocational education program sup-

21 ported by a millage levied over an area larger than a single dis-

22 trict or in an area vocational-technical education program estab-

23 lished pursuant to section 690 of the revised school code,

24 MCL 380.690, shall be counted only in the pupil's district of

25 residence.

26 (g) A pupil enrolled in a university school shall be counted

27 in membership in the university school.

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1 (h) A pupil enrolled in a public school academy shall be

2 counted in membership in the public school academy.

3 (i) For a new district, university school, or public school

4 academy beginning its operation after December 31, 1994, member-

5 ship for the first 2 full or partial fiscal years of operation

6 shall be determined as follows:

7 (i) If operations begin before the pupil membership count

8 day for the fiscal year, membership is the average number of

9 full-time equated pupils in grades K to 12 actually enrolled and

10 in regular daily attendance on the pupil membership count day for

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

12 current school year, as determined by the department and calcu-

13 lated by adding the number of pupils registered for attendance on

14 the pupil membership count day plus pupils received by transfer

15 and minus pupils lost as defined by rules promulgated by the

16 superintendent, and as corrected by a subsequent department

17 audit, plus the final audited count from the supplemental count

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

19 (ii) If operations begin after the pupil membership count

20 day for the fiscal year and not later than the supplemental count

21 day for the fiscal year, membership is the final audited count of

22 the number of full-time equated pupils in grades K to 12 actually

23 enrolled and in regular daily attendance on the supplemental

24 count day for the current school year.

25 (j) If a district is the authorizing body for a public

26 school academy, then, in the first school year in which pupils

27 are counted in membership on the pupil membership count day in

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1 the public school academy, the determination of the district's

2 membership shall exclude from the district's pupil count for the

3 immediately preceding supplemental count day any pupils who are

4 counted in the public school academy on that first pupil member-

5 ship count day who were also counted in the district on the imme-

6 diately preceding supplemental count day.

7 (k) In a district, public school academy, university school,

8 or intermediate district operating an extended school year pro-

9 gram approved by the superintendent, a pupil enrolled, but not

10 scheduled to be in regular daily attendance on a pupil membership

11 count day, shall be counted.

12 (l) Pupils to be counted in membership shall be not less

13 than 5 years of age on December 1 and less than 20 years of age

14 on September 1 of the school year except a special education

15 pupil who is enrolled and receiving instruction in a special edu-

16 cation program approved by the department and not having a high

17 school diploma who is less than 26 years of age as of September 1

18 of the current school year shall be counted in membership.

19 (m) An individual who has obtained a high school diploma

20 shall not be counted in membership. An individual who has

21 obtained a general education development (G.E.D.) certificate

22 shall not be counted in membership. An individual participating

23 in a job training program funded under former section 107a or a

24 jobs program funded under former section 107b, administered by

25 the Michigan strategic fund or the department of career develop-

26 ment, or participating in any successor of either of those 2

27 programs, shall not be counted in membership.

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1 (n) If a pupil counted in membership in a public school

2 academy is also educated by a district or intermediate district

3 as part of a cooperative education program, the pupil shall be

4 counted in membership only in the public school academy, and the

5 instructional time scheduled for the pupil in the district or

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

7 membership determination under subdivision (q). However, for

8 pupils receiving instruction in both a public school academy and

9 in a district or intermediate district but not as a part of a

10 cooperative education program, the following apply:

11 (i) If the public school academy provides instruction for at

12 least 1/2 of the class hours specified in subdivision (q), the

13 public school academy shall receive as its prorated share of the

14 full-time equated membership for each of those pupils an amount

15 equal to 1 times the product of the hours of instruction the

16 public school academy provides divided by the number of hours

17 specified in subdivision (q) for full-time equivalency, and the

18 remainder of the full-time membership for each of those pupils

19 shall be allocated to the district or intermediate district pro-

20 viding the remainder of the hours of instruction.

21 (ii) If the public school academy provides instruction for

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

23 the district or intermediate district providing the remainder of

24 the hours of instruction shall receive as its prorated share of

25 the full-time equated membership for each of those pupils an

26 amount equal to 1 times the product of the hours of instruction

27 the district or intermediate district provides divided by the

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1 number of hours specified in subdivision (q) for full-time

2 equivalency, and the remainder of the full-time membership for

3 each of those pupils shall be allocated to the public school

4 academy.

5 (o) An individual less than 16 years of age as of September

6 1 of the current school year who is being educated in an alterna-

7 tive education program shall not be counted in membership if

8 there are also adult education participants being educated in the

9 same program or classroom.

10 (p) The department shall give a uniform interpretation of

11 full-time and part-time memberships.

12 (q) The number of class hours used to calculate full-time

13 equated memberships shall be consistent with section 101(3). In

14 determining full-time equated memberships for pupils who are

15 enrolled in a postsecondary institution, a pupil shall not be

16 considered to be less than a full-time equated pupil solely

17 because of the effect of his or her postsecondary enrollment,

18 including necessary travel time, on the number of class hours

19 provided by the district to the pupil.

20 (r) Full-time equated memberships for pupils in kindergarten

21 shall be determined by dividing the number of class hours sched-

22 uled and provided per year per kindergarten pupil by a number

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

24 memberships for pupils in grades 1 to 12.

25 (s) For a district, university school, or public school

26 academy that has pupils enrolled in a grade level that was not

27 offered by the district, university school, or public school

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1 academy in the immediately preceding school year, the number of

2 pupils enrolled in that grade level to be counted in membership

3 is the average of the number of those pupils enrolled and in reg-

4 ular daily attendance on the pupil membership count day and the

5 supplemental count day of the current school year, as determined

6 by the department. Membership shall be calculated by adding the

7 number of pupils registered for attendance in that grade level on

8 the pupil membership count day plus pupils received by transfer

9 and minus pupils lost as defined by rules promulgated by the

10 superintendent, and as corrected by subsequent department audit,

11 plus the final audited count from the supplemental count day for

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

13 (t) A pupil enrolled in a cooperative education program may

14 be counted in membership in the pupil's district of residence

15 with the written approval of all parties to the cooperative

16 agreement.

17 (u) If, as a result of a disciplinary action, a district

18 determines through the district's alternative or disciplinary

19 education program that the best instructional placement for a

20 pupil is in the pupil's home, if that placement is authorized in

21 writing by the district superintendent and district alternative

22 or disciplinary education supervisor, and if the district pro-

23 vides appropriate instruction as described in this subdivision to

24 the pupil at the pupil's home, the district may count the pupil

25 in membership on a pro rata basis, with the proration based on

26 the number of hours of instruction the district actually provides

27 to the pupil divided by the number of hours specified in

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1 subdivision (q) for full-time equivalency. For the purposes of

2 this subdivision, a district shall be considered to be providing

3 appropriate instruction if all of the following are met:

4 (i) The district provides at least 2 nonconsecutive hours of

5 instruction per week to the pupil at the pupil's home under the

6 supervision of a certificated teacher.

7 (ii) The district provides instructional materials,

8 resources, and supplies, except computers, that are comparable to

9 those otherwise provided in the district's alternative education

10 program.

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

12 alternative education program.

13 (iv) Credit earned is awarded to the pupil and placed on the

14 pupil's transcript.

15 (v) A pupil enrolled in an alternative or disciplinary edu-

16 cation program described in section 25 shall be counted in mem-

17 bership in the district or public school academy that expelled

18 the pupil.

19 (w) If a pupil was enrolled in a public school academy on

20 the pupil membership count day, if the public school academy's

21 contract with its authorizing body is revoked, and if the pupil

22 enrolls in a district within 45 days after the pupil membership

23 count day, the department shall adjust the district's pupil count

24 for the pupil membership count day to include the pupil in the

25 count.

26 (x) For 1999-2000, for a public school academy that has

27 been in operation for at least 2 years and that suspended

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

2 membership is the sum of the product of .75 times the number of

3 full-time equated pupils in grades K to 12 actually enrolled and

4 in regular daily attendance on the first pupil membership count

5 day or supplemental count day, whichever is first, occurring

6 after operations resume, plus the product of .25 times the final

7 audited count from the most recent pupil membership count day or

8 supplemental count day that occurred before suspending opera-

9 tions, as determined by the superintendent. Beginning in

10 2000-2001, for a public school academy that has been in opera-

11 tion for at least 2 years and that suspended operations for at

12 least 1 semester and is resuming operations, membership is the

13 sum of the product of .8 times the number of full-time equated

14 pupils in grades K to 12 actually enrolled and in regular daily

15 attendance on the first pupil membership count day or supplemen-

16 tal count day, whichever is first, occurring after operations

17 resume, plus the product of .2 times the final audited count from

18 the most recent pupil membership count day or supplemental count

19 day that occurred before suspending operations, as determined by

20 the superintendent.

21 (y) For 2000-2001 only, if IF a district's membership for

22 a particular fiscal year, as otherwise calculated under this sub-

23 section, would be less than 1,550 pupils, the district's member-

24 ship for that fiscal year shall be considered to be the greater

25 of the following:

26 (i) The average of the district's membership for the

27 3-fiscal-year period ending with that fiscal year, calculated by

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1 adding the district's actual membership for that fiscal year, as

2 otherwise calculated under this subsection, plus the district's

3 membership for each of the 2 immediately preceding fiscal years,

4 and dividing the sum of those 3 membership figures by 3.

5 (ii) The district's actual membership as otherwise calcu-

6 lated under this subsection.

7 (5) "Public school academy" means a public school academy or

8 strict discipline academy operating under the revised school

9 code.

10 (6) "Pupil" means a person in membership in a public

11 school. A district must have the approval of the pupil's dis-

12 trict of residence to count the pupil in membership, except

13 approval by the pupil's district of residence shall not be

14 required for any of the following:

15 (a) A nonpublic part-time pupil enrolled in grades 1 to 12

16 in accordance with section 166b.

17 (b) A pupil receiving 1/2 or less of his or her instruction

18 in a district other than the pupil's district of residence.

19 (c) A pupil enrolled in a public school academy or univer-

20 sity school.

21 (d) A pupil enrolled in a district other than the pupil's

22 district of residence under an intermediate district schools of

23 choice pilot program as described in section 91a or former

24 section 91 if the intermediate district and its constituent dis-

25 tricts have been exempted from section 105.

26 (e) A pupil enrolled in a district other than the pupil's

27 district of residence but within the same intermediate district

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1 if the educating district enrolls nonresident pupils in

2 accordance with section 105.

3 (f) A pupil enrolled in a district other than the pupil's

4 district of residence if the pupil has been continuously enrolled

5 in the educating district since a school year in which the pupil

6 enrolled in the educating district under section 105 or 105c and

7 in which the educating district enrolled nonresident pupils in

8 accordance with section 105 or 105c.

9 (g) A nonresident pupil who has made an official written

10 complaint or whose parent or legal guardian has made an official

11 written complaint to law enforcement officials and to school

12 officials of the pupil's district of residence that the pupil has

13 been the victim of a criminal sexual assault or other serious

14 assault, if the official complaint either indicates that the

15 assault occurred at school or that the assault was committed by 1

16 or more other pupils enrolled in the school the nonresident pupil

17 would otherwise attend in the district of residence or by an

18 employee of the district of residence. A person who intention-

19 ally makes a false report of a crime to law enforcement officials

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

21 of the Michigan penal code, 1931 PA 328, MCL 750.411a, which pro-

22 vides criminal penalties for that conduct. As used in this

23 subdivision:

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

25 premises, on a school bus or other school-related vehicle, or at

26 a school-sponsored activity or event whether or not it is held on

27 school premises.

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1 (ii) "Serious assault" means an act that constitutes a

2 felony violation of chapter XI of the Michigan penal code, 1931

3 PA 328, MCL 750.81 to 750.90g, or that constitutes an assault and

4 infliction of serious or aggravated injury under section 81a of

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

6 (h) A pupil enrolled in a district located in a contiguous

7 intermediate district, as described in section 105c, if the edu-

8 cating district enrolls those nonresident pupils in accordance

9 with section 105c.

10 (i) A pupil whose district of residence changed after the

11 pupil membership count day and before the supplemental count day

12 and who continues to be enrolled on the supplemental count day as

13 a nonresident in the district in which he or she was enrolled as

14 a resident on the pupil membership count day of the same school

15 year.

16 (j) A pupil enrolled in an alternative education program

17 operated by a district other than his or her district of resi-

18 dence who meets 1 or more of the following:

19 (i) The pupil has been suspended or expelled from his or her

20 district of residence for any reason, including, but not limited

21 to, a suspension or expulsion under section 1310, 1311, or 1311a

22 of the revised school code, MCL 380.1310, 380.1311, and

23 380.1311a.

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

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

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

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1 (k) A pupil enrolled in the Michigan virtual high school,

2 for the pupil's enrollment in the Michigan virtual high school.

3 However, if a district that is not a first class district

4 educates pupils who reside in a first class district and if the

5 primary instructional site for those pupils is located within the

6 boundaries of the first class district, the educating district

7 must have the approval of the first class district to count those

8 pupils in membership. As used in this subsection, "first class

9 district" means a district organized as a school district of the

10 first class under the revised school code.

11 (7) "Pupil membership count day" of a district or intermedi-

12 ate district means:

13 (a) Except as provided in subdivision (b), the fourth

14 Wednesday in September each school year.

15 (b) For a district or intermediate district maintaining

16 school during the entire school year, the following days:

17 (i) Fourth Wednesday in July.

18 (ii) Fourth Wednesday in September.

19 (iii) Second Wednesday in February.

20 (iv) Fourth Wednesday in April.

21 (8) "Pupils in grades K to 12 actually enrolled and in regu-

22 lar daily attendance" means pupils in grades K to 12 in

23 attendance and receiving instruction in all classes for which

24 they are enrolled on the pupil membership count day or the sup-

25 plemental count day, as applicable. A pupil who is absent from

26 any of the classes in which the pupil is enrolled on the pupil

27 membership count day or supplemental count day and who does not

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1 attend each of those classes during the 10 consecutive school

2 days immediately following the pupil membership count day or sup-

3 plemental count day, except for a pupil who has been excused by

4 the district, shall not be counted as 1.0 full-time equated

5 membership. In addition, a pupil who is excused from attendance

6 on the pupil membership count day or supplemental count day and

7 who fails to attend each of the classes in which the pupil is

8 enrolled within 30 calendar days after the pupil membership count

9 day or supplemental count day shall not be counted as 1.0

10 full-time equated membership. Pupils not counted as 1.0

11 full-time equated membership due to an absence from a class shall

12 be counted as a prorated membership for the classes the pupil

13 attended. For purposes of this subsection, "class" means a

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

15 legally qualified substitute teacher are together and instruction

16 is taking place.

17 (9) "Rule" means a rule promulgated pursuant to the adminis-

18 trative procedures act of 1969, 1969 PA 306, MCL 24.201 to

19 24.328.

20 (10) "The revised school code" means 1976 PA 451, MCL 380.1

21 to 380.1852.

22 (11) "School fiscal year" means a fiscal year that commences

23 July 1 and continues through June 30.

24 (12) "State board" means the state board of education.

25 (13) "Superintendent", unless the context clearly refers to

26 a district or intermediate district superintendent, means the

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1 superintendent of public instruction described in section 3 of

2 article VIII of the state constitution of 1963.

3 (14) "Supplemental count day" means the day on which the

4 supplemental pupil count is conducted under section 6a.

5 (15) "Tuition pupil" means a pupil of school age attending

6 school in a district other than the pupil's district of residence

7 for whom tuition may be charged. Tuition pupil does not include

8 a pupil who is a special education pupil or a pupil described in

9 subsection (6)(d) to (k). A pupil's district of residence shall

10 not require a high school tuition pupil, as provided under sec-

11 tion 111, to attend another school district after the pupil has

12 been assigned to a school district.

13 (16) "State school aid fund" means the state school aid fund

14 established in section 11 of article IX of the state constitution

15 of 1963.

16 (17) "Taxable value" means the taxable value of property as

17 determined under section 27a of the general property tax act,

18 1893 PA 206, MCL 211.27a.

19 (18) "Total state aid" or "total state school aid" means the

20 total combined amount of all funds due to a district, intermedi-

21 ate district, or other entity under all of the provisions of this

22 act.

23 (19) "University school" means an instructional program

24 operated by a public university under section 23 that meets the

25 requirements of section 23.

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