HB-4452, As Passed House, July 2, 2003                                      

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                              SUBSTITUTE FOR                                    

                                                                                

                           HOUSE BILL NO. 4452                                  

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to amend 1979 PA 94, entitled                                              

                                                                                

    "The state school aid act of 1979,"                                         

                                                                                

    by amending section 101 (MCL 388.1701), as amended by 2002                  

                                                                                

    PA 476.                                                                     

                                                                                

                THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                      

                                                                                

1       Sec. 101.  (1) To be eligible to receive state aid under                    

                                                                                

2   this act, not later than the fifth Wednesday after the pupil                

                                                                                

3   membership count day and not later than the fifth Wednesday after           

                                                                                

4   the supplemental count day, each district superintendent through            

                                                                                

5   the secretary of the district's board shall file with the                   

                                                                                

6   intermediate superintendent a certified and sworn copy of the               

                                                                                

7   number of pupils enrolled and in regular daily attendance in the            

                                                                                

8   district as of the pupil membership count day and as of the                 

                                                                                

9   supplemental count day, as applicable, for the current school               

                                                                                

10  year.  In addition, a district maintaining school during the                

                                                                                


                                                                                

1   entire year, as provided under section 1561 of the revised school           

                                                                                

2   code, MCL 380.1561, shall file with the intermediate                        

                                                                                

3   superintendent a certified and sworn copy of the number of pupils           

                                                                                

4   enrolled and in regular daily attendance in the district for the            

                                                                                

5   current school year pursuant to rules promulgated by the                    

                                                                                

6   superintendent.  Not later than the seventh Wednesday after the             

                                                                                

7   pupil membership count day and not later than the seventh                   

                                                                                

8   Wednesday after the supplemental count day, the intermediate                

                                                                                

9   district shall transmit to the department the data filed by each            

                                                                                

10  of its constituent districts.  If a district fails to file the              

                                                                                

11  sworn and certified copy with the intermediate superintendent in            

                                                                                

12  a timely manner, as required under this subsection, the                     

                                                                                

13  intermediate district shall notify the department and state aid             

                                                                                

14  due to be distributed under this act shall be withheld from the             

                                                                                

15  defaulting district immediately, beginning with the next payment            

                                                                                

16  after the failure and continuing with each payment until the                

                                                                                

17  district complies with this subsection.  If an intermediate                 

                                                                                

18  district fails to transmit the data in its possession in a timely           

                                                                                

19  and accurate manner to the department, as required under this               

                                                                                

20  subsection, state aid due to be distributed under this act shall            

                                                                                

21  be withheld from the defaulting intermediate district                       

                                                                                

22  immediately, beginning with the next payment after the failure              

                                                                                

23  and continuing with each payment until the intermediate district            

                                                                                

24  complies with this subsection.  If a district or intermediate               

                                                                                

25  district does not comply with this subsection by the end of the             

                                                                                

26  fiscal year, the district or intermediate district forfeits the             

                                                                                

27  amount withheld.  A person who willfully falsifies a figure or              


    House Bill No. 4452 (H-1) as amended July 2, 2003                           

1   statement in the certified and sworn copy of enrollment shall be            

                                                                                

2   punished in the manner prescribed by section 161.                           

                                                                                

3       (2) To be eligible to receive state aid under this act, not                 

                                                                                

4   later than the twenty-fourth Wednesday after the pupil membership           

                                                                                

5   count day and not later than the twenty-fourth Wednesday after              

                                                                                

6   the supplemental count day, an intermediate district shall submit           

                                                                                

7   to the department, in a form and manner prescribed by the                   

                                                                                

8   department, the audited enrollment and attendance data for the              

                                                                                

9   pupils of its constituent districts and of the intermediate                 

                                                                                

10  district.  If an intermediate district fails to transmit the                

                                                                                

11  audited data as required under this subsection, state aid due to            

                                                                                

12  be distributed under this act shall be withheld from the                    

                                                                                

13  defaulting intermediate district immediately, beginning with the            

                                                                                

14  next payment after the failure and continuing with each payment             

                                                                                

15  until the intermediate district complies with this subsection.              

                                                                                

16  If an intermediate district does not comply with this subsection            

                                                                                

17  by the end of the fiscal year, the intermediate district forfeits           

                                                                                

18  the amount withheld.                                                        

                                                                                

19      (3) Except as otherwise provided in this section, each                      

                                                                                

20  district shall provide at least [164 days and]  180 days of pupil instruction    

                                                                                

21  and a number of  1,098 hours of pupil instruction.  at least                

                                                                                

22  equal to the required minimum number of hours of pupil                      

                                                                                

23  instruction required for 2000-2001 under section 1284 of the                

                                                                                

24  revised school code, MCL 380.1284.  [Except as otherwise provided           

                                                                                

25  in this act, a district failing to hold 180 164 days of pupil               

                                                                                

26  instruction shall forfeit from its total state aid allocation for           

                                                                                

27  each day of failure an amount equal to 1/180 1/164 of its total state       


     House Bill No. 4452 (H-1) as amended July 2, 2003

   

1   aid allocation.] Except as otherwise provided in this act, a                

                                                                                

2   district failing to comply with the required minimum hours of               

                                                                                

3   pupil instruction under this subsection shall forfeit from its              

                                                                                

4   total state aid allocation an amount determined by applying a               

                                                                                

5   ratio of the number of hours the district was in noncompliance in           

                                                                                

6   relation to the required minimum number of hours under this                 

                                                                                

7   subsection.  [ A district failing to meet both the 180 164 days of          

                                                                                

8   pupil instruction requirement and the minimum number of hours of            

                                                                                

9   pupil instruction requirement under this subsection shall be                

                                                                                

10  penalized only the higher of the 2 amounts calculated under the             

                                                                                

11  forfeiture provisions of this subsection.Not later than August           

                                                                                

12  1, the board of each district shall certify to the department the           

                                                                                

13  number of [days and] hours of pupil instruction in the previous             

                                                                                

14  school year.  If the district did not  hold at least 180 days               

                                                                                

15  and  provide at least the required minimum number of [days and] hours of    

                                                                                

16  pupil instruction under this subsection, the deduction of state             

                                                                                

17  aid shall be made in the following fiscal year from the first               

                                                                                

18  payment of state school aid.  A district is not subject to                  

                                                                                

19  forfeiture of funds under this subsection for a fiscal year in              

                                                                                

20  which a forfeiture was already imposed under subsection  (7)                

                                                                                

21  (6)[Days or and hours] lost because of strikes or teachers'              

                                                                                

22  conferences shall not be counted as [days or] hours of pupil                

                                                                                

23  instruction.  [A district not having at least 75% of the                    

                                                                                

24  district's membership in attendance on any day of pupil                     

                                                                                

25  instruction shall receive state aid in that proportion of 1/180  1/164      

                                                                                

26  that the actual percent of attendance bears to the specified                

                                                                                

27  percentage.] The superintendent shall promulgate rules for the              


                                                                                

1   implementation of this subsection.                                          

                                                                                

2       (4) Except as otherwise provided in this subsection, the                    

                                                                                

3   first  2 days  30 hours for which pupil instruction is not                  

                                                                                

4   provided because of conditions not within the control of school             

                                                                                

5   authorities, such as severe storms, fires, epidemics, or health             

                                                                                

6   conditions as defined by the city, county, or state health                  

                                                                                

7   authorities, shall be counted as  days  hours of pupil                      

                                                                                

8   instruction.   In addition, for 2001-2002 only, the department              

                                                                                

9   shall count as days of pupil instruction not more than 4                    

                                                                                

10  additional days, and shall count as hours of pupil instruction              

                                                                                

11  not more than 24 hours, for which pupil instruction was not                 

                                                                                

12  provided in a district after May 27, 2002 due to a train                    

                                                                                

13  derailment involving hazardous materials.  Subsequent such  days            

                                                                                

14  hours shall not be counted as  days  hours of pupil instruction.            

                                                                                

15      (5) A district shall not forfeit part of its state aid                      

                                                                                

16  appropriation because it adopts or has in existence an                      

                                                                                

17  alternative scheduling program for pupils in kindergarten if the            

                                                                                

18  program provides at least the number of hours required under                

                                                                                

19  subsection (3) for a full-time equated membership for a pupil in            

                                                                                

20  kindergarten as provided under section 6(4).                                

                                                                                

21      (6) Upon application by the district for a particular fiscal                

                                                                                

22  year, the superintendent may waive the minimum number of days of            

                                                                                

23  pupil instruction requirement of subsection (3) for a district if           

                                                                                

24  the district has adopted an experimental school year schedule in            

                                                                                

25  1 or more buildings in the district if the experimental school              

                                                                                

26  year schedule provides the required minimum number of hours of              

                                                                                

27  pupil instruction under subsection (3) or more and is consistent            


     House Bill No. 4452 (H-1) as amended July 2, 2003

   

1   with all state board policies on school improvement and                     

                                                                                

2   restructuring.  If a district applies for and receives a waiver             

                                                                                

3   under this subsection and complies with the terms of the waiver,            

                                                                                

4   for the fiscal year covered by the waiver the district is not               

                                                                                

5   subject to forfeiture under this section of part of its state aid           

                                                                                

6   allocation for the specific building or program covered by the              

                                                                                

7   waiver.                                                                     

                                                                                

8       (6)  (7)  Not later than April 15 of each fiscal year, the                  

                                                                                

9   board of each district shall certify to the department the                  

                                                                                

10  planned number of [days and] hours of pupil instruction in the              

                                                                                

11  district for the school year ending in the fiscal year.  In                 

                                                                                

12  addition to any other penalty or forfeiture under this section,             

                                                                                

13  if at any time the department determines that 1 or more of the              

                                                                                

14  following has occurred in a district, the district shall forfeit            

                                                                                

15  in the current fiscal year beginning in the next payment to be              

                                                                                

16  calculated by the department a proportion of the funds due to the           

                                                                                

17  district under this act that is equal to the proportion below               

                                                                                

18  [180 164 days and] the required minimum number of hours of pupil            

                                                                                

19  instruction under subsection (3), as specified in the following:            

                                                                                

20      (a) The district fails to operate its schools for at least                  

                                                                                

21  [180 164 days and] the required minimum number of hours of pupil            

                                                                                

22  instruction under subsection (3) in a school year, including                

                                                                                

23  days  hours counted under subsection (4).                                  

                                                                                

24      (b) The board of the district takes formal action not to                    

                                                                                

25  operate its schools for at least [180 164 days and] the required            

                                                                                

26  minimum number of hours of pupil instruction under subsection (3)           

                                                                                

27  in a school year, including  days  hours counted under subsection           


                                                                                

1   (4).                                                                        

                                                                                

2       (7)  (8)  In providing the minimum number of hours of pupil                 

                                                                                

3   instruction required under subsection (3), a district shall use             

                                                                                

4   the following guidelines, and a district shall maintain records             

                                                                                

5   to substantiate its compliance with the following guidelines:               

                                                                                

6       (a) Except as otherwise provided in this subsection, a pupil                

                                                                                

7   must be scheduled for at least the required minimum number of               

                                                                                

8   hours of instruction, excluding study halls, or at least the sum            

                                                                                

9   of 90 hours plus the required minimum number of hours of                    

                                                                                

10  instruction, including up to 2 study halls.                                 

                                                                                

11      (b) The time a pupil is assigned to any tutorial activity in                

                                                                                

12  a block schedule may be considered instructional time, unless               

                                                                                

13  that time is determined in an audit to be a study hall period.              

                                                                                

14      (c) A pupil in grades 9 to 12 for whom a reduced schedule is                

                                                                                

15  determined to be in the individual pupil's best educational                 

                                                                                

16  interest must be scheduled for a number of hours equal to at                

                                                                                

17  least 80% of the required minimum number of hours of pupil                  

                                                                                

18  instruction to be considered a full-time equivalent pupil.                  

                                                                                

19      (d) If a pupil in grades 9 to 12 who is enrolled in a                       

                                                                                

20  cooperative education program or a special education pupil cannot           

                                                                                

21  receive the required minimum number of hours of pupil instruction           

                                                                                

22  solely because of travel time between instructional sites during            

                                                                                

23  the school day, that travel time, up to a maximum of 3 hours per            

                                                                                

24  school week, shall be considered to be pupil instruction time for           

                                                                                

25  the purpose of determining whether the pupil is receiving the               

                                                                                

26  required minimum number of hours of pupil instruction.  However,            

                                                                                

27  if a district demonstrates to the satisfaction of the department            


     House Bill No. 4452 (H-1) as amended July 2, 2003

   

1   that the travel time limitation under this subdivision would                

                                                                                

2   create undue costs or hardship to the district, the department              

                                                                                

3   may consider more travel time to be pupil instruction time for              

                                                                                

4   this purpose.                                                               

                                                                                

5       (8)  (9)  The department shall apply the guidelines under                   

                                                                                

6   subsection  (8)  (7) in calculating the full-time equivalency of            

                                                                                

7   pupils.                                                                     

                                                                                

8       (9)  (10)  Upon application by the district for a particular                

                                                                                

9   fiscal year, the superintendent may waive for a district the [180 164       

                                                                                

10  days or] minimum number of hours of pupil instruction requirement           

                                                                                

11  of subsection (3) for a department-approved alternative education           

                                                                                

12  program.  If a district applies for and receives a waiver under             

                                                                                

13  this subsection and complies with the terms of the waiver, for              

                                                                                

14  the fiscal year covered by the waiver the district is not subject           

                                                                                

15  to forfeiture under this section for the specific program covered           

                                                                                

16  by the waiver.                                                              

                                                                                

17      (10)  (11) Beginning in 2000-2001, a  A district may count up               

                                                                                

18  to 51 hours of professional development for teachers as hours of            

                                                                                

19  pupil instruction.  A district that elects to use this exception            

                                                                                

20  shall notify the department of its election.                                

                                                                                

21      (11) Before a district changes its schedule to [less than 180 days          

                                                                                

22  of pupil instruction], the governing board of the district shall hold at least 2  

                                                                                

23  public hearings on the issue [and shall obtain a performance audit of district operations by an independent certified public accountant, certified in performance auditing, that details all areas in which the district can make budget cuts without adversely affecting pupil performance].  If the                                 

                                                                                

24  governing board decides to make the change, the governing board             

                                                                                

25  shall adopt a resolution that includes all of the following:                

                                                                                

26      (a) A statement in writing pledging that the costs savings                  

27  from the change will be allocated to classroom instruction and              


                                                                                

1   will not be used for pay increases.                                         

                                                                                

2       (b) A statement in writing indicating that the change is                    

                                                                                

3   being made because the governing board has determined that it               

                                                                                

4   will result in budget savings and stabilize or enhance pupil                

                                                                                

5   performance in the district.                                                

                                                                                

6       Enacting section 1.  This amendatory act does not take                      

                                                                                

7   effect unless House Bill No. 4453 of the 92nd Legislature is                

                                                                                

8   enacted into law.