SUBSTITUTE FOR
HOUSE BILL NO. 4325
A bill to amend 1979 PA 94, entitled
"The state school aid act of 1979,"
by amending the title and sections 2, 6, 11, 11a, 11g, 11j, 11k,
11m, 15, 18, 20, 20d, 22a, 22b, 22d, 22e, 24, 24a, 24c, 26a, 26b,
31a, 31d, 31f, 32b, 32d, 32j, 39, 39a, 40, 51a, 51c, 51d, 53a, 54,
56, 61a, 62, 74, 81, 93, 94a, 98, 99, 104, 107, 109, 147, and 152a
(MCL 388.1602, 388.1606, 388.1611, 388.1611a, 388.1611g, 388.1611j,
388.1611k, 388.1611m, 388.1615, 388.1618, 388.1620, 388.1620d,
388.1622a, 388.1622b, 388.1622d, 388.1622e, 388.1624, 388.1624a,
388.1624c, 388.1626a, 388.1626b, 388.1631a, 388.1631d, 388.1631f,
388.1632b, 388.1632d, 388.1632j, 388.1639, 388.1639a, 388.1640,
388.1651a, 388.1651c, 388.1651d, 388.1653a, 388.1654, 388.1656,
388.1661a, 388.1662, 388.1674, 388.1681, 388.1693, 388.1694a,
388.1698, 388.1699, 388.1704, 388.1707, 388.1709, 388.1747, and
388.1752a), the title as amended by 2003 PA 158, sections 6, 11a,
11g, 11k, 15, 18, 20, 20d, 22b, 22d, 24, 24a, 26b, 31a, 31d, 31f,
32b, 32d, 32j, 39, 51c, 51d, 53a, 54, 61a, 62, 74, 98, 99, 107, and
147 as amended by 2010 PA 110, sections 11, 11m, 22a, 51a, and 56
as amended and section 152a as added by 2010 PA 217, sections 11j,
22e, 24c, 26a, 39a, 81, 94a, and 104 as amended and section 93 as
added by 2010 PA 204, section 40 as amended by 2000 PA 297, and
section 109 as amended by 1994 PA 283, by amending the heading of
article I, and by adding sections 12, 22f, 147a, 147b and articles
II, III, and IV; and to repeal acts and parts of acts.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
TITLE
An act to make appropriations to aid in the support of the
public
schools, and the intermediate school districts, community
colleges, and public universities of the state; to make
appropriations for certain other purposes relating to education; to
provide
for the disbursement of the appropriations; to supplement
the
school aid fund by the levy and collection of certain taxes; to
authorize the issuance of certain bonds and provide for the
security of those bonds; to prescribe the powers and duties of
certain state departments, the state board of education, and
certain other boards and officials; to create certain funds and
provide for their expenditure; to prescribe penalties; and to
repeal acts and parts of acts.
Article 1ARTICLE I
STATE AID TO PUBLIC SCHOOLS, EARLY CHILDHOOD, AND ADULT EDUCATION
Sec.
2. For the purposes of this act As
used in this article
and article IV, the words and phrases defined in sections 3 to 6
have the meanings ascribed to them in those sections.
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 act,
article, means for a district, public school academy, university
school,
or intermediate district the sum of the product of .75 .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
.25 .10 times the final audited count from the supplemental
count day for the immediately preceding school year. 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 in the cyber
school's educational program 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, public school
academy, university school, or 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 university school shall be counted
in membership in the university school.
(h) A pupil enrolled in a public school academy shall be
counted in membership in the public school academy.
(i) For a new district, university school, or public school
academy beginning its operation after December 31, 1994, 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, public school academy, university school,
or 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) Pupils to be counted in membership shall be not less than 5
years of age on December 1 and 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 and that is located in a city with a
population
of more than 750,000.500,000.
(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.
(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 student 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 the
department
of energy, labor, and economic growth, workforce
development agency, 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 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 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 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 provides instruction for at
least 1/2 of the class hours specified in subdivision (q), the
public school academy 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 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 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.
(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)
Except as otherwise provided in this subdivision, full-
time
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. However, beginning in 2012-2013, 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 the same number used
for determining full-time equated memberships for pupils in grades
1 to 12.
(s) For a district, university school, or public school
academy that has pupils enrolled in a grade level that was not
offered by the district, university school, or public school
academy 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, except computers, 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) A pupil enrolled in an alternative or disciplinary
education program described in section 25 shall be counted in
membership in the district or public school academy that is
educating the pupil.
(w) 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
within 45 days after the pupil membership count day, the department
shall adjust the district's pupil count for the pupil membership
count day to include the pupil in the count.
(x) 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 .75 .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 .25 .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.
(y) 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, beginning in 2007-2008,
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.
(z) If a public school academy that is not in its first or
second year of operation closes at the end of a school year and
does not reopen for the next school year, the department shall
adjust the membership count of the district in which a former pupil
of the public school academy enrolls and is in regular daily
attendance for the next school year to ensure that the district
receives the same amount of membership aid for the pupil as if the
pupil were counted in the district on the supplemental count day of
the preceding school year.
(aa) Full-time equated memberships for preprimary-aged 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 preprimary-aged special education pupils
who
are not enrolled in kindergarten but are receiving nonclassroom
early childhood special education services under R 340.1755 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.
(bb) 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.
(cc) For the first year in which a pupil is counted in
membership on the pupil membership count day in a middle college
program, described
in section 64, 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. If a pupil was counted by the
operating district on the immediately preceding supplemental count
day, the pupil shall be excluded from the district's immediately
preceding supplemental count for purposes of determining the
district's membership.
(dd) A district 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.
(ee) 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.
(5) "Public school academy" means that term as defined in the
revised school code.
(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 university
school.
(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 750.90g, 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.
(v) The pupil is enrolled in an alternative or disciplinary
education program described in section 25.
(i) A pupil enrolled in the Michigan virtual high school, for
the pupil's enrollment in the Michigan virtual high 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
described in
section
64 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.
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 fourth first
Wednesday
after Labor day 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) Fourth First Wednesday after
Labor day.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, intermediate district, or public school
academy 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, or public school
academy 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 a district that
had at least 60,000 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. Tuition pupil does not include a
pupil who is a special education pupil or a pupil described in
subsection (6)(c) to (o). 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 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
act.article.
(21) "University school" means an instructional program
operated by a public university under section 23 that meets the
requirements of section 23.
Sec.
11. (1) Subject to subsection (5), (3), for the fiscal
year ending September 30, 2011, there is appropriated for the
public schools of this state and certain other state purposes
relating
to education the sum of $10,937,260,500.00
$10,757,260,500.00 from the state school aid fund and the sum of
$18,642,400.00 from the general fund. For the fiscal year ending
September 30, 2011, there is also appropriated the remaining
balance of the federal funding awarded to this state under title
XIV of the American recovery and reinvestment act of 2009, Public
Law 111-5, estimated at $184,256,600.00, to be used solely for the
purpose of funding the primary funding formula calculated under
section 20, in accordance with federal law. Subject to subsection
(3), for the fiscal year ending September 30, 2012, there is
appropriated for the public schools of this state and certain other
state purposes relating to education the sum of $10,887,098,700.00
from the state school aid fund and the sum of $118,642,400.00 from
the general fund. In addition, all other available federal funds,
except those otherwise appropriated under section 11p, are
appropriated for the fiscal year ending September 30, 2011 and for
the fiscal year ending September 30, 2012.
(2) The appropriations under this section shall be allocated
as
provided in this act. article.
Money appropriated under this
section from the general fund shall be expended to fund the
purposes
of this act article before the expenditure of money
appropriated
under this section from the state school aid fund. If
the
maximum amount appropriated under this section from the state
school
aid fund for a fiscal year exceeds the amount necessary to
fully
fund allocations under this act from the state school aid
fund,
that excess amount shall not be expended in that state fiscal
year
and shall not lapse to the general fund, but instead shall be
deposited
into the school aid stabilization fund created in section
11a.
For 2009-2010 only, if the department determines before
bookclosing
for the 2009-2010 state fiscal year that the maximum
amount
appropriated under this section from the state school aid
fund
for 2009-2010 exceeds the amount necessary to fully fund
allocations
under this act from the state school aid fund for 2009-
2010
and that state support for elementary and secondary education
for
2009-2010 will fall below the level of support needed to comply
with
the maintenance of effort provisions under title XIV of the
American
recovery and reinvestment act of 2009, Public Law 111-5,
then
there is appropriated for 2009-2010 from the school aid
stabilization
fund an amount equal to $30,000,000.00 or the amount
that
the department determines is necessary for the state support
for
elementary and secondary education to meet the level of support
needed
to comply with the maintenance of effort provisions under
title
XIV of the American recovery and reinvestment act of 2009,
Public
Law 111-5, whichever is greater. The department shall use
any
funds appropriated under this subsection as follows:
(a)
First, to allocate $10,000,000.00 to provide funding to
each
intermediate district in an amount equal to the product of
14.75%
multiplied by the amount of funding allocated to that
intermediate
district under section 81 for 2009-2010 under 2010 PA
110.
(b)
Second, to allocate the amount necessary, estimated at
$10,000,000.00,
to provide funding under this subdivision to
districts
for which the amount of per-pupil funding calculated and
allocated
under section 11p(2) is less than $154.00. The payment to
a
district under this subdivision is an amount equal to the
difference
between $154.00 and the per-pupil funding amount
calculated
and allocated under section 11p(2) for the district,
multiplied
by the district's 2010-2011 membership used for the
October
2010 payment.
(c)
Third, to allocate any remaining funds to reduce the
amount
of the per-pupil reduction under section 11d(1) for 2009-
2010.
(3)
If the maximum amount appropriated under this section from
the
state school aid fund and the school aid stabilization fund for
a
fiscal year exceeds the amount available for expenditure from the
state
school aid fund for that fiscal year, payments under sections
11f,
11g, 11j, 22a, 26a, 26b, 31d, 31f, 51a(2), 51a(12), 51c, 53a,
56,
and 152a shall be made in full. In addition, for districts
beginning
operations after 1994-95 that qualify for payments under
section
22b, payments under section 22b shall be made so that the
qualifying
districts receive the lesser of an amount equal to the
1994-95
foundation allowance of the district in which the district
beginning
operations after 1994-95 is located or $5,500.00. The
amount
of the payment to be made under section 22b for these
qualifying
districts shall be as calculated under section 22a, with
the
balance of the payment under section 22b being subject to the
proration
otherwise provided under this subsection and subsection
(4).
If proration is necessary, state payments under each of the
other
sections of this act from all state funding sources shall be
prorated
in the manner prescribed in subsection (4) as necessary to
reflect
the amount available for expenditure from the state school
aid
fund for the affected fiscal year. However, if the department
of
treasury determines that proration will be required under this
subsection,
or if the department of treasury determines that
further
proration is required under this subsection after an
initial
proration has already been made for a fiscal year, the
department
of treasury shall notify the state budget director, and
the
state budget director shall notify the legislature at least 30
calendar
days or 6 legislative session days, whichever is more,
before
the department reduces any payments under this act because
of
the proration. During the 30 calendar day or 6 legislative
session
day period after that notification by the state budget
director,
the department shall not reduce any payments under this
act
because of proration under this subsection. The legislature may
prevent
proration from occurring by, within the 30 calendar day or
6
legislative session day period after that notification by the
state
budget director, enacting legislation appropriating
additional
funds from the general fund, countercyclical budget and
economic
stabilization fund, state school aid fund balance, or
another
source to fund the amount of the projected shortfall.
(4)
If proration is necessary under subsection (3), the
department
shall calculate the proration in district and
intermediate
district payments that is required under subsection
(3)
as follows:
(a)
The department shall calculate the percentage of total
state
school aid allocated under this act for the affected fiscal
year
for each of the following:
(i) Districts.
(ii) Intermediate districts.
(iii) Entities other than districts or intermediate
districts.
(b)
The department shall recover a percentage of the proration
amount
required under subsection (3) that is equal to the
percentage
calculated under subdivision (a)(i) for districts by
reducing
payments to districts. This reduction shall be made by
calculating
an equal dollar amount per pupil as necessary to
recover
this percentage of the proration amount and reducing each
district's
total state school aid from state sources, other than
payments
under sections 11f, 11g, 11j, 22a, 26a, 26b, 31d, 31f,
51a(2),
51a(12), 51c, 53a, and 152a, by that amount.
(c)
The department shall recover a percentage of the proration
amount
required under subsection (3) that is equal to the
percentage
calculated under subdivision (a)(ii) for intermediate
districts
by reducing payments to intermediate districts. This
reduction
shall be made by reducing the payments to each
intermediate
district, other than payments under sections 11f, 11g,
26a,
26b, 51a(2), 51a(12), 53a, 56, and 152a, on an equal
percentage
basis.
(d)
The department shall recover a percentage of the proration
amount
required under subsection (3) that is equal to the
percentage
calculated under subdivision (a)(iii) for entities other
than
districts and intermediate districts by reducing payments to
these
entities. This reduction shall be made by reducing the
payments
to each of these entities, other than payments under
sections
11j, 26a, and 26b, on an equal percentage basis.
(3) (5)
Any general fund allocations under
this act 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 11(3) and state payments in an amount
equal to the remainder of the projected shortfall shall be prorated
in the manner provided under section 11(4).
(7)
For 2010-2011, 2011-2012,
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 act.article.
Sec. 11g. (1) From the appropriation in section 11, there is
allocated for this section an amount not to exceed $39,000,000.00
for
the fiscal year ending September 30, 2011 2012
and for each
succeeding fiscal year through the fiscal year ending September 30,
2015, after which these payments will cease. These allocations are
for paying the amounts described in subsection (3) to districts and
intermediate districts, other than those receiving a lump-sum
payment under section 11f(2), that were not plaintiffs in the
consolidated cases known as Durant v State of Michigan, Michigan
supreme court docket no. 104458-104492 and that, on or before March
2, 1998, submitted to the state treasurer a waiver resolution
described in section 11f. The amounts paid under this section
represent offers of settlement and compromise of any claim or
claims that were or could have been asserted by these districts and
intermediate districts, as described in this section.
(2) This section does not create any obligation or liability
of this state to any district or intermediate district that does
not submit a waiver resolution described in section 11f. This
section
and any other provision of this act article are not
intended to admit liability or waive any defense that is or would
be available to this state or its agencies, employees, or agents in
any litigation or future litigation with a district or intermediate
district regarding these claims or potential claims.
(3) The amount paid each fiscal year to each district or
intermediate district under this section shall be 1 of the
following:
(a) If the district or intermediate district does not borrow
money and issue bonds under section 11i, 1/30 of the total amount
listed in section 11h for the district or intermediate district
through the fiscal year ending September 30, 2013.
(b) If the district or intermediate district borrows money and
issues bonds under section 11i, an amount in each fiscal year
calculated by the department of treasury that is equal to the debt
service amount in that fiscal year on the bonds issued by that
district or intermediate district under section 11i and that will
result in the total payments made to all districts and intermediate
districts in each fiscal year under this section being no more than
the amount appropriated under this section in each fiscal year.
(4) The entire amount of each payment under this section each
fiscal year shall be paid on May 15 of the applicable fiscal year
or on the next business day following that date. If a district or
intermediate district borrows money and issues bonds under section
11i, the district or intermediate district shall use funds received
under this section to pay debt service on bonds issued under
section 11i. If a district or intermediate district does not borrow
money and issue bonds under section 11i, the district or
intermediate district shall use funds received under this section
only for the following purposes, in the following order of
priority:
(a) First, to pay debt service on voter-approved bonds issued
by the district or intermediate district before the effective date
of this section.
(b) Second, to pay debt service on other limited tax
obligations.
(c) Third, for deposit into a sinking fund established by the
district or intermediate district under the revised school code.
(5) To the extent payments under this section are used by a
district or intermediate district to pay debt service on debt
payable from millage revenues, and to the extent permitted by law,
the district or intermediate district may make a corresponding
reduction in the number of mills levied for debt service.
(6) A district or intermediate district may pledge or assign
payments under this section as security for bonds issued under
section 11i, but shall not otherwise pledge or assign payments
under this section.
Sec. 11j. From the appropriation in section 11, there is
allocated
an amount not to exceed $5,167,800.00 $93,575,300.00 for
2010-2011
2011-2012 for payments to the school loan bond redemption
fund in the department of treasury on behalf of districts and
intermediate districts. Notwithstanding section 11 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 2010-2011, 2011-2012,
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 appropriations in section 11, there is
allocated
for 2009-2010 an amount not to exceed $12,000,000.00 and
for
2010-2011 there is allocated an
amount not to exceed
$45,000,000.00
$15,000,000.00 and
there is allocated for 2011-2012
an amount not to exceed $20,000,000.00 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. 12. It is the intent of the legislature to appropriate
and allocate for the fiscal year ending September 30, 2013 the same
amounts of money from the same sources for the same purposes as are
appropriated and allocated under this article for the fiscal year
ending September 30, 2012, as adjusted for changes in pupil
membership, taxable values, special education costs, and available
revenue. These adjustments will be determined after the January
2012 consensus revenue estimating conference.
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
act,
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
act
article other than a special education or special education
transportation payment. State aid overpayments made in special
education or special education transportation payments may be
recovered from subsequent special education or special education
transportation payments.
(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 if the district would otherwise experience a significant
hardship.
(3) If, because of the receipt of new or updated data, the
department determines during a fiscal year that the amount paid to
a district or intermediate district under this act for a prior
fiscal year was incorrect under the law in effect for that year,
the department may make the appropriate deduction or payment in the
district's or intermediate district's allocation for the fiscal
year in which the determination is made. The deduction or payment
shall be calculated according to the law in effect in the fiscal
year in which the improper amount was paid.
(4)
Expenditures made by the department under this act 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.
(5) In addition to funds appropriated in section 11 for all
programs
and services, there is appropriated for 2010-2011 2011-
2012 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
act,
article, each district or other entity shall apply the money
received
by the district or entity under this act article to
salaries and other compensation of teachers and other employees,
tuition, transportation, lighting, heating, ventilation, water
service, the purchase of textbooks which are designated by the
board to be used in the schools under the board's charge, 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 article 2 or intermediate district under
article 8 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 act article the apportionment otherwise due upon a
violation by the recipient.
(2) Within 30 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 district's 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.
(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.
(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 purpose of determining the reasonableness of
expenditures
and whether a violation of this act article has
occurred, all of the following apply:
(a) The department shall require that each district and
intermediate district have an audit of the district's or
intermediate district's financial and pupil accounting records
conducted at least annually at the expense of the district or
intermediate district, as applicable, 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.
(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 district's membership for the current
fiscal year varies from the district's membership for the
immediately preceding fiscal year by less than 5%.
(c)
An intermediate district's annual financial audit shall be
accompanied
by the intermediate district's pupil accounting
procedures
report.
(c) (d)
A district's or intermediate
district's 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) (e)
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) (f)
Except as otherwise provided in this subsection, a All
of the following shall be done not later than November 15 each
year:
(i) A district shall file the annual financial audit reports
with
the intermediate district not later than 120 days after the
end
of each school fiscal year 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 forward the annual
financial
enter the pupil membership audit reports for its
constituent
districts and for the intermediate district, and the
pupil
accounting procedures report for
the pupil membership count
day
and supplemental count day, to the department not later than
November
15 of each year.in the Michigan student data system.
(f) (g)
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) (h)
Not later than December 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 of each year, 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. The department
shall
make this information available online to districts and
intermediate
districts, and shall include per-pupil amounts spent
on
instruction and instructional support service functions, and
indicate
how much of those costs were attributable to salaries.
Districts
and intermediate districts shall include a link on their
websites
to the website where the department posts this
information.
(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 act.article.
(9) If a district that is a public school academy purchases
property
using money received under this act, 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 act, 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). 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.
Article 2
Sec.
20. (1) For 2009-2010 and for 2010-2011, 2011-2012, the
basic
foundation allowance is $8,489.00.$8,019.00.
(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) For a district that had a foundation allowance for the
immediately preceding state fiscal year that was at least equal to
the sum of $7,108.00 plus the total dollar amount of all
adjustments made from 2006-2007 to the immediately preceding state
fiscal year in the lowest foundation allowance among all districts,
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 dollar amount of the adjustment from the
immediately preceding state fiscal year to the current state fiscal
year made in the basic foundation allowance minus $20.00) times
(the difference between the district's foundation allowance for the
immediately preceding state fiscal year and the sum of $7,108.00
plus the total dollar amount of all adjustments made from 2006-2007
to the immediately preceding state fiscal year in the lowest
foundation allowance among all districts) divided by the difference
between the basic foundation allowance for the current state fiscal
year and the sum of $7,108.00 plus the total dollar amount of all
adjustments made from 2006-2007 to the immediately preceding state
fiscal year in the lowest foundation allowance among all
districts].
For 2009-2010 and for 2010-2011, 2011-2012, for a
district that had a foundation allowance for the immediately
preceding state fiscal year that was at least equal to the sum of
$7,108.00 plus the total dollar amount of all adjustments made from
2006-2007 to the immediately preceding state fiscal year in the
lowest foundation allowance among all districts, 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 the
immediately
preceding state fiscal year. 2010-2011,
minus $470.00.
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.
(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 at least equal to the amount of
the basic foundation allowance for the immediately preceding state
fiscal year, the district shall receive a foundation allowance for
2011-2012
in an amount equal to the sum of the
district's
foundation
allowance for the immediately preceding state fiscal
year
plus the dollar amount of the adjustment from the immediately
preceding
state fiscal year to the current state fiscal year in the
basic
foundation allowance.2010-2011,
minus $470.00.
(c) Except as otherwise provided in subdivision (d), for a
district that in the 1994-95 state fiscal year had a foundation
allowance greater than $6,500.00, 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. Except as otherwise provided
in subdivision (d), for 2011-2012, for a district that in the 1994-
1995 state fiscal year had a foundation allowance greater than
$6,500.00, the district's foundation allowance is an amount equal
to the district's foundation allowance for the 2010-2011 fiscal
year minus $470.00.
(d)
If House Bill No. 6212 of the 95th Legislature is enacted
into
law, then beginning in 2011-2012, for For a district that in
the 1994-95 state fiscal year had a foundation allowance greater
than $6,500.00 and that had a foundation allowance for the 2009-
2010 state fiscal year, as otherwise calculated under this section,
that was less than the basic foundation allowance, the district's
foundation allowance for 2011-2012 and each succeeding fiscal year
shall be considered to be an amount equal to the basic foundation
allowance.
(e) 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.
(f) For a district that received a payment under section 22c
as that section was in effect for 2001-2002, the district's 2001-
2002 foundation allowance shall be considered to have been an
amount equal to the sum of the district's actual 2001-2002
foundation allowance as otherwise calculated under this section
plus the per pupil amount of the district's equity payment for
2001-2002 under section 22c as that section was in effect for 2001-
2002.
(g) For a district that received a payment under section 22c
as that section was in effect for 2006-2007, the district's 2006-
2007 foundation allowance shall be considered to have been an
amount equal to the sum of the district's actual 2006-2007
foundation allowance as otherwise calculated under this section
plus the per pupil amount of the district's equity payment for
2006-2007 under section 22c as that section was in effect for 2006-
2007.
(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 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 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 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
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 the purposes of state law, federal funding awarded
to
this state under title XIV of the American recovery and
reinvestment
act of 2009, Public Law 111-5, that is appropriated
under
section 11 and allocated under section 22b, is considered to
be
part of the state portion of a district's foundation allowance
and
is considered to be part of the total state school aid paid to
a
public school academy.
(5) The allocation calculated under this section for a pupil
shall be based on the foundation allowance of the pupil's district
of residence. However, for a pupil enrolled in a district other
than the pupil's district of residence, if the foundation allowance
of the pupil's district of residence has been adjusted pursuant to
subsection
(19), (15), the allocation calculated under this section
shall
not include the adjustment described in subsection (19).(15).
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. The
calculation
under this subsection shall take into account a
district's
per pupil allocation under section 20j(2).
(6) Subject to subsection (7) and except as otherwise provided
in this subsection, for pupils in membership, other than special
education pupils, in a public school academy or a university
school, the allocation calculated under this section is an amount
per membership pupil other than special education pupils in the
public school academy or university school equal to the foundation
allowance of the district in which the public school academy or
university school is located or the state maximum public school
academy allocation, whichever is less. However, a public school
academy or university school 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 or university school 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) If more than 25% of the pupils residing within a district
are in membership in 1 or more public school academies located in
the district, then the amount per membership pupil calculated under
this section for a public school academy located in the district
shall be reduced by an amount 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 ad
valorem property tax revenue of the district captured under tax
increment financing acts divided by the district's membership
excluding special education pupils, in the school fiscal year
ending in the current state fiscal year, calculated as if the
resident pupils in membership in 1 or more public school academies
located in the district were in membership in the district. In
order
to receive state school aid under this act, article, a
district described in this subsection shall pay to the authorizing
body that is the fiscal agent for a public school academy located
in the district for forwarding to the public school academy an
amount equal to that local school operating revenue per membership
pupil for each resident pupil in membership other than special
education pupils in the public school academy, as determined by the
department.
(8)
If a district does not receive an amount calculated under
subsection
(9); if the number of mills the district may levy on a
principal
residence, qualified agricultural property, qualified
forest
property, supportive housing property, industrial personal
property,
and commercial personal property under section 1211 of
the
revised school code, MCL 380.1211, is 0.5 mills or less; and if
the
district elects not to levy those mills, the district instead
shall
receive a separate supplemental amount calculated under this
subsection
in an amount equal to the amount the district would have
received
had it levied those mills, as determined by the department
of
treasury. A district shall not receive a separate supplemental
amount
calculated under this subsection for a fiscal year unless in
the
calendar year ending in the fiscal year the district levies the
district's
certified mills on property that is nonexempt property.
(9)
For a district that had combined state and local revenue
per
membership pupil in the 1993-94 state fiscal year of more than
$6,500.00
and that had fewer than 350 pupils in membership, if the
district
elects not to reduce the number of mills from which a
principal
residence, qualified agricultural property, qualified
forest
property, supportive housing property, industrial personal
property,
and commercial personal property are exempt and not to
levy
school operating taxes on a principal residence, qualified
agricultural
property, qualified forest property, supportive
housing
property, industrial personal property, and commercial
personal
property as provided in section 1211 of the revised school
code,
MCL 380.1211, and not to levy school operating taxes on
all
property
as provided in section 1211(2) of the revised school code,
MCL 380.1211, there is calculated under this subsection
for 1994-95
and
each succeeding fiscal year a separate supplemental amount in
an
amount equal to the amount the district would have received per
membership
pupil had it levied school operating taxes on a
principal
residence, qualified agricultural property, qualified
forest
property, supportive housing property, industrial personal
property,
and commercial personal property at the rate authorized
for
the district under section 1211 of the revised school code, MCL
380.1211,
and levied school operating taxes on all property at the
rate
authorized for the district under section 1211(2) of the
revised
school code, MCL 380.1211, as determined by the department
of
treasury. If in the calendar year ending in the fiscal year a
district
does not levy the district's certified mills on property
that
is nonexempt property, the amount calculated under this
subsection
will be reduced by the same percentage as the millage
actually
levied compares to the district's certified mills.
(8) (10)
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
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. The calculation under this
subsection
shall take into account a district's per pupil
allocation
under section 20j(2).
(9) (11)
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) (12)
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) (13)
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. However, for
2009-2010
and for 2010-2011, 2011-2012,
the index shall be 1.00.
0.93575. 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) (14)
If the principals at the revenue
estimating
conference reach a consensus on the index described in subsection
(13)(c),
(11)(c), the lowest foundation allowance among all
districts for the subsequent state fiscal year shall be at least
the amount of that consensus index multiplied by the lowest
foundation allowance among all districts for the immediately
preceding state fiscal year.
(15)
If at the January revenue estimating conference it is
estimated
that pupil membership, excluding intermediate district
membership,
for the subsequent state fiscal year will be greater
than
101% of the pupil membership, excluding intermediate district
membership,
for the current state fiscal year, then it is the
intent
of the legislature that the executive budget proposal for
the
school aid budget for the subsequent state fiscal year include
a
general fund/general purpose allocation sufficient to support the
membership
in excess of 101% of the current year pupil membership.
(16)
For a district that had combined state and local revenue
per
membership pupil in the 1993-94 state fiscal year of more than
$6,500.00,
that had fewer than 7 pupils in membership in the 1993-
94
state fiscal year, that has at least 1 child educated in the
district
in the current state fiscal year, and that levies the
number
of mills of school operating taxes authorized for the
district
under section 1211 of the revised school code, MCL
380.1211,
a minimum amount of combined state and local revenue
shall
be calculated for the district as provided under this
subsection.
The minimum amount of combined state and local revenue
for
1999-2000 shall be $67,000.00 plus the district's additional
expenses
to educate pupils in grades 9 to 12 educated in other
districts
as determined and allowed by the department. The minimum
amount
of combined state and local revenue under this subsection,
before
adding the additional expenses, shall increase each fiscal
year
by the same percentage increase as the percentage increase in
the
basic foundation allowance from the immediately preceding
fiscal
year to the current fiscal year. The state portion of the
minimum
amount of combined state and local revenue under this
subsection
shall be calculated by subtracting from the minimum
amount
of combined state and local revenue under this subsection
the
sum of the district's local school operating revenue and an
amount
equal to the product of the sum of the state portion of the
district's
foundation allowance plus the amount calculated under
section
20j times the district's membership. As used in this
subsection,
"additional expenses" means the district's expenses for
tuition
or fees, not to exceed the basic foundation allowance for
the
current state fiscal year, plus a room and board stipend not to
exceed
$10.00 per school day for each pupil in grades 9 to 12
educated
in another district, as approved by the department.
(13) (17)
For a district in which 7.75 mills
levied in 1992
for school operating purposes in the 1992-93 school year were not
renewed in 1993 for school operating purposes in the 1993-94 school
year, the district's combined state and local revenue per
membership pupil shall be recalculated as if that millage reduction
did not occur and the district's foundation allowance shall be
calculated as if its 1994-95 foundation allowance had been
calculated using that recalculated 1993-94 combined state and local
revenue per membership pupil as a base. A district is not entitled
to any retroactive payments for fiscal years before 2000-2001 due
to this subsection. A district receiving an adjustment under this
subsection shall not receive as a result of this adjustment an
amount that exceeds 50% of the amount the district received as a
result of this adjustment for 2010-2011. This adjustment shall not
be made after 2011-2012.
(14) (18)
For a district in which an
industrial facilities
exemption certificate that abated taxes on property with a state
equalized valuation greater than the total state equalized
valuation of the district at the time the certificate was issued or
$700,000,000.00, whichever is greater, was issued under 1974 PA
198, MCL 207.551 to 207.572, before the calculation of the
district's 1994-95 foundation allowance, the district's foundation
allowance for 2002-2003 is an amount equal to the sum of the
district's foundation allowance for 2002-2003, as otherwise
calculated under this section, plus $250.00. A district receiving
an adjustment under this subsection shall not receive as a result
of this adjustment an amount that exceeds 50% of the amount the
district received as a result of this adjustment for 2010-2011.
This adjustment shall not be made after 2011-2012.
(15) (19)
For a district that received a
grant under former
section 32e for 2001-2002, the district's foundation allowance for
2002-2003 and each succeeding fiscal year shall be adjusted to be
an amount equal to the sum of the district's foundation allowance,
as otherwise calculated under this section, plus the quotient of
100% of the amount of the grant award to the district for 2001-2002
under former section 32e divided by the number of pupils in the
district's membership for 2001-2002 who were residents of and
enrolled in the district. Except as otherwise provided in this
subsection, a district qualifying for a foundation allowance
adjustment under this subsection shall use the funds resulting from
this adjustment for at least 1 of grades K to 3 for purposes
allowable under former section 32e as in effect for 2001-2002, and
may also use these funds for an early intervening program described
in subsection (20). For an individual school or schools operated by
a district qualifying for a foundation allowance under this
subsection that have been determined by the department to meet the
adequate yearly progress standards of the federal no child left
behind act of 2001, Public Law 107-110, in both mathematics and
English language arts at all applicable grade levels for all
applicable subgroups, the district may submit to the department an
application for flexibility in using the funds resulting from this
adjustment that are attributable to the pupils in the school or
schools. The application shall identify the affected school or
schools and the affected funds and shall contain a plan for using
the funds for specific purposes identified by the district that are
designed to reduce class size, but that may be different from the
purposes otherwise allowable under this subsection. The department
shall approve the application if the department determines that the
purposes identified in the plan are reasonably designed to reduce
class size. If the department does not act to approve or disapprove
an application within 30 days after it is submitted to the
department, the application is considered to be approved. If an
application for flexibility in using the funds is approved, the
district may use the funds identified in the application for any
purpose identified in the plan. A district receiving an adjustment
under this subsection shall not receive as a result of this
adjustment an amount that exceeds 68.5% of the amount the district
received as a result of this adjustment for 2010-2011. This
adjustment shall not be made after 2011-2012.
(20)
An early intervening program that uses funds resulting
from
the adjustment under subsection (19) shall meet either or both
of
the following:
(a)
Shall monitor individual pupil learning for pupils in
grades
K to 3 and provide specific support or learning strategies
to
pupils in grades K to 3 as early as possible in order to reduce
the
need for special education placement. The program shall include
literacy
and numeracy supports, sensory motor skill development,
behavior
supports, instructional consultation for teachers, and the
development
of a parent/school learning plan. Specific support or
learning
strategies may include support in or out of the general
classroom
in areas including reading, writing, math, visual memory,
motor
skill development, behavior, or language development. These
would
be provided based on an understanding of the individual
child's
learning needs.
(b)
Shall provide early intervening strategies for pupils in
grades
K to 3 using schoolwide systems of academic and behavioral
supports
and shall be scientifically research-based. The strategies
to
be provided shall include at least pupil performance indicators
based
upon response to intervention, instructional consultation for
teachers,
and ongoing progress monitoring. A schoolwide system of
academic
and behavioral support should be based on a support team
available
to the classroom teachers. The members of this team could
include
the principal, special education staff, reading teachers,
and
other appropriate personnel who would be available to
systematically
study the needs of the individual child and work
with
the teacher to match instruction to the needs of the
individual
child.
(16) (21)
For a district that levied 1.9
mills in 1993 to
finance an operating deficit, the district's foundation allowance
shall be calculated as if those mills were included as operating
mills in the calculation of the district's 1994-1995 foundation
allowance. A district is not entitled to any retroactive payments
for fiscal years before 2006-2007 due to this subsection. A
district receiving an adjustment under this subsection shall not
receive more than $800,000.00 for a fiscal year as a result of this
adjustment. A district receiving an adjustment under this
subsection shall not receive as a result of this adjustment an
amount that exceeds 50% of the amount the district received as a
result of this adjustment for 2010-2011. This adjustment shall not
be made after 2011-2012.
(17) (22)
For a district that levied 2.23
mills in 1993 to
finance an operating deficit, the district's foundation allowance
shall be calculated as if those mills were included as operating
mills in the calculation of the district's 1994-1995 foundation
allowance. A district is not entitled to any retroactive payments
for fiscal years before 2006-2007 due to this subsection. A
district receiving an adjustment under this subsection shall not
receive more than $500,000.00 for a fiscal year as a result of this
adjustment. A district receiving an adjustment under this
subsection shall not receive as a result of this adjustment an
amount that exceeds 50% of the amount the district received as a
result of this adjustment for 2010-2011. This adjustment shall not
be made after 2011-2012.
(18) (23)
Payments to districts, university
schools, or public
school academies 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.
(19) (24)
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.
(20) (26)
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) "Immediately preceding state fiscal year" means the state
fiscal year immediately preceding the current state fiscal year.
(f) "Local school operating revenue" means school operating
taxes levied under section 1211 of the revised school code, MCL
380.1211.
(g) "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.
(h) "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 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 dollar amount of the adjustment from
the immediately preceding state fiscal year to the current state
fiscal year made in the basic foundation allowance minus $20.00)
times (the difference between the highest per-pupil allocation
among all public school academies for the immediately preceding
state fiscal year and the sum of $7,108.00 plus the total dollar
amount of all adjustments made from 2006-2007 to the immediately
preceding state fiscal year in the lowest per-pupil allocation
among all public school academies) divided by the difference
between the basic foundation allowance for the current state fiscal
year and the sum of $7,108.00 plus the total dollar amount of all
adjustments made from 2006-2007 to the immediately preceding state
fiscal year in the lowest per-pupil allocation among all public
school
academies]. For 2009-2010 and 2010-2011, 2011-2012, maximum
public
school academy allocation means $7,580.00.$7,110.00.
(i) "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.
(j) "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.
(k) "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.
(l) "School operating purposes" means the purposes included in
the operation costs of the district as prescribed in sections 7 and
18.
(m) "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.
(n) "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.
(o) "Taxable value per membership pupil" means taxable value,
as certified by the department of treasury, 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 2010-2011, 2011-2012,
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. 22a. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $5,796,241,000.00 for 2009-2010
and
an amount not to exceed $5,764,000,000.00 $5,737,000,000.00 for
2010-2011 and an amount not to exceed $5,691,000,000.00 for 2011-
2012 for payments to districts, qualifying university schools, and
qualifying public school academies to guarantee each district,
qualifying university school, 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.
(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.
(3) Beginning in 2003-2004, for pupils in membership in a
qualifying public school academy or qualifying university school,
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, or to the board
of the public university operating the qualifying university
school, an amount equal to the 1994-95 per pupil payment to the
qualifying public school academy or qualifying university school
under section 20.
(4) A district, qualifying university school, or qualifying
public school academy may use funds allocated under this section in
conjunction with any federal funds for which the district,
qualifying university school, or qualifying public school academy
otherwise would be eligible.
(5) 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.
(6) 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.
(e) "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.
(f) "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.
(g) "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.
(h) "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.
(i) "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.
(j) "Qualifying university school" means a university school
that was in operation in the 1994-95 school year and is in
operation in the current fiscal year.
(k) "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.
(l) "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.
(m) "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.
(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.
Sec. 22b. (1) From the state funds appropriated in section 11,
there
is allocated for 2009-2010 an amount not to exceed
$3,289,000,000.00
and there is allocated for 2010-2011
an amount
not
to exceed $3,573,500,000.00 $3,558,424,700.00
and there is
allocated for 2011-2012 an amount not to exceed $3,032,300,000.00
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) In addition to the funds allocated in subsection (1),
there
is allocated an amount estimated at $450,000,000.00 for 2009-
2010
and there is allocated an amount
estimated at $184,256,600.00
for 2010-2011 from the federal funds awarded to this state under
title XIV of the American recovery and reinvestment act of 2009,
Public Law 111-5. These funds shall be distributed in a form and
manner determined by the department based on an equal dollar amount
per the number of membership pupils used to calculate the final
state aid payment of the immediately preceding fiscal year and
shall be expended in a manner prescribed by federal law.
(3) Subject to subsection (4) and section 11, the allocation
to a district under this section shall be an amount equal to the
sum
of the amounts calculated under sections 20, 20j, 51a(2),
51a(3), and 51a(12), minus the sum of the allocations to the
district under sections 22a and 51c.
(4) In order to receive an allocation under subsection (1),
each district shall do all of the following:
(a) Administer in each grade level that it operates in grades
1 to 5 a standardized assessment approved by the department of
grade-appropriate basic educational skills. A district may use the
Michigan literacy progress profile to satisfy this requirement for
grades 1 to 3. Also, if the revised school code is amended to
require annual assessments at additional grade levels, in order to
receive an allocation under this section each district shall comply
with that requirement.
(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.
(5) 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.
(6) 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.
(7) 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.
(8) It is the intent of the legislature that all
constitutional obligations of this state have been fully funded
under
sections 22a, 31d, 51a, and 51c. 51c, and 152a. If
a claim is
made
by an entity receiving funds under this act 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 (3). 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.
(9) 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 (8) 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 (3).
(10) 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.
(11) 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.
(12) 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.
Sec. 22d. (1) From the appropriation in section 11, an amount
not
to exceed $2,025,000.00 is allocated for 2010-2011 2011-2012
for
additional payments to small, geographically isolated
supplemental payments to rural districts under this section.
(2) From the allocation under subsection (1), there is
allocated
for 2010-2011 2011-2012 an amount not to exceed
$750,000.00 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 2010-2011 2011-2012 an
amount not to exceed $1,275,000.00 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.
22e. (1) Beginning in 2008-2009, an For 2011-2012, an
amount
will be is allocated each fiscal year from the
appropriation
in section 11 for additional payments under this subsection to
districts that meet the eligibility requirements under subsection
(2).
For 2010-2011, 2011-2012, there is allocated for this purpose
from the appropriation in section 11 an amount not to exceed
$1,300,000.00.$700,000.00. These additional payments shall
not be
made after 2011-2012.
(2) To be eligible for a payment under subsection (1), a
district must be determined by the department and the department of
treasury to meet all of the following:
(a) The district levies 1 of the following operating millage
amounts:
(i) All of the operating millage it is authorized to levy under
section 1211 of the revised school code, MCL 380.1211.
(ii) The amount of operating millage it is authorized to levy
after a voluntary reduction of its operating millage rate adopted
by the board of the district.
(iii) The amount of operating millage it is authorized to levy
after a millage reduction required under the limitation of section
31 of article IX of the state constitution of 1963, if a ballot
question asking for approval to levy millage in excess of the
limitation has been rejected in the district.
(b) The district receives a reduced amount of local school
operating revenue under section 1211 of the revised school code,
MCL 380.1211, as a result of the exemptions of industrial personal
property and commercial personal property that were enacted in 2007
PA 37.
(c) The district does not receive any state portion of its
foundation allowance, as calculated under section 20(4).
(d) The district has 500 or fewer pupils in membership.
(3) Subject to subsection (4), the amount of the additional
funding to each eligible district under subsection (1) is the sum
of the following and shall be paid to the eligible districts in the
same manner as payments under section 22b:
(a) The product of the taxable value of the district's
industrial personal property for the calendar year ending in the
fiscal year multiplied by the total number of mills the district
levies on nonexempt property under section 1211 of the revised
school code, MCL 380.1211, for that calendar year.
(b) The product of the taxable value of the district's
commercial personal property for the calendar year ending in the
fiscal year multiplied by the lesser of 12 mills or the total
number of mills the district levies on nonexempt property under
section 1211 of the revised school code, MCL 380.1211, for that
calendar year.
(4) The amount of the additional funding to an eligible
district under subsection (1) for a fiscal year shall not exceed
15% of the total amount allocated under subsection (1) for that
fiscal year.
(5) If the total amount of the payments calculated under
subsection (3) for a fiscal year exceeds the allocation under
subsection (1) for that fiscal year, the payment to each district
under subsection (1) shall be prorated on an equal percentage
basis.
(6)
In addition to the amount allocated under subsection (1),
for
2010-2011 only there is also allocated from the appropriation
in
section 11 the amount of $500,000.00 to a district that is
eligible
for a payment under subsection (1) and that levied 1.8
mills
in 1993 to finance an operating deficit.
Sec. 22f. (1) From the appropriation in section 11, there is
allocated for 2011-2012 only an amount not to exceed
$154,000,000.00 to provide incentive payments to districts that
meet financial best practices under this section. The money
allocated in this section represents a portion of the year-end
state school aid fund balance for 2010-2011. The amount of the
incentive payment is an amount equal to $100.00 per pupil. A
district shall receive an incentive payment under this section if
the district satisfies at least 4 of the following requirements not
later than June 1, 2012:
(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 does not pay on behalf of any employee a
total amount that is greater than the state maximum allowable
employer contribution for health care services benefits, as
described in subsection (3), depending on the coverage option.
(b) 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 is considered to
have satisfied this requirement.
(c) If a district did not enter into an agreement with the
department to develop a service consolidation plan to reduce school
operating costs under former section 11d as it was in effect for
2010-2011, the district enters into an agreement with the
department to develop a service consolidation plan that is in
compliance with department guidelines described in subsection (2).
If a district entered into an agreement with the department to
develop a service consolidation plan under former section 11d, the
district continues to implement that plan and report to the
department not later than February 1 of each fiscal year the
district's progress in implementing that plan.
(d) The district has obtained competitive bids on the
provision of pupil transportation, food service, custodial, or 1 or
more other noninstructional services with a value of at least
$50,000.00.
(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 at least all of the following for the 3 most recent school
years for which the data are available:
(i) Graduation and dropout rates.
(ii) Average class size in grades kindergarten to 3.
(iii) College readiness as measured by Michigan merit
examination test scores.
(iv) Elementary and middle school MEAP scores.
(v) Teacher, principal, and superintendent salary information
including at least minimum, average, and maximum pay levels.
(vi) General fund balance.
(vii) The total number of days of instruction provided.
(2) The department shall maintain the guidelines for the
service consolidation plans that were developed for former section
11d as it was in effect for 2010-2011. The guidelines may identify,
but are not limited to, allowable cost-sharing arrangements for the
provision of noninstructional and instructional services and the
creation of joint operating agreements between and among districts,
intermediate districts, and other units of local government. The
department shall create benchmarks to measure success in
implementing service consolidation plans, including, but not
limited to, demonstrated cost reductions and efficiency. In
determining eligibility for incentive payments, the department
shall recognize service consolidation and cooperation and cost
reductions already in effect as well as continued progress.
(3) For the purposes of this section, the state maximum
allowable employer contribution on behalf of any employee is an
amount equal to 90% of the combined total costs for the employee
for the school fiscal year for medical, pharmacy, dental, vision,
disability, long-term care, or any other type of benefit that would
constitute a health care services benefit for each of the following
coverage options:
(a) Employee only coverage.
(b) Employee and spouse coverage.
(c) Employee and children coverage.
(d) Full family coverage.
(4) A district that accepts funds allocated under this section
acknowledges that the incentive payment under this section is for
2011-2012 only and that funds will not be appropriated for the
purposes of this section for subsequent fiscal years.
(5) 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 2012-2013.
Sec. 24. (1) From the appropriation in section 11, there is
allocated
for 2010-2011 2011-2012 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 energy, labor, and economic
growth
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 act 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 $1,751,300.00 for 2009-2010 and
there
is allocated an amount not to exceed $1,440,000.00
$1,197,500.00
for 2010-2011 2011-2012 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 $742,300.00 for 2010-2011 2011-
2012 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
located within the district and 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. 26a. From the state school aid fund appropriation in
section 11, there is allocated an amount not to exceed
$26,300,000.00
for 2010-2011 2011-2012 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
2010. 2011. 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 2010-2011 2011-2012 an amount not to exceed
$3,400,000.00
$2,890,000.00 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.
Article 3
Sec. 31a. (1) From the state school aid fund money
appropriated
in section 11, there is allocated for 2010-2011 2011-
2012 an amount not to exceed $317,695,500.00 for payments to
eligible districts and eligible public school academies under this
section. Subject to subsection (14), the amount of the additional
allowance under this section, other than funding under subsection
(6) or (7), shall be based on the number of actual pupils in
membership in the district or public school academy who met the
income eligibility criteria for free breakfast, lunch, or milk in
the immediately preceding state fiscal year, as determined under
the Richard B. Russell national school lunch act, 42 USC 1751 to
1769i, and reported to the department by October 31 of the
immediately preceding fiscal year and adjusted not later than
December 31 of the immediately preceding fiscal year in the form
and manner prescribed by the center. However, for a public school
academy that began operations as a public school academy after the
pupil membership count day of the immediately preceding school
year, the basis for the additional allowance under this section
shall be the number of actual pupils in membership in the public
school academy who met the income eligibility criteria for free
breakfast, lunch, or milk in the current state fiscal year, as
determined under the Richard B. Russell national school lunch act.
(2) To be eligible to receive funding under this section,
other than funding under subsection (6) or (7), a district or
public school academy that has not been previously determined to be
eligible shall apply to the department, in a form and manner
prescribed by the department, and a district or public school
academy must meet all of the following:
(a) The sum of the district's or public school academy's
combined state and local revenue per membership pupil in the
current
state fiscal year, as calculated under section 20, plus the
amount
of the district's per pupil allocation under section 20j(2),
is less than or equal to the basic foundation allowance under
section 20 for the current state fiscal year.
(b) The district or public school academy agrees to use the
funding only for purposes allowed under this section and to comply
with the program and accountability requirements under this
section.
(3) Except as otherwise provided in this subsection, an
eligible district or eligible public school academy shall receive
under this section for each membership pupil in the district or
public school academy 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
by October 31 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 public school academy's per
pupil
amount calculated under section 20, plus the amount of the
district's
per pupil allocation under section 20j(2), not to exceed
the basic foundation allowance under section 20 for the current
state fiscal year, or of the public school academy's per membership
pupil amount calculated under section 20 for the current state
fiscal year. A public school academy that began operations as a
public school academy 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 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 by October 31 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 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 receiving funding under this section shall
use that money only to provide instructional programs and direct
noninstructional services, including, but not limited to, medical
or counseling services, for at-risk pupils; for school health
clinics; and for the purposes of subsection (5), (6), or (7). 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 (1),
may use not more than 20% of the funds it receives under this
section for school security. A district or public school academy
shall not use any of that money for administrative costs or to
supplant another program or other funds, except for funds allocated
to the district or public school academy under this section in the
immediately preceding year and already being used by the district
or public school academy for at-risk pupils. 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 and may include, but are not limited
to, tutorial services, early childhood programs to serve children
age 0 to 5, and reading programs as described in former section 32f
as in effect for 2001-2002. A tutorial method may be conducted with
paraprofessionals working under the supervision of a certificated
teacher. The ratio of pupils to paraprofessionals shall be between
10:1 and 15:1. Only 1 certificated teacher is required to supervise
instruction using a tutorial method. As used in this subsection,
"to supplant another program" means to take the place of a
previously existing instructional program or direct
noninstructional services funded from a funding source other than
funding under this section.
(5) Except as otherwise provided in subsection (12), 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, 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 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 2010-2011 2011-2012 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 2010-2011 2011-2012 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 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 of funds under this section,
which report shall include at least a brief description of each
program conducted by the district or public school academy using
funds under this section, the amount of funds under this section
allocated to each of those programs, the number of at-risk pupils
eligible for free or reduced price school lunch who were served by
each of those programs, and the total number of at-risk pupils
served by each of those programs. If a district or public school
academy 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 complies with
this subsection. If the district or public school academy 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 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 shall reimburse the state for all disallowances
found in the audit.
(10) Subject to subsections (5), (6), (7), (12), and (13), any
district may use up to 100% of the funds it receives under this
section to reduce the ratio of pupils to teachers in grades K-6, or
any combination of those grades, in school buildings in which the
percentage of pupils described in subsection (1) exceeds the
district's aggregate percentage of those pupils. Subject to
subsections (5), (6), (7), (12), and (13), if a district obtains a
waiver from the department, the district may use up to 100% of the
funds it receives under this section to reduce the ratio of pupils
to teachers in grades K-6, or any combination of those grades, in
school buildings in which the percentage of pupils described in
subsection (1) is at least 60% of the district's aggregate
percentage of those pupils and at least 30% of the total number of
pupils enrolled in the school building. To obtain a waiver, a
district must apply to the department and demonstrate to the
satisfaction of the department that the class size reductions would
be in the best interests of the district's at-risk pupils.
(11) A district or public school academy may use funds
received under this section for adult high school completion,
general educational development (G.E.D.) test preparation, adult
English as a second language, or adult basic education programs
described in section 107.
(12) For an individual school or schools operated by a
district or public school academy receiving funds under this
section that have been determined by the department to meet the
adequate yearly progress standards of the no child left behind act
of 2001, Public Law 107-110, in both mathematics and English
language arts at all applicable grade levels for all applicable
subgroups, the district or public school academy may submit to the
department an application for flexibility in using the funds
received under this section that are attributable to the pupils in
the school or schools. The application shall identify the affected
school or schools and the affected funds and shall contain a plan
for using the funds for specific purposes identified by the
district that are designed to benefit at-risk pupils in the school,
but that may be different from the purposes otherwise allowable
under this section. The department shall approve the application if
the department determines that the purposes identified in the plan
are reasonably designed to benefit at-risk pupils in the school. If
the department does not act to approve or disapprove an application
within 30 days after it is submitted to the department, the
application is considered to be approved. If an application for
flexibility in using the funds is approved, the district may use
the funds identified in the application for any purpose identified
in the plan.
(13) A district or public school academy that receives funds
under this section may use funds it receives under this section to
implement and operate an early intervening program for pupils in
grades K to 3 that meets either or both of the following:
(a) Monitors individual pupil learning and provides specific
support or learning strategies to pupils as early as possible in
order to reduce the need for special education placement. The
program shall include literacy and numeracy supports, sensory motor
skill development, behavior supports, instructional consultation
for teachers, and the development of a parent/school learning plan.
Specific support or learning strategies may include support in or
out of the general classroom in areas including reading, writing,
math, visual memory, motor skill development, behavior, or language
development. These would be provided based on an understanding of
the individual child's learning needs.
(b) Provides early intervening strategies using school-wide
systems of academic and behavioral supports and is scientifically
research-based. The strategies to be provided shall include at
least pupil performance indicators based upon response to
intervention, instructional consultation for teachers, and ongoing
progress monitoring. A school-wide system of academic and
behavioral support should be based on a support team available to
the classroom teachers. The members of this team could include the
principal, special education staff, reading teachers, and other
appropriate personnel who would be available to systematically
study the needs of the individual child and work with the teacher
to match instruction to the needs of the individual child.
(14) If necessary, and before any proration required under
section 11, 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 (1).
(15) 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.
(16)
Except as otherwise provided in subsection (18), a
district
or public school academy that does not meet the
eligibility
requirement under subsection (2)(a) is eligible for
funding
under this section if at least 1/4 of the pupils in
membership
in the district or public school academy 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 (1), and at least 4,500 of the pupils in
membership
in the district or public school academy 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 (1). A district or public school academy
that
is eligible for funding under this section because the
district
meets the requirements of this subsection shall receive
under
this section for each membership pupil in the district or
public
school academy who met the income eligibility criteria for
free
breakfast, lunch, or milk in the immediately preceding fiscal
year,
as determined and reported as described in subsection (1), an
amount
per pupil equal to 11.5% of the sum of the district's
foundation
allowance or public school academy's per pupil
allocation
under section 20, plus the amount of the district's per
pupil
allocation under section 20j(2), not to exceed the basic
foundation
allowance under section 20 for the current state fiscal
year.
(17)
A district that does not meet the eligibility requirement
under
subsection (2)(a) is eligible for funding under this section
if
at least 75% of the pupils in membership in the district 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 (1), the district receives an
adjustment
under section 20(19), and the district does not receive
any
state portion of its foundation allowance as calculated under
section
20. A district that is eligible for funding under this
section
because the district meets the requirements of this
subsection
shall receive under this section for each membership
pupil
in the district who met the income eligibility criteria for
free
breakfast, lunch, or milk in the immediately preceding fiscal
year,
as determined and reported as described in subsection (1), an
amount
per pupil equal to 11.5% of the sum of the district's
foundation
allowance under section 20, not to exceed the basic
foundation
allowance under section 20 for the current state fiscal
year.
(18)
For a district described in subsection (16), the total
allocation
to the district otherwise due under this section, after
any
reduction under subsection (14), shall be further reduced by
25%.
(16) (19)
As used in this section,
"at-risk pupil" means a
pupil for whom the district has documentation that the pupil meets
at least 2 of the following criteria: is a victim of child abuse or
neglect; is below grade level in English language and communication
skills or mathematics; is a pregnant teenager or teenage parent; is
eligible for a federal free or reduced-price lunch subsidy; has
atypical behavior or attendance patterns; or has a family history
of school failure, incarceration, or substance abuse. For pupils
for whom the results of at least the applicable Michigan education
assessment program (MEAP) test have been received, at-risk pupil
also includes a pupil who does not meet the other criteria under
this subsection but who did not achieve at least a score of level 2
on the most recent MEAP English language arts, mathematics, or
science test for which results for the pupil have been received.
For pupils for whom the results of the Michigan merit examination
have been received, at-risk pupil also includes a pupil who does
not meet the other criteria under this subsection but who did not
achieve proficiency on the reading component of the most recent
Michigan merit examination for which results for the pupil have
been received, did not achieve proficiency on the mathematics
component of the most recent Michigan merit examination for which
results for the pupil have been received, or did not achieve basic
competency on the science component of the most recent Michigan
merit examination for which results for the pupil have been
received. For pupils in grades K-3, at-risk pupil also includes a
pupil who is at risk of not meeting the district's core academic
curricular objectives in English language arts or mathematics.
(17) A district or public school academy that receives funds
under this section may use funds received under this section to
provide an anti-bullying or crisis intervention program.
Sec. 31d. (1) From the appropriations in section 11, there is
allocated
an amount not to exceed $22,495,100.00 for 2010-2011
2011-2012 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 2010-2011 2011-2012
all available federal funding,
estimated at $400,000,000.00, for the national school lunch program
and all available federal funding, estimated at $2,506,000.00, 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 $9,625,000.00 for 2010-2011 2011-
2012 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. 32b. (1) From the funds appropriated under section 11,
there
is allocated an amount not to exceed $6,000,000.00
$5,900,000.00
for 2010-2011 2011-2012 for competitive grants to
intermediate districts for the creation and continuance of great
start communities or other community purposes as identified by the
early childhood investment corporation. These dollars may not be
expended until both of the following conditions have been met:
(a) The early childhood investment corporation has identified
matching dollars of at least an amount equal to the amount of the
matching dollars for 2006-2007.
(b) The executive committee of the corporation includes, in
addition to the members of the executive committee provided for by
the interlocal agreement creating the corporation under the urban
cooperation act of 1967, 1967 (Ex Sess) PA 7, MCL 124.510 to
124.512, 4 members appointed by the governor as provided in this
subdivision. Not later than 30 days after the convening of a
regular legislative session in an odd-numbered year, the speaker of
the house of representatives, the house minority leader, the senate
majority leader, and the senate minority leader shall each submit
to the governor a list of 3 or more individuals as nominees for
appointment as members of the executive committee of the
corporation. The corporation shall notify each of the legislative
leaders of this requirement to submit a list of nominees not later
than 30 days before the date that the list is due. Within 60 days
of the submission to the governor of nominees by each of the 4
legislative leaders, the governor shall appoint 1 member of the
executive committee from each list of nominees submitted by each of
the 4 legislative leaders. A member appointed under this
subdivision shall serve a term as a member of the executive
committee through the next regular legislative session unless he or
she resigns or is otherwise unable to serve. When a vacancy occurs
other than by expiration of a term, the corporation shall notify
the legislative leader who originally nominated the member of the
vacancy and that legislative leader shall submit to the governor a
list of 3 or more individuals as nominees for appointment to fill
the vacancy within 30 days after being notified by the corporation
of the vacancy. The governor shall make an appointment to fill that
vacancy in the same manner as the original appointment not later
than 60 days after the date the vacancy occurs.
(2) The early childhood investment corporation shall award
grants to eligible intermediate districts in an amount to be
determined by the corporation.
(3) In order to receive funding, each intermediate district
applicant shall agree to convene a local great start collaborative
to address the availability of the 6 components of a great start
system in its communities: physical health, social-emotional
health, family supports, basic needs, economic stability and
safety, and parenting education and early education and care, to
ensure that every child in the community is ready for kindergarten.
Specifically, each grant will fund the following:
(a) The completion of a community needs assessment and
strategic plan for the creation of a comprehensive system of early
childhood services and supports, accessible to all children from
birth to kindergarten and their families.
(b) Identification of local resources and services for
children with disabilities, developmental delays, or special needs
and their families.
(c) Coordination and expansion of infrastructure to support
high-quality early childhood and childcare programs.
(d) Evaluation of local programs.
(4) Not later than December 1 of each fiscal year, for the
grants awarded under this section for the immediately preceding
fiscal year, the department shall provide to the house and senate
appropriations subcommittees on state school aid, the state budget
director, and the house and senate fiscal agencies a report
detailing the amount of each grant awarded under this section, the
grant recipients, the activities funded by each grant under this
section, and an analysis of each grant recipient's success in
addressing the development of a comprehensive system of early
childhood services and supports.
(5) An intermediate district receiving funds under this
section may carry over any unexpended funds received under this
section into the next fiscal year and may expend those unused funds
in 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.
(6) Beginning with 2012-2013, it is the intent of the
legislature to transfer funding for great start collaboratives
under this section into an early childhood block grant program,
along with funding for great start readiness programs under section
32d and funding for great parents, great start programs under
section 32j. The early childhood block grant program will allocate
funds to intermediate districts and consortia of intermediate
districts to act as fiduciaries and provide administration of
regional early childhood programs in conjunction with their
regional great start collaborative to improve program quality,
evaluation, and efficiency for early childhood programs. The
department shall work with intermediate districts, districts, great
start collaboratives, and the early childhood investment
corporation to establish a revised funding formula, application
process, program criteria, and data reporting requirements for
2012-2013. Not later than January 1, 2012, the department shall
report to the legislature its recommendations for the revisions
required under this subsection.
(7) (6)
Notwithstanding section 17b,
payments under this
section may be made pursuant to an agreement with the department.
Sec.
32d. (1) For 2010-2011, 2011-2012,
there is allocated to
eligible
districts intermediate
districts and consortia of
intermediate districts for great start readiness programs an amount
not
to exceed $89,400,000.00 $104,275,000.00
from the state school
aid
fund money appropriated in section 11. In addition, from the
general
fund appropriation in section 11, there is allocated an
amount
not to exceed $8,875,000.00 for competitive great start
readiness
program grants. Funds allocated
under this section shall
be used to provide part-day or full-day comprehensive free
compensatory programs designed to do 1 or both of the following:
(a) Improve the readiness and subsequent achievement of
educationally disadvantaged children as defined by the department
who will be at least 4, but less than 5 years of age, as of
December 1 of the school year in which the programs are offered,
and
who show evidence of 2 or more risk factors meet the
participant eligibility and prioritization guidelines as defined by
the state board.
(b) Provide preschool and parenting education programs similar
to those under former section 32b as in effect for 2001-2002.
Beginning in 2007-2008, funds spent by a district for programs
described in this subdivision shall not exceed the lesser of the
amount spent by the district under this subdivision for 2006-2007
or the amount spent under this subdivision in any subsequent fiscal
year.
(2)
To be eligible to receive payments under this section, a
district
shall comply with this section and section 39. To receive
competitive
grant payments under this section, an eligible grant
recipient
shall comply with this section and section 32l.Funds
allocated under this section shall be allocated to intermediate
districts or consortia of intermediate districts. An intermediate
district or consortium of intermediate districts receiving funding
under this section shall act as the fiduciary for the great start
readiness programs. For 2011-2012, the fiduciary intermediate
districts and consortia of intermediate districts shall allocate
the funding under this section as follows:
(a) An amount not to exceed $95,400,000.00 allocated to
districts and consortia of districts as directed by the department
based on the formula in section 39. In order to be eligible to
receive funds allocated under this subdivision from an intermediate
district or consortium of intermediate districts, a district or
consortium of districts shall comply with this section and section
39.
(b) An amount not to exceed $8,875,000.00 allocated in grants
to competitive great start readiness programs as directed by the
department based on the grant award process in section 32l. In order
to be eligible to receive funds allocated under this section from
an intermediate district or consortium of intermediate districts, a
competitive great start readiness program shall comply with this
section and section 32l.
(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 2010-2011 2011-
2012 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
or full-day school-day
programs that contain all of the
following program components, as determined by the department:
(a) Participation in a collaborative recruitment and
enrollment process. At a minimum, the process shall include all
other funded preschool programs that may serve children in the same
geographic area, 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.
(d) Health and developmental screening services for all
program participants.
(e) Referral services for families of program participants to
community social service agencies, 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 multidistrict, multiagency, school
readiness advisory committee 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 shall review
the program components listed in this subsection and make
recommendations for changes to the great start readiness program
for which it is an advisory committee.
(i)
For great start readiness programs operated by a district
or
consortium of districts, provide for the The ongoing
articulation
of the early childhood, kindergarten , and first grade
programs
offered by the district or districts.program provider.
(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) Ensure that more than 75% of the children participating in
an eligible great start readiness program are children who live
with families with a household income that is equal to or less than
300% of the federal poverty level.
(c) Ensure that the applicant only employs qualified personnel
for this program, as follows:
(i) Teachers possessing proper training. For programs the
district
manages itself, managed
directly by an intermediate
district,
a valid teaching certificate and an
early childhood (ZA)
(ZA or ZS) endorsement are required. This provision does not apply
to
a an intermediate district or
competitive program that
subcontracts with an eligible child development program. In that
situation, a teacher must have a valid Michigan teaching
certificate
with an early childhood (ZA) (ZA
or ZS) endorsement, a
valid Michigan elementary teaching certificate with a child
development associate credential, or a bachelor's degree in child
development with specialization in preschool teaching. However,
both
of the following apply to this subparagraph:
(A)
If a if an intermediate district 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 employed by the intermediate district if
the intermediate district 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 4 2
years of the date of
employment. Progress toward completion of the compliance plan shall
consist of at least 2 courses per calendar year.
(B)
For a subcontracted program, the department shall consider
a
teacher with 90 credit hours and at least 4 years' teaching
experience
in a qualified preschool program to meet the
requirements
under this subparagraph.
(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.
, or the equivalent
as
approved by the state board. However,
if a an intermediate
district demonstrates to the department that it is unable to fully
comply with this subparagraph after making reasonable efforts to
comply, the intermediate district may employ paraprofessionals who
have completed at least 1 course that earns college credit in early
childhood education or child development if the intermediate
district 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. 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 by the applicant to serve children
eligible for a federally funded existing preschool program that has
the capacity to serve those children.
(6)
For a grant recipient that enrolls pupils in a full-day
school-day program funded under this section, each child enrolled
in
the full-day 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 full-day school-day
program. As used in this
subsection,
"full-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 full-day program must enroll all children for the
full
day to be considered a full-day program.
(7)
A district or consortium of districts An intermediate
district or consortium of intermediate districts receiving a grant
under this section may contract with for-profit or nonprofit
preschool center providers that meet all requirements of subsection
(4) and retain for administrative services an amount equal to not
more
than 5% of the grant amount. A An
intermediate district, or
consortium of intermediate districts, or competitive grant program
may expend not more than 10% of the total grant amount for
administration of the program.
(8) Any public or private for-profit or nonprofit legal entity
or agency may apply for a competitive grant under this section.
However, a district or intermediate district may not apply for a
competitive grant under this section unless the district,
intermediate district, or consortium of districts or intermediate
districts is acting as a local grantee for the federal head start
program operating under the head start act, 42 USC 9831 to 9852.
(9) A recipient of funds under this section shall report to
the
department on the midyear report in a form and manner
prescribed by the department the number of children participating
in the program who meet the income or other eligibility criteria
prescribed by the department and the total number of children
participating in the program. For children participating in the
program who meet the income or other 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.
(10)
As used in this section: , "part-day
(a) "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 full-day school-day program. as
defined
in subsection (6).
(b) "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.
(11)
A district or intermediate district grant recipient
receiving funds under this section is encouraged to establish a
sliding scale of tuition rates based upon a child's family income
for the purpose of expanding eligible programs under this section.
A
district or intermediate district grant recipient may charge
tuition for programs provided under this section according to that
sliding scale of tuition rates on a uniform basis for any child who
does not meet the program eligibility requirements under this
section.
(12) Beginning with 2012-2013, it is the intent of the
legislature to transfer funding for great start readiness programs
under this section into an early childhood block grant program,
along with funding for great start collaboratives under section 32b
and funding for great parents, great start programs under section
32j. The early childhood block grant program will allocate funds to
intermediate districts and consortia of intermediate districts to
act as fiduciaries and provide administration of regional early
childhood programs in conjunction with their regional great start
collaborative to improve program quality, evaluation, and
efficiency for early childhood programs. The department shall work
with intermediate districts, districts, great start collaboratives,
and the early childhood investment corporation to establish a
revised funding formula, application process, program criteria, and
data reporting requirements for 2012-2013. Not later than January
1, 2012, the department shall report to the legislature its
recommendations for the revisions required under this subsection.
Sec. 32j. (1) From the appropriations in section 11, there is
allocated
an amount not to exceed $5,000,000.00 for 2010-2011 2011-
2012 for great parents, great start grants to intermediate
districts to provide programs for parents with young children. The
purpose of these programs is to encourage early mathematics and
reading literacy, improve school readiness, reduce the need for
special education services, and foster the maintenance of stable
families by encouraging positive parenting skills.
(2) To qualify for funding under this section, a program shall
provide services to all families with children age 5 or younger
residing within the intermediate district who choose to
participate, including at least all of the following services:
(a) Providing parents with information on child development
from birth to age 5.
(b) Providing parents with methods to enhance parent-child
interaction that promote social and emotional development and age-
appropriate language, mathematics, and early reading skills for
young children; including, but not limited to, encouraging parents
to read to their preschool children at least 1/2 hour per day.
(c) Providing parents with examples of learning opportunities
to promote intellectual, physical, and social growth of young
children, including the acquisition of age-appropriate language,
mathematics, and early reading skills.
(d) Promoting access to needed community services through a
community-school-home partnership.
(3) To receive a grant under this section, an intermediate
district shall submit a plan to the department not later than
October
15, 2010 2011 in the form and manner prescribed by the
department. The plan shall do all of the following in a manner
prescribed by the department:
(a) Provide a plan for the delivery of the program components
described in subsection (2) that targets resources based on family
need and provides for educators trained in child development to
help parents understand their role in their child's developmental
process, thereby promoting school readiness and mitigating the need
for special education services.
(b) Demonstrate an adequate collaboration of local entities
involved in providing programs and services for preschool children
and their parents and, where there is a great start collaborative,
demonstrate that the planned services are part of the community's
great start strategic plan.
(c) Provide a projected budget for the program to be funded.
The intermediate district shall provide at least a 20% local match
from local public or private resources for the funds received under
this section. Not more than 1/2 of this matching requirement, up to
a total of 10% of the total project budget, may be satisfied
through in-kind services provided by participating providers of
programs or services. In addition, not more than 10% of the grant
may be used for program administration.
(4) Each intermediate district receiving a grant under this
section shall agree to include a data collection system approved by
the department. The data collection system shall provide a report
by October 15 of each year on the number of children in families
with income below 200% of the federal poverty level that received
services under this program and the total number of children who
received services under this program.
(5) The department or superintendent, as applicable, shall do
all of the following:
(a) The superintendent shall approve or disapprove the plans
and notify the intermediate district of that decision not later
than
November 15, 2010. 2011. The amount allocated to each
intermediate district shall be at least an amount equal to 100% of
the
intermediate district's 2009-2010 2010-2011 payment under this
section.
(b) The department shall ensure that all programs funded under
this section utilize the most current validated research-based
methods and curriculum for providing the program components
described in subsection (2).
(c)
The department shall submit a report to the state budget
director
and the senate and house fiscal agencies summarizing the
data
collection reports described in subsection (4) by December 1
of
each year.
(6) An intermediate district receiving funds under this
section shall use the funds only for the program funded under this
section. An intermediate district receiving funds under this
section may carry over any unexpended funds received under this
section into the next fiscal year and may expend those unused funds
in 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.
(7) Beginning with 2012-2013, it is the intent of the
legislature to transfer funding for great parents, great start
programs under this section into an early childhood block grant
program, along with funding for great start collaboratives under
section 32b and funding for great start readiness programs under
section 32d. The early childhood block grant program will allocate
funds to intermediate districts and consortia of intermediate
districts to act as fiduciaries and provide administration of
regional early childhood programs in conjunction with their
regional great start collaborative to improve program quality,
evaluation, and efficiency for early childhood programs. The
department shall work with intermediate districts, districts, great
start collaboratives, and the early childhood investment
corporation to establish a revised funding formula, application
process, program criteria, and data reporting requirements for
2012-2013. Not later than January 1, 2012, the department shall
report to the legislature its recommendations for the revisions
required under this subsection.
Sec. 39. (1) A district receiving funds from an intermediate
district or consortium of intermediate districts under section 32d
shall submit a preapplication, in a form and manner prescribed by
the department, by a date specified by the department in the
immediately preceding state fiscal year. The preapplication shall
include a comprehensive needs assessment and community
collaboration plan, which 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 district 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 district and
community early childhood programs have met their funded
enrollments. The school district shall maintain a waiting list of
identified unserved eligible children who would be served when
openings are available.
(2) A district receiving funds from an intermediate district
or consortium of intermediate districts under section 32d shall
also submit a final application for approval, in a form and manner
prescribed by the department, by a date specified by the
department, that details how the district 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 district in the following manner: 1/2 of the
percentage of the district's pupils in grades 1 to 5 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 district on the pupil membership count day of the
2 immediately preceding fiscal years.
(4)
Beginning in 2008-2009, the The
initial allocation for
each fiscal year to each eligible district 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
district indicates it will be able to serve under subsection
(1)(c), whichever is less, by $3,400.00 and shall be distributed
among districts in decreasing order of concentration of eligible
children as determined by the formula under subsection (3). If the
number of children a district indicates it will be able to serve
under subsection (1)(c) includes children able to be served in a
full-day
school-day
program, then the number able to be
served in a
full-day
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 district indicates it will be able to serve under
subsection (1)(c) and determining the amount of the initial
allocation to the district under section 32d. A district may
contract with a head start agency to serve children enrolled in
head
start with a full-day 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 appropriated allocated
for eligible districts in
section 32d remain after the initial allocation under subsection
(4), the allocation under this subsection shall be distributed to
each eligible district 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 eligible district served in
the
immediately preceding fiscal year
, including the number of
children
the district would have served if it had not satisfied all
or
part of the reduction under section 11d from funding under this
section,
or the number of children the
district indicates it will
be able to serve under subsection (1)(c), whichever is less, minus
the number of children for which the district received funding in
subsection (4) by $3,400.00.
(6)
If funds appropriated allocated
for eligible districts in
section 32d remain after the allocations under subsections (4) and
(5), remaining funds shall be distributed to each eligible district
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 district 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 district 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 $3,400.00
until the funds allocated for eligible districts in section 32d are
distributed.
(7) If a district is participating in a program under section
32d for the first year, the maximum allocation under this section
is 32 multiplied by $3,400.00.
(8)
A district that offers supplementary day child care funded
by funds other than those received under this section 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 districts. 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.
(9) For any district with 315 or more eligible pupils, the
number of eligible pupils shall be 65% of the number calculated
using the formula under subsection (3). However, none of these
districts may have less than 315 pupils for purposes of calculating
the tentative allocation for eligible districts under section 32d.
(10) If, taking into account the total amount to be allocated
to the district as calculated under this section, a district
determines that it is able to include additional eligible children
in the great start readiness program without additional funds under
section 32d, the district may include additional eligible children
but shall not receive additional funding under section 32d for
those children.
(11) A consortium of 2 or more districts shall be eligible for
an allocation under section 32d if the districts designate a
district or intermediate district to serve as the fiscal agent for
the consortium's allocation. A consortium shall submit a single
application for the total number of children to be served. The
consortium may decide, with approval of all consortium members, to
serve numbers of children based on the allocation to each district
or based on the allocation to the entire consortium, allowing
children residing in any district in the consortium to be served by
the consortium at any location.
Sec. 39a. (1) From the federal funds appropriated in section
11,
there is allocated for 2010-2011 2011-2012 to districts,
intermediate districts, and other eligible entities all available
federal funding, estimated at $761,973,600.00, 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 $10,808,600.00 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 $7,461,800.00 for the purpose of
improving teaching and learning through a more effective use of
technology, funded from DED-OESE, educational technology state
grant funds.
(c) An amount estimated at $109,411,900.00 for the purpose of
preparing, training, and recruiting high-quality teachers and class
size reduction, funded from DED-OESE, improving teacher quality
funds.
(d) An amount estimated at $10,322,300.00 for programs to
teach English to limited English proficient (LEP) children, funded
from DED-OESE, language acquisition state grant funds.
(e) An amount estimated at $8,550,000.00 for the Michigan
charter school subgrant program, funded from DED-OESE, charter
school funds.
(f) An amount estimated at $1,760,000.00 for rural and low
income schools, funded from DED-OESE, rural and low income school
funds.
(g) An amount estimated at $1,000.00 to help schools develop
and implement comprehensive school reform programs, funded from
DED-OESE, title I and title X, comprehensive school reform funds.
(h) An amount estimated at $517,479,800.00 to provide
supplemental programs to enable educationally disadvantaged
children to meet challenging academic standards, funded from DED-
OESE, title I, disadvantaged children funds.
(i) An amount estimated at $2,152,700.00 for the purpose of
providing unified family literacy programs, funded from DED-OESE,
title I, even start funds.
(j) An amount estimated at $8,807,200.00 for the purpose of
identifying and serving migrant children, funded from DED-OESE,
title I, migrant education funds.
(k) An amount estimated at $24,733,200.00 to promote high-
quality school reading instruction for grades K-3, funded from DED-
OESE, title I, reading first state grant funds.
(l) An amount estimated at $2,849,000.00 for the purpose of
implementing innovative strategies for improving student
achievement, funded from DED-OESE, title VI, innovative strategies
funds.
(m) An amount estimated at $40,050,000.00 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.
(n) An amount estimated at $17,586,100.00 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 2010-2011 2011-2012
to districts, intermediate
districts, and other eligible entities all available federal
funding, estimated at $32,359,700.00, for the following programs
that are funded by federal grants:
(a) An amount estimated at $600,000.00 for acquired
immunodeficiency syndrome education grants, funded from HHS –
center for disease control, AIDS funding.
(b) An amount estimated at $1,814,100.00 to provide services
to homeless children and youth, funded from DED-OVAE, homeless
children and youth funds.
(c) An amount estimated at $1,445,600.00 for serve America
grants, funded from the corporation for national and community
service funds.
(d) An amount estimated at $28,500,000.00 for providing career
and technical education services to pupils, funded from DED-OVAE,
basic grants to states.
(3) To the extent allowed under federal law, the funds
allocated under subsection (1)(h), (i), (k), and (n) may be used
for 1 or more reading improvement programs that meet at least 1 of
the following:
(a) A research-based, validated, structured reading program
that aligns learning resources to state standards and includes
continuous assessment of pupils and individualized education plans
for pupils.
(b) A mentoring program that is a research-based, validated
program or a statewide 1-to-1 mentoring program and is designed to
enhance the independence and life quality of pupils who are
mentally impaired by providing opportunities for mentoring and
integrated employment.
(c) A cognitive development program that is a research-based,
validated educational service program focused on assessing and
building essential cognitive and perceptual learning abilities to
strengthen pupil concentration and learning.
(d) A structured mentoring-tutorial reading program for pupils
in preschool to grade 4 that is a research-based, validated program
that develops individualized educational plans based on each
pupil's age, assessed needs, reading level, interests, and learning
style.
(4) 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.
(5) For the purposes of applying for federal grants
appropriated
under this act, article, the department shall allow an
intermediate
district to submit a consolidated consortium
application on behalf of 2 or more districts with the agreement of
those districts as appropriate according to federal rules and
guidelines.
(6) 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.
Article 4
Sec. 40. The department biennially shall review alternative
methods to determine the number of children construed to be in need
of
special readiness assistance. and shall report not later than
November
15 of each even-numbered year its findings and
recommendations
to the senate and house appropriations
subcommittees
responsible for district funding and the senate and
house
committees responsible for education legislation and the
state
budget director.
Article 5
Sec. 51a. (1) From the appropriation in section 11, there is
allocated
for 2009-2010 an amount not to exceed $1,016,342,000.00
and
there is allocated for 2010-2011 an
amount not to exceed
$1,057,883,000.00
$947,683,000.00 and
there is allocated for 2011-
2012 an amount not to exceed $977,469,100.00 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 $350,700,000.00 for 2009-2010 and estimated at
$385,700,000.00 for 2010-2011, and estimated at $363,400,000.00 for
2011-2012, plus any carryover federal funds from previous year
appropriations. The allocations under this subsection are for the
purpose of reimbursing districts and intermediate districts for
special education programs, services, and special education
personnel as prescribed in article 3 of the revised school code,
MCL 380.1701 to 380.1766; net tuition payments made by intermediate
districts to the Michigan schools for the deaf and blind; and
special education programs and services for pupils who are eligible
for special education programs and services according to statute or
rule. For meeting the costs of special education programs and
services not reimbursed under this article, a district or
intermediate district may use money in general funds or special
education funds, not otherwise restricted, or contributions from
districts to intermediate districts, tuition payments, gifts and
contributions from individuals, or federal funds that may be
available for this purpose, as determined by the intermediate
district plan prepared pursuant to article 3 of the revised school
code, MCL 380.1701 to 380.1766. All federal funds allocated under
this section in excess of those allocated under this section for
2002-2003 may be distributed in accordance with the flexible
funding provisions of the individuals with disabilities education
act, Public Law 108-446, including, but not limited to, 34 CFR
300.206 and 300.208. 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.
(2) From the funds allocated under subsection (1), there is
allocated each fiscal year the amount necessary, estimated at
$234,780,000.00
for 2009-2010 and estimated at $248,200,000.00
$236,300,000.00 for 2010-2011 and estimated at $245,500,000.00 for
2011-2012, for payments toward reimbursing districts and
intermediate districts for 28.6138% of total approved costs of
special education, excluding costs reimbursed under section 53a,
and 70.4165% of total approved costs of special education
transportation. Allocations under this subsection shall be made as
follows:
(a) The initial amount allocated to a district under this
subsection toward fulfilling the specified percentages shall be
calculated by multiplying the district's special education pupil
membership, excluding pupils described in subsection (12), times
the
sum of the foundation allowance
under section 20 of the pupil's
district
of residence, plus the amount of the district's per pupil
allocation
under section 20j(2), not to exceed
the basic foundation
allowance under section 20 for the current fiscal year, or, for a
special education pupil in membership in a district that is a
public school academy or university school, times an amount equal
to the amount per membership pupil calculated under section 20(6).
For an intermediate district, the amount allocated under this
subdivision toward fulfilling the specified percentages shall be an
amount per special education membership pupil, excluding pupils
described in subsection (12), and shall be calculated in the same
manner as for a district, using the foundation allowance under
section 20 of the pupil's district of residence, not to exceed the
basic foundation allowance under section 20 for the current fiscal
year. ,
and that district's per pupil allocation under section
20j(2).
(b) After the allocations under subdivision (a), districts and
intermediate districts for which the payments calculated under
subdivision (a) do not fulfill the specified percentages shall be
paid the amount necessary to achieve the specified percentages for
the district or intermediate district.
(3) From the funds allocated under subsection (1), there is
allocated
each fiscal year for 2009-2010 and for 2010-2011 the
amount
necessary, estimated at $1,329,000.00 for 2009-2010 and
estimated
at $1,400,000.00 for 2010-2011, to
make payments to
districts and intermediate districts under this subsection. From
the funds allocated under subsection (1), there is allocated for
2011-2012 an amount not to exceed $1,000,000.00 to make payments to
districts and intermediate districts under this subsection. If the
amount allocated to a district or intermediate district for a
fiscal year under subsection (2)(b) is less than the sum of the
amounts allocated to the district or intermediate district for
1996-97 under sections 52 and 58, there is allocated to the
district or intermediate district for the fiscal year an amount
equal to that difference, adjusted by applying the same proration
factor that was used in the distribution of funds under section 52
in 1996-97 as adjusted to the district's or intermediate district's
necessary costs of special education used in calculations for the
fiscal year. This adjustment is to reflect reductions in special
education program operations or services between 1996-97 and
subsequent fiscal years. Adjustments for reductions in special
education program operations or services shall be made in a manner
determined by the department and shall include adjustments for
program or service shifts.
(4) If the department determines that the sum of the amounts
allocated for a fiscal year to a district or intermediate district
under subsection (2)(a) and (b) is not sufficient to fulfill the
specified percentages in subsection (2), then the shortfall shall
be paid to the district or intermediate district during the fiscal
year beginning on the October 1 following the determination and
payments under subsection (3) shall be adjusted as necessary. If
the department determines that the sum of the amounts allocated for
a fiscal year to a district or intermediate district under
subsection (2)(a) and (b) exceeds the sum of the amount necessary
to fulfill the specified percentages in subsection (2), then the
department shall deduct the amount of the excess from the
district's or intermediate district's payments under this act for
the fiscal year beginning on the October 1 following the
determination and payments under subsection (3) shall be adjusted
as necessary. However, if the amount allocated under subsection
(2)(a) in itself exceeds the amount necessary to fulfill the
specified percentages in subsection (2), there shall be no
deduction under this subsection.
(5) State funds shall be allocated on a total approved cost
basis. Federal funds shall be allocated under applicable federal
requirements, except that an amount not to exceed $3,500,000.00 may
be
allocated by the department each fiscal year for 2009-2010 and
for
2010-2011 and
for 2011-2012 to districts, intermediate
districts, or other eligible entities on a competitive grant basis
for programs, equipment, and services that the department
determines to be designed to benefit or improve special education
on a statewide scale.
(6) From the amount allocated in subsection (1), there is
allocated
an amount not to exceed $1,750,000.00 for 2009-2010 and
an amount not to exceed $2,200,000.00 for 2010-2011 and for 2011-
2012 to reimburse 100% of the net increase in necessary costs
incurred by a district or intermediate district in implementing the
revisions in the administrative rules for special education that
became effective on July 1, 1987. As used in this subsection, "net
increase in necessary costs" means the necessary additional costs
incurred solely because of new or revised requirements in the
administrative rules minus cost savings permitted in implementing
the revised rules. Net increase in necessary costs shall be
determined in a manner specified by the department.
(7)
For purposes of this article, sections
51a to 58, all of
the following apply:
(a) "Total approved costs of special education" shall be
determined in a manner specified by the department and may include
indirect costs, but shall not exceed 115% of approved direct costs
for section 52 and section 53a programs. The total approved costs
include salary and other compensation for all approved special
education personnel for the program, including payments for social
security and medicare and public school employee retirement system
contributions. The total approved costs do not include salaries or
other compensation paid to administrative personnel who are not
special education personnel as defined in section 6 of the revised
school code, MCL 380.6. Costs reimbursed by federal funds, other
than those federal funds included in the allocation made under this
article, are not included. Special education approved personnel not
utilized full time in the evaluation of students or in the delivery
of special education programs, ancillary, and other related
services shall be reimbursed under this section only for that
portion of time actually spent providing these programs and
services, with the exception of special education programs and
services provided to youth placed in child caring institutions or
juvenile detention programs approved by the department to provide
an on-grounds education program.
(b) Beginning with the 2004-2005 fiscal year, a district or
intermediate district that employed special education support
services staff to provide special education support services in
2003-2004 or in a subsequent fiscal year and that in a fiscal year
after 2003-2004 receives the same type of support services from
another district or intermediate district shall report the cost of
those support services for special education reimbursement purposes
under
this act. article. This subdivision does not prohibit the
transfer of special education classroom teachers and special
education classroom aides if the pupils counted in membership
associated with those special education classroom teachers and
special education classroom aides are transferred and counted in
membership in the other district or intermediate district in
conjunction with the transfer of those teachers and aides.
(c) If the department determines before bookclosing for a
fiscal year that the amounts allocated for that fiscal year under
subsections (2), (3), (6), (8), and (12) and sections 53a, 54, and
56 will exceed expenditures for that fiscal year under subsections
(2), (3), (6), (8), and (12) and sections 53a, 54, and 56, then for
a district or intermediate district whose reimbursement for that
fiscal year would otherwise be affected by subdivision (b),
subdivision (b) does not apply to the calculation of the
reimbursement for that district or intermediate district and
reimbursement for that district or intermediate district shall be
calculated in the same manner as it was for 2003-2004. If the
amount of the excess allocations under subsections (2), (3), (6),
(8), and (12) and sections 53a, 54, and 56 is not sufficient to
fully fund the calculation of reimbursement to those districts and
intermediate districts under this subdivision, then the
calculations and resulting reimbursement under this subdivision
shall be prorated on an equal percentage basis.
(d) Reimbursement for ancillary and other related services, as
defined by R 340.1701c of the Michigan administrative code, shall
not be provided when those services are covered by and available
through private group health insurance carriers or federal
reimbursed program sources unless the department and district or
intermediate district agree otherwise and that agreement is
approved by the state budget director. Expenses, other than the
incidental expense of filing, shall not be borne by the parent. In
addition, the filing of claims shall not delay the education of a
pupil. A district or intermediate district shall be responsible for
payment of a deductible amount and for an advance payment required
until the time a claim is paid.
(e) Beginning with calculations for 2004-2005, if an
intermediate district purchases a special education pupil
transportation service from a constituent district that was
previously purchased from a private entity; if the purchase from
the constituent district is at a lower cost, adjusted for changes
in fuel costs; and if the cost shift from the intermediate district
to the constituent does not result in any net change in the revenue
the constituent district receives from payments under sections 22b
and 51c, then upon application by the intermediate district, the
department shall direct the intermediate district to continue to
report the cost associated with the specific identified special
education pupil transportation service and shall adjust the costs
reported by the constituent district to remove the cost associated
with that specific service.
(8) From the allocation in subsection (1), there is allocated
each
fiscal year for 2009-2010 and for
2010-2011 only an amount not
to exceed $15,313,900.00 to intermediate districts. The payment
under this subsection to each intermediate district shall be equal
to the amount of the 1996-97 allocation to the intermediate
district under subsection (6) of this section as in effect for
1996-97.
(9) A pupil who is enrolled in a full-time special education
program conducted or administered by an intermediate district or a
pupil who is enrolled in the Michigan schools for the deaf and
blind shall not be included in the membership count of a district,
but shall be counted in membership in the intermediate district of
residence.
(10) Special education personnel transferred from 1 district
to another to implement the revised school code shall be entitled
to the rights, benefits, and tenure to which the person would
otherwise be entitled had that person been employed by the
receiving district originally.
(11) If a district or intermediate district uses money
received under this section for a purpose other than the purpose or
purposes for which the money is allocated, the department may
require the district or intermediate district to refund the amount
of money received. Money that is refunded shall be deposited in the
state treasury to the credit of the state school aid fund.
(12) From the funds allocated in subsection (1), there is
allocated each fiscal year the amount necessary, estimated at
$6,200,000.00
for 2009-2010 and estimated at $6,600,000.00
$5,000,000.00 for 2010-2011, and estimated at $6,800,000.00 for
2011-2012, to pay the foundation allowances for pupils described in
this subsection. The allocation to a district under this subsection
shall be calculated by multiplying the number of pupils described
in this subsection who are counted in membership in the district
times
the sum of the foundation allowance under section 20 of the
pupil's
district of residence, plus the amount of the district's
per
pupil allocation under section 20j(2), not to exceed the basic
foundation allowance under section 20 for the current fiscal year,
or, for a pupil described in this subsection who is counted in
membership in a district that is a public school academy or
university school, times an amount equal to the amount per
membership pupil under section 20(6). The allocation to an
intermediate district under this subsection shall be calculated in
the same manner as for a district, using the foundation allowance
under section 20 of the pupil's district of residence, not to
exceed the basic foundation allowance under section 20 for the
current
fiscal year. , and that district's per pupil allocation
under
section 20j(2). This subsection
applies to all of the
following pupils:
(a) Pupils described in section 53a.
(b) Pupils counted in membership in an intermediate district
who are not special education pupils and are served by the
intermediate district in a juvenile detention or child caring
facility.
(c)
Emotionally impaired pupils Pupils
with an emotional
impairment counted in membership by an intermediate district and
provided educational services by the department of community
health.
(13) If it is determined that funds allocated under subsection
(2) or (12) or under section 51c will not be expended, funds up to
the amount necessary and available may be used to supplement the
allocations under subsection (2) or (12) or under section 51c in
order to fully fund those allocations. After payments under
subsections (2) and (12) and section 51c, the remaining
expenditures from the allocation in subsection (1) shall be made in
the following order:
(a) 100% of the reimbursement required under section 53a.
(b) 100% of the reimbursement required under subsection (6).
(c) 100% of the payment required under section 54.
(d) 100% of the payment required under subsection (3).
(e) 100% of the payment required under subsection (8).
(f) 100% of the payments under section 56.
(14) The allocations under subsections (2), (3), and (12)
shall be allocations to intermediate districts only and shall not
be allocations to districts, but instead shall be calculations used
only to determine the state payments under section 22b.
(15) If a public school academy enrolls pursuant to this
section a pupil who resides outside of the intermediate district in
which the public school academy is located and who is eligible for
special education programs and services according to statute or
rule, or who is a child with disabilities, as defined under the
individuals with disabilities education act, Public Law 108-446,
the provision of special education programs and services and the
payment of the added costs of special education programs and
services for the pupil are the responsibility of the district and
intermediate district in which the pupil resides unless the
enrolling district or intermediate district has a written agreement
with the district or intermediate district in which the pupil
resides or the public school academy for the purpose of providing
the pupil with a free appropriate public education and the written
agreement includes at least an agreement on the responsibility for
the payment of the added costs of special education programs and
services for the pupil.
Sec. 51c. As required by the court in the consolidated cases
known as Durant v State of Michigan, Michigan supreme court docket
no. 104458-104492, from the allocation under section 51a(1), there
is
allocated each fiscal year for 2009-2010 and for 2010-2011 and
for
2011-2012 the amount necessary,
estimated at $702,500,000.00
for
2009-2010 and estimated at $732,100,000.00 $635,400,000.00 for
2010-2011 and estimated at $669,900,000.00 for 2011-2012, for
payments to reimburse districts for 28.6138% of total approved
costs of special education excluding costs reimbursed under section
53a, and 70.4165% of total approved costs of special education
transportation. 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 22b in order to fully fund those
calculated allocations for the same fiscal year.
Sec. 51d. (1) From the federal funds appropriated in section
11,
there is allocated for 2010-2011 2011-2012 all available
federal funding, estimated at $74,000,000.00, for special education
programs that are funded by federal grants. All federal funds
allocated under this section shall be distributed in accordance
with federal law. 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.
(2) From the federal funds allocated under subsection (1), the
following
amounts are allocated for 2010-2011:2011-2012:
(a) An amount estimated at $15,000,000.00 for handicapped
infants and toddlers, funded from DED-OSERS, handicapped infants
and toddlers funds.
(b) An amount estimated at $14,000,000.00 for preschool grants
(Public Law 94-142), funded from DED-OSERS, handicapped preschool
incentive funds.
(c) An amount estimated at $45,000,000.00 for special
education programs funded by DED-OSERS, handicapped program,
individuals with disabilities act funds.
(3) As used in this section, "DED-OSERS" means the United
States department of education office of special education and
rehabilitative services.
Sec. 53a. (1) For districts, reimbursement for pupils
described in subsection (2) shall be 100% of the total approved
costs of operating special education programs and services approved
by the department and included in the intermediate district plan
adopted pursuant to article 3 of the revised school code, MCL
380.1701 to 380.1766, minus the district's foundation allowance
calculated
under section 20. , and minus the amount calculated for
the
district under section 20j. For
intermediate districts,
reimbursement for pupils described in subsection (2) shall be
calculated in the same manner as for a district, using the
foundation allowance under section 20 of the pupil's district of
residence, not to exceed the basic foundation allowance under
section
20 for the current fiscal year. , and under section 20j.
(2) Reimbursement under subsection (1) is for the following
special education pupils:
(a) Pupils assigned to a district or intermediate district
through the community placement program of the courts or a state
agency, if the pupil was a resident of another intermediate
district at the time the pupil came under the jurisdiction of the
court or a state agency.
(b) Pupils who are residents of institutions operated by the
department of community health.
(c) Pupils who are former residents of department of community
health institutions for the developmentally disabled who are placed
in community settings other than the pupil's home.
(d) Pupils enrolled in a department-approved on-grounds
educational program longer than 180 days, but not longer than 233
days, at a residential child care institution, if the child care
institution offered in 1991-92 an on-grounds educational program
longer than 180 days but not longer than 233 days.
(e) Pupils placed in a district by a parent for the purpose of
seeking a suitable home, if the parent does not reside in the same
intermediate district as the district in which the pupil is placed.
(3) Only those costs that are clearly and directly
attributable to educational programs for pupils described in
subsection (2), and that would not have been incurred if the pupils
were not being educated in a district or intermediate district, are
reimbursable under this section.
(4) The costs of transportation shall be funded under this
section and shall not be reimbursed under section 58.
(5)
Not more than $13,500,000.00 of the allocation for 2010-
2011
2011-2012 in section 51a(1) shall be allocated under this
section.
Sec. 54. Each intermediate district shall receive an amount
per pupil for each pupil in attendance at the Michigan schools for
the deaf and blind. The amount shall be proportionate to the total
instructional cost at each school. Not more than $1,688,000.00 of
the
allocation for 2010-2011 2011-2012
in section 51a(1) shall be
allocated under this section.
Sec. 56. (1) For the purposes of this section:
(a) "Membership" means for a particular fiscal year the total
membership for the immediately preceding fiscal year of the
intermediate district and the districts constituent to the
intermediate district.
(b) "Millage levied" means the millage levied for special
education pursuant to part 30 of the revised school code, MCL
380.1711 to 380.1743, including a levy for debt service
obligations.
(c) "Taxable value" means the total taxable value of the
districts constituent to an intermediate district, except that if a
district has elected not to come under part 30 of the revised
school code, MCL 380.1711 to 380.1743, membership and taxable value
of the district shall not be included in the membership and taxable
value of the intermediate district.
(2) From the allocation under section 51a(1), there is
allocated
an amount not to exceed $39,281,100.00 for 2009-2010 and
an
amount not to exceed $36,881,100.00 for 2010-2011 2011-2012 to
reimburse intermediate districts levying millages for special
education pursuant to part 30 of the revised school code, MCL
380.1711 to 380.1743. The purpose, use, and expenditure of the
reimbursement shall be limited as if the funds were generated by
these millages and governed by the intermediate district plan
adopted pursuant to article 3 of the revised school code, MCL
380.1701 to 380.1766. As a condition of receiving funds under this
section, an intermediate district distributing any portion of
special education millage funds to its constituent districts shall
submit for departmental approval and implement a distribution plan.
(3)
Reimbursement for those millages levied in 2008-2009 2010-
2011
shall be made in 2009-2010 2011-2012 at an amount per 2008-
2009
2010-2011 membership pupil computed by subtracting from
$180,600.00
$174,700.00 the 2008-2009 2010-2011 taxable value
behind each membership pupil and multiplying the resulting
difference
by the 2008-2009 2010-2011
millage levied. Reimbursement
for
those millages levied in 2009-2010 shall be made in 2010-2011
at
an amount per 2009-2010 membership pupil computed by subtracting
from
$181,700.00 the 2009-2010 taxable value behind each membership
pupil
and multiplying the resulting difference by the 2009-2010
millage
levied.
Article 6
Sec. 61a. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $26,611,300.00 for 2010-2011
2011-2012 to reimburse on an added cost basis districts, except for
a district that served as the fiscal agent for a vocational
education consortium in the 1993-94 school year, and secondary area
vocational-technical education centers for secondary-level career
and technical education programs according to rules approved by the
superintendent. Applications for participation in the programs
shall be submitted in the form prescribed by the department. The
department shall determine the added cost for each career and
technical education program area. The allocation of added cost
funds shall be based on the type of career and technical education
programs provided, the number of pupils enrolled, and the length of
the training period provided, and shall not exceed 75% of the added
cost of any program. With the approval of the department, the board
of a district maintaining a secondary career and technical
education program may offer the program for the period from the
close of the school year until September 1. The program shall use
existing facilities and shall be operated as prescribed by rules
promulgated by the superintendent.
(2) Except for a district that served as the fiscal agent for
a vocational education consortium in the 1993-94 school year,
districts and intermediate districts shall be reimbursed for local
career and technical education administration, shared time career
and technical education administration, and career education
planning district career and technical education administration.
The definition of what constitutes administration and reimbursement
shall be pursuant to guidelines adopted by the superintendent. Not
more than $800,000.00 of the allocation in subsection (1) shall be
distributed under this subsection.
Sec. 62. (1) For the purposes of this section:
(a) "Membership" means for a particular fiscal year the total
membership for the immediately preceding fiscal year of the
intermediate district and the districts constituent to the
intermediate district or the total membership for the immediately
preceding fiscal year of the area vocational-technical program.
(b) "Millage levied" means the millage levied for area
vocational-technical education pursuant to sections 681 to 690 of
the revised school code, MCL 380.681 to 380.690, including a levy
for debt service obligations incurred as the result of borrowing
for capital outlay projects and in meeting capital projects fund
requirements of area vocational-technical education.
(c) "Taxable value" means the total taxable value of the
districts constituent to an intermediate district or area
vocational-technical education program, except that if a district
has elected not to come under sections 681 to 690 of the revised
school code, MCL 380.681 to 380.690, the membership and taxable
value of that district shall not be included in the membership and
taxable value of the intermediate district. However, the membership
and taxable value of a district that has elected not to come under
sections 681 to 690 of the revised school code, MCL 380.681 to
380.690, shall be included in the membership and taxable value of
the intermediate district if the district meets both of the
following:
(i) The district operates the area vocational-technical
education program pursuant to a contract with the intermediate
district.
(ii) The district contributes an annual amount to the operation
of the program that is commensurate with the revenue that would
have been raised for operation of the program if millage were
levied in the district for the program under sections 681 to 690 of
the revised school code, MCL 380.681 to 380.690.
(2) From the appropriation in section 11, there is allocated
an
amount not to exceed $9,000,000.00 each fiscal year for 2009-
2010
and for 2010-2011 2011-2012 to reimburse intermediate
districts and area vocational-technical education programs
established under section 690(3) of the revised school code, MCL
380.690, levying millages for area vocational-technical education
pursuant to sections 681 to 690 of the revised school code, MCL
380.681 to 380.690. The purpose, use, and expenditure of the
reimbursement shall be limited as if the funds were generated by
those millages.
(3)
Reimbursement for the millages levied in 2008-2009 2010-
2011
shall be made in 2009-2010 2011-2012 at an amount per 2008-
2009
2010-2011 membership pupil computed by subtracting from
$191,000.00
$190,400.00 the 2008-2009 2010-2011 taxable value
behind each membership pupil and multiplying the resulting
difference
by the 2008-2009 2010-2011
millage levied. Reimbursement
for
the millages levied in 2009-2010 shall be made in 2010-2011 at
an
amount per 2009-2010 membership pupil computed by subtracting
from
$194,700.00 the 2009-2010 taxable value behind each membership
pupil
and multiplying the resulting difference by the 2009-2010
millage
levied.
Article 7
Sec.
74. (1) From the amount appropriated in section 11, there
is
allocated an amount not to exceed $3,028,500.00 for 2009-2010
and
there is allocated an amount not to
exceed $2,058,800.00
$2,558,800.00 for 2010-2011 and an amount not to exceed
$3,154,600.00 for 2011-2012 for the purposes of this section.
(2) From the allocation in subsection (1), there is allocated
for each fiscal year the amount necessary for payments to state
supported colleges or universities and intermediate districts
providing school bus driver safety instruction pursuant to section
51 of the pupil transportation act, 1990 PA 187, MCL 257.1851. The
payments shall be in an amount determined by the department not to
exceed 75% of the actual cost of instruction and driver
compensation for each public or nonpublic school bus driver
attending a course of instruction. For the purpose of computing
compensation, the hourly rate allowed each school bus driver shall
not exceed the hourly rate received for driving a school bus.
Reimbursement compensating the driver during the course of
instruction shall be made by the department to the college or
university or intermediate district providing the course of
instruction.
(3) From the allocation in subsection (1), there is allocated
each fiscal year the amount necessary to pay the reasonable costs
of nonspecial education auxiliary services transportation provided
pursuant to section 1323 of the revised school code, MCL 380.1323.
Districts funded under this subsection shall not receive funding
under
any other section of this act article
for nonspecial
education auxiliary services transportation.
(4) From the funds allocated in subsection (1), there is
allocated
an amount not to exceed $1,403,500.00 for 2009-2010 and
an
amount not to exceed $433,800.00 $933,800.00 for 2010-2011 and
an amount not to exceed $1,529,600.00 for 2011-2012 for
reimbursement to districts and intermediate districts for costs
associated with the inspection of school buses and pupil
transportation vehicles by the department of state police as
required under section 715a of the Michigan vehicle code, 1949 PA
300, MCL 257.715a, and section 39 of the pupil transportation act,
1990 PA 187, MCL 257.1839. The department of state police shall
prepare a statement of costs attributable to each district for
which bus inspections are provided and submit it to the department
and to each affected district in a time and manner determined
jointly by the department and the department of state police. The
department shall reimburse each district and intermediate district
for costs detailed on the statement within 30 days after receipt of
the statement. Districts for which services are provided shall make
payment in the amount specified on the statement to the department
of state police within 45 days after receipt of the statement. The
total reimbursement of costs under this subsection shall not exceed
the amount allocated under this subsection. Notwithstanding section
17b, payments to eligible entities under this subsection shall be
paid on a schedule prescribed by the department.
Article 8
Sec. 81. (1) Except as otherwise provided in this section,
from
the appropriation in section 11, there is allocated for 2010-
2011
2011-2012 to the intermediate districts the sum necessary, but
not
to exceed $65,376,800.00 $62,108,000.00, to provide state aid
to intermediate districts under this section. Except as otherwise
provided in this section, there shall be allocated to each
intermediate
district for 2010-2011 2011-2012
an amount equal to
80%
95% of the amount allocated under this subsection for 2008-
2009.
2010-2011. Funding provided under this section shall be used
to
comply with requirements of this act article and the revised
school code that are applicable to intermediate districts, and for
which
funding is not provided elsewhere in this act, article, and
to provide technical assistance to districts as authorized by the
intermediate school board.
(2) Intermediate districts receiving funds under this section
shall collaborate with the department to develop expanded
professional development opportunities for teachers to update and
expand their knowledge and skills needed to support the Michigan
merit curriculum.
(3) From the allocation in subsection (1), there is allocated
to an intermediate district, formed by the consolidation or
annexation of 2 or more intermediate districts or the attachment of
a total intermediate district to another intermediate school
district or the annexation of all of the constituent K-12 districts
of a previously existing intermediate school district which has
disorganized, an additional allotment of $3,500.00 each fiscal year
for each intermediate district included in the new intermediate
district for 3 years following consolidation, annexation, or
attachment.
(4) During a fiscal year, the department shall not increase an
intermediate district's allocation under subsection (1) because of
an adjustment made by the department during the fiscal year in the
intermediate district's taxable value for a prior year. Instead,
the department shall report the adjustment and the estimated amount
of the increase to the house and senate fiscal agencies and the
state budget director not later than June 1 of the fiscal year, and
the legislature shall appropriate money for the adjustment in the
next succeeding fiscal year.
(5) In order to receive funding under this section, an
intermediate district shall do all of the following:
(a) Demonstrate to the satisfaction of the department that the
intermediate district employs at least 1 person who is trained in
pupil counting procedures, rules, and regulations.
(b) Demonstrate to the satisfaction of the department that the
intermediate district employs at least 1 person who is trained in
rules, regulations, and district reporting procedures for the
individual-level student data that serves as the basis for the
calculation of the district and high school graduation and dropout
rates.
(c) Comply with sections 1278a and 1278b of the revised school
code, MCL 380.1278a and 380.1278b.
(d) 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.
(e) Comply with section 1230g of the revised school code, MCL
380.1230g.
(f) Comply with section 761 of the revised school code, MCL
380.761.
(6)
If the amount of the allocation to intermediate districts
under
subsection (1) is reduced in a fiscal year after 2010-2011
from
the amount of that allocation for 2010-2011, that reduced
allocation
shall not result in an intermediate district's
allocation
being less than the funding actually received by or paid
on
behalf of the intermediate district for the 1994-95 fiscal year
under
former section 146a(1) and section 147(1), as those sections
were
in effect for the 1994-95 fiscal year.
Article 9
Sec. 93. From the general fund money appropriated in section
11,
there is allocated for 2010-2011 2011-2012 an amount not to
exceed
$1,500,000.00 $1,304,300.00
to the library of Michigan
for
state aid to libraries payments to help support the provision of
the Michigan electronic library in public schools and public
libraries. The library of Michigan shall distribute the payments to
libraries
under this section in an amount equal to 25.0% of the
allocation
each library received under the state aid to libraries
appropriation
enacted under 2009 PA 115.pursuant
to the state aid
to public libraries act, 1977 PA 89, MCL 397.551 to 397.576.
Sec. 94a. (1) There is created within the state budget office
in the department of technology, management, and budget the center
for educational performance and information. The center shall do
all of the following:
(a) Coordinate the collection of all data required by state
and federal law from districts, intermediate districts, and
postsecondary institutions.
(b) Create, maintain, and enhance this state's statewide
longitudinal data system and ensure that it meets the requirements
of
subsection (6).(4).
(c) Collect data in the most efficient manner possible in
order to reduce the administrative burden on reporting entities,
including, but not limited to, electronic transcript services.
(d) Create, maintain, and enhance this state's web-based
educational portal to provide information to school leaders,
teachers, researchers, and the public in compliance with all
federal and state privacy laws. Data shall include, but are not
limited to, all of the following:
(i) Data sets that link teachers to student information,
allowing districts to assess individual teacher impact on student
performance and consider student growth factors in teacher and
principal evaluation systems.
(ii) Data access or, if practical, data sets, provided for
regional data warehouses that, in combination with local data, can
improve teaching and learning in the classroom.
(iii) Research-ready data sets for researchers to perform
research that advances this state's educational performance.
(e) Provide data in a useful manner to allow state and local
policymakers to make informed policy decisions.
(f) Provide public reports to the citizens of this state to
allow them to assess allocation of resources and the return on
their investment in the education system of this state.
(g) Other functions as assigned by the state budget director.
(2) Each state department, officer, or agency that collects
information from districts, intermediate districts, or
postsecondary institutions as required under state or federal law
shall make arrangements with the center to ensure that the state
department, officer, or agency is in compliance with subsection
(1). This subsection does not apply to information collected by the
department of treasury under the uniform budgeting and accounting
act, 1968 PA 2, MCL 141.421 to 141.440a; the revised municipal
finance act, 2001 PA 34, MCL 141.2101 to 141.2821; the school bond
qualification, approval, and loan act, 2005 PA 92, MCL 388.1921 to
388.1939; or section 1351a of the revised school code, MCL
380.1351a.
(3)
The state budget director shall appoint a CEPI advisory
committee
to provide advice to the director. The CEPI advisory
committee
shall consist of the following members:
(a)
One representative from the house fiscal agency.
(b)
One representative from the senate fiscal agency.
(c)
One representative from the state budget office.
(d)
One representative from the state education agency.
(e)
One representative each from the department of energy,
labor,
and economic growth and the department of treasury.
(f)
Three representatives from intermediate school districts.
(g)
One representative from each of the following educational
organizations:
(i) Michigan association of school boards.
(ii) Michigan association of school administrators.
(iii) Michigan school business officials.
(h)
One representative representing private sector firms
responsible
for auditing school records.
(i)
Other representatives as the state budget director
determines
are necessary.
(4)
The CEPI advisory committee appointed under subsection (3)
shall
provide advice to the director of the center regarding the
management
of the center's data collection activities, including,
but
not limited to:
(a)
Determining what data is necessary to collect and maintain
in
order to perform the center's functions in the most efficient
manner
possible.
(b)
Defining the roles of all stakeholders in the data
collection
system.
(c)
Recommending timelines for the implementation and ongoing
collection
of data.
(d)
Establishing and maintaining data definitions, data
transmission
protocols, and system specifications and procedures
for
the efficient and accurate transmission and collection of data.
(e)
Establishing and maintaining a process for ensuring the
reasonable
accuracy of the data.
(f)
Establishing and maintaining state and model local
policies
related to data collection, including, but not limited to,
privacy
policies related to individual student data. These privacy
policies
shall ensure that a student's social security number is
not
released to the public for any purpose.
(g)
Working with stakeholders to develop a state research
agenda.
(h)
Other matters as determined by the state budget director
or
the director of the center.
(3) (5)
The center may enter into any
interlocal agreements
necessary to fulfill its functions.
(4) (6)
The center shall ensure that the
statewide
longitudinal data system required under subsection (1)(b) meets all
of the following:
(a) Includes data at the individual student level from
preschool through postsecondary education and into the workforce.
(b) Supports interoperability by using standard data
structures, data formats, and data definitions to ensure linkage
and connectivity in a manner that facilitates the exchange of data
among agencies and institutions within the state and between
states.
(c) Enables the matching of individual teacher and student
records so that an individual student may be matched with those
teachers providing instruction to that student.
(d) Enables the matching of individual teachers with
information about their certification and the institutions that
prepared and recommended those teachers for state certification.
(e) Enables data to be easily generated for continuous
improvement and decision-making, including timely reporting to
parents, teachers, and school leaders on student achievement.
(f) Ensures the reasonable quality, validity, and reliability
of data contained in the system.
(g) Provides this state with the ability to meet federal and
state reporting requirements.
(h) For data elements related to preschool through grade 12
and postsecondary, meets all of the following:
(i) Contains a unique statewide student identifier that does
not permit a student to be individually identified by users of the
system, except as allowed by federal and state law.
(ii) Contains student-level enrollment, demographic, and
program participation information.
(iii) Contains student-level information about the points at
which students exit, transfer in, transfer out, drop out, or
complete education programs.
(iv) Has the capacity to communicate with higher education data
systems.
(i) For data elements related to preschool through grade 12
only, meets all of the following:
(i) Contains yearly test records of individual students for
assessments approved by DED-OESE for accountability purposes under
section 1111(b) of the elementary and secondary education act of
1965, 20 USC 6311, including information on individual students not
tested, by grade and subject.
(ii) Contains student-level transcript information, including
information on courses completed and grades earned.
(iii) Contains student-level college readiness test scores.
(j) For data elements related to postsecondary education only:
(i) Contains data that provide information regarding the extent
to which individual students transition successfully from secondary
school to postsecondary education, including, but not limited to,
all of the following:
(A) Enrollment in remedial coursework.
(B) Completion of 1 year's worth of college credit applicable
to a degree within 2 years of enrollment.
(ii) Contains data that provide other information determined
necessary to address alignment and adequate preparation for success
in postsecondary education.
(5) (7)
From the general fund appropriation
in section 11,
there
is allocated an amount not to exceed $3,621,100.00
$5,501,700.00
for 2010-2011 2011-2012 to the department of
technology, management, and budget to support the operations of the
center. In addition, from the federal funds appropriated in section
11
there is allocated for 2010-2011 2011-2012 the amount
necessary,
estimated
at $10,067,800.00 for 2010-2011, $2,893,200.00, to
support the operations of the center and to establish a
longitudinal data system as provided under this section in
compliance with the assurance provided to the United States
department of education in order to receive state fiscal
stabilization funds. The center shall cooperate with the state
education agency to ensure that this state is in compliance with
federal law and is maximizing opportunities for increased federal
funding to improve education in this state.
(6) (8)
From the federal funds allocated in
subsection (7),
(5),
there is allocated for 2010-2011 2011-2012 an amount not to
exceed $850,000.00 funded from the competitive grants of DED-OESE,
title II, educational technology funds for the purposes of this
subsection. Not later than November 30 of each fiscal year, the
department shall award a single grant to an eligible partnership
that includes an intermediate district with at least 1 high-need
local school district and the center.
(9)
In addition to the amount allocated under subsection (7)
there
is also allocated from the general fund money appropriated in
section
11 for 2010-2011 an additional amount not to exceed
$1,800,000.00
for the purpose of establishing a longitudinal data
system
as provided under this section in compliance with the
assurance
provided to the federal department of education in order
to
receive state fiscal stabilization funds. In addition, there is
allocated
for 2010-2011 from the state school aid fund money
appropriated
under section 11 an amount not to exceed $8,440,000.00
to
support the efforts of districts to match individual teacher and
student
records. The funds shall be distributed to districts in an
amount
and manner determined by the center.
(7) (10)
From the federal funds allocated in
subsection (7),
(5),
there is allocated for 2010-2011 2011-2012 an amount not to
exceed $242,000.00 to support the efforts of postsecondary
institutions to comply with the requirements of this state's
statewide longitudinal data system. The funds shall be distributed
to postsecondary institutions in an amount and manner determined by
the center.
(8) (11)
The center and the department shall
work
cooperatively to develop a cost allocation plan that pays for
center expenses from the appropriate federal fund and state
restricted fund revenues.
(9) (12)
Funds allocated under this section
that are not
expended in the fiscal year in which they were allocated may be
carried forward to a subsequent fiscal year and are appropriated
for the purposes for which the funds were originally allocated.
(10) (13)
The center may bill departments as
necessary in
order to fulfill reporting requirements of state and federal law.
The center may also enter into agreements to supply custom data,
analysis, and reporting to other principal executive departments,
state agencies, local units of government, and other individuals
and organizations. The center may receive and expend funds in
addition
to those authorized in subsection (7) (5) to cover the
costs associated with salaries, benefits, supplies, materials, and
equipment necessary to provide such data, analysis, and reporting
services.
(11) (14)
As used in this section:
(a) "DED-OESE" means the United States department of education
office of elementary and secondary education.
(b) "High-need local school district" means a local
educational agency as defined in the enhancing education through
technology part of the no child left behind act of 2001, Public Law
107-110.
(c) "State education agency" means the department.
Sec. 98. (1) From the general fund money appropriated in
section 11, there is allocated an amount not to exceed
$1,687,500.00
for 2010-2011 2011-2012 to provide a grant to the
Michigan virtual university for the development, implementation,
and operation of the Michigan virtual high school; to provide
professional development opportunities for educators; and to fund
other purposes described in this section. In addition, from the
federal funds appropriated in section 11, there is allocated for
2010-2011
2011-2012 an amount estimated at $2,700,000.00.
(2) The Michigan virtual high school shall have the following
goals:
(a) Significantly expand curricular offerings for high schools
across this state through agreements with districts or licenses
from other recognized providers.
(b) Create statewide instructional models using interactive
multimedia tools delivered by electronic means, including, but not
limited to, the internet, digital broadcast, or satellite network,
for distributed learning at the high school level.
(c) Provide pupils with opportunities to develop skills and
competencies through online learning.
(d) Grant high school diplomas through a dual enrollment
method with districts.
(e) Act as a broker for college level equivalent courses, as
defined in section 1471 of the revised school code, MCL 380.1471,
and dual enrollment courses from postsecondary education
institutions.
(f) Maintain the accreditation status of the Michigan virtual
high school from recognized national and international accrediting
entities.
(3) The Michigan virtual high school course offerings shall
include, but are not limited to, all of the following:
(a) Information technology courses.
(b) College level equivalent courses, as defined in section
1471 of the revised school code, MCL 380.1471.
(c) Courses and dual enrollment opportunities.
(d) Programs and services for at-risk pupils.
(e) General education development test preparation courses for
adjudicated youth.
(f) Special interest courses.
(g) Professional development programs that teach Michigan
educators how to develop and deliver online instructional services.
(4) From the federal funds allocated in subsection (1), there
is
allocated for 2010-2011 2011-2012
an amount estimated at
$1,700,000.00 from DED-OESE, title II, improving teacher quality
funds for a grant to the Michigan virtual university for the
purpose of this subsection. With the approval of the department,
the Michigan virtual university shall coordinate the following
activities related to DED-OESE, title II, improving teacher quality
funds in accordance with federal law:
(a) Develop, and assist districts in the development and use
of, proven, innovative strategies to deliver intensive professional
development programs that are both cost-effective and easily
accessible, such as strategies that involve delivery through the
use of technology, peer networks, and distance learning.
(b) Encourage and support the training of teachers and
administrators to effectively integrate technology into curricula
and instruction.
(c) Coordinate the activities of eligible partnerships that
include higher education institutions for the purposes of providing
professional development activities for teachers,
paraprofessionals, and principals as defined in federal law.
(d) Offer teachers opportunities to learn new skills and
strategies for developing and delivering instructional services.
(e) Provide online professional development opportunities for
educators to update and expand knowledge and skills needed to
support the Michigan merit curriculum core content standards and
credit requirements.
(5) The Michigan virtual university shall offer at least 200
hours of online professional development for classroom teachers
under this section each fiscal year beginning in 2006-2007 without
charge to the teachers or to districts or intermediate districts.
(6) From the federal funds appropriated in subsection (1),
there
is allocated for 2010-2011 2011-2012
an amount estimated at
$1,000,000.00 from the DED-OESE, title II, educational technology
grant funds to support e-learning and virtual school initiatives
consistent with the goals contained in the United States national
educational technology plan issued in January 2005. These funds
shall be used to support activities designed to build the capacity
of the Michigan virtual university and shall not be used to
supplant other funding. Not later than November 30, 2010, from the
funds allocated in this subsection, the department shall award a
single grant of $1,000,000.00 to a consortium or partnership
established by the Michigan virtual university that meets the
requirements of this subsection. To be eligible for this funding, a
consortium or partnership established by the Michigan virtual
university shall include at least 1 intermediate district and at
least 1 high-need local district. All of the following apply to
this funding:
(a) An eligible consortium or partnership must demonstrate the
following:
(i) Prior success in delivering online courses and
instructional services to K-12 pupils throughout this state.
(ii) Expertise in designing, developing, and evaluating online
K-12 course content.
(iii) Experience in maintaining a statewide help desk service
for pupils, online teachers, and other school personnel.
(iv) Knowledge and experience in providing technical assistance
and support to K-12 schools in the area of online education.
(v) Experience in training and supporting K-12 educators in
this state to teach online courses.
(vi) Demonstrated technical expertise and capacity in managing
complex technology systems.
(vii) Experience promoting twenty-first century learning skills
through the use of online technologies.
(b) The Michigan virtual university, which operates the
Michigan virtual high school, shall perform the following tasks
related to this funding:
(i) Strengthen its capacity by pursuing activities, policies,
and practices that increase the overall number of Michigan virtual
high school course enrollments and course completions by at-risk
students.
(ii) Examine the curricular and specific course content needs
of middle and high school students in the areas of mathematics and
science.
(iii) Design, develop, and acquire online courses and related
supplemental resources aligned to state standards to create a
comprehensive and rigorous statewide catalog of online courses and
instructional services.
(iv) Continue to evaluate and conduct pilot programs for new
and innovative online tools, resources, and courses.
(v) Evaluate existing online teaching and learning practices
and develop continuous improvement strategies to enhance student
achievement.
(vi) Develop, support, and maintain the technology
infrastructure and related software required to deliver online
courses and instructional services to students statewide.
(7) If a home-schooled or nonpublic school student is a
resident of a district that subscribes to services provided by the
Michigan virtual high school, the student may use the services
provided by the Michigan virtual high school to the district
without charge to the student beyond what is charged to a district
pupil using the same services.
(8)
Not later than December 1 , 2010, of
each fiscal year, the
Michigan virtual university shall provide a report to the house and
senate appropriations subcommittees on state school aid, the state
budget director, the house and senate fiscal agencies, and the
department that includes at least all of the following information
related to the Michigan virtual high school for the preceding state
fiscal year:
(a) A list of the Michigan schools served by the Michigan
virtual high school.
(b) A list of online course titles available to Michigan
schools.
(c) The total number of online course enrollments and
information on registrations and completions by course.
(d) The overall course completion rate percentage.
(e) A summary of DED-OESE, title IIA, teacher quality grant
and DED-OESE, title IID, education technology grant expenditures.
(f) Identification of unmet educational needs that could be
addressed by the Michigan virtual high school.
(9) As used in this section:
(a) "DED-OESE" means the United States department of education
office of elementary and secondary education.
(b) "High-need local district" means a local educational
agency as defined in the enhancing education through technology
part of the no child left behind act of 2001, Public Law 107-110.
(c) "State education agency" means the department.
Sec. 99. (1) From the state school aid fund money appropriated
in section 11, there is allocated an amount not to exceed
$2,515,000.00
for 2010-2011 2011-2012 and from the general fund
appropriation in section 11, there is allocated an amount not to
exceed
$110,000.00 for 2010-2011 2011-2012
to support the
activities and programs of mathematics and science centers and for
other purposes as described in this section. In addition, from the
federal funds appropriated in section 11, there is allocated for
2010-2011
2011-2012 an amount estimated at $5,249,300.00 from DED-
OESE, title II, mathematics and science partnership grants.
(2) Within a service area designated locally, approved by the
department, and consistent with the comprehensive master plan for
mathematics and science centers developed by the department and
approved by the state board, an established mathematics and science
center shall provide 2 or more of the following 6 basic services,
as described in the master plan, to constituent districts and
communities: leadership, pupil services, curriculum support,
community involvement, professional development, and resource
clearinghouse services.
(3) The department shall not award a state grant under this
section to more than 1 mathematics and science center located in a
designated region as prescribed in the 2007 master plan unless each
of the grants serves a distinct target population or provides a
service that does not duplicate another program in the designated
region.
(4) As part of the technical assistance process, the
department shall provide minimum standard guidelines that may be
used by the mathematics and science center for providing fair
access for qualified pupils and professional staff as prescribed in
this section.
(5) Allocations under this section to support the activities
and programs of mathematics and science centers shall be continuing
support grants to all 33 established mathematics and science
centers. Each established mathematics and science center that was
funded
in 2009-2010 the
immediately preceding fiscal year shall
receive state funding in an amount equal to 100% of the amount it
was
allocated under this subsection for 2009-2010. the immediately
preceding fiscal year. If a center declines state funding or a
center closes, the remaining money available under this section
shall be distributed to the remaining centers, as determined by the
department.
(6) From the funds allocated in subsection (1), there is
allocated
for 2010-2011 2011-2012 an amount not to exceed
$750,000.00 in a form and manner determined by the department to
those centers able to provide curriculum and professional
development support to assist districts in implementing the
Michigan merit curriculum components for mathematics and science.
Funding under this subsection is in addition to funding allocated
under subsection (5).
(7) In order to receive state or federal funds under this
section, a grant recipient shall allow access for the department or
the department's designee to audit all records related to the
program for which it receives such funds. The grant recipient shall
reimburse the state for all disallowances found in the audit.
(8) Not later than September 30, 2013, the department shall
reevaluate and update the comprehensive master plan described in
subsection (1).
(9) The department shall give preference in awarding the
federal grants allocated in subsection (1) to eligible existing
mathematics and science centers.
(10) In order to receive state funds under this section, a
grant recipient shall provide at least a 10% local match from local
public or private resources for the funds received under this
section.
(11) Not later than July 1 of each year, a mathematics and
science center that receives funds under this section shall report
to the department in a form and manner prescribed by the department
on the following performance measures:
(a) Statistical change in pre- and post-assessment scores for
students who enrolled in mathematics and science activities
provided to districts by the mathematics and science center.
(b) Statistical change in pre- and post-assessment scores for
teachers who enrolled in professional development activities
provided by the mathematics and science center.
(12) (11)
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.
Article 10
Sec.
104. (1) In order to receive state aid under this act,
article, a district shall comply with sections 1249, 1278a, 1278b,
1279, 1279g, and 1280b of the revised school code, MCL 380.1249,
380.1278a, 380.1278b, 380.1279, 380.1279g, and 380.1280b, and 1970
PA 38, MCL 388.1081 to 388.1086. Subject to subsection (2), from
the state school aid fund money appropriated in section 11, there
is
allocated for 2010-2011 2011-2012
an amount not to exceed
$40,194,400.00
$35,194,400.00 for payments on behalf of districts
for costs associated with complying with those provisions of law.
In addition, from the federal funds appropriated in section 11,
there
is allocated for 2010-2011 2011-2012
an amount estimated at
$3,250,000.00
$8,250,000.00, funded from DED-OSERS, section 504 of
part B of the individuals with disabilities education act, Public
Law 94-142, plus any carryover federal funds from previous year
appropriations, for the purposes of complying with the federal no
child left behind act of 2001, Public Law 107-110.
(2) The results of each test administered as part of the
Michigan educational assessment program, including tests
administered to high school students, shall include an item
analysis that lists all items that are counted for individual pupil
scores and the percentage of pupils choosing each possible
response.
(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.
(4) Notwithstanding section 17b, payments on behalf of
districts, intermediate districts, and other eligible entities
under this section shall be paid on a schedule determined by the
department.
(5) As used in this section:
(a) "DED" means the United States department of education.
(b) "DED-OSERS" means the DED office of special education and
rehabilitative services.
Sec. 107. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $22,000,000.00 for 2010-2011
2011-2012 for adult education programs authorized under this
section.
Funds appropriated allocated
under this section are
restricted for adult education programs as authorized under this
section only. A recipient of funds under this section shall not use
those funds for any other purpose.
(2) To be eligible for funding under this section, a program
shall employ certificated teachers and qualified administrative
staff and shall offer continuing education opportunities for
teachers to allow them to maintain certification.
(3) To be eligible to be a participant funded under this
section, a person shall be enrolled in an adult basic education
program, an adult English as a second language program, a general
educational development (G.E.D.) test preparation program, a job or
employment related program, or a high school completion program,
that meets the requirements of this section, and shall meet either
of the following, as applicable:
(a) If the individual has obtained a high school diploma or a
general educational development (G.E.D.) certificate, the
individual meets 1 of the following:
(i) Is less than 20 years of age on September 1 of the school
year and is enrolled in the Michigan career and technical
institute.
(ii) Is less than 20 years of age on September 1 of the school
year, is not attending an institution of higher education, and is
enrolled in a job or employment-related program through a referral
by an employer.
(iii) Is enrolled in an English as a second language program.
(iv) Is enrolled in a high school completion program.
(b) If the individual has not obtained a high school diploma
or G.E.D. certificate, the individual meets 1 of the following:
(i) Is at least 20 years of age on September 1 of the school
year.
(ii) Is at least 16 years of age on September 1 of the school
year, has been permanently expelled from school under section
1311(2) or 1311a of the revised school code, MCL 380.1311 and
380.1311a, and has no appropriate alternative education program
available through his or her district of residence.
(4)
Except as otherwise provided in subsection (5), from the
amount
allocated under subsection (1), at least $21,800,000.00 the
money allocated under this section shall be distributed as follows:
(a) For districts and consortia that received payments for
2009-2010
2010-2011 under this section, the amount allocated to
each
for 2010-2011 2011-2012 shall be based on the number of
participants
served by the district or consortium for 2010-2011,
2011-2012, using the amount allocated per full-time equated
participant under subsection (7), up to a maximum total allocation
under
this subsection in an amount equal to 100% 100.9% of
the
amount
the district or consortium received for 2009-2010 2010-2011
under
this section before any reallocations made for 2009-2010
2010-2011 under subsection (5).
(b)
A district or consortium that received funding in 2009-
2010
2010-2011 under this section may operate independently of a
consortium
or join or form a consortium for 2010-2011. 2011-2012.
The
allocation for 2010-2011 2011-2012
to the district or the newly
formed consortium under this subsection shall be determined by the
department and shall be based on the proportion of the amounts that
are attributable to the district or consortium that received
funding
in 2009-2010. 2010-2011. A district or consortium described
in this subdivision shall notify the department of its intention
with
regard to 2010-2011 2011-2012
by October 1, 2010. 2011.
(c) If a district had a declaration of financial emergency in
place under the local government fiscal responsibility act, 1990 PA
72, MCL 141.1201 to 141.1291, and that declaration was revoked
during 2005, the district may operate a program under this section
independently of a consortium or may join or form a consortium to
operate
a program under this section. The allocation for 2010-2011
2011-2012 to the district or the newly formed consortium under this
subsection shall be determined by the department and shall be based
on the proportion of the amounts that are attributable to the
district
or consortium that received funding in 2009-2010 2010-2011
or, for a district for which a declaration of financial emergency
was revoked during 2005, based on the amount the district received
under this section using a 3-year average of the 3 most recent
fiscal years the district received funding under this section. A
district or consortium described in this subdivision shall notify
the
department of its intention with regard to 2010-2011 2011-2012
by
October 1, 2010. 2011.
(5) A district that operated an adult education program in
2009-2010
2010-2011 and does not intend to operate a program in
2010-2011
2011-2012 shall notify the department by October 1, 2010
2011 of its intention. The money intended to be allocated under
this
section to a district that does not operate a program in 2010-
2011
2011-2012 and the unspent money originally allocated under
this section to a district or consortium that subsequently operates
a program at less than the level of funding allocated under
subsection (4) and any other unallocated money under this section
shall instead be proportionately reallocated to the other districts
described in subsection (4)(a) that are operating an adult
education
program in 2010-2011 2011-2012
under this section.
(6)
From the amount allocated under subsection (1), up to a
maximum
of $200,000.00 shall be allocated for not more than 1 grant
not
to exceed $200,000.00 for expansion of an existing innovative
community
college program that focuses on educating adults. Grants
may
be used for program operating expenses such as staffing, rent,
equipment,
and other expenses. To be eligible for this grant
funding,
a program must meet the following criteria:
(a)
Collaborates with local districts and businesses to
determine
area academic needs and to promote the learning
opportunities.
(b)
Is located off-campus in an urban residential setting with
documented
high poverty and low high school graduation rates.
(c)
Provides general educational development (G.E.D.) test
preparation
courses and workshops.
(d)
Provides developmental courses taught by college faculty
that
prepare students to be successful in college-level courses.
(e)
Uses learning communities to allow for shared, rather than
isolated,
learning experiences.
(f)
Provides on-site tutoring.
(g)
Provides access to up-to-date technology, including
personal
computers.
(h)
Partners with a financial institution to provide financial
literacy
education.
(i)
Assists students in gaining access to financial aid.
(j)
Provides on-site academic advising to students.
(k)
Provides vouchers for reduced G.E.D. testing costs.
(l) Partners with local agencies to provide referrals
for
social
services as needed.
(m)
Enrolls participants as students of the community college.
(n)
Partners with philanthropic and business entities to
provide
capital funding.
(6) (7)
The amount allocated under this
section per full-time
equated participant is $2,850.00 for a 450-hour program. The amount
shall be proportionately reduced for a program offering less than
450 hours of instruction.
(7) (8)
An adult basic education program or
an adult English
as a second language program operated on a year-round or school
year basis may be funded under this section, subject to all of the
following:
(a) The program enrolls adults who are determined by a
department-approved assessment, in a form and manner prescribed by
the department, to be below ninth grade level in reading or
mathematics, or both, or to lack basic English proficiency.
(b) The program tests individuals for eligibility under
subdivision (a) before enrollment and upon completion of the
program in compliance with the state-approved assessment policy.
(c) A participant in an adult basic education program is
eligible for reimbursement until 1 of the following occurs:
(i) The participant's reading and mathematics proficiency are
assessed at or above the ninth grade level.
(ii) The participant fails to show progress on 2 successive
assessments after having completed at least 450 hours of
instruction.
(d) A funding recipient enrolling a participant in an English
as a second language program is eligible for funding according to
subsection
(12) (11) until the participant meets 1 of the
following:
(i) The participant is assessed as having attained basic
English proficiency as determined by a department-approved
assessment.
(ii) The participant fails to show progress on 2 successive
department-approved assessments after having completed at least 450
hours of instruction. The department shall provide information to a
funding recipient regarding appropriate assessment instruments for
this program.
(8) (9)
A general educational development
(G.E.D.) test
preparation program operated on a year-round or school year basis
may be funded under this section, subject to all of the following:
(a) The program enrolls adults who do not have a high school
diploma.
(b) The program shall administer a G.E.D. pre-test approved by
the department before enrolling an individual to determine the
individual's potential for success on the G.E.D. test, and shall
administer a post-test upon completion of the program in compliance
with the state-approved assessment policy.
(c) A funding recipient shall receive funding according to
subsection
(12) (11) for a participant, and a participant may be
enrolled in the program until 1 of the following occurs:
(i) The participant passes the G.E.D. test.
(ii) The participant fails to show progress on 2 successive
department-approved assessments used to determine readiness to take
the G.E.D. test after having completed at least 450 hours of
instruction.
(9) (10)
A high school completion program
operated on a year-
round or school year basis may be funded under this section,
subject to all of the following:
(a) The program enrolls adults who do not have a high school
diploma.
(b) The program tests participants described in subdivision
(a) before enrollment and upon completion of the program in
compliance with the state-approved assessment policy.
(c) A funding recipient shall receive funding according to
subsection
(12) (11) for a participant in a course offered under
this subsection until 1 of the following occurs:
(i) The participant passes the course and earns a high school
diploma.
(ii) The participant fails to earn credit in 2 successive
semesters or terms in which the participant is enrolled after
having completed at least 900 hours of instruction.
(10) (11)
A job or employment-related adult
education program
operated on a year-round or school year basis may be funded under
this section, subject to all of the following:
(a) The program enrolls adults referred by their employer who
are less than 20 years of age, have a high school diploma, are
determined to be in need of remedial mathematics or communication
arts skills and are not attending an institution of higher
education.
(b) An individual may be enrolled in this program and the
grant
recipient shall receive funding according to subsection (12)
(11) until 1 of the following occurs:
(i) The individual achieves the requisite skills as determined
by department-approved assessment instruments administered at least
after every 90 hours of attendance.
(ii) The individual fails to show progress on 2 successive
assessments after having completed at least 450 hours of
instruction. The department shall provide information to a funding
recipient regarding appropriate assessment instruments for this
program.
(11) (12)
A funding recipient shall receive
payments under
this section in accordance with the following:
(a) Ninety percent for enrollment of eligible participants.
(b) Ten percent for completion of the adult basic education
objectives by achieving an increase of at least 1 grade level of
proficiency in reading or mathematics; for achieving basic English
proficiency, as defined by the department in the adult education
guidebook; for obtaining a G.E.D. or passage of 1 or more
individual G.E.D. tests; for attainment of a high school diploma or
passage of a course required for a participant to attain a high
school diploma; or for completion of the course and demonstrated
proficiency in the academic skills to be learned in the course, as
applicable.
(12) (13)
As used in this section,
"participant" means the sum
of the number of full-time equated individuals enrolled in and
attending a department-approved adult education program under this
section, using quarterly participant count days on the schedule
described in section 6(7)(b).
(13) (14)
A person who is not eligible to be
a participant
funded under this section may receive adult education services upon
the payment of tuition. In addition, a person who is not eligible
to be served in a program under this section due to the program
limitations
specified in subsection (8), (9), (10), or (11) (7),
(8), (9), or (10) may continue to receive adult education services
in that program upon the payment of tuition. The tuition level
shall be determined by the local or intermediate district
conducting the program.
(14) (15)
An individual who is an inmate in a
state
correctional facility shall not be counted as a participant under
this section.
(15) (16)
A district shall not commingle
money received under
this section or from another source for adult education purposes
with any other funds of the district. A district receiving adult
education funds shall establish a separate ledger account for those
funds. This subsection does not prohibit a district from using
general funds of the district to support an adult education or
community education program.
(16) (17)
A district or intermediate district
receiving funds
under this section may establish a sliding scale of tuition rates
based upon a participant's family income. A district or
intermediate district may charge a participant tuition to receive
adult education services under this section from that sliding scale
of tuition rates on a uniform basis. The amount of tuition charged
per participant shall not exceed the actual operating cost per
participant minus any funds received under this section per
participant. A district or intermediate district may not charge a
participant tuition under this section if the participant's income
is at or below 200% of the federal poverty guidelines published by
the United States department of health and human services.
(17) (18)
In order to receive funds under
this section, a
district shall furnish to the department, in a form and manner
determined by the department, all information needed to administer
this program and meet federal reporting requirements; shall allow
the department or the department's designee to review all records
related to the program for which it receives funds; and shall
reimburse the state for all disallowances found in the review, as
determined by the department.
(18) (19)
All intermediate district
participant audits of
adult education programs shall be performed pursuant to the adult
education participant auditing and accounting manuals published by
the department.
(19) (20)
As used in this section,
"department" means the
department
of energy, labor, and economic growth workforce
development agency.
Sec. 109. (1) Subject to subsection (2), in order to receive
funds
under this act, article, each district or intermediate
district shall provide appropriate instructional services, as
determined by the district or intermediate district, to an enrolled
pupil who is certified by the pupil's attending physician as having
a medical condition that requires the pupil to be hospitalized or
confined to his or her home during regular school hours and that is
expected to require the hospitalization or confinement for a period
longer than 5 school days. The district or intermediate district
may provide the services itself or may contract with an
intermediate district, a hospital, a treatment center, or another
district to provide the services. In choosing a provider for the
instructional services, the district or intermediate district shall
consider which of those potential providers is best able to deliver
the appropriate instructional services. The district or
intermediate district shall pay reasonable costs as agreed upon
between the district or intermediate district and the provider for
services provided to a pupil under this section.
(2) A district or intermediate district is required to provide
instructional services under subsection (1) to a pupil placed in a
hospital, treatment center, or other treatment facility without the
district's or intermediate district's prior knowledge only if the
district or intermediate district is notified of the pupil's
placement by the hospital, treatment center, facility, or the
pupil's parent or legal guardian. Upon being notified, the district
or intermediate district shall make arrangements to provide
instructional services under subsection (1) within 3 school days
after being notified.
(3) Not later than October 15 of each odd-numbered year, the
department shall prepare and distribute electronically to each
district
and intermediate district a written and make available on
its website an explanation of the operation of this section and the
respective duties of all affected parties. The department shall
provide a copy of the explanation electronically to any other
person upon request.
Article 11
Article 12
Article 14
Sec. 147. The allocation for 2010-2011 for the public school
employees' retirement system pursuant to the public school
employees retirement act of 1979, 1980 PA 300, MCL 38.1301 to
38.1408, shall be made using the entry age normal cost actuarial
method and risk assumptions adopted by the public school employees
retirement board and the department of technology, management, and
budget.
The For public school
employees who first worked for a
public school reporting unit before July 1, 2010, the annual level
percentage
of payroll contribution rate is estimated at 19.41% for
the
2010-2011 state 15.96% for
pension and at 8.50% for retiree
health care for the 2011-2012 fiscal year. For public school
employees who first worked for a public school reporting unit on or
after July 1, 2010, the annual level percentage of payroll
contribution rate is estimated at 14.73% for pension and 8.50% for
retiree health care for the 2011-2012 fiscal year. For public
school employees who first worked for a public school reporting
unit before July 1, 2010, the annual level percentage of payroll
contribution rate is estimated at 18.62% for pension and 8.75% for
retiree health care for the 2012-2013 fiscal year. For public
school employees who first worked for a public school reporting
unit on or after July 1, 2010, the annual level percentage of
payroll contribution rate is estimated at 17.39% for pension and
8.75% for retiree health care for the 2012-2013 fiscal year. The
portion of the contribution rate assigned to districts and
intermediate districts for each fiscal year is all of the total
percentage points. This contribution rate reflects an amortization
period
of 27 26 years for 2010-2011. However, the contribution
rate
for
2010-2011 may be reduced by an amount approved by the public
school
employees' retirement system board if reforms in the public
school
employees' retirement system are enacted and in effect by
December
31, 2010. 2011-2012. The public school employees'
retirement system board shall notify each district and intermediate
district by February 28 of each fiscal year of the estimated
contribution rate for the next fiscal year.
Sec. 147a. From the appropriation in section 11, there is
allocated for 2011-2012 only an amount not to exceed
$155,000,000.00 for 1-time payments to participating districts. The
money allocated in this section represents a portion of the year-
end state school aid fund balance for 2010-2011. A district that
receives money under this section shall use that money solely for
the purpose of offsetting a portion of the retirement contributions
owed by the district for the fiscal year ending September 30, 2012.
The amount allocated to each participating district under this
section shall be based on each participating district's percentage
of the total statewide payroll for all participating districts for
the state fiscal year ending September 30, 2011. As used in this
section, "participating district" means a district that is a
reporting unit of the Michigan public school employees' retirement
system under the public school employees retirement act of 1979,
1980 PA 300, MCL 38.1301 to 38.1408, and that reports employees to
the Michigan public school employees' retirement system for
September 2011.
Sec. 147b. (1) From the appropriation in section 11, there is
allocated an amount not to exceed $133,000,000.00 for 2011-2012
only for the purposes of this section. The money allocated in this
section represents a portion of the year-end school aid fund
balance for 2010-2011. Money allocated under this section shall be
deposited in the MPSERS retirement obligation reform reserve fund.
(2) The MPSERS retirement obligation reform reserve 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 MPSERS retirement obligation reform reserve
fund. The state treasurer shall direct the investment of the MPSERS
retirement obligation reform reserve fund. The state treasurer
shall credit to the MPSERS retirement obligation reform reserve
fund interest and earnings from the MPSERS retirement obligation
reform reserve fund. Money in the MPSERS retirement obligation
reform reserve fund at the close of the fiscal year shall remain in
the MPSERS retirement obligation reform reserve fund and shall not
lapse to the state school aid fund or to the general fund. The
department of treasury shall be the administrator of the MPSERS
retirement obligation reform reserve fund for auditing purposes.
(3) It is the intent of the legislature that the speaker of
the house of representatives or the senate majority leader, or
both, shall convene a workgroup to examine retirement obligations
and potential reforms to the Michigan public school employees'
retirement system established under the public school employees
retirement act of 1979, 1980 PA 300, MCL 38.1301 to 38.1408. The
chair of the senate appropriations committee and chair of the house
appropriations committee, or his or her designee, each shall be a
member of the workgroup, and the workgroup shall report to the
speaker of the house of representatives or the senate majority
leader, as applicable, by February 1, 2012, on reforms identified,
timelines for implementing reforms, and estimated costs and savings
of the identified reforms.
Article 15
Sec. 152a. (1) As required by the court in the consolidated
cases known as Adair v State of Michigan, Michigan supreme court
docket nos. 137424 and 137453, from the state school aid fund money
appropriated
in section 11 there is allocated for 2010-2011 2011-
2012
an amount not to exceed $25,624,500.00
$34,064,500.00 to be
used solely for the purpose of paying necessary costs related to
the state-mandated collection, maintenance, and reporting of data
to this state.
(2) From the allocation in subsection (1), the department
shall make payments to districts and intermediate districts in an
equal amount per pupil based on the total number of pupils in
membership in each district and intermediate district. The
department shall not make any adjustment to these payments after
the final installment payment under section 17b is made.
Article 16
Article 17
ARTICLE II
STATE AID TO COMMUNITY COLLEGES
Sec. 201. (1) Subject to the conditions set forth in this
article, the amounts listed in subsection (2) are appropriated for
community colleges for the fiscal year ending September 30, 2012,
from the funds indicated in this section. The following is a
summary of the appropriations in subsection (2):
(a) The gross appropriation is $283,880,500.00. After
deducting total interdepartmental grants and intradepartmental
transfers in the amount of $0.00, the adjusted gross appropriation
is $283,880,500.00.
(b) The sources of the adjusted gross appropriation described
in subdivision (a) are as follows:
(i) Total federal revenues, $0.00.
(ii) Total local revenues, $0.00.
(iii) Total private revenues, $0.00.
(iv) Total other state restricted revenues, $195,880,500.00.
(v) State general fund/general purpose money, $88,000,000.00.
(2) Subject to subsection (3), the amount appropriated for
community college operations is $283,880,500.00, allocated as
follows:
(a) Alpena Community College, $4,984,300.00.
(b) Bay de Noc Community College, $5,040,200.00.
(c) Delta College, $13,336,200.00.
(d) Glen Oaks Community College, $2,320,900.00.
(e) Gogebic Community College, $4,140,500.00.
(f) Grand Rapids Community College, $16,649,700.00.
(g) Henry Ford Community College, $20,145,000.00.
(h) Jackson Community College, $11,219,700.00.
(i) Kalamazoo Valley Community College, $11,522,700.00.
(j) Kellogg Community College, $9,047,900.00.
(k) Kirtland Community College, $2,872,900.00.
(l) Lake Michigan College, $4,937,700.00.
(m) Lansing Community College, $28,651,900.00.
(n) Macomb Community College, $30,490,300.00.
(o) Mid Michigan Community College, $4,266,800.00.
(p) Monroe County Community College, $4,094,000.00.
(q) Montcalm Community College, $2,946,800.00.
(r) C.S. Mott Community College, $14,526,400.00.
(s) Muskegon Community College, $8,256,700.00.
(t) North Central Michigan College, $2,886,500.00.
(u) Northwestern Michigan College, $8,430,300.00.
(v) Oakland Community College, $19,455,900.00.
(w) St. Clair County Community College, $6,534,100.00.
(x) Schoolcraft College, $11,477,300.00.
(y) Southwestern Michigan College, $6,143,700.00.
(z) Washtenaw Community College, $11,827,300.00.
(aa) Wayne County Community College, $15,425,900.00.
(bb) West Shore Community College, $2,248,900.00.
(3) The amount appropriated in subsection (2) for community
college operations is appropriated from the following:
(a) School aid fund, $195,880,500.00.
(b) State general fund/general purpose money, $88,000,000.00.
Sec. 201a. It is the intent of the legislature to provide
appropriations for the fiscal year ending on September 30, 2013 for
the items listed in section 201. The fiscal year 2012-2013
appropriations are anticipated to be the same as those for fiscal
year 2011-2012, except that the amounts will be adjusted for
changes in caseload and related costs, federal fund match rates,
economic factors, and available revenue. These adjustments will be
determined after the January 2012 consensus revenue estimating
conference.
Sec. 202. The appropriations authorized under this article are
subject to the management and budget act, 1984 PA 431, MCL 18.1101
to 18.1594.
Sec. 203. Unless otherwise specified, a community college
receiving appropriations in section 201 and the workforce
development agency shall use the Internet to fulfill the reporting
requirements of this article. This requirement may include
transmission of reports via electronic mail to the recipients
identified for each reporting requirement or it may include
placement of reports on an Internet or Intranet site.
Sec. 204. Funds appropriated in section 201 shall not be used
for the purchase of foreign goods or services, or both, if
competitively priced and of comparable quality American goods or
services, or both, are available. Preference should be given to
goods or services, or both, manufactured or provided by Michigan
businesses, if they are competitively priced and of comparable
quality. In addition, preference should be given to goods or
services, or both, that are manufactured or provided by Michigan
businesses owned and operated by veterans, if they are
competitively priced and of comparable quality.
Sec. 205. The principal executive officer of each community
college receiving appropriations in section 201 shall take all
reasonable steps to ensure businesses in deprived and depressed
communities compete for and perform contracts to provide services
or supplies, or both. Each principal executive officer shall
strongly encourage firms with which the community college contracts
to subcontract with certified businesses in depressed and deprived
communities for services or supplies, or both.
Sec. 206. The funds appropriated in section 201 are
appropriated for community colleges with fiscal years ending June
30, 2012 and shall be paid out of the state treasury and
distributed by the state treasurer to the respective community
colleges in 11 monthly installments on the sixteenth of each month,
or the next succeeding business day, beginning with October 16,
2011. Each community college shall accrue its July and August 2012
payments to its institutional fiscal year ending June 30, 2012.
However, if a community college fails to submit all verified
Michigan community colleges activities classification structure
data for school year 2010-2011 to the workforce development agency
by November 1, 2011, the monthly installments shall be withheld
from that community college until those data are submitted.
Sec. 207. (1) A community college shall pay the employer's
contributions to the Michigan public school employees' retirement
system created by the public school employees retirement act of
1979, 1980 PA 300, MCL 38.1301 to 38.1408, as a condition of
receiving funds appropriated under this article.
(2) A community college shall not pay an employer's
contribution to more than 1 retirement fund providing benefits for
an employee.
Sec. 208. Money appropriated in section 201 shall not be used
to pay for the construction or maintenance of a self-liquidating
project. A community college shall comply with the current use and
finance requirements of the joint capital outlay subcommittee
(JCOS) for any construction, renovation, or other capital outlay
projects pursuant to JCOS policy. The appropriation in section 201
for a community college that fails to comply with JCOS requirements
shall be reduced by 1% for each violation.
Sec. 209. (1) From the funds appropriated in section 201, each
community college shall develop, post, and maintain, on a user-
friendly and publicly accessible Internet site, a comprehensive
report categorizing all institutional general fund expenditures
made by the community college within a fiscal year. The report
shall include institutional general fund expenditure amounts
categorized both by each academic unit, administrative unit, or
external initiative within the community college and by major
expenditure category, including faculty and staff salaries and
fringe benefits, facility-related costs, supplies and equipment,
contracts, and transfers to and from other community college funds.
The report shall also include a list of all employee positions
funded partially or wholly through institutional general fund
revenue that includes the position title, name, and annual salary
or wage amount for each position. The community college shall not
provide financial information on its website under this section if
doing so would violate a federal or state law, rule, regulation, or
guideline that establishes privacy or security standards applicable
to that financial information.
(2) Each community college shall report the following
information to the senate and house appropriations subcommittees on
community colleges, the senate and house fiscal agencies, and the
state budget office by November 15, 2011, and post that information
on the Internet website required under subsection (1):
(a) Budgeted fiscal year 2011-2012 general fund revenue from
tuition and fees.
(b) Budgeted fiscal year 2011-2012 general fund revenue from
state appropriations.
(c) Budgeted fiscal year 2011-2012 general fund revenue from
property taxes.
(d) Budgeted fiscal year 2011-2012 total general fund revenue.
(e) Budgeted fiscal year 2011-2012 total general fund
expenditures.
Sec. 210. (1) Recognizing the critical importance of education
in strengthening Michigan's workforce, the legislature encourages
the state's public community colleges to explore ways of increasing
collaboration and cooperation with 4-year universities,
particularly in the areas related to training, instruction, and
program articulation.
(2) Recognizing the central role of community colleges in
responding to local employment needs and challenges, community
colleges shall develop and continue efforts to collaborate with
local employers and students to identify local employment needs and
strategies to meet them.
(3) Community colleges are encouraged to collaborate with each
other on innovations to identify and meet local employment needs.
Sec. 210a. (1) A committee shall be created to develop a
process to improve the transferability of core college courses
between community colleges and public universities on a statewide
basis. Building off of the Michigan association of college
registrars and academic officers agreement and existing
articulation agreements in place between individual institutions,
the committee shall work to develop equivalency standards of core
college courses and identify equivalent courses offered by the
institutions.
(2) The committee shall be composed of the following:
(a) Ten representatives from community colleges selected by
the Michigan community college association.
(b) Ten representatives from public universities selected by
the presidents council, state universities of Michigan.
(c) One member of the house of representatives selected by the
speaker of the house.
(d) One member of the house of representatives selected by the
minority leader of the house of representatives.
(e) One member of the senate selected by the senate majority
leader.
(f) One member of the senate selected by the senate minority
leader.
(3) The committee shall submit an interim project status
report to the senate and house appropriations subcommittees on
community colleges and higher education, the senate and house
fiscal agencies, and the state budget director by March 1, 2012.
Sec. 211. Community colleges shall do the following:
(a) Undertake active measures to promote equal opportunities,
eliminate discrimination, and foster a diverse student body and
administration among all people including, but not limited to,
women, minorities, seniors, veterans, and people with disabilities.
(b) Review, analyze, and eradicate activities that may tend to
discriminate.
Sec. 212. It is the intent of the legislature to encourage
community college districts to evaluate and pursue efficiency and
cost-containment measures that maximize state funding. Community
colleges shall identify practices that increase efficiencies,
including, but not limited to, establishing joint ventures,
consolidating services, utilizing program collaborations,
maximizing educational benefits through optimal class sizes and
frequency of course offerings, increasing web-based instruction,
eliminating low-enrollment and high-cost instructional programs,
using self-insurance, practicing energy conservation, and utilizing
group purchasing. Efficiency efforts shall also include reviewing
proposed capital outlay projects to increase coordination and
utilization of new facilities, renovation projects, and technology
improvements.
Sec. 213. It is the intent of the legislature that community
colleges work with public universities in the state to implement
statewide reverse transfer agreements to increase the number of
students that are awarded credentials of value upon completion of
the necessary credits. In doing so, the institutions should work
collaboratively and cooperatively to remove administrative barriers
that result in understating the academic attainment of Michigan's
citizens. It is the intent of the legislature that by August 1,
2012, statewide agreements be in place between community colleges
and public universities that enable students who have earned a
significant number of credits at a community college and transfer
to a baccalaureate-granting institution before completing a degree
to transfer the credits earned at the baccalaureate institution
back to the community college in order to be awarded a credential
of value.
Sec. 214. (1) A committee shall be created to develop a common
set of scores using the ACT assessment to determine placement in
developmental courses at community colleges for students who
recently completed high school. The committee shall be composed of
the following:
(a) Two members of the Michigan house of representatives. One
member shall be designated by the speaker of the house, and 1
member shall be designated by the house minority leader.
(b) Two members of the Michigan senate. One member shall be
designated by the senate majority leader, and 1 member shall be
designated by the senate minority leader.
(c) Four representatives of Michigan public community colleges
designated by the Michigan community colleges association.
(d) Four individuals representing K-12 education, with the
speaker of the house, house minority leader, senate majority
leader, and senate minority leader each designating 1 member.
(2) By March 1, 2012, the committee created under subsection
(1) shall submit a report to the senate and house appropriations
subcommittees on community colleges, the senate and house fiscal
agencies, and the state budget office outlining the progress toward
implementing a common set of ACT cutoff scores for placement into
developmental education and credit-bearing courses.
Sec. 216. (1) It is the intent of the legislature that the
senate and house appropriations subcommittees on community
colleges, together with the Michigan community college association
and other interested stakeholders, review any statutory mandates
imposed on community colleges, including those identified by the
legislative commission on statutory mandates established under
former chapter 7B of the legislative council act, 1986 PA 268, and
determine whether those mandates are necessary for the health and
safety of students; are essential to the academic integrity of the
community colleges; exceed any applicable federal requirements; are
superfluous to the core academic programs of the community
colleges; and materially impact local control and governance of the
colleges.
(2) The senate and house subcommittees on community colleges
shall review the estimated costs and benefits of each statutory
mandate reviewed under subsection (1) and shall report their
findings to the state budget director.
Sec. 217. Unless otherwise stated, all data items used in
determining state aid in this article are as defined in the "2001
Manual for Uniform Financial Reporting, Michigan Public Community
Colleges", which shall be the basis for reporting data, and the
"Activities Classification Structure Manual for Michigan Community
Colleges", as amended, which shall be used to document financial
needs of the community colleges.
Sec. 218. A community college shall not include in the
enrollment data reported for determining state aid under this
article any student credit hours or student contact hours for a
student incarcerated in a Michigan penal institution. Exclusion of
these students is intended to avoid the payment of state aid under
this article for the same individuals for whom reimbursement is
provided by the state correctional system.
Sec. 219. A community college receiving funds in section 201
shall cooperate with the state's efforts to establish a statewide
P-20 education longitudinal data system to comply with the state
fiscal stabilization fund provisions of the American recovery and
reinvestment act of 2009, Public Law 111-5.
Sec. 220. (1) The auditor general or a certified public
accountant appointed by the auditor general may conduct performance
audits of community colleges as the auditor general considers
necessary.
(2) Not more than 60 days after an audit report is released by
the office of the auditor general, the principal executive officer
of the community college that was audited shall submit to the house
and senate appropriations committees, the house and senate fiscal
agencies, the workforce development agency, the auditor general,
and the state budget director a plan to comply with audit
recommendations. The plan shall contain projected dates and
resources required, if any, to achieve compliance with the audit
recommendations, or a documented explanation of the college's
noncompliance with the audit recommendations concerning the matters
on which the audited community college and office of the auditor
general disagree.
Sec. 221. (1) A community college shall retain certified class
summaries, class lists, registration documents, and student
transcripts that are consistent with the taxonomy of courses. For
each enrollment period during the fiscal year, these certified
documents shall identify clearly by course the number of in-
district and out-of-district student credit and contact hours. The
class summaries and class lists shall be consistent with each other
and shall include the course prefix and numbers, course title,
course credit and contact hours, credit and contact hours generated
by each student, and activity classifications consistent with the
taxonomy. An auditable process shall be used by the community
college to determine the unduplicated head count for in-district
students, out-of-district students, and prisoners for each
enrollment period during the fiscal year.
(2) Contracts between the community college and agencies that
reimburse the community college for the costs of instruction shall
be retained for audit purposes.
Sec. 222. Each community college shall have an annual audit of
all income and expenditures performed by an independent auditor and
shall furnish the independent auditor's management letter and an
annual audited accounting of all general and current funds income
and expenditures including audits of college foundations to the
members of the senate and house appropriations subcommittees on
community colleges, the senate and house fiscal agencies, the
auditor general, the workforce development agency, and the state
budget director before November 15, 2011. If a community college
fails to furnish the audit materials, the monthly state aid
installments shall be withheld from that college until the
information is submitted. All reporting shall conform to the
requirements set forth in the "2001 Manual for Uniform Financial
Reporting, Michigan Public Community Colleges". It is the intent of
the legislature that a community college shall make the information
the community college is required to provide under this section
available to the public on its Internet website.
Sec. 223. Each community college shall report the following to
the workforce development agency no later than November 1, 2011:
(a) The number of North American Indian students enrolled each
term for the previous fiscal year, using guidelines and procedures
developed by the workforce development agency and the Michigan
commission on Indian affairs.
(b) The number of North American Indian tuition waivers
granted each term, and the monetary value of the waivers for the
previous fiscal year.
Sec. 224. Upon request, a community college shall inform
interested Michigan high schools of the aggregate academic status
of its students for the prior academic year, in a manner prescribed
by the Michigan community college association and in cooperation
with the Michigan association of secondary school principals.
Sec. 225. Each community college shall report to the house and
senate fiscal agencies, the state budget director, and the
workforce development agency by August 31, 2011, the tuition and
mandatory fees paid by a full-time in-district student and a full-
time out-of-district student as established by the college
governing board for the 2010-2011 academic year. This report should
also include the annual cost of attendance based on a full-time
course load of 30 credits. Each community college shall also report
any revisions to the reported 2010-2011 academic year tuition and
mandatory fees adopted by the college governing board to the house
and senate fiscal agencies, the state budget director, and the
workforce development agency within 15 days of being adopted.
Sec. 226. Each community college shall report to the workforce
development agency the numbers and type of associate degrees and
other certificates awarded during the previous fiscal year. The
report shall be made not later than November 15, 2011.
Sec. 227. Funds appropriated in section 201 shall not be used
to enter into a lease for, or to purchase, a vehicle assembled or
manufactured outside of the United States if competitively priced
and comparable quality vehicles made in the state of Michigan or
elsewhere in the United States of America are available.
Sec. 228. A community college shall not take disciplinary
action against an employee for communicating with a member of the
legislature or his or her staff.
Sec. 229. It is the intent of the legislature that each
community college receiving an appropriation in section 201 include
in its admission application process a specific question as to
whether an applicant for admission is a veteran, an active member
of the military, a member of the national guard or military
reserves, or the spouse or dependent of a veteran, active member of
the military, or member of the national guard or military reserves,
in order to more quickly identify potential educational assistance
available to that applicant. As used in this section, "veteran"
means an honorably discharged veteran entitled to educational
assistance under the provisions of section 5003 of the post-911
veterans educational assistance act of 2008, title V of Public Law
110-252, 38 USC 3301 to 3324.
Sec. 230. It is the intent of the legislature that the
recommendations and performance measures developed by the
performance indicators task force formed pursuant to section 242 of
2005 PA 154 be reviewed and more fully implemented for distribution
of state funding to community colleges in future years.
Specifically, it is the intent of the legislature that the
performance indicators task force review and implement 1 or more
measurable data items for the local strategic value indicator and
review and implement 1 or more measurable data items for an
administrative cost formula component.
ARTICLE III
STATE AID FOR UNIVERSITIES AND STUDENT FINANCIAL AID
Sec. 236. (1) Subject to the conditions set forth in this
article, the amounts listed in subsections (2) to (5) are
appropriated for higher education for the fiscal year ending
September 30, 2012, from the funds indicated in this section. The
following is a summary of the appropriations in subsections (2) to
(5):
(a) The gross appropriation is $1,362,278,400.00. After
deducting total interdepartmental grants and intradepartmental
transfers in the amount of $0.00, the adjusted gross appropriation
is $1,362,278,400.00.
(b) The sources of the adjusted gross appropriation described
in subdivision (a) are as follows:
(i) Total federal revenues, $98,326,400.00.
(ii) Total local revenues, $0.00.
(iii) Total private revenues, $0.00.
(iv) Total other state restricted revenues, $200,219,500.00.
(v) State general fund/general purpose money,
$1,063,732,500.00.
(2) Amounts appropriated for public universities are as
follows:
(a) The appropriation for Central Michigan University is
$68,108,900.00, $61,431,100.00 for operations and $6,677,800.00 for
tuition restraint incentive, appropriated from the following:
(i) State school aid fund, $11,284,600.00.
(ii) State general fund/general purpose money, $56,824,300.00.
(b) The appropriation for Eastern Michigan University is
$64,619,100.00, $61,319,900.00 for operations and $3,299,200.00 for
tuition restraint incentive, appropriated from the following:
(i) State school aid fund, $10,706,400.00.
(ii) State general fund/general purpose money, $53,912,700.00.
(c) The appropriation for Ferris State University is
$41,324,300.00, $37,971,600.00 for operations and $3,352,700.00 for
tuition restraint incentive, appropriated from the following:
(i) State school aid fund, $6,846,800.00.
(ii) State general fund/general purpose money, $34,477,500.00.
(d) The appropriation for Grand Valley State University is
$52,677,400.00, $48,431,500.00 for operations and $4,245,900.00 for
tuition restraint incentive, appropriated from the following:
(i) State school aid fund, $8,727,800.00.
(ii) State general fund/general purpose money, $43,949,600.00.
(e) The appropriation for Lake Superior State University is
$10,789,500.00, $10,055,100.00 for operations and $734,400.00 for
tuition restraint incentive, appropriated from the following:
(i) State school aid fund, $1,787,600.00.
(ii) State general fund/general purpose money, $9,001,900.00.
(f) The appropriation for Michigan State University is
$293,746,600.00, $222,796,200.00 for operations, $18,324,600.00 for
tuition restraint incentive, and $52,625,800.00 for agricultural
experiment and cooperative extension activities, appropriated from
the following:
(i) State school aid fund, $39,949,900.00.
(ii) State general fund/general purpose money, $253,796,700.00.
(g) The appropriation for Michigan Technological University is
$40,733,600.00, $37,409,700.00 for operations and $3,323,900.00 for
tuition restraint incentive, appropriated from the following:
(i) State school aid fund, $6,748,900.00.
(ii) State general fund/general purpose money, $33,984,700.00.
(h) The appropriation for Northern Michigan University is
$38,367,400.00, $36,225,200.00 for operations and $2,142,200.00 for
tuition restraint incentive, appropriated from the following:
(i) State school aid fund, $6,356,900.00.
(ii) State general fund/general purpose money, $32,010,500.00.
(i) The appropriation for Oakland University is
$43,145,000.00, $39,313,500.00 for operations and $3,831,500.00 for
tuition restraint incentive, appropriated from the following:
(i) State school aid fund, $7,148,400.00.
(ii) State general fund/general purpose money, $35,996,600.00.
(j) The appropriation for Saginaw Valley State University is
$23,561,500.00, $21,969,300.00 for operations and $1,592,200.00 for
tuition restraint incentive, appropriated from the following:
(i) State school aid fund, $3,903,800.00.
(ii) State general fund/general purpose money, $19,657,700.00.
(k) The appropriation for University of Michigan - Ann Arbor
is $268,803,300.00, $254,931,800.00 for operations and
$13,871,500.00 for tuition restraint incentive, appropriated from
the following:
(i) State school aid fund, $44,536,300.00.
(ii) State general fund/general purpose money, $224,267,000.00.
(l) The appropriation for University of Michigan – Dearborn is
$21,016,300.00, $19,627,400.00 for operations and $1,388,900.00 for
tuition restraint incentive, appropriated from the following:
(i) State school aid fund, $3,482,100.00.
(ii) State general fund/general purpose money, $17,534,200.00.
(m) The appropriation for University of Michigan – Flint is
$17,762,400.00, $16,679,400.00 for operations and $1,083,000.00 for
tuition restraint incentive, appropriated from the following:
(i) State school aid fund, $2,942,900.00.
(ii) State general fund/general purpose money, $14,819,500.00.
(n) The appropriation for Wayne State University is
$182,036,900.00, $169,209,400.00 for operations and $12,827,500.00
for tuition restraint incentive, appropriated from the following:
(i) State school aid fund, $30,160,600.00.
(ii) State general fund/general purpose money, $151,876,300.00.
(o) The appropriation for Western Michigan University is
$93,168,300.00, $86,866,700.00 for operations and $6,301,600.00 for
tuition restraint incentive, appropriated from the following:
(i) State school aid fund, $15,436,500.00.
(ii) State general fund/general purpose money, $77,731,800.00.
(3) The amount appropriated for state and regional programs is
$200,000.00, appropriated from general fund/general purpose money
and allocated as follows:
(a) Higher education database modernization and conversion,
$105,000.00.
(b) Midwestern higher education compact, $95,000.00.
(4) The amount appropriated for the Martin Luther King, Jr. -
Cesar Chavez - Rosa Parks program is $2,691,500.00, appropriated
from general fund/general purpose money and allocated as follows:
(a) Select student support services, $1,956,100.00.
(b) Michigan college/university partnership program,
$586,800.00.
(c) Morris Hood, Jr. educator development program,
$148,600.00.
(5) Subject to subsection (6), the amount appropriated for
grants and financial aid is $99,526,400.00, allocated as follows:
(a) State competitive scholarships, $19,861,700.00.
(b) Tuition grants, $31,664,700.00.
(c) Tuition incentive program, $43,800,000.00.
(d) Robert C. Byrd honors scholarship program, $1,500,000.00.
(e) Children of veterans and officer's survivor tuition grant
programs, $1,200,000.00.
(f) Project GEAR-UP, $1,500,000.00.
(6) The money appropriated in subsection (5) for grants and
financial aid is appropriated from the following:
(a) Federal revenues under subpart 4 of part A of title IV of
the higher education act of 1965, Public Law 89-329, 79 Stat. 1232,
$1,500,000.00.
(b) Federal revenues under subpart 6 of part A of title IV of
the higher education act of 1965, Public Law 89-329, 79 Stat. 1232,
$1,500,000.00.
(c) Federal revenues under the United States department of
education, office of elementary and secondary education, GEAR-UP
program, $1,500,000.00.
(d) Federal revenues under the social security act, temporary
assistance for needy families, $93,826,400.00.
(e) Contributions to children of veterans tuition grant
program, $200,000.00.
(f) State general fund/general purpose money, $1,000,000.00.
Sec. 236a. It is the intent of the legislature to provide
appropriations for the fiscal year ending on September 30, 2013 for
the items listed in section 236. The fiscal year 2012-2013
appropriations are anticipated to be the same as those for fiscal
year 2011-2012, except that the amounts will be adjusted for
changes in caseload and related costs, federal fund match rates,
economic factors, and available revenue. These adjustments will be
determined after the January 2012 consensus revenue estimating
conference.
Sec. 237. The appropriations authorized under this article are
subject to the management and budget act, 1984 PA 431, MCL 18.1101
to 18.1594.
Sec. 237a. As used in this article, "research university"
means a public university classified as a "doctoral/research
university", a "research university (high research activity)", or a
"research university (very high research activity)" under the
classification of institutions of higher education conducted by the
Carnegie foundation.
Sec. 238. Unless otherwise specified, public universities
receiving appropriations in section 236 shall use the Internet to
fulfill the reporting requirements of this article. This
requirement may include transmission of reports via electronic mail
to the recipients identified for each reporting requirement, or it
may include placement of reports on an Internet or Intranet site.
Sec. 239. Funds appropriated in section 236 shall not be used
for the purchase of foreign goods or services, or both, if
competitively priced and of comparable quality American goods and
services, or both, are available. Preference shall be given to
goods or services, or both, manufactured or provided by Michigan
businesses if they are competitively priced and of comparable
value. In addition, preference shall be given to goods or services,
or both, that are manufactured or provided by Michigan businesses
owned and operated by veterans if they are competitively priced and
of comparable quality.
Sec. 239a. It is the intent of the legislature that the funds
appropriated in section 236 to state institutions of higher
education shall not be used to enter into a lease or to purchase a
vehicle assembled or manufactured outside of the United States, and
that preference be given to vehicles assembled or manufactured in
Michigan.
Sec. 240. The principal executive officer of each public
university receiving appropriations in section 236 shall take all
reasonable steps to ensure that businesses in deprived and
depressed communities compete for and perform contracts to provide
services, supplies, or both. Each principal executive officer shall
strongly encourage firms with which the university contracts to
subcontract with businesses in depressed and deprived communities
for services, supplies, or both.
Sec. 241. (1) The funds appropriated in section 236 to public
universities shall be paid out of the state treasury and
distributed by the state treasurer to the respective institutions
in 11 equal monthly installments on the sixteenth of each month, or
the next succeeding business day, beginning with October 16, 2011.
Except for Wayne State University, each institution shall accrue
its July and August 2012 payments to its institutional fiscal year
ending June 30, 2012.
(2) All public universities shall submit higher education
institutional data inventory (HEIDI) data and associated financial
and program information requested by and in a manner prescribed by
the state budget director. For public universities with fiscal
years ending June 30, 2011, these data shall be submitted to the
state budget director by October 15, 2011. Public universities with
a fiscal year ending September 30, 2011 shall submit preliminary
HEIDI data by November 15, 2011 and final data by December 15,
2011. If a public university fails to submit HEIDI data and
associated financial aid program information in accordance with
this reporting schedule, the state treasurer shall withhold the
monthly installments under subsection (1) to the public university
until those data are submitted.
Sec. 242. Funds received by the state from the federal
government or private sources for the use of a college or
university are appropriated for the purposes for which they are
provided. The acceptance and use of federal or private funds do not
place an obligation upon the legislature to continue the purposes
for which the funds are made available.
Sec. 243. A public university that receives funds under this
article shall furnish all program and financial information that is
required by and in a manner prescribed by the state budget director
or the house or senate appropriations committee.
Sec. 244. A public university receiving funds in section 236
shall cooperate with all measures taken by the state to establish a
statewide P-20 education longitudinal data system to comply with
the state fiscal stabilization fund provisions of the American
recovery and reinvestment act of 2009, Public Law 111-5.
Sec. 245. From the funds appropriated in section 236, each
public university shall develop, post, and maintain, on a user-
friendly and publicly accessible Internet site, a comprehensive
report categorizing all institutional general fund expenditures
made by the university within a fiscal year. The report shall
include institutional general fund expenditure amounts categorized
both by each academic unit, administrative unit, or external
initiative within the university and by major expenditure category,
including faculty and staff salaries and fringe benefits, facility-
related costs, supplies and equipment, contracts, and transfers to
and from other university funds. The report shall also include a
list of all employee positions funded partially or wholly through
institutional general fund revenue that includes the position
title, name, and annual salary or wage amount for each position.
The university shall not provide financial information on its
website under this section if doing so would violate a federal or
state law, rule, regulation, or guideline that establishes privacy
or security standards applicable to that financial information.
Sec. 251. (1) Payments of the amounts included in section 236
for the state competitive scholarship program shall be distributed
pursuant to 1964 PA 208, MCL 390.971 to 390.981.
(2) Pursuant to section 6 of 1964 PA 208, MCL 390.976, the
department of treasury shall determine an actual maximum state
competitive scholarship award per student, which shall be no less
than $600.00, that ensures that the aggregate payments for the
state competitive scholarship program do not exceed the
appropriation contained in section 236 for the state competitive
scholarship program. If the department determines that insufficient
funds are available to establish a maximum award amount equal to at
least $600.00, the department shall immediately report to the house
and senate appropriations subcommittees on higher education, the
house and senate fiscal agencies, and the state budget director
regarding the estimated amount of additional funds necessary to
establish a $600.00 maximum award amount.
(3) The department of treasury shall implement a proportional
competitive scholarship maximum award level for recipients enrolled
less than full-time in a given semester or term.
(4) If a student who receives an award under this section has
his or her tuition and fees paid under the Michigan educational
trust program, pursuant to the Michigan education trust act, 1986
PA 316, MCL 390.1421 to 390.1442, and still has financial need, the
funds awarded under this section may be used for educational
expenses other than tuition and fees.
(5) If the department of treasury increases the maximum award
per eligible student from that provided in the previous fiscal
year, it shall not have the effect of reducing the number of
eligible students receiving awards in relation to the total number
of eligible applicants. Any increase in the maximum grant shall be
proportional for all eligible students receiving awards.
(6) Veterans administration benefits shall not be considered
in determining eligibility for the award of scholarships under 1964
PA 208, MCL 390.971 to 390.981.
Sec. 252. (1) The amounts appropriated in section 236 for the
state tuition grant program shall be distributed pursuant to 1966
PA 313, MCL 390.991 to 390.997a.
(2) Tuition grant awards shall be made to all eligible
Michigan residents enrolled in undergraduate degree programs who
apply before July 1, 2011 and who are qualified.
(3) Pursuant to section 5 of 1966 PA 313, MCL 390.995, and
subject to subsection (7), the department of treasury shall
determine an actual maximum tuition grant award per student, which
shall be no less than $1,512.00, that ensures that the aggregate
payments for the tuition grant program do not exceed the
appropriation contained in section 236 for the state tuition grant
program. If the department determines that insufficient funds are
available to establish a maximum award amount equal to at least
$1,512.00, the department shall immediately report to the house and
senate appropriations subcommittees on higher education, the house
and senate fiscal agencies, and the state budget director regarding
the estimated amount of additional funds necessary to establish a
$1,512.00 maximum award amount. By December 15, 2011, and again by
February 1, 2012, the department shall analyze the status of award
commitments, shall make any necessary adjustments, and shall
confirm that those award commitments will not exceed the
appropriation contained in section 236 for the tuition grant
program. The determination and actions shall be reported to the
state budget director and the house and senate fiscal agencies no
later than February 15, 2012. If award adjustments are necessary,
the students shall be notified of the adjustment by the third
Monday in February.
(4) Any unexpended and unencumbered funds remaining on
September 30, 2012 from the amounts appropriated in section 236 for
the tuition grant program shall not lapse on September 30, 2012,
but shall continue to be available for expenditure for tuition
grants provided in the 2012-2013 fiscal year under a work project
account. The use of these unexpended fiscal year 2011-2012 funds
shall terminate at the end of the 2012-2013 fiscal year.
(5) The department of treasury shall continue a proportional
tuition grant maximum award level for recipients enrolled less than
full-time in a given semester or term.
(6) If the department of treasury increases the maximum award
per eligible student from that provided in the previous fiscal
year, it shall not have the effect of reducing the number of
eligible students receiving awards in relation to the total number
of eligible applicants. Any increase in the maximum grant shall be
proportional for all eligible students receiving awards for fiscal
year 2011-2012.
(7) The department of treasury shall not award more than
$3,000,000.00 in tuition grants to eligible students enrolled in
the same independent nonprofit college or university in this state.
Any decrease in the maximum grant shall be proportional for all
eligible students enrolled in that college or university, as
determined by the department.
Sec. 253. The auditor general may audit selected enrollments,
degrees, and awards at selected independent colleges and
universities receiving awards administered by the department of
treasury. The audits shall be based upon definitions and
requirements established by the department of treasury, the state
budget director, and the senate and house fiscal agencies. The
auditor general shall accept the Free Application for Federal
Student Aid (FAFSA) form as the standard of residency
documentation.
Sec. 254. The sums appropriated in section 236 for the state
competitive scholarship, tuition incentive, tuition grant, and
Robert C. Byrd honors scholarship programs shall be paid out of the
state treasury and shall be distributed to the respective
institutions under a quarterly payment system as follows: 50% shall
be paid at the beginning of the state's first fiscal quarter and
50% at the beginning of the state's second fiscal quarter.
Sec. 255. The department of treasury shall determine the needs
analysis criteria for students to qualify for the state competitive
scholarship program and tuition grant program. To be consistent
with federal requirements, student wages may be taken into
consideration when determining the amount of the award.
Sec. 256. (1) The funds appropriated in section 236 for the
tuition incentive program shall be distributed as provided in this
section and pursuant to the administrative procedures for the
tuition incentive program of the department of treasury.
(2) As used in this section:
(a) "Phase I" means the first part of the tuition incentive
assistance program defined as the academic period of 80 semester or
120 term credits, or less, leading to an associate degree or
certificate.
(b) "Phase II" means the second part of the tuition incentive
assistance program which provides assistance in the third and
fourth year of 4-year degree programs.
(c) "Department" means the department of treasury.
(3) A person shall meet the following basic criteria and
financial thresholds to be eligible for tuition incentive benefits:
(a) To be eligible for phase I, a person shall meet all of the
following criteria:
(i) Apply for certification to the department before graduating
from high school or completing the general education development
(GED) certificate.
(ii) Be less than 20 years of age at the time of high school
graduation or GED completion.
(iii) Be a United States citizen and a resident of Michigan
according to institutional criteria.
(iv) Be at least a half-time student, earning less than 80
semester or 120 term credits at a participating educational
institution within 4 years of high school graduation or GED
certificate completion.
(v) Request information on filing a FAFSA.
(b) To be eligible for phase II, a person shall meet either of
the following criteria in addition to the criteria in subdivision
(a):
(i) Complete at least 56 transferable semester or 84
transferable term credits.
(ii) Obtain an associate degree or certificate at a
participating institution.
(c) To be eligible for phase I or phase II, a person must not
be incarcerated and must be financially eligible as determined by
the department. A person is financially eligible for the tuition
incentive program if that person was Medicaid eligible for 24
months within the 36 months before application. Certification of
eligibility may begin in the sixth grade.
(4) For phase I, the department shall provide payment on
behalf of a person eligible under subsection (3). The department
shall reject billings that are excessive or outside the guidelines
for the type of educational institution.
(5) For phase I, all of the following apply:
(a) Payments for associate degree or certificate programs
shall not be made for more than 80 semester or 120 term credits for
any individual student at any participating institution.
(b) For persons enrolled at a Michigan community college, the
department shall pay the current in-district tuition and mandatory
fees. For persons residing in an area that is not included in any
community college district, the out-of-district tuition rate may be
authorized.
(c) For persons enrolled at a Michigan public university, the
department shall pay lower division resident tuition and mandatory
fees for the current year.
(d) For persons enrolled at a Michigan independent, nonprofit
degree-granting college or university, or a Michigan federal
tribally controlled community college, or Focus: HOPE, the
department shall pay mandatory fees for the current year and a per-
credit payment that does not exceed the average community college
in-district per-credit tuition rate as reported on August 1, for
the immediately preceding academic year.
(6) A person participating in phase II may be eligible for
additional funds not to exceed $500.00 per semester or $400.00 per
term up to a maximum of $2,000.00 subject to the following
conditions:
(a) Credits are earned in a 4-year program at a Michigan
degree-granting 4-year college or university.
(b) The tuition reimbursement is for coursework completed
within 30 months of completion of the phase I requirements.
(7) The department shall work closely with participating
institutions to develop an application and eligibility
determination process that will provide the highest level of
participation and ensure that all requirements of the program are
met.
(8) Applications for the tuition incentive program may be
approved at any time after the student begins the sixth grade. If a
determination of financial eligibility is made, that determination
is valid as long as the student meets all other program
requirements and conditions.
(9) Each institution shall ensure that all known available
restricted grants for tuition and fees are used prior to billing
the tuition incentive program for any portion of a student's
tuition and fees.
(10) The department shall ensure that the tuition incentive
program is well publicized and that eligible Medicaid clients are
provided information on the program. The department shall provide
the necessary funding and staff to fully operate the program.
Sec. 257. To enable the legislature and the state budget
director to evaluate the appropriation needs of higher education,
each independent college and university shall make available to the
legislature or state budget director, upon request, data regarding
grants for the preceding, current, and ensuing fiscal years.
Sec. 258. By February 15 of each year, the department of
treasury shall submit a report to the state budget director, the
house and senate appropriations subcommittees on higher education,
and the house and senate fiscal agencies for the preceding fiscal
year on all student financial aid programs for which funds are
appropriated in section 236. For each student financial aid
program, the report shall include, but is not limited to, the total
number of awards paid in the preceding fiscal year, the total
dollar amount of those awards, and the number of students receiving
awards and the total amount of those awards at each eligible
postsecondary institution. To the extent information is available,
the report shall also include information on the average exam
performance, household income, and other demographic
characteristics of students receiving awards under each program and
historical information on the number of awards and total award
amounts for each program.
Sec. 261. The University of Michigan biological station at
Douglas Lake in Cheboygan County is regarded as a unique resource
and is designated as a special research reserve. It is the intent
of the legislature to protect and preserve the unique long-term
research value and capabilities of the biological station area and
Douglas Lake. The legislature further intends that no state
programs or policies be developed that would have a deleterious
impact on the research value of Douglas Lake.
Sec. 262. (1) It is the intent of the legislature that each
public university shall develop policies for minimizing the cost of
textbooks and course materials used at the university while
maintaining quality of education and academic freedom. These
policies should require all of the following:
(a) That faculty members submit lists of required textbooks
and course materials for university review.
(b) That faculty members consider the least costly practices
in assigning textbooks and course materials, such as adopting the
least expensive edition of a textbook available when educational
content is comparable to a more costly edition.
(c) That the university review any potential financial
conflict of interest that may occur if a faculty member requires
the purchase of any textbooks or course materials he or she has
written.
(2) By February 1, 2012, each public university shall submit a
report to the house and senate appropriations subcommittees on
higher education and the house and senate fiscal agencies on the
policies developed pursuant to this section.
Sec. 263. (1) Included in the appropriation in section 236 for
agricultural experiment and cooperative extension activities is
$5,628,100.00 for project GREEEN. Project GREEEN is intended to
address critical regulatory, food safety, economic, and
environmental problems faced by this state's plant-based
agriculture, forestry, and processing industries. "GREEEN" is an
acronym for generating research and extension to meet environmental
and economic needs.
(2) The department of agriculture and rural development and
Michigan State University, in consultation with agricultural
commodity groups and other interested parties, shall develop
project GREEEN and its program priorities.
(3) By September 30, 2012, Michigan State University shall
submit a report to the house and senate appropriations
subcommittees on agriculture and on higher education, the house and
senate standing committees on agriculture, the house and senate
fiscal agencies, and the state budget director for the preceding
school fiscal year regarding expenditures and programmatic outcomes
of the agricultural experiment station and cooperative extension
service. The report shall include, but is not limited to:
(a) Total funds expended by the agricultural experiment
station and cooperative extension service identified by state,
local, private, federal, and university fund sources.
(b) The dollar amount of each project GREEEN project and a
review of each project's performance and accomplishments.
(c) The dollar amount of each bioeconomy research and
development project and a review of each project's performance and
accomplishments.
(d) The dollar amount and description of all other individual
programs and services provided by the agricultural experiment
station and cooperative extension service and a review of each
project's performance and accomplishments.
(e) The number of businesses created or that had increased
employment and the number of patents generated as a result of work
conducted by the agricultural experiment station and cooperative
extension service.
Sec. 263a. (1) Annually, in partnership with stakeholders of
the agricultural experiment station and cooperative extension
service, Michigan State University shall develop a set of research
and extension priorities. As a part of this effort, Michigan State
University and the department of agriculture and rural development,
in partnership with the agriculture industry, shall convene a
summit to set priorities for research and extension regarding
production agriculture.
(2) Not later than September 30, 2012, Michigan State
University shall submit a report to the house and senate
appropriations subcommittees on agriculture and on higher
education, the house and senate standing committees on agriculture,
the house and senate fiscal agencies, and the state budget director
for the preceding school fiscal year detailing, but not limited to:
(a) Total funds expended by the agricultural experiment
station and by the cooperative extension service identified by
state, local, private, federal, and university fund sources.
(b) A review of major programs within both the agricultural
experiment station and the cooperative extension service with
specific reference to accomplishments and impacts.
Sec. 264. Included in the appropriation in section 236 for
Michigan State University is $80,000.00 for the Michigan future
farmers of America association. This $80,000.00 appropriation shall
not supplant any existing support that Michigan State University
provides to the Michigan future farmers of America association.
Sec. 265. (1) The amounts appropriated in section 236 for
public university tuition restraint incentives shall only be paid
to a public university that certifies to the state budget director
by August 31, 2011 that its board did not adopt an increase in
tuition and fee rates for resident undergraduate students after
February 1, 2011 for the 2010-2011 academic year and that its board
will not adopt an increase in tuition and fee rates for resident
undergraduate students for the 2011-2012 academic year that is
greater than the calculated average of annual statewide changes in
tuition and fee rates for academic years 2006-2007 through 2010-
2011, as determined by the state budget director. As used in this
subsection:
(a) "Fee" means any board-authorized fee that will be paid by
more than 1/2 of all resident undergraduate students at least once
during their enrollment at a public university. A university
increasing a fee that applies to a specific subset of students or
courses shall provide sufficient information to prove that the
increase applied to that subset will not cause the increase in the
average amount of board-authorized total tuition and fees paid by
resident undergraduate students in the 2011-2012 academic year to
exceed the limit established in this subsection.
(b) "Tuition and fee rate" means the average of rates for all
undergraduate classes, based on the highest board-authorized rate
for any semester during the academic year.
(2) The state budget director shall implement uniform
reporting requirements to ensure that a public university receiving
an appropriation under section 236 has satisfied the tuition
restraint requirements of this section. The state budget director
shall have the sole authority to determine if a public university
has met the requirements of this section. Information reported by a
public university to the state budget director under this
subsection shall also be reported to the house and senate
appropriations subcommittees on higher education and the house and
senate fiscal agencies.
(3) In conjunction with the uniform reporting requirements
established under subjection (2), each public university shall also
report the following information to the house and senate
appropriations subcommittees on higher education, the house and
senate fiscal agencies, and the state budget director by August 31,
2011:
(a) Actual fiscal year 2010-2011 and budgeted fiscal year
2011-2012 total general fund tuition and fee revenue.
(b) Actual fiscal year 2010-2011 and budgeted fiscal year
2011-2012 total general fund revenue.
(c) Actual fiscal year 2010-2011 and budgeted fiscal year
2011-2012 general fund expenditures for student financial aid.
(d) Actual fiscal year 2010-2011 and budgeted fiscal year
2011-2012 total general fund expenditures.
(e) Actual fiscal year 2010-2011 and budgeted fiscal year
2011-2012 total fiscal year equated student enrollment.
Sec. 266. It is the intent of the legislature that, in
subsequent budget years, public university operations funding
appropriated by the legislature shall be allocated to each
university using a formula developed and enacted by the
legislature. Such a formula shall incent universities to provide,
in a cost-effective and timely manner, postsecondary opportunities
for students that are both accessible and affordable and that
result in a highly skilled workforce.
Sec. 267. All public universities shall submit the amount of
tuition and fees actually charged to a full-time resident
undergraduate student for academic year 2011-2012 as part of their
higher education institutional data inventory (HEIDI) data by
August 31, 2011. A public university shall report any revisions for
any semester of the reported academic year 2011-2012 tuition and
fee charges to HEIDI within 15 days of being adopted.
Sec. 268. For the fiscal year ending September 30, 2012, it is
the intent of the legislature that funds be allocated for unfunded
North American Indian tuition waiver costs incurred by public
universities under 1976 PA 174, MCL 390.1251 to 390.1253, from the
general fund.
Sec. 269. From the amount appropriated in section 236 to
Central Michigan University for operations, $29,700.00 shall be
paid to Saginaw Chippewa Tribal College for the costs of waiving
tuition for North American Indians under 1976 PA 174, MCL 390.1251
to 390.1253.
Sec. 270. From the amount appropriated in section 236 to Lake
Superior State University for operations, $100,000.00 shall be paid
to Bay Mills Community College for the costs of waiving tuition for
North American Indians under 1976 PA 174, MCL 390.1251 to 390.1253.
Sec. 270a. Public universities shall coordinate their
purchases of goods and services whenever possible. This may
include, but is not limited to, group purchases for vehicles,
utilities, supplies, electronic equipment, maintenance equipment,
books, and contractual services. To the extent possible, the public
universities shall use both the "Michigan delivering extended
agreements locally" (MiDEAL) purchasing services of the state
department of technology, management, and budget that makes state
contracts available to local units of government, colleges, and
universities and the purchasing services available through the
state's membership in the Midwestern Higher Education Compact
(MHEC). Not later than January 1 of each year, the presidents
council, state universities of Michigan shall submit to the members
of the house and senate appropriations subcommittees on higher
education, the house and senate fiscal agencies, and the state
budget director a report on group or pooled purchases and the
savings achieved by the public universities in the previous fiscal
year.
Sec. 271. By February 15, 2012, each public university
receiving funds in section 236 shall submit a report to the house
and senate appropriations subcommittees on higher education, the
house and senate fiscal agencies, and the state budget director
regarding academic program accreditation. The report shall include
a list of all individually accredited academic programs at the
university, the associated accrediting bodies, and the time periods
for which each accreditation is valid, as well as an accounting of
all fees, dues, and other direct expenditures made by the
university for each program accreditation process conducted in the
prior year. Expenditure data may be reported on either a calendar
year or fiscal year basis.
Sec. 272. By February 15, 2012, each public university
receiving funds under section 236 shall submit a report to the
house and senate appropriations subcommittees on higher education,
the house and senate fiscal agencies, and the state budget director
regarding the rejection of transfer credits by the university in
the prior year. The report shall include information on the number
of credits earned by incoming students at other postsecondary
institutions, with the equivalent of a letter grade of C or higher,
that were rejected by the university for transfer, reported by both
academic program area and prior institution, along with explanatory
information regarding the rationale for the rejection of the
credits. Data may be reported on either an academic or calendar
year basis.
Sec. 273. It is the intent of the legislature that each public
university shall submit a report to the house and senate
appropriations committees, the house and senate fiscal agencies,
and the state budget director by October 15, 2011, on the
university's efforts to accommodate the sincerely held religious
beliefs of students enrolled in accredited counseling degree
programs at the university.
Sec. 274. It is the intent of the legislature that each public
university that has received a donation of human embryos that is
subject to section 27 of article I of the state constitution of
1963, or that is conducting ongoing research using human embryonic
stem cells derived from donated human embryos pursuant to section
27 of article I of the state constitution of 1963, shall submit a
report to the director of the department of community health by
December 1, 2011 that includes all of the following:
(a) The number of human embryos and the number of human embryo
stem cell lines received by the university during fiscal year 2010-
2011.
(b) The number of human embryos utilized for research purposes
during fiscal year 2010-2011.
(c) The number of human embryo stem cell lines created from
the embryos received during fiscal year 2010-2011.
(d) The number of donated human embryos being held in storage
by the university as of September 30, 2011.
(e) The number of research projects using human embryonic stem
cells derived from donated embryos being conducted by the
university.
Sec. 274a. (1) It is the intent of the legislature that a
public university receiving funds in section 236 not provide health
insurance or other fringe benefits for any adult coresident of an
employee of the university who is not married to or a dependent of
that employee or for any dependent of such an adult coresident.
(2) It is the intent of the legislature that each public
university receiving funds in section 236 submit a report by
December 1, 2011 to the house and senate appropriations
subcommittees on higher education, the house and senate fiscal
agencies, and the state budget director containing the number of
individuals described in subsection (1) who received health
insurance or other fringe benefits provided by the university in
fiscal year 2010-2011 and the cost to the university of providing
those benefits.
Sec. 275. (1) It is the intent of the legislature that each
public university receiving an appropriation in section 236 do all
of the following:
(a) Meet the provisions of section 5003 of the post-911
veterans educational assistance act of 2008, title V of Public Law
110-252, 38 USC 3301 to 3324, including voluntary participation in
the yellow ribbon GI education enhancement program established in
that act in 38 USC 3317. By October 1 of each year, each public
university shall report to the house and senate appropriations
subcommittees on higher education, the house and senate fiscal
agencies, and the presidents council, state universities of
Michigan on whether or not it has chosen to participate in the
yellow ribbon GI education enhancement program. If at any time
during the fiscal year a university participating in the yellow
ribbon program chooses to leave the yellow ribbon program, it shall
notify the house and senate appropriations subcommittees on higher
education, the house and senate fiscal agencies, and the presidents
council, state universities of Michigan.
(b) Establish an on-campus veterans' liaison to provide
information and assistance to all student veterans.
(c) Provide flexible enrollment application deadlines for all
veterans.
(d) Include in its admission application process a specific
question as to whether an applicant for admission is a veteran, an
active member of the military, a member of the national guard or
military reserves, or the spouse or dependent of a veteran, active
member of the military, or member of the national guard or military
reserves, in order to more quickly identify potential educational
assistance available to that applicant.
(2) As used in this section, "veteran" means an honorably
discharged veteran entitled to educational assistance under the
provisions of section 5003 of the post-911 veterans educational
assistance act of 2008, title V of Public Law 110-252, 38 USC 3301
to 3324.
Sec. 275a. Funds appropriated in section 236 shall not be used
to pay for the construction or maintenance of a self-liquidating
project. A public university shall comply with the current use and
finance requirements of the joint capital outlay subcommittee
(JCOS) for any construction, renovation, or other capital outlay
projects pursuant to JCOS policy. The appropriation in section 236
for a public university that fails to comply with JCOS reporting
requirements shall be reduced by 1% for each violation.
Sec. 276. (1) Included in the appropriation for each public
university in section 236 is funding for the Martin Luther King,
Jr. - Cesar Chavez - Rosa Parks future faculty program that is
intended to increase the pool of academically or economically
disadvantaged candidates pursuing faculty teaching careers in
postsecondary education. Preference may not be given to applicants
on the basis of race, color, ethnicity, gender, or national origin.
Institutions should encourage applications from applicants who
would otherwise not adequately be represented in the graduate
student and faculty populations. Each public university shall apply
the percentage change applicable to every public university in the
calculation of appropriations in section 236 to the amount of funds
allocated to the future faculty program.
(2) The program shall be administered by each public
university in a manner prescribed by the workforce development
agency. The workforce development agency shall use a good faith
effort standard to evaluate whether a fellowship is in default.
Sec. 277. (1) Included in the appropriation for each public
university in section 236 is funding for the Martin Luther King,
Jr. - Cesar Chavez - Rosa Parks college day program that is
intended to introduce academically or economically disadvantaged
schoolchildren to the potential of a college education. Preference
may not be given to participants on the basis of race, color,
ethnicity, gender, or national origin. Public universities should
encourage participation from those who would otherwise not
adequately be represented in the student population.
(2) Individual program plans of each public university shall
include a budget of equal contributions from this program, the
participating public university, the participating school district,
and the participating independent degree-granting college. College
day funds shall not be expended to cover indirect costs. Not more
than 20% of the university match shall be attributable to indirect
costs. Each public university shall apply the percentage change
applicable to every public university in the calculation of
appropriations in section 236 to the amount of funds allocated to
the college day program.
(3) The program described in this section shall be
administered by each public university in a manner prescribed by
the workforce development agency.
Sec. 278. (1) Included in section 236 is funding for the
Martin Luther King, Jr. - Cesar Chavez - Rosa Parks select student
support services program for developing academically or
economically disadvantaged student retention programs for 4-year
public and independent educational institutions in this state.
Preference may not be given to participants on the basis of race,
color, ethnicity, gender, or national origin. Institutions should
encourage participation from those who would otherwise not
adequately be represented in the student population.
(2) An award made under this program to any 1 institution
shall not be greater than $150,000.00, and the amount awarded shall
be matched on a 70% state, 30% college or university basis.
(3) The program described in this section shall be
administered by the workforce development agency.
Sec. 279. (1) Included in section 236 is funding for the
Martin Luther King, Jr. - Cesar Chavez - Rosa Parks
college/university partnership program between 4-year public and
independent colleges and universities and public community
colleges, which is intended to increase the number of academically
or economically disadvantaged students who transfer from community
colleges into baccalaureate programs. Preference may not be given
to participants on the basis of race, color, ethnicity, gender, or
national origin. Institutions should encourage participation from
those who would otherwise not adequately be represented in the
transfer student population.
(2) The grants shall be made under the program described in
this section to Michigan public and independent colleges and
universities. An award to any 1 institution shall not be greater
than $150,000.00, and the amount awarded shall be matched on a 70%
state, 30% college or university basis.
(3) The program described in this section shall be
administered by the workforce development agency.
Sec. 280. (1) Included in the appropriation for each public
university in section 236 is funding for the Martin Luther King,
Jr. - Cesar Chavez - Rosa Parks visiting professors program which
is intended to increase the number of instructors in the classroom
to provide role models for academically or economically
disadvantaged students. Preference may not be given to participants
on the basis of race, color, ethnicity, gender, or national origin.
Public universities should encourage participation from those who
would otherwise not adequately be represented in the student
population.
(2) The program described in this section shall be
administered by the workforce development agency.
Sec. 281. (1) Included in the appropriation in section 236 is
funding under the Martin Luther King, Jr. - Cesar Chavez - Rosa
Parks initiative for the Morris Hood, Jr. educator development
program which is intended to increase the number of academically or
economically disadvantaged students who enroll in and complete K-12
teacher education programs at the baccalaureate level. Preference
may not be given to participants on the basis of race, color,
ethnicity, gender, or national origin. Institutions should
encourage participation from those who would otherwise not
adequately be represented in the teacher education student
population.
(2) The program described in this section shall be
administered by each state-approved teacher education institution
in a manner prescribed by the workforce development agency.
(3) Approved teacher education institutions may and are
encouraged to use student support services funding in coordination
with the Morris Hood, Jr. funding to achieve the goals of the
program described in this section.
Sec. 282. Each institution receiving funds under section 278,
279, or 281 shall notify the workforce development agency by April
15, 2012 as to whether it will expend by the end of its fiscal year
the funds received under section 278, 279, or 281. Notwithstanding
the award limitations in sections 278 and 279, the amount of
funding reported as not being expended will be reallocated to the
institutions that intend to expend all funding received under
section 278, 279, or 281.
Sec. 283. (1) From the amount appropriated in section 236, the
public universities shall systematically inform Michigan high
schools regarding the academic status of students from each high
school in a manner prescribed by the presidents council, state
universities of Michigan in cooperation with the Michigan
association of secondary school principals.
(2) The Michigan high schools shall systematically inform the
public universities about the use of information received under
this section in a manner prescribed by the Michigan association of
secondary school principals in cooperation with the presidents
council, state universities of Michigan.
Sec. 284. From the amount appropriated in section 236, the
public universities shall inform Michigan community colleges
regarding the academic status of community college transfer
students in a manner prescribed by the presidents council, state
universities of Michigan in cooperation with the Michigan community
college association.
Sec. 285. Public universities shall work with the state
community colleges to encourage the transfer of students from the
community colleges to the public universities and to facilitate the
transfer of credits from the community colleges to the public
universities.
Sec. 286. It is the intent of the legislature that public
universities work with community colleges in the state to implement
statewide reverse transfer agreements to increase the number of
students that are awarded credentials of value upon completion of
the necessary credits. In doing so, the institutions should work
collaboratively and cooperatively to remove administrative barriers
that result in understating the academic attainment of Michigan's
citizens. It is the intent of the legislature that by August 1,
2012, statewide agreements are in place between community colleges
and public universities that enable students who have earned a
significant number of credits at a community college and transfer
to a baccalaureate granting institution before completing a degree
to transfer the credits earned at the baccalaureate institution
back to the community college in order to be awarded a credential
of value.
Sec. 289. (1) The auditor general shall review higher
education institutional data inventory (HEIDI) enrollment data
submitted by all public universities and may perform audits of
selected public universities if determined necessary. The review
and audits shall be based upon the definitions, requirements, and
uniform reporting categories established by the state budget
director in consultation with the HEIDI advisory committee. The
auditor general shall submit a report of findings to the house and
senate appropriations committees and the state budget director no
later than July 1, 2012.
(2) Student credit hours reports shall not include the
following:
(a) Student credit hours generated through instructional
activity by faculty or staff in classrooms located outside
Michigan, with the exception of instructional activity related to
study-abroad programs or field programs.
(b) Student credit hours generated through distance learning
instruction for students not eligible for the public university's
in-state main campus resident tuition rate. However, in instances
where a student is enrolled in distance education and non-distance
education credit hours in a given term and the student's non-
distance education enrollment is at a campus or site located within
Michigan, student credit hours per the student's eligibility for
in-state or out-of-state tuition rates may be reported.
(c) Student credit hours generated through credit by
examination.
(d) Student credit hours generated through inmate prison
programs regardless of teaching location.
(e) Student credit hours generated in new degree programs
after January 1, 1975, that have not been specifically authorized
for funding by the legislature, except spin-off programs converted
from existing core programs that do all of the following:
(i) Represent new options, fields, or concentrations within
existing programs.
(ii) Are consistent with the current institutional role and
mission.
(iii) Are accommodated within the continuing funding base of the
public university.
(iv) Do not require a new degree level beyond that which the
public university is currently authorized to grant within that
discipline or field.
(v) Do not require funding from the state other than that
provided by the student credit hours generated within the program,
either before program initiation or within the first 3 years of
program operation.
(3) The auditor general shall periodically audit higher
education institutional data inventory (HEIDI) data as submitted by
the public universities for compliance with the definitions
established by the state budget director in consultation with the
HEIDI advisory committee for the HEIDI database.
(4) "Distance learning instruction" as used in subsection (2)
means instruction that occurs solely in other than a traditional
classroom setting where the student and instructor are in the same
physical location and for which a student receives course credits
and is charged tuition and fees. Examples of distance learning
instruction are instruction delivered solely through the Internet,
cable television, teleconference, or mail.
Sec. 290. (1) Pursuant to section 289(2)(e), public
universities may establish the following degree programs:
(a) Bachelor's degree programs:
Central Michigan University, Athletic Training, B.S.A.T.
Grand Valley State University, Comprehensive Science and Arts for
Teaching (CSAT), B.A./B.S.
Northern Michigan University, Fisheries and Wildlife Management,
B.S.
Northern Michigan University, German Studies, Baccalaureate
Oakland University, Bachelor of Liberal Studies, B.A.
University of Michigan-Dearborn, Bio-Engineering, B.S.E.
University of Michigan-Dearborn, Integrated Science, B.S.
University of Michigan-Flint, Economics, B.S.
University of Michigan-Flint, Energy and Sustainable Systems, B.S.
University of Michigan-Flint, English with a Specialization in
Linguistics, B.A.
Wayne State University, Astronomy, B.A.
Wayne State University, Biomedical Engineering, B.S.
(b) Master's degree programs:
Eastern Michigan University, Teaching - Secondary Mathematics, M.A.
Michigan State University, Education for the Health Professions,
M.A.
Michigan State University, Marketing Research, M.S.
Oakland University, Clinical Nurse Leadership, M.S.N
Oakland University, Master of Arts Communication, M.A.C
Oakland University, Mechatronics, M.S.
University of Michigan-Ann Arbor, Oral and Maxillofacial Pathology
Program, M.S.
University of Michigan-Flint, Master of Public Health, M.P.H.
Wayne State University, Electric-Drive Vehicle Engineering, M.S.
Western Michigan University, Engineering (Chemical), M.S.
(c) Doctoral degree programs:
Central Michigan University, Doctor of Medicine, M.D.
Michigan Technological University, Environmental and Energy Policy,
Ph.D.
Michigan Technological University, Geophysics, Ph.D.
Oakland University, Doctor of Medicine, M.D.
University of Michigan-Ann Arbor, Doctor of Nursing Practice,
D.N.P.
University of Michigan-Ann Arbor, Doctoral Degree Granting Program
in Cancer Biology, Doctoral
University of Michigan-Dearborn, Education Specialist, Ed.S.
University of Michigan-Flint, Doctor of Anesthesia Practice,
Dr.A.P.
University of Michigan-Flint, Doctor of Occupational Therapy,
Dr.O.T.
Western Michigan University, Engineering and Applied Sciences,
Ph.D.
(2) The listing of degree programs in subsection (1) does not
constitute legislative intent to provide additional dollars for
those programs.
(3) When submitting the listing of new degree programs for
purposes of section 289(2)(e), the presidents council of state
universities shall also provide a listing of degree programs that
institutions of higher education will no longer offer in subsequent
academic years.
Sec. 291. The auditor general may conduct performance audits
of public universities receiving funds in section 236 during the
fiscal year ending September 30, 2012 as the auditor general
considers necessary.
Sec. 292. A public university receiving funds under section
236 and also subject to the student right-to-know and campus
security act, Public Law 101-542, 104 Stat. 2381, shall make a copy
of all material prepared pursuant to the public information
reporting requirements under the crime awareness and campus
security act of 1990, title II of the student right-to-know and
campus security act, Public Law 101-542, 104 Stat. 2381, available
in electronic Internet format on their websites.
Sec. 293. A public university receiving funds under this
article and also subject to the family educational rights and
privacy act (FERPA), 20 USC 1232g, 34 CFR part 99, shall, when
requested, provide information from the records of a student to any
person or persons to whom the student has authorized disclosure on
a written consent form pursuant to 34 CFR 99.30.
Sec. 294. For the state fiscal year ending September 30, 2012,
in addition to the appropriations under section 236, there is
appropriated from general fund/general purpose revenue, on a 1-time
basis only, $1,900,000.00 for the following purposes:
(a) To Eastern Michigan University, for the autism
collaborative center, $500,000.00.
(b) To Michigan State University, for the facility for rare
isotope beams, $1,200,000.00.
(c) To Western Michigan University, for economic development
and commercialization, $200,00.00.
ARTICLE IV
GENERAL PROVISIONS
Sec. 296. (1) If the maximum amount appropriated under this
act from the state school aid fund for a fiscal year exceeds the
amount necessary to fully fund allocations under this act from the
state school aid fund, that excess amount shall not be expended in
that state fiscal year and shall not lapse to the general fund, but
instead shall be deposited into the school aid stabilization fund
created in section 11a.
(2) If the total maximum amount appropriated under all
articles of this act from the state school aid fund and the school
aid stabilization fund exceeds the amount available for expenditure
from the state school aid fund for that fiscal year, payments under
sections 11f, 11g, 11j, 22a, 26a, 26b, 31d, 31f, 51a(2), 51a(12),
51c, 53a, 56, and 152a shall be made in full. In addition, for
districts beginning operations after 1994-95 that qualify for
payments under section 22b, payments under section 22b shall be
made so that the qualifying districts receive the lesser of an
amount equal to the 1994-95 foundation allowance of the district in
which the district beginning operations after 1994-95 is located or
$5,500.00. The amount of the payment to be made under section 22b
for these qualifying districts shall be as calculated under section
22a, with the balance of the payment under section 22b being
subject to the proration otherwise provided under this subsection
and subsection (3). If proration is necessary, state payments under
each of the other sections of article I from all state funding
sources, and state appropriations to community colleges and public
universities under articles II and III from the state school aid
fund, shall be prorated in the manner prescribed in subsection (3)
as necessary to reflect the amount available for expenditure from
the state school aid fund for the affected fiscal year. However, if
the department of treasury determines that proration will be
required under this subsection, or if the department of treasury
determines that further proration is required under this subsection
after an initial proration has already been made for a fiscal year,
the department of treasury shall notify the state budget director,
and the state budget director shall notify the legislature at least
30 calendar days or 6 legislative session days, whichever is more,
before the department reduces any payments under this act because
of the proration. During the 30-calendar-day or 6-legislative-
session-day period after that notification by the state budget
director, the department shall not reduce any payments under this
act because of proration under this subsection. The legislature may
prevent proration from occurring by, within the 30-calendar-day or
6-legislative-session-day period after that notification by the
state budget director, enacting legislation appropriating
additional funds from the general fund, countercyclical budget and
economic stabilization fund, state school aid fund balance, or
another source to fund the amount of the projected shortfall.
(3) If proration is necessary under subsection (2), the
department shall calculate the proration in district and
intermediate district payments under article I that is required
under subsection (2), and the department of treasury shall
calculate the proration in community college and public university
payments under articles II and III that is required under
subsection (2), as follows:
(a) The department and the department of treasury shall
calculate the percentage of total state school aid fund money that
is appropriated and allocated under this act for the affected
fiscal year for each of the following:
(i) Districts.
(ii) Intermediate districts.
(iii) Entities receiving funding from the state school aid fund
under article I other than districts or intermediate districts.
(iv) Community colleges and public universities that receive
funding from the state school aid fund.
(b) The department shall recover a percentage of the proration
amount required under subsection (2) that is equal to the
percentage calculated under subdivision (a)(i) for districts by
reducing payments to districts. This reduction shall be made by
calculating an equal dollar amount per pupil as necessary to
recover this percentage of the proration amount and reducing each
district's total state school aid from state sources, other than
payments under sections 11f, 11g, 11j, 22a, 26a, 26b, 31d, 31f,
51a(2), 51a(12), 51c, 53a, and 152a, by that amount.
(c) The department shall recover a percentage of the proration
amount required under subsection (2) that is equal to the
percentage calculated under subdivision (a)(ii) for intermediate
districts by reducing payments to intermediate districts. This
reduction shall be made by reducing the payments to each
intermediate district, other than payments under sections 11f, 11g,
26a, 26b, 51a(2), 51a(12), 53a, 56, and 152a, on an equal
percentage basis.
(d) The department shall recover a percentage of the proration
amount required under subsection (2) that is equal to the
percentage calculated under subdivision (a)(iii) for entities
receiving funding from the state school aid fund under article I
other than districts and intermediate districts by reducing
payments to these entities. This reduction shall be made by
reducing the payments to each of these entities, other than
payments under sections 11j, 26a, and 26b, on an equal percentage
basis.
(e) The department of treasury shall recover a percentage of
the proration amount required under subsection (2) that is equal to
the percentage calculated under subdivision (a)(iv) for community
colleges and public universities that receive funding from the
state school aid fund by reducing that portion of the payments
under articles II and III to these community colleges and public
universities that is from the state school aid fund on an equal
percentage basis.
Enacting section 1. (1) In accordance with section 30 of
article IX of the state constitution of 1963, total state spending
on school aid under article I as amended by this amendatory act and
in 2010 PA 217 from state sources for fiscal year 2010-2011 is
estimated at $10,775,902,900.00 and state appropriations for school
aid to be paid to local units of government for fiscal year 2010-
2011 are estimated at $10,673,832,600.00; and total state spending
on school aid under article I as amended by this amendatory act
from state sources for fiscal year 2011-2012 is estimated at
$11,005,741,100.00 and state appropriations for school aid to be
paid to local units of government for fiscal year 2011-2012 are
estimated at $10,716,987,100.00.
(2) In accordance with section 30 of article IX of the state
constitution of 1963, total state spending from state sources for
community colleges for fiscal year 2011-2012 under article II as
added by this amendatory act is estimated at $283,880,500.00 and
the amount of that state spending from state sources to be paid to
local units of government for fiscal year 2011-2012 is estimated at
$283,880,500.00.
(3) In accordance with section 30 of article IX of the state
constitution of 1963, total state spending from state sources for
higher education for fiscal year 2011-2012 under article III as
added by this amendatory act is estimated at $1,263,952,000.00 and
the amount of that state spending from state sources to be paid to
local units of government for fiscal year 2011-2012 is estimated at
$0.
Enacting section 2. Sections 11d, 11p, 20j, 20k, 29, 32c, 41,
64, 65, 92, 99i, 99p, 158b, and 166c, of the state school aid act
of 1979, 1979 PA 94, MCL 388.1611d, 388.1611p, 388.1620j,
388.1620k, 388.1629, 388.1632c, 388.1641, 388.1664, 388.1665,
388.1692, 388.1699i, 388.1699p, 388.1758b, and 388.1766c, are
repealed effective October 1, 2011.
Enacting section 3. (1) Except as otherwise provided in
subsection (2), this amendatory act takes effect October 1, 2011.
(2) Sections 11, 11m, 22a, 22b, 51a, 51c, and 74 of the state
school aid act of 1979, 1979 PA 94, MCL 388.1611, 388.1611m,
388.1622a, 388.1622b, 388.1651a, 388.1651c, and 388.1674, as
amended by this amendatory act, take effect upon enactment of this
amendatory act.