SUBSTITUTE FOR

SENATE BILL NO. 955

     A bill to amend 1979 PA 94, entitled

"The state school aid act of 1979,"

by amending sections 236, 236a, 237, 238, 239, 239a, 241, 242, 243,

244, 245, 251, 252, 253, 254, 255, 256, 257, 258, 261, 263, 263a,

264, 265, 267, 268, 269, 270, 273, 274, 274a, 275, 275a, 276, 277,

278, 279, 280, 281, 282, 283, 284, 285, 286, 289, 290, 291, and 293

(MCL 388.1836, 388.1836a, 388.1837, 388.1838, 388.1839, 388.1839a,

388.1841, 388.1842, 388.1843, 388.1844, 388.1845, 388.1851,

388.1852, 388.1853, 388.1854, 388.1855, 388.1856, 388.1857,

388.1858, 388.1861, 388.1863, 388.1863a, 388.1864, 388.1865,

388.1867, 388.1868, 388.1869, 388.1870, 388.1873, 388.1874,

388.1874a, 388.1875, 388.1875a, 388.1876, 388.1877, 388.1878,

388.1879, 388.1880, 388.1881, 388.1882, 388.1883, 388.1884,

388.1885, 388.1886, 388.1889, 388.1890, 388.1891, and 388.1893), as

added by 2011 PA 62, and by adding sections 236b, 237b, 246, 265a,

273a, and 293a; and to repeal acts and parts of acts.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

     Sec. 236. (1) Subject to the conditions set forth in this

article, the amounts listed in subsections (2) to (5)(7) are

appropriated for higher education for the fiscal year ending

September 30, 2012, 2013, from the funds indicated in this section.

The following is a summary of the appropriations in subsections (2)

to (5):(7):

     (a) The gross appropriation is $1,362,278,400.00.

$1,399,220,400.00. After deducting total interdepartmental grants

and intradepartmental transfers in the amount of $0.00, the

adjusted gross appropriation is

$1,362,278,400.00.$1,399,220,400.00.

     (b) The sources of the adjusted gross appropriation described

in subdivision (a) are as follows:

     (i) Total federal revenues, $98,326,400.00.$97,026,400.00.

     (ii) Total local revenues, $0.00.

     (iii) Total private revenues, $0.00.

     (iv) Total other state restricted revenues,

$200,219,500.00.$200,565,700.00.

     (v) State general fund/general purpose money,

$1,063,732,500.00.$1,101,628,300.00.

     (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 $69,575,300.00, $68,108,900.00 for

operations and $6,677,800.00 $1,466,400.00 for tuition restraint

incentive, performance funding, appropriated from the following:

     (i) State school aid fund, $11,284,600.00.

     (ii) State general fund/general purpose money,

$56,824,300.00.$58,290,700.00.

     (b) The appropriation for Eastern Michigan University is

$64,619,100.00, $61,319,900.00 $66,297,500.00, $64,619,100.00 for

operations and $3,299,200.00 $1,678,400.00 for tuition restraint

incentive, performance funding, appropriated from the following:

     (i) State school aid fund, $10,706,400.00.

     (ii) State general fund/general purpose money,

$53,912,700.00.$55,591,100.00.

     (c) The appropriation for Ferris State University is

$41,324,300.00, $37,971,600.00 $42,981,400.00, $41,324,300.00 for

operations and $3,352,700.00 $1,657,100.00 for tuition restraint

incentive, performance funding, appropriated from the following:

     (i) State school aid fund, $6,846,800.00.

     (ii) State general fund/general purpose money,

$34,477,500.00.$36,134,600.00.

     (d) The appropriation for Grand Valley State University is

$52,677,400.00, $48,431,500.00 $55,097,500.00, $52,677,400.00 for

operations and $4,245,900.00 $2,420,100.00 for tuition restraint

incentive, performance funding, appropriated from the following:

     (i) State school aid fund, $8,727,800.00.

     (ii) State general fund/general purpose money,

$43,949,600.00.$46,369,700.00.

     (e) The appropriation for Lake Superior State University is

$10,789,500.00, $10,055,100.00 $11,030,700.00, $10,789,500.00 for

operations and $734,400.00 $241,200.00 for tuition restraint

incentive, performance funding, appropriated from the following:

     (i) State school aid fund, $1,787,600.00.

     (ii) State general fund/general purpose money,

$9,001,900.00.$9,243,100.00.

     (f) The appropriation for Michigan State University is

$293,746,600.00, $222,796,200.00 $298,733,800.00, $241,120,800.00

for operations, $18,324,600.00 $3,408,400.00 for tuition restraint

incentive, performance funding, and $52,625,800.00 $54,204,600.00

for agricultural experiment and cooperative MSU AgBioResearch and

MSU 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.$258,783,900.00.

     (g) The appropriation for Michigan Technological University is

$40,733,600.00, $37,409,700.00 $42,409,900.00, $40,733,600.00 for

operations and $3,323,900.00 $1,676,300.00 for tuition restraint

incentive, performance funding, appropriated from the following:

     (i) State school aid fund, $6,748,900.00.

     (ii) State general fund/general purpose money,

$33,984,700.00.$35,661,000.00.

     (h) The appropriation for Northern Michigan University is

$38,367,400.00, $36,225,200.00 $40,348,800.00, $38,367,400.00 for

operations and $2,142,200.00 $1,981,400.00 for tuition restraint

incentive, performance funding, appropriated from the following:

     (i) State school aid fund, $6,356,900.00.

     (ii) State general fund/general purpose money,

$32,010,500.00.$33,991,900.00.

     (i) The appropriation for Oakland University is

$43,145,000.00, $39,313,500.00 $44,033,300.00, $43,145,000.00 for

operations and $3,831,500.00 $888,300.00 for tuition restraint

incentive, performance funding, appropriated from the following:

     (i) State school aid fund, $7,148,400.00.

     (ii) State general fund/general purpose money,

$35,996,600.00.$36,884,900.00.

     (j) The appropriation for Saginaw Valley State University is

$23,561,500.00, $21,969,300.00 $25,487,500.00, $23,561,500.00 for

operations and $1,592,200.00 $1,926,000.00 for tuition restraint

incentive, performance funding, appropriated from the following:

     (i) State school aid fund, $3,903,800.00.

     (ii) State general fund/general purpose money,

$19,657,700.00.$21,583,700.00.

     (k) The appropriation for University of Michigan - Ann Arbor

is $268,803,300.00, $254,931,800.00 $273,056,700.00,

$268,803,300.00 for operations and $13,871,500.00 $4,253,400.00 for

tuition restraint incentive, performance funding, appropriated from

the following:

     (i) State school aid fund, $44,536,300.00.

     (ii) State general fund/general purpose money,

$224,267,000.00.$228,520,400.00.

     (l) The appropriation for University of Michigan – Dearborn is

$21,016,300.00, $19,627,400.00 $21,898,800.00, $21,016,300.00 for

operations and $1,388,900.00 $882,500.00 for tuition restraint

incentive, performance funding, appropriated from the following:

     (i) State school aid fund, $3,482,100.00.

     (ii) State general fund/general purpose money,

$17,534,200.00.$18,416,700.00.

     (m) The appropriation for University of Michigan – Flint is

$17,762,400.00, $16,679,400.00 $19,103,500.00, $17,762,400.00 for

operations and $1,083,000.00 $1,341,100.00 for tuition restraint

incentive, performance funding, appropriated from the following:

     (i) State school aid fund, $2,942,900.00.

     (ii) State general fund/general purpose money,

$14,819,500.00.$16,160,600.00.

     (n) The appropriation for Wayne State University is

$182,036,900.00, $169,209,400.00 $183,229,100.00, $182,036,900.00

for operations and $12,827,500.00 $1,192,200.00 for tuition

restraint incentive, performance funding, appropriated from the

following:

     (i) State school aid fund, $30,160,600.00.

     (ii) State general fund/general purpose money,

$151,876,300.00.$153,068,500.00.

     (o) The appropriation for Western Michigan University is

$93,168,300.00, $86,866,700.00 $95,318,300.00, $93,168,300.00 for

operations and $6,301,600.00 $2,150,000.00 for tuition restraint

incentive, performance funding, appropriated from the following:

     (i) State school aid fund, $15,436,500.00.

     (ii) State general fund/general purpose money,

$77,731,800.00.$79,881,800.00.

     (3) In addition to the amounts described in subsection (2),

$9,054,200.00 in tuition restraint funding is appropriated for

university operations from general fund/general purpose money. The

amount allocated to each public university is determined in the

manner provided in section 265.

     (4) The amount appropriated for Michigan public school

employees' retirement system reimbursement is $446,200.00,

appropriated from the state school aid fund.

(5) (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.

(6) (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.

(7) (5) Subject to subsection (6), (8), the amount

appropriated for grants and financial aid is $99,526,400.00,

$98,226,400.00, allocated as follows:

     (a) State competitive scholarships,

$19,861,700.00.$18,361,700.00.

     (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.

(d) (e) Children of veterans and officer's survivor tuition

grant programs, $1,200,000.00.

(e) (f) Project GEAR-UP, $1,500,000.00.$3,200,000.00.

(8) (6) The money appropriated in subsection (5) (7) 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.

(a) (c) Federal revenues under the United States department of

education, office of elementary and secondary education, GEAR-UP

program, $1,500,000.00.$3,200,000.00.

(b) (d) Federal revenues under the social security act,

temporary assistance for needy families, $93,826,400.00.

(c) (e) Contributions to children of veterans tuition grant

program, $200,000.00.$100,000.00.

(d) (f) State general fund/general purpose money,

$1,000,000.00.$1,100,000.00.

     Sec. 236a. It is the intent of the legislature to provide

appropriations for the fiscal year ending on September 30, 2013

2014 for the items listed in section 236. The fiscal year 2012-2013

2013-2014 appropriations are anticipated to be the same as those

for fiscal year 2011-2012, 2012-2013, 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 2013

consensus revenue estimating conference.

     Sec. 236b. In addition to the funds appropriated in section

236, there is appropriated for grants and financial aid in fiscal

year 2012-2013 an amount not to exceed $6,000,000.00 for federal

contingency funds. These funds are not available for expenditure

until they have been transferred under section 393(2) of the

management and budget act, 1984 PA 431, MCL 18.1393, for another

purpose under this article.

     Sec. 237. The All of the appropriations authorized under this

article are subject to the management and budget act, 1984 PA 431,

MCL 18.1101 to 18.1594.

     Sec. 237b. As used in this article, the term "workforce

development agency" means the workforce development agency of the

Michigan strategic fund.

     Sec. 238. Unless otherwise specified, a public universities

university 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 A public university shall not use 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 public

universities shall not use 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. 241. (1) The Subject to section 265a, 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. 2012. Except for Wayne State

University, each institution shall accrue its July and August 2012

2013 payments to its institutional fiscal year ending June 30,

2012.2013.

     (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, 2012, these data shall be submitted to

the state budget director by October 15, 2011. 2012. Public

universities with a fiscal year ending September 30, 2011 2012

shall submit preliminary HEIDI data by November 15, 2011 2012 and

final data by December 15, 2011. 2012. 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 on the legislature to continue the

purposes for which the funds are made available.

     Sec. 243. A Each 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

develop, operate, and maintain the 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.described in section

94a. If the state budget director finds that a university has not

complied with this section, the state budget director is authorized

to withhold the monthly installments provided to that university

under section 236 until he or she finds the university has complied

with this section.

     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.

     (1) Within 30 days after the board of a public university

adopts its annual operating budget for the following school fiscal

year, or after the board adopts a subsequent revision to that

budget, the public university shall make all of the following

available through a link on its website homepage in a form and

manner prescribed by the department of technology, management, and

budget:

     (a) The annual operating budget and subsequent budget

revisions.

     (b) A summary of current expenditures for the most recent

fiscal year for which they are available, expressed as pie charts

in the following 2 categories:

     (i) A chart of personnel expenditures, broken into the

following subcategories:

     (A) Earnings 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 current expenditures the public university

reported as part of its higher education institutional data

inventory data under section 241(2), broken into the same

subcategories in which it reported those data.

     (c) Links to all of the following for the public university:

     (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 of the public

university.

     (iii) Audits and financial reports for the most recent fiscal

year for which they are available.

     (iv) Campus security policies and crime statistics pursuant to

the student right-to-know and campus security act, Public Law 101-

542, 104 Stat. 2381. Information shall include 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.

     (d) A list of all 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.

     (2) A public university shall provide a dashboard or report

card demonstrating the university's performance in several "best

practice" measures. 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:

     (a) Enrollment.

     (b) Student retention rate.

     (c) Six-year graduation rates.

     (d) Number of Pell grant recipients.

     (e) Geographic origination of students, categorized as in-

state, out-of-state, and international.

     (f) Faculty to student ratios and total university employee to

student ratios.

     (g) Teaching load by faculty classification.

     (h) Graduation outcome rates, including employment and

continuing education.

     (3) For statewide consistency and public visibility, public

universities must use the icon badge provided by the department of

technology, management, and budget consistent with the icon badge

developed by the department of education for K-12 school districts.

It must appear on the front of each public university's homepage.

The size of the icon may be reduced to 150 x 150 pixels. The font

size and style for this reporting must be consistent with other

documents on each university's website. To be in compliance with

this section, all data elements defined in this section must be

available on the university's homepage, in a form and manner

prescribed by the department of technology, management, and budget,

by December 31, 2012.

     (4) The state budget director shall determine whether a public

university has complied with this section. The state budget

director may withhold a public university's monthly installments

described in section 241 until the public university complies with

this section.

     Sec. 246. (1) The funds appropriated in section 236(4) for

Michigan public school employees' retirement system reimbursement

shall be allocated to each participating public university under

this section based on each participating public university's total

retiree health care premiums paid for Michigan public school

employees' retirement system retirants in proportion to the total

retiree health care premiums paid for Michigan public school

employees' retirement system retirants for all participating public

universities for the immediately preceding state fiscal year.

Payments shall be made in a form and manner determined by the

office of retirement services. A public university 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 university for the fiscal year ending September 30,

2013.

     (2) As used in this section, "participating public university"

means a public university 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 pays retiree health care premiums to the Michigan

public school employees' retirement system for the state fiscal

year.

     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 not

less than $600.00, $575.00, 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, $575.00, 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 $575.00

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 2012 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. If the department determines that

sufficient 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 maximum award amount

established and the projected amount of any projected year-end

appropriation balance based on that maximum award amount. By

December 15, 2011, 2012, and again by February 1, 2012, 18, 2013,

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 final day of February 15,

2012. of each year. If award adjustments are necessary, the

students shall be notified of the adjustment by the third Monday in

February.March 4 of each year.

     (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 2011-2012.2012-2013.

     (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 that are 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, and 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. 30%

during the state's second fiscal quarter, 10% during the state's

third fiscal quarter, and 10% during the state's fourth 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, the department of treasury may take

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 An individual 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 an individual 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 he or she graduates from high school with a diploma

or certificate of completion or completes his or her 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 an individual 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 an

individual must not be incarcerated and must be financially

eligible as determined by the department. A person An individual is

financially eligible for the tuition incentive program if that

person he or she was Medicaid eligible for Medicaid from the state

of Michigan for 24 months within the 36 months before application.

The department shall accept certification of Medicaid eligibility

only from the department of human services for the purposes of

verifying if a person is Medicaid eligible for 24 months within the

36 months before application. Certification of eligibility may

begin in the sixth grade. As used in this subdivision,

"incarcerated" does not include detention of a juvenile in a state-

operated or privately operated juvenile detention facility.

     (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 future 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 considered 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. 263. (1) Included in the appropriation in section 236 for

agricultural experiment and cooperative extension MSU AgBioResearch

and MSU 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. By January 1, 2013, the Michigan State

University college of agriculture and natural resources, MSU

extension, and MSU AgBioResearch, in partnership with the

department of agriculture and rural development and other

stakeholders, shall establish a strategic growth initiative for the

Michigan food and agriculture industry. This initiative shall

address the following goals as established at the 2011 governor's

summit for production agriculture:

     (a) Increasing the sector's total economic impact from today's

$71,000,000,000.00 to $100,000,000,000.00.

     (b) Doubling Michigan's agricultural exports from

$1,750,000,000.00 to $3,500,000,000.00.

     (c) Increasing jobs in the food and agriculture sector by 10%.

     (d) Improving access by Michigan consumers to healthy foods by

20%.

     (2) The initiative described in subsection (1) shall be

patterned after Project GREEEN, shall emphasize priorities as set

by the Michigan food and agricultural industry, and shall include a

commitment to continuous communication, input, and interaction

among stakeholders in government and industry and at Michigan State

University. Similar to Project GREEEN, the initiative shall also

include a commitment to communicating results and impacts to

stakeholders and the legislature based on a mutually established

set of metrics designed to assure MSU extension and AgBioResearch

programs are contributing to the goals described in subsection

(1)(a) to (d).

(3) (2) Not later than September 30, 2012, 2013, 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 MSU AgBioResearch and by the cooperative MSU extension

service identified by state, local, private, federal, and

university fund sources.

     (b) The metric goals that were used to evaluate the impacts of

programs operated by MSU extension and MSU AgBioResearch. It is the

intent of the legislature that the following metric goals will be

used to evaluate the impacts of those programs:

     (i) Increasing the number of agriculture and food-related firms

collaborating with and using services of research and extension

faculty and staff by 3% per year.

     (ii) Increasing the number of individuals utilizing MSU

extension's educational services by 5% per year.

     (iii) Increasing external funds generated in support of research

and extension, beyond state appropriations, by 10% over the amounts

generated in the past 3 state fiscal years.

(c) (b) A review of major programs within both the

agricultural experiment station and the cooperative extension

service with specific reference to accomplishments and impacts. MSU

AgBioResearch and MSU extension with specific reference to

accomplishments, impacts, and the metrics described in subdivision

(b), including a specific accounting of Project GREEEN expenditures

and the impact of those expenditures.

     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

allocation shall not supplant any existing support that Michigan

State University provides to the Michigan future farmers of America

association.

     Sec. 265. (1) The amounts Payments from the amount

appropriated in section 236 236(3) for public university tuition

restraint incentives shall only be paid made to a public university

that certifies to the state budget director by August 31, 2011 2012

that its board did not adopt an increase in tuition and fee rates

for resident undergraduate students after February September 1,

2011 for the 2010-2011 2011-2012 academic year and that its board

will not adopt an increase in tuition and fee rates for resident

undergraduate students for the 2011-2012 2012-2013 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.

4.0%. As used in this subsection and subsection (2):

     (a) "Fee" Subject to subdivision (c), "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 2012-2013 academic year to exceed the limit

established in this subsection.

     (b) "Tuition and fee rate" means the average of full-time

rates for all undergraduate classes, based on the highest board-

authorized rate for any semester during the academic year. an

average of the rates authorized by the university board and

actually charged to students, deducting any uniformly-rebated or

refunded amounts, for the 2 semesters with the highest levels of

full-time equated resident undergraduate enrollment during the

academic year.

     (c) For purposes of subdivision (a), for a public university

that compels resident undergraduate students to be covered by

health insurance as a condition to enroll at the university, "fee"

includes the annual amount a student is charged for coverage by the

university-affiliated group health insurance policy if he or she

does not provide proof that he or she is otherwise covered by

health insurance. This subdivision does not apply to limited

subsets of resident undergraduate students to be covered by health

insurance for specific reasons other than general enrollment at the

university.

     (2) For purposes of section 236(3), each public university's

allocation for tuition restraint incentive shall be determined as

follows:

     (a) Calculate an adjustment for each university by subtracting

each university's reported percent change in tuition and fee rates

for academic year 2012-2013 from 4.1%. If the result of the

calculation in this subdivision is less than 0.1%, the university

is not qualified to receive an allocation under this section. All

calculations under this subdivision shall be rounded to the first

decimal place.

     (b) For each qualified university, divide the university's

adjustment as calculated under subdivision (a) by the sum of all

adjustments for qualifying universities under subdivision (a) and

then multiply the resulting calculation for each university by the

total amount available for tuition restraint incentive funding,

rounded to the nearest hundred dollars.

(3) (2) The state budget director shall implement uniform

reporting requirements to ensure that a public university receiving

an appropriation under section 236 236(3) 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.

(4) (3) In conjunction with the uniform reporting requirements

established under subsection (2), (3), 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,

2011:2012:

     (a) Actual or estimated fiscal year 2010-2011 2011-2012 and

budgeted fiscal year 2011-2012 2012-2013 total general fund tuition

and fee revenue.

     (b) Actual or estimated fiscal year 2010-2011 2011-2012 and

budgeted fiscal year 2011-2012 2012-2013 total general fund

revenue.

     (c) Actual or estimated fiscal year 2010-2011 2011-2012 and

budgeted fiscal year 2011-2012 2012-2013 general fund expenditures

for student financial aid.

     (d) Actual or estimated fiscal year 2010-2011 2011-2012 and

budgeted fiscal year 2011-2012 2012-2013 total general fund

expenditures.

     (e) Actual or estimated fiscal year 2010-2011 2011-2012 and

budgeted fiscal year 2011-2012 2012-2013 total fiscal year equated

student enrollment.

     Sec. 265a. (1) Appropriations to public universities in

section 236 for performance funding shall be paid only to a public

university that complies with all of the following requirements:

     (a) The university certifies to the state budget director, the

house and senate appropriations subcommittees on higher education,

and the house and senate fiscal agencies by August 31, 2012, that,

by January 3, 2013, it will be participating in reverse transfer

agreements described in section 286 with at least 3 Michigan

community colleges or have made a good-faith effort to enter into

reverse transfer agreements.

     (b) The university certifies to the state budget director, the

house and senate appropriations subcommittees on higher education,

and the house and senate fiscal agencies by August 31, 2012, that,

by January 3, 2013, it will not consider whether dual enrollment

credits earned by an incoming student were utilized towards his or

her high school graduation requirements when making a determination

as to whether those credits may be used by the student toward

completion of a university degree or certificate program.

     (c) The university certifies to the state budget director, the

house and senate appropriations subcommittees on higher education,

and the house and senate fiscal agencies by August 31, 2012 that

the university participates in the Michigan transfer network

created as part of the Michigan association of collegiate

registrars and admissions officers transfer agreement.

     (2) Any performance funding amounts under section 236 that are

not paid to a public university because it did not comply with 1 or

more requirements under subsection (1) are unappropriated and

reappropriated for tuition restraint funding described in section

265.

     (3) The state budget director shall report to the house and

senate appropriations subcommittees on higher education and the

house and senate fiscal agencies by September 17, 2012, regarding

any performance funding amounts not paid to a public university

because it did not comply with 1 or more requirements under

subsection (1) and any reappropriation of funds under subsection

(2).

     (4) A university that has not implemented the policies

required under subsection (1)(a) and (b) by August 31, 2012, but

certifies that it will implement those policies by January 3, 2013,

shall recertify to the state budget director, the house and senate

appropriations subcommittees on higher education, and the house and

senate fiscal agencies by January 3, 2013, that the policies have

been fully implemented. For a university that does not recertify

that the policies have been fully implemented, the performance

funding appropriated to that university in section 236 shall be

retroactively withheld and unappropriated and reappropriated under

subsection (2).

     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 2012-2013 as part

of their higher education institutional data inventory (HEIDI) data

by August 31 , 2011. of each year. A public university shall report

any revisions for any semester of the reported academic year 2011-

2012 2012-2013 tuition and fee charges to HEIDI within 15 days of

being adopted.

     Sec. 268. For the fiscal year ending September 30, 2012, 2013,

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 For fiscal year 2012-2013, 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 For fiscal year 2012-2013, 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. 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, 2012, on the

university's efforts to accommodate the sincerely held religious

beliefs of students enrolled in accredited counseling degree

programs at the university.

     Sec. 273a. (1) It is the intent of the legislature that a

public university that receives funds in section 236 shall not

knowingly and directly use any portion of those funds to benefit a

nonprofit worker training center whose documented activities

include coercion through protest, demonstration, or organization

against a Michigan business.

     (2) This section does not limit the right of a nonprofit

worker training center and the students or faculty of a public

university to communicate or to peaceably assemble.

     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.It is the intent of the legislature that public and

private organizations that conduct human embryonic stem cell

derivation subject to section 27 of article I of the state

constitution of 1963 will provide information to the director of

the department of community health by December 1, 2012 that

includes all of the following:

     (a) Documentation that the organization conducting human

embryonic stem cell derivation is conducting its activities in

compliance with the requirements of section 27 of article I of the

state constitution of 1963 and all relevant national institutes of

health guidelines pertaining to embryonic stem cell derivation.

     (b) A list of all human embryonic stem cell lines submitted by

the organization to the national institutes of health for inclusion

in the human embryonic stem cell registry before and during fiscal

year 2011-2012, and the status of each submission as approved,

pending approval, or review completed but not yet accepted.

     (c) Number of human embryonic stem cell lines derived and not

submitted for inclusion in the human embryonic stem cell registry,

before and during fiscal year 2011-2012.

     Sec. 274a. (1) It is the intent of the legislature that a

public university receiving that receives 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 2012 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 2011-2012 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

by a public university 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 fiscal year

2012-2013 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 fiscal year

2012-2013 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 for fiscal year 2012-

2013 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 for fiscal year 2012-

2013 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 fiscal year

2012-2013 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 for fiscal year

2012-2013 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 2013 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. Public universities

shall also work with the center for educational performance and

information to design and implement a systematic approach for

accomplishing this task.

     (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. Public universities shall also work with the

center for educational performance and information to design and

implement a systematic approach for accomplishing this task.

     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 those 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, these statewide agreements are in place between community

colleges and public universities that shall 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 under section 241 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.of each year.

     (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 under section 241 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 For the purposes of section

289(2)(e), the legislature authorizes the public universities may

to establish the following new 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.

     Central Michigan University, Computer Engineering, B.S.

     Eastern Michigan University, Interdisciplinary Environmental

Science and Society Program, B.S.

     Ferris State University, Graphic Media Management, B.S.

     Ferris State University, Health Care Marketing, B.S.

     Ferris State University, Insurance and Risk Management, B.S.

     Grand Valley State University, Religious Studies, B.A./B.S.

     Michigan Technological University, Engineering Management,

B.S.

     Oakland University, Biomedical Sciences, B.S.

     Oakland University, Liberal Arts Major in Creative Writing,

B.A.

     University of Michigan - Ann Arbor, Environmental Engineering,

B.S.E

     University of Michigan - Dearborn, Digital Forensics, B.S.

     University of Michigan - Dearborn, Reading - Elementary

Certification, B.A.

     Wayne State University, Instructional Technology, B.A./B.S.

     Western Michigan University, Japanese, B.A.

     Western Michigan University, e-Business Marketing, B.B.A.

     Western Michigan University, Health Informatics and

Information Management, B.S./B.B.A.

     (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.

     Ferris State University, Information Security and

Intelligence, M.S.

     Michigan Technological University, Integrated Geospatial

Technology, M.S.

     Michigan Technological University, Medical Informatics, M.S.

     Oakland University, Psychology, M.S.

     University of Michigan - Ann Arbor, Entrepreneurship, Master's

     University of Michigan - Ann Arbor, Joint Master's Degree and

Graduate Certificate Program in Health Informatics, Master's

     University of Michigan - Ann Arbor, Master's of Engineering in

Applied Climate, Master's

     University of Michigan - Ann Arbor, Master's of Medical

Science, M.M.S.

     University of Michigan - Dearborn, Business Analytics with a

Major in Business Analytics, M.S.

     University of Michigan - Dearborn, Supply Chain Management

with Minor in Supply Chain Management, M.S.

     University of Michigan - Flint, Accounting, M.S.

     University of Michigan - Flint, Master of Arts with

Certification Program, M.A.

     University of Michigan - Flint, Mathematics, M.A.

     (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.

     Michigan State University, Doctor of Nursing Practice, D.N.P.

     Michigan State University, Educational Leadership, Ed.D.

     Michigan Technological University, Biochemistry and Molecular

Biology, Ph.D.

     Northern Michigan University, Doctor of Nursing Practice,

D.N.P.

     Oakland University, Early Education and Intervention, Ed.S.

     Oakland University, Psychology, Ph.D.

     Saginaw Valley State University, Doctor of Nursing Practice,

D.N.P.

     University of Michigan - Ann Arbor, Nutritional 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. 293. A public university receiving that receives 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 individual or individuals to whom

the student has authorized disclosure on a written consent form

pursuant to 34 CFR 99.30.

     Sec. 293a. It is the intent of the legislature that fiscal

year 2012-2013 appropriations to the department of technology,

management, and budget for state building authority rent be

provided for the state share of costs for previously constructed

capital projects for public universities. These appropriations for

state building authority rent represent additional state general

fund support provided to public universities, and the following is

an estimate of the amount of that support to each university:

     (a) Central Michigan University, $9,100,100.00.

     (b) Eastern Michigan University, $5,203,100.00.

     (c) Ferris State University, $6,322,100.00.

     (d) Grand Valley State University, $4,251,000.00.

     (e) Lake Superior State University, $910,000.00.

     (f) Michigan State University, $16,096,000.00.

     (g) Michigan Technological University, $7,645,600.00.

     (h) Northern Michigan University, $7,450,000.00.

     (i) Oakland University, $10,726,000.00.

     (j) Saginaw Valley State University, $9,774,000.00.

     (k) University of Michigan – Ann Arbor, $9,156,100.00.

     (l) University of Michigan – Dearborn, $6,294,000.00.

     (m) University of Michigan – Flint, $2,854,100.00.

     (n) Wayne State University, $13,000,100.00.

     (o) Western Michigan University, $15,264,000.00.

     Enacting section 1. 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 2012-2013 under

article III of the state school aid act of 1979, 1979 PA 94, as

amended by this amendatory act, is estimated at $1,302,194,000.00

and the amount of that state spending from state sources to be paid

to local units of government for fiscal year 2012-2013 is estimated

at $0.

     Enacting section 2. Sections 237a, 240, 262, 266, 270a, 271,

272, 292, and 294 of the state school aid act of 1979, 1979 PA 94,

MCL 388.1837a, 388.1840, 388.1862, 388.1866, 388.1870a, 388.1871,

388.1872, 388.1892, and 388.1894, are repealed effective October 1,

2012.

     Enacting section 3. (1) Except as otherwise provided in

subsection (2), this amendatory act takes effect October 1, 2012.

     (2) Sections 252, 265, 265a, and 267 of the state school aid

act of 1979, 1979 PA 94, MCL 388.1852, 388.1865, 388.1865a, and

388.1867, as amended by this amendatory act, take effect upon

enactment of this amendatory act.