HOUSE BILL No. 5362

 

February 25, 2014, Introduced by Rep. Oakes and referred to the Committee on Appropriations.

 

     A bill to amend 1979 PA 94, entitled

 

"The state school aid act of 1979,"

 

(MCL 388.1601 to 388.1896) by adding section 20h.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 20h. (1) From the appropriations under section 11, there

 

is allocated for 2013-2014 an amount not to exceed $6,000,000.00

 

for grants to intermediate districts that contain at least 1

 

receiving school district, to be used for costs associated with the

 

transfer of property from a dissolved school district to a

 

receiving school district and for additional busing and

 

transportation needs of receiving school districts.

 

     (2) The department and the department of treasury shall


 

develop an application and grant process for intermediate districts

 

to apply for a grant under this section.

 

     (3) An intermediate district that receives a grant under this

 

section shall act as an intermediary to ensure that the grant funds

 

are disbursed on behalf of a receiving school district for a

 

purpose allowed under this section. The intermediate district is

 

responsible for reviewing and approving all bids and contracts

 

between the receiving school districts and contractors that are

 

funded with grant funds under this section.

 

     (4) Grant funds under this section may be used by an

 

intermediate district on behalf of a receiving school district only

 

for 1 or more of the following:

 

     (a) The costs of maintenance, utilities, security, and

 

insurance associated with buildings transferred from a dissolved

 

school district to a receiving school district under section 12 of

 

the revised school code, MCL 380.12.

 

     (b) The demolition and associated costs of buildings

 

transferred from a dissolved school district to a receiving school

 

district under section 12 of the revised school code, MCL 380.12.

 

     (c) Additional busing and transportation needs of receiving

 

school districts as a result of the transfer of territory under

 

section 12 of the revised school code, MCL 380.12.

 

     (5) The amount of the grant to an intermediate district under

 

this section shall not exceed the sum of $3,000,000.00.

 

     (6) Funds allocated under this section are considered work

 

project appropriations, and any unencumbered or unallocated funds

 

are carried over into succeeding fiscal years. The following is in


 

compliance with section 451a(1) of the management and budget act,

 

1984 PA 431, MCL 18.1451a:

 

     (a) The purpose of this section is to assist receiving school

 

districts for the costs of maintenance, utilities, security, and

 

insurance associated with buildings transferred from a dissolved

 

school district; the demolition of buildings transferred from a

 

dissolved school district; and additional busing and transportation

 

needs of receiving school districts.

 

     (b) These projects will be accomplished by grants to

 

intermediate school districts that contain receiving school

 

districts.

 

     (c) The total estimated cost of these projects is

 

$6,000,000.00, as outlined in subsection (1).

 

     (d) The estimated completion date for these projects is

 

September 30, 2015.

 

     (7) As used in this section:

 

     (a) "Dissolved school district" means a school district that

 

has been declared dissolved under section 12 of the revised school

 

code, 1976 PA 451, MCL 380.12.

 

     (b) "Receiving school district" means that term as defined in

 

section 12 of the revised school code, 1976 PA 451, MCL 380.12.