HB-4359, As Passed House, August 22, 2007
SUBSTITUTE FOR
HOUSE BILL NO. 4359
A bill to amend 1979 PA 94, entitled
"The state school aid act of 1979,"
by amending sections 3, 6, 6a, 8b, 11, 11a, 11f, 11g, 11j, 11k,
11m, 15, 18, 19, 20, 20j, 22a, 22b, 22c, 22d, 24, 24a, 24c, 26a,
26b, 29, 31a, 31d, 31f, 32b, 32c, 32d, 32j, 32l, 37, 38, 39, 39a,
41, 51a, 51c, 51d, 53a, 54, 54a, 56, 57, 61a, 62, 64, 65, 74, 76,
81, 94a, 98, 99, 99e, 99h, 104, 107, 147, and 163 (MCL 388.1603,
388.1606, 388.1606a, 388.1608b, 388.1611, 388.1611a, 388.1611f,
388.1611g, 388.1611j, 388.1611k, 388.1611m, 388.1615, 388.1618,
388.1619, 388.1620, 388.1620j, 388.1622a, 388.1622b, 388.1622c,
388.1622d, 388.1624, 388.1624a, 388.1624c, 388.1626a, 388.1626b,
388.1629, 388.1631a, 388.1631d, 388.1631f, 388.1632b, 388.1632c,
388.1632d, 388.1632j, 388.1632l, 388.1637, 388.1638, 388.1639,
388.1639a, 388.1641, 388.1651a, 388.1651c, 388.1651d, 388.1653a,
388.1654, 388.1654a, 388.1656, 388.1657, 388.1661a, 388.1662,
388.1664, 388.1665, 388.1674, 388.1676, 388.1681, 388.1694a,
388.1698, 388.1699, 388.1699e, 388.1699h, 388.1704, 388.1707,
388.1747, and 388.1763), sections 3, 11, 11g, 11j, 22a, 22b, 26b,
31a, 51a, 51c, 65, 81, and 147 as amended by 2007 PA 6, sections 6,
11a, 11f, 11k, 15, 18, 20, 20j, 22d, 24, 26a, 31d, 31f, 32c, 32d,
32j, 32l, 37, 39a, 41, 51d, 53a, 54, 54a, 56, 57, 61a, 62, 74, 94a,
98, 99, and 107 as amended and sections 11m, 22c, 24a, 24c, 29,
32b, 64, 99e, 99h, and 104 as added by 2006 PA 342, section 6a as
amended by 1997 PA 93, sections 8b and 38 as amended by 2003 PA
158, sections 19 and 39 as amended by 2005 PA 155, section 76 as
amended by 1996 PA 300, and section 163 as amended by 2004 PA 351,
and by adding sections 31g, 32, 32e, 32f, 65a, 77, 98d, 99a, and
99i; and to repeal acts and parts of acts.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 3. (1) "Average daily attendance", for the purposes of
complying
with federal law, and except as used in section 6(4)(bb),
means
92% of the membership pupils
counted in membership on the
pupil
membership count day, as defined in
section 6(4) 6(7).
(2) "Board" means the governing body of a district or public
school academy.
(3) "Center" means the center for educational performance and
information created in section 94a.
(4) "Cooperative education program" means a written voluntary
agreement between and among districts to provide certain
educational programs for pupils in certain groups of districts. The
written agreement shall be approved by all affected districts at
least annually and shall specify the educational programs to be
provided and the estimated number of pupils from each district who
will participate in the educational programs.
(5) "Department", except in section 107, means the department
of education.
(6) "District" means a local school district established under
the revised school code, a local act school district, or, except in
sections 6(4), 6(6), 13, 20, 22a, 23, 29, 31a, 105, and 105c, a
public school academy. Except in sections 6(4), 6(6), 13, 20, 22a,
29, 105, and 105c, district also includes a university school.
(7) "District of residence", except as otherwise provided in
this subsection, means the district in which a pupil's custodial
parent or parents or legal guardian resides. For a pupil described
in section 24b, the pupil's district of residence is the district
in which the pupil enrolls under that section. For a pupil
described in section 6(4)(d), the pupil's district of residence
shall be considered to be the district or intermediate district in
which the pupil is counted in membership under that section. For a
pupil under court jurisdiction who is placed outside the district
in which the pupil's custodial parent or parents or legal guardian
resides, the pupil's district of residence shall be considered to
be the educating district or educating intermediate district.
(8) "District superintendent" means the superintendent of a
district, the chief administrator of a public school academy, or
the chief administrator of a university school.
Sec. 6. (1) "Center program" means a program operated by a
district or 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 act,
means for a district, public school academy, university school, or
intermediate district the sum of the product of .75 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 .25
times the final audited count from the supplemental count day for
the immediately preceding school year. 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. 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, public school
academy, university school, or 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 vocational 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 university school shall be counted
in membership in the university school.
(h) A pupil enrolled in a public school academy shall be
counted in membership in the public school academy.
(i) For a new district, university school, or public school
academy beginning its operation after December 31, 1994, 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, public school academy, university school,
or 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) Pupils to be counted in membership shall be not less than 5
years of age on December 1 and less than 20 years of age on
September 1 of the school year except a special education pupil who
is enrolled and receiving instruction in a special education
program or service approved by the department and not having a high
school diploma who is less than 26 years of age as of September 1
of the current school year shall be counted in membership.
(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. 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 the department of labor and economic growth, 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 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 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 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 provides instruction for at
least 1/2 of the class hours specified in subdivision (q), the
public school academy 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 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 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.
(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) 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.
(s) For a district, university school, or public school
academy that has pupils enrolled in a grade level that was not
offered by the district, university school, or public school
academy 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, except computers, 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) A pupil enrolled in an alternative or disciplinary
education program described in section 25 shall be counted in
membership in the district or public school academy that expelled
the pupil.
(w) 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
within 45 days after the pupil membership count day, the department
shall adjust the district's pupil count for the pupil membership
count day to include the pupil in the count.
(x) 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 .75 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 .25 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.
(y) 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, 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.
(z) If a public school academy that is not in its first or
second year of operation closes at the end of a school year and
does not reopen for the next school year, the department shall
adjust the membership count of the district in which a former pupil
of the public school academy enrolls and is in regular daily
attendance for the next school year to ensure that the district
receives the same amount of membership aid for the pupil as if the
pupil were counted in the district on the supplemental count day of
the preceding school year.
(aa) Full-time equated memberships for preprimary-aged 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 preprimary-aged special education pupils
who are not enrolled in kindergarten but are receiving nonclassroom
services under R 340.1755 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.
(bb)
Full-time equated memberships for pupils enrolled in a
public
school academy that is wholly contained within a county
juvenile
detention facility shall be considered to be the average
daily
attendance of pupils enrolled in the public school academy
for
the immediately preceding fiscal year, as reported by the
public
school academy and audited by the intermediate district in
which
the public school academy is located. However, if a public
school
academy described in this subdivision does not provide
definitive
information to the auditing intermediate district to
support
the pupil memberships generated by average daily
attendance,
then full-time equated memberships for pupils enrolled
in
that public school academy shall be calculated as otherwise
provided
under this subsection.
(bb) (cc)
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.
(5) "Public school academy" means a public school academy,
urban high school academy, or strict discipline academy operating
under the revised school code.
(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 university
school.
(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 750.90g, 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 high school, for
the pupil's enrollment in the Michigan virtual high school.
(j) A pupil who is the child of a person who is employed by
the district. 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.
However, if a district that is not a first class district
educates pupils who reside in a first class district and if the
primary instructional site for those pupils is located within the
boundaries of the first class district, the educating district must
have the approval of the first class district to count those pupils
in membership. As used in this subsection, "first class district"
means a district organized as a school district of the first class
under the revised school code.
(7) "Pupil membership count day" of a district or intermediate
district means:
(a) Except as provided in subdivision (b), the fourth
Wednesday after Labor day 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) Fourth Wednesday after Labor day.
(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, intermediate district, or public school
academy 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, or public school
academy 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 fiscal year" means a fiscal year that commences
July 1 and continues through June 30.
(12) "State board" means the state board of education.
(13) "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.
(14) "Supplemental count day" means the day on which the
supplemental pupil count is conducted under section 6a.
(15) "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. Tuition pupil does not include a
pupil who is a special education pupil or a pupil described in
subsection
(6)(d) to (j) (k). 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.
(16) "State school aid fund" means the state school aid fund
established in section 11 of article IX of the state constitution
of 1963.
(17) "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.
(18) "Textbook" means a book that is selected and approved by
the governing board of a district 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.
(19) "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 act.
(20) "University school" means an instructional program
operated by a public university under section 23 that meets the
requirements of section 23.
Sec. 6a. Except as otherwise provided in this act, in addition
to the pupil membership count day, there shall be a supplemental
pupil count of the number of full-time equated pupils in grades K-
12 actually enrolled and in regular daily attendance in a district
or intermediate district on the second Wednesday in February or,
for a district that is not in session on that day due to conditions
not within the control of school authorities, with the approval of
the
superintendent, the immediately preceding
following day on
which the district is in session. For the purposes of this act, the
day on which the supplemental pupil count is conducted is the
supplemental count day.
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 act
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 act 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 act 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 8 for the
public school academies in excess of 100.
Sec.
11. (1) For the fiscal year ending September 30, 2007,
there
is appropriated for the public schools of this state and
certain
other state purposes relating to education the sum of
$11,299,963,200.00
from the state school aid fund established by
section
11 of article IX of the state constitution of 1963 and the
sum
of $35,000,000.00 from the general fund. For the fiscal year
ending September 30, 2008, there is appropriated for the public
schools of this state and certain other state purposes relating to
education the sum of $11,796,943,700.00 from the state school aid
fund established by section 11 of article IX of the state
constitution of 1963 and the sum of $35,000,000.00 from the general
fund. In addition, available federal funds are appropriated for the
fiscal year.
(2) The appropriations under this section shall be allocated
as provided in this act. Money appropriated under this section from
the general fund shall be expended to fund the purposes of this act
before the expenditure of money appropriated under this section
from the state school aid fund. If the maximum amount appropriated
under this section from the state school aid fund for a fiscal year
exceeds the amount necessary to fully fund allocations under this
act from the state school aid fund, that excess amount shall not be
expended in that state fiscal year and shall not lapse to the
general fund, but instead shall be deposited into the school aid
stabilization fund created in section 11a.
(3) If the maximum amount appropriated under this section from
the state school aid fund and the school aid stabilization fund for
a fiscal year exceeds the amount available for expenditure from the
state school aid fund for that fiscal year, payments under sections
11f, 11g, 11j, 22a, 26a, 26b, 31d, 31f, 51a(2), 51a(12), 51c, 53a,
and 56 shall be made in full. In addition, for districts beginning
operations after 1994-95 that qualify for payments under section
22b, payments under section 22b shall be made so that the
qualifying districts receive the lesser of an amount equal to the
1994-95 foundation allowance of the district in which the district
beginning operations after 1994-95 is located or $5,500.00. The
amount of the payment to be made under section 22b for these
qualifying districts shall be as calculated under section 22a, with
the balance of the payment under section 22b being subject to the
proration otherwise provided under this subsection and subsection
(4). If proration is necessary, state payments under each of the
other sections of this act from all state funding sources shall be
prorated in the manner prescribed in subsection (4) as necessary to
reflect the amount available for expenditure from the state school
aid fund for the affected fiscal year. However, if the department
of treasury determines that proration will be required under this
subsection, or if the department of treasury determines that
further proration is required under this subsection after an
initial proration has already been made for a fiscal year, the
department of treasury shall notify the state budget director, and
the state budget director shall notify the legislature at least 30
calendar days or 6 legislative session days, whichever is more,
before the department reduces any payments under this act because
of the proration. During the 30 calendar day or 6 legislative
session day period after that notification by the state budget
director, the department shall not reduce any payments under this
act because of proration under this subsection. The legislature may
prevent proration from occurring by, within the 30 calendar day or
6 legislative session day period after that notification by the
state budget director, enacting legislation appropriating
additional funds from the general fund, countercyclical budget and
economic stabilization fund, state school aid fund balance, or
another source to fund the amount of the projected shortfall.
(4) If proration is necessary, the department shall calculate
the proration in district and intermediate district payments that
is required under subsection (3) as follows:
(a) The department shall calculate the percentage of total
state school aid allocated under this act for the affected fiscal
year for each of the following:
(i) Districts.
(ii) Intermediate districts.
(iii) Entities other than districts or intermediate districts.
(b) The department shall recover a percentage of the proration
amount required under subsection (3) that is equal to the
percentage calculated under subdivision (a)(i) for districts by
reducing payments to districts. This reduction shall be made by
calculating an equal dollar amount per pupil as necessary to
recover this percentage of the proration amount and reducing each
district's total state school aid from state sources, other than
payments under sections 11f, 11g, 11j, 22a, 26a, 26b, 31d, 31f,
51a(2), 51a(12), 51c, and 53a, by that amount.
(c) The department shall recover a percentage of the proration
amount required under subsection (3) that is equal to the
percentage calculated under subdivision (a)(ii) for intermediate
districts by reducing payments to intermediate districts. This
reduction shall be made by reducing the payments to each
intermediate district, other than payments under sections 11f, 11g,
26a, 26b, 51a(2), 51a(12), 53a, and 56, on an equal percentage
basis.
(d) The department shall recover a percentage of the proration
amount required under subsection (3) that is equal to the
percentage calculated under subdivision (a)(iii) for entities other
than districts and intermediate districts by reducing payments to
these entities. This reduction shall be made by reducing the
payments to each of these entities, other than payments under
sections 11j, 26a, and 26b, on an equal percentage basis.
(5) Except for the allocation under section 26a, any general
fund allocations under this act that are not expended by the end of
the state fiscal year are transferred to the school aid
stabilization fund created under section 11a.
(6)
In addition to the appropriations in subsection (1), for
the
fiscal year ending September 30, 2007, there is appropriated
from
the reserve for undistributed investment income in the
Michigan
public school employees' retirement system an amount not
to
exceed $262,000,000.00 solely for the purpose of issuing credits
pursuant
to section 147.
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 11(3) and state payments in an amount
equal to the remainder of the projected shortfall shall be prorated
in the manner provided under section 11(4).
(7)
For 2006-2007 2007-2008, there is transferred appropriated
from the school aid stabilization fund to the state school aid fund
the amount necessary to fully fund the allocations under this act.
Sec. 11f. (1) From the appropriations under section 11, there
is allocated for the purposes of this section an amount not to
exceed
$32,000,000.00 for the fiscal year ending September 30, 2007
and
for each succeeding fiscal year through the fiscal year ending
September 30, 2008. Payments under this section will cease after
September 30, 2008. These allocations are for paying the amounts
described in subsection (4) to districts and intermediate
districts, other than those receiving a lump sum payment under
subsection (2), that were not plaintiffs in the consolidated cases
known as Durant v State of Michigan, Michigan supreme court docket
no. 104458-104492 and that, on or before March 2, 1998, submitted
to the state treasurer a board resolution waiving any right or
interest the district or intermediate district has or may have in
any claim or litigation based on or arising out of any claim or
potential claim through September 30, 1997 that is or was similar
to the claims asserted by the plaintiffs in the consolidated cases
known as Durant v State of Michigan. The waiver resolution shall be
in form and substance as required under subsection (7). The state
treasurer is authorized to accept such a waiver resolution on
behalf of this state. The amounts described in this subsection
represent offers of settlement and compromise of any claim or
claims that were or could have been asserted by these districts and
intermediate districts, as described in this subsection.
(2) In addition to any other money appropriated under this
act, there was appropriated from the state school aid fund an
amount not to exceed $1,700,000.00 for the fiscal year ending
September 30, 1999. This appropriation was for paying the amounts
described in this subsection to districts and intermediate
districts that were not plaintiffs in the consolidated cases known
as Durant v State of Michigan; that, on or before March 2, 1998,
submitted to the state treasurer a board resolution waiving any
right or interest the district or intermediate district had or may
have had in any claim or litigation based on or arising out of any
claim or potential claim through September 30, 1997 that is or was
similar to the claims asserted by the plaintiffs in the
consolidated cases known as Durant v State of Michigan; and for
which the total amount listed in section 11h and paid under this
section was less than $75,000.00. For a district or intermediate
district qualifying for a payment under this subsection, the entire
amount listed for the district or intermediate district in section
11h was paid in a lump sum on November 15, 1998 or on the next
business day following that date. The amounts paid under this
subsection represent offers of settlement and compromise of any
claim or claims that were or could have been asserted by these
districts and intermediate districts, as described in this
subsection.
(3) This section does not create any obligation or liability
of this state to any district or intermediate district that does
not submit a waiver resolution described in this section. This
section, any other provision of this act, and section 353e of the
management and budget act, 1984 PA 431, MCL 18.1353e, are not
intended to admit liability or waive any defense that is or would
be available to this state or its agencies, employees, or agents in
any litigation or future litigation with a district or intermediate
district.
(4) The amount paid each fiscal year to each district or
intermediate district under subsection (1) shall be 1/20 of the
total amount listed in section 11h for each listed district or
intermediate district that qualifies for a payment under subsection
(1). The amounts listed in section 11h and paid in part under this
subsection and in a lump sum under subsection (2) are offers of
settlement and compromise to each of these districts or
intermediate districts to resolve, in their entirety, any claim or
claims that these districts or intermediate districts may have
asserted for violations of section 29 of article IX of the state
constitution of 1963 through September 30, 1997, which claims are
or were similar to the claims asserted by the plaintiffs in the
consolidated cases known as Durant v State of Michigan. This
section, any other provision of this act, and section 353e of the
management and budget act, 1984 PA 431, MCL 18.1353e, shall not be
construed to constitute an admission of liability to the districts
or intermediate districts listed in section 11h or a waiver of any
defense that is or would have been available to the state or its
agencies, employees, or agents in any litigation or future
litigation with a district or intermediate district.
(5) The entire amount of each payment under subsection (1)
each fiscal year shall be paid on November 15 of the applicable
fiscal year or on the next business day following that date.
(6) Funds paid to a district or intermediate district under
this section shall be used only for textbooks, electronic
instructional material, software, technology, infrastructure or
infrastructure improvements, school buses, school security,
training for technology, an early intervening program described in
subsection (8), or to pay debt service on voter-approved bonds
issued by the district or intermediate district before the
effective date of this section. For intermediate districts only,
funds paid under this section may also be used for other
nonrecurring instructional expenditures including, but not limited
to, nonrecurring instructional expenditures for vocational
education, or for debt service for acquisition of technology for
academic support services. Funds received by an intermediate
district under this section may be used for projects conducted for
the benefit of its constituent districts at the discretion of the
intermediate board. To the extent payments under this section are
used by a district or intermediate district to pay debt service on
debt payable from millage revenues, and to the extent permitted by
law, the district or intermediate district may make a corresponding
reduction in the number of mills levied for that debt service.
(7) The resolution to be adopted and submitted by a district
or intermediate district under this section and section 11g shall
read as follows:
"Whereas, the board of ____________________ (name of district
or intermediate district) desires to settle and compromise, in
their entirety, any claim or claims that the district (or
intermediate district) has or had for violations of section 29 of
article IX of the state constitution of 1963, which claim or claims
are or were similar to the claims asserted by the plaintiffs in the
consolidated cases known as Durant v State of Michigan, Michigan
supreme court docket no. 104458-104492.
Whereas, the district (or intermediate district) agrees to
settle and compromise these claims for the consideration described
in sections 11f and 11g of the state school aid act of 1979, 1979
PA 94, MCL 388.1611f and 388.1611g, and in the amount specified for
the district (or intermediate district) in section 11h of the state
school aid act of 1979, 1979 PA 94, MCL 388.1611h.
Whereas, the board of _______________ (name of district or
intermediate district) is authorized to adopt this resolution.
Now, therefore, be it resolved as follows:
1. The board of ____________________ (name of district or
intermediate district) waives any right or interest it may have in
any claim or potential claim through September 30, 1997 relating to
the amount of funding the district or intermediate district is, or
may have been, entitled to receive under the state school aid act
of 1979, 1979 PA 94, MCL 388.1601 to 388.1772, or any other source
of state funding, by reason of the application of section 29 of
article IX of the state constitution of 1963, which claims or
potential claims are or were similar to the claims asserted by the
plaintiffs in the consolidated cases known as Durant v State of
Michigan, Michigan supreme court docket no. 104458-104492.
2. The board of ____________________ (name of district or
intermediate district) directs its secretary to submit a certified
copy of this resolution to the state treasurer no later than 5 p.m.
eastern standard time on March 2, 1998, and agrees that it will not
take any action to amend or rescind this resolution.
3. The board of ____________________ (name of district or
intermediate district) expressly agrees and understands that, if it
takes any action to amend or rescind this resolution, the state,
its agencies, employees, and agents shall have available to them
any privilege, immunity, and/or defense that would otherwise have
been available had the claims or potential claims been actually
litigated in any forum.
4. This resolution is contingent on continued payments by the
state each fiscal year as determined under sections 11f and 11g of
the state school aid act of 1979, 1979 PA 94, MCL 388.1611f and
388.1611g. However, this resolution shall be an irrevocable waiver
of any claim to amounts actually received by the school district or
intermediate school district under sections 11f and 11g of the
state school aid act of 1979.".
(8) An early intervening program that uses funds received
under this section shall meet either or both of the following:
(a) Shall monitor individual pupil learning for pupils in
grades K to 3 and provide specific support or learning strategies
to pupils in grades K to 3 as early as possible in order to reduce
the need for special education placement. The program shall include
literacy and numeracy supports, sensory motor skill development,
behavior supports, instructional consultation for teachers, and the
development of a parent/school learning plan. Specific support or
learning strategies may include support in or out of the general
classroom in areas including reading, writing, math, visual memory,
motor skill development, behavior, or language development. These
would be provided based on an understanding of the individual
child's learning needs.
(b) Shall provide early intervening strategies for pupils in
grades K to 3 using school-wide systems of academic and behavioral
supports and shall be scientifically research-based. The strategies
to be provided shall include at least pupil performance indicators
based upon response to intervention, instructional consultation for
teachers, and ongoing progress monitoring. A school-wide system of
academic and behavioral support should be based on a support team
available to the classroom teachers. The members of this team could
include the principal, special education staff, reading teachers,
and other appropriate personnel who would be available to
systematically study the needs of the individual child and work
with the teacher to match instruction to the needs of the
individual child.
Sec.
11g. (1) If the Michigan municipal bond authority
notifies
the state treasurer before May 15, 2007 that it has
restructured
debt service on bonds issued by districts and
intermediate
districts under section 11i to $0.00 for debt service
payments
due on May 15, 2007 and May 15, 2008, then from From the
appropriation in section 11, there is allocated for this section an
amount
not to exceed $141,000.00 each fiscal year for the fiscal
year
ending September 30, 2007 and for
the fiscal year ending
September 30, 2008, and an amount not to exceed $42,000,000.00 for
each succeeding fiscal year through the fiscal year ending
September
30, 2015, after which these payments will cease. If the
Michigan
municipal bond authority does not notify the state
treasurer
before May 15, 2007 that it has restructured debt service
on
bonds issued by districts and intermediate districts under
section
11i to $0.00 for debt service payments due on May 15, 2007
and
May 15, 2008, then from the appropriation in section 11, there
is
allocated for this section an amount not to exceed
$35,000,000.00
for the fiscal year ending September 30, 2007 and
for
each succeeding fiscal year through the fiscal year ending
September
30, 2013, after which these payments will cease. These
allocations are for paying the amounts described in subsection (3)
to districts and intermediate districts, other than those receiving
a lump-sum payment under section 11f(2), that were not plaintiffs
in the consolidated cases known as Durant v State of Michigan,
Michigan supreme court docket no. 104458-104492 and that, on or
before March 2, 1998, submitted to the state treasurer a waiver
resolution described in section 11f. The amounts paid under this
section represent offers of settlement and compromise of any claim
or claims that were or could have been asserted by these districts
and intermediate districts, as described in this section.
(2) This section does not create any obligation or liability
of this state to any district or intermediate district that does
not submit a waiver resolution described in section 11f. This
section, any other provision of this act, and section 353e of the
management and budget act, 1984 PA 431, MCL 18.1353e, are not
intended to admit liability or waive any defense that is or would
be available to this state or its agencies, employees, or agents in
any litigation or future litigation with a district or intermediate
district regarding these claims or potential claims.
(3) The amount paid each fiscal year to each district or
intermediate district under this section shall be 1 of the
following:
(a) If the district or intermediate district does not borrow
money and issue bonds under section 11i, 1/30 of the total amount
listed in section 11h for the district or intermediate district
through the fiscal year ending September 30, 2013.
(b) If the district or intermediate district borrows money and
issues bonds under section 11i, an amount in each fiscal year
calculated by the department of treasury that is equal to the debt
service amount in that fiscal year on the bonds issued by that
district or intermediate district under section 11i and that will
result in the total payments made to all districts and intermediate
districts in each fiscal year under this section being no more than
the amount appropriated under this section in each fiscal year.
(4) The entire amount of each payment under this section each
fiscal year shall be paid on May 15 of the applicable fiscal year
or on the next business day following that date. If a district or
intermediate district borrows money and issues bonds under section
11i, the district or intermediate district shall use funds received
under this section to pay debt service on bonds issued under
section 11i. If a district or intermediate district does not borrow
money and issue bonds under section 11i, the district or
intermediate district shall use funds received under this section
only for the following purposes, in the following order of
priority:
(a) First, to pay debt service on voter-approved bonds issued
by the district or intermediate district before the effective date
of this section.
(b) Second, to pay debt service on other limited tax
obligations.
(c) Third, for deposit into a sinking fund established by the
district or intermediate district under the revised school code.
(5) To the extent payments under this section are used by a
district or intermediate district to pay debt service on debt
payable from millage revenues, and to the extent permitted by law,
the district or intermediate district may make a corresponding
reduction in the number of mills levied for debt service.
(6) A district or intermediate district may pledge or assign
payments under this section as security for bonds issued under
section 11i, but shall not otherwise pledge or assign payments
under this section.
Sec. 11j. From the appropriation in section 11, there is
allocated
an amount not to exceed $42,500,000.00 for 2006-2007
$1,900,000.00 for 2007-2008 for payments to the school loan bond
redemption fund in the department of treasury on behalf of
districts and intermediate districts. Notwithstanding section 11 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 2006-2007 2007-2008, 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
municipal bond 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 appropriations in section 11, there is
allocated
for 2006-2007 2007-2008 an amount not to exceed
$22,800,000.00 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. 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
act, 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
act other than a special education or special education
transportation payment. State aid overpayments made in special
education or special education transportation payments may be
recovered from subsequent special education or special education
transportation payments.
(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 within the next fiscal
year
after the fiscal year in which 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 if the district would otherwise experience a significant
hardship.
(3) If, because of the receipt of new or updated data, the
department determines during a fiscal year that the amount paid to
a district or intermediate district under this act for a prior
fiscal year was incorrect under the law in effect for that year,
the department may make the appropriate deduction or payment in the
district's or intermediate district's allocation for the fiscal
year in which the determination is made. The deduction or payment
shall be calculated according to the law in effect in the fiscal
year in which the improper amount was paid.
(4) Expenditures made by the department under this act that
are caused by the write-off of prior year accruals may be funded by
revenue from the write-off of prior year accruals.
(5) In addition to funds appropriated in section 11 for all
programs
and services, there is appropriated each fiscal year for
2005-2006
and 2006-2007 for 2007-2008 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
act, each district or other entity shall apply the money received
by the district or entity under this act to salaries and other
compensation of teachers and other employees, tuition,
transportation, lighting, heating, ventilation, water service, the
purchase of textbooks which are designated by the board to be used
in the schools under the board's charge, 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
article 2 or intermediate district under article 8 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
act
the apportionment otherwise due for the fiscal year following
the
discovery by the department of upon
a violation by the
recipient.
(2) Within 30 days after a board or intermediate board adopts
its annual operating budget for the following school fiscal year,
or after a board or intermediate board adopts a subsequent revision
to that budget, the district or intermediate district shall make
the budget and subsequent budget revisions available on its
website, or a district may make the information available on its
intermediate district's website, in a form and manner prescribed by
the department.
(3) For the purpose of determining the reasonableness of
expenditures and whether a violation of this act has occurred, 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
at the expense of the district or intermediate district, as
applicable, 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. An intermediate district's annual financial audit
shall be accompanied by the intermediate district's pupil
accounting procedures report. 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. The pupil 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. Except as otherwise provided in this
subsection, a district shall file the annual financial audit
reports with the intermediate district not later than 120 days
after the end of each school fiscal year and the intermediate
district shall forward the annual financial audit reports for its
constituent districts and for the intermediate district, and the
pupil accounting procedures report for the pupil membership count
day and supplemental count day, to the department not later than
November 15 of each year. 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. Not later than December 1 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.
(4) By November 15 of each year, 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. Effective with the report due on
November
15, 2006, for 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.
(5) 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.
(6) By October 7 of each year, each district and intermediate
district
shall file with the department center
the transportation
expenditure report, known as "SE-4094", on a form and in the manner
prescribed
by the department center.
(7) 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 act.
(8) If a district that is a public school academy purchases
property using money received under this act, the public school
academy shall retain ownership of the property unless the public
school academy sells the property at fair market value.
(9) If a district or intermediate district does not comply
with subsection (3), (4), (5), or (6), the department shall
withhold all state school aid due to the district or intermediate
district under this act, beginning with the next payment due to the
district or intermediate district, until the district or
intermediate district complies with subsections (3), (4), (5), and
(6). If the district or intermediate district does not comply with
subsections (3), (4), (5), and (6) by the end of the fiscal year,
the district or intermediate district forfeits the amount withheld.
Sec. 19. (1) A district shall comply with any requirements of
sections 1204a, 1277, 1278, and 1280 of the revised school code,
MCL 380.1204a, 380.1277, 380.1278, and 380.1280, commonly referred
to as "public act 25 of 1990" that are not also required by the no
child left behind act of 2001, Public Law 107-110, as determined by
the department.
(2)
Each district and intermediate district shall provide to
the
department, in a form and manner prescribed by the department,
information
necessary for the development of an annual progress
report
on the required implementation of sections 1204a, 1277,
1278,
and 1280 of the revised school code, MCL 380.1204a, 380.1277,
380.1278,
and 380.1280, commonly referred to as "public act 25 of
1990".
(2) (3)
A district or intermediate district
shall comply with
all applicable reporting requirements specified in state and
federal law. Data provided to the center, in a form and manner
prescribed by the center, shall be aggregated and disaggregated as
required by state and federal law.
(3) (4)
Each district shall furnish to the
center not later
than 7 weeks after the pupil membership count day, in a manner
prescribed by the center, the information necessary for the
preparation of the district and high school graduation report. The
center shall calculate an annual graduation and pupil dropout rate
for each high school, each district, and this state, in compliance
with nationally recognized standards for these calculations. The
center shall report all graduation and dropout rates to the senate
and house education committees and appropriations committees, the
state budget director, and the department not later than 30 days
after
the publication of the list described in subsection (8) (7).
(4) (5)
By the first business day in
December and by June 30
of each year, a district shall furnish to the center, in a manner
prescribed by the center, information related to educational
personnel as necessary for reporting required by state and federal
law.
(5) (6)
By June 30 of each year, a district
shall furnish to
the center, in a manner prescribed by the center, information
related to safety practices and criminal incidents as necessary for
reporting required by state and federal law.
(6) (7)
If a district or intermediate
district fails to meet
the
requirements of subsection (2), (3), (4), or (5), or (6), the
department shall withhold 5% of the total funds for which the
district or intermediate district qualifies under this act until
the district or intermediate district complies with all of those
subsections. If the district or intermediate district does not
comply with all of those subsections by the end of the fiscal year,
the department shall place the amount withheld in an escrow account
until the district or intermediate district complies with all of
those subsections.
(7) (8)
Before publishing a list of schools
or districts
determined to have failed to make adequate yearly progress as
required by the federal no child left behind act of 2001, Public
Law 107-110, the department shall allow a school or district to
appeal that determination. The department shall consider and act
upon the appeal within 30 days after it is submitted and shall not
publish the list until after all appeals have been considered and
decided.
Sec.
20. (1) For 2005-2006, the basic foundation allowance is
$6,875.00.
For 2006-2007, the basic foundation allowance is
$7,085.00.
For 2007-2008, the basic
foundation allowance is
$7,208.00.
(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 subsection, for a
district that in the immediately preceding state fiscal year had a
foundation allowance in an amount at least equal to the amount of
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 dollar
amount of the adjustment from the immediately preceding state
fiscal year to the current state fiscal year in the basic
foundation allowance. However, for 2002-2003, the foundation
allowance for a district under this subdivision is an amount equal
to the sum of the district's foundation allowance for the
immediately preceding state fiscal year plus $200.00. For 2007-
2008, the foundation allowance for a district under this
subdivision is an amount equal to the sum of the district's
foundation allowance for the immediately preceding state fiscal
year plus $100.00.
(b) For a district that in the 1994-95 state fiscal year had a
foundation allowance greater than $6,500.00, 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. For 2002-2003, for a
district that in the 1994-95 state fiscal year had a foundation
allowance greater than $6,500.00, 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 $200.00 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. For 2007-2008, for a
district that in the 1994-95 state fiscal year had a foundation
allowance greater than $6,500.00, 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 $100.00 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.
(c) 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.
(d) For a district that received a payment under section 22c
as that section was in effect for 2001-2002, the district's 2001-
2002 foundation allowance shall be considered to have been an
amount equal to the sum of the district's actual 2001-2002
foundation allowance as otherwise calculated under this section
plus the per pupil amount of the district's equity payment for
2001-2002 under section 22c as that section was in effect for 2001-
2002.
(e) It is the intent of the legislature that beginning in
2007-2008
2008-2009, for a district that receives a payment under
section
22c for 2006-2007 2007-2008, the district's 2006-2007 2007-
2008 foundation allowance shall be considered to have been an
amount
equal to the sum of the district's actual 2006-2007 2007-
2008 foundation allowance as otherwise calculated under this
section plus the per pupil amount of the district's equity payment
for
2006-2007 2007-2008 under section 22c.
(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 $6,500.00, whichever is
less, minus the difference between the product of the taxable value
per membership pupil of all property in the district that is not a
principal residence or qualified agricultural property times the
lesser of 18 mills or the number of mills of school operating taxes
levied by the district in 1993-94 and the quotient of the ad
valorem property tax revenue of the district captured under 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, or the
brownfield redevelopment financing act, 1996 PA 381, MCL 125.2651
to 125.2672, divided by the district's membership excluding special
education pupils. For a district described in subsection (3)(b),
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
difference between the product of the taxable value per membership
pupil of all property in the district that is not a principal
residence or qualified agricultural property times the lesser of 18
mills or the number of mills of school operating taxes levied by
the district in 1993-94 and the quotient of the ad valorem property
tax revenue of the district captured under 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, or the brownfield
redevelopment financing act, 1996 PA 381, MCL 125.2651 to 125.2672,
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. The Beginning in
2007-2008, the $6,500.00 amount prescribed in this subsection shall
be adjusted each year by an amount equal to the dollar amount of
the difference between the basic foundation allowance for the
current
state fiscal year and $5,000.00, minus $200.00 $223.00.
(5) The allocation calculated under this section for a pupil
shall be based on the foundation allowance of the pupil's district
of residence. However, for a pupil enrolled in a district other
than the pupil's district of residence, if the foundation allowance
of the pupil's district of residence has been adjusted pursuant to
subsection (19), the allocation calculated under this section shall
not include the adjustment described in subsection (19). 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. The calculation
under this subsection shall take into account a district's per
pupil allocation under section 20j(2).
(6) Subject to subsection (7) and section 22b(3) and except as
otherwise provided in this subsection, for pupils in membership,
other than special education pupils, in a public school academy or
a university school, the allocation calculated under this section
is an amount per membership pupil other than special education
pupils in the public school academy or university school 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 or university school is located and the state
portion of that district's foundation allowance, or the sum of the
basic foundation allowance under subsection (1) plus $300.00,
whichever is less. However, beginning in 2007-2008, the $300.00
amount prescribed in this subsection shall be reduced by $23.00.
Notwithstanding section 101(2), 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) If more than 25% of the pupils residing within a district
are in membership in 1 or more public school academies located in
the district, then the amount per membership pupil calculated under
this section for a public school academy located in the district
shall be reduced by an amount equal to the difference between the
product of the taxable value per membership pupil of all property
in the district that is not a principal residence or qualified
agricultural property times the lesser of 18 mills or the number of
mills of school operating taxes levied by the district in 1993-94
and the quotient of the ad valorem property tax revenue of the
district captured under 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, or the brownfield redevelopment financing
act, 1996 PA 381, MCL 125.2651 to 125.2672, divided by the
district's membership excluding special education pupils, in the
school fiscal year ending in the current state fiscal year,
calculated as if the resident pupils in membership in 1 or more
public school academies located in the district were in membership
in the district. In order to receive state school aid under this
act, a district described in this subsection shall pay to the
authorizing body that is the fiscal agent for a public school
academy located in the district for forwarding to the public school
academy an amount equal to that local school operating revenue per
membership pupil for each resident pupil in membership other than
special education pupils in the public school academy, as
determined by the department.
(8) If a district does not receive an amount calculated under
subsection (9); if the number of mills the district may levy on a
principal residence and qualified agricultural property under
section 1211(1) of the revised school code, MCL 380.1211, is 0.5
mills or less; and if the district elects not to levy those mills,
the district instead shall receive a separate supplemental amount
calculated under this subsection in an amount equal to the amount
the district would have received had it levied those mills, as
determined by the department of treasury. A district shall not
receive a separate supplemental amount calculated under this
subsection for a fiscal year unless in the calendar year ending in
the fiscal year the district levies 18 mills or the number of mills
of school operating taxes levied by the district in 1993, whichever
is less, on property that is not a principal residence or qualified
agricultural property.
(9) For a district that had combined state and local revenue
per membership pupil in the 1993-94 state fiscal year of more than
$6,500.00 and that had fewer than 350 pupils in membership, if the
district elects not to reduce the number of mills from which a
principal residence and qualified agricultural property are exempt
and not to levy school operating taxes on a principal residence and
qualified agricultural property as provided in section 1211(1) of
the revised school code, MCL 380.1211, and not to levy school
operating taxes on all property as provided in section 1211(2) of
the revised school code, MCL 380.1211, there is calculated under
this subsection for 1994-95 and each succeeding fiscal year a
separate supplemental amount in an amount equal to the amount the
district would have received per membership pupil had it levied
school operating taxes on a principal residence and qualified
agricultural property at the rate authorized for the district under
section 1211(1) of the revised school code, MCL 380.1211, and
levied school operating taxes on all property at the rate
authorized for the district under section 1211(2) of the revised
school code, MCL 380.1211, as determined by the department of
treasury. If in the calendar year ending in the fiscal year a
district does not levy 18 mills or the number of mills of school
operating taxes levied by the district in 1993, whichever is less,
on property that is not a principal residence or qualified
agricultural property, the amount calculated under this subsection
will be reduced by the same percentage as the millage actually
levied compares to the 18 mills or the number of mills levied in
1993, whichever is less.
(10) 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 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. The calculation under this subsection shall
take into account a district's per pupil allocation under section
20j(2).
(11) 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.
(12) 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.
(13) 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 section 353e of the management
and budget act, 1984 PA 431, MCL 18.1353e, 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. However, for
2005-2006
and 2006-2007 2007-2008, the index shall be 1.00. 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.
(14) If the principals at the revenue estimating conference
reach a consensus on the index described in subsection (13)(c), the
basic foundation allowance for the subsequent state fiscal year
shall be at least the amount of that consensus index multiplied by
the basic foundation allowance specified in subsection (1).
(15) If at the January revenue estimating conference it is
estimated that pupil membership, excluding intermediate district
membership, for the subsequent state fiscal year will be greater
than 101% of the pupil membership, excluding intermediate district
membership, for the current state fiscal year, then it is the
intent of the legislature that the executive budget proposal for
the school aid budget for the subsequent state fiscal year include
a general fund/general purpose allocation sufficient to support the
membership in excess of 101% of the current year pupil membership.
(16) For a district that had combined state and local revenue
per membership pupil in the 1993-94 state fiscal year of more than
$6,500.00, that had fewer than 7 pupils in membership in the 1993-
94 state fiscal year, that has at least 1 child educated in the
district in the current state fiscal year, and that levies the
number of mills of school operating taxes authorized for the
district under section 1211 of the revised school code, MCL
380.1211, a minimum amount of combined state and local revenue
shall be calculated for the district as provided under this
subsection. The minimum amount of combined state and local revenue
for 1999-2000 shall be $67,000.00 plus the district's additional
expenses to educate pupils in grades 9 to 12 educated in other
districts as determined and allowed by the department. The minimum
amount of combined state and local revenue under this subsection,
before adding the additional expenses, shall increase each fiscal
year by the same percentage increase as the percentage increase in
the basic foundation allowance from the immediately preceding
fiscal year to the current fiscal year. The state portion of the
minimum amount of combined state and local revenue under this
subsection shall be calculated by subtracting from the minimum
amount of combined state and local revenue under this subsection
the sum of the district's local school operating revenue and an
amount equal to the product of the sum of the state portion of the
district's foundation allowance plus the amount calculated under
section 20j times the district's membership. As used in this
subsection, "additional expenses" means the district's expenses for
tuition or fees, not to exceed $6,500.00 as adjusted each year by
an amount equal to the dollar amount of the difference between the
basic foundation allowance for the current state fiscal year and
$5,000.00,
minus $200.00 $223.00, plus a room and board stipend not
to exceed $10.00 per school day for each pupil in grades 9 to 12
educated in another district, as approved by the department.
(17) For a district in which 7.75 mills levied in 1992 for
school operating purposes in the 1992-93 school year were not
renewed in 1993 for school operating purposes in the 1993-94 school
year, the district's combined state and local revenue per
membership pupil shall be recalculated as if that millage reduction
did not occur and the district's foundation allowance shall be
calculated as if its 1994-95 foundation allowance had been
calculated using that recalculated 1993-94 combined state and local
revenue per membership pupil as a base. A district is not entitled
to any retroactive payments for fiscal years before 2000-2001 due
to this subsection.
(18) For a district in which an industrial facilities
exemption certificate that abated taxes on property with a state
equalized valuation greater than the total state equalized
valuation of the district at the time the certificate was issued or
$700,000,000.00, whichever is greater, was issued under 1974 PA
198, MCL 207.551 to 207.572, before the calculation of the
district's 1994-95 foundation allowance, the district's foundation
allowance for 2002-2003 is an amount equal to the sum of the
district's foundation allowance for 2002-2003, as otherwise
calculated under this section, plus $250.00.
(19) For a district that received a grant under former section
32e for 2001-2002, the district's foundation allowance for 2002-
2003 and each succeeding fiscal year shall be adjusted to be an
amount equal to the sum of the district's foundation allowance, as
otherwise calculated under this section, plus the quotient of 100%
of the amount of the grant award to the district for 2001-2002
under former section 32e divided by the number of pupils in the
district's membership for 2001-2002 who were residents of and
enrolled in the district. Except as otherwise provided in this
subsection, a district qualifying for a foundation allowance
adjustment under this subsection shall use the funds resulting from
this adjustment for at least 1 of grades K to 3 for purposes
allowable under former section 32e as in effect for 2001-2002, and
may also use these funds for an early intervening program described
in subsection (20). For an individual school or schools operated by
a district qualifying for a foundation allowance under this
subsection that have been determined by the department to meet the
adequate yearly progress standards of the federal no child left
behind act of 2001, Public Law 107-110, in both mathematics and
English language arts at all applicable grade levels for all
applicable subgroups, the district may submit to the department an
application for flexibility in using the funds resulting from this
adjustment that are attributable to the pupils in the school or
schools. The application shall identify the affected school or
schools and the affected funds and shall contain a plan for using
the funds for specific purposes identified by the district that are
designed to reduce class size, but that may be different from the
purposes otherwise allowable under this subsection. The department
shall approve the application if the department determines that the
purposes identified in the plan are reasonably designed to reduce
class size. If the department does not act to approve or disapprove
an application within 30 days after it is submitted to the
department, the application is considered to be approved. If an
application for flexibility in using the funds is approved, the
district may use the funds identified in the application for any
purpose identified in the plan.
(20) An early intervening program that uses funds resulting
from the adjustment under subsection (19) shall meet either or both
of the following:
(a) Shall monitor individual pupil learning for pupils in
grades K to 3 and provide specific support or learning strategies
to pupils in grades K to 3 as early as possible in order to reduce
the need for special education placement. The program shall include
literacy and numeracy supports, sensory motor skill development,
behavior supports, instructional consultation for teachers, and the
development of a parent/school learning plan. Specific support or
learning strategies may include support in or out of the general
classroom in areas including reading, writing, math, visual memory,
motor skill development, behavior, or language development. These
would be provided based on an understanding of the individual
child's learning needs.
(b) Shall provide early intervening strategies for pupils in
grades K to 3 using schoolwide systems of academic and behavioral
supports and shall be scientifically research-based. The strategies
to be provided shall include at least pupil performance indicators
based upon response to intervention, instructional consultation for
teachers, and ongoing progress monitoring. A schoolwide system of
academic and behavioral support should be based on a support team
available to the classroom teachers. The members of this team could
include the principal, special education staff, reading teachers,
and other appropriate personnel who would be available to
systematically study the needs of the individual child and work
with the teacher to match instruction to the needs of the
individual child.
(21) For a district that levied 1.9 mills in 1993 to finance
an operating deficit, the district's foundation allowance shall be
calculated as if those mills were included as operating mills in
the calculation of the district's 1994-1995 foundation allowance. A
district is not entitled to any retroactive payments for fiscal
years before 2006-2007 due to this subsection. A district receiving
an adjustment under this subsection shall not receive more than
$800,000.00 for a fiscal year as a result of this adjustment.
(22) For a district that levied 2.23 mills in 1993 to finance
an operating deficit, the district's foundation allowance shall be
calculated as if those mills were included as operating mills in
the calculation of the district's 1994-1995 foundation allowance. A
district is not entitled to any retroactive payments for fiscal
years before 2006-2007 due to this subsection. A district receiving
an adjustment under this subsection shall not receive more than
$500,000.00 for a fiscal year as a result of this adjustment.
(23) For a district that levied 4.87 mills in 1993 to finance
an operating deficit, the district's foundation allowance shall be
calculated as if those mills were included as operating mills in
the calculation of the district's 1994-1995 foundation allowance. A
district is not entitled to any retroactive payments for fiscal
years before 2007-2008 due to this subsection. A district receiving
an adjustment under this subsection shall not receive more than
$500,000.00 for a fiscal year as a result of this adjustment.
(24) For a district in which 4.91 mills levied in 1992 for
school operating purposes in the 1992-1993 school year were not
renewed in 1993 for school operating purposes in the 1993-1994
school year, the district's combined state and local revenue per
membership pupil shall be recalculated as if that millage reduction
did not occur and, beginning in 2007-2008, the district's
foundation allowance shall be calculated as if its 1994-1995
foundation allowance had been calculated using that recalculated
1993-1994 combined state and local revenue per membership pupil as
a base. A district is not entitled to any retroactive payments for
fiscal years before 2007-2008 due to this subsection. A district
receiving an adjustment under this subsection shall not receive
more than $800,000.00 for a fiscal year as a result of this
adjustment.
(25) For a district that levied 1.8 mills in 1993 to finance
an operating deficit, the district's foundation allowance shall be
calculated as if those mills were included as operating mills in
the calculation of the district's 1994-1995 foundation allowance. A
district is not entitled to any retroactive payments for fiscal
years before 2007-2008 due to this subsection. A district receiving
an adjustment under this subsection shall not receive more than
$800,000.00 for a fiscal year as a result of this adjustment.
(26) (23)
Payments to districts, university
schools, or public
school academies 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.
(27) (24)
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.
(28) (25)
As used in this section:
(a) "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.
(b) "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.
(c) "Current state fiscal year" means the state fiscal year
for which a particular calculation is made.
(d) "Immediately preceding state fiscal year" means the state
fiscal year immediately preceding the current state fiscal year.
(e) "Local school operating revenue" means school operating
taxes levied under section 1211 of the revised school code, MCL
380.1211.
(f) "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.
(g) "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.
(h) "Principal residence" and "qualified agricultural
property" mean those terms as defined in section 7dd of the general
property tax act, 1893 PA 206, MCL 211.7dd.
(i) "School operating purposes" means the purposes included in
the operation costs of the district as prescribed in sections 7 and
18.
(j) "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.
(k) "Taxable value per membership pupil" means taxable value,
as certified by the department of treasury, 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. 20j. (1) Foundation allowance supplemental payments for
2006-2007
2007-2008 to districts that in the 1994-95 state fiscal
year had a foundation allowance greater than $6,500.00 shall be
calculated under this section.
(2) The per pupil allocation to each district under this
section shall be the difference between the dollar amount of the
adjustment from the 1998-99 state fiscal year to the current state
fiscal year in the basic foundation allowance less $223.00 minus
the dollar amount of the adjustment from the 1998-99 state fiscal
year to the current state fiscal year in the district's foundation
allowance.
(3) If a district's local revenue per pupil does not exceed
the sum of its foundation allowance under section 20 plus the per
pupil allocation under subsection (2), the total payment to the
district calculated under this section shall be the product of the
per pupil allocation under subsection (2) multiplied by the
district's membership excluding special education pupils. If a
district's local revenue per pupil exceeds the foundation allowance
under section 20 but does not exceed the sum of the foundation
allowance under section 20 plus the per pupil allocation under
subsection (2), the total payment to the district calculated under
this section shall be the product of the difference between the sum
of the foundation allowance under section 20 plus the per pupil
allocation under subsection (2) minus the local revenue per pupil
multiplied by the district's membership excluding special education
pupils. If a district's local revenue per pupil exceeds the sum of
the foundation allowance under section 20 plus the per pupil
allocation under subsection (2), there is no payment calculated
under this section for the district.
(4) Payments to districts shall not be made under this
section. Rather, the calculations under this section shall be made
and used to determine the amount of state payments under section
22b.
Sec. 22a. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $6,204,700,000.00 for 2006-2007
$6,011,000,000.00 for 2007-2008 for payments to districts,
qualifying university schools, and qualifying public school
academies to guarantee each district, qualifying university school,
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 product of the
taxable value per membership pupil of all property in the district
that is not a homestead or qualified agricultural property times
the lesser of 18 mills or the number of mills of school operating
taxes levied by the district in 1993-94 and the quotient of the ad
valorem property tax revenue of the district captured under 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, or the
brownfield redevelopment financing act, 1996 PA 381, MCL 125.2651
to 125.2672, 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.
(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 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, or the brownfield redevelopment financing
act, 1996 PA 381, MCL 125.2651 to 125.2672, divided by the
district's membership.
(3) Beginning in 2003-2004, for pupils in membership in a
qualifying public school academy or qualifying university school,
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, or to the board
of the public university operating the qualifying university
school, an amount equal to the 1994-95 per pupil payment to the
qualifying public school academy or qualifying university school
under section 20.
(4) A district, qualifying university school, or qualifying
public school academy may use funds allocated under this section in
conjunction with any federal funds for which the district,
qualifying university school, or qualifying public school academy
otherwise would be eligible.
(5) 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.
(6) 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) "Current state fiscal year" means the state fiscal year
for which a particular calculation is made.
(c) "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.
(d) "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 and qualified agricultural property could be reduced as
provided in section 1211(1) 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.
(e) "Homestead" means that term as defined in section 1211 of
the revised school code, MCL 380.1211.
(f) "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.
(g) "Qualified agricultural property" means that term as
defined in section 1211 of the revised school code, MCL 380.1211.
(h) "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.
(i) "Qualifying university school" means a university school
that was in operation in the 1994-95 school year and is in
operation in the current fiscal year.
(j) "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.
(k) "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 and qualified
agricultural property may be reduced as provided in section 1211(1)
of the revised school code, MCL 380.1211, the taxable value of
homestead and qualified agricultural property for the calendar year
ending in the current state fiscal year.
(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.
Sec. 22b. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $3,566,000,000.00 for 2006-2007
$3,752,800,000.00 for 2007-2008 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 11, the allocation
to a district under this section shall be an amount equal to the
sum of the amounts calculated under sections 20, 20j, 51a(2),
51a(3), and 51a(12), minus the sum of the allocations to the
district under sections 22a and 51c.
(3) In order to receive an allocation under this section, each
district shall do all of the following:
(a) Administer in each grade level that it operates in grades
1 to 5 a standardized assessment approved by the department of
grade-appropriate basic educational skills. A district may use the
Michigan literacy progress profile to satisfy this requirement for
grades 1 to 3. Also, if the revised school code is amended to
require annual assessments at additional grade levels, in order to
receive an allocation under this section each district shall comply
with that requirement.
(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.
(4) 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.
(5) It is the intent of the legislature that all
constitutional obligations of this state have been fully funded
under sections 22a, 31d, 51a, and 51c. If a claim is made by an
entity receiving funds under this act 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.
(6) 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 (5) 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).
(7) 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.
(8) 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.
(9) 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.
(10) From the allocation in subsection (1), there is allocated
for 2007-2008 only an amount not to exceed $40,000.00 for payment
to a district that meets all of the following:
(a) Had a membership of less than 900 pupils for 2006-2007.
(b) Is located in an intermediate district that had a taxable
value per membership pupil, as defined in section 22a, of greater
than $290,000.00 for 2006-2007.
(c) The school electors of the district voted in the
affirmative on May 8, 2007 to restore a millage reduction required
under section 31 of article IX of the state constitution of 1963,
but the district was later found to have an incorrect millage
reduction fraction as defined in section 34d of the general
property tax act, 1893 PA 206, MCL 211.34d.
(11) From the allocation in subsection (1), there is allocated
for 2007-2008 only an amount not to exceed $1,800,000.00 for a
supplemental payment to a district that elects by board resolution
under section 1211(2) of the revised school code, MCL 380.1211, to
exempt each principal residence and all qualified agricultural
property, qualified forest property, and industrial personal
property from some or all of the mills levied under that
subsection. This supplemental payment is to reimburse the district
for that exemption in an amount equal to the amount of the property
tax revenue the district would have received in the tax year ending
in the fiscal year if the board of the district had not adopted the
board resolution.
Sec. 22c. From the appropriation in section 11, there is
allocated
for 2006-2007 2007-2008 an amount not to exceed
$20,000,000.00
$113,500,000.00 to make equity payments to districts
that have a foundation allowance or per pupil payment calculated
under section 20, including any adjustment under section 20(19),
for
2006-2007 2007-2008 of less than $7,360.00 $7,669.00.
The
equity payment for a district shall be an amount per membership
pupil
equal to the lesser of $23.00 $100.00
or the difference
between
$7,360.00 $7,669.00 and the district's 2006-2007 2007-2008
foundation allowance or per pupil payment as calculated under
section 20, including any adjustment under section 20(19).
Sec. 22d. (1) From the amount allocated under section 22b, an
amount
not to exceed $750,000.00 is allocated for 2006-2007 2007-
2008 for additional payments to small, geographically isolated
districts under this section.
(2) To be eligible for a payment under this section, a
district shall 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 this section 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 this
section 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 this section and shall be paid to the eligible
districts in the same manner as payments under section 22b.
Sec. 24. (1) From the appropriation in section 11, there is
allocated
for 2006-2007 2007-2008 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)
For 2006-2007, 80% of 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, and 20% of the total amount allocated under
this
section shall be allocated by paying to the educating district
or
intermediate district an amount equal to the district’s or
intermediate
district’s added cost. For
2007-2008, 90% of 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, and 10% of the total amount allocated
under this section shall be allocated by paying to the educating
district or intermediate district an amount equal to the district’s
or intermediate district’s added cost. Beginning with allocations
for 2008-2009, 100% of 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 labor and economic growth 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 act 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 $3,000,000.00 for 2006-2007
$3,103,400.00 for 2007-2008 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 $1,253,100.00 for 2006-2007
$1,283,900.00 for 2007-2008 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 located within the district and is administered by
the department of military and veterans affairs. A district
receiving payments under this section 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.
Sec. 26a. From the state school aid fund appropriation in
section 11, there is allocated an amount not to exceed
$37,650,000.00
for 2006-2007 $39,700,000.00
for 2007-2008, and from
the general fund appropriation in section 11, there is allocated an
amount
not to exceed $12,550,000.00 for 2006-2007 $13,500,000.00
for 2007-2008 to reimburse districts, intermediate districts, and
the state school aid fund pursuant to section 12 of the Michigan
renaissance zone act, 1996 PA 376, MCL 125.2692, for taxes levied
in
2006 or for payments to districts as reimbursement for interest
paid
as a result of property tax refunds 2007. 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 2006-2007 2007-2008 an amount not to exceed
$3,400,000.00 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. 29. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $20,000,000.00 for 2006-2007
$36,000,000.00 for 2007-2008 for additional payments to eligible
districts for declining enrollment assistance.
(2) A district is eligible for a payment under this section if
all of the following apply:
(a) The district’s pupil membership for the current fiscal
year is less than the district’s pupil membership for the
immediately preceding fiscal year and the district’s pupil
membership for the immediately preceding fiscal year is less than
the district’s pupil membership for the previously preceding fiscal
year as calculated under section 6 for that fiscal year.
(b) The district’s average pupil membership is greater than
the district’s pupil membership for the current fiscal year as
calculated under section 6.
(c) The district is not eligible to receive funding under
sections 6(4)(y) or 22d of this act.
(3) Payments to each eligible district shall be equal to the
difference between the district’s average pupil membership and the
district’s pupil membership as calculated under section 6 for the
current fiscal year multiplied by the district’s foundation
allowance as calculated under section 20. If the total amount of
the payments calculated under this subsection exceeds the
allocation for this section, the payment to each district shall be
prorated on an equal percentage basis.
(4) For the purposes of this section, "average pupil
membership" means the average of the district’s membership for the
3-fiscal-year period ending with the current fiscal year,
calculated by adding the district’s actual membership for each of
those 3 fiscal years, as otherwise calculated under section 6, and
dividing the sum of those 3 membership figures by 3.
Sec. 31a. (1) From the state school aid fund money
appropriated
in section 11, there is allocated for 2006-2007 2007-
2008
an amount not to exceed $319,350,000.00
$321,450,000.00 for
payments to eligible districts and eligible public school academies
under this section. Subject to subsection (14), the amount of the
additional allowance under this section, other than funding under
subsection
(6), or (7), or (17), shall be based on
the number of
actual pupils in membership in the district or public school
academy who met the income eligibility criteria for free breakfast,
lunch, or milk in the immediately preceding state fiscal year, as
determined under the Richard B. Russell national school lunch act,
42 USC 1751 to 1769i, and reported to the department by October 31
of the immediately preceding fiscal year and adjusted not later
than December 31 of the immediately preceding fiscal year. However,
for a public school academy that began operations as a public
school academy after the pupil membership count day of the
immediately preceding school year, the basis for the additional
allowance under this section shall be the number of actual pupils
in membership in the public school academy who met the income
eligibility criteria for free breakfast, lunch, or milk in the
current state fiscal year, as determined under the Richard B.
Russell national school lunch act.
(2) To be eligible to receive funding under this section,
other
than funding under subsection (6), or (7), or (17), a
district or public school academy that has not been previously
determined to be eligible shall apply to the department, in a form
and manner prescribed by the department, and a district or public
school academy must meet all of the following:
(a) The sum of the district's or public school academy's
combined state and local revenue per membership pupil in the
current state fiscal year, as calculated under section 20, plus the
amount of the district's per pupil allocation under section 20j(2),
is less than or equal to $6,500.00 adjusted by the dollar amount of
the difference between the basic foundation allowance under section
20
for the current state fiscal year and $5,000.00, minus $200.00
$223.00.
(b) The district or public school academy agrees to use the
funding only for purposes allowed under this section and to comply
with the program and accountability requirements under this
section.
(3) Except as otherwise provided in this subsection, an
eligible district or eligible public school academy shall receive
under this section for each membership pupil in the district or
public school academy 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
by October 31 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 public school academy's per
pupil amount calculated under section 20, plus the amount of the
district's per pupil allocation under section 20j(2), not to exceed
$6,500.00 adjusted by the dollar amount of the difference between
the basic foundation allowance under section 20 for the current
state
fiscal year and $5,000.00, minus $200.00 $223.00, or of the
public school academy's per membership pupil amount calculated
under section 20 for the current state fiscal year. A public school
academy that began operations as a public school academy 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 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
by October 31 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 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 receiving funding under this section shall
use that money only to provide instructional programs and direct
noninstructional services, including, but not limited to, medical
or counseling services, for at-risk pupils; for school health
clinics;
and for the purposes of subsection (5), (6), or (7), or
(17). In addition, a district that is organized as a school
district of the first class under the revised school code 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 (1),
may use not more than 15% of the funds it receives under this
section for school security. A district or public school academy
shall not use any of that money for administrative costs or to
supplant another program or other funds, except for funds allocated
to the district or public school academy under this section in the
immediately preceding year and already being used by the district
or public school academy for at-risk pupils. 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 and may include, but are not limited
to, tutorial services, early childhood programs to serve children
age 0 to 5, and reading programs as described in former section 32f
as in effect for 2001-2002. A tutorial method may be conducted with
paraprofessionals working under the supervision of a certificated
teacher. The ratio of pupils to paraprofessionals shall be between
10:1 and 15:1. Only 1 certificated teacher is required to supervise
instruction using a tutorial method. As used in this subsection,
"to supplant another program" means to take the place of a
previously existing instructional program or direct
noninstructional services funded from a funding source other than
funding under this section.
(5) Except as otherwise provided in subsection (12), 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, 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 receives
funds under this section, necessary to operate the school breakfast
program.
(6) From the funds allocated under subsection (1), there is
allocated
for 2006-2007 2007-2008 an amount not to exceed
$3,743,000.00
$5,743,000.00 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. Beginning in 2004-2005, 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 2006-2007 2007-2008 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 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 of funds under this section,
which report shall include at least a brief description of each
program conducted by the district or public school academy using
funds under this section, the amount of funds under this section
allocated to each of those programs, the number of at-risk pupils
eligible for free or reduced price school lunch who were served by
each of those programs, and the total number of at-risk pupils
served by each of those programs. If a district or public school
academy 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 complies with
this subsection. If the district or public school academy 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 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 shall reimburse the state for all disallowances
found in the audit.
(10)
Subject to subsections (5), (6), (7), (12), and (13), and
(17), any district may use up to 100% of the funds it receives
under this section to reduce the ratio of pupils to teachers in
grades K-6, or any combination of those grades, in school buildings
in which the percentage of pupils described in subsection (1)
exceeds the district's aggregate percentage of those pupils.
Subject
to subsections (5), (6), (7), (12), and (13), and (17), if
a district obtains a waiver from the department, the district may
use up to 100% of the funds it receives under this section to
reduce the ratio of pupils to teachers in grades K-6, or any
combination of those grades, in school buildings in which the
percentage of pupils described in subsection (1) is at least 60% of
the district's aggregate percentage of those pupils and at least
30% of the total number of pupils enrolled in the school building.
To obtain a waiver, a district must apply to the department and
demonstrate to the satisfaction of the department that the class
size reductions would be in the best interests of the district's
at-risk pupils.
(11) A district or public school academy may use funds
received under this section for adult high school completion,
general educational development (G.E.D.) test preparation, adult
English as a second language, or adult basic education programs
described in section 107.
(12) For an individual school or schools operated by a
district or public school academy receiving funds under this
section that have been determined by the department to meet the
adequate yearly progress standards of the federal no child left
behind act of 2001, Public Law 107-110, in both mathematics and
English language arts at all applicable grade levels for all
applicable subgroups, the district or public school academy may
submit to the department an application for flexibility in using
the funds received under this section that are attributable to the
pupils in the school or schools. The application shall identify the
affected school or schools and the affected funds and shall contain
a plan for using the funds for specific purposes identified by the
district that are designed to benefit at-risk pupils in the school,
but that may be different from the purposes otherwise allowable
under this section. The department shall approve the application if
the department determines that the purposes identified in the plan
are reasonably designed to benefit at-risk pupils in the school. If
the department does not act to approve or disapprove an application
within 30 days after it is submitted to the department, the
application is considered to be approved. If an application for
flexibility in using the funds is approved, the district may use
the funds identified in the application for any purpose identified
in the plan.
(13) A district or public school academy that receives funds
under this section may use funds it receives under this section to
implement and operate an early intervening program for pupils in
grades K to 3 that meets either or both of the following:
(a) Monitors individual pupil learning and provides specific
support or learning strategies to pupils as early as possible in
order to reduce the need for special education placement. The
program shall include literacy and numeracy supports, sensory motor
skill development, behavior supports, instructional consultation
for teachers, and the development of a parent/school learning plan.
Specific support or learning strategies may include support in or
out of the general classroom in areas including reading, writing,
math, visual memory, motor skill development, behavior, or language
development. These would be provided based on an understanding of
the individual child's learning needs.
(b) Provides early intervening strategies using school-wide
systems of academic and behavioral supports and is scientifically
research-based. The strategies to be provided shall include at
least pupil performance indicators based upon response to
intervention, instructional consultation for teachers, and ongoing
progress monitoring. A school-wide system of academic and
behavioral support should be based on a support team available to
the classroom teachers. The members of this team could include the
principal, special education staff, reading teachers, and other
appropriate personnel who would be available to systematically
study the needs of the individual child and work with the teacher
to match instruction to the needs of the individual child.
(14) If necessary, and before any proration required under
section 11, 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 (1).
(15) 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.
(16) A district or public school academy that does not meet
the eligibility requirement under subsection (2)(a) is eligible for
funding under this section if at least 1/4 of the pupils in
membership in the district or public school academy 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 (1), and at least 4,500 of the pupils in
membership in the district or public school academy 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 (1). A district or public school academy
that is eligible for funding under this section because the
district meets the requirements of this subsection shall receive
under this section for each membership pupil in the district or
public school academy who met the income eligibility criteria for
free breakfast, lunch, or milk in the immediately preceding fiscal
year, as determined and reported as described in subsection (1), an
amount per pupil equal to 11.5% of the sum of the district's
foundation allowance or public school academy's per pupil
allocation under section 20, plus the amount of the district's per
pupil allocation under section 20j(2), not to exceed $6,500.00
adjusted by the dollar amount of the difference between the basic
foundation allowance under section 20 for the current state fiscal
year
and $5,000.00, minus $200.00 $223.00.
(17) From the funds allocated under subsection (1), there is
allocated for 2007-2008 an amount not to exceed $100,000.00 for
payment to an intermediate district that contains a district that
is a school district of the first class under the revised school
code to support after-school tutoring for at-risk girls in grades 1
to 8. Funds awarded under this subsection may be used to contract
with a nondistrict agency for a program or services described in
this subsection.
(18) (17)
As used in this section,
"at-risk pupil" means a
pupil for whom the district has documentation that the pupil meets
at least 2 of the following criteria: is a victim of child abuse or
neglect; is below grade level in English language and communication
skills or mathematics; is a pregnant teenager or teenage parent; is
eligible for a federal free or reduced-price lunch subsidy; has
atypical behavior or attendance patterns; or has a family history
of school failure, incarceration, or substance abuse. For pupils
for whom the results of at least the applicable Michigan education
assessment program (MEAP) test have been received, at-risk pupil
also includes a pupil who does not meet the other criteria under
this subsection but who did not achieve at least a score of level 2
on the most recent MEAP English language arts, mathematics, or
science test for which results for the pupil have been received.
For pupils for whom the results of the Michigan merit examination
have been received, at-risk pupil also includes a pupil who does
not meet the other criteria under this subsection but who did not
achieve proficiency on the reading component of the most recent
Michigan merit examination for which results for the pupil have
been received, did not achieve proficiency on the mathematics
component of the most recent Michigan merit examination for which
results for the pupil have been received, or did not achieve basic
competency on the science component of the most recent Michigan
merit examination for which results for the pupil have been
received. For pupils in grades K-3, at-risk pupil also includes a
pupil who is at risk of not meeting the district's core academic
curricular objectives in English language arts or mathematics.
Sec. 31d. (1) From the appropriations in section 11, there is
allocated
an amount not to exceed $22,495,100.00 for 2006-2007
2007-2008 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 2006-2007 2007-2008
all available federal funding,
estimated
at $320,000,000.00 $330,000,000.00, for the national
school lunch program and all available federal funding, estimated
at $2,506,000.00, 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.
Sec. 31f. (1) From the appropriations in section 11, there is
allocated
an amount not to exceed $9,625,000.00 for 2006-2007 2007-
2008 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 cost of a breakfast served by an efficiently operated
breakfast program as determined by the department, less federal
reimbursement, participant payments, and other state reimbursement.
Determination of efficient cost by the department shall be
determined by using a statistical sampling of statewide and
regional cost as reported in a manner approved by the department
for the preceding school year.
Sec. 31g. (1) From the appropriations in section 11, there is
allocated an amount not to exceed $2,000,000.00 for 2007-2008 for 2
grants for the Amer-I-Can training curriculum in life-management
skills. This curriculum is designed to raise self-esteem and teach
students how to empower themselves and turn their lives around with
positive self-esteem and self-determination, in order to become
responsible and productive citizens.
(2) From the funds allocated in subsection (1), the department
shall award $1,500,000.00 to a district that is a school district
of the first class under the revised school code.
(3) From the funds allocated in subsection (1), the department
shall award $500,000.00 to a district that receives an adjustment
under section 20(19) and that has a pupil membership in the current
fiscal year greater than 19,500.
(4) A district receiving a grant under this section shall
submit an evaluation report, in the form and manner prescribed by
the department, evaluating the effectiveness of the program to the
department, the house and senate fiscal agencies, and the house and
senate appropriations subcommittees having responsibility for this
act.
Sec. 32. (1) It is the intent of the legislature that, by the
2011-2012 school year, all districts will provide universal full-
day prekindergarten programs for students who are at least 4 but
less than 5 years of age as of December 1 of the school year in
which the programs are offered.
(2) It is the intent of the legislature that an amount equal
to at least 11% of the total funds appropriated in sections 32d,
32e, 32f, and 32l for preschool programs shall be appropriated for
0-3 and 0-5 early childhood programs in sections 32c and 32j.
Sec. 32b. (1) From the funds appropriated under section 11,
there
is allocated an amount not to exceed $1,000,000.00
$2,500,000.00
for 2006-2007 2007-2008 for competitive grants to
intermediate districts for the creation and continuance of great
start communities or other community purposes as identified by the
early childhood investment corporation. These dollars may not be
expended
until both of the following conditions have been met:
(a)
The the early childhood investment corporation has
identified matching dollars of at least an equal amount.
(b)
The articles of incorporation and bylaws of the early
childhood
investment corporation are amended to increase the
membership
of the executive committee from the current 15 members
to
19 members and to specify that 1 member shall be appointed by
the
senate majority leader, 1 member appointed by the senate
minority
leader, 1 member appointed by the speaker of the house of
representatives,
and 1 member appointed by the minority leader of
the
house of representatives. The early childhood investment
corporation
shall notify each of these legislative leaders of the
effective
date of this change in the articles of incorporation and
bylaws,
and each of these legislative leaders shall appoint a
member
not later than 60 days after that effective date.
Thereafter,
not later than 60 days after the convening of each
legislative
session in each odd numbered year, each legislative
leader
shall appoint a member of the executive committee. A member
appointed
in this manner shall continue to serve on the executive
committee
through the next regular legislative session unless he or
she
voluntarily resigns or is otherwise unable to serve. When a
vacancy
occurs as a result of a voluntary resignation or inability
to
serve, the legislative leader who had appointed the member shall
make
an appointment to fill that vacancy not later than 60 days
after
the date the vacancy occurs.
(2) The early childhood investment corporation shall award
grants to eligible intermediate districts in an amount to be
determined by the corporation.
(3) In order to receive funding, each intermediate district
applicant shall agree to convene local great start collaboratives
to address the availability of the 6 components of a great start
system in its communities: physical health, social-emotional
health, family supports, basic needs, economic stability and
safety, and parenting education and early education and care, to
ensure that every child in the community is ready for kindergarten.
Specifically, each grant will fund the following:
(a) A community needs assessment and strategic plan for the
development of a comprehensive system of early childhood services
and supports, accessible to all children from birth to kindergarten
and their families.
(b) Identification of local resources and services for
children with disabilities, developmental delays, or special needs
and their families.
(c) Coordination and expansion of high-quality early childhood
and childcare programs.
(d) Evaluation of local programs.
(4)
Not later than February 1, 2007, the early childhood
investment
corporation shall provide to the house and senate
appropriations
subcommittees on state school aid, the state budget
director,
and the house and senate fiscal agencies a report
detailing
the anticipated expenditures by the corporation, grant
purposes
and amounts to be distributed, and activities to be
supported
with funding under this section.
(4) (5)
Not later than December 1, 2007
2008, the early
childhood
investment corporation department
shall provide to the
house and senate appropriations subcommittees on state school aid,
the state budget director, and the house and senate fiscal agencies
a report detailing the amounts of grants awarded under this
section, the grant recipients, the activities funded by each grant
under this section, and an analysis of each grant recipient's
success in addressing the development of a comprehensive system of
early childhood services and supports.
(5) (6)
Notwithstanding section 17b,
payments under this
section may be made pursuant to an agreement with the department.
Sec. 32c. (1) From the general fund appropriation in section
11,
there is allocated an amount not to exceed $1,750,000.00
$2,500,000.00
for 2006-2007 2007-2008 to the department for grants
for community-based collaborative prevention services designed to
promote
marriage families and foster positive parenting skills;
improve parent/child interaction, especially for children 0-3 years
of age; promote access to needed community services; increase local
capacity to serve families at risk; improve school readiness; and
support healthy family environments that discourage alcohol,
tobacco, and other drug use. The allocation under this section is
to fund secondary prevention programs as defined by the children's
trust fund for the prevention of child abuse and neglect.
(2) The funds allocated under subsection (1) shall be
distributed through a joint request for proposals process
established by the department in conjunction with the children's
trust fund and the interagency director's workgroup. Projects
funded with grants awarded under this section shall meet all of the
following:
(a) Be secondary prevention initiatives and voluntary to
consumers. This appropriation is not intended to serve the needs of
children for whom and families in which neglect or abuse has been
substantiated.
(b) Demonstrate that the planned services are part of a
community's integrated comprehensive family support strategy
endorsed by the community collaborative.
(c) Provide a 25% local match, of which not more than 10% may
be in-kind services, unless this requirement is waived by the
interagency director's workgroup.
(3) Notwithstanding section 17b, payments under this section
may be made pursuant to an agreement with the department.
(4) Not later than January 30 of the next fiscal year, the
department shall prepare and submit to the governor and the
legislature an annual report of outcomes achieved by the providers
of the community-based collaborative prevention services funded
under this section for a fiscal year.
Sec. 32d. (1) From the state school aid fund money
appropriated under section 11, there is allocated an amount not to
exceed
$78,600,000.00 for 2006-2007 $83,200,000.00
for 2007-2008
for
school readiness or preschool and parenting program grants to
enable eligible districts, as determined under section 37, to
develop or expand, in conjunction with whatever federal funds may
be available, including, but not limited to, federal funds under
title I of the elementary and secondary education act of 1965, 20
USC 6301 to 6578, chapter 1 of title I of the Hawkins-Stafford
elementary and secondary school improvement amendments of 1988,
Public Law 100-297, and the head start act, 42 USC 9831 to 9852,
comprehensive
compensatory programs designed to do 1 or both of the
following:
(a)
Improve improve the readiness and subsequent achievement
of educationally disadvantaged children as defined by the
department who will be at least 4, but less than 5 years of age, as
of December 1 of the school year in which the programs are offered,
and who show evidence of 2 or more risk factors as defined in the
state board report entitled "children at risk" that was adopted by
the state board on April 5, 1988.
(b)
Provide preschool and parenting education programs similar
to
those under former section 32b as in effect for 2001-2002.
(2) A comprehensive free compensatory program funded under
this
section may shall include an age-appropriate educational
curriculum, as described in the early childhood standards of
quality for prekindergarten children adopted by the state board,
that prepares children for success in school, including language,
early literacy, and early mathematics. In addition, the
comprehensive program shall include nutritional services, health
screening for participating children, a plan for parent and legal
guardian involvement, and provision of referral services for
families eligible for community social services.
(3) In addition to the allocation under subsection (1), from
the general fund money allocated under section 11, there is
allocated
an amount not to exceed $200,000.00 for 2006-2007 2007-
2008 for a competitive grant to continue a longitudinal evaluation
of children who have participated in the Michigan school readiness
program.
(4) A district receiving a grant under this section may
contract with for-profit or nonprofit preschool center providers
that meet all provisions of the early childhood standards of
quality for prekindergarten children adopted by the state board for
the provision of the comprehensive compensatory program and retain
for administrative services an amount equal to not more than 5% of
the grant amount. A district may expend not more than 10% of the
total grant amount for administration of the program.
(5) A grant recipient receiving funds under this section shall
report to the department on the midyear report the number of
children participating in the program who meet the income or other
eligibility criteria specified under section 37(3)(g) and the total
number of children participating in the program. For children
participating in the program who meet the income or other
eligibility criteria specified under section 37(3)(g), grant
recipients 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.
Sec. 32e. (1) From the appropriation in section 11, there is
allocated an amount not to exceed $43,650,000.00 for 2007-2008 for
foundation allowance payments for eligible preschool students
enrolled in great start comprehensive compensatory programs
designed to improve the readiness and subsequent achievement of
educationally disadvantaged children.
(2) The tentative allocation for 2007-2008 to each eligible
district under this section shall be determined by multiplying the
number of children determined in section 38 or the number of
children the district indicates it has the capacity to serve,
whichever is less, by an amount equal to the sum of the district's
foundation allowance as calculated under section 20 plus the amount
of the district's per pupil allocation under section 20j(2). The
allocation under subsection (1) shall be distributed among eligible
districts in decreasing order of concentration of eligible children
as determined by section 38 until the money is allocated.
(3) To assure that the full array of services required are
provided, a district receiving a grant under this section may
contract with for-profit and nonprofit preschool center providers.
If all services are provided through such a contract arrangement,
the district may retain not more than 5% of the grant amount for
administrative costs.
(4) Local program planning for programs under this section
shall include strategies to consider ways children enrolled in head
start programs may participate in full-day and full-year programs
consisting of 48 weeks per year and 10 hours per day. A district
may contract or partner with head start providers to combine state
and federal funds to provide the full-day and full-year services,
if all state and federal requirements are met. Local programs may
access parent tuition or child care subsidy fees for hours beyond
the typical day length.
(5) The great start comprehensive compensatory program funded
under this section shall include an age-appropriate educational
curriculum, as described in the early childhood standards of
quality for prekindergarten children adopted by the state board,
that prepares children for success in school, including language,
early literacy, and early mathematics. In addition, the
comprehensive program shall include nutritional services, health
screening for participating children, a plan for parent and legal
guardian involvement, and provision of referral services for
families eligible for community social services. Children enrolled
directly by the district or a subcontract agency, who are eligible
for head start enrollment, shall be referred to the head start
agency before enrollment in this program. If the head start agency
is unable to enroll eligible children, the district or
subcontractor shall work collaboratively with the head start agency
to assure that the head start eligible children are assured of the
full array of comprehensive services as defined in head start
program guidelines and allowed by head start funding rules.
(6) To be eligible for a program funded under this section, a
student must be at least 4 but less than 5 years of age as of
December 1 of the school year in which the programs are offered,
and must show evidence of 2 or more risk factors as defined in the
state board report entitled "Children at Risk" that was adopted by
the state board on April 5, 1988.
(7) In order to be eligible for foundation allowance payments
under this section, a district shall submit an application to the
department, in a form and manner and by a date specified by the
department, that demonstrates all of the following:
(a) The district only employs for this program the following:
(i) Teachers possessing proper training. A valid teaching
certificate and an early childhood (ZA) endorsement are required.
(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, or the equivalent as
approved by the state board.
(b) More than 50% of the children participating in the program
live with families with a household income that is equal to or less
than 250% of the federal poverty level.
(c) The district will provide full-time preschool programs for
eligible students and full-time kindergarten programs for former
preschool students funded under this section. Full-time programs
for the purposes of this section are defined as programs that
provide at least 1,098 hours of age-appropriate pupil instruction.
(d) The number of children the district will be able to serve
including a verification of physical facility and staff resources
capacity.
(e) The district participates in a collaborative recruitment
and enrollment process with, at a minimum, all other funded
preschool programs that may serve children in the same geographic
area, including part-day programs described under section 32d and
the competitive programs described under section 32l, and head start
programs, 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. The collaborative recruitment and
enrollment process should be established to reflect the geographic
service areas of the collaborative partners.
(8) Districts receiving foundation allowances under this
section shall evaluate the gains in educational readiness and
progress of the students participating in the program funded under
this section in the immediately preceding school year and make this
evaluation available to the public on its website, in a form and
manner that protects the privacy of the students.
(9) A district receiving foundation allowance payments under
this section shall report, in a form and manner prescribed by the
department, the number of children participating in the program who
meet the income or other eligibility criteria specified in this
section and the total number of children participating in the
program. For children participating in the program who meet the
income or other eligibility criteria specified in this section,
districts 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.
(10) If necessary, and before any proration required under
section 11, the department shall prorate payments under this
section by reducing the amount of the per student 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 students enrolled in a program funded under this section.
(11) Funds allocated under this section are intended to
support programs for the second half of the 2007-2008 school year.
It is the intent of the legislature that programs will receive
full-year funding for 2008-2009.
Sec. 32f. (1) From the appropriation in section 11, there is
allocated an amount not to exceed $43,650,000.00 for 2007-2008 for
foundation allowance payments for eligible preschool students
enrolled in full-day universal prekindergarten.
(2) The tentative allocation for 2007-2008 to each eligible
district under this section shall be determined by multiplying the
number of children enrolled by an amount equal to the sum of the
district's foundation allowance as calculated under section 20 plus
the amount of the district's per pupil allocation under section
20j(2). The allocation under subsection (1) shall be awarded to
eligible districts in a form and manner prescribed by the
department.
(3) The full-day prekindergarten program funded under this
section shall include an age-appropriate educational curriculum, as
described in the early childhood standards of quality for
prekindergarten children adopted by the state board, that prepares
children for success in school, including language, early literacy,
and early mathematics. In addition, the comprehensive program shall
include nutritional services, health screening for participating
children, a plan for parent and legal guardian involvement, and
provision of referral services for families eligible for community
social services.
(4) To be eligible for a program funded under this section, a
student must be at least 4 but less than 5 years of age as of
December 1 of the school year in which the program is offered.
(5) In order to be eligible for foundation allowance payments
under this section, a district shall submit an application to the
department, in a form and manner and by a date specified by the
department, that demonstrates all of the following:
(a) The district only employs for this program the following:
(i) Teachers possessing proper training. A valid teaching
certificate and an early childhood (ZA) endorsement are required.
(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, or the equivalent as
approved by the state board.
(b) The district will provide full-time preschool programs for
eligible students and full-time kindergarten programs for former
preschool students funded under this section. Full-time programs
for the purposes of this section are defined as programs that
provide at least 1,098 hours of age-appropriate pupil instruction.
(c) The number of children the district will be able to serve
including a verification of physical facility and staff resources
capacity.
(6) Districts receiving foundation allowance payments under
this section shall evaluate the gains in educational readiness and
progress of the children participating in the program funded under
this section in the immediately preceding school year and make this
evaluation available to the public on its website, in a form and
manner that protects the privacy of the students.
(7) Funds allocated under this section are intended to support
programs for the second half of the 2007-2008 school year. It is
the intent of the legislature that programs will receive full-year
funding for 2008-2009.
Sec.
32j. (1) From the appropriations in section 11, there is
allocated
an amount not to exceed $5,000,000.00 for 2006-2007 for
great
parents, great start grants to intermediate districts to
provide
programs for parents with preschool children. The purpose
of
these programs is to encourage early mathematics and reading
literacy,
improve school readiness, reduce the need for special
education
services, and foster the maintenance of stable families
by
encouraging positive parenting skills.
(2)
To qualify for funding under this section, a program shall
provide
services to all families with children age 5 or younger
residing
within the intermediate district who choose to
participate,
including at least all of the following services:
(a)
Providing parents with information on child development
from
birth to age 5.
(b)
Providing parents with methods to enhance parent-child
interaction
that promote social and emotional development for
infants
and toddlers and age-appropriate language, mathematics, and
early
reading skills; including, but not limited to, encouraging
parents
to read to their preschool children at least 1/2 hour per
day.
(c)
Providing parents with examples of learning opportunities
to
promote intellectual, physical, and social growth of
preschoolers,
including the acquisition of age-appropriate
language,
mathematics, and early reading skills.
(d)
Promoting access to needed community services through a
community-school-home
partnership.
(e)
Promoting marriage.
(3)
To receive a grant under this section, an intermediate
district
shall submit a plan to the department not later than
October
1, 2006 in the form and manner prescribed by the
department.
The plan shall do all of the following in a manner
prescribed
by the department:
(a)
Provide a plan for the delivery of the program components
described
in subsection (2) that provides for educators trained in
child
development to help parents understand their role in their
child's
developmental process, thereby promoting school readiness
and
mitigating the need for special education services.
(b)
Demonstrate an adequate collaboration of local entities
involved
in providing programs and services for preschool children
and
their parents.
(c)
Provide a projected budget for the program to be funded.
The
intermediate district shall provide at least a 20% local match
from
local public or private resources for the funds received under
this
section. Not more than 1/2 of this matching requirement, up to
a
total of 10% of the total project budget, may be satisfied
through
in-kind services provided by participating providers of
programs
or services. In addition, not more than 10% of the grant
may
be used for program administration.
(4)
Each intermediate district receiving a grant under this
section
shall agree to include a data collection system approved by
the
department. The data collection system shall provide a report
by
October 15 of each year on the number of children in families
with
income below 200% of the federal poverty level that received
services
under this program and the total number of children who
received
services under this program.
(5)
The department or superintendent, as applicable, shall do
all
of the following:
(a)
The superintendent shall approve or disapprove the plans
and
notify the intermediate district of that decision not later
than
November 15, 2006. The amount allocated by each intermediate
district
shall be at least an amount equal to 150.33% of the
intermediate
district's 2005-2006 payment under this section.
(b)
The department shall ensure that all programs funded under
this
section utilize the most current validated research-based
methods
and curriculum for providing the program components
described
in subsection (2).
(c)
The department shall submit a report to the state budget
director
and the senate and house fiscal agencies summarizing the
data
collection reports described in subsection (4) by December 1
of
each year.
(6)
An intermediate district receiving funds under this
section
shall use the funds only for the program funded under this
section.
An intermediate district receiving funds under this
section
may carry over any unexpended funds received under this
section
to subsequent fiscal years and may expend those unused
funds
in subsequent fiscal years.
(1) From the appropriations in section 11, there is allocated
an amount not to exceed $27,200,000.00 for 2007-2008 for grants to
intermediate districts to provide programs for parents with
preschool children as described in this section.
(2) From the money allocated under subsection (1),
$5,000,000.00 is allocated for great parents, great start grants to
provide programs for preschool children and their families. The
purpose of these programs is to encourage early mathematics and
reading literacy, improve school readiness, reduce the need for
special education services, and foster the maintenance of stable
families by encouraging positive parenting skills. To qualify for
funding under this subsection, a program shall provide services to
all families with children age 5 or younger residing within the
intermediate district who choose to participate, including at least
all of the following information services:
(a) Providing parents with information on child development
from birth through age 5.
(b) Providing parents with methods to enhance parent-child
interaction that promote social and emotional development for
infants and toddlers and age-appropriate language, mathematics, and
early reading skills, including, but not limited to, encouraging
parents to read to their preschool children at least 1/2 hour per
day.
(c) Providing parents with examples of learning opportunities
to promote intellectual, physical, and social growth of
preschoolers, including the acquisition of age-appropriate
language, mathematics, and early reading skills.
(d) Promoting access to needed community services through a
community-school-home partnership.
(e) Promoting families.
(3) From the money allocated under subsection (1), there is
allocated $22,200,000.00 for comprehensive services grants for
children, from the prenatal period through 3 years of age, and
their families. All programs funded under this subsection shall use
research-based program models. These program models will be
determined by a leadership team with appropriate expertise from the
departments of education, human services, and community health. An
approved program will adhere to principles that have been shown to
improve chances for success in school and life, including, but not
limited to, all of the following:
(a) High-quality services and referrals that promote physical,
social, emotional, cognitive, and language development.
(b) Comprehensive developmental screening for all children.
(c) Comprehensive and flexible programs that respond to the
varied needs of families.
(d) Family-centered and community-based programs that focus on
the child and the family together in the context of their culture
and community.
(e) Caring, responsive, and well-trained staff who have
knowledge of infant and toddler development and can understand and
address parental needs and concerns.
(f) Programs that support parents as primary nurturers,
educators, and advocates for their children.
(g) Programs that provide parents with opportunities for their
own growth and development.
(h) Programs that provide smooth transitions into high-quality
preschool or other appropriate programs and collaborate with other
community resources.
(4) Grants awarded under subsection (3) will be awarded to
intermediate districts based on a formula, in the form and manner
determined by the department, that takes into consideration the
number of children age 3 or younger residing within the boundaries
of the intermediate school district and factors that place those
children at risk of school failure.
(5) To receive a grant under this section, an intermediate
district shall submit a plan to the department in the form and
manner prescribed by the department. The plan shall do all of the
following:
(a) Provide a plan for the delivery of the program components
described in subsections (2) and (3) and establish a community-wide
continuum of services.
(b) Demonstrate an adequate collaboration of local entities
involved in providing programs and services for children from the
prenatal period through age 3 and their families. At a minimum,
collaboration with any early intervention, early head start, and 0-
3 secondary prevention programs operating in the community must be
demonstrated. If great start collaboratives have been established,
the intermediate district must demonstrate that the great start
collaborative is involved in the plan and its implementation. If a
formal great start collaborative has not been recognized, an
existing similar body with similar membership selected by the
intermediate school district must be involved in the plan and its
implementation.
(c) Provide a projected budget for the program to be funded.
The intermediate district shall provide at least a 10% local match
from local public or private resources for the funds received under
this section. Not more than 1/2 of this matching requirement, up to
a total of 5% of the total project budget, may be satisfied through
in-kind services provided by participating providers of programs or
services. In addition, not more than 10% of the grant may be used
for program administration.
(6) Each intermediate district receiving a grant under this
section shall agree to include a data collection system approved by
the department. The data collection system shall provide a report
by October 15 of each year on the number of children in families
with income below 200% of the federal poverty level that received
services under this program and the total number of children who
received services under this program.
(7) The superintendent shall approve or disapprove a plan
submitted to the department under this section and notify the
intermediate district of that decision not later than 60 days after
submission of the plan. The amount allocated to each intermediate
district shall be at least an amount equal to 100% of the
intermediate district's 2006-2007 payment under this section.
(8) The department shall submit a report to the state budget
director and the senate and house fiscal agencies summarizing the
data collection reports described in subsection (6) by December 1
of each year.
(9) An intermediate district receiving funds under this
section shall use the funds only for the programs funded under this
section. An intermediate district receiving funds under this
section may carry over any unexpended funds received under this
section into the next fiscal year and may expend those unused funds
in 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 for all other grants.
(10) In addition to the allocation under subsection (1), from
the general fund money allocated under section 11, there is
allocated an amount not to exceed $300,000.00 for 2007-2008 for a
competitive grant for an evaluation of results achieved by the
programs funded under this section.
Sec. 32l. (1) From the general fund money appropriated in
section
11, there is allocated for 2006-2007 2007-2008 an amount
not
to exceed $12,250,000.00 $13,050,000.00
for competitive school
readiness program grants for the purposes of preparing children for
success in school, including language, early literacy, and early
mathematics. These grants shall be made available through a
competitive application process as follows:
(a) Any public or private nonprofit legal entity or agency may
apply for a grant under this section. However, a district or
intermediate district may not apply for a grant under this section
unless the district or intermediate district is acting as a fiscal
agent for a child caring organization regulated under 1973 PA 116,
MCL 722.111 to 722.128.
(b) An applicant shall submit an application in the form and
manner prescribed by the department.
(c) The department shall establish a diverse interagency
committee to review the applications. The committee shall be
composed of representatives of the department, appropriate
community, volunteer, and social service agencies and
organizations, and parents.
(d) The superintendent shall award the grants and shall give
priority for awarding the grants based upon the following criteria:
(i) Compliance with the state board-approved early childhood
standards of quality for prekindergarten.
(ii) Active and continuous involvement of the parents or
guardians of the children participating in the program.
(iii) Employment of teachers possessing proper training,
including a valid Michigan teaching certificate with an early
childhood (ZA) endorsement, a valid Michigan teaching certificate
with a child development associate credential (CDA), or a
bachelor's degree in child development with a specialization in
preschool teaching. However, both of the following apply to this
subparagraph:
(A) If an applicant demonstrates to the department that it is
unable to fully comply with this subparagraph after making
reasonable efforts to comply, the superintendent may still give
priority to the applicant if the applicant will employ teachers who
have significant but incomplete training in early childhood
education or child development 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 4 years of the
date of employment. Progress toward completion of the compliance
plan shall consist of at least 2 courses per calendar year.
(B) For a subcontracted program, the department shall consider
a teacher with 90 credit hours and at least 4 years' teaching
experience in a qualified preschool program to meet the
requirements under this subparagraph.
(iv) Employment of 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, or the
equivalent, as approved by the state board. If an applicant
demonstrates to the department that it is unable to fully comply
with this subparagraph, after making reasonable efforts to comply,
the superintendent of public instruction may still give priority to
an applicant if the applicant will employ paraprofessionals who
have completed at least 1 course 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.
(v) Evidence of collaboration with the community of providers
in
early childhood development programs child development programs,
including, but not limited to, Michigan school readiness and head
start providers, including documentation of the total number of
children in the community who would meet the criteria established
in subparagraph (vii), and who are being served by other providers,
and the number of children who will remain unserved by other
community early childhood programs if this program is funded.
(vi) The extent to which these funds will supplement other
federal, state, local, or private funds.
(vii) The extent to which these funds will be targeted to
children who will be at least 4, but less than 5, years of age as
of December 1 of the year in which the programs are offered and who
show evidence of 2 or more "at-risk" factors as defined in the
state board report entitled "children at risk" that was adopted by
the state board on April 5, 1988.
(viii) The program offers supplementary day care and thereby
offers full-day programs as part of its early childhood development
program.
(ix) The application contains a plan approved by the department
to conduct and report annual school readiness program evaluations
and continuous improvement plans using criteria approved by the
department. At a minimum, the evaluations shall include a self-
assessment of program quality and assessment of the gains in
educational readiness and progress of the children participating in
the program.
(e) An application shall demonstrate that the program has
established or has joined a multidistrict, multiagency school
readiness advisory committee that is involved in the planning and
evaluation of the program and that provides for the involvement of
parents and appropriate community, volunteer, and social service
agencies and organizations. The advisory committee shall include at
least 1 parent or guardian of a program participant for every 18
children enrolled in the program, with a minimum of 2 parent or
guardian representatives. The advisory committee shall do all of
the following:
(i) Review the mechanisms and criteria used to determine
referrals for participation in the school readiness program.
(ii) Review the health screening program for all participants.
(iii) Review the nutritional services provided to all
participants.
(iv) Review the mechanisms in place for the referral of
families to community social service agencies, as appropriate.
(v) Review the collaboration with and the involvement of
appropriate community, volunteer, and social service agencies and
organizations in addressing all aspects of education disadvantage.
(vi) Review, evaluate, and make recommendations for changes in
the school readiness program.
(vii) Review the agency's participation in a collaborative
recruitment and enrollment process with, at a minimum, all other
funded preschool programs that may serve children in the same
geographic area, including school district part-day programs
described under section 32d and the full-day programs described
under section 32e, and head start programs, 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.
The collaborative recruitment and enrollment process should be
established to reflect the geographic service areas of the
collaborative partners.
(2) To be eligible for a grant under this section, a program
shall demonstrate that more than 50% of the children participating
in the program live with families with a household income that is
less than or equal to 250% of the federal poverty level.
(3) The superintendent may award grants under this section at
whatever level the superintendent determines appropriate. However,
the amount of a grant under this section, when combined with other
sources of state revenue for this program, shall not exceed
$3,300.00
$3,500.00 per participating child or the cost of the
program, whichever is less.
(4) For a grant recipient that enrolls pupils in a full-day
program funded under this section, each child enrolled in the full-
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 full-day
program. As used in this subsection, "full-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 full-day program must
enroll all children for the full day to be considered a full-day
program.
(5) Except as otherwise provided in this subsection, an
applicant
that receives received a new grant under this section for
2006-2007 shall also receive priority for funding under this
section for 2007-2008 and 2008-2009. However, after 3 fiscal years
of continuous funding, an applicant is required to compete openly
with new programs and other programs completing their third year.
All grant awards under this section are contingent on the
availability of funds and documented evidence of grantee compliance
with early childhood standards of quality for prekindergarten, as
approved by the state board, and with all operational, fiscal,
administrative, and other program requirements.
(6) Notwithstanding section 17b, payments to eligible entities
under this section shall be paid on a schedule and in a manner
determined by the department.
Sec. 37. (1) A district is eligible for an allocation under
section 32d if the district meets all of the requirements in
subsections (2), (3), and (4).
(2) The district shall submit a preapplication, in a manner
and on forms prescribed by the department, by a date specified by
the department in the immediately preceding state fiscal year. The
preapplication shall include a comprehensive needs assessment and
community collaboration plan that includes, but is not limited to,
Michigan school readiness 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 district 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 district and
community early childhood programs have met their funded
enrollments. The school district shall maintain a waiting list of
identified unserved eligible children who would be served when
openings are available. For the purposes of section 32e, the number
of children enrolled in head start for whom the head start agency
proposes a collaborative model shall be considered to be
"unserved".
(3) The district shall submit a final application for
approval, in a manner and on forms prescribed by the department, by
a date specified by the department. The final application shall
indicate all of the following that apply:
(a) The district complies with the state board approved early
childhood standards of quality for prekindergarten.
(b) The district provides for the active and continuous
participation of parents or guardians of the children in the
program, and describes the district's participation plan as part of
the application.
(c) The district only employs for this program the following:
(i) Teachers possessing proper training. For programs the
district manages itself, a valid teaching certificate and an early
childhood (ZA) endorsement are required. This provision does not
apply to a district that subcontracts with an eligible child
development program. In that situation a teacher must have a valid
Michigan teaching certificate with an early childhood (ZA)
endorsement, a valid Michigan teaching certificate with a child
development associate credential, or a bachelor’s degree in child
development with specialization in preschool teaching. However,
both of the following apply to this subparagraph:
(A) If a district 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 employed by the district if the district
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
4 years of the date of employment. Progress toward completion of
the compliance plan shall consist of at least 2 courses per
calendar year.
(B) For a subcontracted program, the department shall consider
a teacher with 90 credit hours and at least 4 years' teaching
experience in a qualified preschool program to meet the
requirements under this subparagraph.
(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, or the equivalent as
approved by the state board. However, if a district demonstrates to
the department that it is unable to fully comply with this
subparagraph after making reasonable efforts to comply, the
district may employ paraprofessionals who have completed at least 1
course in early childhood education or child development if the
district 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) The district has submitted for approval a program budget
that includes only those costs not reimbursed or reimbursable by
federal funding, that are clearly and directly attributable to the
early childhood readiness program, and that would not be incurred
if the program were not being offered. If children other than those
determined to be educationally disadvantaged participate in the
program, state reimbursement under section 32d shall be limited to
the portion of approved costs attributable to educationally
disadvantaged children.
(e) The district has established a, or has joined a
multidistrict, multiagency, school readiness advisory committee
consisting of, at a minimum, classroom teachers for
prekindergarten, kindergarten, and first grade; parents or
guardians of program participants; representatives from appropriate
community agencies and organizations; the district curriculum
director or equivalent administrator; and, if feasible, a school
psychologist, school social worker, or school counselor. In
addition, there shall be on the committee at least 1 parent or
guardian of a program participant for every 18 children enrolled in
the program, with a minimum of 2 parent or guardian
representatives. The committee shall do all of the following:
(i) Ensure the ongoing articulation of the early childhood,
kindergarten, and first grade programs offered by the district or
districts.
(ii) Review the mechanisms and criteria used to determine
participation in the early childhood program.
(iii) Review the health screening program for all participants.
(iv) Review the nutritional services provided to program
participants.
(v) Review the mechanisms in place for the referral of
families to community social service agencies, as appropriate.
(vi) Review the collaboration with and the involvement of
appropriate community, volunteer, and social service agencies and
organizations in addressing all aspects of educational
disadvantage. The district must participate in a collaborative
recruitment and enrollment process with, at a minimum, all other
funded preschool programs that may serve children in the same
geographic area, including full-day programs described under
section 32e and the competitive programs described under section
32l, and head start programs, 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. The collaborative
recruitment and enrollment process should be established to reflect
the geographic service areas of the collaborative partners.
(vii) Review, evaluate, and make recommendations to a local
school readiness program or programs for changes to the school
readiness program.
(f) The district has submitted for departmental approval a
plan to conduct and report annual school readiness program
evaluations and continuous improvement plans using criteria
approved by the department. At a minimum, the evaluations shall
include a self-assessment of program quality and assessment of the
gains in educational readiness and progress of the children
participating in the program.
(g) More than 50% of the children participating in the program
live with families with a household income that is equal to or less
than 250% of the federal poverty level.
(4) A consortium of 2 or more districts shall be eligible for
an allocation under section 32d if the districts designate a single
fiscal agent for the allocation. A district or intermediate
district may administer a consortium described in this subsection.
A consortium shall submit a single preapplication and application
for the children to be served, regardless of the number of
districts participating in the consortium.
(5) With the final application, an applicant district shall
submit to the department a resolution adopted by its board
certifying the number of 4-year-old children who show evidence of
risk factors as described in section 32d who live with families
with a household income that is less than or equal to 250% of the
federal poverty level.
Sec. 38. The maximum number of prekindergarten children
construed to be in need of special readiness assistance under
section 32d and section 32e shall be calculated for each district
in the following manner: one-half of the percentage of the
district's pupils in grades 1-5 who are eligible for free lunch, as
determined by the district's October count in the school year 2
years before the fiscal year for which the calculation is made
under the Richard B. Russell national school lunch act, chapter
281,
60 Stat. 230, 42 U.S.C. USC
1751 to 1753, 1755 to 1761, 1762a,
1765 to 1766a, 1769, 1769b to 1769c, and 1769f to 1769h, as
reported to the department not later than December 31 of the fiscal
year 2 years before the fiscal year for which the calculation is
made, shall be multiplied by the average kindergarten enrollment of
the district on the pupil membership count day of the 2 immediately
preceding years.
Sec. 39. (1) The tentative allocation for each fiscal year to
each eligible district under section 32d shall be determined by
multiplying the number of children determined in section 38 or the
number of children the district indicates it will be able to serve
under
section 37(2)(c), whichever is less, by $3,300.00 $3,500.00
and shall be distributed among districts in decreasing order of
concentration of eligible children as determined by section 38
until
the money allocated in section 32d is distributed. If the
number
of children a district indicates it will be able to serve
under
section 37(2)(c) includes children able to be served in a
full-day
program, then the number able to be served in a full-day
program
shall be doubled for the purposes of making this
calculation
of the lesser of the number of children determined in
section
38 and the number of children the district indicates it
will
be able to serve under section 37(2)(c) and determining the
amount
of the tentative allocation to the district under section
32d.
(2) A district that received funds under this section in at
least 1 of the 2 immediately preceding fiscal years shall receive
priority in funding over other eligible districts. However, funding
beyond 3 state fiscal years is contingent upon the availability of
funds and documented evidence satisfactory to the department of
compliance with all operational, fiscal, administrative, and other
program requirements.
(3) A district that offers supplementary day care funded by
funds other than those received under this section and therefore
offers full-day programs as part of its early childhood development
program shall receive priority in the allocation of funds under
this section over other eligible districts other than those
districts funded under subsection (2).
(4) For any district with 315 or more eligible pupils, the
number of eligible pupils shall be 65% of the number calculated
under section 38. However, none of these districts may have less
than 315 pupils for purposes of calculating the tentative
allocation under section 32d.
(5) If, taking into account the total amount to be allocated
to the district as calculated under this section, a district
determines that it is able to include additional eligible children
in the school readiness program without additional funds under this
section, the district may include additional eligible children but
shall not receive additional funding under this section for those
children.
(6)
For a district that enrolls pupils in a full-day program
under
section 32d, each child enrolled in the full-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 allocation under section 32d. A district’s
allocation
shall not be increased solely on the basis of providing
a
full-day program.
(6) (7)
As used in this section,
"full-day program" means a
program that operates for at least the same length of day as the
district’s first grade program for a minimum of 4 days per week, 30
weeks per year. A classroom that offers a full-day program must
enroll all children for the full day to be considered a full-day
program.
Sec. 39a. (1) From the federal funds appropriated in section
11,
there is allocated for 2006-2007 2007-2008 to districts,
intermediate districts, and other eligible entities all available
federal
funding, estimated at $636,978,000.00 $669,660,100.00, 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 $9,625,800.00 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 $6,140,900.00 $6,405,500.00 for the
purpose of improving teaching and learning through a more effective
use of technology, funded from DED-OESE, educational technology
state grant funds.
(c) An amount estimated at $106,249,200.00 for the purpose of
preparing, training, and recruiting high-quality teachers and class
size reduction, funded from DED-OESE, improving teacher quality
funds.
(d)
An amount estimated at $7,627,400.00 $9,854,300.00 for
programs to teach English to limited English proficient (LEP)
children, funded from DED-OESE, language acquisition state grant
funds.
(e) An amount estimated at $8,550,000.00 for the Michigan
charter school subgrant program, funded from DED-OESE, charter
school funds.
(f)
An amount estimated at $58,000.00 for Michigan model
partnership
for character education programs, funded from DED-OESE,
title
X, fund for improvement of education funds.
(f) (g)
An amount estimated at $468,700.00
$676,000.00 for
rural and low income schools, funded from DED-OESE, rural and low
income school funds.
(g) (h)
An amount estimated at
$3,115,900.00 to help schools
develop and implement comprehensive school reform programs, funded
from DED-OESE, title I and title X, comprehensive school reform
funds.
(h) (i)
An amount estimated at $428,860,300.00
$456,971,500.00
to provide supplemental programs to enable educationally
disadvantaged children to meet challenging academic standards,
funded from DED-OESE, title I, disadvantaged children funds.
(i) (j)
An amount estimated at $3,022,700.00
$2,531,700.00 for
the purpose of providing unified family literacy programs, funded
from DED-OESE, title I, even start funds.
(j) (k)
An amount estimated at
$8,186,200.00 for the purpose
of identifying and serving migrant children, funded from DED-OESE,
title I, migrant education funds.
(k) (l) An
amount estimated at $22,928,000.00 $24,733,200.00 to
promote high-quality school reading instruction for grades K-3,
funded from DED-OESE, title I, reading first state grant funds.
(l) (m)
An amount estimated at $2,848,900.00
$2,849,000.00 for
the purpose of implementing innovative strategies for improving
student achievement, funded from DED-OESE, title VI, innovative
strategies funds.
(m) (n)
An amount estimated at $29,296,000.00
$29,911,800.00
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. Of these funds, $25,000.00
$50,000.00 may be used to support the Michigan after-school
partnership. All of the following apply to the Michigan after-
school partnership:
(i) The department shall collaborate with the department of
human services to extend the duration of the Michigan after-school
initiative, to be renamed the Michigan after-school partnership and
oversee its efforts to implement the policy recommendations and
strategic next steps identified in the Michigan after-school
initiative's report of December 15, 2003.
(ii) Funds shall be used to leverage other private and public
funding to engage the public and private sectors in building and
sustaining high-quality out-of-school-time programs and resources.
The co-chairs, representing the department and the department of
human services, shall name a fiduciary agent and may authorize the
fiduciary to expend funds and hire people to accomplish the work of
the Michigan after-school partnership.
(iii) Participation in the Michigan after-school partnership
shall be expanded beyond the membership of the initial Michigan
after-school initiative to increase the representation of parents,
youth, foundations, employers, and others with experience in
education, child care, after-school and youth development services,
and crime and violence prevention, and to include representation
from the Michigan department of community health. Each year, on or
before December 31, the Michigan after-school partnership shall
report its progress in reaching the recommendations set forth in
the Michigan after-school initiative's report to the legislature
and the governor.
(2) From the federal funds appropriated in section 11, there
is
allocated for 2006-2007 2007-2008
to districts, intermediate
districts, and other eligible entities all available federal
funding,
estimated at $4,646,400.00 $32,411,000.00, for the
following programs that are funded by federal grants:
(a) An amount estimated at $600,000.00 for acquired
immunodeficiency syndrome education grants, funded from HHS-center
for disease control, AIDS funding.
(b)
An amount estimated at $1,500,100.00 $1,665,400.00 to
provide services to homeless children and youth, funded from DED-
OVAE, homeless children and youth funds.
(c)
An amount estimated at $1,000,000.00 $200,000.00 for
refugee children school impact grants, funded from HHS-ACF, refugee
children school impact funds.
(d) An amount estimated at $1,445,600.00 for serve America
grants, funded from the corporation for national and community
service funds.
(e)
An amount estimated at $100,700.00 to encourage interstate
and
intrastate coordination of migrant education, funded from DED-
OESE,
title I, migrant education program funds.
(e) An amount estimated at $28,500,000.00 for the purpose of
providing career and technical education services to pupils, funded
from DED-OVAE, basic grants to states.
(3) To the extent allowed under federal law, the funds
allocated under subsection (1)(i), (j), and (l) may be used for 1 or
more reading improvement programs that meet at least 1 of the
following:
(a) A research-based, validated, structured reading program
that aligns learning resources to state standards and includes
continuous assessment of pupils and individualized education plans
for pupils.
(b) A mentoring program that is a research-based, validated
program or a statewide 1-to-1 mentoring program and is designed to
enhance the independence and life quality of pupils who are
mentally impaired by providing opportunities for mentoring and
integrated employment.
(c) A cognitive development program that is a research-based,
validated educational service program focused on assessing and
building essential cognitive and perceptual learning abilities to
strengthen pupil concentration and learning.
(d) A structured mentoring-tutorial reading program for pupils
in preschool to grade 4 that is a research-based, validated program
that develops individualized educational plans based on each
pupil's age, assessed needs, reading level, interests, and learning
style.
(4) 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.
(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.
Sec. 41. From the appropriation in section 11, there is
allocated
an amount not to exceed $2,800,000.00 for 2006-2007 2007-
2008 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.
51a. (1) From the appropriation in section 11, there is
allocated
for 2006-2007 an amount not to exceed $971,983,000.00
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 $350,700,000.00, plus any
carryover
federal funds from previous year appropriations. From the
appropriation in section 11, there is allocated for 2007-2008 an
amount not to exceed $1,007,883,000.00 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 $350,700,000.00, 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 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. All federal funds
allocated under this section in excess of those allocated under
this section for 2002-2003 may be distributed in accordance with
the flexible funding provisions of the individuals with
disabilities education act, Public Law 108-446, including, but not
limited to, 34 CFR 300.206 and 300.208. 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
for 2006-2007 2007-2008 the amount necessary, estimated
at
$207,900,000.00 for 2006-2007 $216,000,000.00, 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 (12), times
the sum of the foundation allowance under section 20 of the pupil's
district of residence plus the amount of the district's per pupil
allocation under section 20j(2), not to exceed $6,500.00 adjusted
by the dollar amount of the difference between the basic foundation
allowance under section 20 for the current fiscal year and
$5,000.00
minus $200.00 $223.00, or, for a special education pupil
in membership in a district that is a public school academy or
university school, times an amount equal to the amount per
membership pupil calculated under section 20(6). 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 (12), 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 $6,500.00 adjusted by
the dollar amount of the difference between the basic foundation
allowance under section 20 for the current fiscal year and
$5,000.00
minus $200.00 $223.00, and that district's per pupil
allocation under section 20j(2).
(b) After the allocations under subdivision (a), districts and
intermediate districts for which the payments 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 2006-2007 2007-2008 the amount necessary, estimated
at
$2,000,000.00 for 2006-2007 $2,200,000.00, 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 act 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 2006-2007 2007-2008 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 2006-2007 2007-
2008 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 this article, 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)
Except as otherwise provided in subdivisions (c) and (d),
beginning
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 act. 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 2004-
2005
that the amounts allocated under this section for 2004-2005
will
exceed expenditures under this section for 2004-2005, then for
2004-2005
only, for a district or intermediate district whose
reimbursement
for 2004-2005 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 this section 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.
(c) (d)
If the department determines before
bookclosing for
2005-2006
2006-2007 that the amounts allocated for 2005-2006 2006-
2007 under subsections (2), (3), (6), (8), and (12) and sections
53a,
54, and 56 will exceed expenditures for 2005-2006 2006-2007
under subsections (2), (3), (6), (8), and (12) and sections 53a,
54,
and 56, then for 2005-2006 2006-2007
only, for a district or
intermediate
district whose reimbursement for 2005-2006 2006-2007
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), (8), and (12) 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.
(d) (e)
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.
(e) (f)
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) From the allocation in subsection (1), there is allocated
for
2006-2007 2007-2008 an amount not to exceed $15,313,900.00 to
intermediate districts. The payment under this subsection to each
intermediate district shall be equal to the amount of the 1996-97
allocation to the intermediate district under subsection (6) of
this section as in effect for 1996-97.
(9) 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.
(10) 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.
(11) 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.
(12) From the funds allocated in subsection (1), there is
allocated
for 2006-2007 2007-2008 the amount necessary, estimated
at
$6,500,000.00 for 2006-2007 $6,400,000.00, 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 sum of the
foundation allowance under section 20 of the pupil's district of
residence plus the amount of the district's per pupil allocation
under section 20j(2), not to exceed $6,500.00 adjusted by the
dollar amount of the difference between the basic foundation
allowance under section 20 for the current fiscal year and
$5,000.00
minus $200.00 $223.00, or, for a pupil described in this
subsection who is counted in membership in a district that is a
public school academy or university school, times an amount equal
to the amount per membership pupil under section 20(6). 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 $6,500.00 adjusted by the dollar amount of
the difference between the basic foundation allowance under section
20
for the current fiscal year and $5,000.00 minus $200.00 $223.00,
and that district's per pupil allocation under section 20j(2). 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) Emotionally impaired pupils counted in membership by an
intermediate district and provided educational services by the
department of community health.
(13) After payments under subsections (2) and (12) 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 payment required under subsection (8).
(f) 100% of the payments under section 56.
(14) The allocations under subsection (2), subsection (3), and
subsection (12) 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.
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 2006-2007 2007-2008
the amount necessary,
estimated
at $686,700,000.00 for 2006-2007 $714,400,000.00, 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 2006-2007 2007-2008 all available
federal funding, estimated at $74,000,000.00, for special education
programs 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 2006-2007 2007-2008:
(a) An amount estimated at $15,000,000.00 for handicapped
infants and toddlers, funded from DED-OSERS, handicapped infants
and toddlers funds.
(b) An amount estimated at $14,000,000.00 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, and minus the amount calculated for
the district under section 20j. 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 $6,500.00 adjusted by the dollar amount of
the difference between the basic foundation allowance under section
20
for the current fiscal year and $5,000.00, minus $200.00
$223.00, and under section 20j.
(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 $12,800,000.00 of the allocation for 2006-
2007
2007-2008 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 2006-2007 2007-2008
in section 51a(1) shall be
allocated under this section.
Sec. 54a. From the state school aid fund money appropriated in
section 11, there is allocated an amount not to exceed $250,000.00
for
2006-2007 2007-2008 to the lending library located at central
Michigan university from which districts and intermediate districts
can borrow assessment materials designed specifically for children
with severe loss of vision or hearing, severe cognitive or motor
disabilities, or multiple disabilities and for children who require
the most specialized types of psychological and educational
assessment. The lending library shall make test assessment
materials available through borrowing to districts and intermediate
districts. The lending library shall also provide information about
the lending library at meetings and conferences for school
personnel and shall develop a website to describe the services
offered by the lending library. The lending library also shall mail
information about the services offered by the lending library to
all districts and intermediate districts.
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 each fiscal year not to exceed $36,881,100.00
for
2005-2006 and for 2006-2007 2007-2008
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 2004-2005 shall
be
made in 2005-2006 at an amount per 2004-2005 membership pupil
computed
by subtracting from $142,900.00 the 2004-2005 taxable
value
behind each membership pupil and multiplying the resulting
difference
by the 2004-2005 millage levied. Reimbursement
for those
millages
levied in 2005-2006 2006-2007
shall be made in 2006-2007
2007-2008
at an amount per 2005-2006 2006-2007 membership pupil
computed
by subtracting from $151,300.00 $161,200.00
the 2005-2006
2006-2007 taxable value behind each membership pupil and
multiplying
the resulting difference by the 2005-2006 2006-2007
millage levied.
Sec. 57. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $285,000.00 for 2006-2007 2007-
2008 for grants to intermediate districts for advanced and
accelerated students.
(2) To qualify for funding under this section, a grant
recipient shall support part of the cost of summer institutes for
advanced and accelerated students and, to the extent the funding
allows, provide comprehensive programs for advanced and accelerated
pupils.
(3) Except as otherwise provided in this subsection, the
amount of a single grant award under this section shall not exceed
$5,000.00. Intermediate districts may form a consortium, and that
consortium may receive a maximum grant amount of $5,000.00 for each
participant intermediate district. Each intermediate district or
consortium
must apply for grant funding by April 1, 2007 2008 and
demonstrate compliance with subsection (2).
(4) A district, intermediate district, or consortium that
receives a grant under this section shall provide at least a 25%
match for grant money received under this section from local public
or private resources.
(5) Any unallocated grant funds may be allocated to
intermediate districts and consortia receiving grants under this
section in an equal amount per intermediate district.
Sec. 61a. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $30,000,000.00 for 2006-2007
2007-2008 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
vocational-technical education programs, including parenthood
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 vocational-
technical program area. The allocation of added cost funds shall be
based on the type of vocational-technical programs provided, the
number of pupils enrolled, 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 vocational-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
vocational administration, shared time vocational administration,
and career education planning district vocational-technical
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) From the allocation in subsection (1), there is allocated
an
amount not to exceed $388,700.00 for 2006-2007 2007-2008 to
intermediate districts with constituent districts that had combined
state and local revenue per membership pupil in the 1994-95 state
fiscal year of $6,500.00 or more, served as a fiscal agent for a
state board designated area vocational education center in the
1993-94 school year, and had an adjustment made to their 1994-95
combined state and local revenue per membership pupil pursuant to
section 20d. The payment under this subsection to the intermediate
district shall equal the amount of the allocation to the
intermediate district for 1996-97 under this subsection.
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
each
fiscal year an amount not to exceed
$9,000,000.00 for 2005-
2006
and for 2006-2007 2007-2008 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 2004-2005 shall
be
made in 2005-2006 at an amount per 2004-2005 membership pupil
computed
by subtracting from $152,000.00 the 2004-2005 taxable
value
behind each membership pupil and multiplying the resulting
difference
by the 2004-2005 millage levied. Reimbursement
for the
millages
levied in 2005-2006 2006-2007
shall be made in 2006-2007
2007-2008
at an amount per 2005-2006 2006-2007 membership pupil
computed
by subtracting from $160,500.00 $171,200.00
the 2005-2006
2006-2007 taxable value behind each membership pupil and
multiplying
the resulting difference by the 2005-2006 2006-2007
millage levied.
Sec. 64. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $2,000,000.00 $4,000,000.00 for
2007-2008 for grants to intermediate districts or a district of the
first class that are in consortium with a community college or
state public university and a hospital to create and implement a
middle college focused on the field of health sciences.
(2) Awards shall be made in a manner and form as determined by
the department; however, at a minimum, eligible consortia funded
under this section shall ensure the middle college provides all of
the following:
(a) Outreach programs to provide information to middle school
and high school students about career opportunities in the health
sciences field.
(b) An individualized education plan for each pupil enrolled
in the program.
(c) Curriculum that includes entry-level college courses.
(d) Clinical rotations that provide opportunities for pupils
to observe careers in the health sciences.
(3) For the purposes of this section, "middle college" means a
series of courses and other requirements and conditions established
by the consortium that allow a pupil to graduate with a high school
diploma and a certificate or degree from a community college or
state public university.
(4) The funds appropriated in this section shall be awarded
for 4 consecutive years beginning with 2006-2007 in a form and
manner prescribed by the department.
(5) A district or intermediate district that received a grant
under this section in 2006-2007 shall receive 100% of that amount
in 2007-2008, 50% of the 2007-2008 amount in 2008-2009, and 50% of
the 2008-2009 amount in 2009-2010. However, a district or
intermediate district that received a grant in 2006-2007 under this
section is also eligible to receive a new grant for a new middle
college in 2007-2008 under this section.
Sec. 65. (1) From the amount appropriated in section 11, there
is
allocated an amount not to exceed $680,100.00 for 2006-2007
2007-2008 for grants to districts or intermediate districts, as
determined by the department of labor and economic growth, for
eligible precollege programs in engineering and the sciences.
(2)
From the funds allocated under subsection (1), the The
department
of labor and economic growth shall award $680,100.00 for
2006-2007
give preference in awarding
grants under subsection (1)
to the 2 eligible existing precollege programs in engineering and
sciences that received funds appropriated for these purposes in the
appropriations act containing the department of labor and economic
growth budget for 2005-2006.
(3) The department of labor and economic growth shall submit a
report to the appropriations subcommittees responsible for this act
and
to the house and senate fiscal agencies by February 1, 2007
2008 regarding dropout rates, grade point averages, enrollment in
science, engineering, and math-based curricula, and employment in
science, engineering, and mathematics-based fields for pupils who
were enrolled in the programs awarded funds under this section or
under preceding legislation. The report shall continue to evaluate
the effectiveness of the precollege programs in engineering and
sciences funded under this section.
(4) Notwithstanding section 17b, payments under this section
may be made pursuant to an agreement with the department.
Sec. 65a. From the appropriation in section 11, there is
allocated an amount not to exceed $500,000.00 for 2007-2008 for the
purposes of establishing a pilot program to facilitate access by
students of all ages to information regarding postsecondary
opportunities including, but not limited to, information on labor
markets, career planning, course offerings, and financial resources
or scholarships. The department shall award the money allocated for
this pilot program to an intermediate school district that meets
all of the following:
(a) Is located in a county with a population of at least
700,000 and fewer than 1,000,000 residents, according to the most
recent federal decennial census.
(b) Does not contain the main campus of a 4-year public
university within its boundaries.
Sec. 74. (1) From the amount appropriated in section 11, there
is
allocated an amount not to exceed $2,965,000.00 for 2006-2007
$3,025,800.00 for 2007-2008 for the purposes of this section.
(2) From the allocation in subsection (1), there is allocated
each
fiscal year for 2007-2008 the amount necessary for payments to
state supported colleges or universities and intermediate districts
providing school bus driver safety instruction or driver skills
road tests pursuant to sections 51 and 52 of the pupil
transportation act, 1990 PA 187, MCL 257.1851 and 257.1852. The
payments shall be in an amount determined by the department not to
exceed 75% of 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 or driver skills road tests 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
each fiscal year 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 act for nonspecial education
auxiliary services transportation.
(4) From the funds allocated in subsection (1), there is
allocated
an amount not to exceed $1,340,000.00 for 2006-2007
$1,400,800.00 for 2007-2008 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 each affected district in a time and
manner determined jointly by the department and the department of
state police. The department shall reimburse each district and
intermediate district for costs detailed on the statement within 30
days after receipt of the statement. Districts for which services
are provided 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. 76. If a district received money in 1993-94 attributable
to nonspecial education transportation under former section 71 and
that money was included in calculating the district's combined
state and local revenue per membership pupil in 1993-94 under
section 20(21), as that section was in effect for 1994-95, then the
district
shall use money received funding
as calculated under
section 20 as the funding for transporting nonpublic school
students as required under section 1321 of the revised school code,
being
section MCL 380.1321. of the Michigan Compiled Laws.
Sec. 77. (1) From the appropriation in section 11, there is
allocated an amount not to exceed $20,000,000.00 for 2007-2008 to
make payments to qualified districts to be used for costs
associated with transporting pupils to and from school.
(2) From the funds allocated in subsection (1), there is
allocated $15,000,000.00 for 2007-2008 to districts with a total
square mileage greater than 156.0. These funds shall be allocated
to these districts on an equal per pupil basis.
(3) From the funds allocated in subsection (1), there is
allocated $5,000,000.00 for 2007-2008 to districts with 5.0 or
fewer pupils per square mile as determined by the department. These
funds shall be allocated to these districts on an equal per pupil
basis.
(4) To receive funding under this section, a district must
operate all of grades K to 12.
Sec. 81. (1) Except as otherwise provided in this section,
from
the appropriation in section 11, there is allocated for 2006-
2007
2007-2008 to the intermediate districts the sum necessary, but
not to exceed $80,110,900.00, to provide state aid to intermediate
districts under this section. Except as otherwise provided in this
section, there shall be allocated to each intermediate district for
2006-2007
2007-2008 an amount equal to 103.1% 100% of
the amount
appropriated
under this subsection for 2005-2006 2006-2007. Funding
provided under this section shall be used to comply with
requirements of this act and the revised school code that are
applicable to intermediate districts, and for which funding is not
provided elsewhere in this act, and to provide technical assistance
to districts as authorized by the intermediate school board.
(2)
It is the intent of the legislature that intermediate
Intermediate districts receiving funds under this section 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.
(3) 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.
(4) During a fiscal year, the department shall not increase an
intermediate district's allocation under subsection (1) because of
an adjustment made by the department during the fiscal year in the
intermediate district's taxable value for a prior year. Instead,
the department shall report the adjustment and the estimated amount
of the increase to the house and senate fiscal agencies and the
state budget director not later than June 1 of the fiscal year, and
the legislature shall appropriate money for the adjustment in the
next succeeding fiscal year.
(5) In order to receive funding under this section, 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 counting 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 pupil 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.
Sec. 94a. (1) There is created within the office of the state
budget director in the department of 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 all entities receiving funds under this act.
(b) Collect data in the most efficient manner possible in
order to reduce the administrative burden on reporting entities.
(c) Establish procedures to ensure the reasonable validity and
reliability of the data and the collection process.
(d) Develop state and model local data collection policies,
including, but not limited to, policies that ensure the privacy of
individual student data. State 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 and local
policymakers to make informed policy decisions.
(f) Provide 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) Assist all entities receiving funds under this act in
complying with audits performed according to generally accepted
accounting procedures.
(h) Other functions as assigned by the state budget director.
(2) Each state department, officer, or agency that collects
information from districts or intermediate districts as required
under state or federal law shall make arrangements with the center,
and with the districts or intermediate districts, to have the
center collect the information and to provide it to the department,
officer, or agency as necessary. To the extent that it does not
cause financial hardship, the center shall arrange to collect the
information in a manner that allows electronic submission of the
information to the center. Each affected state department, officer,
or agency shall provide the center with any details necessary for
the center to collect information as provided under this
subsection. 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 state budget director shall appoint a CEPI advisory
committee, consisting of the following members:
(a) One representative from the house fiscal agency.
(b) One representative from the senate fiscal agency.
(c) One representative from the office of the state budget
director.
(d) One representative from the state education agency.
(e) One representative each from the department of labor and
economic growth and the department of treasury.
(f) Three representatives from intermediate school districts.
(g) One representative from each of the following educational
organizations:
(i) Michigan association of school boards.
(ii) Michigan association of school administrators.
(iii) Michigan school business officials.
(h) One representative representing private sector firms
responsible for auditing school records.
(i) Other representatives as the state budget director
determines are necessary.
(4) The CEPI advisory committee appointed under subsection (3)
shall provide advice to the director of the center regarding the
management of the center's data collection activities, including,
but not limited to:
(a) Determining what data is necessary to collect and maintain
in order to perform the center's functions in the most efficient
manner possible.
(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
reasonable accuracy of the data.
(f) Establishing and maintaining state and model local
policies related to data collection, including, but not limited to,
privacy policies related to individual student data.
(g) Ensuring the data is made available to state and local
policymakers and citizens of this state in the most useful format
possible.
(h) Other matters as determined by the state budget director
or the director of the center.
(5) The center may enter into any interlocal agreements
necessary to fulfill its functions.
(6) From the general fund appropriation in section 11, there
is
allocated an amount not to exceed $2,350,000.00 for 2006-2007
$2,435,400.00 for 2007-2008 to the department of management and
budget to support the operations of the center and the development
and implementation of a comprehensive data management and student
tracking system. The center shall cooperate with the state
education agency 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. In addition, from the
federal
funds appropriated in section 11 for
2006-2007 2007-2008,
there is allocated the amount necessary, estimated at
$3,543,200.00, in order to fulfill federal reporting requirements.
(7)
From the general fund allocation under subsection (6),
there
is allocated for 2006-2007 2007-2008
an amount not to exceed
$1,850,000.00
to support the development and
implementation of a
comprehensive longitudinal educational data management and student
tracking system. In addition, from the federal funds allocated in
subsection
(6), there is allocated for 2006-2007 2007-2008 an
amount not to exceed $1,500,000.00 funded from the competitive
grants of DED-OESE, title II, educational technology funds for the
purposes
of this subsection. Not later than November 30, 2006 2007,
the department shall award a single grant to an eligible
partnership that includes an intermediate district with at least 1
high-need local school district and the center.
(8) The center and the department shall work cooperatively to
develop a cost allocation plan that pays for center expenses from
the appropriate federal fund revenues.
(9) 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.
(10) 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 (6) to cover the costs associated with
salaries, benefits, supplies, materials, and equipment necessary to
provide such data, analysis, and reporting services.
(11) As used in this section:
(a) "DED-OESE" means the United States department of education
office of elementary and secondary education.
(b) "High-need local school district" means a local
educational agency as defined in the enhancing education through
technology part of the no child left behind act of 2001, Public Law
107-110.
(c) "State education agency" means the department.
Sec.
98. (1) From the state school aid fund money appropriated
in
section 11, there is allocated an amount not to exceed
$500,000.00
for 2006-2007 and from the general
fund money
appropriated in section 11, there is allocated an amount not to
exceed
$2,250,000.00 for 2006-2007 2007-2008
to provide a grant to
the Michigan virtual university for the development,
implementation, and operation of the Michigan virtual high school;
to provide professional development opportunities for educators;
and to fund other purposes described in this section. In addition,
from the federal funds appropriated in section 11, there is
allocated
for 2006-2007 2007-2008 an amount estimated at
$3,250,000.00.
(2) The Michigan virtual high school shall have the following
goals:
(a) Significantly expand curricular offerings for high schools
across this state through agreements with districts or licenses
from other recognized providers. The Michigan virtual high school
shall explore options for providing rigorous civics curricula
online.
(b) Create statewide instructional models using interactive
multimedia tools delivered by electronic means, including, but not
limited to, the internet, digital broadcast, or satellite network,
for distributed learning at the high school level.
(c) Provide pupils with opportunities to develop skills and
competencies through on-line learning.
(d) Provide online test preparation resources for pupils.
(e) Grant high school diplomas through a dual enrollment
method with districts.
(f) Act as a broker for college level equivalent courses, as
defined in section 1471 of the revised school code, MCL 380.1471,
and dual enrollment courses from postsecondary education
institutions.
(3) From the general fund money allocated in subsection (1),
an amount estimated at, but not to exceed $500,000.00, shall be
used by the Michigan virtual high school to provide online test
preparation resources for all Michigan high school pupils using
web-based tools that align with the Michigan merit exam
requirements, including the ACT and the revised MEAP exam. These
resources shall include the following:
(a) Practice test opportunities for students.
(b) Information on effective test taking strategies.
(c) Diagnostic tools to identify student learning gaps.
(d) Self-paced online instructional tutorials.
(e) Electronic reports that provide feedback for students and
school personnel.
(4) The Michigan virtual high school course offerings shall
include, but are 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 and services for
teachers.
(5) From the federal funds allocated in subsection (1), there
is
allocated for 2006-2007 2007-2008
an amount estimated at
$2,250,000.00 from DED-OESE, title II, improving teacher quality
funds for a grant to the Michigan virtual university for the
purpose of this subsection. The state education agency shall sign a
memorandum of understanding with the Michigan virtual university
regarding the DED-OESE, title II, improving teacher quality funds
as provided under this subsection. The memorandum of understanding
under this subsection shall require that the Michigan virtual
university coordinate the following activities related to DED-OESE,
title II, improving teacher quality funds in accordance with
federal law:
(a) Develop, and assist districts in the development and use
of, proven, innovative strategies to deliver intensive professional
development programs that are both cost-effective and easily
accessible, such as strategies that involve delivery through the
use of technology, peer networks, and distance learning.
(b) Encourage and support the training of teachers and
administrators to effectively integrate technology into curricula
and instruction.
(c) Coordinate the activities of eligible partnerships that
include higher education institutions for the purposes of providing
professional development activities for teachers,
paraprofessionals, and principals as defined in federal law.
(d) Offer teachers opportunities to learn new skills and
strategies for developing and delivering instructional services.
(e) Provide online professional development opportunities for
educators to update and expand knowledge and skills needed to
support the Michigan merit curriculum core content standards and
credit requirements.
(6) The Michigan virtual university shall offer at least 200
hours of online professional development for classroom teachers
under this section each fiscal year beginning in 2006-2007 without
charge to the teachers or to districts or intermediate districts. A
district or intermediate district may require a full-time teacher
to participate in at least 5 hours of online professional
development provided by the Michigan virtual university under
subsection (5). Five hours of this professional development shall
be considered to be part of the 38 hours allowed to be counted as
hours of pupil instruction under section 101(10).
(7) From the federal funds appropriated in subsection (1),
there
is allocated for 2006-2007 2007-2008
an amount estimated at
$1,000,000.00 from the DED-OESE, title II, educational technology
grant funds to support e-learning and virtual school initiatives
consistent with the goals contained in the United States national
educational technology plan issued in January 2005. Not later than
November
30, 2006 2007, from the funds allocated in this
subsection, the department shall award a single grant of
$1,000,000.00 to a consortium or partnership established by the
Michigan virtual university that meets the requirements of this
subsection. To be eligible for this funding, a consortium or
partnership established by the Michigan virtual university shall
include at least 1 intermediate district and at least 1 high-need
local district. All of the following apply to this funding:
(a) An eligible consortium or partnership must demonstrate the
following:
(i) Prior success in delivering online courses and
instructional services to K-12 pupils throughout this state.
(ii) Expertise in designing, developing, and evaluating online
K-12 course content.
(iii) Experience in maintaining a statewide help desk service
for pupils, online teachers, and other school personnel.
(iv) Knowledge and experience in providing technical assistance
and support to K-12 schools in the area of online education.
(v) Experience in training and supporting K-12 educators in
this state to teach online courses.
(vi) Demonstrated technical expertise and capacity in managing
complex technology systems.
(vii) Experience promoting twenty-first century learning skills
through the use of online technologies.
(b) The Michigan virtual university, which operates the
Michigan virtual high school, shall perform the following tasks
related to this funding:
(i) Examine the curricular and specific course content needs of
middle and high school students in the areas of mathematics and
science.
(ii) Design, develop, and acquire online courses and related
supplemental resources aligned to state standards to create a
comprehensive and rigorous statewide catalog of online courses and
instructional services.
(iii) Conduct a demonstration pilot to promote new and
innovative online courses and instructional services.
(iv) Evaluate existing online teaching and learning practices
and develop continuous improvement strategies to enhance student
achievement.
(v) Develop, support, and maintain the technology
infrastructure and related software required to deliver online
courses and instructional services to students statewide.
(8)
From the state school aid fund allocation in subsection
(1),
an amount not to exceed $500,000.00 for 2006-2007 shall be
awarded
as a single grant to an intermediate district working in
partnership
with the Michigan virtual high school for a statewide
license
for "my dream explorer", a career exploration and planning
tool,
to be made available to all pupils at no cost.
(8) (9)
If a home-schooled or nonpublic
school student is a
resident of a district that subscribes to services provided by the
Michigan virtual high school, the student may use the services
provided by the Michigan virtual high school to the district
without charge to the student beyond what is charged to a district
pupil using the same services.
(10)
All activities funded under this section relating to
science
shall include the use of the scientific method to
critically
evaluate scientific theories and the use of relevant
scientific
data to assess the validity of those theories.
(9) (11)
As used in this section:
(a) "DED-OESE" means the United States department of education
office of elementary and secondary education.
(b) "High-need local district" means a local educational
agency as defined in the enhancing education through technology
part of the no child left behind act of 2001, Public Law 107-110.
(c) "State education agency" means the department.
Sec. 98d. (1) From the appropriation in section 11, there is
allocated an amount not to exceed $100.00 for 2007-2008 for the
implementation of the 21st century learning environment initiative.
The department shall work with partners, including, but not limited
to, universities, school districts, intermediate school districts,
business and industry leaders, and innovative education
organizations to create and implement a coordinated statewide
initiative that creates new and builds upon current successful
education practices. The initiative shall utilize new learning
environments to create engaging teaching and learning practices
that accelerate achievement and allow teachers and students to
reach higher curriculum standards, attain 21st century and
innovation skills, and create academic content and knowledge in
digital forms. The initiative and its components also shall enable
districts, teachers, and administrators to raise student
achievement for all students, consolidate services, focus on state-
identified critical skill areas such as mathematics and science,
and meet other state and local educational goals.
(2) The department shall determine how to distribute the funds
for the initiative described in subsection (1) to accomplish all of
the following:
(a) Provide professional development.
(b) Create a statewide content repository.
(c) Coordinate efforts with other education programs.
(d) Assist districts in obtaining innovative content creation
and distribution tools for 21st century learning environments that
help districts meet the goals identified in this section.
Sec. 99. (1) From the state school aid fund money appropriated
in section 11, there is allocated an amount not to exceed
$3,416,000.00
for 2006-2007 $3,390,000.00
for 2007-2008 and from
the general fund appropriation in section 11, there is allocated an
amount
not to exceed $84,000.00 for 2006-2007 $110,000.00 for 2007-
2008 for implementing the comprehensive master plan for mathematics
and science centers developed by the department and approved by the
state board on August 8, 2002, and for other purposes as described
in this section. In addition, from the federal funds appropriated
in
section 11, there is allocated for 2006-2007 2007-2008 an amount
estimated at $4,456,000.00 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 master plan described in
subsection (1), an established mathematics and science center shall
address 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 2002 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 2005-2006 2006-2007 shall receive state funding in an
amount
equal to 100% of the amount it received under this section
for
2005-2006 was allocated under
this subsection for 2006-2007. If
a center declines state funding or a center closes, the remaining
money available under this section shall be distributed on a pro
rata basis to the remaining centers, as determined by the
department.
(6) From the funds allocated in subsection (1), there is
allocated for 2007-2008 an amount not to exceed $1,000,000.00 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) In order to receive state 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.
(8)
Not later than September 30, 2007 2008, the department
shall reevaluate and update the comprehensive master plan described
in subsection (1).
(9) The department shall give preference in awarding the
federal grants allocated in subsection (1) to eligible existing
mathematics and science centers.
(10) 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.
(11)
All activities funded under this section relating to
science
shall include the use of the scientific method to
critically
evaluate scientific theories and the use of relevant
scientific
data to assess the validity of those theories.
(11) (12)
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. 99a. (1) From the state school aid fund money
appropriated in section 11, there is allocated for 2007-2008 an
amount not to exceed $100,000.00 for grants to districts for
purchasing automated external defibrillators.
(2) To be eligible to receive a grant under this section, a
district shall meet all of the following:
(a) Shall apply to the department in the form and manner
prescribed by the department.
(b) Shall provide at least a 50% local match from local public
or private resources for the funds received under this section.
(c) Shall meet other criteria that are established by the
department and designed to maximize the effectiveness of the grant
funds.
(3) Grants shall be awarded to districts under this section in
descending order of a district's percentage of pupils 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 by October 31, 2005 and adjusted
not later than December 31, 2005.
(4) The department shall not award a grant to a district under
this section to purchase more than 1 automated external
defibrillator unless the department determines that each district
either has at least 1 automated external defibrillator or has been
awarded a grant under this section for purchasing 1 automated
external defibrillator. After that point, until the total amount
allocated under this section has been used, the department shall
award grants to districts in the same order as prescribed in
subsection (3) in sufficient amount to ensure that the district
receiving a grant for more than 1 automated external defibrillator
will have enough automated external defibrillators after the grant
to place 1 in each high school it operates.
(5) A district receiving a grant under this section may decide
where to place an automated external defibrillator purchased
pursuant to the grant.
(6) Notwithstanding section 17b, payments under this section
may be made pursuant to an agreement with the department.
Sec. 99e. (1) From the funds appropriated in section 11, there
is
allocated the amount of $125,000.00 for 2006-2007 2007-2008 to a
district that meets all of the following requirements:
(a)
The district's membership has grown increased by at least
20% between 2004-2005 and 2005-2006.
(b) At least 60% of the pupils in the district were eligible
for free or reduced lunch for 2005-2006.
(c) The district levies at least 10 mills for the purpose of
debt retirement.
(d) The district had an emergency financial manager in place
during 2004-2005.
(2) The funds allocated under subsection (1) shall be used to
supplement the district's operational funds as compensation for
having received a reduced foundation allowance due to proration
while having had an emergency financial manager in place.
(3) The funds appropriated in this section shall be awarded
for 3 consecutive years beginning with 2006-2007 in a form and
manner approved by the department.
(4) (3)
Notwithstanding section 17b,
payments under this
section may be made pursuant to an agreement with the department.
Sec. 99h. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $150,000.00 for 2006-2007 2007-
2008 for competitive grants to districts that provide pupils in
high school 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
competition.
(2) A district applying for a 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 program with at least 1 sponsor, business entity,
higher education institution, or technical school.
(3) Each grant recipient shall provide a local match from
other private or local funds for the funds received under this
section. The amount of the local match shall be at least equal to
50% of the costs of participating in an event.
(4) Grant awards shall be made in a manner determined by the
department in collaboration with the department of labor and
economic growth. However, the department shall set maximum grant
amounts in a manner that maximizes the number of high schools that
will be able to participate.
(5) Funds received under this section may be used for event
registrations, materials, travel costs, and other expenses
associated with the preparation for and attendance at FIRST
robotics competitions.
(6) The funds appropriated in this section shall be awarded
for 3 consecutive years beginning with 2006-2007 in a form and
manner approved by the department.
(7) Notwithstanding section 17b, payments to grant recipients
under this section shall be paid on a schedule prescribed by the
department.
Sec. 99i. From the appropriation in section 11, there is
allocated an amount not to exceed $100,000.00 for 2007-2008 to
Wayne state university for the science, engineering, mathematics,
aerospace academy (SEMAA) program. The university shall make this
program available at no cost to all kindergarten through twelfth
grade students.
Sec. 104. (1) From the state school aid fund money
appropriated
in section 11, there is allocated for 2006-2007 2007-
2008
an amount not to exceed $19,500,000.00
for reimbursement to
districts
of $29,800,000.00 for
payments on behalf of districts for
costs associated with complying with sections 104a and 104b,
sections 1279, 1279g, and 1280b of the revised school code, MCL
380.1279, 380.1279g, and 380.1280b, and 1970 PA 38, MCL 388.1081 to
388.1086. In addition, from the federal funds appropriated in
section
11, there is allocated for 2006-2007 2007-2008 an amount
estimated
at $8,425,200.00 $8,800,000.00, funded from
DED-OESE,
title VI, state assessments funds 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, 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 of
federal funds to
on behalf of districts, intermediate districts, and other eligible
entities under this section shall be paid on a schedule determined
by the department.
Sec. 107. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $24,000,000.00 for 2006-2007
2007-2008 for adult education programs authorized under this
section.
(2) 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 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 state technical institute and
rehabilitation
center Michigan career and
technical institute.
(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.
(iii) Is enrolled in an English as a second language program.
(iv) Is enrolled in a high school completion program.
(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.
(3) Except as otherwise provided in subsection (4), from the
amount
allocated under subsection (1), $22,500,000.00
$23,800,000.00 shall be distributed as follows:
(a) For districts and consortia that received payments for
2005-2006
2006-2007 under this section, the amount allocated to
each
for 2006-2007 2007-2008 shall be based on the number of
participants
served by the district or consortium for 2006-2007
2007-2008, using the amount allocated per full-time equated
participant under subsection (6), up to a maximum total allocation
under
this subsection in an amount equal to 107.1% 104.3% of
the
amount
the district or consortium received for 2005-2006 2006-2007
under
this section before any reallocations made for 2005-2006
2006-2007 under subsection (4).
(b) A district or consortium that received funding in 2003-
2004 under this section may operate independently of a consortium
or
join or form a consortium for 2006-2007 2007-2008. The
allocation
for 2006-2007 2007-2008 to the district or the newly
formed consortium under this subsection shall be determined by the
department of labor and economic growth and shall be based on the
proportion of the amounts that are attributable to the district or
consortium
that received funding in 2005-2006 2006-2007. A district
or consortium described in this subdivision shall notify the
department of labor and economic growth of its intention with
regard
to 2006-2007 2007-2008 by October 1, 2006 2007.
(4) A district that operated an adult education program in
2005-2006
2006-2007 and does not intend to operate a program in
2006-2007
2007-2008 shall notify the department of labor and
economic
growth by October 1, 2006 2007
of its intention. The funds
intended to be allocated under this section to a district that does
not
operate a program in 2006-2007 2007-2008
and the unspent funds
originally allocated under this section to a district or consortium
that subsequently operates a program at less than the level of
funding allocated under subsection (3) shall instead be
proportionately reallocated to the other districts described in
subsection (3)(a) that are operating an adult education program in
2006-2007
2007-2008 under this section.
(5) From the amount allocated under subsection (1),
$1,500,000.00
shall be allocated as follows:
(a)
At least $1,300,000.00 shall be allocated for districts or
consortia
that did not receive payments for 2005-2006 under this
section
and that notify the department of labor and economic growth
by
October 1, 2006 of an intention to operate a program in 2006-
2007
and provide an estimate of full-time equated participants to
be
served. The allocation for 2006-2007 shall be based on the
number
of participants served by the district or consortium for
2006-2007,
using the amount allocated per full-time equated
participant
under subsection (6), up to a maximum total allocation
under
this subsection in an amount equal to $1,400,000.00.
(b)
Up up to a maximum of $200,000.00 shall be allocated for
not more than 1 grant not to exceed $200,000.00 for expansion of an
existing innovative community college program that focuses on
educating adults. Grants may be used for program operating expenses
such as staffing, rent, equipment, and other expenses. To be
eligible for this grant funding, a program must meet the following
criteria:
(a) (i) Collaborates
with local districts and businesses to
determine area academic needs and to promote the learning
opportunities.
(b) (ii) Is located
off-campus in an urban residential setting
with documented high poverty and low high school graduation rates.
(c) (iii) Provides
general educational development (G.E.D.) test
preparation courses and workshops.
(d) (iv) Provides
developmental courses taught by college
faculty that prepare students to be successful in college-level
courses.
(e) (v) Uses
learning communities to allow for shared, rather
than isolated, learning experiences.
(f) (vi) Provides
on-site tutoring.
(g) (vii) Provides
access to up-to-date technology, including
personal computers.
(h) (viii) Partners
with a financial institution to provide
financial literacy education.
(i) (ix) Assists
students in gaining access to financial aid.
(j) (x) Provides
on-site academic advising to students.
(k) (xi) Provides
vouchers for reduced G.E.D. testing costs.
(l) (xii) Partners
with local agencies to provide referrals for
social services as needed.
(m) (xiii) Enrolls
participants as students of the community
college.
(n) (xiv) Partners
with philanthropic and business entities to
provide capital funding.
(c)
After October 1, 2006, if the department of labor and
economic
growth determines that there will be unspent funds under
this
subsection, then those unspent funds shall instead be
proportionally
reallocated to the districts or consortia that
receive
funds under subsection (3)(a) and under this subsection.
(6) The amount allocated under this section per full-time
equated participant is $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 an
appropriate 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 tests participants to
determine progress after every 90 hours of attendance, using
assessment instruments approved by the department of labor and
economic growth.
(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.
(ii) The participant fails to show progress on 2 successive
assessments after having completed at least 450 hours of
instruction. The department of labor and economic growth 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 G.E.D. pre-test approved by
the department of labor and economic growth before enrolling an
individual to determine the individual's potential for success on
the G.E.D. test, and shall administer other tests after every 90
hours of attendance to determine a participant's readiness to take
the G.E.D. test.
(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 passes the G.E.D. test.
(ii) The participant fails to show progress on 2 successive
tests 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) 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) 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 appropriate assessment instruments administered at least after
every 90 hours of attendance.
(ii) The individual fails to show progress on 2 successive
assessments after having completed at least 450 hours of
instruction. The department of labor and economic growth shall
provide information to a funding recipient regarding appropriate
assessment instruments for this program.
(11) A funding recipient shall receive payments under this
section in accordance with the following:
(a) Ninety percent for enrollment of eligible participants.
(b) Ten percent for completion of the adult basic education
objectives by achieving an increase of at least 1 grade level of
proficiency in reading or mathematics; for achieving basic English
proficiency; for passage of the G.E.D. test; for passage of a
course required for a participant to attain a high school diploma;
or for completion of the course and demonstrated proficiency in the
academic skills to be learned in the course, as applicable.
(12) As used in this section, "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).
(13) 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.
(14) An individual who is an inmate in a state correctional
facility shall not be counted as a participant under this section.
(15) A district shall not commingle money received under this
section or from another source for adult education purposes with
any other funds of the district. A district receiving adult
education funds shall establish a separate ledger account for those
funds. This subsection does not prohibit a district from using
general funds of the district to support an adult education or
community education program.
(16) A district or intermediate district receiving funds under
this section may establish a sliding scale of tuition rates based
upon a participant's family income. A district or intermediate
district 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 district or intermediate district 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.
(17) In order to receive funds under this section, a district
shall furnish to the department, in a form and manner determined by
the department, all information needed to administer this program;
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.
(18) As used in this section, "department" means the
department of labor and economic growth.
Sec. 147. (1) The allocation for 2006-2007 2007-2008 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 entry age normal cost actuarial
method and risk assumptions adopted by the public school employees
retirement board and the department of management and budget. The
annual level percentage of payroll contribution rate is estimated
at
17.74% 16.72% for the 2006-2007 2007-2008 state fiscal year. The
portion of the contribution rate assigned to districts and
intermediate districts for each fiscal year is all of the total
percentage points. This contribution rate reflects an amortization
period
of 30 years for 2006-2007 2007-2008. 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.
(2) Upon enactment of legislation reducing pension
contributions of each district or intermediate district to the
public school employees' retirement system that would otherwise be
due from that district or intermediate district, the director of
the department of management and budget shall direct the public
school employees' retirement system to issue credits for the fiscal
year ending September 30, 2007 not to exceed an aggregate of
$276,000,000.00. The credits shall be used to meet the required
pension obligations of each district or intermediate district and
shall reduce the amount of pension contributions otherwise due from
that district or intermediate district based on the original
contribution rate. The portion of a credit issued on behalf of a
district related to nonfederal wages as reported to the public
school employees' retirement system for the state fiscal year
ending September 30, 2006 shall be considered to be a payment on
behalf of the district for the purposes of calculating payments
made under section 22b for 2006-2007. The portion of a credit
issued on behalf of an intermediate district related to nonfederal
wages as reported to the public school employees' retirement system
for the state fiscal year ending September 30, 2006 shall be
considered to be a payment on behalf of the intermediate district
for the purpose of calculating payments made under section 81 for
2006-2007. The portion of credits issued by the public school
employees' retirement system attributable to nonfederal wages in
aggregate shall equal the appropriation under section 11(6). The
total credit provided under this subsection for a particular
district or intermediate district shall be determined based on that
district's or intermediate district's percentage of the total
statewide payroll for all districts and intermediate districts for
the state fiscal year ending September 30, 2006.
Sec. 163. (1) Except as provided in the revised school code,
or
in section 107b, the board of a
district or intermediate
district shall not permit any of the following:
(a) A noncertificated teacher to teach in an elementary or
secondary school or in an adult basic education or high school
completion program.
(b) A noncertificated counselor to provide counseling services
to pupils in an elementary or secondary school or in an adult basic
education or high school completion program.
(2)
Except as provided in the revised school code, or in
section
107b, a district or intermediate
district employing
teachers or counselors not legally certificated shall have deducted
the sum equal to the amount paid the teachers or counselors for the
period of noncertificated or illegal employment. Each intermediate
superintendent shall notify the department of the name of the
noncertificated teacher or counselor, and the district employing
that individual and the amount of salary the noncertificated
teacher or counselor 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 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.
Enacting section 1. In accordance with section 30 of article I
of the state constitution of 1963, total state spending in this
amendatory act from state sources for fiscal year 2007-2008 is
estimated at $11,831,942,700.00 and state appropriations to be paid
to local units of government for fiscal year 2007-2008 are
estimated at $11,760,334,300.00.
Enacting section 2. Sections 8a, 41a, 54b, 98b, 99c, and 166
of the state school aid act of 1979, 1979 PA 94, MCL 388.1608a,
388.1641a, 388.1654b, 388.1698b, 388.1699c, and 388.1766, are
repealed.