Bill Text: MI SB0778 | 2013-2014 | 97th Legislature | Introduced

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Bill Title: Appropriations; school aid; fiscal year 2014-2015 omnibus appropriations for school aid, higher education, and community colleges; provide for. Amends secs. 11, 17b, 201 & 236 of 1979 PA 94 (MCL 388.1611 et seq.).

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2014-02-11 - Referred To Committee On Appropriations [SB0778 Detail]

Download: Michigan-2013-SB0778-Introduced.html

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SENATE BILL No. 778

 

 

February 11, 2014, Introduced by Senator KAHN and referred to the Committee on Appropriations.

 

 

 

     A bill to amend 1979 PA 94, entitled

 

"The state school aid act of 1979,"

 

by amending sections 11, 17b, 201, and 236 (MCL 388.1611,

 

388.1617b, 388.1801, and 388.1836), section 11 as amended by 2013

 

PA 97, section 17b as amended by 2007 PA 137, and sections 201 and

 

236 as amended by 2013 PA 60.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 11. (1) For the fiscal year ending September 30, 2013,

 

there is appropriated for the public schools of this state and

 

certain other state purposes relating to education the sum of

 

$10,928,614,200.00 from the state school aid fund and the sum of

 

$282,400,000.00 from the general fund. For the fiscal year ending

 

September 30, 2014, 2015, there is appropriated for the public

 

schools of this state and certain other state purposes relating to

 

education the sum of $11,211,382,300.00 $_________________ from the

 

state school aid fund, the sum of $156,000,000.00 $_______________

 

from the MPSERS retirement obligation reform reserve fund created

 

under section 147b, and the sum of $234,900,000.00 $_______________

 

from the general fund. In addition, all other available federal

 

funds, except those otherwise appropriated under section 11p, are

 

appropriated for the fiscal year ending September 30, 2013 and for

 

the fiscal year ending September 30, 2014.2015.

 

     (2) The appropriations under this section shall be allocated

 

as provided in this article. Money appropriated under this section

 

from the general fund shall be expended to fund the purposes of

 

this article before the expenditure of money appropriated under

 

this section from the state school aid fund.

 

     (3) Any general fund allocations under this article 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. 17b. (1) Not later than October 20, November 20, December

 

20, January 20, February 20, March 20, April 20, May 20, June 20,

 

July 20, and August 20, the department shall prepare electronic

 

files of the amount to be distributed under this act in the

 

installment to the districts and intermediate districts and deliver

 

the electronic files to the state treasurer, and the state

 

treasurer shall pay the installments on each of those dates or, if

 

the date is not a business day, on the next business day following

 

that date. Except as otherwise provided in this act, the portion of

 

the district's or intermediate district's state fiscal year

 

entitlement to be included in each installment shall be 1/11. A

 

district or intermediate district shall accrue the payments

 

received in July and August to the school fiscal year ending the

 

immediately preceding June 30.

 

     (2) The state treasurer shall make payment under this section

 

by drawing a warrant in favor of the treasurer of each district or

 

intermediate district for the amount payable to the district or

 

intermediate district according to the electronic files and

 

delivering the warrant to the treasurer of each district or

 

intermediate district, or if the state treasurer receives a written

 

request by the treasurer of the district or intermediate district

 

specifying an account, by electronic funds transfer to that account

 

of the amount payable to the district or intermediate district

 

according to the electronic files. The department may make

 

adjustments in payments made under this section through additional

 

payments when changes in law or errors in computation cause the

 

regularly scheduled payment to be less than the amount to which the

 

district or intermediate district is entitled pursuant to this act.

 

     (3) Except as otherwise provided in this act, grant payments

 

to districts and intermediate districts under this act shall be

 

paid according to the installment payment schedule under subsection

 

(1).

 

     (4) Upon the written request of a district or intermediate

 

district and the submission of proof satisfactory to the department

 

of a need of a temporary and nonrecurring nature, the

 

superintendent, with the written concurrence of the state treasurer

 

and the state budget director, may authorize an advance release of

 

funds due a district or intermediate district under this act. An

 

advance authorized under this subsection shall not cause funds to

 

be paid to a district or intermediate district more than 30 days

 

earlier than the established payment date for those funds.

 

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

 

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

 

(7) 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.

 

$_______________. After deducting total interdepartmental grants

 

and intradepartmental transfers in the amount of $0.00, the

 

adjusted gross appropriation is $335,977,600.00.$_______________.

 

     (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,

 

$197,614,100.00.$_______________.

 

     (v) State general fund/general purpose money,

 

$138,363,500.00.$_______________.

 

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

 

community college operations is $_______________. $298,244,000.00,

 

allocated as follows:

 

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

 

article, the amounts listed in subsections (2) to (6) this section

 

are appropriated for higher education 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)

 

to (6):this section:

 

     (a) The gross appropriation is $1,430,573,500.00.

 

$________________. After deducting total interdepartmental grants

 

and intradepartmental transfers in the amount of $0.00, the

 

adjusted gross appropriation is

 

$1,430,573,500.00.$________________.

 

     (b) The sources of the adjusted gross appropriation described

 

in subdivision (a) are as follows:

 

     (i) Total federal revenues, $97,026,400.00.$______________.

 

     (ii) Total local revenues, $0.00.

 

     (iii) Total private revenues, $0.00.

 

     (iv) Total other state restricted revenues,

 

$200,565,700.00.$_______________.

 

     (v) State general fund/general purpose money,

 

$1,132,981,400.00.$______________.

 

     (2) Amounts appropriated for public universities are as

 

follows:

 

     (a) The appropriation for Central Michigan University is

 

$73,486,600.00, $71,352,300.00 for operations and $2,134,300.00 for

 

performance funding, appropriated from the following:

 

     (i) State school aid fund, $11,284,600.00.

 

     (ii) State general fund/general purpose money, $62,202,000.00.

 

     (b) The appropriation for Eastern Michigan University is

 

$67,255,600.00, $66,466,700.00 for operations and $788,900.00 for

 

performance funding, appropriated from the following:

 

     (i) State school aid fund, $10,706,400.00.

 

     (ii) State general fund/general purpose money, $56,549,200.00.

 

     (c) The appropriation for Ferris State University is

 

$45,602,600.00, $44,250,700.00 for operations and $1,351,900.00 for

 

performance funding, appropriated from the following:

 

     (i) State school aid fund, $6,846,800.00.

 

     (ii) State general fund/general purpose money, $38,755,800.00.

 

     (d) The appropriation for Grand Valley State University is

 

$57,765,100.00, $55,436,000.00 for operations and $2,329,100.00 for

 

performance funding, appropriated from the following:

 

     (i) State school aid fund, $8,727,800.00.

 

     (ii) State general fund/general purpose money, $49,037,300.00.

 

     (e) The appropriation for Lake Superior State University is

 

$12,226,500.00, $12,046,100.00 for operations and $180,400.00 for

 

performance funding, appropriated from the following:

 

     (i) State school aid fund, $1,787,600.00.

 

     (ii) State general fund/general purpose money, $10,438,900.00.

 

     (f) The appropriation for Michigan State University is

 

$305,775,000.00, $245,037,000.00 for operations, $4,449,300.00 for

 

performance funding, $30,243,900.00 for MSU AgBioResearch, and

 

$26,044,800.00 for MSU extension, appropriated from the following:

 

     (i) State school aid fund, $39,949,900.00.

 

     (ii) State general fund/general purpose money, $265,825,100.00.

 

     (g) The appropriation for Michigan Technological University is

 

$43,451,900.00, $42,579,100.00 for operations and $872,800.00 for

 

performance funding, appropriated from the following:

 

     (i) State school aid fund, $6,748,900.00.

 

     (ii) State general fund/general purpose money, $36,703,000.00.

 

     (h) The appropriation for Northern Michigan University is

 

$41,719,800.00, $40,856,600.00 for operations and $863,200.00 for

 

performance funding, appropriated from the following:

 

     (i) State school aid fund, $6,356,900.00.

 

     (ii) State general fund/general purpose money, $35,362,900.00.

 

     (i) The appropriation for Oakland University is

 

$45,634,800.00, $44,964,100.00 for operations and $670,700.00 for

 

performance funding, appropriated from the following:

 

     (i) State school aid fund, $7,148,400.00.

 

     (ii) State general fund/general purpose money, $38,486,400.00.

 

     (j) The appropriation for Saginaw Valley State University is

 

$25,982,800.00, $25,656,700.00 for operations and $326,100.00 for

 

performance funding, appropriated from the following:

 

     (i) State school aid fund, $3,903,800.00.

 

     (ii) State general fund/general purpose money, $22,079,000.00.

 

     (k) The appropriation for University of Michigan - Ann Arbor

 

is $279,108,700.00, $274,156,700.00 for operations and

 

$4,952,000.00 for performance funding, appropriated from the

 

following:

 

     (i) State school aid fund, $44,536,300.00.

 

     (ii) State general fund/general purpose money, $234,572,400.00.

 

     (l) The appropriation for University of Michigan – Dearborn is

 

$22,503,700.00, $22,237,300.00 for operations and $266,400.00 for

 

performance funding, appropriated from the following:

 

     (i) State school aid fund, $3,482,100.00.

 

     (ii) State general fund/general purpose money, $19,021,600.00.

 

     (m) The appropriation for University of Michigan – Flint is

 

$19,928,100.00, $19,526,600.00 for operations and $401,500.00 for

 

performance funding, appropriated from the following:

 

     (i) State school aid fund, $2,942,900.00.

 

     (ii) State general fund/general purpose money, $16,985,200.00.

 

     (n) The appropriation for Wayne State University is

 

$183,933,000.00, $183,398,300.00 for operations and $534,700.00 for

 

performance funding, appropriated from the following:

 

     (i) State school aid fund, $30,160,600.00.

 

     (ii) State general fund/general purpose money, $153,772,400.00.

 

     (o) The appropriation for Western Michigan University is

 

$97,235,200.00, $95,487,500.00 for operations and $1,747,700.00 for

 

performance funding, appropriated from the following:

 

     (i) State school aid fund, $15,436,500.00.

 

     (ii) State general fund/general purpose money, $81,798,700.00.

 

     (3) The amount appropriated for Michigan public school

 

employees' retirement system reimbursement is $2,446,200.00,

 

$446,200.00 appropriated from the state school aid fund and

 

$2,000,000.00 appropriated from general fund/general purpose money.

 

     (4) The amount appropriated for state and regional programs is

 

$2,200,000.00 appropriated from general fund/general purpose money

 

and allocated as follows:

 

     (a) College access program, $2,000,000.00.

 

     (b) Higher education database modernization and conversion,

 

$105,000.00.

 

     (c) Midwestern higher education compact, $95,000.00.

 

     (5) The amount appropriated for the Martin Luther King, Jr. -

 

Cesar Chavez - Rosa Parks program is $2,691,500.00, appropriated

 

from general fund/general purpose money and allocated as follows:

 

     (a) Select student support services, $1,956,100.00.

 

     (b) Michigan college/university partnership program,

 

$586,800.00.

 

     (c) Morris Hood, Jr. educator development program,

 

$148,600.00.

 

     (6) Subject to subsection (7), the amount appropriated for

 

grants and financial aid is $101,626,400.00, allocated as follows:

 

     (a) State competitive scholarships, $18,361,700.00.

 

     (b) Tuition grants, $31,664,700.00.

 

     (c) Tuition incentive program, $47,000,000.00.

 

     (d) Children of veterans and officer's survivor tuition grant

 

programs, $1,400,000.00.

 

     (e) Project GEAR-UP, $3,200,000.00.

 

     (7) The money appropriated in subsection (6) for grants and

 

financial aid is appropriated from the following:

 

     (a) Federal revenues under the United States department of

 

education, office of elementary and secondary education, GEAR-UP

 

program, $3,200,000.00.

 

     (b) Federal revenues under the social security act, temporary

 

assistance for needy families, $93,826,400.00.

 

     (c) Contributions to children of veterans tuition grant

 

program, $100,000.00.

 

     (d) State general fund/general purpose money, $4,500,000.00.