FY 2018-19 DEPARTMENT OF EDUCATION BUDGET S.B. 853 (S-1): SENATE-PASSED
Senate Bill 853 (S-1 as passed by the Senate)
Committee: Appropriations
*As of February 7, 2018.
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$352,181,200 |
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1. Child Development and Care Public Assistance Expansion. The Senate included $62.3 million in Federal funds to implement a biweekly reimbursement system ($36.5 million) and increase the income entry threshold from 130% to 150% of the FPL ($25.8 million). This is the result of a significant increase in the Federal Child Development and Care Block Grant. |
62,300,000 |
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2. Child Development and Care Public Assistance. The Senate included $10,650,000 in Federal funds to increase the hourly reimbursement rate of licensed empty and one-star providers by $0.50, licensed two-star providers by $0.25, and unlicensed tier one providers by $0.50. |
10,650,000 |
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3. TEACH Scholarship. The Senate included $2.5 million in Federal funds for the TEACH scholarship program. Of the total increase, $1.5 million is to replace expiring Race-To-The-Top funding and $1.0 million is to increase the program. Boilerplate language requires $5.0 million in total appropriation to go towards the TEACH scholarship program. |
2,500,000 |
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4. School Reform Office. The Governor transferred FTEs and funding for the School Reform Office from the DTMB to finalize Executive Order 2017-5. Of the total FTEs and funding, 9.0 FTEs and $2,853,400 GF/GP were transferred to Partnership District Support while 2.0 FTEs and $497,600 GF/GP were transferred to State Board/Superintendent Operations. The Senate transferred all the FTEs and funding except $1,000,000 GF/GP. |
2,351,000 |
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5. State Aid to Libraries. The Senate increased State Aid to Libraries by $1.0 million GF/GP, which translate to a 9% increase and brings the per capita payments from $0.36 to $0.39. |
1,000,000 |
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6. Early Literacy Implementation. The Governor/Senate transferred the funding for implementation of the early literacy program from the School Aid Budget to the Department of Education budget. The GF/GP was transferred from Section 35 of the School Aid Act to School Support Services. |
1,000,000 |
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7. Project UNIFY Transfer. The Governor/Senate transferred funding for Project UNIFY from the Department of Health and Human Services to the Department of Education. The funding provides grants to the Special Olympics programs. The funding is all supported by GF/GP. |
500,000 |
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8. Child Development and Care External Support. The Governor/Senate made a technical adjustment increase to account for economic adjustments made in the Department of Licensing and Regulatory Affairs and the Department of Health and Human Services. The increase was supported by Federal funds. |
380,700 |
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9. Braille Textbook Production Expansion. The Governor/Senate increased the Low-Incidence Outreach Program to expand production of Braille textbooks. The increase was paid for with funds from the Low-Incidence Outreach Fund. |
300,000 |
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10. $100 Placeholders. The Senate included one $100 placeholder that was supported by GF/GP. The placeholder replaced a Federal reduction in funds from the Federal Department of Health and Human Services - Centers for Disease Control and Prevention. |
100 |
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11. Supplemental Removal. The Governor/Senate removed FY 2017-18 supplemental funding for school drinking water education. |
(1,000,000) |
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12. Renaissance Zone Reimbursement. The Governor/Senate decreased appropriations to account for declines in projected reimbursements. The decline is due to Personal Property Tax changes and the expiration of Renaissance Zones. |
(800,000) |
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13. State Restricted Fund Adjustment. The Governor/Senate reduced appropriations to various State Restricted funds to align with current revenue projections. The reductions were not replaced with other fund sources resulting in a gross appropriation reduction. |
(300,200) |
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14. Local Revenue Removal. The Governor/Senate removed Local District Service Fee revenue from the Department, because the fund has not generated revenue in the last 10 budget cycles. The reduction was not replaced with another fund source resulting in a gross appropriation reduction. |
(11,700) |
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15. Economic Adjustments. Includes $1,506,300 Gross and $455,300 GF/GP for total economic adjustments, of which an estimated $166,200 Gross and $39,600 GF/GP is for legacy retirement costs (pension and retiree health). |
1,506,300 |
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16. Comparison to Governor's Recommendation. The Senate is $75,450,100 Gross and $100 GF/GP over the Governor. |
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$80,376,200 |
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FY 2018-19 Senate-Passed Gross Appropriation................................................................. |
$432,557,400 |
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Boilerplate Changes from FY 2017-18 Year-to-Date: |
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1. Sections Deleted by the Governor and Retained by the Senate. The Governor deleted and Senate retained a number of sections throughout the budget, which include: 222 (protects employees who testify to the Legislature), 223 (retention of all reports), 227 (responding to requests from the Legislature and report due dates within 30 days), 229 (notification when entering in contracts above $1.0 million or amendments to Federal accountability plans), 230 (nonpublic school mandate report), 302 (State Board travel expenditure cap), 325 (notification of grants received), 803 (legislative intent to keep the Library of Michigan whole), and 1005 (LARA funding requirements). |
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2. Deleted Sections. The Governor and Senate deleted a number of sections throughout the budget, which include: 1001 (child care provider report), 1021 (ACT contract renegotiations), and 1101 (Drinking Water Declaration of Emergency, CDC pilot program). |
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3. Child Development and Care - Public Assistance. The Senate modified a number of sections that were deleted by the Governor, which include: 1002 (increase the Child Development and Care hourly reimbursement rate to the Senate proposed increase), 1004 (appropriate $5.0 million to the TEACH scholarship program), and 1009 (Implements the Child Development and Care Expansion). |
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4. Child Development and Care Notification. The Senate included a new notification requirement on Federal changes to the Child Development and Care program that must include at least the following: changes to the amount of Federal matching funds awarded to the State, the amount of additional State funds necessary to draw down total Federal matching funds, changes to the Federal block grant award amount, and changes to Federal requirements that would require the appropriation of additional dollars to implement. (Sec. 1010) |
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5. Grant Awards. The Senate modified grant posting and processing to include that grants must be awarded by December 1st. (Sec. 225) |
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6. Special Education Funding Modification. The Governor modified the special education requirements to include a cap of $100,000 for distributing informational materials to parents or guardians of students with disabilities, and removed the requirement for annual training of mediators with information of Federal and State mandated protections of students with disabilities, the Federal Individuals with Disabilities Education Act, and Michigan Administrative Rules and Codes for special education program. The Senate maintained the current language. (Sec. 350) |
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7. Michigan School for the Deaf and Blind. The Senate included a new section that requires State Administrative Law Judges to consider designating the Michigan School for the Deaf and Blind as the least restrictive environment under Federal law for a parent's child who is deaf, deaf-blind, or hard of hearing. (Sec. 409) |
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8. Sexual Assault Report. The Senate included a new section that requires the Department to submit the sexual assault task force recommendation report to all ISDs, schools, and charter schools. Also, the Department shall collect and report on each ISD, school district, and charter school that has implemented a policy specified in PA 593 of 2012. |
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9. In-Demand Occupation Report. The Senate included a new section that requires the Department to submit the annual DTMB report regarding in-demand occupations to all high school students at each ISD, school district, and charter school. |
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10. Teacher Recruitment Program. The Senate included a new section that creates a teacher recruitment program that is targeted at engaging high school students towards careers in teaching. |
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11. $100 Placeholders. The Senate included one new boilerplate section related to the $100 placeholder. Section 602 appropriates the $100 placeholder towards replacing federal reductions from the Federal Department of Health and Human Services - Centers for Disease Control and Prevention in the Department and School Aid Act. (Sec. 508 and 602) |
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12. New Early Literacy Implementation Section. The Governor and Senate included a new section that was transferred from the School Aid Act that corresponds to the $1.0 million transferred from the School Aid Act to School Support Services. The section requires that up to $1.0 million in School Support Services be used to implement early literacy programs funded in School Aid Section 35a. (Sec. 601) |
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13. Technical Modifications. The Governor and Senate made a number of modifications that include date changes, spending changes to reflect Part 1 appropriations, legacy cost estimations, and standardized section language. (Sec. 201, 203, 212, 214, 225, 226, 407, 701, 804, 1007) |
Date Completed: 5-3-18 Fiscal Analyst: Cory Savino
This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.