0199: SUMMARY OF DIFFERENCES (Date Completed: 4-29-13) - FY 2013-14 COMMUNITY COLLEGES BUDGET

FY 2013-14 COMMUNITY COLLEGES BUDGET S.B. 199 (S-1): SUMMARY OF DIFFERENCES

FY 2013-14 Senate-Passed Gross Appropriation.................................................................

$335,977,600

1. Virtual Learning Collaborative. The Governor and the Senate included $1.1 million GF/GP for the Virtual Learning Collaborative. The Collaborative provides access to courses offered by all Michigan public community colleges. In 2009 the Michigan Community College Association Board of Directors approved an affiliate membership for four-year institutions. To date, Lawrence Tech and Grand Valley State University have become members. The new State funding will be used for the development of course aggregator software, development of a "pathway to credential" tool that will identify courses toward a career path, develop analytics software that informs colleges of course demand for decision making of future offerings, and development of a repository of online courses and resources for use by faculty at member institutions. The House eliminated the appropriation.

(1,100,000)

Total Changes.....................................................................................................................	($1,100,000)
FY 2013-14 House-Passed Gross Appropriation..................................................................	$334,877,600

FY 2013-14 COMMUNITY COLLEGES BUDGET BOILERPLATE HIGHLIGHTS

Changes from FY 2013-14 Senate-Passed:

1. Anticipated Appropriations subsequent Fiscal Year. Boilerplate stating intent of the legislature to provide the same level of appropriations for the next fiscal year, except that the line-items will be adjusted for changes in caseload and related costs, federal fund match rates, economic factors, and available revenue, which will be determined after the January Revenue Estimating Conference. House changes January to May Revenue Estimating Conference. (Sec. 201a)

2. Virtual Learning Collaborative. The Governor and Senate included language outlining the criteria for this one-time project. Requires report on use of funds upon request. (Sec. 201(8))

3. Appropriation Limitations/JCOS Compliance. Prohibits the use of appropriations in Part 1 for the construction or maintenance of a self-liquidating project. Provides that community colleges shall comply with current Joint Capital Outlay Subcommittee (JCOS) use and finance requirements. Provides for 1% penalty for each violation. The Senate modified this language based on recent capital outlay reform legislation. (Sec. 208)

4. Transparency. Requires each community college to make available through links on its website homepage its annual operating budget, links to the most recent activities classification structure report, current collective bargaining agreements, health care plans, audits and financial reports, and compliance with best practices. Includes certain format requirements consistent with K-12 reporting. Provides that State Budget Director shall determine compliance and allows for withholding of State aid payments for noncompliance. Subsection 4 provides for reports on budgeted revenue and expenditures. Senate added reporting requirement for estimated costs incurred due to Affordable Health Care Act. House eliminated posting of board resolution regarding compliance with best practices. (Sec. 209)

5. Statutory Mandates. The Governor and Senate eliminated language stating legislative intent that interested parties review statutory mandates imposed on community colleges and determine whether those mandates are necessary and also review estimated costs and benefits. Provides for report. The House maintained this section. (Sec. 216)

6. Veterans Tuition and Fees. Senate added intent language to review the issue of in-district tuition and fee rates for veterans. House did not include. (Sec. 229 (2))

7. Skilled Trades Jobs Placement. The Senate included new language that requires the Department of Technology, Management, and Budget to prepare a report by February 1, 2014 on the number of students that successfully completed a skilled trades program and obtained an apprenticeship or job in a field related to that skilled trades program for fiscal year 2012-2013. The report shall also indicate the number of these students that are veterans of the United States armed forces. (Sec. 229b)

Date Completed: 4-29-13 Fiscal Analyst: Bill Bowerman

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.