SB-0955, As Passed Senate, April 26, 2012

SUBSTITUTE FOR

SENATE BILL NO. 955

(As amended April 26, 2012)

<<A bill to amend 1979 PA 94, entitled

"The state school aid act of 1979,"

by amending sections 236, 236a, 237, 238, 239, 239a, 240, 241, 242,

243, 244, 245, 251, 252, 253, 254, 255, 256, 257, 258, 261, 263, 263a,

264, 265, 267, 268, 269, 270, 273, 274, 275, 275a, 276, 277, 278,

279, 280, 281, 282, 283, 284, 285, 286, 289, 291, and 293 (MCL

388.1836, 388.1836a, 388.1837, 388.1838, 388.1839, 388.1839a,

388.1840, 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,

388.1875, 388.1875a, 388.1876, 388.1877, 388.1878, 388.1879,

388.1880, 388.1881, 388.1882, 388.1883, 388.1884, 388.1885,

Senate Bill No. 955 as amended April 25, 2012

388.1886, 388.1889, 388.1891, and 388.1893), as added by

2011 PA 62, and by adding sections 236b, 237b, 263b, 265a, 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)~~ <<(9)>> 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):~~<<(9)>>:

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

<<$1,400,531,500.00>>. After deducting total interdepartmental grants

and intradepartmental transfers in the amount of $0.00, the

adjusted gross appropriation is

~~$1,362,278,400.00.~~ <<$1,400,531,500.00>>.

(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.~~<<$1,102,939,400.00>>.

(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,~~ $69,921,200.00, appropriated from the

following:

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

(ii) State general fund/general purpose money,

~~$56,824,300.00.~~$58,636,600.00.

(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,~~ $66,178,000.00, appropriated from the

following:

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

(ii) State general fund/general purpose money,

~~$53,912,700.00.~~$55,471,600.00.

~~$41,324,300.00, $37,971,600.00 for operations and $3,352,700.00 for~~

~~tuition restraint incentive,~~ $42,239,900.00, appropriated from the

following:

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

(ii) State general fund/general purpose money,

~~$34,477,500.00.~~$35,393,100.00.

(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,~~ $54,478,200.00, appropriated from the

following:

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

(ii) State general fund/general purpose money,

~~$43,949,600.00.~~$45,750,400.00.

(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,~~ $11,320,000.00, appropriated from the

following:

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

(ii) State general fund/general purpose money,

~~$9,001,900.00.~~$9,532,400.00.

(f) The appropriation for Michigan State University is

~~$293,746,600.00, $222,796,200.00~~ $300,498,700.00, $245,533,000.00

for operations, ~~$18,324,600.00 for tuition restraint incentive,~~

$2,339,900.00 for the facility for rare isotope beams, 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.~~$260,548,800.00.

(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,~~ $41,785,400.00, appropriated from the

following:

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

(ii) State general fund/general purpose money,

~~$33,984,700.00.~~$35,036,500.00.

(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,~~ $39,636,400.00, appropriated from the

following:

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

(ii) State general fund/general purpose money,

~~$32,010,500.00.~~$33,279,500.00.

(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,~~ $44,103,500.00, appropriated from the

following:

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

(ii) State general fund/general purpose money,

~~$35,996,600.00.~~$36,955,100.00.

(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,~~ $24,307,000.00, appropriated from the

following:

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

(ii) State general fund/general purpose money,

~~$19,657,700.00.~~$20,403,200.00.

(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,~~ $273,652,500.00,

appropriated from the following:

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

(ii) State general fund/general purpose money,

~~$224,267,000.00.~~$229,116,200.00.

(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,~~ $21,948,000.00, appropriated from the

following:

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

(ii) State general fund/general purpose money,

~~$17,534,200.00.~~$18,465,900.00.

(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,~~ $18,488,300.00, appropriated from the

following:

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

(ii) State general fund/general purpose money,

~~$14,819,500.00.~~$15,545,400.00.

(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,~~ $185,530,600.00, appropriated from

the following:

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

(ii) State general fund/general purpose money,

~~$151,876,300.00.~~$155,370,000.00.

(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,~~ $95,275,400.00, appropriated from the

following:

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

(ii) State general fund/general purpose money,

~~$77,731,800.00.~~$79,838,900.00.

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

$9,054,300.00 in tuition restraint funding is appropriated for

Senate Bill No. 955 as amended April 25, 2012

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) There is appropriated for fiscal year 2012-2013 an amount

not to exceed $446,200.00 for payments to public universities from

the state school aid fund. A public university that receives money

under this subsection 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. The

amount allocated to each participating public university under this

subsection shall be 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. As used in this subsection,

"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.

<<(5) For the state fiscal year ending September 30, 2013,

there is appropriated from state general fund/general purpose

money, on a 1-time basis only, $500,000.00 to Eastern Michigan

university for the autism collaborative center.

(6) For the state fiscal year ending September 30, 2013,

$50,000.00 is appropriated from state general fund/general purpose

money to Central Michigan University for the central assessment

lending library program.

(7)>> ~~(3)~~ The amount appropriated for state and regional

programs is $200,000.00, appropriated from general fund/general

purpose money and allocated as follows:

Senate Bill No. 955 as amended April 25, 2012

(a) Higher education database modernization and conversion,

$105,000.00.

(b) Midwestern higher education compact, $95,000.00.

<<(8)>> ~~(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.

$148,600.00.

<<(9)>> ~~(5)~~ Subject to subsection ~~(6),~~ <<(10)>>, 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.~~$20,361,700.00.

(b) Tuition grants, $31,664,700.00.

~~(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.

<<(10)>> ~~(6)~~ The money appropriated in subsection ~~(5)~~ <<(9)>> 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.

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 to another line item in this act

under section 393(2) of the management and budget act, 1984 PA 431,

MCL 18.1393.

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, "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~~ 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~~

internet or ~~Intranet~~ 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. 240. The principal executive officer of ~~each~~ a 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 to that university. 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.~~

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~~ public

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~~

~~statewide~~ develop, operate, and maintain the 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

Senate Bill No. 955 as amended April 25, 2012

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.

(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.

(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.>>

(2) For compliance with the performance indicators formula,

the public university must comply with all of the following:

(a) The 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:

(i) Enrollment.

(ii) Student retention rate.

(iii) Six-year graduation rates.

(iv) Number of Pell grant recipients.

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

state, out-of-state, and international.

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

student ratios.

(vii) Teaching load by faculty classification.

(viii) 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. 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,~~ $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~~ who receive

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. By December 15, ~~2011,~~ 2012, and

again by February 1, ~~2012,~~ 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 February 15, ~~2012.~~ 2013. 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,~~

2013, but shall continue to be available for expenditure for

tuition grants provided in the ~~2012-2013~~ 2013-2014 fiscal year

under a work project account. The use of these unexpended fiscal

year ~~2011-2012~~ 2012-2013 funds shall terminate at the end of the

~~2012-2013~~ 2013-2014 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.

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.

(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.

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 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.

(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.

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,

Senate Bill No. 955 as amended April 25, 2012

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~~ post a report to ~~the state budget director,~~

~~the house and senate appropriations subcommittees on higher~~

~~education, and the house and senate fiscal agencies~~ its publicly

accessible website 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~~ and 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~~ 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.

(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.

~~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. 263b. It is the intent of the legislature to provide a

3.0% increase to the Michigan state university agricultural

experiment and cooperative extension activities appropriation, if

the May 2012 consensus revenue estimating conference determines

that revenues will be above the January 2012 consensus revenue

estimating forecast.

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 1, ~~2011~~ 2012 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.~~

3.5%. As used in this subsection and subsection (2):

(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~~ 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.

(2) For purposes of section 236(2), 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 3.6%. 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 fiscal year ~~2010-2011~~ 2011-2012 and budgeted fiscal

year ~~2011-2012~~ 2012-2013 total general fund tuition and fee

revenue.

(b) Actual fiscal year ~~2010-2011~~ 2011-2012 and budgeted fiscal

year ~~2011-2012~~ 2012-2013 total general fund revenue.

year ~~2011-2012~~ 2012-2013 general fund expenditures for student

financial aid.

(d) Actual fiscal year ~~2010-2011~~ 2011-2012 and budgeted fiscal

year ~~2011-2012~~ 2012-2013 total general fund expenditures.

(e) Actual fiscal year ~~2010-2011~~ 2011-2012 and budgeted fiscal

year ~~2011-2012~~ 2012-2013 total fiscal year equated student

enrollment.

Sec. 265a. (1) The amounts appropriated for university

operations in section 236(2) and subsection (2) include an increase

of $36,217,000.00 from the amounts appropriated in fiscal year

2011-2012. A public university is to receive its allocation of that

$36,217,000.00 only if the public university meets all of the

following:

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

If a public university does not participate in the Michigan

transfer network, the amount of its allocation of that

$36,217,000.00 shall be distributed to the universities that meet

the certification requirement described in this subsection.

(b) The university submits all required information under

section 274 by the deadline specified in that section.

(2) The $36,217,000.00 appropriations increase described in

subsection (1) is the sum of the following appropriations:

(a) Tuition restraint funding described in section 236(3),

$9,054,300.00.

(b) From the amounts appropriated for university operations in

section 236(2), $18,108,400.00, allocated proportionately to the

amounts appropriated in fiscal year 2011-2012 for university

operations. This allocation is in recognition of across-the-board

state funding reductions in previous fiscal years.

section 236(2), $9,054,300.00 allocated in section 236(2) based on

a performance funding calculation described in subsection (3).

(3) For purposes of subsection (2)(c) and section 236(2), a

public university that is in the top 20%, above the median, or

showing improvement over a 3-year period in the classification of

institutions of higher education conducted by the Carnegie

foundation is allocated performance funding money based on the

following 8 metrics:

(a) Percent of students graduating within 6 years.

(b) Retention rate for full-time students.

(d) Total advanced degrees awarded.

(e) Institutional support as a percent of core expenditures.

(f) Total research and development expenditures.

(g) Average net price of attendance for in-state students who

receive aid.

(h) The number of undergraduate Pell grant students.

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. 274. ~~It is the intent of the legislature that each public~~

The amounts allocated to public universities under section 265a(1)

shall only be paid to a public university that reports the

following 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:

(a) For a university that has not received a donation of human

embryos that is subject to section 27 of article I of the state

constitution of 1963, and that is not 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, a statement to that effect.

(b) For a 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:

(i) ~~(a)~~ The number of human embryos and the number of human

embryo stem cell lines received by the university during fiscal

year ~~2010-2011.~~2011-2012.

(ii) ~~(b)~~ The number of human embryos utilized for research

purposes during fiscal year ~~2010-2011.~~2011-2012.

(iii) ~~(c)~~ The number of human embryo stem cell lines created

from the embryos received during fiscal year ~~2010-2011.~~2011-2012.

(iv) ~~(d)~~ The number of donated human embryos being held in

storage by the university as of ~~September 30, 2011.~~June 30, 2012.

(v) ~~(e)~~ The number of research projects using human embryonic

stem cells derived from donated embryos being conducted by the

university.

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.

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.~~3311 to 3319.

Sec. 275a. ~~Funds~~ A public university shall not use 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 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~~ limit 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.~~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.

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.

Senate Bill No. 955 as amended April 25, 2012

(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. 291. The auditor general may conduct performance audits

of public universities ~~receiving~~ that receive funds in section 236

~~during the fiscal year ending September 30, 2012~~ as the auditor

general considers necessary.

Senate Bill No. 955 as amended April 25, 2012

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. Included in the fiscal year 2012-2013

appropriations for the department of technology, management, and

budget are appropriations to provide funding 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.

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

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

Senate Bill No. 955 as amended April 25, 2012

(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 is estimated at <<$1,303,505,100.00>> 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 237a, <<~~261,~~>> 262, 266, 270a, 271,

272, 274a, 290, <<292,>> and 294 of the state school aid act of 1979,

1979

PA 94, MCL 388.1837a, <<~~388.1861,~~>> 388.1862, 388.1866, 388.1870a,

388.1871, 388.1872, 388.1874a, 388.1890, <<388.1892>> and 388.1894, are

repealed

effective October 1, 2012.

Enacting section 3. This amendatory act takes effect October

1, 2012.