FIRST CONFERENCE REPORT

 

     The Committee of Conference on the matters of difference between the two Houses concerning

 

     House Bill No. 4103, entitled

 

A bill to amend 1979 PA 94, entitled "The state school aid act of 1979," by amending sections 236 and 236a (MCL 388.1836 and 388.1836a), section 236 as amended by 2015 PA 5 and section 236a as amended by 2014 PA 196.

 

     Recommends:

 

     First:  That the Senate recede from the Substitute of the Senate as passed by the Senate.

 

 

     Second:  That the House and Senate agree to the Substitute of the House as passed by the House, amended to read as follows:

 

(attached)

 

     Third:  That the House and Senate agree to the title of the bill to read as follows:

 

     A bill to amend 1979 PA 94, entitled "An act to make appropriations to aid in the support of the public schools, the intermediate school districts, community colleges, and public universities of the state; to make appropriations for certain other purposes relating to education; to provide for the disbursement of the appropriations; to authorize the issuance of certain bonds and provide for the security of those bonds; to prescribe the powers and duties of certain state departments, the state board of education, and certain other boards and officials; to create certain funds and provide for their expenditure; to prescribe penalties; and to repeal acts and parts of acts," by amending sections 236, 236a, 236b, 236c, 241, 244, 246, 252, 256, 263, 263a, 264, 265, 265a, 267, 268, 269, 270, 274, 276, 277, 278, 279, 280, 281, 282, 283, 284, and 286 (MCL 388.1836, 388.1836a, 388.1836b, 388.1836c, 388.1841, 388.1844, 388.1846, 388.1852, 388.1856, 388.1863, 388.1863a, 388.1864, 388.1865, 388.1865a, 388.1867, 388.1868, 388.1869, 388.1870, 388.1874, 388.1876, 388.1877, 388.1878, 388.1879, 388.1880, 388.1881, 388.1882, 388.1883, 388.1884, and 388.1886), section 236 as amended by 2015 PA 5, sections 236a, 236b, 236c, 241, 246, 252, 256, 263, 263a, 264, 265, 265a, 267, 268, 269, 270, 274, 276, 277, 278, 279, 280, 281, 282, 283, and 284 as amended by 2014 PA 196, section 244 as amended by 2013 PA 60, and section 286 as amended by 2012 PA 201, and by adding section 274c; and to repeal acts and parts of acts.

 

 

 

_______________________                 ________________________

Michael D. McCready                     Tonya Schuitmaker

 

_______________________                 ________________________

Paul Muxlow                             Peter MacGregor

 

_______________________                 ________________________

Sam Singh                               Curtis Hertel, Jr.

 

Conferees for the House                 Conferees for the Senate

 

SUBSTITUTE FOR

 

 

 

 

 

 

 

 

 

 

 

 

SUBSTITUTE FOR

 

HOUSE BILL NO. 4103

 

 

 

 

 

 

 

 

 

 

 

     A bill to amend 1979 PA 94, entitled

 

"The state school aid act of 1979,"

 

by amending sections 236, 236a, 236b, 236c, 241, 244, 246, 252,

 

256, 263, 263a, 264, 265, 265a, 267, 268, 269, 270, 274, 276, 277,

 

278, 279, 280, 281, 282, 283, 284, and 286 (MCL 388.1836,

 

388.1836a, 388.1836b, 388.1836c, 388.1841, 388.1844, 388.1846,

 

388.1852, 388.1856, 388.1863, 388.1863a, 388.1864, 388.1865,

 

388.1865a, 388.1867, 388.1868, 388.1869, 388.1870, 388.1874,

 

388.1876, 388.1877, 388.1878, 388.1879, 388.1880, 388.1881,

 

388.1882, 388.1883, 388.1884, and 388.1886), section 236 as amended

 

by 2015 PA 5, sections 236a, 236b, 236c, 241, 246, 252, 256, 263,

 

263a, 264, 265, 265a, 267, 268, 269, 270, 274, 276, 277, 278, 279,

 

280, 281, 282, 283, and 284 as amended by 2014 PA 196, section 244

 

as amended by 2013 PA 60, and section 286 as amended by 2012 PA

 


201, and by adding section 274c; 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 this section are appropriated for

 

higher education for the fiscal year ending September 30, 2015,

 

2016, from the funds indicated in this section. The following is a

 

summary of the appropriations in this section:

 

     (a) The gross appropriation is $1,516,496,300.00.

 

$1,534,724,400.00. After deducting total interdepartmental grants

 

and intradepartmental transfers in the amount of $0.00, the

 

adjusted gross appropriation is $1,516,496,300.00.

 

$1,534,724,400.00.

 

     (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,

 

$206,567,900.00.$205,279,500.00.

 

     (v) State general fund/general purpose money,

 

$1,212,902,000.00.$1,232,418,500.00.

 

     (2) Amounts appropriated for public universities are as

 

follows:

 

     (a) The appropriation for Central Michigan University is

 

$79,115,000.00, $73,540,100.00 for operations and $5,574,900.00 for

 

performance funding.$80,904,400.00, $79,164,800.00 for operations


and $1,739,600.00 for performance funding.

 

     (b) The appropriation for Eastern Michigan University is

 

$71,771,100.00, $67,275,400.00 for operations and $4,495,700.00 for

 

performance funding.$72,835,300.00, $71,782,500.00 for operations

 

and $1,052,800.00 for performance funding.

 

     (c) The appropriation for Ferris State University is

 

$49,087,000.00, $45,636,500.00 for operations and $3,450,500.00 for

 

performance funding.$50,227,800.00, $49,119,100.00 for operations

 

and $1,108,700.00 for performance funding.

 

     (d) The appropriation for Grand Valley State University is

 

$63,136,000.00, $57,823,500.00 for operations and $5,312,500.00 for

 

performance funding.$65,035,200.00, $63,156,500.00 for operations

 

and $1,878,700.00 for performance funding.

 

     (e) The appropriation for Lake Superior State University is

 

$12,782,500.00, $12,231,000.00 for operations and $551,500.00 for

 

performance funding.$13,183,600.00, $12,997,500.00 for operations

 

and $186,100.00 for performance funding.

 

     (f) The appropriation for Michigan State University is

 

$324,038,100.00, $249,597,800.00 for operations, $14,831,300.00 for

 

performance funding, $32,027,900.00 for MSU [AgBioResearch,] and

 

$27,581,100.00 for MSU extension.$328,782,000.00, $264,437,900.00

 

for operations, $3,841,000.00 for performance funding,

 

$32,508,300.00 for MSU AgBioResearch, and $27,994,800.00 for MSU

 

Extension.

 

     (g) The appropriation for Michigan Technological University is

 

$45,923,100.00, $43,473,800.00 for operations and $2,449,300.00 for

 

performance funding.$46,662,000.00, $45,938,000.00 for operations


and $724,000.00 for performance funding.

 

     (h) The appropriation for Northern Michigan University is

 

$44,277,200.00, $41,741,400.00 for operations and $2,535,800.00 for

 

performance funding.$45,020,400.00, $44,338,300.00 for operations

 

and $682,100.00 for performance funding.

 

     (i) The appropriation for Oakland University is

 

$48,364,100.00, $45,651,600.00 for operations and $2,712,500.00 for

 

performance funding.$49,600,300.00, $48,371,900.00 for operations

 

and $1,228,400.00 for performance funding.

 

     (j) The appropriation for Saginaw Valley State University is

 

$27,610,200.00, $25,991,000.00 for operations and $1,619,200.00 for

 

performance funding.$28,117,700.00, $27,621,600.00 for operations

 

and $496,100.00 for performance funding.

 

     (k) The appropriation for University of Michigan – Ann Arbor

 

is $295,174,100.00, $279,232,700.00 for operations and

 

$15,941,400.00 for performance funding.$299,430,600.00,

 

$295,178,500.00 for operations and $4,252,100.00 for performance

 

funding.

 

     (l) The appropriation for University of Michigan – Dearborn is

 

$23,689,300.00, $22,510,400.00 for operations and $1,178,900.00 for

 

performance funding.$23,995,400.00, $23,701,000.00 for operations

 

and $294,400.00 for performance funding.

 

     (m) The appropriation for University of Michigan – Flint is

 

$21,337,700.00, $19,938,200.00 for operations and $1,399,500.00 for

 

performance funding.$21,763,700.00, $21,359,600.00 for operations

 

and $404,100.00 for performance funding.

 

     (n) The appropriation for Wayne State University is


$190,519,800.00, $183,398,300.00 for operations and $7,121,500.00

 

for performance funding.$191,346,700.00, $190,529,900.00 for

 

operations and $816,800.00 for performance funding.

 

     (o) The appropriation for Western Michigan University is

 

$102,742,000.00, $97,279,000.00 for operations and $5,463,000.00

 

for performance funding.$104,155,600.00, $102,761,100.00 for

 

operations and $1,394,500.00 for performance funding.

 

     (3) The amount appropriated in subsection (2) for public

 

universities is appropriated from the following:

 

     (a) State school aid fund, $200,019,500.00.

 

     (b) State general fund/general purpose money,

 

$1,199,547,700.00.$1,221,041,200.00.

 

     (4) The amount appropriated for Michigan public school

 

employees' retirement system reimbursement is $2,446,200.00,

 

$5,160,000.00, appropriated from the state school aid fund.

 

     (5) For fiscal year 2014-2015 only, in addition to the amount

 

appropriated under subsection (4), $4,002,200.00 is appropriated

 

for Michigan public school employees' retirement system

 

reimbursement, appropriated from the state school aid fund.

 

     (5) (6) The amount appropriated for state and regional

 

programs is $2,295,000.00 $315,000.00, appropriated from general

 

fund/general purpose money and allocated as follows:

 

     (a) College access program, $2,000,000.00.

 

     (a) (b) Higher education database modernization and

 

conversion, $200,000.00.

 

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

 

Higher Education Compact, $115,000.00.


     (6) (7) 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.

 

     (7) (8) Subject to subsection (9), (8), the amount

 

appropriated for grants and financial aid is $105,494,200.00,

 

$105,497,200.00, allocated as follows:

 

     (a) State competitive scholarships, $18,361,700.00.

 

     (b) Tuition grants, $33,532,500.00.$34,035,500.00.

 

     (c) Tuition incentive program, $48,500,000.00.

 

     (d) Children of veterans and officer's survivor tuition grant

 

programs, $1,400,000.00.

 

     (e) Project GEAR-UP, $3,200,000.00.

 

     (f) North American Indian tuition waivers, $500,000.00.

 

     (8) (9) The money appropriated in subsection (8) (7) 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, 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,

 

$8,367,800.00.$8,370,800.00.

 

     Sec. 236a. It is the intent of the legislature to provide

 

appropriations for the fiscal year ending on September 30, 2016

 

2017 for the items listed in section 236. The fiscal year 2015-2016

 

2016-2017 appropriations are anticipated to be the same as those

 

for fiscal year 2014-2015, 2015-2016, 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 2015 2016

 

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 2014-2015 2015-2016 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 under section 393(2)

 

of the management and budget act, 1984 PA 431, MCL 18.1393, for

 

another purpose under this article.

 

     Sec. 236c. In addition to the funds appropriated for fiscal

 

year 2014-2015 2015-2016 in section 236, appropriations to the

 

department of technology, management, and budget in the act

 

providing general appropriations for fiscal year 2014-2015 2015-

 

2016 for state building authority rent, totaling an estimated

 

$124,825,300.00, $135,995,300.00, provide funding for the state

 

share of costs for previously constructed capital projects for


state 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, $9,103,200.00.$9,551,800.00.

 

     (b) Eastern Michigan University, $4,861,700.00.$4,860,900.00.

 

     (c) Ferris State University, $6,252,200.00.$6,251,200.00.

 

     (d) Grand Valley State University,

 

$4,252,500.00.$6,952,300.00.

 

     (e) Lake Superior State University,

 

$1,112,900.00.$1,720,300.00.

 

     (f) Michigan State University, $16,101,200.00.$16,549,200.00.

 

     (g) Michigan Technological University,

 

$7,444,600.00.$7,443,400.00.

 

     (h) Northern Michigan University, $8,016,400.00.$9,706,200.00.

 

     (i) Oakland University, $10,969,800.00.$12,993,400.00.

 

     (j) Saginaw Valley State University,

 

$9,777,400.00.$9,865,800.00.

 

     (k) University of Michigan - Ann Arbor,

 

$9,159,200.00.$9,607,800.00.

 

     (l) University of Michigan - Dearborn,

 

$6,296,200.00.$6,745,200.00.

 

     (m) University of Michigan - Flint,

 

$2,855,000.00.$3,104,000.00.

 

     (n) Wayne State University, $13,679,800.00.$15,703,000.00.

 

     (o) Western Michigan University,

 

$14,943,200.00.$14,940,800.00.


     Sec. 241. (1) Subject to section sections 244 and 265a, 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, 2014. 2015. Except for

 

Wayne State University, each institution shall accrue its July and

 

August 2015 2016 payments to its institutional fiscal year ending

 

June 30, 2015. 2016.

 

     (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, 2014, 2015, these data shall be submitted to

 

the state budget director by October 15, 2014. 2015. Public

 

universities with a fiscal year ending September 30, 2014 2015

 

shall submit preliminary HEIDI data by November 15, 2014 2015 and

 

final data by December 15, 2014. 2015. If a public university fails

 

to submit HEIDI data and associated financial aid program

 

information in accordance with this reporting schedule, the state

 

treasurer may withhold the monthly installments under subsection

 

(1) to the public university until those data are submitted.

 

     Sec. 244. A public university receiving funds in section 236

 

shall cooperate with all measures taken by the state to develop,

 

operate, and maintain the statewide P-20 longitudinal data system

 

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 236 241 until he or she

 

finds the university has complied with this section.

 

     Sec. 246. (1) All of the following apply to the allocation of

 

the fiscal year 2015-2016 appropriations described in section

 

236(4) for payments to universities that are participating entities

 

of the Michigan public school employees' retirement system:

 

     (a) The funds appropriated in section 236 236(4) for Michigan

 

public school employees' retirement system reimbursement shall be

 

allocated to each participating public university under this

 

section based on each participating public university's percentage

 

of the total combined payrolls of the universities' employees who

 

are members of the retirement system and who were hired before

 

January 1, 1996 and the universities' employees who would have been

 

members of the retirement system on or after January 1, 1996, but

 

for the enactment of 1995 PA 272 for all public universities that

 

are participating public universities for the immediately preceding

 

state fiscal year.

 

     (b) The amount of a payment under section 236(4) shall be

 

equal to the difference between the unfunded actuarial accrued

 

liability contribution rate for university reporting units as

 

calculated under section 41 of the public school employees

 

retirement act of 1979, 1980 PA 300, MCL 38.1341, as calculated

 

without taking into account the maximum employer rate of 25.73%

 

included in section 41 of the public school employees retirement

 

act of 1979, 1980 PA 300, MCL 38.1341, and the maximum employer

 

rate for university reporting units of 25.73% under section 41 of


the public school employees retirement act of 1979, 1980 PA 300,

 

MCL 38.1341. Payments shall be made in a form and manner determined

 

by the office of retirement services.

 

     (c) A public university that receives money under this section

 

236(4) shall use that money solely for the purpose of offsetting a

 

portion of the retirement contributions. owed by the university.

 

Each participating university that receives funds under section

 

236(4) shall forward an amount equal to the amount received under

 

section 236(4) to the Michigan public school employees' retirement

 

system in a form and manner determined by the office of retirement

 

services.

 

     (2) As used in this section, "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, 38.1437, and that pays contributions to the Michigan

 

public school employees' retirement system for the state fiscal

 

year.

 

     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

 

are qualified and who apply before July 1 of each year for the next

 

academic year.

 

     (3) Pursuant to section 5 of 1966 PA 313, MCL 390.995, and

 

subject to subsections (7) and (8), 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. If the department determines that

 

sufficient 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 maximum award amount

 

established and the projected amount of any projected year-end

 

appropriation balance based on that maximum award amount. By

 

December 15, and again by February 18 of each fiscal year, 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 the final day of February of

 

each year. If award adjustments are necessary, the students shall

 

be notified of the adjustment by March 4 of each year.


     (4) Any unexpended and unencumbered funds remaining on

 

September 30, 2015 2016 from the amounts appropriated in section

 

236 for the tuition grant program for fiscal year 2014-2015 2015-

 

2016 shall not lapse on September 30, 2015, 2016, but shall

 

continue to be available for expenditure for tuition grants

 

provided in the 2015-2016 2016-2017 fiscal year under a work

 

project account. The use of these unexpended fiscal year 2014-2015

 

2015-2016 funds shall terminate at the end of the 2015-2016 2016-

 

2017 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 that

 

fiscal year.

 

     (7) Except as provided in subsection (4), the department of

 

treasury shall not award more than $3,200,000.00 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.

 

     (8) The department of treasury shall not award tuition grants

 

to otherwise eligible students enrolled in an independent college


or university that does not report, in a form and manner directed

 

by and satisfactory to the department of treasury, by August 31

 

September 30 of each year, beginning with August 31, 2015, all of

 

the following:

 

     (a) The number of students in the most recently completed

 

academic year that who in any academic year received a state

 

tuition grant at the reporting institution and successfully

 

completed a program or graduated.

 

     (b) The number of students in the most recently completed

 

academic year that who in any academic year received a state

 

tuition grant at the reporting institution and took a remedial

 

education class.

 

     (c) The number of students in the most recently completed

 

academic year that who in any academic year received a Pell grant

 

at the reporting institution and successfully completed a program

 

or graduated.

 

     (9) By February 1, 2016, each independent college and

 

university participating in the tuition grant program shall report

 

to the senate and house appropriations subcommittees on higher

 

education, the senate and house fiscal agencies, and the state

 

budget director on its efforts to develop and implement sexual

 

assault response training for the institution's title IX

 

coordinator, campus law enforcement personnel, campus public safety

 

personnel, and any other campus personnel charged with responding

 

to on-campus incidents, including information on sexual assault

 

response training materials and the status of implementing sexual

 

assault response training for institutional personnel.


     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.

 

     (c) "Department" means the department of treasury.

 

     (3) 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, an individual shall meet all

 

of the following criteria:

 

     (i) Apply for certification to the department any time after

 

he or she begins the sixth grade but before August 31 of the school

 

year in which he or she graduates from high school or before

 

completing a general education development certificate.

 

     (ii) Be less than 20 years of age at the time he or she

 

graduates from high school with a diploma or certificate of

 

completion or completes a general education development

 

certificate.

 

     (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 completion

 

of a general education development certificate.

 

     (v) Request information on filing a FAFSA.

 

     (vi) Must meet the satisfactory academic progress policy of

 

the educational institution he or she attends.

 

     (b) To be eligible for phase II, 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.

 

     (c) To be eligible for phase I or phase II, an individual must

 

not be incarcerated and must be financially eligible as determined

 

by the department. An individual is financially eligible for the

 

tuition incentive program if he or she was 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. As used in this

 

subdivision, "incarcerated" does not include detention of a

 

juvenile in a state-operated or privately operated juvenile

 

detention facility.


     (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.

 

     (c) For persons enrolled at a Michigan public university, the

 

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. 263. (1) Included in the appropriation in section 236 for

 

fiscal year 2014-2015 2015-2016 for MSU AgBioResearch is

 

$2,982,900.00 and included in the appropriation in section 236 for

 

MSU extension Extension is $2,645,200.00 for project 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.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 Project GREEEN and its program priorities.

 

     Sec. 263a. (1) Not later than September 30 of each year,

 

Michigan State University shall submit a report on MSU

 

AgBioResearch and MSU extension Extension 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 academic fiscal year.

 

     (2) The report required under subsection (1) shall include all

 

of the following:

 

     (a) Total funds expended by MSU AgBioResearch and by MSU

 

extension service Extension 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 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 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.

 

     (iv) Increasing the sector's total economic impact from

 

today's $71,000,000,000.00 to at least $100,000,000,000.00.

 

     (v) Doubling Increasing Michigan's agricultural exports from

 

$1,750,000,000.00 to at least $3,500,000,000.00.

 

     (vi) Increasing jobs in the food and agriculture sector by

 

10%.

 

     (vii) Improving access by Michigan consumers to healthy foods

 

by 20%.

 

     (c) A review of major programs within both MSU AgBioResearch

 

and MSU extension 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. 264. Included in the appropriation in section 236 for

 

fiscal year 2014-2015 2015-2016 for Michigan State University is

 

$80,000.00 for the Michigan future farmers of America association.

 

Future Farmers of America Association. This $80,000.00 allocation

 

shall not supplant any existing support that Michigan State

 

University provides to the Michigan future farmers of America

 

association.Future Farmers of America Association.

 

     Sec. 265. (1) Payments under section 265a for performance


funding shall only be made to a public university that certifies to

 

the state budget director by August 31, 2014 2015 that its board

 

did not adopt an increase in tuition and fee rates for resident

 

undergraduate students after September 1, 2013 2014 for the 2013-

 

2014 2014-2015 academic year and that its board will not adopt an

 

increase in tuition and fee rates for resident undergraduate

 

students for the 2014-2015 2015-2016 academic year that is greater

 

than 3.2%. As used in this subsection:

 

     (a) Subject to subdivision (c), "fee" "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 2014-2015 2015-2016 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 an average of the

 

rates authorized by the university board and actually charged to

 

students, deducting any uniformly-rebated uniformly rebated or

 

refunded amounts, for the 2 semesters with the highest levels of

 

full-time equated resident undergraduate enrollment during the

 

academic year.

 

     (c) For purposes of subdivision (a), for a public university

 

that compels resident undergraduate students to be covered by


health insurance as a condition to enroll at the university, "fee"

 

includes the annual amount a student is charged for coverage by the

 

university-affiliated group health insurance policy if he or she

 

does not provide proof that he or she is otherwise covered by

 

health insurance. This subdivision does not apply to limited

 

subsets of resident undergraduate students to be covered by health

 

insurance for specific reasons other than general enrollment at the

 

university.

 

     (2) The state budget director shall implement uniform

 

reporting requirements to ensure that a public university receiving

 

a payment under section 265a for performance funding 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.

 

     Sec. 265a. (1) Appropriations to public universities in

 

section 236 for fiscal year 2014-2015 2015-2016 for performance

 

funding shall be paid only to a public university that complies

 

with section 265 and certifies to the state budget director, the

 

house and senate appropriations subcommittees on higher education,

 

and the house and senate fiscal agencies by August 31, 2014 2015

 

that it complies with all of the following requirements:

 

     (a) The university participates in reverse transfer agreements

 

described in section 286 with at least 3 Michigan community


colleges or has made a good-faith effort to enter into reverse

 

transfer agreements.

 

     (b) The university does not and will not consider whether dual

 

enrollment credits earned by an incoming student were utilized

 

towards his or her high school graduation requirements when making

 

a determination as to whether those credits may be used by the

 

student toward completion of a university degree or certificate

 

program.

 

     (c) The university participates in the Michigan transfer

 

network Transfer Network created as part of the Michigan

 

association of collegiate registrars and admissions officers

 

Association of Collegiate Registrars and Admissions Officers

 

transfer agreement.

 

     (2) Any performance funding amounts under section 236 that are

 

not paid to a public university because it did not comply with 1 or

 

more requirements under subsection (1) are unappropriated and

 

reappropriated for performance funding to those public universities

 

that meet the requirements under subsection (1), distributed in

 

proportion to their performance funding appropriation amounts under

 

section 236.

 

     (3) The state budget director shall report to the house and

 

senate appropriations subcommittees on higher education and the

 

house and senate fiscal agencies by September 17, 2014, 30, 2015,

 

regarding any performance funding amounts that are not paid to a

 

public university because it did not comply with 1 or more

 

requirements under subsection (1) and any reappropriation of funds

 

under subsection (2).


     (4) Performance funding amounts described in section 236 are

 

distributed based on the following formula:

 

     (a) Proportional to each university's share of total

 

operations funding appropriated in fiscal year 2010-2011, 50.0%.

 

     (a) (b) Based on weighted undergraduate completions in

 

critical skills areas, 11.1%.22.2%.

 

     (b) (c) Based on research and development expenditures, for

 

universities classified in Carnegie classifications as

 

doctoral/research universities, research universities (high

 

research activity), or research universities (very high research

 

activity) only, 5.6%.11.1%.

 

     (c) (d) Based on 6-year graduation rate, total degree

 

completions, and institutional support as a percentage of core

 

expenditures, and the percentage of students receiving Pell grants,

 

scored against national Carnegie classification peers and weighted

 

by total undergraduate fiscal year equated students, 33.3%.66.7%.

 

     (5) For purposes of determining the score of a university

 

under subsection (4)(d), (4)(c), each university is assigned 1 of

 

the following scores:

 

     (a) A university classified as in the top 20%, a score of 3.

 

     (b) A university classified as above national median, a score

 

of 2.

 

     (c) A university classified as improving, a score of 2. It is

 

the intent of the legislature that, beginning in the 2015-2016

 

2016-2017 state fiscal year, a university classified as improving

 

is assigned a score of 1.

 

     (d) A university that is not included in subdivision (a), (b),


or (c), a score of 0.

 

     (6) For purposes of this section, "Carnegie classification"

 

shall mean the basic classification of the university according to

 

the most recent version of the Carnegie classification of

 

institutions of higher education, published by the Carnegie

 

foundation for the advancement of teaching.Foundation for the

 

Advancement of Teaching.

 

     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 2014-2015 2015-2016 as part

 

of their higher education institutional data inventory (HEIDI) data

 

by August 31 of each year. A public university shall report any

 

revisions for any semester of the reported academic year 2014-2015

 

2015-2016 tuition and fee charges to HEIDI within 15 days of being

 

adopted.

 

     Sec. 268. (1) For the fiscal year ending September 30, 2014,

 

2016, 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.

 

     (2) Appropriations in section 236(8)(f) for North American

 

Indian tuition waivers shall be paid to universities under section

 

2a of 1976 PA 174, MCL 390.1252a. Allocations shall be adjusted for

 

amounts included in university operations appropriations. If funds

 

are insufficient to support the entire cost of waivers, amounts

 

shall be prorated.

 

     (2) (3) By February 15 of each year, the department of civil


rights shall annually submit to the state budget director, the

 

house and senate appropriations subcommittees on higher education,

 

and the house and senate fiscal agencies a report on North American

 

Indian tuition waivers for the preceding fiscal year that includes,

 

but is not limited to, all of the following information for each

 

postsecondary institution:

 

     (a) The total number of waiver applications.

 

     (b) The total number of waivers granted and the monetary value

 

of each waiver.

 

     (c) The number of students who withdraw from classes.

 

     (d) The number of students who successfully complete a degree

 

or certificate program and the 6-year graduation rate.

 

     (3) A public university that receives funds under section 236

 

shall provide to the department of civil rights any information

 

necessary for preparing the report detailed in subsection (2).

 

     Sec. 269. For fiscal year 2014-2015, 2015-2016, 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. For fiscal year 2014-2015 2015-2016, 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. 274. It is the intent of the legislature that public and

 

private organizations that conduct human embryonic stem cell


derivation subject to section 27 of article I of the state

 

constitution of 1963 will provide information to the director of

 

the department of community health and human services by December

 

1, 2014 2015 that includes all of the following:

 

     (a) Documentation that the organization conducting human

 

embryonic stem cell derivation is conducting its activities in

 

compliance with the requirements of section 27 of article I of the

 

state constitution of 1963 and all relevant national institutes of

 

health National Institutes of Health guidelines pertaining to

 

embryonic stem cell derivation.

 

     (b) A list of all human embryonic stem cell lines submitted by

 

the organization to the national institutes of health National

 

Institutes of Health for inclusion in the human embryonic stem cell

 

registry Human Embryonic Stem Cell Registry before and during

 

fiscal year 2013-2014, 2014-2015, and the status of each submission

 

as approved, pending approval, or review completed but not yet

 

accepted.

 

     (c) Number of human embryonic stem cell lines derived and not

 

submitted for inclusion in the human embryonic stem cell registry,

 

Human Embryonic Stem Cell Registry, before and during fiscal year

 

2013-2014.2014-2015.

 

     Sec. 274c. By February 1, 2016, each university receiving

 

funds under section 236 shall report to the senate and house

 

appropriations subcommittees on higher education, the senate and

 

house fiscal agencies, and the state budget director on its efforts

 

to develop and implement sexual assault response training for the

 

university's title IX coordinator, campus law enforcement


personnel, campus public safety personnel, and any other campus

 

personnel charged with responding to on-campus incidents, including

 

information on sexual assault response training materials and the

 

status of implementing sexual assault response training for campus

 

personnel.

 

     Sec. 276. (1) Included in the appropriation for fiscal year

 

2014-2015 2015-2016 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

 

2014-2015 2015-2016 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 2014-

 

2015 2015-2016 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 2014-

 

2015 2015-2016 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

 

2014-2015 2015-2016 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

 

2014-2015 2015-2016 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 for fiscal year

 

2015-2016 under section 278, 279, or 281 shall notify the workforce

 

development agency by April 15, of each year 2016 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 Presidents Council, State Universities of Michigan in

 

cooperation with the Michigan association of secondary school

 

principals. Association of Secondary School Principals. Public

 

universities shall also work with the center for educational

 

performance and information to maintain a systematic approach for

 

accomplishing this task.

 

     (2) 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 Association of Secondary School

 

Principals in cooperation with the presidents council, state

 

universities 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 Presidents Council, State Universities of Michigan in

 

cooperation with the Michigan community college association.

 

Community College Association. Public universities shall also work

 

with the center for educational performance and information to

 

maintain a systematic approach for accomplishing this task.

 

     Sec. 286. It is the intent of the legislature that public

 

Public universities shall 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. It is the intent of the

 

legislature that these These statewide agreements shall 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.

 

     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 2015-2016 under

 

article III of the state school aid act of 1979, 1979 PA 94, MCL

 

388.1836 to 388.1893, as amended by this amendatory act, is

 

estimated at $1,437,698,000.00 and the amount of that state

 

spending from state sources to be paid to local units of government

 

for fiscal year 2015-2016 is estimated at $0.00.

 

     Enacting section 2. Sections 259, 262a, 272a, 273, and 274a,


of the state school aid act of 1979, 1979 PA 94, MCL 388.1859,

 

388.1862a, 388,1872a, 388.1873, and 388.1874a, are repealed

 

effective October 1, 2015.

 

     Enacting section 3. This amendatory act takes effect October

 

1, 2015.