FIRST CONFERENCE REPORT
The Committee of Conference on the matters of difference between the two Houses concerning
Senate Bill No. 199, entitled
Recommends:
First: That the House recede from the Substitute of the House as passed by the House.
Second: That the Senate and House agree to the Substitute of the Senate as passed by the Senate, amended to read as follows:
(attached)
Third: That the Senate and House agree to the title of the bill to read as follows:
A bill to amend 1979 PA 94, entitled "The state school aid act of 1979," by amending sections 201, 201a, 206, 208, 209, 210, 224, 225, 229, 229a, 230, and 296 (MCL 388.1801, 388.1801a, 388.1806, 388.1808, 388.1809, 388.1810, 388.1824, 388.1825, 388.1829, 388.1829a, 388.1830, and 388.1896), section 201 as amended by 2012 PA 465, sections 201a, 206, 208, 209, 210, 224, 225, 229, and 230
as amended and section 229a as added by 2012 PA 201, and section 296 as added by 2011 PA 62, and by adding sections 201b, 210b, and 229b; and to repeal acts and parts of acts.
_______________________ ________________________
Darwin L. Booher Paul Muxlow
_______________________ ________________________
Roger Kahn Greg MacMaster
_______________________ ________________________
Glenn Anderson Adam F. Zemke
Conferees for the Senate Conferees for the House
SUBSTITUTE FOR
SENATE BILL NO. 199
A bill to amend 1979 PA 94, entitled
"The state school aid act of 1979,"
by amending sections 201, 201a, 206, 208, 209, 210, 224, 225, 229,
229a, 230, and 296 (MCL 388.1801, 388.1801a, 388.1806, 388.1808,
388.1809, 388.1810, 388.1824, 388.1825, 388.1829, 388.1829a,
388.1830, and 388.1896), section 201 as amended by 2012 PA 465,
sections 201a, 206, 208, 209, 210, 224, 225, 229, and 230 as
amended and section 229a as added by 2012 PA 201, and section 296
as added by 2011 PA 62, and by adding sections 201b, 210b, and
229b; and to repeal acts and parts of acts.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 201. (1) Subject to the conditions set forth in this
article,
the amounts listed in subsections (2), and (4), (5), and
(7) are appropriated for community colleges for the fiscal year
ending
September 30, 2013, 2014, from the funds indicated in this
section. The following is a summary of the appropriations in
subsections
(2), and (4), (5), and (7):
(a)
The gross appropriation is $294,130,500.00.
$335,977,600.00. After deducting total interdepartmental grants and
intradepartmental transfers in the amount of $0.00, the adjusted
gross
appropriation is $294,130,500.00.$335,977,600.00.
(b) The sources of the adjusted gross appropriation described
in subdivision (a) are as follows:
(i) Total federal revenues, $0.00.
(ii) Total local revenues, $0.00.
(iii) Total private revenues, $0.00.
(iv) Total other state restricted revenues, $197,614,100.00.
(v) State general fund/general purpose money,
$96,516,400.00.$138,363,500.00.
(2) Subject to subsection (3), the amount appropriated for
community
college operations is $292,396,900.00, $298,244,000.00,
allocated as follows:
(a)
Alpena Community College, $5,111,200.00.$5,221,100.00.
(b)
Bay de Noc Community College, $5,161,300.00.$5,263,800.00.
(c)
Delta College, $13,712,700.00.$14,022,200.00.
(d)
Glen Oaks Community College, $2,383,000.00.$2,434,300.00.
(e)
Gogebic Community College, $4,233,100.00.$4,317,500.00.
(f) Grand Rapids Community College,
$17,054,300.00.$17,403,500.00.
(g) Henry Ford Community College,
$20,596,700.00.$20,997,900.00.
(h)
Jackson Community College, $11,491,500.00.$11,723,600.00.
(i) Kalamazoo Valley Community College,
$11,828,300.00.$12,086,900.00
(j)
Kellogg Community College, $9,289,300.00.$9,494,000.00.
(k)
Kirtland Community College, $2,968,300.00.$3,046,800.00.
(l) Lake Michigan College, $5,059,300.00.$5,162,900.00.
(m)
Lansing Community College, $29,335,000.00.$29,935,300.00.
(n)
Macomb Community College, $31,206,500.00.$31,837,200.00.
(o) Mid Michigan Community College,
$4,393,400.00.$4,504,700.00.
(p) Monroe County Community College,
$4,223,500.00.$4,329,900.00.
(q)
Montcalm Community College, $3,038,500.00.$3,112,000.00.
(r) C.S. Mott Community College,
$14,890,400.00.$15,202,200.00.
(s)
Muskegon Community College, $8,456,100.00.$8,628,000.00.
(t) North Central Michigan College,
$2,979,900.00.$3,055,400.00.
(u) Northwestern Michigan College,
$8,624,100.00.$8,799,300.00.
(v)
Oakland Community College, $19,977,500.00.$20,422,900.00.
(w) St. Clair County Community College,
$6,697,300.00.$6,839,900.00.
(x)
Schoolcraft College, $11,800,500.00.$12,076,700.00.
(y) Southwestern Michigan College,
$6,269,000.00.$6,385,400.00.
(z) Washtenaw Community College,
$12,242,000.00.$12,573,900.00.
(aa) Wayne County Community College,
$15,798,500.00.$16,146,700.00.
(bb) West Shore Community College,
$2,298,200.00.$2,342,900.00.
(cc)
Local strategic value, $1,277,500.00.$877,100.00.
(3) The amount appropriated in subsection (2) for community
college operations is appropriated from the following:
(a) State school aid fund, $195,880,500.00.
(b) State general fund/general purpose money,
$96,516,400.00.$102,363,500.00.
(4) From the appropriations described in subsection (1), there
is
appropriated for fiscal year 2012-2013 2013-2014 an amount not
to exceed $1,733,600.00 for payments to community colleges from the
state school aid fund. A community college 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
college
for the fiscal year ending September 30, 2013. 2014. The
amount
allocated to each community college under this subsection is
as
follows:The amount allocated
to each participating community
college under this section shall be based on each participating
college's total payroll covered by the retirement system-covered
payroll for all participating colleges for the immediately
preceding state fiscal year.
(a)
Alpena Community College, $30,400.00.
(b)
Bay de Noc Community College, $30,800.00.
(c)
Delta College, $81,400.00.
(d)
Glen Oaks Community College, $14,200.00.
(e)
Gogebic Community College, $25,300.00.
(f)
Grand Rapids Community College, $101,700.00.
(g)
Henry Ford Community College, $123,000.00.
(h)
Jackson Community College, $68,500.00.
(i)
Kalamazoo Valley Community College, $70,400.00.
(j)
Kellogg Community College, $55,300.00.
(k)
Kirtland Community College, $17,500.00.
(l) Lake Michigan College, $30,200.00.
(m)
Lansing Community College, $175,000.00.
(n)
Macomb Community College, $186,200.00.
(o)
Mid Michigan Community College, $26,100.00
(p)
Monroe County Community College, $25,000.00.
(q)
Montcalm Community College, $18,000.00.
(r)
C.S. Mott Community College, $88,700.00.
(s)
Muskegon Community College, $50,400.00.
(t)
North Central Michigan College, $17,600.00.
(u)
Northwestern Michigan College, $51,500.00.
(v)
Oakland Community College, $118,800.00.
(w)
St. Clair County Community College, $39,900.00.
(x)
Schoolcraft College, $70,100.00.
(y)
Southwestern Michigan College, $37,500.00.
(z)
Washtenaw Community College, $72,200.00.
(aa)
Wayne County Community College, $94,200.00.
(bb)
West Shore Community College, $13,700.00.
(5)
Notwithstanding subsections (1) and (3) of this section as
in
effect for the fiscal year ending September 30, 2012, the
amounts
appropriated for community colleges under subsection (2) of
this
section for the fiscal year ending September 30, 2012 are
appropriated
from the following funds:
(a)
State school aid fund, $259,629,400.00.
(b)
State general fund/general purpose money, $24,251,100.00.
(5) From the appropriations described in subsection (1), there
is appropriated an amount not to exceed $31,400,000.00 from the
state general fund for payments to community colleges that are
participating entities of the retirement system. All of the
following apply to the appropriations described in this subsection:
(a) The amount of a payment under this subsection shall be the
difference between the unfunded actuarial accrued liability
contribution rate as calculated under section 41 of the public
school employees retirement act of 1979, 1980 PA 300, MCL 38.1341,
and the maximum employer rate of 20.96% under section 41 of the
public school employees retirement act of 1979, 1980 PA 300, MCL
38.1341.
(b) The amount allocated to each community college under this
subsection shall be based on each community college's percentage of
the total covered payroll for all community colleges that are
participating colleges in the immediately preceding fiscal year. A
community college that receives funds under this subsection shall
use the funds solely for the purpose of retirement contributions
under subdivision (c).
(c) Each participating college receiving funds under this
subsection shall forward an amount equal to the amount allocated
under subdivision (b) to the retirement system in a form and manner
determined by the retirement system.
(6) All of the following apply to community colleges described
in section 12(3) of the Michigan renaissance zone act, MCL
125.2692:
(a) From the appropriations described in subsection (1), the
following amount is allocated for reimbursement to community
colleges under section 12(3) of the Michigan renaissance zone act,
MCL 125.2692:
(i) If the amount of tax revenue lost by community colleges as
a result of the exemption of property under the Michigan
renaissance zone act in fiscal year 2012-2013 is $3,500,000.00 or
more, $3,500,000.00 from the state general fund.
(ii) If the amount of tax revenue lost by community colleges as
a result of the exemption of property under the Michigan
renaissance zone act in fiscal year 2012-2013 is less than
$3,500,000.00, the actual amount of tax revenue lost by the
community colleges.
(b) The amount allocated to each community college under this
subsection shall be based on that community college's proportion of
total revenue lost by community colleges in fiscal year 2012-2013
as a result of the exemption of property under the Michigan
renaissance zone act.
(c) The appropriations described in this subsection shall be
made to each eligible community college within 60 days after the
department of treasury certifies to the state budget director that
it has received all necessary information to properly determine the
amounts of tax revenue lost by each eligible community college in
fiscal year 2012-2013 under section 12 of the Michigan renaissance
zone act, MCL 125.2692.
(7) From the appropriations described in subsection (1), there
is appropriated $1,100,000.00 from the state general fund, for
fiscal year 2013-2014 only, to the Michigan community college
association, for the purpose of expanding the Michigan community
college virtual learning collaborative. The Michigan community
college association shall provide information on request to the
house and senate subcommittees on community colleges, the house and
senate fiscal agencies, and the state budget director on the use of
these funds until the project is completed.
(8) As used in this section:
(a) "Michigan renaissance zone act" means the Michigan
renaissance zone act, 1996 PA 376, MCL 125.2681 to 125.2696.
(b) "Participating college" means a community college that is
a reporting unit of the retirement system and that reports
employees to the retirement system for the state fiscal year.
(c) "Retirement board" means the board that administers the
retirement system under the public school employees retirement act
of 1979, 1980 PA 300, MCL 38.1301 to 38.1437.
(d) "Retirement system" means the Michigan public school
employees' retirement system under the public school employees
retirement act of 1979, 1980 PA 300, MCL 38.1301 to 38.1437.
Sec. 201a. It is the intent of the legislature to provide
appropriations
for the fiscal year ending on September 30, 2014
2015
for the items listed in section 201.
The fiscal year 2013-2014
2014-2015 appropriations are anticipated to be the same as those
for
fiscal year 2012-2013, 2013-2014,
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 2013 2014
consensus revenue estimating conference.
Sec. 201b. (1) In addition to the amounts appropriated under
section 201, $12,500,000.00 is appropriated for community colleges
from state general fund/general purpose money for the fiscal year
ending September 30, 2013, for payments to community colleges that
are participating community colleges of the retirement system.
Payments made under this section shall be equal to the difference
between the unfunded actuarial accrued liability contribution rate
as calculated under section 41 of the public school employees
retirement act of 1979, 1980 PA 300, MCL 38.1341, and the maximum
employer rate of 20.96% included in section 41 of the public school
employees retirement act of 1979, 1980 PA 300, MCL 38.1341.
(2) The amount allocated to each community college under this
section shall be based on each participating community college's
total payroll covered by the retirement system in proportion to the
total covered payroll for the immediately preceding fiscal year for
all participating community colleges. A community college that
receives funds under this section shall use the funds solely for
the purpose of retirement contributions as specified in subsection
(3).
(3) Each community college that receives funds under this
section shall forward an amount equal to the amount it receives
under subsection (2) to the retirement system in the form and
manner prescribed by the retirement system.
(4) As used in this section:
(a) "Participating community college" means a community
college that is a reporting unit of the retirement system and that
reports employees to the Michigan public school employees'
retirement system for the applicable fiscal year.
(b) "Retirement board" means the board that administers the
retirement system.
(c) "Retirement system" means the Michigan public school
employees' retirement system under the public school employees
retirement act of 1979, 1980 PA 300, MCL 38.1301 to 38.1437.
Sec. 206. The funds appropriated in section 201 are
appropriated for community colleges with fiscal years ending June
30,
2013 2014 and shall be paid out of the state treasury and
distributed by the state treasurer to the respective community
colleges in 11 monthly installments on the sixteenth of each month,
or the next succeeding business day, beginning with October 16,
2012.
2013. Each community college shall accrue its July and
August
2013
2014 payments to its institutional fiscal year ending
June 30,
2013.
2014. However, if the state budget director determines
that a
community college failed to submit all verified Michigan community
colleges activities classification structure data for school year
2011-2012
2012-2013 to the workforce development agency by November
1,
2012, 2013, or failed to submit its longitudinal data system
data
set for school year 2011-2012 2012-2013
to the center for
educational performance and information under section 219, the
state treasurer shall withhold the monthly installments from that
community college until those data are submitted. The state budget
director shall notify the chairs of the house and senate
appropriations subcommittees on community colleges at least 10 days
before withholding funds from any community college.
Sec. 208. A community college shall not use money appropriated
in section 201 to pay for the construction or maintenance of a
self-liquidating project. A community college shall comply with
section 238 of the management and budget act, 1984 PA 431, MCL
18.1238, and with the current use and finance requirements of the
joint capital outlay subcommittee (JCOS) for any construction,
renovation, or other capital outlay projects pursuant to JCOS
policy. The appropriation in section 201 for a community college
that fails to comply with JCOS requirements shall be reduced by 1%
for each violation.
Sec. 209. (1) Within 30 days after the board of a community
college adopts its annual operating budget for the following school
fiscal year, or after the board adopts a subsequent revision to
that budget, the community college shall make all of the following
available through a link on its website homepage:
(a) The annual operating budget and subsequent budget
revisions.
(b) A link to the most recent "Activities Classification
Structure Manual for Michigan Community Colleges".
(c) General fund revenue and expenditure projections for
fiscal year 2013-2014 and fiscal year 2014-2015.
(d) A listing of all debt service obligations, detailed by
project, anticipated fiscal year 2013-2014 payment of each project,
and total outstanding debt.
(e) The estimated cost to the community college resulting from
the patient protection and affordable care act, Public Law 111-148,
as amended by the health care and education reconciliation act of
2010, Public Law 111-152.
(f) (c)
Links to all of the following for
the community
college:
(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 community
college.
(iii) Audits and financial reports for the most recent fiscal
year for which they are available.
(iv) A copy of the board of trustees resolution regarding
compliance with best practices for the local strategic value
component described in section 230(3).
(2) For statewide consistency and public visibility, community
colleges 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 community college's homepage.
The
size of the icon may be reduced to 150 x 150 pixels. To be in
compliance
with this section, all data elements defined in this
section
must be available on the college's homepage by December 31,
2012.
Each community college shall notify the state budget office
when
all data elements defined in this section are made available
on
its website.
(3) The state budget director shall determine whether a
community college has complied with this section. The state budget
director may withhold a community college's monthly installments
described in section 206 until the community college complies with
this section. The state budget director shall notify the chairs of
the house and senate appropriations subcommittee on community
colleges at least 10 days before withholding funds from any
community college.
(4) Each community college shall report the following
information to the senate and house appropriations subcommittees on
community colleges, the senate and house fiscal agencies, and the
state
budget office by November 15, 2012, 2013, and post that
information on the internet website required under subsection (1):
(a)
Budgeted fiscal year 2012-2013 2013-2014
general fund
revenue from tuition and fees.
(b)
Budgeted fiscal year 2012-2013 2013-2014
general fund
revenue from state appropriations.
(c)
Budgeted fiscal year 2012-2013 2013-2014
general fund
revenue from property taxes.
(d)
Budgeted fiscal year 2012-2013 2013-2014
total general
fund revenue.
(e)
Budgeted fiscal year 2012-2013 2013-2014
total general
fund expenditures.
Sec. 210. (1) Recognizing the critical importance of education
in strengthening Michigan's workforce, the legislature encourages
each community college to explore ways of increasing collaboration
and cooperation with 4-year universities, particularly in the areas
related to training, instruction, and program articulation.
(2) Recognizing the central role of community colleges in
responding to local employment needs and challenges, community
colleges shall develop and continue efforts to collaborate with
local employers and students to identify local employment needs and
strategies to meet them.
(3) Community colleges are encouraged to collaborate with each
other on innovations to identify and meet local employment needs.
(4) Community colleges are encouraged to work with
universities to develop equivalency standards of core college
courses and identify equivalent courses offered by postsecondary
institutions.
Sec. 210b. (1) It is the intent of the legislature that the
Michigan association of collegiate registrars and admissions
officers implement any agreement or agreements among the community
colleges and universities concerning the transferability of college
courses resulting from the recommendations of the committee created
under former section 210a.
(2) It is the intent of the legislature that the Michigan
association of collegiate registrars and admissions officers, the
Michigan community college association, and the presidents council,
state universities of Michigan shall together submit an
implementation update report to the senate and house appropriations
subcommittees on community colleges and higher education, the
senate and house fiscal agencies, and the state budget director by
March 1, 2014.
Sec.
224. Upon request, a A community college shall use the P-
20 longitudinal data system to inform interested Michigan high
schools of the aggregate academic status of its students for the
previous academic year, in a manner prescribed by the Michigan
community college association and in cooperation with the Michigan
association of secondary school principals. Community colleges
shall cooperate with the center for educational performance and
information to design and implement a systematic approach for
accomplishing this work.
Sec. 225. Each community college shall report to the house and
senate fiscal agencies, the state budget director, and the
workforce
development agency by August 31, 2012, 2013, the tuition
and mandatory fees paid by a full-time in-district student and a
full-time out-of-district student as established by the college
governing
board for the 2011-2012 2013-2014
academic year. This
report should also include the annual cost of attendance based on a
full-time course load of 30 credits. Each community college shall
also
report any revisions to the reported 2011-2012 2012-2013 or
2013-2014 academic year tuition and mandatory fees adopted by the
college governing board to the house and senate fiscal agencies,
the state budget director, and the workforce development agency
within 15 days of being adopted.
Sec. 229. (1) It is the intent of the legislature that each
community college that receives an appropriation in section 201
include in its admission application process a specific question as
to whether an applicant for admission is a veteran, an active
member of the military, a member of the national guard or military
reserves, or the spouse or dependent of a veteran, active member of
the military, or member of the national guard or military reserves,
in order to more quickly identify potential educational assistance
available to that applicant.
(2) It is the intent of the legislature that each public
community college that receives an appropriation in section 201
shall work with the house and senate community college
subcommittees, the Michigan community college association, and
veterans groups to review the issue of in-district tuition for
veterans of this state when determining tuition rates and fees.
(3) 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, 38 USC 3301 to 3324.
Sec.
229a. Included in the fiscal year 2012-2013 2013-2014
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 community
colleges. Those appropriations for state building authority rent
represent additional state general fund support for community
colleges, and the following is an estimate of the amount of that
support to each community college:
(a)
Alpena Community College, $428,100.00.$434,500.00.
(b)
Bay de Noc Community College, $618,000.00.$644,500.00.
(c)
Delta College, $2,610,000.00.$2,877,700.00.
(d)
Glen Oaks Community College, $123,000.00.$124,900.00.
(e)
Gogebic Community College, $60,000.00.$78,100.00.
(f) Grand Rapids Community College,
$1,675,000.00.$1,700,400.00.
(g)
Henry Ford Community College, $1,110,000.00.$1,126,800.00.
(h)
Jackson Community College, $1,563,000.00.$1,809,500.00.
(i) Kalamazoo Valley Community College,
$1,467,000.00.$1,489,300.00.
(j)
Kellogg Community College, $520,000.00.$527,900.00.
(k)
Kirtland Community College, $363,300.00.$368,800.00.
(l) Lake Michigan College, $340,000.00.$345,200.00.
(m)
Lansing Community College, $384,000.00.$617,600.00.
(n)
Macomb Community College, $1,313,100.00.$1,332,900.00.
(o)
Mid Michigan Community College, $915,000.00.$928,900.00.
(p) Monroe County Community College,
$1,355,000.00.$1,375,600.00.
(q)
Montcalm Community College, $756,000.00.$1,015,700.00.
(r)
C.S. Mott Community College, $1,803,000.00.$1,830,400.00.
(s)
Muskegon Community College, $198,000.00.$201,000.00.
(t) North Central Michigan College, $476,300.00.
(u) (t)
Northwestern Michigan College,
$1,305,000.00.$1,324,800.00.
(v) (u)
Oakland Community College, $465,000.00.$472,100.00.
(w) (v)
St. Clair County Community College,
$356,100.00.$361,400.00.
(x) (w)
Schoolcraft College, $1,546,100.00.$1,569,500.00.
(y) (x)
Southwestern Michigan College,
$530,600.00.$538,600.00.
(z) (y)
Washtenaw Community College,
$1,993,000.00.$2,023,100.00.
(aa) (z)
Wayne County Community College,
$1,890,000.00.$1,918,700.00.
(bb) (aa)
West Shore Community College,
$577,000.00.$585,800.00.
Sec. 229b. (1) The department of technology, management, and
budget, after consultation with the unemployment insurance agency
in the department of licensing and regulatory affairs, the
workforce development agency, and community colleges, shall prepare
a report on the feasibility of providing accurate information on
student educational outcomes in the employment market, including
all of the following information:
(a) The number of students who successfully completed a
skilled trades program and obtained an apprenticeship or job in a
field related to that skilled trades program in fiscal year 2012-
2013.
(b) The number of students described in subdivision (a) who
are veterans of the United States armed forces.
(2) By September 1, 2014, the department shall submit the
report described in subsection (1) to the senate and house
appropriations subcommittees on community colleges and the senate
and house fiscal agencies.
(3) As used in this section, "skilled trades program" means an
academic program categorized in the United States department of
education classification of instructional program codes as 01, 46,
47, 48, or 49.
Sec. 230. (1) It is the intent of the legislature that the
recommendations and performance measures developed by the
performance indicators task force formed under section 242 of 2005
PA 154 be reviewed and more fully implemented for distribution of
state funding to community colleges in future years.
(2) Any additional funding provided to community college
operations
under section 201(2) in fiscal year 2012-2013 2013-2014
that exceeds the amounts appropriated for operations in fiscal year
2011-2012
is allocated solely for the purpose of offsetting a
portion
of the retirement contributions owed by the college for the
fiscal
year ending September 30, 2013. The additional funding 2012-
2013 is distributed based on the following formula:
(a)
Allocated proportionate to fiscal year 2011-2012 2012-2013
base appropriations, 50%.
(b) Based on contact hour equated students, 10%.
(c) Based on administrative costs, 7.5%.
(d) Based on a weighted degree formula as provided for in the
2006 recommendations of the performance indicators task force,
17.5%.
(e) Based on the local strategic value component, as developed
in cooperation with the Michigan community college association and
described in subsection (3), 15%.
(3) The appropriation in section 201(2)(cc) for local
strategic value shall be allocated to each community college that
certifies to the state budget director, through a board of trustees
resolution
on or before November 1, 2012, 2013,
that the college
has met 4 out of 5 best practices listed in each category described
in subsection (4). The resolution shall provide specifics as to how
the community college meets each best practice measure within each
category. One-third of funding available under the strategic value
component shall be allocated to each category described in
subsection (4). Amounts distributed under local strategic value
shall be on a proportionate basis to each college's fiscal year
2011-2012
2012-2013 operations funding. Payments to community
colleges that qualify for local strategic value funding shall be
distributed with the November installment payment described in
section 206.
(4) For purposes of subsection (3), the following categories
of best practices reflect functional activities of community
colleges that have strategic value to the local communities and
regional economies:
(a) For Category A, economic development and business or
industry partnerships, the following:
(i) The community college has active partnerships with local
employers including hospitals and health care providers.
(ii) The community college provides customized on-site training
for area companies, employees, or both.
(iii) The community college supports entrepreneurship through a
small business assistance center or other training or consulting
activities targeted toward small businesses.
(iv) The community college supports technological advancement
through industry partnerships, incubation activities, or operation
of a Michigan technical education center or other advanced
technology center.
(v) The community college has active partnerships with local
or regional workforce and economic development agencies.
(b) For Category B, educational partnerships, the following:
(i) The community college has active partnerships with regional
high schools, intermediate school districts, and career-tech
centers to provide instruction through dual enrollment, direct
credit, middle college, or academy programs.
(ii) The community college hosts, sponsors, or participates in
enrichment programs for area K-12 students, such as college days,
summer or after-school programming, or science Olympiad.
(iii) The community college provides, supports, or participates
in programming to promote successful transitions to college for
traditional age students, including grant programs such as talent
search, upward bound, or other activities to promote college
readiness in area high schools and community centers.
(iv) The community college provides, supports, or participates
in programming to promote successful transitions to college for new
or reentering adult students, such as adult basic education, GED
preparation, GED testing, or recruiting, advising, or orientation
activities specific to adults.
(v) The community college has active partnerships with
regional 4-year colleges and universities to promote successful
transfer, such as articulation, 2+2, or reverse transfer agreements
or operation of a university center.
(c) For Category C, community services, the following:
(i) The community college provides continuing education
programming for leisure, wellness, personal enrichment, or
professional development.
(ii) The community college operates or sponsors opportunities
for community members to engage in activities that promote leisure,
wellness, cultural or personal enrichment such as community sports
teams, theater or musical ensembles, or artist guilds.
(iii) The community college operates public facilities to
promote cultural, educational, or personal enrichment for community
members, such as libraries, computer labs, performing arts centers,
museums, art galleries, or television or radio stations.
(iv) The community college operates public facilities to
promote leisure or wellness activities for community members,
including gymnasiums, athletic fields, tennis courts, fitness
centers, hiking or biking trails, or natural areas.
(v) The community college promotes, sponsors, or hosts
community service activities for students, staff, or community
members.
Sec. 296. (1) If the maximum amount appropriated under this
act from the state school aid fund for a fiscal year exceeds the
amount necessary to fully fund allocations under this act from the
state school aid fund, that excess amount shall not be expended in
that state fiscal year and shall not lapse to the general fund, but
instead
shall instead be
deposited into the school aid
stabilization fund created in section 11a.
(2) If the total maximum amount appropriated under all
articles of this act from the state school aid fund and the school
aid stabilization fund exceeds the amount available for expenditure
from the state school aid fund for that fiscal year, payments under
sections 11f, 11g, 11j, 22a, 26a, 26b, 31d, 31f, 51a(2), 51a(12),
51c, 53a, 56, and 152a shall be made in full. In addition, for
districts beginning operations after 1994-95 that qualify for
payments under section 22b, payments under section 22b shall be
made so that the qualifying districts receive the lesser of an
amount equal to the 1994-95 foundation allowance of the district in
which the district beginning operations after 1994-95 is located or
$5,500.00. The amount of the payment to be made under section 22b
for these qualifying districts shall be as calculated under section
22a, with the balance of the payment under section 22b being
subject to the proration otherwise provided under this subsection
and subsection (3). If proration is necessary, state payments under
each of the other sections of article I from all state funding
sources, and state appropriations to community colleges and public
universities under articles II and III from the state school aid
fund, shall be prorated in the manner prescribed in subsection (3)
as necessary to reflect the amount available for expenditure from
the state school aid fund for the affected fiscal year. However, if
the department of treasury determines that proration will be
required under this subsection, or if the department of treasury
determines that further proration is required under this subsection
after an initial proration has already been made for a fiscal year,
the department of treasury shall notify the state budget director,
and the state budget director shall notify the legislature at least
30 calendar days or 6 legislative session days, whichever is more,
before the department reduces any payments under this act because
of the proration. During the 30-calendar-day or 6-legislative-
session-day period after that notification by the state budget
director, the department shall not reduce any payments under this
act because of proration under this subsection. The legislature may
prevent proration from occurring by, within the 30-calendar-day or
6-legislative-session-day period after that notification by the
state budget director, enacting legislation appropriating
additional funds from the general fund, countercyclical budget and
economic stabilization fund, state school aid fund balance, or
another source to fund the amount of the projected shortfall.
(3) If proration is necessary under subsection (2), the
department shall calculate the proration in district and
intermediate district payments under article I that is required
under subsection (2), and the department of treasury shall
calculate the proration in community college and public university
payments under articles II and III that is required under
subsection (2), as follows:
(a) The department and the department of treasury shall
calculate the percentage of total state school aid fund money that
is appropriated and allocated under this act for the affected
fiscal year for each of the following:
(i) Districts.
(ii) Intermediate districts.
(iii) Entities receiving funding from the state school aid fund
under article I other than districts or intermediate districts.
(iv) Community colleges and public universities that receive
funding from the state school aid fund.
(b) The department shall recover a percentage of the proration
amount required under subsection (2) that is equal to the
percentage calculated under subdivision (a)(i) for districts by
reducing payments to districts. This reduction shall be made by
calculating an equal dollar amount per pupil as necessary to
recover this percentage of the proration amount and reducing each
district's total state school aid from state sources, other than
payments under sections 11f, 11g, 11j, 22a, 26a, 26b, 31d, 31f,
51a(2), 51a(12), 51c, 53a, and 152a, by that amount.
(c) The department shall recover a percentage of the proration
amount required under subsection (2) that is equal to the
percentage calculated under subdivision (a)(ii) for intermediate
districts by reducing payments to intermediate districts. This
reduction shall be made by reducing the payments to each
intermediate district, other than payments under sections 11f, 11g,
26a, 26b, 51a(2), 51a(12), 53a, 56, and 152a, on an equal
percentage basis.
(d) The department shall recover a percentage of the proration
amount required under subsection (2) that is equal to the
percentage calculated under subdivision (a)(iii) for entities
receiving funding from the state school aid fund under article I
other than districts and intermediate districts by reducing
payments to these entities. This reduction shall be made by
reducing the payments to each of these entities, other than
payments under sections 11j, 26a, and 26b, on an equal percentage
basis.
(e) The department of treasury shall recover a percentage of
the proration amount required under subsection (2) that is equal to
the percentage calculated under subdivision (a)(iv) for community
colleges and public universities that receive funding from the
state school aid fund by reducing that portion of the payments
under articles II and III to these community colleges and public
universities that is from the state school aid fund on an equal
percentage basis.
Enacting section 1. (1) In accordance with section 30 of
article I of the state constitution of 1963, total state spending
on community colleges under article II as amended by 2012 PA 201
and this amendatory act from state sources for fiscal year 2012-
2013 is estimated at $306,630,500.00 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 $306,630,500.00.
(2) In accordance with section 30 of article IX of the state
constitution of 1963, total state spending from state sources for
community colleges for fiscal year 2013-2014 under article II is
estimated at $335,977,600.00 and the amount of that state spending
from state sources to be paid to local units of government for
fiscal year 2013-2014 is estimated at $335,977,600.00.
Enacting section 2. Sections 201b, 210a, and 216 of the state
school aid act of 1979, 1979 PA 94, MCL 388.1801b, 388.1810a, and
388.1816, are repealed effective October 1, 2013.
Enacting section 3. (1) Except as otherwise provided in
subsection (2), this amendatory act takes effect October 1, 2013.
(2) Section 201b of the state school aid act of 1979, 1979 PA
94, MCL 388.1801b, as added by this amendatory act, takes effect
upon enactment of this amendatory act.