Bill Text: MI HB4860 | 2009-2010 | 95th Legislature | Engrossed

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Appropriations; supplemental; supplemental school aid appropriations for 2010-2011 fiscal year; provide for. Amends secs. 11, 11j, 22e, 24c, 26a, 39a, 81, 94a, 102, 104 & 166b of 1979 PA 94 (MCL 388.1611 et seq.) & adds secs. 92 & 93.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2010-10-13 - Assigned Pa 204'10 With Immediate Effect [HB4860 Detail]

Download: Michigan-2009-HB4860-Engrossed.html

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HB-4860, As Passed Senate, September 29, 2010

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SENATE SUBSTITUTE FOR

 

HOUSE BILL NO. 4860

 

 

 

 

 

 

 

 

 

 

     A bill to amend 1979 PA 94, entitled

 

"The state school aid act of 1979,"

 

by amending sections 11, 11j, 22e, 24c, 26a, 39a, 81, 94a, 102,

 

104, and 166b (MCL 388.1611, 388.1611j, 388.1622e, 388.1624c,

 

388.1626a, 388.1639a, 388.1681, 388.1694a, 388.1702, 388.1704, and

 

388.1766b), sections 11, 11j, 22e, 24c, 26a, 39a, 81, 94a, 104, and

 

166b as amended by 2010 PA 110 and section 102 as amended by 2000

 

PA 297, and by adding sections 92 and 93.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 11. (1) For the fiscal year ending September 30, 2010,

 

there is appropriated for the public schools of this state and

 

certain other state purposes relating to education the sum of

 

$10,614,891,500.00 from the state school aid fund and the sum of

 

$30,206,200.00 from the general fund. For the fiscal year ending

 

September 30, 2010, there is also appropriated the sum of

 

$450,000,000.00 from the federal funding awarded to this state

 

under title XIV of the American recovery and reinvestment act of

 

2009, Public Law 111-5, to be used solely for the purpose of

 

funding the primary funding formula calculated under section 20, in

 

accordance with federal law. Subject to subsection (5), for the

 

fiscal year ending September 30, 2011, there is appropriated for

 

the public schools of this state and certain other state purposes

 

relating to education the sum of $10,949,559,200.00

 

$10,937,260,500.00 from the state school aid fund and the sum of

 

$30,206,200.00 $18,642,400.00 from the general fund. For the fiscal

 

year ending September 30, 2011, there is also appropriated the sum

 

of $184,256,600.00 from remaining balance of the federal funding

 

awarded to this state under title XIV of the American recovery and

 

reinvestment act of 2009, Public Law 111-5, estimated at

 

$184,256,600.00, to be used solely for the purpose of funding the

 

primary funding formula calculated under section 20, in accordance

 

with federal law. In addition, all other available federal funds,

 

except those otherwise appropriated under section 11p, are

 

appropriated each fiscal year for the fiscal year ending September

 

30, 2010 and for the fiscal year ending September 30, 2011.

 

     (2) The appropriations under this section shall be allocated

 

as provided in this act. Money appropriated under this section from

 

the general fund shall be expended to fund the purposes of this act

 

before the expenditure of money appropriated under this section

 

from the state school aid fund. If the maximum amount appropriated

 

under this section from the state school aid fund for a fiscal year

 

exceeds the amount necessary to fully fund allocations under this

 

act from the state school aid fund, that excess amount shall not be

 

expended in that state fiscal year and shall not lapse to the

 

general fund, but instead shall be deposited into the school aid

 

stabilization fund created in section 11a.

 

     (3) If the maximum amount appropriated under this section from

 

the state school aid fund and the school aid stabilization fund for

 

a fiscal year exceeds the amount available for expenditure from the

 

state school aid fund for that fiscal year, payments under sections

 

11f, 11g, 11j, 22a, 26a, 26b, 31d, 31f, 51a(2), 51a(12), 51c, 53a,

 

and 56 shall be made in full. In addition, for districts beginning

 

operations after 1994-95 that qualify for payments under section

 

22b, payments under section 22b shall be made so that the

 

qualifying districts receive the lesser of an amount equal to the

 

1994-95 foundation allowance of the district in which the district

 

beginning operations after 1994-95 is located or $5,500.00. The

 

amount of the payment to be made under section 22b for these

 

qualifying districts shall be as calculated under section 22a, with

 

the balance of the payment under section 22b being subject to the

 

proration otherwise provided under this subsection and subsection

 

(4). If proration is necessary, state payments under each of the

 

other sections of this act from all state funding sources shall be

 

prorated in the manner prescribed in subsection (4) as necessary to

 

reflect the amount available for expenditure from the state school

 

aid fund for the affected fiscal year. However, if the department

 

of treasury determines that proration will be required under this

 

subsection, or if the department of treasury determines that

 

further proration is required under this subsection after an

 

initial proration has already been made for a fiscal year, the

 

department of treasury shall notify the state budget director, and

 

the state budget director shall notify the legislature at least 30

 

calendar days or 6 legislative session days, whichever is more,

 

before the department reduces any payments under this act because

 

of the proration. During the 30 calendar day or 6 legislative

 

session day period after that notification by the state budget

 

director, the department shall not reduce any payments under this

 

act because of proration under this subsection. The legislature may

 

prevent proration from occurring by, within the 30 calendar day or

 

6 legislative session day period after that notification by the

 

state budget director, enacting legislation appropriating

 

additional funds from the general fund, countercyclical budget and

 

economic stabilization fund, state school aid fund balance, or

 

another source to fund the amount of the projected shortfall.

 

     (4) If proration is necessary under subsection (3), the

 

department shall calculate the proration in district and

 

intermediate district payments that is required under subsection

 

(3) as follows:

 

     (a) The department shall calculate the percentage of total

 

state school aid allocated under this act for the affected fiscal

 

year for each of the following:

 

     (i) Districts.

 

     (ii) Intermediate districts.

 

     (iii) Entities other than districts or intermediate districts.

 

     (b) The department shall recover a percentage of the proration

 

amount required under subsection (3) that is equal to the

 

percentage calculated under subdivision (a)(i) for districts by

 

reducing payments to districts. This reduction shall be made by

 

calculating an equal dollar amount per pupil as necessary to

 

recover this percentage of the proration amount and reducing each

 

district's total state school aid from state sources, other than

 

payments under sections 11f, 11g, 11j, 22a, 26a, 26b, 31d, 31f,

 

51a(2), 51a(12), 51c, and 53a, by that amount.

 

     (c) The department shall recover a percentage of the proration

 

amount required under subsection (3) that is equal to the

 

percentage calculated under subdivision (a)(ii) for intermediate

 

districts by reducing payments to intermediate districts. This

 

reduction shall be made by reducing the payments to each

 

intermediate district, other than payments under sections 11f, 11g,

 

26a, 26b, 51a(2), 51a(12), 53a, and 56, on an equal percentage

 

basis.

 

     (d) The department shall recover a percentage of the proration

 

amount required under subsection (3) that is equal to the

 

percentage calculated under subdivision (a)(iii) for entities other

 

than districts and intermediate districts by reducing payments to

 

these entities. This reduction shall be made by reducing the

 

payments to each of these entities, other than payments under

 

sections 11j, 26a, and 26b, on an equal percentage basis.

 

     (5) If the department reports to the chairpersons of the house

 

and senate appropriations subcommittees responsible for this act,

 

to the house and senate fiscal agencies, and to the state budget

 

director that the department has been notified that this state has

 

not been awarded a competitive grant from the federal incentive

 

grant program created under sections 14005 and 14006 of title XIV

 

of the American recovery and reinvestment act of 2009, Public Law

 

111-5, known as the "race to the top" grant program, then in

 

addition to the appropriation in subsection (1) there is also

 

appropriated from the state school aid fund for 2010-2011 an

 

additional amount not to exceed $26,167,500.00 and the general fund

 

appropriation in subsection (1) for 2010-2011 is reduced by

 

$2,363,800.00.

 

     (5) (6) Except for the allocation under section 26a, any Any

 

general fund allocations under this act 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. 11j. From the appropriation in section 11, there is

 

allocated an amount not to exceed $45,134,000.00 $5,167,800.00 for

 

2010-2011 for payments to the school loan bond redemption fund in

 

the department of treasury on behalf of districts and intermediate

 

districts. Notwithstanding section 11 or any other provision of

 

this act, funds allocated under this section are not subject to

 

proration and shall be paid in full.

 

     Sec. 22e. (1) Beginning in 2008-2009, an amount will be

 

allocated each fiscal year from the appropriation in section 11 for

 

additional payments under this subsection to districts that meet

 

the eligibility requirements under subsection (2). For 2010-2011,

 

there is allocated for this purpose from the appropriation in

 

section 11 an amount not to exceed $1,300,000.00.

 

     (2) To be eligible for a payment under subsection (1), a

 

district must be determined by the department and the department of

 

treasury to meet all of the following:

 

     (a) The district levies 1 of the following operating millage

 

amounts:

 

     (i) All of the operating millage it is authorized to levy under

 

section 1211 of the revised school code, MCL 380.1211.

 

     (ii) The amount of operating millage it is authorized to levy

 

after a voluntary reduction of its operating millage rate adopted

 

by the board of the district.

 

     (iii) The amount of operating millage it is authorized to levy

 

after a millage reduction required under the limitation of section

 

31 of article IX of the state constitution of 1963, if a ballot

 

question asking for approval to levy millage in excess of the

 

limitation has been rejected in the district.

 

     (b) The district receives a reduced amount of local school

 

operating revenue under section 1211 of the revised school code,

 

MCL 380.1211, as a result of the exemptions of industrial personal

 

property and commercial personal property that were enacted in 2007

 

PA 37.

 

     (c) The district does not receive any state portion of its

 

foundation allowance, as calculated under section 20(4).

 

     (3) Subject to subsection (4), the amount of the additional

 

funding to each eligible district under subsection (1) is the sum

 

of the following and shall be paid to the eligible districts in the

 

same manner as payments under section 22b:

 

     (a) The product of the taxable value of the district's

 

industrial personal property for the calendar year ending in the

 

fiscal year multiplied by the total number of mills the district

 

levies on nonexempt property under section 1211 of the revised

 

school code, MCL 380.1211, for that calendar year.

 

     (b) The product of the taxable value of the district's

 

commercial personal property for the calendar year ending in the

 

fiscal year multiplied by the lesser of 12 mills or the total

 

number of mills the district levies on nonexempt property under

 

section 1211 of the revised school code, MCL 380.1211, for that

 

calendar year.

 

     (4) The amount of the additional funding to an eligible

 

district under subsection (1) for a fiscal year shall not exceed

 

15% of the total amount allocated under subsection (1) for that

 

fiscal year.

 

     (5) If the total amount of the payments calculated under

 

subsection (3) for a fiscal year exceeds the allocation under

 

subsection (1) for that fiscal year, the payment to each district

 

under subsection (1) shall be prorated on an equal percentage

 

basis.

 

     (6) In addition to the amount allocated under subsection (1),

 

for 2010-2011 only there is also allocated from the appropriation

 

in section 11 the amount of $500,000.00 to a district that is

 

eligible for a payment under subsection (1) and that levied 1.8

 

mills in 1993 to finance an operating deficit.

 

     Sec. 24c. From the appropriation in section 11, there is

 

allocated an amount not to exceed $642,300.00 $742,300.00 for 2010-

 

2011 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

 

located within the district and 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. 26a. From the state school aid fund appropriation in

 

section 11, there is allocated an amount not to exceed

 

$26,300,000.00 for 2010-2011, and from the general fund

 

appropriation in section 11, there is allocated an amount not to

 

exceed $9,200,000.00 for 2010-2011 to reimburse districts , and

 

intermediate districts , and the state school aid fund pursuant to

 

section 12 of the Michigan renaissance zone act, 1996 PA 376, MCL

 

125.2692, for taxes levied in 2010. 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. 39a. (1) From the federal funds appropriated in section

 

11, there is allocated for 2010-2011 to districts, intermediate

 

districts, and other eligible entities all available federal

 

funding, estimated at $761,973,600.00, for the federal programs

 

under the no child left behind act of 2001, Public Law 107-110.

 

These funds are allocated as follows:

 

     (a) An amount estimated at $10,808,600.00 to provide students

 

with drug- and violence-prevention programs and to implement

 

strategies to improve school safety, funded from DED-OESE, drug-

 

free schools and communities funds.

 

     (b) An amount estimated at $7,461,800.00 for the purpose of

 

improving teaching and learning through a more effective use of

 

technology, funded from DED-OESE, educational technology state

 

grant funds.

 

     (c) An amount estimated at $109,411,900.00 for the purpose of

 

preparing, training, and recruiting high-quality teachers and class

 

size reduction, funded from DED-OESE, improving teacher quality

 

funds.

 

     (d) An amount estimated at $10,322,300.00 for programs to

 

teach English to limited English proficient (LEP) children, funded

 

from DED-OESE, language acquisition state grant funds.

 

     (e) An amount estimated at $8,550,000.00 for the Michigan

 

charter school subgrant program, funded from DED-OESE, charter

 

school funds.

 

     (f) An amount estimated at $898,300.00 $1,760,000.00 for rural

 

and low income schools, funded from DED-OESE, rural and low income

 

school funds.

 

     (g) An amount estimated at $1,000.00 to help schools develop

 

and implement comprehensive school reform programs, funded from

 

DED-OESE, title I and title X, comprehensive school reform funds.

 

     (h) An amount estimated at $517,479,800.00 to provide

 

supplemental programs to enable educationally disadvantaged

 

children to meet challenging academic standards, funded from DED-

 

OESE, title I, disadvantaged children funds.

 

     (i) An amount estimated at $2,152,700.00 for the purpose of

 

providing unified family literacy programs, funded from DED-OESE,

 

title I, even start funds.

 

     (j) An amount estimated at $8,807,200.00 for the purpose of

 

identifying and serving migrant children, funded from DED-OESE,

 

title I, migrant education funds.

 

     (k) An amount estimated at $24,733,200.00 to promote high-

 

quality school reading instruction for grades K-3, funded from DED-

 

OESE, title I, reading first state grant funds.

 

     (l) An amount estimated at $2,849,000.00 for the purpose of

 

implementing innovative strategies for improving student

 

achievement, funded from DED-OESE, title VI, innovative strategies

 

funds.

 

     (m) An amount estimated at $40,050,000.00 for the purpose of

 

providing high-quality extended learning opportunities, after

 

school and during the summer, for children in low-performing

 

schools, funded from DED-OESE, twenty-first century community

 

learning center funds.

 

     (n) An amount estimated at $17,586,100.00 to help support

 

local school improvement efforts, funded from DED-OESE, title I,

 

local school improvement grants.

 

     (2) From the federal funds appropriated in section 11, there

 

is allocated for 2010-2011 to districts, intermediate districts,

 

and other eligible entities all available federal funding,

 

estimated at $32,359,700.00, for the following programs that are

 

funded by federal grants:

 

     (a) An amount estimated at $600,000.00 for acquired

 

immunodeficiency syndrome education grants, funded from HHS –

 

center for disease control, AIDS funding.

 

     (b) An amount estimated at $1,814,100.00 to provide services

 

to homeless children and youth, funded from DED-OVAE, homeless

 

children and youth funds.

 

     (c) An amount estimated at $1,445,600.00 for serve America

 

grants, funded from the corporation for national and community

 

service funds.

 

     (d) An amount estimated at $28,500,000.00 for providing career

 

and technical education services to pupils, funded from DED-OVAE,

 

basic grants to states.

 

     (3) To the extent allowed under federal law, the funds

 

allocated under subsection (1)(h), (i), (k), and (n) may be used

 

for 1 or more reading improvement programs that meet at least 1 of

 

the following:

 

     (a) A research-based, validated, structured reading program

 

that aligns learning resources to state standards and includes

 

continuous assessment of pupils and individualized education plans

 

for pupils.

 

     (b) A mentoring program that is a research-based, validated

 

program or a statewide 1-to-1 mentoring program and is designed to

 

enhance the independence and life quality of pupils who are

 

mentally impaired by providing opportunities for mentoring and

 

integrated employment.

 

     (c) A cognitive development program that is a research-based,

 

validated educational service program focused on assessing and

 

building essential cognitive and perceptual learning abilities to

 

strengthen pupil concentration and learning.

 

     (d) A structured mentoring-tutorial reading program for pupils

 

in preschool to grade 4 that is a research-based, validated program

 

that develops individualized educational plans based on each

 

pupil's age, assessed needs, reading level, interests, and learning

 

style.

 

     (4) All federal funds allocated under this section shall be

 

distributed in accordance with federal law and with flexibility

 

provisions outlined in Public Law 107-116, and in the education

 

flexibility partnership act of 1999, Public Law 106-25.

 

Notwithstanding section 17b, payments of federal funds to

 

districts, intermediate districts, and other eligible entities

 

under this section shall be paid on a schedule determined by the

 

department.

 

     (5) For the purposes of applying for federal grants

 

appropriated under this act, the department shall allow an

 

intermediate district to submit a consolidated application on

 

behalf of 2 or more districts with the agreement of those

 

districts.

 

     (6) As used in this section:

 

     (a) "DED" means the United States department of education.

 

     (b) "DED-OESE" means the DED office of elementary and

 

secondary education.

 

     (c) "DED-OVAE" means the DED office of vocational and adult

 

education.

 

     (d) "HHS" means the United States department of health and

 

human services.

 

     (e) "HHS-ACF" means the HHS administration for children and

 

families.

 

     Sec. 81. (1) Except as otherwise provided in this section,

 

from the appropriation in section 11, there is allocated each

 

fiscal year for 2009-2010 and for 2010-2011 to the intermediate

 

districts the sum necessary, but not to exceed $67,776,800.00 for

 

2009-2010 and not to exceed $65,376,800.00, for 2010-2011, to

 

provide state aid to intermediate districts under this section.

 

Except as otherwise provided in this section, there shall be

 

allocated to each intermediate district for 2009-2010 an amount

 

equal to 82.9% of the amount allocated under this subsection for

 

2008-2009 and for 2010-2011 an amount equal to 80% of the amount

 

allocated under this subsection for 2008-2009. Funding provided

 

under this section shall be used to comply with requirements of

 

this act and the revised school code that are applicable to

 

intermediate districts, and for which funding is not provided

 

elsewhere in this act, and to provide technical assistance to

 

districts as authorized by the intermediate school board.

 

     (2) Intermediate districts receiving funds under this section

 

shall collaborate with the department to develop expanded

 

professional development opportunities for teachers to update and

 

expand their knowledge and skills needed to support the Michigan

 

merit curriculum.

 

     (3) From the allocation in subsection (1), there is allocated

 

to an intermediate district, formed by the consolidation or

 

annexation of 2 or more intermediate districts or the attachment of

 

a total intermediate district to another intermediate school

 

district or the annexation of all of the constituent K-12 districts

 

of a previously existing intermediate school district which has

 

disorganized, an additional allotment of $3,500.00 each fiscal year

 

for each intermediate district included in the new intermediate

 

district for 3 years following consolidation, annexation, or

 

attachment.

 

     (4) During a fiscal year, the department shall not increase an

 

intermediate district's allocation under subsection (1) because of

 

an adjustment made by the department during the fiscal year in the

 

intermediate district's taxable value for a prior year. Instead,

 

the department shall report the adjustment and the estimated amount

 

of the increase to the house and senate fiscal agencies and the

 

state budget director not later than June 1 of the fiscal year, and

 

the legislature shall appropriate money for the adjustment in the

 

next succeeding fiscal year.

 

     (5) In order to receive funding under this section, an

 

intermediate district shall do all of the following:

 

     (a) Demonstrate to the satisfaction of the department that the

 

intermediate district employs at least 1 person who is trained in

 

pupil counting procedures, rules, and regulations.

 

     (b) Demonstrate to the satisfaction of the department that the

 

intermediate district employs at least 1 person who is trained in

 

rules, regulations, and district reporting procedures for the

 

individual-level student data that serves as the basis for the

 

calculation of the district and high school graduation and dropout

 

rates.

 

     (c) Comply with sections 1278a and 1278b of the revised school

 

code, MCL 380.1278a and 380.1278b.

 

     (d) 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.

 

     (e) Comply with section 1230g of the revised school code, MCL

 

380.1230g.

 

     (f) Comply with section 761 of the revised school code, MCL

 

380.761.

 

     (6) If the amount of the allocation to intermediate districts

 

under subsection (1) is reduced in a fiscal year after 2010-2011

 

from the amount of that allocation for 2010-2011, that reduced

 

allocation shall not result in an intermediate district's

 

allocation being less than the funding actually received by or paid

 

on behalf of the intermediate district for the 1995-96 1994-95

 

fiscal year under former section 146a(1) and section 147(1), as

 

those sections were in effect for the 1995-96 1994-95 fiscal year.

 

     Sec. 92. From the state school aid fund money appropriated in

 

section 11, there is allocated for 2010-2011 an amount not to

 

exceed $300,000.00 to Saginaw Valley state university to begin an

 

agricultural degree program that focuses on agriscience education,

 

agricultural business, and agricultural communications.

 

     Sec. 93. From the general fund money appropriated in section

 

11, there is allocated for 2010-2011 an amount not to exceed

 

$1,500,000.00 to the library of Michigan for state aid to libraries

 

payments to help support the provision of the Michigan electronic

 

library in public schools and public libraries. The library of

 

Michigan shall distribute the payments to libraries under this

 

section in an amount equal to 25.0% of the allocation each library

 

received under the state aid to libraries appropriation enacted

 

under 2009 PA 115.

 

     Sec. 94a. (1) There is created within the state budget office

 

in the department of technology, management, and budget the center

 

for educational performance and information. The center shall do

 

all of the following:

 

     (a) Coordinate the collection of all data required by state

 

and federal law from districts, intermediate districts, and

 

postsecondary institutions.

 

     (b) Create, maintain, and enhance this state's statewide

 

longitudinal data system and ensure that it meets the requirements

 

of subsection (6).

 

     (c) Collect data in the most efficient manner possible in

 

order to reduce the administrative burden on reporting entities,

 

including, but not limited to, electronic transcript services.

 

     (d) Create, maintain, and enhance this state's web-based

 

educational portal to provide information to school leaders,

 

teachers, researchers, and the public in compliance with all

 

federal and state privacy laws. Data shall include, but are not

 

limited to, all of the following:

 

     (i) Data sets that link teachers to student information,

 

allowing districts to assess individual teacher impact on student

 

performance and consider student growth factors in teacher and

 

principal evaluation systems.

 

     (ii) Data access or, if practical, data sets, provided for

 

regional data warehouses that, in combination with local data, can

 

improve teaching and learning in the classroom.

 

     (iii) Research-ready data sets for researchers to perform

 

research that advances this state's educational performance.

 

     (e) Provide data in a useful manner to allow state and local

 

policymakers to make informed policy decisions.

 

     (f) Provide public reports to the citizens of this state to

 

allow them to assess allocation of resources and the return on

 

their investment in the education system of this state.

 

     (g) Other functions as assigned by the state budget director.

 

     (2) Each state department, officer, or agency that collects

 

information from districts, intermediate districts, or

 

postsecondary institutions as required under state or federal law

 

shall make arrangements with the center to ensure that the state

 

department, officer, or agency is in compliance with subsection

 

(1). This subsection does not apply to information collected by the

 

department of treasury under the uniform budgeting and accounting

 

act, 1968 PA 2, MCL 141.421 to 141.440a; the revised municipal

 

finance act, 2001 PA 34, MCL 141.2101 to 141.2821; the school bond

 

qualification, approval, and loan act, 2005 PA 92, MCL 388.1921 to

 

388.1939; or section 1351a of the revised school code, MCL

 

380.1351a.

 

     (3) The state budget director shall appoint a CEPI advisory

 

committee to provide advice to the director. The CEPI advisory

 

committee shall consist of the following members:

 

     (a) One representative from the house fiscal agency.

 

     (b) One representative from the senate fiscal agency.

 

     (c) One representative from the state budget office.

 

     (d) One representative from the state education agency.

 

     (e) One representative each from the department of energy,

 

labor, and economic growth and the department of treasury.

 

     (f) Three representatives from intermediate school districts.

 

     (g) One representative from each of the following educational

 

organizations:

 

     (i) Michigan association of school boards.

 

     (ii) Michigan association of school administrators.

 

     (iii) Michigan school business officials.

 

     (h) One representative representing private sector firms

 

responsible for auditing school records.

 

     (i) Other representatives as the state budget director

 

determines are necessary.

 

     (4) The CEPI advisory committee appointed under subsection (3)

 

shall provide advice to the director of the center regarding the

 

management of the center's data collection activities, including,

 

but not limited to:

 

     (a) Determining what data is necessary to collect and maintain

 

in order to perform the center's functions in the most efficient

 

manner possible.

 

     (b) Defining the roles of all stakeholders in the data

 

collection system.

 

     (c) Recommending timelines for the implementation and ongoing

 

collection of data.

 

     (d) Establishing and maintaining data definitions, data

 

transmission protocols, and system specifications and procedures

 

for the efficient and accurate transmission and collection of data.

 

     (e) Establishing and maintaining a process for ensuring the

 

reasonable accuracy of the data.

 

     (f) Establishing and maintaining state and model local

 

policies related to data collection, including, but not limited to,

 

privacy policies related to individual student data. These privacy

 

policies shall ensure that a student's social security number is

 

not released to the public for any purpose.

 

     (g) Working with stakeholders to develop a state research

 

agenda.

 

     (h) Other matters as determined by the state budget director

 

or the director of the center.

 

     (5) The center may enter into any interlocal agreements

 

necessary to fulfill its functions.

 

     (6) The center shall ensure that the statewide longitudinal

 

data system required under subsection (1)(b) meets all of the

 

following:

 

     (a) Includes data at the individual student level from

 

preschool through postsecondary education and into the workforce.

 

     (b) Supports interoperability by using standard data

 

structures, data formats, and data definitions to ensure linkage

 

and connectivity in a manner that facilitates the exchange of data

 

among agencies and institutions within the state and between

 

states.

 

     (c) Enables the matching of individual teacher and student

 

records so that an individual student may be matched with those

 

teachers providing instruction to that student.

 

     (d) Enables the matching of individual teachers with

 

information about their certification and the institutions that

 

prepared and recommended those teachers for state certification.

 

     (e) Enables data to be easily generated for continuous

 

improvement and decision-making, including timely reporting to

 

parents, teachers, and school leaders on student achievement.

 

     (f) Ensures the reasonable quality, validity, and reliability

 

of data contained in the system.

 

     (g) Provides this state with the ability to meet federal and

 

state reporting requirements.

 

     (h) For data elements related to preschool through grade 12

 

and postsecondary, meets all of the following:

 

     (i) Contains a unique statewide student identifier that does

 

not permit a student to be individually identified by users of the

 

system, except as allowed by federal and state law.

 

     (ii) Contains student-level enrollment, demographic, and

 

program participation information.

 

     (iii) Contains student-level information about the points at

 

which students exit, transfer in, transfer out, drop out, or

 

complete education programs.

 

     (iv) Has the capacity to communicate with higher education data

 

systems.

 

     (i) For data elements related to preschool through grade 12

 

only, meets all of the following:

 

     (i) Contains yearly test records of individual students for

 

assessments approved by DED-OESE for accountability purposes under

 

section 1111(b) of the elementary and secondary education act of

 

1965, 20 USC 6311, including information on individual students not

 

tested, by grade and subject.

 

     (ii) Contains student-level transcript information, including

 

information on courses completed and grades earned.

 

     (iii) Contains student-level college readiness test scores.

 

     (j) For data elements related to postsecondary education only:

 

     (i) Contains data that provide information regarding the extent

 

to which individual students transition successfully from secondary

 

school to postsecondary education, including, but not limited to,

 

all of the following:

 

     (A) Enrollment in remedial coursework.

 

     (B) Completion of 1 year's worth of college credit applicable

 

to a degree within 2 years of enrollment.

 

     (ii) Contains data that provide other information determined

 

necessary to address alignment and adequate preparation for success

 

in postsecondary education.

 

     (7) From the general fund appropriation in section 11, there

 

is allocated an amount not to exceed $3,486,100.00 for 2009-2010

 

and, subject to subsection (9), an amount not to exceed

 

$3,621,100.00 for 2010-2011 to the department of technology,

 

management, and budget to support the operations of the center. In

 

addition, from the federal funds appropriated in section 11 there

 

is allocated each fiscal year for 2009-2010 and for 2010-2011 the

 

amount necessary, estimated at $13,416,600.00 for 2009-2010 and

 

estimated at $10,067,800.00 for 2010-2011, to support the

 

operations of the center. The center shall cooperate with the state

 

education agency to ensure that this state is in compliance with

 

federal law and is maximizing opportunities for increased federal

 

funding to improve education in this state.

 

     (8) From the federal funds allocated in subsection (7), there

 

is allocated for 2009-2010 an amount not to exceed $750,000.00 and

 

for 2010-2011 an amount not to exceed $850,000.00 funded from the

 

competitive grants of DED-OESE, title II, educational technology

 

funds for the purposes of this subsection. Not later than November

 

30 of each fiscal year, the department shall award a single grant

 

to an eligible partnership that includes an intermediate district

 

with at least 1 high-need local school district and the center.

 

     (9) If the department reports to the chairpersons of the house

 

and senate appropriations subcommittees responsible for this act,

 

to the house and senate fiscal agencies, and to the state budget

 

director that the department has been notified that this state has

 

not been awarded a competitive grant from the federal incentive

 

grant program created under sections 14005 and 14006 of title XIV

 

of the American recovery and reinvestment act of 2009, Public Law

 

111-5, known as the "race to the top" grant program, then in In

 

addition to the amount allocated under subsection (7) there is also

 

allocated from the general fund money appropriated in section 11

 

for 2010-2011 an additional amount not to exceed $1,800,000.00 for

 

the purpose of establishing a longitudinal data system as provided

 

under this section in compliance with the assurance provided to the

 

federal department of education in order to receive state fiscal

 

stabilization funds. In addition, there is allocated for 2010-2011

 

from the state school aid fund money appropriated under section 11

 

an amount not to exceed $8,440,000.00 to support the efforts of

 

districts to match individual teacher and student records. The

 

funds shall be distributed to districts in an amount and manner

 

determined by the center.

 

     (10) From the federal funds allocated in subsection (7), there

 

is allocated for 2009-2010 an amount not to exceed $1,114,000.00

 

and for 2010-2011 an amount not to exceed $242,000.00 to support

 

the efforts of postsecondary institutions to comply with the

 

requirements of this state's statewide longitudinal data system.

 

The funds shall be distributed to postsecondary institutions in an

 

amount and manner determined by the center.

 

     (11) The center and the department shall work cooperatively to

 

develop a cost allocation plan that pays for center expenses from

 

the appropriate federal fund and state restricted fund revenues.

 

     (12) Funds allocated under this section that are not expended

 

in the fiscal year in which they were allocated may be carried

 

forward to a subsequent fiscal year and are appropriated for the

 

purposes for which the funds were originally allocated.

 

     (13) The center may bill departments as necessary in order to

 

fulfill reporting requirements of state and federal law. The center

 

may also enter into agreements to supply custom data, analysis, and

 

reporting to other principal executive departments, state agencies,

 

local units of government, and other individuals and organizations.

 

The center may receive and expend funds in addition to those

 

authorized in subsection (7) to cover the costs associated with

 

salaries, benefits, supplies, materials, and equipment necessary to

 

provide such data, analysis, and reporting services.

 

     (14) As used in this section:

 

     (a) "DED-OESE" means the United States department of education

 

office of elementary and secondary education.

 

     (b) "High-need local school district" means a local

 

educational agency as defined in the enhancing education through

 

technology part of the no child left behind act of 2001, Public Law

 

107-110.

 

     (c) "State education agency" means the department.

 

     Sec. 102. (1) A district or intermediate district receiving

 

money under this act shall not adopt or operate under a deficit

 

budget, and a district or intermediate district shall not incur an

 

operating deficit in a fund during a school fiscal year. A district

 

or intermediate district having that has an existing deficit or

 

which fund balance, that incurs a deficit fund balance in the most

 

recently completed school fiscal year, or that adopts a current

 

year budget that projects a deficit fund balance shall not be

 

allotted or paid a further sum under this act until the district or

 

intermediate district submits to the department for approval a

 

budget for the current school fiscal year and a plan to eliminate

 

the district's or intermediate district's deficit not later than

 

the end of the second school fiscal year after the deficit was

 

incurred or the budget projecting a deficit was adopted. Withheld

 

state aid payments shall be released after the department approves

 

the deficit reduction plan and ensures that the budget for the

 

current school fiscal year is balanced.

 

     (2) Not later than March 1 of each year, the department shall

 

prepare a report of deficits incurred or projected by districts and

 

intermediate districts in the immediately preceding fiscal year and

 

the progress made in reducing those deficits and submit the report

 

to the standing committees of the legislature responsible for K-12

 

education legislation, the appropriations subcommittees of the

 

legislature responsible for K-12 education appropriations, the

 

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

 

state budget director. The department shall also submit interim

 

reports concerning district and intermediate district deficits as

 

necessary.

 

     (3) The amount of the permissible deficit for each school

 

fiscal year shall not exceed the amount of state aid reduced by an

 

executive order during that school fiscal year.

 

     (4) A district or intermediate district with that has an

 

existing deficit or which fund balance, that incurs a deficit fund

 

balance in the most recently completed school fiscal year, or that

 

adopts a current year budget that projects a deficit fund balance

 

shall submit to the department a monthly monitoring report on

 

revenue and expenditures in a form and manner prescribed by the

 

department.

 

     (5) If a district or intermediate district is not able to

 

comply with the provisions of this section, the district or

 

intermediate district shall submit to the department a plan to

 

eliminate its deficit. Upon approval of the plan submitted, the

 

superintendent of public instruction may continue allotment and

 

payment of funds under this act, extend the period of time in which

 

a district or intermediate district has to eliminate its deficit,

 

and set special conditions that the district or intermediate

 

district must meet during the period of the extension.

 

     (6) For the purposes of this section, a district or

 

intermediate district is considered to have incurred an operating

 

deficit if the district or intermediate district incurs any

 

withholding of or financial penalty, other than a temporary delay,

 

against any portion of its total state school aid allocation under

 

this act "deficit fund balance" means that term as defined in the

 

Michigan public school accounting manual published by the

 

department.

 

     Sec. 104. (1) In order to receive state aid under this act, a

 

district shall comply with sections 1249, 1278a, 1278b, 1279,

 

1279g, and 1280b of the revised school code, MCL 380.1249,

 

380.1278a, 380.1278b, 380.1279, 380.1279g, and 380.1280b, and 1970

 

PA 38, MCL 388.1081 to 388.1086. Subject to subsection (2), from

 

the state school aid fund money appropriated in section 11, there

 

is allocated for 2010-2011 an amount not to exceed $26,630,700.00

 

$40,194,400.00 for payments on behalf of districts for costs

 

associated with complying with those provisions of law. In

 

addition, subject to subsection (2), from the federal funds

 

appropriated in section 11, there is allocated for 2010-2011 an

 

amount estimated at $8,313,700.00, $3,250,000.00, funded from DED-

 

OESE, title VI, state assessments funds and DED-OSERS, section 504

 

of part B of the individuals with disabilities education act,

 

Public Law 94-142, plus any carryover federal funds from previous

 

year appropriations, for the purposes of complying with the federal

 

no child left behind act of 2001, Public Law 107-110.

 

     (2) If the department reports to the chairpersons of the house

 

and senate appropriations subcommittees responsible for this act,

 

to the house and senate fiscal agencies, and to the state budget

 

director that the department has been notified that this state has

 

not been awarded a competitive grant from the federal incentive

 

grant program created under sections 14005 and 14006 of title XIV

 

of the American recovery and reinvestment act of 2009, Public Law

 

111-5, known as the "race to the top" grant program, then in

 

addition to the amount allocated from the state school aid fund in

 

subsection (1) there is also allocated from the state school aid

 

fund money appropriated in section 11 for 2010-2011 an additional

 

amount not to exceed $13,563,700.00, and the amount allocated from

 

federal funds in subsection (1) for 2010-2011 is reduced by

 

$5,063,700.00.

 

     (2) (3) The results of each test administered as part of the

 

Michigan educational assessment program, including tests

 

administered to high school students, shall include an item

 

analysis that lists all items that are counted for individual pupil

 

scores and the percentage of pupils choosing each possible

 

response.

 

     (3) (4) All federal funds allocated under this section shall

 

be distributed in accordance with federal law and with flexibility

 

provisions outlined in Public Law 107-116, and in the education

 

flexibility partnership act of 1999, Public Law 106-25.

 

     (4) (5) Notwithstanding section 17b, payments on behalf of

 

districts, intermediate districts, and other eligible entities

 

under this section shall be paid on a schedule determined by the

 

department.

 

     (5) (6) As used in this section:

 

     (a) "DED" means the United States department of education.

 

     (b) "DED-OESE" means the DED office of elementary and

 

secondary education.

 

     (b) (c) "DED-OSERS" means the DED office of special education

 

and rehabilitative services.

 

     Sec. 166b. (1) This act does not prohibit a parent or legal

 

guardian of a minor who is enrolled in any of grades 1 to 12 in a

 

nonpublic school or who is being home-schooled from also enrolling

 

the minor in a district, public school academy, or intermediate

 

district in any curricular offering that is provided by the

 

district, public school academy, or intermediate district at a

 

public school site and is available to pupils in the minor's grade

 

level or age group, subject to compliance with the same

 

requirements that apply to a full-time pupil's participation in the

 

offering. However, state school aid shall be provided under this

 

act for a minor enrolled as described in this subsection only for

 

curricular offerings that are offered to full-time pupils in the

 

minor's grade level or age group during regularly scheduled school

 

hours.

 

     (2) This act does not prohibit a parent or legal guardian of a

 

minor who is enrolled in any of grades 1 to 12 in a nonpublic

 

school located within the district or who resides within the

 

district and is being home-schooled from also enrolling the minor

 

in the district in a curricular offering being provided by the

 

district at the nonpublic school site. However, state school aid

 

shall be provided under this act for a minor enrolled as described

 

in this subsection only if all of the following apply:

 

     (a) Either of the following:

 

     (i) The nonpublic school site is located, or the nonpublic

 

students are educated, within the geographic boundaries of the

 

district.

 

     (ii) If the nonpublic school has submitted a written request

 

for a specific fiscal year to the district in which the nonpublic

 

school is located for the district to provide certain instruction

 

under this subsection for a school year and the district does not

 

agree to provide some or all of that instruction by May 1

 

immediately preceding that school year or, if the request is

 

submitted after March 1 immediately preceding that school year,

 

within 60 days after the nonpublic school submits the request, the

 

portion of the instruction that the district has not agreed to

 

provide is instead provided by a district that is contiguous to the

 

district in which the nonpublic school is located. This

 

subparagraph applies only to instruction, or a portion of

 

instruction, that is specifically included in the written request

 

that was made to the district in which the nonpublic school is

 

located and that was denied by that district. A public school

 

academy that is located in the district in which the nonpublic

 

school is located or in a district that is contiguous to the

 

district in which the nonpublic school is located also may provide

 

instruction under this subparagraph in the same manner under the

 

same conditions as a district that is contiguous to the district in

 

which the nonpublic school is located.

 

     (b) The nonpublic school is registered with the department as

 

a nonpublic school and meets all state reporting requirements for

 

nonpublic schools.

 

     (c) The instruction is scheduled to occur during the regular

 

school day.

 

     (d) The instruction is provided directly by an employee of the

 

district or public school academy or of an intermediate district.

 

     (e) The curricular offering is also available to full-time

 

pupils in the minor's grade level or age group in the district or

 

public school academy during the regular school day at a public

 

school site.

 

     (f) The curricular offering is restricted to nonessential

 

elective courses for pupils in grades 1 to 12.

 

     (3) A minor enrolled as described in this section is a part-

 

time pupil for purposes of state school aid under this act.

 

     (4) A district that receives a written request to provide

 

instruction under subsection (2) shall reply to the request in

 

writing by May 1 immediately preceding the applicable school year

 

or, if the request is made after March 1 immediately preceding that

 

school year, within 60 days after the nonpublic school submits the

 

request. The written reply shall specify whether the district

 

agrees to provide or does not agree to provide the instruction for

 

each portion of instruction included in the request.

 

     Enacting section 1. In accordance with section 30 of article

 

IX of the state constitution of 1963, total state spending in this

 

amendatory act and in 2010 PA 110 from state sources for fiscal

 

year 2010-2011 is estimated at $10,955,902,900.00 and state

 

appropriations to be paid to local units of government for fiscal

 

year 2010-2011 are estimated at $10,824,041,900.00.

 

     Enacting section 2. This amendatory act takes effect October

 

1, 2010.