HOUSE JOINT RESOLUTION GG March 12, 1998, Introduced by Reps. Palamara, Profit, Emerson, Oxender, Quarles, Agee, Gubow, Wallace, Wojno, Hale, Ciaramitaro, Brewer and Voorhees and referred to the Committee on Appropriations. A joint resolution proposing an amendment to the state con- stitution of 1963, by amending section 11 of article IX and adding section 40 to article IX, to provide for revenue sharing distributions to counties, cities, villages, and townships and to guarantee a certain annual increase in state aid to public schools. Resolved by the Senate and House of Representatives of the state of Michigan, That the following amendment to the state con- stitution of 1963, to provide for revenue sharing distributions to counties, cities, villages, and townships and to guarantee a certain annual increase in state aid to public schools, is pro- posed, agreed to, and submitted to the people of the state: 05732'98 RJA 2 1 ARTICLE IX 2 Sec. 11. There shall be established a state school aid fund 3 which shall be used exclusively for aid to school districts,4higher education,and school employees' retirement systems, as 5 provided by law. Sixty percent of all taxes imposed at a rate of 6 4% on retailers on taxable sales at retail of tangible personal 7 property, 100% of the proceeds of the sales and use taxes imposed 8 at the additional rate of 2% provided for in section 8 of this 9 article, and other tax revenues provided by law, shall be dedi- 10 cated to this fund. Payments from this fund shall be made in 11 full on a scheduled basis, as provided by law. 12 Beginning in the 1995-96 state fiscal year, and FOR each 13 state fiscal yearafterFROM 1995-96 THROUGH 1998-1999, the 14 state shall guarantee that the total state and local per pupil 15 revenue for school operating purposes for each local school dis- 16 trict shall not be less than the 1994-95 total state and local 17 per pupil revenue for school operating purposes for that local 18 school district, as adjusted for consolidations, annexations, or 19 other boundary changes. BEGINNING IN THE 1999-2000 STATE FISCAL 20 YEAR, AND FOR EACH STATE FISCAL YEAR AFTER 1999-2000, THE STATE 21 SHALL GUARANTEE THAT THE TOTAL STATE AND LOCAL PER PUPIL REVENUE 22 FOR SCHOOL OPERATING PURPOSES FOR EACH LOCAL SCHOOL DISTRICT 23 SHALL NOT BE LESS THAN THE 1997-1998 TOTAL STATE AND LOCAL PER 24 PUPIL REVENUE FOR SCHOOL OPERATING PURPOSES FOR THAT LOCAL SCHOOL 25 DISTRICT, AS ADJUSTED FOR CONSOLIDATIONS, ANNEXATIONS, OR OTHER 26 BOUNDARY CHANGES. However, this guarantee does not apply in a 05732'98 3 1 year in which the local school district levies a millage rate for 2 school district operating purposes less than it levied in 1994. 3 BEGINNING IN THE 1999-2000 STATE FISCAL YEAR, AND FOR EACH 4 STATE FISCAL YEAR AFTER 1999-2000, THE STATE SHALL GUARANTEE THAT 5 THE AMOUNT OF MONEY APPROPRIATED FOR STATE AID TO PUBLIC 6 PRE-ELEMENTARY, ELEMENTARY, AND SECONDARY EDUCATION FOR A STATE 7 FISCAL YEAR INCREASES, AS COMPARED TO THE AMOUNT OF MONEY APPRO- 8 PRIATED FOR THOSE PURPOSES FOR THE IMMEDIATELY PRECEDING STATE 9 FISCAL YEAR, BY AT LEAST THE SAME PERCENTAGE AS THE INCREASE IN 10 THE COMBINED TOTAL GROSS STATE SCHOOL AID FUND REVENUE AND GROSS 11 GENERAL FUND/GENERAL PURPOSE REVENUE FROM THE IMMEDIATELY PRECED- 12 ING STATE FISCAL YEAR, AS ADJUSTED FOR CHANGES IN STATE LAW OR 13 ADMINISTRATIVE DETERMINATIONS. FOR THE PURPOSE OF DETERMINING 14 DISTRIBUTIONS UNDER THIS PARAGRAPH FOR THE 1999-2000 STATE FISCAL 15 YEAR, THE CALCULATIONS UNDER THIS PARAGRAPH SHALL BE MADE USING 16 $9,530,000,000.00 AS THE TOTAL DISTRIBUTION AMOUNT FOR THE 17 1998-1999 STATE FISCAL YEAR. 18 SEC. 40. BEGINNING IN THE 1999-2000 STATE FISCAL YEAR, AND 19 FOR EACH STATE FISCAL YEAR AFTER 1999-2000, THE STATE SHALL GUAR- 20 ANTEE THAT THE TOTAL AMOUNT DISTRIBUTED BY LAW TO ASSIST COUN- 21 TIES, CITIES, VILLAGES, AND TOWNSHIPS INCREASES, AS COMPARED TO 22 THE TOTAL AMOUNT OF MONEY APPROPRIATED FOR THOSE PURPOSES FOR THE 23 IMMEDIATELY PRECEDING STATE FISCAL YEAR, BY AT LEAST THE SAME 24 PERCENTAGE AS THE INCREASE IN THE COMBINED TOTAL GROSS STATE 25 SCHOOL AID FUND REVENUE AND GROSS GENERAL FUND/GENERAL PURPOSE 26 REVENUE FROM THE IMMEDIATELY PRECEDING STATE FISCAL YEAR, AS 27 ADJUSTED FOR CHANGES IN STATE LAW OR ADMINISTRATIVE 05732'98 4 1 DETERMINATIONS. DISTRIBUTIONS UNDER THIS SECTION ARE IN ADDITION 2 TO THE DISTRIBUTIONS PROVIDED FOR IN SECTION 10. FOR THE PURPOSE 3 OF DETERMINING DISTRIBUTIONS UNDER THIS SECTION AND SECTION 10 4 FOR THE 1999-2000 STATE FISCAL YEAR TO ASSIST COUNTIES, CITIES, 5 VILLAGES, AND TOWNSHIPS, THE CALCULATIONS UNDER THIS SECTION AND 6 SECTION 10 SHALL BE MADE USING $1,486,000,000.00 AS THE TOTAL 7 DISTRIBUTION AMOUNT FOR THE 1998-1999 STATE FISCAL YEAR. 8 Resolved further, That the foregoing amendment shall be sub- 9 mitted to the people of the state at the next general election in 10 the manner provided by law. 05732'98 Final page. RJA