FIRST CONFERENCE REPORT
The Committee of Conference on the matters of difference between the two Houses concerning
House Bill No. 4115, entitled
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 6, 8b, 11, 11a, 11j, 11k, 11m, 11r, 15, 18, 18a, 20, 20d, 20f, 20g, 21f, 22a, 22b, 22d, 22g, 22i, 23a, 24, 24a, 24c, 25e, 25f, 26a, 26b, 26c, 31a, 31d, 31f, 32d, 32p, 39, 39a, 41, 43, 51a, 51c, 51d, 53a, 54, 56, 61a, 62, 64b, 74, 81, 94, 94a, 95a, 98, 99h, 101, 104, 104b, 104c, 107, 147, 147a, 147c, 152a, 163, 201, 201a, 206, 207a, 207b, 207c, 209, 210, 210b, 217, 222, 225, 226, 229, 229a, 230, 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 388.1606, 388.1608b, 388.1611, 388.1611a, 388.1611j, 388.1611k, 388.1611m, 388.1611r, 388.1615, 388.1618, 388.1618a, 388.1620, 388.1620d, 388.1620f, 388.1620g, 388.1621f, 388.1622a, 388.1622b, 388.1622d, 388.1622g, 388.1622i, 388.1623a, 388.1624, 388.1624a, 388.1624c, 388.1625e, 388.1625f, 388.1626a, 388.1626b, 388.1626c, 388.1631a, 388.1631d, 388.1631f, 388.1632d, 388.1632p, 388.1639, 388.1639a, 388.1641, 388.1643, 388.1651a, 388.1651c, 388.1651d, 388.1653a, 388.1654, 388.1656, 388.1661a, 388.1662, 388.1664b, 388.1674, 388.1681, 388.1694, 388.1694a, 388.1695a, 388.1698, 388.1699h, 388.1701, 388.1704, 388.1704b, 388.1704c, 388.1707, 388.1747, 388.1747a, 388.1747c, 388.1752a, 388.1763, 388.1801, 388.1801a, 388.1806, 388.1807a, 388.1807b, 388.1807c, 388.1809, 388.1810, 388.1810b, 388.1817, 388.1822, 388.1825, 388.1826, 388.1829, 388.1829a, 388.1830, 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), sections 6, 8b, 11a, 11j, 11k, 15, 20, 20d, 20f, 20g, 21f, 22d, 22g, 22i, 24, 24a, 24c, 25e, 25f, 26a, 26b, 26c, 31a, 31d, 31f, 32d, 32p, 39, 39a, 41, 51d, 53a, 54, 56, 61a, 62, 74, 81, 94, 94a, 98, 99h, 101, 104, 104b, 107, 147, 147a, 152a, 163, 201a, 206, 209, 210b, 217, 225, 229, 229a, 230, 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 and sections 11r,
43, 64b, 95a, 104c, 207a, 207b, and 207c as added by 2014 PA 196, sections 11, 11m, 18, 22a, 22b, 51a, 51c, 147c, 201, and 236 as amended by 2015 PA 5, section 18a as amended by 2004 PA 351, section 23a as added by 2012 PA 465, sections 210 and 244 as amended by 2013 PA 60, and sections 222, 226, and 286 as amended by 2012 PA 201, and by adding sections 25g, 31c, 31h, 35, 35a, 55, 61b, 65, 67, 77, 99c, 99s, 102d, 104d, 210c, 210d, 230a, and 274c; and to repeal acts and parts of acts.
_______________________ ________________________
Al Pscholka Arlan B. Meekhof
_______________________ ________________________
Jon Bumstead Dave Hildenbrand
_______________________ ________________________
Harvey Santana Vincent Gregory
Conferees for the House Conferees for the Senate
SUBSTITUTE FOR
HOUSE BILL NO. 4115
A bill to amend 1979 PA 94, entitled
"The state school aid act of 1979,"
by amending sections 6, 8b, 11, 11a, 11j, 11k, 11m, 11r, 15, 18,
18a, 20, 20d, 20f, 20g, 21f, 22a, 22b, 22d, 22g, 22i, 23a, 24, 24a,
24c, 25e, 25f, 26a, 26b, 26c, 31a, 31d, 31f, 32d, 32p, 39, 39a, 41,
43, 51a, 51c, 51d, 53a, 54, 56, 61a, 62, 64b, 74, 81, 94, 94a, 95a,
98, 99h, 101, 104, 104b, 104c, 107, 147, 147a, 147c, 152a, 163,
201, 201a, 206, 207a, 207b, 207c, 209, 210, 210b, 217, 222, 225,
226, 229, 229a, 230, 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 388.1606,
388.1608b, 388.1611, 388.1611a, 388.1611j, 388.1611k, 388.1611m,
388.1611r, 388.1615, 388.1618, 388.1618a, 388.1620, 388.1620d,
388.1620f, 388.1620g, 388.1621f, 388.1622a, 388.1622b, 388.1622d,
388.1622g, 388.1622i, 388.1623a, 388.1624, 388.1624a, 388.1624c,
388.1625e, 388.1625f, 388.1626a, 388.1626b, 388.1626c, 388.1631a,
388.1631d, 388.1631f, 388.1632d, 388.1632p, 388.1639, 388.1639a,
388.1641, 388.1643, 388.1651a, 388.1651c, 388.1651d, 388.1653a,
388.1654, 388.1656, 388.1661a, 388.1662, 388.1664b, 388.1674,
388.1681, 388.1694, 388.1694a, 388.1695a, 388.1698, 388.1699h,
388.1701, 388.1704, 388.1704b, 388.1704c, 388.1707, 388.1747,
388.1747a, 388.1747c, 388.1752a, 388.1763, 388.1801, 388.1801a,
388.1806, 388.1807a, 388.1807b, 388.1807c, 388.1809, 388.1810,
388.1810b, 388.1817, 388.1822, 388.1825, 388.1826, 388.1829,
388.1829a, 388.1830, 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), sections 6, 8b, 11a, 11j, 11k, 15, 20, 20d, 20f, 20g,
21f, 22d, 22g, 22i, 24, 24a, 24c, 25e, 25f, 26a, 26b, 26c, 31a,
31d, 31f, 32d, 32p, 39, 39a, 41, 51d, 53a, 54, 56, 61a, 62, 74, 81,
94, 94a, 98, 99h, 101, 104, 104b, 107, 147, 147a, 152a, 163, 201a,
206, 209, 210b, 217, 225, 229, 229a, 230, 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 and
sections 11r, 43, 64b, 95a, 104c, 207a, 207b, and 207c as added by
2014 PA 196, sections 11, 11m, 18, 22a, 22b, 51a, 51c, 147c, 201,
and 236 as amended by 2015 PA 5, section 18a as amended by 2004 PA
351, section 23a as added by 2012 PA 465, sections 210 and 244 as
amended by 2013 PA 60, and sections 222, 226, and 286 as amended by
2012 PA 201, and by adding sections 25g, 31c, 31h, 35, 35a, 55,
61b, 65, 67, 77, 99c, 99s, 102d, 104d, 210c, 210d, 230a, and 274c;
and to repeal acts and parts of acts.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 6. (1) "Center program" means a program operated by a
district or by an intermediate district for special education
pupils from several districts in programs for pupils with autism
spectrum disorder, pupils with severe cognitive impairment, pupils
with moderate cognitive impairment, pupils with severe multiple
impairments, pupils with hearing impairment, pupils with visual
impairment, and pupils with physical impairment or other health
impairment. Programs for pupils with emotional impairment housed in
buildings that do not serve regular education pupils also qualify.
Unless otherwise approved by the department, a center program
either shall serve all constituent districts within an intermediate
district or shall serve several districts with less than 50% of the
pupils residing in the operating district. In addition, special
education center program pupils placed part-time in noncenter
programs to comply with the least restrictive environment
provisions of section 612 of part B of the individuals with
disabilities education act, 20 USC 1412, may be considered center
program pupils for pupil accounting purposes for the time scheduled
in either a center program or a noncenter program.
(2) "District and high school graduation rate" means the
annual completion and pupil dropout rate that is calculated by the
center pursuant to nationally recognized standards.
(3) "District and high school graduation report" means a
report of the number of pupils, excluding adult education
participants, in the district for the immediately preceding school
year, adjusted for those pupils who have transferred into or out of
the district or high school, who leave high school with a diploma
or other credential of equal status.
(4) "Membership", except as otherwise provided in this
article, means for a district, a public school academy, the
education achievement system, or an intermediate district the sum
of the product of .90 times the number of full-time equated pupils
in grades K to 12 actually enrolled and in regular daily attendance
on the pupil membership count day for the current school year, plus
the product of .10 times the final audited count from the
supplemental
count day for the current immediately
preceding school
year. A district's, public school academy's, or intermediate
district's membership shall be adjusted as provided under section
25e for pupils who enroll in the district, public school academy,
or intermediate district after the pupil membership count day. All
pupil counts used in this subsection are as determined by the
department and calculated by adding the number of pupils registered
for attendance plus pupils received by transfer and minus pupils
lost as defined by rules promulgated by the superintendent, and as
corrected by a subsequent department audit. For the purposes of
this section and section 6a, for a school of excellence that is a
cyber school, as defined in section 551 of the revised school code,
MCL 380.551, and is in compliance with section 553a of the revised
school code, MCL 380.553a, a pupil's participation, as determined
by the department in accordance with the pupil accounting manual,
in the cyber school's educational program is considered regular
daily attendance; for the education achievement system, a pupil's
participation, as determined by the department in accordance with
the pupil accounting manual, in an online educational program of
the education achievement system or of an achievement school is
considered regular daily attendance; and for a district a pupil's
participation in an online course as defined in section 21f is
considered regular daily attendance. The amount of the foundation
allowance for a pupil in membership is determined under section 20.
In making the calculation of membership, all of the following, as
applicable, apply to determining the membership of a district, a
public school academy, the education achievement system, or an
intermediate district:
(a) Except as otherwise provided in this subsection, and
pursuant to subsection (6), a pupil shall be counted in membership
in the pupil's educating district or districts. An individual pupil
shall not be counted for more than a total of 1.0 full-time equated
membership.
(b) If a pupil is educated in a district other than the
pupil's district of residence, if the pupil is not being educated
as part of a cooperative education program, if the pupil's district
of residence does not give the educating district its approval to
count the pupil in membership in the educating district, and if the
pupil is not covered by an exception specified in subsection (6) to
the requirement that the educating district must have the approval
of the pupil's district of residence to count the pupil in
membership, the pupil shall not be counted in membership in any
district.
(c) A special education pupil educated by the intermediate
district shall be counted in membership in the intermediate
district.
(d) A pupil placed by a court or state agency in an on-grounds
program of a juvenile detention facility, a child caring
institution, or a mental health institution, or a pupil funded
under section 53a, shall be counted in membership in the district
or intermediate district approved by the department to operate the
program.
(e) A pupil enrolled in the Michigan schools for the deaf and
blind shall be counted in membership in the pupil's intermediate
district of residence.
(f) A pupil enrolled in a career and technical education
program supported by a millage levied over an area larger than a
single district or in an area vocational-technical education
program established pursuant to section 690 of the revised school
code, MCL 380.690, shall be counted only in the pupil's district of
residence.
(g) A pupil enrolled in a public school academy shall be
counted in membership in the public school academy.
(h) A pupil enrolled in an achievement school shall be counted
in membership in the education achievement system.
(i) For a new district or public school academy beginning its
operation after December 31, 1994, or for the education achievement
system or an achievement school, membership for the first 2 full or
partial fiscal years of operation shall be determined as follows:
(i) If operations begin before the pupil membership count day
for the fiscal year, membership is the average number of full-time
equated pupils in grades K to 12 actually enrolled and in regular
daily attendance on the pupil membership count day for the current
school year and on the supplemental count day for the current
school year, as determined by the department and calculated by
adding the number of pupils registered for attendance on the pupil
membership count day plus pupils received by transfer and minus
pupils lost as defined by rules promulgated by the superintendent,
and as corrected by a subsequent department audit, plus the final
audited count from the supplemental count day for the current
school year, and dividing that sum by 2.
(ii) If operations begin after the pupil membership count day
for the fiscal year and not later than the supplemental count day
for the fiscal year, membership is the final audited count of the
number of full-time equated pupils in grades K to 12 actually
enrolled and in regular daily attendance on the supplemental count
day for the current school year.
(j) If a district is the authorizing body for a public school
academy, then, in the first school year in which pupils are counted
in membership on the pupil membership count day in the public
school academy, the determination of the district's membership
shall exclude from the district's pupil count for the immediately
preceding supplemental count day any pupils who are counted in the
public school academy on that first pupil membership count day who
were also counted in the district on the immediately preceding
supplemental count day.
(k) In a district, a public school academy, the education
achievement system, or an intermediate district operating an
extended school year program approved by the superintendent, a
pupil enrolled, but not scheduled to be in regular daily attendance
on a pupil membership count day, shall be counted.
(l) To be counted in membership, a pupil shall meet the
minimum age requirement to be eligible to attend school under
section 1147 of the revised school code, MCL 380.1147, or shall be
enrolled under subsection (3) of that section, and shall be less
than 20 years of age on September 1 of the school year except as
follows:
(i) A special education pupil who is enrolled and receiving
instruction in a special education program or service approved by
the department, who does not have a high school diploma, and who is
less than 26 years of age as of September 1 of the current school
year shall be counted in membership.
(ii) A pupil who is determined by the department to meet all
of the following may be counted in membership:
(A) Is enrolled in a public school academy or an alternative
education high school diploma program, that is primarily focused on
educating homeless pupils.
(B) Had dropped out of school for more than 1 year and has re-
entered school.
(C) Is less than 22 years of age as of September 1 of the
current school year.
(D) Is considered to be homeless under 42 USC 11302.
(iii) If a child does not meet the minimum age requirement to
be eligible to attend school for that school year under section
1147 of the revised school code, MCL 380.1147, but will be 5 years
of age not later than December 1 of that school year, the district
may count the child in membership for that school year if the
parent or legal guardian has notified the district in writing that
he or she intends to enroll the child in kindergarten for that
school year.
(m) An individual who has obtained a high school diploma shall
not be counted in membership. An individual who has obtained a
general educational development (G.E.D.) certificate shall not be
counted
in membership unless the individual is a pupil student with
a disability as defined in R 340.1702 of the Michigan
administrative code. An individual participating in a job training
program funded under former section 107a or a jobs program funded
under former section 107b, administered by the Michigan strategic
fund, or participating in any successor of either of those 2
programs, shall not be counted in membership.
(n) If a pupil counted in membership in a public school
academy or the education achievement system is also educated by a
district or intermediate district as part of a cooperative
education program, the pupil shall be counted in membership only in
the public school academy or the education achievement system
unless a written agreement signed by all parties designates the
party or parties in which the pupil shall be counted in membership,
and the instructional time scheduled for the pupil in the district
or intermediate district shall be included in the full-time equated
membership determination under subdivision (q) and section 101.
However, for pupils receiving instruction in both a public school
academy or the education achievement system and in a district or
intermediate district but not as a part of a cooperative education
program, the following apply:
(i) If the public school academy or the education achievement
system provides instruction for at least 1/2 of the class hours
specified
in subdivision (q), required
under section 101, the
public school academy or the education achievement system shall
receive as its prorated share of the full-time equated membership
for each of those pupils an amount equal to 1 times the product of
the hours of instruction the public school academy or the education
achievement system provides divided by the number of hours
specified
in subdivision (q) required
under section 101 for full-
time equivalency, and the remainder of the full-time membership for
each of those pupils shall be allocated to the district or
intermediate district providing the remainder of the hours of
instruction.
(ii) If the public school academy or the education achievement
system provides instruction for less than 1/2 of the class hours
specified
in subdivision (q), required
under section 101, the
district or intermediate district providing the remainder of the
hours of instruction shall receive as its prorated share of the
full-time equated membership for each of those pupils an amount
equal to 1 times the product of the hours of instruction the
district or intermediate district provides divided by the number of
hours
specified in subdivision (q) required
under section 101 for
full-time equivalency, and the remainder of the full-time
membership for each of those pupils shall be allocated to the
public school academy or the education achievement system.
(o) An individual less than 16 years of age as of September 1
of the current school year who is being educated in an alternative
education program shall not be counted in membership if there are
also adult education participants being educated in the same
program or classroom.
(p) The department shall give a uniform interpretation of
full-time and part-time memberships.
(q) The number of class hours used to calculate full-time
equated
memberships shall be consistent with section 101(3). 101.
In determining full-time equated memberships for pupils who are
enrolled in a postsecondary institution, a pupil shall not be
considered to be less than a full-time equated pupil solely because
of the effect of his or her postsecondary enrollment, including
necessary travel time, on the number of class hours provided by the
district to the pupil.
(r)
Beginning in 2012-2013, full-time Full-time equated
memberships for pupils in kindergarten shall be determined by
dividing the number of instructional hours scheduled and provided
per year per kindergarten pupil by the same number used for
determining full-time equated memberships for pupils in grades 1 to
12. However, to the extent allowable under federal law, for a
district or public school academy that provides evidence
satisfactory to the department that it used federal title I money
in the 2 immediately preceding school fiscal years to fund full-
time kindergarten, full-time equated memberships for pupils in
kindergarten shall be determined by dividing the number of class
hours scheduled and provided per year per kindergarten pupil by a
number equal to 1/2 the number used for determining full-time
equated memberships for pupils in grades 1 to 12. The change in the
counting of full-time equated memberships for pupils in
kindergarten that took effect for 2012-2013 is not a mandate.
(s) For a district, a public school academy, or the education
achievement system that has pupils enrolled in a grade level that
was not offered by the district, the public school academy, or the
education achievement system in the immediately preceding school
year, the number of pupils enrolled in that grade level to be
counted in membership is the average of the number of those pupils
enrolled and in regular daily attendance on the pupil membership
count day and the supplemental count day of the current school
year, as determined by the department. Membership shall be
calculated by adding the number of pupils registered for attendance
in that grade level on the pupil membership count day plus pupils
received by transfer and minus pupils lost as defined by rules
promulgated by the superintendent, and as corrected by subsequent
department audit, plus the final audited count from the
supplemental count day for the current school year, and dividing
that sum by 2.
(t) A pupil enrolled in a cooperative education program may be
counted in membership in the pupil's district of residence with the
written approval of all parties to the cooperative agreement.
(u) If, as a result of a disciplinary action, a district
determines through the district's alternative or disciplinary
education program that the best instructional placement for a pupil
is in the pupil's home or otherwise apart from the general school
population, if that placement is authorized in writing by the
district superintendent and district alternative or disciplinary
education supervisor, and if the district provides appropriate
instruction as described in this subdivision to the pupil at the
pupil's home or otherwise apart from the general school population,
the district may count the pupil in membership on a pro rata basis,
with the proration based on the number of hours of instruction the
district actually provides to the pupil divided by the number of
hours
specified in subdivision (q) required
under section 101 for
full-time equivalency. For the purposes of this subdivision, a
district shall be considered to be providing appropriate
instruction if all of the following are met:
(i) The district provides at least 2 nonconsecutive hours of
instruction per week to the pupil at the pupil's home or otherwise
apart from the general school population under the supervision of a
certificated teacher.
(ii) The district provides instructional materials, resources,
and supplies that are comparable to those otherwise provided in the
district's alternative education program.
(iii) Course content is comparable to that in the district's
alternative education program.
(iv) Credit earned is awarded to the pupil and placed on the
pupil's transcript.
(v) If a pupil was enrolled in a public school academy on the
pupil membership count day, if the public school academy's contract
with its authorizing body is revoked or the public school academy
otherwise ceases to operate, and if the pupil enrolls in a district
or the education achievement system within 45 days after the pupil
membership count day, the department shall adjust the district's or
the education achievement system's pupil count for the pupil
membership count day to include the pupil in the count.
(w) For a public school academy that has been in operation for
at least 2 years and that suspended operations for at least 1
semester and is resuming operations, membership is the sum of the
product of .90 times the number of full-time equated pupils in
grades K to 12 actually enrolled and in regular daily attendance on
the first pupil membership count day or supplemental count day,
whichever is first, occurring after operations resume, plus the
product of .10 times the final audited count from the most recent
pupil membership count day or supplemental count day that occurred
before suspending operations, as determined by the superintendent.
(x) If a district's membership for a particular fiscal year,
as otherwise calculated under this subsection, would be less than
1,550 pupils and the district has 4.5 or fewer pupils per square
mile, as determined by the department, and if the district does not
receive funding under section 22d(2), the district's membership
shall be considered to be the membership figure calculated under
this subdivision. If a district educates and counts in its
membership pupils in grades 9 to 12 who reside in a contiguous
district that does not operate grades 9 to 12 and if 1 or both of
the affected districts request the department to use the
determination allowed under this sentence, the department shall
include the square mileage of both districts in determining the
number of pupils per square mile for each of the districts for the
purposes of this subdivision. The membership figure calculated
under this subdivision is the greater of the following:
(i) The average of the district's membership for the 3-fiscal-
year period ending with that fiscal year, calculated by adding the
district's actual membership for each of those 3 fiscal years, as
otherwise calculated under this subsection, and dividing the sum of
those 3 membership figures by 3.
(ii) The district's actual membership for that fiscal year as
otherwise calculated under this subsection.
(y) Full-time equated memberships for special education pupils
who are not enrolled in kindergarten but are enrolled in a
classroom program under R 340.1754 of the Michigan administrative
code shall be determined by dividing the number of class hours
scheduled and provided per year by 450. Full-time equated
memberships for special education pupils who are not enrolled in
kindergarten but are receiving early childhood special education
services under R 340.1755 or R 340.1862 of the Michigan
administrative code shall be determined by dividing the number of
hours of service scheduled and provided per year per-pupil by 180.
(z) A pupil of a district that begins its school year after
Labor
day Day who is enrolled in an intermediate district program
that
begins before Labor day Day
shall not be considered to be less
than a full-time pupil solely due to instructional time scheduled
but
not attended by the pupil before Labor day.Day.
(aa) For the first year in which a pupil is counted in
membership on the pupil membership count day in a middle college
program, the membership is the average of the full-time equated
membership on the pupil membership count day and on the
supplemental count day for the current school year, as determined
by the department. If a pupil described in this subdivision was
counted in membership by the operating district on the immediately
preceding supplemental count day, the pupil shall be excluded from
the district's immediately preceding supplemental count for the
purposes of determining the district's membership.
(bb) A district, a public school academy, or the education
achievement system that educates a pupil who attends a United
States
Olympic education center Education
Center may count the
pupil in membership regardless of whether or not the pupil is a
resident of this state.
(cc) A pupil enrolled in a district other than the pupil's
district of residence pursuant to section 1148(2) of the revised
school code, MCL 380.1148, shall be counted in the educating
district or the education achievement system.
(dd) For a pupil enrolled in a dropout recovery program that
meets the requirements of section 23a, the pupil shall be counted
as 1/12 of a full-time equated membership for each month that the
district operating the program reports that the pupil was enrolled
in the program and was in full attendance. However, if the special
membership counting provisions under this subdivision and the
operation of the other membership counting provisions under this
subsection result in a pupil being counted as more than 1.0 FTE in
a fiscal year, the payment made for the pupil under sections 22a
and 22b shall not be based on more than 1.0 FTE for that pupil, and
any portion of an FTE for that pupil that exceeds 1.0 shall instead
be
paid under section 25f. 25g.
The district operating the program
shall report to the center the number of pupils who were enrolled
in the program and were in full attendance for a month not later
than the tenth day of the next month. A district shall not report a
pupil as being in full attendance for a month unless both of the
following are met:
(i) A personalized learning plan is in place on or before the
first school day of the month for the first month the pupil
participates in the program.
(ii) The pupil meets the district's definition under section
23a of satisfactory monthly progress for that month or, if the
pupil does not meet that definition of satisfactory monthly
progress for that month, the pupil did meet that definition of
satisfactory monthly progress in the immediately preceding month
and appropriate interventions are implemented within 10 school days
after it is determined that the pupil does not meet that definition
of satisfactory monthly progress.
(ee) A pupil participating in an online course under section
21f shall be counted in membership in the district enrolling the
pupil.
(ff) If a public school academy that is not in its first or
second year of operation closes at the end of a school year and
does not reopen for the next school year, the department shall
adjust the membership count of the district or the education
achievement system in which a former pupil of the public school
academy enrolls and is in regular daily attendance for the next
school year to ensure that the district or the education
achievement system receives the same amount of membership aid for
the pupil as if the pupil were counted in the district or the
education achievement system on the supplemental count day of the
preceding school year.
(5) "Public school academy" means that term as defined in
section 5 of the revised school code, MCL 380.5.
(6) "Pupil" means a person in membership in a public school. A
district must have the approval of the pupil's district of
residence to count the pupil in membership, except approval by the
pupil's district of residence is not required for any of the
following:
(a) A nonpublic part-time pupil enrolled in grades 1 to 12 in
accordance with section 166b.
(b) A pupil receiving 1/2 or less of his or her instruction in
a district other than the pupil's district of residence.
(c) A pupil enrolled in a public school academy or the
education achievement system.
(d) A pupil enrolled in a district other than the pupil's
district of residence under an intermediate district schools of
choice pilot program as described in section 91a or former section
91 if the intermediate district and its constituent districts have
been exempted from section 105.
(e) A pupil enrolled in a district other than the pupil's
district of residence if the pupil is enrolled in accordance with
section 105 or 105c.
(f) A pupil who has made an official written complaint or
whose parent or legal guardian has made an official written
complaint to law enforcement officials and to school officials of
the pupil's district of residence that the pupil has been the
victim of a criminal sexual assault or other serious assault, if
the official complaint either indicates that the assault occurred
at school or that the assault was committed by 1 or more other
pupils enrolled in the school the pupil would otherwise attend in
the district of residence or by an employee of the district of
residence. A person who intentionally makes a false report of a
crime to law enforcement officials for the purposes of this
subdivision is subject to section 411a of the Michigan penal code,
1931 PA 328, MCL 750.411a, which provides criminal penalties for
that conduct. As used in this subdivision:
(i) "At school" means in a classroom, elsewhere on school
premises, on a school bus or other school-related vehicle, or at a
school-sponsored activity or event whether or not it is held on
school premises.
(ii) "Serious assault" means an act that constitutes a felony
violation of chapter XI of the Michigan penal code, 1931 PA 328,
MCL 750.81 to 750.90h, or that constitutes an assault and
infliction of serious or aggravated injury under section 81a of the
Michigan penal code, 1931 PA 328, MCL 750.81a.
(g) A pupil whose district of residence changed after the
pupil membership count day and before the supplemental count day
and who continues to be enrolled on the supplemental count day as a
nonresident in the district in which he or she was enrolled as a
resident on the pupil membership count day of the same school year.
(h) A pupil enrolled in an alternative education program
operated by a district other than his or her district of residence
who meets 1 or more of the following:
(i) The pupil has been suspended or expelled from his or her
district of residence for any reason, including, but not limited
to, a suspension or expulsion under section 1310, 1311, or 1311a of
the revised school code, MCL 380.1310, 380.1311, and 380.1311a.
(ii) The pupil had previously dropped out of school.
(iii) The pupil is pregnant or is a parent.
(iv) The pupil has been referred to the program by a court.
(i) A pupil enrolled in the Michigan virtual school, for the
pupil's enrollment in the Michigan virtual school.
(j) A pupil who is the child of a person who works at the
district or who is the child of a person who worked at the district
as of the time the pupil first enrolled in the district but who no
longer works at the district due to a workforce reduction. As used
in this subdivision, "child" includes an adopted child, stepchild,
or legal ward.
(k) An expelled pupil who has been denied reinstatement by the
expelling district and is reinstated by another school board under
section 1311 or 1311a of the revised school code, MCL 380.1311 and
380.1311a.
(l) A pupil enrolled in a district other than the pupil's
district of residence in a middle college program if the pupil's
district of residence and the enrolling district are both
constituent districts of the same intermediate district.
(m) A pupil enrolled in a district other than the pupil's
district
of residence who attends a United States Olympic education
center.Education Center.
(n) A pupil enrolled in a district other than the pupil's
district of residence pursuant to section 1148(2) of the revised
school code, MCL 380.1148.
(o) A pupil who enrolls in a district other than the pupil's
district of residence as a result of the pupil's school not making
adequate yearly progress under the no child left behind act of
2001, Public Law 107-110.
(p)
An online learning pupil enrolled in a district other than
the
pupil's district of residence as an eligible pupil under
section
21f.
However, if a district educates pupils who reside in another
district and if the primary instructional site for those pupils is
established by the educating district after 2009-2010 and is
located within the boundaries of that other district, the educating
district must have the approval of that other district to count
those pupils in membership.
(7) "Pupil membership count day" of a district or intermediate
district means:
(a) Except as provided in subdivision (b), the first Wednesday
in October each school year or, for a district or building in which
school is not in session on that Wednesday due to conditions not
within the control of school authorities, with the approval of the
superintendent, the immediately following day on which school is in
session in the district or building.
(b) For a district or intermediate district maintaining school
during the entire school year, the following days:
(i) Fourth Wednesday in July.
(ii) First Wednesday in October.
(iii) Second Wednesday in February.
(iv) Fourth Wednesday in April.
(8) "Pupils in grades K to 12 actually enrolled and in regular
daily attendance" means pupils in grades K to 12 in attendance and
receiving instruction in all classes for which they are enrolled on
the pupil membership count day or the supplemental count day, as
applicable. Except as otherwise provided in this subsection, a
pupil who is absent from any of the classes in which the pupil is
enrolled on the pupil membership count day or supplemental count
day and who does not attend each of those classes during the 10
consecutive school days immediately following the pupil membership
count day or supplemental count day, except for a pupil who has
been excused by the district, shall not be counted as 1.0 full-time
equated membership. A pupil who is excused from attendance on the
pupil membership count day or supplemental count day and who fails
to attend each of the classes in which the pupil is enrolled within
30 calendar days after the pupil membership count day or
supplemental count day shall not be counted as 1.0 full-time
equated membership. In addition, a pupil who was enrolled and in
attendance in a district, an intermediate district, a public school
academy, or the education achievement system before the pupil
membership count day or supplemental count day of a particular year
but was expelled or suspended on the pupil membership count day or
supplemental count day shall only be counted as 1.0 full-time
equated membership if the pupil resumed attendance in the district,
intermediate district, public school academy, or education
achievement system within 45 days after the pupil membership count
day or supplemental count day of that particular year. Pupils not
counted as 1.0 full-time equated membership due to an absence from
a class shall be counted as a prorated membership for the classes
the pupil attended. For purposes of this subsection, "class" means
a period of time in 1 day when pupils and a certificated teacher or
legally qualified substitute teacher are together and instruction
is taking place.
(9) "Rule" means a rule promulgated pursuant to the
administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to
24.328.
(10) "The revised school code" means 1976 PA 451, MCL 380.1 to
380.1852.
(11) "School district of the first class", "first class school
district", and "district of the first class" mean, for the purposes
of this article only, a district that had at least 40,000 pupils in
membership for the immediately preceding fiscal year.
(12) "School fiscal year" means a fiscal year that commences
July 1 and continues through June 30.
(13) "State board" means the state board of education.
(14) "Superintendent", unless the context clearly refers to a
district or intermediate district superintendent, means the
superintendent of public instruction described in section 3 of
article VIII of the state constitution of 1963.
(15) "Supplemental count day" means the day on which the
supplemental pupil count is conducted under section 6a.
(16) "Tuition pupil" means a pupil of school age attending
school in a district other than the pupil's district of residence
for whom tuition may be charged to the district of residence.
Tuition pupil does not include a pupil who is a special education
pupil, a pupil described in subsection (6)(c) to (p), or a pupil
whose parent or guardian voluntarily enrolls the pupil in a
district that is not the pupil's district of residence. A pupil's
district of residence shall not require a high school tuition
pupil, as provided under section 111, to attend another school
district after the pupil has been assigned to a school district.
(17) "State school aid fund" means the state school aid fund
established in section 11 of article IX of the state constitution
of 1963.
(18) "Taxable value" means the taxable value of property as
determined under section 27a of the general property tax act, 1893
PA 206, MCL 211.27a.
(19) "Textbook" means a book, electronic book, or other
instructional print or electronic resource that is selected and
approved by the governing board of a district or, for an
achievement school, by the chancellor of the achievement authority
and that contains a presentation of principles of a subject, or
that is a literary work relevant to the study of a subject required
for the use of classroom pupils, or another type of course material
that forms the basis of classroom instruction.
(20) "Total state aid" or "total state school aid" means the
total combined amount of all funds due to a district, intermediate
district, or other entity under all of the provisions of this
article.
Sec. 8b. (1) The department shall assign a district code to
each public school academy that is authorized under the revised
school code and is eligible to receive funding under this article
within 30 days after a contract is submitted to the department by
the authorizing body of a public school academy.
(2) If the department does not assign a district code to a
public school academy within the 30-day period described in
subsection (1), the district code the department shall use to make
payments under this article to the newly authorized public school
academy shall be a number that is equivalent to the sum of the last
district code assigned to a public school academy located in the
same county as the newly authorized public school academy plus 1.
However, if there is not an existing public school academy located
in the same county as the newly authorized public school academy,
then the district code the department shall use to make payments
under this article to the newly authorized public school academy
shall be a 5-digit number that has the county code in which the
public school academy is located as its first 2 digits, 9 as its
third digit, 0 as its fourth digit, and 1 as its fifth digit. If
the number of public school academies in a county grows to exceed
100, the third digit in this 5-digit number shall then be 7 for the
public school academies in excess of 100.
(3) For each school of excellence that is a cyber school and
is authorized under part 6e of the revised school code, MCL 380.551
to 380.561, by a school district, intermediate school district,
community college other than a federal tribally controlled
community college, or other authorizing body that is not empowered
to authorize a school of excellence to operate statewide and is
eligible to receive funding under this article, the department
shall assign a district code that includes as the first 2 digits
the county code in which the authorizing body is located.
Sec. 11. (1) For the fiscal year ending September 30, 2015,
there is appropriated for the public schools of this state and
certain other state purposes relating to education the sum of
$11,827,097,400.00
$11,814,097,400.00 from the state school aid
fund, the sum of $18,000,000.00 from the MPSERS retirement
obligation reform reserve fund created under section 147b, and the
sum of $33,700,000.00 from the general fund. For the fiscal year
ending September 30, 2016, there is appropriated for the public
schools of this state and certain other state purposes relating to
education the sum of $12,074,660,100.00 from the state school aid
fund and the sum of $45,900,000.00 from the general fund. In
addition, all other available federal funds are appropriated each
fiscal
year for the fiscal year years ending
September 30, 2015 and
September 30, 2016.
(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. 11a. (1) The school aid stabilization fund is created as
a separate account within the state school aid fund established by
section 11 of article IX of the state constitution of 1963.
(2) The state treasurer may receive money or other assets from
any source for deposit into the school aid stabilization fund. The
state treasurer shall deposit into the school aid stabilization
fund all of the following:
(a) Unexpended and unencumbered state school aid fund revenue
for a fiscal year that remains in the state school aid fund as of
the bookclosing for that fiscal year.
(b) Money statutorily dedicated to the school aid
stabilization fund.
(c) Money appropriated to the school aid stabilization fund.
(3) Money available in the school aid stabilization fund may
not be expended without a specific appropriation from the school
aid stabilization fund. Money in the school aid stabilization fund
shall be expended only for purposes for which state school aid fund
money may be expended.
(4) The state treasurer shall direct the investment of the
school aid stabilization fund. The state treasurer shall credit to
the school aid stabilization fund interest and earnings from fund
investments.
(5) Money in the school aid stabilization fund at the close of
a fiscal year shall remain in the school aid stabilization fund and
shall not lapse to the unreserved school aid fund balance or the
general fund.
(6) If the maximum amount appropriated under section 11 from
the state school aid fund for a fiscal year exceeds the amount
available for expenditure from the state school aid fund for that
fiscal year, there is appropriated from the school aid
stabilization fund to the state school aid fund an amount equal to
the projected shortfall as determined by the department of
treasury, but not to exceed available money in the school aid
stabilization fund. If the money in the school aid stabilization
fund is insufficient to fully fund an amount equal to the projected
shortfall, the state budget director shall notify the legislature
as required under section 296(2) and state payments in an amount
equal to the remainder of the projected shortfall shall be prorated
in the manner provided under section 296(3).
(7)
For 2014-2015, 2015-2016, in addition to the
appropriations in section 11, there is appropriated from the school
aid stabilization fund to the state school aid fund the amount
necessary to fully fund the allocations under this article.
Sec. 11j. From the appropriation in section 11, there is
allocated
an amount not to exceed $126,000,000.00 for 2014-2015
$126,500,000.00 for 2015-2016 for payments to the school loan bond
redemption fund in the department of treasury on behalf of
districts and intermediate districts. Notwithstanding section 296
or any other provision of this act, funds allocated under this
section are not subject to proration and shall be paid in full.
Sec.
11k. For 2014-2015, 2015-2016,
there is appropriated from
the general fund to the school loan revolving fund an amount equal
to the amount of school bond loans assigned to the Michigan finance
authority, not to exceed the total amount of school bond loans held
in reserve as long-term assets. As used in this section, "school
loan revolving fund" means that fund created in section 16c of the
shared credit rating act, 1985 PA 227, MCL 141.1066c.
Sec. 11m. From the appropriation in section 11, there is
allocated
for 2014-2015 an amount not to exceed $3,000,000.00 $0.00
and there is allocated for 2015-2016 an amount not to exceed
$2,000,000.00 for fiscal year cash-flow borrowing costs solely
related to the state school aid fund established by section 11 of
article IX of the state constitution of 1963.
Sec. 11r. (1) From the appropriation in section 11, there is
allocated for 2014-2015 an amount not to exceed $4,000,000.00 to be
deposited into the distressed districts emergency grant fund
created under this section for the purpose of funding grants under
this section.
(2) The distressed districts emergency grant fund is created
as a separate account within the state school aid fund. The state
treasurer may receive money or other assets from any source for
deposit into the distressed districts emergency grant fund. The
state treasurer shall direct the investment of the distressed
districts emergency grant fund and shall credit to the distressed
districts emergency grant fund interest and earnings from the fund.
(3) Subject to subsection (4), and except as otherwise
provided under subsection (8), a district is eligible to receive a
grant from the distressed districts emergency grant fund if either
of the following applies:
(a) The district has adopted a resolution authorizing the
voluntary dissolution of the district approved by the state
treasurer under section 12 of the revised school code, MCL 380.12,
but the dissolution has not yet taken effect under that section.
(b) The district is a receiving district under section 12 of
the revised school code, MCL 380.12, and the district enrolls
pupils who were previously enrolled in a district that was
dissolved under section 12 of the revised school code, MCL 380.12,
in the immediately preceding school year.
(4) A district receiving funds under section 20g is not
eligible to receive funds under this section.
(5) The amount of a grant under this section shall be
determined by the state treasurer after consultation with the
superintendent of public instruction, but shall not exceed the
estimated amount of remaining district costs in excess of available
revenues, including, but not limited to, payroll, benefits,
retirement system contributions, pupil transportation, food
services, special education, building security, and other costs
necessary to allow the district to operate schools directly and
provide public education services until the end of the current
school fiscal year. For a district that meets the eligibility
criteria under subsection (3)(b), the amount of the grant shall be
determined in the same manner as transition costs under section
20g.
(6) Before disbursing funds under this section, the state
treasurer shall notify the house and senate appropriations
subcommittees on school aid and the house and senate fiscal
agencies. The notification shall include, but not be limited to,
the district receiving funds under this section, the amount of the
funds awarded under this section, an explanation of the district
conditions that necessitate funding under this section, and the
intended use of funds disbursed under this section.
(7) Money in the distressed districts emergency grant fund at
the close of a fiscal year shall remain in the distressed districts
emergency grant fund and shall not lapse to the state school aid
fund or to the general fund.
(8) For 2014-2015 only, for a district that is a strict
discipline academy established under sections 1311b to 1311m of the
revised school code, MCL 380.1311b to 380.1311m, that serves at
least 340 pupils as reported on the line labeled "State aid
membership" in the May 2015 state aid financial status report, and
that services a program that provided pupil accounting information
to the department for the October 2013 data collection on the
department form entitled "ANNUAL SURVEY OF CHILDREN IN LOCAL
INSTITUTIONS FOR NEGLECTED OR DELINQUENT CHILDREN OR IN
CORRECTIONAL INSTITUTIONS (Title I of P.L. 107-110)", but for which
the information was not correctly compiled by the department, the
department shall award a grant to that district under this
subsection from the funding allocated under subsection (1) to
compensate the district for the loss in federal funding that
occurred as a result of the department's incorrect compilation. The
amount of the grant under this subsection for this purpose shall be
$178,000.00 for the amount lost for the 2014-2015 school year.
Sec. 15. (1) If a district or intermediate district fails to
receive its proper apportionment, the department, upon satisfactory
proof that the district or intermediate district was entitled
justly, shall apportion the deficiency in the next apportionment.
Subject to subsections (2) and (3), if a district or intermediate
district has received more than its proper apportionment, the
department, upon satisfactory proof, shall deduct the excess in the
next apportionment. Notwithstanding any other provision in this
article, state aid overpayments to a district, other than
overpayments in payments for special education or special education
transportation, may be recovered from any payment made under this
article other than a special education or special education
transportation payment, from the proceeds of a loan to the district
under the emergency municipal loan act, 1980 PA 243, MCL 141.931 to
141.942, or from the proceeds of millage levied or pledged under
section 1211 of the revised school code, MCL 380.1211. State aid
overpayments made in special education or special education
transportation payments may be recovered from subsequent special
education or special education transportation payments, from the
proceeds of a loan to the district under the emergency municipal
loan act, 1980 PA 243, MCL 141.931 to 141.942, or from the proceeds
of millage levied or pledged under section 1211 of the revised
school code, MCL 380.1211.
(2) If the result of an audit conducted by or for the
department affects the current fiscal year membership, affected
payments shall be adjusted in the current fiscal year. A deduction
due to an adjustment made as a result of an audit conducted by or
for the department, or as a result of information obtained by the
department from the district, an intermediate district, the
department of treasury, or the office of auditor general, shall be
deducted from the district's apportionments when the adjustment is
finalized. At the request of the district and upon the district
presenting evidence satisfactory to the department of the hardship,
the department may grant up to an additional 4 years for the
adjustment and may advance payments to the district otherwise
authorized under this article if the district would otherwise
experience a significant hardship in satisfying its financial
obligations. For a district that is a strict discipline academy
established under sections 1311b to 1311m of the revised school
code, MCL 380.1311b to 380.1311m, and that claimed a hardship in
2014-2015 because of an overpayment caused by a miscalculation of
its pupil membership for 2013-2014, the department shall consider
the amount of repayment made by the district as of the effective
date of the amendatory act that added this sentence to constitute
full repayment and the district is not required to continue making
repayment for the overpayment that occurred in 2013-2014.
(3) If, based on an audit by the department or the
department's designee or because of new or updated information
received by the department, the department determines that the
amount paid to a district or intermediate district under this
article for the current fiscal year or a prior fiscal year was
incorrect, the department shall make the appropriate deduction or
payment in the district's or intermediate district's allocation in
the next apportionment after the adjustment is finalized. The
deduction or payment shall be calculated according to the law in
effect in the fiscal year in which the incorrect amount was paid.
If the district does not receive an allocation for the fiscal year
or if the allocation is not sufficient to pay the amount of any
deduction, the amount of any deduction otherwise applicable shall
be satisfied from the proceeds of a loan to the district under the
emergency municipal loan act, 1980 PA 243, MCL 141.931 to 141.942,
or from the proceeds of millage levied or pledged under section
1211 of the revised school code, MCL 380.1211, as determined by the
department.
(4) The department may conduct audits, or may direct audits by
designee of the department, for the current fiscal year and the
immediately preceding 3 fiscal years of all records related to a
program for which a district or intermediate district has received
funds under this article.
(5) Expenditures made by the department under this article
that are caused by the write-off of prior year accruals may be
funded by revenue from the write-off of prior year accruals.
(6) In addition to funds appropriated in section 11 for all
programs and services, there is appropriated for 2014-2015 and for
2015-2016 for obligations in excess of applicable appropriations an
amount equal to the collection of overpayments, but not to exceed
amounts available from overpayments.
Sec. 18. (1) Except as provided in another section of this
article, each district or other entity shall apply the money
received by the district or entity under this article to salaries
and other compensation of teachers and other employees, tuition,
transportation, lighting, heating, ventilation, water service, the
purchase of textbooks, other supplies, and any other school
operating expenditures defined in section 7. However, not more than
20% of the total amount received by a district under sections 22a
and 22b or received by an intermediate district under section 81
may be transferred by the board to either the capital projects fund
or to the debt retirement fund for debt service. The money shall
not be applied or taken for a purpose other than as provided in
this section. The department shall determine the reasonableness of
expenditures and may withhold from a recipient of funds under this
article the apportionment otherwise due upon a violation by the
recipient.
(2) A district or intermediate district shall adopt an annual
budget in a manner that complies with the uniform budgeting and
accounting act, 1968 PA 2, MCL 141.421 to 141.440a. Within 15 days
after a board adopts its annual operating budget for the following
school fiscal year, or after a board adopts a subsequent revision
to that budget, the district shall make all of the following
available
through a link on its website home page, homepage, or may
make the information available through a link on its intermediate
district's
website home page, homepage,
in a form and manner
prescribed by the department:
(a) The annual operating budget and subsequent budget
revisions.
(b) Using data that have already been collected and submitted
to the department, a summary of district expenditures for the most
recent fiscal year for which they are available, expressed in the
following 2 pie charts:
(i) A chart of personnel expenditures, broken into the
following subcategories:
(A) Salaries and wages.
(B) Employee benefit costs, including, but not limited to,
medical, dental, vision, life, disability, and long-term care
benefits.
(C) Retirement benefit costs.
(D) All other personnel costs.
(ii) A chart of all district expenditures, broken into the
following subcategories:
(A) Instruction.
(B) Support services.
(C) Business and administration.
(D) Operations and maintenance.
(c) Links to all of the following:
(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 in the
district.
(iii) The audit report of the audit conducted under subsection
(4) for the most recent fiscal year for which it is available.
(iv) The bids required under section 5 of the public employee
health benefits act, 2007 PA 106, MCL 124.75.
(v) The district's written policy governing procurement of
supplies, materials, and equipment.
(vi) The district's written policy establishing specific
categories of reimbursable expenses, as described in section
1254(2) of the revised school code, MCL 380.1254.
(vii) Either the district's accounts payable check register
for the most recent school fiscal year or a statement of the total
amount of expenses incurred by board members or employees of the
district that were reimbursed by the district for the most recent
school fiscal year.
(d) The total salary and a description and cost of each fringe
benefit included in the compensation package for the superintendent
of the district and for each employee of the district whose salary
exceeds $100,000.00.
(e) The annual amount spent on dues paid to associations.
(f) The annual amount spent on lobbying or lobbying services.
As used in this subdivision, "lobbying" means that term as defined
in section 5 of 1978 PA 472, MCL 4.415.
(g) Any deficit elimination plan or enhanced deficit
elimination plan the district was required to submit under this
article.
(h) Identification of all credit cards maintained by the
district as district credit cards, the identity of all individuals
authorized to use each of those credit cards, the credit limit on
each credit card, and the dollar limit, if any, for each
individual's authorized use of the credit card.
(i) Costs incurred for each instance of out-of-state travel by
the school administrator of the district that is fully or partially
paid for by the district and the details of each of those instances
of out-of-state travel, including at least identification of each
individual on the trip, destination, and purpose.
(3) For the information required under subsection (2)(a),
(2)(b)(i), and (2)(c), an intermediate district shall provide the
same information in the same manner as required for a district
under subsection (2).
(4) For the purposes of determining the reasonableness of
expenditures, whether a district or intermediate district has
received the proper amount of funds under this article, and whether
a violation of this article has occurred, all of the following
apply:
(a) The department shall require that each district and
intermediate district have an audit of the district's or
intermediate district's financial and pupil accounting records
conducted at least annually, and at such other times as determined
by the department, at the expense of the district or intermediate
district, as applicable. The audits must be performed by a
certified public accountant or by the intermediate district
superintendent, as may be required by the department, or in the
case of a district of the first class by a certified public
accountant, the intermediate superintendent, or the auditor general
of the city. A district or intermediate district shall retain these
records for the current fiscal year and from at least the 3
immediately preceding fiscal years.
(b) If a district operates in a single building with fewer
than 700 full-time equated pupils, if the district has stable
membership, and if the error rate of the immediately preceding 2
pupil accounting field audits of the district is less than 2%, the
district may have a pupil accounting field audit conducted
biennially but must continue to have desk audits for each pupil
count. The auditor must document compliance with the audit cycle in
the pupil auditing manual. As used in this subdivision, "stable
membership" means that the district's membership for the current
fiscal year varies from the district's membership for the
immediately preceding fiscal year by less than 5%.
(c) A district's or intermediate district's annual financial
audit shall include an analysis of the financial and pupil
accounting data used as the basis for distribution of state school
aid.
(d) The pupil and financial accounting records and reports,
audits, and management letters are subject to requirements
established in the auditing and accounting manuals approved and
published by the department.
(e)
All of the following shall be done not later than November
15,
2014 for reporting 2013-2014 data during 2014-2015, and not
later
than November 1 each year for reporting the prior fiscal year
data: for
all subsequent fiscal years:
(i) A district shall file the annual financial audit reports
with the intermediate district and the department.
(ii) The intermediate district shall file the annual financial
audit reports for the intermediate district with the department.
(iii) The intermediate district shall enter the pupil
membership audit reports for its constituent districts and for the
intermediate district, for the pupil membership count day and
supplemental count day, in the Michigan student data system.
(f) The annual financial audit reports and pupil accounting
procedures reports shall be available to the public in compliance
with the freedom of information act, 1976 PA 442, MCL 15.231 to
15.246.
(g) Not later than January 31 of each year, the department
shall notify the state budget director and the legislative
appropriations subcommittees responsible for review of the school
aid budget of districts and intermediate districts that have not
filed an annual financial audit and pupil accounting procedures
report required under this section for the school year ending in
the immediately preceding fiscal year.
(5)
By November 15, 2014 for 2014-2015 and by November 1 for
all
subsequent fiscal years, each
year, each district and
intermediate district shall submit to the center, in a manner
prescribed by the center, annual comprehensive financial data
consistent with accounting manuals and charts of accounts approved
and published by the department. For an intermediate district, the
report shall also contain the website address where the department
can access the report required under section 620 of the revised
school code, MCL 380.620. The department shall ensure that the
prescribed Michigan public school accounting manual chart of
accounts includes standard conventions to distinguish expenditures
by allowable fund function and object. The functions shall include
at minimum categories for instruction, pupil support, instructional
staff support, general administration, school administration,
business administration, transportation, facilities operation and
maintenance, facilities acquisition, and debt service; and shall
include object classifications of salary, benefits, including
categories for active employee health expenditures, purchased
services, supplies, capital outlay, and other. Districts shall
report the required level of detail consistent with the manual as
part of the comprehensive annual financial report.
(6) By September 30 of each year, each district and
intermediate district shall file with the department the special
education actual cost report, known as "SE-4096", on a form and in
the manner prescribed by the department.
(7) By October 7 of each year, each district and intermediate
district shall file with the center the transportation expenditure
report, known as "SE-4094", on a form and in the manner prescribed
by the center.
(8) The department shall review its pupil accounting and pupil
auditing manuals at least annually and shall periodically update
those manuals to reflect changes in this article.
(9) If a district that is a public school academy purchases
property using money received under this article, the public school
academy shall retain ownership of the property unless the public
school academy sells the property at fair market value.
(10) If a district or intermediate district does not comply
with subsections (4), (5), (6), and (7), the department shall
withhold all state school aid due to the district or intermediate
district under this article, beginning with the next payment due to
the district or intermediate district, until the district or
intermediate district complies with subsections (4), (5), (6), and
(7).
However, the department shall not withhold the payment due on
October
20 due to the operation of this subsection. If the district
or intermediate district does not comply with subsections (4), (5),
(6), and (7) by the end of the fiscal year, the district or
intermediate district forfeits the amount withheld.
(11) If a district or intermediate district does not comply
with subsection (2), the department may withhold up to 10% of the
state school aid otherwise payable to the district or intermediate
district under this article, beginning with the next payment due to
the district or intermediate district, until the district or
intermediate district complies with subsection (2). If the district
or intermediate district does not comply with subsection (2) by the
end of the fiscal year, the district or intermediate district
forfeits the amount withheld.
(12) (11)
Not later than November 1, 2014,
2015, if a district
or intermediate district offers online learning under section 21f,
the district or intermediate district shall submit to the
department a report that details the per-pupil costs of operating
the online learning by vendor type. The report shall include at
least all of the following information concerning the operation of
online learning for the school fiscal year ending June 30,
2014:2015:
(a) The name of the district operating the online learning and
of each district that enrolled students in the online learning.
(b) The total number of students enrolled in the online
learning and the total number of membership pupils enrolled in the
online learning.
(c) For each pupil who is enrolled in a district other than
the district offering online learning, the name of that district.
(d) The district in which the pupil was enrolled before
enrolling in the district offering online learning.
(e) The number of participating students who had previously
dropped out of school.
(f) The number of participating students who had previously
been expelled from school.
(g) The total cost to enroll a student in the program. This
cost shall be reported on a per-pupil, per-course, per-semester or
trimester basis by vendor type. The total shall include costs
broken down by cost for content development, content licensing,
training, online instruction and instructional support, personnel,
hardware and software, payment to each online learning provider,
and other costs associated with operating online learning.
(h) The name of each online education provider contracted by
the district and the state in which each online education provider
is headquartered.
(13) (12)
Not later than March 31, 2015, 2016, the
department
shall submit to the house and senate appropriations subcommittees
on state school aid, the state budget director, and the house and
senate fiscal agencies a report summarizing the per pupil costs by
vendor type of online courses available under section 21f.
(14) (13)
As used in subsections (11) and
(12), (12) and (13),
"vendor type" means the following:
(a) Online courses provided by the Michigan virtual
university.
(b) Online courses provided by a school of excellence that is
a cyber school, as defined in section 551 of the revised school
code, MCL 380.551.
(c) Online courses provided by third party vendors not
affiliated with a Michigan public school.
(d) Online courses created and offered by a district or
intermediate district.
Sec. 18a. Grant funds awarded and allotted to a district,
intermediate district, or other entity, unless otherwise specified
in
this act, article, shall be expended by the grant recipient
before
the end of the school fiscal year immediately following the
fiscal year in which the funds are received. If a grant recipient
does
not expend the funds received under this act article before
the end of the fiscal year in which the funds are received, the
grant recipient shall submit a report to the department not later
than November 1 after the fiscal year in which the funds are
received indicating whether it expects to expend those funds during
the fiscal year in which the report is submitted. A recipient of a
grant shall return any unexpended grant funds to the department in
the manner prescribed by the department not later than September 30
after the fiscal year in which the funds are received.
Sec.
20. (1) For 2014-2015, 2015-2016,
both of the following
apply:
(a)
The basic foundation allowance is $8,099.00.$8,169.00.
(b)
The minimum foundation allowance is $7,126.00.$7,391.00.
(2) The amount of each district's foundation allowance shall
be calculated as provided in this section, using a basic foundation
allowance in the amount specified in subsection (1).
(3) Except as otherwise provided in this section, the amount
of a district's foundation allowance shall be calculated as
follows, using in all calculations the total amount of the
district's foundation allowance as calculated before any proration:
(a) Except as otherwise provided in this subdivision, for a
district that had a foundation allowance for the immediately
preceding state fiscal year that was equal to the minimum
foundation allowance for the immediately preceding state fiscal
year, but less than the basic foundation allowance for the
immediately preceding state fiscal year, the district shall receive
a foundation allowance in an amount equal to the sum of the
district's foundation allowance for the immediately preceding state
fiscal year plus the difference between twice the dollar amount of
the adjustment from the immediately preceding state fiscal year to
the current state fiscal year made in the basic foundation
allowance and [(the difference between the basic foundation
allowance for the current state fiscal year and basic foundation
allowance for the immediately preceding state fiscal year minus
$10.00)
$23.00) times (the difference between the district's
foundation allowance for the immediately preceding state fiscal
year and the minimum foundation allowance for the immediately
preceding state fiscal year) divided by the difference between the
basic foundation allowance for the current state fiscal year and
the minimum foundation allowance for the immediately preceding
state fiscal year]. However, the foundation allowance for a
district that had less than the basic foundation allowance for the
immediately preceding state fiscal year shall not exceed the basic
foundation allowance for the current state fiscal year. For the
purposes
of this subdivision, for 2014-2015, 2015-2016, the minimum
foundation allowance for the immediately preceding state fiscal
year
shall be considered to be $7,076.00. For 2014-2015, for a
district
that had a foundation allowance for the immediately
preceding
state fiscal year that was at least equal to the minimum
foundation
allowance for the immediately preceding state fiscal
year
but less than the basic foundation allowance for the
immediately
preceding state fiscal year, the district shall receive
a
foundation allowance in an amount equal to the district's
foundation
allowance for 2013-2014 plus $50.00.$7,251.00.
(b) Except as otherwise provided in this subsection, for a
district that in the immediately preceding state fiscal year had a
foundation allowance in an amount equal to the amount of the basic
foundation allowance for the immediately preceding state fiscal
year,
the district shall receive a foundation allowance for 2014-
2015
2015-2016 in an amount equal to the basic foundation allowance
for
2014-2015.2015-2016.
(c) For a district that had a foundation allowance for the
immediately preceding state fiscal year that was greater than the
basic foundation allowance for the immediately preceding state
fiscal year, the district's foundation allowance is an amount equal
to the sum of the district's foundation allowance for the
immediately preceding state fiscal year plus the lesser of the
increase in the basic foundation allowance for the current state
fiscal year, as compared to the immediately preceding state fiscal
year, or the product of the district's foundation allowance for the
immediately preceding state fiscal year times the percentage
increase in the United States consumer price index in the calendar
year ending in the immediately preceding fiscal year as reported by
the May revenue estimating conference conducted under section 367b
of the management and budget act, 1984 PA 431, MCL 18.1367b.
(d) For a district that has a foundation allowance that is not
a whole dollar amount, the district's foundation allowance shall be
rounded up to the nearest whole dollar.
(e) For a district that received a payment under section 22c
as
that section was in effect for 2013-2014, 2014-2015, the
district's
2013-2014 2014-2015 foundation allowance shall be
considered to have been an amount equal to the sum of the
district's
actual 2013-2014 2014-2015
foundation allowance as
otherwise calculated under this section plus the per-pupil amount
of
the district's equity payment for 2013-2014 2014-2015 under
section
22c as that section was in effect for 2013-2014.2014-2015.
(4) Except as otherwise provided in this subsection, the state
portion of a district's foundation allowance is an amount equal to
the district's foundation allowance or the basic foundation
allowance for the current state fiscal year, whichever is less,
minus the local portion of the district's foundation allowance
divided by the district's membership excluding special education
pupils. For a district described in subsection (3)(c), the state
portion of the district's foundation allowance is an amount equal
to $6,962.00 plus the difference between the district's foundation
allowance for the current state fiscal year and the district's
foundation allowance for 1998-99, minus the local portion of the
district's foundation allowance divided by the district's
membership excluding special education pupils. For a district that
has a millage reduction required under section 31 of article IX of
the state constitution of 1963, the state portion of the district's
foundation allowance shall be calculated as if that reduction did
not occur. For a receiving district, if school operating taxes
continue to be levied on behalf of a dissolved district that has
been attached in whole or in part to the receiving district to
satisfy debt obligations of the dissolved district under section 12
of the revised school code, MCL 380.12, the taxable value per
membership pupil of property in the receiving district used for the
purposes of this subsection does not include the taxable value of
property within the geographic area of the dissolved district.
(5) The allocation calculated under this section for a pupil
shall be based on the foundation allowance of the pupil's district
of residence. For a pupil enrolled pursuant to section 105 or 105c
in a district other than the pupil's district of residence, the
allocation calculated under this section shall be based on the
lesser of the foundation allowance of the pupil's district of
residence or the foundation allowance of the educating district.
For a pupil in membership in a K-5, K-6, or K-8 district who is
enrolled in another district in a grade not offered by the pupil's
district of residence, the allocation calculated under this section
shall be based on the foundation allowance of the educating
district if the educating district's foundation allowance is
greater than the foundation allowance of the pupil's district of
residence.
(6) Except as otherwise provided in this subsection, for
pupils in membership, other than special education pupils, in a
public school academy, the allocation calculated under this section
is an amount per membership pupil other than special education
pupils in the public school academy equal to the foundation
allowance of the district in which the public school academy is
located or the state maximum public school academy allocation,
whichever is less. For pupils in membership, other than special
education pupils, in a public school academy that is a cyber school
and is authorized by a school district, the allocation calculated
under this section is an amount per membership pupil other than
special education pupils in the public school academy equal to the
foundation allowance of the district that authorized the public
school academy or the state maximum public school academy
allocation, whichever is less. However, a public school academy
that had an allocation under this subsection before 2009-2010 that
was equal to the sum of the local school operating revenue per
membership pupil other than special education pupils for the
district in which the public school academy is located and the
state portion of that district's foundation allowance shall not
have that allocation reduced as a result of the 2010 amendment to
this subsection. Notwithstanding section 101, for a public school
academy that begins operations after the pupil membership count
day, the amount per membership pupil calculated under this
subsection shall be adjusted by multiplying that amount per
membership pupil by the number of hours of pupil instruction
provided by the public school academy after it begins operations,
as determined by the department, divided by the minimum number of
hours of pupil instruction required under section 101(3). The
result of this calculation shall not exceed the amount per
membership pupil otherwise calculated under this subsection.
(7) Except as otherwise provided in this subsection, for
pupils attending an achievement school and in membership in the
education achievement system, other than special education pupils,
the allocation calculated under this section is an amount per
membership pupil other than special education pupils equal to the
foundation allowance of the district in which the achievement
school is located, not to exceed the basic foundation allowance.
Notwithstanding section 101, for an achievement school that begins
operation after the pupil membership count day, the amount per
membership pupil calculated under this subsection shall be adjusted
by multiplying that amount per membership pupil by the number of
hours of pupil instruction provided by the achievement school after
it begins operations, as determined by the department, divided by
the minimum number of hours of pupil instruction required under
section 101(3). The result of this calculation shall not exceed the
amount per membership pupil otherwise calculated under this
subsection. For the purposes of this subsection, if a public school
is transferred from a district to the state school reform/redesign
district or the achievement authority under section 1280c of the
revised school code, MCL 380.1280c, that public school is
considered to be an achievement school within the education
achievement system and not a school that is part of a district, and
a pupil attending that public school is considered to be in
membership in the education achievement system and not in
membership in the district that operated the school before the
transfer.
(8) Subject to subsection (4), for a district that is formed
or reconfigured after June 1, 2002 by consolidation of 2 or more
districts or by annexation, the resulting district's foundation
allowance under this section beginning after the effective date of
the consolidation or annexation shall be the lesser of the sum of
the average of the foundation allowances of each of the original or
affected districts, calculated as provided in this section,
weighted as to the percentage of pupils in total membership in the
resulting district who reside in the geographic area of each of the
original or affected districts plus $100.00 or the highest
foundation allowance among the original or affected districts. This
subsection does not apply to a receiving district unless there is a
subsequent consolidation or annexation that affects the district.
(9) Each fraction used in making calculations under this
section shall be rounded to the fourth decimal place and the dollar
amount of an increase in the basic foundation allowance shall be
rounded to the nearest whole dollar.
(10) State payments related to payment of the foundation
allowance for a special education pupil are not calculated under
this section but are instead calculated under section 51a.
(11) To assist the legislature in determining the basic
foundation allowance for the subsequent state fiscal year, each
revenue estimating conference conducted under section 367b of the
management and budget act, 1984 PA 431, MCL 18.1367b, shall
calculate a pupil membership factor, a revenue adjustment factor,
and an index as follows:
(a) The pupil membership factor shall be computed by dividing
the estimated membership in the school year ending in the current
state fiscal year, excluding intermediate district membership, by
the estimated membership for the school year ending in the
subsequent state fiscal year, excluding intermediate district
membership. If a consensus membership factor is not determined at
the revenue estimating conference, the principals of the revenue
estimating conference shall report their estimates to the house and
senate subcommittees responsible for school aid appropriations not
later than 7 days after the conclusion of the revenue conference.
(b) The revenue adjustment factor shall be computed by
dividing the sum of the estimated total state school aid fund
revenue for the subsequent state fiscal year plus the estimated
total state school aid fund revenue for the current state fiscal
year, adjusted for any change in the rate or base of a tax the
proceeds of which are deposited in that fund and excluding money
transferred into that fund from the countercyclical budget and
economic stabilization fund under the management and budget act,
1984 PA 431, MCL 18.1101 to 18.1594, by the sum of the estimated
total school aid fund revenue for the current state fiscal year
plus the estimated total state school aid fund revenue for the
immediately preceding state fiscal year, adjusted for any change in
the rate or base of a tax the proceeds of which are deposited in
that fund. If a consensus revenue factor is not determined at the
revenue estimating conference, the principals of the revenue
estimating conference shall report their estimates to the house and
senate subcommittees responsible for school aid appropriations not
later than 7 days after the conclusion of the revenue conference.
(c) The index shall be calculated by multiplying the pupil
membership factor by the revenue adjustment factor. If a consensus
index is not determined at the revenue estimating conference, the
principals of the revenue estimating conference shall report their
estimates to the house and senate subcommittees responsible for
school aid appropriations not later than 7 days after the
conclusion of the revenue conference.
(12) Payments to districts, public school academies, or the
education achievement system shall not be made under this section.
Rather, the calculations under this section shall be used to
determine the amount of state payments under section 22b.
(13) If an amendment to section 2 of article VIII of the state
constitution of 1963 allowing state aid to some or all nonpublic
schools is approved by the voters of this state, each foundation
allowance or per-pupil payment calculation under this section may
be reduced.
(14) As used in this section:
(a) "Certified mills" means the lesser of 18 mills or the
number of mills of school operating taxes levied by the district in
1993-94.
(b) "Combined state and local revenue" means the aggregate of
the district's state school aid received by or paid on behalf of
the district under this section and the district's local school
operating revenue.
(c) "Combined state and local revenue per membership pupil"
means the district's combined state and local revenue divided by
the district's membership excluding special education pupils.
(d) "Current state fiscal year" means the state fiscal year
for which a particular calculation is made.
(e) "Dissolved district" means a district that loses its
organization, has its territory attached to 1 or more other
districts, and is dissolved as provided under section 12 of the
revised school code, MCL 380.12.
(f) "Immediately preceding state fiscal year" means the state
fiscal year immediately preceding the current state fiscal year.
(g) "Local portion of the district's foundation allowance"
means an amount that is equal to the difference between (the sum of
the product of the taxable value per membership pupil of all
property in the district that is nonexempt property times the
district's certified mills and, for a district with certified mills
exceeding 12, the product of the taxable value per membership pupil
of property in the district that is commercial personal property
times the certified mills minus 12 mills) and (the quotient of the
product of the captured assessed valuation under tax increment
financing acts times the district's certified mills divided by the
district's membership excluding special education pupils).
(h) "Local school operating revenue" means school operating
taxes levied under section 1211 of the revised school code, MCL
380.1211. For a receiving district, if school operating taxes are
to be levied on behalf of a dissolved district that has been
attached in whole or in part to the receiving district to satisfy
debt obligations of the dissolved district under section 12 of the
revised school code, MCL 380.12, local school operating revenue
does not include school operating taxes levied within the
geographic area of the dissolved district.
(i) "Local school operating revenue per membership pupil"
means a district's local school operating revenue divided by the
district's membership excluding special education pupils.
(j) "Maximum public school academy allocation", except as
otherwise provided in this subdivision, means the maximum per-pupil
allocation as calculated by adding the highest per-pupil allocation
among all public school academies for the immediately preceding
state fiscal year plus the difference between twice the amount of
the difference between the basic foundation allowance for the
current state fiscal year and the basic foundation for the
immediately preceding state fiscal year and [(the amount of the
difference between the basic foundation allowance for the current
state fiscal year and the basic foundation for the immediately
preceding
state fiscal year minus $10.00) $23.00)
times (the
difference between the highest per-pupil allocation among all
public school academies for the immediately preceding state fiscal
year and the minimum foundation allowance for the immediately
preceding state fiscal year) divided by the difference between the
basic foundation allowance for the current state fiscal year and
the minimum foundation allowance for the immediately preceding
state
fiscal year]. For the purposes of this subdivision, for 2014-
2015,
the minimum foundation allowance for the immediately
preceding
state fiscal year shall be considered to be $7,076.00.
For
2014-2015, for 2015-2016, the maximum public school academy
allocation
is $7,218.00.$7,391.00.
(k) "Membership" means the definition of that term under
section 6 as in effect for the particular fiscal year for which a
particular calculation is made.
(l) "Nonexempt property" means property that is not a
principal residence, qualified agricultural property, qualified
forest property, supportive housing property, industrial personal
property,
or commercial personal property,
or property occupied by
a public school academy.
(m) "Principal residence", "qualified agricultural property",
"qualified forest property", "supportive housing property",
"industrial personal property", and "commercial personal property"
mean those terms as defined in section 1211 of the revised school
code, MCL 380.1211.
(n) "Receiving district" means a district to which all or part
of the territory of a dissolved district is attached under section
12 of the revised school code, MCL 380.12.
(o) "School operating purposes" means the purposes included in
the operation costs of the district as prescribed in sections 7 and
18 and purposes authorized under section 1211 of the revised school
code, MCL 380.1211.
(p) "School operating taxes" means local ad valorem property
taxes levied under section 1211 of the revised school code, MCL
380.1211, and retained for school operating purposes.
(q) "Tax increment financing acts" means 1975 PA 197, MCL
125.1651 to 125.1681, the tax increment finance authority act, 1980
PA 450, MCL 125.1801 to 125.1830, the local development financing
act, 1986 PA 281, MCL 125.2151 to 125.2174, the brownfield
redevelopment financing act, 1996 PA 381, MCL 125.2651 to 125.2672,
or the corridor improvement authority act, 2005 PA 280, MCL
125.2871 to 125.2899.
(r) "Taxable value per membership pupil" means taxable value,
as certified by the county treasurer and reported to the
department, for the calendar year ending in the current state
fiscal year divided by the district's membership excluding special
education pupils for the school year ending in the current state
fiscal year.
Sec. 20d. In making the final determination required under
former section 20a of a district's combined state and local revenue
per membership pupil in 1993-94 and in making calculations under
section
20 for 2014-2015, 2015-2016,
the department and the
department of treasury shall comply with all of the following:
(a) For a district that had combined state and local revenue
per membership pupil in the 1994-95 state fiscal year of $6,500.00
or more and served as a fiscal agent for a state board designated
area vocational education center in the 1993-94 school year, total
state school aid received by or paid on behalf of the district
pursuant to this act in 1993-94 shall exclude payments made under
former section 146 and under section 147 on behalf of the
district's employees who provided direct services to the area
vocational education center. Not later than June 30, 1996, the
department shall make an adjustment under this subdivision to the
district's combined state and local revenue per membership pupil in
the 1994-95 state fiscal year and the department of treasury shall
make a final certification of the number of mills that may be
levied by the district under section 1211 of the revised school
code, MCL 380.1211, as a result of the adjustment under this
subdivision.
(b) If a district had an adjustment made to its 1993-94 total
state school aid that excluded payments made under former section
146 and under section 147 on behalf of the district's employees who
provided direct services for intermediate district center programs
operated by the district under article 5, if nonresident pupils
attending the center programs were included in the district's
membership for purposes of calculating the combined state and local
revenue per membership pupil for 1993-94, and if there is a signed
agreement by all constituent districts of the intermediate district
that an adjustment under this subdivision shall be made, the
foundation allowances for 1995-96 and 1996-97 of all districts that
had pupils attending the intermediate district center program
operated by the district that had the adjustment shall be
calculated as if their combined state and local revenue per
membership pupil for 1993-94 included resident pupils attending the
center program and excluded nonresident pupils attending the center
program.
Sec. 20f. (1) From the funds appropriated in section 11, there
is
allocated an amount not to exceed $6,000,000.00 for 2014-2015
$18,000,000.00 for 2015-2016 for payments to eligible districts
under this section.
(2) The funding under this subsection is from the allocation
under subsection (1). A district is eligible for funding under this
section
subsection if the district received a payment under this
section as it was in effect for 2013-2014. A district was eligible
for funding in 2013-2014 if the sum of the following was less than
$5.00:
(a) The increase in the district's foundation allowance or
per-pupil payment as calculated under section 20 from 2012-2013 to
2013-2014.
(b) The district's equity payment per membership pupil under
section 22c for 2013-2014.
(c) The quotient of the district's allocation under section
147a for 2012-2013 divided by the district's membership pupils for
2012-2013 minus the quotient of the district's allocation under
section 147a for 2013-2014 divided by the district's membership
pupils for 2013-2014.
(3) (2)
The amount allocated to each
eligible district under
this
section subsection (2) is an amount per membership pupil equal
to the amount per membership pupil the district received under this
section in 2013-2014.
(4) The funding under this subsection is from the allocation
under subsection (1). A district is eligible for funding under this
subsection for 2015-2016 if the sum of the following is less than
$25.00:
(a) The increase in the district's foundation allowance or
per-pupil payment as calculated under section 20 from 2014-2015 to
2015-2016.
(b) The decrease in the district's best practices per-pupil
funding under section 22f from 2014-2015 to 2015-2016.
(c) The decrease in the district's pupil performance per-pupil
funding under section 22j from 2014-2015 to 2015-2016.
(d) The quotient of the district's allocation under section
31a for 2015-2016 divided by the district's membership pupils for
2015-2016 minus the quotient of the district's allocation under
section 31a for 2014-2015 divided by the district's membership
pupils for 2014-2015.
(5) The amount allocated to each eligible district under
subsection (4) is an amount per membership pupil equal to $25.00
minus the sum of the following:
(a) The increase in the district's foundation allowance or
per-pupil payment as calculated under section 20 from 2014-2015 to
2015-2016.
(b) The decrease in the district's best practices per-pupil
funding under section 22f from 2014-2015 to 2015-2016.
(c) The decrease in the district's pupil performance per-pupil
funding under section 22j from 2014-2015 to 2015-2016.
(d) The quotient of the district's allocation under section
31a for 2015-2016 divided by the district's membership pupils for
2015-2016 minus the quotient of the district's allocation under
section 31a for 2014-2015 divided by the district's membership
pupils for 2014-2015.
(6) (3)
If the allocation under subsection
(1) is insufficient
to fully fund payments under subsections (3) and (5) as otherwise
calculated under this section, the department shall prorate
payments under this section on an equal per-pupil basis.
Sec. 20g. (1) From the money appropriated under section 11,
there
is allocated an amount not to exceed $2,200,000.00 for 2014-
2015
2015-2016 for grants to eligible districts that first received
payments under this section in 2013-2014 for transition costs
related to the enrollment of pupils who were previously enrolled in
a district that was dissolved under section 12 of the revised
school code, MCL 380.12, allocated as provided under subsection
(3). Payments under this section shall continue for a total of 4
fiscal years following the dissolution of a district, after which
the payments shall cease.
(2) A receiving school district, as that term is defined in
section 12 of the revised school code, MCL 380.12, is an eligible
district under this section.
(3)
The amount allocated to each eligible district under This
this section is an amount equal to the product of the number of
membership pupils enrolled in the eligible district who were
previously enrolled in the dissolved school district in the school
year immediately preceding the dissolution, or who reside in the
geographic area of the dissolved school district and are entering
kindergarten, times 10.0% of the lesser of the foundation allowance
of the eligible district as calculated under section 20 or the
basic foundation allowance under section 20(1).
(4) As used in this section, "dissolved school district" means
a school district that has been declared dissolved under section 12
of the revised school code, 1976 PA 451, MCL 380.12.
Sec. 21f. (1) A pupil enrolled in a district in any of grades
6 to 12 is eligible to enroll in an online course as provided for
in this section.
(2) With the consent of the pupil's parent or legal guardian,
a district shall enroll an eligible pupil in up to 2 online courses
as requested by the pupil during an academic term, semester, or
trimester. Unless the pupil is newly enrolled in the pupil's
primary district, the request for online course enrollment must be
made in the academic term, semester, trimester, or summer preceding
the enrollment. A district may not establish additional
requirements that would prohibit a pupil from taking an online
course. If a pupil has demonstrated previous success with online
courses and the school leadership and the pupil's parent or legal
guardian determine that it is in the best interest of the pupil, a
pupil may be enrolled in more than 2 online courses in a specific
academic term, semester, or trimester. Consent of the pupil's
parent or legal guardian is not required if the pupil is at least
age 18 or is an emancipated minor.
(3) An eligible pupil may enroll in an online course published
in
the pupil's educating primary
district's catalog of online
courses described in subsection (7)(a) or the statewide catalog of
online
courses maintained by the Michigan virtual university
Virtual University pursuant to section 98.
(4) A providing district or community college shall determine
whether or not it has capacity to accept applications for
enrollment from nonresident applicants in online courses and may
use that limit as the reason for refusal to enroll an applicant. If
the number of nonresident applicants eligible for acceptance in an
online course does not exceed the capacity of the providing
district or community college to provide the online course, the
providing district or community college shall accept for enrollment
all of the nonresident applicants eligible for acceptance. If the
number of nonresident applicants exceeds the providing district's
or community college's capacity to provide the online course, the
providing district or community college shall use a random draw
system, subject to the need to abide by state and federal
antidiscrimination laws and court orders.
(5)
A pupil's primary district may deny a the pupil
enrollment
in an online course if any of the following apply, as determined by
the district:
(a) The pupil has previously gained the credits provided from
the completion of the online course.
(b) The online course is not capable of generating academic
credit.
(c) The online course is inconsistent with the remaining
graduation requirements or career interests of the pupil.
(d) The pupil does not possess the prerequisite knowledge and
skills to be successful in the online course or has demonstrated
failure in previous online coursework in the same subject.
(e) The online course is of insufficient quality or rigor. A
district that denies a pupil enrollment for this reason shall make
a reasonable effort to assist the pupil to find an alternative
course in the same or a similar subject that is of acceptable rigor
and quality.
(f) The cost of the online course exceeds the amount
identified
in subsection (8), (10), unless the pupil's parent or
legal guardian agrees to pay the cost that exceeds this amount.
(g) The online course enrollment request does not occur within
the same timelines established by the primary district for
enrollment and schedule changes for regular courses.
(6)
If a pupil is denied enrollment in an online course by a
the pupil's primary district, the pupil may appeal the denial by
submitting a letter to the superintendent of the intermediate
district
in which the pupil's educating primary
district is
located. The letter of appeal shall include the reason provided by
the primary district for not enrolling the pupil and the reason why
the pupil is claiming that the enrollment should be approved. The
intermediate district superintendent or designee shall respond to
the appeal within 5 days after it is received. If the intermediate
district superintendent or designee determines that the denial of
enrollment does not meet 1 or more of the reasons specified in
subsection (5), the primary district shall allow the pupil to
enroll in the online course.
(7)
To offer or provide an online course under this section, a
the providing district or intermediate district shall do all of the
following:
(a)
Provide the Michigan virtual university Virtual University
with the course syllabus in a form and method prescribed by the
Michigan
virtual university Virtual
University for inclusion in a
statewide online course catalog. The district or intermediate
district shall also provide on its publicly accessible website a
link to the course syllabi for all of the online courses offered by
the district or intermediate district and a link to the statewide
catalog
of online courses maintained by the Michigan virtual
university.Virtual University.
(b) Assign to each pupil a teacher of record and provide the
primary district with the personal identification code for the
teacher of record.
(c)
(b) Offer the online course on an open entry and exit
method, or aligned to a semester, trimester, or accelerated
academic term format.
(d) (c)
Not later than October 1, 2014, 2015, provide
the
Michigan virtual university with the number of enrollments in each
online
course the district or intermediate district offered
provided to pupils pursuant to this section in the immediately
preceding school year, and the number of enrollments in which the
pupil earned 60% or more of the total course points for each online
course.
(8) To provide an online course under this section, a
community college shall do all of the following:
(a) Provide the Michigan Virtual University with the course
syllabus in a form and method prescribed by the Michigan Virtual
University for inclusion in a statewide online course catalog.
(b) Offer the online course on an open entry and exit method,
or aligned to a semester, trimester, or accelerated academic term
format.
(c) Ensure that each online course it provides under this
section generates postsecondary credit.
(d) Beginning with October 1, 2016, and by October 1 of each
year thereafter, provide the Michigan Virtual University with the
number of enrollments in each online course the community college
provided to pupils pursuant to this section in the immediately
preceding school year, and the number of enrollments in which the
pupil earned 60% or more of the total course points for each online
course.
(e) Be taught by an instructor employed by or contracted
through the community college.
(9) For any online course a pupil enrolls in under this
section, the pupil's primary district must assign to the pupil a
mentor to monitor the pupil's progress during the online course and
shall supply the providing district with the mentor's contact
information.
(10) (8)
For a pupil enrolled in 1 or more
online courses
published
in the pupil's educating primary
district's catalog of
online courses under subsection (7) or in the statewide catalog of
online
courses maintained by the Michigan virtual university,
Virtual University, the primary district shall use foundation
allowance or per-pupil funds calculated under section 20 to pay for
the
expenses associated with the online course or courses. The
district
shall pay 80% of the cost of the online course upon
enrollment
and 20% upon completion as determined by the district. A
district is not required to pay toward the cost of an online course
an
amount that exceeds 8.33% 6.67%
of the minimum foundation
allowance for the current fiscal year as calculated under section
20.
(11) (9)
An online learning pupil shall have
the same rights
and access to technology in his or her primary district's school
facilities as all other pupils enrolled in the pupil's primary
district.
(12) (10)
If a pupil successfully completes
an online course,
as determined by the pupil's primary district, the pupil's primary
district shall grant appropriate academic credit for completion of
the course and shall count that credit toward completion of
graduation and subject area requirements. A pupil's school record
and transcript shall identify the online course title as it appears
in the online course syllabus.
(13) (11)
The enrollment of a pupil in 1 or
more online
courses shall not result in a pupil being counted as more than 1.0
full-time equivalent pupils under this article.
(14) (12)
The portion of the full-time
equated pupil
membership for which a pupil is enrolled in 1 or more online
courses under this section shall not be transferred under the pupil
transfer process under section 25e.
(15) (13)
As used in this section:
(a) "Mentor" means a professional employee of the primary
district who monitors the pupil's progress, ensures the pupil has
access to needed technology, is available for assistance, and
ensures access to the teacher of record. A mentor may also serve as
the teacher of record if the mentor meets the requirements under
subdivision (g).
(b) (a)
"Online course" means a
course of study that is
capable of generating a credit or a grade, that is provided in an
interactive
internet-connected Internet-connected
learning
environment, in which pupils are separated from their teachers by
time or location, or both, and, if the course is provided by a
district or intermediate district, in which a teacher who holds a
valid Michigan teaching certificate that qualifies the teacher to
teach the course is responsible for providing instruction,
determining appropriate instructional methods for each pupil,
diagnosing learning needs, assessing pupil learning, prescribing
intervention strategies, reporting outcomes, and evaluating the
effects of instruction and support strategies.
(c) (b)
"Online course syllabus"
means a document that
includes all of the following:
(i) The state academic standards addressed in an online
course.
(ii) The online course content outline.
(iii) The online course required assessments.
(iv) The online course prerequisites.
(v) Expectations for actual instructor contact time with the
online learning pupil and other pupil-to-instructor communications.
(vi) Academic support available to the online learning pupil.
(vii) The online course learning outcomes and objectives.
(viii) The name of the institution or organization providing
the online content.
(ix) The name of the institution or organization providing the
online instructor.
(x) The course titles assigned by the district or intermediate
district
and the course titles and course codes from the national
center
for education statistics National
Center for Education
Statistics (NCES) school codes for the exchange of data (SCED).
(xi) The number of eligible nonresident pupils that will be
accepted by the district or intermediate district in the online
course.
(xii) The results of the online course quality review using
the guidelines and model review process published by the Michigan
virtual
university.Virtual
University.
(d) (c)
"Online learning pupil"
means a pupil enrolled in 1 or
more online courses.
(e) (d)
"Primary district" means
the pupil's district that
enrolls
the pupil and reports the pupil as a full-time equated
pupil
for pupil membership purposes.of
residence.
(f) "Providing district" means the district, intermediate
district, or community college that the primary district pays to
provide the online course.
(g) "Teacher of record" means a teacher who holds a valid
Michigan teaching certificate; who, if applicable, is endorsed in
the subject area and grade of the online course; and is responsible
for providing instruction, determining instructional methods for
each pupil, diagnosing learning needs, assessing pupil learning,
prescribing intervention strategies, reporting outcomes, and
evaluating the effects of instruction and support strategies.
Sec. 22a. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $5,380,000,000.00
$5,377,000,000.00 for 2014-2015 and an amount not to exceed
$5,281,700,000.00 for 2015-2016 for payments to districts and
qualifying public school academies to guarantee each district and
qualifying public school academy an amount equal to its 1994-95
total state and local per pupil revenue for school operating
purposes under section 11 of article IX of the state constitution
of 1963. Pursuant to section 11 of article IX of the state
constitution of 1963, this guarantee does not apply to a district
in a year in which the district levies a millage rate for school
district operating purposes less than it levied in 1994. However,
subsection (2) applies to calculating the payments under this
section. Funds allocated under this section that are not expended
in the state fiscal year for which they were allocated, as
determined by the department, may be used to supplement the
allocations under sections 22b and 51c in order to fully fund those
calculated allocations for the same fiscal year.
(2) To ensure that a district receives an amount equal to the
district's 1994-95 total state and local per pupil revenue for
school operating purposes, there is allocated to each district a
state portion of the district's 1994-95 foundation allowance in an
amount calculated as follows:
(a) Except as otherwise provided in this subsection, the state
portion of a district's 1994-95 foundation allowance is an amount
equal to the district's 1994-95 foundation allowance or $6,500.00,
whichever is less, minus the difference between the sum of the
product of the taxable value per membership pupil of all property
in the district that is nonexempt property times the district's
certified mills and, for a district with certified mills exceeding
12, the product of the taxable value per membership pupil of
property in the district that is commercial personal property times
the certified mills minus 12 mills and the quotient of the ad
valorem property tax revenue of the district captured under tax
increment financing acts divided by the district's membership. For
a district that has a millage reduction required under section 31
of article IX of the state constitution of 1963, the state portion
of the district's foundation allowance shall be calculated as if
that reduction did not occur. For a receiving district, if school
operating taxes are to be levied on behalf of a dissolved district
that has been attached in whole or in part to the receiving
district to satisfy debt obligations of the dissolved district
under section 12 of the revised school code, MCL 380.12, taxable
value per membership pupil of all property in the receiving
district that is nonexempt property and taxable value per
membership pupil of property in the receiving district that is
commercial personal property do not include property within the
geographic area of the dissolved district; ad valorem property tax
revenue of the receiving district captured under tax increment
financing acts does not include ad valorem property tax revenue
captured within the geographic boundaries of the dissolved district
under tax increment financing acts; and certified mills do not
include the certified mills of the dissolved district.
(b) For a district that had a 1994-95 foundation allowance
greater than $6,500.00, the state payment under this subsection
shall be the sum of the amount calculated under subdivision (a)
plus the amount calculated under this subdivision. The amount
calculated under this subdivision shall be equal to the difference
between the district's 1994-95 foundation allowance minus $6,500.00
and the current year hold harmless school operating taxes per
pupil. If the result of the calculation under subdivision (a) is
negative, the negative amount shall be an offset against any state
payment calculated under this subdivision. If the result of a
calculation under this subdivision is negative, there shall not be
a state payment or a deduction under this subdivision. The taxable
values per membership pupil used in the calculations under this
subdivision are as adjusted by ad valorem property tax revenue
captured under tax increment financing acts divided by the
district's membership. For a receiving district, if school
operating taxes are to be levied on behalf of a dissolved district
that has been attached in whole or in part to the receiving
district to satisfy debt obligations of the dissolved district
under section 12 of the revised school code, MCL 380.12, ad valorem
property tax revenue captured under tax increment financing acts do
not include ad valorem property tax revenue captured within the
geographic boundaries of the dissolved district under tax increment
financing acts.
(3) Beginning in 2003-2004, for pupils in membership in a
qualifying public school academy, there is allocated under this
section to the authorizing body that is the fiscal agent for the
qualifying public school academy for forwarding to the qualifying
public school academy an amount equal to the 1994-95 per pupil
payment to the qualifying public school academy under section 20.
(4) A district or qualifying public school academy may use
funds allocated under this section in conjunction with any federal
funds for which the district or qualifying public school academy
otherwise would be eligible.
(5) Except as otherwise provided in this subsection, for a
district that is formed or reconfigured after June 1, 2000 by
consolidation of 2 or more districts or by annexation, the
resulting district's 1994-95 foundation allowance under this
section beginning after the effective date of the consolidation or
annexation shall be the average of the 1994-95 foundation
allowances of each of the original or affected districts,
calculated as provided in this section, weighted as to the
percentage of pupils in total membership in the resulting district
in the state fiscal year in which the consolidation takes place who
reside in the geographic area of each of the original districts. If
an affected district's 1994-95 foundation allowance is less than
the 1994-95 basic foundation allowance, the amount of that
district's 1994-95 foundation allowance shall be considered for the
purpose of calculations under this subsection to be equal to the
amount of the 1994-95 basic foundation allowance. This subsection
does not apply to a receiving district unless there is a subsequent
consolidation or annexation that affects the district.
(6) Payments under this section are subject to section 25f.
(7) As used in this section:
(a) "1994-95 foundation allowance" means a district's 1994-95
foundation allowance calculated and certified by the department of
treasury or the superintendent under former section 20a as enacted
in 1993 PA 336 and as amended by 1994 PA 283.
(b) "Certified mills" means the lesser of 18 mills or the
number of mills of school operating taxes levied by the district in
1993-94.
(c) "Current state fiscal year" means the state fiscal year
for which a particular calculation is made.
(d) "Current year hold harmless school operating taxes per
pupil" means the per pupil revenue generated by multiplying a
district's 1994-95 hold harmless millage by the district's current
year taxable value per membership pupil. For a receiving district,
if school operating taxes are to be levied on behalf of a dissolved
district that has been attached in whole or in part to the
receiving district to satisfy debt obligations of the dissolved
district under section 12 of the revised school code, MCL 380.12,
taxable value per membership pupil does not include the taxable
value of property within the geographic area of the dissolved
district.
(e) "Dissolved district" means a district that loses its
organization, has its territory attached to 1 or more other
districts, and is dissolved as provided under section 12 of the
revised school code, MCL 380.12.
(f) "Hold harmless millage" means, for a district with a 1994-
95 foundation allowance greater than $6,500.00, the number of mills
by which the exemption from the levy of school operating taxes on a
homestead, qualified agricultural property, qualified forest
property, supportive housing property, industrial personal
property,
and commercial personal property,
and property occupied
by a public school academy could be reduced as provided in section
1211 of the revised school code, MCL 380.1211, and the number of
mills of school operating taxes that could be levied on all
property as provided in section 1211(2) of the revised school code,
MCL 380.1211, as certified by the department of treasury for the
1994 tax year. For a receiving district, if school operating taxes
are to be levied on behalf of a dissolved district that has been
attached in whole or in part to the receiving district to satisfy
debt obligations of the dissolved district under section 12 of the
revised school code, MCL 380.12, school operating taxes do not
include school operating taxes levied within the geographic area of
the dissolved district.
(g) "Homestead", "qualified agricultural property", "qualified
forest property", "supportive housing property", "industrial
personal property", and "commercial personal property" mean those
terms as defined in section 1211 of the revised school code, MCL
380.1211.
(h) "Membership" means the definition of that term under
section 6 as in effect for the particular fiscal year for which a
particular calculation is made.
(i) "Nonexempt property" means property that is not a
principal residence, qualified agricultural property, qualified
forest property, supportive housing property, industrial personal
property,
or commercial personal property,
or property occupied by
a public school academy.
(j) "Qualifying public school academy" means a public school
academy that was in operation in the 1994-95 school year and is in
operation in the current state fiscal year.
(k) "Receiving district" means a district to which all or part
of the territory of a dissolved district is attached under section
12 of the revised school code, MCL 380.12.
(l) "School operating taxes" means local ad valorem property
taxes levied under section 1211 of the revised school code, MCL
380.1211, and retained for school operating purposes as defined in
section 20.
(m) "Tax increment financing acts" means 1975 PA 197, MCL
125.1651 to 125.1681, the tax increment finance authority act, 1980
PA 450, MCL 125.1801 to 125.1830, the local development financing
act, 1986 PA 281, MCL 125.2151 to 125.2174, the brownfield
redevelopment financing act, 1996 PA 381, MCL 125.2651 to 125.2672,
or the corridor improvement authority act, 2005 PA 280, MCL
125.2871 to 125.2899.
(n) "Taxable value per membership pupil" means each of the
following divided by the district's membership:
(i) For the number of mills by which the exemption from the
levy of school operating taxes on a homestead, qualified
agricultural property, qualified forest property, supportive
housing
property, industrial personal property, and commercial
personal property, and property occupied by a public school academy
may be reduced as provided in section 1211 of the revised school
code, MCL 380.1211, the taxable value of homestead, qualified
agricultural property, qualified forest property, supportive
housing
property, industrial personal property, and commercial
personal property, and property occupied by a public school academy
for the calendar year ending in the current state fiscal year. For
a receiving district, if school operating taxes are to be levied on
behalf of a dissolved district that has been attached in whole or
in part to the receiving district to satisfy debt obligations of
the dissolved district under section 12 of the revised school code,
MCL 380.12, mills do not include mills within the geographic area
of the dissolved district.
(ii) For the number of mills of school operating taxes that
may be levied on all property as provided in section 1211(2) of the
revised school code, MCL 380.1211, the taxable value of all
property for the calendar year ending in the current state fiscal
year. For a receiving district, if school operating taxes are to be
levied on behalf of a dissolved district that has been attached in
whole or in part to the receiving district to satisfy debt
obligations of the dissolved district under section 12 of the
revised school code, MCL 380.12, school operating taxes do not
include school operating taxes levied within the geographic area of
the dissolved district.
Sec. 22b. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $3,434,000,000.00
$3,440,000,000.00 for 2014-2015 and an amount not to exceed
$3,728,000,000.00 for 2015-2016 for discretionary nonmandated
payments to districts under this section. Funds allocated under
this section that are not expended in the state fiscal year for
which they were allocated, as determined by the department, may be
used to supplement the allocations under sections 22a and 51c in
order to fully fund those calculated allocations for the same
fiscal year.
(2) Subject to subsection (3) and section 296, the allocation
to a district under this section shall be an amount equal to the
sum of the amounts calculated under sections 20, 51a(2), 51a(3),
and 51a(11), minus the sum of the allocations to the district under
sections 22a and 51c.
(3) In order to receive an allocation under subsection (1),
each district shall do all of the following:
(a) Comply with section 1280b of the revised school code, MCL
380.1280b.
(b) Comply with sections 1278a and 1278b of the revised school
code, MCL 380.1278a and 380.1278b.
(c) Furnish data and other information required by state and
federal law to the center and the department in the form and manner
specified by the center or the department, as applicable.
(d) Comply with section 1230g of the revised school code, MCL
380.1230g.
(e) Comply with section 21f.
(4) Districts are encouraged to use funds allocated under this
section for the purchase and support of payroll, human resources,
and other business function software that is compatible with that
of the intermediate district in which the district is located and
with other districts located within that intermediate district.
(5) From the allocation in subsection (1), the department
shall pay up to $1,000,000.00 in litigation costs incurred by this
state related to commercial or industrial property tax appeals,
including, but not limited to, appeals of classification, that
impact revenues dedicated to the state school aid fund.
(6) From the allocation in subsection (1), the department
shall pay up to $1,000,000.00 in litigation costs incurred by this
state associated with lawsuits filed by 1 or more districts or
intermediate districts against this state. If the allocation under
this section is insufficient to fully fund all payments required
under this section, the payments under this subsection shall be
made in full before any proration of remaining payments under this
section.
(7) It is the intent of the legislature that all
constitutional obligations of this state have been fully funded
under sections 22a, 31d, 51a, 51c, and 152a. If a claim is made by
an entity receiving funds under this article that challenges the
legislative determination of the adequacy of this funding or
alleges that there exists an unfunded constitutional requirement,
the state budget director may escrow or allocate from the
discretionary funds for nonmandated payments under this section the
amount as may be necessary to satisfy the claim before making any
payments to districts under subsection (2). If funds are escrowed,
the escrowed funds are a work project appropriation and the funds
are carried forward into the following fiscal year. The purpose of
the work project is to provide for any payments that may be awarded
to districts as a result of litigation. The work project shall be
completed upon resolution of the litigation.
(8) If the local claims review board or a court of competent
jurisdiction makes a final determination that this state is in
violation of section 29 of article IX of the state constitution of
1963 regarding state payments to districts, the state budget
director shall use work project funds under subsection (7) or
allocate from the discretionary funds for nonmandated payments
under this section the amount as may be necessary to satisfy the
amount owed to districts before making any payments to districts
under subsection (2).
(9) If a claim is made in court that challenges the
legislative determination of the adequacy of funding for this
state's constitutional obligations or alleges that there exists an
unfunded constitutional requirement, any interested party may seek
an expedited review of the claim by the local claims review board.
If the claim exceeds $10,000,000.00, this state may remove the
action to the court of appeals, and the court of appeals shall have
and shall exercise jurisdiction over the claim.
(10) If payments resulting from a final determination by the
local claims review board or a court of competent jurisdiction that
there has been a violation of section 29 of article IX of the state
constitution of 1963 exceed the amount allocated for discretionary
nonmandated payments under this section, the legislature shall
provide for adequate funding for this state's constitutional
obligations at its next legislative session.
(11) If a lawsuit challenging payments made to districts
related to costs reimbursed by federal title XIX Medicaid funds is
filed against this state, then, for the purpose of addressing
potential liability under such a lawsuit, the state budget director
may place funds allocated under this section in escrow or allocate
money from the funds otherwise allocated under this section, up to
a maximum of 50% of the amount allocated in subsection (1). If
funds are placed in escrow under this subsection, those funds are a
work project appropriation and the funds are carried forward into
the following fiscal year. The purpose of the work project is to
provide for any payments that may be awarded to districts as a
result of the litigation. The work project shall be completed upon
resolution of the litigation. In addition, this state reserves the
right to terminate future federal title XIX Medicaid reimbursement
payments to districts if the amount or allocation of reimbursed
funds is challenged in the lawsuit. As used in this subsection,
"title XIX" means title XIX of the social security act, 42 USC 1396
to 1396v.
(12) Payments under this section are subject to section 25f.
Sec. 22d. (1) From the appropriation in section 11, an amount
not
to exceed $2,584,600.00 $5,000,000.00
is allocated for 2014-
2015
2015-2016 for supplemental payments to rural districts under
this section.
(2) From the allocation under subsection (1), there is
allocated
for 2014-2015 2015-2016 an amount not to exceed
$957,300.00 for payments under this subsection to districts that
meet all of the following:
(a) Operates grades K to 12.
(b) Has fewer than 250 pupils in membership.
(c) Each school building operated by the district meets at
least 1 of the following:
(i) Is located in the Upper Peninsula at least 30 miles from
any other public school building.
(ii) Is located on an island that is not accessible by bridge.
(3) The amount of the additional funding to each eligible
district under subsection (2) shall be determined under a spending
plan developed as provided in this subsection and approved by the
superintendent of public instruction. The spending plan shall be
developed cooperatively by the intermediate superintendents of each
intermediate district in which an eligible district is located. The
intermediate superintendents shall review the financial situation
of each eligible district, determine the minimum essential
financial needs of each eligible district, and develop and agree on
a spending plan that distributes the available funding under
subsection (2) to the eligible districts based on those financial
needs. The intermediate superintendents shall submit the spending
plan to the superintendent of public instruction for approval. Upon
approval by the superintendent of public instruction, the amounts
specified for each eligible district under the spending plan are
allocated under subsection (2) and shall be paid to the eligible
districts in the same manner as payments under section 22b.
(4) Subject to subsection (6), from the allocation in
subsection
(1), there is allocated for 2014-2015 2015-2016 an
amount
not to exceed $1,627,300.00 $4,042,700.00
for payments under
this
subsection to districts that meet all of the following:
(a)
The district has 5.0 have 7.3
or fewer pupils per square
mile as determined by the department.
(b)
The district has a total square mileage greater than 200.0
or
is 1 of 2 districts that have consolidated transportation
services
and have a combined total square mileage greater than
200.0.
(5) The funds allocated under subsection (4) shall be
allocated on an equal per-pupil basis.
(6) A district receiving funds allocated under subsection (2)
is not eligible for funding allocated under subsection (4).
Sec. 22g. (1) From the funds appropriated in section 11, there
is
allocated for 2014-2015 2015-2016
only an amount not to exceed
$2,000,000.00
$5,000,000.00 for competitive assistance grants to
districts and intermediate districts.
(2) Funds received under this section may be used for
reimbursement of transition costs associated with the consolidation
or
annexation of operations or services
between 2 or more districts
,
or intermediate districts. , or other local units
of government,
the
consolidation or sharing of technology and data operations or
services
between 50 or more districts or 5 or more intermediate
districts,
or the consolidation of districts or intermediate
districts.
Grant funding shall be available
for consolidations or
annexations
that occur on or after June 1, 2014.
The department
shall
develop an application process and method of grant
distribution.
The department shall give priority to applicants that
propose
including at least 1 of the following statewide activities:
2015. Districts may spend funds allocated under this section over 3
fiscal years.
(a)
A comprehensive, research-based academic early warning
indicator
and dropout prevention solution.
(b)
A data-driven system for identifying early reading
challenges
and establishing individual reading development plans
for
every student by the end of grade 3.
Sec.
22i. (1) From the funds appropriated in section 11, there
is
allocated for 2013-2014 an amount not to exceed $45,000,000.00
and
there is allocated for 2014-2015
2015-2016 an amount not to
exceed
$41,500,000.00 $23,500,000.00
for the technology readiness
infrastructure grant program for districts or intermediate
districts on behalf of their constituent districts. Funds received
under
this subsection section shall be used for the development or
improvement
of a district's districts'
technology hard
infrastructure, the shared services consolidation of technology and
data , and for
the coordination and strategic purchasing of
hardware
and software in preparation for the planned implementation
in
2014-2015 of online assessments.delivery
of assessments through
online models. This allocation shall not be made after 2015-2016.
(2)
The Subject to the
requirements of this section, the
department shall develop a competitive application process and
method of grant distribution to eligible districts and intermediate
districts that demonstrate need for grants under subsection (1).
The department may consult with the department of technology,
management, and budget during the grant process and grant
distribution. Grants to districts shall not exceed $2,000,000.00
per district. A grant to an intermediate district on behalf of its
constituent districts shall not exceed $2,000,000.00 per
constituent district. To receive a grant under subsection (1), an
intermediate district shall demonstrate that a grant awarded to the
intermediate district on behalf of its constituent districts would
provide savings compared to providing grants to individual
districts. The department shall give additional consideration to
applicants that propose external partnerships and articulate plans
for sustainability beyond the grant funding.
(3)
From the general fund money appropriated in section 11,
there
is allocated an amount not to exceed $5,000,000.00 for 2013-
2014
to be awarded through a competitive bid process to a single
provider
of whole-school technology as described in this
subsection.
The department shall issue a single request for
proposal
with application rules written and administered by the
department,
and with a focus on economic and geographic diversity.
To
be eligible to receive the grant under this section, a provider
shall
meet all of the following:
(a)
Agrees to submit evaluation criteria in a form and manner
determined
by the department.
(b)
Provides at least all of the following:
(i) One-to-one mobile devices.
(ii) Laptop or desktop computers for each classroom.
(iii) On- and off-campus filtering.
(iv) Wireless networks and peripherals.
(v) Wireless audio equipment.
(vi) Operating software.
(vii) Instructional software.
(viii) Repairs and replacements.
(ix) Professional development.
(x) Ongoing support.
(3) From the money allocated in subsection (1), there is
allocated an amount not to exceed $11,250,000.00 for district
participation incentives as described in this subsection. Grants
awarded under this subsection shall be distributed on an equal per
pupil basis, not to exceed $10.00 per pupil. To receive funding
under this subsection, a district must meet all of the following:
(a) The district agrees to limit the spending of participation
incentive grants to technology readiness efforts, including, but
not limited to, the following:
(i) Online or digital assessment, including universal
diagnostic screening tools.
(ii) In-building wireless connectivity.
(iii) Network services, such as additional bandwidth and
content filtering.
(iv) Computer or device purchasing.
(v) Technology readiness for instruction and data
collaborations that support online assessment readiness.
(b) The district agrees to be represented in the program known
as "TRIG sponsored statewide 470 bids for E-rate funding" and to
consider using the awarded vendors. However, the district is not
obligated to purchase from that bid or those vendors.
(c) The district agrees to participate in any survey or data
collection process considered necessary by the department.
(d) The district ensures that its intermediate district also
agrees to requirements of subdivisions (a) to (c) for the district
to receive participation funds.
(4) From the money allocated in subsection (1), there is
allocated an amount not to exceed $9,250,000.00 for device
purchasing incentives.
(5) From the money allocated in subsection (1), there is
allocated an amount not to exceed $2,200,000.00 for data systems
integration.
(6) From the money allocated in subsection (1), there is
allocated an amount not to exceed $300,000.00 for E-rate
activities.
(7) From the money allocated in subsection (1), there is
allocated an amount not to exceed $500,000.00 for administration of
the technology readiness infrastructure grant program.
(8) Not later than January 1, 2017, the department shall
consolidate and prepare a summary from the total project reports
from each grantee under this section to include measurable outcomes
based on grant objectives. The report shall include a summary of
compiled data from each grantee to provide a means to evaluate the
effectiveness of the grant project. The department shall submit the
report to the house and senate appropriations subcommittees on
state school aid and on the department budget and to the house and
senate fiscal agencies.
(9) (4)
The funds allocated under subsection (1) are a work
project
appropriation. Any unexpended funds
for 2013-2014 are
carried
forward into 2014-2015 and any unexpended funds for 2014-
2015
are carried forward into 2015-2016. The purpose of the work
project
is to continue to implement the projects described under
this
section. The estimated completion date of the work project is
September
30, 2016.2015-2016 shall
lapse to the state school aid
fund.
(10) From the funds appropriated under this article, the
department shall not contract for or pay for a contract that
creates informational technology infrastructure that is owned or
operated by this state, a local unit of government, a community
college or state public university, or a district or intermediate
district, and is operated in a manner that provides informational
technology services to public entities in competition with
businesses located in this state.
(11) As used in this section:
(a) "Hard infrastructure" means technology hardware necessary
to move to an online learning and testing environment, including,
but not limited to, fiber, servers, wireless computing networks,
and necessary peripherals.
(b) "Shared services consolidation of technology and data"
means projects that support the move to a collaborative multiple
organizational approach to managing hardware, software,
peripherals, and data integration and display of appropriate
information for parents, teachers, administrators, and this state.
Sec. 23a. (1) A dropout recovery program operated by a
district qualifies for the special membership counting provisions
of
section 6(4)(ff) 6(4)(DD) and the hours and day of pupil
instruction exemption under section 101(12) if the dropout recovery
program meets all of the following:
(a) Enrolls only eligible pupils.
(b) Provides an advocate. An advocate may serve in that role
for more than 1 pupil but no more than 50 pupils. An advocate may
be employed by the district or may be provided by an education
management organization that is partnering with the district.
Before an individual is assigned to be an advocate for a pupil in
the dropout recovery program, the district shall comply with
sections 1230 and 1230a of the revised school code, MCL 380.1230
and 380.1230a, with respect to that individual.
(c) Develops a written learning plan.
(d) Monitors the pupil's progress against the written learning
plan.
(e) Requires each pupil to make satisfactory monthly progress,
as defined by the district under subsection (2).
(f) Reports the pupil's progress results to the partner
district at least monthly.
(g) The program may be operated on or off a district school
campus, but may be operated using distance learning online only if
the program provides a computer and internet access for each
eligible pupil participating in the program.
(h) Is operated throughout the entire calendar year.
(i) If the district partners with an education management
organization for the program, the education management organization
has a dropout recovery program partnership relationship with at
least 1 other district.
(2) A district operating a dropout recovery program under this
section shall adopt a definition of satisfactory monthly progress
that is consistent with the definition of that term under
subsection (3).
(3) As used in this section:
(a) "Advocate" means an adult available to meet in person with
assigned pupils, as needed, to conduct social interventions, to
proctor final examinations, and to provide academic and social
support to pupils enrolled in the district's dropout recovery
program.
(b) "Education management organization" means a private
provider that operates 1 or more other dropout recovery programs
that meet the requirements of this section in partnership with 1 or
more districts.
(c) "Eligible pupil" means a pupil who has been expelled from
school under the mandatory expulsion provisions in section 1311 or
1311a of the revised school code, MCL 380.1311 and 380.1311a, a
pupil who has been suspended or expelled from school under a local
policy, a pupil who is referred by a court, a pupil who is pregnant
or is a parent, a pupil who was previously a dropout, or a pupil
who is determined by the district to be at risk of dropping out.
(d) "Satisfactory monthly progress" means an amount of
progress that is measurable on a monthly basis and that, if
continued for a full 12 months, would result in the same amount of
academic credit being awarded to the pupil as would be awarded to a
general education pupil completing a full school year. Satisfactory
monthly progress may include a lesser required amount of progress
for the first 2 months a pupil participates in the program.
(e) "Written learning plan" means a written plan developed in
conjunction with the advocate that includes the plan start and end
dates, courses to be taken, credit to be earned for each course,
teacher of record for each course, and advocate name and contact
information.
Sec. 24. (1) From the appropriation in section 11, there is
allocated
for 2014-2015 2015-2016 an amount not to exceed
$8,000,000.00 for payments to the educating district or
intermediate district for educating pupils assigned by a court or
the department of health and human services to reside in or to
attend a juvenile detention facility or child caring institution
licensed by the department of health and human services and
approved by the department to provide an on-grounds education
program. The amount of the payment under this section to a district
or intermediate district shall be calculated as prescribed under
subsection (2).
(2) The total amount allocated under this section shall be
allocated by paying to the educating district or intermediate
district an amount equal to the lesser of the district's or
intermediate district's added cost or the department's approved
per-pupil allocation for the district or intermediate district. For
the purposes of this subsection:
(a) "Added cost" means 100% of the added cost each fiscal year
for educating all pupils assigned by a court or the department of
health and human services to reside in or to attend a juvenile
detention facility or child caring institution licensed by the
department of health and human services or the department of
licensing and regulatory affairs and approved by the department to
provide an on-grounds education program. Added cost shall be
computed by deducting all other revenue received under this article
for pupils described in this section from total costs, as approved
by the department, in whole or in part, for educating those pupils
in the on-grounds education program or in a program approved by the
department that is located on property adjacent to a juvenile
detention facility or child caring institution. Costs reimbursed by
federal funds are not included.
(b) "Department's approved per-pupil allocation" for a
district or intermediate district shall be determined by dividing
the total amount allocated under this section for a fiscal year by
the full-time equated membership total for all pupils approved by
the department to be funded under this section for that fiscal year
for the district or intermediate district.
(3) A district or intermediate district educating pupils
described in this section at a residential child caring institution
may operate, and receive funding under this section for, a
department-approved on-grounds educational program for those pupils
that is longer than 181 days, but not longer than 233 days, if the
child caring institution was licensed as a child caring institution
and offered in 1991-92 an on-grounds educational program that was
longer than 181 days but not longer than 233 days and that was
operated by a district or intermediate district.
(4) Special education pupils funded under section 53a shall
not be funded under this section.
Sec. 24a. From the appropriation in section 11, there is
allocated
an amount not to exceed $2,195,500.00 for 2014-2015
$2,189,800.00 for 2015-2016 for payments to intermediate districts
for pupils who are placed in juvenile justice service facilities
operated by the department of health and human services. Each
intermediate district shall receive an amount equal to the state
share of those costs that are clearly and directly attributable to
the educational programs for pupils placed in facilities described
in this section that are located within the intermediate district's
boundaries. The intermediate districts receiving payments under
this section shall cooperate with the department of health and
human services to ensure that all funding allocated under this
section is utilized by the intermediate district and department of
health and human services for educational programs for pupils
described in this section. Pupils described in this section are not
eligible to be funded under section 24. However, a program
responsibility or other fiscal responsibility associated with these
pupils shall not be transferred from the department of health and
human services to a district or intermediate district unless the
district or intermediate district consents to the transfer.
Sec. 24c. From the appropriation in section 11, there is
allocated
an amount not to exceed $1,500,000.00 for 2014-2015
$1,497,400.00 for 2015-2016 for payments to districts for pupils
who are enrolled in a nationally administered community-based
education and youth mentoring program, known as the youth challenge
program, that is administered by the department of military and
veterans affairs. Both of the following apply to a district
receiving payments under this section:
(a) The district shall contract with the department of
military and veterans affairs to ensure that all funding allocated
under this section is utilized by the district and the department
of military and veterans affairs for the youth challenge program.
(b) The district may retain for its administrative expenses an
amount not to exceed 3% of the amount of the payment the district
receives under this section.
Sec. 25e. (1) The pupil membership transfer application and
pupil transfer process administered by the center under this
section shall be used for processing pupil transfers.
(2) If a pupil counted in membership for the pupil membership
count day transfers from a district or intermediate district to
enroll in another district or intermediate district after the pupil
membership count day and before the supplemental count day and, due
to the pupil's enrollment and attendance status as of the pupil
membership count day, the pupil was not counted in membership in
the educating district or intermediate district, the educating
district or intermediate district may report the enrollment and
attendance information to the center through the pupil transfer
process within 30 days after the transfer or within 30 days after
the pupil membership count certification date, whichever is later.
Pupil transfers may be submitted no earlier than the first day
after the certification deadline for the pupil membership count day
and before the supplemental count day. Upon receipt of the transfer
information under this subsection indicating that a pupil has
enrolled and is in attendance in an educating district or
intermediate district as described in this subsection, the pupil
transfer process shall do the following:
(a) Notify the district in which the pupil was previously
enrolled.
(b) Notify both the pupil auditing staff of the intermediate
district in which the educating district is located and the pupil
auditing staff of the intermediate district in which the district
that previously enrolled the pupil is located. The pupil auditing
staff shall investigate a representative sample based on required
audit sample sizes in the pupil auditing manual and may deny the
pupil membership transfer.
(c) Aggregate the districtwide changes and notify the
department for use in adjusting the state aid payment system.
(3) The department shall do all of the following:
(a) Adjust the membership calculation for each district or
intermediate district in which the pupil was previously counted in
membership or that previously received an adjustment in its
membership calculation under this section due to a change in the
pupil's enrollment and attendance so that the district's or
intermediate district's membership is prorated to allow the
district or intermediate district to receive for each school day,
as determined by the financial calendar furnished by the center, in
which the pupil was enrolled and in attendance in the district or
intermediate district an amount equal to 1/105 of a full-time
equated membership claimed in the fall pupil membership count. The
district or intermediate district shall receive a prorated
foundation allowance in an amount equal to the product of the
adjustment under this subdivision for the district or intermediate
district multiplied by the foundation allowance or per-pupil
payment as calculated under section 20 for the district or
intermediate district. The foundation allowance or per-pupil
payment shall be adjusted by the pupil's full-time equated status
as affected by the membership definition under section 6(4).
(b) Adjust the membership calculation for the educating
district or intermediate district in which the pupil is enrolled
and is in attendance so that the district's or intermediate
district's membership is increased to allow the district or
intermediate district to receive an amount equal to the difference
between the full-time equated membership claimed in the fall pupil
membership count and the sum of the adjustments calculated under
subdivision (a) for each district or intermediate district in which
the pupil was previously enrolled and in attendance. The educating
district or intermediate district shall receive a prorated
foundation allowance in an amount equal to the product of the
adjustment under this subdivision for the educating district or
intermediate district multiplied by the foundation allowance or
per-pupil payment as calculated under section 20 for the educating
district or intermediate district. The foundation allowance or per-
pupil payment shall be adjusted by the pupil's full-time equated
status as affected by the membership definition under section 6(4).
(4) The changes in calculation of state school aid required
under subsection (3) shall take effect as of the date that the
pupil becomes enrolled and in attendance in the educating district
or intermediate district, and the department shall base all
subsequent payments under this article for the fiscal year to the
affected districts or intermediate districts on this recalculation
of state school aid.
(5) If a pupil enrolls in an educating district or
intermediate district as described in subsection (2), the district
or intermediate district in which the pupil is counted in
membership or another educating district or intermediate district
that received an adjustment in its membership calculation under
subsection (3), if any, and the educating district or intermediate
district shall provide to the center and the department all
information they require to comply with this section.
(6)
Not later than December 1, 2014, the center in conjunction
with
the department shall report to the legislature data related to
the
implementation of this section, including, but not limited to,
the
number of transfer transactions and the net change in pupil
memberships
in 2013-2014 by district and intermediate district.
(6) (7)
The portion of the full-time
equated pupil membership
for which a pupil is enrolled in 1 or more online courses under
section 21f shall not be counted or transferred under the pupil
transfer process under this section.
(7) The center shall determine the number of pupils who did
not reside in this state as of the 2015-2016 pupil membership count
day but who newly enrolled in a district or intermediate district
after that pupil membership count day and before the 2015-2016
supplemental count day. The center shall further determine the
number of pupils who were counted in membership for the 2015-2016
pupil membership count day but who left this state before the 2015-
2016 supplemental count day. The center shall provide a report to
the senate and house appropriations subcommittees on state school
aid, and to the senate and house fiscal agencies, detailing the
number of pupils transferring in from another state or transferring
out from this state between the pupil membership count day and
supplemental count day as described in this subsection. The center
shall include in the report a discussion of benefits and obstacles
to developing a pupil enrollment process for pupils who newly
enroll in a district or intermediate district after the pupil
membership count day and before the supplemental count day, and
developing a process for deducting pupils who were counted on the
pupil membership count day and transfer out of this state before
the supplemental count day.
(8) As used in this section:
(a) "Educating district or intermediate district" means the
district or intermediate district in which a pupil enrolls after
the pupil membership count day or after an adjustment was made in
another district's or intermediate district's membership
calculation under this section due to the pupil's enrollment and
attendance.
(b) "Pupil" means that term as defined under section 6 and
also children receiving early childhood special education programs
and services.
Sec. 25f. (1) From the state school aid fund money
appropriated in section 11, there is allocated an amount not to
exceed
$2,000,000.00 for 2014-2015 $1,000,000.00
for 2015-2016 for
payments to strict discipline academies established under sections
1311b to 1311m of the revised school code, MCL 380.1311b to
380.1311m,
as provided under this section. and for the purposes
described
in subsection (5).
(2) In order to receive funding under this section, a strict
discipline academy shall first comply with section 25e and use the
pupil transfer process under that section for changes in enrollment
as prescribed under that section.
(3)
Not later than June 30, 2015, a strict discipline academy
shall
report to the center and to the department, in a manner
prescribed
by the center and the department, the following
information
for 2014-2015:
(a)
The number of pupils enrolled and in attendance at the
strict
discipline academy.
(b)
The number of days each pupil enrolled was in attendance
at
the strict discipline academy, not to exceed 180.
(4)
The amount of the payment to a strict discipline academy
under
this section shall be an amount equal to the difference
between
the product of 1/180 of the per-pupil payment as calculated
under
section 20 for the strict discipline academy multiplied by
the
number of days of pupil attendance reported under subsection
(3)(b)
minus the product of the per-pupil payment as calculated
under
section 20 for the strict discipline academy multiplied by
the
pupils in membership at the strict discipline academy as
calculated
under section 6 and as adjusted by section 25e.
(5)
If the operation of the special membership counting
provisions
under section 6(4)(dd) and the other membership counting
provisions
under section 6(4) result in a pupil being counted as
more
than 1.0 FTE in a fiscal year, then the payment made for the
pupil
under sections 22a and 22b shall not be based on more than
1.0
FTE for that pupil, and that portion of the FTE that exceeds
1.0
shall be paid under this section in an amount equal to that
portion
multiplied by the educating district's foundation allowance
or
per-pupil payment calculated under section 20.
(3) The total amount allocated to a strict discipline academy
under this section is an amount equal to the lesser of the strict
discipline academy's added cost or the department's approved per-
pupil allocation for the strict discipline academy. However, the
sum of the amounts received by a strict discipline academy under
this section and under section 24 shall not exceed the product of
the strict discipline academy's per-pupil allocation calculated
under section 20 multiplied by the strict discipline academy's
full-time equated membership. The department shall allocate funds
to strict discipline academies under this section on a monthly
basis. For the purposes of this subsection:
(a) "Added cost" means 100% of the added cost each fiscal year
for educating all pupils enrolled and in regular daily attendance
at a strict discipline academy. Added cost shall be computed by
deducting all other revenue received under this article for pupils
described in this subsection from total costs, as approved by the
department, in whole or in part, for educating those pupils in a
strict discipline academy. The department shall include all costs
including, but not limited to, educational costs, insurance,
management fees, technology costs, legal fees, auditing fees,
interest, pupil accounting costs, and any other administrative
costs necessary to operate the program or to comply with statutory
requirements. Costs reimbursed by federal funds are not included.
(b) "Department's approved per-pupil allocation" for a strict
discipline academy shall be determined by dividing the total amount
allocated under this subsection for a fiscal year by the full-time
equated membership total for all pupils approved by the department
to be funded under this subsection for that fiscal year for the
strict discipline academy.
(4) Special education pupils funded under section 53a shall
not be funded under this section.
(5) (6)
If the funds allocated under this
section are
insufficient
to fully fund the adjustments under subsections (4)
and
(5), subsection (3), payments under this section shall be
prorated on an equal per-pupil basis.
(6) (7)
Payments to districts under this
section shall be made
according to the payment schedule under section 17b.
Sec. 25g. (1) From the state school aid fund money
appropriated in section 11, there is allocated an amount not to
exceed $1,000,000.00 for 2015-2016 for the purposes of this
section. If the operation of the special membership counting
provisions under section 6(4)(dd) and the other membership counting
provisions under section 6(4) result in a pupil being counted as
more than 1.0 FTE in a fiscal year, then the payment made for the
pupil under sections 22a and 22b shall not be based on more than
1.0 FTE for that pupil, and that portion of the FTE that exceeds
1.0 shall be paid under this section in an amount equal to that
portion multiplied by the educating district's foundation allowance
or per-pupil payment calculated under section 20.
(2) Special education pupils funded under section 53a shall
not be funded under this section.
(3) If the funds allocated under this section are insufficient
to fully fund the adjustments under subsection (1), payments under
this section shall be prorated on an equal per-pupil basis.
(4) Payments to districts under this section shall be made
according to the payment schedule under section 17b.
Sec. 26a. From the funds appropriated in section 11, there is
allocated
an amount not to exceed $26,300,000.00 for 2014-2015
2015-2016 to reimburse districts and intermediate districts
pursuant to section 12 of the Michigan renaissance zone act, 1996
PA
376, MCL 125.2692, for taxes levied in 2014. 2015. The
allocations shall be made not later than 60 days after the
department of treasury certifies to the department and to the state
budget director that the department of treasury has received all
necessary information to properly determine the amounts due to each
eligible recipient.
Sec. 26b. (1) From the appropriation in section 11, there is
allocated
for 2014-2015 2015-2016 an amount not to exceed
$4,210,000.00
$4,276,800.00 for payments to districts, intermediate
districts, and community college districts for the portion of the
payment in lieu of taxes obligation that is attributable to
districts, intermediate districts, and community college districts
pursuant to section 2154 of the natural resources and environmental
protection act, 1994 PA 451, MCL 324.2154.
(2) If the amount appropriated under this section is not
sufficient to fully pay obligations under this section, payments
shall be prorated on an equal basis among all eligible districts,
intermediate districts, and community college districts.
Sec. 26c. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $293,100.00 for 2014-2015
$610,000.00 for 2015-2016 to the promise zone fund created in
subsection (3).
(2) Funds allocated to the promise zone fund under this
section shall be used solely for payments to eligible districts and
intermediate districts that have a promise zone development plan
approved by the department of treasury under section 7 of the
Michigan promise zone authority act, 2008 PA 549, MCL 390.1667.
(3) The promise zone fund is created as a separate account
within the state school aid fund to be used solely for the purposes
of the Michigan promise zone authority act, 2008 PA 549, MCL
390.1661 to 390.1679. All of the following apply to the promise
zone fund:
(a) The state treasurer shall direct the investment of the
promise zone fund. The state treasurer shall credit to the promise
zone fund interest and earnings from fund investments.
(b) Money in the promise zone fund at the close of a fiscal
year shall remain in the promise zone fund and shall not lapse to
the general fund.
(4) Subject to subsection (2), the state treasurer may make
payments from the promise zone fund to eligible districts and
intermediate districts pursuant to the Michigan promise zone
authority act, 2008 PA 549, MCL 390.1661 to 390.1679, to be used
for the purposes of a promise zone authority created under that
act.
Sec. 31a. (1) From the state school aid fund money
appropriated
in section 11, there is allocated for 2014-2015 2015-
2016
an amount not to exceed $317,695,500.00
$389,695,500.00 for
payments to eligible districts, eligible public school academies,
and the education achievement system for the purposes of ensuring
that pupils are proficient in reading by the end of grade 3 and
that high school graduates are career and college ready and for the
purposes
under subsections (6) and (7).(7)
and (8).
(2) For a district or public school academy, or the education
achievement system, to be eligible to receive funding under this
section,
other than funding under subsection (6) or (7), (7) or
(8), the sum of the district's or public school academy's or the
education achievement system's combined state and local revenue per
membership pupil in the current state fiscal year, as calculated
under section 20, must be less than or equal to the basic
foundation allowance under section 20 for the current state fiscal
year.
(3) For a district or public school academy that operates
grades K to 3, or the education achievement system, to be eligible
to receive funding under this section, other than funding under
subsection (7) or (8), the district or public school academy, or
the education achievement system, must implement, for at least
grades K to 3, a multi-tiered system of supports that is an
evidence-based model that uses data-driven problem solving to
integrate academic and behavioral instruction and that uses
intervention delivered to all pupils in varying intensities based
on pupil needs. This multi-tiered system of supports must provide
at least all of the following essential elements:
(a) Implements effective instruction for all learners.
(b) Intervenes early.
(c) Provides a multi-tiered model of instruction and
intervention that provides the following:
(i) A core curriculum and classroom interventions available to
all pupils that meet the needs of most pupils.
(ii) Targeted group interventions.
(iii) Intense individual interventions.
(d) Monitors pupil progress to inform instruction.
(e) Uses data to make instructional decisions.
(f) Uses assessments including universal screening,
diagnostics, and progress monitoring.
(g) Engages families and the community.
(h) Implements evidence-based, scientifically validated,
instruction and intervention.
(i) Implements instruction and intervention practices with
fidelity.
(j) Uses a collaborative problem-solving model.
(4) (3)
Except as otherwise provided in
this subsection, an
eligible district or eligible public school academy or the
education achievement system shall receive under this section for
each membership pupil in the district or public school academy or
the education achievement system who met the income eligibility
criteria for free breakfast, lunch, or milk, as determined under
the Richard B. Russell national school lunch act, 42 USC 1751 to
1769, and as reported to the department in the form and manner
prescribed by the department not later than the fifth Wednesday
after the pupil membership count day of the immediately preceding
fiscal year and adjusted not later than December 31 of the
immediately preceding fiscal year, an amount per pupil equal to
11.5% of the sum of the district's foundation allowance or the
public school academy's or the education achievement system's per
pupil amount calculated under section 20, not to exceed the basic
foundation allowance under section 20 for the current state fiscal
year, or of the public school academy's or the education
achievement system's per membership pupil amount calculated under
section 20 for the current state fiscal year. However, a public
school academy that began operations as a public school academy, or
an achievement school that began operations as an achievement
school, after the pupil membership count day of the immediately
preceding school year shall receive under this section for each
membership pupil in the public school academy or in the education
achievement system who met the income eligibility criteria for free
breakfast, lunch, or milk, as determined under the Richard B.
Russell national school lunch act and as reported to the department
not later than the fifth Wednesday after the pupil membership count
day of the current fiscal year and adjusted not later than December
31 of the current fiscal year, an amount per pupil equal to 11.5%
of the public school academy's or the education achievement
system's per membership pupil amount calculated under section 20
for the current state fiscal year.
(5) (4)
Except as otherwise provided in
this section, a
district or public school academy, or the education achievement
system, receiving funding under this section shall use that money
only to provide instructional programs and direct noninstructional
services, including, but not limited to, medical, mental health, or
counseling services, for at-risk pupils; for school health clinics;
and
for the purposes of subsection (5), (6), (7), or (10). (6),
(7), (8), or (11). In addition, a district that is a school
district of the first class or a district or public school academy
in which at least 50% of the pupils in membership met the income
eligibility criteria for free breakfast, lunch, or milk in the
immediately preceding state fiscal year, as determined and reported
as
described in subsection (3), (4),
or the education achievement
system if it meets this requirement, may use not more than 20% of
the funds it receives under this section for school security. A
district, the public school academy, or the education achievement
system shall not use any of that money for administrative costs.
The instruction or direct noninstructional services provided under
this section may be conducted before or after regular school hours
or by adding extra school days to the school year.
(6) (5)
A district or public school academy
that receives
funds under this section and that operates a school breakfast
program under section 1272a of the revised school code, MCL
380.1272a, or the education achievement system if it operates a
school breakfast program, shall use from the funds received under
this section an amount, not to exceed $10.00 per pupil for whom the
district or public school academy or the education achievement
system receives funds under this section, necessary to pay for
costs associated with the operation of the school breakfast
program.
(7) (6)
From the funds allocated under
subsection (1), there
is
allocated for 2014-2015 2015-2016
an amount not to exceed
$3,557,300.00 to support child and adolescent health centers. These
grants shall be awarded for 5 consecutive years beginning with
2003-2004 in a form and manner approved jointly by the department
and
the department of community health and human services. Each
grant recipient shall remain in compliance with the terms of the
grant award or shall forfeit the grant award for the duration of
the 5-year period after the noncompliance. To continue to receive
funding for a child and adolescent health center under this section
a grant recipient shall ensure that the child and adolescent health
center has an advisory committee and that at least one-third of the
members of the advisory committee are parents or legal guardians of
school-aged children. A child and adolescent health center program
shall recognize the role of a child's parents or legal guardian in
the physical and emotional well-being of the child. Funding under
this subsection shall be used to support child and adolescent
health center services provided to children up to age 21. If any
funds allocated under this subsection are not used for the purposes
of this subsection for the fiscal year in which they are allocated,
those unused funds shall be used that fiscal year to avoid or
minimize any proration that would otherwise be required under
subsection
(14) (12) for that fiscal year. In addition to the funds
otherwise allocated under this subsection, from the money allocated
in subsection (1), there is allocated an amount not to exceed
$2,000,000.00 for 2015-2016 only for child and adolescent health
centers to increase access to nurses and behavioral health services
in schools, using 3 existing school clinics as hubs for services
and using mobile teams to serve satellite school sites.
(8) (7)
From the funds allocated under
subsection (1), there
is
allocated for 2014-2015 2015-2016
an amount not to exceed
$5,150,000.00 for the state portion of the hearing and vision
screenings as described in section 9301 of the public health code,
1978 PA 368, MCL 333.9301. A local public health department shall
pay at least 50% of the total cost of the screenings. The frequency
of the screenings shall be as required under R 325.13091 to R
325.13096 and R 325.3271 to R 325.3276 of the Michigan
administrative code. Funds shall be awarded in a form and manner
approved
jointly by the department and the department of community
health and human services. Notwithstanding section 17b, payments to
eligible entities under this subsection shall be paid on a schedule
determined by the department.
(9) (8)
Each district or public school
academy receiving funds
under this section and the education achievement system shall
submit to the department by July 15 of each fiscal year a report,
not to exceed 10 pages, on the usage by the district or public
school academy or the education achievement system of funds under
this section, which report shall include a brief description of
each program conducted or services performed by the district or
public school academy or the education achievement system using
funds under this section, the amount of funds under this section
allocated to each of those programs or services, the total number
of at-risk pupils served by each of those programs or services, and
the data necessary for the department and the department of human
services to verify matching funds for the temporary assistance for
needy families program. If a district or public school academy or
the education achievement system does not comply with this
subsection, the department shall withhold an amount equal to the
August payment due under this section until the district or public
school academy or the education achievement system complies with
this subsection. If the district or public school academy or the
education achievement system does not comply with this subsection
by the end of the state fiscal year, the withheld funds shall be
forfeited to the school aid fund.
(10) (9)
In order to receive funds under
this section, a
district or public school academy or the education achievement
system shall allow access for the department or the department's
designee to audit all records related to the program for which it
receives those funds. The district or public school academy or the
education achievement system shall reimburse the state for all
disallowances found in the audit.
(11) (10)
Subject to subsections (5), (6),
and (7), (6), (7),
and (8), a district may use up to 100% of the funds it receives
under this section to implement schoolwide reform in schools with
40% or more of their pupils identified as at-risk pupils by
providing supplemental instructional or noninstructional services
consistent with the school improvement plan.
(12) (11)
If necessary, and before any
proration required
under section 296, the department shall prorate payments under this
section by reducing the amount of the per pupil payment under this
section by a dollar amount calculated by determining the amount by
which the amount necessary to fully fund the requirements of this
section exceeds the maximum amount allocated under this section and
then dividing that amount by the total statewide number of pupils
who met the income eligibility criteria for free breakfast, lunch,
or milk in the immediately preceding fiscal year, as described in
subsection
(3).(4).
(13) (12)
If a district is formed by
consolidation after June
1,
1995, and if 1 or more of the original districts was were not
eligible before the consolidation for an additional allowance under
this section, the amount of the additional allowance under this
section for the consolidated district shall be based on the number
of pupils described in subsection (1) enrolled in the consolidated
district who reside in the territory of an original district that
was eligible before the consolidation for an additional allowance
under this section. In addition, if a district is dissolved
pursuant to section 12 of the revised school code, MCL 380.12, the
intermediate district to which the dissolved school district was
constituent shall determine the estimated number of pupils that
meet the income eligibility criteria for free breakfast, lunch, or
milk,
as described under subsection (3), (4), enrolled in each of
the other districts within the intermediate district and provide
that estimate to the department for the purposes of distributing
funds under this section within 60 days after the school district
is declared dissolved.
(14) (13)
As used in this section,
"at-risk pupil" means a
pupil for whom the district has documentation that the pupil meets
any of the following criteria:
(a) Is a victim of child abuse or neglect.
(b) Is a pregnant teenager or teenage parent.
(c) Has a family history of school failure, incarceration, or
substance abuse.
(d)
For pupils for whom the results of the Michigan merit
examination
state summative assessment have been received, is a
pupil
who does not meet the other criteria under this subsection
but
who did not achieve proficiency on
the reading, writing,
English language arts, mathematics, science, or social studies
components
of the most recent Michigan merit examination for which
results
for the pupil have been received. content
area assessment.
(e)
For pupils in grades K-3, is Is
a pupil who is at risk of
not meeting the district's core academic curricular objectives in
English language arts or mathematics, as demonstrated on local
assessments.
(f) The pupil is enrolled in a priority or priority-successor
school, as defined in the elementary and secondary education act of
2001
flexibility waiver approved by the United States department of
education.Department of Education.
(g)
The pupil did not achieve a score of at least proficient
on
2 or more state-administered assessments for English language
arts,
mathematics, science, or social studies.
(h)
For high school pupils in grades not assessed by the
state,
the pupil did not receive a satisfactory score on 2 or more
end-of-course
examinations that are aligned with state standards in
English
language arts, mathematics, science, or social studies. For
middle
school pupils in grades not assessed by the state, the pupil
did
not receive a satisfactory score on 2 or more end-of-semester
or
end-of-trimester examinations that are aligned with state
standards
in science or social studies. For pupils in the
elementary
grades in grades and subjects not assessed by the state,
the
pupil did not receive a satisfactory score or did not have a
satisfactory
outcome on 2 or more interim assessments in English
language
arts, mathematics, science, or social studies.
(g) (i)
In the absence of state or local
assessment data, the
pupil meets at least 2 of the following criteria, as documented in
a form and manner approved by the department:
(i) The pupil is eligible for free or reduced price breakfast,
lunch, or milk.
(ii) The pupil is absent more than 10% of enrolled days or 10
school days during the school year.
(iii) The pupil is homeless.
(iv) The pupil is a migrant.
(v) The pupil is an English language learner.
(vi) The pupil is an immigrant who has immigrated within the
immediately preceding 3 years.
(vii) The pupil did not complete high school in 4 years and is
still continuing in school as identified in the Michigan cohort
graduation and dropout report.
(15) (14)
Beginning in 2014-2015, if If
a district, public
school academy, or the education achievement system does not
demonstrate to the satisfaction of the department that at least 50%
of at-risk pupils are reading at grade level by the end of grade 3
as measured by the state assessment and demonstrate to the
satisfaction of the department improvement over 3 consecutive years
in the percentage of at-risk pupils that are career- and college-
ready
as measured by the pupil's score on each of the individual
subject
areas on the college entrance examination portion of the
Michigan
merit examination determined
by proficiency on the English
language arts, mathematics, and science content area assessments on
the grade 11 summative assessment under section 1279g(2)(a) of the
revised school code, MCL 380.1279g, the district, public school
academy, or education achievement system shall ensure all of the
following:
(a) The district, public school academy, or the education
achievement system shall determine the proportion of total at-risk
pupils that represents the number of pupils in grade 3 that are not
reading at grade level by the end of grade 3, and the district,
public school academy, or the education achievement system shall
expend that same proportion multiplied by 1/2 of its total at-risk
funds under this section on tutoring and other methods of improving
grade 3 reading levels.
(b) The district, public school academy, or the education
achievement system shall determine the proportion of total at-risk
pupils that represent the number of pupils in grade 11 that are not
career- and college-ready as measured by the student's score on
each
of the individual subject areas on the college entrance
examination
portion of the Michigan merit examination the English
language arts, mathematics, and science content area assessments on
the grade 11 summative assessment under section 1279g(2)(a) of the
revised school code, MCL 380.1279g, and the district, public school
academy, or the education achievement system shall expend that same
proportion multiplied by 1/2 of its total at-risk funds under this
section on tutoring and other activities to improve scores on the
college entrance examination portion of the Michigan merit
examination.
(16) (15)
As used in subsection (14), (15), "total
at risk
pupils" means the sum of the number of pupils in grade 3 that are
not reading at grade level by the end of third grade as measured on
the state assessment and the number of pupils in grade 11 that are
not career- and college-ready as measured by the student's score on
each
of the individual subject areas on the college entrance
examination
portion of the Michigan merit examination the English
language arts, mathematics, and science content area assessments on
the grade 11 summative assessment under section 1279g(2)(a) of the
revised school code, MCL 380.1279g.
(17) (16)
A district or public school academy
that receives
funds under this section or the education achievement system may
use funds received under this section to provide an anti-bullying
or crisis intervention program.
(18) The department shall collaborate with the department of
health and human services to prioritize assigning Pathways to
Potential Success coaches to elementary schools that have a high
percentage of pupils in grades K to 3 who are not reading at grade
level.
Sec. 31c. (1) from the funds appropriated in section 11, there
is allocated an amount not to exceed $1,000,000.00 for 2015-2016
for programs intended to improve public safety, reduce the number
of youth involved in gang-related activity, and increase high
school graduation rates.
(2) The department shall award grants to districts that form
partnerships with nonprofit organizations, law enforcement, and
other community resources to provide programs that divert young
adults from gang-related criminal activity.
(3) Grants awarded under this section may include, but are not
limited to, grants for any of the following activities:
(a) Employment training and placement programs.
(b) Counseling services.
(c) Assistance to program participants in accessing community
resources for continuing education, court advocacy, and health
care.
(d) Outreach programs to educate participants and their
families.
(4) Each grant recipient under this section shall partner with
a university to collect data necessary to evaluate the
effectiveness of programs in reducing violent crime and gang-
related activity in the community.
Sec. 31d. (1) From the appropriations in section 11, there is
allocated
an amount not to exceed $22,495,100.00 for 2014-2015
2015-2016 for the purpose of making payments to districts and other
eligible entities under this section.
(2) The amounts allocated from state sources under this
section shall be used to pay the amount necessary to reimburse
districts for 6.0127% of the necessary costs of the state mandated
portion of the school lunch programs provided by those districts.
The amount due to each district under this section shall be
computed by the department using the methods of calculation adopted
by the Michigan supreme court in the consolidated cases known as
Durant v State of Michigan, Michigan supreme court docket no.
104458-104492.
(3) The payments made under this section include all state
payments made to districts so that each district receives at least
6.0127% of the necessary costs of operating the state mandated
portion of the school lunch program in a fiscal year.
(4) The payments made under this section to districts and
other eligible entities that are not required under section 1272a
of the revised school code, MCL 380.1272a, to provide a school
lunch program shall be in an amount not to exceed $10.00 per
eligible pupil plus 5 cents for each free lunch and 2 cents for
each reduced price lunch provided, as determined by the department.
(5) From the federal funds appropriated in section 11, there
is
allocated for 2014-2015 2015-2016
all available federal funding,
estimated at $510,000,000.00 for the national school lunch program
and all available federal funding, estimated at $3,200,000.00 for
the emergency food assistance program.
(6) Notwithstanding section 17b, payments to eligible entities
other than districts under this section shall be paid on a schedule
determined by the department.
(7) In purchasing food for a school lunch program funded under
this section, preference shall be given to food that is grown or
produced by Michigan businesses if it is competitively priced and
of comparable quality.
Sec. 31f. (1) From the appropriations in section 11, there is
allocated
an amount not to exceed $5,625,000.00 for 2014-2015 2015-
2016 for the purpose of making payments to districts to reimburse
for the cost of providing breakfast.
(2) The funds allocated under this section for school
breakfast programs shall be made available to all eligible
applicant districts that meet all of the following criteria:
(a) The district participates in the federal school breakfast
program and meets all standards as prescribed by 7 CFR parts 220
and 245.
(b) Each breakfast eligible for payment meets the federal
standards described in subdivision (a).
(3) The payment for a district under this section is at a per
meal rate equal to the lesser of the district's actual cost or 100%
of the statewide average cost of a breakfast served, as determined
and approved by the department, less federal reimbursement,
participant payments, and other state reimbursement. The statewide
average cost shall be determined by the department using costs as
reported in a manner approved by the department for the preceding
school year.
(4) Notwithstanding section 17b, payments under this section
may be made pursuant to an agreement with the department.
(5) In purchasing food for a school breakfast program funded
under this section, preference shall be given to food that is grown
or produced by Michigan businesses if it is competitively priced
and of comparable quality.
Sec. 31h. From the funds appropriated in section 11, there is
allocated an amount not to exceed $300,000.00 for 2015-2016 for the
purpose of providing funding to a district that educates high
school pupils from another district that voluntarily closed its
high school program in 2013. The funding under this section is
intended to be for the first of 2 years, unless it is determined
that the federal elementary and secondary education act allows
federal title I funds that previously supported the high school
pupils in their resident district to instead be provided to the
educating district. Funding under this section shall be used to
support the additional costs of educating high school pupils in a
manner that is similar to the way title I funds provided additional
support to the education of those pupils when they were educated in
their resident district high school program before its closure in
2013.
Sec. 32d. (1) From the funds appropriated in section 11, there
is allocated to eligible intermediate districts and consortia of
intermediate districts for great start readiness programs an amount
not
to exceed $214,275,000.00 for 2014-2015. In addition, from the
funds
appropriated in section 11, there is allocated to the great
start
readiness reserve fund created under subsection (19) an
amount
not to exceed $25,000,000.00 for 2014-2015. $239,275,000.00
for 2015-2016. Funds allocated under this section for great start
readiness programs shall be used to provide part-day, school-day,
or GSRP/head start blended comprehensive free compensatory
classroom programs designed to improve the readiness and subsequent
achievement of educationally disadvantaged children who meet the
participant eligibility and prioritization guidelines as defined by
the department. For a child to be eligible to participate in a
program under this section, the child shall be at least 4, but less
than 5, years of age as of the date specified for determining a
child's eligibility to attend school under section 1147 of the
revised school code, MCL 380.1147.
(2) Funds allocated under subsection (1) shall be allocated to
intermediate districts or consortia of intermediate districts based
on the formula in section 39. An intermediate district or
consortium of intermediate districts receiving funding under this
section shall act as the fiduciary for the great start readiness
programs. In order to be eligible to receive funds allocated under
this subsection from an intermediate district or consortium of
intermediate districts, a district, a consortium of districts, or a
public or private for-profit or nonprofit legal entity or agency
shall comply with this section and section 39.
(3) In addition to the allocation under subsection (1), from
the general fund money appropriated under section 11, there is
allocated
an amount not to exceed $300,000.00 for 2014-2015 2015-
2016 for a competitive grant to continue a longitudinal evaluation
of children who have participated in great start readiness
programs.
(4) To be eligible for funding under this section, a program
shall prepare children for success in school through comprehensive
part-day, school-day, or GSRP/head start blended programs that
contain all of the following program components, as determined by
the department:
(a) Participation in a collaborative recruitment and
enrollment process to assure that each child is enrolled in the
program most appropriate to his or her needs and to maximize the
use of federal, state, and local funds.
(b) An age-appropriate educational curriculum that is in
compliance with the early childhood standards of quality for
prekindergarten children adopted by the state board.
(c) Nutritional services for all program participants
supported by federal, state, and local resources as applicable.
(d) Physical and dental health and developmental screening
services for all program participants.
(e) Referral services for families of program participants to
community social service agencies, including mental health
services, as appropriate.
(f) Active and continuous involvement of the parents or
guardians of the program participants.
(g) A plan to conduct and report annual great start readiness
program evaluations and continuous improvement plans using criteria
approved by the department.
(h) Participation in a school readiness advisory committee
convened as a workgroup of the great start collaborative that
provides for the involvement of classroom teachers, parents or
guardians of program participants, and community, volunteer, and
social service agencies and organizations, as appropriate. The
advisory committee annually shall review and make recommendations
regarding the program components listed in this subsection. The
advisory committee also shall make recommendations to the great
start collaborative regarding other community services designed to
improve all children's school readiness.
(i) The ongoing articulation of the kindergarten and first
grade programs offered by the program provider.
(j) Participation in this state's great start to quality
process with a rating of at least 3 stars.
(5) An application for funding under this section shall
provide for the following, in a form and manner determined by the
department:
(a) Ensure compliance with all program components described in
subsection (4).
(b) Except as otherwise provided in this subdivision, ensure
that at least 90% of the children participating in an eligible
great start readiness program for whom the intermediate district is
receiving funds under this section are children who live with
families with a household income that is equal to or less than 250%
of the federal poverty level. If the intermediate district
determines that all eligible children are being served and that
there are no children on the waiting list under section 39(1)(d)
who live with families with a household income that is equal to or
less than 250% of the federal poverty level, the intermediate
district may then enroll children who live with families with a
household income that is equal to or less than 300% of the federal
poverty level. The enrollment process shall consider income and
risk factors, such that children determined with higher need are
enrolled before children with lesser need. For purposes of this
subdivision, all age-eligible children served in foster care or who
are experiencing homelessness or who have individualized education
plans recommending placement in an inclusive preschool setting
shall be considered to live with families with household income
equal to or less than 250% of the federal poverty level regardless
of actual family income.
(c) Ensure that the applicant only uses qualified personnel
for this program, as follows:
(i) Teachers possessing proper training. A lead teacher must
have a valid teaching certificate with an early childhood (ZA or
ZS) endorsement or a bachelor's degree in child development or
early child development with specialization in preschool teaching.
However, if an applicant demonstrates to the department that it is
unable to fully comply with this subparagraph after making
reasonable efforts to comply, teachers who have significant but
incomplete training in early childhood education or child
development may be used if the applicant provides to the
department, and the department approves, a plan for each teacher to
come into compliance with the standards in this subparagraph. A
teacher's compliance plan must be completed within 2 years of the
date of employment. Progress toward completion of the compliance
plan shall consist of at least 2 courses per calendar year.
(ii) Paraprofessionals possessing proper training in early
childhood development, including an associate's degree in early
childhood education or child development or the equivalent, or a
child development associate (CDA) credential. However, if an
applicant demonstrates to the department that it is unable to fully
comply with this subparagraph after making reasonable efforts to
comply, the applicant may use paraprofessionals who have completed
at least 1 course that earns college credit in early childhood
education or child development if the applicant provides to the
department, and the department approves, a plan for each
paraprofessional to come into compliance with the standards in this
subparagraph. A paraprofessional's compliance plan must be
completed within 2 years of the date of employment. Progress toward
completion of the compliance plan shall consist of at least 2
courses or 60 clock hours of training per calendar year.
(d) Include a program budget that contains only those costs
that are not reimbursed or reimbursable by federal funding, that
are clearly and directly attributable to the great start readiness
program, and that would not be incurred if the program were not
being offered. Eligible costs include transportation costs. The
program budget shall indicate the extent to which these funds will
supplement other federal, state, local, or private funds. Funds
received under this section shall not be used to supplant any
federal funds received by the applicant to serve children eligible
for a federally funded preschool program that has the capacity to
serve those children.
(6) For a grant recipient that enrolls pupils in a school-day
program funded under this section, each child enrolled in the
school-day program shall be counted as 2 children served by the
program for purposes of determining the number of children to be
served and for determining the amount of the grant award. A grant
award shall not be increased solely on the basis of providing a
school-day program.
(7) For a grant recipient that enrolls pupils in a GSRP/head
start blended program, the grant recipient shall ensure that all
head start and GSRP policies and regulations are applied to the
blended slots, with adherence to the highest standard from either
program, to the extent allowable under federal law.
(8) An intermediate district or consortium of intermediate
districts receiving a grant under this section shall designate an
early childhood coordinator, and may provide services directly or
may contract with 1 or more districts or public or private for-
profit or nonprofit providers that meet all requirements of
subsection (4).
(9) Funds received under this section may be retained for
administrative services as follows:
(a) For the portion of the total grant amount for which
services are provided directly by an intermediate district or
consortium of intermediate districts, the intermediate district or
consortium of intermediate districts may retain an amount equal to
not more than 7% of that portion of the grant amount.
(b) For the portion of the total grant amount for which
services are contracted, the intermediate district or consortium of
intermediate districts receiving the grant may retain an amount
equal
to not more than 2% 4% of that portion of the grant amount
and the subrecipients engaged by the intermediate district to
provide program services may retain for administrative services an
amount
equal to not more than 5% 4%
of that portion of the grant
amount.
(10) An intermediate district or consortium of intermediate
districts may expend not more than 2% of the total grant amount for
outreach, recruiting, and public awareness of the program.
(11) Each grant recipient shall enroll children identified
under subsection (5)(b) according to how far the child's household
income is below 250% of the federal poverty level by ranking each
applicant child's household income from lowest to highest and
dividing the applicant children into quintiles based on how far the
child's household income is below 250% of the federal poverty
level, and then enrolling children in the quintile with the lowest
household income before enrolling children in the quintile with the
next lowest household income until slots are completely filled. If
the grant recipient determines that all eligible children are being
served and that there are no children on the waiting list under
section 39(1)(d) who live with families with a household income
that is equal to or less than 250% of the federal poverty level,
the grant recipient may then enroll children who live with families
with a household income that is equal to or less than 300% of the
federal poverty level. The enrollment process shall consider income
and risk factors, such that children determined with higher need
are enrolled before children with lesser need. For purposes of this
subdivision, all age-eligible children served in foster care or who
are experiencing homelessness or who have individualized education
plans recommending placement in an inclusive preschool setting
shall be considered to live with families with household income
equal to or less than 250% of the federal poverty level regardless
of actual family income.
(12) An intermediate district or consortium of intermediate
districts receiving a grant under this section shall allow parents
of eligible children who are residents of the intermediate district
or within the consortium to choose a program operated by or
contracted with another intermediate district or consortium of
intermediate districts and shall pay to the educating intermediate
district or consortium the per-child amount attributable to each
child enrolled pursuant to this sentence, as determined under
section 39.
(13) An intermediate district or consortium of intermediate
districts receiving a grant under this section shall conduct a
local process to contract with interested and eligible public and
private for-profit and nonprofit community-based providers that
meet all requirements of subsection (4) for at least 30% of its
total slot allocation. The intermediate district or consortium
shall report to the department, in a manner prescribed by the
department, a detailed list of community-based providers by
provider type, including private for-profit, private nonprofit,
community college or university, head start grantee or delegate,
and district or intermediate district, and the number and
proportion of its total slot allocation allocated to each provider
as subrecipient. If the intermediate district or consortium is not
able to contract for at least 30% of its total slot allocation, the
grant recipient shall notify the department and, if the department
verifies that the intermediate district or consortium attempted to
contract for at least 30% of its total slot allocation and was not
able to do so, then the intermediate district or consortium may
retain and use all of its allocated slots as provided under this
section. To be able to use this exemption, the intermediate
district or consortium shall demonstrate to the department that the
intermediate district or consortium increased the percentage of its
total slot allocation for which it contracts with a community-based
provider and the intermediate district or consortium shall submit
evidence satisfactory to the department, and the department must be
able to verify this evidence, demonstrating that the intermediate
district or consortium took measures to contract for at least 30%
of its total slot allocation as required under this subsection,
including, but not limited to, at least all of the following
measures:
(a) The intermediate district or consortium notified each
licensed child care center located in the service area of the
intermediate district or consortium at least twice regarding the
center's eligibility to participate. One of these notifications may
be made electronically, but at least 1 of these notifications shall
be made via hard copy through the United States mail. At least 1 of
these notifications shall be made within 7 days after the
intermediate district or consortium receives notice from the
department of its slot allocations.
(b) The intermediate district or consortium provided to each
licensed child care center located in the service area of the
intermediate district or consortium information regarding great
start readiness program requirements and a description of the
application and selection process for community-based providers.
(c) The intermediate district or consortium provided to the
public and to participating families a list of community-based
great start readiness program subrecipients with a great start to
quality rating of at least 3 stars.
(14) If an intermediate district or consortium of intermediate
districts receiving a grant under this section fails to submit
satisfactory evidence to demonstrate its effort to contract for at
least 30% of its total slot allocation, as required under
subsection (1), the department shall reduce the slots allocated to
the intermediate district or consortium by a percentage equal to
the difference between the percentage of an intermediate district's
or consortium's total slot allocation awarded to community-based
providers and 30% of its total slot allocation.
(15) In order to assist intermediate districts and consortia
in complying with the requirement to contract with community-based
providers for at least 30% of their total slot allocation, the
department shall do all of the following:
(a) Ensure that a great start resource center or the
department provides each intermediate district or consortium
receiving a grant under this section with the contact information
for each licensed child care center located in the service area of
the intermediate district or consortium by March 1 of each year.
(b) Provide, or ensure that an organization with which the
department contracts provides, a community-based provider with a
validated great start to quality rating within 90 days of the
provider's having submitted a request and self-assessment.
(c) Ensure that all intermediate district, district, community
college or university, head start grantee or delegate, private for-
profit, and private nonprofit providers are subject to a single
great start to quality rating system. The rating system shall
ensure that regulators process all prospective providers at the
same pace on a first-come, first-served basis and shall not allow 1
type of provider to receive a great start to quality rating ahead
of any other type of provider.
(d) Not later than November 1 of each year, compile the
results of the information reported by each intermediate district
or consortium under subsection (10) and report to the legislature a
list by intermediate district or consortium with the number and
percentage of each intermediate district's or consortium's total
slot allocation allocated to community-based providers by provider
type, including private for-profit, private nonprofit, community
college or university, head start grantee or delegate, and district
or intermediate district.
(16) A recipient of funds under this section shall report to
the department in a form and manner prescribed by the department
the number of children participating in the program who meet the
income eligibility criteria under subsection (5)(b) and the total
number of children participating in the program. For children
participating in the program who meet the income eligibility
criteria specified under subsection (5)(b), a recipient shall also
report whether or not a parent is available to provide care based
on employment status. For the purposes of this subsection,
"employment status" shall be defined by the department of human
services in a manner consistent with maximizing the amount of
spending that may be claimed for temporary assistance for needy
families maintenance of effort purposes.
(17) As used in this section:
(a) "GSRP/head start blended program" means a part-day program
funded under this section and a head start program, which are
combined for a school-day program.
(b) "Part-day program" means a program that operates at least
4 days per week, 30 weeks per year, for at least 3 hours of
teacher-child contact time per day but for fewer hours of teacher-
child contact time per day than a school-day program.
(c) "School-day program" means a program that operates for at
least the same length of day as a district's first grade program
for a minimum of 4 days per week, 30 weeks per year. A classroom
that offers a school-day program must enroll all children for the
school day to be considered a school-day program.
(18) An intermediate district or consortium of intermediate
districts receiving funds under this section shall establish a
sliding scale of tuition rates based upon household income for
children participating in an eligible great start readiness program
who live with families with a household income that is more than
250% of the federal poverty level to be used by all of its
providers, as approved by the department. A grant recipient shall
charge tuition according to that sliding scale of tuition rates on
a uniform basis for any child who does not meet the income
eligibility requirements under this section.
(19)
The great start readiness reserve fund is created as a
separate
account within the state school aid fund established by
section
11 of article IX of the state constitution of 1963. Money
available
in the great start readiness reserve fund may not be
expended
for 2014-2015 unless transferred by the legislature not
later
than December 15, 2014 to the allocation under subsection (1)
for
great start readiness programs. Money in the great start
readiness
reserve fund shall be expended only for purposes for
which
state school aid fund money may be expended. The state
treasurer
shall direct the investment of the great start readiness
reserve
fund. The state treasurer shall credit to the great start
readiness
reserve fund interest and earnings from fund investments.
Money
in the great start readiness reserve fund at the close of a
fiscal
year shall remain in the great start readiness reserve fund
and
shall not lapse to the unreserved school aid fund balance or
the
general fund.
(19) (20)
From the amount appropriated in
subsection (1),
there is allocated an amount not to exceed $10,000,000.00 for
reimbursement of transportation costs for children attending great
start readiness programs funded under this section. To receive
reimbursement under this subsection, not later than November 1,
2014,
2015, a program funded under this section that provides
transportation shall submit to the intermediate district that is
the fiscal agent for the program a projected transportation budget.
The amount of the reimbursement for transportation under this
subsection
shall be the lesser of no
more than the projected
transportation budget or $150.00 multiplied by the number of slots
funded for the program under this section. If the amount allocated
under this subsection is insufficient to fully reimburse the
transportation costs for all programs that provide transportation
and submit the required information, the reimbursement shall be
prorated in an equal amount per slot funded. Payments shall be made
to the intermediate district that is the fiscal agent for each
program, and the intermediate district shall then reimburse the
program provider for transportation costs as prescribed under this
subsection.
Sec. 32p. (1) From the school aid fund appropriation in
section 11, there is allocated an amount not to exceed
$10,900,000.00
$13,400,000.00 to intermediate districts for 2014-
2015
2015-2016 for the purpose of providing early childhood funding
to
intermediate school districts in block grants, supporting to
support the activities under subsection (2) and subsection (4), and
providing
to provide early childhood programs for children from
birth through age 8. The funding provided to each intermediate
district under this section shall be determined by the distribution
formula established by the department's office of great start to
provide equitable funding statewide. In order to receive funding
under this section, each intermediate district shall provide an
application to the office of great start not later than September
15 of the immediately preceding fiscal year indicating the
activities planned to be provided.
(2) Each intermediate district or consortium of intermediate
districts that receives funding under this section shall convene a
local great start collaborative and a parent coalition. The goal of
each great start collaborative and parent coalition shall be to
ensure the coordination and expansion of local early childhood
infrastructure and programs that allow every child in the community
to achieve the following outcomes:
(a) Children born healthy.
(b) Children healthy, thriving, and developmentally on track
from birth to third grade.
(c) Children developmentally ready to succeed in school at the
time of school entry.
(d) Children prepared to succeed in fourth grade and beyond by
reading proficiently by the end of third grade.
(3) Each local great start collaborative and parent coalition
shall convene workgroups to make recommendations about community
services designed to achieve the outcomes described in subsection
(2) and to ensure that its local great start system includes the
following supports for children from birth through age 8:
(a) Physical health.
(b) Social-emotional health.
(c) Family supports and basic needs.
(d)
Parent education. and child advocacy.
(e) Early education and care.
(4) From the funds allocated in subsection (1), at least
$2,500,000.00 shall be used for the purpose of providing home
visits to at-risk children and their families. The home visits
shall be conducted as part of a locally coordinated, family-
centered, evidence-based, data-driven home visit strategic plan
that is approved by the department. The goals of the home visits
funded under this subsection shall be to improve school readiness,
reduce the number of pupils retained in grade level, and reduce the
number of pupils requiring special education services. The
department shall coordinate the goals of the home visit strategic
plans approved under this subsection with other state agency home
visit programs in a way that strengthens Michigan's home visiting
infrastructure and maximizes federal funds available for the
purposes of at-risk family home visits.
(5) (4)
Not later than December 1 of each
year, each
intermediate district shall provide a report to the department
detailing the activities actually provided during the immediately
preceding school year and the families and children actually
served. At a minimum, the report shall include an evaluation of the
services provided with additional funding under subsection (4) for
home visits, using the goals identified in subsection (4) as the
basis for the evaluation, including the degree to which school
readiness was improved, any change in the number of pupils retained
at grade level, and any change in the number of pupils receiving
special education services. The department shall compile and
summarize these reports and submit its summary to the house and
senate appropriations subcommittees on school aid and to the house
and senate fiscal agencies not later than February 15 of each year.
(6) (5)
An intermediate district or
consortium of intermediate
districts that receives funding under this section may carry over
any unexpended funds received under this section into the next
fiscal year and may expend those unused funds through June 30 of
the next fiscal year. A recipient of a grant shall return any
unexpended grant funds to the department in the manner prescribed
by the department not later than September 30 of the next fiscal
year after the fiscal year in which the funds are received.
Sec. 35. (1) The funds allocated under section 35a shall be
used for programs to ensure children are reading at grade level by
the end of grade 3. The superintendent shall designate staff or
contracted employees funded under section 35a as critical shortage.
Programs funded under section 35a are intended to ensure that this
state will be in the top 10 most improved states in grade 4 reading
proficiency by the 2019 National Assessment of Educational Progress
(NAEP) and will be in the top 10 states overall in grade 4 reading
proficiency by 2025.
(2) From the general fund appropriation in section 11, there
is allocated to the department an amount not to exceed
$1,000,000.00 for 2015-2016 for implementation costs associated
with programs funded under section 35a.
(3) From the amount allocated under subsection (2), there is
allocated an amount not to exceed $100,000.00 for the purpose of
performing an evaluation of the pilot programs under section 35a(2)
in a manner approved by the department. The evaluation report shall
include at least all of the following:
(a) A description of the components of the pilot programs that
were effective in helping parents prepare their children for
success in school.
(b) A description of any barriers that parents and their
children encountered that prevented them from participating in the
pilot programs.
(c) An assessment of whether these pilot programs should be
expanded to other locations in the state.
Sec. 35a. (1) From the appropriations in section 11, there is
allocated for 2015-2016 for the purposes of this section an amount
not to exceed $23,900,000.00 from the state school aid fund
appropriation and an amount not to exceed $1,500,000.00 from the
general fund appropriation.
(2) From the allocations under subsection (1), there is
allocated an amount not to exceed $1,000,000.00 for 2015-2016 for
the purpose of conducting parent education pilot programs for
parents of children less than 4 years of age so that children are
developmentally ready to succeed in school at the time of school
entry. All of the following apply to programs funded under this
subsection:
(a) The department shall develop a competitive application
process and method of grant distribution consistent with the
provisions of this subsection. The amount of a grant award to a
pilot program shall be an amount equal to the number of children
residing in the district or consortium of districts operating the
program who are younger than 4 years of age as of the date
specified for determining a child's eligibility to attend school
under section 1147 of the revised school code, MCL 380.1147,
multiplied by $120.00 per child or $130,000.00, whichever is less.
The department shall ensure that grants are awarded in each
prosperity region or subregion.
(b) An application for a competitive grant under this
subsection shall be submitted by an intermediate district on behalf
of a district or consortium of districts within the intermediate
district. The application shall be submitted in a form and manner
approved by the department and shall contain at least the following
components:
(i) A description of the program design including the names of
the district or consortium of districts that will operate the
program, the physical location of the program, and the anticipated
number of families that will be served.
(ii) An assurance that the program will be supervised by a
teacher who has a valid teaching certificate with an early
childhood (ZA or ZS) endorsement, a valid teaching certificate in
career education with both a KH and VH endorsement, a bachelor's
degree in child development or early child development, or a
bachelor's degree related to adult learning.
(iii) An estimate of the number of families residing in the
district or consortium of districts that will operate the pilot
program that have at least 1 child less than 4 years of age as of
the date specified for determining a child's eligibility to attend
school under section 1147 of the revised school code, MCL 380.1147.
(iv) A description of the public awareness and outreach
efforts that will be made.
(v) An assurance that the intermediate district and the
district or consortium of districts operating the program will
provide information in a form and manner as approved by the
department to allow for an evaluation of the pilot projects.
(vi) A description of the sliding fee scale that will be
established for tuition, with fees reduced or waived for those