HOUSE BILL NO. 5504

February 22, 2024, Introduced by Reps. Steckloff and Witwer and referred to the Committee on Appropriations.

A bill to amend 1979 PA 94, entitled

"The state school aid act of 1979,"

by amending sections 201 and 206 (MCL 388.1801 and 388.1806), section 201 as amended by 2023 PA 320 and section 206 as amended by 2023 PA 103.

the people of the state of michigan enact:

Sec. 201. (1) Subject to the conditions set forth in this article, the amounts listed in this section are appropriated for community colleges for the fiscal year ending September 30, 2024, 2025, from the funds indicated in this section. The following is a summary of the appropriations in this section:

(a) The gross appropriation is $549,517,500.00. $100.00. After deducting total interdepartmental grants and intradepartmental transfers in the amount of $0.00, the adjusted gross appropriation is $549,517,500.00.$100.00.

(b) The sources of the adjusted gross appropriation described in subdivision (a) are as follows:

(i) Total federal revenues, $0.00.

(ii) Total local revenues, $0.00.

(iii) Total private revenues, $0.00.

(iv) Total other state restricted revenues, $549,517,500.00.$100.00.

(v) State general fund/general purpose money, $0.00.

(2) Subject to subsection (3), the amount appropriated for community college operations is $357,961,900.00, allocated as follows:$100.00.

(a) The appropriation for Alpena Community College is $6,327,100.00, $6,026,800.00 for operations, $273,800.00 for performance funding, and $26,500.00 for costs incurred under the North American Indian tuition waiver.

(b) The appropriation for Bay de Noc Community College is $6,299,200.00, $5,877,000.00 for operations, $308,300.00 for performance funding, and $113,900.00 for costs incurred under the North American Indian tuition waiver.

(c) The appropriation for Delta College is $16,690,500.00, $15,888,200.00 for operations, $754,100.00 for performance funding, and $48,200.00 for costs incurred under the North American Indian tuition waiver.

(d) The appropriation for Glen Oaks Community College is $2,939,000.00, $2,802,100.00 for operations, $136,900.00 for performance funding, and $0.00 for costs incurred under the North American Indian tuition waiver.

(e) The appropriation for Gogebic Community College is $5,367,600.00, $5,103,300.00 for operations, $226,400.00 for performance funding, and $37,900.00 for costs incurred under the North American Indian tuition waiver.

(f) The appropriation for Grand Rapids Community College is $20,966,400.00, $19,766,200.00 for operations, $1,078,200.00 for performance funding, and $122,000.00 for costs incurred under the North American Indian tuition waiver.

(g) The appropriation for Henry Ford College is $24,943,900.00, $23,700,100.00 for operations, $1,229,700.00 for performance funding, and $14,100.00 for costs incurred under the North American Indian tuition waiver.

(h) The appropriation for Jackson College is $13,887,400.00, $13,295,100.00 for operations, $559,000.00 for performance funding, and $33,300.00 for costs incurred under the North American Indian tuition waiver.

(i) The appropriation for Kalamazoo Valley Community College is $14,539,400.00, $13,776,100.00 for operations, $705,800.00 for performance funding, and $57,500.00 for costs incurred under the North American Indian tuition waiver.

(j) The appropriation for Kellogg Community College is $11,290,200.00, $10,754,400.00 for operations, $514,800.00 for performance funding, and $21,000.00 for costs incurred under the North American Indian tuition waiver.

(k) The appropriation for Kirtland Community College is $3,792,900.00, $3,577,900.00 for operations, $195,200.00 for performance funding, and $19,800.00 for costs incurred under the North American Indian tuition waiver.

(l) The appropriation for Lake Michigan College is $6,321,600.00, $5,978,400.00 for operations, $339,600.00 for performance funding, and $3,600.00 for costs incurred under the North American Indian tuition waiver.

(m) The appropriation for Lansing Community College is $35,752,700.00, $34,228,900.00 for operations, $1,460,300.00 for performance funding, and $63,500.00 for costs incurred under the North American Indian tuition waiver.

(n) The appropriation for Macomb Community College is $37,661,900.00, $35,911,900.00 for operations, $1,723,500.00 for performance funding, and $26,500.00 for costs incurred under the North American Indian tuition waiver.

(o) The appropriation for Mid Michigan Community College is $5,798,500.00, $5,458,100.00 for operations, $284,800.00 for performance funding, and $55,600.00 for costs incurred under the North American Indian tuition waiver.

(p) The appropriation for Monroe County Community College is $5,286,800.00, $5,003,600.00 for operations, $281,100.00 for performance funding, and $2,100.00 for costs incurred under the North American Indian tuition waiver.

(q) The appropriation for Montcalm Community College is $3,966,700.00, $3,758,900.00 for operations, $198,300.00 for performance funding, and $9,500.00 for costs incurred under the North American Indian tuition waiver.

(r) The appropriation for C.S. Mott Community College is $17,823,200.00, $17,098,300.00 for operations, $693,400.00 for performance funding, and $31,500.00 for costs incurred under the North American Indian tuition waiver.

(s) The appropriation for Muskegon Community College is $10,223,600.00, $9,733,400.00 for operations, $477,500.00 for performance funding, and $12,700.00 for costs incurred under the North American Indian tuition waiver.

(t) The appropriation for North Central Michigan College is $4,011,000.00, $3,615,900.00 for operations, $252,900.00 for performance funding, and $142,200.00 for costs incurred under the North American Indian tuition waiver.

(u) The appropriation for Northwestern Michigan College is $10,650,300.00, $10,006,800.00 for operations, $466,500.00 for performance funding, and $177,000.00 for costs incurred under the North American Indian tuition waiver.

(v) The appropriation for Oakland Community College is $24,755,900.00, $23,469,500.00 for operations, $1,264,100.00 for performance funding, and $22,300.00 for costs incurred under the North American Indian tuition waiver.

(w) The appropriation for Schoolcraft College is $14,742,500.00, $13,939,500.00 for operations, $772,300.00 for performance funding, and $30,700.00 for costs incurred under the North American Indian tuition waiver.

(x) The appropriation for Southwestern Michigan College is $7,695,500.00, $7,332,800.00 for operations, $350,000.00 for performance funding, and $12,700.00 for costs incurred under the North American Indian tuition waiver.

(y) The appropriation for St. Clair County Community College is $8,226,400.00, $7,786,600.00 for operations, $423,800.00 for performance funding, and $16,000.00 for costs incurred under the North American Indian tuition waiver.

(z) The appropriation for Washtenaw Community College is $15,938,200.00, $14,851,300.00 for operations, $1,074,200.00 for performance funding, and $12,700.00 for costs incurred under the North American Indian tuition waiver.

(aa) The appropriation for Wayne County Community College is $19,197,900.00, $18,376,100.00 for operations, $817,200.00 for performance funding, and $4,600.00 for costs incurred under the North American Indian tuition waiver.

(bb) The appropriation for West Shore Community College is $2,865,600.00, $2,721,000.00 for operations, $130,200.00 for performance funding, and $14,400.00 for costs incurred under the North American Indian tuition waiver.

(3) The amount appropriated in subsection (2) for community college operations is $357,961,900.00 $100.00 and is appropriated from the state school aid fund.

(4) From the appropriations described in subsection (1), both of the following apply:

(a) Subject to section 207a, the amount appropriated for fiscal year 2023-2024 to offset certain fiscal year 2023-2024 retirement contributions is $7,189,000.00, appropriated from the state school aid fund.

(b) For fiscal year 2023-2024, there is allocated an amount not to exceed $23,000,000.00 for payments to participating community colleges, appropriated from the state school aid fund. A community college that receives money under this subdivision shall use that money solely for the purpose of offsetting the normal cost contribution rate.

(5) From the appropriations described in subsection (1), subject to section 207b, the amount appropriated for payments to community colleges that are participating entities of the retirement system is $105,800,000.00, appropriated from the state school aid fund.

(6) From the appropriations described in subsection (1), subject to section 207c, the amount appropriated for renaissance zone tax reimbursements is $2,200,000.00, appropriated from the state school aid fund. Each community college receiving funds in this subsection shall accrue these payments to its institutional fiscal year ending June 30, 2024.

(7) For fiscal year 2023-2024 only, from the appropriations described in subsection (1), the amount appropriated for career and education navigators for adult learners is $5,000,000.00, appropriated from the state school aid fund. Community colleges, partnering with 1 or more county governments, where practicable, may apply for grant funding through the Office of Sixty by 30 in the department of labor and economic opportunity to supplement or create navigation efforts of adult learners. The Office of Sixty by 30 shall issue a report including, but not limited to, the number of grants awarded, a list of community colleges awarded grants and the amounts, and the amount of unexpended funds remaining at the end of the fiscal year. The report must be issued to the house and senate appropriations subcommittees on community colleges, the house and senate fiscal agencies, and the state budget director by September 30, 2024.

(8) For fiscal year 2023-2024 only, from the appropriations described in subsection (1), the amount appropriated for the Michigan Reconnect Entry Point Program is $5,000,000.00, appropriated from the state school aid fund. Community colleges, partnering with 1 or more county governments, where practicable, may apply for grant funding through the Office of Sixty by 30 in the department of labor and economic opportunity to engage Michigan reconnect grant applicants who have been approved for funding but have not enrolled in a postsecondary or eligible Michigan reconnect program and work to identify and resolve barriers preventing enrollment. The Office of Sixty by 30 shall issue a report including, but not limited to, the number of grants awarded, a list of community colleges awarded grants and the amounts, a list of any counties that partnered with a community college for a grant under this section, and the amount of unexpended funds remaining at the end of the fiscal year. The report must be issued to the house and senate appropriations subcommittees on community colleges, the house and senate fiscal agencies, and the state budget director by September 30, 2024.

(9) For fiscal year 2023-2024 only, from the appropriations described in subsection (1), subject to sections 216c and 216d, the amount appropriated for infrastructure, technology, equipment, maintenance, housing, and safety is $32,836,600.00, appropriated from the state school aid fund.

(10) For fiscal year 2023-2024 only, from the appropriations described in subsection (1), $5,000,000.00 is appropriated from the state school aid fund for critical incident mapping. These funds must be distributed to community colleges proportionately to the amounts in subsection (2) for operations.

(11) From the appropriations described in subsection (1), the amount appropriated for Michigan workforce development projects is $530,000.00, appropriated from the state school aid fund. These funds must be awarded to Kalamazoo Valley Community College, and must be used by that college in conjunction with the college's wind turbine program for curriculum development for programs in 1 or more of the following areas:

(a) Electric vehicle battery installation and repair.

(b) Electric vehicle charger installation for residential applications, commercial applications, or both.

(c) Residential and community scale solar panel installation, maintenance, and repair.

(12) For fiscal year 2023-2024 only, from the appropriations described in subsection (1), $5,000,000.00 is appropriated from the state school aid fund to Washtenaw Community College for costs related to the college's involvement with a semiconductor research alliance.

Sec. 206. (1) Except for the funds appropriated in section 201(4)(b), the The funds appropriated in section 201 are appropriated for community colleges with fiscal years ending June 30, 2024 2025 and must be paid out of the state treasury and distributed by the state treasurer to the respective community colleges in 11 monthly installments on the sixteenth of each month, or the next succeeding business day, beginning with October 16, 2023. 2024. Each community college shall accrue its July and August 2024 2025 payments to its institutional fiscal year ending June 30, 2024.2025.

(2) The funds appropriated in section 201(4)(b) are appropriated for community colleges with fiscal years ending June 30, 2024 and must be distributed to the respective community colleges in quarterly installments on the sixteenth of each November, February, May, and August. Each community college shall accrue its August 2024 payments to its institutional fiscal year ending June 30, 2024.