Bill Text: MI HB4994 | 2009-2010 | 95th Legislature | Introduced

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Bill Title: School aid; foundation allowance; foundation allowance calculation for certain districts; revise. Amends sec. 20 of 1979 PA 94 (MCL 388.1620).

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced - Dead) 2009-05-27 - Printed Bill Filed 05/27/2009 [HB4994 Detail]

Download: Michigan-2009-HB4994-Introduced.html

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HOUSE BILL No. 4994

 

May 26, 2009, Introduced by Reps. Melton and Johnson and referred to the Committee on Education.

 

     A bill to amend 1979 PA 94, entitled

 

"The state school aid act of 1979,"

 

by amending section 20 (MCL 388.1620), as amended by 2008 PA 561.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 20. (1) For 2007-2008, the basic foundation allowance is

 

$8,433.00. For 2008-2009, the basic foundation allowance is

 

$8,489.00.

 

     (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) For 2007-2008, for a district that had a foundation

 

allowance for 2006-2007, including any adjustment under subdivision

 

(f), that was at least equal to $7,108.00 but less than $8,385.00,

 

the district shall receive a foundation allowance in an amount

 

equal to the sum of the district's foundation allowance for 2006-

 

2007 plus the difference between $96.00 and [($48.00 minus $20.00)

 

times (the difference between the district's foundation allowance

 

for 2006-2007, including any adjustment under subdivision (f), and

 

$7,108.00) divided by $1,325.00]. Beginning in 2008-2009, for a

 

district that had a foundation allowance for the immediately

 

preceding state fiscal year that was at least equal to the sum of

 

$7,108.00 plus the total dollar amount of all adjustments made from

 

2006-2007 to the immediately preceding state fiscal year in the

 

lowest foundation allowance among all districts, 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 dollar amount

 

of the adjustment from the immediately preceding state fiscal year

 

to the current state fiscal year made in the basic foundation

 

allowance minus $20.00) times (the difference between the

 

district's foundation allowance for the immediately preceding state

 

fiscal year and the sum of $7,108.00 plus the total dollar amount

 

of all adjustments made from 2006-2007 to the immediately preceding

 

state fiscal year in the lowest foundation allowance among all

 

districts) divided by the difference between the basic foundation

 

allowance for the current state fiscal year and the sum of

 

$7,108.00 plus the total dollar amount of all adjustments made from

 

2006-2007 to the immediately preceding state fiscal year in the

 

lowest foundation allowance among all districts]. 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.

 

     (b) Except as otherwise provided in this subsection, beginning

 

in 2008-2009, for a district that in the immediately preceding

 

state fiscal year had a foundation allowance in an amount at least

 

equal to the amount of 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 dollar amount of the adjustment from the

 

immediately preceding state fiscal year to the current state fiscal

 

year in the basic foundation allowance.

 

     (c) For a district that in the 1994-95 state fiscal year had a

 

foundation allowance greater than $6,500.00, 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 former

 

section 22c as that section was in effect for 2001-2002, the

 

district's 2001-2002 foundation allowance shall be considered to

 

have been an amount equal to the sum of the district's actual 2001-

 

2002 foundation allowance as otherwise calculated under this

 

section plus the per pupil amount of the district's equity payment

 

for 2001-2002 under former section 22c as that section was in

 

effect for 2001-2002.

 

     (f) For a district that received a payment under former

 

section 22c as that section was in effect for 2006-2007, the

 

district's 2006-2007 foundation allowance shall be considered to

 

have been an amount equal to the sum of the district's actual 2006-

 

2007 foundation allowance as otherwise calculated under this

 

section plus the per pupil amount of the district's equity payment

 

for 2006-2007 under former section 22c as that section was in

 

effect for 2006-2007.

 

     (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 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 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 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

 

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.

 

     (5) The allocation calculated under this section for a pupil

 

shall be based on the foundation allowance of the pupil's district

 

of residence. However, for a pupil enrolled in a district other

 

than the pupil's district of residence, if the foundation allowance

 

of the pupil's district of residence has been adjusted pursuant to

 

subsection (19), the allocation calculated under this section shall

 

not include the adjustment described in subsection (19). 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 20j(2).

 

     (6) For 2007-2008, subject to subsection (7) and section

 

22b(3) and except as otherwise provided in this subsection, for

 

pupils in membership, other than special education pupils, in a

 

public school academy or a university school, the allocation

 

calculated under this section is an amount per membership pupil

 

other than special education pupils in the public school academy or

 

university school 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 or university

 

school is located and the state portion of that district's

 

foundation allowance, or $7,475.00, whichever is less. Beginning in

 

2008-2009, subject to subsection (7) and section 22b(3) and except

 

as otherwise provided in this subsection, for pupils in membership,

 

other than special education pupils, in a public school academy or

 

a university school, the allocation calculated under this section

 

is an amount per membership pupil other than special education

 

pupils in the public school academy or university school 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 or university school is located and the state

 

portion of that district's foundation allowance, or the state

 

maximum public school academy allocation, whichever is less.

 

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) If more than 25% of the pupils residing within a district

 

are in membership in 1 or more public school academies located in

 

the district, then the amount per membership pupil calculated under

 

this section for a public school academy located in the district

 

shall be reduced by an amount 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 ad

 

valorem property tax revenue of the district captured under tax

 

increment financing acts divided by the district's membership

 

excluding special education pupils, in the school fiscal year

 

ending in the current state fiscal year, calculated as if the

 

resident pupils in membership in 1 or more public school academies

 

located in the district were in membership in the district. In

 

order to receive state school aid under this act, a district

 

described in this subsection shall pay to the authorizing body that

 

is the fiscal agent for a public school academy located in the

 

district for forwarding to the public school academy an amount

 

equal to that local school operating revenue per membership pupil

 

for each resident pupil in membership other than special education

 

pupils in the public school academy, as determined by the

 

department.

 

     (8) If a district does not receive an amount calculated under

 

subsection (9); if the number of mills the district may levy on a

 

principal residence, qualified agricultural property, qualified

 

forest property, industrial personal property, and commercial

 

personal property under section 1211 of the revised school code,

 

MCL 380.1211, is 0.5 mills or less; and if the district elects not

 

to levy those mills, the district instead shall receive a separate

 

supplemental amount calculated under this subsection in an amount

 

equal to the amount the district would have received had it levied

 

those mills, as determined by the department of treasury. A

 

district shall not receive a separate supplemental amount

 

calculated under this subsection for a fiscal year unless in the

 

calendar year ending in the fiscal year the district levies the

 

district's certified mills on property that is nonexempt property.

 

     (9) For a district that had combined state and local revenue

 

per membership pupil in the 1993-94 state fiscal year of more than

 

$6,500.00 and that had fewer than 350 pupils in membership, if the

 

district elects not to reduce the number of mills from which a

 

principal residence, qualified agricultural property, qualified

 

forest property, industrial personal property, and commercial

 

personal property are exempt and not to levy school operating taxes

 

on a principal residence, qualified agricultural property,

 

qualified forest property, industrial personal property, and

 

commercial personal property as provided in section 1211 of the

 

revised school code, MCL 380.1211, and not to levy school operating

 

taxes on all property as provided in section 1211(2) of the revised

 

school code, MCL 380.1211, there is calculated under this

 

subsection for 1994-95 and each succeeding fiscal year a separate

 

supplemental amount in an amount equal to the amount the district

 

would have received per membership pupil had it levied school

 

operating taxes on a principal residence, qualified agricultural

 

property, qualified forest property, industrial personal property,

 

and commercial personal property at the rate authorized for the

 

district under section 1211 of the revised school code, MCL

 

380.1211, and levied school operating taxes on all property at the

 

rate authorized for the district under section 1211(2) of the

 

revised school code, MCL 380.1211, as determined by the department

 

of treasury. If in the calendar year ending in the fiscal year a

 

district does not levy the district's certified mills on property

 

that is nonexempt property, the amount calculated under this

 

subsection will be reduced by the same percentage as the millage

 

actually levied compares to the district's certified mills.

 

     (10) 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 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. The calculation under this subsection shall

 

take into account a district's per pupil allocation under section

 

20j(2).

 

     (11) 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.

 

     (12) 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.

 

     (13) 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. However, for

 

2008-2009, the index shall be 1.00. 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.

 

     (14) If the principals at the revenue estimating conference

 

reach a consensus on the index described in subsection (13)(c), the

 

lowest foundation allowance among all districts for the subsequent

 

state fiscal year shall be at least the amount of that consensus

 

index multiplied by the lowest foundation allowance among all

 

districts for the immediately preceding state fiscal year.

 

     (15) If at the January revenue estimating conference it is

 

estimated that pupil membership, excluding intermediate district

 

membership, for the subsequent state fiscal year will be greater

 

than 101% of the pupil membership, excluding intermediate district

 

membership, for the current state fiscal year, then it is the

 

intent of the legislature that the executive budget proposal for

 

the school aid budget for the subsequent state fiscal year include

 

a general fund/general purpose allocation sufficient to support the

 

membership in excess of 101% of the current year pupil membership.

 

     (16) For a district that had combined state and local revenue

 

per membership pupil in the 1993-94 state fiscal year of more than

 

$6,500.00, that had fewer than 7 pupils in membership in the 1993-

 

94 state fiscal year, that has at least 1 child educated in the

 

district in the current state fiscal year, and that levies the

 

number of mills of school operating taxes authorized for the

 

district under section 1211 of the revised school code, MCL

 

380.1211, a minimum amount of combined state and local revenue

 

shall be calculated for the district as provided under this

 

subsection. The minimum amount of combined state and local revenue

 

for 1999-2000 shall be $67,000.00 plus the district's additional

 

expenses to educate pupils in grades 9 to 12 educated in other

 

districts as determined and allowed by the department. The minimum

 

amount of combined state and local revenue under this subsection,

 

before adding the additional expenses, shall increase each fiscal

 

year by the same percentage increase as the percentage increase in

 

the basic foundation allowance from the immediately preceding

 

fiscal year to the current fiscal year. The state portion of the

 

minimum amount of combined state and local revenue under this

 

subsection shall be calculated by subtracting from the minimum

 

amount of combined state and local revenue under this subsection

 

the sum of the district's local school operating revenue and an

 

amount equal to the product of the sum of the state portion of the

 

district's foundation allowance plus the amount calculated under

 

section 20j times the district's membership. As used in this

 

subsection, "additional expenses" means the district's expenses for

 

tuition or fees, not to exceed the basic foundation allowance for

 

the current state fiscal year, plus a room and board stipend not to

 

exceed $10.00 per school day for each pupil in grades 9 to 12

 

educated in another district, as approved by the department.

 

     (17) For a district in which 7.75 mills levied in 1992 for

 

school operating purposes in the 1992-93 school year were not

 

renewed in 1993 for school operating purposes in the 1993-94 school

 

year, the district's combined state and local revenue per

 

membership pupil shall be recalculated as if that millage reduction

 

did not occur and the district's foundation allowance shall be

 

calculated as if its 1994-95 foundation allowance had been

 

calculated using that recalculated 1993-94 combined state and local

 

revenue per membership pupil as a base. A district is not entitled

 

to any retroactive payments for fiscal years before 2000-2001 due

 

to this subsection.

 

     (18) For a district in which an industrial facilities

 

exemption certificate that abated taxes on property with a state

 

equalized valuation greater than the total state equalized

 

valuation of the district at the time the certificate was issued or

 

$700,000,000.00, whichever is greater, was issued under 1974 PA

 

198, MCL 207.551 to 207.572, before the calculation of the

 

district's 1994-95 foundation allowance, the district's foundation

 

allowance for 2002-2003 is an amount equal to the sum of the

 

district's foundation allowance for 2002-2003, as otherwise

 

calculated under this section, plus $250.00.

 

     (19) For a district that received a grant under former section

 

32e for 2001-2002, the district's foundation allowance for 2002-

 

2003 and each succeeding fiscal year shall be adjusted to be an

 

amount equal to the sum of the district's foundation allowance, as

 

otherwise calculated under this section, plus the quotient of 100%

 

of the amount of the grant award to the district for 2001-2002

 

under former section 32e divided by the number of pupils in the

 

district's membership for 2001-2002 who were residents of and

 

enrolled in the district. Except as otherwise provided in this

 

subsection, a district qualifying for a foundation allowance

 

adjustment under this subsection shall use the funds resulting from

 

this adjustment for at least 1 of grades K to 3 for purposes

 

allowable under former section 32e as in effect for 2001-2002, and

 

may also use these funds for an early intervening program described

 

in subsection (20). For an individual school or schools operated by

 

a district qualifying for a foundation allowance under this

 

subsection that have been determined by the department to meet the

 

adequate yearly progress standards of the federal no child left

 

behind act of 2001, Public Law 107-110, in both mathematics and

 

English language arts at all applicable grade levels for all

 

applicable subgroups, the district may submit to the department an

 

application for flexibility in using the funds resulting from this

 

adjustment that are attributable to the pupils in the school or

 

schools. The application shall identify the affected school or

 

schools and the affected funds and shall contain a plan for using

 

the funds for specific purposes identified by the district that are

 

designed to reduce class size, but that may be different from the

 

purposes otherwise allowable under this subsection. The department

 

shall approve the application if the department determines that the

 

purposes identified in the plan are reasonably designed to reduce

 

class size. If the department does not act to approve or disapprove

 

an application within 30 days after it is submitted to the

 

department, the application is considered to be approved. If an

 

application for flexibility in using the funds is approved, the

 

district may use the funds identified in the application for any

 

purpose identified in the plan.

 

     (20) An early intervening program that uses funds resulting

 

from the adjustment under subsection (19) shall meet either or both

 

of the following:

 

     (a) Shall monitor individual pupil learning for pupils in

 

grades K to 3 and provide specific support or learning strategies

 

to pupils in grades K to 3 as early as possible in order to reduce

 

the need for special education placement. The program shall include

 

literacy and numeracy supports, sensory motor skill development,

 

behavior supports, instructional consultation for teachers, and the

 

development of a parent/school learning plan. Specific support or

 

learning strategies may include support in or out of the general

 

classroom in areas including reading, writing, math, visual memory,

 

motor skill development, behavior, or language development. These

 

would be provided based on an understanding of the individual

 

child's learning needs.

 

     (b) Shall provide early intervening strategies for pupils in

 

grades K to 3 using schoolwide systems of academic and behavioral

 

supports and shall be scientifically research-based. The strategies

 

to be provided shall include at least pupil performance indicators

 

based upon response to intervention, instructional consultation for

 

teachers, and ongoing progress monitoring. A schoolwide system of

 

academic and behavioral support should be based on a support team

 

available to the classroom teachers. The members of this team could

 

include the principal, special education staff, reading teachers,

 

and other appropriate personnel who would be available to

 

systematically study the needs of the individual child and work

 

with the teacher to match instruction to the needs of the

 

individual child.

 

     (21) For a district that levied 1.9 mills in 1993 to finance

 

an operating deficit, the district's foundation allowance shall be

 

calculated as if those mills were included as operating mills in

 

the calculation of the district's 1994-1995 foundation allowance. A

 

district is not entitled to any retroactive payments for fiscal

 

years before 2006-2007 due to this subsection. A district receiving

 

an adjustment under this subsection shall not receive more than

 

$800,000.00 for a fiscal year as a result of this adjustment.

 

     (22) For a district that levied 2.23 mills in 1993 to finance

 

an operating deficit, the district's foundation allowance shall be

 

calculated as if those mills were included as operating mills in

 

the calculation of the district's 1994-1995 foundation allowance. A

 

district is not entitled to any retroactive payments for fiscal

 

years before 2006-2007 due to this subsection. A district receiving

 

an adjustment under this subsection shall not receive more than

 

$500,000.00 for a fiscal year as a result of this adjustment.

 

     (23) If the total amount of revenue received by this state for

 

2008 under the state education tax act, 1993 PA 331, MCL 211.901 to

 

211.906, due to property located in a district exceeds the total

 

amount paid to that district for all pupils for 2008-2009 as the

 

state portion of the district's foundation allowance as calculated

 

under subsection (4), then the district's foundation allowance for

 

2009-2010 shall be adjusted to be an amount equal to the sum of the

 

district's foundation allowance, as otherwise calculated under this

 

section, plus the per pupil amount of the difference between the

 

total amount of revenue received by this state for 2008 under the

 

state education tax act, 1993 PA 331, MCL 211.901 to 211.906, due

 

to property located in a district minus the total amount paid to

 

that district for all pupils for 2008-2009 as the state portion of

 

the district's foundation allowance as calculated under subsection

 

(4), not to exceed the basic foundation allowance. The calculation

 

of state education tax revenue received shall be made by the

 

department of treasury. A district is not entitled to any

 

retroactive payments for fiscal years before 2009-2010 due to this

 

subsection.

 

     (24) (23) Payments to districts, university schools, or public

 

school academies 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.

 

     (25) (24) 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.

 

     (26) (25) 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) "Immediately preceding state fiscal year" means the state

 

fiscal year immediately preceding the current state fiscal year.

 

     (f) "Local school operating revenue" means school operating

 

taxes levied under section 1211 of the revised school code, MCL

 

380.1211.

 

     (g) "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.

 

     (h) "Maximum public school academy allocation" 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 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 dollar amount of the

 

adjustment from the immediately preceding state fiscal year to the

 

current state fiscal year made in the basic foundation allowance

 

minus $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 sum of $7,108.00 plus the total

 

dollar amount of all adjustments made from 2006-2007 to the

 

immediately preceding state fiscal year in the lowest per-pupil

 

allocation among all public school academies) divided by the

 

difference between the basic foundation allowance for the current

 

state fiscal year and the sum of $7,108.00 plus the total dollar

 

amount of all adjustments made from 2006-2007 to the immediately

 

preceding state fiscal year in the lowest per-pupil allocation

 

among all public school academies].

 

     (i) "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.

 

     (j) "Nonexempt property" means property that is not a

 

principal residence, qualified agricultural property, qualified

 

forest property, industrial personal property, or commercial

 

personal property.

 

     (k) "Principal residence", "qualified agricultural property",

 

"qualified forest property", "industrial personal property", and

 

"commercial personal property" mean those terms as defined in

 

section 7dd of the general property tax act, 1893 PA 206, MCL

 

211.7dd, and section 1211 of the revised school code, MCL 380.1211.

 

     (l) "School operating purposes" means the purposes included in

 

the operation costs of the district as prescribed in sections 7 and

 

18.

 

     (m) "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.

 

     (n) "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.

 

     (o) "Taxable value per membership pupil" means taxable value,

 

as certified by the department of treasury, 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.