FIRST CONFERENCE REPORT
The Committee of Conference on the matters of difference between the two Houses concerning
Senate Bill No. 801, entitled
Recommends:
First: That the House recede from the Substitute of the House as passed by the House.
Second: That the Senate and House agree to the Substitute of the Senate as passed by the Senate, amended to read as follows:
(attached)
Third: That the Senate and House agree to the title of the bill to read as follows:
A bill to amend 1979 PA 94, entitled "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 3, 4, 6, 11, 11a, 11j, 11k, 11m, 11r, 15, 18, 19, 20, 20d, 20f, 20g, 21f, 22a, 22b, 22d, 22g, 23a, 24, 24a, 24c, 25e, 25f, 25g, 26a, 26b, 26c, 31a, 31c, 31d, 31f, 31h, 32d, 32p, 35, 35a, 39, 39a, 41, 51a, 51c, 51d, 53a, 54, 55, 56, 61a, 61b, 62, 64b, 65, 67, 74, 81, 94, 94a, 98, 99h, 99s, 101, 102d, 104, 104b, 104c, 104d, 107, 147, 147a, 147c, 152a, 166, 166b, 201, 201a, 202a, 203, 206, 207, 207a, 207b, 207c, 209, 210b, 212, 217, 219, 220, 222, 223, 224, 225, 226, 229a, 230, 236, 236a, 236b, 236c, 237b, 241, 246, 251, 252, 254, 256, 263, 263a, 264, 265, 265a, 267, 268, 269, 270, 274, 274c, 275, 276, 277, 278, 279, 280, 281, 282, 283, 284, and 290 (MCL 388.1603, 388.1604, 388.1606, 388.1611, 388.1611a, 388.1611j, 388.1611k, 388.1611m, 388.1611r, 388.1615, 388.1618, 388.1619, 388.1620, 388.1620d, 388.1620f, 388.1620g, 388.1621f, 388.1622a, 388.1622b, 388.1622d, 388.1622g, 388.1623a, 388.1624, 388.1624a, 388.1624c, 388.1625e, 388.1625f, 388.1625g, 388.1626a, 388.1626b, 388.1626c, 388.1631a, 388.1631c, 388.1631d, 388.1631f, 388.1631h, 388.1632d, 388.1632p, 388.1635, 388.1635a, 388.1639, 388.1639a, 388.1641, 388.1651a, 388.1651c, 388.1651d, 388.1653a, 388.1654, 388.1655, 388.1656, 388.1661a, 388.1661b, 388.1662, 388.1664b, 388.1665, 388.1667, 388.1674, 388.1681, 388.1694, 388.1694a, 388.1698, 388.1699h, 388.1699s, 388.1701, 388.1702d, 388.1704, 388.1704b, 388.1704c, 388.1704d, 388.1707, 388.1747, 388.1747a, 388.1747c, 388.1752a, 388.1766, 388.1766b, 388.1801, 388.1801a, 388.1802a, 388.1803, 388.1806, 388.1807, 388.1807a, 388.1807b, 388.1807c, 388.1809, 388.1810b, 388.1812, 388.1817, 388.1819, 388.1820, 388.1822, 388.1823, 388.1824, 388.1825, 388.1826, 388.1829a, 388.1830, 388.1836, 388.1836a, 388.1836b, 388.1836c, 388.1837b, 388.1841, 388.1846, 388.1851, 388.1852, 388.1854, 388.1856, 388.1863, 388.1863a, 388.1864, 388.1865, 388.1865a, 388.1867, 388.1868, 388.1869, 388.1870, 388.1874, 388.1874c, 388.1875, 388.1876, 388.1877, 388.1878, 388.1879, 388.1880, 388.1881, 388.1882, 388.1883, 388.1884, and 388.1890), section 3, 203, 207, 212, 219, 220, 223, 251, and 254 as amended and section 237b as added by 2012 PA 201, sections 4, 6, 98, 107, 230, and 256 as amended by 2016 PA 56, sections 11, 21f, 31a, and 32d as amended by 2015 PA 139, sections 11a, 11j, 11k, 11m, 11r, 15, 20, 20d, 20f, 20g, 22a, 22b, 22d, 22g, 23a, 24, 24a, 24c, 25e, 25f, 26a, 26b, 26c, 31d, 31f, 32p, 39, 39a, 41, 51a, 51c, 51d, 53a, 54, 56, 61a, 62, 64b, 74, 81, 94, 94a, 99h, 101, 104, 104b, 104c, 147, 147a, 147c, 152a, 201, 201a, 206, 207a, 207b, 207c, 209, 210b, 217, 222, 225, 226, 229a, 236, 236a, 236b, 236c, 241, 246, 252, 263, 263a, 264, 265, 265a, 267, 268, 269, 270, 274, 276, 277, 278, 279, 280, 281, 282, 283, and 284 as amended and sections 25g, 31c, 31h, 35, 35a, 55, 61b, 65, 67, 99s, 102d, 104d, and 274c as added by 2015 PA 85, section 18 as amended by 2015 PA 114, sections 19, 202a, 224, and 275 as amended by 2014 PA 196, section 166 as amended by 1996 PA 300, section 166b as amended by 2015 PA 222, and section 290 as amended by 2013 PA 60, and by adding sections 11o, 11s, 20m, 21, 21g, 31b, 31j, 32q, 54b, 61c, 63, 99t, 152b, 167a, 210e, 236d, and 286a; and to repeal acts and parts of acts.
_______________________ ________________________
Dave Hildenbrand Al Pscholka
_______________________ ________________________
Arlan B. Meekhof Tim Kelly
_______________________ ________________________
Hoon-Yung Hopgood Harvey Santana
Conferees for the Senate Conferees for the House
SUBSTITUTE FOR
SENATE BILL NO. 801
A bill to amend 1979 PA 94, entitled
"The state school aid act of 1979,"
by amending sections 3, 4, 6, 11, 11a, 11j, 11k, 11m, 11r, 15, 18,
19, 20, 20d, 20f, 20g, 21f, 22a, 22b, 22d, 22g, 23a, 24, 24a, 24c,
25e, 25f, 25g, 26a, 26b, 26c, 31a, 31c, 31d, 31f, 31h, 32d, 32p,
35, 35a, 39, 39a, 41, 51a, 51c, 51d, 53a, 54, 55, 56, 61a, 61b, 62,
64b, 65, 67, 74, 81, 94, 94a, 98, 99h, 99s, 101, 102d, 104, 104b,
104c, 104d, 107, 147, 147a, 147c, 152a, 166, 166b, 201, 201a, 202a,
203, 206, 207, 207a, 207b, 207c, 209, 210b, 212, 217, 219, 220,
222, 223, 224, 225, 226, 229a, 230, 236, 236a, 236b, 236c, 237b,
241, 246, 251, 252, 254, 256, 263, 263a, 264, 265, 265a, 267, 268,
269, 270, 274, 274c, 275, 276, 277, 278, 279, 280, 281, 282, 283,
284, and 290 (MCL 388.1603, 388.1604, 388.1606, 388.1611,
388.1611a, 388.1611j, 388.1611k, 388.1611m, 388.1611r, 388.1615,
388.1618, 388.1619, 388.1620, 388.1620d, 388.1620f, 388.1620g,
388.1621f, 388.1622a, 388.1622b, 388.1622d, 388.1622g, 388.1623a,
388.1624, 388.1624a, 388.1624c, 388.1625e, 388.1625f, 388.1625g,
388.1626a, 388.1626b, 388.1626c, 388.1631a, 388.1631c, 388.1631d,
388.1631f, 388.1631h, 388.1632d, 388.1632p, 388.1635, 388.1635a,
388.1639, 388.1639a, 388.1641, 388.1651a, 388.1651c, 388.1651d,
388.1653a, 388.1654, 388.1655, 388.1656, 388.1661a, 388.1661b,
388.1662, 388.1664b, 388.1665, 388.1667, 388.1674, 388.1681,
388.1694, 388.1694a, 388.1698, 388.1699h, 388.1699s, 388.1701,
388.1702d, 388.1704, 388.1704b, 388.1704c, 388.1704d, 388.1707,
388.1747, 388.1747a, 388.1747c, 388.1752a, 388.1766, 388.1766b,
388.1801, 388.1801a, 388.1802a, 388.1803, 388.1806, 388.1807,
388.1807a, 388.1807b, 388.1807c, 388.1809, 388.1810b, 388.1812,
388.1817, 388.1819, 388.1820, 388.1822, 388.1823, 388.1824,
388.1825, 388.1826, 388.1829a, 388.1830, 388.1836, 388.1836a,
388.1836b, 388.1836c, 388.1837b, 388.1841, 388.1846, 388.1851,
388.1852, 388.1854, 388.1856, 388.1863, 388.1863a, 388.1864,
388.1865, 388.1865a, 388.1867, 388.1868, 388.1869, 388.1870,
388.1874, 388.1874c, 388.1875, 388.1876, 388.1877, 388.1878,
388.1879, 388.1880, 388.1881, 388.1882, 388.1883, 388.1884, and
388.1890), sections 3, 203, 207, 212, 219, 220, 223, 251, and 254
as amended and section 237b as added by 2012 PA 201, sections 4, 6,
98, 107, 230, and 256 as amended by 2016 PA 56, sections 11, 21f,
31a, and 32d as amended by 2015 PA 139, sections 11a, 11j, 11k,
11m, 11r, 15, 20, 20d, 20f, 20g, 22a, 22b, 22d, 22g, 23a, 24, 24a,
24c, 25e, 25f, 26a, 26b, 26c, 31d, 31f, 32p, 39, 39a, 41, 51a, 51c,
51d, 53a, 54, 56, 61a, 62, 64b, 74, 81, 94, 94a, 99h, 101, 104,
104b, 104c, 147, 147a, 147c, 152a, 201, 201a, 206, 207a, 207b,
207c, 209, 210b, 217, 222, 225, 226, 229a, 236, 236a, 236b, 236c,
241, 246, 252, 263, 263a, 264, 265, 265a, 267, 268, 269, 270, 274,
276, 277, 278, 279, 280, 281, 282, 283, and 284 as amended and
sections 25g, 31c, 31h, 35, 35a, 55, 61b, 65, 67, 99s, 102d, 104d,
and 274c as added by 2015 PA 85, section 18 as amended by 2015 PA
114, sections 19, 202a, 224, and 275 as amended by 2014 PA 196,
section 166 as amended by 1996 PA 300, section 166b as amended by
2015 PA 222, and section 290 as amended by 2013 PA 60, and by
adding sections 11o, 11s, 20m, 21, 21g, 31b, 31j, 32q, 54b, 61c,
63, 99t, 152b, 167a, 210e, 236d, and 286a; and to repeal acts and
parts of acts.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 3. (1) "Achievement authority" means the education
achievement authority, the public body corporate and special
authority initially created under section 5 of article III and
section 28 of article VII of the state constitution of 1963 and the
urban cooperation act of 1967, 1967 (Ex Sess) PA 7, MCL 124.501 to
124.512, by an interlocal agreement effective August 11, 2011,
between the school district of the city of Detroit and the board of
regents
of eastern Michigan university, Eastern
Michigan
University, a state public university.
(2) "Achievement school" means a public school within the
education achievement system operated, managed, authorized,
established, or overseen by the achievement authority.
(3) "Average daily attendance", for the purposes of complying
with federal law, means 92% of the pupils counted in membership on
the pupil membership count day, as defined in section 6(7).
(4) "Board" means the governing body of a district or public
school academy.
(5) "Center" means the center for educational performance and
information created in section 94a.
(6) "Community district" means a school district organized
under part 5b of the revised school code.
(7) (6)
"Cooperative education
program" means a written
voluntary agreement between and among districts to provide certain
educational programs for pupils in certain groups of districts. The
written agreement shall be approved by all affected districts at
least annually and shall specify the educational programs to be
provided and the estimated number of pupils from each district who
will participate in the educational programs.
(8) (7)
"Department", except in
section 107, means the
department of education.
(9) (8)
"District" means a local
school district established
under the revised school code or, except in sections 6(4), 6(6),
13, 20, 22a, 31a, 51a(14), 105, 105c, and 166b, a public school
academy. Except in sections 6(4), 6(6), 6(8), 13, 20, 22a, 31a,
105, 105c, and 166b, district also includes the education
achievement system. Except in section 20, district also includes a
community district.
(10) (9)
"District of residence",
except as otherwise provided
in this subsection, means the district in which a pupil's custodial
parent or parents or legal guardian resides. For a pupil described
in section 24b, the pupil's district of residence is the district
in which the pupil enrolls under that section. For a pupil
described in section 6(4)(d), the pupil's district of residence
shall be considered to be the district or intermediate district in
which the pupil is counted in membership under that section. For a
pupil under court jurisdiction who is placed outside the district
in which the pupil's custodial parent or parents or legal guardian
resides, the pupil's district of residence shall be considered to
be the educating district or educating intermediate district.
(11) (10)
"District superintendent"
means the superintendent
of a district, the chief administrator of a public school academy,
or the chancellor of the achievement authority.
Sec. 4. (1) "Education achievement system" means the
achievement authority and all achievement schools.
(2) "Elementary pupil" means a pupil in membership in grades K
to 8 in a district not maintaining classes above the eighth grade
or in grades K to 6 in a district maintaining classes above the
eighth grade. For the purposes of calculating universal service
fund (e-rate) discounts, "elementary pupil" includes children
enrolled in a preschool program operated by a district in its
facilities.
(3) "Extended school year" means an educational program
conducted by a district in which pupils must be enrolled but not
necessarily in attendance on the pupil membership count day in an
extended year program. The mandatory clock hours shall be completed
by each pupil not more than 365 calendar days after the pupil's
first day of classes for the school year prescribed. The department
shall prescribe pupil, personnel, and other reporting requirements
for the educational program.
(4) "Fiscal year" means the state fiscal year that commences
October 1 and continues through September 30.
(5) "High school equivalency certificate" means a certificate
granted for the successful completion of a high school equivalency
test.
(6)
"High school equivalency test" means a high school
equivalency
test approved by the department under section 107.the
G.E.D. test developed by the GED Testing Service, the Test
Assessing Secondary Completion (TASC) developed by CTS/McGraw-Hill,
the HISET test developed by the Education Testing Service (ETS), or
another comparable test approved by the department of talent and
economic development.
(7) "High school equivalency test preparation program" means a
program that has high school level courses in English language
arts, social studies, science, and mathematics and that prepares an
individual to successfully complete a high school equivalency test.
(8) "High school pupil" means a pupil in membership in grades
7 to 12, except in a district not maintaining grades above the
eighth grade.
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 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 in a
strict discipline academy operating under sections 1311b to 1311m
of the revised school code, MCL 380.1311b to 380.1311m. However,
for a district that is a community district in its first year of
operation, "membership" means 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 in the community district
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 of pupils in grades K to 12 actually
enrolled and in regular daily attendance in a qualifying school
district as defined in section 5 of the revised school code, MCL
380.5, for the immediately preceding school year. 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 in the cyber school's educational
program is considered regular daily attendance; for the education
achievement
system, a pupil's participation in an online a virtual
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 a virtual 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 with
extreme barriers to education, such
as being homeless as defined under 42 USC 11302.
(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, or was
counted
in membership under this subparagraph in 2014-2015.
(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 achieved
a high school
diploma shall not be counted in membership. An individual who has
achieved a high school equivalency certificate shall not be counted
in membership unless the individual is a 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, department of
talent and economic development, 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
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 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
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 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. 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) 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 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 who is enrolled in an intermediate district program that
begins before Labor 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.
(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 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 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. 30
days after the end of the 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 a virtual 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.
(gg) If a special education pupil is expelled under section
1311 or 1311a of the revised school code, MCL 380.1311 and
380.1311a, and is not in attendance on the pupil membership count
day because of the expulsion, and if the pupil remains enrolled in
the district and resumes regular daily attendance during that
school year, the district's membership shall be adjusted to count
the pupil in membership as if he or she had been in attendance on
the pupil membership count day.
(hh) A pupil enrolled in a community district shall be counted
in membership in the community district. For a community district
in its first fiscal year of operations only, until the department
is able to calculate the community district's membership, the
department shall consider the community district's membership to be
the same as the membership for the immediately preceding fiscal
year for a district with the same boundaries as the community
district that had membership for that fiscal 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 K 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.
(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, or the every student succeeds act, Public
Law 114-95.
However, except for pupils enrolled in the youth challenge
program at the site at which the youth challenge program operated
for 2015-2016, 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 (o), 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.
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
$11,814,097,400.00
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
$12,078,985,100.00
$11,905,439,300.00 from the state school aid
fund
and the sum of $45,900,000.00 $55,100,000.00
from the general
fund. For the fiscal year ending September 30, 2017, there is
appropriated for the public schools of this state and certain other
state purposes relating to education the sum of $12,052,309,300.00
from the state school aid fund, the sum of $218,900,000.00 from the
general fund, an amount not to exceed $72,000,000.00 from the
community district education trust fund created under section 12 of
the Michigan trust fund act, 2000 PA 489, MCL 12.262, and an amount
not to exceed $100.00 from the water emergency reserve fund. In
addition, all other available federal funds are appropriated each
fiscal
year for the fiscal years ending September 30, 2015 2016 and
September
30, 2016.2017.
(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 2015-2016, 2016-2017, 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 $126,500,000.00 $10,500,000.00
for 2015-2016 and there is allocated an amount not to exceed
$126,500,000.00 for 2016-2017 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 2015-2016, 2016-2017,
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 $0.00 and there is
allocated
for 2015-2016 an amount not to exceed $2,000,000.00
$1,000,000.00 and there is allocated for 2016-2017 an amount not to
exceed $3,000,000.00 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. 11o. (1) From the general fund appropriation in section
11, there is allocated $9,200,000.00 for 2015-2016 to an
intermediate district for the purpose of providing state early
childhood services described in this section to children who reside
within the boundaries of a constituent district with the majority
of its territory located within the boundaries of a city for which
an executive proclamation of emergency is issued during the fiscal
year under the emergency management act, 1976 PA 390, MCL 30.401 to
30.421.
(2) From the allocation under subsection (1), there is
allocated an amount not to exceed $8,300,000.00 for state early
intervention services provided to children less than 5 years of age
as of September 1, 2015. The intermediate district shall use the
funds to provide state early intervention services that are similar
to the services described in the early on Michigan state plan, as
approved by the department.
(3) From the allocation in subsection (1), there is allocated
an amount not to exceed $650,000.00 to provide summer great start
readiness programs and related services, as approved by the
department.
(4) From the allocation in subsection (1), there is allocated
an amount not to exceed $250,000.00 to a constituent district
described in subsection (1) that has an agreement with a
postsecondary institution to provide summer early childhood
programs similar to great start readiness programs, as approved by
the department.
(5) The funds allocated under this section are a work project
appropriation, and any unexpended funds for 2015-2016 are carried
forward into 2016-2017. The purpose of the work project is to
provide early childhood services described in this section. The
estimated completion date of the work project is September 30,
2018.
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 Except as otherwise
provided in subsection (8),
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.
(8) For 2015-2016 only, an amount not to exceed $2,800,000.00
shall be lapsed from the distressed districts emergency grant fund
to the state school aid fund.
Sec. 11s. (1) From the general fund appropriation in section
11, there is allocated $10,142,500.00 for 2016-2017 for the purpose
of providing services and programs to children who reside within
the boundaries of a district with the majority of its territory
located within the boundaries of a city for which an executive
proclamation of emergency is issued in the current or immediately
preceding fiscal year under the emergency management act, 1976 PA
390, MCL 30.401 to 30.421. From the funding appropriated in section
11, there is allocated $100.00 from the water emergency reserve
fund for the purposes of this section.
(2) From the allocation in subsection (1), there is allocated
to a district with the majority of its territory located within the
boundaries of a city in which an executive proclamation of
emergency is issued in the current or immediately preceding fiscal
year and that has at least 5,000 pupils in membership for the
current fiscal year, an amount not to exceed $1,292,500.00 for the
purpose of employing school nurses and school social workers. The
district shall provide a report to the department in a form,
manner, and frequency approved by the department. The department
shall provide a copy of that report to the governor, the house and
senate school aid subcommittees, the house and senate fiscal
agencies, and the state budget director within 5 days after
receipt. The report shall provide at least the following
information:
(a) How many personnel were hired using the funds allocated
under this subsection.
(b) A description of the services provided to pupils by those
personnel.
(c) How many pupils received each type of service identified
in subdivision (b).
(d) Any other information the department considers necessary
to ensure that the children described in subsection (1) received
appropriate levels and types of services.
(3) From the allocation in subsection (1), there is allocated
to an intermediate district that has a constituent district
described in subsection (2) an amount not to exceed $1,195,000.00
to augment staff for the purpose of providing additional early
childhood services and for nutritional services to children
described in subsection (1), regardless of location of school of
attendance. The early childhood services to be provided under this
subsection are state early intervention services as described in
subsection (4) and early literacy services. In addition, funds
allocated under this subsection may also be expended to provide
informational resources to parents, educators, and the community,
and to coordinate services with other local agencies. The
intermediate district shall provide a report to the department in a
form, manner, and frequency approved by the department. The
department shall provide a copy of that report to the governor, the
house and senate school aid subcommittees, the house and senate
fiscal agencies, and the state budget director within 5 days after
receipt. The report shall provide at least the following
information:
(a) How many personnel were hired using the funds appropriated
in this subsection.
(b) A description of the services provided to children by
those personnel.
(c) What types of additional nutritional services were
provided.
(d) How many children received each type of service identified
in subdivisions (b) and (c).
(e) What types of informational resources and coordination
efforts were provided.
(f) Any other information the department considers necessary
to ensure that the children described in subsection (1) received
appropriate levels and types of services.
(4) From the allocation in subsection (1), there is allocated
an amount not to exceed $6,155,000.00 to intermediate districts
described in subsection (3) to provide state early intervention
services for children described in subsection (1) who are less than
4 years of age as of September 1, 2016. The intermediate district
shall use these funds to provide state early intervention services
that are similar to the services described in the early on Michigan
state plan, including ensuring that all children described in
subsection (1) who are less than 4 years of age as of September 1,
2016 are assessed and evaluated at least twice annually.
(5) From the allocation in subsection (1), there is allocated
an amount not to exceed $1,500,000.00 to intermediate districts
described in subsection (3) to enroll children described in
subsection (1) in school-day great start readiness programs,
regardless of household income eligibility requirements contained
in section 39. The department shall administer this funding
consistent with all other provisions of the great start readiness
programs contained in section 32d and section 39.
(6) In addition to other funding allocated and appropriated in
this section, there is appropriated an amount not to exceed
$15,000,000.00 for 2016-2017 for state restricted contingency
funds. These contingency funds are not available for expenditure
until they have been transferred to a section within this article
under section 393(2) of the management and budget act, 1984 PA 431,
MCL 18.1393.
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
2016-2017 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 district board adopts its annual operating budget for the
following school fiscal year, or after a district board adopts a
subsequent revision to that budget, the district shall make all of
the following available through a link on its website homepage, or
may make the information available through a link on its
intermediate district's website 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 employees
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 the
revised school code.
(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
1 each year for reporting the prior fiscal year data:
(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 1 each fiscal year, each district and
intermediate district shall submit to the center, in a manner
prescribed by the center, annual comprehensive financial data
consistent with the district's or intermediate district's audited
financial statements and 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), or if the department
determines that the financial data required under subsection (5)
are not consistent with audited financial statements, 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). 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
total 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 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)
Not later than November 1, 2015, 2016, if a district or
intermediate
district offers online virtual
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 virtual learning by vendor type. The report shall
include at least all of the following information concerning the
operation
of online virtual learning for the school fiscal year
ending
June 30, 2015:2016:
(a)
The name of the district operating the online virtual
learning
and of each district that enrolled students in the online
virtual learning.
(b)
The total number of students enrolled in the online
virtual learning and the total number of membership pupils enrolled
in
the online virtual learning.
(c) For each pupil who is enrolled in a district other than
the
district offering online virtual
learning, the name of that
district.
(d) The district in which the pupil was enrolled before
enrolling
in the district offering online virtual
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 virtual instruction and instructional support,
personnel,
hardware and software, payment to each online virtual
learning
provider, and other costs associated with operating online
virtual learning.
(h)
The name of each online virtual
education provider
contracted
by the district and the state in which each online
virtual education provider is headquartered.
(13)
Not later than March 31, 2016, 2017,
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 virtual courses available under section 21f.
(14) As used in subsections (12) and (13), "vendor type" means
the following:
(a)
Online Virtual courses provided by the Michigan Virtual
University.
(b)
Online Virtual 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 Virtual courses provided by third party vendors not
affiliated with a Michigan public school.
(d)
Online Virtual courses created and offered by a district
or intermediate district.
(15) An allocation to a district or another entity under this
article is contingent upon the district's or entity's compliance
with this section.
Sec. 19. (1) A district or intermediate district shall comply
with all applicable reporting requirements specified in state and
federal law. Data provided to the center, in a form and manner
prescribed by the center, shall be aggregated and disaggregated as
required by state and federal law. In addition, a district or
intermediate district shall cooperate with all measures taken by
the center to establish and maintain a statewide P-20 longitudinal
data system.
(2) Each district shall furnish to the center not later than 5
weeks after the pupil membership count day and by June 30 of the
school fiscal year ending in the fiscal year, in a manner
prescribed by the center, the information necessary for the
preparation of the district and high school graduation report. This
information shall meet requirements established in the pupil
auditing manual approved and published by the department. The
center shall calculate an annual graduation and pupil dropout rate
for each high school, each district, and this state, in compliance
with nationally recognized standards for these calculations. The
center shall report all graduation and dropout rates to the senate
and house education committees and appropriations committees, the
state budget director, and the department not later than 30 days
after the publication of the list described in subsection (6).
(3) By the first business day in December and by June 30 of
each year, a district shall furnish to the center, in a manner
prescribed by the center, information related to educational
personnel as necessary for reporting required by state and federal
law.
(4) By June 30 of each year, a district shall furnish to the
center, in a manner prescribed by the center, information related
to safety practices and criminal incidents as necessary for
reporting required by state and federal law.
(5) If a district or intermediate district fails to meet the
requirements of this section, the department shall withhold 5% of
the total funds for which the district or intermediate district
qualifies under this article until the district or intermediate
district complies with all of those subsections. If the district or
intermediate district does not comply with all of those subsections
by the end of the fiscal year, the department shall place the
amount withheld in an escrow account until the district or
intermediate district complies with all of those subsections.
(6) Before publishing a list of school or district
accountability designations as required by the no child left behind
act of 2001, Public Law 107-110, or the every student succeeds act,
Public Law 114-95, the department shall allow a school or district
to appeal that determination. The department shall consider and act
upon the appeal within 30 days after it is submitted and shall not
publish the list until after all appeals have been considered and
decided.
(7)
It is the intent of the legislature to implement not later
than
Beginning in 2016-2017, the
department shall implement
statewide standard reporting requirements for education data
approved by the department in conjunction with the center. The
department shall work with the center, intermediate districts,
districts,
and other interested stakeholders to develop
recommendations
on the implementation of implement
this policy
change. A district or intermediate district shall implement the
statewide
standard reporting requirements not later than 2014-2015
2017-2018 or when a district or intermediate district updates its
education data reporting system, whichever is later.
Sec.
20. (1) For 2015-2016, 2016-2017,
both of the following
apply:
(a)
The basic foundation allowance is $8,169.00.$8,229.00.
(b)
The minimum foundation allowance is $7,391.00.$7,511.00.
(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 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 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
$23.00)
$20.00) 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 2015-2016, the minimum foundation
allowance
for the immediately preceding state fiscal year shall be
considered
to be $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 2015-
2016
2016-2017 in an amount equal to the basic foundation allowance
for
2015-2016.2016-2017.
(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 2014-2015, the district's 2014-
2015
foundation allowance shall be considered to have been an
amount
equal to the sum of the district's actual 2014-2015
foundation
allowance as otherwise calculated under this section
plus
the per-pupil amount of the district's equity payment for
2014-2015
under section 22c as that section was in effect for 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. For
a community district, if school operating taxes continue to be
levied by a qualifying school district under section 12b of the
revised school code, MCL 380.12b, with the same geographic area as
the community district, the taxable value per membership pupil of
property in the community district to be used for the purposes of
this subsection does not include the taxable value of property
within the geographic area of the community 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. The calculation under this subsection shall take into
account a district's per-pupil allocation under section 20m.
(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) Except as otherwise provided in this subsection, for
pupils in membership, other than special education pupils, in a
community district, the allocation calculated under this section is
an amount per membership pupil other than special education pupils
in the community district equal to the foundation allowance of the
qualifying school district, as described in section 12b of the
revised school code, MCL 380.12b, that is located within the same
geographic area as the community district.
(9) (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. The calculation under this subsection shall
take into account a district's per-pupil allocation under section
20m.
(10) (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.
(11) (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.
(12) (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.
(13) (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.
(14) (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.
(15) (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 allowance 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 allowance for the
immediately
preceding state fiscal year minus $23.00) $20.00) 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 2015-
2016,
2016-2017, the maximum public school academy allocation is
$7,391.00.$7,511.00.
(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, 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 2015-2016, 2016-2017,
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 $18,000,000.00 for 2015-2016
2016-2017 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
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) The amount allocated to each eligible district under
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 2016-2017 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) 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 2015-
2016
$1,200,000.00 each fiscal
year for 2015-2016 and for 2016-2017
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
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) It is the intent of the legislature that an amount not to
exceed $660,000.00 be lapsed from the $2,500,000.00 that was
available for a qualifying intermediate district under this section
as it was in effect for the 2013-2014 fiscal year. In addition to
the money allocated under subsection (1), from the funds
appropriated in section 11, there is allocated for 2016-2017 an
amount not to exceed $660,000.00 to a qualifying intermediate
district for paying outstanding debt of a dissolved school
district. For purposes of this subsection, an intermediate district
is a qualifying intermediate district if it is required to perform
the functions and satisfy the responsibilities of a dissolved
school district under section 12(3) of the revised school code, MCL
380.12, if the authorization for that dissolved school district to
levy mills for school operating purposes under section 1211 of the
revised school code, MCL 380.1211, was not renewed after the school
district was dissolved, and if the intermediate district is located
in a county with a population of less than 250,000.
(5) (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. 20m. (1) Foundation allowance supplemental payments for
2016-2017 to districts that in the 2015-2016 fiscal year had a
foundation allowance greater than $8,169.00 shall be calculated
under this section.
(2) The per-pupil allocation to each district under this
section shall be the difference between the dollar amount of the
adjustment from the immediately preceding state fiscal year to the
current state fiscal year in the basic foundation allowance minus
the dollar amount of the adjustment from the immediately preceding
fiscal year to the current state fiscal year in a qualifying
district's foundation allowance.
(3) If a district's local revenue per pupil does not exceed
the sum of its foundation allowance under section 20 plus the per-
pupil allocation under subsection (2), the total payment to the
district calculated under this section shall be the product of the
per-pupil allocation under subsection (2) multiplied by the
district's membership excluding special education pupils. If a
district's local revenue per pupil exceeds the foundation allowance
under section 20 but does not exceed the sum of the foundation
allowance under section 20 plus the per-pupil allocation under
subsection (2), the total payment to the district calculated under
this section shall be the product of the difference between the sum
of the foundation allowance under section 20 plus the per-pupil
allocation under subsection (2) minus the local revenue per pupil
multiplied by the district's membership excluding special education
pupils. If a district's local revenue per pupil exceeds the sum of
the foundation allowance under section 20 plus the per-pupil
allocation under subsection (2), there is no payment calculated
under this section for the district.
(4) Payments to districts shall not be made under this
section. Rather, the calculations under this section shall be made
and used to determine the amount of state payments under section
22b.
Sec. 21. (1) From the appropriation in section 11, there is
allocated an amount not to exceed $5,000,000.00 for 2016-2017 to
make supplemental payments to eligible districts that are
identified under section 1280c of the revised school code, MCL
380.1280c, as being among the lowest achieving 5% of all public
schools in this state.
(2) A district is eligible to receive the supplemental
payments calculated under this section for 3 consecutive fiscal
years if all of the following conditions are met:
(a) The state school reform/redesign officer has appointed a
chief executive officer to take control of 1 or more public schools
in the district, as provided for in section 1280c(7) of the revised
school code, MCL 380.1280c, and there is at least 1 high school
operated by the district.
(b) As determined by the school reform office, an intervention
agreement meeting at least the following criteria has been executed
by the state school reform/redesign officer and the district. The
intervention agreement shall include, but is not limited to:
(i) The rights and responsibilities of the chief executive
officer. However, the intervention agreement shall not mitigate the
authority of the chief executive officer prescribed in applicable
statute including financial and employment authority.
(ii) The allocation of supplemental payments under this
section.
(iii) The compensation for the chief executive officer.
(iv) The role of the district's board and officers during the
intervention term.
(v) Termination and renewal rights of the school reform
office.
(vi) Liability provisions for the chief executive officer.
(vii) A dispute resolution process.
(viii) The length of the term of the agreement.
(ix) Other provisions as determined by the school reform
office for successful implementation of the chief executive officer
intervention.
(c) The district has not entered into and is not currently
operating under a local government option under the local financial
stability and choice act, 2012 PA 436, MCL 141.1541 to 141.1575, or
a successor act.
(3) The state school reform/redesign officer, at least
annually, shall appear in person before the house and senate
appropriations subcommittees responsible for school aid to provide
an update on the yearly progress of schools under the control of a
chief executive officer. In addition, the state school
reform/redesign officer shall provide a quarterly report concerning
the chief executive officer's use of funds to increase pupil
achievement.
(4) The supplemental payment provided to a district under this
section shall be calculated by multiplying the district's
foundation allowance by 20% of the high school's membership for the
prior fiscal year. The same dollar amount shall continue to be
available to the district for a maximum of 3 years, subject to the
conditions specified in subsection (2).
(5) From the allocation in subsection (1), in addition to the
supplemental payments calculated under subsection (4), there is
allocated an amount sufficient to pay for the appointment of chief
executive officers by the state school reform/redesign officer, as
provided for in section 1280c(7) of the revised school code, MCL
380.1280c.
(6) For the purposes of this section, a high school is a
school that operates exclusively all of grades 9 to 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. A primary
district shall enroll an eligible pupil
in virtual courses in accordance with the provisions of this
section. A primary district shall not offer a virtual course to an
eligible pupil unless the virtual course is published in the
primary district's catalog of board-approved courses or in the
statewide catalog of virtual courses maintained by the Michigan
Virtual University pursuant to section 98. The primary district
shall also provide on its publicly accessible website a link to the
statewide catalog of virtual courses maintained by the Michigan
Virtual University. Unless the pupil is at least age 18 or is an
emancipated minor, a pupil shall not be enrolled in a virtual
course without the consent of the pupil's parent or legal guardian.
(2)
With the consent of the pupil's parent or legal guardian,
a
Subject to subsection (3), a
primary district shall enroll an
eligible
pupil in up to 2 online virtual
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 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 pursuant to
section
98.
(3) A pupil may be enrolled in more than 2 virtual courses in
a specific academic term, semester, or trimester if all of the
following conditions are met:
(a) The primary district has determined that it is in the best
interest of the pupil.
(b) The pupil agrees with the recommendation of the primary
district.
(c) The primary district, in collaboration with the pupil, has
developed an education development plan, in a form and manner
specified by the department, that is kept on file by the district.
(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
a virtual course does not exceed the capacity of the
providing
district or community college provider
to provide the
online
virtual course, the providing district or community
college
provider
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
provider's
capacity to provide the online virtual course,
the
providing
district or community college provider
shall use a random
draw system, subject to the need to abide by state and federal
antidiscrimination laws and court orders. A primary district that
is also a provider shall determine whether or not it has the
capacity to accept applications for enrollment from nonresident
applicants in virtual courses and may use that limit as the reason
for refusal to enroll a nonresident applicant.
(5) A primary district may not establish additional
requirements beyond those specified in this subsection that would
prohibit a pupil from taking a virtual course. A pupil's primary
district may deny the pupil enrollment in an online course if any
of the following apply, as determined by the district:
(a) The pupil is enrolled in any of grades K to 5.
(b) (a)
The pupil has previously gained the
credits that would
be
provided from the completion of the online
virtual course.
(c) (b)
The online virtual course
is not capable of generating
academic credit.
(d) (c)
The online virtual 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 pupil has not completed the prerequisite coursework
for the requested virtual course or has not demonstrated
proficiency in the prerequisite course content.
(f) The pupil has failed a previous virtual course in the same
subject during the 2 most recent academic years.
(g) (e)
The online virtual course
is of insufficient quality
or rigor. A primary district that denies a pupil enrollment request
for
this reason shall make a reasonable effort to assist the pupil
to
find an alternative course enroll
the pupil in a virtual course
in the same or a similar subject that the primary district
determines is of acceptable rigor and quality.
(h) (f)
The cost of the online virtual course
exceeds the
amount
identified in subsection (10), (9),
unless the pupil or the
pupil's parent or legal guardian agrees to pay the cost that
exceeds this amount.
(i) (g)
The online course enrollment request
does for a
virtual course enrollment did not occur within the same timelines
established by the primary district for enrollment and schedule
changes for regular courses.
(j) The request for a virtual course enrollment was not made
in the academic term, semester, trimester, or summer preceding the
enrollment. This subdivision does not apply to a request made by a
pupil who is newly enrolled in the primary district.
(6)
If a pupil is denied enrollment in an online a virtual
course by the pupil's primary district, the primary district shall
provide written notification to the pupil of the denial, the reason
or reasons for the denial pursuant to subsection (5), and a
description of the appeal process. The pupil may appeal the denial
by submitting a letter to the superintendent of the intermediate
district in which the pupil's 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 enroll the pupil
to
enroll in the online virtual course.
(7)
To provide an online a
virtual course to an eligible pupil
under
this section, the providing district or intermediate district
a provider 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. 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. Ensure
that the virtual course has
been published in the pupil's primary district's catalog of board-
approved courses or published in the statewide catalog of virtual
courses maintained by the Michigan Virtual University.
(b) Assign to each pupil a teacher of record and provide the
primary
district with the personal personnel
identification code
assigned by the center for the teacher of record. If the provider
is a community college, the virtual course must be taught by an
instructor employed by or contracted through the providing
community college.
(c)
Offer the online virtual course on an open entry and exit
method, or aligned to a semester, trimester, or accelerated
academic term format.
(d) If the virtual course is offered to eligible pupils in
more than 1 district, the following additional requirements must
also be met:
(i) Provide the Michigan Virtual University with a course
syllabus that meets the definition under subsection (14)(g) in a
form and manner prescribed by the Michigan Virtual University for
inclusion in a statewide catalog of virtual courses.
(ii) (d)
Not later than October 1 ,
2015, of each fiscal year,
provide
the Michigan Virtual University with the number of
enrollments
in each online an aggregated
count of enrollments for
each
virtual course the district or
intermediate district provided
provider
delivered to pupils pursuant to this
section in during 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 virtual 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 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 virtual 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 provider with the mentor's
contact information.
(10)
For a pupil enrolled in 1 or more online virtual courses,
published
in the pupil's primary district's catalog of online
courses
under subsection (7) or in the statewide catalog of online
courses
maintained by the Michigan 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 virtual course or courses. A primary district is not
required
to pay toward the cost of an online a virtual course an
amount that exceeds 6.67% of the minimum foundation allowance for
the current fiscal year as calculated under section 20.
(11)
An online A virtual 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. The department shall establish standards for
hardware, software, and internet access for pupils who are enrolled
in more than 2 virtual courses in an academic term, semester, or
trimester taken at a location other than a school facility.
(12)
If a pupil successfully completes an online a virtual
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 virtual
course
title as it appears in the online virtual course syllabus.
(13)
The enrollment of a pupil in 1 or more online virtual
courses shall not result in a pupil being counted as more than 1.0
full-time equivalent pupils under this article. The minimum
requirements to count the pupil in membership are those established
by the pupil accounting manual as it was in effect for the 2015-
2016 school year or as subsequently amended by the department if
the department notifies the legislature about the proposed
amendment at least 60 days before the amendment becomes effective.
(14)
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.
(14) (15)
As used in this section:
(a) "Instructor" means an individual who is employed by or
contracted through a community college.
(b) (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 primary district is the provider for
the virtual course and the mentor meets the requirements under
subdivision
(g).(e).
(b)
"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
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)
"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 (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.
(d)
"Online learning pupil" means a pupil enrolled in 1 or
more
online courses.
(c) (e)
"Primary district" means the
district that enrolls the
pupil
and reports the pupil as a full-time equated pupil for pupil
membership purposes.
(d) (f)
"Providing district" "Provider"
means the district,
intermediate district, or community college that the primary
district
pays to provide the online virtual
course or the Michigan
Virtual University if it is providing the virtual course.
(e) (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. meets
all of the following:
(i) Holds a valid Michigan teaching certificate or a teaching
permit recognized by the department.
(ii) If applicable, is endorsed in the subject area and grade
of the virtual course.
(iii) Is responsible for providing instruction, determining
instructional methods for each pupil, diagnosing learning needs,
assessing pupil learning, prescribing intervention strategies and
modifying lessons, reporting outcomes, and evaluating the effects
of instruction and support strategies.
(iv) Has a personnel identification code provided by the
center.
(v) If the provider is a community college, is an instructor
employed by or contracted through the providing community college.
(f) "Virtual course" means a course of study that is capable
of generating a credit or a grade and that is provided in an
interactive learning environment where the majority of the
curriculum is delivered using the Internet and in which pupils may
be separated from their instructor or teacher of record by time or
location, or both.
(g) "Virtual course syllabus" means a document that includes
all of the following:
(i) An alignment document detailing how the course meets
applicable state standards or, if the state does not have state
standards, nationally recognized standards.
(ii) The virtual course content outline.
(iii) The virtual course required assessments.
(iv) The virtual course prerequisites.
(v) Expectations for actual instructor or teacher of record
contact time with the virtual learning pupil and other
communications between a pupil and the instructor or teacher of
record.
(vi) Academic support available to the virtual learning pupil.
(vii) The virtual course learning outcomes and objectives.
(viii) The name of the institution or organization providing
the virtual content.
(ix) The name of the institution or organization providing the
instructor or teacher of record.
(x) The course titles assigned by the provider and the course
titles and course codes from the National Center for Education
Statistics (NCES) school codes for the exchange of data (SCED).
(xi) The number of eligible pupils that will be accepted by
the provider in the virtual course. A primary district that is also
the provider may limit the enrollment to those pupils enrolled in
the primary district.
(xii) The results of the virtual course quality review using
the guidelines and model review process published by the Michigan
Virtual University.
(h) "Virtual learning pupil" means a pupil enrolled in 1 or
more virtual courses.
Sec. 21g. (1) From the general fund appropriation in section
11, there is allocated an amount not to exceed $500,000.00 for
2016-2017 for a grant to a public-private partnership, led by the
Michigan Center of Innovation in Education, a Michigan-based
nonprofit organization that is exempt from federal taxes under
section 501(c)(3) of the internal revenue code, 26 USC 501(c)(3),
in partnership with the Michigan Association of Intermediate School
Administrators, and in coordination with the department and the
center, to develop and pilot a competency-based transcript and
marketplace to provide enhanced choice to pupils and parents for
the completion of the requirements for a high school diploma under
the Michigan merit standard under sections 1278a and 1278b of the
revised school code, MCL 380.1278a and 380.1278b.
(2) The partnership under subsection (1) shall do all of the
following:
(a) Establish an articulation framework for Michigan academic,
technical, and global competencies of prekindergarten through high
school diploma requirements, including providing for career and
technical and dual enrollment opportunities.
(b) Establish assessment criteria for measuring these
competencies and awarding universally recognized credentials,
micro-credentials, credits, and micro-credits for demonstrated
competencies independent of state-administered assessments.
(c) Identify a means of accrediting education service
providers as competency-based credentialing organizations to
facilitate any-time, any-pace, any-way, any-place learning such
that credentials, micro-credentials, credits, and micro-credits can
be earned inside and outside traditional classroom settings.
(d) Develop and pilot a pupil-owned transcript that satisfies
postsecondary institution requirements for admission and allows
pupils to accumulate credentials, micro-credentials, credits, and
micro-credits required for high school graduation, postsecondary
matriculation, and early career success.
(e) Establish and pilot a marketplace of accredited education
service providers to provide enhanced choice for pupils and parents
when selecting credentials, micro-credentials, credits, and micro-
credits needed to satisfy Michigan high school diploma
requirements, including career and technical and dual enrollment
opportunities.
(3) Accredited education service providers shall include, but
are not limited to, the following:
(a) Districts and public career and technical programs.
(b) Preschool, after-school, and other qualifying programs.
(c) Museums, historical societies, science centers, and other
community education organizations.
(d) Business and civic organizations and other institutions
providing internship and apprenticeship opportunities.
(e) Community colleges, trade schools, and universities
offering dual enrollment opportunities.
(4) The transcript and marketplace shall do all of the
following:
(a) Use Michigan-specific academic standards when defining
academic competencies.
(b) Use industry standards for the competency assessment.
(c) Use industry standards for articulating and transcripting
of credentials, micro-credentials, credits, and micro-credits.
(d) Offer its services at no cost to pupils or parents.
(5) Not more than 50% of the funds awarded to a grantee under
this section shall be initially distributed to the grantee. To
receive the remaining distribution of funds, the grantee shall
provide to the department a progress report on the development and
piloting of the competency-based transcript and marketplace
described in this section, and the department shall only release
the remaining funds if, upon review of this progress report, the
department determines that sufficient progress has been made by the
grantee.
(6) Upon completion of the pilot described in this section,
the grantee shall provide a report to the house and senate
appropriations subcommittees on school aid detailing the project's
expenditures, pupils served, successes and challenges, and
feasibility for expanding the project statewide.
Sec. 22a. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $5,377,000,000.00 for 2014-2015
and
an amount not to exceed $5,281,700,000.00
$5,260,000,000.00 for
2015-2016 and an amount not to exceed $5,205,000,000.00 for 2016-
2017 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, 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, 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, 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, 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, For
discretionary nonmandated payments to districts under this section,
there is allocated from the appropriation in section 11 an amount
not to exceed $3,692,000,000.00 for 2015-2016, and there is
allocated
for 2016-2017 an amount not to exceed $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 $3,828,000,000.00
from the state school aid
fund and general fund appropriations in section 11 and an amount
not to exceed $72,000,000.00 from the community district education
trust fund appropriation in section 11. Except for money allocated
from the community district trust fund, money allocated under this
section
that are is not expended in the state fiscal year for which
they
were it was 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, 20m, 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 25g.
Sec. 22d. (1) From the appropriation in section 11, an amount
not
to exceed $5,000,000.00 is allocated for 2015-2016 2016-2017
for supplemental payments to rural districts under this section.
(2) From the allocation under subsection (1), there is
allocated
for 2015-2016 2016-2017 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 2015-2016 2016-2017 an
amount not to exceed $4,042,700.00 for payments under this
subsection to districts that have 7.3 or fewer pupils per square
mile as determined by the department.
(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 2015-2016 2016-2017
only an amount not to exceed
$5,000,000.00
$500,000.00 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 dissolution,
consolidation, or annexation of districts or intermediate
districts. Grant funding shall be available for dissolutions,
consolidations, or
annexations that occur on or after June 1, 2015.
2016. Districts may spend funds allocated under this section over 3
fiscal years.
(3) In addition to the amount allocated under subsection (1),
from the funds appropriated in section 11, there is allocated for
2016-2017 an amount not to exceed $2,500,000.00 for grants to
districts or intermediate districts that received a grant under
this section as it was in effect for 2015-2016 for reimbursement of
remaining transition costs associated with a dissolution,
consolidation, or annexation that was approved during 2015-2016 by
the school electors of the applicable district or intermediate
district.
Sec. 23a. (1) A dropout recovery program operated by a
district qualifies for the special membership counting provisions
of section 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) "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 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.
(f) (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 2015-2016 2016-2017 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 $2,189,800.00 $1,301,000.00 for
2015-2016 and there is allocated an amount not to exceed
$1,328,100.00 for 2016-2017 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 $1,497,400.00 for 2015-2016
$1,632,400.00 for 2016-2017 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 associated
with strict discipline academies.
(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 a strict
discipline academy 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, strict discipline
academy, the educating
district
or intermediate district strict
discipline academy 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
strict discipline academy 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 strict
discipline academy
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 strict
discipline academy in
which the pupil is enrolled and is in attendance so that the
district's
or intermediate district's strict
discipline academy's
membership
is increased to allow the district or intermediate
district
strict discipline academy 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 strict
discipline academy 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
strict
discipline academy multiplied by the foundation
allowance or
per-pupil payment as calculated under section 20 for the educating
district
or intermediate district. strict
discipline academy. 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, strict
discipline academy, 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 strict discipline
academy 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 strict discipline
academy that received an
adjustment in its membership calculation under subsection (3), if
any,
and the educating district or intermediate district strict
discipline academy shall provide to the center and the department
all information they require to comply with this section.
(6) 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 It is the intent of
the legislature that the center
shall
determine the number of pupils who
did not reside in this
state
as of the 2015-2016 2018-2019
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 2018-2019
supplemental
count day. The It is the
intent of the legislature
that
the center shall further determine
the number of pupils who
were
counted in membership for the 2015-2016 2018-2019 pupil
membership
count day but who left this state before the 2015-2016
2018-2019
supplemental count day. The In 2019-2020, 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" strict
discipline
academy" means the district or
intermediate district
strict discipline academy 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.
(c) "Strict discipline academy" means a strict discipline
academy operating under sections 1311b to 1311m of the revised
school code, MCL 380.1311b to 380.1311m.
Sec. 25f. (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 $750,000.00
for 2016-2017 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.
(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) 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) If the funds allocated under this section are insufficient
to fully fund the adjustments under subsection (3), payments under
this section shall be prorated on an equal per-pupil basis.
(6) 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 $750,000.00
for 2016-2017 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 $20,000,000.00 for
2015-2016 and there is allocated an amount not to exceed
$20,000,000.00 for 2016-2017 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
2015. 2016. 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 2015-2016 2016-2017 an amount not to exceed
$4,276,800.00
$4,405,100.00 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 $610,000.00 $278,000.00 for 2015-
2016 and there is allocated an amount not to exceed $1,000,000.00
for 2016-2017 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 2015-2016 2016-
2017 an amount not to exceed $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 (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 (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) 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 plus the amount of the
district's per-pupil allocation under section 20m, 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, or a community district that first enrolls
pupils, 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, or in the community district 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, or the
community district's per membership pupil amount calculated under
section 20 for the current state fiscal year.
(5) 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 (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 (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) 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) From the funds allocated under subsection (1), there is
allocated
for 2015-2016 2016-2017 an amount not to exceed
$3,557,300.00
$5,557,300.00 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 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 (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) From the funds allocated under subsection (1), there is
allocated
for 2015-2016 2016-2017 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 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) 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 health
and 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) 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) Subject to subsections (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) 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 (4).
(13) If a district is formed by consolidation after June 1,
1995, and if 1 or more of the original districts 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 (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) 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 state summative
assessment have been received, is a pupil who did not achieve
proficiency on the English language arts, mathematics, science, or
social studies content area assessment.
(e) 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.
(g) 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) Beginning in 2018-2019, 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 proficient
in English language
arts by the end of grade 3 as measured by the state assessment for
the immediately preceding school year and demonstrate to the
satisfaction of the department improvement over each of the 3
immediately preceding school years in the percentage of at-risk
pupils that are career- and college-ready as 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 proficient in
English language arts 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.
English language arts proficiency.
(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 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) As used in subsection (15), "total at-risk pupils" means
the
sum of the number of pupils in grade 3 that are not reading at
grade
level proficient in English
language arts 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 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) 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. 31b. (1) From the appropriations in section 11, there is
allocated an amount not to exceed $1,500,000.00 for 2016-2017 for
grants to at-risk districts for implementing a year-round
instructional program for at least 1 of its schools.
(2) The department shall select districts for grants under
this section from among applicant districts that meet both of the
following:
(a) The district meets 1 or both of the following:
(i) Is eligible in 2016-2017 for the community eligibility
option for free and reduced price lunch under 42 USC 1759a.
(ii) At least 50% of the pupils in membership in the district
met the income eligibility criteria for free breakfast, lunch, or
milk in the immediately preceding state fiscal year, as determined
under the Richard B. Russell national school lunch act, 42 USC 1751
to 1769i.
(b) The board of the district has adopted a resolution stating
that the district will implement for the first time a year-round
instructional calendar that will begin in 2017-2018 for at least 1
school operated by the district and committing to providing the
year-round instructional calendar in each of those schools for at
least 3 school years.
(3) A district seeking a grant under this section shall apply
to the department in the form and manner prescribed by the
department not later than December 1, 2016. The department shall
select districts for grants and make notification not later than
February 1, 2017.
(4) The department shall award grants under this section on a
competitive basis, but shall give priority based solely on
consideration of the following criteria:
(a) Giving priority to districts that, as of June 30, 2016,
had lower general fund balances as a percentage of revenues.
(b) Giving priority to districts that operate at least 1
school that has been identified by the department as either a
priority school or a focus school.
(c) Ensuring that grant funding includes both rural and urban
districts.
(5) The amount of a grant under this section to any 1 district
shall not exceed $750,000.00.
(6) A grant payment under this section to a district shall be
used for necessary modifications to instructional facilities and
other nonrecurring costs of preparing for the operation of a year-
round instructional program as approved by the department.
(7) A district receiving a grant under this section is not
required to provide more than the minimum number of days and hours
of pupil instruction prescribed under section 101, but shall spread
at least those minimum amounts of pupil instruction over the entire
year in each of its schools in which a year-round instructional
calendar is implemented. The district shall commit to providing the
year-round instructional calendar in each of those schools for at
least 3 school years.
(8) For a district receiving a grant under this section,
excessive heat is considered to be a condition not within the
control of school authorities for the purpose of days or hours
being counted as days or hours of pupil instruction under section
101(4).
(9) Notwithstanding section 17b, grant payments to districts
under this section shall be paid on a schedule determined by the
department.
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
$3,000,000.00 for 2016-2017 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 and provide a report on this
evaluation to the senate and house appropriations subcommittees on
school aid not later than December 1, 2017.
Sec. 31d. (1) From the appropriations in section 11, there is
allocated
an amount not to exceed $22,495,100.00 for 2015-2016
2016-2017 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 2015-2016 2016-2017
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 $2,500,000.00 for
2015-2016 and there is allocated an amount not to exceed
$2,500,000.00 for 2016-2017 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 2016-
2017 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 second 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