S.B. 555-565: COMMITTEE SUMMARY - HIGHER ED.: DENYING FINANCIAL AID -



Senate Bills 555 through 565 (as introduced)

Sponsor: Senator Philip E. Hoffman (S.B. 555, 558, 565)

Senator Mike Rogers (S.B. 556, 557, 559)

Senator Loren Bennett (S.B. 560, 561, 563)

Senator Joel D. Gougeon (S.B. 562, 564)

Committee: Education


Date Completed: 2-3-98


CONTENT


Senate Bills 555 to 564 would amend various Acts that provide financial aid for students enrolled in postsecondary institutions, to make ineligible for that aid a person who was subject to a court order denying a Federal benefit due to the conviction of any State or Federal offense for the distribution or possession of controlled substances. The person would not be eligible for the financial aid for the duration of the court order. The bills refer to Federal benefits as described in the Federal Comprehensive Drug Abuse Prevention and Control Act.


Senate Bill 565 would amend the Code of Criminal Procedure to require the State Court Administrator's Office, not more than 30 days after the bill's effective date and at least annually thereafter, to provide to all trial courts with jurisdiction over criminal prosecutions involving possession or distribution of controlled substances, information on the denial of Federal benefits and on the option, under Federal law, of including this denial in sentencing for a State offense.


(Under the Comprehensive Drug Abuse Prevention and Control Act, "Federal benefit" means the issuance of any grant, contract, loan, professional license, or commercial license provided by an agency of the United States or by appropriated funds of the United States. "Federal benefit" does not include any retirement, welfare, Social Security, health, disability, veterans benefit, public housing, or other similar benefit, or any other benefit for which payments or services are required for eligibility.)


Senate Bills 555 to 564 would amend the following Acts, respectively: Public Act 208 of 1964, which provides for scholarships to students enrolled in postsecondary education institutions; Public Act 313 of 1966, which provides tuition grants to resident students enrolled in independent nonprofit institutions of higher learning; Public Act 105 of 1978, which provides for grants to students enrolled in independent nonprofit institutions of higher learning; the Single Business Tax Act; Public Act 303 of 1986, which establishes a Michigan work-study program for qualified resident students; Public Act 288 of 1986, which establishes a Michigan work-study program for qualified resident students; Public Act 273 of 1986, which establishes a Michigan educational opportunity grant program; Public Act 102 of 1986, which establishes a grant program for certain part-time independent students; Public Act 174 of 1976, which provides for free tuition for State resident North American Indians in Michigan; and, the Higher Education Loan Authority Act.

MCL 390.974 et al. (S.B. 555) - Legislative Analyst: L. Arasim

390.993 et al. (S.B. 556)

390.1274 et al. (S.B. 557)

390.1304 et al. (S.B. 558)

390.1324 et al. (S.B. 559)

390.1374 et al. (S.B. 560)

390.1404 et al. (S.B. 561)

390.1283 et al. (S.B. 562)

390.1251 et al. (S.B. 563)

390.1154a & 390.1162 (S.B. 564)

Proposed MCL 769.15 (S.B. 565)


FISCAL IMPACT


Senate Bill 555


There could be additional administrative costs for the Department of Treasury to determine if an individual was subject to a court order under the Federal Controlled Substances Act. The $29,428,197 level of FY 1997-98 State funding for State Competitive Scholarships would not be affected other than by a possible redistribution of funds to eligible students. The bill would have no fiscal impact on local government.


Senate Bill 556


There could be additional administrative costs for the Department of Treasury to determine if an individual was subject to a court order under the Federal Controlled Substances Act. The $57,791,856 level of FY 1997-98 State funding for Tuition Grants would not be affected other than by a possible redistribution of funds to eligible students. The bill would have no fiscal impact on local government.


Senate Bill 557


The bill would have no fiscal impact on State or local government because Tuition Differential Grants have not received any State funding since FY 1984-85.


Senate Bill 558


The bill would have no fiscal impact on State or local government because Legislative Merit Awards have not received any State funding since FY 1980-81.


Senate Bills 559 and 560


There could be additional administrative costs for Michigan public and private colleges and universities to determine if an individual was subject to a court order under the Federal Controlled Substances Act. The $7,136,336 level of FY 1997-98 State funding for the Michigan Work Study Program (which includes both undergraduate and graduate students) would not be affected other than by a possible redistribution of funds to eligible students. The bill would have no fiscal impact on local government.



Senate Bill 561


There could be additional administrative costs for Michigan public colleges and universities to determine if an individual was subject to a court order under the Federal Controlled Substances Act. The $2,030,105 level of FY 1997-98 State funding for Michigan Education Opportunity Grants would not be affected other than by a possible redistribution of funds to eligible students. The bill would have no fiscal impact on local government.


Senate Bill 562


There could be additional administrative costs for Michigan public and private colleges and universities to determine if an individual was subject to a court order under the Federal Controlled Substances Act. The $2,584,509 level of FY 1997-98 State funding for the Part-time Independent Student Program would not be affected other than by a possible redistribution of funds to eligible students. The bill would have no fiscal impact on local government.


Senate Bill 563


There could be additional administrative costs for Michigan public colleges and universities and for Bay Mills Tribal College to determine if an individual was subject to a court order under the Federal Controlled Substances Act. The $3,382,176 level of State funding that was included in the FY 1996-97 base appropriation for each community college and university would not be affected. The bill would have no fiscal impact on local government.


Senate Bill 564


There could be additional administrative costs for the Department of Treasury to determine if an individual was subject to a court order under the Federal Controlled Substances Act. The Department of Treasury's Higher Education Loan Authority has the power to loan money to students or parents of students, and may issue bonds to provide loans. The level of bonding and the amount of money available for loans would not be affected but there could be redistribution of loan funds to eligible students. The bill would have no fiscal impact on local government.


Senate Bill 565


The bill would have a minimal impact on the State Court Administrative Office.


- Fiscal Analyst: E. Jeffries

- B. Bowerman (S.B. 565)



S9798\S555SA

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.