HOUSE BILL No. 5100

 

October 19, 2011, Introduced by Rep. Hobbs and referred to the Committee on Education.

 

     A bill to amend 1976 PA 451, entitled

 

"The revised school code,"

 

by amending sections 504a, 525, and 557 (MCL 380.504a, 380.525, and

 

380.557), section 504a as amended and section 525 as added by 2003

 

PA 179 and section 557 as added by 2009 PA 205, and by adding

 

section 1280d.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 504a. In addition to other powers set forth in this part,

 

a public school academy may take action to carry out the purposes

 

for which it was incorporated under this part, including, but not

 

limited to, all of the following:

 

     (a) To sue and be sued in its name.

 

     (b) Subject to section 503b, to acquire, hold, and own in its

 

own name real and personal property, or interests in real or

 


personal property, for educational purposes by purchase, gift,

 

grant, devise, bequest, lease, sublease, installment purchase

 

agreement, land contract, option, or condemnation, and subject to

 

mortgages, security interests, or other liens; and to sell or

 

convey the property as the interests of the public school academy

 

require.

 

     (c) To receive, disburse, and pledge funds for lawful

 

purposes.

 

     (d) To Subject to section 1280d, to enter into binding legal

 

agreements with persons or entities as necessary for the operation,

 

management, financing, and maintenance of the public school

 

academy.

 

     (e) To incur temporary debt in accordance with section 1225.

 

     (f) To solicit and accept any grants or gifts for educational

 

purposes and to establish or permit to be established on its behalf

 

1 or more nonprofit corporations the purpose of which is to assist

 

the public school academy in the furtherance of its public

 

purposes.

 

     (g) To borrow money and issue bonds in accordance with section

 

1351a and in accordance with part VI of the revised municipal

 

finance act, 2001 PA 34, MCL 141.2601 to 141.2613, except that the

 

borrowing of money and issuance of bonds by a public school academy

 

is not subject to section 1351a(4) or section 1351(2) to (4). Bonds

 

issued under this section shall be full faith and credit

 

obligations of the public school academy, pledging the general

 

funds or any other money available for such a purpose. Bonds issued

 

under this section are subject to the revised municipal finance

 


act, 2001 PA 34, MCL 141.2101 to 141.2821.

 

     Sec. 525. In addition to other powers set forth in this part,

 

an urban high school academy may take action to carry out the

 

purposes for which it was incorporated under this part, including,

 

but not limited to, all of the following:

 

     (a) To sue and be sued in its name.

 

     (b) Subject to section 523a, to acquire, hold, and own in its

 

own name real and personal property, or interests in real or

 

personal property, for educational purposes by purchase, gift,

 

grant, devise, bequest, lease, sublease, installment purchase

 

agreement, land contract, option, or condemnation, and subject to

 

mortgages, security interests, or other liens; and to sell or

 

convey the property as the interests of the urban high school

 

academy require.

 

     (c) To receive, disburse, and pledge funds for lawful

 

purposes.

 

     (d) To Subject to section 1280d, to enter into binding legal

 

agreements with persons or entities as necessary for the operation,

 

management, financing, and maintenance of the urban high school

 

academy.

 

     (e) To incur temporary debt in accordance with section 1225.

 

     (f) To solicit and accept any grants or gifts for educational

 

purposes and to establish or permit to be established on its behalf

 

1 or more nonprofit corporations the purpose of which is to assist

 

the urban high school academy in the furtherance of its public

 

purposes.

 

     (g) To borrow money and issue bonds in accordance with section

 


1351a and in accordance with part VI of the revised municipal

 

finance act, 2001 PA 34, MCL 141.2601 to 141.2613, except that the

 

borrowing of money and issuance of bonds by an urban high school

 

academy are not subject to section 1351a(4) or section 1351(2) to

 

(4). Bonds issued under this section shall be full faith and credit

 

obligations of the urban high school academy, pledging the general

 

funds or any other money available for such a purpose. Bonds issued

 

under this section are subject to the revised municipal finance

 

act, 2001 PA 34, MCL 141.2101 to 141.2821.

 

     Sec. 557. In addition to other powers set forth in this part,

 

a school of excellence may take action to carry out the purposes

 

for which it was incorporated under this part, including, but not

 

limited to, all of the following:

 

     (a) To sue and be sued in its name.

 

     (b) Subject to section 555, to acquire, hold, and own in its

 

own name real and personal property, or interests in real or

 

personal property, for educational purposes by purchase, gift,

 

grant, devise, bequest, lease, sublease, installment purchase

 

agreement, land contract, option, or condemnation, and subject to

 

mortgages, security interests, or other liens; and to sell or

 

convey the property as the interests of the school of excellence

 

require.

 

     (c) To receive, disburse, and pledge funds for lawful

 

purposes.

 

     (d) To Subject to section 1280d, to enter into binding legal

 

agreements with persons or entities as necessary for the operation,

 

management, financing, and maintenance of the school of excellence.

 


     (e) To incur temporary debt in accordance with section 1225.

 

     (f) To solicit and accept any grants or gifts for educational

 

purposes and to establish or permit to be established on its behalf

 

1 or more nonprofit corporations the purpose of which is to assist

 

the school of excellence in the furtherance of its public purposes.

 

     (g) To borrow money and issue bonds in accordance with section

 

1351a and in accordance with part VI of the revised municipal

 

finance act, 2001 PA 34, MCL 141.2601 to 141.2613, except that the

 

borrowing of money and issuance of bonds by a school of excellence

 

is not subject to section 1351a(4) or section 1351(2) to (4). Bonds

 

issued under this section shall be full faith and credit

 

obligations of the school of excellence, pledging the general funds

 

or any other money available for such a purpose. Bonds issued under

 

this section are subject to the revised municipal finance act, 2001

 

PA 34, MCL 141.2101 to 141.2821.

 

     Sec. 1280d. (1) If an educational management organization is a

 

party to a management agreement with 1 or more public schools on

 

the list under section 1280c(1) of the public schools in this state

 

that the department has determined to be among the lowest achieving

 

5% of all public schools in this state, the board of a school

 

district or board of directors of a public school academy shall not

 

enter into a management agreement with the educational management

 

organization. The department shall compile and annually update a

 

list of educational management organizations described in this

 

section and post that list on its website.

 

     (2) As used in this section:

 

     (a) "Educational management organization" means an entity that

 


enters into a management agreement with the governing board of a

 

public school.

 

     (b) "Entity" means a partnership, nonprofit or business

 

corporation, or any other association, corporation, trust, or other

 

legal entity.

 

     (c) "Management agreement" means an agreement to provide

 

comprehensive educational, administrative, management, or

 

instructional services or staff to a public school.