HOUSE BILL No. 4316

March 10, 2015, Introduced by Rep. Pscholka 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 6, 8b, 11, 11a, 11j, 11k, 11m, 11r, 15, 18, 18a, 20, 20d, 20f,

 

20g, 21f, 22a, 22b, 22d, 22f, 22g, 22i, 23a, 24, 24a, 24c, 25e, 25f, 26a, 26b, 26c,

 

31a, 31d, 31f, 32d, 32p, 39, 39a, 41, 43, 51a, 51c, 51d, 53a, 54, 56, 61a, 62, 64b,

 

74, 81, 94, 94a, 95a, 98, 99, 99h, 102, 104, 104c, 107, 147, 147a, 147c, 152a, 163,

 

201, 206, 207a, 207b, 207c, 209, 210, 213, 217, 222, 225, 226, 229, 229a, 230, 236,

 

236b, 236c, 241, 242, 245, 246, 252, 254, 255, 256, 258, 263, 263a, 264, 265, 265a,

 

267, 268, 269, 270, 275, 276, 277, 278, 279, 280, 281, 282, 283, 284, and 286 (MCL

 

388.1606, 388.1608b, 388.1611, 388.1611a, 388.1611j, 388.1611k, 388.1611m, 388.1611r,

 

388.1615, 388.1618, 388.1618a, 388.1620, 388.1620d, 388.1620f, 388.1620g, 388.1621f,

 

388.1622a, 388.1622b, 388.1622d, 388.1622f, 388.1622g, 388.1622i, 388.1623a, 388.1624,

 


388.1624a, 388.1624c, 388.1625e, 388.1625f, 388.1626a, 388.1626b, 388.1626c,

 

388.1631a, 388.1631d, 388.1631f, 388.1632d, 388.1632p, 388.1639, 388.1639a, 388.1641,

 

388.1643, 388.1651a, 388.1651c, 388.1651d, 388.1653a, 388.1654, 388.1656, 388.1661a,

 

388.1662, 388.1664b, 388.1674, 388.1681, 388.1694, 388.1694a, 388.1695a, 388.1698,

 

388.1699, 388.1699h, 388.1702, 388.1704, 388.1704c, 388.1707, 388.1747, 388.1747a,

 

388.1747c, 388.1752a, 388.1763, 388.1801, 388.1806, 388.1807a, 388.1807b, 388.1807c,

 

388.1809, 388.1810, 388.1813, 388.1817, 388.1822, 388.1825, 388.1826, 388.1829,

 

388.1829a, 388.1830, 388.1836, 388.1836b, 388.1836c, 388.1841, 388.1842, 388.1845,

 

388.1846, 388.1852, 388.1854, 388.1855, 388.1856, 388.1858, 388.1863, 388.1863a,

 

388.1864, 388.1865, 388.1865a, 388.1867, 388.1868, 388.1869, 388.1870, 388.1875,

 

388.1876, 388.1877, 388.1878, 388.1879, 388.1880, 388.1881, 388.1882, 388.1883,

 

388.1884, and 388.1886), sections 6, 8b, 11, 11a, 11j, 11k, 11m, 15, 20, 20d, 20f,

 

20g, 21f, 22a, 22b, 22d, 22f, 22g, 22i, 24, 24a, 24c, 25e, 25f, 26a, 26b, 26c, 31a,

 

31d, 31f, 32d, 32p, 39, 39a, 41, 51a, 51c, 51d, 53a, 54, 56, 61a, 62, 74, 81, 94, 94a,

 

98, 99, 99h, 104, 107, 147, 147a, 147c, 152a, 163, 201, 206, 209, 217, 225, 229, 229a,

 

230, 236, 236b, 236c, 241, 245, 246, 252, 256, 263, 263a, 264, 265, 265a, 267, 268,

 

269, 270, 275, 276, 277, 278, 279, 280, 281, 282, 283, and 284 as amended and sections

 

11r, 43, 64b, 95a, 104c, 207a, 207b, and 207c as added by 2014 PA 196, section 18 as

 

amended by 2014 PA 476, section 18a as amended by 2004 PA 351, section 23a as added by

 

2012 PA 465, sections 102, 210, and 258 as amended by 2013 PA 60, sections 213, 222,

 

226, 242, 254, 255, and 286 as amended by 2012 PA 201, and by adding sections 31c, 35,

 

35a, 35b, 35c, 35d, 35e, 35f, 35g, 61b, 67, 103a, 103b, 103c, 215, and 260; and to

 

repeal acts and parts of acts.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

ARTICLE I

 

       Sec. 6. (1) "Center program" means a program operated by a district or by an

 

intermediate district for special education pupils from several districts in programs

 


for pupils with autism spectrum disorder, pupils with severe cognitive impairment,

 

pupils with moderate cognitive impairment, pupils with severe multiple impairments,

 

pupils with hearing impairment, pupils with visual impairment, and pupils with

 

physical impairment or other health impairment. Programs for pupils with emotional

 

impairment housed in buildings that do not serve regular education pupils also

 

qualify. Unless otherwise approved by the department, a center program either shall

 

serve all constituent districts within an intermediate district or shall serve several

 

districts with less than 50% of the pupils residing in the operating district. In

 

addition, special education center program pupils placed part-time in noncenter

 

programs to comply with the least restrictive environment provisions of section 612 of

 

part B of the individuals with disabilities education act, 20 USC 1412, may be

 

considered center program pupils for pupil accounting purposes for the time scheduled

 

in either a center program or a noncenter program.

 

       (2) "District and high school graduation rate" means the annual completion and

 

pupil dropout rate that is calculated by the center pursuant to nationally recognized

 

standards.

 

       (3) "District and high school graduation report" means a report of the number

 

of pupils, excluding adult participants, in the district for the immediately preceding

 

school year, adjusted for those pupils who have transferred into or out of the

 

district or high school, who leave high school with a diploma or other credential of

 

equal status.

 

       (4) "Membership", except as otherwise provided in this article, means for a

 

district, a public school academy, the education achievement system, or an

 

intermediate district the sum of the product of .90 times the number of full-time

 

equated pupils in grades K to 12 actually enrolled and in regular daily attendance on

 

the pupil membership count day for the current school year, plus the product of .10

 

times the final audited count from the supplemental count day for the current school

 


year. A district's, public school academy's, or intermediate district's membership

 

shall be adjusted as provided under section 25e for pupils who enroll in the district,

 

public school academy, or intermediate district after the pupil membership count day.

 

All pupil counts used in this subsection are as determined by the department and

 

calculated by adding the number of pupils registered for attendance plus pupils

 

received by transfer and minus pupils lost as defined by rules promulgated by the

 

superintendent, and as corrected by a subsequent department audit. For the purposes of

 

this section and section 6a, for a school of excellence that is a cyber school, as

 

defined in section 551 of the revised school code, MCL 380.551, and is in compliance

 

with section 553a of the revised school code, MCL 380.553a, a pupil's participation,

 

AS DEFINED IN THE PUPIL ACCOUNTING MANUAL, in the cyber school's educational program

 

is considered regular daily attendance; for the education achievement system, a

 

pupil's participation, AS DEFINED IN THE PUPIL ACCOUNTING MANUAL, in an online

 

educational program of the education achievement system or of an achievement school is

 

considered regular daily attendance; and for a district a pupil's participation in an

 

online course as defined in section 21f is considered regular daily attendance. The

 

amount of the foundation allowance for a pupil in membership is determined under

 

section 20. In making the calculation of membership, all of the following, as

 

applicable, apply to determining the membership of a district, a public school

 

academy, the education achievement system, or an intermediate district:

 

       (a) Except as otherwise provided in this subsection, and pursuant to subsection

 

(6), a pupil shall be counted in membership in the pupil's educating district or

 

districts. An individual pupil shall not be counted for more than a total of 1.0 full-

 

time equated membership.

 

       (b) If a pupil is educated in a district other than the pupil's district of

 

residence, if the pupil is not being educated as part of a cooperative education

 

program, if the pupil's district of residence does not give the educating district its

 


approval to count the pupil in membership in the educating district, and if the pupil

 

is not covered by an exception specified in subsection (6) to the requirement that the

 

educating district must have the approval of the pupil's district of residence to

 

count the pupil in membership, the pupil shall not be counted in membership in any

 

district.

 

       (c) A special education pupil educated by the intermediate district shall be

 

counted in membership in the intermediate district.

 

       (d) A pupil placed by a court or state agency in an on-grounds program of a

 

juvenile detention facility, a child caring institution, or a mental health

 

institution, or a pupil funded under section 53a, shall be counted in membership in

 

the district or intermediate district approved by the department to operate the

 

program.

 

       (e) A pupil enrolled in the Michigan schools for the deaf and blind shall be

 

counted in membership in the pupil's intermediate district of residence.

 

       (f) A pupil enrolled in a career and technical education program supported by a

 

millage levied over an area larger than a single district or in an area vocational-

 

technical education program established pursuant to section 690 of the revised school

 

code, MCL 380.690, shall be counted only in the pupil's district of residence.

 

       (g) A pupil enrolled in a public school academy shall be counted in membership

 

in the public school academy.

 

       (h) A pupil enrolled in an achievement school shall be counted in membership in

 

the education achievement system.

 

       (i) For a new district or public school academy beginning its operation after

 

December 31, 1994, or for the education achievement system or an achievement school,

 

membership for the first 2 full or partial fiscal years of operation shall be

 

determined as follows:

 

       (i) If operations begin before the pupil membership count day for the fiscal

 


year, membership is the average number of full-time equated pupils in grades K to 12

 

actually enrolled and in regular daily attendance on the pupil membership count day

 

for the current school year and on the supplemental count day for the current school

 

year, as determined by the department and calculated by adding the number of pupils

 

registered for attendance on the pupil membership count day plus pupils received by

 

transfer and minus pupils lost as defined by rules promulgated by the superintendent,

 

and as corrected by a subsequent department audit, plus the final audited count from

 

the supplemental count day for the current school year, and dividing that sum by 2.

 

       (ii) If operations begin after the pupil membership count day for the fiscal

 

year and not later than the supplemental count day for the fiscal year, membership is

 

the final audited count of the number of full-time equated pupils in grades K to 12

 

actually enrolled and in regular daily attendance on the supplemental count day for

 

the current school year.

 

       (j) If a district is the authorizing body for a public school academy, then, in

 

the first school year in which pupils are counted in membership on the pupil

 

membership count day in the public school academy, the determination of the district's

 

membership shall exclude from the district's pupil count for the immediately preceding

 

supplemental count day any pupils who are counted in the public school academy on that

 

first pupil membership count day who were also counted in the district on the

 

immediately preceding supplemental count day.

 

       (k) In a district, a public school academy, the education achievement system,

 

or an intermediate district operating an extended school year program approved by the

 

superintendent, a pupil enrolled, but not scheduled to be in regular daily attendance

 

on a pupil membership count day, shall be counted.

 

       (l) To be counted in membership, a pupil shall meet the minimum age requirement

 

to be eligible to attend school under section 1147 of the revised school code, MCL

 

380.1147, or shall be enrolled under subsection (3) of that section, and shall be less

 


than 20 years of age on September 1 of the school year except as follows:

 

       (i) A special education pupil who is enrolled and receiving instruction in a

 

special education program or service approved by the department, who does not have a

 

high school diploma, and who is less than 26 years of age as of September 1 of the

 

current school year shall be counted in membership.

 

       (ii) A pupil who is determined by the department to meet all of the following

 

may be counted in membership:

 

       (A) Is enrolled in a public school academy or an alternative education high

 

school diploma program, that is primarily focused on educating homeless pupils.

 

       (B) Had dropped out of school for more than 1 year and has re-entered school.

 

       (C) Is less than 22 years of age as of September 1 of the current school year.

 

       (D) IS CONSIDERED TO BE HOMELESS UNDER THE STEWART B. MCKINNEY HOMELESS

 

ASSISTANCE ACT, 42 USC 11302.

 

       (iii) If a child does not meet the minimum age requirement to be eligible to

 

attend school for that school year under section 1147 of the revised school code, MCL

 

380.1147, but will be 5 years of age not later than December 1 of that school year,

 

the district may count the child in membership for that school year if the parent or

 

legal guardian has notified the district in writing that he or she intends to enroll

 

the child in kindergarten for that school year.

 

       (m) An individual who has obtained a high school diploma shall not be counted

 

in membership. An individual who has obtained a general educational development

 

(G.E.D.) certificate shall not be counted in membership unless the individual is a

 

pupil with a disability as defined in R 340.1702 of the Michigan administrative code.

 

An individual participating in a job training program funded under former section 107a

 

or a jobs program funded under former section 107b, administered by the Michigan

 

strategic fund, or participating in any successor of either of those 2 programs, shall

 

not be counted in membership.

 


       (n) If a pupil counted in membership in a public school academy or the

 

education achievement system is also educated by a district or intermediate district

 

as part of a cooperative education program, the pupil shall be counted in membership

 

only in the public school academy or the education achievement system unless a written

 

agreement signed by all parties designates the party or parties in which the pupil

 

shall be counted in membership, and the instructional time scheduled for the pupil in

 

the district or intermediate district shall be included in the full-time equated

 

membership determination under subdivision (q). However, for pupils receiving

 

instruction in both a public school academy or the education achievement system and in

 

a district or intermediate district but not as a part of a cooperative education

 

program, the following apply:

 

       (i) If the public school academy or the education achievement system provides

 

instruction for at least 1/2 of the class hours specified in subdivision (q), the

 

public school academy or the education achievement system shall receive as its

 

prorated share of the full-time equated membership for each of those pupils an amount

 

equal to 1 times the product of the hours of instruction the public school academy or

 

the education achievement system provides divided by the number of hours specified in

 

subdivision (q) for full-time equivalency, and the remainder of the full-time

 

membership for each of those pupils shall be allocated to the district or intermediate

 

district providing the remainder of the hours of instruction.

 

       (ii) If the public school academy or the education achievement system provides

 

instruction for less than 1/2 of the class hours specified in subdivision (q), the

 

district or intermediate district providing the remainder of the hours of instruction

 

shall receive as its prorated share of the full-time equated membership for each of

 

those pupils an amount equal to 1 times the product of the hours of instruction the

 

district or intermediate district provides divided by the number of hours specified in

 

subdivision (q) for full-time equivalency, and the remainder of the full-time

 


membership for each of those pupils shall be allocated to the public school academy or

 

the education achievement system.

 

       (o) An individual less than 16 years of age as of September 1 of the current

 

school year who is being educated in an alternative education program shall not be

 

counted in membership if there are also adult education participants being educated in

 

the same program or classroom.

 

       (p) The department shall give a uniform interpretation of full-time and part-

 

time memberships.

 

       (q) The number of class hours used to calculate full-time equated memberships

 

shall be consistent with section 101(3). In determining full-time equated memberships

 

for pupils who are enrolled in a postsecondary institution, a pupil shall not be

 

considered to be less than a full-time equated pupil solely because of the effect of

 

his or her postsecondary enrollment, including necessary travel time, on the number of

 

class hours provided by the district to the pupil.

 

       (r) Beginning in 2012-2013, full-time FULL-TIME equated memberships for pupils

 

in kindergarten shall be determined by dividing the number of instructional hours

 

scheduled and provided per year per kindergarten pupil by the same number used for

 

determining full-time equated memberships for pupils in grades 1 to 12. However, to

 

the extent allowable under federal law, for a district or public school academy that

 

provides evidence satisfactory to the department that it used federal title I money in

 

the 2 immediately preceding school fiscal years to fund full-time kindergarten, full-

 

time equated memberships for pupils in kindergarten shall be determined by dividing

 

the number of class hours scheduled and provided per year per kindergarten pupil by a

 

number equal to 1/2 the number used for determining full-time equated memberships for

 

pupils in grades 1 to 12. The change in the counting of full-time equated memberships

 

for pupils in kindergarten that took effect for 2012-2013 is not a mandate.

 

       (s) For a district, a public school academy, or the education achievement

 


system that has pupils enrolled in a grade level that was not offered by the district,

 

the public school academy, or the education achievement system in the immediately

 

preceding school year, the number of pupils enrolled in that grade level to be counted

 

in membership is the average of the number of those pupils enrolled and in regular

 

daily attendance on the pupil membership count day and the supplemental count day of

 

the current school year, as determined by the department. Membership shall be

 

calculated by adding the number of pupils registered for attendance in that grade

 

level on the pupil membership count day plus pupils received by transfer and minus

 

pupils lost as defined by rules promulgated by the superintendent, and as corrected by

 

subsequent department audit, plus the final audited count from the supplemental count

 

day for the current school year, and dividing that sum by 2.

 

       (t) A pupil enrolled in a cooperative education program may be counted in

 

membership in the pupil's district of residence with the written approval of all

 

parties to the cooperative agreement.

 

       (u) If, as a result of a disciplinary action, a district determines through the

 

district's alternative or disciplinary education program that the best instructional

 

placement for a pupil is in the pupil's home or otherwise apart from the general

 

school population, if that placement is authorized in writing by the district

 

superintendent and district alternative or disciplinary education supervisor, and if

 

the district provides appropriate instruction as described in this subdivision to the

 

pupil at the pupil's home or otherwise apart from the general school population, the

 

district may count the pupil in membership on a pro rata basis, with the proration

 

based on the number of hours of instruction the district actually provides to the

 

pupil divided by the number of hours specified in subdivision (q) for full-time

 

equivalency. For the purposes of this subdivision, a district shall be considered to

 

be providing appropriate instruction if all of the following are met:

 

       (i) The district provides at least 2 nonconsecutive hours of instruction per

 


week to the pupil at the pupil's home or otherwise apart from the general school

 

population under the supervision of a certificated teacher.

 

       (ii) The district provides instructional materials, resources, and supplies

 

that are comparable to those otherwise provided in the district's alternative

 

education program.

 

       (iii) Course content is comparable to that in the district's alternative

 

education program.

 

       (iv) Credit earned is awarded to the pupil and placed on the pupil's

 

transcript.

 

       (v) If a pupil was enrolled in a public school academy on the pupil membership

 

count day, if the public school academy's contract with its authorizing body is

 

revoked or the public school academy otherwise ceases to operate, and if the pupil

 

enrolls in a district or the education achievement system within 45 days after the

 

pupil membership count day, the department shall adjust the district's or the

 

education achievement system's pupil count for the pupil membership count day to

 

include the pupil in the count.

 

       (w) For a public school academy that has been in operation for at least 2 years

 

and that suspended operations for at least 1 semester and is resuming operations,

 

membership is the sum of the product of .90 times the number of full-time equated

 

pupils in grades K to 12 actually enrolled and in regular daily attendance on the

 

first pupil membership count day or supplemental count day, whichever is first,

 

occurring after operations resume, plus the product of .10 times the final audited

 

count from the most recent pupil membership count day or supplemental count day that

 

occurred before suspending operations, as determined by the superintendent.

 

       (x) If a district's membership for a particular fiscal year, as otherwise

 

calculated under this subsection, would be less than 1,550 pupils and the district has

 

4.5 or fewer pupils per square mile, as determined by the department, and if the

 


district does not receive funding under section 22d(2), the district's membership

 

shall be considered to be the membership figure calculated under this subdivision. If

 

a district educates and counts in its membership pupils in grades 9 to 12 who reside

 

in a contiguous district that does not operate grades 9 to 12 and if 1 or both of the

 

affected districts request the department to use the determination allowed under this

 

sentence, the department shall include the square mileage of both districts in

 

determining the number of pupils per square mile for each of the districts for the

 

purposes of this subdivision. The membership figure calculated under this subdivision

 

is the greater of the following:

 

       (i) The average of the district's membership for the 3-fiscal-year period

 

ending with that fiscal year, calculated by adding the district's actual membership

 

for each of those 3 fiscal years, as otherwise calculated under this subsection, and

 

dividing the sum of those 3 membership figures by 3.

 

       (ii) The district's actual membership for that fiscal year as otherwise

 

calculated under this subsection.

 

       (y) Full-time equated memberships for special education pupils who are not

 

enrolled in kindergarten but are enrolled in a classroom program under R 340.1754 of

 

the Michigan administrative code shall be determined by dividing the number of class

 

hours scheduled and provided per year by 450. Full-time equated memberships for

 

special education pupils who are not enrolled in kindergarten but are receiving early

 

childhood special education services under R 340.1755 or 340.1862 of the Michigan

 

administrative code shall be determined by dividing the number of hours of service

 

scheduled and provided per year per pupil by 180.

 

       (z) A pupil of a district that begins its school year after Labor day who is

 

enrolled in an intermediate district program that begins before Labor day shall not be

 

considered to be less than a full-time pupil solely due to instructional time

 

scheduled but not attended by the pupil before Labor day.

 


       (aa) For the first year in which a pupil is counted in membership on the pupil

 

membership count day in a middle college program, the membership is the average of the

 

full-time equated membership on the pupil membership count day and on the supplemental

 

count day for the current school year, as determined by the department.

 

       (bb) A district, a public school academy, or the education achievement system

 

that educates a pupil who attends a United States Olympic education center may count

 

the pupil in membership regardless of whether or not the pupil is a resident of this

 

state.

 

       (cc) A pupil enrolled in a district other than the pupil's district of

 

residence pursuant to section 1148(2) of the revised school code, MCL 380.1148, shall

 

be counted in the educating district or the education achievement system.

 

       (dd) For a pupil enrolled in a dropout recovery program that meets the

 

requirements of section 23a, the pupil shall be counted as 1/12 of a full-time equated

 

membership for each month that the district operating the program reports that the

 

pupil was enrolled in the program and was in full attendance. However, if the special

 

membership counting provisions under this subdivision and the operation of the other

 

membership counting provisions under this subsection result in a pupil being counted

 

as more than 1.0 FTE in a fiscal year, the payment made for the pupil under sections

 

22a and 22b shall not be based on more than 1.0 FTE for that pupil, and any portion of

 

an FTE for that pupil that exceeds 1.0 shall instead be paid under section 25f. The

 

district operating the program shall report to the center the number of pupils who

 

were enrolled in the program and were in full attendance for a month not later than

 

the tenth day of the next month. A district shall not report a pupil as being in full

 

attendance for a month unless both of the following are met:

 

       (i) A personalized learning plan is in place on or before the first school day

 

of the month for the first month the pupil participates in the program.

 

       (ii) The pupil meets the district's definition under section 23a of

 


satisfactory monthly progress for that month or, if the pupil does not meet that

 

definition of satisfactory monthly progress for that month, the pupil did meet that

 

definition of satisfactory monthly progress in the immediately preceding month and

 

appropriate interventions are implemented within 10 school days after it is determined

 

that the pupil does not meet that definition of satisfactory monthly progress.

 

       (EE) A PUPIL ENROLLED IN AN ONLINE COURSE UNDER SECTION 21F SHALL BE COUNTED IN

 

MEMBERSHIP IN THE PUPIL’S RESIDENT DISTRICT, REFERRED TO IN SECTION 21F AS THE PRIMARY

 

DISTRICT FOR THE ONLINE COURSE ENROLLMENT.

 

       (5) "Public school academy" means that term as defined in section 5 of the

 

revised school code, MCL 380.5.

 

       (6) "Pupil" means a person in membership in a public school. A district must

 

have the approval of the pupil's district of residence to count the pupil in

 

membership, except approval by the pupil's district of residence is not required for

 

any of the following:

 

       (a) A nonpublic part-time pupil enrolled in grades 1 to 12 in accordance with

 

section 166b.

 

       (b) A pupil receiving 1/2 or less of his or her instruction in a district other

 

than the pupil's district of residence.

 

       (c) A pupil enrolled in a public school academy or the education achievement

 

system.

 

       (d) A pupil enrolled in a district other than the pupil's district of residence

 

under an intermediate district schools of choice pilot program as described in section

 

91a or former section 91 if the intermediate district and its constituent districts

 

have been exempted from section 105.

 

       (e) A pupil enrolled in a district other than the pupil's district of residence

 

if the pupil is enrolled in accordance with section 105 or 105c.

 

       (f) A pupil who has made an official written complaint or whose parent or legal

 


guardian has made an official written complaint to law enforcement officials and to

 

school officials of the pupil's district of residence that the pupil has been the

 

victim of a criminal sexual assault or other serious assault, if the official

 

complaint either indicates that the assault occurred at school or that the assault was

 

committed by 1 or more other pupils enrolled in the school the pupil would otherwise

 

attend in the district of residence or by an employee of the district of residence. A

 

person who intentionally makes a false report of a crime to law enforcement officials

 

for the purposes of this subdivision is subject to section 411a of the Michigan penal

 

code, 1931 PA 328, MCL 750.411a, which provides criminal penalties for that conduct.

 

As used in this subdivision:

 

       (i) "At school" means in a classroom, elsewhere on school premises, on a school

 

bus or other school-related vehicle, or at a school-sponsored activity or event

 

whether or not it is held on school premises.

 

       (ii) "Serious assault" means an act that constitutes a felony violation of

 

chapter XI of the Michigan penal code, 1931 PA 328, MCL 750.81 to 750.90h, or that

 

constitutes an assault and infliction of serious or aggravated injury under section

 

81a of the Michigan penal code, 1931 PA 328, MCL 750.81a.

 

       (g) A pupil whose district of residence changed after the pupil membership

 

count day and before the supplemental count day and who continues to be enrolled on

 

the supplemental count day as a nonresident in the district in which he or she was

 

enrolled as a resident on the pupil membership count day of the same school year.

 

       (h) A pupil enrolled in an alternative education program operated by a district

 

other than his or her district of residence who meets 1 or more of the following:

 

       (i) The pupil has been suspended or expelled from his or her district of

 

residence for any reason, including, but not limited to, a suspension or expulsion

 

under section 1310, 1311, or 1311a of the revised school code, MCL 380.1310, 380.1311,

 

and 380.1311a.

 


       (ii) The pupil had previously dropped out of school.

 

       (iii) The pupil is pregnant or is a parent.

 

       (iv) The pupil has been referred to the program by a court.

 

       (i) A pupil enrolled in the Michigan virtual school, for the pupil's enrollment

 

in the Michigan virtual school.

 

       (j) A pupil who is the child of a person who works at the district or who is

 

the child of a person who worked at the district as of the time the pupil first

 

enrolled in the district but who no longer works at the district due to a workforce

 

reduction. As used in this subdivision, "child" includes an adopted child, stepchild,

 

or legal ward.

 

       (k) An expelled pupil who has been denied reinstatement by the expelling

 

district and is reinstated by another school board under section 1311 or 1311a of the

 

revised school code, MCL 380.1311 and 380.1311a.

 

       (l) A pupil enrolled in a district other than the pupil's district of residence

 

in a middle college program if the pupil's district of residence and the enrolling

 

district are both constituent districts of the same intermediate district.

 

       (m) A pupil enrolled in a district other than the pupil's district of residence

 

who attends a United States Olympic education center.

 

       (n) A pupil enrolled in a district other than the pupil's district of residence

 

pursuant to section 1148(2) of the revised school code, MCL 380.1148.

 

       (o) A pupil who enrolls in a district other than the pupil's district of

 

residence as a result of the pupil's school not making adequate yearly progress under

 

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

 

       (p) An online learning pupil enrolled in a district other than the pupil's

 

district of residence as an eligible pupil under section 21f.

 

       However, if a district educates pupils who reside in another district and if

 

the primary instructional site for those pupils is established by the educating

 


district after 2009-2010 and is located within the boundaries of that other district,

 

the educating district must have the approval of that other district to count those

 

pupils in membership.

 

       (7) "Pupil membership count day" of a district or intermediate district means:

 

       (a) Except as provided in subdivision (b), the first Wednesday in October each

 

school year or, for a district or building in which school is not in session on that

 

Wednesday due to conditions not within the control of school authorities, with the

 

approval of the superintendent, the immediately following day on which school is in

 

session in the district or building.

 

       (b) For a district or intermediate district maintaining school during the

 

entire school year, the following days:

 

       (i) Fourth Wednesday in July.

 

       (ii) First Wednesday in October.

 

       (iii) Second Wednesday in February.

 

       (iv) Fourth Wednesday in April.

 

       (8) "Pupils in grades K to 12 actually enrolled and in regular daily

 

attendance" means pupils in grades K to 12 in attendance and receiving instruction in

 

all classes for which they are enrolled on the pupil membership count day or the

 

supplemental count day, as applicable. Except as otherwise provided in this

 

subsection, a pupil who is absent from any of the classes in which the pupil is

 

enrolled on the pupil membership count day or supplemental count day and who does not

 

attend each of those classes during the 10 consecutive school days immediately

 

following the pupil membership count day or supplemental count day, except for a pupil

 

who has been excused by the district, shall not be counted as 1.0 full-time equated

 

membership. A pupil who is excused from attendance on the pupil membership count day

 

or supplemental count day and who fails to attend each of the classes in which the

 

pupil is enrolled within 30 calendar days after the pupil membership count day or

 


supplemental count day shall not be counted as 1.0 full-time equated membership. In

 

addition, a pupil who was enrolled and in attendance in a district, an intermediate

 

district, a public school academy, or the education achievement system before the

 

pupil membership count day or supplemental count day of a particular year but was

 

expelled or suspended on the pupil membership count day or supplemental count day

 

shall only be counted as 1.0 full-time equated membership if the pupil resumed

 

attendance in the district, intermediate district, public school academy, or education

 

achievement system within 45 days after the pupil membership count day or supplemental

 

count day of that particular year. Pupils not counted as 1.0 full-time equated

 

membership due to an absence from a class shall be counted as a prorated membership

 

for the classes the pupil attended. For purposes of this subsection, "class" means a

 

period of time in 1 day when pupils and a certificated teacher or legally qualified

 

substitute teacher are together and instruction is taking place.

 

       (9) "Rule" means a rule promulgated pursuant to the administrative procedures

 

act of 1969, 1969 PA 306, MCL 24.201 to 24.328.

 

       (10) "The revised school code" means 1976 PA 451, MCL 380.1 to 380.1852.

 

       (11) "School district of the first class", "first class school district", and

 

"district of the first class" mean, for the purposes of this article only, a district

 

that had at least 40,000 pupils in membership for the immediately preceding fiscal

 

year.

 

       (12) "School fiscal year" means a fiscal year that commences July 1 and

 

continues through June 30.

 

       (13) "State board" means the state board of education.

 

       (14) "Superintendent", unless the context clearly refers to a district or

 

intermediate district superintendent, means the superintendent of public instruction

 

described in section 3 of article VIII of the state constitution of 1963.

 

       (15) "Supplemental count day" means the day on which the supplemental pupil

 


count is conducted under section 6a.

 

       (16) "Tuition pupil" means a pupil of school age attending school in a district

 

other than the pupil's district of residence for whom tuition may be charged to the

 

district of residence. Tuition pupil does not include a pupil who is a special

 

education pupil, a pupil described in subsection (6)(c) to (p), or a pupil whose

 

parent or guardian voluntarily enrolls the pupil in a district that is not the pupil's

 

district of residence. A pupil's district of residence shall not require a high school

 

tuition pupil, as provided under section 111, to attend another school district after

 

the pupil has been assigned to a school district.

 

       (17) "State school aid fund" means the state school aid fund established in

 

section 11 of article IX of the state constitution of 1963.

 

       (18) "Taxable value" means the taxable value of property as determined under

 

section 27a of the general property tax act, 1893 PA 206, MCL 211.27a.

 

       (19) "Textbook" means a book, electronic book, or other instructional print or

 

electronic resource that is selected and approved by the governing board of a district

 

or, for an achievement school, by the chancellor of the achievement authority and that

 

contains a presentation of principles of a subject, or that is a literary work

 

relevant to the study of a subject required for the use of classroom pupils, or

 

another type of course material that forms the basis of classroom instruction.

 

       (20) "Total state aid" or "total state school aid" means the total combined

 

amount of all funds due to a district, intermediate district, or other entity under

 

all of the provisions of this article.

 

       Sec. 8b. (1) The department shall assign a district code to each public school

 

academy that is authorized under the revised school code and is eligible to receive

 

funding under this article within 30 days after a contract is submitted to the

 

department by the authorizing body of a public school academy.

 

       (2) If the department does not assign a district code to a public school

 


academy within the 30-day period described in subsection (1), the district code the

 

department shall use to make payments under this article to the newly authorized

 

public school academy shall be a number that is equivalent to the sum of the last

 

district code assigned to a public school academy located in the same county as the

 

newly authorized public school academy plus 1. However, if there is not an existing

 

public school academy located in the same county as the newly authorized public school

 

academy, then the district code the department shall use to make payments under this

 

article to the newly authorized public school academy shall be a 5-digit number that

 

has the county code in which the public school academy is located as its first 2

 

digits, 9 as its third digit, 0 as its fourth digit, and 1 as its fifth digit. If the

 

number of public school academies in a county grows to exceed 100, the third digit in

 

this 5-digit number shall then be 7 for the public school academies in excess of 100.

 

       (3) FOR EACH SCHOOL OF EXCELLENCE THAT IS A CYBER SCHOOL AUTHORIZED BY A SCHOOL

 

DISTRICT, INTERMEDIATE SCHOOL DISTRICT, COMMUNITY COLLEGE OR OTHER NON-STATEWIDE

 

AUTHORIZING ENTITY UNDER THE REVISED SCHOOL CODE AND IS ELIGIBLE TO RECEIVE FUNDING

 

UNDER THIS ARTICLE, THE DEPARTMENT SHALL ASSIGN A DISTRICT CODE THAT INCLUDES THE

 

COUNTY CODE IN WHICH THE AUTHORIZING BODY IS LOCATED AS THE FIRST TWO DIGITS.

 

       Sec. 11. (1) For the fiscal year ending September 30, 2014, 2016 there is

 

appropriated for the public schools of this state and certain other state purposes

 

relating to education the sum of $11,200,232,300.00 $12,137,294,700.00 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 $149,900,000.00

 

$45,900,000.00 from the general fund. For the fiscal year ending September 30, 2015,

 

there is appropriated for the public schools of this state and certain other state

 

purposes relating to education the sum of $11,929,262,900.00 from the state school aid

 

fund, the sum of $18,000,000.00 from the MPSERS retirement obligation reform reserve

 

fund created under section 147b, and the sum of $114,900,000.00 from the general fund.

 


In addition, all other available federal funds are appropriated each fiscal year for

 

the fiscal year ending September 30, 2014 and for the fiscal year ending September 30,

 

2015  2016.

 

       (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. 11a. (1) The school aid stabilization fund is created as a separate

 

account within the state school aid fund established by section 11 of article IX of

 

the state constitution of 1963.

 

       (2) The state treasurer may receive money or other assets from any source for

 

deposit into the school aid stabilization fund. The state treasurer shall deposit into

 

the school aid stabilization fund all of the following:

 

       (a) Unexpended and unencumbered state school aid fund revenue for a fiscal year

 

that remains in the state school aid fund as of the bookclosing for that fiscal year.

 

       (b) Money statutorily dedicated to the school aid stabilization fund.

 

       (c) Money appropriated to the school aid stabilization fund.

 

       (3) Money available in the school aid stabilization fund may not be expended

 

without a specific appropriation from the school aid stabilization fund. Money in the

 

school aid stabilization fund shall be expended only for purposes for which state

 

school aid fund money may be expended.

 

       (4) The state treasurer shall direct the investment of the school aid

 

stabilization fund. The state treasurer shall credit to the school aid stabilization

 

fund interest and earnings from fund investments.

 


       (5) Money in the school aid stabilization fund at the close of a fiscal year

 

shall remain in the school aid stabilization fund and shall not lapse to the

 

unreserved school aid fund balance or the general fund.

 

       (6) If the maximum amount appropriated under section 11 from the state school

 

aid fund for a fiscal year exceeds the amount available for expenditure from the state

 

school aid fund for that fiscal year, there is appropriated from the school aid

 

stabilization fund to the state school aid fund an amount equal to the projected

 

shortfall as determined by the department of treasury, but not to exceed available

 

money in the school aid stabilization fund. If the money in the school aid

 

stabilization fund is insufficient to fully fund an amount equal to the projected

 

shortfall, the state budget director shall notify the legislature as required under

 

section 296(2) and state payments in an amount equal to the remainder of the projected

 

shortfall shall be prorated in the manner provided under section 296(3).

 

       (7) For 2014-2015 2015-2016, in addition to the appropriations in section 11,

 

there is appropriated from the school aid stabilization fund to the state school aid

 

fund the amount necessary to fully fund the allocations under this article.

 

       Sec. 11j. From the appropriation in section 11, there is allocated an amount

 

not to exceed $126,000,000.00 $143,000,000.00 for 2014-2015 2015-2016 for payments to

 

the school loan bond redemption fund in the department of treasury on behalf of

 

districts and intermediate districts. Notwithstanding section 296 or any other

 

provision of this act, funds allocated under this section are not subject to proration

 

and shall be paid in full.

 

       Sec. 11k. For 2014-2015 2015-2016, there is appropriated from the general fund

 

to the school loan revolving fund an amount equal to the amount of school bond loans

 

assigned to the Michigan finance authority, not to exceed the total amount of school

 

bond loans held in reserve as long-term assets. As used in this section, "school loan

 

revolving fund" means that fund created in section 16c of the shared credit rating

 


act, 1985 PA 227, MCL 141.1066c.

 

       Sec. 11m. From the appropriation in section 11, there is allocated for 2014-

 

2015 2015-2016 an amount not to exceed $4,000,000.00 for fiscal year cash-flow

 

borrowing costs solely related to the state school aid fund established by section 11

 

of article IX of the state constitution of 1963.

 

       Sec. 11r. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $4,000,000.00 $75,000,000.00 to be deposited into the distressed

 

districts emergency grant REHABILITATION fund created under this section for the

 

purpose of funding grants under this section. FUNDS ARE INTENDED TO SUPPORT THE

 

REHABILITATION OF SCHOOL DISTRICTS EXPERIENCING SEVERE ACADEMIC AND FINANCIAL STRESS

 

IN ORDER TO MITIGATE THE IMPACT ON STUDENT LEARNING.

 

       (2) The distressed districts emergency grant REHABILITATION fund is created as

 

a separate account within the state school aid fund. The state treasurer may receive

 

money or other assets from any source for deposit into the distressed districts

 

emergency grant REHABILITATION fund. The state treasurer shall direct the investment

 

of the distressed districts emergency grant REHABILITATION fund and shall credit to

 

the distressed districts emergency grant REHABILITATION fund interest and earnings

 

from the fund.

 

       (3) Subject to subsection (4), a district is eligible to receive a grant from

 

the distressed districts emergency grant fund if either of the following applies:

 

       (a) The district has adopted a resolution authorizing the voluntary dissolution

 

of the district approved by the state treasurer under section 12 of the revised school

 

code, MCL 380.12, but the dissolution has not yet taken effect under that section.

 

       (b) The district is a receiving district under section 12 of the revised school

 

code, MCL 380.12, and the district enrolls pupils who were previously enrolled in a

 

district that was dissolved under section 12 of the revised school code, MCL 380.12,

 

in the immediately preceding school year.

 


       (4) A district receiving funds under section 20g is not eligible to receive

 

funds under this section.

 

       (5) The amount of a grant under this section shall be determined by the state

 

treasurer after consultation with the superintendent of public instruction, but shall

 

not exceed the estimated amount of remaining district costs in excess of available

 

revenues, including, but not limited to, payroll, benefits, retirement system

 

contributions, pupil transportation, food services, special education, building

 

security, and other costs necessary to allow the district to operate schools directly

 

and provide public education services until the end of the current school fiscal year.

 

For a district that meets the eligibility criteria under subsection (3)(b), the amount

 

of the grant shall be determined in the same manner as transition costs under section

 

20g.

 

       (3) (6) Before disbursing funds under this section, the state treasurer shall

 

notify the house and senate appropriations subcommittees on school aid and the house

 

and senate fiscal agencies. The notification shall include, but not be limited to, the

 

district receiving funds under this section, the amount of the funds awarded under

 

this section, an explanation of the district conditions that necessitate funding under

 

this section, and the intended use of funds disbursed under this section.

 

       (4) (7) Money in the distressed districts emergency grant REHABILITATION fund

 

at the close of a fiscal year shall remain in the distressed districts emergency grant

 

REHABILITATION fund and shall not lapse to the state school aid fund or to the general

 

fund.

 

       Sec. 15. (1) If a district or intermediate district fails to receive its proper

 

apportionment, the department, upon satisfactory proof that the district or

 

intermediate district was entitled justly, shall apportion the deficiency in the next

 

apportionment. Subject to subsections (2) and (3), if a district or intermediate

 

district has received more than its proper apportionment, the department, upon

 


satisfactory proof, shall deduct the excess in the next apportionment. Notwithstanding

 

any other provision in this article, state aid overpayments to a district, other than

 

overpayments in payments for special education or special education transportation,

 

may be recovered from any payment made under this article other than a special

 

education or special education transportation payment, from the proceeds of a loan to

 

the district under the emergency municipal loan act, 1980 PA 243, MCL 141.931 to

 

141.942, or from the proceeds of millage levied or pledged under section 1211 of the

 

revised school code, MCL 380.1211. State aid overpayments made in special education or

 

special education transportation payments may be recovered from subsequent special

 

education or special education transportation payments, from the proceeds of a loan to

 

the district under the emergency municipal loan act, 1980 PA 243, MCL 141.931 to

 

141.942, or from the proceeds of millage levied or pledged under section 1211 of the

 

revised school code, MCL 380.1211.

 

       (2) If the result of an audit conducted by or for the department affects the

 

current fiscal year membership, affected payments shall be adjusted in the current

 

fiscal year. A deduction due to an adjustment made as a result of an audit conducted

 

by or for the department, or as a result of information obtained by the department

 

from the district, an intermediate district, the department of treasury, or the office

 

of auditor general, shall be deducted from the district's apportionments when the

 

adjustment is finalized. At the request of the district and upon the district

 

presenting evidence satisfactory to the department of the hardship, the department may

 

grant up to an additional 4 years for the adjustment and may advance payments to the

 

district otherwise authorized under this article if the district would otherwise

 

experience a significant hardship in satisfying its financial obligations.

 

       (3) If, based on an audit by the department or the department's designee or

 

because of new or updated information received by the department, the department

 

determines that the amount paid to a district or intermediate district under this

 


article for the current fiscal year or a prior fiscal year was incorrect, the

 

department shall make the appropriate deduction or payment in the district's or

 

intermediate district's allocation in the next apportionment after the adjustment is

 

finalized. The deduction or payment shall be calculated according to the law in effect

 

in the fiscal year in which the incorrect amount was paid. If the district does not

 

receive an allocation for the fiscal year or if the allocation is not sufficient to

 

pay the amount of any deduction, the amount of any deduction otherwise applicable

 

shall be satisfied from the proceeds of a loan to the district under the emergency

 

municipal loan act, 1980 PA 243, MCL 141.931 to 141.942, or from the proceeds of

 

millage levied or pledged under section 1211 of the revised school code, MCL 380.1211,

 

as determined by the department.

 

       (4) The department may conduct audits, or may direct audits by designee of the

 

department, for the current fiscal year and the immediately preceding 3 fiscal years

 

of all records related to a program for which a district or intermediate district has

 

received funds under this article.

 

       (5) Expenditures made by the department under this article that are caused by

 

the write-off of prior year accruals may be funded by revenue from the write-off of

 

prior year accruals.

 

       (6) In addition to funds appropriated in section 11 for all programs and

 

services, there is appropriated for 2014-2015 2015-2016 for obligations in excess of

 

applicable appropriations an amount equal to the collection of overpayments, but not

 

to exceed amounts available from overpayments.

 

       Sec. 18. (1) Except as provided in another section of this article, each

 

district or other entity shall apply the money received by the district or entity

 

under this article to salaries and other compensation of teachers and other employees,

 

tuition, transportation, lighting, heating, ventilation, water service, the purchase

 

of textbooks, other supplies, and any other school operating expenditures defined in

 


section 7. However, not more than 20% of the total amount received by a district under

 

sections 22a and 22b or received by an intermediate district under section 81 may be

 

transferred by the board to either the capital projects fund or to the debt retirement

 

fund for debt service. The money shall not be applied or taken for a purpose other

 

than as provided in this section. The department shall determine the reasonableness of

 

expenditures and may withhold from a recipient of funds under this article the

 

apportionment otherwise due upon a violation by the recipient.

 

       (2) A DISTRICT OR INTERMEDIATE DISTRICT SHALL ADOPT AN ANNUAL BUDGET IN A

 

MANNER THAT COMPLIES WITH THE UNIFORM BUDGETING AND ACCOUNTING ACT, 1968 PA 2, MCL

 

141.421 TO 141.440A. Within 15 days after a board adopts its annual operating budget

 

for the following school fiscal year, or after a board adopts a subsequent revision to

 

that budget, the district shall make all of the following available through a link on

 

its website home page, or may make the information available through a link on its

 

intermediate district’s website home page, in a form and manner prescribed by the

 

department:

 

       (a) The annual operating budget and subsequent budget revisions.

 

       (b) Using data that have already been collected and submitted to the

 

department, a summary of district expenditures for the most recent fiscal year for

 

which they are available, expressed in the following 2 pie charts:

 

       (i) A chart of personnel expenditures, broken into the following subcategories:

 

       (A) Salaries and wages.

 

       (B) Employee benefit costs, including, but not limited to, medical, dental,

 

vision, life, disability, and long-term care benefits.

 

       (C) Retirement benefit costs.

 

       (D) All other personnel costs.

 

       (ii) A chart of all district expenditures, broken into the following

 

subcategories:

 


       (A) Instruction.

 

       (B) Support services.

 

       (C) Business and administration.

 

       (D) Operations and maintenance.

 

       (c) Links to all of the following:

 

       (i) The current collective bargaining agreement for each bargaining unit.

 

       (ii) Each health care benefits plan, including, but not limited to, medical,

 

dental, vision, disability, long-term care, or any other type of benefits that would

 

constitute health care services, offered to any bargaining unit or employee in the

 

district.

 

       (iii) The audit report of the audit conducted under subsection (4) for the most

 

recent fiscal year for which it is available.

 

       (iv) The bids required under section 5 of the public employee health benefits

 

act, 2007 PA 106, MCL 124.75.

 

       (v) The district’s written policy governing procurement of supplies, materials,

 

and equipment.

 

       (vi) The district’s written policy establishing specific categories of

 

reimbursable expenses, as described in section 1254(2) of the revised school code, MCL

 

380.1254.

 

       (vii) Either the district’s accounts payable check register for the most recent

 

school fiscal year or a statement of the total amount of expenses incurred by board

 

members or employees of the district that were reimbursed by the district for the most

 

recent school fiscal year.

 

       (d) The total salary and a description and cost of each fringe benefit included

 

in the compensation package for the superintendent of the district and for each

 

employee of the district whose salary exceeds $100,000.00.

 

       (e) The annual amount spent on dues paid to associations.

 


       (f) The annual amount spent on lobbying or lobbying services. As used in this

 

subdivision, "lobbying" means that term as defined in section 5 of 1978 PA 472, MCL

 

4.415.

 

       (g) Any deficit elimination plan or enhanced deficit elimination plan the

 

district was required to submit under this article.

 

       (h) Identification of all credit cards maintained by the district as district

 

credit cards, the identity of all individuals authorized to use each of those credit

 

cards, the credit limit on each credit card, and the dollar limit, if any, for each

 

individual’s authorized use of the credit card.

 

       (i) Costs incurred for each instance of out-of-state travel by the school

 

administrator of the district that is fully or partially paid for by the district and

 

the details of each of those instances of out-of-state travel, including at least

 

identification of each individual on the trip, destination, and purpose.

 

       (3) For the information required under subsection (2)(a), (2)(b)(i), and

 

(2)(c), an intermediate district shall provide the same information in the same manner

 

as required for a district under subsection (2).

 

       (4) For the purposes of determining the reasonableness of expenditures, whether

 

a district or intermediate district has received the proper amount of funds under this

 

article, and whether a violation of this article has occurred, all of the following

 

apply:

 

       (a) The department shall require that each district and intermediate district

 

have an audit of the district’s or intermediate district’s financial and pupil

 

accounting records conducted at least annually, and at such other times as determined

 

by the department, at the expense of the district or intermediate district, as

 

applicable. The audits must be performed by a certified public accountant or by the

 

intermediate district superintendent, as may be required by the department, or in the

 

case of a district of the first class by a certified public accountant, the

 


intermediate superintendent, or the auditor general of the city. A district or

 

intermediate district shall retain these records for the current fiscal year and from

 

at least the 3 immediately preceding fiscal years.

 

       (b) If a district operates in a single building with fewer than 700 full-time

 

equated pupils, if the district has stable membership, and if the error rate of the

 

immediately preceding 2 pupil accounting field audits of the district is less than 2%,

 

the district may have a pupil accounting field audit conducted biennially but must

 

continue to have desk audits for each pupil count. The auditor must document

 

compliance with the audit cycle in the pupil auditing manual. As used in this

 

subdivision, "stable membership" means that the district’s membership for the current

 

fiscal year varies from the district’s membership for the immediately preceding fiscal

 

year by less than 5%.

 

       (c) A district’s or intermediate district’s annual financial audit shall

 

include an analysis of the financial and pupil accounting data used as the basis for

 

distribution of state school aid.

 

       (d) The pupil and financial accounting records and reports, audits, and

 

management letters are subject to requirements established in the auditing and

 

accounting manuals approved and published by the department.

 

       (e) All of the following shall be done not later than November 15, 2014 2015

 

for reporting 2013-2014 2014-2015 data during 2014-2015 2015-2016, and not later than

 

October 15 NOVEMBER 1 for reporting the prior fiscal year data for all subsequent

 

fiscal years:

 

       (i) A district shall file the annual financial audit reports with the

 

intermediate district and the department.

 

       (ii) The intermediate district shall file the annual financial audit reports

 

for the intermediate district with the department.

 

       (iii) The intermediate district shall enter the pupil membership audit reports

 


for its constituent districts and for the intermediate district, for the pupil

 

membership count day and supplemental count day, in the Michigan student data system.

 

       (f) The annual financial audit reports and pupil accounting procedures reports

 

shall be available to the public in compliance with the freedom of information act,

 

1976 PA 442, MCL 15.231 to 15.246.

 

       (g) Not later than January 31 of each year, the department shall notify the

 

state budget director and the legislative appropriations subcommittees responsible for

 

review of the school aid budget of districts and intermediate districts that have not

 

filed an annual financial audit and pupil accounting procedures report required under

 

this section for the school year ending in the immediately preceding fiscal year.

 

       (5) By November 15, 2014 2015 for 2014-2015 2015-2016 and by October 15

 

NOVEMBER 1 for all subsequent fiscal years, each district and intermediate district

 

shall submit to the center, in a manner prescribed by the center, annual comprehensive

 

financial data consistent with accounting manuals and charts of accounts approved and

 

published by the department. For an intermediate district, the report shall also

 

contain the website address where the department can access the report required under

 

section 620 of the revised school code, MCL 380.620. The department shall ensure that

 

the prescribed Michigan public school accounting manual chart of accounts includes

 

standard conventions to distinguish expenditures by allowable fund function and

 

object. The functions shall include at minimum categories for instruction, pupil

 

support, instructional staff support, general administration, school administration,

 

business administration, transportation, facilities operation and maintenance,

 

facilities acquisition, and debt service; and shall include object classifications of

 

salary, benefits, including categories for active employee health expenditures,

 

purchased services, supplies, capital outlay, and other. Districts shall report the

 

required level of detail consistent with the manual as part of the comprehensive

 

annual financial report.

 


       (6) By September 30 of each year, each district and intermediate district shall

 

file with the department the special education actual cost report, known as "SE-4096",

 

on a form and in the manner prescribed by the department.

 

       (7) By October 7 of each year, each district and intermediate district shall

 

file with the center the transportation expenditure report, known as "SE-4094", on a

 

form and in the manner prescribed by the center.

 

       (8) The department shall review its pupil accounting and pupil auditing manuals

 

at least annually and shall periodically update those manuals to reflect changes in

 

this article.

 

       (9) If a district that is a public school academy purchases property using

 

money received under this article, the public school academy shall retain ownership of

 

the property unless the public school academy sells the property at fair market value.

 

       (10) If a district or intermediate district does not comply with subsections

 

(4), (5), (6), and (7), the department shall withhold all state school aid due to the

 

district or intermediate district under this article, beginning with the next payment

 

due to the district or intermediate district, until the district or intermediate

 

district complies with subsections (4), (5), (6), and (7). However, the department

 

shall not withhold the payment due on October 20 due to the operation of this

 

subsection. If the district or intermediate district does not comply with subsections

 

(4), (5), (6), and (7) by the end of the fiscal year, the district or intermediate

 

district forfeits the amount withheld.

 

       (11) iF A DISTRICT OR INTERMEDIATE DISTRICT DOES NOT COMPLY WITH SUBSECTION

 

(2), THE DEPARTMENT MAY WITHHOLD UP TO 10% OF THE STATE SCHOOL AID OTHERWISE PAYABLE

 

TO THE DISTRICT OR INTERMEDIATE DISTRICT UNDER THIS ARTICLE, BEGINNING WITH THE NEXT

 

PAYMENT DUE TO THE DISTRICT OR INTERMEDIATE DISTRICT, UNTIL THE DISTRICT OR

 

INTERMEDIATE DISTRICT COMPLIES WITH SUBSECTION (2). IF THE DISTRICT OR INTERMEDIATE

 

DISTRICT DOES NOT COMPLY WITH SUBSECTION (2) BY THE END OF THE FISCAL YEAR, THE

 


DISTRICT OR INTERMEDIATE DISTRICT FORFEITS THE AMOUNT WITHHELD.

 

       (12) (11) Not later than November 1, 2014 2015, if a district or intermediate

 

district offers online learning under section 21f, the district or intermediate

 

district shall submit to the department a report that details the per-pupil costs of

 

operating the online learning by vendor type. The report shall include at least all of

 

the following information concerning the operation of online learning for the school

 

fiscal year ending June 30, 2014 2015:

 

       (a) The name of the district operating the online learning and of each district

 

that enrolled students in the online learning.

 

       (b) The total number of students enrolled in the online learning and the total

 

number of membership pupils enrolled in the online learning.

 

       (c) For each pupil who is enrolled in a district other than the district

 

offering online learning, the name of that district.

 

       (d) The district in which the pupil was enrolled before enrolling in the

 

district offering online learning.

 

       (e) The number of participating students who had previously dropped out of

 

school.

 

       (f) The number of participating students who had previously been expelled from

 

school.

 

       (g) The total cost to enroll a student in the program. This cost shall be

 

reported on a per-pupil, per-course, per‑semester or trimester basis by vendor type.

 

The total shall include costs broken down by cost for content development, content

 

licensing, training, online instruction and instructional support, personnel, hardware

 

and software, payment to each online learning provider, and other costs associated

 

with operating online learning.

 

       (h) The name of each online education provider contracted by the district and

 

the state in which each online education provider is headquartered.

 


       (13) (12) Not later than March 31, 2015 2016, the department shall submit to

 

the house and senate appropriations subcommittees on state school aid, the state

 

budget director, and the house and senate fiscal agencies a report summarizing the per

 

pupil costs by vendor type of online courses available under section 21f.

 

       (14) (13) As used in subsections (11) and (12) AND (13), "vendor type" means

 

the following:

 

       (a) Online courses provided by the Michigan virtual university.

 

       (b) Online courses provided by a school of excellence that is a cyber school,

 

as defined in section 551 of the revised school code, MCL 380.551.

 

       (c) Online courses provided by third party vendors not affiliated with a

 

Michigan public school.

 

       (d) Online courses created and offered by a district or intermediate district.

 

       Sec. 18a. Grant funds awarded and allotted to a district, intermediate

 

district, or other entity, unless otherwise specified in this act ARTICLE, shall be

 

expended by the grant recipient before the end of the school fiscal year immediately

 

following the fiscal year in which the funds are received. If a grant recipient does

 

not expend the funds received under this act ARTICLE before the end of the fiscal year

 

in which the funds are received, the grant recipient shall submit a report to the

 

department not later than November 1 after the fiscal year in which the funds are

 

received indicating whether it expects to expend those funds during the fiscal year in

 

which the report is submitted. A recipient of a grant shall return any unexpended

 

grant funds to the department in the manner prescribed by the department not later

 

than September 30 after the fiscal year in which the funds are received.

 

       Sec. 20. (1) For 2014-2015 2015-2016, both of the following apply:

 

       (a) The basic foundation allowance is $8,099.00 $8,174.00.

 

       (b) The minimum foundation allowance is $7,126.00 $7,326.00.

 

       (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) Except as otherwise provided in this subdivision, for a district that had a

 

foundation allowance for the immediately preceding state fiscal year that was equal to

 

the minimum foundation allowance for the immediately preceding state fiscal year, 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 difference between the basic foundation allowance

 

for the current state fiscal year and basic foundation allowance for the immediately

 

preceding state fiscal year minus $10.00) times (the difference between the district's

 

foundation allowance for the immediately preceding state fiscal year and the minimum

 

foundation allowance for the immediately preceding state fiscal year) divided by the

 

difference between the basic foundation allowance for the current state fiscal year

 

and the minimum foundation allowance for the immediately preceding state fiscal year].

 

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. For the purposes of

 

this subdivision, for 2014-2015 2015-2016, the minimum foundation allowance for the

 

immediately preceding state fiscal year shall be considered to be $7,076.00 $7,251.00.

 

For 2014-2015 2015-2016, for a district that had a foundation allowance for the

 


immediately preceding state fiscal year that was at least equal to the minimum

 

foundation allowance for the immediately preceding state fiscal year 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 district's

 

foundation allowance for 2013-2014 2014-2015 plus $50.00 $75.00.

 

       (b) Except as otherwise provided in this subsection, for a district that in the

 

immediately preceding state fiscal year had a foundation allowance in an amount equal

 

to the amount of the basic foundation allowance for the immediately preceding state

 

fiscal year, the district shall receive a foundation allowance for 2014-2015 2015-2016

 

in an amount equal to the basic foundation allowance for 2014-2015 2015-2016.

 

       (c) For a district that had a foundation allowance for the immediately

 

preceding state fiscal year that was greater than the basic foundation allowance for

 

the immediately preceding state fiscal year, 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 section 22c as that section

 

was in effect for 2013-2014 2014-2015, the district's 2013-2014 2014-2015 foundation

 

allowance shall be considered to have been an amount equal to the sum of the

 


district's actual 2013-2014 2014-2015 foundation allowance as otherwise calculated

 

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

 

2013-2014 2014-2015 under section 22c as that section was in effect for 2013-2014

 

2014-2015.

 

       (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 local portion of the district's foundation allowance

 

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 local portion of the district's foundation

 

allowance 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. For a receiving district, if

 

school operating taxes continue to be levied on behalf of a dissolved district that

 

has been attached in whole or in part to the receiving district to satisfy debt

 

obligations of the dissolved district under section 12 of the revised school code, MCL

 

380.12, the taxable value per membership pupil of property in the receiving district

 

used for the purposes of this subsection does not include the taxable value of

 

property within the geographic area of the dissolved district.

 

       (5) The allocation calculated under this section for a pupil shall be based on

 

the foundation allowance of the pupil's district of residence. 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.

 

       (6) Except as otherwise provided in this subsection, for pupils in membership,

 

other than special education pupils, in a public school academy, the allocation

 

calculated under this section is an amount per membership pupil other than special

 

education pupils in the public school academy equal to the foundation allowance of the

 

district in which the public school academy is located or the state maximum public

 

school academy allocation, whichever is less. FOR PUPILS IN MEMBERSHIP, OTHER THAN

 

SPECIAL EDUCATION PUPILS, IN A PUBLIC SCHOOL ACADEMY THAT IS A CYBER SCHOOL AUTHORIZED

 

BY A SCHOOL DISTRICT, THE ALLOCATION CALCULATED UNDER THIS SECTION IS AN AMOUNT PER

 

MEMBERSHIP PUPIL OTHER THAN SPECIAL EDUCATION PUPILS IN THE PUBLIC SCHOOL ACADEMY THAT

 

IS A CYBER SCHOOL EQUAL TO THE FOUNDATION ALLOWANCE OF THE DISTRICT THAT AUTHORIZED

 

THE PUBLIC SCHOOL ACADEMY THAT IS A CYBER SCHOOL or the state maximum public school

 

academy allocation, whichever is less. However, a public school academy that had an

 

allocation under this subsection before 2009-2010 that was 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 is located and the state

 

portion of that district's foundation allowance shall not have that allocation reduced

 

as a result of the 2010 amendment to this subsection. 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) Except as otherwise provided in this subsection, for pupils attending an

 

achievement school and in membership in the education achievement system, other than

 

special education pupils, the allocation calculated under this section is an amount

 

per membership pupil other than special education pupils equal to the foundation

 

allowance of the district in which the achievement school is located, not to exceed

 

the basic foundation allowance. Notwithstanding section 101, for an achievement school

 

that begins operation 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

 

achievement school 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. For the purposes of this subsection,

 

if a public school is transferred from a district to the state school reform/redesign

 

district or the achievement authority under section 1280c of the revised school code,

 

MCL 380.1280c, that public school is considered to be an achievement school within the

 

education achievement system and not a school that is part of a district, and a pupil

 

attending that public school is considered to be in membership in the education

 

achievement system and not in membership in the district that operated the school

 

before the transfer.

 

       (8) 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 lesser of the sum of

 

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 plus $100.00 or the highest foundation

 

allowance among the original or affected districts. This subsection does not apply to

 

a receiving district unless there is a subsequent consolidation or annexation that

 

affects the district.

 

       (9) 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.

 

       (10) 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.

 

       (11) 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. 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.

 

       (12) Payments to districts, public school academies, or the education

 

achievement system 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.

 

       (13) 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.

 

       (14) 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) "Dissolved district" means a district that loses its organization, has its

 

territory attached to 1 or more other districts, and is dissolved as provided under

 

section 12 of the revised school code, MCL 380.12.

 

       (f) "Immediately preceding state fiscal year" means the state fiscal year

 

immediately preceding the current state fiscal year.

 

       (g) "Local portion of the district's foundation allowance" means an amount that

 

is 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 product of the captured assessed valuation under tax increment

 

financing acts times the district's certified mills divided by the district's

 

membership excluding special education pupils).

 


       (h) "Local school operating revenue" means school operating taxes levied under

 

section 1211 of the revised school code, MCL 380.1211. For a receiving district, if

 

school operating taxes are to be levied on behalf of a dissolved district that has

 

been attached in whole or in part to the receiving district to satisfy debt

 

obligations of the dissolved district under section 12 of the revised school code, MCL

 

380.12, local school operating revenue does not include school operating taxes levied

 

within the geographic area of the dissolved district.

 

       (i) "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.

 

       (j) "Maximum public school academy allocation", except as otherwise provided in

 

this subdivision, 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 amount of the

 

difference between the basic foundation allowance for the current state fiscal year

 

and the basic foundation for the immediately preceding state fiscal year and [(the

 

amount of the difference between the basic foundation allowance for the current state

 

fiscal year and the basic foundation for the immediately preceding state fiscal year

 

minus $10.00) times (the difference between the highest per-pupil allocation among all

 

public school academies for the immediately preceding state fiscal year and the

 

minimum foundation allowance for the immediately preceding state fiscal year) divided

 

by the difference between the basic foundation allowance for the current state fiscal

 

year and the minimum foundation allowance for the immediately preceding state fiscal

 

year]. For the purposes of this subdivision, for 2014-2015, the minimum foundation

 

allowance for the immediately preceding state fiscal year shall be considered to be

 

$7,076.00. For 2014-2015 2015-2016, the maximum public school academy allocation is

 

$7,218.00 $7,326.00.

 


       (k) "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.

 

       (l) "Nonexempt property" means property that is not a principal residence,

 

qualified agricultural property, qualified forest property, supportive housing

 

property, industrial personal property, or commercial personal property.

 

       (m) "Principal residence", "qualified agricultural property", "qualified forest

 

property", "supportive housing property", "industrial personal property", and

 

"commercial personal property" mean those terms as defined in section 1211 of the

 

revised school code, MCL 380.1211.

 

       (n) "Receiving district" means a district to which all or part of the territory

 

of a dissolved district is attached under section 12 of the revised school code, MCL

 

380.12.

 

       (o) "School operating purposes" means the purposes included in the operation

 

costs of the district as prescribed in sections 7 and 18 and purposes authorized under

 

section 1211 of the revised school code, MCL 380.1211.

 

       (p) "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.

 

       (q) "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.

 

       (r) "Taxable value per membership pupil" means taxable value, as certified by

 

the county treasurer and reported to the department, 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.

 


       Sec. 20d. In making the final determination required under former section 20a

 

of a district's combined state and local revenue per membership pupil in 1993-94 and

 

in making calculations under section 20 for 2014-2015 2015-2016, the department and

 

the department of treasury shall comply with all of the following:

 

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

 

pupil in the 1994-95 state fiscal year of $6,500.00 or more and served as a fiscal

 

agent for a state board designated area vocational education center in the 1993-94

 

school year, total state school aid received by or paid on behalf of the district

 

pursuant to this act in 1993-94 shall exclude payments made under former section 146

 

and under section 147 on behalf of the district's employees who provided direct

 

services to the area vocational education center. Not later than June 30, 1996, the

 

department shall make an adjustment under this subdivision to the district's combined

 

state and local revenue per membership pupil in the 1994-95 state fiscal year and the

 

department of treasury shall make a final certification of the number of mills that

 

may be levied by the district under section 1211 of the revised school code, MCL

 

380.1211, as a result of the adjustment under this subdivision.

 

       (b) If a district had an adjustment made to its 1993-94 total state school aid

 

that excluded payments made under former section 146 and under section 147 on behalf

 

of the district's employees who provided direct services for intermediate district

 

center programs operated by the district under article 5, if nonresident pupils

 

attending the center programs were included in the district's membership for purposes

 

of calculating the combined state and local revenue per membership pupil for 1993-94,

 

and if there is a signed agreement by all constituent districts of the intermediate

 

district that an adjustment under this subdivision shall be made, the foundation

 

allowances for 1995-96 and 1996-97 of all districts that had pupils attending the

 

intermediate district center program operated by the district that had the adjustment

 

shall be calculated as if their combined state and local revenue per membership pupil

 


for 1993-94 included resident pupils attending the center program and excluded

 

nonresident pupils attending the center program.

 

       Sec. 20f. (1) From the funds appropriated in section 11, there is allocated an

 

amount not to exceed $6,000,000.00 for 2014-2015 2015-2016 for payments to eligible

 

districts under this section. A district is eligible for funding under this section if

 

the district received a payment under this section as it was in effect for 2013-2014.

 

A district was eligible for funding in 2013-2014 if the sum of the following was less

 

than $5.00:

 

       (a) The increase in the district's foundation allowance or per pupil payment as

 

calculated under section 20 from 2012-2013 to 2013-2014.

 

       (b) The district's equity payment per membership pupil under section 22c for

 

2013-2014.

 

       (c) The quotient of the district's allocation under section 147a for 2012-2013

 

divided by the district's membership pupils for 2012-2013 minus the quotient of the

 

district's allocation under section 147a for 2013-2014 divided by the district's

 

membership pupils for 2013-2014.

 

       (2) The amount allocated to each eligible district under this section is an

 

amount per membership pupil equal to the amount per membership pupil the district

 

received in 2013-2014.

 

       (3) If the allocation under subsection (1) is insufficient to fully fund

 

payments as otherwise calculated under this section, the department shall prorate

 

payments under this section on an equal per-pupil basis.

 

       Sec. 20g. (1) From the money appropriated under section 11, there is allocated

 

an amount not to exceed $2,200,000.00 for 2014-2015 2015-2016 for grants to eligible

 

districts that first received payments under this section in 2013-2014 for transition

 

costs related to the enrollment of pupils who were previously enrolled in a district

 

that was dissolved under section 12 of the revised school code, MCL 380.12, allocated

 


as provided under subsection (3). Payments under this section shall continue for a

 

total of 4 fiscal years following the dissolution of a district, after which the

 

payments shall cease.

 

       (2) A receiving school district, as that term is defined in section 12 of the

 

revised school code, MCL 380.12, is an eligible district under this section.

 

       (3) The amount allocated to each eligible district under this section is an

 

amount equal to the product of the number of membership pupils enrolled in the

 

eligible district who were previously enrolled in the dissolved school district in the

 

school year immediately preceding the dissolution, or who reside in the geographic

 

area of the dissolved school district and are entering kindergarten, times 10.0% of

 

the lesser of the foundation allowance of the eligible district as calculated under

 

section 20 or the basic foundation allowance under section 20(1).

 

       (4) As used in this section, "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.

 

       Sec. 21f. (1) A pupil enrolled in a district in any of grades 6 to 12 is

 

eligible to enroll in an online course as provided for in this section.

 

       (2) With the consent of the pupil's parent or legal guardian, a district shall

 

enroll an eligible pupil in up to 2 online courses as requested by the pupil during an

 

academic term, semester, or trimester. Unless the pupil is newly enrolled in the

 

PRIMARY district, the request for online course enrollment must be made in the

 

academic term, semester, trimester, or summer preceding the enrollment. A district may

 

not establish additional requirements that would prohibit a pupil from taking an

 

online course. If a pupil has demonstrated previous success with online courses and

 

the school leadership and the pupil's parent or legal guardian determine that it is in

 

the best interest of the pupil, a pupil may be enrolled in more than 2 online courses

 

in a specific academic term, semester, or trimester. Consent of the pupil's parent or

 


legal guardian is not required if the pupil is at least age 18 or is an emancipated

 

minor.

 

       (3) An eligible pupil may enroll in an online course published in the pupil's

 

educating PRIMARY district's catalog of online courses described in subsection (7)(a)

 

or the statewide catalog of online courses maintained by the Michigan virtual

 

university pursuant to section 98.

 

       (4) A PROVIDING district OR COMMUNITY COLLEGE shall determine whether or not it

 

has capacity to accept applications for enrollment from nonresident applicants in

 

online courses and may use that limit as the reason for refusal to enroll an

 

applicant. If the number of nonresident applicants eligible for acceptance in an

 

online course does not exceed the capacity of the PROVIDING district OR COMMUNITY

 

COLLEGE to provide the online course, the PROVIDING district OR COMMUNITY COLLEGE

 

shall accept for enrollment all of the nonresident applicants eligible for acceptance.

 

If the number of nonresident applicants exceeds the PROVIDING district's OR COMMUNITY

 

COLLEGE’S capacity to provide the online course, the PROVIDING district OR COMMUNITY

 

COLLEGE shall use a random draw system, subject to the need to abide by state and

 

federal antidiscrimination laws and court orders.

 

       (5) A PRIMARY district may deny a pupil enrollment in an online course if any

 

of the following apply, as determined by the district:

 

       (a) The pupil has previously gained the credits provided from the completion of

 

the online course.

 

       (b) The online course is not capable of generating academic credit.

 

       (c) The online course is inconsistent with the remaining graduation

 

requirements or career interests of the pupil.

 

       (d) The pupil does not possess the prerequisite knowledge and skills to be

 

successful in the online course or has demonstrated failure in previous online

 

coursework in the same subject.

 


       (e) The online course is of insufficient quality or rigor. A district that

 

denies a pupil enrollment for this reason shall make a reasonable effort to assist the

 

pupil to find an alternative course in the same or a similar subject that is of

 

acceptable rigor and quality.

 

       (f) The cost of the online course exceeds the amount identified in subsection

 

(8) (10), unless the pupil's parent or legal guardian agrees to pay the cost that

 

exceeds this amount.

 

       (g) The online course enrollment request does not occur within the same

 

timelines established by the PRIMARY district for enrollment and schedule changes for

 

regular courses.

 

       (6) If a pupil is denied enrollment in an online course by a PRIMARY district,

 

the pupil may appeal the denial by submitting a letter to the superintendent of the

 

intermediate district in which the pupil's educating PRIMARY district is located. The

 

letter of appeal shall include the reason provided by the PRIMARY district for not

 

enrolling the pupil and the reason why the pupil is claiming that the enrollment

 

should be approved. The intermediate district superintendent or designee shall respond

 

to the appeal within 5 days after it is received. If the intermediate district

 

superintendent or designee determines that the denial of enrollment does not meet 1 or

 

more of the reasons specified in subsection (5), the PRIMARY district shall allow the

 

pupil to enroll in the online course.

 

       (7) To offer or provide an online course under this section, a THE PROVIDING

 

district or intermediate district shall do all of the following:

 

       (a) Provide the Michigan virtual university with the course syllabus in a form

 

and method prescribed by the Michigan virtual university for inclusion in a statewide

 

online course catalog. The district or intermediate district shall also provide on its

 

publicly accessible website a link to the course syllabi for all of the online courses

 

offered by the district or intermediate district and a link to the statewide catalog

 


of online courses maintained by the Michigan virtual university.

 

       (B) ASSIGN TO EACH PUPIL A TEACHER OF RECORD AND PROVIDE THE PRIMARY DISTRICT

 

WITH THE PERSONAL IDENTIFICATION CODE FOR THE TEACHER OF RECORD.

 

       (C) (b) Offer the online course on an open entry and exit method, or aligned to

 

a semester, trimester, or accelerated academic term format.

 

       (D) (c) Not later than October 1, 2014 2015, provide the Michigan virtual

 

university with the number of enrollments in each online course the district or

 

intermediate district offered PROVIDED to pupils pursuant to this section in the

 

immediately preceding school year, and the number of enrollments in which the pupil

 

earned 60% or more of the total course points for each online course.

 

       (8) To provide an online course under this section, a community college shall

 

do all of the following:

 

       (A) Provide the Michigan virtual university with the course syllabus in a form

 

and method prescribed by the MICHIGAN VIRTUAL UNIVERSITY for inclusion in a statewide

 

online course catalog.

 

       (B) Offer the online course on an open entry and exit method, or aligned to a

 

semester, trimester, or accelerated academic term format.

 

       (C) offer online courses UNDER THIS SECTION that can generate postsecondary

 

credit.

 

       (D) BEGINNING WITH OCTOBER 1, 2016, AND EACH YEAR THEREAFTER, PROVIDE THE

 

MICHIGAN VIRTUAL UNIVERSITY WITH THE NUMBER OF ENROLLMENTS IN EACH ONLINE COURSE THE

 

COMMUNITY COLLEGE PROVIDED TO PUPILS PURSUANT TO THIS SECTION IN THE IMMEDIATELY

 

PRECEDING SCHOOL YEAR, AND THE NUMBER OF ENROLLMENTS IN WHICH THE PUPIL EARNED 60% OR

 

MORE OF THE TOTAL COURSE POINTS FOR EACH ONLINE COURSE.

 

       (e) Online courses made available under this section by a Community college

 

require an instructor employed by OR CONTRACTED through the community college.

 

       (9) THE PRIMARY DISTRICT MUST ASSIGN TO EACH PUPIL A MENTOR TO MONITOR THE

 


PUPIL’S PROGRESS DURING THE ONLINE COURSE AND SUPPLY THE PROVIDING DISTRICT WITH THE

 

MENTOR’S CONTACT INFORMATION.

 

       (10) (8) For a pupil enrolled in 1 or more online courses published in the

 

pupil's educating PRIMARY district's catalog of online courses under subsection (7) or

 

in the statewide catalog of online courses maintained by the Michigan virtual

 

university, the PRIMARY district shall use foundation allowance or per pupil funds

 

calculated under section 20 to pay for the expenses associated with the online course

 

or courses. The district shall pay 80% of the cost of the online course upon

 

enrollment and 20% upon completion as determined by the district. A district is not

 

required to pay toward the cost of an online course an amount that exceeds 8.33% 6.66%

 

of the minimum foundation allowance for the current fiscal year as calculated under

 

section 20.

 

       (11) (9) An online learning pupil shall have the same rights and access to

 

technology in his or her primary district's school facilities as all other pupils

 

enrolled in the pupil's primary district.

 

       (12) (10) If a pupil successfully completes an online course, as determined by

 

the pupil's primary district, the pupil's primary district shall grant appropriate

 

academic credit for completion of the course and shall count that credit toward

 

completion of graduation and subject area requirements. A pupil's school record and

 

transcript shall identify the online course title as it appears in the online course

 

syllabus.

 

       (13) (11) The enrollment of a pupil in 1 or more online courses shall not

 

result in a pupil being counted as more than 1.0 full-time equivalent pupils under

 

this article.

 

       (14) (12) The portion of the full-time equated pupil membership for which a

 

pupil is enrolled in 1 or more online courses under this section shall not be

 

transferred under the pupil transfer process under section 25e.

 


       (15) (13) As used in this section:

 

       (A) "MENTOR" MEANS A PROFESSIONAL EMPLOYEE OF THE PRIMARY DISTRICT WHO MONITORS

 

THE PUPIL’S PROGRESS, ENSURES THE PUPIL HAS ACCESS TO NEEDED TECHNOLOGY, IS AVAILABLE

 

FOR ASSISTANCE, AND ENSURES ACCESS TO THE TEACHER OF RECORD. THE ON-SITE MENTOR MAY

 

ALSO SERVE AS THE TEACHER OF RECORD IF THEY MEET THE DEFINED REQUIREMENTS.

 

       (B) (a) "Online course" means a course of study that is capable of generating a

 

credit or a grade, that is provided in an interactive internet-connected learning

 

environment, in which pupils are separated from their teachers by time or location, or

 

both, and in which a teacher who holds a valid Michigan teaching certificate FOR

 

COURSES PROVIDED BY A DISTRICT OR INTERMEDIATE DISTRICT is responsible for PROVIDING

 

INSTRUCTION, determining appropriate instructional methods for each pupil, diagnosing

 

learning needs, assessing pupil learning, prescribing intervention strategies,

 

reporting outcomes, and evaluating the effects of instruction and support strategies.

 

       (C) (b) "Online course syllabus" means a document that includes all of the

 

following:

 

       (i) The state academic standards addressed in an online course.

 

       (ii) The online course content outline.

 

       (iii) The online course required assessments.

 

       (iv) The online course prerequisites.

 

       (v) Expectations for actual instructor contact time with the online learning

 

pupil and other pupil-to-instructor communications.

 

       (vi) Academic support available to the online learning pupil.

 

       (vii) The online course learning outcomes and objectives.

 

       (viii) The name of the institution or organization providing the online

 

content.

 

       (ix) The name of the institution or organization providing the online

 

instructor.

 


       (x) The course titles assigned by the district or intermediate district and the

 

course titles and course codes from the national center for education statistics

 

(NCES) school codes for the exchange of data (SCED).

 

       (xi) The number of eligible nonresident pupils that will be accepted by the

 

district or intermediate district in the online course.

 

       (xii) The results of the online course quality review using the guidelines and

 

model review process published by the Michigan virtual university.

 

       (D) (c) "Online learning pupil" means a pupil enrolled in 1 or more online

 

courses.

 

       (E) (d) "Primary district" means the district that enrolls the pupil and

 

reports the pupil as a full-time equated pupil for pupil membership purposes.

 

       (F) "PROVIDING DISTRICT" MEANS THE DISTRICT, INTERMEDIATE DISTRICT, OR

 

COMMUNITY COLLEGE THAT THE PRIMARY DISTRICT PAYS TO PROVIDE THE ONLINE COURSE.

 

       (G) "TEACHER OF RECORD" MEANS A MICHIGAN CERTIFIED TEACHER WHO, WHERE

 

APPLICABLE, IS ENDORSED IN CONTENT AREA AND GRADE. THE TEACHER OF RECORD IS

 

RESPONSIBLE FOR PROVIDING INSTRUCTION, DETERMINING INSTRUCTIONAL METHODS FOR EACH

 

PUPIL, DIAGNOSING LEARNING NEEDS, ASSESSING PUPIL LEARNING, PRESCRIBING INTERVENTION

 

STRATEGIES, REPORTING OUTCOMES, AND EVALUATING THE EFFECTS OF INSTRUCTION AND SUPPORT

 

STRATEGIES.

 

       Sec. 22a. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $5,393,000,000.00 $5,277,000,000.00 for 2014-2015 2015-2016 for

 

payments to districts and qualifying public school academies to guarantee each

 

district and qualifying public school academy an amount equal to its 1994-95 total

 

state and local per pupil revenue for school operating purposes under section 11 of

 

article IX of the state constitution of 1963. Pursuant to section 11 of article IX of

 

the state constitution of 1963, this guarantee does not apply to a district in a year

 

in which the district levies a millage rate for school district operating purposes

 


less than it levied in 1994. However, subsection (2) applies to calculating the

 

payments under this section. Funds allocated under this section that are not expended

 

in the state fiscal year for which they were allocated, as determined by the

 

department, may be used to supplement the allocations under sections 22b and 51c in

 

order to fully fund those calculated allocations for the same fiscal year.

 

       (2) To ensure that a district receives an amount equal to the district's 1994-

 

95 total state and local per pupil revenue for school operating purposes, there is

 

allocated to each district a state portion of the district's 1994-95 foundation

 

allowance in an amount calculated as follows:

 

       (a) Except as otherwise provided in this subsection, the state portion of a

 

district's 1994-95 foundation allowance is an amount equal to the district's 1994-95

 

foundation allowance or $6,500.00, 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. 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. For a receiving district, if school operating taxes are to be levied on behalf

 

of a dissolved district that has been attached in whole or in part to the receiving

 

district to satisfy debt obligations of the dissolved district under section 12 of the

 

revised school code, MCL 380.12, taxable value per membership pupil of all property in

 

the receiving district that is nonexempt property and taxable value per membership

 

pupil of property in the receiving district that is commercial personal property do

 


not include property within the geographic area of the dissolved district; ad valorem

 

property tax revenue of the receiving district captured under tax increment financing

 

acts does not include ad valorem property tax revenue captured within the geographic

 

boundaries of the dissolved district under tax increment financing acts; and certified

 

mills do not include the certified mills of the dissolved district.

 

       (b) For a district that had a 1994-95 foundation allowance greater than

 

$6,500.00, the state payment under this subsection shall be the sum of the amount

 

calculated under subdivision (a) plus the amount calculated under this subdivision.

 

The amount calculated under this subdivision shall be equal to the difference between

 

the district's 1994-95 foundation allowance minus $6,500.00 and the current year hold

 

harmless school operating taxes per pupil. If the result of the calculation under

 

subdivision (a) is negative, the negative amount shall be an offset against any state

 

payment calculated under this subdivision. If the result of a calculation under this

 

subdivision is negative, there shall not be a state payment or a deduction under this

 

subdivision. The taxable values per membership pupil used in the calculations under

 

this subdivision are as adjusted by ad valorem property tax revenue captured under tax

 

increment financing acts divided by the district's membership. For a receiving

 

district, if school operating taxes are to be levied on behalf of a dissolved district

 

that has been attached in whole or in part to the receiving district to satisfy debt

 

obligations of the dissolved district under section 12 of the revised school code, MCL

 

380.12, ad valorem property tax revenue captured under tax increment financing acts do

 

not include ad valorem property tax revenue captured within the geographic boundaries

 

of the dissolved district under tax increment financing acts.

 

       (3) Beginning in 2003-2004, for pupils in membership in a qualifying public

 

school academy, there is allocated under this section to the authorizing body that is

 

the fiscal agent for the qualifying public school academy for forwarding to the

 

qualifying public school academy an amount equal to the 1994-95 per pupil payment to

 


the qualifying public school academy under section 20.

 

       (4) A district or qualifying public school academy may use funds allocated

 

under this section in conjunction with any federal funds for which the district or

 

qualifying public school academy otherwise would be eligible.

 

       (5) Except as otherwise provided in this subsection, for a district that is

 

formed or reconfigured after June 1, 2000 by consolidation of 2 or more districts or

 

by annexation, the resulting district's 1994-95 foundation allowance under this

 

section beginning after the effective date of the consolidation or annexation shall be

 

the average of the 1994-95 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 in the state fiscal year in which

 

the consolidation takes place who reside in the geographic area of each of the

 

original districts. If an affected district's 1994-95 foundation allowance is less

 

than the 1994-95 basic foundation allowance, the amount of that district's 1994-95

 

foundation allowance shall be considered for the purpose of calculations under this

 

subsection to be equal to the amount of the 1994-95 basic foundation allowance. This

 

subsection does not apply to a receiving district unless there is a subsequent

 

consolidation or annexation that affects the district.

 

       (6) Payments under this section are subject to section 25f.

 

       (7) As used in this section:

 

       (a) "1994-95 foundation allowance" means a district's 1994-95 foundation

 

allowance calculated and certified by the department of treasury or the superintendent

 

under former section 20a as enacted in 1993 PA 336 and as amended by 1994 PA 283.

 

       (b) "Certified mills" means the lesser of 18 mills or the number of mills of

 

school operating taxes levied by the district in 1993-94.

 

       (c) "Current state fiscal year" means the state fiscal year for which a

 

particular calculation is made.

 


       (d) "Current year hold harmless school operating taxes per pupil" means the per

 

pupil revenue generated by multiplying a district's 1994-95 hold harmless millage by

 

the district's current year taxable value per membership pupil. For a receiving

 

district, if school operating taxes are to be levied on behalf of a dissolved district

 

that has been attached in whole or in part to the receiving district to satisfy debt

 

obligations of the dissolved district under section 12 of the revised school code, MCL

 

380.12, taxable value per membership pupil does not include the taxable value of

 

property within the geographic area of the dissolved district.

 

       (e) "Dissolved district" means a district that loses its organization, has its

 

territory attached to 1 or more other districts, and is dissolved as provided under

 

section 12 of the revised school code, MCL 380.12.

 

       (f) "Hold harmless millage" means, for a district with a 1994-95 foundation

 

allowance greater than $6,500.00, the number of mills by which the exemption from the

 

levy of school operating taxes on a homestead, qualified agricultural property,

 

qualified forest property, supportive housing property, industrial personal property,

 

and commercial personal property could be reduced as provided in section 1211 of the

 

revised school code, MCL 380.1211, and the number of mills of school operating taxes

 

that could be levied on all property as provided in section 1211(2) of the revised

 

school code, MCL 380.1211, as certified by the department of treasury for the 1994 tax

 

year. For a receiving district, if school operating taxes are to be levied on behalf

 

of a dissolved district that has been attached in whole or in part to the receiving

 

district to satisfy debt obligations of the dissolved district under section 12 of the

 

revised school code, MCL 380.12, school operating taxes do not include school

 

operating taxes levied within the geographic area of the dissolved district.

 

       (g) "Homestead", "qualified agricultural property", "qualified forest

 

property", "supportive housing property", "industrial personal property", and

 

"commercial personal property" mean those terms as defined in section 1211 of the

 


revised school code, MCL 380.1211.

 

       (h) "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.

 

       (i) "Nonexempt property" means property that is not a principal residence,

 

qualified agricultural property, qualified forest property, supportive housing

 

property, industrial personal property, or commercial personal property.

 

       (j) "Qualifying public school academy" means a public school academy that was

 

in operation in the 1994-95 school year and is in operation in the current state

 

fiscal year.

 

       (k) "Receiving district" means a district to which all or part of the territory

 

of a dissolved district is attached under section 12 of the revised school code, MCL

 

380.12.

 

       (l) "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 as defined in section 20.

 

       (m) "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.

 

       (n) "Taxable value per membership pupil" means each of the following divided by

 

the district's membership:

 

       (i) For the number of mills by which the exemption from the levy of school

 

operating taxes on a homestead, qualified agricultural property, qualified forest

 

property, supportive housing property, industrial personal property, and commercial

 

personal property may be reduced as provided in section 1211 of the revised school

 

code, MCL 380.1211, the taxable value of homestead, qualified agricultural property,

 


qualified forest property, supportive housing property, industrial personal property,

 

and commercial personal property for the calendar year ending in the current state

 

fiscal year. For a receiving district, if school operating taxes are to be levied on

 

behalf of a dissolved district that has been attached in whole or in part to the

 

receiving district to satisfy debt obligations of the dissolved district under section

 

12 of the revised school code, MCL 380.12, mills do not include mills within the

 

geographic area of the dissolved district.

 

       (ii) For the number of mills of school operating taxes that may be levied on

 

all property as provided in section 1211(2) of the revised school code, MCL 380.1211,

 

the taxable value of all property for the calendar year ending in the current state

 

fiscal year. For a receiving district, if school operating taxes are to be levied on

 

behalf of a dissolved district that has been attached in whole or in part to the

 

receiving district to satisfy debt obligations of the dissolved district under section

 

12 of the revised school code, MCL 380.12, school operating taxes do not include

 

school operating taxes levied within the geographic area of the dissolved district.

 

       Sec. 22b. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $3,492,000,000.00 $3,662,000,000.00 for 2014-2015 2015-2016 for

 

discretionary nonmandated payments to districts under this section. Funds allocated

 

under this section that are not expended in the state fiscal year for which they were

 

allocated, as determined by the department, may be used to supplement the allocations

 

under sections 22a and 51c in order to fully fund those calculated allocations for the

 

same fiscal year.

 

       (2) Subject to subsection (3) and section 296, the allocation to a district

 

under this section shall be an amount equal to the sum of the amounts calculated under

 

sections 20, 51a(2), 51a(3), and 51a(11), minus the sum of the allocations to the

 

district under sections 22a and 51c.

 

       (3) In order to receive an allocation under subsection (1), each district shall

 


do all of the following:

 

       (a) Comply with section 1280b of the revised school code, MCL 380.1280b.

 

       (b) Comply with sections 1278a and 1278b of the revised school code, MCL

 

380.1278a and 380.1278b.

 

       (c) 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.

 

       (d) Comply with section 1230g of the revised school code, MCL 380.1230g.

 

       (e) Comply with section 21f.

 

       (4) Districts are encouraged to use funds allocated under this section for the

 

purchase and support of payroll, human resources, and other business function software

 

that is compatible with that of the intermediate district in which the district is

 

located and with other districts located within that intermediate district.

 

       (5) From the allocation in subsection (1), the department shall pay up to

 

$1,000,000.00 in litigation costs incurred by this state related to commercial or

 

industrial property tax appeals, including, but not limited to, appeals of

 

classification, that impact revenues dedicated to the state school aid fund.

 

       (6) From the allocation in subsection (1), the department shall pay up to

 

$1,000,000.00 in litigation costs incurred by this state associated with lawsuits

 

filed by 1 or more districts or intermediate districts against this state. If the

 

allocation under this section is insufficient to fully fund all payments required

 

under this section, the payments under this subsection shall be made in full before

 

any proration of remaining payments under this section.

 

       (7) It is the intent of the legislature that all constitutional obligations of

 

this state have been fully funded under sections 22a, 31d, 51a, 51c, and 152a. If a

 

claim is made by an entity receiving funds under this article that challenges the

 

legislative determination of the adequacy of this funding or alleges that there exists

 


an unfunded constitutional requirement, the state budget director may escrow or

 

allocate from the discretionary funds for nonmandated payments under this section the

 

amount as may be necessary to satisfy the claim before making any payments to

 

districts under subsection (2). If funds are escrowed, the escrowed funds are a work

 

project appropriation and the funds are carried forward into the following fiscal

 

year. The purpose of the work project is to provide for any payments that may be

 

awarded to districts as a result of litigation. The work project shall be completed

 

upon resolution of the litigation.

 

       (8) If the local claims review board or a court of competent jurisdiction makes

 

a final determination that this state is in violation of section 29 of article IX of

 

the state constitution of 1963 regarding state payments to districts, the state budget

 

director shall use work project funds under subsection (7) or allocate from the

 

discretionary funds for nonmandated payments under this section the amount as may be

 

necessary to satisfy the amount owed to districts before making any payments to

 

districts under subsection (2).

 

       (9) If a claim is made in court that challenges the legislative determination

 

of the adequacy of funding for this state's constitutional obligations or alleges that

 

there exists an unfunded constitutional requirement, any interested party may seek an

 

expedited review of the claim by the local claims review board. If the claim exceeds

 

$10,000,000.00, this state may remove the action to the court of appeals, and the

 

court of appeals shall have and shall exercise jurisdiction over the claim.

 

       (10) If payments resulting from a final determination by the local claims

 

review board or a court of competent jurisdiction that there has been a violation of

 

section 29 of article IX of the state constitution of 1963 exceed the amount allocated

 

for discretionary nonmandated payments under this section, the legislature shall

 

provide for adequate funding for this state's constitutional obligations at its next

 

legislative session.

 


       (11) If a lawsuit challenging payments made to districts related to costs

 

reimbursed by federal title XIX medicaid funds is filed against this state, then, for

 

the purpose of addressing potential liability under such a lawsuit, the state budget

 

director may place funds allocated under this section in escrow or allocate money from

 

the funds otherwise allocated under this section, up to a maximum of 50% of the amount

 

allocated in subsection (1). If funds are placed in escrow under this subsection,

 

those funds are a work project appropriation and the funds are carried forward into

 

the following fiscal year. The purpose of the work project is to provide for any

 

payments that may be awarded to districts as a result of the litigation. The work

 

project shall be completed upon resolution of the litigation. In addition, this state

 

reserves the right to terminate future federal title XIX medicaid reimbursement

 

payments to districts if the amount or allocation of reimbursed funds is challenged in

 

the lawsuit. As used in this subsection, "title XIX" means title XIX of the social

 

security act, 42 USC 1396 to 1396v.

 

       (12) Payments under this section are subject to section 25f.

 

       Sec. 22d. (1) From the appropriation in section 11, an amount not to exceed

 

$2,584,600.00 is allocated for 2014-2015 2015-2016 for supplemental payments to rural

 

districts under this section.

 

       (2) From the allocation under subsection (1), there is allocated for 2014-2015

 

2015-2016 an amount not to exceed $957,300.00 for payments under this subsection to

 

districts that meet all of the following:

 

       (a) Operates grades K to 12.

 

       (b) Has fewer than 250 pupils in membership.

 

       (c) Each school building operated by the district meets at least 1 of the

 

following:

 

       (i) Is located in the Upper Peninsula at least 30 miles from any other public

 

school building.

 


       (ii) Is located on an island that is not accessible by bridge.

 

       (3) The amount of the additional funding to each eligible district under

 

subsection (2) shall be determined under a spending plan developed as provided in this

 

subsection and approved by the superintendent of public instruction. The spending plan

 

shall be developed cooperatively by the intermediate superintendents of each

 

intermediate district in which an eligible district is located. The intermediate

 

superintendents shall review the financial situation of each eligible district,

 

determine the minimum essential financial needs of each eligible district, and develop

 

and agree on a spending plan that distributes the available funding under subsection

 

(2) to the eligible districts based on those financial needs. The intermediate

 

superintendents shall submit the spending plan to the superintendent of public

 

instruction for approval. Upon approval by the superintendent of public instruction,

 

the amounts specified for each eligible district under the spending plan are allocated

 

under subsection (2) and shall be paid to the eligible districts in the same manner as

 

payments under section 22b.

 

       (4) Subject to subsection (6), from the allocation in subsection (1), there is

 

allocated for 2014-2015 2015-2016 an amount not to exceed $1,627,300.00 for payments

 

under this subsection to districts that meet all of the following:

 

       (a) The district has 5.0 or fewer pupils per square mile as determined by the

 

department.

 

       (b) The district has a total square mileage greater than 200.0 or is 1 of 2

 

districts that have consolidated transportation services and have a combined total

 

square mileage greater than 200.0.

 

       (5) The funds allocated under subsection (4) shall be allocated on an equal per

 

pupil basis.

 

       (6) A district receiving funds allocated under subsection (2) is not eligible

 

for funding allocated under subsection (4).

 


       Sec. 22f. (1) From the appropriation in section 11, there is allocated for

 

2014-2015 2015-2016 an amount not to exceed $75,000,000.00 $30,000,000.00 to provide

 

incentive payments to districts that meet best practices under this section. FUNDS

 

ALLOCATED UNDER THIS SECTION ARE INTENDED TO INCREASE THE FISCAL HEALTH OF DISTRICTS

 

STATEWIDE, TO DECREASE THE NUMBER OF DISTRICTS WITH ONGOING DEFICITS, TO INCREASE THE

 

NUMBER OF PUPILS READING AT GRADE LEVEL BY THE END OF GRADE 3, AND TO INCREASE THE

 

NUMBER OF STUDENTS WHO ARE COLLEGE AND CAREER READY UPON HIGH SCHOOL GRADUATION.

 

Payments received under this section may be used for any purpose for which payments

 

under sections 22a and 22b may be used.

 

       (2) The amount of the incentive payment under this section is an amount equal

 

to $50.00 $20.00 per pupil. A district shall receive an incentive payment under this

 

section if the district satisfies at least 7 of the following requirements not later

 

than June 1, 2015: THE REQUIREMENTS OF BOTH FINANCIAL BEST PRACTICES AND ACADEMIC BEST

 

PRACTICES DESCRIBED BELOW NOT LATER THAN JUNE 1, 2016:

 

       (a) If a district provides medical, pharmacy, dental, vision, disability, long-

 

term care, or any other type of benefit that would constitute a health care services

 

benefit, to employees and their dependents, the district is the policyholder for each

 

of its insurance policies that covers 1 or more of these benefits. A district that

 

does not directly employ its staff or a district with a voluntary employee beneficiary

 

association that pays no more than the maximum per employee contribution amount and

 

that contributes no more than the maximum employer contribution percentage of total

 

annual costs for the medical benefit plans as described in sections 3 and 4 of the

 

publicly funded health insurance contribution act, 2011 PA 152, MCL 15.563 and 15.564,

 

is considered to have satisfied this requirement.

 

       (b) The district has obtained competitive bids on the provision of pupil

 

transportation, food service, custodial, or 1 or more other noninstructional services

 

for 2014-2015. In comparing competitive bids to the current costs of providing 1 or

 


more of these services, a district shall exclude the unfunded accrued liability costs

 

for retirement and other benefits from the district's current costs.

 

       (c) The district accepts applications for enrollment by nonresident applicants

 

under section 105 or 105c. A public school academy is considered to have met this

 

requirement.

 

       (d) The district offers online courses or blended learning opportunities to all

 

eligible pupils. In order to satisfy this requirement, a district must make all

 

eligible pupils and their parents or guardians aware of these opportunities and must

 

publish an online course syllabus as described in section 21f for each online course

 

that the district offers. For the purposes of this subdivision:

 

       (i) "Blended learning" means a hybrid instructional delivery model where pupils

 

are provided content, instruction, and assessment in part at a supervised educational

 

facility away from home where the pupil and a teacher with a valid Michigan teaching

 

certificate are in the same physical location and in part through internet-connected

 

learning environments with some degree of pupil control over time, location, and pace

 

of instruction.

 

       (ii) "Online course" means a course of study that is capable of generating a

 

credit or a grade, that is provided in an interactive internet-connected learning

 

environment, in which pupils are separated from their teachers by time or location, or

 

both, and in which a teacher with a valid Michigan teaching certificate is responsible

 

for determining appropriate instructional methods for each pupil, diagnosing learning

 

needs, assessing pupil learning, prescribing intervention strategies, reporting

 

outcomes, and evaluating the effects of instruction and support strategies.  

 

       (A) A DISTRICT IS CONSIDERED TO MEET THE REQUIREMENTS OF FINANCIAL BEST

 

PRACTICES BY COMPLETING AT LEAST 2 OF THE FOLLOWING:

 

       (I) (e) The district provides to parents and community members a dashboard or

 

report card demonstrating the district's efforts to manage its finances responsibly.

 


The dashboard or report card shall include revenue and expenditure projections for the

 

district for fiscal year 2014-2015 2015-2016 and fiscal year 2015-2016 2016-2017, a

 

listing of all debt service obligations, detailed by project, including anticipated

 

fiscal year 2014-2015 2015-2016 payment for each project, a listing of total

 

outstanding debt, and at least all of the following for the 3 most recent school years

 

for which the data are available:

 

       (A) (i) Graduation and dropout rates.

 

       (B) (ii) Average class size in grades kindergarten to 3.

 

       (C) (iii) College readiness as measured by Michigan merit examination test

 

scores.

 

       (D) (iv) Elementary and middle school MEAP MICHIGAN STUDENT TEST OF EDUCATIONAL

 

PROGRESS (M-STEP) scores.

 

       (E) (v) Teacher, principal, and superintendent salary information including at

 

least minimum, average, and maximum pay levels.

 

       (F) (vi) General fund balance.

 

       (G) (vii) The total number of days of instruction provided.

 

       (f) The district complies with a method of compensation for teachers and school

 

administrators that includes job performance and accomplishments as a significant

 

factor in determining compensation, as required under section 1250 of the revised

 

school code, MCL 380.1250.

 

       (g) The district's collective bargaining agreements, including, but not limited

 

to, appendices, addenda, letters of agreement, or any other documents reflecting

 

agreements with collective bargaining representatives, do not contain any provisions

 

pertaining to, relating to, or that are otherwise contrary to the prohibited subjects

 

of bargaining enumerated in

 

section 15(3) of 1947 PA 336, MCL 423.215.

 

       (h) The district implements a comprehensive guidance and counseling program.

 


       (i) The district offers pupils in grades K to 8 the opportunity to complete

 

coursework or other learning experiences that are substantially equivalent to 1 credit

 

in a language other than English.

 

       (II) IF THE DISTRICT HAS AN ENDING GENERAL FUND BALANCE FOR THE PRIOR FISCAL

 

YEAR LESS THAN OR EQUAL TO 5 PERCENT OF OPERATING EXPENDITURES AS DETERMINED BY THE

 

DEPARTMENT, THE LOCAL SCHOOL BOARD MEMBERS RECEIVE DEPARTMENT-APPROVED TRAINING THAT

 

SHALL INCLUDE BUT IS NOT LIMITED TO:

 

       (A) THE RESPONSIBILITIES OF THE SCHOOL BOARD AND THE DISTRICT SUPERINTENDENT.

 

       (B) THE REQUIREMENTS OF THE OPEN MEETINGS ACT.

 

       (C) CONFLICTS OF INTEREST.

 

       (D) SCHOOL FINANCE AND SCHOOL BUDGETING.

 

       (E) CONTRACTS AND NEGOTIATIONS.

 

       (F) THE PROCESS OF DATA-DRIVEN DECISION MAKING AND POLICY DEVELOPMENT.

 

       (III) THE DISTRICT MAINTAINED AN ENDING FUND BALANCE GREATER THAN 5 PERCENT OF

 

OPERATING EXPENDITURES FOR THE PRIOR FISCAL YEAR AS DETERMINED BY THE DEPARTMENT.

 

       (B) A DISTRICT IS CONSIDERED TO MEET THE REQUIREMENTS OF ACADEMIC BEST

 

PRACTICES BY COMPLETING AT LEAST 2 OF THE FOLLOWING:

 

       (I) THE DISTRICT ADMINISTERS A DEPARTMENT-APPROVED KINDERGARTEN ENTRY

 

ASSESSMENT THAT ASSESSES ENGLISH LANGUAGE ARTS AND MATHEMATICS SKILLS OF ALL FIRST-

 

TIME KINDERGARTEN PUPILS WITHIN THE DISTRICT. THE ASSESSMENT SHALL BE ADMINISTERED BY

 

THE DISTRICT IN A METHOD AND TIMEFRAME DETERMINED BY THE DEPARTMENT. 

 

       (II) THE DISTRICT ADMINISTERS DEPARTMENT-APPROVED DIAGNOSTIC TOOLS TO MONITOR

 

THE DEVELOPMENT OF EARLY LITERACY AND EARLY READING SKILLS OF PUPILS IN KINDERGARTEN

 

THROUGH GRADE 3, AND SUPPORTS RESEARCH-BASED PROFESSIONAL DEVELOPMENT FOR EDUCATORS IN

 

DATA INTERPRETATION FOR THE PURPOSE OF IMPLEMENTING A MULTI-TIERED SYSTEM OF SUPPORT

 

TO IMPROVE THIRD GRADE READING PROFICIENCY. THE DIAGNOSTIC TOOLS AND PROFESSIONAL

 

DEVELOPMENT SHALL BE USED BY THE DISTRICT TO IDENTIFY STUDENTS WHO NEED ADDITIONAL

 


SUPPORT AND TO OFFER RESEARCH-BASED INTERVENTIONS.

 

       (III) THE DISTRICT ASSESSES THE EFFECTIVENESS OF CURRENT COLLEGE AND CAREER

 

ADVISING PROGRAMS WITHIN THE DISTRICT BY REVIEWING STUDENT-TO-COUNSELOR RATIOS, THE

 

TIME DEDICATED TO COLLEGE AND CAREER READINESS COUNSELING AS OPPOSED TO OTHER NON-

 

COUNSELING TASKS, AND THE AMOUNT OF PROFESSIONAL DEVELOPMENT OFFERED TO COLLEGE AND

 

CAREER READINESS ADVISORS. BASED ON THIS SELF-ASSESSMENT THE DISTRICT DEVELOPS A PLAN

 

TO ADDRESS DEFICIENCIES ACCORDING TO STANDARDS RECOMMENDED BY THE MICHIGAN COLLEGE

 

ACCESS NETWORK.

 

       (3) If the department determines that a district has intentionally submitted

 

false information in order to qualify for an incentive payment under this section, the

 

district forfeits an amount equal to the amount it received under this section from

 

its total state school aid for 2015-2016 2016-2017.

 

       (4) If the department determines that funds allocated under this section will

 

remain unexpended after the initial allocation of $50.00 $20.00 per pupil to eligible

 

districts under subsection (2), the remaining unexpended amount is allocated on an

 

equal per pupil basis to districts that meet the requirements of subsection (2) and

 

that have a foundation allowance, as calculated under section 20, in an amount that is

 

less than the basic foundation allowance under that section.

 

       Sec. 22g. (1) From the funds appropriated in section 11, there is allocated for

 

2014-2015 2015-2016 only an amount not to exceed $2,000,000.00 for competitive

 

assistance grants to districts and intermediate districts.

 

       (2) Funds received under this section may be used for reimbursement of

 

transition costs associated with the consolidation of operations or services between 2

 

or more districts, intermediate districts, or other local units of government, the

 

consolidation or sharing of technology and data operations or services between 50 or

 

more districts or 5 or more intermediate districts, or the consolidation of districts

 

or intermediate districts. Grant funding shall be available for consolidations that

 


occur on or after June 1, 2014 2015. The department shall develop an application

 

process and method of grant distribution. The department shall give priority to

 

applicants that propose including at least 1 of the following statewide activities:

 

       (a) A comprehensive, research-based academic early warning indicator and

 

dropout prevention solution.

 

       (b) A data-driven system for identifying early reading challenges and

 

establishing individual reading development plans for every student by the end of

 

grade 3.

 

       Sec. 22i. (1) From the funds appropriated in section 11, there is allocated for

 

2013-2014 2015-2016 an amount not to exceed $45,000,000.00 and there is allocated for

 

2014-2015 an amount not to exceed $41,500,000.00 $25,000,000.00 for the technology

 

READINESS infrastructure grant program for districts or intermediate districts on

 

behalf of their constituent districts. Funds received under this subsection SECTION

 

shall be used for the STATEWIDE development or improvement of a district's DISTRICTS’

 

technology HARD infrastructure, the shared services consolidation of technology and

 

data, DATA SYSTEMS THAT USE EVIDENCED-BASED LITERACY DIAGNOSTIC TOOLS TO INFORM

 

TEACHERS OF PUPILS IN KINDERGARTEN THROUGH GRADE 3, and FOR THE COORDINATION AND

 

STRATEGIC PURCHASING OF hardware in preparation AND SOFTWARE NECESSARY for the planned

 

implementation in 2014-2015 of online THE DELIVERY OF assessments THROUGH ONLINE

 

MODES.

 

       (2) The department shall develop a competitive application process and method

 

of grant distribution to eligible districts and intermediate districts that

 

demonstrate need for grants under subsection (1). The department may consult with the

 

department of technology, management, and budget during the grant process and grant

 

distribution. Grants to districts shall not exceed $2,000,000.00 per district. A grant

 

to an intermediate district on behalf of its constituent districts shall not exceed

 

$2,000,000.00 per constituent district. To receive a grant under subsection (1), an

 


intermediate district shall demonstrate that a grant awarded to the intermediate

 

district on behalf of its constituent districts would provide savings compared to

 

providing grants to individual districts.

 

       (3) From the general fund money appropriated in section 11, there is allocated

 

an amount not to exceed $5,000,000.00 for 2013-2014 to be awarded through a

 

competitive bid process to a single provider of whole-school technology as described

 

in this subsection. The department shall issue a single request for proposal with

 

application rules written and administered by the department, and with a focus on

 

economic and geographic diversity. To be eligible to receive the grant under this

 

section, a provider shall meet all of the following:

 

       (a) Agrees to submit evaluation criteria in a form and manner determined by the

 

department.

 

       (b) Provides at least all of the following:

 

       (i) One-to-one mobile devices.

 

       (ii) Laptop or desktop computers for each classroom.

 

       (iii) On- and off-campus filtering.

 

       (iv) Wireless networks and peripherals.

 

       (v) Wireless audio equipment.

 

       (vi) Operating software.

 

       (vii) Instructional software.

 

       (viii) Repairs and replacements.

 

       (ix) Professional development.

 

       (x) Ongoing support.

 

       (3) (4) The funds allocated under subsection (1) are a work project

 

appropriation. Any unexpended funds for 2013-2014 2015-2016 are carried forward into

 

2014-2015 and any unexpended funds for 2014-2015 are carried forward into 2015-2016

 

2016-2017. The purpose of the work project is to continue to implement the projects

 


described under this section. The estimated completion date of the work project is

 

September 30, 2016 2017.

 

       (4) AS USED IN THIS SECTION:

 

       (A) "HARD INFRASTRUCTURE" MEANS TECHNOLOGY HARDWARE NECESSARY TO MOVE TO AN

 

ONLINE LEARNING AND TESTING ENVIRONMENT, INCLUDING, BUT NOT LIMITED TO, FIBER,

 

SERVERS, WIRELESS COMPUTING NETWORKS, AND NECESSARY PERIPHERALS.

 

       (B) "SHARED SERVICES CONSOLIDATION OF TECHNOLOGY AND DATA" MEANS PROJECTS THAT

 

SUPPORT THE MOVE TO A COLLABORATIVE MULTIPLE ORGANIZATIONAL APPROACH TO MANAGING

 

HARDWARE, SOFTWARE, PERIPHERALS AND DATA INTEGRATION AND DISPLAY OF APPROPRIATE

 

INFORMATION FOR PARENTS, TEACHERS, ADMINISTRATORS, AND THE STATE.

 

       Sec. 23a. (1) A dropout recovery program operated by a district qualifies for

 

the special membership counting provisions of section 6(4)(ff) (6)(4)(DD) and the

 

hours and day of pupil instruction exemption under section 101(12) if the dropout

 

recovery program meets all of the following:

 

       (a) Enrolls only eligible pupils.

 

       (b) Provides an advocate. An advocate may serve in that role for more than 1

 

pupil but no more than 50 pupils. An advocate may be employed by the district or may

 

be provided by an education management organization that is partnering with the

 

district. Before an individual is assigned to be an advocate for a pupil in the

 

dropout recovery program, the district shall comply with sections 1230 and 1230a of

 

the revised school code, MCL 380.1230 and 380.1230a, with respect to that individual.

 

       (c) Develops a written learning plan.

 

       (d) Monitors the pupil's progress against the written learning plan.

 

       (e) Requires each pupil to make satisfactory monthly progress, as defined by

 

the district under subsection (2).

 

       (f) Reports the pupil's progress results to the partner district at least

 

monthly.

 


       (g) The program may be operated on or off a district school campus, but may be

 

operated using distance learning online only if the program provides a computer and

 

internet access for each eligible pupil participating in the program.

 

       (h) Is operated throughout the entire calendar year.

 

       (i) If the district partners with an education management organization for the

 

program, the education management organization has a dropout recovery program

 

partnership relationship with at least 1 other district.

 

       (2) A district operating a dropout recovery program under this section shall

 

adopt a definition of satisfactory monthly progress that is consistent with the

 

definition of that term under subsection (3).

 

       (3) As used in this section:

 

       (a) "Advocate" means an adult available to meet in person with assigned pupils,

 

as needed, to conduct social interventions, to proctor final examinations, and to

 

provide academic and social support to pupils enrolled in the district's dropout

 

recovery program.

 

       (b) "Education management organization" means a private provider that operates

 

1 or more other dropout recovery programs that meet the requirements of this section

 

in partnership with 1 or more districts.

 

       (c) "Eligible pupil" means a pupil who has been expelled from school under the

 

mandatory expulsion provisions in section 1311 or 1311a of the revised school code,

 

MCL 380.1311 and 380.1311a, a pupil who has been suspended or expelled from school

 

under a local policy, a pupil who is referred by a court, a pupil who is pregnant or

 

is a parent, a pupil who was previously a dropout, or a pupil who is determined by the

 

district to be at risk of dropping out.

 

       (d) "Satisfactory monthly progress" means an amount of progress that is

 

measurable on a monthly basis and that, if continued for a full 12 months, would

 

result in the same amount of academic credit being awarded to the pupil as would be

 


awarded to a general education pupil completing a full school year. Satisfactory

 

monthly progress may include a lesser required amount of progress for the first 2

 

months a pupil participates in the program.

 

       (e) "Written learning plan" means a written plan developed in conjunction with

 

the advocate that includes the plan start and end dates, courses to be taken, credit

 

to be earned for each course, teacher of record for each course, and advocate name and

 

contact information.

 

       Sec. 24. (1) From the appropriation in section 11, there is allocated for 2014-

 

2015 2015-2016 an amount not to exceed $8,000,000.00 for payments to the educating

 

district or intermediate district for educating pupils assigned by a court or the

 

department of human services to reside in or to attend a juvenile detention facility

 

or child caring institution licensed by the department of human services and approved

 

by the department to provide an on-grounds education program. The amount of the

 

payment under this section to a district or intermediate district shall be calculated

 

as prescribed under subsection (2).

 

       (2) The total amount allocated under this section shall be allocated by paying

 

to the educating district or intermediate district an amount equal to the lesser of

 

the district's or intermediate district's added cost or the department's approved per

 

pupil allocation for the district or intermediate district. For the purposes of this

 

subsection:

 

       (a) "Added cost" means 100% of the added cost each fiscal year for educating

 

all pupils assigned by a court or the department of human services to reside in or to

 

attend a juvenile detention facility or child caring institution licensed by the

 

department of human services or the department of licensing and regulatory affairs and

 

approved by the department to provide an on-grounds education program. Added cost

 

shall be computed by deducting all other revenue received under this article for

 

pupils described in this section from total costs, as approved by the department, in

 


whole or in part, for educating those pupils in the on-grounds education program or in

 

a program approved by the department that is located on property adjacent to a

 

juvenile detention facility or child caring institution. Costs reimbursed by federal

 

funds are not included.

 

       (b) "Department's approved per pupil allocation" for a district or intermediate

 

district shall be determined by dividing the total amount allocated under this section

 

for a fiscal year by the full-time equated membership total for all pupils approved by

 

the department to be funded under this section for that fiscal year for the district

 

or intermediate district.

 

       (3) A district or intermediate district educating pupils described in this

 

section at a residential child caring institution may operate, and receive funding

 

under this section for, a department-approved on-grounds educational program for those

 

pupils that is longer than 181 days, but not longer than 233 days, if the child caring

 

institution was licensed as a child caring institution and offered in 1991-92 an on-

 

grounds educational program that was longer than 181 days but not longer than 233 days

 

and that was operated by a district or intermediate district.

 

       (4) Special education pupils funded under section 53a shall not be funded under

 

this section.

 

       Sec. 24a. From the appropriation in section 11, there is allocated an amount

 

not to exceed $2,195,500.00 $2,189,800.00 for 2014-2015 2015-2016 for payments to

 

intermediate districts for pupils who are placed in juvenile justice service

 

facilities operated by the department of human services. Each intermediate district

 

shall receive an amount equal to the state share of those costs that are clearly and

 

directly attributable to the educational programs for pupils placed in facilities

 

described in this section that are located within the intermediate district's

 

boundaries. The intermediate districts receiving payments under this section shall

 

cooperate with the department of human services to ensure that all funding allocated

 


under this section is utilized by the intermediate district and department of human

 

services for educational programs for pupils described in this section. Pupils

 

described in this section are not eligible to be funded under section 24. However, a

 

program responsibility or other fiscal responsibility associated with these pupils

 

shall not be transferred from the department of human services to a district or

 

intermediate district unless the district or intermediate district consents to the

 

transfer.

 

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

 

not to exceed $1,500,000.00 $1,497,400.00 for 2014-2015 2015-2016 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

 

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. 25e. (1) The pupil membership transfer application and pupil transfer

 

process administered by the center under this section shall be used for processing

 

pupil transfers.

 

       (2) If a pupil counted in membership for the pupil membership count day

 

transfers from a district or intermediate district to enroll in another district or

 

intermediate district after the pupil membership count day and before the supplemental

 

count day and, due to the pupil's enrollment and attendance status as of the pupil

 

membership count day, the pupil was not counted in membership in the educating

 


district or intermediate district, the educating district or intermediate district may

 

report the enrollment and attendance information to the center through the pupil

 

transfer process within 30 days after the transfer or within 30 days after the pupil

 

membership count certification date, whichever is later. Pupil transfers may be

 

submitted no earlier than the first day after the certification deadline for the pupil

 

membership count day and before the supplemental count day. Upon receipt of the

 

transfer information under this subsection indicating that a pupil has enrolled and is

 

in attendance in an educating district or intermediate district as described in this

 

subsection, the pupil transfer process shall do the following:

 

       (a) Notify the district in which the pupil was previously enrolled.

 

       (b) Notify both the pupil auditing staff of the intermediate district in which

 

the educating district is located and the pupil auditing staff of the intermediate

 

district in which the district that previously enrolled the pupil is located. The

 

pupil auditing staff shall investigate a representative sample based on required audit

 

sample sizes in the pupil auditing manual and may deny the pupil membership transfer.

 

       (c) Aggregate the districtwide changes and notify the department for use in

 

adjusting the state aid payment system.

 

       (3) The department shall do all of the following:

 

       (a) Adjust the membership calculation for each district or intermediate

 

district in which the pupil was previously counted in membership or that previously

 

received an adjustment in its membership calculation under this section due to a

 

change in the pupil's enrollment and attendance so that the district's or intermediate

 

district's membership is prorated to allow the district or intermediate district to

 

receive for each school day, as determined by the financial calendar furnished by the

 

center, in which the pupil was enrolled and in attendance in the district or

 

intermediate district an amount equal to 1/105 of a full-time equated membership

 

claimed in the fall pupil membership count. The district or intermediate district

 


shall receive a prorated foundation allowance in an amount equal to the product of the

 

adjustment under this subdivision for the district or intermediate district multiplied

 

by the foundation allowance or per pupil payment as calculated under section 20 for

 

the district or intermediate district. The foundation allowance or per pupil payment

 

shall be adjusted by the pupil's full-time equated status as affected by the

 

membership definition under section 6(4).

 

       (b) Adjust the membership calculation for the educating district or

 

intermediate district in which the pupil is enrolled and is in attendance so that the

 

district's or intermediate district's membership is increased to allow the district or

 

intermediate district to receive an amount equal to the difference between the full-

 

time equated membership claimed in the fall pupil membership count and the sum of the

 

adjustments calculated under subdivision (a) for each district or intermediate

 

district in which the pupil was previously enrolled and in attendance. The educating

 

district or intermediate district shall receive a prorated foundation allowance in an

 

amount equal to the product of the adjustment under this subdivision for the educating

 

district or intermediate district multiplied by the foundation allowance or per pupil

 

payment as calculated under section 20 for the educating district or intermediate

 

district. The foundation allowance or per pupil payment shall be adjusted by the

 

pupil's full-time equated status as affected by the membership definition under

 

section 6(4).

 

       (4) The changes in calculation of state school aid required under subsection

 

(3) shall take effect as of the date that the pupil becomes enrolled and in attendance

 

in the educating district or intermediate district, and the department shall base all

 

subsequent payments under this article for the fiscal year to the affected districts

 

or intermediate districts on this recalculation of state school aid.

 

       (5) If a pupil enrolls in an educating district or intermediate district as

 

described in subsection (2), the district or intermediate district in which the pupil

 


is counted in membership or another educating district or intermediate district that

 

received an adjustment in its membership calculation under subsection (3), if any, and

 

the educating district or intermediate district shall provide to the center and the

 

department all information they require to comply with this section.

 

       (6) Not later than December 1, 2014, the center in conjunction with the

 

department shall report to the legislature data related to the implementation of this

 

section, including, but not limited to, the number of transfer transactions and the

 

net change in pupil memberships in 2013-2014 by district and intermediate district.

 

       (6) (7) The portion of the full-time equated pupil membership for which a pupil

 

is enrolled in 1 or more online courses under section 21f shall not be counted or

 

transferred under the pupil transfer process under this section.

 

       (7) (8) As used in this section:

 

       (a) "Educating district or intermediate district" means the district or

 

intermediate district in which a pupil enrolls after the pupil membership count day or

 

after an adjustment was made in another district's or intermediate district's

 

membership calculation under this section due to the pupil's enrollment and

 

attendance.

 

       (b) "Pupil" means that term as defined under section 6 and also children

 

receiving early childhood special education programs and services.

 

       Sec. 25f. (1) From the state school aid fund money appropriated in section 11,

 

there is allocated an amount not to exceed $2,000,000.00 $1,000,000.00 for 2014-2015

 

2015-2016 for payments to strict discipline academies established under sections 1311b

 

to 1311m of the revised school code, MCL 380.1311b to 380.1311m, as provided under

 

this section and for the purposes described in subsection (5).

 

       (2) In order to receive funding under this section, a strict discipline academy

 

shall first comply with section 25e and use the pupil transfer process under that

 

section for changes in enrollment as prescribed under that section.

 


       (3) Not later than June 30, 2015 2016, a strict discipline academy shall report

 

to the center and to the department, in a manner prescribed by the center and the

 

department, the following information for 2014-2015 2015-2016:

 

       (a) The number of pupils enrolled and in attendance at the strict discipline

 

academy.

 

       (b) The number of days each pupil enrolled was in attendance at the strict

 

discipline academy, not to exceed 180.

 

       (4) The amount of the payment to a strict discipline academy under this section

 

shall be an amount equal to the difference between the product of 1/180 of the per-

 

pupil payment as calculated under section 20 for the strict discipline academy

 

multiplied by the number of days of pupil attendance reported under subsection (3)(b)

 

minus the product of the per-pupil payment as calculated under section 20 for the

 

strict discipline academy multiplied by the pupils in membership at the strict

 

discipline academy as calculated under section 6 and as adjusted by section 25e.

 

       (5) If the operation of the special membership counting provisions under

 

section 6(4)(dd) and the other membership counting provisions under section 6(4)

 

result in a pupil being counted as more than 1.0 FTE in a fiscal year, then the

 

payment made for the pupil under sections 22a and 22b shall not be based on more than

 

1.0 FTE for that pupil, and that portion of the FTE that exceeds 1.0 shall be paid

 

under this section in an amount equal to that portion multiplied by the educating

 

district's foundation allowance or per-pupil payment calculated under section 20.

 

       (6) If the funds allocated under this section are insufficient to fully fund

 

the adjustments under subsections (4) and (5), payments under this section shall be

 

prorated on an equal per-pupil basis.

 

       (7) Payments to districts under this section shall be made according to the

 

payment schedule under section 17b.

 

       Sec. 26a. From the funds appropriated in section 11, there is allocated an

 


amount not to exceed $26,300,000.00 for 2014-2015 2015-2016 to reimburse districts and

 

intermediate districts pursuant to section 12 of the Michigan renaissance zone act,

 

1996 PA 376, MCL 125.2692, for taxes levied in 2014 2015. 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. 26b. (1) From the appropriation in section 11, there is allocated for

 

2014-2015 2015-2016 an amount not to exceed $4,210,000.00 $4,276,800.00 for payments

 

to districts, intermediate districts, and community college districts for the portion

 

of the payment in lieu of taxes obligation that is attributable to districts,

 

intermediate districts, and community college districts pursuant to section 2154 of

 

the natural resources and environmental protection act, 1994 PA 451, MCL 324.2154.

 

       (2) If the amount appropriated under this section is not sufficient to fully

 

pay obligations under this section, payments shall be prorated on an equal basis among

 

all eligible districts, intermediate districts, and community college districts.

 

       Sec. 26c. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $293,100.00 $610,000.00 for 2014-2015 2015-2016 to the promise

 

zone fund created in subsection (3).

 

       (2) Funds allocated to the promise zone fund under this section shall be used

 

solely for payments to eligible districts and intermediate districts that have a

 

promise zone development plan approved by the department of treasury under section 7

 

of the Michigan promise zone authority act, 2008 PA 549, MCL 390.1667.

 

       (3) The promise zone fund is created as a separate account within the state

 

school aid fund to be used solely for the purposes of the Michigan promise zone

 

authority act, 2008 PA 549, MCL 390.1661 to 390.1679. All of the following apply to

 

the promise zone fund:

 


       (a) The state treasurer shall direct the investment of the promise zone fund.

 

The state treasurer shall credit to the promise zone fund interest and earnings from

 

fund investments.

 

       (b) Money in the promise zone fund at the close of a fiscal year shall remain

 

in the promise zone fund and shall not lapse to the general fund.

 

       (4) Subject to subsection (2), the state treasurer may make payments from the

 

promise zone fund to eligible districts and intermediate districts pursuant to the

 

Michigan promise zone authority act, 2008 PA 549, MCL 390.1661 to 390.1679, to be used

 

for the purposes of a promise zone authority created under that act.

 

       Sec. 31a. (1) From the state school aid fund money appropriated in section 11,

 

there is allocated for 2014-2015 2015-2016 an amount not to exceed $317,695,500.00

 

$417,695,500.00 for payments to eligible districts, eligible public school academies,

 

and the education achievement system for the purposes of ensuring that pupils are

 

proficient in reading by the end of grade 3 and that high school graduates are career

 

and college ready and for the purposes under subsections (6) and (7).

 

       (2) For a district or public school academy, or the education achievement

 

system, to be eligible to receive funding under this section, other than funding under

 

subsection (6) or (7), the sum of the district's or public school academy's or the

 

education achievement system's combined state and local revenue per membership pupil

 

in the current state fiscal year, as calculated under section 20, must be less than or

 

equal to the basic foundation allowance under section 20 for the current state fiscal

 

year.

 

       (3) Except as otherwise provided in this subsection, an eligible district or

 

eligible public school academy or the education achievement system shall receive under

 

this section for each membership pupil in the district or public school academy or the

 

education achievement system who met the income eligibility criteria for free

 

breakfast, lunch, or milk, as determined under the Richard B. Russell national school

 


lunch act, 42 USC 1751 to 1769, and as reported to the department in the form and

 

manner prescribed by the department not later than the fifth Wednesday after the pupil

 

membership count day of the immediately preceding fiscal year and adjusted not later

 

than December 31 of the immediately preceding fiscal year, an amount per pupil equal

 

to 11.5% of the sum of the district's foundation allowance or the public school

 

academy's or the education achievement system's per pupil amount calculated under

 

section 20, not to exceed the basic foundation allowance under section 20 for the

 

current state fiscal year, or of the public school academy's or the education

 

achievement system's per membership pupil amount calculated under section 20 for the

 

current state fiscal year. However, a public school academy that began operations as a

 

public school academy, or an achievement school that began operations as an

 

achievement school, after the pupil membership count day of the immediately preceding

 

school year shall receive under this section for each membership pupil in the public

 

school academy or in the education achievement system who met the income eligibility

 

criteria for free breakfast, lunch, or milk, as determined under the Richard B.

 

Russell national school lunch act and as reported to the department not later than the

 

fifth Wednesday after the pupil membership count day of the current fiscal year and

 

adjusted not later than December 31 of the current fiscal year, an amount per pupil

 

equal to 11.5% of the public school academy's or the education achievement system's

 

per membership pupil amount calculated under section 20 for the current state fiscal

 

year.

 

       (4) Except as otherwise provided in this section, a district or public school

 

academy, or the education achievement system, receiving funding under this section

 

shall use that money only to provide instructional programs and direct

 

noninstructional services, including, but not limited to, medical, mental health, or

 

counseling services, for at-risk pupils; for school health clinics; and for the

 

purposes of subsection (5), (6), (7), or (10). In addition, a district that is a

 


school district of the first class or a district or public school academy in which at

 

least 50% of the pupils in membership met the income eligibility criteria for free

 

breakfast, lunch, or milk in the immediately preceding state fiscal year, as

 

determined and reported as described in subsection (3), or the education achievement

 

system if it meets this requirement, may use not more than 20% of the funds it

 

receives under this section for school security. A district, the public school

 

academy, or the education achievement system shall not use any of that money for

 

administrative costs. The instruction or direct noninstructional services provided

 

under this section may be conducted before or after regular school hours or by adding

 

extra school days to the school year.

 

       (5) A district or public school academy that receives funds under this section

 

and that operates a school breakfast program under section 1272a of the revised school

 

code, MCL 380.1272a, or the education achievement system if it operates a school

 

breakfast program, shall use from the funds received under this section an amount, not

 

to exceed $10.00 per pupil for whom the district or public school academy or the

 

education achievement system receives funds under this section, necessary to pay for

 

costs associated with the operation of the school breakfast program.

 

       (6) From the funds allocated under subsection (1), there is allocated for 2014-

 

2015 2015-2016 an amount not to exceed $3,557,300.00 to support child and adolescent

 

health centers. These grants shall be awarded for 5 consecutive years beginning with

 

2003-2004 in a form and manner approved jointly by the department and the department

 

of community health. Each grant recipient shall remain in compliance with the terms of

 

the grant award or shall forfeit the grant award for the duration of the 5-year period

 

after the noncompliance. To continue to receive funding for a child and adolescent

 

health center under this section a grant recipient shall ensure that the child and

 

adolescent health center has an advisory committee and that at least one-third of the

 

members of the advisory committee are parents or legal guardians of school-aged

 


children. A child and adolescent health center program shall recognize the role of a

 

child's parents or legal guardian in the physical and emotional well-being of the

 

child. Funding under this subsection shall be used to support child and adolescent

 

health center services provided to children up to age 21. If any funds allocated under

 

this subsection are not used for the purposes of this subsection for the fiscal year

 

in which they are allocated, those unused funds shall be used that fiscal year to

 

avoid or minimize any proration that would otherwise be required under subsection (14)

 

for that fiscal year.

 

       (7) From the funds allocated under subsection (1), there is allocated for 2014-

 

2015 2015-2016 an amount not to exceed $5,150,000.00 for the state portion of the

 

hearing and vision screenings as described in section 9301 of the public health code,

 

1978 PA 368, MCL 333.9301. A local public health department shall pay at least 50% of

 

the total cost of the screenings. The frequency of the screenings shall be as required

 

under R 325.13091 to R 325.13096 and R 325.3271 to R 325.3276 of the Michigan

 

administrative code. Funds shall be awarded in a form and manner approved jointly by

 

the department and the department of community health. Notwithstanding section 17b,

 

payments to eligible entities under this subsection shall be paid on a schedule

 

determined by the department.

 

       (8) Each district or public school academy receiving funds under this section

 

and the education achievement system shall submit to the department by July 15 of each

 

fiscal year a report, not to exceed 10 pages, on the usage by the district or public

 

school academy or the education achievement system of funds under this section, which

 

report shall include a brief description of each program conducted or services

 

performed by the district or public school academy or the education achievement system

 

using funds under this section, the amount of funds under this section allocated to

 

each of those programs or services, the total number of at-risk pupils served by each

 

of those programs or services, and the data necessary for the department and the

 


department of human services to verify matching funds for the temporary assistance for

 

needy families program. If a district or public school academy or the education

 

achievement system does not comply with this subsection, the department shall withhold

 

an amount equal to the August payment due under this section until the district or

 

public school academy or the education achievement system complies with this

 

subsection. If the district or public school academy or the education achievement

 

system does not comply with this subsection by the end of the state fiscal year, the

 

withheld funds shall be forfeited to the school aid fund.

 

       (9) In order to receive funds under this section, a district or public school

 

academy or the education achievement system shall allow access for the department or

 

the department's designee to audit all records related to the program for which it

 

receives those funds. The district or public school academy or the education

 

achievement system shall reimburse the state for all disallowances found in the audit.

 

       (10) Subject to subsections (5), (6), and (7), a district may use up to 100% of

 

the funds it receives under this section to implement schoolwide reform in schools

 

with 40% or more of their pupils identified as at-risk pupils by providing

 

supplemental instructional or noninstructional services consistent with the school

 

improvement plan.

 

       (11) If necessary, and before any proration required under section 296, the

 

department shall prorate payments under this section by reducing the amount of the per

 

pupil payment under this section by a dollar amount calculated by determining the

 

amount by which the amount necessary to fully fund the requirements of this section

 

exceeds the maximum amount allocated under this section and then dividing that amount

 

by the total statewide number of pupils who met the income eligibility criteria for

 

free breakfast, lunch, or milk in the immediately preceding fiscal year, as described

 

in subsection (3).

 

       (12) If a district is formed by consolidation after June 1, 1995, and if 1 or

 


more of the original districts was not eligible before the consolidation for an

 

additional allowance under this section, the amount of the additional allowance under

 

this section for the consolidated district shall be based on the number of pupils

 

described in subsection (1) enrolled in the consolidated district who reside in the

 

territory of an original district that was eligible before the consolidation for an

 

additional allowance under this section. In addition, if a district is dissolved

 

pursuant to section 12 of the revised school code, MCL 380.12, the intermediate

 

district to which the dissolved school district was constituent shall determine the

 

estimated number of pupils that meet the income eligibility criteria for free

 

breakfast, lunch, or milk, as described under subsection (3), enrolled in each of the

 

other districts within the intermediate district and provide that estimate to the

 

department for the purposes of distributing funds under this section within 60 days

 

after the school district is declared dissolved.

 

       (13) As used in this section, "at-risk pupil" means a pupil for whom the

 

district has documentation that the pupil meets any of the following criteria:

 

       (a) Is a victim of child abuse or neglect.

 

       (b) Is a pregnant teenager or teenage parent.

 

       (c) Has a family history of school failure, incarceration, or substance abuse.

 

       (A) (d) For pupils for whom the GRADE 11 STATE SUMMATIVE ASSESSMENT results of

 

the Michigan merit examination have been received, is a pupil who does not meet the

 

other criteria under this subsection but AND who did not achieve proficiency on the

 

reading, writing, ENGLISH LANGUAGE ARTS, mathematics, science, or social studies

 

components of the most recent Michigan merit examination for which results for the

 

pupil have been received CONTENT AREA ASSESSMENTS.

 

       (B) (e) For pupils in grades K-3, is a pupil who is at risk of not meeting the

 

district's core academic curricular objectives in English language arts or

 

mathematics.

 


       (C) (f) The pupil is enrolled in a priority or priority-successor school, as

 

defined in the elementary and secondary education act of 2001 flexibility waiver

 

approved by the United States department of education.

 

       (D) (g) The pupil did not achieve a score of at least proficient on 2 or more

 

state-administered assessments for English language arts, mathematics, science, or

 

social studies.

 

       (E) (h) For high school pupils in grades not assessed by the state, the pupil

 

did not receive a satisfactory score on 2 or more end-of-course examinations that are

 

aligned with state standards in English language arts, mathematics, science, or social

 

studies. For middle school pupils in grades not assessed by the state, the pupil did

 

not receive a satisfactory score on 2 or more end-of-semester or end-of-trimester

 

examinations that are aligned with state standards in science or social studies. For

 

pupils in the elementary grades in grades and subjects not assessed by the state, the

 

pupil did not receive a satisfactory score or did not have a satisfactory outcome on 2

 

or more interim assessments in English language arts, mathematics, science, or social

 

studies.

 

       (i) In the absence of state or local assessment data, the pupil meets at least

 

2 of the following criteria, as documented in a form and manner approved by the

 

department:

 

       (i) The pupil is eligible for free breakfast, lunch, or milk.

 

       (ii) The pupil is absent more than 10% of enrolled days or 10 school days

 

during the school year.

 

       (iii) The pupil is homeless.

 

       (iv) The pupil is a migrant.

 

       (v) The pupil is an English language learner.

 

       (vi) The pupil is an immigrant who has immigrated within the immediately

 

preceding 3 years.

 


       (vii) The pupil did not complete high school in 4 years and is still continuing

 

in school as identified in the Michigan cohort graduation and dropout report.

 

       (14) Beginning in 2014-2015, if IF a district, public school academy, or the

 

education achievement system does not demonstrate to the satisfaction of the

 

department that at least 50% of at-risk pupils are reading at grade level by the end

 

of grade 3 as measured by the state assessment and demonstrate to the satisfaction of

 

the department improvement over 3 consecutive years in the percentage of at-risk

 

pupils that are career- and college-ready as measured by the pupil's score on each of

 

the individual subject areas on the college entrance examination portion of the

 

Michigan merit examination DETERMINED BY PROFICIENCY ON THE ENGLISH LANGUAGE ARTS,

 

MATHEMATICS AND SCIENCE GRADE 11 STATE SUMMATIVE ASSESSMENTS under section 1279g(2)(a)

 

of the revised school code, MCL 380.1279g, the district, public school academy, or

 

education achievement system shall ensure all of the following:

 

       (a) The district, public school academy, or the education achievement system

 

shall determine the proportion of total at-risk pupils that represents the number of

 

pupils in grade 3 that are not reading at grade level by the end of grade 3, and the

 

district, public school academy, or the education achievement system shall expend that

 

same proportion multiplied by 1/2 of its total at-risk funds under this section on

 

tutoring and other methods of improving grade 3 reading levels.

 

       (b) The district, public school academy, or the education achievement system

 

shall determine the proportion of total at-risk pupils that represent the number of

 

pupils in grade 11 that are not career- and college-ready as measured by the student's

 

score on each of the individual subject areas on the college entrance examination

 

portion of the Michigan merit examination THE ENGLISH LANGUAGE ARTS, MATHEMATICS AND

 

SCIENCE GRADE 11 STATE SUMMATIVE ASSESSMENTS under section 1279g(2)(a) of the revised

 

school code, MCL 380.1279g, and the district, public school academy, or the education

 

achievement system shall expend that same proportion multiplied by 1/2 of its total

 


at-risk funds under this section on tutoring and other activities to improve scores on

 

the college entrance examination portion of the Michigan merit examination.

 

       (15) As used in subsection (14), "total at risk pupils" means the sum of the

 

number of pupils in grade 3 that are not reading at grade level by the end of third

 

grade AS MEASURED BY THE STATE ASSESSMENT and the number of pupils in grade 11 that

 

are not career- and college-ready as measured by the student's score on each of the

 

individual subject areas on the college entrance examination portion of the Michigan

 

merit examination THE ENGLISH LANGUAGE ARTS, MATHEMATICS AND SCIENCE GRADE 11 STATE

 

SUMMATIVE ASSESSMENTS under section 1279g(2)(a) of the revised school code, MCL

 

380.1279g.

 

       (16) A district or public school academy that receives funds under this section

 

or the education achievement system may use funds received under this section to

 

provide an anti-bullying or crisis intervention program.

 

       (17) THE DEPARTMENT SHALL COLLABORATE WITH THE DEPARTMENT OF HUMAN SERVICES TO

 

PRIORITIZE ASSIGNING PATHWAYS TO POTENTIAL SUCCESS COACHES TO ELEMENTARY SCHOOLS THAT

 

HAVE A HIGH PERCENTAGE OF PUPILS IN KINDERGARTEN THROUGH GRADE 3 NOT READING AT GRADE

 

LEVEL.

 

       SEC. 31C. (1) FROM THE FUNDS APPROPRIATED IN SECTION 11, THERE IS ALLOCATED AN

 

AMOUNT NOT TO EXCEED $1,000,000.00 FOR 2015-2016 FOR PROGRAMS INTENDED TO IMPROVE

 

PUBLIC SAFETY, REDUCE THE NUMBER OF YOUTH INVOLVED IN GANG-RELATED ACTIVITY, AND TO

 

INCREASE HIGH SCHOOL GRADUATION RATES.

 

       (2) THE DEPARTMENT SHALL AWARD GRANTS TO DISTRICTS THAT FORM PARTNERSHIPS WITH

 

NONPROFIT ORGANIZATIONS, LAW ENFORCEMENT, AND OTHER COMMUNITY RESOURCES TO PROVIDE

 

PROGRAMS THAT DIVERT YOUNG ADULTS FROM GANG-RELATED CRIMINAL ACTIVITY.

 

       (3) GRANTS AWARDED UNDER THIS SECTION MAY INCLUDE, BUT ARE NOT LIMITED TO, THE

 

FOLLOWING ACTIVITIES:

 

       (A) EMPLOYMENT TRAINING AND PLACEMENT PROGRAMS.

 


       (B) COUNSELING SERVICES.

 

       (C) ASSISTANCE TO PROGRAM PARTICIPANTS IN ACCESSING COMMUNITY RESOURCES FOR

 

CONTINUING EDUCATION, COURT ADVOCACY AND HEALTH CARE.

 

       (D) OUTREACH PROGRAMS TO EDUCATE PARTICIPANTS AND THEIR FAMILIES.

 

       (4) EACH GRANT RECIPIENT UNDER THIS SECTION SHALL PARTNER WITH A UNIVERSITY TO

 

COLLECT DATA NECESSARY TO EVALUATE THE EFFECTIVENESS OF PROGRAMS IN REDUCING VIOLENT

 

CRIME AND GANG-RELATED ACTIVITY IN THE COMMUNITY.

 

       Sec. 31d. (1) From the appropriations in section 11, there is allocated an

 

amount not to exceed $22,495,100.00 for 2014-2015 2015-2016 for the purpose of making

 

payments to districts and other eligible entities under this section.

 

       (2) The amounts allocated from state sources under this section shall be used

 

to pay the amount necessary to reimburse districts for 6.0127% of the necessary costs

 

of the state mandated portion of the school lunch programs provided by those

 

districts. The amount due to each district under this section shall be computed by the

 

department using the methods of calculation adopted by the Michigan supreme court in

 

the consolidated cases known as Durant v State of Michigan, Michigan supreme court

 

docket no. 104458-104492.

 

       (3) The payments made under this section include all state payments made to

 

districts so that each district receives at least 6.0127% of the necessary costs of

 

operating the state mandated portion of the school lunch program in a fiscal year.

 

       (4) The payments made under this section to districts and other eligible

 

entities that are not required under section 1272a of the revised school code, MCL

 

380.1272a, to provide a school lunch program shall be in an amount not to exceed

 

$10.00 per eligible pupil plus 5 cents for each free lunch and 2 cents for each

 

reduced price lunch provided, as determined by the department.

 

       (5) From the federal funds appropriated in section 11, there is allocated for

 

2014-2015 2015-2016 all available federal funding, estimated at $510,000,000.00 for

 


the national school lunch program and all available federal funding, estimated at

 

$3,200,000.00 for the emergency food assistance program.

 

       (6) Notwithstanding section 17b, payments to eligible entities other than

 

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

 

       (7) In purchasing food for a school lunch program funded under this section,

 

preference shall be given to food that is grown or produced by Michigan businesses if

 

it is competitively priced and of comparable quality.

 

       Sec. 31f. (1) From the appropriations in section 11, there is allocated an

 

amount not to exceed $5,625,000.00 for 2014-2015 2015-2016 for the purpose of making

 

payments to districts to reimburse for the cost of providing breakfast.

 

       (2) The funds allocated under this section for school breakfast programs shall

 

be made available to all eligible applicant districts that meet all of the following

 

criteria:

 

       (a) The district participates in the federal school breakfast program and meets

 

all standards as prescribed by 7 CFR parts 220 and 245.

 

       (b) Each breakfast eligible for payment meets the federal standards described

 

in subdivision (a).

 

       (3) The payment for a district under this section is at a per meal rate equal

 

to the lesser of the district's actual cost or 100% of the statewide average cost of a

 

breakfast served, as determined and approved by the department, less federal

 

reimbursement, participant payments, and other state reimbursement. The statewide

 

average cost shall be determined by the department using costs as reported in a manner

 

approved by the department for the preceding school year.

 

       (4) Notwithstanding section 17b, payments under this section may be made

 

pursuant to an agreement with the department.

 

       (5) In purchasing food for a school breakfast program funded under this

 

section, preference shall be given to food that is grown or produced by Michigan

 


businesses if it is competitively priced and of comparable quality.

 

       Sec. 32d. (1) From the funds appropriated in section 11, there is allocated to

 

eligible intermediate districts and consortia of intermediate districts for great

 

start readiness programs an amount not to exceed $214,275,000.00 $239,275,000.00 for

 

2014-2015 2015-2016. In addition, from the funds appropriated in section 11, there is

 

allocated to the great start readiness reserve fund created under subsection (19) an

 

amount not to exceed $25,000,000.00 for 2014-2015. Funds allocated under this section

 

for great start readiness programs shall be used to provide part-day, school-day, or

 

GSRP/head start blended comprehensive free compensatory classroom programs designed to

 

improve the readiness and subsequent achievement of educationally disadvantaged

 

children who meet the participant eligibility and prioritization guidelines as defined

 

by the department. For a child to be eligible to participate in a program under this

 

section, the child shall be at least 4, but less than 5, years of age as of the date

 

specified for determining a child's eligibility to attend school under section 1147 of

 

the revised school code, MCL 380.1147.

 

       (2) Funds allocated under subsection (1) shall be allocated to intermediate

 

districts or consortia of intermediate districts based on the formula in section 39.

 

An intermediate district or consortium of intermediate districts receiving funding

 

under this section shall act as the fiduciary for the great start readiness programs.

 

In order to be eligible to receive funds allocated under this subsection from an

 

intermediate district or consortium of intermediate districts, a district, a

 

consortium of districts, or a public or private for-profit or nonprofit legal entity

 

or agency shall comply with this section and section 39.

 

       (3) In addition to the allocation under subsection (1), from the general fund

 

money appropriated under section 11, there is allocated an amount not to exceed

 

$300,000.00 for 2014-2015 2015-2016 for a competitive grant to continue a longitudinal

 

evaluation of children who have participated in great start readiness programs.

 


       (4) To be eligible for funding under this section, a program shall prepare

 

children for success in school through comprehensive part-day, school-day, or

 

GSRP/head start blended programs that contain all of the following program components,

 

as determined by the department:

 

       (a) Participation in a collaborative recruitment and enrollment process to

 

assure that each child is enrolled in the program most appropriate to his or her needs

 

and to maximize the use of federal, state, and local funds.

 

       (b) An age-appropriate educational curriculum that is in compliance with the

 

early childhood standards of quality for prekindergarten children adopted by the state

 

board.

 

       (c) Nutritional services for all program participants supported by federal,

 

state, and local resources as applicable.

 

       (d) Physical and dental health and developmental screening services for all

 

program participants.

 

       (e) Referral services for families of program participants to community social

 

service agencies, including mental health services, as appropriate.

 

       (f) Active and continuous involvement of the parents or guardians of the

 

program participants.

 

       (g) A plan to conduct and report annual great start readiness program

 

evaluations and continuous improvement plans using criteria approved by the

 

department.

 

       (h) Participation in a school readiness advisory committee convened as a

 

workgroup of the great start collaborative that provides for the involvement of

 

classroom teachers, parents or guardians of program participants, and community,

 

volunteer, and social service agencies and organizations, as appropriate. The advisory

 

committee annually shall review and make recommendations regarding the program

 

components listed in this subsection. The advisory committee also shall make

 


recommendations to the great start collaborative regarding other community services

 

designed to improve all children's school readiness.

 

       (i) The ongoing articulation of the kindergarten and first grade programs

 

offered by the program provider.

 

       (j) Participation in this state's great start to quality process with a rating

 

of at least 3 stars.

 

       (5) An application for funding under this section shall provide for the

 

following, in a form and manner determined by the department:

 

       (a) Ensure compliance with all program components described in subsection (4).

 

       (b) Except as otherwise provided in this subdivision, ensure that at least 90%

 

of the children participating in an eligible great start readiness program for whom

 

the intermediate district is receiving funds under this section are children who live

 

with families with a household income that is equal to or less than 250% of the

 

federal poverty level. If the intermediate district determines that all eligible

 

children are being served and that there are no children on the waiting list under

 

section 39(1)(d) who live with families with a household income that is equal to or

 

less than 250% of the federal poverty level, the intermediate district may then enroll

 

children who live with families with a household income that is equal to or less than

 

300% of the federal poverty level. The enrollment process shall consider income and

 

risk factors, such that children determined with higher need are enrolled before

 

children with lesser need. For purposes of this subdivision, all age-eligible children

 

served in foster care or who are experiencing homelessness or who have individualized

 

education plans recommending placement in an inclusive preschool setting shall be

 

considered to live with families with household income equal to or less than 250% of

 

the federal poverty level regardless of actual family income.

 

       (c) Ensure that the applicant only uses qualified personnel for this program,

 

as follows:

 


       (i) Teachers possessing proper training. A lead teacher must have a valid

 

teaching certificate with an early childhood (ZA or ZS) endorsement or a bachelor's

 

degree in child development or early child development with specialization in

 

preschool teaching. However, if an applicant demonstrates to the department that it is

 

unable to fully comply with this subparagraph after making reasonable efforts to

 

comply, teachers who have significant but incomplete training in early childhood

 

education or child development may be used if the applicant provides to the

 

department, and the department approves, a plan for each teacher to come into

 

compliance with the standards in this subparagraph. A teacher's compliance plan must

 

be completed within 2 years of the date of employment. Progress toward completion of

 

the compliance plan shall consist of at least 2 courses per calendar year.

 

       (ii) Paraprofessionals possessing proper training in early childhood

 

development, including an associate's degree in early childhood education or child

 

development or the equivalent, or a child development associate (CDA) credential.

 

However, if an applicant demonstrates to the department that it is unable to fully

 

comply with this subparagraph after making reasonable efforts to comply, the applicant

 

may use paraprofessionals who have completed at least 1 course that earns college

 

credit in early childhood education or child development if the applicant provides to

 

the department, and the department approves, a plan for each paraprofessional to come

 

into compliance with the standards in this subparagraph. A paraprofessional's

 

compliance plan must be completed within 2 years of the date of employment. Progress

 

toward completion of the compliance plan shall consist of at least 2 courses or 60

 

clock hours of training per calendar year.

 

       (d) Include a program budget that contains only those costs that are not

 

reimbursed or reimbursable by federal funding, that are clearly and directly

 

attributable to the great start readiness program, and that would not be incurred if

 

the program were not being offered. Eligible costs include transportation costs. The

 


program budget shall indicate the extent to which these funds will supplement other

 

federal, state, local, or private funds. Funds received under this section shall not

 

be used to supplant any federal funds received by the applicant to serve children

 

eligible for a federally funded preschool program that has the capacity to serve those

 

children.

 

       (6) For a grant recipient that enrolls pupils in a school-day program funded

 

under this section, each child enrolled in the school-day program shall be counted as

 

2 children served by the program for purposes of determining the number of children to

 

be served and for determining the amount of the grant award. A grant award shall not

 

be increased solely on the basis of providing a school-day program.

 

       (7) For a grant recipient that enrolls pupils in a GSRP/head start blended

 

program, the grant recipient shall ensure that all head start and GSRP policies and

 

regulations are applied to the blended slots, with adherence to the highest standard

 

from either program, to the extent allowable under federal law.

 

       (8) An intermediate district or consortium of intermediate districts receiving

 

a grant under this section shall designate an early childhood coordinator, and may

 

provide services directly or may contract with 1 or more districts or public or

 

private for-profit or nonprofit providers that meet all requirements of subsection

 

(4).

 

       (9) Funds received under this section may be retained for administrative

 

services as follows:

 

       (a) For the portion of the total grant amount for which services are provided

 

directly by an intermediate district or consortium of intermediate districts, the

 

intermediate district or consortium of intermediate districts may retain an amount

 

equal to not more than 7% of that portion of the grant amount.

 

       (b) For the portion of the total grant amount for which services are

 

contracted, the intermediate district or consortium of intermediate districts

 


receiving the grant may retain an amount equal to not more than 2% of that portion of

 

the grant amount and the subrecipients engaged by the intermediate district to provide

 

program services may retain for administrative services an amount equal to not more

 

than 5% of that portion of the grant amount.

 

       (10) An intermediate district or consortium of intermediate districts may

 

expend not more than 2% of the total grant amount for outreach, recruiting, and public

 

awareness of the program.

 

       (11) Each grant recipient shall enroll children identified under subsection

 

(5)(b) according to how far the child's household income is below 250% of the federal

 

poverty level by ranking each applicant child's household income from lowest to

 

highest and dividing the applicant children into quintiles based on how far the

 

child's household income is below 250% of the federal poverty level, and then

 

enrolling children in the quintile with the lowest household income before enrolling

 

children in the quintile with the next lowest household income until slots are

 

completely filled. If the grant recipient determines that all eligible children are

 

being served and that there are no children on the waiting list under section 39(1)(d)

 

who live with families with a household income that is equal to or less than 250% of

 

the federal poverty level, the grant recipient may then enroll children who live with

 

families with a household income that is equal to or less than 300% of the federal

 

poverty level. The enrollment process shall consider income and risk factors, such

 

that children determined with higher need are enrolled before children with lesser

 

need. For purposes of this subdivision, all age-eligible children served in foster

 

care or who are experiencing homelessness or who have individualized education plans

 

recommending placement in an inclusive preschool setting shall be considered to live

 

with families with household income equal to or less than 250% of the federal poverty

 

level regardless of actual family income.

 

       (12) An intermediate district or consortium of intermediate districts receiving

 


a grant under this section shall allow parents of eligible children who are residents

 

of the intermediate district or within the consortium to choose a program operated by

 

or contracted with another intermediate district or consortium of intermediate

 

districts and shall pay to the educating intermediate district or consortium the per-

 

child amount attributable to each child enrolled pursuant to this sentence, as

 

determined under section 39.

 

       (13) An intermediate district or consortium of intermediate districts receiving

 

a grant under this section shall conduct a local process to contract with interested

 

and eligible public and private for-profit and nonprofit community-based providers

 

that meet all requirements of subsection (4) for at least 30% of its total slot

 

allocation. The intermediate district or consortium shall report to the department, in

 

a manner prescribed by the department, a detailed list of community-based providers by

 

provider type, including private for-profit, private nonprofit, community college or

 

university, head start grantee or delegate, and district or intermediate district, and

 

the number and proportion of its total slot allocation allocated to each provider as

 

subrecipient. If the intermediate district or consortium is not able to contract for

 

at least 30% of its total slot allocation, the grant recipient shall notify the

 

department and, if the department verifies that the intermediate district or

 

consortium attempted to contract for at least 30% of its total slot allocation and was

 

not able to do so, then the intermediate district or consortium may retain and use all

 

of its allocated slots as provided under this section. To be able to use this

 

exemption, the intermediate district or consortium shall demonstrate to the department

 

that the intermediate district or consortium increased the percentage of its total

 

slot allocation for which it contracts with a community-based provider and the

 

intermediate district or consortium shall submit evidence satisfactory to the

 

department, and the department must be able to verify this evidence, demonstrating

 

that the intermediate district or consortium took measures to contract for at least

 


30% of its total slot allocation as required under this subsection, including, but not

 

limited to, at least all of the following measures:

 

       (a) The intermediate district or consortium notified each licensed child care

 

center located in the service area of the intermediate district or consortium at least

 

twice regarding the center's eligibility to participate. One of these notifications

 

may be made electronically, but at least 1 of these notifications shall be made via

 

hard copy through the United States mail. At least 1 of these notifications shall be

 

made within 7 days after the intermediate district or consortium receives notice from

 

the department of its slot allocations.

 

       (b) The intermediate district or consortium provided to each licensed child

 

care center located in the service area of the intermediate district or consortium

 

information regarding great start readiness program requirements and a description of

 

the application and selection process for community-based providers.

 

       (c) The intermediate district or consortium provided to the public and to

 

participating families a list of community-based great start readiness program

 

subrecipients with a great start to quality rating of at least 3 stars.

 

       (14) If an intermediate district or consortium of intermediate districts

 

receiving a grant under this section fails to submit satisfactory evidence to

 

demonstrate its effort to contract for at least 30% of its total slot allocation, as

 

required under subsection (1), the department shall reduce the slots allocated to the

 

intermediate district or consortium by a percentage equal to the difference between

 

the percentage of an intermediate district's or consortium's total slot allocation

 

awarded to community-based providers and 30% of its total slot allocation.

 

       (15) In order to assist intermediate districts and consortia in complying with

 

the requirement to contract with community-based providers for at least 30% of their

 

total slot allocation, the department shall do all of the following:

 

       (a) Ensure that a great start resource center or the department provides each

 


intermediate district or consortium receiving a grant under this section with the

 

contact information for each licensed child care center located in the service area of

 

the intermediate district or consortium by March 1 of each year.

 

       (b) Provide, or ensure that an organization with which the department contracts

 

provides, a community-based provider with a validated great start to quality rating

 

within 90 days of the provider's having submitted a request and self-assessment.

 

       (c) Ensure that all intermediate district, district, community college or

 

university, head start grantee or delegate, private for-profit, and private nonprofit

 

providers are subject to a single great start to quality rating system. The rating

 

system shall ensure that regulators process all prospective providers at the same pace

 

on a first-come, first-served basis and shall not allow 1 type of provider to receive

 

a great start to quality rating ahead of any other type of provider.

 

       (d) Not later than November 1 of each year, compile the results of the

 

information reported by each intermediate district or consortium under subsection (10)

 

and report to the legislature a list by intermediate district or consortium with the

 

number and percentage of each intermediate district's or consortium's total slot

 

allocation allocated to community-based providers by provider type, including private

 

for-profit, private nonprofit, community college or university, head start grantee or

 

delegate, and district or intermediate district.

 

       (16) A recipient of funds under this section shall report to the department in

 

a form and manner prescribed by the department the number of children participating in

 

the program who meet the income eligibility criteria under subsection (5)(b) and the

 

total number of children participating in the program. For children participating in

 

the program who meet the income eligibility criteria specified under subsection

 

(5)(b), a recipient shall also report whether or not a parent is available to provide

 

care based on employment status. For the purposes of this subsection, "employment

 

status" shall be defined by the department of human services in a manner consistent

 


with maximizing the amount of spending that may be claimed for temporary assistance

 

for needy families maintenance of effort purposes.

 

       (17) As used in this section:

 

       (a) "GSRP/head start blended program" means a part-day program funded under

 

this section and a head start program, which are combined for a school-day program.

 

       (b) "Part-day program" means a program that operates at least 4 days per week,

 

30 weeks per year, for at least 3 hours of teacher-child contact time per day but for

 

fewer hours of teacher-child contact time per day than a school-day program.

 

       (c) "School-day program" means a program that operates for at least the same

 

length of day as a district's first grade program for a minimum of 4 days per week, 30

 

weeks per year. A classroom that offers a school-day program must enroll all children

 

for the school day to be considered a school-day program.

 

       (18) An intermediate district or consortium of intermediate districts receiving

 

funds under this section shall establish a sliding scale of tuition rates based upon

 

household income for children participating in an eligible great start readiness

 

program who live with families with a household income that is more than 250% of the

 

federal poverty level to be used by all of its providers, as approved by the

 

department. A grant recipient shall charge tuition according to that sliding scale of

 

tuition rates on a uniform basis for any child who does not meet the income

 

eligibility requirements under this section.

 

       (19) The great start readiness reserve fund is created as a separate account

 

within the state school aid fund established by section 11 of article IX of the state

 

constitution of 1963. Money available in the great start readiness reserve fund may

 

not be expended for 2014-2015 unless transferred by the legislature not later than

 

December 15, 2014 to the allocation under subsection (1) for great start readiness

 

programs. Money in the great start readiness reserve fund shall be expended only for

 

purposes for which state school aid fund money may be expended. The state treasurer

 


shall direct the investment of the great start readiness reserve fund. The state

 

treasurer shall credit to the great start readiness reserve fund interest and earnings

 

from fund investments. Money in the great start readiness reserve fund at the close of

 

a fiscal year shall remain in the great start readiness reserve fund and shall not

 

lapse to the unreserved school aid fund balance or the general fund.

 

       (19) (20) From the amount appropriated in subsection (1), there is allocated an

 

amount not to exceed $10,000,000.00 for reimbursement of transportation costs for

 

children attending great start readiness programs funded under this section. To

 

receive reimbursement under this subsection, not later than November 1, 2014 2015, a

 

program funded under this section that provides transportation shall submit to the

 

intermediate district that is the fiscal agent for the program a projected

 

transportation budget. The amount of the reimbursement for transportation under this

 

subsection shall be the lesser of the projected transportation budget or $150.00

 

multiplied by the number of slots funded for the program under this section. If the

 

amount allocated under this subsection is insufficient to fully reimburse the

 

transportation costs for all programs that provide transportation and submit the

 

required information, the reimbursement shall be prorated in an equal amount per slot

 

funded. Payments shall be made to the intermediate district that is the fiscal agent

 

for each program, and the intermediate district shall then reimburse the program

 

provider for transportation costs as prescribed under this subsection.

 

       Sec. 32p. (1) From the school aid fund appropriation in section 11, there is

 

allocated an amount not to exceed $10,900,000.00 $15,900,000.00 to intermediate

 

districts for 2014-2015 2015-2016 for the purpose of providing early childhood funding

 

to intermediate school districts in block grants, supporting TO SUPPORT the activities

 

under subsection (2) AND SUBSECTION (4), and providing TO PROVIDE early childhood

 

programs for children from birth through age 8. The funding provided to each

 

intermediate district under this section shall be determined by the distribution

 


formula established by the department's office of great start to provide equitable

 

funding statewide. In order to receive funding under this section, each intermediate

 

district shall provide an application to the office of great start not later than

 

September 15 of the immediately preceding fiscal year indicating the activities

 

planned to be provided.

 

       (2) Each intermediate district or consortium of intermediate districts that

 

receives funding under this section shall convene a local great start collaborative

 

and a parent coalition. The goal of each great start collaborative and parent

 

coalition shall be to ensure the coordination and expansion of local early childhood

 

infrastructure and programs that allow every child in the community to achieve the

 

following outcomes:

 

       (a) Children born healthy.

 

       (b) Children healthy, thriving, and developmentally on track from birth to

 

third grade.

 

       (c) Children developmentally ready to succeed in school at the time of school

 

entry.

 

       (d) Children prepared to succeed in fourth grade and beyond by reading

 

proficiently by the end of third grade.

 

       (3) Each local great start collaborative and parent coalition shall convene

 

workgroups to make recommendations about community services designed to achieve the

 

outcomes described in subsection (2) and to ensure that its local great start system

 

includes the following supports for children from birth through age 8:

 

       (a) Physical health.

 

       (b) Social-emotional health.

 

       (c) Family supports and basic needs.

 

       (d) Parent education and child advocacy.

 

       (e) Early education and care.

 


       (4) FROM THE FUNDS ALLOCATED IN SUBSECTION (1), THERE IS ALLOCATED A MINIMUM OF

 

$5,000,000.00 FOR THE PURPOSE OF PROVIDING HOME VISITS TO AT-RISK CHILDREN AND THEIR

 

FAMILIES. THE HOME VISITS SHALL BE CONDUCTED AS PART OF A LOCALLY-COORDINATED, FAMILY-

 

CENTERED, EVIDENCE-BASED, DATA-DRIVEN HOME VISIT STRATEGIC PLAN THAT IS APPROVED BY

 

THE DEPARTMENT. THE GOALS OF THE HOME VISITS FUNDED UNDER THIS SUBSECTION SHALL BE TO

 

IMPROVE SCHOOL READINESS, REDUCE THE NUMBER OF PUPILS RETAINED IN GRADE LEVEL, AND

 

REDUCE THE NUMBER OF PUPILS REQUIRING SPECIAL EDUCATION SERVICES. THE DEPARTMENT SHALL

 

COORDINATE THE GOALS OF THE HOME VISIT STRATEGIC PLANS APPROVED UNDER THIS SUBSECTION

 

WITH OTHER STATE AGENCY HOME VISIT PROGRAMS IN A WAY THAT STRENGTHENS MICHIGAN’S HOME

 

VISITING INFRASTRUCTURE AND MAXIMIZES FEDERAL FUNDS AVAILABLE FOR THE PURPOSES OF AT-

 

RISK FAMILY HOME VISITS.

 

       (5) (4) Not later than December 1 of each year, each intermediate district

 

shall provide a report to the department detailing the activities actually provided

 

during the immediately preceding school year and the families and children actually

 

served. The department shall compile and summarize these reports and submit its

 

summary to the house and senate appropriations subcommittees on school aid and to the

 

house and senate fiscal agencies not later than February 15 of each year.

 

       (6) (5) An intermediate district or consortium of intermediate districts that

 

receives funding under this section may carry over any unexpended funds received under

 

this section into the next fiscal year and may expend those unused funds through June

 

30 of the next fiscal year. A recipient of a grant shall return any unexpended grant

 

funds to the department in the manner prescribed by the department not later than

 

September 30 of the next fiscal year after the fiscal year in which the funds are

 

received.

 

       SEC. 35. (1) tHE INCREASED FUNDS ALLOCATED IN sections 35a to 35g SHALL BE USED

 

for programs to ensure children are reading on grade level by the end of grade 3.

 

programs funded under these sections will be USED so that michigan will be in the top

 


10 most improved states in fourth grade reading proficiency by the 2019 National

 

assessment of educational progress (naep) and will be in the top 10 states overall by

 

2025.

 

       (2) from the general fund appropriation in section 11, there is allocated an

 

amount not to exceed $1,000,000.00 for implementation costs associated with programs

 

in sections 35a to 35g.

 

       Sec. 35A. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $1,000,000.00 for the purpose of piloting parent education

 

programs for parents of children less than 4 years of age so that children are

 

developmentally ready to succeed in school at the time of school entry.

 

       (2) The department shall develop a competitive application process and method

 

of grant distribution consistent with the provisions of this section. A grant award to

 

a pilot program shall be the number of resident children less than 4 years of age as

 

of the date specified for determining a child’s eligibility to attend school under

 

section 1147 of the revised school code, MCL 380.1147, in the district or consortium

 

of districts operating the program multiplied by $120.00 per child or $130,000.00,

 

whichever is less, The department shall ensure that to the extent possible, grants are

 

awarded in each prosperity region.

 

       (3) a competitive grant application shall be submitted by an intermediate

 

district on behalf of a district or consortium of districts within the intermediate

 

district. The application shall be submitted in a form and manner approved by the

 

department and shall contain at least the following components:

 

       (a) A description of the program design including the names of the district or

 

consortium of districts that will operate the program, the physical location of the

 

program and the anticipated number of families that will be served.

 

       (b) An assurance that the program will be supervised by a teacher that has a

 

valid teaching certificate with an early childhood (ZA or ZS) endorsement or a valid

 


teaching certificate in career education with both a KH and VH endorsement or a

 

bachelor’s degree in child development or early child development or a degree related

 

to adult learning.

 

       (c) An estimate of the number of families in the district or districts that

 

will operate the pilot program that have at least one child less than 4 years of age

 

as of the date specified for determining a child’s eligibility to attend school under

 

section 1147 of the revised school code, MCL 380.1147.

 

       (d) A description of the public awareness and outreach efforts that will be

 

made.

 

       (e) An assurance that the intermediate district and the district or CONSORTIUM

 

OF districts operating the program will provide information in a form and manner as

 

approved by the department to allow for an evaluation of the pilot projects.

 

       (f) A description of the sliding fee scale that will be established for

 

tuition, with fees reduced or waived for those unable to pay.

 

       (g) A budget for the program. A program may use not more than 5 percent of a

 

grant to administer the program.

 

       (4) An eligible program shall provide at least two hours per week throughout

 

the school year for parents and their eligible children to participate in parent

 

education programs and meet at least the following minimum requirements:

 

       (a) Require that parents be physically present in classes with their children

 

or be in concurrent classes.

 

       (b) Use research-based information to educate parents about the physical,

 

cognitive, social and emotional development of children.

 

       (c) Provide structured learning activities requiring interaction between

 

children and their parents.

 

       (d) Provide structured learning activities for children that promote positive

 

interaction with their peers.

 


       (5) For a child to be eligible to participate in a program under this section,

 

the child shall be less than 4 years of age as of the date specified for determining a

 

child’s eligibility to attend school under section 1147 of the revised school code,

 

MCL 380.1147.

 

       (6) From the funds in subsection (1), there is allocated an amount not to

 

exceed $100,000.00 for the purpose of performing an evaluation of the pilot programs

 

in a manner approved by the department. The evaluation report shall include at least

 

the following:

 

       (a) A description of the components of the pilot programs that WERE EFFECTIVE

 

IN HELPING parents prepare their children for success in school.

 

       (b) A description of any barriers that parents and their children encountered

 

that PRECLUDED them from participating in the pilot programs.

 

       (c) An assessment of whether these pilot programs should be expanded to other

 

locations in the state.

 

       Sec. 35B. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $950,000.00 for 2015-2016 for the purposes of this section. This

 

allocation represents the first of two years of funding for the purposes of this

 

section.

 

       (2) The department shall award grants to districts to support professional

 

development for educators in a department-approved research-based training program

 

related to current state literacy standards for pupils in kindergarten through grade

 

3. The department shall determine the amount of the grant awards.

 

       (2) In addition to other methods of professional development delivery, the

 

department shall collaborate with the Michigan virtual university to provide this

 

training online to all educators of pupils in kindergarten through grade 3.

 

       (3) The funds allocated under this section are a work project appropriation,

 

and any unexpended funds for 2015-2016 are carried forward into 2016-2017. The purpose

 


of the work project is to continue to implement the professional development training

 

described in this section. The estimated completion date of the work project is

 

September 30, 2017.

 

       sec. 35c. from the general fund appropriation in section 11, there is allocated

 

an amount not to exceed $500,000.00 to the department for the adoption of a

 

certification test to ensure all newly-certified elementary teachers have the skills

 

to deliver evidence-based literacy instruction.

 

       Sec. 35d. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $1,450,000.00 for 2015-2016 for the purposes of this section.

 

This allocation represents the first of two years of funding.

 

       (2) The department shall award grants to districts to administer department-

 

approved diagnostic tools to monitor the development of early literacy and early

 

reading skills of pupils in kindergarten through grade 3 and to support research-based

 

professional development for educators in data interpretation for the purpose of

 

implementing a multi-tiered system of support to improve third grade reading

 

proficiency. The department shall award grants to eligible districts in an amount

 

determined by the department.

 

       (3) In addition to other methods of professional development delivery, the

 

department shall collaborate with the Michigan virtual university to provide this

 

training online to all educators of pupils in kindergarten through grade 3.

 

       (4) The funds allocated under this section are a work project appropriation,

 

and any unexpended funds for 2015-2016 are carried forward into 2016-2017. The purpose

 

of the work project is to continue to implement the professional development training

 

described in this section. The estimated completion date of the work project is

 

September 30, 2017.

 

       Sec. 35e. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $3,000,000.00 for the purpose of providing early literacy coaches

 


to assist teachers in developing and implementing instructional strategies for pupils

 

in kindergarten through grade 3 so that pupils are reading at grade level by the end

 

of grade 3.

 

       (2) The department shall develop a competitive application process and method

 

of grant distribution consistent with the provisions of this section. The grant

 

process shall ensure that intermediate districts with the highest percentage of fourth

 

grade students in the constituent districts of the intermediate district that are not

 

proficient on the fourth grade state reading assessment receive extra consideration in

 

the awarding of grants.

 

       (3) A consortium of intermediate districts in a prosperity region shall submit

 

a competitive grant application in a form and manner approved by the department in

 

order to receive funding under this section. Eligible applications shall provide

 

ASSURANCES THAT LITERACY COACHES FUNDED UNDER THIS SECTION ARE KNOWLEDGEABLE ABOUT THE

 

FOLLOWING, AT A MINIMUM:

 

       (a) current state literacy standards for pupils in kindergarten through grade

 

3.

 

       (b) implementing an instructional delivery model based on frequent use of

 

formative and diagnostic tools known as a multi-tiered system of support to determine

 

individual progress for pupils in kindergarten through grade 3 so that pupils are

 

reading at grade level by the end of grade 3.

 

       (c) THE USE OF data from diagnostic tools to determine the necessary additional

 

supports and interventions needed by individual pupils in kindergarten through grade 3

 

in order to be reading at grade level.

 

       Sec. 35f (1) From the appropriation in section 11, there is allocated an amount

 

not to exceed $10,000,000.00 for 2015-2016 to districts THAT provide additional

 

instructional time to those pupils in kindergarten through grade 3 that have been

 

identified by using department-approved diagnostic tools as needing additional

 


supports and interventions in order to be reading at grade level by the end of third

 

grade. Additional instructional time may be provided before, during and after regular

 

school hours or as part of a year-round balanced school calendar.

 

       (2) In order to be eligible to receive funding UNDER THIS SECTION, a district

 

shall demonstrate to the satisfaction of the department that the district has DONE ALL

 

OF THE FOLLOWING:

 

       (a) Implemented a multi-tiered system of support instructional delivery model.

 

       (b) used department-approved research-based diagnostic tools to identify

 

individual pupils in need of additional instructional time.

 

       (c) provided teachers of pupils in kindergarten through grade 3 with research-

 

based professional development in diagnostic data interpretation.

 

       (3) Funding allocated under this section shall be distributed to eligible

 

districts by multiplying the full-time-equivalent pupils in first grade by $95.00.

 

       (4) If the funds allocated under this section are insufficient to fully fund

 

the payments under this section, payments under this section shall be prorated on an

 

equal per-pupil basis of first grade pupils.

 

       Sec. 35g. (1) From the general funds appropriated in section 11, there is

 

allocated an amount not to exceed $500,000.00 for 2015-2016 to the department to

 

establish a best practices clearinghouse. The department shall collaborate with the

 

center, universities, intermediate districts and districts to determine the best

 

method of establishing a clearinghouse that shall identify, develop and disseminate

 

best practices from research-based models of education reform that districts can use

 

to improve reading proficiency for pupils in kindergarten through grade 3.

 

       (2) The funds allocated under this section are a work project appropriation,

 

and any unexpended funds for 2015-2016 are carried forward into 2016-2017. The purpose

 

of the work project is to continue to implement the clearinghouse described under

 

subsection (1). The estimated completion date of the work project is September 30,

 


2017.

 

       Sec. 39. (1) An eligible applicant receiving funds under section 32d shall

 

submit an application, in a form and manner prescribed by the department, by a date

 

specified by the department in the immediately preceding state fiscal year. The

 

application shall include a comprehensive needs assessment using aggregated data from

 

the applicant's entire service area and a community collaboration plan that is

 

endorsed by the local great start collaborative and is part of the community's great

 

start strategic plan that includes, but is not limited to, great start readiness

 

program and head start providers, and shall identify all of the following:

 

       (a) The estimated total number of children in the community who meet the

 

criteria of section 32d and how that calculation was made.

 

       (b) The estimated number of children in the community who meet the criteria of

 

section 32d and are being served by other early childhood development programs

 

operating in the community, and how that calculation was made.

 

       (c) The number of children the applicant will be able to serve who meet the

 

criteria of section 32d including a verification of physical facility and staff

 

resources capacity.

 

       (d) The estimated number of children who meet the criteria of section 32d who

 

will remain unserved after the applicant and community early childhood programs have

 

met their funded enrollments. The applicant shall maintain a waiting list of

 

identified unserved eligible children who would be served when openings are available.

 

       (2) After notification of funding allocations, an applicant receiving funds

 

under section 32d shall also submit an implementation plan for approval, in a form and

 

manner prescribed by the department, by a date specified by the department, that

 

details how the applicant complies with the program components established by the

 

department pursuant to section 32d.

 

       (3) The number of prekindergarten children construed to be in need of special

 


readiness assistance under section 32d shall be calculated for each applicant in the

 

following manner: 1/2 of the percentage of the applicant's pupils in grades 1 to 5 in

 

all districts served by the applicant who are eligible for free lunch, as determined

 

using the district's pupil membership count as of the pupil membership count day in

 

the school year prior to the fiscal year for which the calculation is made, under the

 

Richard B. Russell national school lunch act, 42 USC 1751 to 1769i, shall be

 

multiplied by the average kindergarten enrollment of the districts served by the

 

applicant on the pupil membership count day of the 2 immediately preceding fiscal

 

years.

 

       (4) The initial allocation for each fiscal year to each eligible applicant

 

under section 32d shall be determined by multiplying the number of children determined

 

by the formula under subsection (3) or the number of children the applicant indicates

 

it will be able to serve under subsection (1)(c), whichever is less, by $3,625.00 and

 

shall be distributed among applicants in decreasing order of concentration of eligible

 

children as determined by the formula under subsection (3). If the number of children

 

an applicant indicates it will be able to serve under subsection (1)(c) includes

 

children able to be served in a school-day program, then the number able to be served

 

in a school-day program shall be doubled for the purposes of making this calculation

 

of the lesser of the number of children determined by the formula under subsection (3)

 

and the number of children the applicant indicates it will be able to serve under

 

subsection (1)(c) and determining the amount of the initial allocation to the

 

applicant under section 32d. A district may contract with a head start agency to serve

 

children enrolled in head start with a school-day program by blending head start funds

 

with a part-day great start readiness program allocation. All head start and great

 

start readiness program policies and regulations apply to the blended program.

 

       (5) If funds allocated for eligible applicants or to the great start readiness

 

reserve fund under section 32d remain after the initial allocation under subsection

 


(4), the allocation under this subsection shall be distributed to each eligible

 

applicant under section 32d in decreasing order of concentration of eligible children

 

as determined by the formula under subsection (3). The allocation shall be determined

 

by multiplying the number of children each district within the applicant's service

 

area served in the immediately preceding fiscal year or the number of children the

 

applicant indicates it will be able to serve under subsection (1)(c), whichever is

 

less, minus the number of children for which the applicant received funding in

 

subsection (4) by $3,625.00.

 

       (6) If funds allocated for eligible applicants or to the great start readiness

 

reserve fund under section 32d remain after the allocations under subsections (4) and

 

(5), remaining funds shall be distributed to each eligible applicant under section 32d

 

in decreasing order of concentration of eligible children as determined by the formula

 

under subsection (3). If the number of children the applicant indicates it will be

 

able to serve under subsection (1)(c) exceeds the number of children for which funds

 

have been received under subsections (4) and (5), the allocation under this subsection

 

shall be determined by multiplying the number of children the applicant indicates it

 

will be able to serve under subsection (1)(c) less the number of children for which

 

funds have been received under subsections (4) and (5) by $3,625.00 until the funds

 

allocated for eligible applicants in section 32d are distributed.

 

       (7) An applicant that offers supplementary child care funded by funds other

 

than those received under section 32d and therefore offers full-day programs as part

 

of its early childhood development program shall receive priority in the allocation of

 

funds under section 32d over other eligible applicants. As used in this subsection,

 

"full-day program" means a program that provides supplementary child care that totals

 

at least 10 hours of programming per day.

 

       (8) If, taking into account the total amount to be allocated to the applicant

 

as calculated under this section, an applicant determines that it is able to include

 


additional eligible children in the great start readiness program without additional

 

funds under section 32d, the applicant may include additional eligible children but

 

shall not receive additional funding under section 32d for those children.

 

       Sec. 39a. (1) From the federal funds appropriated in section 11, there is

 

allocated for 2014-2015 2015-2016 to districts, intermediate districts, and other

 

eligible entities all available federal funding, estimated at $807,969,900.00

 

$779,076,400.00 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 $8,000,000.00 $5,000,000.00 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 $111,111,900.00 for the purpose of preparing,

 

training, and recruiting high-quality teachers and class size reduction, funded from

 

DED-OESE, improving teacher quality funds.

 

       (c) An amount estimated at $12,200,000.00 for programs to teach English to

 

limited English proficient (LEP) children, funded from DED-OESE, language acquisition

 

state grant funds.

 

       (d) An amount estimated at $10,286,500.00 for the Michigan charter school

 

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

 

       (e) An amount estimated at $2,393,500.00 $3,000,000.00 for rural and low income

 

schools, funded from DED-OESE, rural and low income school funds.

 

       (f) An amount estimated at $591,500,000.00 $565,000,000.00 to provide

 

supplemental programs to enable educationally disadvantaged children to meet

 

challenging academic standards, funded from DED-OESE, title I, disadvantaged children

 

funds.

 

       (g) An amount estimated at $8,878,000.00 for the purpose of identifying and

 

serving migrant children, funded from DED-OESE, title I, migrant education funds.

 


       (h) An amount estimated at $39,000,000.00 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.

 

       (i) An amount estimated at $24,600,000.00 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

 

2014-2015 2015-2016 to districts, intermediate districts, and other eligible entities

 

all available federal funding, estimated at $31,300,000.00 $30,800,000.00 for the

 

following programs that are funded by federal grants:

 

       (a) An amount estimated at $200,000.00 for acquired immunodeficiency syndrome

 

education grants, funded from HHS – center for disease control, AIDS funding.

 

       (b) An amount estimated at $2,600,000.00 to provide services to homeless

 

children and youth, funded from DED-OVAE, homeless children and youth funds.

 

       (C) AN AMOUNT ESTIMATED AT $4,000,000.00 TO PROVIDE MENTAL HEALTH, SUBSTANCE

 

ABUSE OR VIOLENCE PREVENTION SERVICES TO STUDENTS, FUNDED FROM HHS-SAMHSA.

 

       (D) (c) An amount estimated at $28,500,000.00 $24,000,000.00 for providing

 

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

 

to states.

 

       (3) 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.

 

       (4) For the purposes of applying for federal grants appropriated under this

 

article, the department shall allow an intermediate district to submit a consortium

 


application on behalf of 2 or more districts with the agreement of those districts as

 

appropriate according to federal rules and guidelines.

 

       (5) 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.

 

       (E) "HHS-SAMHSA" MEANS THE HHS SUBSTANCE ABUSE AND MENTAL HEALTH SERVICES

 

ADMINISTRATION.

 

       Sec. 41. From the appropriation in section 11, there is allocated an amount not

 

to exceed $1,200,000.00 each fiscal year for 2013-2014 and for 2014-2015 2015-2016 to

 

applicant districts and intermediate districts offering programs of instruction for

 

pupils of limited English-speaking ability under section 1153 of the revised school

 

code, MCL 380.1153. Reimbursement shall be on a per-pupil basis and shall be based on

 

the number of pupils of limited English-speaking ability in membership on the pupil

 

membership count day. Funds allocated under this section shall be used solely for

 

instruction in speaking, reading, writing, or comprehension of English. A pupil shall

 

not be counted under this section or instructed in a program under this section for

 

more than 3 years.

 

       Sec. 43. From the general fund money appropriated in section 11, there is

 

allocated to the department for 2014-2015 2015-2016 an amount not to exceed

 

$1,800,000.00 for updating teacher certification tests. The department shall use these

 

funds to update the set of teacher certification tests, including content-specific and

 

subject-relevant tests, to reflect current education standards by not later than

 

September 30, 2016. THIS IS THE SECOND YEAR OF TWO YEARS OF FUNDING.

 

       Sec. 51a. (1) From the appropriation in section 11, there is allocated an

 


amount not to exceed $938,946,100.00 $934,546,100.00 for 2014-2015 2015-2016 from

 

state sources and all available federal funding under sections 611 to 619 of part B of

 

the individuals with disabilities education act, 20 USC 1411 to 1419, estimated at

 

$370,000,000.00 for 2014-2015 2015-2016, plus any carryover federal funds from

 

previous year appropriations. The allocations under this subsection are for the

 

purpose of reimbursing districts and intermediate districts for special education

 

programs, services, and special education personnel as prescribed in article 3 of the

 

revised school code, MCL 380.1701 to 380.1766; net tuition payments made by

 

intermediate districts to the Michigan schools for the deaf and blind; and special

 

education programs and services for pupils who are eligible for special education

 

programs and services according to statute or rule. For meeting the costs of special

 

education programs and services not reimbursed under this article, a district or

 

intermediate district may use money in general funds or special education funds, not

 

otherwise restricted, or contributions from districts to intermediate districts,

 

tuition payments, gifts and contributions from individuals or other entities, or

 

federal funds that may be available for this purpose, as determined by the

 

intermediate district plan prepared pursuant to article 3 of the revised school code,

 

MCL 380.1701 to 380.1766. 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.

 

       (2) From the funds allocated under subsection (1), there is allocated the

 

amount necessary, estimated at $252,000,000.00 $257,200,000.00 for 2014-2015 2015-

 

2016, for payments toward reimbursing districts and intermediate districts for

 

28.6138% of total approved costs of special education, excluding costs reimbursed

 

under section 53a, and 70.4165% of total approved costs of special education

 

transportation. Allocations under this subsection shall be made as follows:

 

       (a) The initial amount allocated to a district under this subsection toward

 


fulfilling the specified percentages shall be calculated by multiplying the district's

 

special education pupil membership, excluding pupils described in subsection (11),

 

times the foundation allowance under section 20 of the pupil's district of residence,

 

not to exceed the basic foundation allowance under section 20 for the current fiscal

 

year, or, for a special education pupil in membership in a district that is a public

 

school academy, times an amount equal to the amount per membership pupil calculated

 

under section 20(6) or, for a pupil described in this subsection who is counted in

 

membership in the education achievement system, times an amount equal to the amount

 

per membership pupil under section 20(7). For an intermediate district, the amount

 

allocated under this subdivision toward fulfilling the specified percentages shall be

 

an amount per special education membership pupil, excluding pupils described in

 

subsection (11), and shall be calculated in the same manner as for a district, using

 

the foundation allowance under section 20 of the pupil's district of residence, not to

 

exceed the basic foundation allowance under section 20 for the current fiscal year.

 

       (b) After the allocations under subdivision (a), districts and intermediate

 

districts for which the payments calculated under subdivision (a) do not fulfill the

 

specified percentages shall be paid the amount necessary to achieve the specified

 

percentages for the district or intermediate district.

 

       (3) From the funds allocated under subsection (1), there is allocated for 2014-

 

2015 2015-2016 an amount not to exceed $1,000,000.00 to make payments to districts and

 

intermediate districts under this subsection. If the amount allocated to a district or

 

intermediate district for a fiscal year under subsection (2)(b) is less than the sum

 

of the amounts allocated to the district or intermediate district for 1996-97 under

 

sections 52 and 58, there is allocated to the district or intermediate district for

 

the fiscal year an amount equal to that difference, adjusted by applying the same

 

proration factor that was used in the distribution of funds under section 52 in 1996-

 

97 as adjusted to the district's or intermediate district's necessary costs of special

 


education used in calculations for the fiscal year. This adjustment is to reflect

 

reductions in special education program operations or services between 1996-97 and

 

subsequent fiscal years. Adjustments for reductions in special education program

 

operations or services shall be made in a manner determined by the department and

 

shall include adjustments for program or service shifts.

 

       (4) If the department determines that the sum of the amounts allocated for a

 

fiscal year to a district or intermediate district under subsection (2)(a) and (b) is

 

not sufficient to fulfill the specified percentages in subsection (2), then the

 

shortfall shall be paid to the district or intermediate district during the fiscal

 

year beginning on the October 1 following the determination and payments under

 

subsection (3) shall be adjusted as necessary. If the department determines that the

 

sum of the amounts allocated for a fiscal year to a district or intermediate district

 

under subsection (2)(a) and (b) exceeds the sum of the amount necessary to fulfill the

 

specified percentages in subsection (2), then the department shall deduct the amount

 

of the excess from the district's or intermediate district's payments under this

 

article for the fiscal year beginning on the October 1 following the determination and

 

payments under subsection (3) shall be adjusted as necessary. However, if the amount

 

allocated under subsection (2)(a) in itself exceeds the amount necessary to fulfill

 

the specified percentages in subsection (2), there shall be no deduction under this

 

subsection.

 

       (5) State funds shall be allocated on a total approved cost basis. Federal

 

funds shall be allocated under applicable federal requirements, except that an amount

 

not to exceed $3,500,000.00 may be allocated by the department for 2014-2015 2015-2016

 

to districts, intermediate districts, or other eligible entities on a competitive

 

grant basis for programs, equipment, and services that the department determines to be

 

designed to benefit or improve special education on a statewide scale.

 

       (6) From the amount allocated in subsection (1), there is allocated an amount

 


not to exceed $2,200,000.00 for 2014-2015 2015-2016 to reimburse 100% of the net

 

increase in necessary costs incurred by a district or intermediate district in

 

implementing the revisions in the administrative rules for special education that

 

became effective on July 1, 1987. As used in this subsection, "net increase in

 

necessary costs" means the necessary additional costs incurred solely because of new

 

or revised requirements in the administrative rules minus cost savings permitted in

 

implementing the revised rules. Net increase in necessary costs shall be determined in

 

a manner specified by the department.

 

       (7) For purposes of sections 51a to 58, all of the following apply:

 

       (a) "Total approved costs of special education" shall be determined in a manner

 

specified by the department and may include indirect costs, but shall not exceed 115%

 

of approved direct costs for section 52 and section 53a programs. The total approved

 

costs include salary and other compensation for all approved special education

 

personnel for the program, including payments for social security and medicare and

 

public school employee retirement system contributions. The total approved costs do

 

not include salaries or other compensation paid to administrative personnel who are

 

not special education personnel as defined in section 6 of the revised school code,

 

MCL 380.6. Costs reimbursed by federal funds, other than those federal funds included

 

in the allocation made under this article, are not included. Special education

 

approved personnel not utilized full time in the evaluation of students or in the

 

delivery of special education programs, ancillary, and other related services shall be

 

reimbursed under this section only for that portion of time actually spent providing

 

these programs and services, with the exception of special education programs and

 

services provided to youth placed in child caring institutions or juvenile detention

 

programs approved by the department to provide an on-grounds education program.

 

       (b) Beginning with the 2004-2005 fiscal year, a district or intermediate

 

district that employed special education support services staff to provide special

 


education support services in 2003-2004 or in a subsequent fiscal year and that in a

 

fiscal year after 2003-2004 receives the same type of support services from another

 

district or intermediate district shall report the cost of those support services for

 

special education reimbursement purposes under this article. This subdivision does not

 

prohibit the transfer of special education classroom teachers and special education

 

classroom aides if the pupils counted in membership associated with those special

 

education classroom teachers and special education classroom aides are transferred and

 

counted in membership in the other district or intermediate district in conjunction

 

with the transfer of those teachers and aides.

 

       (c) If the department determines before bookclosing for a fiscal year that the

 

amounts allocated for that fiscal year under subsections (2), (3), (6), and (11) and

 

sections 53a, 54, and 56 will exceed expenditures for that fiscal year under

 

subsections (2), (3), (6), and (11) and sections 53a, 54, and 56, then for a district

 

or intermediate district whose reimbursement for that fiscal year would otherwise be

 

affected by subdivision (b), subdivision (b) does not apply to the calculation of the

 

reimbursement for that district or intermediate district and reimbursement for that

 

district or intermediate district shall be calculated in the same manner as it was for

 

2003-2004. If the amount of the excess allocations under subsections (2), (3), (6),

 

and (11) and sections 53a, 54, and 56 is not sufficient to fully fund the calculation

 

of reimbursement to those districts and intermediate districts under this subdivision,

 

then the calculations and resulting reimbursement under this subdivision shall be

 

prorated on an equal percentage basis. This reimbursement shall not be made after

 

2014-2015.

 

       (C) (d) Reimbursement for ancillary and other related services, as defined by R

 

340.1701c of the Michigan administrative code, shall not be provided when those

 

services are covered by and available through private group health insurance carriers

 

or federal reimbursed program sources unless the department and district or

 


intermediate district agree otherwise and that agreement is approved by the state

 

budget director. Expenses, other than the incidental expense of filing, shall not be

 

borne by the parent. In addition, the filing of claims shall not delay the education

 

of a pupil. A district or intermediate district shall be responsible for payment of a

 

deductible amount and for an advance payment required until the time a claim is paid.

 

       (D) (e) Beginning with calculations for 2004-2005, if an intermediate district

 

purchases a special education pupil transportation service from a constituent district

 

that was previously purchased from a private entity; if the purchase from the

 

constituent district is at a lower cost, adjusted for changes in fuel costs; and if

 

the cost shift from the intermediate district to the constituent does not result in

 

any net change in the revenue the constituent district receives from payments under

 

sections 22b and 51c, then upon application by the intermediate district, the

 

department shall direct the intermediate district to continue to report the cost

 

associated with the specific identified special education pupil transportation service

 

and shall adjust the costs reported by the constituent district to remove the cost

 

associated with that specific service.

 

       (8) A pupil who is enrolled in a full-time special education program conducted

 

or administered by an intermediate district or a pupil who is enrolled in the Michigan

 

schools for the deaf and blind shall not be included in the membership count of a

 

district, but shall be counted in membership in the intermediate district of

 

residence.

 

       (9) Special education personnel transferred from 1 district to another to

 

implement the revised school code shall be entitled to the rights, benefits, and

 

tenure to which the person would otherwise be entitled had that person been employed

 

by the receiving district originally.

 

       (10) If a district or intermediate district uses money received under this

 

section for a purpose other than the purpose or purposes for which the money is

 


allocated, the department may require the district or intermediate district to refund

 

the amount of money received. Money that is refunded shall be deposited in the state

 

treasury to the credit of the state school aid fund.

 

       (11) From the funds allocated in subsection (1), there is allocated the amount

 

necessary, estimated at $3,300,000.00 $3,200,000.00 for 2014-2015 2015-2016, to pay

 

the foundation allowances for pupils described in this subsection. The allocation to a

 

district under this subsection shall be calculated by multiplying the number of pupils

 

described in this subsection who are counted in membership in the district times the

 

foundation allowance under section 20 of the pupil's district of residence, not to

 

exceed the basic foundation allowance under section 20 for the current fiscal year,

 

or, for a pupil described in this subsection who is counted in membership in a

 

district that is a public school academy, times an amount equal to the amount per

 

membership pupil under section 20(6) or, for a pupil described in this subsection who

 

is counted in membership in the education achievement system, times an amount equal to

 

the amount per membership pupil under section 20(7). The allocation to an intermediate

 

district under this subsection shall be calculated in the same manner as for a

 

district, using the foundation allowance under section 20 of the pupil's district of

 

residence, not to exceed the basic foundation allowance under section 20 for the

 

current fiscal year. This subsection applies to all of the following pupils:

 

       (a) Pupils described in section 53a.

 

       (b) Pupils counted in membership in an intermediate district who are not

 

special education pupils and are served by the intermediate district in a juvenile

 

detention or child caring facility.

 

       (c) Pupils with an emotional impairment counted in membership by an

 

intermediate district and provided educational services by the department of community

 

health.

 

       (12) If it is determined that funds allocated under subsection (2) or (11) or

 


under section 51c will not be expended, funds up to the amount necessary and available

 

may be used to supplement the allocations under subsection (2) or (11) or under

 

section 51c in order to fully fund those allocations. After payments under subsections

 

(2) and (11) and section 51c, the remaining expenditures from the allocation in

 

subsection (1) shall be made in the following order:

 

       (a) 100% of the reimbursement required under section 53a.

 

       (b) 100% of the reimbursement required under subsection (6).

 

       (c) 100% of the payment required under section 54.

 

       (d) 100% of the payment required under subsection (3).

 

       (e) 100% of the payments under section 56.

 

       (13) The allocations under subsections (2), (3), and (11) shall be allocations

 

to intermediate districts only and shall not be allocations to districts, but instead

 

shall be calculations used only to determine the state payments under section 22b.

 

       (14) If a public school academy enrolls pursuant to this section a pupil who

 

resides outside of the intermediate district in which the public school academy is

 

located and who is eligible for special education programs and services according to

 

statute or rule, or who is a child with disabilities, as defined under the individuals

 

with disabilities education act, Public Law 108-446, the provision of special

 

education programs and services and the payment of the added costs of special

 

education programs and services for the pupil are the responsibility of the district

 

and intermediate district in which the pupil resides unless the enrolling district or

 

intermediate district has a written agreement with the district or intermediate

 

district in which the pupil resides or the public school academy for the purpose of

 

providing the pupil with a free appropriate public education and the written agreement

 

includes at least an agreement on the responsibility for the payment of the added

 

costs of special education programs and services for the pupil.

 

       Sec. 51c. As required by the court in the consolidated cases known as Durant v

 


State of Michigan, Michigan supreme court docket no. 104458-104492, from the

 

allocation under section 51a(1), there is allocated for 2014-2015 2015-2016 the amount

 

necessary, estimated at $630,500,000.00 $621,000,000.00, for payments to reimburse

 

districts for 28.6138% of total approved costs of special education excluding costs

 

reimbursed under section 53a, and 70.4165% of total approved costs of special

 

education transportation. Funds allocated under this section that are not expended in

 

the state fiscal year for which they were allocated, as determined by the department,

 

may be used to supplement the allocations under sections 22a and 22b in order to fully

 

fund those calculated allocations for the same fiscal year.

 

       Sec. 51d. (1) From the federal funds appropriated in section 11, there is

 

allocated for 2014-2015 2015-2016, all available federal funding, estimated at

 

$74,000,000.00 $71,000,000.00, for special education programs and services that are

 

funded by federal grants. All federal funds allocated under this section shall be

 

distributed in accordance with federal law. 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.

 

       (2) From the federal funds allocated under subsection (1), the following

 

amounts are allocated for 2014-2015 2015-2016:

 

       (a) An amount estimated at $15,000,000.00 $14,000,000.00 for handicapped

 

infants and toddlers, funded from DED-OSERS, handicapped infants and toddlers funds.

 

       (b) An amount estimated at $14,000,000.00 $12,000,000.00 for preschool grants

 

(Public Law 94-142), funded from DED-OSERS, handicapped preschool incentive funds.

 

       (c) An amount estimated at $45,000,000.00 for special education programs funded

 

by DED-OSERS, handicapped program, individuals with disabilities act funds.

 

       (3) As used in this section, "DED-OSERS" means the United States department of

 

education office of special education and rehabilitative services.

 

       Sec. 53a. (1) For districts, reimbursement for pupils described in subsection

 


(2) shall be 100% of the total approved costs of operating special education programs

 

and services approved by the department and included in the intermediate district plan

 

adopted pursuant to article 3 of the revised school code, MCL 380.1701 to 380.1766,

 

minus the district's foundation allowance calculated under section 20. For

 

intermediate districts, reimbursement for pupils described in subsection (2) shall be

 

calculated in the same manner as for a district, using the foundation allowance under

 

section 20 of the pupil's district of residence, not to exceed the basic foundation

 

allowance under section 20 for the current fiscal year.

 

       (2) Reimbursement under subsection (1) is for the following special education

 

pupils:

 

       (a) Pupils assigned to a district or intermediate district through the

 

community placement program of the courts or a state agency, if the pupil was a

 

resident of another intermediate district at the time the pupil came under the

 

jurisdiction of the court or a state agency.

 

       (b) Pupils who are residents of institutions operated by the department of

 

community health.

 

       (c) Pupils who are former residents of department of community health

 

institutions for the developmentally disabled who are placed in community settings

 

other than the pupil's home.

 

       (d) Pupils enrolled in a department-approved on-grounds educational program

 

longer than 180 days, but not longer than 233 days, at a residential child care

 

institution, if the child care institution offered in 1991-92 an on-grounds

 

educational program longer than 180 days but not longer than 233 days.

 

       (e) Pupils placed in a district by a parent for the purpose of seeking a

 

suitable home, if the parent does not reside in the same intermediate district as the

 

district in which the pupil is placed.

 

       (3) Only those costs that are clearly and directly attributable to educational

 


programs for pupils described in subsection (2), and that would not have been incurred

 

if the pupils were not being educated in a district or intermediate district, are

 

reimbursable under this section.

 

       (4) The costs of transportation shall be funded under this section and shall

 

not be reimbursed under section 58.

 

       (5) Not more than $10,500,000.00 of the allocation for 2014-2015 2015-2016 in

 

section 51a(1) shall be allocated under this section.

 

       Sec. 54. Each intermediate district shall receive an amount per pupil for each

 

pupil in attendance at the Michigan schools for the deaf and blind. The amount shall

 

be proportionate to the total instructional cost at each school. Not more than

 

$1,688,000.00 of the allocation for 2014-2015 2015-2016 in section 51a(1) shall be

 

allocated under this section.

 

       Sec. 56. (1) For the purposes of this section:

 

       (a) "Membership" means for a particular fiscal year the total membership for

 

the immediately preceding fiscal year of the intermediate district and the districts

 

constituent to the intermediate district.

 

       (b) "Millage levied" means the millage levied for special education pursuant to

 

part 30 of the revised school code, MCL 380.1711 to 380.1743, including a levy for

 

debt service obligations.

 

       (c) "Taxable value" means the total taxable value of the districts constituent

 

to an intermediate district, except that if a district has elected not to come under

 

part 30 of the revised school code, MCL 380.1711 to 380.1743, membership and taxable

 

value of the district shall not be included in the membership and taxable value of the

 

intermediate district.

 

       (2) From the allocation under section 51a(1), there is allocated an amount not

 

to exceed $37,758,100.00 for 2014-2015 2015-2016 to reimburse intermediate districts

 

levying millages for special education pursuant to part 30 of the revised school code,

 


MCL 380.1711 to 380.1743. The purpose, use, and expenditure of the reimbursement shall

 

be limited as if the funds were generated by these millages and governed by the

 

intermediate district plan adopted pursuant to article 3 of the revised school code,

 

MCL 380.1701 to 380.1766. As a condition of receiving funds under this section, an

 

intermediate district distributing any portion of special education millage funds to

 

its constituent districts shall submit for departmental approval and implement a

 

distribution plan.

 

       (3) Reimbursement for those millages levied in 2013-2014 2014-2015 shall be

 

made in 2014-2015 2015-2016 at an amount per 2013-2014 2014-2015 membership pupil

 

computed by subtracting from $172,200.00 $174,400.00 the 2013-2014 2014-2015 taxable

 

value behind each membership pupil and multiplying the resulting difference by the

 

2013-2014 2014-2015 millage levied.

 

       (4) The amount paid to a single intermediate district under this section shall

 

not exceed 62.9% of the total amount allocated under subsection (2).

 

       (5) The amount paid to a single intermediate district under this section shall

 

not be less than 75% of the amount allocated to the intermediate district under this

 

section for the immediately preceding fiscal year.

 

       Sec. 61a. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $26,611,300.00 for 2014-2015 2015-2016 to reimburse on an added

 

cost basis districts, except for a district that served as the fiscal agent for a

 

vocational education consortium in the 1993-94 school year, and secondary area

 

vocational-technical education centers for secondary-level career and technical

 

education programs according to rules approved by the superintendent. Applications for

 

participation in the programs shall be submitted in the form prescribed by the

 

department. The department shall determine the added cost for each career and

 

technical education program area. The allocation of added cost funds shall be based on

 

the type COST of THE career and technical education programs provided, the number of

 


pupils enrolled, THE ADVANCEMENT OF PUPILS THROUGH THE INSTRUCTIONAL PROGRAM, AND

 

PROGRAM RANK IN STUDENT PLACEMENT, JOB OPENINGS AND WAGES and the length of the

 

training period provided, and shall not exceed 75% of the added cost of any program.

 

With the approval of the department, the board of a district maintaining a secondary

 

career and technical education program may offer the program for the period from the

 

close of the school year until September 1. The program shall use existing facilities

 

and shall be operated as prescribed by rules promulgated by the superintendent.

 

       (2) Except for a district that served as the fiscal agent for a vocational

 

education consortium in the 1993-94 school year, districts and intermediate districts

 

shall be reimbursed for local career and technical education administration, shared

 

time career and technical education administration, and career education planning

 

district career and technical education administration. The definition of what

 

constitutes administration and reimbursement shall be pursuant to guidelines adopted

 

by the superintendent. Not more than $800,000.00 of the allocation in subsection (1)

 

shall be distributed under this subsection.

 

       (3) In addition to the funds allocated in subsection (1), from the

 

appropriation in section 11, there is allocated an amount not to exceed $1,000,000.00

 

for 2014-2015 to districts or intermediate districts for area career and technical

 

education centers for the purpose of integrating the Michigan merit curriculum content

 

standards under sections 1278a and 1278b of the revised school code, MCL 380.1278a and

 

380.1278b, into state-approved career and technical education instructional programs

 

for the purpose of awarding academic credit. The department shall determine the

 

allocation to each career and technical education center in a manner that provides for

 

maximum integration of Michigan merit curriculum content standards statewide.

 

       SEC. 61B (1) FROM THE APPROPRIATION IN SECTION 11, THERE IS ALLOCATED AN AMOUNT

 

NOT TO EXCEED $17,800,000.00 FOR 2015-2016 FOR CTE EARLY/MIDDLE COLLEGE PROGRAMS

 

AUTHORIZED UNDER THIS SECTION. THE PURPOSE OF THESE PROGRAMS IS TO INCREASE THE NUMBER

 


OF MICHIGAN RESIDENTS WITH HIGH QUALITY DEGREES OR CREDENTIALS, AND TO INCREASE THE

 

NUMBER OF STUDENTS WHO ARE COLLEGE AND CAREER READY UPON HIGH SCHOOL GRADUATION.

 

       (2) FROM THE FUNDS ALLOCATED UNDER SUBSECTION (1), AN AMOUNT AS DETERMINED

 

UNDER THIS SUBSECTION SHALL BE ALLOCATED TO EACH INTERMEDIATE DISTRICT SERVING AS A

 

FISCAL AGENT FOR STATE-APPROVED CTE EARLY/MIDDLE COLLEGE PROGRAMS IN EACH OF THE 10

 

PROSPERITY REGIONS IDENTIFIED BY THE DEPARTMENT. AN INTERMEDIATE DISTRICT SHALL NOT

 

USE MORE THAN 5% OF THE FUNDS ALLOCATED UNDER THIS SUBSECTION FOR ADMINISTRATIVE COSTS

 

FOR SERVING AS THE FISCAL AGENT.

 

       (3) TO BE AN ELIGIBLE FISCAL AGENT, AN INTERMEDIATE DISTRICT MUST AGREE TO DO

 

THE FOLLOWING IN A FORM AND MANNER DETERMINED BY THE DEPARTMENT:

 

       (A) DISTRIBUTE FUNDS TO ELIGIBLE CTE EARLY/MIDDLE COLLEGE PROGRAMS IN A

 

PROSPERITY REGION AS DESCRIBED IN THIS SECTION.

 

       (B) COLLABORATE WITH THE TALENT DISTRICT CAREER COUNCIL THAT IS LOCATED IN THE

 

PROSPERITY REGION TO DEVELOP A REGIONAL STRATEGIC PLAN THAT ALIGNS CTE PROGRAMS AND

 

SERVICES INTO AN EFFICIENT AND EFFECTIVE DELIVERY SYSTEM FOR HIGH SCHOOL STUDENTS.

 

       (C) IMPLEMENT A REGIONAL PROCESS TO RANK CAREER CLUSTERS IN THE PROSPERITY

 

REGION AS DESCRIBED UNDER SUBSECTION (4). REGIONAL PROCESSES SHALL BE APPROVED BY THE

 

DEPARTMENT PRIOR TO THE RANKING OF CLUSTERS.

 

       (D) REPORT CTE EARLY/MIDDLE COLLEGE PROGRAM AND STUDENT DATA AND INFORMATION AS

 

PRESCRIBED BY THE DEPARTMENT.

 

       (4) A REGIONAL STRATEGIC PLAN SHALL INCLUDE, BUT NOT BE LIMITED TO, THE

 

FOLLOWING:

 

       (A) AN IDENTIFICATION OF REGIONAL EMPLOYER NEED BASED ON A RANKING OF ALL

 

CAREER CLUSTERS IN THE PROSPERITY REGION RANKED BY 10-YEAR JOB OPENINGS PROJECTIONS

 

AND MEDIAN WAGE FOR EACH STANDARD OCCUPATIONAL CODE IN EACH CAREER CLUSTER AS OBTAINED

 

FROM THE UNITED STATES BUREAU OF LABOR STATISTICS. STANDARD OCCUPATION CODES WITHIN

 

HIGH-RANKING CLUSTERS MAY BE FURTHER RANKED BY MEDIAN WAGE AS WELL. THE RANKINGS SHALL

 


BE REVIEWED BY THE TALENT DISTRICT CAREER COUNCIL LOCATED IN THE PROSPERITY REGION AND

 

MODIFIED IF NECESSARY TO ACCURATELY REFLECT EMPLOYER DEMAND FOR TALENT IN THE

 

PROSPERITY REGION.

 

       (B) AN IDENTIFICATION OF EDUCATIONAL ENTITIES IN THE PROSPERITY REGION THAT

 

WILL PROVIDE ELIGIBLE CTE EARLY/MIDDLE PROGRAMS INCLUDING DISTRICT, INTERMEDIATE

 

DISTRICTS, POSTSECONDARY INSTITUTIONS AND NONCREDIT OCCUPATIONAL TRAINING PROGRAMS

 

LEADING TO AN INDUSTRY-RECOGNIZED CREDENTIAL.

 

       (C) A STRATEGY TO INFORM PARENTS AND STUDENTS OF CTE EARLY/MIDDLE COLLEGE

 

PROGRAMS IN THE PROSPERITY REGION.

 

       (D) ANY OTHER REQUIREMENTS AS DEFINED BY THE DEPARTMENT.

 

       (E) A REGIONAL STRATEGIC PLAN MUST BE APPROVED BY THE TALENT DISTRICT CAREER

 

COUNCIL PRIOR TO SUBMISSION TO THE DEPARTMENT.

 

       (5) AN ELIGIBLE CTE EARLY/MIDDLE COLLEGE PROGRAM IS A FIVE-YEAR HIGH SCHOOL

 

PROGRAM THAT CONTAINS THE FOLLOWING COMPONENTS:

 

       (A) HAS BEEN IDENTIFIED IN THE HIGHEST FIVE CAREER CLUSTER RANKINGS IN ANY OF

 

THE TEN REGIONAL STRATEGIC PLANS JOINTLY APPROVED BY THE MICHIGAN TALENT INVESTMENT

 

AGENCY IN THE DEPARTMENT OF TALENT AND ECONOMIC DEVELOPMENT AND THE DEPARTMENT.

 

       (B) HAS A COHERENT SEQUENCE OF COURSES THAT WILL ALLOW A STUDENT TO EARN A HIGH

 

SCHOOL DIPLOMA AND ACHIEVE AT LEAST ONE OF THE FOLLOWING IN A SPECIFIC CAREER CLUSTER:

 

       (I) AN ASSOCIATE’S DEGREE.

 

       (II) AN INDUSTRY-RECOGNIZED TECHNICAL CERTIFICATION APPROVED BY THE MICHIGAN

 

TALENT INVESTMENT AGENCY IN THE DEPARTMENT OF TALENT AND ECONOMIC DEVELOPMENT.

 

       (III) UP TO 60 TRANSFERABLE COLLEGE CREDITS.

 

       (IV) PARTICIPATION IN A REGISTERED APPRENTICESHIP.

 

       (C) IS ALIGNED WITH THE MICHIGAN MERIT CURRICULUM.

 

       (D) HAS AN ARTICULATION AGREEMENT WITH AT LEAST ONE POSTSECONDARY INSTITUTION

 

THAT PROVIDES STUDENTS WITH OPPORTUNITIES TO RECEIVE POSTSECONDARY CREDITS DURING THE

 


STUDENT’S PARTICIPATION IN THE CTE EARLY/MIDDLE COLLEGE PROGRAM AND TRANSFERS THOSE

 

CREDITS TO THE POSTSECONDARY INSTITUTION UPON COMPLETION OF THE CTE EARLY/MIDDLE

 

COLLEGE PROGRAM.

 

       (E) PROVIDES INSTRUCTION THAT IS SUPERVISED, DIRECTED, OR COORDINATED BY AN

 

APPROPRIATELY CERTIFICATED CTE TEACHER OR ADJUNCT PROFESSOR FOR CONCURRENT ENROLLMENT

 

COURSES.

 

       (F) PROVIDES FOR HIGHLY INTEGRATED STUDENT SUPPORT SERVICES THAT INCLUDE AT

 

LEAST THE FOLLOWING:

 

       (I) TEACHERS AS ACADEMIC ADVISORS.

 

       (II) SUPERVISED COURSE SELECTION.

 

       (III) MONITORING OF STUDENT PROGRESS AND COMPLETION.

 

       (IV) CAREER PLANNING SERVICES PROVIDED BY A LOCAL ONE-STOP SERVICE CENTER AS

 

DESCRIBED IN THE MICHIGAN WORKS ONE-STOP SERVICE CENTER SYSTEM ACT, 2006 PA 491, OR BY

 

A HIGH SCHOOL COUNSELOR OR ADVISOR.

 

       (G) COURSES MAY BE TAUGHT ON COLLEGE CAMPUSES, OR BY ADJUNCT PROFESSORS FOR

 

COLLEGE COURSES OFFERED AT THE HIGH SCHOOL, OR IN COMBINATION WITH ONLINE INSTRUCTION.

 

       (6) FUNDS TO ELIGIBLE CTE EARLY/MIDDLE COLLEGE PROGRAMS SHALL BE DISTRIBUTED AS

 

FOLLOWS:

 

       (A) THE DEPARTMENT SHALL CALCULATE STATEWIDE AVERAGE CTE COSTS PER FTE FOR EACH

 

CAREER CLUSTER BY DIVIDING TOTAL PRIOR YEAR STATEWIDE COSTS FOR EACH CAREER CLUSTER BY

 

THE PRIOR YEAR FTE ENROLLMENT FOR EACH CAREER CLUSTER.

 

       (B) DISTRIBUTION TO EACH PROSPERITY REGION SHALL BE THE PRODUCT OF 50% OF CTE

 

COSTS PER FTE TIMES THE CURRENT YEAR FTE ENROLLMENT OF EACH CAREER CLUSTER IN AN

 

ELIGIBLE CTE EARLY/MIDDLE COLLEGE PROGRAM.

 

       (7) IN ORDER TO RECEIVE FUNDS UNDER THIS SECTION, A CTE EARLY/MIDDLE COLLEGE

 

PROGRAM SHALL FURNISH TO THE INTERMEDIATE DISTRICT THAT IS THE FISCAL AGENT IDENTIFIED

 

IN SUBSECTION (1), IN A FORM AND MANNER DETERMINED BY THE DEPARTMENT, ALL INFORMATION

 


NEEDED TO ADMINISTER THIS PROGRAM AND MEET FEDERAL REPORTING REQUIREMENTS; SHALL ALLOW

 

THE DEPARTMENT OR THE DEPARTMENT'S DESIGNEE TO REVIEW ALL RECORDS RELATED TO THE

 

PROGRAM FOR WHICH IT RECEIVES FUNDS; AND SHALL REIMBURSE THE STATE FOR ALL

 

DISALLOWANCES FOUND IN THE REVIEW, AS DETERMINED BY THE DEPARTMENT.

 

       (8) FUNDS DISTRIBUTED UNDER THIS SECTION MAY BE USED TO FUND PROGRAM

 

EXPENDITURES THAT WOULD OTHERWISE BE PAID FOR FROM FOUNDATION ALLOWANCES. A PROGRAM

 

PROVIDER SHALL NOT USE MORE THAN 5% OF THE FUNDS ALLOCATED UNDER THIS SECTION TO THE

 

PROGRAM FOR ADMINIST RATIVE COSTS.

 

       (9) IF THE ALLOCATION UNDER SUBSECTION (1) IS INSUFFICIENT TO FULLY FUND

 

PAYMENTS AS OTHERWISE CALCULATED UNDER THIS SECTION, THE DEPARTMENT SHALL PRORATE

 

PAYMENTS UNDER THIS SECTION ON AN EQUAL PERCENTAGE BASIS.

 

       (10) AS USED IN THIS SECTION:

 

       (A) "ALLOWABLE COSTS" MEANS THOSE COSTS DIRECTLY ATTRIBUTABLE TO THE PROGRAM AS

 

JOINTLY DETERMINED BY THE MICHIGAN TALENT INVESTMENT AGENCY AND THE DEPARTMENT.

 

       (B) "CTE" MEANS CAREER AND TECHNICAL EDUCATION.

 

       (C) "TALENT DISTRICT CAREER COUNCIL" MEANS AN ADVISORY COUNCIL TO THE LOCAL

 

WORKFORCE DEVELOPMENT BOARDS LOCATED IN A PROSPERITY REGION CONSISTING OF EDUCATIONAL,

 

EMPLOYER, LABOR AND PARENT REPRESENTATIVES.

 

       Sec. 62. (1) For the purposes of this section:

 

       (a) "Membership" means for a particular fiscal year the total membership for

 

the immediately preceding fiscal year of the intermediate district and the districts

 

constituent to the intermediate district or the total membership for the immediately

 

preceding fiscal year of the area vocational-technical program.

 

       (b) "Millage levied" means the millage levied for area vocational-technical

 

education pursuant to sections 681 to 690 of the revised school code, MCL 380.681 to

 

380.690, including a levy for debt service obligations incurred as the result of

 

borrowing for capital outlay projects and in meeting capital projects fund

 


requirements of area vocational-technical education.

 

       (c) "Taxable value" means the total taxable value of the districts constituent

 

to an intermediate district or area vocational-technical education program, except

 

that if a district has elected not to come under sections 681 to 690 of the revised

 

school code, MCL 380.681 to 380.690, the membership and taxable value of that district

 

shall not be included in the membership and taxable value of the intermediate

 

district. However, the membership and taxable value of a district that has elected not

 

to come under sections 681 to 690 of the revised school code, MCL 380.681 to 380.690,

 

shall be included in the membership and taxable value of the intermediate district if

 

the district meets both of the following:

 

       (i) The district operates the area vocational-technical education program

 

pursuant to a contract with the intermediate district.

 

       (ii) The district contributes an annual amount to the operation of the program

 

that is commensurate with the revenue that would have been raised for operation of the

 

program if millage were levied in the district for the program under sections 681 to

 

690 of the revised school code, MCL 380.681 to 380.690.

 

       (2) From the appropriation in section 11, there is allocated an amount not to

 

exceed $9,190,000.00 for 2014-2015 2015-2016 to reimburse intermediate districts and

 

area vocational-technical education programs established under section 690(3) of the

 

revised school code, MCL 380.690, levying millages for area vocational-technical

 

education pursuant to sections 681 to 690 of the revised school code, MCL 380.681 to

 

380.690. The purpose, use, and expenditure of the reimbursement shall be limited as if

 

the funds were generated by those millages.

 

       (3) Reimbursement for the millages levied in 2013-2014 2014-2015 shall be made

 

in 2014-2015 2015-2016 at an amount per 2013-2014 2014-2015 membership pupil computed

 

by subtracting from $188,100.00 $189,400.00 the 2013-2014 2014-2015 taxable value

 

behind each membership pupil and multiplying the resulting difference by the 2013-2014

 


2014-2015 millage levied.

 

       (4) The amount paid to a single intermediate district under this section shall

 

not exceed 38.4% of the total amount allocated under subsection (2).

 

       (5) The amount paid to a single intermediate district under this section shall

 

not be less than 75% of the amount allocated to the intermediate district under this

 

section for the immediately preceding fiscal year.

 

       Sec. 64b. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $1,750,000.00 for 2014-2015 2015-2016 for supplemental payments

 

to districts that support the attendance of district pupils in grades 9 to 12 under

 

the postsecondary enrollment options act, 1996 PA 160, MCL 388.511 to 388.524, or

 

under the career and technical preparation act, 2000 PA 258, MCL 388.1901 to 388.1913,

 

consistent with section 21b, or that support the attendance of district pupils in a

 

concurrent enrollment program if the district meets the requirements under subsection

 

(3). PROGRAMS FUNDED UNDER THIS SECTION ARE INTENDED TO INCREASE THE NUMBER OF

 

STUDENTS WHO ARE COLLEGE AND CAREER READY UPON HIGH SCHOOL GRADUATION.

 

       (2) To be eligible for payments under this section for supporting the

 

attendance of district pupils under the postsecondary enrollment options act, 1996 PA

 

160, MCL 388.511 to 388.524, or under the career and technical preparation act, 2000

 

PA 258, MCL 388.1901 to 388.1913, a district shall do all of the following:

 

       (a) Provide information to all high school pupils on postsecondary enrollment

 

options, including enrollment eligibility, the institutions and types of courses that

 

are eligible for participation, the decision-making process for granting academic

 

credit, and an explanation of eligible charges that will be paid by the district.

 

       (b) Enter into a written agreement with a postsecondary institution before the

 

enrollment of district pupils.

 

       (c) Agree to pay all eligible charges pursuant to section 21b.

 

       (d) Award high school credit for the postsecondary course if the pupil

 


successfully completes the course.

 

       (3) To be eligible for payments under this section for pupils enrolled in a

 

concurrent enrollment program, a district shall do all of the following:

 

       (a) Provide information to all high school pupils on postsecondary enrollment

 

options, including enrollment eligibility, the institutions and types of courses that

 

are eligible for participation, the decision-making process for granting academic

 

credit, and an explanation of eligible charges that will be paid by the district.

 

       (b) Enter into a written agreement with a postsecondary institution

 

establishing the concurrent enrollment program before the enrollment of district

 

pupils in a postsecondary course through the postsecondary institution.

 

       (c) Ensure that the course is taught by either a high school teacher or

 

postsecondary faculty pursuant to standards established by the postsecondary

 

institution with which the district has entered into a written agreement to operate

 

the concurrent enrollment program.

 

       (d) Ensure that the written agreement provides that the postsecondary

 

institution agrees not to charge the pupil for any cost of the program.

 

       (e) Ensure that the course is taught in the local district or intermediate

 

district.

 

       (f) Ensure that the pupil is awarded both high school and college credit upon

 

successful completion of the course as outlined in the agreement with the

 

postsecondary institution.

 

       (4) Funds shall be awarded to eligible districts under this section in the

 

following manner:

 

       (a) A payment of $10.00 per credit, for up to 3 credits, for a credit-bearing

 

course in which a pupil enrolls during the 2014-2015 2015-2016 school year as

 

described under either subsection (2) or (3).

 

       (b) An additional payment of $30.00 per pupil per course identified in

 


subdivision (a), if the pupil successfully completes, and is awarded both high school

 

and postsecondary credit for, the course during the 2014-2015 2015-2016 school year.

 

       (5) A district requesting payment under this section shall submit an

 

application to the department in the form and manner prescribed by the department.

 

Notwithstanding section 17b, payments under this section shall be made on a schedule

 

determined by the department.

 

       SEC. 67. (1) FROM THE GENERAL FUND AMOUNT APPROPRIATED IN SECTION 11, THERE IS

 

ALLOCATED AN AMOUNT NOT TO EXCEED $3,600,000.00 FOR COLLEGE AND CAREER PREPARATION

 

ACTIVITIES. THE PROGRAMS FUNDED UNDER THIS SECTION ARE INTENDED TO INFORM STUDENTS OF

 

COLLEGE AND CAREER OPTIONS, AND PROVIDE A WIDE ARRAY OF TOOLS AND RESOURCES INTENDED

 

TO INCREASE THE NUMBER OF STUDENTS WHO ARE ADEQUATELY PREPARED WITH THE INFORMATION

 

NEEDED TO MAKE INFORMED DECISIONS ON COLLEGE AND CAREER. THE FUNDS APPROPRIATED UNDER

 

THIS SECTION WILL BE USED TO INCREASE THE NUMBER OF MICHIGAN RESIDENTS WITH HIGH

 

QUALITY DEGREES OR CREDENTIALS.

 

       (2) FROM THE AMOUNT ALLOCATED IN SUBSECTION (1), AN AMOUNT NOT TO EXCEED

 

$3,000,000.00 SHALL BE USED FOR THE COLLEGE ACCESS PROGRAM. THE TALENT INVESTMENT

 

AGENCY OF THE DEPARTMENT OF TALENT AND ECONOMIC DEVELOPMENT SHALL ADMINISTER THESE

 

FUNDS IN COLLABORATION WITH THE MICHIGAN COLLEGE ACCESS NETWORK. FUNDS MAY BE USED FOR

 

THE FOLLOWING PURPOSES:

 

       (a) Michigan college access network operations, programming, and services to

 

local college access networks.

 

       (b) Local college access networks, which are community-based college

 

access/success partnerships committed to increasing the college participation and

 

completion rates within geographically defined communities through a coordinated

 

strategy.

 

       (c) the michigan college advising program, a program intended to place trained,

 

RECENTLY-GRADUATED college advisers in high schools that serve significant numbers of

 


low-income and first generation college-going students. state funds used for this

 

purpose may not exceed 33 percent of the total funds used for this purpose.

 

       (D) SUBGRANTS of up to $5,000.00 TO DISTRICTS with comprehensive high schools

 

THAT establish a college access team and IMPLEMENT SPECIFIC STRATEGIES to create a

 

college-going culture in a high school in a form and manner approved by the michigan

 

college access network and the michigan talent investment agency.

 

       (e) the Michigan college access portal, an online 1-stop portal to help

 

students and families plan and apply for college.

 

       (F) Public awareness and outreach campaigns to encourage low-income and first-

 

generation students to take necessary steps toward college and to assist students and

 

families in completing a timely and accurate free application for federal student aid.

 

       (G) Subgrants to postsecondary institutions to recruit, hire, and train college

 

student mentors and college advisors to assist high school students in navigating the

 

postsecondary planning and enrollment process.

 

       (3) FROM THE AMOUNT ALLOCATED IN SUBSECTION (1), AN AMOUNT NOT TO EXCEED

 

$600,000.00 TO BE USED FOR THE PURPOSES OF THIS SUBSECTION. THE TALENT INVESTMENT

 

AGENCY OF THE DEPARTMENT OF TALENT AND ECONOMIC DEVELOPMENT SHALL ADMINISTER THESE

 

FUNDS IN COLLABORATION WITH THE MICHIGAN COLLEGE ACCESS NETWORK AND THE MICHIGAN

 

VIRTUAL UNIVERSITY.

 

       (A) A PILOT OUTREACH PROGRAM TO PROVIDE INFORMATION TO STUDENTS, PARENTS AND

 

EDUCATORS ON DUAL ENROLLMENT AND OTHER OPPORTUNITIES AVAILABLE TO HIGH SCHOOL STUDENTS

 

TO EARN POSTSECONDARY CREDITS, INDUSTRY-RECOGNIZED TECHNICAL CERTIFICATIONS, AND

 

PARTICIPATION IN REGISTERED APPRENTICESHIPS AT NO COST.

 

       (B) AN ONLINE CAREER PLANNING TOOL THAT MEETS THE FOLLOWING:

 

       (I) HELPS STUDENTS CREATE EDUCATIONAL DEVELOPMENT PLANS PRIOR TO STARTING HIGH

 

SCHOOL.

 

       (II) PROVIDES INFORMATION TO STUDENTS ALLOWING THEM TO MAKE MORE INFORMED

 


CHOICES

 

ABOUT CAREER AND EDUCATION OPTIONS.

 

       (III) IS AVAILABLE TO STUDENTS AT NO COST.

 

       (4) FOR THE PURPOSES OF THIS SECTION, "COLLEGE" MEANS ANY POSTSECONDARY

 

EDUCATIONAL OPPORTUNITY THAT LEADS TO A CAREER, INCLUDING BUT NOT LIMITED TO A

 

POSTSECONDARY DEGREE, INDUSTRY-RECOGNIZED TECHNICAL CERTIFICATION OR REGISTERED

 

APPRENTICESHIP.

 

       Sec. 74. (1) From the amount appropriated in section 11, there is allocated an

 

amount not to exceed $3,316,500.00 $3,315,700.00 for 2014-2015 2015-2016 for the

 

purposes of this section.

 

       (2) From the allocation in subsection (1), there is allocated for each fiscal

 

year the amount necessary for payments to state supported colleges or universities and

 

intermediate districts providing school bus driver safety instruction pursuant to

 

section 51 of the pupil transportation act, 1990 PA 187, MCL 257.1851. The payments

 

shall be in an amount determined by the department not to exceed the actual cost of

 

instruction and driver compensation for each public or nonpublic school bus driver

 

attending a course of instruction. For the purpose of computing compensation, the

 

hourly rate allowed each school bus driver shall not exceed the hourly rate received

 

for driving a school bus. Reimbursement compensating the driver during the course of

 

instruction shall be made by the department to the college or university or

 

intermediate district providing the course of instruction.

 

       (3) From the allocation in subsection (1), there is allocated for 2014-2015

 

2015-2016 the amount necessary to pay the reasonable costs of nonspecial education

 

auxiliary services transportation provided pursuant to section 1323 of the revised

 

school code, MCL 380.1323. Districts funded under this subsection shall not receive

 

funding under any other section of this article for nonspecial education auxiliary

 

services transportation.

 


       (4) From the funds allocated in subsection (1), there is allocated an amount

 

not to exceed $1,691,500.00 $1,690,700.00 for 2014-2015 2015-2016 for reimbursement to

 

districts and intermediate districts for costs associated with the inspection of

 

school buses and pupil transportation vehicles by the department of state police as

 

required under section 715a of the Michigan vehicle code, 1949 PA 300, MCL 257.715a,

 

and section 39 of the pupil transportation act, 1990 PA 187, MCL 257.1839. The

 

department of state police shall prepare a statement of costs attributable to each

 

district for which bus inspections are provided and submit it to the department and to

 

an intermediate district serving as fiduciary in a time and manner determined jointly

 

by the department and the department of state police. Upon review and approval of the

 

statement of cost, the department shall forward to the designated intermediate

 

district serving as fiduciary the amount of the reimbursement on behalf of each

 

district and intermediate district for costs detailed on the statement within 45 days

 

after receipt of the statement. The designated intermediate district shall make

 

payment in the amount specified on the statement to the department of state police

 

within 45 days after receipt of the statement. The total reimbursement of costs under

 

this subsection shall not exceed the amount allocated under this subsection.

 

Notwithstanding section 17b, payments to eligible entities under this subsection shall

 

be paid on a schedule prescribed by the department.

 

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

 

appropriation in section 11, there is allocated for 2014-2015 2015-2016 to the

 

intermediate districts the sum necessary, but not to exceed $67,115,000.00

 

$67,108,000.00 to provide state aid to intermediate districts under this section.

 

       (2) From the allocation in subsection (1), there is allocated for 2014-2015

 

2015-2016 an amount not to exceed $65,108,000.00 for allocations to each intermediate

 

district in an amount equal to 104.8% of the amount allocated to the intermediate

 

district under this subsection for 2013-2014 2014-2015. Funding provided under this

 


section shall be used to comply with requirements of this article and the revised

 

school code that are applicable to intermediate districts, and for which funding is

 

not provided elsewhere in this article, and to provide technical assistance to

 

districts as authorized by the intermediate school board.

 

       (3) Intermediate districts receiving funds under subsection (2) 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.

 

       (4) 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. From the allocation in subsection (1), there

 

is allocated $7,000.00 for purposes of this subsection for 2012-2013, for 2013-2014,

 

and for 2014-2015, after which the payment under this subsection will cease.

 

       (5) In order to receive funding under subsection (2), 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 accounting and auditing

 

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) From the allocation in subsection (1), there is allocated an amount not to

 

exceed $2,000,000.00 for 2014-2015 2015-2016 for an incentive payment to each

 

intermediate district that meets best practices as determined by the department under

 

this subsection. The amount of the incentive payment is an amount equal to 3.1% of the

 

amount allocated to the intermediate district under subsection (2). An intermediate

 

district is eligible for an incentive payment under this subsection if the

 

intermediate district satisfies at least 5 ALL of the following requirements not later

 

than June 1, 2015 2016:

 

       (a) The intermediate district enters into an agreement with the department to

 

comply with all of the following:

 

       (i) If the intermediate district developed a service consolidation plan in

 

2013-2014 2014-2015, implement the service consolidation plan in 2014-2015 2015-2016

 

and report to the department not later than February 1, 2015 2016 on the intermediate

 

district's progress in implementing the service consolidation plan.

 

       (ii) If the intermediate district did HAS not develop DEVELOPED a service

 

consolidation plan in 2012-2013 or 2013-2014, develop a service consolidation plan in

 

2014-2015 2015-2016 to reduce operating costs that is in compliance with guidelines

 

that were developed by the department for former section 11d as that section was in

 

effect for 2010-2011.

 

       (iii) Make the intermediate district's service consolidation plan publicly

 


available on the intermediate district's website.

 

       (b) The intermediate district has obtained competitive bids on the provision of

 

1 or more noninstructional services for the intermediate district or its constituent

 

districts with a value of at least $50,000.00. The unfunded accrued liability costs

 

for retirement and other benefits shall be excluded from the intermediate district's

 

current costs for the purpose of comparing competitive bids to the current costs of

 

providing services.

 

       (B) (c) The intermediate district develops a technology plan in accordance with

 

department policy on behalf of all constituent districts within the intermediate

 

district that integrates technology into the classroom and prepares teachers to use

 

digital technologies as part of the instructional program of each of its constituent

 

districts. An intermediate district that HAS developed a technology plan in 2012-2013

 

or 2013-2014 shall continue to implement that technology plan in 2014-2015 2015-2016.

 

       (C) (d) The intermediate district provides to parents and community members a

 

dashboard or report card demonstrating the intermediate district's efforts to manage

 

its finances responsibly. The dashboard or report card shall include revenue and

 

expenditure projections for the intermediate district for 2014-2015 and 2015-2016 AND

 

2016-2017, a listing of all debt service obligations, detailed by project, including

 

anticipated 2014-2015 2015-2016 payment for each project, a listing of total

 

outstanding debt, and at least all of the following for the 3 most recent school years

 

for which the data are available:

 

       (i) A list of services offered by the intermediate district that are shared by

 

other local or intermediate districts and a list of the districts or intermediate

 

districts that participate.

 

       (ii) The total cost savings to local or other intermediate districts that share

 

services with the intermediate district.

 

       (iii) The number and percentage of teachers in the intermediate district

 


service area that are trained to integrate technology into the classroom.

 

       (iv) The total funds received from levying special education and vocational

 

education millages, and the number of special education and vocational education

 

pupils served with those dollars.

 

       (v) The number and percentage of individualized education programs developed

 

for special education pupils that contain academic goals.

 

       (D) (e) The intermediate district works in a consortium with 1 or more other

 

intermediate districts and the center to develop local information management system

 

requirements and bid specifications that result in a recommended model information

 

system that supports interoperability to ensure linkage and connectivity in a manner

 

that facilitates the efficient exchange of data among districts, intermediate

 

districts, and the center. At a minimum, these specifications shall include pupil

 

management systems for both general and special education, learning management tools,

 

and business services.

 

       (f) If an intermediate district provides medical, pharmacy, dental, vision,

 

disability, long-term care, or any other type of benefit that would constitute a

 

health care services benefit, to employees and their dependents, the intermediate

 

district is the policyholder for each of its insurance policies that covers 1 or more

 

of these benefits. An intermediate district that does not directly employ its staff or

 

an intermediate district with a voluntary employee beneficiary association that pays

 

no more than the maximum per employee contribution amount and that contributes no more

 

than the maximum employer contribution percentage of total annual costs for the

 

medical benefit plans as described in sections 3 and 4 of the publicly funded health

 

insurance contribution act, 2011 PA 152, MCL 15.563 and 15.564, is considered to have

 

satisfied this requirement.

 

       Sec. 94. (1) From the general fund appropriation in section 11, there is

 

allocated to the department for 2014-2015 2015-2016 an amount not to exceed

 


$250,000.00 for efforts to increase the number of pupils who participate and succeed

 

in advanced placement and international baccalaureate programs.

 

       (2) From the funds allocated under this section, the department shall award

 

funds to cover all or part of the costs of advanced placement test fees or

 

international baccalaureate test fees for low-income pupils who take an advanced

 

placement or an international baccalaureate test. Payments shall not exceed $20.00 per

 

test completed.

 

       (3) The department shall only award funds under this section if the department

 

determines that all of the following criteria are met:

 

       (a) Each pupil for whom payment is made meets eligibility requirements of the

 

federal advanced placement test fee program under section 1701 of the no child left

 

behind act of 2001, Public Law 107-110.

 

       (b) The tests are administered by the college board, the international

 

baccalaureate organization, or another test provider approved by the department.

 

       (c) The pupil for whom payment is made pays at least $5.00 toward the cost of

 

each test for which payment is made.

 

       (4) The department shall establish procedures for awarding funds under this

 

section.

 

       (5) Notwithstanding section 17b, payments under this section shall be made on a

 

schedule determined by the department.

 

       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 P-20 longitudinal data system

 

and ensure that it meets the requirements of subsection (4).

 


       (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 center may enter into any interlocal agreements necessary to fulfill

 

its functions.

 

       (4) The center shall ensure that the P-20 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.

 


       (5) From the general fund appropriation in section 11, there is allocated an

 

amount not to exceed $12,022,800.00 $11,967,000.00 for 2014-2015 2015-2016 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 for 2014-2015 2015-2016 the amount necessary, estimated at $193,500.00, to

 

support the operations of the center and to establish a P-20 longitudinal data system

 

as provided under this section in compliance with the assurance provided to the United

 

States department of education in order to receive state fiscal stabilization funds

 

NECESSARY FOR STATE AND FEDERAL REPORTING. The center shall cooperate with the

 

department 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.

 

       (6) From the funds allocated in subsection (5), there is allocated for 2014-

 

2015 2015-2016 an amount not to exceed $850,000.00 DETERMINED BY THE CENTER for

 

competitive grants to support collaborative efforts on the P-20 longitudinal data

 

system. All of the following apply to grants awarded under this subsection:

 

       (a) The center shall award competitive grants to eligible intermediate

 

districts or a consortium of intermediate districts based on criteria established by

 

the center.

 

       (b) Activities funded under the grant shall support the P-20 longitudinal data

 

system portal and may include portal hosting, hardware and software acquisition,

 

maintenance, enhancements, user support and related materials, and professional

 

learning tools and activities aimed at improving the utility of the P-20 longitudinal

 

data system.

 

       (c) An applicant that received a grant under this subsection for the

 

immediately preceding fiscal year shall receive priority for funding under this

 

section. However, after 3 fiscal years of continuous funding, an applicant is required

 


to compete openly with new applicants.

 

       (7) 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.

 

       (8) 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

 

(5) to cover the costs associated with salaries, benefits, supplies, materials, and

 

equipment necessary to provide such data, analysis, and reporting services.

 

       (9) As used in this section:

 

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

 

elementary and secondary education.

 

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

 

       Sec. 95a. (1) The educator evaluation reserve fund is created as a separate

 

account within the state school aid fund.

 

       (2) The state treasurer may receive money or other assets from any source for

 

deposit into the educator evaluation reserve fund. The state treasurer shall direct

 

the investment of the educator evaluation reserve fund. The state treasurer shall

 

credit to the educator evaluation reserve fund interest and earnings from the educator

 

evaluation reserve fund.

 

       (3) Money in the educator evaluation reserve fund at the close of the fiscal

 

year shall remain in the educator evaluation reserve fund and shall not lapse to the

 

state school aid fund or to the general fund. The department of treasury shall be the

 

administrator of the educator evaluation reserve fund for auditing purposes.

 

       (4) From the appropriations in section 11, there is allocated to the educator

 


evaluation reserve fund for 2014-2015 an amount not to exceed $12,100,000.00 from the

 

state school aid fund and an amount not to exceed $2,700,000.00 from the general fund.

 

Subject to subsections (5) and (6), the department shall expend the money in the

 

educator evaluation reserve fund for implementing evaluation systems for public school

 

teachers and school administrators.

 

       (5) Funds in the educator evaluation reserve fund shall not be expended unless

 

House Bill Nos. 5223 and 5224 of the 97th Legislature are enacted into law.

 

       (5) (6) Funds in the educator evaluation reserve fund shall not be expended

 

unless the state budget office has approved the department's spending plan.

 

       Sec. 98. (1) From the general fund money appropriated in section 11, there is

 

allocated an amount not to exceed $7,387,500.00 $7,987,500.00 for 2014-2015 2015-2016

 

for the purposes described in this section.

 

       (2) The Michigan virtual university shall operate the Michigan virtual learning

 

research institute. The Michigan virtual learning research institute shall do all of

 

the following:

 

       (a) Support and accelerate innovation in education through the following

 

activities:

 

       (i) Test, evaluate, and recommend as appropriate new technology-based

 

instructional tools and resources.

 

       (ii) Research, design, and recommend digital education delivery models for use

 

by pupils and teachers that include age-appropriate multimedia instructional content.

 

       (iii) Research, develop, and recommend annually to the department criteria by

 

which cyber schools and online course providers should be monitored and evaluated to

 

ensure a quality education for their pupils.

 

       (iv) Based on pupil completion and performance data reported to the department

 

or the center for educational performance and information from cyber schools and other

 

online course providers operating in this state, analyze the effectiveness of online

 


learning delivery models in preparing pupils to be college- and career-ready and

 

publish a report that highlights enrollment totals, completion rates, and the overall

 

impact on pupils. The report shall be submitted to the house and senate appropriations

 

subcommittees on state school aid, the state budget director, the house and senate

 

fiscal agencies, and the department not later than December 1, 2015 MARCH 31, 2016.

 

       (v) Before August 31, 2015 2016, provide an extensive professional development

 

program to at least 500 educational personnel, including teachers, school

 

administrators, and school board members, that focuses on the effective integration of

 

digital learning into curricula and instruction. Not later than December 1, 2015 2016,

 

the Michigan virtual learning research institute shall submit a report to the house

 

and senate appropriations subcommittees on state school aid, the state budget

 

director, the house and senate fiscal agencies, and the department on the number and

 

percentage of teachers, school administrators, and school board members who have

 

received professional development services from the Michigan virtual university. The

 

report shall also identify barriers and other opportunities to encourage the adoption

 

of digital learning in the public education system.

 

       (vi) Identify and share best practices for planning, implementing, and

 

evaluating online and blended education delivery models with intermediate districts,

 

districts, and public school academies to accelerate the adoption of innovative

 

education delivery models statewide.

 

       (b) Provide leadership for this state's system of digital learning education by

 

doing the following activities:

 

       (i) Develop and report policy recommendations to the governor and the

 

legislature that accelerate the expansion of effective online learning in this state's

 

schools.

 

       (ii) Provide a clearinghouse for research reports, academic studies,

 

evaluations, and other information related to online learning.

 


       (iii) Promote and distribute the most current instructional design standards

 

and guidelines for online teaching.

 

       (iv) In collaboration with the department and interested colleges and

 

universities in this state, support implementation and improvements related to

 

effective digital learning instruction.

 

       (v) Pursue public/private partnerships that include districts to study and

 

implement competency-based technology-rich online learning models.

 

       (V) CREATE A STATEWIDE NETWORK OF SCHOOL-BASED MENTORS SERVING AS LIAISONS

 

BETWEEN STUDENTS, ONLINE INSTRUCTORS, PARENTS AND SCHOOL STAFF AND PROVIDE MENTORS

 

WITH RESEARCH-BASED TRAINING AND TECHNICAL ASSISTANCE DESIGNED TO HELP MORE STUDENTS

 

BE SUCCESSFUL ONLINE LEARNERS.

 

       (vi) Convene focus groups and conduct annual surveys of teachers,

 

administrators, pupils, parents, and others to identify barriers and opportunities

 

related to online learning.

 

       (vii) Produce an annual consumer awareness report for schools and parents about

 

effective online education providers and education delivery models, performance data,

 

cost structures, and research trends.

 

       (viii) Research and establish an internet-based platform that educators can use

 

to create student-centric learning tools and resources and facilitate a user network

 

that assists educators in using the platform. As part of this initiative, the Michigan

 

virtual university shall work collaboratively with districts and intermediate

 

districts to establish a plan to make available online resources that align to

 

Michigan's K-12 curriculum standards for use by students, educators, and parents.

 

       (ix) Create and maintain a public statewide catalog of online learning courses

 

being offered by all public schools AND COMMUNITY COLLEGES in this state. The Michigan

 

virtual learning research institute shall identify and develop a list of nationally

 

recognized best practices for online learning and use this list to support reviews of

 


online course vendors, courses, and instructional practices. The Michigan virtual

 

learning research institute shall also provide a mechanism for intermediate districts

 

to use the identified best practices to review content offered by constituent

 

districts. The Michigan virtual learning research institute shall review the online

 

course offerings of the Michigan virtual university, and make the results from these

 

reviews available to the public as part of the statewide catalog. The Michigan virtual

 

learning research institute shall ensure that the statewide catalog is made available

 

to the public on the Michigan virtual university website and shall allow the ability

 

to link it to each district's website as provided for in section 21f. Beginning in

 

2014-2015, the THE statewide catalog shall also contain all of the following:

 

       (A) The number of enrollments in each online course in the immediately

 

preceding school year.

 

       (B) The number of enrollments that earned 60% or more of the total course

 

points for each online course in the immediately preceding school year.

 

       (C) The completion rate for each online course.

 

       (x) Collaborate with key stakeholders to examine the need and process for

 

incorporating PROTOTYPE AND PILOT registration, payment services, and transcript

 

functionality to the statewide catalog AND TRAIN KEY STAKEHOLDERS ON HOW TO USE THE

 

NEW FEATURES.

 

       (xi) Collaborate with key stakeholders to examine district level accountability

 

and teacher effectiveness issues related to online learning under section 21f and make

 

findings and recommendations publicly available.

 

       (3) TO FURTHER ENHANCE ITS EXPERTISE AND LEADERSHIP IN DIGITAL LEARNING, THE

 

MICHIGAN VIRTUAL UNIVERSITY SHALL CONTINUE TO OPERATE THE MICHIGAN VIRTUAL SCHOOL AS A

 

STATEWIDE LABORATORY AND QUALITY MODEL OF INSTRUCTION BY IMPLEMENTING ONLINE AND

 

BLENDED LEARNING SOLUTIONS FOR MICHIGAN SCHOOLS IN ACCORDANCE WITH THE FOLLOWING

 

PARAMETERS:

 


       (A) In order for the Michigan virtual university to receive any funds allocated

 

under this section, the THE Michigan virtual school must maintain its accreditation

 

status from recognized national and international accrediting entities.

 

       (B) THE MICHIGAN VIRTUAL UNIVERSITY SHALL USE NO MORE THAN $1,000,000.00 OF THE

 

AMOUNT ALLOCATED UNDER THIS SECTION TO SUBSIDIZE THE COST PAID BY DISTRICTS FOR ONLINE

 

COURSES.

 

       (C) IN THE COURSE OF PROVIDING EDUCATORS RESPONSIBLE FOR THE TEACHING OF ONLINE

 

COURSES AS PROVIDED FOR IN THIS SECTION, THE MICHIGAN VIRTUAL SCHOOL SHALL FOLLOW THE

 

REQUIREMENTS TO REQUEST AND ASSESS, AND THE DEPARTMENT OF STATE POLICE SHALL PROVIDE,

 

A CRIMINAL HISTORY CHECK AND CRIMINAL RECORDS CHECK IN THE SAME MANNER AS IF THE

 

MICHIGAN VIRTUAL SCHOOL WAS A PUBLIC SCHOOL AS PROVIDED FOR IN PART 16 OF THE REVISED

 

SCHOOL CODE, MCL 380.1201-1349.

 

       (4) If the course offerings are included in the statewide catalog of online

 

courses under subsection (2)(b)(ix), the Michigan virtual school operated by the

 

Michigan virtual university may offer online course offerings, including, but not

 

limited to, all of the following:

 

       (a) Information technology courses.

 

       (b) College level equivalent courses, as defined in section 1471 of the revised

 

school code, MCL 380.1471.

 

       (c) Courses and dual enrollment opportunities.

 

       (d) Programs and services for at-risk pupils.

 

       (e) General education development test preparation courses for adjudicated

 

youth.

 

       (f) Special interest courses.

 

       (g) Professional development programs for teachers, school administrators,

 

other school employees, and school board members.

 

       (5) If a home-schooled or nonpublic school student is a resident of a district

 


that subscribes to services provided by the Michigan virtual school, the student may

 

use the services provided by the Michigan virtual school to the district without

 

charge to the student beyond what is charged to a district pupil using the same

 

services.

 

       (6) Not later than December 1 of each fiscal year, the Michigan virtual

 

university shall provide a report to the house and senate appropriations subcommittees

 

on state school aid, the state budget director, the house and senate fiscal agencies,

 

and the department that includes at least all of the following information related to

 

the Michigan virtual school for the preceding state fiscal year:

 

       (a) A list of the districts served by the Michigan virtual school.

 

       (b) A list of online course titles available to districts.

 

       (c) The total number of online course enrollments and information on

 

registrations and completions by course.

 

       (d) The overall course completion rate percentage.

 

       (7) The governor may appoint an advisory group for the Michigan virtual

 

learning research institute established under subsection (2). The members of the

 

advisory group shall serve at the pleasure of the governor and shall serve without

 

compensation. The purpose of the advisory group is to make recommendations to the

 

governor, the legislature, and the president and board of the Michigan virtual

 

university that will accelerate innovation in this state's education system in a

 

manner that will prepare elementary and secondary students to be career and college

 

ready and that will promote the goal of increasing the percentage of citizens of this

 

state with high-quality degrees and credentials to at least 60% by 2025.

 

       (8) Not later than November 1, 2014 2015, the Michigan virtual university shall

 

submit to the house and senate appropriations subcommittees on state school aid, the

 

state budget director, and the house and senate fiscal agencies a detailed budget for

 

the 2014-2015 2015-2016 fiscal year that includes a breakdown on its projected costs

 


to deliver online educational services to districts and a summary of the anticipated

 

fees to be paid by districts for those services. Beginning in 2013-2014, not NOT later

 

than February MARCH 1, the Michigan virtual university shall submit to the house and

 

senate appropriations subcommittees on state school aid, the state budget director,

 

and the house and senate fiscal agencies a breakdown on its actual costs to deliver

 

online educational services to districts and a summary of the actual fees paid by

 

districts for those services based on audited financial statements for the immediately

 

preceding fiscal year.

 

       (9) As used in this section:

 

       (a) "Blended learning" means a hybrid instructional delivery model where pupils

 

are provided content, instruction, and assessment, in part at a supervised educational

 

facility away from home where the pupil and a teacher with a valid Michigan teaching

 

certificate are in the same physical location and in part through internet-connected

 

learning environments with some degree of pupil control over time, location, and pace

 

of instruction.

 

       (b) "Cyber school" means a full-time instructional program of online courses

 

for pupils that may or may not require attendance at a physical school location.

 

       (c) "Digital learning" means instruction delivered via a web-based educational

 

delivery system that uses various information technologies to provide a structured

 

learning environment, including online and blended learning instructional methods.

 

       (d) "Online course" means a course of study that is capable of generating a

 

credit or a grade, that is provided in an interactive internet-connected learning

 

environment, in which pupils are separated from their teachers by time or location, or

 

both, and in which a teacher who holds a valid Michigan teaching certificate is

 

responsible for PROVIDING INSTRUCTION, determining appropriate instructional methods

 

for each pupil, diagnosing learning needs, assessing pupil learning, prescribing

 

intervention strategies, reporting outcomes, and evaluating the effects of instruction

 


and support strategies.

 

       Sec. 99. (1) From the funds appropriated in section 11, there is allocated for

 

2014-2015 2015-2016 an amount not to exceed $2,750,000.00 from the state school aid

 

fund and an amount not to exceed $475,000.00 from the general fund to support the

 

activities and programs of mathematics and science centers and for other purposes as

 

described in this section. In addition, from the federal funds appropriated in section

 

11, there is allocated for 2014-2015 2015-2016 an amount estimated at $5,249,300.00

 

from DED-OESE, title II, mathematics and science partnership grants.

 

       (2) Within a service area designated locally, approved by the department, and

 

consistent with the comprehensive master plan for mathematics and science centers

 

developed by the department and approved by the state board, an established

 

mathematics and science center shall provide 2 or more of the following 6 basic

 

services, as described in the master plan, to constituent districts and communities:

 

leadership, pupil services, curriculum support, community involvement, professional

 

development, and resource clearinghouse services.

 

       (3) The department shall not award a state grant under this section to more

 

than 1 mathematics and science center located in a designated region as prescribed in

 

the 2007 master plan unless each of the grants serves a distinct target population or

 

provides a service that does not duplicate another program in the designated region.

 

       (4) As part of the technical assistance process, the department shall provide

 

minimum standard guidelines that may be used by the mathematics and science center for

 

providing fair access for qualified pupils and professional staff as prescribed in

 

this section.

 

       (5) Allocations under this section to support the activities and programs of

 

mathematics and science centers shall be continuing support grants to all 33

 

established mathematics and science centers. Each established mathematics and science

 

center that was funded in the immediately preceding fiscal year shall receive state

 


funding in an amount equal to 100% of the amount it was allocated under this

 

subsection for the immediately preceding fiscal year. If a center declines state

 

funding or a center closes, the remaining money available under this section shall be

 

distributed to the remaining centers, as determined by the department.

 

       (6) From the funds allocated in subsection (1), there is allocated for 2014-

 

2015 2015-2016 an amount not to exceed $750,000.00 in a form and manner determined by

 

the department to those centers able to provide curriculum and professional

 

development support to assist districts in implementing the Michigan merit curriculum

 

components for mathematics and science. Funding under this subsection is in addition

 

to funding allocated under subsection (5).

 

       (7) From the general fund money allocated in subsection (1), there is allocated

 

for 2014-2015 2015-2016 an amount not to exceed $100,000.00 to the Michigan STEM

 

partnership, to be used to administer the grant process under this subsection. From

 

the general fund money allocated in subsection (1), there is allocated for 2014-2015

 

2015-2016 an amount not to exceed $375,000.00 to the Michigan STEM partnership to be

 

used for a competitive grant process to award competitive grants to organizations

 

conducting student-focused, project-based programs and competitions, either in the

 

classroom or extracurricular, in science, technology, engineering, and mathematics

 

subjects such as, but not limited to, robotics, coding, and design-build-test

 

projects, from pre-kindergarten through college level. Funding under this subsection

 

is in addition to funding allocated under subsection (5) and shall be used for

 

connecting mathematics and science centers for science, technology, engineering, and

 

mathematics purposes and to support the goals of the Michigan STEM partnership. A

 

program receiving funds under section 99h may not receive funds under this subsection.

 

       (8) In order to receive state or federal funds under this section, a grant

 

recipient shall allow access for the department or the department's designee to audit

 

all records related to the program for which it receives such funds. The grant

 


recipient shall reimburse the state for all disallowances found in the audit.

 

       (9) Not later than September 30, 2018, the department shall reevaluate and

 

update the comprehensive master plan described in subsection (1).

 

       (10) The department shall give preference in awarding the federal grants

 

allocated in subsection (1) to eligible existing mathematics and science centers.

 

       (11) In order to receive state funds under this section, a grant recipient

 

shall provide at least a 10% local match from local public or private resources for

 

the funds received under this section.

 

       (12) Not later than July 1 of each year, a mathematics and science center that

 

receives funds under this section shall report to the department in a form and manner

 

prescribed by the department on the following performance measures:

 

       (a) Statistical change in pre- and post-assessment scores for students who

 

enrolled in mathematics and science activities provided to districts by the

 

mathematics and science center.

 

       (b) Statistical change in pre- and post-assessment scores for teachers who

 

enrolled in professional development activities provided by the mathematics and

 

science center.

 

       (13) 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.

 

       Sec. 99h. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $2,000,000.00 for 2014-2015 2015-2016 for competitive grants to

 

districts that provide pupils in grades 7 to 12 with expanded opportunities to improve

 

mathematics, science, and technology skills by participating in events hosted by a

 

science and technology development program known as FIRST (for inspiration and

 

recognition of science and technology) robotics.

 

       (2) A district applying for a FIRST tech challenge or FIRST robotics

 


competition program grant shall submit an application in a form and manner determined

 

by the department. To be eligible for a grant, a district shall demonstrate in its

 

application that the district has established a partnership for the purposes of the

 

FIRST program with at least 1 sponsor, business entity, higher education institution,

 

or technical school, shall submit a spending plan, and shall pay at least 25% of the

 

cost of the FIRST robotics program.

 

       (3) The department shall distribute the grant funding under this section for

 

the following purposes:

 

       (a) Grants to districts to pay for stipends of $1,500.00 for 1 coach per team,

 

distributed as follows:

 

       (i) Not more than 500 stipends for coaches of high school teams, including

 

existing teams.

 

       (ii) Not more than 100 stipends for coaches of middle school or junior high

 

teams, including existing teams.

 

       (iii) If the requests for stipends exceed the numbers of stipends allowed under

 

subparagraphs (i) and (ii), and if there is funding remaining unspent under

 

subdivisions (b) and (c), the department shall use that remaining unspent funding for

 

grants to districts to pay for additional stipends in a manner that expands the

 

geographical distribution of teams.

 

       (b) Grants to districts for event registrations, materials, travel costs, and

 

other expenses associated with the preparation for and attendance at FIRST tech

 

challenge and FIRST robotics competitions. Each grant recipient shall provide a local

 

match from other private or local funds for the funds received under this subdivision

 

equal to at least 50% of the costs of participating in an event. The department shall

 

set maximum grant amounts under this subdivision in a manner that maximizes the number

 

of teams that will be able to receive funding.

 

       (c) Grants to districts for awards to teams that advance to the state and world

 


championship competitions. The department shall determine an equal amount per team for

 

those teams that advance to the state championship and a second equal award amount to

 

those teams that advance to the world championship.

 

       (4) The funds allocated under this section are a work project appropriation,

 

and any unexpended funds for 2014-2015 2015-2016 are carried forward into 2015-2016

 

2016-2017. The purpose of the work project is to continue to implement the projects

 

described under subsection (1). The estimated completion date of the work project is

 

September 30, 2017 2018.                                 

 

       Sec. 102. (1) A district or intermediate district receiving money under this

 

article 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 IF A district or intermediate district that has an existing deficit

 

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, THE DISTRICT OR INTERMEDIATE DISTRICT shall not be allotted or paid a further

 

sum IMMEDIATELY NOTIFY THE superintendent and state treasurer and WITHIN 30 DAYS OF

 

THAT NOTIFICATION SUBMIT TO THE SUPERINTENDENT AND THE STATE TREASURER A PREPLAN

 

FINANCIAL REPORT IN THE FORM AND MANNER PRESCRIBED BY THE DEPARTMENT OF TREASURY. THE

 

DEPARTMENT MAY WITHHOLD SOME OR ALL OF THE MONEY PAYABLE TO THE DISTRICT OR

 

INTERMEDIATE DISTRICT under this article AS THE SUPERINTENDENT DETERMINES NECESSARY TO

 

INCENTIVIZE THE DISTRICT OR INTERMEDIATE DISTRICT TO ELIMINATE THE DEFICIT until the

 

district or intermediate district submits to the department for approval a budget for

 

the current school fiscal year and a DEFICIT ELIMINATION 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 IN THE FORM AND MANNER PRESCRIBED BY THE

 

DEPARTMENT OR THE DEFICIT ELIMINATION PLAN IS APPROVED BY THE DEPARTMENT. THE

 


DEPARTMENT MAY REQUIRE A DEFICIT ELIMINATION PLAN TO INCLUDE AN ACADEMIC PLAN FOR THE

 

DISTRICT OR INTERMEDIATE DISTRICT. MONEY WITHHELD UNDER THIS SECTION shall be released

 

after the department approves the deficit elimination plan and ensures that the budget

 

for the current school fiscal year is balanced. After the department approves a

 

district's or intermediate district's deficit elimination plan, the district or

 

intermediate district shall post the deficit elimination plan on the district's or

 

intermediate district's website.

 

       (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 also shall submit quarterly

 

interim reports concerning the progress made by districts and intermediate districts

 

in reducing those deficits 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. On a quarterly basis, the

 

superintendent of public instruction shall publicly present those reports to the

 

appropriations subcommittees of the legislature responsible for K-12 education

 

appropriations.

 

       (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.

 

       (3) (4) A district or intermediate district that has an existing deficit 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 AND THE STATE TREASURER a monthly monitoring report on

 

revenue and expenditures in a form and manner prescribed by the department and shall

 

post these reports on its website.

 

       (4) (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,

 

REQUIRED TO SUBMIT A DEFICIT ELIMINATION PLAN UNDER THIS SECTION, AND THE DEFICIT

 

ELIMINATION PLAN IS APPROVED BY THE DEPARTMENT, the superintendent of public

 

instruction may continue allotment and payment of funds under this article, extend .

 

WHEN APPROVING A DEFICIT ELIMINATION PLAN, THE SUPERINTENDENT MAY ESTABLISH 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 WHILE THE DEFICIT ELIMINATION PLAN IS IN EFFECT. After the

 

department approves a district's or intermediate district's deficit elimination plan

 

under this subsection, the district or intermediate district shall post the deficit

 

elimination plan on the district's or intermediate district's website. THE

 

REQUIREMENTS OF THIS SECTION RELATING TO A DEFICIT ELIMINATION PLAN DO NOT APPLY TO A

 

DISTRICT OR INTERMEDIATE DISTRICT IF THE DISTRICT OR INTERMEDIATE DISTRICT IS REQUIRED

 

TO SUBMIT AN ENHANCED DEFICIT ELIMINATION PLAN UNDER SUBSECTION (5).

 

       (5) AN ENHANCED DEFICIT ELIMINATION PLAN SHALL PROVIDE FOR THE RESOLUTION OF

 

THE DETERIORATING FINANCIAL CIRCUMSTANCES, PERSISTENTLY DECLINING ENROLLMENT, OR OTHER

 

INDICATORS OF RECURRING OPERATING DEFICITS OR RECURRING FINANCIAL STRESS AND IS

 

SUBJECT TO APPROVAL BY THE STATE TREASURER. AS A CONDITION OF APPROVING AN ENHANCED

 

DEFICIT ELIMINATION PLAN, THE STATE TREASURER MAY REQUIRE A DISTRICT OR INTERMEDIATE

 

DISTRICT REQUIRED TO SUBMIT AN ENHANCED DEFICIT ELIMINATION PLAN UNDER THIS SECTION TO

 

ENTER INTO A FINANCIAL RECOVERY AGREEMENT WITH THE STATE TREASURER. A FINANCIAL

 


RECOVERY AGREEMENT MAY PROVIDE FOR, BUT IS NOT LIMITED TO, ALL OF THE FOLLOWING:

 

       (A) ASSISTANCE AND GUIDANCE FROM THE DEPARTMENT OF TREASURY AND OTHER STATE

 

DEPARTMENTS AND AGENCIES.

 

       (B) AN ACADEMIC PLAN FOR THE DISTRICT.

 

       (C) THE APPOINTMENT OF A LOCAL AUDITOR OR INSPECTOR, OR BOTH.

 

       (D) REMEDIAL MEASURES OR OTHER ACTION UNDER THIS ARTICLE OR THE REVISED SCHOOL

 

CODE NECESSARY TO ADDRESS THE FINANCIAL CIRCUMSTANCES OF THE DISTRICT OR INTERMEDIATE

 

DISTRICT.

 

       (E) THE REQUIRED RETENTION BY THE DISTRICT OR INTERMEDIATE DISTRICT OF A

 

CONSULTANT OR 1 OR MORE OTHER EXPERTS FOR THE PURPOSE OF ASSISTING THE DISTRICT OR

 

INTERMEDIATE DISTRICT TO ACHIEVE THE GOALS AND OBJECTIVES OF THE FINANCIAL RECOVERY

 

AGREEMENT.

 

       (6) BEFORE A DISTRICT OR INTERMEDIATE DISTRICT SUBMITS AN ENHANCED DEFICIT

 

ELIMINATION PLAN TO THE STATE TREASURER UNDER SUBSECTION (5), THE BOARD OF THE

 

DISTRICT OR INTERMEDIATE SCHOOL DISTRICT SHALL APPROVE THE PLAN. IF A DISTRICT OR

 

INTERMEDIATE DISTRICT IS REQUIRED TO SUBMIT AN ENHANCED DEFICIT ELIMINATION PLAN UNDER

 

SUBSECTION (5), SOME OR ALL OF THE MONEY PAYABLE TO THE SCHOOL DISTRICT OR

 

INTERMEDIATE DISTRICT UNDER THIS ARTICLE MAY BE WITHHELD AND RELEASED IN THE SAME

 

MANNER AS PROVIDED UNDER SUBSECTION (1). WHEN APPROVING AN ENHANCED DEFICIT

 

ELIMINATION PLAN, THE STATE TREASURER MAY ESTABLISH THE PERIOD OF TIME WITHIN WHICH A

 

DISTRICT OR INTERMEDIATE DISTRICT MUST ELIMINATE ITS DEFICIT AND MAY SET SPECIAL

 

CONDITIONS THAT THE DISTRICT OR INTERMEDIATE DISTRICT MUST MEET WHILE THE DEFICIT

 

ELIMINATION PLAN IS IN EFFECT.

 

       (7) AFTER THE STATE TREASURER APPROVES AN ENHANCED DEFICIT ELIMINATION PLAN FOR

 

A DISTRICT OR INTERMEDIATE DISTRICT, THE DISTRICT OR INTERMEDIATE DISTRICT SHALL POST

 

THE ENHANCED DEFICIT ELIMINATION PLAN ON THE DISTRICT'S OR INTERMEDIATE DISTRICT'S

 

WEBSITE.

 


       (8) IF A DISTRICT OR INTERMEDIATE DISTRICT IS REQUIRED TO SUBMIT AN ENHANCED

 

DEFICIT ELIMINATION PLAN UNDER SUBSECTION (5), THE DISTRICT OR INTERMEDIATE DISTRICT

 

SHALL SUBMIT TO THE SUPERINTENDENT AND THE STATE TREASURER AN ENHANCED MONTHLY

 

MONITORING REPORT ON REVENUE, EXPENDITURES, CASH FLOW, DEBT, OTHER LIABILITIES,

 

ASSETS, BUDGET AMENDMENTS, PUPIL MEMBERSHIP, AND OTHER DATA RELATING TO THE FINANCES

 

OF THE DISTRICT OR INTERMEDIATE DISTRICT IN A FORM AND MANNER PRESCRIBED BY THE

 

DEPARTMENT OF TREASURY AND SHALL POST THESE REPORTS ON ITS WEBSITE.

 

       (9) AN ALLOCATION TO A DISTRICT OR INTERMEDIATE DISTRICT UNDER THIS ARTICLE IS

 

CONTINGENT UPON THE DISTRICT'S OR INTERMEDIATE DISTRICT'S COMPLIANCE WITH THIS

 

SECTION.

 

       (10) (6) For the purposes of AS USED IN this section,:

 

       (A) "DEFICIT ELIMINATION PLAN" MEANS A PLAN REQUIRED UNDER THIS SECTION FOR THE

 

ELIMINATION OF A DEFICIT THAT SETS FORTH ACTIONS TO BE TAKEN TO ELIMINATE THE DEFICIT

 

WITHIN THE TIME PERIOD PRESCRIBED BY THE DEPARTMENT.

 

       (B) "deficit DEFICIT fund balance" means that term as defined in the Michigan

 

public school accounting manual published by the department.

 

       (C) "ENHANCED DEFICIT ELIMINATION PLAN" MEANS MEASURES REQUIRED BY THE STATE

 

TREASURER UNDER THIS SECTION TO ADDRESS THE FINANCIAL CONDITIONS WITHIN A DISTRICT OR

 

INTERMEDIATE DISTRICT AND RESOLVE ANY DEFICIT WITHIN THE TIME PERIOD PRESCRIBED BY THE

 

STATE TREASURER.

 

       (D) "PREPLAN FINANCIAL REPORT" MEANS A REPORT ON THE FINANCIAL CONDITIONS

 

WITHIN A DISTRICT OR INTERMEDIATE DISTRICT, REQUIRED UNDER THIS SECTION AND SUBMITTED

 

IN A FORM AND MANNER PRESCRIBED BY THE STATE TREASURER, WHICH MAY INCLUDE, BUT IS NOT

 

LIMITED TO, FINANCIAL DATA AND OTHER INFORMATION ON LIABILITIES, PAYMENTS, ENROLLMENT,

 

BORROWING, AND OTHER CRITERIA RELATING TO THE FINANCIAL CONDITIONS WITHIN A DISTRICT

 

OR INTERMEDIATE DISTRICT.

 

       Sec. 103A. (1) before july 7 of each year, each district receiving money under

 


this article shall transmit to the center the budgetary assumptions used by the

 

district when adopting its annual budget pursuant to the uniform budgeting and

 

accounting act, 1968 pa 2, mcl 141.421 to 141.440a. the submission of the budgetary

 

assumptions under this section shall be in the form prescribed by the center and shall

 

include at least all of the following:

 

       (a) the projected foundation allowance used by the district when adopting the

 

district's budget for the current school fiscal year.

 

       (B) the DISTRICT'S projected membership used by the district when adopting its

 

budget for the current school fiscal year.

 

       (C) the DISTRICT'S expenditures per pupil for the immediately preceding school

 

fiscal year, calculated by dividing the district's total general fund operating

 

expenditures during that school fiscal year by the DISTRICT'S membership reported by

 

the department in the most recent state aid financial status report for the month of

 

may.

 

       (D) the DISTRICT'S projected expenditures per PUPIL for the current school

 

fiscal year, calculated by dividing the total general fund operating expenditures

 

authorized by the DISTRICT'S governing body when adopting the district's budget for

 

the current school fiscal year by the DISTRICT'S projected membership used when

 

adopting the district's budget for the current school fiscal year.

 

       (2) AN ALLOCATION TO A DISTRICT UNDER THIS ARTICLE IS CONTINGENT UPON THE

 

DISTRICT'S COMPLIANCE WITH THIS SECTION.

 

       SEC. 103B. (1) if a district determines that conditions of fiscal stress, a

 

deficit, or conditions indicating a financial emergency have arisen or may arise for

 

the district, the district shall notify the superintendent and request TECHNICAL

 

assistance in addressing the fiscal stress, deficit, or financial EMERGENCY. the

 

superintendent shall notify the state treasurer of any request for technical

 

assistance under this subsection.

 


       (2) after receiving a request for TECHNICAL assistance under subsection (1),

 

the department shall consult with the department of treasury regarding the provision

 

of technical assistance to the district. subject to available resources, the

 

department and the department of treasury shall review the financial condition and the

 

budget of the district and provide the district with technical assistance, including,

 

but not limited to, data analysis tools, with the objective of assisting the district

 

in avoiding or remedying conditions of fiscal stress, a deficit, or a financial

 

emergency before further state intervention.

 

       (4) AN ALLOCATION TO A DISTRICT UNDER THIS ARTICLE IS CONTINGENT UPON THE

 

DISTRICT'S COMPLIANCE WITH THIS SECTION.

 

       (5) AS USED IN THIS SECTION:

 

       (A) "DEFICIT" MEANS A CONDITION PROHIBITED under section 15(2) of the uniform

 

budgeting and accounting act, 1968 PA 2, mcl 141.435, or UNDER SECTION 102(1). DEFICIT

 

ALSO INCLUDES 1 OR BOTH OF THE FOLLOWING CIRCUMSTANCES FOR A DISTRICT OR INTERMEDIATE

 

DISTRICT:

 

       (i) THE TOTAL GENERAL FUND BALANCE OF THE DISTRICT OR INTERMEDIATE DISTRICT IS

 

NEGATIVE OR IS PROJECTED TO BE NEGATIVE AT THE END OF THE CURRENT SCHOOL FISCAL YEAR.

 

       (ii) ONE OR MORE OF THE FUNDS OF THE DISTRICT OR INTERMEDIATE DISTRICT OTHER

 

THAN THE GENERAL FUND HAVE A NEGATIVE BALANCE OR PROJECTED NEGATIVE BALANCE THAT IS

 

GREATER THAN THE TOTAL GENERAL FUND BALANCE.

 

       (B) "FINANCIAL EMERGENCY" MEANS THAT 1 OR MORE OF THE CONDITIONS DESCRIBED IN

 

SECTION 5(3)(A) TO (M) OF THE LOCAL FINANCIAL STABILITY AND CHOICE ACT, 2012 PA 436,

 

MCL 141.1545, EXIST OR ARE LIKELY TO OCCUR WITHIN A DISTRICT IN THE CURRENT OR NEXT

 

SCHOOL FISCAL YEAR AND THREATEN THE ABILITY OF THE DISTRICT TO PROVIDE PUBLIC

 

EDUCATIONAL SERVICES IN A MANNER THAT COMPLIES WITH THIS ARTICLE, THE REVISED SCHOOL

 

CODE AND ALL APPLICABLE RULES.

 

       (C) "FISCAL STRESS" MEANS 1 OR BOTH OF THE FOLLOWING:

 


       (i) THAT A DISTRICT IS UNABLE TO MEET ITS SHORT-TERM OR LONG-TERM FINANCIAL

 

OBLIGATIONS AS THOSE OBLIGATIONS ARISE.

 

       (ii) THAT 1 OR MORE OF THE CONDITIONS DESCRIBED IN SECTION 4(1)(A) TO (S) OF

 

THE LOCAL FINANCIAL STABILITY AND CHOICE ACT, 2012 PA 436, MCL 141.1544, EXIST OR ARE

 

LIKELY TO OCCUR WITHIN A DISTRICT.

 

       sec. 103c. (1) the superintendent or the state treasurer may require a district

 

to submit periodic financial status reports under this section if either determines

 

that financial stress may exist WITHIN the district, that a deficit is projected to

 

arise within the district during the current school fiscal year or the following 2

 

school fiscal years, or that the district may be unable to meet its financial

 

obligations while also satisfying its obligations or ability to provide public

 

EDUCATIONAL services in a manner that complies with this ARTICLE, the revised school

 

code, and applicable rules based upon 1 or more of the following:

 

       (a) the district has failed to pay a required obligation once or more in a

 

school fiscal year.

 

       (b) The district has expended or distributed tax revenue in a manner prohibited

 

by law.

 

       (c) the district's pupil enrollment has declined by 5% or more in a single

 

school fiscal year or by 15% or more over a period of 3 or more fiscal years and the

 

district failed to reduce expenditures in a manner that addressed the enrollment

 

decline.

 

       (d) the school district's expenditures per pupil have increased by 5% or more

 

in the most recent school fiscal year as compared to the immediately preceding school

 

fiscal year. as used in this subdivision, "expenditures per pupil" means the quotient

 

of dividing the total general fund operating expenditures for a school fiscal year by

 

the final audited number of pupils in membership for the state fiscal year in which

 

that school fiscal year ended.

 


       (e) the district's actual enrollment or foundation allowance for a school

 

fiscal year was 97% or less of the district's budgetary assumptions reported under

 

section 103a for the school fiscal year and the district failed to adopt an amended

 

budget reflecting the actual enrollment and foundation allowance for the school fiscal

 

year by November 15 of the school fiscal year.

 

       (f) the district has applied for a loan under the emergency municipal loan act,

 

1980 PA 243, MCl 141.931 to 141.942.

 

       (2) If a district is required to submit periodic financial reports under

 

subsection (1), the district shall do all of the following:

 

       (a) submit a periodic financial status report in the form and manner and on the

 

periodic basis prescribed by the department of treasury after consultation with the

 

department.

 

       (b) transmit a copy of each PERIODIC financial status report required under

 

this section to the members of its governing body for approval PRIOR TO SUBMISSION OF

 

THE REPORT TO THE DEPARTMENT OF TREASURY AND THE DEPARTMENT.

 

       (c) provide the department of treasury or the department with other financial

 

data or information relating to the financial conditions of the district as requested

 

by the department of treasury or the department.

 

       (d) allow the department of treasury or the department to examine financial

 

records and books of account of the district.

 

       (e) promptly and fully provide the assistance and information necessary and

 

properly requested by the department of Treasury or the department in the exercise OF

 

the department of treASury's or the department's duties under this section.

 

       (3) IF A DISTRICT FAILS TO SUBMIT A PERIODIC FINANCIAL STATUS REPORT REQUIRED

 

UNDER THIS SECTION, OR IF THE STATE TREASURER DETERMINES OR IS NOTIFIED BY THE

 

SUPERINTENDENT THAT INFORMATION INCLUDED ON A PERIODIC FINANCIAL STATUS REPORT

 

INDICATES THAT FINANCIAL STRESS EXISTS WITHIN A DISTRICT THAT HAS A DEFICIT, OR THAT A

 


DEFICIT IS PROJECTED TO OCCUR WITHIN A DISTRICT IN THE CURRENT SCHOOL FISCAL YEAR OR

 

THE NEXT SCHOOL FISCAL YEAR AND THAT THE DISTRICT LACKS THE CAPACITY TO ADDRESS

 

WITHOUT STATE ASSISTANCE, THE STATE TREASURER MAY REQUIRE THE DISTRICT TO SUBMIT AN

 

ENHANCED DEFICIT ELIMINATION PLAN UNDER SECTION 102.

 

       (4) A DISTRICT IS NOT REQUIRED TO SUBMIT PERIODIC FINANCIAL STATUS REPORTS

 

UNDER THIS SECTION IF THE DISTRICT IS REQUIRED TO SUBMIT A DEFICIT ELIMINATION PLAN OR

 

AN ENHANCED DEFICIT ELIMINATION PLAN under section 102, or if A FINANCIAL EMERGENCY

 

HAS BEEN DECLARED FOR THE DISTRICT UNDER THE LOCAL FINANCIAL STABILITY AND CHOICE ACT,

 

2012 PA 436, 6 MCL 141.1541 TO 141.1575. IF A DISTRICT IS REQUIRED TO SUBMIT PERIODIC

 

FINANCIAL STATUS REPORTS UNDER THIS SECTION AND A LOAN IS ISSUED TO THE SCHOOL

 

DISTRICT UNDER THE EMERGENCY LOAN ACT, 1980 PA 243, MCL 141.931 TO 141.942, THE STATE

 

TREASURER SHALL REQUIRE THE SCHOOL DISTRICT TO SUBMIT PERIODIC FINANCIAL REPORTS UNDER

 

THIS SECTION FOR AT LEAST 4 YEARS AFTER THE DATE OF ISSUANCE OF THE LOAN.

 

       (5) A DISTRICT IS NO LONGER REQUIRED TO SUBMIT PERIODIC FINANCIAL STATUS

 

REPORTS UNDER THIS SECTION IF THE STATE TREASURER, AFTER CONSULTATION WITH THE

 

SUPERINTENDENT, DETERMINES THAT THE PERIODIC FINANCIAL STATUS REPORTS SUBMITTED BY tHE

 

DISTRICT INDICATE THAT POTENTIAL FINANCIAL STRESS DOES NOT EXIST WITHIN THE DISTRICT,

 

THAT A DEFICIT IS NOT PROJECTED TO ARISE WITHIN THE DISTRICT, WITHIN THE CURRENT

 

SCHOOL FISCAL YEAR OR THE FOLLOWING 2 SCHOOL FISCAL YEARS; AND THAT THE DISTRICT WILL

 

BE ABLE TO MEET ITS FINANCIAL OBLIGATIONS WHILE ALSO SATISFYING THE DISTRICT'S ABILITY

 

TO PROVIDE PUBLIC EDUCATIONAL SERVICES IN A MANNER THAT COMPLIES WITH THIS article,

 

THE REVISED SCHOOL CODE, AND APPLICABLE RULES.

 

       (6) IF THE STATE TREASURER MAKES A DETERMINATION UNDER SUBSECTION (5) THAT THE

 

CONDITIONS UNDER THAT SUBSECTION APPLY TO A DISTRICT, THE STATE TREASURER SHALL NOTIFY

 

THE DISTRICT. THE SUPERINTENDENT MAY NOTIFY THE STATE TREASURER THAT THE

 

SUPERINTENDENT HAS DETERMINED THAT CONDITIONS UNDER SUBSECTION (5) APPLY TO A

 

DISTRICT.

 


       (7) AS USED IN THIS SECTION:

 

       (A) "DEFICIT" MEANS A CONDITION PROHIBITED under section 15(2) of the uniform

 

budgeting and accounting act, 1968 PA 2, mcl 141.435, or UNDER SECTION 102(1). DEFICIT

 

ALSO INCLUDES 1 OR BOTH OF THE FOLLOWING CIRCUMSTANCES FOR A DISTRICT OR INTERMEDIATE

 

DISTRICT:

 

       (i) THE TOTAL GENERAL FUND BALANCE OF THE DISTRICT OR INTERMEDIATE DISTRICT IS

 

NEGATIVE OR IS PROJECTED TO BE NEGATIVE AT THE END OF THE CURRENT SCHOOL FISCAL YEAR.

 

       (ii) ONE OR MORE OF THE FUNDS OF THE DISTRICT OR INTERMEDIATE DISTRICT OTHER

 

THAN THE GENERAL FUND HAVE A NEGATIVE BALANCE OR PROJECTED NEGATIVE BALANCE THAT IS

 

GREATER THAN THE TOTAL GENERAL FUND BALANCE.

 

       (B) "FINANCIAL EMERGENCY" MEANS THAT 1 OR MORE OF THE CONDITIONS DESCRIBED IN

 

SECTION 5(3)(A) TO (M) OF THE LOCAL FINANCIAL STABILITY AND CHOICE ACT, 2012 PA 436,

 

MCL 141.1545, EXIST OR ARE LIKELY TO OCCUR WITHIN A DISTRICT IN THE CURRENT OR NEXT

 

SCHOOL FISCAL YEAR AND THREATEN THE ABILITY OF THE DISTRICT TO PROVIDE PUBLIC

 

EDUCATIONAL SERVICES IN A MANNER THAT COMPLIES WITH THIS ARTICLE, THE REVISED SCHOOL

 

CODE AND ALL APPLICABLE RULES.

 

       (C) "FISCAL STRESS" MEANS 1 OR BOTH OF THE FOLLOWING:

 

       (i) THAT A DISTRICT IS UNABLE TO MEET ITS SHORT-TERM OR LONG-TERM FINANCIAL

 

OBLIGATIONS AS THOSE OBLIGATIONS ARISE.

 

       (ii) THAT 1 OR MORE OF THE CONDITIONS DESCRIBED IN SECTION 4(1)(A) TO (S) OF

 

THE LOCAL FINANCIAL STABILITY AND CHOICE ACT, 2012 PA 436, MCL 141.1544, EXIST OR ARE

 

LIKELY TO OCCUR WITHIN A DISTRICT.

 

       Sec. 104. (1) In order to receive state aid under this article, 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 2014-2015

 


2015-2016 an amount not to exceed $41,394,400.00 $43,994,400.00 for payments on behalf

 

of districts for costs associated with complying with those provisions of law. In

 

addition, from the federal funds appropriated in section 11, there is allocated for

 

2014-2015 2015-2016 an amount estimated at $6,250,000.00, funded from DED-OESE, title

 

VI, state assessment funds, and from 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) The results of each test administered as part of the Michigan educational

 

assessment program MICHIGAN STUDENT TEST OF EDUCATIONAL PROGRESS (M-STEP), 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) 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) 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) From the allocation in subsection (1), there is allocated an amount not to

 

exceed $8,500,000.00 for the following purposes:

 

       (a) Converting existing student assessments to online assessments.

 

       (b) Providing paper and pencil test versions to districts not prepared to

 

implement online assessments.

 

       (c) Expanding writing assessments to additional grade levels.

 

       (d) Providing an increased number of constructed response test questions so

 

that pupils can demonstrate higher-order skills such as problem solving and

 


communicating reasoning.

 

       (6) From the allocation in subsection (1), there is allocated an amount not to

 

exceed $3,200,000.00 for the development or selection of an online reporting tool to

 

provide student-level assessment data in a secure environment to educators, parents,

 

and pupils immediately after assessments are scored. The department and the center

 

shall ensure that any data collected by the online reporting tool do not provide

 

individually identifiable student data to the federal government.

 

       (7) From the allocation in subsection (1), there is allocated an amount not to

 

exceed $3,000,000.00 $5,600,000.00 for the purpose of implementing a summative

 

assessment system pursuant to section 104c.

 

       (8) 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-OSERS" means the DED office of special education and rehabilitative

 

services.

 

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

 

shall comply with this section and shall administer the Michigan merit examination,

 

WHICH INCLUDES A COLLEGE ENTRANCE, WORK SKILLS, AND A SUMMATIVE MICHIGAN STUDENT TEST

 

OF EDUCATIONAL PROGRESS (M-STEP), to pupils in grade 11, and to pupils in grade 12 who

 

did not take the complete Michigan merit examination in grade 11, as provided in this

 

section.

 

       (2) For the purposes of this section, the department of technology, management,

 

and budget shall contract with 1 or more providers to develop, supply, and score the

 

Michigan merit examination. The Michigan merit examination shall consist of all of the

 

following:

 

       (a) Assessment instruments that ARE ALIGNED TO MICHIGAN’S CONTENT STANDARDS,

 

AND measure English language arts, mathematics, reading, and science and are used by

 


colleges and universities in this state for entrance or placement purposes. This shall

 

MAY include 1 or more writing components.

 

       (b) One or more tests from 1 or more test developers that assess a pupil's

 

ability to apply at least reading and mathematics skills in a manner that is intended

 

to allow employers to use the results in making employment decisions. The department

 

of technology, management, and budget and the superintendent shall ensure that any

 

test or tests selected under this subdivision have all the components necessary to

 

allow a pupil to be eligible to receive the results of a nationally recognized

 

evaluation of workforce readiness if the pupil's test performance is adequate.

 

       (c) A social studies component.

 

       (d) Any other component that is necessary to obtain the approval of the United

 

States department of education to use the Michigan merit examination for the purposes

 

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

 

       (3) In addition to all other requirements of this section, all of the following

 

apply to the Michigan merit examination:

 

       (a) The department of technology, management, and budget and the superintendent

 

shall ensure that any contractor used for scoring the Michigan merit examination

 

supplies an individual report for each pupil that will identify for the pupil's

 

parents and teachers whether the pupil met expectations or failed to meet expectations

 

for each standard, to allow the pupil's parents and teachers to assess and remedy

 

problems before the pupil moves to the next grade.

 

       (b) The department of technology, management, and budget and the superintendent

 

shall ensure that any contractor used for scoring, developing, or processing the

 

Michigan merit examination meets quality management standards commonly used in the

 

assessment industry, including at least meeting level 2 of the capability maturity

 

model developed by the software engineering institute of Carnegie Mellon university

 

for the first year the Michigan merit examination is offered to all grade 11 pupils

 


and at least meeting level 3 of the capability maturity model for subsequent years.

 

       (c) The department of technology, management, and budget and the superintendent

 

shall ensure that any contract for scoring, administering, or developing the Michigan

 

merit examination includes specific deadlines for all steps of the assessment process,

 

including, but not limited to, deadlines for the correct testing materials to be

 

supplied to schools and for the correct results to be returned to schools, and

 

includes penalties for noncompliance with these deadlines.

 

       (d) The superintendent shall ensure that the Michigan merit examination meets

 

all of the following:

 

       (i) Is designed to test pupils on grade level content expectations or course

 

content expectations, as appropriate MICHIGAN CONTENT STANDARDS, in all subjects

 

tested.

 

       (ii) Complies with requirements of the no child left behind act of 2001, Public

 

Law 107-110.

 

       (iii) Is consistent with the code of fair testing practices in education

 

prepared by the joint committee on testing practices of the American psychological

 

association.

 

       (iv) Is factually accurate. If the superintendent determines that a question is

 

not factually accurate and should be excluded from scoring, the state board and the

 

superintendent shall ensure that the question is excluded from scoring.

 

       (4) A district shall include on each pupil's high school transcript all of the

 

following:

 

       (a) For each high school graduate who has completed the Michigan merit

 

examination under this section, the pupil's scaled score on each subject area

 

component of the Michigan merit examination.

 

       (b) The number of school days the pupil was in attendance at school each school

 

year during high school and the total number of school days in session for each of

 


those school years.

 

       (5) The superintendent shall work with the provider or providers of the

 

Michigan merit examination to produce Michigan merit examination subject area scores

 

for each pupil participating in the Michigan merit examination, including scaling and

 

merging of test items for the different subject area components. The superintendent

 

shall design and distribute to districts, intermediate districts, and nonpublic

 

schools a simple and concise document that describes the scoring for each subject area

 

and indicates the scaled score ranges for each subject area.

 

       (6) The Michigan merit examination shall be administered in each district

 

during the last 12 weeks of the district's school year. The superintendent shall

 

ensure that the Michigan merit examination is scored and the scores are returned to

 

pupils, their parents or legal guardians, and districts not later than the beginning

 

of the pupil's first semester of grade 12. The returned scores shall indicate at least

 

the pupil's scaled score for each subject area component and the range of scaled

 

scores for each subject area. In reporting the scores to pupils, parents, and schools,

 

the superintendent shall provide standards-specific, meaningful, and timely feedback

 

on the pupil's performance on the Michigan merit examination.

 

       (7) A district shall administer the complete Michigan merit examination to a

 

pupil only once and shall not administer the complete Michigan merit examination to

 

the same pupil more than once. If a pupil does not take the complete Michigan merit

 

examination in grade 11, the district shall administer the complete Michigan merit

 

examination to the pupil in grade 12. If a pupil chooses to retake the college

 

entrance examination component of the Michigan merit examination, as described in

 

subsection (2)(a), the pupil may do so through the provider of the college entrance

 

examination component and the cost of the retake is the responsibility of the pupil

 

unless all of the following are met:

 

       (a) The pupil has taken the complete Michigan merit examination.

 


       (b) The pupil did not qualify for a Michigan promise grant under section 6 of

 

the Michigan promise grant act, 2006 PA 479, MCL 390.1626, based on the pupil's

 

performance on the complete Michigan merit examination.

 

       (c) The pupil meets the income eligibility criteria for free breakfast, lunch,

 

or milk, as determined under the Richard B. Russell national school lunch act, 42 USC

 

1751 to 1769i.

 

       (d) The pupil has applied to the provider of the college entrance examination

 

component for a scholarship or fee waiver to cover the cost of the retake and that

 

application has been denied.

 

       (e) After taking the complete Michigan merit examination, the pupil has not

 

already received a free retake of the college entrance examination component paid for

 

either by this state or through a scholarship or fee waiver by the provider.

 

       (8) The superintendent shall ensure that the length of the Michigan merit

 

examination and the combined total time necessary to administer all of the components

 

of the Michigan merit examination are the shortest possible that will still maintain

 

the degree of reliability and validity of the Michigan merit examination results

 

determined necessary by the superintendent. The superintendent shall ensure that the

 

maximum total combined length of time that schools are required to set aside for

 

pupils to answer all test questions on the Michigan merit examination does not exceed

 

8 hours if the superintendent determines that sufficient alignment to applicable

 

Michigan merit curriculum content standards can be achieved within that time limit.

 

       (9) A district shall provide accommodations to a pupil with disabilities for

 

the Michigan merit examination, as provided under section 504 of title V of the

 

rehabilitation act of 1973, 29 USC 794; subtitle A of title II of the Americans with

 

disabilities act of 1990, 42 USC 12131 to 12134; the individuals with disabilities

 

education act amendments of 1997, Public Law 105-17; and the implementing regulations

 

for those statutes. The provider or providers of the Michigan merit examination and

 


the superintendent shall mutually agree upon the accommodations to be provided under

 

this subsection.

 

       (10) To the greatest extent possible, the Michigan merit examination shall be

 

based on grade level content expectations or course content expectations MICHIGAN

 

CONTENT STANDARDS, as appropriate. Not later than July 1, 2008, the department shall

 

identify specific grade level content expectations to be taught before and after the

 

middle of grade 11, so that teachers will know what content will be covered within the

 

Michigan merit examination. THE DEPARTMENT MAY AUGMENT THE COLLEGE ENTRANCE AND WORK

 

SKILLS COMPONENTS OF THE MICHIGAN MERIT EXAM TO DEVELOP THE ASSESSMENT, DEPENDENT ON

 

THOSE COMPONENTS’ ALIGNMENT TO MICHIGAN CONTENT STANDARDS. IF ALIGNMENT IS NOT PRESENT

 

IN THESE COMPONENTS, THE DEPARTMENT WILL PRODUCE ADDITIONAL COMPONENTS AS REQUIRED BY

 

LAW, WHILE MINIMIZING THE AMOUNT OF TIME NEEDED FOR ASSESSMENTS.

 

       (11) A child who is a student in a nonpublic school or home school may take the

 

Michigan merit examination under this section. To take the Michigan merit examination,

 

a child who is a student in a home school shall contact the district in which the

 

child resides, and that district shall administer the Michigan merit examination, or

 

the child may take the Michigan merit examination at a nonpublic school if allowed by

 

the nonpublic school. Upon request from a nonpublic school, the superintendent shall

 

direct the provider or providers to supply the Michigan merit examination to the

 

nonpublic school and the nonpublic school may administer the Michigan merit

 

examination. If a district administers the Michigan merit examination under this

 

subsection to a child who is not enrolled in the district, the scores for that child

 

are not considered for any purpose to be scores of a pupil of the district.

 

       (12) In contracting under subsection (2), the department of management and

 

budget shall consider a contractor that provides electronically-scored essays with the

 

ability to score constructed response feedback in multiple languages and provide

 

ongoing instruction and feedback.

 


       (13) The purpose of the Michigan merit examination is to assess pupil

 

performance in mathematics, science, social studies, and English language arts for the

 

purpose of improving academic achievement and establishing a statewide standard of

 

competency. The assessment under this section provides a common measure of data that

 

will contribute to the improvement of Michigan schools' curriculum and instruction by

 

encouraging alignment with Michigan's curriculum framework standards and promotes

 

pupil participation in higher level mathematics, science, social studies, and English

 

language arts courses. These standards are based upon the expectations of what pupils

 

should learn through high school and are aligned with national standards.

 

       (14) For a pupil enrolled in a middle college program, other than a middle

 

college operated as a shared educational entity or a specialized shared educational

 

entity, if the pupil receives at least 50% of his or her instruction at the high

 

school while in grade 11, the Michigan merit examination shall be administered to the

 

pupil at the high school at which the pupil receives high school instruction, and the

 

department shall include the pupil's scores on the Michigan merit examination in the

 

scores for that high school for all purposes for which a school's or district's

 

results are reported. The department shall allow the middle college program to use a

 

5-year graduation rate for determining adequate yearly progress. As used in this

 

subsection, "middle college" means a program consisting of a series of courses and

 

other requirements and conditions, including an early college or other program created

 

under a memorandum of understanding, that allows a pupil to graduate from high school

 

with both a high school diploma and a certificate or degree from a community college

 

or state public university.

 

       (15) As used in this section:

 

       (a) "English language arts" means reading and writing.

 

       (b) "Social studies" means United States history, world history, world

 

geography, economics, and American government.

 


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

 

shall administer the state assessments described in this section.

 

       (2) For the purposes of this section, the department shall develop for use in

 

the spring of 2014-2015 new Michigan education assessment program (MEAP) 2015-2016 THE

 

MICHIGAN STUDENT TEST OF EDUCATIONAL PROGRESS (M-STEP) assessments in English language

 

arts and mathematics. These assessments shall be aligned to state standards.

 

       (3) For the purposes of this section, the department shall implement beginning

 

in the 2015-2016 school year a summative assessment system that is proven to be valid

 

and reliable for administration to pupils as provided under this subsection. The

 

summative assessment system shall meet all of the following requirements:

 

       (a) The summative assessment system shall measure student proficiency on the

 

current state standards, shall measure student growth for consecutive grade levels in

 

which students are assessed in the same subject area in both grade levels, and shall

 

be capable of measuring individual student performance.

 

       (b) The summative assessments for English language arts and mathematics shall

 

be administered to all public school pupils in grades 3 to 10 11, including those

 

pupils as required by the federal individuals with disabilities education act, Public

 

Law 108-446, and by title I of the federal elementary and secondary education act.

 

       (c) The summative assessments for science shall be administered to all public

 

school pupils in at least grades 4 and 7, including those pupils as required by the

 

federal individuals with disabilities education act, Public Law 108-446, and by title

 

I of the federal elementary and secondary education act.

 

       (d) The summative assessments for social studies shall be administered to all

 

public school pupils in at least grades 5 and 8, including those pupils as required by

 

the federal individuals with disabilities education act, Public Law 108-446, and by

 

title I of the federal elementary and secondary education act.

 

       (e) The content of the summative assessments shall be aligned to state

 


standards.

 

       (f) The pool of questions for the summative assessments shall be subject to a

 

transparent review process for quality, bias, and sensitive issues involving educator

 

review and comment. The department shall post samples from tests or retired tests

 

featuring questions from this pool for review by the public.

 

       (g) The summative assessment system shall ensure that students, parents, and

 

teachers are provided with reports that convey individual student proficiency and

 

growth on the assessment and that convey individual student domain-level performance

 

in each subject area, including representative questions, and individual student

 

performance in meeting state standards.

 

       (h) The summative assessment system shall be capable of providing, and the

 

department shall ensure that students, parents, teachers, administrators, and

 

community members are provided with, reports that convey aggregate student proficiency

 

and growth data by teacher, grade, school, and district.

 

       (i) The summative assessment system shall ensure the capability of reporting

 

the available data to support educator evaluations.

 

       (j) The summative assessment system shall ensure that the reports provided to

 

districts containing individual student data are available within 60 days after

 

completion of the assessments.

 

       (k) The assessments shall be capable of being implemented statewide in a fully

 

operational manner no later than the 2015-2016 school year.

 

       (K) (l) The summative assessment system shall ensure that access to

 

individually identifiable student data meets all of the following:

 

       (i) Is in compliance with 20 USC 1232g, commonly referred to as the family

 

educational rights and privacy act of 1974.

 

       (ii) Except as may be provided for in an agreement with a vendor to provide

 

assessment services, as necessary to support educator evaluations pursuant to

 


subdivision (i), or for research or program evaluation purposes, is available only to

 

the student; to the student's parent or legal guardian; and to a school administrator

 

or teacher, to the extent that he or she has a legitimate educational interest.

 

       (L) (m) The summative assessment system shall ensure that the assessments are

 

pilot tested before statewide implementation.

 

       (M) (n) The summative assessment system shall ensure that assessments are

 

designed so that the maximum total combined length of time that schools are required

 

to set aside for a pupil to answer all test questions on all assessments that are part

 

of the system for the pupil's grade level does not exceed that maximum total combined

 

length of time for the previous statewide assessment system or 9 hours, whichever is

 

less. This subdivision does not limit the amount of time a district may allow a pupil

 

to complete a test.

 

       (N) (o) The total cost of executing the summative assessment system statewide

 

each year, including, but not limited to, the cost of contracts for administration,

 

scoring, and reporting, shall not exceed an amount equal to 2 times the cost of

 

executing the previous statewide assessment after adjustment for inflation.

 

       (4) To begin the process required under subsection (3), not later than

 

September 1, 2014, the department shall issue a request for proposals for the

 

summative assessment system described in that subsection.

 

       (4) BEGINNING IN THE 2015-2016 SCHOOL YEAR, THE DEPARTMENT SHALL FIELD TEST

 

ADDITIONAL COMPONENTS IN THE ASSESSMENT SYSTEM DESCRIBED UNDER THIS SUBSECTION, FOR

 

FULL IMPLEMENTATION IN THE 2016-2017 SCHOOL YEAR. THE ADDITIONAL COMPONENTS ARE

 

NECESSARY TO DETERMINE A PUPIL’S PROFICIENCY LEVEL PRIOR TO GRADE 3. THE ADDITIONAL

 

COMPONENTS ARE AS FOLLOWS:

 

       (A) ASSESSMENTS ADMINISTERED IN THE FALL AND SPRING OF EACH YEAR TO MEASURE

 

ENGLISH LANGUAGE ARTS AND MATHEMATICS IN EACH OF THE GRADES 1 AND 2.

 

       (B) THE KINDERGARTEN ENTRY ASSESSMENT (KEA) SHALL BE ADMINISTERED IN THE FALL

 


OF THE KINDERGARTEN YEAR. THE KEA SHALL INCLUDE THE COMPONENTS UNDER SUBSECTION (4)(A)

 

AND MAY INCLUDE OBSERVATIONAL COMPONENTS THAT MEASURE COGNITIVE, SOCIAL-EMOTIONAL, AND

 

PHYSICAL SKILLS.

 

       (5) This section does not prohibit districts from adopting interim assessments.

 

       (6) The department shall seek a waiver or amendment to an existing waiver for

 

federal approval of the assessment framework under this section and shall notify the

 

United States department of education about the provisions of this section and take

 

necessary steps to assure the United States department of education that this state is

 

on track to develop and implement a summative assessment system as required by federal

 

law.

 

       (6) (7) As used in this section, "English language arts" means that term as

 

defined in section 104b.

 

       Sec. 107. (1) From the appropriation in section 11, there is allocated an

 

amount not to exceed $22,000,000.00 for 2014-2015 2015-2016 for adult education

 

programs authorized under this section. Funds allocated under this section are

 

restricted for adult education programs as authorized under this section only. A

 

recipient of funds under this section shall not use those funds for any other purpose.

 

       (2) To be eligible for funding under this section, a program AN ELIGIBLE ADULT

 

EDUCATION PROVIDER shall employ certificated teachers and qualified administrative

 

staff and shall offer continuing education opportunities for teachers to allow them to

 

maintain certification.

 

       (3) To be eligible to be a participant funded under this section, a person

 

shall be enrolled in an adult basic education program, an adult English as a second

 

language program, a general educational development (G.E.D.) test preparation program,

 

a job- or employment-related program, or a high school completion program, that meets

 

the requirements of this section, and for which instruction is provided, and shall

 

meet either of the following, as applicable:

 


       (a) If the individual has obtained a high school diploma or a general

 

educational development (G.E.D.) certificate, the individual meets 1 of the following:

 

       (i) Is less than 20 years of age on September 1 of the school year and is

 

enrolled in the Michigan career and technical institute.

 

       (I) (ii) Is less than 20 years of age on September 1 of the school year, is not

 

attending an institution of higher education, and is enrolled in a job- or employment-

 

related program through a referral by an employer or by a Michigan workforce agency.

 

       (II) (iii) Is enrolled in an English as a second language program.

 

       (III) (iv) Is enrolled in a high school completion program.

 

       (IV) IS 20 YEARS OF AGE ON SEPTEMBER 1 OF THE SCHOOL YEAR AND ENROLLED IN AN

 

ADULT BASIC EDUCATION PROGRAM AND DETERMINED BY A DEPARTMENT-APPROVED ASSESSMENT, IN A

 

FORM AND MANNER PRESCRIBED BY THE DEPARTMENT, TO BE BELOW NINTH GRADE LEVEL IN READING

 

OR MATHEMATICS, OR BOTH.

 

       (b) If the individual has not obtained a high school diploma or G.E.D.

 

certificate, the individual meets 1 of the following:

 

       (i) Is at least 20 years of age on September 1 of the school year.

 

       (ii) Is at least 16 years of age on September 1 of the school year, has been

 

permanently expelled from school under section 1311(2) or 1311a of the revised school

 

code, MCL 380.1311 and 380.1311a, and has no appropriate alternative education program

 

available through his or her district of residence.

 

       (4) BY APRIL 1 OF EACH FISCAL YEAR, INTERMEDIATE DISTRICTS WITHIN A PROSPERITY

 

REGION MUST DETERMINE WHICH INTERMEDIATE DISTRICT WILL SERVE AS THE REGION’S FISCAL

 

AGENT FOR THE FOLLOWING FISCAL YEAR AND MUST NOTIFY THE DEPARTMENT IN A FORM AND

 

MANNER DETERMINED BY THE DEPARTMENT. THE DEPARTMENT SHALL APPROVE OR DISAPPROVE OF THE

 

PROSPERITY REGION’S SELECTED FISCAL AGENT. From the funds allocated under subsection

 

(1), an amount as determined under this subsection shall be allocated to each

 

intermediate district serving as a fiscal agent for adult education programs in each

 


of the 10 prosperity regions identified by the department. An intermediate district

 

shall not use more than 5% of the funds allocated under this subsection for

 

administration costs for serving as the fiscal agent. The department shall ensure that

 

the funds allocated under this subsection for 2014-2015 will provide services in 2014-

 

2015 to at least the same number of individuals as the number of individuals who were

 

enrolled in programs funded under this section in 2013-2014. For 2014-2015, 67% of the

 

allocation provided to each intermediate district serving as a fiscal agent shall be

 

based on the proportion of total funding formerly received by the adult education

 

providers in that prosperity region in 2013-2014, and 33% shall be allocated based on

 

the factors in subdivisions (a), (b), and (c). For 2015-2016, 33% of the allocation

 

provided to each intermediate district serving as a fiscal agent shall be based upon

 

the proportion of total funding formerly received by the adult education providers in

 

that prosperity region in 2013-2014 and 67% of the allocation shall be based upon the

 

factors in subdivisions (a), (b), and (c). For 2016-2017, 100% of the allocation

 

provided to each intermediate district serving as a fiscal agent shall be based on the

 

factors in subdivisions (a), (b), and (c). The funding factors for this section are as

 

follows:

 

       (a) Sixty percent of this portion of the funding shall be distributed based

 

upon the proportion of the state population of individuals between the ages of 18 and

 

24 that are not high school graduates that resides in each of the prosperity regions,

 

as reported by the most recent 5-year estimates from the American community survey

 

(ACS) from the United States census bureau.

 

       (b) Thirty-five percent of this portion of the funding shall be distributed

 

based upon the proportion of the state population of individuals age 25 or older who

 

are not high school graduates that resides in each of the prosperity regions, as

 

reported by the most recent 5-year estimates from the American community survey (ACS)

 

from the United States census bureau.

 


       (c) Five percent of this portion of the funding shall be distributed based upon

 

the proportion of the state population of individuals age 18 or older who lack basic

 

English language proficiency that resides in each of the prosperity regions, as

 

reported by the most recent 5-year estimates from the American community survey (ACS)

 

from the United States census bureau.

 

       (5) To be an eligible fiscal agent, an intermediate district must agree to do

 

the following in a form and manner determined by the department:

 

       (a) Distribute funds to adult education programs in a prosperity region as

 

described in this section.

 

       (b) Collaborate with education advisory groups THE TALENT DISTRICT CAREER

 

COUNCIL, AN ADVISORY COUNCIL of the workforce development boards, OR ITS SUCCESSOR,

 

located in the prosperity region to develop a regional strategy that aligns adult

 

education programs and services into an efficient and effective delivery system for

 

adult education learners, WITH SPECIAL CONSIDERATION FOR PROVIDING CONTEXTUALIZED

 

LEARNING AND CAREER PATHWAYS.

 

       (c) Collaborate with education advisory groups THE TALENT DISTRICT CAREER

 

COUNCIL, AN ADVISORY COUNCIL of the workforce development boards, OR ITS SUCCESSOR,

 

located in the prosperity region to create a local process and criteria that will

 

identify eligible adult education providers to receive funds allocated under this

 

section based on location, demand for services, PAST PERFORMANCE, QUALITY INDICATORS

 

AS IDENTIFIED BY THE DEPARTMENT, and cost to provide instructional services. All THE

 

FISCAL AGENT WILL DETERMINE ALL local processes, criteria, and provider determinations

 

WHICH must be approved by the department before funds may be distributed to the fiscal

 

agent.

 

       (D) PROVIDE OVERSIGHT TO ITS ADULT EDUCATION PROVIDERS THROUGHOUT THE PROGRAM

 

YEAR TO ENSURE COMPLIANCE WITH SECTION 107 REQUIREMENTS.

 

       (E) (d) Report adult education program and participant data and information as

 


prescribed by the department.

 

       (6) The amount allocated under this section per full-time equated participant

 

shall not exceed $2,850.00 for a 450-hour program. The amount shall be proportionately

 

reduced for a program offering less than 450 hours of instruction.

 

       (7) An adult basic education program or an adult English as a second language

 

program operated on a year-round or school year basis may be funded under this

 

section, subject to all of the following:

 

       (a) The program enrolls adults who are determined by a department-approved

 

assessment, in a form and manner prescribed by the department, to be below ninth grade

 

level in reading or mathematics, or both, or to lack basic English proficiency.

 

       (b) The program tests individuals for eligibility under subdivision (a) before

 

enrollment and upon completion of the program in compliance with the state-approved

 

assessment policy.

 

       (c) A participant in an adult basic education program is eligible for

 

reimbursement until 1 of the following occurs:

 

       (i) The participant's reading and mathematics proficiency are assessed at or

 

above the ninth grade level.

 

       (ii) The participant fails to show progress on 2 successive assessments after

 

having completed at least 450 hours of instruction.

 

       (d) A funding recipient enrolling a participant in an English as a second

 

language program is eligible for funding according to subsection (11) until the

 

participant meets 1 of the following:

 

       (i) The participant is assessed as having attained basic English proficiency as

 

determined by a department-approved assessment.

 

       (ii) The participant fails to show progress on 2 successive department-approved

 

assessments after having completed at least 450 hours of instruction. The department

 

shall provide information to a funding recipient regarding appropriate assessment

 


instruments for this program.

 

       (8) A general educational development (G.E.D.) test preparation program

 

operated on a year-round or school year basis may be funded under this section,

 

subject to all of the following:

 

       (a) The program enrolls adults who do not have a high school diploma.

 

       (b) The program shall administer a pre-test approved by the department before

 

enrolling an individual to determine the individual's literacy levels, shall

 

administer a G.E.D. practice test to determine the individual's potential for success

 

on the G.E.D. test, and shall administer a post-test upon completion of the program in

 

compliance with the state-approved assessment policy.

 

       (c) A funding recipient shall receive funding according to subsection (11) for

 

a participant, and a participant may be enrolled in the program until 1 of the

 

following occurs:

 

       (i) The participant obtains the G.E.D.

 

       (ii) The participant fails to show progress on 2 successive department-approved

 

assessments used to determine readiness to take the G.E.D. test after having completed

 

at least 450 hours of instruction.

 

       (9) A high school completion program operated on a year-round or school year

 

basis may be funded under this section, subject to all of the following:

 

       (a) The program enrolls adults who do not have a high school diploma.

 

       (b) The program tests participants described in subdivision (a) before

 

enrollment and upon completion of the program in compliance with the state-approved

 

assessment policy.

 

       (c) A funding recipient shall receive funding according to subsection (11) for

 

a participant in a course offered under this subsection until 1 of the following

 

occurs:

 

       (i) The participant passes the course and earns a high school diploma.

 


       (ii) The participant fails to earn credit in 2 successive semesters or terms in

 

which the participant is enrolled after having completed at least 900 hours of

 

instruction.

 

       (10) A job- or employment-related adult education program operated on a year-

 

round or school year basis may be funded under this section, subject to all of the

 

following:

 

       (a) The program enrolls adults referred by their employer who are less than 20

 

years of age, have a high school diploma, are determined to be in need of remedial

 

mathematics or communication arts skills and are not attending an institution of

 

higher education.

 

       (b) The program tests participants described in subdivision (a) before

 

enrollment and upon completion of the program in compliance with the department-

 

approved assessment policy.

 

       (c) An individual may be enrolled in this program and the grant recipient shall

 

receive funding according to subsection (11) until 1 of the following occurs:

 

       (i) The individual achieves the requisite skills as determined by department-

 

approved assessment instruments.

 

       (ii) The individual fails to show progress on 2 successive assessments after

 

having completed at least 450 hours of instruction.

 

       (11) A funding recipient shall receive payments under this section in

 

accordance with the following:

 

       (a) Seventy-five percent for enrollment of eligible participants.

 

       (b) Twenty-five percent for participant completion of the adult basic education

 

objectives by achieving an educational gain as determined by the national reporting

 

system levels; for achieving basic English proficiency, AS DETERMINED BY THE

 

DEPARTMENT; for obtaining a G.E.D. or passage of 1 or more individual G.E.D. tests;

 

for attainment of a high school diploma or passage of a course required for a

 


participant to attain a high school diploma; for enrollment in a postsecondary

 

institution, or for entry into or retention of employment, as applicable.

 

       (12) A person who is not eligible to be a participant funded under this section

 

may receive adult education services upon the payment of tuition. In addition, a

 

person who is not eligible to be served in a program under this section due to the

 

program limitations specified in subsection (7), (8), (9), or (10) may continue to

 

receive adult education services in that program upon the payment of tuition. The

 

tuition level shall be determined by the local or intermediate district conducting the

 

program.

 

       (13) An individual who is an inmate in a state correctional facility shall not

 

be counted as a participant under this section.

 

       (14) A funding recipient shall not commingle money received under this section

 

or from another source for adult education purposes with any other funds and shall

 

establish a separate ledger account for funds received under this section. This

 

subsection does not prohibit a district from using general funds of the district to

 

support an adult education or community education program.

 

       (15) A funding recipient receiving funds under this section may establish a

 

sliding scale of tuition rates based upon a participant's family income. A funding

 

recipient may charge a participant tuition to receive adult education services under

 

this section from that sliding scale of tuition rates on a uniform basis. The amount

 

of tuition charged per participant shall not exceed the actual operating cost per

 

participant minus any funds received under this section per participant. A funding

 

recipient may not charge a participant tuition under this section if the participant's

 

income is at or below 200% of the federal poverty guidelines published by the United

 

States department of health and human services.

 

       (16) In order to receive funds under this section, a funding recipient shall

 

furnish to the department, in a form and manner determined by the department, all

 


information needed to administer this program and meet federal reporting requirements;

 

shall allow the department or the department's designee to review all records related

 

to the program for which it receives funds; and shall reimburse the state for all

 

disallowances found in the review, as determined by the department.

 

       (17) All intermediate district participant audits of adult education programs

 

shall be performed pursuant to the adult education participant auditing and accounting

 

manuals published by the department.

 

       (18) As used in this section:

 

       (A) "CAREER PATHWAY" MEANS A COMBINATION OF RIGOROUS AND HIGH-QUALITY

 

EDUCATION, TRAINING, AND OTHER SERVICES THAT COMPLY WITH ALL OF THE FOLLOWING:

 

       (I) ALIGNS WITH THE SKILL NEEDS OF INDUSTRIES IN THE ECONOMY OF THE STATE OR

 

REGIONAL ECONOMY INVOLVED.

 

       (II) PREPARES AN INDIVIDUAL TO BE SUCCESSFUL IN ANY OF A FULL RANGE OF

 

SECONDARY OR POSTSECONDARY EDUCATION OPTIONS, INCLUDING APPRENTICESHIPS REGISTERED

 

UNDER THE ACT OF AUGUST 16, 1937 (COMMONLY KNOWN AS THE ‘‘NATIONAL APPRENTICESHIP

 

ACT’’; 50 STAT. 664, CHAPTER 663; 29 U.S.C. 50 ET SEQ.).

 

       (III) INCLUDES COUNSELING TO SUPPORT AN INDIVIDUAL IN ACHIEVING THE

 

INDIVIDUAL’S EDUCATION AND CAREER GOALS.

 

       (IV) INCLUDES, AS APPROPRIATE, EDUCATION OFFERED CONCURRENTLY WITH AND IN THE

 

SAME CONTEXT AS WORKFORCE PREPARATION ACTIVITIES AND TRAINING FOR A SPECIFIC

 

OCCUPATION OR OCCUPATIONAL CLUSTER.

 

       (V) ORGANIZES EDUCATION, TRAINING, AND OTHER SERVICES TO MEET THE PARTICULAR

 

NEEDS OF AN INDIVIDUAL IN A MANNER THAT ACCELERATES THE EDUCATIONAL AND CAREER

 

ADVANCEMENT OF THE INDIVIDUAL TO THE EXTENT PRACTICABLE.

 

       (VI) ENABLES AN INDIVIDUAL TO ATTAIN A SECONDARY SCHOOL DIPLOMA OR ITS

 

RECOGNIZED EQUIVALENT, AND AT LEAST 1 RECOGNIZED POSTSECONDARY CREDENTIAL.

 

       (VII) HELPS AN INDIVIDUAL ENTER OR ADVANCE WITHIN A SPECIFIC OCCUPATION OR

 


OCCUPATIONAL CLUSTER.

 

       (B) (a) "Department" means the Michigan strategic fund.

 

       (C) (b) "Eligible adult education provider" means a district, intermediate

 

district, a consortium of districts, a consortium of intermediate districts, or a

 

consortium of districts and intermediate districts that is identified as part of the

 

local process described in subsection (5)(c) and approved by the department.

 

       (D) (c) "Participant" means the sum of the number of full-time equated

 

individuals enrolled in and attending a department-approved adult education program

 

under this section, using quarterly participant count days on the schedule described

 

in section 6(7)(b).

 

       Sec. 147. (1) The allocation for 2014-2015 2015-2016 for the public school

 

employees' retirement system pursuant to the public school employees retirement act of

 

1979, 1980 PA 300, MCL 38.1301 to 38.1408, shall be made using the individual

 

projected benefit entry age normal cost method of valuation and risk assumptions

 

adopted by the public school employees retirement board and the department of

 

technology, management, and budget.

 

       (2) The annual level percentage of payroll contribution rates for the 2014-2015

 

2015-2016 fiscal year, as determined by the retirement system, are estimated as

 

follows:

 

       (a) For public school employees who first worked for a public school reporting

 

unit before July 1, 2010 and who are enrolled in the health premium subsidy, the

 

annual level percentage of payroll contribution rate is estimated at 33.41% 36.31%,

 

with 25.78% paid directly by the employer.

 

       (b) For public school employees who first worked for a public school reporting

 

unit on or after July 1, 2010 and who are enrolled in the health premium subsidy, the

 

annual level percentage of payroll contribution rate is estimated at 32.33% 35.09% ,

 

with 24.70% 24.56% paid directly by the employer.

 


       (c) For public school employees who first worked for a public school reporting

 

unit on or after July 1, 2010 and who participate in the personal healthcare fund, the

 

annual level percentage of payroll contribution rate is estimated at 31.82% 34.66%,

 

with 24.19% 24.13% paid directly by the employer.

 

       (d) For public school employees who first worked for a public school reporting

 

unit on or after September 4, 2012, who elect defined contribution, and who

 

participate in the personal healthcare fund, the annual level percentage of payroll

 

contribution rate is estimated at 28.59% 31.49%, with 20.96% paid directly by the

 

employer.

 

       (e) For public school employees who first worked for a public school reporting

 

unit before July 1, 2010, who elect defined contribution, and who are enrolled in the

 

health premium subsidy, the annual level percentage of payroll contribution rate is

 

estimated at 29.10% 31.92%, with 21.47% 21.39% paid directly by the employer.

 

       (f) For public school employees who first worked for a public school reporting

 

unit before July 1, 2010, who elect defined contribution, and who participate in the

 

personal healthcare fund, the annual level percentage of payroll contribution rate is

 

estimated at 28.59% 31.49%, with 20.96% paid directly by the employer.

 

       (g) For public school employees who first worked for a public school reporting

 

unit before July 1, 2010 and who participate in the personal healthcare fund, the

 

annual level percentage of payroll contribution rate is estimated at 32.90% 35.88%,

 

with 25.27% 25.35% paid directly by the employer.

 

       (3) In addition to the employer payments described in subsection (2), the

 

employer shall pay the applicable contributions to the Tier 2 plan, as determined by

 

the public school employees retirement act of 1979, 1980 PA 300, MCL 38.1301 to

 

38.1408.

 

       (4) The contribution rates in subsection (2) reflect an amortization period of

 

24 23 years for 2014-2015 2015-2016. The public school employees' retirement system

 


board shall notify each district and intermediate district by February 28 of each

 

fiscal year of the estimated contribution rate for the next fiscal year.

 

       Sec. 147a. From the appropriation in section 11, there is allocated for 2014-

 

2015 2015-2016 an amount not to exceed $100,000,000.00 for payments to participating

 

districts. A district that receives money under this section shall use that money

 

solely for the purpose of offsetting a portion of the retirement contributions owed by

 

the district for the fiscal year in which it is received. The amount allocated to each

 

participating district under this section shall be based on each participating

 

district's percentage of the total statewide payroll for all participating districts

 

for the immediately preceding fiscal year. As used in this section, "participating

 

district" means a district that is a reporting unit of the Michigan public school

 

employees' retirement system under the public school employees retirement act of 1979,

 

1980 PA 300, MCL 38.1301 to 38.1408, and that reports employees to the Michigan public

 

school employees' retirement system for the applicable fiscal year.

 

       Sec. 147c. (1) From the appropriation in section 11, there is allocated for

 

2014-2015 2015-2016 an amount not to exceed $656,700,000.00 $893,500,000.00 from the

 

state school aid fund, and there is appropriated for 2014-2015 an amount not to exceed

 

$18,000,000.00 from the MPSERS retirement obligation reform reserve fund, for payments

 

to districts, DISTRICT LIBRARIES, and intermediate districts that are participating

 

entities of the Michigan public school employees' retirement system.

 

       (2) For 2014-2015 2015-2016, the amounts allocated under subsection (1) are

 

estimated to provide an average MPSERS rate cap per pupil amount of $441.00 $601.00

 

and are estimated to provide a rate cap per pupil for districts ranging between $4.00

 

and $1,400.00 $2,300.00.

 

       (3) Payments made under this section for 2014-2015 2015-2016 shall be equal to

 

the difference between the unfunded actuarial accrued liability contribution rate as

 

calculated pursuant to section 41 of the public school employees retirement act of

 


1979, 1980 PA 300, MCL 38.1341, as calculated without taking into account the maximum

 

employer rate of 20.96% included in 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% included in section 41 of the public school employees retirement act of 1979,

 

1980 PA 300, MCL 38.1341.

 

       (4) The amount allocated to each participating entity under this section shall

 

be based on each participating entity's proportion of the total covered payroll for

 

the immediately preceding fiscal year for the same type of participating entities. A

 

participating entity that receives funds under this section shall use the funds solely

 

for the purpose of retirement contributions as specified in subsection (5).

 

       (5) Each participating entity receiving funds under this section shall forward

 

an amount equal to the amount allocated under subsection (4) to the retirement system

 

in a form, manner, and time frame determined by the retirement system.

 

       (6) Funds allocated under this section should be considered when comparing a

 

district's growth in total state aid funding from 1 fiscal year to the next.

 

       (7) Not later than October 20, 2014 DECEMBER 20, 2015, the department shall

 

publish and post on its website an estimated MPSERS rate cap per pupil for each

 

district.

 

       (8) As used in this section:

 

       (a) "MPSERS rate cap per pupil" means an amount equal to the quotient of the

 

district's payment under this section divided by the district's pupils in membership.

 

       (b) "Participating entity" means a district, intermediate district, or district

 

library that is a reporting unit of 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, and that reports employees to the Michigan public school

 

employees' retirement system for the applicable 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. 152a. (1) As required by the court in the consolidated cases known as

 

Adair v State of Michigan, Michigan supreme court docket nos. 137424 and 137453, from

 

the state school aid fund money appropriated in section 11 there is allocated for

 

2014-2015 2015-2016 an amount not to exceed $38,000,500.00 to be used solely for the

 

purpose of paying necessary costs related to the state-mandated collection,

 

maintenance, and reporting of data to this state.

 

       (2) From the allocation in subsection (1), the department shall make payments

 

to districts and intermediate districts in an equal amount per pupil based on the

 

total number of pupils in membership in each district and intermediate district. The

 

department shall not make any adjustment to these payments after the final installment

 

payment under section 17b is made.

 

       Sec. 163. (1) Except as provided in the revised school code, the board of a

 

district or intermediate district shall not permit any of the following:

 

       (a) A noncertificated teacher EDUCATOR to teach in an elementary or secondary

 

school or in an adult basic education or high school completion program.

 

       (b) A noncertificated counselor EDUCATOR to provide counseling services to

 

pupils in an elementary or secondary school or in an adult basic education or high

 

school completion program.

 

       (C) A NONCERTIFICATED EDUCATOR TO ADMINISTER INSTRUCTIONAL PROGRAMS IN AN

 

ELEMENTARY OR SECONDARY SCHOOL, OR IN AN ADULT BASIC EDUCATION OR HIGH SCHOOL

 

COMPLETION PROGRAM, UNLESS THAT EDUCATOR IS FULFILLING APPLICABLE CONTINUING EDUCATION

 

REQUIREMENTS.

 


       (2) Except as provided in the revised school code, a district or intermediate

 

district employing teachers or counselors EDUCATORS not legally certificated OR

 

LICENSED shall have deducted the sum equal to the amount paid the teachers or

 

counselors EDUCATORS for the period of noncertificated, NONLICENSED or illegal

 

employment. Each intermediate superintendent shall notify the department of the name

 

of the noncertificated teacher or counselor OR NONLICENSED EDUCATOR, and the district

 

employing that individual and the amount of salary the noncertificated teacher or

 

counselor OR NONLICENSED EDUCATOR was paid within a constituent district.

 

       (3) If a school official is notified by the department that he or she is

 

employing a nonapproved noncertificated teacher or counselor OR NONLICENSED EDUCATOR

 

in violation of this section and knowingly continues to employ that teacher or

 

counselor, the school official is guilty of a misdemeanor, punishable by a fine of

 

$1,500.00 for each incidence. This penalty is in addition to all other financial

 

penalties otherwise specified in this article.

 


 

 

ARTICLE II

 

STATE AID TO COMMUNITY COLLEGES

 

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

 

listed in this section are appropriated for community colleges for the fiscal year

 

ending September 30, 2015, 2016, from the funds indicated in this section. The

 

following is a summary of the appropriations in this section:

 

       (a) The gross appropriation is $364,724,900.00. $393,825,600.00. After

 

deducting total interdepartmental grants and intradepartmental transfers in the amount

 

of $0.00, the adjusted gross appropriation is $364,724,900.00. $393,825,600.00.

 

       (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. $256,714,800.00.

 

       (v) State general fund/general purpose money, $167,110,800.00. $137,110,800.00.

 

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

 

operations is $307,191,300.00, $311,492,000.00, allocated as follows:

 

       (a) The appropriation for Alpena Community College is $5,390,700.00,

 

$5,462,000.00, $5,236,500.00 $5,390,700.00 for operations and $154,200.00 $71,300.00

 

for performance funding.

 

       (b) The appropriation for Bay de Noc Community College is $5,419,500.00,

 

$5,488,300.00, $5,279,300.00 $5,419,500.00 for operations and $140,200.00 $68,800.00

 

for performance funding.

 

       (c) The appropriation for Delta College is $14,498,900.00, $14,706,700.00,

 

$14,063,500.00 $14,498,900.00 for operations and $435,400.00 $207,800.00 for

 


performance funding.

 

       (d) The appropriation for Glen Oaks Community College is $2,516,100.00,

 

$2,553,400.00, $2,441,500.00 $2,516,100.00 for operations and $74,600.00 $37,300.00

 

for performance funding.

 

       (e) The appropriation for Gogebic Community College is $4,451,400.00,

 

$4,506,400.00, $4,330,300.00 $4,451,400.00 for operations and $121,100.00 $55,000.00

 

for performance funding.

 

       (f) The appropriation for Grand Rapids Community College is $17,947,500.00,

 

$18,176,600.00, $17,454,900.00 $17,947,500.00 for operations and $492,600.00

 

$229,100.00 for performance funding.

 

       (g) The appropriation for Henry Ford Community College is $21,623,800.00,

 

$21,876,700.00, $21,060,000.00 $21,623,800.00 for operations and $563,800.00

 

$252,900.00 for performance funding.

 

       (h) The appropriation for Jackson College is $12,087,300.00, $12,242,500.00,

 

$11,758,200.00 $12,087,300.00 for operations and $329,100.00 $155,200.00 for

 

performance funding.

 

       (i) The appropriation for Kalamazoo Valley Community College is $12,503,100.00,

 

$12,694,900.00, $12,122,500.00 $12,503,100.00 for operations and $380,600.00

 

$191,800.00 for performance funding.

 

       (j) The appropriation for Kellogg Community College is $9,813,500.00,

 

$9,947,300.00, $9,522,000.00 $9,813,500.00 for operations and $291,500.00 $133,800.00

 

for performance funding.

 

       (k) The appropriation for Kirtland Community College is $3,167,700.00,

 

$3,224,300.00, $3,055,700.00 $3,167,700.00 for operations and $112,000.00 $56,600.00

 

for performance funding.

 

       (l) The appropriation for Lake Michigan College is $5,342,900.00,

 

$5,414,800.00, $5,178,100.00 $5,342,900.00 for operations and $164,800.00 $71,900.00

 


for performance funding.

 

       (m) The appropriation for Lansing Community College is $30,877,600.00,

 

$31,289,900.00, $30,023,700.00 $30,877,600.00 for operations and $853,900.00

 

$412,300.00 for performance funding.

 

       (n) The appropriation for Macomb Community College is $32,816,600.00,

 

$33,222,400.00, $31,931,200.00 $32,816,600.00 for operations and $885,400.00

 

$405,800.00 for performance funding.

 

       (o) The appropriation for Mid Michigan Community College is $4,682,000.00,

 

$4,761,500.00, $4,517,900.00 $4,682,000.00 for operations and $164,100.00 $79,500.00

 

for performance funding.

 

       (p) The appropriation for Monroe County Community College is $4,492,900.00,

 

$4,565,100.00, $4,342,600.00 $4,492,900.00 for operations and $150,300.00 $72,200.00

 

for performance funding.

 

       (q) The appropriation for Montcalm Community College is $3,226,700.00,

 

$3,281,800.00, $3,121,200.00 $3,226,700.00 for operations and $105,500.00 $55,100.00

 

for performance funding.

 

       (r) The appropriation for C.S. Mott Community College is $15,686,100.00,

 

$15,900,900.00, $15,247,100.00 $15,686,100.00 for operations and $439,000.00

 

$214,800.00 for performance funding.

 

       (s) The appropriation for Muskegon Community College is $8,901,000.00,

 

$9,013,800.00, $8,653,500.00 $8,901,000.00 for operations and $247,500.00 $112,800.00

 

for performance funding.

 

       (t) The appropriation for North Central Michigan College is $3,172,400.00,

 

$3,223,300.00, $3,064,400.00 $3,172,400.00 for operations and $108,000.00 $50,900.00

 

for performance funding.

 

       (u) The appropriation for Northwestern Michigan College is $9,078,800.00,

 

$9,195,100.00, $8,825,300.00 $9,078,800.00 for operations and $253,500.00 $116,300.00

 


for performance funding.

 

       (v) The appropriation for Oakland Community College is $21,123,300.00,

 

$21,430,800.00, $20,483,100.00 $21,123,300.00 for operations and $640,200.00

 

$307,500.00 for performance funding.

 

       (w) The appropriation for St. Clair County Community College is $7,061,600.00,

 

$7,154,600.00, $6,860,100.00 $7,061,600.00 for operations and $201,500.00 $93,000.00

 

for performance funding.

 

       (x) The appropriation for Schoolcraft College is $12,513,700.00,

 

$12,716,100.00, $12,112,200.00 $12,513,700.00 for operations and $401,500.00

 

$202,400.00 for performance funding.

 

       (y) The appropriation for Southwestern Michigan College is $6,576,400.00,

 

$6,653,000.00, $6,404,300.00 $6,576,400.00 for operations and $172,100.00 $76,600.00

 

for performance funding.

 

       (z) The appropriation for Washtenaw Community College is $13,077,300.00,

 

$13,330,000.00, $12,610,800.00 $13,077,300.00 for operations and $466,500.00

 

$252,700.00 for performance funding.

 

       (aa) The appropriation for Wayne County Community College is $16,727,600.00,

 

$17,014,900.00, $16,194,300.00 $16,727,600.00 for operations and $533,300.00

 

$287,300.00 for performance funding.

 

       (bb) The appropriation for West Shore Community College is $2,414,900.00,

 

$2,444,900.00, $2,349,800.00 $2,414,900.00 for operations and $65,100.00 $30,000.00

 

for performance funding.

 

       (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. $230,181,200.00.

 

       (b) State general fund/general purpose money, $111,310,800.00. $81,310,800.00.

 

       (4) From the appropriations described in subsection (1), subject to section

 


207a, the amount appropriated for fiscal year 2014-2015 2015-2016 to offset certain

 

fiscal year 2014-2015 2015-2016 retirement contributions is $1,733,600.00,

 

appropriated from the state school aid fund.

 

       (5) From the appropriations described in subsection (1), subject to section

 

207b, the amount appropriated for payments to community colleges that are

 

participating entities of the retirement system is $69,500,000.00, $17,200,000.00 FROM

 

THE STATE SCHOOL AID FUND AND $52,300,000.00, appropriated from general fund/general

 

purpose money.

 

       (6) From the appropriations described in subsection (1), subject to section

 

207c, the amount appropriated for renaissance zone tax reimbursements is

 

$5,100,000.00, $1,600,000.00 FROM THE STATE SCHOOL AID FUND AND $3,500,000.00,

 

appropriated from general fund/general purpose money.

 

       (7) FROM THE APPROPRIATIONS DESCRIBED IN SUBSECTION (1), SUBJECT TO 1986 PA

 

102, MCL 390.1281 TO 390.1288, THE AMOUNT APPROPRIATED FOR INDEPENDENT PART-TIME

 

STUDENT GRANTS IS $6,000,000.00, APPROPRIATED FROM THE STATE SCHOOL AID FUND.

 

       Sec. 206. The funds appropriated in section 201 are appropriated for community

 

colleges with fiscal years ending June 30, 2015 2016 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, 2014 2015. Each community college

 

shall accrue its July and August 2015 2016 payments to its institutional fiscal year

 

ending June 30, 2015 2016. 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 2013-2014 2014-2015 to the workforce

 

development agency by November 1, 2014 2015, or failed to submit its longitudinal data

 

system data set for school year 2013-2014 2014-2015 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.

 

       Sec. 207a. All of the following apply to the allocation of the FISCAL YEAR

 

2015-2016 appropriations described in section 201(4):

 

       (a) A community college that receives money under section 201(4) shall use that

 

money solely for the purpose of offsetting a portion of the retirement contributions

 

owed by the college for the CURRENT fiscal year ending September 30, 2015.

 

       (b) The amount allocated to each participating community college under section

 

201(4) shall be based on each participating college's PERCENTAGE OF THE total COVERED

 

payroll covered by the retirement system-covered payroll for all COMMUNITY COLLEGES

 

THAT ARE participating colleges for IN THE IMMEDIATELY PRECEDING fiscal year 2013-

 

2014.

 

       Sec. 207b. All of the following apply to the allocation of the FISCAL YEAR

 

2015-2016 appropriations described in section 201(5) for payments to community

 

colleges that are participating entities of the retirement system:

 

       (a) The amount of a payment under section 201(5) 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 section 201(5) 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 subdivision shall use the

 

funds solely for the purpose of retirement contributions under section 201(5).

 


       (c) Each participating college that receives funds under section 201(5) 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.

 

       Sec. 207c. All of the following apply to the allocation of the appropriations

 

described in section 201(6) to community colleges described in section 12(3) of the

 

Michigan renaissance zone act, MCL 125.2692:

 

       (a) The amount allocated to each community college under section 201(6) FOR

 

FISCAL YEAR 2015-2016 shall be based on that community college's proportion of total

 

revenue lost by community colleges in fiscal year 2013-2014 as a result of the

 

exemption of property TAXES LEVIED IN 2015 under the Michigan renaissance zone act.

 

       (b) The appropriations described in section 201(6) 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 DUE TO each eligible community

 

college in fiscal year 2013-2014 under section 12 of the Michigan renaissance zone

 

act, MCL 125.2692.

 

       Sec. 209. (1) Within 30 days after the board of a community college adopts its

 

annual operating budget for the following school fiscal year, or after the board

 

adopts a subsequent revision to that budget, the community college shall make all of

 

the following available through a link on its website homepage:

 

       (a) The annual operating budget and subsequent budget revisions.

 

       (b) A link to the most recent "Activities Classification Structure Data Book

 

and Companion".

 

       (c) General fund revenue and expenditure projections for THE CURRENT fiscal

 

year 2014-2015 and THE NEXT fiscal year 2015-2016.

 

       (d) A listing of all debt service obligations, detailed by project, anticipated

 

fiscal year 2014-2015 payment of each project, and total outstanding debt FOR THE

 


CURRENT FISCAL YEAR.

 

       (e) The estimated cost to the community college resulting from the patient

 

protection and affordable care act, Public Law 111-148, as amended by the health care

 

and education reconciliation act of 2010, Public Law 111-152.

 

       (E) (f) Links to all of the following for the community college:

 

       (i) The current collective bargaining agreement for each bargaining unit.

 

       (ii) Each health care benefits plan, including, but not limited to, medical,

 

dental, vision, disability, long-term care, or any other type of benefits that would

 

constitute health care services, offered to any bargaining unit or employee of the

 

community college.

 

       (iii) Audits and financial reports for the most recent fiscal year for which

 

they are available.

 

       (iv) A copy of the board of trustees resolution regarding compliance with best

 

practices for the local strategic value component described in section 230(2).

 

       (2) For statewide consistency and public visibility, community colleges must

 

use the icon badge provided by the department of technology, management, and budget

 

consistent with the icon badge developed by the department of education for K-12

 

school districts. It must appear on the front of each community college's homepage.

 

The size of the icon may be reduced to 150 x 150 pixels.

 

       (3) The state budget director shall determine whether a community college has

 

complied with this section. The state budget director may withhold a community

 

college's monthly installments described in section 206 until the community college

 

complies with this section. The state budget director shall notify the chairs of the

 

house and senate appropriations subcommittee on community colleges at least 10 days

 

before withholding funds from any community college.

 

       (3) (4) Each community college shall report the following information to the

 

senate and house appropriations subcommittees on community colleges, the senate and

 


house fiscal agencies, and the state budget office by November 15 of each fiscal year

 

and post that information on the internet website required under subsection (1):

 

       (a) Budgeted CURRENT fiscal year 2014-2015 general fund revenue from tuition

 

and fees.

 

       (b) Budgeted CURRENT fiscal year 2014-2015 general fund revenue from state

 

appropriations.

 

       (c) Budgeted CURRENT fiscal year 2014-2015 general fund revenue from property

 

taxes.

 

       (d) Budgeted CURRENT fiscal year 2014-2015 total general fund revenue.

 

       (e) Budgeted CURRENT fiscal year 2014-2015 total general fund expenditures.

 

       (5) By November 15 of each year, a community college shall report the following

 

information to the center for educational performance and information and post the

 

information on its website under the budget transparency icon badge:

 

       (a) Opportunities for earning college credit through the following programs:

 

       (i) State approved career and technical education or a tech prep articulated

 

program of study.

 

       (ii) Direct college credit or concurrent enrollment.

 

       (iii) Dual enrollment.

 

       (iv) An early college/middle college program.

 

       (b) For each program described in subdivision (a) that the community college

 

offers, all of the following information:

 

       (i) The number of high school students participating in the program.

 

       (ii) The number of school districts that participate in the program with the

 

community college.

 

       (iii) Whether a college professor, qualified local school district employee, or

 

other individual teaches the course or courses in the program.

 

       (iv) The total cost to the community college to operate the program.

 


       (v) The cost per credit hour for the course or courses in the program.

 

       (vi) The location where the course or courses in the program are held.

 

       (vii) Instructional resources offered to the program instructors.

 

       (viii) Resources offered to the student in the program.

 

       (ix) Transportation services provided to students in the program.

 

       Sec. 210. (1) Recognizing the critical importance of education in strengthening

 

Michigan's workforce, the legislature encourages each community college IS ENCOURAGED

 

to explore ways of increasing collaboration and cooperation with 4-year universities,

 

particularly in the areas related to training, instruction, and program articulation.

 

       (2) Recognizing the central role of community colleges in responding to local

 

employment needs and challenges, community colleges shall develop and continue efforts

 

to collaborate with local employers and students to identify local employment needs

 

and strategies to meet them.

 

       (3) Community colleges are encouraged to collaborate with each other on

 

innovations to identify and meet local employment needs.

 

       (4) Community colleges are encouraged to work with universities to develop

 

equivalency standards of core college courses and identify equivalent courses offered

 

by postsecondary institutions.

 

       Sec. 213. It is the intent of the legislature that community  (1) COMMUNITY

 

colleges ARE ENCOURAGED TO work with public universities in the state to implement

 

statewide reverse transfer agreements to increase the number of students that are

 

awarded credentials of value upon completion of the necessary credits. These statewide

 

agreements shall enable students who have earned a significant number of credits at a

 

community college and transferred to a baccalaureate-granting institution before

 

completing a degree to transfer the credits earned at the baccalaureate institution

 

back to the community college in order to be awarded a credential of value.

 

       (2) IT IS EXPECTED THAT COMMUNITY COLLEGES SHALL WORK WITH THE MICHIGAN

 


ASSOCIATION OF COLLEGIATE REGISTRARS AND ADMISSIONS OFFICERS AND PUBLIC UNIVERSITIES

 

TO IMPLEMENT THE MICHIGAN TRANSFER AGREEMENT AS RECOMMENDED BY THE FINAL REPORT OF THE

 

COMMITTEE ON THE TRANSFERABILITY OF CORE COLLEGE COURSES.

 

       SEC. 215. IN ORDER TO INCREASE THE NUMBER OF RESIDENTS IN THIS STATE WITH A

 

POSTSECONDARY CREDENTIAL, A COMMUNITY COLLEGE RECEIVING FUNDS FROM THE INDEPENDENT

 

PART-TIME STUDENT GRANTS UNDER SECTION 201 IS ENCOURAGED TO PRIORITIZE THESE FUNDS FOR

 

AID TO STUDENTS WHO HAVE ENROLLED IN AN ACADEMIC PROGRAM AFTER NOT BEING ENROLLED FOR

 

MORE THAN A SEMESTER OR TERM, WHO HAVE PREVIOUSLY EARNED CREDITS IN AN ACADEMIC

 

PROGRAM, AND WHO HAVE NOT YET EARNED A CERTIFICATE OR DEGREE.

 

       Sec. 217. (1) The workforce development agency shall do all of the following:

 

       (a) Establish, maintain, and coordinate the state community college database

 

commonly known as the "activities classification structure" or "ACS" database.

 

       (b) Collect data concerning community colleges and community college programs

 

in this state, including data required by law.

 

       (c) Establish procedures to ensure the validity and reliability of the data and

 

the collection process.

 

       (d) Develop model data collection policies, including, but not limited to,

 

policies that ensure the privacy of any individual student data. Privacy policies

 

shall ensure that student social security numbers are not released to the public for

 

any purpose.

 

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

 

college officials to make informed policy decisions.

 

       (f) Assist community colleges in complying with audits under this section or

 

federal law.

 

       (2) There is created within the workforce development agency the activities

 

classification structure advisory committee. The committee shall provide advice to the

 

director of the workforce development agency regarding the management of the state

 


community college database, including, but not limited to:

 

       (a) Determining what data are necessary to collect and maintain to enable state

 

and community college officials to make informed policy decisions.

 

       (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 accuracy of the

 

data.

 

       (f) Establishing and maintaining policies related to data collection,

 

including, but not limited to, privacy policies related to individual student data.

 

       (g) Ensuring that the data are made available to state policymakers and

 

citizens of this state in the most useful format possible.

 

       (h) Addressing other matters as determined by the director of the workforce

 

development agency or as required by law.

 

       (3) The activities classification structure advisory committee created in

 

subsection (2) shall consist of the following members:

 

       (a) One representative from the house fiscal agency, appointed by the director

 

of the house fiscal agency.

 

       (b) One representative from the senate fiscal agency, appointed by the director

 

of the senate fiscal agency.

 

       (c) One representative from the workforce development agency, appointed by the

 

director of the workforce development agency.

 

       (d) One representative from the state budget office, appointed by the state

 

budget director.

 


       (e) One representative from the governor's policy office, appointed by that

 

office.

 

       (f) Four representatives of the Michigan community colleges association,

 

appointed by the president of the association. From the groupings of community

 

colleges given in table 17 of the activities classification structure report DATABASE

 

described in subsection (4), (1), the association shall appoint 1 representative each

 

from group 1, group 2, and group 3, and 1 representative from either group 3 or 4.

 

       (4) The activities classification structure advisory committee shall review the

 

existing activities classification structure report, data, definitions, processes, and

 

other items as needed and publish an initial report on their findings and

 

recommendations by July 30, 2015. This report shall be submitted to the senate and

 

house appropriations subcommittees on community colleges, the senate and house fiscal

 

agencies, the director of the workforce development agency, the state budget director,

 

and the Michigan community colleges association.

 

       Sec. 222. Each community college shall have an annual audit of all income and

 

expenditures performed by an independent auditor and shall furnish the independent

 

auditor's management letter and an annual audited accounting of all general and

 

current funds income and expenditures including audits of college foundations to the

 

members of the senate and house appropriations subcommittees on community colleges,

 

the senate and house fiscal agencies, the auditor general, the workforce development

 

agency, and the state budget director before November 15 of each year. If a community

 

college fails to furnish the audit materials, the monthly state aid installments shall

 

be withheld from that college until the information is submitted. All reporting shall

 

conform to the requirements set forth in the "2001 Manual for Uniform Financial

 

Reporting, Michigan Public Community Colleges". It is the intent of the legislature

 

that a A community college shall make the information the community college is

 

required to provide under this section available to the public on its internet

 


website.

 

       Sec. 225. Each community college shall report to the house and senate fiscal

 

agencies, the state budget director, and the workforce development agency by August

 

31, 2014 2015, the tuition and mandatory fees paid by a full-time in-district student

 

and a full-time out-of-district student as established by the college governing board

 

for the 2014-2015 2015-2016 academic year. This report should also include the annual

 

cost of attendance based on a full-time course load of 30 credits. Each community

 

college shall also report any revisions to the reported 2014-2015 2015-2016 academic

 

year tuition and mandatory fees adopted by the college governing board to the house

 

and senate fiscal agencies, the state budget director, and the workforce development

 

agency within 15 days of being adopted.

 

       Sec. 226. Each community college shall report to the workforce development

 

agency the numbers and type of associate degrees and other certificates awarded during

 

the previous fiscal year. The report shall be made not later than November 15 of each

 

year. COMMUNITY COLLEGES SHALL WORK WITH THE WORKFORCE DEVELOPMENT AGENCY AND THE

 

CENTER FOR EDUCATIONAL PERFORMANCE AND INFORMATION TO DEVELOP A SYSTEMATIC APPROACH

 

FOR ACCOMPLISHING THIS TASK.

 

       Sec. 229. (1) It is the intent of the legislature EXPECTED that each community

 

college that receives an appropriation in section 201 include in its admission

 

application process a specific question as to whether an applicant for admission has

 

ever served or is currently serving in the United States armed forces or is the spouse

 

or dependent of an individual who has served or is currently serving in the United

 

States armed forces, in order to more quickly identify potential educational

 

assistance available to that applicant.

 

       (2) It is the intent of the legislature EXPECTED that each public community

 

college that receives an appropriation in section 201 shall work with the house and

 

senate community college subcommittees, the Michigan community college association,

 


and veterans groups to review the issue of in-district tuition for veterans of this

 

state when determining tuition rates and fees.

 

       (3) As used in this section, "veteran" means an honorably discharged veteran

 

entitled to educational assistance under the provisions of section 5003 of the post-

 

911 veterans educational assistance act of 2008, 38 USC 3301 to 3324.

 

       Sec. 229a. Included in the fiscal year 2014-2015 2015-2016 appropriations for

 

the department of technology, management, and budget are appropriations TOTALING

 

$29,479,600.00 to provide funding for the state share of costs for previously

 

constructed capital projects for community colleges. Those appropriations for state

 

building authority rent represent additional state general fund support for community

 

colleges, and the following is an estimate of the amount of that support to each

 

community college:

 

       (a) Alpena Community College, $485,400.00. $652,700.00.

 

       (b) Bay de Noc Community College, $636,600.00. $685,900.00.

 

       (c) Delta College, $2,842,800.00. $3,510,900.00.

 

       (d) Glen Oaks Community College, $123,300.00. $123,100.00.

 

       (e) Gogebic Community College, $16,900.00. $67,600.00.

 

       (f) Grand Rapids Community College, $1,792,400.00. $2,126,000.00.

 

       (g) Henry Ford Community College, $1,030,800.00. $1,028,500.00.

 

       (h) Jackson College, $1,787,300.00. $1,677,800.00.

 

       (i) Kalamazoo Valley Community College, $1,471,000.00. $1,557,700.00.

 

       (j) Kellogg Community College, $521,400.00. $520,200.00.

 

       (k) Kirtland Community College, $364,000.00. $363,200.00.

 

       (l) Lake Michigan College, $340,900.00. $340,200.00.

 

       (m) Lansing Community College, $610,100.00. $1,282,200.00.

 

       (n) Macomb Community College, $1,316,600.00. $1,377,400.00.

 

       (o) Mid Michigan Community College, $1,117,300.00. $1,712,600.00.

 


       (p) Monroe County Community College, $1,266,500.00. $1,263,600.00.

 

       (q) Montcalm Community College, $973,700.00. $971,500.00.

 

       (r) C.S. Mott Community College, $1,808,000.00. $1,803,900.00.

 

       (s) Muskegon Community College, $198,500.00. $267,800.00.

 

       (t) North Central Michigan College, $117,600.00. $469,400.00.

 

       (u) Northwestern Michigan College, $1,308,600.00. $1,305,600.00.

 

       (v) Oakland Community College, $466,300.00. $465,200.00.

 

       (w) St. Clair County Community College, $357,000.00. $356,200.00.

 

       (x) Schoolcraft College, $1,550,300.00. $1,546,700.00.

 

       (y) Southwestern Michigan College, $231,100.00. $286,900.00.

 

       (z) Washtenaw Community College, $1,680,600.00. $1,676,800.00.

 

       (aa) Wayne County Community College, $1,466,000.00. $1,462,700.00.

 

       (bb) West Shore Community College, $578,600.00. $577,300.00.

 

       Sec. 230. (1) Money included in the appropriations for community college

 

operations under section 201(2) in fiscal year 2014-2015 2015-2016 for performance

 

funding is distributed based on the following formula:

 

       (a) Allocated proportionate to fiscal year 2013-2014 2014-2015 base

 

appropriations, 50%.

 

       (b) Based on contact hour equated students, 10%.

 

       (c) Based on administrative costs, 7.5%.

 

       (d) Based on a weighted degree formula, as provided for in the 2006

 

recommendations of the performance indicators task force, 17.5%. 32.5%.

 

       (e) Based on the local strategic value component, as developed in cooperation

 

with the Michigan community college association and described in subsection (2), 15%.

 

       (2) Money included in the appropriations for community college operations under

 

section 201(2) for local strategic value shall be allocated to each community college

 

that certifies to the state budget director, through a board of trustees resolution on

 


or before October 15, 2014, that the college has met 4 out of 5 best practices listed

 

in each category described in subsection (3). The resolution shall provide specifics

 

as to how the community college meets each best practice measure within each category.

 

One-third of funding available under the strategic value component shall be allocated

 

to each category described in subsection (3). Amounts distributed under local

 

strategic value shall be on a proportionate basis to each college's fiscal year 2013-

 

2014 operations funding. Payments to community colleges that qualify for local

 

strategic value funding shall be distributed with the November installment payment

 

described in section 206.

 

       (3) For purposes of subsection (2), the following categories of best practices

 

reflect functional activities of community colleges that have strategic value to the

 

local communities and regional economies:

 

       (a) For Category A, economic development and business or industry partnerships,

 

the following:

 

       (i) The community college has active partnerships with local employers

 

including hospitals and health care providers.

 

       (ii) The community college provides customized on-site training for area

 

companies, employees, or both.

 

       (iii) The community college supports entrepreneurship through a small business

 

assistance center or other training or consulting activities targeted toward small

 

businesses.

 

       (iv) The community college supports technological advancement through industry

 

partnerships, incubation activities, or operation of a Michigan technical education

 

center or other advanced technology center.

 

       (v) The community college has active partnerships with local or regional

 

workforce and economic development agencies.

 

       (b) For Category B, educational partnerships, the following:

 


       (i) The community college has active partnerships with regional high schools,

 

intermediate school districts, and career-tech centers to provide instruction through

 

dual enrollment, concurrent enrollment, direct credit, middle college, or academy

 

programs.

 

       (ii) The community college hosts, sponsors, or participates in enrichment

 

programs for area K-12 students, such as college days, summer or after-school

 

programming, or science Olympiad.

 

       (iii) The community college provides, supports, or participates in programming

 

to promote successful transitions to college for traditional age students, including

 

grant programs such as talent search, upward bound, or other activities to promote

 

college readiness in area high schools and community centers.

 

       (iv) The community college provides, supports, or participates in programming

 

to promote successful transitions to college for new or reentering adult students,

 

such as adult basic education, general education development certificate preparation

 

and testing, or recruiting, advising, or orientation activities specific to adults.

 

       (v) The community college has active partnerships with regional 4-year colleges

 

and universities to promote successful transfer, such as articulation, 2+2, or reverse

 

transfer agreements or operation of a university center.

 

       (c) For Category C, community services, the following:

 

       (i) The community college provides continuing education programming for

 

leisure, wellness, personal enrichment, or professional development.

 

       (ii) The community college operates or sponsors opportunities for community

 

members to engage in activities that promote leisure, wellness, cultural or personal

 

enrichment such as community sports teams, theater or musical ensembles, or artist

 

guilds.

 

       (iii) The community college operates public facilities to promote cultural,

 

educational, or personal enrichment for community members, such as libraries, computer

 


labs, performing arts centers, museums, art galleries, or television or radio

 

stations.

 

       (iv) The community college operates public facilities to promote leisure or

 

wellness activities for community members, including gymnasiums, athletic fields,

 

tennis courts, fitness centers, hiking or biking trails, or natural areas.

 

       (v) The community college promotes, sponsors, or hosts community service

 

activities for students, staff, or community members.

 

       (2) PAYMENTS FOR PERFORMANCE FUNDING UNDER SECTION 201(2) SHALL BE MADE TO A

 

COMMUNITY COLLEGE ONLY IF THAT COMMUNITY COLLEGE ACTIVELY PARTICIPATES IN AND SUBMITS

 

TIMELY UPDATES TO THE MICHIGAN TRANSFER NETWORK SPONSORED BY THE MICHIGAN ASSOCIATION

 

OF COLLEGIATE REGISTRARS AND ADMISSIONS OFFICERS. THE STATE BUDGET DIRECTOR SHALL

 

DETERMINE IF A COMMUNITY COLLEGE HAS NOT SATISFIED THIS REQUIREMENT. THE STATE BUDGET

 

DIRECTOR MAY WITHHOLD PAYMENTS FOR PERFORMANCE FUNDING UNTIL A COMMUNITY COLLEGE IS IN

 

COMPLIANCE WITH THIS SECTION.


 

 

ARTICLE III

 

STATE AID FOR UNIVERSITIES AND STUDENT FINANCIAL AID

 

       Sec. 236. (1) Subject to the conditions set forth in this article, the amounts

 

listed in this section are appropriated for higher education for the fiscal year

 

ending September 30, 2015, 2016, from the funds indicated in this section. The

 

following is a summary of the appropriations in this section:

 

       (a) The gross appropriation is $1,516,496,300.00. $1,541,219,200.00. After

 

deducting total interdepartmental grants and intradepartmental transfers in the amount

 

of $0.00, the adjusted gross appropriation is $1,516,496,300.00. $1,541,219,200.00.

 

       (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, $204,567,900.00. $205,279,500.00.

 

       (v) State general fund/general purpose money, $1,214,902,000.00.

 

$1,238,913,300.00.

 

       (2) Amounts appropriated for public universities are as follows:

 

       (a) The appropriation for Central Michigan University is $79,115,000.00,

 

$73,540,100.00 $81,502,900.00, $79,164,800.00 for operations and $5,574,900.00

 

$2,338,100.00 for performance funding.

 

       (b) The appropriation for Eastern Michigan University is $71,771,100.00,

 

$67,275,400.00 $73,196,700.00, $71,782,500.00 for operations and $4,495,700.00

 

$1,414,200.00 for performance funding.

 

       (c) The appropriation for Ferris State University is $49,087,000.00,

 

$45,636,500.00 $50,606,700.00, $49,119,100.00 for operations and $3,450,500.00

 


$1,487,600.00 for performance funding.

 

       (d) The appropriation for Grand Valley State University is $63,136,000.00,

 

$57,823,500.00 $65,680,200.00, $63,156,500.00 for operations and $5,312,500.00

 

$2,523,700.00 for performance funding.

 

       (e) The appropriation for Lake Superior State University is $12,782,500.00,

 

$12,231,000.00 $13,247,300.00, $12,997,500.00 for operations and $551,500.00

 

$249,800.00 for performance funding.

 

       (f) The appropriation for Michigan State University is $324,038,100.00,

 

$249,597,800.00 $330,391,700.00, $264,437,900.00 for operations, $14,831,300.00

 

$5,152,600.00 for performance funding, $32,027,900.00 $32,668,500.00 for MSU

 

AgBioResearch, and $27,581,100.00 $28,132,700.00 for MSU extension.

 

       (g) The appropriation for Michigan Technological University is $45,923,100.00,

 

$43,473,800.00 $46,908,000.00, $45,938,000.00 for operations and $2,449,300.00

 

$970,000.00 for performance funding.

 

       (h) The appropriation for Northern Michigan University is $44,277,200.00,

 

$41,741,400.00 $45,254,400.00, $44,338,300.00 for operations and $2,535,800.00

 

$916,100.00 for performance funding.

 

       (i) The appropriation for Oakland University is $48,364,100.00, $45,651,600.00

 

$50,021,000.00, $48,371,900.00 for operations and $2,712,500.00 $1,649,100.00 for

 

performance funding.

 

       (j) The appropriation for Saginaw Valley State University is $27,610,200.00,

 

$25,991,000.00 $28,120,400.00, $27,621,600.00 for operations and $1,619,200.00

 

$498,800.00 for performance funding.

 

       (k) The appropriation for University of Michigan – Ann Arbor is

 

$295,174,100.00, $279,232,700.00 $300,874,900.00, $295,178,500.00 for operations and

 

$15,941,400.00 $5,696,400.00 for performance funding.

 

       (l) The appropriation for University of Michigan – Dearborn is $23,689,300.00,

 


$22,510,400.00 $24,095,700.00, $23,701,000.00 for operations and $1,178,900.00

 

$394,700.00 for performance funding.

 

       (m) The appropriation for University of Michigan – Flint is $21,337,700.00,

 

$19,938,200.00 $21,901,700.00, $21,359,600.00 for operations and $1,399,500.00

 

$542,100.00 for performance funding.

 

       (n) The appropriation for Wayne State University is $190,519,800.00,

 

$183,398,300.00 $191,623,200.00, $190,529,900.00 for operations and $7,121,500.00

 

$1,093,300.00 for performance funding.

 

       (o) The appropriation for Western Michigan University is $102,742,000.00,

 

$97,279,000.00 $104,633,700.00, $102,761,100.00 for operations and $5,463,000.00

 

$1,872,600.00 for performance funding.

 

       (3) The amount appropriated in subsection (2) for public universities is

 

appropriated from the following:

 

       (a) State school aid fund, $200,019,500.00.

 

       (b) State general fund/general purpose money, $1,199,547,700.00.

 

$1,228,039,000.00.

 

       (4) The amount appropriated for Michigan public school employees' retirement

 

system reimbursement is $2,446,200.00, $446,200.00 $5,160,000.00, appropriated from

 

the state school aid fund and $2,000,000.00 appropriated from general fund/general

 

purpose money.

 

       (5) For fiscal year 2014-2015 only, in addition to the amount appropriated

 

under subsection (4), $4,002,200.00 is appropriated for Michigan public school

 

employees' retirement system reimbursement, appropriated from the state school aid

 

fund.

 

       (5) (6) The amount appropriated for state and regional programs is

 

$2,295,000.00 $315,000.00 appropriated from general fund/general purpose money and

 

allocated as follows:

 


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

 

       (A) (b) Higher education database modernization and conversion, $200,000.00.

 

       (B) (c) Midwestern higher education compact, $95,000.00. $115,000.00.

 

       (6) (7) 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.

 

       (7) (8) Subject to subsection (9), (8), the amount appropriated for grants and

 

financial aid is $105,494,200.00, $104,994,200.00, allocated as follows:

 

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

 

       (b) Tuition grants, $33,532,500.00.

 

       (c) Tuition incentive program, $48,500,000.00.

 

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

 

$1,400,000.00.

 

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

 

       (f) North American Indian tuition waivers, $500,000.00.

 

       (8) (9) The money appropriated in subsection (8) (7) 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, $8,367,800.00. $7,867,800.00.

 

       Sec. 236b. In addition to the funds appropriated in section 236, there is

 


appropriated for grants and financial aid in fiscal year 2014-2015 2015-2016 an amount

 

not to exceed $6,000,000.00 for federal contingency funds. These funds are not

 

available for expenditure until they have been transferred under section 393(2) of the

 

management and budget act, 1984 PA 431, MCL 18.1393, for another purpose under this

 

article.

 

       Sec. 236c. In addition to the funds appropriated for fiscal year 2014-2015

 

2015-2016 in section 236, appropriations to the department of technology, management,

 

and budget in the act providing general appropriations for fiscal year 2014-2015 2015-

 

2016 for state building authority rent, totaling an estimated $124,825,300.00,

 

$135,995,300.00, provide funding for the state share of costs for previously

 

constructed capital projects for state universities. These appropriations for state

 

building authority rent represent additional state general fund support provided to

 

public universities, and the following is an estimate of the amount of that support to

 

each university:

 

       (a) Central Michigan University, $9,103,200.00. $9,551,800.00.

 

       (b) Eastern Michigan University, $4,861,700.00. $4,860,900.00.

 

       (c) Ferris State University, $6,252,200.00. $6,251,200.00.

 

       (d) Grand Valley State University, $4,252,500.00. $6,952,300.00.

 

       (e) Lake Superior State University, $1,112,900.00. $1,720,300.00.

 

       (f) Michigan State University, $16,101,200.00. $16,549,200.00.

 

       (g) Michigan Technological University, $7,444,600.00. $7,443,400.00.

 

       (h) Northern Michigan University, $8,016,400.00. $9,706,200.00.

 

       (i) Oakland University, $10,969,800.00. $12,993,400.00.

 

       (j) Saginaw Valley State University, $9,777,400.00. $9,865,800.00.

 

       (k) University of Michigan - Ann Arbor, $9,159,200.00. $9,607,800.00.

 

       (l) University of Michigan - Dearborn, $6,296,200.00. $6,745,200.00.

 

       (m) University of Michigan - Flint, $2,855,000.00. $3,104,000.00.

 


       (n) Wayne State University, $13,679,800.00. $15,703,000.00.

 

       (o) Western Michigan University, $14,943,200.00. $14,940,800.00.

 

       Sec. 241. (1) Subject to section SECTIONS 244 AND 265a, the funds appropriated

 

in section 236 to public universities shall be paid out of the state treasury and

 

distributed by the state treasurer to the respective institutions in 11 equal monthly

 

installments on the sixteenth of each month, or the next succeeding business day,

 

beginning with October 16, 2014 2015. Except for Wayne State University, each

 

institution shall accrue its July and August 2015 2016 payments to its institutional

 

fiscal year ending June 30, 2015 2016.

 

       (2) All public universities shall submit higher education institutional data

 

inventory (HEIDI) data and associated financial and program information requested by

 

and in a manner prescribed by the state budget director. For public universities with

 

fiscal years ending June 30, 2014 2015, these data shall be submitted to the state

 

budget director by October 15, 2014 2015. Public universities with a fiscal year

 

ending September 30, 2014 2015 shall submit preliminary HEIDI data by November 15,

 

2014 2015 and final data by December 15, 2014 2015. If a public university fails to

 

submit HEIDI data and associated financial aid program information in accordance with

 

this reporting schedule, the state treasurer may withhold the monthly installments

 

under subsection (1) to the public university until those data are submitted.

 

       Sec. 242. Funds received by the state from the federal government or private

 

sources for the use of a college or university are appropriated for the purposes for

 

which they are provided. The acceptance and use of federal or private funds do not

 

place an obligation on the legislature to continue the purposes for which the funds

 

are made available.

 

       Sec. 245. (1) A public university shall maintain a public transparency website

 

available through a link on its website homepage. The public university shall update

 

this website within 30 days after the university's governing board adopts its annual

 


operating budget for the next academic year, or after the governing board adopts a

 

subsequent revision to that budget.

 

       (2) The website required under subsection (1) shall include all of the

 

following concerning the public university:

 

       (a) The annual operating budget and subsequent budget revisions.

 

       (b) A summary of current expenditures for the most recent fiscal year for which

 

they are available, expressed as pie charts in the following 2 categories:

 

       (i) A chart of personnel expenditures, broken into the following subcategories:

 

       (A) Earnings and wages.

 

       (B) Employee benefit costs, including, but not limited to, medical, dental,

 

vision, life, disability, and long-term care benefits.

 

       (C) Retirement benefit costs.

 

       (D) All other personnel costs.

 

       (ii) A chart of all current expenditures the public university reported as part

 

of its higher education institutional data inventory data under section 241(2), broken

 

into the same subcategories in which it reported those data.

 

       (c) Links to all of the following for the public university:

 

       (i) The current collective bargaining agreement for each bargaining unit.

 

       (ii) Each health care benefits plan, including, but not limited to, medical,

 

dental, vision, disability, long-term care, or any other type of benefits that would

 

constitute health care services, offered to any bargaining unit or employee of the

 

public university.

 

       (iii) Audits and financial reports for the most recent fiscal year for which

 

they are available.

 

       (iv) Campus security policies and crime statistics pursuant to the student

 

right-to-know and campus security act, Public Law 101-542, 104 Stat. 2381. Information

 

shall include all material prepared pursuant to the public information reporting

 


requirements under the crime awareness and campus security act of 1990, title II of

 

the student right-to-know and campus security act, Public Law 101-542, 104 Stat. 2381.

 

       (d) A list of all positions funded partially or wholly through institutional

 

general fund revenue that includes the position title and annual salary or wage amount

 

for each position.

 

       (e) General fund revenue and expenditure projections for the current fiscal

 

year and the next fiscal year.

 

       (f) A listing of all debt service obligations, detailed by project, anticipated

 

fiscal year payment for each project, and total outstanding debt for the current

 

fiscal year.

 

       (g) The institution's policy regarding the transferability of core college

 

courses between community colleges and the university.

 

       (h) A listing of all community colleges that have entered into reverse transfer

 

agreements with the university.

 

       (3) On the website required under subsection (1), a public university shall

 

provide a dashboard or report card demonstrating the university's performance in

 

several "best practice" measures. The dashboard or report card shall include at least

 

all of the following for the 3 most recent academic years for which the data are

 

available:

 

       (a) Enrollment.

 

       (b) Student retention rate.

 

       (c) Six-year graduation rates.

 

       (d) Number of Pell grant recipients and graduating Pell grant recipients.

 

       (e) Geographic origination of students, categorized as in-state, out-of-state,

 

and international.

 

       (f) Faculty to student ratios and total university employee to student ratios.

 

       (g) Teaching load by faculty classification.

 


       (h) Graduation outcome rates, including employment and continuing education.

 

       (4) For statewide consistency and public visibility, public universities must

 

use the icon badge provided by the department of technology, management, and budget

 

consistent with the icon badge developed by the department of education for K-12

 

school districts. It must appear on the front of each public university's homepage.

 

The size of the icon may be reduced to 150 x 150 pixels. The font size and style for

 

this reporting must be consistent with other documents on each university's website.

 

       (5) The state budget director shall determine whether a public university has

 

complied with this section. The state budget director may withhold a public

 

university's monthly installments described in section 241 until the public university

 

complies with this section.

 

       (6) By November 15 of each year, a public university shall report the following

 

information to the center for educational performance and information and post the

 

information on its website under the budget transparency icon badge:

 

       (a) Opportunities for earning college credit through the following programs:

 

       (i) State approved career and technical education or a tech prep articulated

 

program of study.

 

       (ii) Direct college credit or concurrent enrollment.

 

       (iii) Dual enrollment.

 

       (iv) An early college/middle college program.

 

       (b) For each program described in subdivision (a) that the public university

 

offers, all of the following information:

 

       (i) The number of high school students participating in the program.

 

       (ii) The number of school districts that participate in the program with the

 

public university.

 

       (iii) Whether a university professor, qualified local school district employee,

 

or other individual teaches the course or courses in the program.

 


       (iv) The total cost to the public university to operate the program.

 

       (v) The cost per credit hour for the course or courses in the program.

 

       (vi) The location where the course or courses in the program are held.

 

       (vii) Instructional resources offered to the program instructors.

 

       (viii) Resources offered to the student in the program.

 

       (ix) Transportation services provided to students in the program.

 

       Sec. 246. (1) ALL OF THE FOLLOWING APPLY TO THE ALLOCATION OF THE FISCAL YEAR

 

2015-2016 APPROPRIATIONS DESCRIBED IN SECTION 236(4) FOR PAYMENTS TO UNIVERSITIES THAT

 

ARE PARTICIPATING ENTITIES OF THE MICHIGAN PUBLIC SCHOOL EMPLOYEES RETIREMENT SYSTEM:

 

       (A) The funds appropriated in section 236(4) for Michigan public school

 

employees' retirement system reimbursement shall be allocated to each participating

 

public university under this section based on each participating public university's

 

percentage of the total combined payrolls of the universities' employees who are

 

members of the retirement system and who were hired before January 1, 1996 and the

 

universities' employees who would have been members of the retirement system on or

 

after January 1, 1996, but for the enactment of 1995 PA 272 for all public

 

universities that are participating public universities for the immediately preceding

 

state fiscal year.

 

       (B) THE AMOUNT OF A PAYMENT UNDER SECTION 236(4) SHALL BE EQUAL TO THE

 

DIFFERENCE BETWEEN THE UNFUNDED ACTUARIAL ACCRUED LIABILITY CONTRIBUTION RATE FOR

 

UNIVERSITY REPORTING UNITS AS CALCULATED UNDER SECTION 41 OF THE PUBLIC SCHOOL

 

EMPLOYEES RETIREMENT ACT OF 1979, 1980 PA 300, MCL 38.1341, AS CALCULATED WITHOUT

 

TAKING INTO ACCOUNT THE MAXIMUM EMPLOYER RATE OF 25.73% INCLUDED IN SECTION 41 OF THE

 

PUBLIC SCHOOL EMPLOYEES RETIREMENT ACT OF 1979, 1980 PA 300, MCL 38.1341, AND THE

 

MAXIMUM EMPLOYER RATE FOR UNIVERSITY REPORTING UNITS OF 25.73% UNDER SECTION 41 OF THE

 

PUBLIC SCHOOL EMPLOYEES RETIREMENT ACT OF 1979, 1980 PA 300, MCL 38.1341. Payments

 

shall be made in a form and manner determined by the office of retirement services.

 


       (C) A public university that receives money under this section 236(4) shall use

 

that money solely for the purpose of offsetting a portion of the retirement

 

contributions owed by the university. EACH PARTICIPATING UNIVERSITY THAT RECEIVES

 

FUNDS UNDER SECTION 236(4) SHALL FORWARD AN AMOUNT EQUAL TO THE AMOUNT RECEIVED UNDER

 

SECTION 236(4) TO THE MICHIGAN PUBLIC SCHOOL EMPLOYEES RETIREMENT SYSTEM IN A FORM AND

 

MANNER DETERMINED BY THE OFFICE OF RETIREMENT SERVICES.

 

       (2) As used in this section, "participating public university" means a public

 

university that is a reporting unit of the Michigan public school employees'

 

retirement system under the public school employees retirement act of 1979, 1980 PA

 

300, MCL 38.1301 to 38.1408, and that pays contributions to the Michigan public school

 

employees' retirement system for the state fiscal year.

 

       Sec. 252. (1) The amounts appropriated in section 236 for the state tuition

 

grant program shall be distributed pursuant to 1966 PA 313, MCL 390.991 to 390.997a.

 

       (2) Tuition grant awards shall be made to all eligible Michigan residents

 

enrolled in undergraduate degree programs who are qualified and who apply before July

 

1, 2014 FOR THE 2014-2015 ACADEMIC YEAR AND MARCH 1 of each year for the next

 

THEREAFTER BEGINNING WITH THE 2015-2016 academic year.

 

       (3) Pursuant to section 5 of 1966 PA 313, MCL 390.995, and subject to

 

subsections (7) (6) and (8), (7), the department of treasury shall determine an actual

 

maximum tuition grant award per student, which shall be no less than $1,512.00, that

 

ensures that the aggregate payments for the tuition grant program do not exceed the

 

appropriation contained in section 236 for the state tuition grant program. If the

 

department determines that insufficient funds are available to establish a maximum

 

award amount equal to at least $1,512.00, the department shall immediately report to

 

the house and senate appropriations subcommittees on higher education, the house and

 

senate fiscal agencies, and the state budget director regarding the estimated amount

 

of additional funds necessary to establish a $1,512.00 maximum award amount. If the

 


department determines that sufficient funds are available to establish a maximum award

 

amount equal to at least $1,512.00, the department shall immediately report to the

 

house and senate appropriations subcommittees on higher education, the house and

 

senate fiscal agencies, and the state budget director regarding the maximum award

 

amount established. and the projected amount of any projected year-end appropriation

 

balance based on that maximum award amount. By December 15, and again by BY February

 

18 of each fiscal year, the department shall analyze the status of award commitments,

 

shall make any necessary adjustments, and shall confirm that those award commitments

 

will not exceed the appropriation contained in section 236 for the tuition grant

 

program. The determination and actions shall be reported to the state budget director

 

and the house and senate fiscal agencies no later than the final day of February of

 

each year. If award adjustments are necessary, the students shall be notified of the

 

adjustment by March 4 of each year.

 

       (4) Any unexpended and unencumbered funds remaining on September 30, 2015 from

 

the amounts appropriated in section 236 for the tuition grant program for fiscal year

 

2014-2015 shall not lapse on September 30, 2015, but shall continue to be available

 

for expenditure for tuition grants provided in the 2015-2016 fiscal year under a work

 

project account. The use of these unexpended fiscal year 2014-2015 funds shall

 

terminate at the end of the 2015-2016 fiscal year.

 

       (4) (5) The department of treasury shall continue a proportional tuition grant

 

maximum award level for recipients enrolled less than full-time in a given semester or

 

term.

 

       (5) (6) If the department of treasury increases the maximum award per eligible

 

student from that provided in the previous fiscal year, it shall not have the effect

 

of reducing the number of eligible students receiving awards in relation to the total

 

number of eligible applicants. Any increase in the maximum grant shall be proportional

 

for all eligible students receiving awards for that fiscal year.

 


       (6) (7) Except as provided in subsection (4), the THE department of treasury

 

shall not award more than $3,200,000.00 $3,000,000.00 in tuition grants to eligible

 

students enrolled in the same independent nonprofit college or university in this

 

state. Any decrease in the maximum grant shall be proportional for all eligible

 

students enrolled in that college or university, as determined by the department.

 

       (7) (8) The department of treasury shall not award tuition grants to otherwise

 

eligible students enrolled in an independent college or university that does not

 

report, in a form and manner directed by and satisfactory to the department of

 

treasury, by August 31 SEPTEMBER 30 of each year, beginning with August 31, 2015, all

 

of the following:

 

       (a) The number of students in the most recently completed academic year that

 

EVER received a state tuition grant AT THE REPORTING INSTITUTION and successfully

 

completed a program or graduated.

 

       (b) The number of students in the most recently completed academic year that

 

EVER received a state tuition grant AT THE REPORTING INSTITUTION and took a remedial

 

education class.

 

       (c) The number of students in the most recently completed academic year that

 

EVER received a Pell grant AT THE REPORTING INSTITUTION and successfully completed a

 

program or graduated.

 

       (8) THE DEPARTMENT OF TREASURY SHALL NOT AWARD TUITION GRANTS TO OTHERWISE

 

ELIGIBLE STUDENTS ENROLLED IN AN INDEPENDENT COLLEGE OR UNIVERSITY THAT DOES NOT

 

SUBMIT THE ANNUAL P-20 LONGITUDINAL DATA SYSTEM DATA SETS TO THE CENTER FOR

 

EDUCATIONAL PERFORMANCE AND INFORMATION, IN A FORM AND MANNER DIRECTED BY AND

 

SATISFACTORY TO THE CENTER FOR EDUCATIONAL PERFORMANCE AND INFORMATION, BY SEPTEMBER

 

30 OF EACH YEAR, BEGINNING WITH SEPTEMBER 30, 2016.

 

       Sec. 254. The sums appropriated in SECTION 201 AND section 236 for the state

 

competitive scholarship, tuition incentive, and tuition grant programs STUDENT

 


FINANCIAL AID PROGRAMS shall be paid out of the state treasury and shall be

 

distributed to the respective institutions under a quarterly payment system as

 

follows: 50% shall be paid at the beginning of the state's first fiscal quarter, 30%

 

during the state's second fiscal quarter, 10% during the state's third fiscal quarter,

 

and 10% during the state's fourth fiscal quarter.

 

       Sec. 255. The department of treasury shall determine the needs analysis

 

criteria for students to qualify for the state competitive scholarship program, and

 

tuition grant program, AND INDEPENDENT PART-TIME STUDENT GRANTS PROGRAM. To be

 

consistent with federal requirements, the department of treasury may take student

 

wages into consideration when determining the amount of the award.

 

       Sec. 256. (1) The funds appropriated in section 236 for the tuition incentive

 

program shall be distributed as provided in this section and pursuant to the

 

administrative procedures for the tuition incentive program of the department of

 

treasury.

 

       (2) As used in this section:

 

       (a) "Phase I" means the first part of the tuition incentive assistance program

 

defined as the academic period of 80 semester or 120 term credits, or less, leading to

 

an associate degree or certificate.

 

       (b) "Phase II" means the second part of the tuition incentive assistance

 

program which provides assistance in the third and fourth year of 4-year degree

 

programs.

 

       (c) "Department" means the department of treasury.

 

       (3) An individual shall meet the following basic criteria and financial

 

thresholds to be eligible for tuition incentive benefits:

 

       (a) To be eligible for phase I, an individual shall meet all of the following

 

criteria:

 

       (i) Apply for certification to the department any time after he or she begins

 


the sixth grade but before August 31 of the school year in which he or she graduates

 

from high school or before completing a general education development certificate.

 

       (ii) Be less than 20 years of age at the time he or she graduates from high

 

school with a diploma or certificate of completion or completes a general education

 

development certificate.

 

       (iii) Be a United States citizen and a resident of Michigan according to

 

institutional criteria.

 

       (iv) Be at least a half-time student, earning less than 80 semester or 120 term

 

credits at a participating educational institution within 4 years of high school

 

graduation or completion of a general education development certificate.

 

       (v) Request information on filing a FAFSA.

 

       (vi) Must meet the satisfactory academic progress policy of the educational

 

institution he or she attends.

 

       (b) To be eligible for phase II, an individual shall meet either of the

 

following criteria in addition to the criteria in subdivision (a):

 

       (i) Complete at least 56 transferable semester or 84 transferable term credits.

 

       (ii) Obtain an associate degree or certificate at a participating institution.

 

       (c) To be eligible for phase I or phase II, an individual must not be

 

incarcerated and must be financially eligible as determined by the department. An

 

individual is financially eligible for the tuition incentive program if he or she was

 

eligible for Medicaid from the state of Michigan for 24 months within the 36 months

 

before application. The department shall accept certification of Medicaid eligibility

 

only from the department of human services for the purposes of verifying if a person

 

is Medicaid eligible for 24 months within the 36 months before application.

 

Certification of eligibility may begin in the sixth grade. As used in this

 

subdivision, "incarcerated" does not include detention of a juvenile in a state-

 

operated or privately operated juvenile detention facility.

 


       (4) For phase I, the department shall provide payment on behalf of a person

 

eligible under subsection (3). The department shall reject billings that are excessive

 

or outside the guidelines for the type of educational institution.

 

       (5) For phase I, all of the following apply:

 

       (a) Payments for associate degree or certificate programs shall not be made for

 

more than 80 semester or 120 term credits for any individual student at any

 

participating institution.

 

       (b) For persons enrolled at a Michigan community college, the department shall

 

pay the current in-district tuition and mandatory fees. For persons residing in an

 

area that is not included in any community college district, the out-of-district

 

tuition rate may be authorized.

 

       (c) For persons enrolled at a Michigan public university, the department shall

 

pay lower division resident tuition and mandatory fees for the current year.

 

       (d) For persons enrolled at a Michigan independent, nonprofit degree-granting

 

college or university, or a Michigan federal tribally controlled community college, or

 

Focus: HOPE, the department shall pay mandatory fees for the current year and a per-

 

credit payment that does not exceed the average community college in-district per-

 

credit tuition rate as reported on August 1, for the immediately preceding academic

 

year.

 

       (6) A person participating in phase II may be eligible for additional funds not

 

to exceed $500.00 per semester or $400.00 per term up to a maximum of $2,000.00

 

subject to the following conditions:

 

       (a) Credits are earned in a 4-year program at a Michigan degree-granting 4-year

 

college or university.

 

       (b) The tuition reimbursement is for coursework completed within 30 months of

 

completion of the phase I requirements.

 

       (7) The department shall work closely with participating institutions to

 


develop an application and eligibility determination process that will provide the

 

highest level of participation and ensure that all requirements of the program are

 

met.

 

       (8) Applications for the tuition incentive program may be approved at any time

 

after the student begins the sixth grade. If a determination of financial eligibility

 

is made, that determination is valid as long as the student meets all other program

 

requirements and conditions.

 

       (9) Each institution shall ensure that all known available restricted grants

 

for tuition and fees are used prior to billing the tuition incentive program for any

 

portion of a student's tuition and fees.

 

       (10) The department shall ensure that the tuition incentive program is well

 

publicized and that eligible Medicaid clients are provided information on the program.

 

The department shall provide the necessary funding and staff to fully operate the

 

program.

 

       Sec. 258. By February 15 of each year, the department of treasury shall post to

 

its publicly available website a report for the preceding fiscal year on all student

 

financial aid programs for which funds are appropriated in SECTION 201 OR section 236.

 

For each student financial aid program, the report shall include, but is not limited

 

to, the total number of awards paid in the preceding fiscal year, the total dollar

 

amount of those awards, and the number of students receiving awards and the total

 

amount of those awards at each eligible postsecondary institution. To the extent

 

information is available, the report shall also include information on household

 

income and other demographic characteristics of students receiving awards under each

 

program and historical information on the number of awards and total award amounts for

 

each program.

 

       SEC. 260. A PUBLIC UNIVERSITY RECEIVING FUNDS IN SECTION 236 IS ENCOURAGED TO

 

ADOPT THE COMMON APPLICATION, MANAGED BY THE COMMON APPLICATION, INCORPORATED, TO MAKE

 


POSTSECONDARY EDUCATION MORE ACCESSIBLE TO STUDENTS IN THIS STATE.

 

       Sec. 263. (1) Included in the appropriation in section 236 for fiscal year

 

2014-2015 2015-2016 for MSU AgBioResearch is $2,982,900.00 and included in the

 

appropriation in section 236 for MSU extension is $2,645,200.00 for project GREEEN.

 

Project GREEEN is intended to address critical regulatory, food safety, economic, and

 

environmental problems faced by this state's plant-based agriculture, forestry, and

 

processing industries. "GREEEN" is an acronym for generating research and extension to

 

meet environmental and economic needs.

 

       (2) The department of agriculture and rural development and Michigan State

 

University, in consultation with agricultural commodity groups and other interested

 

parties, shall develop project GREEEN and its program priorities.

 

       Sec. 263a. (1) Not later than September 30 of each year, Michigan State

 

University shall submit a report on MSU AgBioResearch and MSU extension to the house

 

and senate appropriations subcommittees on agriculture and on higher education, the

 

house and senate standing committees on agriculture, the house and senate fiscal

 

agencies, and the state budget director for the preceding academic fiscal year.

 

       (2) The report required under subsection (1) shall include all of the

 

following:

 

       (a) Total funds expended by MSU AgBioResearch and by MSU extension service

 

identified by state, local, private, federal, and university fund sources.

 

       (b) The metric goals that were used to evaluate the impacts of programs

 

operated by MSU extension and MSU AgBioResearch. It is the intent of the legislature

 

that the THE following metric goals will be used to evaluate the impacts of those

 

programs:

 

       (i) Increasing the number of agriculture and food-related firms collaborating

 

with and using services of research and extension faculty and staff by 3% per year.

 

       (ii) Increasing the number of individuals utilizing MSU extension's educational

 


services by 5% per year.

 

       (iii) Increasing external funds generated in support of research and extension,

 

beyond state appropriations, by 10% over the amounts generated in the past 3 state

 

fiscal years.

 

       (iv) Increasing the sector's total economic impact from today's

 

$71,000,000,000.00 to AT LEAST $100,000,000,000.00.

 

       (v) Doubling INCREASING Michigan's agricultural exports from $1,750,000,000.00

 

to AT LEAST $3,500,000,000.00.

 

       (vi) Increasing jobs in the food and agriculture sector by 10%.

 

       (vii) Improving access by Michigan consumers to healthy foods by 20%.

 

       (c) A review of major programs within both MSU AgBioResearch and MSU extension

 

with specific reference to accomplishments, impacts, and the metrics described in

 

subdivision (b), including a specific accounting of Project GREEEN expenditures and

 

the impact of those expenditures.

 

       Sec. 264. Included in the appropriation in section 236 for fiscal year 2014-

 

2015 2015-2016 for Michigan State University is $80,000.00 for the Michigan future

 

farmers of America association. This $80,000.00 allocation shall not supplant any

 

existing support that Michigan State University provides to the Michigan future

 

farmers of America association.

 

       Sec. 265. (1) Payments under section 265a for performance funding shall only be

 

made to a public university that certifies to the state budget director by August 31,

 

2014 2015 that its board did not adopt an increase in tuition and fee rates for

 

resident undergraduate students after September 1, 2013 2014 for the 2013-2014 2014-

 

2015 academic year and that its board will not adopt an increase in tuition and fee

 

rates for resident undergraduate students for the 2014-2015 2015-2016 academic year

 

that is greater than 3.2%. 2.8%. As used in this subsection:

 

       (a) Subject to subdivision (c), "fee" "FEE" means any board-authorized fee that

 


will be paid by more than 1/2 of all resident undergraduate students at least once

 

during their enrollment at a public university. A university increasing a fee that

 

applies to a specific subset of students or courses shall provide sufficient

 

information to prove that the increase applied to that subset will not cause the

 

increase in the average amount of board-authorized total tuition and fees paid by

 

resident undergraduate students in the 2014-2015 2015-2016 academic year to exceed the

 

limit established in this subsection.

 

       (b) "Tuition and fee rate" means the average of full-time rates for all

 

undergraduate classes, based on an average of the rates authorized by the university

 

board and actually charged to students, deducting any uniformly-rebated or refunded

 

amounts, for the 2 semesters with the highest levels of full-time equated resident

 

undergraduate enrollment during the academic year.

 

       (c) For purposes of subdivision (a), for a public university that compels

 

resident undergraduate students to be covered by health insurance as a condition to

 

enroll at the university, "fee" includes the annual amount a student is charged for

 

coverage by the university-affiliated group health insurance policy if he or she does

 

not provide proof that he or she is otherwise covered by health insurance. This

 

subdivision does not apply to limited subsets of resident undergraduate students to be

 

covered by health insurance for specific reasons other than general enrollment at the

 

university.

 

       (2) The state budget director shall implement uniform reporting requirements to

 

ensure that a public university receiving a payment under section 265a for performance

 

funding has satisfied the tuition restraint requirements of this section. The state

 

budget director shall have the sole authority to determine if a public university has

 

met the requirements of this section. Information reported by a public university to

 

the state budget director under this subsection shall also be reported to the house

 

and senate appropriations subcommittees on higher education and the house and senate

 


fiscal agencies.

 

       Sec. 265a. (1) Appropriations to public universities in section 236 for fiscal

 

year 2014-2015 2015-2016 for performance funding shall be paid only to a public

 

university that complies with section 265 and certifies to the state budget director,

 

the house and senate appropriations subcommittees on higher education, and the house

 

and senate fiscal agencies by August 31, 2014 2015 that it complies with all of the

 

following requirements:

 

       (a) The university participates in reverse transfer agreements described in

 

section 286 with at least 3 Michigan community colleges or has made a good-faith

 

effort to enter into reverse transfer agreements.

 

       (b) The university does not and will not consider whether dual enrollment

 

credits earned by an incoming student were utilized towards his or her high school

 

graduation requirements when making a determination as to whether those credits may be

 

used by the student toward completion of a university degree or certificate program.

 

       (c) The university ACTIVELY participates in AND SUBMITS TIMELY UPDATES TO the

 

Michigan transfer network created as part of the Michigan association of collegiate

 

registrars and admissions officers transfer agreement.

 

       (2) Any performance funding amounts under section 236 that are not paid to a

 

public university because it did not comply with 1 or more requirements under

 

subsection (1) are unappropriated and reappropriated for performance funding to those

 

public universities that meet the requirements under subsection (1), distributed in

 

proportion to their performance funding appropriation amounts under section 236.

 

       (3) The state budget director shall report to the house and senate

 

appropriations subcommittees on higher education and the house and senate fiscal

 

agencies by September 17, 2014, 30, 2015, regarding any performance funding amounts

 

that are not paid to a public university because it did not comply with 1 or more

 

requirements under subsection (1) and any reappropriation of funds under subsection

 


(2).

 

       (4) Performance funding amounts described in section 236 are distributed based

 

on the following formula:

 

       (a) Proportional to each university's share of total operations funding

 

appropriated in fiscal year 2010-2011, 50.0%.

 

(b) Based on weighted undergraduate completions in critical skills areas, 11.1%.

 

22.2%.

 

       (B) (c) Based on research and development expenditures, for universities

 

classified in Carnegie classifications as doctoral/research universities, research

 

universities (high research activity), or research universities (very high research

 

activity) only, 5.6%. 11.1%.

 

       (C) (d) Based on 6-year graduation rate, total degree completions, and

 

institutional support as a percentage of core expenditures, and THE PERCENTAGE OF

 

students receiving Pell grants, scored against national Carnegie classification peers

 

and weighted by total undergraduate fiscal year equated students, 33.3%. 66.7%.

 

       (5) For purposes of determining the score of a university under subsection

 

(4)(d), (4)(C), each university is assigned 1 of the following scores:

 

       (a) A university classified as in the top 20%, a score of 3.

 

       (b) A university classified as above national median, a score of 2.

 

       (c) A university classified as improving, a score of 2. It is the intent of the

 

legislature that, beginning in the 2015-2016 state fiscal year, a university

 

classified as improving is assigned a score of 1.

 

       (d) A university that is not included in subdivision (a), (b), or (c), a score

 

of 0.

 

       (6) For purposes of this section, "Carnegie classification" shall mean the

 

basic classification of the university according to the most recent version of the

 

Carnegie classification of institutions of higher education, published by the Carnegie

 


foundation for the advancement of teaching.

 

       Sec. 267. All public universities shall submit the amount of tuition and fees

 

actually charged to a full-time resident undergraduate student for academic year 2014-

 

2015 2015-2016 as part of their higher education institutional data inventory (HEIDI)

 

data by August 31 of each year. A public university shall report any revisions for any

 

semester of the reported academic year 2014-2015 2015-2016 tuition and fee charges to

 

HEIDI within 15 days of being adopted.

 

       Sec. 268. (1) For the fiscal year ending September 30, 2014, it is the intent

 

of the legislature that funds be allocated for unfunded North American Indian tuition

 

waiver costs incurred by public universities under 1976 PA 174, MCL 390.1251 to

 

390.1253, from the general fund.

 

       (2) Appropriations in section 236(8)(f) for North American Indian tuition

 

waivers shall be paid to universities under section 2a of 1976 PA 174, MCL 390.1252a.

 

Allocations shall be adjusted for amounts included in university operations

 

appropriations. If funds are insufficient to support the entire cost of waivers,

 

amounts shall be prorated.

 

       (3) By February 15 of each year, the department of civil rights shall annually

 

submit to the state budget director, the house and senate appropriations subcommittees

 

on higher education, and the house and senate fiscal agencies a report on North

 

American Indian tuition waivers for the preceding fiscal year that includes, but is

 

not limited to, all of the following information for each postsecondary institution:

 

       (a) The total number of waiver applications.

 

       (b) The total number of waivers granted and the monetary value of each waiver.

 

       (c) The number of students who withdraw from classes.

 

       (d) The number of students who successfully complete a degree or certificate

 

program and the 6-year graduation rate.

 

       (2) A PUBLIC UNIVERSITY RECEIVING FUNDS IN SECTION 236 SHALL PROVIDE TO THE

 


DEPARTMENT OF CIVIL RIGHTS ANY INFORMATION NECESSARY FOR PREPARING THE REPORT DETAILED

 

IN SUBSECTION (1).

 

       Sec. 269. For fiscal year 2014-2015 2015-2016, from the amount appropriated in

 

section 236 to Central Michigan University for operations, $29,700.00 shall be paid to

 

Saginaw Chippewa Tribal College for the costs of waiving tuition for North American

 

Indians under 1976 PA 174, MCL 390.1251 to 390.1253.

 

       Sec. 270. For fiscal year 2014-2015 2015-2016, from the amount appropriated in

 

section 236 to Lake Superior State University for operations, $100,000.00 shall be

 

paid to Bay Mills Community College for the costs of waiving tuition for North

 

American Indians under 1976 PA 174, MCL 390.1251 to 390.1253.

 

       Sec. 275. (1) It is the intent of the legislature that each EACH public

 

university that receives an appropriation in section 236 IS ENCOURAGED TO do all of

 

the following:

 

       (a) Meet the provisions of section 5003 of the post-911 veterans educational

 

assistance act of 2008, 38 USC 3301 to 3324, including voluntary participation in the

 

yellow ribbon GI education enhancement program established in that act in 38 USC 3317.

 

By October 1 of each year, each public university shall report to the house and senate

 

appropriations subcommittees on higher education, the house and senate fiscal

 

agencies, and the presidents council, state universities of Michigan on whether or not

 

it has chosen to participate in the yellow ribbon GI education enhancement program. If

 

at any time during the fiscal year a university participating in the yellow ribbon

 

program chooses to leave the yellow ribbon program, it shall notify the house and

 

senate appropriations subcommittees on higher education, the house and senate fiscal

 

agencies, and the presidents council, state universities of Michigan.

 

       (b) Establish an on-campus veterans' liaison to provide information and

 

assistance to all student veterans.

 

       (c) Provide flexible enrollment application deadlines for all veterans.

 


       (d) Include in its admission application process a specific question as to

 

whether an applicant for admission is a veteran, an active member of the military, a

 

member of the national guard or military reserves, or the spouse or dependent of a

 

veteran, active member of the military, or member of the national guard or military

 

reserves, in order to more quickly identify potential educational assistance available

 

to that applicant.

 

       (e) Consider all veterans residents of this state for determining their tuition

 

rates and fees.

 

       (f) Waive enrollment fees for all veterans.

 

       (2) By October 1 of each year, each public university shall report to the house

 

and senate appropriations subcommittees on higher education, the house and senate

 

fiscal agencies, and the department of military and veterans affairs regarding

 

services provided specifically to veterans and active military duty personnel,

 

including, but not limited to, the services described in subsection (1).

 

       (2) (3) As used in this section, "veteran" means an honorably discharged

 

veteran entitled to educational assistance under the provisions of section 5003 of the

 

post-911 veterans educational assistance act of 2008, 38 USC 3301 to 3324.

 

       Sec. 276. (1) Included in the appropriation for fiscal year 2014-2015 2015-2016

 

for each public university in section 236 is funding for the Martin Luther King, Jr. -

 

Cesar Chavez - Rosa Parks future faculty program that is intended to increase the pool

 

of academically or economically disadvantaged candidates pursuing faculty teaching

 

careers in postsecondary education. Preference may not be given to applicants on the

 

basis of race, color, ethnicity, gender, or national origin. Institutions should

 

encourage applications from applicants who would otherwise not adequately be

 

represented in the graduate student and faculty populations. Each public university

 

shall apply the percentage change applicable to every public university in the

 

calculation of appropriations in section 236 to the amount of funds allocated to the

 


future faculty program.

 

       (2) The program shall be administered by each public university in a manner

 

prescribed by the workforce development agency. The workforce development agency shall

 

use a good faith effort standard to evaluate whether a fellowship is in default.

 

       Sec. 277. (1) Included in the appropriation for fiscal year 2014-2015 2015-2016

 

for each public university in section 236 is funding for the Martin Luther King, Jr. -

 

Cesar Chavez - Rosa Parks college day program that is intended to introduce

 

academically or economically disadvantaged schoolchildren to the potential of a

 

college education. Preference may not be given to participants on the basis of race,

 

color, ethnicity, gender, or national origin. Public universities should encourage

 

participation from those who would otherwise not adequately be represented in the

 

student population.

 

       (2) Individual program plans of each public university shall include a budget

 

of equal contributions from this program, the participating public university, the

 

participating school district, and the participating independent degree-granting

 

college. College day funds shall not be expended to cover indirect costs. Not more

 

than 20% of the university match shall be attributable to indirect costs. Each public

 

university shall apply the percentage change applicable to every public university in

 

the calculation of appropriations in section 236 to the amount of funds allocated to

 

the college day program.

 

       (3) The program described in this section shall be administered by each public

 

university in a manner prescribed by the workforce development agency.

 

       Sec. 278. (1) Included in section 236 for fiscal year 2014-2015 2015-2016 is

 

funding for the Martin Luther King, Jr. - Cesar Chavez - Rosa Parks select student

 

support services program for developing academically or economically disadvantaged

 

student retention programs for 4-year public and independent educational institutions

 

in this state. Preference may not be given to participants on the basis of race,

 


color, ethnicity, gender, or national origin. Institutions should encourage

 

participation from those who would otherwise not adequately be represented in the

 

student population.

 

       (2) An award made under this program to any 1 institution shall not be greater

 

than $150,000.00, and the amount awarded shall be matched on a 70% state, 30% college

 

or university basis.

 

       (3) The program described in this section shall be administered by the

 

workforce development agency.

 

       Sec. 279. (1) Included in section 236 for fiscal year 2014-2015 2015-2016 is

 

funding for the Martin Luther King, Jr. - Cesar Chavez - Rosa Parks college/university

 

partnership program between 4-year public and independent colleges and universities

 

and public community colleges, which is intended to increase the number of

 

academically or economically disadvantaged students who transfer from community

 

colleges into baccalaureate programs. Preference may not be given to participants on

 

the basis of race, color, ethnicity, gender, or national origin. Institutions should

 

encourage participation from those who would otherwise not adequately be represented

 

in the transfer student population.

 

       (2) The grants shall be made under the program described in this section to

 

Michigan public and independent colleges and universities. An award to any 1

 

institution shall not be greater than $150,000.00, and the amount awarded shall be

 

matched on a 70% state, 30% college or university basis.

 

       (3) The program described in this section shall be administered by the

 

workforce development agency.

 

       Sec. 280. (1) Included in the appropriation for fiscal year 2014-2015 2015-2016

 

for each public university in section 236 is funding for the Martin Luther King, Jr. -

 

Cesar Chavez - Rosa Parks visiting professors program which is intended to increase

 

the number of instructors in the classroom to provide role models for academically or

 


economically disadvantaged students. Preference may not be given to participants on

 

the basis of race, color, ethnicity, gender, or national origin. Public universities

 

should encourage participation from those who would otherwise not adequately be

 

represented in the student population.

 

       (2) The program described in this section shall be administered by the

 

workforce development agency.

 

       Sec. 281. (1) Included in the appropriation for fiscal year 2014-2015 2015-2016

 

in section 236 is funding under the Martin Luther King, Jr. - Cesar Chavez - Rosa

 

Parks initiative for the Morris Hood, Jr. educator development program which is

 

intended to increase the number of academically or economically disadvantaged students

 

who enroll in and complete K-12 teacher education programs at the baccalaureate level.

 

Preference may not be given to participants on the basis of race, color, ethnicity,

 

gender, or national origin. Institutions should encourage participation from those who

 

would otherwise not adequately be represented in the teacher education student

 

population.

 

       (2) The program described in this section shall be administered by each state-

 

approved teacher education institution in a manner prescribed by the workforce

 

development agency.

 

       (3) Approved teacher education institutions may and are encouraged to use

 

student support services funding in coordination with the Morris Hood, Jr. funding to

 

achieve the goals of the program described in this section.

 

       Sec. 282. Each institution receiving funds FOR FISCAL YEAR 2015-2016 under

 

section 278, 279, or 281 shall notify the workforce development agency by April 15, of

 

each year 2016 as to whether it will expend by the end of its fiscal year the funds

 

received under section 278, 279, or 281. Notwithstanding the award limitations in

 

sections 278 and 279, the amount of funding reported as not being expended will be

 

reallocated to the institutions that intend to expend all funding received under

 


section 278, 279, or 281.

 

       Sec. 283. (1) From the amount appropriated in section 236, the public

 

universities shall USE THE P-20 LONGITUDINAL DATA SYSTEM TO systematically inform

 

Michigan high schools regarding the academic status of students from each high school

 

in a manner prescribed by the presidents council, state universities of Michigan in

 

cooperation with the Michigan association of secondary school principals. Public

 

universities shall also work with the center for educational performance and

 

information to maintain a systematic approach for accomplishing this task.

 

       (2) Michigan high schools shall systematically inform the public universities

 

about the use of information received under this section in a manner prescribed by the

 

Michigan association of secondary school principals in cooperation with the presidents

 

council, state universities of Michigan.

 

       Sec. 284. From the amount appropriated in section 236, the public universities

 

shall USE THE P-20 LONGITUDINAL DATA SYSTEM TO inform Michigan community colleges

 

regarding the academic status of community college transfer students in a manner

 

prescribed by the presidents council, state universities of Michigan in cooperation

 

with the Michigan community college association. Public universities shall also work

 

with the center for educational performance and information to maintain a systematic

 

approach for accomplishing this task.

 

       Sec. 286. It is the intent of the legislature that public PUBLIC universities

 

SHALL work with community colleges in the state to implement statewide reverse

 

transfer agreements to increase the number of students that are awarded credentials of

 

value upon completion of the necessary credits. It is the intent of the legislature

 

that these THESE statewide agreements shall enable students who have earned a

 

significant number of credits at a community college and transfer to a baccalaureate

 

granting institution before completing a degree to transfer the credits earned at the

 

baccalaureate institution back to the community college in order to be awarded a

 


credential of value.


 

 

ARTICLE IV

 

GENERAL PROVISIONS

 

       SEC. 298. (1) SUBJECT TO THE CONDITIONS SET FORTH IN THIS ACT, THE AMOUNTS

 

LISTED IN THIS SECTION FOR THE PUBLIC SCHOOLS, INTERMEDIATE SCHOOL DISTRICTS,

 

COMMUNITY COLLEGES AND PUBLIC UNIVERSITIES OF THIS STATE, AND CERTAIN OTHER STATE

 

PURPOSES RELATING TO EDUCATION ARE A SUMMARY OF APPROPRIATIONS CONTAINED IN THIS ACT

 

FOR FISCAL YEAR ENDING SEPTEMBER 30, 2016 AND ANTICIPATED APPROPRIATIONS FOR THE

 

FISCAL YEAR ENDING SEPTEMBER 30, 2017, FROM THE FUNDS INDICATED IN THIS ACT:

 

       (2) SUMMARY OF EDUCATION OMNIBUS APPROPRIATIONS

 

GROSS APPROPRIATION......................................   $ 15,894,008,700  $ 15,694,442,500

 

  TOTAL INTERDEPARTMENTAL GRANTS AND

 

   INTRADEPARTMENTAL TRANSFERS...........................                  0                 0

 

  ADJUSTED GROSS APPROPRIATION............................   $ 15,894,008,700  $ 15,694,442,500

 

  TOTAL FEDERAL REVENUES..................................      1,872,795,600     1,872,795,600

 

  TOTAL LOCAL REVENUES....................................                  0                 0

 

  TOTAL PRIVATE REVENUES..................................                  0                 0

 

  TOTAL OTHER STATE RESTRICTED REVENUES...................    12,599,189,000     12,475,559,000

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $  1,421,924,100  $  1,433,024,100

 

       SEC. 298A. (1) SUMMARY OF APPROPRIATIONS FOR SCHOOL AID (ARTICLE I)

 

APPROPRIATION SUMMARY

 

GROSS APPROPRIATION......................................   $ 13,958,963,900  $ 13,839,253,900

 

  TOTAL INTERDEPARTMENTAL GRANTS AND

 

   INTRADEPARTMENTAL TRANSFERS...........................                  0                 0

 

  ADJUSTED GROSS APPROPRIATION............................   $ 13,958,963,900  $ 13,839,253,900

 

  TOTAL FEDERAL REVENUES..................................      1,775,769,200     1,775,769,200

 

  TOTAL LOCAL REVENUES....................................                  0                 0

 


  TOTAL PRIVATE REVENUES..................................                  0                 0

 

  TOTAL OTHER STATE RESTRICTED REVENUES...................     12,137,294,700    12,006,484,700

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $     45,900,000  $     57,000,000

 

     (2) BASIC OPERATIONS

 

  PROPOSAL A OBLIGATION PAYMENT...........................   $  5,277,000,000  $  5,144,000,000

 

  DISCRETIONARY PAYMENT...................................      3,662,000,000     3,666,000,000

 

  ISD GENERAL OPERATIONS..................................         67,108,000        67,108,000

 

  HOLD HARMLESS PROVISION.................................          6,000,000         6,000,000

 

  DISTRICT DISSOLUTION TRANSITION COSTS...................          2,200,000                 0

 

  MICHIGAN PUBLIC SCHOOL EMPLOYEES RETIREMENT SYSTEM    ..                                    

 

   REFORM COSTS..........................................        993,500,000     1,081,600,000

 

  MICHIGAN PUBLIC SCHOOL EMPLOYEES RETIREMENT SYSTEM    ..                  

 

   RESERVE FUND DEPOSIT..................................                  0                 0

 

  ISOLATED DISTRICT FUNDING...............................          2,584,600         2,584,600

 

  GROSS APPROPRIATION.....................................   $ 10,010,392,600  $  9,967,292,600

 

     APPROPRIATED FROM:

 

  STATE RESTRICTED REVENUES...............................      9,988,822,100     9,933,422,100

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $     21,570,500  $     33,870,500

 

       (3) SPECIAL EDUCATION

 

  SPECIAL EDUCATION HEADLEE OBLIGATION....................   $    621,000,000  $    633,000,000

 

  SPECIAL EDUCATION FOUNDATIONS...........................        257,200,000       261,600,000

 

  SPECIAL EDUCATION HOLD HARMLESS PAYMENT.................          1,000,000         1,000,000

 

  SPECIAL EDUCATION NON-SEC. 52 PAYMENT...................          3,200,000         3,200,000

 

  SPECIAL EDUCATION RULE CHANGE...........................          2,200,000         2,200,000

 

  SPECIAL EDUCATION COURT PLACED FTES.....................         10,500,000        10,500,000

 

  MICHIGAN SCHOOLS FOR THE DEAF AND BLIND.................          1,688,000         1,688,000

 

  SPECIAL EDUCATION MILLAGE EQUALIZATION..................         37,758,100        37,758,100

 


  SPECIAL EDUCATION FEDERAL PROGRAMS......................        441,000,000       441,000,000

 

  GROSS APPROPRIATION.....................................   $  1,375,546,100  $  1,391,946,100

 

     APPROPRIATED FROM:

 

  FEDERAL REVENUES........................................        441,000,000       441,000,000

 

  STATE RESTRICTED REVENUES...............................        934,546,100       950,946,100

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $              0  $              0

 

       (4) SUPPORT SERVICES

 

  COURT-PLACED CHILDREN...................................   $      8,000,000  $      8,000,000

 

  JUVENILE DETENTION FACILITIES...........................          2,189,800         2,189,800

 

  YOUTH CHALLENGE PROGRAM.................................          1,497,400         1,497,400

 

  AT-RISK PROGRAM.........................................        408,988,200       408,988,200

 

  CHILD AND ADOLESCENT HEALTH CENTERS.....................          3,557,300         3,557,300

 

  HEARING AND VISION SCREENING............................          5,150,000         5,150,000

 

  MATH AND SCIENCE CENTERS................................          8,474,300         8,474,300

 

  BILINGUAL EDUCATION.....................................          1,200,000         1,200,000

 

  STRICT DISCIPLINE ACADEMIES PUPIL TRANSFERS.............          1,000,000                 0

 

  GANG PREVENTION AND INTERVENTION PROGRAMS...............          1,000,000                 0

 

  THIRD GRADE READING INITIATIVE..........................         18,400,000        16,900,000

 

  DISTRESSED DISTRICT REHABILITATION FUND.................         75,000,000                 0

 

  FEDERAL PROGRAMS........................................        809,876,400       809,876,400

 

  GROSS APPROPRIATION.....................................   $  1,344,333,400  $  1,265,833,400

 

     APPROPRIATED FROM:

 

  FEDERAL REVENUES........................................        815,125,700       815,125,700

 

  STATE RESTRICTED REVENUES...............................        528,732,700       450,232,700

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $        475,000  $        475,000

 

       (5) SCHOOL MEAL PROGRAMS

 

  SCHOOL LUNCH............................................   $    535,695,100  $    535,695,100

 


  SCHOOL BREAKFAST........................................          5,625,000         5,625,000

 

  GROSS APPROPRIATION.....................................   $    541,320,100  $    541,320,100

 

     APPROPRIATED FROM:

 

  FEDERAL REVENUES........................................        513,200,000       513,200,000

 

  STATE RESTRICTED REVENUES...............................         28,120,100        28,120,100

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $              0  $              0

 

       (6) EARLY CHILDHOOD EDUCATION

 

  GREAT START READINESS PROGRAM...........................   $    239,575,000  $    239,575,000

 

  GREAT START EARLY CHILDHOOD BLOCK GRANTS................         15,900,000        15,900,000

 

  GROSS APPROPRIATION.....................................   $    255,475,000  $    255,475,000

 

     APPROPRIATED FROM:

 

  STATE RESTRICTED REVENUES...............................        255,175,000       255,175,000

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $        300,000  $        300,000

 

       (7) PERFORMANCE INITIATIVES

 

  BEST PRACTICES GRANTS...................................   $     30,000,000  $     30,000,000

 

  CONSOLIDATION INNOVATION GRANTS.........................          2,000,000                 0

 

  GROSS APPROPRIATION.....................................   $     32,000,000  $     30,000,000

 

     APPROPRIATED FROM:

 

  STATE RESTRICTED REVENUES...............................         32,000,000        30,000,000

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $              0  $               0

 

       (8) STUDENT ASSESSMENT AND ACCOUNTABILITY

 

  CENTER FOR EDUCATIONAL PERFORMANCE AND INFORMATION......         12,160,500        12,160,500

 

  STUDENT ASSESSMENTS.....................................         50,244,400        50,244,400

 

  DATA COLLECTION AND REPORTING COSTS.....................         38,000,500        38,000,500

 

  UPDATE TEACHER CERTIFICATION TESTS......................          1,800,000                 0

 

  GROSS APPROPRIATION.....................................   $    102,205,400  $    100,405,400

 

     APPROPRIATED FROM:

 


  FEDERAL REVENUES........................................          6,443,500         6,443,500

 

  STATE RESTRICTED REVENUES...............................         83,794,900        81,994,900

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $     11,967,000  $     11,967,000

 

       (9) TECHNOLOGY INITIATIVES

 

  MICHIGAN VIRTUAL HIGH SCHOOL............................   $      7,987,500  $      7,387,500

 

  FIRST ROBOTICS..........................................          2,000,000                 0

 

  TECHNOLOGY INFRASTRUCTURE IMPROVEMENT GRANTS............         25,000,000                 0

 

  GROSS APPROPRIATION.....................................   $     34,987,500  $       7,387,500

 

     APPROPRIATED FROM:

 

  STATE RESTRICTED REVENUES...............................         27,000,000                 0

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $      7,987,500  $      7,387,500

 

       (10) COLLEGE AND CAREER READINESS

 

  VOCATIONAL EDUCATION....................................   $     26,611,300  $     26,611,300

 

  VOCATIONAL EDUCATION MILLAGE REIMBURSEMENT..............          9,190,000         9,190,000

 

  DUAL ENROLLMENT INCENTIVE...............................          1,750,000                 0

 

  ADVANCED PLACEMENT AND INTERNATIONAL BACCALAUREATE    ..                  

 

   TESTING...............................................            250,000                 0

 

  MICHIGAN COLLEGE ACCESS NETWORK.........................          3,000,000         3,000,000

 

  SKILLED TRADES / DUAL ENROLLMENT INITIATIVE.............         17,800,000        17,800,000

 

  COLLEGE AND CAREER PREPARATION..........................            600,000                 0

 

  GROSS APPROPRIATION.....................................   $     59,201,300  $     56,601,300

 

     APPROPRIATED FROM:

 

  STATE RESTRICTED REVENUES...............................         55,601,300        53,601,300

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $      3,600,000  $      3,000,000

 

       (11) ADULT EDUCATION

 

  ADULT EDUCATION.........................................   $      22,000,000  $      22,000,000

 

  GROSS APPROPRIATION.....................................   $     22,000,000  $     22,000,000

 


     APPROPRIATED FROM:

 

  STATE RESTRICTED REVENUES...............................         22,000,000        22,000,000

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $              0  $              0

 

       (12) TRANSPORTATION SAFETY

 

  BUS DRIVER SAFETY.......................................   $      1,625,000  $      1,625,000

 

  SCHOOL BUS INSPECTIONS..................................          1,690,700         1,690,700

 

  GROSS APPROPRIATION.....................................   $      3,315,700  $      3,315,700

 

     APPROPRIATED FROM:

 

  STATE RESTRICTED REVENUES...............................          3,315,700         3,315,700

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $              0  $              0

 

       (13) DEBT SERVICE AND OTHER REQUIRED PAYMENTS

 

  SCHOOL BOND LOAN REDEMPTION FUND........................   $    143,000,000  $    161,000,000

 

  SCHOOL AID FUND BORROWING COSTS.........................          4,000,000         5,000,000

 

  RENAISSANCE ZONE REIMBURSEMENT..........................         26,300,000        26,300,000

 

  PAYMENT IN LIEU OF TAXES REIMBURSEMENT..................          4,276,800         4,276,800

 

  PROMISE ZONE PAYMENTS...................................            610,000         1,100,000

 

  GROSS APPROPRIATION.....................................   $    178,186,800  $    197,676,800

 

     APPROPRIATED FROM:

 

  STATE RESTRICTED REVENUES...............................        178,186,800       197,676,800

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $              0  $              0

 

       SEC. 298B. (1) SUMMARY OF APPROPRIATIONS FOR COMMUNITY COLLEGES (ARTICLE II)

 

APPROPRIATION SUMMARY

 

GROSS APPROPRIATION......................................   $    393,825,600  $    400,725,600

 

  TOTAL INTERDEPARTMENTAL GRANTS AND

 

   INTRADEPARTMENTAL TRANSFERS...........................                  0                 0

 

  ADJUSTED GROSS APPROPRIATION............................   $    393,825,600  $    400,725,600

 

  TOTAL FEDERAL REVENUES..................................                  0                 0

 


  TOTAL LOCAL REVENUES....................................                  0                 0

 

  TOTAL PRIVATE REVENUES..................................                  0                 0

 

  TOTAL OTHER STATE RESTRICTED REVENUES...................        256,714,800       263,614,800

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $    137,110,800  $    137,110,800

 

       (2) OPERATIONS

 

       (A) ALPENA COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $      5,390,700  $      5,462,000

 

  PERFORMANCE FUNDING.....................................             71,300                 0

 

  GROSS APPROPRIATION.....................................   $      5,462,000  $      5,462,000

 

       (B) BAY DE NOC COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $      5,419,500  $      5,488,300

 

  PERFORMANCE FUNDING.....................................             68,800                 0

 

  GROSS APPROPRIATION.....................................   $      5,488,300  $      5,488,300

 

       (C) DELTA COLLEGE

 

  OPERATIONS..............................................   $     14,498,900  $     14,706,700

 

  PERFORMANCE FUNDING.....................................            207,800                 0

 

  GROSS APPROPRIATION.....................................   $     14,706,700  $     14,706,700

 

       (D) GLEN OAKS COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $      2,516,100  $      2,553,400

 

  PERFORMANCE FUNDING.....................................             37,300                 0

 

  GROSS APPROPRIATION.....................................   $      2,553,400  $      2,553,400

 

       (E) GOGEBIC COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $      4,451,400  $      4,506,400

 

  PERFORMANCE FUNDING.....................................             55,000                 0

 

  GROSS APPROPRIATION.....................................   $      4,506,400  $      4,506,400

 

       (F) GRAND RAPIDS COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $     17,947,500  $     18,176,600

 


  PERFORMANCE FUNDING.....................................            229,100                 0

 

  GROSS APPROPRIATION.....................................   $     18,176,600  $     18,176,600

 

       (G) HENRY FORD COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $     21,623,800  $     21,876,700

 

  PERFORMANCE FUNDING.....................................            252,900                 0

 

  GROSS APPROPRIATION.....................................   $     21,876,700  $     21,876,700

 

      (H) JACKSON COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $     12,087,300  $     12,242,500

 

  PERFORMANCE FUNDING.....................................            155,200                 0

 

  GROSS APPROPRIATION.....................................   $     12,242,500  $     12,242,500

 

       (I) KALAMAZOO VALLEY COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $     12,503,100  $     12,694,900

 

  PERFORMANCE FUNDING.....................................            191,800                 0

 

  GROSS APPROPRIATION.....................................   $     12,694,900  $     12,694,900

 

       (J) KELLOGG COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $      9,813,500  $      9,947,300

 

  PERFORMANCE FUNDING.....................................            133,800                 0

 

  GROSS APPROPRIATION.....................................   $      9,947,300  $      9,947,300

 

       (K) KIRTLAND COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $      3,167,700  $      3,224,300

 

  PERFORMANCE FUNDING.....................................             56,600                 0

 

  GROSS APPROPRIATION.....................................   $      3,224,300  $      3,224,300

 

       (L) LAKE MICHIGAN COLLEGE

 

  OPERATIONS..............................................   $      5,342,900  $      5,414,800

 

  PERFORMANCE FUNDING.....................................             71,900                 0

 

  GROSS APPROPRIATION.....................................   $      5,414,800  $      5,414,800

 

       (M) LANSING COMMUNITY COLLEGE

 


  OPERATIONS..............................................   $     30,877,600  $     31,289,900

 

  PERFORMANCE FUNDING.....................................            412,300                 0

 

  GROSS APPROPRIATION.....................................   $     31,289,900  $     31,289,900

 

       (N) MACOMB COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $     32,816,600  $     33,222,400

 

  PERFORMANCE FUNDING.....................................            405,800                  0

 

  GROSS APPROPRIATION.....................................   $     33,222,400  $     33,222,400

 

       (O) MID MICHIGAN COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $      4,682,000  $      4,761,500

 

  PERFORMANCE FUNDING.....................................             79,500                 0

 

  GROSS APPROPRIATION.....................................   $      4,761,500  $      4,761,500

 

       (P) MONROE COUNTY COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $      4,492,900  $      4,565,100

 

  PERFORMANCE FUNDING.....................................             72,200                 0

 

  GROSS APPROPRIATION.....................................   $      4,565,100  $      4,565,100

 

       (Q) MONTCALM COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $      3,226,700  $      3,281,800

 

  PERFORMANCE FUNDING.....................................             55,100                 0

 

  GROSS APPROPRIATION.....................................   $      3,281,800  $      3,281,800

 

       (R) C. S. MOTT COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $     15,686,100  $     15,900,900

 

  PERFORMANCE FUNDING.....................................            214,800                 0

 

  GROSS APPROPRIATION.....................................   $     15,900,900  $      15,900,900

 

       (S) MUSKEGON COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $      8,901,000  $      9,013,800

 

  PERFORMANCE FUNDING.....................................            112,800                 0

 

  GROSS APPROPRIATION.....................................   $      9,013,800  $      9,013,800

 


       (T) NORTH CENTRAL MICHIGAN COLLEGE

 

  OPERATIONS..............................................   $      3,172,400  $      3,223,300

 

  PERFORMANCE FUNDING.....................................             50,900                  0

 

  GROSS APPROPRIATION.....................................   $      3,223,300  $      3,223,300

 

       (U) NORTHWESTERN MICHIGAN COLLEGE

 

  OPERATIONS..............................................   $      9,078,800  $      9,195,100

 

  PERFORMANCE FUNDING.....................................            116,300                 0

 

  GROSS APPROPRIATION.....................................   $      9,195,100  $      9,195,100

 

       (V) OAKLAND COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $     21,123,300  $     21,430,800

 

  PERFORMANCE FUNDING.....................................            307,500                 0

 

  GROSS APPROPRIATION.....................................   $     21,430,800  $     21,430,800

 

       (W) ST. CLAIR COUNTY COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $      7,061,600  $      7,154,600

 

  PERFORMANCE FUNDING.....................................             93,000                 0

 

  GROSS APPROPRIATION.....................................   $      7,154,600  $      7,154,600

 

       (X) SCHOOLCRAFT COLLEGE

 

  OPERATIONS..............................................   $     12,513,700  $     12,716,100

 

  PERFORMANCE FUNDING.....................................            202,400                 0

 

  GROSS APPROPRIATION.....................................   $     12,716,100  $     12,716,100

 

       (Y) SOUTHWESTERN MICHIGAN COLLEGE

 

  OPERATIONS..............................................   $      6,576,400  $      6,653,000

 

  PERFORMANCE FUNDING.....................................             76,600                 0

 

  GROSS APPROPRIATION.....................................   $      6,653,000  $      6,653,000

 

       (Z) WASHTENAW COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $     13,077,300  $     13,330,000

 

  PERFORMANCE FUNDING.....................................            252,700                 0

 


  GROSS APPROPRIATION.....................................   $     13,330,000  $     13,330,000

 

       (AA) WAYNE COUNTY COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $     16,727,600  $     17,014,900

 

  PERFORMANCE FUNDING.....................................            287,300                 0

 

  GROSS APPROPRIATION.....................................   $     17,014,900  $     17,014,900

 

       (BB) WEST SHORE COMMUNITY COLLEGE

 

  OPERATIONS..............................................   $      2,414,900  $      2,444,900

 

  PERFORMANCE FUNDING.....................................             30,000                 0

 

  GROSS APPROPRIATION.....................................   $      2,444,900  $      2,444,900

 

       (CC) OPERATIONS FUNDING SOURCES

 

  GROSS APPROPRIATION.....................................   $    311,492,000  $    311,492,000

 

     APPROPRIATED FROM:

 

  STATE SCHOOL AID FUND...................................        230,181,200       230,181,200

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $     81,310,800  $     81,310,800

 

       (3) MICHIGAN PUBLIC SCHOOL EMPLOYEES RETIREMENT

 

     SYSTEM (MPSERS)

 

  MPSERS COST OFFSET......................................   $      1,733,600  $      1,733,600

 

  MPSERS UAL CAP REIMBURSEMENT............................         69,500,000        76,400,000

 

  GROSS APPROPRIATION.....................................   $     71,233,600  $     78,133,600

 

     APPROPRIATED FROM:

 

  STATE SCHOOL AID FUND...................................         18,933,600        25,833,600

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $     52,300,000  $     52,300,000

 

       (4) RENAISSANCE ZONE REIMBURSEMENTS

 

  RENAISSANCE ZONE REIMBURSEMENTS.........................   $       5,100,000  $       5,100,000

 

  GROSS APPROPRIATION.....................................   $      5,100,000  $      5,100,000

 

     APPROPRIATED FROM:

 

  STATE SCHOOL AID FUND...................................          1,600,000         1,600,000

 


  STATE GENERAL FUND/GENERAL PURPOSE......................   $      3,500,000  $      3,500,000

 

       (5) STUDENT FINANCIAL AID

 

  INDEPENDENT PART-TIME STUDENT GRANTS....................   $       6,000,000  $       6,000,000

 

  GROSS APPROPRIATION.....................................   $      6,000,000  $      6,000,000

 

     APPROPRIATED FROM:

 

  STATE SCHOOL AID FUND...................................          6,000,000         6,000,000

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $              0  $              0

 

       SEC. 298C. (1) SUMMARY OF APPROPRIATIONS FOR UNIVERSITIES AND STUDENT FINANCIAL

 

AID (ARTICLE III)

 

APPROPRIATION SUMMARY

 

GROSS APPROPRIATION......................................   $  1,541,219,200  $  1,541,399,200

 

  TOTAL INTERDEPARTMENTAL GRANTS AND

 

   INTRADEPARTMENTAL TRANSFERS...........................                  0                 0

 

  ADJUSTED GROSS APPROPRIATION............................   $  1,541,219,200  $  1,541,399,200

 

  TOTAL FEDERAL REVENUES..................................         97,026,400        97,026,400

 

  TOTAL LOCAL REVENUES....................................                  0                 0

 

  TOTAL PRIVATE REVENUES..................................                  0                 0

 

  TOTAL OTHER STATE RESTRICTED REVENUES...................        205,279,500       205,459,500

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $  1,238,913,300  $  1,238,913,300

 

       (2) UNIVERSITY OPERATIONS

 

       (A) CENTRAL MICHIGAN UNIVERSITY

 

  OPERATIONS..............................................   $     79,164,800  $     81,502,900

 

  PERFORMANCE FUNDING.....................................          2,338,100                 0

 

  GROSS APPROPRIATION.....................................   $     81,502,900  $     81,502,900

 

       (B) EASTERN MICHIGAN UNIVERSITY

 

  OPERATIONS..............................................   $     71,782,500  $     73,196,700

 

  PERFORMANCE FUNDING.....................................          1,414,200                 0

 


  GROSS APPROPRIATION.....................................   $     73,196,700  $     73,196,700

 

       (C) FERRIS STATE UNIVERSITY

 

  OPERATIONS..............................................   $     49,119,100  $     50,606,700

 

  PERFORMANCE FUNDING.....................................          1,487,600                 0

 

  GROSS APPROPRIATION.....................................   $     50,606,700  $     50,606,700

 

       (D) GRAND VALLEY STATE UNIVERSITY

 

  OPERATIONS..............................................   $     63,156,500  $     65,680,200

 

  PERFORMANCE FUNDING.....................................          2,523,700                 0

 

  GROSS APPROPRIATION.....................................   $     65,680,200  $     65,680,200

 

       (E) LAKE SUPERIOR STATE UNIVERSITY

 

  OPERATIONS..............................................   $     12,997,500  $     13,247,300

 

  PERFORMANCE FUNDING.....................................            249,800                 0

 

  GROSS APPROPRIATION.....................................   $     13,247,300  $     13,247,300

 

       (F) MICHIGAN STATE UNIVERSITY

 

  OPERATIONS..............................................   $    264,437,900  $    269,590,500

 

  PERFORMANCE FUNDING.....................................          5,152,600                 0

 

  MSU AGBIORESEARCH.......................................         32,668,500        32,668,500

 

  MSU EXTENSION...........................................         28,132,700        28,132,700

 

  GROSS APPROPRIATION.....................................   $    330,391,700  $    330,391,700

 

       (G) MICHIGAN TECHNOLOGICAL UNIVERSITY

 

  OPERATIONS..............................................   $     45,938,000  $     46,908,000

 

  PERFORMANCE FUNDING.....................................            970,000                 0

 

  GROSS APPROPRIATION.....................................   $     46,908,000  $     46,908,000

 

       (H) NORTHERN MICHIGAN UNIVERSITY

 

  OPERATIONS..............................................   $     44,338,300  $     45,254,400

 

  PERFORMANCE FUNDING.....................................            916,100                 0

 

  GROSS APPROPRIATION.....................................   $     45,254,400  $     45,254,400

 


       (I) OAKLAND UNIVERSITY

 

  OPERATIONS..............................................   $     48,371,900  $     50,021,000

 

  PERFORMANCE FUNDING.....................................          1,649,100                 0

 

  GROSS APPROPRIATION.....................................   $     50,021,000  $     50,021,000

 

       (J) SAGINAW VALLEY STATE UNIVERSITY

 

  OPERATIONS..............................................   $     27,621,600  $     28,120,400

 

  PERFORMANCE FUNDING.....................................            498,800                 0

 

  GROSS APPROPRIATION.....................................   $     28,120,400  $     28,120,400

 

       (K) UNIVERSITY OF MICHIGAN - ANN ARBOR

 

  OPERATIONS..............................................   $    295,178,500  $    300,874,900

 

  PERFORMANCE FUNDING.....................................          5,696,400                 0

 

  GROSS APPROPRIATION.....................................   $    300,874,900  $    300,874,900

 

       (L) UNIVERSITY OF MICHIGAN – DEARBORN

 

  OPERATIONS..............................................   $     23,701,000  $     24,095,700

 

  PERFORMANCE FUNDING.....................................            394,700                 0

 

  GROSS APPROPRIATION.....................................   $     24,095,700  $     24,095,700

 

       (M) UNIVERSITY OF MICHIGAN – FLINT

 

  OPERATIONS..............................................   $     21,359,600  $     21,901,700

 

  PERFORMANCE FUNDING.....................................            542,100                 0

 

  GROSS APPROPRIATION.....................................   $     21,901,700  $     21,901,700

 

       (N) WAYNE STATE UNIVERSITY

 

  OPERATIONS..............................................   $    190,529,900  $    191,623,200

 

  PERFORMANCE FUNDING.....................................          1,093,300                 0

 

  GROSS APPROPRIATION.....................................   $    191,623,200  $    191,623,200

 

       (O) WESTERN MICHIGAN UNIVERSITY

 

  OPERATIONS..............................................   $    102,761,100  $    104,633,700

 

  PERFORMANCE FUNDING.....................................          1,872,600                 0

 


  GROSS APPROPRIATION.....................................   $    104,633,700  $    104,633,700

 

       (P) OPERATIONS FUNDING SOURCES

 

  GROSS APPROPRIATION.....................................   $   1,428,058,500  $  1,428,058,500

 

     APPROPRIATED FROM:

 

  STATE SCHOOL AID FUND...................................        200,019,500       200,019,500

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $  1,228,039,000  $  1,228,039,000

 

       (3) MICHIGAN PUBLIC SCHOOL EMPLOYEES RETIREMENT

 

   SYSTEM (MPSERS)

 

  MPSERS UAL CAP REIMBURSEMENT............................   $       5,160,000  $       5,340,000

 

  GROSS APPROPRIATION.....................................   $      5,160,000  $      5,340,000

 

     APPROPRIATED FROM:

 

  STATE SCHOOL AID FUND...................................          5,160,000         5,340,000

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $              0  $              0

 

       (4) STATE AND REGIONAL PROGRAMS

 

  HIGHER EDUCATION DATABASE MODERNIZATION AND CONVERSION..   $        200,000  $        200,000

 

  MIDWESTERN HIGHER EDUCATION COMPACT.....................           115,000           115,000

 

  GROSS APPROPRIATION.....................................   $        315,000  $        315,000

 

     APPROPRIATED FROM:

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $        315,000  $        315,000

 

       (5) MARTIN LUTHER KING, JR. – CESAR CHAVEZ – ROSA

 

     PARKS PROGRAM

 

  SELECT STUDENT SUPPORT SERVICES.........................   $      1,956,100  $      1,956,100

 

  MICHIGAN COLLEGE/UNIVERSITY PARTNERSHIP PROGRAM.........            586,800           586,800

 

  MORRIS HOOD, JR. EDUCATOR DEVELOPMENT PROGRAM...........           148,600           148,600

 

  GROSS APPROPRIATION.....................................   $      2,691,500  $      2,691,500

 

     APPROPRIATED FROM:

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $      2,691,500  $      2,691,500

 


       (6) GRANTS AND FINANCIAL AID

 

  STATE COMPETITIVE SCHOLARSHIPS..........................   $     18,361,700  $      18,361,700

 

  TUITION GRANTS..........................................         33,532,500        33,532,500

 

  TUITION INCENTIVE PROGRAM...............................         48,500,000        48,500,000

 

  CHILDREN OF VETERANS AND OFFICER’S SURVIVOR

 

     TUITION PROGRAM.....................................          1,400,000         1,400,000

 

  PROJECT GEAR-UP.........................................          3,200,000         3,200,000

 

  GROSS APPROPRIATION.....................................   $    104,994,200  $    104,994,200

 

     APPROPRIATED FROM:

 

  UNITED STATES DEPARTMENT OF EDUCATION, OFFICE OF       .                  

 

   ELEMENTARY AND SECONDARY EDUCATION, GEAR-UP PROGRAM...          3,200,000         3,200,000

 

  SOCIAL SECURITY ACT, TEMPORARY ASSISTANCE FOR NEEDY

 

   FAMILIES..............................................         93,826,400        93,826,400

 

  CONTRIBUTIONS TO CHILDREN OF VETERANS TUITION GRANT

 

   PROGRAM...............................................            100,000           100,000

 

  STATE GENERAL FUND/GENERAL PURPOSE......................   $      7,867,800  $      7,867,800

 

       Enacting section 1. (1) In accordance with section 30 of article I of the state

 

constitution of 1963, total state spending on school aid under article I as amended by

 

this amendatory act from state sources for fiscal year 2015-2016 is estimated at

 

$12,183,194,700.00 and state appropriations for school aid to be paid to local units

 

of government for fiscal year 2015-2016 are estimated at $12,022,427,700.00; and total

 

state spending on school aid under article I as amended by this amendatory act from

 

state sources for fiscal year 2016-2017 is estimated at $12,063,484,700.00 and state

 

appropriations for school aid to be paid to local units of government for fiscal year

 

2016-2017 are estimated at $11,885,517,700.00.

 

       (2) In accordance with section 30 of article IX of the state constitution of

 

1963, total state spending from state sources for community colleges for fiscal year

 


2015-2016 under article II as amended by this amendatory act is estimated at

 

$393,825,600.00 and the amount of that state spending from state sources to be paid to

 

local units of government for fiscal year 2015-2016 is estimated at $393,825,600.00;

 

and total state spending from state sources for community colleges for fiscal year

 

2016-2017 under article II as amended by this amendatory act is estimated at

 

$400,725,600.00 and the amount of that state spending from state sources to be paid to

 

local units of government for fiscal year 2016-2017 is estimated at $400,725,600.00.

 

       (3) In accordance with section 30 of article IX of the state constitution of

 

1963, total state spending from state sources for higher education for fiscal year

 

2015-2016 under article III as amended by this amendatory act is estimated at

 

$1,444,192,800.00 and the amount of that state spending from state sources to be paid

 

to local units of government for fiscal year 2015-2016 is estimated at $0; and total

 

state spending from state sources for higher education for fiscal year 2016-2017 under

 

article III as amended by this amendatory act is estimated at $1,444,372,800.00 and

 

the amount of that state spending from state sources to be paid to local units of

 

government for fiscal year 2016-2017 is estimated at $0.

 

       Enacting section 2. Sections 12, 22c, 22j, 31b, 32r, 64c, 64d, 74a, 99b, 147d,

 

166, 201a, 208, 210b, 212, 227, 228, 236a, 239a, 259, 261, 262a, 271a, 273, 274, 274a,

 

275a, and 293 of the state school aid act of 1979, 1979 PA 94, MCL 388.1612,

 

388.1622c, 388.1622j, 388.1631b, 388.1632r, 388.1664c, 388.1664d, 388.1674a,

 

388.1699b, 388.1747d, 388.1766, 388.1801a, 388.1808, 388.1810b, 388.1812, 388.1827,

 

388.1828, 388.1836a, 388.1839a, 388.1859, 388.1861, 388.1862a, 388.1871a, 388.1873,

 

388.1874, 388.1874a, 388.1875a, and 388.1893 are repealed effective October 1, 2015.

 

       Enacting section 3. (1) Except as otherwise provided in subsection (2), this

 

amendatory act takes effect October 1, 2015.

 

       (2) Sections 18a, 95a and 252 of the state school aid act of 1979, 1979 PA 94,

 

MCL 388.1618a, 388.1695a, 388.1852, as amended by this amendatory act take effect upon

 


enactment of this amendatory act.