EXECUTIVE BUDGET BILL
February 26, 2008, Introduced by Rep. Sak and referred to the Committee on Appropriations.
A bill to make appropriations for community colleges and
certain state purposes related to education for the fiscal year
ending September 30, 2009; to provide for the expenditure of those
appropriations; to establish or continue certain funds, programs,
and categories; and to prescribe the powers and duties of certain
state departments, institutions, agencies, employees, and officers.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
PART 1
LINE-ITEM APPROPRIATIONS
Sec. 101. Subject to the conditions set forth in this bill,
the amounts listed in this part are appropriated for community
colleges and certain other state purposes relating to education for
the fiscal year ending September 30, 2009, from the funds indicated
in this part. The following is a summary of the appropriations in
this part:
COMMUNITY COLLEGES
APPROPRIATION SUMMARY:
GROSS APPROPRIATION.................................... $ 302,228,800
Interdepartmental grant revenues:
Total interdepartmental grants and intradepartmental
transfers............................................ 0
ADJUSTED GROSS APPROPRIATION........................... $ 302,228,800
Total federal revenues................................. 0
Total local revenues................................... 0
Total private revenues................................. 0
Total other state restricted revenues.................. 0
State general fund/general purpose..................... $ 302,228,800
Sec. 102. OPERATIONS
Alpena Community College............................... $ 5,171,900
Bay de Noc Community College........................... 5,225,400
Delta College.......................................... 13,898,200
Glen Oaks Community College............................ 2,327,600
Gogebic Community College.............................. 4,308,900
Grand Rapids Community College......................... 17,390,300
Henry Ford Community College........................... 21,086,400
Jackson Community College.............................. 11,644,000
Kalamazoo Valley Community College..................... 12,011,300
Kellogg Community College.............................. 9,402,800
Kirtland Community College............................. 2,873,700
Lake Michigan College.................................. 5,058,200
Lansing Community College.............................. 30,051,900
Macomb Community College............................... 32,081,400
Mid Michigan Community College......................... 4,332,800
Monroe County Community College........................ 4,187,100
Montcalm Community College............................. 3,012,600
C.S. Mott Community College............................ 15,159,600
Muskegon Community College............................. 8,593,400
North Central Michigan College......................... 2,921,400
Northwestern Michigan College.......................... 8,757,200
Oakland Community College.............................. 20,351,400
St. Clair County Community College..................... 6,794,500
Schoolcraft College.................................... 11,892,400
Southwestern Michigan College.......................... 6,328,500
Washtenaw Community College............................ 12,302,700
Wayne County Community College......................... 16,041,400
West Shore Community College........................... 2,219,100
GROSS APPROPRIATION.................................... $ 295,426,100
Appropriated from:
State general fund/general purpose..................... $ 295,426,100
Sec. 103. GRANTS
At-risk student success program........................ $ 3,322,700
Renaissance zone tax reimbursement funding............. 3,480,000
GROSS APPROPRIATION.................................... $ 6,802,700
Appropriated from:
State general fund/general purpose..................... $ 6,802,700
PART 2
PROVISIONS CONCERNING APPROPRIATIONS
GENERAL SECTIONS
Sec. 201. Pursuant to section 30 of article IX of the state
constitution of 1963, total state spending from state resources
under part 1 for fiscal year 2008-2009 is $302,228,800.00 and state
spending from state resources to be paid to local units of
government for fiscal year 2008-2009 is $302,228,800.00. The
itemized statement below identifies appropriations from which
spending to local units of government will occur:
Operations............................................. $ 295,426,100
At-risk student success program........................ 3,322,700
Renaissance zone tax reimbursement program............. 3,480,000
TOTAL.................................................. $ 302,228,800
Sec. 202. The appropriations authorized under this bill are
subject to the management and budget act, 1984 PA 431, MCL 18.1101
to 18.1594.
Sec. 203. Unless otherwise specified, a community college
receiving appropriations in part 1 and the department of labor and
economic growth shall use the Internet to fulfill the reporting
requirements of this bill. This requirement may include
transmission of reports via electronic mail to the recipients
identified for each reporting requirement or it may include
placement of reports on an Internet or Intranet site.
Sec. 209. Funds appropriated in part 1 shall not be used for
the purchase of foreign goods or services, or both, if
competitively priced and of comparable quality American goods or
services, or both, are available. Preference should be given to
goods or services, or both, manufactured or provided by Michigan
businesses, if they are competitively priced and of comparable
quality. In addition, preference should be given to goods or
services, or both, that are manufactured or provided by Michigan
businesses owned and operated by veterans, if they are
competitively priced and of comparable quality.
Sec. 210. The principal executive officer of each community
college receiving appropriations in part 1 shall take all
reasonable steps to ensure businesses in deprived and depressed
communities compete for and perform contracts to provide services
or supplies, or both. Each principal executive officer shall
strongly encourage firms with which the community college contracts
to subcontract with certified businesses in depressed and deprived
communities for services or supplies, or both.
Sec. 211. (1) The money appropriated in this bill is
appropriated for community colleges with fiscal years ending June
30, 2009, and shall be paid out of the state treasury and
distributed by the state treasurer to the respective community
colleges in 11 monthly installments on the sixteenth of each month,
or the next succeeding business day, beginning with October 16,
2008. Each community college shall accrue its July and August 2009
payments to its institutional fiscal year ending June 30, 2009.
However, if a community college fails to submit all verified
Michigan community colleges activities classification structure
data for school year 2007-2008 to the department of labor and
economic growth by November 1, 2008, the monthly installments shall
be withheld from that community college until those data are
submitted.
(2) Except as otherwise provided by law, each of the amounts
appropriated shall be used solely for the respective purposes
stated in this bill. The money appropriated in this bill may be
used to match the cost of any available programs under the Carl D.
Perkins career and technical education improvement act of 2006,
public law 109-2701.
Sec. 216. (1) A community college shall pay the employer's
contributions to the Michigan public school employees' retirement
system created by the public school employees retirement act of
1979, 1980 PA 300, MCL 38.1301 to 38.1408, as a condition of
receiving money appropriated under this bill.
(2) A community college shall not pay an employer's
contribution to more than 1 retirement fund providing benefits for
an employee.
Sec. 217. Money appropriated in part 1 shall not be used to
pay for the construction or maintenance of a self-liquidating
project.
Sec. 224. Recognizing the critical importance of education in
strengthening Michigan's workforce, the state's public community
colleges are encouraged to explore ways of increasing collaboration
and cooperation with 4-year universities, particularly in the areas
related to training, instruction, and program articulation.
Sec. 234. Community colleges shall do the following:
(a) Undertake active measures to promote equal opportunities,
eliminate discrimination, and foster a diverse student body and
administration among all people including, but not limited to,
women, minorities, seniors, veterans, and people with disabilities.
(b) Review, analyze, and eradicate activities that may tend to
discriminate.
Sec. 241. Community colleges are encouraged to expand their
current nursing education programs and increase nursing education
program enrollments. This expansion may include, but is not limited
to, creating partnerships with hospitals and other health care
providers, expanding the focus and utilization of the nursing
scholarship program, and redirecting existing institutional
resources toward nursing education programs.
STATE AID - OPERATIONS
Sec. 301. Unless otherwise stated, all data items used in
determining state aid in this bill are as defined in the 2001
Manual for Uniform Financial Reporting, Michigan Public Community
Colleges, which shall be the basis for reporting data, and the
Activities Classification Structure Manual for Michigan Community
Colleges, as amended, which shall be used to document financial
needs of the community colleges.
Sec. 302. A community college shall not include in the
enrollment data reported for determining state aid under this bill
any student credit hours or student contact hours for a student
incarcerated in a Michigan penal institution. Exclusion of these
students is intended to avoid the payment of state aid under this
bill for the same individuals for whom reimbursement is provided by
the state correctional system.
Sec. 304. (1) The appropriations in part 1 for community
college operations include an aggregate three percent increase
distributed pursuant to the funding formula developed by the
performance indicators task force formed pursuant to section 242 of
2005 PA 154.
(2) The recommendations and performance measures developed by
the performance indicators task force pursuant to section 242 of
2005 PA 154 shall be reviewed and more fully implemented for
distribution of state funding to community colleges in future
years.
GRANTS
Sec. 401. (1) The community college at-risk student success
program is continued. The funding shall be prorated among community
colleges based on the number of student contact hours for
developmental and preparatory instruction reported by each
community college to the department of labor and economic growth
pursuant to the Activities Classification Structure Manual for
Michigan Community Colleges, as amended. Of the amount appropriated
in part 1 for the at-risk student success program, $1,120,000.00 is
allocated for base grants of $40,000.00 each, to address the
special needs of at-risk students at community colleges.
(2) Of the amount appropriated in part 1 for the at-risk
student success program, the balance of the appropriated money
shall be distributed on a proration utilizing the sum of the most
recent 3 years developmental/preparatory contact hours divided by
the sum of the 3-year total contact hours at each college. Each
community college's percentage shall be divided by the sum of all
the percentages systemwide to obtain each community college's
prorated grant amount.
(3) For the fiscal year ending September 30, 2009, the at-risk
student success program money is allocated as follows:
Alpena Community College............................... $ 80,200
Bay de Noc Community College........................... 62,800
Delta College.......................................... 104,500
Glen Oaks Community College............................ 112,500
Gogebic Community College.............................. 58,600
Grand Rapids Community College......................... 132,300
Henry Ford Community College........................... 161,900
Jackson Community College.............................. 120,900
Kalamazoo Valley Community College..................... 92,000
Kellogg Community College.............................. 163,600
Kirtland Community College............................. 125,400
Lake Michigan College.................................. 157,200
Lansing Community College.............................. 153,500
Macomb Community College............................... 84,400
Mid Michigan Community College......................... 141,400
Monroe County Community College........................ 105,400
Montcalm Community College............................. 75,000
C.S. Mott Community College............................ 106,300
Muskegon Community College............................. 78,700
North Central Michigan College......................... 111,100
Northwestern Michigan College.......................... 122,400
Oakland Community College.............................. 148,900
St. Clair Community College............................ 124,800
Schoolcraft College.................................... 127,300
Southwestern Michigan College.......................... 150,700
Washtenaw Community College............................ 140,300
Wayne County Community College......................... 132,600
West Shore Community College........................... 148,000
(4) As used in this bill, "at-risk students" means students
who meet 1 or more of the following criteria:
(a) Are initially placed in 1 or more developmental courses as
a result of standardized testing or as a result of failure to make
satisfactory academic progress.
(b) Are diagnosed as learning disabled.
(c) Require English as a second language (ESL) assistance.
(5) Grant funding under this section shall be utilized to
address the special needs of at-risk students. Activities related
to services provided to at-risk students include, but are not
limited to, pretesting for academic ability, counseling contacts,
and special programs. Equipment or information technology hardware
or software purchased under this section must be associated with
the operation of a program designed to address the needs of at-risk
students.
(6) Grant funding under this section shall not be used for
indirect costs including, but not limited to, rent, utilities, or,
except as provided in this section, college administration.
(7) Each community college shall report to the department of
labor and economic growth a summary of all accomplishments under,
expenditures for, and compliance with the intent of this program,
including the number of at-risk students served. The report is
subject to audit as provided for in section 502(1). The report
shall be submitted not later than 90 days after the end of the
state's fiscal year.
Sec. 404. The appropriation in part 1 for renaissance zone
reimbursements shall be made to each eligible recipient no later
than 60 days after the department of treasury certifies to the
state budget director that it has received all necessary
information to properly determine the amounts due each eligible
recipient under section 12 of the Michigan renaissance zone act,
1996 PA 376, MCL 125.2692.
Sec. 405. Community college nursing programs are part of a
comprehensive solution to Michigan’s nursing shortage. Community
college students are eligible to apply for financial assistance
through the Michigan nursing scholarship program administered by
the department of treasury. The Michigan nursing corps grants
administered by the department of labor and economic growth provide
funding to address the shortage of qualified nursing faculty.
Community colleges are encouraged to coordinate with the chief
nurse executive in the department of community health, and with 4-
year universities, to improve access to nursing programs and to
assist students to successfully enter the nursing workforce.
REPORTS AND AUDITS
Sec. 501. The department of labor and economic growth shall
publish the activities classification structure data book for
Michigan community colleges on or before March 1, 2009.
Sec. 502. (1) The auditor general or a certified public
accountant appointed by the auditor general may conduct performance
audits of community colleges as the auditor general considers
necessary.
(2) Not more than 60 days after an audit report is released by
the office of the auditor general, the principal executive officer
of the community college that was audited shall submit to the house
and senate appropriations committees, the house and senate fiscal
agencies, the department of labor and economic growth, the auditor
general, and the state budget director a plan to comply with audit
recommendations. The plan shall contain projected dates and
resources required, if any, to achieve compliance with the audit
recommendations, or a documented explanation of the college's
noncompliance with the audit recommendations concerning the matters
on which the audited community college and office of the auditor
general disagree.
Sec. 504. (1) A community college shall retain certified class
summaries, class lists, registration documents, and student
transcripts that are consistent with the taxonomy of courses. For
each enrollment period during the fiscal year, these certified
documents shall identify clearly by course the number of in-
district and out-of-district student credit and contact hours. The
class summaries and class lists shall be consistent with each other
and shall include the course prefix and numbers, course title,
course credit and contact hours, credit and contact hours generated
by each student, and activity classifications consistent with the
taxonomy. An auditable process shall be used by the community
college to determine the unduplicated head count for in-district
students, out-of-district students, and prisoners for each
enrollment period during the fiscal year.
(2) Contracts between the community college and agencies that
reimburse the community college for the costs of instruction shall
be retained for audit purposes.
Sec. 505. Each community college shall have an annual audit of
all income and expenditures performed by an independent auditor and
shall furnish the independent auditor's management letter and an
annual audited accounting of all general and current funds income
and expenditures including audits of college foundations to the
members of the senate and house appropriations subcommittees on
community colleges, the senate and house fiscal agencies, the
auditor general, the department of labor and economic growth, and
the state budget director before November 15, 2008. If a community
college fails to furnish the audit materials, the monthly state aid
installments shall be withheld from that college until the
information is submitted. All reporting shall conform to the
requirements set forth in the 2001 Manual for Uniform Financial
Reporting, Michigan Public Community Colleges.
Sec. 506. (1) Each community college shall report the
following to the department of labor and economic growth no later
than November 1, 2008:
(a) The number of North American Indian students enrolled each
term for the previous fiscal year, using guidelines and procedures
developed by the department of labor and economic growth and the
Michigan commission on Indian affairs.
(b) The number of Indian tuition waivers granted each term,
and the monetary value of the waivers for the previous fiscal year.
(2) Colleges shall use the criteria cited in 1976 PA 174, MCL
390.1251 to 390.1253, to determine eligibility for tuition waivers,
and shall grant those waivers to individuals who meet the criteria
and request tuition waivers.
(3) The department of labor and economic growth shall compile
the information received under subsection (1) and shall submit this
compilation to the house and senate appropriations subcommittees on
community colleges, the senate and house fiscal agencies, and the
state budget director by January 7, 2009.
Sec. 507. Upon request, a community college shall inform
interested Michigan high schools of the aggregate academic status
of its students for the prior academic year, in a manner prescribed
by the Michigan community college association and in cooperation
with the Michigan association of secondary school principals.
Sec. 508. (1) Each community college shall report to the house
and senate fiscal agencies, the state budget director, and the
department of labor and economic growth by August 31, 2008, the
tuition and mandatory fees paid by a full-time in-district student
and a full-time out-of-district student as established by the
college governing board for the 2008-2009 academic year. This
report should also include the annual cost of attendance based on a
full-time course load of 30 credits. Each community college shall
also report any revisions to the reported 2008-2009 academic year
tuition and mandatory fees adopted by the college governing board
to the house and senate fiscal agencies, the state budget director,
and the department of labor and economic growth within 15 days of
being adopted.
(2) The department of labor and economic growth shall prepare
and provide to community colleges a standard format for reporting
tuition and fees pursuant to subsection (1).
Sec. 509. (1) Each community college shall report to the
department of labor and economic growth the numbers and type of
associate degrees and other certificates awarded during the
previous fiscal year. The report shall be made not later than
November 15, 2008.
(2) The department of labor and economic growth shall compile
the information received under subsection (1) and shall submit this
compilation to the house and senate appropriations subcommittees on
community colleges, the senate and house fiscal agencies, and the
state budget director by January 7, 2009.
Sec. 510. A community college receiving funding under this
bill and also subject to the student right-to-know and campus
security act, Public Law 101-542, 104 Stat. 2381, shall make a copy
of all material prepared in accordance with the public information
reporting requirements under the crime awareness and campus
security act of 1990, title II of the student right-to-know and
campus security act, Public Law 101-542, 104 Stat. 2384, available
in hard copy and electronic format accessible through the Internet
for school districts, parents, and students.