Bill Text: MI SB0762 | 2013-2014 | 97th Legislature | Engrossed


Bill Title: Appropriations; zero budget; community colleges; provide for fiscal year 2014-2015. Amends secs. 201 & 201a of 1979 PA 94 (MCL 388.1801 & 388.1801a).

Spectrum: Partisan Bill (Republican 1-0)

Status: (Engrossed - Dead) 2014-06-12 - For Final Disposition Of Budget, See Hb 5314 [SB0762 Detail]

Download: Michigan-2013-SB0762-Engrossed.html

SB-0762, As Passed House, May 14, 2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

HOUSE SUBSTITUTE FOR

 

SENATE BILL NO. 762

 

 

 

 

 

 

 

 

 

 

 

 

     A bill to amend 1979 PA 94, entitled

 

"The state school aid act of 1979,"

 

by amending sections 201 and 206 (MCL 388.1801 and 388.1806), as

 

amended by 2013 PA 60.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 201. (1) Subject to the conditions set forth in this

 

article, the amounts listed in subsections (2), (4), (5), (6), and

 

(7) this section are appropriated for community colleges for the

 

fiscal year ending September 30, 2014, 2015, from the funds

 

indicated in this section. The following is a summary of the

 

appropriations in subsections (2), (4), (5), (6), and (7):this

 

section:

 


     (a) The gross appropriation is $335,977,600.00. $100.00. After

 

deducting total interdepartmental grants and intradepartmental

 

transfers in the amount of $0.00, the adjusted gross appropriation

 

is $335,977,600.00.$100.00.

 

     (b) The sources of the adjusted gross appropriation described

 

in subdivision (a) are as follows:

 

     (i) Total federal revenues, $0.00.

 

     (ii) Total local revenues, $0.00.

 

     (iii) Total private revenues, $0.00.

 

     (iv) Total other state restricted revenues,

 

$197,614,100.00.$0.00.

 

     (v) State general fund/general purpose money,

 

$138,363,500.00.$100.00.

 

     (2) Subject to subsection (3), the The amount appropriated for

 

community college operations is $298,244,000.00, allocated as

 

follows:$100.00, appropriated from state general fund/general

 

purpose money.

 

     (a) Alpena Community College, $5,221,100.00.

 

     (b) Bay de Noc Community College, $5,263,800.00.

 

     (c) Delta College, $14,022,200.00.

 

     (d) Glen Oaks Community College, $2,434,300.00.

 

     (e) Gogebic Community College, $4,317,500.00.

 

     (f) Grand Rapids Community College, $17,403,500.00.

 

     (g) Henry Ford Community College, $20,997,900.00.

 

     (h) Jackson Community College, $11,723,600.00.

 

     (i) Kalamazoo Valley Community College, $12,086,900.00

 

     (j) Kellogg Community College, $9,494,000.00.

 


     (k) Kirtland Community College, $3,046,800.00.

 

     (l) Lake Michigan College, $5,162,900.00.

 

     (m) Lansing Community College, $29,935,300.00.

 

     (n) Macomb Community College, $31,837,200.00.

 

     (o) Mid Michigan Community College, $4,504,700.00.

 

     (p) Monroe County Community College, $4,329,900.00.

 

     (q) Montcalm Community College, $3,112,000.00.

 

     (r) C.S. Mott Community College, $15,202,200.00.

 

     (s) Muskegon Community College, $8,628,000.00.

 

     (t) North Central Michigan College, $3,055,400.00.

 

     (u) Northwestern Michigan College, $8,799,300.00.

 

     (v) Oakland Community College, $20,422,900.00.

 

     (w) St. Clair County Community College, $6,839,900.00.

 

     (x) Schoolcraft College, $12,076,700.00.

 

     (y) Southwestern Michigan College, $6,385,400.00.

 

     (z) Washtenaw Community College, $12,573,900.00.

 

     (aa) Wayne County Community College, $16,146,700.00.

 

     (bb) West Shore Community College, $2,342,900.00.

 

     (cc) Local strategic value, $877,100.00.

 

     (3) The amount appropriated in subsection (2) for community

 

college operations is appropriated from the following:

 

     (a) State school aid fund, $195,880,500.00.

 

     (b) State general fund/general purpose money, $102,363,500.00.

 

     (4) From the appropriations described in subsection (1), there

 

is appropriated for fiscal year 2013-2014 an amount not to exceed

 

$1,733,600.00 for payments to community colleges from the state

 

school aid fund. A community college that receives money under this

 


subsection shall use that money solely for the purpose of

 

offsetting a portion of the retirement contributions owed by the

 

college for the fiscal year ending September 30, 2014. The amount

 

allocated to each participating community college under this

 

section shall be based on each participating college's total

 

payroll covered by the retirement system-covered payroll for all

 

participating colleges for the immediately preceding state fiscal

 

year.

 

     (5) From the appropriations described in subsection (1), there

 

is appropriated an amount not to exceed $31,400,000.00 from the

 

state general fund for payments to community colleges that are

 

participating entities of the retirement system. All of the

 

following apply to the appropriations described in this subsection:

 

     (a) The amount of a payment under this subsection shall be the

 

difference between the unfunded actuarial accrued liability

 

contribution rate as calculated under section 41 of the public

 

school employees retirement act of 1979, 1980 PA 300, MCL 38.1341,

 

and the maximum employer rate of 20.96% under section 41 of the

 

public school employees retirement act of 1979, 1980 PA 300, MCL

 

38.1341.

 

     (b) The amount allocated to each community college under this

 

subsection shall be based on each community college's percentage of

 

the total covered payroll for all community colleges that are

 

participating colleges in the immediately preceding fiscal year. A

 

community college that receives funds under this subsection shall

 

use the funds solely for the purpose of retirement contributions

 

under subdivision (c).

 


     (c) Each participating college receiving funds under this

 

subsection shall forward an amount equal to the amount allocated

 

under subdivision (b) to the retirement system in a form and manner

 

determined by the retirement system.

 

     (6) All of the following apply to community colleges described

 

in section 12(3) of the Michigan renaissance zone act, MCL

 

125.2692:

 

     (a) From the appropriations described in subsection (1), the

 

following amount is appropriated for reimbursement to community

 

colleges under section 12(3) of the Michigan renaissance zone act,

 

MCL 125.2692:

 

     (i) If the amount of tax revenue lost by community colleges as

 

a result of the exemption of property under the Michigan

 

renaissance zone act in fiscal year 2012-2013 is $3,500,000.00 or

 

more, $3,500,000.00 from the state general fund.

 

     (ii) If the amount of tax revenue lost by community colleges as

 

a result of the exemption of property under the Michigan

 

renaissance zone act in fiscal year 2012-2013 is less than

 

$3,500,000.00, the actual amount of tax revenue lost by the

 

community colleges.

 

     (b) The amount allocated to each community college under this

 

subsection shall be based on that community college's proportion of

 

total revenue lost by community colleges in fiscal year 2012-2013

 

as a result of the exemption of property under the Michigan

 

renaissance zone act.

 

     (c) The appropriations described in this subsection shall be

 

made to each eligible community college within 60 days after the

 


department of treasury certifies to the state budget director that

 

it has received all necessary information to properly determine the

 

amounts of tax revenue lost by each eligible community college in

 

fiscal year 2012-2013 under section 12 of the Michigan renaissance

 

zone act, MCL 125.2692.

 

     (7) From the appropriations described in subsection (1), there

 

is appropriated $1,100,000.00 from the state general fund, for

 

fiscal year 2013-2014 only, to the Michigan community college

 

association, for the purpose of expanding the Michigan community

 

college virtual learning collaborative. The Michigan community

 

college association shall provide information on request to the

 

house and senate subcommittees on community colleges, the house and

 

senate fiscal agencies, and the state budget director on the use of

 

these funds until the project is completed.

 

     (8) As used in this section:

 

     (a) "Michigan renaissance zone act" means the Michigan

 

renaissance zone act, 1996 PA 376, MCL 125.2681 to 125.2696.

 

     (b) "Participating college" means a community college that is

 

a reporting unit of the retirement system and that reports

 

employees to the retirement system for the state fiscal year.

 

     (c) "Retirement board" means the board that administers the

 

retirement system under the public school employees retirement act

 

of 1979, 1980 PA 300, MCL 38.1301 to 38.1437.

 

     (d) "Retirement system" means the Michigan public school

 

employees' retirement system under the public school employees

 

retirement act of 1979, 1980 PA 300, MCL 38.1301 to 38.1437.

 

     Sec. 206. The funds appropriated in section 201 are

 


appropriated for community colleges with fiscal years ending June

 

30, 2014 2015 and shall be paid out of the state treasury and

 

distributed by the state treasurer to the respective community

 

colleges in 11 monthly installments on the sixteenth of each month,

 

or the next succeeding business day, beginning with October 16,

 

2013. Each 2014. All community college colleges shall accrue its

 

their July and August 2014 2015 payments to its institutional

 

fiscal year ending June 30, 2014. 2015. However, if the state

 

budget director determines that a community college failed to

 

submit all verified Michigan community colleges activities

 

classification structure data for school year 2012-2013 2013-2014

 

to the workforce development agency by November 1, 2013, 2014, or

 

failed to submit its longitudinal data system data set for school

 

year 2012-2013 2013-2014 to the center for educational performance

 

and information under section 219, the state treasurer shall

 

withhold the monthly installments from that community college until

 

those data are submitted. The state budget director shall notify

 

the chairs of the house and senate appropriations subcommittees on

 

community colleges at least 10 days before withholding funds from

 

any community college.

feedback