February 11, 2014, Introduced by Senator KAHN and referred to the Committee on Appropriations.
A bill to amend 1979 PA 94, entitled
"The state school aid act of 1979,"
by amending sections 11, 17b, 201, and 236 (MCL 388.1611,
388.1617b, 388.1801, and 388.1836), section 11 as amended by 2013
PA 97, section 17b as amended by 2007 PA 137, and sections 201 and
236 as amended by 2013 PA 60.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec.
11. (1) For the fiscal year ending September 30, 2013,
there
is appropriated for the public schools of this state and
certain
other state purposes relating to education the sum of
$10,928,614,200.00
from the state school aid fund and the sum of
$282,400,000.00
from the general fund. For the
fiscal year ending
September
30, 2014, 2015, there is appropriated for the public
schools of this state and certain other state purposes relating to
education
the sum of $11,211,382,300.00 $_________________
from the
state
school aid fund, the sum of $156,000,000.00 $_______________
from the MPSERS retirement obligation reform reserve fund created
under
section 147b, and the sum of $234,900,000.00 $_______________
from the general fund. In addition, all other available federal
funds, except those otherwise appropriated under section 11p, are
appropriated
for the fiscal year ending September 30, 2013 and for
the
fiscal year ending September 30, 2014.2015.
(2) The appropriations under this section shall be allocated
as provided in this article. Money appropriated under this section
from the general fund shall be expended to fund the purposes of
this article before the expenditure of money appropriated under
this section from the state school aid fund.
(3) Any general fund allocations under this article that are
not expended by the end of the state fiscal year are transferred to
the school aid stabilization fund created under section 11a.
Sec. 17b. (1) Not later than October 20, November 20, December
20, January 20, February 20, March 20, April 20, May 20, June 20,
July 20, and August 20, the department shall prepare electronic
files of the amount to be distributed under this act in the
installment to the districts and intermediate districts and deliver
the electronic files to the state treasurer, and the state
treasurer shall pay the installments on each of those dates or, if
the date is not a business day, on the next business day following
that date. Except as otherwise provided in this act, the portion of
the district's or intermediate district's state fiscal year
entitlement to be included in each installment shall be 1/11. A
district or intermediate district shall accrue the payments
received in July and August to the school fiscal year ending the
immediately preceding June 30.
(2) The state treasurer shall make payment under this section
by drawing a warrant in favor of the treasurer of each district or
intermediate district for the amount payable to the district or
intermediate district according to the electronic files and
delivering the warrant to the treasurer of each district or
intermediate district, or if the state treasurer receives a written
request by the treasurer of the district or intermediate district
specifying an account, by electronic funds transfer to that account
of the amount payable to the district or intermediate district
according to the electronic files. The department may make
adjustments in payments made under this section through additional
payments when changes in law or errors in computation cause the
regularly scheduled payment to be less than the amount to which the
district or intermediate district is entitled pursuant to this act.
(3) Except as otherwise provided in this act, grant payments
to districts and intermediate districts under this act shall be
paid according to the installment payment schedule under subsection
(1).
(4) Upon the written request of a district or intermediate
district and the submission of proof satisfactory to the department
of a need of a temporary and nonrecurring nature, the
superintendent, with the written concurrence of the state treasurer
and the state budget director, may authorize an advance release of
funds due a district or intermediate district under this act. An
advance authorized under this subsection shall not cause funds to
be paid to a district or intermediate district more than 30 days
earlier than the established payment date for those funds.
Sec. 201. (1) Subject to the conditions set forth in this
article, the amounts listed in subsections (2), (4), (5), (6), and
(7) are appropriated for community colleges for the fiscal year
ending
September 30, 2014, 2015, from the funds indicated in this
section. The following is a summary of the appropriations in
subsections
(2), (4), (5), (6), and (7):this
section:
(a)
The gross appropriation is $335,977,600.00.
$_______________. After deducting total interdepartmental grants
and intradepartmental transfers in the amount of $0.00, the
adjusted
gross appropriation is $335,977,600.00.$_______________.
(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,
$138,363,500.00.$_______________.
(2) Subject to subsection (3), the amount appropriated for
community
college operations is $_______________.
$298,244,000.00,
allocated
as follows:
(a)
Alpena Community College, $5,221,100.00.
(b)
Bay de Noc Community College, $5,263,800.00.
(c)
Delta College, $14,022,200.00.
(d)
Glen Oaks Community College, $2,434,300.00.
(e)
Gogebic Community College, $4,317,500.00.
(f)
Grand Rapids Community College, $17,403,500.00.
(g)
Henry Ford Community College, $20,997,900.00.
(h)
Jackson Community College, $11,723,600.00.
(i)
Kalamazoo Valley Community College, $12,086,900.00
(j)
Kellogg Community College, $9,494,000.00.
(k)
Kirtland Community College, $3,046,800.00.
(l) Lake Michigan College, $5,162,900.00.
(m)
Lansing Community College, $29,935,300.00.
(n)
Macomb Community College, $31,837,200.00.
(o)
Mid Michigan Community College, $4,504,700.00.
(p)
Monroe County Community College, $4,329,900.00.
(q)
Montcalm Community College, $3,112,000.00.
(r)
C.S. Mott Community College, $15,202,200.00.
(s)
Muskegon Community College, $8,628,000.00.
(t)
North Central Michigan College, $3,055,400.00.
(u)
Northwestern Michigan College, $8,799,300.00.
(v)
Oakland Community College, $20,422,900.00.
(w)
St. Clair County Community College, $6,839,900.00.
(x)
Schoolcraft College, $12,076,700.00.
(y)
Southwestern Michigan College, $6,385,400.00.
(z)
Washtenaw Community College, $12,573,900.00.
(aa)
Wayne County Community College, $16,146,700.00.
(bb)
West Shore Community College, $2,342,900.00.
(cc)
Local strategic value, $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,
$102,363,500.00.$_______________.
(4)
From the appropriations described in subsection (1), there
is
appropriated for fiscal year 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, 2014. 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.
(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 appropriated 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.
236. (1) Subject to the conditions set forth in this
article,
the amounts listed in subsections (2) to (6) this section
are appropriated for higher education for the fiscal year ending
September
30, 2014, 2015, from the funds indicated in this section.
The
following is a summary of the appropriations in subsections (2)
to
(6):this section:
(a)
The gross appropriation is $1,430,573,500.00.
$________________. After deducting total interdepartmental grants
and intradepartmental transfers in the amount of $0.00, the
adjusted gross appropriation is
$1,430,573,500.00.$________________.
(b) The sources of the adjusted gross appropriation described
in subdivision (a) are as follows:
(i) Total federal revenues, $97,026,400.00.$______________.
(ii) Total local revenues, $0.00.
(iii) Total private revenues, $0.00.
(iv) Total other state restricted revenues,
$200,565,700.00.$_______________.
(v) State general fund/general purpose money,
$1,132,981,400.00.$______________.
(2)
Amounts appropriated for public universities are as
follows:
(a)
The appropriation for Central Michigan University is
$73,486,600.00,
$71,352,300.00 for operations and $2,134,300.00 for
performance
funding, appropriated from the following:
(i) State school aid fund, $11,284,600.00.
(ii) State general fund/general purpose money,
$62,202,000.00.
(b)
The appropriation for Eastern Michigan University is
$67,255,600.00,
$66,466,700.00 for operations and $788,900.00 for
performance
funding, appropriated from the following:
(i) State school aid fund, $10,706,400.00.
(ii) State general fund/general purpose money,
$56,549,200.00.
(c)
The appropriation for Ferris State University is
$45,602,600.00,
$44,250,700.00 for operations and $1,351,900.00 for
performance
funding, appropriated from the following:
(i) State school aid fund, $6,846,800.00.
(ii) State general fund/general purpose money,
$38,755,800.00.
(d)
The appropriation for Grand Valley State University is
$57,765,100.00,
$55,436,000.00 for operations and $2,329,100.00 for
performance
funding, appropriated from the following:
(i) State school aid fund, $8,727,800.00.
(ii) State general fund/general purpose money,
$49,037,300.00.
(e)
The appropriation for Lake Superior State University is
$12,226,500.00,
$12,046,100.00 for operations and $180,400.00 for
performance
funding, appropriated from the following:
(i) State school aid fund, $1,787,600.00.
(ii) State general fund/general purpose money,
$10,438,900.00.
(f)
The appropriation for Michigan State University is
$305,775,000.00,
$245,037,000.00 for operations, $4,449,300.00 for
performance
funding, $30,243,900.00 for MSU AgBioResearch, and
$26,044,800.00
for MSU extension, appropriated from the following:
(i) State school aid fund, $39,949,900.00.
(ii) State general fund/general purpose money,
$265,825,100.00.
(g)
The appropriation for Michigan Technological University is
$43,451,900.00,
$42,579,100.00 for operations and $872,800.00 for
performance
funding, appropriated from the following:
(i) State school aid fund, $6,748,900.00.
(ii) State general fund/general purpose money,
$36,703,000.00.
(h)
The appropriation for Northern Michigan University is
$41,719,800.00,
$40,856,600.00 for operations and $863,200.00 for
performance
funding, appropriated from the following:
(i) State school aid fund, $6,356,900.00.
(ii) State general fund/general purpose money,
$35,362,900.00.
(i)
The appropriation for Oakland University is
$45,634,800.00,
$44,964,100.00 for operations and $670,700.00 for
performance
funding, appropriated from the following:
(i) State school aid fund, $7,148,400.00.
(ii) State general fund/general purpose money,
$38,486,400.00.
(j)
The appropriation for Saginaw Valley State University is
$25,982,800.00,
$25,656,700.00 for operations and $326,100.00 for
performance
funding, appropriated from the following:
(i) State school aid fund, $3,903,800.00.
(ii) State general fund/general purpose money,
$22,079,000.00.
(k)
The appropriation for University of Michigan - Ann Arbor
is
$279,108,700.00, $274,156,700.00 for operations and
$4,952,000.00
for performance funding, appropriated from the
following:
(i) State school aid fund, $44,536,300.00.
(ii) State general fund/general purpose money,
$234,572,400.00.
(l) The appropriation for University of Michigan –
Dearborn is
$22,503,700.00,
$22,237,300.00 for operations and $266,400.00 for
performance
funding, appropriated from the following:
(i) State school aid fund, $3,482,100.00.
(ii) State general fund/general purpose money,
$19,021,600.00.
(m)
The appropriation for University of Michigan – Flint is
$19,928,100.00,
$19,526,600.00 for operations and $401,500.00 for
performance
funding, appropriated from the following:
(i) State school aid fund, $2,942,900.00.
(ii) State general fund/general purpose money,
$16,985,200.00.
(n)
The appropriation for Wayne State University is
$183,933,000.00,
$183,398,300.00 for operations and $534,700.00 for
performance
funding, appropriated from the following:
(i) State school aid fund, $30,160,600.00.
(ii) State general fund/general purpose money,
$153,772,400.00.
(o)
The appropriation for Western Michigan University is
$97,235,200.00,
$95,487,500.00 for operations and $1,747,700.00 for
performance
funding, appropriated from the following:
(i) State school aid fund, $15,436,500.00.
(ii) State general fund/general purpose money,
$81,798,700.00.
(3)
The amount appropriated for Michigan public school
employees'
retirement system reimbursement is $2,446,200.00,
$446,200.00
appropriated from the state school aid fund and
$2,000,000.00
appropriated from general fund/general purpose money.
(4)
The amount appropriated for state and regional programs is
$2,200,000.00
appropriated from general fund/general purpose money
and
allocated as follows:
(a)
College access program, $2,000,000.00.
(b)
Higher education database modernization and conversion,
$105,000.00.
(c)
Midwestern higher education compact, $95,000.00.
(5)
The amount appropriated for the Martin Luther King, Jr. -
Cesar
Chavez - Rosa Parks program is $2,691,500.00, appropriated
from
general fund/general purpose money and allocated as follows:
(a)
Select student support services, $1,956,100.00.
(b)
Michigan college/university partnership program,
$586,800.00.
(c)
Morris Hood, Jr. educator development program,
$148,600.00.
(6)
Subject to subsection (7), the amount appropriated for
grants
and financial aid is $101,626,400.00, allocated as follows:
(a)
State competitive scholarships, $18,361,700.00.
(b)
Tuition grants, $31,664,700.00.
(c)
Tuition incentive program, $47,000,000.00.
(d)
Children of veterans and officer's survivor tuition grant
programs,
$1,400,000.00.
(e)
Project GEAR-UP, $3,200,000.00.
(7)
The money appropriated in subsection (6) for grants and
financial
aid is appropriated from the following:
(a)
Federal revenues under the United States department of
education,
office of elementary and secondary education, GEAR-UP
program,
$3,200,000.00.
(b)
Federal revenues under the social security act, temporary
assistance
for needy families, $93,826,400.00.
(c)
Contributions to children of veterans tuition grant
program,
$100,000.00.
(d)
State general fund/general purpose money, $4,500,000.00.